Tasmanian Dairy Farms To Expect Big Losses
AUSTRALIA - Tasmanian dairy farms are expected to lose between $75,000 and $100,000 this financial year according to an independent financial review.
12 October 2009
1 minute read
The benchmark study by the Tasmanian Institute of Agricultural Research's Dairy Centre at Burnie has found it costs 38 cents a litre to produce milk, with prodcuers making a loss of five cents a litre over a year reports ABC Rural.
Dairy farmers supplying National Foods are objecting to their current milk price, which is in the order of 20 to 22 cents a litre.
Mark Ferguson, from the Dairy Centre told ABC Rural that the losses will be particularly hard on new entrants to the industry.
He said: "For a typical farm, that loss of five cents a litre will turn into a loss of between $75,000 and $100,000 per farm, which is around about 15 per cent of farm income, so it's a substantial loss."
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