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GDT showing first signs of stabilisation?
Published 16 June 15
After the unexpected increases in February 2015, the Global Dairy Trade (GDT) auction results have been falling ever since. However, the falls recently have been getting smaller and today’s auction has seen a reduction of only 1.3%. Although any reduction is not good news it is clear from one look at the graph that prices may be getting closer to stabilising.
Nevertheless, it is likely that it will take a bit longer before we see any significant recovery in prices, as stated recently by Rabobank. Globally there is still a supply/demand imbalance, which will continue to place pressure on the dairy market until resolved.