AusExport Index

14 January 2019

The Australian dairy export index declined this week, with generally weaker trends in commodity prices and a stronger Australian dollar.

In average spot quotes from Australasian exporters, SMP quotes rose for the second consecutive week – up US$93/t to US$2,263/t. All other commodity prices declined however. Butter was down US$77/t from the prior week to US$4,123/t. Cheddar quotes declined US$25/t from the previous week at US$3,475/t but remained relatively stable since mid-November 2018. WMP was down US$15/t from the prior week to US$2,725/t.

The Australian dollar ended the week higher at US$0.7215 – this reflects strength in the Yuan driven by greater optimism towards China-US trade negotiations.

The net effect of these movements pruned 2.5 points from the index which now stands at 184.2. The weekly spot commodity milk value for southern Australian dairy manufacturers fell 12 cents to $5.05/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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