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

 


Fonterra plans to invest in new Indonesian plant

Fonterra plans to invest in new Indonesian plant

By Paul McBeth

April 17 (BusinessDesk) – Fonterra Cooperative Group, the world’s biggest dairy exporter, plans to invest in a new blending and packing plant in Indonesia as it seeks to tap growing Asian demand for high-protein food products.

The plant is expected to be running within 18 months, and will pack and blend New Zealand-sourced ingredients for the Anlene, Anmum and Anchor Boneeto consumer brands to be distributed into the Indonesian market.

Chief executive Theo Spierings announced the plan as part of the Prime Minister John Key-led trade missions to Indonesia, which is the 10th-biggest market for Fonterra and New Zealand’s 10th-largest export destination.

“With such rapid growth forecast in Indonesia, we want to increase our packing and blending capabilities on the ground to support the long-term growth of our business,” Spierings said in a statement.

“While Fonterra’s brands will continue to use New Zealand ingredients, the new plant will support more local secondary processing of the products and help us respond to market needs swiftly,” he said.

The announcement comes a week after the dairy exporter flagged it would spend $100 million to build two more farms in China, when Fonterra said it wants to produce up to one billion litres of milk a year by 2020 across the world’s most populous nation.

Maspiyono Handoyo, president director of Fonterra Brands Indonesia, said the company is looking to work with partners to set up the plant, and is considering its “possible structural options and locations.”

The dairy exporter is seeking to attract external investment to pay for its global aspirations with its controversial Trading Among Farmers project – a scheme that would enable farmers to sell the dividend rights of their shares into a fund, which would then become available for investors to purchase as units in a secondary market.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news