Yes, butter is expensive – but how does it compare to other countries?
Source: dairynews.today
The price of a 500g block of butter has risen significantly in New Zealand, sparking concerns and comparisons with global prices.
Butter prices in New Zealand have surged by 60% over the past year, bringing the average price of a 500g block to $7.32. This substantial increase highlights a global trend where butter prices are rising. In Europe, butter prices have surged by 19% from October 2023 to October 2024.
Meanwhile, neighboring Australia sees similar pricing, with 500g blocks ranging from $7.69 to $8.25. The price increases can be attributed to a mix of international market pressures and domestic issues, including limited competition in the supermarket sector.
Fonterra's recent financial success, marked by a $729 million profit and a rise in its interim dividend, underscores New Zealand's significant role in the global dairy market. The FAO Dairy Price Index indicates a continuing upward trend in dairy prices, propelled by broad-based price increases across all major dairy commodities, including butter.
Meanwhile, neighboring Australia sees similar pricing, with 500g blocks ranging from $7.69 to $8.25. The price increases can be attributed to a mix of international market pressures and domestic issues, including limited competition in the supermarket sector.
Fonterra's recent financial success, marked by a $729 million profit and a rise in its interim dividend, underscores New Zealand's significant role in the global dairy market. The FAO Dairy Price Index indicates a continuing upward trend in dairy prices, propelled by broad-based price increases across all major dairy commodities, including butter.
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