Average prices fell again at this week’s GDT auction in New Zealand. However, whole milk powder (WMP) and skim milk powder (SMP) prices were up slightly.

This week’s GDT auction dropped by 0.8%, as prices for almost all dairy commodities traded on the benchmark dairy index recorded a decline. Volumes traded were back on the last auction.

Milk powder prices were up 0.1% to $2,745 after a hit in the last auction, while SMP prices lifted 0.1% to $2,373/t.

Butter

Butter prices were down 5.8% this week to just under $3,867/t.

Cheddar bucked the trend at the auction two weeks ago, but was down in this week’s GDT by 6.8% to $4,115/t.

The previous GDT auction was on 21 April and was down 4%. The auction in early April surprised many market onlookers, as average dairy prices actually jumped by 1%. The average result this week will again probably surprise many, but reinforces the renewed activity of the Chinese in dairy markets.

GDT index drops more than 4% as milk powder prices weaken

GDT index steadies as Chinese activity increases

GDT index drops by 0.8%, but milk powder prices were steady, writes Jack Kennedy.