The uptick in dairy prices at the latest auction should put some confidence back into the economy that should never have been lacking anyway, says BusinessNZ chief executive Phil O’Reilly.
Prices at the latest GlobalDairyTrade rose an average of 14.8 percent, with the all-important whole milk category rising by more than 19 percent, ending a five-month run of 10 consecutive falls.
“It’s been a long time coming, but I guess we’ve got to remain cautious,” says Federated Farmers spokesman Andrew Hoggard. . .
Federated Farmers has welcomed the outcome of this morning’s GlobalDairyTrade auction, but says those in the dairy industry need to remain vigilant.
Dairy Industry Chair Andrew Hoggard says “The outcome of this morning’s auction suggests there might be light at the end of the tunnel, but what the industry needs is for this to continue and hold.” . . .
(BusinessDesk) – Fonterra Cooperative Group, the world’s largest dairy exporter, said it should no longer be required to accept all milk from new suppliers or to have to make milk available to large processors, apart from Goodman Fielder.
In submissions to the Commerce Commission, which is undertaking a government-ordered review of the industry’s competitiveness, rival processors have said they either want the status quo or the regulations tightened.
Fonterra said it recognises part of the Dairy Industry Restructuring Act (DIRA) continues to benefit the dairy industry and New Zealand but some parts are no longer “necessary or efficient” given significant industry changes since 2001, particularly the continuing entry of well-resourced competitors. . .
Fonterra’s submission is here.
The controversial deal that saw $11.5 million of taxpayer money on a Saudi farm is to be examined by the Auditor-General.
Lyn Provost has announced she will carry out an inquiry into the expenditure of public money on the Saudi Arabia Food Security Partnership.
Mrs Provost received several requests, including from members of Parliament, the New Zealand Taxpayers’ Union, and in a petition from over 10,000 New Zealanders, to inquire into aspects of the deal. . .
(BusinessDesk) – Dairy prices, which have slumped to a six-year low, are set for a substantial recovery by mid-2016, according to agri banking specialist Rabobank.
Average dairy product prices plunged to the lowest level since August 2009 at the last GlobalDairyTrade auction a fortnight ago, amid increased supply and weak demand. Still, the factors to trigger a turnaround are now in place and a substantial improvement in prices is expected by mid-2016, Rabobank said in its dairy industry note ‘Riding Out the Storm’.
Rabobank says dairy prices are set to rise as milk price reductions in China start to choke off domestic production growth, lower New Zealand production leads to a supply-side adjustment in export regions, the collapse in international commodity prices reduces supply growth from the US and EU, and as accelerated dairy consumption growth depletes current accumulated stocks. . .
The short, the medium and the long term for dairy – Keith Woodford:
With calving in full swing, most dairy farmers have no time to think about anything but today. Things are indeed grim and the short term focus has to be on survival. For the next few weeks, there is some logic to focusing on the simple day to day things that can be influenced. Even in the good times, these are the things that often separate out the best from the not so good.
Despite the gloom, most of the farmers I know do seem to have things well under control. Perhaps that is because most of my mates have lived through tough times before, back in the 80s and 90s. They have always assumed that at some time a storm would burst upon them and so they have not panicked. Rather, they have been quietly and sequentially battening down the hatches for more than 12 months. . .
Meat industry shareholder groups merge to push their case for reform – Fiona Rotherham:
(BusinessDesk) – The two shareholder groups representing Silver Fern Farms and Alliance farmers have joined forces in a bid to encourage the two meat cooperatives to follow suit and work collaboratively.
Each shareholder group has separately gained the 5 percent farmer support needed to call special meetings of their respective cooperatives to try and force the boards to investigate the benefits and risks of a merger, though dates have not yet been set for either.
Alliance shareholder Jeff Grant said it is best to wait on the outcome of Silver Fern Farm’s current capital raising before holding either meeting.
“If the capital raise changes the structure of the cooperative to be a non cooperative or in foreign ownership then it would be pointless having an SGM (special general meeting) at all,” he said. . .
Doug Hutchison wears a badge and carries a gun but his most effective weapon in the pursuit of livestock thieves in the nation’s largest cattle-producing territory may be his smartphone.
With it, Hutchison, one of 30 Special Rangers with the Texas and Southwestern Cattle Raisers Association, photographs suspected stolen livestock, accesses the association’s databases of livestock brands and reports of missing animals and consults with sheriff’s offices.
“I think it’s one of the greatest tools in the world,” said Hutchison, wearing a cowboy hat and jeans, his boots mired in the mud and manure of noisy auction stockyard corrals filled with nervous cattle. . . Hat tip: AEIDEAS
A national outdoor recreational advocacy group wants freshwater fish species such as whitebait, eels and some saltwater species ”recreational only.”
The call by the Council of Outdoor Recreational Associations (CORANZ) an umbrella group of outdoor recreational organisations, was in response to Massey University researcher Mike Joy’s call to remove whitebait and eels from commercial status and protect them by a “recreational only” classification.
Bill Benfield, co-chairman CORANZ, conservationist and author, said that commercialised species, almost without exception, struggled to be sustainable in the face of human greed. . .
And from Kansas Department of Agriculture: