Finally, after months of on-again off-again merger and consolidation in the meat industry, we are getting to the (pardon the pun) meaty end of the debate.

Southland-based co-operative meat processor Alliance Group will hold a special meeting on Friday to vote on resolutions put forward by the Meat Industry Action Group.

Rival Dunedin-based co-operative Silver Fern Farms will hold a similar meeting on October 7.

The resolutions don't mess about.

The group wants shareholder support for the creation of a single farmer-owned co-operative, the co-operative boards to work together, a constitutional committee with an action group-appointed chairman and more meetings in March to remove and re-elect all directors.

The objective is to create a farmer-controlled, market-led company that accounts for 80 per cent of red meat procurement, processing and marketing.

If shareholders vote "yes" then Alliance's directors will have to fall into line or they could find themselves booted out in just over six months time, while the action group-appointed committee chairman has the power to exclude anyone from regular meetings not representing the wishes of shareholders.

The Alliance board is recommending shareholders vote "no".

The resolutions, it says, give unacceptable power to the action-group-appointed chairman and undermine board responsibilities, plus a stand-alone merger with Silver Fern is poor with unacceptable risks.

If the directors believe the resolutions are not in the best interest of the company then a "yes" vote could trigger a board exodus well before six months is up.

Would it be ethical to toe the line if you think you're doing the wrong thing and would they want to work with an action group committee chairman ready to smack their hands?

Alliance turned down an opportunity to merge with Silver Fern Farms last year and then an industry mega-merger proposed by Alliance came to nothing in April, lacking agreement with Silver Fern.

Alliance says the opportunity for a wider industry mega-merger has gone.

On Friday the co-operative said it had concluded a series of annual meetings and that shareholders were not attracted to a merger with Silver Fern, particularly with the involvement of PGG Wrightson.