Dairy News 11 Feb 2014 by Rural News Group

PKE screening to bring biosecurity benefit. PAGE 7

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FEBRUARY 11, 2014 ISSUE 306 // www.dairynews.co.nz

CLEANING UP OUR ACT “Quality includes making sure how milk is produced on farm.”

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DAIRY NEWS FEBRUARY 11, 2014

NEWS // 3

Quality milk producer status faces EU test PAM TIPA pamelat@ruralnews.co.nz

MILK QUALITY will be a key con-

Water war looms in Waikato. PG.12

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cern as New Zealand faces increasing competition from Europe – and that includes practices inside the shed, says Dairy Women’s Networks new chief executive Zelda de Villiers. Pricing is easy for New Zealand to compete on, but milk quality will come into focus as the EU deregulates, de Villiers told Dairy News. When she worked with DeLaval in Sweden as a global analyst, they tracked a few markets including the US and the EU as a whole in terms of production and where milk prices would go. “And we tracked New Zealand because it drives the global milk price and it’s such a big proportion of the traded dairy com-

modities. What happens in New Zealand, whether there’s a drought or over-production, affects the global dairy market.” But it will be a more competitive market for New Zelda de Villiers Zealand products as the EU deregulates and quotas are removed. “The New Zealand industry will have to make sure it meets the standards the world has set. “Pricing is always easy for New Zealand to compete on because it is a relatively low-cost producer. For many years we looked and we thought South America – especially countries like Argentina – had the potential to be a New Zealand, but

politically they’ve never been able to really get it going.” But quality will be a key in the face of EU competition. “Quality includes how milk is produced on farm -- making sure farmers produce milk the cleanest possible way until it leaves the farm gate, using good farm practice. Quality can also mean making sure cows are healthy and using good routines in the dairy shed.” Environmental issues will also come under pressure. “We saw that in DeLaval... in the last year or two – the consent period for a farmer to build a new dairy shed parlour takes longer, and you can see those pres-

sures mounting,” she adds. She agrees robotics has been slow to come to New Zealand – but it starts slowly anywhere in the world. “In Europe as well it started off slowly, and then it just absolutely exploded.” Bigger farms in the South Island will lead to more robotic units. But the New Zealand dairy industry as a whole will keep growing and evolving. “The New Zealand dairy industry has grown by putting a lot more cows on the land and at some point that will have to stop,” she says. “We are not there quite yet but at some point if you want more production you will have to produce more per cow.... change your system, bearing in mind the environmental impact. “It’s an interesting time for the New Zealand dairy industry.”

Strong GDT result bodes well WORLD DAIRY markets continue to edge Jobs galore in ag sector. PG.30

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higher, even in the face of an increased offering from New Zealand. Last week’s GlobalDairyTrade auction closed with the index across all commodities up 0.5% with butter and whole milk powder, up 2.6% and 1.4% at US$4775/t and US$5005/t respectively. Skim milk powder was unchanged, while all other commodities eased, cheddar falling hardest, down 4.3% to US$4935/t. Rabobank director of dairy research New Zealand and Asia, Hayley Moynihan, said the sale was “quite a strong result” overall, particularly given Fonterra’s pre-sale 3.7% increase in forecast sales volume for the coming year. “Whole milk powder was up for April and May

which is an indication there are a number of buyers who are still keen to secure New Zealand product for that period. It’s an encouraging result to see prices up that far out.” Butter’s bounce was another positive, “rebalancing” the price spread with other commodities as it has lagged in recent months. Moynihan says China’s demand continues to dominate – last year it imported 890,000t from New Zealand, a 39% increase – but prices are underpinned by a host of other countries trying to secure supplies. “Our view is China imported so much in 2013 that a lot of other buyers effectively were going hungry because they’ve not been able to secure product. They’re looking to come back into the

market, particularly if there’s a sign of China’s buying starting to ease.” The latest nine months of New Zealand export data show Venezuela, Algeria, Saudi Arabia and Iran all took substantially less dairy product than normal, she notes. While Fonterra has increased the amount it expects to offer on GDT for the coming year, volume at last week’s sale was back 7.6% on the same time last year. “That volume can be influenced by production but the current season is well ahead of last year,” noted Moynihan. Hence the reduced volume last week was more likely a reflection of Fonterra’s marketing decisions. – Andrew Swallow

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DAIRY NEWS FEBRUARY 11, 2014

4 // NEWS

Dairy poised to grow further PETER BURKE peterb@ruralnews.co.nz

DAIRY IS perfectly poised to become the most trusted source of protein for diets for all age groups and all markets, says Fonterra director John Monaghan. He told a meeting of 100 business people in Dannevirke last week that

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child, or paediatric, nutrition is the fastest growing dairy category in the world. He says parents are demanding dairy products to support growth in development of children and babies. Monaghan and Carolyn Mortland, Fonterra’s policy manager, were invited to the meeting to explain what the cooperative is achieving globally and how it’s managing sustainability issues. Monaghan said there is a clear opportunity to extend dairy further as a trusted nutrition for mothers and babies and to the elderly where there is extra demand from older consumers wanting to stay fit and active. “Our focus is on developing dairy products that supply nutrition for the elderly. These products are designed not only to provide a nutritional diet but also to help increase mobility. “Another focus is on consumers who eat convenience food such as pizzas, yogurts and takehome meals. It’s an area

which relies heavily on innovation particularly as the world demands convenience foods that are better for you, and it’s an area where we see continued growth.” Monaghan says demand for dairy is greatest in ‘emerging markets’ where there are at least two billion consumers. By 2020 there will be 500 million more ‘new middle class’ people. “We are not trying to feed the world, we are trying to feed those middle class customers who can afford to pay us well for our products. There is a new generation of consumers with more money to spend.” Demand in China from bakeries for cheese and cream is growing hugely with cities such as Shanghai experiencing annual growth of 20-30%. As an example of dairy industry growth, Monaghan notes that every 35 seconds a shipping container is loaded for export by Fonterra. He says the co-op also collects 22 billion litres of milk a year – two thirds of it from

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New Zealand farmers. On environmental issues Mortland told the meeting that Fonterra and its farmers recognise the need to meet the changing environmental requirements of regional councils. She says Fonterra is putting significant resources into this area because it recognises much of its competitive advantage comes from the country’s ‘natural bounty’ such temperate climate, good soils, great pasture and fresh water. “As stewards of the land we understand these natural resources underpin and support farmers’ businesses and our cooperative. We conduct 10,600 environment farm visits every year. And farmers have fenced 24,000km of waterways and have done 4000 effluent improvement projects. This means one third of our farmers have invested capital and changed systems or management practices to ensure their effluent systems are capable of complying with regional council

Demand from Chinese bakeries for cheese and cream is growing.

requirements for 365 days of the year.” Mortland says the chal-

lenge for councils is to get a regulatory framework that allows for respon-

sible, sustainable and profitable use of natural resources.

Alliance’s letter on Monaghan ALLIANCE GROUP

has taken the unusual step of sending letters to all shareholders to clarify the status of John Monaghan’s bid to become an independent director.

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The letter essentially confirms reports in Rural News February 4, and in this edition of Dairy News (p8), that Monaghan has ruled himself out of contention because he won’t submit to the process the Alliance board has set up to make appointments. Other news media have speculated that Monaghan was still in contention for a directorship. In the letter to shareholders, the meat co-op chairman Murray Taggart says, “I spoke with John [Monaghan] about the process and invited him to submit

his CV and meet with the independent consultant to discuss the role. I understand John then indicated he was reviewing his position and as a result did not meet with the consultant to participate any further in the appointment process. As such he is no longer under consideration for the vacant position.” In the letter Taggart also confirmed that the board is planning to have only three independent directors, despite being able to appoint four. – Peter Burke

DAIRY NEWS FEBRUARY 11, 2014

NEWS // 5

A global touch for dairying women PAM TIPA pamelat@ruralnews.co.nz

FROM THE savannahs of South Africa to the green fields of the Waikato – the poor rural areas of her home country to European affluence – Zelda de Villiers has always been involved in agriculture. The new chief executive of Dairy Women’s Network brings a myriad of international agricultural experiences to the position. Just four days into the new job, de Villiers, who was managing director of DeLaval NZ, spoke to Dairy News about her background. “I come from the wide open spaces of South Africa,” she says of her childhood growing up on a beef and lamb farm in the ‘highveld’ area about two hours south-east of Johannesburg. Their farm was open savannah and in the grain belt of South Africa. It was a harsh environment. Cattle graze on the ‘veld’ or pasture in summer, but in winter it becomes dry and brown, cold and windy. Stock must be fed throughout winter and are highly susceptible to diseases and parasites. Dipping and vaccinations are a high priority. “There’s a lot of commercial beef ‘lotting’ in South Africa; our farm was more natural grazing with some supplement of feed produced on farm for winter. We were close to the cities... so typically we sold those weaner calvers at six months.” “The carrying capacity is much lower, they had 900ha with about 400 cattle and 400 sheep.” She kept horses and competed in show jumping. “It was a good lifestyle,” she says. She completed two degrees: in

Zelda de Villiers took over as DWN chief executive this month.

veterinary nursing and an honours Kenya. “Again I was looking at the degree in agricultural economics, rural communities and how farmstudying at the University of Pre- ers could get to market easier.” Her husband then got a job offer toria. De Villiers was then one of five people in South Africa selected from DeLaval and they moved to for a bursary scheme for postgradu- Sweden. Zelda began consulting for the company on ate students who a strategic plan, went on to work “I come from a looking at where at the Developstrong strategic milk production ment Bank of would grow globSouthern Africa. background. I “It was just understand how to ally. “That’s how post-apartheid take strategy in a I started with and South Africa complex business DeLaval; eventuwas gearing up to ally I became the develop the rural environment.” head of the stratareas,” de Villiers says. She worked mostly on irriga- egy unit globally.” In 2009, the family moved to tion projects and other schemes to New Zealand and “the intention uplift the rural poor. “I then moved to the commer- was always to stay and not move cial banking sector where I started again,” she says. She initially on the risk analysis side,” she says. worked in R&D on equipment With the arrival of the first of for grassland farmers. New Zeaher two sons she looked for a more land was head office for that unit, flexible career and worked in rural although the equipment was being banking, getting to know many dif- developed for five other countries as well. ferent agricultural enterprises. She moved into marketing for As the children grew, she returned to the development Australia, New Zealand and subsector, working with a company Saharan Africa. “I was from an anaadministering US aid in African lytical background and that gave counties such as Tanzania and me the opportunity to develop a

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marketing flair.” After three years she moved to head sales for New Zealand so became the managing director for New Zealand. “In all the roles I had in DeLaval in NZ, I was developing the sales teams, the marketing teams and developing peoples’ potential, I really liked that. I am from an analytical, financial background but I realised developing people was what I most enjoyed.” She had been impressed with the Dairy Women’s Network through earlier dealings over sponsorship and found last year’s conference in Nelson inspiring. “So when the job became available I thought it a good match for me personally and for the network.” She feels fortunate to have been chosen. “Coming from Africa where I worked in the development sector I understand the importance of women in the rural communities. They are often not noticed but they play a pivotal role. If you can’t develop the women you can’t develop the community.” The Dairy Women’s Network is a successful organisation that has grown phenomenally but also has great potential. “I come from a strong strategic background. I understand how to take strategy in a complex business environment and bring it down to basics... and how to implement it. This is a strength I can bring to take Dairy Women’s Network to the next level.” But de Villiers says firstly she must find her feet and get to know the people. “I also want to understand the organisation, its strengths and weaknesses and work with the board… then I’ll take it from there.”

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6 // NEWS

Oz farmers welcome Saputo SUPPLIERS OF Australian dairy processor Warnnambool Cheese and Butter have welcomed Saputo’s successful takeover with hope it will lead to better prices for farmers and more confidence in dairying. Shareholders are also enjoying a financial windfall after Canadian dairy giant Saputo bought more than 75% of the WCB shares at A$9.40 per share. The takeover has been well received by most local suppliers. Coragulac farmer Shane McCarthy sees it as a positive for suppliers. “I went to the forum with Lino Saputo and was impressed with the way he spoke,” McCarthy says. “I hope it lives up to the promise.” Saputo, Bega Cheese and Murray Goulburn cooperative were involved in a prolonged three-way battle for WCB. Bega Cheese has close trade links with Fonterra. Last October Fonterra bought a 9% stake in Bega. The battle for WCB ended when Bega and Murray Goulburn sold their shares to Saputo.

Warrnambool cheese and butter is now owned by Canadian processor Saputo.

McCarthy says he was happy with how WCB had been operating prior to the takeover, but was now hopeful of better milk prices and stronger competition for suppliers. “I think it gives us a more certain future and it should keep up competition to attract farmers.” The supplier of 11 years has sold his shares. “It’s a nice windfall, but not a huge amount,” he says. Condah’s Kirsti Keightley predicted Saputo would bring an injec-

tion of money into manufacturing in the region. “We need to get more young people in dairying and increase production. Saputo has indicated it is willing to expand the plant which shows they have confidence in the future,” she says. “They wouldn’t invest if they didn’t have confidence and the only way they can be profitable is if suppliers are also profitable. “I think it will be a good thing.”

Drumborg farmer Arthur Peters says Saputo’s plan to keep existing staff was good for the business. “In a way I would have liked it to stay Australian owned, but you have to have competition and like all farmers I hope this leads to better prices. “I think it’s a good result.” A WCB supplier since 1990, Peters says the sale of his shares would be helpful “but it depends on how much capital gains tax will be”.

Long search for industry champions JUDGING FOR the 2014 New Zealand Dairy Industry Awards regional finalists has started. National convenor Chris Keeping says the launch of regional preliminary judging signals the start of the process to whittle down the 572 entrants to 33 regional winners and then three national winners. “It is a long process that involves a lot of planning and preparation by our entrants and considerable time by our teams of voluntary judges,” Keeping says. “It is also a satisfying time, as entrants gain insights and valuable feedback from the judges and judges gain satisfaction in assisting people to progress in their career and in the dairy industry. The judges generally learn a thing or two from the entrants too.” Southland Otago will announce its regional winners on March 1, while the Northland region is the last to name its winners on March 26. The 11 regional competitions offer prize pools valued at up to $80,000. Keeping says most regions held entrant information events last month to tell entrants what to expect and how to prepare for the judges’ visits. “We worked hard to make the events fun, as we aim to make the awards experience an enjoyable one where entrants have some social time and connect with others with similar goals and interests to their own,” she says.

DAIRY NEWS FEBRUARY 11, 2014

NEWS // 7

Biosecurity benefit in PKE screening ANDREW SWALLOW andrews@ruralnews.co.nz

WHILE THE Ministry for

Primary Industry denies it, a requirement to screen all PKE before delivery to farm will have a biosecurity benefit, says the coauthor of a report which highlighted potential pitfalls of imports. “The potential for extraneous contamination was a concern and although the ministry’s move is made on the grounds of animal welfare, screening of PKE on arrival was one of our recommendations,” MidCanterbury cropping farmer David Clark told Dairy News. “So we’re pleased with this outcome both from

an animal health point of view for the dairy industry and for the whole of New Zealand from a biosecurity point of view.” Clark was one of two Federated Farmers Grain & Seed representatives who went to Malaysia in 2012 and inspected two PKE production facilities -- one officially, the other unofficially. They subsequently lodged a report with the ministry, prompting a ministry review of import procedures and inspection of facilities overseas. Last month MPI presented a final draft of an ACVM notice which will make 4mm screening of PKE in New Zealand mandatory from April 21. Announcing the move, MPI made much of the

hardware disease (see sidebar) risk powed by PKE but dismissed any biosecurity benefit, saying existing biosecurity requirements adequately and effectively manage issues related to biological contamination, but do not, and cannot, cover physical contaminants and consequential impacts on animal welfare. “The method of processing, storing and transporting PKE varies, which makes it difficult to manage the quality of feed to the farmer,” MPI deputy director general Ben Dalton said. “Mandatory screening on arrival means that animal welfare risks are managed as far as possible through the supply chain.” Besides screening

requirements for PKE, the new rules outline record keeping and traceability requirements for all imported animal feeds.  RD1 told Dairy News it routinely screens its PKE anyway so the ministry requirement won’t add any cost to its operation. It would not comment on whether mandatory screening was a good thing, but Winton Stockfeeds welcomed the move. “We’ve always screened all our PKE for the benefit of our customers so it won’t make any difference to us but it has to be a good thing for the industry’s credibility and as an assurance for farmers using the feed,” operations manager Paul Jackson told Dairy News. “We do recover the odd

bit of metal from time to time but we’ve never really had anything organic in it; certainly never parts of a sheep or goat or whatever it was,” he added, alluding to the discovery last year of an animal’s leg, thought to be a sheep’s, in a con-

MPI is proposing screening all PKE delivered to farms from April 21.

signment of PKE on a Bay of Plenty farm. Federated Farmers president Bruce Wills says the screening require-

ment should improve confidence in PKE as a feed, both from a biosecurity and animal welfare perspective.

HARDWARE DISEASE SOCIETY OF Dairy Cattle Vets president Neil Macpherson says hardware disease, caused by metal perforating the wall of the cow’s first stomach, the reticulum, is more of an occasional rather than a common problem in New Zealand herds. “It’s a low incidence but it can be quite hard to diagnose so cases may be missed by the farmer and even the vet.” Symptoms may include a cow being off colour, off food, a high

temperature (initial stages only), marginally bloated and constipation. Confirmation of diagnosis typically comes from surgery or possibly post-mortem if the animal dies or is culled. As the reticulum sits just behind the diaphragm and close to the base of the heart sharp objects penetrating the reticulum wall may also pierce the diaphragm, and cause damage to the heart and peritonitis. “It can be fatal.”

DAIRY NEWS FEBRUARY 11, 2014

8 // NEWS

Feds chief to quit PETER BURKE peterb@ruralnews.co.nz

OUTGOING FEDERATED Farmers chief exec-

utive Conor English says the growth enjoyed by the dairy industry for six years is likely to continue if the payout remains high.

His comments coincide with news that he will in mid-year quit the top job at Feds, coinciding with the annual meeting and the election of a new president and board. He points out the industry has been in the spotlight, especially in the past two years, for reg-

ulatory changes relating to TAF, raw milk and RMA-related matters. And movement of people into the industry has been an issue, driven by the profitability of the industry’s profitability, he says. English has been at helm of Federated Farmers for six years and says

it’s the right time to move on. He says he’s proud of the achievements during this time. “I grew up in a household that talked a lot about the ‘three Ps’ -- the prime minister, the pope and the president of Federated Farmers. It has been a great privilege for me to

lead this organisation in the capacity of chief executive and to serve our fantastic farmers and rural community.” Regaining the credibility of Federated Farmers is seen as another of English’s achievements. “Our credibility is not in question now. We are

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plugged into Wellington, and the thing farmers need to understand is that Wellington is dramatically different from the provinces. “The way Wellington operates is different from how a farm operates and that’s why you need an organisation like Feds and people like myself and other staff here who can navigate the rabbit burrows in Wellington. “We are seen as a credible organisation and

there is no one I ring who doesn’t return my phone calls.” Federated Farmers president Bruce Wills praises the contribution made by English, saying they “will miss his energy, skill, talent and experience”. Wills applauds English’s six months notice, saying it will smooth the transition to a new chief executive. English has not been specific about his plans after Feds.

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facing an uphill battle to get himself appointed an independent director of meat processor Alliance Group. Monaghan has put his name forward for the position and is strongly supported by the Meat Industry Excellence (MIE) group. “There is groundswell among farmers for change and that’s signified by the [Alliance] election results and the shareholders resolution as passed at the Alliance meeting AGM,” he said. “Nothing has changed from that and I have given a commitment that I am available.” But this is where there is an impasse. The Alliance board has employed a consultant to ‘head hunt’ and draw up a short list of contenders for the third independent directorship. It’s understood the board seeks a director with Asian experience – something Monaghan does not have. Also, the chairman of Alliance, Murray Taggart, has made it clear they will not appoint anyone who declines to go through the ‘consultant process’. Monaghan told Dairy News he has not withdrawn from that process and is “reviewing” his position. “But I am not prepared to go through the consultant and through a process which is a façade. However I remain committed to helping the red meat sector and getting on the Alliance board.” Monaghan says Alliance has the ability to appoint a fourth independent director and that he is available for that position as well. But Taggart says even if the board decided to appoint another director, applicants would still have to go through the consultant process Monaghan is skeptical of. “It’s no different from the way Steve Hansen picks the All Blacks. Does he hold a trial and get the best person for the role, or when there is a group of provincial officials lobbying for their provincial player does he appoint that person? The answer is obvious.” Regardless of what the MIE may say and what Monaghan may think, it’s clear the Alliance directors are unmoved by lobbying to change their process. Unless Monaghan submits to the consultant process, which is similar to one that Fonterra runs when selecting directors, it seems his only way of getting on the Alliance board would be to be elected as a farmer representative. That would require him to buy stock and supply Alliance. – Peter Burke

DAIRY NEWS FEBRUARY 11, 2014

NEWS // 9

Focus farm production boom THE NORTHLAND

Focus Farm is on track for a 27,000kgMS increase this season – a success which will headline its field day on February 17. Farmers are invited to hear what is leading to this season’s production increase, which farm owners Alister and Lyn Candy say is the result of “good, practical farm management”. The field day is themed ‘Building a stronger business’. “The milk production gains have been largely

driven by better utilising pasture and achieving cow condition targets,” says Alister. Topics to be covered include reproduction and young stock results; how to reduce farm working expenses; managing and capitalising on a high milk price; the likely risks and rewards of extending lactation this season and the farm’s shift to land effluent irrigation from a discharge system. Alister says the focus farm’s key goal this season

was to reduce farm working expenses to under $4/ kgMS, while still increasing milk production. “To meet this goal we needed to decrease expenses by about $1/kgMS,” says Alister. “We’ll be sharing the steps we took at the field day, what worked well and if we reached our target.” Guest speakers will include local dairy farmer and accountant Charmaine O’Shea, dairy farmer Roger Hutching and Northland regional ANZ manager Robert

Sparrow. They will share their knowledge on taking advantage of the high milk price to build a stronger business. “This season has presented an opportunity to build resilience into the farm business and it’s important to determine where additional spending will deliver the best returns,” says Charmaine. The farm’s management team will share practical pasture management tips for the upcoming season. The focus

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phen and Mary Barr say many people are more interested in where their food comes from and how it’s produced. They have just opened a self-service ‘milk shop’ at their farm on the outskirts of Feilding where people can buy their A2 milk. They told Dairy News their newly opened shop is drawing much positive feedback from customers who like the idea of buying milk from the farm and seeing where it’s produced. “People tell us they love our shop. We have a [feedback] book... gleaning comments such as ‘better than Rainbows End’, ‘good milk, awesome shop’. The really nice thing is that a lot of families come: mum, dad and two or three kids,” says Mary. To supply their shop Barrs had set aside a special herd of 22 A2 cows. “The people like the fact they are

will be on managing the risk of cows not reaching the target body condition score at calving and the risks and rewards of extending the milking period this season. The farm is also moving to a land effluent irrigation system and the team will share the most important aspects to get right in this transition to reduce risk. DairyNZ’s Northland regional leader Tafi Manjala encourages farmers and rural professionals to attend

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getting the whole product: they are not having stuff extracted out of it and the milk put back together; it’s just as it comes out. The customers can even see the cows it’s coming out of if they want, because we keep them nearby and people can walk out and see the animals. We milk the A2 first in the morning, but they get a

lot of extra teat preparation and sanitation before the cups; that’s how we keep the bacteria low. It’s much lower than if it was just milk going into the vat,” says Stephen. Barrs say they sell about 100L a day but hope to grow this to 500L. Bridging the gap between town and country- pages 14-15.

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NEWS // 11

New term flourishes in nutrient management ANDREW SWALLOW andrews@ruralnews.co.nz

THERE’S A new term emerging in nutrient management and environmental regulation and if you haven’t heard it yet, it’s likely you will soon. It’s ‘Matrix of Good Management’ and refers to a project to put numbers on nutrient losses under what’s currently considered good management practice for different land uses, soils and climates. “The problem is that the impact of good management practice (GMP) is not particularly well understood,” AgResearch senior scientist Melissa Robson explained to one of Environment Canterbury’s regional zone committees last week. “We don’t know what GMPs mean in terms of nutrient footprints…. When you start to try to work out catchment loads the fact we don’t know causes a bit of a problem.” Robson is working for Environment Canterbury to develop the matrix which, it seems, will ultimately drive water policy, and in due course water quality, in the region. Already it’s attracted the attention of other regional councils as they grapple with implementing the National Policy Statement for Freshwater Management. “We had a day on it at the end of October last year that was attended

by seven or eight other regional councils, central government, Federated Farmers -- there was a lot of interest,” Robson told the Orari-Opihi-Pareora zone committee meeting in Timaru. “All councils are struggling with this. Nobody knows how to translate good management practice into something numeric.” The matrix, which is an evolution of what were being referred to as “look-up tables” for nutrient losses according to land use, will be developed by consensus between Environment Canterbury, primary sector organisations, Crown Research Institute scientists and farmers. “We’re using farm surveys to capture the range of what’s going on out there.” Overseer will be the “translation tool” to convert what’s agreed on as being GMP for a particular land use into a nutrient loss figure for particular soil types and climates, and hence to populate the matrix with figures. Where Overseer is recognised as not being ideal, such as for modelling intensive cropping, or cattle wintering, another model is being used “to support development of Overseer,” Robson told Dairy News. As new versions of Overseer are introduced a software ‘widget’ developed as part of the project will enable the matrix to be rapidly

updated. Robson says the “first iteration” of the matrix for Environment Canterbury must be completed by June 2015. “But some of the other

regional councils are saying to us they don’t want to wait until June 2015 to hear about this so we’re keeping them updated as we go along.” Once the matrix is

complete it will help catchment committees such as the Orari-OpihiPareora zone, and regional councils, determine nutrient loading by catchments.

Melissa Robson, AgResearch.

PCE slams water plan THE PARLIAMENTARY Commissioner for the

Environment, Dr Jan Wright, has slammed current proposals for freshwater management as inadequate. In her submission on the Government’s National Objectives Framework and amendments to the National Policy Statement for Freshwater Management Water, she says the big challenge is the nitrate runoff from the large-scale conversion to dairying. “Leaving this pressure unaddressed will result in a worsening of water quality in the short to mediumterm and make the job of improving it much harder and more expensive in the long term.

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12 // NEWS

Water war looms in Waikato PETER BURKE peterb@ruralnews.co.nz

James Houghton

A WATER war is looming in the Waikato with farmers unhappy that Watercare Services which supplies water to Auckland wants to take more water from the Waikato River.

Watercare has lodged a consent with Waikato Regional Council to more than double its present take of 150,000 cubic metres a day. This move has drawn a sharp response from Federated Farmers Waikato provincial president, James Houghton who wants Watercare to fund an envi-

ronmental impact report on this move before any consent is granted. Houghton says if Watercare get the full allocation of 200,000 cubic metres a day with its new consent, all farming operations in the region will suffer. “It is an easy option for Watercare Services to

come and take our water but it’s going to inhibit growth and opportunity in the Waikato,” he says. “If Watercare get the water they want it will mean that the Waikato catchment will be over allocated and so there will be no water available for any new business opportunities in the Waikato. It will also mean that other consents will have to be scaled back meaning less water for dairy farmers, commercial growers and others who use water from the Waikato.” Houghton says WRC needs to be thinking about the ‘long term game’ and not give away Waikato resources which are needed to maintain and grow the local economy. Auckland is simply siphoning off Waikato resources, he says. “Auckland has long been facing resourcing and infrastructure issues due to its

growing population, but why should Waikato lose out as a result? If Auckland is expected to grow by 800,000 people in the next 30 years they need to come up with a long term and sustainable option rather than leaning on their neighbours,” he says. Houghton says from the data he has seen, Aucklanders do not waste water and are one of the country’s most efficient users of water. But he says this is not the issue. The issue is about the impact of taking water from the Waikato which will limit growth opportunities there – especially for the primary sector including dairying. Meanwhile Watercare Services says it doesn’t have any comment on the issues raised by Houghton. But it says the water will be taken about 40km from the river mouth and this would not affect the volume of water upstream.

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LANDCORP CHAIR Bill Baylis will step down in April. Baylis says he had derived much satisfaction from successfully overseeing an important transition within the state-owned farmer with a wide ranging strategic review. The SOE is in very capable hands, he says. “It has a new CEO and a revitalised executive leadership team committed to driving sustainable performance. By the end of April we will have completed our strategic review and refreshed our strategy,” he says. “Landcorp has a board that is focused on delivering increased value for the benefit of its shareholders and the people of New Zealand.” Landcorp’s deputy chair Traci Houpapa says Baylis’ decision to stand down from the top job “was received with regret”. “The board and staff of Landcorp join me in thanking Bill for his contribution and we wish him well in whatever new challenges he takes on.” Appointments to SOE boards are made by the Minister for State Owned Enterprises and Baylis’ successor is expected to be announced soon. Last week the state farmer announced a solid half year ending December 31, 2013, supported by favourable growing conditions and record milk prices. It recorded a net operating profit of $12.2 million for the six months. On current forecast, Landcorp says its full-year net operating profit should reach $35 million. Dairying income has increased by 58% to $74.8 million. Payouts from dairy companies for 2013-14 are forecast to be at record levels, above $8/kgMS. The increase also reflects the increased production from a sharemilking arrangement with the Shanghai Pengxin Group which started on December 1, 2012.

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14 // NEWS

A2 ‘milk bar’ a hit Organic dairy farmers are among the prime movers of farmgate milk sales. Now a different type of milk is being sold in a sophisticated way near Feilding. Peter Burke reports. STEPHEN AND Mary

Barr run 850 cows in two herds on their farm Arran, named after Isle of Arran off the west coast of Scotland where Stephen’s folks came from.

Stephen Barr and his elite A2 herd.

