GDT Events: Dairy prices fall, volumes drop at auction

 International milk prices fell while volumes dropped in this month’s second Global Dairy Trade auction held by GDT Events, reported Reuters. 

The GDT Price Index dipped 1.5%, with an average selling price of $4,236 per tonne, in the auction held on Tuesday.

The index rose 1.4% at the previous sale, according to GDT Events.

A total of 30,375 tonnes was sold at the latest auction, falling 2.3% from the previous one, the auction platform said on its website.

The auctions are held twice a month, with the next one scheduled for 4 January.

The auction results can affect the New Zealand dollar as the dairy sector generates more than 7% of the nation's gross domestic product.

The New Zealand milk co-operative, which is owned by about 10,500 farmers, controls nearly a third of the world dairy trade.

GDT Events is owned by New Zealand’s Fonterra Co-operative Group Ltd, but operates independently from the dairy giant.

US-listed CRA International Inc is the trading manager for the twice-monthly Global Dairy Trade auction.