fbpx
Print this page
Tuesday, 12 February 2019 07:55

Regional NZ fuelling China’s appetite

Written by  Sudesh Kissun
Fonterra produced and exported $3.8 billion in dairy products to China in 2017/18. Fonterra produced and exported $3.8 billion in dairy products to China in 2017/18.

Regional New Zealand is punching above its weight in the relationship with its biggest trading partner, China.

Fonterra’s chief operating officer global operations, Rob Spurway, says increasing Chinese appetite for NZ dairy is helping drive our region’s economies and now 11% of all dairy in China comes from Fonterra farmers.

In a message to mark the Chinese Year of the Pig last week, Spurway noted that last year NZ exports to China were worth at least $16.6 billion, and $3.8b of that was generated by Fonterra in rural and regional NZ. 

In total, about 25% of Fonterra’s exports go to China and are consumed by about 150 million people.

“We’re not just talking about milk powder either,” says Spurway.

Fonterra mozzarella tops at least 500 million pizzas and NZ cream goes into 500 million tea macchiatos every year.  “A little bit of NZ is ending up on shelves and tables across China and in return that product is helping put food on Kiwi tables,” he adds.

China export earnings help generate income for forklift drivers in Darfield, Maungaturoto tanker operators, cheesemakers in Stirling and processors at the co-op’s plant in Te Awamutu, Spurway says. 

“The benefits of our relationship with China flow into communities as our employees and farmers support businesses, schools and other local organisations across the country.”

Waikato is among Fonterra’s biggest regions for China exports, totalling $1.2b in cream, cheese and milk powder -- about $2500 per person in the region.

Of Fonterra’s 30 NZ sites, Clandeboye in Canterbury was the top producer, exporting about $566m of products to China, Southland’s Edendale exported nearly $560m and Whareroa, Taranaki exported $437m.

Chinese consumer demand has a year-long positive effect, says Spurway.

“I’m fortunate my job has taken me to China a fair number of times and my sense of pride is as strong as ever when I see our products on shelves, in bakeries and in beverages. 

“It’s special knowing that a little bit of regional and rural NZ has found its way into the lives of people in Shanghai, Beijing and Dongguan.”

More like this

Featured

NZEI unhappy with funding cut for teachers

Education union NZEI Te Riu Roa says that while educators will support the Government’s investment in learning support, they’re likely to be disappointed that it has been paid for by defunding expert teachers.

EU regulations unfairly threaten $200m exports

A European Union regulation ensuring that the products its citizens consume do not contribute to deforestation or forest degradation worldwide threatens $200m of New Zealand beef and leather exports.

Bionic Plus back on vet clinic shelves

A long-acting, controlled- release capsule designed to protect ewes from internal parasites during the lambing period is back on the market following a comprehensive reassessment.

National

Top ag scientist to advise PM

A highly experienced agricultural scientist with specialist knowledge of the dairy sector is the Prime Minister's new Chief Science Advisor.

Machinery & Products

Hose runner saves time and effort

Rakaia-based equipment manufacturer Pluck’s Engineering will soon start production of a new machine designed to simplify the deployment and retrieval…