Rural round-up

October 21, 2018

Purpose, strategy before structure – Pam Tipa:

Zespri chairman Peter McBride says he has highly transferable and unique skills and experience to bring to the Fonterra board table.

He is stepping down from his governance career with Zespri in the new year. Also chief executive of dairying and kiwifruit operation Trinity Lands, McBride says there are concerns about some Fonterra decisions and direction.

“We can either throw rocks at Fonterra or we can try to make a positive contribution.” . . 

Farm rescuer protects nature – Hugh Stringleman:

 Kaipara Mayor Dr Jason Smith wants to bring kiwi back to 47ha of regenerating native bush on Greenhill (Rehia) overlooking Ruawai in Northland. He owns the 430ha farm Greenhill in which the reserve is the centre and embodies a blend of history, family, farming and community service that impressed Hugh Stringleman.

Fifth-generation Kaipara sheep, beef and cropping farmer Jason Smith has brought his family’s farms back into profitable, sustainable production in just six years.

From a worse-than-standing-start he had to contend with some boundary fences that weren’t stock-proof, large paddocks up to 30ha, a huge area of old-man gorse, no recent fertiliser history, completely inadequate livestock handling facilities and a theoretical carrying capacity of 2500 stock units. . .

Urban consumers – do they want anything to eat or not? – Gray Baldwin:

You’ve got to feel sorry for the townies – locked up in postage stamp sized sections in suburbia. The neighbours to the south have loud parties, the northern neighbours have a Pit-Bull cross with a bad habit of biting you in the backside whenever you walk past the gate. The kids over the back fence keep kicking their rugby ball into your windows. In such environments, you yearn for the wide open spaces, for some room to flap your wings, for some farm life like you remember on Grandad’s farm.

But Grandad sold the farm back during the tough years in the eighties. No-one in the family wanted to carry on the daily chores of milking the cows, dagging the ewes and digging four foot deep post holes. Everyone went to town, there’s food enough in the supermarket right? Well yes there is food in the supermarket but because of the disgraceful behaviour of a few farmers and some media mischief making, townies don’t buy the argument from the supermarkets that the instore food is clean, sustainable and good for you. Instead some myths about farmers have developed in the minds of townies. Lets examine some of those myths: . . 

Noodles, milk and ale win awards – Richard Rennie:

Vegetable noodles from Marton, deer milk from Southland and a sour ale from Matakana captured the podium positions at this year’s Massey Food Awards.

The eclectic food basket of category winners was topped by a range of vegetable noodles from Marton business the Whole Mix Company, a subsidiary of Spiers Foods, claiming the Massey University Supreme Award at this year’s competition. . .

Historic Hawke’s Bay: Where the A&P show began – Michael Fowler:

The first Hawke’s Bay A&P show was held in 1863 in a paddock in Havelock North. An agricultural and pastoral society and its annual show was recognised as being important to Hawke’s Bay by the early pioneers as they knew the future wealth of the province would be generated by agriculture and horticulture.

By the 1920s, the Hawke’s Bay A&P Society’s annual show had been based at the Hastings Racecourse for more than 40 years. . .

Explaining agriculture to consumers using emotion not science – Eric Sfiligoj:

According to book author Michele Payn, Principal at Cause Matters Corp., the U.S. agricultural industry has a serious negative perception problem with the general public. “The anti-agricultural community has a very loud voice, especially on social media,” said Payn, speaking at the 2017 Mid America CropLife Association meeting in Kansas City, MO. “I don’t understand for the life of me why agricultural companies don’t do a better job at fighting back against this.”

And while Payn acknowledged that some agricultural entities have tried to refute anti-agricultural sentiment, many others have remained relatively quiet on the subject. “And when you sit in silence, we all lose,” she said.

Part of the challenge in reaching the general public is the fact that less than 2% of the U.S. population knows anything whatsoever about agriculture and how it operates. “Most consumers have never shaken hands with a farmer,” said Payn. “But based upon what they might know, they probably trust farmers. They don’t trust farming, however.” . . 


Rural round-up

October 19, 2018

Fonterra CEO Miles Hurrell responds to claims co-op is a failed experiment:

This week, the Herald published an article by industry observer Tony Baldwin, which argued in some depth that Fonterra has been a failed experiment. What follows is a response from Fonterra CEO Miles Hurrell to that article.

