MG. Financial results released by Murray Goulburn show the co-operative’s milk intake, of 1.1 billion litres, in the first half of the 2018-19 financial year was 29.9 per cent lower.
Ari Mervis, chief executive officer at MG, says the decrease in milk supply from the same time the previous year is a result of the dairy giant’s inability to pay a competitive farmgate milk price.
The revenue of $1.1 billion was also impacted, down 5.1 per cent.
Murray Goulburn’s net debt at the end of last year stood at $474 million down from $677 million the previous year.
The company aims to maintain a forecast farmgate milk price of $5.60 per kilogram milk solids, subject to the fulfilment of the Saputo sale.