Developments

Sustainability experts join Fonterra’s new advisory panel

Fonterra has appointed an independent Sustainability Advisory Panel to guide the Co-operative as it strives to be a world leader in sustainably produced dairy nutrition. The panel features a diverse range of experts including: Sir Rob Fenwick (Chair), who co-founded the New Zealand Business Council for Sustainable Development and was the first New Zealander knighted for services to both business and conservation. Paul Gilding, a Fellow at the University of Cambridge’s Institute for Sustainability Leadership, author and former global head of Greenpeace. Aroha Mead, a Research Associate specialising in Mātauranga Māori and indigenous knowledge. Bridget Coates, Chairperson of White Cloud Dairy Innovation, Director of Tegel Group Holdings Ltd and former Director of the Reserve Bank of New Zealand. Hugh Logan, who Chaired the Land and Water Forum and has 40 years’ experience in natural resource management. Michelle Pye, owner of large scale agricultural business Pye Group and member of the Fonterra Shareholders’ Council. CEO Miles Hurrell says the panel represents one part of the Co-op’s wider strategy to build sustainability into everything it does. “Our independent panel will help ensure our strategy is relevant to current and evolving sustainability trends while being integrated into commercial objectives,” says Hurrell. “Some of the world’s biggest sustainability challenges are around food and we believe, like many, that the global food system must shift from being part of the problem to becoming a greater part of the solution. Our Co-op is already taking action to support healthy environments and strong communities, but we know we must do more.” Hurrell says collaboration is key. “Environment Minister David Parker and Agriculture Minister Damien O’Connor have just announced the New Zealand Government’s blueprint to improve freshwater quality which is encouraging to see and we support their overall objective. We share their commitment to deliver healthy waterways […]

Breakthrough technology could save dairy industry millions

A Milk-Guard device in action at a dairy processing plant, operated by Dr Matthew Jones (CEO, CertusBio). A new device that detects processing losses in dairy plants could save the industry millions of dollars a year and help prevent pollutants from entering waterways. Lincoln University-owned research and development company, Lincoln Agritech Ltd, developed the breakthrough technology and it was then commercialised by Christchurch-based start-up company, CertusBio. The result is a robust, automated biosensor capable of continuous monitoring in commercial operating conditions. Known as Milk-Guard, the device uses a lactose-specific enzyme to measure the percentage of dairy products present in waste streams and processing lines. These percentages are automatically sent to a dairy plant process control room, where operators can monitor them and make changes to the production process if necessary. CertusBio CEO Dr Matthew Jones said that due to the vast quantity of dairy products processed in New Zealand, large amounts of valuable products could be lost quickly. “Given the significant economic return to New Zealand from the dairy industry, it is vital to extract as much value from dairy processing as possible by using reliable, fully automated systems to accurately and rapidly monitor losses in dairy processing waste streams. “Dairy plant operators will be able to improve the resource and energy efficiency of their plant processes by reducing losses of valuable dairy products and ultimately increasing company profitability.” Dr Jones said current loss-monitoring methods were reliant on retrospective testing collected over 24 hours. “Because this testing is done after the dairy products have been processed, it doesn’t allow for adjustments to be made while the plant is operating, so losses can’t be limited in real time.” Two-to-three per cent of all dairy products are lost during processing and while this is inevitable to a certain extent, a significant […]

