Second GDT auction in Aug 2020: - 1.7% on average; only skimmed milk powder in the plus The second Aug 2020 auction of Global Dairy Trade (GDT) again closed with a negative average result of -1.7%. The result is characterized by inconsistent surcharges and discounts in the delivery dates. With 31,331 t the handling volumes are only slightly fallen to Vorauktion. Whole milk powder (VMP) almost consistently suffered reductions in delivery dates with an average of -2.2%%. The exception was Jan-2021. The price deciding factor is the reluctance of Chinese buyers to invest more money. The price mark of $ 3,000 / t could not be maintained. Skimmed milk powder (SMP) achieves an average premium of 1.1%. The high surcharge of + 11.1% in the delivery month Sep.-2020 is striking. The reason is largely that this date was not traded in the last auctions and there was a need to catch up.The remaining delivery months were mostly positive between +0.4% and 1.4%. At the converted $ 2,608 / t, the MMP prices are still at a high level. Butterfat had to return the extra charges of Vorauktion again with -2.9% on average. The months of September-20th with -10.7% and October 2020 with -7.4% stand out well from the other delivery dates. The average product price is still in the good midfield. Normal butter loses again with an average of -2.0%. But the delivery months were very inconsistent. The months of October 20 with -5.2% and November 20 with -4.4% were particularly weak. In contrast, the months of December 20 to February 21 showed a clear upward trend. The price of the equivalent of $ 3,370 / t. The latest auction results present a very mixed picture of price developments. The need for correction and catching up seems to be the cause in individual months.The mostly positive results at the beginning of 2021 may be an indication of a future trend.
