NZ: SYNLAIT CUT FORECAST PAYOUT BY 16%

Canterbury-based Synlait Milk have revised their 2015-16 forecast milk price from $5.00/kg of milk solids to $4.20. The move follows cuts last week by Fonterra, Westland Milk Products and Open Country. Synlight blamed sustained low global commodity prices since September 2015, and a view that the recovery will be slower than anticipated. Their previous forecast was based on the expectation that prices would have started to recover by now; they expect to revise the forecast milk price again in May. More than half of Synlait’s 170 suppliers are now participating in their Lead With Pride and Special Milk programmes, which offer a premium payments.