Australian fresh milk currently retails in a range of A$8-10 per litre in China, where farming issues related to arable land, water and access to feed impact the local industry.
We pay $1 a litre in OZ ..and they Know it = Jealousy ..Rage..Conviction to lower milk prices.
Milk prices will Tumble in China next year ..thats the PLAN by the Chinese ..
to Swallow up as many Dairy farms worldwide as possible
to Control Supply into China and lower Raw material Prices.
to lower Input costs of Raw materials ..thru Oversupply .
it worked in
Coal = Prices destroyed ..thru over supply .
Iron Ore = Ruined industry outlook
Copper = Ruined copper Miners everywhere
Steel = decimated world Steel prices
Zinc = Lowest price in recent history
OIL = still falling ..as Chines Demand stalls ..Solar power + electric Vehicles.
Milk will be the same tactic.
Ramp up production ..lower high Milk prices in China for ever .
then later ..Takeover the Struggling dairy farms ..that are over leveraged by Capex Debt
Sold off to the Chines .. at a faction of the Development upgrade Capex spent on them.
I Dont trust the Chines ..or Can rely on stable High milk prices.
the CCF project deal is done ..the Chines have what they want now .. the Milk Deal.
then later its the Farm at a Discount to its Capex...as Milk prices Fall in china.
CCF support zone is now at 9c ..1 look at the weekly Chart ..tells it all
Volume has Died ..its now looking for Solid buyer support as it drifts lower.
CCF Price at posting:
13.0¢ Sentiment: None Disclosure: Not Held
