Farmers Weekly NZ February 19 2024 by AgriHQ

7 Changing crops for a challenging world Vol 22 No 6, February 19, 2024

Sectors tackle team talk Neal Wallace, Richard Rennie and Annette Scott

NEWS

Agriculture

ARMERS are mixed in their support for greater collaboration between rural groups to lobby on behalf of the rural sector. Federated Farmers and lobby group Groundswell are both receptive to a multi-agency Team Ag approach to dealing with the government on issues that affect the rural sector. At the request of levy payers, Beef + Lamb NZ (BLNZ) and DairyNZ are both undertaking more lobbying of the government and agencies in addition to their existing advocacy roles. Some farmers said this blurs the traditional advocacy and lobbying functions of these bodies. Farmers approached by Farmers Weekly see opportunities for a Team Ag approach as rural sectors face similar issues and challenges, but they also need bodies to retain their independence. Lessons were learnt from the failed He Waka Eke Noa (HWEN) approach to pricing agricultural greenhouse gases. Southland deer farmer David Stevens said he was disturbed at how the pork industry is being decimated by strict animal welfare regulations, saying something similar could happen to any primary industry.

Those regulations are forcing pork farmers out of business while the market is being saturated by imported product that faces lower production standards. Stevens said this affects rural New Zealand and requires a united rural NZ response. “Whether it is the beekeepers and whoever, the fact you are all sitting around a table and understand the issues and offer some help and input would be beneﬁcial.”

It will be tough and take some really courageous leadership to bring it together and that is not what we have seen.

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Dining out on the dish that made us Clinking cutlets for the launch of National Lamb Day at Southern Field Days near Gore last week were Ag Proud members, from left, Jon Pemberton, Southland, Emma Crutchley, Central Otago and Peter McDonald, Southland. The rain at Waimumu seemed to amplify the enthusiasm of the Ag Proud team as they promoted the day with barbecues offering the public free chops and Moroccan smashed lamb tacos. Photo: Emma Blom

NEWS 4

Eggs help to hatch couple’s land plans

Richard Cookson Waikato Every primary industry sector has similar issues, but Stevens fears they are working within silos. Otago sheep and beef farmer Steve Nichol said a Team Ag approach can be useful, but there are also times for individual voices. “Anywhere where we can collaborate will be beneﬁcial but there has also got to be a need to have their own voices on matters where we need specialisation,” he said.

Trade Minister Todd McClay considers options as Canada ﬂouts dairy import rules.

Hugh Stringleman looks at the competitive billiondollar market for livestock ﬁnance.

NZ’s future could be deﬁned by helping others grow quality products, says David Eade.

Continued page 3

NEWS 3

NEWS 5

OPINION 12

Skipping the middleman and taking local produce direct to customers is paying off for Scott and Emma Jimmieson.

PEOPLE 14

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SALES CONTACTS

Bryan Gibson | 06 323 1519 Managing Editor bryan.gibson@agrihq.co.nz

Andy Whitson | 027 626 2269 Sales & Marketing Manager andy.whitson@agrihq.co.nz

Craig Page | 03 470 2469 Deputy Editor craig.page@agrihq.co.nz

Andrew Fraser | 027 706 7877 Auckland/Northland Partnership Manager andrew.fraser@agrihq.co.nz

Claire Robertson Sub-Editor claire.robertson@agrihq.co.nz

Jody Anderson | 027 474 6094 Waikato/Bay of Plenty Partnership Manager jody.anderson@agrihq.co.nz

Neal Wallace | 03 474 9240 Journalist neal.wallace@agrihq.co.nz

Palak Arora | 027 474 6095 Lower North Island Partnership Manager palak.arora@agrihq.co.nz

Gerald Piddock | 027 486 8346 Journalist gerald.piddock@agrihq.co.nz

Omid Rafyee | 027 474 6091 South Island Partnership Manager omid.rafyee@agrihq.co.nz

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The Commerce Commission has issues with the proposed purchase of the Seales Winslow feed company by Farmlands Co-operative Society, from Ballance Agri-Nutrients. The commission has concerns about the merged entity having unilateral ability to profitably raise prices and/or reduce service or quality. The deadline for making a decision on the application by Farmlands has been extended to March 22.

Marketplace . . . . . . . 27-28 Livestock . . . . . . . . . . 28-29 Markets . . . . . . . . . . . 30-35 Weather . . . . . . . . . . . . . . . 36

World record King Country shearer Sacha Bond has become the first woman in 40 years to hold world nine-hour strongwool ewe and lamb shearing records simultaneously. Bond battled to set a record of 458 ewes, six more than the previous record of 452 shorn by Kerri-Jo Te Huia in a Wairarapa woolshed six years ago. The record took place at Centrehill Station, near Mossburn, where Bond on December 19 set a lambs record of 720.

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New Zealand’s third medical school has taken a step forward with the University of Waikato signing a memorandum of understanding with the Ministry of Health. The university’s vice-chancellor, Professor Neil Quigley, said the signing is a significant step to address health workforce shortages and reduce NZ’s reliance on foreign doctors. The school will focus on training medical staff for rural practices. The next phase is to develop a business case.

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News in brief

BURNT: Visiting UK Nuffield scholar Luke Breedon says NZ farmers and growers have embraced bio-char’s soil-improvement properties. STORY P15

Nuffield scholar and Farmers Weekly columnist Phil Weir has been appointed an associate board member of the Agricultural and Marketing Research and Development Trust, AGMARDT. Weir is a Waikato farmer and agribusiness consultant who has specialised in land use diversification. The AGMARDT associate position was created in 2011 to give emerging leaders an opportunity to learn and develop.

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FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Quota quarrel: ‘We expect Canada to comply’

agreement’s ﬁrst three years. A panel of three international judges ruled in NZ’s favour in its dispute with Canada last September. The Canadian government has now circulated a new allocation method in an effort to comply with the ruling and CPTPP rules. Both the Dairy Companies Association of NZ (DCANZ) and the NZ government believe the

proposal still falls short. McClay said he will raise the matter again with his Canadian counterpart at a World Trade Organisation meeting later this month. “We have made it clear that we expect Canada to comply fully with the CPTPP panel outcome,” McClay said. “We do not consider Canada’s proposals achieve that.

“I’m seeking legal advice from officials on next steps and will consider all options available to us,” he said. One lawyer spoken to said NZ may have limited legal avenues left to bring Canada into line. “Whether it is bilateral trade agreements or through the WTO, one of their great failings is that you will find a country will change its policy but really have no intention of changing their system. “There will probably be some procedure where the other country is not happy with the system being proposed and you enter into consultations but they often go on forever without achieving anything and this is why dispute settlement under trade agreements is often very unsatisfactory. “I imagine McClay will want to give some confidence to the dairy industry and will talk a big game but in the end it will be just more chat.” The government could withdraw tariff concessions granted under CPTPP on Canadian exports to NZ but this is likely to have little impact. NZ’s best bet might be

“What we have not seen from these organisations individually is the ability to speak with a uniﬁed voice. “BLNZ threw their chairman under a bus in the last election, so if each of these organisations individually cannot provide trust in their own leadership, then how will this work? “It will be tough and take some really courageous leadership to bring it together and that is not what we have seen.” BLNZ was heavily criticised by levy payers for the failed HWEN proposal, which led to accusations at last year’s annual meeting of a loss of trust due to poor consultation and a lack of transparency.

It has subsequently agreed to implement the ﬁndings of an independent review that recommends rebuilding trust through more face-to-face interaction with farmers, more farmer input into policy advocacy and greater feedback. While there could be strength in Team Ag talking to the government and regional councils, high country farmers chair Ian Anderson is also sceptical. Anderson said unless everyone is sitting around the same table on a level playing ﬁeld, it is not going to work. “As it is Federated Farmers is reliant on subs, there is a lot of high country crossover with meat and wool, by default we pay levies

to BLNZ but we do not necessarily know how they spend it. “Then there’s Groundswell, they have a lot of good ideas, actually saying what others think, but all they are doing is standing on the sideline throwing stones. “There’s no doubt a united sector is better than a divided one but where do you draw the line?” Mid Canterbury cropping farmer and Foundation for Arable Research (FAR) chair Steven Bierema said the arable sector has not been engaged in any discussion regarding alignment of a single sector voice. “We are hearing about Feds and Groundswell working together; beef and lamb and dairy are mentioned, but the arable sector is

Nigel Stirling

MARKETS

Dairy

RADE Minister Todd McClay says he is considering “all possible options” to deal with Canada’s ongoing flouting of dairy import rules under the Comprehensive and Progressive TransPacific Partnership trade agreement. New Zealand last year used the dispute resolution provisions of the CPTPP to successfully challenge Canada’s allocation of low-tariff import quota granted under the agreement. The disputed system had resulted in less than 10% of the 16 dairy quotas created for NZ under CPTPP being filled by imports in its first three years. The remainder was allocated to local processors. If NZ dairy exporters want to sell into the Canadian market without a quota they face trade-stopping tariffs of up to 300%. It is estimated that squeezing NZ exporters out of CPTPP quota allocations cost the industry $120 million in lost sales in the Continued from page 1

Southland dairy farmer Vaughan Templeton thinks a Team Ag entity maybe unrealistic, noting that Groundswell has inﬂuenced the approach of Federated Farmers. Any collaboration must follow consultation with farmers and should include lessons learnt from HWEN, he said. Waikato dairy farmer Richard Cookson is dubious about stitching multiple rural viewpoints together, with past failures giving him little conﬁdence in future success. He said HWEN was intended to demonstrate a united primary sector, only to fail with hubris and vitriol left in its wake.

CHALLENGE: If NZ dairy exporters want to sell into the Canadian market without a quota they face trade-stopping tariffs of up to 300%.

encouraging the other CPTPP countries to put pressure on Canada to live up to the agreement’s free trade ideals. DCANZ executive director Kimberly Crewther noted that a number of those countries participated in the panel hearings last year as observers.

I imagine McClay will want to give some conﬁdence to the dairy industry and will talk a big game but in the end it will be just more chat. Trade lawyer “When one party in the agreement stops adhering to the agreement then it starts to undermine the agreement for all parties. “At that point it becomes a far bigger issue than just NZ and Canada.” CPTPP members include NZ, Australia, Canada, Brunei, Japan, Singapore, Malaysia, Peru, Vietnam, Chile, Mexico and the United Kingdom. not really a part of that and at the moment I am a bit worried. “There is no clear vision, I’m not sure if that is sending negative messages towards government. I’m concerned in that regard,” Bierema said. “I get how BLNZ is thinking how we could approach government, but each sector has different needs and a different approach. “The biggest group sending the message does not necessarily mean it is the right way. All sectors need to have a say. “In one way the tone has been set but arable is missing all the engagement. We are small, but we are essential. “I would like to see wider sector engagement around the proposal.”

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Lamb campaign very much to punters’ taste Neal Wallace

MARKETS

Field days

AIN could not dampen the enthusiasm of the Ag Proud organisation promoting National Lamb Day by providing a barbecue at Southern Field Days at Waimumu last week. People wearing T-shirts advertising the campaign were prominent around the field days and the barbecue site was backed by the logo, which features a New Zealand lamb and an image of the Dunedin, the ship that left Port Chalmers on February 15 1882 with the first cargo of frozen meat destined for Britain. There was a constant queue as field days visitors juggling shopping bags waited at the tent to have a taste of lamb creations from renowned Southland chef Ethan Flack and Rad Dads Burgers. Ag Proud chair Jon Pemberton said shifting the day this year from May 24 to February 15 provided a better fit by “allowing a focus not just on the roast but on the whole carcase”, and having an event everyone can enjoy. Beef + Lamb NZ Inc chief executive Kit Arkwright said the event has been supported by farmers and meat processors. The atmosphere at the field days was buzzing and Pemberton said there are plans to expand National

Lamb Day next year with new campaigns, including at fast-food outlets. Pemberton said while the team encountered a couple of hurdles, there were wins including a National Lamb Day lunch at Parliament on Tuesday. Meanwhile elsewhere at Southern Field Days, Tractor and Machinery Association president Jaiden Drought said farmers and growers are in a holding pattern as they see how the impact of soft commodity prices and regulatory changes from the incoming government play out. For the 2023 calendar year, new tractor sales were 25% lower than 2022, with 3358 units sold compared to 4459. The 2024 year has started slowly, with January sales half what they were a year earlier.

Field days visitors juggling shopping bags waited at the tent to have a taste of lamb. He believes sales could pick up from the third quarter of this year, noting that forecast farmgate dairy prices have lifted. High interest rates and soft commodity prices will temper interest from the sheep and beef sector, and Drought said demand may not grow until the second quarter of next year with forecasts

NEWS

Environment

that interest rates could stay high for longer than previously anticipated. Drought said farmers with ageing machinery could consider taking advantage of cheaper tractor finance, noting that a regular monthly payment for a new machine is often cheaper than being landed with a hefty repair bill that will disrupt cash flow. Forward ordering new tractors using this cheaper finance and having supply certainty is another option.

Water changes welcomed by Feds vice-president Neal Wallace

POLITICS

Water

A FARMING leader has welcomed news of government plans to change water quality rules this year as part of replacement of the National Policy Statement on Freshwater Management. Minister Responsible for RMA Reform Chris Bishop has written to regional councils and stakeholders advising of plans to change Te Mana o te Wai, which regulates water quality. Introduced as part of the National Policy Statement on Freshwater Management (NPSFM), Te Mana o te Wai includes a hierarchy of uses that prioritises the health and wellbeing of water. Bishop said changes to this hierarchy will be made through a separate amendment to the Resource Management Act this year. “Details of the fast-track consenting regime and NPS-FM changes will be worked through over the coming weeks.” Federated Farmers vice-president Colin Hurst was pleased with the move by the new government.

He said evidence from councils is that a lack of deﬁnition about what Te Mana o te Wai meant was stalling consent applications because it was being applied on individual consents rather than regional plans. Hurst wrote to former environment minister David Parker last June, and gave the example of ECan requiring all consent applications to be dealt with under the Te Mana o te Wai hierarchy. “ECan state that ‘inconsistency with the hierarchy of obligations is likely to mean consent should be declined’,” Hurst wrote. “It appears to us that ECan is applying the Te Mana o Te Wai hierarchy at an individual consent level rather than at a more global level through the plan change process.” He feared this approach would disadvantage farmers seeking consents. Bishop says in his letter to councils and stakeholders that a review and replacement of the NPS-FM will happen during this parliamentary term. To accommodate that process, the coalition government has

Tonnes of silage wrap going to waste Neal Wallace

SLOW START: Tractor and Machinery Association president Jaiden Drought said it has been a slow year for tractor sales.

extended the statutory deadline by three years for councils to notify freshwater planning instruments to implement the NPS-FM. The government has also announced the Three Waters legislation will be repealed by the end of this month, a move Local Government Minister Simeon Brown said will restore council ownership and control of water assets. It will be replaced by the government’s Local Water Done Well policy, with the first of two bills to be passed by the middle of this year. Brown said the policy recognises the role of communities and councils in determining how their sewage, storm and drinking water services are delivered. “We will do this while ensuring a strong emphasis on meeting rules for water quality and investment in infrastructure.” That policy will set provisions relating to council service delivery plans, regulatory regimes and business structures and a new range of structural and financing tools, including the option of financially independent councilcontrolled organisations.

News

ONLY about half the plastic silage wrap used by farmers each year is recovered and recycled – despite a Christchurch company saying it could take everything that is used. The other half is burned or buried, but from 2025 a government levy will be charged on the purchase of silage warp to fund its recovery and disposal. Plasback claims it could all be recycled into useful farm and building products. The company’s commercial manager, Neal Shaw, said since 2006 it has recovered 32 million kilograms of plastic wrap and other farm plastics through its own collection system and working with the Agrecovery Rural Recycling Programme. In 2006 it collected nine tonnes, but last year the total was 6100t of mostly silage wrap but also polypropylene bags, twine, irrigation pipes, tree guards and 100 and 200 litre drums. Shaw said these are shipped offshore for processing due to water and energy requirements being too costly for New Zealand recyclers. “Right now we could take it all and ﬁnd a home a home for it,” he said from his company’s stand at Southern Field Days. Processing the waste back into resin is slow at only 300kg an hour due to issues with contamination. The resin is returned to NZ and turned into drums, culverts, board that can line horse ﬂoats, calf and deer sheds, decking for woolsheds, chillers, for

use in camping or in boats, builder’s ﬁlm rolls, and a plastic alternative to wood. Shaw said the imposition of a levy from 2025 will fund initiatives to reduce waste and encourage recovery. “It makes even less sense for farmers to not make available products for recycling because they are contributing to the cost from 2025.” He said the levy is due to the lack of an industry solution for handling used plastic.

LEVY: Plasback commercial manager Neal Shaw urges farmers to recycle plastic. From 2025 a government levy will be charged to fund silage wrap’s recovery and disposal One issue is NZ’s high internal freight costs. Shaw said it is cheaper to freight an empty 100 or 200 litre barrel for recycling from the South Island to Asia than it is to transport it to Auckland. Recycling of plastic is a huge and growing industry in Asia and Shaw said they want as much as they can get.

Skellerup chief to leave on a high Hugh Stringleman

PEOPLE

Agribusiness SKELLERUP continued to trade steadily and profitably in the first half of FY 2024 as its longserving chief executive David Mair announced his retirement in six weeks’ time. On March 31 he will be replaced by in-house appointee Graham Leaming, who has been chief financial officer since 2012. Mair has led the company for 14 years, during which earnings have increased fourfold, chair John Strowger said. “Shareholders have been well rewarded by David’s expertise, leadership and relentless drive for growth and improvement,” he said. Mair will continue to serve as a director of Skellerup and

along with Paul Shearer will lead a special project initiative with management to progress the inmarket capabilities. Skellerup announced net proﬁt after tax of $21.6 million in the interim results, down 6% on the previous corresponding period. Revenue was down 5% to $157.5m and the agricultural division earnings before interest and tax were down 19% to $11.9m. “Dairy sales were softer than we anticipated as international customers reduced purchases to lower inventory,” Mair said. “Pleasingly, we have experienced a larger than normal uplift following Christmas, and forward orders continue to be strong.” Mair said the FY24 net proﬁt is expected to be similar to FY23’s record result of $50.9m, from which 22c a share dividend was paid.

News

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Stock options widen as financing grows The billion-dollar market for livestock finance is very competitive, with rural servicing companies, banks and some specialist financiers getting in on the act. Hugh Stringleman looks under the hood for comparisons.

ARMERS’ use of livestock financing options is increasing steadily despite the much higher interest rates payable compared with two or three years back. The going rate now begins at 11.95%, applicable to Carrfields One Stock products and to Heartland Bank Livestock Finance, two of the biggest loan portfolios in which farmers own the livestock. The PGG Wrightson GoStock scheme differs, retaining ownership until sale, after which farmers get the trading margins less fees. Heartland and Carrfields offer deferred repayment until the livestock are sold. Federated Farmers meat and wool national chair Toby Williams said livestock financing options are 3-4% higher interest rates than mortgages from the major trading banks. Therefore, it makes sense to use any grazing contracts or some working capital alternatives. “Those are the ways most farmers fund their trading livestock purchases but the specialised finance offers are becoming more widely used, especially PGW’s Go-Stock,” he said. According to the Federated Farmers annual banking survey, published last November, the average bank overdraft is 10.5%, about 4.5% higher than two years previously. The average overdraft level in the survey was $320,000 and the median across all meat and wool farmers was $150,000. Williams approvingly recalled the meat company lamb grazing agreements in the past, but a spokesperson for the largest

company, Silver Fern Farms, said it does not now provide livestock finance. Spokespersons for PGG Wrightson and Carrfields said the growth in farmers’ use of their livestock financing options has been exponential, over a relatively short period since those products were launched. PGG Wrightson corporate affairs general manager Julian Daly said the number of farmer-clients using the Go-Stock service was close to 1000 in the 2023 financial year, versus only 120 in its first year. Since 2016, Go-Stock has purchased 375,640 cattle and more than 2.5 million lambs, and the average annual growth rates have been 41% and 60% for cattle and lamb respectively. Options for deer and dairy cattle financing have been added since the launch, along with a Defer-aBull option for dairy service bulls. PGG Wrightson contracts are written for an agreed number of livestock, with maximum values, such as Go-Beef Max up to $1450, and client exposure is looked at on a case-by-case basis. Daly said most contracts end positively for the farmers because they cover trading stock that generally increase in value as they gain weight. A small number of Go-Stock clients were adversely affected by Cyclone Gabrielle and any losses of stock were worked through with the company. Farmers are not required to insure the livestock under contract. East coast farmers are using GoStock at present to restock without having to use capital that could be spent on infrastructure, he said. Carrfields livestock national finance manager James McRae

HIGHER RATES: Interest rates on livestock financing options are 3-4% higher than those on mortgages from the major trading banks, but the option is increasingly popular with farmers.

said trading stock finance extends over 12 months for the full purchase price plus GST with no establishment or management fees and fully repayable on sale of the animals.

Seasonal finance is the means most farmers fund their trading livestock purchases but the special finance options are becoming more popular. Toby Williams Federated Farmers There are breeding livestock options also, with terms up to five years and monthly principal and interest repayments. Having worked for other financiers previously, McRae said One Stock is the best and most flexible offering in the market.

He said farmers who have used it testify to that. Carrfields has been offering livestock finance for four years; McRae cited commercial sensitivity when asked about the size of the portfolio. The finance is provided by DLL, one of the world’s biggest commercial finance companies, not Carrfields itself. Heartland Bank said it has seen a steady annual growth rate of 17% over the past six years and that this is a seasonal product with most lending growth occurring between March and June. Heartland said its interest rates are consistently in line with other working capital products, specifically secured against livestock and not a mortgage against the farm. Non-performing loans have not increased in the past year and Heartland has security management processes to guard

against defaults. Farmers can use any agents or purchase methods they choose and turn the finance into revolving credit if needed. Heartland said there are no processing fees, only a small establishment fee, and applicants do not have to be existing clients of the bank. The interest is added monthly to the loan facility, without requirements for regular payments, and when the funded livestock are sold, the proceeds are paid back to clear the loan balance including interest. At the June 30 balance date in 2023, Heartland Bank had $191m out on loan to farmers for livestock. This was at the end of the high season for livestock financing, which runs from January to June, the bank said. It has been in livestock financing since 2007 and recently expanded in Australia, buying StockCo.

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News

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Changing crops for a challenging world Gerald Piddock

MARKETS

Arable

ESILIENCE in agriculture is about being robust and adaptable to whatever comes. And creating that resilience is how farmers will remain successful in a world fraught with economic uncertainty, extreme weather, increases in regulations and changing market demands, Foundation for Arable Research chief executive Dr Alison Stewart says. Speaking at FAR’s Maize Proﬁt and Productivity conference in Hamilton, Stewart told farmers that what is happening in New Zealand is happening globally because change is moving at such a fast pace. Becoming resilient in the face of challenges means ﬁnding ways to survive and thrive in the changing world. “If you’re looking at agricultural resilience, it’s not just about the ability of a farm to cope, it’s about the ability to be able to transform, it’s the ability to change and evolve in light of the crap that’s

going on around you,” she said. For a farmer, that could be a lost crop, issues with the farm business, a regional or national issue that affects the farm – or even mental health, Stewart said. These challenges are being felt everywhere. “There’s no one in New Zealand saying, ‘Lets make life difﬁcult for agriculture’.”

I hate to think that New Zealand will dig their heels in defending the status quo so much that we would lose that opportunity. Dr Alison Stewart FAR She urged farmers not to think that agriculture is exceptional and deserves exceptional treatment as it grapples with these challenges. “As farmers, we need to get over this ‘we’re special and we need to be treated in a special way’.” While agriculture is important, so are tourism, manufacturing and other industries. Creating resilience means

embracing climate-smart solutions to adapt to climate change. It means crop diversification, sound financial management and having a good network that supports decision making. “If you focus on those, you’ll be able to see a pathway forward,” she said. For growers, crops need to be looked at under a different lens that goes beyond yield to also take into account the plant’s tolerance to drought, heat and pest and diseases. “It’s a package that’s going to give you a consistent yield under changing environmental conditions.” Farmers will also have to employ different management techniques to allow their farm to be more resilient. “You have to know what’s out there, not just in New Zealand, but internationally.” While crop diversification goes against the farming policies of a lot of maize growers, where monoculture has been the norm, extreme weather events mean that crop is under risk. This was not a prediction but a reality and is happening in NZ, Stewart said.

RISK: Crop diversification goes against the farming policies of a lot of maize growers, where monoculture has been the norm, but extreme weather events mean that approach is under risk. “You have to ask yourself the question, every year, is my business model around an intensive monoculture still delivering the profit and the benefits verses the increasing risks around losing the crop and fluctuating commodity prices.” Diversification could manage that risk. Farmers also have to be prepared to learn and innovate because if they are working in isolation and repeating what they have always done, she predicts a challenging future for them. Innovation needs to be embraced to make them resilient in the face

of any expected disruptions. Steward said she fears NZ is risking becoming a holdover because it is not embracing change as much as the rest of the world. “Don’t assume that what you are doing at this moment is ﬁne, because if we truly are world leaders in agriculture, world leaders never defend the status quo because they are always innovating, changing and evolving. “The All Blacks found that out the hard way and I hate to think that New Zealand will dig their heels in defending the status quo so much that we would lose that opportunity.”

Covid study shows up gaps Agria ﬁres back in in urban-rural healthcare PGW boardroom Staff reporter

Hugh Stringleman

Health

Business

NEWS

VISIBLE gaps between rural and urban covid-19 vaccination rates highlight the need for tailored health responses, according to University of Otago researchers. Results of the ﬁrst study to analyse vaccination uptake in rural versus urban settings during the peak period of New Zealand’s national vaccination rollout in 2021 found different population groups had varying levels of vaccine uptake. Lead author Tālis Liepiņš, PhD candidate in the Department of General Practice and Rural Health, said the ﬁndings suggest opportunities for improvements in vaccination delivery models for rural and urban communities, and further highlights the urban-rural divide when it comes to equitable healthcare. “It is important we advance general awareness around equity of access for rural populations and how health interactions for rural communities differ from urban communities,” he said. The study, published in Epidemiology and Infection, used a national dataset of 4.3 million health service users. “By the end of the study period there was a clear urban-rural gradient apparent for all ethnic groups, with greater rurality

NEWS

IMPROVEMENT: The findings of a study into covid-19 vaccination rates suggest opportunities for improvements in vaccination delivery models for rural and urban communities. associated with lower levels of vaccination uptake,” Liepiņš said. “Rurality further exacerbated the lower vaccination rates for Māori.” The researchers also found “considerable variance” in uptake between rural older and rural younger people, with the rural urban differences much more apparent in those younger than 45. Co-author Professor Garry Nixon, head of the rural section in the Department of General Practice and Rural Health, said these differences, visible across different population groups, suggest different barriers to access. “This further emphasises the importance of health policy responses tailored to meet the needs of rural populations,” he said. Funded by the Ministry of

Health Covid-19 and National Immunisation Programme, the study is the ﬁrst of three exploring the covid-19 vaccine rollout in rural NZ. The studies aim to help show how effective the rollout was for different rural populations, identify the barriers and facilitators and guide future policy decisions. “Our ultimate aim is ensuring equitable vaccination programmes, coverage, and population protection in the future. “Policy makers and programme funders need to be aware of the urban-rural divide and work to address it through policy development, service or programme development, and funding rural services to meet the needs of the communities they know so well,” Nixon said.

A FIGHT has broken out in the PGG Wrightson boardroom ahead of its interim results announcement on February 27. Major shareholder Agria Corporation of Singapore has requested a special shareholders meeting to vote on seven resolutions – the removal of three current directors and the appointment of four Agria nominees. It wants that meeting on February 22 or the ﬁrst available date thereafter and, judging by communications between Agria and the PGW board, it is in no mood to compromise. In an announcement to the NZX exchange, PGW said the board sought a more constructive board transition, but Agria said it would not withdraw the special meeting request notice. The meeting will go ahead as soon as it can be arranged under NZX regulations. The independent directors Agria wants replaced are deputy chair Sarah Brown, Garry Moore and Charlotte Severne.

The four nominees are former director and chair Alan Lai, Wilson Liu, Van Crawley and Traci Houpapa. The only two current directors not singled out by Agria are acting chair U Kean Seng, also head of corporate and legal affairs for Agria, and former Gisborne mayor Meng Foon. Should it succeed, 44% shareholder Agria would go from one director to ﬁve and Foon would remain the sole independent. U Sean Keng has been a director since 2012 and acting chair since July 2023 when former chair Lee Joo Hai stood down. Brown has been on the board since 2019 and deputy chair since July 2023. Severne was appointed in 2021 and Foon and Moore in 2022. It appears Agria has been under-represented on the small board for at least nine months and that Lai’s patience has run out. But Lai and Lee have both been in trouble with securities commissions elsewhere in the 15 years since Agria ﬁrst took a capital stake in PGG Wrightson and grew that into a majority shareholding.

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

News

Exporters urged to go hard on soft power Richard Rennie

MARKETS

Trade

HILE far from being a global powerhouse, New Zealand commands signiﬁcant world attention with its softer powers of humanity and sustainability, providing grounds for some solid marketing stories. So says the latest New Zealand Story market pulse consumer survey, conducted across ﬁve major markets and 150,000 consumers. It highlights NZ’s “soft power” attributes, where consumers see this country acting strongly in sustainability practices and on humanity’s behalf. The survey was conducted late last year among consumers in Australia, Singapore, China, the United States and United Kingdom. A similar survey among Indian consumers is scheduled for next month. Survey presenter Joshua Thomas-Goodey pointed to NZ being perceived as a collectivist and progressive country that acts on behalf of the greater good when leadership is called for. Similarly, a connection to and responsibility for nature is also seen as a priority. Some of the surprise elements

to consumers were that NZ’s space industry ranks the fourth largest in the world and that it has ambitious environmental goals. “These leave us with a picture in peoples’ minds thinking that we have humanity, a collectivist approach, are creative and kind, values that are kind of lacking in the rest of the world at the moment,” Thomas-Goodey said. Those strengths were even more embedded when combined with the Māori value of kaitiakitanga, looking after the environment. “Our existing proposition strongly aligns with consumers’ expectations and perceptions. The opportunity is to improve perceptions of science, technology, innovation and space exploration,” he said. NZ Story consultant Lucy Alborn said consumers the researchers spoke to were “gobsmacked” when they were shown examples of NZ’s innovation. “There are some great examples, but we need to get these stories out.” Underpinning those values is a solid, democratic economy with a diverse population and respected education system. “We have a good platform to build on with our compassion, humanity, progressiveness and openminded, creative nature but

BE KIND: NZ Story CEO David Downs says NZ’s collectivist, sustainable and caring ‘soft powers’ offered a platform to link to its innovation and environmental sustainability. we are lacking evidence about our ingenuity.” Some perceptions of NZ remain in line with what was gauged in the post-covid 2022 survey. That includes being seen as a small remote country that is self-sufﬁcient but also somewhat disconnected from the rest of the world. Natural beauty remains a solid foundation of perceptions, along with a laid-back approach to life and a largely agrarian culture. NZ Story CEO David Downs

said the work highlights the opportunity to take what consumers already know about NZ and extend it to areas they do not know about as much. “A growth in perception leads to a growth in a willingness to pay,” he said. He did not see the results as a reason for any shift from NZ’s core focus on food and ﬁbre exports, rather as offering a chance to incorporate the respected values of sustainability in particular even further into the story.

SOMETIMES

IT’S HARD TO BE HUMBLE. PROUD TO BE GENERAL INSURANCE COMPANY OF THE YEAR. AND A FEW OTHER THINGS. Not wanting to crow about it, but we’re pretty stoked to be named General Insurance Company of the Year by ANZIIF. Mostly because the award recognises how well we look after our clients. And at the end of the day, that’s what we’re here for. When you add to that the customer satisfaction awards we’ve also been given from Canstar and Consumer, we’d have to humbly admit that we must be doing something right. We’re here for the good of the country.

These leave us with a picture in peoples’ minds thinking that we have humanity, a collectivist approach, are creative and kind, values that are kind of lacking in the rest of the world at the moment. Joshua Thomas-Goodey Fiftyfive5 Consultants

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10 Editorial

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Letters of the week Fonterra: mistakes have been made Ian James Feilding

From the Editor The rural-urban healthcare divide Craig Page

Deputy editor

HOSE living in the country are already well aware of the ruralurban divide when it comes to accessing healthcare. But research released last week by the University of Otago into covid-19 vaccination rates further highlights the gulf that exists between cities and those outside the main centres. It is the ﬁrst study to compare vaccination uptake in rural and urban areas during the peak period of New Zealand’s national vaccination rollout in 2021. It discovered different population groups had varying levels of vaccine uptake. Lead author Tālis Liepiņš said the ﬁndings show improvements are needed in vaccination delivery for rural and urban communities, and further highlight the urban-rural divide when it comes to equitable healthcare. “It i s important we advance general awareness around equity of access for rural populations and how health interactions

for rural communities differ from urban communities,” he said. By the end of the study, Liepiņš said, there was a clear urban-rural gradient for all ethnic groups. Those living in isolated areas had a lower level of vaccination uptake and “rurality” led to even lower vaccination rates for Māori. The researchers also found “considerable variance” in uptake between rural older and rural younger people, with the rural-urban differences much more apparent in those younger than 45. Co-author Professor Garry Nixon said the results further emphasised the importance of health policy responses tailored to meet the needs of rural populations. Funded by the Ministry of Health Covid-19 and National Immunisation Programme, the study is the first of three exploring the covid-19 vaccine rollout in rural New Zealand. The difficulty in accessing rural health services has long been talked about and last year this newspaper wrote at length about the significant chasm between health services in rural NZ and the main centres. The two biggest issues facing rural health are workforce capacity and equity of access to services. Last year a new rural after-hours telehealth service was unveiled. It provides after-hours healthcare over the phone, and is being touted as improving access to primary health care for almost 900,000 New Zealanders.

While there is no doubt it will help the cause of people living in insolated areas, it is not seen by many as a long-term solution. The new government has vowed to address rural health shortfalls. National promised a third medical school with a focus on rural health and primary care and ACT said it would aim to deliver on a rural health strategy, which it proposed, to ensure greater access to healthcare. NZ First said it would attract new graduates to provincial areas with a bonding scheme that would see them have their student loans written off over ﬁve years’ service.

Those living in isolated areas had a lower level of vaccination uptake and ‘rurality’ led to even lower vaccination rates for Māori. Last week provided some movement when the University of Waikato signed a memorandum of understanding with the Ministry of Health to establish a third medical school. The school will focus on training medical staff for rural practices and the university’s vice-chancellor, Professor Neil Quigley, said the signing is a step to addressing health workforce shortages and reducing NZ’s reliance on foreign doctors. There has been plenty of talk about addressing the situation. It is time for some action.

I READ Allan Barber’s column, “Has Fonterra been an unqualified good” (January 29). It was very interesting and well researched, but as an ex dairy farmer and observer of the industry’s progress, I would like to offer some of my personal thoughts. In the late 1990s many dairy farmers, including myself, thought that the logical way to maximise New Zealand dairy farmers’ financial returns would be to have a single co-operative company to collect, process and market the majority of the country’s milk. This would give maximum economies of scale and allow the ability to adjust product mix for the maximum benefit for all suppliers. The structure of Fonterra allowed for this. Fonterra’s first CEO, Craig Norgate, wanted the company to be “fleet footed and nimble”. I believe the first mistake the Fonterra board made was to appoint a CEO from overseas. The company had been established through many generations of NZ dairy farmers, who all understood the cooperative structure of our industry and who had all invested in that structure. With the appointment of Andrew Ferrier as CEO and then Theo Spierings, the company seemed to transfer into what someone at the time called a “lumbering monolith”. There was certainly nothing fleet footed about the company now. Its focus seemed to go from returns to the supplying shareholders to a plan to grow the size of the company regardless of the costs. This was done by joint ventures etcetera in many other countries. Certainly under the days of the Dairy Board we had joint ventures like this, but under the guidance of Warren Larsen these ventures always had the financial returns at the forefront of investments. Under Fonterra there seemed little if any accountability or justification for the investments. I recall going to Fonterra AGMs, where

Continued next page

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Opinion

11 In My View FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

In my view ...

Tough times will pass for lamb, too Nathan Guy

Guy is chair of the Meat Industry Association

S THE former minister for primary industries for five years, it was always a great source of pride to me to see New Zealand farmers and our meat processors partner to export premium lamb to markets across the globe. It’s been more than 140 years since the Dunedin left Port Chalmers for London with the first shipment of frozen lamb, launching our global food export industry. This was an historic breakthrough moment in NZ’s journey as a global food leader.

Our farmers and exporters emerged as unlikely heroes during the pandemic and the red meat sector enjoyed record global prices a year or two ago. Nathan Guy Meat Industry Association That long history has to some extent meant some New Zealanders have taken our talent for producing the world’s best lamb for granted – it’s a Kiwi export delight, right up there with kiwifruit and sauvignon blanc. That’s why it was great to celebrate National Lamb Day at Parliament, led by Ag Proud and Beef + Lamb NZ, with the backing of our meat companies. The lamb barbecue highlighted that

Letters of the week Continued from previous page we got slick presentations from company managers but no reports of financial returns from the billions of shareholders’ dollars invested outside of NZ. It all seemed to be thrown into a big melting pot and whatever profits came out the other end were paid out to suppliers. It seemed the company had lost sight of its purpose – to maximise returns to suppliers. The other area where I think Fonterra lost direction was with the shareholding structure. Shares were first introduced in the late 1980s and ’90s. This was a period of massive increase in milk supply throughout NZ. All companies at the time were faced with the

pasture-raised lamb is seriously tasty and good for our health as part of a balanced diet. Like any sector, sheep farmers have experienced highs and lows over the years. The reforms of the 1980s saw many farmers walk off the land under a burden of debt. However, the sector emerged from that period with greater resilience and strength. Since then, there have been significant advances with genetic gains in sheep, new technological tools and the development of new pasture species and cultivars transforming the farming landscape. Our farmers and exporters emerged as unlikely heroes during the pandemic and the red meat sector enjoyed record global prices a year or two ago. Right now, we are in a challenging cycle and it is a tough time for sheep farmers (in fact most farmers), with schedule prices softening on the back of high inflation, soaring costs of living and more competition from other countries. These have led to reduced demand for lamb as consumers shop around for cheaper proteins. The situation has been compounded by soaring farmgate costs for farmers, with on-farm inflation more than 16% in the year to March 2023. However, while there are currently significant challenges, there are also opportunities and I encourage farmers to remember these tough times will pass. The NZ-United Kingdom free trade agreement (FTA) has secured improved access for red meat into one of our most established costs of providing facilities to process all this extra milk. It was considered unfair for existing suppliers to have to pay for this extra processing capacity and so in the case of the Tui Dairy Company, as an example, it took the average M/S supplied by each farmer over the past three seasons and any increase over that average attracted a contribution towards the cost of processing it. Fonterra, however, created a massive issue by increasing the shareholding to include all milk produced, totally unrelated to the original purpose for shares but as a means to raise capital for the company. It defies logic that the Fonterra board at the time couldn’t see the potential for shareholders to cash up and run. Many shareholders were forced to do this for their own financial survival. Had the company stuck to its main purpose, the payout may have been enough to avoid this.

DIFFICULT: Right now, New Zealand is in a challenging cycle and it is a tough time for sheep farmers, says Meat Industry Association chair Nathan Guy. markets. It may take time to build on the potential, but this is an exciting opportunity. The NZ-European Union FTA, which comes into effect later this year, will provide further opportunities for the sheep meat sector in this affluent market. My visit to China late last year with meat company representatives reminded me of the size and scale of this important market. While China’s economy and demand have slowed, there are some green shoots starting to appear. Strengthening relationships and getting closer to Chinese customers and consumers (as always) are vital to success. India also offers great potential, and strengthening ties with this nation is very important. It was great to see Minister of Agriculture and Trade Todd McClay travel to India on his first

overseas visit as minister late last year. I know political relationships are critical but so are businessto-business links. Alliance uses former NZ cricketers to open doors and successfully market its quality lamb into India. It seems fitting that those who excelled on the green cricket pitches of the world are helping to raise awareness of a product sourced from animals raised roaming freely in the lush green pastures of NZ, to a fellow cricketloving nation with a potential consumer market of 1.4 billion people. Those abundant pastures, allowing us to farm with a low environmental footprint, exceeding global animal welfare standards and producing the highest quality sheep meat, are our great advantage. Along with world-leading

farming knowledge, we are well positioned to meet the ongoing international demand for protein. When you are next having a barbecue with friends and family, remember to celebrate our lamb. We need to be proud and remind Kiwis to keep buying it. That way we will continue to have good reason to celebrate our sheep meat industry for many more years to come.

The other crazy move by the board was to open shares outside of supply so the public could invest. History has shown the stupidity of that move. The company eventually had to face the wrongs of the past and John Monaghan and Miles Hurrell deserve credit for starting to get the company back to basics.

down to under 80%. In my view there still seems to be a disconnect between the Fonterra leadership and the owners of the company (the supplying shareholders). We all know that over recent years NZ farmers have come under huge stress and yet Fonterra seems to want to continually introduce more control over the way suppliers farm. Where does the Fonterra board get the idea that it has the right to be the environmental police force over its owners? NZ dairy farmers are the most environmentally efficient in the world. Why can’t the board be satisfied with that? One Fonterra supplier told me that the shed inspections now spend about 20% of the time on the facilities and 80% on checking records. In my view Fonterra shareholders should get more say in how the company is run.

The company belongs to the shareholders and yet even voting for board members is controlled by the board. It is almost impossible for suppliers to get a remit through at the AGM. The Fonterra board needs to listen to its shareholders or it will continue to haemorrhage supply. NZ’s economy and NZ dairy farmers need a strong Fonterra. It would be very naive to think that competitors like Open Country will pay more than necessary to maintain their supply. Privately owned dairy companies are not there for the benefit of their suppliers. The answer to Allan Barber’s question, “Has Fonterra been an unqualified good?” is “ I don’t know.” If you ask “Has Fonterra reached its potential?” I would give it a maximum of 3 out of 10. It has the right structure but it needs a better performance.

Fonterra shareholders should get more say in how the company is run. Over the years we have been given the idea that running a cooperative like Fonterra requires rocket science; in fact, it is just running the likes of the previous dairy companies but on a larger scale. So where is Fonterra at today? As Barber pointed out, it has gone from collecting 95% of NZ milk

Got a view on some aspect of farming you would like to get across? We offer readers the chance to have their say. Contact us and have yours. farmers.weekly@agrihq.co.nz Phone 06 323 1519

12 Opinion

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Opinion

Provinces cleaning up after cities once again Alternative view

Alan Emerson

Semi-retired Wairarapa farmer and businessman: dath.emerson@gmail.com

GET extremely frustrated at our infrastructure deficit – where governments come in and do their own thing and then demolish what the previous administration built. Both of our major parties do it and the taxpayer ends up the loser. It’s actually worse than that as often it is the provincial ratepayers bailing out their city cousins and my belief is that it is about to get worse. Recently we have had the shambles over the Cook Strait Ferries and the cancelled Auckland Light Rail project. While I have little knowledge of Auckland Light Rail, I’d make the point that one government started

the project and another cancelled it. The loser in the process was the taxpayer to the extent of $228 million. Auckland transport is a shambles that needs fixing but there seems little political will to develop a consensus and get the problem fixed once and for all. That, in my opinion, is an indictment on all of our political parties. It seems to me that debating points are more important than action. The key issue is that we have an infrastructure crisis right across the board and it is going to get worse. Our roading system is a disgrace, we can’t provide water or safely remove sewage, we’re not building resilience into our structures, our electricity system needs billions of dollars of investment and provincially communications are appalling. Our political parties seem intent on providing roads more for political support than need or economic return. Again, it is the provinces that lose out. To give a simple example of the problem: during covid the previous government borrowed heavily. It was roundly criticised for it. The issue for me is that at the time interest rates were zero, so why didn’t we borrow more for infrastructure? We need political vision. Take the London Underground as an example. It was started by a visionary in 1863 when London had a population of just 3.5

million. The cost was £1 million, which at today’s value would be £152 billion. What started with steam trains is now fully electrified, is 402km long and used by 1.35 billion people annually. The rationale for starting the underground was “to reduce street congestion”. Imagine modern-day London without the tube. Imagine Auckland in 20 years without a proper transport fix. Well thought-out, resilient infrastructure makes good common sense. For example, the cost of congestion in Auckland is estimated at $1.3bn annually. It needs to be fixed and that requires considerable investment. The current axing of the Auckland fuel levy won’t help, with mayor Wayne Brown complaining that key infrastructure projects will need to be cancelled. Either that or they will be paid for by you and me, the taxpayer. The problem is that any remedy needs to be agreed to by all political parties if that is remotely possible because without that agreement we are going to be in a worse position in 10 years’ time with billions of taxpayer dollars wasted. In addition it will be infinitely worse for us in the provinces as the political parties will chase the votes from the most populist centres and that won’t include

SHAMBLES: The provinces are having to bail out Wellington city’s selfinflicted infrastructure woes, says Alan Emerson. Masterton or Ashburton. Something needs to be done, so the government will allocate funding or borrowing along regional council lines. If that happens the rural ratepayers of Wairarapa and Horowhenua are going to be well and truly screwed to support Wellington City’s selfinflicted water woes. Another example is Three Waters. I was strongly opposed to the original Three Waters but saw some merit in the revised 10-organisation approach. That’s now toast, leaving a bill for the taxpayer of $1.2bn and no real answers going forward. We’re told that to fix the country’s water woes could cost up to $180bn. So what’s going to happen now? Councils are complaining that their rates could treble and that would be lethal for rural landowners already paying excessive rates.

I’d argue that rates can’t significantly increase as it would make them unaffordable for many. We’ve already been told we’re having tax cuts and not tax increases. That begs the question of where the money for our muchneeded infrastructure will come from and the only answer I can see is to either introduce new taxes, such as capital gains, or borrow. I don’t believe we can cut enough services to provide the hundreds of billions of dollars our infrastructure desperately needs. And don’t tax the provinces to fix the incompetence of the cities. What we desperately need is political leadership that can take us forward as a country by working across the political spectrum to develop key infrastructure that will last beyond a political cycle. At this point we seem to be doing anything but.

The next wave of Kiwi farming innovation Eating the elephant

David Eade

David Eade is a Whanganui sheep and beef farmer with a finance background, specialising in investments within the primary sector. eating.the.elephant.nz@gmail.com In this series, the lads consider New Zealand’s place in the world.

T’S February 1882. The SS Dunedin carries the first shipment of frozen meat to the United Kingdom, kickstarting New Zealand’s place in the world as an efficient exporter of high-quality protein. It took 98 days to complete the 21,818km journey and deliver NZ prowess on the world stage.

One hundred and forty-two years on and our underlying strategy is still the same – export high-quality, efficiently produced protein to our major trading partners. Barring a major tectonic or geopolitical shift, we have overcome the tyranny of distance, with primary exports breaking $56 billion last year. The world deals in leaps of technology, and these shifts are happening at an ever-accelerating rate. There may have been thousands of years between the Stone, Bronze and Iron ages, yet only two decades between the Computer Age and dawn of the Information Age. Based on some predictions, the world is due another major technology shift over the next two to three decades. We could be living through one right now. NZ rode the wave of a technology shift in refrigeration 142 years ago. Further improvements in refrigeration, ships and planes have made our processes more efficient with fresh produce able to reach key export markets to a matter of hours. We currently look to technology to further support our competitive advantage of exporting the highest quality primary produce for the lowest cost. The next leap in

technology might call our current strategy into question – instead of exporting bulky commodities we might export knowledge that reaches end customers in a matter of seconds. We live in an age where knowledge is more accessible than ever before. Search any skill you want to learn on YouTube and more information than any human knows what to do with will be returned in under one second. Knowledge that used to be held and shared among a small cluster of people can now be transferred in a matter of seconds. What’s more, scale is possible with very little time and cost. The huge success of the Dunedin’s voyage was in achieving something that had never been done before – placing NZ-made produce on the world stage. The quality of our produce speaks for itself, but the knowledge required to create it is held deep behind the farm gate in the head of talented farmers. Exporting this knowledge could be the key to creating a world where NZ’s intangible primary sector exports (technology and knowledge) surpass tangible exports (commodities). We are starting to see signs of how this could potentially happen,

Halter being a prime example. The remote collar initially grabs the attention of farmers looking to remove operational costs from their system as this aligns with our current wants of creating highquality protein at a lower cost.

We can and should be a centre of knowledge on sustainable production. The more important aspect is the underlying model, which has been built with the intuitive knowledge of NZ dairy farmers. It won’t be long before this model is making decisions for farmers and optimising production across many global dairy units. As the day starts for a farmer in the United States, they can log into their NZ-powered app to review today’s predictive recommendations. Knowledge is the commodity in this example, rather than the milk powder or meat produced. It does not have to be put in a container and it can scale with limited cost. NZ’s role in the global primary sector should extend beyond mere production. We can and should be a centre of knowledge on

sustainable production, accessible to our farming colleagues across supply chains and around the world. To start thinking about how to make this vision a reality, imagine arriving in a developing country, tasked with imparting the secrets of profitable milk solids, the art of raising the perfect lamb, or cultivating kiwifruit with perfect taste and size. How would you spread your knowledge to help the most people improve quickly? What metrics would you employ to monitor progress, and how would we evaluate decisionmaking upon our return? How would you build trust with the people ready to pay to learn from you? The answers push us into brave new development spaces, like artificial intelligence, storytelling, real-time assurance and data-sharing or cross-market collaborative partnerships. Our future place in the world may not be defined by the quality of our meat and milk, but by the quality of the meat and milk we help others to grow. How we share our unique mental models and insights cultivated through years of experience will be the true art of innovation for NZ farming.

