WORLD’S BEST NUTRITIONAL BUSINESS

BACKGROUND PRESENTATION
09.05.2018
Mataura Valley Milk | Business Outline | World’s Best Nutrition Plant Mindset

Governance
Management
Design - Capability
Process,
Funding
Building & Risk
Management Culture

Behaviours
Market Dynamics Quality & and Values
& Pricing Validation
+ Achievement =
Vertical
People, Policy
Capability,
Integration /
Culture &
Market Assess
Community Execution
Systems
Farmer
Supplier i.e.
Shareholder Operational
Excellence
Mataura Valley Milk | Business Outline | Values & Behaviours

OUR COMPANY CULTURE IS GUIDED BY OUR VALUES & BEHAVIOURS:

CUSTOMER FIRST – EVERYTHING WE DO IS CONSIDERING WHAT THE INTERNAL OR EXTERNAL CUSTOMER

REQUIRES AND MEETING THAT NEED. WE DELIVER WHAT IS EXPECTED AND AGREED EVERY TIME

TRUST – WE BUILD TRUST INTO EVERYTHING WE DO, WE TRUST OUR PEOPLE BECAUSE THEY HAVE THE RIGHT
EXPERIENCE AND KNOWLEDGE, WE HAVE GIVEN THEM THE TRAINING AND DEVELOPMENT REQUIRED AND
WE TRUST THEM TO BUILD TRUST WITH OUR CUSTOMER

QUALITY – WE MAKE FOOD FOR BABIES - QUALITY IS EVERYTHING

STRUCTURED THOUGHT AND ACTION – EVERYTHING WE DO IS CONSIDERED BEFORE WE ACT, WE MAKE

GOOD AND QUICK DECISIONS BECAUSE WE ACT AS ONE

SHARE WHAT WE KNOW – WE COLLECTIVELY HAVE THE KNOWLEDGE TO MAKE THIS BUSINESS SUCCESSFUL
AND TO BE SUCCESSFUL INDIVIDUALLY WE SHARE WHAT WE KNOW
 Mataura Valley Milk | Business Outline | Highly Experienced Management Team

Peter Windle Matt Steven Champak Mehta Vedika Naiker

Bernard May
Finance Manager Technical Manager GM Global Sales Quality Manager
General Manager

Our team has over 140 years of

Nathan McRae Simon Chisholm Susan WANG Dave Yardley
Process Manager Supply Chain Manager Tech. Liaison Milk Supply Manager

combined nutritional
experience

Gary Andrews Brent Robinson Sam Scott Craig Caddie

HR Manager Project Manager & Nutritional Production Health & Safety

Engineering Manger Manager Manager
Mataura Valley Milk | Business Outline | Key Success Drivers in Nutrition Market
Mataura Valley Milk | Business Outline | Fully Integrated Nutritional Business

VALUE

“We are supporting

Mataura Valley Milk
because it gives
Southland farmers
more choice of who
they supply – it’s an
exciting opportunity for
a global nutrition
company to add more
value to Southland.”

Ian ‘Inky’ Tulloch, Mataura Valley

Milk supplier

TRACEABILITY
 Mataura Valley Milk | Business Outline | Plant on track for August Commissioning

• DESIGNED WITH A “WORLD’S BEST NUTRITIONAL PLANT” PHILOSOPHY AND INCORPORATES UNIQUE DESIGN AND TECHNOLOGY

• COMPLIANT TO MPI (NZ), CFDA AND USFDA NUTRITIONAL REQUIREMENTS – FIRST IN THE WORLD TO DO THIS

• FULLY VALIDATED TO NUTRITIONAL STANDARDS - THE FIRST PLANT IN AUSTRALASIA TO DO THIS ON A GREENFIELD SITE

• PRIMARY PRODUCTION IS NUTRITIONAL PAEDIATRIC AND

ADULT BASE POWDERS & ABILITY TO PRODUCE SMP AND
WMP (NOT A DAIRY PLANT!)

• AT PEAK, THE PLANT WILL PRODUCE 32,000MT OF INFANT

FORMULA + 6,600MT OF WMP + 7,500MT OF CREAM

• ON TIME (FIRST MILK AUGUST 2018)

• RECRUITMENT TO PLAN

• EMBED OPERATIONAL EXCELLENCE AND NUTRITIONAL

CULTURE

• OPTIONS FOR FUTURE FAT PROCESSING (BUTTER, CREAM

CHEESE, OR AMF) AND DRIERS
Mataura Valley Milk | Business Outline | Product Range

MVM CAN PRODUCE THE FULL RANGE OF:

• COMMODITY POWDERS E.G./ SMP, WMP AND IWMP

• TIGHT SPECIFICATION ‘COMMODITY PLUS’ POWDERS E.G./ INSTANT FORTIFIED WMP, UHT SPEC SMP/WMP, INFANT
GRADE DRY MIX POWDERS

• FAT-FILLED POWDERS

• INFANT FORMULA BASE POWDERS

• DAIRY DERIVED ADULT NUTRITION BASE POWDERS

• DAIRY DERIVED MEDICAL NUTRITION BASE POWDERS

Mataura Valley Milk | Business Outline | Certification Standards

THE MVM GORE PLANT IS DESIGNED TO COMPLY WITH THE FOLLOWING STANDARDS FOR
MANUFACTURING INFANT FORMULA (IF) PRODUCTS IN ORDER OF HIERARCHY:

NEW ZEALAND MINISTRY OF PRIMARY INDUSTRIES (MPI)

CHINA FOOD AND DRUG ADMINISTRATION (CFDA)

UNITED STATES FOOD AND DRUG ADMINISTRATION (USFDA)– SPECIFICALLY 21-CFR-106

WE WILL BE THE FIRST GREENFIELDS NUTRTIONAL PLANT IN AUSTRALASIA TO ACHIEVE THIS

Mataura Valley Milk | Business Outline | Risk Management - Validation

PES Company Profile

Novartis Mead Abbott
Singapore Johnson China
Singapore

Abbvie Abbvie Alexion

Singapore Ireland Ireland

Standard: Givaudan
India
Mundiphar
Singapore
ma
Givaudan
Singapore
APN 21Apr2017 : Manufacture of Dairy Based Singapore

Infant Formula and Formulated Supplementary

Foods for Young Children
Validation activities also consider China and US
FDA requirements.
Mataura Valley Milk | Business Outline | Risk Management - Validation
 Mataura Valley Milk | Business Outline | Milk Supply / Shareholder Summary

THE “WORLD BEST NUTRITIONAL” PHILOSOPHY WILL EXTEND TO THE MILK SUPPLYING FARMER SHAREHOLDERS

• MILK REQUIREMENT = 100,000,000 TO 130,000,000 MILLION LITRE PA = 35 TO 40 AVERAGE SOUTHLAND FARMS

• INTEGRATED QUALITY MILK SUPPLY CHAIN FROM FARM TO MARKET – COMPLIANCE, VALIDATION AND TECHNOLOGY

• MVM NUTRITIONAL FARM STANDARDS (INTERNALLY AND EXTERNALLY VALIDATED)

• WATER COMPLIANCE AND CONSERVATION – WATER ACCORD
• ENVIRONMENTAL PRACTISE & COMPLIANCE
• ANIMAL WELFARE COMPLIANCE AND STANDARDS
• REGIONAL AND LOCAL AUTHORITY COMPLIANCE
• RISK MANAGEMENT PROGRAMME
• PKE - FREE
• MARKET ACCESS REQUIREMENTS I.E. USFDA REQUIREMENTS = E.G. MILK COLLECTION BELOW 4.4 DEGREES C
• LABOUR MANAGEMENT AND SYSTEMS
• SOME SUPPLIERS WILL HAVE THE OPTION TO TRANSITION TO YEAR ROUND AND WINTER MILK SUPPLY

• MILK PAYMENTS (1) = COMPETITIVE FARM GATE MILK PRICE + SUPPLY PREMIUM + INCENTIVES (SEASONAL AND QUALITY)

• SHAREHOLDING IN MATAURA VALLEY MILK (1) = LIKELY TO BE IN THE VICINITY OF $2.00-$2.50 PER KG OF MILK SOLID
SUPPLIED
Mataura Valley Milk | Business Outline | The MVM Brand Story

MVM AIMS TO BE THE WORLD’S BEST NUTRITIONAL BUSINESS

WE SOURCE OUR MILK FROM A SMALL GROUP OF SUPPLIERS WHO FARM SOME OF THE MOST PRISTINE
PASTURES IN NZ

WE PROCESS THE MILK WE COLLECT IN THE MOST UP TO DATE NUTRITIONAL PLANT IN THE WORLD

OUR PRODUCTS ARE USED IN NUTRITIONAL PRODUCTS MANUFACTURED BY WELL-KNOWN INTERNATIONAL

BRANDS

WE CAN TRACE OUR PRODUCT FROM COW TO CUSTOMER

OUR CUSTOMERS ARE THE CORE OF EVERYTHING WE DO – IT’S ALL ABOUT QUALITY, RELIABILITY &
EXPERTISE

WE ARE AN INTEGRAL PART OF, AND SHARE OUR SUCCESS WITH, THE LOCAL COMMUNITY
THANK YOU