Global Dairy Trade Auction Sees Price Increase
Source: dairynews.today
The latest Global Dairy Trade auction reported a 1.1% increase in prices with skim milk powder showing the largest rise.
Prices have lifted in the latest Global Dairy Trade auction, held overnight, with a 1.1% increase across the board. This comes after the previous event two weeks ago, where prices didn’t budge.
Despite butter prices declining by 1.2%, they remain at record levels. Concurrently, anhydrous milk fat and cheddar witnessed increases of 2.3% and 1.7%, respectively, pointing to a resilient dairy market. Notably, mozzarella, and lactose experienced declines of 4%, and 2.6%, respectively. While the recent surge offers optimism, the index is still 20% lower than its 2021 pinnacle.
Whole milk powder — which has the biggest impact on Fonterra’s farmgate milk price—dipped 0.1% to an average of US$4062/MT.
Skim milk powder — Fonterra’s second-biggest reference product—clocked the largest increase, up 5.9%, to an average of US$2876/MT.
Anhydrous milk fat gained 2.3% to an average of US$6705/MT, and cheddar was up 1.7% to an average of US$5018/MT.
Dairy producers like Fonterra are expected to maximize milk output in response to current feed conditions, balancing financial forecasts and productivity demands.
Despite butter prices declining by 1.2%, they remain at record levels. Concurrently, anhydrous milk fat and cheddar witnessed increases of 2.3% and 1.7%, respectively, pointing to a resilient dairy market. Notably, mozzarella, and lactose experienced declines of 4%, and 2.6%, respectively. While the recent surge offers optimism, the index is still 20% lower than its 2021 pinnacle.
Whole milk powder — which has the biggest impact on Fonterra’s farmgate milk price—dipped 0.1% to an average of US$4062/MT.
Skim milk powder — Fonterra’s second-biggest reference product—clocked the largest increase, up 5.9%, to an average of US$2876/MT.
Anhydrous milk fat gained 2.3% to an average of US$6705/MT, and cheddar was up 1.7% to an average of US$5018/MT.
Dairy producers like Fonterra are expected to maximize milk output in response to current feed conditions, balancing financial forecasts and productivity demands.
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