Rural-round-up

June 26, 2018

New Zealand primary sector nervous over prospect of trade wars – Jamie Gray:

New Zealand’s primary sector is viewing the rising tide of global trade protectionism with trepidation, but escalating trade tensions between the United States and China have yet to spill over into this country’s main exports.

Primary sector and trade representatives welcomed last week’s launch of trade talks with the EU as positive step.

At the time, European Union trade commissioner Cecilia Malmström voiced concerns about trade issues that have plagued markets in recent weeks after the US Donald Trump administration imposed steel and aluminium tariffs and the US and China stepped up their war of words. . . 

Guy Trafford traces the implications for agricultural trade flows from the game of poker the US is playing with China. All sides are vulnerable, even those not directly involved – Guy Trafford:

President Trump and China’s President Xi Jinping are involved in a high stakes game of poker. Trump played the first hand with a $5 0billion tariff card. Xi Jinping immediately matched it with a similar call and put tariffs on US products, namely sorghum and soya beans.

Trump then matched and raised the stakes by increasing the tariffs to another $200 billion with the threat that if China matched this then another raise to $450 billion would be played.

This threat would put tariffs on over 90% of China’s exports to the US. . . 

Clampdown on foreign farm buyers scares off investors with ‘tens of millions’ in funds, agents say – Jonathan Underhill:

(BusinessDesk) – The government’s directive to the Overseas Investment Office to raise the bar in overseas applications to buy sensitive New Zealand land has scared away tens of millions of dollars in investments in rural property and will hurt farm values, real estate firms say.

The ministerial directive in a letter from Finance Minister Grant Robertson last November to Land Information NZ chief Andrew Crisp said the government is concerned to ensure any benefits from overseas investment in rural land “are genuinely substantial and identifiable” and economic benefits must be considered alongside environmental, social and cultural goals. Owning sensitive New Zealand assets was “a privilege, not a right.” The directive came into effect on Dec. 15 last year. . . 

Foreign farm buyer applications withdrawn in the past 12 months have tripled, OIO figures show – Jonathan Underhill:

(BusinessDesk) – The rate at which potential foreign buyers of New Zealand farms subsequently withdrew their applications to the Overseas Investment Office tripled in the past 12 months, OIO figures show.

The data captures the period since the government’s directive to the OIO to tighten rules for overseas applications to buy sensitive New Zealand land (which means any farmland over 5 hectares). The ministerial directive in a letter from Finance Minister Grant Robertson last November to Land Information NZ chief Andrew Crisp said the government aims to ensure any benefits from overseas investment in rural land “are genuinely substantial and identifiable” and economic benefits must be considered alongside environmental, social and cultural goals. Owning sensitive New Zealand assets was “a privilege, not a right.” The directive came into effect on Dec. 15 last year. . . 

Bayer Hawke’s Bay Young Viticulturist of the Year 2018 announced:

Congratulations to Jonathan Hunt from Delegats, Crownthorpe Vineyard, who became the Bayer Hawke’s Bay Young Viticulturist of the Year 2018 on Thursday 21st June.

This is the third year Hunt has competed and he is thrilled to have won the title and to be going on to represent Hawke’s Bay in the National Final.

Congratulations also goes to Nick Putt from Villa Maria who came second and Grace Petrie from Trinity Hill who came third. . . 

Creative tea and coffee trends good news for NZ dairy:

It’s tea, but not as you know it. Right now people are adding more than just milk and sugar to their cuppa’s and Fonterra is set to meet the demand for adventurous tea and coffee drinks around the world.

Beverages made with yoghurt, topped with cream cheese and mixed with cream are growing in popularity, leading Fonterra to establish a new channel within its Global Foodservice business, Beverage House.

Almost 600 million cups of tea and coffee are consumed out-of-home daily in the Asia Pacific region, a 22% increase on five years ago. . . 

Report Provides Zero Carbon Solution:

Smoke free, plastic free but, more significantly, tillage free.

A report to the Productivity Commission is recommending “bold action” to eliminate tillage or ploughing within the next five to 10 years and replace it with low disturbance no-tillage.

Every time soil is tilled through conventional methods, it releases huge quantities of CO2 into the atmosphere which contribute to global warming.

While the government has introduced a Zero Carbon Bill, it has overlooked the impact of cultivation which causes up to 20 percent of global greenhouse gas emissions and the report challenges the Minister, James Shaw, through the Productivity Commission, to do something about it. . . 

