Fonterra’s milk volume takes a tumble
Fonterra has collected 2 per cent less milk from its New Zealand farmers since the beginning of the season than for the same period the year before.
In its latest global update, Fonterra said recent dry weather had caused soil to dry out and stopped pasture growing, leading to a decline of 8 per cent production in January alone.
By contrast Fonterra Australia increased its milk collection since June by 27 per cent, as it gained new suppliers and benefited from favourable weather.
For the first seven months of the season, which started last June, the New Zealand milk collection was 1036 million kilograms of milksolids, compared with 100 million kilograms from Australian farmers.
For the 12 months to the end of December, New Zealand dairy exports were down 3 per cent, or 83,000 tonnes compared with the
Exports declined across most categories except for fresh dairy and infant formula. Skim milk powder and anhydrous milk fat showed the largest falls.
year before. Exports declined across most categories except for fresh dairy and infant formula. Skim milk powder and anhydrous milk fat showed the largest falls.
Over the last year China (up 13 per cent), Asia (4 per cent) and Latin America (5 per cent) showed increased demand for dairy imports, but the Middle East and Africa dipped by 1 per cent.
So far this financial year Fonterra has sold 430,840 tonnes of dairy products on the global dairy platform.
Updating progress on its new cream cheese plants being built at Darfield, acting site operations manager Shane Taylor said the first would be completed within the next six months, and the second two to three years later.
Together the plants would produce 48,000 tonnes of cream cheese a year for a global market which grew 24 per cent last year. The cheese was experiencing a surge in popularity in Asian markets where it is used in novel ways such as tea macchiato.