Global Dairy Trade climbs 4.5% to its highest level since July 2014

This latest increase comes after a bumper increase of 11.4% in prices earlier this month
This latest increase comes after a bumper increase of 11.4% in prices earlier this month

Prices increased 4.5% at yesterday's Global Dairy Trade event, with all dairy products registering increases in average prices.

This latest increase comes after a bumper increase of 11.4% in prices earlier this month. The result leaves the index 51.2% up on the same time 12 months ago, strengthened by seven increases in the last eight auctions.


Butter milk powder (BMP) prices increased 13.3%, while the cheddar index saw an increase of 11%. Skimmed milk powder (SMP) was another key driver of the increase this week, with prices up 9.8%.


The Global Dairy Trade is a globally connected marketplace for dairy, it is known for setting the benchmark for prices of globally traded dairy ingredients.

Kevin Bellamy of Rabobank said dairy-product prices are likely to stabilise at current levels rather than continue to harden and while he said production was unlikely to grow substantially through 2017, he pointed out that demand on world markets remained weak.

Recent price surges on the GDT and other trading platforms was underpinned by restricted supplies rather than improved demand, he said.