Synlait Milk

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Synlait Milk

Synlait Milk
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Primary industries with exposure to China - New Zealand's main trading partner - have felt the impact of the downturn. A2 Milk fell 2.3 per cent to $14.65 on a volume of 735,000 shares, Synlait Milk fell 3.1 per cent to $8.51 on a volume of 23,000 shares and Fonterra Shareholders' Fund fell 2.5 per cent to $3.95 on a volume of 268,000 units.

A2 Milk's key infant formula supplier, Synlait Milk, said it would not achieve previously advised earnings growth in the current year as a result of "significantly lower" infant powder base sales due to market consolidation in China.

There are many positive examples of Chinese investment in New Zealand. Some of these include Bright Dairy's investment in Synlait Milk when at the time New Zealand investors were not willing to stump up.

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