Global Dairy Markets Up a Smidge
World dairy prices were up ever so slightly on this week’s Global Dairy Trade (GDT) auction in New Zealand.
In the aggregate, prices were up 0.4%, marking the third auction in row to show positive price gains. Volume was heavy with more than 76 million pounds of dairy products changing hands.
Butter rose 3.3% to $1.67/lb and cheese was up 3% to $1.73/lb. Whole milk powder also was up 0.3% to $1.38/lb. All other dried dairy products were down, with lactose dropping 8%. Skim milk powder (SMP) was off just 0.2% to $1.29/lb.
That means U.S. butter and SMP remain competitive on world markets. U.S block cheese is trading about a $1/lb higher (nearly 60% higher) than world prices and U.S. whole milk powder remains 20₵ to 40₵ above world prices.
The next GDT auction will be held Nov. 3. You can see all of today’s GDT results here.