Quote of the day

August 24, 2015

. . . But I’m also sure that we can write all the rules and regulations we like. What is going to make the step change in our workplaces is different attitudes and different behaviours. And that’s going to involve all of us, not just the health and safety rep with the high-vis vest. Every single person in the workplace has got to contribute to that. Michael Woodhouse

 


Rural round-up

August 17, 2015

More women working NZ farms – Suzette Howe:

New Zealand is seeing a rise in the number of women working in farming. For years farming has been mainly viewed as a man’s world, but the tide is turning.

Nestled away on a north Canterbury farm, Louisa McClintock is not your average teenage girl. At just 17 she’s fallen in love with farming. She has quit school and is taking up the reins of her granddad’s farm.

“Everyone thought I was going to stay at school till year 13 and do the whole nine yards and go to uni, but I don’t think there’s anything I’d rather be doing; farming is it,” she says. . . 

Getting through the tough times – Andrew Hoggard:

We at least now know where we are with the much anticipated Fonterra forecast payment.  A price of $3.85 per kilo of milk solids is a real shocker.  There’s not going to be many farmers making anything on that payout.

That said, what can realistically be done about helping farmers through the tough times ahead for at least the next few months?

First, there is the no brainer stuff.  Talk to the bank manager.  Talk to advisers.  Put a bit more effort into communication with the family – they will be feeling the pressure as well.  . . 

Water Proposals jeopardise Southland’s farming future

Federated Farmers Southland strongly opposes Environment Southland’s draft ‘Water and Land Plan and are planning meetings to discuss the rural community’s concerns.

President of Federated Farmers Southland, Allan Baird, says “In its current form, the cost to Southland farmers will be crippling and there will be large flow on affects for the wider Southland economy.”

“As proposed, this Plan would severely limit or prohibit development, flexibility, and innovation for farming businesses, which will have huge consequences for Southland’s economy.”

“Farmers want good water quality just like every other Southlander; by progressing the current outcomes based approach that focuses our resources on the priority hot spots. This is consistent with what the Parliamentary Commissioner for the Environment is encouraging in her recent report, but we can’t do that without the flexibility to adapt to the environment and regulatory changes.”    . . .

NZ and Australia likely to trigger milk quota – Allan Barber:

For the first time since 2004 New Zealand and Australian beef exporters look almost certain to run out of US beef quota before the end of the year. High kills in both countries have seen an excess of beef being processed, well ahead of the normal annual production trend.

New Zealand’s annual quota allows shipments of 213,402 tonnes, much of it manufacturing beef for the fast food industry, but also higher value prime beef cuts in the pre Christmas period. If the quota runs out, these cuts will be at risk. The excess production this year is a direct result of the high cow cull because of the downturn in dairy prices. One processor told me the present slaughter rate was four times the normal amount. . . 

Reducing waste to feed the world:

A 2013 Asia-Pacific Economic Cooperation (APEC) agreement to reduce food waste by 10 percent across the region is picking up pace as researchers and technical team members work towards their 2017 goal of developing effective strategies and actions to address urgent global food waste issues.

A third of the edible parts of food produced for human consumption is lost or wasted. That translates into about 1.3 billion ton per year. Lincoln University Associate Professor James Morton says reducing food waste is the logical first step in meeting the needs of a growing world population, which is predicted to reach nine billion by 2050. He recently attended the second of three APEC ‘Multi-Year Project’ meetings focused on addressing global food waste, where he spoke around the need to measure and reduce wastage in the livestock chain. . . 

TPP – it’s time for a breather – Keith Woodford:

The failure to reach closure at the recent TPP negotiations in Hawaii may be a blessing for New Zealand. It may give some time for our negotiators to reflect on what we hope to achieve and what we are prepared to concede.

Most farmers will be supporters of the TPP. They will be working on the apparently reasonable assumption that more free trade has to be good value. . .

Commission releases draft report on 2014/15 review of Fonterra’s base milk price calculation:

The Commerce Commission today released its draft report on Fonterra’s base milk price calculation for the 2014/15 dairy season. The base milk price is the price Fonterra pays to farmers for raw milk and is currently set by Fonterra at $4.40 per kilogram of milk solids for the 2014/15 season.

The Commission is required to review Fonterra’s calculation of the base milk price each year as part of the Dairy Industry Restructuring Act’s (DIRA) milk price monitoring regime. The review assesses whether Fonterra’s approach delivers incentives for it to operate efficiently and provides for contestability in the market for purchasing farmers’ milk.

The Commission’s overall view is that Fonterra’s calculation of the 2014/15 base milk price is largely consistent with both the efficiency and contestability purposes of the DIRA. . . 

 


Quote of the day

May 12, 2015

New Zealand National Party's photo.

Most people are amazingly determined to do well under their own steam.

All they want the Government to do is created the environment for that . . .

We create the environment which enables jobs to be created. – John Key


$ value of stay at home mother

May 10, 2015

Hat tip: Utopia  from Salary.Com


Rural round-up

April 30, 2015

Dairy industry ‘paper’ flawed

Federated Farmers is disappointed to see Massey University supporting attempts to use academia to tarnish the dairy industry by pretending a student’s academic hypothesis is established fact.

“The paper is being discredited by the authors’ academic peers as being sloppy,” says Andrew Hoggard, Federated Farmers Dairy Chair.

“Unfortunately Joy, Death and Foote’s conclusions are drawn off assumptions, which are out in the world now and we have to rely on the intellect of its readers to see through its many untruths.”

“We support the authors’ desire to have ‘accurate reporting of real costs’ but the student’s thesis only looks at the negative externalities under very poor and inaccurate assumptions of the dairy industry while ignoring the positives. Therefore it could not possibly arrive at an accurate conclusion.” . .

 Downward revision for Westland Milk Products’ pay-out to shareholders:

The decline in international prices for milk has resulted in Westland Milk Products, New Zealand’s second biggest dairy co-operative, revising its predicted pay-out for the 2014-15 season.

Westland’s board has advised shareholders that the predicted pay-out is now $4.90 – $5.10 per kilo of milk solids (kgMS) before retentions. This is down from the previously announced range of $5 to $5.40 per kgMS.

Chief Executive Rod Quin says prices were such that a $5.20 pay-out seemed possible before the recent auctions, as buyers looked to New Zealand to secure supply ahead of the dry conditions during January and February. . .

 

Rates a balancing act of who’s going to foot the bill – Chris Lewis:

Rates are being set across the country as local government prepare their Long Term Plans (LTP) for the next three years.

These plans set out the council’s long term focus, describe the activities it intends on providing and specifies which community outcomes are to be achieved. More importantly, from the rate payer’s perspective, who is going to foot the bill for these activities?

Across the country Federated Farmers staff and elected members are busy squirrelling away on council’s plans. One of the things members don’t fully understand is where our membership money is spent. It has taken me a while to get my head around all the different activities the Federation covers and the effort that geos in to keeping 85 councils around New Zealand honest and fair for rural communities. . .

Ministers welcome scientific progress in cutting agricultural greenhouse gases:

Climate Change Issues Minister Tim Groser and Primary Industries Minister Nathan Guy have welcomed news of a breakthrough by New Zealand researchers which offers the potential to cut greenhouse gas emissions from sheep and cattle by 30 to 90 percent without cutting production.

This breakthrough in methane inhibitors was made by researchers working through the New Zealand Agricultural Greenhouse Gas Research Centre and Pastoral Greenhouse Gas Research Consortium.

“Livestock methane is New Zealand’s single largest greenhouse gas emissions source, making up 35 percent of our total emissions in 2013,” says Mr Groser. . .

Tight times force farmers to adopt new tactics – Tony Field:

Dairy New Zealand is warning farmers to prepare for tough times next season as well as this one.

It says the average farmer needs $5.40 in income per kilogram of milk solids just to cover farm working expenses and interest and rent this season. Fonterra is forecasting a payout of $4.70 per kilogram of milk solids this season.

Industry body DairyNZ says “bank balances for most dairy farmers will be heading south this winter and spring, producing some short-term but significant cashflow management challenges for farmers”. . .

Secret recipe through the seasons:

There’s a lot to be said for a fertiliser which does double duty, giving an instant boost of nitrogen to promote autumn growth, followed by the slower release of sulphur.

That’s the verdict of King Country sheep and beef farmers, George and Sue Morris who followed advice from their Ballance Agri-Nutrients representative to give PhaSedN a try.

The product is a granulated combination of SustaiN, elemental sulphur and lime. While the nitrogen offers an immediate boost to pasture, the elemental sulphur delivers a long-term supply of sulphur. It is an ideal combination where there is a high sulphur need such as sandy, peat and pumice soils or if there is high rainfall or a high risk of sulphur leaching. . .

 

 

Snapshots of US agriculture – Conversable Economist:

An extraordinary shift happened in the US agricultural sector during the last century or so. Robert A. Hoppe lays out the facts in his report “Structure and Finances of U.S. Farms: Family Farm Report,
2014 Edition,” written as Economic Information Bulletin Number 132, December 2014, for the U.S. Department of Agriculture. Indeed, when I hear arguments about how difficult (impossible?) it will be for the US workforce to adjust to the coming waves of technology, my thought quickly jump to the shift in agriculture.

For example, back around 1910, about one-third of all US workers were in agriculture (blue line, measured on the right-hand scale).  It’s now about 2%. The absolute number of jobs in agriculture declined, too, but the big change was that more than 100% of the job growth in the U.S. was in the non-agricultural sector. I haven’t researched the point, but my guess is that many people around 1910 would have viewed these changes as somewhere between  impossible and inconceivable.  . .  Hat tip: Utopia


Rural round-up

April 21, 2015

Sturgess.”I’ll help” – Neal Wallace:

Tom Sturgess, one of New Zealand’s richest men and largest farmers, is willing to be involved in making the red meat industry more profitable.

A career that includes running several diverse multi-billion-dollar companies including United States meat packing houses has given Sturgess some clear thoughts and ideas on how to revitalise the meat industry, even though some of those solutions could be considered unconventional.

Sturgess volunteered his help in an FWplus interview, saying he would happily be involved to find ways to improve sector profitability if he was wanted. . .

Shear warmth: former hairdresser’s dream become reality :From being a city hairdresser in New Plymouth making small talk with clients to living in the remote central North Island where the closest neighbour is eight kilometres down a winding, gravel road, Monique Neeson has been through a few changes.

You can also add to that the launch of a company selling woollen blankets that are, as she describes them, born, grown, woven and handmade in New Zealand.

Neeson laughs at her transformation.

“I can remember the first time I came to this farm, winding down the road for absolutely ages, and I told Tim, [now her husband], I’d never negotiate the road again.” . .

Don’t fight system farmers told – Alan Williams:

Farming within water quality limits is now a reality that all farmers will need to adapt to, Canterbury farmers have been told.

The process of setting quality limits and the farming changes required to meet them would be challenging and take time for everyone to get there, Environment Canterbury (ECAN) commissioner David Bedford told the Future of the Heartland farm forum at Conway Flats in North Canterbury today.

Some nutrient management tools had limitations and were still being developed and ECAN compliance activities would take that into account, he said in a speech on behalf of head commissioner Dame Margaret Bazley. . .

Farmers’ bank balances under severe pressure:

Industry body DairyNZ says bank balances for most dairy farmers will be heading south this winter and spring, producing some short-term but significant cashflow management challenges for farmers.

DairyNZ chief executive Tim Mackle says 2015-16 will still probably end up being a breakeven year for most farmers but cashflow will be a major issue that could result in some increased term debt in the sector and less spending in the regions.

“Farmers are used to having seasonal cashflow that drops into the red but then pops back into the black at some stage during the summer period. However, our current forecasts indicate that many farmers won’t be in credit for the entire 12 months of next season unless costs are reduced, income is higher than predicted or some of their overdraft is put into their term debt.” . . .

24 ways to to survive next drought – Nadene Hall:

Ask a group of farmers with over 500 years’ experience between them how to manage a property before, during and after a drought, and you get a lot of practical tips and wisdom. AgResearch asked 20 South Canterbury farmers about their strategies for successfully managing their properties after a drought.

All the farmers had experienced severe droughts over the previous 20-30 years of farming. What worked best on an individual property depended on things like its climate and soil type, and what was being farmed, but the scientists concluded these are the key areas to look at: . .

Search on for cotton workers – Andrew Marshall:

AUSTRALIA’S rural skills shortage is not just a problem troubling individual farms or regional machinery businesses – the cotton industry fears the profitability of the entire cropping sector is eroding.

The combined impact of new farm technology growth and a shortage of rural recruits with skills ranging from information technology and accounting, to engineering and agronomy, is stressing broadacre agriculture’s efficiency and productivity.

Corporate farms and big agribusinesses are frequently resorting to ‘cherry picking’ the talent they need from other players or other sectors of the industry, even if it means taking agronomists and turning them into bankers.  . .


Rural round-up

April 18, 2015

Criteria “too tough” on migrant workers – Federated Farmers – Tess McClure:

Farmers facing labour shortages say immigration criteria is “too tough” for migrant workers plugging the gap.

High numbers of farmers had approached Federated Farmers Southland with concerns about visas for their migrant worker employees, regional president Russell Macpherson said.

He said many workers were having trouble getting residency visas, despite calls from farmers to help keep their employees in-country.
 
“For some reason the people at immigration don’t think these jobs are important enough to grant them residency,” he said. “They’re doing work that New Zealanders clearly don’t want to do, so why are we making it so hard?”
 
While many migrant workers coming to New Zealand on work visas have high hopes of staying in the country and bringing their families over, less than a third are granted the chance of residency. . .

Shearing community mourns woolhandler:

The shearing community is mourning the loss of New Zealand woolhandling legend, Joanne Kumeroa, who has died after a three year battle with cancer.

The 45-year old had been living in Australia but returned home to Whanganui just before Christmas, and died yesterday.

Ms Kumeroa was regarded in shearing circles as a New Zealand icon, winning more World, Golden Shears and national wool-handling titles than any other competitor in her 24 year career.

Friends said she used her battle with cancer to raise women’s awareness of the disease. . .

Project to future-proof our biosecurity system:

Primary Industries Minister Nathan Guy has launched a new project which will further strengthen and future-proof New Zealand’s biosecurity system.

The project, Biosecurity 2025, will update and replace the founding document of New Zealand’s biosecurity system, the 2003 Biosecurity Strategy, with broad input from stakeholders, iwi and the New Zealand public.

“Government and industry have set a goal of doubling the value of our exports by 2025, and an effective biosecurity system is fundamental to achieving this,” says Mr Guy. . .

 

Peta’s mutilated lamb campaign sparks backlash (graphic content) – Rosanna Price:

The picture above has been captioned by PETA with: THIS is what most sheep used for wool look like after “shearing”.

But many people, including animal-activists and sheep shearers, disagree.

The image of an Australian musician holding the explicity graphic and mutilated body of a lamb was animal rights group PETA’s (People for the Ethical Treatment of Animals’) way of advertising their latest expose on sheep shearing. . .

Outstanding in her field:

Dairy Woman of the Year 2015 Katie Milne hopes to use her new profile for the wider good of New Zealand farming. 

Katie Milne hopes winning the Dairy Woman of the Year title will be a good platform to push messages about farming as “the rest of New Zealand do not understand us well”.

 “They need to understand us better so we can be allowed to grow our industry, and to do that New Zealand has got to back us,” Milne told Rural News. . .

Questions for Fonterra – Andrew Hoggard:

A lot of shareholders were disappointed with the interim results Fonterra announced last week.  Many feel they are not seeing a return on their investment.

I think we might be asking the wrong question.  It shouldn’t be about where’s the return on our investment, but rather where do we see the value of being part of a co-op.

At the moment the milk price we are paid is based on the Global Dairy Trade result.  It is averaged across the season – less manufacturing costs – in a very crude simplistic sense.  The reality is that all the other companies should be achieving this anyway with their products. . .

Field day for Waipā catchment:

An event organised by DairyNZ aims to advise famers and landowners on how best to manage their property in an environmentally sustainable way.

People in the Waipā River catchment are being encouraged attend the Kaniwhaniwha Stream field day, which will offer information on funding sources for environmental initiatives along with other resources.

Hosts Denis and Felicity Ahlers have worked with industry body DairyNZ to develop an environment-focused sustainable milk plan. They have also identified work that can qualify for council and Waikato River Authority funding. . .


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