Opinion

13 FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Methane research levy the key – not tax The braided trail

Keith Woodford

MD at AgriFood Systems kbwoodford@gmail.com

N RECENT articles I have attempted to explain some of the global warming complexities of methane. I did that in the hope that the ongoing debate might at least have elements of genuine communication and debate, rather than the two-way throwing of verbal missiles. In this article I discuss a path to the future. I have also recently begun the process, together with academic colleagues, of writing about global pastoral systems from a trans-disciplinary perspective, recognising that no single scientific discipline can hope to answer the big questions that span food production, the environment, climate change, economics and more than a billion livelihoods across the world. Our work there is ongoing. That work has led me back to the idea of a “wicked problem”, which by definition has no easy answer. With wicked problems, if people think there are easy answers, they don’t understand the problem. An “easy answers” perspective leads quickly to verbal missiles, often personalised, where the other side is assumed to comprise of ignorant people. I need to lay out the specific wicked problem that we are dealing with here in New Zealand. First, we need to recognise that the agrifood systems that underpin the NZ economy are much more than “farming” or even “agriculture”. When people quote the Statistics Department data on agricultural GDP, they never state that this is only the value contributed by the farmers’ own endeavours plus the on-farm workers. It excludes shearers and the contractors associated with hay making, silage making and fencing. It excludes the veterinary, accounting and farm advisory professions. It excludes the people working in the fertiliser and farmchemical industries. It excludes the farm machinery companies. It excludes livestock agents. It excludes the contribution of anyone associated with the meat companies, the dairy companies, the transport companies and the export companies. NZ’s pastoral industries alone last year contributed

$37 billion worth of exports. It should therefore be obvious that NZ cannot afford to destroy its pastoral industries. People in regional NZ have a good understanding of this, but people in the big cities often lack this insight. Hence there is a political divide, although leaders on both sides of politics do understand when reminded of the importance of agribusiness. Second, the evidence that methane is a greenhouse gas is irrefutable and has been known for well over 100 years. There is no serious argument against the science that each additional molecule of methane that is emitted makes the atmosphere warmer than if it were not emitted. However, there is also a valid argument that if the intent is limited to ensuring the methane cloud does not grow any further, then, because of the relatively rapid decay of historical emissions, it is not necessary to reduce methane emissions to zero. Also, the extent to which methane is relevant to future global warming is genuinely contested. Conversely, it is also correct to say that reducing global methane emissions right now could make a worthwhile contribution to the 2050 global political target of ensuring the temperature increase above pre-industrial temperatures would be no more than 1.5degC. This is because the effects of a reduction of methane emissions occur quickly, whereas for carbon dioxide the short-term effects are much less dramatic. However, this must not hide that, to the extent future global warming is going to be a problem, it is carbon dioxide that is going to be the key driver, both pre and post 2050. In scientific terms, there is nothing magic about 2050. More than 150 countries, led by the United States and the European Union, have now signed a pledge at the United Nations Framework Convention on Climate Change that they would work collectively to reduce methane emissions by 30% by 2030. If achieved, this is expected by the Intergovernmental Panel on Climate Change and the UNFCCC to reduce 2050 global temperatures by about 0.2degC, compared to what they would otherwise be. Given that NZ has the highest methane emissions per capita of any country in the world, it would be difficult for NZ to now say we are going to do nothing. Although NZ has signed up to the collective pledge, its own contribution to the collective is a 10% reduction in emissions by 2030 and a 24% to 47% reduction by 2050. This reflects that many countries, unlike NZ, do have relatively easy options for substantially reducing the methane that escapes from the natural gas and oil. However, not one of those countries is volunteering to seriously damage its economy. The fact that NZ’s international

methane commitments are structured differently than for the longer-lived carbon dioxide and nitrous oxide, with these collectively committed to net zero by 2050, is recognition that shortlived and long-lived gases do need to be considered differently. Aligned with this, over the past three years a broad consensus has emerged across most but not all of the NZ political spectrum that methane should not belong in the Emissions Trading Scheme (ETS). That has been a big step forward. The ETS was designed as a “cap and trade” tax system to encourage companies and individuals to move away from fossil fuels to other forms of energy. Despite some big flaws, it can work for carbon dioxide.

development and technologytransfer requirements if the methane intensity of pastoral agriculture is to be reduced, and what funding does this need?” It is remarkable how the farmerbased organisations have focused on, and then disagreed among themselves over, what a tax might look like, although all the rural organisations were in tune when it came to opposing the Labour Government as to who should make the tax-rate decisions. What was lost in that debate is that any methane levy – which is different to a tax – needs to be an outcome of a considered process whereby the research, development and technology transfer required for methane mitigation are identified, with

total greenhouse gas emissions in terms of the flawed carbon dioxide equivalence (CO2e) system, but there are multiple calculators that provide somewhat different answers. The farmer organisations now need one calculator that can be applied to all ruminant species and all pastoral systems. Also, with methane now to be outside the ETS, it is the methane numbers, not CO2e numbers, that we need to know. In regard to methane, the CO2e equivalence is no longer relevant at the farm level. These issues and associated thinking need to be sorted out now. In regard to magic methane bullets, there has been a tendency to overhype the potential. All of the technologies, such as

FEWER OPTIONS: NZ’s pastoral industries contributed $37 billion worth of exports last year. It should therefore be obvious that NZ cannot afford to destroy its pastoral industries, says Keith Woodford.

The farmer organisations now need one calculator that can be applied to all ruminant species and all pastoral systems. A key reason that it can work for carbon dioxide is the presence of clear options for companies and individuals to move to other forms of energy. In contrast, pastoral farmers do not have significant options currently available to reduce methane emissions except by destocking. NZ’s topographical features, plus low natural fertility, a temperate maritime climate, and distance to markets, all favour pastoral endeavours rather than arable crops. In most cases, pine forests are the only economic alternative. A consequence of this is that simply taxing methane is not the way forward. No one else in the world is doing this. Rather, the need is to turn the thinking around and start by asking the question: “What are the research,

this leading to the funding levy required specifically for that purpose. The pre-2024 Labour Government did commit to methane taxes being reinvested in methane mitigation strategies, but this was putting the cart before the horse. Turning things around so that agreed mitigation strategies determine the necessary funding levies changes the whole dynamic. It makes the levy purposeful, just like existing research and development levies are purposeful. By far the simplest way to allocate the levy among farmers is based on their individual methane emissions. This provides individual farmers with an incentive to reduce their emissions and thereby pay a lesser proportion of the levy. It has been traditional in NZ that the government also contributes to research and development with the rationale being that all New Zealanders benefit from the resultant economic consequences. Therefore, it is reasonable to assume that the government would become a partner in the levy system. One of the current issues is that most farmers can now quote their

vaccination, Bovaer (3-NOP) and asparagopsis seaweed, have big challenges to overcome before they can be applied in pastoral situations. There are no guarantees that any of them will be the pot of gold at the end of the rainbow. However, Fonterra is working on an interesting probiotic product it calls “cowbucha”. This would be given to very young stock so as to programme the rumen in such a way that ever after it would produce less methane. This is currently proceeding through “proof of concept”. One technology that is apparently close to commercialisation has been developed by Ravensdown from Lincoln University research. This has the potential to greatly reduce methane emitted from dairy effluent ponds. Breeding for low-methane-emitting sheep and cattle is already underway. The challenge is that the heritability of methane-emitting differences is low. The fundamental problem remains that we are tying to outsmart nature and nature itself is rather smart. It will be a long journey, but we cannot walk away.

14 People

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

People

Eggs hatch Manawatū couple’s land plans Skipping the middleman and taking local produce direct to customers is paying off for Scott and Emma Jimmieson. Charlie Williamson reports.

HEN Manawatū dairy farmer Scott Jimmieson decided the traditional path to farm ownership was out of the picture, he looked to chicken farming as a way of getting on the land on his own account. Now, six years on, he and his wife Emma have grown the operation from the corner of his parents’ leased deer shed to 40,000 hens across eight sheds providing free range eggs to customers all the way to Wellington’s CBD. The eggs are sold through their company, Local Food NZ, which was initially formed solely as a means of selling their eggs – but now, Scott said, is part of their mission to “be a part of something bigger than ourselves, connecting fresh local food with customers”. Alongside the eggs, produce from other local farmers and growers, such as asparagus, honey and olive oil, are now sold through the Local Food NZ platform. To rewind back to the beginning of the Local Food NZ story, the initial idea for eggs began while Scott was on his OE in the United Kingdom, discovering what he thought was a great opportunity. “I was dairy farming here and then I decided to take two years and go live in London, and so while I was over there I noticed there were a lot of free range eggs in local Tesco and supermarkets,” Scott said. “And by living in places like the UK you tend to get exposed to what you could call the future, as we often follow along behind the UK and US in some way or form, so I got thinking if I went home then that wouldn’t be a bad thing to get into. “When I arrived back I bought 500 chickens, and continued working on a dairy farm, putting all the income from that job into the business, slowly building up to

around 2000 birds, and eventually got enough funds to build the first big shed, which is 5000 birds. In the beginning, Scott said, it was tough balancing the early mornings of dairy farming with trying to start a business – one of the main reasons for eventually choosing to change careers. “I was working on this dairy farm in Linton, and I was getting up at 3.45am and driving 45 minutes to Linton to milk cows, and then sometimes I would come back during the day and do work and then back in the afternoon for milking, then back at night to carry on working. “At that time, Dad was really good because he was doing a lot of the work with the eggs during the day while I was off earning income and plugging it back into the business. “So we decided something had to change there, as although it was a great short-term solution for growing the business it wasn’t a sustainable long-term solution.” This was when a job came up in town selling cars for McVerry Crawford, which would allow Scott to hit two birds with one stone, starting his working day at 8am and learning valuable sales and negotiating skills. “That was something that got me into the business world of how things work behind the scenes, giving me that experience with customer service, negotiating, money, finance and what not. “And so all the skills I learnt there for four years I just portrayed back into the egg industry.” As the egg business grew, Scott decided to quit his job in town and go all in with Local Food NZ, taking on more staff for various different roles and expanding the business. Once the business was viable, Scott and Emma also began purchasing the 35 hectare lease-

CRACKING IT: Scott and Emma Jimmieson are supplying free-range eggs from their 40,000 hens across Manawatū, Kāpiti and Wellington areas.

That was something that got me into the business world of how things work behind the scenes, giving me that experience with customer service, negotiating, money, finance and what not. Scott Jimmieson Manawatū block from Scott’s parents, and further down the track bought into a much larger operation in Himatangi with seven sheds on 30ha, with another 45ha on a lease agreement. They now both lead a team of 15, with around six full-time staff and the remaining part time, including Scott’s father, who handles most of the deliveries. Scott said the process is as

TRENDING: While on his OE in the UK, Scott noticed the popularity of free range eggs, something that had yet to catch on at the time back home in NZ.

efficient as possible, with orders right through to the deliveries being automated using technology, meaning a customer can often place an order and have their produce delivered overnight. “What it means for the consumer is that they can get eggs fresher, so instead of them being a week old by the time they go to the shop and are bought, they are getting them the following day, or two days after. “So we’re just using technology that is available to everyone to speed up that whole process. “And also one of our drawcards is that not only are we local, but we’re competitively priced, because direct to consumer is the best way to capture the margin.” Both Scott and Emma were brought up in rural NZ – much of the reason that they both want to help bridge the gap between consumers and how food is

produced. Emma said understanding where and how food is produced was something she took for granted while growing up on her family’s Taumarunui sheep and beef farm, and so she hopes Local Food NZ can do good in this space. “Growing up on a sheep and beef farm, I thought everyone must know farmers, and everyone must understand how food is made, but you then realise a lot of people don’t, which is quite sad,” Emma said. “That’s not anyone’s fault, it’s just what’s happened over time. But what we’ve found with Local Food NZ is that all the people we’re involved with absolutely love being able to understand who is making their food. “So they’re getting to know who we are, and what’s happening on the farm, and we’ve really enjoyed that aspect.”

JOBS: Local Food NZ employs 15 local people, with six full-time staff and the remaining staff working part time.

Technology

15 Tech

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Scholar visits NZ for biochar lowdown Nuffield scholar Luke Breedon from the UK was keen to see NZ biochar proponents putting the product to use to help build soil quality. He spoke to Richard Rennie.

EW ZEALAND biochar users have provided some valuable insights to a roving Nuffield scholar studying the use of the charcoal product in the primary sector around the world. Luke Breedon of Wessex in the United Kingdom is visiting Scandinavia, Europe, the United States Australia and New Zealand to examine the potential, both realised and unrealised, for biochar’s use in increasing agricultural productivity. Biochar is the charcoal produced through the process of pyrolysis, the burning of material in an oxygen-free or air-limited environment. Found naturally in soils as a

Here in NZ there are guys on the ground actually using it, and not necessarily concerned about the carbon value so much. Luke Breedon Nuffield scholar

result of historical fire cycles, it does not break down easily and offers a means of enhancing soil structure, and sequestering carbon. It is one of the few negativeemissions technologies recognised by the Intergovernmental Panel on Climate Change, storing up to half the carbon in its source material for hundreds of years. It has also been shown to improve soil structure particularly in sandy or highly friable soils. Breedon spent his time visiting the North Island for his study tour. He said his impression is that New Zealand farmers and growers are tending to dive in and use biochar, focusing more on its soil improving attributes than its carbon sequestration capability. “Having been to Europe and the United States, there are quite a few big companies with grants and funding, versus people actually using biochar. “Here in NZ there are guys on the ground actually using it, and not necessarily concerned about the carbon value so much.” He also had the sheer volume of raw material available here pushed home to him when he set up camp

at the Waikari River mouth in Hawke’s Bay, only recently opened after being inundated by forest waste during Cyclone Gabrielle. “There was still plenty of material still piled up around the place.” His interest in biochar began after he and his wife started a barbeque charcoal business, after several years involved in the arable cropping sector. His business, Slate Hill Charcoal, offers a more sustainable option to other charcoal products on the market. He soon saw his interest turn to the opportunities biochar provided to help improve soils and primary production. “Here I have also found most people using it are also often making it themselves. I visited the property of Dale Redpath in Opotiki, who is making it from mānuka scrub and putting it back into the soil and replanting trees.” While visiting he got a hands-on opportunity to turn some of the scrub into biochar, making about 425 litres in four hours. Te Puke-based post-harvest company Trevelyan’s also hosted

BURNT: Nuffield scholar Luke Breedon has noticed how farmers and growers here embrace bio-char’s soil-improvement properties. Breedon, where the company is researching the potential for biochar and regenerative orchard practices on soil biology. One company he visited, SoilPro, was sourcing carbon boiler ash as a biochar source, aligning with market gardeners to supply product to add to soils. Growers have claimed to enjoy a 50% reduction in their usual fertiliser needs. Another company, the Good Carbon Farm, is providing free

biochar to schools and community gardens to incorporate into compost and soils. “It has been great to visit a place where people are actually using it. There is a lot of talk about it in Europe, a lot of conferences on it, but not a lot of actual use.” Breedon is also visiting Australia, where research has been done that indicates feeding biochar as part of a feed ration can increase milk yield in dairy cows while also reducing methane emissions.

Rural NZ bearing WiFi opportunity cost Neal Wallace

TECHNOLOGY

Communications

URAL people do not want gold-plated internet connectivity – just reliable services that allow them to perform basic online activities. Poor connectivity leaves rural people with no option but to turn to libraries, marae and schools to link into their WiFi or to study or work late at night or very early in the morning to avoid congestion. These are some of the findings of a rural digital connectivity study by Research First, commissioned

WEB: The core issues are limited bandwidth, unreliable coverage and the high cost of possible solutions.

by the ministries for primary industries and business, immigration and employment. New Zealand has more than 4.5 million internet users with 94% internet penetration as of January 2021, but rural communities say their connectivity is substandard, congested and inconsistent. The study was conducted last year during the Auckland Anniversary Day floods and Cyclone Gabrielle, which heightened the importance of a resilient network. Rural users want internet access for the same reasons as their urban cousins – running a business, schoolwork, study, accessing

healthcare appointments, connecting with friends and family, seeking information, shopping online, playing games, using social media or livestreaming. Researchers found the core issues were limited bandwidth restricting access and use at preferred times, unreliable coverage, the high cost of possible solutions such as satellites, and a lack of knowledge and confidence on connectivity options. Users say they have adapted to poor connectivity by travelling to places with better services or learning to work around the loss of connection, high usage times,

and numerous localised drop-out zones. One interviewee was told to cut down trees to get better reception but countered that those trees were a primary form of shelter. Another pays $300 a month for a WiFi service that is poorer than that available in town. One person running a business from home has to stop work at 3pm when the network becomes too congested and another completes their studies at 1am to ensure their connection isn’t interrupted and they don’t lose their work. Others open documents at 5am or midnight to get around slow WiFi speeds, while anyone holding an online meeting contends with links that constantly freeze. Poor connectivity was also identified as an employment barrier for farmers and business owners. One interviewee said it is common for rural people to park outside their local school or marae and connect with their WiFi network to send emails or do online shopping or other tasks needing reliable connections. During the covid lockdown the connectivity was so slow, one person said, their children could not do their schoolwork. Some users relied on access through an extension or multiple booster modems, either from their original modem or from their

neighbours, to ensure they receive connections at different parts of their house. Other solutions require investment such as VHF systems and satellite phones, but since the study was completed, One New Zealand and SpaceX have begun forming a partnership to provide 100% mobile coverage across the country.

The government and agencies should look at the opportunity cost of rural businesses not being able to compete and people not being able to thrive. Report Research First For many internet users, copper cabling, which provides landline access, is the most reliable source of WiFi connectivity. Users told researchers they are worried what will happen to their internet access if those lines are disconnected. Research First concluded that, rather than looking at per capita cost when assessing improved services, the government and agencies should look at the opportunity cost of rural businesses not being able to compete and people not being able to thrive.

Sheep and beef farmers helping to fuel the New Zealand Team New Zealand sheep and beef farmers stand strong behind the New Zealand Team on their journey to the Paris 2024 Olympic Games.

This is part of our collective work to help build the public trust and reputation of the sector and our world-leading products.

As an official partner of the New Zealand Team, Beef + Lamb New Zealand (B+LNZ) is using the relationship to celebrate the nutritional benefits of beef and lamb and the edge it gives athletes, and showcasing how our farmers produce this amazing product – all while showing some national pride.

B+LNZ is co-funding this work jointly with B+LNZ Inc, meat processors and retailers. Another key initiative is the highly successful ‘Good things start with NZ beef and lamb’ campaign featuring Olympic gold medalist Stacey Waaka, which you might have seen online and through TV ads. The campaign has generated tens of millions of views.

Keep a lookout for logos, ads, athletes at events, and more in the lead-up to and during the Olympic Games.

