Rural round-up

July 6, 2020

The perils of growing food in the era of Covid-19 – Eric Frykberg:

More evidence has emerged of the perils of growing food in the era of Covid-19.

The main problem is that many essential workers from overseas cannot come in because of travel restrictions, either as backpacking working holiday makers, or Recognised Seasonal Employment (RSE) scheme workers from the Pacific Islands.

This point was made repeatedly by agricultural sectors at a Parliament’s Primary Production Select Committee yesterday.

Representatives of the strawberry industry told the committee that had done all they could to attract New Zealand workers – even growing strawberries on tables so that pickers don’t have to toil all day bent double. . . 

Rural water hijacked – Gerald Piddock:

Farmers are worried Environment Minister David Parker’s decision to fast track Watercare’s consent to take Waikato River water for Aucklanders will come at the expense of their allocations.

There is concern farmers who were ahead of the Auckland Council’s water company in the queue for consent applications could now miss out because of the decision, Waikato Federated Farmers president Jacqui Hahn said.

“It’s not really right. A region should look after its own.” . . 

Farmers donate meat to charity :

A North Otago farmer who is among the first in the country to contribute to a new meat donation service is hoping others will follow.

Meat the Need is a national charity designed to supply meat to City Missions and food banks.

The meat is donated by farmers, processed, packed and delivered to those most in need.

Altavady Farm’s Kate Faulks was one of the first Silver Fern Farms farmers to support the cause, donating a cow and a beef steer.

She is part of a North Otago family business made up of four farms: two dairy farms (Providence farm, Fortitude farm), one dairy support farm (Living Springs Farm) and one dairy support/beef farm (Altavady Farm). . . 

Report shows swell in demand for irrigation – Daniel Birchfield:

A dry autumn helped the North Otago Irrigation Company pump out its third highest recorded volume of water to properties on its scheme since it was opened close to 14 years ago.

About 38million cum of water was delivered to 163 farmer shareholders, irrigating 26,000 hectares of land in the 11 months to May 31, the company’s report to the Waitaki District Council, presented on Tuesday, showed.

There was strong demand for irrigation over the peak summer period, after a typically slow start in October and November, which the report said was more than offset by demand in December and January.

The dry autumn which followed boosted demand further.  . . 

Hemp success at Darfield farm:

As one of the world’s most controversial (and misunderstood) plants, hemp is good for a whole lot of things: shoes, clothing, paper, you name it. And now it’s proven to be a perfect crop for the Co-op.

It was grown at Fonterra’s Darfield farm as a first-of-its-kind trial to see how hemp grows under dairy wastewater irrigation. They’ve found it’s a profitable, resilient and nutrient-gobbling alternative to the usual pasture grown at the 850ha Darfield farm, located just out of Christchurch.

While Hemp looks like cannabis, it does not contain high levels of THC, the psychoactive substance found in marijuana.

Fonterra’s Regional Farm Operations Manager, Steve Veix says the dry, hot Canterbury summers make it challenging to find the ideal crop to grow on-farm, which traditionally grows pasture. . . 

2020 Tonnellerie De Mercurey NZ Young Winemaker of the Year competition to go ahead:

Entries are now open for the 2020 Tonnellerie de Mercurey NZ Young Winemaker of the Year Competition. Plans are well underway for the regional competitions to take place throughout September and the national final in November.

The competition is open to all those under the age of thirty involved in wine production. This includes cellarhands, cellar managers, laboratory technicians, assistant winemakers and winemakers.

The competition helps stretch the ambitious contestants as well as help them widen their network and start making a name for themselves. . .


Rural round-up

July 5, 2020

A business-as-usual approach at Fonterra won’t produce the food-production transformation which Sir Peter Gluckman is urging – Point of Order:

As  the  Covid-19 pandemic  rages   round the world,  New  Zealanders  are  re-discovering food production  is the fundamental  engine of  the   economy.  And farming is not a sunset industry.

Instead of being rubbished   by lobby  groups  for  so-called “dirty dairying”,  the  country’s core  export industry has the chance  to transform itself to be  both more  sustainable and  profitable, along  with remaining one of the main props of the  economy.

Coincidentally,  dairy  giant  Fonterra  gets a   new  leader  in Peter McBride  who  takes over  as chairman in  November.  McBride   steered  Zespri   through  several  crises.   Now, he  says,  he is looking  forward  to  “creating value”   for the co-operative’s 10,500 suppliers. . . 

Fast track Bill for infrastructure approved but water strategy urgently needed:

IrrigationNZ is pleased to see that the Government’s bill for a short-term consenting process to fast-track projects passed in the House last night.

“For far too long we have seen valuable projects fall over because of the long and laborious RMA process, in a post-COVID context we can no longer afford these delays to progress,” says Elizabeth Soal, IrrigationNZ CEO.

“But for our sector, this is not enough.“

“We remain concerned with the capability and capacity for communities to develop meaningful water infrastructure solutions, even if the consenting process is more efficient, without some national level guidance.” . . 

Rural NZ deserves a share of provincial infrastructure spend – Feds:

As it divvies up the $3 billion ‘shovel ready’ infrastructure spending pie, the government should reserve a few slices for the rural areas that drive our export earnings, Federated Farmers says.

“It’s understandable that the first 12 predominantly urban projects announced this week emphasise jobs and kick-starting the post-COVID rebuild,” Feds President and commerce spokesperson Andrew Hoggard says.

“But at the same time we should also have an eye to building longer-term resilience and putting in infrastructure that underpins increased primary industry production.”

For example, the government has earmarked $210 million of the fund for climate resilience and flood protection. . . 

Chicken virus in NZ blocking exports to Australia until 2022 – Maja Burry:

A chicken virus blocking exports to Australia is expected to hang around another year before New Zealand is clear of it, a poultry industry leader says.

A chicken virus blocking exports to Australia is expected to hang around another year before New Zealand is clear of it, a poultry industry leader says.

In August last year Infectious Bursal Disease Virus Type One (IBDV-1) was detected on two Otago egg farms belonging to the same company. This can affect the immune system of young chickens, but doesn’t pose any risk to human health.

Recently concluded testing of poultry farms nation-wide found no presence of the virus elsewhere, said Michael Brooks from the Egg Producers Federation and the Poultry Industry Association. . . 

Hunters ask conservation authority to work with all New Zealanders:

The Tahr Foundation is asking the Conservation Authority to represent all New Zealanders and their recreational pursuits in National Parks, including the tens of thousands of hunters who flock to them every year.

The Foundation’s plea is in response to the Conservation Authority’s decision to come out in support of DOC’s controversial plan to exterminate Himalayan tahr in national parks.

But Tahr Foundation spokesperson Willie Duley says tahr were living in the mountains before national parks like Aoraki/Mount Cook were created and exterminating them conflicts with the Authority’s role to protect our cultural heritage. . . 

Prospects for horticulture look bright:

The horticultural sector has continued to surge ahead despite the turmoil and uncertainty Covid-19 has inflicted at a local and international level. Latest figures from Horticulture New Zealand highlight this success with the sector generating a record-breaking $6.2 billion of exports for the year ended June. This is up $700 million from last year and the sector’s earnings now account for 10 percent of the country’s export merchandise earnings.

Kiwifruit has become the “poster fruit” for the horticultural industry’s success, now generating over a third of that export income followed by wine accounting for $1.8 billion of export earnings and apples at $830 million.

This year’s grape harvest of all of these crops bought real challenges, falling as they did while the Covid-19 lockdown commenced with social distancing rules and limited travel all impacting both in the field and within processing facilities. . . 


Rural round-up

June 26, 2020

Govt’s obsession with planting trees a big mistake – Mike Hosking:

am glad the forestation of this country at the expense of good, productive farmland finally appears to be getting the sort of attention it deserves. The trouble with a crisis, is it takes your eye off all sorts of balls, and  various issues would have had far greater scrutiny if we hadn’t had a virus to deal with.

Planting trees to allow us to meet our Paris accord deal is potentially a catastrophic mistake that is unfolding before our eyes.

Firstly, because our calling card to the world is not our climate credentials, it’s the food we sell. For that you need productive land. Under the Emission Trading Scheme changes, the price of carbon lifts. As it lifts, it becomes more attractive to buy land to plant trees.

Planting trees is easy, and people always take the easy path. And what makes this worse is many who invest in these trees have no intention of harvesting them. They’re simply there to clip the ticket. . . 

Majority of farmers find Fonterra Shareholders’ Council ineffective – survey – Eric Frykberg:

The main watchdog for dairy giant Fonterra has been told it has to lift its game.

The comments came in the first of a two-part inquiry into Fonterra Shareholders Council.

The council is supposed to monitor the company on behalf of its 10,000 farmer shareholders, but it has incurred a lot of criticism including comments from the Agriculture Minister Damien O’Connor that it was “less a watchdog than a lapdog”.

The Shareholders Council commissisoned a review of itself last year, chaired by veteran public servant James Buwalda. . . 

Wool classer receives merit award – Yvonne O’Hara:

Wool has always been part of Anne-Marie Parcell’s life.

“I love it and not a day goes by when I am not staring at sheep or touching wool. If I am not spinning it, I am shearing or crutching or drafting. I never wear polar fleece,” the Bannockburn wool classer said.

And neither did the two lambs that turned up last week wearing wearing wool jackets.

Ms Parcell was delighted when she was given a merino merit award from the New Zealand Wool Classers Association recently, for the clip she classed at Northburn Station, near Cromwell. . .

Fonterra announces Peter McBride as chairman elect:

Fonterra Co-operative Group Limited (FCG) has announced that current Farmer Director, Peter McBride has been selected as the Co-operative’s Chairman-elect by his fellow Directors.

Under Fonterra’s constitution, its Chairman is selected by the Board from within its pool of seven elected Farmer Directors.

Mr McBride will replace current Fonterra Chairman, John Monaghan when he retires as a Director of the Co-op at its Annual Meeting this November. . .

Adept wool presser will never give up :

Here’s a riddle … If two shearers clip a total of 100 sheep, and one shears three more than the other — what is the tally for each? Turangi Morehu jokes that he has asked this riddle to many in the shearing fraternity over the years, including world champion Sir David Fagan “and I’m still waiting for his answer”, he quips.

Mr Morehu, known to most as Tu, “after one and before three”, is the ubiquitous and hard-working character floating between the gangs of Peter Lyons Shearing, keeping an eye on things for Mr Lyons and wife, Elsie.

Originally from Tuatahuna and spending his younger years in Rotorua, Mr Morehu has worked as a wool presser since he left school at the age of 13 . .

Kauri still waiting for dieback plan – Farrah Hancock:

A pest management plan for kauri dieback is missing in action. Farah Hancock reports.

Thirty months after it was announced, there’s still no National Pest Management Plan for kauri dieback.

In 2017, the Government said it was moving immediately to strengthen efforts to protect kauri trees. One of those efforts was creating a National Pest Management Plan (NPMP).

“An NPMP shows how serious we are about protecting kauri. It is by far the strongest piece of regulation available and will ensure mandatory hygiene practices, consistent regulations that apply nationally, stronger governance and access to funding,” said Biosecurity Minister Damien O’Connor when he announced the plan in December 2017. . .

Britain opens free trade negotiations with New Zealand – Liz Truss:

This week is the start of an exciting new chapter in the shared history of Britain and New Zealand.

Our two island nations are already close friends, bound tightly by cultural, economic and social ties that have stood the test of time.

Britain is the largest ex-pat community in New Zealand. We both share a language, a head of state and a system of common law. We also share a strong commitment to free and fair trade, and believe fundamentally in the rule of law and the power that democracy has to drive forward human progress. . .


Rural round-up

June 25, 2020

Imports still vital – ag contractors – David Anderson:

Despite eagerness from out-of-work Kiwis, the ag contracting industry will still need to continue importing experienced, overseas workers for some time yet.

“These locals need to be trained and won’t have the skills to drive the big, complex machinery for a while, so we’ll need to carry on importing our Irish and UK guys,” says Rural Contractors NZ (RCNZ) president David Kean.

His comments follow two expos, held this month, to promote the sector, which saw rural contractors ‘blown away’ by the turnout with a number starting to recruit locally to fill vacancies. He says the Queenstown and Te Anau expos saw more than 160 people through the doors.

However, Kean says ag contractors will still need to bring in some skilled machinery operators from overseas for the spring/summer season – as few new recruits will have developed sufficient skills to drive the more complex agricultural machines. . .

Hawke’s Bay not in the clear after drought despite brilliant rain :

Rainfall in drought-hit Hawke’s Bay was good news for farmers across the region but the impact of the long dry spell will be with them for the season.

Despite “brilliant rain” over the past week many farmers were still running short of stock feed, Federated Farmers Hawke’s Bay president Jim Galloway said.

“Most farmers are well down on the stock they would normally carry. They are very short of feed and every day they’re looking at what they have to do or what they can do to get through.” . . 

Making good use of a crisis – Sudesh Kissun:

One of New Zealand’s largest dairy farmers says the Covid-19 pandemic presents the country an opportunity to rethink its approach to on-farm sustainability.

Southern Pastures Ltd believes more legislation isn’t the answer to sustainability challenges facing the sector and farmers should be part of the solution to climate change rather than being labelled as villains.

Future generations will have to carry the huge economic burden of Covid-19 recovery.

Southern Pastures executive chairman Prem Maan says the last thing we want is to load them with additional climate and environmental costs as well. . . 

Fonterra to pay farmers more for sustainable, high value milk:

Fonterra farmers producing sustainable, high quality milk will be eligible for a new payment, as Fonterra announces important changes to the way it pays farmers for their milk.

From 1 June 2021, Fonterra is introducing a Co-operative Difference Payment of up to 10 cents per kilogram of milk solids (kgMS) if the farm meets the Co-op’s on-farm sustainability and value targets. It’s part of the Co-op’s strategy to add value to New Zealand milk and responds to increasing demand from customers here and around the world for sustainably-produced dairy. The payment will be funded out of the Farmgate Milk Price.

“The total Farmgate Milk Price will remain the same across the Co-operative, but the amount that each individual farm is paid will vary depending on their contribution under The Co-operative Difference, in addition to the other variables, like fat and protein, which affect the amount that’s paid,” says Fonterra CEO Miles Hurrell. . . 

Colin Hurst elected as Fed Farmers arable chairperson:

The new Chairperson of the Federated Farmers Arable Industry Group, Colin Hurst, brings wide experience and an acknowledged reputation for hard work, tenacity and leadership to the role.

Colin, the 2019 ‘Arable Farmer of the Year’, was elected at the group’s AGM on Monday [June 22] for a three-year term.  He replaces Karen Williams, who is Vice-President elect of Federated Farmers of New Zealand.

As well as following his interest in science and innovation driving improved production and a lighter environmental footprint, Colin is also keen to lift the profile of the arable sector among consumers and fellow farmers.   Sales of arable production and spending generated by the industry contributed $863 million to GDP in 2018.

“Most people know we produce cereal grains used in bread and a host of other staples, and all the malting barley needed by our brewers, but we also grow the pasture seeds essential to our livestock farmers, not to mention brassicas and other feed crops, and seed production for domestic and international markets,” Colin says. . . 

Climate change: planting trees ‘can do more harm than good’ – Matt McGrath:

Rather than benefiting the environment, large-scale tree planting may do the opposite, two new studies have found.

One paper says that financial incentives to plant trees can backfire and reduce biodiversity with little impact on carbon emissions.

A separate project found that the amount of carbon that new forests can absorb may be overestimated.

The key message from both papers is that planting trees is not a simple climate solution. . . 


Rural round-up

June 16, 2020

Faltering forestry risks NZ’s climate strategy – Marty Verry:

Global headwinds are lining up against New Zealand’s number one climate change mitigation strategy – the one billion trees policy. The coming weeks will tell if the Government has given up or is committed to making that policy a success by backing it with its procurement.

But first let us recap on what is at stake. The country’s plan is to use trees to sequester carbon dioxide over the next 30 years while it finds ways to reduce emissions from our other main pollutant sources: transport, buildings, energy and agriculture. If the forestry strategy fails, we will need a more aggressive approach to meeting carbon zero by 2050 – something consultancy EY calculated in 2018 would cost the country $30 billion. New Zealand cannot afford to add that to the $60b Covid tab, so the forestry strategy simply must succeed.

So let’s look at the prospects for forestry. For New Zealand, the battle ground is China. Like it or not, it takes 80 per cent of our log exports. All our logs are in that basket, you could say. . .

Federated Farmers wants migrant workers on Govt’s COVID exemption ‘A-list’ :

Auckland officials are emphasising the economic benefits of letting in America’s Cup crews, but farmers feel they’re being left off the ‘A-list’. 

The Government has granted border exemptions to cup challengers American Magic and INEOS Team UK, each bringing a couple of hundred crew and staff into the country. 

Auckland Mayor Phil Goff says they’ll face the same 14-day quarantine rules as New Zealand citizens at the border, to prevent one of them inadvertently bringing in COVID-19.  . . 

Visa uncertainty threatens farm crisis – Richard Harman:

The Government is considering extending temporary work visas due to expire over the next few months so that essential businesses do not lose semi-skilled workers.

But there are big questions about why it won’t announce that it is doing so. POLITIK understands that around 70,000 temporary work visas are due to expire by the end of September.

But following representations from the dairy and aged care sectors POLITIK understands the Minister of Immigration, Iain Lees-Galloway favours an extension of six to 12 months for many of the workers. . . 

Why is it taking so long to install fishing cameras? :

“Cameras are all about transparency. They’re all about public accountability and providing proof that the industry – as they state – have nothing to hide. Now if they have nothing to hide, why aren’t we seeing cameras on some of these big boats?”

That’s the question Newshub reporter Michael Morrah has been trying to solve since National decided they were a good idea and promised to introduce them in 2016.

But their introduction has been pushed back again and again, often quietly.

National’s primary industries minister Nathan Guy was attacked by the then Labour opposition over them; but just a few months after Labour came into office and “the whole idea around accountability and transparency is put on the backburner”, Morrah says. . . 

 

Horticulture NZ says New Zealand needs more water storage schemes like Northland:

HortNZ says New Zealand needs more water storage schemes like the one just announced for Northland.

‘New Zealand is not really short of water, it is short of water capture and storage,’ says HortNZ Chief Executive, Mike Chapman.

‘People and plants need water – that’s a basic fact. For years, we have known that our climate is changing – droughts are getting more severe – however, red tape and a lack of capital has seen most parts of New Zealand slow to do anything practical about the situation. . . 

New trial could lead to breeding of low methane-emitting cows – James Fyfe:

A trial is underway in the Waikato to see if there is a link between cows’ genetics and how much methane they produce.

If such a link is found, it could mean it’s possible for farmers to fight climate change by specifically breeding cows that emit less methane.

The trial, involving dairy breeding bulls, is being run by Livestock Improvement Corporation (LIC) and CRV Ambreed, which between them sire 90 percent of the country’s dairy herd through their artificial breeding bulls. . . 

NZ Food Heroes campaign takes off:

Thousands of free-range chooks have been able to keep on laying rather than getting laid off due to lockdown. It’s just one of the heart-warming stories shared in the ‘NZ Food Heroes’ campaign.

From baking to business models – nominations for the NZ Food Heroes Awardare flooding in. Diverse in nature, the entries all reflect the Kiwi brand of innovation and community spirit that has flourished during the COVID-19 crisis ensuring New Zealand has access to fresh, local produce.

Nominee Olliff Farm north of Auckland faced a dilemma. With 95 per cent of their pasture eggs supplying high-end Auckland restaurants and cafes in normal times, lockdown restrictions presented a complete loss of business income. . . 

Fonterra’s Asia Pacific market gets creative in lockdown :

Fonterra’s Asia Pacific market is living proof of the adage “necessity is the mother of invention” Judith Swales says.

Fonterra’s CEO for Asia Pacific told The Country Early Edition’s Rowena Duncum that Covid-19 restrictions had forced the co-op to rethink its approach to customers.

“Our teams have adapted really quickly and they’ve done a lot of great work. It’s about how we adapt to customers and consumers” Swales said.

One example was a trend that had popped up in Korea – creating new recipes for the garlic cream cheese bun. . . 


Rural round-up

June 15, 2020

South Island winter tomato growers hit by carbon charges – Tracy Neal:

Parts of New Zealand might soon struggle to find tomatoes in winter.

Much of the South Island’s supply is grown in glasshouses heated by coal-fired burners, while gas-fired burners, diesel units or geothermal power is used mainly by North Island growers.

Some South Island growers said they faced oblivion through record high carbon charges – the government’s main tool for reducing greenhouse gas emissions . .

Fonterra to pay some vendors within 10 working days to help with Covid-19 recovery – Stephanie Ockhuysen:

Fonterra is going to start paying the invoices for 3000 small and medium-sized vendors faster to help with their Covid-19 recovery.

From July 1, 2020, Fonterra will aim to ensure businesses are paid within 10 working days from the receipt of invoice.

Currently, the dairy giant’s payment terms for SMEs is the 20th of the month following the invoice date.

In the past, Fonterra has caused controversy around its payment terms, which once saw it wait up to 90 days to pay invoices from its thousands of trade suppliers. But in August 2018 it changed to the 20th of the month policy. . .

Catch crops after winter forage grazing a win-win for farmers, environment:

Hardy catch crops such as oats are showing major promise for mopping up excess nitrogen after winter grazing and could create a win-win for farmers in terms of their environmental footprint and profitability.

Dr Peter Carey, a Lincoln Agritech Field Researcher, is leading a three-year Ministry for Primary Industries (MPI) Sustainable Farming Fund (SFF) research programme, in conjunction with Plant and Food Research, to apply the use of catch crops more widely in winter forage rotations.

Dr Carey, who completed a PhD at Lincoln University on the use of catch crops, found that they can reduce nitrate leaching by as much as 40%. This study looks to extend his research and apply it directly to commercial farms in Canterbury and Southland. The project aims to adapt their use to the different soils and climatic conditions of each region. . . 

Use wood to achieve zero carbon construction:

As the spotlight falls on Forestry, as one of New Zealand’s biggest industries to help revive the economy post lockdown, the New Zealand Forest Sector Forum is asking the question – why isn’t NZ using more locally-sourced wood, and getting behind its zero-carbon construction properties?

We’ve got to use more wood in NZ, reversing the reliance on concrete and steel in our construction. Only by doing this will we mitigate the effects of climate change, increase the use of a naturally renewable resource and strengthen regional economies.

Not only is wood locally produced, supporting approximately 30,000 jobs, but wood is the best choice for the environment. For every tonne of wood material used in construction, it is estimated that 5.7 tonnes of carbon dioxide are saved from release into the atmosphere, and wood requires less energy to produce than any other building material. Basically, trees eat carbon out of the atmosphere and lock it up in wood. The more wood you use, the more carbon is removed from the atmosphere. . . 

Silver Fern Farms searches for food heroes as Plate to Pasture Youth Scholarships 2020 launch:

Silver Fern Farms welcomes applications for the Plate to Pasture Youth Scholarships for 2020.

Silver Fern Farms Chief Executive Simon Limmer says the scholarship programme reiterates the commitment Silver Fern Farms has to developing young people and their careers.

“During this time of disruption, we have seen that our industry needs food heroes to ensure the continued success of the red meat industry. The Plate to Pasture Youth Scholarship programme gives us the chance to hear directly from the creative young people who want to make a contribution to sustainable food production.” . . 

Organic Products Bill must settle on a definition of organics:

New Zealand’s longest-running association devoted to organics is calling on the government to amend it’s landmark Organic Products Bill to include a definition of organics.

Speaking to the Primary Production Select Committee today, Soil & Health Association Deputy Chair Jenny Lux said the lack of a definition risked undermining the whole enterprise.

“Organic production isn’t currently defined in the Bill despite there being a clear international definition that our trading partners know and will understand. . . 


World Milk Day

June 1, 2020

Today is World Milk Day:

. . . Twenty years ago, World Milk Day was established by the Food and Agriculture Organisation of the United Nations to recognize the importance of milk as a global food, and to celebrate the dairy sector. Each year since, the benefits of milk and dairy products have been actively promoted around the world, including how dairy supports the livelihoods of one billion people. 

This year, we are hoping to break new records in terms of outreach, participation and promotion for the 20th anniversary of World Milk Day. Given concerns over COVID-19, we don’t recommend holding in-person events, but instead suggest focusing efforts on social and traditional media efforts.  . .


Rural round-up

May 30, 2020

Southland on the brink – Peter Burke:

Southland is teetering on the edge of a bad situation, according to DairyNZ’s lead consulting officer in the South Island, Tony Finch.

He says if they can’t get rid of cull cows soon and if the weather doesn’t play its part, current problems will get even worse.

Southland is facing a major feed shortage, but not because of the drought – because of too much rain. The problem is that farmers came out of a pretty hard winter and a very wet spring, which delayed any winter crops being put in the spring, says Finch. . .

Fonterra and Air NZ race emergency protein order to the US for Covid-19 patients – Andrea Fox:

Fonterra teams have scrambled to answer an emergency call from the US for a big supply of a specialised protein product for critically ill Covid-19 patients.

After racing to make the hydrolysate product at its specialist plant which was about to close down for the season, the big dairy company chartered an Air NZ 787 jet to fly the first batch – 24 metric tonnes – direct to Chicago to be used in a medical food formula for intubated Covid-19 patients.

The SoS from a long-time big American customer came as the only Fonterra processing site that makes the special whey protein hydrolysate, the Hautapu factory near Cambridge, was preparing to shut and most of its 220 staff either to take annual leave or start annual maintenance work. . . 

Scientists understand cattle not climate villains, but media still missing message – James Nason,:

FOR a long time emissions from cattle have been lumped in with emissions from other sources as the same destructive forces for the planet in the global climate change narrative.

However, through research overseen by scientists including Dr Frank Mitloehner (right) from the University of California Davis and Dr Myles Allen from Oxford University, scientific consensus is starting to build around the point that livestock-related greenhouse gases are distinctively different from greenhouse gases associated with other sectors of society (more on this below).

Dr Mitloehner, an internationally recognised air quality expert, explained to the Alltech One virtual conference on Friday night (Australian time) that the concept of accounting for methane according to its Global Warming Potential, as opposed to just its volume of CO2 equivalent, which showed that not all greenhouse gases are created equal, has now made it all the way to the International Panel on Climate Change. . . 

Deer sector ready for challenges – Annette Scott:

After several seasons of strong export returns New Zealand’s venison farmers are well positioned to overcome the severe trade disruptions of covid-19, Rabobank animal proteins analyst Blake Holgate says.

But the industry and venison marketers make no attempt to sugar-coat the difficult situation they are dealing with.

Holgate said venison producers have enjoyed a good run benefitting from healthy export sales into both established and new markets. 

“In the last five years we’ve seen significant export growth in the United States, partly due to increased demand for venison in pet food while we’ve also seen strong sales in long-standing European markets such as Germany and Belgium.”   . . 

Wool export contracts shaky – Nigel Stirling:

Foreign wool buyers are threatening to walk away from contracts with New Zealand exporters as they fight to survive the global coronavirus lockdown.

That was just one factor behind a savage 25% slump in crossbred wool prices at the first auction since the local lockdown ended at Napier on Thursday.

Exporter Masurel Fils managing director Peter Whiteman said many foreign buyers were being forced into desperate measures because of shut factories as well as a collapse in demand for the textiles they produced.

“We still sell a lot of wool to Europe and the UK for spinning to make carpets. Those customers are asking us for delays. . . 

NZ olive oil makes win big Kiwis encouraged to buy local:

Kiwis are being encouraged to support local and buy world-beating olive oil made by New Zealand growers, who have won seven Gold Medals at the 2020 New York International Olive Oil Competition.

Olive growers from Waiheke to Wairarapa and Kapiti and Nelson to Canterbury won top accolades at the competition, considered to be one of the most prestigious in the world. New Zealand punched above its weight, taking home its best ever results against 26 other countries.

Stephen Davies Howard, Owner of Loopline in the Wairarapa, won two golds, one each for his Picholene and Picual oils. He says if New Zealanders ever needed a reason to buy local, the time is now. . . 


Rural round-up

May 27, 2020

Dairy farmers will be in the vanguard of NZ’s economic recovery – but it looks like they shouldn’t count on much govt help – Point of Order:

NZ’s  dairy  industry  has  a   clear  role  to  play  as  one  of  the   country’s saviours in the  battle to recover  from the global impact of the  Covid-19 pandemic — even if there is  little evidence  that ministers  in the coalition government recognise  its  importance.

The industry, as  it has  done so  often  before,  will  just have to  do  it on  its own.

Luckily, the giant co-op,  Fonterra,   has  stabilised,  after racking up a  massive  $600m  loss  last year and there’s  a refreshed sense  of  where the  dairy industry  stands  in the  economy’s  hierarchy,  as  other pillars (tourism, international  education, air transport, construction)  tumble  over the  pandemic precipice.  Morale  at  the   grassroots  level  is  rising  again. . . 

Rushed log legislation deserves the chop:

Federated Farmers and the Forest Owners Association are joining forces to condemn the Log Brokers Bill as a Trojan horse to potentially force farmers and foresters to subsidise local processing industries from reduced export earnings.

The unwarranted rush over the Forests (Regulation of Log Traders and Forestry Advisers) Amendment Bill risks unintended consequences, including retaliatory action by nations we trade with, Federated Farmers forestry spokesperson Andrew Hoggard says.

The period for consultation is tighter than even the emergency actions on high-powered automatic firearms spurred by the Christchurch mosque attacks. . . 

Agility and innovation essential for meat exporters – Allan Barber:

The days of bemoaning our meat exporters’ lack of flexibility when everything was exported as frozen carcases are now a distant memory. Even the days of growing the profitable chilled lamb business without upsetting the EU authorities are receding into the distant past, as meat marketers cope with the complexities of marketing to previously time poor, technologically sophisticated consumers around the world now living in lockdown without ready access to restaurants.

AFFCO Group Sales and Marketing Manager, Mark de Lautour, sees the Covid-19 pandemic as a critical point in time which will result in a permanent shift in buying habits, placing huge emphasis on further processing capacity and weight ranging capability. He sees online as a distinct buying channel where consumers will not seek individually branded products, but a home solution delivered to the door. A local example of this trend is Auckland based Hyper Meat which offers three meat packs for home delivery at different price points, all at specific weights, as well as a range of wines and other beverages. . . .

Irrigation NZ congratulates David Bennett:

IrrigationNZ wishes to congratulate David Bennett as he takes on the agricultural portfolio for the National Party.

The announcement came today as new National Party Leader, Todd Muller, revealed the line-up of the new look National Party caucus.

Mr Bennett takes over from Mr Muller, who was previously in the role. . .

Never let a good crisis go to waste: How our food sector can save NZ’s economy – Rosie Bosworth:

The world will always need food, and New Zealand is enviably positioned to capitalise on this, writes future foods expert Rosie Bosworth – but we need to take a few big steps first. 

It’s a bittersweet moment for New Zealand. As a nation we’ve collectively worked hard to successfully flatten the curve (for now). But for many Kiwi businesses and industries, the economic aftermath of Covid-19 has not been pretty. As with many countries, there have been winners and losers. With some of New Zealand’s top export-earning industries – like international tourism and education, which contribute $16.2 and $5.1 billion respectively to our GDP – having been effectively decommissioned in the wake of Covid, New Zealand must now focus on its other economic heavyweights to help even up the balance sheets.

Now more than ever, our thriving agriculture and food and beverage sectors will be key economic lifelines for the country and crucial points of job creation for hundreds, if not thousands, of Covid-displaced New Zealanders hungry for work. Why? Because the world will always need food. Natural, honest, trusted products that New Zealand is enviably positioned to produce better than any other nation on the planet. Especially in a Covid world, where consumers globally are increasingly seeking immune-boosting, healthy and sustainable products. . . 

Next generation focused on improving dairy reproduction – Samantha Townsend:

When the Yarringtons’ ancestors built their farm with their bare hands the biggest technology at the time was horse and cart.

Six generations later, Rod and his wife Natasha, began using semex AI24 collar systems in February – real time information and reproductive performance technology to improve heat detection and in-calf rates. 

“Getting our cows back in calf was one of our biggest inefficiencies because with just the two of us on the farm, it was hard to be everywhere,” Mrs Yarrington said. . .

 


Rural round-up

May 23, 2020

Covid-19: trusting business to work – Todd Muller:

National’s agriculture spokesman, Todd Muller on the role the Government needs to play for agriculture businesses.

As we continue to grapple with the repercussions of COVID-19, we must look at what’s working and use that as a template for other business sectors.

The kiwifruit industry has been a shining example of how it is possible to continue operating at a high capacity, while adjusting to the restrictions of COVID-19.

It has completely re-engineered its systems from harvesting the fruit, to picking the fruit, to packing the fruit and we’ve seen a bumper season with record amounts of NZ kiwifruit making their way across the world as a result.

This has also meant the industry has been able to keep 28,000 seasonal workers in employment, while recording no COVID-19 incidents. This is the sort of leadership that shows how we can keep people safe and keep the economy moving at the same time. . .

Burger run shows food folly – Annette Scott:

The plan for a food security policy is long overdue with the McDonalds lettuce shortage highlighting its need more than ever, Horticulture New Zealand chief executive Mike Chapman says.

It is a warning that should not be ignored.

“Vegetable shortages will become a more frequent occurrence unless we get serious about ensuring we have enough food to feed NZ. 

“Like a dog howling at the moon HortNZ has been on about the need for NZ to have a food security policy and plan.  . . 

Milk price impacts vary widely – Hugh Stringleman:

Fonterra has published a shiny set of third-quarter numbers to cushion the impact on farmer-shareholders of a $1/kg reduction in the mid-point of its milk price forecast for next season.

Ten days before the start of the new season it released a wide-ranging $5.40 to $6.90 opening forecast – representing the difference between despair and satisfaction for New Zealand farmers.

At the same time it shrank the range for this season, now $7.10 to $7.30, and showed the big blocks are in place for a solid outcome to a tumultuous year. . . 

Family sheep and beef farm takes top regional spot at Taranaki Farm Environment Awards:

A long-term commitment to environmental stewardship has earned Rukumoana Farms the top spot at Taranaki’s Ballance Farm Environment Awards, run by the New Zealand Farm Environment Trust.

The awards champion sustainable farming and growing through a programme which sees one Regional Supreme Winner selected from each of the 11 regions involved. As a Regional Supreme Winner, Rukumoana Farms is now in the running for the Gordon Stephenson Trophy, with the winner of this national award to be announced at a later date.

Rukumoana Farms is run by the Brown family – Robert, Jane, Nick, Sophie, Will, Kate and Sam. Thiscohesive family unitissuccessfully driving this farm that has significantlygrownduring the 34 yearsthatRobertand Jane have been involved. . .

Fonterra provides performance and milk price updates:

Fonterra Co-operative Group Limited today announced its third-quarter business update, narrowed the range for its 2019/2020 forecast Farmgate Milk Price, and announced an opening forecast Farmgate Milk Price range for the 2020/2021 season.

  • Total Group Earnings Before Interest and Tax (EBIT): $1.1 billion, up from $378 million
  • Total Group normalised EBIT: $815 million, up from $514 million
  • Total Group normalised gross margin: $2.5 billion, up from $2.2 billion
  • Normalised Total Group operating expenses: $1,665 million, down $148 million from $1,813 million
  • Free cash flow: $698 million, up $1.4 billion
  • Net debt: $5.7 billion, down from $7.4 billion
  • Normalised Ingredients EBIT: $668 million, up from $615 million
  • Normalised Foodservice EBIT: $208 million, up from $135 million
  • Normalised Consumer EBIT: $187 million, up from $128 million
  • Full year forecast underlying earnings: 15-25 cents per share
  • 2019/20 forecast Farmgate Milk Price range: $7.10 – $7.30 per kgMS
  • Opening 2020/21 forecast Farmgate Milk Price range: $5.40 – $6.90 per kgMS
  • 2020/21 Advance Rate Schedule has been set off the mid-point of $6.15 per kgMS . .

Union boss doffs hat to meat companies – Peter Burke:

Meat processing companies have gained praise for the way they handled the challenges around COVID-19 from an unlikely source – the union.

National secretary of the Meat Workers Union, Daryl Carran, who recently took up the role, says all the meat companies have played the game by the rules very well. He told Rural News that if all the problems in the sector were handled in the way that COVID has been, it would be great.

Carran says currently between 75% and 80% of meat workers are on the job and those that aren’t working are either over 70 years of age, have underlying health issues or have personal family circumstances that make it safer for them – and others in the workforce – to remain in isolation

.

 


Rural round-up

May 6, 2020

Turning the environmental table on urban households – Cameron Bagrie:

Farmers have worn the pointed fingers on the envirionment despite most playing by the rules and many doing even better than what the rules require. It is rural communities we can thank for much of the environmental progress we’ve already made.

There are isolated instances of poor behaviour – just as in any industry, but in aggregate, farmers are moving forward.

Increasingly, farmers have been required to operate under Farm Management Plans (FMPs), against which their environmental performance is audited.

City folk should consider what their equivalent of an FMP – call it a Household Management Plan – would look like. . .

New Zealand Agricultural Show cancelled  – Tracy Neal:

The South Island’s largest springtime event, the New Zealand Agricultural Show, has been cancelled for the first time since World War 2.

Organisers said public safety concerns and a fragile financial position were behind the decision to cancel this year’s November show.