The Barrs are known as technology-savvy farmers and their decision to set up a ‘milk shop’ at the entrance to their property near the Feilding airfield didn’t surprise

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many people. Stephen is a supporter of A2 cows and has been breeding them for 14 years. He advocates the health benefits of A2. “People can have intolerances to the normal A1 milk, but with the A2 we have people reporting their asthma is improving and people who haven’t been able to drink milk because they have reactions to it are now drinking A2 milk,” he says. Mary says they’d been looking for some time to find a way to add value to their milk. “We looked at cheese making and it wasn’t for us, then we read about people using milking vending machines in the South Island. So in February last year we went to Golden Bay and Nelson and looked at machines down there and thought ‘that’s for us, we can do that’.” The result one year later is a smart, well branded ‘milk shop’ with excellent parking and easy access. The shop itself is well laid out: customers can buy glass bottles and carrybags from one vending machine then buy milk from another. ‘Arran Farm’ leaflets explain the farm’s size, stock numbers, total milk production and individual cow production. A simple narrative tells about the life of a cow to help city folk understand how a dairy farm works. “There are many people locally who sell

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One of the milk containers in the vending machine.

organic milk at the gate but our point of difference is that our milk comes from A2 cows and that’s becoming more popular for people for health reasons. We wanted to create a site people would like to come to and where they could park and get in out of the rain. It’s self-service shopping 7am to 7pm seven days a week. We wanted people to trust the milk because it’s a food like anything else so we felt the shop was vital to creating the right perception. You wouldn’t go into a grungy place to buy food so we wanted to have a clean environment,” says Mary. For customers who struggle to understand the vending machine, a simple system allows a call for help to the Barrs. Mary will often head for the shop for a chat with customers. One of Barrs’ goals is to help bridge the gap between town and country; the milk shop at Arran Farm is doing that. “There is nothing like coming in and buying your milk and seeing the cows it comes from to make that link. Over time we’ll have newsletters about what’s happening on the farm and we’ll slowly ramp up the information so people will get a bit more familiar with what’s happening here,” says Stephen. Kids like getting the milk out of the dispenser, seeing this as “quite

DAIRY NEWS FEBRUARY 11, 2014

NEWS // 15

with farmgate customers novel”. Even before the milk shop opened, Barrs had hosted local schools at their farm -- helping bridge the town-country gap. The farm’s 22 A2 cows get special attention: they get milked first and their milk goes into a special vat for snap chilling to 4 degrees C, then to smaller vats for shifting to the shop. Here its temperature is kept 2-4 degrees C. “The milk is fresh every day; we don’t wait until it runs out. Whatever is left goes and new milk comes in the morning. We lab test our milk twice a week for all the nasties you can think of, so we’re confident the milk is safe to drink,” says Mary. The farm’s dispensing machine is Italian-made. They looked at many different systems and found this best met their

needs, Stephen says. “We wanted something big enough for this site because we are a little out of town and knew we would have people bottlenecks from time to time. Most systems have single standalone units; we wanted two dispensing windows to cater for a lot of people arriving at the same time. This machine is set up so that it first uses the milk in one canister then switches to

the second one and sends a us a text about what’s happened so we won’t end up with two empty tanks or one full one and one empty one,” Stephen explains. In just two weeks, Barrs’ milk shop had been attracting lots of attention. People on their way to work are stopping to buy milk for their coffees. Late afternoons are busy as people buy milk on their way home from work.

Visitors can buy fresh milk at the farm (right), Mary Barr explains how it works (left).

Barrs have publicised their venture at the local market, on Facebook and on the internet. All have

worked. Signs around the district are helping and customer numbers are fast building. Even before the

shop opened, people visited to see what was going on. Special about the shop

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DAIRY NEWS FEBRUARY 11, 2014

16 // NEWS

NZ v Aust at the farmgate AS THE current season has unfolded

and payouts have heated up over the ditch, many farmers here are asking the inevitable question – how do Australian farmgate prices compare to New Zealand’s? To address this question more fully, we need to look beyond the current season and examine a long term comparison. Freshagenda’s analysis of payments made by Australian manufacturers compared to Fonterra’s over the past 13 years (including a forecast for 2013-14) show Australian prices have been ahead by around A$0.19/kgMS on average. This is once adjustments have been made for protein – measured as “crude’ in New Zealand and “true” here, and converting NZ prices to Australian dollars. Since 2009, Australian farmgate prices have been more resilient when there have been downturns in the international market, while New Zealand’s prices have responded more quickly and fully when commodity prices head upwards. One of the major reasons behind this observation is the different exposures to the world market of the two indus-

tries – more than 90% of New Zealand’s production is exported while Australia’s exports have hovered around 40% of output in recent years. With a greater focus on retail products and contracted sales in Australia where commodity price changes are slower to take effect, domestic returns tend to lag the more volatile movements of the international market. This is great for the Australian industry in a down turn, but frustrating when global commodity prices move up, and the local market doesn’t quickly respond. Another factor is product mix. The lines on the chart track prices in US dollars of the major commodities (in terms of milk use) for both industries – cheddar cheese for Australia and whole milk powder for New Zealand. While over time cheddar returns have tended to be more stable – whole milk powder prices – powered by China’s insatiable demand have been pushed much higher than cheddar at times, particularly this year. Australia’s cheese production is almost equally split between domestic and export, and Japan remains our largest export market – at least in value terms. Once again, many of these sales

are subject to longer term agreements, so cheese prices tend to be more stable. Currency is also an important driver of real returns to farmers in both industries. The Australian dollar has been strong in Jo Bills recent years, due to factors well outside the dairy industry’s influence, and that has affected the competitiveness of our dairy exports. Interestingly in the current cycle, as the US currency is strengthening against most others, New Zealand’s dollar is actually being held up by the strong performance of dairy – which represents a large proportion of the Kiwi economy. As a result, the two currencies are now moving closer together. The mechanisms for determining farmgate price in New Zealand have also changed in recent years, as Fonterra has undergone its capital restruc-

ture and established the Fonterra Shareholders Fund. In order to have a transparent way of retaining profit, and therefore paying dividends to investors – Fonterra first introduced the Global DairyTrade (GDT) online auction platform in 2008 to establish a reference price for traded commodities, and then introduced a “Milk Price Manual” in 2011/12 that calculates payout with a formula that is directly linked to the GDT auction results. That said, we saw the Fonterra board override the manual just before Christmas – maintaining its record payout forecast despite the manual calculation indicating a higher rate should be paid, based on milk powder returns. In reality, higher milk intakes meant Fonterra was no doubt facing lower returns from products that weren’t covered by the manual formula. While this demonstrates the Fonterra board still has some discretion when it comes to determining payouts, there is probably

less opportunity to smooth farmgate prices between years than there was previously in New Zealand. For many farmers the concern behind this question of Australia versus New Zealand is that our industry is losing competitiveness and will continue to trail our Kiwi neighbours to a larger extent into the future. The differences in farmgate prices are just one indicator of the divergence in the two industries over the past decade. The New Zealand industry has developed its capability to efficiently process large and growing amounts of seasonal milk and market its product to the fastest developing markets around the world. While there has been a push to value add, commodity products are still a dominant part of the product mix. In Australia, in the face of a stagnant or shrinking milk pool, manufacturers have looked for opportunities to maximise returns, shifting their product, customer and market mix higher up the value chain wherever possible - through a less-efficient supply chain. This hasn’t always been easy given New Zealand’s advantages in terms of scale • Jo Bills is an Australian dairy analyst

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WORLD // 17

Arla targets markets outside EU co-op Arla Foods is pumping $500 million into expanding its production globally and making it more eco-friendly. At 10 of its dairy sites this year it aims to boost production of profitable export products for the company’s strategic growth markets outside the EU. Aiming to double exports of European dairy products to growth markets outside the EU by 2017, Arla plans new investment this year. Vice chief executive Povl Krogsgaard says the co-op will this year spend more on dairy sites that contribute to exports. “Our sales in the growth markets outside the EU are growing at a fast pace, and we must prepare ourselves to meet rapidly growing demand.” The co-op will spend $27m on projects to make its production chain more climate-friendly. $170m will be spent on growth markets outside

the EU – Russia, China, Middle East and Africa. Those countries will get one third of the spend. Largest in 2014 is $120m for a new lactose plant in Denmark to make lactose ingredients from whey from Arla’s nearby cheese plant. These ingredients will be used for child nutrition products and others and sold to the food industry globally by Arla Foods Ingredients. The new lactose site is very important, says Krogsgaard. “One of our most profitable business areas is whey-based ingredients for the global food industry, and that business must be doubled by 2017. “The new lactose site will produce high-quality ingredients for child nutrition products in high demand especially in Asia. It will contribute to a profitable export and [lift] the milk price to our cooperative members.” Arla has 67 dairy sites worldwide, all working to reduce carbon emissions.

Tell everyone dairy makes a difference BRITISH DAIRY farm-

ers have been urged to stand up for the industry and demonstrate that dairy makes a difference. Dairy UK chief executiveJudith Bryans told a recent Semex Conference in Glasgow that dairy has so much to be Judith Bryans proud of. “There is a need for the contribution of dairy products and the industry itself to be recognised and valued more widely,” she says. The British public’s love for dairy products and their significant nutritional benefits remain as strong as ever and there growing demand for dairy around the world. Government and decision-makers at all levels are assailed by those pursuing an anti-dairy agenda, she says. “It is up to us to remind, politicians, civil servants, health professionals and the public that dairy makes a difference in a very positive way. “It is essential that the industry has to stand up for itself and work in a constructive and collaborative manner. It’s never been more important to do that. “Dairy makes a difference, providing the public with a wide range of nutritious foods including milk, cheese and yogurt.”

Arla aims to reduce CO2 emission by 25% by 2020, says Krogsgaard. “Our production plays a key role in the efforts to reach that target, so we are [buying new] heating pumps and water-sav-

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DAIRY NEWS FEBRUARY 11, 2014

18 // WORLD

EU extends school milk scheme THE EUROPEAN

Union is extending its milk in schools scheme but farmers are unhappy that cheese and yoghurt have been left out. Dairy UK says the European Commission

had “seriously misjudged” the nutritional benefits of yogurt and cheese. Dairy UK chief executive Judith Bryans welcomed EU’s continuing commitment to school milk which she says has

been part of the fabric of Britain for generations. “We also recognise the benefits of the new streamlined school food scheme which will include milk, fruit and vegetables. However, we strongly believe that the commission has seriously misjudged the very substantial nutritional benefits that would be delivered to children by the inclusion of yogurt and cheese in the scheme,” she says. “Although the commission suggests that this can be addressed at member state level, we believe this omission is a real opportunity missed to give children on a Europe-wide basis the complete range of nutrients that dairy products provide. Milk, cheese and yogurts are all important parts of a healthy diet and parents, teachers and health professionals across the UK recognise this.” The European Dairy Association, which represents the interests of the EU dairy industry, believes the exclusion of cheese and yoghurt will raise concerns. EDA secretary general, Alexander Anton says cheese and yoghurt are dietary habits based on local culture which are

hard to change. “It’s a pity that the commission did not take this into account when drafting its proposal. We fear that the current proposal will not be welcomed everywhere and will therefore lose its efficiency in some European regions. It is obvious that the commission gives more flexibility at member state level to fashion the scheme to adapt it to the specific eating habits of the children, but there is a risk that national health authorities only look at a few single nutrients, and not the balanced and healthy total nutrient composition of dairy products, which is – at the end – what counts.” The EU is recommending bringing two separate EU schemes on milk and fruit together under a joint framework. The new scheme will have a budget of $380 million per school year - $250m for fruit and vegetables and $133 million for milk. Commissioner for Agriculture and Rural Development, Dacian Ciolo says the new scheme aims to reverse the downward trend in consumption and raise awareness among children of the potential benefits of milk.

More milk for Arla EUROPEAN DAIRY co-op Arla expects to process

a record 25 billion glasses of drinking milk this year. Arla says the amount represents a little over half of its entire milk production expected for 2014 and will be processed at its liquid milk, UHT and milk powder dairy plants around the world. Executive vice president Jais Valeur, responsible for Arla’s global production and brands, says milk for drinking has always been an essential part of Arla’s processing, especially in Europe, and this year the co-op expects to process more than ever. “New consumers in growth areas like Asia and Africa are buying milk for its nutritional benefits, and consequently the global demand for milk is bigger than we have ever seen,” Valeur says. “At Arla, we also believe dairy products play an important role in a balanced diet. But health benefits are only one piece of the puzzle. While serving the growing global demand for dairy products, Arla wants to be the most natural and sustainable global dairy company. “This means offering natural food with high nutritional value to people across the world, while using as few of nature’s resources as possible.”

DAIRY NEWS FEBRUARY 11, 2014

20 // WORLD

Shoddy rural roads in Oz SUDESH KISSUN sudeshk@ruralnews.co.nz

AUSTRALIAN FARMERS are backing a call for

private funding to improve rural roads. A new report released last month by Infrastructure Australia suggests

private funding will help counter underfunding of rural roads by state governments. A snapshot of 13,000km of roads in rural Australia shows 26% are predicted to be impassable after 20mm of rain and big stretches are well beyond their “useful life”.

The National Road Asset Reporting Pilot says the nation’s 800,000km of roading is not assessed as to its condition, unlike other infrastructure such as energy and water, whose condition and standards of performance are examined to guide funding choices.

The report finds the system of road funding comes down to governments “throwing several billion dollars of taxpayer money at the road network each year and hoping the results will be good”. The report set out to test the benefits of Infrastructure Australia’s pro-

posed solutions, such as the development of useful national standards and the creation of a national, independent body to report regularly on the condition of all and to identify areas of greatest concern to help target funding. Infrastructure coordi-

nator Michael Deegan says the report suggests ways to spend money smarter on road networks, with a better chance of greater benefits. “Doing these things would almost certainly reduce the perceived politicisation and underfunding of roads overall and offer a more efficient use of public funds expended, as well as opening greater opportunities for reliable private investments in the network,” he says. National Farmers Federation president Brent Finlay supports calls for greater action from the Federal Government to attract private funding. “The report reiterates a lack of public investment in rural roads, limiting the efficiency of agricultural freight flows,” says Finlay. “Farmers do their best to maximise efficiency on farm, and after the food and fibre leaves the farmgate much of this value can

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be lost to inefficiencies in the transport system. “We need to harness the opportunity for private sector investment, and invest in building better quality roads in rural Australia. Less money lost by inefficient and run down rural infrastructure means more money for farmers and for Australia through competitive exports.” The NFF has welcomed the Federal Government’s infrastructure audit and moves to attract investment. “We expect agriculture to be prioritised on the Federal Government’s national infrastructure audit, and key food and fibre projects to bw identified in the investment pipeline. “We need adequate local and regional infrastructure and the measures in place that promote private investment to complement the government commitments.”

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Rural roads in Australia are underfunded, according to a new report.

