Southern Dairy Hub gains boards' approval

The Southern Dairy Hub has been given the green light after gaining approval from its industry partners.

DairyNZ and AgResearch had earlier pledged $10 million for the project but that support was conditional on sufficient local support.

The Southern Dairy Development Trust received 516 farmer pledges and funds committed totalled $1.3 million, which was short of the $2 million target.

It recently presented its results to the board of directors of both DairyNZ and AgResearch, seeking approval and financial backing.

The support from a majority of southern dairy farmers was a key determining factor in the decisions of both boards to go ahead with the hub, trust chairman Matthew Richards said.

Both were pleased with the number of farmers prepared to back the proposal, especially in a low milk payout time in the industry, Mr Richards said.

Having their support meant the trust could move to the next phase of the hub development with ''full confidence''.

The next step was to settle the purchase of a suitable farm which would be home to 800 to 900 cows, split into four herds to enable comparative research trials to be carried out at scale.

Work would then begin to gain the required consents and in the design and planning of the hub development, including the farm, dairy and support infrastructure.

It was hoped to have cows ready for milking in June next year.

Add a Comment