fbpx
Print this page
Tuesday, 27 August 2013 15:42

Fonterra hikes payout forecast

Written by 
Fonterra hikes payout forecast

Fonterra has lifted its forecast farmgate milk price the 2014 season by 30 cents to $7.80 per kg/MS.

 

The increase – along with a previously announced estimated dividend of 32 cents per share - amounts to a forecast cash payout of $8.12.

Fonterra is required to consider its farmgate milk price every quarter as a condition of the Dairy Industry Restructuring Act (DIRA).

Chairman John Wilson says the higher forecast farmgate milk price reflects continuing strong international prices for dairy.

"Current market views support commodity prices remaining at historically high levels longer than previously forecasted," says Wilson.

"The two most recent GDT (GlobalDairyTrade) events have seen prices hold, and significant volumes sold. These factors have contributed to our updated forecast."

At this early stage in the season, however, Wilson says there are a number of uncertainties – and that was why there would be no change to the current advance rate announced in July.

"We will provide an update on business performance when we announce our annual result on September 25, 2013," said Mr Wilson.

More like this

Editorial: Well Done, Miles!

Editorial: Well Done, Miles!

OPINION: In 2018, when Fonterra’s board tapped Miles Hurrell to step in as interim chief executive, the co-operative was in the doldrums.

Next CEO

OPINION: Who will replace Miles Hurrell as Fonterra's next CEO?

Media Obsession

OPINION: The mainstream media's obsession with (sleazy) 'tabloid' issues were to the fore at Fonterra's recent media conference to discuss its interim results.

Popular Reads

Featured

Govt Commits $4m to Rural Wellbeing Initiatives

Govt Commits $4m to Rural Wellbeing Initiatives

While the District Field Days brought with it a welcome dose of sunshine, it also attracted a significant cohort of sitting members from the Beehive – as one might expect in an election year.

Shane Jordan Beats Brother to Win NZ Timbersports Title

While not all sibling rivalries come to blows, one headline event at the recent New Zealand Rural Games held in Palmerston North certainly did, when reigning World Champion Jack Jordan was denied the opportunity of defending his world title in Europe later this year, after being beaten by his big brother’s superior axle blows, at the Stihl Timbersports Nationals.

National

Machinery & Products

Chinese Tractors Eye Western Europe

Chinese Tractors Eye Western Europe

Having caused quite a stir at last year’s Agritechnica, Chinese manufacturer Zoomlion is reported to be conducting large-scale field trials…

Franz Grimme Turns 80

Franz Grimme recently celebrated his 80th birthday earlier March and continues to be an entrepreneur with passion and pioneering spirit,…