International milk prices rose while volumes dropped in this month’s first Global Dairy Trade auction held by GDT Events.
The GDT Price Index climbed 1.6%, with an average selling price of $3,323 per metric ton, in the auction held on Tuesday.
The index remained unchanged at the previous sale, according to GDT Events. A total of 29,559 tons was sold at the latest auction, falling 13.3% from the previous one, the auction platform said on its website (www.globaldairytrade.info).
The auctions are held twice a month, with the next one scheduled for December 19. The auction results can affect the New Zealand dollar as the dairy sector generates more than 7% of the nation’s gross domestic product.
The New Zealand milk co-operative, which is owned by about 10,500 farmers, controls nearly a third of the world dairy trade.
GDT Events is owned by New Zealand’s Fonterra Co-operative Group Ltd , but operates independently from the dairy giant. U.S.-listed CRA International Inc is the trading manager for the twice-monthly Global Dairy Trade auction.
