By FWi staff

MILK quota prices dipped last week as buyers chose to wait for expected price cuts before deciding whether to buy.

The impending drop in the value of the May milk cheque threatens to dampen trade for some time to come, according to traders.

Many vendors are choosing to wait rather than accept the current asking price of 35ppl for quota at 4% butterfat, say agents Bruton Knowles. The market is very quiet at the moment.

Trading in leased quota is somewhat stronger, however. But lessors remain reluctant to lease out at less than 6.5ppl for 4% butterfat quota, warn agents Townsend.

Agents Ian Potter Associates say availability of all quota types is “sufficient” and “reasonable”. And those that are willing to spend should have no problem in finding adequate supplies.