Scoop has an Ethical Paywall
Investment rewrite must protect our dairy industry
Investment rewrite must protect our dairy industry from takeover
The Government’s current review of overseas investment needs to take make certain New Zealand retains the ability to block companies like Chinese Government owned Bright Dairy from controlling our dairy industry, Green party Co-leader Dr Russel Norman said today.
Bright Dairy is controlled by the Shanghai Municipal Government and the Chinese Central Government’s State-owned Assets Supervision and Administration Commission, both of which are under the direction of the Chinese Communist Party.
“The Chinese Communist Party has made no secret of its desire to get control of global primary production infrastructure to send cheap agricultural product back to China,” said Dr Norman.
“The takeover of Synlait by Bright Dairy is a bad deal for New Zealand.
“The profits made by Bright Dairy will simply be siphoned out of the country, adding to our chronic balance of payments deficit.
“The milk Bright Dairy takes out of the processing chain in New Zealand could just as easily be processed by Fonterra,” said Dr Norman
New Zealand-owned Fonterra will be required, under the Dairy Industry Restructuring Act, to provide millions of litres of milk to Bright Dairy, effectively subsidising its competitor.
Bright Dairy will then compete against and undercut Fonterra in the Chinese market, selling its milk as ‘New Zealand’ product.
“There is nothing to stop Bright Dairy from mixing New Zealand and Chinese product together in its products throughout the world, while still using the ‘made in New Zealand’ moniker,” said Dr Norman.
“The 2008 melamine scandal affected most dairy companies in China including Bright Dairy.
“This deal therefore actually poses risks to New Zealand’s brand.”
Dr Norman considers that Mr English’s update this week on his overseas investment review must take into account the recent moves by countries like China and Saudi Arabia to purchase large tracts of food producing land and resources around the world.
“Given the advisors to Mr English for his overseas investment review are New Zealand lawyers who work for overseas companies I’m somewhat sceptical the Key Government is taking this issue seriously,” said Dr Norman.
Find out more about the global land
grab:
http://farmlandgrab.org/
ENDS
Gordon Campbell: On The Royal Commission’s Fine-tuning Of Vaccine Mandates And Lockdowns
NZDF: Details From Interim Court Of Inquiry Report Into HMNZS Manawanui Incident Released
Land Air Water Aotearoa: Ambitious Nationwide Initiative To Track And Share Actions To Improve Freshwater
NZ Government: Chemical Weapons And Iranian Missiles Targeted In New Russia Sanctions
Ministry For Culture And Heritage: Reverberations Of Erebus Disaster Still Felt 45 Years Later
Watercare Services: No Cause For Concern After Slightly Elevated Levels Of Arsenic Detected In Treated Waikato River Water
Te Pāti Māori: Government’s First Year A ‘Catastrophe For Māori’
