Prices rose across the board for the second Global Dairy Trade Auction of the calendar year.
Prices rose across the board for the second Global Dairy Trade Auction of the calendar year.
Prices are up in the latest Global Dairy Trade auction, held overnight, with a 1.4% increase across the board.
It is the second auction of the calendar year and follows a 1.4% fall from the previous event two weeks ago.
Good news for farmers as whole milk powder— which has the biggest impact on Fonterra’s farmgate milk price — jumped an impressive 5.0%, to an average of US$3988/MT, after a 2.1% drop at the previous event.
Skim milk powder — Fonterra’s second-biggest reference product — rose 2.0%, to an average of US$2729/MT, more welcome news after a 2.2% dip last time.
Cheddar lifted 2.8%, to an average of US$4846/MT, with butter not far behind on a 2.2% boost to an average of US$6984/MT.
On the negative side, anhydrous milk fat recorded the biggest loss, plunging 7.8% to an average of US$6616/MT — this follows a 1.6% drop from two weeks ago.
Lactose dipped 0.8% to an average of US$893/MT and mozzarella was down 0.3% to an average of US$4161/MT.
Butter milk powder was not available at this event.
A total of 27,785/MT of product was purchased by 129 successful bidders, compared to just over 30,150/MT last time.
On December 5, Fonterra raised its farmgate milk price forecast for the 2024/25 season, to between $9.50 and $10.50 per kgMS, with a midpoint of $10.00 per kgMS.
This follows an earlier increase on November 11, when Fonterra’s farmgate milk price forecast lifted to a range of $9.00 and $10.00 per kgMS, with a midpoint of $9.50 per kgMS.
The final farmgate milk price for the 2023-2024 season was $7.83 per kgMS milk solids.
