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Skimmed milk powder (SMP) and Ghee (anhidrous butter, 99% butter fat) are two of the main dairy products of India. During winter, at the peak of production, Indian dairy companies produce SMP for meeting the country's ever growing full-year demand of milk.

On this page the prices of SMP and Ghee Butter are used to calculate the theoretical value of the milk used for their production.

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Payout SMP + anhidrous butter (Ghee) in India

Considering the latest prices of SMP and Ghee in India, and some assumptions, this Payout calculates the theoretical value of whole milk produced in India and processed into SMP and Ghee.

INITIAL VARIABLES:
100 LT of Whole Milk with 3.5% p.p.m.g. Fat and
8.5% p.p. of Solids-non-fat (SNF)
100 LT of Whole Milk = 103 Kg of Whole Milk
PROCESSING of Whole Milk at 3.5% p.p. m.g. fat, 8.5% p.p. SNF
a. 3.5% p.p.m.g. Fat * 103 Kg Milk = 3.61 Kg of FAT
which produces:
3.62 Kg of ANHIDROUS BUTTER (GHEE)
(Butter 99.6% fat) 		b. 8.5 %p.p. SNF *103 Kg Milk = 8.76 Kg di SNF
which produces:
9.12 Kg of SMP
645 262 300.00 200 0.040 0.090
Your values Current prices
and indicative values
Butter price INR/Kg 645 INR/Kg
SMP price INR/Kg 262 INR/Kg
Processing Cost INR/100LT 300 INR/100LT
P-P Expenses* INR/100LT 200 INR/100LT
Theoretical price 4224 INR/100LT
46.21USD/100Kg 		4224 INR/100LT
46.21 USD/100Kg
CALCULATE RESET
*Post Procurement Expenses. Latest update: 9 - 2025

The following graph shows the historical trend of the results of the Payout SMP + Ghee in India and compares it with the price of whole milk recorded by the source.

The following graph shows the historical trend of the results of the SMP + anhydrous butter Payout in India, according to the default values. The India payout is compared with the payouts of USA, Oceania and Germany, in which butter (82% fat substance) has beeen converted to anhidrous butter (99%).

SMP and anhidrous butter, price comparison

The following tables compare the prices of SMP and anhidrous butter in the main playing countries in the World, converted into INR/Kg (Indian Rupees per kilogram). Finally, the charts complete the comparison by adding price trends in India.

Note: The prices of anhidrous butter are mathematically calculated from the prices of butter.

/Kg SMP: International prices (₹)
Germany Oceania USA India
2024 2025 % vs '24 2024 2025 % vs '24 2024 2025 % vs '24 2024 2025 % vs '24
January 233 224 -4,2% 218 241 +10,7% 219 261 +19,4% 244 234 -4,1%
February 228 225 -1,0% 226 256 +13,4% 221 249 +13,0% 225 233 +3,6%
March 223 231 +3,8% 221 252 +14,0% 216 225 +4,1% 225 247 +9,8%
April 212 233 +9,6% 214 253 +18,4% 209 217 +3,6% 235 266 +13,2%
May 218 231 +6,0% 217 252 +16,2% 209 226 +8,4% 241 267 +10,8%
June 223 241 +7,8% 225 244 +8,4% 217 239 +10,3% 248 252 +1,6%
July 216 239 +10,6% 221 239 +7,9% 218 238 +9,5% 241 248 +2,9%
August 226 245 +8,5% 217 255 +17,5% 226 245 +8,4% 238 256 +7,6%
September 243 236 -2,7% 234 233 -0,1% 248 237 -4,4% 227 262 +15,4%
October 233 223 -4,4% 235 230 -1,8% 251 223 -11,2% 222
November 233 216 -7,7% 242 228 -5,6% 257 220 -14,3% 226
December 232 243 260 220
Average 226 232   225 245   229 236   233 252  
SOURCES:
Germany: Süddeutsche Butter - und Käsebörse eV, Kempten
USA: USDA
Oceania: USDA
India: Indian Dairy Association
/Kg ANHYDROUS BUTTER: International prices (₹)
Germany Oceania USA India
2024 2025 % vs '24 2024 2025 % vs '24 2024 2025 % vs '24 2024 2025 % vs '24
January 588 791 +34,5% 559 695 +24,3% 571 574 +0,5% 457 562 +23,0%
February 595 772 +29,7% 616 757 +22,9% 602 545 -9,5% 450 578 +28,4%
March 622 831 +33,6% 646 779 +20,7% 613 529 -13,6% 456 570 +25,0%
April 622 846 +35,9% 659 769 +16,7% 644 521 -19,1% 486 582 +19,8%
May 663 833 +25,7% 682 795 +16,6% 673 533 -20,7% 513 612 +19,3%
June 711 882 +24,0% 750 819 +9,2% 680 576 -15,4% 528 611 +15,7%
July 725 879 +21,2% 727 779 +7,1% 681 576 -15,4% 550 610 +10,9%
August 816 853 +4,5% 701 769 +9,7% 692 524 -24,3% 547 608 +11,2%
September 906 773 -14,7% 655 738 +12,7% 662 427 -35,5% 547 645 +17,9%
October 881 692 -21,5% 649 717 +10,4% 589 380 -35,6% 556
November 869 664 -23,6% 722 697 -3,5% 576 344 -40,3% 561
December 849 682 566 551
Average 732 813   671 756   630 514   517 598  
SOURCES:
Germany: Süddeutsche Butter - und Käsebörse eV, Kempten
USA: USDA
Oceania: USDA
India: Indian Dairy Association

Market News World

In calo US: Cheese 40# Blocks price -6,08%
In calo US: Butter, Grade AA price -8,39%
In aumento South America: Whole Milk Powder (WMP) price +1,39%
In calo South America: Skim Milk Powder (SMP) price -3,33%
In calo Oceania: Cheddar price -2,06%
In calo Oceania: Whole Milk Powder (WMP) price -1,35%
In calo Oceania: Skim Milk Powder (SMP) price -1,89%
In calo Oceania: Butter price (82%) -0,36%

Market News Europe

In aumento Western Europe: Whey Powder Sweet price +1,85%
In calo Western Europe: WMP price -2,89%
In calo Western Europe: SMP price -2,86%
In calo Western Europe: Butter price (82%) -1,85%
In calo Poland: Butter price (82%) -7,49%
In aumento DE, Bavaria: Farm gate milk price +0,02%
In aumento France: SMP price (Poudre 0%) +0,64%
In aumento Germany: Sweet Whey feed quality price +3,23%

Market News Italy

In calo IT, Verona: Spot milk price -3,77%
In calo IT, Verona: foreign Skim Spot Milk price -2,50%
In calo IT, Verona: foreign Whole Spot Milk price -6,52%
In aumento IT: Grana Padano Production PDO +13,81%
In calo IT, Milan: Raw "spot" Organic milk price -0,80%
In calo IT, Milan: foreign Spot Milk 0,03% price -2,44%
In calo IT, Milan: Spot Milk price from Germany -4,30%
In calo IT, Milan: Spot milk price -2,88%
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