15c/kg increase lifts FY25 forecast to $10.15, easing seasonal cash flow pressure.
Fonterra has raised its farmgate milk price forecast for the 2024–25 season by 15 cents, adjusting the midpoint to NZ$10.15 per kg milksolids (kgMS). The new range is now NZ$10.10–10.20, positioning the co-op for a strong season close.
This upward revision comes just ahead of Fonterra’s scheduled financial results and is expected to deliver a notable cash-flow boost for farmers, as retroactive payments roll out in September and October for deliveries made before May 31.
CEO Miles Hurrell attributed the positive adjustment to two stabilizing factors: resilient Global Dairy Trade (GDT) prices and a well-contracted sales book, which together cushioned the forecast against earlier concerns over geopolitical volatility and currency fluctuations.
Fonterra has also updated its outlook for the 2025–26 season, reaffirming a steady $10.00 per kgMS forecast while narrowing the range to NZ$9.00–11.00, reflecting continued optimism balanced by recognition of potential market volatility. Farmers WeeklyFonterra
For dairy producers and analysts, the post-season price lift signals confidence in market stability and offers a window into Fonterra’s ongoing capacity to support farm incomes. With retro-payouts imminent, it underlines the cooperative’s role in reinforcing seasonal resilience.
Source: Farmers Weekly — Post-season lift to Fonterra milk price
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