Dairy News 19 August 2025

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EMISSIONBUSTING TOOLS COMING

“We’ve invested in nine companies, and they’re all aiming to be in market before 2030.”

– Wayne McNee, AgriZeroNZ PAGE 4

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Trump’s tariff turmoil

DONALD TRUMP’S uncompromising tariff policy is set to put New Zealand dairy exports to the US under huge pressure.

Kimberly Crewther, executive director of the Dairy Companies Association (DCANZ), says the way the tariffs have been applied to NZ and other dairy exporting nations to the US will severely disadvantage us.

“We are very disappointed and what will happen is that the lower tariffs that are being applied to other countries will end up giving them a significant advantage over us,” she told Dairy News

NZ dairy exports to the US are worth roughly $1.3 billion dollars or about 5% of our total exports.

But the US is by far the largest importer of our casein and whey products (32% ahead of China at 24%). It’s the whey concentrate protein that poses the biggest problem for NZ, according to Kimberly Crewther.

“We are now facing a 15% tariff, or more than that, because the 15% that Trump has just imposed is on top of the most favoured nation WTO tariff which has been in place. At the same time, the Canadians will continue to export into the US market duty free,” she says.

Crewther says they have additional fears that Canada will also export artificially low-priced dairy products there, which will exacerbate the NZ’s disadvantage to Canada.

Butter is another concern, and the US takes about 5% of our exports. But this is where the situ-

WHERE TO FROM HERE?

KIMBERLY CREWTHER says there is a still a lot of detail to work through and it’s a bit of a wait and see game to determine the full impact of Trump’s blanket tariff policy. She says questions remain about will pay for the 15% plus tariffs – will it be the consumer, the company or will it be shared?

“That will be a commercial negotiation,” she says.

On the positive side, Crewther points out that our dairy products have a good reputation in the USA market for their quality and functionality, but how the issue of price will play is still a matter of conjecture.

She is full of praise for the quick

response by the NZ Government to get its top trade negotiator, Vangelis Vitalis, to Washington to assess the situation. Trade Minister Todd McClay also plans to go there soon. But while no one doubts the importance of these interactions with American officials, it seems highly unlikely that the US will do a U-turn, despite the economic consequences on a ‘friendly’ New Zealand. In a recent op-ed in the New York Times, American Trade representative, Jamieson Greer made it very clear that the rulesbased systems of the World Trade Organisation (WTO) had outlived their usefulness and penalised the US. He said this system was

ation gets worse for NZ. The 15% tariff imposed on us is different to the 15% imposed on the European Union (EU). The way the system has been designed by the Trump administration is that if their tariffs are higher than 15%, this will be ignored and they will only pay 15%, whereas NZ has the 15% imposed on top of the existing tariffs. Sounds complicated and odd – and it is just that.

Our infant formula exports to the US are also about to take a hit, according to Crewther.

“Our products face a 32% tariff as opposed to the 17% tariff that has been imposed on the EU, and there is even a suggestion that the US may impose other restrictions to protect their consumers,” she says.

Because Australia has an FTA with the US, it will only pay an additional 10% tariff on top of the low existing one linked to the FTA.

untenable and unsustainable and cost America jobs and economic security. He dubbed the present tariffs as the ‘Trump Round’. Our present trade imbalance with the US is the reason we got a 15% tariff rather than the 10% imposed on countries who don’t have an imbalance. And the word from Washington is that NZ was ‘lucky’ it only got a 15% tariff; in sense, that may be so with all the ASEAN nations such as Vietnam being hit with a 19% tariff. While NZ will protest, it will do so with care, noting that when Switzerland had a somewhat acrimonious dialogue with Trump, he bumped up their tariffs from 31% to 39%.

DCANZ executive director Kimberly Crewther.

Beef farmers first in line for methane–reducing

A WORLD first public-private joint venture helping farmers cut emissions is set to have the first product from its investment portfolio – a methane-reducing bolus –available for beef farmers early next year.

AgriZeroNZ, jointly funded by the Government, agribusinesses and banks, has committed over $60 million in companies and research activities around the world to develop solutions for New Zealand farms.

A bolus, developed by Kiwi company Ruminant BioTech, will initially be available for beef animals.

AgriZeroNZ chief executive Wayne McNee told Dairy News that more work needs to be done on dairy cows.

“They need to do more testing on dairy animals, but for beef, it should be available early next year.”

that the Ministry for Primary Industries (MPI) is doing an assessment of the bolus as part of the approval process.

He says he understands the approval will allow beef farmers to give a single bolus per animal.

“I know there’s been talk among farmers that they may need to keep bolusing animals.

“The initial approval will be for one bolus for one animal. And that’ll deliver a 70% emissions reduction over 100 days.”

Apart from the Ruminant BioTech bolus, a few New Zealand trials are underway on other technologies.

McNee says they hope the next product would be in the market around 2027, likely to be a lowemissions ryegrass from BioLumic.

“Probably two or three products in 2027, and then more in 2028, so there’s this pipeline of products.

THE FOCUS on reducing emissions is customer-led and linked to free trade agreements signed by New Zealand.

Wayne McNee says some FTAs, like the UK and the European ones, have requirements that we try and reduce emissions.

New Zealand’s major premium customers have got emissions reduction commitments, their own targets.

“And they are looking to New Zealand to help them meet them.”

DECISIONS

decide whether it continues to match funding.

Wayne McNee isn’t ruling out the possibility of raising capital from outside investors.

To date, the joint venture has raised $191m which includes the Government matching funding. About $60m has been committed across its investment portfolio to date.

McNee says AgriZeroNZ will need more funding and he agrees there’s a limit to how much farmers can contribute.

He points out that New Zealand farmers could miss out if AgriZeroNZ doesn’t invest in ventures.

“We’ve got to get the tools to farmers, and for some of these companies, if we don’t put more money in, they may just choose not to bother about New Zealand. Because the fact that we’re an investor means they make a commitment to come here.

