Carter Knee Deep In Manure
"Smile and Wave" Key has at a recent press conference shut down all discussion on the Crafar farm sale. While mentioning he had spoken to David "Brown Envelope" Carter over the Minister's comments regarding the potential success of the UBNZ/Natural Dairy OIO application, SAW then did his best not to add to the issue. Carter is now a firm no comment.
It is quite clear that SAW knows and respects the process of the OIO by his lack of comment, but the issue is - does his Minister in stating the sale was "unlikely to go through"?
While FIGJAM Power and Maurice "Tigger" Williamson will decide the outcome of the application in all likelihood, have Brown Envelope's comments now thrown the whole thing into disarray where they have to accept if conditions are met else face a claim of collusion, pre-determination and damages that the poor taxpayer will have to fork out for?
Throwing a spanner in the works is that rumours are now out that Landcorp went to KordaMentha last week and put an offer on the table for the Crafar farms. At that stage KordaMentha had already signed the conditional deal with UBNZ for the farms based on the outcome of the OIO approval. The Landcorp offer seems to be at a lower price.
And here is where the issues with private vs public ownership in a market coming into play and why government shouldn't intervene through a publicly owned business in private business where it also is a regulator. The OIO process, for the good of New Zealand's reputation, cannot be corrupted in any way, but how bad would it look now if the OIO approval is turned down for any reason other than lack of capital, by Ministers FIGJAM and Tigger, and Landcorp end up owning the farms? That Transparency International rating for least corrupt country would be given a fair nudge. This sort of play is precisely what the Chinese gone past are accused of running in their own country. And we know how that looks and how it would affect New Zealanders trying to trade in China under free trade agreements.
And if Landcorp have actually bid to buy the Crafar farms, will farmers now be able to scream "yellow peril" every time they want to sell land and have Landcorp buy it? If not then why not? Trevor Mallard on Red Alert has already suggested Landcorp buy the farms . Has the SOE listened to Labour?
It is quite clear that SAW knows and respects the process of the OIO by his lack of comment, but the issue is - does his Minister in stating the sale was "unlikely to go through"?
While FIGJAM Power and Maurice "Tigger" Williamson will decide the outcome of the application in all likelihood, have Brown Envelope's comments now thrown the whole thing into disarray where they have to accept if conditions are met else face a claim of collusion, pre-determination and damages that the poor taxpayer will have to fork out for?
Throwing a spanner in the works is that rumours are now out that Landcorp went to KordaMentha last week and put an offer on the table for the Crafar farms. At that stage KordaMentha had already signed the conditional deal with UBNZ for the farms based on the outcome of the OIO approval. The Landcorp offer seems to be at a lower price.
And here is where the issues with private vs public ownership in a market coming into play and why government shouldn't intervene through a publicly owned business in private business where it also is a regulator. The OIO process, for the good of New Zealand's reputation, cannot be corrupted in any way, but how bad would it look now if the OIO approval is turned down for any reason other than lack of capital, by Ministers FIGJAM and Tigger, and Landcorp end up owning the farms? That Transparency International rating for least corrupt country would be given a fair nudge. This sort of play is precisely what the Chinese gone past are accused of running in their own country. And we know how that looks and how it would affect New Zealanders trying to trade in China under free trade agreements.
And if Landcorp have actually bid to buy the Crafar farms, will farmers now be able to scream "yellow peril" every time they want to sell land and have Landcorp buy it? If not then why not? Trevor Mallard on Red Alert has already suggested Landcorp buy the farms . Has the SOE listened to Labour?
The issue remains that here are some Chinese players, actually trying to play by the rules and process to gain OIO approval, now having a Minister and a Senior one at that, comment about the likelihood of success of their application. A Minister through his role as Minister of Agriculture close to Landcorp and Fonterra.
I doubt SAW or his Cabinet knew about the Landcorp bid, but can the same thing be said about Carter?
The Chinese are now incensed by the matter, putting out very strong comment for a culture that usually has a "wait and see" approach to business deals.
So question for the day and homework for the MSM, is the rumour true and have Landcorp bid for the Crafar farms and now wait in the wings?
posted by Cactus Kate at 2:44 PM
7 Comments:
Auckland Airport all over again
Landcorp's watching, but no bid yet.....
PB.
The Chinese deal is supposed to be subject to a condition which would allow the receivers to accept a better offer - not sure by when. In which case there could actually be multiple alternative bids.
The more interesting question is how did David Carter reach his view about the outcome of the OIO process. Did he just pull it out of his own backside or has he been speaking with people with inside knowledge?
If you are right about Landcorp, it would be a smart move by them but a major brain fart by the Minister.
The farms do not have to be sold as a parcel lot but can be acquired individually. It is difficult to perceive how the Government could cast a blanket embargo on an individual sale.
Cadwallader.
Will Stiassny keep any excess of receipts over what is owed to the various creditors, and do his fees register in the secured ranks and take premier position?
Correction Kate, he is not standing in it, the man is full of it.
Don't call me a Labour Party dickwit. I hate the bastards.
But this farm sale bit is really quite important. I am sure that the purchase of farm land in NZ must be restricted to NZ citizens and residents.
The answer is for Stiassny & Co. to put the farms up for sale on an individual basis for Kiwis to buy. The overhang will depress prices and reduce them to a level that a frugal conscientious Kiwi could afford.
And the only loser would be the foreign banks that lent far too much to fuckwits. Bloody hell; I read where Crafar was proud to announce that he did not have a computer. My mate who runs two big big dairy farms spends more time on his wireless laptop than he spends in the cowshed. Once upon a time the dumb boys at school could leave school and run a farm. Nowadays farm management is too tough for the not so bright, unless they have a debt level of less than 12% of assets. Even Trevor Mallard could run a farm like that. And the only thing he has ever run in his life is a bath.
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