EU intervention stocks surpass last year’s 40,280t offering

To date in 2016, 44,642t of skimmed milk powder (SMP) has been offered to the EU’s public intervention level – surpassing last year’s total amount offered by 4,362t.

In total last week, EU Member States offered 7,333t of SMP to the measure, the latest Milk Market Observatory (MMO) figures show.

Over one-third of 2016 EU intervention scheme volumes has now been filled.

Looking at Ireland in particular, last week we offered 242t of SMP to public intervention, one of the smallest offerings we’ve made this year.

Ireland has offered 4,547t of SMP to the measure since the start of the year. Last year in total Ireland placed 1,843t of SMP into the measure.

The current intervention prices include €221.75/100kg for butter and €169.8/100kg for skimmed milk powder (SMP) these prices equate to 21c/L in terms of Irish milk prices.

Meanwhile, the latest CSO figures show that Irish dairy processors have increased their production of SMP by 146% in three years.

The figures show that last year Irish production of SMP totalled 121,000t up from 70,000t in 2014 and less than 50,000t in 2013.

The increase in the production of SMP last year coincided with a 13% increase in Irish milk supplies along with historically low prices for the product.

Looking at EU-level, the latest data from the MMO shows that EU SMP production was running over 8% ahead of 2014 up to November.