GDT auction from 1st Oct 2014 - price drop to - 7.3%
The recent Internet auction the global dairy trade (GDT) after the intermediate recovery from a decline again before 14 days down delivered. Since the beginning of this year, the average prices of milk products are to rd.--shrunk to 50%.
Milk powder with a market share of more than half of the contingent of the auction fell by 10% in the average of the delivery months of Nov. 14 to Apr. 15. The most severe price declines were in the months Dec. 14 until Mar-15 by - 9.7% to 10.7% Instead of. The price increase had hardly a meaning in the Nov. 14 with + 1.9%. Apparently the offer for the predominantly buying Chinese had fallen to plenty.
However, the decline in skimmed-milk powder took with - 2.7% comparatively modest out. In the individual delivery dates, the range of results + 2.5% in March filed-15 to - 5.8% in the Apr. 15. MMP has a market share of about 25%, which is aufteiel 5 companies. The Indian AMUL, the Danish Swedish Arla, includes the two US-firme dairy America and country-O'Lakes, as well as the New Zealand FONTERRA.
Both butterfat and normal butter butter fats not especially well completed %-5% and - 6.6. In case the dates of Dec - 8.3% awarded of butterfat weakest auction, during normal butter 82% fat during the delivery month March-15-15% cut off even worse. Butter fats represent about 10% of the auction his.
The cheddar cheese with 1.2 still relatively good section % compared.
The German dairy Ammerland participated for the second time at the auction with sweet whey powder. Getting started with - 9.3% compared to the previous auction can see you not as Very much happy. Maybe the Olympic idea helps here. Being is important.
The price developments of the last months and the prospects in the coming months of delivery suggest the conclusion that the offer development the demand clearly overwhelmed. Seek out the current price trends on a 5-year low, that to observe last 2009 as a result of the financial crisis. In the present case the supply side is however cause for the price drop to make out.
In the spring months, the fallen quotes indicate that a fundamental change of course Not yet occurred. The formation of a soil is not reasonable to present.
Catalyst for the greater supply than demand is the previous high level of prices of the year 2013. Also the prospect of The end of the EU quota may play a part, but the continuation of the quota system would have made no sufficient production damping effect, because the average utilization of rate of is significantly less than 100% several years. Only 6 EU Member States pass.
On the demand side is No more a certain reluctance of China imports whose growth rates at 30-50%, but less than half of earlier years make up. Increasing domestic production and build-up of inventories to slow the willingness to buy.
For the next 1 to 2 years is to proceed from a cyclic consolidation of market and price developments in the dairy sector.
