Rural round-up

September 6, 2018

Daunting report puts trees first – RIchard Rennie:

A landscape full of daunting challenges for the primary sector as New Zealand transitions to a zero carbon economy has been painted in a Productivity Commission report of Biblical proportions.

While by no means confined to agriculture the Low Emissions Economy report studying steps to zero carbon by 2050 puts agriculture at the sharp end of main policy shifts its authors cover.

It calls for major land use change to increase forestry and horticulture.  . .

Kiwi agri women lead the way – Annette Scott;

New Zealand is leading the way when it comes to including women in agricultural businesses, Agri Women’s Development Trust executive director Lindy Nelson says.

Speaking on behalf of the Ministry for Primary Industries and Ministry for Business, Innovation and Employment as the sole NZ representative at the Asia-Pacific Economic Conference (Apec) 2018 in Papua New Guinea, Nelson was inspired by what she had to offer.

She was presenting as part of the agriculture and fisheries dialogue that had member economies addressing the importance of including women in the agribusiness value chain.

The focus of discussions was exploring practical ways of doing that. . . 

Fonterra split must be debated – Hugh Stringleman:

Further evolution of Fonterra’s capital structure needs discussion by farmer-shareholders, 2018 Kellogg scholar and dairy farmer James Courtman says.

Shareholders first need to settle on the direction of travel and whether the co-operative should be a strong player in the fast-moving consumer goods (FMCG) market.

“Or are our values and risk appetite more aligned to producing high-value base products to sell to multinationals who already have strong consumer brands,” Courtman wrote in his Kellogg report.

“Neither option is right or wrong but doing one option poorly due to a lack of capital or misaligned strategy is not a good option for the business.” . . 

Apple and stonefruit industry members disappointed with revised MPI directions:

With one minute before the 5:00pm deadline set by the High Court, MPI has issued revised directions to the affected apple and stonefruit industry members, under s122 of the Biosecurity Act.

The directions appear to be as wide as the previous order, referring to the tens of thousands of apple (Malus) and stonefruit (Prunus) plants previously seized by MPI under s116 of the Biosecurity Act, which was deemed unlawful following a High Court judicial review. . .

Zespri forecasts jump in annual profit as it seeks to maintain value in ‘challenging’ market – Tina Morrison:

(BusinessDesk) – Zespri Group, the country’s kiwifruit export marketing body, expects profit to surge higher in the coming year as it grows volumes and seeks to maintain values in “challenging” markets with higher volumes of low-priced fruit.

The Mount Maunganui-based company reaffirmed its forecast for net profit of between $175 million and $180 million in the year ending March 31, 2019, up from $101.8 million last financial year. It expects to pay a dividend per share of $1.35-to-$1.40, up from 76 cents per share last season. . .

Genetic solutions to pest control – Neil Gemmell:

New Zealand stunned the world in 2016 announcing a goal to eradicate mammalian predators by 2050. The key targets are possums, rats and stoats; species that cause enormous damage to our flora and fauna and in some cases are an economic burden to our productive sectors.

As all of these species were introduced to New Zealand from elsewhere there is little sympathy nationally for any of them and their control and eradication has been a key component of conservation and animal health management in this country for decades. Thanks to the work of many we can control and even eradicate many of these species at increasingly large scales. The success of these programs has seen a variety of ‘pest-free’ offshore sanctuaries formed, such as Kapiti Island and the Orokonui mainland sanctuary where many native species, including kiwi, kōkako, and kākā now have a realistic chance for population persistence and recovery. . .

MPI joins forces with forest industry on biosecurity readiness:

The Ministry for Primary Industries and the New Zealand Forest Owners Association (FOA) are joining forces under the GIA (Government Industry Agreement) to improve forest biosecurity preparedness.

The first jointly-funded initiative under this partnership will be a forest biosecurity surveillance programme designed to detect unwanted forest pests and pathogens in high-risk places.

FOA and MPI recently signed the Commercial Plantation Forestry Sector Operational Agreement for Readiness under the GIA. This agreement establishes a new way of working in partnership between the two organisations and will see a doubling of efforts to improve forest biosecurity readiness, says Andrew Spelman, MPI’s Acting Director, Biosecurity Readiness. . .

EPA: Views sought on new fungicide to protect arable crops:

The EPA is calling for submissions on an application by Bayer New Zealand Limited to approve a fungicide called Vimoy Iblon for use in New Zealand to protect cereal crops.

The fungicide’s active ingredient isoflucypram, has not yet been approved in any country.

Bayer is intending to market its use to control scald, net blotch, Ramularia leaf spot in barley, leaf rust in barley and wheat, stripe rust in wheat and triticale, and speckled leaf blotch in wheat. . .


Rural round-up

October 5, 2017

2018 Zanda McDonald Award shortlist announced:

A record number of applicants have been narrowed down to a shortlist of seven for the prestigious agribusiness badge of honour, the Zanda McDonald Award.

The trans-Tasman award, now in its fourth year, recognises agriculture’s most innovative young professionals. The four New Zealand and three Australian finalists for the 2018 award were selected for their strong leadership skills, passion for agriculture, and their vision and inspiration for the primary industry.

The Kiwi finalists are Thomas MacDonald, 24, Business Manager of Spring Sheep Milk Company in Waikato and Sir Don Llewellyn scholar, Lisa Kendall, 25, owner/operator of Nuture Farming Ltd and vice-chair of the Franklin Young Farmers Club, Ashley Waterworth 34, who manages and co-owns the family sheep and beef farm in Waikato, and Hamish Clarke, 27, third generation farm manager in the Northern King Country. . . 

Alliance calls fro more merinos and hoggets – Jemma Brakebush:

The country’s biggest sheep meat processor Alliance is calling for more merino farmer suppliers for its Silere brand, as Asian demand for the meat grows.

Alliance took over the brand Silere from New Zealand Merino and Silver Fern Farms last year, when it wanted to expand its portfolio of premium products.

Silere Merino’s season is very short and more lambs are needed to meet the strong demand, Alliance marketing manager for premium products Wayne Cameron said.

Processing here started at the end of September and goes through until Christmas, which is winter in Asia and when consumers prefer to eat lamb. . . 

Life on Muzzle Station – the most remote farm in NZ – Pat Deavoll:

On a bend in the Clarence River, tucked between the Inland and Seaward Kaikoura ranges under the distant towers of Mt Tapuaenuku is New Zealand’s most remote high country station.

Muzzle Station is only accessible by 40 kilometres of rugged, muddy 4WD track that connects it to the Inland Kaikoura road. The track crosses the Clarence and a 1300 metre pass on the Seaward Range.

Deep snow makes it impassible in winter. It takes about three hours to get from Muzzle to Kaikoura and that’s on a good day when the river is fordable and the pass ice-free. . .

Foreign investment crucial for forestry industry – Jemma Brakebush:

Foreign investment in forestry is crucial and New Zealand could never afford to buy back all the forests it has sold, the Forest Owners Association says.

New Zealand First leader Winston Peters said the future of forestry and timber supplies for local mills is one of his party’s priorities as it heads into coalition talks.

He wanted the next government to protect wood supply to domestic mills by creating a Forest Service, and had previously stuck-up for Northland wood processors who said they were being squeezed out of the market by foreign forest owners and buyers.

Commercial forestry is a much bigger industry than most people think, with $25 billion to $30bn invested in plantations, the association’s president Peter Clark said. . . 

Pipfruit industry alarmed at new port fees – Alexa Cook:

The Hawkes Bay apple industry is negotiating with Napier’s port over two proposed levies the sector says could cost it millions of dollars.

The first levy is to cover an extra $2 million in insurance premiums, which have risen because of quake damage in Lyttelton and Wellington.

The second is aimed at the pipfruit sector during peak season. The port is proposing a fee of $100 per 20,000-foot refrigerated container, starting in February. . . 

Lasers from above to zap weeds causing billion-dollar headache:

Drone-mounted lasers could be used to zap weeds that are posing a billion-dollar problem for New Zealand agriculture, AgResearch scientists say.

AgResearch – with partners the Universities of Auckland and Michigan and NZ-based technology firm Redfern Solutions Limited – has been awarded just under $1 million from the Ministry of Business Innovation and Employment’s Endeavour Fund to look into how to “map and zap” the many weeds plaguing productive land.

