Rural round-up

27/03/2014

Guy prepared to help, but unwilling to interfere – Allan Barber:

Nathan Guy gave a very positive speech to Beef + Lamb NZ’s AGM on Saturday which covered three major points: what the government is doing for farmers, his vision for the red meat sector and thoughts on the discussions about industry structure.

Obviously, given MPI’s bullish view of agricultural exports, the Minister was extremely positive about economic performance. However he was at pains to point out the government’s role as an enabler, citing his focus on biosecurity resources, trade negotiations for market access, and investment in research.

He began by referring to his intention to strengthen resources at the border and to establish Government Industry Agreements (GIA) with various sectors which will ultimately involve the private sector in sharing the costs of biosecurity; different sectors are at various stages of negotiation on this issue. . . .

Project explores the potential of EID:

Warren Ayers farms 890ha of rolling country near Wyndham. The property runs 600 Perendale stud ewes and another 5,700 commercial ewes.

Lambing averages 135 per cent and lambs are finished to 17kg. Two-year-old replacement heifers are bought in annually for the 120-head Angus cow herd. Every year, all but the lightest 10 calves are sold at weaning. The policy is simple to manage and keeps the genetics of the herd diversified sufficiently that the same bull can be used for several years. For the past five years, the property has also wintered 650 dairy cows.

Warren has EID tagged his stud animals since 2006 and the commercial two-tooths have been tagged since 2009. . .

Fonterra begins construction on new IDR357 billion plant in Indonesia:

Fonterra today commenced construction on its first blending and packing plant in Indonesia, which will support the growth of its market leading consumer brands Anlene, Anmum and Anchor Boneeto.

Located in West Java, the plant is Fonterra’s first manufacturing facility in the country and its largest investment in a new manufacturing facility in ASEAN in the last 10 years.

Director General of Agro Industry at the Ministry of Industry, Panggah Susanto, joined Fonterra at an event in Jakarta to mark the official start of construction today.

Pascal De Petrini, Managing Director of Fonterra Asia Pacific, Middle East & Africa (APMEA), said that Fonterra Brands Manufacturing Indonesia Cikarang Plant will allow Fonterra to meet the ever-growing demand for dairy nutrition in Indonesia. . .

Dry conditions in Northland and Waikato remain a big concern:

Primary Industries Minister Nathan Guy says dry conditions in parts of Waikato and Northland remain a serious concern.

“Local authorities in Northland have announced the western parts of their region are in drought. This reflects the tough few months they’ve had as pasture has browned off.

“Cyclone Lusi has helped green tinges appear in some places, but the rainfall was erratic and insufficient. Western Northland and large parts of the Waikato remain very dry.

“The Ministry for Primary Industries is keeping a close eye on conditions here and elsewhere. I’ve seen for myself how dry things are on two trips to the Waikato in the last two weeks. . .

West Coast Northland drought declaration a relief:

The adverse event declaration covering drought in Northland’s West Coast the declaration will not provide a lot of direct financial assistance but will provide huge psychological relief.

“New Zealanders will get an inkling of what the guys on Northland’s West Coast have been going through. Not just since November, but since 2012 and even before that,” says Roger Ludbrook, Federated Farmers Northland provincial president.

“The big thing a declaration triggers is the Northland Rural Support Trust, so any farmer can approach the RST for free advice on farm management, or just someone to have a decent chinwag with.

“Beyond this, it doesn’t mean much financially unless the absolute worst happens. There is a safety net, but it is exactly the same as for any other New Zealander and carries the same eligibility rules.

“Then there is Inland Revenue and to be fair to them they aren’t unapproachable. . .

Drought-affected farmers encouraged to talk to their banks

Drought-affected farmers should talk to their banks said the New Zealand Bankers’ Association in response to increasingly dry conditions in parts of Northland and Waikato.

“We encourage any farmers facing hardship as a result of the lack of rain to contact their bank to discuss options for assistance and how they can work through these challenging conditions,” said New Zealand Bankers’ Association chief executive Kirk Hope. . . .

