Rural News 03 November 2015

Page 1

MACHINERY

ANIMAL HEALTH

Case IH launches versatile tractor, geared for the big boys. PAGE 34

The outcome of a methane vaccine will be known in months. PAGE 30

RURALNEWS

NEWS A simple leadership style pays off for award-winning Henry van der Heyden.

PAGE 13

TO ALL FARMERS, FOR ALL FARMERS

NOVEMBER 3, 2015: ISSUE 595

www.ruralnews.co.nz

MIE dead and buried? GREG FORD

MEAT INDUSTRY Excellence (MIE) chairman Peter McDonald has become the first major casualty of Shanghai Maling’s takeover of Silver Fern Farms; he resigned from his post late, last week. The lobby group has been around for three years – but McDonald has only chaired it since August – took a major blow to its credibility last month when farmers backed a Chinese takeover of SFF. Many predicted it would lead to MIE’s demise, with McDonald’s resignation now adding fuel to the fire. The Dipton, Southland, farmer said it was time for MIE to “take stock” of its future and for him to step aside. “MIE has also reached its own crossroad and there will be the inevitable changing of the guard as some members of the executive retire and others chose to step up to the plate,” he told Rural News. “This is simply to be expected.

“Others will also need to consider the time and effort required when one enters the ring and join the fight to promote farmers best interests”. In a statement, issued late last week, the remaining MIE leadership group said they will now: “take stock and reflect carefully on what its next steps should be that continue to hold farmers best interests at their core. “One thing that MIE is convinced about is that this banker-imposed deal between SFF and Shanghai Maling will be a disaster for farmers in the long run.” They also issued a second statement

saying they would continue to lobby for new legislation to overhaul the red meat sector. MIE vigorously opposed the Chinese investment in SFF and called for it to merge with the Alliance Group. It (a mega meat merger) became MIE’s reason for being, meaning its function was lost when farmers backed the SFF takeover. McDonald confirmed the fine print on an agreement to overhaul the organisation was being thrashed out. He said MIE’s function had irreversibly changed. “We acknowledge that,”

he said. Rural News also approached MIE advisor Ross Hyland and board member Blair Gallagher for comment. Both declined to comment, but also indicated a purpose change for MIE was in the wind. McDonald, an Alliance supplier, said farmers – especially in the deep south – needed an independent voice, as the future of Alliance was now one of the most pressing issues for the sector. “I will be happy to explain what our future will be once we have all agreed on what that should be,” he said last week.

POWER PLAN FOR THE FUTURE West Coast dairy farmer Graham Berry, and partner Jenny, farm 5km south of the popular tourist town Franz Josef – on a property running from the main highway back into Westland National Park. Berry will soon push a button to start generating electricity that will power his farm and supply the national grid. See Peter Burke’s story on page 26-27.

REMIT REJECTED SUDESH KISSUN sudeshk@ruralnews.co.nz

THE SPONSORS of a remit to downsize the Fonterra board say the Shareholders Council has misread the mood of farmers. Colin Armer and Greg Gent are still backing the remit at this month’s annual meeting despite the council refusing to support it. The Armer/Gent proposal calls for a reduced board of six elected directors and three appointed members; Gent and Armer had a teleconference with council members last month to explain their remit. Last month, council chairman Duncan Coull emailed all shareholders saying the proposal “constitutes a significant and unnecessary risk to our cooperative”. Coull says getting all directors to stand down at once and face reelection is also risky. The council also believes the proposal does not allow sufficient time for comprehensive consultation with shareholders. To succeed, the proposal needs 50% support from the council and at least 75% support of voting shareholders. Gent and Armer say they are disappointed but not surprised by the council’s position. “If the owners of the company, who own the constitution, support our resolution then we understand the council can reverse its decision,” says Gent. TO PAGE 4

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