Prices of the key whole milk powder product performed the strongest, up 4.2% to $US2886 ($NZ4066) a tonne. Skim milk powder prices rose 1.6% and milk fat prices were steady after dropping at the end of last year. ASB chief economist Nick Tuffley said the whole milk powder gains put prices back to mid-October levels, after powder prices ground lower during a period of marked milk fat price weakness. During this period, milk prices had still generally been on the back foot, he said. The NZX dairy derivatives market had closed for the new year holiday before Fonterra advised of the lower milk production forecast.
Source: Otago Daily Times January 03, 2018 16:07 UTC