A2 Milk outperforms once again – Keith Woodford:
The a2 Milk Company (ATM) took a big step forward with its 2016/17 results which were released on 23 August. Sales were up 56 percent from the previous year to $549 million, and post-tax profits tripled to $NZ90 million. The market was impressed.
Everyone knew that a strong result was in the offing, and so the shares had already risen 50 percent over the preceding three months, and almost trebled in value on a 12-month basis. The share price then rose another 15 percent over the following three days to close at $5.74 at week’s end.
The most important messages within the annual report were not about the present but the future. The picture drawn by CEO Geoff Babidge was of a fast-growing company with no debt and lots of free cash in the bank to fund ongoing developments. . .
The Government will establish a new School of Rural Medicine within the next three years to produce more doctors for our rural communities, Tertiary Education, Skills and Employment Minister Paul Goldsmith says.
“Every New Zealander deserves quality healthcare services, and we want to grow the number of doctors in rural and regional areas to make it easier for people in those areas to access other key health services,” Mr Goldsmith says.
“The new School of Rural Medicine will be specifically geared toward meeting the challenges faced by high need and rural areas of the country, and will produce around 60 additional doctors per year. . .
INSIGHTS ABOUT THE NEWS – The divide between regional and urban politics is being thrown into ever sharpening contrast as the election campaign unfolds. Agricultural industries and rural communities feel under siege in the looming election.
As reported in Trans Tasman’s sister publication The Main Report Farming Alert, weeks ago the chances of a Labour-led government seemed unlikely, but now the chance of this happening seems possible with policies which could prove ruinous for NZ’s main export industries.
Labour will tax users of water, including farmers (but not those companies using municipal supplies). Both the Greens and Labour are committed to bringing agriculture into the emissions trading scheme and say the carbon price should be higher. They have not stated how high they want animal emissions to be taxed. . .
Hawke’s Bay Regional Council to vote on ending Ruataniwha funding, writing-off $14M debt – Jonathan Underhill:
(BusinessDesk) – The Hawke’s Bay Regional Council will vote this week on whether to stop any further investment in the Ruataniwha Water Storage Scheme and write-off a $14 million debt owed by its investment company.
The vote on Wednesday comes as a result of a report into options following the Supreme Court decision to reject a Department of Conservation land swap need to create the storage scheme reservoir.
The council’s investment arm, Hawke’s Bay Regional Investment Co (HBRIC), owes $14 million to the council made up of $7 million of charges and $7 million of cash advances, according to the council report. For its part, HBRIC has an intangible asset of $19.5 million on its books related to the feasibility and development costs of RWSS. This was funded with the $14 million advance from the council and $5.5 million from external debt. . .
Labour’s suggestion of taxing international visitors to raise funds to pay for tourism infrastructure raises questions about why we can’t find the money already from existing tax.
Federated Farmers has been concerned about the pressure councils, particularly small rural councils, are under to maintain services for tourists, including public toilets and other facilities.
“We agree that tourism is placing increasing pressure on our nation’s infrastructure and these costs are being unfairly borne by regional economies.
“But surely it is possible to find the additional targeted funding for councils in need from within this already increasing area of tax take?” Federated Farmers president Katie Milne says. . .
Behind the hype of lab-grown meat -Ryan F. Mandelbaum:
Some folks have big plans for your future. They want you to buy their burgers and nuggets grown from stem cells. One day, meat eaters and vegans might even share their hypothetical burger. That burger will be delicious, environmentally friendly, and be indistinguishable from a regular burger. And they assure you the meat will be real meat, just not ground from slaughtered animals.
That future is on the minds of a cadre of Silicon Valley startup founders and at least one nonprofit in the world of cultured meat. Some are sure it will heal the environmental woes caused by agriculture while protecting the welfare of farm animals. But these future foods’ promises are hypothetical, with many claims based on a futurist optimism in line with Silicon Valley’s startup culture. Cultured meat is still in its research and development phase and must overcome massive hurdles before hitting market. . .
The export value of New Zealand wine has reached a record high according to the 2017 Annual Report of New Zealand Winegrowers. Now valued at $1.66 billion, up 6% in June year end 2017, wine now stands as New Zealand’s fifth largest goods export.
Over the past two decades the wine industry has achieved average annual export growth of 17% a year states the Report. “With diversified markets and a strong upward trajectory, the industry is in good shape to achieve $2 billion of exports by 2020” said Steve Green, Chair of New Zealand Winegrowers. . .
As Kiwis prepare to celebrate New Zealand Cheese Month, sales data shows we are enjoying more locally made cheese than ever before.
Nielsen data shows supermarket sales of New Zealand Specialty cheese have increased in value by 6% in the 12 months to August 2017 . What’s more, in the first quarter of 2017 Nielsen says 771, 383 Kiwi purchased specialty cheese, an increase of more than 20% compared with the same period in 2014 .
Every October the New Zealand Specialist Cheesemakers Association (NZSCA) members host a variety of tastings, inviting cultured Kiwis to events across the country to meet cheese makers and taste their wares. . .
2017 sees the largest National Final ever held for the Bayer Young Viticulturist of the Year competition. Taking place next Tuesday 29th August at Villa Maria in Marlborough, there will be a total of six national finalists representing six of our wine regions: Tim Adams – Auckland/Northern; Ben Richards – Hawke’s Bay; Ben McNab Jones – Wairarapa; Laurie Stradling – Nelson; Anthony Walsh – Marlborough and Annabel Bulk – Central Otago.
Bulk is the first woman in the competition since 2011, so it is great to see viticulture is very much a serious career option for both men and women. . .