News | Rural
22 Feb 2018 15:56
NZCity News
NZCity CalculatorReturn to NZCity

  • Start Page
  • Personalise
  • Sport
  • Weather
  • Finance
  • Shopping
  • Jobs
  • Horoscopes
  • Lotto Results
  • Photo Gallery
  • Site Gallery
  • TVNow
  • Dating
  • SearchNZ
  • NZSearch
  • RugbyLeague
  • Make Home
  • About NZCity
  • Contact NZCity
  • Your Privacy
  • Advertising
  • Login
  • Join for Free

  •   Home > News > Rural

    Dairy prices up amid supply concern

    Dairy prices have risen nearly 5 per cent at Fonterra's GDT auction, with buyers worried about a decline in New Zealand's supply.


    Dairy product prices rose at Fonterra's GlobalDairyTrade auction amid concern about a decline in New Zealand's supply following dry weather conditions.

    The GDT price index rose 4.9 per cent from the previous auction two weeks ago. The average price was US$3310 ($NZ4634) a tonne. Some 23,319 tonnes of product was sold, down from 25,400 tonnes two weeks ago.

    Whole milk powder climbed 5.1 per cent to $US3010 a tonne.

    "This result follows Fonterra's release [on Tuesday] that its December milk collections were down 6 per cent year-on-year due to dry, hot conditions on-farm in New Zealand," Amy Castleton, AgriHQ dairy analyst, said in a note, adding that Fonterra is now forecasting milk collections 3 per cent behind those of last season.

    "Buyers have not been paying much attention to New Zealand's dry conditions to date, as the effects of poor pasture production had not yet flowed through to milk production statistics," Ms Castleton said. "But this appears to have turned around at this week's GDT event."

    At the latest GDT auction, butter jumped 8.8 per cent to $US4897 a tonne, while skim milk powder rallied 6.5 per cent to $US1818 a tonne.

    Rennet casein gained 5.5 per cent to $US4709 a tonne, while cheddar increased 5.2 per cent to $US3486 a tonne.

    Anhydrous milk fat rose 2.2 per cent to $US6547 a tonne, while lactose traded at $US397 a tonne.

    Butter milk powder was not offered.

    The New Zealand dollar last traded at US72.73 cents as of 12.04pm in New York, compared with US73c at the previous close in Wellington.

    There were 129 winning bidders out of 200 participating at the 14-round auction. The number of qualified bidders edged up to 517, from 516 at the previous auction.


    © 2018 NZN, NZCity

     Other Rural News
     22 Feb: A2 Milk a $10b company, eclipsing Fonterra
     21 Feb: A2 shares jump 25pc on Fonterra deal
     21 Feb: GDT prices slip for first time this year
     20 Feb: Fonterra likely to hike milk payment: OMF
     08 Feb: O'Connor wants broad review of Fonterra
     07 Feb: Kiwi up on back of boost to dairy prices
     07 Feb: Supply concern lifts dairy auction prices
     Top Stories

    Highlanders comfortable with rules changes More...

    A2 Milk a $10b company, eclipsing Fonterra More...

     Today's News

    Mark Wright had a nasty accident at the gym caused by "too many reps" 15:35

    Law and Order:
    Murder charge over body in Wellington car 15:25

    Food barges supply Takaka 15:05

    Law and Order:
    China is cracking down on funeral strippers, but it's a decades-old 'religious practice' in Taiwan 15:05

    Cheryl takes to Twitter thanking everyone who helped fulfil dream opening centre to help disadvantaged youngsters in Newcastle 15:05

    A Fantastic Woman review: Transgender actor Daniela Vega shines in Oscar contender 14:55

    Law and Order:
    Accused calls alleged victims alcoholics 14:55

    Law and Order:
    Fame-seeking may fuel crime: Commissioner 14:35

    Ruth Wilson reveals less pay than Dominic West when pair starred in acclaimed drama series 'The Affair' 14:35

    Door opens for Sodhi in NZ spin department 14:25

     News Search

    Power Search

    © 2018 New Zealand City Ltd