KPMG Backs New Zealand First on Dairy Outlook

KPMG’S AgriBusiness Agenda released at the National Fieldays supports New Zealand First’s outlook for the dairy sector while Fonterra looks set to scythe hundreds of jobs.

“Almost one year ago we warned that relying on just two products, unprocessed logs and milkpowder going to one customer, was not smart for farmers or New Zealand’s future,” says the Rt Hon Winston Peters, Northland MP and Leader of New Zealand First.

“In fact we added; ‘this makes New Zealand a hostage to fortune in the event of a major external shock or disruption.’ This is China increasing its domestic supply and an economic cold war breaking out between Russia, the European Union and the United States.

“KPMG confirms New Zealand First’s view that things are more serious because this government and Fonterra have put all of our cows in the one Chinese paddock. And under the guise of free trade, the Chinese are now coming here to skim the value-added cream off our dairy industry.

“But instead of increasing scientific research in the primary industries to develop new products this government has instead slashed such vital research spending. It is madness.

“And big questions need to be asked by farmers of Fonterra’s Board and its chief executive who have run out of excuses. In desperation they’re turning to the horrifically expensive McKinsey & Co., the same outfit who advised business successes like Enron and Swissair.

“Farmers need to take their co-ops back but there’s only one party in Parliament who’ll put them and New Zealand First,” Mr Peters said.

ENDS

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