Ashburton guardian, dairy focus, tuesday, june 23, 2015

Dairy Focus JUNE, 2015

On yer bike Willy Page 3

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Farming Dairy Focus

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INDEX

COMMENT FROM EDITOR

Fit 4 Farming

1

Production down next season

2

Australian farmers confident

6

Matt Jones talks social media

8

Science delivering results

10

Agricultural economics

11

MyFarm awards

14

Andrew Curtis on saving the river

16

Nils Macfarlane on residency issues

18

Enhanced pasture management

19

Thriving calves

20

Exporting dairy cattle

21

Real estate wrap

26

Tighter times on dairy farms will undoubtedly result in shaving back on much of the discretionary spend, including off-season holidays.

While exotic destinations will be off the agenda for many people this year, there’s plenty of other options closer to home.

With concern over stress and mental health in the rural sector mounting, it could be more important than ever to make time for a break before calving gets under way and the situation compounds.

Spending time with the family is always important, but this season it could be doubly so. Children will also be feeling the impact of stress in their parents’ lives – don’t be fooled into thinking it goes over their heads.

Professionals know even very young children are affected by anxiety in the household.

You don’t need to get on a plane to take time out – take a drive into the city, museums usually operate on a donation-based system, as do art galleries – even if it’s not an idea you would usually entertain, you may be amazed by what you find there, and the kids certainly will be.

Go to a family movie, take a walk on the beach or a stroll in the bush – just getting off the farm with the family for a few hours will do

Michelle Nelson

RURAL EDITOR

Tweet me @ladyinredbands

everyone good. Cook damper and baked spuds over an open fire.

If you can get a way for a few days, sit down as a family and plan a road trip. There’s some good accommodation deals available right now.

Head north, stop at Ohau Creek, just above Kaikoura. A short walk through the bush to watch the seal calves frolicking under the waterfall while their mothers’ are out at sea hunting – cost?

Zilch!

Further up the coast a boat trip out into the Abel Tasman National park is a relatively inexpensive way to spend the day, take a picnic and relax.

Not only will it get you off the farm and away from your worries for a few days, it will build great memories for the kids – cost?

Priceless!

CONTACTS We appreciate your feedback.

Editor Email your comments to michelle.n@theguardian.co.nz or phone 03 307 7971.

Advertising Email emma.j@theguardian.co.nz or phone 03 307 7936.

Post Ashburton Guardian, PO Box 77, Ashburton.

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Nadine Porter

3

RURAL REPORTER

Tweet me @farmjourno

On yer bike farmers

By Nadine Porter

Nadine.P@thguardian.co.nz

A Kellogg rural leader’s findings that farmers who had an outside interest during droughts coped better and had higher profitability led to him organising a nationwide cycle tour for farmers.

The Fit 4 Farming national cycle tour begins in March next year but campaign organiser Ian Handcock wants to encourage farmers to get on their bikes now in an effort to achieve a combined goal of cycling, walking or running four million kilometres by next April.

The cycle tour will begin in Ngatea and will include five

Mid Canterbury Federated Farmers chairman Willy Leferink is donning the lycra and hitting the road on his bike in preparation for PHOTO AMANDA KONYN 150615-AK-089 the Fit 4 Farming cycle tour coming to Ashburton next March.

event days on its way through New Zealand, including one in Ashburton on March 28 and will have a peloton of 20 riders.

The Ashburton event day will feature a range of activity options from a 5km walk, run and ride for the young, beginnners and first-timers up to longer runs and rides for more adventurous exercisers.

Run in conjunction with the new Farmstrong rural wellbeing programme launched at the beginning of June, Mr Handcock said he wants the

cycle tour to help make New Zealand the fittest farming nation in the world.

“If we can do that it will mean that we will be more productive on the farm and handle stress better.”

Between now and the tour farmers can pledge to complete a set number of kilometres via the Farmstrong website. So far over 167,000km have been pledged.

“You can walk them, run them or bike them in any combo that suits you and at any time that suits you in the

year ahead. So even if you can’t make tour events, you can still take part and boost your fitness.”

Reaction to the cycle tour and to Farmstrong has been 100 per cent positive, he said.

“People always thought farmers were fit and healthy but it hasn’t been that way.”

He believes automation has been responsible for farmers’ decreased level of fitness and recent data has shown twothirds of farmers pose a cardio vascular health risk.

“Now farming is less manual

than it used to be. We tend to find the easiest way out - like we’ll ride a quad bike around the side of the hill rather than walk around.”

Mr Handcock said exercise was not only good for farmers’ physical health but it also helped their mental wellbeing and was important, particularly with the current dairy prices.

“Any tool the farmers can have that help them deal with financial stress the better it is.”

Getting off the farm and connecting with friends was also invaluable, he said.

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2 4

Farming Dairy Focus

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Milk production will drop due to

Canterbury’s milk production will drop with farmers culling cows to prop up gaps in the cashflow, an industry spokesman says.

With tight times ahead for the dairy sector, Mid Canterbury Federated Farmers president Willy Leferink said next year’s milk production will be down, due to lower cow numbers.

“Most farmers culled earlier and more heavily and will be milking 10-15 per cent less cows this season,” he said.

The purpose was twofold; cutting the cost of feeding less productive or empty cows, and filling in the gaps in the balance sheet.

Mr Leferink said farmers had also been burdened with

Michelle Nelson

RURAL EDITOR

Tweet me @ladyinredbands

on-farm cost increases, with a significant spike in electricity prices. Staffing a dairy farm also came with a high price tag.

“They deserve their wages, don’t get me wrong, but it’s a big cost.”

There was a perception dairy farmers were “creaming it” at the expense of urban populations, while forgetting

the risks involved, he said.

“It’s not only the risks of failing to make your payments – there is nobody standing up to help, other than organisations like Federated Farmers, the Rural Support Trust and DairyNZ.” He said there was real concern about mental health.

“You’re in business and businesses can fail. Some people can’t handle that – they can’t cope with having egg on their face.”

Mr Leferink said it was important for farmers to stay in touch and keep talking, to each other and their banks.

So far as he was aware banks have continued to back cashstrapped farmers.

“I haven’t come across one

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instance yet where the banks have resorted to austerity measures – of course they demand some sort of financial pathway to see how you are going to deal with the issue, but generally they have remained supportive.

“If you haven’t done budgets, you have to do it – don’t think you can knock on the bank manager’s door on September 1 and say I’ve run out of money.

“Keep them involved – I think most farmers would have done that.”

Aside from the falling prices, Mr Leferink said farmers in his neck of the woods were benefiting from the autumn rains and mild winter, with good pasture growth and realistic winterfeed rates.

“In Mid Canterbury we are in a reasonable position to get through the winter as long as they don’t get two snow dumps – then it would become miserable.”

And, in the face of a volatile market, there are messages for the future, Mr Leferink said.

“As farmers we have been really good at transferring potential profits into high land prices, and we forgot to leave some space in the budget for these sorts of events. I’m happy to go on the record saying we are guilty as well.

“But it’s not only dairy – sheep farming is pretty miserable as well.

“We could be in a far worse position, we could be in northern Iraq or Syria.”

