Rural round-up

March 13, 2019

Tax recommendations threaten future prosperity:

Federated Farmers is calling on the Government to reject the majority of the raft of new taxes proposed by the Tax Working Group.

“Small business would pay the costs, large business would spend thousands avoiding the costs and tax advisors and valuers would have a field day,” Federated Farmers Vice-President Andrew Hoggard says.

“There is possibly an argument for a Capital Gains Tax aimed at rental properties if there was some sound evidence it would dampen investor speculation, and reduce price pressure and first home buyers being out-bid. But even with that, we haven’t given the tougher ‘bright line’ test rules a chance to really kick in. . .

Despite rising prices farmers are feeling oppressed from all sides and confidence is low. FIckle urban voters are driving a flood of rules and imposing costs that make little sense to the business of farming – Guy Trafford:

The results of the January Federated Farmers farmer survey have recently been published and makes fairly sober reading – especially in the context that prices for most commodities are reasonably sound.

Only 5.1% of respondents expected economic conditions to improve and but nearly 46% expect economic conditions to worsen, this is the worse result since July 2009.

Given the recent rises in milk prices and solid returns coming for sheep and beef farmers this level of pessimism is somewhat surprising and perhaps is a reflection of where farmers heads are at rather than a measure of what the ‘true’ economic conditions are. . . 

Looking to Generation Z for the future of  food – Sarah Perriam:

The rural sector is rapidly changing.

Consumer demand and global trends means New Zealand farmers need to embrace innovation to be able to compete and thrive in this new and exciting environment.

The next generation is vital for success. . . 

Greenpeace billboard ruled misleading  :

Federated Farmers is pleased the Advertising Standards Authority has ruled that a Greenpeace billboard aimed at fertilizer companies and the dairy industry is misleading and takes advocacy a step too far.

“Federated Farmers believes everyone has the right to express strong views but as the ASA Complaints Board ruling underlines, over-simplification of issues and targeting of two farmer-owned companies is misleading and overly provocative,” Feds environment spokesperson Chris Allen says. . .

Zespri. Appoints Bruce Cameron as chairman – Luke Chivers:

While the kiwifruit industry is having its day in the sun it is not short of challenges. Luke Chivers spoke to new Zespri chairman Bruce Cameron about the future.

New Zespri chairman Bruce Cameron is taking over at a time of strong continuity and volume in kiwifruit exports.

He replaces Te Puna grower Peter McBride who has stood down to pursue other primary industry interests, including a Fonterra directorship. . .

Butter prices go into meltdown :

Butter prices fell 10 percent in February 2019 to a 19-month low, Stats NZ said today.

The average price for a 500g block of butter fell to $5.20 in February 2019, down from a record high of $5.79 in January 2019.

“In January we saw milk prices fall to a 19-month low. This price fall now looks to be flowing on to other dairy products,” consumer prices manager Gael Price said. . . 


Rural round-up

January 16, 2017

In lament of the NZ Farm – Dr Rosie Bosworth:

On the road to becoming the Detroit of agriculture.

Colleague and Christchurch based technology strategist Ben Reid, recently tweeted that New Zealand is in danger of fast becoming the “Detroit of Agriculture” – a rustbelt left behind after production has moved elsewhere.” Unfortunately, I am inclined to agree.  With technologies, science and new business models evolving, accelerating and converging at current breakneck speeds, industries globally – from banking, transport, accommodation and healthcare are having the rug pulled right out from beneath their feet. And sadly (at least for New Zealand farmers), agriculture, our economic mainstay, is next up on the chopping block. Fast en route towards becoming a sunset industry.  Overtaken and displaced by disruptive technologies, science breakthroughs and new business models. And the people at the helm? Not the people on the inside like our dairy farmers, apple breeders and savvy winemakers. But by sneaker wearing tech millennials and wealthy Tesla driving Silicon Valley venture capitalists and well funded research agencies. . . 

Dry conditions take toll on Northland farmers:

A drought declaration in Northland is just a few weeks away, but as conditions in the region grow tougher, Federated Farmers says.

