MANUFACTURING

Why Has the Share Market Missed Skellerup's Global Domination of Milking Sheds?

Friday 10 October 2014, 12:53PM
By Manufacturers Success Connection
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Skellerup's world leadership in industrial customisable milking shed dairy linings among other products remains a secret as far as financial markets are concerned.

The New Zealand Stock Exchange main board company has found its shares dipping this year in harmony with Fonterra's expectations for its payouts to dairy farmers.

In fact Skellerup and a handful of other such specialist manufacturers for dairy farmers are moving into the luxuriant high pastures of the global industry while clouds form over domestic dairy farming

The reason is that just because the value of New Zealand milk has risen in recent years, so other nations have sought to bring in their own pastoral capacity.

This means turning to New Zealand dairy industry component manufacturers such as Christchurch-based Skellerup, a manufacturer that dates from the pioneer era.

An example of Skellerup's high level of specialisation is its tiny but highly automated green field milk liner plant in the North Island. It has a payroll of under a dozen, yet the plant's products dominate dairy filtration worldwide.

 

Peter Isaac       MSCNewsWire