News

Chinese invest in New Zealand milk processing

A Chinese ag company has invested into a New Zealand milk processing facility.

According to the New Zealand Herald, state-owned China Animal Husbandry Group is investing $200 Million dollars into a Mataura Valley Milk powder plant in exchange for almost 72 percent of the company’s equity.

A remaining 20 percent of the company is owned by Southland supplier-farmers, and the rest spilt between the processor’s distributer and private New Zealand investors.

The plant will produce infant formula and other dairy products for export. Company representatives say Chinese demand for infant formula has grown by more than 50 percent in the last year.