Weak supply keeping prices high
Weaker milk production in the Northern Hemisphere is keeping dairy prices high.
Dairy prices have risen for the fourth consecutive auction in last night’s GlobalDairyTrade event.
New Zealand's major export commodity, whole milk powder, received a boost of 5.2%, sending it to US$3233/metric tonne. Since early March, WMP prices have gained 16%.
The overall GDT price index was up 3.6% over the previous auction.
According to MyFarm Investment’s the recent rise came against market expectations.
“Flooding following Cyclone Cook and Cyclone Debbie pushed dairy prices up at the last auction, but commentators who were watching the futures market had predicted prices would flatline at this week's event.
“Prices are now at their highest level this year - after rises of 1.7% on March 21, 1.6% on April 4 and 3.1% on April 18.
“There was a 5.2% increase in whole milk powder (WMP) prices to US$3233 (NZ$4670) a metric tonne. There’s widespread agreement that recent market prices support the forecast final payout of $6/kgMS.”
Full results
AMF index up 4.7%, average price US$6,185/MT
Butter index up 1.1%, average price US$4,911/MT
BMP index up 21.8%, average price US$1,859/MT
Ched index up 4.6%, average price US$3,666/MT
LAC index up 1.1%, average price US$941/MT
RenCas index up 10.4%, average price US$6,775/MT
SMP index down 0.9%, average price US$1,982/MT
WMP index up 5.2%, average price US$3,233/MT
Healthcare appears to be the big winner in this year's budget as agriculture and environment miss out.
OPINION: Foreign policy is a real strength of Winston Peter and this is recognised by Ministry for Foreign Affairs and Trade (MFAT) officials who, so the story goes, wanted him in his present role because of his experience in that field.
DairyNZ subsidiary New Zealand Animal Evaluation (NZAEL) will update the genetic base used to calculate Breeding Worth (BW) next month.
Ruralco has donated $10,000 to the Mid Canterbury Rural Support Trust following a recent fundraising golf tournament.
Nominations are open for three positions on the Horticulture New Zealand (HortNZ) board.
Lydia Goodman has been crowned the Central Otago 2025 Young Grower of the Year regional winner.
OPINION: Last week's announcement of Prime Minister’s new Science and Technology Advisory Council hasn’t gone down too well in the…
OPINION: At its recent annual general meeting, Federated Farmers’ Auckland province called for New Zealand to withdraw from the Paris…