Sue Chetwin, Chief Executive of Consumer New Zealand, today called on the Commerce Select Committee to decide tomorrow, when it meets, to commence a formal inquiry into dairy prices in New Zealand. Consumer NZ leads a coalition of community groups seeking an inquiry into dairy pricing.

The Committee will consider whether to launch such an inquiry tomorrow morning in a public hearing to be held from 9:10 to 9:25 in Parliament Buildings. At that time the Committee will receive a briefing from officials from the Ministry of Agriculture and Forestry.

"New Zealanders were promised a competitive milk market when Fonterra was set up in 2001. After ten years of rising milk prices, it is time for the Committee to hold an inquiry into what has gone wrong," said Ms Chetwin.

Ms Chetwin said that the legislation establishing Fonterra may need to be changed if it has failed to ensure that milk markets are competitive and protect New Zealanders from monopoly milk prices.

"It is outrageous that milk and cheese are so expensive in New Zealand, when this country is one of the biggest producers of dairy produce in the world," said Ms Chetwin.

Ms Chetwin said that the Committee needed to hold an inquiry into dairy markets in New Zealand urgently.

"If there is something wrong with the regulatory framework for milk markets, it needs to be identified and fixed as soon as possible. Kiwis shouldn't have to scrimp and save to buy milk and cheese."

Parliament will be rising in October, said Ms Chetwin, so there is no time to waste.

ENDS

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