Rural round-up

March 8, 2020

No need to destroy the perfect way of farming – Lone Sorensen:

Why are we accusing farming and in particularly dairy farming for being the cause, at least here in NZ, for global warming?

Would it by any chance be because it is a lot easier finding a scapegoat to blame everything on than actually cleaning up one’s own back yard first.

The atmosphere now contains 409 parts per million (ppm) of carbon dioxide (CO₂), when it is claimed that it can only cope with 350 ppm without a change in climate. The reason for this is that for the last 200 years, or since the industrial revolution, we have overused the earth’s resources of fossil fuels and by industrialising our farming methods also the humus in the soil: basically an overuse of stored carbon in the ground which we have turned in to CO₂, and methane. All this has made our life as humans more comfortable, but it has come at a cost.  . .

Biosecurity cost blowout for councils – Gerald Piddock:

Federated Farmers is warning rural district councils could face cost blowouts in meeting the requirements of the Government’s National Policy Statement for Indigenous Biodiversity.

Councils will have to map all land classified as a significant natural area in five years.

They already have to protect and map those areas in district plans and many have already done so. 

However, the new policy changes the criteria of for those areas, meaning some councils might have to redo their mapping, Federated Farmers regional policy analyst Paul Le Miere told about 20 farmers at a meeting in Te Awamutu. . .

Award for irrigation innovation :

Farmers leading the way in responsible irrigation could win a trip to America.

Encouraging farmers to share their ideas for sustainable water management has motivated the launch of an award by agricultural irrigation systems company Zimmatic.

The Zimmatic Trailblazer Sustainable Irrigation Awards aim to celebrate excellence in sustainable irrigation. recognising farmers leading the way in responsible irrigation, innovative water management and environmental stewardship. . . 

Being a good boss:

If you’re a dairy farmer reading this, then ask yourself, are you a good boss?

Do you value your workers and is their wellbeing your priority? 

Most farmers are good employers and to celebrate this, industry stakeholders have launched the Good Boss campaign.

A sector-wide initiative by Federated Farmers, DairyNZ, Dairy Women’s Network and NZ Young Farmers it was launched last month . . 

M Bovis research to look at milk yield impact– Maja Burry:

The Ministry for Primary Industries is commissioning new research into the impacts of Mycoplasma bovis on cattle in New Zealand.

Scientists at Massey University would undertake the one- to two-year study, where they would look at the symptoms of the cattle disease, the effects on milk yield and composition and the duration of these effects.

MPI chief science advisor John Roche said the work would help accelerate eradication of the disease from New Zealand farms and minimise the negative impacts. . .

 

Red meat exports reach more than $870 million in January as sector demonstrates resilience:

New Zealand exported red meat and co-products worth $873.2 million in January 2020, an increase of 26 per cent compared to January 2019, according to an analysis by the Meat Industry Association (MIA).

Despite global market instability as a result of the Coronavirus, the market prices achieved in January were still stronger than the same month last year. The value of beef exports was up by 50 per cent sheepmeat was up by 18 per cent and co-products were up two per cent.

While the average value of sheepmeat exports to China declined from $8.87/kg in December 2019 to $7.63/kg in January, it was still significantly higher than in January 2019 ($6.57/kg). . . 

Whenua Ora Tangata Ora partnership leads the way forward in regenerative agriculture:

An initiative targeted at establishing and supporting a critical mass of New Zealand landowners to use regenerative farming practices was launched today.

Whenua Ora Tangata Ora is a joint partnership between FOMA Innovation, the science and technology arm of the Federation of Māori Authorities (FOMA); Soil Connection, biological farming and soil health experts; and Toha, an environmental impact platform that recently launched Calm The Farm to support farmers to reduce their environmental and climate impacts while improving financial resilience.

“Transforming ‘industrial farming’ practices in Aotearoa through regenerative agriculture to reflect true kaitiakitanga (guardianship) is the way of the future,” says FOMA Innovation lead representative, Te Horipo Karaitiana. . .


TPPA true & false

February 4, 2016

The National Party has a webpage giving the facts and refuting the myths on the Trans Pacific Partnership Agreement (TPPA) which is being signed in Auckland today.

Don’t believe that?

Chapman Tripp says:

The TPP began life modestly as an initiative between New Zealand and Singapore, but the ambition was that it would evolve into a trans-Pacific agreement.  The first recruits were Chile and Brunei and the net has subsequently extended to Australia, the United States, Canada, Japan, Malaysia, Mexico, Peru and Vietnam.

New Zealand now finds itself in the vanguard of the new wave of economic globalisation.  This is a coincidence of the worldwide focus on FTAs to further integrate economies, the prominence of Asia, and the United States’ and Japan’s renewed interest in the Pacific Rim. 

Some find this uncomfortable.  Many, including the protesters at Seattle, found the birth of the WTO in 1994 similarly uncomfortable.

Difficult as change can be, this is an opportunity which will not come again.  In its final form, the TPP is the biggest free trade deal in a generation and will establish the architecture of Asia Pacific trading relationships for decades to come.  . . 

and concludes

. . . Labour’s frustration is understandable.  The TPP does not appear to include the specific reservation of rights Labour wanted.  New Zealand negotiators could perhaps have sought a more nuanced provision, such as appears in the NZ-Korea FTA, which arguably preserves some scope to expand the OIA screening regime.  It is hard to see that the more absolute language in the relevant TPP annex was a deal breaker for other negotiating parties. 

Negotiating parties tend not to publicly announce their bottom lines in advance to avoid painting themselves into a corner, as Labour has effectively done.  One cannot, of course, sensibly weigh up the overall merits or demerits of a 6000 page 12 party agreement by looking only at one provision.  To attempt this is to miss the wood for the trees. 

None of the signatory countries will be perfectly satisfied with the deal.  Each will have a particular clause or clauses that they would prefer were not there.  The US Republican Senator, Orrin Hatch, for instance is chagrined that the IP chapter grants only five, and not eight, years’ protection to biologics. 

But if support for the deal was premised on perfection, then it would go the way of the Doha Round.  It is no coincidence that TPP opponents play the single issue game.  Conflating whether one gets everything one wants, and whether the deal is acceptable overall, is a classic black hat strategy. 

The art of negotiating involves being able to push hard for one’s positions, then to stand back and work out whether (even if one did not get all one wanted) the deal on the table is better than no deal at all. 

Here, the question is even more stark.  Would New Zealand be better off inside, or outside, the tent?  MFAT’s national interest analysis reaches a firm conclusion, having weighed everything up over 276 pages.  It is respectfully suggested that this conclusion deserves to be afforded more weight than anyone’s position based on a single issue.

Those last two paragraphs nail it.

The deal isn’t perfect but it is better than no deal at all and New Zealand is better inside the tent than outside it.

The usual nonsense at Waitangi purports to be about the TPPA threatening the Treaty but the Federation of Maori Authorities is cautiously supportive:

. . .Chair Traci Houpapa said there were benefits and opportunities for Māori and all New Zealanders.

“We’ve analysed those documents ourselves and while we have a level of comfort we agree with the 12 month consultation process that the signing on the 4th of February triggers.”

Ms Houpapa said the removal of some or most tariffs for exporters would have financial benefits for the federation’s regional members.

“Māori have a predominate footprint in primary sector industries, we are land, water or sea based so our exporters have obvious benefits if the removal of tariffs are in place and TPP provides for that.”

FOMA is happy with the provisions within the agreement that acknowledge the Treaty of Waitangi, which say it must be enshrined, but FOMA recognises further analysis of what that means is required. . . 

“We recognise TPP is a complex trade arrangement which requires time to fully digest and understand. Our members support the trade benefits and want assurance that our national sovereignty and Treaty partnership are maintained. We welcome proper engagement with government and our members on this important matter,” said Ms Houpapa.

Proper engagement will achieve what all the protests prefaced on political agendas won’t.

Charles Finny says the TPPA deserves praise from Maori:

I believe that rather than being inadequate in its protections for Maori, TPP is if anything a taonga in the way it protects the rights of the New Zealand Government to discriminate in favour of Maori. This in turn, I think, adds enormous mana to Maori.

I feel Maori are being poorly advised from some quarters and it is essential that ministers and government officials spend even more time explaining the protections for Maori in the agreement and the trade benefits that will flow to Maori from it. These benefits are substantial.

TPP is an agreement between 12 countries. Pretty much all the 12 jurisdictions are home to indigenous minorities – for example, the First Peoples of the United States, Canada, Mexico, Peru, Chile, the Aboriginal people in Australia, the Malays in Singapore and Malaysia, and the Ainu in Japan.

Yet none of these peoples is mentioned in the main text of the deal and none of their Governments has secured agreement from the other members that they should be allowed to discriminate in favour of them.

In contrast Maori are mentioned, as is the Treaty of Waitangi. Article 29.6 of TPP is actually titled “Treaty of Waitangi”. It says that “provided that such measures are not used as a means of arbitrary or unjustified discrimination against persons of the other parties or as a disguised restriction on trade in goods, trade in services and investment, nothing in this agreement shall preclude the adoption by New Zealand of measures it deems necessary to accord more favourable treatment to Maori in respect of matters covered by this agreement, including in fulfilment of its obligations under the Treaty of Waitangi”.

This is pretty much the same clause that has been included in all free trade agreements (FTAs) New Zealand has negotiated since 2001. It has stood the test of time. It has allowed multiple Treaty settlements to be completed and has not had (as some critics claim will happen under TPP) “a chilling effect” on Government’s ability to adopt policies more favourable to Maori than other New Zealanders or nationals of these FTA partners.

TPP’s protection of the Treaty goes even further than earlier FTAs. It states “the parties agree that the interpretation of the Treaty of Waitangi, including as to the nature of the rights and obligations arising under it, shall not be subject to the dispute settlement provisions of this agreement.” This means it is entirely up to New Zealand to determine if any discrimination has occurred because of the treaty (so long as this is not a disguised restriction on trade).

I am frankly amazed the US and others have agreed to this provision. Our ministers and officials have done a great job achieving this. All Maori should be saying: “Well done!” . . 

He also posts on Facebook:

TPP contains two types of dispute settlement. In the media and political criticism the two are often confused. There is the standard (in WTO and all our FTAs apart from CER – the reason why apples took so long to resolve)provisions which allow parties to the agreement to challenge breaches of the agreement. This is a purely government to government process and applies to the full agreement unless specified (e.g. interpretation of the Treaty of Waitingi the dispute settlement provisions do not apply). Then, in the investment chapter only, there is the investor state dispute settlement mechanism. This allows a company to challenge a government if it believes that government has breached its commitments in the investment chapter only. Many of the critics (who should know better) suggest that governments can be sued for breaches of outside of the investment provisions. This is not possible.

It is important to stress that TPP is worded differently to NAFTA and the Australian investment treaties that were used to challenge plain packaging of cigarettes. The critics often cite these agreements as examples of why we should fear ISDS without noting the fact that TPP has been drafted with the sloppy drafting in earlier agreements in mind.

New Zealand has been agreeing (indeed advocating for ) ISDS provisions in investment treaties and FTAs since the late 1980s (see for example the original China NZ Investment protection agreement). To date the NZ Government has yet to face a challenge.

Put simply I believe these provisions provide useful security for NZ investors offshore. Some of the governments we trade with and have FTAs or investment treaties are far more likely to breach these agreements than we are.

There are multiple exclusions (e.g. our Overseas Investment laws) and multiple acceptances of our right to regulate to protect the environment, to protect human health and safety, to discriminate for Maori under the Treaty of Waitangi etc to ensure that TPP will not have the type of chilling effect on policy making that the critics maintain. And, on top of the above protections, tobacco is completely carved out of the agreement so no worries there.

But is you want to nationalise huge hunks of the economy without compensation – you do have a problem. As you would if you tried to use human health as a justification for a policy if there was no science to justify the policy. Until recently I did not think that future NZ Governments would act in this way. This is why I think we have nothing to fear and that these provisions can only benefit NZ.

Stephen Jacobi wrote an open letter to Labour leader Andrew Little. It’s worth reading in full, I have chosen the extract with most relevance to farming:

. . . I agree that the dairy aspects of TPP are not as good as they could have been and as we had hoped.  But they are in the view of the negotiators and the dairy industry the best that could have been achieved in the circumstances.  Dairy still benefits more than any other sector from tariff cuts in key markets and the establishment of new tariff quotas.  The meat deal – specifically beef to Japan – is a significant market opening about which the industry has welcomed. Without this we will not be able to compete with Australia which already has an FTA with Japan. To call the rest ‘not much’ is a serious under-estimation – tariff reductions and/or elimination for horticultural products including kiwifruit, wine, wood products and seafood cannot so easily be dismissed. Addressing tariff and non-tariff barriers for manufactured products like health technologies and agricultural equipment is also significant.  This will result in the creation of new markets as you suggest. . . 

Duncan Garner says the political consensus on free trade is over:

After decades of supporting free trade, Labour has chosen to veer left into the bosom of New Zealand First and the Greens and oppose the TPP. It’s short-sighted and totally hypocritical, in my view. It looks like the party has had its strings pulled by anti-TPP academic Jane Kelsey.

This is a serious and controversial departure for Labour, and it may yet hurt the party among middle New Zealand voters.

Do these politicians know that our bottled wine can be sold tariff-free in Canada, Japan and the US on day one of the TPP being implemented? Why would you oppose that after we as a country have fought for this for so long? Most fruit and other produce can be exported tariff-free too, as a result of the TPP.

I travelled the world with Labour and National Party ministers for years, watching them fight bloody hard for market access for our exporters. I have seen a block of New Zealand butter selling for $25 in Japan; the same with cheese. Some of these tariffs are so high our exporters are locked out.

I’ve also seen Phil Goff, Helen Clark, John Key, Mike Moore and Tim Groser invest thousands of hours over the years for this sort of deal. Rather than accuse them of selling out, I’d argue they’ve done a great job. . . 

The truth is Labour has taken a massive risk opposing the TPP. I sense the silent majority understands we have to be part of it, despite the noise from the usual suspects.

Labour is divided and bleeding over the TPP. More Labour MPs want to voice their opinions in support but they’ve been silenced.

Ms Clark, Mr Key, Mr Moore, Mr Groser and David Shearer aren’t idiots. They know New Zealand has no choice but to be on board. Foreign investment is crucial into New Zealand too.

My friend runs a hotel in rural Waikato. The Chinese bought it recently. They have invested thousands into doing it up; they employ 33 locals in and around Tirau and Rotorua. Without the Chinese owners it would have closed and 33 Kiwis would be out of work. We have no option but to be international traders. Without it we die, slowly.

I predict the sky won’t fall in. And exporters stand to make billions more in the years ahead.

We won’t get rich buying and selling to each other; we need barriers broken and global doors open.

That’s why we must continue to fight for international trade deals — knowing there will always be a boisterous but small mob who hate the idea, no matter what the facts. 

Brian Easton who is no apologist for the right, asks can we afford not to adopt the TPPA?

. . . While there has been much focus on the TPP deal, there has been hardly any mention of the WTO (World Trade Organisation) agreement in Nairobi which prohibits agricultural export subsidies. Some 30 years ago a trade negotiator commented to me that getting rid of this dumping might be the best single thing we could do for our exporters. Not only would it stop the undercutting of their markets but it would force domestic agricultural reform because the dumping nations could no longer export the surpluses arising from their subsidies. There is not a lot of this subsidising going on at the moment but without an agreement export subsidies are likely to come back – to New Zealand’s detriment.

What was not always mentioned was that the chair of the WTO agricultural committee which negotiated the deal was a New Zealand ambassador, who is the fifth New Zealand chair in succession. This not only reflects the excellence of our Geneva ambassadors and the priority we give to agriculture in the WTO, but that the powerful – most notably the US – trust New Zealand to do a good job. That trust arises from the way we behave in other trade negotiations, including the TPP. The implication is that if we defaulted on the TPPA we would damage that trust and our ability to function effectively in a wide range of other international negotiations we care about, including on climate change.

That puts us in an extremely invidious position over the TPPA. Sure, we could turn it down, losing both its benefits and its downsides. Were we to do so, however, we would compromise the trust our international activity depends upon, especially the possibility of other trade deals which would open up markets currently restricting our exports. . . 

. . . Japan and the US (indeed the whole of the North American bloc) are members of the TPP. We have been struggling for ages to get deals with these two but have been too low on their pecking order to be noticed. So you might think of the TPPA as a means of getting the deals.

That is a positive, but of course the deals have to be favourable to us. Many argue they are not although their vehemence is offset by those who argue the opposite. The truth is that there are positives and negatives and different people balance them differently. In my opinion it is not much use focussing on a subset of the outcomes and ignoring everything else. Deals are about giving and taking.

The logic in this column is that we now do not have much choice about the TPPA. The government is trapped into agreeing to it because rejecting it has implications for other trade deals and our wider international relations. That is probably what our MFAT officials are advising, although no doubt there are many diverse views in there, just as there were with Vietnam. Here is my best guess about what is likely to happen.

There is a signing of the agreement in Auckland this Thursday. The exercise is primarily ceremonial – agreeing to a common text and exhibiting solidarity. I suppose the protests outside are ceremonial and for solidarity too.

The twelve partners then go away and prepare for the implementation of the text. Some things can be done by regulation, some require a change in law. The degree to which each partner has to do this differs according to their constitutional arrangements. . . 

 

By now there are so many imponderables that there is insufficient room in a column to pursue them all in a balanced way. My guess is that, given the way we are trapped by the wider international issues, the cautious advice is to proceed on the path of implementing the legislation for the TPPA, making as much international progress elsewhere. We can then review whether we really want to go ahead with the implementation. Legislation can always be reversed, agreements abrogated, although if the government changes its mind it is better that some other partner pulls the plug. Much of what is due to happen will be less ceremonial than this Thursday.  

And Prime Minister John Key says:

. . . “Opponents claim we’re giving away our sovereignty and that’s completely wrong – the TPP has almost identical provisions to the China free-trade agreement.”

Mr Key said other countries would not be able to write New Zealand laws and the TPP didn’t increase the cost of pharmaceuticals.

“The TPP is our biggest free-trade deal, successive governments have worked to get free trade with countries like the United States, Japan and Canada for 25 years,” he said.

“It will create significant new trade and economic opportunities for New Zealand… it gives our exporters access to 800 million customers in 11 countries across Asia and the Pacific.”

And those new opportunities will create jobs here, increase our GDP and earn us the money we need to pay our way.

The deal isn’t perfect but it’s better than what we’ve got and a long way better than what we’d have if our competitors were in the warmth of the tent and we were left out in the cold.


Rural round-up

August 12, 2014

A2 milk easier to digest than A1 – study – Dan Satherley:

Milk that contains only A2 protein is easier to digest than the more common A1-type milk, according to a new study that directly contradicts previous research.

Scientists at Curtin University in Perth found that people reported less abdominal pain and bloating after drinking A2 milk than A1.

“We knew there were differences in animals consuming A2 milk without any A1 beta-casein, but this is now supported by our new human study,” says Associate Professor Sebely Pal.

A2 milk is produced naturally, taken from cows without the genetic mutation that most cows in Europe, Australia, the United States and New Zealand have. Normal cows’ milk has a mixture of A1 and A2 proteins. . .

