Call to protect suppliers from co-op takeovers

EX-IFA president Tom Clinton has suggested measures to protect milk suppliers in PLCs where co-op shareholdings are dwindling.

Kerry Group could easily become an acquisition target for one of the giant food companies, like Danone or Nestlé, he said, during a question-and-answer session in the Irish Examiner Farming Forum.

This could leave Kerry milk suppliers delivering to a company like Nestlé, which would look for cheap milk. Co-ops’ shareholding should not be reduced below the value of milk processing assets, said Clinton, and milk suppliers should also have the option to leave the plc.