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Home Business

Global dairy prices continue on trend at last trade auction of year

December 20, 2023
in Business
Global dairy prices continue on trend at last trade auction of year
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Stock photo of butter.

Butter was up nearly 10 percent at the last global dairy trade auction of the year. (file image)
Photo: 123RF

Dairy prices have risen for the third time in a row at the last global dairy trade auction of the year.

The average price rose 2.3 percent to US$3388 a tonne, while the whole milk powder price, which affects the payouts for local farms, was up 2.9 percent to US$3207 a tonne.

Cheddar lifted 6.9 percent and butter was up nearly 10 percent.

NZX dairy analyst Rosalind Crickett said bullish results were anticipated.

“In terms of buying activity, North Asia dominated at this event, taking out the top bidders’ spot for both milk powders and butter, the Middle East kept their position as the top bidder for anhydrous milk fat and cheddar.

“Overall, the result is pleasing to see for farmers and goes against the typical grain of historical pattern at the final GDT event of the year, in which normally the index price drops.”

Earlier this month, dairy cooperative Fonterra raised its forecast milk price to $7.50 a kilo of milk solids.

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Copyright for syndicated content belongs to the linked Source : RNZ – https://www.rnz.co.nz/news/business/505150/global-dairy-prices-continue-on-trend-at-last-trade-auction-of-year

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