The global dairy market is experiencing a crisis

According to hvylya.net: At the Global Dairy Trade (GDT) auction, dairy prices have fallen for the fourth consecutive time. The average auction price has decreased by 4.1% and now stands at 4274 dollars per ton.

Experts believe that the main reason for the price decline is oversupply, which exceeds demand. In this context, whole milk powder (WMP), which sets prices in the markets, is the hardest hit. The volume of trade in dairy products has increased, but prices for many goods have decreased.

Buyers from the Middle East are actively increasing their purchases, building up strategic reserves. However, experts warn that future trade negotiations, particularly regarding U.S. tariffs, could further alter trade flows. The upcoming decline in dairy prices for the fourth time in a row highlights the problems exporters face in the context of oversupply and fluctuating demand across different markets.

The global dairy market continues to endure a challenging period due to oversupply, leading to lower prices for dairy goods. Buyers from the Middle East are building up strategic reserves, but future trade negotiations may further alter the market situation. The presence of excess inventories and demand instability are the main factors influencing the price dynamics of dairy products worldwide.