Global prices for dairy products rose in March 2026 for the first time in a long while, according to Just Food, citing data from the FAO. The dairy index rose by 1.2% to 120.9 points.
The dairy market: the first growth in a long time
The rise in dairy product prices marks the first increase since July and signals a gradual recovery in the milk market.
The main drivers were:
- skimmed milk powder
- whole milk powder
- butter
At the same time, the situation in the cheese sector remains challenging. In the EU, prices continue to fall due to an increase in milk supply, high production levels and weak export demand.
Factors affecting milk prices
A key factor behind the rise in dairy product prices has been higher energy costs against a backdrop of geopolitical tensions, particularly the war in Iran.
Rising energy costs are affecting the entire supply chain — from milk production on farms to processing and logistics — which is driving up prices in the dairy sector.
Source: Just Food
