fbpx
Print this page
Tuesday, 26 May 2020 10:03

Fonterra’s big break

Written by  Sudesh Kissun
“Right now customer and supply chain management are very important for global players and that’s something that Fonterra does very well,” says Sir Henry van der Heyden. “Right now customer and supply chain management are very important for global players and that’s something that Fonterra does very well,” says Sir Henry van der Heyden.

Former Fonterra chairman Sir Henry van der Heyden believes the co-operative will come out a stronger global player post-COVID-19.

He says the co-op is a great global player with solid customer networks and supply chains.

“Right now these supply chains are stretched in terms of shipping and containers.

“Their relationship with everyone in supply chains – the customer and ultimately the consumer is their strength – I think that’s going to come to the fore.”

Van der Heyden, who served as Fonterra chair from 2002 to 2012, was speaking at a webinar organised by the Rural Support Trust.

After stepping down from Fonterra, van der Heyden has served on high profile company boards. He is currently chairman of Rabobank Australia. Van der Heyden has dairy farming interests in New Zealand and Chile.

So far, Fonterra has come out of the COVID-19 largely unscathed, announcing a $300 million lift in third quarter gross profits.

The co-op says it drawing on its global supply chain and diverse product and customer base to minimise disruptions.

Van der Heyden says Fonterra will stand out even more post-COVID-19 as a global player.

“I think what they stand for will be reinforced.

“Right now customer and supply chain management are very important for global players and that’s something that Fonterra does very well.”

Van der Heyden also spoke about the New Zealand agriculture sector coming out of COVID-19 with well-earned respect. “I think coming out of COVID, the country has realised how important agriculture is from an economic sense.”

He said farmers felt like “lepers” over the last three to four years, even reluctant to tell people that they worked on the land because they were looked down upon.

“Post COVID, the country is realising that they need agriculture, they need cash flows and they need exports.”

At the same time, farmers must farm within environmental limits.

Van der Heyden says he doesn’t know of any farmer who doesn’t worry about environment and sustainability.

 But he wants a balance to be found. Farmers need time to change their farming systems and everyone needs to work together to set environmental targets and find solutions.

More like this

Country’s backbone performs

New Zealand's primary sector has added steel to the country’s economy in the wake of the Covid-19 pandemic, according to a recently released report.

China keeps dairy prices high

Whole milk powder (WMP) prices are now sitting above pre-Covid-19 levels and New Zealand farmers can thank a resurging Chinese economy for that.

Featured

 

Limited feed puts ewes at risk

Severe feed shortages in parts of the country mean many ewes are on a nutritional knife-edge heading into lambing and could be at risk of developing metabolic disorders.

Jack’s unique solution

Jason Jack was left with severe spinal injuries after a wakeboarding accident when he was 29, but that hasn’t stopped him getting out and about in difficult environments.

National

$10 payout!

A small but select group of Fonterra farmers are on the cusp of setting a new milk payout record.

The migrant workers dilemma

Dairy farmers want more Kiwi workers, but they also want relaxed immigration restrictions. So, what's the problem?

Producing milk, the Miraka way

The goal of Māori-owned dairy company Miraka, near Taupo, is to become the most sustainable dairy company in the world.

Machinery & Products

Landpower invests in cow central

One of Australasia’s largest, privately-owned farm machinery distributors, Landpower is building a new $10 million complex adjacent to Hamilton Airport.

Maize moisture in a moment

With forage maize playing such an important part of the New Zealand fodder supply chain, a useful hand-held moisture measuring…