In dairy, a cutthroat U.S. business versus a Canadian cartel – Jerry Zremski:

A little comparison shopping goes a long way toward explaining why President Trump decided to wage a trade war with Canada.

A gallon of milk cost $2.89 at the Tops Friendly Supermarket on Niagara Street last week, while the same product at the Avonmart on Garrison Road in Fort Erie cost $3.35 in American dollars. And Fort Erie shoppers are getting a bargain: According to Numbeo, a crowd-sourced comparison price guide, the average cost for a gallon of milk throughout Canada is $6.32 in American dollars, nearly twice the U.S. price.

And it’s all because the United States and Canada operate their dairy industries in ways that are as different as a bald eagle and a maple leaf. . . 

World Desertification Day: Stories of Resilience from Somalia :

In observation of World Day to Combat Desertification and Drought, delve into four stories of resilience from desert lands in Somalia. Meet two farmers and two female entrepreneurs, who—supported by the Somalia Emergency Drought Response and Recovery Project (SEDRP)—share their experiences of grit, hope, and resilience despite years of drought and famine risks.  Together with partners, particularly the UN’s Food and Agriculture Organization (FAO) and the International Committee of the Red Cross (ICRC), the project aimed to scale-up drought response and recovery in Somalia.

1. An impressive harvest, a happy farmer

The story of Saed Mohamud may not typically be expected from Somalia in 2017, two years into a severe drought that put the country in a nationwide state of natural disaster and famine—yet Mohamud is not alone. In 2017, thousands of families beat the odds and produced good yields, thanks to concerted efforts from government and partners, and solid donor investment in building farmers’ resilience against drought. . .


Rural round-up

October 30, 2017

Brexit problems proliferate while negotiators procrastinate– Alan Barber:

An Agri Brigade piece in the latest Private Eye, that marvellous example of good old-fashioned investigative journalism, made me acutely aware of the law of unintended consequences that inevitably applies to trade agreements. With less than 18 months until Brexit, UK negotiators don’t appear to have made any tangible progress towards a workable agreement with their EU counterparts.

In fact each side is talking right past the other: the EU wants to set the amount the UK will pay to exit before discussing important things like trade and the UK doesn’t want to mention it for fear of causing political mayhem at home. And we think we’ve got problems with the coalition discussions which should have reached a conclusion by the time you read this. . .

EU plans to trade ‘much’ more with Australia and New Zealand after Brexit – Jon Stone:

An upcoming trade deal between the European Union and Australia and New Zealand will help to dramatically increase trade between the blocs, the EU’s trade commission has said.

Despite high-profile Brexiteers hoping Britain would do more trade with Commonwealth countries after Britain leaves the bloc, the EU has pulled away with a head-start in negotiating its own agreement with the two former British colonies.

Cecilia Malmström told the European Parliament on Wednesday that her negotiating team was moving to the next phase of preparations for the trade deal. . .

Overseas land ownership not just a New Zealand problem – Alan Barber:

On a recent trip to Australia I read an article about overseas land holdings on that side of the Tasman which illustrates

the dramatic growth in Chinese investment in Australian agricultural land. In contrast to the rather sketchy and out of date statistics available in New Zealand, the Foreign Ownership of Agricultural Land Register provides very specific figures at 30th June this year.

Foreign investors now own 13.6% of Australian agricultural land, up from 11% three years ago, with British investment at 33% still the largest source of foreign capital, although this percentage has fallen sharply from 52% 12 months earlier. . .

Technology needs human factor – Richard Rennie:

Kellogg participant and Ballance Agri-Nutrients technical expert Oliver Knowles embarked on his six-month course with the aim of better understanding how farmers take up new technology, particularly precision agri-tech. His work comprised a review of literature on farmer adoption and uptake and a study of applying the findings of that to precision ag technology. He told Richard Rennie about it.

Understanding farmers will help them adopt new technology and develop precision agriculture attitudes, Kellog scholar Oliver Knowles says.

During his study Knowles realised there was more to be uncovered about the make-up of Kiwi farmers.

Early on in his research he quickly came to recognise the conflict farmers almost subconsciously had to deal with when adopting new ideas. . .

LIC: dairying must adapt:

LIC chairman Murray King has warned dairy farmers of the threat of disruption and told them they must keep improving and adapting to the changing world.

