Dairy product prices rose at the Global Dairy Trade auction, rising for the third time in a row and offering a boost to sentiment.
The GDT price index gained 3.1% from the previous auction two weeks ago to $US3139. Some 22,927 tonnes of product was sold, up from 22,642 at the previous auction.
Whole milk powder (WMP) climbed 3.5% to $US2998 a tonne.
A large volume of instant WMP sold at a lower price than the regular grade product, AgriHQ dairy analyst Susan Kilsby says.
"It was unusual to see regular grade WMP selling at a premium to the higher specification product but we have seen a lot of strength in the futures market recently and it is the regular grade product this market settles against," she says.
Skim milk powder (SMP) jumped 7.1% to $US2044 a tonne.
"The GDT prices indicate there are buyers that are prepared to pay a premium to source SMP produced in New Zealand," Ms Kilsby says.
"Elsewhere in the world there is a glut of SMP but here we are successfully moving product and attaining good prices."
Cheddar rallied 6% to $US3462 a tonne, butter increased 2.9% to $US4892 a tonne, while lactose added 1.2 % to $US935 a tonne.
Meanwhile, rennet casein dropped 3.8% to $US6020 a tonne, while anhydrous milk fat slipped 0.5% to $US5930 a tonne.
Butter milk powder sold at $US1720 a tonne.
The New Zealand dollar last traded at 70.25USc at 1.26pm in New York, compared with 70.08USc at 5pm in Wellington the previous day.
There were 130 winning bidders out of 173 participating at the 14-round auction. The number of qualified bidders rose to 541, up from 537 at the previous auction.
This article is tagged with the following keywords. Find out more about MyNBR Tags
Most listened to
- MediaWorks has won a case against a former sales manager, Victoria Young reports
- Security expert Daniel Ayers on the 'Krack' wi-fi vulnerability scare
- Century 21 national manager Geoff Barnett discusses banks' increasingly cautious approach to even pre-approved home buyers
- NZ Beef and Lamb chairman James Parsons on what an NZ/EU FTA would mean for the beef sector
- Retirement expert Barry LaValley on misconceptions of your "golden years"
- NBR Radio: The best interviews, with Grant Walker — updated daily