International online auctioneer for dairy products, Global Dairy Trade, rose 10.1 per cent last night.
The lift was mainly driven by cheddar, up 16.8 per cent, and whole milk powder, up 13.7 per cent.
The huge lift in prices follows a 9.4 per cent rise in prices as the previous sale a fortnight ago.
Dairy Australia analyst John Droppert said drought conditions in New Zealand were pushing prices higher.
«The world’s biggest dairy exporter is going to have a very quick end to their season,» he said.
«They way the New Zealand season works is that it’s a very seasonal milk production.
«It expands quite quickly in the spring and tends to shut right down towards the end of the season.
«Bringing that dry-off forward, even by a couple of weeks, can a very dramatic effect on product availability.»
Global Dairy Trade now sits at $3,366 a tonne ,still down from the high of $5,042 in February last year.
Source: ABC
