Wattie’s interest in new Manawatu silos

Press, 12 September 1986, Page 19

Wattie’s interest in new Manawatu silos

A new grain storage and drying complex has been opened in Feilding by a Wattie’s subsidiary in expectation of a major expansion of grain growing in the Manawatu and Rangitikei. Pacific Cereals Manawatu, Ltd, wants to construct storage for 45,000 tonnes eventually, making the Feilding complex the largest of its type in New Zealand. Wattie’s Industries cereal milling division has a 37.5 per cent shareholding in the new complex, with an equal amount held by Thomas Corson Holdings grain and milling division of Gisborne and 25 per cent by Tarrarua Farm Products, a division of the Tui Dairy Company of Masterton.

Wattie’s already owns Manawatu Mills, Ltd, the Palmerston North flour mill, through its Northern

Roller Mills subsidiary. The manager of the newly formed Pacific Cereals, Mr lan Clark, said it was obvious that a shift of emphasis in grain growing closer to the major North Island consumer markets was needed. Such a shift would negate the high cost of freight from the South Island and help retain a competitive edge for New Zealand grain growing after deregulation of the wheat industry, he said. “The Manawatu was the obvious place for an expansion of the arable scene because of its geographical layout, climatic conditions and soil structure. “Of major importance also was the fact that the area had existing experienced grain growers who, with meat and wool farmers, were looking to

expand or diversify, but they required an injection of confidence and stability to proceed,” Mr Clark said. The Feilding complex has cost about $3 million and is reportedly the biggest domestic contract Bisley Industries has undertaken. To ensure rapid intake, three pits with capacities of 25, 15 and 10 tonnes and a combined throughput of 300 tonnes an hour have been installed. Nearly that much per hour can be loaded out as well. The silo complex incorporates a 25-tonne-an-hour drier and the whole complex is computer controlled. Corson Holdings is a long-established grain company from Gisborne which is also operating in the Waikato in partnership with Wattie’s.