Word of the day

Flub –  a thing badly or clumsily done; a blunder;  an embarrassing mistake; to botch or bungle.

Rural round-up

Farmers to Labour: “Tell Us Your Numbers”:

Federated Farmers’ challenge to Labour is: “Tell us what numbers you have in mind.”

Labour yesterday announced proposals for a tax on water for large commercial users, including farmers who rely on irrigation water, but in the absence of detail some eye-watering numbers in the billions of dollars have been floated.

Federated Farmers water spokesman Chris Allen said the pledge to consult with those affected if Labour is part of the new government is appreciated, but it still means voters are sailing blind into the election. . .

Seven farm tests show  no disease – Sally Rae:

The first test results from seven of Van Leeuwen Dairy Group’s farms have returned negative for cattle disease Mycoplasma bovis.

The bacterial disease has previously been confirmed on two VLDG properties in the Waimate district, the first time the disease had been detected in New Zealand.

In an update yesterday, response incident controller Eve Pleydell said two further rounds of testing would be required on those seven farms before they could be declared free of the disease. Results were pending for the remaining seven VLDG properties.

Good progress was made during the weekend, as laboratory teams continued to test thousands of milk and blood samples from VLG farms and neighbouring properties, Dr Pleydell said. . . 

‘No evidence’ imported frozen semen cause of mycoplasma outbreak:

Key points
MPI has confirmed no evidence that of resistance to mycoplasma in imports of bovine semen.
World Wide Sires – marketing arm of the largest dairy farmer owned cooperative in the world Select Sires/Accelerated Genetics – reinforce all bulls and semen free of the disease.

The New Zealand arm of the largest dairy farmer owned cooperative in the world – and one of the globe’s major semen companies – is pleased MPI has confirmed there is no evidence that resistance has developed to mycoplasma in imported bovine semen*. . . 

Horticulture election manifesto asks for land and water protection:

Horticulture New Zealand has launched its 2017 Election Manifesto with five key priorities for the new Government, to be elected on 23 September.

“Keeping unique growing land and having sensible policies around access to water are critical to New Zealand’s ongoing supply of safe, healthy, fresh fruit and vegetables,” Horticulture New Zealand chief executive Mike Chapman says.

“One of our main asks for a new Government will be a food security policy for New Zealand. This may sound redundant in such an abundant land, but there are a host of challenges to our food supply including urban encroachment on unique growing land, emotional battles over water, changing weather patterns, access to enough people to grow and harvest our food, and increasing border traffic meaning more potential biosecurity risks. . . 

New national standard for plantation forestry:

A new nationwide set of environmental rules for managing New Zealand’s 1.7 million hectares of plantation forestry will better protect the environment and deliver significant savings in compliance costs, Minister for the Environment Dr Nick Smith and Associate Minister for Primary Industries Louise Upston say.

“Forestry is New Zealand’s third largest primary industry but its efficiency is hampered by the confusing mix of planning rules across New Zealand’s 86 councils. The strength of this national approach is that it will better protect the environment while also improving the productivity of the forestry sector by applying consistent environmental standards to reduce operational costs,” Dr Smith says. . . 

What’s gone wrong with New Zealand farming? – Glen Herud:

New Zealanders were once proud of our farming heritage. But at some point, as agriculture intensified and started spilling into our other source of pride, our clean green image, trust was lost, writes GLEN HERUD.

To the general public, it looked like farmers were getting greedy.

But like Auckland housing, farming has changed from an every man’s game. And the answer is not to tweak the regulations or adjust nitrogen inputs with new technology. These are both fine. The answer is a whole new system.

The number of dairy herds in New Zealand is decreasing but the size of each herd is increasing.

A graph from Dairy NZ shows that in 1986 there were 16,000 dairy herds with an average herd size of 140 cows. Today we have 11,500 herds with an average herd size of 420 cows. . . 

The great food disruption: part 4 – Rosie Bosworth:

Milk without the cow, meatless burgers that bleed, chicken and shrimp made from plant matter, and now foie gras without a force-fed goose in sight. A new food revolution enabled by science and biotech is brewing and, if it succeeds, animals will have little to do with the future of food. For some, that future looks rosy, but, as Dr. Rosie Bosworth writes in part three of a series, the implications for New Zealand’s agricultural sector could be less than palatable.

• Read part 1 here.

• Read part 2 here.

• Read part 3 here.

Tyson Foods – one of the biggest meat producers in the world – sent its principal scientist, Hultz Smith, to the Modern Agriculture Foundation’s Cultured Meat and Path to Commercialisation Conference in Israel this year to learn from the world’s top-tier cellular agricultural and tissue engineering scientists, researchers, academics and industry leaders. A proponent of cellular agriculture, Hultz even openly supports cultured meat research, viewing it as a viable substitute to current meat production and one that gives consumers a broader choice. And in late 2016 the company launched a $150 million venture fund zeroing in on the alternative protein – including cellular agriculture – space. “This fund is about broadening our exposure to innovative, new forms of protein and ways of producing food,” said Monica McGurk, Tyson executive vice president of strategy, at its launch. . .

Australia’s Capilano Honey profits bolstered from capital gain in asset sale to Comvita JV – Rebecca Howard:

(BusinessDesk) – Australian honey maker Capilano Honey’s joint venture with Comvita has had an immediate, if unrealised, benefit for the Queensland-based company’s bottom line.

The two honey companies teamed up last year to create Medibee Apiaries in Australia to produce Leptospermum honey, commonly known as manuka, for medical and natural health products. In July last year, Capilano realised a capital gain of A$2.1 million following the sale of its manuka beekeeping assets into the joint venture with no tax attributable to the capital gain on the asset sale, it said. The total assets it sold into the joint venture were worth A$9.2 million. . . 

PGG Wrightson full-year profit gains 5.7% as lower debt costs offset stalled revenue growth –  Jonathan Underhill:

(BusinessDesk) – PGG Wrightson posted a 5.7 percent gain in full-year profit, meeting its guidance, as the rural services company benefitted from lower interest costs, offsetting stalled growth in revenue.

Profit rose to $46.3 million in the 12 months ended June 30, from $43.8 million a year earlier, the Christchurch-based company said in a statement. Sales fell to $1.13 billion from $1.18 billion. . . 

Young Grower of the Year decided next week:

The winner of the New Zealand Young Vegetable Grower and four regional Young Fruit Grower winners will compete next week for the national title Young Grower of the Year 2017.

On August 16 and 17, at the Sudima Airport Hotel in Christchurch, the five finalists will test their horticultural skills and knowledge. This year’s entrants are:

New Zealand Young Vegetable Grower 2017 – Scott Wilcox, Pukekohe
Hawke’s Bay Young Fruit Grower 2017 – Jordan James, Whakatu
Central Otago Young Fruit Grower 2017 – Ben Geaney, Waimate
Nelson Young Fruit Grower 2017 – Ralph Bastian, Appleby
Bay of Plenty Fruit Grower 2017 – Erin Atkinson, Te Puke . . 

Thursday’s quiz

Everyone is invited to pose the questions.

Anyone who stumps everyone will win a virtual chocolate roulade.

One week two taxes

It’s just over a week since Jacinda Arden took over as leader of the Labour Party and she’s already announced two new taxes.

The first was a fuel tax :

The Labour Party might have changed its leaders but where it wants to take New Zealand hasn’t changed, National Party Campaign Chair Steven Joyce says.

“By resurrecting a decade-old idea of charging Aucklanders another tax it’s now clear why they had to abandon the “fresh approach” line,” Mr Joyce says.

“Regional Fuel Tax was Labour Party policy back in 2007 and it has been rejected by voters many times since then. It’s about as tired as R&D tax credits.

“Labour would make Aucklanders pay at least another 10 cents a litre every time they fill up their tank and that’s just for starters. That would have a real impact on the cost of living for hard-working Aucklanders.

“And it would probably spread around the country. Last time around, Wellington and Canterbury were lining up for regional taxes too. There is also no national price so fuel companies could easily transfer the cost to motorists around the country.” . .

The second is a water tax.

 A Labour-led government would implement royalties for bottled water, irrigation schemes and other commercial uses, leader Jacinda Ardern told the Environmental Defence Society’s annual conference in her first major policy speech on environmental policy since becoming party leader last Tuesday.

Drinking water, stockwater for farms, and ‘non-consumptive’ uses such as hydroelectricity generation would not face the charges, which would be set following a national conference of affected industries and water users within the first 100 days of the new government, Ardern said. . .

What happens when irrigation water is also used for stock?

Why is water for stock to drink seen as a more virtuous use than water to grow grass for stock to eat?

Farmers are understandably worried:

Pledges from Labour to consult on a “proportionate and fair” royalty for irrigation water have eased the concerns of farmers – but only by a tiny margin.

They remain terrified by the potential impacts on farming families, rural communities and the entire economy.

Federated Farmers water spokesperson Chris Allen said consultation is welcome “but talking won’t allay the fears of farmers of where this could go”.

The Federation remained opposed to any royalty on irrigation water, especially when it remains unclear what purpose it would serve, other than adding another tax.

“At least Labour appears now to be proceeding with caution, recognising the considerable risks. They’ve promised that if they are part of a new government, deciding the levels of any royalty on commercial use of water will be preceded by consultation.”

Mr Allen said the 10 cents a litre figure some had bandied around would bankrupt farmers and cripple our export competitiveness and regional economies. Even one thousandth of that figure, if that’s a level Labour has in mind, would be “eye-watering” given the volume of consumptive water use.

“With any royalty, farmers and growers would have little choice but to pass on the extra cost, if they could, meaning New Zealand consumers would pay more for food, and our products would be at a disadvantage against imports.”

Farmers recognised some positives in the Labour policy announcements. They would applaud that riparian planting would qualify for carbon credits under the Emissions Trading Scheme, “but we hope this is not a hint of a policy announcement to come on including animal emissions in the ETS”.

And the idea of activating young people who are out of work to join water quality improvement projects is worthwhile.

“That will get young people out on the land and more familiar with the farming sector, and they’ll get to experience – and help with – the large amount of environmental enhancement work farmers are already doing.”

But the whole exercise of adding a new tax on water, even if the revenue is shared with regional councils for water quality work, “is counter-productive, and a money-go-round with administration costs added in.

“Farmers are working hard to live within the limits imposed by environmental standards and the desire by all New Zealanders – farmers included – to clean-up water quality hot-spots.

“Adding an extra cost in the form of a water tax drives a perverse incentive for farmers to intensify their activity, and deprives them of income that at worst puts them out of business and at best leaves them with less money to spend on environmental protection work.”

Labour has pledged to consult, and Federated Farmers would take that opportunity, Mr Allen said.

“If we can get round a table with them, we’ll be able to talk them through all the downsides of what they’re proposing in a rational way. This needs to be done without the distraction of a general election.”

Federated Farmers believes an important principle is that if there’s to be a charge for commercial use of water, it should be paid by all, with no room of discrimination.

“If you’re going to be stupid enough to bring this in, it’s got to be fair.”

DairyNZ chief executive Dr Tim Mackle said Labour’s proposal to introduce a water royalty for commercial water users would be difficult and require extensive consultation around the regions.

. . .“Within a farming business, just like any business, commercial water rates already apply. Our farmers also pay for access to irrigation, and access to water on their land through council consents. Water royalties could potentially duplicate these costs.

“Labour earlier hinted that such a levy wouldn’t result in a cost increase for farming, but without a robust conversation about how their water royalty policy will work we can’t know exactly how this would affect dairy farmers.” . .

Horticulture NZ says “Let’s not do this“:

“Extra costs on growers of fresh, healthy fruit and vegetables will make healthy food more expensive,” Horticulture New Zealand chief executive Mike Chapman says.

“This seems incongruous with policies around alleviating poverty and the benefits of healthy eating to reduce the economic burden of secondary health issues as a result of obesity.

“Horticulture New Zealand supports sound, consistent water policy to support efficient use of water and we have issued our own such policy (available here).

“But we do not support a blanket tax without due consideration of New Zealand’s water priorities as a nation. These priorities must include water for drinking, sanitation and food production.

“Today’s statement does not provide sufficient detail about Labour’s intentions, which should be made clear prior to the election. We don’t feel it is enough to say that if Labour forms the next Government, there will be a conversation about water within the first 100 days.

“There is already the Land and Water Forum which has been working on the wider issues of water allocation, rights and use for some time.

