In the fourth quarter of 2025, whole milk powder prices fell sharply across global markets. The decline was driven by continued high milk production from major exporters, including New Zealand, the EU, the US, and South America. Milk supplies were abundant, and processors produced large volumes of dairy products, leading to oversupply in the market.
The Global Dairy Trade (GDT) index showed a significant downward trend, with WMP falling more than other commodities. Butter and other fat-rich products also experienced strong declines, highlighting broad weaknesses in the dairy market rather than isolated issues. Despite high production, demand remained steady but did not keep pace with the growing supply. Seasonal factors and softer buying from key regions, including Asia and Oceania, further contributed to price pressure. Market participants reacted cautiously, with buyers limiting purchases. Export volumes were high, but the ample supply of available WMP kept prices under pressure.