February 18, 2015

Cheddar, milk powder lead surge in New Zealand's dairy prices

Dairy product prices rose in the latest GlobalDairyTrade (GDT) auction, propelled by gains in cheddar and whole milk powder.

The GDT average winning price rallied 10.1% to US$3,366, up from the previous auction price two weeks ago. Some 22,957 tonnes of product was sold, down from 28,000 tonnes.

Current farm gate milk price for the 2014-15 season is at $4.70/kgMS, meeting Fonterra's current forecast for the season.

Cheddar jumped 16.8% to $3,054 a tonne, while whole milk powder climbed 13.7% to $3,272 a tonne. Anhydrous milk fat gained 6.4% to $4,314 a tonne, and skim milk powder increased 5.7% to $2,744 a tonne.

Slight increases were seen for butter milk powder which advanced 1.9% to $2,674; rennet casein rose 1.2%  to $8,897, and butter added 1.1% to $3,823.