I took the job of CEO of Fonterra because I believe in the Co-op’s potential and the positive difference it makes to New Zealand and consumers around the world.

It’s clear the challenge is big and we don’t always get everything right. I’ve been open about that with our farmers, unit holders, employees and the New Zealand public.

Now our focus has shifted to rolling up our sleeves and getting on with the job. We are well underway with our business review, which will deliver a balanced portfolio of high-performing investments, aligned to strategy and delivering returns across the short, medium and longer term. . .

Hands-on hard yards training – Hamish MacLean:

Colderidge Downs, in the Rakaia Gorge, looks like paradise, but the Coleridge Down Training Farm is home to hands-on hard-yards-style training for youth with a passion for agriculture and the outdoors.

Covering extensive hill country to intensive irrigated pastoral land, the group of central Canterbury farms cover about 10,000ha, run 42,000 stock units, and take on three cadets a year to ultimately gain level 3 and 4 qualifications through primary ITO in a two-year course.

Lachie Mee (18) finished at Waitaki Boys’ High School as a year 12 pupil last year and started at Coleridge Downs in January along with two other first-year cadets.
And when he started, he quickly learned he had entered the workforce. . . 

 

Pāmu Deer Milk Wins Novel Food Award at NZ Food Awards:

Pāmu is excited to announce its success at the prestigious Massey University New Zealand Food Awards, taking home the Novel Food or Beverage Award for its groundbreaking deer milk product.

The announcement was made at the NZ Food Awards Gala Dinner last night, an event which highlights the best New Zealand has to offer in the food and beverage industry.

“The Food Awards are all about rewarding innovation, which makes this acknowledgement very meaningful to us,” said Pāmu Chief Executive, Steve Carden. “We spent over three years testing and trialing deer milk and have been incredibly pleased with the reception it has received amongst the restaurant industry. We knew it had broad appeal for desserts but have been really inspired by the range of savory applications we’ve seen chefs across the country develop. Some chefs have even created deer-milk cocktails.” . . 

Marks & Spencer weave NZ’s troubled wool into new line – Eric Frykberg:

New Zealand’s troubled coarse wool industry could benefit from a new line in sustainable clothing at British retail giant Marks & Spencer.

Six lines of men’s blazers have gone on sale at stores throughout Britain, made with New Zealand product.

Coarse wool has been struggling to earn its keep for years, with greater volumes having to be put onto the market in an often unsuccessful attempt to make up for falling prices.

Only fine fibre from breeds such as merino have helped the wool sector to prosper overall. . . 

‘Have your Say’ campaign launched for Rural NZ:

National Leader Simon Bridges has today launched the ‘Have Your Say’ listening campaign for Rural New Zealand as the next step in National’s 2020 election policy development process.

“We know farmers and growers contribute $42 billion a year in exports that sees 350,000 people employed in the sector, and New Zealand’s success depends on it. This success is underpinned by sustainable business practices that continue to enhance the environment for our children.

“We want to make sure rural communities can access top-quality public services and infrastructure like broadband, rural policing, education and health services. . .

Big cheese competition – Robyn Bristow:

Amateur cheesemakers will pit their skills against one another in the third annual Amateur Cheesemakers Competition at the Oxford Farmers Market on Sunday.

Those with a passion for cheesemaking must have their cheeses entered by 9am to be in with a chance of picking up a $50 prize. A $5 Farmers’ Market voucher will be given to everyone who enters.

Anyone wanting to be part of the taster/judging panel can register for $2, giving them the chance to taste all the entries and pick the three cheeses that tempt their tastebuds the most. . . 


Rural round-up

October 15, 2018

Big changes coming – Neal Wallace:

Farming will change fundamentally if new freshwater quality management rules restricting intensive winter grazing and fertiliser use are introduced.

The Government last week released Essential Freshwater: Healthy water, fairly allocated, a report on how to improve freshwater quality within five years.

While it lacked detail the Government singled out winter grazing, hill country cropping, feedlots and nutrient use as causes of degraded water quality that will be a focus. . .

No rural-urban divide found here – Neal Wallace:

Anna Jones never forgot her rural roots when a career in journalism took her to live in some of England’s largest cities. Having experienced life on both sides of the fence she realised she had to do something about the role of the media in the urban-rural disconnect. She told Neal Wallace there are faults on both sides.

ANNA Jones concedes alcohol was involved in a game she created called Farmer Jargon Bingo, played with friends one evening in the English city of Bristol.

A simple concept, it required her urban friends to provide their definition of commonly used farming terms which the farmer’s daughter, journalist and Nuffield scholar duly recorded. . .

 

Move around world never regretted – Sally Rae:

Harry might have met Sally but when Rory met Frank, it was to lead to a move to the other side of the world.

Irish-born Dr Rory O’Brien is research manager at DRL Ltd, based at Invermay’s Agricultural Research Centre. Originally known as Deer Research Laboratory, it was established by Prof Frank Griffin in 1985 within the Department of Microbiology and Immunology at the University of Otago.

It has worked closely with veterinarians and farmers for more than 30 years to develop and make available custom-diagnostic services. . . 

Moo beat music for process manager – Sally Rae:

Working in a shiny new $240 million nutritional formula plant is a far cry from a dream of being a musician.

But Nathan McRae, process manager at Mataura Valley Milk on the outskirts of Gore, has no regrets about eventually choosing a career in the dairy industry.

His interest was sparked in Europe during a year-long OE with his wife. He decided he wanted to take the opportunity the industry offered and pursued that interest when he returned to the South.

Gore-born-and-bred, Mr McRae has lived in the Eastern Southland town all his life, with the exception of his OE. . .

Commission releases draft report on Fonterra’s 2018/19 Milk Price Manual:

The Commerce Commission today released its draft report on its annual review of Fonterra’s Milk Price Manual for the 2018/19 dairy season.

Commission Deputy Chair Sue Begg said Fonterra’s 2018/19 Manual remains largely consistent with the purpose of the milk price monitoring regime under the Dairy Industry Restructuring Act.

The Commission has no concerns with Fonterra’s amendments to the Manual this year. However, the treatment of farmer support and the capacity of standard plants remain aspects of the manual that would benefit from revisions to improve consistency with the purpose of the regime and clarity, respectively. . . 

Hill country landscapes focus of five-year project:

Hill country landscapes are the subject of a comprehensive research project which focuses on growing diverse pastures to sustainably lift productivity and profitability, and benefit rural communities.

The five-year project, which is a collaboration between Beef + Lamb New Zealand (B+LNZ), the Ministry for Business Innovation and Employment, PGG Wrightson, Seed Force and the Federation for Maori Authorities, will be looking at legumes and forage options for hill country, matching land use with land use capability, developing pasture management guidelines and building strong rural communities.

B+LNZ ‘s Research Manager Tanya Robinson says field work, led by Professor Derrick Moot from Lincoln University, has already started with plot trials evaluating a number of legumes and forages. . .

A sheep that stole the A and P show:

An enterprising sheep stole some of the limelight at the Ellesmere A and P Show on Saturday, gatecrashing a ribbon ceremony and masquerading as an alpaca after escaping from a pen at the shearing shed.

The cunning plan came unstuck when there weren’t enough ribbons to go around, leaving the opportunist ovine without so much as a stitch of silk to wear, with barely anywhere to hide and looking decidedly sheepish as it stood beside the beribboned alpaca section winners with their owners in the main oval. . . 

Low emission cows: farming responds to climate warning – Jonathan Watts:

From low-emission cows to robotic soil management, the farming industry will have to explore new approaches in the wake of a UN warning that the world needs to cut meat consumption or face worsening climate chaos.

That was the message from Guy Smith, vice-president of the National Farmers’ Union (NFU), this week as policymakers began to discuss how Britain can address the challenges posed by the recent global warming report by the UN’s Intergovernmental Panel on Climate Change (IPCC).

Farming and land use are set to move to a more central position in the climate debate in the wake of that report, which urged countries to widen their emissions-cutting efforts beyond the energy industry to agriculture and transport. . .

