Source: Radio New Zealand
The updated range for the 2025/26 season reflected downward pressure on global prices. RNZ / Cole Eastham-Farrelly
Dairy cooperative Fonterra has narrowed the mid-point price range of the Farmgate Milk Price to $9.50 a kilo of milk solids (kgMS) from $10.
The updated range for the 2025/26 season reflected downward pressure on global prices.
The forecast Farmgate Milk Price range was revised to to $9.00-$10.00 per kgMS from $9.00-$11.00 per kgMS.
“Fonterra started the season with a wide forecast range of $8.00-$11.00 per kgMS. The new midpoint of $9.50 per kgMS is in the middle of this range and remains a strong forecast for the season,” chief executive Miles Hurrell said.
Strong milk flows in New Zealand and other milk producing nations was behind the change.
“This increase in milk supply has put downward pressure on global commodity prices, with seven consecutive price drops in recent Global Dairy Trade events,” he said.
“We continue to be focused on maximising returns for farmer shareholders through both the Farmgate Milk Price and earnings. This includes through building strong relationships with customers who value our products, utilising price risk management tools, and optimising our product mix.”
The co-op also increased its forecast milk collections for the 2025/26 season by 20m kgMS to 1,545m.
“We continue to be focused on maximising returns for farmer shareholders through both the Farmgate Milk Price and earnings,” he said.
“This includes through building strong relationships with customers who value our products, utilising price risk management tools, and optimising our product mix.”
– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
