Alliance Group has distributed $4.5 million to its committed farmer-shareholders as part of an initiative to reward loyalty.
The co-operative’s platinum and gold farmer shareholders are paid a loyalty payment for each stock species they supply to Alliance. That means farmers supplying 100 per cent of their lambs are paid an additional 10 cents per kilogram per animal, sheep 6c/kg per animal, cattle 8.5c/kg per animal and deer 10c/per kilogram per animal.
The co-operative has so far distributed more than $13.8 million including GST in loyalty payments to farmers this year.
David Surveyor, chief executive of Alliance, said the payment recognises the loyalty of farmer shareholders.
“Our shareholders are rewarded for their committed and consistent livestock supply. These loyalty payments strengthen our competitive advantage, building on our efficient livestock processing position and market penetration.
“Alliance is now New Zealand’s only remaining 100 percent farmer-owned red meat co-operative. That means every cent is either re-invested back into the business or delivered back to farmer-shareholders.
“Alliance’s Co-operative Principles also mean the interests of farmer-shareholders are at the heart of every decision the company makes.”