Word of the day

March 28, 2014

Patchery – hypocrisy; knavery, roguery; trickery, cheating, deception; that which is thrown or sown together usually clumsily or with different colour and textures, like patchwork.


Provinces lead recovery

March 28, 2014

Data on economic activity since 2008 shows the provinces have led the economic recovery:

Provincial regions across the country have led New Zealand’s economic recovery from the Global Financial Crisis according to new Statistics New Zealand numbers released today, Economic Development Minister Steven Joyce says.

Bay Of Plenty, Gisborne and Hawke’s Bay in the North Island, and Nelson/Tasman, Canterbury, Otago, and Southland, have experienced growth above the national average of the five year period from 2008 to 2013, while Auckland, the West Coast, and Waikato have been just under the average. Meanwhile Taranaki continues to generate the highest GDP per capita by some margin.

Taranaki has milk and minerals and they’re benefiting from both.

“This new regional data, which wasn’t previously calculated, is the clearest indicator yet that it is our regional economies that have led New Zealand’s recovery from the GFC,” Mr Joyce says. “Sustained economic growth is the only way we can create more jobs and increase incomes.”

New regional GDP data, which is now available up until 31 March last year, covers the period of the GFC, the Canterbury earthquakes, and last summer’s drought which affected agricultural regions across the country.

“We can see in the data the clear effects of the drought last summer with a number of more farming-based regions having a tougher time in the year to 31 March 2013.  We can also see the positive effect of the first stages of the earthquake rebuild in Canterbury, with growth of six per cent recorded in just one year,” Mr Joyce says.

“Overall the South Island has experienced stronger growth than the North Island over the last five years. The South has grown at 21 per cent while the North has grown 13 per cent in five years. That’s another signal, alongside lower unemployment rates, that there are significant job opportunities in the South Island.

Mr Joyce says regional GDP statistics would become a regular feature of the national landscape in the years ahead. 

“It’s important to have clear indicators for the regions of the results of their efforts to attract investment and encourage growth,” Mr Joyce says.

Labour continues its doom and gloom approach saying the regions have been hollowed out under National.

But they’re only looking at last year:

Decreases were recorded in eight of 15 regions as a result of fluctuations in commodity prices and the 2012/13 drought, which was the worst since 1946. . .

Both of those are beyond government control.

The Canterbury rebuild is certainly having a positive impact on economic growth in the south but farming, in particular dairying; tourism – helped by newly developed cycle trails – and other sectors are doing well throughout the south.

Labour holds only two provincial seats and while its MPs like to grace the provinces with occasional visits to tell us how bad things are, the reality is much brighter.

It will continue to be that way if we can keep a National-led government which focuses on what matters, which includes keeping a tight rein on its own spending and better performance for less money from public services.

The outlook won’t be nearly as bright if there’s a change and we get a Labour/Green government propped up by whichever other parties they need imposing higher spending and more taxes on us.


Rural round-up

March 28, 2014

Dairy factories spending up – Alan Wood & Cecile Meier:

South Island dairy processors are upsizing with nearly $135 million of extra factory investment to chase a growing milk powder export market.

Synlait Milk yesterday committed an extra $32m to help expand milk drying capacity at its Dunsandel plant.

Competitor Westland Milk Products said it would invest $102m on a new nutritionals-infant formula dryer in Hokitika.

Both companies have undergone rapid growth, though yesterday NZX-listed Synlait Milk said issues remained with the Chinese infant formula market. . . .

Westland dairy expansion welcomed by most – Cecile Meier:

Despite a few reservations, Hokitika’s community supports Westland Milk Products’ plans to expand its dairy factory with a $102 million new nutritional milk dryer.

The Westland District Council held a hearing this week on the company’s resource consent application to build the new spray dryer.

Grey District Mayor Tony Kokshoorn said the move would bring excellent employment prospects for the region.

Hundreds of farmer suppliers to Westland Milk would also benefit from the added value the new facility could bring to their milk.

“Dairy farming is going from strength to strength. It’s a very good move for the West Coast.” . . .

 

Big dry is being monitored closely – James Houghton:

Many of you are wondering why the Government has not declared a drought in Waikato and Northland areas.  Whilst, they do not actually declare a drought as such, when appropriate, the Government can declare the impact of a drought as an adverse event under its Primary Sector Recovery Policy, and provide recovery assistance. For this to happen, basically you and the community have got to not be coping. The declaration of an adverse event is not about the event itself, but rather the impact of the event.

It is important for you as a community to understand this and take stock of how bad the situation really is, and what value a declaration will actually bring. There would not be a lot of financial support for those struggling unless they are at the point where they are struggling to or can’t meet their living costs. The declaration would provide some funding for the Rural Support Trusts; however, on this particular occasion they have made themselves available for contact regardless.

I can assure you the Ministry for Primary Industries has been monitoring the conditions over the last few months by keeping close contact with Federated Farmers and other stakeholders to understand if farmers are coping. They are not in any doubt that a drought does exist, and they are monitoring the situation closely. . . .

Rare native fish found on farm:

A farm restoration project has led to a fishy discovery for Rory Foley.

Foley has a deer farm in the Hook catchment, near Waimate in South Canterbury.

He has spent the past few years improving parts of the catchment that were previously degraded.

However, the efforts have also led to an unlikely spin-off effect, which was only discovered in the past couple of months: the area is now home to rare mudfish. . .

 Synlait Milk shares punished for over-optimistic forecasts, Chinese regulatory speed bumps – Jonathan Underhill:

(BusinessDesk) – Investors punished Synlait Milk shares after the dairy processor was forced to wind back the bullish profit forecast it gave in January because of disruptions from increased Chinese regulations on infant formula and unfavourable foreign exchange movements.

The stock dropped 7.3 percent to a three-week low of $3.70, trimming their gains from last year’s initial public offering to 68 percent. The full-year profit forecast was cut to a range of $25 million to $30 million, down from the $30 million-to-$35 million estimate given in January, Synlait said today.

“In January we under-estimated the full impact,” managing director John Penno told BusinessDesk. “The Chinese regulations had been signalled for some time but what’s become apparent since December is how fast they are going to move.” . . .

Farm Days’ a marketing and educational success:

Federated Farmers Farm Days are a huge success in education and tourism. The Federation’s Bay of Plenty province saw 980 people come through the farm gate on Sunday to see what farming is all about.

“Our Farm Day is a great way for everyone to get involved in the region’s rural community. This year was a particular success with 60 percent of the visitors having either never been on farm or to a Farm Day before,” said Rick Powdrell, Federated Farmers Bay of Plenty provincial president.

“It is an opportunity to get urban people out, especially the children, to learn where their food comes from. Regardless of what age the visitors were they said they all learnt something. . .

Iconic North Island farm sells:

One of the most highly valued sheep and beef properties in New Zealand has been sold. The 4,839 hectare Mangaohane Station located just off the Taihape to Napier Highway between the Rangitikei River and the Ruahine Forest Park.

It has been sold by the family of previous owner, the late Jim Bull. Jim was known as ‘The Potato King”, and bought Mangaohane at auction in 1973 for what was then a record price.

During the last 40 years, the property has been dramatically transformed – with 1500 hectares of scrub cleared, and a further 1200 hectares of tussock developed into top quality high producing pasture. . . .

 


Friday’s answers

March 28, 2014

Thursday’s questions were:

1. Who said: Something my mum taught me years and years and years ago, is life’s just too short to carry around a great bucket-load of anger and resentment and bitterness and hatreds and all that sort of stuff. ? (I’ll give you a hint as this probably isn’t an easy one, it’s a man, a politician of recent vintage and someone who I’m not sure put that into practice).

2. What are four of the five basic tastes?

3. It’s amertume  in French, amarezza in Italian,  amargo  in Spanish and kawa  in Maori, what is it in English?

4. What gives Pink Gin its colour?

5.  It is hardly possible to build anything if frustration, bitterness and a mood of helplessness prevail. Does this quote from Lech Walesa explain left wing politics?

Points for answers:

4 for Andrei.

2 3/4 for Gravedodger.

Clean sweeps for J Bloggs and Alwyn who win an electronic cream sponge for their efforts.

4 for Paranormal.

 

 

 

 

 

Answers follow the break:

 

Read the rest of this entry »


The MP most likely . . .

March 28, 2014

Kim Dotcom is claiming a sitting MP will join his Internet Party.

