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WELLINGTON, Jan. 29 (Xinhua) -- New Zealand's continued dry weather has caused dairy giant Fonterra on Thursday to cut its forecast milk production for the 2014-2015 season, prompting expectations of a lift in dairy prices on the global market.

Fonterra cut its milk volume forecast for the current season to 1.53 billion kg of milk solids, down 3.3 percent from the 1.58 billion kg produced last season and also forecast last month for this season.

Group director co-operative Affairs Miles Hurrell said in a statement that daily milk production was 6.1 percent lower than at the same time last seas