Posts tagged "Fonterra"

Fonterra negotiates termination deal for Darnum JV with Beingmate

[12 February/NZ Herald] Fonterra has announced that it has taken back full ownership of the Darnum manufacturing plant in Australia, unwinding its processing joint venture with Chinese partner, Beingmate. The exact terms of the separation agreement remain confidential. A Fonterra spokeswoman said the deal had been structured to ensure no cash was paid by the...

Synlait follows Fonterra with lower forecast farm gate payout

[28 January/The Country] Synlait Milk has cut its forecast payout to farmers for the current season, following Fonterra’s lead, as weaker global demand and strong domestic production weighs on market prices. Synlait now expects to pay $6.25 per kilogram of milk solids for the 2019 season, down from its previous forecast of $6.75/kgMS. The company...

Former Fonterra chairman John Wilson dies

[28 January/NZ Herald] John Wilson, Fonterra’s former chairman, has died. Mr Wilson stood down from the top role at the company in July after a serious health scare and Fonterra reported that Mr Wilson, who was in his mid-50s, passed away after a hard-fought battle with illness. He is survived by his wife and four...

Fonterra says milk production running ahead of forecast

[16 January/NZ Herald] Based on production to December, Fonterra is forecasting production for the season to be up 3 per cent from the previous season, standing at 1,550 million kg of milk solids. Chief Executive, Miles Hurrell, noted that production has been boosted by favourable growing conditions, indicating it may increase from 3% over the...

Fonterra sells livestock division to Carrfields

[9 January/Farmers Weekly] Fonterra has reported the sale of Farm Source Livestock division to Carrfields Livestock. Director of Farm Source stores Richard Allen reported the decision to sell was in the context of a larger review underway within the co-op. While Farm Source’s livestock division has contributed positive returns since inception, the investment required to...

a2 Milk appoints former McKinsey, Fonterra execs to management team

[8 January/NZ Herald] The A2 Milk Company (‘A2 Milk’) has appointed a former McKinsey and Co consultant and a former Fonterra executive to new roles in its management team to cover emerging markets and technical issues. A2 Milk reported Melanie Kansil had been appointed its Chief Commercial Officer, effective in the first half of this...

Dairy prices start 2019 with 2.8% gain at GDT auction

[3 January/The Country] Dairy product prices for all products have experienced a gain at the latest Global Dairy Trade (GDT) Auction. NZX Dairy analyst Robert Gibson reported this is partially due to a decline in offer volumes. Whole milk powder prices rose by 1.2% to USD2705 a tonne. Recorded gains came against a pickup in...

John Nicholls elected to Fonterra board

[20 December/Dairy News] Fonterra farmers have elected Canterbury farmer John Nicholls to the board.  Mr Nicholls will take his position with immediate effect.  He received 53% support in the second director election; with the other candidate Jamie Tuuta receiving 37% support. Mr Nicholls’ election means Fonterra farmers have only elected one of the three candidates...

Fonterra ‘green shoots’ emerging for China’s Beingmate

[16 December/NZ Herald] Fonterra is optimistic that Beingmate Baby and Child, the Chinese infant formula company that the co-op has an 18.8% interest in, has turned the corner. The co-op earlier this year wrote down the value of the stake by $405 million. The company has forecast a 28m renminbi (RMB) ($5.9m) to 78m RMB...

Synlait signs up first Waikato-based milk suppliers

[17 December/Dairy News] Listed milk processor Synlait has announced that it has signed up its first Waikato dairy farmers to supply the company’s new Pokeno plant from 2019/20 season. Synlait’s entry into Waikato region provides suppliers of Fonterra and Open Country Dairy, who have dominated the milk supply base in the dairy heartland, with another...

Fonterra to reward and punish farmers over animal welfare and environment

[11 December/Stuff] Fonterra farmers will receive rewards for better care for the environment and their animals and those that fail to meet standards will be disadvantaged from July next year.  The co-op will also be providing farmers with the ability to fix the price of a percentage of their milk in a hedging scheme from...

Fonterra shocks farmers with milk advance payment clawback

[11 December/NZ Herald] Following Fonterra’s announcement of a cut in its forecast milk price for the 2018/19 season the co-op has also informed farmers that it will be resetting the advance payment schedule for season meaning farmers will be getting paid less than they expected in the coming months.  The advance rate for December milk...

Overseas trade buyers most likely for Tip Top

[8 December/NZ Herald] Tip Top is likely to attract interest from local and international trade buyers as well as private equity firms after Fonterra confirmed the ice-cream business was on the market. Investment bank FNZC is running the sale process and is understood to be sending out a term sheet for interested buyers. The Herald...

First sinks coalition partners’ plan for fisheries review NZ

[2 December/Stuff] It has been reported that the New Zealand First party has scuppered plans for a panel to be established to provide expert advice to the government on New Zealand’s fishing industry. Fisheries Minister Stuart Nash planned to revitalise the technical advisory panel, which was set up by the National Government to give expert...

Fonterra makes play for developing countries

[1 December 2018/NZ Herald] Fonterra is making a push to make dairy affordable and accessible for low-income populations in developing regions in the Middle East, Africa, South Asia, and South America. Kelvin Wickham, Chief Operating Officer of Fonterra’s NZMP ingredients business, said Fonterra had previously sold commodity products in bulk into these markets but now...

Two for two: second Fonterra director election limited to two contestants

[27 November/NZ Herald] Fonterra Co-operative Group has announced that a second election for an unfilled director seat on the co-op’s board will be held over the next month. The two candidates will be self-nominated farmer-supported candidate, John Nicholls, and board nominee, Jamie Tuuta, both of whom did not receive sufficient support from shareholders to be...

Fonterra keeps cone of silence on Tip Top sale rumours

[22 November/Otago Daily Times] Fonterra has declined to be drawn on speculation that its New Zealand based ice cream company, Tip Top, may be up for sale as the co-operative looks to streamline its operation. The Australian newspaper said Fonterra is believed to be weighing up a sale of its South American operations, as well...

NZ dairy production hits record in peak October month

[20 November/NZ Herald] Positive growing conditions over spring has driven NZ milk production to a record high of 271.08 million kilos of milksolids in the peak month of October, according to DCANZ data. The previous record was 270.8 million kg in October 2014. October year-on-year milk production was up 6.5 per cent while season to-date...

Fonterra shareholders simmer while embattled company paints brighter future at AGM

[9 November/NZ Herald] Fonterra’s new leadership is receiving support from the co-operative’s shareholders, but the AGM left little doubt that further financial blunders will not be tolerated. There were plenty of questions about Fonterra disappointing financial results for the year and investment decisions that have been made in China. Former Fonterra deputy chairman and shareholder...

DIRA input sought

[3 November/ODT Rural Life] Public consultation has been launched on the review of the Dairy Industry Restructuring Act 2001, the legislation which enabled the formation and operation of Fonterra. The government had announced the review was in process earlier in the year and Agriculture Minister, Damien O’Connor, launched the public consultation at a dairy farm...

Bumper spring milk flow puts pressure on payout

[31 October/NZ Farmer] National milk flows are 5.6% ahead of last season as favourable weather conditions have helped production levels. The growth partly reflects the poor production achieved last year when the weather was either too dry or too wet. ASB Bank economist, Nathan Penny, said that ASB has increased its milk growth forecast from...

NZ dairy farm prices drop 18% as environmental, foreign investment concerns start to bite

[30 October/NZ Herald] The Real Estate Institute of NZ has released figures that indicate the median price per hectare for dairy farms has fallen 18.3% over the last 12 months. Overall, the prices across all categories of agricultural land have fallen 7% on year on year. In commentary, REINZ said that the early spring farm...

Zespri chairman Peter McBride stands down

[31 October/NZ Farmer] Zespri chairman, Peter McBride, has announced that he will resign for the role in February next year and will not seek re-election to the board when his term expires in the middle of next year. Mr McBride had previously told Fonterra shareholders, were he is running for election to the board, that...

ASB’s milk forecast trimmed

[18 October/The Country] ASB decreased its milk price forecast by 25 cents to $6.25 due to a fall in global dairy prices. Prices dropped 0.3 percent this week, and prices had fallen at nine out of the previous 10 auctions. Individual product results were more mixed. According to ASB Senior Rural Economist, Nathan Penny, the...