According to information which was given by Dairy Processor Warrnambool Cheese and Butter (WCB) the company is going to increase prices for milk this summer.
According to the company’s announced information kilogram of milk solids (kgms) will cost $4,8 which is above competitors Murray Goulburn and Fonterra though Bega has higher price.
South eastern Australia companies suffer losses over the downturn which appeared in dairy market of the world. It happened because the price for milk which they pay is below the production’s price.
In particular the budget of Dairy Australia which is the industry’s peak body was slashed because the revenue from producer levies fell.
In 2014 Canadian company Saputo aquired WCB. On Monday at its Annual General Meeting which took place in Melbourne an 87.8% slump in profits was revealed by the ASX-listed company.
This season there will not be any fall of price according to Chairman Lino Saputo Jnr.
He said that he is confident about some increases in the progress this year.
Warrnambool Cheese and Butter plans to take on more suppliers as the company wants to develop dairy industry.
This company is interested in investments in infrastructure and development of dairy production.
Among the parts of the strategy of WCB there is to promote the intake of milk and attract more farmers to work with them.