MD_DA106 Skim Milk Powder - Europe Report 21 - Released on May 21, 2020 Skim milk powder prices in Western Europe increased at the low end of the price range, but remained steady at the top. Demand for SMP is called constant. Some buyers have decided they would like to secure current pricing in the long run. There are now contracting discussions underway through Q4 2020. In some cases, buyers are seeking to contract into 2021. Of course, sellers are less motivated to lock in current pricing so far in advance. Still, some contracts through this year are finalized with a bit of a premium to current prices for deliveries later in 2020. Applications for Private Storage Aid (PSA) for SMP during the second week of the current program, May 11 – 17, 2020, totaled 2,177 MT according to Eucolait. The total amount of SMP in PSA is 3,377 MT. Prices for: Europe, All First Sales, Free on Board - Port, Conventional, and Edible Skim Milk Powder Price Range - 1.25% Butterfat; $/MT: 1,750 - 1,900 Information for the period May 11 - 22, 2020, issued biweekly Secondary Sourced Information: SMP production in the EU decreased 0.1 percent January – March 2020 compared with January – March 2019 according to Eurostat. March 2020 butter production decreased 3.7 percent YOY. SMP production percent changes in some countries YTD and YOY include Germany, +1.6, -2.9 percent; France, +6.0, -0.9 percent; and Netherlands, +26.2, +25.0. January – March 2020 SMP exports from the EU, 198,000 MT, decreased 24.3 percent YTD according to CLAL data made available to USDA. Published by: Dairy Market News - Madison, WI Eric Graf, 608.422.8590 Email: Eric.Graf@usda.gov Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: https://www.ams.usda.gov/market-news/dairy DMN MARS (My Market News): https://mymarketnews.ams.usda.gov