Fonterra's recent 25c cut to its forecast milk price, now $3.90, equated to farmers getting $460million less dairy revenue than expected this year, which was about another $37,000 per farm.
Ten percent of the highest indebted farms had 30% of the total dairy debt, which about $11billion to $12billion, or $10million each, but that did not mean all those farms were at risk, Dr Mackle said.
Twenty percent of the highest indebted farms had 45% to 50% of the total debt, at $15billion to $38billion, but again those figures ‘‘don't necessarily spell doom and gloom for all'', he said.
‘‘While many in this group will be facing extreme pressure, it is the combination of high debt and high farm costs that will require urgent action. As we feared, milk price has been low for too long.''
DairyNZ was keen to see interest rates come down after last week's cut in the official cash rate, which would help all farmers.
Many were looking at other income they could bring in off-farm or through diversification and they were culling cows, instead of using supplementary feed to maintain cow condition.
Meanwhile, industry leaders were ‘‘marshalling their collective resources'' to ensure a united approach to supporting farmers.
That included dairy company chairmen and chief executives and Federated Farmers' dairy section.
Sharemilkers were were one of the very vulnerable groups and DairyNZ was running joint workshops with Federated Farmers to help them look at their options.
Dr Mackle had met all banks to talk through the issues at an industry level. DairyNZ was also working with other key groups such as Federated Farmers, Dairy Women's Network and Rural Support Trusts to ensure a united approach.
The next phase of the DairyNZ Tactics campaign, starting this month, had a renewed focus on pasture as the key driver of farming competitively through both high and low milk price situations.
All eyes were on the overnight GlobalDairyTrade auction, with hopes for the second consecutive increase in prices for the year.
Mid Canterbury processor Synlait now has 28 new milk suppliers in Canterbury, bringing the number up to 201 for 2016-17, and it has a waiting list.
It was driven by a combination of increased demand for nutritional products and increased production capacity, managing director John Penno said.
He was conscious of the pressure international commodity prices were placing on dairy farmers at the moment, saying Synlait would continue to review its ability to take more milk in the future.
‘‘It's undoubtedly a tough time for anyone operating a dairy farm. We're standing by our suppliers and helping where we can,'' he said.
