Rural round-up

October 17, 2017

New version of capitalism coming, rural-urban bridges have to mend: Bagrie – Gerald Piddock:

New Zealand’s economy is in a transition of old economic drivers stepping aside for a new “social-justice” version of capitalism.

The three big engines that had driven the economy – migration, construction and tourism – had peaked and would make way for a new version of capitalism, ANZ chief economist Cameron Bagrie said.

That form of capitalism would feature a higher level of government spending following tight controls in the National-led government, he told farmers and agri-business people at the launch of the 2017 Fieldays Economic Impact Report at Mystery Creek on Thursday. . .

Milking sustainably more than compliance:

With the growing focus on regulation in New Zealand, you could be forgiven for thinking that milking sustainably is all about meeting limits.

But limits are just part of the equation and truly sustainable businesses are striking a balance to get the best out of their farms, their people and the environment. Here, a group of farmers share their experiences of developing a Sustainable Milk Plan (SMP) with DairyNZ.

SMPs were first developed by DairyNZ about five years ago, funded by the farmers’ levy and co-delivered by consultants in areas where the pace of regulation was accelerating. Their primary purpose was to help raise awareness of environmental issues and start a conversation with the farmer about how to move their business to a more sustainable footing – before change was forced upon them. . .

Fonterra trims 2018 milk collection forecast on wet August, September – Paul McBeth:

(BusinessDesk) – Fonterra Cooperative Group trimmed its milk collection outlook for the 2018 season after a wet August and September sapped production, especially in the North Island.

The Auckland-based cooperative lowered the forecast to 1,540 million kilograms of milk solids for the year ending May 31, 2018 from a previous projection of 1,575 kgMS, it said in its latest Global Dairy Update. Fonterra collected 171 million kgMS in September, down 2 percent from the same month a year earlier, while the year-to-date collection slipped 1 percent to 294 million kgMS. . . 

Synthetic foods to have ‘major impact’ within 10 to 15 years – Sir Peter Gluckman – Tom Pullar-Strecker:

New Zealand may need to reconsider its approach to genetically modified crops to respond to the economic threat presented by synthetic milk and meat, the Prime Minister’s chief science adviser, Sir Peter Gluckman, has suggested.

Gluckman told the NZBio biotechnology conference in Wellington that great strides were being made commercialising artificial milk and meat, which usually rely on genetically modified (GM) ingredients to enhance their taste or texture.  

He thought most milk sold worldwide in 20 to 25 years could be synthetic, though it might be “some time” before scientists could create a T-bone steak. . . 

Grass-fed steak with a side of environmental enhancement?:

Consumers are to be asked what attributes in beef and lamb are important to them in their purchase decisions in a research project led by Beef + Lamb New Zealand, Greenlea Premier Meats and Lincoln University’s Agribusiness and Economics Research Unit (AERU).

The research, which will be focused on high market potential states or cities in the US and China, will test consumers’ awareness of New Zealand red meat and gain an understanding of the attributes that are important to them. . . 

Amazing grazing: why grass-fed beef isn’t to blame in the climate change debate – Diana Rodgers:

My inbox has been inundated with people freaking out about recent papers and articles claiming that grass-fed beef is NOT going to save the planet. Basically, these scientists are ignoring important research and not looking at the full picture. While there’s still work to be done, many have proven that yes, in fact, grass-fed beef IS better for the planet.

I’ve found there are three reasons why people are conflicted about eating meat. The environmental argument is just one. We’re also fed a lot of misinformation about the nutritional implications of eating meat and conflicted about the ethics of eating animals. I get it. While I don’t argue for factory farming, I do offer some logical, concrete reasons for why meat, especially grass-fed beef, is one of the most nutrient-dense foods for humans and according to the principle of least harm, large ruminants like cattle are the most ethical protein choice. . .

If you’re thinking about marrying a farmers stop – Uptown Farms:

I’m 400 miles from home, getting ready to walk into a church for a wedding, without my farmer. It’s not the first, nor the last, event I’ll attend without him at my side.

It’s harvest season, which means anything I do that isn’t in the cab of a combine, likely doesn’t involve him.

It’s been almost almost nine years ago since I said, “I do”, and walking into another wedding has me thinking…

If you’re thinking about marrying a farmer, stop. . . 

 


Rural round-up

September 2, 2016

Fonterra on the eve of disruption – Fran O’Sullivan:

Fonterra chief executive Theo Spierings’ challenge ‘build windmills not walls’ is galvanising the dairy co-operative, writes Fran O’Sullivan.

Theo Spierings’ leadership has been tested as he re-engineers New Zealand’s biggest business during the tough times of a lengthy global commodity slump.

The story of how NZ dairy farmer incomes have plummeted, the company’s staff numbers have been slashed and hard calls made with its suppliers is well-traversed.

But behind the scenes there has been a fundamental refocusing of the company’s strategic operations which Spierings expects will result in a “strong picture” when he unveils Fonterra’s financial results late next month. . . 

Value-add products need a point of difference – Keith Woodford:

[This article was commissioned by the NZ Herald. It was written on 8 August 2016 and published on 31 August 2016. Since being written, some 24 days ago, we have seen substantial increases in dairy commodity prices, and in the short term (i.e. the forthcoming GDT dairy auction on 6 September GMT, and possibly subsequent auctions) these increases are likely to continue. However, the fundamentals remain unaltered; i.e commodities are highly volatile and will remain so, but there are also many traps for the unwary along the value-add path.]

There is increasing recognition within New Zealand that the dairy industry is in some trouble. Heading into a third year of low prices, questions have to be asked whether the industry is on a false path. And if so, where is the path back to firm ground?

Some will argue that the answers are simple: that we should reduce the dairy footprint on our land, and that we should focus on value-add. In reality, it is not that simple.

For those who live in the cities, it is easy to miss the importance of agribusiness to the overall economy. Much of New Zealand’s economic growth of the last 15 years is a direct consequence of a bountiful economic environment for agriculture in general and dairy in particular. . . 

GMO ruling frustrates biotech industry, farmers:

A lobby group representing New Zealand’s biotech industry fears further changes around the way genetically modified organisms are regulated could potentially force companies and scientists to shift overseas.

The High Court has upheld the Environment Court’s decision that local councils can have control over use and release of genetically modified organisms in their district.

The ruling was based on an appeal by Federated Farmers, which argued the release of GMOs was already regulated by the Environmental Protection Authority and local councils were not qualified to make such decisions.

But lobby group NZBIO chief executive Will Barker said the decision would come as a blow to the industry. . . 

Boat to change face of commercial fishing in NZ launched in Nelson:

A ceremony steeped in tradition was held in Nelson today to celebrate the launch of a boat that will change the face of commercial fishing in New Zealand.

The state-of-the-art vessel has been built for Tauranga-based fisherman Roger Rawlinson, of Ngati Awa descent. It has been named Santy Maria after his mother, who started the business with his father Bill more than 25 years ago.

The Santy Maria is the first vessel in Moana New Zealand’s $25-30 million fleet renewal project. It has been designed by Australian company OceanTech, with the technical expertise and vast fishing experience of Westfleet CEO Craig Boote, and constructed to the highest specifications by Aimex Service Group in Nelson. . . 

Seafood industry continues steady growth path:

The seafood industry continues to show strong growth with export earnings reaching $1.78 billion in the year to June, Seafood New Zealand’s Executive Chairman George Clement said today.

Speaking at the seafood industry’s annual conference, George Clement said the June result was an increase of $201 million on the same time last year, ”further demonstrating that we continue to make a significant contribution to the economy as one of the country’s main export earners,” he said.

“Last year industry accepted the Government’s aspirational goal of doubling export revenues by 2025 and we are on the growth path to achieve this,”
he said. . . 

The thirsty truth about avocados – Mitch McCann:

From Instagram to Pinterest, this is the golden age of avocados.

They’re so popular, the New Zealand industry’s earnings have doubled in the past three years.

Earlier this year avocado prices skyrocketed to around $4.50.

But now you can grab one for less than $2.

That’s because we’re into a bumper season, which may end up being New Zealand’s biggest ever.

But growing avocados takes a lot of water – much more than for things like potatoes, tomatoes and lettuce. . . 

Seeka announces the purchase of the Kiwi Crush™ and Kiwi Crushies™ product ranges from Vital Food Processors Ltd.:

Seeka Kiwifruit Industries (NZX-SEK), New Zealand’s and Australia’s largest kiwifruit grower, today announced the purchase of the Kiwi Crush and Kiwi Crushies product ranges from Auckland based Vital Food Processors Ltd (Vital Foods) for an undisclosed sum.

Kiwi Crush is a range of 100% natural kiwifruit based drinks that have since the early 1990s helped New Zealanders support and balance the digestive system. . . 

Hawkes Bay wine celebration reveals master class talent:

Two big names in the wine industry will be the hosts of the first-ever F.A.W.C! Masterclasses, at the Hawke’s Bay Wine Celebration.

