Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Dairy product prices slip to two-year low

Dairy product prices slip to two-year low

Aug 20 (BusinessDesk) - Dairy product prices slipped to the lowest level in two years in the latest GlobalDairyTrade auction, as lower prices for skim milk powder and cheddar outweighed increases for butter and anhydrous milk fat.

Commodities, dominated by dairy products, are central to New Zealand's export returns and help drive the economy. Yesterday the Treasury cut its short-term forecasts for economic growth and tax revenue, citing weaker prices for export commodities.

Still, it expects prices to stabilise near current levels, saying factors driving them lower are short term, not structural.

The GDT price index slipped 0.6 percent to US$3,000, down from US$3,025 a tonne two weeks ago. Some 46,387 tonnes of product was sold, down from 48,380 tonnes two weeks ago.

In the latest GDT auction, skim milk powder plunged 12 percent to US2,874 a tonne, while cheddar slumped 7.9 percent to US$3,453 a tonne.

Butter milk powder fell 2.5 percent to US$3,886 a tonne, while rennet casein slipped 0.8 percent to US$9,601 a tonne.

Whole milk powder rose 3.4 percent to US$2,804 a tonne, while anhydrous milk fat gained 3.6 percent to US$3,566. Butter rose 4.9 percent to US$2,940 a tonne.

Neither lactose nor sweet whey powder were offered at the event.

The New Zealand dollar was trading at 84.43 US cents before the release, and recently traded at 84.41 cents.

There were 141 winning bidders out of 181 participating bidders at the 13-round auction. The number of qualified bidders fell to 650 from 668 at the last auction.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Banks: Westpac Keeps Core Government Transactions Contract

The local arm of Westpac Banking Corp has kept its contract with the New Zealand government to provide core transactions, but will have to share peripheral services with its rivals. More>>


Science Investment Plan: Universities Welcome Statement

Universities New Zealand has welcomed the National Statement of Science Investment released by the Government today... this is a critical document as it sets out the Government’s ten-year strategic direction that will guide future investment in New Zealand’s science system. More>>


Scouring: Cavalier Merger Would Extract 'Monopoly Rents' - Godfrey Hirst

A merger of Cavalier Wool Holdings and New Zealand Wool Services International's two wool scouring operations would create a monopoly, says carpet maker Godfrey Hirst. The Commerce Commission on Friday released its second draft determination on the merger, maintaining its view that the public benefits would outweigh the loss of competition. More>>


Scoop Review Of Books: She Means Business

As Foreman says in her conclusion, this is a business book. It opens with a brief biographical section followed by a collection of interesting tips for entrepreneurs... More>>


Hourly Wage Gap Grows: Gender Pay Gap Still Fixed At Fourteen Percent

“The totally unchanged pay gap is a slap in the face for women, families and the economy,” says Coalition spokesperson, Angela McLeod. Even worse, Māori and Pacific women face an outrageous pay gap of 28% and 33% when compared with the pay packets of Pākehā men. More>>


Housing: English On Housing Affordability And The Economy

"Long lead times in the planning process tend to drive prices higher in the upswing of the housing cycle. And those lead times increase the risk that eight years later, when additional supply arrives, the demand shock that spurred the additional supply has reversed. The resulting excess supply could produce a price crash..." More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news