Prices slipped for the second time in a row at today’s Global Dairy Trade (GDT) auction with the GDT Price Index down 3.9%.
Of note was a substantial fall in Whole Milk Powder (WMP) prices which fell over 7%.
Prices also dipped marginally at the final Global Dairy Trade auction of 2016 with overall prices falling 0.5%, with WMP prices falling 0.8%.
Global dairy prices have surged, particularly since July.
For example, after trading at very low levels over the first half of 2016, WMP prices jumped over 76% over the final six months.
According to the Irish Farmers Association, there is scope for further increases in milk prices in the coming months.
IFA National Dairy Chairman Sean O’Leary says that Irish co-ops have increased their milk prices by an average of 5.5c/L in the last five months, however he also highlights that over the same period, two of the largest European co-ops, Arla and Friesland Campina, increased their prices by 7.5c/kg and 12.5c/kg respectively.
“With dairy markets remaining strong, there is scope for further milk price increases for Irish dairy farmers for this month’s milk and the coming months’,” O’Leary said.