The average Global Dairy Trade (GDT) price index increased by 1.1% following the latest auction today (Tuesday, July 15) after four decreases in a row.

There were a total of 179 bidders in the event which saw 24,290 metric tonnes  (MT) of product sold.

The average selling price was €3,747/MT in the auction, which lasted for nearly two and a half hours during which there were 118 winning bidders and 17 bidding rounds.

The GDT Price Index now stands at 1,259 – compared to the previous index figure of 1,246 on July, 1.

The GDT auction, which is held twice in every month, is a trading platform for core dairy products and is seen as a good global barometer of the demand for various products.

It connects buyers and sellers from around the world. 

GDT is owned and managed as a strategic partnership between the European Energy Exchange (EEX), Fonterra Cooperative Group, and New Zealand’s Exchange (NZX).

The most disappointing performance from today's auction was recorded for cheddar which fell back by 5.6% to €3,925.

This was in contrast to skim milk powder which recorded a 2.5% jump to €2,382.

In the graphic (below) the shaded dials indicate the proportion of each product group sold versus total quantity sold during the previous 12 months, with a three month lag.

Figures within the dials represent the percentage change in GDT price index and the weighted average price.

Meanwhile milk production in the European Union is expected to “stagnate” with fewer dairy cows and slower yield growth in the next decade according to a new report released today (July 15) .

The Agricultural Outlook 2025-2034 report was released by the Organisation for Economic Co-operation and Development (OECD) and the Food and Agriculture Organisation of the United Nations (FAO).

The report indicates that world milk production is projected to grow over the next decade, faster than most other agricultural commodities.