 

Dairy plant conversion seen as catalyst for burgeoning food technology hub:

Plans to establish a state-of-the-art food technology and production hub in the small North Waikato township of Kerepehi have moved another step closer – with several large blocks of bare land with development potential being placed on the market for sale.

The 16 sites are immediately opposite the former Kerepehi dairy factory which was bought earlier this year by the Chinese-owned Allied Faxi Food Company for conversion into an ice cream export manufacturing plant.

Conversion construction of the dairy plant is scheduled to start in spring, with the plant targeted to be fully operational by the end of 2015 – forecasting to produce 10 tonnes of ice cream and 10 tonnes of frozen cream daily. All output is for the Chinese markets. . . .

Deadline approaches for entries in the Enterprising Rural Women Awards 2014:

Women looking for new ways to promote their small rural business are encouraged to enter the Enterprising Rural Women Awards 2014.

“With the deadline of Friday 5 September now around the corner, we’re reminding women to send in their entries,” says Rural Women New Zealand national president, Wendy McGowan.

In their sixth year, the awards attract good publicity for both entrants and winners, says Mrs McGowan.

“Rural Women New Zealand’s aim is to grow dynamic rural communities and giving a boost to women in rural business is a very positive way of achieving this.” . . .

Fine wool gets a sporting chance – Andrew Marshall:

THE wool industry’s search for a big break in the outdoor recreation clothing market may be about to bear fruit thanks, in part, to technology originally developed to make finewool finer.

Fashion industry responses to trials of the new wind and water resistant fabric indicate plenty of promise in clothing market segments such as recreational sailing, fishing, bushwalking or hiking and golf.

Wool marketers also anticipate genuine interest and spill-over orders from the booming smart-casual clothing scene. . .

Delivering Better Tools And Services for Maori Sheep And Beef Farmers:

Beef + Lamb New Zealand (B+LNZ) is joining forces with the Federation of Maori Authorities (FoMA) to ramp up support for Maori sheep and beef farmers.

FoMA and B+LNZ are creating two new joint roles. Anaru Smiler and William McMillan have been appointed Kaiarahi Ahuwhenua Sheep & Beef, operating jointly for FoMA and B+LNZ. The positions will be responsible for delivering tools and services to support Maori sheep and beef farmers.

B+LNZ Chief Executive Dr Scott Champion says the organisation has worked closely with FoMA to develop the new positions and they will be a key part of supporting the development of more productive and profitable Maori-owned sheep and beef farms. . .

Warrnambool Cheese & Butter not ACCC at its finest, says Joyce – Andrew White:

AGRICULTURE Minister Barnaby Joyce has hit out at the competition watchdog and the law it enforces, claiming its treatment of Murray Goulburn’s bid for Warrnambool Cheese and Butter was a poor application of competition law.

Mr Joyce called for an overhaul of competition law to support the creation of national champions in industries across Australia after the giant Murray Goulburn co-operative was effectively blocked from buying Warrnambool by delays in the competition review process.

“If we want to create — and I believe we should — Australian national champions then that substantial lessening of competition test … its finest hour was not the Warrnambool Cheese and Butter issue,’’ Mr Joyce told a high-powered gathering of food industry and political leaders in Sydney as part of the The Australian and The Wall Street Journal’s Global Food Forum series. . .

Rabobank backs a Challenge – Reg Burton:

THE 2014 Rabobank Beef Challenge is once again focused solely on the graziers in the Richmond Shire with the Flinders and McKinlay Shire opting not to stage the Challenge this year because of the drought.

Conversely, the Richmond Shire graziers elected to continue with the Challenge to obtain information as to which breeds do better on a particular dietary supplement under drought conditions.

Ten mobs of six early weaners were put into the same paddock on Alistair McClymont’s Wilburra Station where they will stay and be weighed and tested monthly. . . .

Fonterra Grass Roots Fund:

Need help with a community project? Grants from $500 to $5,000 will be made. Hurry – applications close 31 August!

Need help with a community project? Grants from $500 to $5,000 will be made. Hurry – applications close 31 August!


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