Fonterra Australia cuts farmgate milk prices againStaff writer ▼ | July 4, 2016
The latest price cut from a major dairy producer could force some Australian farmers out of the industry as they struggle to break even.
Farmers in problems Fonterra will offer $4.75 per kilogram of milk
Producers have been cutting prices offered to farmers amid a global oversupply and low prices for dairy commodities.
Fonterra will offer an opening farmgate milk price of $4.75 per kilogram of milk solids for the 2016/17 season, and expects that to rise to $5.00 later in the year.
The company was paying $5.60 per kilogram before it made a cut in May to $5.00 for the remainder of the 2015/16 financial year. ■