increase font size
LABOUR SPOKESMAN on Primary Industries Damien O’Connor says Fonterra has been caught short in its crisis management during the botulism scare.
He told Dairy News the co-op’s public relations structure and management have been abysmal, based for years on an assumption that they could manage everything from the boardroom right up to the Prime Minister’s office on their own.
He says Fonterra needs to go back to basics and devise systems that enable them to “act appropriately” when mistakes occur.
O’Connor says he’s concerned about the balance of the Fonterra board – that it contains a growing number of bankers. He’s not convinced farmer shareholders are the problems.
“Perhaps it might be the independents or the mix of the two. It would be unfair to criticise the farmer directors of Fonterra when we have a growing number of directors disconnected from day-to-day farming.
“They’ve now got a responsibility to NZX and I suggest that the fear of unit price or unit values [falling] and responsibilities to the stock market may have led to PR and management decisions that are inappropriate and in hindsight were wrong.”
O’Connor says there is an assumption that the responsibility to the stock market makes everything is more clear and transparent.
“I suggest the exact opposite is true. If you look at some of the corporate failures that have littered the NZX over the last 30 years, that’s certainly the case.”
O’Connor says the true cost of the botulism scare has been grossly underestimated, and that the $2 million allocated by the Government to help companies affected by the fallout is “chicken feed” relative to the investment needed to re-build the integrity of the New Zealand brand.
A Māori-owned agribusiness helping to turn a long-standing animal welfare and waste issue into a high-value protein stream for the dairy and red meat sectors wants more industry support.
Waikato farmer, and Owl Farm demonstration manager, Jo Sheridan is the 2025 Fonterra Dairy Woman of the Year.
As part of preparing for a potential IPO in relation to the divestment process for its global Consumer business and integrated businesses Fonterra Oceania and Sri Lanka, Fonterra has named Anne Templeman-Jones as chair-elect of the Audit and Risk Committee for the Mainland Group board.
Fonterra says it takes the ongoing threat of 'adverse cyber action' extremely seriously.
Despite the turmoil in global markets, Fonterra is continuing with a dual track process to divest its multi-billion dollars consumer businesses.
Business Advisors and Accountants (BFA) and Craigs Investment Partners will be hosting an event later this month where they will take a deeper look at the practical and emotional side of succession planning.
Beef + Lamb New Zealand (B+LNZ) says the Government needs to close loopholes in the guidance around limits on carbon forestry as news of further whole-farm sales emerges.
Sales of premium brand Envy apples are booming in Taiwan.
Sheep milk powder and products exporter Maui Milk is partnering with one of China’s biggest dairy players to boost its market presence.
Ngai Tahu's legal action seeking self-determination (rangatiratanga) over fresh water could have huge implications for the future of farming, the viability of farming businesses, and our wider rural communities, says Federated Farmers national vice president Colin Hurst.
A Māori-owned agribusiness helping to turn a long-standing animal welfare and waste issue into a high-value protein stream for the dairy and red meat sectors wants more industry support.
