$8 final milk price likely
An $8/kgMS farm gate milk price is still on the cards with less than six weeks left to run this season.
Westpac senior agricultural economist Nathan Penny expects prices to remain elevated as global supply remains very tight.
However, the bank is sticking to its forecast milk price of $9.25/kgMS for this season.
Penny says, at some stage, they anticipate that Covid restrictions in China will ease further and take dairy demand higher as a result.
"At that time, global dairy prices are likely to get a further boost."
However, he says last week's Global Dairy Trade auction result is consistent with its current forecast.
Fonterra has a wide ranging forecast milk for the season - $8.25/kgMS to $9.75/kgMS.
Penny notes that the mixed nature of the result suggests prices are in a holding pattern.
"At the last auction the market factored in better Covid news in terms of easing restrictions in China.
"But with no fresh news to digest on that front, the price moves reflected changes in product mix rather than any underlying factors."
New Zealand dairy processors are welcoming the Government’s commitment to continuing to push for Canada to honour its trade commitments.
An educational programme, set up by Beef + Land New Zealand, to connect farmers virtually with primary and intermediate school students has reported the successful completion of its second year.
The Food and Agriculture Organisation of the United Nations (FAO) has welcomed a resolution adopted by the United Nations (UN) General Assembly to declare 2026 International Year of the Woman Farmer.
Waikato herd health veterinarian Katrina Roberts is the 2024 Fonterra Dairy Woman of the Year.
Trade Minister Todd McClay says New Zealand has no intention of backing down in a trade dispute with Canada over dairy products.
Horticulture NZ chief executive Nadine Tunley will step down in August.