Dairy prices have fallen fractionally to the lowest level in two years in the latest global auction.
Photo: RNZ / Rebekah Parsons-King
The average price was down 0.3 percent to $US2885 a tonne, and follows a fall of just under 2 percent in the previous auction.
The price of whole milk powder, a key factor in setting returns to local farmers, fell nearly 1 percent to $US 2768 a tonne.
The volumes sold were marginally lower.
Fonterra last week cut its forecast payout for the current season by up to 50 cents to between $6.25 and $6.50 per kilo of milk solids.