The Canterbury A&P Association made the announcement today, saying the likelihood of a lingering response to the Covid-19 crisis made planning for such a large event untenable.

It was now also calling for public help to secure the event’s long-term future. . .

Two-pronged approach needed to address dairy staff shortfall:

DairyNZ is calling on the Government to work with the dairy sector to address a looming staff shortage for the coming season, that has been exacerbated by the impacts of COVID-19.

By the end of September around 2500 visas are due to expire for migrant staff currently working on dairy farms. Many are based in Canterbury, Waikato, Southland and Otago. Both farmers and farm staff are desperately seeking certainty.

“We estimate that even if all migrant dairy workers currently in New Zealand were retained, there could be a shortfall of up to 1000 employees for the coming dairy season,” said Dr Tim Mackle, DairyNZ chief executive.

“This suggests that we are going to need to take a two-pronged approach to address the staffing shortfall that will include both retaining our migrant workforce and recruiting new Kiwis into our dairy sector. . .

NZ coconut and avocado oil producer to expand into the Pacific :

A New Zealand coconut and avocado oil producer, who is promising Pacific farmers much higher returns than they currently get, hopes to start operating within just months.

Whangarei-based Cocavo is headed by Chris Nathan who has been trying to set up operations in Fiji since 2018.

He said it’s taken awhile to find the right piece of land, and there were other difficulties, but they now have equipment, and building should soon be underway.

Mr Nathan said there is also strong interest from Luganville on Vanuatu’s Espirito Santo. . .

Safe domestic travel should be considered at Level 2:

The New Zealand Professional Hunting Guides Association and Game Animal Council are joining other tourism and recreation organisations in calling for an easing of domestic travel restrictions at Alert Level 2.

“Hunting guides, helicopter operators, accommodation providers and outfitters have suffered considerably through the lockdown,” says New Zealand Professional Hunting Guides Association President James Cagney. “Domestic travel will allow some of these businesses to restructure their offerings to New Zealand customers and keep operating.”

“While the industry has missed out on this year’s roar there is still fantastic late-autumn and winter hunting available, particularly for bull tahr, chamois, red stags and late rut sika. It would be fantastic if New Zealand hunters were able to get out and enjoy these opportunities and at the same time support the livelihoods of those in the industry.” . . 

Dairy processors warn on coronavirus disruption – Carlene Dowie:

Executives from two of Australia’s biggest dairy processors have warned that the COVID-19 pandemic is disrupting markets in ways not seen before.

Bega chairman Barry Irvin and Fonterra chief financial officer Marc Rivers told the Pac Partners/Westpac 2020 Agfood Virtual Conference on Wednesday having diverse manufacturing options had allowed them to adapt.

Both pointed to immediate lower commodity prices but saw glimmers of positivity for the future.

And both said there was a need for further rationalisation of Australia’s dairy manufacturing base. . .

 


Rural round-up

April 29, 2020

Young film-maker shines spotlight on mental health challenges facing the rural sector – Nikki Preston:

Farmers are baring their souls about battling with mental health issues in what can be a lonely and isolating industry in a bid to encourage others to do the same.

A short video called The Monkeys On Our Backs looks to address the poorer mental health outcomes facing the rural sector than those in urban areas by encouraging people to talk about the struggles they may be facing, and not keep their feelings bottled up.

Director Hunter Williams said he had his own mental health issues growing up so it was something that was close to his heart.

But it was after a conversation he had with a farmer at his mum’s wedding about how he also had “monkeys on his back” before sharing his story that inspired the video. . .

Covid-19 prompts iwi-owned producer to speed new planting projects – Tracy Neal:

The head of iwi-owned Wakatū Incorporation says the Covid-19 crisis demonstrates the value of staying local, of food sovereignty and the strength of community networks.

Wakatū employs up to 500 people on orchards, farms, vineyards and factories across Nelson, Tasman and Marlborough, on a seasonal and permanent basis.

It has been able to continue food harvest and production during the level 4 lockdown, with some restrictions in line with new WorkSafe practices which will continue under level 3.

Chief executive Kerensa Johnston said they were wanting to step away from conventional farming, and focus more on regenerative farming techniques in what she said was one of the country’s best growing districts. . . 

Hunters urged to follow rules :

The New Zealand Deerstalkers’ Association (NZDA) is urging hunters to follow the new anti-COVID rules with a shift to Level 3.

“Under Level 3, hunting and some other outdoor recreation will be permitted, although with tight rules around what is allowed,” says NZDA national president Trevor Chappell.

“Those include only allowing hunting on private land within your own immediate region and bubble, and with the landowner’s permission. “Overnight trips are not allowed, and hunting must be on foot. Helicopters, quad bikes and other motorised vehicles are not permitted.”  . .

 

Meat industry stalwart signs off – Peter Burke:

A man who has spent more than 40 years in the meat industry says the best thing that happened to the industry in NZ was the UK joining the European Union in 1973.

Tim Ritchie, who has just retired as Meat Industry Association chief executive – a position he held for the last 11 years. He says Britain joining the EU forced NZ to look at the world as its marketplace and not just rely on what was essentially a single market. It also forced us to move away from primarily sending frozen lamb carcasses to the UK.

Richie told Rural News this meant the NZ meat industry had to move from being a commodity supplier of meat to producing specialty packaged cuts, which could be sent to new, high-end markets.

Buying local critical to survival of Kiwi pork industry:

 A leading Wellington smallgoods producer is urging people to buy only NZ raised and farmed pork, to help keep Kiwi’s pork farmers going during the COVID-19 response; and is launching an online store to drive demand and support the local industry.

The NZ Pork Board estimates NZ has an oversupply of up to 5,000 pigs per week. Angus Black says farmers have been under mounting pressure with the closure of cafes, restaurants and butchers during Level 4.

“Before Level 4 restrictions around 60% of NZ pork went to cafes, restaurants, producers like ourselves and independent butchers. With most of these avenues closed over recent weeks farmers are struggling to feed their stock and provide enough space to house them and ensure their welfare. . . 

Appointment of independent director to Fonterra board:

Fonterra today announced the appointment of a new Independent Director, Holly Kramer, who will join the Fonterra Board as an Independent Director on 11 May 2020.

Ms Kramer is based in New South Wales and has extensive governance, multinational, and retail business experience.

She currently holds a number of significant governance positions, including the Board of Woolworths where she is an Independent Non-Executive Director and Australia Post where she is Deputy Chair and an Independent Non-Executive Director. . . 

Coronavirus: EU proposes €80m agricultural support package:

British farmers could benefit from measures included in a new €80m package of support for the EU agri-food sector impacted by the Covid-19 crisis.

The UK could apply to take part in one measure included in the support package – the private storage aid (PSA) scheme.

The European Commission proposed to grant private storage aid for dairy and meat products, such as beef, sheep and goat meat.

While the UK left the bloc on 31 January 2020, it still participates in certain policies which will expire at the end of the Brexit transition period on 31 December. . .


Rural round-up

April 22, 2020

Meating needs of hungry Kiwis:

Two farmers have stepped up to help the growing number of families affected by food poverty.

Meat the Need is a new charity set up by Siobhan O’Malley and Wayne Langford to provide a way for farmers to give livestock to food banks and city missions.

The livestock is processed by Silver Fern Farms where it is turned it into mince and distributed to charity groups.

O’Malley said it is not quite right that farmers can feed millions of people overseas but there are still people hungry in New Zealand.  . .

Fonterra chairman’s milk price caution – Sudesh Kissun:

Fonterra farmers are being told to brace for a lower farm gate milk price next season.

In an email to farmer shareholders last night, Fonterra chairman John Monaghan pointed out that milk production in key markets around the world is up.

This could affect global supply/demand balance that supported “solid” milk price this season.

Fonterra is forecasting a milk price range of $7 to $7.60/kgMS this season. It will announce the opening forecast for the 2020-21 season late May. . . 

Essential food processors take massive wage subsidies – Brent Melville:

Primary food processors deemed essential under government’s lockdown restrictions, have received wage subsidies totalling about $90 million.

The Ministry of Social Development’s online tool, developed to promote transparency of payments under the scheme, shows that the two major meat companies account for a combined $77.7 million.

Silver Fern Farms and Alliance Group have been paid subsidies of $43.3 million and $34.4 million respectively to supplement wages for a combined 11,000 workers. . .

NZ Food processing sector’s key role in NZ’s post Covid-19 recovery :

NZ’s processed food sector is well placed to support New Zealand’s economic and social recovery from the global COVID-19 crisis, according to the head of food science and innovation hub, FoodHQ.

FoodHQ CEO, Dr Abby Thompson says under Level 4 there has been unprecedented examples of collaboration and innovation in the NZ food industry, in order to overcome the obstacles of lockdown at home and abroad.

“The level of activity and enthusiasm that companies, scientists and entrepreneurs have applied to the problem of processing and supplying food has been outstanding.” . .

Outstanding NZ Food Producer Awards champions named:

At a time when kiwis are rediscovering home cookery, the Outstanding NZ Food Producer Awards is delighted to announce its 2020 Champions – the best of the country’s locally grown and made food and drink products.

Organic farmers, Bostock Brothers, were named Supreme Champion for theirOrganic Whole Chicken. Hawke’s Bay brothers Ben and George Bostock have their chickens roam free on their parents former apple orchard. They pride themselves on letting their chickens grow naturally, feeding them home-grown organic maize and giving them longer, happier lives. As well as how they grow their chooks it’s what they don’t do which adds to flavour. Bostock’s chicken is free of chemicals and antibiotics and when it comes to processing their product does not receive chlorine baths. The judges raved about the product saying, ‘Outstanding flavour, succulent and delicious.’ .  .

