Fonterra to close plants in Te Rapa and Waitoa

Dairy farm cooperative Fonterra is closing four plants at its manufacturing sites in Hamilton and Waitoa in New Zealand.

Alan Van Der Nagel, Fonterra director NZ manufacturing, said the decision was made because Waitoa’s specialty powder plant and coal centre, and two powder dryers at Te Rapa were “aging assets”.

A Fonterra spokesperson said the closure would only affect the plants and not the factories as the Waitoa and Te Rapa manufacturing sites would continue to operate. Staff impacted by the plant closures had all been offered redeployment opportunities within the Co-op.

“At Waitoa, the impacted operations will discontinue near the end of the year and 41 roles are impacted. We will continue to operate our specialty nutrition dryer and UHT plants at [this site],” Van Der Nagel said.

The decision to close the coal centre at Waitoa was related to Fonterra’s commitment to reducing its emissions. The spokesperson said this closure would impact “fewer than 10” staff.

“These changes allow the Co-op to ensure resource is geared towards high-value products. For example, we are increasing production capacity at Hautapu to meet growing demand for lactoferrin and at Pahiatua where we are gearing up to produce more caramelised milk powder for growing future demand,” Van Der Nagel said.

Image credit: iStock.com/Premyuda Yospim