Rural round-up

April 11, 2019

Dairy loses gloss – Neal Wallace:

Political and banking uncertainty appears to be taking some of the gloss off the dairy industry with just seven farms in Southland and Canterbury selling in the last six months.

From October to the middle of March just two dairy farms in Canterbury and five in Southland were sold but a broader lack of buyer confidence has eased national dairy land prices by up to 15%.

Real Estate Institute spokesman Brian Peacocke says a perfect storm has taken the wind out of the sector’s sails but he notes activity has started to pick up.

Rules governing the sale of land to foreign buyers have been tightened, banks are viewing lending to dairying less favourably, tax changes are possible, the introduction of environmental taxes and regulations are expected and borrowing costs . . .

Dire worker shortage in orchards – Richard Rennie:

Hawke’s Bay and Bay of Plenty orchardists are grappling again with a seasonal labour shortage, with a shortfall of thousands of workers expected as kiwifruit and apple harvests reach their peak.

The shortage has horticultural heads exasperated at the need for greater understanding from the Government of how dire the situation has become.

The Social Development Ministry declared a seasonal labour shortage for kiwifruit early this month and extended the already declared labour shortage hitting Hawke’s Bay. 

Shortfalls in staff numbers have increased over last year’s with Bay of Plenty’s deficit of 1400 likely to push 3800 at the mid-April harvest peak. Last year the region was short by 1200 staff at this stage of harvest.  . . 

Fruit rotting, workers suffering amid Hawke’s Bay labour shortage

Fruit is rotting on the ground in Hawke’s Bay amid a massive worker shortage and orchardists warn that overworked pickers are suffering more accidents.

The official labour shortage first declared for Hawke’s Bay six weeks ago – with 192 tourists granted approval to work in orchards – expired on Friday.

It was immediately extended, but growers say it’s too little too late.

Phil Paynter from Johnny Appleseed Holdings had to say goodbye to 22 hard-working pickers last week and says that with a little more warning, he could have kept them. . . 

Guy Trafford looks at two current on-farm issues, pointing to some recent relevant history for controlling feral goats, and to the battle of the science over glyphosate – GUy Trafford:

Some farmers are feeling let down by government after the recommendations from the select committee on military-styled weapons have been announced.

The particular piece that they are at odds with is that only .22 calibre rifles (or less) are allowed to be semi-automatic and with a magazine capable of holding 10 shells or less. Any larger calibre rifles are only to be used by licensed contractors.

To be fair to the government, from my recollection, at no point did they indicate that higher calibre semi-automatic rifles would be allowed, and it would have been incredibly naive to think otherwise. The only animals needing these weapons are likely to be goats with possums and rabbits quite able to be culled by .22 or shot guns . . 

Comvita to take full control of China JV – Rebecca Howard:

 (BusinessDesk) – Honey company Comvita has entered a conditional agreement to acquire the remaining 49 percent of its China joint venture, Comvita Food and Comvita China, for about $20 million.

Comvita will acquire the JV by issuing 4.05 million new Comvita ordinary shares at $4.35 per share and an additional cash payment of $3.19 million. The acquisition will be earnings accretive immediately on a per share basis, it said.

“This completes the ‘final piece of the jigsaw’ with respect to our China Strategy, which we have been working on for a number of years,” chief executive Scott Coulter said. . . 

Students inspired by agricultural science at UWA Future Farm:

Breaking the city-country divide, Year 12 Geography students from Penrhos College recently had their third annual field day at The University of Western Australia’s Ridgefield Farm in Pingelly.

The UWA Ridgefield Farm is home to the Future Farm 2050 project, which facilitates multidisciplinary research and development of sustainable and economically viable farms at local, national and international levels.

Professor Phil Vercoe from The UWA School of Agriculture and Environment and The UWA Institute of Agriculture introduced the students to the Enrich project, which was part of the Future Farm Industries Cooperative Research Centre (CRC) investigating the benefits of planting native perennial shrubs as livestock feed. . .


