EU dairy export+14.5% in value
Infant milk formula, mainly destined for China, Hong Kong and Saudi Arabia, and Cheese, which sees the United States, Japan and Switzerland as the target markets, are the first two products in value, thanks also to an increase in the unit prices of the two products (respectively of 7% and 5%).
Eyes on FFMP, fat-filled milk powder
New product examined from the CLAL Team, FFMP is intended primarily for consumers in hot countries, and has a lively market in Saudi Arabia, Nigeria, Senegal, Yemen and the United Arab Emirates. The EU-28 exported over 480,000 tons of FFMP in January-May, for a value close to 900 million euros (+11.3% in quantity, +10.8% in value). SMP exports reached 435,000 tons in the same period (+32.3% on a trend basis) and exceed 822 million of euros (+41.8%).
The EU-28 reduced Whole Milk Powder (WMP) exports both in quantity (-24.1%) and in value (-16.9%), in the first 5 months of 2019. The reason could be twofold: on the one hand the better “climatic” adaptability of the FFMP to the high temperatures of Africa and Middle East compared to WMP, on the other the higher WMP market prices: 3.59 €/kg (+9.5% from January to May) versus 1.83 €/kg of the FFMP (-0.5%).
Milk and Cream export increased +19.1% in quantity and +13.5% in value. The main destination country is China, accounting for 42% of total export, followed by Libya, South Korea and Mauritania.
Focus on Italy
Grana Padano and Parmigiano Reggiano+17% export in value
Italian exports of Fresh Cheese, Grated Cheese, Pecorino and Fiore Sardo, Gorgonzola, are also good, as is the export of Milk and Cream (+41.8% in quantity and +12.6% in value), with Libya’s market share of 45% (it almost tripled the volumes imported).
The average monthly price of exported products in Milk Equivalent (ME) is growing: from 76.71 €/100 kg in December 2018 to 80.67 €/100 kg in April. The overall dairy export in ME increased +9.9% in the first 4 months of 2019, if compared to January-April 2018.