Dairy product prices rose 3.5% at today’s Global Dairy Trade auction, a fourth consecutive rise in prices.
It comes following increases of 4.5% and 11.4% in prices at the last two auctions.
At today’s auction, all product prices were up except for butter milk powder (-2.6%). Lactose prices increased the most with a 10.6% jump in prices.
The dairy futures market had pointed to 3% to 5% rise in whole milk powder (WMP) prices at this week’s Global Dairy Trade and the futures market was correct as WMP prices increased 4.9%.
Skimmed milk powder prices (SMP) rose 1.4%.
Key Results
- AMF index up 2.9%, average price US$5,500/MT.
- Butter index up 1.7%, average price US$4,262/MT.
- BMP index down 2.6%, average price US$2,408/MT.
- Ched index up 2.2%, average price US$3,752/MT.
- LAC index up 10.6%, average price US$873/MT.
- RenCas index up 2.3%, average price US$6,201/MT.
- SMP index up 1.4%, average price US$2,570/MT.
- WMP index up 4.9%, average price US$3,593/MT.
Meanwhile, EU milk production decreased by 3% in September 2016 compared to September 2015 – the fourth month in a row that production has fallen this year.
For the period January to September, milk production in the EU was up 1.5% on the corresponding period last year with Luxembourg, Cyprus, the Netherlands and Ireland recording the highest increases.
Dutch milk production increased 9.8% in January to September this year, compared to the same period last year.
The latest figures from the Central Statistics Office (CSO) show that in October, Irish milk production fell 4.3% below the corresponding production figure in 2015.
Domestic milk intake by creameries and pasteurisers was estimated at 513.1m litres for October 2016.
January to October milk production was up 5.2%, at 6,173 billion litres, on January to October last year.