Rural round-up

August 14, 2019

Mainland venison marketer calls China home – Sally Rae:

When Hunter McGregor established a business in China four years ago, it was pioneering stuff.

Mr McGregor runs a Shanghai-based venison importing and distribution business, working with specialist New Zealand venison producer Mountain River Venison.

There was no market for venison in China and so it had been about creating both interest and demand for the product – “because it doesn’t sell itself”.

What he has also found is that running a business in China is getting harder. And that, quite simply, was “because it’s China”. “It’s the way things are,” he said. . . 

Looming 6A plan deadline pushed out – Sally Rae:

A significant milestone looms for rural landowners in April next year when new obligations are scheduled to come in to play to comply with the Otago Regional Council’s 6A plan change for rural water quality. But if a proposal from staff, headed to a council meeting this month, gets approval from councillors, that date will be pushed out to April 2023, as rural editor Sally Rae reports.

In a nutshell, Otago Regional Council chief executive Sarah Gardner says parts of the much-discussed 6A are working really well – but other parts are not.

And with the deadline just months away, the council did not believe it could enforce what was due to come into effect.

Talking to the Otago Daily Times ahead of the council meeting, Ms Gardner stressed the ORC was “absolutely not” walking away from its responsibilities around water quality, which remained its number one priority. . . 

Fonterra’s losses provide more questions than answers – Keith Woodford:

The forthcoming asset write downs of more than $800 million announced on 12 August by Chairman John Monaghan are clearly damaging to Fonterra’s balance sheet. It also means that Fonterra will now make a loss for the year of around $600 million. However, the implications go much further than that.

The losses mean that Fonterra will need to sell more assets to bring its ‘debt to asset ratio’ under control. The losses also ping back to the balance sheets of its farmer members, where the Fonterra shares are assets against which these farmer members have their own debts. Many dairy farmers are already struggling with their balance sheets, with banks now requiring debt repayments on loans that used to be interest-only.

If these write downs are the full story, then Fonterra will survive. The big question is whether these are all of the write downs, both for now and the foreseeable future. . . 

Farmers are getting more milk from each cow – they deserve a much better performance from Fonterra  –  Point of Order:

This   is the second  chapter  in the  woes  of  Fonterra, and  behind  it   the  dairy industry,  on  which the  New Zealand  economy is  so  dependent.

Point of Order   listed  some of those  woes    last  week.  Now, in the  wake  of  the latest  revelation,  Fonterra  will  have to absorb a loss of between $590m and $675m for the current financial year.

Critics   of the industry have  sprung  to the attack:  Minister of Regional Economic Development Shane Jones is calling Fonterra’s management “corporate eunuchs” and labels Fonterra’s board as “grossly inept”. . . 

Meat prices drive increase in overall food price index:

Rising meat prices drove food prices up in July 2019, Stats NZ said today.

Meat and poultry prices rose 2.8 percent, with higher prices for chicken, lamb, and beef, partly offset by falling pork prices.

Chicken pieces were a big driver of the monthly price rise, up 7.0 percent. The weighted average price in July was $8.61 per kilogram compared to June ($8.05 per kilo). As well as being a big contributor to the monthly change, chicken pieces were up 8.8 percent annually. In July 2018, the weighted average price for chicken pieces was $7.91 per kilogram.

Lamb chop prices reached an all-time high in July, up 1.7 percent. The weighted average price was $17.70 per kilogram compared with $17.41 in June and $16.33 a year ago. . . 

Finding the Will to Live

When Elle Perriam’s partner ended his own life in 2017, she set about changing the lives of others, embarking on a national tour in June to encourage farmers to ‘Speak Up’

New Zealand is in what can only be called a mental health crisis. Around 500 New Zealanders per year die by suicide, and we have some of the highest youth suicide rates in the OECD. The statistics are even worse in the rural demographic, where suicide rates are 20–50 per cent higher than in urban areas. The pressures of agriculture, coupled with the typical stoic, silent culture that permeates rural New Zealand can mean that those who are struggling often find it difficult to seek help, or to talk about their private battles. Geographical isolation can also be a factor, with some farm workers employed on remote high-country stations for months at a time with limited off-farm contact.