Sustainable Foods Summit successful in Singapore

The Asia-Pacific edition of the Sustainable Foods Summit drew to a successful close a few weeks ago in Singapore. About 200 executives attended the Asia-Pacific and European (hosted earlier in Amsterdam) editions. Eight of the key outcomes of these two executive summits were. Proteins crisis in Asia In his opening keynote, David Yeung (Founder of Green Common in Hong Kong and the Green Monday movement) said the Asian food industry is facing a sustainability crisis. The growing population and changes in food consumption were putting a strain on protein production systems. Livestock products generate about 15% of all greenhouse gases and take up two-thirds of agricultural land. There are 1.5 billion cows on the planet, generating 5.5 billion tonnes of carbon dioxide; this is more carbon emissions of the UK, Canada, Brazil, Australia, Germany, Italy, France, Spain, Japan and South Korea combined. Pork is the most widely eaten meat in the world, especially in Asia. China houses almost half the global pig population, with roughly 723 million pigs reared for meat consumption. Intensive pork production brings environmental and health repercussions. Ben McCarron presented latest research from Asia Research and Engagement, showing that meat & seafood consumption in Asia is projected to rise by 78% between 2018 and 2050. The increase will require an additional 7.1 million km2 land area, 1 billion m3 water per annum, 39,000 tonnes of antibiotics per annum, and generate an additional 5.4 billion tonnes of carbon dioxide per annum. Potential of clean meat Shir Friedman, Co-Founder of the Israeli company Supermeat, believes the future is with clean meat: cellular meat grown in refineries. She said clean meat overcomes ethical issues concerning rearing and slaughtering animals, whilst providing consumers identical meat products. After commercialisation, her company is looking to license its cultured meat technology to conventional meat […]

Waste canola oil becomes a key to improved fertiliser

A new type of slow-release fertiliser that results in better plant health and less wasted nutrients has been invented at Flinders University by Dr Justin Chalker and his team in the Institute for NanoScale Science and Technology. The fertiliser is released slowly into soils because it is encapsulated in a renewable polymer made from canola oil, which is an abundant food waste product. “We are taking recycled cooking oil, converting it into a fertiliser component, and using it to grow more food,” explains Dr Chalker. “It’s is an important way to contribute to a circular economy.” Dr Chalker and his team have created a polymer from waste canola oil and elemental sulphur (a by-product from the creation of petroleum products) as an organic coating for the fertiliser components ammonium sulphate, calcium hydrogen phosphate and potassium chloride. Nutrients from this slow-release fertiliser are released to the soil after water slowly dissolves and leaches the inorganic components from the polymer-nutrient block. In tests conducted on tomato plants, researchers found the nutrients were released in a controlled fashion, resulting in less wasted fertiliser and better health for the plants growing in this soil. Results from this study (Sulfur Polymer Composites as Controlled-Release Fertiliser, DOI: 10.1039/C8OB02130A) are featured in a special New Talent issue of the journal Organic and Biomolecular Chemistry — which features Dr Chalker among selected leading young researchers from around the world. The polymer, being formed from waste products that are abundant, is cheap to produce, making it an ideal solution for producing superior fertilisers that are a necessary part of meeting global food production demands, especially in areas with poor soil quality. A significant additional benefit of the polymer’s slow release qualities is that it prevents fertiliser runoff, which protects the environment, and greatly improves the efficiency of the fertiliser […]

Sludge dewatering solves environmental and disposal issues

A compact and cost-efficient alternative to conventional dewatering technologies is being introduced to Australia and New Zealand to eliminate costs and OH&S hazards associated with damper and heavier output from poultry processing and major food preparation operations. The KDS Multidisc Separator system from CST Wastewater Solutions – requires no washwater, while capturing 90-99 per cent of solids – is engineered to overcome the limitations of technologies such as screw presses, belt presses and centrifuges currently used. Applications include small-to-medium poultry, fish, meat and dairy plants as well as large-scale food and beverage kitchens and catering facilities which face the challenge not only of handling heavy, sticky wet waste, but also the volume and cost and OH&S hazards of transporting such unhygienic material to disposal facilities. Benefits of particular importance to installations for the poultry industry include: Removal of solids from waste streams Dewatering of sludges and solids Screening and dewatering of chicken processing wastes Removal and dewatering of solids from waste waters Dewatering of chemical sludges from DAF floats The largest energy saving KDS unit can handle about 100kg DS (dry solids) an hour at 98 per cent solids capture, to produce this more hygienic and more compact output that is easier and cheaper to handle and transport. Used for dewatering of dissolved air flotation sludge – a very common application throughout waste water operations – The KDS achieves solids capture of 97 per cent thickened sludge at a dryness of 17 per cent. Waste activated sludge dryness levels are typically 15-18 per cent dryness. The high quality, Japanese-manufactured technology: Uses minimal energy, consuming as little as 06kW hr of electricity Operates at low (63dBa) non-intrusive noise and vibration levels Requires minimal daily maintenance, saving cost and enhancing OH&S performance Occupies typically half the space or less of conventional dewatering […]

