Global skimmed milk powder prices hit highest level since 2022

Global skimmed milk powder (SMP) prices continue to rise amid stronger demand for dairy ingredients, particularly from Asian buyers. At the Global Dairy Trade (GDT) auction held on November 3, 2026, the average SMP price increased by 3.1% to $4,109/ton, reaching its highest level since June 2022. The overall GDT Price Index rose by 3%, marking its third consecutive increase. Meanwhile, whole milk powder prices climbed by 5.9%, cheddar prices increased by 8.6%, and mozzarella gained 5.8%.

Despite the broader strengthening of dairy markets, price trends across individual products remain mixed. Butter prices fell by 4.7% at the latest GDT auction, while anhydrous milk fat declined by 3.2%. This indicates stronger demand for dairy protein and cheese products, while the milk fat segment remains under pressure. Purchases by Asian countries, particularly China, have played an important role in supporting prices. Meanwhile, SMP prices for future deliveries suggest cautious market expectations: December contracts were priced at $4,121/ton, January at $4,117/ton, February at $4,100/ton, and March at $4,075/ton.

Skimmed milk powder prices have also risen significantly in the European market. As of early November, the average EU SMP price reached €3,427/ton, up 59.3% compared with the same period last year. By comparison, the product traded at around €2,078/ton in January 2026 and approximately €3,110/ton in September. In late October, prices stood at about €3,715/ton in Germany, €3,690/ton in the Netherlands, €3,617/ton in France, and €3,309/ton in Poland. SMP has therefore recorded the strongest price growth among the main milk powder categories over the year.

European whole milk powder (WMP) prices are also recovering from their summer decline, although their growth has been considerably more moderate. As of November 1, the EU average reached €3,893/ton, up 12.2% year-on-year. In September, WMP prices increased by 6.9% from August to €3,790/ton, before approaching €3,849/ton in late October. Despite the much faster increase in SMP prices, whole milk powder remains the more expensive product, with the average European price difference standing at around €466/ton in early November.

For Ukrainian milk powder producers, rising global and European prices create opportunities to increase export revenues and renegotiate contract prices. However, trade quotas, logistical risks, and potential delivery delays continue to limit these opportunities. Profitability also depends on raw milk costs, energy prices, and developments in the butter market. SMP market conditions are expected to remain relatively favorable in late 2026 and early 2027, although rising milk production in major exporting countries and stronger competition could limit further price increases.

Tags: Ukraine, EU, milk powder, global market