Battle for milk
OPINION: Fonterra may be on the verge of selling its consumer business in New Zealand, but the co-operative is not keen on giving any ground to its competitors in the country.
The co-op’s organic suppliers will get $9.25/kgMS as advance rate for milk supplied for the first four months of the new season – June to September.
Fonterra’s organic supply manager Stuart Luxton says the record price shows the increase in demand for their top-quality products and “really delivers back to our hardworking organic farmers”.
Meanwhile Fonterra has lifted last season’s organic milk price to $12/kgMS.
Last week Fonterra also announced a record opening forecast milk price for conventional milk - $10/kgMS.
Recently Organics New Zealand released its 2025 Organic Sector Market Report, which noted that the sector has grown from $723 million in 2020 to $1.18 billion in 2024. Exports totalled NZ$606.7 million, growing at nearly twice the rate of total primary sector exports.
Organic dairy is the second biggest sector, with exports up 39.5% from 2020 to $214 million.