“If we stop investing, they might still come here, but they might not. But yes, that’s up to our investors and the government whether they want to provide more funding in the longer term.”

Ruminant BioTech says it has developed a slow-release bolus, designed to remain in the cow’s stomach for up to six months, effectively reducing methane emissions during that period. It claims trials to date of their bolus show over “70% methane knockdown” over 3 months.

McNee points out

“And there are consequences in those if we don’t try. I think as long as we’re trying, then over time we’ll get leeway.

“So, we have a head start. But others are either catching up or in some cases would claim they’ve passed us.” SUDESH

“We’ve invested in nine companies, and they’re all aiming to be in market before 2030.”

However, there is still some risk around that because most of these companies still need to complete all their research.

McNee believes that once these products start coming into the market, farmer uptake will be more straight forward.

“But this is mostly customer-led. All of

“Once it’s here and you start using, it’s going to start changing attitudes and farmers will start using the technology, particularly in dairy.”

McNee divides farmers into three groups when it comes to technology use

McNee adds that New Zealand is already among the most emissions-efficient in the world.

to reduce emissions. The first is a group of farmers who are very keen, early adopters.

“They are saying that when the technology comes to market, I want to use it, I want to try it, I want to be the first

farmer in New Zealand to give it a go and be like a commercial trial, effectively.

“And then I’d say the vast bulk of farmers are saying, well, I’ll wait and see, you know, someone else will give it a go. And

if I feel comfortable and if someone’s going to pay me, there’s going to have to be some sort of incentive to get farmers to take up technology. The vast majority, I think, are in that area.

“And then there’s a group who are completely opposed, who do not support any form of technology to reduce emissions, or actually any emissions reduction from agriculture.”

McNee believes everybody’s entitled to their view.

He says AgriZeroNZ’s goal is to make a range of tools available for farmers to choose from, and then it’ll be up to farmers whether they use anything at all or what they use.

“We just try and keep everybody informed. At the end of the day, people can form their own view.

“It’s not our job to tell farmers what to do. It’s our job to make things available for them. Because… part of it is farmers’ money that’s going into it.”

KISSUN
AgriZeroNZ chief executive Wayne McNee says MPI is doing an assessment of the bolus as part of the approval process.

Research showing farm ownership a viable goal

BUYING

A farm is challenging but still achievable according to research recently carried out by Smaller Milk and Supply Herds (SMASH).

After hearing many reports of young farmers struggling to achieve their farm ownership dream in 2024-25, SMASH ran a significant project, supported by Ministry for Primary Industries (MPI) SFFF funding, investigating the paths to farm ownership.

The project aimed to identify how farmers have successfully bought farms in recent years, the characteristics of these farm owners, the challenges progressing farmers face on the path to farm ownership, and how the industry and existing farm owners can help progressing farmers to achieve their farm ownership goal.

During the project, SMASH talked to rural professionals from throughout New Zealand and conducted a large survey of almost 300 farmers.

They discovered that the traditional methods for building the equity to purchase a farm are still commonly used but are considered to be not as successful as previously.

For example, sharemilking opportunities have reduced and may not, on their own, produce sufficient equity.

As a result, in recent years, prospective farm owners have started to utilise other methods, or combinations of methods, to build their equity. They included using a combination of financial prudence (cost management and minimising drawings), rearing surplus animals to grow their herd or for trading, off-farm income (such as contracting or a partner working off-farm), and monetary investments (for example, rental properties) to build their equity. They were also taking on mul-

HARD WORK PAYS OFF

MICHAEL AND Lindy Bennett achieved their goal of 100% farm ownership four seasons ago, after many years of focused hard work, when they bought their farm near Te Awamutu.

Michael has always worked in the dairy industry, following the traditional progression pathway, while Lindy worked off farm as a rural professional. A 50:50 sharemilking role they gained, milking 470 cows for three years, was a critical step as their farm owners offered them the opportunity to step into an equity partnership.

Initially they took on contract milking for the partnership alongside their investment. The equity partnership then expanded with the addition of another farm and they spent an extra five years contract milking 1000 cows on two farms before the partnership was wound up. This built the foundation for the purchase of their current 82ha farm, originally one of the equity partnership farms, where

tiple sharemilking or contract milking jobs.

When the time came to purchase a farm, the rural professionals noted it was important that farmers understood their goals and avoided overleveraging.

The main sources of borrowing were tier 1 bank lending and family debt. Both the rural professionals and farmer survey respondents noted that equity partnerships and vendor financing are still mechanisms utilised for purchasing farms; however, their popularity has declined.

The project identified the key characteristics of farm purchasers. These

they milk 515 cows.

Michael recommends equity partnerships as a great way to get ahead, with some provisos.

“Equity partnerships work well as a stepping stone, ours was very profitable. We were 30% owners and contract milking for the partnership, and we were not highly in debt, thanks to the sage advice of our farm owner. Just work on a worstcase scenario payout and don’t gear up too heavily. Who you are in business with is also key.”

Lindy’s off-farm career working as an agronomist, and Michael’s time spent driving trucks, also supported their progress, alongside stock sales, and investments in a lease block, rental properties and a holiday house.

Now they have achieved their farm ownership dream their focus has shifted to paying down debt, and they have diversified by running a beekeeping business as a side hustle.

farmers were: goal-oriented, planners, driven, and very focused on success; financially literate and careful about spending; had a good industry reputation; and they were willing to actively pursue opportunities. They also had a strong network of supporters and advisors.

The general consensus was that when progressing, farmers need to be flexible about the kinds of positions and opportunities they look for and the region they farm in.

The project also investigated how the industry could support farmers on the path to farm ownership.

Existing farm owners

have a large role to play. It was believed that they should be willing step back and start the succession process earlier; mentor staff (particularly in the area of financial literacy); provide them with progression opportunities and a positive, financially rewarding employment package; help staff to build their equity, for example, through supporting them to rear stock or offering more flexible sharemilking contracts; provide creative ways of lessening upfront equity requirements e.g., vendor finance, shares in the farm, equity partnerships, or dividing the farm into multi-

ple titles to allow gradual purchase.

The wider industry also has a part to play. The research found that there is a need for organisations to provide mentorship and networking opportunities, and a formal brokering service matching opportunities with candidates.

The surveyed farm owners also showed high levels of training and participation in industry

courses. However, there was mention of providing more education and training around business management and progression.

Farmers believed that milk processors could help to finance farmers into buying farms, using mechanisms like Fonterra’s MyMilk or Flexible Shareholding programmes.

They thought banks needed to be more flex-

Notice of 2025 Elections

• DairyNZ Board of Directors

ible, supportive, and less rigid, and they were strongly in support of the government offering the opportunity for progressing farmers to withdraw their KiwiSaver investment for farm purchases.

Overall, it was believed that there are still good opportunities for farmers to progress into farm ownership; however, the process is more difficult now. Prospective farmers need to be determined, goal-oriented, flexible, financially literate, and to actively look for opportunities. Building and maintaining the right support through mentors, advisors, family, and their wider network are all critical.

Existing farm owners and the industry need to actively step up to support progressing farmers.

The full Paths into Farm Ownership report can be found on SMASH’s website: https://www. smallerherds.co.nz/knowledge-hub/progression/ paths-to-farm-ownership/ • Louise Hanlon is executive secretary of SMASH.

• DairyNZ Directors’ Remuneration Committee

Invitation for 2025 candidate nominations - four positions available

• Two farmer directors for the Board of DairyNZ Incorporated.

• Two members for the DairyNZ Directors’ Remuneration Committee.

Current levy-paying dairy farmer who are also members* of DairyNZ Inc are now invited to nominate candidates to fill these four positions.

All farmers paying a levy on milksolids to DairyNZ and who are members of DairyNZ Inc are eligible to stand for election. An information pack outlining desired criteria and nomination requirements for the positions can be obtained from the Returning Officer.

Nominations must be received by the Returning Officer by 12 noon on Wednesday, 27 August 2025.

Elections

If more than the required nominations are received, a voting process will be carried out by postal voting using the STV (single transferable vote) voting method. Votes will be weighted by annual milksolids based on 2024/25 dairy season ended 31 May 2025. Voting credentials will be posted to all members on 2 October, with voting closing at noon on Tuesday, 4 November 2025.

The DairyNZ Annual Meeting will be held on Thursday, 6 November 2025. Election results will be announced at the meeting.

For further details contact the Returning Officer below.

Anthony Morton Returning Officer – DairyNZ Incorporated 0800 666 935 iro@electionz.com

LOUISE HANLON
Michael and Lindy Bennett achieved their goal of 100% farm ownership four seasons ago, after many years of hard work.

Waikato Feds leaders to contest council election

TWO WAIKATO dairy farmers and Federated Farmers leaders have thrown their hats in the ring for this year’s Waikato Regional Council elections.

Keith Holmes, who stepped down as Feds Waikato president earlier this year, and Cambridge branch chair Garry Reymer were confirmed as candidates when nominations closed earlier this month.

Holmes is one of five candidates for the two seats in Waihou Ward. Reymer is one of four candidates for two seats in Waipa-King Country ward.

Holmes told Dairy News that local government “certainly isn’t sexy but has a massive impact on our lives and also the culture that we live under”.

“Having spent a lifetime wearing many different leadership hats, both inside and outside of the Waikato Regional Council, I know the people, I know the systems and know the strengths and weaknesses within the culture of WRC.

“I have a choice – I can sit on a couch and

continue to ‘whinge and bitch’ about the regional council – or I can get inside the ‘tent’ or the glass castle and make a difference.

“The latter I back myself on, having a long history of leadership and governance, and having recently stepped down from president of Waikato Province of Federated Farmers, I have the time.”

Holmes supports the Government’s reforms of the Resource Management Act (RMA) and local government.

“It’s massive in its implications and is going to happen regardless of which and what government is in power. I make no apology in saying that it must change, both systems are broken, are linked together and are currently killing our proud Kiwi can-do atti-

tude and culture.”

Holmes adds that councils by nature are risk averse and they simply put up the rates should the cost of doing business become too high.

“Sadly, too, the governance directive to drive accountability are either too weak, ineffectual or simply don’t exist at all. The councils too have a conundrum in that successive governments cunningly unload responsibilities, without funding, so as protecting their political credence by not raising taxes.

“Simply changing the rules of RMA and the shape of local government won’t work. We must change the culture within,” says Holmes.

Holmes recently sold his dairy farm but still farms at Waihou, running

rare ewes and fattening steers.

Reymer, who milks 520 cows on two farms, has been part of Waikato Federated Farmers meetings with WRC over the years.

He says it became very apparent there that the council needed a stronger focus on getting back to basics as well as making sure it understood where and how the money was being spent.

“There appears to be a lack of respect for the rate take and councillors happy to sit on surpluses for a rainy day, rather than help a stretched ratepayer,” Reymer told Dairy News

Reymer opposes growth in staff numbers and says the council management should be held to account for the rising workforce and salary bill.

Public transport is

‘Commonsense’ changes to RMA hailed

CHANGES TO resource management laws announced last week will spare thousands of farmers from needing an unnecessary resource consent just to keep farming.

The Government amended the Resource Management (Consenting and Other System Changes) Amendment Bill to broaden what water discharges can be allowed as a permitted activity.

This follows Waikato Regional Council informing the Government that unless urgent changes were made to water discharge rules in the RMA, approximately 2800 Waikato farms would require resource consents for on-farm activities.

another area that needs a major rethink, Reymer believes.

“If you think our education system was due for an overhaul, you would have been right, but we have been running the same old 30-seat diesel buses forever. We need to be smarter on how this is delivered, and the answer is not just slap on an electric bus.”

He backs proposals by central government to rein in “out of control councils”.

“I agree and think it is important that we have strong voices on the inside to help drive the change and ensure we put the right people and structures in place to take our regions forward. There will be a lot of resistance from staff and even from councillors. Turkeys don’t vote for Christmas.”

RMA Reform Minister Chris Bishop says these consents would be for routine on-farm activities that farmers have already been doing, often for years, without requiring a consent.

“The Waikato region generates 20% of the nation’s primary exports, with dairy farming supporting the employment of over 9000 Kiwis in the Waikato alone. If we don’t act, the economic heart of New Zealand’s primary sector could grind to a halt under what would effectively be a ‘stop work’ order.

“Waikato Regional Council wasn’t the only council to raise concerns. Horizons Regional Council, Bay of Plenty Regional Council, Tasman District Council and Environment Southland all requested further changes to water discharge rules as well.”

Federated Farmers RMA reform spokesperson Mark Hooper says the RMA changes are practical and pragmatic “but it’s actually just common sense”.

“Without these urgent changes to the discharge rules under section 70 of the RMA, we would have been facing a ridiculous, expensive and totally unworkable situation.

“Thousands of farmers would have needed to go through the process of applying for a new resource consent, and ticking boxes, for absolutely no environmental gain. A flood of consent applications would have landed with local councils all at once, creating a bureaucratic backlog and stalling the engine room of the economy at the same time.”

Hooper says councils will still be able to require consent for genuinely high-risk activities but won’t be forced to do so when something such as a farm plan is a better option.

SUDESH KISSUN sudeshk@ruralnews.co.nz
Garry Reymer
Keith Holmes

Dairy helps boost PGW earnings

totalling 6.5 cents for the year.

AGRICULTURAL SUP-

PORT giant PGG Wrightson will pay a dividend this year on the back of an improved performance buoyed by increased optimism in the sector.

In its annual results, announced last week, PGW reported an operating revenue up $59.4 million (6%) to $975.3 million; operating earnings before interest, tax, depreciation, and amortisation (EBITDA) up $12.0 million (27%) to $56.1 million, and net profit after tax up by $7.6 million to $10.7 million.

The net profit represents a 248% increase, albeit from the low base of just $3.1 million in the previous financial year, when no dividend was paid.

The company has declared a final dividend of 4 cents per share,

PGW chief executive, Stephen Guerin, said they had signalled increasing positivity at the time of the half-year result and that had come through in the result.

“Dairy was obviously the leading light but we could see a bit more than that, in terms of that movement in sheep price starting from about December.

“Red meat’s always been pretty good. And we could see what was going on from a real estate perspective and it’s played out in the second half of the year, particularly in our agency businesses.”

Guerin said PGW’s Retail & Water Group, incorporating Rural Supplies, Fruitfed Supplies, Water, and Agritrade recorded an operating EBITDA up $1.1 million.

“Retail & Water refreshed its five-year plan with a focus on a

range of growth initiatives.

“A key example of such initiatives was the acquisition in July 2025 of the Nexan Group. Nexan Group manufacturers the Vetmed range of animal health products along with other brands. This acquisition reinforces PGW’s commitment to delivering high-quality

innovative solutions that help New Zealand farmers thrive.”

Another initiative is the launch of the ‘BlueAG’ label of agrichemicals, which farmers will begin to see on the shelves from about next month.

Guerin told Rural News that a lot of generic agricultural chemicals

come into the country and they want to market it under their own brand that they can stand behind.

“We still see a place for proprietary chemistry out of the major multinationals but we do want to bring some of this product in under our own brand.”

However, the bulk of the improved profit has come from PGW’s Agency group, incorporating the Livestock, Wool, and Real Estate businesses, which recorded an operating EBITDA of $23.5 million, up $11.1 million on the prior year’s result.

Guerin said stud stock sales rebounded as clients returned to the market with an increased demand for sire bulls, with records set during the selling season.

“Good pricing for dairy resulted in strong demand. Livestock pricing was buoyed by the

forecast milk price, and high-end herd sales. There were also strong forward contracts for dairy herd sales.”

Guerin said increased real estate activity contributed to a “really pleasing” performance by PGW Real Estate, with revenue up by 55 % on the same period last year.

The market had been buoyed by a gradual downward trend in interest rates, stronger dairy payouts, robust red meat pricing, and farm gate prices.

Guerin said the volume has come from commercial farm sales (rather than residential or lifestyle blocks)initially dairy, but more sheep and beef properties latterly. Some of those were going into dairy conversions, particularly on the Canterbury Plains, while some were being retained for sheep and beef.

There were also

STUDY GRANT FOR RURAL STUDENTS

APPLICATIONS ARE now open for the Agri Futures Scholarships, helping young Kiwis from rural backgrounds kickstart careers in agriculture and rural sports.

This year, up to 14 scholarships will be awarded, up from nine last year, to support secondary school leavers who’ve competed in Clash of the Colleges events and are pursuing

further education or cadetships and rural sports athletes under 20 who are studying or training.

“We’re all about inspiring and supporting the next generation in agriculture and rural sports,” says Agri Futures general manager Daniel O’Regan.

Most are open nationwide, but two are reserved for Manawatu/

A Hoof Up From day one

Palmerston North students, recognising their support for the NZ Rural Games.

One is dedicated to South Otago, thanks to the Balclutha-based company, Danone.

Funding comes from Ford NZ Rural Sports Awards auction that features signed memorabilia from stars like Dylan Schmidt (Olympics), Erica

increased enquiries for horticultural land, especially pipfruit and kiwifruit, but “not so much” for viticulture.

Guerin acknowledged that the overall profit was still down on those enjoyed through the years 2021-23 but that was a time when “every part of the sector was aligned in the positive direction”.

There were still challenges but PGW was now seeing increased enquiries for the likes of irrigation infrastructure for conversions, deferred maintenance such as fencing products, stock food for calf raising, and seed.

“We’ re seeing record volumes of calves passing through the North Island saleyards. There’s some good pricing in there. It’s too early to see those calves come through in the South Island yet, but that that confidence is now playing out in actual activity on farm.”

