The Commerce Commission today declined to clear Mainland Products Limited to acquire Southern Fresh Milk Company Limited.

Commission Chair John Belgrave said that the proposal raised concerns about dominance in the South Island market for the processing and wholesale supply of town milk.

Public copies of the Commission's decision will be available next week.

Media contact: Director Business Competition Branch Geoff Thorn

Phone work (04) 498 0958, cellphone 021 661 104

Senior Advisor Communications Vincent Cholewa

Phone work (04) 498 0920