By FWi staff
THE new quota year has had a slow start this week with few enquiries and even fewer deals. Leased quota values remain steady this week although demand is slightly up, noted one quota agent.
Leased quota of 4% butterfat is at 6.7ppl with 3.7% at 6.2ppl.
But the lack of confidence in the future milk price is causing many lessees to hold off on these prices, said a spokesman from ADAS Quota Direct.
Clean milk quota is also slow to start with prices slightly down on the 100% used price for 1998/99. Plentiful new year supplies is the reason behind this fall, noted Mark Dyson of Exeter-based quota agents, Townsend.
“It seems likely now that the price for 4% will drop to about 30ppl once the new milk prices have an affect on the market,” he added.
Clean quota slipped back this week at 32.75ppl for 4% butterfat with 3.79% at 30.5ppl.