Fonterra profit down but revenue on track to break $20 billion:

Fonterra Cooperative Group’s half year results means it could be back on track to break the $20 billion revenue barrier; corporate New Zealand’s ‘four minute mile.’

“I think the fall in operating profit will grab attention instead of where it ought to be focussed, on revenue,” says Willy Leferink, Federated Farmers Dairy chairperson.

“This is real money coming into the New Zealand economy.  I mean revenue for the half-year is up 21 percent to $11.3 billion.  While we’ve got close to the $20 billion barrier in the past, this time, we’ve got a real chance of breaking it.

“That said, the declared drought in Northland along with drought-like conditions in the upper North Island could act like a brake.  We’ve also seen GlobalDairyTrade retreat in recent trading events due in part to increased volume. . .

Pengxin picks up former Fonterra executive Romanos for NZ Milk role, report says:

(BusinessDesk) – Shanghai Pengxin has hired Gary Romano, who resigned from Fonterra Cooperative Group last year during the botulism scare, to oversee the Chinese company’s overseas operations including its New Zealand farms, the NZ Herald reports.

Romano’s Linked In profile says he is “currently on the beach before becoming active again in 2014.” He resigned as head of NZ Milk Products at Fonterra last August as the company embarked on a global recall of whey protein concentrate. The bacterium was eventually shown to be harmless.

He will become chief executive of NZ Milk Management and a director of Pengxin’s two farm groups in the North Island and South Island, according to the Herald. Terry Lee, managing director of Pengxin’s Milk New Zealand unit, didn’t immediately return calls. . .

Samoa sheep farming increasing:

Sheep farming in Samoa is growing through a programme funded by the World Bank.

Under the Samoa Agriculture Competitiveness Enhancement Project, the World Bank is helping develop livestock, fruits and vegetable farming.

Sheep were introduced in Samoa in 2004, with the flock now grown to 700. . .

Macca’s hits milestone of three million kilos of Angus

AngusPure recognises programme as instrumental to success of Angus demand

McDonald’s New Zealand today announced it has sold a whopping three million kilograms of New Zealand Angus beef since 2009. With today’s launch of the promotional Angus the Great burger, the company expects to continue its contribution to the success of local Angus beef sales

This milestone is acknowledged by AngusPure’s chairman Tim Brittain, who says the ‘McAngus’ programme has been instrumental in helping grow the demand for Angus cattle, and that Kiwi farmers have been well rewarded since the original launch of the Angus burger range in 2009. . .


Rural round-up

05/10/2013

Mild confidence boost in NZ beef sector – Rabobank:

Much improved climatic conditions throughout the winter and a favourable weather outlook for spring have certainly boosted confidence across the New Zealand beef industry, particularly after the challenging drought conditions of summer and autumn, according to agribusiness specialist, Rabobank.

Rabobank’s Beef Quarterly report says that, in line with the seasonal low point in beef supply – which occurs towards the end of winter and into spring – farmgate prices have improved, while average export returns have also seen some encouraging upwards movement.

Rabobank animal proteins analyst Matthew Costello says the decline in the New Zealand dollar against the US dollar, which has eased around seven per cent between April and the end of August, was also helpful in boosting confidence in the Kiwi beef sector. Unfortunately, the currency has since rebounded to the highest level since May, putting downward pressure on schedules and challenging New Zealand’s price competitiveness in the export markets. . .

Farmers with the real smarts:

The Dalrymple brothers, Hew and Roger, farming just out of Bulls, have a second pair of eyes looking over their property.  Actually the word is ‘i’ – as in smartphone technology. Peter Burke reports on the technology in use and the savings that result.

FOR SIX generations the Dalrymple families have farmed in Manawatu and slowly built their land base. 

The current 2200ha freehold plus 200ha leased property is diverse – forestry, cropping, horticulture, sheep and beef trading and some specialised stock business, mainly managing dairy heifers prior to export to China and elsewhere.