 


Rural round-up

October 13, 2018

Grabbing life by the horns:

October 8th- 14th marks Mental Health Awareness Week. Co-op farmer Wayne Langford knows what it’s like to suffer from mental illness. He’s the man behind the YOLO (You Only Live Once) farmer blog. He shares his story about owning up to his illness and how the YOLO project helped him cope with depression.

I was pretty down in the dumps – I referred to it as a rough patch, my wife called it what it really was – depression. We were lying in bed one morning and she said, “well, what are we going to do? Because we can’t go on like this.”

Most people who knew Wayne Langford knew this about him. He was 34, married to his wife Tyler and the father of three boys. He was a 6th generation dairy farmer who owned and ran his Golden Bay farm. He was a proud Fonterra supplier and was the Federated Farmers Dairy Vice Chairman. . .

Farm produce holds up trade deal:

New Zealand trade negotiators are trying to get their European counterparts to recognise Kiwi agricultural exports are small-fry in comparison to the regional bloc’s farming sector.

The second round of free-trade negotiations between NZ and the European Union is under way in Wellington with 31 European officials in the capital to discuss a deal politicians say they’re keen to fast-track. . . 

Kaitiakitanga and technology benefiting farmers, environment:

An innovative approach to monitoring farm effluent runoff is reaping financial rewards for farmers with bonuses for farming excellence.

Miraka, a Taupo-based milk processor with more than 100 suppliers, is offering bonuses to farmers who meet the five criteria set out in its Te Ara Miraka Farming Excellence programme – people, the environment, animal welfare, milk quality and prosperity
. . .

Farmers build rapport amid Mycoplasma bovis heartache – Tracy Neal:

Despite the fact they are not out of the woods yet, cattle farmers are starting to consider life after Mycoplasma bovis.

Finding that pathway will be helped by a special Beyond Bovis seminar in Hamilton later this month – held in conjunction with the Waikato A&P Show.

The government is working to eradicate M bovis and so far more than 43,000 cows have been culled. . .

High country station to host agricultural workshops – Yvonne O’Hara:

There is a shortage of young people wishing to work in the agriculture sectors, and industry consultant John Bates, of Alexandra, is developing a programme to help address the problem.

Lincoln University owns Mt Grand, a 2127ha high country station near Lake Hawea.

Profits from the farm help fund postgraduate and graduate scholarships.

It is also a teaching facility for university students studying environmental and ecological degrees. . . 

 

PGG Wrightson expects FY19 operating earnings to match prior year’s record – Rebecca Howard:

(BusinessDesk) – PGG Wrightson expects full-year operating earnings to be on par with last year’s record, including earnings from the seed and grain business that it is selling to Danish cooperative DLF Seeds.

The company said it expects its operating earnings before interest, tax, depreciation and amortisation to June 30, will be approximately $70 million. In August, it said its operating ebitda was a record $70.2 million in the year ended June. . . 

Virgin beefing up for transtasman battle

Weeks out from its breakup with Air New Zealand, Virgin Australia says it ready to roll out its “full armoury” in what is shaping up as a three-way battle over the Tasman.

The Australian airline is also trying to establish more of a market presence here after being quiet for much of the alliance with Air New Zealand that stretched more than six years but will end on October 28 after the Kiwi carrier opted to quit the partnership.

Virgin has since upped its marketing and following a search for a New Zealand beef supplier the airline today announced Hinterland Foods from Moawhango in the Rangitikei District had won the “Got Beef” campaign and would supply its meat to the airline for in-flight meals. . . 


Rural round-up

October 11, 2018

Fonterra is in a fix but farmers should beware of what happens when the Govt steps in … – Point of Order:

“Govt won’t fix Fonterra’s problems” – so ran  the  strapline  on  the  NZ Herald’s  weekly  “The Business”  last  Friday.

And  thousands   of  Fonterra’s  farmer-suppliers,  reading  the  article which quoted Agriculture Minister Damien  O’Connor,  almost  certainly would have sighed  with relief.

Who  would want   this   government  to  “fix”  their  industry?  Look what happened to  the   oil and  gas  exploration industry  after  Energy Resources  Minister   Megan Woods  applied  her  “fix”  to  it. . . 

NZ plays down threat to European agri interests in FTA talks – Paul McBeth:

(BusinessDesk) – New Zealand trade negotiators are trying to get their European counterparts to recognise that the nation’s agricultural exports are small-fry in comparison to the regional bloc’s farming sector.

The second round of free trade negotiations between New Zealand and the EU is underway in Wellington, with 31 European officials in the capital to make progress in a deal politicians say they’re keen to fast-track. In a 90-minute public forum, the chief negotiators – Peter Berz for the EU and Martin Harvey of the Ministry of Foreign Affairs and Trade – said there was a lot of commonality between the parties, but that agriculture is a sticking point.  . .

Breakthrough technology could save dairy industry millions:

A new device that detects processing losses in dairy plants could save the industry millions of dollars a year and help prevent pollutants from entering waterways.

Lincoln University-owned research and development company, Lincoln Agritech Ltd, developed the breakthrough technology and it was then commercialised by Christchurch-based start-up company, CertusBio.

The result is a robust, automated biosensor capable of continuous monitoring in commercial operating conditions. Known as Milk-Guard, the device uses a lactose-specific enzyme to measure the percentage of dairy products present in waste streams and processing lines
.. .

12 lessons from the Future of Farming Dialogue – Jamie Mackay:

What’s in store for the rural sector? Host of The Country radio show Jamie Mackay got a glimpse at the Bayer Future of Farming Dialogue conference in Düsseldorf and Amsterdam. Here’s what he discovered:

1)

Even though it was very much tempered by sitting much closer to the front than the back, 17 hours is a hell of a long time to be stuck on a plane.

The Auckland-Dubai direct flight is the third-longest commercial flight on the planet, behind Auckland-Doha and Perth-London.

2)

The world faces a food crisis. How to feed a potential population of 10 billion people by 2050? In 1960 we had more than one acre (0.4 ha) of arable land for every person on the planet. Today that number is less than half that. Many of our most productive soils now grow only houses. . . 

 

Multi-pronged approach critical to successful environment strategy – Allan Barber:

Since announcing its environment strategy in May, the Beef + Lamb New Zealand team responsible for developing the plans, processes and tools to help farmers achieve the ambitious goals of being carbon neutral by 2050 and every farm having an active farm plan by 2021 has been working flat out to get the right farm planning systems in place. The strategy identifies four areas of focus – cleaner water, carbon neutrality, thriving biodiversity and healthy productive soils – with their own specific goals and a detailed implementation plan, supported by a series of what are termed ‘foundations’.

Initially there are two foundations which explicitly rely on the participation of individual farmers. The first is helping farmers navigate the myriad of farm environment plans out there so they can identify the one that complies with local regulations and is best suited to help them document their individual on farm environment plan; the second foundation will encourage the establishment and facilitation of catchment communities which are relevant to the farmers’ local areas.  . . 

CP Wool announces exclusive partnership to distribute NZ wool carpets in US:

Premium New Zealand wool carpets and rugs will soon be available to thousands more US consumers under a new distribution partnership between Carrfields Primary Wool (CP Wool) and J Mish Mills.

Under the agreement, leading carpet business J Mish will design and manufacture carpets and rugs from yarn grown and spun in New Zealand. The products will then be distributed throughout the US via J Mish’s large network of dealer and designer relationships. . . 

Feral sheep’s wool could set world record

A feral ewe captured on a remote bluff will have her first brush with the shears this weekend and organisers say she could have the longest wool in the world.

The crossbred sheep was caught in the Mapiu district, south of Te Kuiti, by Amie Ritchie and Carla Clark.

Named Suzy by her captors, the ewe is not believed to have been shorn before.  However, that will change at The Wool Shed, the national museum of sheep and shearing, in Masterton on Sunday. . . 

Why we need a real forestry strategy – Rod Oram:

We’re an odd country when it comes to trees. We have a lot of them but no overarching long-term policy for them. Consequently, our short-term forestry decisions deliver some adverse outcomes, both economic and environmental.

And on our current course it’s going to get worse. We’re racing to plant one billion trees in a decade to help us meet our climate commitments (as last week’s column discussed), develop regional economies, reduce soil erosion, improve water quality, and enhance biodiversity such as helping to save native birds from extinction.

Trees could do all of that for us. But only if they can flourish in healthy ecosystems. To do so, they need all the help we can give them over three or four human generations. Instead, we’re working in silos over just a decade or two, the longest time most commercial enterprises can wait for an investment to pay off. . .

Major investors back medicinal cannabis with stake in Helius:

Cannabis-focused biotechnology company, Helius Therapeutics, announced today it has completed its $15m capital raise and is now backed by a small group of New Zealand investors, led by tech entrepreneur, Guy Haddleton.

Haddleton says “Helius Therapeutics has all the features we seek in a high-potential investment. The company has a clear and large vision, extraordinary talent and deep go-to-market experience. More importantly, Helius will improve significantly the quality of life for hundreds of thousands of New Zealanders”. . .


Rural round-up

October 10, 2018

High lamb prices will hit profit – Nigel Malthus:

Alliance Group has warned that its annual result, due to be reported in November, will show a drop in profit.

“The financial performance of the company this year will be down… meaningfully,” chief executive David Surveyor told farmers attending the company’s roadshow meeting in Cheviot last week.

However, he assured shareholders the company is profitable, the balance sheet remains “incredibly strong, and for the avoidance of any doubt we have the ability to make sure we build our company forward.” . . 

3 M bovis farms confirmed through bulk milk testing – Sally Rae:

 Only three farms have been confirmed through bulk milk testing as having Mycoplasma bovis – but the Ministry for Primary Industries says it is too early to speculate about final results.

The second bulk milk surveillance programme was being undertaken now as spring was the best time to test for the disease, the ministry said.

Infected animals were more likely to shed the bacteria after a stressful period, such as calving and the start of lactation
.

To date, almost 10,000 of the country’s 12,000 dairy farms had completed two rounds of testing, MPI said in an update
.

Govt committed to Mycoplasma bovis eradication; $25.6M spent to date – Rebecca Howard:

(BusinessDesk) – The government has paid $25.6 million in compensation claims related to Mycoplasma bovis and remains committed to phased eradication, said Prime Minister Jacinda Ardern and Biosecurity Minister Damien O’Connor.

One of the biggest challenges for farmers has been navigating the compensation process and Ardern and O’Connor announced a new recovery package aimed at making that easier.

The package includes a team of rural professionals who understand both farming and the compensation process who can sit down and work with farmers on their claims. The Ministry for Primary Industries has also produced an improved compensation form and guide and an online calculator of milk production losses. It will also provide regional recovery managers for key areas. . . .

Marc Rivers: The man with Fonterra’s fortunes in his hands – John Anthony:

Marc Rivers has a TEDx talk. And it’s not about numbers, profit and loss – and there is no mention of balance sheets.

Rivers, Fonterra’s top number cruncher, is not your typical chief financial officer.

Unlike their charismatic chief executive counterparts, chief financial officers are generally regarded as robotic accountant types, capable of presenting a company’s financial position in jargon that few people understand. . . 

State of the Rural Nation Survey finds rural dwellers less likely to talk to health professionals

  • Seven in ten people have felt increased stress over the last five years
  • Those aged 18-39 feeling the most pressure
  • 61 percent said living rurally limits access to mental health resources

A recent survey has found that 70 percent of rural New Zealanders have felt more stress over the last five years.

The State of the Rural Nation Survey, conducted by Bayer New Zealand and Country TV, asked participants several questions regarding their views on critical topics impacting rural New Zealand today, including a series of questions around mental health.

Of those who responded that they had felt increased stress over the last five years, over half (54 percent) attributed financial pressures as the main reason, while the impact of environmental factors (ie droughts, flooding, hail) on people’s work and livelihoods came in at a close second (49 percent). . . 

Gene editing in brief: What, how, why:

Embracing gene editing could have huge benefits for New Zealand’s primary industries and we shouldn’t be scared of the technology, scientists say.

The latest paper in a series from the Royal Society Te Apārangi outlined five ways gene editing could be used in farming and forestry and scientists are keen for Kiwis to discuss the issue.

It sounds scary, though.  So what’s it all about?

Gene editing (also known as genome editing) is the targeted alteration of a specific DNA sequence. While older genetic modification technology typically added foreign DNA to a plant or animal, gene editing involves precise modification of small sections of existing DNA.  . . 

