Provided by NZX
  • FSF6.05

    $0.020.33%

  • Open 6.03 High 6.07 Low 6.03 Bid Price 6.04

    Offer Price 6.05 Value 1178545.11 Volume 194760

Current as of 29/05/17 07:40PM NZST

Fonterra: NZ milk collection falls

By Paul McBeth

Farmers have culled livestock to cope with the global dairy price slump.Picture / Bloomberg
Farmers have culled livestock to cope with the global dairy price slump.Picture / Bloomberg

Fonterra's New Zealand milk collection fell 10 per cent in the first month of the 2017 season, a typically low production period.

The Auckland-based dairy cooperative collected 9.9 million kg of milk solids in June, down from 11.1m kg in the same month a year earlier, Fonterra said in its monthly Global Dairy Update.

North Island collection fell 6 per cent to 7.6m kg while the South Island dropped 22 per cent to 2.3m kg.

Fonterra said milk production "continues to be heavily impacted by the reduction in Australian milk prices to align with global dairy prices".

The slow start to the season comes at a time when farmers have culled livestock to cope with a slump in global dairy prices, and yesterday's update shows total New Zealand production fell 2 per cent in the 12 months ended May, with a 4 per cent increase in the final month of the 2016.

Fonterra Shareholders' Fund units increased 2c yesterday to close at $5.47.

- BusinessDesk

Get the news delivered straight to your inbox

Receive the day’s news, sport and entertainment in our daily email newsletter

SIGN UP NOW

© Copyright 2017, NZME. Publishing Limited

Assembled by: (static) on production bpcf02 at 30 May 2017 03:14:00 Processing Time: 254ms