Australia’s dairy processors released their opening farmgate milk prices for the 2026-27 season, which were lower than expected in the southern export-focused region.

Bega announced a weighted average opening price of $9.04kgMS, while Saputo’s opening price is in the range of $8.80kgMS—$8.90kgMS. Lactalis is ahead of the main competitors and looking to attract supply with an opening weighted average price of $9.30kgMS. Meanwhile, Lactalis-Mainland Dairy opened in the range of $8.65kgMS—$9.45kgMS.

Speaking to the The Weekly Times about the opening prices, United Dairyfarmers of Victoria vice president Mark Billing said: “With the cost of production in key areas like southwest Victoria sitting at roughly $8.80/kgMS, these opening rates leave producers with virtually no safety margin heading into the new fiscal year.” This sentiment was echoed by Australian Dairy Farmer president Ben Bennett’s comments: “As an opening price, this is a conservative floor, given the environment we’re operating in.”