Provided by NZX
  • FSF6.26


  • Open 6.25 High 6.27 Low 6.24 Bid Price 6.25

    Offer Price 6.27 Value 806790.27 Volume 128981

Current as of 20/01/17 07:39PM NZST

Fonterra shareholders slam dairy bill

Fonterra's Hawera dairy factory. Photo / NZPA
Fonterra's Hawera dairy factory. Photo / NZPA

Fonterra's shareholders' council says the overhaul of the dairy co-operative's enabling legislation will end up regulating farmers' earnings and sapping the life from New Zealand's biggest export.

The Dairy Industry Restructuring Bill, tabled in Parliament this week, replaces the law that allowed Fonterra to be created.

The co-operative will now be monitored by the Commerce Commission over its farm gate price and will be required to disclose its pricing model.

"We haven't seen that sort of thing in New Zealand since the 1970s and no one will increase their investment in an industry at risk of such Government intervention," said shareholders' council chairman Simon Couper.

The bill is part of an omnibus of charges planned for Fonterra.

- BusinessDesk

Get the news delivered straight to your inbox

Receive the day’s news, sport and entertainment in our daily email newsletter


© Copyright 2017, NZME. Publishing Limited

Assembled by: (static) on production bpcf03 at 22 Jan 2017 19:39:21 Processing Time: 418ms