Dairy co-operative Murray Goulburn has lifted its opening farmgate milk price by 50 cents to $5.20 kg MS.
MG said in a statement that its original price of farmgate milk price of $4.70 kg MS was announced earlier than in prior years in order to try to assist suppliers with budgeting and business planning.
“Since then, MG has had the opportunity to review the 2017/18 budget assumptions, which include dairy commodity prices, exchange rates and achieving cost out initiatives, as well as achieving milk intake of approximately 2.5 billion litres,” the statement said.
“The updated FMP has also taken into account improved commodity prices reflecting anticipated market returns, together with additional contracted sales.”