Sugar stirs something deep inside Graham Milne. The chairman of the Chelsea Gardens Charitable Trust lived in and rented the Birkenhead sugar refinery park manager's house for almost 20 years.
"This was my kids' playground. I've been working on the park for 25 years," he beams, recalling the parks, gardens, ponds and picnic spots that were his family's home from 1978 to 1995.
North Shore City Council worked with a number of trusts and charities over four years to acquire a large part of the Chelsea estate for an undisclosed sum. The 37ha Chelsea Estate Heritage Park was opened to the public in March last year.
Now the trust is trying to create themed gardens between the park and Rawene Reserve, forming a trail to Birkenhead.
"The sugar refinery is a great asset to the community. We're a sugar town. It provided a lot of employment. The historic heritage factor is just fantastic."
However, he's unsure what will happen following a new offer from Singapore-based Wilmar International for the refinery's Australian parent company.
The offer must be approved by Australia's Foreign Investment Review Board and New Zealand's Overseas Investment Office. That is likely to happen before the year's end, but concerns have been expressed to The Aucklander.
In the meantime, Mr Milne — a former North Shore City Councillor — has heard the current owners want to expand and continue using the refinery.
"It's too early for us to know. From what I read of it, there are no problems. The company always let the public come and use the surrounding parklands. I hope we can maintain that relationship."
On June 26, Chelsea general manager Bernard Duignan told The Aucklander the intention is to keep operating a sugar refinery. Contacted again this week, he said he has no further updates.
"Plans for Chelsea Sugar are that it remains a sugar refinery and for it to continue to supply not only New Zealand with the majority of its sugar requirements, as it has for some 130 years, but also continue to grow exports to the Pacific and Asia markets," said Mr Duignan.
The 130-year-old refinery was part of Wilmar's $2.14 billion offer on July 6 to buy all sugar assets, including the refinery, from Australian firm CSR.
Wilmar did not respond to The Aucklander's questions.
Mr Duignan says the refinery provides huge benefits to the region and the country.
"Chelsea Sugar is a significant New Zealand employer, in terms of refining, distributing and marketing sugar. The company contributes some $50 million in export earnings annually to the NZ economy."
Mr Milne has not been in contact with the new owners and doesn't expect to until the conditional agreement is finalised.
"We have an excellent working relationship with management and I understand management will stay," he says, optimistically.
"We will be looking at how we can take the new company into consideration to see that our plans are not in conflict with them."
What's going on
Chelsea sugar products are manufactured by the New Zealand Sugar Co and found in Foodstuffs supermarkets (Four Square, New World, Pak'n Save).
Kerry supplies Progressive supermarkets (Woolworths, Countdown and Foodtown) with Home Brand sugar products.
Wilmar International owns Kerry and is trying to buy NZ Sugar.
Consumers Institute deputy chair David Naulles is concerned about a "concentration" within the industry.
"If they have a degree of market power they tend to dominate the pricing. We would expect the Commerce Commission to look at the entire market, production and importation as part of its decision-making."
Kate Morrison, the commission's enforcement manager, says the deal has not been investigated but the industry is open to other players. There are two other sugar importers: MSugar, formed in 2008, and Natural Sugars NZ, part of a breakaway from Kerry in 2009. Both supply New Zealand and Australian food manufacturers but do not retail.
Natural Sugars' director, Hamish Gordon, says it will be hard for opposing supermarket chains to continue with only one supplier and his company is ready to enter the retail sector.