- GDT auction in Feb. 2022: +4.1% on average
The 1 Feb 2022 Global Dairy Trade (GDT) auction closed with a repeat positive average result of +4.1%. Strong surcharges were again achieved for whole milk powder and normal butter. The available quantities have fallen significantly. Whole milk powder (WMP) with more than half of the auction volumes has again increased significantly with +5.8% surcharge. Higher prices were approved for all delivery dates. China's demand dominates this sub-market. Absolute prices increase to $4,324/t and are at their highest level in the last 10 years. Skimmed milk powder (SMP) (auction share 25%) continues the recent price increases of +2.1%. The listings continue to climb in the high price range of the last 5 years. The later delivery dates were in high demand. At $4,051/t, the absolute MMP prices remain above the EEX rates ($3,672/t) and the USA ($3,477/t).Butterfat rates (proportion of 10%) were able to improve again with 1.4% of the price improvement Vorauktion. The month Jun.-22 date was able to increase considerably with +4.3% surcharge. The average product price continues to rise at $6,800/t and has stabilized at a comparatively high level in the price segment of the last 5 years. Normal butter (proportion of 8%) sets the upward trend of the average + 3.3% with Vorauktionen continued. All delivery dates remained in the clear positive range. The absolute butter price continues to increase at $5,868/t and reaches the highest values of the last 5 years. EEX Leipzig is quoted at the equivalent of $6,359/t and the Chicago rates are at $4,520/t. The upward trend in international prices for dairy products that has existed since Aug.-21 continues. The tightly available supply quantities lead to continued price increases. The 10-year price index of the GDT auctions is in the top price range.
