With all the controversy over the Greens policy on Fonterra, I thought I'd provide a bit of background, and then evaluate the situation consumers find themselves in.
Fonterra, was formed from the amalgamation of NZ Dairy Group and Kiwi Dairies, which originally arose as farmer cooperatives in a similar structure to the current megabrand, from the Waikato and Taranaki respectively.
At the time of the proposed merger, which correctly predicted that the gains in efficiency would deliver improved performance to dairy farmers, there was a concern amongst consumer advocate groups that in the long-term, there would be reduced competition in the market for dairy produce within New Zealand from such a mega-merger.
In fact, this concern was such that the proposed merger was flagged by the Commerce Commission for investigation of the potential of anti-competitive market structure. Especially that, within NZ, at least, it would possess the capability to become a monopolist price setter. Therefore, in response, to allay concerns, the major concessions was with respect to local consumers, that in NZ, the merged entity would have to sell milk to rival firms at the same price it sold to its own distribution and wholesaling outfit.
However, since that time, milk distribution, at least, has consolidated into two main product lines, Fonterra-brands controlled Anchor, and Meadowfresh. This duopoly outcome has highlighted the inherent flaws in the concession granted to local consumers, which allowed Fonterra to come into existence in the first place.
While this was a Labour initiative, to strongarm the Commerce Commission by using enabling legislation, there was largely a bipartisan consensus on this issue. Both the politicians, and the public of New Zealand recognised that this deal would create increased earning potential for farmers, and increase export receipts in a time of increasing trade deficits. They allowed for this cash-cow, pun intended, to be created, and yet now, we see Fonterra taking advantage of this monopoly status that the New Zealand public gave them on the domestic front.
In addition, the dairy industry is a huge producer of negative externalities, be they carbon emissions, increased nitrification of lowland soils, rising river and lake pollution. The New Zealand public, for the most part, has embraced the dairy industry, and its capability to generate enormous windfalls, yet Fonterra, has not returned the favour in any meaningful way other than farmers spending their money here. All relationships require a least a little give and take.
It would be most unfortunate if in order to deliver improved environmental outcomes, and cheaper local prices in fair consideration of what the dairy industry takes (and has been given in the past) by the public of New Zealand, that tighter and increased regulation was necessary. Therefore, in recognition, Fonterra should offer its New Zealand consumers a 20% discount on the world price of exported produce. Good things do indeed take time.
http://newzblog.wordpress.com/2008/06/03/good-things-take-time-time-for-fonterra-to-offer-kiwis-a-better-deal/
I mean, we all at least want those two old buggers to have the chance of catching a fish, right?
Subscribe to:
Post Comments (Atom)
16 comments:
Hello !.
You re, I guess , perhaps very interested to know how one can collect a huge starting capital .
There is no initial capital needed You may start to get income with as small sum of money as 20-100 dollars.
AimTrust is what you thought of all the time
The company represents an offshore structure with advanced asset management technologies in production and delivery of pipes for oil and gas.
It is based in Panama with offices around the world.
Do you want to become really rich in short time?
That`s your choice That`s what you really need!
I feel good, I began to get income with the help of this company,
and I invite you to do the same. If it gets down to choose a correct partner utilizes your money in a right way - that`s the AimTrust!.
I take now up to 2G every day, and my first investment was 500 dollars only!
It`s easy to join , just click this link http://cipemyzi.virtue.nu/katihi.html
and go! Let`s take our chance together to get rid of nastiness of the life
Hello everyone!
I would like to burn a theme at here. There is such a thing, called HYIP, or High Yield Investment Program. It reminds of financial piramyde, but in rare cases one may happen to meet a company that really pays up to 2% daily not on invested money, but from real profits.
For several years , I earn money with the help of these programs.
I don't have problems with money now, but there are heights that must be conquered . I get now up to 2G a day , and I started with funny 500 bucks.
Right now, I'm very close at catching at last a guaranteed variant to make a sharp rise . Turn to my web site to get additional info.
[url=http://theblogmoney.com] Online investment blog[/url]
Hello!
You may probably be very interested to know how one can manage to receive high yields on investments.
There is no need to invest much at first.
You may begin earning with a sum that usually is spent
for daily food, that's 20-100 dollars.
I have been participating in one company's work for several years,
and I'm ready to share my secrets at my blog.
Please visit my pages and send me private message to get the info.
P.S. I make 1000-2000 per daily now.
http://theinvestblog.com [url=http://theinvestblog.com]Online Investment Blog[/url]
Hi!
You may probably be very interested to know how one can make real money on investments.
There is no need to invest much at first.
You may begin to get income with a money that usually is spent
for daily food, that's 20-100 dollars.
I have been participating in one company's work for several years,
and I'm ready to let you know my secrets at my blog.
Please visit blog and send me private message to get the info.
P.S. I make 1000-2000 per day now.
http://theinvestblog.com [url=http://theinvestblog.com]Online Investment Blog[/url]
Nice fill someone in on and this fill someone in on helped me alot in my college assignement. Gratefulness you seeking your information.
hi there ppl. I'm honestly into shoes and I was looking as far as something that meticulous brand. The prices for the velcros were about 170 dollars everwhere. But definitively I found this area selling them someone is concerned half price. I in reality want those [url=http://www.shoesempire.com]prada sneakers[/url]. I will probably buy them. what can you say about it?
Hi everybody!
Let me introduce myself,
my name is Nikolas.
Generally I’m a venturesome gambler. for a long time I’m keen on online-casino and poker.
Not long time ago I started my own blog, where I describe my virtual adventures.
Probably, it will be interesting for you to find out my particular opinion on famous gambling projects.
Please visit my web site. http://allbestcasino.com I’ll be glad would you find time to leave your opinion.
good afternoon bros. I'm honestly into shoes and I had been digging for that singular brand. The prices as regards the velcros are about 190 dollars everwhere. But for all I base this location selling them for the benefit of half price. I in reality want these [url=http://www.shoesempire.com]gucci sneakers[/url]. I will absolutely order them. what can you say about it?
good day dudes. I'm actually into shoes and I was searching allowing for regarding that exact brand. The prices as regards the boots were around 250 bucks on every site. But finally I bring about this site selling them for half price. I absolutely like these [url=http://www.shoesempire.com]gucci sneakers[/url]. I will definetly buy these. what do you think?
期待你每一篇文章.................................................................
check TnpLjdtz [URL=http://www.cheapdesigner--handbags.weebly.com/]replica designer purses[/URL] online shopping CvZjtGMF [URL=http://www.cheapdesigner--handbags.weebly.com/ ] http://www.cheapdesigner--handbags.weebly.com/ [/URL]
get cheap BmTXTwzK [URL=http://www.cheapdesigner--handbags.weebly.com/]designer outlet[/URL] at my estore bUIXjkmL [URL=http://www.cheapdesigner--handbags.weebly.com/ ] http://www.cheapdesigner--handbags.weebly.com/ [/URL]
Pretty component of content. I just stumbled upon your site
and in accession capital to assert that I acquire actually enjoyed account your blog posts.
Any way I'll be subscribing to your augment or even I success you get right of entry to persistently rapidly.
Stop by my website ... best beat maker
online dating site uk http://loveepicentre.com/testimonials/ mactching dating site
free irish dating websites [url=http://loveepicentre.com/advice/]descret dating[/url] dating fender amps musicmaster bass
horse people dating service [url=http://loveepicentre.com/success_stories/]adult dating chatting[/url] quest chat dating [url=http://loveepicentre.com/user/moinu/]moinu[/url] free fetish dating sites
online dating hookup http://loveepicentre.com/contact/ dating going out
crispen glover dating amanda haurd [url=http://loveepicentre.com/testimonials/]bryan redfield dating system[/url] matters of life dating
dating 30s [url=http://loveepicentre.com/articles/]example sentence for radiometric dating[/url] not dating anymore [url=http://loveepicentre.com/user/callmerevo/]callmerevo[/url] dating game roms
full service ukraine dating http://loveepicentre.com/articles/ dating site for australian
brisbane cougar dating [url=http://loveepicentre.com/advice/]ways to get back into dating[/url] free hentai dating sim download
singles dating new jersey [url=http://loveepicentre.com/advice/]dating someone with brain injury[/url] women who need money dating [url=http://loveepicentre.com/user/gabrielandres2/]gabrielandres2[/url] double your dating techniques
Post a Comment