web analytics
The Standard
Advertising

Pengxin’s outrageous profiteering attempt

Written By: - Date published: 12:00 pm, June 29th, 2012 - 21 comments
Categories: farming, overseas investment - Tags:

Shanghai Pengxin’s bid to buy the Crafar Farms was accepted the second time around because of promises that it (actually, Landcorp) would invest in building the farms’ productivity in a way a New Zealand buyer couldn’t. Instead, they immediately turned around and tried to sell 3 of the farms at an outrageous profit – offering to on sell to iwi 3 farms that include sacred areas at a 50% premium over what it is paying.

Pengxin has shown it has no intent of being bound to the commitments it has made to the Overseas Investment Office. This should aid the New Zealand group suing to stop the sale of the farms to Pengxin no end.

In a huge coincidence, Russel Norman’s bill that would ban farm sales overseas just drawn from the members’ ballot yesterday. In light of Pengxin’s behaviour, National’s going to have to give us some bloody good reasons for voting it down.

21 comments on “Pengxin’s outrageous profiteering attempt”

  1. mike e 1

    As the global economy continues to stay in depression except for a small number of countries.
    the spotlight turns to China and its economy,
    The various types of companies mostly state owned.
    Profit is missing from most companies.
    What China is doing is taking much of the Worlds resources And manufacturing as possible
    ( behaving like a monopoly)
    In the future when they have wiped out most of the competition through uncompetitive practices they will be able to make huge profits.

    • darkhorse 1.1

      Except they will have no customers to sell to mike e. That is what Germany has done to Europe. Europe is not a Greek problem it is a German Problem. We have a China Problem.

      There is no point in running a highly subsidised economy that destroys your customers ability to produce and earn while at the same time loaning them money to buy your highly subsidised goods.

      That is not trade.

      The end outcome of this strategy will be more like the highland clearance than anything else. Once dispossessed we will be driven from our land. It happened to the Scots – it happened to the Maori and every other indigenous population – it is now happening to the majority of us.

      John Key doesn’t care – only money matters to him – he is not a New Zealander he is an Internationalist and he is an agent for the new Corporate Feudalism. This is the psychopathic behaviour of the compulsively acquisitive – ultimately self-destructive but the pathologically greedy can’t see that they are blinded by the need to own things and by their own sense of superiority.

      We the sheeple allow it to happen by our apathy.

      • Bill 1.1.1

        John Key is no internationalist ‘darkhorse’. Globalist, perhaps. But internationalist? Absolutely not.

        • darkhorse 1.1.1.1

          Wouldn’t split hairs with you on the semantics Bill but yes maybe a Globalist perhaps more accurately a corporatist, definitely not a nationalist =- though possibly an Hawaiian

          • Bill 1.1.1.1.1

            It’s not mere semantics darkhorse. Internationalism has a very long history and is a term and idea firmly rooted in the left.

  2. ghostwhowalksnz 2

    The bid is still under legal challenge which could rule the OIO approval invalid , for a second time.

    Interestingly the sale to iwi offer was conditional on them withdrawing from the legal action. Could they have wanted to lock them into buying the milk as well so they were glorified sharemilkers ?

    Chinas milk production is twice that of New Zealand just out of interest. And Chinas production is half that of India.
    If they wanted security of supply of a insignificant food product you think they would be paying us to show them how…. oops Fonterra tried that which ended with dead babies

  3. bbfloyd 3

    “national going to have to give us some bloody good reasons for voting it down”… They’ve gotten away with using specious bullshit for the last four years…. what is going to be different this time?

    Is the news media going to actually report this accurately? Or are we just going to get more of the obsequious cheerleading going on now?

  4. Jackal 4

    I hate to point this out but… the sixteen dairy farms consist of an area the size of Hamilton, comprising of around 7892 Hectares. The two Bennydale farms are 1687 Hectares and the Taharua Road, Rangitaiki farm on the Napier Taupo Highway is 1751 hectares. So that’s 3438 Hectares or 43.5% of the total land area Shanghai Pengxin apparently purchased for $210. Therefore the actual price equivalent to what Shanghai Pengxin is believed to have paid for the three farms in question is $91.35 million, well above the amount offered.

    • McFlock 4.1

      land valuing isn’t my area, but it would depend on the development and use of the land, not just the total area. e.g. how much of them are gorse or native bush?

      • ghostwhowalksnz 4.1.1

        The iwi, who would have their own valuation from their attempts to buy it off the bank, seem to have that number allready

  5. fender 5

    Makes Pita Sharples look rather silly after his trip to China performing impromptu haka etc. declaring Shanghai Pengxin partnership a good thing, a 180 degree change to his earlier stance. He was on the 6 oclock news stating how Maori were to be given some of the farmland back. Guess he was severly mistaken and a huge rise in the cost was somehow lost in translation.

    • prism 5.1

      Don’t sneer at Pita Sharples. Maori are attempting to grow their bit of the economy and though we don’t like some Chinese moves we including Maori have to keep talking and trying to advance business projects.

  6. tracey 6

    be warned this is what will happen if a new govt wants to buy back the energy companies, in a couple of short years, notwithstanding GFC and recession the price will have risen enormously.

    • darkhorse 6.1

      The government can buy the assets back at what ever price it wants to pay. It is the government it makes the rules. Rule making can work two ways for the people or against the people =- presently they are working against us. That must change.

      These sales are theft not just of an community asset but of a cornersrtone of our nation’s future.

  7. Bill 7

    A private land owner attempting to convert land ownership into as much money as possible? Who’d ‘av thunk it?

    Oh yeah that’s right. Only every other land owner of the past couple of hundred years or so is all. (And that’s a very generous 50% approximation)

  8. Spam 8

    I’m sure Michael Faye’s consortium had purely altruistic motives, and would not have tried to sell any of the farms, instead donating them to charity.

  9. Macro 9

    “National’s going to have to give us some bloody good reasons for voting it down.”

    James, when has “reason” ever been a motivation for action by this crowd??

Important links

Recent Comments

Recent Posts

  • Recognizing Palestine: The European Parliament Votes
    Last week I wrote a blog drawing attention to Sweden’s formal recognition of the state of Palestine (the second Western state to do so after Iceland).  That move has created ripples throughout the international community. In recent months the parliaments… ...
    GreensBy Kennedy Graham MP
    2 days ago
  • Recognizing Palestine: The European Parliament Votes
    Last week I wrote a blog drawing attention to Sweden’s formal recognition of the state of Palestine (the second Western state to do so after Iceland).  That move has created ripples throughout the international community. In recent months the parliaments… ...
    GreensBy Kennedy Graham MP
    2 days ago
  • Recognizing Palestine: The European Parliament Votes
    Last week I wrote a blog drawing attention to Sweden’s formal recognition of the state of Palestine (the second Western state to do so after Iceland).  That move has created ripples throughout the international community. In recent months the parliaments… ...
    GreensBy Kennedy Graham MP
    2 days ago
  • Minister has work to do over Xmas
    Red flags raised in a multi-agency review into how Phillip Smith was able to flee the country highlight the inadequacies of those very same agencies not having red flags in place that would have notified them of his plans, says… ...
    2 days ago
  • Minister has work to do over Xmas
    Red flags raised in a multi-agency review into how Phillip Smith was able to flee the country highlight the inadequacies of those very same agencies not having red flags in place that would have notified them of his plans, says… ...
    2 days ago
  • Minister has work to do over Xmas
    Red flags raised in a multi-agency review into how Phillip Smith was able to flee the country highlight the inadequacies of those very same agencies not having red flags in place that would have notified them of his plans, says… ...
    2 days ago
  • Gerry Brownlee’s revolving airport door story
    A new report shows Gerry Brownlee is the latest Cabinet Minister to have contracted the infectious tell-porkies-until-you-are-caught disease, Labour’s Chief Whip Chris Hipkins says. “A Civil Aviation Report out today shows that despite being an extremely recognisable figure, Gerry Brownlee… ...
    2 days ago
  • Gerry Brownlee’s revolving airport door story
    A new report shows Gerry Brownlee is the latest Cabinet Minister to have contracted the infectious tell-porkies-until-you-are-caught disease, Labour’s Chief Whip Chris Hipkins says. “A Civil Aviation Report out today shows that despite being an extremely recognisable figure, Gerry Brownlee… ...
    2 days ago
  • Govt spend on transport out of step with reality
    The National Government is planning to allocate ever increasing amounts of taxpayer funding to build expensive new motorways despite record numbers of New Zealanders flocking to buses and trains, said the Green Party. The Government released its Government Policy Statement… ...
    GreensBy Julie Anne Genter MP
    3 days ago
  • Govt spend on transport out of step with reality
    The National Government is planning to allocate ever increasing amounts of taxpayer funding to build expensive new motorways despite record numbers of New Zealanders flocking to buses and trains, said the Green Party. The Government released its Government Policy Statement… ...
    GreensBy Julie Anne Genter MP
    3 days ago
  • Solar homes stymied by Govt inaction
    Government inaction is allowing the big power companies to discourage the nascent solar power sector, the Green Party said today. Green Party MP Gareth Hughes launched a petition today calling on the Government to empower the Electricity Authority to act… ...
    GreensBy Gareth Hughes MP
    3 days ago
  • Foreign buyers for iconic island must add value
    Labour will look very closely at any Overseas Investment Office application to purchase Pakatoa Island if it is not bought by a Kiwi, says Labour’s Land information Spokesperson Stuart Nash. “Pakatoa is an iconic island in the middle of Hauraki… ...
    3 days ago
  • Way opening for April Sun in Cuba
    The United States of America’s President’s historic announcement yesterday to restore diplomatic ties with Cuba should be applauded by the New Zealand Government. The announcement marks a turning point in more than five decades of hostility between the two countries… ...
    GreensBy Kennedy Graham MP
    3 days ago
  • Minister ducking for cover over ‘Diplomat Case’
    Apparently the Ministerial Inquiry into what now seems to be being referred to as ‘The Diplomat Case’ ( I have a few other names for it) has been completed and is in front of Foreign Affairs Minister McCully. Initial Reports seem to… ...
    GreensBy Jan Logie MP
    4 days ago
  • Minister ducking for cover over ‘Diplomat Case’
    Apparently the Ministerial Inquiry into what now seems to be being referred to as ‘The Diplomat Case’ ( I have a few other names for it) has been completed and is in front of Foreign Affairs Minister McCully. Initial Reports seem to… ...
    GreensBy Jan Logie MP
    4 days ago
  • Energy users need answers on Vector share plans
    Energy Minister Simon Bridges needs to stop ducking for cover about whether or not the Government will support plans to nationalise and then privatise $2.1 billion of shares in the Auckland Electricity Consumer Trust, Labour's Energy spokesperson Stuart Nash says. “It… ...
    4 days ago
  • Turning up the heat on working conditions
    A “Jobs That Count” campaign has the full support of Labour, the party’s Labour Relations spokesperson Iain Lees-Galloway says. Organised by the Meat Workers Union, the campaign aims to put the spotlight on job insecurity in the meat processing industry. ...
    4 days ago
  • Biosecurity it’s everyone’s responsibility
    Biosecurity costs New Zealand millions of dollars in attempting pest eradication and much more in ongoing management of pests in farming, horticulture, beekeeping and conservation, as well as in our own backyards and recreation areas. More work must happen at… ...
