31 Jan 2012

$14 million to be spent on Crafar farms upgrade

10:34 am on 31 January 2012

Landcorp plans to spend $14 million upgrading the Crafar dairy farms as part of a deal struck with Shanghai Pengxin.

The Government last week approved the sale of the 16 Crafar dairy farms to Shanghai Pengxin - conditional on Landcorp running the farms.

The sale is being criticised by those who want the land to remain in New Zealand hands.

But Landcorp chief executive Chris Kelly says the deal has long-term economic benefits for New Zealand.

He told Nine to Noon the $14 million that Landcorp will spend on upgrading the farms in the next few years will generate jobs.

Mr Kelly also said Landcorp plans to set up a training school to upskill dairy workers.