Rural round-up

15/06/2020

South Island winter tomato growers hit by carbon charges – Tracy Neal:

Parts of New Zealand might soon struggle to find tomatoes in winter.

Much of the South Island’s supply is grown in glasshouses heated by coal-fired burners, while gas-fired burners, diesel units or geothermal power is used mainly by North Island growers.

Some South Island growers said they faced oblivion through record high carbon charges – the government’s main tool for reducing greenhouse gas emissions . .

Fonterra to pay some vendors within 10 working days to help with Covid-19 recovery – Stephanie Ockhuysen:

Fonterra is going to start paying the invoices for 3000 small and medium-sized vendors faster to help with their Covid-19 recovery.

From July 1, 2020, Fonterra will aim to ensure businesses are paid within 10 working days from the receipt of invoice.

Currently, the dairy giant’s payment terms for SMEs is the 20th of the month following the invoice date.

In the past, Fonterra has caused controversy around its payment terms, which once saw it wait up to 90 days to pay invoices from its thousands of trade suppliers. But in August 2018 it changed to the 20th of the month policy. . .

Catch crops after winter forage grazing a win-win for farmers, environment:

Hardy catch crops such as oats are showing major promise for mopping up excess nitrogen after winter grazing and could create a win-win for farmers in terms of their environmental footprint and profitability.

Dr Peter Carey, a Lincoln Agritech Field Researcher, is leading a three-year Ministry for Primary Industries (MPI) Sustainable Farming Fund (SFF) research programme, in conjunction with Plant and Food Research, to apply the use of catch crops more widely in winter forage rotations.

Dr Carey, who completed a PhD at Lincoln University on the use of catch crops, found that they can reduce nitrate leaching by as much as 40%. This study looks to extend his research and apply it directly to commercial farms in Canterbury and Southland. The project aims to adapt their use to the different soils and climatic conditions of each region. . . 

Use wood to achieve zero carbon construction:

As the spotlight falls on Forestry, as one of New Zealand’s biggest industries to help revive the economy post lockdown, the New Zealand Forest Sector Forum is asking the question – why isn’t NZ using more locally-sourced wood, and getting behind its zero-carbon construction properties?

We’ve got to use more wood in NZ, reversing the reliance on concrete and steel in our construction. Only by doing this will we mitigate the effects of climate change, increase the use of a naturally renewable resource and strengthen regional economies.

Not only is wood locally produced, supporting approximately 30,000 jobs, but wood is the best choice for the environment. For every tonne of wood material used in construction, it is estimated that 5.7 tonnes of carbon dioxide are saved from release into the atmosphere, and wood requires less energy to produce than any other building material. Basically, trees eat carbon out of the atmosphere and lock it up in wood. The more wood you use, the more carbon is removed from the atmosphere. . . 

Silver Fern Farms searches for food heroes as Plate to Pasture Youth Scholarships 2020 launch:

Silver Fern Farms welcomes applications for the Plate to Pasture Youth Scholarships for 2020.

Silver Fern Farms Chief Executive Simon Limmer says the scholarship programme reiterates the commitment Silver Fern Farms has to developing young people and their careers.

“During this time of disruption, we have seen that our industry needs food heroes to ensure the continued success of the red meat industry. The Plate to Pasture Youth Scholarship programme gives us the chance to hear directly from the creative young people who want to make a contribution to sustainable food production.” . . 

Organic Products Bill must settle on a definition of organics:

New Zealand’s longest-running association devoted to organics is calling on the government to amend it’s landmark Organic Products Bill to include a definition of organics.

Speaking to the Primary Production Select Committee today, Soil & Health Association Deputy Chair Jenny Lux said the lack of a definition risked undermining the whole enterprise.

“Organic production isn’t currently defined in the Bill despite there being a clear international definition that our trading partners know and will understand. . . 


Rural round-up

31/05/2020

Town-country split needs fixing –  Rob Hewett:

March 2020 in New Zealand saw a seismic change in the economic landscape.

