Market Updates – Domestic & Global
This page contains latest global and domestic market updates that are relevant to the value of milk in the Australian dairy industry. These also appear in separate updates on this site under Domestic Market Updates and Global Market Updates.
Dry Australian weather outlook
The Bureau of Meteorology’s (BoM) latest long-range forecast for April to June is for below average rainfall in large parts of the south and east of Australia with warmer than usual days and nights across most of the country. High streamflows are forecast for most...
GDT down again
The price index fell 2.8% at this week’s GDT auction #352 on a reduced offering. Weakness in SMP markets was reflected in the 4.6% decline in SMP price to average US$2,517/t, a 6-month low. Chinese buyers took their lowest tonnage since May last year. WMP prices lost...
US Feb milk production down 1.3%
US milk production fell 1.3% YOY in February according to the USDA, mostly reflecting a continuing decline in the dairy herd. In YOY terms, February average yield per cow was down 0.4% YOY while cow numbers were down 0.9%. At 9.330m, February cow numbers were up...
Fonterra NZ narrows milk price range, lifts profits
Fonterra New Zealand has released interim results for FY2024 reporting net profit after tax jumped 23% to NZ$674m, driven by increased EBIT (+11%) and a dip in financing costs, down 43%. Fonterra reported a drop in earnings of NZ$383m for its Ingredients category...
Rabobank: Seasonal milk to grow 2.6% YOY
Australia’s milk supply will end the current season 2.6% ahead of the prior season according to Rabobank while 2024/25 intake is expected to grow in the range of 3-4%. Favourable weather conditions with record rainfall from the spring and into January 2024 are...
Australian farmland value doubles
Average price per hectare of broadacre farmland has more than doubled in the ten years to 2023. That’s the latest reading from ABARES Farmland Price Indicator. Farmland values peaked in 2022 at $9,576ha, with an average annual growth rate of more than 10% in the past...
No fines for climate laggards
Agriculture minister Murray Watt says farmers operating outside developing government regulation and policy regimes and supply chain and banking frameworks will likely punish themselves by potentially losing access to markets and finance. The Department of...
WMP falls on Pulse
Regular grade WMP fell to US$3,155/t at this week’s GDT Pulse event, down 2% compared to GDT auction #351 and 2.3% behind the previous Pulse result. The March 2024 SGX-NZX WMP futures contract settled at US$3,180/t– just US$25/t higher than the achieved C2 regular WMP...
Coles signals pressure back on suppliers
Coles CEO Leah Weckert has conceded the retailer wants to shift the conversations on prices with suppliers as commodity values decline. Consumers expect prices to come down in the supermarket aisles as commodity values fall and Weckert expects the entire supply chain...
Petition mounted to maintain NZ export ban
In response to the new government’s pledge to repeal a ban on live exports, a parliamentary petition started by former National Animal Welfare Advisory Committee chairperson Dr John Hellstrom has garnered more than 17,000 signatories since it was started on the 23rd...
CLICK TO SUBSCRIBE
TO UPDATES