Fonterra cuts farmgate milk price forecast amid softened demand
Follow
the podcast on
Fonterra's lowered this season's forecast milk payout following the recent drop in global dairy prices.
The midpoint has dropped from $9.75 to $9.25 – well below the $9.70 payout currently forecast for last season.
Prices at Global Dairy Trade auctions have fallen 11% since the opening forecast was announced in May.
Fonterra CEO Richard Allen told Mike Hosking demand has been softer than anticipated, while production —globally and in New Zealand— has been very strong.
He says overall demand is still there, it’s just not quite as strong as they thought it was going to be.
LISTEN ABOVE
Take your Radio, Podcasts and Music with you
Get the iHeart App
Get more of the radio, music and podcasts you love with the FREE iHeart app. Scan the QR code to download now.
Download from the app stores
Stream unlimited music, thousands of radio stations and podcasts all in one app. iHeart is easy to use and all FREE
