Saturday, November 17, 2018
 Global Dairy Trade Releases Update on Key Indicators  

The GlobalDairyTrade has recently published their September 13th Chart Focus which is a six-month publication that provides more information about GDT to the marketplace. 

Statistics released by GlobalDairyTrade show how volumes traded climbed rapidly to peak at close to 1 million tons before falling back to about the 900,000 ton level this year. These volumes represent the quantity of product sold on the electronic trading platform over the previous 12 months. 

The number of qualified bidders continues to grow. Just over 100 bidders were registered to participate at the first GDT auction held 5 years ago, but this number had grown to 877 at the 100th auction held last September 17th. 

Not all of the buyers registered to participate on the GDT auction actually participate. Buyers must also gain accreditation from the individual sellers on the platform before they can buy product from them. The registration on GDT gives buyers access to the sales platform but GDT does not manage the transactions - these are done directly between buyer and seller.

On the GDT platform demand for products typically exceeds supply. The gap between demand and supply grew even more this year. During the first two quarters of 2013 demand was typically 3 times greater than supply. This trend is expected to continue through Q3 and Q4 2013 as supply contracts and demand remains solid. Fonterra has reduced the volume of product it plans to sell on GDT over the next 12 months. Current offerings from Fonterra stand at 714,804 tons. The volume of whole milk powder (WMP) Fonterra plans to sell on GDT in the coming year is 20% less than they sold in the past year. 

The number of sellers on GDT has increased significantly, but Fonterra still supplies the majority of the shares of the product traded on the electronic platform. The statistics released by GDT does not provide any insight into the volume of product offered by the various sellers. Six sellers are now registered to use the sales platform and this number is expected to continue to grow. 
Click here to download the GlobalDairyTrade CHART FOCUS September 2013


Posted on Wednesday, September 25, 2013 (Archive on Wednesday, October 02, 2013)
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