According to the most recent DEFRA figures, the average UK farmgate price stood at 29.71ppl in October.
This was a 1.02ppl (3.3%) decrease on the September average price. The October 2014 price was 3.91ppl (11.6%) lower than the same month last year.
The GB average price was 30.47ppl in October, which was a 0.99ppl (3.2%) decrease on the previous month, and a decrease of 3.09ppl (9.2%) compared with October 2013.
The Northern Ireland (NI) average for October was 25.09ppl, a decrease of 1.16ppl (4.4%) compared with September. The October price is 8.92ppl (26.2%) lower than the previous year.
Note: In Northern Ireland a larger proportion of milk goes into commodity markets and therefore the NI price tends to reflect the rises and falls in the commodity markets more than GB. For more information on commodity prices
Meanwhile UK wholesale prices largely remained stable during November with currency movements leading to some fluctuation of prices. Although there was some pre-Christmas demand, trade was relatively thin over the month.
Cream prices increased marginally between October and November as pre-Christmas demand continues both on the continent and domestically. Prices picked up at the start of the month towards £1,200/tonne before more product became available. Prices then fell slightly heading towards October levels in the latter stages of November.
Butter prices remained stable in November as trade remained thin with buyers continuing to remain distant, if they can while others have to enter to secure product before Christmas. Trade in November has been reported as abnormally quiet for this time of year.
The decline in SMP prices in November was not as large as previous months. Prices remained stable to a degree with currency having the biggest impact over the month. However, overall prices are still linked to the global market resulting in some further downward pressure. Anecdotal reports suggest there is more stability for product sold on domestic markets rather than sold directly on global markets. Deals are reported to be in negotiation; although, not many have been completed in November. PSA is taking some of the pressure of prices for the moment.
Average mild Cheddar prices declined between October and November as the bottom end of the market brought the average down. Curd prices have fallen which has led to the bottom end of Cheddar markets following suit, while the higher end of the market stayed fairly static. Mature trade is reported as almost non-existent in November resulting in another month of no price being reported.