Murray Goulburn to face dairy farmers at AGM

Dairy farmers still looking for answers six months after Murray Goulburn (MG) cut the amount it pays them will converge on Melbourne today for the co-operative’s annual general meeting.

In late April retrospectively cut its farm gate milk price, taking its suppliers completely by surprise and leaving them having to pay back much of what they had earned during that financial year.

Di Bowles, a farmer from Mead in northern Victoria will be at today’s meeting to find out what is happening.

“Murray Goulburn suppliers feel let down that they’re the last one to get any financial gain from the company,” she told the ABC.

“The shareholders are placed before the farmers.”

As AAP reports, both MG and other major supplier Fonterra Australia raised their farm gate prices yesterday. MG forecasts that it will pay $4.95 kg/MS for this full financial year, while Fonterra expects to pay $5.10 kg/MS.

According to Fonterra’s managing director Rene Dedoncker, strengthening global dairy prices were behind the company’s decision to raise the price.

“Although the global market remains volatile, since the beginning of the season, global milk supply has continued to decline significantly while demand has remained relatively stable,” she said.

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