Rural round-up

November 25, 2018

Love of cattle leads to stud – Fritha Tagg :

Determined 14-year-old Waikato girl Tayla Hansen who is putting her stamp on the Speckle Park beef breed is quite possibly once of the youngest stud owners in the land.

Hansen, who lives with her mum Brenda, dad Andrew and siblings Cooper, 12, Alexis, 9, and Mitchell, 7, on a small lifestyle block at Orini near Huntly is the proud owner of Limited Edition Speckle Park stud.

As a young girl attending a country school she always had a calf for calf club but had to give them back to the farmer. She wanted a calf of her own that she could keep.  . . 

Science and complexity a great challenge – Barbara Gilham:

Creating the perfect cow for New Zealand herds is at the heart of LIC’s work. Barbara Gilham reports.

THERE are three things Wayne McNee looks for in a job – complexity, challenges and science.

As the chief executive of Livestock Improvement Corporation (LIC) he is in charge of overseeing the nation’s herds and their reproductive performance so deals with all three daily.

Add to that about 700 staff throughout New Zealand, increasing to 2500 during the peak dairy breeding season and LIC’s offices in Britain, Ireland, Australia and the United States and agents in South America and South Africa and he has plenty to keep him occupied. . . 

Meet DairyNZ’s biosecurity team:

Diversity and reach come to mind when talking about DairyNZ’s biosecurity team, as each member comes from a different background and works with many others from DairyNZ and beyond. We put our biosecurity senior adviser Dave Hodges under the spotlight.

What does your team do and why?

There are four people in our team: Liz Shackleton started as biosecurity manager last month, based in Wellington, while Nita Harding and I are in Hamilton, and Katherine DeWitt is in Invercargill.

We work across science, policy and farmer engagement, focusing on insect pests, weeds and diseases and preventing new organisms getting into New Zealand. We talk directly with farmers and work with (and are supported by) DairyNZ staff across the business, plus others in the sector and elsewhere. . . 

Large scale mānuka investment a first for New Zealand:

Comvita has partnered with rural investment company MyFarm to offer New Zealanders the opportunity to own mānuka plantations for honey production.

MyFarm chief executive Andrew Watters said the collaboration was the first large scale mānuka investment of its kind in New Zealand and signalled a new era for North Island hill country profitability for specific locations.

“This partnership and investment opportunity ticks all the boxes. It will increase export returns from high value mānuka honey and generate excellent returns for investors. From an environmental perspective, we are storing carbon, reducing soil sediment loss and improving biodiversity. We don’t foresee a more green investment than this.” . . 

Achieving target weights in hoggets:

Veterinarians and farmers working together to improve stock performance must emphasise two aspects of hogget growth, say the authors of a guidebook published by Massey University Press.

These are, firstly, regular recording of bodyweight from weaning to first mating; and secondly, the monitoring of animal health and feed requirements.

Guessing the thrift and weight of ewe lambs and hoggets is not reliable; many a farmer who claims to have a ‘good eye’ for stock has been astonished when confronted with ‘hard data’ of weighed sheep. . . 

Red meat’s structure “a burning platform” – Shan Goodwin:

THE possibility the way the red meat industry is set up and run could be driving division between sectors of the supply chain is what has fuelled a review of the document that governs it, the Memorandum of Understanding.

In a rare and comprehensive insight into what is behind the forming of a high calibre taskforce to pick through the structure and operations of the industry, the man at the helm of industry umbrella body the Red Meat Advisory Council has spoken candidly about how resources and investment levels are perhaps being constrained.

Don Mackay says it is supply chains that produce food for customers, not farmers or processors operating in isolation. . . 


Rural round-up

August 23, 2018

Calf rearer changes tactics after Mycoplasma bovis battle – Heather Chalmers:

Farmers who believe they can live with Mycoplasma bovis need to think again, say a Southland couple who are finally clear after eight months battling the bacterial cattle disease. 

Lumsden couple Ben Walling and Sarah Flintoft are now “gun-shy” of returning to their calf rearing business, knowing the risks involved. 

They had bought 1600 calves to rear last spring before being “clobbered” with M. bovis. Their farm was confirmed clear of infection by the Ministry for Primary Industries (MPI) in early August.  . . 

New research into animals that give off less nitrogen:

New research may hold the key to lowering our emissions, by breeding animals that naturally excrete less nitrogen.

Utilising the genes of animals that produce less nitrogen could provide farmers with a breakthrough in managing on-farm greenhouse gas emissions.

Two research projects are currently looking to see if there’s a link between the nitrogen content of milk and animal emissions and whether it’s possible to identify and then replicate genes in animals that might control how much nitrogen an animal gives off. . . 

A2 Milk shares rise 4.4% as company doubles down on US, Asia – Sophie Boot:

 (BusinessDesk) – A2 Milk’s shares rose 4.4 percent following the milk marketer’s annual results this morning, but are still well off record highs seen earlier this year.

The company more than doubled net profit to $195.7 million in the June 2018 year, as it widened margins and increased infant formula sales. Revenue rose 68 percent to $922.7 million and earnings before interest, tax, deprecation and amortisation also more than doubled to $283 million. A2 already gave that revenue figure last month, just beating its $900 million-to-$920 million forecast from May, and at the time said ebitda was about 30 percent of sales, implying a figure around $277 million. . .

Milking it: I spent a day on the farm and my nose may never recover – Anuja Nadkarni:

NZ is known for its dairy products, and is home to one of the biggest dairy companies in the world. In this Stuff special investigation, we examine how the price of milk is set and explore the industry behind our liquid asset.

I milked two cows last week.

A bog standard Auckland millennial, milked two cows in my jeans, puffer and rubber boots on a dairy farm.

Being the typical city slicker I am, for a moment I arrogantly thought to myself, “yeah, I could do this”.

Could I though? . . 

Sheepmeat and beef levies to increase:

Beef + Lamb New Zealand’s (B+LNZ) Board has decided to proceed with the proposed increase in the sheepmeat and beef levies following significant support from farmers.

From 1 October 2018 the levy for sheepmeat will increase 10 cents to 70 cents per head and the beef levy by 80 cents to $5.20 per head. This is 0.4 per cent of the average slaughter value for prime steer/heifer, 0.7 per cent cull dairy cow, 0.7 per cent of lamb, and 1.1 per cent of mutton over the last three years.

The additional levies will be invested in accelerating four key programmes: the international activation of the Taste Pure Nature origin brand and the Red Meat Story, helping the sector lift its environmental performance and reputation, telling the farmer story better, and strengthening B+LNZ’s capability to address biosecurity risks. . .

Comvita hones focus on biggest growth drivers as it seeks to bolster profits – Tina Morrison:

(BusinessDesk) – Comvita, New Zealand’s largest producer and marketer of honey and bee-related products, is reducing its risk and positioning itself for future growth by honing in on where it can get the most bang for its buck.

The company’s shares are the worst performer on the benchmark index this year after earnings were hurt by two consecutive years of poor honey harvests. Its honey supply business lost $6.2 million in operating profit in its 2018 financial year and $6.6 million in the 2017 year. . . 

Guy Trafford looks at what the future might hold for Lincoln University, and how consumer perceptions might change feedlot operations – Guy Trafford:

Lincoln University staff were called to a briefing on Tuesday this week from Chancellor Steve Smith and Acting Vice Chancellor Professor James McWha on what the future holds for the University.

For several years rumours and stories have been doing the rounds regarding Lincoln not helped by the issues surrounding the recently appointed and then moved-on Vice Chancellors.

