Rural round-up

Westland Co-operative Dairy demise is self-inflicted – Keith Woodford:

The approaching demise of Westland Co-operative Dairy (trading as Westland Milk Products) has come as a surprise to many people.  It should not have done so.  At the very least, either a partial sale or major joint venture has been inevitable for some years. Survival as a co-operative is now impossible.

Most of the people I talk to think the sale to Chinese company Yili is a very bad idea. West Coasters do not like it. Even Minister of Agriculture Damien O’Connor is of that opinion. And if a sale really is necessary, then the common perspective seems to be that it should be a local company.

In response, I say ‘dream on’. . . 

Taratahi owes creditors $31 million – Neal Wallace:

Employees will get what they are owed but nearly 1200 unsecured creditors will have to wait to see if they will be paid any of the $15.8 million they are owed following December’s collapse of the Taratahi Agricultural Training Centre.

An interim report by liquidators Grant Thornton says the sale of livestock will cover preferential creditors, employees, who are owed $2m, and Inland Revenue, owed $655,000, but there is no indication on the fate of other creditors.

Taratahi’s 518ha Mangarata farm is being readied for sale, over which Westpac has a secured mortgage, along stock, plant and shares. . . 

Crop work went like clockwork – Alan Williams:

Cropping demonstrations across cultivation, drilling, harvesting, balage and silage proceeded without a hitch at the South Island Agricultural Field Days at Kirwee in Canterbury.

Twelve or so hectares can sound like a lot of land area but with several different crops being grown on adjacent strips and some machinery being 10 metres wide there’s not a lot of margin for error.

It helps that each crop and activity is worked at separate times but there’s still a lot of planning and a lot of people to organise. . . 

Forestry sales at record high – reports – Eric Frykberg:

New evidence is emerging of a booming forestry sector.

It follows last month’s report from the Ministry for Primary Industries (MPI) showing 2018 forestry sales at a record high.

Since then, the Seattle based think tank Wood Resource Quarterly has highlighted New Zealand’s role in growing imports of logs by China.

Wood Resource Quarterly said the Chinese took a total of 40 million cubic metres of lumber through their ports last year.

That was over a third more than just three years earlier. . .

Cushing family’s H&G to buy 2.2% Wrightson stake from Agria – Paul McBeth:

(BusinessDesk) – The Cushing family’s H&G vehicle has agreed to buy a 2.2 percent stake in rural services firm PGG Wrightson from Agria Corp. for $8.3 million.

H&G has agreed to pay 49 cents a share for 17 million Wrightson shares, matching Friday’s closing price. Agria owns 351.6 million shares, or 46.6 percent of the rural services firm, having divested a 7.2 percent holding in December when Ngāi Tahu Capital withdrew from a seven-year pooling arrangement with Agria and Chinese agribusiness New Hope International. . . 

Record number of beekeepers have their say in latest check:

Almost a half of the country’s registered beekeepers have taken part in an annual survey to understand bee health, losses and beekeeping practice.

More than 3,600 beekeepers completed the 2018 Colony Loss Survey, which was carried out on behalf of Biosecurity New Zealand by Manaaki Whenua – Landcare Research.

“The numbers of beekeepers participating in the self-reporting survey represents 47 per cent of New Zealand’s registered beekeepers and 42 per cent of registered colonies,” says Biosecurity New Zealand’s biosecurity surveillance and incursion (aquatic and environment health) manager, Dr Michael Taylor. . . 

Miscanthus – a carbon negative crop:

Most annually harvested crops require a lot of activity to get them established, grown and harvested. They need cultivation of the soil, weed control, planting, fertiliser, harvesting, sometimes waste disposal, packing and loading on a truck. Most of them need all that every year. In many cases, there is further cultivation, planting and cutting of a cover crop during the off season as well. Again, every year!

Miscanthus on the other hand needs cultivation, planting and weed control – once in at least 15 years – perhaps 25 years – plus harvesting and loading on a truck every year from year 2 onwards. There is also no waste to be disposed of with Miscanthus. There is no need to cultivate the soil again, no need for ongoing weed control, no need to replant, no need for fertiliser in most cases.  . . 

One Response to Rural round-up

  1. Murray Roxburgh says:

    West Milk sale, many questions.
    What exactly have the new owners purchased infrastructure, land and possibly bugger all else.

    Having lived through some amazing ineptitude revealed by entities acquiring rural based operations, is history repeating its self.

    When a rural support enterprise changes hands the biggest bit of value is the supplier and they are very difficult to snare.
    Every stock and station acquisition in my time of involvement sees the best Agents depart the acquired outfit and a significant number of often the best clients follow.

    PGG Wrightsons is a recent example and the now asian owned outfit is struggling. The only obvious asset they still control being licences and commercial property and even they diminish in value without support from the people on the land.

    I note Fonterra have sent tankers from Clutha Valley into South Westland that West Milk cannot service over the Busted bridge, is that a clear signal to west coast dairy producers they are not “tied” to the new owners of West Milk or what?

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: