The Weekly Times understands all of the agricultural lenders would be represented at the meeting called by Victorian agriculture minister Jaala Pulford. The bankers have been meeting with dairy farmer clients to discuss the impact of the cut to farmgate milk prices.
Westpac regional manager Roddy Brown said it was difficult to assess farmers’ situation without knowing next year’s milk price.
“We just don’t know the full impact until we know next year’s milk price,” Mr Brown said. “Farmers have dealt with low prices before, but they were well signalled, but they’ve just been whacked” he said of Murray Goulburn and Fonterra’s price cuts.
Mr Brown said the cuts had “created mistrust” among farmers dealing with the major processors.
Rabobank state manager Hamish McAlpin agreed the banks would be better positioned to help customers once the new season’s price was announced. “The sooner we know, the better, in terms of planning,” Mr McAlpin said.
Source: Weekly Times
