Milk powder in transition: From stability to pressure
The information is based on data from the end of September 2025. We expect new figures from our partner during December. If you need the latest information, please feel free to contact your account manager.
The market in general
The market is generally under broad pressure.
The seasonal pattern for milk production has changed, and farm prices are showing a clear downward trend. In particular, prices for butter, cream and cheese have fallen significantly in recent times. At the same time, the demand for skimmed milk powder is limited and prices are under pressure. Whole milk powder, which has otherwise been stable, is now following the general trend in the sector.
Raw milk
- Delayed peak in milk production due to disease and late calving.
- High supply due to good feed quality and mild temperatures.
- Farm prices have fallen and are expected to fall further.
Skimmed milk powder
- Prices are under pressure from both high milk supply and low global demand.
- The imbalance between supply and demand is expected to continue.
- Lower prices could potentially increase buying interest – and stabilise the market in the long term.
Whole milk powder
- Prices are following the trend in the rest of the dairy sector.
- Production is being kept down because producers are reluctant to go beyond existing agreements.
- The export market is characterised by fierce competition from New Zealand and Latin America.
- Within the EU, demand remains low – especially from the chocolate industry.
Cream
- High supply is putting pressure on prices – and purchasing activity is subdued both within and outside the EU.
Butter
- Significant price declines due to high supply and low demand.
- Rising milk volumes and abundant cream are pulling the market down.
- Prices in the US are significantly lower than in the EU, and imports to the EU are expected to begin in 2026.
Cheese
- The market is following the general downward trend.
- Sales and the spot market are under pressure in both the EU and the US.
- No signs of stabilisation yet.
We are monitoring developments closely and are happy to advise you on how this may affect your purchasing and planning.