MD_DA104                                                         
DA                                                               
MD DA104 Butter/Butteroil - Europe                               

MADISON, WI.  February 16, 2017 (REPORT 7)                       

WESTERN EUROPE                                                   
INFORMATION GATHERED  02/06/2017 - 02/17/2017                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            
                                                                 
WESTERN EUROPE                                                   
                                                                 
BUTTER/BUTTEROIL:   

Butter prices in Western Europe slightly declined at each end of 
the price range on a U.S. dollar basis. This occurred even as on 
a Euro basis, prices in some countries modestly increased from 
last week due to currency valuation factors. Euro based prices 
increased in France and Netherlands while prices in Germany were 
mostly steady. Orders have strengthened within Europe for 
packaged butter. Block butter demand has stabilized. Most buyers 
are adequately stocked, weakening demand for butter deliveries 
in the near term. Contracting for sales during the second and 
third quarters is proceeding at a slower pace than normal. The 
usual culprit, uncertainty as to the impact of current lower 
than year ago milk production, is cited for slow contracting. 
Specifically, uncertainty as to the availability of milk fat 
during the second half of 2017. Exporters are comfortable with 
current European pricing being globally competitive. The Dairy 
Market News International Monthly Summary and Averages for 
Western European butter in January, 2017, was $4,416, up from 
$3,052 one year earlier.     

82% BUTTERFAT:            4,125 - 4,450                          
99% BUTTERFAT:            4,650 - 5,075                          


0930c eric.graf@ams.usda.gov 
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-
news/dairy
Dairy Market News database portal: 
http://www.marketnews.usda.gov/mnp/da-home