Fonterra shareholders around the country have been meeting to hear the 
latest on the co-op’s Trading Among Farmers structure changes.
Last year the 10 and a half thousand Fonterra members voted overwhelmingly in favour for a change in the trading structure, meaning shares could change hands from farmer to farmer depending on production levels.
Around 35 meetings were held over the past week to detail farmers about the changes, and moot some possible dates around TAF implementation.
Fonterra Chairman Sir Henry van der Heyden says the meetings were also about gauging the mood of co-op members, given a good payout forecast and some recent rains.
"It was more than just filling them in with capital structure, it was also a market update so it was business as normal.
"Farmers are feeling really positive, a lot of them had rain, production was starting to come back up again, and we’ve just had a global dairy trade which indicated positive things about the market right now."
Mr van der Heyden says the best case scenario would see t
he TAF system in place by October this year, but it all depends on when the Government decides to review the D.I.R.A regulations.
"October November this year, but if not, it’s gotta be 6 months after that, or in another 6 month after that.
"We’ve gotta put a prospectus out with our latest financial information, and the fact that we formally report to our outside stakeholders formally, every 6 months – that’s what determines the windows."
Agriculture Minister David Carter has previously hinted a review may not be possible before September’s general elections.
MAF, however, are pre-empting the review and opening consultation on DIRA amendments with key stakeholders.
They have released an initial document outlining 5 different ways the DIRA regulations could be changed to accommodate Fonterra’s new structure.
Iain Cossa, MAF’s manager of Sector Regulation, says the most important thing to get right is the efficiency of our Markets, ensuring fairness and competition.
"Fonterra’s proposing a change to its capital structure, and they’ve indicated that they’d like to do this at the earliest later this year.
"To achieve that, we need to get the consultation document out, and the policy process completed forthwith.
"It’s a legislative timeframe issue."
Mr Cossa says it was essential to act as early as they have, in order to be prepared for any timeline the Government decides on.
"The Dairy Industry Restructuring Act places requirements on Fonterra to ensure that the market remains competitive.
"The key feature of DIRA is the open entry and exit regime which allows farmers to enter and exit the co-op freely.
"The consultation document that we put out explores a range of options which would allow alternative mechanisms to allow the Trading Amongst Farmers scheme they’re proposing."
Submissions on the amendments will close on the 7th of March.
Info on MAF's consultation can be found at: http://www.maf.govt.nz/consultation
