Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Synlait ups the milk price ante

Synlait ups the milk price ante


Canterbury milk processor Synlait has fired the dairy equivalent of a full broadside by upping its forecast milk price for 2013/14 to a range of $8.30 to $8.40 per kilogram of milk solids (kg/MS).

“Before Christmas, the coop Westland Milk Products lifted its in-season forecast to $7.90-$8.30 kg/MS. Now we see Synlait joining the fray to be in the same ballpark as Fonterra,” says Willy Leferink, Federated Farmers Dairy chairperson.

“Of course, Open Country operates a continuous payout while we know Miraka will be highly competitive as will be that darling of value-add, Tatua.

“For farmers, this level of farm gate competition is positive with other processors getting closer to joining the market.

“Importantly, we are getting advance rates that will help cashflow following the train wreck drought hit season that was 2012/13.

“Since the dividend is a key marker of Fonterra’s ability to add value to what we produce, we’ve seen it flat line then dip sharply. That’s not exactly the right trajectory as it’s easy to confuse riding a commodities wave to securing long term pockets of value-add growth.

“For that cooperative this level of competition should keep them on their toes, but it reinforces to me, the need for value-add to become a priority board focus.

“As it stands, Fonterra is being matched kg/MS for kg/MS by the other processors,” Mr Leferink concluded.

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Company Results: Air NZ Rides The Tourism Boom With Record Full-Year Earnings

Air New Zealand has ridden the tourism boom and staved off increased competition to deliver the best full-year earnings in its 76-year history. More>>

ALSO:

New PGP: Sheep Milk Industry Gets $12.6M Crown Funding

The Sheep - Horizon Three programme aims to develop "a market driven, end-to-end value chain generating annual revenues of between $200 million and $700 million by 2030," according to a joint statement. More>>

ALSO:

Half Full: Fonterra Raises Forecast Milk Price

Fonterra Co-operative Group Limited today increased its 2016/17 forecast Farmgate Milk Price by 50 cents to $4.75 per kgMS. When combined with the forecast earnings per share range for the 2017 financial year of 50 to 60 cents, the total payout available to farmers in the current season is forecast to be $5.25 to $5.35 before retentions. More>>

ALSO:

Keep Digging: Seabed Ironsands Miner TransTasman Tries Again

The first company to attempt to gain a resource consent to mine ironsands from the ocean floor in New Zealand's Exclusive Economic Zone has lodged a new application containing fresh scientific and other evidence it hopes will persuade regulators after their initial application was turned down in 2014. More>>

Wool Pulled: Duvets Sold As ‘Premium Alpaca’ Mostly Sheep’s Wool

Rotorua business Budge Collection Limited (Budge) and sole director, Sun Dong Kim, were convicted and fined a total of $71,250 in Auckland District Court after each pleading guilty to four charges of misrepresenting how much alpaca fibre was in their duvets. More>>

Reserve Bank: Labour Calls For Monetary Policy To Expand Goals

Labour's comments follow a speech today by RBNZ governor Graeme Wheeler in which Wheeler sought to answer critics who variously say he should stop lowering interest rates, lower them faster, or that inflation-targeting should no longer be the primary goal of the central bank's activities. More>>

ALSO:

BSA Extension And Sunday Morning Ads: Digital Convergence Bill Captures Online Content

Broadcasting Minister Amy Adams has today announced the Government’s plans to update the Broadcasting Act to better reflect today’s converged market... The Government considered four areas as part of its review into content regulation: classification requirements, advertising restrictions, election programming and contestable funding. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news