The cheese market in the EU was stagnant during March, with very low activity reported. Gouda and edam prices steadied due to uncompetitive offers and bids during the month. Sellers’ and buyers’ interests are unsettled, as sellers are aiming for €3,200/mt onward and buyers €3,100/mt. For reference, the Mintec Benchmark Prices (MBP) for Gouda EXW Europe [Mintec Code: J114] was last assessed on 30th March at €3,180/mt, up 1% month-on-month (m-o-m). Meanwhile, the MBP for Edam EXW Europe [Mintec Code: J113] stood at €3,150, unchanged m-o-m.
It appears that the market is well-balanced. The reason for the stable market is that buyers are currently sufficiently covered for the coming weeks, having purchased significant volumes in January and February at low prices, at €2,795/mt for gouda and edam. Consequently, most buyers have no need to purchase. Sellers do not have the need to sell, as stocks are not burdensome. As a result, buyers have propped up prices. A market source indicated, “the market is now in a deadlock.” The question now is which is going to be the driving factor that will move the market up and down. This could be lower-than-expected milk collection during peak milk collection, or higher demand from China. For the time being, the market is likely to be stable after the Easter period.” According to market sources, the supply of mozzarella cheese is low, and EU mozzarella prices are overvalued compared to yellow cheeses. The MBP for Mozzarella EXW EU [Mintec Code: ED27] was last assessed on 30th March at €3,145/mt, unchanged week-on-week.
