17 Feb 2011

Prices up again at milk auction

7:18 am on 17 February 2011

Dairy prices have hit fresh highs in Fonterra's latest global auction.

Prices for all products recorded their sixth consecutive increase, climbing 3.9% to reach the highest level since the online auctions began in July 2008.

The average winning price rose more than $300 to $US4540 a tonne.

Most of the increase was due to higher prices for whole milk powder, which were almost 8% higher than at the last auction a fortnight ago.

In December, Fonterra raised its forecast total payout for the current season by 30 cents to $7.30 - $7.40 per kg of milk solids because of strong international dairy prices.