The makers of Oak, Dare and Farmer’s Union flavoured milk have gone into receivership after workers from building and construction union the CFMEU went on strike for a day this week.
The share price of Mother Energy Drinks also tumbled, while Four’N Twenty Pies was struggling to stay solvent at the time of publication.
Financial analyst Vincent Chan said the strike had a significant impact on the economy, with up to 12 million litres of iced coffee going unsold. “The entire business model of these brands relies on tradies drinking 4-5 litres of iced coffee and energy drinks before 9am. I don’t think they’ll be able to recover from this”.
The flow on effects of the Farmer’s Union collapse could be particularly bad, with the South Australian economy expected to go into recession as a result.
