Synlait Milk Raises 2024/25 Milk Price Forecast on Strengthening Global Commodity Prices
Source: DairyNews.today
New Zealand dairy producer Synlait Milk on Monday raised its base milk price forecast for the 2024/25 season, citing continued strength in global commodity prices.
The company now expects to pay NZ$9.50 ($5.55) per kilogram of milk solids (kgMS), up from its earlier projection of NZ$9.00 per kgMS. The base milk price represents the amount paid by dairy processors to farmers for their milk.
The revision follows a previous increase announced in October and mirrors similar adjustments by competitor Fonterra earlier this month, as the global dairy market experiences a price surge driven by tightening supply and steady demand.
Synlait's move signals optimism in the sector, with rising prices likely to bolster farmer incomes amid ongoing challenges such as fluctuating input costs and climate variability.
The revision follows a previous increase announced in October and mirrors similar adjustments by competitor Fonterra earlier this month, as the global dairy market experiences a price surge driven by tightening supply and steady demand.
Synlait's move signals optimism in the sector, with rising prices likely to bolster farmer incomes amid ongoing challenges such as fluctuating input costs and climate variability.
