7 September 2022

1 minute read

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

The GDT Price Index gained 4.9%, with an average selling price of $4,007 per tonne, in the auction held on Tuesday.

The index fell 2.9% at the previous sale, according to GDT Events.

A total of 27,127 tonnes was sold at the latest auction, down about 10.5% from the previous one, the auction platform said on its website.

The auctions are held twice a month, with the next one scheduled for September 20.

The auction results can affect the New Zealand dollar NZD= 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