News Milk
Downsides Grow on Global Dairy Trade
The decline in the Global Dairy Trade index, which had started at the previous auction, continued at event number 305 on April 5. The index as a whole fell 1%, which is 0,1% more than last time, but there were also more product prices that fell. Skimmed milk powder and Cheddar were the main gainers and thus bucked the trend.
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The outcome was not surprising. The NZX Futures Market pointed the way for the past few days. Traded volume, meanwhile, continued to decline, which is a seasonal trend. This time 21.500 tons of product were traded, against 23.000 tons on March 15.
The strongest 'market spoilage' came from the main product on the GDT, whole milk powder. Of that, the average price fell 1,5% to $4.532 per tonne. Skimmed milk powder, the second largest product in size, rose an average of 1% in price to $4.599 per tonne.
European milk powder (SMP) from Arla was slightly below that in terms of price. Skimmed milk powder from the UK sold for $4.445 per tonne, Swedish and Danish product for $4.570 per tonne. New Zealand product sold for prices between $4.625 and $4.735, while American powder sold for $4.430 per ton.