Foreign Takeovers and The Future (16)

Murray-Goulburn, after missing out on Warnambul Cheese to OS company, tried for Peters.

I do think PEP picked the right time to dump Peters to an OS comany. While world-wide dairy sales have risen sharply over the last few years, all of a sudden there is a glut and prices are already falling. Maybe this is a "Kerry Packer Vision" where he sold Channel 9 to Alan Bond only to buy it back a couple of years later at a much reduced price.

But we still have Weiss and Bulla as Aussie owned.

I saw recently that Victoria produces 70% of Australia's dairy products with the big players being Murray-Goulburn & Parmalett (NZ). Although there is an Indian firm now operating out of Longwarry that is expanding rapidly.

NSW had very tight quota systems well into the 80s where Milk producers would supply XXX litres of milk at a set price of XX cents per litre. Dairy farmers, usually on a relatively small scale, recieved a livable income. A lot were over-producing and the NSW Milk Board would only offer x cents per litre for their excess.

Victoria (okay Murray-Goulburn Co-op) offered x +2 cents for that over-quota of milk. And then sold that milk back to NSW Coles & Woolworths much cheaper than the NSW Milk Board offered for the "locally produced" milk. Us poor shopkeepers were not in the loop and suffered a lot at that time. We had to buy from our local licensed supplier at the set Govt price. And our resale price was set by the Govt or we would lose our license to sell milk.

But a very big NO for it being Little Johnny who started the demise of the Aussie dairy farmer. It was a bit before that time in NSW when Nifty Nev recognised that the voters wanted the cheaper "imports" from Victoria (and other places) and took away the support to NSW dairy farmers.

Back in the late 70s when Hawke came to Govt, Capt Cook Cruises in Sydney Harbour were experiencing something like $6M profit each year that the banks decided that a $10M debt needed to be paid now. Sold to a Japanese company for $3M who arranged for the pre-booked tours to be paid directly to Japanese companies with the so-called Aussie company recording losses each year as they received little Aussie component....

It was also a State Labouring Govt that sold off many QLD Govt Assets after Jo Beholding-Petersonnys lost power.

I do not support any of Little Johnny's sales of Aussie industries, but he was not the first to do this.