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Home / The Country / Listen

DIRA legislation 'past its use-by date' says Fonterra chief

The Country
24 Oct, 2019 06:00 PM2 mins to read

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Fonterra CEO Miles Hurrell. Photo / Dean Purcell

Fonterra CEO Miles Hurrell. Photo / Dean Purcell

Content brought to you by Fonterra.

The Dairy Industry Restructuring Act (DIRA) was passed in 2001 to set rules to regulate Fonterra's dominant position after its formation and help foster a competitive market.

Yesterday Parliament's primary production select committee was reviewing submissions on proposed changes to the DIRA Act.

READ MORE
• Fonterra farmers urge MPs to unshackle cooperative

Fonterra chief executive Miles Hurrell and chairman John Monaghan presented to the select committee on behalf the co-op.

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Hurrell told The Country Early Edition's Andy Thompson that Fonterra called for an end to open entry and exit provisions, more control over new conversions, changes to raw milk regulations and transparency around the milk price for all processors.

Listen below:

Essentially Fonterra was looking for more balance said Hurrell.

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"For competitors in particular, the balance of favour if you like is tilted in their favour. We just think time's up for that".

"Parts of that legislation from our perspective are well past their use-by date".

There will be another round of select committee discussions next week and hopefully some legislation would be drafted up and released for discussion before Christmas, and the taken back to Parliament in February said Hurrell.

"The most important part for us is that we're a farmer-owned co-operative ... only one of two dairy co-op's left in New Zealand".

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Freshwater plan needs a closer look says Fonterra

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Fonterra rivals fear dairy giant will get leg up from law overhaul

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"We think that's really important. We must continue to evolve and remain economically and environmentally sustainable".

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