11/20/13 11:31 AM

DAIRY AUSTRALIA has launched the Employment Starter Kit initiative, or ESKi, an easy-to-use kit that helps dairy farm employers with the ‘human resource’ side of their business. Research showed one of the key issues in attracting and retaining people on dairy farms are the employment practices being used. In response, workforce planning and action steering committees were formed at WestVic Dairy and DairyTas, with a primary focus on developing actions and supporting the dairy industry to attract and retain the skilled people it requires. The ESKi is the first action delivered by the committees. The ESKi details all of the mandatory requirements for dairy businesses that employ staff and was built from Dairy Australia’s ‘The People in Dairy’ website which has industry specific ‘people management’ information and resources. A draft of the ESKi was piloted by more than 30 dairy farmers and was then trialled at WestVic Dairy and DairyTas before being launched nationally. Dairy Plains contract milker Penny Domeney received an ESKi after the DairyTas launch and believes the kit is a practical resource with user-friendly information.

DAIRY NEWS FEBRUARY 11, 2014

22 // OPINION RUMINATING

EDITORIAL

Doing more than our fair share

MILKING IT... Politics beckons?

RETIRING FEDERATED Farmers chief executive Conor English is coy about his next move. But with an election looming, Milking It suggests English will be tempted to try his luck in politics. Brother Bill (Finance Minister) has been one of the drivers behind National’s twoterm reign. After all, the English boys grew up in a household that talked a lot about the three ‘P’s -- the prime minister, the pope and the president of Federated Farmers.

Timaru beauty

IT’S OFFICIAL: Timaru is the home of the best bovine in New Zealand. At the recent Dairy Event, at Feilding, the honour of ‘Miss New Zealand of dairy cows’ went to Fairview Dolman Jazz-ET, a 5-year-old Holstein Friesian cow, from Timaru. The judges deemed the South Island stunner ‘best in show’, topping all other cows in the competition. She’s owned by Philippa Trounce.

Cows raise the roof

A HERD of dairy cows nearly lifted the roof off their barn in central Germany when methane released by the animals caused an explosion. Police in Hesse state said a static electric charge apparently triggered the detonation, and a spurt of flame, on Monday at a farm in Rasdorf. The roof was slightly damaged and one cow suffered slight burns. No people were hurt. Police say 90 cows are kept in the shed but it wasn’t clear why the methane had built up. Bovine belching and farting releases large quantities of the gas, but enough to blow off the roof...?

Elixir for Olympians

KICKED OUT of some school cafeterias and vilified as a junk beverage contributing to childhood obesity. But chocolate milk is making a comeback with an unlikely new image: the perfect drink for Ironman and Olympic athletes after gruelling workouts. The group behind the ‘Got Milk?’ campaign in the 1990s in the US is promoting chocolate milk. But as overall milk sales have dropped in recent years, the dairy industry has positioned chocolate milk as a contender in the fast-growing market for protein bars and shakes. Their target is adults, who have traditionally dismissed milk — especially chocolate milk — as a kids’ drink. That might seem crazy to people used to thinking of chocolate milk as the candy of beverages.

THE RECENT submission to the Government by the Parliamentary Commissioner for the Environment, Jan Wright, on water, will be music to the ears of greenies. She highlights ‘the big challenge’ -- nitrate runoff from largescale conversion of land to dairy farming, and her message to the Government is that not enough is being done to protect water quality. With due respect to the PCE, the dairy industry is not alone in impacting our waterways. Farmers need to do their bit, no question about that, but urban communities need to continue investing in better stormwater and wastewater management. We all need to work together for positive water outcomes. New Zealand still enjoys some of the highest quality water on earth. Last year the Ministry for the Environment’s (MfE) latest river condition indicator showed that for ten years at 90% of the sites tested, most of the MfE’s key indicators were either stable or improving. Good farm environmental management is starting to show through. Better management of the land and water resource by everyone appears to be starting to show up in these water quality results. In broad-brush terms, New Zealand’s water quality is steadily improving. In recent years, farmers and communities have stepped up their efforts, but everyone agrees things can be improved. Realism is needed: this is a long-run game and the timetables must reflect that. The MfE study results underline that we have some gains, contrary to the belief – or prejudice – that nothing positive is happening to water quality. We are making progress. The dairy industry last year launched its new Sustainable Dairying: Water Accord. This outlines a new set of national good-management practice standards aimed at lifting environmental performance on dairy farms, and agreed to by industry body DairyNZ and all dairy companies, with support and input from a wide range of industry stakeholders. Despite this, the PCE’s submission fails to recognise the work being done by the dairy industry. Her submission will be used as more ammunition by environmental advocates calling for a stop to the growth of the dairy industry. Wright is spot-on in saying many New Zealanders are working hard to protect our rivers and lakes. We need a policy framework that clearly supports and encourages these efforts. But let’s not forget that most dairy farmers are doing more than their fair share on this front.

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DAIRY NEWS FEBRUARY 11, 2014

OPINION // 23

Wetlands: kidneys of the landscape BALA TIKKISETTY

INTENSIVE FARMING practices can result

in significant amounts of contaminants, notably nitrogen, phosphorus, faecal matter and sediment, getting into our waterways. With World Wetlands Day celebrated on February 2, it is a good time to reflect on the impact of contaminants like these on our waterways, and the role of wetlands in helping to protect them. Natural wetlands have been called the ‘kidneys of the landscape’ because of their ability to store, assimilate and transform contaminants lost from the land before they reach waterways. Like a giant kidney, wetlands help to dilute and filter material that could otherwise harm our lakes, rivers and other waterways. Sadly, large areas of wetlands have disappeared with the development of farmland and they now occupy only about 2% of New Zealand’s total land area. It is estimated that about 90% of New Zealand’s wetlands have been drained – one of the largest wetland losses anywhere in the world. Wetlands once covered large areas of the Waikato, but they are now some of our rarest and most at-risk ecosystems. Wetland is a generic term for the wet margins of lakes, ponds, rivers, streams, estuaries, lagoons, bogs and swamps. They contain a diverse range of plants and animals and are home to many rare and threatened species, so conserving and restoring wetland habitats is worthwhile for many reasons. Rainfall patterns, soil water status, groundwater levels, soil properties, drainage system design and land management practices can all affect the contaminant loads generated in farm drainage. Nitrogen and phosphorous enter waterways through leaching and surface run off. Wetland vegetation uses these nutrients for growth. Wet-

lands remove up to 90% of nitrates from ground water through a process called de-nitrification. Microbes living in wetlands absorb and break down nitrogen improving water quality. Wetlands also play an important role in sediment management and reducing erosion. The plants trap sediment suspended in water, improving water quality, and in riparian areas their roots hold riverbank soil together. Wetlands also help to regulate the flow of water from land, soaking up excess floodwater and then slowly releasing it to maintain summer flows or recharge ground water. Providing habitat for many different plants and animal life, including rare or threatened species, is another role for wetlands. These areas are also essential breeding areas for whitebait species and game fish, as well as providing a rich source of insects for fish, birds and amphibians. Fishers, shooters, naturalists and other waterbased recreationists also make extensive use of wetlands. Their importance to Maori as mahinga kai (food gathering areas) and as a source of plants for medicines and dyes, is well recognised. On an international level, healthy peat wetlands are important in helping to combat global warming, as they soak up excess carbon. The Waikato Regional Council provides free advice to landowners on managing wetlands, including information on fencing, planting of suitable riparian margins and weed control. Fencing keeps stock out, stops pugging of wetland margins and enrichment from animal wastes. Appropriate planting around the edges of the wetland reduces pollution from surrounding farmland, provides cover for wildlife, reduces bank erosion and reduces the temperature of water through shading. Of late, constructed wetlands, as trialled by

NIWA, have been recognised as an effective technology for treatment of tile drainage waters. Wetlands are worth caring for – failing to maintain their health is a risk too great to ignore.

• Bala Tikkisetty is a sustainable agriculture coordinator at the Waikato Regional Council. For further advice, call Bala on 0800 800 401 or email bala. tikkisetty@waikatoregion. govt.nz.

Wetlands are now some of our rarest and most at-risk ecosystems.

12-

201

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DAIRY NEWS FEBRUARY 11, 2014

24 // AGRIBUSINESS

Global milk supply falls short FROM A commodity market perspec-

tive, the 2013-14 Southern Hemisphere dairy season is increasingly a ‘done deal’. Milk production is well past its spring peak, and product sales are focused on an April-June 2014 delivery period. Weather influences still have significant potential to ‘upset the apple cart’ at farm level (as we saw a year ago), but if anything this would drive prices higher. New Zealand looks likely to enjoy an extended season as farmers cash in on record farmgate pricing; but the sustained supply recovery required to dislodge commodity prices is more likely to come from the Northern Hemisphere. That’s where attention is beginning to turn as the seasonal transition in supply looms. Most in the industry had expected the US to produce a rapid supply response following a large 2013 corn harvest and rapidly increasing milk prices. This hasn’t happened November and December milk output was virtually flat compared to the same months in 2012. Declining cow numbers have been blamed: heavy

John Droppert

Prices of dairy commodities are being driven higher.

Notwithstanding the challenges – including a worsening drought in California – growth is expected to accelerate through 2014 as margins remain favourable. The USDA’s forecast for 2014 US milk production is over 93 billion litres, representing 2% growth on 2013. EU-November 28 data revealed a 4% increase in milk deliveries compared to that month in 2012. In member states such as the Netherlands and Ireland (the latter up 19% for the month) an appetite for post-quota growth is readily apparent, with some farmers willing to pay super-levy fines for exceeding quotas, rather than suppress production.

culling last year outweighed the supply of replacement heifers, and restocking is expected to take at least the first half growth trajectory is expected to conof 2014. Feed is readily available but tinue, with 2014 milk deliveries tipped quality is below par in many places, to hit 147 billion litres (up 1%). keeping per-cow production relatively The 2% and 1% growth static, and hampering for the US and EU farmers’ ability to get New Zealand looks likely to enjoy an respectively represent the most milk from extended season as farmers cash in around 4 billion extra the cows they have. on record farmgate pricing; but the litres of milk – just Local sources sustained supply recovery required to under half of Australia’s suggest that with a bruising year behind dislodge commodity prices is more likely annual total production. However, much of this them, US producers to come from the Northern Hemisphere. growth will be soaked up are more risk averse However ongoing challenges have by recovering domestic consumption, than historically, opting to bolster their equity position before pursuing expan- seen further contraction in countries while continuing supply gaps in China sion – a sentiment many Australian such as Italy. On balance, industry and Russia have left other markets such forecasts indicate the current modest as the Middle East, Africa and parts of farmers would relate to.

Asia short of product. In short, though the market is looking to the Northern Hemisphere for indications that a price correction is around the corner, sedate supply growth and ongoing demand strength provide little clue as to the timing. Pricing remains buoyant, with recent gains reflecting the flow-on effects from prioritisation of better returning product streams. However; with so many eyes on the prize, the question remains not if the world’s suppliers catch up to the demand for dairy, but when. • John Droppert is industry analyst with Dairy Australia

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AGRIBUSINESS // 25

Recognition for work beyond the farmgate THE DAIRY Women’s

Network is calling for nominations for its annual Dairy Community Leadership Award. It recognises the voluntary role dairy farming women play in leading their communities, sharing their time and skills beyond the boundaries of the farm gate. The winner receives a $2500 scholarship from Milk Bar, the specialists in calf rearing equipment, to attend a leadership programme of their choice within New Zealand. DWN trust board chair Michelle Wilson says nominations are welcome from rural community members, employers, employees or partners, however nominees are required to be members of the DWN. Last year’s winners were Sue Forsyth from Te Awamutu and Sharron Davie-Martin from Culverden. Davie-Martin is using her scholarship to attend the Kellogg Rural Leaders Programme in 2015. Among other activities,

Davie-Martin was nominated for her commitment to the DWN and her role as chairwoman of the local Rural Women’s Dinner Group, which she still holds today. She is passionate about helping immigrant dairy farm workers settle into the North Canterbury community, and has developed a welcome pack. Her voluntary work has been recognised and used by the New Zealand Immigration Department. Davie-Martin says receiving the community leadership award last year was an inspiration. She is now close to completing the Taratahi Generate Leadership programme and recently won another scholarship to attend the Rural Women’s Growing Dynamic Leaders course in Wellington. “Dairy farming has served our family well and we think it’s important to give back to our community,” says Davie-Martin. Wilson says DWN has been acknowledging community leadership since

2007. Until 2011, the award was known as Celebrate You. Milk Bar’s sales and marketing manager Anna McIntyre says the company is thrilled to be able to give back to rural

women and their communities. “The role of women in farming is so important. They juggle managing their businesses, working on the farm and raising families.” Nominations for the award must be made on

Culverden dairy farmer Sharron Davie-Martin receiving the Dairy Women’s Network Community Leadership Award in 2013.

the official form from www.dwn.co.nz or phone 0800 396 748. Nominations close at 5pm, March 1. The winner will be announced at the DWN annual conference on March 19 in Hamilton.

DAIRY FARM MANAGER POSITION Macquarie Franklin is seeking applications from experienced dairy farm managers on behalf of a client. The farm is located on King Island. The position provides an opportunity to join a highly productive and progressive business during an exciting time of industry growth. The farm has significant potential and applicants should have an interest in the management of farm development as well as being capable in managing day to day operations. The successful applicants will be able to demonstrate a high level of skills in the following: • Animal husbandry including calf rearing • Pasture management and feeding • Staff management • Operation and maintenance of dairy, irrigation and farm equipment • Farm development supervision

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AGRIBUSINESS // 27

Synlait joins INC board CANTERBURY PROCESSOR Synlait Milk

has stepped up its membership of the Infant Nutrition Council from associate to ordinary, gaining a board seat in the process. The council has frequently been in the news in the past six months commenting on the whey protein botulism scare and subsequent enquiry findings, however Synlait says “the botulism incident has had no influence” on its membership move. “We would have done it anyway,” a spokesman told Dairy News, noting that ordinary membership provides for board representation “of an association which has become the lead association representing the infant formula and nutritional industry.” Synlait’s move follows INC’s statement in July that it would broaden its strategy to include focus on the integrity of the full supply chain, not just its traditional role in the marketing and regulation of infant formula in Australia and New Zealand. That coincided with election of Fonterra’s Reece Prewett to chair INC’s board, and appoint-

ment of Westland Milk Products’ general manager innovation Michael Teen and New Image Group’s general manager Guy Wills to the board. The WPC80 botulism scare broke a month later. Last week INC chief executive Jan Carey said INC is delighted to have Synlait Milk represented on its board. “The Infant Nutrition Council is firmly committed to ensuring the safety and integrity of New Zealand’s infant formula industry. “Having world-leading dairy manufacturers like Synlait represented on the board ensures we can continue to work together to meet our own expectations so that parents and the public can have faith in the infant formula manufactured, marketed or exported by any of our member companies.” Michael Stein, Synlait Milk’s general manager quality and technical services will represent Synlait on the INC Board. “We are pleased to be appointed to the board and we look forward to taking an active leadership role on industry issues

to ensure New Zealand’s reputation for producing high quality and safe nutritional products, like infant formula, continues to be developed,” said Stein. INC says it represents 95% of the infant formula industry in New Zealand and Australia by volume and plays a key role in ensuring compliance and

safety in the industry. Its board works to ensure members abide by a strict code of conduct that sets expectations for the support of breastfeeding as first choice, responsible marketing of infant formula, food safety and regulations, and ethical member conduct. Members gain access to special-

ised resources and global technical expertise of other long-term industry players. Synlait Milk brings the number of full members of the council to eight, and there are 20 associate members including Westland Milk Products and the Dairy Goat Cooperative, Hamilton.

