The GDT posted a marginal decline of 0.4% at this week’s auction in New Zealand. The benchmark dairy index recorded its second negative result for August as declines in the price of whole milk powder (WMP), butter and anhydrous milk fat dragged performance.

With more than 32,250t of product offered for sale this week, the GDT is entering its busiest period of the year in terms of sales volumes. The seasonal jump in milk supply from New Zealand will begin to gather pace in the next two months and Fonterra placed more than 17,000t of WMP for sale at this week’s GDT auction.

However, the average price of WMP fell back 1% to less than $3,150/t with September, October and November delivered contracts for WMP all recording price declines. In contrast, skimmed milk powder prices posted a marginal gain of 0.3% to just under $1,970/t following price declines at the three previous auctions.

Of the lesser traded commodities, butter prices fell more than 1% to $5,735/t, while anhydrous milk fat was also back 1% in price. Lactose prices fell 5%. The only other commodities to post a gain in price at this week’s auction included cheddar (+1.5%) and casein (+3%).

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