DCA benchmarks: Protein commentary week 30

The whey protein market maintained a quiet activity in week 30 (July 22). Benchmarks eased slightly at a high level. Despite recent price declines, supply constraints and committed production continue to support the market, while contributors see supply and demand moving into better balance. Market participants expect activity to return after the summer break, potentially supporting prices from September onwards.WPC80 benchmarks closed at €25,500 per ton, reflecting a slight decline of 0.6% over the previous week. Although prices have declined for the fifth week in a row, they remain 32.1% above the last week of March.Price movements did not reflect a major activity in the spot market, which was marked by the characteristic quiet environment of the holiday season in the EU. While demand in the market is sufficient, production is constrained and most production is already committed, limiting availability in the market significantly. There is also a significant spread in WPC pricing, ranging between €25,000 and €29,000, depending on the origin and the quality of the product.Activity in the WPI90 market was even more subdued, with benchmarks declining by 1.2% week-over-week to €30,625. Prices have also declined by 3.9% compared to the previous month, fluctuating at a high level since mid-May.Overall, contributors observed that supply and demand were moving more into balance, with drying capacity and other constraints restricting availability. Trading activity remains limited throughout the summer period, but buyer interest is expected to improve after the holidays. Some contributors have even anticipated firmer pricing from September onwards. At the same time, the US market also reflected tightness and robust prices across a range of whey products, such as whey powder and WPC34. Instead of abundance, supply remains balanced, limiting the overall availability of products in the market.