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Fonterra Welcomes DIRA Announcement

13 October 2010

NEW ZEALAND - Agriculture Minister David Carter today (13 October) announced that the Government will undertake a full review of the Raw Milk Regulations in March 2011.

The Raw Milk Regulations form a key part of the Dairy Industry Restructuring Act (DIRA).

"The Government's goal is to promote a vibrant and innovative dairy sector for the benefit of dairy farmers, consumers of dairy products, and the New Zealand economy," says Mr Carter.

"The Raw Milk Regulations are a key tool to achieve that goal.

"However, during the recent review of the DIRA, submitters raised concerns about the eligibility criteria for access by independent processors.

"The Government shares some of these concerns and will consider them fully in a broader review of the regulations.

"It has been 10 years since the DIRA was introduced and over this time the dairy industry has evolved significantly. It is now appropriate to review the Raw Milk Regulations to ensure that they remain fit for purpose.

"This is likely to consider more than just the eligibility criteria and include the whole range of provisions under the regulations.

"All interested parties will get to have a say as part of the consultation process.

"While this review is a priority for the Government, our primary focus remains on working with Fonterra on its capital structure changes," Mr Carter says.

Fonterra has welcomed the announcement today.

Fonterra Chief Executive, Andrew Ferrier, says: “The dairy industry has moved on since the regulations were put in place ten years ago, and we are looking forward to participating in the review.”

TheCattleSite News Desk



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