Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Farmer Coop Response to PGG Wrightson Merger


Farmer Cooperative CRT’s Response to PGG Wrightson Merger Proposal

In response to questions on the CRT view of the proposed PGG Wrightson merger, Brent Esler, the Chief Executive of this South Island farmer co-operative, said he believes the merger plans revealed on Tuesday are a direct result of farmers taking ownership in the input supply chain through the formation of co-operatives more than 40 years ago. This is a testimony to the foresight of farmers in the early 1960’s who established what is now CRT.

The current trends of “direct selling” and “re-engineering the supply chain” - are nothing new, CRT has been doing this for the last 40 years – as a farmer owned organisation dealing direct with manufacturers and other suppliers. The success of this movement in lowering the cost of inputs to farmers has been such that investor owned companies have been forced to consolidate to compete. This latest news that there will be just one large investor-owned firm in the market is hardly surprising. Internationally, outside of Australia and New Zealand, there are few, if any, investor owned firms competing in the farm supplies market on a national scale. These markets are dominated by farmer owned organisations and smaller regional companies.

CRT itself evolved from several mergers involving farmer owned co-operatives over the last decade. With the last of these mergers completed in 2003, it has the scale and resources to compete strongly in the farm supplies business, although there are specialised areas in PGG Wrightson where a reduction in competition will concern farmers.

CRT is targeting growth in its market and believes this latest announcement will provide further opportunity to achieve this. CRT will continue to create competition to benefit its’ farmer owners.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news