Jan Carey, INC chief executive.

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INC BOARD ■■

Reece Prewett, Fonterra (chair)

■■

Natalie Koenen, HJ Heinz

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Xavier Payrard, Nestlé

■■

Mark Sargent, Bayer Consumer Care

■■

Michael Stein, Synlait Milk

■■

Corine Tap, Nutricia

■■

Michael Teen, Westland (Associate members’ representative)

■■

Allan Tillack, Abbott

■■

Stephen Voordouw, Aspen Nutritionals

■■

Guy Wills, New Image Group

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LONG-SERVING MANAGER of Dairy Training Ltd, John Troutbeck, steps down on March 1 from his leadership role with the DairyNZ subsidiary. Troutbeck who has been with Dairy Training for 15 years, since its foundation, will continue to provide support to the training provider. Dairy Training board chairperson, Barbara Kuriger says she is pleased that the organisation will retain the services of such an experienced manager. Adam Barker, Director of Scarlatti, will become interim manager of Dairy Training Ltd when John steps down.

management – whether you’re milking 100 cows or 1,000. Give yourself time to make the right business decisions on your farm with a DeLaval VMS. Talk to your local DeLaval dealer today. Call 0800 222 228 or visit www.delaval.co.nz

DAIRY NEWS FEBRUARY 11, 2014

28 // MANAGEMENT

Drill-it – your We all like to be in control of our own destiny and when you’ve got 7000 cows to winter, that’s particularly important. Andrew Swallow reports

TIME IS money, goes the saying, and when it comes to a sowing date for a crop like fodder beet, that’s certainly true. So when South Canterbury dairy farmer Dave Ellis commented to machinery dealer Grant Wilkins how much a delay sowing his crops could

South Canterbury dairy farmer Dave Ellis in a crop of self-sown fodder beef late last month.

cost him, Wilkins realised he might be able to help. He went to see Ellis and told him they could supply him with a six-row Sola precision drill suitable for sowing fodder beet for less than $50,000. What’s more, once the beet’s in, if he wanted to sow maize, or any other wide-row precision sown crop, the same drill would fit the bill. Ellis quickly did the sums and even with the

about 70ha, to Tara Hills in the lower Mackenzie Basin where he has another and has sown the balance of his winter fodder. The remoteness of the Tara Hills crops – they’re over 100km inland from Waimate and in an area where there’s no local contractor equipped to sow beet – added to the argument for going drill-ityourself (DIY), as did some stony paddocks which a contractor might

“With 300ha to do I would have paid the contractor as much as it cost to buy the drill.”

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cost of hydraulic rowwidth setting and airfreight added it stacked up to buy one, rather than risk a long wait for an over-stretched contractor to reach him. “With 300ha to do I would have paid the contractor as much as it cost to buy the drill,” he told Dairy News. There was also the advantage of having control over your own destiny. “If we’re ready to go, we can go.” When the drill arrived in mid-October his tractor drivers put it to work round the clock to get the crop in. “It’s only a 3m drill so we went 24 hours a day to get the fodder beet in and get onto silaging. It took us about 10 days to get it all done.” That included shifting the drill from Waimate, where Ellis has one of his four farms and has sown

have been reluctant to sow. With irrigation he’s expecting yields of 25t/ ha but has sown some extra area in case of a yield shortfall. Nonetheless, with 7000 cows to winter, it’s meant he’s been able to cut his winter crop area considerably compared to wintering on brassica. Another advantage of the switch to beet is in the event of snow. “We can be up against the elements at Tara Hills and if we do get snow we’ll only lose the leaf [off the beet] whereas kale can get completely flattened,” notes Ellis. Wilkins, of Paul Wilkins Tractors, Timaru, says Ellis’ precision drill was one of three they imported last spring, another one having gone to a contractor and the third being kept as a demonstrator. “We were importing

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DAIRY NEWS FEBRUARY 11, 2014

MANAGEMENT // 29

self fodder beet their airseeder grain drills and grass drills anyway and the fodder beet area is ever increasing so we thought we’d look into importing their precision planters as well.” While Wilkins sells another brand of precision planter in addition to the Sola, there’s a greater range available with the Solas and, as the importer, they’re able to offer them at a price that is “farmer friendly,” as Wilkins puts it. He also likes the way they’re made, which is probably a reflection on the conditions in the country of origin, Spain, he suggests. “They’re heavily built so they’re going to cope with New Zealand’s stones and lumpy ground. They’ll go up and down all day. I expect it’s because the Spanish have stoney conditions similar to us.” Powder coated paintwork is to a high standard and all parts are reasonably easy to replace. In the “worst case scenario” of a seeder stopping working, it can be switched to the outside position on the drill so work can continue at a narrower operating width until the problem is fixed, points out Wilkins. “We have a complete seeder unit here in the showroom which we could send out in a real emergency because they’re all the same. The rest of the machine is just a big frame really.” There is some clever componentry, such as a sensor and alarm, so if a seeder malfunctions there’s no risk of the oper-

ator pushing on for hectare after hectare with a row missing. The cheapest models have seeders bolted onto the main beam so changing drilling width takes time with spanners and sockets in hand, but all three machines Wilkins’ has imported have the vari-width feature which allows operators to change row-width hydraulically. “Most people are using 50cm rows but some are using 45cm.” It also means the 6-row model is easily reduced to 3m for road transport, avoiding the extra expense of folding/stacking mechanisms for outer rows. “They don’t take up too much space in a shipping container either, which also helps keep the cost down,” notes Wilkins. If a drill does need to go on a truck for whatever reason, there are easily accessible and robust lift hooks on the main beam so there’s no need to put pallet forks under the machine and risk breaking or bending seeders, he adds. The seeders themselves use a pto-driven vacuum to suck seed onto a rotating disc which places the seed in the furrow between the two opening discs. A narrow press wheel follows, closing the furrow and ensuring good seed to soil contact. While the vacuum is pto-driven, the standard seeder drive is hydraulic. A pto-drive option is available but would only be needed if the machine were to be used on an older tractor with poor hydraulics, says Wilkins.

SOARING CROP AREA THE AREA OF fodder beet grown in New Zealand has gone from next to zero five years ago to about 20,000ha this year, says Warwick Green, managing director of one of the main seed suppliers, SeedForce. The bulk of the area is in Canterbury, Otago and Southland but Green predicts more West Coast and southern North Island farmers will start using it, particularly as uses other than in-situ feeding to wintering dairy cows gain popularity. Those other uses include feeding on a pad or in the paddock as a supplement to boost autumn milk yields, as well as use with other stock classes such as replacements, beef stock and deer. “The world’s your oyster really.”

The gearbox is easily adjusted with two leavers, and extra discs to increase the range of in-row spacing options come in at less than a $100 each, though if sowing maize and fodder beet is all that’s going to be done, it’s unlikely more than one disc will be needed.

In the paddock each seeder’s 55L hopper will hold more than enough beet seed for a day’s work, says Wilkins. “A litre box holds 80,000 seeds and most people are sowing at 80-90,000 seeds/ha.” Operating speed can be up to 12-13kmh depending on ground condition.

Grant Wilkins

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DAIRY NEWS FEBRUARY 11, 2014

30 // MANAGEMENT

Jobs galore in primary sector DAIRYNZ CONSULTING officer Abby Hull had

Abby Hull (second from right) with students.

three job offers waiting for her by the time she graduated university. After finishing her

Bachelor of Applied Science (now known as AgriScience) at Massey University, Hull was offered two different jobs with banks and another

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with DairyNZ as a graduate consulting officer. “The primary industry is a strong space for careers with all the new technology, compliance and requirements on farm,” says Hull. “The industry requires a lot more grads now, so there are plenty of jobs out there.” The primary sector often goes unnoticed as a viable career path for many young people, even though it is one of the most lucrative industries in the country. Federated Farmers reports that agriculture, together with the food and forestry sectors, generate 70% of New Zealand’s merchandise export earnings. So it’s no wonder graduates in the primary sector earn an average salary of $55,000, well above the national average of $46,000. In efforts to educate secondary students of the range of career possibilities within the primary industry, New Zealand Young Farmers, Beef+Lamb NZ and DairyNZ have joined forces and for the last three years to run Get Ahead Career Experience Days. There are 10 days held around the country annually and over 1000 students attend to hear from successful industry professionals and learn about different career pathways. They can meet with universities and training centre representatives to ask questions and find out about scholarships available. The days showcase both the on-farm and business related career opportunities – from pasture to plate, there is a career for everyone. Based in the Manawatu/ Horowhenua area, Hull says her job is busy and it’s never quite the same. Hull, 24, works with

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farmers to gain an understanding of their goals and creates opportunities for them to produce positive on farm change. “It’s never a boring day,” she says. There is more to the primary industry than just gumboots and milking cows, there are different talents and skill sets that all have a place and contribute to the success of the industry. “There is definitely a huge demand for people in the primary sector,” she said. Dairy NZ estimates the primary industry will need at least 1250 agriculture-related graduates every year for sustainable growth. But it’s not just a numbers game. The industry will need skilled, qualified and capable workers to sustain its future and it starts with encouraging students into the primary sector and educating the future leaders. KPMG reported on average just over twothirds of rural New Zealand students are completing their secondary education, compared to the 76% national average. Hull is impressed with the Get Ahead programme: “It’s great to see how enthusiastic and keen all these young kids are to learn about agriculture and a great opportunity for the ones who perhaps haven’t seen the career pathways in the agriculture sector,” she says.

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DAIRY NEWS FEBRUARY 11, 2014

32 // MANAGEMENT

Watch for heat stressed herds HIGHER SUMMER

manager, James Hague. If farmers are feeling the heat, their herds will be too and heat stress can hit production, milk quality, earnings and overall herd health, he adds. “Cows are not terribly

temperatures can evaporate record dairy returns unless farmers stay on guard for heat stress in their herds, says SealesWinslow science extension

Heat stressed cows tend to crowd around any available shade.

James Hague

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good at regulating their body temperatures as their ability to sweat is limited. The digestive system also creates heat and, as a result, core body temperature increases. When cows are heat stressed, dry matter intake reduces, and demand for water greatly increases. “Losing just one kilo of dry matter intake is worth around two litres of milk (0.16/kgMS) which at an $8.30 milk price equates to $1.33 in lost income per cow per day. The financial loss quickly adds up and there are the animal welfare concerns including the risk of health and fertility issues cause by heat stress.” Heat stressed cows tend to crowd around any available shade and as their water demand is high, they also crowd troughs. Stressed animals will also pant. Adequate shelter and ample water, as well as misting or spray systems can alleviate heat stress, but Hague says attention to the herd’s diet is also crucial. “Loss of dry matter intake accounts for around half the loss of milk yield. The other half is potentially due to inefficient digestion and damage to the animal, so it is important the diet is well balanced to maintain rumen conditions. Nutritionally there are a number of practical and very cost effective options.” Levucell yeast, fed at a rate of 0.5g per cow per day, controls rumen pH and improves fibre digestion under heat stress conditions. This means more Feed Conversion Efficiency (FCE) at a cost of less than four cents a day. Rice bran feed, which does not have to undergo

extensive fermentation to provide the cow with energy, keeps the heat of digestion low. It can be fed at rates of up to 2kg a day. Salt, potassium, and sodium bicarbonate can also aid with heat stress as stressed animals lose electrolytes. “Keeping the electrolyte balance with sodium and potassium is crucial as animals can lose around 13% of their daily potassium requirement through sweating. Damage can occur in the liver, which reduces the animals’ ability to process glucose, which impacts on milk production. Additives such as betaine and chromium assist with maintaining liver function and have been found to be valuable under heat stress conditions.” Both high temperature and high humidity combined result in the worst effects on stock. A Temperature Humidity Index (THI), combining temperature and humidity, can be used as indicator of heat stress risks. SealesWinslow provides an online calculator which enables farmers to log temperature and humidity and calculate potential milk losses due to heat stress. The higher the THI, the more severe the impact. As the accompanying graphic shows, when the THI gets above 68, signs of heat stress will set in. Above 80 causes moderate to severe stress and above 90 is severe. There is an almost linear drop off in the relative amount of milk produced as the THI rises. The calculator and additional nutrition advice are available at www.sealeswinslow.co.nz

DAIRY NEWS FEBRUARY 11, 2014

MANAGEMENT // 33 Balanced trace element formulation

Electronic scanning of stock ensures accurate stock count.

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Scanning keeps disputes away FARMER STOCK losses through winter

grazing, and increased disputes over stock ownership, can be prevented by the use of electronic scanning systems, says Michael Lee, audit principal in Crowe Horwath’s Invercargill office. “The herd is the most valuable asset on a dairy farm,” says Lee. “Missing and lost stock are part and parcel of farming, but these days technology is available to ensure timely identification of farm animals.” Lee noted thousands of head of valuable stock disappear every year during winter grazing. Graziers are often dealing with multiple farm herds over the winter, and mistakes do happen. Stock numbers are sometimes incorrectly tallied and herd ownership can be mixed up. Stock disputes are getting more common amongst owners and managers/sharemilkers and graziers, he said. “Electronic scanning of all farm stock ensures that an accurate stock count can be made on a timely basis,” says Lee. Since July 2012, all stock animals have had to be tagged with National Animal Identification and Tracing (NAIT)approved radio frequency identification device tags. Scanning can identify the ani-

mals based on their birth records through the NAIT scheme and their Electronic Identification Devices (EID’s). “We recommend implementing a scanning system in conjunction with an independent farm advisor in order to develop an action plan, and assist with set-up and interpretation,” he says. “We believe a stock auditing system protects all parties – the farm manager, contract milker, sharemilker and farm owners - particularly absentee owners. The owners have peace of mind knowing that the cows that they purchased are the cows still on their farm. This benefit is also extended to the staff working on the farm as they to know that they are protected due to our independent counting of the stock.” Recent stock disputes dealt with by Crowe Horwath include potential fraud by a farm manager looking to manipulate stock records of deaths and missing with the goal of taking ownership of milkers/ calves and stock returned from grazing, but not to the right farms. Crowe Horwath has also encountered cases of non-farm stock being illegally grazed by employees on the farm-owner’s land.

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and also a pre-calving scan. If cows have come back from the grazier that do not belong to the farmer (potentially with a lower value than the cows sent to grazing) this scanning will identify the specific cow details. This scan will also provide the correct opening numbers for the on-farm management coming in. Third scan – October/November (post-calving) This scan will confirm movements over the calving period and will give the owner quick information as to the number of deaths that have actually occurred during calving. This scan will also identify young stock on hand and will serve as a basis to determine if MINDA records are accurate and up-to-date. Fourth scan – March/April The purpose of this scan is to identify cows that have been culled or are no longer in the herd.

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THE MINDA system uses a combination of the EID tag system and scanning to report on stock numbers, trace by individual cow and compare the cows actually recorded in MINDA with previous scans. Crowe Horwath suggests conducting four scans a year – in May, August, October/November and March/April. First scan – May (initial scan) The May scan is timed to coincide with the start of the new season, prior to off-farm winter grazing and before on-farm staff changes occur. This scan will take the longest, in order to identify cows that might be missing EID tags, cows not recorded on MINDA, inaccurate MINDA records etc. Second scan – August (post-grazing/pre-calving) This scan would coincide with the cows’ return from off-farm grazing

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DAIRY NEWS FEBRUARY 11, 2014

34 // ANIMAL HEALTH

Industry tackles theileria Adrian Joe

THEILERIOSIS IS a disease,

caused by a species of Theileria (blood-borne parasites), usually recognised as anaemia. Transmission is by a secondary host and, in New Zealand, this is the cattle tick Haemaphysalis longicornis. Different species of Theileria cause disease around the world (see map). In the Pacific Rim countries, the specific parasite is Theileria orientalis. A mild strain of this species, called Chitose, was first identified in New Zealand in 1982. However, laboratory testing by MPI confirmed the presence of a new strain of T. orientalis in New Zealand in spring 2012. This strain is called Ikeda and has been associated with anaemia and deaths of cattle in New Zealand. It has previously been, and still is, associated with illness and deaths of cattle in Australia, Indonesia, Japan, Korea and other Pacific Rim countries. The clinical signs of anaemia include lethargy, exercise intolerance and increased respiratory and heart rates. Stresses, such as mustering and yarding of severely affected animals, can lead to collapse and death. While subclinical disease is likely to have an impact on milk production, reproductive performance and susceptibility to other conditions, a case study in Victoria has suggested no measurable impact on milk. It is possible

an immunity develops and this will limit recurrence. There are no human health or food safety risks associated with Theileriosis. The parasitic infection can be treated with a phenolic drug, buparvaquone. This was developed about 40 years ago for treatment of a related, but much more severe, form of Theileriosis in Africa. The drug is only licenced and available in certain countries. It has been made available in New Zealand in limited and controlled quantities under special permit and has long withholding periods for milk (35 days) and meat (140 days). Cattle with signs of disease need good care. Supportive therapies, such as blood transfusions, have been helpful for severely affected animals. This is not necessarily an easy procedure and, as with all such treatments, requires veterinary expertise. Prevention and control of Theileriosis is partly achieved by controlling ticks and managing animal movements to ensure infected cattle are not mixed with uninfected cattle and vice versa. The disease is now considered to be widespread over the northern half of the North Island. It has also been diagnosed as far south as Taranaki, King Country, Whanganui and Hawke’s Bay. Wherever cattle ticks are active, there is a risk

Historic distribution of Theileria species worldwide. Ikeda has been known from Australia since 2006 and New Zealand since 2012

of Theileriosis. As of December 2013, 372 cases had been confirmed. Veterinarians suggest many more cases have occurred than have been treated, managed with veterinary advice, sampled for analysis or reported.

The potential impact of this disease on the New Zealand dairy industry is not known. DairyNZ is working with farmers, veterinarians and MPI to monitor the disease, better manage it and support and advise farmers.

WIDESPREAD IN NORTH ■■

The disease is now widespread over the northern half of the North Island. It has also been diagnosed as far south as Taranaki, King Country, Whanganui and Hawke’s Bay.

■■

As of December 2013, 372 clinical cases had been confirmed.

■■

Veterinarians suggest many more cases have occurred than have been treated, managed with veterinarian advice or sampled. Therefore, the incidence of the disease is probably much greater than the number of confirmed cases indicates.

■■

The main manifestation of the disease is anaemia due to the damage to red blood cells.

■■

The clinical signs of anaemia include lethargy, exercise intolerance and increased respiratory and heart rates.

■■

Stresses such as mustering and yarding of severely affected animals can lead to collapse and death.

■■

There are no human health or food safety risks associated with Theileriosis.

■■

The parasitic infection can be treated with a phenolic drug, buparvaquone. It is available in New Zealand in limited and controlled quantities under special permit and has long withholding periods for milk (35 days) and meat (140 days).

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Teat sprayer effective even in wind GARETH GILLATT

AN ONFARM Teatwand 400 automatic teat sprayer is

providing coverage in difficult conditions, says Northland farmer Alister McCahon. McCahon, who milks 650 cows on his property southwest of Dargaville, recently built an unusual wooden 60-bail rotary to cope with expansion. The rotary design has three open sides for better airflow. This poses a challenge: the shed is cool in hot weather, and light and air help keep stock healthy and contented; but it allows a breeze near the exit race where cows are sprayed by the automatic teat sprayer before getting off the platform. To deal with this McCahon installed a Teatwand 400 teat sprayer which compensates for the wind by its delivery mechanism. It uses a flexible, pneumatically driven, moving arm that extends 400mm from its rest position to ensure all four teats are evenly covered with minimal waste. McCahon says a combination of the teat sprayer, automatic cup removers and CellSense sensors is helping them to maintain low somatic cell counts and healthy udders without employing an extra person at cups-off. “By having cup removers and an automated teat sprayer it offers flexibility with staff management. Someone can go and bring in the second herd then can go out and put up fences.” Simplicity was a big attraction: the Teatwand system consists of one self-cleaning spray nozzle controlled by one solenoid and one weatherproof control box. “We wanted something we knew would be reliable, and simple to service if it broke down.” The system was supplied and installed by Advanced Dairy and Pump Ltd, the Kaipara agent for DeLaval. Onfarm Solutions director and mastitis consultant Adrian Joe says McCahon and the installers positioned the spray unit well for easy access and maximum protection. The unit is supplied solution from a pressurised 100L vat in the milk room. A full tank will last four to five milkings.

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The Teatwand 400 has 400mm reach on a flexible arm (further than the original Teatwand) allowing the nozzle to position closer to the front teats and so gaining ideal spray coverage on all four teats. The Teatwand controller automatically adjusts the timings of the system as the platform speed is changed.

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DAIRY NEWS FEBRUARY 11, 2014

ANIMAL HEALTH // 35

Hardy ticks well-equipped to survive, thrive NITA HARDING

ONLY ONE tick affects

livestock in New Zealand and this is the New Zealand cattle tick, Haemaphysalis longicornis. This tick originates from eastern Asia and was introduced into New Zealand at least a century ago, most probably on imported cattle. The tick will feed on all ruminants and has been reported on other animals and birds. As with all ectoparasites (parasites that live on the surface of the host), a heavy infestation can cause anaemia, considerable local skin irritation, some loss of body condition and, very occasionally, death (particularly in young animals). In dairy cows, heavy tick infestations have been suggested to cause a reduction in milk production. Sheep with heavy tick infestations will rub due to irritation, reducing the quantity and quality of the wool clip. The tick is distributed in the warmer northern areas of New Zealand and has been recorded in Northland, Auckland, much of Waikato, Bay of Plenty, Gisborne and Taranaki. Distribution in the South Island is limited, with the tick present in Marlborough, Nelson and Takaka. However, reports are limited by how close observations have been. The juvenile ticks, especially the larvae, are very small and therefore not obvious. Ticks feed where they can get access to blood vessels just under the skin surface, so small numbers are easily overlooked. Tick activity The cattle tick has four developmental stages: egg, six-legged larvae, eightlegged nymph and eightlegged adult. Generally, the tick completes one life cycle per year. However, in warm and moist conditions more than one life cycle may occur. The New Zealand strain is parthenogenetic (reproduces asexually), so only adult female ticks are present.

Tick populations show a distinct seasonal pattern. Eggs are usually laid from late November to early February. These hatch into larvae after about 90 days. The larvae feed for up to seven days from late

trolled by hunger and weather. Ticks do not like hot, dry conditions, being most active when the temperature is between 10-20oC and humidity is above 60%. Longevity is controlled by fat reserves

and desiccation. In hot, dry conditions ticks have a short life if they do not encounter a host. In cool and moist conditions, a tick will survive many months waiting for a host. Thus this tick is

found in cold and snowy winter environments such as Hokkaido, Japan’s large northern island and home of their dairy industry, where winter snowfall can easily be one metre deep. TO PAGE 36

The tick is distributed in the warmer northern areas of New Zealand.

Nita Harding

summer into the autumn. Fed larvae drop into the sward base and moult to become nymphs. Nymphs first appear in late autumn and into winter. Unless the winter is very mild, nymphs have a period of dormancy and become active again in September and October. Adults first appear in early November, with their peak period of activity in late November to early January. The tick spends most its life at the bottom of vegetation. Each stage, apart from the egg, must feed on blood from an animal host, but only once, before development into the next stage. The period of time spent on the host animal is short – larvae feed for about seven days, and nymphs and adults for 5-14 days each. After feeding, the tick falls to the ground and develops into the next stage weeks or months later, depending on temperature. Unfed ticks can survive for up to 12 months. When hungry, the larva, nymph or adult climbs up a plant stem to wait for a passing host. They sense the presence of a host by warmth, movement, change in light and carbon dioxide gradients. This is called ‘questing’. They grasp onto the host as it walks past, using their front legs. Once on the host, they seek softer skinned and better protected areas to start feeding, such as around the udder, under the tail and in the ears. Tick behaviour is con-

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DAIRY NEWS FEBRUARY 11, 2014

36 // ANIMAL HEALTH

Ticks well-equipped to survive FROM PAGE 35

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Larvae are small and not easily seen on cattle. Measuring up to 1.5mm, nymphs are bigger and brown in colour. Unfed adult ticks are about 3mm long, thin and red-brown in colour. Fully fed adults can be up to 6mm in diameter and large numbers on cattle are obvious. Heavy tick burdens can have a severe impact on young animals. Deaths of fawns within a few days of birth, as a result of anaemia, was a particular problem for the deer industry in the 1980s. Because ticks spend most of their life off animals, controlling ticks by treating animals has a limited impact on the total population of ticks on a farm. It may be important to deal with large infestations on animals, and any new and immediate threat, by chemical control. Understanding the conditions that favour ticks, and managing pastures and grazing to reduce tick survival in the pasture, will be more effective long-term. • Nita Harding is DairyNZ animal husbandry team leader.

How are you tracking? Let’s talk. 0800 6455 482

INSPECTING FOR ticks is recommended as part of general biosecurity precautions when animals arrive on a farm. Even if no ticks are found, all animals should be quarantined for 7-28 days, depending on the disease threat. If ticks are present, the risk of Theileriosis can be assessed and precautions taken to protect the resident herd, if necessary. Currently, two tick treatments are licenced in New Zealand. When used according to the manufacturers’ recommendations, especially frequency and quantity of use, the products have a nil milk and meat withholding period. As pyrethroid is the only ectoparasiticide suitable for such use, overuse is discouraged, as this could hasten a resistance to the chemicals and leave farmers with no suitable products for treating lactating dairy cows. Control of ticks by pasture management Ticks require adequate cover for survival. Long, rank pasture, fern, scrub, rushes and sheltered areas along hedges favour tick survival. Newly developed or closely grazed pastures are unlikely to offer much protection for the various stages of the tick life-cycle. Well-managed dairy pastures will have little in the way of suitable tick habitat. Pasture at runoffs may be of more concern, as it may not be grazed as intensively and may have rougher areas difficult to graze closely. The longer grass around a paddock’s edge after a crop has been harvested (silage, hay or maize) can be an area where favourable tick habitats exist. After not being grazed for some time, this may contain large numbers of ticks awaiting hosts. Warm, moist conditions enhance tick survival and development. When seasons are unusually warm (winter 2013) or when paddock conditions remain moist, more ticks will survive. Farmers in areas of the country where ticks occur may find it useful to evaluate the tick risk of their paddocks, based on how favourable conditions at the base of the pasture are for ticks. Longer grass and sheltered paddocks are likely to be higher risk and the first grazing of these paddocks may be best done by older stock, rather than more susceptible younger stock such as calves. Estimating tick abundance and activity is best done by a blanket drag. A white woollen blanket or piece of corduroy, about 50cm wide, stiffened by a pole or cane, and up to 1m long, is dragged by a string along a series of 5m strips of vegetation until ticks are found. Adult ticks that attach to the blanket can be counted. Larvae are best counted and removed at the end of the series of drags because they are not easily dislodged from the blanket during sampling.

DAIRY NEWS FEBRUARY 11, 2014

ANIMAL HEALTH // 37

Lepto vaccination advice change ANDREW SWALLOW andrews@ruralnews.co.nz

HAVE YOU had your herd replace-

ment calves vaccinated for leptospirosis yet? If not, there’s no time to lose, judging by a change to what is considered best practice to protect herds, and, arguably more importantly, staff and other industry personnel, from the potentially fatal disease. In a change to the Leptosure programme, the NZVA is now recommending vaccination of calves 10-12 weeks after planned start of calving, as opposed to the traditional six-month-old start to a vaccination programme. It follows an NZVA-contracted review of the disease by Massey University which found some herd replacements are infected prior to vaccination and continue to shed the bacteria long after vaccination, putting people working with the animals at risk. “We know that delayed vaccination is a risk because if an animal is exposed to the disease prior to vaccination, vaccination won’t eliminate the disease,” NZVA veterinary advisor Roger Marchant explained to Dairy News. “And the longer we delay vaccination, the more chance the animal will be exposed to the bacteria.” While most dairy herds are vaccinated, a pilot study suggests many will harbour a few of these cows that became infected before vaccination and consequently shed the disease persistently, notes Marchant. Other risk factors for calves picking up the disease are lack of colostrum, unvaccinated stock, wet conditions and rodents, which carry the disease.

While an antibiotic treatment prior to vaccination will eliminate any disease present, blanket use of such treatments wouldn’t be practical for cost or antimicrobial ■■ Caused by various strains of resistance risk reasons, Leptospira bacteria. says Marchant. ■■ Spread in urine;. After the first ‘sen■■ Whole herd annual sitiser’ vaccination for vaccination required. ■■ Assume incoming animals a calf, a booster should unvaccinated – give antibiotic be given 4-6 weeks later and vaccine. and a third vaccination ■■ Legal responsibility to protect in autumn about the same staff. time as the main herds’ jabs ■■ Develop protection to bring the young stock programme with vet. into sequence with the main See www.leptosure.co.nz for herds’ annual programme. more. While going earlier than 10 weeks post start of calving Of the 113 cases in 2012, 80 were with the first jab might be convenient from a workload point of view in people with an occupation consid– for instance coinciding with dehorn- ered high risk for leptospirosis, and ing or clostridial vaccinations (5 in 1 of those, 58 (72.5%) were farmers or etc) – there’s a risk the vaccine will be farm-workers, mostly dairy. That conineffective due to the tail-end effects trasts with a 2002 review of the disof immunity conferred through colos- ease which found incidence highest among meat processing plant worktrum, says Marchant. At latest, the two initial vaccina- ers, livestock farm workers being the tions, 4-6 weeks apart, should be done second-most frequent. Lead author of the NZMJ article, by six months. Marchant’s comments follow a Margot McLean of Lower Hutt DisNew Zealand Medical Journal article trict Health Board, told Dairy News last month which highlighted the the flu-like nature of mild cases probrisk to staff from herds where infected ably means many go unreported or cows may have slipped through the unrecognised by GPs despite the disease being notifiable. vaccination net. “GPs in rural areas are more aware In one spring three staff on one Wairarapa farm contracted the disof it but it’s still not a very common ease, two of them requiring hospital disease… If you think there’s a risk you might have leptospirosis, you treatment. The article noted introduction should mention that to your GP.” Personal protective equipment for of cattle vaccines for leptospirosis in 1979 saw human cases quartered, those working in risk environments, from 677 in 1979 to 179 in 1982. Inci- such as a milking shed, should include dence continued to ease into the gloves, aprons, and, the NZMJ article 1990s but since then there’s been no argues, face protection. decline with about 100 cases/year @dairy_news notified – 113 in 2012, 68 in 2011. facebook.com/dairynews

LEPTOSPIROSIS REMINDERS

Types of Theileriosis worldwide THEILERIA:

genus of blood-borne parasite of cattle, transmitted by a secondary host tick. It is similar to malaria. Theileriosis is the disease that may result from infection by Theileria. Theileria annulata: a species of Theileria that causes a disease known as Mediterranean Fever, affecting cattle in the Mediterranean (southern Europe and Africa north of the Sahara) and the Middle East.

Theileria parva: a species of Theileria that causes a disease known as East Coast Fever, affecting cattle in sub-Saharan Africa. This is the most severe of the Theilerial infections. Theileria orientalis: a species of Theileria that causes a mild to moderate disease, principally in the Pacific Rim countries, but also known from North and South America and Europe. It has been known as T. buffeli and T. sergenti. Up to

eight different strains have been identified. Type one: Chitose is a mild strain known worldwide. Type two: Ikeda is the strain responsible for the disease outbreaks in Australia and New Zealand, and known previously to cause disease in Japan and Korea. Type three: Buffeli is a mild strain known worldwide. Types four through to eight are unnamed and not classified taxonomically. – DairyNZ

Infected cows pose risk to staff.

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DAIRY NEWS FEBRUARY 11, 2014

38 // FENCING & FARM BUILDINGS

Benefits of fencing waterways FENCING FARM waterways has

many benefits. It helps stabilise banks by preventing treading and erosion and reduces the risk of stock bogging or drowning, says DairyNZ. Fencing to keep animals out of waterways leads to better water quality by reducing the amount of faecal matter and sediment deposited directly in water. This helps improve habitat for fish and other freshwater life, improve the appearance of the waterway and

reduces drain maintenance costs. DairyNZ urges farmers to consider overall farm layout when planning for waterway fences. Along with protecting waterways, new fencing could improve subdivision for grazing management and stock control. For fence placement: Go for a minimum set-back of 1m where the paddock slope toward the waterway is less than 10 degrees. (The set-back should be greater if you are going to be planting.)

USE OF TEMPORARY FENCING TEMPORARY ELECTRIC fences are helpful to protect sensitive areas at critical times. For example, you can run a hot tape around wet areas and seeps in winter to keep stock out and avoid pugging. DairyNZ recommends contacting your regional council for assistance. “Many regional councils provide free advice on fencing and other aspects of waterway management. Most provide free locally focused and helpful publications. Contact them in the early planning stages. Along with professional guidance, council staff can alert you to any regulations as well as funding opportunities. Fencing waterways sometimes removes a valuable source of stock water. Putting in a reticulated water system could be expensive, but can be done in stages over time. A reticulated system contributes to animal health and to milk production and is well worth the investment.

Go for a 3m set-back of ungrazed vegetation where the slope is greater than 10 degrees. As a rule of thumb, where the land gets steeper the width of the set-back should increase. Set it further back where banks are unstable. Where there are seeps or shallow depressions adjacent to a stream these should be fenced (these areas can provide a disproportionate input of contaminants entering the stream). Weigh up straight lines (less materials and labour to install) versus following the waterway course (possibly less grazing land lost). Choose fencing that suits your budget and your current set-up but make sure it’s stock-proof. DairyNZ says nine wires with battens is best for permanent fences. A two- or three-wire electric fence with permanent posts is enough to prevent cattle entering a waterway. For a single wire fence on a 1m set-back, increase the margin a little to allow for the grazing that will occur under the fence. Be sure to allow for access when needed. For margins retired permanently, removable wooden rails in a

convenient spot will make it easy to free stock that might get in. For areas that require drain clearing, an electric fence that can be removed or dropped will allow easy access. Where fencing is more permanent, adequate spacing should be left between the waterway and fence for digger access. Coping with floods Simple one-wire or two-wire electric

fences are good choices in flood prone areas. They are less likely to collect debris or be swept away in floods. They are also easier to reinstate after a flood. There are other ways to reduce damage and repair costs in areas prone to flooding. Place fencing a greater distance from the waterway (especially on the outside of bends). Also, place posts further apart.

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FENCING & FARM BUILDINGS // 39

Well-designed feed pads meet rules, aids production A FEED pad on a farm is a specifically designed area with a hard surface used to feed out supplements. The pads are normally sited near the farm dairy where stock can be held for short times and given supplementary feed, says DairyNZ. There are food safety, district and regional council regulatory requirements for feed pads: New Zealand Food Safety Authority (NZFSA) rules cover minimum distances between the milk contact areas and sources of potential food contamination. Factors such as feed storage, effluent containment, and the use of recycled yard wash water and rodent control will need to be considered. Each dairy processor may also have some requirements in their terms and conditions of supply which you should be aware of when you design your pad. The regional and district councils are likely to have rules about the construction materials and sealing requirements of the pad, as well as the proximity to neighbours,

roads, surface and ground water, bores and odours. DairyNZ advises farmers to get plans signed by a dairy assessor or dairy processor, and check with the district and regional council before construction to meet any rules or regulations. When choosing a site for your feed pad, visit existing feed pads on other farms to see what works well for them. Here are some considerations for site selection: All minimum distance requirements controlled by regulation will be met. Proximity to the dairy (meeting minimum distance requirement), proximity to supplementary feed stores and races. Ease of cow flow, particularly if cows enter or exit the dairy through the feed pad area Access for vehicles for feeding out and cleaning the pad, including turning areas. Access to fresh drinking water for cows. Fit with existing services (water, power, effluent systems). Effluent management (proximity to exist-

ing effluent system, use of natural slope where possible). Trees and other vegetation for shade and wind protection. Some distance from calf rearing facilities to prevent cow flow issues. Feed pad dimensions may vary a little to suit the farm. The following guidelines are for a feed pad used only to hold cows for a short time while feeding. If the pad is designed to be used as a standoff area, more space is required per animal. Allow 4.5-6.0m wide feed lanes for easy tractor and feed-out wagon access; single cow lanes should be 4.0-4.5 m wide, double cow lanes should be at least 7.0 m wide. Entry and exit points and turning areas for cleaning and feeding out should be wide enough (at least 8-10m) to allow free flow of stock and vehicles. Length of the feed face if feed is available continually should be 300500mm/cow and length of the feed face if all cows are fed at once should be at least 700mm/cow. Overall, space requirements are 3.5m2/cow on a

feed pad when it is being used for short times. The surface of the pad needs enough slope for drainage; 2-4° is common. The pad surface should be made from reinforced concrete. If feed bins/ troughs are used, cows and machinery are likely to travel over the same

Feed pad

area, so use higher MPa (strength) concrete with a textured finish. If you have separate feed and cow lanes:

Feed delivery lanes (for tractor access) should be 25-30 MPa to allow for heavy machinery and should have a smooth

finish for easy cleaning. Cow-only lanes should be 20 MPa with a rougher, textured finish to reduce the slipperiness.

PROPER FEEDING FACILITIES CONSIDER WHAT type of supplementary feeds you will be feeding as this will influence the feed distribution system. There are three options: feed bins, feed troughs and feed lanes. When designing the feeding facilities, take into account: ■■ The inside floor of the feed bin should be 150mm above the level of the cow’s front feet. ■■

Bins, troughs and

feed lane walls should be 500mm high. ■■

■■

Bins and troughs should be no more than 1000mm wide. Installing wires or piping is useful to prevent cows getting into the feed. Feeding supplements is easier if the feed pad design allows a side-delivery feed-out wagon to be used.

storage close to the pad will save time. Ensure any leachate from feed is contained and does not enter waterways. ■■

races so that dominant cows cannot monopolise both the feed and the water at the same time.

Free access to fresh drinking water is critical; place water far enough away from the feed

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DAIRY NEWS FEBRUARY 11, 2014

40 // FENCING & FARM BUILDINGS

Wairarapa family lauded for wetlands care COMBINING GOOD

Jane Donald (left), Ben Gillett and Paula Gillett on the shores of Haywards Lagoon.

farming practices with proactive steps to look after the wetlands on their beef and dairy farm has earned the Donald family, in Wairarapa, the title of National Rural Wetland Champion for 2014.

To celebrate World Wetlands Day 2014 on February 2 the National Wetland Trust and the DOC worked with regional councils to find New Zealand’s most wetlandfriendly farming families. Wetlands are impor-

tant to maintaining a healthy environment, playing a key role in water purification and flood control. Protecting wetlands and minimising the impact of farming on these ecosystems benefits everyone. Seven regional councils were keen to recognise and reward wetlandfriendly farmers in their region and submitted nominations to a judging panel. The judges -- National Wetland Trust founder Gordon Stephenson, trustee Keith Thompson, and Jan Simmons – were impressed with wetlands conservation work by farmers nationwide. They named the Donald family as champion for 2014. The family has farmed beside Lake Wairarapa , at Big Haywards Lagoon, for 150 years. The judges stated that: “This farm ticked just about all the boxes for environmental best practice.” Farming and wetland management spans several generations in the Donald family. They’ve worked since 1856 to protect and restore at least 300ha of nationally significant wetlands on the eastern side of Lake Wairarapa. In nominating the Donald family for the award, the Wellington Regional Council described Jane Donald, daughter Paula Gillett and their family – present and past – as role models for wetland restoration in New Zealand. The Wellington

Regional Council praised the Donald’s ability to marry their farming and conservation of their wetlands. “Canny initiative and perseverance describe Jane and Paula’s approach to wetland development and protection. This land has been farmed by the family since 1856. During this time there has been a long association with farmers, hunters, conservationists and local councils. Most of the land farmed by the Tairoa partnership is protected by a QEII covenant with actively managed functioning wetlands. “Areas of remnant native forest have been, and continue to be, fenced off with a continuing programme of weed and animal pest control in and around the wetlands. The farming operation is strategic, the beef farming being associated with the wetlands and lake shore and the dairying occurring inland separated from the wetland complexes. The farm and integrated wetlands provide a showcase for protecting biodiversity and water quality and enhancing it in a practical and innovative way by clever land managers using agricultural tools.” One example of the how Donalds incorporate conservation into their farming is their use of cattle to control weeds. They graze open areas in summer to control weeds such as wild tall fescue and maintain waterfowl habitat. This shows farming and wetlands can coexist.

WAYS TO NURTURE WETLANDS TO CONSERVE their wetlands the Donald family have had the wetlands permanently protected by a QEII National Trust covenant and as part of their farming operation they also: ■■ Keep stock out of waterways and other sensitive areas. ■■

Plant native wetland plants to restore habitat.

■■

Manage pests and weeds to enhance native wildlife.

■■

Design their culverts to ensure fish can move freely.

■■

Carefully manage fertiliser and dairy shed effluent to minimise runoff and return nutrients to the land.

■■

Use a feed pad to reduce trampling by stock and erosion.

DAIRY NEWS FEBRUARY 11, 2014

FENCING & FARM BUILDINGS // 41

Cows come first in housing designs

TOP VENTILATION AND LIGHT ESSENTIAL Ventilation in barns should be good enough that condensation does not drip from the roof. A temperate climate means that barns can be open on three or four sides. Wind or shade curtains can be used if weather protection is needed and air vents should be built into the roof structure. For light levels, a good ‘test’ is that there is enough light to allow reading anywhere in the facility during daylight hours. Providing a night light may stimulate cows to eat more, and will reduce panic in response to sudden noises. Covered shelters can help to control heat stress during hot summer months, and provide shelter in cold weather. Providing shade and shelter can help reduce the energy spent by the cow for thermo-regulation, therefore optimising milk production or weight gain. Slatted floor barns are a slight variation on the traditional freestall and loose housed pad or barn. They have concrete panels which allow effluent to fall through, and be collected in an underground bunker. The roof should be made of plastic or clear polythene that allows light onto the pad, which helps kill bacteria. The roof design should allow for plenty of ventilation, which reduces odour and moderates temperature. Slatted floor shelters are not suitable to calve on, as calves’ feet can become trapped. If they are required for calving, then matting should be placed over the slatted area to prevent calves’ feet from injury, or install narrower slatted concrete in the calving area.

out adequate space will become increasingly ‘agonistic’ (aggression caused by having to compete for food and space). Lactating cows will need more space allowance than dry cows as they need to lie down longer and have a greater need than dry cows to keep their udders clean. Non-slip surfaces must be provided in high-traffic areas such as feed alleys and walking passages, and potential wet areas, such as around water troughs. Stamping, scrabbling or grooving concrete will help achieve non-slip surfaces, but should be done in a way that does not increase hoof wear. Rubber mats can improve walking surfaces, as long as they aren’t slippery. On hard-surface pads, effluent should be removed at least once a day. For bedding and soft

Many factors must be considered when building a barn.

surfaces, regular bedding changes will minimise hygiene and mastitis risk. Cows should not have to stand in effluent deeper than their hooves. Standing in effluent for long periods can lead to lameness from softened hooves, getting stones caught between toes, and

skin infections. Cows lying in effluent and mud are at high risk of environmental mastitis. Good effluent drainage is important and clean rainwater needs to be diverted away from the facility to reduce effluent volumes. Effluent management systems must be designed

to cope with the additional volume of effluent generated from pads and barns. The longer the cows spend in the facility, the greater the effluent volume generated. During the design stage, thought needs to go into how effluent solids will be captured and utilised.

There is a variety of ways of capturing, storing and applying solids. Take care when applying solids to land that the district and regional council rules are met, particularly the location of solids application and the high nutrient content of effluent solids.

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A roof increases the life of bedding material, barns are specially built allowing the use of more facilities where animals absorbent materials such can be contained off pasas straw. Cows shouldn’t ture for lengthy times. spend any longer than 12 According to DairyNZ, hours on a concrete surthey are often combined face if they do not also with feeding facilities where supplementary feed have access to a soft area is brought to the animal on to lie on. Feeding areas must be the pad. designed for easy access; There are food safety, district and regional coun- young cows should not be denied access by the cil regulatory requiremore dominant ones. ments for pads and barns. Where feed is freely availA huge number of factors able, space allowance at must be considered when the feed table or bin can designing, building and managing a covered pad or be 300-500mm/cow. If barn. The following points cows are fed all together simultaneously, this discuss the main requireshould increase to at least ments for the cow. 700mm/cow. A dry, comfortable For easy access the place to lie down. level of the feed table or A cow needs at least 8 bottom of the feed bin hours of lying every day. should be 200mm above It needs a dry, comfortthe level of the cow’s front able place. The longer the feet. Individual stanchions confinement, the better may reduce competition, the surface must be. A butit’s post andand rail easier systems ‘drop test’ is a good way to I like the Nevada PondBoom because safer to manage than having give it onbetter a floating pontoon. access. assess ifthe thepump surface is well The area per cow and cushioned: drop straight the comfort of the suronto the surface on your face are very important. knees. If the surface is so The area per cow requirehard it hurts you, it’s too ment depends on the size hard for your cows. There of the cows and the length are a number of surfaces of time they will spend in available including wood product, rubber and straw. the facility. Cows withCOVERED PADS and

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DAIRY NEWS FEBRUARY 11, 2014

42 // MACHINERY & PRODUCTS

Fencing champs take $1000 prize TAUMARUNUI FENCERS Bill Brewer

and Simon Green have set a world record of 11 m 38 sec for putting 30 battens on a nine-wire fence at last month’s inaugural Fairbrother Speed Fencing Challenge. The competition attracted about 20

competitors who put their stapling skills to the test at Grasslandz Agricultural Machinery Expo in the hot summer sun at Eureka near Hamilton. Brewer and Green took away the $1000 first prize. Fairbrother Industries sales manager Ken Lawson says the event attracted

fencing contractors and young farmers who don’t enter formal fencing competitions. This competition is a world-first from Fairbrother Industries (www.fairbrotherind.com), which makes fencing and farming equipment. Lawson says

Winners Bill Brewer and Simon Green.

The fencing competition attracted 20 competitors.

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For each nine faults contestants had to add another batten.

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DAIRY NEWS FEBRUARY 11, 2014

MACHINERY & PRODUCTS // 43

Feed-roll technology leaves no stone unturned at harvest AT THE Agritechnica trade fair

last year, New Holland unveiled Dynamic Feed Roll technology as an option for the powerful twin-rotor combine harvesters, the CR8000 and CR9000. The feed roll with its new dynamic stone protection system is installed tangentially across the two longitudinal rotors in the combine harvester, the company says. The Dynamic Feed Roll delivers the harvested grain uniformly to the twin rotors as well as providing an effective method for stone protection on the move, by way of a stone catcher trough beneath the feed rotor. Many years of trials at the R&D Centre in Zedelgem have demonstrated that this feed roll delivers tangible benefits in terms of grain quality. Furthermore, the tests have shown that the Dynamic Feed Roll requires no additional power requirement because the improved crop delivery to the rotor area actually reduces the need for power. The advantages for the user are: ■■ continuous ‘nonstop’ stone protection ■■ excellent grain

quality ■■ improved crop flow through continuous supply to the rotor ■■ less strain on the rotor drives The Dynamic Feed Roll technology is being offered as an option for all CR combine harvesters from 2014 onwards. New Holland is imported in New Zealand by C B Norwood Distributors Ltd.

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DAIRY NEWS FEBRUARY 11, 2014

44 // MACHINERY & PRODUCTS

Rocker switches shed new light in cabin

The NARVA 12-Volt rocker switches are printed with popular 4WD accessory symbols and can also be customised for other uses.

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Herringbone Feed Systems Stainless steel ensures hygiene is excellent One dispenser per cow, clear dispenser allows plenty of light in shed Non-breakable drop tubes with no blockages in drop tube Sheds from 10 aside to 73 aside, using PKE to dairy rations Feed rates as low as 0.5 kg upwards

Rotary Feed Systems Stainless trays, anti-robbing bars Single or multiple auger lines Liquid injection Mineral additive line suitable for EID systems

owners of 4WD recreational and work vehicles can easily find and turn on accessories when it’s too dark to see clearly in the cabin. The fully sealed, globeilluminated 12-volt rocker switches are printed with the most popular 4WD accessory symbols and built tough for demanding off-road environments. They will continue to work long after low quality switches have parted company with wires or just stopped working. For a long operating life, the switches feature a fully-sealed fascia, which prevents dust, water or other debris fouling the switch mechanism. Users will also appreciate the generous proportions of the switches, which make them easy-toengage over rough terrain, while the sealed design means that muddy or wet fingers won’t pose a problem. Available in ‘off/on’ and ‘on/off/momentary on’ (ideal for winching), the switches feature a dash-light function that turns on with the park lights, making them easy

to locate at night or in poor light conditions. When engaged, the backlit symbol also illuminates, confirming to the operator that the accessory is on. The range of 4WD switches are screenprinted with a white symbol and title printed on a blue lens with most of the popular 4WD accessories covered. Available symbols include: driving lights, fog lights, front and rear diff locks, compressor, back-up lights, auxiliary lights, roof lights and winch. Should a different symbol or colour be required, the globe illuminated switches are also available in blank amber, blue, green or red options allowing the user to customise, via a decal set containing 50 popular 4WD accessory symbols. The globe illuminated switches are easy to wire and suit both negative and positive switching systems found in late model 4WD drives and utes. Users wanting to bank a number of switches can do so via inter-connecting mounting panels.

Press Screw Separators A simple solution PPP installed NZs first separator in 2002 Clarifiers available for extra screening down to 80 microns

Automated Calf Feeders Rear better heifers for more milk production Save on labour Offers every calf the same opportunity Europe number #1 selling system Auto wash system

On Farm Milling Disc Milling Australian dairy farmers say “for less grain you produce more milk”

Phone: 0800 901 902 | Email: sales@pppindustries.co.nz

Check out our website: www.pppindustries.co.nz

See us at the Field Days South Island - site 426A Northland - Site 270 Central Districts - Sites 10a/11a

Lely farm tech centre opens DAIRY PLANT manufacturer Lely last month officially

opened a technology learning centre in the Netherlands. The company says the new campus paves a way towards sustainable and innovative business in the agricultural sector, for “an enjoyable future for people and animals”. Dutch Queen Máxima officially opened the Lely Greenest Innovation Campus in Maasluis. She then took part in a discussion on the future of dairy farming. Lely says the challenge dairy farmers face in the Netherlands, in responsibly supplying a growing population with dairy products, is felt all along the production chain. So the developments by Lely will help. As a producer in the agricultural sector, sustainability is a clear concern, the company says. “There is no question that this new building had to comply with the strictest standards of sustainability. The Lely Campus has been awarded an‘outstanding’ certificate as the most sustainable office and production complex in Europe”

DAIRY NEWS FEBRUARY 11, 2014

MACHINERY & PRODUCTS // 45

Gallagher HR5 rewrites animal recording history can enter it straight into the HR5 and all the its new HR5 hand held information previously EID tag reader and data collector allows the user to recorded on that animal record, edit and customise will become immediately livestock data on the spot. available to you.” He anticipates huge The HR5 is ‘big brother’ interest in the product to the company’s awardhere and worldwide. winning HR4 EID tag “It’s a great tool for reader and data collector. assisting farmers It can record and display to make data such as breed, sex, condition score and pregnancy status. “But uniquely,” quick says marketing and well-informed manager Mark animal management Harris, “the HR5 also decisions, and also for has an alpha-numeric helping them to meet keypad that enables the NAIT For user to immediately I like the Nevada PondBoom because it’srequirements. safer and easier to manage pump having it on a floating example, if youpontoon. have lots enter orthe edit datathan without having to return to a PC or of animal movements onto and off the farm, weigh scale.” this device makes it This makes it very easy to record the NAIT powerful, Gallagher says. information and buyer/ “There is nothing close seller’s details when to it on the market. It’s a the stock are sold or massive leap forward for purchased.” EID-based technology In the case of a lost EID because it enables farmers tag, the user can simply to easily collect and type the visual ID number record virtually limitless straight into the HR5, amounts of information insert the new eartag and on their animals.” scan the new EID number. He says the ability to The animal’s history will enter or edit data on-thethen be transferred to the spot saves a lot of time new EID number. Harris and hassle. The user says the user-friendliness doesn’t even have to be within tag-scanning range of the HR5 is another key of an animal to record and point of difference. “Our designers have display data. simple icons for the menu “If you can read the system smartphonevisual tag number you GALLAGHER SAYS

style which makes the HR5 straightforward to operate, even for people who aren’t computer savvy.” The HR5 has a 2.8-inch backlit colour screen – easy to read inside and

outside. The device’s animal performance software (APS standard) interfaces with all Gallagher readers and weigh scales.

$199+GST, this software comes free with HR4 and HR5 readers. The HR5 also enables the user to add and edit

session names to make it easy to identify sessions once they are uploaded into the APS software. Pre-defined colour-coded lists allow the quick and simple sorting of animals on-the-go, again without the need to be at the weigh site.

And mothers can be linked to their offspring as soon as their EID tag is entered. Birthing details can also be added to these records. Numeric text, date and pick-list type traits enable the user to record observations on individual animals, and

animal notes can be set to appear automatically when the animal is next scanned. Bluetooth-enabled, the HR5 and HR4 are supplied with a standard USB cable for connection to a PC. They can also be charged via a car charger.

The ultimate in pond safety Only from your Nevada NZ distributor. Effluent pump pontoons are a serious hazard for workers. That’s why Nevada developed the innovative PondBoom™ – a winch and trolley system that allows you to quickly retrieve the pump from the safety of shore.

0800 464 393

Call or visit www.nevadanz.co.nz for more info.

STEAL FROM US FAIRBROTHER Rancher Deluxe FIRST HIGH TENSILE BEAM

Go to www.ruralnews.co.nz/butterbell to enter

Farmers can easily record and store information.

Gallagher HR5 handheld EID tag reader and data collector.

READ AND WIN

From the Butter Bell Crock range comes the new CowBell crock. Made from durable New Bone China, the CowBell crock is guaranteed to keep your butter fresh and spreadable for weeks without refrigeration - holding up to 150 grams of butter inside. Order direct from www.butterbell.co.nz or follow the link below to order.

This software makes it easy to transfer data between devices and to analyse all animal information in one place. Valued at

7990

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• 14 safety features • First postdriver sold to Royalty • First Super 6 pulley design system

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DAIRY NEWS FEBRUARY 11, 2014

46 // MACHINERY & PRODUCTS

More efficient harvester CASE IH is extending

the proven VariCut 3050 header series for the 2014 growing season, with a new 12.5m now topping out the range. “This new header offers the opportunity to make better use of the high threshing capacity of the latest Case IH combines and further increase harvesting efficiency,” explains Tim Fanning, operations manager for Case IH. “Furthermore, this new 12.5m VariCut header offers the optimum working width for Controlled Traffic Farming systems based on 12m widths, which are becoming increasingly popular on larger farms across Europe.” The new header features several new developments and innovative technologies. In addition

to the rugged frame and the double floor design, a one-piece reel is used. This allows for an optimum field of vision, even with such a large working width. Short or long grain dividers, as well as sideknives for oilseed rape, are available as options. Header knife position can be adjusted within a 57cm range, allowing for optimum adaptation to dif-

NEW FEATURES ■■

Working width increased to 12.5m

■■

One-piece reel allows for optimum field of vision

■■

Case IH Field Tracker with four sensors provides perfect ground-hugging

■■

Ideal header for Controlled Traffic Farming (CTF).

ADR 500 Effluent Screening Plant

r All plant and pumps very low kW r Self cleaning screen r Self cleaning ponds

COVERED BY N.Z. PATENT APPLICATION No. 591985

r Effluent is clean enough to be pumped into a pivot system if required r Screens out everything bigger than 1 mm

Pluck’s LP35E Even Cover Effluent Irrigator Covered by:

PATENT No. 578084

r No dark strips down the paddock

Applied Depth – Depth 54 0 –5 32 No 1 Overlap mm 0

just 5 mm applied depth!

Test 1

Test 2

Test 3

••••• • • • •• •• • • • • • • • • • •• • • • • • •

–20

–16

–12

–8

–4

Distance (m)

•

r No puddles left behind r Meets even the toughest New Zealand Effluent Enviro Standards r Has the Most Even Rain Cover over wetted width in New Zealand by far

ferent crop situations and the hydraulically-driven reel can be operated above or below the level of the knife, with a patented reel protection system avoiding contact between reel and knife, particularly during knife extension or retraction. Without using tools, the angle of the reel tines can easily be adjusted from the side of the header. All these VariCut features are designed to ensure the engine and the threshing and cleaning systems – and hence the combine as a whole – operate at full capacity and efficiency. Optimum protection of the auger is achieved through a centre mounted support assembly, says Fanning. “With the huge vol-

Take your Effluent Pond from crusty to aerobic from this …

using one of these:

to this …

All the bearings and seals are above the water line.

The EPS Stirrers come in a range of sizes to suit anything from your sump to a huge pond.

Call us now to find a distributor and installer in your area

0800 PLUCKS 0

www.plucks.co.nz enquiries@plucks.co.nz Main South Road, Rakaia 7710 Mid Canterbury

VariCut 3050

umes of crops we must also ensure we optimise the crop flow as it transitions from the auger to the intake elevator,” he says. “Our split auger design ensures this happens. In order to reduce power consumption and balance the header, the knife is separated in two halves, one being driven from the left and the other from the right, thus reducing the strain on the cutter bar and enhancing reliability.” Auger retracting tine guides are now made of high-strength polyethylene, with improved wearresistance properties and new geometry, for prolonged replacement intervals. Case IH engineers have also improved the Field Tracker system, with four sensors now provid-

ing enhanced ground hugging on hillsides and in uneven fields. “The new header not only optimises the throughput of our AxialFlow combines, but also opens new pathways to more sustainability and improved soil protection, not least from fewer field passes, shortened turnaround time and – in conjunction with the track systems available for the front axles of Case IH Axial-Flow combines – markedly lower soil pressure”, says Fanning. The new header can now be ordered for the 2014 harvest season. Case IH is imported in New Zealand by C B Norwood Distributors Ltd. (0800) CASE IH or visit www.caseih.co.nz

Mix and apply

Urea

Boron

Calcium Magnesium Thistle Spray

or whatever

in just one pass

Sample

Recipe

Urea: 35 kg Boron: 1 /ha kg Lime Flo /ha ur: 100k g/ Magnes ium: 5kg ha /ha Thistle S pray: 2li tres/ha 35 hecta res 1 Tow an d 3 minute Fert load s per he ctare

Or have the mix for consulta nt based mulated by your n on soil a nd pastu utritional re tests

Tow anD Fert

- 3 Models to choose from; 1000, 1200 and 4000 litres Fr om $ - Up to 24 metre spray width 13, Only 900 - Dissolves Urea in minutes + - Mix ďŹ ne particle suspension products easily with no blockages GST - Mix biologically active products without harming the microbes Call now for an on-farm demonstration or Free DVD 0508 747 040 www.towandfarm.co.nz

Providing the most comprehensive Dairy Livestock network in New Zealand.

Talk to us today about your Dairy Livestock requirements: JON LEE North Island Dairy Manager Ph 027 839 7073 PAUL EDWARDS South Island Dairy Manager Ph 027 442 5028

So many ways to buy and sell dairy livestock with Agonline Freephone 0800 2466 5463 www.agonline.co.nz

www.pggwrightson.co.nz

| Helping grow the country