Dairy product prices rose 9.9% at the latest Fonterra Global Dairy Trade auction.

The event represents the fourth positive auction for prices in a row after prices rose last month for the first time since March 2015 after 10 negative auctions.

Average prices paid at the auction rose 9.9% on the last event held three weeks previously which itself was up 16.5%.

The only casualty in the latest auction was butter, which was down 2.3%. Butter milk powder (BMP) saw a rise of 13.8% while skimmed milk powder recorded a 13.4% rise.

Key Results

  • AMF index up 9.9%, average price US$3,763/MT.
  • Butter index down 2.3%, average price US$3,037/MT.
  • BMP index up 13.8%, average price US$1,945/MT.
  • Ched index up 0.5%, average price US$3,234/MT.
  • LAC index up 5.9%, average price US$524/MT.
  • RenCas index up 4.0%, average price US$6,048/MT.
  • SMP index up 13.4%, average price US$2,267/MT.
  • WMP index up 12.9%, average price US$2,824/MT.

GDT

Ireland

Irish creameries and pasteurisers took in 14.2% more milk in August 2015 than they did for the same month last year, figures from the Central Statistics Office (CSO) show.

Domestic milk intake for August is estimated at 694.6m litres, the figures show.

Comparing the August 2015 milk produce figures with those for August 2014 shows that total milk sold for human consumption increased by 11.3% to 43.6m litres.

Butter production was also up year-on-year by 8.1% to 18,900t, the figures show.

For the first eight months of 2015, domestic milk intake was up 9.2% on the corresponding period last year. So far this year, Irish creameries and pasteurisers have taken in 4,725.5 billion litres of milk.

Europe

Ireland continues to power ahead of the rest of Europe when it comes to milk production; with production up 8.4% compared to the same period in 2014.

This compares to an EU average increase of 3.1% over the period, figures from the Milk Market Observatory (MMO) show.

Meanwhile, other Member States such as France and Italy have seen lower production so far this year.

For the short-term outlook, the Milk Market Observatory (MMO) says cumulative EU milk deliveries in 2015 were estimated to increase by 1.1%.

Milk production increases continue in Ireland, Hungary, Netherlands, Spain, Poland and the UK, while downward trends are expected in France and Germany.