The only way is up for dairy ingredient prices

摘要

Market prices for dairy commodities are at a 10-year low. They are so low, in fact, that the European Commission is already buying up skimmed milk powder through its Intervention Scheme to prop up the market, and is expected to extend this measure to butter in the next few weeks. As soon as a market balance is achieved, prices are almost certain to start rising again. This means now is the perfect time for food manufacturers to lock into a fixed-price deal for their dairy ingredients using a long-term pricing model. Do this today, and it will be possible to benefit from low prices and insulate your business from the extreme price volatility that's been a characteristic of the dairy ingredients market over the past decade. For companies in the bakery, confectionery and ready meals categories, who often use large volumes of dairy ingredients, this is an opportunity that's simply too good to miss.