Prices for other products were generally weaker, including sharp falls for butter and cheese.
Butter prices fell 8.1% to US$6181 a tonne, while cheddar slipped 3.1% to US$4766 a tonne and mozzarella dropped 6.2% to US$3945 a tonne.
Anhydrous milk fat was down 7.1% to US$7027 a tonne, and lactose dipped 0.6% to US$1454 a tonne.
The only positive result was butter milk powder, which rose 0.7% to US$3182 a tonne.
In a note, NZX head of dairy insights Cristina Alvarado said the supply overhang and freight uncertainty were weighing on demand.
“The outcome reflects a convergence of previously flagged pressures, most notably the significant volume of product still in transit from earlier purchasing activity this calendar year, alongside rising logistical and cost uncertainty linked to fuel shipment disruptions through the Strait of Hormuz.”
Alvarado said there was “ample product” in the global market, and New Zealand’s February shipments showed strong year-on-year growth.
Looking ahead, she said the medium-term outlook was “more balanced”.
“Elevated energy costs are expected to feed into higher feed and production costs globally, tightening margins,” Alvarado said.
“At the same time, vegetable oil prices continue to outpace dairy fats, which should support substitution-driven demand for milk fats.
“Should production growth begin to slow under margin pressure, this could act as a stabilising force for prices in coming events.”
- RNZ
