MACHINERY
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Delivering efficient power, reliability and operator comfort. PAGE 35
These are big trials, not studies. PAGE 33
RURALNEWS
NEWS Animal extremists will never be satisfied.
PAGE 7
TO ALL FARMERS, FOR ALL FARMERS
MAY 3, 2016: ISSUE 606
www.ruralnews.co.nz
Alliance faces farmer backlash SUDESH KISSUN sudeshk@ruralnews.co.nz
THE COUNTRY’S biggest meat processor is facing farmer backlash over harsh payment terms imposed on its goods and service providers. In a move that echoes Fonterra’s controversial policy, the Alliance Group is paying vendors 60 days from the end of the month of the invoice. Fonterra drew widespread criticism for a similar policy. A vendor invoicing the co-op this week will have to wait 60 days from the end of this month for payment- almost 90 days after sending the invoice. Federated Farmers South Canterbury Meat and Fibre chairman and Alliance supplier Miles Anderson says “a large number” of shareholders have expressed their disappointment to the board and management at farmer meetings. “We feel that companies who do this are essentially using their trade suppliers as a bank,” he told Rural News. “It’s not necessarily illegal but we feel it’s not ethical.” Alliance general manager strategy Nigel Jones says last year it advised vendors about the change in payment terms, after a review of internal operating processes. “Payment is now made a net 60 days from the end of the month of the invoice,” he told Rural News. “Previously, we had a myriad of payment terms in place and the standardisation was part of a wider programme to improve Alliance Group’s operations.
Miles Anderson
any businesses to adjust their own business practices.” However, transport companies, ferrying livestock from farms to processing plants, raised their concerns directly with farmers. Anderson says farmers have sympathy for transport companies. “We feel they operate on pretty low margins; they have their staff and stuff to pay for.”
“It’s not a good look for our co-op; we, farmers work on paying our contractors on the 20th of each month and there’s no reason why our co-op shouldn’t do the same.” Anderson says farmers were under the impression that the policy was under review after they raised the issue with directors. He says the co-op’s board and management have implemented a
range of great measures to control costs. However, the extended payment term hasn’t gone down well with shareholders. Alliance says the change did not affect farmers who provide livestock to the company. It also denied suggestions that it plans to enter into an exclusive contract with any one transport operator to carry farmers’ livestock.
“These changes sought to bring our goods and services suppliers closer into alignment with our own cash cycle. We pay for stock, incur the costs of processing, but don’t receive revenue from our customers for months. “We gave this matter a great deal of thought and were careful to provide sufficient notice of the change to allow
THE BULL THAT MAKETH THE STEAK Whanganui Angus breeder Lindsay Johnstone breeds bulls and cows that will produce what the market in NZ and overseas want. These prime, tender, mouthwatering Angus steaks were on the lunch menu at a recent field day on bull buying at his father Lin’s farm, near Kai Iwi, west of Wanganui. Lindsay’s own farm is about 10km up the road, but he and Lin work together to produce quality animals that find favour with consumers. More on p27
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RURAL NEWS // MAY 3, 2016
NEWS 3 ISSUE 606 ‘Meltdown’ denied
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PETER BURKE peterb@ruralnews.co.nz
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FEDERATED FARMERS chief executive Graham Smith denies there is any ‘meltdown’ with staff at the organisation. This is despite the quitting of three senior managers in the past six months, including two a few weeks ago and further resignations in the past week in the Feds communications team. Smith told Rural News he’s heard all sorts of rumours about what’s going on at the organisation and says when things like this happen “people will jump to their own conclusions”. “The reality is that we, as an organisation, are focused on improving our capability. In a competitive environment we have to deliver a good set of capabilities, products and services to our members and we are focused on that.” Smith says if they get it wrong occasionally it is his responsibility. What will happen now is unclear, including the likelihood of more staff leaving. Smith says Feds will create a position of general manager policy and advocacy, but he is non-committal about appointing a general manager of strategic communications, a position of ten year standing.
“The comm’s team is important to Federated Farmers. It’s one of the key ways we... get out our stories and all the great things that go on. Whatever we do, we will have senior comm’s people working in our comm’s department; whether we call someone GM of comm’s, that’s to be decided.” Also unclear is where future senior managers will be located. The acting policy manager and the chief financial officer now work in Hamilton. Smith also lives there and commutes to Wellington. Rural News is aware of concern among some members about the growth and a perceived shifting of the ‘power base’ away from Wellington to Hamilton. Also on Feds directors minds will be membership. The depressed prices will make a subscription to Feds a discretionary spend for some farmers, and the cost of appointing new staff and sorting out a new structure will weigh on their minds. But despite these problems Smith is upbeat. “You need only look at all the great things people are doing in Feds,” he says. “For example, in the last 12 months we have established a national water team and another team to deal with health and safety. They have all done excellent work and the term ‘meltdown’ is not one I’d use.”
GOVERNANCE REVIEW CLOSER TO FRUITION SUDESH KISSUN
POSTAL ADDRESS PO Box 331100, Takapuna, Auckland 0740 Published by: Rural News Group Printed by: PMP Print CONTACTS Editorial: editor@ruralnews.co.nz Advertising material: davef@ruralnews.co.nz Rural News online: www.ruralnews.co.nz Subscriptions: subsrndn@ruralnews.co.nz ABC audited circulation 81,004 as at 30.06.2015
WHANGAREI AND Dargaville tractor and machinery firm Power Farming Northland recently held a ‘Stockies, cockies and growers’ fishing contest out of picturesque Whangaroa Harbour. Climaxing the harvest season as a ‘thank you’ to its customers – many in dairying ‘feeling some pain’ – the event got them off their farms for two days. Twenty-four boats and 100 experienced and not-so-experienced anglers entered, the weather was good and some decent fish were weighed in at the daily prize-giving each evening at the Whangaroa Sport Fishing Club. Taking away the main prize was Tony Riddle, Whangarei, who landed a striped marlin tipping the scales at 148.2kg on the boat Viagra. A touch of glamour came with an allgirl crew on HQ, skippered by local contractor Greg Sowray. Not to be outdone by the locals, the product specialists team from Power Farming’s head office in Morrinsville hooked up some good looking kingfish for the long trip south. – Mark Daniel
sudeshk@ruralnews.co.nz
FONTERRA DIRECTORS have completed a second round of meeting with shareholders on proposed changes to its leadership structure. Last week, over 200 shed meetings were also held by Fonterra Shareholders Council to get farmer feedback. The review committee will discuss farmer feedback before putting a proposal to the Fonterra board and the Shareholders Council; a final proposal could be put to farmers for voting in late May. Fonterra director Michael Spaans held seven meetings with shareholders, says overall there is good support for changes proposed for its leadership structure.
Speaking after taking part in six farmer meetings between Northland and Waikato, Spaans said farmers recognise the better processes and outcomes proposed by the review. He says the proposed cut in director numbers from 13 to 11 was barely raised at the meetings he attended. “There were one or two questions on why couldn’t we keep it at 13; one or two raised the possibility of reducing the number further,” he says. “We explained [the numbers were needed because] of our unique regulatory requirements like the milk price panel and the general workload of directors.” Spaans was joined at the meetings by Fonterra Shareholders Council deputy chairman Greg Kirkwood. On average 30 farmers attended each meeting.
He says while many farmers lacked time to think about the proposal, mailed out on April 13, lots asked questions and gave feedback. “If we pursue those changes we will need 75% support at a special meeting and that is a big hurdle.” Former Shareholders Council chairman Ian Brown, who held farmer meetings in Southland and Otago, refers to “good questions” on the board numbers and composition. Brown says overall there was support for evolving the governance and representation of the co-op from “where we are today”. Also attending the meetings was John Monaghan, standing in for chairman John Wilson, in China on the Prime Minister’s trade delegation. Brown says Monaghan’s presence was a great example of the varied workload of directors.
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RURAL NEWS // MAY 3, 2016
4 NEWS
Turning the useless into useful sudeshk@ruralnews.co.nz
DEPUTY PRIME Minister Bill English says more needs to be done to get young people off the dole. English says while the Government has been addressing the problem by working with the agriculture sector, there are still too many on the welfare roll. He told Rural News the Government was getting more young New Zealanders to the starting line with higher
achievement levels. “This is being achieved because we are measuring that at schools. “We are then working with industry to achieve a clearer pathway into further training and into work. We now have the lowest number of young people not in education, employment or training. However, there still too many (unemployed young people) on our welfare rolls.” English was elaborating on comments he made
at a recent Federated Farmers meeting about beneficiaries reluctant to work. The comments, recorded by a Labour MP present at the meeting, quoted him saying many people seeking jobs through the Ministry of Social Development did not show up or stay with the job. “A lot of the Kiwis that are meant to be available [for farm work] are pretty damned hopeless. They won’t show up. You can’t rely on them,” he said.
FONTERRA’S PERFORMANCE UNDER BLOWTORCH ON FONTERRA’S performance, Bill English says during a downturn there is always a temptation to blame; however that’s a product of world supply. “You can’t expect Fonterra to be setting the world price.” He is confident that whatever Fonterra is discussing with its shareholders it is helping farmers maintain a cohesive and confident view of the future. Fonterra is expecting milk production to be lower by 4% this season. English says this allows the co-op to focus on its volume-to-value strategy. More milk is going into higher value products. Shareholders and the Government
would like to think more could have happened sooner, English says. “But Fonterra has had to deal with this big surge in production over recent years so they are now well geared up with the right attitude to push more volume into high value added products. “In five years that’s how farmers will judge them: on how the co-op has succeeded in turning more milk into high value products.” However, English notes that higher value added products would always be risky investments; Fonterra’s product range will always be underpinned by a base load of competitive production of milk powder commodity type products.
“But we can’t leave that problem unsolved, which is in the long run your problem as well as ours,” he told farmers. English told Rural News the Government would work individually with them so they are able to do work. English may raise the issue at this month’s DairyNZ Farmers Forum in Hamilton, where he is a headline speaker. He is expected to tell about 700 farmers to readjust, stick with your banks and keep supporting your dairy company; things will come right. “They’re in a tough patch lasting longer than people expected but they are adapting pretty well in the short term,” he says “We see an industry doing the things they need to do; farmers are not just sitting around complaining. Dairy farmers are addressing problems in cost structures… and so far have convinced their financiers to back them.” The Government shares the industry’s confidence in its long term future. Dairying will bounce back, he says. “There are bound to
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be farmers who have to make short term decisions under a bit of pressure. “We would expect that when the industry has had a good run for so long there would be a build of costs and debt. “As long as they readjust and the banks stick with them and they continue to support their dairy company, we think it will come right. We think they will be there to benefit when it comes right.” The Government is keen to see farmers and banks stick together; they have good reasons to do so. “The farmers can see a long term future and they need to persuade the banks they will be profitable customers in the future,” says English. “The banks’ interest is that they don’t act in a way that reduces equity in farms to the point where it represents a risk to the debt.” The Government checks in with banks regularly about their view of the dairy industry; banks are seen by the Government as cautious but positive. @rural_news facebook.com/ruralnews
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CHINESE TRIP A BOOST FOR AG EXPORTS PETER BURKE peterb?@ruralnews.co.nz
THE UPSURGE in Chinese tourists visiting New Zealand will help boost demand for NZ products there. So says Primary Industries Minister Nathan Guy, who recently visited China on a large trade mission led by Prime Minister John Key. Agreements signed during the week-long mission will ultimately see more NZ food products going there. Notably, MPI and the China Certification and Accreditation Administration agreed to the Chinese recognising NZ’s halal certification regime. “We are the first country to have our halal standards certified; 33% of our halal certified exports go to China – about 77,000 tonnes,” Guy says. “There are 20 million Muslims in China and this arrangement will give us a competitive advantage.” Another breakthough is a high-level agreement allowing NZ chilled meat into China. ‘Technical’ issues are still to be resolved by officials of both nations, but Guy hopes this will soon be sorted. NZ now exports only frozen meat to China. “China is our largest market by volume for sheepmeat and the second for value at $730m,” Guy says. “Beef also has huge potential. This opens the way for us to get chilled meat into high-end restaurants and supermarkets and that’s exciting.” Alliance Meat Group and Zespri also signed deals. Guy says China is now NZ’s second-largest source of tourists -- just behind Australia -- and will soon be the largest. Chinese tourists coming here get a taste of NZ food, “and they are all, in effect, ambassadors,” Guy told Rural News. “So once they have spent time in NZ – as tourists or English language students – they go back to China and are effectively salespeople for NZ. It’s our blue skies, fantastic environment and food – all underpinned by our world leading food safety systems. “They go back and talk up NZ... and that helps us get our premium products into this lucrative market. Also important, there are 250 million to 300m middle class people in China -- expected to increase by 150m in the next 10 years, again in NZ’s favour.” Guy says it is very hard to ascertain the size of the dairy stockpile in China, but Chinese officials believe things will be better next year.
