Thomsons has advised iconic Australian farmer-owned co-operative, Norco Co-operative Limited, on a major 5 year milk supply contract with Coles Supermarkets Australia Pty Ltd. Special Counsel Greg Clifton led this assignment.
Norco is a dairy based co-operative in Lismore, NSW. It has 291 active members with revenues over $355 million last financial year. The co-operative manufactures a range of dairy products including milk, cheese and ice cream.
Under the new contract, Norco will supply Coles branded milk. Coles will pay Norco a premium for its milk, which will be passed back to farmers.
The agreement comes into effect in July 2014 when Coles’ contracts with existing dairy processors in New South Wales, south east Queensland and Victoria expire.
The contract further strengthens Norco and supports the ongoing sustainability of its farm business.