Fonterra revised its farmgate milk range for the 2022/23 season to NZ$8.50kgMS to NZ$10.00kgMS, down from NZ$8.75kgMS to NZ$10.25kgMS. The downgrade reduces the midpoint of the range from NZ$9.50kgMS to NZ$9.25kgMS.

Fonterra CEO Miles Hurrell acknowledged that farmers would be disappointed with the recent change in the 2022/23 forecast farmgate milk price, but said it reflected a number of factors, including recent downward trends in commodity prices, driven by some short-term softening in global demand.