RURAL NEWS // MAY 3, 2016
NEWS 5
Only slight dairy improvement predicted peterb@ruralnews.co.nz
NO SIGNIFICANT rise in dairy prices next year. That’s the prediction of Ian Proudfoot, KPMG’s global head of agribusiness. He told Rural News he sees himself as a realist and says at the moment there is no indication that milk supply from any region will reduce dramatically in the next year. As a consequence we can expect the supply position to continue and he doesn’t see prices recovering significantly, although he believes they will go up. “The event which would cause any rebalancing upwards quickly would be a drought or a biosecurity event in one of the major dairy production regions around the world. You’d have to say we haven’t had an event of any magnitude for a couple of years,” he says. “Agriculture is cyclical and an event will happen at some point but whether it happens this year, the year after or the year after that we don’t know.” Proudfoot believes farmers in the US are not experiencing the same economic pain as farmers
in New Zealand and Europe because the price of corn – the main feed for dairy cows in the US – is low. He adds that there are downsides to European farmers being encouraged to reduce production to help them deal with the crisis. “While it’s costing them money to produce, it would be more expensive not to produce given that they have invested a lot of money in new processing equipment,” Proudfoot explains. “Therefore they need the volume to cover the marginal costs of operating that plant so it makes sense to carry on producing milk, which of course has price implications.” He says the fundamentals of the future of dairying haven’t changed and long term forecasts suggest that demand will steadily rise. But Proudfoot says there will need to be a rebalancing of the market and it’s important for the NZ dairy industry to focus on lowering production costs and increasing the volume of value add consumer products. “The more we can do to break that link to commodities and the cyclical nature of
commodity prices, and the more we can put into consumer products, the better. We all know the price of dairy products at supermarkets hasn’t really come down, therefore the more you have in consumer products the better the protection.” In the next year,
Proudfoot is predicting the farmgate milk price will reach the mid $4 mark, which he says will mean more farmers will be able to break even or not suffer the losses they are currently experiencing. He says while the present crisis is painful,
long term the sector will benefit as farmers focus on running their businesses more profitability.
KPMG’s Ian Proudfoot is predicting no significant rise in dairy prices this year and only as light improvement next.
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RURAL NEWS // MAY 3, 2016
6 NEWS
Controversial water scheme moves a step forward PLANS TO build a controversial irrigation scheme and dam in the Hawkes Bay has progressed another step forward. The Hawke’s Bay Regional Investment Company Ltd says it has now secured enough water user agreements to proceed to finalisation of the Ruataniwha Scheme. Chief executive Andrew Newman advised Hawke’s Bay Regional Council, last week, that the company has 196 water user agreements signed or confirmed and several more at advanced negotiation as well as call options for water user agreements. The aggregate number between contracted water, water under negotiation and water in call options is 48.5 million cubic metres. Newman says the total water contracted is 42.8 million m3 – which is in excess of the formal HBRC Condition Precedent. “We have a high degree of confidence in closing the
agreements that are still in negotiation, and about the call options. A figure of 50 million cubic metres of water is now a realistic target by June,” he says. Newman adds that 8.4 million m3 of deep water is contracted, which he claims will take the pressure off the aquifer and bring environmental benefits. “HBRIC Ltd has seen an increased momentum in the take up of agreements in the last three weeks, which went from 161 to 196. This is also leading
to a greater number of external parties firmly indicating their intention to enter the area. “Overall, the Central Hawke’s Bay community has unequivocally demonstrated its commitment to and desire to see the Ruataniwha water storage scheme go ahead. The landowners and businesses can see the long term benefits of having more water available for both the environment and the economy,” Newman says. He believes that livestock and arable farming are emerging
as the most likely land use, including some high value cropping, while dairy uptake is as expected with water supply from the scheme improving production reliability. Permanent horticulture and viticulture will evolve as part of the land use mix. HBRIC Ltd says its next steps will be to lift the water contracted number. It adds that other investors will need to confirm their commitment before the path is clear to move to the construction phase. However, not all will welcome the news of the schemes progression. A peculiar collaboration of environmental groups, some regional councillors, left and right wing political agitators have all been campaigning vehemently against the proposed dam and irrigation scheme. @rural_news
GET INVOLVED! FEDERATED FARMERS is urging farmers to get involved in this year’s local body elections. Feds local government spokeswoman Katie Milne says local body elections are important for farming on many levels. She is encouraging farmers to make their voices heard. “It is crucial that farmers get involved in holding their councils to account. This includes being engaged on the issues and when the time comes making an informed vote. “It’s also important that we get good candidates, including farmers and other business-minded people, to stand for election,” she says. “It’s a challenging role, but farmers can make a difference on councils as it enables them to inform and educate other councillors about what happens onfarm, which is crucial for getting sensible, workable outcomes.” Milne says the funding of local government by property value based rates has a big impact on farms’ financial viability. “The average farm now pays well over $10,000 per year in rates, which are often in the top half dozen farm expenses. As rates are a fixed cost, there is no way for farms to cut back, short of selling up, during downturns like the current one,” she says. Milne says an important council function is to manage natural resources including water, land and air. “The development and implementation of regional plans and policies can and does have huge impacts on the way farms are run. “Farmers are also exposed to other council regulation like building and dog control, and bylaws for things like stock crossings and stock movement across and along roads. ” Local body elections will be on October 8, 2016.
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RURAL NEWS // MAY 3, 2016
NEWS 7
Animal extremists will never be satisfied PAM TIPA pamelat@ruralnews.co.nz
LIVESTOCK FARMERS will never be able to satisfy “extremists” such as SAFE because they are opposed completely to animal farming, says NZPork chairman Ian Carter. He was responding to criticism by SAFE about MPI approving continued use of farrowing crates for sows to give birth and suckle piglets. Carter says the system is the safest developed so far for the mother and her young. It prevents piglets from being killed, among other advantages. The New Zealand industry is running a world leading trial to reduce confinement of sows, but has not so far developed a better system. Carter says he takes a harsh view of “extremists” such as SAFE. “They will never agree with what we do because they are opposed to any animal farming. Any position where we
farm animals, they don’t agree with. I can’t meet their needs,” Carter told Rural News. “My responsibility as a farmer is to feed 80-90% of the world that wants to consume my product and make sure their needs are met.” Some have conflicting needs and the farmer has to weigh these up and make decisions. “We also have to produce something a consumer can afford. Producing something outside the realms of the consumer’s budget is not sustainable either. “There’s a continual balancing act and we are frustrated that 60% of pork consumed in NZ is imported [from countries] that don’t have to meet any of our welfare standards. “What our consumers are saying is ‘we question what you do but at the end of the day we purchase... the cheapest product’.” NZPork doesn’t agree with that and
“From a farmer’s peris trying to educate the spective and the indusconsumer to say ‘hey, we try’s perspective we do things well, we look can’t focus solely on one after animals, we proanimal; we have to look vide these animals with after newborns as well. the opportunity to have “We know the sow’s a life and do a good job welfare needs. She is of that so that you guys looking for protection can have high quality and food she doesn’t food’. NZPork chair Ian Carter have to forage for when Carter says people says farrowing crates are the safest way to keep both her primary objective is like SAFE, who claim pig and piglets safe. to look after her offspring to be animal welfarists, are actually animal rights activists and in large numbers. She wants warmth and shelter. don’t agree with any of this rationale. “We have developed an effective “They want all our animals running wild; that isn’t sustainable either. We way to do that; we know she spends know what rabbits are like when they 80% of her time lying down through hold no value for humans; they breed that period. She spends almost every and run rampant and become a pest. hour of the day feeding her piglets and That’s what all our other animals would their demands are high. “Even in a free-farmed environbecome.” The farrowing system in the pig ment these animals still spend 80% industry is the safest developed so far of their time lying down trying to look for the sow and her piglets, says Carter. after their piglets.”
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All animals have maternal instincts and will protect their young. “Our sows are very maternal and potentially become aggressive looking after their piglets. The last thing any mother wants to do is kill her babies. We can demonstrate that the system we developed for these sows gives them the best welfare because they kill fewer piglets.” The sows can kill piglets accidentally by lying on them. If they have 15-16 piglets under their legs wanting to suckle and the sow tries to lie down, it is challenging to know where they all are. “We know with every other system more new-born piglets die. We have put a lot of research into alternative systems and we still are. We have one of the biggest trials in the world on reducing the confinement of the sow. Any alternative system appears to be better for the sow, but it kills more piglets.” • New animal welfare regulations out for consultation page 30
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RURAL NEWS // MAY 3, 2016
NEWS 9
Lincoln’s new man on top NIGEL MALTHUS
THE NEW chancellor of Lincoln University impresses as practical and forward-thinking, the kind of man who gets things done. Meeting Rural News at his home, a small farm in North Canterbury, Tony Hall proudly shows off his latest innovation, a large 10kW solar power array mounted in a paddock near the house. He pulls out his smartphone to demonstrate the system’s online interface. On an autumn morning, with the sun still low and shadows on several of the panels, it is already producing about 4kW. Hall investigated going solar five years ago, and again three years ago, but found the economics did not add up. Now they do, he says. “The payback period will be quite short. The return on investment will be something like 6-7%, I think. Compare that with having the money in the bank.” The system went in only last Christmas. Hall says battery technology is not yet up to the task of storing the energy, but most of the output heats a swimming pool in summer and will
New chancellor of Lincoln University Tony Hall.
heat the house in winter; the rest is exported back to the grid. Home for Hall is an 8ha farm near Waikuku, North Canterbury, the house up a long drive shaded by mature trees. Further windbreaks of large trees stand around the property, where a small mob of sheep graze – the farm produces about 80 lambs a year – and a couple of brown hens peck about a paddock near the house. “We came here in 1982. And there wasn’t a tree on the place,” Hall said.
“So every tree you see, including all the big tall shelter-belts – we planted every one of those from twigs.” Hall talks enthusiastically about Lincoln University, but not so much about family. He allows only that he again has the support of a partner, following the death of his wife about six years ago, and that the property is a summer haven for grandchildren. Involved with farming his whole life, Hall is active in various governance roles in education, business and sport.