In December 2017, 21-year-old North Otago farm worker Will Gregory tragically ended his life, leaving his family, friends and girlfriend Elle Perriam devastated. Following Will’s death, Elle, a Lincoln University student, looked for a way to create positive change in the rural mental health sector, and the idea for the ‘Will to Live Speak Up Tour’ was born. Elle, with the help of her sister Sarah, launched the tour at the Hunterville Huntaway Festival in October 2018, with Will’s black Huntaway Jess as mascot. . . 

It’s a tough time being a farmer these days – Kate Hawkesby:

It’s a tough time to be a farmer these days. I really feel for them. Sure, they’ve been through lots of good and bad times, that’s the nature of farming, but it feels like this current climate is really tough.

Farming seems under fire from the government in a changing climate of new taxes, regulations, rules. it costs more to be on a farm these days. And that’s before we even get to Fonterra.

After massive write-downs of its assets, Fonterra’s forecasting a huge loss this financial year of around $675 million. That’s the second biggest loss since it began 20 years ago. No dividends will be paid to shareholders this financial year. . .


Rural round-up

December 27, 2018

Leave the water rules to locals – Neal wallace:

When water arrived in Maniototo 34 years ago it not only transformed the region’s dryland farms but also Geoff Crutchley’s views on water management.

Crutchley was initially reluctant to become involved in the murky world of water and irrigation management but was prodded into action in response to what he considered inflated water prices being demanded by the precursor to the Maniototo Irrigation Company.

So began an involvement that continues today but which has challenged some of his previous views while shaping others.

His experience has formed views on three issues in particular. . . 

Wilding pine effort set to triple – Jono Edwards:

The attack effort on Otago’s wilding pines seems set to treble.

Over the past year, $1.8 million was spent controlling 332,000ha in the region through the Ministry of Primary Industry-led wilding conifer control programme.

At a recent Otago Regional Council meeting, chief executive Sarah Gardner said she was told by ministry staff the work would soon triple.

This was echoed by the Central Otago Wilding Conifer Control Group.

Ministry Wilding Conifer Programme manager Sherman Smith said phase one was 85% complete and planning for the second phase was under way. . . 

Improving farm performance – one effluent pond at a time – Jim van der Poel:

As a dairy farmer, I take great pride in looking after my farm – its animals, the grass under their feet, our team and how we protect the environment. Every aspect contributes to a successful business.

So, like many farmers, I am disappointed when a few let down the majority. There have been some instances this year of poor effluent compliance, despite many farmers doing great work in this space.

All dairy farmers have a responsibility to manage the effluent from their cows and it is taken seriously by the vast majority who are investing in reliable, sustainable farm systems. . . 

Ex-director suggests Fonterra suspends dividends – Sudesh Kissun:

A former Fonterra director says the co-op could suspend dividends to shore up its balance sheet rather than sell key assets.

Greg Gent says farmers and investors would understand if the co-op suspended dividends to get its books in better shape. And it could suspend dividends and sell some assets that don’t align with its new strategy.

However, he wants to see the co-op’s strategy before decisions are made on selling assets. . . 

The Good, the Bad and the Ugly of 2018 – Jamie Mackay:

The Country radio host Jamie Mackay takes a look at the highs and lows for rural New Zealand in 2018.

The Good:

The weather:

This time last year much of the country was in a screaming drought – a farmer’s worst nightmare. Although Mother Nature absolutely forgot to turn the tap off in November and early December, at least once we dry out there will be grass for Africa and for more than quite a few sheep, cattle and deer.