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5

lower cow numbers – Leferink Far left – Mid Canterbury Federated Farmers president Willy Leferink.

Left and right – Fewer cows will mean less milk

“

We could be in a far worse position, we could be in northern Iraq or Syria

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2 6

Farming Dairy Focus

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Aussie dairy farmers confident Australian dairy farmers have high confidence in the industry on the back of strong exports to Japan, Southeast Asia, Mexico and the Middle East, according to Dairy Australia’s latest report.

Public forecasting by milk processors of similar farm gate prices for the 2015/16 season has increased farmer confidence with 74 per cent reporting they feel positive about the industry’s future.

Almost 80 percent of farmers anticipate a profit in the current season and that has translated to 52 per cent of dairy farmers indicating enough confidence to invest on farm over the next 12 months.

Just over 40 per cent of dairy farmers have increased their herd sizes and 52 per cent have increased milk production.

Dairy Australia’s revised forecast for 2014/15 now anticipates around 2.5 per cent full season growth with total production likely to be between 9.45 to 9.50 billion litres.

Currently, Devondale, Waraambool Cheese and Butter and Fonterra all

Nadine Porter

RURAL REPORTER

Tweet us @farmjourno

pay $6kg/ms AUST in the Southern regions.

Further growth has been forecast for South Australia in the following year.

However, it’s not all good news with Queensland dairy farmers facing severe ongoing costs and climatic pressures.

A diverse range of markets and products has paid dividends for the industry this season, according to the report with Japan increasing their global milk imports to their highest level since 2007 – a country Australia now has a free trade agreement with.

Coupled with stable exports the industry has seen strong growth in domestic spending with dairy spreads a top performer.

The Australian dairy industry is optimistic on the back of strong exports.

Milk sales locally have increased slowly and steadily, though unit values remain marginally lower.

Overall the Australian domestic market consumes 60 per cent of total milk production.

Over the past season there has been a number of corporate changes to the industry with Murray Goulburn’s capital structure proposal advancing, United Dairy Power ceasing trading and Warrambool Cheese

and Butter acquiring Lion’s everyday cheese business.

Meanwhile, Midlfield Group and National Dairy Products have entered the industry while a number of organisations commenced fresh dairy exports to China.

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What should you do on your farm?

Calculate your current efficiency and identify excess expenditure

By Dairy Business Centre (nZ) LimiteD In response to the low milk pay-out decisions are being made to cut what some classify as “non-essential costs”. This message is reinforced from bankers and accountants whose advice is to reduce spending to ensure losses are minimised.

It is our view at Dairy Business Centre that minimising cost is a good thing, as long as it does not reduce income at a greater rate than the reduction in costs.

There is no point spending one less dollar if that means you get one less dollar in income.

Profitability is the difference between income and cost.

Cutting costs on an ad hoc basis and hoping income is not affected is not a realistic approach to a low milk payout.

Any cost that is part of the core cost structure: herd, shed, pasture, labour, and overhead costs are affecting your income.

Profitability is the difference between income and cost

Excessive spending is another matter entirely. We recommend you minimise this in any season, regardless of whether milk pay-out is high or low.

As an example, take dry cow therapy. This is not an excessive cost because reducing health expenses by not using dry-cow treatment at all will affect the quality and therefore quantity of milk being produced (which reduces income).

Mastitis treatment during the lactation can be seen this way as well. Similarly, maintenance fertiliser is not an excessive cost because

reducing fertiliser and/ or urea inputs will reduce pasture growth and quality and therefore reduce milk production (which reduces income).

Cows don’t produce milk from fresh air.

It is more important in a low pay-out year to understand where the milk comes from.

The industry goes on about the wonderful low cost system we have and how easy it is to follow.

Haven’t we done this in the past year? Weren’t we trying to earn as much money as we could?

Cows don’t produce milk on fresh air

Farmers are not stupid, you have made decisions about fertiliser and feed for good reason. Both work when used properly.

We totally understand the coming year is going to be extremely tight on cash flow,

but remember, for every action there will be a result – good or bad.

Not having enough grass for cows to consume will lead to less energy in the total diet which will do two things - make successful mating difficult and leave the cows short of the energy required to do the milk production in the coming lactation.

Dairy Business Centre have always said that grass down the cow’s throat is the cheapest source of feed and that is as much about stocking rate as it is about grass grown.

Farms in New Zealand have tended to be overstocked.

Now is the time to recalibrate so you get the ideal balance between grass per cow and dilution of working expenses.

Grass down the cow’s throat is the cheapest source of feed Our entire model is based around the cost/benefit ratio

for your farm.

With our model we can calculate what option is best when pay-out goes down and/ or feed cost goes up and vice versa.

To do this we need an accurate cost structure of your farm based on a cashflow or annual cost report and the quantities of individual feeds fed to the animal for the last 12 months.

We calculate your current efficiency and identify excess expenditure. We then go through the options of different feeding strategies i.e. what happens to profit when you: feed more, feed less, change the feed types, increase stocking rate or decrease stocking rate etc.

We calculate where the break-even point lies using indepth sensitivity analysis.

Together we make a budget that is the most profitable under the current circumstances.

We track the plan every day and have monthly key performance indicators on milk production, pasture grown, cow numbers, feed fed, milk income and feed cost.

Tracking is important to ensure the profitability target is met and decisions can be made early when it matters rather than when it’s too late.

Using the tools at your disposal will ensure optimal efficiency. For example, your herd test information to identify animals that are profitable and those that are not, animals that have potential and those that need to go. Another tool is the feeding system - using your individual feeding system to feed the expensive feeds to the cows that make it profitable, optimising feed conversion efficiency and profitability.

And of course pasture management is crucial - using your spring rotation planner and farm walk data, ensuring paddocks are growing at their optimum rate, no pasture is wasted and potential problem paddocks are identified early.

In a low milk pay-out year, the need for the efficiency and profitability analysis is very important and we recommend you contact us before you finalise next year’s budget with the bank.

Accuracy is critical at this time as the ‘heat is on’ from influences out of your control.

Make sure you get the best from the things you can control.

Call us now before the start of the new season and we will show you where you are now and where you could be at the end of the next season.

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2 8

Farming Dairy Focus

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Social media is always listening So you think social media can’t affect your farming business?

You’d be forgiven for thinking farming and online platforms are poles apart, but being dissed online can really destroy your reputation, not to mention put the squeeze on future hires!

With unions now combing through job adverts each week, farmers needing staff for the new milking season risk being named and shamed on social media.

If your current advertised roles list wages below the minimum legal requirement, or the weekly hours are excessive (leading to a low hourly rate under the minimum wage) you could be outed!

The trade union is actively retweeting advertised minimum wage breaches and once you add the public into the mix this can all get out of hand, and fast!

Not only is offering below par remuneration a shady move, farmers advertising low rates for the new season risk the wrath of social media

Matt Jones

STAFF MATTERS

naming and shaming, and word can get around quickly in Canterbury.

Not only can paying below the minimum wage potentially do damage to your business it does our industry a huge disfavour.

As I’ve mentioned before in prior articles, it’s imperative that you keep accurate time and wage records to ensure your employees never fall under the minimum wage.

It’s not just an issue of advertising below minimum wages, some employers are paying an acceptable salary but the hours are so high that the hourly rate falls under the minimum threshold, for example, some jobs advertised are for around 80 hours a week.

The worst offenders appear

to be in the dairy industry and are usually farmers recruiting assistants and herd managers who are on the skills shortage list.

These employees are close to the minimum wage, coupled with working extensive hours, which is far from ideal.

Another issue is farm managers being grossly underpaid, but still well above the minimum hourly rate.

Vacancies have been offering poor wages and many of the variable order contracts being offered to sharemilkers did not meet the standard of a manager.

Farmers were using contracts to bypass employment responsibilities and paying them less than a manager’s salary.

Whether it’s poor health and safety procedures on your farm, sexual harassment

(against a male or female), unfavourable working conditions, exploitation of the minimum wage or disgruntled staff, your business can attract negative publicity via a wide range of social media channels.

Millennials (or our gen Y employees) are often using social platforms and apps that we haven’t even heard of so your business could be subject to a social smear campaign without your knowledge.

Can you risk your farming business’ reputation?

If you’re flying in the face of employment laws regarding wages in your job ads or less than ideal conditions in your workplace, just remember Twitter (and its extended social family) are listening!

It’s just not worth the grief, so pay fairly, provide a good employment package and you’ll find it easier to attract top workers and position yourself as an employer of choice.

Matt Jones is managing director of Agstaff

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Dairy Focus

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Science delivering better outcomes DairyNZ is leading a six-year research programme looking at ways to reduce nitrate leaching losses from dairy, arable, beef, sheep and mixed farm businesses.

Experimental research to tackle these topics is exercising the minds of 50 scientists from DairyNZ, AgResearch, Plant & Food Research, Landcare Research, Lincoln University and the Foundation for Arable Research. There are 32 projects on the go with teams made up of representatives from each of the six participating organisations.

Alternative pasture species Lincoln University’s Professor Grant Edwards, says the first year has been about establishing the programme.

He is leading a research team to determine the benefits of alternative pasture plant species to reduce nitrate leaching from livestock systems.

“We have set up a series of experiments in Waikato and Canterbury around characterising plants in response to nitrogen fertiliser

Professor Grant Edwards speaking at the project field day for PHOTO SUPPLIED researchers.

and grazing management,” says Grant. ”We have also developed some models of urinary nitrogen excretion – volume, frequency and concentration.”

Studies have been established in Canterbury and Waikato to find out whether some plant species have increased nitrogen (N) uptake

and if different fertiliser regimes and alternatives to N fertiliser can increase N use efficiency without penalising production.

“Preliminary results indicate that there are variations in leaching between plant species depending on rooting systems and climatic conditions.”

Researching crop quality

Plant & Food Research’s Dr Mike Beare and his team aim to identify and deliver forage and conserved feed crops and crop management systems that enhance the productivity and nitrogen use efficiency of arable and pastoral systems.

“My team is looking at a range of different crop quality characteristics to improve

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predictions of urinary nitrogen returns and the milk production of cows at different lactation stages,” says Mike.

“Trials have begun in Canterbury and Waikato to look at the interactions of crop type and crop management in order to achieve desirable quality characteristics.”

Other experiments are looking at animal responses to different feed qualities; alternative crop management practices to reduce the risk of N losses following winter grazing; and laboratory experiments to identify the key characteristics of effluents, slurries and manures that affect N release into the soil.

Forages for Reduced Nitrate Leaching is a DairyNZ-led programme in partnership with AgResearch, Foundation for Arable Research, Landcare Research, Lincoln University and Plant & Food Research.

The principal funder is the Ministry of Business, Innovation and Employment; all partners co-fund the programme.

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Alan Renwick

New Zealand’s specialist landbased university has announced the appointment of Dr Alan Renwick as Professor of Agricultural Economics to further strengthen Lincoln University’s teaching and research.

Dr Renwick is currently domiciled in Dublin, Ireland, where he is Professor of Agricultural and Food Economics at University College Dublin (UCD). He will join the Lincoln University team later this year.

“Dr Renwick has exactly the background we need to further strengthen Lincoln’s teaching and research in agricultural economics, and I am personally delighted with the appointment. Alan spent many years at the University of Cambridge in the Department of Land Economy, before heading the Scottish Agricultural College’s Land Economy and Environmental Research team,” says deputy vice-chancellor, Scholarship and Research, Stefanie Rixecker.

“We have managed to secure his skills from his current role in agricultural and food economics at UCD, where he is teaching their BSc in Food and Agribusiness Management, and their Masters in Food Business Strategy, as well as supervising research students and undertaking his own research in this field. His background will complement the team within Lincoln in an area that is key to this university, and to New Zealand as a whole.”

The role of Professor of Agricultural Economics sits within Lincoln University’s Faculty of Agribusiness and Commerce. This year the faculty has announced the appointment of Crawford Falconer of the OECD to the Sir Graeme

Harrison Professorial Chair in Global Value Chains and Trade, and will see the appointment of another two professors over the coming months.

“Lincoln University has been through a period of remarkable change in the last couple of years,” says dean of the faculty of Agribusiness and Commerce, Professor Hugh Bigsby, “and the appointment of Dr Renwick to this senior academic role signals another step-change in the development of our core areas of expertise. The role is one of four senior positions to be appointed this year.”

The Professor of Agricultural Economics will support Lincoln’s new Bachelor of Commerce (Food and Resource Economics) and research Masters’ and PhD supervision in the field of agricultural economics, as well as supporting the faculty’s agribusiness research and teaching more generally.

Dr Renwick says: “In addition to the teaching and research supervision, I am looking forward to joining what is already a world-renowned university with a well-established reputation with the agricultural sector in New Zealand, and helping to build this reputation in the area of agricultural and food economics through my own research, presentations, publications and commentary. It is a very exciting time to be heading to New Zealand and joining the Lincoln University team.”

Dr Renwick will also play a role in OneFarm – Centre of Excellence in Farm Business Management, a joint research centre with Massey University and will work closely with the University’s Agribusiness & Economics Research Unit (AERU).

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Precision aids move from cropping Successfully using precision agriculture technnology already on two of their cropping centre pivots, it was an easy decision for the Mitchell and Webster Group to invest again; this time on their dairy farm. The Group is owned and operated by two families, the Mitchells and the Websters, with 1400 hectares of cropping land around North Otago. In the last two years they have converted 200 hectares of cropping land to dairy and have invested in Growsmart Precision VRI technology and electromagnetic maps by Agri Optics NZ Ltd for the two centre pivots which cover 100 hectares of the dairy farm.

The use of precision agriculture technology on the dairy farm has allowed the Mitchell and Webster Group to irrigate more efficiently through their pivots. They have been able to reduce the amount of water they apply through their pivots while still maintaining soil moisture levels for pasture growth.

