Rural round-up

ECan commissioner vents spleen at nutrient meeting –

Environment Canterbury commissioner David Bedford lost his cool at a packed zone committee meeting in North Canterbury.

Trying to resume the meeting after a short tea break, Bedford used several expletives suggesting he was sick of farmers who turned up to meetings for just a short time.

His outburst reflected the often tense tone of the meeting, which drew several hundred dryland sheep-and-beef farmers to the small Waikari hall.

They came to express their concern at nutrient regulations that would leave many low-emitting dryland sheep-and-beef farmers unable to increase their lambing percentage, plant a stand of Lucerne, or grow an extra feed crop. . .

Agri-food opportunities in China – Keith Woodford:

Over the last two years I have written, together with my colleague Xiaomeng (Sharon) Lucock,  a series of six articles on various aspects of China’s  agri-food industries. They have been published in the Journal Primary Industry Management, which is the quarterly journal of the New Zealand Institute of Primary Industry Management.

The first article, attached at the bottom of this post, was written in late 2012.

Some things have moved on since then – for example we reported in that article that New Zealand’s exports to China in the year ending 30 June 2012 were $NZ6.1 billion, which was a three-fold increase in only five years. In the two years since then to 30 June 2014 they have almost doubled again to $NZ11.6 billion. However, the key drivers of change as we set out in that article remain the same.

These key drivers are increasing wealth, urbanisation, changing cuisine, food safety, agricultural production constraints, and associated food security issues. . .

Sheep meat in China and the opportunities for NZ – Keith Woodford:

This is the second of the “China series’  that Xiaomeng (Sharon) Lucock and I wrote for the journal  ‘Primary Industry Management’. It was written in December 2012 and published in March 2013.

As with everything relating to China, the statistics do not stand still.  In the year ending December 2012, 13% of New Zealand’s sheep meat exports income came from China. Move forward six months, and in the 12 months ending June 2013 this had risen to 21%. Then in the 12 months to June 2014 it rose again to 30%.  On a monthly basis, the latest statistics for March 2014 show the China component of New Zealand’s sheep meat trade was 31% by value and 44% by volume. . . .

Doing Agri-business in China – Keith Woodford:

This is the third of a series of six papers written for the journal ‘Primary Industry Management’. This one was published in June 2013.

For this paper we had three authors: Xiaomeng (Sharon) Lucock, Malcolm Cone and myself. The work was led by Sharon and formed the first part of her PhD studies.  It is based on case study work undertaken with New Zealand firms operating in China.

The focus of the work has been on cultural differences and how they affect business practices and relationships. About half the interviews were with Kiwis and undertaken in English. The other half were with Chinese and mainly undertaken in the Chinese language. . . .

Venison finishing margin better – Joanna Grigg:

Daniel Stack puts it bluntly.

“If venison prices are the same as last year venison farming will struggle to be both sustainable and competitive with alternative land uses, like dairy grazing.”

That said, he is poised to increase deer numbers if things come right. The Canterbury Plains venison finisher and dairy grazer hopes that indications from some venison exporters of the October schedule peak reaching $8/kilogram (kg) for 55 to 60kg AP stags will bear out. This would put returns at a level seen in 2012, when the average published schedule peak was $7.95/kg. It is also up on the past season’s $7.40/kg peak.

Stack said that to increase the number of deer weaners bought in, back to his typical 500 a year, he would need to see the schedule price at eight dollars. . .

 Take a long, hard look at your farming systems:

Industry body DairyNZ says the latest drop in Fonterra’s forecast Farmgate Milk Price for the 2014/15 season is a signal to farmers to reassess the costs of their farm system.

Fonterra Co-operative Group Limited today reduced its forecast Farmgate Milk Price for the 2014/15 season from $6.00 to $5.30 per kg milksolids (kgMS). It also increased and widened the estimated dividend range from 20-25 cents per share to 25-35 cents – amounting to a forecast Cash Payout of $5.55-$5.65 for the current season.

DairyNZ’s general manager of research and development, David McCall, says most farmers should cope with lower prices this season, provided another drought doesn’t hit the country. However, around a quarter of the country’s farmers, those with a lot of debt, may have difficulty meeting their farm working expenses and interest payments. . . .

 Cattle and dairy lead rise in exports:

Goods exports rose $227 million in August 2014 compared with August 2013, to $3.5 billion, Statistics New Zealand said today.

Live animals led the rise in exports, due to live cattle. Milk powder, butter, and cheese exports also contributed to the increase, led by higher quantities. The 16-percent rise in milk powder, butter, and cheese was led by milk fat and cheese.

“Cattle, milk fat, and cheese contributed to the rise in exports,” international statistics manager Jason Attewell said. “It is the first time in three years that a rise in dairy was not led by milk powder.” . . .

Award winner becomes Dairy Women’s Network Chair:

Dairy Women’s Network has appointed one of its past Dairy Woman of the Year winners as incoming chair.

Incumbent network chair Michelle Wilson has announced 2013 Dairy Woman of the Year winner Justine Kidd as the organisation’s new chair; a role she will assume following the organisation’s annual general meeting on 22 October.

“It is a credit to the Dairy Women’s Network board to have a person with Justine’s knowledge of agriculture and governance experience at the helm,” said Wilson.

“As outgoing chair I take a lot of comfort in knowing that the organisation will continue to grow from strength to strength with strong leadership at the board table.” . .

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