Rural round-up

February 19, 2019

Tasman facing serious drought – Tracey Neal:

First there were floods, then fire and now drought.

The Waimea Plains, cradled between two mountain ranges, are usually immune to such extremes in the weather.

But a Tasman District Council water scientist says the wider area is facing its worst drought since 2001. . .

Explainer: Why NZ can’t afford to mess with China – Aimee Shaw:

China and New Zealand have enjoyed decades of mutual benefits.

The global powerhouse and New Zealand signed a Free Trade Agreement in 2008 and since then have phased in provisions to ease trade between the two countries.

China is now New Zealand’s largest trading partner, followed by Australia. Suffice to say it’s a relationship New Zealand can’t afford to lose.

Fallout from the Government taking the United States stance on the Huawei debate and now reports of people not wanting to come to New Zealand as a result are threatening the country’s long-standing friendly relationship. . . 

Year of the Pig means feast of exports for Fonterra :

Celebrations have been underway around the world to celebrate the festive Chinese New Year season — welcoming the Year of the Pig.

In China itself those celebrations are likely to have included family feasts including dairy produced in Waipa’s Fonterra plants.

Fonterra’s Te Awamutu site exported around $175 million in products to China for consumption in 2017/18. That’s about $12,500 per person in Te Awamutu. . . 

Optimistic report on ‘M bovis’ response – Sally Rae:

Improvements are already being made in many areas highlighted in the Mycoplasma bovis Technical Advisory Group’s report, response head Geoff Gwyn says.

Work is under way to develop a new surveillance approach for the beef industry and the focus is increasing on improving communication to affected farmers, the public and staff.

The report, released this month and following the group’s meeting in late November, provided independent validation the eradication programme was ”on track”, he said.

Mr Gwyn said the findings and recommendations were not surprising. Some of the recommendations were relatively simple to implement or were already in train, while others would need careful consideration before a decision was made. . . 

Open Country challenges validity of Fonterra 2018 milk price – Paul McBeth:

(BusinessDesk) – Open Country Dairy is seeking a judicial review of the way Fonterra Cooperative Group set its milk price in the 2018 season, despite the Commerce Commission giving the price-setting process a pass mark.

The commission noted the judicial review on its website, saying Open Country Dairy brought proceedings against certain conclusions in its 2018 report.

In that report, the regulator was satisfied that Fonterra’s calculation was largely in line with the efficiency and contestability elements required by law governing the dairy sector. . . 

Unusual beefalo meat in demand – Ken Muir:

A chance meeting with an engineer building a cowshed on a neighbouring farm next door to Nadia and Blair Wisely introduced them to bison and from there they’ve taken to producing beefalo – a bison beef cross – on their Isla Bank farm.

”We met Dennis Greenland by chance and he had purchased animals from a Marlborough breeder Bob Blake”, Mr Wisely said.

”He told us about the animals and that piqued our interest.”

The Wiselys purchased a bison bull, crossed it with a range of cows and Netherton Farm Beefalo was born. . . 

Wild horses go under the hammer in Hanmer

Twenty horses, all aged two or three years old, were mustered from the isolated Ada Valley and sold by auction at cattle yards in the St James Conservation Area, where there was once an 80,000-hectare cattle station.

The two-day biennial muster is a family tradition.

Hugh Dampier-Crossley, a sheep and beef farmer near Cheviot, has been mustering the horses since he was ten.

“The Stevensons owned the property. Jim Stevenson was my grandfather, they bought the place in 1927. He taught me how to break in horses and shoe horses so it’s become a bit of a passion,” he said. . . 

Plan to plant genetically engineered trees throughout US to save dying forests – John Gabattis:

Inserting genes to protect against foreign diseases and pests could bring species back from brink of extinction

Plans are under way to plant swathes of genetically engineered trees across the ailing forests of North America in a bid to save them from the ravages of disease and pests. 

Species such as the ash tree and whitebark pine have faced catastrophic declines of up to half their populations after creatures introduced from overseas tore through their defences. . .

 


Rural round-up

January 26, 2018

Big drop in Otago farm sales, NZ sales down 21% – Simon Hartley:

Otago has recorded the largest decline in farm sales across the country, down by 27 on a year ago while nationally sales dipped 21%, down by more than 100 properties.
Ten of 14 regions recorded declines in farm sales for the quarter ended December, with Otago booking the most substantial decline, down 27 sales followed by Northland down 25 sales, while Southland was one of only three regions with an increase, up three sales.

Overall, farm sales nationally for the quarter plunged 105 from 499 for the same quarter last year to 394, according to Real Estate Institute of New Zealand data.

REINZ rural spokesman Brian Peacocke said the sales were a reflection of two key factors which impacted on the rural sector – weather and prices. . .

Is the 20-year white gold rush over for dairy industry? – Andrea Fox:

The country’s second biggest dairy manufacturer and exporter Open Country Dairy believes New Zealand milk production growth has peaked and a long run of muscular annual rises is over.

Chairman Laurie Margrain said the privately-owned company did not believe overall milk production would rise much higher than it is today.

“There will be seasonal variances due to weather of course but it’s not realistic to think New Zealand milk production will go through the growth curve it’s had in the past 10 years.” . . .

Warning after homekill prosecutions rise:

A spike in prosecutions for illegal homekill has prompted officials to warn people not to sell homekill on social media.

Information released to Radio New Zealand showed seven people were prosecuted in 2017, compared to one the year before.

And 44 sales of homekill on Facebook were reported to the Ministry for Primary Industries last year, 30 more than 2016.

Selling homekill is illegal, with fines of up to $75,000 for individuals and $300,000 for businesses. . .

Local rider chosen for trip to Texas – Tom Kitchin:

Ranfurly girl Amanda Voice says she feels lucky to be named in a team to represent New Zealand in Texas for western performance horse riding.
Amanda (15) will travel to the Texas city of College Station to compete in the American Quarter Horse Youth World Cup from June 28 to July 8.

”I’m just so happy with how it’s all gone,” she said.

”I’m very excited to represent New Zealand once again.” . .

How one dairy farmer works just 20 hours per year for every cow in his herd – Seán Cummins:

David Kerr milks a herd of 155 cows under a spring-calving system in Ballyfin, Co. Laois. He’s at the top of his game when it comes to efficiency and works just 20 hours per year for each cow in his herd.

When compared to his peers, David fits firmly within the top 5% of efficient farmers. The 20 hours per cow figure is more than 50% lower than the average number of hours worked by farmers surveyed in a recent Teagasc labour study.

At this week’s Irish Grassland Association Dairy Conference, David outlined the efficiency practices undertaken on his farm. . .

How does a show get its local community involved?

Country shows are a window into a community, showing how close knit its people are, and that community’s values.

However, bringing people together, organising judging events and entertainment takes some time and know-how. So it’s no surprise that as country town populations have taken a hit, the local show has also suffered.

A successful show requires involvement, and inclusion. But sometimes a show seemingly just happens because it has had a long established committee. The local community doesn’t necessarily understand what it can bring to the table, nor what goes into putting the event on. . . 


Rural round-up

February 17, 2016

Urban ideals quash rural spirit – Craig Wiggins:

Over the last few years I have stood in front of many, commentating rural sports in many rural communities in three different countries and feel it’s time to put some perspective into the emotive protests for and against rural activities.  

We have just witnessed the SAFE campaign against the dairy industry and through the summer the anti-rodeo campaign gaining media coverage.  As in the case of the SAFE coverage, it’s easy fodder for urban-based journalists to get consumer buy-in and notoriety for their own careers.  

I pat on the back anyone who is passionate about what they believe in or against and stand up for it.

I am, however, against sensationalising facts and issues in the pursuit of self-promotion and a win over others at all costs, whether it be the truth or not.  

To win an argument one should be more knowledgeable about the facts the opposing side is arguing than they are. . . 

Landcorp scraps Shanghai Pengxin deal – Neal Wallace:

Landcorp will not renew its sharemilking contract with Chinese corporate dairy farmers Shanghai Pengxin when it expires at the end of next season.  

This brings to an end an arrangement that started in November 2012 when Shanghai Pengxin bought 16 Central North Island dairy farms that belonged to the Crafar family. . . 

Alliance enforces shareholding commitment to match supply – Allan Barber:

After many years competing for livestock without compelling suppliers to invest in the full number of shares required in principle, Alliance Group has seized the opportunity offered by Silver Fern Farms’ likely shareholding change to review its capital base.

The uncharitable observer would presume this action is necessary to raise more capital for balance sheet or investment purposes. However Alliance chairman Murray Taggart is adamant this move is all about correcting the imbalance between those suppliers who are fully shared up and those who have made a lesser commitment. The adjustment will take place gradually in line with the rate of supply with deductions of 50 cents per lamb, sheep or calf, $2 per deer and $6 per head of cattle. . . 

Has our dairy industry gone too far? – Julian Lee:

We all know the importance of our dairy industry and its existence to our country.

It’s our number one industry — we get that.

But has dairy gone too far in the beautiful Mackenzie Country?

The Mackenzie Basin is a stunning piece of landscape in the South Island — a desert spotted with electric blue lakes surrounded by mountains.

It is the last place you would think you would want to put cows. . . 

Open Country Dairy posts record annual profit in 2015 – Tina Morrison:

(BusinessDesk) – Open Country Dairy, the dairy manufacturer controlled by Talley’s Group, posted a record annual profit last year even as revenue fell.

Profit increased 16 percent to $34.4 million in the year ended Sept. 30, 2015, according to the Auckland-based company’s annual report. Revenue slid 24 percent to $688 million while the cost of sales sank 28 percent to $620.5 million, according to the accounts.

The company didn’t pay a dividend and has previously said it was investing in infrastructure for future growth. . . 

Weaknesses in industry cohesion and international marketing are costing kiwi farmers:

Federated Farmers Meat and Fibre Chair Rick Powdrell is calling for action to be taken to address issues in the marketing of kiwi lamb overseas – particularly in the UK – to prevent our sheep farmers continuing to face low returns.

Speaking at Federated Farmers Meat & Fibre Council in Wellington today, Mr Powdrell said meals featuring lamb had fallen 7% in the UK, while lamb consumption in the US was rising at 10% per year.

Mr Powdrell has just returned from the American Sheep Industry Conference in Scottsdale, Arizona, where he had seen first-hand some of the initiatives that are underpinning this growth. . . 


GDT dips 1.4%

January 20, 2016

The GlobalDairyTrade price index dipped 1.4% in this morning’s auction.

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Federated Farmers is concerned continuing low prices is putting Fonterra’s $4.60 payout in doubt.

Federated Farmers is concerned that Fonterra’s forecast farmgate payout of $4.60/kg looks increasingly out of reach after this morning’s 1.4% drop in the Global Dairy Trade price index. Today’s result follows a 1.6% fall in the first auction of the year two weeks ago.

“Today’s weak GDT result is disappointing and things are certainly looking much worse in terms of the farmgate milk price. We have just seen Open Country Dairy drop its forecast and this result increases the likelihood Fonterra will do the same,” says Federated Farmers Dairy Chair Andrew Hoggard.

“It is still possible that a sudden upswing in prices could get us there, but we’d need to see some very large increases in the next couple of months to reach the $4.60 mark. Even that is a fairly poor payout for most farmers, and falling below that is just going to ramp up the pressure on the dairy industry and those that support it.”

But Mr Hoggard is urging farmers to have faith in the GDT model.

“This isn’t about the system. It’s economics 101. Supply is too high and demand is weak, which is keeping prices down. If kiwi farmers want to lay the blame somewhere they should look offshore to the subsidised production that still exists in too many other countries. Farmers in these markets are increasing production despite the market telling them the opposite.”

“Kiwi farmers need this to be addressed and for more trade deals to open up new markets and grow the overall pie. New agreements such as TPP have the potential to make a big difference over time but unfortunately they won’t ease the short term pain our dairy farmers are feeling.”

The GDT doesn’t set a ceiling but it does set a floor and milk sold on that platform is a small proportion of Fonterra’s total sales.

This week Open Country Dairy announced it was cutting its forecast payout from by 30 cents to an average price of between $4.00-$4.30 per kilogramme of milk solids.