    GreensBy Steffan Browning MP
    4 days ago
  • Biosecurity it’s everyone’s responsibility
    Biosecurity costs New Zealand millions of dollars in attempting pest eradication and much more in ongoing management of pests in farming, horticulture, beekeeping and conservation, as well as in our own backyards and recreation areas. More work must happen at… ...
    GreensBy Steffan Browning MP
    4 days ago
  • Failure to diversify puts prosperity at risk
    Beyond the news that a long-promised surplus is unlikely, further embarrassment is hidden in the fine print of the half year economic and fiscal update, Labour says. "National’s failure to rebalance the economy is further exposed in projections from its… ...
    5 days ago
  • Ombudsman probe targets Ministerial integrity
    John Key is on notice that the entrenched cynical and manipulative abuse of official information requests by his Government will no longer be tolerated, Labour’s Open Government spokesperson Clare Curran says. “The announcement by the Ombudsman of a wide-ranging review… ...
    5 days ago
  • Bill English’s face is redder than his books
    The Government owes New Zealanders an apology for failing to deliver the surplus it spent four years and two election campaigns promising, says Labour’s Finance spokesperson Grant Robertson. “Bill English’s face is redder than the Crown accounts. This is the… ...
    5 days ago
  • Is the Health Minister accountable to the public? He doesn’t seem to thin...
    Lately I’ve been involved in a sort of farcical standoff with the Health Minister, who seems to be under the illusion that I have no right to ask questions about conflicts involving Health Promotion Agency Board member Katherine Rich, and… ...
    GreensBy Kevin Hague MP
    5 days ago
  • A welfare system for the 21st Century
    Today Child Poverty Action Group released a background paper on ‘The complexities of ‘relationship’ in the welfare system and the consequences for children.‘ The report includes 16 recommendations to modernise our welfare system which is no longer fit for the… ...
    GreensBy Jan Logie MP
    1 week ago
  • A welfare system for the 21st Century
    Today Child Poverty Action Group released a background paper on ‘The complexities of ‘relationship’ in the welfare system and the consequences for children.‘ The report includes 16 recommendations to modernise our welfare system which is no longer fit for the… ...
    GreensBy Jan Logie MP
    1 week ago
  • Welfare system out of date and out of touch
    A new Child Poverty Action Group report released today highlights another example of how our outmoded social welfare system is harming kids, says Labour’s Social Development Spokesperson Carmel Sepuloni.  “The complexities of how a ‘relationship’ is defined in the welfare… ...
    1 week ago
  • NZ should formally recognise Palestine
    New Zealand should follow the lead of Sweden, and now recognise Palestine as a separate state On 30 October, Sweden’s new government formally recognised the state of Palestine, only the second Western country to do so, after Iceland. Down here… ...
    GreensBy Kennedy Graham MP
    1 week ago
  • NZ should formally recognise Palestine
    New Zealand should follow the lead of Sweden, and now recognise Palestine as a separate state On 30 October, Sweden’s new government formally recognised the state of Palestine, only the second Western country to do so, after Iceland. Down here… ...
    GreensBy Kennedy Graham MP
    1 week ago
  • James Shaw’s adjournment speech on behalf of the Green Party
    It is a great honour for me to speak on behalf of the Green Party in this adjournment debate. I thank my colleagues for the privilege. I became a MP only 12 weeks ago, a period of time that seems… ...
    GreensBy James Shaw MP
    1 week ago
  • James Shaw’s adjournment speech on behalf of the Green Party
    It is a great honour for me to speak on behalf of the Green Party in this adjournment debate. I thank my colleagues for the privilege. I became a MP only 12 weeks ago, a period of time that seems… ...
    GreensBy James Shaw MP
    1 week ago
  • Government can’t rely on geothermal to grow itself
    While Electricity Authority figures showing geothermal has risen from the fourth to the second highest source of power generation are a promising sign for a geothermal renaissance, there can be no cause for complacency, Labour’s Energy spokesperson Stuart Nash says.… ...
    1 week ago
  • Big bickies for bosses despite subpar performance
    While public service workers are experiencing Grinch-like wage increases state sector bosses have pocketed early Christmas presents in the form of whopper pay hikes, Labour’s State Services spokesperson Kris Faafoi says. “Unbelievably State Services Commissioner Iain Rennie got an additional… ...
    1 week ago
  • Big bickies for bosses despite subpar performance
    While public service workers are experiencing Grinch-like wage increases state sector bosses have pocketed early Christmas presents in the form of whopper pay hikes, Labour’s State Services spokesperson Kris Faafoi says. “Unbelievably State Services Commissioner Iain Rennie got an additional… ...
    1 week ago
  • Consent should come before research grants for phosphate mining
      The Government’s decision to make a grant by Callaghan Innovation to Chatham Rock Phosphate is highly questionable, says Labour’s Science spokesperson David Cunliffe.  “The fact is that the company still has to get a marine consent to mine the Chatham… ...
    1 week ago
  • Consent should come before research grants for phosphate mining
      The Government’s decision to make a grant by Callaghan Innovation to Chatham Rock Phosphate is highly questionable, says Labour’s Science spokesperson David Cunliffe.  “The fact is that the company still has to get a marine consent to mine the Chatham… ...
    1 week ago

Public service advertisements by The Standard

Current CO2 level in the atmosphere