Middle East demand cushions global dairy price drop at latest GDT auction
The upheaval in the Middle East may have eased the fall in global dairy prices last week.
The overall price index fell 9.3% to US$1,815/MT at last night’s auction, with the biggest decline seen in Skim Milk Powder, which dropped a massive 14.4% to an average price of US$1,419/MT.
Fonterra’s other key product Whole Milk Powder (WMP) also showed significant losses, falling 10.3% to US$1,590/MT.
Other products also fared poorly with the Anhydrous Milk Fat index dropping 11.7% to US$2,253/MT, Butter down 6.1%, with an average price of US$2,293/MT and Butter Milk Powder falling 5.1%, to US$1,700/MT.
Rennet Casein saw a decline of 2.7% to an average price of US$5,289.
Cheddar was the only product to gain ground, rising just 0.2% to US$2,663.
Lactose remained unchanged at US$535/MT.
Some 46,527 tonnes of product was traded at the auction, up from 31,691 tonnes at the 16th July sale.
This is the tenth consecutive fall for the GDT, which has been in a downward trend since March.
