Bakers prefer butter, helping prices soar
Consumers around the world are willing to pay more for products containing dairy and this is driving demand for butter and cream, says Fonterra.
Last week, owners of a planned greenfield dairy plant in Otorohanga went into voluntary administration after struggling for years to secure capital.
The project rattled farmers in the area, who mostly supply Fonterra. The co-op was bracing to lose suppliers to Happy Valley.
Some Fonterra farmers had made public submissions opposing consent applications lodged by Happy Valley.
