Fonterra’s $3.2b capital return to farmers set to boost rural incomes and NZ economy
According to ASB, Fonterra's plan to sell it's Anchor and Mainlands brands could inject $4.5 billion in additional spending into the economy.
Federated Farmers dairy chair Andrew Hoggard says this will be a huge boost to dairy farmers’ spirits after a difficult spring.
"The weather’s been kicking our guts over the last few months and that’s on top of what everyone knows has been a tough couple of years,” Hoggard says.
"This is going to boost everyone’s morale."
The announcement equates to about an extra 75 cents for the season.
"It’s good news. We are going to see dairy farmers feeling a lot more positive over the next couple of months, which is good news for the entire New Zealand economy," Hoggard says.
