6th consecutive positive GDT auction sees continued butter/SMP recovery
In an encouraging SMP prices have continued to recover in this week’s GDT auction, increasing by nearly 8% over the previous event.
Butter prices, which have been on the up for the last few months, also continued to push upwards, with a 3.3% increase over the average price reached at the previous auction.
Taking the new increased SMP and butter prices, we calculate a farm gate price equivalent at Irish constituents of 34.05c/l + VAT (35.9c/l incl VAT).
WMP prices eased, with a 2.9% decrease over previous event. This new reduced price would yield an Irish milk price equivalent of around 29c/l + VAT (30.5c/l incl VAT).
The downturn in the WMP price is what kept the overall average price index increase as low as 0.6%, because by very far the largest quantities of product traded through the auction is always WMP, followed by SMP.