Covid 19 here, there and everywhere. For some, the change is likely permanent. Who’d want to have shares in an airline?

Meanwhile in agriculture, the issues of environment, sustainability, emissions, to name a few, have not evaporated. Instead, they are likely to be more important than ever.

Covid-19-disrupted food supply chains made people think carefully about where their food was coming from, probably for the first time in their lives. . . 

Poll finds a growing public appreciation of NZ’s primary exports – and new trade stats underscore their importance – Point of Order:

NZ’s  primary  exports  held  up  well  in   April, again proving  the  country’s  farming  industries are  sustaining  the  economy   despite many  sectors being stricken by the  Covid-19  pandemic.

Almost   coincidentally,  a  UMR  probe  of    public  opinion about farming revealed a sharp swing  in  perception.

Instead  of  the  negativity   that had been  undermining  morale – particularly in  the  dairy industry,  triggered  by  anti-farming  lobby groups which conjured  up the slogan “dirty dairying”  to turn urban opinion against the  industry – the  UMR polling  showed  attitudes have tilted deeper into positive  territory. . . 

Synlait drops forecast milk pirce to farmers as dairy prices fall :

Synlait has dropped its forecast milk price for the season about to end and is predicting of a lower opening price for next season.

The dairy company is forecasting $7.05 per kilo of milk solids, down from $7.25.

This is slightly below Fonterra’s recent forecast of $7.10 to $7.30.

Synlait’s opening forecast for the 2020/21 season has been set at $6.00, which is in the middle-range of Fonterra’s forecast of $5.40 to $6.90.

In the 2018/19 season the company paid $6.40 kgMS to its 280 farmer suppliers. . .

 

Sanford interim results – diversity providing resilience for New Zealand’s largest seafood company:

Sanford Limited (NZX: SAN) has reported statutory net profit after tax (NPAT) for the first half of its 2020 financial year of $19.0 million, 17% behind last year’s result of $22.9 million for the same period. Adjusted (underlying) Earnings Before Interest and Tax (EBIT) of $23.2 million for the six months to 31 March, 2020. This represents a 29% decrease on adjusted EBIT from the same period last year ($32.6 million) or a 16% decrease on a comparable basis, when excluding the pelagic business which Sanford sold in March 2019. Total revenue was $245.5 million, a 7% decrease on the same period in 2019 ($265.0 million).

Sanford is New Zealand’s largest and oldest seafood company and has a diverse range of interests across fishing and aquaculture. In recent years, it has made a strategic shift into higher value products such as Greenshell mussel powders and high end branded salmon. . . 

The meat industry is trying to get back to normal. But workers are still getting sick — and shortages may get worse – Taylor Telford:

Tyson Foods, the largest meat processor in the United States, has transformed its facilities across the country since legions of its workers started getting sick from the novel coronavirus. It has set up on-site medical clinics, screened employees for fevers at the beginning of their shifts, required the use of face coverings, installed plastic dividers between stations and taken a host of other steps to slow the spread.

Despite those efforts, the number of Tyson employees with the coronavirus has exploded from less than 1,600 a month ago to more than 7,000 today, according to a Washington Post analysis of news reports and public records.

What has happened at Tyson — and in the meat industry overall — shows how difficult it is to get the nation back to normal, even in essential fields such as food processing. .

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Buy local buy NZ wood:

With the current post-lockdown focus to ‘buy local’, the NZ Forest Sector Forum is posing the question – why isn’t New Zealand consuming more New Zealand wood and wood products?

According to MPI, approximately two-thirds of New Zealand wood is exported. Almost $6.93 billion was exported from NZ in 2018-19. On the flipside, New Zealand imported over $1.5 billion worth of wood products in 2019. So why are we importing a huge amount of wood products when we grow so much ourselves?

Wood products cover products that come from the woody part of the tree, and can be anything from logs to wood chips, sawn timber and railway sleepers to wood pulp. Uses for wood and wood products are constantly being reinvented, from multi-story construction to soft and absorbent toilet paper. . . 


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