A dairy exporter expects to see some stabilising of dairy prices but thinks prices will stay subdued over the next few months.
Manufacturing, including dairy products, was the biggest contributor to a 1.1% rise in the Gross Domestic Product a measure of the economy's production, in the first three months of the year. That's the fastest quarterly growth in five years.
Good grass-growing conditions helped boost milk production.
But Westland Milk Products chief executive Rod Quinn points out selling that extra milk has been more difficult.
International dairy markets are still working through the over-supply that caused a prolonged fall in dairy commodity prices.
Prices eased back a little in this week's global dairy trade auction following a 13% surge a fortnight ago.
But whole milkpowder prices jumped a further 2.7%.
Mr Quinn says milk powder prices at least are showing some signs of recovery.
