Latest news with #butter
RNZ News
16 hours ago
- Business
- RNZ News
The Panel with Jo McCarroll and Mark Knoff-Thomas Part 1
Tonight on The Panel, Wallace Chapman is joined by panellists Jo McCarroll and Mark Knoff-Thomas. First they discuss the RNZ story by Guyon Espiner about NZ First's relationship to the nicotine industry. They then examine proposed changes to allow more housing on food productive land, and, finally, Finance Minister Nicola Willis says New Zealanders are not getting a raw deal on butter: discuss! To embed this content on your own webpage, cut and paste the following: See terms of use.
RNZ News
17 hours ago
- Business
- RNZ News
Fonterra boss meets with politicians over high butter prices
Fonterra's boss has given media the silent treatment over the sky high price of butter. Both National and Labour's finance spokespeople met with Fonterra's chief executive Miles Hurrell last night, trying to find out why the cost of a block is so steep. But whether the debate leads to a price correction or just more froth and churn from lawmakers is yet to be seen. Russell Palmer reports.
RNZ News
19 hours ago
- Business
- RNZ News
'Butter is expensive right now. There's no getting away from that' - Finance Minister Nicola Willis
File photo. Photo: Margaret Jaszowska for Unsplash The Finance Minister does not believe New Zealanders are getting a "raw deal" on butter, but has accepted there is no getting away from how expensive it is right now. Nicola Willis met with Fonterra's chief executive Miles Hurrell at Parliament on Tuesday evening. While the two meet regularly, there was increased interest in the meeting due to the current price of butter. Willis had earlier said it was something she would discuss with Hurrell. Characterising the meeting as "constructive and engaging," Willis said Hurrell was candid about the way butter was priced in New Zealand. Her summarisation of her meeting with Fonterra largely zeroed in on her drive to increase supermarket competition. The large proportion of what people pay for butter is dictated by global demand, which is something the government could not control. "Were that price to come down, you would expect that to be reflected in the prices that New Zealand shoppers pay," Willis said. Hurrell had told her that butter had once been the hardest product for Fonterra to sell globally, but the increasing demand was due to reporting on its health benefits. "It was once viewed as a bogeyman," she said. The meeting had reinforced Willis' interest in increasing supermarket competition to put downward pressure on the price of butter. "All roads lead back to supermarket competition. I continue to believe that is the most powerful lever that the government has on this issue. We will never be able to control global dairy prices. What we can influence is the amount of competition in New Zealand's grocery sector and we have a lot of work underway to address that." Finance Minister Nicola Willis does not believe New Zealanders are getting a "raw deal" on butter. Photo: RNZ / Mark Papalii Fonterra had also observed the supermarket competition. "Miles specifically conveyed that Fonterra operates in a number of markets around the world, most of which have a more competitive supermarket sector, and that it does feel different in New Zealand." She would leave it to supermarkets and Fonterra to argue who was charging what margin. "The sense that I got from my engagement with Miles is that it's a constant battle between them. Each party are probably going to point fingers at the other." Hurrell would not answer questions when RNZ approached him outside Parliament on Tuesday night, but a Fonterra spokesperson said the meeting was "constructive". Willis said she had encouraged Hurrell to front, in particular to explain what proportion of the margins go to Fonterra and what goes to supermarkets. Acknowledging that Fonterra's job was to get the best possible price for its shareholders, Willis also accepted New Zealanders saw the downsides of that when they were shopping. "I've been satisfied that I don't think consumers are getting a raw deal. I think that there is good work going on to ensure that there is pressure and competition from Fonterra to try and keep its prices low. But I get it. Butter is expensive right now. There's no getting away from that." Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
RNZ News
a day ago
- Business
- RNZ News
A big, new Waikato butter factory isn't expected to cut prices
File photo. Photo: Sorin Gheorghita for Unsplash The country's newest butter plant is not expected to lower soaring prices at the supermarket checkout. Open Country Dairy is spreading into the butter market, with the new plant in Matamata on track to open in two months' time. The country's second largest milk processor will export its product to North America, Japan, South East Asia, the Middle East, the UK and Europe. Chief executive Mark de Lautour said around 20,000 tonnes of butter each year will be sold to the global market. "We're selling it globally and that's where the best returns are rather than the domestic market," he said. "Globally there is huge demand and huge value put on natural fats around the world at the moment." He said while it's unfortunate consumers locally are paying the high global price, there is a spin off for the country's trade. "The good thing is that export earnings for New Zealand are increasing because of it." Open Country's new plant is located at its Waharoa site beside its existing cheese factory. Half of the butter produced will be in small retail packets and the other half will be bulk 25kg cartons for commercial use. "The plant is commissioning now and we're looking to make our first commercial butter this week really from the plant," he said. "The official opening is going to be in a couple of of months when everything is settled. "There's a large number of people in white clothing running around learning to use the new equipment." The downstream impact of the capital investment will also see new jobs in the cool store and on the distribution side of the supply chain. Stats NZ showed a 500 gram block of butter now costs $8.60, up 46 percent in just the past year. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
RNZ News
a day ago
- Business
- RNZ News
NZers will need to deal with high butter prices for longer
food money 22 minutes ago A dairy analyst says New Zealanders will have to put up with high butter prices for the time being, until commodity prices and consumer demand subsides. Rabobank senior dairy analyst Michael Harvey spoke to Charlotte Cook. Tags: To embed this content on your own webpage, cut and paste the following: See terms of use.