A recent study led by AgResearch concluded from available research that the known costs of weeds to New Zealand agriculture was at least $1.685 billion a year, but that the true cost from all weeds was likely to be much higher. Environmentally friendly tools are being urgently sought for the early control of these weeds. . . 

Last chance for free DDT Muster:

Farmers are being urged to check sheds and chemical stores for DDT or other banned pesticides as The Great DDT Muster does a final sweep of the country.

Funding for this free collection and disposal service for persistent organic pesticides (POPs) is coming to an end but the company responsible for the service, 3R Group Ltd, believes there is still more out there. 

3R’s ChemCollect manager, Jason Richards, says they’ve been running rural chemical collections for a number of years but knew that farmers weren’t having DDT and other POPs picked up simply because it was too expensive. . . 

 


Rural round-up

March 21, 2017

Stock should be allowed on rural roads, say farmers – Mike Watson:

Rural roads are designed to move stock, say farmers in Marlborough threatening to ignore a proposed traffic bylaw.

The proposal would require farmers to get permission, and pay a fee, to move stock along any district road.

Any farmer refusing to get permission could be fined up to $20,000. . .

New Zealand calf feeder innovation sold in 18 countries within year of winning Fieldays competition :

A calf feeder now selling in 18 countries is yet another farming invention spawned from a NZ Agricultural Fieldays competition that has become a commercial success.

Less than a year after winning a major category in the Fieldays Innovation Awards, Cambridge couple Ursula and Mark Haywood have commercialised their TrustiTuber and FlexiTuber feeders in countries including the United Kingdom, Europe, the United States, Canada and Japan.

Ursula Haywood said their company, Antahi Innovations Ltd, had gone from strength to strength after the launch of its “kinder” calf feeders at last year’s awards at Mystery Creek near Hamilton. . .

NZ log prices hit new record highs on buoyant demand – Tina Morrison:

(BusinessDesk) – Buoyant New Zealand activity has pushed up local log prices to new record highs.

The average price for roundwood logs used in the horticulture sector rose to $92 a tonne in March, up $2 from February’s average price and at the highest level since AgriHQ began collecting the data in early 2002, according to AgriHQ’s monthly survey of exporters, forest owners and saw millers. Structural log prices also increased, with S3 logs hitting $114 a tonne, the highest since AgriHQ began collecting the data in early 1995, while S1 logs rose to $122 a tonne, the highest since mid-1994. . . .

Brazilian beef and poultry industry plunged into major scandal – Jim Breen:

Authorities in Brazil have suspended over 30 government officials in response to allegations that some of the country’s biggest meat processors have been “selling rotten beef and poultry for years”, according to the reports from the BBC this morning.

The BBC has said that “three meat processing plants have been closed and another 21 are under scrutiny”. While some of the meat produced by the factories is consumed domestically, much of it is exported here to Europe. Brazil is currently the world’s largest exporter of red meat. . . 

Forest Owners urge farmers to plant more trees:

Forest Owners say the new Federated Farmers’ policy on climate change is a major step to help farmers understand trees are not an alternative to farming, but rather trees are tools to assist farming’s survivability.

Federated Farmers has announced a new policy accepting the reality of human-induced climate change, after years of policy uncertainty from the farmer organisation on the issue.

New Zealand Forest Owners Association Chairman Peter Clark describes Federated Farmers’ policy stance on the use of trees as ‘absolutely correct and potentially far reaching’.


Rural round-up

March 17, 2016

It’s cyclic – ‘We will survive’  – Dirk Sieling:

Dairy economist Peter Fraser cannot go unchallenged. The anti-Fonterra and dairying bias he showed during his time at the Ministry for Primary Industries continues unabated.

His simple tactic of building a case on an unsubstantiated or false premise is typical of the misguided notions that often end up in the public domain.

In his March 7 article, he quotes data from the Reserve Bank showing that dairy farmers are borrowing about $3.5 billion per year “just to stay afloat”. This is just a nonsense.

Dairy farmers may well be borrowing that amount on average over time, but it is more often than not to buy another farm, build a new cowshed or convert drystock land to dairying.

But on the premise that it is “just to stay afloat”, he builds a scenario of lots of farmers going broke and collapsing land prices, all in a downward spiral. . . 

From a farming MP to her province – Barbara Kuriger:

The dairy industry is once again headlining news this week. I acknowledge this is a tough time for farmers. You and I as farmers know that the dairy pay-out is volatile; it rises and it dips and as a result of this, it has evolved as one of the most financially enduring industries in the agricultural sector. Falling dairy prices means it may be a tight year for many, and budgets are being adapted to counter this.

There has been much emotive talk by opposition about how our Government is ‘failing the dairy industry’, because they can’t actively step into this situation and raise the dairy pay out back to $8 kilogram MS. But the Government does have in progress three incredibly gutsy pieces of legislation that will assist the dairy industry, for which the benefits to dairy are widely unreported.  . . 

Dairy farmers forget past lessons – Mark Lister:

Milk is a cyclical commodity, and prices have been low before.

he long-term outlook for the dairy sector is strong, but the immediate future is highly concerning. Global prices are down 12 per cent this year and about a third lower than a year ago.

Against that backdrop, it was unsurprising to see Fonterra reduce its milk payout forecast to $3.90 per kg of milksolids this week. Adding in the dividend from Fonterra, the total payout will be about $4.25.

This is the lowest payout since 2006/07, and with a break-even price of about $5.30, the majority of farmers will suffer a second year of operating losses. . . 

Controlling dairy farm cost of production – Keith Woodford:

The key dairy priority at the moment, which stands above all else, is to minimise the number of New Zealand dairy farmers who will succumb to the current downturn. In particular, we all need to try and limit the damage to the latest generation of younger farmers who are often the most indebted.

It is all about getting the cost of production under control.

I have previously written about survival strategies and the need for each farm and farmer to chart his or her own path. I have also tried to caution against panicking and making big system changes when in a crisis. More particularly, I have tried to emphasise that hungry cows always kick their owners in the back pocket. Also, I regularly try and remind people that cost of production has both a numerator (which is cost) and a denominator (which is production). . . 

Irrigation funding boost for Wairarapa, Hawke’s Bay and Gisborne:

Primary Industries Minister Nathan Guy has welcomed three new investments totalling $1.6 million into irrigation projects coming from the Ministry for Primary Industries’ Irrigation Acceleration Fund (IAF).

The three irrigation projects receiving funding are in the Wairarapa ($804,000), Hawke’s Bay ($575,000), and Gisborne ($250,000).

“This funding helps support the development of irrigation proposals to the stage where they are investment ready,” says Mr Guy.  . . 

Funding for irrigation unlocks potential:

Irrigation New Zealand applauds the latest announcement by Government sighting three more grants by the Irrigation Acceleration Fund – $804,000 for the Wairarapa Water Use Project, $575,000 for Ruataniwha (Hawke’s Bay) and $250,000 for Gisborne’s Managed Aquifer Recharge Trial.

“It’s great to see the Irrigation Acceleration Fund delivering on what it was set up to do – supporting the potential for irrigated agriculture to contribute to New Zealand’s sustainable economic growth,” says Irrigation New Zealand chairwoman Nicky Hyslop. . . .

Research to set NZ sheep milk apart:

New Zealand’s sheep milk industry is set to benefit from ground-breaking research by AgResearch.

Two hundred people are attending the second Sheep Milk NZ industry conference, being held in Palmerston North this week (14th-15th March). The first conference last year attracted 160 people, with the rise reflecting the increased interest in the industry.

AgResearch scientists presented the initial results from two years of research from the $6 million MBIE-funded programme “Boosting exports of the emerging dairy sheep industry”, ranging from composition of New Zealand sheep milk through to best practice effluent management. . . 

Industry looks beyond radiata:

Future generations of New Zealanders may live in a patchwork landscape where several different forest species compete on the hills for growing space with the familiar Pinus radiata.

“Radiata is a great multi-purpose tree that grows well in many places. But it is not perfect for all growing situations or market needs. And there are obvious risks in having all our eggs in one species basket,” says Forest Owners Association research and development manager Russell Dale.

“We are therefore thrilled as an industry that the government is joining us in the Specialty Woods Products Research Partnership. This is a major programme that will investigate new products and markets for alternative species and build the confidence of forest growers in planting those species that show promise.” . . 

