Fonterra WMP at 27,500 Yuan/Tonne: Dairy Commodity Quotes July 22

Summary

Dairy commodity quotes on 22 July 2026: Fonterra wholemilk powder at 27, 500 yuan per tonne, NZ OCD wholemilk powder at 27,

400 yuan per tonne; Fonterra skim milk powder at 25, 900 yuan per tonne;

domestic wholemilk powder (Yili / Qishili) at 26, 700 yuan per tonne; domestic skim milk powder at 21,

600 yuan per tonne; NZ OCD whey protein concentrate WPC34 at 56, 500 yuan per tonne;

imported butter: NZ OCD grass-fed unsalted butter at 1, 220 yuan per carton.

Commentary

Current quotes place NZ wholemilk powder (Fonterra/OCD) near 27,500 yuan per tonne, roughly 800 yuan above domestic WMP at 26,700 yuan. The gap reflects export processing costs and brand premium. OCD grass-fed butter, at 1,220 yuan per carton, commands an 11% premium over standard NZMP butter, highlighting potential in China's premium dairy segment.

Forward quotes suggest bearish sentiment: WMP for Q4 2026 delivery falls to 27,000 yuan, and butter for Q1 2027 drops to 1,080 yuan, signalling expectations of rising supply or softening demand in the second half. For NZ SMEs, short-term locking of forward contracts can hedge downside price risk. Over the longer term, they should strengthen differentiation labels such as grass-fed and organic to compete with domestic brands like Yili, leveraging zero-tariff advantages under the NZ-China FTA to expand retail channels in tier-2 and -3 cities.

Domestic SMP, at only 21,600 yuan per tonne, remains markedly lower than imports, indicating persistent substitution pressure.

Keywords: Fonterra, wholemilk powder, skim milk powder, butter, anhydrous milkfat, cheese, OCD, price, import, forward quote

Source: ZAKER