Burra announces opening price and step up

Burra joins Fonterra, which announced its opening price on Monday, and Bulla, which announced its opening price last month.

The Burra price is $0.30/kg MS lift on its opening price last year.

The $0.10/kg MS step up for this season takes the company's 2020/21 price to $6.30-$6.70/kg MS range.

Burra Foods chief executive officer Stewart Carson said the step up and strong opening price were the result of continued strength in demand for dairy products domestically and internationally.

"Strong demand and our ability to respond to customer needs has allowed Burra to take advantage of historically high market prices and pass this through to our milk supply partners," Mr Carson said.

"China and many South East Asian countries continue to seek high quality dairy products, and Burra is well positioned to supply them."

Having it manufacturing base in Gippsland, one of the most stable milk-producing regions in Australia, was also an advantage.

"Our customer focus continues to be partnering for long-term mutual benefit and the reliability of supply from Gippsland is very important to achieve this," he said.

"We are proud of our Gippsland heritage and the contribution that Burra makes to support the sustainability of our regional dairy communities."

"We expect demand to remain strong well into the FY22 season, giving us confidence in our opening milk price range and will continue to review milk price throughout the season.

"We hope that these prices provide confidence for our Milk Supply Partners when planning for the year ahead."