Rural round-up

March 1, 2019

Govt warned over loaning WMP $10m :

The Government was warned that loaning Westland Milk Products $10 million may set a precedent to other companies that they could turn to the Government when they could not get a loan from the bank.

In a briefing to Finance Minister Grant Robertson in September last year, released on the Treasury’s website this afternoon, Treasury officials said the decision to loan Westland the money should be deferred.

Despite this, two months later Regional Economic Development Minister Shane Jones announced that $9.9 million would be allocated to the South Island dairy co-op. . .

Fund farmers for the public benefits that come from their land – Mike Foley:

 Imagine if Australia’s private landholders, who manage half the country’s landmass, were investing significant funds into climate change reduction and environmental improvements.

That’s the scenario a cross-industry coalition of agricultural, forestry and environment groups are working towards, using the lead-up to the federal election to argue for policy change which could reimburse farmers for the public benefits delivered by their land management outcomes. . .

Fonterra’s milk-price news is soured by chairman’s critique of the company’s earning performance  – Point of Order:

At last a ray of sunlight into the country’s cowsheds: giant dairy co-op Fonterra has lifted its forecast farmgate milk price to $6.30-$6.60kg/MS, up from $6-$6.30, on the back of strong global demand.

The good news extends to next season, with ANZ economists predicting – because dairy commodity prices are improving more quickly than expected – the forecast for 2019-20 could go as high as $7.30kg/MS.

And there is something else Fonterra suppliers might get a bit of a glow from: the recognition by Fonterra’s top brass that the co-op has not been performing anywhere near where it should be. They’ll be looking for a sharp improvement, even if the co-op has a long way to go to match the achievements of smaller outfits like A2 Milk and Synlait. . . 

Fonterra Fund units hit record low – Rebecca Howard:

(BusinessDesk) – Units in the Fonterra Shareholders’ Fund hit a record low after the dairy cooperative cut its forecast earnings and said it won’t pay an interim dividend.

Fonterra downgraded its earnings forecast to 15-25 cents per share from a previous forecast of 25-35 cents per share, blaming the increased milk price which saw it hike the farmgate price to its supplier-shareholders.

The downgrade implies annual earnings of between $242-403 million in the year ending July, compared to the earlier projection of $403-564 million. . .

Fonterra to explore opportunities in complementary nutrition:

Fonterra has taken a stake in Motif Ingredients, a US-based food ingredients company that develops and commercialises bio-engineered animal and food ingredients. 

Fonterra joins Ginkgo Bioworks, Breakthrough Energy Ventures, Louis Dreyfus Companies and Viking Global Investors.

Judith Swales, head of Fonterra’s Global Consumer and Foodservice business, says the move is part of the Co-operative’s commitment to its farmer-owners to stay at the forefront of innovation to understand and meet the changing preferences of consumers. While the terms will not be disclosed, Fonterra’s investment represents a minority stake in the business. . . 

Ngāti Hine Forestry Trust Launches “Ngā Māhuri o Ngāti Hine”:

Twenty young men from Kaikohe and Moerewa are set to start their journey in the Forestry Industry as trainees on the new Ngā Māhuri o Ngāti Hine Mānuka Plantation Training Program.

This is the first part of a 2yr program funded by the Billion Tree fund through Te Uru Rākau and supported by the Ministry for Primary Industries Economic Development Unit. Ngāti Hine Forestry Trust is partnering with Johnson Contractors LTD to deliver a “learn while you earn” approach to L2 Forestry Training.

Ngāti Hine Forestry Trust Chair, Pita Tipene says “Ngā Māhuri o Ngāti Hine means the saplings of Ngāti Hine; this is an industry training program which embodies the kaupapa of Ngāti Hine Forestry Trust Mission – He Ringa Ahuwhenua, He Hanga Mahi, to actively grow our assets. These akonga (learners) are our hapū and community assets”. . . 


Rural round-up

July 23, 2018

Sharemilkers vital, new section chairman says – Sally Rae:

A new farming leader believes sharemilkers are a vital part of New Zealand’s dairy industry.

Grant Tremewan has been elected as the North Otago Federated Farmers sharemilkers’ section chairman. He is passionate about sharemilking being retained as a viable pathway into farming and valued for its contribution.

”It’s the competitive advantage of the dairy industry, where much of its productivity and innovation comes from.

”I want to see sharemilkers treated fairly . .

Beingmate has muted Fonterra’s Chinese hum – Point of Order:

Fonterra is “humming” in China, according  to  a headline  in the  NZ  Herald,  although the  text  of the article beneath it mentioned  the  “woes”  associated with  the co-op’s investment  in Beingmate.

The  co-op  is having to absorb   an impairment of   $405m    on the value of its 18.8%  holding in Beingmate.  On top of the $183m payment it has had to make  French  giant  Danone, the  writedown  takes the gloss off that  otherwise  “humming”  performance.

Some of its farmer-shareholders may be looking over the  fence to  the rather different  outcome  for A2 Milk, which lifted its annual  sales  68% in the June year,  with  revenue   rising  from $549m in the June  2017 year  to  $922m.  During  the latest  year A2  Milk achieved gross margins  up  to  49%.   . .

Wallace Group extends Southland operations; achieves nationwide slink and casualty cow collection service:

Nationwide coproducts business Wallace Group today announced it had extended operations in Southland with the addition of a Mataura processing site, requiring around 20 seasonal contractors and 30 seasonal staff.

Wallace Group Chief Executive Officer, Graham Shortland says, “We’re very pleased to have extended our presence in Southland. The recycling of coproducts from the agricultural sector performs a valuable service for farmers and processors as well as protecting the natural environment from the impact of dead stock. . .

Otago/Southland named best Young Farmers’ region:

Otago/Southland has been named the country’s best NZ Young Farmers region.

The region’s members cheered excitedly when the award was announced in Invercargill.

“Our clubs are welcoming and well connected which ensures lots of interclub activities,” he said.

Marlborough wine – protecting and promoting the real deal:

A new initiative has been launched to safeguard Marlborough’s wine reputation and Lawson’s Dry Hills is among the first to jump on board.

The protection of ‘brand Marlborough’ has been under discussion for some years but with the proliferation of Marlborough Sauvignon Blanc labels over recent times, a group of key industry people led by Ivan Sutherland of Dog Point Vineyards, have been spurred into action. . .

Bayer Marlborough Young Viticulturist of the Year 2018 announced:

Congratulations to Ben Richards from Indevin who became the Bayer Marlborough Young Viticulturist of the Year 2018 on Friday 13th July.

This is the second consecutive year Richards has competed in the National Final, however he was representing Hawke’s Bay in 2017 as he was working at Indevin’s vineyards there and finishing his degree at EIT. At the start of this year he was promoted to Viticultural Technician for Indevin and moved to Marlborough, so is delighted to represent his new region in this year’s National Final. , ,

Honey venture big winner at North Maori business awards:

The efforts of a 100 percent Maori-owned company specialising in manuka honey production have been recognised with two awards, including the coveted Taitokerau Maori Business of the Year award.

Kaitaia-based Tai Tokerau Honey was named overall winner, as well as securing the Northland Regional Council’s Excellence in Environmental Awareness and Management category, when the business awards were held in Whangarei recently. .


Rural round-up

July 4, 2018

Dairy prices tumble 5% at latest auction – Gerard Hutching:

Prices plunged at the latest global dairy auction by 5 per cent per cent to reach an average of US$3232, the most dramatic decrease seen in the index this year.

The price for New Zealand’s key export whole milk powder (WMP) was US$2905, a fall of 7.3 per cent. Futures markets had suggested WMP might fall by 1 per cent. 

AgriHQ said Fonterra’s latest Global Dairy Update appeared to have given the market the jitters, especially for WMP. . . 

Trade dispute causes dairy prices to tumble – Fran O’Leary:

Dairy markets appear to be reacting negatively to President Donald Trump’s decision to place tariffs on Mexican steel and aluminum, and on a number of Chinese products.

“In retaliation, Mexico announced that they will place a tariff on U.S. cheese, and China announced tariffs on some dairy products, corn, soybeans and other products. Mexico is the largest export market for U.S. cheese,” says Bob Cropp, University of Wisconsin Extension dairy economist.

“In 2017, Mexico accounted for 28.3% of U.S. cheese exports. While these tariffs didn’t take effect until July, and the degree of impact on U.S. dairy exports is unknown at this time, dairy product prices have already fallen.” . . 

2019 Zanda McDonald Award now open:

Talented young agri-leaders from Australia and New Zealand are being urged to apply for the 2019 Zanda McDonald Award. Applications for this prestigious award open today, with an impressive prize package worth over $50,000 up for grabs.

Now in its fifth year, the award provides the winner with an all-expenses paid trans-Tasman mentoring trip, $1,000 cash, a place on Rabobank’s Farm Managers Course, and access to the Platinum Primary Producers (PPP) Group – a network of over 150 influential agri-business men and women from across Australasia.

Richard Rains, Chairman of the Zanda McDonald Award, says the award provides a fantastic opportunity for young agricultural leaders to further their career and their personal development. . . 

Backing our Southern men:

There’s something magical about having a hometown advantage.

But that advantage comes with a twist for two southern men who are competing in the FMG Young Farmer of the Year grand final in Invercargill this week.

Technically, there are two southerners competing in the final, but they represent different regions in the contest. 

Logan Wallace, 28, leases his parents farm at Waipahi in south Otago and is the Otago-Southland regional finalist, while Cameron Black, 25, who is based in Christchurch as a rural consultant for New Zealand Agri Brokers is the Aorangi regional finalist. . . 

A2 Synlait agree to extend infant formula supply deal – Sophie Boot

(BusinessDesk) – Dairy marketer A2 Milk and milk processor Synlait Milk have agreed to extend their infant formula supply deal and increase the volume of formula Synlait will supply as the two continue to focus on sales in the lucrative Chinese market.

A2 and Synlait first signed a supply agreement in 2012 to support the milk marketing firm’s plans to launch infant formula sales into China, and inked a new deal in August 2016 providing for increased scale if market demand warranted it.

The companies’ arrangements were for a minimum of five years from 2016, with a rolling three-year term from August this year, but have been extended by two years so will last until at least July 2023. Synlait will increase the volume of infant formula products it is A2’s exclusive supplier for and increase its committed production capacity. . .

Latest report from Land and Water Forum:

The Government has said it will act immediately on some recommendations of the Land and Water Forum. This includes prioritising action in the most “at-risk” catchments.

Advice was sought by Environment Minister David Parker and Agriculture Minister Damien O’Connor on a number of issues on waterways and the primary sector.

“The Government will act on some of the Forum’s recommendations immediately, while the remaining recommendations will be considered in more detail as part of our work programme,” David Parker said. . .

First female arable chair joins Feds national board:

Federated Farmers has a new board member as a result of elections held during last week’s national conference in Wellington.

Karen Williams, who was elected arable chairperson at that industry group’s annual meeting in Timaru in June, was elected to the national board by delegates from Federated Farmers’ 24 provinces. She replaces Guy Wigley, who stepped down after three years as arable leader. . . 

A new chapter in the history of Vidal – one of New Zealand’s oldest wineries:

On June 30 the doors of the Vidal Estate winery and restaurant in Hastings closed for the last time. It was a historic moment for the winery established by pioneer Anthony Vidal in 1905, but the future of Vidal Estate looks bright with the relocation to a new state-of-the-art winery located in the Gimblett Gravels, Hawkes Bay.

To make great wine, the closer to the vineyards the better, said Hugh Crichton, winemaker at Vidal Estate. “It was an exciting time to move our winemaking base out to the Gimblett Gravels for vintage 2018. While it has been immensely satisfying to ferment and age our wines in the historic cellars in Hastings there’s no denying there were challenges. Being closer to our vineyards and working within a winery designed for quality will without a doubt further push us into the premium market”. . . .

Leading New Zealand winery-based hospitality business placed on the market for sale:

One of New Zealand’s biggest winery-based tourism and hospitality operations – encompassing vineyards, a function centre, restaurant, and high-end accommodation – has been placed on the market for sale.

Mahana Estates just west of Nelson generates income from four revenue streams which operate both independently and conjunction with each other.

The Mahana Estates property portfolio encompasses:
• A 21-hectare vineyard planted in pinot noir, pinot gris, Riesling and chardonnay
• A nine hectare sauvignon blanc vineyard in the nearby region of Hope
• A 2,589 square metre four-level winery capable of crushing 500 tonnes of grapes annually and sustained by its own on-site cellaring facility and bottling plant which operates on a gravity feed system to minimize the need for pumps . . 

Aussie grain giant puts mega farm up for sale – Chris Mccullough:

The owner of the 495,000 acre farm is asking $72 to $82 million
for what is one of Australia’s largest arable operations

One of Australia’s biggest arable farms extending to 495,000 acres is up for sale at a price tag of $72 to $82 million.

Western Australian grain giant John Nicoletti decided to retire from grain farming at 64 years old. . .


Rural round-up

February 24, 2018

A2 Milk now a $10B company, eclipsing Fonterra as investors bet on bullish  – Rebecca Howard:

 (BusinessDesk) – A2 Milk Co is now more valuable than Fonterra, even though the milk marketer’s sales amount to less than 3 percent of the dairy giant’s, as investors bet it will continue to beat expectations.

A2 shares jumped 18 percent to $13.87 on the NZX and are trading at more than 50 times forecast per-share earnings – the highest price-to-earnings (PE ratio) of any company on the NZX 50 Index. The market capitalisation of a2 has jumped to $10.1 billion, exceeding the $9.76 billion value of Fonterra based on the $6.06 price of the shares that trade in a farmer-only market on the NZX. . . 

NZ’s largest dairy genetics supplier gets behind A2 market:

Herd improvement and agri-technology co-operative LIC welcomes the announcement from Fonterra and The a2 Milk Company about their new partnership as it prepares to launch a new team of elite A2 bulls supported by genotype testing that allows farmers to determine the A2 status of each of their animals.

As the country’s largest supplier of artificial breeding services, LIC’s bulls are responsible for up to 80 per cent of the cows grazing on dairy farms around the country. LIC has been providing farmers with A2 genotype testing for more than 15 years from its laboratory in Riverlea, Hamilton. Its first A2 bull was made commercially available to farmers for AI in 2002. . .

Shearers plan marathon session to support mental health organisations – Emma Dangerfield:

Before Mark Herlihy lost his brother to suicide two years ago, mental health was not something the family had needed to discuss.

There had been no signs, no-one had seen it coming.

“We’re a really bubbly sort of family,” Mark said of his parents and seven other siblings.

Michael was just 20. He and his brothers had been preparing for a shearing record, which may have put him under a bit of pressure, but nothing they would have attributed to such a dramatic event. . . 

Seepage wetlands work wonders:

A recent review commissioned by DairyNZ may surprise you at just how effective wetlands can be at preventing contaminants from reaching waterways. DairyNZ water quality scientist Aslan Wright-Stow explains.

Wetlands are often referred to as the kidneys of the land – they filter, absorb and transform water contaminants and, therefore, help to reduce excess reaching waterways. In particular, wetlands can be highly efficient at removing excess nitrogen by creating unique environments whose chemistry and hydrology are ideal for treating, in particular, shallow sub-surface flow, and also runoff from dairy farms.

A recent review of scientific studies in New Zealand, undertaken by NIWA for DairyNZ, found seepage wetlands can reduce the amount of nitrate – a problematic form of nitrogen – entering them by up to 75-98 percent. That’s higher than we previously thought. . . 

Name change underlines wool focus:

Federated Farmers wants to play a key role in ramped-up sector-wide collaboration on wool initiatives – and that’s reflected in a name change.

By unanimous vote of delegates from the Federation’s 24 provinces who met in Wellington this week, the Meat & Fibre Council and industry group is now the Meat & Wool Council and industry group.

It’s actually a return to the name that was used more than two decades ago, the chairperson, Miles Anderson, said. ‘Wool’ was switched out to ‘Fibre’ back then when mohair from angora goats was on the rise. . . 

