Fonterra's online auction platform globalDairyTrade recorded a dip on its new trade weighted index of 3.5% following its latest trading event during the early hours of this morning.Whole milk powder fell 3.4% compared with last month's auction to $US3790
Fonterra’s online auction platform globalDairyTrade recorded a dip on its new trade weighted index of 3.5% following its latest trading event during the early hours of this morning.
Whole milk powder fell 3.4% compared with last month’s auction to $US3790 a tonne, while skim milk powder dropped 6.2% to $US3462.
This is still well above the lows of less than $US2000 a tonne realised mid-2009.
However anhydrous milk fat crept up 5.9% to $US5324 on average.
GlobalDairyTrade manager Paul Grave said part of the reduction in skim prices related to an increase in supply.
He said the results show the global dairy market remains relatively stable although there was an indication that customers were reluctant to commit long term contract periods further out into next year attracting lower prices.
Nearly $US140 million was sold on the platform last night.
Mr Grave said the Euro had dropped against the United States dollar make European supply more competitive. In addition, there were signs the US was increasing its skim milk supply.
