Thursday, 23 September 2021 08:46

Fonterra's forecast milk price remains unchanged

Written by  Sudesh Kissun
Fonterra has retained its 2021-22 forecast farmgate milk price range. Fonterra has retained its 2021-22 forecast farmgate milk price range.

Fonterra has retained its 2021-22 forecast farmgate milk price range of $7.25 - $8.75/kgMS, with a midpoint of $8.

The co-op has also announced a 2021-22 earnings guidance range of 25-40c/share.

Fonterra chief executive Miles Hurrell says the strong milk price is likely to continue.

“A high milk price is good for farmers and good for the New Zealand economy.

“However, this does have the potential to squeeze our sales margins and impact earnings.”

Hurrell says the impact of COVID-19 continues to be felt, particularly across the supply chain.

“We expect competitive tension in the global shipping market to continue this financial year. We have largely been able to mitigate this thanks to the strength of our Kotahi partnership which has allowed us to keep our product moving through the supply chain.”

The co-op’s final payout for last season is $7.74/kgMS; comprising farmgate milk price of $7.54/kgMS and a dividend of 20c/share.

More like this

Featured

Maschio Gaspardo Posts 12% Revenue Growth Despite Global Machinery Market Pressure

Despite difficult trading conditions for European machinery manufacturers brought about conflicts in Ukraine and Iran, alongside the United States imposing punitive tariffs, Italian manufacturer Maschio Gaspardo, has seen turnover increase 12% in 2025 to €390 million (NZ$775m) with a net profit of €11.2 million (NZ$22.3).

National

Machinery & Products

» Latest Print Issues Online

Milking It

Too Lenient

OPINION: Reckless action by Greenpeace in 2024 forced Fonterra to shut down a drying plant for four hours, costing the co-op…

Fossil Fuel Crusade

OPINION: The global crusade against fossil fuel is gaining momentum in some regions.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter