- GDT auction in December 2021: on average -1.5%
In the 2nd Dec. 2021 auction of Global Dairy Trade (GDT), the positive average result of the pre-auction was reset. The decisive factor was the poor performance in the case of whole milk powder. The other products remained in the slightly positive trend. The throughput volumes remained consistently high, but fell well below the previous year's values. Whole milk powder (VMP) with an auction share of 55% had to accept considerable cuts with -3.3%. In particular, the early delivery dates at the beginning of 2022 had to accept significant price discounts. The main reason is China's reluctance to buy. The absolute prices are falling again at $ 3,867 / t. Skimmed milk powder (SMP) (auction share 25%) has just been able to maintain the high surcharges in the pre-auctions with +0.6%. The prices are at the high price level of the last 5 years. The absolute MMP prices remain at $ 3,745 / t above the EEX rates (3rd672 $ / t) and the USA (3,477 $ / t). Butterfat prices (share 10%) improved again slightly with an average of +0.9%. Except for the Jan-22 date, the surcharges remained in the positive range. The surcharge in April-2022 is considerable. The average product price continues to rise to $ 6,724 / t in the upper price segment of the last 5 years. Normal butter (proportion of 8%) is the upward development of the Vorauktionen again proceeds with an average of 1.0%. All delivery dates remain in the plus area. The absolute butter price increased further to $ 5,851 / t and has reached highs in the last 5 years. EEX Leipzig is quoted at $ 6,188 / t and the Chicago rates are at $ 4,520 / t. The upward trend in international prices for dairy products since Aug. 21 must pay tribute to the pre-Christmas business. The 10-year price index of the GDT auctions is not quite maintained.Nevertheless, the weighted average prices of dairy products are above average compared to previous years.
