And then there was one

Many of the south’s meat companies have lately been on a not-so-slow boat to Chinese ownership or control.

Deals for takeovers and makeovers, each of them citing capital injections, marketing and distribution benefits, have become commonplace at our place.

Blue Sky now has shareholder approval for a takeover by Binxi, subject to Overseas Investment Office approval.

Prime Range is in the hands of Cuilam, which took over previous owner Linhua.

And the large but insufficiently mighty Silver Fern Farms was last year left exhaling in relief from the eventual shareholder approval for a 50-50 partnership in which Shanghai Maling has the controlling interest.

All of which means Alliance stands as Southland’s – actually New Zealand’s – one true farmerowned red-meat co-operative.

You may have known that already, since Alliance tends to bring such matters up.

The scale of Chinese land and business investment in Southland troubles more than a few southerners that we’re on a progression in which Chinese markets lead to Chinese partners. Which lead to Chinese owners. Which lead to Chinese overlords.

And along the way we watch as profits and self-determination go ba`i-ba`i.

Such fears cannot be disregarded as utterly fanciful, any more than the visions of glorious benefits from the new setups could be.

We can skip lightly over the fact that the meat industry has been gasping for capital.

All the recriminations in the world about why things reached that stage don’t change the fact the need had to be addressed.

We can remind ourselves that an outfit like Maling has the marketing and distribution clout in China to mightily boost returns for both partners.

Pretty much wherever individuals stand on these issues, the future of Alliance is massively important.

It represents an alternative option that has practical, not just patriotic, significance as somewhere suppliers could turn if Chinese-controlled meat companies fail to satisfy.

Such are the benefits of robust competition, wouldn’t you say?

But a lingering concern is the possibility of a procurement war in which the Chinese with their capacious pockets are prepared for their companies to pay over the odds for purely tactical reasons, sucking up the losses long enough to sufficiently weaken the Alliance that its stamina, or its bankers’ stamina, gives out.

It’s just a scenario, and one we’ve surely heard before.

Let’s keep it in mind.