Farmers can be proud to be rallying behind the fern this Olympic Games.

Proud partner of

Northland Field Days

17 Field Days FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

‘Friendly Field Days’ is smiling again

ASSISTANCE: Federated Farmers National board member Mark Hooper, left, from Taranaki, attended the Northland Field Days to help Northland president Colin Hannah.

work on their sites already. In this the 39th year, the 37th event will be on Thursday February 29, Friday March 1 and Saturday March 2, with the gates open at 9am and closing to members of the public at 3pm. The gold sponsors are Hansen Products, Gallagher and Ravensdown. There are a further 45 sponsors and the voluntary committee is deeply grateful to all farmers who donated livestock and exhibitors who donated their site fees during the two years in which the ﬁeld days were not held because of covid. Committee chair Julie Fox said this year’s event is a momentum maker after three years of adverse events. She said the 20-plus committee members are enthusiastic and looking forward to dry, warm weather. “Site works have been underway for two months and the roads will be re-metalled soon. “We are delighted to be rebuilding of a strong foundation with plenty of enthusiasm.” Schwarz said the new attractions at this year’s ﬁeld days included a small maize maze, a miniMack haulage truck and trailer to take people around the site, and a demonstration by Aerolab of its large drone for agricultural purposes such as spraying and spreading.

THRILLING: Northland Field Days organisers think a mini maize maze will be a hit with children who attend this year.

SUNSHINE: Before the weather turned, sunshine brought Northland farmers and their families out for the provincial field days in 2023, after two years of cancellations.

Hugh Stringleman

NEWS

Field days

ORTHLAND Field Days is off and running again for a second year after two cancellations because of covid and a dampner in 2023 that cut exhibitor and visitor numbers.

Event organiser Luciana Schwarz said the committee of volunteers who run the event is expecting more than 20,000 visitors this year over the three days, compared with 17,000 last March when bad weather stopped many travelling to the north. More than 300 exhibitors have registered this year, more than before 2020, and some have begun

FLAT OUT: Lawn mower racing is a drawcard at the Northland Field Days. A ride on the truck and trailer will be by gold coin donation and the money will go to the Northland Rescue Helicopter. A sunflower field will provide a great sight from the picnic tables scattered around and from 1pm on Saturday people can buy a sunflower for a gold coin donation. Demonstration diggers will also be on site for adults and children, and a water park containing giant bowls in which people can ride and

rotate and not get wet. The usual events such as tractor pulling, competition fencing, lawn mower racing and sheep dog trialling are featured on the programme. The Northland Field Days mission is “to become the leading regional ﬁeld days in New Zealand and to host a world class agricultural event each year”. The motto is to remain “The Friendly Field Days”.

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FEDERATED 18 Feds

FARMERS Vol 2 No 6, February 19, 2024

fedfarm.org.nz

‘Toxic’ behaviour from Fish & Game

ravel build-up in Southland rivers is a disaster waiting to happen and Fish & Game need to stop blocking consent to extract before it’s too late, Federated Farmers Southland says. Provincial president Chris Dillon says gravel washed down from the mountains and out of the banks is building up in river channels and corners, increasing the risk of flooding events as time goes on. “In that massive flooding event of 2020, the Mataura River flooded on 150mm of rain. “Last September, it flooded nearly as badly but with only 75mm of rain, and it’s all down to the rivers being clogged. “We urgently need the regional council to extract or move gravel in parts of all catchments in Southland, but Fish & Game are continuing to oppose resource consent without even being able to offer a logical explanation.” Dillon likens the situation to what has happened with Waituna Lagoon, on the southern coast of Southland. The lagoon needed to be opened up under emergency powers earlier this month to help prevent what Environment Southland called ‘imminent, severe ecological harm’ from an algal bloom. The Lake Waituna Control Association had applied for resource consent so the lagoon could be opened to the ocean periodically. “But come hell or high water, Fish & Game would not stop roadblocking that consent, which meant the

lagoon’s condition deteriorated and the toxic algal bloom levels got so high that even the ducks wouldn’t land on it,” Dillon says. “For Fish & Game to let that lagoon get into such a terrible state is a disgrace. Their toxic behaviour down here is leading to toxic waterways. “And here we go again with the gravel deposits – Fish & Game are putting up the same roadblocks.” Dillon fears nothing will happen with the gravel deposits until the region is faced with an emergency, as happened with Waituna Lagoon.

Do we have to wait until the next flood when one of the towns gets severely damaged before emergency powers are used to do something about the gravel? Chris Dillon Federated Farmers Southland “Do we have to wait until the next flood when one of the towns gets severely damaged before emergency powers are used to do something about the gravel? Why can’t we get a bit of logic and common sense going and just clear it now?” Environment Southland’s catchment division has applied for a global consent to extract gravel and, if granted, it would cover multiple locations but would not permit farmers to remove gravel themselves. Southland Fish & Game

manager Zane Moss has been quoted as saying the group, as an affected party, hasn’t signed off on the consent because it wants the regional council to “take a more holistic approach to river management”. Speaking to Stuff in March last year, Moss said Fish & Game would rather see gravel extraction approached on a case-by-case basis rather than globally. Farmers are frustrated at how long it’s taking the regional council to get moving, Dillon says. “The global consent would allow Environment Southland to deal with gravel on a case-by-case basis, but without the unnecessary downtime, cost and beaucaracy involved with getting consent for each location. “They keep telling us they’re working on ‘a strategic gravel management policy’ that’s supported by all stakeholders, and that they need more data on what’s happening in the rivers, but it could be months before we see consent granted. “Fish & Game need to get out of the way and the council need to get cracking before the next flood comes along.” Dillon says Federated Farmers Southland want to have a constructive relationship with Fish & Game. “We really want to work with these guys. Although we won’t always see eye to eye on everything, that doesn’t mean we can’t have a decent relationship and get things done. “But when they say ‘no’ to

BUILD UP: Federated Farmers Southland president Chris Dillon says gravel washed from the mountains is building up in river channels and corners. absolutely everything, usually without a clear reason, how are we supposed to take them seriously or value their work? “It’s time for Fish & Game down here to pull their heads in. If they’re not going to be part of the solution, get out of the way.” Dillon says, ultimately, if Fish & Game’s behaviour doesn’t change, it may force a law change so that communities can safely protect

themselves from floods without the hassle of dealing with toxic NGOs. Federated Farmers Southland have been engaging with politicians on this issue, he says. “It was great to see the National/ NZ First Coalition Agreement commit to cut red tape and regulatory blocks on irrigation, water storage, managed aquifer recharge and flood protection schemes. Hopefully, there’s more to come.”

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Federated Farmers

fedfarm.org.nz – February 19, 2024

Northland farm sales ‘detrimental’

llowing an overseasowned company to convert more than 1800 hectares of Northland farmland into forestry will cause long-term damage to the local economy, Federated Farmers provincial president Colin Hannah says. The Overseas Investment Office (OIO) in November granted Kauri Forestry LP, which is 93% Swissowned and 7% German-owned, consent to purchase six Northland beef farms for a combined $25.8 million. All within an hour’s drive of Whangarei, the six properties amount to just over 1800 hectares. Most of the land will be planted in predominantly pine, with a rotation time of 25-30 years. Hannah says he and other farming leaders in Northland are fed up with seeing productive farmland sold into forestry. “I don’t have a beef at all with the people who are selling the land, because that is absolutely their right, but I think long-term the planting of productive pasture in pines is going to be very detrimental to the people of Northland. “None of the profit earned by an overseas-owned forestry company will ever be spent in New Zealand, let alone Northland. It’s going to disappear offshore altogether, so it’s not doing the community any good.” Hannah says converting farmland into forestry removes jobs, and therefore money, from the local economy. “That land will contribute more as a beef farm than it will as forestry. “The trees will be planted and then, every six years or so, you’ll need people in there again for maintenance work, but that’s about it. Usually, the people they’ll use for the planting and maintenance aren’t even from the local community anyway. “Even if they do employ local people, those jobs don’t go on for long. People employed on farms will

BEEF: Colin Hannah is not happy with the Overseas Investment Office’s decision to allow an overseas company to purchase six Northland beef farms.

None of the profit earned by an overseas-owned forestry company will ever be spent in New Zealand, let alone Northland. Colin Hannah Federated Farmers provincial president earn far more than they ever will in forestry.” Farm-forestry conversion also has major societal impacts, Hannah says. “The social cost is huge. You’ve got people employed on farms and service industries who lose their jobs, and then what do they do? “The whole fabric of those communities starts to unravel, unemployment increases, and other

issues start to emerge like mental health challenges, crime and social deprivation.” Another big concern, Hannah says, is that as soon as forestry companies purchase land, they get it revalued at much less than what they paid for it. “They paid around $25 million but I’ll bet the new valuation, based on it now being forestry land, will be only about half of that amount. They’ll then pay rates on that lower value, and the differential has to be picked up by the community. That’s what these forestry companies do. “That’s a loophole they can use, and the councils allow it. We’re trying to get that loophole closed because, if they pay $25 million, that’s what they should be paying rates on.” The other big risk is that in another decade or two, China, our biggest timber market, won’t want any of our

product anyway, Hannah says. “They’re planting so much of their own forestry that they’re becoming self-sufficient, so where are our logs going to go then? “There may not even be a future market for that wood, so we need to be seriously thinking about whether we should be allowing so much productive and valuable farmland to be sold into trees.” If the trees don’t end up being harvested, that creates a liability for the province, Hannah says. “Because if you plant Radiata in the wrong place and then you can’t harvest it, it’ll fall over and then who’s going to clean up the fire risk?” Hannah is reluctant to tell the Government what to do, but says it seems clearly illogical to sell off our land if it doesn’t benefit New Zealand.

“We really need to take a close look at what the Overseas Investment Office is doing. “I see that Kauri Forestry LP is allowed to buy up to 6000ha in up to 20 transactions without any more approval, but what are these overseas companies bringing to New Zealand other than a one-off cash payment? “Northland’s economy is struggling enough as it is, so is the Overseas Investment Office even taking that into consideration when it makes these decisions? I doubt it.” Hannah says he’s hoping the new Government, which includes former Federated Farmers Northland vice president turned National MP for Northland Grant McCallum, will make it easier to farm, which in turn might stem the flow of farmland being sold into trees.

National Open Farm Day Sunday 10 March, 2024 Reconnecting Kiwis with our land, food and farmers. One open day at a time. Host an open farm day

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February 19, 2024 – fedfarm.org.nz

Federated Farmers

Four farmer MPs deliver maiden Four gumboot-wearing farmers, all with close links to Federated Farmers, have now delivered their maiden speeches in Parliament. These speeches are intended to canvas where politicians have come from and what they hope to achieve during their time in Parliament. Two clear themes rang true across all four speeches: a deep and authentic connection to farming and rural communities, and a determination to release the handbrake of impractical regulation that’s been holding our productive sector back.

Farmer ‘mindset shift’ deserves credit

ew Zealand’s farmers aren’t resistant to change, and those who slam them on their environmental credentials need a dose of reality, Andrew Hoggard told fellow MPs. The former Federated Farmers president, now minister, said a lot of that debate seems to be stuck in the 1990s. “I have constantly heard over the years that we have to change our farming systems. “Newsflash: the difference between my first year of farming and today is like night and day. Farmers are not afraid or reluctant to change;

we are constantly looking for better ways to do things. “Some things work, some don’t; we adopt, we adapt, and it’s incremental. Like all good things, they take time.” The farmer ‘mindset shift’ has been huge. Catchment groups are mushrooming everywhere. Dairy farmers talk with pride about how much of their waterways they’ve fenced, he said. Hoggard recalled speaking on a farming panel at the World Dairy Summit in Rotterdam. All the other farmers spoke about what they intended to do. No doubt to grumpy looks from EU representatives, “I was able to get up and speak about what we had done - all without subsidies”.

The biggest risk to further progress is ignoring this change. If the feeling among farmers becomes, ‘Why do I bother to do all this, because there is nothing I am doing that is being recognised?’, they may lose hope and stop doing it. Hoggard acknowledged two greatgreat-great-grandfathers who were MPs, and his parents who farmed when interest rates were 20%, but still found time to serve on school boards and community groups. He also acknowledged his wife Audra and two daughters who enabled him to get off-farm and serve on sector groups – including dealing with a 1am raid by the herd into the maize silage crop on the morning of his maiden speech. “My time in Feds has also prepared me for this role, from gaining knowledge around a myriad of issues to trying to find compromise amongst that broad church that is the Federated Farmers National Council, to the most difficult challenge of all: presenting at a select committee and trying to understand what the hell the question they just asked me actually meant in English!” Good luck to anyone trying to drown him out in debate in the House. “Just remember I am used to shouting instructions to people two paddocks away without a microphone.”

Farming has been given a raw deal by decision-makers

MOVED ON: Act MP Andrew Hoggard says farmers are not resistant to change and a lot of that debate is stuck in the 1990s.

iles Anderson said he was drawn into politics “mainly because I feel farming has been given a raw deal by decision-makers who,

INVESTMENT: National MP Miles Anderson says one of his priorities is to reduce red tape and encourage investment in water storage. for the most part, don’t understand the first thing about the rural sector”. The newly minted National MP for Waitaki brings plenty of life and business experience to the House. He grew up on the family farm his great-grandfather settled as one of 11 children – “only one channel, and black and white, I suppose” – and his parents fostered a work ethic and resilience in all of them. As a school leaver, and through the Rogernomics era, Anderson worked in the commercial affairs division of the Justice Department, dealing with the regulatory functions of company law and bankruptcies. After gaining a degree in

agriculture, he worked in a livestock pregnancy-scanning business in the pioneering days of that technology. In 2004, he and his wife Kim took over the family farm, and after 21 seasons and scanning 4.5 million sheep, “it was time to hang up the tools”. Then began a long association with Federated Farmers, which culminated in him becoming national chair of the Meat & Wool Industry Group. Farming sentiment is the worst he’s ever seen, he said. “Farmers are leaving the industry due to unworkable regulations. These are costing enormous amounts of money, eroding

Federated Farmers

speeches property rights, and are ridiculously time-consuming. “It is the family farms that have been affected the most – generally a husband-and-wife team who work long hours for not a lot because they love the land.” To see farmers unfairly targeted by decision-makers and NGOs, and suffer vitriol from people who read unbalanced media, is disgraceful, he said. One of his priorities is to reduce red tape and encourage investment in water storage, believing that for Waitaki and other electorates, water will power growth and provide opportunities for future generations. “It is somewhat unsettling to note that the last major project of national significance – and not one that benefitted commuters in either Wellington or Auckland – was the Clyde Dam. “The dam was completed 30

years ago and, since then, we have collectively hidden behind a curtain of regulation when opportunity has knocked at our door. “We have gone from a nation that undertook projects like the Waitaki hydro scheme to a nation that kowtows to activist pressure groups and gives up,” he said.

Provincial NZ deserves to be heard

rovincial New Zealand needs to be listened to and trusted, National’s new MP for Wairarapa, Mike Butterick, said in his maiden speech. “What bought me, a sheep and beef farmer from the hills of the Wairarapa, to politics and to this House? “It was a deep despair at the direction we were heading in as a country, and the need for our provincial communities to be heard.

“You’re either at the table or you’re on it, and it’s never much fun being part of the menu.” More people need to understand that, despite all the rhetoric, rural people are environmentalists, Butterick said. “Why don’t we talk about the 25,000 kilometres of waterways fenced off, over 36,000 culverts or bridges over waterway crossings by the dairy industry alone? “Or the hundreds of thousands of dollars spent on effluent systems per family farm, the country’s 5000th QEII covenant that was registered in the Wairarapa in 2022, the community catchment groups, the millions of trees planted, the 2.8 million hectares of woody vegetation that’s already on our farmland?” Those who live in a rural community have likely spent more on the environment than those who criticise them: “Those who flush the dunny without a thought about where it goes, in their plastic clothes, standing on their plastic carpet, that ignore their own impacts on the environment, and would rather point the finger.” Primary producers may not always get it right, “but we are certainly trying,” Butterick said. “Passion is what motivates the rural sector to do what they do, and it’s the avalanche of previous rushed legislation that’s eroding away the passion. “That’s not a great outcome.”

As farmers, all we ask for is a clear direction of travel

W CHALLENGES: Primary producers may not always get it right, ‘but we are certainly trying’, says National MP Mike Butterick.

QUICK, AFFORDABLE, PRACTICAL.

fedfarm.org.nz – February 19, 2024

atching his father work tirelessly for 13 years as Kaipara electorate chair for Lockwood Smith, and then for John Banks in the Whangarei seat, instilled in Grant McCallum respect for democracy and the political process. “I salute all the volunteers who, like dad, work hard for the causes they believe in,” he said in his maiden speech. McCallum’s own experiences in politics include time as a member of the Young Nats, environmental

POTENTIAL: National’s Grant McCallum sees untapped potential in Northland that can be realised if there is investment in water storage and better roading infrastructure. debates as a Bluegreen – “a forum where all sides of the political and environmental spectrum can meet” – and a stint with Northland Federated Farmers. During the 2017 election, farmers became the punching bags of the campaign, he said. “We were threatened with a water tax, blamed for all the water-quality issues in New Zealand, and were continuously used as a pincushion by the left.” McCallum organised a protest in Morrinsville with the help of Lloyd Downing, “who did a great job of fronting it”. The stress and worry flowing through the rural community at that time reminded him of the mid 1980s, when Rogernomics was in full swing, the sharemarket was booming, “and agriculture was being called a sunset industry”. These experiences taught him that while change is inevitable, “it’s the job of leaders to take people with them during periods of change and to help cushion the effects on society”.

Another lesson is the need to reach cross-parliamentary consensus on long-term issues like water quality. “As farmers, all we ask for is a clear direction of travel that is achievable while maintaining a profitable business. “Having the pendulum swing wildly every time there is a change of Government is not good for anyone, and it is certainly not good for the environment.” In his electorate of Northland, he sees incredible untapped potential that can be realised if there is investment in water storage and better roading infrastructure. “It’s time all members of this House release the handbrake on Northland’s prosperity and back the four-lane highway. “It is a vital part of lifting families out of poverty, by enabling businesses to invest, creating jobs and opportunities across a range of sectors. “Northland will not prosper by increasing the size of the welfare cheque.”

Onli ne train ing ava ilabl e 24/ 7!

Low cost, practical skills training for dairy farm workers. www.agricademy.co.nz

22 Real Estate

Otorohanga 117 Mangamahoe Road, 333 Kawhia Road, 132 Ouruwhero Road, 5 and 6 Redland Road The liquidation of an incomplete milk processing project presents a unique opportunity for an astute buyer to capitalise on the substantial investment already made in acquiring the land, resource consents, and all IP necessary to develop and operate a dairy factory. The land assets comprise of several properties located on the periphery of Otorohanga township, including the proposed processing plant site of 17.8ha bounding the Waipa River, a 142ha dairy farm and a 155ha finishing farm (totalling 297ha approx.) and a 1.8ha vacant lifestyle lot with expansive rural views and significant ground take water consents. The farms are operated subject to long term market rate leases. Parties are encouraged to assess all options to utilise the existing consents and investment opportunities. Offers invited for the entire portfolio, or alternatively as separate land holdings.

bayleys.co.nz/1696961

316 ha Tender Closing 2pm, Mon 11 Mar 2024 Bayleys House, 30 Gaunt Street, Auckland View by appointment Dave Peacocke 027 473 2382 dave.peacocke@bayleys.co.nz Duncan Ross 021 663 567 duncan.ross@bayleys.co.nz SUCCESS REALTY LIMITED, BAYLEYS, LICENSED UNDER THE REA ACT 2008 BAYLEYS REAL ESTATE LTD, AUCKLAND CENTRAL, LICENSED UNDER THE REA ACT 2008

Central Hawke's Bay 1137 & 861 Wimbledon Road

Motuweka

705.77 ha

An exciting opportunity to purchase both Motuweka; 480.5135ha and or The Fingerpost block 225.7134ha, Subject to Survey, which are linked by a fenced laneway or by the Wimbledon Road. Motuweka is situated 17km to the Porangahau Beach Resort and Country Club and 54km to Waipukurau. The property offers areas of flat to predominantly easy rolling hill contour and has a current stock policy with a Romney ewe flock with replacements and an Angus cow herd. A well-appointed extensively renovated Homestead with sleep-out, four stand woolshed, cattle and sheep yards along with auxiliary shedding feature at Motuweka, and haybarn and sheep yards at The Fingerpost. Motuweka has been faithfully farmed and calls for early inspection.

Tender (unless sold prior) Closing 12pm, Wed 13 Mar 2024 26 Takapau Road, Waipukurau View by appointment Andy Hunter 027 449 5827 andy.hunter@bayleys.co.nz

bayleys.co.nz/2870995

bayleys.co.nz

EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Real Estate

FARMERS WEEKLY – farmersweekly.co.nz/realestate – February 19, 2024

AUCTION

OPEN DAY

Morrinsville Dairy

Open Day:

Thurs, 22 February 11.00am � 1.00pm

A good, consistent�performing dairy unit, well located in the Motumaoho district, 5 kms from Morrinsville, is now available after some years of family ownership.

• 184B Kuranui Road, R D 2, Morrinsville • 123.84 hectares – 1 title • contour varies from flats to easy rolling with some areas of steeper sidlings • variable soil types include a mix of silt loam & clay loam • v.g. farm layout, well subdivided and raced, with the dairy shed in a central location • water supply is based on a deepwell bore, alkathene pipelines & strategically located manacon tanks; additional secondary bore at dairy shed

• effluent disposal system includes drop�tested ponds, travelling irrigator & canon • 290 cows calved, 280 cows currently being milked; 3 year average 101,075 kgs milksolids • 36 bail rotary dairy shed; auto cup removers; in�shed feed system • amenities include implement/calf shedding, airstrip with covered fertilizer shed & bin • comfortable 5 brm dwelling with garaging • great location, handy to town, with a good range of options for schooling

Ph Brian Peacocke 021 373 113

TradeMe search # R1427

PRL Enterprises Ltd t/a PRL Rural

021 373 113

Licensed REAA2008

MREINZ

Sale by Auction: Thurs, 14 March 2024 � 1.00pm

bjp@prl308.co.nz

Advertise here

FINAL NOTICE

$830

+ GST promotes your farm to every farmer in New Zealand

Mangaweka 131 Rangitane Road, Kawhatau Valley 'Rangitane' - large breeding unit Rangitane is a strong breeding property 25 kilometres from Mangaweka and State Highway 1, adjacent to the stunning Kawhatau River and Ruahine Ranges. The farm features approximately 28 hectares of flats at the front of the farm, a laneway plus well-maintained track network throughout the medium to steep hill country and a high standard of subdivision. The facilities include a low maintenance fourbedroom brick home with inbuilt double garage and a large implement shed with four loose boxes and wash down area. Add three other hay/implement sheds, an older four-stand wool-shed with large covered sheep yards, three sets of satellite sheep yards and a circular cattle yard with loading ramp.

bayleys.co.nz/2900656

569.1471 ha Deadline Sale (unless sold prior) 2pm, Thu 28 Mar 2024 View by appointment Pete Stratton 027 484 7078 peter.stratton@bayleys.co.nz BARTLEY REAL ESTATE LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Book now and your online listing is free. farmersweekly.co.nz/realestate

06 323 0760 | realestate@agrihq.co.nz

Pirongia 870 Mangati Road Auction

Scan for more

Finishing or dairy support 140 ha with 50% mowable, 20% in attractive bush, balance moderate to steeper. There is a modern, well sited, three bedroom, mono-pitch home with excellent views. Additional accommodation is available in the 'loft shed'. Excellent water from a ram. Tidy, clean pastures, reliable rainfall and excellent aesthetics. If being handy but very private is important then this property is a must view.

Auction 12.00pm, Wed 13th Mar, 2024, Haupatu Sports Club 211 Victoria Street, Cambridge View Tue 20 Feb 12.00 - 1.00pm Tue 27 Feb 12.00 - 1.00pm Web pb.co.nz/TWR173806

Close to all amenities with Pirongia Village a mere 16 km distance with its excellent Primary School and only another 33 km to Hamilton with its full range of services. Secondary schooling is available in Te Awamutu, 28 km distance from the farm. Buses pick up at the end of Mangati Road.

Ngongotaha Valley 53 Burnsdale Drive

Privacy, views, scale, native bush, convenient location, abundant shedding, executive style living? HERE IT IS! • Magnificent four bedroom, three bathroom residence featuring panoramic views. • Extensive range of garaging/workshop space • 25.11 ha (more or less) of flat to gently undulating land that is well fenced and watered • Extremely private and located in an established lifestyle area This is a magnificent property, located in an upmarket lifestyle location that ensures a high level of desirability and value retention. Property Brokers Ltd Licensed REAA 2008 | pb.co.nz

E john.sisley@pb.co.nz

David McGuire M 027 472 2572

E david.mcguire@pb.co.nz

Atarau 1276/1272 Atarau Road Auction

Sold the farm??? - 53 Burnsdale Drive Rotorua

John Sisley M 027 475 9808

Auction

Auction 11.00am, Thu 21st Mar, 2024, Papamoa Surf Club – 561 Papamoa Beach Road Papamoa View By appointment Web pb.co.nz/WTL176809

Phillip Berry M 027 478 8892 Phil Badger M 027 357 5704

Vendor requires action

Auction 1.00pm, Fri 15th Mar, 2024, The opportunity to secure this farm on favourable Vendor terms (unless sold prior), Paroa Hotel, 508 has never been better with the Vendor committed to moving on Main South Road, Greymouth 7805 this season. Located at Atarau in the favoured Grey Valley only 30 View By appointment minutes inland from Greymouth is this proven performer consisting Web pb.co.nz/GYR10526 of 216 ha of fertile river terraces, milking 480 cows producing 188,019kgMS 2022/23 season. Full range of tidy farm improvements including 38 ASHB shed with meal feeding and Protack drafting complemented by a modern effluent system with Gareth Cox large storage tank. Full range of calf and implement sheds plus an M 021 250 9714 underpass that provide ease of management. Complemented by Chris Murdoch two tidy homes. A 15 ha runoff located close within walking distance. M 027 434 2545

Proud to be here

Real Estate

25 FARMERS WEEKLY – farmersweekly.co.nz/realestate – February 19, 2024

RURAL | LIFESTYLE | RESIDENTIAL

OPEN DAY

KATIKATI Sharp Road, Bay of Plenty Allure of the Ocean - Five Options - 58ha Being sold as a combination of four waterfront lots each with Riparian rights (in five titles). 24ha approx of ideal low altitude early start hort development land. Balance is high fertility, drained, ideal hay/maize country or future eco enhancement. Exclusive access to a Council reserve, situated at the end of Sharp Road Peninsula in the Tauranga Harbour, along with a small enclave of amazing lifestyle blocks. Two solid farmhouses, one is three, the other five beds, two barns and an old cowshed. OPEN DAY: Meet at end of Sharp Rd, old cowshed, at 10.00am, tour departs 10.05am.

TENDER

Plus GST (if any) (Unless Sold Prior) Closes 3.00pm, Thursday 28 March

VIEW 10.00-11.00am

Thursday 22 & 29 Feb Tour departs at 10.05am

Andrew Fowler M 027 275 2244 E afowler@pggwrightson.co.nz

pggwre.co.nz/TAR39048 PGG Wrightson Real Estate Limited, licensed under REAA 2008

Helping grow the country

FARMERS WEEKLY – farmersweekly.co.nz/realestate – February 19, 2024

463 Waihi Valley Rd, DANNEVIRKE

DANNEVIRKE

Seeing is believing with this premium house and land package located just over 10km from Dannevirke.

Waimiro is a well-presented 214 hectare (528 acre) sheep and beef farm located 45kms southeast of Dannevirke in the reliable farming region of Tararua. • Stable and free-draining country;

• • •

• • • •

Excellent water; 3-stand woolshed and 3-bay implement shed;

Predominantly flat land Excellent drainage & strong soil types Outstanding 4-bedroom, 2-storey home with extensive renovations

Fixtures and fittings that are second to none Viewing is by appointment only, so don’t miss your opportunity - call me today.

•

$2,100,000 + GST

44.18 hectares/109 acres

•

Cattle yards and a great network of tracks;

Well presented 3-bedroom, 2012-built home with double glazing. Don’t miss your opportunity to own this high performing first farm!

Jerome Pitt

Rural & Lifestyle Specialist 027 242 2199 jeromep@forfarms.co.nz Licensed under the REA 2008 www.forfarms.co.nz

FOR SALE BY TENDER on 21st March 2024, 1pm

Waipunga Station, DANNEVIRKE

Fantastic breeding or finishing opportunity in Weber, in the heart of Tararua and 37km from Dannevirke, Waipunga Station offers:

• 463 hectares (subject to survey); • 40 ha flats with a good balance of contour & soil types;

Advertise with us

• Great access & tracking; • 4-stand shearing shed;

• Low maintenance 4-bedroom Lockwood

Reach hundreds and thousands of rural New Zealanders every week

• Pockets of native bush, great hunting & a

Call 0800 85 25 80 realestate@agrihq.co.nz

home with renovated kitchen;

private swimming hole to add to the appeal!

It’s time for you to begin to consider your options. Call me for more information.

$4,950,000 + GST

Real Estate

Jerome Pitt

Rural & Lifestyle Specialist 027 242 2199 jeromep@forfarms.co.nz Licensed under the REA 2008 www.forfarms.co.nz

Jerome Pitt

Rural & Lifestyle Specialist 027 242 2199 jeromep@forfarms.co.nz Licensed under the REA 2008 www.forfarms.co.nz

27 MPLace

Marketplace

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

MOWER MASTER TOWABLE MOWERS Towable Flail Mower

14.5HP. Vanguard Briggs & Stratton Motor. Electric start. 1.2m cut 3 year Briggs and Stratton Commercial Warranty. 2 year Mower Master Warranty Assembled by Kiwis for Kiwi conditions – built to last.

Supplying quality new seasons: • Meadow Hay • Barley & Wheat Straw • Rye Grass Straw • Meadow & Lucerne Balage

QUALITY Feeds You Can TRUST

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To find out more visit

www.mowermaster.co

Phone 0800 422277 or 028 461 5112 Email: mowermasterltd@gmail.com

Heavy duty, long lasting incinerators

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Three sizes available

Call Julie 027 705 7181

Phone 021 047 9299 irontreeproducts.co.nz

SCOTTY’S CONTRACTORS

HEAD OF FARMING AND FORESTRY

Digging out and remetalling cattle yards and calf sheds. Also specialising in flood damage and silt removal.

✁

Under Woolshed/Covered Yards Cleaning Specialists www.underthewoolshed.kiwi

NOW BACK AT WORK IN THE TAIHAPE/TAUMARUNUI AREA

Whakatupu rawa, whakatupu tangata Grow the assets to grow the people At Tainui Group Holdings (TGH), kaitiaki of Waikato-Tainui commercial interests, we focus on growing puutea, tuuranga mahi and whenua (profit, jobs and land) for the people of Waikato-Tainui and our region for generations to come. Our values are at the forefront with mahitahi (working together to deliver great outcomes), kaitiakitanga (guardianship to grow, prosper and sustain), manaakitanga (care in our work and for each other) and pono me te tika (act with integrity by being honest and trustworthy) underpinning our operations across the board.

If this is starting to sound interesting, then you need to take a much closer look at this role.

New Zealand’s Number 1 service provider since 2004

As you’d expect at this level of appointment, there are a diverse range of responsibilities that include leading operational and commercial excellence within the land holding portfolio and driving growth initiatives including acquisition, land use and development strategies. Making strong commercial decisions will be the hallmark of our successful applicant, and alongside this they will have the planning skills and mana to influence throughout the business.

4X4 TAGALONG TOURS Bring your own 4X4 on a guided tour to discover more of the South Island.

With your direct reporting line being the GM Property, there’s no need to read between the lines to understand the focus and importance of this important leadership role for the business.

Tour 1: Molesworth Station, St James,

The kind of person who will do this role well will have • an engaging personality with advanced interpersonal skills • a combination of commercial and financial skills • a deep understanding of the farming sector, ideally including 10+ years’ recent practical farm experience to a senior management or self-employed level • knowledge of forestry systems and an understanding of the NZ emissions trading scheme

Mailings Pass & Rainbow Stations Dates: March 11-14, March 25-28, April 8-11, April 22-25, limited places available on these dates.

Tour: 2 D’Urville Island and

It goes without saying that attention to people, their development and welfare underpin all TGH leadership roles along with living the values of iwi in a commercially viable business.

Marlborough Farms Tour Dates: April 24-28

Dates: March 19-23

Ph: 0274 351 955 E: info@southislandtoursnz.com • www.southislandtoursnz.com

He rite ki a koe? (sound like you?) LK0117917©

Tour 3: North Otago Tag-along Tour

Is this the role for you? We think this role will interest you if: • these values are also part of your fabric • you’re a proven leader and a strategic operator who isn’t afraid to get out on the farm • your next career move requirements include challenge, and the opportunity to enhance, expand and develop land assets to add value to the balance sheet

For more information about the Tainui Group Holdings go to https://www.tgh.co.nz For more information (including a comprehensive job description) and to apply go to our Talent Acquisition Partner website for this role at https://www.no8hr.co.nz (Ref#8HR32239).

www.no8hr.co.nz | ph: 07-870-4901

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✁ Contact Scotty to discuss all that needs to be done Ph 0800 27 26 88 • Mobile 027 26 26 27 2 • scottnewman101@gmail.com

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Our Head of Farming and Forestry oversees a significant proportion of TGH assets, leading financial and operational excellence for these significant business assets and delivering outcomes in line with our values.

28 MPlace-LStock

Marketplace

75TH JUBILEE 1949-2024 Easter Weekend 29-30 March 2024 Countdown is on: Register now Go to Facebook: Utiku Old Boys RFC 75th Jubilee

HORTICULTURE

SALE TALK

FLY OR LICE problem? Electrodip – the magic eye sheepjetter since 1989 with unique self adjusting sides. Incredible chemical and time savings with proven effectiveness. Phone 07 573 8512 w w w. e l e c t ro d i p. c o m

NZ KELP. FRESH, wild ocean harvested giant kelp. The world’s richest source of natural iodine. Dried and milled for use in agriculture and horticulture. Growth promotant / stock health food. As seen on Country Calendar. Orders to: 03 322 6115 or info@nzkelp.co.nz

A woman that was expecting twins starts going into labor a month early

DOLOMITE NZ’s finest BioGro certified Mg fertiliser LK0117210©

Registration Fee $100.00/person — includes a registration pack and dinner on Saturday night. Cut off for registration is Friday, 8th March 2024

ANIMAL HANDLING

ATTENTION FARMERS

Or email: utikurugby@gmail.com

For all enquiries contact: Jo Kelly 027 528 1937

For a delivered price call ....