Dairy farmers to cast milk solids levy vote:

Dairy farmers are encouraged to have their say in the milksolids levy vote 2020, which is now open for voting. It is a one-in-six year vote for industry good organisation, DairyNZ.

DairyNZ chair Jim van der Poel said the milksolids levy funds industry good activities through DairyNZ which delivers dairy sector research, development, advocacy and expertise.

“The milksolids levy has been part of New Zealand dairy farming for 17 years. Its roots are in funding work that enables farmers to continue thriving in an ever-changing world. With the challenges of COVID-19, the changing nature of farming has never been more real,” said Mr van der Poel. . .

Blue chip East Coast station placed on the market for sale:

The rare opportunity to purchase an iconic, high-performing East Coast station is drawing strong interest from farmers and investors throughout New Zealand.

Mangaheia Station near Tolaga Bay is on the market for the first time in many years, offering a unique opportunity for buyers to tap into on-going strong returns anticipated from the red meat market in a prime winter growing location.

Simon Bousfield, Bayleys Gisborne agent says Mangaheia’s uniqueness is due as much to its scale as to the strong level of investment the property has enjoyed in recent years. . . 


Rural round-up

April 19, 2020

Dairy farmers committed to water quality – Sudesh Kissun:

Dairy farmers are committed to protecting New Zealand’s environment and taking action on-farm to support that, says DairyNZ.

DairyNZ strategy and investment leader for environment, Dr David Burger says the dairy sector is on the journey to improve and protect water quality outcomes.

His comments came at the release of Our Freshwater 2020 report, highlighting New Zealand’s environmental challenges and where we can all play our part.

“Our farmers have been working toward this for over a decade. We are continuing to do more every year,” says Burger.  . .

Demand in China good news for Fonterra :

China’s economy is “slowly returning to normal”, a fact that is reflected in last week’s positive Global Dairy Trade auction, says Fonterra’s Chief Financial Officer Marc Rivers.

“Chinese participation [in the GDT] was pretty strong and it gives us some hope. China’s experience with Covid shows us that overall demand for dairy does recover” Rivers told The Country Early Edition’s Rowena Duncum.

Fonterra was also beginning to see demand for “out of home consumption” returning, as China started to open up more restaurants, said Rivers. . . 

NZ economy – sapped by Covid-19 – gets a lift from exports helped by kiwifruit – Point of Order:

The Covid-19 pandemic has savaged   several   of  New Zealand’s major  foreign exchange  earners,  particularly  tourism.  Even those still  trading  into  markets  that have   held up  well   face  an uncertain  outlook.

Yet the red  meat industry, whose exports earned NZ $9bn last year, and  the  $3bn  kiwifruit   industry  look as if they will be up there with the dairy  industry  as vital  props  underpinning  the  NZ  economy over coming years.

For  meat  producers, after the significant drop at the beginning of the year from the combined effect of Chinese New Year and Covid-19,  the return of China to the market, has been a positive factor compensating for the pandemic-led disruption to traditional European and North American markets. . . 

Lack of market access still a concern for growers in level 3 response – Tracy Neal:

The country’s fruit and vegetable growers say moving to level 3 on the Covid-19 scale will ease pressure on some in the sector, but many consumers still won’t be able to get their greens.

From later next week businesses and industries not considered essential, but able to demonstrate they can operate safely, could be back up and running if the government announces on Monday a move to level 3.

Head of Horticulture New Zealand, Mike Chapman, said that was good news for orchard development programmes as construction, trades and manufacturing look set to be revived. . .

Covid-19 level 3 hunting ban:

The New Zealand Deerstalkers’ Association Inc (NZDA) is disappointed that hunting has seemingly been blanket banned following the Government’s release of its Covid-19 Level 3 guidance yesterday.

The NZDA is calling for a re-think and further clarification by Government and strongly recommends that hunting should be permitted at Level 3 subject to the overriding health and safety guidelines imposed on permitted activities and adherence to the “keep it local” and “apply common sense” principles stated by Prime Minister Jacinda Ardern.

NZDA National President, Trevor Chappell says, “There are many elements that make up hunting and that needs careful consideration by Government. The NZDA is open to consultation and can help draft a framework for hunters. NZDA also strongly advises that Government urgently seeks the input of the Game Animal Council, Fish & Game, Mountain Safety Council, Professional Guides Association and others like the NZDA who each can offer a deep understanding on the subject because we all represent different stakeholders in the hunting industry”. . .

Economic recovery from Covid 19 through development of infrastructure – Primary Land Users Group:

Currently New Zealand is in the early stages of an economic crisis due to the advent of the Coronavirus and its effects through the level 4 Emergency lockdown provisions and others.

The current coalition government is proposing taking direct action to support the economic recovery from the effects of the lockdown by using infrastructure development in what they are calling “shovel ready projects” to stimulate the national economy.

This is in effect a brilliant strategy “Yeah Right”.

Anybody that truly believes this strategy will give the desired results must be totally divorced from the actual reality of New Zealand’s development constrictions with the most influential one being the Resource Management Act. . .  . . 

NZDIA national judging programme to continue:

The New Zealand Dairy Industry Awards (NZDIA) are pleased to announce that Nationals Judging 2020 will continue, within the guidelines of Covid-19 restrictions.

“After consulting our finalists, national sponsors and stakeholders, we have carefully designed a robust judging process that will enable a fair and level playing field, minimise stress to entrants and focus on finding the best farmers,” says NZDIA General Manager, Robin Congdon.

“Due to the current Covid-19 restrictions, finalists will be asked to submit their presentations for judging digitally and speak with the judges online rather than face-to-face.” . . 

South Island salmon harvest survey to start:

South Island salmon anglers are being asked for their help in the first east coast wide salmon harvest survey.

The Nelson/Marlborough, North Canterbury, Central South Island and Otago Fish and Game Councils are asking anglers to actively participate in the annual sea-run salmon harvest survey that is about to be undertaken.

The survey comes at a critical time when sea run salmon populations are at depressed levels and the Covid-19 alert level restrictions may compromise the ability of Fish & Game to undertake annual population monitoring in the field, like helicopter-assisted spawning surveys. . . 

 

 


Rural round-up

April 14, 2020

Winter is coming – Tom Hunter:

Rabobank provides a regular newsletter to its farming clients and the latest one makes for grim reading.

They’re forecasting a milk payout next season (20/21) of $5.60 per kg. Currently it’s at $7+.

Ouch.

The farmers I talk to don’t accept Rabobank’s analysis. Yet. And Fonterra, Open Country and other dairy companies are still optimistic that next season’s payout will still be well north of $6, even at not at this season’s level. The trouble is that their forecasts have often missed the big swings, notably the $4.30 payout of 2014/15, which came so rapidly after the record $8.40 payout, and I don’t have much confidence in Fonterra in general. . . .

Farmers: “cool” not to be unique. When they started farm environmental improvements, couple were unique – but not any more:

Eastern Southland dairy farmers Chris and Lynsey Stratford fielded a lot of questions on the environmental improvements being made when the property they manage was converted from sheep farming 10 years ago.

“Initially there was a lot of interest from other farmers,” Lynsey said.  “We were unique at the beginning – but not now…and that’s cool.”

That was in Southland – and Lynsey believes there’s been a much greater national understanding by farmers of action leading to big impacts on the environment over the last 10-20 years. . .

 

New Zealand onion growers celebrate multimillion-dollar export success in Indonesia:

New Zealand onion growers are celebrating being able to export their world class crop to Indonesia again.

‘Indonesia has just re-opened its market to New Zealand onions after some clarification was required for the new import rules,’ says Onions New Zealand Chief Executive, James Kuperus.

‘This follows months of negotiations, but with the support of key figures such as Director General Horticulture, Indonesia, Prihasto Setyanto and the Indonesian Ambassador to New Zealand, Tantowi Yahya, the regulations have been clarified and exports have resumed.’ . .

Sheep conference going ahead via virtual technology :

The stage is set for an international sheep conference, thanks to virtual technology.

Called Head Shepherd, the event on April 16 has been organised by neXtgen Agri, whose team usually spent most of its days visiting clients and assisting with breeding programmes both in Australia and New Zealand.

It had come to a “screaming halt” with the Covid-19 lockdown and the team was now providing that support via video and phone calls, founder and agricultural geneticist Dr Mark Ferguson said. . . 

Straight off the tussock, farming at Okuku Pass – Tim Fulton:

Jack’s mother Winifred knew the Latin name for every plant in the garden but Bill Blain did most of the work. Bill came out to New Zealand from London in 1882 on the same ship as the English cricket team, who were heading to Australia for the first ever Ashes series.

He had been working in the tramway stables in London, where at one stage he had been in charge of feeding about 7000 horses, but came out because of his lungs were crook. Despite his apparent poor health, Bill’s first big job in New Zealand was draining the Coldstream swamp for John Macfarlane – and then working a paddock for him at Loburn. He also drove traction engines, and apparently went to the Boer War as a fully qualified steam engine driver – but he had a long, narrow trenching spade which he prized for the rest of his life.

He worked for both the Macfarlanes and Fultons from the moment he arrived in New Zealand. He was with us at Broomfield and then went into a boarding house in Rangiora. . .

Primary sector needs more govt support:

The Government needs to urgently engage with the meat industry to look at ways to allow increased productivity over coming weeks, otherwise there will be a significant animal and farmer welfare issue, National’s Agriculture spokesperson Todd Muller says.

“While farmers are an essential business, they are still experiencing significant disruption from COVID-19 and are grappling with the ongoing effects of drought.

“Meat processing plants are an essential service and have taken the appropriate steps to enact social distancing and other precautions for staff, but this has also led to productivity constraints.

“Meat Industry Association Chairman Tim Ritchie told the Epidemic Response Committee there was 75 per cent less venison being processed, 50 per cent less sheep meat and 30 per cent less beef. . . 


Rural round-up

April 9, 2020

COVID-19: Farming focused on playing its part:

A week into the COVID-19 lockdown, DairyNZ says dairy farmers are settling into life in lockdown but the sector’s focus remains on ensuring support for farms.

DairyNZ chief executive Dr Tim Mackle said the Government support for farming as an essential service has been positive to date and is helping ensure all farms can be kept ticking.

“DairyNZ is working closely with dairy farmers and agri-partners to ensure all farming families, staff and support services are safe, and that farmers have access to the equipment, services and people they need,” said Dr Mackle.

“We all share concerns about the health and economic effects COVID-19 will have on our families, communities and New Zealand, and farmers are working hard to minimise risks to keep their businesses running smoothly. . . 

Milking shed projects stymied by lockdown rules – Rod Oram:

Dairy farmers trying to get ready for the new season are striking lockdown problems, writes Rod Oram

A farmer in Northland has a problem: his milk processor had condemned his milking shed; a new one was under construction; work has stopped because the Government has yet to classify such projects as essential; and precious time is being lost before the new milking season starts in July.

This is a real example playing out now, says Justin Thompson, DeLaval’s vice president of sales and support in Oceania. The Swedish-based company, which is one of the world’s largest suppliers of milking systems, is supplying equipment to the Northland project. But as soon as New Zealand went into Covid-19 lockdown, subcontractors packed up and left the site. . . 

Commodity prices continue to fall but offset by weakening dollar:

Commodity prices continue to fall as the impact of the Covid-19 virus continues to be felt on international markets, but the blow is being cushioned by a weaker New Zealand dollar.

The ANZ World Commodity Price index dropped 2.1 percent in March and has now fallen 8.3 percent in the past four months.

In local currency terms the index actually lifted 3.3 percent due to a sharp fall in the New Zealand dollar.

Dairy, meat and fibre, forestry and aluminium all fell, but horticulture remain unchanged. . .

Chair of Ballance Agri-Nutrients retires in September:

Ballance Agri-Nutrients Limited Chairman David Peacocke, is stepping down as a Director in September 2020 at the Annual Shareholders Meeting (ASM). Duncan Coull has been elected as the new Chair by the Board of Directors taking up the post after the ASM.

David a Waikato farmer and businessman has been a Ballance Director since 2005 and was elected as Chair in 2013.

“After 15 years, seven as Chair, this is a logical step in the Ballance board’s succession planning and I felt it was time to let someone else take up the challenge,” says David.

“Duncan is the right person to lead Ballance into our next phase , he brings a strong personal view that we need to work collaboratively as a sector to be future-ready.” . . 

Forestry industry preparing for back to work

Forest industry organisations are planning how to get back to work when restrictions on non-essential work are lifted for the industry.

Organisations, representing forest growers, transport, processing and contractors have set up a working group to develop risk assessment protocols in readiness for start-up of the industry sector.

The National Safety Director of the Forest Industry Safety Council, Fiona Ewing says the aim is to assure government that the sector will be able to comply with the epidemic management conditions of COVID-19. . . 

Update on 2020 Awards:

The New Zealand Dairy Industry Awards final four regional winners and placegetters have been announced via Facebook Live video and were warmly received by entrants, winners, sponsors and supporters.

The New Zealand dairy industry is resilient, flexible and adaptable to change. The New Zealand Dairy Industry Awards, adapting and leading with their response to the Covid19 crisis, can be seen as a reflection of the industry and all entrants.

Entrants, families, supporters and sponsors watched with excitement and anticipation in their bubbles. There were hundreds of live streams out numbering the usual attendance to the dinners. It was magical to see the live engagement and comments and likes floating up the screen during the announcements. . . 


Rural round-up

April 6, 2020

Parker’s readiness to relax the RMA rules should be extended to freshwater constraints on farmers – Point of Order:

Environment  Minister   David  Parker  has directed  officials to find ways  to fast-track consents  for infrastructure and  development  projects. He says   his  goal  is to  help create a pipeline of projects  so that some can  start immediately once  Covid-19 restrictions  are  lifted “so people can get back into work as fast as possible”.

Parker sees the Covid-19 pandemic as a serious global crisis that will have a wide ranging and lasting impact on almost every part of  the economy for some time.

He recognises many New Zealanders have lost their jobs, or may do so in coming months, and many businesses are doing it hard. . .

Pork Industry leaders continue talks with government over surplus problem

Government officials and pork industry leaders have met again today via conference call to try and resolve concerns about a looming animal welfare crisis facing the sector.

As RNZ reported during the week, the pork industry has been getting increasingly worried about the growing number of surplus pigs on farms that cannot be sent to independent butchers. It has been urging the government to help.

Last night, the government decided butchers will be allowed to process pork, but only to supply supermarkets or retailers that are allowed to open.  . .

Milk tankers get clear run – Annette Scott:

The day of a milk tanker driver is different under covid-19 but without the traffic jams and roadworks it’s a lot easier.

Fonterra lower North Island depot manager Paul Phipps said being an essential service means milk is still being collected and processed and collection volumes are not wildly different to previous seasons.

That’s also considering this season’s challenges that have included a significant drought in the North and flooding in the South.

“Being an essential service means we are busy. We take our status as an essential service very seriously. . . 

New Zealand’s apple and pear harvest continues under strict rules:

Like many other horticulture sectors, the 2020 harvest of New Zealand’s apple, pear and nashi crop is well underway, with more than 14,000 workers harvesting around 600,000 tonnes of fruit destined for domestic and global consumers, and for processing.

The government has deemed the production and processing of food and beverages as an essential service, which means that the picking, packing and shipping of fruit can continue but with very strict protocols in place.

New Zealand Apples and Pears Inc chief executive Alan Pollard says that the industry understands and acknowledges the privileged position it is in, particularly when other businesses cannot operate.   

Straight Off The Tussock chapter 3 – Tim Fulton:

A continuation of a family story, as first told in 2005 – Straight off the Tussock

James Fulton, Jack’s grandfather, was a teacher on the Isle of Bute, half an hour by ferry from Glasgow. The island is only about eight by four miles wide but when he was headmaster there at Rothesay in about 1845, the school had around 1000 children, stuck out in the Firth of Clyde.

  In 1847, James was appointed director of Edinburgh’s historic Moray House, Scotland’s first teachers’ college and the first in the world to train women. A year later, the institution took a dramatic turn when it mounted a rebellion against the Church of Scotland. Moray House – now part of the University of Edinburgh – started in 1618 and it became a training college in 1813, when the Church of Scotland established a sessional school in the city. In 1835, that school became the Edinburgh Normal and Sessional School. In 1843, however, the disruption of the churches led to the foundation of The Free Church Normal and Sessional School nearby, while the Church of Scotland continued separately. In 1848, one year after James moved there, pupils and teachers of the Sessional School carried their desks down the Royal Mile to the new premises at Moray House. . . 

Food waste costs agriculture billions – Kim Chappell:

THIRTY ONE per cent of produce is being wasted before it even gets off farm – that’s lost income for farmers and lost product for supermarket shelves.

But the $1.1 billion to $2b wastage doesn’t have to be this way – there are gains that can be made to boost farmers’ returns per hectare which will in-turn boost the product hitting supermarkets and reduce waste.

In these times of high-demand as people panic-buy on the back of the COVID-19 pandemic, some of the solutions are already coming into play by necessity, in what is possibly the only silver lining to come out of the coronavirus pandemic, says Food Innovation Australia Limited special adviser Mark Barthel, one of the voices behind the Roadmap for reducing Australia’s food waste by half by 2030 . . 

 


Rural round-up

April 3, 2020

COVID-19: Farming keeps the economy ticking – Nigel Malthus:

An analysis by two Christchurch economists has underlined the value of the farming sector to the country during the Level 4 COVID-19 lockdown.

David Dyason and Peter Fieger have produced an analysis of who is likely still to be working and who may not be, based on the Government’s definition of essential business (although the definition is changing as exemptions develop).

They say based on 2019 figures, approximately 123,800 people in Canterbury are employed in essential services, which represents 40.6% of all employment within the region.

This is almost identical to the national economy at 40.4%. . .

COVID-19: Misery on UK farms – Peter Burke:

Wake up, New Zealand: that’s the message from a New Zealander trying to manage a large dairy farm in the UK amid the COVID-19 outbreak.

A friend of the man who wishes to remain anonymous called Dairy News in a bid to make farmers in NZ aware of the situation in the UK which he describes as horrific.

The person whom we will call ‘Brian’ manages a large intensive dairy farm and has a staff of twelve says he’s not sure that farmers in NZ realise the problems they are about to face. . . 

Moving day guide is coming – Gerald Piddock:

Guidelines for sharemilkers and farm owners for the dairy sector’s Moving Day are being written.

Federated Farmers sharemilkers chairman Richard McIntyre is fielding numerous calls from sharemilkers asking him how Moving Day will work.

While much of the Government’s focus is on immediate issues, Moving Day is on its radar.

“We are going to be discussing it more and more over the coming weeks as it becomes clearer and clearer of what it might look like.” . .

