Dairy Farmers Demand Higher Farmgate Prices Amid Rising Costs

Dairy farmers in Fiji have expressed concern over the current farmgate price of raw milk, urging the government to raise it to between $1.50 and $1.80 per litre. At present, farmers receive approximately $1.07 to $1.12 per litre, which they argue is inadequate given the increasing operational costs they face.

Harvindar Singh, who operates J Singh Dairy Farm in Waimaro, highlighted the financial strain caused by the cost of calf milk replacers, which exceeds the price they receive for fresh milk. His farm produces about 1,300 litres of milk daily. Singh emphasized that a government-approved $4 million assistance package through the Fiji Cooperative Dairy Company Limited could provide substantial relief if implemented post-budget approval.

Ravindra Prasad of Nandans Dairy Farm in Viria, Naitasiri, reported similar challenges, with daily production of 150-160 litres of milk fetching $1.12 per litre. He noted that feed costs have doubled to $300 weekly, and fuel expenses have also increased significantly. Prasad also pointed out additional costs related to farm maintenance, such as fence repairs and grass purchases.

Both farmers acknowledged government support in the form of milking machines but stressed the need for a higher farmgate price to alleviate financial pressures. Prasad mentioned that despite some government assistance, the rising costs of feed and fuel continue to impact the viability of their operations.

The farmers' call for price adjustments reflects broader concerns within the dairy sector about sustaining operations amid escalating production costs. The proposed increase in the farmgate price aims to ensure that dairy farming remains a viable livelihood in Fiji.