Fonterra lifts milk price for Australian farmers

Strengthening dairy prices and competition have led to Fonterra Australia lifting its farmgate milk price to $5.10 per kilogram of milksolids.
Share on twitter
Share on facebook
Share on linkedin
Share on whatsapp
Share on email

It has also announced its joint venture with Chinese partner Beingmate has commenced at the Darnum, Victoria plant, where infant formula is being manufactured.
The dairy giant has been under fire from its Australian farmers for reducing its payments for the 2015-16 season from $5.75 to $5 kg/MS in May this year. In order to make an average payout price of $5 for the whole season, it reduced its payout to $1.91 for the last two months.
It then offered farmers the option of taking out a loan at an interest rate of 3.75 per cent, payable from 2018.
The latest revised payment came hours after rival Murray Goulburn hiked its payout by 13c to $4.95 kg/MS. The Australian co-operative is also the target of farmers’ ire after it announced earlier in the year it would clawback overpayments to farmers over the next six years.
Looking forward, Fonterra has also increased its season forecast price to $5.20kg/MS. Fonterra Australia managing director René Dedoncker said the revised price reflected strengthening global dairy prices.
«Although the global market remains volatile, since the beginning of the season, global milk supply has continued to decline significantly while demand has remained relatively stable,» he said.
In other developments, Dedoncker said the outer shell of the new cheese facility at Stanhope has been built and new equipment was moving in. Fonterra Australia is investing $141 million into the Victoria factory after the old plant was destroyed by fire in December 2014. It will produce parmesan, gouda and mozzarella under the Bega, Mainland and Perfect Italiano brand names.
It will be capable of making 45,000 tonnes of cheeses each year, an increase of 15,000 tonnes on the previous plant. Construction is expected to be completed next year.
Dedoncker said Fonterra had also started producing nutritionals for organic brand Bellamys – a five-year, multi-million dollar deal to manufacture infant formula.
Besides producing cheese under the Bega, Mainland and Perfect Italiano labels for the domestic and New Zealand market, the plant will also manufacture cheeses for export.
 
Source: Stuff
Link: http://www.stuff.co.nz/business/farming/85812045/Fonterra-lifts-milk-price-for-Australian-farmers
 

Mirá También

Así lo expresó Domingo Possetto, secretario de la seccional Rafaela, quien además, afirmó que a los productores «habitualmente los ignoran los gobiernos». Además, reconoció la labor de los empresarios de las firmas locales y aseguró que están «esperanzados» con la negociación entre SanCor y Adecoagro.

Te puede interesar

Notas
Relacionadas