Rural round-up

February 23, 2019

Rural sector gives thumbs down to capital gains tax – Jamie Gray:

The rural sector has given an unequivocal thumbs down to the Tax Working Group’s recommendation to bring in an comprehensive capital gains tax.

The group has recommended the Government implement a capital gains tax – and use the money gained to lower the personal tax rate and to target polluters.

The suggested capital gains tax (CGT) would cover assets such as land, shares, investment properties, business assets and intellectual property. . . 

Fonterra farmers frustrated with DIRA – Hugh Stringleman:

The Fonterra Shareholders’ Council has called for an end to open entry to the co-operative and a clear path to dairy industry deregulation.

In its submission to the Ministry of Primary Industries review of the Dairy Industry Restructuring Act the council also called for an end to access to regulated milk by other export processors.

Goodman Fielder should be entitled to buy Fonterra milk for domestic purposes only, the submissions said.

Council chairman Duncan Coull also called for all other dairy companies to be required to publish their milk prices in a standardised form. . . 

Wool levy vote welcomed, but clear plan preferred – Ken Muir:

While farmers and industry leaders welcomed news that the Federated Farmers Meat and Wool Council voted last week to support a compulsory wool levy on wool producers, there was a clear preference for any such levy to be applied on the context of a robust business plan.

”We’ve had lots of different levies over the years for the industry and at the end of the day farmers saw very little return,” Waikoikoi farmer Blair Robertson said.

”Going forward we have to make sure the money gets to where it needs to be – marketing and promoting wool products to end customers.”

He said in the past bureaucracies had grown around the sector which chewed through millions of dollars while providing very little in return. . . 

Sexist comments on job ad damage New Zealand’s image, farmers warn – Esther Taunton:

Sexist responses to a backpacker’s job ad are a blow to New Zealand’s image and to an industry already struggling to find good workers, farmers warn.

Finnish traveller Mari Vahanen advertised on a farming Facebook page, saying she was a hardworking farmhand or machine operator.

The post received 1600 responses, but most of them focused on Vahanen’s appearance rather than her employment prospects.

Tararua dairy farmer Micha Johansen said the comments were a bad look for New Zealand’s agricultural sector and the country in general.  . .

Waikato farmers encouraged to plant trees to protect stock from summer heat – Kelly Tantau:

With temperatures soaring above 30 degrees in Matamata-Piako, a thought can be spared for the district’s livestock.

Cows prefer cooler weather, Federated Farmers Waikato president Andrew McGiven said, but farmers are doing well in ensuring their stock is protected during the summer season.

“Animal welfare and animal husbandry is probably the number one thing, because that’s what is earning you your income, so protecting and looking after them, but also looking after staff as well,” he said. . . 

Ninety seven A&P shows beckon – Yvonne O’Hara:

Geoff Smith attends as many A&P shows as he can during the season and there are 97 of them.

In his third year as the New Zealand Royal Agricultural Society’s (RAS) president, he spends time finding ways to ensure the shows remain relevant to their communities, as well as building relationships with other rural and civic organisations.

He is in Central Otago this week to go to the Mt Benger, Central Otago and Maniototo shows, as well as attending the society’s southern district executive meeting in Tapanui on Sunday. . . 

NZ company helping write global cannabis industry standards:

Ruatoria-based Hikurangi Cannabis Company has been in Rome this week participating in an international standards setting meeting for the cannabis industry. The meeting included recommended changes to the way cannabis is defined in both legal and scientific terms.

ASTM International, a global industry standards body with 30,000 members worldwide representing more than 20 industry sectors held a workshop in Rome under its technical committee D37 on Cannabis. The group of 600 industry experts are working to develop standards for cannabis products testing and production processes across the globe.

The group aims to meet the needs of the legal cannabis industry by addressing quality and safety issues through the development of classifications, specifications, test methods, practices, and guides for cultivation, manufacturing, quality assurance, laboratory considerations, packaging, and security. . . 


Rural round-up

November 18, 2018

Farming by consent – Neal Wallace:

The long-held notion of a right to farm is under threat as the list of farming activities requiring resource consent grows amid warnings it will expand further once the Government releases a new National Policy Statement for Fresh Water.

Mid Canterbury Federated Farmers president Michael Salvesen says while regulation will differ to reflect regional environments, the list of activities requiring consent will only grow.

“I think it’s pretty inevitable.” . . 

How much land can your cows buy? – Hugh Stringleman:

The affordability of farm ownership for sharemilkers has taken a turn for the better and there might be elements of a buyers’ market, Federated Farmers sharemilkers chairman Richard McIntyre says.

Figures from DairyNZ on the 2017-18 season, as graphed by James Allen of AgFirst Waikato, show the number of cows needed to buy a hectare of dairy land is just over 20.

That has improved from 23 cows the previous season.

For the Fonterra share requirement an intending farm buyer has to add the value of three more cows at the market price of $1600/cow. . . 

Six commitments to improve waterway continue to drive action:

One year on from the launch of an ambitious plan to help rebuild the health of New Zealand’s waterways, Fonterra is showing progress with more Sustainable Dairy Advisors on the ground and actions taking place across the country.

In November 2017, Fonterra announced six commitments to help protect and restore water quality in New Zealand.

“Fresh water is such an important topic for New Zealanders so we want to keep people regularly updated on our commitments and be open about our progress,” says Carolyn Mortland, Fonterra’s Director of Sustainability. . . 

Year round promotions entrench NZ venison in Europe:

The northern European autumn and winter ‘game season’ remains a key market for NZ venison, even with the industry’s success in building year-round venison demand in other markets. The region is also breaking with tradition and slowly developing a taste for venison as a summer grilling item.

Deer Industry NZ (DINZ) venison marketing manager Nick Taylor says exports of NZ venison to northern Europe for the 2018 game season are expected to be worth about $70 million, about 35 per cent of total venison exports.

“Because of successful market diversification, the percentage is well down on what we were seeing 10 years ago, but the northern European game season remains and is likely to remain one of our most important markets,” he says. . . 

Rabobank Wine Quarterly Q4: Building deeper consumer relationships priority in increasingly crowded market:

Building deeper relationships with consumers is becoming a priority for the wine industry in an increasingly crowded market, according to insights from a recent US industry symposium in California.

Rabobank’s latest Global Wine Quarterly says the Wine Industry Financial Symposium, in Napa, heard rising competition at retail level and declining traffic at tasting rooms was seeing US wineries focus on developing deeper, stickier relationships with consumers. The report says a growing number of software packages and services were becoming available to help wineries identify and target their ideal consumers, with a strong future seen for these. . . 

Decline in wine consumption impacting NZ industry :

While five million glasses of New Zealand wine are consumed around the world every day, consumption in some key markets is actually declining and the industry is starting to see the impact, says wine writer Michael Cooper.

Michael, who launches his 27th annual wine guide today (New Zealand Wines 2019: Michael Cooper’s Buyer’s Guide, published by Upstart Press), has noticed how trends in alcohol consumption are having a flow-on effect for Kiwi vineyards and wine exports.

“In the UK, a key export market for NZ wine, nearly 30 per cent of people aged 16 to 25 now avoid all alcoholic beverages, including wine,” says Michael. “The only age group which is drinking more wine is the oldest – those in the 65-plus category. There are clear signs of a similar pattern in New Zealand. I see many people in their 20s who either don’t drink at all or only very occasionally.” . . 

Productive avocado orchard in sought-after Northland location placed on the market for sale:

A medium sized and well-established avocado orchard in the heart of Whangarei’s foremost avocado growing district has been placed on the market for sale.

The 6.5-hectare property at Maungatapere on the western outskirts of Whangarei sits in a valley which was once a dairy and beef farming strong-hold, but is now Northland’s most concentrated conglomeration of avocado and kiwifruit orchards due to the location’s deep fertile volcanic soil base. . . 


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