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

 


NZ And International Investment Welcomed by Farmers

MEDIA RELEASE



27 August 2014

New Zealand And International Investment Welcomed by Farmers

Fonterra Shareholders’ Council Chairman, Ian Brown said today’s announced investments in New Zealand’s milk pools and a global partnership with China’s Beingmate were bold moves that would be welcomed by the Co-operative’s Farmers.

Mr Brown: “There is a direct link between the $555 million investment in the Lichfield and Edendale sites and the $615 million investment in the partnership with Beingmate in that both align with the Fonterra strategy of increasing the volume and value of our milk.

“The investment in New Zealand operations is a real positive and will optimise the Milk Price we receive by enabling our Co-op greater flexibility in deciding which products our milk goes into and when.

“The added employment opportunities in the construction phase and, long term, within our factories will also prove to be a welcome cash injection for the local communities.”

Mr Brown said the partnership with Beingmate was an important step to increasing access to the high value Chinese nutritional powders market and, in doing so, generating greater profit and returns for Fonterra Farmers.

“China is our number one market and demand for our products continues to grow there.

“Having recently visited the China market it’s difficult to overstate the importance of having a local presence and with Beingmate’s established networks and relationships this joint venture will enable us to move further towards consumer products that add margin over the value of milk.

“Today’s announcements provide our Co-op the opportunity to extract maximum value from every drop of milk we produce through the best use of our global assets.”

Fonterra also announced it was holding its 2014/15 forecast Farmgate Milk Price at $6.00 per kg/MS and estimated dividend range of 20-25 cents per share.

Mr Brown said Farmers would be relieved with the announcement but stressed the importance of continued prudent financial planning particularly with the volatility in the market at present.

ENDS


ABOUT THE FONTERRA SHAREHOLDERS’ COUNCIL

The Fonterra Shareholders’ Council represents the interests of Fonterra Farmers to the Board of the Co-operative and plays an active role in monitoring and assessing the governance and performance of Fonterra.

There are 37 Councillors who are all Shareholders elected by their fellow Farmers in wards across New Zealand.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Half Empty: Fonterra's 2017 Opening Forecast Below Expectations

Fonterra Cooperative Group raised its forecast farmgate milk payout for next season by less than expected as the world's largest dairy exporter predicts lower prices will crimp production and supply will pick up. The New Zealand dollar fell. More>>

ALSO:

Pest Control: Mouse Blitz Team Leaves For Antipodes

The Million Dollar Mouse project to rid Antipodes Island of mice is underway with the departure of a rodent eradication team to the remote nature reserve and World Heritage Area. More>>

Gongs Got: Canon Media Awards & NZ Radio Awards Happen

Radio NZ: RNZ website The Wireless, which is co-funded by NZ On Air, was named best website, while Toby Manhire and Toby Morris won the best opinion general writing section for their weekly column on rnz.co.nz and Tess McClure won the best junior feature writer section. More>>

ALSO:

Pre-Budget: Debt Focus Risks Losing Opportunity To Stoke Economy

The Treasury is likely to upgrade its forecasts for economic growth in Budget 2016 next week but Finance Minister Bill English has already signalled that more of his focus is on debt repayment than on fiscal stimulus or tax cuts... More>>

ALSO:

Fulton Hogan's Heroes: Managing Director Nick Miller Resigns

Fulton Hogan managing director Nick Miller will leave the privately owned construction company after seven years in charge. The Dunedin-based company has kicked off a search for a replacement, and Miller will stay on at the helm until March next year, or until a successor has been appointed and a transition period completed. More>>

ALSO:

Gordon Campbell: On Electricity, Executions, And Bob Dylan

The Electricity Authority has unveiled the final version of its pricing plan for electricity transmission. This will change the way transmission prices (which comprise about 10% of the average power bill) are computed, and will add hundreds of dollars a year to power bills for many ordinary consumers. More>>

ALSO:

Half Empty: Fonterra NZ, Australia Milk Collection Drops In Season

Fonterra Cooperative Group says milk collection is down in New Zealand and Australia, its two largest markets, in the first 11 months of the season during a period of weak dairy prices. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news