Thursday 01 November 2012
A northern NSW dairy co-operative has announced a $5.7 million profit to its members.
Norco paid an average of 53 cents a litre to its 160 suppliers in NSW and Queensland and those farmers will now share in a $700,000 dividend.
But Norco's chairman, Greg McNamara, says the majority of the profit will be reinvested back into the business.
"We're keeping around $5 million back in the business approximately and we plan to put around somewhere between $9 million and $10 million back into activities this year for new equipment, upgrading and just looking after the business and making it a better business."
Mr McNamara says the co-operative is hoping to increase its ice cream exports.
"It's only about 4 or 5 per cent of the business, but over time we expect that to get up to around 20 per cent and that's our strategic plan over the next two or three years."
Norco currently exports its ice cream to the United States and Japan, but wants to further expand into Asia.
"Everyone's been told that agricultural products or food processing is the next boom in Australia and we're trying to be on the front food and access those markets," Mr McNamara said.
"It does take some time to develop the customers, you have to develop the relationships and spend time and bring those people to Australia and let them know what we're doing in the business and giving them the Australian experience that we can actually do what they want
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