Westland Dairy Announces Bumper Payout
One of New Zealand¹s most successful dairy companies has announced an increased payout for shareholders and a prediction of good times ahead.
Westland Co-operative Dairy Company is increasing the price paid for milk from $3.70 to $4.25/kg. The company is forecasting an end of season payout of $5/kg. This is up on last year¹s price of $3.77.
"The payout reflects the unique combination of high international prices and the low exchange rate that has occurred this season. Westland has had record growth this year and this payout sends a clear signal about the strength of the company," says Board Chairman, Ian Robb.
Westland¹s milk intake is up 13.5% on last season and is sitting at around 15% ahead of last year on a daily basis.
Total powder production for the year is heading for a record 31 000 tonnes and the company also expects to make 20 000 tonnes of butter this year.
"Westland is going from strength to strength and of course, this is good news for the West Coast economy as well as for our shareholders," says Mr Robb.
Meanwhile Westland is continuing to consider whether to be part of the proposed merger between Kiwi Dairy C-op and New Zealand Dairy Group or to continue as an independent stand-alone company.
Kiwi and Dairy Group have submitted a proposal to the Minister of Agriculture to establish Global Dairy Company (GDC).
"Westland is in negotiations with GDC and is also considering the stand alone option. It is the responsibility of the Board to fully consider all options and what is in the best interest of the company¹s 366 shareholders," says Ian Robb.
"It is not possible to say when a recommendation will be made to our shareholders at this point but the Board will be ensuring that they have appropriate information to make an informed decision."