The overnight drop in milk prices shows New Zealand’s overreliance on the dairy industry puts our economy in a vulnerable position, says Acting Labour Leader David Parker.
“Dairy prices fell 7.3 per cent overnight and have almost halved since February. This is bad news that will have knock-on effects for the rest of the economy.
“The figures speak for themselves. Other industries such as export manufacturing are in relative decline. Commentators report that the dairy industry faces a prolonged downturn with other countries now producing their own milk powder leading towards a global surplus.
“Economic commentators have said that National’s weakness is not addressing the long-term challenges we face. These are problems that won’t go away,” says David Parker.