The IFCN World Milk Price Indicator experienced a decline in December, reflecting the reduced market activity typical of the holiday season. The fluctuation in prices for fat-based products was driven by a combination of factors, including positive supply growth in Oceania, and the fact that many holiday purchases were made a couple of months in advance.

While retail demand for butter and cheese remained strong in December, international demand softened due to high prices. Despite a decline during the month, butter prices remained elevated overall. In contrast, Whole Milk Powder exhibited moderate growth, defying the general trend thanks to strong activity in Southeast and North Asia.

In summary, December was a subdued month for dairy markets, with most commodities mirroring the seasonal slowdown, though some demonstrated resilience amid shifting regional dynamics.

100kg milk -2.5% vs previous month

cwt

kg milk solids

litre