Global Dairy Trade rises for fifth straight event in 2026 as prices climb 5.7%

The GDT Price Index has now posted five straight rises since January 2026. Photo / Duncan Brown

Prices have increased again in the latest Global Dairy Trade auction, held overnight, with a 5.7% jump across the board.

This is now the fifth consecutive rise since the start of the year, following a 3.6% lift in the previous auction, and a 6.7% leap at the event before that.

Whole milk powder – which has the biggest impact on Fonterra’s farmgate milk price – was up 4.5%, to an average of US$3863/MT.

Skim milk powder – Fonterra’s second-biggest reference product – recorded the largest increase at the auction, rising a whopping 9.1%, to an average of US$3243/MT.

Mozarella was the second highest, up 7.9%, to an average of US$4189/MT.

Butter recorded a 6.1% boost to an average of US$6728/MT, with anhydrous milk fat not far behind, up 5.7% to an average of US$6934/MT.

Cheddar rounded out the positive reference products, lifting 4.3% to an average of US$4920/MT.

On the negative side, the largest percentage fall came from lactose, which dropped 3.9% to an average of US$1459/MT, while butter milk powder dipped 0.2% to an average of US$3148/MT.

A total of 18,861 MT of product was purchased by 97 successful bidders, compared to 22,240 MT and 105 winning bidders last time.

On February 20, Fonterra lifted its 2025/26 farmgate milk price forecast midpoint from $9.00 to $9.50 per kgMS, and narrowed its forecast range to $9.20–$9.80 per kgMS.

This follows the co-op narrowing its forecast to $8.50–$9.50 per kgMS, with a midpoint of $9.00 in December, after cutting it from $9.00–$10.00 per kgMS, with a midpoint of $9.50 in November.

Fonterra’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, on August 21.

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