After four bumper auctions in a row, prices fell at the latest Global Dairy Trade auction.
Average prices paid at the auction fell 3.1% on the last event held three weeks previously which itself was up 9.9%.
The previous three auctions had seen double-digit increases for dairy prices. This week, key products Whole Milk Powder and Skimmed Milk Powder both fell at today’s auction down 4.6% and 4.5% respectively.
- AMF index up 2.4%, average price US$3,856/MT
- Butter index down 11.1%, average price US$2,850/MT
- BMP index up 3.2%, average price US$2,064/MT
- Ched index down 2.2%, average price US$3,163/MT
- LAC index down 3.8%, average price US$507/MT
- RenCas index up 2.1%, average price US$6,178/MT
- SMP index down 4.5%, average price US$2,178/MT
- WMP index down 4.6%, average price US$2,694/MT
Fonterra’s milk collection across New Zealand in September was 8.7% lower than September last year and for the four months to September 30, it was 5% behind the same time last year.
According to the co-op, dairy farmers in New Zealand continue to reduce stocking rates and supplementary feed to help reduce costs in the low milk price environment.