Westland Milk Products is taking a cautious approach to its forecast opening payout for the new dairy season, well below what Fonterra’s announced.

The West Coast dairy co-op predicts a payout of $5.80 - $6.20 per kg of milk solids to  its 330 farmer shareholders, for the 2010/11 season, starting in August.

That’s almost $1 less than Fonterra.

Chief executive Rod Quin says the opening forecast could be higher but he says Westland prefers  a more prudent approach.

This season's forecast payout has been lifted by 10 cents, to between $6.20 - $6.40 per kg of milk solids, Westland's second highest milk payout.