A must-do event for wine lovers, when the cellar doors of 38 of the region’s finest wineries come together – the Hawke’s Bay Wine Celebration is being held in Auckland and Wellington next month. This is a unique opportunity to meet the winemakers while sampling award-winning wines. The event will showcase 50 Chardonnays, 38 Syrah, more than 30 Merlot Cabernet blends, as well as aromatic Riesling and Gewurztraminer through to newcomers Albarino, Tempranillo and luscious dessert wines. . . 


HaSNO needs review

June 16, 2015

Treasury secretary Gabriel Makhlouf’s call for another look at New Zealand’s attitude to GMOs is being supported by NZBio.

In a speech at Fieldays last week on making informed decisions about natural resources, Makhlouf said when new technologies come along, both genetically modified and non-genetically modified, New Zealand’s current system denies choice over whether the country should have them. “Meanwhile, our international competitors do have this option,” he said.

Will Barker, chief executive of the biotech industry organisation NZBio, said the Hazardous Substances and New Organisms Act needs to be urgently revised so new organisms are covered by better-conceived legislation.

“Attempts to interpret the current legislation have shown it to be highly restrictive, yet there are considerable benefits that new genetic technologies can offer New Zealanders,” Barker said in a statement today. . . .

Barker said decisions on biotechnology, including GM, should be subject to an appropriate risk-based assessment.

“Much of what is being said about GM here in New Zealand is simply inaccurate. Millions of people around the world have accepted GMOs into their environment and their food supply, because under appropriate legislation, they are recognised as having no substantial difference in risk profile to any other agriculture practice.”

Anti-GM rhetoric is largely based on fear and emotion.

HaSNO legislation should balance the opportunities and risks which come with any new technology and it must be based on science.

Makhlouf ‘s speech is here.

 


Rural round-up

August 2, 2012

Meat price outlook positive in spite of short term wobbles – Allan Barber:

The exchange rate and uncertainty in the Eurozone remain the biggest negatives for red meat exports in the short term, but the outlook is still positive heading into next year.

It’s very hard to pick what will happen in Europe which will inevitably have a large impact on lamb prices for the foreseeable future. Southern Europe and the UK are technically in recession and are unlikely to improve much, at least until the ECB manages to sort out how it will cope with the trials of Greece, Spain and others. . .

 

Elworthy-managed fund psends $2m on Gisborne land, emerges with 9,200ha of forestry – Paul McBeth:

Craigmore Forestry Fund, which is managed by Forbes Elworthy’s Craigmore Sustainables, paid $2 million for 511 hectares land it wants to convert into forestry, as it looks to build plantations down the east coast of the North Island.

The fund has built up 9,200 hectares of land running from the East Cape to Riversdale, where it plans to either manage existing forestry operations or plant trees on farming land, according to summary decisions from the Overseas Investment Office. . .

  A permeating puzzle – Offsetting Behaviour:

Canadian supporters of supply management note that they’re helping to protect Canadians from “permeate” milk. Or at least my Twitter friend from the Canadian Dairy Lobby keeps needling about use of permeate.

Permeate is a concentrated byproduct from cheese-making that, in diluted form, can be added into fluid milk. You can also get it through ultrafiltration: ultra-filter the milk, then add stuff back in varying proportions depending on the blend you want to achieve. It’s relatively high in lactose, so it could make milk less friendly for those with lactose intolerance, but it otherwise seems pretty innocuous. Most supermarket milk in New Zealand uses permeate; it’s been a bit controversial in Australia. . . 

Ravensdown first fertiliser company to break billion dollar milestone:

Ravensdown, the 100% farmer-owned co-operative, has become the first NZ fertiliser company to surpass a billion dollars in revenue. The co-operative also helped shield shareholders from world price volatility for imports such as urea for a large part of the reporting period.

Revenues for the year to 31st May 2012 were a record $1.07 billion, an increase of 15%. The co-operative plans to distribute $53.5 million to shareholders. This represents a total of $40.48 per tonne of fertiliser purchased which is made up of a rebate of $15.10 per tonne plus a bonus share issue of 17 shares per tonne (tax paid) valued at $25.38 per tonne. . .

 Synlait Milk Scoops Agri-Business Award:

Synlait Milk has scooped the Agri-Business Award in the Sensational Selwyn Awards, which recognise business excellence in the Selwyn District.

Over 500 people attended the biennial awards dinner held on 28 July at the Lincoln Events Centre. Finalists for the award included Coppersfolly Limited and Ellesmere Transport Company Limited.