“Horticulture is a rapidly growing industry, contributing significantly to the economic wellbeing of New Zealand. Our vision is healthy food for all forever. We do not want to see the cost of fruit and vegetables grown in New Zealand, supporting local economies and providing jobs, pushed up higher than the cost of imported or processed food. We do not believe the long-term outcomes from a blanket water tax would benefit New Zealanders.”

The Taxpayers’ Union says a water tax shouldn’t pick and choose:

“Picking and choosing who pays what ‘water tax’ and changing the tax rate based on its use, is economic silliness,” says Jordan Williams, Executive Director of the Taxpayers’ Union

“In principle, a case can be mounted for charging users of water. However, Labour’s proposal seems more focused at the users, than the actual use.”

“If Labour is genuine in charging a ‘fair’ amount for water, why hasn’t it backed tradable permits for water? That’s a far more efficient, fair, and environmentally beneficial system than royalties payable by some users.”

“Jacinda Ardern comparison to royalties on oil and gas is a bit silly. Labour’s water royalty policy is akin to saying, they’ll charge oil drillers if the oil is used to make asphalt, but not if it’s used for plastics. Our point is that a water royalty should treat industries the same – rather than pick and choose.”

“The most disappointing thing about today’s announcement is that it’s really just another tax on business and entrepreneurship.

With the Treasury swimming in money, Labour should be explaining how it will lower the tax burden to get Kiwi businesses ahead – not saddling industry with even higher tax bills.”

Taxing water for bottling will be popular with voters even though a tiny amount of available water is involved and there’s a danger of it being regarded as an export tariff.

But why tax water for bottling unprocessed but not the water that is processed into beer, wine and other beverages? Or will the spring water at Speights be taxed too?

Taxing irrigators might be popular in some places until the consequences become apparent – higher costs for milk, meat, fruit and vegetables.

But popular isn’t necessarily good and the water tax is unfairly targeting a small number of businesses, most of which are in Canterbury and Otago.

Most of these will have fenced and planted waterways and already be doing everything else they can to protect and enhance water on or near their farms. It is unfair and unreasonable to take money from them to clean up other people’s messes elsewhere.

It is especially unfair for those of us who have to adhere environmental farm plans which are independently audited each year, where the only problem with nearby water is E.Coli from seagulls and where we pay the costs of water to provide environmental flows in the Waiareka Creek.

Some of the money would go to regional councils the rest would be absorbed into the consolidated fund, to be used for Treaty settlements, where there is no need for it.

The government is forecasting surpluses for years ahead, there is no need for any new taxes unless there are compensatory cuts elsewhere.

The water tax is Labour’s attempt to hide its economic profligacy under environmental camouflage.

Two new taxes in one week prove that the party has a new leader but nothing else has changed including its tax and spend policies.

Quote of the day

We are living in a time of trouble and bewilderment, in a time when none of us can foresee or foretell the future. But surely it is in times like these, when so much that we cherish is threatened or in jeopardy, that we are impelled all the more to strengthen our inner resources, to turn to the things that have no news value because they will be the same to-morrow that they were to-day and yesterday — the things that last, the things that the wisest, the most farseeing of our race and kind have been inspired to utter in forms that can inspire ourselves in turn.– Laurence Binyon who was born on this day in 1869.

August 10 in history

955 Battle of Lechfeld: Otto I, Holy Roman Emperor defeated the Magyars, ending 50 years of Magyar invasion of the West.

991 Battle of Maldon: English, led by Bryhtnoth, Duke of Essex, were defeated by a band of inland-raiding Vikings.

1270 Yekuno Amlak took the imperial throne of Ethiopia, restoring the Solomonic dynasty to power after a 100-year interregnum.

1316  Second Battle of Athenry.

1519 Ferdinand Magellan’s five ships set sail from Seville to circumnavigate the globe.

1557 Battle of St. Quentin: Spanish victory over the French in the Habsburg-Valois Wars.

1628 The Swedish warship Vasa sank in the Stockholm harbour after only about 20 minutes on her maiden voyage.

1675 The foundation stone of the Royal Greenwich Observatory in London was laid.

1680 The Pueblo Revolt began in New Mexico.

1792 French Revolution: Storming of the Tuileries Palace, Louis XVI was arrested.

1809 Quito declared independence from Spain.

1829 First ascent of Finsteraarhorn, the highest summit of the Bernese Alps.

1840 HMS Britomart arrived at Akaroa, on Banks Peninsula, a week before a shipload of French colonists landed. The ship’s captain raised the Union Jack to confirm British sovereignty over the area.

