Small increase in globalDairy Trade twi

The trade weighted index increased 1.2% in this morning’s globalDairyTrade auction.

The price for anhydrous milk fat dropped .3%; butter milk powder went up 14.5%; skim milk powder increased 2.4%; and whole milk powder went up .5%.

While on the subject of dairy prices, trying to compare dairy production and prices around the world isn’t easy.

Here we value milk in $s per kilo of milk solids (which is fat plus crude portein).

Australian dairy farms talk about cents per litre.

In the USA its $s per hundredweight (and that’s a USA hundredweight not a British one).

Europeans work in Euros per 100 kilograms.

In Britain it’s pence per litre.

So how do you compare one with another?

Over at Xchequer Neil Lane attempts to make sense out of units of milk price and has a link to the Xheque milk price calculator.

One Response to Small increase in globalDairy Trade twi

  1. Simfarmer says:

    Auzzie dairy farmers may talk cents/l but get paid per kg MS just like in NZ. They just haven’t got their heads around it yet. The fonterra milk supply officers in Auz get a bit frustrated as they announce a price step up in kgMS and all the farmers ring up to find out what that means in cents/l even though this isn’t possible as everyones test results are slightly different. Easy enough to work out though. Its a little quirk that is quite funny though especially when you have a dairy cocky over here that is stoked because the are doing 30 l/cow but their test may only be slightly over 6 % (high grain feeding). They haven’t worked out that they get charged 2.7c/l to take the stuff away !

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