Average prices of dairy products rose for the first time since Fonterra Cooperative Group’s online auction in early June, led by increases in whole and skim milk powder.
The GDT-TWI Price Index rose 1.7%, according to the latest results posted on the globalDairyTrade auction website. The average winning price rose to US$3,540 a metric tonne, climbing from the lowest level in more than a year in the previous auction two weeks ago.
Commodity prices have recovered somewhat since sinking to a 12-month low at the start of October, based on the Thomson Reuters/Jefferies CRB Commodity Index.
Hopes that European leaders can find agreement on how to tackle the region’s debt crisis have soothed concerns global growth will be derailed, though China’s economy slowed to a 9.1% pace in the third quarter, the weakest in two years.
Whole milk powder rose 5.7% to US$3,503 a tonne in the latest sale and skim milk powder gained 3% to US$3,292. Anhydrous milk fat fell 1.7% to US$3,645 a tonne and milk protein concentrate fell 6.4% to US$6,295 a tonne.
Rennet casein tumbled 14% to US$7,040 a tonne. Butter milk powder fell 1.9% to US$3,019 a tonne and cheddar fell 8.4% to US$3,497 a tonne.
There were 120 winning bidders from 149 participants over 12 rounds. The platform has 443 qualified bidders, up from 427 at the last auction.
(BusinessDesk)
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