1 October 2014
NZX launches step-change in dairy forecasting
Two online tools designed to provide better insights into New Zealand milk production and farmgate milk prices have been launched by NZX Agri.
The tools, a Milk Production Predictor and a Farmgate Milk Price Calculator, have been developed by NZX and Massey University with funding support from Callaghan Innovation.
The Milk Production Predictor is aimed at global dairy market participants for whom a better understanding of future levels of New Zealand milk production is vital. The tool predicts NZ milk production over the next 3 months by utilising advanced modelling and input from the NZX Agri data team. This ground-breaking tool is available during October at an introductory price of $199 per month.
The Farmgate Milk Price calculator is designed to help farmers understand better the relationship between GlobalDairyTrade prices and their milk solids payout. The free-to-access calculator means there's no more waiting to understand how the latest GDT auction price affects NZ farmers. Users can toggle between the seasonal and snapshot calculators to build a better view on what's around the corner.
NZX CEO Tim Bennett commented. “Both these tools represent a step-change in dairy forecasting. As the operator of the Dairy Futures Market, we have built these tools to help create more transparency in the marketplace – good information is valuable for the dairy sector.”
“Continued growth in the farming sector means the NZX Agri team are constantly expanding the range of information and data NZX provides to the sector to help support business decision-making.”
Massey University Vice-Chancellor Steve Maharey commented: “After more than 80 years leading the research and teaching behind New Zealand's successful agricultural science, food production and agri-business models, the university is very pleased to assist with the development of new tools that aid farmers, agrifood businesses and investors in the sector.
"We are constantly working with industry to grow the New Zealand economy, enhance our nation's reputation for excellence in agrifood and develop smarter ways of succeeding on the world stage. This is a prime example of a partnership delivering excellent results with potential benefits for an entire industry sector."
For more information or to use the tools please visit: agrihq.co.nz/toolbox
Background information:
- Milk Production Predictor – models New Zealand milk production three months in advance, with forecasts based on climate, pasture growth and cow numbers. This is a subscription-based tool.
- Farmgate Milk Price Calculator – allows registered users to calculate their farmgate milk price based on either a spot GDT price, or assumed seasonal GDT price allowing for assumptions around price weightings.
- NZX Agri is the agri-information division of NZX. It produces a portfolio of agricultural publications and market intelligence reports alongside its industry-leading website agrihq.co.nz
- Massey University is uniquely placed to support NZX in the development of the dairy data tools. It brought together expertise from Massey Business School, including leaders in finance and business analytics, and the College of Sciences, including leaders in pastoral dairy production and agribusiness management. This expertise enabled data sets to be analysed in an appropriate and precise way and provided the best results for NZX, New Zealand farmers and international traders of milk product. Massey is New Zealand’s No 1 University in Finance and Agriculture. It ranks 19th in agriculture in the world Quacquarelli Symonds’ subject rankings
- Callaghan Innovation is a New Zealand Crown Entity that accelerates the commercialisation of innovation by firms in New Zealand
For further information or to arrange an interview please contact:
Nicholas Handley
Agri Data Manager - NZX Agri
E: nicholas.handley@nzx.com
T: 06 323 0767
M: 027 313 5880
Julian Gairdner
Head of Digital – NZX Agri
E: julian.gairdner@nzx.com
T: 06 323 0144
M: 027 521 3338