Since operations began in 2008, Synlait has grown to become one of Selwyn’s largest companies, processing over 500 million litres of milk a year from around 150 Canterbury farms, and employing 128 staff. . .

 Māori partner with agbio leaders to drive growth through science:

The Federation of Māori Authorities says supporting the world’s top agricultural biotechnology conference being held in Rotorua in September is an opportunity to connect its members with the best minds in the business.

The Federation has come on board as a Platinum sponsor of ABIC (Agricultural Biotechnology International Conference) 2012, which will bring industry leaders, researchers and scientists, investors and policy makers from around the world to New Zealand.

ABIC 2012 is hosted by NZBIO, the New Zealand biotechnology industry association.

The Federation of Māori Authorities represents New Zealand businesses with a combined asset base valued at NZ$8 billion, much of which comes from interests in seafood, forestry, dairy, sheep and beef, horticulture and energy. . . 

Dairy Compliance Improved:

Hawke’s Bay Regional Council’s compliance monitoring of dairy farms shows a marked increase in the level of full compliance.

Full compliance is up to 80% across the region, with the majority of the 20% non-compliance being of a technical nature rather than having a direct adverse environmental effect. . .

 

 

 

 

 


Budget viewed from the paddock

May 29, 2009

Agriculture Minister David Carter explains the Primary Growth Partnership.

The scope of the Primary Growth Partnership initiative includes pastoral and arable production; horticulture; seafood; forestry and wood products; and food processing.

Federated Farmers said the Budget will assist farm productivity and competitiveness.

“The Government has walked a tightrope in looking to boost productivity and competitiveness without flaming debt.

“That said, business is facing a very difficult environment and many New Zealanders are being insulated at the expense of business.  Its okay to ‘preserve entitlements’ for workers but without business owners, there would be no jobs. 

“Despite this, Federated Farmers is pleased to see the projected debt track trending downwards.  This means we will be returning to surplus a lot earlier than previously forecasted. 

“Any credit downgrade would have seriously impacted the interest rates farmers pay when farm incomes are highly constrained.  Every one percent on interest rates takes around $450 million out of farm incomes.

Feds approved of the funding for research,  is happy with the Infrastructure Board, was delighted to hear Bill English use the word water in his speech, is luke warm about funding for broadband, would like to see wool used for insulation and welcomes the commitment to reforming the RMA, Building Act and electricity markets.

“Federated Farmers understands the tightrope walked by Government in its first Budget.  Fonterra’s revised forecast, announced yesterday, tempered any expectations we had. 

“That said, there are positive indications for the future in respect of infrastructure, regulatory reform, water and research and development.  What Federated Farmers will be looking for is for acceleration in the areas that will drive the economy forward,” Mr Nicolson concluded.

NZBio  supports the investment in innovation. CEO Bronwyn Dilley said:

“Support for New Zealand’s future in the form of $1.1 billion operating and $747.3 million capital investment in transforming the New Zealand economy, including $205 million new funding for Vote RS&T, is a critical step in ensuring this country remains internationally competitive and a desirable place to work. . .

“This is a budget with foresight and strong commitment to New Zealand’s long term success. It signals a step change towards a high value, high skill, knowledge based economy for New Zealand, and the biotechnology industry will be an essential element in achieving that outcome.”

Meat and Wool NZ  welcomed the commitment to primary sector research.

Meat & Wool New Zealand Chairman, Mike Petersen said that the level of investment made available highlighted the Government’s recognition of the sector’s considerable earning potential.

“The budget has signalled that New Zealand is in for a challenging few years with the financial crisis that has dominated the world economies. However New Zealand is well placed for an earlier recovery than other countries with the sheep and beef sector leading the way.

“It’s pleasing to see the Government growing its support to the primary sector which makes up 64 per cent of exports and generates $24.5 billion for the New Zealand economy.”

Science NZ  welcomed the benchtop RS&T increase.

“The Prime Minister’s Science Prizes ($1m pa) and the appointment of the Prime Minister’s Chief Science Adviser also signal that the public are being appealed to in a new, high profile, way.

“This will help build a broad, national constituency for RS&T investment and careers. The business sector is engaging as never before, with a 20 per cent rise in its RS&T investment over the last two years. That is the thinking that will create higher wage jobs in New Zealand and build export businesses.

“The Budget recognises that RS&T is critical to improving New Zealand’s productivity and thus our national wealth and living standards.

The previous Prime Minister established PM’s awards for the arts.

I’m not averse to that, but by establishing prizes for scientists this Prime Minister is sending a message about the importance of science and signalling a change of focus towards innovation and productivity.


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