Wednesday, 02 May 2018 09:06

GDT price index down 1.1%

Written by 
Emma Higgins. Emma Higgins.

The second to last Global Dairy Trade (GDT) event for the 2017-18 production season saw the auction’s price index down 1.1%.

Whole milk powder price index was down 1.5% to US$3231/metric tonne.

Rabobank’s dairy analyst Emma Higgins says the drop in WMP price coincides with Fonterra revising upwards their production forecast for the full season to -2% (from -3% previously) to 1.5billion kgMS.

“Weather has improved for most parts around the country and in fact total New Zealand production for the season to date (March 2018) is only trailing marginally behind last season at just -0.3%.  

“More generally, New Zealand product pricing tends to wane over the coming weeks as we move into our seasonal production hiatus and sentiment trails off as the focus shifts to the Northern Hemisphere.”

However, there still remains demand for fresh SMP and a late spring in the Northern Hemisphere delaying production has resulted in tighter fresh inventories. 

“As such, we saw positive price support for SMP this morning, with a lift of 3.6% bringing the average SMP price just shy of the US$2000 mark.  

“New Zealand product is still priced at a premium over European sourced SMP.  And while demand for fresh is strong, old EU SMP stocks are seeing some clearing movement.” 


AMF index down 1.9%, average price US$6,032/MT
Butter index unchanged, average price US$5,647/MT
BMP index up 0.5%, average price US$1,990/MT
Ched index up 3.1%, average price US$4,024/MT
LAC index up 0.6%, average price US$616/MT
RenCas index down 10.5%, average price US$5,177/MT
SMP index up 3.6%, average price US$1,999/MT
WMP index down 1.5%, average price US$3,231/MT 


More like this

Price dip a blip?

Dairy prices dipped last week after three consecutive rises but economist Nathan Penny, Westpac, says the dip is likely to be temporary.


New investment in spirulina production

The Ministry for Primary Industries (MPI) Sustainable Food & Fibres Futures Fund will invest in a project to assess the viability of larger scale production of spirulina in New Zealand.


Lely offerings for the future

Dutch robotic specialist Lely launched a new farm management application called Horizon at its recent Future Farm Days 2020.


Miraka picks up awards

Taupo-based Maori dairy company Miraka took the top honours at this year’s Biosecurity Awards.

Wyeth ready for new challenge

The chief executive-elect of Yili-owned Westland Milk Products Richard Wyeth says he’s looking forward to the challenge of running the…

Machinery & Products

Mixer makes feeding easy

Coolbreene Trust near Taupo is a large-scale dairy operation farming 1150ha, including run-off blocks, within a 10km radius of its…

More colour to light range

Originally available with amber lenses only, Narva’s ‘Geomax’ Heavy Duty LED Strobe Beacon light range has been upgraded with the…

State funding for recycling

Having declared in July that all farm plastics sold in New Zealand will have to be recycled or reused, the…

» The RNG Weather Report

» Latest Print Issues Online

Milking It

Avoiding listeria

OPINION: The company that makes dairy products under “The Collective” brand, and which copped a nearly $500,000 fine for failing…

Greenpeace seeing red

OPINION: Still with Greenpeace, the organisation’s push for a price on agricultural greenhouse gas emissions is gaining momentum since the…

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter