Rural round-up

24/04/2021

Looking after the land ‘a passion’ – Shawn McAvine:

Looking after the land is a “passion” for Central Otago farmers Ben and Anna Gillespie.

The couple won the 2020 Otago Ballance Farm Environment Awards, and opened their farm gates in Omakau for a field day last week.

Mrs Gillespie, speaking to about 100 people on the day, said she and her husband were a “solid team”.

She did the “stock work and finances” and he did the “tractor work, irrigation and agronomy“. . .

The cost of getting soil fertility wrong:

Although many people on the planet are willing to pay more for New Zealand produce, productive land to grow that food and fibre is becoming unavailable here in our own backyard.

Both the current government and previous governments aimed to double export dollars from the primary sector.

In answer, ingenious farmers and growers have had to become more efficient with their inputs to do more with less land. The Ministry for the Environment’s report entitled Our Land shows export values of the primary sector doubled while available highly productive land halved between 2002 and 2019.

This was an impressive achievement, but not without impacts. Hitting the political ambition whilst reducing land use and environmental issues is going to require farmers to become even more efficient in the use of nutrients like nitrogen and phosphorus. . .

Trans-Tasman competition expected to increase for dairy farms seeking workers – Maja Burry:

New Zealand dairy farmers are being urged to make staff retention a priority, with the trans-Tasman bubble expected to make the labour market even more competitive.

Both New Zealand and Australia’s primary industries are facing labour shortages, with border restrictions cutting off the normal flow of migrant workers.

A recent survey by the groups Federated Farmers and DairyNZ found almost half of the sector is understaffed, with a quarter of farmers unable to fill some roles for over six months.

The opening of the trans-Tasman bubble on Monday had resulted in some agricultural labour recruiters in Australia ramping up online advertising campaigns targeting New Zealanders – offering free airfares and good wages. . . 

A2 moves from a brand to a category – Keith Woodford:

Many more A2 milk and A2 infant formula brands are now emerging across the globe but market leader The a2 milk Company is struggling

A notable change has been occurring recently with A2 milk products now available from multiple manufacturers. That includes at least three brands of A2 infant formula available here in New Zealand. These offerings are the original a2 Platinum from The a2 Milk Company (ATM), plus relative newcomers Karicare A2 from Danone and Haven A2 linked to Zuru.

There are also now at least three A2 fresh-milk brands in New Zealand, these being Fonterra, Fresha Valley, and a strangely named “organic A3” product which, according to its owners, is also produced exclusively from A2 cows.

Internationally, there are multiple A2 brands of both A2 milk and A2 infant formula now available, particularly in Asia, to a lesser extent in the Americas, but with Europe still lagging. . . 

The harvest has passed but we are not saved – Tom Hunter:

So that’s it. The last of the maize has been chopped and dropped into bunkers, pits and stacks all across the Waikato.

I’ve finished my first, and likely my last season, on the harvesting teams. As always with such work it seems that time has run much faster than a start last September factually shows. About the only slow period was in January as the huge machines were prepped for the coming chore and eyes closely watched the growing maize to pick the right time for gathering.

This time of year has always been celebrated, so let’s start with Bruegel’s classic from 1565. . . 

‘A farmer with 50 cattle today will only be allowed to have 24 in 2030’ – Catherina Cunnane:

The Rural Independents have warned that the Climate Action Bill will “kill the economy while doing nothing to protect the environment”. 

They fear that “small farms will be in danger of disappearing and replaced by large corporate interests, while one-off rural housing will cease to exist”.

The group believe the bill will cause “immeasurable damage to Irish agriculture”, cause food security issues, lead to thousands of direct and indirect job losses across rural Ireland and create enormous and costly volumes of red tape. . . 


Rural round-up

05/04/2021

CCC submissions flood in – Neal Wallace:

Methane reduction targets remain a contentious issue for the livestock sector, which is critical of Climate Change Commission recommendations for an even steeper reduction pathway than proposed in the Zero Carbon Act.

Beef + Lamb NZ, DairyNZ and Federated Farmers are labelling the proposed new targets as unrealistic and not backed by robust science, economic or farm system analysis.

B+LNZ chief executive Sam McIvor says the revised target is a 13.2% reduction in biogenic methane emissions below 2017 levels by 2030.

“This represents a 32% increase in the level of ambition compared to the 2030 biogenic methane target contained in the Zero Carbon Act, which is to reduce methane emissions to 10% below 2017 levels by 2030,” McIvor said. . . 

Smith to push for more automation in the hort sector – Peter Burke:

More automation in orchards – that’s what Ministry for Primary Industries (MPI) director general Ray Smith says he’s going to push hard for in the coming 12 months.

He told Rural News that there is real growth in horticulture and the opportunity for more, but New Zealand as not solved the labour supply problem.

“Too much of the horticultural industry has been built off the back of immigrant labour and the risk of that is what we see now,” Smith says.

“If anything goes wrong with that supply chain of workers then you have massive problems. That is why there is a need for the investment in automation and we want to see this directed to what can be done in orchards.”

Milking shed ravaged by fire, community spirit gets farmers back up and running – Joanne Holden:

A South Canterbury farmer whose milking shed, built by his father, was ravaged by fire has got his dairy operation back on track, with a little help from his friends.

The 30-year-old Waitohi milking shed was “fully ablaze” when Hamish Pearse, and five of his staff, grabbed a fire hose each and attacked the flames, keeping them at bay until the fire brigade arrived with five appliances about 20 minutes later.

“The staff were pretty shaken up by the whole thing,” Pearse, of Waitohi, said.

“My dad was emotional about it too, because he built that milking shed himself . . . He came back to see his pride and joy burnt down.” . . 

Synlait ponders lack of profit – Hugh Stringleman:

Synlait may not make a profit this financial year because of sharply reduced orders from a2 Milk Company for packaged infant formula, rising dairy commodity prices and global shipping delays.

At the start of the season Synlait directors expected net profit in FY21 to be similar to last year’s $75 million, then in December they said net profit would be approximately half that of FY20.

They have now said the anticipated result for FY21 will be “broadly breakeven”, which includes the possibility of no profit overall and a small loss in the second half, which is already two months old.

When releasing its first-half results, Synlait said the December downgrade from major customer and minority shareholder a2MC was significant and sudden. . . 

Wyeth’s move west welcomed – Peter Burke:

A few weeks ago, Richard Wyeth took over as chief executive of Yili-owned Westland Milk Products and says his first impressions of the company and its people are positive.

It was only a few months ago he was head of the highly successful Maori-owned dairy company Miraka – a company he helped set up from scratch.

However, Wyeth says he’s really enjoying the new job at Westland and what’s really impressed him is the people in the business.

“There is a really strong desire to see the business do well and people are working really hard to do this,” he told Rural News. . . 

Scientists are testing vaccines for flystrike – Chris McLennan:

Scientists believe they are closing in on a commercial vaccine for flystrike.

Prototype vaccines have already been developed half way through a four-year $2.5 million research project between the wool industry and CSIRO.

A potential vaccine against flystrike has been the subject of decades of research work.

Blowfly infestation of sheep wool, skin and tissue results in an estimated $280 million losses to the wool industry. . . 


Rural round-up

29/12/2020

How to avoid harm on the farm – Rowena Duncum:

I’ve always loved rural New Zealand.

Growing up beside a farm, I’d spend hours hanging over the back fence talking to the animals or across the road in the other direction, feeding grass and carrots to the rescued horses in the SPCA paddock.

Some of my happiest memories of childhood holidays are visiting family on their farms around the country. It’s a rite of passage growing up in Aotearoa. As I reached adulthood and became a farmer myself, I loved being on the other side of the fence – hosting friends and family as they came to visit, bringing their own budding farmers to see the animals or milking. . . 

Alliance Group to repay wage subsidy in full :

Invercargill-based Alliance Group has chosen to return the balance of the Covid-19 wage subsidy to the Government.The farmer-owned meat processor had already repaid $21 million of the $34m wage subsidy and will return the balance, it said.

“From the outset, Alliance has been clear we would only use the wage subsidy in the way it was intended by government and our previous repayments reflect this commitment,” chairman Murray Taggart said in a statement.

“Following the filing of our company accounts last month, the Alliance board believes the co-operative is in a position to repay the remaining balance,” he said. . .

A2 Milk hopes to expand production at Southland plant :

A2 Milk is a step closer to taking a controlling stake in Mataura Valley Milk, but says it will be at least a couple of years before it starts making profits.

ATM disclosed its intentions in August and has now entered binding agreements to buy a 75 percent stake in the Southland based infant formula maker.

The move is part of ATM’s plans to diversify its production and broaden its range of products.

“MVM provides a unique opportunity to acquire a new world class nutritional products manufacturing capability in New Zealand, alongside a highly respected China state owned enterprise in China Animal Husbandry Group (CAHG),” A2 Milk chief executive Geoff Babidge said. . .

