Raw milk prices in the EU have stabilized and began to strengthen in August due to lower milk yields and a deteriorating feed base resulting from heatwaves and drought. In the fourth quarter, a reduction in raw milk production in the EU is expected, which, together with rising feed costs and shrinking dairy product stocks, creates preconditions for further increases in procurement prices.
According to preliminary European Commission data, in August 2026, the average raw milk price in the EU stood at 42.22 euro cents per kg, which is 0.40% more than in July 2026. Relative to the price as of August 2025, milk in the EU depreciated by 20.64%. In August, the price for extra grade milk in Ukraine stood at 33.42 euro cents per kg.
Relative to July 2026, the raw milk price grew in nine EU member states, namely in Belgium to 42.50 euro cents per kg (+12.34%), Bulgaria to 41.58 euro cents per kg (+0.58%), Denmark to 44.41 euro cents per kg (+2.14%), Greece to 58.20 euro cents per kg (+0.34%), Lithuania to 35.45 euro cents per kg (+0.14%), the Netherlands to 42.50 euro cents per kg (+3.03%), Austria to 45.50 euro cents per kg (+1.13%), Romania to 34.86 euro cents per kg (+0.69%), and Finland to 47.50 euro cents per kg (+0.21%).
In August, procurement prices did not change in Germany, Ireland, Spain, Italy, Cyprus, Malta, Portugal, or Sweden compared to July 2026.
Over the last month, raw milk depreciated in 9 countries, including the Czech Republic to 39.08 euro cents per kg (-0.20%), Estonia to 38.00 euro cents per kg (-0.84%), France to 43.38 euro cents per kg (-1.79%), Croatia to 47.53 euro cents per kg (-0.23%), Latvia to 36.95 euro cents per kg (-0.48%), Hungary to 34.80 euro cents per kg (-1.28%), Poland to 40.14 euro cents per kg (-0.22%), Slovenia to 38.09 euro cents per kg (-1.09%), and Slovakia to 36.11 euro cents per kg (-1.58%).
The most expensive raw milk is in Cyprus (66.55 euro cents per kg) and Malta (63.66 euro cents per kg). The lowest prices for milk are received by farmers in Romania (34.86 euro cents per kg) and Hungary (34.80 euro cents per kg).
Relative to August 2025, raw milk prices grew only in Greece (+4.32%) and Cyprus (+4.31%).
Milk prices decreased in 24 countries, namely in Belgium (-17.44%), Bulgaria (-12.61%), the Czech Republic (-27.39%), Denmark (-20.70%), Germany (-26.02%), Estonia (-23.74%), Ireland (-20.60%), Spain (-10.60%), Croatia (-2.02%), Italy (-20.69%), Latvia (-22.31%), Lithuania (-27.76%), Hungary (-30.55%), Malta (-1.55%), Malta (-1.55%), the Netherlands (-24.44%), Austria (-20.23%), Poland (-24.78%), Portugal (-5.63%), Romania (-21.06%), Slovenia (-24.60%), Slovakia (-27.31%), Finland (-8.95%), and Sweden (-20.21%) compared to last year's period.
Milk prices in the EU have already stabilized and started strengthening. Preconditions exist for their further growth. According to AHDB data, heatwaves at the end of June and in July led to a drop in raw milk production in Europe, especially in France and Germany. France during certain periods produced 7.5% less milk than last year, while Germany reduced milk yield volumes by 3%. As IFCN reports, at the end of August air temperatures decreased somewhat in Europe, but dry weather during previous weeks negatively affected the production of protein feeds, particularly rapeseed and sunflower. Grass and agricultural crops grew slower, and their quality deteriorated. Some farmers were forced to harvest feed and crops earlier to avoid losing them due to further drought. The feed supply this year may be smaller, and its nutritional value lower.
According to Rabobank's forecast, in the fourth quarter of 2026, milk production in the EU may decrease by 1.6% relative to last year's period. According to IFCN estimates, futures prices for raw milk in the EU may reach 49 US dollars per 100 kg by the end of 2026. Feed prices are going up, which may lead to a further increase in farmers' production costs, raw milk prices, and dairy product prices in the coming months. If the situation does not improve, farmers will have to limit themselves to less feed and cut raw milk production volumes, or buy additional feed and increase the share of concentrates, which will allow supporting high milk yields but will lead to an increase in milk production costs.
A reduction in warehouse stocks of dairy products also pushes prices upward. As FAO reports, the reduction in milk yields in the EU and the decrease in milk fat supply in August due to hot and dry weather in a number of major producing regions contributed to price increases for milk powder, cheeses, and butter. European cooperatives are revising procurement prices upward. In particular, in September, the dairy cooperative Arla Foods raised the price by almost 1.00 euro per 100 kg of raw milk.
Press service of the Association of Milk Producers
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