Prices of dairy products rose for the second time in a row at Fonterra's latest GlobalDairyTrade auction and the volume sold jumped to a six-month high.
The GDT-TWI Price Index rose 0.7 per cent compared to the last sale two weeks ago. The average winning price rose to US$4,643 a tonne, the highest since the April 16 sale, from US$4,598 a tonne.
The results suggest prices of New Zealand dairy products may bounce back this month after the ANZ Commodity Price Index fell 3.7 per cent in June, led by a 9 per cent slump in whole milk powder and an 8 per cent fall in skim milk powder. Producers have been sheltered somewhat by a weaker New Zealand dollar, which pushed up the local currency price of commodities, the ANZ index showed.
The total volume of dairy products sold at the latest auction jumped to 38,890 tonnes from 23,674 tonnes.
Whole milk powder, the biggest product by volume, gained 0.1 per cent to US$4,757 a tonne and skim milk powder rose 3.1 per cent to $4,441 a tonne.
The price of anhydrous milk fat rose 1.2 per cent to US$4,645 a tonne and butter milk powder gained 6 per cent to US$4,610 a tonne. Butter dropped 5.7 per cent to US$3,707 a tonne.
Cheddar fell 3.7 per cent to US$4,395 a tonne. No results were given for lactose and milk protein concentrate wasn't offered. Rennet casein rose 7.9 per cent to US$10,259 a tonne.
There were 109 winning bidders over 12 rounds. There were 182 participating bidders out of a total number of qualified bidders of 844.