. . . He repeated his claim that it would be represented in Parliament, whether or not it achieved the 5 per cent MMP threshold for list seats, because a sitting electorate MP would join.

He would not name the person or say which party he or she represented, because of a confidentiality agreement, but it was not Harawira. The MP’s name would be revealed in June. . .

He didn’t know how many MPs were in parliament when asked by Seven Sharp.

There are 121, 70 of whom hold seats.

Given the unity in National and the high probability all those running again will hold their seats any of its 42 MPs would be mad to leap from a rock to sinking sand.

John Banks is retiring and Peter Dunne would have lots to lose and nothing to gain by any dalliance with Dotcom.

Tariana Turia and Pita Sharples are also retiring. The third Maori Party MP, Te Ururoa Flavell would also have too much to lose by leaping from the steady waka into a dotbomb dinghy.

Dotcom says it’s not Harawira and we can take his word on that because while he’s the lone paddler in the Mana waka, he’s not stupid enough to tip it up.

That only leaves Labour.

A few of its MPs might feel uneasy in their seats and most will have some doubt about the probability of being in government after the election.

The prospect of power can do strange things to people but even unhappy Labour MPs wouldn’t be stupid enough to think they’d have a better chance of success by leaping into the unknown.

Who then is the MP most likely to join Dotcom?

Almost certainly someone in his dreams.


NZEI tramples on mana

March 28, 2014

Iwi leaders are incensed by NZEI’s latest publicity stunt:

The proposed protest by the Primary School Teachers Union (NZEI) to deliberately coincide with the International Summit on the Teaching Profession to be hosted by Aotearoa New Zealand will not be tolerated and left unchallenged, say prominent iwi leaders from throughout the country.

We as iwi leaders stand together in strongly condemning the NZEI. We call on them to cancel their protest for the greater good of Aotearoa New Zealand. We also issue a strong call to all Maori members of the NZEI to withdraw their membership at once. Their mana as Tangata Whenua must surely count for something and take precedence over their unionship.

The tikanga of mana is at stake. We will not stand idly by and allow the mana of the Minister of Education, the Honourable Hekia Parata, her people, our people to be manipulated and trampled on. We, Dr Apirana Mahuika, Sir Toby Curtis, Sir Mark Solomon, Raniera Tau, Willie Te Aho, Awanuiarangi Black, Tiwha Puketapu, Naida Glavish, Sir Tamati Reedy and Pem Bird caution NZEI that they are putting their hard earned excellent reputation earned over a sustained period of time on the line and for what purpose?

The International Summit is the most prestigious educational event on the world calendar, a huge coup for our Minister of Education, Hekia Parata. It is a once in a lifetime opportunity for Aotearoa New Zealand to showcase all aspects of our fabulous education system to renowned educational leaders from throughout the OECD community of nations.

It should be an occasion when all diverse sectors of Aotearoa New Zealand, our cities, our towns, rural communities, whanau, hapu and iwi join together as one, putting any differences we may have aside and focus instead on the positives that make us a great nation in which to bring up our children. We have much to be proud of, indeed we have much to celebrate and share.

Ideas and innovations will be discussed. Inspirational addresses will be delivered and all for the express purpose of advancing not only our national educational interests but also those of the global community. And yet despite all of this, we are going to have to witness the deeply offensive and cynical spectacle of a once honourable union exploiting this event for their own selfish needs, whatever they are.

It is not to late to exit with dignity. NZEI we urge you to come into the whare.

I presume the protest being referred to is the rally in Queen Street this Saturday.

The teaching summit is being held in Wellington so it is unlikely anyone going to it will be troubled by or even know anything about the rally.

However, the timing is a coincidence which suggests a deliberate attempt by NZEI to emphasise the negative while the positive is being celebrated at the other end of the island.

It also suggests they are more interested in politics than education.

UPDATE – one rally is going to be marching on parliament.

Education Minister Hekia Parata said she was disappointed with the protest timing, especially given NZEI’s involvement in the organisation of the summit and being part of previous delegations to New York and Amsterdam.

She would continue to have a relationship with the union, which was one of the objectives of the cross-sector forum that was set up following the first summit.

“We will continue to try to work together but it does take two.” . . .

