Wednesday 8th August 2018
|Text too small?|
Dairy product prices were steady at the Global Dairy Trade auction as a rally in rennet casein offset a drop in butter milk powder.
The GDT price index was unchanged in percentage terms from the previous auction three weeks ago. The average price was US$3,136 a tonne, compared with US$3,222 a tonne three weeks ago. Some 34,076 tonnes of product was sold, up from 25,454 tonnes three weeks ago.
Whole milk powder eked out a 0.1 percent gain to US$2,958 a tonne.
However, regular grade whole milk powder for next month shipping jumped 8.9 percent to US$3,195 a tonne, according to AgriHQ dairy analyst Amy Castleton. This indicates “there is some strong short-term demand for whole milk powder,” she said in a note.
At the latest GDT auction, rennet casein rallied 8.0 percent to US$4,971 a tonne, while cheddar gained 1.3 percent to US$3,663 a tonne, and anhydrous milk fat rose 1.2 percent to US$5,709 a tonne,
Meanwhile, butter milk powder dropped 5.9 percent US$2,441 a tonne, while butter slid 3.2 percent to US$4,802 a tonne.
The decline in butter was a surprise, according to Castleton, as it “had been expected to see the largest lift this week.”
Skim milk powder slipped 0.3 percent to US$1,972 a tonne.
Medium-heat skim milk powder to ship in October dropped much more than expected, Castleton said. “However, prices did lift for contracts 3, 4 and 5, indicating there is stronger demand further out,” she said.
For sweet whey powder and lactose, neither an index nor price was available.
The New Zealand dollar last traded at 67.35 US cents as of 3.41pm in New York, compared with 67.33 US cents at the previous close in Wellington.
There were 126 winning bidders out of 191 participating at the 13-round auction. The number of registered bidders was 529, up from 524 at the previous auction.
“There were fewer buyers from North Asia at this event than at the July 18 GDT event, but the presence of buyers from South East Asia and Oceania, and from South America was strong,” according to Castleton.
No comments yet
MARKET CLOSE: NZ shares gain; a2 jumps to 12-month high as earnings outperform
NZ dollar drifts lower following early boost from rising dairy prices
Meridian positions for next generation development
Kiwibank lifts first-half net profit 47.6% amid rekindled growth
John Fellet: Came to Sky TV for 18 months, stayed 28 years
Marsden Maritime net profit down on lower cargo through Northport
Countdown supermarkets 1H earnings dip as digital investment continues
Fletcher open to re-entering high rise construction market
Power price spike put margin squeeze on NZ producers in Dec quarter, stats show
Tilt Renewables to raise A$260m of new equity