Companies that could be part of a mega meat merger were yesterday supportive and positive about the proposal to unite 80% of the country's meat processing and marketing capacity.
Up to six companies may have to commit to the new company because the proposal's instigator, the Alliance Group, believes 80% of the nation's livestock kill is needed to make a super group viable and lift the meat industry out of its perilous state.
PPCS, Anzco and Affco were all supportive, describing it as an opportunity and a challenge.
‘‘We are open to engage in further talks and open to be part of the initial process,'' Affco chief executive Stuart Weston said.
Anzco chairman Graeme Harrison said he was openminded about the super-group proposal, which acknowledged there were gains for the industry that individual companies could not secure on their own.
PPCS chairman Reese Hart was also supportive, but urged quick action that would give the industry clear direction.
‘‘That would ensure that the new season commencing in October 2008 is the starting point for a new New Zealand meat industry.''
He described the concept as an exciting opportunity capable of delivering long-term, sustainable changes, but it required farmers' support and willingness to alter their present supply practices.
‘‘Farmers have the opportunity to have an immediate say in the long-term future of the meat industry by supplying livestock to those companies who are prepared to be part of this process.''
Meat and Wool New Zealand has offered its support and assistance, its chairman Mike Petersen describing it as an excellent initiative.
‘‘Clearly, I think it is not just co-operatives seeing a need for change; any private companies will also be feeling their business is not viable either.''
Agriculture Minister Jim Anderton said the meat industry needed to organise and invest in the future, which was not easy when it was under pressure. ‘‘This proposal will need widespread consultation.''