Ornua ‘commits’ to resolving board level governance issue

The board of directors at Ornua has stated its commitment to resolving the on-going conundrum surrounding the launch of Glanbia’s Truly Grass Fed range in the US.

Last month, Ornua postponed its scheduled board meeting due to “governance issues” at board level amid growing concerns that Glanbia’s new venture would under-cut Kerrygold on price in the US cheese market

Two Glanbia representatives sit on the Ornua board of directors.

Also Read: Ornua/Glanbia debacle: ‘We mutually agreed not to proceed under one umbrella’

However, following a meeting today (Wednesday, December 12), the board of Ireland’s largest dairy exporter – with annualised sales of over €2 billion across 110 countries – stated its dedication to overcoming the issue.

In a statement, a spokesperson said: “Ornua today held its final board meeting of 2018. The board directors reviewed Ornua’s performance for 2018 and discussed key elements of the group’s international growth strategy, which aims to create value and deliver strong returns for its members and, in turn, Irish dairy farmers.”

The board said that it is focused on “protecting the interests” of the business on behalf of its members.

The directors recognise governance matters have recently arisen at board level.

“All directors have committed themselves to a process over the coming months that will work to resolve these matters,” the statement said.

Accelerating development

Looking to 2019, Ornua outlined that the focus of the board will be to work with the leadership team to continue to capitalise on Ornua’s established market leading positions in major export markets such as the US and Germany and to accelerate its development in key emerging markets.

“Ornua in 2019 will continue to invest in its brands, new product development and new routes to market to deliver value for Irish dairy farmers,” the statement concluded.