Dairy prices fall for sixth global auction following strong gains stuff.co.nz - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from stuff.co.nz Daily Mail and Mail on Sunday newspapers.
Dairy prices remain elevated after the latest global auction.
Dairy prices slipped in the overnight global auction although they remain elevated, boding well for payments to farmers for next season, analysts say. Both the global dairy trade price index and the whole milk powder price index eased 0.2 per cent. Whole milk powder prices have the most impact on what farmers are paid. The average price of whole milk powder gained US$8 (NZ$11) a tonne to US$4123/t, which is 54 per cent higher than a year ago. While prices fell for the two nearest contracts at the overnight auction, prices for later dated contracts increased, signalling future demand remains strong.
Global dairy prices remain high after slipping at overnight auction stuff.co.nz - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from stuff.co.nz Daily Mail and Mail on Sunday newspapers.
Tina Morrison09:03, May 05 2021
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A fall in butter prices at the overnight auction dragged down the index.
Dairy prices eased in the overnight global auction, as a lift in the price of milk powders failed to offset a decline in butter and milk fat prices. The global dairy trade price index slipped 0.7 per cent. The price of whole milk powder, which has the most impact on what farmers are paid, gained 0.7 per cent to an average US$4115 (NZ$5756) a tonne, while skim milk powder, the second-most important, rose 2 per cent to US$3433/t. Butter prices slumped 12 per cent to US$5035/t, weighed down by extra volume on offer. Anhydrous milk fat dropped 4.2 per cent to US$5730/t.