Latest news with #StuDavison
NZ Herald
17-07-2025
- Business
- NZ Herald
Butter prices to keep increasing, say industry experts and analysts
That's been driven by a rise in wholesale prices at Global Dairy Trade auctions, which have doubled in the past five years and tripled in the past decade. High Ground Dairy consultant Stu Davison, who provides regular analysis of global prices on Gold Sport's Country Sport Breakfast, said the biggest factor was long-term growth in demand from China and Southeast Asia. 'Diets have been developing in Asia. The premise of including butter in a more Western diet in these Asian nations has been a big driver, especially New Zealand butter as they value the taste and they see the difference in the colour.' Davison said Europe had also been producing consistently less butter since the start of last year, prompting many European countries to stockpile more and export less. 'You get to the situation we're in now where butter is at extraordinary heights and everyone wants their butter on toast. We don't see it running right back to where we were five years ago.' Infometrics principal economist Brad Olsen, who produces an annual index of Foodstuffs' supply costs, said New Zealand was impacted by those global factors because it exports so much of its product overseas. 'It's a bit of a double-edged sword. Although clearly households are paying more at supermarkets, those higher prices internationally are also bringing forward better gains and returns for farmers domestically.' Fonterra chief financial officer Andrew Murray told The Country wholesale prices weren't expected to fall any time soon. 'If you look at [New Zealand butter], it's still a lot less than you're paying in Europe, so I think that will put a floor on butter prices for a while.' Michael Sergel is a senior reporter, usually based in Auckland. He has been covering business, politics, local government and consumer affairs for more than a decade.
RNZ News
16-06-2025
- Business
- RNZ News
Price of butter continues to head upwards
The price of butter has continued to rise, and could be set to stay that way for some time according to dairy analysts. The demand for reasonably priced butter has seen it become a fundraising favourite and people travelling hundreds of kilometers to the cost price grocey giant Costco to stock pile. Currently the average price of a 500 gram block of butter sits between $8.50 and $11. Senior manager of global market insights at HighGround Dairy in Chicago, and former Kiwi dairy farmer Stu Davison spoke to Lisa Owen. To embed this content on your own webpage, cut and paste the following: See terms of use.
