By FWi staff
MILK quota prices have continued to firm over the week following the recent production figures which indicated UK milk production was above profile again.
Trading of leased milk quota has been busy, said Mark Dyson of Townsend Chartered Surveyors.
He believes the increased activity was triggered by September production figures and the October milk cheque.
“And most of the quota available earlier in the month has now been leased out,” he said. “Shortages of supply may cause leasing prices to firm again.”
However, a spokesman from ADAS Quota Direct said many lessees are continuing to hold off at these prices.
Leased quota of 4% butterfat firmed at 6.6ppl with 3.79% rising to 6.0ppl.
The sale market has definitely woken up from its slumber with 4% quota trading at 30.75ppl respectively, said a spokesman from WebbPaton quota agents.
“The activity level in the next few days will be crucial in deciding whether prices rise further. Either way they look unlikely to fall.”
The supply of 100% used quota remains limited with 4% butterfat at 23.50ppl and 3.90% at 22.50ppl