7 Aug 2015

Fonterra's financial position

From Nine To Noon, 9:07 am on 7 August 2015

While farmers around the country anxiously await Fonterra's revelation today of its forecast milk price for the new season some in the sector are wanting answers about Fonterra's financial position. Some economists are predicting farmers could get as a little as three dollars fifty per kilogram of milk solids, down from the five-dollars-25 set at the start of the season. Will Wilson is an agricultural consultant, company director and part owner and director of several dairy farms. He says Fonterra's financial position - specificially its liquidity - was concerning in January, when it posted its interim result - and the environment has only gotten worse since then with milk prices falling. Con Williams is an ANZ rural economist.