Beemster effect slows milk price decline at Cono

The milk price of Cono cheese makers for the month of November decreases again, but the decline compared to other dairy producers is slightly less. This seems to be explained by a 'Beemster effect', which did not help during the period of very high milk prices, but now does. The decrease of the Cono milk price for November amounts to €2.39 per 100 kilos. This brings the weighted average milk price to €49.36 per 100 kilos. The basic price for November then amounts to €45.10 per 100 kilos. With this price, Cono suddenly becomes an average player, while in October it was still a laggard. Two companies pay a fraction more and one (Arla) pays €1.97 per 100 kilos more for November. This is because the selling prices of the cheeses that Cono produces are less responsive to market changes. This can sometimes be a disadvantage, for instance in a rapidly and strongly rising market. It can also be an advantage, as is the case currently, now that prices are rapidly and strongly falling. The more exclusive character of the premium cheeses that Cono makes is now again more noticeable. When cheese prices were high all around, consumers often proved unwilling to pay a bit more for Beemster cheese; this could change again now, but this must still become clearer. For now, it is mainly the less rapidly responding prices in the segment where Cono is active that contribute to a 'more resilient' milk price.