A little piece of Clandeboye in half a billion pizzas

Some already call it the Riviera of the South and now Timaru could also be the pizza capital of New Zealand, as the region becomes the Southern Hemisphere’s largest producer of natural mozzarella cheese. Fonterra’s Clandeboye site fired up its third new mozzarella line today, meaning it now produces enough of the revolutionary cheese to top more than half a billion pizzas a year. The cheese, which is made from one of the Co-operative’s secret recipes, is made in hours rather than in months – the time traditional mozzarella takes. It’s destined for pizzas all over the world. Fonterra cheese already tops around 50% of the pizzas in China – one of the fastest growing pizza markets in the world. Caption: Say cheese! MP for Rangitata Andrew Falloon, Timaru Mayor Damon Odey, Process Operator Shannon Biggs, Process Operator Paula Eddy, Process Operator Pene Hammond and Cheese Plant Manager Chris Turner. Fonterra Chief Operating Officer Global Operations Robert Spurway says the new plant, which was built in under two years, is a great example of the Co-operative’s ambition to move more milk into value add products. “We’re focussed on getting more value from every drop of our farmers milk. With the opening of this new mozarella plant and recent expansion of our Darfield site, we’re able to produce even more higher returning products. That’s good news for our farmers and the communities they live in,” says Mr Spurway. Fonterra GM Marketing Global Foodservice, Susan Cassidy, says “the new plant will double the site’s production of mozzarella – the world’s most popular variety of cheese, topping more than 80% of pizzas in Australia, China, South East Asia and the Middle East. We’re excited to have a slice of this market and are looking forward to that slice growing. “Globally more and more […]

High value dairy nutrition for India

Fonterra has announced a joint venture partnership with one of India’s largest consumer companies, Future Consumer Ltd, to produce a range of consumer and foodservice dairy products that will help meet the growing demand for high-quality dairy nutrition in India. Lukas Paravicini, Fonterra’s Chief Operating Officer Global Consumer and Foodservice, said the partnership, under the name Fonterra Future Dairy Partners, will enable Fonterra to establish a presence in India. “It will allow us to prepare the groundwork and make the most of our expertise as we enter the world’s largest and fastest growing dairy industry. Consumer demand for dairy in India over the next seven years is set to increase by 82 billion litres – seven times the forecasted growth for China. “The partnership will be driven by growth through profitability. The initial stages of the partnership will focus on product development, and marketing with the right capital investment made during this period. The first consumer products will be launched by the middle of 2019, using both locally sourced milk and dairy products from New Zealand. “We will also use this time to settle in the partnership infrastructure, learn the market and prioritise geographies.” Mr Paravicini added that the joint venture comes at a time when the Indian dairy industry is transforming itself. “This has resulted in a big shift away from more traditional locally-based dairy businesses with limited product and brand differentiation, to a new era where more value-added and innovative dairy products are in high demand across the country,” he said. Fonterra MD Sri Lanka & Indian Subcontinent, Sunil Sethi, said that India was also witnessing the emergence of new FMCG organisations like Future Consumer which has a deep understanding of the Indian consumer, the experience of working with international partners, and a nationwide supply chain and retail […]

‘Clean it up or stop it’ – call for action on environmentally damaging intensive winter feeding

