News / Blog

Saputo Dairy Australia calling for more suppliers
June 18, 2018

Milk processor Saputo Dairy Australia has raised the call for more suppliers just six weeks after officially taking over Murray Goulburn Co-operative.
The Canadian processor bought Murray Goulburn for $1.31billion after suppliers overwhelmingly voted in favour of selling the co-operative in April.

In an advertisement to the region, Saputo touted its credentials as the ‘‘largest dairy processor’’ in Australia, including being the owner of the country’s oldest dairy processor Warrnambool Cheese and Butter, as well as the newly-acquired Murray Goulburn.

‘‘We believe the combination of these two iconic dairy companies is a positive development for all our farmer suppliers and unites some of Australia’s best loved brands,’’ the ad reads.

‘‘As a supplier of Saputo Dairy Australia you can expect our commitment to pay competitive prices for milk, a dedicated team who understand the dairy industry and integrity in every aspect of our business relationship with you.’’

At the time of the sale to Saputo, MG chief executive officer Ari Mervis said current suppliers could expect terms ‘‘no less favourable’’ than their current situation until July 2023.

Saputo has previously committed to pay a competitive milk price that is no less than the greater price of the offer to Warrnambool Cheese and Butter, which was already owned by Saputo, or the final weighted average of the farm gate milk price published by the two largest processors in the relevant region.

 

Source: Country News



CURRENT ISSUE

Summer 2018