# Milk contracts point to a modest recovery that does not cover rising costs

> Dairy processors are beginning to present their final contract offers to farms in Galicia, Spain. The European Commission reports that the average EU milk price rose by more than 2 cents in September and October, to 45.2 cents, and milk powder prices are up 66% year on year. Lactalis is reportedly leaning toward a 1.5-cent increase, below the 2 to 3 cents farms had hoped for.

- Date: 2026-11-13 · published 2026-11-14T18:09:21.506Z
- Category: market · region EU · magnitude low
- Page: https://feedsoft.ai/events/99713-milk-contracts-point-to-a-modest-recovery-that-does-not-cover-rising-costs
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md), [Nonfat Dry Milk](https://feedsoft.ai/c/NFDM.md)

## Why it matters

Higher EU milk and milk powder prices support dairy feed demand and the value of dairy byproducts. Rising energy, fertilizer and feed costs squeeze farm margins, which could limit herd expansion and future milk supply.

## Read by commodity

- MILK: bullish ▲
- NFDM: bullish ▲

## Sources

- campogalego.es: https://www.campogalego.es/los-contratos-de-la-leche-apuntan-a-una-timida-recuperacion-que-no-cubre-el-aumento-de-costes/

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