The Australian Competition and Consumer Commission (ACCC) is encouraging south-west dairy farmers to make a submission into its inquiry into Saputo’s bid to acquire Murray Goulburn.
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ACCC commissioner Mick Keogh said farmers had until Monday to tell the ACCC if they feared the bid would reduce competition in the dairy industry.
Mr Keogh said the ACCC would announce by February 15 whether it had any issues with the proposed sale.
If the proposed $1.3 billion sale goes through, it will mean the Canadian-based Saputo will have two large dairy processing plants within 28 kilometres of each other in Moyne Shire.
Saputo has recently expanded its Warrnambool Cheese and Butter plant but said it would seek to regain milk supply for Murray Goulburn’s (MG) Koroit plant if its purchase bid was successful.
Saputo has to also gain approval from 50.1 per cent of MG farmer shareholders and the Foreign Investment Review Board for the sale.
Some local MG suppliers have said the co-operative was in such bad financial shape, they had no option but to approve the sale.
