The problem with that article Gourmet is that when the broader market turns back down again (looking like it has already started in China) so too will dairy product consumption. And the debt burden within the sector is frightening, scaring off any future investors in the story. All that new gear down in the South Island is high cost and highly geared. Anyone looking to exit will have to savage asking sale prices and that will be disastrous for the industry which is a shade of its former self without even close to average credit in flows ... tragically and unfortunately, dairy is the front page of the agricultural subprime story.
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