Global dairy prices have climbed at the latest auction.
The average price rose 3.1 percent to $US3139 per tonne, marking the third consecutive auction increase.
The closely-followed whole-milk powder price, which determines the payout to dairy farmers, gained 3.5 percent to $US2998 per tonne.
That is close to the range where many farmers need to break-even.
Skim-milk powder, butter and cheddar cheese prices also made gains overnight.
$6 payout or better next season - Rabobank
A dairy analyst said the pay-out to farmers should hold around $6 a kilo or more in the new season.
Consensus has been that the final milk payout for the current season would be confirmed at that level.
And the expectation is that the 2017/18 season would probably start much the same.
Rabobank dairy analyst Emma Higgins said global dairy prices were now better balanced than at the start of this season, which was likely to flow through to largely stable commodity pricing through the new season.
"A farm-gate milk price of a low $6 figure is certainly profitable for most farmers in New Zealand, provided that cost-control remains front of mind," she said.