# Butter/SMP returns exceed Cheddar for first time in 16 months | AHDB

> AHDB reported that October returns for butter and SMP processors exceeded returns for mild Cheddar for the first time in 16 months. Rising SMP values, driven by tighter supply, offset weaker butter prices, while declining whey prices reduced Cheddar-side returns.

- Date: 2019-11-05 · published 2019-11-05T12:00:00.000Z
- Category: market · region UK · magnitude low
- Page: https://feedsoft.ai/events/56069-butter-smp-returns-exceed-cheddar-for-first-time-in-16-months-ahdb
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Stronger SMP returns signal firmer demand for skim milk powder, a dairy protein used in animal feed. Shifting processor economics can redirect milk toward butter and powder production.

## Read by commodity

- MILK: neutral

## Sources

- ahdb.org.uk: https://ahdb.org.uk/news/butter-smp-returns-exceed-cheddar-for-first-time-in-16-months

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.