Consumers in Portugal are paying two cents less for a litre of semi-skimmed milk, which reached an average price of 0.89 euros in July, according to data from the Price Observatory. In January, the litre cost around 0.91 euros. The price remained stable between January and February, fell to 0.89 euros in March, where it remained for two months, rose to 0.90 euros in June and fell again the following month.
The average price of milk purchased from producers fell to 0.447 euros per kilogram in June, the lowest value at least since the beginning of the year, according to the Planning, Policies and General Administration Office. In January, the producer price had reached 0.465 euros per kg. Organic milk at production level also dropped, going from 0.552 euros per kg in January to 0.509 euros in June.
The milk price drops will cost national producers around 72 million euros in 2026, according to an estimate from the Portuguese Milk Producers Association. The three-cent drop per litre compared to 2025 already represented 60 million euros, to which another 12 million euros from the new 1.5-cent drop per litre announced in July by Lactogal cooperatives will be added, to take effect from August.
At the beginning of August, producers contested the price drop and demanded its restoration in September, warning of the risk of abandoning the activity at a time when they face rising costs of fertilizers, feed and energy. Cooperatives justified the drops with market conditions, related to the price of powdered milk, the difficulty in selling packaged milk and aggressive promotions. Aprolep considered the government aid announced for farmers as clearly insufficient.
