What Would Synlait Be Worth to Fonterra or a2 Milk?
Speculation of a possible joint move by Fonterra and a2 Milk to buy Synlait raises a much bigger strategic question, says agribusiness expert Dr Nic Lees.
Calf rearers are reporting a shortage of the co-op’s Ancalf powder; the co-op is reporting unusually high calf numbers this season -- nearly double those of last year. The problem, it seems, is higher numbers of beef calves being reared -- better than milking calves because of the lower milk payout. The shortage is expected to persist for a few weeks, prompting suggested alternatives such as Brown Bag product, early weaning and shifting calves onto meal.
