Milk Glut Drags Fonterra Forecast Down to $9.20/kgMS
A milk glut around the world shows no sign of easing, putting downward pressure on farmgate milk prices for the next few months.
A partnership – Framework for International Development in Dairy Excellence – between Fonterra and MFAT aims to help develop food security, knowledge and nutrition in countries whose dairy industries are ‘under-developed’.
Chief executive Theo Spierings says New Zealand and its dairy industry have a ‘global’ role to play in promoting dairy for good nutrition and helping developing economies meet the demands of their populace for dairy products.
Fonterra’s work under the partnership will be in markets where the co-op is reaching more consumers and is seeking to lend more support to local dairy farmers and communities.
“We’ve been dairy farming and processing for over a hundred years, and sharing that expertise with others ensures a strong reputation for dairy quality and safety globally. This is important in developing economies where an increasing knowledge base and rising incomes cause more consumers to turn to dairy products.”
The partners will work to raise onfarm milk safety and quality, increase farmer productivity and profitability, build cooperative governance, and improve milk collection and transport and education nutrition with local communities.
MFAT chief executive John Allen says the goal is to enhance food security, income and nutrition by promoting dairy development and food safety and quality.
“New Zealand is a high-performing agricultural nation. That is why MFAT is seeking to use its expertise and innovation, and Fonterra’s…. to investigate potential for building the capability of farmers in developing countries, or enhancing co-opmodels and business structures.”
