Dairy prices rise, volumes slip at auction – NZ’s Fonterra
Category: Dairy
(Reuters) – International milk prices rose for a third consecutive auction, while volumes fell in the latest auction held by New Zealand’s Fonterra Co-operative Group, the world’s biggest dairy exporter.Fonterra’s Global Dairy Trade-Trade Weighted Index, which covers a range of 30 products and contract periods, rose 4.9 percent, with an average selling price of $4,828 per tonne, in the auction held on Tuesday.
The jump followed a 0.7 percent rise in the previous sale, said Fonterra, which is known for brands such as Anchor, Anlene and Fresh n’ Fruity.
A total of 37,948 tonnes was sold, falling 2.4 percent on the previous auction, the co-operative said on its website (www.globaldairytrade.info).
The auctions are held twice a month with the next one due on August 6.
The auction results can affect the New Zealand dollar as the dairy sector is a major export earner for the country and generates more than 7 percent of gross domestic product.
The New Zealand milk co-operative, owned by around 10,500 farmers, controls nearly one-quarter of the world dairy trade.
(Reporting by Arpan Varghese in Bangalore)
