New Zealand: Improvement in commodity prices will help supply in the second half of 2024

Published 2024년 3월 12일

Tridge summary

Rabobank's New Zealand Agribusiness Monthly report for February 2024 reveals a positive trend in dairy commodity markets, with butter prices up by 12% and skim milk powder by 8%. Despite a 1.2% year-on-year decline in New Zealand's milk supply in January 2024, higher dairy commodity prices are anticipated to bolster farmgate milk prices, offering relief to producers who faced challenges in 2023. Demand optimism persists in China, New Zealand's primary market, and prices are projected to increase as milk production struggles to meet subtly improving demand.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

To continue reading the article, log in with your account or register on MilkPoint. Get access to exclusive content! Dairy commodity markets largely maintained their positive trend through February 2024, according to Rabobank's New Zealand Agribusiness Monthly report. Butter prices continued to rise, rising 12% in the month of February 2024, and were 20% higher at the end of February than at the start of the calendar year. Skim milk powder continues to recover, rising 8% in the month of February 2024, while whole milk powder gains slowed to 1% and cheddar prices stagnated in the same month. Milk supply growth from global dairy exporters continues to struggle. A return to significant production expansion in these regions will take some time. Higher dairy commodity prices will translate into firmer farmgate milk prices in all regions: a welcome relief for producers who have struggled to achieve profitability in 2023. At ...

Source: Milkpoint