increase font size
Fonterra farmers don’t want Farm Source to reduce face-to-face interactions on farm.
A review of Fonterra's Farm Source retail business that could reduce the co-op's face-to-face interaction with farmer shareholders is causing concern.
Fonterra shareholders are unhappy with moves to reduce the number of Farm Source area managers, who work with farmer shareholders inside the farmgate.
On the New Zealand Dairy Farmers Facebook page, which has over 30,000 members, farmers have been venting their frustration on possible reduction of face-to-face support. The Facebook page claims Fonterra intends to reduce the number of area numbers from 45 to 20.
"I don't think reducing the number of area managers is a good decision in the current time given how much uncertainty we are all dealing with," complained one farmers.
Another Waikato farmer says she spoke recently with a Fonterra director.
"There have been more calls to him on this management move than any other issue he's had while on the board," she says.
Another dairy and beef farmer from Waikato warns that reducing the number of area managers will be a step backwards.
"Face to face is paramount with all the issues and regulations coming our way. Online is not the answer at this time.
"Smaller teams are not more agile, not more available: smaller senior management works but feet on the ground is essential."
Fonterra farmers are also raising the issue with board members and the Fonterra Co-operative Council.
Council chair John Stevenson told Dairy News that questions on specific details of the proposal should be directed towards Fonterra management.
Stevenson says the council is not consulted on proposals between Fonterra and its staff.
"We are not part of the decision-making process. Our role is to represent Fonterra farmers," he says.
But he confirmed that councillors have received a considerable amount of feedback from Fonterra farmers recently.
"Counil has heard that Fonterra farmers are passionate about their co-operative, the level of support that they expect and the people that directly support them.
"Council is actively communicating that farmer feedback and sentiment to the board."
Stevenson says over the last 18 months, the council has regularly provided feedback to the board and to management on the importance and expectation of face-to-face support for Fonterra farmers.
He says support for Fonterra farmers is critical, especially during the current period of significant change.
"Council will continue to represent the interests of members and will pass on any further feedback received. Council is awaiting the outcome of this process before it can comment publicly in more detail," he says.
A Fonterra spokesperson told Dairy News that the proposed changes are subject to consultation with their team.
"No decisions have been made yet, so it would be inappropriate for us to comment further at this stage."
Farm Source has 68 stores around the country. It also employs area managers and sustainability and farm management advisors who interact with farmers.
The Farm Source website says it is "all about connecting with and supporting our farmers".
"In the community, on farm and in store, we bring the collective strength of the Fonterra co-op to help our farmers get the products, services and advice they need to run their farms successfully."
Foreign Affairs Minister Winston Peters has joined the debate around the proposed sale of Fonterra’s consumer and related businesses, demanding answers from the co-operative around its milk supply deal with the buyer, Lactalis.
OPINION: Farmer shareholders of two of New Zealand's largest co-operatives have an important decision to make this month and what they decide could change the landscape of the dairy and meat sectors in New Zealand.
OPINION: As CEO of the Dairy Board in the 1980s I was fortunate to work with a team of experienced and capable executives who made most of the brand investments that created the international consumer business Fonterra inherited. Soprole in Chile was the largest, but there were more than 20 countries where consumer marketing companies were established and Anchor and other brands were successfully launched.
Fonterra has delivered a fifth straight year of record organic milk price for farmer suppliers.
Fonterra says favourable weather conditions supporting pasture growth is boosting milk production.
Like many manufacturers around the world, European agricultural machinery and tractor manufacturers are currently operating in a difficult market environment. But they are heading to the world’s largest agricultural machinery event in Hanover next month with a degree of cautious optimism.
Established in 2021, the John Deere Technician of the Year Awards champion the important contribution parts and service technicians make to the Australian and New Zealand agriculture, construction and forestry industries.
Beef + Lamb New Zealand (B+LNZ) is calling on farmers from all regions to take part in the final season of the Sheep Poo Study aiming to build a clearer picture of how facial eczema (FE) affects farms across New Zealand.
New Zealand is closer to eradicating bovine TB than ever before, but possums remain a threat, says Beef + Lamb New Zealand.
Foreign Affairs Minister Winston Peters has joined the debate around the proposed sale of Fonterra’s consumer and related businesses, demanding answers from the co-operative around its milk supply deal with the buyer, Lactalis.
The ACT Party says media reports that global dairy giant Nestle has withdrawn from the Dairy Methane Action Alliance shows why New Zealand needs to rethink its approach to climate.
