Rural round-up

September 23, 2016

Farmers must ‘lock in the gains’ as milk price lifts:

DairyNZ is encouraging farmers to lock in the gains achieved in the past two seasons, as a pasture-first farm system will continue to provide payback as the milk price rises.

Chief executive Tim Mackle says the increase to $5.25 per kg MS for the forecast 2016/17 Fonterra Farmgate milk price is terrific news for dairy farmers.

“This brings many farm businesses to around the 2016/17 break-even milk price of $5.05 per kg MS, once retrospective payments and dividends are taken into account. This means fewer farmers will need to borrow extra funds this season,” says Tim.

“Retrospective payments for next year have also been boosted by 20-25 cents in this announcement, to over $1 per kg MS. . . 

New funding for Mayfield Hinds irrigation scheme:

Primary Industries Minister Nathan Guy has welcomed $345,000 in new funding to investigate expansion of the Mayfield Hinds irrigation scheme in mid-Canterbury.

The funding comes from the Ministry for Primary Industries’ Irrigation Acceleration Fund (IAF)and will look at the feasibility of increasing the irrigated area of the current scheme by 4,500 hectare through piped extensions.

“Storing alpine water to use in dry times is crucial for rural communities to thrive, especially as the climate becomes more variable,” says Mr Guy.

“Well planned and managed irrigation schemes are good for rural economies and the environment. . . 

Fonterra says China well-poised for growth, regulatory changes will see 1800 brands disappear – Fiona Rotherham

(BusinessDesk) – Fonterra Cooperative Group chief executive Theo Spierings says legislation will mean drastic changes in the Chinese infant formula market with the removal of between 1800 and 2000 brands in the next 15 to 18 months.

Regulatory changes require each entity to have only three brands and three different recipes of infant formula in a bid to crack down on the grey market and allay consumers’ food safety concerns by reducing fake formula.

Spierings said Fonterra was well-positioned in every segment in China where it is already the global market leader for ingredients such as whole milk powder but a lot of things have changed in the past few years including a shift to sales from mother and baby shops to e-commerce. . . 

NZX milk futures fall from record after GDT, still above Fonterra payout forecast – Tina Morrison

(BusinessDesk) – New Zealand milk price futures have fallen in the wake of the latest GlobalDairyTrade auction, having reached a record in the run-up to this week’s sale, but remain above the payout level forecast by most of the country’s milk processors.

The NZX milk futures contract for the 2016/17 season hit a record $5.65 per kilogram of milk solids ahead of the GDT overnight on Tuesday, and recently traded at $5.50/kgMS. That’s still above the base milk price forecast by the country’s major milk processors, with Fonterra Cooperative Group this week updating its forecast to $5.25/kgMS, while Synlait Milk’s is at $5/kgMS, Westland Milk Products at $4.75-to-$5.15/kgMS, Miraka at $4.55-to-$4.80/kgMS, and Open Country Dairy at $4.60-to-$4.90/kgMS. Tatua sits above the futures with a current forecast of $5.50-to-$6/kgMS while Oceania Dairy didn’t immediately respond to a request for its forecast. . . 

NZ Merino and Silver Fern Farms set out new path for Silere:

The New Zealand Merino Company (NZM) and Silver Fern Farms have reached agreement for NZM to take 100 per cent ownership of Alpine Origin Merino Limited, previously owned jointly.

Alpine Origin Merino Limited was established 5 years ago as a joint venture between NZM and Silver Fern Farms to own the SILERE alpine origin merino brand and to fund the development and marketing of the SILERE merino meat range. Under the agreement NZM becomes the sole shareholder in Alpine Origin Merino Limited.

NZM Chief Executive John Brakenridge stated that “when we set out we needed to prove merino meat could be differentiated as a luxury eating experience and value created in market could be delivered to grower suppliers. . . 

Kiwi moves to Pitt island, with no electricity or phones, for love – Ryan Bridge:

There’s no love without sacrifice, right? How far would you be willing to go to make it work?

Story met Amy Podjursky during our flight to the Chatham Islands, and discovered she was moving hundreds of kilometres to a remote island in the name of love.

There’s no electricity or cellphones on Pitt Island – and there’s only around 50 people who actually live there. It’s quite uninhabited and it’s the eastern-most point of New Zealand. . . 

 

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Not all superheroes wear capes. Some wear boots and know how to use a crock pot – PinkTractor.com


Rural round-up

September 21, 2016

Improved dairy sector expectations see New Zealand farmer confidence surge higher:

Results at a Glance

· Overall confidence in the agricultural economy has improved considerably from the previous quarter

· Farmers’ expectations for their own business performance also improved, driven by sizeable improvement in expectations among dairy farmers

· While overall confidence was up among all sectors, sheep and beef farmers registered small decline in expectations of their own business performance

· Horticulturalists’ business performance expectations also fell, but remain at elevated levels

· Farm business investment intentions remained stable. . . 

Young role model inspires primary sector job seekers – Gerard Hutching:

Ellie Cranswick knew New Zealand was different to the United Kingdom the moment she saw drench being advertised on TV.

She noticed on arrival that there were a number of differences between the two agricultural industries, from the end markets, to the genetics, to systems used.

Originally from Dorset, 27-year-old Cranswick now has her red bands firmly grounded in New Zealand soil after five years in the country. . .

Changing agri-food perspectives – Keith Woodford:

When I was an undergraduate back in the 1960s – in some ways it seems just yesterday – the dominant agricultural paradigms were about farm production and management.  As students, we learned nothing about marketing. And when marketing did come in vogue in the following decades, the dominant perspective was that marketing was what happened at the end rather than the beginning of the agri-food chain.

To a considerable extent, that perspective of a value chain that starts with production still survives within our animal-based agricultural industries. In contrast, the plant-based industries have been more successful in making the transition to a consumer-led position. And that may well be why, in an evolving world, our horticultural industries are currently succeeding where our traditional pastoral industries are currently struggling.

Our three big plant industries that are leading the way are viticulture, kiwifruit and apples. And then there are some other such as cherries which are also making good progress, plus seed crops such as carrots. . . 

Hope wallaby tracks ‘isolated incident’ – Lynda van Kempen:

The spread of wallabies is a serious concern and the last thing Otago needs is another destructive animal pest, a regional council director says.

Otago Regional Council environmental monitoring and operations director Scott MacLean, commenting about wallaby tracks being found at Galloway, near Alexandra, recently, said the council was treating the sighting seriously.

“Given that at this stage, only wallaby sign was sighted, I would like to think, and certainly hope, that this is an isolated incident. . . 

$3.1m funding for climate change projects:

Primary Industries Ministers Nathan Guy and Jo Goodhew have welcomed $3.1 million in new funding for 13 climate change research projects in the agriculture and forestry sectors.

The grants were announced today by the Ministry for Primary Industries through the Sustainable Land Management and Climate Change (SLMACC) research programme.

“This funding plays an important part in helping our primary industries prepare for the future challenges of climate change,” says Mr Guy.

“$935,000 is being invested in three projects to analyse soil carbon on hill country farms and under irrigation systems. . . 

Mighty mite makes easy meal of Marlborough broom – Mike Watson:

A tiny insect with a big appetite is making short work of invasive scotch broom plants in dry areas around Marlborough.

The broom gall mite was released by the Marlborough District Council biosecurity team into an area south of Blenheim in 2011.

In the past five years, the biocontrol agent has been spread by wind to surrounding farmland on the Redwood Pass and Dashwood Pass. . . 

Using wood fuel is heating up:

With the continual growth in the use of wood fuel for heating the Bioenergy Association is increasing its support for wood fuelled heat plant operators and maintenance staff, helping plant owners improve the performance of their plant and encourage others to move from coal to wood fuel.

“The amount of wood fuel replacing coal is growing each year and we want to ensure heat plant operating and maintenance staff are well supported,” says the Association’s Executive Officer Brian Cox.

The Bioenergy Association is holding a forum for heat plant owners, operators and maintenance staff in Christchurch on 27 September. . . 

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Rural round-up

September 9, 2016

It’s a demographic time-bomb: dairy farms in crisis as youngsters shun milk because health professionals ‘treat it as an enemy’  – Dave Burke:

  • Consumption of dairy products has dropped among young people
  • A new ‘three-a-day’ campaign is due to be launched to promote the nutritional benefits of milk, butter and cheese
  • The warning was sounded by David Dobbin, chief executive of United Dairy Farmers
  • He said health professionals are largely to blame for the slump

Britain’s dairy farmers are facing a crisis due to falling demand – because health professionals are treating milk and dairy products ‘as the enemy’, an expert has warned.

David Dobbin, chief executive of United Dairy Farmers – a co-operative group of producers – said younger generations are drinking far less milk than their parents and grandparents did. . . 

Predator Free 2050 vision supported by DOC-Kiwibank partnership:

Conservation Minister Maggie Barry has welcomed a new partnership between DOC and Kiwibank which will contribute towards New Zealand’s goal of becoming predator free by 2050.

The partnership announced today focuses on DOC’s conservation dog programme and the remarkable canines using their unique noses to tackle predators and help our native species.

“Specially-trained dogs are truly one of conservation’s best friends, and they will play a crucial role in our plans to make New Zealand predator free by 2050,” Ms Barry says.

“My own North Shore electorate often sees the popular Pai and Piri, two terriers who are excellent ratters, working at our ferry terminals. . . 

Changes to commercial fishing limits:

Primary Industries Minister Nathan Guy has announced changes to management controls for 25 fish stocks as part of the regular twice yearly fisheries sustainability review.

“All these decisions make the best possible use of the latest scientific information to ensure sustainable stocks whilst maximising the benefits for all users – customary, recreational and commercial,” says Mr Guy.

