Ravensdown expands into new territory

Ravensdown expands into new territory

Ravensdown has joined forces with Australian fertiliser supplier, Direct Farm Inputs (DFI) to strengthen supply lines into Australia.

This is Ravensdown’s third expansion into Australia since 2008 says Ravensdown’s CEO Rodney Green.

“A larger operation drives purchasing and logistics volume efficiencies benefiting our shareholders on both sides of the Tasman,” he says.

Ravendown has about half the New Zealand fertiliser market and in 2008 Ravensdown merged with Western Australian co-operative United Farmers. Then, in 2009 it expanded into Queensland after being invited by the Queensland CANEGROWERS Association.

DFI was established by South Australian farmer Leighton Huxtable and Goondiwindi farmer and chemical manufacturer John Hurley in December 2008.

In South Australia, DFI has been selling to growers and buying groups directly, helping reduce prices. “DFI has already distributed more than 150,000 tonnes this year and we hope to increase this substantially to further improve efficiencies,” Mr Huxtable says.

The synergies of a business owned and run by two farmers and Ravensdown is an ideal recipe to add competition and see that fertiliser prices remain competitive throughout South Australia, Victoria and New South Wales using DFI’s out-loading warehouses at Port Adelaide, Melbourne, Newcastle and Brisbane.

Ravensdown makes any decision to expand with care and due diligence. “We only move into areas where we can add value, and where we can protect the business for our existing shareholders,” Mr Green says.

ENDS

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