The average Global Dairy Trade (GDT) price index rose by just 0.1% following the latest auction results today (Tuesday, April 16).
The average selling price was $3,590 per metric ton in the auction, which lasted for nearly two hours, during which there were 153 bidders and 105 winning bidders.
The total quantity of product sold was 17,654 metric ton and the GDT Price Index now stands at 1,086.
Earlier this month GDT confirmed that Kerry Dairy Ireland would join GDT Events in April, offering skimmed milk powder (SMP) medium heat.
GDT event
Despite only a marginal increase in the GDT Price Index following the latest auction the continuing upwards trajectory will be viewed as positive.
During the 354th event today anhydrous milk fat, butter, cheddar, lactose, skim milk powder (SMP), mozzarella and whole milk powder (WMP) were all sold.
Analysis of the individual product sub-indices from the event shows that cheddar cheese saw the largest drop in its price index declining by 8.5% to $3,974/MT.
Next was mozzarella which fell by 3.8% to $3,755/MT and anhydrous milk fat which also declined by 1.7% to $7,062/MT.
Meanwhile butter also fell by 1.4% to $6,546/MT followed by lactose which declined by 1.3% to $740/MT.
There was a slight dip in the WMP price index down by 0.4% to $3,269/MT and there was no movement on the skim milk powder price index which was unchanged.
Global dairy outlook
Meanwhile persistent wet weather conditions are likely to a negative impact on the Irish dairy market according to global dairy analyst for Rabobank, Richard Scheper.
He said Ireland is expected to accumulate lower milk output in 2024 because of weather conditions.
But according to Scheper the outlook will be similar for north-west Europe, which accounts for 39% of total milk supply growth since 2010.
Looking across Europe, Scheper told the Bord Bia Dairy Markets Seminar today in Co. Kildare that EU milk supply peaked in 2020 and has been at a “standstill” ever since.