SWP
US SWP prices strongly increase
Europe
The top end of the price range firms up
The SWP market in the EU is not that much different from where we were a month ago. Liquid whey availability is still good due to high cheese production but WPC-80 and WPI markets remain the prime destination of liquid whey. Therefore surplus pressure is not an issue despite demand being far from exceptional. Exports to SE Asia are OK but some resistance is felt at higher price levels. Prices of feed are around EUR 700 for nearby, delivered Netherlands. Food SWP prices moved sideways mostly with Western EU product mostly traded at EUR 800-1000 ex works and Eastern EU origins mostly at EUR 870-1050 ex works. The top end of the range starts feeling a bit firmer.
Americas
Price appreciation seems mostly supply driven
After a long period of high WPC-80 and WPI prices but comparatively low SWP prices, whey prices appear to be on their way of closing the valorization gap. The process of price appreciation appears to be mostly supply driven. Demand is OK but not exceptional. However, in an already tight supply situation due to WPC and WPI being prioritized above SWP, a couple of recent operational issues provided the impetus for the recent price increases. Food grade SWP is particularly tight and product is currently traded in a wide range of USD 0.50-0.62/lb (1100-1365/t) ex works, with possible some more upward potential in the pipeline until at least Q4.
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