Archive for the ‘Overseas investment’ Category

Coalition never benefits smaller partner

October 13, 2017

Now the special votes have been counted New Zealand can expect a decision on the formation of a government for the next three years. Who knows, by the time you read this it’s possible if unlikely a result might even be known. But one thing is almost certain – whichever partner New Zealand First chooses will end up getting the credit for a successful coalition, while the junior partner or partners will get the blame for what goes wrong. (more…)

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AFFCO’s first chilled shipment unloaded in China

September 15, 2017

AFFCO chairman Sam Lewis visited China last weekend to greet the first container of AFFCO chilled meat to arrive for distribution to eager food service and retail customers throughout Henan Province in east-central China. The arrival was marked by an official reception at Zhengzhou attended by the NZ Trade Commissioner Liam Corkery, MPI representatives Dave Samuels and Steve Sutton, and a Kangyuan executive. According to Lewis the speed of customs clearance for the consignment was a record for meat shipments, taking no more than three hours for the whole process. (more…)

Beef forecast to stay firm in face of market upheavals

July 4, 2017

Rabobank’s Quarter 2 Beef Quarterly paints a positive picture of global demand and prices for the rest of 2017 in spite, or more probably because, of a series of upheavals and changes affecting the world’s beef trade. (more…)

Fairton closure inevitable

May 25, 2017

Wednesday’s announcement by Silver Fern Farms of the proposal to close the company’s Fairton plant was in many ways inevitable. Even the workforce appears to have been resigned to the probability for several years. Sad as it is for workers and the Ashburton community, it is better to front up to the certainty than to have to wait for the axe to fall. (more…)

Fairton closure unfortunate but inevitable

May 18, 2017

Silver Fern Farms decision to close its Fairton plant did not have much to do with Shanghai Maling’s investment, but was only a matter of time. Even the workforce had apparently come to accept the inevitable after seeing lamb numbers through the plant decline sharply from more than 1 million in 2010 to less than 500,000 last season and 325,000 in the latest six months. (more…)

Blue Sky left searching for positives after Binxi offer lapses

April 13, 2017

Invercargill based meat processor Blue Sky Meats is trying to put a positive spin on its prospects after being advised by Chinese cattle and meat company subsidiary NZ Binxi Oamaru that its takeover offer would not proceed. The main reason for the decision was failure to receive OIO approval by the 20th March deadline, but Binxi also cited a material adverse change in this season’s performance. As a result Blue Sky has advised shareholders they will continue to own their shares, 96% having already accepted the offer. (more…)

Good trade news for red meat – let’s hope it happens quickly

March 30, 2017

The visit by Chinese Premier Li Kequiang has been very positive in several ways for New Zealand’s trade agreements, except for those people who are anti free trade or closer engagement with China (Winston Peters?). After the excitement about the announcement in April last year during the John Key led trade mission, progress on chilled red meat access to China and an upgraded FTA appeared to have gone onto the back burner, until now. (more…)

Trump encourages trade winds to blow cold

February 9, 2017

It hasn’t taken long for the hawkish new US President to throw several cats among the trade pigeons or doves if you prefer. He has wasted no time in signing an executive order to withdraw from the TPP over which 12 countries had slaved for seven years, but now the participant that probably caused the most delay has acted to ensure it won’t happen at all. (more…)

Silver Fern Farms comes crashing back to earth

January 19, 2017

Chairman Rob Hewett wasn’t joking early last year when he warned that the 2016 result would not be in line with budget. The actual result was a $30.6 million after tax loss compared with a profit of $24.5 in 2015, although a significant part of the latest year’s result was attributable to a $22.4 million non-cash accounting writedown related to the anticipated Shanghai Maling investment. Nevertheless, at a more comparable level the net pre-tax operating profit remained in negative territory, producing a $7.5 million loss against $30.8 million in the previous year. (more…)

Meat exporters and farmers must get used to change

November 22, 2016

As if Brexit wasn’t a big enough shock, the US presidential election has really set the cat amongst the pigeons. Commentators of all nationalities and political inclinations have literally no idea how a Trump presidency will affect the world order, from trade agreements and global interest rates to immigration or deportation, let alone internal security issues and relationships with other nations. (more…)