He was awarded the Member of the New Zealand Order of Merit in 2007 for services to the community. Formerly pro-chancellor of Lincoln University, he was recently voted in as chancellor on the retirement of Tom Lambie. He has taken over at time when he believes Lincoln has a bright future, about to embark on the Lincoln Hub project and with enrolments fast recovering from the disruption of the earthquakes. Hall says student numbers are up 13% for 2016, despite Ministry of Education expectations of static numbers. “If you just take our core subjects, land-based stuff, the ag-science programmes – those numbers have increased 96% since 2010.” His theory is that Christchurch students, who were in their last years of school at the time of the quakes, just wanted to get away; but their younger siblings are used to the city’s postquake reality so are happy to enrol at local institutions. Overseas students are also back after a sharp exodus. Lincoln has yet to finalise all its quake insurance claims, but the silver lining to those delays is that the rebuilding can now dovetail into the
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big Lincoln Hub redevelopment, now well into its planning stages. It is an exciting time to be in charge, says Hall. The Hub project is largely driven by AgResearch’s Future Footprint plan to move away from its Invermay and Ruakura research centres and instead develop two new hubs with Massey University – centred on food technology – and Lincoln University, centred on farming practices. Lincoln University and AgResearch will be joined over time by Plant & Food Research, Landcare Research and industry partners such as DairyNZ, Fonterra and others, in a joint campus with symbiotic advantages for all. Hall says there are also good reasons why Lincoln and Canterbury universities should collaborate closely. “Their specialist area is engineering and they know a lot about water management, the engineering and hydrology, those sorts of things – whereas our expertise is in growing things. “So there’s a lot of collaboration around that. We’ve got joint degrees, for instance in resilience and disaster management, which came out of the earthquakes.”
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RURAL NEWS // MAY 3, 2016
10 NEWS
Alltech adds Keenan to its stable HOT ON the heels of Keenan Systems calling in the administrators comes news that animal health company Alltech has bought the business, making the Irish ag equipment manufacturer its fourteenth acquisition since 2011. Alltech is an American
company known for improving the health and performance of people, animals and plants through nutrition and scientific innovation – particularly yeastbased technology, nutrigenomics and algae. Privately owned, the company
is led by its founder and president Pearse Lyons. “Between Alltech’s primacy in science and Keenan’s manufacturing strength and technical knowhow, we [can deliver] greater farm efficiencies,” Lyons says. However, Keenan System’s
creditors look set to lose: the Alltech deal was less than Euro 11 million. Keenan went into receivership in April owing about Euro 14 million, at least half to its main lender the Bank of Ireland. – Mark Daniel
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DUCK SHOOTERS and landholders are being assured the new workplace safety laws will not mess with the shooting season that opens next week. The 2016 game bird hunting season runs from May 7 to August 31 for some species. Federated Farmers and Fish & Game say they have worked together to satisfy both groups. Some 40,000 hunters nationwide are known to point shotguns skyward in this season, but some are said to be wondering whether new workplace safety laws could restrict customary access to hunting spots on farm dams and waterways. And farmers and landowners have pondered whether to re-think the property access they have previously granted recreational users. But Fish & Game is telling farmers and hunters the new laws will not affect recreational use. “Fish & Game and Federated Farmers worked together to make sure recreational access to farms wasn’t affected by the law changes,” says communications manager Don Rood. “Both organisations recognise the value of such access and so did the parliamentary select committee considering the draft legislation. The result is that Parliament has safeguarded access for anglers, hunters and trampers.” Rood says the MPs’ decision to protect recreation preserves a long and treasured tradition of access to the outdoors through farms and forests. “This access has long helped foster positive links between urban and rural people.” Fish & Game says its work with Federated Farmers on the issue has dispelled rumour and speculation over the new laws. “The new Health and Safety at Work Act clarifies that a farmer’s responsibility for any risk on their farmland does not extend to recreational users – except when work is being done on that particular part of the farm at the time,” Rood says. “This defuses fears that recreational users would need detailed safety briefings from farmers and to fill in paperwork every time they wanted to go onto a farm.” He says Fish & Game is happy to help hunters and farmers wanting clarification of the law, but he says it does not give hunters the right to roam at will over farms without permission. “Our licence holders should still exercise common courtesy and talk to farmers and get permission to cross their land or hunt on a farm’s dams and wetlands. And while you are talking to them, it makes sense to ask about any risks at the same time,” Rood says. “The law takes a dim view of illegal hunting and Fish & Game supports tough action against any poacher.”
RURAL NEWS // MAY 3, 2016
NEWS 11
Fluoridation changes backed Philippa Wright
WOOL NEEDS A HARD SELL PETER BURKE peterb@ruralnews.co.nz
THE WOOL industry globally needs to more actively promote the fibre’s attributes and explain to the public the reasons for some farming practices, which people perceive are not in the best interests of sheep. That’s the view of Hawkes Bay wool broker Philippa Wright, just home from the International Wool Textile Organisation (IWTO) congress in Sydney attended by nearly 500 delegates from 23 countries. She says delegates were concerned about the worldwide decline in sheep numbers, but were also optimistic about the future of wool and consumers’ recognition of its attributes. “The feeling was that wool is almost on the cusp of a breakthrough with consumers,” she told Rural News. “It’s ticking all the boxes of what the consumer is calling for, such as being environmentally sustainable. Consumers are becoming educated and much more picky about what they choose to wear. They want to know where everything comes from and more information about the whole process of wool from farm to retail outlet,” she says. But Wright believes there are big issues for the industry to address, for example, farming practices such as muelsing, which is seen as cruel. She says even shearing is seen as a problem. “A lot of people still think that if you shear a sheep it dies. We need to tell consumers that the sheep grows wool to keep warm in winter and protect it from
bugs and disease,” she explains. “The reason the sheep grows wool is to protect it, that if you don’t shear the sheep it will become overloaded with wool, which is heavy and hot, and that it has a much greater risk of suffering from flystrike which is terrible. “The same applies to muelsing. Animal health is a huge issue, but we have to be more honest and get the message out properly rather than have people attack us and create stories that are untrue.” Wright says New Zealand and the other major farming countries have nothing to be embarrassed about because everything they do is for a reason and 90% of farmers treat their stock well. She says we all know that if you have a healthy sheep you make more money. The international campaign for wool which Wright has been involved in has gained a lot of traction in the UK and Europe. Research is showing that companies want to align themselves with the wool brand and that wool has become a positive talking point. But experts are saying the message needs to get out to a wider audience. “One marketing guru said he’d been at the congress for three days and that it was all great, but we were talking to each other and telling each other how great wool is. We need to tell the same story to the consumer and make them realise the value of wool and its benefits to them,” this man said. Wright says there is a great story to tell about wool, whereas its competitors have to make up a story or use science to create the same thing.
the claims and counter claims about the safety and efficacy of fluoridation and that this decision would be better made under the auspices of health authorities,” Dr Scott-Jones said. “Rural communities and their local councils [now] make judgements on the validity or otherwise of complex research about the value of fluoride and claims of potential harm. “The threat of litigation and confusing information presented leads many smaller rural communities to either avoid the debate altogether, or to change policy from time to time. As a consequence, many smaller
THE RURAL Health Alliance Aotearoa New Zealand (RHANZ) says it supports Government moves to give district health boards the responsibility for deciding whether to add fluoride to water. RHANZ has 40 member organisations all interested in the health and wellbeing of rural communities. RHANZ chair Dr Jo Scott-Jones has applauded the Health Minister Jonathon Coleman’s proposal for changes to legislation to enable district health boards to decide about fluoride. “It is clear that health authorities have the scientific capability to properly assess
rural communities do not have the opportunity to benefit from fluoridation,” he said. Scott-Jones said RHANZ’s local authority members had asked the organisation to support the request that the Government amend legislation to empower health authorities to make this decision. “We are pleased to report wide support amongst our members for this change. We look forward to the opportunity to supporting the process of legislative change in the near future.” Scott-Jones says fluoridation is a public health issue that is of key importance to small rural communities.
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RURAL NEWS // MAY 3, 2016
12 NEWS
Genetics could help combat FE SUDESH KISSUN sudeshk@ruralnews.co.nz
Phil Beatson
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AN OUTBREAK of facial eczema (FE) on the West Coast is driving home
the need for FE-tolerant genetics, according to a farmer. Andrew Bruning and Tracey Herrick are first year dairy farming in
Karamea, where the whole district has been hit hard with FE -- unusual for the area, Bruning says. They milk 180 cows, mainly Friesian with some crossbred; a quarter of the herd have clinical symptoms of FE. Bruning believes the rest of the herd is suffering with subclinical symptoms. They have culled ten cows, dried off 20 and switched to once-a-day milking 15 that are less affected. “We are hit really hard with facial eczema,” he says. “The whole district is and our whole herd is affected. The emotional side of seeing our cows suffering with facial eczema is just as distressing as the financial loss. It’s a cruel disease.” With advice from vets, they have dosed the herd with Zincmax+ nutrition supplement sold by SealesWinslow and are applying zinc cream to the cows’ teats. Herrick says she read of an eastern Bay of Plenty farmer, Richard Sisam, speaking in support of FEtolerant genetics. Over 1700 of Sisam’s heifers over two generations from CRV Ambreed’s FE breeding programme were showing FE tolerance and he considered these genetics essential. Sisam’s initial faith in FE-tolerant genetics came from years of successfully using such genetics for sheep. This has motivated Bruning and Herrick to start using FE genetics in their herd this year. As a start, they have chosen to use FE genetics across half the herd for their next
matings. CRV Ambreed’s R&D manager Phil Beatson told Rural News that FE outbreaks in the past were minor and confined to the top of the South Island; but this year a surge in FE had reached south to Grey Valley, on the West Coast. He says it is hard to ascertain what is causing the FE outbreak; marginal rise in temperature and ideal moisture levels could be to blame. With global warming tipped to rise, more NZ farms could become susceptible. CRV Ambreed’s FEtolerant genetics could help farmers combat outbreaks. “With climate change, this problem is going to get worse,” Beatson says. “As an industry we can’t rely on short-term measures to treat FE. This is already a huge economic and animal welfare issue and genetics provides a long-term solution.” Using CRV Ambreed’s current FE-tolerant sires will typically breed offspring 30% less reactive to FE challenge, compared to the average bull. But as the sheep industry has proven, targeted genetics must be a farming technique year-on-year to stem the disease. The usual way to treat FE now is by dosing animals with zinc, but Beatson’s concern is that zinc, as a heavy metal, will go back into the environment and may end up in the food chain. Genetics is safe, environmentally sustainable and economical, he says. “Genetics will not guarantee a solution, but it will breed tolerance.”
WHAT’S FE? FACIAL ECZEMA is harmful to animals and extremely stressful for farmers when their animals are affected. It is caused by a toxin (sporisdesim) produced by the spores of the fungus Pithomyces chartarum growing on pasture. The fungus grows in the dead litter at the base of pasture in warm moist conditions, and when ingested by cattle or sheep it damages the liver and bile ducts. Higher humidity has increased the number of toxic spores in pasture this year, resulting in a spike in the number of FE cases this season.
RURAL NEWS // MAY 3, 2016
NEWS 13
Report highlights ag’s climate change challenges PAM TIPA pamelat@ruralnews.co.nz
SELECTIVE BREEDING of cattle and sheep and adjusting rumen biology will help reduce greenhouse gas emissions, says the Royal Society of New Zealand in a report last week. But significantly reducing agricultural emissions “will be challenging unless we reduce our reliance on animal protein production from meat and milk,” it also says. The report, ‘Transition to a lowcarbon economy for New Zealand’, was written by a panel of NZ experts chaired by Professor Ralph Sims, and was launched in Wellington last Wednesday, supported by the co-chair of the mitigation working group of the Intergovernmental Panel on Climate Change, professor Jim Skea. Sims says one of the challenges for NZ is our high level of emissions from agriculture, which accounts for about half of NZ’s gross greenhouse gas emissions. These are mainly methane belched by farm animals and nitrous oxide from animal waste, he says. The report covered all sectors and said there are actions NZ can and should take now to reduce the threat of climate change. Business-as-usual approaches will not get us where we need to be; ambitious action is needed now by all NZers, says Sims. “Significantly reducing agricultural emissions will be challenging unless we reduce our reliance on animal protein production from meat and milk, but emissions could be reduced by
adopting ‘best practices’, selectively breeding cattle and sheep and adjusting rumen biology to reduce emissions.” Planting new forests in unforested areas is a practical method to remove large volumes of carbon dioxide from the atmosphere in the short-medium term, the report says. “But it should not be viewed as an alternative to reducing emissions in other areas, as there are limits to how many forests can be planted due to the availability of suitable land. It is an effective strategy in the short-medium term while other sectors transition to low-carbon technologies,” Sims says. Key findings of the report for the agricultural sector are: ■■ Direct emissions from agriculture make up almost half of NZ’s gross greenhouse gas emissions ■■ Emissions per unit of product (or emissions intensity) have fallen consistently over the past two decades owing to increased productivity per animal and improved energy efficiency of farm enterprises, showing it is feasible to reduce GHG emissions if increased productivity were to be counterbalanced by decreased animal numbers such that food production is maintained ■■ Nonetheless, absolute emissions have grown because of an increase in total production, largely due to increased use of land for dairy farming and its more intensive management ■■ Further productivity increases will reduce future emissions
The report concedes that one of the challenges for NZ is the high level of emissions from agriculture, which accounts for around half of the country’s greenhouse gas outputs.
intensity further, but absolute emissions will continue to rise in the absence of significant policy change or permanent depression of commodity prices While there are mitigation options that can be used now, most only result in small additional GHG emission reductions above business-as-usual trends for current agricultural and horticultural systems. Some may also offer significant co-benefits such as improved water quality and more efficient water use Research on, and investment in, new mitigation technologies to address, specifically, the formation of methane in the rumen and the decomposition of animal excreta in soils, offers the potential for significant future emission reductions. However, even with such technologies being developed and deployed widely, it appears difficult to reduce total onfarm emissions below recent levels if production continues to increase strongly, as projected in business-as-usual scenarios Exploration of alternative land uses to reduce GHG emissions from the agriculture sector and taking into account climate change and carbon constraints as well as other economic, social and environmental objectives, would have a major impact on reducing emissions in the long term, and is essential if NZ wishes to reduce agricultural emissions below 1990 levels by mid-century.
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RURAL NEWS // MAY 3, 2016
14 NEWS
Three times lucky for Golden Fleece winner NIGEL MALTHUS
TEKAPO FARMER Martin Murray can claim the country’s best fleece for 2016, having won the Royal Agricultural Society Golden Fleece competition on his third attempt. Entered in the fine fleece category, his 18.8micron Merino fleece was scored at a hard-tobetter 99 out of 100. All the more remarkable, in a competition where fleece weight is one of the criteria, for having come from a hogget and being blade-shorn – which leaves more wool on the animal. It’s the first time a hogget fleece has won the overall Golden Fleece title. Murray runs about 5500 Merinos on his
4500ha Maryburn Station, having converted from halfbreeds about 1995. His fleeces have won at the Mackenzie Show three years running, but this is his first success at what is effectively the national title. Just as proud a winner was blade shearer Steve Bool, of Mike Bool Shearers, who had shorn the winning fleece and accompanied Murray to the event. Run by the Royal Agricultural Society, the Golden Fleece Exhibition is in its 46th year, hosted by various A&P associations on a two-year tenure. This was Oxford’s second year and in 2017 the event will go to Wanaka. This year was the first time black and coloured wools were included, the
top fleece in that category coming from JD and ML Stewart, of Rakaia. Rachel Humphrey of Feilding won the strong wool category, scoring 96 for a Romney hogget fleece. RAS chief executive Debbie Cameron said all events so far have been held in the South Island, being what she called the “stronghold” of New Zealand’s wool production. “It’s always been that way, while we’ve always had North Island fleeces and it’s great to actually see some of the North Island fleeces taking out top prizes. It shows that they can do it,” she told Rural News. Cameron said the event was growing. Oxford attracted about 170 fleeces last year and at least 190 this year. She
says top fleeces often scored 96 or 97, but Martin Murray’s winning fleece had to have been “exceptional” to get 99. PGG Wrightson wool procurement manager Rob Cochrane, a judge in the strong wools section, says the standard was “generally, very, very good,” particularly in fine wools. He says in the strong wool section, there were some exceptionally good fleeces but others were “dusty”, obviously showing the effects of a couple of hard, drought years. “You see quite a lot of dirt in the tips [of the fibres], and that’s really because there’s been little grass and lots of dust blowing around. But that doesn’t affect the fleece itself and the fibre. It’ll still scour out.
Golden Fleece winner Martin Murray (left) with blade shearer Steve Bool who clipped the winning fleece.
But some of the fleeces are probably not quite as good as they can be, or have been in the past.” Meanwhile, Cochrane believes the wool industry is in a better shape now than in 10 years. “The number of sheep has come down,
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as the dairy industry has grown. So there are fewer sheep and the quality of the sheep that are left is pretty good. “In the past, we have often had stockpiles of wool that’s been unsold, whether it belongs to the grower or a merchant or exporter. We haven’t got
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that anymore,” he says. “The only threat to the sheep industry is that the meat value is not high enough. If the meat value grows and wool carries on where it is now, that combination is pretty good.” @rural_news facebook.com/ruralnews
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RURAL NEWS // MAY 3, 2016
NEWS 15
New China strategy for Zespri PAM TIPA pamelat@ruralnews.co.nz
A NEW China strategy that will treble staff there, push into new markets and investigate growing kiwifruit in China has been launched by Zespri. Chief executive Lain Jager says Prime Minister John Key’s official launch of the 2016 season in Shanghai, on his visit to China last month, was a great start to what is set to be a recordbreaking season. China is poised to be Zespri’s number-one market by volume this season, likely to achieve about 21% of all sales. “We anticipate sales of around 24 million trays in 2016, up about onethird from the 18 million trays sold last season,” says Jager. Zespri will expand to five representative offices in-market, increasing staff numbers from 25 to 90 over the next three years and joining with local partners to investigate growing Zespri kiwifruit in China as part of its 12-month global supply strategy. Zespri also plans to broaden its
distribution and sales from tier 1 and 2 Chinese cities and the eastern seaboard, expanding inland into other large provincial cities and more tier 2 and tier 3 cities. “This expansion will be supported by new regional offices opening this year in Guangzhou, Xian and Chongqing and our in-market staff numbers are set to treble over the next few years,” says Jager. “Zespri is one of the top fruit brands in the cities where we sell and
we’ll continue to invest strongly in marketing again this year to introduce more consumers to our premium product and build returns to our grower-shareholders.” Zespri will also investigate the feasibility of growing Zespri Kiwifruit in China as part of its 12-month global supply strategy. Zespri sources premium kiwifruit from the northern hemisphere where New Zealand kiwifruit is not available. Jager says Zespri’s all-important
Prime Minister John Key officially launched the 2016 kiwifruit season in China on his visit to that country last month.
NEW SEASON PRICES SET ZESPRI CHAIRMAN Peter McBride has foreshadowed the range of orchard gate returns and profit for the new 2016-17 season. McBride told growers the ranges are broad to reflect the early stage of forecasts. The Zespri Green indicative for 2016 is $4.20 - $5.20 per tray, Organic Green $6 - $7per tray, Zespri Gold Zespri $7.80 - $8.80 per tray and Green14 per tray $6- $7per tray. This compares to the latest forecasts for the 2014-15 season (the final season forecast will not be published until May 24). Its February forecasts for 2014-15 were Zespri Green $4.94 per tray, Zespri Organic Green $6.98 per tray, Zespri Gold $7.98 per tray and Zespri Green14 $6.96 per tray. Zespri’s forecast profit after tax for 2016-17 is $25m - $30m.
focus on quality starts at the orchard. “Any decision to potentially source Zespri Kiwifruit in China would be made with our reputation for premium kiwifruit top of mind and is likely some years away,” says Jager. The Zespri board approved in March an increase in forecast profit after tax for the year ending March 31, 2016 to a range of $32 million to $35 million. Zespri’s forecast profit range announced in February was $19 million to $22 million.
The reason for the increase -- a one-off -- is the release from Zespri’s balance sheet of a $13.9 million provision entered in 2012-13 for matters relating to China, it says in a newsletter to growers. “Zespri’s assessment is that all issues relating to [its] subsidiary in China, ZMCC, have now been resolved with the Shanghai Court, therefore there is no justification for Zespri to hold the accounting provision,” it says. @rural_news
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RURAL NEWS // MAY 3, 2016
16 NEWS
Straight and true Colin Millar (left) and Bob Mehrtens.
PETER BURKE peterb@ruralnews.co.nz
WORLD PLOUGHING chairman Colin Millar, of Rotorua, says the winners of this year’s New Zealand ploughing championships have good abilities which put them in contention with the best in the world. This year the NZ event was held in Manawatu and Millar says the local organisers and the owner of the land where the competition was held really stepped up to the mark. The site was beautiful, the land well prepared and the event was exceptionally well run. “The soil conditions were amazing; the level of the grass and stubble were exceptional,” Millar told Rural News. “We told the competitors they could remove as much straw as they like because there was no straw on the site.” Millar says ploughing, like many sports, is struggling to get new competitors, although this year there were young people among the prize winners. As for the rest of the world, he says in the last few years NZ has been mid-ranked, with strong competition coming from Austria, England, Wales and Ireland. But he points out that NZers have won
the world event three times. Millar says ploughing is a hobby and a sport and the people involved are passionate about it. The competition is not about speed, but rather seedbed and weed control, and it’s based on tradition, which means no technology. “In NZ we do not allow any electronic devices. The world body will allow electronic devices to measure things, but not to adjust things. Here in NZ, we won’t even let you use it for measuring,” he explains. “We have stuck with the old methods and from our point of view it’s easy to control because if somebody has a GPS to measure something how can I prove he’s not using it to adjust something? If we say ‘no’ we have no worries. Likewise, we say ‘no cellphones’ because someone could be using one to ring and ask their
mate how to sort out a problem.” Millar says the event is very much about people and renewing old friendships. This is also the view of Bob Mehrtens, of Timaru, who won the reversible class and the prize includes a trip to the 2017 world championships in Kenya. Mehrtens, who drives a truck for his day job, has been ploughing competitively for nearly 40 years. For him ploughing is a hobby. “I just love the people and the opportunity to have a go. I have been ploughing all around the world a few times and in NZ and I have met so many great people. It’s a challenge: every paddock is different, every year is different.” Mehrtens says when he was a kid he saw other people ploughing and thought he’d like to have a go and has done so ever
since. He doesn’t own a farm, but makes up for this by attending as many competitions as possible. He is looking forward to going to Kenya. “A few people are bit iffy about it, but I think it will be great and I have heard a lot of good things about it, just as I’ve heard bad. I’ll enjoy going and will do my best for NZ. This will be my ninth world final.” Mehrtens says one of his favourite places to plough is Ireland. He’s ploughed there three times and the places and people were awesome and they were happy to lend him equipment. He says when they came to NZ he lent them his equipment. “Ploughing is not just about tractors and ploughs; it’s about people and we have great time,” he says. Ian Woolley from Blenheim is also off to Kenya by virtue of winning the conventional class. Later this year he’ll also compete in the world championships in England. This was his 16th year at a NZ final.
They are not just for show COLIN DRUMMOND, who owns the famous Erewhon Station, brought his team of Clydesdale horses north to the championships. But while ploughing with tractors or horses may be a hobby for most competitors, Drummond uses them on the station. “We work about 25-30ha a year using the horses,” he told Rural News. “Working the ground is a fantastic way of getting the young horses to prove themselves and get miles under the belt, so they can be reliable for hauling the
wagon, mustering or tourist work on the station.” Drummond grew up on a dairy farm, but visits to A&P shows in the Nelson region got him hooked on the idea of using horses and, in particular, Clydesdales. He’s a keen horseman and has mustered on Molesworth Station and high country stations where he has worked. He has also bred Clydesdales. “They are not difficult to handle. They are the same as kids: if you treat them with kindness and firmness, rules and manners, they are fine,” he says.
A 60 YEAR VETERAN CANTERBURY’S JOHN Stalker brought his beautifully restored Massey Harris tractor with him for the championships. Like all ploughmen and women, they get a subsidy for taking their equipment across Cook Strait. Stalker, aged 78, has been ploughing for 60 years. He’s been a competitor in the Silver Plough contest and a judge, but now
competes with his beloved Massey Harris. “I’d rather plough than judge and
part of the attraction is the Massey Harris, which is the make of tractor I grew up with. My father had them and they were the first tractors I drove and in your older years you drift back to those days. I have a collection of 10 tractors back home and they are all Massey Harris or Massey Ferguson,” he says. Stalker won the vintage competition this year.
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18 MARKETS & TRENDS MARKET SNAPSHOT
BEEF MARKET TRENDS
BEEF PRICES NI
5yr Ave
Last Year
This Year
$6.0
P2 Steer - 300kg M2 Bull - 300kg
$5.0
2 Wks Ago
Last Year
n/c
5.25
5.25
5.60
n/c
5.20
5.20
5.65
P2 Cow - 230kg
n/c
4.10
4.10
4.75
M Cow - 200kg
n/c
4.00
4.00
4.55
Local T rade - 230kg
n/c
5.30
5.30
5.55
P2 Steer - 300kg
n/c
5.00
5.00
5.05
M2 Bull - 300kg
n/c
4.60
4.60
4.95
P2 Cow - 230kg
n/c
3.50
3.50
3.85
M Cow - 200kg
n/c
3.40
3.40
3.90
Local T rade - 230kg
n/c
5.00
5.00
5.10
SI
Slaughter
Jan-23
Feb-23
Mar-23
Apr-23
May-
Jun-23
30k
5yr A ve Last Year This Year
Feb-23
$5.5
$4.0 Jan- 23
5yr Ave
Feb-
Last Year
Mar- 23
Apr- 23
This Year
May-
Jun- 23
Mar-23
Apr-23
May-
$4.0 Jan- 23 $6.0
Last Year This Year
Feb-
Mar- 23
Apr- 23
May-
Jun- 23
5yr A ve Last Year
$4.5
5yr Ave
$4.0
Last Year
$3.5 Jan- 23
This Year
Feb-
Mar- 23
Apr- 23
May-
Feb-23 Mar-23
5yr Ave Last Year This Year
2.08
2.54
2.23
6.66
7.32
6.01
Demand Indicator - US 95CL Beef
$3.00
70%
Feb-
Mar- 23
Apr- 23
May-
Jun- 23 5yr A ve Last Year This Year
$7.5
65% Jan-30 80%
Last Year This Year
Feb-23 Mar-23
Apr-23
May-
Jun-23
Change
2W ks Ago
3 W ks Ago
+ 1%
78.1%
77.3%
76.50%
75.1%
69.1%
67.6%
66.9%
68.7%
+ 2%
Last Year 5yr Ave
Procurement Indicator - North I.
Last Year This Year
Feb-28
Mar-30
Apr-30
May-
Jun-30
Procurement Indicator - South I. Last Year
75%
60% Jan-30 Feb-
Mar- 23
Apr- 23
May-
2.40
3.20
n/c
4.63
4.63
4.96
n/c
4.63
4.63
4.98 5.00
PX - 19.0kg
n/c
4.63
4.63
PH - 22.0kg
n/c
4.63
4.63
5.01
n/c
2.23
2.23
2.75
MX1 - 21kg
North Island W eekly Lamb Kill
5yr A ve Last Year
100k
This Year
k Jan
Feb
Mar
Apr
May
Jun
South Island W eekly Lamb Kill
Jan
Feb
Mar
Apr
May
Jun
Change
Last W eek
2 W ks Ago
Last Year
UK Leg £/lb
n/c
1.55
1.55
1.80
1.93
NZ$/kg
n/c
7.80
7.80
7.71
7.98
£2.50
Last Year This Year
Feb-23 Mar-23
Procurement Indicator
Apr-23
May-
2W ks Ago
3 W ks Ago
Last Year
% Returned NI
0.6%
64.1%
63.5%
68.1%
70.2%
% Returned SI
0.0%
59.6%
59.6%
66.1%
68.4%
70%
50% Jan-23
70%
Apr-30
May-
Jun-30
Jun- 23
5yr Ave
Procurement Indicator - North I.
Last Year T his Year
Feb-23 Mar-23
Apr-23
May-
Jun-23
Procurement Indicator - South I.
60% 50% Jan-23
Mar-30
Jun-23
Change
Last Year
This Year
Feb-28
5yr Ave
Demand Indicator - UK Leg Price
60%
65%
$6.5
Mutton
£1.00 Jan-23
70%
$7.0
2.40
5.21
£2.00
80% 75%
5.26
n/c
4.86
£1.50
Procurement Indicator
$6.5
$6.0 Jan- 23
Last Year 5yr Ave
2.09
85%
5.25
4.91
4.86
Export Market Demand
6.66
$7.0
$8.0
2 W ks Ago
Jun-23
n/c
% Returned SI
$7.5
$6.0 Jan- 23
Last W eek
May-
+1
% Returned NI $8.0
Apr-23
NZ$/kg
Jun- 23
4.90
4.91
PM - 16.0kg
k
95CL US$/lb
$1.50 Jan-23
4.90
YM - 13.5kg
This Year
$2.00
$5.0
n/c n/c
n/c
100k
10k
$2.50
$5.5
PX - 19.0kg PH - 22.0kg SI Lamb
200k
Change 5yr Ave
5.23
400k
15k
$5.0 $4.5
4.88
MX1 - 21kg
300k
Export Market Demand
$5.5
4.88
Mutton
20k
k Jan-23
n/c
YM - 13.5kg PM - 16.0kg
25k
5k $6.0
Jun-23
South Island W eekly Cattle Kill
30k
$4.5
NI Lamb
200k
20k
k Jan-23
$5.0
Last Year
300k
10k
$6.0
2 Wks Ago
400k
40k
$4.5
Last Week
Change
c/kgCWT
Slaughter
North Island W eekly Cattle Kill
60k 50k
$5.5
LAMB PRICES Last Week
Change
c/kgCWT
$6.5
LAMB MARKET TRENDS
This Year
Feb-23 Mar-23
Venison Prices
Apr-23
May-
Jun-23
Change
Last W eek
2 W ks Ago
Last Year
5yr Ave
NI Stag - 60kg
n/c
7.50
7.50
6.35
6.70
SI Stag - 60kg
n/c
7.45
7.45
6.23
6.78
Beef & venison prices are reported as gross (before normal levies & charges are deducted). Lamb & mutton prices are reported nett (after levies & charges are deducted).
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RURAL NEWS // MAY 3, 2016
MARKETS & TRENDS 19 NEWS BEEF SLAUGHTER: Cattle slaughter rates are easing across the country. In the South Island the heavy flow of cull cows hitting the processors is thinning, and with numbers of prime cattle short, processors are again struggling to fill up plants. Slaughter in the North Island has been slow for several weeks. Some expect to see another run of cows through May, but ovlumes are expected to be easily absorbed by processing capacity. Operating prices in the North Island are lifting on the back of the tighter numbers, however prices in the South Island have remained steady. With little depth to the numbers of killable cattle on farm, processors throughout the country are bracing themselves for lower than typical slaughter rates through the winter months. VENISON High schedules and improving profitability in comparison with depressed dairy and lamb prices are sparking renewed interest in the venison industry. Deer farming has lost ground to sheep and dairy farming in recent years and venison production is feeling the impact this season; down 20% for the Jan-March 2016 period. However there are growing signs of herd rebuilding as the number of hinds being killed declines and store prices for breeding and weaner hinds increase. Signals from key markets are positive, particularly as supply from NZ tightens. Negotiations for the chilled
PRICE WATCH season in the EU are not far away and it is expected prices will be solid on the back of tighter production. However exporters will be working hard to keep prices realistic and prevent consumers switching to lower priced pork and poultry. This may keep a lid on farmgate prices through the chilled production window. The industry is making progress in marketing chilled product outside of the traditional game season window in the EU market and in increasing sales to the Chinese market
SHEEP
SLAUGHTER: SLAUGHTER:
Lamb slaughter rates have dropped off significantly in recent weeks. Processors are moving to reduce processing capacity in line with the declining supply. There has been a hint of competitive pressure for procurement in the North Island. This has pushed operating prices up slighty. While operating prices in the South Island are yet to show any increase, there are some signals that improvement may not be far away. While improving global demand for lamb will support some lift in schedules, the value of the non-meat items, in particular, skins, is still depressed, keeping pressure on the value of the overall carcass.
GLOBAL
SHEEP: SHEEP : Global lamb markets appear to now be well aware of the shorter lamb supplies expected out of NZ this season. Not only is production in coming months
Overseas Wool Price Indicators
WOOL PRICE WATCH Change
21-Apr
14-Apr
Last Year
-2
5.51
5.53
4.78
Coarse Xbred
Fine Xbred
-11
5.62
5.73
5.26
Fine Xbred
Lamb
-3
6.18
6.21
6.25
Lamb
Mid Micron
-
-
-
-
Indicators in NZ$ Coarse Xbred
Indicators in US$/kg
Mid Micron
14-Apr
Last Year
+2
3.85
3.83
3.76
-4
3.92
3.97
4.28
+2
4.31
4.30
4.90
-
-
-
-
21-Apr
Change
expected to be well down, but exporter inventories going into the remainder of the season are also at very low levels. Most exporters are confident the scarcity of product will deliver improved prices, however will be moving carefully to avoid overpricing product. Many global economies are still volatile; impacting consumer confidence. The protein market is also awash with lower
priced options, and if pushed too far on price points, consumers are likely to switch to alternative proteins. With this in mind we do not expect to see global prices sky rocket in response to lower supply. This will subsequently keep a lid on procurement pressure getting too overheated for farmgate prices.
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RURAL NEWS // MAY 3, 2016
20 AGRIBUSINESS
A Nation is now behind running the National Fieldays SUDESH KISSUN sudeshk@ruralnews.co.nz
PETER NATION’S links to the National Fieldays started with his visits as a teenager from Rangitikei, Manawatu. On June 15, Nation will mark his first National Fieldays as the chief executive, another highlight for him. When the New Zealand Fieldays Society needed money for the first pavilion, it turned to ANZ’s Waikato banker, Nation. He helped the society get funding from the bank,
a key sponsor of the Fieldays, and became ANZ’s representative on the Fieldays’ agriculture sub-committee. Eleven years ago, he was asked to join the society’s board. Nation says in October that when former chief executive Jon Calder resigned, he decided to put his hand up for the job. “I went to the president and said ‘I have done 11 years on the board and am now ready for a new challenge and to add new value to the organisation’,” he told Rural News. He then stepped out of
the recruitment process while an extensive search by national recruitment firm Farrow Jameson drew 67 applications. Nation stepped into the role in early March. He is keen to grow events at Mystery Creek, the sprawling event centre owned by the NZ National Fieldays Society. But Nation wants the flagship four-day National Fieldays to stay true to its founding principles of bringing country and urban people together. “We are focussed on keeping it real to its
roots,” he says.“When six people founded this organisation 48 years ago the objective was to bring town and country together and advance agriculture. “We are careful to maintain this focus; I was quoted as saying in a media interview that under my watch there will be no ferris wheels or candy-floss. “I deliberately said that, not an insult to anyone… I was merely trying to distinguish Fieldays from an A&P Show or an animal show. “We are not that; we are focussed
New fieldays boss Peter Nation has had a long time involvement with the event.
on innovation.” The 2016 Fieldays innovation centre has attracted a record 70 entries. It brings together investment brokers, accountants, IP providers and solicitors to help new entrepreneurs showcase innovations. The assistance doesn’t end there. The incubator programme, for those who exhibited in the innovation centre last year, helps with commercialising concepts. Nation points out that electric bikes, now in production, were first shown in the innovation centre at the Fieldays. “People who get their innovation here are judged obviously and
then exposed to the world market; we help them by bringing partners together and taking them through the commercialisation channel. No one else does that.” Nation, who served as the national sales manager for Gallagher before taking up the new role, says the Fieldays is much than people pushing brands from their sites. It’s a shopping experience, a place for people to meet, and a major platform for innovation and to compare products and prices. For someone looking to buy a tractor, every NZdistributed tractor brand is at the Fieldays. “We have a dairy
themed area; people can go to one area and see the dairy machinery and compare products. “You can’t do that easily in a small rural town or easily on the internet; you can research different companies but you can’t touch. “We humans buy things based on smell and touch; the amount of stuff the Fieldays brings in one space is not only for exhibition, it’s for an experience.” Highlights of this year’s event include the ag art competition, rural bachelor of the year, Kiwi’s best kitchen and a new education hub showing career development in the ag sector.
BIG TURNOUT FROM OVERSEAS THE 2016 National Fieldays expect 3000 international visitors. Fieldays chief executive Peter Nation says two delegations are confirmed from India -- government officials and businessmen. Groups are also coming from Europe, Australia and China.
FARM MACHINERY STRENGTH / QUALITY / PERFORMANCE
Nation says it is working with NZ Trade Enterprise on hosting international delegations. “Our international hub is where people can come and meet, rest and do business and then go have a look at NZ’s ag innovation showcase.”
Fieldays statistics ■■ ■■ ■■ ■■
Manure Spreaders
Tip Trailers
■■ ■■ ■■
1100 exhibition sites of which 95% were booked by November $370 million pumped into the national economy and $140m into Waikato 3000 international visitors expected 120,000-140,000 people expected to attend the four-day event 10,000 exhibitor staff 300 media registrations expected During the event, Mystery Creek’s daily power usage is the same as Te Awamutu’s
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RURAL NEWS // MAY 3, 2016
AGRIBUSINESS 21
East Coast expo pleases organisers “QUALITY NOT quantity” proved the key for exhibitors at the inaugural East Coast Farming with Technology Expo. Hosted by the Wairoa A&P Society in late April, the expo attracted a crowd eager to view the 50-odd sites and attend two days of seminars. Organisers Sue Wilson and Dave Martin say the exhibitors were happy with “quality not quantity” in the visitor attendance. “We are really happy with how it went, particularly with the calibre of exhibitors it attracted,” says Martin, the show society president. “The people at the expo came for a reason and a lot of business was done. One exhibitor told me every conversation they had was a winner.” Matt Brown, field hydrologist and director of Hydro Logic NZ, an
exhibitor, says he was looking forward to good growth from the expo. “All the enquiries we received were positive, even excited about adopting some of the technology in their farming operations.” Matt O’Kane from Water Right Ltd agreed. “We found the expo worthwhile; the people who came to our site seemed genuinely interested and engaged. We have generated credible leads as a direct result of being there. It also allowed us to further our brand on the East Coast.” Sue Wilson says a wide range of seminars in the showground pavilion were a hit with expo attendees. Topics included farm governance, succession planning, smart tools and apps, freshwater reforms, nutrient management and technological development
in the meat industry. “The information provided was all relevant to sheep and beef farming on the East Coast and the feedback we received from attendees was fantastic,” Wilson adds.
The A&P Evening Muster gave opportunity for farmers and landowners to learn from Doug Avery – the ‘resilient farmer’. Martin and Wilson say they expect the event to
be a fixture on the region’s farming calendar. “A survey will be completed and there will be a discussion about how the event will be staged in 2017,” Martin says.
Quality not quantity were exhibitors thought on Tech Expo visitors.
CONTRACTORS AGREE WITH DEPUTY PM RURAL CONTRACTORS NZ president Steve Levet says recent comments by Deputy Prime Minister Bill English about the suitability and work ethic of some young New Zealanders is, unfortunately, correct. English is reported to have told a recent Federated Farmers meeting that a proportion of the workforce won’t work and are “pretty damn hopeless”. “Bill English is right when he says some younger New Zealanders, when offered the chance for work, won’t take it, can’t pass drug tests, or don’t have an appropriate drivers licence. “Ask any rural contractors about some of the experiences they have had in trying to get people to fill vacancies in our sector over the years, and you will hear the same kind of comments that Mr English has,” Levet says. “Every year, in many parts of the country, it’s often impossible for rural contractors to find skilled New Zealanders who want to carry out this seasonal work,” he explains. “That’s why it is necessary for us to look overseas to find experienced people to fill this need.” Levet says Rural Contractors NZ has worked alongside the Ministry of Social Development in developing opportunities to employ young NZers, but many of the applicants MSD tries to fill these vacancies with either do not have the right skills and/or attitude to be successful. “RCNZ will continue to work closely with the Government, political parties and officials to ensure locals have the best opportunity for employment in our industry,” he adds. “But the reality is that the agricultural contacting sector, like many others, relies on overseas workers to fill a gap not filled by locals, some of whom are unwilling to take on these vacancies.” 0025 OPS Disease_John-Dairy (280x187)_FAmm.indd 1
30/09/15 2:27 pm
RURAL NEWS // FEBRUARY 17, 2016
22 OPINION EDITORIAL
EDNA
Good work, more to be done THE FARMING sector, dairying in particular, is forever being castigated for its supposed environmental damage, especially to water. Yet the improvements made over the past few years have been impressive; not that you will hear this from either the environmental lobbies or mainstream media. According to a new progress report on the Sustainable Dairying: Water Accord, the country’s dairy farmers have made significant progress on meeting their environmental commitments. The latest audited report on how the dairy industry is tracking against its commitments under the accord shows that dairy farmers have made significant and meaningful progress on environmental actions. It shows that 96% of dairy cattle are fenced off from waterways on farms: the equivalent of 25,656km of waterways are closed to dairy cattle. The report also shows that national levels of significant non-compliance for dairy effluent systems on farms have dropped to their lowest ever: 5.8% (down from 7% in 2013-14). Also, 99% of 42,773 regular stock crossing points on dairy farms now have bridges or culverts to safeguard local waterways. This is good work, but the dairy sector does need to do more. The industry itself, the country and the general public can no longer tolerate any outliers. Those who fail to protect waterways or are careless enough to cause environmental damage should be punished severely. There can be no excuses; the industry’s future depends on it. As Matamata farmer and chair of the Dairy Environment Leaders’ Forum, Tracy Brown, explains, “Dairy farmers are making a positive difference. Despite tough seasons, farmers around the country are doing big things and small things, and showing their commitment by investing in good environmental practice.” But as you can expect, this good news will not be reported by mainstream media. Instead, they will go straight to environmental lobbies for their inevitable list of complaints and criticisms. Many environmentalists, like their animal welfare zealot compatriots, will never be happy until farming is no longer a permitted activity. However, the wider agriculture sector must ignore these fundamentalists and highlight and promote the excellent work by farmers to protect the environment. We also must take a zerotolerance stance towards all polluters; we can no longer afford to have our entire sector tarnished by rogue or lazy operators.
RURAL NEWS HEAD OFFICE POSTAL ADDRESS: PO Box 331100, Takapuna, Auckland 0740 PUBLISHER: Brian Hight .............................................. Ph 09 307 0399 GENERAL MANAGER: Adam Fricker ........................................... Ph 09 913 9632 CONSULTING EDITOR: David Anderson .......................................Ph 09 307 0399 davida@ruralnews.co.nz
“We never heard back from that bloke who came to measure our maize harvest!”
THE HOUND
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Chinese-bashing? Hypocrites THIS OLD mutt understands that the man behind a call for Silver Fern Farms (SFF) to run another poll on its merger with Chinese investor Shanghai Maling is apparently Mid-Canterbury-based SFF shareholder John Shrimpton of Glenthorne Station, supposedly one of the meat co-op’s largest individual shareholders. This comes on the back of last minute moves by Winston Peters to file complaints with the FMA and OIO over the move – in a desperate effort to derail the SFF/Shanghai Maling merger. The Hound understands Peters and Shrimpton are concerned there might be a ‘foreign’ takeover of SFF. However, it’s interesting that Shrimpton is an ex-pat Pom whose address is given by the Companies Office as Ho Chi Minh City, Vietnam.
Ouch
YOUR OLD mate was intrigued to see former Greens co-leader Jeannette Fitzsimons appeared at a consent hearing to protest about the expansion of Fonterra’s factory at Studholme, South Canterbury. Appearing on behalf of the Coal Action Network, Fitzsimons was assisted by the anti-dairy sector ‘economist’ du jour Wellingtonbased Peter Fraser, to make all sorts of unfounded claims about how terrible an expanded Studholme plant would be for the South Canterbury region and the world in general. Of course, these two highly paid, out-of-town mouthpieces for environmental luddites neglected to mention the new jobs and money it would put into the region, the environmental efforts Fonterra has put into the plant or their chewing up lots of air miles into the atmosphere to get to Waimate to make their claims.
SPEAKING OF the Greens, the Hound had a bit of a giggle at the sight of the party’s supposed mates giving it a serve over the way it gets things so wrong. The peak body for the organics sector in NZ – Organics Aotearoa New Zealand (OANZ)— has taken the Green Party to task over its ‘misrepresentation’ of the 2016 NZ Organic Market Report, saying this “is not acceptable”. OANZ chair Doug Voss says the Greens had “inaccurately re-presented the report’s findings”. Voss issued a media release responding to the Greens’ utterances about the report; Voss ticked off the Greens for their “many factual errors, in particular [their] portrayal of the New Zealand organics sector as going backwards compared to other countries when in fact it was growing strongly”. Who needs enemies when you’ve got friends like this?
