Rural round-up

May 5, 2017

Stop the open season on farmers – Chris Allen:

An open letter to anglers, hunters and farmers – it’s time for meaningful discussion:

This Saturday (6 May) thousands of farmers will open their properties up to hunters for the opening of the 2017 duck shooting season. Throughout the year farmers provide access to waterways across their properties – to enable anglers the opportunity of catching trout.

Farmers, often in partnership with their local fish and game folk, have spent significant time and money creating and restoring wetland habitats. Strong friendships have been established between hunters/anglers and landowners. In recognition of this partnership, resident landowners and their families do not need a Fish and Game licence to shoot or fish on their own properties.

In some regions the Fish and Game licence revenue has been used to make the life of landowners that much more difficult. As a result, some Fish and Game licence holders may not face the same friendly welcome by their farmer friends this year. . . 

Crown Irrigation provides funding for Kurow Duntroon Irrigation Scheme

Crown Irrigation Investments Ltd. (Crown Irrigation) has agreed development grant funding of $388,000 for Kurow Duntroon Irrigation Company (KDIC), matching the company’s own financial contribution for this development phase. The funding is required to complete the remaining work to reach construction commencement and confirm the commercial viability of the proposed scheme.

The current community-based scheme was established in 1965 irrigating on the south bank of the Waitaki River below the dam, however it is now in need of major work.

KDIC is seeking to upgrade and expand the existing open canal scheme with a fully piped system capable of expanding irrigation capacity from its existing 1,986ha to potentially 6,000ha. The water supply comprises consented takes from the Waitaki dam and river together with additional supply from the existing McKenzie Irrigation Company. . . 

Response underway following myrtle rust find

A biosecurity response is underway after the detection of myrtle rust on mainland New Zealand for the first time, Primary Industries Minister Nathan Guy and Conservation Minister Maggie Barry have announced today.

Myrtle rust is a fungal disease which can seriously damage various species of native and introduced plants in the myrtle family, including pohutukawa, rata, manuka, gum, bottlebrush and feijoa.

“The Ministry for Primary Industries (MPI) was notified on Tuesday evening by a nursery in Kerikeri that five pohutakawa seedlings had suspected myrtle rust, and laboratory testing has now confirmed this,” says Mr Guy.

“MPI has moved quickly and initiated a Restricted Place notice to restrict the movement of any plants and people at the site, and is treating nursery stock with fungicide spray as a precaution. Work is also underway to trace any stock that has left the nursery and all other nurseries in Kerikeri are being inspected today. . . 

New Zealand’s fisheries continue to be well managed:

The overwhelming majority of New Zealand’s commercial fisheries are performing well, according to MPI’s latest stock assessments.

The Status of New Zealand’s Fisheries report for 2016 released this week shows a record percentage of the tonnage and value of landings of scientifically evaluated stocks have no sustainability issues.

The report shows ninety seven percent of scientifically evaluated landings were from stocks above or well above sustainable levels, Seafood New Zealand chief executive Tim Pankhurst said.

“The figures show that New Zealand continues to be a world leader in fisheries management,” he said. . . 

Breeding blue cod brings new possibilities:

Scientists have managed to successfully breed blue cod for the first time, a milestone that will support the development of a new aquaculture industry for New Zealand.

In association with Ngāi Tahu Seafood Ltd, the Seafood Technologies team at Plant & Food Research in Nelson are investigating how to breed different species of native fish in captivity, building knowledge of the conditions required for the fish to successfully reproduce.

For the first time, they have managed to breed and grow blue cod to fingerlings. New Zealand can now consider potential opportunities for this desirable table fish, such as intensive aquaculture grow out or supplementing local populations under pressure from fishing. . .

Ara primary industries restructure:

Ara Institute of Canterbury’s proposal to restructure Primary Industries programmes is designed to adjust provision to align with industry demands, Chief Executive Kay Giles said.

“We are disappointed that the Tertiary Education Union has chosen to portray this review as a ‘betrayal of Timaru’, which clearly does not accurately reflect the facts of the review consultation document.”

“It is our responsibility to the Timaru community and the Primary Industries sector to adjust the portfolio to offer the right programmes for the needs of employers. There has been very little demand for the particular programmes that are under review so we need to put our energy where there will be much more value for the primary sector.” . . 

Showcase Comes to Southland:

Southland is hosting the National Sustainability Showcase of the Ballance Farm Environment Awards for the first time at the end of this month.

Up to 400 people will be attending a gala dinner at the Ascot Park Hotel in Invercargill on Wednesday May 31. Tickets are on sale on http://www.bfea.org.nz.

Eleven award ceremonies have already been held around the country and each regional supreme winner has been invited to the Showcase to be considered for the Gordon Stephenson Trophy – named in honour of Waikato farmer and noted conservationist, the late Gordon Stephenson. . . 

When I say goodbye to Farm Credit – Uptown Farms

“I hope we can keep you all here.”

We had just wrapped up a team presentation to our Board of Directors. The comment came across as a compliment, so I smiled and politely responded that I love my work here.

On the drive home, and numerous times since that day, I found myself thinking about his comment.

I’ve never worked anywhere else. Or at least a real “grown-up job” anywhere else.  Since I sat down at my first Farm Credit desk as a 21 year old intern, I’ve never left. The offers have been there. But I could list on a single hand the hours I’ve actually contemplated leaving. . .

 


Rural round-up

April 7, 2017

NZ could miss out on gene-editing revolution – Richard MacManus:

Is the gene editing revolution passing New Zealand by?

New Zealand is a proudly GE-free country, meaning it is illegal to produce or sell genetically engineered foods here. There are some exclusions for processed foods that have imported GE ingredients, like soy or corn flour, but they must be approved by a local authority and clearly labelled. However, there is zero tolerance for GE in fresh foods – including foods bound for export. Considering that New Zealand’s “clean green” brand is a key part of our export trade, it makes sense that GE foods are treated with caution here. But are we being too conservative, given that a new technology called CRISPR is opening up opportunities for both our economy and our environment.

CRISPR (pronounced crisper) has made gene editing nearly as simple as editing a website. Tools like CRISPR-Cas9 allow scientists to edit parts of a genome by removing, adding or altering sections of its DNA sequence. It is truly a brave new world. . . 

Objective carcase measurement – essential or just nice to have Allan Barber:

Objective carcase management (OCM) appears to be the holy grail for Meat and Livestock Australia judging by its plan to seek A$150 million from the Australian government to fund the installation of Dual Energy X-ray 3D carcase grading technology (DEXA) in up to 90 slaughterhouses, intended to roll out this year. The loan would be repaid from industry levies, although there are no firm details yet about how the costs would be shared.

When MLA announced Project 150 in November 2016, the Beef and Sheep Councils of Australia were both in favour, but the executive officer of the Australian Beef Association came out saying it shouldn’t be the producers but the processors who paid for it. More recently both the processor funded Australian Meat Industry Council (AMIC) and levy funded Meat Processor Corporation (AMPC) have come out against rushing into such an expensive project without proper analysis and a robust business case. . .

Taking aim at Fish & Game over conflict of interests – Andrew McGiven:

I saw that Fish & Game held a national “take a kid out fishing day” a few weeks ago. While I applaud anyone who can encourage our children to ditch the video games and get outside to experience the great outdoors, it did raise several questions.

Why, for example, are we trying so hard to improve the health of our fresh waterways when the likes of Fish & Game are paid to protect invasive, predatory species such as trout and salmon, which actively decimate our native species such as koura (New Zealand freshwater cray)?

When sediment is such a major component of our water degradation, why is it that koi carp can pillage our river systems, collapsing river banks and stirring up soil, and yet this problem has been largely ignored by the organisation. 

It is discouraging when farmers work hard at establishing wetlands and native groves only to have them poisoned in a few short years by wildfowl E. coli. . . 

Rural women make a huge contribution to agriculture – Sonita Chandar:

Fiona Gower is a true “Rural Woman” having lived and worked in the rural sector most of her life.

As the new president of Rural Women New Zealand (RWNZ), she has set herself several goals to accomplish during her term.

Her greatest aspiration is for RWNZ to be seen as the organisation of choice within the wider sector for all women, communities, organisations and decision makers. . . 

Heightened readiness for Stink Bug threat:

Primary Industries Minister Nathan Guy says activities to prevent the establishment of the Brown Marmorated Stink Bug (BMSB) have ramped up over summer and helped raise public awareness of what is a serious biosecurity threat.

“This is a major agricultural pest worldwide, as well as a household nuisance. While it is found here from time to time, if it became established it would have significant economic and social impacts,” says Mr Guy.

“BMSB has been rapidly spreading across the world and there have been increasingly more finds detected at the New Zealand border. Three confirmed post border finds occurred during February, all reported by members of the public. . . 

Brazil intent on expanding beef markets in Asia, as Australian sector urged to differentiate itself – Lydia Burton:

A senior Rabobank economist says the Australian beef industry should continue to focus on differentiating its products as Brazil expands its markets in Asia.

Brazil took over from Australia as the largest exporter of beef to China in 2016, offering a cheaper protein, and has strong interest in South Korea and re-opening trade with Japan.

Japan suspended Brazilian beef imports in 2012 after it was found an animal had died of mad cow disease.

Indonesia has also been expressing interest for some years in opening up a live cattle trade with Brazil, with biosecurity protocols currently being discussed. . . 

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Rural round-up

August 9, 2016

Scientist added value to lamb crop – Sally Rae:

Work done by Julie Everett-Hincks to improve lamb survival has received national recognition.

Dr Everett-Hincks has been awarded the Sir Arthur Ward award, presented by the New Zealand Society of Animal Production.

It was a “huge honour” to receive the award at the joint Australian Society of Animal Production and New Zealand Society of Animal Production conference in Adelaide, she said.

Dr Everett-Hincks was the first woman to receive it. . . 

Fonterra ‘we are changing’ – Sally Rae:

Let’s face it —  wastewater might not be the most glamorous subject.

But at Fonterra’s Edendale factory,  some  cool things are being achieved with treated wastewater.

It is being used to irrigate surrounding farmland and  “waste-activated sludge” (WAS) from the factory  is  being used as fertiliser.

The grass grown ultimately returned to Fonterra as milk in  a “really good cradle-to-grave story”, national environment group manager Ian Goldschmidt said.

Edendale is a big operation, employing about 650 people. . . 

Pond developer vents his frustration – Mark Price:

The Wanaka developer of a new salmon “fish-out” facility has complained to Conservation Minister Maggie Barry that Fish and Game New Zealand has opposed the project in order to protect its own commercial interests.

Graham and Hayley Lee, as Inderlee Ltd, were granted resource consent in November for their operation along Cameron Creek, on the eastern outskirts of Wanaka near Albert Town.

They plan to offer the public the chance to catch chinook salmon from large ponds from November next year.

Their consent application was opposed by Fish and Game, and Mr Lee told the Otago Daily Times this week he has complained by email to Ms Barry about the organisation’s motives. . . 

Produce industry leader wins Bledisloe Cup:

Murray McPhail, founder and owner of LeaderBrand Produce, won horticulture’s top award, the Bledisloe Cup, last night.

Horticulture NZ’s president Julian Raine said the Bledilsoe Cup is an outstanding award to receive and this year was honouring a 40 year commitment to the horticulture industry. The award was presented at Horticulture NZ’s annual awards dinner, held in conjunction with Pipfruit NZ, at the annual conference in Nelson.

As McPhail was overseas his son Richard accepted the award on his behalf. . . 

Rural Broadband Initiative phase one complete:

The first phase of the Government’s Rural Broadband Initiative (RBI) is now complete, benefitting 300,000 homes and businesses, says Communications Minister Amy Adams.

“Under the programme, rural communities around New Zealand have significantly improved broadband, thanks to the Government’s $300 million investment into RBI. We’ve seen a considerable improvement in access, reliability and speeds across New Zealand,” says Ms Adams.

“Prior to our RBI build, only 20 per cent of rural lines were capable of speeds around 5Mbps. RBI phase one increases this to 90 per cent of rural New Zealand households and businesses, and speeds are in fact well in excess of 5Mbps.

“Before the project, our rural communities were grappling with poor speeds, little better than dial up – but are now enjoying speeds around 100 times faster. . . 

Protecting a local delicacy:

Fishers and keen cooks gearing up for whitebaiting season, opening on Monday 15 August, should be aware of the rules or the rare delicacy could disappear from dinner tables forever.

The Department of Conservation (DOC) is responsible for administering the whitebait fishery and ensuring people observe the regulations.

Whitebait are juveniles of five species of native fish: giant kokopu, banded kokopu, shortjaw kokopu, inanga, and koaro. Those that escape the whitebait net grow into adult fish which are some of our most endangered native species – some whitebait species have the same threat status as kiwi and New Zealand falcon. . . 

Wires kill pilots:

The rural economy is vitally important to New Zealand’s economic prosperity but the safety of the aviation industry, which plays an important role in ensuring regional prosperity, is not assured,’ said John Nicholson, Chief Executive of industry body Aviation NZ.

Between 1979 and 2015, helicopter pilots alone had 116 wire strikes resulting in 28 deaths. While people on the ground can generally see wires, they can often be invisible to pilots of low flying aircraft.

Electricity and phone lines are generally well marked with the towers and poles they run between quite visible – be you on the ground or in the air.
‘The major concern is wires erected by farmers,’ said Alan Beck, Chairman of the NZ Agricultural Aviation Association.

They present the greatest risk to agricultural aviation because they can run across gullies, and can be attached to obscure poles or even trees. To make it worse , some manufacturers even produce green covered wire. . . 

Landcorp ditches palm kernel feed to boost environmental credentials – Tina Morrison

(BusinessDesk) – Landcorp Farming, the state-owned farmer, will stop using palm kernel expeller on its farms in the current financial year to shore up its environmental sustainability credentials.

Palm kernel, used by dairy farmers as a supplementary feed to grass during winter or in seasonal droughts, is imported from Southeast Asia and has faced criticism for its environmental impacts as expansion of the palm oil industry spurs tropical forest clearance and peat fires.

Landcorp, New Zealand’s largest corporate farmer, wants to move away from being a commodity supplier of agricultural products by developing higher value products, inking long-term contracts with customers, and investing in branding to boost the value of its products. . . 


Rural round-up

October 8, 2015

Key sectors welcome TPP – Colin Bettles:

SUGAR may have been served a bitter-sweet outcome in the final Trans-Pacific Partnership but other key Australian commodities like beef, grains, dairy and cotton have tasted some success.

The Cattle Council of Australia (CCA) said the TPP deal – signed overnight by Federal Trade Minister Andrew Robb – would provide significant increased market opportunities for Australian grassfed beef producers, when it comes into force.

Game changer for beef

CCA president Howard Smith said the agreement signifies a game changing opportunity for the Australian beef industry which sees a positive future fort itself, in export markets. . . 

Rolleston wants GM use debate – Richard Rennie:

Councils’ efforts to ban genetically modified crops have Federated Farmers banging up against public opinion in some rural districts.

But federation president Dr William Rolleston argues the move to ban GM crops threatens farmers’ ability to innovate and is a choice they might lose through misinformation and misunderstandings about what the science is really about.

The federation’s case against council bans on GM use got a severe bruising when they lost on appeal to the Environment Court earlier this year. . . 

Milk price expected to hit $3000/t this year – Jemma Brackebush:

Banks and analysts are predicting international dairy prices will continue to rise, and a lift in Fonterra’s forecast payout looks likely.

Prices in the global dairy trade auction rose for the fourth consecutive time on Tuesday night.

The price for the key commodity, whole milk powder, which underpins the price Fonterra pays its farmers, increased by 12.9 percent to $US2,824 a tonne. . . 

Record jail sentence for animal abuser Michael Whitelock:

A dairy worker has been handed what is believed to be New Zealand’s longest-ever prison sentence for animal cruelty, after cows were beaten, had their tails broken and were shot in the kneecaps on a farm he managed.

Michael James Whitelock was sentenced in the Greymouth District Court on Wednesday to four and a half years jail and banned from owning animals for 10 years.

He had earlier pleaded guilty to 12 charges, including ill treatment of animals, unlawful possession of firearms and attempting to pervert the course of justice. . . 

Farmer suicides up – Jemma Brackebush:

Figures from the Ministry of Justice show 27 men in farming communities committed suicide in the past year ended June.

The chief coroner Deborah Marshall released annual provisional suicide statistics on Tuesday, which showed 564 people died by suicide in the past year, up 35 on the previous year and the highest number since records began eight years ago.

Male suicides rose from 385 last year to 428, and female suicides dropped from 144 to 136. . . 

Banks fork out a total $25.5M over rural interest rate swaps – Fiona Rotherham:

(BusinessDesk) – The Commerce Commission has completed the distribution of $25.5 million to complainants and rural charities after reaching settlements with banks who had marketed interest rate swap products to farmers.

The commission says nearly $20 million in cash has been paid to eligible customers while $1.9 million was offset by the banks against debts some complainants owed to them. A further $2.5 million went to 14 regional Rural Support Trusts and the Dairy Women’s Network and the commission received $1 million to cover a portion of its investigation costs, including legal expenses. The bulk of the money came from the ANZ Bank New Zealand, which paid out $19.3 million in total, $3.2 million from ASB Bank and $3 million from Westpac Banking Corp. . . .

All Geared Up For The Glammies:

Entries are now open for the 2016 Golden Lamb Awards, aka the Glammies, which seeks out the tastiest and tender lamb in New Zealand.

The competition gives farmers the opportunity to enter their lamb into one of the most highly regarded competitions the industry has to offer.

The entries are then assessed by Carne Technologies in Cambridge for tenderness, yield, succulence and colour.

The scientific testing determines which top four entries from five categories will make it through to the final stage of the competition, a taste test, held at the Upper Clutha A&P show in Wanaka on 11 March 2016. . . 

New Zealand Bloodstock to Sponsor New Race in China:

New Zealand Bloodstock and the Inner Mongolia Rider Horse Industry Co. Ltd have partnered together to introduce the New Zealand Bloodstock Cup to be held in Inner Mongolia, China next year.

2015 RTR
The race is open to horses purchased by any Chinese buyer at this year’s New Zealand Bloodstock Ready to Run Sale in November. To be held in July 2016 at Korchin, Inner Mongolia, the New Zealand Bloodstock Cup is worth RMB500,000 and will be run over 1800m.

NZB’s Co-Managing Director Andrew Seabrook is excited about the formal partnership reached between NZB and Rider Horse Group. . . 

Serious savings from whole-farm soil testing:

Whole-farm soil testing saves Taranaki farmer Hayden Lawrence about $15,000 on fertiliser each year.

Hayden, who farms in equity partnership with his wife Alecia and parents in Taranaki, began whole-farm soil testing seven years ago. To date, he has reaped about $90,000 in savings and has increased pasture production from 14.5 tonnes per hectare to 18.6T/ha on the 97ha property.

The Lawrences milk a maximum of 240 cows on an 85ha milking platform, using their hill country block to graze heifers. They also follow an 18-month cropping rotation, that sees paddocks planted into silage, oats, chicory and then into pasture. . . .

RHĀNZ welcomes Government’s new rural connectivity target:

The Rural Health Alliance Aotearoa New Zealand welcomes the new rural connectivity target announced by the Government today.

The target means nearly all rural New Zealanders will be able to access broadband speeds of at least 50Mbps by 2025.

RHĀNZ Chairperson, Dr Jo Scott-Jones, says securing reliable and affordable telecommunications services is critical to the health and wellbeing of rural communities and is a top priority for all 40 RHĀNZ members.

“As part of our RBI phase 2 submission to Government earlier this year, we called for more ambitious targets for rural broadband speeds, so it is really pleasing to hear Minister Adams’s announcement today,” he says. . . 

Anglers urged to vote ‘in best interests of our fishing and hunting resources’:

The country’s anglers and game bird hunters are being reminded to make sure they vote in the Fish and Game Council elections.

Fish & Game Communications Manager Don Rood says that because voting closes at 5pm on Friday (9 October), those who are eligible and haven’t voted are advised to do so online, rather put voting papers in the post.

“We urge licenceholders to take the time to vote – to exercise their right to choose the people who can best advance their local region’s hunting and fishing interests. . . 

Free entry for 2016 Games:

The second annual Hilux New Zealand Rural Games takes place in Queenstown next Waitangi weekend (Sat 6th – Sun 7th Feb) and entry won’t cost you a cent.

Two days of ‘sports that built the nation’ and live entertainment on the Recreation Ground plus the Running of the Wools – more than 400 merino sheep herding through downtown Queenstown – will be completely free to watch.

We’ve been able to waive ticket prices thanks to the generous support of our patrons and event partners including major sponsors Toyota, Fonterra, Line 7, Ngai Tahu Farming, Jetstar and Husqvarna which has increased its support from the inaugural Games.

The Running of the Wools is once again supported by our friends at clothing and gift retailer, Global Culture. . . 


Rural round-up

September 17, 2015

Dairy price rise ‘green shoots’ – Dave Williams:

A third successive strong rise in dairy prices at auction has offered farmers the green shoots of a price recovery and set economists keying in more positive numbers into their calculators.

Fonterra’s GlobalDairyTrade auction price index jumped 16.5 percent to US$2568, with the company’s main commodity, whole milk powder, jumping 20.6 percent to US$2495.

It followed index rises of 14.8 percent and 10.9 percent but the BNZ warns it is off a very low base. . . 

Financial knowledge to help farmers have courageous conversations:

While the challenging times being faced by the dairy industry are largely outside farmers’ control, Dairy Women’s Network wants to remind farmers there are things they can do to empower themselves to minimise the negative impact on their businesses.

This includes having courageous conversations about the reality of their financial situations.

The Network is running free ‘Tracking the cash’ Dairy Modules throughout the country during October, November and December. . . 

Banks lift forecast dairy payouts as auction price rises:

Banks are upping their forecast dairy payouts on the back of a possible revival of fortunes for New Zealand’s struggling dairy industry.

The average overall price in the the overnight Global Dairy Trade auction rose 16.5 percent to $US2,568 per tonne.

Whole milk powder jumped 20.6 percent to $US2,495.

ASB has increased its forecast payout for the season to $5 a kilo. . . 

Last ditch effort to stop foreign Silver Fern buy in:

An industry group is appealing to the heads of Silver Fern Farms and the Alliance Group in a last-ditch attempt to stop foreign investment.

The farmer-led Meat Industry Excellence (MIE) group has been trying to reform the red meat industry by blending the country’s two largest meat processors.

But, yesterday, Silver Fern Farms announced that China’s largest meat processor, Shanghai Maling, would inject $261 million into a new joint partnership.

MIE chairman and Southland sheep farmer Peter McDonald said farmers needed to shape their own future. . . 

Changes to commercial fishing catch limits:

Primary Industries Minister Nathan Guy has announced changes to commercial fishing limits in two areas as part of the annual fisheries sustainability review.

Catch limits for some gurnard, stargazer and rig stocks in the South Island have been increased where robust scientific information shows there has been an increase in abundance. The allowances for both recreational and commercial fishers will be increased as part of these decisions.

Total Allowable Catch limits have been decreased for the New Zealand hoki stock and the oreo stock on the Chatham Rise.

“A cautious approach has been taken for hoki given the low recent hoki biomass estimate in the Sub-Antarctic. The Total Allowable Catch for HOK1 will reduce from 161,640 tonnes to 151,540 tonnes for the 2015/16 fishing year,” says Mr Guy. . . 

Local tourism businesses asked to join fight to protect kauri:

The Coromandel Kauri Dieback Forum is seeking the help of Peninsula tourism operators and accommodation providers in protecting local kauri from the deadly kauri dieback disease, so the natural environment for which the Peninsula is famous for can be enjoyed by future generations.

The Forum is holding workshops specifically designed for the sector in Coromandel town at 2pm on Tuesday 22 September at Anchor Lodge and at 11am on Thursday 24 September at Ocean’s Resort in Whitianga. Everyone involved in a visitor-oriented business, from tourist attractions and activities through to accommodation providers of all types, is invited to attend the informal 1 ½ hour workshops, which will be run by Coromandel Adventures director Sarni Hart and Forum chairperson Vivienne Mclean. . .

Fish & Game vows ‘strong opposition’ to trout farming proposals:

Fish & Game has confirmed its strong opposition to commercial trout farming following revelations of a Bay of Plenty Regional Growth Study promoting, among other initiatives, the development of a commercial trout industry.

The study, which was undertaken to identify economic opportunities within the region, was commissioned by the Ministries of Business, Innovation and Employment (MBIE) and Primary Industries (MPI) in partnership with the Bay of Connections.

Trout farming has been identified as a ‘key priority for regional development’ after the launch of the study, and the formulation of an action plan endorsed at a workshop involving more than 120 regional leaders and stakeholders. . .

And a video on the Story of Milk from Friesland Campina.


Rural round-up

August 7, 2015

Rabobank Report: Moving Globally; What role will China play in the global beef market?:

Rabobank sees great potential in China’s beef market, and believes that Chinese investors will play an influential role in the global beef market over the next decade. According to Rabobank’s latest report, Moving Globally: What role will China play in the global beef market?, China’s beef demand will grow an additional 2.2 million tonnes by 2025. Driven by the weak domestic production, but with strong demand, the beef sector will likely become the first agricultural sector where China has high integration with the rest of the world and Chinese investors are expected to play an influential role in the global beef market.

In addition to the volume gap, China’s beef market also demonstrates potential for value-added and branded beef products. Strong demand from the food service and retail market channels provides opportunities for both Chinese and foreign companies in the further processing sector. . .

 

Fonterra’s restructure more about poor strategy than milk price – Allan Barber:

When Fonterra was formed back in 2001, there was a great sense of optimism about the potential for a New Zealand dairy company to compete on a truly global scale. The industry’s infighting and parochialism would be a thing of the past and the clear intention was to use the greater efficiencies and scale to create a substantially better performing business model.

The big question 14 years down the track is whether that objective has even remotely been achieved. Fonterra is the world’s leading exporter of milk products and the fourth largest dairy processor, so achievement to date appears consistent with the objective. But for many observers there was another, more ambitious expectation: to establish an internationally competitive value added business to compare and compete with Nestle and Danone. . .

Dairy sector needs to work together to manage downturn:

National accounting and business advisory firm Crowe Horwath is calling on all stakeholders in the dairy industry to work together to help the sector get through the current difficult period of lower milk solid prices.

On the back of dairy companies announcing a string of forecast milk price downgrades and prices continuing to plunge at the Global Dairy Trade (GDT) auctions, predictions are the current hard times for the dairy sector could potentially last another 18 months to two years.

Crowe Horwath says given the scale of the challenge now being faced by the industry, doing nothing is not an option for anyone involved, including farmers, banks, farm consultants and business advisors. . .

 

Fish & Game Calls for Fonterra to Lift Its Game After Pollution Conviction:

Fish & Game says Fonterra needs to lift its game after the dairy giant was fined $174,000 for several pollution offences under the Resource Management Act.

The Bay of Plenty Regional Council prosecuted Fonterra for polluting the and other waterways after several wastewater system failures at Fonterra’s Edgecumbe dairy plant.

The offences occurred several times between September 2014 and April 2015.

Fonterra pleaded guilty to six charges and was sentenced in the Tauranga District Court by Judge Smith. . .

 

I’m worried! I’m sympathising with organic farmers over a land use conflict! – Jim Rose:

Writing this blog of sound mind and sober disposition, I still have considerable sympathy with two organic farmers over a land use conflict they have with the neighbouring gun range.

Local land use regulations allows a gun club to set up 600 m away with competitive shooting days all day for 88 days a year. That is a voluntary self restraint. They could hold shooting competitions every day of the year. The local land use regulations allow the use of guns on rural land. The gun club used this absence of a prohibition on the use of guns in the frequency of use to set up a gun range to fire guns all day long on rural land. . . .

Market Continues to Show Strength:

New Zealand Wool Services International Limited’s General Manager, Mr John Dawson reports that a continuing upward trend at today’s South Island wool sale saw prices increase.

The weighted indicator for the main trading currencies decreased from 0.6314 to 0.6181, down 2.1 percent. The US dollar rate was down to .6520 from .6670 which meant increased prices in NZC terms.

Of the 5,564 bales on offer 5,260 sold, a clearance of 95 percent. . .

 

Matariki Forestry Group announces recapitalisation:

Matariki Forestry Group (“Matariki”) today announced a NZ$242 million capital infusion from Rayonier Inc., its largest shareholder. This injection of capital will be used for the repayment of all outstanding amounts under its existing NZ$235 million credit facility and for general corporate purposes.

Upon completion of this capital infusion, Rayonier’s ownership in Matariki will increase from 65% to approximately 77% and the Phaunos Timber Fund ownership will be reduced from 35% to approximately 23%. The capital infusion is subject to certain closing conditions including New Zealand Overseas Investment Office approval and is expected to close by year end. Matariki will realise interest cost savings of approximately NZ$15 million annually as a result of the recapitalisation. . .

 

NZARN says strategic feed approach key to farmer viability:

Nutrition experts have entered the milk price payout debate saying that a strategic approach and optimising home grown and supplementary feed resources are key to long-term viability.

The New Zealand Association of Ruminant Nutritionists (NZARN) urges farmers, in an article published on their website (www.nzarn.org.nz) to benchmark themselves against the best performing farms to identify areas for improvement.

Dr. Julian Waters, NZARN Chairman says, “Maximising utilisation of home grown resources such as pasture, silage and crops should be the basis for a profitable business, with a sound strategy to incorporate supplements to increase efficiencies when home grown feed is limited.” . . .

 Internet Provider Puts Farmers’ Wellbeing First:

New Zealand internet provider, Wireless Nation, further demonstrates its commitment to the rural sector in a new agreement with Farmstrong, an initiative to promote wellbeing for all farmers and growers across New Zealand.

Wireless Nation’s zero-rated data agreement means that its Satellite Broadband customers can access Farmstrong’s website without the data counting towards their data cap.

Wireless Nation’s technical director, Tom Linn says he is passionate about making internet connectivity easier for people living in rural areas. . .

New Forests agrees to purchase Marlborough timber plantations from Flight Group:

New Forests today announced that it has reached agreement to purchase approximately 4,200 hectares of freehold land and softwood plantations from the Flight Group. The plantations consist of radiata pine and are located in the Marlborough region of New Zealand’s South Island.

The agreement forms part of a larger transaction by Flight Group, including the purchase of the Flight Timbers sawmilling assets by Timberlink, an Australian timber products processor that is also an investee company of New Forests. Completion of the plantation purchase by New Forests is subject to approval by the Overseas Investment Office. . .

 


Rural round-up

July 13, 2015

Savage dog attack kills 21 sheep: – Shannon Gillies:

A savage dog attack on sheep in the Christchurch suburb of Hei Hei has left about 21 animals dead and others injured.

Joshua Olykan said he came home to his parents’ Buchanan’s Road property yesterday morning to discover 14 animals dead, dying or badly injured.

