Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Dairy price rise real or ‘another dead cat bounce’?


Rt Hon Winston Peters

New Zealand First Leader

Member of Parliament for Northland

2 NOVEMBER 2016


Dairy price rise real or ‘another dead cat bounce’?

New Zealand First says erratic swings on the Global Dairy Trade Platform raises serious questions over whether it is helping the New Zealand dairy industry.

“At least today’s 19.8% surge in Whole Milk Powder (WMP) has belatedly broken the US$3,000 per metric ton barrier,” says New Zealand First Leader and Northland MP Rt Hon Winston Peters.

“There is a world of pain out there and it’s cold comfort for farmers to see prices apparently rise when their production is way down, especially as it is in much of the North Island.

“And with WMP at its highest price since 5 August 2014, farmers well know they’ve been here before. In late February and early March 2015, prices spiked to US$3,272 per metric tonne before they disastrously crashed.

“So, is this price rise real or is it another ‘dead cat bounce?’ The so-called experts hailed early 2015 as the start of price recovery just as they’re now hailing this 19.8 percent rise but they were seriously wrong back then.

“Big questions also remain over Fonterra’s use of the Global Dairy Trade platform. Northland farmers struggle to see how auctioning product in this way improves their bottom line when 18 of the world’s largest dairy companies do not use it.

“It is also easy to spike a limited market like this if you throttle supply while publicising tough growing conditions. The test comes not in the next auction but the ones following that,” says Mr Peters.

ENDS



© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

National Terrorism Threat Level Moves To Medium
Medium is defined as a terrorist attack is assessed as feasible and could well occur. The new level remains higher than it was before the 15 March terrorist attack when the threat level was low. More>>

SCOOP COVERAGE: CHRISTCHURCH MOSQUES TERROR ATTACK


Environment Aotearoa 2019: Report Warns Environment In Serious Trouble

The report is jointly produced by the Ministry for the Environment and Statistics New Zealand, and is a follow on from the last report in 2015.

The report says the way New Zealanders live and make a living is having a serious impact on the environment, and the benefits New Zealanders get from being in nature, though not measured or quantified, could be lost. More>>

 

Gordon Campbell: On Scrapping The Capital Gains Tax

As PM Jacinda Arden said yesterday, there was no point in Labour bringing a proposal into the House that it didn’t have the votes to get passed. Looking back, maybe she always felt this outcome to be inevitable... More>>

ALSO:

City Rail Link: Billion Dollar Cost Rise (And Preferred Bidder)

The revised cost envelope for completing the entire Auckland City Rail Link project now totals $4.419 billion. The revised cost has yet to be endorsed by the project’s sponsors (the Crown and Auckland Council). More>>

ALSO:

Meth Scare: Debt Write-Off For HNZ Meth Testing Evictions

People living in Housing New Zealand (HNZ) properties who were wrongly evicted because of flawed methamphetamine contamination policies will have their related debts with the Ministry of Social Development (MSD) written off. More>>

ALSO:

RNZ Report: Fears Grow For NZ Nurse Kidnapped In Syria

A New Zealand nurse working for the Red Cross was captured by Islamic State (IS) in Syria more than five years ago, and there are now public pleas for any information that could help bring her home. More>>

ALSO:

Streets Blocked In London: Climate 'Extinction Rebellion' Reaches Aotearoa

Across the world, thousands of people are taking part in a rebellion to avert climate, ecological and human catastrophe. This begins in Aotearoa New Zealand today. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels