Farmgate Milk Price 

New Zealand is unique in that 95% of milk production is exported with Fonterra collecting around 87% of the milk. As a result, there is no 'market price' set through competition for supply. 

Fonterra instead calculates a Farmgate Milk Price using independently approved methodology. This enables total returns to be allocated between payments for milk and returns on the share capital invested by farmer shareholders and unit holders in the Co-operative. 

Find out more about Milk Price methodology

22 March 2017 press release: FONTERRA ANNOUNCES 2017 INTERIM RESULTS


   Farmgate Milk Price Forecast Cash Payout (Milk Price plus Dividend) Forecast Payout (Milk price plus earnings)
Forecast update 22 March 2017 $6.00  NA  $6.45-$6.55 
Forecast update 23 February 2017 $6.00  NA  $6.50-$6.60 
Forecast update, 18 November 2016  $6.00  NA  $6.50-$6.60 
Forecast update, 21 September 2016  $5.25  NA  $5.75-$5.85 
Forecast update, 25 August 2016  $4.75  NA $5.25-$5.35 
Forecast update, 1 August 2016  $4.25  NA $4.75-$4.85
Opening forecast 26 May 2016 $4.25 NA NA