Hello everyone and welcome to our latest update on the dairy industry. We hope all of our customers enjoyed a prosperous summer and everyone is rejuvenated after the holiday season! Activity has been relatively quiet regarding dairy pricing throughout the summer months with butter the only commodity to show major movement. Apart from that, cheese prices have been relatively stable which I hope is a positive for our customers who don’t have to deal with the turbulence of previous years.
The summer flush period has ended and we now look ahead to Q4. We have enjoyed one of the longest periods of stability in the dairy industry for some time and we hope the calm continues for a little longer. We appreciate the challenges a volatile market presents to our customers as many have agreed long term pricing with retail clients. The sustained period of price rises over the last few years was very difficult to comprehend but the tide has turned in recent times so hopefully this has offered our customers a secure footing. The next few months are difficult to predict due to the political uncertainty in the ongoing negotiations between the world’s second largest dairy importer the UK and EU. However, due to the high stakes, we hope sense will prevail and a favourable agreement is reached for both sides. If this occurs we should be looking at another period of stability due to healthy milk volumes and positive market conditions. In the event of the many scenarios that can happen you can rely on Ingredient Solutions to maintain consistency of supply due to the long standing relationships we have built with our suppliers. We hope we are continuing to live up to the high standard of service expected of us and wish you a successful Q4 as we look ahead to the looming festive season!