Winston's crusade
OPINION: A short-term sugar hit. That's what NZ First leader Winston Peters is calling the proposed sale of Fonterra's consumer and associated businesses.
A record $10/kgMS opening forecast milk price for the new season means more money into Fonterra farmers pockets early, says Federated Farmers dairy chair Richard McIntyre.
The co-operative last week announced a wide range forecast of $8 to $11/kgMS for the 2025-26 season, which kicked off June 1. However, Fonterra has settled for a forecast price above the midpoint of the forecast range.
Based on the $10/kgMS forecast, Fonterra farmers will get an advance rate of $7.50/kgMS for the first four months of the new season rising to $8.40/kgMS by May next year.
McIntyre told Rural News that the high advance rate would mean more money into farmers' pockets.
"This would improve cash flows; help farmers reduce bank debt and invest into farm machinery and maintenance," he says.
McIntyre says the record opening forecast milk price is also good news for the rural community.
"When dairy farmers do well, the benefits flow to the local communities and businesses."
Fonterra chief executive Miles Hurrell says they expect demand to continue for now but acknowledged the ongoing geopolitical uncertainty and the potential for a wider series of outcomes across the season.
Fonterra also reaffirmed a milk price of $10/kgMS for the season that's just ended.
A major feature of the Ashburton A&P Show, to be held on October 31 and November 1, will be the annual trans-Tasman Sheep Dog Trial test match, with the best heading dogs from both sides of the Tasman going head-to-head in two teams of four.
Fewer bobby calves are heading to the works this season, as more dairy farmers recognise the value of rearing calves for beef.
The key to a dairy system that generates high profit with a low emissions intensity is using low footprint feed, says Fonterra program manager on-farm excellence, Louise Cook.
Rural retailer Farmlands has reported a return to profitability, something the co-operative says shows clear progress in the second year of its five-year strategy.
According to a new report, the Safer Rides initiative, which offered farmers heavily discounted crush protection devices (CPDs) for quad bikes, has made a significant impact in raising awareness and action around farm vehicle safety.
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