WELLINGTON, Nov. 25 (Xinhua) -- New Zealand's dairy giant Fonterra has cut the midpoint of its forecast farmgate milk price for the 2025/26 season to 9.5 NZ dollars (5.32 U.S. dollars) per kg of milk solids (kgMS), from 10 NZ dollars.
The forecast range has been narrowed to 9 NZ dollars-10 NZ dollars per kgMS from 9 NZ dollars-11 NZ dollars previously, it said Tuesday.
Fonterra has lifted its forecast milk collections for the season to 1,545 million kgMS, up from an earlier estimate of 1,525 million kgMS, it said.
Fonterra's Chief Executive Miles Hurrell said strong milk flows were seen this season, both in New Zealand and other milk producing regions.
Hurrell said increased global milk supply had placed downward pressure on global commodity prices, with seven consecutive price drops in recent Global Dairy Trade auctions, prompting a narrower Farmgate Milk Price range forecast and a lower midpoint for the season. (1 NZ dollar equals 0.56 U.S. dollars) ■