Fonterra to cut cheese, butter prices

Fonterra says will cut domestic butter and cheese prices next month after falls in international dairy commodity prices

Rural News

Fonterra says will cut domestic butter and cheese prices next month after falls in international dairy commodity prices

22nd Jul 11, 8:52pm by Bernard Hickey

<p> Fonterra's Mainland brand of cheese sold in New Zealand.</p>

Fonterra has announced cuts in its butter and cheese prices in New Zealand in line with international price falls.

“Butter and cheese prices in New Zealand increased in April, however, since then international prices have dipped and we will see these decreases flow through to consumers from next month," said Fonterra Brands Managing Director Peter McClure.

“In February 2011, we announced a freeze on the wholesale price of fresh milk in New Zealand," McClure said.

“At this stage there are no changes planned to fresh milk prices, but if international milk prices drop significantly we will of course flow these decreases onto consumers.”

Wholesale butter prices have fallen around 20% in New Zealand dollar terms since early March.

Wholesale cheese prices have fallen around 15% in New Zealand dollar terms since early March.

See our interactive dairy commodity price charts here and below:

Dairy prices

Select chart tabs

Source: GlobalDairyTrade and USDA

Source:

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3 Comments

by Boatman | 24th Jul 11, 7:35pm 1311492913

Fonterra continue to adopt a MONOPOLY PRICING STRATEGY on New Zealanders. Milk prices have fallen , so they say they relying on the freeze in prices . Its nonsense , and this monopoly should be broken

by Omnologo | 25th Jul 11, 2:17pm 1311560221

Boatman, would the price NZ consumers pay for dairy products be artificially deflated if the so called Fonterra monopoly was further regulated. Given the so called "independent" processes have substantial foriegn corporate financial backing, would the goverment (including ex and current politicians who have shareholdings) forcing Fonterra to continue supplying subsidised milk, keep domestic consumer prices low?

I don't think so either.

by Brent | 25th Jul 11, 5:40pm 1311572439

Why don't New Zealanders import cheese and butter if they think it is to dear to buy