Whole milk powder (WMP), the most influential commodity for Fonterra’s farmgate milk price, increased 5.3% to an average of US$3,614 per metric ton. Skim milk powder (SMP) posted a sharper rise of 10.6%, reaching US$2,874/MT, while mozzarella matched that increase, climbing to US$3,694/MT. These gains underline renewed strength in key reference products.

Fats and other dairy ingredients also recorded solid advances. Butter prices surged 8.8% to US$5,773/MT, while anhydrous milk fat rose 5% to US$6,524/MT. Buttermilk powder gained 6.4%, cheddar increased 3.8%, and lactose edged up 1.5%, completing a fully positive auction outcome. In total, 24,034 MT were sold to 98 winning bidders.

Fonterra Global Ingredients president Richard Allen described the auction as clear evidence of robust global demand, highlighting particularly strong participation from China, alongside steady buying from Southeast Asia and the Middle East. He noted that Chinese buyers’ return to the market was a key factor behind the sharp rises in skim milk powder and butter prices.