Fonterra sees record haul in Sri Lanka
Fonterra's Sri Lanka business collected 22 per cent more local milk last year as its suppliers continue to cash in on the New Zealand dairy giant's farmer development programme.
An extra 1.5 million litres was supplied by Fonterra's 4000 farmer-suppliers, taking last year's Sri Lanka collection to a record 8.2 million litres.
Fonterra and its pre-2001 legacy entity have been collecting fresh milk in Sri Lanka for more than 15 years and the New Zealand dairy industry has been supplying Sri Lanka with products for more than 35 years.
Fonterra Brands Sri Lanka managing director Leon Clement said the farmer-development programme began in 1997. Last year it had resulted in farmers in Fonterra's five-district network improving their production by an average of 10 per cent.
The programme was also expanded last year to include another 200 farmers, he said.
Milk collected in Sri Lanka is processed into fresh products under the Anchor Newdale brand at Fonterra's manufacturing plant in Biyagama.
The extra 1.5m litres was equal to 7.5 million glasses of milk, Clement said.
Do you agree with claims that Fonterra is transferring wealth from farmers to unit holders and to the dividend in contradiction of its milk price manual?Related story: Lower milk price 'to boost dividend'