World butter prices hit a record high: FAO index reached 225 points

In June 2025, the global butter price index increased by 2.8% and reached a record high of 225 points. This is evidenced by data from the Food and Agriculture Organization of the United Nations (FAO).

The butter price index showed the largest monthly increase among all product categories. The reason for this was the restriction of supplies from Oceania and the European Union, as well as high demand from Asian countries.

FAO's overall dairy price index rose by 0.5% in June and was 20.7% higher than a year ago.

The increase was driven by lower production in New Zealand due to seasonal milk yields, a decrease in the number of cows in the EU, the effects of the bluetongue virus outbreak in some regions of Europe and low butter stocks in the US.

Cheese prices also continued to rise for the third month in a row, in particular due to stable demand in East Asia.

At the same time, prices for skimmed milk powder decreased by 0.6%, while full milk powder fell by 2.3% amid weak demand and high supply.

The overall FAO Food Price Index in June amounted to 128 points, which is 0.5% more than in May and 5.8% higher than in June 2024.

But it is still 20% lower than in March 2022, when prices skyrocketed after Russia's full-scale invasion of Ukraine.

• on July 4, Ukraine was elected to the Council of the UN Food and Agriculture Organization (FAO).