More than careless YOUR CANINE crusader hears that all is not well within the work environs of rural lobby Fed Farmers, where a number of senior staff have jumped ship. As reported in the last issue of this fine news organ, the departure of a senior executive represents a ‘major meltdown’ at Feds. However, one insider told a mate of the Hound that it has gone past a meltdown and is now more akin to a Chernobyl-like disintegration – with even more staff leaving Feds since then. Reports suggest that things are not too good at Feds and it may get worse yet. It reminds the Hound of that old Oscar Wilde mis-quote: “To lose one is misfortune, two carelessness, but three looks like a bad habit.”
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RURAL NEWS // MAY 3, 2016
OPINION 23
Multi-billion dollar hort industry faces challenges WHETHER FRUIT or vegetables, there is growth in both domestic and export sales. Today horticulture is New Zealand’s fourthlargest export earner. If we reach our industry target of $10 billion by 2020, for domestic and export sales, we may rise to being third-largest. Today we have achieved about $5b – half way to our industry target. The bacteria disease Psa slowed our growth by destroying gold kiwifruit vines. But kiwifruit is recovering, and given the growth in NZ’s other fruit and vegetable exports, I believe that in the next four years we can reach our target. Potato growers plan to double fresh and processed exports by 2025 to $200m, capsicums reached $25m in export earnings last year and cherries have just had the biggest export season ever and plan to increase earnings by 30% in the next five years to at least $80m. The Ministry for Pri-
mary Industries forecasts growth of 39% for kiwifruit, 27% for apples and 32% for vegetable exports (see table below). To reach our $10b target there are some critical prerequisites. We must maintain our access to quality highly versatile soils. New housing must be built on land not required for growing fruit and vegetables. Country lifestyle blocks must be planned away from our growing operations and large buffer zones must be reserved between lifestylers’ homes and growers’ land. We need access to water, and that access -depending on the crop -must be available for frost fighting and watering plants in high summer. In the Pukekohe region, where many of the country’s vegetables are grown, ‘urban creep’ is putting at risk our ability to grow food needed to feed NZ. I’m not being overly dramatic. If we lose access to the high quality soils around
Pukekohe, NZ may need to import vegetables, becoming dependent on other countries. The soils around Pukekohe, not found elsewhere in NZ, are particularly good for growing vegetables, especially in winter. We have made the following three minute videos about the challenges facing Pukekohe: ■■ The importance of Pukekohe/ Pukekawa https://www. youtube.com/ watch?v=QsFUtMsayeI ■■ Pressures on Pukekohe https://www. youtube.com/ watch?v=6wvjK8fmkco ■■ Water pressure on Pukekohe https:// youtu.be/He-pGH7Bxuc
There are other critical factors for successful growing; one is biosecurity. The invasion of Psa came close to destroying the gold kiwifruit industry, but Psa is only one of many pests and diseases affecting horticulture. Equally crippling are invasive pests like the tomato potato psyllid, the great white butterfly, velvetleaf, citrus white fly and the red-vented bulbul. In common with other pests and diseases they have come into NZ through our borders and are then almost impossible to eradicate. Control takes time and money, reduces our productivity and may hamper our exports. Our industry works with the Ministry of Primary Industries through joint agreements to strengthen our protection pre-border and at the border and to plan effective responses when a pest or disease gets in. Good progress is being made now that we
ACTUAL YEAR TO JUNE 30
FORECAST
2015
2016
2017
Green Kiwifruit
84
78
78
Gold Kiwifruit
28
41
49
113
120
125
Kiwifruit Export Volumes, Prices and Values, 2015–17 Export volume1 (million trays)
Total3 FOB2 price ($/tray)
Export value ($ million)
Green Kiwifruit
9.0
10.0
10.5
Gold Kiwifruit
14.6
17.3
17.1
TOTAL
10.4
12.5
13.1
Green Kiwifruit
761
776
786
Gold Kiwifruit
403
711
838
1 181
1 502
1 639
299
300
301
TOTAL
3
Vegetable Export Volumes and Values, 2015–17 Fresh vegetables
Export volume (000 tonnes) Export value ($ million)
215
260
371
Processed vegetables4
Export volume (000 tonnes)
212
212
217
Export value ($ million)
373
392
406
Total fresh & processed vegetables export value ($ million)
588
652
777
Apple and Pear Export Volumes, Prices and Values, 2015–17 Export volume (million cartons)5 FOB2 price ($/carton) Export value ($ million)
17.3
18.5
20.2
33.00
35.45
35.80
571
656
723
One tray equals 3.6 kg. 2 Free on board is the value of the goods delivered to the port of export and loaded onto a vessel for transportation out of the country of origin. 3 Total includes ‘other’ kiwifruit category, not listed above in table. 4 Processed vegetables includes frozen vegetables, dried vegetables, dry legumes, prepared and/or preserved vegetables, and vegetable juices. 5 A carton is equivalent to 18.0 kg. Sources: Statistics New Zealand and MPI. 1
are in partnership with Government. No matter how good a biosecurity system is, travellers to and from overseas and the
volume of trade through our seaports puts our industries constantly at risk. This is the first article in a regular monthly
series that will explain the key issues and the facts about horticulture in NZ. • The views expressed in this article are those of the author.
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RURAL NEWS // MAY 3, 2016
24 OPINION
Ag sector seriously lacking in its R&D funding ROSS BAWDEN
AT A forestry event last year a speaker talking about forest owners’ spending on science
asked, “How much does the kiwifruit industry commit to research?” Given that our property grows kiwifruit -- and some sheep and beef --
I said “tens of millions” which drew laughter in the audience. The speaker, addressing his question, said “$30 million to be precise com-
pared to $3m by the forest industry,” which brought gasps from some and silence from the majority. We have an 8.2ha orchard so are a very small
part of the total kiwifruit productive platform. The kiwifruit industry’s science input benefits from our orchard by about $35,000 per year, based on
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an average per tray input. Our orchard’s contribution to sales and promotion exceeds $90,000 per year on a per-tray average. I am not privvy to the forest industry’s budget, but I doubt it would exceed a few million dollars at best. How would the red meat or wool sectors stack up in their contribution to science and promotion? Based on a vigorous discussion I heard during a post-duck shooting dinner several years ago, I suspect not great. The two sheep and beef farmers present were convinced I was being ripped off; they said it was not their responsibility to fund such items. I suggest that the relative strengths and weaknesses of the various industries are in no small part directly linked to their commitment to science and promotion. Having said that, kiwifruit does have an advantage in having a ‘single desk’ status, which means that all inputs are for the good of all growers and not subject to freeloaders who contribute little but play on the benefits of those who do pay, as may be the
case in the other sectors. No doubt the topic will again arise at next Saturday’s dinner. I will again be told I am being ripped off, and that the meat sector is underperforming. It is a long time since wool warranted a discussion, which is unfortunate because if there is one rural product with a ‘kiwifruit’ or ‘manuka honey story’ to tell it must surely be wool. But then my mates, and most of their compatriots, have clearly indicated they do not see the benefits of committing their hard-earned funds to put wool in the limelight it deserves through science and promotion. And finally, how profitable do you think the kiwifruit industry would be without a strong science and promotion budget? It must be one of the most unappealing fruits, given its visual attributes. Consider why this fruit is the rock-star of the fruit bowl. As with most of life, we reap what we sow, and I am happy to continue to fund the science and promotion of my industry. • Ross Bawden farms at Pukehina, Bay of Plenty.
FISHERMAN SCOFFS AT IRRIGATION
ANDREW CURTIS’ article ‘Water gives life to NZ’s economy’ (April 5) raises chuckles, eyebrows and questions as usual. Note that Crown Irrigation Investments Ltd is subsidising his irrigation schemes to the tune of $400 million. Add to this the taxpayer funded $250m ‘cleanup’ fund – to put right freshwater pollution caused by the $400m subsidy – and I wonder how costs of production would play out if this was 100% paid for by irrigators. And to suggest that environmental plans are the result of implementing irrigation schemes is akin to suggesting carts pull horses. Water quality standards, albeit weak and patchily enforced, are imposed by local and regional councils by virtue of their RMA obligations. Farming and farmers are, and I hope will continue to be, the backbone of New Zealand. Please let’s not continue to lead the sector down the road of subsidising debt. David Haynes President New Zealand Federation of Freshwater Anglers
Coming Soon
RURAL NEWS // MAY 3, 2016
26 MANAGEMENT
Finding the best bull What makes a good bull? That was the theme of a recent workshop staged by Beef + Lamb NZ Genetics at Lin Johnstone’s farm near Whanganui. The workshop was one of a series by BLNZ Genetics around the country. Reporter Peter Burke went along to find out. THE VENUE for the workshop was perfect: a special saleroom that looks fit for staging an opera, built by Lin Johnstone senior for the bull and heifer sales he and son Lindsay run. Facilitating the day are Annie O’Connell and Max Tweedie, extension officers from BLNZ Genetics. They use the whiteboard and run an interactive session to engage the participants and set them tasks to learn about the tools available to them on the Genetics NZ website. The objective of the workshops, says Tweedie,
farmers can make a more breeding values and show is to enable farmers to informed decision,” he them how they can select make better decisions explains. and meet their objecwhen buying a bull, using “It all depends the informaon the breeding tion on genet“In the early stage of objective they have ics supplied the seminars we set an selected. On the by BLNZ, and maternal side, that’s to make them objective and develop a calf on the aware of the what they need on-farm getting ground and making physical charand then relate that sure that cow gets acteristics of a bull that will back to breeding values back in calf. In the terminal environsuit their parand show them how ment, it’s hitting ticular needs. market specs and “In the early they can select and standard NZ stage of the meet their objectives.” having carcase requireseminars we ments. In those preset an objecmium markets, it’s also tives. The computer work tive and develop what specific meat quality required is easy to use they need on-farm and requirements.” and with a few simple tips then relate that back to
Attendees at the field day were served up fresh steak by the next generation of Johnstone farmers.
Tweedie says farmers must understand the needs of consumers; if they do and produce the product they want, they will get a premium. He says being “end product focused” is important. “Bull buyers targeting the market will make better bull selection and increase the profitability in their systems. At the same time, if we can get a change in breeder philosophy, that will also provide gains for everybody,” he adds. Tweedie says the uptake of the workshops
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has been strong in regions such as the North Island East Coast and Southland, but he says it is always a challenge to get people along in some areas. He hopes farmers who attend the seminars will talk to others and the farming networks will result in more farmers finding out about and using the information readily available to them. Tweedie adds that BLNZ is looking at developing web-based tools to help farmers make the best decisions possible on bull buying.
