Tasmanian Dairy Products (TDP) has announced its second step-up in farm gate milk price for the 2012/13 season.
This announcement follows a first step-up payment provided in mid-November last year.
TDP commenced operations at its $80 million milk processing facility at Smithton in September 2012.
TDP Chief Executive Officer Tony Catania said the price increase of 8 cents per kilogram of butterfat and 20 cents per kilogram of protein would be paid to TDP suppliers on 15 March 2013.
“The increase is effective from 1 February 2013,” he said.
Mr Catania said he expected further improvements in price early in the 2013/14 financial year.
“While recent improvements in GlobalDairyTrade (GDT) auction prices have been offset by the continuing strength of the Australian dollar, an expected decrease in supply from Australia’s major dairy export competitors in the second half of the season, combined with increasing demand from emerging markets, should support better prices early in the new financial year,” he said.
Mr Catania said while still in the early phase of operations, he was pleased that the Smithton processing facility was up and running well.
“We are producing quality dairy products and are attracting strong interest from Australian and international dairy ingredient customers,” he said.
“We are also focused on achieving further improvements in our plant operations, as well as maintaining our commitment to becoming a leading milk processor in Tasmania that will ultimately support our suppliers to grow their businesses.”
Released by: Nicolas Turner Tel: 6210 5206 or 0418 538 865