Fonterra's lower 2015 milk forecast to be drag on NZ GDP, have less impact on earnings

Tue, 27 May 2014

By Jonathan Underhill May 28 (BusinessDesk) - Fonterra Cooperative Group's forecast 17 percent drop in its milk payout for 2014/2015 will likely weigh on the New Zealand economy next year but will have less impact on the dairy exporter's own earnings, which have been driven by the gap between milk powders and other products. The world's biggest dairy exporter forecast a farmgate milk payout for the coming season of $7 per kilogram of milk solids, down from a revised $8.40/kgMS for the current season. The total cash payout for 2015, includ...

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