Wednesday, 24 September 2014 09:14

Farmers will be ‘disappointed’

Written by 

Fonterra Shareholders Council chairman, Ian Brown says farmers will be disappointed with the latest drop in the 2014-15 season forecast payout.


Fonterra has dropped its forecast payout from $6 to $5.30/kgMS; it also announced an estimated dividend range of 25-35 cents per share.

 

Brown says even though farmers are aware of the prevailing market conditions and the effect they have on the price they receive for their milk the announcement will add to the challenges being faced on-farm.

 

"It is in these seasons that farmers will want to receive the full benefit from the integrated supply chain that their co-op provides.

 

"As farmers we are all too aware of the volatility that underpins our industry and this announcement will put real pressure on some farmers' cash flows.

 

"It is important for farmers to remember that while this is a forecast it is vital that you continue to exercise real prudence in your financial planning."

More like this

Afimilk appoints new general manager

Afimilk, a global dairy farm management solutions provider, has appointed Justin Miller as the new general manager for New Zealand and Australia.

Inequality 'is on the rise'

Economist Shamubeel Eaqub is warning that inequality between countries has fallen markedly over the past 200 years but inequality and political polarisation within countries was on the rise.

Featured

Farmers will adapt amid global trade turmoil

New tariffs imposed by President Donald Trump signal an uncertain future, but New Zealand farmers know how to adapt to changing conditions, says Auriga Martin, chief executive of Farm Focus.

National

Machinery & Products

Alpego eyes electric power harrow

Distributed by OriginAg in New Zealand, Italian manufacturer Alpego recently showed its three metre Alysium electric power harrow at the…

» Latest Print Issues Online

The Hound

Dodgy!

OPINION: If you believe Maori Party president John Tamihere’s claim that “nothing dodgy” occurred at Manurewa Marae during the last…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter