Friday, April 26, 2024

Good times signalled for dairying

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Prime Minister John Key used the official opening of Waikato Milking Systems, factory to reassure the dairy industry that its long-term future still looked good and the Trans-Pacific Partnership (TPP) deal would benefit it above all other sectors.
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“Dairying is going through a tumultuous time,” he said
But despite the partial closure of the Russian market, the amount of inventory in China and good growing conditions in competing dairy exporting countries, the demand curve for milk was still very strong.
While the Government always wanted to get more from the TPP negotiations, dairying was still the item making the largest gains “by quite a margin”.
Key said the deal gave access to many markets and it should be remembered that New Zealand’s free trade agreement with China had outperformed expectations by 11 times.
Dairying needed to keep doing what it was doing, by being at the cutting edge of science and innovation. Companies like Waikato Milking Systems, one of the largest manufacturers of rotary dairy systems and technology in the world, were not only driving technology but exporting it.
The company’s chief executive, Dean Bell, said the purpose-built 9000m2 building marked a milestone, bringing together its 110 staff under one roof for the first time in 30 years.  A further 20 staff work in offshore offices in Australia, the United States and the United Kingdom as it exports to 36 different countries. The 100% NZ-owned company’s clients are as far away as Russia, Israel and China.
 Bell said it could be agile and fast-moving against its competitors because of the clever and passionate workers. It wanted to further unlock their potential and to do so paid a living wage and was investing in education programmes.
While around 40% of New Zealand’s exports were raw products, and only 16% were complex, the company was aiming to double its business over the next few years, shifting from 35% of its business being carried out internationally, to around 70%.
“We are transforming the New Zealand economy one rotary platform at a time.”
The official opening was followed by a tour of the factory where visitors were able to get an up-close look at its manufacturing and warehousing operations, all carried out with a strong focus on accuracy and efficiency.

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