The Global Dairy Trade (GDT) auction on May 20, 2025, concluded the 2024/25 season with a 0.9% decline in the price index, signaling a cautious market sentiment. Cheddar cheese experienced a significant drop of 9.2%, settling at an average of US$5,007/MT, while lactose plummeted by 13.2% to US$1,398/MT. Whole milk powder, a key product influencing Fonterra’s farmgate milk price, decreased by 1.0% to US$4,332/MT, and skim milk powder fell by 0.7% to US$2,817/MT. Butter prices also saw a reduction of 1.5%, averaging US$7,821/MT.
Conversely, anhydrous milk fat and mozzarella bucked the downward trend, recording increases of 0.9% and 0.7%, respectively. The auction witnessed participation from 110 successful bidders, purchasing a total of 15,194 MT of dairy products, slightly less than the 16,700 MT sold in the previous event. Despite the recent dip, the GDT index has risen by 16% over the past year, with whole milk powder prices up by 27%, indicating a robust performance throughout the season.
Industry Insight:
The slight downturn in the final GDT auction suggests a market recalibration after sustained growth. Indian dairy exporters should monitor these trends closely, as fluctuations in global prices, especially in key products like whole milk powder and cheddar, could impact export strategies and pricing models.
Source : DAirynews7x7 May 21st 2025