GDT Price Drops October 6, 2016 12:00 am The overall average price index fell at the latest Global Dairy Trade (GDT) auction. Hopefully just a blip, this ends a run of four consecutive increases. The price index fell 3% compared to the previous event to $2,880. All products recorded a fall apart from butter milk powder, which rose 9.3% . Both SMP and WMP fell by 3.9% and 3.8% respectively. Meanwhile according to Rabobank’s Global Dairy third quarter report, global milk production has fallen faster than expected. The fall in supply is driving a price recovery, but price increases will be limited by continued weak global demand and significant stocks. Rabobank estimate global stocks to be 6.7m tonnes above normal levels.
