Word of the day

15/06/2022

Inequitate  – to ride over or through.


Sowell says

15/06/2022


Rural round-up

15/06/2022

Impeding food production with taxes on emissions is a bad idea when the world is tipping towards mass hunger – Point of Order:

As the war in  the Ukraine drags  on, the  international   food  crisis  is  deepening. The  Economist put it  simply but grimly:

“The war is tipping a  fragile  world towards  mass  hunger. Fixing that is  everyone’s  business”.

So  shouldn’t  the  New Zealand Government   be  exhorting  farmers to  go  all out to produce  as  much  as  they  can   for  this  country  to be  lifting  its  food  exports?  Is   this  the  time   for  the  government  to be erecting  new  hurdles to impede the  production  of  food?  Shouldn’t  it  delay  the  plan  to tax methane emissions for  at  least  12  months? 

Let’s look  at what  The  Economist further said:

“The  war is  battering a  global food  system weakened   by  Covid-19, climate  change,  and  an energy  shock.  Ukraine’s exports of grain and oilseeds have mostly stopped and Russia’s are threatened. . . 

How our feta cheese should be tied to a farm emissions deal – Macaulay Jones:

The primary sector has delivered its He Waka Eke Noa emissions pricing recommendation report to ministers. Now it’s time for the Government to deliver on their end of the bargain.

In a 2020 public webinar hosted by the New Zealand Agricultural Greenhouse Gas Research Centre, titled “Setting the direction: Towards a low-emissions future”, Agriculture Minister Damien O’Connor spoke about the need for agricultural emissions pricing to enhance our chances of good free trade agreements.

“In negotiating a trade agreement with the EU, and with the UK, both of those places are very proud of their efforts around climate change and emissions reduction,” O’Connor said.

“If we can say we’ve included agriculture [in the Emissions Trading Scheme], that gives us momentum when it comes to negotiating that market agreement and so don’t underestimate the positives of this. While there may be some… adjustments that are needed I think we could innovate our way through that.”  . . .

 

South Island Farmers embrace a dynamic future :

Over 420 dairy farmers gathered in Oamaru last week for SIDE 2022, with a focus on building skills and discussing solutions to challenges facing the farming sector.

The SIDE theme was dynamic and event chair Anna Wakelin opened the event by saying that farmers across New Zealand are taking control of their futures and standing up for positive change.

“We’re on the right track. It’s tough, but we can be proud of our low carbon footprint, our innovation and progress, and our work which supports communities through the bad times and the good.

“It’s staggering that just 11,000 dairy farms contribute almost $2 billion to New Zealand’s economy,” she added. . . 

Silver Fern Farms secures industry-leading sustainability linked financing :

Silver Fern Farms Ltd today announced the company has entered into one of New Zealand’s largest sustainability-linked working capital financing facilities (SL Financing).

At $320 million (NZD) the SL Financing has been carefully tailored to the challenges faced by the red meat industry, and will further enable Silver Fern Farms to grow while delivering on the company’s transformative sustainability agenda.

Silver Fern Farms Chief Executive, Simon Limmer said the country’s largest red meat company is committed to leading food system-change and supporting a just transition to a low carbon economy.

“Our commitment, and follow-through, on sustainability issues is a key way we’re making sure we do the right thing by our customers who increasingly want their red meat sustainably produced and processed. . .

Innovative Pāmu deer milk product finalist in prestigious global awards :

Pāmu’s awarding winning Deer Milk is up for two prestigious awards at the World Dairy Innovation Awards, to be announced in Laval, France on 15 June.

Pāmu Deer Milk is a finalist in the Best Dairy Ingredient category, while its new Doe Nutrition product is a finalist in the Best Functional Dairy section.

Pāmu Chief Executive Mark Leslie says being a finalist in these prestigious awards is a validation of the hard work that has gone into creating an all-new product for the agri-sector.

“Our deer milk product has been steadily growing in popularity among high end chefs and as a unique new ingredient in cosmetics, currently sold exclusively through the Yuhan New Origin stores in Korea. These nominations recognise the extensive application and unique properties of deer milk.” . . .

 

Digital Dairy Chain launches in Dumfries – Gordon Davidson:

South-West Scotland and Cumbria are about to become a ‘magnet’ for hi-tech dairy production – or at least, that is the hope of the newly launched Digital Dairy Chain project.

The £21 million venture was officially launched this week near Dumfries. Led by Scotland’s Rural College from its B arony campus, it will see partners across South-West Scotland and Cumbria focussing on developing a fully integrated and traceable dairy supply chain, bringing about an economic transformation that will, its architects believe, eventually lead to the creation of more than 600 jobs and generate £60m a year of additional value. . . 


Winston Churchill’s wisdom

15/06/2022


Food inflation 6.8%

15/06/2022

StatsNZ confirms what everyone who eats  knows:

The annual rate of food price inflation increased between April 2022 and May 2022, Stats NZ said today.

Food prices were 6.8 percent higher in May 2022 compared with May 2021, up from an increase of 6.4 percent in April 2022 compared with April 2021.

In May 2022, the annual increase was due to rises across all the broad food categories we measure: 

  • grocery food prices increased 7.4 percent
  • restaurant meals and ready-to-eat food prices increased 6.0 percent
  • fruit and vegetable prices increased 10 percent
  • meat, poultry, and fish prices increased 7.0 percent
  • non-alcoholic beverage prices increased 2.7 percent.

Grocery food was the largest contributor to this movement, with increasing prices for restaurant meals and ready-to-eat food providing the second largest contribution.

“Average prices for grocery food items like yoghurt, milk, and cheese were all notably higher than they were in May 2021,” consumer prices manager Katrina Dewbery said. . . 

The price of dairy products doesn’t always mirror the farmgate milk price, but record payouts from dairy companies will sooner or later lead to higher prices for milk and milk products.

With milk swaps for this season at more than $10 and the cost of fertiliser, fuel and labour increasing there’s very little likelihood that prices for dairy products will be decreasing soon.

Nor is there any hope of imminent relief for the cost of living crisis:

Kiwi families keep going backwards with food prices continuing to rise rapidly, National’s Finance spokesperson Nicola Willis says.

“Latest numbers from Stats NZ show food prices climbed 6.8 per cent higher over the past year, accelerating beyond the 6.4 per cent rate seen the month prior, with grocery prices now rising at their highest level in a decade.

“These rapidly rising prices are part of the wider inflation tsunami hitting our economy, with hard-working Kiwis left swamped in its wake, as their wages rise slower than prices.

The temporary reduction in fuel tax and extra $27 a week for some have already been more than swallowed up by rising prices for basic necessities.

“While Labour likes to put this all down to pricing decisions made by supermarkets, the truth is New Zealand’s inflation problem is far more widespread.

“Restaurant prices are rising at their highest rate since 2009, with ready-to eat food prices rising 6 percent in the year to date, as inflation gets a grip beyond supermarket shelves.

“Grant Robertson has no plan to tackle inflation. The Government has instead poured more fuel on the fire with more government spending, pushing up interest rates and worsening the cost of living crisis.

“The Government should adopt National’s five point plan to fight inflation – refocus the Reserve Bank on price stability, stop adding unnecessary costs to businesses and employers, reduce the bottlenecks that are holding back growth, including addressing labour shortages, restore discipline to Government spending and inflation-adjust tax brackets to increase Kiwis’ disposable incomes.

“This week many families will bypass the yoghurt in their weekly shop, put off by the sky-high cost. It’s time the Government stopped blaming the war in Ukraine, stepped up and delivered a plan to fight inflation.

Inflation isn’t solely and New Zealand problem and higher prices of imports is a contributing factor, but the government can’t control that.

It can and must control it’s own spending and require the Reserve Bank to do what it’s supposed to do – keep inflation between one and three percent.


%d bloggers like this: