MURRAY Goulburn Co-operative yesterday announced its second milk price increase for the season.
Suppliers will receive an extra nine cents per kilogram butterfat and 19 cents per kilogram of protein, taking the weighed average price to $6 per kilogram milk solids.
The lift follows a step-up by Warrnambool Cheese and Butter announced the day before which took its average price to $6.05 per kilogram.
Murray Goulburn’s price forecast for the whole season was revised to the $6.10 to $6.30 per kilogram range, although managing director Gary Helou warned that the strengthening dollar was a source of risk to the full-year forecast. He said favourable market conditions made the increase possible.
“Since our record opening price in late June we have seen the international market for key ingredients remain strong, underpinned by strong global demand, particularly for whole milk powder,” Mr Helou said.