International milk prices fell while volumes dropped in this month’s first Global Dairy Trade auction held by GDT Events.
The GDT Price Index dipped 0.7%, with an average selling price of $3,255 per metric ton, in the auction held on Tuesday. The index rose 4.3% at the previous sale, according to GDT Events.
A total of 34,514 tons was sold at the latest auction, falling 4.1% 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 November 21. 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.