Roger runs the sheep and beef, Hew looks after cropping.  This year they’ll plant at least 450ha in maize, 30ha in potatoes, 10ha in onions, 40ha in squash, 120ha in barley and 14ha in wheat. 

Lamb trading numbers vary each year, usually about 25,000, plus up to 10,500 cattle and about the same in dairy heifers. They also contract-finish, making it a big, complex operation. . .

Fonterra Appoints New Managing Director of Asia Pacific, Middle East and Africa (APMEA):

Fonterra Co-operative Group Limited announced today the appointment of Pascal De Petrini as Managing Director of its Asia Pacific, Middle East & Africa (APMEA) business unit.

The APMEA business unit comprises all of Fonterra’s consumer operations across Australia, New Zealand, Asia, the Middle East and Africa. Mr De Petrini will join Fonterra at the beginning of November and takes over from Johan Priem who has been Acting Managing Director APMEA since May.

Fonterra CEO Theo Spierings said, “Pascal is a strong, strategic people leader with a proven track record in delivering significant growth as well as turnarounds in Fast Moving Consumer Goods (FMCG) businesses. He has more than 25 years’ experience across the markets of APMEA and in senior leadership roles at Danone which will greatly benefit our consumer, nutritional and foodservice growth in Asia. I am delighted that we have someone of Pascal’s strengths and experience joining Fonterra. . .

Canterbury irrigation firm plans storage ponds:

A Canterbury irrigation scheme that has been taking water from the Waimakariri River for 15 years wants to build a large storage pond so it can continue to operate when water restrictions are in force.

Waimakariri Irrigation Limited is a run-of-river scheme that supplies water to about 200 properties, ranging from dairy farms to lifestyle blocks, covering 18,000 hectares on the northern side of the river.

It is seeking a land use consent to build a double pond combination on a site it owns near Oxford.

Manager Brent Walton says the ponds will allow users to continue irrigating during dry periods when the river level is low and there are restrictions on taking the water. . .

Never too old for new ideas

ADVERSITY MAKES you struggle, so think and look for answers, say horticulture industry pioneers and innovators Fay and Joe Gock.

The pair, both in their 80s, have for 60 years wheeled out good ideas: they were the first in the world to put stickers on fruit, they’ve grown seedless watermelon, and they pioneered using chilled polystyrene boxes to export broccoli.

They were winners this year of the horticulture industry’s highest honour, the Bledisloe Cup. And they won an award from the Dominion Federation of NZ Chinese Commercial Growers “in recognition of your lifetime of innovation and contribution to the horticulture industry”. . .

US Government shutdown warning to our farmers:

The budgetary deadlock, which has sections of the United States Government shutting down, should serve as a warning to New Zealand farmers to run conservative farm budgets.

“Following record milk price forecasts and increases in the ANZ Commodity Index across the primary industries, farmers may be very bullish about the current 2013/14 season,” says Dr William Rolleston, Federated Farmers Vice-President.

“The optimism is most welcome since the ANZ Commodity Index has hit its third highest level. Meat and Fibre farmers will be relieved to see the international price of wool, our green and renewable fibre, increase 13 percent in a month. Yet it is right across the primary board, from red meat to apples and logs, we just seem to be in an export sweet spot.

“Some may be tempted to anticipate outstanding forecasts for this season by taking on debt. . .

Entries open for New Zealand’s Prestigious Royal Show:

The Royal A and P Show New Zealand promises to be an affair for the whole family featuring entertainment, sideshows and livestock exhibits from some of New Zealand’s elite farmers.

The countdown has begun and entries are now open as Feilding and the wider Manawatu gear up to host the most prestigious A and P show on the calendar – the Royal A and P Show New Zealand.

Entries are now being taken for this spectacular event across all livestock sections ranging from Alpacas to equestrian classes to beef and dairy cattle, pigs and everything in between. . .


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