Topic: Politics

The price of milk today

By Maiki Sherman
  • Wellington

The price of milk has dropped, last night by 8.4%, meaning a total decrease of 41% since the beginning of the year.

According to the Labour Party and the Greens, it's a sign of the volatility of the industry which is why the government should not be so reliant on it.

However, according to some Māori farmers, the drop wasn't a surprise and a longerm outlook is required.          

As the price of milk sours, the chief executive of Parininihi ki Waitōtara, the largest dairy supplier to Fonterra in Taranki, is optimistic.

Last year saw milk prices peak at $8.40 per kilogram of milk solids, with Parininihi ki Waitotara selling 3million kilograms.

However, the current forecast is for a drop to $6, the reason being lower overseas demand. 

According to the Labour Party it's a sign of the volatility of the industry and the government shouldn't be so reliant on it. 

However, the criticisms didn't end there for National.

Doug Leeder, former chief judge of the Māori farming competition, says the government has an aggressive growth strategy but more thought is needed regarding the increase in waste that will come from it.

So, as the price of milk sours it seems so too is the view of some towards the government's focus. 

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