0800 436 566 DOGS FOR SALE 30 DOGS UNDER $995. Deliver NZ Wide. https:// w w w.youtube.com/@ mikehugheswork ingdog. Phone 07 315 5553. YOUNG HUNTAWAY FOR sale. Big potential, good bark. Phone 027 243 8541

HIGH COUNTRY JOURNEYS

ELECTRO-TEK ENGINEERING

LIVESTOCK FOR SALE THE GULLIES Wiltshire & Low Input Rams. SIL; FE and worm tolerance. Lower your shearing costs. Look after your bottom line. Richard Morrison, 021 626 513, richard@thegullies.nz WILTSHIRE RAM LAMBS for sale. Full shedding. Phone 027 243 8541. WILTSHIRE EWES. 4t 230x, Capital stock, Benneydale Wiltshires. King Country. 13yrs established. Clean shedding. $250+gst Ph Joe Hodge 027 2806 747. BOOK AN AD. For only $3.30 + gst per word you can book a word only ad in Farmers Weekly Classifieds section. Phone 0800 85 25 80 to book in or email wordads@agrihq. co.nz

LOOKING FOR DUCKPOND

Drive from station to station and experience the majestic South Island High Country

NOW TAKING BOOKINGS FOR 2025

Limited spaces available for 2024 • South Island High Country Grand Slam Self drive your own 4WD from Blenheim to Cardrona in Central Otago through a network of high country tracks including Molesworth on this 7 day 8 night tour. • The Great Explorer Self drive from Lake Ohau to Cardrona through the majestic high country of the Mackenzie Basin, Central Otago and Northern Southland with this 5 day 6 night tour.

ZON BIRDSCARER electro-tek@xtra.co.nz Phone: 06 357 2454

FARM FOR LEASE

These Tours are; Fully guided with radio contact; Fully catered and stay in very comfortable lodge and farmstays; Made up of smaller tour groups (6-9 vehicles) and travel at a quieter pace.

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For further information contact: John Mulholland RD1, RANFURLY Phone 03 444 9703 • Mobile 027 228 8152 lnfo@highcountryjourneys.co.nz www.highcountryjourneys.co.nz

GARSTON, SOUTHLAND. 275ha with 130ha ploughable. Of that, 100ha suitable for grain. Historical dairy winter grazing. Phone 027 411 5799 for further details.

FORESTRY WANTED

NATIVE FOREST FOR MILLING also Macrocarpa and Red Gum, New Zealand wide. We can arrange permits and plans. Also after milled timber to purchase. NEW ZEALAND NATIVE TIMBER SUPPLIERS (WGTN) LIMITED 027 688 2954 Richard.

GOATS WANTED GOATS WANTED. All weights. All breeds. Prompt service. Payment on pick up. My on farm prices will not be beaten. Phone David Hutchings 07 895 8845 or 0274 519 249. Feral goats mustered on a 50/50 share basis.

It grows under them.

CORK OAK TRUFFLE TREES Trees produce truffles at around year 7, producing up to 1kg a year by year 15. Currently black truffles are selling at $2,500$3,000 per kg, with high demand.

DUCK HUNTERS LOOKING for a pond to shoot on in the Foxton-Levin area due to farms changing hands. Phone 027 442 9179.

MAINTENANCE WOOLSHEDS/YARDS TIME TO SCHEDULE. With over 20 years experience servicing farmers across the North Island, Scotty’s Contractors are specialists in Under Woolshed manure extraction, repairs, repiling, drainage and remetalling all types of yards. Let us know your needs so we can factor you into our schedule this year. Phone Scotty on 027 262 6272, 0800 272 688 scottnewman101@gmail. com

Fantastic stock feed which is low tannin and high in carbohydrates. Produces up to 1 ton of acorns per tree each year. Extremely resilient. Fire resistant, stabilises erosion, frost & snow resistant to -9 degrees. Drought & heat tolerant over 40 degrees.

She calls her husband, who is out of town on a work trip, to tell him that the babies are coming early. “Honey, everything is going to be okay. I’ll call my brother, Bubba. He can take you to the hospital and stay with you until I get there. I’m headed back now.”

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The husband calls Bubba. “Shore thing, I can take ‘er,” says Bubba. After frantically changing his flight, checking out of his hotel, and making apologies to everyone whose meeting he has to cancel, the husband is on a flight home within a few hours. While in the air, he is unable to receive any updates, so he immediately calls when he lands. “She’s doin’ great, but I reckon the kids will be out before you get here. I can’t believe I’m gonna be an uncle!”, says Bubba. The husband makes a mad dash out of the airport, abandoning his luggage, and grabs a taxi to the hospital. He runs into the hospital, finds his wife’s room, and goes in to find Bubba smiling and his wife fast asleep. “How did she do? What’s going on? Where are my kids?” “Aww, well she’s plum tuckered out after pushin’ them wee babes out. The nurses took the babes… a boy and a girl!… to the Dok-tor to check ‘em out. They needed names for ‘em, though, so I had to name ‘em before they took ‘em back!” After a few moments of being dumbstruck, the husband finally asked, “Well, what did you name them?” “Well, I named the girl Denise.” (Well, that’s not so bad, the husband thought). “Oh, okay, nice. What about the boy?” “Denephew.” Here at Farmers Weekly we get some pretty funny contributions to our Sale Talk joke from you avid readers, and we’re keen to hear more! If you’ve got a joke you want to share with the farming community (it must be something you’d share with your grandmother...) then email us at: saletalk@agrihq.co.nz with Sale Talk in the subject line and we’ll print it and credit it to you. Conditions apply

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29 Livestock

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FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

30 Markets

Markets

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Venison returns buck up deer outlook The deer sector is still somewhat subdued, but for those that have stuck it out, venison emerged from the pandemic in better shape than other red meats. Sara Hilhorst

MARKETS

Deer

HE venison market rounded out 2023 in a rather subdued fashion, but still majorly improved on previous years. Despite this, deer numbers are forecast to drop. Logistic issues through the pandemic limited supply available to global markets, and a change of consumer tastes to more accessible proteins dropped demand and hurt pricing. Venison farmers reconsidered their farming practices and some shied away from deer. Farm sales to forestry and rules and regulations also contributed. Last year, there were at least 20,000 fewer breeding hinds on farms, coming after a similar drop in supply the year prior. But, for those that have stuck it out, venison has shown resilience and has emerged from the pandemic in better shape than alternative red meats. Relative to lamb, slaughter pricing is almost $3/kg better. Most processors are paying around $8.70/kgCW, excluding premiums. Prices are currently stable and, all things being equal, the expectation is that 2024’s pricing will track similarly to last year’s. However, it is a bit too early to say with confidence. The five-year average shows that schedules traditionally drop

60c/kg from the beginning of the season, but this season they have eased only 5-15c/kg. This is partly due to the decreased deer numbers, but a focus on market diversification has also meant that New Zealand isn’t as dependent on seasonal European demand. While a drop in supply usually puts upward pressure on pricing, reduced numbers can reduce processing capacity while fixed overheads remain the same. This means that a larger portion of the costs are dispersed over the small numbers and puts a cap on what schedules can offer. As the main part of the European chilled season has ended, buyers look to invest in next season’s stock. New season contracts will be released in the latter part of summer, but early on-farm deer sales suggest there is some confidence and positivity. Strong demand for venison from North America has counteracted European markets that were perhaps not as strong as they usually would be – in particular, North America’s demand for larger cuts of venison. Last year, there was no game season in North America and meat companies paid a premium for elk meat. This has supported high prices for elk and wapiti at recent South Island sales, and Tikana Wapiti Stud averaged $10,700 for its wapiti bulls, the highest on their records. While China is still a fairly

COMPARISON: Slaughter pricing for venison is almost $3/kg better than it is for lamb.

A focus on market diversification has also meant that New Zealand isn’t as dependent on seasonal European demand. new market for NZ venison, this market has had strong growth in the last two to three years. Volumes into the market have stabilised, with China importing similar volumes to the United States. It is worth noting that although the venison market has made a

good recovery from the pandemic, it is not all smooth sailing. As with all exports, the supply chain may come under further pressure from shipping restrictions through the Panama Canal, which continues to suffer from its lowest water level ever. The export of deer velvet into China continues to be a work in progress. Late last year, China announced it would no longer accept frozen velvet for use in traditional Chinese medicine from next season. As of May 1, all countries exporting velvet will need to send it to China in a dried state, rather than frozen. Deer Industry New Zealand

is introducing changes to accommodate the regulations but the pathway into China is now quite complex. By value, China is our largest buyer of velvet and related products with a market share ranging between 60% and 80% since the start of 2017, according to StatsNZ. The NZ and Chinese governments are liaising to try to restore access of frozen velvet into China. While the short-term future is uncertain, the long-term goal is that access into China will be clearer and more secure and will add value to the already highquality product.

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Markets

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Weekly saleyards A sombre mood started the Stortford Lodge store sale last Wednesday as attendees remembered and reflected on the devastation of Cyclone Gabrielle, a year to the day since the event. At the other end of the island, the Temuka store lamb sale turned a corner as low supply, improved quality and good demand pushed prices to levels achieved this time last year. This was a first for the season, and store lambs averaged just under $89 compared to $88 for the same sale in 2023. Wellsford | February 12 | 691 cattle

