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Fonterra CEO Miles Hurrell expects dairy farmers to be cautious when receiving a NZ$3.2 billion capital return next year from the sale of its consumer unit to Lactalis. Some farmers may choose to enjoy part of the windfall, as they have deferred maintenance and capital investments. Fonterra has forecast another strong season for milk prices and is maintaining its projection of paying NZ$10 per kilogram of milksolids in the current season.

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