Tuesday, 26 June 2012 09:10

More safeguards needed : O’Connor

Written by 

Fonterra' s vote on Trading Among Farmers means more safeguards are needed in the proposed legislation to protect farmer control and ownership, Labour's Primary Industries spokesperson Damien O'Connor says.

"When the law changes voted on by farmers today first came in front of Parliament, we (Labour) said protections need to be locked into law because putting them into Fonterra's constitution is not enough," O'Connor says.

"Our fears have been realised with constitutional amendments to lock in farmer ownership only receiving 72.8% of the vote. Changing the constitution requires a 75% vote so they haven't been adopted.

"The result is that farmers have voted for trading among farmers, but even though there were more votes for the protection measures they haven't passed.

"If trading among farmers goes ahead without Labour's proposed amendment, control of Fonterra and its profits could pass to non-farmers and potentially out of New Zealand," O'Connor says.

More like this

Fonterra trims board size

Fonterra’s board has been reduced to nine - comprising six farmer-elected and three appointed directors.

Returns 'not good enough'

Fonterra leaders are making their case for offloading the co-operative's $3 billion consumer business, noting that its return on capital has been nowhere near respectable.

Record milk price!

A record farmgate milk price for Fonterra shareholders is all but confirmed for this season.

Chinese strategy

OPINION: Fonterra may have sold its dairy farms in China but the appetite for collaboration with the country remains strong.

Featured

Massey Research Field Day attracts huge interest

More than 200 people turned out on Thursday, November 21 to see what progress has been made on one of NZ's biggest and most comprehensive agriculture research programmes on regenerative agriculture.

Expo set to wow again

Stellar speakers, top-notch trade sites, innovation, technology and connections are all on offer at the 2025 East Coast Farming Expo being once again hosted in Wairoa in February.

A year of global challenges

As a guest of the Italian Trade Association, Rural News Group Machinery Editor Mark Daniel took the opportunity to make an early November dash to Bologna to the 46th EIMA exhibition.

National

Winter grazing warning

Every time people from overseas see photographs of cows up to their hocks in mud it's bad for New Zealand.

ANZ defends farm lending rates

The country's largest lender to the agriculture sector says it's not favouring home loans over farm and business lending.

Machinery & Products

Expo set to wow again

Stellar speakers, top-notch trade sites, innovation, technology and connections are all on offer at the 2025 East Coast Farming Expo…

A year of global challenges

As a guest of the Italian Trade Association, Rural News Group Machinery Editor Mark Daniel took the opportunity to make…

» Latest Print Issues Online

The Hound

Review SOEs!

OPINION: NIWA has long weathered complaints about alleged stifling of competition in forecasting, and more recently, claims of lack of…

Bank reset

OPINION: Adding to calls to get banks to 'back off', NZ Agri Brokers director Andrew Laming has revealed that the…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter