Agrifax has revised its forecast for Fonterra’s payout up 20 cents to $4.85 per kilo of milk solids.
It’s giving the credit to booming prices for casein and anhydrous milkfat which could offset lower milkpowder prices.
In case you were wondering, casein is a protein which is used in other foods as a binding agent. Anhydrous milkfat is made by removing almost all the moisture and nonfat solids from cream. It’s used in bakery, confectionery, ice cream, other consumer products and for recombination with skimmed milk powder to produce liquid milk and other milk products