Gary Strickland blames owners for King Island Dairy decline

Gary Strickland, who farmed near Currie for 45 years before selling the family farm five years ago, said Saputo Dairy Australia's decision to review the future of the dairy facility did not come as a surprise to him.

"I certainly hope they sell it at a reasonable price," he said.

"If they keep the high price, I don't think they will find a buyer.

"If a new buyer comes in, they would have to grow the brand out and they would need a bigger supply to be viable.

"Twenty years ago, National Foods had the factory and they were getting 30 million litres a day and then they bought Lactos [in Burnie] and that started a downfall on the island.

"From 30 million litres, they [Saputo] are now down to five or six million litres.

"That's not only Saputo but previous owners kept dropping supply and not letting new farmers in.

"It's like they have run it down to put it in this position."

If no buyer was to come forward, Mr Strickland said it would be a "disaster".

"It's still the biggest employer on the island even with the mine starting up and it would be a disaster for the island," he said.

"We are still recovering from losing the abattoirs but with the abattoirs, beef farmers could still sell to [the rest of] Tasmania and Victoria but any dairy farmers that are left will have no market at all.

"A lot of work has gone into developing the brand in the past 50 years.

"It would be a pity to see that go by the way side."

When asked whether farmers changing their focus to beef was a reason for declining milk production, as mayor Marcus Blackie said, Mr Strickland reiterated his beliefs that it was the fault of Saputo and the other owners.

"The reason why it has dwindled is Saputo and the previous owners haven't taken suppliers on," he said.

"There hasn't been a new dairy farmer start on the island for 25 years."

For a new owner to succeed, Mr Strickland expected beef farmers would have to diversify and subdivide their properties to allow for dairy operations to occur.

Saputo Dairy Australia has been contacted for comment.