Successful debut for globalDairyTrade

Successful debut for globalDairyTrade

The inaugural trading event for Fonterra’s new internet-based sales platform, globalDairyTrade, concluded at 5am this morning (NZT).

The clearing price for regular whole milk powder for shipment in September was in line with current market prices.

The Independent Trading Manager from CRA International informed Fonterra that trading went through ten bidding rounds and ran for nearly four hours. This was longer than anticipated, reflecting strong customer demand.

Managing Director Fonterra GlobalTrade, Kelvin Wickham, said the Company was pleased with globalDairyTrade’s first trading event.

“The level of interest and the result is a vote of confidence from our customers in the new sales platform. It is early days yet, and we expect some bumps along the way, but this is a very positive start,” he said.

globalDairyTrade, an online trading platform, represents a significant change in the way Fonterra sells some of its commodity products, and is a first in international dairy trade. Over the next 12 months Fonterra expects to sell around $NZ 1 billion of whole milk powder on the trading platform, with volumes growing over time.

- ENDS

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