Mental health workshop focus on rural people:

Workshops being held across the country are equipping farmers and rural professionals with the tools to recognise and support those who are struggling.

NZ Young Farmers has organised five of the Good Yarn workshops, the second of which was held in Carterton last week.

Greytown dairy farmer Rachel Gardner, one of 14 attendees last week, is encouraging other young people to talk about mental health. . . 

Meat measurement technology given funding boost :

Adelaide-based AgTech startup MEQ Probe has received $500,000 funding from Meat & Livestock Australia and industry partners Teys Australia and the Midfield Group to test ground-breaking technology to objectively measure the eating quality of meat.

Coming just a few months after MEQ Probe took home a coveted Pitch in the Paddock prize at the tri-annual Beef Australia event, the funding also includes investment from MEQ Probe founder, AgTech betaworks Availer.

It will enable a commercial pilot of the MEQ Probe technology, which uses nanoscale biophotonics to measure the marbling and tenderness of meat; both major drivers of eating quality.   . . 

 

Blueberry orchard for sale offers jam-packed opportunities:

A substantial blueberry orchard with its own commercial processing plant and refrigerated pack-house – producing one of the rarest but highest-yielding blueberry crops in New Zealand – has been placed on the market for sale.

The 8.8-hectare property at Gordonton in the Waikato features some eight hectares of blueberry plantings under canopy cover, along with buildings, equipment, and plant used for picking, sorting, packing and chilling blueberries.

Planted on peat soil and regularly fertilised, the orchard has some 15,000 trees – including 500 of the new Jaac variety of blueberry which produces a heavier-yielding crop than traditional clones. Other blueberry varieties grown in the orchard include Powder Blue, Tiff Blue, Centra Blue, O’Neal, Sunset, and Velluto. . . 


Fonterra drops forecast payout

October 10, 2018

Fonterra has dropped its forecast farmgate milk payout for the current season:

Fonterra Co-operative Group Limited today revised its 2018/19 forecast Farmgate Milk Price from $6.75 per kgMS to a range of $6.25-$6.50 per kgMS and increased its forecast New Zealand milk collection volumes by 1.3 per cent to 1,550 million kgMS.

While no-one will be celebrating this, it’s not unexpected and it’s still not a bad price.

Although it’s very early in the season and it could well change again.

Fonterra Chief Executive, Miles Hurrell, says the change in the forecast Farmgate Milk Price was due to a stronger global milk supply relative to demand at this time.

“I know how hard it is for farmers when the forecast Farmgate Milk Price drops, but it’s important they have the most up to date picture so they can make the best decisions for their farming businesses.

“We are still seeing strong production coming from Europe, US and Argentina. While the hot weather in Europe has slowed down the region’s production growth, it is still tracking ahead of last year. US milk production is up slightly and Argentina’s is up 6.8%.

“Here in New Zealand, the season has got off to a positive start, mainly thanks to good weather and early calving in the South Island. As a result, we have increased our forecast milk collections for the year to 1,550 million kgMS – up from 1,525 million kgMS.”

Mr Hurrell says that global demand is simply not matching current increases in supply.

“At recent Global Dairy Trade (GDT) events, prices for all products that make up the milk price have fallen. Demand for WMP, in particular, continues to grow in China, and it remains strong across South East Asia, but it simply isn’t matching current levels of supply.”

Talking about the new move to provide a range for the forecast Farmgate Milk Price, Mr Hurrell says it was part of the Co-op’s intention to provide the best possible signals.

“We operate in a hugely volatile global market place, so it is very difficult to pinpoint an exact forecast Farmgate Milk Price this early in the season. For example, weather conditions can change suddenly and this can have a significant impact on the global milk supply.

“As a result, we have chosen to give a range of $6.25-$6.50 per kgMS and be clear that the Advance Rate is based on $6.25 per kgMS and the final price could be outside this range as we are still early in the season and up against considerable volatility. We therefore recommend farmers budget with ongoing caution.”

The timing of today’s update is driven by available market information and is not a DIRA requirement. Fonterra is required to give a forecast for DIRA purposes by 15 December 2018.

Supply and demand – the former is higher than the latter which depresses the price.

It’s as simple as that.

 


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