Dairy product prices gain for first time in five auctions

Dairy product prices rose at the Global Dairy Trade auction, gaining for the first time in five events, amid strong demand.

The GDT price index increased 2.7 percent from the previous auction two weeks ago. The average price was US$3,587 a tonne. Some 19,262 tonnes of product was sold, up from 17,222 tonnes two weeks ago.

Whole milk powder rose 0.6 percent to US$3,311 a tonne. 

“Fonterra did lift its whole milk powder offer volumes ahead of this event; however solid demand seems to be absorbing anything New Zealand has to offer at the moment,” Amy Castleton, AgriHQ dairy analyst, said in a note. 

There was 31 percent more whole milk powder sold at this auction compared to the one two weeks ago, with buyers taking nearly everything that was available, according to Castleton.

At the latest GDT auction, lactose rallied 14.8 percent to US$687 a tonne, while anhydrous milk fat climbed 5.3 percent to US$6,120 a tonne.

Cheddar rose 4.6 percent to US$3,855 a tonne, while skim milk powder advanced 3.6 percent to US$1,913 a tonne.

Rennet casein gained 3.1 percent to US$5,792 a tonne, while butter added 2.9 percent to US$5,654 a tonne. 

Butter milk powder was not offered at this event.

The New Zealand dollar last traded at 73.42 US cents as of 1.04pm in New York, compared with 73.63 US cents at the previous close in Wellington.

There were 102 winning bidders out of 182 participating at the 16-round auction. The number of registered bidders rose to 518, up from 514 at the previous auction.

(BusinessDesk)

Comments from our readers

No comments yet

Add your comment:

Your name:
Your email:	Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.

Related News:

MARKET CLOSE: NZ shares fall to 5-week low as trade tensions spook investors; A2 drops
NZ dollar benefiting from weaker greenback as markets fret about global growth
PM mum on Kiwibuild head Stephen Barclay's status
Mataura Valley begins infant formula trials
CEO pay and non-GAAP reporting are linked, study shows
ACC levy cuts worth $50M a year to business, says Ardern
Unfair business practices on borrowed time
New director of Vital Healthcare’s manager unfazed by fire-at-will clause
QMS pulls out A$35M from NZ unit in MediaWorks merger
Take care to avoid