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Industrial products like cheese and ice cream, mostly sold out of province, are where Central and Scotsburn see the greatest opportunity for market expansion, and might be one reason they’re perfectly happy to split the fluid milk market. The farmer shareholders of both companies are selling as much milk as Newfoundlanders will drink and they have insured that it will continue to be profitable. The companies themselves have found an equilibrium price – and are obviously not eager to undercut the market with a price war. But the market for value-added products is limited only to what each company’s marketing departments can come up with. So, while there might be some redundancy in the realm of fluid milk, Central and Scotsburn aren’t concerned. They’re busy working on the cream.
