Key Takeaways
- Hawke’s Bay mayors Wendy Schollum (Hastings) and Will Foley (Central Hawke’s Bay) have asked McCain Foods to pause any major changes at its Hastings frozen‑vegetable plant for eight weeks while growers explore a feasibility study for a grower‑owned operation.
- The proposed study would assess infrastructure, market opportunities, logistics, energy and water use, workforce needs, and overall commercial sustainability of a locally‑owned processing facility.
- Both mayors stress that the request respects McCain’s commercial decision‑making but aims to preserve regional manufacturing capacity, grower confidence, and New Zealand’s food‑security outlook.
- They emphasize that government support—providing expertise, funding, and coordination—is critical to completing the study quickly and rigorously.
- Discussions have already involved central government ministers and MPs, framing the issue as broader than a single plant: it concerns the future of regional food production and resilience.
- The mayors remain committed to collaborative work with growers, government, and McCain, awaiting the company’s response to the pause request.
Background and Impact of McCain’s Closure
McCain Foods announced the closure of its frozen‑vegetable processing plant in Hastings after a review concluded that “no sustainable pathway” existed under its current operating model. The decision affects more than 100 local growers who rely on the facility for processing their crops, threatening a significant portion of Hawke’s Bay’s agricultural output and the ancillary businesses that have grown around the plant’s long‑standing presence. The closure would not only erase a major employer in the region but also disrupt the supply chain that links farmers to domestic and international markets, raising concerns about the loss of expertise, infrastructure, and economic activity that has built up over decades.
Mayors’ Request for an Eight‑Week Pause
In response, Hastings District Mayor Wendy Schollum and Central Hawke’s Bay Mayor Will Foley wrote a formal letter to McCain Foods requesting an eight‑week moratorium on any substantial alterations to the Hastings plant while growers conduct an independent feasibility study. Schollum explained that the pause would keep the facility “substantially intact,” allowing time to evaluate whether a credible commercial pathway exists for continuing large‑scale food processing in Hawke’s Bay. The mayors framed the request as a pragmatic step to avoid premature loss of capability that could foreclose future opportunities for the sector.
Details of the Proposed Feasibility Study
The envisioned study would examine a range of factors essential to determining the viability of a grower‑owned processing operation. These include the physical infrastructure required to retrofit or repurpose the existing plant, market opportunities for both domestic and export sales, logistics considerations such as transport and storage, energy and water consumption profiles, workforce needs and skill requirements, and an overall assessment of commercial sustainability. By analysing these elements, the study aims to produce a robust business case that could guide investment decisions, funding applications, and potential partnership models if growers choose to pursue ownership or joint‑venture structures.
Mayors’ Stance on Respect and Constructive Dialogue
Both mayors were careful to emphasise that their request does not challenge McCain’s right to make business decisions based on its commercial realities. Foley acknowledged the difficulties McCain faces and affirmed respect for the company’s position, while Schollum reiterated that the goal is a “constructive and pragmatic process.” They seek to work alongside McCain rather than oppose it, hoping that a temporary pause will enable all parties to gather the necessary information before irreversible steps—such as dismantling equipment or selling the site—are taken. This approach underscores a desire for collaboration over confrontation, aiming to preserve goodwill and keep the door open for future cooperation.
Government Support and Ongoing Discussions
Foley and Schollum stressed that government involvement would be indispensable for the feasibility study to proceed with the speed, independence, and technical rigour required. They called for access to expert analysis, potential funding mechanisms, and coordination assistance from central agencies to ensure growers can obtain the insights needed to judge whether a sustainable long‑term future exists for the sector. The mayors noted that recent meetings with government ministers and Members of Parliament have been encouraging, indicating a willingness to explore support options. They framed the issue as extending beyond a single plant, touching on regional manufacturing vitality, grower confidence, and New Zealand’s broader food resilience and security objectives.
Broader Implications for Regional Manufacturing and Food Security
Schollum highlighted that the discussions transcend the Hastings site, addressing the future of regional food production more generally. The potential loss of a major processing hub could erode grower confidence, discourage investment in horticulture, and weaken the province’s capacity to contribute to national food supplies. Conversely, a successful transition to a locally‑owned operation could reinforce Hawke’s Bay’s role as a key node in New Zealand’s food‑security network, retain skilled jobs, and maintain the economic ecosystem that includes suppliers, transport firms, and service providers that have grown around McCain’s presence. The mayors therefore view the feasibility study as a strategic safeguard for the region’s long‑term prosperity.
Current Status and Next Steps
As of the latest update, McCain Foods has been contacted for comment on the mayors’ request, but no formal response has been disclosed. Schollum and Foley reiterated their commitment to continue working collaboratively with growers, government, and McCain as the dialogue progresses. The eight‑week pause, if granted, would provide a critical window for the feasibility study to be completed, after which stakeholders could make informed decisions about the plant’s future—whether that involves pursuing a grower‑led model, seeking alternative investors, or accepting the closure with a clear understanding of the consequences. The outcome will likely serve as a bellwether for how New Zealand balances corporate decisions with regional economic interests in the agricultural sector.