New government restrictions for Fonterra?

The government of New Zealand wants to loosen Fonterra’s hold on the dairy industry. A proposed amendment to the Dairy Industry Restructuring Act (DIRA) would require Fonterra to sell up to 5 percent of the co-op’s milk to other milk processors in the country at a regulated price. The increase from the current 3 percent would hopefully encourage more independent processors to get into the market; more processors should mean increased competition and reduced retail dairy product prices. The

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