Rural round-up

April 3, 2017

NZ red meat sector must pursue both ‘value and volume’ growth into China:

The New Zealand red meat sector must focus on creating greater value from its exports into China, as the rate of import growth slows in this major export market, according to new research from Rabobank.

In its recently-released report, China’s Animal Protein Outlook to 2020, the specialist global agribusiness bank says while Chinese imports of sheepmeat and beef will continue to grow out to at least 2020, the rate of growth will not be as rapid as it has been in the past.

In addition, says Rabobank animal proteins analyst Blake Holgate, as China has continued to open its market to New Zealand’s competitors in recent years, the NZ red meat sector no longer enjoys the same unique competitive advantage it had when it was the first developed country to enter into a free trade agreement with China in 2008. . . 

Rural doctor shortage: GPs considered ‘lesser beings’ – Joanne O’Brien:

For 25 years, Dr John Burton has been a lifeline for people in the isolated Waikato community of Kawhia, but, he says, GPs are considered “lesser beings” so job training is not producing good doctors for rural areas.

He said being the only doctor within an hour’s drive might deter some, but it made life fun.

“One of the things that often puts people off coming to a place like Kawhia is you’re always on call and anything can happen.

“Yet if I look back over the years I’ve had here, the times I’ll be remembering will probably be the times when, yes, I delivered a baby in the back of the ambulance or somebody was in a life-threatening condition.” . . 

Cows could infect humans with different strain of leptospirosis – Alexa Cook:

About 30 percent of New Zealand’s dairy herds pose a risk of infecting humans with a different strain of Leptospirosis not covered by the existing animal vaccine, a study has revealed.

People can pick up the disease if they come into contact with cow urine and rodents. It can lead to serious illness or death.

Leptospirosis is the most common zoonotic occupational disease for farm and abattoir workers. In the past year cases of the disease have jumped by nearly 50 per cent, compared to 2015.

The Massey University study, which started in 2015 and is government funded, collected blood and urine samples from 200 dairy farms. . . 

Fonterra produces a solid half-year set of results but it is not all plain sailing ahead – Keith Woodford:

Fonterra has produced a solid set of results for the first half of the 2016/17 season, with after-tax profit up two percent to $418 million.

Results were broadly in line with market expectations. Prices for Fonterra units had been drifting down on the NZX in the weeks prior to the announcement from a high of $6.39 to $6.20 and lost another five cents over the following two days down to $6.15.

As always, the half-yearly and annual reports from Fonterra are a masterful exercise in communication. It takes effort to scratch beneath the surface to figure out what the numbers are really telling us. . . 

Cervena to be marketed in Germany:

Cervena venison is to be marketed in Germany during the northern hemisphere summer as part of a market development trial.

Deer Industry NZ (DINZ) venison marketing manager Marianne Wilson says the trial, while relatively small, is symbolically very important. Traditionally, the deer industry has been heavily reliant on sales of venison to the German game trade which is highly seasonal, with demand and prices peaking in the northern autumn and winter, she says.

“Marketing Cervena venison there as a lighter summer eating option, suitable for grilling, is a challenge but it’s a journey we want to begin. Chefs across Europe are now showing more interest in innovative summer menu items, so the timing is positive.” . . 

NZ exporters gain access to international agfood innovations portal:

The FoodHQ Innovation Club has become a partner of World Food Innovations, an internationally recognised online portal that profiles innovative agfood solutions to attract global business.

The FoodHQ Innovation Club helps food and beverage companies tackle the multiple challenges associated with innovating their products and businesses to meet consumer demands in New Zealand and overseas. It provides one-door access to 2,200+ researchers, leading-edge knowledge, and innovation tools from internationally recognised research and innovation organisations.

WorldFoodInnovations.com, an initiative by Food Valley, the Netherlands, was established in 2016. Food Valley has built up a deep insight into the challenges of the agrifood industry and vast network of companies and knowledge institutions that can help to tackle these challenges effectively. . . 

Rabobank NZ annual profit falls 14% on higher provisioning for bad dairy debt – Paul McBeth

(BusinessDesk) – Rabobank New Zealand posted a 14 percent decline in annual profit last year as the rural lending specialist boosted its provisioning for bad debts in the face of the dairy slowdown.

Net profit fell to $89.5 million in calendar 2016 from $104 million a year earlier, the Wellington-based lender said in a statement. The decline in profit was largely due to the bank booking $15.1 million in impairment charges on bad debt. In 2015 Rabobank booked a $5.6 million gain, writing back the value on impairments. Net interest income edged up 2.6 percent to $251.3 million, outpacing a 2.2 percent increase in the size of Rabobank’s NZ net loan book to $9.65 billion. . . 

Dairy – the new cream of choice in China:

For chefs across China, it’s out with the old mock cream and in with the UHT cream as Fonterra ups capacity to meet growing demand.

UHT cream, one of Anchor Food Professionals top selling products, is fast becoming the cream of choice for chefs in China and other parts of the world as they look for a product that has the freshness of pure dairy, won’t over whip and holds its shape for longer.