They now use the water they have saved to irrigate an

FIGURE 1: EM map of the Webster and Mitchell dairy farm showing the two Growsmart Precision VRI pivots, Dog Town and Hillbrook with a soil moisture sensor under the Dog Town pivot

additional 15 hectares with K-lines. By irrigating this additional area they are able to increase pasture production by 6 tonnes of DM (Dry Matter) per hectare giving them an additional 90 tonnes DM per season and resulting in a subsequent increase in MS (Milk Solids) production. Given a long term payout average of $6/kg MS their expected increase in revenue is $40,0001, a 40% ROI. In addition the

FIGURE 2: Soil moisture sensor under the Dog Town VRI pivot showing that soil moisture levels for the first 3 weeks in February are within the desired range

Growsmart Precision VRI has meant that the Group is able to apply effluent in accordance with consent conditions and avoid application over the drains and environmentally sensitve areas.

With an annual rainfall of 400-500 mm and a range in summer rainfall from 10 mm – 240 mm (October – April)2 irrigation is central to achieving production targets. The Group aims to

SIX YEARS ON AND BRIAN IS STILL SEEING GREEN The Growsmart® Precision VRI system installed on Brian and Jo Bosch’s dairy farm in the South Wairarapa has been saving them precious water and dollars since it was first installed in 2008.

The couple use the intelligent system to avoid watering the tracks, ponds and drains underneath their Zimmatic™ centre-pivot. The water saved by avoiding these areas is diverted to other areas of the farm, increasing their irrigated land area by approximately 10%.

And after over six years of using the technology he’s pretty happy about the low maintenance requirements of the system hardware, “It’s just worked!”

The Bosch’s are not alone in the great results achieved using variable rate irrigation. Trials show savings of up to 27% on dairy and cropping farms are realistically achievable. Why? Because Precision VRI controls every individual sprinkler allowing you to irrigate where it is needed.

Find out how you could achieve great results like Brian and Jo by talking to your Zimmatic by Lindsay dealer today or by visiting growsmartprecisionvri.co.nz

© 2013 LINDSAY. ALL RIGHTS RESERVED. ZIMMATIC IS A TRADEMARKS OF THE LINDSAY CORPORATION.

increase cow numbers to 750 cows in order to attain a total output goal of 300,000 kg MS. However water is also expenisve and financial returns are dependent on efficient irrigation and minimising the number of irrigation shares required by the operation.

The Group has been able to increase their irrigation efficiency by creating avoid zones, areas where no irrigation is applied, over a total of 2.1

hectares of gates, laneways and troughs across the farm.

The Group have also been able to decrease application depths across the farm through the use of soil moisture sensors.

Responses from their soil moisture sensors (example sensor output shown in Figure 2) indicate that application is still enough to meet crop requirements with the soil moisture line (purple) remaining above the stress

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13

to dairy point line (green).

The EM map of the property (Figure 1) defines soil texture zones which can be used to further increase irrigation efficiency on the property.

An interesting feature of the farm is the presence of springs that make themselves known through the lime rich, calcareous parent material and mean that the already heavy clay soils become water logged as they shrink and swell. Precision agriculture technology means that ongoing farm maintenance costs can be reduced as irrigation is avoided over areas that are identified as more prone to waterlogging, helping to maintain soil structure and reduce pugging damage.

To assist with the problem of waterlogging and try to remedy the presence of springs on the property the Group have installed Novaflow drains which they can create avoid zones for on their Growsmart Precision VRI programme. By creating avoid zones for a total of 12.6 hectares, of drains and other sensitive areas across both the pivots, the Group is

Jemma Mulvihill (Agri Optics NZ) explains the benefits of electromagnetic (EM) mapping when scheduling irrigation for variable rate irrigation (VRI) during the Efficient Irrigation field day held at the Mitchell and Webster dairy farm.

FAST FACTS Dog Town Dairy • 650 cows • 285,000 kg MS • 200 hectares • Second season since conversion from cropping farm • Two Growsmart Precision VRI pivots, 500 meters and 460 meters in length irrigating 100 hectares

able to apply effluent through their system in accordance with their effluent consent conditions from the Otago Regional Council (ORC).

From a nutrient leaching perspective the ORC has defined nitrate leaching limits as 20 kgN per hectare per year, for areas surrounding sensitive aquifers, and 30 kgN per hectare per year for the rest of Otago. Co-owner Peter Mitchell describes the benefits

of precision agriculture as “savings both environmentally and financially”. He believes that the system will help the Group to meet these environmetal restrictions on their dairy property. Given the high costs of water in the region Peter notes that “the main driver for precision technology is financial however we also want to do what is best by our land”.

Growsmart Precision VRI

is compatible with most centre pivot and lateral irrigators, the technology can be installed on new systems or as a retro-fit to existing systems. For more information contact your local Zimmatic irrigation dealer or visit www. growsmartprecisionvri.co.nz for more information.

1 Assuming 15% DM wastage and 11.4 kg DM eaten to produce 1 kg MS 2 Rainfall data from Grow Otago and NIWA regional rainfall recordings

• EM survey carried out for the area under VRI irrigationCost for precision agriculture system of $100,000.

• Expected ROI of 40% after one season • Consent to apply effluent through irrigators

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Farming Dairy Focus

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Spotlight on excellence in share Southland couple James Deans and Angela Coleman have been named the 2015 MyFarm Farmers of the Year at the annual MyFarm Milk-It conference and awards dinner in Queenstown.

MyFarm executive director, Grant Rowan told the audience James and Angela have an innovative and dedicated approach to variable order sharemilking at Eastern Bush Limited Partnership, a 400 hectare self-contained dairy farm.

“Their reporting and communication is second to none. They have also been proactive in implementing the syndicate’s health and safety policy and exceed all our expectations with their innovative approach to this crucial area of the business.”

In the 2014/15 season James and Angela achieved production of 1500kg milksolids per hectare or 470kg milksolids/ cow on the 261 hectare milking platform. Their farm working expenses were $4.04/kg milksolids. continued next page

MAJOR PRIZE MyFarm Farmer of the Year: 1st James Deans and Angela Coleman, Eastern Bush Limited Partnership, Otautau 2nd Adam and Sarah Wakelin, Poplar Road Limited Partnership, Ashburton 3rd Keith and Niki Thompson, Opio Dairy Limited Partnership, Otautau

2015 category award winners: Most outstanding contribution in first year with MyFarm Adam and Sarah Wakelin Poplar Road Limited Partnership Ashburton, Canterbury

Mid Canterbury sharemilkers Sarah and Adam Wakelin took second place in the MyFarm Farmers of the Year competition.

Communication and Relationships Matthew and Kate McLaren

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15

emilking

E WINNERS Gold Creek Limited Partnership Southland Livestock Management Michael and Esmerelda Duffin Woodlaw Limited Partnership Southland Pasture Management Strahan and Vicky McCallum Glencairn Dairies Limited Partnership Southland Farm Business Reporting James Deans and Angela Coleman Eastern Bush Limited Partnership, Southland Farm Financials James Deans and Angela Coleman Eastern Bush Limited Partnership, Southland

Above – A winning team – Angela and James Coleman.

Right – Third placegetters Niki and Keith Thompson.

From P14 “This means in the current milk price environment they have produced a positive EBIT. That is a great result.”

James and Angela are about to begin their third season as variable order sharemilkers for the MyFarm syndicate, Eastern Bush Limited Partnership, were last year placed third in the 2014 Dairy Industry Awards Southland/Otago Sharemilker/ Equity Farmer of the Year competition.

Mid Canterbury couple, Adam and Sarah Wakelin who were placed second overall also won the award for Most Outstanding Contribution in year one with high praise from the judges for managing their Ashburton farm syndicate as if it was their own.

The Wakelins achieved a net profit of $1597/ ha or 88 cents per kg of milksolids.

“Adam and Sarah have a real can-do attitude they try and do their own maintenance wherever they can and have been successful in maintaining a low-cost production point appreciated by the board,” Mr Rowan said.

“They have taken an interest in the whole operation and are always willing to learn and apply new technologies.

The syndicate board see their contribution to the business as invaluable.”

Adam won the award for financial planning and management in the Canterbury farm manager of the year awards.

Southland farmers, Keith and Niki Thompson were placed third overall at the awards and praised for very careful budget management, accurate reporting and good communication across the business from board to farm staff level.

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Farming Dairy Focus

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Successful adaptive management IrrigationNZ’s winter magazine came out this month.

For members, the magazine provides a welcome respite from the often unbalanced reporting around irrigation.

IrrigationNZ News focuses on the positive initiatives happening within the irrigation industry, the technological advances and on-the-ground solutions that address today’s water management challenges.

The story of Opuha Dam last season typifies this cando attitude. Opuha Water Ltd CEO Tony McCormick outlines in the magazine how his company worked with the community to preserve both irrigation and river flows despite the lowest rainfall recorded in the region for 40 years. The mechanism for achieving this was a littleknown group called OEFRAG (Opuha Environmental Flow Release Advisory Group).

Established under the Opihi River Regional Plan (ORRP) to advise on the release of water from the Opuha Dam, the group comprises representatives from Arowhenua, district

councils, irrigating farmers, Fish & Game, DOC and Opuha Water Ltd. OEFRAG is a prime example of community collaboration and its approach to managing dwindling water supplies can be summed up as adaptive management.

Now I’ll let Tony take over: “Through the winter and spring of 2014, there were very low inflows and snowfall in the Opuha Dam catchment … OEFRAG met in early November to review the situation and agreed to implement restrictions if the lake continued to decline to 50 per cent.

“By the end of November, with lake levels nearing 50 per cent, OEFRAG recommended a 25 per cent irrigation restriction and a reduction in the minimum river flow of 17 per cent. Within two weeks these restrictions were tightened to 50 per cent and 42 per cent respectively.

The group convened at least fortnightly to adapt the restriction regime in an effort to prolong storage.

Andrew Curtis

WATER WORKS

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saves the river From P16 “As the summer drew on, the situation continued to worsen.

When the lake storage reached less than 10 per cent, OEFRAG reduced river flows to minimum levels not seen since the dam was commissioned.

The river was closely monitored by the group’s members to ensure it stayed ‘connected’ as the flow rate was stepped down to unprecedented low flows.

Irrigators agreed to an earlier shutdown on February 25 in exchange for the ability to keep a 50 per cent restriction regime to the end and all irrigation ceased with just one metre of storage remaining – with this last metre dedicated to maintaining the river flow at its absolute minimum.

Despite these extreme measures, lack of rain meant storage continued to diminish.

OEFRAG formulated a plan to operate the system below zero storage, while preparations

were made for a massive fish salvage exercise if the river ran dry.

Then, on March 6, with plans in place and the lake within 50mm of zero, it rained. It wasn’t “fill yer boots” stuff but it was enough to keep the system flowing and the lake above zero. Since that turnaround, OEFRAG has continued to meet regularly and irrigation and river flow restrictions were kept in place until a small buffer was realised.

A brief period of irrigation was agreed to by the group in April to enable farmers, who had been shut down for over eight weeks, to get some water on desperate pastures before cooler temperatures arrived.

OEFRAG will continue to monitor lake storage throughout winter as every effort is made to ensure the lake recovers in time for summer.”

This is only part of Tony’s story but it summarises one of the strategies the irrigation

industry can employ when the going gets tough.

To find out more, you can access our magazine on the website www.irrigationnz. co.nz or even better become a member and receive a copy covering the latest irrigation developments every quarter.

We’re now just 10 months away from our bi-ennial Conference and Expo in Oamaru. Another principal sponsor has just been confirmed for the April 5-7, 2016, event.

Network Waitaki joins Anderson Lloyd, ANZ Bank and Waterforce. Exhibition sites go on sale the first week of July and strong interest has already been shown.

There are a few remaining sponsorships but these are also selling fast so contact Chris Coughlan on phone (03) 341-2225 or ccoughlan@ irrigationnz.co.nz if you wish to be involved.

Andrew Curtis is chief executive officer of IrrigationNZ

Left – Panorama of Lake Opuha showing the declining lake level last summer.

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Farming Dairy Focus

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Residency under the skilled migrant category If you are fortunate enough to be in an occupation that is on the skilled occupations list then you may be entitled to apply for residency under the skilled migrant category.

However, just having a job that is considered skilled is not enough to be granted residency and you will have to go through a process which can take significant time and money, so it is essential to make sure you know what you are doing or seek the services of a professional.

The skilled migrant category offers you the opportunity to work and live

Nils Macfarlane

RURAL IMMIGRATION

in New Zealand permanently and to be eligible you must be of good health, good character, speak English and be no older than 55.

The skilled migrant category is based on a points system which is awarded for factors such as age, experience,

employment and qualifications.

You must at least have 100 points at the expression of interest stage to be put in the pool that Immigration New Zealand selects from.

This pool is drawn every two weeks.

Most of the points that would be awarded to you would come from your skilled employment which is why Immigration New Zealand needs to make sure that your job requires specialist, technical or management experience.

You can also get bonus points for factors such as the

industry that you are in and the location of your job.

Other points will be awarded for your work experience, qualifications and age. You can also gain points through family members, such as if you have close family with New Zealand residency or citizenship or through your partner if they too are in skilled employment.

Once you have established that you have enough points and Immigration New Zealand has accepted your expression of interest you would then be invited to apply for residency.

This means you must now

prove everything that you have declared in your expression of interest and send in your supporting documentation.

A case officer will then be assigned to your application who will determine whether or not you are granted residency. The case officer may come back asking for further documentation or even have a set of questions to ask yourself and your employer.

Nils Macfarlane is an adviser with Heartland Immigration, a team of immigration advisers who also come from a legal background

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For all of your farming immigration queries please phone:

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19

Enhanced pasture management Farmer-owned co-operative LIC has entered into a partnership with Precision Farming Ltd, supplier of GISbased systems that manage the application of farm nutrients to optimise pasture growth including fertiliser and effluent.

The two companies have signed an agreement whereby Precision will share its nutrient management functionality for integration with the co-op’s MINDA farm management system used by more than 90 per cent of NZ dairy farmers.

LIC chief executive Wayne McNee said it would provide enhanced information for farmers about their pasture and feed availability.

“LIC is committed to helping our farmers improve their prosperity and productivity, and with a predominantly grass-based industry we recognise that pasture management and feed optimisation is an important part of that equation.

“Seamless integration of farm information like fertiliser, effluent, water, and irrigation

Brendon Cane (Precision Farming) and Wayne McNee (LIC).

will complement our existing pasture management tools in MINDA, providing farmers with enhanced information to improve decision-making and enable superior livestock performance, and deliver the benefits of precision agriculture.”

Precision Farming’s system records spreading and nutrient

activity on more than 4500 farms, based on data generated by 720 of the country’s estimated 800 commercial fertiliser spreading trucks.

Precision Farming also provide fertiliser monitoring GPS equipment direct to farmers, for use on selfspreading equipment and for GPS guidance and control

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Brendon Cane, MD of Precision Farming, said they are proud to partner with LIC and make it easier, faster and more profitable for more farmers to use integrated farm management information to support better decisions.

As a contractor himself, he

appreciates the benefits of reducing the time and cost, and often the guesswork, associated with improving pasture performance as part of overall farm profitability.

“With the current economic environment, the need to find any inefficiencies and leakages in operating expenses is more important than ever.

“Fertiliser, irrigation and labour are three of the biggest costs centres, and every dollar saved in these areas while at the same time growing more grass, is money on the bottom line, reducing not only these costs, but also the flow-on costs in terms of supplementary feed.” Cane said.

The LIC and Precision partnership follows the coop’s investment in November last year into Figured, farm financial management software provider and Xero farming partner, for the integration of financial information into MINDA and fulfil the financial component of the full farm performance system currently under development.

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2 20

Farming Dairy Focus

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Helping calves to thrive Kristy Bourgeois, who has reared over 2700 calves, gets satisfaction from seeing them thrive and understands the importance of maintaining a consistent attitude towards every calf, regardless of its expected use.

Kristy agrees it’s essential that calves receive top quality colostrum within the first six hours of life. The best quality, “gold” colostrum, comes from a cow’s first milking after calving.

Calves that don’t receive colostrum in the first 12 hours after birth are more likely to get scours or pneumonia and twice as likely to die in the first two months.

“Establishing good communication and a plan with the milking team is really important,” says Kristy.

“Getting the right amount of colostrum for the amount of expected calves can be tricky.

Make sure you get the good stuff every day and get more than you need. You are better to feed any spare gold colostrum to the older calves than not have enough for the newborns.”

Good systems increase efficiency

Working with multiple calf rearers, or on farms where there might be shared responsibly for calf care, requires a good system so calves don’t get missed.

Kristy recommends having a good marking system so you know which calves have been fed their first two litres of colostrum (within the first six hours of life) and their second feed (within the first 12 hours of life), and if they have been tubed or bottle fed.

“We use a different coloured spray marker for calves that come in overnight and those

Kristy Bourgeois says patience and a passion for calves is essential for being a calf-rearer.

collected during the day.

A cross is used to identify calves that are tube fed and dots for calves that are bottle fed. It is then clear which calves need their second lot of colostrum and if they are likely to drink from a bottle.”

Kristy also says it’s important that there are written procedures for all staff to refer to.

“If you have multiple people, or bigger groups of calves in one pen, shaving foam can be used to provide temporary marking until the spray marking is put on, to help ensure all calves get marked.”

“Training on how to correctly tube feed calves when necessary is important for new staff.

“It can be a daunting task on the first go, so ensure

new members are coached through the process – point out what is normal and what means you might have it wrong.

“The first few tube feedings should be supervised until

new team members are confident doing the procedure by themselves.

“Patience and a passion for calves is essential, spend as much time as needed on each new calf to teach them to

drink,” says Kristy.

“Colostrum is great stuff but it needs to be provided alongside other basic care to really make sure it does its job and provides the calf with a great start to life.”

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Breeding cows heading to China

By Nadine Porter A number of consignments of breeding cows will be leaving for China in the next couple of months continuing a lucrative developing market for New Zealand farmers.

Ministry of Primary Industries confirmed 2000 cattle left a fortnight ago from Timaru and will be heading to China.

Approximately 4500 cattle will be exported in July with another 1500 leaving in August from Napier.

The consignments are likely to be from Austrex – an Australian company that specialises in livestock export trading but this was unable to confirmed by the Guardian at the time of print.

MPI said New Zealand routinely exports livestock for breeding and in all cases the welfare of the animals has the highest consideration.

Export approval will only be granted when MPI has been satisfied that all animal welfare requirements have been met.

Back in 2013 around 34 000 heifers were shipped to China

A number of consignments of breeding cattle will be leaving for China in coming months.

from Port Timaru alone as the emerging agriculture nation attempts to grow its genetic base.

Although still a contentious issue, animal welfare campaigners have been a lot less vocal about the Chinese

shipments.

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He said that even if the shipment went well many of the cattle would end up on large indoor systems on dirt and could end up in Vietnam where footage had been taken of cattle being slaughtered

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2 22

Farming Dairy Focus

www.guardianonline.co.nz

Spring Sheep Dairy takes first step Spring Sheep Dairy has taken its first step, with joint venture owners Landcorp Farming Limited and SLC Group agreeing on the focus for its consumer-led marketing business.

Spring Sheep Dairy chief executive and director Scottie Chapman said the company’s long term goal is to export high value high quality sheep milk products to Asian consumers.

“We’re still to milk our first sheep so obviously there’s a long way to go and we will take a very careful and considered approach, but we are very excited about the potential opportunities this joint venture offers,” Mr Chapman said.

Landcorp is a leading New Zealand agribusiness and the country’s largest farmer while SLC brings market-focused entrepreneurial flair to the entity.

“The combination provides the ability to develop and control the supply chain process from farm to market.

“Our goal is to create high value products that will appeal to Asian consumers as opposed to just producing what we can and then going to market to try and sell it.”

Landcorp chief executive Steven Carden said the company is well-placed to make a go of the new venture.

“Landcorp has the scale to create a thriving sheep milk business.

“We have a lot of experience farming sheep, a successful sheep genetics business, the country’s largest dairy cow herd and a network of innovative farms throughout New Zealand,” Mr Carden says.

Landcorp has been working to refocus its products to customers and consumers in niche markets with specific

requirements.

With SLC Group, it engaged Massey University’s Riddet Institute to experiment with sheep milk in butter, yoghurt and ice creams.

“The results were encouraging, finding most people really enjoy sheep milk products.

“We also believe the nutritional characteristics of sheep milk will appeal to many consumers around the world.”

Spring Sheep Dairy’s first

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Mr Chapman says the majority of milk will be sent to independent processor, FoodWaikato, for drying.

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“It’s very much a fledgling operation at present, with a focus on building a quality east friesian sheep milking flock and working with end market consumers to find out what their needs are so we can create and supply the right branded products.”

He says customers in Taiwan and Korea are the initial focus.

The sheep dairy industry

is small in New Zealand with five commercial sheep dairy operations, including three small operators making cheese or supplying milk and two larger operators - Waituhi Kuratau Trust near Turangi and Blue River Dairy near Invercargill.

The first Sheep Dairy New Zealand conference was held in Palmerston North in February this year, with representatives of both SSD’s joint venture partners presenting.

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Fodder crops no cause for concern Federated Farmers have slammed the notion cattle are dying as a result of feeding on genetically modified crops, putting high sugar contents down as the most likely cause of death.

GE Free New Zealand made the claim earlier this week.

“It appears that the market for hybrid fodder crops and imported supplementary animal feed has become a minefield of products laden with GE and toxic sprays, all unlabelled and subject to regulatory blindness,” GE Free NZ president Claire Bleakley said.

Federated Farmers national president and science spokesman William Rolleston said stock have been wintered over on crops such as fodderbeet for years.

“It’s got nothing to do with genetic modification as GE Free New Zealand has speculated,” Dr Rolleston said.

“Fodder beet has only recently been brought into widespread use in New Zealand and unfortunately some farmers are still coming to terms with how to best feed it to their stock.”

“We know there is a problem with stock feed transition and there is some cautious advice, such as that from Dairy New Zealand, on how to manage feed of fodder beet without complications.”

“Stock have been fed crops, such as fodder beet, for generations. Digestion problems, such as acidosis, are known stock disorders. It can happen when stock are transitioned to a number of high sugar or starch feeds, such as barley or wheat.

Proper management, and attention to feed requirements of energy, roughage, protein and minerals will keep the stock healthy.”

“Many of the crops and

commercial plants we use and eat in New Zealand, including those accepted by the organics industry, have been produced using chemical or radiation mutagenesis.

It’s a process which has been used for decades, including in the breeding of the herbicide tolerant swedes which caused similar issues last year.

“For some to confuse this conventional breeding technique with modern genetic modification is simply nonsense.

“It is designed to cause fear

in local councils considering banning these technologies.”

Dr Rolleston says GE Free New Zealand has been desperate to link animal illness to genetic modification.

“The fact is that while hundreds of millions of hectares of genetically modified crops have been grown around the world over the past 20 years, not one case of human or animal illness can be attributed to these approved crops.

“This sort of misguided rhetoric highlights why

Federated Farmers is advocating against local councils banning genetic modification.

Genetic modification is already regulated by the Environmental Protection Authority, through the HSNO legislation. Additional local regulation will only add an unnecessary burden to ratepayers.

“It will deny farmers the choice to use safe technologies for the benefit of the environment, the economy and the community.

“The Royal Commission on Genetic Modification in 2001 concluded that we should proceed with caution and preserve our opportunities.

Federated Farmers agrees with this conclusion.

“When people issue press statements suggesting there is something sinister in breeding plant hybrids, inventing toxins and that it is unnatural for cows to eat anything but grass, then we are not having the debate on genetic modification we ought to be having.”

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2 24

Farming Dairy Focus

www.guardianonline.co.nz

Young Kiwis to work on feeding a Six forward-thinking and passionate young people have been selected to represent New Zealand at a summit focused on solving one of the world’s most important issues – how to feed a growing population.

Hamish Clarke, James Robertson, Zach Mounsey (Waikato), Sarah Crofoot (Wairarapa), Rosario Monzales (Massey) and Shaun Snoxell (South Canterbury) will join 100 delegates aged 18 to 25 and from 33 countries, who have been selected for the second global Youth Ag-Summit.

The summit which is themed Feeding a Hungry Planet takes place in Canberra, Australia, on 24 to 28 August.

It is hosted by Future Farmers Network Australia and Bayer CropScience.

Bayer New Zealand managing director Dr Holger Detje, said he was impressed with the quality of the New Zealand delegates.

“To select the delegates we ran an essay competition and I must say the quality of the work submitted was outstanding. Entrants had to outline their position

and Vietnam.

New Zealand delegation:

Hamish Clarke

Hamish Clarke

James Robertson

and ideas on the underlying causes of food insecurity and its effect on a growing population. The challenges and solutions identified highlight that opportunities like the Youth Ag-Summit provide a great platform to continue further discussions on what is increasingly an important topic.

“We believe there is a need for young leaders to be engaged in finding sustainable agricultural solutions to the growing global need for safe and nutritious food. The Youth Ag-Summit is an opportunity to broaden the perspectives from others around the world.

Zach Mounsey

It will also enable young leaders to further grow personally and develop their knowledge,” says Detje.

The New Zealand delegation will be accompanied by a mentor and once in Canberra will network, hear from guest speakers and participate in debates, discussions, groupwork and industry tours. The purpose of the Summit is to generate innovative, sustainable and actionable solutions which will be driven by their leadership.

During the Summit, the delegates identify, connect and create ideas to progress

Rosario Pillar Monzales

agriculture around the world.

This collaborative approach aims to leave them with actionable ideas they take back to their home countries to embed into their personal operations and careers.

The delegates are from the following countries: Argentina, Australia, Belgium, Bolivia, Brazil, Canada, Chile, China, Estonia, France, Germany, Hungary, India, Indonesia, Italy, Japan, Kenya, Malaysia, Netherlands, New Zealand, Paraguay, Philippines, Poland, Singapore, South Africa, South Korea, Spain, Thailand, Turkey, United Kingdom, Uruguay, US

Keen outdoors man Hamish grew up on his family deer, dairy and dairy support farm near Otorohanaga in the Waikato. His passion for innovation and leadership within agriculture and food supply chains led him to study a Bachelor of Agriculture Science at Lincoln University.

Currently, Hamish is completing his Masters of Agricultural Science for which he is researching the viability of robotic milking (AMS) in farm systems in Canterbury with the support of a OneFarm scholarship.

James Robertson James was brought up on a 200 cow pedigree Holstein Friesian farm in the Waikato. During his school years he was heavily involved with the New Zealand Young Farmers association and their TeenAg programmes and competitions. James’s passion for agriculture and

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25

growing world population ABOUT THE YOUTH AG-SUMMIT About the Youth Ag-Summit The Youth Ag-Summit is a global youth conference to inspire and connect the next generation of young leaders in agriculture.

At the Summit, 100 young leaders aged 18 to 25 from all around the world meet to share perspectives and create

business meant that studying a Bachelor of AgriCommerce at Massey University was the perfect fit for him.

Currently, James is majoring in International Business and hopes to experience different agricultural systems around the world.

Zach Mounsey Zach’s passion for the agricultural industry stems from his upbringing on

an open dialogue on one of the world’s most challenging questions: how to feed a hungry planet?

The Youth Ag-Summit forms part of the Agricultural Education Program and aims at raising awareness for food and farming all over the globe.

Find more information about the summit his parent’s dairy farm in Otorohanga, Waikato. He has completed a Bachelor of Management Studies majoring in Finance and Strategic Management as well as a New Zealand Diploma in Business.

Zach’s engagement with the agricultural industry has seen him become a Chairman of Federated Farmers in Otorohanga, a Fonterra Networker, an Economist at DairyNZ and have a

on the website www. youthagsummit.com.

About Future Farmers Network Future Farmers Network (FFN) is Australia’s only national youth agricultural network that connects and supports young Australians involved in rural industries. partnership in a dairy farm.

Rosario Pillar Monzales Known to friends and family as Rio, Rosario was exposed to the farming community in her early life through her farmer grandparents. She has since worked for two international NGOs in the Philippines that advocate nutrition and food security for impoverished

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2 26

Farming Dairy Focus

www.guardianonline.co.nz

Quality farms still in demand Despite the fall in projected dairy returns, the market for farms remains strong, say the South Island’s foremost authorities on rural real estate.

PGG Wrightson Real Estate salespeople report that South Island dairy farm transactions were down this autumn, falling in volume in Canterbury, while in Southland, they dropped by as much as 65 per cent compared to last year. However, rather than a shortage of buyers, farmers’ reluctance to sell is the reason for the reduced sales volume.

Demand for quality Canterbury dairy property continues to exceed supply, says PGG Wrightson Real Estate manager for Canterbury and West Coast, Peter Crean.

“While the fluctuating payout is a factor in the number of farms sold, the value of farms remains steady, with demand apparent for any listing,” he said.

“Motivated buyers, including individual farmers, syndicates, corporates and overseas interests, are in the Canterbury market, though listings remain scarce. While that is unlikely to change before spring, the continued prevalence of buyers over sellers, where we currently have multiple definite buyers for every listed farm, explains why prices have not been adversely affected by the falling payout.”

PGG Wrightson Real Estate Manager for Mid and South Canterbury, Robin Ford, said the situation in his region was similar, though perhaps even fewer properties are listed.

“Despite what is happening with the dairy payout, and the recent drought, the market remains keen, with considerable unsatisfied demand.

Motivated, well-resourced purchasers are actively looking for good properties, which are not currently being listed for sale,” he said.

In North Otago meanwhile, according to Real Estate Sales Manager, Neville Langrish, of PGG Wrightson Real Estate, Oamaru, a number of dairy farms sold at or near top values.

“Recent sales have included farms in Morven, Hilderthorpe and Lower Waitaki at prices exceeding $50,000 per hectare and, in Maheno, for slightly over $40,000 per hectare,” he said.

Elsewhere in Otago, two Manuherikia Valley properties sold for dairy conversion during the autumn and prospects for this district will improve if the Falls Dam project proceeds.

Further south, demand for dairy land appears slightly more cautious.

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Southland Real Estate Manager for PGG Wrightson, Andrew Patterson, says his region’s rural property market is undergoing greater fallout than some other parts of the country.

“Buyers are reluctant to enter the market when they perceive subdued activity, while those who might otherwise list lack sufficient confidence that this is the best time to sell so that sentiment is feeding on itself.

Corporates, in particular, are absent from the Southland market so those farms that are selling are going to local buyers,” he said.

Although the volume of Southland sales is low, like elsewhere, values remain steady.

“For better quality Southland dairy farms, prices sit between $41,000 and $46,000 per hectare, ranging to around $10,000

per hectare lower for secondtier properties,” said Andrew Patterson.

Notable recent South Island dairy farm sales include:

• A 177 hectare Amuri Basin, North Canterbury property changing hands well in excess of $50,000 per hectare in March • Neighbouring farms at Waitohi Park, Pleasant Point selling in excess of $50,000 per hectare plus a premium for irrigation company shares in one case in April • Two smaller West Coast dairy farms, each carrying approximately 200 cows (one north of Hokitika; the other near Lake Brunner) both sold in April for around $32,000 per hectare • A 160 hectare Mid Canterbury dryland dairy grazing farm sold at

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auction in mid-May for $4.89 million (or $30,450 per hectare) According to Peter Newbold, PGG Wrightson Real Estate general manager, dairy return projections through the winter will have a bearing on activity during the spring market, traditionally the best time to sell a farm.

“With demand exceeding supply, we are in a sellers’ market and the sentiment of sellers is the main influence.

“Few dairy properties are currently for sale. With unmet demand throughout most of the country, a favourable reception awaits those who commit to sell. “If milksolids forecasts climb closer to $5 per kilogram by the spring, as various commentators indicate, activity in the market for South Island dairy farms should rise another notch or two, as motivated buyers are still out there,” he said.

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27

World first in rotary platform design A New Zealand company has developed a world first which is being described as one of the biggest breakthroughs in the design of rotary dairy platforms.

The Pivot Roller, designed and exclusive to Waikato Milking Systems, maintains perfect alignment with the platform’s support structure (the ‘I’ beam) even under 24 hour milking conditions and/ or in the event of ground subsidence. The resulting 100% contact enhances the performance and decreases wear and tear of the platform.

The self-lubricating cast pivot rollers are positioned between two bearings and are the only components which wear.

They are long-life but when replacement is necessary they are easily swapped out without significant downtime.

The running surface on the roller has been increased from 50mm to 100mm and the bearings are grease filled ex-factory with a lifetime

The Pivot Roller on display at Fieldays 2015.

seal so they never need to be regreased.

Waikato Milking Systems CEO Dean Bell said that the innovation is the result of years of research to lengthen the life and reduce the maintenance costs of rotary platforms.

“As herds get bigger and milkings more frequent we needed to develop a support and turning mechanism which was sacrificial, a bit like the tyres on your car. We also wanted a roller which could be easily adjusted so it is always level, always running to

The width of the roller has been doubled to increase strength and surface contact.

maximum efficiency.

“We’re confident that no matter whether farmers are milking once a day or 24 hours a day they will have a platform that will operate efficiently for longer, with lower maintenance needs and cost, than anything else on the

market.”

Waikato Milking System’s Centrus 84 bail composite platform, which is supported by the Pivot Roller, was named the winner of the International Innovation Award at the 2015 National Fieldays in Hamilton.

2 28

Farming Dairy Focus

www.guardianonline.co.nz

Hut and track upgrade in full swing Trampers, hunters and mountain bikers are doing up dozens of huts and tracks they love and use around the country with the help of the government’s community conservation fund.

In Canterbury, mountain bikers are working to upgrade their favourite riding tracks in Craigieburn Forest Park with the Castle Hill Community Association, and horse riders have put in holding paddocks and access gates for horse trekking in Lake Sumner Forest Park. Meanwhile, the Nelson Tramping Club has revamped the popular Flora Hut in the Motueka area, while backcountry maintenance group Permolat has given 50-year-old Tunnel Creek Hut in South Westland a complete makeover.

Department of Conservation acting Recreation Manager Andy Thompson says the new partnership with outdoor recreation groups to maintain and enhance backcountry facilities on public conservation land has got off to a fantastic start.

“So far over $600,000 has

been allocated to 60 outdoor recreation groups, which are now getting stuck in putting in thousands of voluntary hours to look after their favourite huts and tracks.”

“Their hands-on efforts to improve these facilities mean that more people can get out and enjoy them.”

Federated Mountain Clubs

President Robin McNeill, speaking on behalf of the NZ Outdoor Recreation Consortium, says that New Zealanders feel a deep sense of ownership of our backcountry huts and tracks.

“Our club members enjoy putting time and effort into looking after the areas they climb, tramp, hunt and ride

in, and access to the fund has enabled them to give these huts and tracks new life.”

More than 80 projects— including 50 huts, 45 tracks, three horse paddocks, one helipad, and 30 gun racks in huts—have been funded and work on these facilities will be largely completed by the end of the year.

Mountain bikers work on the Hogsback Track, Craigieburn Forest Park, Canterbury.

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