Dairy prices fell 0.4% at this week’s GDT auction in New Zealand to an average selling prices of $3,300/t (€/t).

The benchmark dairy index was led lower by further declines in fat prices.

Butter prices dropped 5% at this week’s GDT to $4,340/t (€3,840/t), while butter milk powder prices plunged 12% to $2,500/t (€2,215/t). Cheddar prices slipped almost 2% this week to $3,760/t (€3,330/t), while anhydrous milk fat prices were also down 2% to $5,430/t (€4,810/t).

In contrast, the price of skimmed milk powder (SMP) jumped 3% at this week’s GDT auction to $2,430/t (€2,150/t).

The price of whole milk powder (WMP), which is the most important dairy product traded on the GDT platform, was steady at $3,000/t (€2,660/t). Just under 25,000t of product were sold at this week’s GDT.

Closer to home, dairy prices in Europe fell back slightly this week. Butter prices reported to the Dutch dairy board dropped by more than 1% to €3,630/t this week.

WMP prices reported to the Dutch dairy board fell 1% to €2,740/t, while SMP prices dropped slightly to €2,030/t.

In the Netherlands, milk processor Friesland Campina has cut its guaranteed milk price for July by 0.5c to a new price of 36.1c/litre.

This is the lowest guaranteed milk price that Friesland Campina has paid in over a year to its farmer members.

The guaranteed price applies to 100kg of milk with a protein content of 3.47%, a fat content of 4.41% and a lactose content of 4.51% and is exclusive of VAT.