 

 


Rural round-up

August 2, 2015

Groser disappointed TPP deal not reached:

Trade Minister Tim Groser is disappointed that the TPP negotiations were unable to reach a conclusion today, but TPP ministers collectively pledged to meet again as soon as possible to finalise the deal.

“Good progress was made this week, but a number of challenging issues remain, including intellectual property and market access for dairy products”, Mr Groser said.

“We will continue to work toward a successful conclusion. This is about getting the best possible deal for New Zealand, not a deal at any cost.” . . .

TPP pressure on Canada, but US is super-star in agriculture subsidies – Lawrence Herman:

Americans provide billions in protectionism to dairy that will have to be given up for trade deal.

We rail against Canada’s supply management system. Rightly so. It’s a Soviet-style regime that is out of step with Canada’s international trade interests and objectives. Every credible Canadian think-tank has said that supply management is a regressive system that distorts the market by guaranteeing dairy, poultry and egg producers a positive return on production, inhibiting competitiveness and, in the long-run, preventing Canada from becoming an exporting agriculture powerhouse. . .

 Groser proves trade credentials by insisting on a good deal:

The Dairy Companies Association of New Zealand (DCANZ) is commending New Zealand Trade Minister, Tim Groser, for standing firm against enormous pressure to concede to a sub-standard deal for dairy. The Minister and his team of expert negotiators have preserved the ability to conclude a good deal in the future.

“What was on the table fell well short of the deal required to deliver the commercially meaningful access that is needed by New Zealand’s dairy industry” says DCANZ Chairman Malcolm Bailey, who has been in Maui, Hawaii, where the negotiations took place over the past week.

Agreeing a bad deal would have consigned New Zealand farmers to many more years under the burden of heavy protectionism. Trade prohibitive tariff levels in Japan, Canada and the United States contribute to a thin global dairy market and exacerbate extreme price volatility. . .

 Concerns over strong El Niño:

NIWA fears this year’s El Nino may be as bad as 18 years ago, when widespread drought cost the country a billion dollars in lost exports.

International guidelines indicated a 97 percent chance of El Niño continuing over the next three months and a 90 per cent chance it will continue over summer.

El Niño typically sees the west of New Zealand wet, and the east very dry.

Niwa forecaster Chris Brandolino said it was looking like it could be as significant as the El Nino in the nineties. . .

Where every day is a good day – Kate Taylor:

Discussion groups, monitor farm programmes, running a Gisborne hill country station and his house burning down couldn’t prepare farmer Ken Shaw for being given a 15 per cent chance of surviving the cancer attacking his body. But survive he did.

“Every day’s a good day,” he says, driving his bike in driving, freezing cold rain on his Matawai farm the day before a big snow storm hits the region and dumps a metre of snow on tops of his hills.

Ken and Kirsty Shaw farm the 709ha hectare Elmore Station (680ha effective) on Rakauroa Road at Matawai near the highest point of the highway between Gisborne and Opotiki. . .

Cut unprofitable production – DairyNZ CEO:

With the continued decline in milk price, DairyNZ chief executive Tim Mackle is calling on farmers to cut unprofitable production from their systems.

“These are extraordinary times. Open Country Dairy’s milk price forecast is under $4 per kilogram of milksolids (kg MS) and all indicators show Fonterra will be forced to lower their forecast on August 7. This price dip is lower and longer than anything we’ve seen in the last decade,” says Tim.

“Assuming a milk price of $4.00 for the average Open Country Dairy supplier, that means a potential deficit of around $250,000 for the year ahead.” . . .

Rural Women as relevant today:

In 90 years, Rural Women New Zealand has grown to a 2700-strong organisation but many of the issues it works on have remained the same.

In July 1925, Florence Polson became the first head of the women’s division of the forerunner of Federated Farmers.

Women’s Division Farmers Union was driven by concerns about health and the effects of isolation for women living on farms. . .

 


Rural round-up

July 21, 2015

Farmers And Forest & Bird Unite to Explain 1080 Facts:

The Pest Control Education Trust, a joint Federated Farmers and Forest & Bird initiative, today released ‘1080: The Facts’, a resource created to increase public understanding of 1080 and how it is used.

