By FWi staff
TRADE in milk quota finally showed some signs of life this week after higher-than-expected production figures for April. But vendors remain sceptical, preferring to lease quota rather than buying it outright.
Intervention Board statistics to the end of April show deliveries were down by 62 million litres on the same period last year. The figures represent a loss in production, but were still higher than many producers expected.
UK dairy producers are already over quota by 6.16 million litres or 0.51%, sparking renewed interest from farmers chasing leased quota. Less than 1210m litres were delivered last month, compared to more than 1,270m during April last year.
Like other traders, agents Bruton Knowles report an “exceptionally busy week of trading for the time of year.” Quota at 4% butterfat climbed is currently being leased for 7ppl. But prices for sold quota remain steady at 34ppl.