Landcorp wants more taxes

State farmer Landcorp wants more taxes:

Conflict has emerged over Government-owned companies being able to influence Government-led inquiries. 

State-owned Landcorp New Zealand, which owns and operates a large number of farms, is facing criticism for welcoming environmental taxes on the sector.

Andrew Hoggard of Federated Farmers says he feels Landcorp are “trying to push themselves out to be a bit holier than thou” and are “throwing other farmers under the bus quite frankly”. 

Pāmu is Landcorp’s brand name and it has made a submission to the Government’s Tax Working Group saying it’s not opposed in principle to a well-designed capital gains tax, a levy on fertiliser products containing nitrogen and a price on water usage.

It’s all very well for the state farmer to advocate for more taxes when it doesn’t have to operate as other businesses do, needing to make a profit to survive.

Federated Farmers says many reject these new taxes.

“There’s already a lot of regulations from regional councils focusing around a lot of these issues, managing it that way. Coming in with taxes is sort of like just doubling up,” Mr Hoggard said.

National’s Agriculture spokesman Nathan Guy says rural communities will oppose new taxes on farmers.

“This will go down like a cup of cold sick in rural communities that the Government’s farmer is out there proposing more taxes on hardworking farmers of New Zealand,” he said. . . 

Landcorp’s advocacy for taxes on fertiliser, water and capital gains will add to the already negative view most farmers have of the company.

It has the might of the state behind it yet makes a very poor return on capital, when it makes a profit at all.

Improved technology, including fertigation and chemigation – applying what’s needed, where it’s needed, when it’s needed through centre pivots – will do far more for the environment than more taxes.

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5 Responses to Landcorp wants more taxes

  1. Tom Hunter says:

    I wish I had your confidence. Experience has demonstrated to me that whatever Labour puts in place National merely tinkers with. In the past few years I’ve had to spend tens of thousands of dollars complying with ever tightening regulations that none of us can see having any practical improving effect.

    Right now our district faces massive upgrades of a district water scheme designed by Council and built by local farmers in the early 1980’s, or switch all the farms to using it for stock only, which means more tens of thousands of dollars spent by each farm to build new artesian wells and pumping systems. – all to meet a degree of water quality far in excess of any realistic threat. No money from the Department of Education for the local school to switch either. The Council thinks it’s stupid also, but are having to comply with many other such systems in their catchment area.

    We’ve had more than three decades with no sicknesses, let alone deaths, due to this water. The legislation was passed by Labour as they went out in 2008 – but National never bothered with it. Same with everything else in this field.

    And so goes Landcorp, which would not be an issue had National been willing to do what it knew to be the right thing, and get these farms sold off. Oh, I know there was some announcement in 2017 just before the election, but it was obvious that it nothing more than a throw of the dice to reinforce the rural vote, given that no depth of detail or thought was given as to how this would be accomplished beyond some hand-waving about thirty year plans of ownership.

    And it has vanished without trace. Pity: more thinking had to be given as to exactly how those farms could be sold to anybody but other large entities like Maori Trusts or corporations: large farms getting larger, but perhaps National didn’t care.

    Still, at least such units might have been less willing to suck up to tax and regulations, whose sharp edge will be felt by smaller farmers first and foremost. Now, here we are.

  2. adamsmith1922 says:

    Reblogged this on The Inquiring Mind and commented:
    Landcorp should be sold. Their political posturing should be stopped.

  3. Will says:

    Sad to say I agree with Tom. National have been captured by the Leftist system we all are forced to inhabit. Successive governments’ predations on the exhausted and diminishing productive class are akin to the Tragedy of the Commons. Voting won’t get us out of this.

  4. Will says:

    Good Heavens! Mr Bridges has just announced he will reject the UN Migration Pact. I will probably have to vote for them for that alone. I had decided to forgo voting, such is my disillusionment.

  5. Bulaman says:

    Sell Landcorp.
    That might remind them to stay out of politics!

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