Federated Farmers says a capital gains tax will add unacceptably high costs and complexity.
So says retired Lincoln University professor Keith Woodford, a strong advocate of A2 milk, he says people had tried to “shut him up”.
But he told Federated Farmers dairy conference that the tide has turned.
“Fonterra did not lightly make the decision earlier this year to get into bed with the a2 milk company, having denigrated them on occasions for 20-odd years,” he says.
“Nestle did not lightly take the opportunity earlier this year to start making its own A2 infant formula in China; and Mengniu, one of China’s biggest dairy companies, did not go that way lightly.”
He says dairy industry leaders must keep abreast of development in the A2 milk sector.
“There is science to go with it, don’t ever doubt that,” he says.