Global Dairy Trade rises 3.6% in fourth straight gain

The GDT Price Index has now posted four straight rises since January 2026. Photo / 123rf

More good news in the latest Global Dairy Trade auction, held overnight, with the GDT Price Index rising 3.6%.

This follows a 6.7% leap from the previous auction two weeks ago, and makes the fourth consecutive positive result since the start of the year.

Whole milk powder - which has the biggest influence on Fonterra’s farmgate milk price - recorded a 2.5% lift, reaching an average of US$3706/MT ($6127/MT).

Skim milk powder - Fonterra’s second-biggest reference product – rose 3.0%, to an average of US$2973/MT ($4915/MT).

At the previous event, whole milk powder rose 5.3% and skim milk powder jumped 10.6%.

Anhydrous milk fat was up 3.8% to an average of US$6751/MT ($11,162/MT) while mozzarella lifted 5.0% to an average of US$3879/MT ($6413/MT).

Lactose rose 7.8% to an average of US$1519/MT ($2511/MT).

However, the largest percentage rise came from butter, which jumped 10.7% to an average of US$6347/MT ($10,494/MT).

This follows an 8.8% surge at the previous auction.

Cheddar was the only product to drop, down 1.0%, to an average of US$4736/MT ($7831/MT).

Butter milk powder was not available at this event.

A total of 22,240 MT of product was purchased by 105 successful bidders, compared to 24,034 MT and 98 winning bidders last time.

On December 18, Fonterra further narrowed its 2025/26 farmgate milk price forecast to a range of $8.50-$9.50/kgMS, with a midpoint of $9.00 per kgMS.

This follows Fonterra cutting its 2025/26 farmgate milk price forecast to a range of $9.00 - $10.00 per kgMS, with a midpoint of $9.50 per kgMS on November 25.

The co-op’s opening forecast on May 29 was $10.00 per kgMS, with a wide range of $8.00 - $11.00 per kgMS, but was narrowed to $9.00 - $11.00 per kgMS, with a midpoint of $10.00 per kgMS, on August 21.

Fonterra paid $10.16 per kgMS for the 2024/25 season.