ATS Newsbrief August 2014
At the time of writing this article there is a lot of speculation from economists and industry analysts around the predicted dairy pay-outs for 2014/15 following the recent drop in global dairy prices. The prediction is dairy farmers are facing a $3.8 billion pay cut next season if the dairy payout drops below $7.00kg/milk solids, with some industry commentators predicting the payout could be as low as $6.00. If reported figures are right, and 25 percent of dairy farmers have production costs of more than $5.00kg/milk solids, then it is certainly creating a tenuous position for some. Neal Shaw, Group CEO
Upcoming Events
Farm Safety Training 19 August 16 September 21 October 18 November
For more information or to RSVP, call 0800 BUY ATS (289 287) or go to www.ats.co.nz/ farmsafety
7 September Father’s Day
22 September South Canterbury Anniversary day
We are all familiar with the cyclic nature of farming, across all sectors—dairy, meat and arable. There are always highs and lows and the current dairy situation is likely to be no different.
28 September
Past experience shows us that when prices are up, there’s a bit more of a relaxed attitude to spending. Price is always important, but is not the only focus during buoyant times.
Labour Day
Conversely, when market prices drop, we start to see a significant change in spending habits with non-essentials being the first to drop off the shopping list. This is why it is so important to ensure the running costs of your business are such that they can sustain these market fluctuations. If you have control of your costs during the good times, it sets you up for the tough times when they arrive. By doing this, it allows you to manage your spending and ultimately your business throughout all the peaks and troughs the farming sector faces. ATS is no different, and we have also been repositioning the business over the last 12 months because we know there will inevitably be fluctuations within the market and it will have an effect on us. We know we have to be prepared for changes when they occur. We have to control our costs to ensure we provide value for our members through the good and the bad times. Farmers are looking to keep input costs as low as possible, our role is to facilitate this and ensure that our costs are managed in such a way that we can deliver on that expectation of best price and best service.
ATS Ashburton account payment boxes As of 04/08/2014 there will only be one account box located in the ATS Ashburton store located next to the reception desk. This means we will no longer have an after hours payment box located outside the store. This change is being made to ensure security of payments received. We have not had any issues with theft in this form previously but we want to minimise the potential risk. For more information contact ATS Finance on 0800 BUY ATS (289 287).
Daylight Savings
27 October 31 October & 1 November Ashburton A&P Show
ATS are proud to support the 2014 Ashburton A&P Show. Please come and join us at the ATS marquee for lunch. Don’t forget your Ruralco Card as you’ll need it for admittance.
14 November
Canterbury Anniversary (Show weekend)
Upcoming Industry Events
6 August
Beef+LambNZ Industry Awards The third annual Beef+Lamb New Zealand Sheep Industry Awards will be presented in the War Memorial Conference Centre, Napier. For more information contact mark.harris@beeflambnz.co.nz or phone him on 027 577 9991.
19 August
South Canterbury Agribusiness Group A discussion on the environmental road ahead. Held at the Timaru RSA function room. For more information contact erin.sinclair@dairynz.co.nz or on 021 243 7337.