Invercargill-based Alliance Group has chosen to return the balance of the Covid-19 wage subsidy to the Government.
The farmer-owned meat processor had already repaid $21 million of the $34m wage subsidy and will return the balance, it said.
"From the outset, Alliance has been clear we would only use the wage subsidy in the way it was intended by government and our previous repayments reflect this commitment," chairman Murray Taggart said in a statement.
"Following the filing of our company accounts last month, the Alliance board believes the co-operative is in a position to repay the remaining balance," he said.