Demand is outpacing availability in some key dairy regions.

Dairy herd sales in 2026 are off to a promising start, with strong prices nationwide positioning dairy farmers for solid returns.

Stock shortages and a wave of dairy conversions in the South Island are among the factors driving demand, says PGG Wrightson national dairy specialist Jamie Cunninghame.

A spate of early sales in the spring was followed by a strong surge in January, indicating earlier-than-usual market activity.

“We normally don’t get a lot of activity until the tail end of January, but this year, it was all going in early January, which is a really positive signal,” Cunninghame says.

This early momentum and lift in prices present a strong opportunity for dairy farmers to profit, particularly in a season where supply signals remain uncertain. With demand currently outpacing availability in some regions, timing and preparation will be key.

A dairy specialist can provide expert advice and help farmers put a clear plan in place before the market shifts.

Dairy herd prices ‘very strong’

In November, PGG Wrightson reported a significant increase in cow prices nationwide. Vendors selling under contract – where the herd must meet certain conditions and quality standards – were averaging around $3000 per head, with some adult cows from high-end herds fetching $3500 or more.

Demand remains strongest for high-quality, well-recorded dairy stock with strong production records.

“There’s no doubt pricing is up across the dairy sector, from rising 1-year-olds right through to mixed-age cows. It’s very strong. I can’t see the price dropping off too much now, simply because a supply and demand scenario is what we’re looking at,” Cunninghame says.

‘Positive signals’

The wave of early sales suggests confidence is high among both vendors and buyers. Cunninghame attributes the momentum to several factors.

“The global dairy market is looking promising and seems to be sending positive signals moving forward. There’s a rejuvenated interest in dairy; some of that is being driven by new conversions in the greater Canterbury region, which is pleasing to see,” Cunninghame says.

“We haven’t seen a cluster of conversions for a while, but there seems to be a portion happening this coming year, to start production in spring 2026. There are also signals of another wave of conversions coming for spring 2027 – so that’s sending good signals, and it’s driving the demand.”

Alternatively, concerns about a potential stock shortage may be driving buyers to secure herds sooner. Early indications suggest empty rates – the percentage of cows that fail to become pregnant – could be higher than in previous seasons, though results are still emerging.

“There are signals out there that dairy stock might be short by the end of the season. There’s still pregnancy testing; empty rates and things like that are only just starting to come through now, but the signals are that they’re possibly going to be a bit higher, which will highlight the shortage,” Cunninghame says.

Another factor is stronger banking confidence within the dairy sector, with 61% of farmers reporting being satisfied or very satisfied with their bank in the latest Federated Farmers banking survey. Only 14% of the nearly 600 respondents said they were feeling undue pressure from banks, down 10% year-on-year.

How to buy or sell a dairy herd

If you’re thinking of selling your dairy herd, it’s a good idea to get in touch with a dairy representative.

The specialist will promote your herd to prospective buyers across PGG Wrightson’s nationwide livestock network – connecting vendors with demand in every major dairy region – and support every stage of the process, from appraisal to settlement.

“There’s a huge range of herds, from medium to exceptionally good to below-average herds, and understanding where yours sits within that scale is quite important,” Cunninghame explains.

For prospective buyers, a dairy specialist will provide practical advice and guidance, ensuring you find the right herd for your farm.

PGG Wrightson’s leading forward and short-form contracts are regularly reviewed and updated, allowing farmers to buy and sell with confidence. Working with a representative to implement a clear plan not only mitigates risk but takes the guesswork out of what can be a major undertaking.

“Our contracts are very comprehensive. They give security to both sellers and buyers, giving all parties a fair process. Having a third party also helps manage the relationship and guide the transaction, from point of sale to point of delivery and payment.”

If the early dairy herd sales momentum continues, the flow-on effects for the rural sector are likely to be significant.

“Having a positive dairy market and payout has a huge impact on provincial New Zealand and its economy. Dairy farmers employ a lot of staff, who support communities, schools, and lots of different businesses,” Cunninghame adds.

“We’ve all seen in the past that when dairy’s going good, generally speaking, provincial New Zealand’s going pretty good too.”

To browse current listings and sales reports, visit New Zealand’s largest livestock listing platform, agOnline. Contact a dairy specialist today at pggwrightson.co.nz.