$/kg or $/hd

Rangiuru | February 13 | 489 cattle, 279 sheep

$/kg or $/hd

R3 Angus steers, 354-436kg

3.23-3.26

R2 Hereford-Friesian steers, 338-363kg

3.50-3.55

R3 Angus-Friesian steers, 480-550kg

2.96-3.03

R2 dairy-beef bulls, 288-338kg

3.27-3.43

R3 Hereford-Friesian steers, 451-506kg

3.00-3.05

Aut-born weaner Hereford heifers, 196-241kg

650-780

R3 Angus-Friesian heifers, 402-406kg

2.96-3.01

Weaner Hereford-Friesian heifers, 130-198kg

500-590

R3 Hereford-Friesian heifers, 370-388kg

3.02-3.04

Prime Hereford-Friesian steers, 596-740kg

2.99-3.08

R2 Hereford-Friesian steers, 358-362kg

3.34-3.41

Prime Hereford bulls, 703-785kg

3.23-3.43

R2 Limousin-cross heifers, 343-352kg

2.95-3.00

Boner Friesian, Friesian-cross cows, 513-590kg

1.69-1.78

R2 Angus-Friesian heifers, 279-341kg

2.94-3.03

Mixed-age Perendale ewes, one line, capital stock

R2 Hereford-Friesian heifers, 371-388kg

2.96-3.00

Store lambs, all

30-71

Wellsford | February 14 | 1151 cattle

$/kg or $/hd

Prime lambs, all

95-110

Aut-born weaner dairy-beef steers, 234-237kg

890-900

Frankton | February 13 | 670 cattle

$/kg or $/hd

Aut-born weaner dairy-beef heifers, 205-218kg

665-700

R2 Hereford-Friesian steers, 478-495kg

3.05-3.08

Weaner Hereford-Friesian steers, 120-162kg

750-800

R2 Angus-cross bulls, 340-433kg

2.89-3.21

Weaner Angus-Friesian steers, 131-159kg

630-725

R2 Hereford-Friesian heifers, 324-439kg

2.80-3.06

Weaner Angus-Friesian heifers, 106-185kg

490-660

Aut-born yearling Hereford-dairy steers, 278-294kg

3.09-3.13

Weaner Hereford-Friesian heifers, 128-132kg

610-640

Weaner Friesian bulls, 126-150kg

590-660

Weaner Hereford-Friesian heifers, 97-156kg

490-575

Pukekohe | February 10

$/kg or $/hd

R3 steers

3.01-3.08

Prime beef bulls, 600-625kg

3.02-3.08

R3 heifers

2.90-2.94

Prime Hereford-Friesian heifers, 477-526kg

2.91-2.97

Weaner steers

880-965

Boner Friesian-cross cows, 465-470kg

1.74-1.77

Weaner heifers

590-700

Frankton | February 14 | 539 cattle

$/kg or $/hd

Store ewes, all

39-79

R2 dairy-beef steers, 415kg average

2.94

Store lambs, all

27-95

R2 Friesian heifers, 245-331kg

Prime lambs, all

100-120

R2 Hereford heifers, one line, 418kg

Tuakau | February 8 | 310 cattle

$/kg or $/hd

2.27-2.33 2.94

Aut-born yearling dairy-beef heifers, 239-532kg

3.06-3.14

R3 dairy-beef steers, 400-500kg

3.17-3.32

Weaner Hereford-dairy steers, 143-186kg

670-720

R3 dairy-beef heifers, 380-425kg

3.10-3.15

Weaner Friesian bulls, 133-175kg

570-745

R2 dairy-beef steers, 240-280kg

3.36-3.48

Weaner Hereford-Friesian heifers, 94-145kg

470-655

R2 dairy-beef heifers, 240-300kg

3.43-3.56

Prime Hereford-Friesian steers, 522-635kg

2.97-2.98

$/kg or $/hd

Prime Hereford heifers, 431-464kg

2.89-2.95

Store lambs, all

70-108

Boner Friesian-cross cows, 453-516kg

1.65-1.80

Prime ewes, all

50-75

Te Kuiti | February 9 | 268 cattle

Prime lambs, all

115-138

R3 Hereford-Friesian steers, 540-570kg

3.02-3.07

$/kg or $/hd

R3 dairy-beef heifers, 392-505kg

2.82-2.87

Prime steers, 550-740kg

2.95-3.12

R2 dairy-beef steers, 355-400kg

3.32-3.46

Prime heifers, 550-625kg

2.94-3.05

R2 Friesian steers, 377-399kg

3.16-3.18

Boner cows, 480-560kg

1.90-2.16

R2 Hereford-Friesian heifers, 353-442kg

2.75-2.94

Boner cows, 420-480kg

1.60-1.84

Matawhero | February 8 | 1386 sheep

$/kg or $/hd

Tuakau | February 12 | 810 sheep

Tuakau | February 14 | 605 cattle

Morunga Station | February 8 | 904 cattle

$/kg or $/hd

Store Romney ewes, good

90-100

R3 Angus steers, 489-550kg

3.31-3.42

Store ram lambs, medium to good

66-80

R3 Angus steers, 464-483kg

3.44-3.55

Store Wiltshire male lambs, medium to good

75-82

R3 Angus-Hereford steers, 455-556kg

3.31-3.37

Store ewe lambs, medium

67-81

R3 Charolais-cross steers, 520-567kg

3.26-3.37

Prime ram lambs

120

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

Matawhero | February 9 | 3697 sheep

$/kg or $/hd

2-tooth Wiltshire ewes, good

240

4-tooth Wiltshire ewes, good

245

5-6-year Wiltshire ewes, good

100-140

Mixed-age Wiltshire ewes, medium to good

125-170

Store Wiltshire ram lambs, tops

400-510

Store Wiltshire ewe lambs, tops

200-230

Matawhero | February 13 | 894 cattle

$/kg or $/hd

Markets

R3 dairy-beef heifers, 442-550kg

2.98-3.05

R2 Angus steers, 338-474kg

3.29-3.52

R2 Angus, Charolais-cross bulls, 485-505kg

3.30-3.44

Weaner Friesian bulls, 110-141kg

590-700

2-tooth Wiltshire ewes, one line, very good

290

Store Romney cryptorchid lambs, good

83-97.50

Store blackface male lambs, medium to good

75-96.50

R3 traditional steers, 425-455kg

1410-1535

Store ewe lambs, small to good

61-82.50

R3 Hereford-Friesian heifers, 407-456kg

2.95-3.06

Store blackface mixed-sex lambs, medium to good

70-93

R2 Devon-Hereford steers, 242-298kg

990-1245

Dannevirke | February 8

R2 Hereford-Friesian steers, 257-272kg

3.60-3.70

Store lambs, all

71-83.50

R2 traditional heifers, 264-309kg

3.45-3.51

Store cryptorchid lambs, all

84-93

Store ram lambs, all

Taranaki | February 7 | 659 cattle

$/kg or $/hd

Weaner Hereford-Friesian steers, 117-157kg

630-695

Weaner Charolais-dairy bulls, one line, 195kg

825

R3 Angus steers, 555-594kg

3.19-3.27

Weaner dairy-beef bulls, 106-168kg

610-675

R3 Angus heifers, 486-529kg

2.99-3.02

Weaner Friesian bulls, 135kg average

585

R2 traditional steers, 441-547kg

3.18-3.33

Weaner dairy-beef heifers, 100-136kg

440-590

R2 Hereford-Friesian steers, 390-444kg

3.18-3.33

Taranaki | February 14 | 601 cattle

$/kg or $/hd

R2 Friesian bulls, 419-425kg

3.29-3.36

R2 traditional heifers, 302-364kg

3.24-3.38

Weaner traditional bulls, 183-219kg

860-980

Weaner Friesian bulls, 119-162kg

590-630

Weaner traditional heifers, 178-208kg

680-805

2-tooth Romney ewes, good to very good

140-196

4-tooth Romney ewes, all

170-181

R3 dairy-beef steers, 480-620kg

3.08-3.20

R2 dairy-beef steers, 360-460kg

3.02-3.16

R2 Hereford-Friesian steers, 300-352kg

3.30-3.38

R2 Hereford-Friesian steers, one line, 616kg R2 dairy-beef heifers, 330-440kg

Stortford Lodge | February 12 | 622 sheep

1870 2.80-2.90

$/kg or $/hd

Prime ewes, very good to heavy

82-98

Prime ewes, light to medium

50-70

Prime ewes, medium to good

77-83

Feilding | February 9 | 1101 cattle, 15,539 sheep

$/kg or $/hd

4-year Coopworth ewes, capital stock, one line

151

5-year Romney ewes, good

98-128

Store lambs, shorn, good

76.50-98.50

Store cryptorchid lambs, medium

57-80.50

Prime lambs, very heavy

136.50-139.50

Stortford Lodge | February 14 | 318 cattle, 2728 sheep

$/kg or $/hd

Prime beef-cross cows, 511-580kg

2.00-2.09

R6 Hereford-Friesian cows & calves, RW Angus, 840kg

1810 per unit

Prime Speckle Park-dairy steers, 653-716kg

3.01-3.06

Prime Charolais bulls, 673-735kg

3.32-3.41

Mixed-age Friesian cows, 483-589kg

1.97-2.01

Feilding | February 12 | 332 cattle, 5553 sheep

$/kg or $/hd

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Markets

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

$/kg or $/hd

Prime Friesian bulls, 654-713kg

3.20-3.26

Canterbury Park | February 13 | 253 cattle, 4623 sheep

Boner Friesian cows, 500-599kg

1.73-1.88

Prime traditional cows, 513-700kg

2.12-2.28

Boner Friesian heifers, 435-438kg

2.50-2.58

Prime beef steers, 560-625kg

2.98-3.09 2.90-2.98

Prime ewes, medium to good

51-85

Prime beef, dairy-beef heifers, 555-575kg

Prime ewe lambs, heavy

139

Store mixed-sex lambs, shorn, good

87-91

Prime mixed-sex lambs, heavy

98-152

Store mixed-sex lambs, woolly, good

78-90

Prime mixed-sex lambs, medium to good

60-75

Store mixed-sex lambs, medium

63-80

Prime ewes, medium-good to very good

64-106 100-133

Rongotea | February 13 | 401 cattle

$/kg or $/hd

Mixed-age Friesian cows, in-calf, 496-610kg

1.93-2.00

Prime lambs, good to very good

R3 Hereford-Friesian heifers, 359-456kg

2.90-3.10

Temuka | February 12 | 582 cattle, 4039 sheep

Weaner Hereford-Friesian steers, 111-113kg

540-580

Prime Angus cows, 588-655kg

2.20-2.30

Weaner Hereford-Friesian bulls, 106-161kg

410-705

Prime Hereford-Friesian (black) steers, 667-669kg

2.95-3.03

Weaner Hereford-Friesian heifers, 92-160kg

290-600

Prime Jersey bulls, 425-498kg

2.54-2.68

Boner Friesian cows, 493-510kg

1.66-1.76

Boner Friesian heifers, 332-433kg

1.99-2.17

Boner dairy cows, 462-563kg

1.62-2.02

Store wether lambs, good to heavy

103-107

Store mixed-sex lambs, good

86-106

Sheffield | February 9

$/kg or $/hd

2-tooth Romney ewes, tops

196-200

Prime ewes, most

75-99

2-tooth Romney ewes, second cuts

164-183

Prime mixed-sex lambs, most

110-130

2-tooth other breeds ewes

171-190

Balclutha | February 14

2-shear Romney ewes, one line

234

$/kg or $/hd

Store lambs, good

80-97

Mixed-age Romney ewes

126-161

Store lambs, small to medium

45-70

5-year Romney ewes

98-140

Prime ewes, all

50-90

5-year Romdale ewes

124-150

Prime lambs, all

95-140

5-6-year Perendale ewes

118-130

Charlton | February 8 | 212 sheep

$/kg or $/hd

Store lambs, all

84-100

Weaner Angus-Friesian steers, 139-151kg

540-550

Prime ewes, all

30-61

Prime Hereford-Friesian steers, 588-755kg

2.90-3.00

Prime lambs, all

101-130

Coalgate | February 8 | 187 cattle, 2880 sheep

$/kg or $/hd

Prime Hereford heifers, 471-485kg

2.96

Lorneville | February 13 | 5000 sheep

Store mixed-sex lambs, good

81-98

2-tooth Border Leicester ewes, medium-good

210-256

Store mixed-sex lambs, medium

68-83

2-tooth Romney ewes, all

180-213

Prime ewes, medium-good to good

74-100

2-tooth Cooptex ewes, all

190-205

Prime lambs, most

101-140

2-tooth Wiltshire ewes, medium-good

210-260

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Markets

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

AgriHQ market trends Cattle

Sheep

Deer

Beef

Sheep Meat

Venison

Slaughter price (NZ$/kgCW)

Last week

Last year

North Island P2 steer (300kg)

5.80

North Island M2 bull (300kg)

5.80

5.65

North Island M cow (190kg)

4.00

4.10

South Island P2 steer (300kg)

5.35

5.20

South Island M2 bull (300kg)

5.35

5.05

South Island M cow (190kg)

3.80

3.90

Slaughter price (NZ$/kgCW)

Last week

Last year

North Island AP stag (60kg)

8.65

8.95

3.85

South Island AP stag (60kg)

8.70

8.90

5.95

6.65

2.25

3.45

Fertiliser Last week

Last year

DAP

1264

1794

Super

474

442

Urea

897

1240

Urea (Coated)

946

1189

Dec

Last year

Last week

Last year

North Island lamb (18kg)

6.10

6.95

North Island mutton (25kg)

2.60

South Island lamb (18kg) South Island mutton (25kg)

Fertiliser

Export markets (NZ$/kg) China lamb flaps

8.51

10.71

Wool

Export markets (NZ$/kg) US imported 95CL bull

9.38

US domestic 90CL cow

8.92

10.71

9.00

NOTE: Slaughter values are weighted average gross operating prices including premiums but excluding breed premiums for cattle.

Steer slaughter price ($/kgCW)

(NZ$/kg clean)

09-Feb

Last year

Crossbred fleece

3.31

2.54

Crossbred lamb

3.32

2.80

Courtesy of www.fusca.co.nz

Lamb slaughter price ($/kgCW)

6.5

6.0

5.5

5.0

Slaughter price (NZ$/kgCW)

NZ average (NZ$/tonne)

Forestry Exports

8.0

NZ Log Exports (tonnes)

7.5

China

1,545,682

1,459,745

7.0

Rest of world

148,528

135,003

6.5

Carbon price (NZ$/tonne)

Last week

Last year

6.0

NZU

71.7

71.8

5.5 Feb

Apr

Jun Aug North Island

Oct Dec South Island

Feb

Apr

Jun

Aug

Oct

North Island

Dec

Stag Slaughter price ($/kgCW)

South Island

10.0

NZ lamb exports (Nov - Jan, thous. tonnes)

NZ beef exports (Nov - Jan, thous. tonnes)

9.5

9.0

8.5

30 20

8.0

0 China

Japan

S. Korea

Rest of Last year Asia

US This year

Other

Chin a

EU Mid. Eas t Last year

US This year

Feb

Apr

Jun North Island

Aug

Oct Dec South Island

Other

Data provided by

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Markets

FARMERS WEEKLY – farmersweekly.co.nz – February 19, 2024

NZX market trends Dairy

Grain

Data provided by

Milk price futures ($/kgMS)

Close of market

Canterbury feed wheat ($/tonne)

5pm, Wednesday

650

9.5

600

S&P/NZX PRIMARY SECTOR EQUITY

8.5

10091

550 7.5

500

6.5 Apr

Jun

Aug

Oct

Dec

Sep-2024

Feb

400 Feb

Sep-2025

Apr

Jun

Aug

Oct

Dec

Canterbury feed barley ($/tonne)

Dairy Futures (US$/t) Nearest contract Last price*

Prior week

4 weeks prior

WMP

3435

3285

3300

SMP

2780

2730

2705

AMF

6000

5800

5700

Butter

6400

5815

5700

Milk Price

7.90

7.83

7.76

650 600 550 500 450

* price as at close of business on Wednesday

400

WMP futures - vs four weeks ago (US$/tonne)

Feb

Apr

Jun

Aug

Oct

Dec

Waikato palm kernel ($/tonne)

3500

450

3450 400

3400 3350

350

3300 3250

Feb

Mar

Apr

May

Latest price

Jun

300 Feb

4 weeks ago

Apr

Jun

Aug

Oct

Dec

Wharfgate log prices firm Shipping starting to rise again EXPORT

PRUNED

NZ$/TONNE

+1 S1 DOMESTIC LOGS (NZ$/TONNE)

-4

132

A-GRADE EXPORT LOGS ( US$/JAS [CFR])

+14 150

-3.4

SHIPPING – CHINA

CARBON

NZD:USD

(US$/JAS)

(NZ$/NZU)

(LAST WEEK)

47.2

+4.7 80.0

+0.6C 0.672

YTD High YTD Low

ArborGen Holdings Limited

0.16

0.173

0.155

The a2 Milk Company Limited

5.51

5.7

4.25

Cannasouth Limited

0.119

0.152

0.099

Comvita Limited

1.72

2.62

1.71

Delegat Group Limited

5.7

6.9

5.68

Fonterra Shareholders' Fund (NS)

3.42

3.5

3.34

Foley Wines Limited

1.1

1.2

1.05

Greenfern Industries Limited

0.042

0.058

0.042

Livestock Improvement Corporation Ltd (NS)

1.05

1.11

0.98

Marlborough Wine Estates Group Limited

0.161

0.18

0.155

NZ King Salmon Investments Limited

0.26

0.305

0.225

PGG Wrightson Limited

3.19

3.44

3.09

Rua Bioscience Limited

0.098

0.121

0.094

Sanford Limited (NS)

3.94

4.14

3.76

Scales Corporation Limited

3.13

3.49

3.1

Seeka Limited

2.64

2.75

2.42

Synlait Milk Limited (NS)

0.72

0.68

T&G Global Limited

1.87

1.81

S&P/NZX Primary Sector Equity Index

10091

10370

10091

S&P/NZX 50 Index

11661

11952

11661

S&P/NZX 10 Index

11850

12254

11850

MARCH 2022

UNPRUNED

NZ$/TONNE

117

LOG PRICE REPORT PULP

NZ$/TONNE

184

EXPORT PRUNED

NZ$/TONNE

119

A-GRADE

NZ$/JASM3

56.0

KIS

Pruned

Unpruned

30 - 40

20 - 26

Knot size (maximum) cm

105

Northern North Island

10 - 15

No limit

4.0 - 5.8

4.1 +

4.1 - 12.1

3.6 - 4.0

4.0 +

3.7

183

134

100 95

JULY 2022

Mar-14

Mar-15

Mar-16

Mar-17 Mar-18 10 year average

Log Indicator Trends

Mar-19

China wakes up

Mar-20

2.67

Mar-21

Mar-22

NZ SLAUGHTER STEER

$/KGCW

6.17

US$/KG

6.30

170

119

122 56

180 127 56

130

117

web

+64 6 323 6393 | info@agrihq.co.nz | agrihq.co.nz

150

VIEWPOINT

Mid-winter markets mellow

115

107

102

121

113

105

109

103

115

111

➔

Sentiment poorer for export sales

➔

Backlogs develop on lambs

-26%

-27%

-29%

➔

FMD on the radar for Aus/NZ

-26% -19%

-19%

-20%

-21%

-22%

-23%

-24%

$/KGCW

LAST WEEK

0.621

Jan

Mar

5yr ave

May

2020

Jul

2021

Sep

Nov 2022 S ource: AgriHQ

National e xport pruned log price (NZ$/JASm3)

190 170

116 123

* Weightings are calculated on the volume of softwood logs traded through each port in the past 12 months, as indicated by available data. This month's report is weighted as follows;

Port Weightings Port(s) / Regions

210

112

Short-term we are unlikely to see much more upside than has already been reported. Shipping costs are starting to increase as of late-February due to a mixture of demand changes and increasing bunker costs partly brought on by the Russia-Ukraine situation.

111 113

117

9.18

165

Jan

Mar

5yr ave

115

115 116

122

110

116

122 123

118

National grade logLAMB price (NZ$/JASm3) NZ ASLAUGHTER NZD:USD

150

124

130

128

After a three-month price lull there's finally been a bit of life injected into log export markets. This largely comes from China getting back into the game after coming back from break, supported by mildly weaker shipping costs and the exchange rate. Reduced supplies out of NZ in recent months has been key for reengaging Chinese buying, particularly when other parts of the world aren't offering any more volumes than normal, usually noticeably less.

CHINA FOREQUARTER

126 125

KEY POINTS

Source: AgriHQ

185

...there's finally been a bit of life injected into log export markets. Reece Brick

MONTHLY SHEEP & BEEF

US IMPORTED 95CL US$/LB

12 mths ago

VIEWPOINT

55.5

Export P

Length m

Mar-13

+0.5

Pruning

110

75 Mar-12

NZ$/TONNE

132

NZ$/JASm3 - Weighted Average*, Delivered to Wharf

115

PULP

NZ$/TONNE

191

Grade SED (minimum) cm

NZ$/TONNE

132

Ten year NZ Combined Log Indicator ($/Tonne)

125

NZ$/JASM3

181

WHARFGATE LOG PRICES

120

Sara Hilhorst

11850

Company

LOG PRICE INDICATOR

Omicron slows NZ production

MARKET REPORT

11661

MARCH 2022

FEBRUARY 2022 Key Points

FORESTRY

S&P/NZX 10 INDEX

Listed Agri shares

450 Feb

S&P/NZX 50 INDEX

May

2020

Jul

2021

Sep

Nov 2022 S ource: AgriHQ

+64 6 323 6393 | info@agrihq.co.nz | agrihq.co.nz

Region Level Island Level National Level

Marsden

33%

Tauranga

67%

34%

27%

51%

40%

Northern Nth Isl.

16%

13%

Gisborne/Napier

66%

New Ply/Wellington

34%

17%

13%

Southern Nth Isl.

49%

39%

North Island

80%

33%

43%

26%

Nelson/Picton

67%

Lyttelton/Timaru

33%

21%

Northern Sth Isl.

64%

13%

P. Chalmers/Otago

61%

22%

Bluff

39%

14%

Southern Sth Isl.

36%

South Island

20%

Weather

ruralweather.co.nz

Patience is a virtue, even for El Niño Philip Duncan

NEWS

Weather

‘A

ll we need is just a little patience” – Guns N’ Roses from 1988. I’ve had this stuck in my head lately as I think back to the complaints last year about El Niño. Back then, in spring, before the weather pattern was showing up, the common theme was “So much for El Niño”. Many of these complaints were before summer had even started. Fair enough in some instances, as even in December the wet weather made people doubt long-range forecasts (and forecasters). I’m not a huge fan of any long-range forecasts beyond one month, not for our small country, but when you’re talking about something as big as a global event we need, well, just a little patience. It’s like trying to turn a big ship. As a forecaster I’ve certainly noticed over the years that New Zealanders are especially impatient when it comes to the

weather. If we see a news story about a cold snap arriving today many assume that’s nationwide, without really thinking cold air usually starts in the south and then has to move 1600km northwards to reach the top of the country. Likewise, if it’s moving from west to east, the West Coast gets it before it reaches East Cape and Gisborne, 1300km away over a number of big mountains. Usually the delay between daily weather arriving and many people expecting it can be more than 24 hours. We often get “that wasn’t very cold”, then 24 hours later it rolls in. But when you need rain, patience wears thin – and that is

A proper El Niño pattern has arrived and this was something we tried to explain last year – that later summer and early autumn might be when our driest weather kicks in.

understandable. One thing we try to do at WeatherWatch is go out of our way to explain what may break your expectations. “Fewer nasty surprises” is the theme of our new alerting app. The forecast for the rest of this month is a dry one. A proper El Niño pattern has arrived and this was something we tried to explain last year – that later summer and early autumn might be when our driest weather kicks in. This is due to a few reasons: 1. We’re in the peak of the hottest weather. 2. We usually have more high pressure and stability. 3. El Niño + autumn is like a hat on a hat. It adds a bit more “oomph” to the westerly flow and that doesn’t favour rain for eastern areas, inland areas, or northern areas. With a dry outlook, the only silver lining will be isolated showers and thunderstorms – these have the best chance at “breaking the forecast”, but they are hit and miss. Your neighbour might get the 30mm while you remain bone dry.

SECOND HALF: Expected rainfall covering the second half of February via the American GFS model. We are most likely in the peak of the dry now – but be prepared

for it to linger in March. El Niño is fading out by winter hopefully.

Highlights this week • This week kicks off with a brief cold front • It may take a day or two to reach the north

• Some brief wet weather, mostly south of Central Plateau • Hot high pressure and windier westerlies return late week

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