While your old mate is on the topic of Landcorp – or Pamu as it likes to call itself these…
Golbal milk price recovery could be "slow and painful", with doubts now cast over when the turnaround may come in the next season.
Dairy farmers are being urged to make their businesses resilient around a $5/kgMS payout for the next few years.
Opportunistic buyers taking advantage of low prices were probably behind last week's 3.6% overall rise in the GlobalDairyTrade (GDT), says Rabobank research analyst Emma Higgins.
ASB still expects dairy auction prices to rise over the season despite the GlobalDairyTrade price index falling 7.4% at the auction overnight.
Most of the major banks are predicting a drop between 4% and 8% – much higher than Fonterra's current forecast of a 2-3% fall.
Farmgate milk price forecasts by at least two banks, ASB and BNZ, have now been hiked upwards to $5/kgMS for the 2015-16 season.
ASB has lifted its milk price forecast to $5/kgMS for the season after GlobalDairyTrade (GDT) auction prices spiked higher for the third successive lift overnight, with the lift larger than expectations.