Fonterra’s Anmum Formula Hits Nz Shelves:

Fonterra’s internationally established infant nutrition brand Anmum is now available to New Zealand families.

Fonterra Brands New Zealand Managing Director Leon Clement says Anmum is a $200 million brand in Fonterra’s Asian markets with an established track record of quality and trust with parents.

“Anmum draws on Fonterra and its legacy companies’ 50 plus years of experience in dairy research and in producing paediatric formulas for third parties. Bringing Anmum to New Zealand families means we are now providing nutrition for key life stages,” he says. . . 

Growth Attracts 28 New Canterbury Milk Suppliers:

Synlait now has 201 milk suppliers for 2016 / 2017 to meet forecast growth in their value-added nutritional product business.

John Penno, Managing Director and CEO, said a combination of increased customer demand for nutritional products – such as a2 Platimum® Infant Formula – and increased production capacity with a new large scale spray dryer has created an opportunity for Canterbury dairy farmers to supply Synlait.

“We’ve had a very positive response to this opportunity, to the extent we have not been able to accept supply from everyone interested and we now have a waiting list,” said Mr Penno. . . 


Rural round-up

November 6, 2015

Lochinver Station sells to New Zealand buyer:

One of New Zealand’s largest farms, Lochinver Station in the central North Island, will remain in New Zealand ownership following its sale for an undisclosed sum to privately owned New Zealand farming group Rimanui Farms Ltd.

It will take over the ownership of the 13,843 hectare sheep and beef station, upon settlement of the sale in March next year, from one of New Zealand’s largest private companies, Stevenson Group Limited, which has owned it for more than half a century.

Bayleys Real Estate recommenced marketing the property last month after the Government announced it had turned down an Overseas Investment Office application from Chinese company Shanghai Pengxin’s subsidiary Pure 100 to buy the property. . . 

IrrigationNZ calls for 350,000ha more land to be irrigated – Sophie Boot:

(BusinessDesk) – IrrigationNZ is calling for a dramatic escalation in irrigation, saying New Zealand could bring water to an additional 350,000 hectares by 2025, boosting agricultural production and providing a buffer against weather events such as El Nino-induced drought.

The lobby group wants a 50 percent increase in irrigated land in the next 10 years, according to its industry snapshot released today. New Zealand currently has about 720,000 hectares of irrigated land, and IrrigationNZ has produced a map showing where irrigation could be expanded, pushing total watered land to more than 1 million hectares.

Chief executive Andrew Curtis said New Zealand’s primary production growth is being hampered by a lack of a reliable water supply, which ultimately holds back economic growth. . . 

No jobs?  move to the regions, urges govt:

Unemployed people are being urged to look to the regions for work by the government, after the unemployment rate broke the 6 percent mark yesterday.

The rate is now at its highest point in two years and economists have predicted that it is likely to rise further.

Listen to more on Morning Report ( 4 min 32 sec )

But Steven Joyce, Minister of Tertiary Education, Skills and Employment told Morning Report it was a “multi-regional story”, with lot of shifts around the country.

He said that in some regions such as Otago and Northland, there were shortages of people applying for jobs, and unemployed people should consider moving if they could. . . 

Forestry joins GIA biosecurity agreement:

The forestry industry has become the sixth industry group to join the Government Industry Agreement (GIA) biosecurity partnership, Primary Industries Ministers Nathan Guy and Jo Goodhew have announced today.

“It’s great to have the New Zealand Forest Owners Association (FOA) onboard, working with the Ministry for Primary Industries to manage and respond to the most important biosecurity risks,” says Mr Guy.

“A growing number of industries have now signed up to work together with the Government through the GIA.” . . 

Forest defence bolstered by agreement with government:

The Forest Owners Association says having a biosecurity agreement with the government is a vital part of the forest industry’s defence system.

FOA chief executive David Rhodes and primary industries minister Nathan Guy today signed what is known as a Government-Industry Agreement at Parliament. The agreement defines where responsibilities and costs will fall in the event of an outbreak of a serious forest pest or disease.

“For 50 years we have had a forest health surveillance scheme that is seen by overseas experts as one of the best in the world. But being ‘best’ is not good enough, we need it to be as near to perfect as we can make it,” says Mr Rhodes. . . 

FMG's photo.


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