The fact sheet is an illustrated, easy-to-read rundown on which predators are targeted by 1080 and the native species that benefit from its use, and how using 1080 prevents the spread of bovine tuberculosis. It also outlines the precautions taken to ensure 1080 operations are safe.

Federated Farmers National Board Member and a Trustee of the Pest Control Education Trust (PCET) Chris Allen says the fact sheet has been produced in response to strong public demand for accessible, factual, summary information about 1080 and its use. . .

Open Country dairy slashes milk price forecast – Andrea Fox:

New Zealand’s second biggest milk processor Open Country Dairy has slashed its milk payout forecast by more than $1kg for the season as industry pessimism deepens about the multi-billion dollar dairy sector’s earnings outlook.

Open Country had until last week been forecasting a milk payment of $4.75-4.95kg milksolids to its around 700 national supplier farmers. 

Now it has told its farmers to instead bank on $3.65-$3.95kg. . .  

Partnership Helps to Set New Zealand Beef Apart From the Competition:

A partnership between Beef + Lamb New Zealand and a restaurant chain in Taiwan is helping to open consumers’ eyes to the nutritional benefits of grass-fed New Zealand beef.

New Zealand product makes up more than 80 per cent of the beef dishes offered on Royal Host’s menu.

The chain has 14 locations across Taiwan and caters for family dining in particular. Vice President Shirley Huang says local diners put a premium on safe, quality food, so Royal Host values that New Zealand beef is such a positive option. “In our menus, we include images of cows grazing peacefully on open pasture. New Zealand grass-fed beef is low in fat and has lower cholesterol.” . .

 

A2 shares fall as investors weigh up funding needs – Paul McBeth:

 (BusinessDesk) – A2 Milk Co shares fell to a three-week low as investors weighed up the company’s funding needs after the board turned down a potential offer from cornerstone shareholder Freedom Foods Group and US food and beverage firm Dean Foods.

The shares fell as low as 70 cents in morning trading on the NZX, and were 6.5 percent to 72 cents shortly before midday. A2 today said it told Freedom and Dean Foods the expression of interest wasn’t compelling enough to get a board recommendation if a formal bid was made, though was open to talking with the suitors. It has also attracted other potential bidders and is evaluating them. . .

Major Revamp of Dairy Awards:

The most significant changes in the history of the New Zealand Dairy Industry Awards have been made to enhance the competitions and enable more dairy farm workers to enter the awards programme.

Awards Executive Chairman Gavin Roden says he is excited about the changes that have been made to all three of the awards competitions.

“As an executive we had identified for a few years that there were a lot of people that couldn’t enter our awards because of the changing face of the industry and employment,” Mr Roden says. . .

Worker participation key to future safety:

After months of industry consultation, the forest industry has a new safety body – the Forest Industry Safety Council (FISC). Most importantly, there has been practical input from experienced forest contractors from on the forest floor and workers with experience at the bushline.

Some simple questions and answers may help explain how FISC will work:

Q: Who decided forestry needs a safety council?

A: The independent forest safety review team was not satisfied that people on the forest floor had a voice in making workplaces safer. Following the review and its recommendations, FICA has worked with forest owners and managers to put in place this new group. It will focus on safety using incident information reported by people working at the bushline to identify work areas. . .

 

Farmers get online survey option:

Farmers are for the first time this month completing their annual Agricultural Production Survey online.

Every year Statistics New Zealand surveys about 30,000 farmers about their land, livestock and crops, and farming practices.

This week farmers can start filling in their online survey forms, once they’ve received details in the post.

The survey measures changes in the sector, and is used for planning and forecasting. Farmers can use survey results on the Statistics NZ website to keep track of trends and make changes in their businesses. . .

 

Ballance appoints General Manager Sales:

Ballance Agri-Nutrients has appointed Campbell Parker as General Manager Sales.

Campbell will join the co-operative in October, following a successful banking career, including leadership of BNZ’s Partners Network and a track record in rural lending.

Ballance CEO Mark Wynne says Campbell combines sales leadership experience with a strong understanding and connection with the agri-business sector. . .

Bayer Central Otago Young Viticulturist of the Year 2015 announced:

Congratulations to Mike Winter from Amisfield who has just become the Bayer Central Otago Young Viticulturist of the Year 2015 and now goes through to the National Final. After a challenging day of activities on Friday at the Central Otago Polytechnic, the contestants’ final task was to deliver a speech at the Annual Winemakers Feraud dinner on Saturday night at Northburn.

It was a very close competition with Annabel Bulk taking 2nd place and Cliff Wickham coming 3rd, both from Felton Road Vineyard. . .

 

 


Rural round-up

March 15, 2015

Farmax conference to focus farmers and rural consultants on 2025 export goals:

Decision support software company, Farmax, believes it has a key tool pastoral farmers can use to help the agriculture industry achieve its goal of doubling exports by 2025. The company’s 2015 conference will focus on helping farmers and rural consultants gain confidence in the tools they need to achieve this objective.

Minister for Primary Industries Hon Nathan Guy will open the conference at Mac’s Function Centre in Wellington on 7-8 May.

Beef + Lamb New Zealand chief executive Dr Scott Champion, OVERSEER general manager Caroline Read and Landcorp Farm Operations general manager Graeme Mulligan will also present over the two-day event. . .

Forestry leases returned to Māori owners:

Associate Primary Industries Minister Jo Goodhew joined Māori owners and the community in Northland today to celebrate the surrender of a 740 hectare forestry lease.

The ceremony included the felling of the final trees to mark the end of what was originally a 99 year Crown lease. The trees are to be replanted by the landowner, Parengarenga A Incorporation.

“Partnership between the Incorporation and the Crown has been important to the development of forestry in the Far North,” Mrs Goodhew says. “By stabilising moving sand on the Aupouri peninsula this once unproductive land has been developed into a productive forest. . .

Drought may bite olive harvest:

A Wairarapa olive grower says the extremely dry conditions are taking a toll on trees and will bite into this year’s harvest.

Last year a record olive harvest was recorded in many parts of the country, helped by hot, dry summer conditions.

Olive New Zealand’s president, Andrew Taylor, said it was too early to say what this year’s harvest would be like from region to region, although it was likely that some growers will get lighter crops than the record amount last year.

But grower Ray Lilley, who owns White Rocks Olives at Martinborough, said the weather conditions this season would reduce the harvest, especially on younger trees. . .

Open Country posts record annual profit on surge in sales, sees ‘strong’ 2015:

(BusinessDesk) – Open Country Dairy, the dairy manufacturer controlled by Talley’s Group, reported a record profit for 2014 as revenue growth outpaced rising cost of sales, and said it expects a “strong” result in 2015.

Profit was $29.8 million in the 12 months ended Sept. 30, 2014, from $18.2 million in a 14-month period a year earlier, according to the Auckland-based company’s annual report. Open Country changed its balance date to Sept. 30 from July 31 in 2013.

Sales jumped to $908 million from $635 million, while cost of sales rose to $858 million from $597 million, allowing the company to increase gross profit by 31 percent. The 2014 year took in a season in which farmers received a record payout for their milk, while global dairy prices tumbled in the second half from near their highest levels in seven years. . .

Steak of Origin Underway:

Beef farmers nationwide are waiting in anticipation to see if their steaks will be named amongst the best in New Zealand.

The Beef + Lamb New Zealand Steak of Origin competition, supported by Zoetis, received over 300 entries from farmers, retailers, wholesalers and foodservice suppliers hoping to take out the title of the nation’s most tender and tasty steak.

Entries will now go on to be scientifically tested at Carne Technologies with colour and tenderness results determining the top 20% from each class, which will be announced as semi-finalists. . .

 

Villa Maria named fourth most admired wine brand in the world and first in New Zealand:

Today, Drinks International, one of the most trusted and respected global drink journals, named Villa Maria as the fourth most admired wine brand in the world, the only New Zealand winery to make the top 10 list. More than 200 of the world’s top masters of wine, sommeliers, educators and journalists took part in the annual poll, which pits wine brands from all regions, styles and qualities against each other.

The Academy of Masters of Wine, sommeliers, educators and journalists were tasked with critiquing and recognising the ‘Most Admired Wine Brands’ in the world and measured against the following list: . .


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