Tuesday, December 5, 2023

Ravensdown jobs at risk as sales slump

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‘Projected sales volumes for this financial year are looking to be significantly down’
Ravensdown CEO Garry Diack says supplying nutrients to New Zealand farmers remains core to the Ravensdown business.
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Fertiliser Co-op Ravensdown will be undergoing a company restructure after drop in sales volume. 

CEO Garry Diack said this follows a challenging 18 months for food and fibre production across New Zealand. 

“Weather disruption and increasing costs – fuel, interest rates and volatile fertiliser prices – means farmers and growers across New Zealand are buying significantly less fertiliser,” he said.

 “Our projected sales volumes for this financial year are looking to be significantly down on the previous financial year, and it is unlikely that fertiliser demand will return to traditional levels in the immediate term.”

Diack has signalled redundancies, saying the changes will help Ravensdown align with reduced demand for its  products, with changes impacting employees. 

 “We are proposing a number of changes to our organisational structure, and we have begun consulting with potentially impacted employees and their representatives.  

“Ravensdown has a strong balance sheet, and this review is designed to realign our operating model and capabilities to changes in the industry and market.”

Diack said the restructuring is “not a consequence of the impact of Cyclone Gabrielle on our Hawke’s Bay operation at Awatoto. We are actively planning for a resumption of manufacturing at Awatoto in the near future following rejuvenation of the site from flooding, and we remain committed to the region as a significant employer and partner.”

Ravensdown anticipates the changes will be nailed down by the end of May.

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