Fonterra has forecast a lower volume of its major products to be sold on the GlobalDairyTrade (GDT) platform in the coming 12 months.It intends to put up for auction about 850,000 tonnes, or about 3% less volume, than the past year.
GDT will be used for about 35% of Fonterra’s New Zealand and Australian production of milk powders, anhydrous milk fat (AMF), cheddar, casein and whey protein, but not butter.
The reduction was consistent with Fonterra’s announced strategy and would not undermine the credibility of GDT and the benchmark milk price that was derived, New Zealand Milk Products (NZMP) managing director Gary Romano said.
His sale force was tasked with creating added value over the GDT reference prices through new products and improved service levels and it was therefore logical less of the standard specifications of products would be posted on GDT, he said.
Source: FWPlus