$10.25/kgMS milk price now in play
A significant rise in Global Dairy Trade (GDT) auction last week has prompted one bank to lift its forecast milk price for the season to above Fonterra's mid-point.
A fortnightly online wool auction modelled on the Global Dairy Trade (GDT) will go live for the first trading event on May 22.
The Natural Fibre Exchange (NFX) shareholders are Wools of New Zealand Ltd (WNZ) and Alliance Group, who have teamed with CRA International (CRA) who will develop and manage the NFX platform.
WNZ chief executive and NFX spokesman Rosstan Mazey says NFX will add more shareholders over time.
They hope to sell about 33% of the NZ wool clip over the next three to five years via the NFX trading platform.
Wool brokers will have the opportunity to sell on the platform.
“We are not wanting to preclude anyone from participating,” says Mazey.
“We want to encourage the industry to cooperate and work together on this. They will absolutely have the opportunity to sell their supplier growers’ wool via the NFX.
“Crossbred wool will be where we start and maybe down track we will attract the finer micron wool.”
Mazey says NFX will be a fairer way to discover price and “over time will help to grow more sustainable returns to growers”.
Discussions with many in the industry have brought positive feedback, and acknowledgement that an online platform is needed as a more convenient and effective means for selling large volumes of wool at a fair market price.
“Online trading is increasingly important in international commodity markets. This platform is a natural evolution towards developing the most efficient means of selling significant volumes of wool. Buyers in turn can compare all prices in real time with all parcels of wool available simultaneously during multiple rounds of bidding.”
Mazey says the platform will be a means of discovering an objective reference price from the perspective of buyers and sellers.
NFX has initial commitments of about 6.5 million kg for the first 12 months from sellers including WNZ, Alliance and most major producers of slipe wool.
“It’s early days and discussions are being held with other major sellers and buyers. Initially, the focus will be on securing support for greasy wool, with potential to develop other offerings.”
After the opening event on May 22, 2pm (NZ time), auctions will be held fortnightly on Tuesdays. All products will be offered simultaneously over multiple bidding rounds from 2pm.
Alliance Group has secured greater access for chilled beef exports to China, following approval for two of its processing plants to supply the market.
The countdown is on to be one of the most anticipated events in the sheep and beef industry, the East Coast Farming Expo.
Applications for the 2025 intake of Rabobank's Farm Managers Programme (FMP) and Executive Development Programme (EDP) are now open.
Dean Smith has been in the role of CEO of Summerfruit NZ for about four months, having succeeded Kate Hellstrom at the end of September.
Beef + Lamb NZ wants farmers to complete a survey that will shed light on the financial toll of facial eczema (FE) at the farm level.
New Zealand cherry exports may be headed for a record year in terms of volume, says Summerfruit NZ chief executive Dean Smith.
OPINION: Ruth Richardson, architect of the 1991 ‘Mother of all Budgets’ and the economic reforms dubbed ‘Ruthanasia’, added her two…
OPINION: Why do vegans and others opposed to eating meat try to convince others that a plant based diet is…