GDT: Dairy prices slip again, down 0.8% in latest auction

Prices for most dairy commodities eased in the latest GDT auction.

Prices dropped slightly in the latest Global Dairy Trade auction, held overnight, with a 0.8% dip across the board.

This marked the third consecutive decline, following a 4.3% decrease at the previous auction and a 0.3% slide before that.

Of the key commodities, cheddar was the only product to post a gain, rising 2.2% to an average of US$4814/MT.

Prices for whole milk powder, skim milk powder, butter, anhydrous milk fat, and mozzarella all eased.

Whole milk powder — which has the biggest impact on Fonterra’s farmgate milk price — slipped 0.8% to an average of US$3790/MT.

Skim milk powder, Fonterra’s second-biggest reference product, was down 0.3%, to an average of US$2615/MT.

Butter fell 0.8% to an average of US$6892/MT, and anhydrous milk fat was down 1.5% to an average of US$6802/MT.

The biggest percentage fall came from mozzarella, which plunged 9.6% to an average of US$3860/MT.

Butter milk powder was not available at this event, and lactose was not offered.

A total of 39,093 MT of product was purchased by 123 successful bidders, compared to 41,465 MT and 113 winning bidders last time.

On August 21, Fonterra increased its 2024/25 season forecast Farmgate Milk Price from $10.00 per kgMS to $10.15 per kgMS, narrowing the range from $9.70–$10.30 per kgMS to $10.10–$10.20 per kgMS.

Fonterra also retained the $10.00 per kgMS forecast for the current 2025/26 season, while narrowing the range from $8.00–$11.00 per kgMS to $9.00–$11.00 per kgMS.