18 May 2022

1 minute read

International milk prices and volumes fell in this month's second Global Dairy Trade auction held by GDT Events, reported Reuters. 

The GDT Price Index fell 2.9%, with an average selling price of $4,432 per tonne, in the auction held on Tuesday.

The index fell 8.5% at the previous sale, according to GDT Events.

A total of 24,285 tonnes was sold at the latest auction, falling about 3.5% from the previous one, the auction platform said on its website.

The auctions are held twice a month, with the next one scheduled for 7 June.

The auction results can affect the New Zealand dollar as the dairy sector generates more than 7% of the nation's gross domestic product. The New Zealand milk co-operative, which is owned by about 10,500 farmers, controls nearly a third of the world dairy trade.

GDT Events is owned by New Zealand's Fonterra Co-operative Group Ltd, but operates independently from the dairy giant. US-listed CRA International Inc is the trading manager for the twice-monthly Global Dairy Trade auction.

Source: Reuters