Weak global dairy prices raise risk of further cuts to Fonterra milk payouts

Wed, 03 Feb 2016

By Tina Morrison Feb. 3 (BusinessDesk) - Further declines in dairy prices at the latest GlobalDairyTrade auction last night are casting doubt over Fonterra Cooperative Group's ability to meet its newly revised farmgate milk price for farmers and prompting concern that next season's price may also be weak. The GDT price index fell 7.4 percent at last night's auction, the third straight decline this year. The average price for New Zealand's key product, whole milk powder, sank 10.4 percent to US$1,952 a tonne, its lowest since Aug. 18. F...

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