Rural round-up

June 30, 2014

Rustling needs to be a specific offence:

Federated Farmers is asking political parties to develop policies to tackle the scourge of stock theft better known as rustling.

“We know stock theft or rustling has been estimated to cost the farming community some $120 million each year,” says Katie Milne, Federated Farmers rural security spokesperson.

“In recent weeks we’ve seen a lifestyler raided for breeding ewes in Waikato and over 200 sheep despicably shot in Otago.

“We’ve got to ask if the penalties imposed are serious enough to be a deterrent for either rustling or poaching. Based on our experience to date they are not. . .

Behaviour is the root cause of meat industry’s problems – Allan Barber:

I am not completely sure why we spend so much time and effort complaining about the meat industry or which problems we are trying to solve. However in the interests of encouraging progress and stimulating debate, I will try to define the problem: this appears to be that the meat processing and export sector is not profitable enough, whether in absolute terms or in comparison to dairy. Both may be true.

It is worth stating the unique challenges of the red meat sector up front. First, there is a market at both ends of the chain, procurement and sale of the products; second, New Zealand exports a higher percentage of its production than any other country which must travel further to reach its markets, not all of them equally buoyant; third, sheep and beef must be disassembled into multiple cuts of meat as well as many co-products, all of which are sold into a wide range of markets for variable returns; fourth the climate dictates when the grass will grow and livestock will be ready for slaughter; and last, but not least, the producer can choose when and where to send the livestock for slaughter except in a drought. . .

The recipe for future success:

Blue Sky Meats and its suppliers will be relieved the company is back in black after two challenging years.

The return to profitability – a $1.946 million after-tax profit for the year to March – came on the back of the only two losses in the Southland-based company’s 28-year history.

It has been a much better year for meat companies. Along with Blue Sky – and Lean Meats – the two big co-operatives, Alliance Group and Silver Fern Farms, who both report late in the year, have signalled profitable years. . .

Dairy recovery anticipated – by Christmas – Sally Rae:

Dairy commodity prices are predicted to stay in a trough period for another three to six months.

Speaking at the recent South Island Dairy Event in Invercargill, Rabobank’s director of dairy research for New Zealand and Asia, Hayley Moynihan, said it could be Christmas before there was a more sustained recovery in commodity prices.

It would be a ”reasonably prolonged” trough, as inventories were worked through and an additional seven billion litres of milk available on the world market in the first half of 2014 took time to ”find a home”. . .

Focus on consumers behind Pasture to Plate success – Sally Rae:

King Country farmer William Oliver’s belief in the consumer stemmed from his time studying at the University of Otago.

Mr Oliver and his wife Karen were the overall winners of the Silver Fern Farms’ Pasture to Plate Award.

Silver Fern Farms chairman Rob Hewett said the couple impressed the judges with their focus on the consumer. . . .

Simpler pesticide rules on the way:

The Environmental Protection Authority is aiming to simplify the rules covering pesticides and other hazardous substances.

The authority is marking its third anniversary as the country’s environmental regulator after being created from three agencies – the Environmental Risk Management Authority, the Ministry for the Environment and the Economic Development Ministry.

EPA chief executive Rob Forlong said one of its big achievements has been a wide ranging review of organophosphate chemicals, which resulted in controls on some pesticides being tightened and others phased out. . .

Final countdown for Ultimate Rural Challenge:

The showcase event of the rural calendar is only three days away!

The 2014 ANZ Young Farmer Contest Grand Final begins this Thursday 3 July, 4.30pm with the Official Opening at Lincoln University Library. Here, the top seven contestants will be introduced to the public and compete in their first head-to-head challenge.

The competition over the following two days is a testament to the sophistication of modern farming and level of skill and knowledge required to be successful in the field. The top seven young farmers have made it through to the Grand Final by competing in their local district competition and taking first place in their Regional Finals.  . .

Successful annual conference for Rural Contractors NZ:

More than 100 agricultural contractors from all over the country met in New Plymouth, last week, for Rural Contractors New Zealand’s (RCNZ) annual conference.

Rural Contractors New Zealand is the only national association for rural contractors in New Zealand.

Last week’s conference saw Wellsford-based Steve Levet re-elected as president of RCNZ, with Southland’s David Kean re-elected vice-president. . .

 


Rural round-up

July 28, 2013

Macraes project praised – Dene Mackenzie:

Hopes are high the review of Oceana Gold’s operations – particularly of its Macraes gold project – will not cut deeply into the Otago economy.

