Government favours Fonterra’s commercial interests: MPI

Government favours Fonterra’s commercial interests: MPI
Fonterra wants a law change so its restructuring won't lead to it being sued. (Image: Getty)
Jenny Ruth
The Ministry for Primary Industries (MPI) says agriculture minister Damien O’Connor is placing greater weight on supporting Fonterra’s commercial objectives than he should.Instead, the government should return to the original intent behind the Dairy Industry Restructuring Act 2001 (DIRA), which aimed to mitigate the harmful effects of allowing Fonterra a near monopoly, MPI said in its regulatory impact statement on proposed law changes.In 2001, Fonterra had 96% of the market for raw milk and, although Fonterra’s milk volumes h...

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