Prices continue to improve but traded volumes are very low.

With the summer holidays so close it seems that we´ll have a period of stability.

SMP 1,70-1,75 Eur/Kg. Exw and Butter 3,00-3,10 Eur/Kg. Exw.

Price of Smp has risen slightly. The European Commission is about to aprove a third tranche of 132.000 mt. This will maintain the floor in the market for Smp. 1,63 Eur/kg. Exw.

If the Cheese prices continue to rise as well, more milk may be to produce cheese, butter production will be reduced and sustaining the current price level. Butter over 2,90 Eur/Kg. Exw.

The Eu Intervention purchases are effective in stabilizing prices so that the milk prices will fall more. The 2º tranche will be completed at the end of May. What will happen then?

The production of milk and butter is at its highest peak.

SMP about 1,62 Exw and Butter about 2,40-2,45 Exw.

Markets say prices are going to continue at current levels. EU intervention and weak imports keep prices firmly.

Regarding the SMP, with intervention by 2015 limit reached, expected an agreement for the 2nd leg. SMP at 1,60-1,65 Eur/kg. Exw.

Since early April butter prices have begun to fall slightly due to increased production. 2,40 Eur./kg. Exw.

The large surplus of milk in Europe keeps very low prices. With the spring and the highest peak of production, prices haven´t upward potential. SMP is at levels of 1,60-1,65 Eur./Kg. Butter down to 2,40 Eur./Kg. Exw.

About SMP there are no changes in demand or production. We continue to intervention levels, 1-68-1, 70 Exw.
Butter continues with a fairly balanced market supply and demand, 2, 80-2, 85 Eur.Kg. EXW.