Dairy product prices continued to drop for fourth consecutive trading at the Global Dairy Trade (GDT) auction on Wednesday, as whole milk powder price continued to fall.
The GDT price index fell 0.4 percent from the previous auction two weeks ago. The average price was 3,302 U.S. dollars per tonne and 24,711 tonnes of products were sold, 472 tonnes more than the volume traded two weeks ago.
Whole milk powder dropped 2,969 U.S. dollars per tonne, but its price index has not changed.
“Although the index was unchanged, this was the seventh consecutive decrease in average prices since March 2019,” NZX dairy analysts Robert Gibson and Amy Castleton said in a note.
“Total offer volumes were up leading into the event, with the softer average price likely a reflection of a lift in volumes sold and reduced buyer activity out of North Asia,” they said.
At the latest GDT auction, the price declined in all commodities except skim milk powder, which saw its price increased 3.2 percent to 2,430 U.S. dollars.
Buttermilk powder had the largest retreat in price, plunging 11.9 percent to 2,500 U.S. dollars per tonne. Butter decreased 4.8 percent to 4,339 U.S. dollars per tonne, while Rennet Casein fell 3.9 percent to 7,221 U.S. dollars per tonne.
Meanwhile, cheddar slid down 1.5 percent to 3,756 U.S. dollars per tonne, while anhydrous milk fat and lactose retreated 1.9 percent and 1.1 percent to 5,433 U.S. dollars and 866 U.S. dollars per tonne respectively.
Price of sweet whey powder is not available at the latest auction.