How avocado farmer Jenny Franceschi is taking on food waste – Cara Waters:

“I don’t think Australian consumers realise just how tough it is for some farmers,” says Jennifer Franceschi.

As an avocado farmer, Franceschi counts herself as one of the lucky ones with an avocado shortage driven by rising demand between seasons sending prices surging to about $7 per fruit at some retailers.

But concerned with the huge levels of food waste in agriculture, Franceschi and her husband, alongside three fellow growers, launched Fresh Produce Alliance out of Manjimup in Western Australia. . . 

 

 


Rural round-up

September 2, 2014

Farming app in running for award – Phillipa Webb:

A Manawatu-developed smartphone app could see dairy farmers spending more time on smartphones and less time in paddocks.

The Grass2Milk app developed by the OneFarm Centre of Excellence in Farm Business Management – a joint venture by Massey and Lincoln universities – was shortlisted in the environmental category of the 2014 World Summit Award mobile competition.

Massey University agri-business student Hamish Hammond helped to test the app, which allowed farmers to see whether herds were fed enough to reach daily milk and body condition targets to plan feed allocations for the day.

“Most farmers would be really intuitive when it comes to feeding, but they could use [the app] as a gauge.” . . .

China deal factor in Fonterra’s lower credit rating – Sally Rae:

Fonterra’s credit rating has taken a hit following the announcement of its proposed partnership with a Chinese infant food manufacturer.

Credit rating agency Standard and Poor’s has lowered the dairy co-operative’s long-term rating from A+ to A and affirmed its short-term rating of A-1.

Last week, Fonterra said it was forming a global partnership with Beingmate to help meet China’s growing demand for infant formula.

Fonterra’s proposed sizable shareholding in a commercial company operating in China indicated a financial risk appetite that was ”more aggressive” than Standard and Poor’s had factored into the previous rating, credit analyst Brenda Wardlaw said in a statement. . . .

Teasing out the beta-casein evidence – Keith Woodford:

In last week’s column I advocated that the mainstream dairy industry should convert New Zealand herds away from the production of A1 beta-casein. To not do so creates unnecessary long term risk to the industry. However, the mainstream industry remains locked into a defensive position.

In this article I will therefore briefly review some of the major strands of health evidence. I cannot cover it all – it took me a whole book to do so back in 2007. Since then, there has been a lot more evidence forthcoming.

In assessing the evidence, it is helpful to recognise that A1 beta-casein is the consequence of a historical mutation. Goats, sheep camels, buffalo, Asian cattle and humans produce beta-casein that is totally of the A2 type. It is only cows of European ancestry which produce A1 beta-casein. . .

Allied Farmers back in black as livestock unit grows – Paul McBeth:

(BusinessDesk) – Allied Farmers, which is rebuilding from a disastrous takeover of the Hanover and United Finance loan books, returned to profit as its core livestock unit lifted income with gains in Taranaki and Waikato.

The Hawera-based company reported a profit of $1.03 million, or 1.03 cents per share, in the 12 months ended June 30, turning around a loss of $1.12 million, or 2.94 cents, a year earlier, it said in a statement. Revenue in the slimmed down entity shrank 38 percent to $16.9 million.

“The focus for the coming year will be to continue to grow the livestock business and to leverage off the client relationships and trust that exists with those clients to provide value for money services,” chairman Garry Bluett said. “The effect of the reduced dairy payout is likely to have some uncertain impact on dairy livestock sales going forward and the continuing high dollar is already having some impact on meat exports at the early stage of this season.” . . .

 New Zealand firm creates health focused flavoured milk; export potential:

Christchurch-based New Zealand Dairy Brands believes it is a world leader in its sector in the production of health products with the launch of its highly innovative Go Milk flavoured milks.

The range has no added sugar, a low GI (glycaemic loading) and is low fat, making it suitable for diabetics and excellent in the fight against obesity. The product was a recent finalist in the NZIFST awards in the product innovation category.

Just released on New World and Pak n Save supermarket shelves in New Zealand, a trial export shipment of Go Milk has already been sent to China and the product is destined for the Australian market also. . . .

 Compass points new crop direction – Gregor Heard:

RESEARCHERS are excited about the prospects of a new barley variety set to be commercialised next year.

