Wednesday, 08 April 2020 13:19

Surprise rise in dairy prices

Written by  Sudesh Kissun

Dairy prices overall were up slightly in last night’s Global Dairy Trade auction.

However, there were mixed results across products: whole milk powder prices rose by 2.1%, while skim milk powder prices dipped 0.8%.

Butter prices rose by 4.5%, but anhydrous milk fat was up just 0.5%. Buttermilk powder, which wasn’t offered at the previous auction, was down sharply.

Westpac senior economist Michael Gordon says the auction results were surprisingly positive, against the backdrop of a severely weakened global economy as many parts of the world have locked themselves down to slow the spread of COVID-19.

“It was, however, in keeping with the calmer tone in world financial markets since the last auction on 18 March,” he says.

Key results:

AMF index up 0.4%, average price US$4,345/MT

Butter index up 4.5%, average price US$4,263/MT

BMP index down 11.9%, average price US$2,446/MT

Ched index up 0.2%, average price US$4,395/MT

LAC index up 4.4%, average price US$959/MT

RenCas index down 2.6%, average price US$9,717/MT

SMP index down 0.8%, average price US$2,514/MT

SWP index not available, average price not available

WMP index up 2.1%, average price US$2,820/MT

 

More like this

China keeps dairy prices high

Whole milk powder (WMP) prices are now sitting above pre-Covid-19 levels and New Zealand farmers can thank a resurging Chinese economy for that.

Holy cow!

Last week's whopping rise in dairy prices is encouraging, but it’s too early to pop the champagne, say analysts.

Featured

Lindsay Farm raw milk recall

Raw milk from Central Hawke’s Bay producers Lindsay Farm is being recalled after Campylobacterbacteria was found in some product.

 

Carcase collection impasse

Collection of dead calves from farms around the country has stopped with farmers and the recycling company blaming each other for the impasse.

Taking NAIT seriously

North Otago calf rearer Jared Ovens believes the Mycoplasma bovis outbreak has led to more farmers embracing animal traceability.

» The RNG Weather Report

» Latest Print Issues Online

Milking It

No hidden cameras

A court has ruled that hidden camera footage showing cows being beaten with a steel pipe is unlawful partially on…

Avo milk

You've heard of soy milk and almond milk……now’s time to meet Avocado milk.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter