2nd GDT auction prices in Nov. 2024: +1.9 %
The second Global Dairy Trade (GDT) auction in Nov. 2024 continued the price increases of the previous auctions with an average of +1.9 %. The decisive factor was the premiums for whole milk powder. After the seasonal peak in Oct. 24, the high auction volumes have eased somewhat.
Whole milk powder (VMP) (approx. 50% auction share) continued the rising results of the previous auctions with +3.2%. The upward trend took place in all delivery months of the new year 2025. High Chinese demand was the main reason for this. The New Zealand milk season peaked in Oct-24. The VMP price level is €3,626/t.
Skimmed milk powder (SMP) (approx. 25% share) continued its recent upward trend with +0.9%. The upward trend will continue into the first half of 2025. However, at the equivalent of € 2,731/t, absolute SMP prices are still close to the average of previous years. The Chicago prices are at €2,868/t and the EEX prices in Leipzig are at €2,575/t.
Pure butterfat prices (approx. 10% share)were able to maintain the result of the pre-auction well at +1.0% on average. The price increases did not prevail in all delivery months of the new year.
Normal butter (approx. 8% share) has corrected significantly at +0.5% after the unusual increase in the previous auction (+8.3%), but is still at a high price level. With a discount of -10.3 %, the delivery month of Dec. 24 corrected the pre-auction result of +18.5 %. Prices rise to €6,641/t. EEX Leipzig is quoted at 7,900 €/t and the Chicago prices are around 5,651 €/t for the Dec. 24 date.
Following the decline in milk supply in the first half of 2024 in major production regions, the supply volume increased in New Zealand and Australia at the start of the new dairy year, but remains comparatively stable. Small increases can also be observed in the USA and the EU.
