Glut in global milk supply keeping prices down
The final Global Dairy Trade (GDT) auction has delivered bad news for dairy farmers.
The result was mostly due to an increase in the whole milk powder price, which was up 19.2% with an average price of US$2,874 per tonne.
It is the fourth consecutive increase in GDT's trade weighted index.
The auction was the first since Fonterra reduced its milk volume forecast last week.
Key results were:
AMF index down 5.4%, average price US$4,067/MT
Butter index up 6.1%, average price US$3,783/MT
BMP index down 0.4%, average price US$2,436/MT
Ched index down 11.1%, average price US$2,636/MT
LAC not offered
RenCas index up 7.7%, average price US$8,776/MT
SMP index up 6.7%, average price US$2,598/MT
SWP index not available, average price not available
WMP index up 19.2%, average price US$2,874/MT
