Winston Peters calls Fonterra vote result 'utter madness'
New Zealand First leader and Foreign Affairs Minister Winston Peters has blasted Fonterra farmers shareholders for approving the sale of iconic brands to a French company.
Is a record $10 milk price on the cards this season?
Fonterra now believes the milk price could hit double digits for the first time, with the top of its forecast range touching $10. The co-op board met on Sunday evening and raised the midpoint of the 2024-25 season forecast farmgate milk price from $9/kgMS to $9.50/kgMS. The co-operative also announced a narrowing of the forecast range from $8.25 - $9.75/kgMS to $9 - $10/kgMS.
It says this reflects the fact that more of the FY25 sales book has been contracted since the last forecast farmgate milk price update in September.
CEO Miles Hurrell says the improved outlook has largely been driven by strong demand for reference commodity products, which has helped to push prices up in recent Global Dairy Trade auctions.
Fonterra’s highest milk price to date is $9.30/kgMS, paid out in 2021-22 season. A fully shared up farmer received a dividend of 20c, taking the total payout to $9.50.
Fonterra notes that demand for whole milk and skim milk powder is strong in China.
“This demand has been seen out of China, where there are indications that domestic production is below expectations, and also in Africa, the Middle East and Southeast Asia,” says Hurrell.
“Looking ahead, we’ll closely monitor any factors that could have an impact on supply and demand. This would include any significant change to milk supply in New Zealand over the second part of the season which could lead to pressure on global milk prices.
“We’ll also continue to utilise our scale and flexibility when it comes to optimising our product mix, including putting more of our farmers’ milk into the higher returning products to capture the value from every drop.”
The Ashburton-based Carrfields Group continues to show commitment to future growth and in the agricultural sector with its latest investment, the recently acquired 'Spring Farm' adjacent to State Highway 1, Winslow, just south of Ashburton.
New Zealand First leader and Foreign Affairs Minister Winston Peters has blasted Fonterra farmers shareholders for approving the sale of iconic brands to a French company.
A major feature of the Ashburton A&P Show, to be held on October 31 and November 1, will be the annual trans-Tasman Sheep Dog Trial test match, with the best heading dogs from both sides of the Tasman going head-to-head in two teams of four.
Fewer bobby calves are heading to the works this season, as more dairy farmers recognise the value of rearing calves for beef.
The key to a dairy system that generates high profit with a low emissions intensity is using low footprint feed, says Fonterra program manager on-farm excellence, Louise Cook.
Rural retailer Farmlands has reported a return to profitability, something the co-operative says shows clear progress in the second year of its five-year strategy.
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