RESEND: Dairy product prices snap 3-month slide

Dairy product prices snap 3-month slide, whole milk powder extends drop

April 4 (BusinessDesk) – Prices of dairy products snapped a three-month slide in Fonterra Cooperative Group’s latest GlobalDairyTrade auction, lifting the average winning price from the lowest level since August.

The GDT-TWI Price Index rose 1.5 percent compared to the last sale two weeks ago. The average winning price gained to US$3,277 a metric tonne. Rennet casein and cheddar were the biggest gainers while whole and skim milk powder fell.

The sale is the first since Fonterra last week posted an 18 percent gain in first-half profit on increased sales and higher prices from its ingredients business. Chairman Henry van der Heyden said prices have remained “relatively stable” though they were off their highs of last year.

The average winning price for whole milk powder fell 2.8 percent to US$3,227 a metric tonne and skim milk powder fell 0.8 percent to US$3,078 a tonne.

Anhydrous milk fat rose 8.3 percent to US$3,583 a tonne. Butter milk powder wasn’t offered at this week’s sale.

Cheddar rose 13.2 percent to US$3,371 a tonne and milk protein concentrate gained 13.1 percent to US4,705 a tonne. Rennet casein gained 13.8 percent to US$7,290 a tonne.

There were 104 winning bidders over 13 rounds, out of 139 participating bidders. The number of qualified bidders rose to 603 from 592.

(BusinessDesk)

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