Whole milk powder rose in Fonterraâ€™s latest GlobalDairyTrade auction, even as overall prices of dairy products slipped, keeping the price index at its highest level since April 3.
The GDT-TWI Price Index fell 0.5 percent compared to the last sale in early June, when the index rebounded from a three-year low. The average winning price rose to $3,042 a metric ton from $2,899 a ton two weeks ago. Whole milk powder rose 2.7 percent to $2,886 a ton, the highest since early April.
Last month Fonterra, the worldâ€™s largest exporter of dairy products, cut its forecast 2012 milk price and flagged lower payments in 2013 in response to a slide in global prices for dairy commodities. The cooperative says global supply and demand may start to rebalance later this year.
In the latest GDT auction, skim milk powder fell 4.8 percent to $2,834 a ton. Anhydrous milk fat fell 0.8 percent to $3,092 a ton and cheddar dropped 3.7 percent to $3,117 a ton. Butter milk powder rose 2.5 percent to an average $2,509 a ton. Lactose wasnâ€™t offered.
Milk protein concentrate declined 2.7 percent to $4,214 a ton and rennet casein fell 1.9 percent to $6,788 a ton.
There were 118 winning bidders over 13 rounds. There were 175 participating bidders out of a total number of qualified bidders that rose to 667 from 649.
The next Global Dairy Trade auction iwill be held on July 3rd.
Additional Product Results from the June 19th GlobalDairyTrade auction
Whole Milk Powder (WMP)
Average Price (USD/MT FAS) $2,886/ ton ($1.31 / lb.) â€“ up 2.7% from the June 5th auction
Anhydrous Milk Fat (AMF)
Average Price (USD/MT FAS) $3,092/ton ($1.41 / lb.) â€“ down 0.8% from June 5thÂ auction
Skim Milk Powder (SMP)
Average Price (USD/MT FAS) $2,834/ ton ($1.29 / lb.) â€“ down 4.8% from June 5th auction
Milk Protein Concentrate (MPC70)
Average Price (USD/MT FAS) $4,214/ ton ($1.92 / lb.) â€“ down 2.7% from June 5th auction
Butter Milk Powder (BMP) (MPC70)
Average Price (USD/MT FAS) $2,509/ ton ($1.14 / lb.) â€“ up 2.5% from June 5th auction
No product was offered at the June 5th auction
Rennet Casein (RenCas)
Average Price (USD/MT FAS) $6,788/ ton ($3.09 / lb.) â€“ down 1.9% from June 5th auction
Average Price (USD/MT FAS) $3,117/ ton ($1.42/lb.) â€“ down 3.7% from June 5th auction
Source: Business Desk