Welcome to the Farmgate Milk Price Calculator. The tool is pre-loaded with default figures. Login or Register to be able to add and change your own figures in the green column.

About FMPC

The Farmgate Milk Price Calculator tools are ready reckoners to help you calculate a farmgate milk price based on dairy commodity prices, exchange rate and estimated costs. They have been developed with funding support from Callaghan Innovation a NZ Crown Entity that contributes to projects helping businesses build innovation capability. 

The tools were built to help users better understand the relationship between the farmgate milk price and dairy commodity prices at GlobalDairyTrade auctions building confidence over time for farmers to hedge their milk price on the NZX Dairy Futures market. 

There are two tools: The Snapshot Calculator developed by NZX and Massey University; and the Season Calculator developed by NZX by building on the work in the Snapshot Calculator. 

The snapshot calculator generates the farmgate milk price implied by the most recent GDT auction prices and exchange rate at that point in time; the season calculator uses the mechanics behind the Snapshot Calculator to calculate a farmgate milk price based on a weighting of known and assumed commodity prices, exchange rates, and costs for the full season. 

Those assumptions might vary from Fonterra's views in particular in relation to the seasonality of the sales curve; variation between Contract 2 GDT prices used by the calculator and the average Fonterra price across all auctions; the exchange rate locked by Fonterra may be different to the assumed exchange rate; the product mix in a particular season may differ from the historical average; cash and capital costs may differ from the historical average; and lactose costs & commodity prices may differ from the AgriHQ forecast.

We welcome any feedback which should be directed to:


General Use disclaimer

The Farmgate Milk Price Calculator tool is derived from various sources believed to be accurate and current. NZX Rural Limited (“NZX Agri”), its parent or related companies, their directors, officers, agents, employees or contractors do not give any representation or warranty as to its reliability, accuracy or completeness. 

Use of the Snapshot Calculator





The Snapshot Farmgate Milk Price Calculator is based on assumptions and historical relationships. Therefore if, in the future, these relationships change or the assumptions do not hold, the output will not be accurate. Given these inaccuracies may occur at any time neither NZX Agri nor Massey University can guarantee the accuracy of any output. 

Use of the Seasonal Calculator




The Seasonal Farmgate Milk Price Calculator has been developed by NZX Agri by building on the Snapshot Calculator work carried out by Massey University. The accuracy of the Seasonal Calculator numbers has not been verified by Massey University.  Neither NZX Agri nor Massey University can guarantee the accuracy of any output.


To get a better understanding of the process between production and export, take a look at this infographic produced by the New Zealand Commerce Commission.

Screen Shot 2015 09 15 at 12.06.15 PM

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AgriHQ Academy

AgriHQ Academy - Instructions on how to use the Farmgate Milk Price calculator