The falling value of the Euro against Sterling led to a significant fall in UK intervention prices for milk products during August.

Butter intervention price fell by £60 per tonne to around £2040 per tonne and skimmed milk powder was down by £40 to around £1420 per tonne by the end of the month.

The markets, however, appear to be shrugging off the support price cuts and to be following the rising market prices on the continent.