Fonterra to pull plug on Kaikoura operations New Zealand dairy giant Fonterra last week confirmed the permanent closure of its Kaikoura cheese factory following the conclusion of staff consultation. Image credit: fonterra.com The company said that Kaikoura’s cheese volumes will be split between Fonterra’s Lichfield, Clandeboye, Stirling and Whareroa cheese plants, where cheese production is “up to 16 percent more cost effective” than at Kaikoura. Mark Leslie, Director New Zealand Manufacturing, said the decision to close the site would bring significant cost savings for the business and its 10,500 farmer shareholders. “While it is difficult for the people involved, we have a responsibility to our farmer shareholders and unit holders, and our customers to be as efficient as possible across our business, especially given the low milk price,” he said. “We are conscious that this is a difficult time for some local farmers, staff and their families, and the wider Kaikoura community. We are doing what we can to support them through this change.” Fonterra’s Kaikoura site employs 22 full time staff and typically operates between three to five months a year. The company said that around half of the site staff have indicated that they would be interested in redeployment elsewhere in the Co-operative. “While we obviously would prefer to retain all of our staff, for those who are interested in moving on we will be providing assistance in their search for new roles outside of the business,” Mr Leslie concluded. According to Fonterra, the site will close in mid to late April. Australian Manufacturing