Dawson (Sailing), Sir Wayne Smith (Black Ferns), and Tim Southee (Black Caps) and from Agri Futures and partners, including Danone and the NZ Rural Games Trust (supporting Otago University sport science student scholarship).

Applications close at 5pm on Friday, 29th August 2025. Successful applicants will be notified on Tues-

day, September 30th September. Rural Sports athlete applicants welcome from any New Zealand rural sport, including, as an example, harness racing, wood chopping, shearing, rural fencing, tree climbing, highland games, sheep dog trials, gumboot throwing, ploughing, equestrian, motocross, shooting and thoroughbred racing.

NIGEL MALTHUS
PGG Wrightson chief executive Stephen Guerin.

EDITORIAL

Hope for the best

NEW ZEALAND’S dairy industry is right to call out Donald Trump over the damage the additional 15% tariff the US is imposing on our exports but also imposition on lower tariffs on our competitors.

This will likely have the effect of completely skewing the international dairy market, to our detriment.

It’s clear that the Trump administration doesn’t care about NZ or anyone else, be they friend or foe. They are simply focused on a blanket policy plank that they as righting the wrongs of the rules-based trade system embodied in the WTO. Such selfinterest has long been a feature of American politics and from time to time it has used its economic power to its advantage.

Dreams aren’t plans

MILKING IT reckons if you’re National, looking at recent polls, the dream scenario is that the elusive economic recovery finally roars to life. If voters see some growth and wages rising faster than prices, the government could say they’ve “fixed” things as they ride into the next election. Back here on Earth though, the economy they inherited is a basket case, and the long-term headwinds are fierce. Political commentator Liam Hehir says, “dreams are not plans” and if the turnaround doesn’t come in time, National may have no choice but to go negative. “Everybody wants to fight on the economy if they can. But when neither side has a compelling economic story, the contest shifts to other issues. That’s not new. In fact, it’s the stuff of politics everywhere, always.”

Misguided petition

WHAT HAS the price of butter got to do with Fonterra chief executive Miles Hurrell’s salary?

The misguided Greenpeace thinks there’s a connection.

A video circulating from the environment lobby is tying the high butter price (directly the result of soaring global butter prices) and alleged rural drinking water contamination to Hurrell reportedly getting $2,800/hour.

The same video then claims there are too many cows and too much synthetic nitrogen fertiliser being used in NZ. And then it claims things are about to get worse unless they stop PM Christopher Luxon dismantling freshwater regulations.

All these just to hoodwink people into signing a petition.

Eviction, French style

WHEN IT comes to dealing with squatters, no one does it better than French farmers.

Furious workers at a farm in Hautes-Vosges, a range of medium mountains in Eastern France, sprayed dairy effluent on an illegal gypsy camp.

They turned to cow excrement after reportedly “not receiving” any help from police to remove the campers.

Footage shows the tractors circling the stationary white caravans and releasing streams of the brown sludge liquid with members of the community running after the vehicles in a bid to stop the onslaught of excrement. One man is even captured jumping onto a moving tractor and frantically knocking on the driver’s window.

The latest is that the campers have moved on.

Going green

IT’S LOCAL government election time and all sorts of candidates are coming out of the woodwork.

Wairoa mayoral candidate Camden Gaskin wants to green light a council-run medicinal cannabis business in the district.

He envisions it would employ 200 contractors and deliver significant economic benefits.

There are four mayoral candidates in the small northern Hawke’s Bay town; Gaskin is going up against incumbent Craig Little, current deputy mayor Denise EaglesomeKarekare and Kurawari Panere.

Gaskin said, if a medicinal cannabis licence was obtained by the council, a mail-order business would bring cash flow and employment opportunities to Wairoa.

One would have thought the recovery from recent floods and cyclones would be a priority for Wairoa farmers and growers. Not everyone thinks so, it seems.

As a tiny country we have little real power in this whole debate and can only sit in the cheapest seats in the auditorium and see what plays out. We can hope that rational arguments have a place in the uncertain and strange geopolitical environment that we live in. But while we know that common sense no longer applies, maybe also logic and loyalty are now things of the past.

If this was only US vs. NZ, maybe we could live with the 15% tariffs, but it’s consequential and unpredictable flow-on effects that are the worry.

Under the auspices of the WTO, NZ at least could voice its concerns and, through the rules of that organisation, make progress on dairy access like it has just done with Canada. But with Trump there is no consensus or consultation on the rule making, no real appeal process, and that uncertainty is the only certainty.

In previous trade hiccups that NZ has encountered, diversification has always been an option, but the global effect of the US tariff policy has been to economically de-stabilise many of these markets.

The focus for NZ now surely must be to produce high quality competitively priced products and hope for the best.

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Markets resilient, farmers hopeful

resilience.

THE GLOBAL dairy market continues to show resilience, and farmers remain cautiously optimistic as we move into the latter half of 2025.

New Zealand’s dairy sector is buoyed by strong demand signals and supportive futures pricing, with the NZX milk price calculator now backing forecasting a farmgate milk price of NZ$10.39/ kgMS for the 2025/26 season.

This reflects growing confidence in demand for New Zealand product, however with strong supply heading into spring, farmers are remaining cautious on where milk price will land for the season.

The latest Global Dairy Trade (GDT) Event 385 (August 5th) recorded mixed results across commodities, with the overall index ticking up 0.7%, broadly in line with expectations. The standout performer was whole milk powder (WMP), which rose 2.1%, driven by momentum from two successive increases at GDT Pulse auctions during the extended break since the previous Trading Event. While the headline result aligned closely with SGX-NZX Derivatives expectations, a deeper look at the futures curve reveals a slightly more bullish outcome. The C2 regular product settlement price increased 4.1%, or $70/tonne higher than futures had predicted, breaking through the US$4,000/tonne barrier. Contracts for C3–C5 also showed strength, all settling above US$3,950/ tonne.

Regionally, North Asia claimed 49% of WMP product, continuing its dominant purchasing role. Chinese inventories of WMP were up 19% month-on-month in June, but down 63% yearon-year, a bullish signal indicating that inventory has needed some replenishment over the past month.

Despite WMP volumes increasing significantly over peak period on GDT prices continue to show

A potential bearish counterweight is increased New Zealand supply.

Fonterra recorded a +43% year-on-year increase in South Island milk collections for June, although this data point falls at the seasonal low, and its impact may be muted in the short term.

Prices for skim milk powder (SMP) and butter fell in line with futures expectations, with the front C1 contract for SMP being the only major surprise to the upside, suggesting product was needed quickly. However, anhydrous milk fat (AMF) slightly exceeded predictions, with a +1.8% increase for C2 premium grade.

Butter continues to correct from its earlier record highs, with minimal regional buying interest outside of North Asia, who absorbed 67% of product. While China remains the top destination for 36% of New Zealand’s butter exports year-to-date, Saudi Arabia has emerged as the second-largest destination, with exports up 35% compared to +10% for China.

However, Middle Eastern demand has softened recently, with the region taking just 5% of butter product in the past two events.

Approximately 20-25% of NZ milk is being managed via hedging tools, with more dairy farmers and processors looking to manage their risk profile.

In a volatile world where milk price, milk production and on-farm costs are fluid SGX-NZX milk futures and options can provide a way to manage this volatility.

Since the launch of SGX-NZX Milk Price Futures and Options, there’s been growth in the wider eco-system of milk price risk management tools available to farmers such as processor fixed price offerings, and bank swaps, which provide farmers with more choice.

With New Zealand dairy farmers well into the calving period, global sentiment remains cautiously optimistic. Strong futures pricing, stable powder markets, and

robust export demand— particularly from China and Southeast Asia, creating a price supportive environment.

The NZX Team will also be hosting the SGX-NZX Global Dairy Seminar in October in Singapore, bringing together international stakeholders to discuss

NZ’s only combination clostridial and Lepto vaccine.

market developments and share perspectives. If you want further information about the event, NZX insights or using derivatives in your business –feel free to reach out to the team at dairyteam@ nzx.com.

• James Atkinson is manager - derivatives sales at NZX and Cristina Alvarado

is head of Dairy Insights at NZX. Her team offers a suite of reports that provide deep insights into market movements, and has over 6000 subscribers across 25 countries, reflecting the global interest in New Zealand’s dairy data and forecasting.

@dairy_news facebook.com/dairynews

Hardjo is the #1 Lepto serovar infecting people in NZ. Get 12 months proven protection with Ultravac® 7in1. NZ’s only combination clostridial and Lepto vaccine for cattle and sheep.

JAMES ATKINSON & CRISTINA ALVARADO
Cristina Alvarado
James Atkinson

Choosing farming over classroom paying off

IT TOOK a stint at university to remind Otago dairy farmer Megan Morrison that being stuck in a classroom was not for her.

“Halfway through an Agricultural Science degree at Lincoln University I realised that I much preferred to be outside doing practical things,” she laughs.

This practical approach has only worked in Megan’s favour, as she has thrived under the opportunities and challenges she has faced along her career path.

Megan was brought up on her family farm,

with parents Stewart and Marie Morrison milking 400 cows at Inch Clutha, near Balclutha, Otago.

Five generations of the Morrison family have been farming on Inch Clutha since 1909. It is a 30 km₂ island which sits in the delta between the northern and southern branches of the Clutha River. The Morrison family own three self-contained dairy farms – Kemra Farm, Haswell Farm and Kilfinan.

The home farm, Kemra Farm, was once used to run sheep and grow potatoes, including the development of the Red King variety, until the conversion to dairy in the early 1990s.

FARM FACTS

■ Owners: Stewart & Marie Morrison

■ Farm Managers: Megan Morrison & Craig Johnston trading as Haswell Farm Ltd

■ Location: Kaitangata, Otago

■ Farm size: 200ha

■ Cows: 422 (260 registered Holstein Friesians)

■ Production: 184,800 kgMS

■ Stud name: Haswell

“Dad has been a big inspiration for me, having converted the home farm to dairy back in 1992,”

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and easier to use – helps your cows back to full milk production sooner.

• Your team will be happier using the WOPA crush and take action to treat cows sooner.

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• Faster recovery from lameness can save thousands in lost revenue.

Megan says.

After her time at Lincoln University, Megan went calf rearing for Brent and Jenny Geddes in Christchurch for a summer before working for Dean Geddes (Tahora) for a couple of years as a farm assistant.

Megan then moved to Alexandra to be closer to family, working as a farm assistant on a dairy farm and training to become an AI technician. She became pregnant with her first son, Harry, and decided to move home at the start of the

‘SPECIAL’ COWS

WHILE THEY have used a lot of different bulls – with the majority of the herd put to sires that are part of LIC’s Customate programme in recent years - there is a small amount of ‘special’ cows that receive handpicked semen from either Semex, CRV or Samen.

“The special cows are the two cows we bought from Dean Geddes at Tahora, and a couple we purchased from the Fermoy Dispersal Sale,” Megan says.

She says they are selecting genetics to improve fat and protein content, and to build on milk production.

Megan says while she doesn’t want the cows too big, she’d like to see stature, capacity and a good rump angle.

“We are trying to bring the angle of the rump down, as a lot of the cows we bought were too high,”

2021/22 season, managing Haswell Farm for her parents. Megan admits it was a challenging time, with Harry only six months old and her partner Craig Johnston working off farm in his building business.

Thankfully, things

Megan says.

Megan says despite their appreciation for a good-looking cow, showing cattle is not on their radar.

“I experienced my first show while I was working at Tahora with Dean Geddes, and it was quite an eye-opener,” she says. “Seeing all the work that goes into the preparation was phenomenal.”

