SFF joins the slaughter
Meat processor and exporter Silver Fern Farms Ltd has joined fellow South Island-based meat company Alliance Group in reporting a big loss for the past year.
McCarthy welcomes the results of director elections at Alliance Group and in particular the high voter turnout, but says that farmers must remain engaged to secure the future they want.
"Farmers have spoken, and we have always said that the future of our Co-ops and the industry is in their hands. MIE has always been about giving farmers choice.
"There's clearly momentum for change, and farmers need to maintain the momentum to ensure a co-operative future that is more profitable and sustainable," says McCarthy.
"The fate of the industry may well be decided in the next few months as Silver Fern Farms works through its capital raising," he says.
According to McCarthy Alliance's 'circle the wagons' strategy is not sustainable and the company and its shareholders will be the losers if its board does not look more critically at its strategic challenges.
"Hopefully the wishes of shareholders as expressed in this result will inform Alliance's thinking," he says.
However, while McCarthy is pleased with the work MIE has done to achieve the high levels of farmer participation in the election, he notes that MIE knows the process of industry reform is a multi-year commitment, and they remain in it for the long haul.
MIE's focus will now be on director elections for Silver Fern Farms next year, as well as the publication of its industry research and analysis to put options in front of farmers and processors about pathways to reform.
MIE will continue to endorse farmer candidates at co-op elections next year as part of its push for reform.
