Sweden's milk war is now being played out on television.
New Zealand's horticultural sector must compete on quality, taste and branding because it will never compete globally on volume and price, says MyFarm national sales manager Grant Payton.
It is not always the fastest-growing or biggest returns which influence decisions on investment in various sectors, says MyFarm head of research Con Williams.
The income outlook for New Zealand dairy farmers for the new season looks good, but other challenges loom.
Dairy farmers would have woken up to better news than equity fund managers last Wednesday says ANZ’s agri economist Con Williams.
Although last week’s GDT price index eased 0.4%, the dairy auction was generally positive, especially the 2.6% lift for whole milk powder (WMP), says ANZ rural economist Con Williams.
The back-to-fat story was reinforced at the latest GDT event with butter up 3.3% to a fresh auction record high of US$5631/t, says ASB senior rural economist Nathan Penny.
Dairy markets remain finely balanced but with most of the season’s product sold, farmgate milk price is expected to hold above $6/kgMS.
KPMG's Ian Proudfoot says significant change is coming to New Zealand's primary sector and "farmers that ignore it do it at their peril".
Dairy farmers with a detailed understanding of their businesses are in the best position to reduce costs, improve efficiency and ride out the dairy downturn.