Speaking at a trial walk at last week’s Grains Research and Development Corporation (GRDC) grower update in Horsham, Birchip Cropping Group research agronomist Simon Craig said the Compass variety, developed by the University of Adelaide research team and commercialised by Seednet, showed outstanding promise.

“It looks to have a very good fit right across a range of low to medium rainfall zones.” . . .


Rural round-up

August 31, 2014

Co-operation at a strategic level – Glenys Christian:

There could be downstream as well as upstream benefits to Fonterra’s $615 million deal with Chinese infant food manufacturer Beingmate, starting at the onfarm level in that country.

Fonterra chairman John Wilson said after the announcement of the move was made on Wednesday that discussions had been held about how the co-operative could help out in other areas.

“Beingmate has its own farms,” he said.

That meant there were opportunities to look at the two companies joining together more in farm management with Fonterra already having one hub of dairy farms up and running in China, a second hub started, and commitment to a third. 

“We’ve had discussions about more alignment,” he said.

“There may be benefits upstream and downstream in the future.” . . .

Honour for noted sheep breeder – Jon Morgan:

In 1956, 23-year-old romney stud breeder Roger Marshall sold his first rams at the Manawatu and West Coast Ram Fair in Feilding. The Rangitikei Mail reported that when the first ram was knocked down at 1400 guineas after spirited bidding the large bench of buyers broke into spontaneous applause.

“I remember being quite worried because it had rained for several days before the sale, and all my rams had wet wool, but to get 1400 guineas was terrific – that was the price of a new Holden car in those days,” the quiet- spoken farmer says. “It was a great incentive for me.”

It was a sparkling opening to a career in sheep breeding that eventually took him to the other side of the world in search of new blood to rejuvenate the sheep industry. . .

A2 poised for US start – Alan Williams:

The strong NZ dollar has cut into reported profits but A2 Milk Company remains confident it can fund development of three new markets from its existing cash and cashflows.

A2 had $16 million cash in the bank at June 30 and is booking strong Australian sales and operating cashflows.

It will use them to build on its slowly developing markets in China and the United Kingdom and to begin sales in the United States next year. . .

Manuka honey sector gets boost with trial expansion:

The lucrative Manuka honey healthcare market is set to expand after New Zealand’s largest farmer, Landcorp Farming, announced it’ll be planting an additional 93 hectares of mānuka honey trees.

The new plantings are part of the High Performance Mānuka Plantations programme — a seven year Primary Growth Partnership (PGP) between the mānuka honey industry and the Ministry for Primary Industries (MPI) to increase the yield and reliability of supply of medical grade mānuka honey.

The PGP trials, involving Landcorp, Hawke’s Bay Regional Council, Comvita, Aborex Industries, Don and Conchita Tweeddale and Nukuhau Carbon Ltd, were launched in 2011 to increase the value of the mānuka honey industry from an estimated $75 million towards $1.2 billion per annum by 2028.

Maori Trustee Te Tumu Paeroa is also a shareholder in the programme. . .

Californian drought is so severe it’s ‘causing the ground to move’:

Vanishing water is causing the ground to rise in the western United States, according to a new study.

 Scientists estimate that 63 trillion gallons of water has been lost in the west over the past 18 months. 

The surface of the Earth is much more springy than you might think. When you put something very heavy on it, there’s a good chance the ground will sink at least a little bit. And in the same way, when you remove something very heavy, the ground will lift.

As it turns out, 63 trillion gallons of water is pretty heavy. . . .

Rural Women Drive Post-conflict Recovery in Bosnia and Herzegovina – Food tank:

The International Fund for Agricultural Development‘s (IFAD) Livestock and Rural Finance Development Project has helped transition rural businesses in Bosnia and Herzegovina from the initial stages of post-conflict recovery to long-term sustainable development. The program has financed rural infrastructure redevelopment and provided credit and training to small business owners. This program has particularly focused on reengaging women in the workforce.

On a macro-level, the program has helped to improve producer access to markets. At the local level, the program has encouraged the formation of producers’ associations and helped provide individuals with machinery and technical support services. For example, members of the Nevesinje’s Producers’ Association have received credit and trainings on food safety, handling, and storage of their product from the program.

