27 Apr 2012

Westland payout forecast lowered

12:53 pm on 27 April 2012

Westland Milk Products has cut its forecast payout, due to the high value of the New Zealand dollar and declining commodity prices.

The Hokitika company expects to pay between $6.30 - $6.60 per kg of milk solids for the 2011-2012 season to July, down 30 cents on the last forecast.

Westland's final payout will be announced in September. Last season it paid farmers $7.80 per kg of milk solids.

Westland has almost 400 suppliers.

Chairman Matt O'Regan says milk production is up 13% on last year.