Kiwi Dairy Board gets aggressive
THE New Zealand Dairy Board plans to rise above current criticism of its activities with an assault on world markets, according to the Financial Times.
The countrys biggest export earner has faced calls to abolish its cooperative structure and criticism from farmers because of low commodity prices.
John Storey, the boards new chairman, has pushed through proposals which he hopes will boost its 31% share of the world dairy market to 42%.
Under Mr Storeys plan, the old regional cooperative structure will be changed in favour of five new global product teams that will work to sell new branded products.
The boards new financial targets include lifting the return on gross assets by up to 4% and increasing sales from around NZ$ 7.5 billion (£2.5bn) to nearer NZ$10bn by 2004.
But there are still a few local difficulties, not least the boards intention to sell spreadable butter to Europe which has been referred to the World Trade Organisation.
There is also concern about a European Court of Auditors report into the boards certification process.
- NZ farms fight deregulation, FWi, 16 October, 1998
- NZ dairying will be competitive, FWi, 12 June, 1998
- Financial Times 25/02/99 page 40
- The Herald 25/02/99 page