Dairy

New Zealand’s rampant dairy growth drawing to a close: Rabobank

[15 August/Stuff: NZ Farmer] A new report from Rabobank New Zealand, Survive or Thrive, says the runaway growth of New Zealand’s dairy industry over the last 20 years will soon come to a standstill as environmental limits are reached. There has already been a marked slowdown in farm conversions and expansion of existing platforms which...

Cow cubicle dairy farm tested in Canterbury

[14 August/Radio New Zealand Country] Mid Canterbury farmer, Willy Leferink, is trialling a life indoors for his dairy herd in a bid to stop effluent polluting waterways. Mr Leferink suggests the stocking levels allowed by Environment Canterbury on dairy land, in a bid to protect waterways, are not high enough to enable farmers to make...

Synlait Milk says US approval for ‘grass-fed’ infant formula delayed by up to a year

[14 August/National Business Review] NZX listed Synlait Milk has said that approval from the US Food and Drug Administration for its ‘grass-fed’ infant formula is taking longer than expected, delaying the launch of the product with US partner, Munchkin Inc. The companies had expected to complete the process this year, but now believe it could...

More transparency sought on Fonterra sales

[15 August/Otago Daily Times] The Commerce Commission has issued its draft report on Fonterra’s 2017 farmgate milk price and while saying the price of $6.15 per kilo of milksolids has met the milk price monitoring regime they have called for the co-operative to be more forthcoming in the information it provides about sales outside of...

Mataura Valley Milk set to begin milking next year

[4 August/ Stuff] Mataura Valley Milk plans to begin milking in August next year. The company will manufacture infant milk formula mainly for export from its nutrition plant at McNab, near Gore. Manager Bernard May said a focus of management for the next six months was continuing recruitment of supplier shareholders and staff. Mr May...

Westland Milk signals higher 2018 payout

[2 August/ NZ Herald] Westland Milk Products expects to pay a higher farmgate price in the 2018 season following ten months of analysis and systems change under new management. The company has cut staff numbers to decrease costs as part of a broader restructuring to process milk and run operations more efficiently after a high-cost...

Beingmate faces delisting warning, Fonterra clarifies Anmum distribution

[3 August/ National Business Review] Beingmate Baby & Child could be delisted from the Shenzen Stock exchange if it reports further financial losses. Fonterra is monitoring Beingmate’s asset sale programme and said its Anmum brand distribution agreement with Beingmate remains unaffected. Beingmate downgraded its $10 million profit earnings forecast to a loss of at least...

Milk fat prices take a break

[3 August/ NZ Herald] ASB Senior Rural Economist Nathan Penny said a slowdown in milk fat prices is likely temporary due to surging demand and tight inventories. Prices overall decreased 1.6 percent. Butter and anhydrous milk both decreased 4.9 percent while skim milk powder fell 3 percent. Whole milk powder prices rose 1.3 percent however...

Coull re-elected FSC chairman

 [26 July/ Rural News Group] Fonterra Shareholders Council Chairman Duncan Coull was re-elected unopposed for another 12-month term. Mr Coull said he understands the responsibility of the role and will continue to put Fonterra shareholders’ interests at the forefront of all council actions. The council’s new Deputy Chairman, Ivan Lines, said he looks forward to...

Lift in dairy payout welcome news for Waikato farmers

[27 July/ Stuff] Waikato farmers have welcomed Fonterra’s 25 cent milk price lift. Fonterra Chairman John Wilson said the increase to $6.75/kg of milk solids for this season mirrors the supply and demand rebalancing in global dairy markets. The lift added an extra $104.5 million to total Waikato farmer incomes and a $39,071 lift in...

No ceiling to fresh milk for China

[27 July/ Rural News Group] Green Valley General Manager Corrie den Haring said Green Valley’s fresh milk exports to China over five years have grown increasingly stronger. Green Valley exports at least 20 tonnes to China weekly. Mr den Haring said some of the company’s lines are being upgraded to meet increased demand. In China,...

Fonterra confirms in early talks with Argentina’s SanCor

[27 July/ NZ Herald] Fonterra Chairman John Wilson has confirmed that Fonterra and SanCor, are considering a possible tie up. Mr Wilson said it is early stages, and Fonterra is talking with different entities globally continuously as that is the nature of its business. One of Argentina’s largest newspapers, La Lacion, said some auditors were...

Butter hits $US6000 per tonne

[20 July/ Otago Daily Times] Butter prices have reached a record high surpassing USD6000/metric tonne in this week’s GlobalDairyTrade auction. Tighter global supply and a pro-milk fat health trend have caused prices to increase. Overall, prices were unchanged this auction, with a 0.2 percent increase. Whole milk powder increased 0.3 percent- marginally lower than futures...

Fonterra to build two cream cheese plants in Canterbury for growing Chinese market

[21 July/ Stuff] Fonterra has decided to build two new cream cheese plants at Darfield, Canterbury at a $150 million cost. The move is driven by the increasing use of dairy products by Chinese consumers. Fonterra’s Director of Global Foodservice, Grant Watson, said the tea macchiato mixes tea with cream and cream cheese and is...

Live cattle export kept secret

[21 July/ NZ Herald] Ocean Drover, the world’s largest livestock carrier docked at Napier Port on 20 July before taking 6000 heifers to China for Fonterra. The shipment was not listed in Napier Port’s shipping guide. Port Services Manager Bruce Lochhead said unlisted visits were not an unusual request. A Fonterra spokesperson said the company...

Dairy Trust Taranaki begins Stratford research project

[17 July/ Stuff] Dairy Trust Taranaki (DTT) has begun a two-herd farm let trial to evaluate the benefits of a covered stand-off and feed pad at the East Rd farm. For the past six weeks, half of the animals have used the covered pad every night and would do so through winter, the remaining animals...

Fonterra’s Maori strategy appointment not universally accepted

[17 July/ National Business Review] Fonterra’s recent appointment of a General Manager of Maori Strategy, Tiaki Hunia, has been questioned in a poll of NBR subscribers. Mr Hunia joins Fonterra from Te Puni Kōkiri and has been involved in many governance and leadership roles with iwi and Industry organisations over the past ten years including...

Beingmate Baby & Child in trading halt pending asset sale

 [13 July/NZ Herald] Beingmate Baby & Child Food had its shares on the Shenzhen stock exchange halted ahead of an asset sale to a related party. Beingmate Baby & Child Food sought the trading halt on 12 July and expects an announcement in the next ten days. Beingmate Baby & Child Food considers Fonterra a...

Butter prices hit a record: 500g at least $5

[13 July/NZ Herald] June butter prices reached a record high of $5.05 per 500g block, compared to $3.38 in June 2016. The average price for a 200g avocado was $4.52 in June 2017, compared with $3.38 in May 2017. Vegetable prices increased 18 percent in the year ended June 2017, led by higher prices for...

Fonterra wins top export award

[11 July/ Rural News Group] ExportNZ Auckland and Waikato gave Fonterra Foodservice the 2017 Supreme Award after the co-op earlier won the Westpac Exporter of the Year category. Chairman John Wilson said the win recognises that the co-op’s product innovation is meeting customer expectations and adapting to rapid key export market change. Fonterra entered the...

Milk needs promotion

 [11 July/ Rural News Group] Nutritional Physiology Professor at Massey University Marlena Kruger has completed a study of the effects of milk on children in the Fonterra milk-for-schools programme, and those who do not. The milk drinkers had significantly better bone health than those who did not, causing Ms Kruger to say that milk and...

WMP lift against auction trend

[6 July/ Otago Daily Times] In this week’s GlobalDairyTrade auction, whole milk powder increased 2.6 percent, against an overall 0.4 percent decline. This went against futures prices before the auction, predicting whole milk prices to decrease 2 percent. The WMP increase cancelled out the previous auction’s 3.3 percent drop and ASB Senior Rural Economist Nathan Penny...

Richie McCaw and Theo Spierings talk about leadership and life lessons

[3 July/ Fonterra YouTube Channel] In 2011 Fonterra CEO, Theo Spierings invited Richie McCaw to partner with Fonterra. Mr McCaw and Mr Spierings spent some time with aspiring leaders to talk about leadership, life’s tough lessons and eliminating noise from outsiders. Mr McCaw said his worst period as an All Black was when the All...

Dairy leading environmental action, says independent review

[4 July/ Stuff] Coutts J&R reviewed the impact on pre-farm gate productivity and profit of the Transforming the Dairy Value Chain Primary Growth Partnership (PGP) programme. The seven-year initiative is a $170 million innovation programme led by commercial partners such as DairyNZ and Fonterra and partnered with the Ministry for Primary Industries. The programme allows...