IFA asks co-ops to maintain January, February milk prices

Dairy prices continued to rise in this week’s Global Dairy Trade auction — and Australia & New Zealand Bank predicts they could advance 10-15% extra on top of this week’s 10.1%, due to the global milk supply growth returning to 1.9%.

Meanwhile, Dairy Australia said, “Current indications suggest that the balance required to bring prices back towards average levels is increasingly likely as 2015 progresses.”

The industry and farmer funded organisation said global supply continues to outweigh demand. But buyers may be returning, and the supply trend may be turning due to lower milk prices, the EU superlevy and signs of drought in New Zealand.