MELBOURNE, Oct 27 (Reuters) - Fonterra Australia FCG.NZ said on Thursday it has increased its average farmgate milk price to A$5.10 per kilogram of milk solids (kgMS) for the 2016/17 season, after seeing rises in auction prices in August and September.
"Although the global market remains volatile, since the beginning of the season, global milk supply has continued to decline significantly while demand has remained relatively stable," Fonterra Australia Managing Director René Dedoncker said in a statement.