Fonterra, Sharesies join to make share trading easier
Fonterra is teaming up with wealth app provider Sharesies to make it easier for its farmer shareholders to trade co-op shares among themselves.
The global supply/demand is beginning to rebalance, says Fonterra chairman John Wilson.
It is driven mainly by farmers responding to lower milk prices and cutting back production; major suppliers Europe and Australia are producing less milk. And the wetter spring in New Zealand has seen milk production fall 5.7% from levels last year.
Speaking to Fonterra shareholders at its annual meeting last week, Wilson said demand is growing at an average of 2% in key markets. Demand for dairy in China is growing, however it remains patchy in oil producing countries reeling under low oil prices.
In November Fonterra revised its forecast payout – a 75c increase in milk price to $6/kgMS and a dividend payout of 50c-60c. The revision reflects the rebalancing of demand and supply, Wilson says, and though the co-op expects returns to remain volatile it is maintaining its 50-60c range dividend.
Wilson says despite the rise in forecast payout, Fonterra is aware of the poor start to the season.
“For many businesses a lot of catch-up is required given the two poor seasons many have endured.”
The latest Global Dairy Trade (GDT) saw the average price rise 3.5% to $US3622 a tonne. This follows a 4.5% rise at the previous auction and is the fourth consecutive positive result.
The important whole milk powder price has risen 4.9% to $US3593 a tonne, comfortably in the break-even range for farmers who budget on about $US3000 a tonne to cover their cost of production.
Federated Farmers president Wayne Langford is claiming “some real success” on the 12 policy priorities it placed before the Coalition Government.
Federated Farmers is throwing its support behind the Fast-track Approvals Bill introduced by the Coalition Government to enable a fast-track decision-making process for infrastructure and development projects.
The latest report from ANZ isn’t good news for sheep farmers: lamb returns are forecast to remain low.
Divine table grapes that herald the start of a brand-new industry in Hawke’s Bay have been coming off vines in Maraekakaho.
In what appears to be a casualty of the downturn in the agricultural sector, a well-known machinery brand is now in the hands of liquidators and owing creditors $6.6 million.
One of New Zealand’s deepest breeder Jersey herds – known for its enduring connection through cattle with the UK’s longest reigning monarch, Queen Elizabeth II – will host its 75th anniversary celebration sale on-farm on April 22.