Fonterra boss warns dairy sector to reform
Published 06/09/2011 | 05:00
The Irish dairy industry will be left behind if it does not restructure, claims the head of New Zealand dairy giant Fonterra.
Henry van der Heyden urged Irish farmers to take advantage of growing global dairy demand by creating a streamlined industry with one vision.
He insisted that funding for development of the Irish dairy industry would have to come from farmers or they would lose control of the business.
"If you believe in your co-op, then give it the funds," he said.
Mr Van der Heyden told farmers they would be amazed at how much cost could be taken out of the supply chain and additional revenue realised by creating an integrated dairy business with a single management team.
"By staying where you are, you will be left behind," he warned.
The Fonterra boss said a complete overhaul of the Irish dairy industry was possible within a five-year period.
"But it will be a tough, hard slog," Mr van der Heyden said.