The 16 dairy farmers last week sent a letter to Fonterra Australia milk supply general manager Matt Watt demanding the payment.
They said they should have been paid $5.56 a kilogram of milksolids for the year ending June 30 to match what Murray Goulburn suppliers received, including dividends.
However, the Bonlac Supply Company, which negotiates a farmgate milk price with Fonterra benchmarked on the MG price, said the farmers’ letter was “factually incorrect”.
BSC chairman Tony Marwood said the Murray Goulburn farmgate milk price was $4.80/kg MS last season and the rest was “a debt” – Murray Goulburn’s controversial Milk Supply Support Package or clawback – and dividend.
Fonterra suppliers received an average price of $5.13/kg MS last season.
