Strong global dairy commodity prices are expected to be good news for farmers this season

Rabobank says the opening milk gate price, could be around 9 dollar and 50 cents a kilo of milk solids, and could trend up from there.

There's also strong demand with increases in demand for butter and whole milk powder.

Rabobank Senior Agriculture Analyst Emma Higgins, says it's not just a single market which New Zealand will be reliant on.

She says there's a broad spectrum of demand from many different markets which setting that strong price.