Fonterra

Fonterra says it has cut its milk volume forecast for the 2014-15 season to 1,532 million kg of milksolids, reflecting the impact of dry weather on production in recent weeks.

Fonterra's New Zealand collection is 4% higher for the season to date but the dairy co-operative issued a warning about the effect dry conditions were having on the east coast of the South Island.

Fonterra says it has cut its farmgate milk price forecast for 2014/15 to $4.70 per kg of milk solids, down from previous forecast of $5.30 a kg.

Independent Mid Canterbury dairy company Synlait increased lifted its profit 70% to almost $20 million for the full year, meeting its downgraded profit forecast made in May.

Fonterra has retained its fourth placing in Rabobank's latest survey of the world's top 20 dairy companies.

The New Zealand Markets Disciplinary Tribunal has fined Fonterra $150,000 for breaching continuous disclosure requirements to the NZX during the dairy manufacturer and exporter's botulism false alarm last August.

Applications are open for Fonterra farmers to lock in a price for a percentage of their milk for the 2014-15 season.

Fonterra's forthcoming first-half financial result will come under close scrutiny this week from analysts and farmers alike, including expectation of a revision in financial guidance.

Fonterra said it had accepted charges laid against it by the Ministry for Primary Industries (MPI) over events that led to last year's precautionary market recall of whey protein concentrate.

Fonterra has hiked its forecast farm-gate milk price to a record $8.65 per kg of milk solids, with the 35c increase equating to an increase in dairy incomes of about $600 million.