The agriculture industry is being challenged to clean up its act and enforce much higher standards for the environmentally damaging practice of intensive winter feeding. There is increasing public concern about the practice after photos and film revealed dairy cattle being kept belly deep in mud and rivers being dirtied by sediment runoff from intensive winter feeding paddocks. Fish & Game Chief Executive Martin Taylor says the agriculture industry needs to take a tougher line. “What is happening at the moment is completely unacceptable. We need greater leadership from the agriculture industry to stop its worst members continuing their hugely damaging practice,” Mr Taylor says. “We welcome Otago Federated Farmers’ criticism of forcing animals into mud-filled paddocks and Dairy NZ’s guidelines to improve the situation, but others must also step up and be counted. “Federated Farmers in Southland needs to say where it stands as it has been actively trying to undermine Dairy NZ’s guidelines and weaken the region’s environmental plan to accommodate intensive winter feeding. “And nationally, Federated Farmers must commit itself to clean up a practice which is hurting the reputation of many of their members who are doing the right thing and looking after the environment.” Martin Taylor says opposition to both feedlots and intensive winter grazing is now widespread from right across the community. “Over the last week, we have seen a huge groundswell of opinion against these practices from environmental groups, Fish & Game, vets and good farmers,” he says. “They all say what is going on at the moment shouldn’t happen. “If winter grazing cannot be done in an environmentally sensitive and sustainable way, then it has to be stopped and an alternative found. “Farming’s bad performers can no longer continue severely damaging our rivers, lakes and streams, taking away Kiwis ability to enjoy […]

NZ’s largest food manufacturing, technology and logistics Expo “Adding Value to NZ’s Food Chain”

More than 4,500 visiting industry professionals from both New Zealand and around the world will converge in Auckland to attend the sectors largest combined trade only industry event – Foodtech Packtech (FTPT) and the Materials Handling & Logistics Expo (MHL). Hosted at the ASB Showgrounds in September, this year’s event will be the largest show in decades – it’s certainly a must attend event for anyone in the food and beverage manufacturing and packaging or transport and logistics industries! Across the halls you will experience some 240+ exhibiting suppliers covering important capability issues – everything from food safety, processing and security technology through to industrial packaging and preservation solutions, and specialist product handling and logistics. Ngaio Diagnostics deliver the tools used to minimise any chance of microbial or allergen contamination. Their range offers simple, cost effective solutions suitable for companies of all sizes. In 2016, FTPT connected Ngaio to a major NZ company that was able to save them over 10% on their Gluten testing costs. Not only was Ngaio able to help with cost-effectiveness, but they were also able to implement a test with superior ease of use and accreditation, ultimately improving their entire food safety program. Integrated Packaging, a returning exhibitor in 2018, will tell you that “FTPT is the perfect platform to interact with groups of people from a variety of companies and be able to demonstrate first-hand what your company’s capabilities are”. At the 2016 show, Integrated Packing connected with a vast number of companies, saving one of them over $20,000 p.a. by improving their manufacturing processes. This year Integrated Packing will be showcasing a range of new solutions that are unique to this market. This will be of great appeal to companies including meat, poultry and small goods. With sustainability being such a hot topic, SMC Pneumatics […]

Fonterra revises milk price and updates

Fonterra Co-operative Group Limited has announced a revision to its forecast 2017/18 Farmgate Milk Price, and updated its normalised earnings per share and dividend guidance. The Co-operative is reducing last season’s 2017/18 forecast Farmgate Milk Price to $6.70 per kgMS from $6.75 per kgMS. The previously announced 25-30 cents guidance range has been held but the Co-operative is indicating that it will be at or slightly below this range and it is likely that the full year dividend will be just the 10 cents already paid in April. Chairman John Monaghan said the Board has made these decisions in the best long-term interests of its farmer shareholders and unitholders. “It is important for our Co-operative to have a strong balance sheet and, as we indicated in May, the higher milk price, which is good for our farmers, has put pressure on Fonterra’s earnings, and therefore our balance sheet in a year which was already challenging due to the payment to Danone and the impairment of the Co-operative’s Beingmate investment. “You never want to have to reduce the Milk Price at the season’s end, but it is the right thing to do and $6.70 remains a strong milk price. “Maintaining a strong balance sheet has helped us to support farmers during tough seasons through our Co-operative Support Loan and being able to bring forward the Advance Rate Schedule and get money to farmers earlier in the season. “We need to do everything within our control to keep these options on the table for when farmers need them. This means keeping our balance sheet strong. Mr Monaghan said he wanted to be upfront with farmers and unitholders that to achieve this the Board has taken the step to depart from the amount calculated under the Farmgate Milk Price Manual. This is permitted […]

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