Despite this, Megan and her brother Brendan, who runs Kemra Farm, entered cattle from their farms in the 2023 Tokomairiro, Otago-Taieri and South Otago A&P Dairy Heifer Competition.

Kemra Farms won the calves section for a herd of fewer than 100 and placed third in the in-calf heifers’ section for a herd of fewer than 100.

Haswell Farm won the in-calf heifer section for herds fewer than 100 and placed third in the calves’

have settled; Megan is now milking 422 cows on 200ha, the majority of which are Holstein Friesian. “We also have a few ‘crossies’, and a few Jerseys, Milking Shorthorns and Ayrshires,” she says.

The block is a pasture-based, self-contained property, with all young stock kept on farm.

Megan says farms on Inch Clutha handle dry conditions well, due to its soil type. Having experienced dry weather during her previous roles, she says Inch Clutha is her preference, where “it’s quite nice not spending all day thinking about irrigation, because none is required”.

Megan is aiming for the herd to produce 440450kgMS/cow.

“We bought a whole new herd, which was made up of bits and pieces,” Megan says. “When we were buying there wasn’t a lot of Holstein Friesian herds on the market, so there has been a huge period of rebuilding.”

The herd is spring calving, with around 100 replacements kept annually. Mating starts November 10, with the established herd AI’d by Megan. The yearlings are run with Jersey bulls. “There’s always a lot going on,” Megan says.

section for herds of more than 100.

Megan says she was very happy to win her category because the herd was the first young stock born since she moved home to manage the farm.

When it comes to business goals, Megan and Craig are hoping to go lower order sharemilking in a couple of years, with a view to work their way up to 50/50 sharemilking.

“We’d like to stay on my parents’ farm,” Megan says. “I would like to thank my Mum and Dad for all the opportunities they have given us; we appreciate all their support. We couldn’t do it without them.”

The couple is kept busy by sons Harry and Oliver.

Megan says she believes that women in dairy are not given the kudos they deserve.

“Things have improved a lot, but we still get underestimated.”

ANNE BOSWELL
Megan Morrison with sons Harry and Oliver.

A smarter way to mix milk powder

IN THE thick of calf rearing, logistics can play an important part of getting the job done quickly and efficiently.

Recently introduced by Advantage Plastics, Rangiora, the Smart Mixer stationary mixing tank offers an easier and more efficient way to mix calf milk powder, by removing the back breaking work out of manual mixing and speeding up the whole process.

Manufactured from UV stable, food grade polyethylene, the 1600l main tank features side inspection/top lid, mounted in a heavy-duty

galvanised steel frame, with fork pockets for easy movement. Utilising 50mm hose and ball valves throughout, discharge is via a 25mm outlet, with complete discharge and easy clean out.

Featuring a re-circulation cone bottom tank design, an easily accessible self-loading side funnel sucks milk powder through when recirculating. Once a mix is completed, the system is ideal for filling mobile feeders/ trailers, calfaterias, buckets or coupling to a piped system installed in a calf shed. Overall dimensions are 2300mm high, 2100mm wide, 1500mm deep and loading access at 1100mm.

In operation, users

DRILL COMBO FOR DIFFERENT SOIL TYPES

SCHEDULED FOR release later in the year at Germany’s Agritechnica Event, Lemken’s new Solitair PT is a power harrow/drill combination designed for farmers and contractors who want to work in a wide range of soil conditions, achieving a good seedbed combined with precise drilling in one pass. A good seedbed falls to the integrated Zirkon power harrow, featuring four tine carriers per metre of working width. Offering hydraulic depth adjustment as standard, working depth, rotor speed and forward speed can all be adjusted individually, enabling the Solitair PT to cover ground quickly at a shallow depth, or deeply and intensively, depending on the individual soil conditions and the finish required. The rear levelling bar, aft of the tine rotors, can be adjusted hydraulically or mechanically, contributing to a consistently even finish.

Equipped with large-volume metal tanks, the Solitair can be specified with a choice of a single 4400 litre capacity tank, or a double tank of

5100 litres capacity, with a 40:60 split. Featuring corrosion-resistant components and integrated agitator shaft, a modular metering system offers con-

•Ideal for Cattle Troughs

•High Flow

•Side/Bottom Mount

•Detach to Clean

•Compact/Robust

sistent handling of a wide range of seeds or fertilisers.

The Solitair PT coulter bar incorporates parallelogram-guided, double

•Ideal for Small/Low Demand Troughs

•Low Flow

ve/Below Water Mount

•Built in Check-Valve

fill the main tank with water and start the circulation system, then add milk powder via the side funnel hopper, which is “pulled” into the main body of water while recirculating, to quickly dissolve the powder to create and create a homogenous blend.

Calf rearer Simon Raisbeck, from Ashburton, who raises between 800 and 100 animal each season says the mixing system works well and he is especially pleased with how quickly it mixes a tank full of milk to produce a very consistent blend. “I’m finding its saving me between 15 to 20 minutes a day on mixing times”.

@dairy_news

disc coulters, available as OptiDisc M, with up to 45kg coulter pressure, or OptiDisc H, which is capable of up to 70kg downforce. Coulter pressure can be adjusted mechanically or hydraulically, independently of the seed depth, said to be a key advantage when working in changing soil conditions and at high speeds.

Seed placement can be further improved by a trapeze packer roller, running ahead of the coulters, to ensure optimum seed-to-soil contact, resulting in rapid and even emergence of the crop.

Designed for maximum utility and ease of use, a long drawbar enables tight turns, even when mounted on tractors using wide tyre equipment. Practical options include a leading tyre packer, wheel mark eradicator discs or tractor wheel mark eradicators. – Mark Daniel

•Ideal for Compartment Troughs/Tanks

•High Flow

•Top Mount

•Detach to Clean

•Compact/Robust

The Smart Mixer stationary mixing tank offers an easier and more efficient way to mix calf milk powder.
Lemken’s new Solitair PT is a power harrow/drill combination.

