Global Market Updates
Milk from Australian dairy farms are made into products that are sold locally and in countries around the world. Understanding what is happening in all these markets will provide an insight to important trends that strongly influence Southern Region farmgate milk prices. Keep up to date with the latest global dairy market developments
GDT Posts Declines
GDT event #393 was another negative results for most products with the index shedding 4.3%. WMP average prices declined for a seventh consecutive auction to the lowest since mid-2024. The NZ regular CP2 contract fell by 2.2% to US$3,330/t with declines across all...
German, French Milk Continue to Push Higher
milk production, EU27 supplies rose 5.1% YOY. Growth was driven by increases in Germany (+6.8% YOY), France (+5.7% YOY), the Netherlands (+7.7% YOY), Poland (+5.4% YOY), Denmark (+2.1% YOY) and Austria (+8.9% YOY). Combined weekly German and French milk collections...
EU Product Output Surge
Dairy commodity output surged in September, with increases across all major products except for WMP, which is in line with weak confectionery demand. September cheese output increased 5.5% YOY. Most of the expansion was in France, Germany, Poland and the Netherlands....
Fonterra Reduces Forecast Payout
Earlier in the week, Fonterra reduced its forecast farmgate payout to a midpoint of NZ$9.50kgMS, down from NZ$10.00kgMS. The forecast range was narrowed to NZ$9.00kgMS—NZ$10.00kgMS, from NZ$9.00kgMS—NZ$11.00kgMS. Fonterra CEO Miles Hurrell said increasing global milk...
WMP Prices Plummet
NZ regular WMP settled at US$3,295/t at this week’s GDT Pulse event, down US$150/t from the previous pulse and US$110/t lower than GDT #392 settle price. The expectation was for a lower settle price as the nearest SGX—NZX futures contract settled lower at US$3,245/t....
GDT Prices All See Red
GDT Event #392 posted the seventh consecutive overall decline with the index down 3.0% and weaker prices across all products. Butter and AMF led the losses. WMP average prices declined for the sixth consecutive auction. The NZ regular CP2 contract fell by 2% and WMP...
October High For Dutch Milk Output
Milk intake in the Netherlands jumped 7.7% YOY in October—to a record high for October, well ahead of the previous record set in 2017 when Euro milk quotas were lifted. According to Dutch news site Boerenbusiness, milk output is driven by high milk prices as well as...
Pulse Prices Tumble
NZ milk powder prices continued to decline at this week’s Pulse event. The regular WMP C2 price declined 0.9% to US$3,445/t compared to GDT #391 and was 3.2% lower than the price achieved at the prior Pulse event in late October. Instant WMP prices settled at...
EU Milk +4.3% YOY in September
EU milk production increased 4.3% YOY in September 2025, according to Eurostat and AGEA. This includes YOY growth in France (+5.8%), Germany (+5%), the Netherlands (+6.9%), Poland (+5.7%), Ireland (+0.9%), Austria (+8.5% YOY) and Belgium (+8.1% YOY). EU milk solids...
US: Bigger Herd = More Milk
US milk production increased 4% YOY in September according to the USDA, following a 3.4% YOY increase in August. The September growth was well above pre-report expectations, influenced by upward revisions in dairy cow numbers for August (+21,000 head). Dairy cow...