The New Zealand dollar was largely unchanged heading into the week's close as the Thanksgiving holiday in the US sapped trading activity.

The Fonterra Shareholders' Fund meeting heard the payout to farmers would be $390 million.

Fonterra's board and top management faced a tetchy reception at the annual meeting from shareholders looking at two straight years of low milk prices.

Fonterra has affirmed its guidance for the 2016 milk payout to farmers, although chairman John Wilson said it was dependent on next year's global dairy prices.

Fonterra chairman, who had retired by rotation from the co-operative's board, has retained his seat after a shareholder election

International dairy prices are at a "particularly bad" part of the cycle, but are expected to improve substantially in the first half of next year.

Dissidents want to trim the dairy giant's board - is it just a bid to lift performance, or a sign of deeper political tensions?

An improved financial performance from Fonterra over the first quarter is serving to at least partly counterbalance a decline in global dairy prices.

There's some good news from the dairy sector today, with Fonterra saying its financial performance is improving.

Consumer and food service came in at $408 million, up 216 per cent on the previous year's.

Bank of New Zealand cut its forecast for Fonterra Cooperative Group's payout to farmers this season amid continued weakness in dairy prices.

Fonterra boss Theo Spierings wasn't mincing his words this week when asked about rival Synlait Milk's moves to sell cut-price infant formula in China.

Top economist says "racist attitudes" towards Chinese immigration and investment could damage a relationship with China that promises to deliver "big waves".

Fonterra chief executive Theo Spierings says losing Chinese market share to European dairy competitors is a concern for New Zealand.

Any chance of an upgrade in Fonterra's farmer payout became more remote today after a big drop in world dairy prices.

Fonterra's Sri Lanka business has fully recovered after a 2013 food safety scare sparked public protests and forced the temporary closure of its operations there.

China's decision to allow all married couples to have two children will be supportive for the New Zealand dairy industry, but only "at the margin", ANZ Bank said in a commentary.

Fonterra said its milk production hit a seasonal high of 86.9 million litres on October 22 - down 3 per cent from last season's peak.

September saw a 7.2 per cent decrease in milk production.

Fonterra's long-term credit rating has been cut by Fitch Ratings.

World dairy prices were down 3.1 per cent in the latest overnight auction.

Fonterra's milk production is close to hitting its seasonal peak.

Fonterra faces higher borrowing costs now its credit rating has been downgraded from "A" to "A minus".

Fonterra chairman John Wilson has hit back at attempts by former directors to trim the size of the board.

A businessman, 60, is alleged to have acted alone in blackmail scare that said infant formula would be poisoned.

Fonterra has named six candidates for its board at next month's election and pressure has emerged to reduce the number of directors.

An Auckland businessman accused of threatening to contaminate infant formula with the poison 1080 was financially motivated, charge sheets allege.

Police arrest 60-year-old businessman over a threat to contaminate infant formula with the poison 1080.