Tuesday, 21 February 2012 15:45

DIRA misinformation a worry

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AGRICULTURE MINISTER David Carter has accused Fonterra and the Fonterra Shareholders Council of initially spreading misinformation about the new DIRA regulations.

"I don't think the Shareholders Council got it right and I don't think the initial response from Fonterra correctly interpreted what we were intending to do," he told Rural News last week prior to addressing Federated Farmers Dairy Section Council meeting in Palmerston North.

This is worrying, he says. It needs to go ahead without misinformation. "I'm moving to make sure farmers are more correctly informed."

Carter says he is attending meetings such as the Federated Farmers Dairy Council event to ensure farmers understand what the Government is trying to do. At least 100 emails have been sent to people raising concerns about the new proposals.

"When I've [talked to] some dairy farmers and explained what we are proposing to do, they acknowledge this is completely different from their original interpretation of what was proposed."

Fonterra's claim that under the new legislation it will have to supply the independent companies with 200 million L extra milk annually are refuted. No company can take more than 50 million L.

"So I challenge Fonterra and any dairy farmer to tell me where are the additional four plants being built today that can each take 50 million litres – [able to] take this milk from July 1 onwards. I don't believe they exist."

Carter says the 200-page document setting out the proposals is complex but largely delivers the 'tone' of the 1500 submissions MAF received last September on the raw milk regulations.

"What the majority of those submissions asked for was that we find a way to end the requirement for Fonterra to have to supply these large competitors."

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