Milk Glut Drags Fonterra Forecast Down to $9.20/kgMS
A milk glut around the world shows no sign of easing, putting downward pressure on farmgate milk prices for the next few months.
The GDT price index rose 1.3% to US$3,537, up from US$3,517 at the previous auction three weeks ago. Some 21,273 tonnes of product was sold, below the 22,030 tonnes at the previous auction.
The all-important whole milk powder rose 1% to US$3,314 a tonne; skim milk powder inched 0.1% higher to US$2,608 a tonne.
There were a few big gains too; lactose jumped 12.4 % to US$910 a tonne, while butter climbed 4.9% to US$4,593 a tonne. Anhydrous milk fat gained 4% to US$5,765 a tonne.
Key Results
AMF index up 4.0%, average price US$5,765/MT
Butter index up 4.9%, average price US$4,593/MT
BMP index down 7.5%, average price US$2,254/MT
Ched index down 3.7%, average price US$3,798/MT
LAC index up 12.4%, average price US$910/MT
RenCas index down 0.4%, average price US$6,445/MT
SMP index up 0.1%, average price US$2,608/MT
WMP index up 1.0%, average price US$3,314/MT
