MEDIA RELEASE
By Farmers for a Better Dairy Deal
5 June 2001
ALTERNATIVE TO GLOBAL CO
NOT TOO LATE
“Global Co leaders are 100% wrong in trying to suggest it’s too late for farmers to look at any alternatives”, said
Malcolm Bailey today in response to claims from Global Co.
“It’s an outrage to tell farmers not to weigh the options. A bit like the school bully bossing the third formers
around”.
“ The plain fact is that our farming leaders have NEVER presented to farmers a well thought-out alternative”, said Mr
Bailey.
“Why hasn’t the 1999 McKinsey report been made available to farmers?” asked Malcolm Bailey. “We paid millions of dollars
for it.”
“After all, Global Co has only – in the last few days – put out their proposal for farmers to vote on. There has been a
moving feast for months now.
“Even now, we don’t know the full Global Co picture”, said Malcolm Bailey. “Government regulations are going to overrule
Global Co’s constitution – but no one has seen the regulations. So what are we voting on? What is the Global Co
package?” asked Mr Bailey.
The short answer is that no one knows because the regulations are still being drafted.
“Our group knows that a two company model came out ahead of Mega Co-op in the McKinsey study”.
“Our group also knows that McKinseys were extremely worried that one co-op would become inefficient.”
“McKinseys said if one mega co-op was to happen, it MUST put certain safeguards ‘hard wired’ in place to stop it from
becoming a big, slack monopoly”.
“Global Co does not have those safeguards”.
“It’s not too late”, stressed Mr Bailey. “It’s never too late to pull back from making a bad mistake – because that’s
what Global Co will be”.
“As farmers, we have the ultimate right to decide. And we are not going to follow tamely behind a plan that does not
stack up – a plan that doesn’t follow expert advice”.
“It’s our duty to make sure that farmers have a strong alternative to consider. It is not too late”.
ENDS
Inquiries:
Malcolm Bailey
Tel (06) 323 8147