EU Skimmed Milk Powder remains competitive in a volatile global market

EU SMP benchmarks recovered steadily at the start of 2026, supported by competitive pricing and lower volatility compared with other major exporters, although prices remain below year-earlier levels. Production expanded faster than milk supply in key producing countries, reflecting a strategic reallocation toward powder and increasing market availability. Despite weaker trade with Algeria, EU exports grew strongly, with higher shipments to the Middle East and Southeast Asia offsetting regional disruptions.