Fonterra has lowered its forecast Farmgate Milk Price for the 2025/26 season, shifting the range from NZ$9.00–NZ$10.00kgMS to NZ$8.50–NZ$9.50kgMS, with the midpoint reduced from NZ$9.50 to NZ$9.00kgMS.

The adjustment reflects ongoing strong global milk flows, particularly from the US and Europe, which are putting downward pressure on commodity prices. Additionally, a rising NZ dollar since the last update in November has further impacted returns, prompting the Coop to revise the forecast.