GDT Auction Nov. 19. +1.7% - Milk Powder Prices Are the Driving Factors The second Nov. 2019 Global Dairy Trade (GDT) auction has taken another leap with an average of +1.7%. Sales remained high at 37,968 t. The two milk powders VMP and MMP are the driving factors, while the two courses of milk fat have given way. Whole milk powder (VMP) , with an average of +2.2% on average in all delivery months, was able to once again overcome the previous stagnation phase and push up prices further. On all dates, we were able to achieve continuous markings above the 2% mark. Obviously, an increase in demand should be assumed if the supply declines. Skimmed milk powder (MMP) achieves a second hefty impact in a row with a result of +3.3% . Thus, the MMP prices rise out of the midfield. The long period of low prices has been overcome. Remarkably high surcharges were achieved in the month of Dec. and The extra delivery dates achieved growth of between +2.9 and +3.7%., MMP again becomes a mainstay of the milk price. Butterfat was not able to keep the price increases of Vorauktion. On average, the discount was -1.5 % . Exception: The Mar.-20 appointment has improved again with +2.2%. Nevertheless, in comparison to the 5-year average, the courses are still in the upper midfield .. Normal butter got with -1.3% on average for the 4th time a damper. The individual months are moving steadily -1% to -2.1% in the negative area to the Vorauktion Nevertheless, the butter prices are still in the good midfield. The current auction results indicate an improvement in the price trend. Despite seasonal supply highs in New Zealand, the available quantity is limited enough to meet demand. Remarkable are the significant mark-ups for the two milk powder segments, while the two milk fat products could not keep the results of the pre-auction.In the US , the butter prices remain stable due to the deficit situation there, while the MMP prices show upward tendencies On the EEX-Leibzig the price of butter for November 19 is 7% higher than the little changed subsequent months. The MMP courses show only minor changes for the coming months.
