Rural round-up

January 22, 2020

China deal gives US beef an edge over NZ producers – Pattrick Smellie:

A range of import restrictions affecting New Zealand beef exporters to China will be swept away for their American competitors as part of the new “phase one” US-China trade deal signed in Washington DC on Wednesday.

However, US producers will continue to face tariffs on beef as high as 47 per cent while New Zealand beef exports enter the Chinese market duty-free under the free trade agreement in place since 2008, according to initial analysis of the deal by the Meat Industry Association. Details were still emerging, but newly appointed MIA chief executive Sirma Karapeeva told BusinessDesk there was no suggestion “that I can see” that New Zealand lost its tariff advantage over US exporters to China. . . 

Application for GMO ‘imitation blood’ raises concerns:

Foods Standards Australia New Zealand (FSANZ) has received an application seeking approval for the GE Imitation blood ingredient used in the Impossible Burger to enter the food chain.[1]

The application does not have the proper safety profile for approval of the bacterial ingredient, called leghemoglobin (SLH), derived from genetically engineered soy.

The “imitation Blood” ingredient used in the Impossible Burgers to make them “sizzle like blood” has been trialled in select meals on Air New Zealand flights from the USA. This circumnavigates NZ regulations, because the ingredient cannot be sold in this country. . . 

Drop in China meat prices not expected to last – Alan Barber:

It is difficult to see any real reason for panic over the sudden pre-Christmas reduction in demand for sheepmeat and beef from Chinese importers which has led to prices coming off their peak. Livestock suppliers will already have noticed a drop in schedules from the elevated levels processors had been paying over the first couple of months of the season. It’s tempting to fear the worst given past experience with high prices paid by meat processors which have inevitably been followed by a sudden crash and a long slow recovery. This time the situation really does seem to be different, if you look at the fundamental demand for product in China.

In discussion with AFFCO Group Sales & Marketing Manager, Mark de Lautour, he sees the current situation as more of a hiccup, with traders collectively liquidating inventory in advance of Chinese New Year and the need for cashflow to cover large shipments of South American beef on the water. . .

Hawke’s Bay deer farmers pay record $102,000 for stag – Blair Voorend:

Two Hawke’s Bay men have set a New Zealand record, paying more than $100,000 for a velvet stag at a recent sale in Southland.

At the Brock Deer Sire and Stag sale, Hawke’s Bay deer farmers Jeremy Dearden and Grant Charteris paid $102,000 for the prized velvet stag, $12,000 higher than the previous New Zealand record.

Elliot Brock, of Brock Deer, told Andy Thompson on The Muster radio show that they were over the moon with the haul but that they were expecting to get something in that region. . . 

Robotic technology is revolutionising farming– Mark Ross:

From weeding and spraying crops to taking care of cattle, digital technology is making its mark on agriculture.

Self-driven vehicles are picking and grading fruit as well as detecting and pollinating flowers. Now the latest technology involves detecting and managing disease – helping farmers to become more productive and sustainable. Modern agricultural machines take away some of the more time-consuming tasks and help to protect crops from disease with exact doses and targeted applications of products.

In the last decade, there has been an unprecedented growth in precision farming – with about 80 percent of new farm equipment using it. This advanced digital precision technology can help farmers to use land efficiently and maximise harvests while reducing costs and workloads. . .

Cheesemakers Encouraged to Enter NZ Champions of Cheese Awards

Entries are open for the NZ Champions of Cheese Awards 2020, which will for the first time have three Supreme Champions.

To ensure the Awards represent the all the country’s cheesemakers from boutique producers through to the very large cheese companies and every producer in between, three Supreme Champion Awards will be made this year. The Countdown Champion of Champions Commercial category for producers making more than 100 tonnes annually and Puhoi Valley Champion of Champions Boutique for companies making less than 10 tonnes per annum will be joined by the New World Champion of Champions Mid-sized category for producers who make between 10 and 99 tonnes annually. . .

 


Rural round-up

January 20, 2020

Trade deal worries exporters – Gerald Piddock:

The devil is very much in the detail of the new multi-billion-dollar United States-China trade deal in terms of its impact on New Zealand agricultural exports.

Both the Dairy Companies Association and the Meat Industry Association are examining the 94-page agreement to see what impact it will have.

The phase-one deal between US President Donald Trump and Chinese Vice-Premier Liu He means an extra US$32 billion of US agricultural products will be bought by China by December 31 next year.

Dairy Companies Association executive director Kimberly Crewther said its implications for New Zealand’s $5b dairy export market are unclear because not all . . 

Breeding is in the family blood – Kate Taylor:

A six-generation family history in stud breeding and a love of cows bodes well for the farming future of Tararua’s Niamh Barnett. Kate Taylor reports.

Right down to the Hereford salt and pepper shakers on the kitchen table Herefords have always featured in Niamh Barnett’s life.

Niamh, 18, is the youngest member of the New Zealand Hereford Youth Breeders team competing at the World Hereford Conference in Central Otago in March and won the Young Fleece Judge of the Year title at the 2019 Royal Show.

“I’ve always been involved on the farm, right from when I was little.  . .

 

 


Rural round-up

January 18, 2020

Disease’s cost killed meat firm – Jacob McSweeny:

Meat production at a 100-year-old Dunedin company has ceased and 13 staff have been made redundant but the owner of The Craft Meat Company says the business will live on.

The decision came after meat producers’ profits were cut by rising costs due to a global shortage of protein triggered by the African swine fever epidemic, owner Grant Howie said.

‘‘[It was] the most gut-wrenching thing I’ve ever had to do,’’ Mr Howie said of the decision to axe staff. . . 

Sage softens lease land changes – Neal Wallace:

The Government appears to have softened the sharpest edges of proposed changes to the management of pastoral lease land while confirming farming will continue in the South Island high country.

The bill detailing changes to the Crown Pastoral Lands Act appears to back down on initial proposals that included greater political oversight of the activities of the Commissioner of Crown Lands, traditionally an independent position.

It seems also to accept submissions from farming sectors that lessees have legal rights to pasturage and quiet enjoyment of their land, which would have been compromised by the original recommendations. . . 

Fonterra pioneer expects much better:

One of the architects of Fonterra says he’s very disappointed with the co-op’s performance over the years.

Tirau farmer, Tony Wilding says farmers expected better when they formed the co-op in 2001. “It’s not the performance we had in mind when we formed Fonterra,” he told Rural News.

Wilding received a New Zealand Order of Merit in the New Year’s honours list for his contribution to the dairy sector and community. . .

New chief executive for Meat Industry Association – Sudesh Kissun:

The Meat Industry Association has appointed Sirma Karapeeva as its new chief executive.

Karapeeva, who is currently the Meat Industry Association’s (MIA) trade and economic manager, has been with the trade association since 2015. She replaces Tim Ritchie who is retiring after 12 years in the role.

Karapeeva, who takes over in April, held a variety of trade, policy and regulatory roles in Government before joining MIA.

Kiwifruit prices hit record high:

Kiwifruit prices were at an all-time high in December 2019, with prices for seasonal fruit and vegetables also up, Stats NZ said today.

“Kiwifruit prices rose 32 percent in December to a weighted average price of $8.27 per kilo, an all-time high,” acting consumer prices manager James Griffin said.

“This compares with $4.24 in December last year.” . . 

Fonterra Responsible Dairying Award nominations open:

Nominations to a national award that recognises dairy farmers who demonstrate leadership in their approach to sustainable dairying and who are ambassadors for the industry open January 15th.

The Fonterra Responsible Dairying Award was introduced by the New Zealand Dairy Industry Awards to recognise those dairy farmers who are respected by their farming peers and their community for their attitude and role in sustainable dairying. Entry for this award is by nomination only via dairyindustryawards.co.nz. . . 


Rural round-up

December 22, 2019

New Zealand’s largest manufacturing sector is concerned about Government’s freshwater proposals :

The viability of some meat processing plants in New Zealand will be in doubt under the Government’s current freshwater proposals, according to the Meat Industry Association (MIA).

“While we generally support the ambition of the proposals for cleaner freshwater, the planned river quality limits are excessively tight and exceed current limits already consented by regional councils,” says Tim Ritchie, chief executive of MIA.

“These limits are likely to result in substantial economic costs to the me . . 

 

Fonterra resolves Chilean dispute with buy-out – Keith Woodford:

Fonterra’s announcement that it is purchasing the minority shareholding interests in Chilean dairy company Prolesur solves an acrimonious relationship between Fonterra and the Fundación Isabel Aninat. This may prove to be an early step in the rationalisation and eventual divestment of Fonterra’s Chilean operations.

Fonterra’s Chilean operations are managed under a complex structure. The major asset is the almost wholly-owned Soprole, which in turn owns 70.5 percent of Prolesur. Fonterra also owns additional shares in Prolesur through another structure, giving it a total Prolesur holding of 86.2 percent.

The key minority shareholder in Prolesur is Fundación Isabel Aninat which has ties to the Catholic Church. . . 

Commitment to change lifts audit grades:

A willingness to proactively improve farming practices has seen 89 per cent of Waimakariri Irrigation Limited (WIL) shareholders achieve an A or B Farm Environment Plan (FEP) audit during the 2018/19 season; an increase of 21 percent from the 2016/17 season.

C audit grades have decreased from 28 per cent in the 2016/17 season to 9 per cent in the 2018/19, while just one farm received a D audit grade.

Farm Environment Plans help farmers to recognise and manage on-farm environmental risks. Once the plan is in place an independent audit is carried out to check how the risks are being managed and how Good Management Practices (GMP) are being applied to minimise the impact on water quality. . .

Farmstrong: avoid common strains and niggles:

Farming is a physically demanding job and can cause a lot of wear and tear on the body if you don’t look after it so Farmstrong has teamed up with VetSouth to make a series of short injury prevention videos for farmers.

VetSouth director and large animal vet Neil Hume is based in Winton. He and his team have been working with local physiotherapist Dennis Kelly to help staff avoid injury. 

“A lot of the work vets do is repetitive,” Hume says.  . . 

Berries inspire new local brew – Richard Rennie:

A chance conversation over the fence between a blueberry grower and a brewer prompted the men to combine their talents to create a blueberry beer for summer.

Waikato blueberry grower and Blueberries New Zealand chairman Dan Peach said it was a fortuitous encounter with Good George brewer Brian Watson that provided a new market for his crop. 

Watson said it has taken three years to get to the point the beer can be commercialised.  . . 

Young people pitch in at South Arm – Mel Leigh Dee:

One gripe that came out of a bushfire community recovery meeting last week in Bowraville was the lack of young hands being raised to help with the clean up.

Well there’s currently a dozen or so young guns out at South Arm who are working hard to rebuild fences and faith in their generation.

For the past two weeks primary industries students from Macksville High have been volunteering their skills and their brawn to pull down charcoaled fencing and drive in new posts at the Perks’ farm along South Arm Rd. . . 

 


Rural round-up

October 29, 2019

How the freshwater plan could ruin my town – Dani Darke:

King Country sheep and beef farmer Dani Darke says her community is under threat if the government’s Essential Water policy passes into law.

Nestled in the heart of the King Country, the settlement of Aria embodies the richness of community spirit that is associated with heartland New Zealand.

With a population of 300 and a bustling CBD of 68, it is a place where everyone knows your name.

The Cosmopolitan Club acts as the community hub. Here age is irrelevant and 70-plus year olds socialise with 18-year-olds. We have thriving squash and tennis clubs and a primary school boasting a role of 50. . .

Farmers only lukewarm on plan :

Farmer and new Environment Canterbury councillor Ian Mackenzie is cautious in his enthusiasm for the Government’s about-turn on the Emissions Trading Scheme.

In a world-first government-industry partnership the Government has backed down on taxing farmers and brokered a deal with the agricultural sector to manage and mitigate on-farm emissions.

It will avoid farmers being included in the ETS if they can commit to a new sector-led plan.

“Clearly, this is good news but it doesn’t necessarily send me skipping across the spring green paddocks with joy,” Mackenzie, an Ashburton cropping and livestock farmer, said. He was also Federated Farmers environment spokesman and a member of the Land and Water Forum. . .

MIA big guns next up in China – Alan Williams:

It follows a successful visit by a smaller technical team in late September that made clear NZ’s keenness to partner with the Chinese industry to help modernise and improve supply chain systems, including cold store infrastructure, the association’s trade and economic manager Sirma Karapeeva said. . .

 

Synlait Milk buys Canterbury’s Dairyworks :

Synlait Milk is buying Canterbury’s Dairyworks for $112 million as part of its push into the consumer market.

The speciality milk producer said Dairyworks was a good fit for its everyday dairy strategy, and complemented the recent purchase of cheese manufacturer Talbot Forest.

Dairyworks supplied New Zealand with almost half of its cheese, a quarter of its butter, as well as milk powder and Deep South ice-cream. . .

90-year-old Northland Kiwifruit farmer feeding the world – Susan Botting:

Northland grower Zela Charlton, 90, enjoys feeding the world from her Glenbervie kiwifruit orchard.

“My reward is feeding the people of the world. Even if it’s a bit of a luxury, kiwifruit is a very nourishing food,” Charlton said.

The nonagenarian loves kiwifruit – both green and gold.

“You can’t imagine what a perfectly ripe kiwifruit taken straight off the vine tastes like – it’s out of this world.” . . 

Win for prime agrcultural land – Mitchel Clapham:

NSW Farmers has lobbied long and hard to protect our prime agricultural land and water resources in the face of increased mining and CSG activity.

On May 1, 2012, NSW Farmers spearheaded the ‘Protect our Land and Water Rally’ in Macquarie Street, joining with many other organisations like the CWA to galvanise support for local food and fibre production.

In response, the state government developed a Strategic Regional Land Use Policy and Gateway process, which was supposed to map and protect Biophysical Strategic Agricultural Land (BSAL), which comprises only 3 per cent of NSW. . .

 


Working with better than against

October 25, 2019

The government has seen sense and is accepting the primary sector’s proposal on agricultural emissions.

The agreement means agriculture will not join the Emissions Trading Scheme but instead work with the Government to reduce emissions.

There will be no processor levy from 2020 to 2025 as initially proposed but farmers and growers will have to implement farm plans and calculate their emissions and offsets at the farmgate from 2025.

A processor level would have penalised more efficient farmers and given no-one an incentive to improve.

Such a tax would have taken money from farmers, leaving them with less to invest in on-farm solutions.

Progress will be reviewed in 2022 and if the Government is unhappy it will revert to the original legislation.

That threat will hang over the sector but at least there’s breathing space.

We are pleased that the Government has recognised that it does not make sense to bring agriculture into the ETS and that we have a pathway to work with the Government to develop a more appropriate framework,” the sector said in a joint statement.

“We welcome this pragmatic and sensible decision by the Government to work in partnership with industry to achieve tangible on-farm change and hope that it might provide a blueprint for the way we work together to solve environmental challenges in the future.”

Would it be too much to hope a similar approach could be taken to water policy?

The 11-member primary sector group has committed $25m over five years to achieve these goals.

That group is Apiculture NZ, Beef + Lamb, DairyNZ, Dairy Companies Association, Deer Industry NZ, Federation of Maori Authorities, Foundation for Arable Research, Federated Farmers, Horticulture NZ, Irrigation NZ and the Meat Industry Association. . .

This shows the importance of unity and what can be achieved when working together.

It also shows the sense of government working with the sector instead of trying to impose impossible goals on it.

Federated Farmers’ response is here.

DairyNZ’s response is here.

 


Rural round-up

September 17, 2019

Government freshwater proposals a blunt instrument:

The Government’s freshwater proposals represent a blunt instrument for complex water problems, according to the Meat Industry Association (MIA).

“We know that freshwater is at the centre of many New Zealanders’ way of life and that collectively we need to continue to improve,” says MIA chief executive Tim Ritchie.

“MIA generally welcomes the proposal for processing plants to have a Risk Management Plan for wastewater discharges into waterways. Under resource consent requirements, processing sites already have similar plans in place.

“The meat processing sector has  also invested significantly in wastewater treatment upgrades and made considerable improvements.

“However, the critical part to get right is to ensure there is enough flexibility in the legislation so that each local situation can still be considered on its merits and that we focus on the outcomes that communities want for their freshwater. . .

Canterbury farmers unhappy with freshwater plan -Eleisha Foon:

Some Canterbury farmers are dismissing the government’s plan to clean up the country’s waterways as a pipe-dream.

Regional councils across the country have been organising meetings to debate the best ways to reduce nitrates from dairy farming.

According to the Institute of Economic Research, Canterbury is the second highest dairy-producing region, behind Waikato, but many farmers there feel unfairly targeted by what the government has proposed.

“Farming is the art of losing money, while trying to feed and clothe the world while the world thinks you’re trying to poison them, the atmosphere and the environment,” Canterbury farmer Jeremy Talbot said. . . 

Fewer sheep and more trees outcome of freshwater proposals:

Research published by Local Government New Zealand shows the enormous impact on land use the Government’s freshwater proposals will really have, National’s Agriculture spokesperson Todd Muller says.

“If implemented, these proposals are going to see farmers in the Waikato go out of business and their land be converted into a sea of trees.

“According to the modelling, sheep and beef farming is expected to fall by 68 per cent, while dairy would be reduced by 13 per cent. Meanwhile plantation forestry would boom by an astonishing 160 per cent.

“Plantation forestry would then account for over 50 per cent of farmland in Waikato, as these onerous regulations make sheep and beef farming completely untenable. . . 

Water reform challenges a key focus of this week’s Water NEw Zealand conference:

Water reforms and the long term sustainability of water will be a key focus at the Water New Zealand conference and expo this week (18-20 September) in Hamilton.

The conference is being opened by the Minister for the Environment, Hon David Parker and Local Government and Maori Development Minister Nanaia Mahuta is speaking later in the day.

“We’re very pleased to be able to welcome key government Ministers to this year’s conference, especially given the ground-breaking reforms that the government is embarking on and the impact they will have across the entire country,” says Water New Zealand CEO John Pfahlert.

“This year one of two pre conference workshops will help update those working in the sector with the likely impact of the new regulatory process, while another will look at issues around wastewater – a key aspect of the Government’s recently announced Freshwater Programme.” . . .

A2 Milk and Synlait Milk shares jumped in early trading as a A$1.5 billion takeover bid for Bellamy’s Australia revived optimism that Chinese demand for dairy products remains strong. 

ASX-listed Bellamy’s today said it’s received a A$13.25 per share offer from China Mengniu Dairy Co and that its board will support the bid. That’s a premium to the A$8.32 price the shares closed at on Friday. China Mengniu is familiar with the Australasian market through Yashili New Zealand and Burra Foods Australia. It was also one of the unsuccessful suitors of Murray Goulburn. Bellamy’s soared 51 percent to A$12.55, less than the A$12.65 cash component of the offer which also allows for a 60 cent special dividend. . .

How to make more dirt down on the farm and make money from it – Pip Courtney and Anna Levy:

There’s an old saying about soil: they’re not making any more of it.

But some farmers are.

In just five years, Niels Olsen used his own invention to build more soil on his property in Gippsland, Victoria.

It delivered him the title of 2019 Carbon Farmer of the Year and it’s vastly improved the health of his land — but it requires an unconventional approach.   .


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