Victorian Dairy Price War: Small Processors Lead the Charge
Source: dairynews.today
Smaller Victorian dairy processors, such as UDC, Bulla, and Goulburn Valley Creamery, are spearheading price increases, outperforming their larger counterparts.
In the Victorian dairy market, smaller processors like Union Dairy Company (UDC), Bulla, and Goulburn Valley Creamery have taken the lead in elevating farmgate milk prices, surpassing larger, established players. This trend emerged as the new dairy season began on July 1.
Over the past six weeks, UDC revised its prices from $8.70 to a range of $9.30-$9.80 per kilo of milk solids, marking nearly a 10% increase. Bulla's price surged from $8.40-$9.20 to $9.15-$9.95/kgMS, and Goulburn Valley Creamery raised its price from $9 to $9.70/kgMS. In contrast, giants like KyValley and Bega haven't publicly declared price steps in Victoria for June. Dairy Farmers Victoria board member Benjamin Vagg expressed concern over the delayed price declarations, which led to many farmers holding out for better offers, resulting in a fragmented market. This situation underscores the ongoing tension in Australian dairy supply chains, wh ere trust between processors and farmers remains strained.
Over the past six weeks, UDC revised its prices from $8.70 to a range of $9.30-$9.80 per kilo of milk solids, marking nearly a 10% increase. Bulla's price surged from $8.40-$9.20 to $9.15-$9.95/kgMS, and Goulburn Valley Creamery raised its price from $9 to $9.70/kgMS. In contrast, giants like KyValley and Bega haven't publicly declared price steps in Victoria for June. Dairy Farmers Victoria board member Benjamin Vagg expressed concern over the delayed price declarations, which led to many farmers holding out for better offers, resulting in a fragmented market. This situation underscores the ongoing tension in Australian dairy supply chains, wh ere trust between processors and farmers remains strained.
