Those are the words my French friends used to describe the milk powder market, much like the view from the Harwich-Hook ferry today, the tenuous link being the Dutch milk powder markets are unchanged (well, SWP is €10 lower). 

The mechanics behind the derivative products differ widely, as fat filled products have eased €30 this month, whilst WPC and milk protein concentrate have soared, despite the relative weakness in sweet whey. Wheat gluten remains ruinously expensive and hard to find, but is still cheaper than dairy protein.

The divisor is that while whey processors are adamant they’re united against falling into negative margins, the amount of skim milk powder, particularly downgrades, sloshing around, the unchanged headline price is suspiciously unchanged. This is usually a surefire sign of a significant downshift, so we may see whey stick while skim slides, but no weakness in derivatives.

BDC agri is the UK broker for Lacto Production milk and whey powder products.

For further information and prices, contact Greg Dunn on 01206 381521 or g.dunn@blackdiamondcommodities.com