Otago Chamber of Commerce president Peter McIntyre said yesterday many people in Otago were not aware that such a constructive mining sector operated within the region.

Macraes was estimated to be worth around $100 million annually to the regional economy. . .

Water collectives recommended – Sally Brooker:

Farmers need to continue with collective ventures for better water quality, Federated Farmers says.

The theme of partnership for water progress was discussed by a panel at the federation’s national conference in Ashburton on July 4. Speaking first, former Rotorua-Taupo federation president Neil Heather said collaboration produced ”powerful action”.

He outlined the gains made in cleaning up Lake Rotorua’s water pollution, saying farmers needed to become informed. . .

Fewer cows can mean better profits – Sally Brooker:

The traditional approach to determining stocking rates needs to change, DairyNZ representative Chris Glassey says.

Presenting a paper at the recent South Island Dairy Event at Lincoln University, he said incoming nitrogen limits would force change.

”The optimum stocking rate is never a constant. This paper challenges the belief that more cows means more profit.” . .

Kiwi shearers fleece British opposition in test series – Ruth Grundy:

The two-man New Zealand shearing team has won the British leg of its northern hemisphere series.

Rowland Smith, of Hastings, and Tony Coster, of Rakaia, beat Ulster at the Rickamore Shears in Ireland on July 13,notching up the third win on their four-event 2013 Elders Primary Wool United Kingdom Tour.

The pair opened the UK series a fortnight earlier with a loss to Scotland at Lochearnhead Shears but quickly bounced back with two wins over England. . .

Bee numbers on the rise – Tim Cronshaw:

Commercial bee numbers are on the rise in spite of the varroa mite disease which has plundered wild bee stocks.

Bees in managed hives were hit hard by varroa, but hive treatment has allowed them to withstand the disease and their numbers have grown as demand for honey production and pollinating crops has increased.

Registered beehives are up about 7 per cent to 450,000 from last year and rising since 2005 along with increasing numbers of registered beekeepers.

Federated Farmers North Canterbury chairman Barry Hantz said good prices for manuka honey had encouraged beekeepers to put in more hives, particularly in the North Island. . .

Didymo find ‘gutting’ – Rebecca Fox:

The battle to keep Fiordland didymo-free has been lost.

The invasive algae has been discovered in the remote Large Burn valley.

Western Fiordland was one of the ”last frontiers” to remain free of didymo in the South Island, despite it being originally discovered in the nearby Waiau River in 2004, Department of Conservation freshwater ranger Lyndsay Murray said yesterday.

”It’s pretty gutting really. It’s the first confirmed positive sample of a waterway west of the divide.” . . .


Rural round-up

July 14, 2013

Global forces need smart response – Sally Brooker:

New Zealand dairy farmers and milk processors need robust business structures to withstand market movements, Hayley Moynihan says.

Delivering a keynote address at the South Island Dairy Event in Lincoln on June 24, the Rabobank food and agribusiness research and advisory senior dairy analyst said milk price volatility was not going away. We needed to aspire to where there was opportunity to enter more lucrative markets.

Rising consumer expectations were presenting a continuing challenge, Ms Moynihan said.  . . .

Waikato farmers set the record for Agrecovery:

Federated Farmers is applauding the way Waikato farmers have embraced Agrecovery rural recycling. A record six tonne of hazardous horticultural, agricultural and veterinary chemicals was collected during the Waikato regional collection, finishing last week.

“Farmers are choosing to dispose of their chemical waste responsibly due to the convenience of the service,” says James Houghton, Federated Farmers’ Waikato provincial president.

“It is great to see increasing numbers of farmers using Agrecovery. It is another example of farmers changing their behaviour and working for the good of the environment without the need for legislation. . .

Warm, wet weather inhibits rabbits – Ruth Grundy:

Wet and warm springs and summers are keeping rabbit numbers down across Canterbury.

Environment Canterbury biosecurity team leader Brent Glentworth said for the past two seasons warm, wet weather during the first rabbit breeding cycle had been largely responsible for keeping the population in check.

Young rabbits had a low survival rate in those conditions because they succumbed to pneumonia or coccidiosis – a liver disease ”very prevalent” in warm, wet weather, Mr Glentworth said. . .

Mounting cost to irrigation schemes – Ruth Grndy:

Irrigation companies in the Waitaki river catchment are facing significant clean up bills after last month’s flooding damaged irrigation schemes.

Waitaki residents say the rain and flooding from the storm which lashed the country was the worst seen in decades.

The Danseys Pass bridge was destroyed after about 160mm of rain fell in the space of three days.

