The biggest drop in global milk prices for four years is yet another blow to the dairy industry and the many neglected regions that rely on it, says Labour’s Economic Development Spokesperson David Clark.
“This 13 per cent drop in milk powder prices will create an economic black hole of more than $6 billion. The lion’s share of the pain will be felt in regions that National is neglecting.
“Many small communities are now almost solely reliant on dairy farming.
“The fall in dairy prices shows National’s failure to diversify is hurting the economy, both locally and nationally.
“Instead of growing other sectors, Steven Joyce and Bill English are even more obsessed than ever with their milky way.
“That’s not fair on rural communities. It’s not their fault the economy relies so heavily on them. Farmers shouldn’t be the only ones shouldering the burden when it comes to New Zealand’s economic fortunes. They have more than enough on their plate already and are getting sick of it.
“The Government has failed farmers and the wider economy by not encouraging other sectors to grow and contribute to economic growth. Despite promising to rebalance the economy they haven’t even got out of the starting blocks.
“New Zealand needs a modern, diverse economy that creates well-paying jobs across all industries. We are beginning to see the problems of a one-dimensional economy,” David Clark says.