Fonterra farmers producing sustainable, high quality milk will be eligible for a new payment, as Fonterra announces important changes to the way it pays farmers for their milk.
From 1 June 2021, Fonterra is introducing a Co-operative Difference Payment of up to 10 cents per kilogram of milk solids (kgMS) if the farm meets the Co-op’s on-farm sustainability and value targets. It’s part of the Co-op’s strategy to add value to New Zealand milk and responds to increasing demand from customers here and around the world for sustainably produced dairy. The payment will be funded out of the Farmgate Milk Price. Today on FEDtalks we are joined by Michael Hide, Fonterra's GM of Sustainable Dairying, also Federated Farmers Dairy Policy Advisor Kerry Gray, and Share milker section Chair Aaron Passey.