More Reasons For Farmers' Co-Operative
NEW ZEALAND - New Zealand First has again urged dairy farmers to give due value to co-operative principles as they assess Fonterra's review of its capital structure.
22 March 2007
1 minute read
“Fonterra was set up by farmers, for farmers. At a time when AFFCO is moving into dairy processing, when international production is expanding, and when European dairy companies are seeking strategies to counteract Fonterra’s massive market power, any decision that puts at risk ownership of the company from the very people it was set up for must be rejected," said the party's rural affairs spokesman Doug Woolerton.
“Overseas farmers covet the success of our farmer-owned co-operative and dream of ways of emulating it. They recognise that it is both the size of the operation and its co-operative structure that contribute to Fonterra's competitive advantage – and they are right!
“Farmers should carefully consider how they can best ensure that they are able to retain control of, and enjoy, income from expanding sales and higher commodity prices. Fonterra must be kept in the hands of New Zealand farmers, it is too valuable an entity to gamble away to foreign investors,” said Mr Woolerton.
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