Welcome lift in global dairy prices, we’re not out of the woods yet
Whole milk powder prices gained 4.6% at the latest global auction but are 25% below the same time last year. The price of whole milk powder, which has the most impact on farmgate milk prices, gained for a second global auction, a welcome relief for many dairy farmers who will be struggling to break even…
Fonterra’s profit more than doubles on demand for dairy ingredients
New Zealand’s Fonterra Co-Operative Group (FCG.NZ) on Thursday reported a more than doubled annual profit on strong margins from its cheese and protein portfolio, and declared a higher final dividend, sending its shares higher. The world’s biggest dairy exporter also benefited from higher product pricing and strong demand for its dairy ingredients and foodservice channel. The company…
Why India is an important market for Fonterra
Fonterra’s,GM Trade Strategy & Stakeholder Affairs, Justine Arroll, has just returned from India as part of a New Zealand business delegation to the subcontinent. The Country Sport Breakfast’s, Brian Kelly, asked, “India is a big market for dairy, the country is also the largest milk producer in the world, where’s the opportunities for Fonterra?” “India…
Global Dairy Trade Event concluded with the Price Index up 2.7%
Dairy prices have risen in the Global Dairy Trade auction for the first time in four months. The average price increased 2.7 percent to US$2888 per tonne after hitting a near five-year low at the last auction in August. The all-important whole milk powder price – which affects the payout for local farmers – rose 5.3 percent to US$2702…
Fonterra to increase offer quantities on Global Dairy Trade (GDT)
Fonterra announced today in a press statement that, as of now, the Fonterra Co-operative Group has increased its offer of quantities for whole milk powder (WMP) and skimmed milk powder (SMP) for the next twelve months. The offering of WMP will increase by 20,000 mt over the coming 12 months, while the SMP offering will…
Fonterra slashes milk price forecast as demand slumps
Fonterra has slashed its forecast milk price for the 2023/24 season by $1 as demand slumps. On Friday the co-operative announced a revised farmgate milk price range of $6.25 to $7.25 per kilogram of milk solids, with a mid-point of $7 per kgMS. In May Fonterra said it expected to pay farmers between $7.25 and $8.75…
Government to partner with Fonterra to cut coal use in dairy
The Government has announced it will partner with Fonterra in an attempt to cut coal use in the dairy industry, and reduce agricultural emissions. The relationship will see the dairy giant commit to cutting coal usage across six of its manufacturing sites which it says will result in 2.1 million tonnes of early C02e reductions….
Fonterra cuts this season’s milk price-lower price for next season
Fonterra announced a lower opening milk price for farmers next season and also cut its forecast for this season as Chinese demand lags behind pre-pandemic levels. The co-operative expects to pay farmers between $7.25 and $8.75 per kilogram of milk solids for the season starting next month. The $8 per kgMS mid-point, which farmers are…
GDT bounce, but gains seen fragile on weak fundamentals
Global dairy prices rebounded in Wednesday’s auction, but a sustained recovery in rates that have tumbled by a third over the past year is not on the cards due to abundant supply and reduced buying by top importer China, analysts said. The Global Dairy Trade price index, which is underpinned by prices from the auction…
Carbon efficiency the better way to cut dairy farm emissions
Late last week, Greenpeace New Zealand held a protest outside Fonterra’s head office in Auckland. According to Greenpeace, the area was being transformed into a flood zone and it was calling for more government action on climate change. The “flood zone” was a few old sofas and other junk representing flood debris and a handful of people carrying placards…