Fats pulled prices down at this Tuesday's New Zealand-based Global Dairy Trade auction, with butter down 10.3%.

This is the second consecutive sale where this scenario occurs. Last month, butter was back 3.2%, triggering the first reduction in the overall GDT price index after 11 consecutive sales showing price rises.

At $4,805/t (€4,271/t), New Zealand butter traded on the GDT remains more expensive than the EU price reported by the European Commission at €4,110/t.

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Cheddar and powders

The GDT reported a 14% fall in cheddar prices this week, but this is on the back of a 15% increase at the previous sale.

Whole milk powder (WMP), which forms the bulk of GDT sales, is down marginally (-1.5%). Skimmed milk powder (SMP) shows a more severe fall of -4%.

Lactose and rennet casein were the only commodities benefiting from price rises.

Volumes traded were just under 20,000t, up on low quantities of around 15,000t traded at the previous sale.

Average prices in Tuesday's trade

  • Anhydrous milk fat down 5.7%, US$5,752/t.
  • Butter down 10.3%, US$4,805/t.
  • Butter milk powder down 10.1%, US$2,807/t.
  • Cheddar down 14.0%, US$3,950/t.
  • Lactose up 0.4%, US$897/t.
  • Renbet casein up 4.2%, US$7,201/t.
  • SMP down 4.0%, US$2,436/t.
  • WMP down 1.5%, US$3,138/t.
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