Fonterra Co-operative Group Ltd has provided an update on its forecast Farmgate Milk Price and milk collections for the 2025/26 season.
The Co-op has narrowed the forecast Farmgate Milk Price range from NZD 9.00-NZD11.00 per kgMS to NZD 9.00-NZD10.00 per kgMS, with the midpoint changing from NZD 10.00 per kgMS to NZD 9.50 per kgMS.
The Co-op has also increased its forecast milk collections for the 2025/26 season from 1,525 million kgMS to 1,545 million kgMS.
CEO Miles Hurrell said they saw strong milk flows this season, both here in New Zealand and in other milk-producing nations.
“This increase in milk supply has put downward pressure on global commodity prices, with seven consecutive price drops in recent Global Dairy Trade events. As a result, we have narrowed the forecast Farmgate Milk Price range for the season and adjusted our midpoint,” said Hurrell.
“Fonterra started the season with a wide forecast range of NZD 8.00-NZD 11.00 per kgMS. The new midpoint of NZD 9.50 per kgMS is in the middle of this range and remains a strong forecast for the season.”
Hurrell added that Fonterra will continue to be focused on maximising returns for farmer shareholders through both the Farmgate Milk Price and earnings. This includes building strong relationships with customers who value its products, utilising price risk management tools, and optimising the product mix.
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