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91% Of Woolgrower Voters Can't Be Wrong

21 August 2000 PR96/2000

91% OF WOOLGROWER VOTERS CAN'T BE WRONG

Federated Farmers' Meat & Fibre Producers Chairman Chris Lester has welcomed the resounding mandate for change received from growers via the referendum on the McKinsey & Co Report to New Zealand Woolgrowers on Improving Profitability.

"The endorsement of over 90% of woolgrower voters of the McKinsey report is excellent news. Growers have given the Board, and the Government, a clear mandate to progress the Wool Board restructure," said Mr Lester.

"The next step is for growers to decide exactly what industry structures they want. New Zealand Meat and Fibre Producers accept that Sheep Co, as the 'industry good' organisation, is an essential component of any new structure. However, the formation of the various proposed commercial entities need to be ratified by growers after considering the business plans and prospectuses for each of the proposed entities."

"NZMFP believes the funding mechanism of 'industry good' activities are an integral part of the restructuring process, and needs careful consideration by growers. Federated Farmers continues to advocate the Commodity Levies Act as the most appropriate funding mechanism for Sheep Co."

"Growers must now ensure the reform process is not captured by any particular group. The best interests of growers must remain paramount," concluded Mr Lester.

ENDS For further information: Chris Lester (025) 978-424 Maxine Yule (04) 473-7269

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