He said two other neighbouring properties also suffered stock losses, with more than a dozen sheep savaged in a paddock between Gilberthorpes Road and Pound Road. . .

Save recreational access plea by Federated Farmers and Fish & Game:

Federated Farmers and Fish & Game are asking Parliament to ensure proposed health and safety legislation does not lead to restrictions on recreational access to farms and forests.

The Health and Safety in Employment Amendment Bill is presently being considered by the Transport and Industrial Relations Select Committee, which is due to report back on 24 July.

The bill is aimed at improving safety in all workplaces, including farms, but Federated Farmers and Fish & Game are concerned it will also inadvertently prevent people enjoying farms for recreation.

“We are all for making workplaces safer. New Zealand workers deserve nothing less,” said Fish & Game chief executive Bryce Johnson. . .

 Dairy farmers spend over $1billion on the environment:

Federated Farmers and DairyNZ have conducted a survey on New Zealand dairy farmers’ environmental investments, revealing an estimated spend of over $1billion over the past five years.

Five percent of the nation’s dairy farmers responded to the survey and reported on the environmental initiatives they had invested in such as effluent management, stock exclusion, riparian planting, upgrading systems and investing in technology, retiring land and developing wetlands.

“It is encouraging to see the significant investments farmers are putting into protecting and improving the environment,” says Andrew Hoggard, Federated Farmers Dairy Chair.

“Farmers understand the need to get the balance right when it comes to lifting production and profits along with environmental responsibilities. . . “

 OceanaGold sees more life in Macraes goldfield – Paul McBeth:

(BusinessDesk) – OceanaGold Corp, which is in the process of buying the Waihi Gold Mine, sees more life in the Macraes Goldfield in Otago as cheaper fuel and a weaker New Zealand dollar make the operation more attractive.

The Melbourne-based company discovered a new zone of gold mineralisation which could increase the potential reserves of the Macraes mine after embarking on a drilling programme in the first quarter of the year, it said in a statement. OceanaGold has been investigating ways to extend the mine’s life by three to five years after signalling plans to wind down the operation by the end of 2017.

“Changes to macro-economic conditions such as lower fuel costs and a weaker New Zealand dollar have resulted in significant benefits to our New Zealand operations,” chief executive Mick Wilkes said. “I am pleased to report that initial drilling has produced significant results that demonstrate the potential for increased reserves at the Macraes operations.” . .

Farmer experience ‘bottled’ to help dairying bounce back:

DairyNZ has created a new online resource detailing the financial spending of top performing dairy farms. This is part of the organisations work to help farmers cope with lower milk prices and set the industry up for a speedy recovery.

Economic modelling shows if farmers can decrease their potential loss by up to $1/kg MS this season they could recover from the low milk price three to four years faster.

DairyNZ general manager of research and development David McCall says one of the ways to capture this dollar is by spending on the right things and implementing good budgetary control of costs. . .

 Mexico wants more live NZ sheep, says broker – Eric Frykberg :

Timaru livestock dealer Peter Walsh says Mexico wants more live sheep from New Zealand.

Mr Walsh organised the sale of 45,000 sheep to Mexico.

Listen to Peter Walsh on Checkpoint ( 2 min 45 sec )

He said when they arrived, the Mexican authorities announced that they wanted more.

He said they would like 250,000 head a year in order to build up their national flock from quality New Zealand bloodlines, and he would be interested in doing more business with them. . .

Concern over upping live sheep export numbers – Rachel Graham;

Federated Farmers say the flow on effects of increasing live sheep exports to 250,000 a year would have to be carefully considered before it was given the go ahead.

 A livestock dealer who organised the sale of 45,000 sheep to Mexico for breeding, said the Mexican Government would like it to increase to 250,000 sheep a year.

Federated Farmers meat and fibre chair Rick Powdrell said the 45,000 sheep were sold by farmers struggling due to drought, and were likely to have been killed anyway.

He said sending a quarter of a million sheep a year would be a completely different situation. . .

Young Farmers Backed by Blue Wing Honda for Four Decades:

As the longest-standing sponsor of the ANZ Young Farmer contest, Blue Wing Honda has seen many talented young people take the title over the years – 40 of them to be precise.

Matt Bell of Aorangi was the latest to be awarded the coveted prize, winning the 2015 Grand Final of the ANZ Young Farmer Contest at Taupo over the weekend. Now in its 47th year, the contest known as ‘New Zealand’s ultimate rural challenge’ tests competitors’ mental dexterity and physical stamina while showcasing the sophistication of modern farming. . .

 

 


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