International milk prices and volumes fell in this month’s second Global Dairy Trade (GDT) auction on Tuesday.

The GDT Price Index was down 0.9%, with an average selling price of $3,488 per tonne. The index rose 2.5% at the previous auction held on May 2, with an average selling price of $3,506, according to GDT Events.

A total of 21,565 tonnes of dairy products were sold at the latest auction, down about 7.3% from the previous sale, the auction platform said.

The New Zealand milk co-operative, which is owned by about 10,500 farmers, controls nearly a third of the world’s dairy trade.

The results could affect the New Zealand dollar, as the dairy sector generates more than 7% of the nation’s gross domestic product.

GDT Events is owned by New Zealand’s Fonterra Co-operative Group Ltd, but operates independently from the dairy giant.

U.S.-listed CRA International Inc is the trading manager for the Global Dairy Trade auction, which is held twice a month, with the next one scheduled for June 6.

Source : Reuters May 16th 2023 (Reporting by Rahul Paswan in Bengaluru; Editing by Jan Harvey)