More SMP to be offered in Contract 1
The amount of NZ-sourced skim milk powder (SMP) to be on offer at the next event has been increased by 150t (+4.7%). The increase is all in Contract 1 (March 2016 delivery), which will now have 300t of NZ sourced SMP available. A total of 3375t of NZ-sourced SMP will be offered by Fonterra. However, this is down slightly on the previous event, where 4100t of SMP was offered.
Anhydrous milkfat (AMF) volumes have again been increased by 125t (+4.5%) from the volume that was forecast. This is also an increase on the previous event of 175t (+6.4%). The increases come in Contracts 3, 4 and 5 (May to July delivery). A total of 2900t of AMF will be on offer.
The amount of butter and whole milk powder (WMP) to be offered are as forecast. 1475t of butter will be on offer and 13,700t of WMP. The volume of butter is down just 1.7% from the previous event. The amount of WMP, however, is up 29% on the previous event.
Forecast volumes through to April
Volumes to be on offer at the coming events have seen similar increases to the increases for the February 2 event.
An additional 175t of AMF, than previously forecast, will be on offer at the February 16 event. A total of 2950t will be on offer. The volumes of AMF which Fonterra plans to offer at the two March events have been revised up by 250t per event. 2750t will now be offered at each event. However, the amount of AMF to be offered at the April 5 event is slightly lower, at 2550t.
The volume of SMP to be offered at the two March events has also been increased. An extra 390t from the amount previously forecast will be offered at each event. SMP is then set to increase a little further at the April 5 event, with 3170t on offer – 180t more than the March events.
Butter and WMP have both remained as previously forecast. Both products will see a small increase at the April 5 event.
12 month forecasts
Volumes of AMF and SMP to be offered until the end of the season have been increased from previous forecasts.
Another 1450t of AMF is to be offered by the end of the season, and an additional 1970t of SMP. For the 2015-16 season, this means 76,725t of AMF will have been offered and 141,470t of SMP (both NZ and Australian sourced). However both products still remain down on the previous season.
There has been no change to the forecasts for butter and WMP.
Fonterra’s total 12 month volumes have been increased slightly to 668,959, or 0.5%.
Click here for a spreadsheet containing historic forecast volumes.
