Australian Dairy Farmgate Prices: Burra Provides March Step Up
Source: dairynews.today
Burra Foods, a key player in the Australian dairy industry, has announced a 10 cent step up in its farmgate milk prices, citing improved global dairy trade conditions.
Burra Foods has made a notable move by increasing its farmgate prices by 10 cents, bringing its range to $8.10-$8.60 per kilo milk solids. This decision aligns with a nearly 20% rise in the Global Dairy Trade index since the start of the financial year.
Stewart Carson, Burra Foods' chief executive, highlighted that while demand and pricing for fat products have improved, protein products remain sluggish. This adjustment by Burra follows similar moves by other medium-sized processors like Bulla and Union Dairy Company, which recently raised their prices by 20 cents. Fonterra also increased its prices pre-Christmas to $8.15, with Bega and Saputo following suit.
Nonetheless, Lactalis has maintained its prices, drawing criticism from industry voices like EastAUSmilk's CEO, Eric Danzi, who argues that current conditions justify further price hikes given the weakened Australian dollar and stronger international prices. Danzi has emphasized the processors' drive to recoup profits from farmers, stressing enhanced opportunities amid current market dynamics.
Stewart Carson, Burra Foods' chief executive, highlighted that while demand and pricing for fat products have improved, protein products remain sluggish. This adjustment by Burra follows similar moves by other medium-sized processors like Bulla and Union Dairy Company, which recently raised their prices by 20 cents. Fonterra also increased its prices pre-Christmas to $8.15, with Bega and Saputo following suit.
Nonetheless, Lactalis has maintained its prices, drawing criticism from industry voices like EastAUSmilk's CEO, Eric Danzi, who argues that current conditions justify further price hikes given the weakened Australian dollar and stronger international prices. Danzi has emphasized the processors' drive to recoup profits from farmers, stressing enhanced opportunities amid current market dynamics.
