Anne-Marie Allen grew up on a sheep and beef farm at Waihi Gorge in south Canterbury.
Her grandfather was an original PPCS, now Silver Fern Farms shareholder, her father is a shareholder and Allen has followed in the family’s footsteps.
She and husband Chris, farming for the past 22 years, remained loyal to her McAtamney family tradition.
The viability of SFF, she said, was key to the sustainability of their farming business and the much wider red meat industry.
Allen is a hands-on farmer on the couple’s 360ha sheep and beef property near Mt Somers.
The farm runs 1800 Romney and half-bred breeding ewes, selling up to 3000 lambs annually, buying in store lambs to finish and also finishing up to 300 store cattle, depending on the season.
In their self-sufficient farm system the couple grow all their own grain and make their own silage.
Taking a positive view of the growing challenges for red meat farmers, Allen remains upbeat about the sector’s revival.
“The last 10 years have shown a poor return for livestock farming and for meat processors. Something needs to change to stop the shrinking of our industry.
“We need a strong, well-resourced SFF. We have an opportunity and we need to make the best of it before it’s too late.”
Allen looks back on her 22 years of farming and can recall every SFF board chairman and almost every director, many of whom she has interacted with personally at shareholder meetings.
“This is our business, we have invested heavily as shareholders and I have attended every shareholder and annual meeting to keep myself informed.
“We are passionate about our product and SFF and very excited with what the company is doing with brand promotion that has been a huge step forward.
“We need our product to be viable and meeting today’s market – even going with the Chinese, farmers will still be left with plenty of choice.”
Allen acknowledged the many opinions aired in recent weeks on the proposed SFF-Shanghai Maling partnership.
She had followed both sides of the arguments.
“I have read the notice of shareholder meeting document word for word and to be certain I had a good balanced view I have attended a (John) Shrimpton (shareholder resolution) meeting.
“I am in no doubt that the Shanghai Maling deal is in the best interest of the co-operative and the deal is the only way forward,” Allen said.
“In the notice of shareholder meeting the company has signalled that it expects full-year net profit before tax to be only break-even.
“This is a reminder of the volatility of the industry and the risk associated with the company’s current capital structure.”
The notice of meeting clearly outlined the dangers of voting against the partnership.
“The status quo is not a viable option for farmers, the co-operative or our industry,” Allen said as she urged shareholders to read it thoroughly, attend the SFF roadshows and be fully informed in their vote.
She said Shanghai Maling’s $261 million investment would give the company a strong balance sheet and would give the Plate to Pasture strategy significant momentum.
“The risk of staying where we are is greater than the risk of the partnership.
“Farmers are in the business of risk. We live and work risk all the time but in this case there is choice in the level of risk.
“Farmers have approved the transaction with shareholders voting 82.2% in favour. This meeting (August 12) is a waste of time, energy and resource.
“Farmers didn’t vote in ignorance last time but they risk voting under confusion this time if they are not very careful.”
Allen said the shareholder resolution was aimed at stopping the partnership and the harm that would do to SFF and its many shareholders was far greater than any potential risks with the Shanghai Maling joint-venture partnership.
“We need China and we need their market. China is the future of our produce.”
Allen said it was clear from their public opinion that Shrimpton and Blair Gallagher did not support the partnership.
“This is not about process. This is about a small group wanting to stop the transaction.
“They have presented no credible alternative. They are asking us to vote down a known partnership where both parties are bringing benefits that the other needs with clear principles around the governance and decision-making.”
The opposing resolution appeared to rely on personal judgement that the co-operative was bankable without substantial new investment.
“Farmers didn’t vote in ignorance last time but they risk voting under confusion this time if they are not very careful.”
Anne-Marie Allen
Farmer
“How would they know this?” Allen asked.
“I have always backed the board because they are in the best place and it unanimously recommends that the partnership is in the best interests of the co-operative.
“This is a board consisting of three former Meat Industry Excellence group members, two farmers with eight years’ experience of governing SFF and three independent directors, who along with senior management are the only ones to have the full information with regard to the financial position, funding arrangements and marketing opportunities faced by the company.
“We need to support the board.
“This goes to the heart of confidence in the co-op, from suppliers, to employees to customers,” Allen said.
“The independent investment advice clearly said investment was required and the SFF co-operative remains undercapitalised and a financial restructuring is critical to its future.
“In an ideal world it might be best for farmers to retain ownership but right now our industry is not in the ideal world.
“This is the chance – we have to take it,” Allen said.
She feared the stoush was painting a picture of unnecessary confusion and that might result in farmers abstaining from voting.
