NEW ZEALAND – Market factors have left Kiwi dairymen the most exposed to the dairy price crash of all the key exporting countries, says Rabobank.
A new report for Rabobank clients – Dairy Industry Note – Riding out the storm – has said New Zealand prices have been “hit far harder” during the global dairy price slump.
This has resulted in businesses having a “truly awful” winter season.
Rabobank New Zealand CEO, Ben Harvey, said: “In this cycle, the pain has been asymmetrical, with New Zealand at the sharp end, and so far pretty alone.
“This has been for a combination of reasons – including a relatively strong New Zealand currency position, our small domestic market and New Zealand dairy’s exposure to China and to whole milk powder, which are the worst-hit markets.”
By Michael Priestley, News Team Editor
Source: The Dairy Site
