Dairy prices fall: Fonterra

Tuesday, 22 July 2014 00:01 - - {{hitsCtrl.values.hits}}

Reuters: International milk prices fell while volumes dropped in this month’s second auction held by New Zealand’s Fonterra Co-operative Group, the world’s biggest dairy exporter. Fonterra’s GDT Price Index dipped 8.9%, with an average selling price of $ 3,309 per ton, in the auction held last week. The index fell 4.9% at the previous sale, said Fonterra, which is known for brands such as Anchor, Anlene and Fresh n’ Fruity. A total of 36,656 tons was sold at the latest auction, falling 11.7% from the previous one, the cooperative said on its website (www.globaldairytrade.info). The auctions are held twice a month, with the next one scheduled for August 5. 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.