increase font size
The Global Dairy Trade overall price index remaining unchanged overnight.
ASB is sticking with its 2016/17 milk price forecasts of $6/kgMS, with the Global Dairy Trade overall price index remaining unchanged overnight.
"However, we note that to maintain our forecast, prices will need to rise materially over coming months, particularly as peak auction volumes are on offer for the season over the coming three months or so," says ASB rural economist Nathan Penny.
Last night's overall result was in line with expectations, says Penny. Butter prices dipped 5%, while SMP and cheddar also fell circa 1%. In contrast, Anhydrous Milk Fat and casein prices were up a touch.
"From here, and with the market focus shifting away from Brexit, dairy fundamentals should begin to drive price movements once again.
"On that front, we continue to look to data that support or otherwise our view that global supply is tightening. For example, Fonterra's NZ collections were down 10% in June versus June 2015, although it is still early days in the NZ production season."
Key Global Dairy Trade Event 168 results:
AMF index up 0.2%, average price US$3,628/MT
Butter index down 5.0%, average price US$2,687/MT
BMP index down 0.5%, average price US$1,565/MT
Ched index down 1.1%, average price US$2,886/MT
LAC index down 4.0%, average price US$721/MT
RenCas index up 0.4%, average price US$5,286/MT
SMP index down 1.1%, average price US$1,927/MT
WMP index up 1.9%, average price US$2,079/MT
Global Dairy Trade (GDT) and Arla Foods have announced that Arla will begin offering European-sourced skim milk powder (SMP) on GDT Pulse from May 2025 as part of an extension to the GDT Pulse pilot.
A global trade war beckons, which is bad news for a small open economy like New Zealand, warns Mark Smith ASB senior economist.
ASB's new head of food and fibre, Kristen Ashby, believes that there’s “heaps of opportunity” in the agriculture sector.
Dairy and beef farmers could be eligible for lower interest lending options for financing Halter on their farms, with ANZ, ASB and BNZ now offering a pathway to sustainability loans for New Zealand’s largest virtual fencing provider.
A significant rise in Global Dairy Trade (GDT) auction last week has prompted one bank to lift its forecast milk price for the season to above Fonterra's mid-point.
The Good Carbon Farm has partnered with Tolaga Bay Heritage Charitable Trust to deliver its first project in Tairāwhiti Gisborne.
Education union NZEI Te Riu Roa says that while educators will support the Government’s investment in learning support, they’re likely to be disappointed that it has been paid for by defunding expert teachers.
The Government says it is sharpening its focus and support for the food and fibre industry in Budget 2025.
A European Union regulation ensuring that the products its citizens consume do not contribute to deforestation or forest degradation worldwide threatens $200m of New Zealand beef and leather exports.
A long-acting, controlled- release capsule designed to protect ewes from internal parasites during the lambing period is back on the market following a comprehensive reassessment.
Healthcare appears to be the big winner in this year's budget as agriculture and environment miss out.
