August 19, 2025 • 3 mins
Fonterra’s CFO reviews another (relatively) good GDT Auction over night (down 0.3%, WMP + 0.3%) with good interest from China, SE Asia and the Middle East.
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Speaker 1 (00:00):
Well, it was a good result relatively overnight, the global
dairy trade auction falling zero point three percent. One of
the key numbers whole milk powder up zero point three percent.
To tell us more, Fonterra's chief financial officer, Andrew Murray,
and Andrew, the auction did better than the futures markets,
(00:20):
and perhaps the GDT pulse were picking.
Speaker 2 (00:25):
Oh, I certainly did, Jimmy. I think you know, the
derivatives were treating it on a little bit coming into this,
but holding with whole milk polder above four thousand a
ton is a really no space for it to lone.
Speaker 1 (00:36):
Yeah. Well, I don't want to throw another commentator in
your face here, Andrew, but the guy I lean on
a wee bit as Mike McIntyre at Jardin and he said,
reconfirmation of a four thousand US dollar per metric ton
whole milk powder level plus a sub fifty nine cent
Kiwi dollar. He's talking about farmers can feel more at
(00:58):
ease as we continue to move through what is shaping
up to be a record breaking flush and at this
time of the year we are saying significant volumes starting
to come onto the platform.
Speaker 2 (01:11):
Yeah, look, we are definitely starting to see that, you know,
that has a little bit of potential I guess to
soften prices a little and we do see that usually
seasonally at this time of the year. But you know what,
you look out there, you know, people have got relatively
low stock levels, so that there's the potential to sort
of offset that. So yeah, I think we're relatively confident
(01:32):
in where it's sitting at the moment, but obviously there's
still a plenty of other volativity in the world.
Speaker 1 (01:37):
Absolutely is China back, baby.
Speaker 2 (01:42):
China. I mean again in terms of participation. You know
that they still make up a good thud of the
buyers on GDT, so we're still seeing that come through.
Looks like, you know, we're expecting domestic production in China
to be down a little bit, but demands remaining relatively robust.
So that's feel as though it's in an okay space
at the moment.
Speaker 1 (02:00):
Andrew Murray with us from Fontira Chief Financial Office. Where
did geographically the interests come from other than China? Southeast
Asia has been strong, What about the likes of the
Middle East?
Speaker 2 (02:11):
Yeah, we saw I mean general, we see about a
thod China Sea and a thod with Middle East. We
had a little bit more from latime in the last
night fuction, but yeah, they usually sort of fought around
about the same level and nothing that different this time.
Speaker 1 (02:26):
It's early days in our season. We're just really getting
underway carve and getting you know, well through in parts
of the North Island, beginning in certain parts effectively of
the South Island. Early days. As I said, but what
are the milk volumes looking like?
Speaker 2 (02:41):
Strong? Actually, and I have to see strong, strong, strong
coming through at the moment. We've got good weather and
decent yields coming through as well, so actually feeling pretty
it's a good start to the season.
Speaker 1 (02:51):
Absolutely, Andrew Murray from Fonterra, Thanks for some of your
time onwards and upwards and that ten dollars these are
my words, not yours, is looking pretty good for twenty
five twenty six. Feel free to agree with me, Andrew.
Speaker 2 (03:03):
Well, you've got our forecast out there, so I will
see no more than that.
Speaker 1 (03:07):
Okay, thanks for your time.
Speaker 2 (03:09):
Here's the life
Well, it was a good result relatively overnight, the global
dairy trade auction falling zero point three percent. One of
the key numbers whole milk powder up zero point three percent.
To tell us more, Fonterra's chief financial officer, Andrew Murray,
and Andrew, the auction did better than the futures markets,
(00:20):
and perhaps the GDT pulse were picking.
Speaker 2 (00:25):
Oh, I certainly did, Jimmy. I think you know, the
derivatives were treating it on a little bit coming into this,
but holding with whole milk polder above four thousand a
ton is a really no space for it to lone.
Speaker 1 (00:36):
Yeah. Well, I don't want to throw another commentator in
your face here, Andrew, but the guy I lean on
a wee bit as Mike McIntyre at Jardin and he said,
reconfirmation of a four thousand US dollar per metric ton
whole milk powder level plus a sub fifty nine cent
Kiwi dollar. He's talking about farmers can feel more at
(00:58):
ease as we continue to move through what is shaping
up to be a record breaking flush and at this
time of the year we are saying significant volumes starting
to come onto the platform.
Speaker 2 (01:11):
Yeah, look, we are definitely starting to see that, you know,
that has a little bit of potential I guess to
soften prices a little and we do see that usually
seasonally at this time of the year. But you know what,
you look out there, you know, people have got relatively
low stock levels, so that there's the potential to sort
of offset that. So yeah, I think we're relatively confident
(01:32):
in where it's sitting at the moment, but obviously there's
still a plenty of other volativity in the world.
Speaker 1 (01:37):
Absolutely is China back, baby.
Speaker 2 (01:42):
China. I mean again in terms of participation. You know
that they still make up a good thud of the
buyers on GDT, so we're still seeing that come through.
Looks like, you know, we're expecting domestic production in China
to be down a little bit, but demands remaining relatively robust.
So that's feel as though it's in an okay space
at the moment.
Speaker 1 (02:00):
Andrew Murray with us from Fontira Chief Financial Office. Where
did geographically the interests come from other than China? Southeast
Asia has been strong, What about the likes of the
Middle East?
Speaker 2 (02:11):
Yeah, we saw I mean general, we see about a
thod China Sea and a thod with Middle East. We
had a little bit more from latime in the last
night fuction, but yeah, they usually sort of fought around
about the same level and nothing that different this time.
Speaker 1 (02:26):
It's early days in our season. We're just really getting
underway carve and getting you know, well through in parts
of the North Island, beginning in certain parts effectively of
the South Island. Early days. As I said, but what
are the milk volumes looking like?
Speaker 2 (02:41):
Strong? Actually, and I have to see strong, strong, strong
coming through at the moment. We've got good weather and
decent yields coming through as well, so actually feeling pretty
it's a good start to the season.
Speaker 1 (02:51):
Absolutely, Andrew Murray from Fonterra, Thanks for some of your
time onwards and upwards and that ten dollars these are
my words, not yours, is looking pretty good for twenty
five twenty six. Feel free to agree with me, Andrew.
Speaker 2 (03:03):
Well, you've got our forecast out there, so I will
see no more than that.
Speaker 1 (03:07):
Okay, thanks for your time.
Speaker 2 (03:09):
Here's the life
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