Maerewhenua District Water Resource Company chairman Kelvin Weir said the scheme had been ”very lucky” and ”survived pretty well” considering the amount of rain and high river flow. . . .

Irrigation extending potato, onion output – Ruth Grundy:

Easier access to water in Canterbury is not only fuelling dairying production but also a significant growth in the production of potatoes and onions.

The 2012 agricultural production census, conducted by the Department of Statistics, shows the Canterbury potato harvest accounted for half the national harvested area in June 2012.

And, the land put into onions increased from 690ha in June 2007 to 1040ha in June 2012 – about a 50% increase. . .

New ASB sponsorship will improve financial literacy of dairying women:

ASB has confirmed it is a new gold sponsor of the Dairy Women’s Network (DWN). The partnership, which took effect on 1 July, will boost the work already being done by the DWN to improve the financial literacy skills of the country’s dairy farming women.

DairyNZ modelling shows there is an opportunity to improve the industry’s profitability by more than $1B per year, or approximately $1000 per hectare, by improving financial literacy and management capabilities.

The industry body has also identified there is a significant range in profitability between dairy farmers, with a contributing factor being management capability. . .


Rural round-up

July 3, 2012

Agribusiness Man of the Year shares secrets of his business success – Caleb Allison:

Craig Hickson had no idea he would win agribusiness person of the year at the Federated Farmers awards in Auckland this week.

The Hawke’s Bay sheep farmer wasn’t there to receive the award as he is in Australia attending a lamb industry conference, but he told NBR ONLINE winning is a pleasant surprise nonetheless.

Modestly, he says he doesn’t know why he won, but says innovation has long been a focus of his company, Progressive Meats, which he started with his wife in 1981.  . .

Outlook is green for primary industries – Burce Wills:

Today, I am going to take a look at where we might be in the year 2020 and touch on some challenges ahead. 

A lot can change in eight years but much can also stay the same. 

In 2004, eight years ago, the Iraq war was one year old and Afghanistan was in turmoil.  Despite this petrol was under $1.10 a litre.  Meanwhile exporters faced a Kiwi dollar that was US$0.67 in January but ended 2004 at $US.71.  Some things never change.

For the year ending June 2004, our agricultural, horticultural and forestry exports came to around $18.5 billion.  In the year to March 2012, exports for the primary industries came to almost $32 billion. . .

That is a remarkable increase of almost 73 percent. 

Environmentally good practice wins – Sally Rae:

Blair and Jane Smith might have won the 2012 national Ballance Farm Environment Awards – but they reckon their    farming journey is just beginning.   

The North Otago couple were awarded the Gordon Stephenson Trophy during a function at Parliament Buildings that celebrated people farming in a manner that was environmentally, economically and socially sustainable. . .

Dairying needs to connect – Sally Rae:

Public perceptions of dairy farmers are probably better than farmers might think, but there is still room for improvement, DairyNZ chief executive Dr Tim Mackle says.   

A panel discussion, entitled Perception is Your Reality, was  held as part of the South Island Dairy Event in Dunedin.   

Public perceptions were important and DairyNZ surveyed the      New Zealand public twice a year and also held focus groups in the main urban centres. There was still “a fair amount of support out there for us”, Dr Mackle said.   

But farmers must “get things right” on the farm. . .

Horsing around serious pastime – Sally Rae:

Ask Tara McConnell how she fits everything into her day    and the answer is simple – with a head-light.   

Miss McConnell (24), of Flag Swamp, works as a shed-hand for      a shearing gang four days a week, but the rest of her time is      consumed with horses. . .

Key Opens New Zealand’s Advanced New Infant Dairy Formula Facility to Supply Global Demand:

After over 12 months preparation, New Zealand’s most advanced pharmaceutical grade infant dairy formula production facility opens to supply soaring demand overseas. .

The new facility was officially open by Prime Minister John Key on Friday 29th July 2012 and addresses a rapid increase in global demand and a shortage of high quality wet dairy infant formula products. By the end of 2012 it expects to annually produce over 20 million cans of infant formula for the export market.

Building a facility that provides pharmaceutical standard dairy formulas on a scale large enough to meet international demand was not easy.  It required over a year’s planning and a large investment in infrastructure, experience and technology. GMP pharmaceuticals already New Zealand largest pharmaceutical manufacturing and testing facility specializing in health supplements, was in a good position to meet the significant logistical requirements. . .

Harvest disaster hits wine price – Greg Ninness:

The days of quality Marlborough sauvignon blanc being available for less than $10 a bottle are ending as this year’s disastrous grape harvest starts to push wine prices higher. 

