Farmers upset by milk docket

By RICHARD WOOD

Dairy company Fonterra has stumbled in the introduction of its new milk collection system, and has been accused of playing down concerns raised by farmers.

The collection system is one part of the new $3 million milk management and shareholder services Aspire system built by Jade.

It was introduced in June to around 10 per cent of the 14,000 dairy farmers who supply milk in the winter season.

At issue is the daily docket that farmers receive when their milk is collected in the morning. These dockets contain production, grading and milk quality information.

Farmers who did not want to be named told the Herald there was widespread dissatisfaction with the new docketing system.

"As a seller of milk, let alone a shareholder, it's an absolute shambles," said one early user.

The docket used to be sent with the truck to the farm each morning. It has been replaced by a docket generated on the spot, supplied by the latest information by radio link. It is supplemented by information accessible through the internet.

Farmers from the ex-NZ Dairy Group arm of the business told the Herald the docket contained less information than previously, missing month-to-date totals. It was also said to be a less permanent printout.

Dairy farmer and Fonterra supplier issues committee member George Moss said a lot of farmers, farm staff and sharemilkers used the previous docket system as an ongoing record in the cowshed and for use in meetings.

"They might say why don't you go to the computer and flick it on. But if you've got cow poo up your arm and you're in the cowshed - it operates differently out here."

Moss said it was not a political issue between the two big groups that made up Fonterra, but other farmers had questioned whether ex-Kiwi Dairy executives really understood how NZ Dairy Group suppliers were being served.

Farmers are waiting to see how the company responds. There is acknowledgement that the Aspire system may be better overall for Fonterra, but they want details.

"It's only been simply explained on the basis that Massey University did an independent study and they've come out and said the Aspire program is better. We're just not sure where and how," said one shareholder.

Fonterra director of corporate communications Jody Stewart said the company would not talk to the media before it talked to its farmers. An explanatory booklet was due out tomorrow.

Stewart said changes would be made to the daily docket but she could not confirm if they would match the previous docket that NZ Dairy Group farmers received.

Meanwhile, transport manager Garry Webber has said there is a lot more to Aspire than the docket, including the scheduling of pickups from 14,000 farms.

He said farmers were seeing the daily docket "but what they are not telling you about is that [website] Fencepost has more information on it and there is a monthly statement".

Webber also said the situation applied to a few Waikato farmers only, but this was disputed.

Moss said it would apply to all the previous NZ Dairy Group suppliers across Waikato, Bay of Plenty, Canterbury and Southland.

"The previous NZ Dairy Group probably makes up something like 55 per cent of the shareholding base of Fonterra."

Moss said he was waiting for a briefing, which should have been given to shareholder councillors at the outset.

"Quite clearly when you bring in a new system like Aspire, the answer would have been to roll out to the councillors, roll it out to the supplier network members.

"That will filter right through the farmer base so when farmers actually receive the new system they will have some understanding of what it's about, what the pluses are and where it's going to.

"All that sort of straightforward simple PR stuff in my view hasn't happened."

A Fonterra manager said the system was more accurate and had milk quality test results as little as two hours old. On the previous docket the information could be 36 hours old and the intake for the day was recorded manually on it.