Friday, 11 September 2015 08:00

Fresh start by Fonterra in Oz

Written by 
Costa Pavlou (right), project Manager with the first bottle of milk made at the plant. Costa Pavlou (right), project Manager with the first bottle of milk made at the plant.

Fonterra has started supplying fresh milk to Australian supermarket chain Woolworths from its new multi-million plant in Cobden, western Victoria.

The plant was commissioned last week and will supply Woolworths Select own-brand milk in Victoria for 10 years.

Fonterra Australia managing director Judith Swales says the plant starts a new era at the Cobden site – “an important milestone for our Australian business and a key pillar of our strategy”. 

The plant expansion will generate 50 new jobs and benefit the local community and the co-op’s farmers. It will process up to 100 million litres of milk each year.

The long-term agreement with Woolworths provides certainty for our farmers that they will have a home for their milk, says Swales.

“Everyone involved in the Cobden expansion has done an exceptional job readying the site.”

Over the next four weeks the plant will increase production of Woolworths Select milk for sale across Victoria. It will be officially launched in September.

Australian dairy farmers have welcomed the commissioning of the plant.

Australian Dairy Farmers (ADF) president Noel Campbell says he expects the benefits of the long term contract to flow through to the farmers’ bottom line.

“The duration of Woolworth’s commitment with Fonterra Australia is welcome. Retail contracts with this sort of longevity provide milk processors with the security and certainty they require to invest in the industry’s capability and growth. 

“The ten year contract also gives Fonterra the option to provide longer term contracts to their suppliers. Farmers are always more willing to invest onfarm when they have a certain destination for their product.”

Campbell says ADF would continue to monitor farm gate returns for farmers supplying fresh milk contracts and he encouraged all Australians to buy branded products to support Australian dairy farmers.   

More like this

Fonterra sticking to $10/kgMS milk price

Fonterra has reaffirmed a forecast milk price mid-point of $10/kgMS for its farmer shareholders, with just over two months of the 2024-25 season left to run.

Featured

Pāmu farm opens gate to urban visitors

For many urban New Zealanders, stepping into Pāmu’s Pinta dairy farm near Taupo last month was the first time they had had the chance to experience farm life up close.

Afimilk appoints new general manager

Afimilk, a global dairy farm management solutions provider, has appointed Justin Miller as the new general manager for New Zealand and Australia.

National

Machinery & Products

Gong for NH dealers

New Holland dealers from around Australia and New Zealand came together last month for the Dealer of the Year Awards,…

A true Kiwi ingenuity

The King Cobra raingun continues to have a huge following in the New Zealand market and is also exported to…

Data crucial to managing water

Watermetrics was formed as a water data collector and currently supplies and services modern technology such as flow meters, soil…

» Latest Print Issues Online

Milking It

Dairy power

OPINION: The good times felt across the dairy sector weren't lost at last week's Beef + Lamb NZ annual meeting.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter