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.
Global dairy prices have slumped for the fourth straight time this year.
However, the drop was nowhere near the 5% to 10% predicted by futures market.
This morning's GDT event saw the auction price index down 2.8%.
Whole milk powder, Fonterra's flagship product on GDT, dropped 3.7% to US$1890/MT.
Skim milk powder was down 1.4% to US$1762/MT.
The continuing slide in dairy prices will put further pressure on Fonterra's current farm gate milk price of $4.15/kgMS.
Key Results from the latest GDT auction;
AMF index up 1.5%, average price US$3,527/MT
Butter index down 2.3%, average price US$2,834/MT
BMP index down 1.2%, average price US$1,496/MT
Ched index down 5.6%, average price US$2,535/MT
LAC index unchanged, average price US$574/MT
RenCas index down 11.5%, average price US$3,852/MT
SMP index down 1.4%, average price US$1,762/MT
WMP index down 3.7%, average price US$1,890/MT
Many farmers around the country are taking advantage of the high dairy payout to get maximum production out of their cows.
In 2015, the signing of a joint venture between St Peter's School, Cambridge, and Lincoln University saw the start of an exciting new chapter for Owl Farm as the first demonstration dairy farm in the North Island. Ten years on, the joint venture is still going strong.
Sheep milk processor Maui Milk is on track to record average ewe production of 500 litres by 2030, says outgoing chief executive Greg Hamill.
Parliamentary Commissioner for the Environment Simon Upton is calling for cross-party consensus on the country's overarching environmental goals.
Changes to New Zealand’s postal service has left rural communities disappointed.
Alliance is urging its farmer-shareholders to have their say on the proposed $250 million strategic investment partnership with Dawn Meats Group.
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