Word of the day

25/02/2021

Frobly-mobly –  neither well nor unwell; so-so; bad-tempered; irritable; cranky.


Yes Sir Humphrey

25/02/2021


Rural round-up

25/02/2021

The rewards of good data – Peter Burke:

New Zealand’s primary sector is our equivalent of the USA’s Silicon Valley of excellence.

That’s the view of one of the country’s illustrious agricultural economists, Rob Davison, who recently received an award for his outstanding contribution to the primary sector.

The award goes alongside the ONZM he received in 2016 for his services to NZ’s sheep and beef sector.

This latest award is well deserved for a person who has helped build and shape one of the most respected economic institutions in the country. Davison has been with Beef+Lamb New Zealand’s Economic Service for more than 40 years, much of that time as its executive director. . . 

Rural trust there for anyone having ‘tough time’ – Shawn McAvinue:

Otago Rural Support Trust chairman Mike Lord, of Outram, said if anyone in Otago’s rural community needed help — or knew of anyone who needed help — they could call the trust.

People called for a “range of reasons” such as financial stress, the impact of adverse weather such as flooding, snow, or drought or any other type of “tough time”.

“I have no doubt we make a difference.”

After Covid hit, a “desperate” farmer called because he had stock and a lack of feed due to meat works taking fewer animals as it dealt with new protocols. . . 

Recommendations ‘ambitious and challenging’ – Peter Burke:

Initial reaction to the Climate Change Commission report has been generally muted, but there are some concerns in the agricultural sector.

Prime Minister Jacinda Ardern claims the commission’s draft advice, released earlier this month, sets out an ‘achievable blueprint’ for New Zealand. She says the report demonstrates NZ has the tools to achieve our target but calls on us to accelerate our work.

“As a government we are committed to picking up the pace and focusing much more on decarbonisation and reducing emissions rather than overly relying on forestry,” Ardern says. . .  . . 

North Otago chicken farm sharpens its focus – Shawn McAvinue:

Anna Craig knew it was the right time to get cracking and launch a new brand to market the free-range eggs produced on her family’s farm in North Otago.

The Lincoln University agribusiness and food marketing student said she was “torn” about how to spend her summer break.

She could spend it working on her family’s 450ha farm in Herbert, about 20km south of Oamaru, or seek work elsewhere, which might look better on her CV.

She returned to the farm and set herself a goal of launching a new brand to sell some of the eggs laid by about 30,000 free range shaver chickens there. . . 

Strengthen your farming system by leveraging your #1 asset – people:

“Over the years of working with people in many different sized teams, we discovered that it mattered how we were behaving and acting with our team,” says Rebecca Miller of MilkIQ.

Dairy Women’s Network knows that putting people first drives a healthy business and will be running a series of workshops focused on this. They want to ensure that farmers attract and retain talent, and continue to grow the people in the industry.

The free workshops are funded by New Zealand dairy farmers through the DairyNZ levy and align with Commitment #5 of the Dairy Tomorrow Strategy: Building great workplaces for New Zealand’s most talented workforce.

It does not always require big changes to build a great workplace, but small changes that make a difference. The workshops will provide an overview of how to be a good employee or employer and the steps each can take. . . 

 

Handheld breath test device for pregnant cattle to move to industry trials – Joshua Becker:

A device that could change the way farmers preg test cattle is a step closer to commercialisation.

The federal government has offered $600,000 to help a company adapt advances in medicine for use in the grazing industry.

The prototype works by simply putting a device over the cow’s nose while it is in the crush and testing its breath.

Bronwyn Darlington, a farmer at Carwoola in southern NSW and the founder and CEO of Agscent, said the device worked by applying nanotechnologies to what was called breathomics. . . 

 


Yes Sir Humphrey

25/02/2021


Building for future

25/02/2021

Housing price increases have been outpacing wages for 20 years:

If nothing significant changes now that will get worse:

If New Zealand politicians thought the housing crisis in 2020 was bad, the worst is yet to come, warns a new report by The New Zealand Initiative.

In The Need to Build: The demographic drivers of housing demand, Research Assistant Leonard Hong modelled 36 scenarios and found that New Zealand’s population gets older and larger by 2038.

Hong calculated that the number of additional dwellings needed would reach between 26,246 and 34,556 annually under the most plausible scenarios. This excludes the annual housing replacement and demolition rate, and the current 40,000 undersupply calculated by Informetrics. 

“Historical data tells us that only 21,445 new houses have been built in New Zealand annually since 1992. This is nowhere near enough to accommodate our growing population,” says Hong.

For the next 20 years, even with zero net migration, we still need to build close to 20,000 dwellings annually to keep up with population changes.

“Policymakers should stop blaming the housing crisis on land banking investment and speculation and find policy solutions to drastically expand housing supply to keep up with demographic changes.”

Demographic changes will also have adverse effects on our prospects for fiscal prudence. The report demonstrates that the number of those over 65 years will be up by at least 23% in 2060.

This means fewer future taxpayers and more pressure on working-age New Zealanders to fund public services such as health care and education.

“Our future is an older and larger New Zealand and we must start preparing for it,” says Leonard Hong.

“We need to make a growing and ageing New Zealand a liveable place for New Zealanders, and this starts by building more houses now. Otherwise, future generations will have to deal with terrible housing affordability prospects.”

“This report should be a wake-up call for the government,” concludes Leonard Hong.

The full report is here.

 

It is no use tinkering with policies that attempt to reduce demand. The shortfall in supply is too great for that to make any significant difference.

The only solution is to build a lot more houses and start doing that now.

The government is frightened of the fallout should house prices decrease. It won’t have the courage to say that building more houses is a much higher priority than safeguarding the equity of existing home owners with big mortgages.

But the demand for housing is such to mitigate a lot of that risk.

Even if it didn’t, the financial and social costs of not addressing the housing crisis are a much greater problem that needs urgent action to enable a lot more houses to be built much sooner than any existing policies will do.


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