New Zealand's Synlait Milk trims annual base milk price forecast

Synlait Milk

26/11/2025 20:08

Nov 27 (Reuters) - New Zealand's Synlait Milk SML.NZ on Thursday lowered its milk price forecast for the 2025/2026 season as global commodity pricing remained pressured amid a healthy milk supply.

The dairy producer said it now expects the annual base milk price to be NZ$9.5 per kilogram of milk solids (kgMS), compared to a previous forecast of NZ$10 per kgMS.

Base milk price is what the company pays to farmers for milk. Synlait said its estimate excludes additional incentives the company pays farmers for best practices and special milks.

Larger peer Fonterra FCG.NZ also tightened its farmgate milk price forecast earlier this week, citing strong milk flows this season across many milk-producing nations, including New Zealand.

Synlait divested its North Island assets in September to prop up its financial position, while reporting a much narrower annual loss.

 (Reporting by Nikita Maria Jino in Bengaluru; Editing by Vijay Kishore)

 ((Nikita.Jino@thomsonreuters.com;))