Battle for milk
OPINION: Fonterra may be on the verge of selling its consumer business in New Zealand, but the co-operative is not keen on giving any ground to its competitors in the country.
Add that to a drop in milk production due to extreme weather this year and the co-op is facing a dilemma of overcapacity. Processing 20% of Australia’s total milk, the co-op suddenly finds itself with more stainless steel than it needs.
Rumours are rife that Fonterra will close one or more of its processing plants there.
Fonterra will announce its annual result on September 12. Watch this space.
