Fonterra aims to boost UHT milk production

ALI TOCKER
Last updated 10:22 27/02/2013

Relevant offers

Farming

Many South Canterbury farms 'severely dry' Drunk Canterbury farmer dies in quad bike crash Horizons Regional Council fines for spray drift Robotic milkers not answer to 'fatigue' Residents oppose vineyard workers' accommodation Weather makes North Island farmers happy, South Islanders sad Dairy prices give lift in confidence Exit strategy sought as deadline hangs over dam Zespri predicts higher kiwifruit returns Wool bales stolen from Canterbury farms

Fonterra will invest more than $100 million in a new processing plant for long-life milk at its Waitoa site in the Waikato.

Chief executive Theo Spierings said the move would bring 50 new jobs and construction work to the region, and provide new opportunities for Fonterra farmers in the North Island.

The new plant would meet growing demand in Asia for long-life milk products, Spierings said. Also known as ultra heat-treated or UHT milk, long-life milk has an extended shelf life of a couple of months.

"The new plant will enable us to increase our UHT production by 100 per cent over the next few years," Spierings said.

The plant would produce a range of UHT products including milk and cream for the food service sector.

He said that by focusing the new plant on servicing markets in Asia, Fonterra would be able to concentrate all of its domestic UHT production at Takanini in Auckland, including milk for its Fonterra Milk for Schools programme.

The new plant would open up new winter milking opportunities for North Island farmers.

Milk supply in New Zealand was seasonal because it was influenced by grass growth, Spierings said.

"However UHT production requires year-round milk supply so we will be talking to our farmers about the opportunity for more of them to take up winter milk contracts.

"This will enable them to take advantage of the milk price premium that these contracts include."

A recent survey of Fonterra farmers indicated a good number of them in the upper North Island would be keen to take up winter milk contracts.

Fonterra is a farmer-owned co-operative, New Zealand's biggest company and the world's largest dairy exporter. It has more than 16,000 staff and operates in more than 100 markets worldwide.

Ad Feedback

- Waikato Times

Special offers
Opinion poll

Is it time for authorities to introduce tougher penalties for poaching?

Yes

No

Vote Result

Related story: Booby traps for poachers cost farmers

Featured Promotions

Sponsored Content

rural digi editions 4/9

Digital editions

Read our rural publications online