The NBR reports that Landcorp, PGG Wrightson and Silver Fern Farms are to make a “significant” announcement on Tuesday.
The story is behind the paywall but the grapevine has been speculating since SFF and PGW announced earlier this year they had secured money from the government’s Primary Growth Partnership for a “joint proposal to design a transformational model for the New Zealand red meat sector”.
There is a lot to be said for vertical integration and control of the value chain but I am not sure what value PGW will add.
The Norgate attempt to takeover SFF was a very expensive exercise for PGW.
However, it seems that once bitten isn’t twice shy for them, although Tuesday’s announcement may be for a very different concept.
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Makes me very very suspicious.
A lot like President’s nine most feared words in the english language quote “I am from the government and I am here to help”
I heard a rumour that this may have something to do with a large contract SFF have with Tesco and the fact they may want to make some changes to the way we farm in NZ.
From what I heard this may mean that traditional lambing times may have to change to meet the market.
Anyone else heard this??
Sounds like an unholy trinity to me. Bound to be an unmitigated disaster. Everything PGGW touches turn to crap and I fail to see what Landcorp could bring to the table the would benefit everyday farmers. They already get premiums for their supply continuity at the expense of other farmers.