GDT auction in good plus - soil formation has prevailed

GDT-Internet auction by Dec. 16, 2014

The second December auction of global dairy trade by Dec. 16, 2014 concluded with a positive average score of + 2.4%. This confirms the assessment that has occurred a soil formation and a phase prevailed stabilizing price trends. The exceptions are still the divisions of skimmed milk and buttermilk powder.

The auction result for milk powder in the amount of + 1.4% % is based on the good delivery months febr-and March, with increases of + 4.7 + 1.8. The later dates up in the June 2015 with sharp price reductions from 2.7 to-11.2% achieved no disruptive effect because lower amounts. Nevertheless, comes an indication that the recovery of in milk prices is not achieved in a few months, but will take a longer time.

The poor showing of skimmed milk powder is the result of all delivery months, not about a + 0.2% in the March 15 came out. The individual schedules for Feb-15 June-15 ranged from - 3.1 condense - 7.6% in May - 15 skimmed-milk powder will remain probably for the time being the problem child of the next auctions.

Encouragingly strong butter fats with average growth rates are presented by + 10.8% and + 10.4%. In the case of butterfat the increases of + 11.9 ranged 15 normal butter % in the front months + 5.2% in June achieved price increases from 8.3 to 12.9% in March 2015.

In the 10-year comparison of the results of the auction looming, probably not of below the Tiefstphase of the year 2009.

The multiple announcements of New Zealand dairy, that will result in the year 2015 to no further increases in the New Zealand milk production alone because of the half payout price, lets grow the hope for a stabilisation of the world milk market . Also from the neighbouring Australia spoken by a consolidation. You can hear the same from Argentina. All countries located in the southern hemisphere that have just passed through its production peak.

A global assessment of the milk market delivers the Semi-annual USDA estimate in the next few days.

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