Nga Kura-a-Iwi, a federation representing Maori schools, has also spoken out against the NZEI and the “disrespect” it has shown the summit.

Co-chairwoman Arihia Stirling said it was an “inappropriate time to be airing dirty linen”.

“It’s wrong to do this now, we don’t have people dying in the street, we don’t have people bleeding at the hands of the education sector . . . it’s poor judgment of the leadership of the union to do this at this time.

“Why would you air your dirty linen in front of the world when it’s imperative we get the rest of the world down here to learn and strengthen our education system?” . . .

The timing and venue mean it’s not less about education and more about politics.

It’s far less about making a point about poverty, it’s directly aimed at embarrassing the Minister while she’s hosting an international event.

 


Trust Power pulls plug on Rutataniwha

March 28, 2014

Trust Power has pulled the plug on a potential investment in the Ruataniwha Water Storage Scheme.

. . . The power company terminated its memorandum of understanding with the council subsidiary, Hawke’s Bay Regional Investment Company (HBRIC), and Ngai Tahu Holdings, under which it would have invested between $50m and $60m of the total cost of the project.

“Trustpower has determined that it will not be possible to invest within its risk and return framework for a project of this nature,” the company said.

HBRIC said it “remains strongly of the view that the scheme offers the Hawke’s Bay community both significant environmental and economic benefits and that subject to securing contractual commitments to take water that the scheme will prove financially viable.”

HBRIC would continue to negotiate with Crown Irrigation Investments and recommended this week that council should invest up to $80m in the scheme. It was also looking for expressions of interest from investors in the region to participate in the scheme.

Trustpower’s general manager, operations, Chris O’Hara, said while there was clearly sufficient short-term appetite for the scheme to justify its construction, the long-term uptake by farmers and other irrigators was not strong enough for TrustPower to feel comfortable committing shareholders’ funds.

“Projected cashflows were not meeting a rate of return that would meet shareholder expectations,” he said. . .

Irrigation schemes have long term returns, they don’t usually generate much in the way of cash flow

The loss of a potential investor of that size is a setback but it does provide other opportunities:

Farmers and businesses in the Hawkes Bay need to act quickly to fill the investment gap opportunity left by TrustPower’s exit from the Ruataniwha Water Storage Scheme.

“There’s a wonderful opportunity here for Central Hawkes Bay farmers and businesses to get behind the dam to make it work. The Central Hawkes Bay community is now able to be a significant investment partner and take ownership of this project to really drive it forward,” says IrrigationNZ CEO Andrew Curtis.

While some parties may naively present TrustPower’s withdrawal in a negative light, Mr Curtis says it was very common for irrigation schemes to have changing investment partners in the development stage and that TrustPower had only signed a memorandum of understanding.

“The benefit is that the withdrawal allows more local farmers and businesses to buy into the scheme and we know from history that local people driving local solutions always turn out to be the best for the community in the long run,” says Mr Curtis.

“The Hawkes Bay really needs this scheme to proceed as there’s nothing else of significance on the table that would have the ability to reinvigorate the Central Hawke’s Bay economy, create jobs and generate new business opportunities. You only need to look at the looming drought in the Waikato and Northland to see how the provinces suffer when rainfall is low in consecutive years. This is why it is so important to have the right irrigation infrastructure in place to mitigate environmental impacts. The flow-on effects are felt by everybody, not just those working in agriculture.”

“The Ruataniwha scheme is exactly the sort of irrigation scheme New Zealand needs to bring new life to regions like the Hawkes Bay, allowing many of its rural towns to thrive again,” says Mr Curtis.

“IrrigationNZ encourages all potential investors in the Ruataniwha scheme to come to our conference being held in Napier for the first time in just over a week’s time (7th-9th April). You’ll find out everything you need to know about the benefits of investing in water management and how other regions in New Zealand have progressed their water schemes. It couldn’t be timelier to bring an irrigation expo and global irrigation experts to the Hawkes Bay as we’ll be discussing Ruataniwha within a wider debate looking at the future of irrigation in New Zealand.”

Hawkes Bay is drought-prone.

The RWSS would provide very effective insurance against dry weather with significant economic, environmental and social benefits.

The long term pay off from irrigation is immense but it takes a big commitment up-front to get it off the ground.


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