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Natural Dairy offered to buy 16 dairy farms formerly owned by Crafar family companies

Natural Dairy offered to buy 16 dairy farms formerly owned by Crafar family companies

Tue, 24 Aug 2010 6:55a.m.

The Chinese dairy company which wants to buy 16 North Island dairy farms and set up a heat treatment plant to process milk from Fonterra farmers says it is "disappointed" by a high-profile campaign to fight foreign investment.

A "closed door" policy on overseas investment in New Zealand farming "would spell disaster for the economy, reduce export earnings, cost jobs and lead to the pastoral industry stagnating," said Natural Dairy (NZ) Holdings Ltd.

Natural Dairy, offered to buy 16 dairy farms formerly owned by Crafar family companies now in receivership, was critical of the Save the Farms group, which has mounted a newspaper advertising campaign to call for an end to farms being sold to foreign investors.

"In the case of Natural Dairy's plans to purchase the 16 Crafar farms, if the Save the Farms proposed 'moratorium' prevented it occurring, New Zealand would miss out on substantial benefits," the company said.

A spokesman said the Natural Dairy project involved only 8615ha of dairy farms out of the nation's farmland total of 1.51 million ha. Sales to foreigners of about 180,000 hectares have been approved over the past five years.

The Natural Dairy projects involved only 25,000 dairy cattle out of a national herd of more than 5.8 million cows, and would create more than 120 new jobs for New Zealanders, while potentially boosting the national export earnings by $120 million a year, once in full production.

The company said it also intended to provide an annual $5m fund for lending to new sharemilkers, and establish a charitable trust aimed at improving training in the dairy sector and encouraging new technology and research.

Save The Farms spokesman, lawyer Tony Bouchier, said foreign buyers were lining up from all countries to buy land.

The group, led and funded by Auckland developer John McKearney, was launched today.

Mr Bouchier said it wanted a national debate on the issue of overseas ownership.

The first step should be a moratorium on the sale of Crafar farms and other sensitive agricultural land to foreign ownership until there had been informed public debate and protections incorporated into a review of the Overseas Investment Act 2005.

"New Zealand must retain ownership of our primary resource, the land and waters of Aotearoa New Zealand," said Mr Bouchier.

NZPA

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Comments [14]

John
22 Apr 2011 7:03p.m.

If the dairy industry is the backbone of our economy I am concerned that the first overseas sale or leaase of dairy interests will mean we cant defend further acquisitions because we've already set the precedent. Government terms are only short term as are their idiotic financing ideas.

RMF
14 Oct 2010 11:52p.m.

foreigners buying leasehold lands who owns the lease of all The 130 farms and farms already sold. Shame on this government for allowing this.Where is their integrity. More to the point what did our servicemen sacrifice their lives for. It certainly was not for their country to be sold by their governments then or ever.May our dead servicemen R.I.P

howard
30 Sep 2010 7:33p.m.

Short term politics will never work, quick money may seem to solve our problems but that will all end up blankets and flintlocks in the end. The Chinese leased Hong Kong and if they don't want it that way then their own president fails.So why should we deliver a life style where you don't get blown up or beaten to death by your own government at all to people who use NZ banks sparingly,deal mostly with their own race in business and self finance relatives marrying relatives from China, into business and properties at an alarming rate in NZ. If we think we are having race relation problems now then you wait GOVERNMENT you aint seen nothing. Keep the land, New Zealand is still paying it off anyway.

Tdha
30 Sep 2010 7:27p.m.

If a New Zealander was to try and buy a farm or factory in China, would they be allowed? I don't think so. The sale of land to countries which don't allow this countries citizens to purchase land in their country should not be allowed. Out of that $120 million export earnings, 90% will most likely leave New Zealand and never benefit this country!

Ty Williams
31 Aug 2010 2:18p.m.

Shaniya Twain buys up a whole lot of land. Heaps of expat South Africans & Zimbawians buy up bulk farm land. No-one whispers boo. Talk of selling some to the Chinese and the ugly racist nature of New Zealsnders is on display for the world to see. The sooner there's a nuclear war the better. It'll be back to basics folks and you'll have more to worry about then the colour of someones else's skin.

Proud Kiwi
24 Aug 2010 7:56p.m.

The answer to stop this sale of national assets and national pride is BRING BACK WINSTON.

cyril
24 Aug 2010 6:17p.m.

Who cares if they are disappointed there are enough cheap foreign workers on New Zealand dairy farms now with out foreign owners who will import more. These farms are producing dairy farms they will produce expert earnings wether they are foreign owned or new zealand owned but at least being new zealand owned the money will stay here.

watching NZ
24 Aug 2010 4:27p.m.

Let China Buy control of your Industries and imigrate their own to workers cheaply,control our export produce,drainage-fragment NZ economy and resources to extinction,take over the the Govt,show you big headed kiwis what they think of your Human Rights and use you ses as puppets and NZ as a dumping ground for their waste,all thanks to you Redneck Kiwis Blow-fries,just wait and see He He he he He he

David Jacobs
24 Aug 2010 2:10p.m.

Natural Dairy Holdings (NZ)Ltd have displayed their total lack of due diligence by attempting to use a thieving, lying, kniving, unreliable intermediary to conduct their business. This intermediary, through unethical business practices in this country, should have citizenship revoked and a lifetime ban on gaining an entry permit back into NZ.
This type of "business person" has lured people into extending credit which was never going to be repaid, and much of which was used to purchase an expensive property and live a luxurious lifestyle.
"potentially boosting the national export earnings by $120 million a year" If this were true, why is there no mention of the purported $1.5bln that was to have been invested in the project? Export earnings are mentioned, but would the profit be reinvested in NZ or even stay in NZ for that matter?
I have no problem with overseas companies setting up businesses in NZ so long as they create employment, reinvest in NZ, conduct their chosen line of business on leasehold land, and are held fully accountable for any losses incurred.

Ricsta
24 Aug 2010 12:18p.m.

And there's the bribe. $5 million fund for lending to new sharemilkers. Lending. I am underwhelmed.

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