Fonterra has recently completed a new one litre UHT line at its Waitoa site. However, with continued growth, the Co-operative has already begun construction on a second line which will produce an additional 45 million litres each year for consumers across Asia, the Middle East and the Caribbean. . . 


Rural round-up

February 22, 2017

New report shows importance of dairy industry:

A new report launched tonight confirms the dairy industry makes a major contribution to New Zealand’s economy, says Primary Industries Minister Nathan Guy.

“According to the report dairy contributes $7.8 billion to New Zealand’s GDP, and is our largest good exporter. This is a timely reminder of just how important the dairy industry is,” says Mr Guy.

The report ‘Dairy trade’s economic contribution to New Zealand’ was commissioned from NZIER by the Dairy Companies Association of New Zealand (DCANZ) and released today.

“While the dairy sector has had a tough few seasons, in the year to March 2016 they still earned over $13 billion in exports for New Zealand.

“According to the report the dairy sector employs over 40,000 workers and employment in this sector has grown more than twice as fast as total employment, at an average of 3.7% per year since 2000. . . .

The full report is here.

Report finds New Zealand loses billions to trade barriers each year:

Trade barriers cost New Zealand billions of dollars annually, according to an NZIER report for the Dairy Companies Association of New Zealand (DCANZ).

The report, titled Dairy trade’s economic contribution to New Zealand, highlights the strong contribution the dairy sector has continued to make to New Zealand’s national and regional economic development, even while it has been at the bottom of a price cycle, and despite global dairy markets remaining highly distorted.

“Trade barriers are a significant cost to New Zealand. Tariffs alone are suppressing the value of our dairy products by around 1.3 billion dollars annually,” says DCANZ Chairman Malcolm Bailey. . . 

Red meat story about more than brand image – Allan Barber:

There has been a great deal of progress towards the development of the New Zealand Red Meat Story, but most of it has been happening under the radar. That is all about to change. B+LNZ is holding a workshop on 1st and 2nd March at which a wide group of industry participants – farmers, government, processors and exporters – will gather to start formulating the detail of the story, assisted by a strong line-up of guest speakers with international experience in brand development.

Over the last 18 months B+LNZ has focused on implementing its market development action plan arising from extensive consultation with levy payers. The most obvious change was to close marketing offices in mature markets like the UK, Japan and Korea where exporters already have much deeper relationships with customers and feedback from farmers and exporters suggested funds could be better spent in other ways and in developing markets with greater potential. . . 

Rabobank beefs up its animal proteins specialisation:

Leading agribusiness banking specialist Rabobank has appointed Blake Holgate to head up its research and analysis of New Zealand’s animal proteins sector.

Based in Dunedin, Mr Holgate joins the RaboResearch Food & Agribusiness division, a team of 90 analysts from around the globe focused on undertaking research into the food and agribusiness sector, including comprehensive reports on sector and commodity outlooks, latest market trends and future industry developments. . . 

Erin Atkinson crowned BOP Young Grower of the Year:

· First time in competition history that women have won both first and second place

· Top young talent have opportunity to demonstrate their horticulture skills

· Erin now to represent Bay of Plenty Young Growers in national competition

Erin Atkinson, 29, Technical Advisor for Apata Group Limited in Te Puke has been crowned Bay of Plenty’s Young Fruit Grower for 2017 at last night’s special gala dinner in Tauranga.

The day-long competition last Saturday, the 11th of February at Te Puke Showgrounds, followed by the gala dinner, saw six competitors battle it out in a series of practical and theoretical challenges designed to test the skills needed to run a successful export-focused business. . . 

Wool firms more:

New Zealand Wool Services International Ltd’s Marketing Executive Malcolm Ching, reports that of the original 15500 bales intended for sale from both centres, 2500 bales were withdrawn by growers prior to the auction with the balance of 13000 bales seeing 76.7 percent sold and most types firm to dearer.

The weighted indicator for the main trading currencies was unchanged with the market reflecting more demand as client buying activity increases.

Mr Ching advises that some growers are holding back wool or refusing to accept below production cost returns, making volumes on offer further reduced, restricting supply in some categories.

Fine crossbred fleece and shears were firm to 5 percent dearer. . . 

Farming future on the agenda – Cally Dupe:

One of Australia’s biggest banks is hitting the road to host a one day seminar at Moora.

Farmers from across the Wheatbelt and further afield will converge at the town’s art centre on February 23 to discuss the future of farming in WA.

Coordinated by Bankwest, 2040 Farming – The Next Generation, includes guest speakers from Bankwest, AgAsset, Farmanco Management Consultants, Moora Citrus, Sandgroper Seed Potato and more.

The free event is targeted at younger farmers aged 20 to 40 but anyone is welcome. . . 

More on that here.


Rural round-up

April 14, 2015

That is indeed a beautiful sound – Gravedodger:

Since around 0645 we have had the sound of rain on the roof,  steady and after two hours, around 13mm.

Here in Akaroa we were not as desperate as many pockets  around North Canterbury, a friend from Cheviot next door to where we spent three years in the mid 60s, is saying it is so parched there is not even any green in gully floors where there is normally some hope of a lunch for a rabbit.

Another comment in Farmers Weekly said their bit of unirrigated country has moved from brown to white. . .

Uneven rules costly – Neal Wallace:

Steps to control agricultural nutrient discharge could add 10c a litre to the cost of producing milk and impose wide-ranging restrictions on land management.

But there is little uniformity in regional council rules.

Most of the county’s 16 regional authorities are still to complete their regional plans but early indications are that each council has its own approach.

Rabobank sustainable farm systems manager Blake Holgate has been following the development and release of environmental regulations and said even neighbouring regional councils such as Otago and Southland have differing rules, creating uncertainty for owners of multiple properties and unknown costs. . .

Heartland Forum shaping up as South Island farming event of the year:

A speakers’ lineup of the who’s who in the primary sector makes this month’s ‘The Future of Heartland Forum’ near Cheviot in North Canterbury, a must attend.

A farmer discussion in Cheviot late last year about the spread of Chilean Needlegrass has since grown into staging a premier forum on the future of agriculture industries in New Zealand.

The event will be held at Te Mania Angus Stud, Conway Flat, Friday, April 17.

Other than Government speakers, the lineup includes; Dame Margaret Bazley from Environment Canterbury, Winton Dalley the Hurunui Mayor, Peter Townsend the Chief Executive of the Canterbury Employers Chamber of Commerce, Craige and Roz Mackenzie and Sam and Mark Zino, award winning farmers, Nicole Masters of the New Zealand Biological Farmers Association and Dr William Rolleston the National President of Federated Farmers New Zealand. . .

 Robotic milking can revive kids’ interest:

Robotic milking is coming of age in New Zealand and interest has surged in the last six months, DeLaval’s Grant Vickers says.

“I think it’s because a number of installations in New Zealand are working well,” he told Dairy News. “The perception of risk has probably lessened.”

The current inquiries, for robotics and barns, are from all sizes of farms and will result in installations in the North and South Island. 

Vickers spoke about robotic milking during a Dairy Women’s Network field trip to a 600-cow wintering barn as part of the organisation’s ‘Entering Tomorrow’s World’ conference. . .

What’s behind the longevity of Country Calendar? – Julian O’Brien:

Soon after I started producing Country Calendar, we had a minor crisis.

We thought we’d found a simple and elegant way to make new opening titles – but it quickly turned into a nightmare. 

We needed footage of people involved in typical rural activities, but to integrate the shots into our titles, they had to be shot against a neutral background – ideally a green-screen set up in a studio. 

Sheep in a studio? Achievable, but someone needs to be ready with a broom afterwards.

New Zealand’s top shearers in a studio? Impossible, if you want to keep the feel of a shearing competition – but we desperately wanted the shot.

As we pondered this, we had a crew shooting part of a story at the Taumarunui Shears – but there was no neutral background at the event to do a titles shot. . .

NZPork Annual Report 2014:

The NZPork Annual Report 2014, released today, reflects on the importance of the New Zealand consumer to the future of its business.

NZPork Chairman Ian Carter points out that it’s important to remember that our consumer is our neighbour and that we are touch with what consumers want and believe.

“We need to provoke interest in our product and our industry. We need to invoke confidence in our production standards and systems. And we need to evoke desire for our product,” said Ian Carter.

The report states the industry recognises that little is understood about pig farming in general amongst many New Zealanders, particularly the requirements of caring for its animals. In light of this, it is taking steps to be more transparent and advocate confidence to its consumers via its production systems and standards. . .

 Silage smells and what they mean – Ian Williams:

I grew up in town and one of my distinct memories of summer and autumn when we went to visit our farming friends was the smell of silage. 

As a kid, silage always seemed to stink and it is a smell which has been imprinted on my brain.

Now I work with the stuff. I even have a personalised number plate with the word SILAGE on it! Whenever I  introduce myself to people from town and they ask me what I do and I mention the word silage, they instantly screw up their noses and say something like “How can you work with that stuff, it stinks?” or they ask “Are you still married?” . .  .

How to install a ready-made food making business on your farm:

Making the transition from being a primary producer to processing and selling your own produce has become considerably cheaper, easier and less stressful thanks to an Anglo-French company that has created a new process that effectively builds a ‘barn inside a barn’.
Create-a-cabin has led a revolution in French farming by rapidly installing food-safe, highly flexible, and technically sophisticated food preparation rooms without the need for planning permission.
Across the Channel, Create-a-cabin’s custom-made, modular building shells have been erected quickly and cheaply for cheese-makers, poultry abattoirs, jam kitchens, meat packers, fish smokers and many more, allowing farmers to control at least one more link in the food production chain, as well as adding value to their product and thus  commanding a higher price. . .


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