Synlait is 'Burning Cash, Not Creating Value'
OPINION: Synlait's latest half-year result reveals a serious problem at the heart of the business: its core operations are no longer bringing in enough revenue to cover the cost of production.
The approval enables Synlait Milk to now pack and export retail-ready product from its manufacturing site, having met the New Zealand food safety requirements of the Animal Products Act 1999.
The only exception is for exports of finished infant formula to China. Documentation required to support Synlait Milk's application for registration as an exporter of finished infant formula to China was sent to the Chinese regulatory body today by MPI.
Synlait managing director John Penno says it's a major milestone towards meeting customer demand for total product integrity from grass to glass.
"Today is an important day for our business. We now have an integrated facility on one site that gives us full manufacturing control and delivers on the needs of consumers looking for nutritious and safe food," says Penno.
"The packaging plant provides further support for our value added strategy of supplying high quality finished infant formula and nutritional products to our customers.
"We look forward with confidence to working with authorities in New Zealand and China to achieve registration as soon as possible."
The sophisticated packaging plant was built in nine months at a cost of $28.5 million and is the only one of its kind in the South Island, New Zealand. It has a processing capacity of 30,000 metric tonnes per annum, or around 33 million 900 gram cans of powder.
