33ppl is Fonterra’s all-time record forecast farmgate milk price

Fonterra has reviewed its New Zealand farmers average farmgate milk price to a UK equivalent ranging from 31ppl to almost 35ppl (34.94) with a mid-point of 33ppl

The actual NZ figures are $6.90 - $7.50 per kg of milk solids.

The impressive increase is mainly attributed to strong demand from China and South East Asia.  This payout matches the previous record payout set in 2014 and comes at a time when Fonterra are at peak processing capacity at just over 80 million (litres day) and even at this level, which is more than double the GB peak daily production (2^nd May 38 million litres), the 80 million peak is below normal budgeted New Zealand output.

Certainly, if New Zealand farmers can produce predominantly spring milk in these quantities and receive 33ppl they should be happy & profitable.