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. . . 


Rural round-up

April 30, 2014

PM turns first sod on Central Plains Water irrigation scheme:

Prime Minister John Key today turned the first sod of the $375 million Central Plains Irrigation Scheme near Hororata in Canterbury.

First conceived in 2001, Stage 1 of the 60,000 ha scheme is expected to deliver water to 20,000 ha of Central Canterbury in September next year.

Chief executive Derek Crombie said that the first major work on the $140m first stage, comprising the 17km-long headrace canal and bridges, will commence immediately, with construction of the 130km-long pipeline network picking up momentum mid-year.

“We expect to have up to 150 contractors working on a number of sites in the near future and to this end we are heartened by the experience of our two major contractors, Fulton Hogan/John Holland JV on the headrace canal and Downers, supported by subcontractors Aquaduct NZ Ltd, for the pipe network. . .

Construction begins on Central Plains Water irrigation scheme in Canterbury:

Primary Industries Minister Nathan Guy has welcomed the official start of construction on the Central Plains Water irrigation scheme in Canterbury, which has the potential to create up to $1.4 billion in new economic activity.

“This is a proud day for the Canterbury region, with major benefits both economically and environmentally.

“When fully completed the scheme will irrigate about 60,000ha in the central Canterbury area, bounded by the Rakaia and Waimakariri Rivers, and the foothills and State Highway 1.

“It’s estimated there will be additional economic activity of between $1 billion and $1.4 billion created, an export boost of $300 million per year, and around 1,100 new fulltime equivalent jobs. . .

Sheep and beef farm profits forecast to increase 35 per cent:

Beef + Lamb New Zealand’s latest forecast, released today, tells a positive story for farmers and the wider industry.

The organisation’s Mid-Season Update predicts better pricing and strong demand for sheepmeat and beef products from key markets.

The report outlined improved product prices which are expected to drive average sheep and beef farm profit up by 35 per cent on the drought-affected level of last season. The Mid-Season Update estimates that farm profit before tax for the 2013-14 season will rise to an average of $113,700 per farm.

B+LNZ Economic Service Chief Economist Andrew Burtt says total gross farm revenue is expected to increase 9.2 per cent to $460,200, reflecting a 12 per cent increase in sheep revenue. Total farm expenditure is estimated to be up 2.8 per cent, to $346,500, on the back of increases in repairs and maintenance expenditures. Interest expenditure dropped by 2.6 per cent, thanks to a slight decrease in farm debt and lower interest rates. . .

The full report is here.

Agricultural footprint risks getting out of balance – Allan Barber:

While not exactly a new or revolutionary call for action, Fish and Game’s call last week for an independent review of water use and leaching into waterways was another bit of pressure on the future development of New Zealand farming. The organisation has long been agitating for such a review, but the Parliamentary Commissioner for the Environment’s critical report on land use and nutrient pollution in waterways has provided it with further ammunition.

Inevitably dairy is cited as the main culprit for the increase in pollution because stocking rates are higher and there is more runoff into rivers and waterways from dairy than from sheep and beef. Fonterra says it has collected nutrient data from nearly 4000 farms which will provide information on how to mitigate the impact of nutrients; in addition fencing of waterways is now an obligatory condition of milk collection, although Fish and Game questions how rigorously this is being audited.

According to modelling by NIWA and Motu Economic and Public Policy Research, by 2020 a further 400,000 hectares of sheep and beef farm land will have been converted to dairy. There will be a large increase in nitrogen runoff in most regions including Canterbury, Southland, Otago and Wellington. . .

Kiwi and Korean deer farmers to work together:

The deer industry plans to work with Korean deer farmers to further build demand for New Zealand deer antler velvet in South Korea, its largest market.

“The Korean Deer Breeders Association used to be opposed to velvet imports, but they now accept that by working together we can grow the pie for their farmers, as well as ours,” says Deer Industry New Zealand (DINZ) chief executive Dan Coup.

Long part of the allure of deer farming, with an Asian medical pedigree going back thousands of years, velvet has recently stepped into the modern era.

“In South Korea there is growing demand among affluent consumers for health foods and tonics based on traditional ingredients like velvet and ginseng. Because of New Zealand’s reputation for natural, safe and quality-assured product, respected Korean food companies see us as the ideal source of velvet,” Mr Coup says. . . .

Fonterra takes sustainable dairy farming to YouTube:

Fonterra Co-operative Group Limited is putting dairy farm water and environmental conservation in the spotlight with the launch of a series of YouTube videos focusing on responsible dairying initiatives taking place on New Zealand farms.

Entitled Farm Focus, the series begins today and will feature one farm every Wednesday for four weeks on Fonterra’s YouTube channel. The videos will also be posted on Fonterra’s Facebook and Twitter pages under the hashtag #farmfocus.

The four farms featured are from the central and eastern North Island of New Zealand. Each video accounts for one farm and the activities undertaken to protect waterways and natural resources while enhancing the economic viability of a farm. . . .

Birds are on the menu once more:

The 2014 Gamebird Food Festival is opening this Saturday with restaurants from Kerikeri to Invercargill opening their kitchens to cook either this year’s catch of duck, pheasant and quail, or commercially sourced birds.

So far 13 restaurants have confirmed they are taking part in this year’s Gamebird Food Festival to celebrate the hunting season, which opens on Saturday (3 May).

The aim of Fish & Game New Zealand’s Festival is to promote game birds as a delicious, free-range food source: Hunters can take their own birds into participating restaurants to have them prepared by professional chefs, or non-hunters can choose commercially sourced duck, pheasant or quail from the menu. . .

Yealands Family Wines wins ‘Green Company of the Year’ in leading global sustainability awards:

Yealands Estate has been selected as the “Green Company of the Year” by the UK’s leading drinks publisher, Drinks Business.

The Green Awards are the world’s largest programme in the drinks trade raising awareness of green issues and recognising those leading the way in sustainability and environmental practice.

Founder of Yealands Family Wines, Peter Yealands, says this global recognition is another welcome endorsement of their philosophy, culture and focus on continual environmental improvement. . .


Geoffrey Hughes – 1944 – 2012

July 29, 2012

British actor Geoffrey Hughes died today.

His career included the role of Eddie Yeats in Coronation Street. More recently he played Onslow in Keeping Up Appearances.

In the latter he often wore a hat with the initials FH which stood for Fulton Hogan. The Dunedin based company gave him the hat when he was In New Zealand for a Telethon.

 


%d bloggers like this: