Global Dairy Prices Fall In Overnight Auction
Category: Dairy
(Wall Street Journal) – International dairy prices fell in the overnight GlobalDairyTrade auction for March 17, an international trading platform established by New Zealand’s Fonterra Co-Operative Group Ltd.
The GDT Price Index, which covers a variety of products and contract periods in the auction, fell 8.8%, compared with the previous auction on March 3, and the average selling price was $3,136 per metric ton.
The average selling price for whole-milk powder was $2,928 a metric ton, down 9.6% compared with the prior auction.
The auction tends to affect the New Zealand dollar, as dairy represents around 25% of the country’s exports. The New Zealand dollar was trading at $0.7313 early Wednesday in New Zealand versus $0.7377 late Tuesday.
The GlobalDairyTrade auction is closely watched, as the GDT Price Index is widely considered a market reference price for dairy products. Products on offer include whole-milk powder, skim-milk powder, butter, cheese and anhydrous milk fat.
