Supply chains and expertise stay in local hands after purchase

Donaghys Agriculture will continue to supply animal health and other products to existing retail customers after being bought by Farmlands for an unknown sum last month.

Jed Marfell and Tanya Houghton.

The deal, effective immediately, does not impact jobs at Donaghys’ current operation, says chief executive Jed Marfell.

“Our manufacturing and lab operations in Dunedin remain a really important part of the business.

“In fact we're anticipating increasing production through our Dunedin factory and employing more local people to meet demand. Along with our Dunedin site, our Christchurch head office continues to support the wider operation.

"Our team remains in place, we continue to operate standalone supplying all our existing customers, and we’re staying focused on developing and delivering practical products for New Zealand conditions."

Rope and cordage are not included in the transaction.

Marfell describes the change as a very positive step for the agriculture business, which employs 65 staff and supplies more than 70 animal health, crop protection and dairy hygiene products to retailers nationwide.

“Farmlands knows our business well and understands the value of the capability we’ve built here over a long time.

“That includes the expertise of our people, our product development work, and the importance of local manufacturing.”

Farmlands chief executive Tanya Houghton describes the purchase as a partnership and says it is good news for Kiwi farmers at a time when reliable supply chains, technical expertise and innovation are increasingly important.

“Farmers are facing more complex challenges – from animal health and parasite resistance through to productivity and environmental performance,” she says.

“By bringing Donaghy’s and Farmlands closer together we can invest even more strongly in the research, innovation and technical capability that farmers rely on to meet those challenges.”

“Importantly, it keeps Donaghy’s expertise, product development and manufacturing capability in NZ hands, supporting solutions that are designed for our farming systems and our conditions.”

Two years ago Farmlands purchased Seales Winslow from Ballance Agri-Nutrients, with the fertiliser co-operative receiving more than $25 million for the business, according to its 2025 annual report.

In 2013, Farmlands acquired the NRM brand and NZ milling assets from Viterra in partnership with Mainfeeds. Financial details of this transaction remain unknown.