M. bovis eradication going to plan but still work to do:

Significant progress has been made in driving down the numbers of farms affected by Mycoplasma bovis (M. bovis).


We’re on track to achieve eradication, but there’s still a lot of hard work ahead of us. We expect to find more infected herds as we actively look for those final pockets of infection, so we all need to remain vigilant.

As Programme partners, MPI, DairyNZ and Beef + Lamb New Zealand are working together to support affected farmers through this eradication programme. . .

Detector dogs could sniff out AFB and save beekeepers millions of dollars:

Training dogs to sniff out the highly infectious bacterial disease American Foulbrood (AFB) in beehives could save New Zealand’s beekeeping industry several million dollars a year.

The Ministry for Primary Industries (MPI) is contributing $50,000 through Sustainable Food & Fibre Futures (SFF Futures) towards the one-year, $95,000 project.

The project aims to develop a scientific methodology for training detection dogs to reliably detect AFB, by creating a ‘scent picture’ of the disease. . . 

Blurred lines between animal welfare and animal ethics – Shan Goodwin:

ONE of the key elements of animal welfare science commonly misunderstood is that it is the animal’s perception of its conditions that counts, not those of humans.

So says one of the country’s leading experts in the field, Warrnambool veterinarian and senior lecturer in cattle medicine at Melbourne University Dr David Beggs.

The differences between animal welfare and animal ethics – and where the biggest challenges to livestock production may lay with the latter – was explored by Dr Beggs in a recent episode of the RawAg podcast produced by southern seedstock operation Te Mania Angus. . .


Rural round-up

06/04/2019

FARMSTRONG: Putting people first comes first

A thriving Canterbury dairy farmer puts as much thought into looking after his staff as he does stock and pasture. 

Duncan Rutherford manages an operation with 14 staff, 2300 cows and some sheep and beef on a 3300-hectare property. 

He and his family are still dealing with the aftermath of the 2016 Kaikoura earthquake. 

“It was a reasonable challenge all right. A couple of houses got fairly damaged and one is still being repaired.  . . 

Exporters’ Brexit concerns grow – Peter Burke:

New Zealand primary produce exporters’ concerns continue rising about the confusion in the British parliament over Brexit.

NZ’s agricultural trade envoy Mike Petersen says given the possibility of a no-deal, exporters are making contingency plans for such an event.

But they also still hope a deal will be agreed so they won’t have to trigger plans for a no-deal. The whole thing is a terrible mess, Petersen told Rural News last week. . . 

Young farming couple applauded for farm sustainability – Angie Skerret:

A farming couple applauded for their commitment to farming sustainability have a simple message for other farmers – make a plan and make a start.

Simon and Trudy Hales, of Kereru Farms, are one of eleven regional winners of the Ballance Farm Environment Awards – taking out the Horizons regional award.

The Hales are the fourth generation to farm the land, and have worked hard to make positive changes on their 970ha sheep and beef farm near Weber. . .

A2 Milk says lift in dairy prices may impact in FY2020 – Rebecca Howard:

 (BusinessDesk) – A2 Milk Company said recent increases in dairy pricing will have an impact on gross margin percentages in the 2020 financial year but it doesn’t anticipate any significant impact this year.

Dairy product prices rose for the ninth straight time in the overnight Global Dairy Trade auction. The GDT price index added 0.8 percent from the previous auction two weeks ago and average prices are now up 28 percent since the auction on Nov 20.

“We do not anticipate any significant impact to gross margin percentage during FY19 as a result of recent increases in dairy pricing as reflected in Global Dairy Trade Indices. . . 

Dairy industry tells EU ‘hard cheese’ – Nigel Stirling:

The dairy industry is digging its heels in over the European Union’s attempts to seize dozens of cheese names for the exclusive use of its own producers.

The EU has long sought to use its free-trade agreements to extend its system of Geographical Indications (GIs) and its trade talks with NZ have been no exception.

As part of the talks the European Commission has given NZ negotiators a list of 179 food names and hundreds more wine and spirit names linked to European places it says should be given legal protection over and above that provided by this country’s own system of GIs protecting names of wines and spirits introduced several years ago. . . 

Scott and Laura Simpson’s focus on data collection pays off in Inverell drought – Lucy Kinbacher:

SOME of the toughest decisions are made during unfavourable seasons but for Inverell’s Scott and Laura Simpson their efforts during the good times are making their management easier. 

The couple are into their fifth year of ownership of the 1700 hectare property Glennon, which was previously run by Mr Simpson’s parents. 

At the time they had a herd of Brangus content types so the pair moved to incorporate more Angus genetics and breed more moderate females.  . . 


Rural round-up

27/09/2018

Pasture pests costing economy billions:

Pests most commonly targeting New Zealand’s pastures are costing the economy up to $2.3 billion a year, an AgResearch study has found.

The study is the first of its kind to estimate the financial impact of invertebrate pests such as the grass grub, black beetle, nematodes and weevils in terms of lost productivity for pastoral farming.

The full science paper has been published this week in the New Zealand Journal of Agricultural Research and can be found here: . .

Alliance meat company paid too much for winter export lambs cutting profit – Heather Chalmers:

Meat company Alliance Group says it paid too much for export lamb over winter, which has hit its profit. 

Alliance chief executive David Surveyor said that in lamb markets there had been a “fundamental disconnect” between the laws of supply and demand.

“For the last three months lamb prices overseas have been flat, but domestically the export lamb price to farmers has gone up by $20 a head to procure animals.

In the last few weeks Alliance has cut the price it pays for lamb “as it was not sensible to continue at this level of pricing”, Surveyor said. . .

Westland Milk Products final payout for 2017-18

Westland Milk Products has reported a final milk payout of $6.12 per kilo of milk solids (kgMS), less a five cent retention, delivering a net average result for Shareholders of $6.07 per kgMS.

Chairman Pete Morrison noted that a substantial number of Shareholders received an additional premium on the net result of 4.4cents per kgMS for providing UHT winter milk and colostrum, giving them a net average payout of $6.11. . .

Fonterra: ‘lots to do to get basics right’ – Simon Hartley:

China poses several challenges for Fonterra and a2Milk, and both organisations face the likelihood of short term volatility in sales and earnings.

Fonterra’s woes stem from its poor full year result and rising milk prices pressuring profit margins, but it also has to make a decision on its much criticised 18.8% stake in Chinese infant milk formula company Beingmate, which it bought for $755million in 2015.

And a2 Milk could face some short term volatility with recent changes to Chinese law impacting on the thousands of informal ”daigou” traders selling on numerous e-commerce and social media platforms in China. . .

Apple industry welcome release of seized plant material:

New Zealand Apples & Pears Incorporated (NZAPI), the industry’s representative association, has welcomed the Ministry for Primary Industries announcement that 20,000 apple plants have been cleared for release from all restrictions imposed following their seizure after being imported from a US testing facility.

An MPI audit of the facility in March had found that there were incomplete or inaccurate records associated with this material, which raised the prospect of a biosecurity risk. . .

Minister Sage forced to postpone her tahr hunt

Conservation Minister Eugenie Sage has been forced to postpone the mass tahr cull she ordered to start this weekend because of huge pressure from recreational hunting and tourism industry, National’s Conservation spokesperson Sarah Dowie says.

“Ms Sage personally ordered the culling of tens of thousands of tahr without adequately consulting with the hunting industry and recreational hunters who would be directly affected

Prospects good for anglers – Jono Edwards:

Anglers are waiting with bated breath for a healthy southern fishing season.

Otago Fish and Game officer Cliff Halford said yesterday most fisheries in the region were in ”good condition” for the opening of the season on Monday.

”Certainly, weather conditions play a part in how opening day will pan out and it looks like we will get some clear skies.”

While snow expected this week could impact water clarity, so far there were not expected to be any ”major rain events” between now and opening day. . .

More farmers turn to DNA parentage testing to improve productivity:

Farmer owned co-operative LIC has seen an increase in demand for its DNA parentage testing service as livestock farmers place increasing emphasis on cow quality over cow quantity.

This spring, upwards of 250,000 calves from around the country will have their parentage confirmed by LIC’s DNA parentage service which operates from its laboratory in Hamilton. . .

Hancock’s tech transformation has animals, staff in mind – Shan Goodwin:

THE technology transformation and infrastructure rollout taking place across the 34 cattle properties now in the Hancock Agriculture portfolio is as much about leading the way in animal and worker well being as it is about delivering efficiencies.

From the day of acquisition of each station, Hancock’s Gina Rinehart has expected an allowance be set aside for animal welfare investments.

So far that investment is running in the millions. . .

NFU joins forces with food supply chain to tackle food waste:

The NFU is today announcing its support for the Food Waste Reduction Roadmap and is encouraging its members to play their part in tackling food waste in the supply chain.

The initiative, run by the charities Wrap and IGD, aims to have 50% of the UK’s largest 250 food businesses measuring, reporting and acting on food waste by 2019. It is working towards milestones to help halve UK food waste by 2030.

NFU President Minette Batters said: “This is an incredibly important initiative by Wrap and IGD, and the NFU is very pleased to be able to support it. Farmers are the first step in the supply chain, producing the raw ingredients that make up the safe, traceable and affordable domestic food supply that helps to feed the nation. . .


Rural round-up

09/08/2018

Long-serving dairy scientist Harjinder Singh gains international recognition – George Heagney:

After 30 years of research in the dairy industry, a distinguished service award was well deserved for Harjinder​ Singh.

The Massey University distinguished professor has won a lot of awards for his work, but last month became the first New Zealander to win the American Dairy Science Association distinguished service award at Knoxville in the United States.

The gong, which Singh joked was a lifetime achievement award, was for outstanding contribution to dairy science and work improving the industry. 

Singh, 60, is a food scientist and major figure in the development of dairy science research, having started working at Massey in 1989. . .

TDC hopes Provincial Growth Fund will plug $18m hole in Waimea dam plan – Cherie Sivignon:

Tasman District Council has applied to the Government’s Provincial Growth Fund to plug an $18 million hole in funding for the proposed Waimea dam, undaunted by an apparent exclusion for water and irrigation projects.

A guide to the fund called Powering Up Aotearoa-New Zealand’s Regions is available on the Ministry of Business, Innovation and Employment website.

On page 5 of that guide under the headline “Fund exclusions”, it says: The following are not eligible for PGF [the Provincial Growth Fund] as they are funded by other means:
* Housing (unless it is a core part of a broader project and would not otherwise be required)
* Water and large-scale irrigation
* Social infrastructure (such as hospitals and schools) . .

Four does go into one – Sonita Chandar:

Teamwork is the secret to success for the Southland farm judged the best dairy business in the land. Sonita Chandar reports.

Despite three of the four partners living in the North Island the success of a Southland farming business can be attributed to exceptional teamwork and good clear lines of communication.

Each partner brings strengths to the table but no one is above the others. They are all equals, make decisions as a group and share in the spoils of their collective success. . .

Tradition lives on – Sonita Chandar:

The threat of Mycoplasma bovis might ruin an annual tradition that is a firm favourite on the agricultural calendar.

Calf club days around the country are being put on hold or cancelled because of fears of spreading the disease, which has seen cattle banned from some A&P Shows.

However, a group of Waikato farmers has come up with a failsafe idea that carries zero risks and allows children to enter calf clubs and compete against others without having to leave the farm.

On a Facebook page farmers suggested running an online club. . .

Sniffing out a new industry – Nigel Malthus:

At up to $250 retail for a well-shaped 80-90g black perigord truffle, growing the gourmet delicacy has its obvious rewards.

But it is also a high-risk business, says Amuri Truffiere’s Gavin Hulley. The truffiere is based on a 2ha hillside plot overlooking the North Canterbury township of Waikari.

Run as a joint venture with the landowner and another investor, it was planted out in 1997 as one of the first truffle farms in New Zealand. . .

A2 Milk shares rated both ‘outperform’ and ‘sell’ as views on outlook diverge – Tina Morrison:

(BusinessDesk) – Views on the outlook for The a2 Milk Company, the best performing stock on the S&P/NZX 50 Index last year, are widely divergent with one broking house this week reinstating an ‘outperform’ rating based on its potential for future global growth, while another downgraded it to ‘sell’ saying excess product is starting to build in Australia.

A2 Milk, which markets milk with a protein variant said to have health benefits, has had a meteoric rise in recent times, cracking a major milestone in February when it became the largest listed company in New Zealand by value, as its infant formula in China and liquid milk in Australia surged in popularity. At today’s price it is valued as the fourth-largest New Zealand listed company although opinions on its future are mixed. . . 

Fonterra and Future Consumer Limited JV to provide high value dairy nutrition in India:

Fonterra has announced a joint venture partnership with one of India’s largest consumer companies, Future Consumer Ltd, to produce a range of consumer and foodservice dairy products that will help meet the growing demand for high-quality dairy nutrition in India.

Lukas Paravicini, Fonterra’s Chief Operating Officer Global Consumer and Foodservice, said the partnership, under the name Fonterra Future Dairy Partners, will enable Fonterra to establish a presence in India. . . 

New Zealand’s newest farmer-owned foor company challenges  Virgin Australia to bet on an underdog:

Farmer-owned food company, Hinterland Foods, has launched an online appeal for support to have its meat products served on Virgin Australia flights.

It follows an invitation by the airline to the country’s meat companies, in response to rival Air New Zealand’s plant-based Impossible Burger, which has caused a stir in local rural communities.

To help rally support, Hinterland’s Taihape-based team produced a short video to better acquaint ‘the Aussies’ with rural New Zealand life and make a case for why the company’s products should be chosen.  . .

DryNZ, a boutique freshly dried food ingredients business clinches major international export order:

DryNZ, a start-up wholesale freshly dried fruit and vegetable business has won a major international export order, supplying dried fruit for an international company based in Europe.

DryNZ Managing Director Anne Gibson says the deal is a major coup for the Waiuku based business, situated adjacent to the Pukekohe food-bowl supplying apple, peach, blackcurrant, kiwifruit and lemon dried food pieces. . . 

Farmer Tim says ENOUGH IS ENOUGH to farmer suicides #ILiveBecauseYouFarm – The Bullvine:

ENOUGH IS ENOUGH! I need your help. Five times in the last week I’ve received messages about farmers taking their lives. It is getting way too close to home for me now. Last week agriculture lost an amazing soldier. Her passion and compassion for all things farming was contagious. Anyone who had the privilege to meet her instantly became inspired to be a better person. I do not want to needlessly lose another friend, farmer, neighbour or agvocate. We need to do something.

So many people suffer silently and I know that we can’t help them all but sometime even a small gesture can have a huge impact on someone’s life. . .


Rural round-up

07/08/2018

Wool gets revived as tide turns on synthetics’ pollution of the seas – Heather Chalmers:

A new wave of socially and environmentally-conscious consumers are turning to natural fibres for their clothing and homes, rejecting polluting synthetics and plastics.  

New Zealand wool companies are already tapping into this trend, promoting wool as a natural, biodegradable and renewable replacement.

But while momentum is growing, returns remain stubbornly low for the coarser end of New Zealand wool clip.   

While shoppers may think they have done their bit for the environment by ditching plastic bags, they are being advised to look at what they are wearing and how their house is carpeted, furnished and insulated.  . . 

 Wrightson shares jump 9.4% on plans to sell seeds unit for $439M; may distribute cash – Tina Morrison:

(BusinessDesk) – Shares in PGG Wrightson jumped as much as 9.4 percent after the country’s largest rural services business said it had agreed to sell its seed and grain business to Danish cooperative DLF Seeds for $421 million in cash and $18 of debt repayment, and signalled it may return up to $292 million to its shareholders.

The sale is above the $285 million book value of the seeds business and follows several expressions of interest received from international parties as part of a strategic review underway with Credit Suisse (Australia) and First NZ Capital. The Christchurch-based company expects to have a net cash balance of about $270 million following the sale and could distribute as much as $292 million to shareholders. . . 

A2 doubles stake in Synlait at 23% discount – Sophie Boot:

A2 Milk will buy another 8.2 percent of Synlait Milk, doubling its stake in the company.

The milk marketing firm will buy the shares at $10.90 apiece, down 2.3 percent from the NZX one month volume weighted average price of $11.16, for a total of $161.8 million. The shares will come from Tokyo-listed Mitsui & Co, a general trading company which invests across sectors and bought 8.4 percent of Synlait at the company’s initial public offering in 2013. . .

 

New Zealand red meat sector strongly opposes European Union and United Kingdom’s WTO quota proposal;

Beef + Lamb New Zealand and the Meat Industry Association strongly oppose the European Union (EU) and United Kingdom’s (UK) proposal to ‘split’ the EU’s World Trade Organisation (WTO) Tariff Rate Quotas between them.

The UK and EU have officially notified the WTO of their draft tariff schedules, which propose to split tariff rate quotas that allow access for New Zealand sheepmeat and beef exports. . .

Trade outlook still bright, but not without challenges – Allan Barber:

Vangelis Vitalis, Deputy Secretary for trade at MFAT and chief negotiator for the CPTPP due to take effect early next year, gave a very thorough and enthralling presentation on the trade landscape to the Red Meat Sector Conference in Napier on Monday.

Free trade and market access are a key area of interest to the New Zealand meat industry and the economy as a whole. Vitalis stated that three assumptions underpin New Zealand’s international trade negotiations: . . 

MPI sets the record straight with Forest & Bird:

Ministry For Primary Industries 2 August 2018 MPI is disappointed that Forest and Bird thinks it necessary to make inaccurate claims about combined efforts to prevent the spread of Kauri dieback.

Forest and Bird has advised MPI that it is closing off its reserves with wild kauri as a further measure to prevent the spread of kauri dieback, says Roger Smith, Head of Biosecurity New Zealand (a part of MPI). “We welcome all efforts to protect our kauri and have been working in partnership with a wide range of organisations to support their local efforts. . .

Tour leader found with fruit fly:

Fruit fly larvae carried by a tour party leader could have devastated New Zealand’s horticulture industry, says Biosecurity New Zealand.

Biosecurity officers intercepted the larvae last month in undeclared food with a holiday group from Malaysia at Auckland Airport, says Biosecurity New Zealand Passenger Manager, Craig Hughes.

The larvae was found in chillies following x-ray screening of the tour leader’s baggage. A caterpillar was also detected in some garlic bulbs carried with the undeclared food. . .

Rabobank Wine Quarterly Q3 2018: Status Quo Under Pressure in US Route-to-Market

The US has emerged as the largest wine market in the world, and by most measures, the most profitable and attractive. While wineries – both foreign and domestic – recognise the profit potential of the market, it is also widely seen as an exceptionally-difficult market to penetrate (particularly for small wineries), according to the latest RaboResearch Wine Quarterly report.

Route to the US consumer

Major changes are occurring today in how wine reaches the US consumer. “Changes in technology, business models and market structure are disrupting the global wine market and creating new sets of winners and losers among wholesalers, retailers and suppliers,” according to Stephen Rannekleiv, RaboResearch Global Strategist – Beverages. “Responding quickly to these changes will determine who survives, who thrives, and who fades away.” . .

Boy, 10, raises $60,000 in ‘Fiver for a farmer’ campaign – Shelley Ferguson:

More than $60,000 has been raised for drought-stricken farmers through a campaign started by children at a Sydney school last week.

Jack Berne, a grade four student at St John the Baptist Catholic School in Freshwater, was the instigator of “a fiver for a farmer”, and was inspired to help after learning about the struggles of those on the land in class.

Last week, Jack wrote a letter to media outlets as he tried to generate support for the cause after telling his mum that their teacher always tells them, “we can use our small and mighty voices” ..  . 


Rural round-up

04/03/2018

Meat sector aiming high – Neal Wallace:

A national brand for meat supported by a story detailing New Zealand farming practices will be released within the next few months to spearhead the sector’s response to the growth of competing artificial protein.

A just-released study on the threat of alternative protein to NZ’s red meat sector commissioned by Beef + Lamb NZ identifies beef in our largest market, the United States, as most at risk from the growth of artificial protein.

It warns plant-based burgers and mince will likely be widely available throughout the US within five years and China in 10 years, potentially targeting the grinding beef market. . .

A2 Milk executives cash out of surging shares with combined $36.6 mln payday – Paul McBeth:

(BusinessDesk) – A2 Milk Co executives have enjoyed a combined $36.6 million payday after cashing in on a surging share price since the milk marketer’s announcement last week that first-half profit more than doubled and it had inked a deal with Fonterra Cooperative Group.

Share sales over the four days following the Feb. 21 announcement included $18.5 million sold by departing chief executive Geoff Babidge, who hands over the reins to Jetstar chief Jayne Hrdlicka this year. . . 

Farmers’ stress over cattle disease: ‘We hope we will survive this onslaught – Gerald Piddock:

The distress of battling Mycoplasma bovis and trying to keep a multimillion-dollar farm business has been laid to bare in emails between the Van Leeuwen Dairy Group (VLG) and the Ministry for Primary Industries.

The strain VLG owners Aad and Wilma van Leeuwen were under as they battle to eradicate the cattle disease while saving their farm business during, at times, a tense relationship with the MPI was shown in the release of more than 250 pages of documents released under the Official Information Act to Stuff.

Parts of the documents were heavily redacted for privacy or commercial reasons. . . 

Rabobank Beef Quarterly Q1 2018: Impact of Trade Agreements and Blockchain Technology:

A number of trade agreements, such as the Trans-Pacific Partnership (TPP) and a proposed Mercosur/EU trade agreement, look set to start having an impact on global beef trade in 2018. At the same time, applications of blockchain technology are now being widely developed in the food industry, with opportunities to realise benefits further up the supply chain growing, according to the RaboResearch Beef Quarterly Q1 2018.

Comprehensive and Progressive Agreement for Trans-Pacific Partnership
The 11-member version of the Trans-Pacific Partnership (TPP) looks set for formal signing in March (although respective governments need to sign off on the details before implementation). Gains are expected for beef-exporting countries Australia, New Zealand, Mexico, and Canada—through reduced tariffs into key global beef importer Japan, plus reduced tariffs into smaller importing countries Chile, Vietnam, and Peru. . . 

Empowering rural women:

Farming Women Tairawhiti (FWT) has taken off since it was founded in 2014. Chairwoman Sandra Matthews from Te Kopae Station at Rere tells the Weekender about her role in the organisation and the support avaliable for women who want to achieve more in their farming businesses.

In resource terms, Rere farmer and Farming Women Tairawhiti (FWT) chairwoman Sandra Matthews has struck personal gold while the organisation has grown exponentially.

The Gisborne farmer has helped empower farming women in this region, tapping into an often under-utilised pool of talent that sits within New Zealand’s farming communities. . .

Winning share farmers love the thrill:

The Hawke’s Bay-Wairarapa Dairy Industry Awards Share Farmers of the Year say entering the competition has been excellent for networking, growth and knowledge of their business.

“It’s been a huge benefit to receive feedback from the judges on ways we can improve our business. Plus we love the thrill of the competition,” say Thomas and Jennifer Read.

The region’s other major winners are Gerard Boerjan, the Dairy Manager of the Year, and Brock Cumming, the Dairy Trainee of the Year. . .


Rural round-up

29/09/2017

NZ beef prices drop marginally lower with further downward pressure expected – industry report:

A strong New Zealand dollar and declining US imported beef prices have seen New Zealand beef prices drop marginally lower over the past quarter. And further downward pressure on beef prices is expected as the year progresses, with increased Japanese tariffs on frozen beef imports creating additional headwinds for Kiwi exporters, according to Rabobank’s latest Beef Quarterly report. . .

Synlait Receives CFDA Registration of the A2 Milk Company’s Infant Formula:

Synlait has received registration which will allow exports of The a2 Milk Company Limited’s China label infant formula to China to continue.

All manufacturers of infant formula are required to register brands and recipes with the China Food and Drug Administration (CFDA) in order to import products into China, through traditional import channels, from 1 January 2018. . .

GlobalDairyTrade beefs up offering with multi-seller pools of US lactose products – Rebecca Howard

(BusinessDesk) – Fonterra Cooperative Group’s GlobalDairyTrade platform, which has moved more than US$20 billion in dairy products since it launched in 2008, is looking to broaden its offering to meet customer needs.

“We are continually innovating and always looking for these expansion ideas,” Eric Hansen, director of GlobalDairyTrade, told BusinessDesk. . .

Science And Innovation Key to Farming’s Future, Says Dairynz Candidate:

Sustainability and scientific innovation is high on the agenda of Waikato dairy farmer Grant Coombes.

As a candidate for the DairyNZ Board of Directors, Coombes says it’s time for farmers to embrace new technology and innovation as a way forward, to tackle issues such as environmental sustainability. . .

App to Combat Kauri Dieback Disease – an Environmental Game-changer:

There is a game-changing tool on the way in the war against kauri dieback disease which is having a devastating effect on New Zealand’s native forests.

Thanks to the 2016 WWF-New Zealand Conservation Innovation Awards, sustainable land management group Groundtruth is developing a Stop Kauri Dieback app that will support community engagement and management of kauri dieback. The fungus-like disease with no known cure is killing kauri forests in Northland, and kauri could become extinct in some locations without urgent action. . .

Growers of NZ goes live on Instagram:

Global interest in the story behind healthy, fresh food has inspired Horticulture New Zealand to start an Instagram page where people can better get to know the fruit and vegetable growers of New Zealand, Horticulture New Zealand chief executive Mike Chapman says.

Growers of New Zealand (@growersofnz) went live yesterday and already has sparked interest from New Zealand and around the world. Each week a grower will be profiled at work, and the seasonal crop they have been working with will be highlighted in a recipe. . .

Hangawera Station Hereford bull sale ready for auction:

Tainui Group Holding’s annual Hangawera Station Hereford sale is set to go with over 180 pure-bred, vaccinated and tested bulls being auctioned on Monday 2nd October.

TGH’s Primary Industries Manager Mark Jackways says they expect a solid auction turnout, much like previous years, given strong market demand for quality bulls, as dairy herds re-stock after a tight couple of years. . .


Rural round-up

29/08/2017

A2 Milk outperforms once again – Keith Woodford:

The a2 Milk Company (ATM) took a big step forward with its 2016/17 results which were released on 23 August. Sales were up 56 percent from the previous year to $549 million, and post-tax profits tripled to $NZ90 million. The market was impressed.

Everyone knew that a strong result was in the offing, and so the shares had already risen 50 percent over the preceding three months, and almost trebled in value on a 12-month basis. The share price then rose another 15 percent over the following three days to close at $5.74 at week’s end.

The most important messages within the annual report were not about the present but the future. The picture drawn by CEO Geoff Babidge was of a fast-growing company with no debt and lots of free cash in the bank to fund ongoing developments. . . 

A School of Rural Medicine to be established:

The Government will establish a new School of Rural Medicine within the next three years to produce more doctors for our rural communities, Tertiary Education, Skills and Employment Minister Paul Goldsmith says.

“Every New Zealander deserves quality healthcare services, and we want to grow the number of doctors in rural and regional areas to make it easier for people in those areas to access other key health services,” Mr Goldsmith says.

“The new School of Rural Medicine will be specifically geared toward meeting the challenges faced by high need and rural areas of the country, and will produce around 60 additional doctors per year. . . 

Primary industries feel under siege as prospect of Labour-led government firms:

INSIGHTS ABOUT THE NEWS – The divide between regional and urban politics is being thrown into ever sharpening contrast as the election campaign unfolds. Agricultural industries and rural communities feel under siege in the looming election.

As reported in Trans Tasman’s sister publication The Main Report Farming Alert, weeks ago the chances of a Labour-led government seemed unlikely, but now the chance of this happening seems possible with policies which could prove ruinous for NZ’s main export industries.

Labour will tax users of water, including farmers (but not those companies using municipal supplies). Both the Greens and Labour are committed to bringing agriculture into the emissions trading scheme and say the carbon price should be higher. They have not stated how high they want animal emissions to be taxed. . . 

Hawke’s Bay Regional Council to vote on ending Ruataniwha funding, writing-off $14M debt – Jonathan Underhill:

(BusinessDesk) – The Hawke’s Bay Regional Council will vote this week on whether to stop any further investment in the Ruataniwha Water Storage Scheme and write-off a $14 million debt owed by its investment company.

The vote on Wednesday comes as a result of a report into options following the Supreme Court decision to reject a Department of Conservation land swap need to create the storage scheme reservoir. 

The council’s investment arm, Hawke’s Bay Regional Investment Co (HBRIC), owes $14 million to the council made up of $7 million of charges and $7 million of cash advances, according to the council report. For its part, HBRIC has an intangible asset of $19.5 million on its books related to the feasibility and development costs of RWSS. This was funded with the $14 million advance from the council and $5.5 million from external debt. . . 

Feds Wonder Why We Would Need A Tourist Tax?:

Labour’s suggestion of taxing international visitors to raise funds to pay for tourism infrastructure raises questions about why we can’t find the money already from existing tax.

Federated Farmers has been concerned about the pressure councils, particularly small rural councils, are under to maintain services for tourists, including public toilets and other facilities.

“We agree that tourism is placing increasing pressure on our nation’s infrastructure and these costs are being unfairly borne by regional economies.

“But surely it is possible to find the additional targeted funding for councils in need from within this already increasing area of tax take?” Federated Farmers president Katie Milne says. . . 

Behind the hype of lab-grown meat -Ryan F. Mandelbaum:

Some folks have big plans for your future. They want you to buy their burgers and nuggets grown from stem cells. One day, meat eaters and vegans might even share their hypothetical burger. That burger will be delicious, environmentally friendly, and be indistinguishable from a regular burger. And they assure you the meat will be real meat, just not ground from slaughtered animals.

That future is on the minds of a cadre of Silicon Valley startup founders and at least one nonprofit in the world of cultured meat. Some are sure it will heal the environmental woes caused by agriculture while protecting the welfare of farm animals. But these future foods’ promises are hypothetical, with many claims based on a futurist optimism in line with Silicon Valley’s startup culture. Cultured meat is still in its research and development phase and must overcome massive hurdles before hitting market. . .

Wine exports reach record high:

The export value of New Zealand wine has reached a record high according to the 2017 Annual Report of New Zealand Winegrowers. Now valued at $1.66 billion, up 6% in June year end 2017, wine now stands as New Zealand’s fifth largest goods export.

Over the past two decades the wine industry has achieved average annual export growth of 17% a year states the Report. “With diversified markets and a strong upward trajectory, the industry is in good shape to achieve $2 billion of exports by 2020” said Steve Green, Chair of New Zealand Winegrowers. . . 

More Kiwis than ever are enjoying speciality cheese:

As Kiwis prepare to celebrate New Zealand Cheese Month, sales data shows we are enjoying more locally made cheese than ever before.

Nielsen data shows supermarket sales of New Zealand Specialty cheese have increased in value by 6% in the 12 months to August 2017 . What’s more, in the first quarter of 2017 Nielsen says 771, 383 Kiwi purchased specialty cheese, an increase of more than 20% compared with the same period in 2014 .

Every October the New Zealand Specialist Cheesemakers Association (NZSCA) members host a variety of tastings, inviting cultured Kiwis to events across the country to meet cheese makers and taste their wares. . . 

Largest ever Bayer Young Viticulturist of the Year National Final:

2017 sees the largest National Final ever held for the Bayer Young Viticulturist of the Year competition. Taking place next Tuesday 29th August at Villa Maria in Marlborough, there will be a total of six national finalists representing six of our wine regions: Tim Adams – Auckland/Northern; Ben Richards – Hawke’s Bay; Ben McNab Jones – Wairarapa; Laurie Stradling – Nelson; Anthony Walsh – Marlborough and Annabel Bulk – Central Otago.

Bulk is the first woman in the competition since 2011, so it is great to see viticulture is very much a serious career option for both men and women. . .  


Rural round-up

04/08/2017

Tool built to stop rogue spray incidents – Adriana Weber:

Winegrowers in Central Otago have developed a new tool to prevent agri-chemicals drifting and damaging their crops.

The Central Otago Winegrowers Association has created a map designed to stop rogue spray incidents.

Its past president, James Dicey, said spray drifting cost winegrowers millions of dollars every year in lost production.

“Grape vines are remarkably difficult to kill but they are ridiculously sensitive to some of these chemicals, so they can take a bit of a hit for a couple of years and that can have a downstream effect on the volume of grapes and the volume of wines that’s produced off those grapes,” he said. . . 

Westland Payout on the Way Up:

Westland Milk Products has reached a milestone in its efforts to offer shareholders a sustainable and industry competitive payout with confirmation of next season’s forecast payout.

Westland is forecasting a net payout range (after retentions) of $6.40 to $6.80 for 2017-18 season – a substantial improvement on the two previous seasons. The industry-competitive forecast comes after ten months of analysis and systems change under its new Chief Executive Toni Brendish and new Chair Pete Morrison, resulting in changes at both managerial and board level to better position the company for success in a changing and challenging global dairy market. . . 

Funding a boost for quake affected farmers says Feds:

Federated Farmers is delighted that a joint application made to the Ministry for Primary Industries’ Earthquake Recovery Fund has been successful.

The Federation led the application towards a Farm Business and Land Recovery Programme, which will give direction to recovery research following the Hurunui-Kaikōura earthquake. . . 

Mid-range option considered for Manuherikia water – Alexa Cook:

A new option is on the table for a water scheme in central Otago.

Crown Irrigation Investments is putting $815,000 funding into the Manuherikia Water Project, which will allow a Falls Dam proposal to move forward.

The dam is about an hour north of Alexandra and, with water permits expiring in the next five years, farmers want reliable irrigation for the future. . . 

Crown Irrigation provides funding for Orari-Temuka-Opihi-Pareora Irrigation Scheme:

Crown Irrigation Investments Ltd (Crown Irrigation) has agreed development grant funding of $339,875 for the Orari-Temuka-Opihi-Pareora (OTOP) irrigation conceptual design and costing project, which Environment Canterbury (ECAN) is managing. The South Canterbury area and particularly the greater Opihi catchment has long suffered from water shortages and drought, and numerous water reticulation and supply options have been considered over the years. . . 

New irrigation funding welcomed:

Primary Industries Minister Nathan Guy has welcomed new grant funding of over $1.1 million for two irrigation projects in South Canterbury and Central Otago.

Crown Irrigation Investments Ltd has agreed development grant funding of $339,875 for the Orari-Temuka-Opihi-Pareora (OTOP) irrigation conceptual design and costing project, which Environment Canterbury (ECAN) is managing. . . 

Agricultural Aviation Recognises Outstanding Performance:

The New Zealand Agricultural Aviation Association is pleased to confirm the winners of two awards presented at the Aviation Leadership Gala Awards Dinner in Hamilton on Tuesday 25 July.

‘These awards recognise operational excellence and outstanding industry leadership in agricultural aviation,’ said Alan Beck, Chairman of the NZ Agricultural Aviation Association (NZAAA). . . 

Biosecurity heroes recognised at Parliament:

Biosecurity heroes from across the country were recognised in Wellington tonight with the announcement of the 2017 New Zealand Biosecurity Award recipients.

Minister for Primary Industries Nathan Guy says the winners of these inaugural awards have shown a real commitment to protecting New Zealand.

“Biosecurity is my number one priority as Minister and crucial in protecting our economy and way of life. These awards recognise that it is a shared responsibility for all New Zealanders, and celebrate the efforts of people who are doing their bit for biosecurity every day. . . 

Extra boost for Bay of Plenty farmers:

Flood-hit farmers in the Bay of Plenty region will have a further opportunity to apply for a grant to help with clean up and recovery, say Social Development Minister Anne Tolley and Minister for Primary Industries Nathan Guy.

The $100,000 Primary Industries Flood Recovery Fund is part of a package of additional support totalling $295,000 for farms and orchards who suffered damage following the floods. 

“The Government is committed to ensuring communities in the Bay of Plenty have the support they need to recover from the April floods,” says Mrs Tolley. .  .

Zespri wins top award for US trade:

Zespri won the Supreme Award as well as Exporter of the Year at the AmCham-DHL Awards in Auckland last night, recognising the investment made to grow kiwifruit sales across the United States.

Zespri Chief Operating Officer Simon Limmer says the company is growing strongly across North America, with most of this growth coming from the new gold variety Zespri SunGold. . . 

Ngāi Tahu Seafood appoints new directors:

Ngāi Tahu Seafood Limited is pleased to announce the appointment of two new directors, Jen Crawford and Ben Bateman, bringing the total of Ngāi Tahu directors on the board to four out of six.

Ms Crawford has 20 years’ national and international legal experience in project consenting and planning, along with governance experience in the Canterbury region. She has previously worked in leading law firms in New Zealand and the UK, including a partnership at Anderson Lloyd. . . 

Seafood industry congratulates its stars:

New Zealand’s seafood stars have been recognised at the industry’s annual conference in Wellington today.

Chief Executive of Seafood New Zealand Tim Pankhurst said the conference, titled Oceans of Innovation, was a celebration of the exciting developments in the industry over the past few years, most of which were not well known.

“Some of the recipients of the Seafood Stars Awards played a significant part in the world-leading, cutting edge technology that is making a real difference to the way commercial fishing targets what it needs and is lessening its environmental footprint,” said Pankhurst. . . 

One stop source for New Zealand seafood information launched:

A one-stop source for information on New Zealand seafood was launched at the New Zealand Seafood Industry conference in Wellington today.

OpenSeas is a third-party verified, broad-based transparency initiative designed to enable customers of New Zealand seafood, primarily international customers, a single, comprehensive source of information about the environmental, social and production credentials of the New Zealand seafood industry. . . 

Commercial fishing industry worth more than $4 billion to NZ economy – BERL:

A report from economic researchers, BERL shows New Zealand’s commercial fishing industry is worth $4.18 billion.

Chief Executive of Fisheries Inshore New Zealand, Dr Jeremy Helson, says the report confirms the importance of commercial fishing to New Zealand.

“The Ministry for Primary Industries says exports alone are expected to reach $2.3 billion by 2025. Add the contribution to the domestic market through jobs, investment in infrastructure and the sectors supporting the industry and you have a significant contributor to the New Zealand economy,” said Helson. . . 

Name Change for New Zealand’s Top Performing Sector:

The apple and pear industry has a new name, New Zealand Apples and Pears Incorporated, a change from Pipfruit New Zealand.

The unanimous decision was made at the industry’s annual general meeting held in Napier today.

New Zealand Apples and Pears chief executive, Alan Pollard, said the new name tells exactly what the industry is “apples and pears” and takes advantage of the strong global reputation of “brand New Zealand”. . . 

Mataura Valley Milk on track for August 2018 production start:

Southland farmers are expressing significant interest in becoming Mataura Valley Milk shareholders and the company expects to fill its supplier requirements, general manager Bernard May says.

The company is striving to be the ‘World’s Best Nutritional Business’ manufacturing and producing premium infant milk formula mainly for export from its purpose-built nutrition plant at McNab, near Gore, Southland. . . 

Update on China Infant Formula Registration Process:

Synlait Milk Limited  and The a2 Milk Company Limited  are confident with the progress of their application to export a2 Platinum® infant formula to China from 1 January 2018.

The CFDA requires manufacturers of infant formula to register brands and recipes with them in order to import products from 1 January 2018. . . 

 


Rural round-up

05/01/2017

From backwater to water ‘battleground’ – Sally Rae:

Farming in the Omarama area these days is very much like farming in the proverbial fish-bowl.

The spotlight is on both the Upper Waitaki and neighbouring Mackenzie district with changing land-use, water quality and environmental issues to the fore.

Twenty years ago, Omarama barely registered on the map; rather it was ”somewhere to drive through at high speed” to get to Wanaka or Queenstown, sheep and beef farmer Richard Subtil, from Omarama Station, said.

Bellamy’s organic infant formula derails in China – Keith Woodford:

For the last two years, Bellamy’s organic infant formula out of Australia has been one of the two rising stars of the Chinese infant formula market. The other has been ‘a2 Platinum’ produced here in New Zealand by Synlait for The a2 Milk Company (ATM).

In recent weeks, the Bellamy’s business has run badly off the tracks. This has sent jitters more widely through the infant formula industry.

First, there was a cautious market guidance release by Bellamy’s on 2 December, and the Bellamy’s share price immediately crashed 40%. Then on 12 December, Bellamy’s asked that its shares be suspended from trade for 48 hours while they assessed their position. This suspension has subsequently been renewed twice and currently runs through to 13 January 2017 while further assessment occurs. . .

Dairy turmoil shows folly of narrow focus;

Farming does not get the public attention is deserves these days, until this time of year when any road journey out of the cities reveals what a wealth of beauty and prosperity the countryside contains. Many farms somehow managed to look prosperous to the urban eye even when the main industry of most – dairying – was in the doldrums. But at least this summer, city holidaymakers on the roads can look at those verdant pastures and know that this, at last, is a happy new year for rural New Zealand too.

After two years of depressed dairy prices, the market began to turn in the middle of last year and for the past few months the price of milk powder has been back above break-even levels for most producers. Furthermore, there is every reason to believe the slump is over. The over-supply that caused it, largely from Europe, has been reduced or consumed and this season’s supply better matches demand.

The end of the world as we know it: What a vegan New Zealand would look like. – Jon Morgan:

Over Christmas lunch an earnest young niece asked, what did I have against vegans. I replied, nothing.

A couple of people I know profess to be vegans, migrating there from simple vegetarianism. They have to go to great lengths to ensure they have a balanced diet and I worry for their children, but otherwise they’re perfectly likable.

It’s the militant vegans I can’t stand, I told her. They’re the ones who have made veganism into a nefarious political movement, with the closure of all animal farms as their primary goal. . .

Rustlers take 1400 lambs in massive stock heist:

A Whanganui farmer has lost 1400 lambs to rustlers in what might be the largest stock heist in the country.

Police say they received a complaint about the theft from an owner of a property near Fordell.

More than 1400 lambs, worth about $120,000, reportedly went missing between October 25 and November 7, this year.

“That could be one of the biggest thefts involving sheep in the country,” Harry Matthews, president of Whanganui Federated Farmers, said. . . 

Texus Fibre eyes $2.9b face mask market in Asia :

A Kiwi company has secured a deal it hopes will unlock a lucrative $2.9 billion Asian healthcare market.

Texus Fibre uses natural wool to develop ‘functional materials’ – meaning they do something clever scientifically.

On Thursday it announced an investment and distribution deal with Auckland firm Healthy Breath Limited (HBL) for Texus’ wool-based air filter to be used in face masks marketed to city-dwellers in Asia. . .

 


Rural round-up

04/02/2016

Federated Farmers welcomes TPP signing:

 

Federated Farmers welcomes today’s signing in Auckland of the Trans Pacific Partnership (TPP) agreement as a significant milestone for the New Zealand economy and a positive deal for the agriculture sector.

Federated Farmers President Dr William Rolleston says the agreement may not have delivered everything the sector desired, but the scale and its importance to New Zealand is undoubtedly profound.

“As a founding member, the signing of the latest TPP agreement introduces another chapter in our proud history as a trading nation,” he says.

“For the primary sector, the TPP offers diverse opportunities not only for agriculture but for future generations of New Zealanders and their prosperity. You only have to look at the current state of dairy prices to realise the vital importance of opening up new export markets and ensuring a level playing field for New Zealand exporters. . . 

Quota allocations suggest change in balance of industry power – Allan Barber:

The release of the 2016 quota allocation which Alan Williams analysed in detail (Farmers Weekly 11th January) show some considerable shifts in tonnage entitlements between the major meat exporters. The quota is allocated as a percentage of the total allowable quota for shipment to the EU for sheepmeat and USA for beef during a calendar year; in the last two years New Zealand has only filled around 75% of the EU quota and 90% and 98% of the USA beef quota.

This shortfall, especially for sheepmeat, has been a result of the lower lamb kill, economic conditions in Europe and the availability of China as an alternative market eager for product at a competitive price. In 2014 China also took large quantities of beef. . . 

Cattle operated drinking trough:

A new trough that allows cows to pump their own water as they drink could be the answer to keeping stock out of the country’s rivers and lakes, a company says.

Beef cattle roaming in waterways] have hit the headlines in the past week.

Veterinary equipment company Shoof International, which is the importer of the new pump, says it could offer a solution.

Company group sales manager John Stubbs said because it was operated by the animals there was no need for electricity or other mechanical means.

The pump could supply enough water for up to 50 stock. “[It ] operates from the animal’s nose actually pushing on a lever as they drink water from the bowl. . . 

A2 cows are the future – Keith Woodford:

Towards the end of 2015 there was a massive re-assessment of A2 milk on the New Zealand and Australian stock exchanges. The shares of ‘The a2 Milk Company’ (abbreviated hereafter to their NZX code of ATM) closed the year at almost four times their price back in May, and with market capitalisation at $NZ1.35 billion.

For a few heady hours the capital value was close to 1.7 billion – more than Trade Me and almost double The Warehouse. Since then the shares have settled back somewhat, but still showing a three-fold gain from 12 months earlier.

In essence, the drive was fuelled by several major Australian institutional investors building their stakes, and then hundreds of smaller investors climbed on board. This was in response to ongoing good news stories from ATM, based on sky rocketing sales of infant formula in Australia and China, with this news particularly well reported in the Australian media. . . 

Fishing for a complimentary use of fire reservoir ponds – Peter Kerr:

Years ago for a farm management report at Lincoln University, I wrote a tongue-in-cheek plan around the integration of goldfish in troughs on dairy farms (we’d spotted the use of such technology to help keep the troughs clean).

Well here’s a huge expansion on this idea, one that’s taken my fancy…this time utilising water ponds kept on hand by forestry companies in case they ever need to fight a fire.

(Check out the story here in last year’s Otago Daily Times)

Ernslaw One started with an experiment in one of its Maniototo forest ponds, growing koura, or freshwater crayfish, and it has been such a success, it is going to expand the programme around some of its 2000 ponds spread throughout Southland and Otago.  . . 

New Zealand wine industry financial metrics remain sound:

Financial benchmarking survey shows industry resilience

The New Zealand wine industry continues to show sound financial metrics in 2015 on the back of profitability in all but the smallest wineries and stable or increased gross margins across the board, according to the tenth annual financial benchmarking survey released today by Deloitte.

Vintage 2015 tracks the financial results of wineries accounting for nearly 40% of the industry’s total wine production by volume. Survey respondents have been categorised into bands according to revenue to assist comparison within the industry. . . 

Help cows chill out this summer:

With the current El Niño weather pattern bringing heatwave conditions to many parts of the country, it’s important to ensure cows avoid heat stress and closely monitor cow health.

As temperature and humidity levels rise this summer, farmers should take steps to ensure stock stay cool and where necessary put in place a plan help prevent facial eczema.

“These conditions also encourage facial eczema, so farmers are reminded to monitor spore levels in your area, talk to your vet and put in place a prevention plan to suit your farm situation.”

“When it comes to high temperatures this summer, put simply a cool cow is a happy cow,” says DairyNZ animal welfare team manager Chris Leach. . . 

Farmers looking for environmentally friendly solutions:

Despite recent bad press of a select few dairy farmers’ poor environmental practices, New Zealand farmers are showing an increasing interest in finding environmentally friendly farming solutions, according to Frizzell Agricultural Electronics General Manager Alastair Frizzell.

Frizzell have supplied farmers with solar powered water pump systems for the past five years and have noticed a steady increase in demand as farmers search for more sustainable ways to farm.

“We’re getting more and more calls from farmers who genuinely care about implementing sustainable farming practices,” Alastair said. . . 

How a huge dairy is solving a major pollution problem – Beth Kowitt:

Hint: The secret ingredient comes from cows.

Though city dwellers may not realize it, agriculture is a big source of carbon emissions. That’s because of livestock’s production of methane, how manure is handled, and soil management (something as simple as tilling the soil releases greenhouse gases). Dairy geniuses Mike and Sue McCloskey, partners in one of the country’s biggest dairy operations, have come up with an elegant approach to tackling several of these problems at once in the hopes of creating a zero-carbon footprint dairy farm. At the heart of the operation: a process that turns their dairies’ tons of cow manure into natural-gas fuel. Here’s how it works. . . 

 

 


Rural round-up

07/07/2015

Is A2 milk about to leap forward? _ Keith Woodford:

Shares in The a2 Milk Company (coded as ATM on the NZX stock exchange) have increased from 48.5 cents on 29 May to 75 cents at 3 July. The market capitalisation has risen from $330 million to $495 million. Where the shares will go in the next few weeks is a journey into the unknown.

What is known is that some of the international big boys have been putting together a syndicate to purchase ATM (also listed jointly on the Australian exchange as A2M). The publicly announced parties are America’s Dean Foods and Australia’s Freedom Foods. But in the background are Australia’s Perich family, Australia’s Moxey family, and China’s New Hope agri-food conglomerate. And hovering nearby is Richard Liu from the rapidly growing Chinese online marketer JD.com. . .

Top Performing Sheep Farmers And Industry Leaders Celebrated:

Sheep farmers have celebrated the top performers in their industry at the Beef + Lamb New Zealand Sheep Industry Awards in Invercargill tonight.

This is the fourth year the awards have been held and Beef + Lamb New Zealand chief executive, Dr Scott Champion said the awards night was a wonderful way to showcase the sheep industry – a major contributor to the New Zealand economy.

“The industry has and continues to make huge progress – for instance, while the number of sheep has halved in the last 25 years, lamb production has only fallen by seven per cent. Improved genetics is part of this fabulous productivity improvement story and tonight’s winners are leading the way in sheep genetics.” . .

 

Marlborough Lines takes 80% stake in Yealands Wine for $89M – Suze Metherell:

(BusinessDesk) – Marlborough Lines has bought an 80 percent stake in Yealands Wine Group, New Zealand’s sixth-largest wine exporter, for $89 million.

The South Island electricity lines company took control from founder Peter Yealands, who wanted to keep the winery fully New Zealand owned, the companies said in a joint statement. Marlborough Lines is debt free and had realised $100 million in cash from investments which it wanted to reinvest locally.

“Opportunities to invest in the electricity industry are limited and this led to us looking to other options,” said Marlborough Lines managing director Ken Forrest. “We are satisfied that this will be a successful investment which will broaden our asset base for the benefit of the people of Marlborough.” . .

 

New phase for NAIT programme

July is the start of the next phase for OSPRI’s NAIT programme with the three-year exemption period for pre-NAIT cattle now over. This means that all cattle must be tagged and registered in the NAIT system, even if they are not leaving your property or were born before the NAIT programme launched in July 2012 (the transition period for deer ends on 1 March 2016).

Dr. Stu Hutchings, OSPRI Group Manager, says, “Our goal is to get everybody on board with NAIT so we can all reap the benefits of tighter TB control and continued access to export markets. The only way to make this happen is if farmers play their part and fulfil their NAIT obligations.” . . .

 

Fonterra Updates Progress of Its Business Review:

Fonterra Co-operative Group Limited today provided an update on the business review it announced in March this year.

Fonterra Chief Executive Theo Spierings said the purpose of the review is to ensure that Fonterra is best placed to respond to a rapidly changing global environment.

The initial phases had looked at the entire business in detail and had identified potential areas, including significant initiatives in procurement, business operations and working capital, where the Co-operative can unlock increased value for its owners. . .

 

Silver Fern Farms chief executive appointed to deer board:

Silver Fern Farms chief executive Dean Hamilton has been appointed to the Deer Industry New Zealand (DINZ) board for a three year term.

Mr Hamilton joined the board as a venison processor-appointee on 1 July, replacing Dr Andrew West at the end of Dr West’s three-year term.

Deer Industry New Zealand chair Andy Macfarlane welcomed Mr Hamilton.

“Silver Fern Farms is our largest venison processor and marketer and we are very pleased to now have a close connection to that company through Dean’s appointment. To have a leader of his calibre on the board will be an asset for DINZ and is a good signal of Silver Fern Farms’ commitment to the deer industry.” . . .


Rural round-up

23/06/2015

Water presents high risk to agribusiness:

Whether it’s growing crops, generating electricity or entertaining tourists, water is a key ingredient for the success of the New Zealand economy, yet this also makes it a key risk.

PwC’s latest publication, Preserving water through collaboration that works, considers how New Zealand within a global context, has responded to water risks and the potential to improve water management in the future. New Zealand faces its own risks which differ from those in other parts of the world, and these risks, are increasing.

PwC Director and Local Government expert David Walker says, “A usable supply of water is fundamental to the New Zealand economy and permeates across all industries – and notably farming, forestry, electricity generation and public sectors. However continued effective water management is becoming more complex and costly. . .

ASB Farmshed Economics Report Cash is king for farmers

• Despite a better milk price forecast, farm cashflows will remain weak this season.

• But falling interest rates are putting cash back in farmers’ pockets.

• Meanwhile, the hot air has been let out of the NZ dollar.

Despite Fonterra’s better opening season milk price forecast, farm cashflows will still face pressure this season, according to the latest ASB Farmshed Economics Report. . .

 

TPP dairy deal ‘not at a level we would currently like’, says Key – Pattrick Smellie:

(BusinessDesk) – The Trans-Pacific Partnership trade pact does not yet include an acceptable deal on access for New Zealand’s most important exports, dairy products, with little more than a month to go before the controversial 12 nation trade deal could be concluded.

“I think the way I would describe it is there’s a deal. It’s probably not at the level that we would currently like,” said Prime Minister John Key at his post-Cabinet press conference in Wellington. He was referring to comments last week by Trade Minister Tim Groser that negotiations on dairy access to the heavily protected US, Canadian and Japanese markets had “barely started.” . . .

A2 shareholder Freedom Foods in consortium to take over milk marketer – Fiona Rotherham:

(BusinessDesk) – A2 Milk Co’s cornerstone shareholder, Freedom Foods Group, is part of a consortium with an international dairy group that’s eyeing a takeover of the dual-listed milk marketer.

Freedom Foods, which owns about 19 percent of A2 Milk with a related entity, is mulling a takeover of A2 Milk, making an indicative non-binding and conditional expression of interest to buy the shares it doesn’t already own. A deal would be contingent on the consortium, which includes an “unnamed leading international liquid dairy milk company”, undertaking due diligence. It also has a restriction on A2 Milk changing the number of shares on issue, effectively scotching a planned equity raising. . .

LIC seeks $125M debt facilities this year, targets $140M equity over decade – Jonathan Underhill:

Livestock Improvement Corp, which aims to lift annual revenue to $1 billion by 2025, says it plans to establish $125 million of debt facilities this year and is likely to require $140 million in equity capital over the next 10 years to meet its growth goals.

Details of its capital requirements are included in a presentation the bull semen and dairy genetics database manager is taking around the country to explain to its shareholders how its changing focus, with increased capital spending and new product development, is changing its financial profile. Previously it has only required seasonal debt funding, typically for three months, the presentation shows. .

Upper South Island Butchers Battle It Out:

The best young butchers in the Upper South Island have been announced following the Alto Young Butcher and Competenz Butcher Apprentice of the Year regional final on Saturday.

Rowan Lee from Peter Timbs in Bishopdale was the winner of the Alto Young Butcher category, while Matthew Clemens from New World Ilam topped the Competenz Butcher Apprentice category, both highly sought after titles. . .

 

Tractor and Machinery Association elects new President:

Mark Hamilton-Manns, New Zealand Sales Manager for John Deere, has been elected President of the Tractor and Machinery Association (TAMA).

Formerly Vice President of the organisation, he takes over from Ian Massicks, New Zealand Kubota Manager for CB Norwood Distributors, who had been President for six years.

Roger Nehoff, General Manager New Zealand Retail for Landpower New Zealand, was elected Vice-President. . .


Rural round-up

02/05/2014

Canada, dairy and the TPP – Keith Woodford:

Canada and New Zealand are currently in serious negotiations as to future rules for the Trans Pacific Partnership (TPP). In relation to dairy products, we sit on different sides of the debate. We want free access. In contrast, they want to retain their supply management quotas which control how much milk is produced, and hence protect the farm-gate price of milk.

The widespread assumption in New Zealand is that free trade will open up new markets in Canada. The current dairy market there is 8 billion litres per annum. To put that in perspective, our total milk production in New Zealand is about 20 billion litres per annum. So on the surface, free trade could open up exciting new opportunities.

A recent report from The Conference Board of Canada places a different perspective on matters. They agree with New Zealand that Canada should get rid of its supply management scheme. However, they see the outcome being that Canada would rapidly transform its industry and become a major exporter. . .

Dairying’s other big 2014 vote – Willy Leferink:

This year will see a general election but you have to wonder if three-year cycles are sufficient.  Let’s face it, year one is learning the ropes and doing what you promised.  Year two is fine tuning what you’ve done or running a mile from what you’ve done, meanwhile, year three is all about getting re-elected.

Many systems have four or even five year cycles and DairyNZ’s impending vote on its $61 million industry good levy fits into the five year cycle.

It isn’t appreciated by many who bemoan the lack of research and development in New Zealand, that every time my girls come in for milking, 3.6 cents in every kilogram of milksolids they produce goes towards R&D.  This money is collected by the milk processors and passed to our industry good body, DairyNZ.  It undertakes a whole host of research activities that no farmer could ever hope to do individually.  DairyNZ further leverages what it gets from us farmers in larger programmes like the Agricultural Greenhouse Gas Research Consortium and through the Primary Growth Partnership (PGP. . . .

Westland Milk Products Registered for Infant Nutrition Products Export to China:

Westland Milk Products, New Zealand’s second biggest dairy co-operative has confirmed today that it is registered to export dairy products including infant formula milk powder to China.

The company has been working with the Ministry for Primary Industries and Chinese authorities and has been notified of its registration with the Certification and Accreditation Administration of the People’s Republic of China (CNCA).

“We support the Chinese moves to impose greater controls and stricter standards around the importation of infant formula. Ultimately this will benefit New Zealand exporters by giving Chinese consumers more confidence in our products” says Westland CEO Rod Quin. . .

Synlait misses China regulation deadline as it waits on factory build – Suze Metherell:

(BusinessDesk) – Synlait Milk, the dairy processor which counts China’s Bright Dairy as a cornerstone shareholder, missed out in the first round of approvals under China’s new regulation of imported infant formula as it waits for the completion of its new processing and packaging plant.

The Ministry for Primary Industry expects Synlait will receive approval once the new dry blending and consumer packaging factory is built which is scheduled for completion next month, the Rakaia-based company said in a statement. Companies without the new registration won’t be able to sell infant formula produced from today in China.

A2 Milk Company, whose Platinum infant formula is manufactured at Synlait’s Canterbury plant, also missed out on registration, which includes demonstrating a close association between brand owner and manufacturer. . .

Synlait Milk confident of China registration:

The initial list of registered New Zealand companies issued by the Certification and Accreditation Administration of the People’s Republic of China (CNCA) did not include Synlait Milk as an exporter of finished infant formula into China. This announcement has been anticipated by the Company for some time.

The Ministry for Primary Industries (MPI) has confirmed that it expects Synlait Milk to receive registration following the approval of its Risk Management Plan by MPI for its dry blending and consumer packaging facility. Construction of this facility is scheduled for completion in June 2014. . .

FGC welcomes Nutricia’s investment:

The intended acquisition of New Zealand milk-drying and infant formula blending and packing capacity by French-owned Nutricia is a further indication of confidence in the New Zealand food and beverage industry, says the Food & Grocery Council.

Chief Executive Katherine Rich says today’s announcement is significant.

“This is great news for the industry and for New Zealand’s infant formula manufacturing capacity.

“Having such a renowned multinational company purchasing two New Zealand firms to ensure it has a major infant formula local manufacturing facility affirms once again that New Zealand’s dairy industry remains among the best and safest in the world.” . . . .

Comvita annual earnings pip 2013, meeting guidance; shares fall:

(BusinessDesk) – Comvita, which makes health products from manuka honey, said annual earnings and revenue eclipsed 2013, meeting guidance, as recent apiary acquisitions improved its security of supply. The shares fell.

The Te Puke-based company said net profit was about $7.5 million in the 12 months ended March 31 from $7.4 million a year earlier, on revenue of $115.3 million, up from $103.5 million in 2013. The company had previously said it anticipated beating 2013 profit and sales.

“When unconstrained by raw material shortages, as happened in the second six months, we clearly have growth momentum,” chief executive Brett Howlett said in a statement. “The strategy of acquiring apiary businesses is working to alleviate the supply shortage pressures.” . . .


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