GlobalCo BallyhooWednesday, Jun 6, 2001
There are some similarities between the pose of Farmers for a better Deal and the Geriatric Generals
who latterly proffered advice on NZ defense.
The similarity is the collective advice from individuals who have had their time in the sun, but who
failed to leave a significant legacy.
The dairy industries problem is now not the past,it is in the future. Falling back on the specious
argument that there will be no comparative company against which farmers may test the efficiency
of their company’s payout is foolishness in extreme.
Two equally poorly performing cooperatives are still a disaster. And if two is insufficient to test
and reassure wouldn’t five be better, perhaps fifty or perhaps one hundred? The comparative
other is a bit of economist’s trickery to enable analysis of the past but gives no substance
to the future.
The future lies with a structure that gives benefits now and benefits into the future. The industry’s
future is with added value, of wealth generation in its broadest aspects. Not value by selling
the capital asset but value by way of long term quantifiable asset growth and above average returns
for the benefit of the producer shareholders.
A vote for the merger on the 18th June will could give new beginning for an industry that has used up
all the slack inherent in its earlier fragmented structure. Retreating back to familiar structures
and relationships by postponing merger action would be a disaster.
The Farmers for a better Deal group are of that class of observers who know there was a better way while
enjoying the warm hearth built on the backs of those who said “we will make it happen”
– and did.