Global dairy markets continue to weaken. Economists at ANZ Bank now forecast a farmgate milk price of $7.15/kg milk solid (MS) for the 2023-24 season, 60 cents lower than their previous guidance.
Chinese demand for dairy products has eased
We have revised down our farmgate milk price forecast for the 2023-24 season by 60c to $7.15/kg MS.
Our forecast for 2022-23 remains unchanged at $8.20/kg MS.
Economic conditions in China have deteriorated further and their demand for dairy products has eased.
The relatively weak NZD remains supportive of the farmgate milk price but is certainly not sufficient to offset the impact of lower dairy commodity prices
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