# What's behind the SMP rally?

> Skim milk powder prices have risen this year on both supply and demand changes. Fonterra lifted its 2026/27 forecast milk price back to its May level of NZ$9.75 per kgMS, citing stronger demand for WMP and SMP from Southeast Asia, the Middle East, Africa and China. Iran, once the world's fourth-largest SMP exporter, has had its market access curtailed since March.

- Date: 2026-11-04 · published 2026-11-05T00:16:16.616Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/80799-what-s-behind-the-smp-rally
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Lost Iranian supply and redirected Middle East demand are pulling SMP buyers toward New Zealand and European exporters, supporting dryer-based dairy ingredient prices. Higher powder prices also raise the cost of milk-based feed ingredients.

## Read by commodity

- MILK: bullish ▲

## Sources

- farmersjournal.ie: https://www.farmersjournal.ie/agribusiness/news/what-s-behind-the-smp-rally-939208

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.