Mintec proposes to launch European and North American dairy Mintec Benchmark Prices (MBP)

All Market Notes 31 January 2023

Mintec is proposing to launch 12 new weekly Mintec Benchmark Prices (MBP) for European and US dairy products and is collecting feedback from market participants in the dairy markets until Wednesday, 15th February 2023. 

If the industry supports this proposal, Mintec suggests launching the weekly assessment on Thursday, 2nd March 2023 with the first monthly assessments published on Wednesday, 1st March. 
  
The proposed specification for this assessment would be as below: 

The proposed assessment would reflect the transactable value at 16:00:00 London time. 
  
Europe and the USA are two of the largest players in the global dairy industries and key exporters. Launching the new assessments would further give users greater clarity in understanding price movements in these key markets.  

Fat-filled milk powders normally substitute (the more expensive) full cream milk powders. Fat-filled powders are skimmed milk powders that are enriched with vegetable fat. It is a key ingredient for the food industry as it is used in ice cream, UHT milk, yogurt, etc.  

Buttermilk powder is manufactured out of buttermilk it is a fluid by-product when making the churning of butter. The main components are water, lactose, proteins, and minerals. It is primarily used in the food service and hospitality sector for salad dressings, biscuits, pastries, ready meals, etc.  

Skimmed milk powder is used as an alternative to fresh milk. It can be used after dissolution in water or by directly adding the powder into a formulation. It is used to standardize dry matter or to optimize protein content. It is a key export product and is often used for Baby or Animal food, Confectionery, Yogurt, Ice cream, etc.  

Demineralized Whey is used for dairy-, bakery-, confectionery- and other food- and nutritional- products (including infant formula) as an economical source of dairy solids, an alternative to sweet whey powder or Lactose. 

Sweet whey powder is obtained by drying pasteurized sweet whey which is a by-product of processing cheeses. It is used in many different foods (bakery, snack, confectionery) and is a key product for the animal feed industry, primarily for pork compound feed. 

Non-fat dried milk is used as an alternative to fresh milk. It can be used after dissolution in water or by directly adding the powder into a formulation. It is used to standardize dry matter or to optimize protein content. It is a key export product and is often used for Baby or Animal food, Confectionery, Yogurt, Ice cream, etc.  
 
Please send any questions or comments about this market note to Methodology@mintecglobal.com, by Wednesday, 15th February 2023 and clearly state which market note your comments relate to, and if comments are intended for publication by Mintec. 
  
Mintec will acknowledge receipt of all comments by email.