The crux of the announcement revolved around the fact that Lincoln had signed a memorandum of understanding with University of Canterbury to form a joint future together. Considerable effort was spent reassuring staff that, whatever the future holds, Lincoln will retain its brand and culture and its autonomy to operate its multidiscipline programmes with their land-based programmes. . . 

Farmers protest California water plan aimed to save salmon :

Hundreds of California farmers rallied at the Capitol on Monday to protest state water officials’ proposal to increase water flows in a major California river, a move state and federal politicians called an overreach of power that would mean less water for farms in the Central Valley.

“If they vote to take our water, this does not end there,” said Republican state Sen. Anthony Cannella. “We will be in court for 100 years.”

Environmentalists and fishermen offered a different take on the other side of the Capitol to a much smaller audience. . . 

 


Rural round-up

August 2, 2018

Farmers seek off-farm income to counter rising costs – Heather Chalmers:

A farming leader says it is no surprise that farms are increasingly reliant on off-farm income.  

A Lincoln University survey has shown just over a quarter of farms obtained 30 per cent or more of their income from off-farm sources.

Farmers were struggling to keep up with the mainly inflation-caused price squeeze, the survey found. But the authors said some families found the rural lifestyle compensated for tight finances. . .

Dairy farm effluent compliance in Tasman District coming up roses – Cherie Sivignon:

Tasman district deputy mayor Tim King says the result of the 2017-18 dairy farm effluent compliance survey is a “good story all round”.

It revealed 90 of the 96 farms inspected were fully compliant for effluent management. The other six, graded non-compliant, comprised five with minor ponding and one that failed to adhere to setback rules.

In a report on the matter, council compliance and investigation officer Kat Bunting says all six instances of non-compliance were considered a minor breach of the rules that resulted in “no adverse environmental effect”.

Formal written warnings with directions for improvements were sent to those six farms and return visits found full and continued compliance. . .

Rabobank Global Dairy Top 20 – A Shuffling of the deck chairs:

Dairy price recovery in 2017 has positively affected the combined turnover of the top 20 global dairy companies, which, in 2017, was up 7.2% on the year in US dollar terms and 5.1% in euro terms, according to RaboResearch’s latest Global Dairy Top 20 – A Shuffling of the Deck Chairs report.

“For the second consecutive year, there were no new entrants to the Dairy Top 20 list, with the USD 5bn threshold difficult to achieve due to a scarcity of large acquisitions or mergers.” says Peter Paul Coppes, Senior Analyst – Dairy. “However, while the names have remained the same, the order shifted in 2017.” . . 

UK’s Daily Mail urges Theresa May to listen to Kiwi trade expert– Point of Order:

Brits who may be despairing at the lack of progress on Brexit, as Britain’s political class trade blows and the process becomes bogged down in politicking, have been told “there is a small corner of a government department that they can turn to for cheer”.

This is the office of New Zealand’s Crawford Falconer, Chief Trade Negotiation Adviser at the Department of International Trade, described by the Daily Mail as

“… a man of immense experience in such matters. And, in contrast to the doomsayers, his message about Brexit is one of almost unbounded optimism.”

 The article goes on to say: . .

Comvita touted as potential bidder for Manuka Health company – Tina Morrison:

(BusinessDesk) – Comvita, the NZX-listed manuka honey company, declined to comment on whether it is interested in making a bid for honey company Manuka Health New Zealand which has reportedly been put up for sale by its Australian owner Pacific Equity Partners.

The Australian newspaper suggested Comvita or its largest shareholder China Resources Ng Fung as possible buyers of Manuka Health, which was put on the market about six weeks ago for more than A$200 million by PEP and advisers Luminis Partners. Manuka Health was reportedly sold to the Australian private equity firm in 2015 for $110 million. . .

 

Inter-club challenge still going strong:

The last hurrah for the Canterbury dog trial season, the annual Inter-Club Challenge, was held at Waihi Station, home to the Geraldine Collie Club, on July 1.

The day turned from a ”rugged-up” winter’s morning to a balmy northwest afternoon.

The Canterbury Centre is one of the largest centres in New Zealand,comprising 18 club trials stretching from Cheviot in the north to Mackenzie in the east and Levels (Timaru area) in the south, encompassing all areas in between.

In its 25th year of competition, the trial attracted a strong gallery of spectators and team supporters from throughout the province, testament to the strength and popularity of the sport. . .

Strong interest expected with vacant governance roles on Ballance board:

 A “genuine and rare governance opportunity” has opened up with one of New Zealand’s industry-leading rural co-operatives with Ballance Agri-Nutrients announcing that two farmer-elected directors will be stepping down from its Board this year.

Ballance shareholders are currently being notified of the vacancies created by the decisions of Gray Baldwin not to seek re-election, and Donna Smit who is standing down in the North Island Ward (N). Murray Taggart is retiring by rotation (as required under the Co-operative’s Constitution) and seeking re-election in the South Island Ward (S). . .

MyFarm launches $17.6m Hop Garden investment

MyFarm has launched a $17.64 million investment into what will become New Zealand’s largest hop garden.

The opportunity to invest in Tapawera Hop Garden Limited Partnership includes the purchase of a 96-hectare property and the lease of a second 50-hectare property which will be developed into a 116 canopy (effective) hectare garden. Half of the garden will be planted this spring alongside other development such as building hop picking and drying facilities and worker accommodation. . . 


Rural round-up

June 22, 2018

Chinese eggs not all in one basket – Fonterra – Sudesh Kissun:

China’s digital world is second to none, but Fonterra isn’t putting all its eggs in one basket in selling fresh and packaged food.

Fonterra chief operating officer global consumer and foodservice Lukas Paravacini says the co-op is embracing e-commerce and traditional brick-and-mortar as its sales strategy.

Speaking at a recent New Zealand China Business Council conference in Auckland, Paravacini outlined lessons Fonterra has learned over the last five years while building a $3.4 billion business in China. . .

Communication seen as key in eradication – Sally Rae:

A Mycoplasma bovis-affected farmer’s heartfelt plea for communication brought a round of applause at a meeting in North Otago yesterday.

About 100 people attended the MPI roadshow at Papakaio, including Waimate farmer Martyn Jensen, who described himself as “farm No39 infected”.

He addressed the meeting reluctantly, as a dairy support farmer who was grazing heifers for a farmer whose herd was confirmed with having M. bovis.

In April, the farmer contacted Mr Jensen to tell him of the infection and, several weeks later, he was contacted by MPI.

What made it harder was they were “perfectly good” heifers and there had not been one clinical sign of the disease. . . 

‘M. bovis’ concerns aired at MPI meeting – Tom Kitchin:

Government officials say they are doing all they can to eradicate Mycoplasma bovis but there are still major concerns from farmers in the Central Otago region.

About 80 people attended a meeting held by the Ministry for Primary Industries in Alexandra yesterday.

A woman in the audience said she thought the ministry was “struggling”. . .  . . 

Rabbits not dying like flies – Nigel Malthus:

Scientists say although the new rabbit calicivirus is working as expected, farmers are not seeing the knockdown they may have hoped for.

The new strain of rabbit haemorrhagic virus disease, RHDV1-K5, was released several weeks ago at 150 sites.

Manaaki Whenua (Landcare Research) has monitored release sites since then. . .

Comvita buys 20% stake in Uruguay’s Apiter for US$6.25M to secure propolis supplies – Jonathan Underhill

(BusinessDesk) – Comvita said it has acquired 20 percent of Uruguay’s Apiter for US$6.25 million and signed a long-term supply agreement to secure another source of propolis for sales into Asia.

The purchase price is comprised of US$5.65 million in cash and milestone earnouts and US$600,000 of Comvita shares, with settlement due on July 2, Te Puke-based Comvita said in a statement. Propolis is made by bees from plant resins to protect and sterilise their hives. . .

New Zealand’s ultimate steak connoisseur judging experience:

We found New Zealand’s Ultimate Steak Connoisseur, Gretchen Binns and brought her along to help determine the country’s tastiest and most tender steak at the PGG Wrightson Steak of Origin competition. Here is her experience of the day:

Foul weather, farmers, red bands galore, Field days 2018!

The ultimate day of all days…well it was for this steak connoisseur.  And no doubt for a nervous farmer or three whose paddock to plate skills were being put to the ‘taste’.

PGG Wrightson/Beef and Lamb NZ’s Steak of Origin finals time. . .

Steady volume at end of season:

Data released today by the Real Estate Institute of NZ (REINZ) shows there were 71 fewer farm sales (-13.8%) for the three months ended May 2018 than for the three months ended May 2017. Overall, there were 443 farm sales in the three months ended May 2018, compared to 418 farm sales for the three months ended April 2018 (+6.0%), and 514 farm sales for the three months ended May 2017. 1,453 farms were sold in the year to May 2018, 18.8% fewer than were sold in the year to May 2017, with 4.0% more finishing farms, 1.7% fewer dairy farms, 36.3% fewer grazing and 34.3% fewer arable farms sold over the same period.

The median price per hectare for all farms sold in the three months to May 2018 was $26,219 compared to $27,212 recorded for three months ended May 2017 (-3.6%). The median price per hectare fell 4.0% compared to April. . .

 Get out of farmers’ way: In the end government interventions end up sustaining, not reducing, rural poverty – Sanjeev Sabhlok

While most other sectors were liberalised in 1991, agriculture was not. Indian farmers arguably remain among the most unfree in the world.

Some claim India won’t be able to feed itself without the government playing a hands-on role in agriculture. But countries like New Zealand and Australia with liberalised agriculture have become more productive. Each Australian farmer produces enough to feed 600 people, 150 at home and 450 overseas. Liberalisation of agriculture in 1991 in India could well have made us a middle-income nation by now. Instead, our small farmers remain under chronic stress.

Another argument, sometimes made, is that farmers are frequently seen to agitate for government support. That’s not necessarily true. Farmer organisations like the Kisan Coordination Committee and Shetkari Sangathana have for decades opposed government intervention in agriculture. After their leader Sharad Joshi passed away in 2015, new leaders like Anil Ghanwat have vigorously argued for the government to leave farmers alone. . .


Rural round-up

March 3, 2018

Hauraki Plains dairy farmer elected to oversee the creation of Auckland educational farm:

A respected Hauraki Plains dairy farmer will lead the board overseeing the development of a new educational farm in Auckland.

Julie Pirie has been elected to chair the five-member Donald Pearson Farm Board.

The 74-hectare dairy farm in South Auckland was gifted to NZ Young Farmers by the late Donald Pearson last year. . . 

Slim pickings: Worker shortage leaves apple farms frantic – Anusha Bradley:

Apple growers in Hawke’s Bay are preparing to work around the clock to cope with what’s being described as an extreme shortage of seasonal workers.

Orchardists said they have less have than half the workers they need, and despite a recruitment campaign, are failing to attract the usual hordes of backpackers they rely on.

Hastings-based Bostock is the largest producer of organic apples in the country.

Bostock human resources manager Vikki Garrett said usually they’d hire about a 100 or so backpackers, but had only managed to recruit 10. . . 

Bug’s impact on horticulture devastating, report says:

An economic report, released today, says if the brown marmorated stink bug (BMSB) establishes in New Zealand it would dramatically impact New Zealand’s gross domestic product (GDP) as well as export revenues from horticulture.

Prepared by the New Zealand Institute of Economic Research (NZIER), Quantifying the economic impacts of a Brown Marmorated Stink Bug incursion in New Zealand, shows GDP falling between $1.8 billion and $3.6 billion by 2038, and horticulture export value falling between $2 billion and $4.2 billion by 2038. . . 

Agriculture exporters meet to discuss issues:

Key stakeholders in the agro-export market today gathered to discuss possible solutions to address pertinent issues faced by exporters in the export pathways.

While officially opening the Agriculture Exporters Symposium at the Tanoa Plaza Hotel this morning, Permanent Secretary for Agriculture, Mr. David Kolitagane said the objective of the workshop was to address constraints in the agro-export pathway as the impact of the contribution of agricultural exporters was integral to economic development.

“The rationale for organizing today’s symposium is to address constraints in the export pathway, collate information and make appropriate and . . .

Farmers left in limbo as Mycoplasma Bovis takes hold:

With just one month to go until a decision will be made, farmers will understandably be left confused and anxious about whether the Government is going to eradicate the crippling cattle disease Mycoplasma Bovis, National’s Primary Industries spokesperson Nathan Guy says.

Ministry for Primary Industries (MPI) officials appeared before the Primary Productions Select Committee at Parliament this morning to answer questions about how the Government plans to contain the spread, compensate farmers for their losses and ultimately to eradicate it. . . 

Tractors lead agricultural imports:

Tractor imports have remained at high levels in January 2018, continuing the trend for the last year, Stats NZ said today.

The value of imported tractors rose $27 million (191 percent) in January 2018 from January 2017. For the year ended January 2018, values were up 51 percent compared with the January 2017 year.

“Imports of tractors can be an indicator of confidence in the agriculture industry,” international statistics manager Tehseen Islam said. “The last time we imported this many tractors was in 2014 when dairy prices were at their peak.” . . 

Deborah Marris joins Synlait leadership team:

Synlait will welcome Deborah Marris to the Executive Leadership Team in the role of General Counsel and Head of Commercial on Monday 5 March.

“Deborah’s outstanding legal and commercial background makes her the perfect person to join our team. Our rapid growth requires strong leadership in this area and Deborah has the skills, foresight and international experience to support us well,” says John Penno, Managing Director and CEO.

Ms Marris’ role will encompass legal affairs, risk, corporate governance, insurance and commercial matters, including customer and supplier contractual relationships. . . 

NZ King Salmon sees weaker second half on hot summer; 1st-half profit soars 81% – Jonathan Underhill:

(BusinessDesk) – New Zealand King Salmon says the “extraordinarily hot summer” has cut survival rates at its fish farms in the Marlborough Sounds and it expects weaker second-half earnings after profit in the first half soared 81 percent.

Profit rose to $15.7 million in the six months ended Dec. 31 from $8.7 million a year earlier, the company said in a statement. Sales climbed to $87.7 million from $63.6 million. . . 

Seeka annual profit falls 44% on lower kiwifruit volumes, impaired banana business – Paul McBeth:

(BusinessDesk) – Seeka posted a 44 percent decline in annual profit as Australasia’s biggest kiwifruit grower booked a $2 million charge on its banana sourcing unit while managing a decline in kiwifruit volumes.

Net profit fell to $5.8 million, or 34 cents per share in calendar 2017, from $10.4 million, or 62 cents a year earlier, the Te Puke-based company said in a statement. The year-earlier figure was bolstered by a $3.1 million gain on an insurance payment. Revenue fell 2 percent to $186.8 million. . .

Comvita swings to first-half profit, reiterates full-year guidance – Rebecca Howard:

(BusinessDesk) – Comvita, the mānuka honey company, swung to a first-half profit on strong sales growth and a recovery in the “grey” or informal sales channel into China and reiterated its full-year earnings guidance despite bad weather hitting the 2018 honey season.

The Te Puke-based company reported a net profit of $3.7 million, or 8.31 cents per share, in the six months to Dec. 31 versus a loss of $7.1 million, or 17.18 cents, in the prior period. In January the company said net profit would be more than $3 million. Sales reached $83.6 million versus $57.7 million in the prior year. Earnings before interest, tax, depreciation and amortisation were $9.9 million versus an ebitda loss of $2.8 million in the same period a year earlier. . . 


Rural round-up

February 17, 2018

Disease has two hubs – Annette Scott:

Cattle disease Mycoplasma bovis has been in New Zealand for at least two years and is spread wider than first thought, Southland veterinary clinic Vet South says while Biosecurity Minister Damien O’Connor says there are now two infection hubs.

The Winton practice sent an email to clients on Thursday urging people whose stock or properties might have been linked to Southern Centre Dairies to come forward.

Southern Centre Dairies, the hub of infected properties in Southland, is owned by Gea and Alfons Zeestraten.

Vet South director veterinarian Georgette Wouda said Ministry for Primary Industries surveillance work indicated the disease was limited to a relatively small group of farms but more needed to be known.

“Down in our region all of the infected properties to date have links with Alfons Zeestraten’s farms. . .

Lamb and wool marketers confident – Sally Rae:

Farmers visiting Alliance Group’s tent at the Southern Field Days had mostly one burning question — how long could lamb prices be sustained.

And the response? “We feel market fundamentals around the world give us some confidence,” chairman Murray Taggart said.

The North Canterbury farmer acknowledged that his position was a “bit easier” than what it was when he first took on the role.

The mood among farmers was “pretty positive” and, despite climatic conditions, he was “really chuffed” with market prices.

“You’ve done a bloody good job,” a long-time shareholder told Mr Taggart on the way past, but Mr Taggart said the company was not resting on its laurels. . . 

Momentum grows in understanding of farming, farmers – Sally Rae:

Federated Farmers national president Katie Milne believes there is real momentum building for farming — “and in the right way”.

The straight-talking West Coast dairy farmer — who last year broke a 118-year history of male leadership of the rural lobby organisation — has been at the Southern Field Days in Waimumu this week.

Joking that she had left her partner unsupervised around the many machinery sites, she helped a Federated Farmers team to victory over FMG in a tug-o-war competition.

Ms Milne, who is known for her down-to-earth and no-nonsense approach,  said the leadership role was “really exciting” and it was a privilege to be a voice for farmers. While she knew it was a big job, it had surprised her the places that she ended up and the people she had met.

It had been somewhat of a baptism by fire, with the general election  being held straight after she came into the role. . . 

Honey season better but patchy – Richard Rennie:

With parts of Northland and Bay of Plenty grappling with major rainfall while parts of Taranaki and Otago remain parched, honey producers are reporting mixed results for the season’s honey collection.

Comvita, one of the country’s largest honey producers, has already informed investors this season has been a successful one, largely thanks to more favourable conditions in December and January. 

However, severe weather in early January hit Northland and Waikato hard at a critical flowering period, pushing yields down towards a more average season.

Comvita chief executive Scott Coulter told investors if the above-normal temperatures remain for the rest of this summer, Wairarapa, Whanganui, East Coast and Hawke’s Bay are expected to have an above average season. . . 

Big toy has price tag to match – Sally Rae:

If you’ve got a spare $625,000 sitting in the wallet, then a Fendt 1050 tractor could be just the ticket.

The world’s largest conventional tractor was attracting plenty of interest at JJ Ltd’s site at the Southern Field Days.

There are only three of the 500hp tractors — described by JJ’s staff as being in a “class of its own” — in New Zealand, two demonstrator models and one that had been bought by a North Island contractor. . . 

NZ Well Positioned to be global player in alternative protein market – producer:

Eco conscious millennial consumers are reshaping demand for alternative sources of protein according to the country’s largest manufacturer of vegetarian foods.

Mark Roper spokesperson for Life Health Foods – which makes plant based Bean Supreme and recently launched Alternative Meat Co. products, says growing concern for the environment is leading this demographic to seek out other options to integrate into their diet.

A nationwide survey commissioned by the company has found that millennials aged 18-34 are the most likely demographic to adopt a mostly meat-free lifestyle in the next decade. . . 


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