The European Energy Exchange (EEX) and Global Dairy Trade (GDT) have successfully concluded the initial consultation period regarding the establishment of a joint venture to operate a European-based auction mechanism for European dairy products.
The initiative between EEX and GDT received a high level of interest in the market during the evaluation process. To date, EEX and GDT have met with more than 50 key participants of the dairy value chain. Sellers and buyers across France, Germany, Ireland, the Netherlands, Scandinavia, Switzerland, the United Kingdom, as well as buyers from Asia.
Following the completion of the market consultation and initial evaluations with potential IT partners, EEX and GDT will now enter the next phase of the project to further develop the scope of possible services, obtain commitments from potential customers, validate commercial viability and agree a partnership arrangement between EEX and GDT.
Final decisions by both partners on the initiative are expected by mid-2019. If positive, the first auction of the new venture would take place in 2020.