Sterilisation holster up for award

BACK AT the 2022

National Fieldays Innovation Awards, Jade Luxton, then a Year 13 pupil at St Pauls Collegiate School in Hamilton, was taking out a Highly Commended Award in the Young Innovators Category.

Fast forward three years and Jade has recently been nominated as a finalist of the 2025 KiwiNet Research Commercialisation Awards in the Momentum Student Entrepreneur category.

Back in 2022, when most of the Innovations Hub exhibitors seemed to be taking a high-tech approach, a much simpler approach saw St Pauls students Jade Luxton and Ben Allen bring along their Sterineedle idea.

Designed as a holster

for needle-based vaccination guns, the plastic moulded device incorporated an integral reservoir to house a disinfectant solution to sterilise the injection needle each time the gun is replaced in the holster. This helps ensure that vaccinating a large mob is quicker, easier and safer, while removing the risk of disease transfer and the need to constantly change needles.

The clever duo produced the idea when Ben’s grandfather, Linden Hunt, raised the issue of the tedious task of constantly changing needles or finding a way to disinfect them while velveting. This led to a collaboration with Hamilton-based DEA Plastics, who already operated in this field.

Suitable for all types of farming operations and for veterinarians, Ster-

ineedle can be used with an integral clip for belt mounting or can just as

easily be mounted to a race or cattle crush for convenience.

Jade, now a third-year Product Design student at the University of Canterbury (UC), is on a mission to benefit farmers, improve animal health, and inspire the next wave of young innovators.

The school project identified a major gap in livestock vaccination practices – a challenge affecting thousands of farmers across New Zealand, with an estimated 8000 animals dying annually from infections caused by unclean needles, costing the industry $12 million.

In practice, it is suggested that 85% of farmers do not change needles between animals and that 80% of abscesses are linked to dirty needles. The problem leads to animals being rejected at the meat works, affecting both welfare and profit.

Sterineedle is a por-

DRIVING INNOVATION

KIWINET BRINGS New Zealand’s commercialisation sector together to accelerate public research to market, “driving breakthrough innovation, investment, and proven impact for NZ”.

It is made up of 19 New Zealand universities, Crown Research Institutes, and other research organisations, representing 80% of New Zealand’s public research.

Via PreSeed Accelerator funding from MBIE, training and development, expert guidance, and industry connections, KiwiNet empowers commercialisation teams and researchers to drive ideas forwards.

To date, KiwiNet has invested $66 million in PreSeed Accelerator Funding with 88 start-up companies established, and 788 employment opportunities generated or sustained in NZ.

Since 2003, those projects have created over $646m in known revenue to NZ.

Water and effluent can be both a valuable resource and a headache, depending on how they are managed. This special report will examine the latest technology available for efficient water and effluent management.

table holster that sterilises needles in seconds, reduces disease spread, lowers vet costs, and saves time, typically cutting 2.5 hours off vaccinating a 300-strong mob. Unlike costly, wasteful single-use needles, the holster is a practical, sustainable alternative that makes it easier for farmers to protect their livestock.

With growing demand from farmers and interest from retailers, Sterineedle is positioned to become the next musthave product for better animal management in New Zealand.

Sterineedle is a portable holster that sterilises needles in seconds.

Stoll IsoBus – a front loader like no other

STOLL APPEARS to have

become the first frontend loader manufacturer to address the question of ISOBUS for front-end loaders, by designing a new valve configuration for the existing ProfiLine layout that integrates with the Aux N, Tech U and VT channels on an ISOBUS-equipped tractor.

In operation, the Aux N channel connects the loader to the tractor joystick, the Tech U circuit to the engine speed, which is monitored by the loader ECU to adjust oil flow accordingly, while the VT connection allows programming of the loader from the ISOBUS screen.

The configuration means the tractor no longer needs a separate mid-mounted loader valve, rather just power beyond, that features an output for pressure/ return and load sensing.

The set up means there is no need to install a dedicated loader joystick, instead, making use of the tractor’s existing electro-hydraulic joystick.

The development locates of the valves and ECU in the cross tube of the loader - a layout

protected by a patentwith position sensors on the headstock and main pivots to provide data for the lifting and lowering functions.

Available as an option on the ProfiLine FZ loader range, a company source says they expect interest to be in the 120180hp sector, where a livestock farmer can make use of the technol-

ogy on a frequent basis, for jobs like loading diet feeders or fertiliser spreaders.

Installation sees the loader being added to the IsoBus implement menu on the terminal and initiating connection to the joystick. The operator can allocate sequences or functions to the tractor’s joystick buttons to suit their preferences. Once

configured, the main loader screen displays user or tractor profiles, allowing operator preferences to be logged and tractors to be swapped.

One option is the possibility to set an “easy mode” for users who require straightforward loader functions such as third service, float and boom suspension.

A “teach-in” function

load independent lowering speed uses the return oil to adapt the weight of the implement and its load and keeps lowering stable, regardless of load. Meanwhile, setting an upper limit for the loader is said to offer faster working when loading a trailer or prevent collisions in low buildings.

Stoll says that the design of its own bucket, with curved sides, resists sticking, but a “shake” function can be activated for sticky materials, using the deflection of the joystick to determine amplitude.

records a full movement sequence, which can be recalled with a single joystick movement, controlling the lift arm and implement according to preferred settings.

Other options include three levels of joystick sensitivity, end-position damping, adjustable response behaviour for gentle starting and tilt/ crowd action damping. A

A drop-down menu offers a choice of 10 implements, with the ability to save settings for specific tools. In other functions, the clamping force of an implement such as a bale squeeze can be controlled individually by limiting the pressure; electric flow sharing allows the loader to be lifted and the implement to be used at the same time; while after calibration of an implement, weight of the load cab be shown on the terminal.

MARK DANIEL markd@ruralnews.co.nz
The virtual terminal (VT) connection allows programming of the loader from the IsoBus screen. Inset: An upper limit for the loader offers either faster working when loading a trailer or prevent collisions in low buildings.

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