Subject: NZ Dairy in trouble
There is a good article by Tony Waugh, Farmers Weekly August 24th entitled ‘Where to now for the dairy industry?’ He fears the loss of NZ farmland to overseas buyers if the downturn is prolonged.
To me it could be even worse. Fonterra itself could become a victim because of it’s debt levels, and pressure from desperate shareholders. It would only take a change in the Constitution. China, despite it’s internal debt problems still has large reserves!
Re: YOUR COMMENTS – NZ DAIRY IN TROUBLE – My Comment: THAT’S NOT ALL – A WORLD DEPRESSION IS STARTING RIGHT NOW!
I agree with you, Fonterra and dairy farmers are in very big trouble. Soon property prices are going to crash as farmers wake up to the realization their losses are going to continue, and people in the cities, many with high debt levels, will start worrying about their jobs, rather than house prices going up!!! It’s not only dairy farmers and Fonterra who are in real trouble Paul!
Unfortunately, while the storm is beginning now, most people haven’t recognised it yet, and like sheep, won’t react until the last minute when they feel it.
Right now, a massive global financial crash and WORLD DEPRESSION is starting. It is economic warfare at its finest, being manipulated by British bankers in London. They’ve been doing this systematically for about 800 years. All part of a plan to take over all the assets of the world. Its all part of what bankers call “economic harvesting” where they gradually lower interest rates and pump easy credit out into the economy thus inflating asset prices and stock prices, then they quickly create a crisis (in this case by collapsing the price of oil and many commodities to tighten liquidity and reduce incomes and profits, and when that happens the masses can’t service their loans), so Mr Banking Pirate comes in, forecloses on the debt, and takes all the assets and goodies. Simple as that, but this time they’re doing it on a global scale.
I’ve prepared for it, (as have others) and have been amazed that the whole stack of cards hasn’t collapsed long before now. Have been warning about it for many years, over 2 years now have been warning about the steady collapse of global commodity prices – but very few people have been listening it seems, including even some of my friends!!!!!! So they, too, are going to soon be severely punished. The Party is OVER!
Now it’s starting to happen, and many who have been warned still don’t know!!!!!! – and like most of the general population, are soon going to pay dearly for their ignorance and be trampled down in the stampede when the Government, and highly overpaid, incredibly incompetent executives of our major public companies finally wake up to the fact this is not a normal business cycle but the entire disintegration of the global financial system designed to being in the New World Order.
Global markets across the board are going down like a stone today. In Asia today (Monday 24th August 2015) it was bedlam. On Friday the Dow fell by 530 points, the 9th biggest fall in US history, and I suspect when it opens soon on their Monday it may continue to be another shocker.
Anyone in any business at all, if they haven’t already, need to quickly plan and taken action to anticipate the financial storm that is developing – NOW!
Bluescope Steel Limited
I see here on the 6 O’clock TV One News tonight, that Bluescope Steel is reviewing its steelmaking operations both in Australia and New Zealand and is looking at closing our only big steel mill, the Glenbrook Steel Mill in South Auckland, and two iron sands export operations on the West Coast unless it can quickly save $50 million a year by rapidly reducing costs because steel prices are collapsing so fast. I looked at Bluescope’s financials this evening, and their share price is collapsing. It made a $31 million loss before interest and tax on our iron sands exports alone in the last financial year. Today, its share PRICE EARNINGS RATIO (PE) is 459.90 which is dog tucker material, when the average for the stock market should be 5 or 10.
So this means the company is basically going to go belly up soon. When this happens, 16,000 employees will lose their jobs! They have a big integrated steelworks too at Port Kembla near Wollongong, NSW, and I feel that will be one of the first to go as well. This is a large, multi-billion dollar company. The only consolation for us here in NZ and Australia is its mainly owned by big US investment Funds now, which if this situation with Bluescope is repeated, will see these giant investment funds like Vanguard and BlackRock who are the biggest shareholders, take an enormous beating on the US market! Everything is so inter-dependent now.
I’m just looking at a report on today’s financials around the world so far as I write:
1.Chinese Market suffers biggest fall since 2007 (a jaw-dropping 8.5%, at 3209 points)
2.FTSE 100 plunges 2.8% at the open
3.Chinese investors watch Black Monday unfold
4.Australian Market closes down 4% – worst one day fall for six years
5.Japan’s Nikkei posts biggest fall since June 2013
6.Australia’s A&P/ASX 200 is down 3.73% at 5,020
This is 1929 Stock Market Crash material – real serious – and yet, nobody around here seems to be concerned at all!
I’ve been trying to tell my emailers for quite some time Paul.
Remember the Boy Scouts Motto – “Be Prepared.”
All the best.