This year’s sauvignon blanc harvest was down 19 per cent on last year’s, and total production of all varieties in Marlborough, the country’s main wine region, was down 23 per cent. 

There are signs that this year’s much smaller vintage is already starting to lift wine export prices from recent lows. . .

Court slams Te Awamutu farm for illegal effluent discharge– Aaron Leaman:

A Te Awamutu farming company has with been hit with almost $32,000 in fines for dirty dairying after a helicopter monitoring flyover raised red flags with their operation. 

    Wyebrook Farms Ltd, owner of a farm in Candy Rd, west of Te Awamutu, has been fined $31,875 and ordered to pay $491 costs following a hearing in the Hamilton District Court. The company pleaded guilty to two Resource Management Act charges. . .

Fourth time lucky for Central Otago viticulture competition winner:

Central Otago viticulturist David Salmon took the honours at the regional Markhams Young Viticulturist of the Year competition on Friday (29 June).  This was Mr Salmon’s fourth attempt at the title, finishing runner-up last year, and was “over the moon” to win the competition.

“It has been an ambition of mine for a long time,” says Mr Salmon (30).  “This was my last attempt as I’ll be too old for the competition next year.  I’ve fought hard for this and it’s been my dream to represent Central Otago at the nationals,” he says.

Mr Salmon, who works at Kawarau Estate, Cromwell, took out the award against seven other local wine industry hopefuls, competing in a range of activities including wine taste-testing, pruning, hanging gates, fixing irrigation, testing their machinery handling abilities and finally delivering a speech on a given topic.

Michelle Dacombe from Felton Road Wines came second, improving on her third placing last year, and third place went to Jake Tipler from Peregrine Wines.  This was Mr Tipler’s first entry into the competition. . .

Pesticide programme pays off:

A research project to reduce the use of chemical pesticides on apple orchards has had a huge pay-off for the pipfruit industry.

Analysis by the New Zealand Institute of Economic Research has shown that the Apple Futures programme has been worth up to $113 million in export earnings in the past four years, for a research cost of just over $3 million. . .

The March edition of Countrywide is online here.

Aussie farm blogs many styles, many perspectives – Talking Fairleigh links to 50 farm blogs.


CPI up 1.6% dairy farm costs up 10% a hectare

July 15, 2008

Consumers and producers are counting the costs associated with rising inflation.

The Consumer Price Index  went up 1.6% in the June quarter and pushed inflation up to 4% while dairy farm working costs  rose 10% a hectare in the past year.

Specialist dairy farm and business management company, Farmright, surveyed 50 farms which the company manages and found that between 2006-07 and 2007-08, feed rose 25%, fertiliser 24% and freight and cartage 37% per hectare.

Farmright manager Jim Lee said fertiliser costs had gone up further since the survey was done, and wage costs were also creeping up on dairy farmers.

Wage costs only rose 3% last year, but newly negotiated contracts indicated that figure would increase sharply this year because of greater demand and a shortage of workers.

The shortage of staff is critical and it’s not helped by immigration policy which requries herd managers to have a bachelor’s degree or five years relevant work experience if they are applying for residency.

“We know from contracts being negotiated for new and existing staff being rolled over that there have been some increases.”

The cost of production, which included feed, run-off costs and cost of management, but excluded depreciation on the Farmright-managed farms, rose from $2.91 per kg of milk solids (kg m/s) in 2006-07 to $3.61 per kg m/s in 2007-08.

Mr Lee said drought and cost increases had an impact. But he said some businesses were now operating at higher cost structures than they would be aware of.

He believed some farmers would be faced with costs of $6 per kg, made up of $4 per kg farm input costs and interest costs of $2 per kg.

“Cost control and financial discipline are more important now than ever before,” he said.

It is easy to let costs get away when the payout is high but not so easy to rein them in when the price falls.

However, one of the speaker’s at last year’s South Island Dairy event (SIDE) conference told how he’d gone into dairying when the milk payout was $5.30 and the next year it went down to $3.60 – but they made more that season than the previous one because they were much more disciplined about containing costs.


Campaign Trail Can Be Lonely

June 24, 2008

Oh dear, it’s a lonely life for would-be Mps. Only six people attended a meeting with Act candidate and former Labour Finance Minister Sir Roger Douglas in Invercargill yesterday – including Sir Roger and his off-sider.

 

Maybe that’s why he turned up at the South Island Dairy Event later in the day – there are more than 600 people attending that conference providing a ready-made audience.


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