MD_DA104                                                         
DA                                                               
MD DA104 Butter/Butteroil - Europe                               

MADISON, WI.  June 22, 2017 (REPORT 25)                          

WESTERN EUROPE                                                   
INFORMATION GATHERED  06/12/2017 - 06/23/2017                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            
                                                                 
WESTERN EUROPE                                                   
                                                                 
BUTTER/BUTTEROIL:  

       Butter and butteroil prices in Western Europe continued 
advancing. Prices are highest in Germany, a bit lower in Netherlands 
and France, and lower in Italy. Recent heat in Northern Europe has 
taken a toll. Butterfat in milk is declining, in contrast to demand 
for butter and cream increasing. Milk production volumes have been 
mostly steady since mid-May. The higher prices for butter have 
started crimping retail sales of packaged butter. Nevertheless, many 
processors are actively working to secure supplies of cream to keep 
churning, even with higher cream prices.
       January-April EU butter production decreased 4.9 percent 
according to Eucolait. April 2017 production was 8.9 percent below 
April 2016.
     January-April EU exports of butter declined 18.6 percent from 
the same period one year earlier. Export volumes and primary 
destinations are shown in the following table:
 
		European Union Butter Exports
		Main Three Destinations 
		January-April 2017 
 
Destination  	Quantity (MT)  	% of Total
USA			8,157  		16.1%
Saudi Arabia	3,679  	  	 7.3%
China 		3,113  	  	 6.1%
                                         
82% BUTTERFAT:            6,250 - 6,675                          
99% BUTTERFAT:            5,500 - 6,500                          


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-
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