Fonterra Expands Organic Dairy Programme Into South Island
Fonterra has announced it will continue with the planned expansion of its organic business into the South Island.
The co-operative says this reflects a strong sales book and an encouraging supply and demand picture.
For the new season, which started June 1, the co-op announced a range of $9.25 - $10.75/kgMS, with a midpoint of $10/kgMS.
The co-op paid a record final organic price of $10.80/kgMS for 2022-23 season.
The co-op is looking for new organic milk suppliers. A team will be at the Fonterra tent at Fieldays this week to chat with farmers and answer questions.
Farm Source milk supply director Lisa Payne told Dairy News that the co-op's organics programme has been running since 2002 and it currently includes more than 100 farms.
"Demand for organic products continues to grow and to keep up with this we are looking to further expand the programme.
"We've been encouraging farmers to get in touch with us if they want more information about the process and support available to convert their farm to organic."
Fonterra also announced its advance rate for organic milk supply this season. For the first seven months, farmers will get an advance rate of $7.50/kgMS.
It lifts by 15c for milk supplied in January next year.
Meanwhile Fonterra's Organic Farmer Conference was held in Taranaki last week. The co-op says the conference was a great opportunity for farmers to learn mor about the market and the key factors driving the milk price, as well as connect with fellow farmers and the Farm Source team.
