Dairy product prices rose 7.7% at today's Global Dairy Trade auction, the first time prices have rose consecutively three times this year.
It follows two bumper Global Dairy Trade auctions, with the last two events registering rises of 12.7% and 6.6%.
The main movers at today's auction were anhydrous milk fat (AMF) (+15.4%) butter (+14.9%) and skimmed milk powder (SMP) (+10%).
Whole milk powder (WMP) prices was predicted to rise by 7% by New Zealand bank ASB, however it did not rise quite as high, registering a rise of 3.7%.
- AMF index up 15.4%, average price US$4,769/MT
- Butter index up 14.9%, average price US$3,764/MT
- BMP index up 6.8%, average price US$2,070/MT
- Ched index up 9.0%, average price US$3,436/MT
- LAC index up 2.0%, average price US$787/MT
- RenCas index up 6.7%, average price US$6,720/MT
- SMP index up 10.0%, average price US$2,224/MT
- WMP index up 3.7%, average price US$2,793/MT
Meanwhile milk price rises have been seen in the major milk producing countries, with New Zealand, the Netherlands and France seeing increases.
Both Fonterra and Westland, have both raised their forecast farmgate prices for the 2016/17 season (ending May 2017).
Fonterra’s forecast is up 12% to approximately 22.6c/L, while Westland’s has risen 4% to around 20-21c/L, according to AHDB Dairy.
In the Netherlands, FrieslandCampina has increased its guaranteed milk price for raw supplies of milk for September by €1.25/kg.
This increase will bring the milk price for September supplies to €26.25/100kg or 25.37c/L in Irish constituents.
"The milk supply in the EU is gradually decreasing with a more or less stable demand," a statement from FrieslandCampina said.
Following days of intense protest, French Processor Lactalis has agreed a milk price rise with its dairy farmer suppliers.
The processor is expected to ensure an average of around 27.5c/L is paid for milk supplied during 2016.
To achieve this, it is understood Lactalis will need to increase its price to nearly 29c/L for milk supplied between August and December.