After a period of declining prices, several major retail chains are now increasing the price of butter. According to the retailers, the rise reflects changing market conditions and higher purchasing costs.

The price of German private label butter is once again increasing in supermarkets. At several major retail chains, the price of a 250-gram pack has been raised from 99 cents to €1.19, according to the German newspaper Handelsblatt.

According to a survey by Deutsche Presse-Agentur among Germany’s largest grocery retailers, both discount chains and supermarkets have adjusted their prices. Chains such as Aldi Nord and Lidl point, among other things, to higher purchasing costs as the reason.

At the retail chain Kaufland, broader market conditions are also cited. According to a spokesperson, pricing is influenced by the current market situation as well as the balance between supply and demand.

Butter prices in Germany reached a historic high in October 2024, when the cheapest private label product cost around €2.39. Prices subsequently declined as global milk prices fell and German dairies received significantly larger volumes of milk.

The latest increase at retail level can therefore be seen as a sign that the market is once again shifting.

By Maja Løvstrup
Source: FødevareWatch
Photo: Colourbox