fbpx
Print this page
Wednesday, 28 January 2015 14:59

Governance at meat co-ops back in spotlight

Written by 
John McCarthy, MIE chairman. John McCarthy, MIE chairman.

The Silver Fern Farms director elections have again highlighted the need to improve corporate governance at the country’s meat cooperatives, says Meat Industry Excellence (MIE) chairman John McCarthy.

 Last week, the Silver Fern Farms chairman, one of the farmer-elected directors up for re-election, effectively endorsed another of the three candidates by calling for no change on the board.

“This is entirely inappropriate for a co-operative chairman, especially one up for re-election himself who is one of three candidates in the electoral process,” says McCarthy.

“We saw it during the Alliance elections, and this is further evidence of the need to improve governance standards at our co-ops.”

McCarthy says that farmers are frustrated at the poor levels of transparency and accountability exhibited by their co-ops. Many meat farmers feel cheated by what could be interpreted as a lack of honesty at last year’s co-op company farmer meetings.

“The promises are turning to dust, like our pastures. The $100+ a lamb of last year was an aberration and we’re back to worse than a year ago,” he says

McCarthy says the situation is much worse when one takes into account our currency slide against the $US. With schedules falling again, he believes the co-ops are stretching farmer loyalty to the limit.

“While they were busy telling us how things were looking up, it appears they were planning new year price cuts, and downward revisions of schedules,” says McCarthy.

“On top of climatic challenges, this is putting farmers under real stress.”

McCarthy believes that farmers deserved better in terms of cooperative governance, and needed to exercise their votes carefully.

“The status quo is not delivering.  Shareholders ought not to be being directed by a co-op chairman who is himself in the electoral race.”

“We’re talking about New Zealand’s second biggest export industry, and it’s in serious decline, and a big part of this is due to poor governance at our co-ops.”

More like this

Back and better!

Meat company Silver Fern Farms (SFF) says it is back in the international market in a big way and aiming for bigger and better returns for its farmers.

Coronavirus situation ‘dynamic’ – SFF

Silver Fern Farms is giving weekly reports to its suppliers to keep them abreast of what it describes as a ‘dynamic situation in China and one that could change very quickly’.

Featured

Rural GP's inspiring legacy

The legacy of Dr Peter Snow continues to inspire as the recipients of the 2023 and 2024 Peter Snow Memorial Awards were announced at the recent National Rural Health Conference.

McIvor moving to OSPRI

Beef + Lamb New Zealand chief executive for the past eight years, Sam McIvor is heading for new pastures at Ospri, which runs NZ’s integrated animal disease management and traceability service.

Off the radar

A year on and the problems created by Cyclones Hale and Gabrielle has largely dropped off the radar of media and politicians.

National

Well said at the shed

Less Wellington bureucracy and more local, on-farm common sense was the focus of recent meetings held in South Canterbury as…

Machinery & Products

Factory clocks up 60 years

There can't be many heavy metal fans who haven’t heard of Basildon, situated about 40km east of London and originally…

PM opens new Power Farming facility

Morrinsville based Power Farming Group has launched a flagship New Zealand facility in partnership with global construction manufacturer JCB Construction.