The program has also helped open up a discriminatory workforce to women. In the decade following the Bosnian War, there was a marked decrease in women in the workforce and a resurgence of traditional attitudes about gender roles. . .

 

Just punctuate. </p><br /><br /> <p>#grammar


Rural round-up

April 3, 2014

Why is New Zealand’s retail milk so expensive? – Keith Woodford:

Visitors to New Zealand often ask me why our supermarket milk is so expensive compared to in their own countries. I tell them the answer is simple. First, we have little competition, with only two milk major processors (Fonterra and Goodman Fielder) and two major supermarket chains (Foodstuffs and Progressive). Also, unlike most other countries, the Government in New Zealand does tax food.   Both answers are typically received with surprise.

I am sure it will also come as a surprise to many New Zealanders to hear they pay more for their milk than the British, the Australians, the Americans and even the Canadians. So let’s do some comparisons. . .

Smoke and mirrors of business as usual? – Allan Barber:

This season shows many of the normal characteristics of the red meat sector, but it’s getting harder than ever to unravel the complexities of an industry which epitomises Winston Churchill’s 1939 quip about Russia – a riddle wrapped in a mystery inside an enigma.

In conversation with several senior industry executives, it has been possible to establish for certain only three things: first, this season is a bit easier than last and quite a lot better than two years ago, second, the trend to dairy support away from sheep and beef has gained momentum, and lastly China is extremely helpful for exports of both species.

There are conflicting views about other current issues and events. Beef is either tougher or easier than sheepmeat depending on the region or point of view, capacity must come out, but whose capacity again depends on the perspective taken, and, while some are closer than others to see the possibility, nobody is willing to predict a disaster. . . .

From farm to the boardroom – Annette Scott:

Dawn Sangster is a grassroots farmer, an Alliance Group director and is committed to making a positive contribution to the red-meat sector. She talked to Annette Scott about her fascinating journey in the rural sector.

Maniototo farmer Dawn Sangster grew up on the family farm in Paerau, Central Otago.

She attended Waitaki Girls High before graduating from Lincoln University with a Bachelor of Agricultural Commerce degree in farm management. . .

Call for organic producers to unite – Alan Williams:

Southland farmer Craig Dowden reckons organic lamb producers can do better by teaming up and demanding a better price.

He wants them to decide on a fair minimum price and tell their processors that is a bottom line for supply.

Existing prices, providing typically a 20% premium over conventionally farmed lambs, weren’t enough, Dowden said.

The premium was needed to allow for reduced stocking rates, slower growth rates, and some stock-health issues involved in running a farm without some chemical treatments, he said. . .

 

TAF ‘a blueprint for the world’ – Tim Fuulton:

Fonterra’s Trading Among Farmers (TAF) scheme is being copied in Australia and the rest of the world is likely to follow, NZX head of capital markets Aaron Jenkins says.

Jenkins joined NZX last year from a role as Fonterra’s TAF general manager.

It is 16 months since the share-trade mechanism launched in a clamour of publicity.

Australian dairy co-operative Murray Goulburn’s proposed share-trade mechanism was virtually identical to Fonterra’s TAF, except the Australians wanted to raise money externally, Jenkins told a recent function hosted by Christchurch law firm Tavendale and Partners. . .

 

Human health implications of A1 versus A2 beta-casein: theory and current evidence – Keith Woodford:

The health implications of A1 beta–casein relative to A2 beta-casein are controversial. At times the scientific debate can become clouded by the reality that milk is a commercial product. Conversion of all herds so as to replace A1 beta-casein with A2 beta-casein over one to two cow generations (4 – 12 years) is technically straight forward. Accordingly, the beta-casein issue can be presented as either a threat to, or an opportunity for, the mainstream industry, with elements of each perspective being valid.

The Key Science.

  • All bovine beta-casein was originally of the A2 type. A1 beta-casein is now produced by a considerable proportion of cows that have European bloodlines. In contrast, goats, sheep, buffalo, camels and humans produce beta-casein of the A2 type. . .

 


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