Mycoplasma bovis:

Twelve months ago many were resigned to living and farming with bovis. If a week’s a long time in politics, a year is an eternity in farming. I wouldn’t be so bold as to suggest bovis is beaten but we’ve given it a hell of fright in 2018. . . 

Bird veteran still has pluck – Alan Williams:

The glamorous part of the year is over for long-time poultry exhibitor Doug Bain.

After several months of winter and spring shows around the South Island with a lot of ribbons and accolades it is back to the real work of breeding hens and ducks for next year.

“You need to have a reason to get up in the morning. It’s a hobby for me,” the 82-year-old says.

He doesn’t keep count of the birds he breeds and has no preferences. 

“I like them all.” . . 

 


Rural round-up

June 28, 2013

EPA announces new controls for insecticides:

A group of highly toxic insecticides has been extensively reassessed by the Environmental Protection Authority (EPA) and some will no longer be allowed to be used for plant pest control in New Zealand, the EPA announced today.

The EPA’s General Manager Applications and Assessment, Sarah Gardner, says that while the controlled use of some insecticides would continue to benefit New Zealand’s primary production industries, others were too damaging to people and the environment.

“The EPA’s role is to ensure that New Zealand’s environment, society and economy are protected from the risks posed by such substances.” . .

Mike Barton-Beef Farming Under a N Cap. This Video Will Scare The Crap Out Of Dairy Farmers – Milking on the Moove:

Mike Barton gave this talk to the Beef & Lamb NZ Farmer Roadshow in June 2013. 

It is a real eye opener & Mike explains in detail what farmers in the lake Taupo catchment have had to change in order to meet the Nitrogen cap put in place by their regional authorities.

Thanks to Beef & Lamb New Zealand for making it publicly available.

 

INC welcomes NZ infant formula audit:

The Infant Nutrition Council welcomes the audit of New Zealand’s regulatory regime concerning infant formula exports, which was announced today by Food Safety Minister Nikki Kaye, CEO Jan Carey said.

“The council welcomes any steps by the Government that help give consumers confidence in the safety and quality of infant formula manufactured in New Zealand.

“The Minister’s insistence that the audit includes work on verification, compliance, and testing regimes is excellent news. . .

Four new awards for South Island Farming Competition:

The challenges, skills and resources required for high performance farming have been recognised by the inclusion of four new awards in the 2013 prize package offered by the Lincoln University Foundation’s South Island Farmer of the Year competition.

Each award carries a cash prize of $5000 while the overall prize has been upped to $20,000. This is awarded in the form of a grant to facilitate travel to visit and study overseas farming enterprises and learn about new opportunities, processes and technology.

Foundation Chair Ben Todhunter says the South Island Farmer of the Year competition is about recognising innovation, leadership and excellence in farming and, more importantly, creating a process where others in the industry can learn from the experiences of the finalists and eventual winner. . .

Greenshell New Zealand wins NZ Food and Beverage Exporter of the Year:

Coromandel MP Scott Simpson has congratulated Greenshell New Zealand on being named New Zealand Food and Beverage Exporter of the Year at the Export NZ Awards.

The prestigious award recognised Greenshell New Zealand’s excellence in building extraordinary and sustainable export growth in the Food and Beverage sector.

Judges said the company had shown the ability to think differently with a variety of well thought out strategies shaping their growth and future potential. . .

Fresh investment adding value to Sealord products:

Increasing Sealord’s fresh fish offer from negligible to up to 10% of catch by 2018 is the next step in the company’s growth strategy and the business is putting its resources and investment where its mouth is.

An investment of around $1.5 million in an entirely new line, focusing on fresh chilled fish and thermoform packaging of both fresh and frozen products, has just come online at the Vickerman Street premises.

According to General Manager of Sealord Fish, Doug Paulin, the company’s expertise in quality frozen fish and position as New Zealand’s best known seafood brand are good stepping stones to add value to products by selling more fresh fish. . .


%d bloggers like this: