Dairy product prices fall 0.8 percent in first GDT auction of 2014, led by skim milk powder

Dairy product prices fell in the first GlobalDairyTrade auction for 2014, led by skim milk powder while rennet casein made a new record high.

The GDT Price Index dropped 0.8 percent compared to the last sale two weeks ago. The average winning price was US$4,943 a tonne, still an elevated level, from US$4,990 a tonne.

Skim milk powder fell 3.4 percent to US$4,688 a tonne and whole milk powder, the biggest product by volume, fell 0.6 percent to US$4,934 a

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The average winning price of rennet casein, a functional ingredient used in everything from sliced cheeses to products that can be whipped or foamed, rose 1.1 percent to US$11,903 a tonne, having jumped 7.3 percent and 18.9 percent in the past two auctions respectively. Cheddar rose 1.9 percent to US$4,656 a tonne.

The total volume of dairy products sold at the latest GDT auction fell to 46,418 tonnes from 47,858 tonnes in the previous auction.

The price of anhydrous milk fat fell 1.8 percent to US$5,538 a tonne and butter rose 5.1 percent to US$4,223 a tonne, the highest average price since May last year. Butter milk powder gained 0.5 percent to US$4,539 a tonne.

Milk protein concentrate rose 5.2 percent to US$9,010 a tonne and lactose rose 5.8 percent to US$1,826 a tonne.

There were 152 winning bidders over 12 rounds. There were 208 participating bidders out of a total number of qualified bidders of 828.



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