A key change is a significant increase to the catch limit for Snapper 7 (covering the top and west coast of the South Island) with recreational catch increasing from 90 to 250 tonnes, and commercial from 200 to 250 tonnes. . . 

Environment Commissioner congratulates Minister on strong decision for longfin eels:

The Parliamentary Commissioner for the Environment has congratulated the Minister for Primary Industries, Hon Nathan Guy, on his decision to make big reductions in the catch limits for longfin eels in the South Island.

“It’s great to see the Minister making this very positive move towards ensuring the long-term sustainability of the longfin eel,” said Dr Jan Wright.

New catch limits announced by the Minister today effectively amount to a suspension of commercial fishing for longfins in four of the six management areas in the South Island, and a reduction of the allowable catch in the remaining two. . . 

DWN joins forces with Deosan:

Dairy Women’s Network has signed on a new dairying partner in Waikato-based company Deosan this month.

Dairy Women’s Network chief executive Zelda de Villiers says the Network is thrilled to work alongside Deosan, a New Zealand owned business specialising in udder health, dairy hygiene and liquid mineral products, to offer its 9300 members market-leading advice and education in the space.

In the coming months, Deosan will be presenting a series of free educational workshops on udder health and mastitis prevention to DWN members in key regions throughout the country as part of their agreement with the Network. . .

Global experts set to share selenium wisdom:

New Zealand farmers, producers and animal health professionals (veterinarians, nutritionists, feed companies), are being urged to take advantage of a free one-day seminar to help boost animal health and productivity.

Focusing on the essential key mineral, selenium, the seminar presents world-renowned experts, Professor Peter Surai and Dr. Kevin Liu, sharing the latest global research and developments in selenium nutrition and supplementation.

Attendees will learn first-hand about the importance of selenium as an antioxidant in modern New Zealand intensive animal production.  . . 

Hamilton farm girl’s on-line search for love – Ryan Bridge:

If you’re looking for love but lead a busy life then you’ll be able to relate to Marcella Bakker.

Ms Bakker’s a farmer and all-round good sort from Hamilton who’s become quite famous online thanks to her search for a man.

She posted a message on the NZ Farming website asking for men to contact her if they were interested in a date and Story went to answer the call. . . 

‘Modern day farm chick’ puts face to agriculture – Ray Mueller:

“Don’t expect to change the world but at least change the world for one person.”

That’s the vision which inspires Annaliese Wegner, who has dubbed herself “modern day farm chick,” for her social media blogs in which she tries to counter and correct “the bad and false information” about dairying and agriculture that “consumers eat up.”

Wegner posts on Facebook, Instragram and Twitter and participates in the AgChat Foundation in order to “share our story.” That story is rooted in her experiences at the 550 Holstein cow herd near Ettrick in Trempealeau County, where she and her husband Tom and his parents Jeff and Betty Wegner are the partners in Wegnerlann Dairy LLC. The younger Wegners met when they were students at the University of Wisconsin-River Falls. . . 

Wool market subdued:

New Zealand Wool Services International Ltd’s C.E.O John Dawson reports that the South Island auction offering a wide range of microns and types, saw varied interest as a resurgent New Zealand dollar and limited overseas buying combined to undermine local price levels.

The weighted indicator for the main trading currencies lifted 2.69 percent compare to last week.

Of the 10454 bales on offer only 55 percent sold with many growers not prepared to accept current price levels.

Mr Dawson advises that compared to the last South Island offering on 25th August. . .

 


Rural round-up

August 26, 2016

Mid- Canterbury animal lover and dairy farmer frustrated at industry haters – Heather Chalmers:

Ardent animal lover and dairy farmer Sara Russell is frustrated at industry haters who are quick to blame dairy farming for everything from mistreatment of animals to the Havelock North contaminated water crisis.

Russell says all dairy stock on the Mid-Canterbury property sharemilked by her and husband Stuart are well cared for, from new-born calves to the oldest cow in the herd, still milking at 16-years-old.

If you engage with groups like Peta, its philosophy is that dairy farming in New Zealand shouldn’t exist. On social media, a lot of people are attacking something they have no understanding of. There are always improvements that can be made, but you wouldn’t be a dairy farmer if you didn’t like animals. Most of us are too busy getting on with our jobs to point out the flaws in their arguments. . . 

Rural mental health scheme shares top award:

Primary Industries Minister Nathan Guy has congratulated the GoodYarn rural mental health initiative for winning an international award today.

GoodYarn was developed as part of a Primary Growth Partnership (PGP) programme and was named joint Best Mental Health Promotion/Illness Prevention scheme at the Australia and New Zealand TheMHS (Mental Health Services) Conference in Auckland today.

“This is a great programme that has helped over 800 farmers and rural professionals since it was established earlier this year,” says Mr Guy. . . 

Otago Station Enjoys Benefits Of Ballance Farm Environment Awards:

Otago farmer Marty Deans entered the Ballance Farm Environment Awards because he wanted to benchmark the operation he manages and learn more about improving sustainability.

He and wife Lynette live on Barewood Station, a 6300ha sheep and beef property between Middlemarch and Outram. Barewood is one of eight farms owned and operated by Tom and Heather Sturgess, Lone Star Farms.

Marty was encouraged to enter Barewood in the 2016 Otago Ballance Farm Environment Awards. . .

Competitors chop it out at Young Butcher Awards – Adam Hollingworth:

Meat experts spent Thursday night deciding who New Zealand’s best young butcher is.

The young butchers had two hours to make the cut.

“So we’re looking for that flair and when they’re cutting, they do that precisely just like in a butcher’s shop, that’s what we want to see,” head judge Matt Grimes says.

Alongside nine guys turning a slab of pork shoulder into choice cuts was 26-year-old Amy Jones from Taumarunui.

“It’s just a male dominated trade,” she says. . . 

Bobby calf improvements noted this season:

The calving season for dairy farmers is now in full swing and improvements in calf welfare have been noted across the bobby calf supply chain.

A suite of welfare actions have been implemented since the end of the 2015 as part of an accelerated work programme focused on further improving the standard of care for bobby calves, including new regulations which have been in place since 1 August.

“Everyone across the supply chain has a role to play when it comes to the welfare of bobby calves. What we have seen and heard so far is promising and a majority of people are following the rules, but we have also noticed some people still need to change their practices to ensure all regulations are met,” says MPI’s Director Verification Services, Chris Kebbell. . . 

Minister welcomes new sheep milks PGP programme:

Primary Industries Minister Nathan Guy has welcomed a new Primary Growth Partnership (PGP) programme announced today aimed at boosting New Zealand’s sheep milk industry.

The new $31.4 million, six-year PGP programme called ‘Sheep – Horizon Three’ is a partnership between Spring Sheep Milk Co. and the Ministry for Primary Industries (MPI). 

“This is an exciting and comprehensive programme aimed at boosting New Zealand’s sheep milk industry which has huge potential,” says Mr Guy. 

“It will involve new genetics, new farming systems and developing high premium niche products. New Zealand operators will be involved in all parts of the value chain. . . 

Funding to research giant willow aphid brings relief to Canterbury’s beekeepers – Pat Deavoll:

Canterbury beekeepers are welcoming the news that scientists at Scion Research in Rotorua have won a $600,000 grant to study the giant willow aphid.

The aphid is having a detrimental effect on the country’s beekeeping industry by affecting the ability of the willow tree to flower.

During the spring an affected willow will have little or no catkins. The pollen from the catkin is arguably the most important pollen source to bees in New Zealand, without which they wouldn’t be able to produce honey. . . 

Hurry get your Enterprising Rural Women Awards entries in now:

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

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

2016 ERWA categories: . . 

Beef progeny test delivering answers to farmers:

Commercial farmers can bank on estimated breeding values (EBVs) for calf weaning weights delivering on what they predict.

Initial results from the Beef + Lamb New Zealand (B+LNZ) Genetics beef progeny test are rolling in and the second cohort of calves is due on the ground in coming weeks.

The test is being run across five large commercial properties and involves about 2200 cows and heifers each year. Its goal is to determine how bulls of different types perform under comparable commercial conditions. It aims to put a dollar value on the worth of superior genetics – from both the perspective of breeding cow performance and finishing stock’s carcase attributes. . . 

Scales Corporation lifts half-year after tax profit, upgrade full-year earnings guidance:

Scales Corporation Limited (NZX:SCL) today reported a net profit after tax of $33.8 million for the half year ended 30 June 2016 (1H16), up 3 per cent on the previous corresponding half year ended 30 June 2015 (1H15).

Key highlights include:

• NPAT up 3 per cent, EBITDA and EBIT also up 3 per cent on 1H15.
• Apple export volumes up 12 per cent on 2015 export volumes, to 3.55 million TCEs.
• Food Ingredients EBITDA up 33 per cent, with pet food sales volumes up 24% on 1H15.
• Full year guidance upgraded to EBITDA between $55 million and $62 million, equating to a net profit after tax of between $29.6 million and $34.6 million.
• China Resources welcomed as a long term supportive shareholder. . . 

Winner of 2016 Bayer Young Viticulturist of the Year announced:

Congratulations to Cameron Price from Villa Maria, Hawke’s Bay who is the Bayer Young Viticulturist of the Year 2016. After a tough final Price was thrilled to receive this prestigious reward on Thursday night at the Bragato Wine Awards. “All that hard work paid off” he said.

Cameron is the Vineyard Supervisor working on Villa Maria’s Ngakirikiri, Vidal and Twyford Gravels vineyards. He has been there since May this year and is enjoying the challenges of his new position, supervising 60 hectares of vines.

He is 26 years old and grew up in Palmerston North. Price comes from a family of plumbers but his passion for viticulture and wine led him to Hawkes Bay to study Viticulture at EIT in 2008. He continues to study part-time as he furthers his career working full time learning and upskilling on the job as well. . . 

Wine industry recognises shining examples at 2016 Romeo Bragato Wine Awards:

An Auckland Chardonnay and a Hawke’s Bay Cabernet Sauvignon Merlot both shone at this year’s Romeo Bragato Wine Awards.

Grown by Brett Donaldson, the Villa Maria Single Vineyard Ihumatao Chardonnay 2014 won the coveted Bragato Champion Wine of the Show Trophy – Champion Single Vineyard and the Bill Irwin Trophy for Champion Chardonnay.

“This Chardonnay demonstrated exceptional respect to the variety and is a shining example of what hard graft in the vineyard and soft touch in the winery can achieve. It shows wonderful expression and captures the essence of the Ihumatao vineyard. Simply stunning!,” said Chairman of Judges Ben Glover. . . 

A year on: Invivo hosts innovative bash for stakeholders to toast a good year:

It’s probably one of the most lively investor ‘meetings’ you’re likely to attend.

Forget stuffy AGMs, the shareholders who joined the Invivo directors at the winemaker’s 2016 AGM in Te Kauwhata yesterday (24 Aug.) were treated to live music, canapés, dinner and a winery tour. That’s the Invivo way.

Having been New Zealand’s first company to equity crowdfund the maximum $2 million in 2015, Invivo hosted the bash with its shareholders to celebrate its first year. The company’s innovative approach to its AGM proved a hit as more than 120 shareholders joined the event which was also live streamed across the world. . . 


Rural round-up

August 18, 2016

Trade access landscape increasingly crowded – Allan Barber:

At the same time as the TPP is struggling to get across the finish line before the next American President takes over early next year, there are several signs of access to the USA freeing up for some of New Zealand’s competitors.

The announcement of greatest significance concerns access for Brazilian beef after 17 years of negotiations which will be permitted to begin in September. Admittedly Brazilian plants must still gain accreditation before they can export to the USA and, when they do, their entitlement will be included in the ‘other country’ quota of 64,800 tonnes at the same preferential tariff of 4.4 cents per kilo as New Zealand for its 213,402 tonne quota. However, there is a possibility Brazil’s eagerness to export, combined with its weak currency, will encourage it to sell at the 26.4% general tariff rate. . . 

The pros and cons of PKE – Keith Woodford:

In recent weeks, PKE has been in the spotlight.  The key reason for this has been the decision by Landcorp to phase out its use on the Landcorp farms. This has brought back into focus Fonterra’s 2015 recommendation to farmers to only use 3kg per cow per day. It has also given a platform for various other groups to promote their own perspectives.

Amongst the environmental groups, there are two polar perspectives. Greenpeace says we should stop using all PKE. However, the World Wildlife Fund (WWF) says that palm oil production is OK as long as it sustainable, and certified by the Roundtable on Sustainable Palm Oil (RSPO). . . 

A farming mum who loves helping others – Kate Taylor:

Regular visitors to the Facebook site, Farming Mums NZ, will be familiar with an online blogger whose zest for life seems never-ending. Kate Taylor reports.

There’s an element of irony about the name of Chanelle O’Sullivan’s daily blog, Just a Farmer’s Wife, because it couldn’t be further from the truth.

She is, actually, a farmer’s wife, but is also a mother of two, qualified vet nurse, blogger, project manager, 2016 scholar on the Kellogg Rural Leadership Course, guest speaker, online business woman, long-distance runner and admin for several flourishing Facebook pages.

Chanelle lives at Waitohi in South Canterbury with husband Dave, who is working on a farm on Rockwood Rd. He grew up near Timaru and has a Diploma in Farm Management from Lincoln University. . . 

Silver Fern Farms shareholders vote conclusively in favour – Allan Barber:

The long awaited special meeting finally took place this afternoon with the company’s desired outcome. 80.4% of shareholders voting voted in favour of the Shanghai Maling deal, a small reduction from the 82% that voted in favour last October.

At today’s meeting in Dunedin, as soon as the result was announced, it appears John Shrimpton who led the requisition group shook SFF chairman Rob Hewitt’s hand and agreed that democracy had had its say and the campaign was over. . . 

Clear vision for red meat sector in sight at last – Allan Barber:

After many years of relatively low levels of expenditure on market development and promotion, the red meat industry faces a major challenge in deciding how best to create the desired image to appeal to the world’s affluent consumers. Currently expenditure is divided between generic promotion, funded by farmer levies, and brand advertising by the meat exporters, with a small amount of joint funding in some of the less mature markets.

Delegates at the recent Red Meat Sector Conference heard about the importance of telling a believable and emotionally compelling story built on the heritage and healthy attributes of New Zealand and its farming sector. But they were also challenged to make sure this story is constructed on credible building blocks of environmentally sustainable farm, animal welfare and processing practices. . . 

New primary sector groups to support climate change goals:

Two new reference groups will help support New Zealand’s climate change goals and reduce emissions from the livestock and forestry sectors, Primary Industries Ministers Nathan Guy and Jo Goodhew have announced today.

“As part of ratifying the Paris agreement on climate change, New Zealand has set a target of reducing our emissions by 30 per cent below 2005 levels by 2030. The primary sector will need to be an important part of that,” says Mr Guy.

“The Biological Emissions Reference Group will bring together a wide range of agricultural, horticultural and farming stakeholders to collaborate with Government and build a solid evidence base. This will ensure we have the best possible range of information on what can be done right now to reduce biological greenhouse emissions. . . 

Glass half-full for dairy after price lift – Alexa Cook:

Dairy farmers could finally have break-even milk prices this season, AgriHQ dairy analyst Susan Kilsby says.

This season’s forecast of $4.25kg/ms is the third season of prices below $5.

Most farmers need about $5kg/ms to cover their costs, which is about $US3000 a tonne for whole milk powder, the industry’s main export.

In the overnight Global Dairy Trade auction prices lifted by 12.7 percent and whole-milk powder surged 18.9 percent to $US2695 a tonne. . . 

Countdown Egg Producer Programme for Free Range and Barn launches today – Supermarket assures farmers their investment in free range and barn eggs will pay off:

Countdown has today launched an Egg Producer Programme to support free range and barn egg farmers to increase the supply available for Countdown stores and our customers.

The Egg Producer Programme provides farmers an opportunity to increase investment in free range and barn egg capacity, as Countdown will make a commitment to take future supply through individual partnership agreements.

Currently, just 18 per cent of eggs produced in New Zealand are free range. Countdown wants to put in place plans with farmers, to increase the availability of the free range and barn eggs.  . . 

Bill to streamline Food Safety passes first reading:

Food Safety Minister Jo Goodhew is welcoming the Food Safety Law Reform Bill having passed its first reading in Parliament last night, with unanimous support.

The Bill is the final step in implementing the Whey Protein Concentrate (WPC) Inquiry recommendations, in particular those which require legislative change.

“This Bill is an important part of putting the false Botulism scare behind us. It illustrates the Government’s commitment to ensuring the safety and suitability of food, which is vitally important for the health of consumers – both in New Zealand and overseas – and our international trade reputation,” says Mrs Goodhew. . . 

Retirement of Fonterra Director:

Fonterra Co-operative Group Limited today announced that Mr John Waller ONZM will be retiring as an Independent Director on the Fonterra Board with effect from 31 August 2016.

Fonterra Chairman John Wilson said that Mr Waller is retiring to reduce his workload after serving on the Fonterra Board since 2009. He chaired Fonterra’s Fair Value Share Review Committee, the Trading Among Farmers Due Diligence Committee and the Milk Price Panel, and was a member of the Audit and Finance Committee and the Risk Committee.

“John has been an outstanding director of our Co-operative and has made an invaluable contribution by combining his strong personal values, drive and leadership with commercial common-sense. I am pleased that after such a significant contribution John is finding the time to rebalance his commitments so that he can spend more time with his family and pursue his other interests. . . 


Rural round-up

August 15, 2016

Unreliable rain reduces sheep numbers – Kate Taylor:

The seasons are changing at Patoka Station and less reliable rainfall is affecting the way it’s farmed. Kate Taylor reports.

It looks green but the grass is much shorter than normal for late winter on Patoka Station in Hawke’s Bay.

That picture is about to change, though owners Ben and Suzie Crosse are unaware of it as they discuss their upcoming lambing, starting from August 31. A storm is approaching the central North Island and will dump 190mm of freezing-cold rain on the 1200ha farm.

The farm has monthly records going back to 1948 but the rainfall hasn’t been reliable lately, Ben says. . . 

Biggest year’ ever for avocado growers

With avocados back on the menu, New Zealand growers are gearing up for their best season ever.

That’s according to John Carroll, director of the country’s largest exporter Avoco, who says his firm expects to ship off about 3.2 million trays of the fruit in the coming months.

In total, 5.1 million trays, about 28,000 tonnes, are predicted to depart our shores, mainly bound for Australia and Asia. . . 

Forest industry’s challenge to manage supply fluctuations:

The pan forest and timber processing industry organisation, the New Zealand Wood Council (Woodco) says there is a supply challenge for many regions in the domestic processing industry.

Woodco Chair, Brian Stanley says timber processors are being hindered by a current lack of logs, especially in the higher grades.

He says small scale woodlot owners are being enticed into quick export contracts instead, where the buyers are not providing the domestic processors with an opportunity to purchase these logs. . . 

Deputy PM Bill English visits Blue River dairy factory – Dave Nicoll:

It was a bit surreal for Deputy Prime Minister Bill English to see award winning cheeses named after places his mother grew up.

English made a special visit to the Blue River Dairy factory in Invercargill on Friday as part of a trip to the Southland region.

Blue River Dairy produced a number of award winning cheeses, and milk powder from sheep milk and has expanded into exporting sheep milk baby formula into China. . . 

Fonterra Announces New Palm Products Sourcing Standard:

Fonterra has adopted a new standard for sourcing of palm products as part of its commitment to sustainability.

The standard was developed in consultation with key supply partners, and it follows discussions with Greenpeace that began in December 2015 to strengthen Fonterra’s existing sustainable palm products sourcing procedures.

“The new standard requires us to purchase only segregated supply palm oil by 2018, and to work with suppliers of palm products to ensure that plans are in place for full traceability to plantation by 2018,” said Fonterra’s Director of Social Responsibility, Carolyn Mortland. . . 

Action to help farming productivity in Manawatu-Whanganui:

Primary Industries Minister Nathan Guy says $465,000 towards primary sector initiatives in the ‘Accelerate 25 Manawatū-Whanganui Economic Action Plan’ launched today will make a real difference to the region.

“Manawatū-Whanganui has the largest sheep flock and beef herds of any region in the country, and half of New Zealand’s lamb exports come from within two hours’ drive of Feilding. We need farming to do well to drive economic prosperity here,” says Mr Guy.

Speaking at Ross and Wendy Humphrey’s farm in Cheltenham, Mr Guy says much of the funding will be used for information sharing to lift productivity.   . . 

Report shows good results from flood recovery money:

A report on Government assistance to farmers following the June 2015 Taranaki-Horizons storm shows that good results were achieved, says Primary Industries Minister Nathan Guy.

“These storms had a major impact on the region and caused widespread damage, so it’s pleasing to see that Government funding has made a real difference,” says Mr Guy.

“The storm on 18-20 June 2015 brought widespread heavy rainfall, flooding and erosion to the Taranaki and Horizons regions. Hill sheep and beef farmers were particularly affected by flooding of river margins and damage to tracks and fences, with damage also to dairy land and young forest plantations.” . . 

Wools of New Zealand well set for end of grower-funding

Wools of New Zealand (WNZ) Chairman Mark Shadbolt says the company is making strong commercial progress with an expected maiden profit for the 2016 financial year.

Shadbolt was responding to a recent shareholder comment in a local rural newspaper that the company would “almost certainly fail” without income from farmers’ Wool Market Development Commitment (WMDC).

“To the contrary, WNZ is making investments that are reducing the company’s reliance on the WMDC.” . .

Commission releases draft report on Fonterra’s 2015/16 base milk price calculation:

The Commerce Commission today released its draft report on Fonterra’s base milk price calculation for the 2015/16 dairy season. The base milk price is the price Fonterra pays to farmers for raw milk and it is currently set by Fonterra at $3.90 per kilogram of milk solids for the 2015/16 season just ended. The report does not cover the forecast 2016/17 price of $4.25 that Fonterra recently announced.

The Commission is required to review Fonterra’s calculation each year at the end of the dairy season under the milk price monitoring regime in the Dairy Industry Restructuring Act (DIRA).

Deputy Chair Sue Begg said Fonterra’s calculation of the 2015/16 base milk price is consistent with both the efficiency and contestability purposes of DIRA. . . 


Rural round-up

August 12, 2016

Kiwi world leader in precision farming – Nigel Malthus:

Mid-Canterbury farmer and businessman Craige Mackenzie was recently named the international Precision Farmer of the Year for 2016.

He is travelling to St Louis, Missouri, in early August to receive the award from the US-based PrecisionAg Institute. Nigel Malthus caught up with him before he left.

The award recognises “outstanding people, programmes and organisations making a difference in the precision ag industry”. It is a high honour for a man who was first invited to present a paper at an international conference in 2008 – but who did not then consider himself a precision farmer. . . 

$34-$35 Million FY16 reported earnings forecast for Synlait:

Synlait Milk’s reported net profit after tax (NPAT) for FY16 is forecast to be in the range of $34 – $35 million.

Underlying NPAT for FY16 is forecast to be in the range of $32 – $33 million.

Earnings guidance for the financial year ending 31 July 2016 (FY16) has been provided to clarify market expectations around FY16 performance.

“Our IPO growth projects added the capability and capacity to execute our strategy of making more from milk,” said Graeme Milne, Chairman. . . 

Collaborative group to improve nature protection:

A new collaborative group involving environmental and landowner organisations has come together to improve national policy on protecting nature on private land, Environment Minister Nick Smith announced today at the Environmental Defence Society’s ‘Wild Places’ conference in Auckland.

“New Zealand is globally recognised as a hotspot environmentally for the loss of unique species. One of the most challenging issues for councils and communities is improving the protection of our native species on private land while respecting the reasonable rights of owners to use their land for farming, forestry and other economic activities. This initiative is about bringing environmental groups and landowners together to develop clearer national policy on protecting the plants and animals that make New Zealand special.” . . 

Feds welcome biodiversity forum:

Federated Farmers welcomes the new national biodiversity forum announced by Minister Nick Smith at the Environmental Defence Society conference today.

Federated Farmers spokesperson for biodiversity Chris Allen says we now have the opportunity to come to a common understanding of the pressures and priorities for biodiversity, on land and in water.

“From here we chart a way forward. Part of this will be agreeing on a national policy statement. . . 

Threatened wildlife the winner if National Policy Statement on Biodiversity succeeds:

Forest & Bird is cautiously optimistic that the development of a National Policy Statement on Indigenous Biodiversity will help New Zealand’s struggling native wildlife, and streamline the process of protecting the environment.

Minister for the Environment Nick Smith announced today that core stakeholders have been invited to meet over the next 18 months and collaboratively work on a National Policy Statement for Indigenous Biodiversity.

A National Policy Statement (NPS) is a statutory document that guides and directs the contents of regional and district plans. All regional and district plans must give effect to the policy. . . 

Entries open for the 2016 Rural Women New Zealand Journalism Award:

Rural Women New Zealand is offering the Journalism Award in a partnership with the New Zealand Guild of Agricultural Journalists and Communicators.

The Award recognises the important contribution women make in the rural community, either through their role in the farming sector or to the general rural environment.

The Award encourages journalists to report on the achievements of women living and working in rural communities. The award recipient will demonstrate excellent understanding of issues and effectively communicate women’s responses to farming, family and business challenges, in a way which inspires and informs the audience. . . 

Changes to kiwifruit regulations:

The Government is updating kiwifruit regulations to ensure the industry is best structured for future growth, says Primary Industries Minister Nathan Guy.

“New amendments to the Kiwifruit Export Regulations will allow Zespri shareholders to consider setting rules around maximum shareholding and eligibility for dividend payments. 

“This will give Zespri more options for managing its shareholding available to any other company operating under the Companies Act, and will ensure that the interests of all shareholders are recognised in any decision affecting them. . . 

Zespri welcomes changes to Kiwifruit Export Regulations:

Zespri welcomes the Government’s announcement that Cabinet has approved amendments to the Kiwifruit Export Regulations.

Zespri Chairman Peter McBride explains these regulatory changes represent the first major review of the regulations since they were put in place 17 years ago.

“The Kiwifruit Regulations have served the industry very well and extensive industry consultation showed more than 97 percent of growers support the industry structure, with minor changes identified to position the industry for the strong growth ahead. . . 

NZKGI welcomes amendments to Kiwifruit Export Regulations:

New Zealand Kiwifruit Growers Inc. (NZKGI) welcomes today’s announcement by the Government to approve amendments to the Kiwifruit Export Regulations.

These changes will ensure a regulatory structure that supports the sustainable, long-term growth of the New Zealand kiwifruit industry into the future.

The announcement today reflects considerable effort and investment by growers into ensuring the industry has the foundations to sustain its future in good and adverse times. . . 

Pahiatua Farmers Enjoy Participating In Ballance Farm Environment Awards:

Wairarapa sheep and beef farmers Tim and Nicola Hewitt are proud of the environmental work on their family’s 724ha (640ha effective) property south of Pahiatua. While they were initially reluctant to enter the Horizons Ballance Farm Environment Awards, they are glad they finally gave it a go.

“We didn’t want to be seen as blowing our own trumpet,” says Tim.

“But ultimately I think farmers have a responsibility to our industry to show that we are trying to do a good job when it comes to the environment.” . . 

New agri-food research centre in Palmerston North:

Science and Innovation Minister Steven Joyce has today announced that AgResearch and Massey University will jointly build New Zealand’s largest agri-food research centre in the Food HQ Precinct on the Massey University campus in Palmerston North.

As part of AgResearch’s Future Footprint Programme, AgResearch and Massey University are investing $39 million in the Food Science Research Centre and the design for the new buildings is well underway.

“The research conducted at the Centre will span the agriculture sector from farm to consumer, with a focus on dairy and red meat research,” Mr Joyce says. . . 

Association backs ‘thorough’ maunka honey verification – Alexa Cook:

The Unique Manuka Factor Honey Association says it can now classify what is genuine manuka honey, which it believes is a world first.

John Rawcliffe, from UMF Honey Association, said clarification around what constituted genuine manuka honey would help protect the brand and identify legitimate honey.

“Everyone who puts the word ‘manuka’ on a bottle is required to ensure that it is, so from any export honey the requirement is to show that you are labelling correctly that it is manuka.

“There have been question marks on how to go about it, and today under the UMF quality mark at least we can say ‘this is manuka’.” . . 

Rodent eradication lies in directed vitamin dose:

Rats die of a heart attack within 48 hours of being sprayed with a new chemical formulation invented by a New Zealand – United Kingdom joint venture.

The formula includes Cholecalciferol, better known as vitamin D3 and used as a health supplement in humans.

But Peter Signal, a director of New Zealand company Advanced Animal Technologies (AAT), says it’s the combination of the chemical formula with a specially designed delivery system, called PiedPiper, that has been shown to deliver outstanding results in trials in the UK, Europe and Kenya. . . 

 


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