Prices have eased slightly in the latest Global Dairy Trade auction, held overnight, dropping 0.5 per cent across the board.

This is the second event of the season and follows a 1.7 per cent increase two weeks ago.

It was also the first auction where the index had fallen since March 19. Nine out of 12 auctions held this calendar year have had increased prices.

Whole milk powder, which has the biggest impact on Fonterra’s farmgate milk price, slipped 2.5 per cent to an average of US$3394/MT.

Skim milk powder, Fonterra’s second-biggest reference product, had a small lift of 0.7 per cent to an average of US$2766/MT.

Lactose rose 1.9 per cent to an average of $US801/MT.

Cheddar dipped 1 per cent to an average of US$4205/MT, and anhydrous milk fat also fell slightly — 1.2 per cent to an average of US$7317/MT.

It was the first time anhydrous milk fat had fallen for ten months.

The biggest percentage lift came from butter, which jumped 6.2 per cent to an average of US$7350/MT, the highest price in five years.

Buttermilk powder was not available at this auction, after a huge 10.4 per cent increase to start the season.

Mozzarella was also not available at this event.

A total of 16,787MT of product was purchased by 106 successful bidders, compared with 17,637 MT and 102 winning bidders last time.

On May 29, Fonterra announced an opening farmgate milk price for the new 2024-25 season with a range of $7.2-$8.75 per kgMS and a midpoint of $8.

Fonterra also narrowed its 2023-24 season forecast to $7.70-$7.90/kgMS, leaving the midpoint unchanged at $7.80.