GLOBAL – Strong gains in milk powders propelled the Global Dairy Trade to its third positive result in a row.
This moved the index 16.5 per cent higher, with Skim Milk Powder lifting 17 per cent and Whole Milk Powder up 20.6 per cent, the auction reported yesterday.
Butter, Cheddar and Anhydrous Milk Fat also returned strong gains, up 10-13 per cent.
But gains are due to lack of product offered, not a contraction in global supplies, outlined AHDB Dairy, the UK’s levy board.
“Global supplies have not reduced – milk production is still strong across the major dairy exporting regions,” said an AHDB spokesperson.
“Therefore, while this is positive news and wholesale prices may react in the short term, rebalancing of supply and demand at a global level is still the key factor needed for market recovery.”
Butter Milk Powder slid slightly, the only product back on the day.
TheCattleSite News Desk