Milk Glut Drags Fonterra Forecast Down to $9.20/kgMS
A milk glut around the world shows no sign of easing, putting downward pressure on farmgate milk prices for the next few months.
The GDT price index was down 3.4% compared to the previous auction; since early May, the GDT price index has suffered two declines after a golden run of price increases from December 2018.
The whole milk powder index was down 1.5% to US$3,138/metric tonne, despite Fonterra reporting drop in milk production both in NZ and Australia.
Key results
AMF index down 5.7%, average price US$5,752/MT
Butter index down 10.3%, average price US$4,805/MT
BMP index down 10.1%, average price US$2,807/MT
Ched index down 14.0%, average price US$3,950/MT
LAC index up 0.4%, average price US$897/MT
RenCas index up 4.2%, average price US$7,201/MT
SMP index down 4.0%, average price US$2,436/MT
SWP index not available, average price not available
WMP index down 1.5%, average price US$3,138/MT
