Portal shines light on price
The Milk Value Portal has had more than 25,000 visits since its launch in 2020 and has helped improve 65 per cent of users' understanding of farm gate milk pricing, according to latest survey data.
Led by the Australian Dairy Products Federation, the portal also includes the Farmgate Milk Value Tool — an interactive tool based on current and verified processor data that allows farmers to calculate the average value of raw milk in each production region.
“The Farmgate Milk Value Tool lets the visitor customise a farming enterprise by selecting regional location, farm size, seasonality of supply and butterfat and protein content, calculating a milk price for the year and for each quarter,” ADPF president Grant Crothers said.
“You can then create any number of ‘what if’ scenarios to obtain a deeper understanding of current and historical farm gate milk pricing.
“Farm gate milk pricing has a multitude of factors influencing it across the different regions throughout the year, and it was a need for more transparent information that drove the development of the Milk Value Portal.
“Understanding market volatility and the value of milk through processor data not only enhances transparency but also helps optimise decision making and the development of more sustainable dairy farming and processing enterprises.”
The Milk Value Portal was developed, and all data is collated and kept up to date, by independent food industry analyst Freshagenda.
Freshagenda’s Steve Spencer said the portal offered fresh insights for how global prices and pressures for dairy commodities influenced farm gate milk prices in Australia.
“At the moment, the Milk Value Portal is showing us that commodity prices are rising due to tight milk supplies in Europe, a smaller than usual peak in New Zealand production, and a slightly softer AUD pushing up the gross Commodity Milk Value,” Mr Spencer said.
“Farm gate milk prices may follow if companies are well placed to be able to take advantage of this with the right product and market mix.
“The Milk Value Portal also shows the small step-ups of farm gate milk prices recently made by some Australian dairy manufacturers. The commodity price rise is helping to ease tensions processors are facing with firm milk costs and rising input costs.”
To access the portal, visit: milkvalue.com.au