Fonterra's boss says farmers are used to volatility in prices and payouts. 

Its midpoint forecast farmgate milk price for this season now sits at $9 after a string of falls in global dairy prices. 

That's more than 10% lower than last season's final payout. 

Chief Executive Miles Hurrell told Andrew Dickens most farms are intergenerational, so farmers understand the ups and downs of the commodity cycle. 

He says the pace of the northern hemisphere increase in supply may have caught some people out. 

LISTEN ABOVE 

Fonterra's boss says farmers are used to volatility in prices and payouts.&nbsp;
Its midpoint forecast farmgate milk price for this season now sits at $9 after a string of falls in global dairy prices.&nbsp;
That's more than 10% lower than last season's final payout.&nbsp;
Chief Executive Miles Hurrell told Andrew Dickens most farms are intergenerational, so farmers understand the ups and downs of the commodity cycle.&nbsp;
He says the pace of the northern hemisphere increase in supply may have caught some people out.&nbsp;
LISTEN ABOVE&nbsp;

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Don't miss a thing while you're on holiday, with Newstalk ZB Holiday Breakfast. We deliver the best in news, views and opinion to keep Kiwis informed and entertained while you're on the road, at the bach, or relaxing at home.

Don't miss a thing while you're on holiday, with Tim Dower and Newstalk ZB Holiday Breakfast.

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Miles Hurrell: Fonterra CEO on the volatility of dairy prices

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/ea6cebe4-4260-453a-becf-b3d201660dea/transcript