An 11 percent fall in whole milk powder prices this week will see farmers across the country lose money this season.
Softening demand from China means the price - which strongly affects the pay-out for local farmers - is now at a five-year low.
Just last week Fonterra slashed its forecast pay-out for the 2023/24 season to $6.25 per kilogram of milk solids from $7.75 with a midpoint of $7.
Farmers say low prices combined with high interest rates and inflationary pressure has created the perfect storm.
Jacques Le Prou is a dairy farmer based in South Taranaki and Katrina Pearson was named Northland Share Farmer of the Year in 2021.
Le Prou and Pearson spoke to Ingrid Hipkiss.
