Prices for butter grow in Europe and Lithuania

Home page News Prices for butter grow in Europe and Lithuania
Wholesale prices for butter in Lithuania and Europe increased by about two times, and the product in retail prices went up by 20 percent, writes CNN Money.

The union of French bakers calls the situation a crisis and predicts a rise in the price of bakery products, croissants and other sweet and savory products in the production of which this kind of oil is used. Bakers noted that the price continues to fluctuate, but is at an all-time high. Also they do not exclude the deficit of the product before the end of this year.

The reason was a sharp increase in demand for it from several countries, including China and other eastern states. This dramatically affected consumption growth. Another reason was the statement that the relationship between oil consumption and cancer was not proven. Prior to this, popular products were margarine and many others instead. The author of the study, refuting the damage to the product for the heart, was the scientist and analyst Euromonitor in the food production Rafael Moreau. It was published in 2016. In it, the author stated that health problems arise more often from uncontrolled consumption of sugar than fats, writes Spitnik Lithuania. Moro also noted that consumers in general became more interested in other natural products with a minimum degree of processing.

In China, the demand for dairy products is growing most significantly. According to the US Ministry of Agriculture, it has already grown by almost a third, and by the end of the year will increase by 38 percent. The main suppliers of products to China are the EU countries and New Zealand, as well as Poland, which creates competition for prices and volumes of exports.

Also, the ministry predicts that by 2018, world consumption of butter will be three percent higher. According to him, on average, one European in 2015 consumed 8.4 pounds (3.81 kg.) Of the product, which is half a pound higher than in 2010. For the American, the figure rose by 0.7 pounds - to 5.6, that is from 2.22 to 2.54 kg.

Before the collapse of product prices in the European market for several years, there were problems with the industry, the news agency reported. According to Moreau, only in Great Britain more than 1 thousand enterprises working in this sphere were closed. Also in Europe there was a shortage of oil, which, according to experts, was the third reason for price increases. According to the European Commission, only in May this year production fell by five percent. According to the analyst of the dairy market of Mintec Michael Liberty, against the background of the increased demand this may lead to a further rise in price of oil. Earlier, the CEO of one of the UK's largest dairy companies Arla Peter Tuborg warned about a possible shortage of milk and cream for Christmas. All this creates great problems for dairy interventions, which were in the immediate plans of the European Union.