Dairy co-op Fonterra has announced it will be integrating two parts of its business, Fonterra Brands New Zealand (FBNZ) and Fonterra Australia, from 1 May 2024.
The co-op, owned by more than 11,000 New Zealand dairy farmers, says the integration will strengthen its trans-Tasman offering in “an increasingly competitive marketplace”.
“Our businesses in Australia and New Zealand have many complementary aspects and integrating them builds on these strengths,” CEO Miles Hurrell wrote to farmer members. “FBNZ comprises our consumer brands and foodservice businesses here in New Zealand, including brands Anchor, Mainland and Kāpiti, which will continue to utilise your milk. The Australian milk pool will continue to provide the milk solids for our Australian brands and ingredients.”
The new business will trade as Fonterra Oceania and be led by René Dedoncker, the current managing director of Fonterra Australia, who has been with the co-op since 2005.
“Some of you may know René given his extensive experience across the co-op, having held several global leadership positions before taking the reins of the Australian business in 2017,” added Hurrell. “I look forward to keeping you updated on our progress, and how this transition will create greater value to our co-op.”
The co-op declined to make further comments on the integration and the job implications this might have on staff members.