Fay promises $18m injection for Crafar farms
Fay-led consortium says it will inject more than $18 million into the 16 dairy farms over the first three milking seasons, lifting production 30%
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Sir Michael Fay’s rival bidding group for the Crafar farm estate says it will inject more than $18 million into the 16 dairy farms over the first three milking seasons to lift production by up to 30% while increasing jobs by 15%.
In a submission made today to the Overseas Investment Office, the bidding group, which has had its $171.5 million offer for the farms knocked back by receivers in favour of a conditional Chinese offer, has provided detailed improvements its members plan for the rundown farms and benefits that would come from them being run by “experienced local dairy farmers and local iwi”.
Aspects of the OIO’s consent recommendation is being reconsidered for the Chinese company Shanghai Pengxin to purchase the farms by order of the High Court last Wednesday.
Fay said his group was making the submission matching each of the economic and various benefits of the purchase claimed by the Chinese, leaving the OIO in doubt about what a New Zealand buyer could offer for the purchase.
Fay’s group says it will mainly employ sharemilkers on the farms, giving them the opportunity to grow and develop their own dairy business and provide the traditional method for dairy farm ownership.
The group’s iwi members are very aware of the importance of the Mohaka River and will continue activity to halt further degradation of the Mohaka catchment, says the submission.
Robert McCambridge
Fri, 17 Feb 2012
Fri, 17 Feb 2012
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Fay promises $18m injection for Crafar farms
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