The Australian dairy industry could be poised for recovery, the Chief Executive of the South Australian Dairyfarmers’ Association has said.Speaking to just-food, Ken Lyons noted that “most industry people” are predicting a “market turnaround”. However, he added that “nobody is sure of the timing”. “One of the indicators that there may be an improvement in international dairy product prices was the 25.8% increase in prices from the online auction by... ...Read more »

Victorian-based dairy processor Warrnambool Cheese and Butter Factory has seen the majority of their milk supply return after a mass exodus of over 100 farmers in April threatened to leave a substantial hole in their supplies. The Chief Executive Officer of WCB, John McLean – who returned to the position he held for 32 years after the resignation of Neil Kearney in April – last week informed suppliers that, after losing in excess of 250 million litres of milk “virtually overnight”... ...Read more »

The August trading event for Fonterra’s internet-based sales platform has seen the price for Whole Milk Powder surge 25.8%, a sign that dairy markets are beginning on a recovery path. The trading manager, CRA International, advised Fonterra that the average price achieved across all contracts and contract periods for Whole Milk Powder (WMP) was  US$472 (A$561) per tonne higher than the July event as US$2,031 per tonne (A$2,412). Nigel Kuzemko, Director Commercial and Strategy at Fonterra Trade... ...Read more »

Dairy group Fonterra saw prices down across all contract periods, in its June internet auction globalDairyTrade, 12 per cent lower than for the previous trading event in May. The trading manager, CRA International, advised Fonterra that the average price achieved across all products and contract periods for Whole Milk Powder (WMP) was US$1,886 (AUS$2,291) per tonne FAS New Zealand Port. In May, prices ranged from US$1,795 (AUD$2,178) per tonne FAS to US$2,065 (AUD$2,506) per tonne FAS. “Today’s... ...Read more »

Warrnambool Cheese and Butter has today announced plans to continue with the proposed cheese joint venture with National Foods – Australian Cheese Company Pty Ltd (ACC) – despite deciding not to proceed with a rights issue last week. The rights issue was cancelled following a decision to reinstate the milk price paid to farmers, after suppliers staged a mass exodus. “Following the decision to cut milk prices from 1 April 2009, a number of milk suppliers representing a significant... ...Read more »

The April trading event for Fonterra’s internet-based sales platform, globalDairyTrade, saw prices rise for a second month as a result of robust demand.The trading manager, CRA International, reported that the average price achieved across all products and contract periods for Whole Milk Powder (WMP) was 3.5 per cent higher than for the previous trading event in March. “The firmer prices we’re seeing are encouraging and indicate that supply and demand fundamentals are coming back... ...Read more »

The March trading event for Fonterra’s internet-based sales platform, globalDairyTrade, concluded yesterday morning, with prices rising as a result of stronger demand.The trading manager, CRA International, advised Fonterra that the average price achieved across all products and contract periods for Whole Milk Powder (WMP) was US$2,158 per tonne FAS New Zealand Port. This was 16.6 per cent higher than for the previous trading event in February. Prices ranged from US$2,100 per tonne FAS to US$2,280... ...Read more »

America’s dairy cows are now being redirected to the slaughterhouse in the thousands as milk prices plummet to levels that make production unviable for many farmers. Some dairy farmers have reported that they have had to sell a portion of their herds for slaughter because feed prices are still high and demand is falling around the world, placing pressure on the price of the staple. In some cases in the US the price of milk farmers receive is now around half of the production costs, and if the... ...Read more »

The price of fresh milk is set to drop when a milk tax is lifted on 22 February 2009. The Rudd Government announced last year it would abolish the 11 cents a litre levy, which was established by the Howard Government in 2000 to fund an industry deregulation adjustment package. The levy funded a number of measures to help dairy farmers adjust to the removal of state and Commonwealth government price support measures. It is collected by dairy processing companies and appropriated into a trust fund,... ...Read more »

The results from the January trading event of Fonterra’s internet-based sales platform, globalDairyTrade, has reflected a continued softening in international dairy prices. The trading manager, CRA International, advised Fonterra that the average price achieved across all products and contract periods for Whole Milk Powder (WMP) was US$2,017 per tonne FAS New Zealand Port – 9.3 per cent lower than for the previous trading event in December. Spot prices rose 1.3 per cent above those for... ...Read more »