New Zealand dairy farmers have a global edge in terms of productivity and profitability, but the industry needs to remain ambitious about keeping that edge against the best in the world.

King was speaking at the farmer-owned co-operative’s annual meeting in Invercargill. . .

Genetically modified wheat used to make coeliac-friendly bread – Michael Le Page:

People forced to avoid gluten could soon have their bread (and cake) and eat it. Now there are strains of wheat that do not produce the forms of gluten that trigger a dangerous immune reaction in as many as 1 in 100 people.

Because the new strains still contain some kinds of gluten, though, the wheat can still be used to bake bread. “It’s regarded as being pretty good, certainly better than anything on the gluten-free shelves,” says Jan Chojecki of PBL-Ventures in the UK, who is working with investors in North America to market products made with this wheat.

Gluten is the general term for all the proteins in wheat and related cereals. During baking, these proteins link up to form elastic chains, which is what holds breads and cakes together as they rise. . .


Rural round-up

October 27, 2016

Fraud exposes Fonterra supply chain – Fran O’Sullivan:

Dairy giant Fonterra is expected to have control of its supply chain in China. But is that reasonable given the extraordinary amount of consumer fraud in that country?

Fonterra has launched an internal probe into the fraudulent sale of 300 tonnes of its bakery products in China that had passed the expiry date.

It is not alone in facing problems with distributors in China. Zespri became engulfed in a double invoicing scam involving one of its distributors. All multinationals face these problems. . . 

NZ EU focus on WTO ag, NTB issues and FTA:

Trade Minister Todd McClay and EU Trade Commissioner Cecilia Malmström have agreed on the importance of working in the World Trade Organisation (WTO) towards reducing non-tariff barriers (NTBs), addressing harmful fisheries subsidies that contribute to over fishing, and reform of domestic support in agriculture.

“Commissioner Malmström and I are committed to progressing these important issues in Geneva as part of preparations for the next WTO Ministerial Conference in 2017,” say Mr McClay.

The discussion took place in Oslo, Norway this weekend in advance of the WTO mini-ministerial meeting. . . 

Taratahi looks to partner with Chinese dairy company – Alexa Cook:

Agricultural training school Taratahi is in talks to partner a Chinese dairy firm.

It has hosted visitors from eight different countries this month, including a group from a Chinese dairy company and veterinarian association.

Taratahi chief executive Arthur Graves said there was demand from all over the world for their agricultural on-farm education model. . . 

Dairy Farmers Attract Au Pairs From Across the Globe:

New Zealand dairy farms are becoming home for many au pairs who are heading across the globe to help rural kiwi families..

Taranaki Dairy Farmers Rachel and Murray Perks have two young children and say they used to struggle with the early starts in the milking shed.

“Now that we have an au pair we can keep our children at home and don’t have to take them to the milking shed,” says Ms Perks.

When German au pair Veronika Burger arrived, life became a whole lot easier. . . 

Coastal farm has lifestyle block and horticultural crop potential:

A large mixed-use coastal farm which commands breath-taking views of the Bay of Plenty and even boasts its own airstrip has been placed on the market for sale.

The 260ha Sybton Farm, at 1402 State Highway 2, Waiotahi, is presently run as a dairy and dry stock beef unit, but it has the potential to be used for horticultural crops or even subdivided into lifestyle blocks or rural residential properties.

The property is well placed to take advantage of the area’s growing popularity with lifestylers looking for a gentle climate, beautiful scenery and an easy pace of life. . . 

Farmers: a different style of leadership – Karen Schwaller:

If there is one skill farmers have honed, it’s being in charge. They’re born leaders.

After all, they choose their crop inputs, map out their field fertility plans, invest in livestock and feed stocks, decide on crop insurance, determine when commodity prices are right, spend the money they need for the equipment to make it all happen, and choose to get up before the roosters each day because there’s a lot to accomplish. Often times, the farmers I know, do not stop until long after the sun has called it a day.

And while they are busy running their farms and helping raise their families, many also decide to become involved in their communities. You’ll find farmers in rural areas involved in all kinds of things-from memberships on the local school board, board of supervisors, elevator board, electric cooperative board, corn and soybean associations, and even being 4-H leaders and friends of the local FFA. . . 

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Long hours. Calloused hands. Dirty clothes. Wouldn’t trade it for the world. – Pink Tractor.com


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