Rural round-up

July 31, 2016

World trends that will influence future farming – Pita Alexander:

The oldest son in a farming family has returned home from a trip overseas after completing his degree at Lincoln University.

Before coming back to the farm and making a career of farming the son spent a year in Australia, North America and Europe. He wanted to obtain a picture of where farming might be heading during his tenure.

Among his many observations in a report he prepared for his family were the following:

– A formal licence to farm is looking like a certainty for New Zealand within the next 10 – 15 years and the banks may lend at lower interest rates with this certificate.

–  Killing farm animals before they are fully grown is getting some air time in some countries.

– Traceability from the farmer to the eating and buying consumer is already present, but is going to get more complicated and will hopefully bring more value to the farmer.

–  About 25-30 per cent of the world’s food production ends up being wasted and not eaten  – this will have to be improved upon well before 2050. . . 

ASB punts on Fonterra sticking with $4.25 milk price – Jamie Grey:

ASB Bank is punting on Fonterra leaving its 2016/7 farmgate milk price forecast unchanged at $4.25 a kg of milk solids when the co-operative releases a market update on Monday.

However the risks were “skewed” to a figure as low as $3.90/kg because of a consistently strong New Zealand dollar, ASB rural economist Nathan Penny said in a research note.

Penny said it was still early days in the season, which started on June 1, and that there was plenty of time for dairy prices to rise. . . 

More research is needed if farming is to progress – Jacqueline Rowarth:

Climate variability, farm gate prices for food and fibre, and increased concerns about the environment are combining to create unsustainable farm systems.

Alternatives need careful evaluation before decisions are made in an attempt to avoid unintended consequences.

The latter can be worse than the current state – Brexit, for example. 

Increased warm temperatures, drought, floods and long cold springs mean that farmers are adapting systems to cope. Use of supplementary feed has been part of the development of resilient farm businesses, but the urban perspective is that costs have increased without an increase in income. . . 

Resistance or resilience – which best characterises the red meat sector? – Allan Barber:

The Red Meat Sector Conference held in Auckland on Monday did not have one single theme, but a series of themes across the day, starting with the question ‘resistance or resilience?’ Past history suggests the answer might most logically be both rather than a choice between the two options.

In his introductory remarks MIA chairman John Loughlin said the volatile global situation contrasted with a relatively stable environment at home with a predictable meat industry, while Beef + Lamb chairman James Parsons highlighted the need to reduce on farm costs while achieving incremental gains across the supply chain. . . 

Queenstown tracks to get ratepayer funding:

Queenstown’s council has agreed to pay to maintain 11 walking and biking tracks being developed across two high country stations.

The Queenstown Lakes District Council yesterday agreed to pay $10,000 a year to maintain the existing and planned tracks, which will go across Glencoe and Coronet Stations.

The land is partially owned by the Crown under pastoral lease, and partially by Soho Properties, which has entered into an agreement with the Queen Elizabeth II Trust to protect the land. . . 

Better baits and better trapping – Kate Guthrie:

Peanut butter has long been used as a lure for rats. Possums have a fondness for the scent of cinnamon. But are they the all-time favourite foods of rats and possums? Researchers at Victoria University of Wellington used chew cards to check out what really tickles the tastebuds of two of our more common urban pest species. Home trappers might like to give these food lures a go too…

Many tests of trap lures are done with laboratory animals, but in this project the researchers compared food-based products on free-ranging, wild rats and possums. They assessed the chew card results for attractiveness and consumption and found that wild rats preferred cheese, milk chocolate, Nutella and walnut to the peanut butter standard. Possums statistically preferred apricot and almond to cinnamon. . . 

Farmers need to be bank ready:

With the dairy pay out remaining stubbornly low and equity positions becoming more precarious many farmers are seeing more of their bank manager, according to Crowe Horwath’s Head of Corporate Agribusiness, Hayden Dillon.

Dillon is quick to point out that this increased level of contact isn’t always a bad thing and proactive discussions between banker and farmer are an important step to take in dealing with the current financial pressures both parties are facing.

However, it can be intimidating for some and a recent Federated Farmers’ survey found that one in ten farmers were feeling an ‘undue’ level of pressure from their bank. . . 

#431AM top ten calving tips:

We asked our #431AM farming community how to get through #calving16.

Here are some of our farmers’ top tips for the calving season. Thanks to everyone who contributed!

We’d love to hear your #calving16 tips – hit us up on Twitter, Facebook or Instagram using #431AM. 

 

  • Eat well, sleep well, know your body’s limits. Good communication amongst your team and don’t let things get to you. It’s farming, it’s life and things go wrong. It’s how you manage the situation that counts. Being negative will make time go so much slower, and above all think of our girls. We get days off during the season but they don’t, without our girls we are grass growers. Richard H
  • We have 3 meetings a day. We have a work safe meeting to work out what safety gear we will need before we’re out the door. Yesterday with snow on the ground it was too dangerous for workers to leave the house. You have to have more meetings. 1 a day is not enough. Ann-Maree G
  • Take time to get off farm, even for an hour. Keep in touch with others, especially when things are at their toughest. Chances are others are also feeling the burn. Sue M
  • Set a roster, keep the fridge stocked with food snacks, have morning meetings with coffee and snacks and last thing at night after milking. Ask what people want to discuss at tomorrow’s meeting and what was their highlights and/or best achievements for the day. Geoff M . . .

 

South Island Wool Bounces:

New Zealand Wool Services International LTDs CEO Mr John Dawson reports that despite a strengthening NZ dollar, the varied selection at this week’s South Island auction attracted strong support.

Of the 7700 bales on offer 85 percent sold.

The weighted currency indicator was up 2.06 percent compared to the previous week’s auction.

Mr Dawson advises that a selection ranging from 21 micron merinos to 42 micron coarse wools with a cross section of styles and lengths provided attractive options to buyers which overrode the possible negative impact of the stronger dollar compared to the similar South Island offering on 14 July. . . 

Fine wines of New Zealand revealed:

Six of the nation’s leading independent wine experts have come together to create “The Fine Wines of New Zealand” – a list of the country’s most prestigious wines.

A selection panel comprising Masters of Wine Alastair Maling, Michael Brajkovich, Sam Harrop, Simon Nash and Steve Smith along with Master Sommelier Cameron Douglas has agreed on the list for 2016 which includes 47 wines representing seven varietals.

This group of leading New Zealand wine experts met several times in late 2015 and in the first half of 2016 to define the criteria that had to be met for a wine to earn the prestigious Fine Wine of New Zealand status. One of the key criteria is consistency, with a wine having had to have been produced to an exceptional standard for a minimum of five consecutive years. . . 


Rural round-up

July 28, 2016

NZer Matt Smith breaks world shearing record:

New Zealander Matt Smith has broken one of the biggest world records in shearing sports in England overnight.

He smashed the world solo nine-hours ewe shearing record with a new tally of 731 in the first global shearing record attempted in the Northern Hemisphere.

The previous record of 721 had stood for more than nine years since being shorn by Hawke’s Bay shearer Rodney Sutton in 2007.. . 

Farm survey shows confidence subdued but steady:

Farmer confidence has picked up slightly since surveyed last in January but remains weak, according to Federated Farmers’ July 2016 Farm Confidence Survey.

The survey was conducted immediately after the Brexit decision and this appears to have dampened farmer confidence in the global market, on top of their existing concerns about the domestic scene, president of Federated Farmers Dr William Rolleston says.

“The strength of the global economy, post Brexit, is weighing heavily on farmers’ expectations. . . 

Leading Kiwi farmers join global master class on fact-finding mission to Zambia:

Six New Zealanders were among a select group of 20 leading farmers from around the world to recently attend a Rabobank Global Farmers Master Class in Zambia.

The week-long education program – which comprised alumni of previous Rabobank Global Master Class events held around the world – brought together farmers from nine key food and agriculture-producing countries to observe the potential of the Zambian agricultural sector and to discuss the challenges facing local producers. The program saw participants visit a range of agricultural operations in Zambia’s Lusaka and Mkushi regions and hear from a number of key Zambian agriculture industry participants. . .

Challenges as Marlborough wine industry booms  Shannon Redstall:

Wine production in Marlborough is tipped to increase by 25 percent over the next five years so industry leaders are meeting to today to plan for the future.

The movers and shakers of the Marlborough wine industry are holding a meeting today to discuss the future of one of the country’s biggest exports.

Results from the recent Marlborough Labour Market Survey, a joint initiative by Wine Marlborough, New Zealand Winegrowers and Marlborough District Council, show the industry is rapidly expanding. . .

Predator-Free New Zealand Critical to Dairy Industry:

Fonterra has welcomed the Government’s goal of New Zealand becoming predator free by 2050.

“This is a hugely significant goal, and one that the dairy industry shares,” said Carolyn Mortland, Fonterra’s Director of Social Responsibility.

“A predator free New Zealand would have significant benefits for New Zealand’s environment as well as help with animal TB eradication.”

TB and other diseases carried by possums and rats carry a high on-going cost to farmers, as well as to dairy companies investing in pest control for the protection of production facilities. . . 

Allied Farmers shares jump 16% on earnings upgrade – Paul McBeth:

(BusinessDesk) – Allied Farmers shares jumped 16 percent after the rural services firm gave a rosier view on annual earnings due to a better than expected performance from its livestock division.

The Hawera-based company said pre-tax profit was between $1.4 million and $1.6 million in the year ended June 30, up from $1.11 million a year earlier. The final result will be released on by Aug. 29. The shares climbed 0.7 of a cent to 5 cents, valuing the company at $8.3 million.

“A large portion of NZ Farmers Livestock’s income is budgeted to be received in May each year, due to the timing of dairy herd sales,” chairman Garry Bluett said. “ . .

 


Rural round-up

July 27, 2016

New rules for bobby calves confirmed:

New regulations to strengthen the law around the treatment of bobby calves have been officially gazetted today and most will be in place for the 1 August Spring calving season, Primary Industries Minister Nathan Guy has announced today.

“As signalled earlier this year, these regulations have now been confirmed by Cabinet. They are an important step in protecting animals and New Zealand’s reputation as a responsible producer,” says Mr Guy.

“They set clear standards and include a wider set of compliance tools including the ability to issue infringement notices for lower level offending, and broader prosecutable offences. . . 

Ministry for Primary Industries's photo.

Time of the gentle greys is coming – Andrea Fox:

Pulling up to Paradise Valley Murray Grey Stud is a shot in the arm for jaded winter farming spirits and perhaps, the breed’s future, writes Andrea Fox.

It’s the middle of winter in the misty, chill hills on the way to Kawhia but you’d never know it looking at Micheal Phillips’ murray greys.

They’re looking a million bucks. Seal fat and well-content – from autumn calves up to the strapping big sire bulls. A sight for sore eyes compared to some livestock doing harder time in this western corner of the Waikato.

Shirt-clad Phillips, like his cattle apparently impervious to winter, farms a registered murray grey stud herd and a commercial herd on 250 hectares in the Honikiwi district, along with 150 non-murray grey heifers bought as weaners and destined for the prime meat and store markets, and 600 romney and coopworth ewes. . . 

Ewe pregnancies back as facial eczema takes its toll – Jill Galloway:

Manawatu and Rangitikei farmers are facing fewer lambs than expected as facial eczema takes its toll on ewes.

Federated Farmers Manawatu/Rangitikei Meat & Fibre chairman, Richard Morrison said scanning was back about 10 per cent and ewes were carrying fewer lambs.

“And dry rates [ewes not in lamb] varied a lot across the regions.  We had 2 per cent, but some people were probably as high as 20 per cent.” . . 

Biosecurity 2025 discussion document released:

Primary Industries Minister Nathan Guy has launched the Biosecurity 2025 discussion document today, seeking public feedback on a long term direction for the biosecurity system.

“New Zealand has a world leading biosecurity system, but the challenges and opportunities we face are changing rapidly. The time is right to identify the changes and improvements that will be needed to maintain a resilient biosecurity system over the next 10 years,” says Mr Guy.

“The primary sector is a significant part of New Zealand’s economy, making up around half of all our exports. We need to protect our producers from unwanted pests and diseases, which is why biosecurity has always been my number one priority as Minister. . . 

Ministry for Primary Industries's photo.

Local dairy farms struggle to find staff, blame pot – Will Houston:

Several Humboldt County dairy farmers say they are facing a widespread shortage of employees due to restrictive immigration control as well as being outcompeted by the cannabis cultivation industry.

As result, some dairy farms may have to sell some of their cows or even close down their farms as their daily workload mounts, according to Western United Dairymen trade association’s Melissa Lema. Others say they will just have to grit their teeth and try to make up for the extra work as best they can.

“I’ve had a dairy producer tell me that it was the worst three months he has had than he has had in 45 years in the business,” said Lema, who is the trade association’s North Coast representative and represents 63 dairy farms in Humboldt County. . . 

Morning Frosts a Change From Tropical Conditions for Fonterra Visitors:

Getting up early on a foggy frosty Waikato morning for calving is quite a change for the nine Indonesian farmers in New Zealand this winter with Fonterra’s Dairy Development programme.

These farmers who would normally work in hot and humid 31 degree temperatures, are now rugged up to spend four weeks in New Zealand as part of their 12 week scholarship programme with Fonterra.

Fonterra’s Dairy Development programme teaches farmers in developing countries animal care best practice, and other key skills to improve on-farm efficiencies that produce higher volumes of better quality milk.

Joining the farmers in the programme are three Indonesian Government dairy extension officers and two Fonterra Sri Lankan supplier relationship officers. . . 


Rural round-up

July 14, 2016

Dairy farmers urged to plan for volatility – Sally Rae:

Dairy farmers need to strengthen their business structures by rebuilding equity in the next price upcycle and further develop flexible production systems that can easily reduce costs when prices fall, a new report from Rabobank says.

The severe price downturn marked the third trough in the past decade and the sector must plan for inevitable future volatility, report co-author and dairy analyst Emma Higgins said.

“Tough decisions will need to be made in the next upward cycle. Farmers will need to make a careful and considered decision whether to put some debt to bed or chase a profit margin through increased investment and spending. . . 

Million kg milestone for milk futures:

NZX celebrated a milestone in the development of its New Zealand milk price futures contract on Friday, with more than one million kilograms of milk solids (kg/ms) traded since the product launched at the end of May.

The total number of contracts traded since launch was 184 at close of trading on Friday. Each contract is worth 6000 (kg/ms), totalling 1,104,000 kg/ms.

The 2016/17 contract has traded at an average price of $4.53, while the 2017/18 average contract price was $5.60. . . 

Critical shortage of doctors in NZ small towns:

There’s almost no such thing as a ‘community doctor’ anymore, health expert Professor Ross Lawrenson says.

There’s a critical shortage of doctors in small towns across New Zealand, and Waikato University’s Prof Lawrenson wants medical students sent to rural practices earlier to combat the problem.

“The two medical schools did a survey of medical students who were just qualifying, and only two percent of them wanted to live in a community of less than 10,000 population – there’s a real issue there.”

He says the system is at crisis point, and he believes the way doctors are trained is letting down rural communities. . . 

Meat and dairy exporters secure largest ever container ship for Asia run – Pattrick Smellie

 (BusinessDesk) – The Kotahi joint venture between Fonterra Cooperative Group and Silver Fern Farms is launching a new weekly service to Asian export markets using the largest container ship ever to call at a New Zealand port.

The service will operate through the Port of Tauranga, where a $350 million port expansion and dredging operation will allow visits by a ship capable of carrying more than twice the usual number of containers seen on cargo ships operating through New Zealand.

The new service will see ships with a capacity of 9,500 TEUs – 20-foot container equivalents – calling at Tauranga on their way from the west coast of South America before heading to ports in North Asia. . . 

Rabobank New Zealand announces new CEO:

Rabobank New Zealand has announced the appointment of Daryl Johnson to the position of chief executive officer.

Effective immediately, the appointment sees Mr Johnson take over the role from Crawford Taylor, who has served as CEO in an interim capacity since October 2015.

Announcing the appointment, Rabobank New Zealand Chairman John Palmer said the bank was very pleased to have a highly-experienced banking executive of Mr Johnson’s calibre take the helm of the business as it continues its growth and development in the New Zealand market. . . 

MOU with Foshan City kicks off global Food Integrity Conference:

Chinese representatives visiting from Foshan city will sign a Memorandum of Understanding (MOU) with the Asia Pacific Centre for Food Integrity tomorrow morning at the opening of the Food Integrity Conference 2016.

The MOU is an exciting step for the APCFI to work closely with colleagues in China on food safety education in Foshan. Foshan has a population of more than 7.2million and is the third largest city in the Guangdong province.

This agreement is a huge opportunity for the Asia Pacific Centre for Food Integrity, Executive Director and Conference Organiser, Dr Helen Darling. . . 

New salmon farms for Marlborough:

The opening of two new salmon farms in the Marlborough Sounds today is a welcome development for New Zealand’s aquaculture industry, Environment Minister and Nelson MP Dr Nick Smith says.

“Salmon is a healthy, sustainable and high-value product and we should be proud that New Zealand is the world’s largest producer of farmed king salmon. New Zealand King Salmon’s Marlborough Sounds operation supports 440 jobs and $115 million in annual export earnings, and comes from just 8 hectares of farms in the 800,000 hectare Sounds. No other primary industry is able to support so many jobs and families from such a small area.”

The two new salmon farms in Pelorus Sound, the Waitata Bay farm and the Kopāua farm in Richmond Bay, add to King Salmon’s operating farms in Queen Charlotte Sound. They will eventually take the company’s production from 6000 to 10,500 tonnes per year, and boost earnings to more than $170 million. . . 

Million dollar mouse pest drops completed:

The ambitious Million Dollar Mouse pest eradication project on remote Antipodes Island in the sub-Antarctic has been completed ahead of schedule, Conservation Minister Maggie Barry says.

A second helicopter drop of rodent bait across the island was finished yesterday afternoon, following a first phase completed on June 29.

“Despite very unsettled weather conditions, the Million Dollar Mouse team have done an outstanding job of making use of every available weather window to get the bait drop completed,” Ms Barry says.

“This is the most challenging pest eradication ever carried out in New Zealand and is a globally significant conservation achievement, safeguarding a unique, remote and forbidding land and the many extraordinary species living there.” . . 

Lamb flap prices rise to a year high in June; beef, lamb leg stable – Tina Morrison

(BusinessDesk) – New Zealand lamb flap prices rose to their highest level in a year, driven by increased demand from China where the meat is used in traditional hotpot dishes.

Lamb flap prices rose to US$4.40 per kilogram in June, up from US$4.05/kg in May and the highest level since the first week of June last year, according to AgriHQ’s latest monthly sheep & beef report.

Chinese demand for lamb flaps has helped turn the offcut into a premium cut and lifted the overall return Kiwi farmers can get from their animals. The meat is processed into a lamb roll and sliced thinly for hotpot, the dominant cooking style for lamb and a staple of the Chinese national diet. . . 

Strong 2016 vintage confirms positive outlook for NZ wine:

As demand for New Zealand wine continues to grow in the key markets of the USA, the United Kingdom and Australia, the industry is rising to the challenge. That’s according to Alistair King, Crowe Horwath’s viticulture specialist, who says the outlook is positive, particularly with a plentiful grape harvest for the 2016 vintage.

“The wine industry is targeting a goal of export earnings of $2-billion by 2020; after a poor vintage in terms of volume for 2015 where just 312,000 tonnes of grapes came in, this year is looking considerably better,” he says. . . 

Mission Estate Selected as One of the World’s Best:

Mission Estate, New Zealand’s oldest winery, has further cemented its place on the global wine map by having its Jewelstone Syrah 2013 selected to appear at WINE Explorers’ Grand Annual Tasting 2016.

WINE Explorers is a unique four-year project to take an inventory of all of the wine producing countries of the world. Now in it’s third year, the unprecedented task has seen the WINE Explorers travel to 92 countries, visiting 250 winegrowing regions, surveying a total of 1500 vineyards and tasting over 15000 wines. . . 


Rural round-up

July 13, 2016

Waikato farmer spearheads wireless farming for the future of dairying – Gerald Piddock:

Tony Walters is farming’s ambassador of technology, writes Gerald Piddock.

Dairy farmers could soon be using wireless technology as proof that they are operating an environmentally sustainable operation.

The wireless connection could help sell the New Zealand story to overseas customers resulting in better prices for their products in the market. For farmers, that would mean they get paid better for their milk. 

Tony Walters is convinced the day will come soon when this works and is piloting the technology on his 95 hectare dairy farm at Waiuku in North Waikato. . .

Dairy – It’s Not Rocket Science. Or is It? Innovation the key to shaping the global dairy sector:

Using charged iron to capture tiny particles worth hundreds of dollars a kilo, creating technology to speed up nature more than 300 fold and real-time composition analysis with the potential to revolutionise a multi-billion dollar industry.

These may sound like scenarios borne out of a NASA testing facility, but in fact these space-age innovations have origins right here in New Zealand – part of Fonterra’s asset optimisation programme that’s helped position the Co-operative as a global leader in dairy R&D.

Fonterra Chief Operating Officer Global Operations Robert Spurway says R&D is one of the most important factors shaping the dairy industry today, particularly when it comes to selling our capabilities with new and existing customers around the world. . . 

NZ groundspreaders celebrate 60 years of helping farmers:

Nearly 200 groundspreaders from across the country will, next week, gather in Nelson for the 60th Annual Conference of long-standing trade organisation – the New Zealand Groundspread Fertilisers’ Association (NZGFA).

Conference attendees – ground spreaders, suppliers, trainers, auditors and testers – will hear from key speakers including Hon. Damien O’Connor (West Coast MP and Labour’s Spokesperson for Primary Industries), Mark Wynne, CEO of Ballance Agri- Nutrients, Mike Whitty, General Manager Marketing of Ravensdown Fertiliser Cooperative and Nelson forestry contractor and health and safety pioneer, Dale Ewers.

“Health and safety and accident prevention are high on our agenda this year,” explains Brent Scully, NZGFA President. “Fertiliser spreading is a demanding job involving heavy plant, complex equipment and often steep terrain. Machine operators and spreader drivers undergo intense training; however, errors do occur and accidents do happen. We want to do everything we can to minimise risk for the men and women in this industry.” . .

New fisheries decisions bring closures and increases:

Primary Industries Minister Nathan Guy has decided for sustainability reasons to close part of the Southern Scallop Fishery (SCA7), which covers the top and northwest coast of the South Island, for the coming season.

The measures will prohibit commercial and recreational fishing for scallops in all of the Marlborough Sounds and part of Eastern Tasman Bay for the coming season, ending on 14 February 2017.

“This decision follows the latest scientific survey in 2015 which shows a continued and significant decline in the fishery, despite commercial catch reductions over the past three seasons,” says Mr Guy

“The strong message from the scientific evidence, as well as public submissions is the need to take the next step and close parts of the fishery to let it recover. . . 

Turn your best bull calf into cash:

Dairy farmers in the thick of calving are being offered thousands of dollars for their best bull calves by CRV Ambreed.

The company is offering farmers who breed the best bull calves $4,000 if their bull calves are selected for the CRV Progeny Test program. That $4,000 could turn into $11,000 from graduation payments or more if royalty options are taken.

CRV Breeding Program Manager Aaron Parker said with calving now underway, a lucrative source of extra income could be dropping in farm paddocks across the country right now.

As well as being welcome income for dairy farmers, delivering their best bulls to CRV Ambreed will contribute to genetic diversity, and thus advancement, across the national herd. . . 

South Islander quacks his way to US world champs – Brooke Hobson:

Luggate local Hunter Morrow has quacked his way to the US for the world championships in duck calling after taking out the national competition in Tauranga.

More than 20 duck callers from around New Zealand took part in the quack-off on Saturday, where they had 60 seconds to blow a greeting, pleading and feed call – plus a lonesome hen call.

Mr Morrow, a building apprentice, came 5th in the world champs last year.

Fish & Game says he told reporters duck calling had been a “weird obsession” since he was a young boy. . .

Marlborough Tonnellerie de Mercurey Young Winemaker 2016 Announced:

Congratulations to Jordan Hogg from Seresin for winning Marlborough Young Winemaker 2016. The competition took place on 8 July at MRC in Blenheim where six contestants spent the day battling it out across various activities. Hogg scored very strongly across the board showing a great degree of knowledge and professionalism.

Congratulations also goes to Matt Fox from Hyland Viticulture who placed second and Shelley Young from Delegat who came third. . .

Massive New Plymouth store to benefit farmers:

Farmers of the Central and Western North Island are to benefit from a $30 million Ravensdown investment in a new fertiliser storage and blending facility in New Plymouth.

The 14,000 square metre facility adjacent to Ravensdown’s existing store will allow better customer service and better environmental performance according to the farmer-owned co-operative.

“The agri-sector in the Taranaki is feeling the pinch and service towns like New Plymouth are seeing the impact. This investment has spin-off benefits for local contractors and shows Ravensdown’s commitment to the community and to its North Island customers,” said Mike Davey, Regional Manager. . .


Rural round-up

July 12, 2016

Taking on the big issues in big country – Kate Taylor:

After driving into the Ormond Valley property of Charlie Reynolds, it’s not surprising that rural roads is an issue he’s hot under the collar about.

Tight gravel roads are everywhere in rural New Zealand and Ngakoroa Road near Gisborne is one of them. In the next few years, Reynolds is going to have to warn all visitors about the forestry harvesting happening at the end of his road.

“It is 300 hectares so we will see 3000 to 4000 logging trucks passing our farm gate before they’re finished… and that’s a small block in comparison to what’s around the rest of the region,” he says. . . 

Will losing guaranteed milk supply stir Goodman Fielder to action? – Keith Woodford:

Since the formation of Fonterra in 2001, Goodman Fielder has always had a guaranteed supply of 250 million litres of Fonterra milk.   MPI Minister Nathan Guy is now proposing that the time has come for Goodman Fielder to fend for itself.

For the last fifteen years, the major milk supply chain in New Zealand has comprised one supplier (Fonterra), two processors (Fonterra and Goodman Fielder) and two supermarket chains (Foodstuffs and Progressive).  It has indeed been a cosy arrangement.

It is this cosy arrangement, combined with a goods and services tax on food of 15% which is either absent or imposed at a lower rate in most countries, that has led to milk in New Zealand supermarkets being more expensive than elsewhere.  The processing and marketing margins are not disclosed, so the relative returns to the processors and supermarkets can only be estimated. But it is a fair bet that both processors and supermarkets do rather nicely. . . 

Tim Mackle is 2016 Landcorp Communicator of the Year:

The chief executive of DairyNZ, Dr Tim Mackle, is the winner of the 2016 Landcorp Agricultural Communicator of the Year. 

The judges noted that in his time as DairyNZ CEO, Tim’s excellence as a communicator has enabled him to provide an extraordinary level of leadership for the dairy sector.  This has been particularly evident over the last 12 months when the industry has faced a difficult period in the media with low milk prices, issues with animal welfare and environmental standards.

“He has spoken out, challenged opinions and most importantly, used his position to educate and change views of the sector. His has been a prevailing voice for his industry and he has regularly featured on television news and in daily regional and national publications.” . . .

Enterprising Rural Women Awards entries open for 2016:

The Enterprising Rural Women Awards (ERWA) offer women who run their own rural businesses the opportunity to showcase their innovative rural enterprise and gain recognition for their success.

Rural Women New Zealand invite entries from businesswomen who have strong entrepreneurial skills, are innovative and embrace new technology, and are active in their rural community.

2016 ERWA categories: . . 

NZ Fur Council Backs Environment Commission recommendation to do more to control possums:

In the state of New Zealand’s environment report released today, the Parliamentary Commissioner for the Environment has found that pests are among the high priorities for action.

The report highlights concern that the control of possums and other pests is only happening in one–eighth of the Conservation estate, signifying that our native plants and animals are losing the war against pests.

Neil Mackie, Chair of the New Zealand Fur Council (NZFC) applauds the Commisisoner’s report and says fur recovery is a sustainable approach to winning the war against possums. . . 

Feds honour those who excel in primary sector:

Federated Farmers has unveiled six winners in its inaugural National Conference Awards.

The awards celebrate excellence in agriculture and the contributions made by Federated Farmers’ members to further enhance the primary industry.

Federated Farmers President Dr William Rolleston said those nominated had gone above the call of duty, putting in significant time and energy to serve and advance the entire primary industry.

Federated Farmers’ Bee Industry Group Chairperson John Hartnell MNZM from Canterbury was awarded the Outstanding Contribution to Federated Farmers for his unrivalled commitment to the Federation and the bee industry. . . 

Expert tips help calves get the best start:

Calving season just got a little bit easier thanks to a new series of online videos from SealesWinslow.

The 2 minute clips provide quick and relevant advice from SealesWinslow nutritionist and quality manager, Wendy Morgan, allowing calf rearers to refresh their knowledge and access useful information while on the go.

Wendy says that giving calves the best possible start is vital to setting up dairy cows for a long and productive life.

“It starts with having a good calving plan; ensuring calves get the right nutrition at the right time and making best use of farm facilities to provide the best calf housing. . . 


Rural round-up

July 6, 2016

How many ticks does SFF need? – Neal Wallace:

Silver Fern Farms can rightly ask just how many hoops does it have to jump through before opponents of the proposed transaction with Shanghai Maling accept the legitimacy of last year’s shareholder approval of the deal?  

The Companies Office and Financial Markets Authority – bodies charged with administering business behaviour – have both rejected complaints about SFF’s handling of last October’s shareholder vote, the financial information supplied to its shareholders and to Shanghai Maling.  

But a more important hoop it could be argued SFF has easily traversed is shareholder support. . . 

Highly profitable banks are playing a long-term and responsible game with struggling dairy farmer borrowers – Rees Logan:

In the year to March 2016, lending to the dairy sector increased by 9% to approximately $40 billion.

During that same period, land prices in the dairy sector dropped 16%, according to Real Estate Institute (REINZ) figures. This fall in land prices means the increased lending is effectively funding the losses the banks’ customers are suffering as a result of the low dairy payout.

Key asset values are decreasing (land and livestock) and debt is increasing so owner equity and bank security is quickly eroding. 

DairyNZ figures show approximately 50% of New Zealand’s dairy sector debt is held by the top 20% of its indebted farmers. This is a major concern. . . 

Marlborough farmer ‘wild’ after overnight electric fence theft – Jennifer Eder:

An electric fence has been stolen in Marlborough in an overnight heist, leaving stock on the loose and a farmer out of pocket.

Grovetown farmer George Wadworth found his sheep loose along the road on Sunday morning and discovered about a kilometre of fence had vanished.

“I was pretty wild. My main concern was not really for stock safety but people using the road. It’s quite close to a main highway, and if a sheep hits someone’s windscreen at 100kmh, it’ll kill you.”

Community constable Russ Smith said someone had “gone to quite a bit of trouble” to remove 250 plastic fence standards, or electric fence posts, from the  16-hectare vineyard. . . 

NZ commodity prices rise in June, led by seafood, dairy – Paul McBeth:

(BusinessDesk) – New Zealand commodity prices rose for a second month in June, led by more seafood and dairy products, although an appreciating kiwi dollar limited those gains in local currency terms.

The ANZ commodity price index rose 3.7 percent last month, after a 1.1 percent increase in May. On an annual basis, prices were down 5.4 percent. In New Zealand dollar terms the index rose 0.3 percent, adding to a 2.5 percent increase in May, and an annual decline of 5.9 percent. The trade-weighted index rose 4.9 percent in June.

“There was broad-based strength across all the major categories. However, producers won’t be celebrating too loudly,” ANZ Bank New Zealand agri-economist Con Williams said in his report. “In many cases, world prices are still below the same time last year and the NZD rose over the month too.” . . 

New partnership supports takahē recovery

A newly-signed partnership between DOC and Fulton Hogan will help the critically-endangered takahē continue its recovery, Conservation Minister Maggie Barry says.

Worth $1 million, the partnership was signed at the Burwood Takahē Centre near Te Anau today by DOC director-general Lou Sanson and Fulton Hogan’s director of investments, Bob Fulton.

“The Takahē Recovery Programme has just had its most successful breeding season on record, with 38 chicks fledged,” Ms Barry says.

“Consistently high numbers of chicks are being produced each year, thanks to the hard work of DOC staff, volunteers and our Treaty partner, Ngai Tahu. Fulton Hogan will support the next step in the species’ recovery.” . . .

TB eradication scheme marks milestone:

New Zealand has taken another step towards becoming TB-free with large areas of previously infected land being declared free of the disease.

OSPRI administers the TBfree programme aimed at eradicating bovine tuberculosis from cattle, deer and wildlife.

It has has been progressively achieving this by intensive possum control, then carrying out wildlife surveys to confirm the disease has been eradicated. . . 

Fonterra Lichfield Achieves One Million Building Hours:

Major milestones are being knocked off as construction on one of the world’s largest dryers races towards completion – the result of over one million working hours on the new Fonterra Lichfield milk powder dryer.

For more than 3,000 people representing 300 companies, the finish is now clearly in sight as the September commissioning date for this world-class dryer nears.

South Waikato Operations Manager Sam Mikaere says it takes one look at the numbers behind the build to get an appreciation for its impressive scale.

“This is not just any dryer we’re building. Along with our D2 dryer down at Fonterra Darfield, this will be the biggest milk powder dryer on the planet,” he says. . . 

Record turnout at RCNZ annual conference:

A record turnout of 153 contractors, from all around the country, descended on the Bay of Islands – in late June – for this year’s RCNZ annual conference.

RCNZ national president Steve Levet was delighted with the record conference turnout – held at the Copthorne Hotel and Resort, in Paihia, from June 27-30 – given the current economic climate.

“This is the largest turnout that I can recall and it seems many rural contractors have decided to ignore some of the doom and gloom merchants and are clearly focussed on looking forward to better times.”

Mr Levet says the conference had an exciting agenda of relevant and pertinent issues to the rural contracting sector – along with a number of top-line speakers. This year’s conference theme was: “Your Business from Start to Finish” and it also celebrated the 20 year anniversary of Rural Contractors NZ (RCNZ) as an organisation. . . 

Hawke’s Bay Tonnellerie de Mercurey Young Winemaker 2016 Announced:

Congratulations to Alex Roper from Mission Estate for winning Hawkes Bay Young Winemaker 2016. The competition took place on 1 July at EIT in Taradale followed by dinner and contestants speeches at Mission Estate. Yvonne Lorkin was the charming and entertaining MC who also ran the wine options section of the evening.

Congratulations also goes to Tom Hindmarsh from Dry River in Martinborough who came second (contestants from around the North Island were eligible to enter) and Brad Frederickson from the Hawke’s Bay Wine Company who came third. . . 


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