Ian Proudfoot, head of agribusiness at KPMG, gives his predictions for 2016.

Dairy farmers are being urged to make their businesses resilient around a $5/kgMS payout for the next few years.

Fonterra has dropped its forecast farmgate milk price for the 2015-16 season by 45c to $4.15/kgMS.

Westland Milk Products is dropping its forecast payout for this season.

The international head of agribusiness at KPMG Ian Proudfoot has a sombre message for dairy farmers.

While Fonterra seems to be putting a brave and optimistic face on the economic headwinds facing the dairy industry, the cooperative's optimism and the bare facts don't seem to align.

European dairy cooperative Arla Foods is receiving more milk from farmers than ever before.

The New Zealand dairy industry is not latching on to increased demand in Asia for liquid milk.

Expect the volatility in the international dairy market to be around for some time.

Banks have cut their farmgate milk price forecast after another drop in the GDT price index last week, albeit minor at an overall 1.4%.