Fonterra opposes DIRA proposals

January 24, 2012

The government has opened consultation on its proposed response to reviews of Fonterra’s farm gate milk price setting and the Raw Milk Regulations.

Primary Industries Minister David Carter says comprehensive work by the Ministry of Agriculture and Forestry, with input from economic, regulatory and legal experts, has resulted in a set of preferred options for amendments to the Dairy Industry Restructuring Act (DIRA) and the Raw Milk Regulations.

The review recommends:

  • embedding Fonterra’s current milk price governance arrangements in legislation
  • requiring Fonterra to publicly disclose information about its milk price setting
  • introducing an annual milk price monitoring regime to be undertaken by the Commerce Commission

And:

The preferred option for the revised Raw Milk Regulations recommends:

  • a three-season limit for independent processors who source raw milk directly from farmer
  • an increase in the total quantity of milk available under the Raw Milk Regulations to approximately 5% of Fonterra’s milk supply, as currently allowed for in the DIRA
  • a range of maximum quantity limits for independent processors accessing milk under the Raw Milk Regulations in different months to reflect the seasonal nature of milk production.

Fonterra is far from happy and says foreign-owned processors will benefit  at the expense of  farmers and domestic consumers:

Fonterra Chairman Sir Henry van der Heyden said the proposed changes to Raw Milk Regulations won’t work and will have New Zealanders subsidising increasingly foreign-owned dairy processors that don’t sell milk in New Zealand and who send their products and profits offshore.

“The Government’s move to require more raw milk to be handed over to increasingly foreign-owned dairy companies operating in New Zealand will impose nearly $200 million of additional costs over the next three years alone and work against our efforts to reduce the price of milk in New Zealand,” Sir Henry says.

“That’s because not one of the six other major dairy processors supplies milk to New Zealanders,” he says.

“The proposed changes will see windfall profits head straight into the pockets of increasingly foreign-owned dairy co mpanies and will hinder, rather than help, New Zealanders get access to affordable milk.”

The DIRA was supposed to protect domestic consumers and competitors from Fonterra’s dominant position. It wasn’t supposed to protect foreign competitors.


Apostrophes, commas and hugs

January 24, 2012

Discussion with Jim Mora on Critical Mass this afternoon was sparked by:

An apostrolapse at Waterstones

The logical necessity of the Oxford comma

Do hugs really make us happier?


Traffic jams

January 24, 2012

The radio report on traffic conditions mentioned hold-ups in Auckland.

Meanwhile, back in Otago the only traffic jam I struck in the couple of hundred kilometres between Wanaka and home yesterday was a small herd of calves.


10/10

January 24, 2012

10/10 in the Herald’s politics quiz.


They came, they messed

January 24, 2012

They came, they messed but they made no difference to whatever it was they were protesting against.

Now the people camping in public places are being moved by the council with the police’s help and they’re trying to portray it as an abuse of their right to protest.

It isn’t.

They have a right to protest but that right is not unlimited.

It doesn’t trump the right of other people to enjoy public spaces unimpeded by tents and free of  waste.

Nor does it give the campers the right to protest in a way which imposes costs on ratepayers.

Evicting the protesters is not abusing their right to protest.

It’s not making a judgement on their message or their right to deliver it.

It’s merely telling them they can’t continue to protest in a way which interferes with the right of others to use a public space, causes damage and imposes costs.


CCC needs unity

January 24, 2012

We can’t blame the water – Christchurch is reputed to have the purest supply of any city in the country.

But something’s rotten in the city. ECan turned into ECan’t and matters got so bad the government stepped in and replaced the regional council with commissioners.

Now the city council is exhibiting signs of major dysfunction.

Councillor Tim Carter has called for a commissioner to replace chief executive Tony Marryatt and Councillor Sue Wells wants the government to sack the whole council and appoint a commissioner.

The idea of a unitary authority combining the regional council commisioners, CERRA and the city council has its appeal. The city is facing an extraordinary situation and the ordinary democratic system is showing the strain. But the government isn’t considering that:

The Government will not “interfere” in the troubled Christchurch City Council, says Local Government Minister Nick Smith.

Smith, who visited Christchurch today, said the Government had no plans to appoint commissioners to run the council, despite calls to do so from two councillors.

Problems at the council were “not entirely surprising”, given the scale of the challenge facing the council, but needed to be dealt with without government intervention, he said.

If central government isn’t going to interfere the local one must get its act together.

Polling before the 2010 local body elections indicated that Jim Anderton would win his challenge against mayor Bob Parker which was far from a vote of confidence in the latter.

But the September earthquake turned the tide and Parker was re-elected.

There were rumbles of dis-satisfaction about the chief executive but he was re-appointed in a decision supported by a majority of councillors.

Whether either of these decisions was in the best interests of the city is irrelevant. That’s what democracy delivered.

If councillors aren’t happy with what’s happening they have to persuade a majority of their colleagues to agree with them to get change or accept they’re in the minority and either shut up or resign.

Christchurch people have had more than enough trouble from nature they don’t need more from their council. The people and their city need unity and action any councillors who can’t deliver both should not be in that role.

 

 


January 24 in history

January 24, 2012

41 Gaius Caesar (Caligula), known for his eccentricity and cruel despotism, was assassinated by his disgruntled Praetorian Guards. Claudius succeeded his nephew.

76 – Hadrian, Roman Emperor, was born (d. 138).

1670  William Congreve, English playwright, was born (d. 1729).

1679 – King Charles II disbanded Parliament.

1742 – Charles VII Albert became Holy Roman Emperor.

1848 – California Gold Rush: James W. Marshall found gold at Sutter’s Mill near Sacramento.

1857 The University of Calcutta was formally founded as the first full-fledged university in south Asia.

1859  Political union of Moldavia and Wallachia; Alexandru Ioan Cuza was elected as ruler.

1862  Bucharest proclaimed capital of Romania.

1864 Marguerite Durand, French feminist leader, was born (d. 1936).

1865 General Cameron left Wanganui with 1200 Imperial troops to invade southern Taranaki.

Imperial forces invade South Taranaki
1872 Ethel Turner, Australian author, was born (d. 1958).

1916 – In Brushaber v. Union Pacific Railroad, the Supreme Court of the United States declared the federal income tax constitutional.

1924 –Petrograd, formerly Saint Petersburg, was renamed Leningrad.

1928 Desmond Morris, British anthropologist, was born.

1930 – Bernard Matthews, British poultry industry figure , was born (d. 2010).

1941 Neil Diamond, American singer, was born.

1952 Vincent Massey was sworn in as the first Canadian-born Governor-General of Canada.

1957 Adrian Edmondson, English comedian, was born.

1961 – 1961 Goldsboro B-52 crash: A bomber carrying two H-bombs broke up in mid-air over North Carolina. One weapon nearly detonated.

1972 Japanese Sgt. Shoichi Yokoi was found hiding in a Guam jungle, where he had been since the end of World War II.

1977 Massacre of Atocha in Madrid, during the Spanish transition to democracy.

1978 Soviet satellite Cosmos 954, with a nuclear reactor onboard, burnt up in Earth’s atmosphere, scattering radioactive debris over Canada’s Northwest Territories.
1984 The first Apple Macintosh went on sale.

1986 Voyager 2 passed within 81,500 km (50,680 miles) of Uranus.

2003 The United States Department of Homeland Security officially began operation.

Sourced from NZ History Online & Wikipedia.


%d bloggers like this: