10 December 2003
Good News for Fonterra Suppliers
Fonterra suppliers should be relieved to hear news of a higher payout, says Dairy Farmers of New Zealand Chairman Kevin
Dairy company Fonterra Co-operative Group has announced a lift in its payout forecast by 20 cents to $4.15 per kg milk
solids for the current season.
"Increasing international dairy product prices and demand for their products has meant Fonterra has managed to deliver
their suppliers a better result than anticipated.
"Fonterra's announcement would be even better if dairy farmers could have value sooner rather than later, by increasing
the advanced payout.
"Much of the impact of the high New Zealand dollar will be felt next season, and I urge Fonterra suppliers to be aware
of this and plan accordingly.
"The challenge ahead for all dairy farmers, Fonterra suppliers or not, is to remain competitive in a highly subsidised
international market place," Mr Wooding concluded.