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


Freeze Wool Board Reserves - Meat & Wool Section

The Meat and Wool Section of Federated Farmers shares MP Owen Jennings' concern about Wool Board plans for the future of the Wool Board's Reserves.

The Board has advised the Meat and Wool section that they intend to reconstitute the Board into an Incorporated Society.

"There may be justification for such a move. However, we consider that such a move is premature given the uncertainty surrounding the Board's future. Similarly we consider any other long-term commitment of growers money is ill advised," said Section Chairman Chris Lester.

"During recent meetings, the Board has asked growers for approval to use part of the reserves as venture capital in the processing and marketing chain. I do not believe that they have the required mandate for this proposal."

"Wool Board Chairman Bruce Munro believes that the Board should involve itself in biotechnology research and development on farmers' behalf. Again, the Board must realise that they have no such mandate to spend farmers' money on such non-core activities."

"The Meat and Wool Section's view is that growers must call the shots, not the Board. The only way to achieve this is through the deregulation process. This will involve repealing the existing Board statute and adopting processes which utilise the fundamental principles contained in the Commodity Levies Act 1993."

"Most importantly, this will involve a referendum which provides the opportunity for grower levy payers to "call the shots", as Mr Jennings aptly puts it."

"The reserves are the property of wool growers. The Board has no farmer mandate to determine the destiny of those reserves. Our policy, which is widely supported by farmers, is that the reserves should be "frozen" throughout the reform process. Once the future shape of any industry organisation is known, the debate about how to use the reserves should occur," concluded Mr Lester.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>


Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>