Strong production, tested demand send milk prices crashing
Strong global milk production and rebalancing of demand among key buyers has delivered one of the biggest drops in whole milk powder prices in recent years.
Last night’s GDT auction saw the price index rise 0.8% to UIS$3483/metric tonne. GDT’s price index hasn’t seen a price drop since November last year.
A decline in milk production among key producing global regions is keeping prices up.
However, the flagship whole milk powder price was down 1.35 to US$3287/MT.
Butter prices saw another big jump- 5.8% to US$5374/MT. Skimmed milk powder was up 1.8%.
Key results
AMF index up 3.7%, average price US$5,867/MT
Butter index up 5.8%, average price US$5,374/MT
BMP index up 5.0%, average price US$3,548/MT
Ched index up 3.2%, average price US$4,248/MT
LAC index down 5.3%, average price US$948/MT
RenCas index up 7.5%, average price US$6,703/MT
SMP index up 1.8%, average price US$2,468/MT
SWP index not available, average price not available
WMP index down 1.3%, average price US$3,287/MT