Stock feed sells out in drought-hit Wairarapa – Marcus Anselm:

Demand for stock baleage has been high in Masterton as the Covid-19 virus compounds a tough summer for Wairarapa’s farmers.

Masterton District Council (MDC) workers are ploughing on through during the lockdown response to the worldwide pandemic.

Staff at the Homebush sewage treatment plant have been working on through the crisis, with enhanced health and safety measures, to meet demand.

Treated wastewater is used to water nearby land, with plants cropped and sold on as stock baleage. . .

 

Fonterra seeing demand spike for some products – Guyon Espiner:

A bright spot is emerging in the economic gloom with New Zealand’s largest company Fonterra saying it is in good financial heart and expects to remain so during the Covid-19 pandemic.

Chief executive Miles Hurrell told RNZ that the global dairy giant, owned by its 10,000 farmers, was expecting the milk price to hold in the current range of $7-7.60 per kilogram of milk solids.

Fonterra was not expecting job losses or significant drops in revenue and was even seeing demand spike for a number of its products.

“Effectively what you’re seeing here in New Zealand play out with stockpiling of products in supermarkets – we’ve seen that play out across a number of our markets around the globe.” . .

Award-winning cheesemaker shares recipe for success:

The reputation of Whangārei’s Grinning Gecko Cheese Company continues to soar after picking up a massive 11 medals at this year’s New Zealand Cheese Competition. This adds to its highly impressive track record of international and national awards won every year during its seven years in business.

So, what is the secret of its success? “Mahi whānau and aroha sums it up pretty well,” revealed owner Catherine McNamara. A winning recipe, but one that will no doubt be tested by the effects of the nationwide lockdown.

In an industry that has traditionally been led by European countries, with heavily guarded hand-made processes and recipes passed down through generations, this small New Zealand business continues to prove it is formidable competition. The latest national awards come swiftly after Grinning Gecko’s now eight-medal-winning Camembert won a gold award at the International Cheese Awards last year. . .

 


Rural round-up

March 24, 2020

Farmers want essential services clarity :

Federated Farmers president Katie Milne is urgently seeking clarity from the Government about what primary sector activities will qualify as essential after the Government effectively put the country into lockdown for four weeks to stop the spread of covid-19.

Milne said she has made it clear in conversations with the Government the definition of essential business has to be as wide-ranging as possible so farmers can keep functioning.

“They are part of the food chain and we need them. 

“The people who do service farming, they have an as equally critical role as us who are growing the food.  . . 

Otago farmers nervous about labour from border restrictions :

Uncertainty over travel for the international workforce is compounding what has been a difficult season for orchardists in Central Otago.

Border restrictions and reduced airline capacity in response to Covid-19 are creating anxiety in the industry.

Summerfruit New Zealand chairman and chief executive of 45 South – New Zealand’s largest cherry exporter – Tim Jones said traditionally two-thirds of his workforce came from overseas, half on Recognised Seasonal Employer (RSE) visas and half backpackers.

“As a grower, I sit here nervous about labour and we know we use as many Kiwis as we can but to supplement that we employ RSE labour and we employ a lot of backpackers and our obvious concerns are they may not be around in the sort of numbers we’ve had recently. . . 

A DIRA decision – Elbow Deep:

As the world is faced with torrents of horrific news as the pandemic sweeps the globe, it feels like there is little to be positive about. But over recent weeks there have been two small gems for New Zealand dairy farmers.

The first piece of good news was Fonterra’s half year financial results, which are a remarkable turnaround from the Co-op’s first ever loss posted last year. The loss wasn’t insignificant or so small it could be dismissed as a rounding error, the Co-op lost over half a billion dollars which only makes the recent turnaround even more impressive.

At a time of mass uncertainty when many people don’t know if they’ll still have a job in a few months, it is somewhat relieving that these results will see Fonterra inject more than $11 billion into the New Zealand economy through milk payments to their farmers. Those farmers will in turn spend over half of that in their local communities, communities which need money now more than ever before. It’s not just Fonterra farmers who will benefit from the Co-op’s strong performance; independent processors around the country will be benchmarking themselves off the Co-op’s strong performance. . .

Rural sector crying out to recruit more staff – Jacob McSweeny:

While thousands of people around the country are facing joblessness a recruiting company is calling out for workers in the primary sector, saying there were 40 jobs in South Canterbury available now.

Agstaff, Canstaff and New Zealand Dairy Careers managing director Matt Jones said the need for workers had increased as a result of implications from the Covid-19 outbreak.

“The work does not stop — it’s ramped up as some of our clients in the primary production sector increase production to meet New Zealand’s needs.

“The cows still need milked and the crops must be picked,” Mr Jones said.

He said he had a client in South Canterbury who needed 40 people to start immediately. . . 

Post-quake study reveals hort potential – Nigel Malthus:

Large areas of North Canterbury and South Marlborough – affected by the 2016 Kaikoura Earthquakes – offer wide potential for horticulture.

A Plant and Food Research investigation has found that several crops – in particular, apples, grapes, hazelnuts and walnuts – could be grown in pockets throughout the region.

It identified 41,515 ha of land – or about 9% of the total 466,000ha – that would potentially be suitable. . . 

Vets offer Covid-19 advice:

The New Zealand Veterinary Association has some advice for animal owners amid the COVID-19 pandemic.

The association representing New Zealand veterinarians says COVID-19 should not reduce the care owners give to their animals’ health and welfare.

“We appreciate there are many issues that people are dealing with in relation to COVID-19, particularly those self-isolating or with family members taking this precautionary measure,” says New Zealand Veterinary Association chief veterinary officer, Dr Helen Beattie.  . . 

Why cradle-to-cradle needs to be included in fashion’s sustainability rating tools :

A review of a leading environmental impact tool for apparel finds that unless improvements are made, weaknesses in the underlying science could lead to misleading results, with potentially far-reaching consequences for the environment.

What do textile lifecycle assessment tools do?

Textile lifecycle assessment (LCA) tools aim to understand, quantify and communicate the environmental credentials of textiles with the intent of minimising environmental impact.

The Sustainable Apparel Coalition’s Material Sustainability Index (MSI) is increasingly being adopted by industry but this LCA method currently fails to account for the complexity of the textile industry.

“Several significant environmental impacts and processes are excluded from the MSI and PM, including recyclability, biodegradability, renewability of resource used, microfibres, abiotic resource depletion (minerals) and abiotic bioaccumulation,” said Dr Steve Wiedemann of Integrity AG & Environment.  . . 


Rural round-up

March 21, 2020

Coronavirus: Fonterra, New Zealand is counting on you now like never before – Andrea Fox:

Fonterra chairman John Monaghan in his opening remarks about this week’s strong half-year result said against the backdrop of coronavirus turmoil, the big dairy company’s news “may sound somewhat trivial”.

We knew what he meant, but he couldn’t have been more wrong.

The financial performance of New Zealand’s biggest company and the world’s fourth-largest dairy company assumes towering new importance because of that turmoil.

Dairying was an economic sword for New Zealand against the GFC. . . 

New Zealand’s food supply needs protecting:

The animal medicines and crop protection lobby group Agcarm applauds the government’s efforts to protect the health of New Zealanders in its response to the COVID-19 pandemic, buts asks that support is extended to the farming community for maintaining essential food supplies.

Agcarm chief executive says “our rural communities are needed more than ever to ensure that this health crisis doesn’t turn into a hunger crisis”. Food production must be prioritised as an essential part of the COVID-19 response.

“We must maintain the uninterrupted movement of animal medicine and crop protection products, seeds and feed so that our farmers can keep healthy livestock and maintain an abundant supply of meat, fruits, vegetables and grains.” . . 

Still in business – Annette Scott:

Rural people are urged to band together in keeping safe as they ride the tough times of the coronavirus pandemic.

Social resilience is key and if everyone works together “we will get through this,” the Mental Health Foundation says.

Agriculture is still in business and likely to lead the bounce back, ASB rural economist Nathan Penny says.

“Farming is likely to be the quickest to rebound from the fallout from coronavirus. . . 

Drought starting to bite hard – Colin Williscroft:

Drought shouts organised by North Island rural support trusts have been put on hold by restrictions on gatherings.

Rural Support Trust chairman Neil Bateup says the social events bringing farmers together to deal with the drought and take their minds off some of its problems are no longer an option as the focus goes on keeping farmers and trust staff safe from covid-19.

It does not affect the trust’s other services.

“We’re absolutely determined to continue with the one-on-one support and advice to farmers.

“That will not be interrupted but we’re putting some protocols in place to keep everyone safe.” . . 

Dairy farm sales low but recovering – Maja Burry:

New figures from the Real Estate Institute show dairy farm sales remain slow, with only one dairy farm changing hands in Canterbury in the last nine months.

Data released yesterday shows 1253 farms were sold in the year to February 2020, 14.8 percent fewer than were sold in the year to February 2019, with 37 percent less dairy farms, 10 percent less grazing farms, 27.9 percent less finishing farms and 9.9 percent less arable farms sold over the same period.

The institute’s rural spokesperson Brian Peacocke said the data reflected a rural industry under pressure in terms of volumes and values, particularly the dairy sector. . . 

Synlait Milk’s first half profit drops 30 percent :

Synlait Milk has reported a 30 percent fall in its first half profit as its costs rose despite higher revenue.

The dairy company’s net profit for the six month ended January was $26.2 million, compared with $37.3 million the year before.

Revenue rose 19 percent, but its depreciation and financing costs offset that as the company expanded for future growth. . .


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