19 Dec, 2018 8:36am
2 minutes to read
After a tough period, farmers have been given a slight lift in prices. Photo/Getty Images.
BusinessDesk
Dairy product prices gained at the Global Dairy Trade auction, posting their second increase in a row.
The GDT price index increased 1.7 per cent from the previous auction two weeks ago. The average price was US$2,844 a tonne, compared with US$2,819 a tonne two weeks ago. Some 36,181 tonnes of product was sold, down from 36,450 tonnes two weeks ago.
Whole milk powder inched 0.3 per cent higher to US$2,674 a tonne.
Higher volumes on offer compared with the previous event likely limited the gains in whole milk powder prices, NZX dairy analyst Robert Gibson said in a note.
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At the latest GDT auction, butter climbed 4.9 per cent to US$3,928 a tonne, while anhydrous milk fat gained 4 per cent to US$4,936 a tonne.
Skim milk powder rose 3.4 per cent to US$2,042 a tonne.
"This is likely due to tighter availability of stocks on offer compared with the previous event," Gibson noted. "Over the second half of 2018, good availability of global stocks has helped to keep skim milk powder prices steady."
Cheddar increased 2.2 per cent to US$3,263 a tonne, and lactose added 1.6 per cent to US$935 a tonne.
Rennet casein, however, fell 2.1 per cent to US$5,056 a tonne.
Buttermilk powder was not offered at this event.
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