Fonterra to Aid Cash-Strapped Farmers
New Zealand’s largest farmer cooperative, Fonterra, recently announced plans to aid cash-strapped farmers by paying out dividends early this year.
Officials say every farmer payment will vary, but the average will be $8,800USD. According to Fonterra Chairman, John Wilson, the payment will be made on June 7. He says the early payment is the result of Fonterra’s sound strategy and good business on behalf of farmers.
"While the milk supply and demand imbalance continues to impact global milk prices and our forecast Farmgate Milk Price, the business is delivering on strategy and has maintained the good performance levels seen in the first six months of the financial year."
The dairy industry in New Zealand continues to struggle despite a weaker drought system than expected last summer. Farmers in the area are focused on staying in business through their winter season.