Milk Price Step-Up for Fonterra Suppliers
Source: dairynews.today
Fonterra has increased the farm gate milk prices, a move welcomed by the United Dairyfarmers of Victoria, but challenges remain in aligning with global benchmarks.
The Victorian Farmers Federation United Dairyfarmers of Victoria has welcomed Fonterra’s decision to raise the farm gate milk price, describing it as a positive step for suppliers. However, they caution that prices are still below global benchmarks and emphasize the importance of the Mandatory Dairy Code of Conduct for fair practices.
On April 10, Fonterra announced an increase of 20¢ per kg of milk solids, resulting in a weighted average milk price of $8.35/kg MS. This adjustment comes amidst a challenging global economic and trade environment, although improvements have been noted due to a softer Australian dollar.
VFF UDV president Bernie Free acknowledges Fonterra's support amid rising input costs and market volatility, yet points out that domestic farm gate prices are still lagging internationally. The Dairy Code plays a crucial role in safeguarding producers from unfair terms, supporting investment and production decisions.
On April 10, Fonterra announced an increase of 20¢ per kg of milk solids, resulting in a weighted average milk price of $8.35/kg MS. This adjustment comes amidst a challenging global economic and trade environment, although improvements have been noted due to a softer Australian dollar.
VFF UDV president Bernie Free acknowledges Fonterra's support amid rising input costs and market volatility, yet points out that domestic farm gate prices are still lagging internationally. The Dairy Code plays a crucial role in safeguarding producers from unfair terms, supporting investment and production decisions.
