New Zealand First's plan to force more Fonterra milk into the hands of rival manufacturers is being dismissed as a “dumb idea”. 

The party wants to amend the Dairy Industry Restructuring Act, giving qualifying manufacturers access to up to 500-million litres of Fonterra milk a year for six years – up from the current 50-million. 

Dairy industry analyst Peter Fraser told Ryan Bridge if NZ First wanted to build a fast-moving consumer goods industry, it should have started 25 years ago. 

He says even Goodman Fielder —with major brands across the country— would struggle to use half of that volume of milk, so thinking competitors would simply build a new factory is “nuts.” 

LISTEN ABOVE  

New Zealand First's plan to force more Fonterra milk into the hands of rival manufacturers is being dismissed as a “dumb idea”.&nbsp;
The party wants to amend the Dairy Industry Restructuring Act, giving qualifying manufacturers access to up to 500-million litres of Fonterra milk a year for six years – up from the current 50-million.&nbsp;
Dairy industry analyst Peter Fraser told Ryan Bridge if NZ First wanted to build a fast-moving consumer goods industry, it should have started 25 years ago.&nbsp;
He says even Goodman Fielder —with major brands across the country— would struggle to use half of that volume of milk, so thinking competitors would simply build a new factory is “nuts.”&nbsp;
LISTEN ABOVE &nbsp;

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.

Early Edition with Ryan Bridge

Peter Fraser: Dairy Industry Analyst on NZ First's proposal to amend the Dairy Industry Restructuring Act

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/9e773330-07ae-4763-a744-b4ac0183c80a/transcript