Co-operative, corporate or hybrid not just a question of structure

The moves by Fonterra and Silver Fern Farms to find new ways of accessing capital to develop their businesses suggest they have both found the co-operative model insufficiently flexible. On the other hand there are several examples of agricultural co-operatives which don’t seem to have the same trouble, notably Alliance, Tatua and Ravensdown.

Silver Fern Farms at a turning point

Now SFF has shareholder approval to restructure as a company quoted on the secondary board with tradable shares, it’s timely to ask who is likely to be in the market as an investor other than existing farmer suppliers. Initially this situation will only arise when existing shareholders elect to sell their shares, because these will be the only shares available.

Animal Status Declarations still a dog’s breakfast

After eight years ASDs are still causing problems for meat plants, because around 7-8% of livestock consignments arrive at the plant with an error on the form. This means the stock technically shouldn’t be accepted for slaughter, but should be returned to the point of origin, either farm or saleyard.

Meat and Wool’s proposition sensible, but funding market development is a challenge

The final proposition sent to farmers this week must be voted on before 28 August, the final result of the referendum to be announced within the following week. Mike Petersen, Chairman of Meat & Wool New Zealand, is confident the proposition reflects what farmers said they wanted during the extensive consultation round from one end of the country to the other over the last three months.