15 July 2019
The Australian dairy export index declined this week, the result of weaker WMP prices and a stronger Australian dollar.
In spot quotes from Australasian exporters, WMP prices fell US$50/t from the prior week to US$3,000/t. All other major commodity prices were unchanged – Cheddar holding at US$4,000/t. SMP US$2,450/t and butter US$4,330/t.
The Australian dollar gained ground against the weaker US$, ending the week at US$0.7020 – after comments by US Federal Reserve Chairman Jerome Powell that the FED will begin cutting interest rates as soon as the end of July.
The combined impact of these factors pruned 1.6 points from the index, which now stands at 212 – a 20-week low.
The weekly spot commodity milk value (CMV) for southern Australian dairy manufacturers fell 7 cents to $6.08/kgMS.
Take Note: – The index is an indicator of spot trends in gross export returns to the Australian dairy industry based on quoted Australasian dairy commodity export spot prices, movements in currency and the mix of total milk usage in product exports by the Australian industry.
This index was set at 100 on 1 January 2000.
Freshagenda’s Australian Dairy Export Index is an indicator of spot trends in gross export returns to the Australian dairy industry calculated by Freshagenda
The Australian Dairy Export Index is an indicator of average spot quotes from Australian exporters and in one of many ways specialist food industry consultants Freshagenda monitor developments in Australia and global dairy markets.
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A forward looking tool that allows dairy companies, brokers, traders and processors to project the outcome of future scenarios in global and local dairy markets based on variable key assumptions.
Built in Microsoft Excel, our Global Dairy Directions platform uses historical data along with a big set of macros, allowing users to run queries, test scenarios and project future possible outcomes in their part of the dairy industry. It spans the globe as it contains data from key dairying regions all over the world and thus can be used as a tool to help navigate strategic planning at management level.
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