1846 The Smithsonian Institution was chartered by the United States Congress after James Smithson donated $500,000 for that purpose.

1861 American Civil War: Battle of Wilson’s Creek.

1869  – Laurence Binyon, English poet, playwright, and scholar, was born (d. 1943).

1874 – Herbert Hoover, American engineer and politician, 31st President of the United States, was born (d. 1964).

1889 m– Charles Darrow, American game designer, created Monopoly, was born (d. 1967).

1894 – V. V. Giri, Indian lawyer and politician, 4th President of India, was born (d. 1980).

1900 – Arthur Porritt, Baron Porritt, New Zealand physician and politician, 11th Governor-General of New Zealand, was born (d. 1994).

1901 The U.S. Steel Recognition Strike by the Amalgamated Association of Iron and Steel Workers began.

1904 Russo-Japanese War: the Battle of the Yellow Sea.

1905 Russo-Japanese War: peace negotiations began in Portsmouth.

1913  Delegates from Bulgaria, Romania, Serbia, Montenegro, and Greece signed the Treaty of Bucharest, ending the Second Balkan War.

1920 World War I: Ottoman sultan Mehmed VI’s representatives signed the Treaty of Sèvres that divides the Ottoman Empire between the Allies.

1926 – Marie-Claire Alain, French organist and educator, was born (d. 2013).

1932 Rin Tin Tin, German shepherd dog, was born (b. 1918).

1932 A 5.1kg  chondrite-type meteorite broke into at least seven pieces and landed near Archie in Cass County, Missouri.

1933 – Elizabeth Butler-Sloss, Baroness Butler-Sloss, English lawyer and judge, was born.

1940 Bobby Hatfield, American singer (The Righteous Brothers), was born (d. 2003).

1941  – Susan Dorothea White, Australian painter and sculptor, was born.

1943 Jimmy Griffin, American guitarist (Bread), was born (d. 2005)

1944 World War II: American forces defeated the last Japanese troops on Guam.

1947  Ian Anderson, Scottish singer (Jethro Tull), was born.

1948 Candid Camera made its television debut after being on radio for a year as Candid Microphone.

1951 – Juan Manuel Santos, Colombian businessman and politician, 59th President of Colombia, was born.

1954 The groundbreaking ceremony for the Saint Lawrence Seaway was held.

1961  Jon Farriss, Australian musician (INXS).

1969 Members of Charles Manson‘s cult killed Leno and Rosemary LaBianca.

1977  David Berkowitz (“Son of Sam”) was arrested for a series of killingsin the New York City area over the period of one year.

1988  U.S. President Ronald Reagan signed the Civil Liberties Act of 1988, providing $20,000 payments to Japanese Americans who were either interned in or relocated by the United States during World War II.

1990  The Magellan space probe reached Venus.

1995 – All Blacks Josh Kronfeld and Jeff Wilson signed contracts with the New Zealand Rugby Football Union (NZRFU), heralding the victory of Rupert Murdoch over Kerry Packer in a battle for the right to televise professional rugby.

1995  Timothy McVeigh and Terry Nichols were indicted for Oklahoma City bombing.  Michael Fortier pleaded guilty in a plea-bargain agreement for his testimony.

1998 The Royal Proclamation of HRH Prince Al-Muhtadee Billah as the crown prince of Brunei.

2003 The highest temperature ever recorded in the UK – 38.5°C (101.3°F) in Kent.

2003 – Yuri Malenchenko became the first person to marry in space.

2006  Scotland Yard disrupted major terrorist plot to destroy aircraft travelling from the United Kingdom to the United States. In the wake of this all toiletries were banned from commercial airplanes.

2009 – Twenty people were killed in Handlová, Trenčín Region, in the deadliest mining disaster in Slovakia’s history.

2012 – The Marikana miners’ strike began near Rustenburg, South Africa.

2013 – The World Championships in Athletics took place in Moscow.

2014 – 39 people were killed in a plane crash at Tehran’s Mehrabad Airport.

Sourced from NZ History Online & Wikipedia