Federated Farmers Northland president John Blackwell said spring had been good for the region, but a dry November and December had caused problems across the board.

Halfway through November the rain had disappeared and south-westerly winds had had a very drying effect on the land, Mr Blackwell said. . . 

Dairy NZ to appeal decision on Greenpeace ad – Catherine Hutton:

One of the groups who complained that a Greenpeace advertisement was false and misleading says it plans to appeal the advertising watchdog’s decision.

The Advertising Standards Authority (ASA) received 12 complaints about the advert, which blamed the dairy industry for water pollution, but dismissed all of them.

Dairy NZ, which represents dairy farmers, would not comment on the reasons it was appealing, ahead of the hearing.  . .

Hurunui Water Project says Greenpeace claims are exaggerated and out of date:

North Canterbury irrigation Company Hurunui Water Project today rejected claims by Greenpeace that the proposed scheme will lead to large-scale intensive dairying and consequent degradation of the Hurunui River.

“Greenpeace needs to actually read the latest information on the Hurunui Water Project (HWP) proposal that they have,” says HWP Chief Executive Alex Adams. “If they had done so, they would have seen the scheme is very different now to the original proposal they seem to be referring to, and that dairy development as a result of the scheme is planned to be to be a minor component.”

Adams said a 2016 survey of HWP shareholders showed the vast majority of the dryland farmers simply wanted irrigation to provide the assurance they needed to continue with their existing farming practice; only some 10 percent indicated that dairy conversions might be an option. . . 

Korean FTA delivers new round of tariff cuts:

More local businesses looking to expand into Korea will benefit from the latest round of tariff reductions under the New Zealand-Korea Free Trade Agreement, Trade Minister Todd McClay says.

The start of 2017 saw two thirds of New Zealand’s exports to Korea become duty free, up from 46 per cent in 2016.

“Thanks to this continued progress under the FTA, even more New Zealand businesses can compete favourably in the Korean market,” Mr McClay says.

New Zealand and Korea celebrated the first anniversary of the agreement in December 2016. Since the FTA’s entry into force in December 2015, New Zealand has experienced strong results particularly in the food and beverage sector where exports to Korea have increased by over 16%. . . 

Fonterra milk collections remain below previous season, trend shifts in Oz – Edwin Mitson

 (BusinessDesk) – Milk collections by Fonterra Cooperative Group this season are continuing to track below the previous year, mainly due to lower production on the North Island.

Collections in the seven months from June 1, 2016 to Dec. 31, 2016 were 881 million kilogrammes of milk solids, a fall of 5.5 percent on the same period in 2015, when prices were much lower. Some 186 million kgMS were collected in the month of December, down 5 percent on the same month a year ago.

There was a clear gap between the two main islands of New Zealand. Collections on the North Island fell 7 percent from June to December, while on the South Island they dropped just 2 percent in the same period. . . 

Commitment Pays Dividends for Taranaki Egg Farm Worker:

Team spirit, pride in her work and a determination to succeed in her studies have proved a winning combination for Taranaki woman Amy Kimura, who was recently named Poultry Industry Trainee of the Year for 2016. The national award is given each year to the top-performing trainee in all of the training courses run by the poultry industry in cooperation with the Primary Industry Training Organisation (PrimaryITO).

Amy, who is of Ngati Raukawa descent, is currently a Farm Worker at Aviagen New Zealand Ltd’s Taranaki production farms where her duties include general care and responsibility for the welfare of the poultry in her care. . . 

17 myths about agriculture in 2017 – Peterson farm Bros:

1. GMOs are evil

GMOs are a valuable technology used in science, medicine, and agriculture. Farmers use them to increase yields, reduce inputs, improve the soil, and provide resistance to drought, insects and weeds. There are GMOs being used all throughout society, and there is a very good chance you’ve consumed or used a GM product today. We do believe people should be free to avoid GMOs if they want to, but GMOs have been around for 2 decades (over a trillion meals consumed) without a single sickness or health issue resulting from consumption. . .

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