Doubt has been cast on the future of the Saputo takeover of Murray Goulburn, with the Australian Competition and Consumer Commission voicing concerns about what it would mean for competition in Victoria's west.
In a Statement of Issues paper released today, the ACCC said its concerns around the proposed acquisition are solely in relation to Murray Goulburn’s Koroit dairy plant in western Victoria, in particular the impact the acquisition will have on competition for farmers’ milk in the area.
Saputo, Murray Goulburn and Fonterra are the only major competitiors in the region, with the ACCC voicing concerns that a Saputo takeover would see the company control over two-thirds of raw milk processing capacity in the region.
The ACCC invites further submissions from interested parties in response to the Statement of Issues by 13 March.
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