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RURAL NEWS // MAY 3, 2016
MANAGEMENT 27
Old-fashioned farming and good old-fashioned common sense The name Johnstone has been synonymous with breeding bulls in the Whanganui district for at least 90 years. Peter Burke reports. THERE ARE now five generations of Lindsay Johnstones: the latest one is Lindsay – call him Lindsay the fifth. Back in 1925 Lindsay’s grandfather started off by developing a herd of Herefords. He managed to breed some pure white Herefords and, remarkably, Lindsay has kept that tradition going and has 25 of these animals on his property; more in memory of his grandfather than for commercial gain. Today he and father Lin each run an Angus stud, where they breed bulls and heifers for sale to farmers in the lower North Island. His father has been on Ranui for 36 years and Lindsay for 25 on his property, about 10km up Rangitatau East Rd. The farms are run as separate entities, but they run combined sales for the bulls and heifers. On his farm Lindsay runs 120 registered cows and 3000 Romney breeding ewes. He also buys in about 150 18-month old steers, which he takes through for a year before selling at the sale to be finished. Lindsay Johnstone has strong views on what makes a good bull and how to breed one: such an animal must survive well and produce quality meat that consumers want. “It’s about the benefit of those cattle being able to survive in the hill country, perform and clean up pastures,” he told Rural News. “It’s also about putting the haystack on their back and bringing them through the winter OK. I farm my cattle pretty hard, like any commercial farmer, so they have to perform to a standard they would under commercial conditions in the hill country.” The two-year bull sale at Ranui is held in June and Lindsay and his father will have about 40 bulls up for auction. In the spring sale, the yearling bulls and heifers will go under the
hammer. Feeding the animals well during winter is important, but Lindsay Johnstone says grass alone is not enough. So he buys in hay to feed the cattle. He says hay is more convenient because it is easier to handle than baleage. He sprays out a paddock and oversows it with rape to finish lambs on, then shuts this up to feed the cattle on in the winter. While Lindsay Johnstone is a great believer in the value of genetics and the tools for their use, he also buys with the eye as well. “What appeals to the eye is still very important. Structure and soundness are important and, in the case of the latter, this will often lead to longevity. In terms of management, it’s important to have a cow base that is structurally sound: feet, legs, the overall carcase on the body and the muscling in the right place on the body,” he explains. “Temperament is also important and something we are strong on. If mum wants to chase you out of the paddock, normally a mark goes against her name and she gets a oneway ticket on the truck to the works.” Bulls are assessed in the same way. “They come into the yards a fair bit for weighing and measuring and if any of them cuts up that’s noted and if they do it again they are on a truck. It’s the same when I am buying stud bulls. Once I have made a call I will push that bull into a corner and see how it reacts. If I can get my hand on it I know its temperament is pretty good,” he says. The genetic data and the eye assessment are intended to produce animals that will meet the high standards consumers are now setting. Lindsay Johnstone has s good relationship with a company called Chefs Choice – the distributor
Lindsay Johnstone is the fifth generation Johnstone to farm the Whanganui hill country.
for Angus Pure in the Lower North Island. He says the selection of animals with traits such as good temperament means their meat is more likely to be tender than that of other animals. In doing this, he is aware that such animals have to survive in tough country and often survive harsh winters. Some parts of his farm are nearly 600m above sea level, so the cattle are ‘conditioned’ for challenging country. Another link to the market for Lindsay, and wife Maria, comes with the Romney lambs they finish on the property. This has been a hard year as the lambs have been hit by facial eczema which he has never seen on the farm before. He’s now potentially looking for rams that are FE resistant. But that aside, they are selling their lambs to ANZCO under the Kumanu brand and these are going into a niche market in the Netherlands. As well, they have been asked to supply a similar product on the
local market through the Countdown supermarket chain and while it’s early days yet, Lindsay says it’s working out well. He says a game changer is telling consumers the story about their farm and the way they operate. He believes this approach is appealing to consumers. The process of
selecting quality animals using a mix of genetic data and assessing visual traits has worked well for the Johnstones. So has stockmanship. For example, Lindsay does not use dogs to load his stock onto the truck for the works to reduce stress on the animals, this helps to reduce the pH levels
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RURAL NEWS // MAY 3, 2016
28 MANAGEMENT
Farmers urged to keep vigilant on velvetleaf NIGEL MALTHUS
FARMERS AROUND the country are being asked to keep inspecting crops for velvetleaf despite the weed outbreak beginning to wind down. The Ministry for Primary Industries this week updated its advice to farmers who find
velvetleaf, suggesting they dispose of the plants by deep burial, at least one metre deep and possibly in an offal pit. Plants should first be bagged, or double-bagged if the seed heads appear ripe. As autumn progresses there is still time for undetected plants to
show themselves. MPI’s velvetleaf 2016 response manager, Carolyn Bleach, said the window of opportunity to control plants that hadn’t yet seeded was narrowing and it was important farmers remained watchful. “Farmers and landowners need to
maintain a watchful eye until crops have been grazed, particularly as some late emerging plants have been found in crops that have already been inspected. “It’s become apparent that velvetleaf shoots up dramatically when it goes to seed. A plant that may have been hidden by the
canopy of the crop one week can appear a week or so later.” By the start of this week, velvetleaf had been found on 196 properties in 11 regions, Canterbury the worst hit with about half the finds. Environment Canterbury chief executive Bill Bayfield
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said he was pleased MPI had responded strongly to the incursion. “The regional council too has treated the situation seriously and swung into action quickly, drawing together its key biosecurity staff and those from a wide range of relevant organisations. “The time to act is now,” Bayfield said. “This pest plant can have a devastating effect on arable farming and we are committed to... stopping it getting established in Canterbury.” Meanwhile, MPI said it had identified some lines of fodder beet seeds grown in Italy and pelleted in Denmark as contaminated with velvetleaf and these had been banned from entry. “MPI continues to inspect seed from other sources to determine if any other lines of seed are contaminated.
The tough new border inspections to stop more contaminated seed from entering the country remain in place until further notice.” MPI said it was encouraged by the collaborative effort in the response to velvetleaf. “Increasing numbers of volunteers, particularly in Southland, are giving up their time to help local farmers manage the incursion.” Farms where the weed has been found will have to be carefully managed for several years. A velvetleaf farm management plan covering machinery hygiene, feed management, stock movement, future management of affected areas and re-inspection in future growing seasons, is available on the MPI website at www.mpi.govt. nz/alerts
RURAL NEWS // MAY 3, 2016
30 ANIMAL HEALTH
Tougher animal welfare go public PAM TIPA pamelat@ruralnews.co.nz
TOUGHER RULES on bobby calf handling, live animal exports, dogs on the back of vehicles, dehorning and transporting injured stock are being put to public meetings. The new rules are also open for public submissions until May 19. The Ministry for Primary Industries (MPI) expects the regulations to be in force by the end of the year. However, it is investigating whether new young calf regulations can come into force for the 2016 bobby season. Public meetings started last week and continue this week on the proposed new rules. This follows industry and stakeholder
consultation late last year and early this year. Most New Zealanders, whether farmers or pet owners, take good care of their animals, says MPI. But the new rules would enable it to effectively deal with all offending, not just the most severe. Severe offences are already dealt with under existing legislation -- the Animal Welfare Act 1999. ■■ Examples of general changes which may affect farmers under the proposed regulations are: ■■ Dogs travelling on the back of vehicles on public roads must be secured so they don’t fall off ■■ Dehorning cattle, sheep or goats would require pain relief ■■ Transporting injured
Tougher rules around bobby calf handling are part of the proposed new animal welfare regulations.
■■
■■
■■
■■
stock would require a veterinary certificate Hot branding any animal would be prohibited. Proposed changes to rules on handling young stock or bobby calves (dairy and beef)
■■
■■
include: The time between last feed and slaughter of young calves would be reduced from 30 hours to 24 hours Adequate shelter for young calves would be required
■■
■■
■■
Maximum truck journey times for young calves would be reduced Transportation across the Cook Strait would be banned Young calves would have to be fit enough
■■
■■
■■
for transport; for example, they would have to be four days old, have dry navels and hard hooves Handlers of young calves would be required to handle them properly. The regulations relating to live animal exports will aim to enhance the welfare of animals being exported from NZ and strengthen NZ’s reputation as a responsible exporter of animals and animal products, MPI says. The changes will give the director-general more power to: Require reports on the welfare of animals during and after export Take those reports into account when con-
sidering future export approvals. The changes will make permanent the existing ban on the export of livestock for slaughter. Proposed penalties include a criminal conviction with a fine of up to $5000 in the case of an individual and a fine of up to $25,000 in the case of a body corporate. Infringements fees of either $300 or $500 are proposed, based on the level of harm to the animal. The most serious offending will still be dealt with under the Animal Welfare Act 1999. Penalties under the act can be up to 12 months imprisonment or a fine up to $50,000 in the case of an individual or a fine up to $250,000 for a body corporate.
DEVIL WILL BE IN THE DETAIL – INDUSTRY DECIDING WHICH proposed animal welfare standards will become regulation and which will become ‘guidance’ is a priority concern for DairyNZ, says Carol Barnao, general manager policy and advocacy. MPI has already amended the Animal Welfare Act and now the National Animal Welfare Advisory Council is working through regulations that come out of that and details on minimum standards. “The question is what needs to
be in regulation and what can be in guidance,” says Barnao. “So the issue for us and dairy farmers is… what is the difference between the old system and what they are proposing right now?” The “devil is in the detail”, she says. They are looking at how practical the regulations are and testing proposals with farmers, and will go back to MPI with their views by the May 19 deadline. Barnao believes the changes to the
act, and now the regulations that come out of that, is a modernising strategy by the Government. NZPork chairman Ian Carter says in general they support the proposals by MPI and respect requirements for farrowing and crate sizes. Farmers need to adapt to the size of their pigs. “That is well documented in the industry and we respect that.” NZPork is concerned about a proposal to bring back ‘manipulative materials’ such as straw. They have
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been breeding their animals for 50 generations (one year = one generation) without manipulative materials. Pigs are provided with a warm environment and specialist facilities for the piglets. They meet all the nesting behaviour needs, providing for them more hygienically than does straw. Just as people want modern technology in their own lives, farming cannot go back to what it was hundreds of years ago, Carter says. New
technologies have been developed as they gained more understanding of their animals, environmental and OSH requirements and the consumer. The pork industry has invested considerably and developed special techniques and facilities for the breeding sow and the survival of her piglets. Safety is paramount, similar to the reasons humans have developed maternity hospitals. @rural_news facebook.com/ruralnews
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RURAL NEWS // MAY 3, 2016
32 ANIMAL HEALTH BEEFING UP GENETICS FROM PAGE 33
they are easy to improve; we’ve just got to describe them better and give people better EBV predictors.” The next space is genomics: they have 2000 cows in the beef progeny tests, 2000 in the beef maternal project and 800 in the dairy beef project. In all these calves they are collecting genotypes, they know DNA parenthood on all of them. With this large population size they can identify genes that underpin certain traits and use those genes to predict performance early. “We can tell whether a fat calf in front of us will be a Ritchie McCaw or a club rugby
player. We can tell early and that’s important in the genetic gain and asserting NZ as a world player in genetics.” With 1800 calves annually from beef progeny, 1800 from maternal and 300 from dairy, that gives them 2900 annually. “Across four years that is a lot of calves. Statistically it is powerful and a great way to increase our genetic gain, hit those market premiums and describe a better cow so she weans a better calf and turns more on the bottom line.” BLNZ Genetics’ first crop of data on weaning weights and on the beef progeny test calves will be available soon so farmer field days will be held across the country.
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Teaching people dog training DECADES AGO I went to a few dog training days and every man and his dog turned up; it was a great day out, usually ending with a barbeque and a few drinks. My clinics are different. Firstly, numbers are limited to 35 people; it is important that everyone is able to hear and see clearly and I find in a smaller group people are more inclined to ask questions. There are several reasons attendees don’t bring dogs: I don’t think it is fair that a lot of strange dogs come onto a farmer’s property, possibly bringing infections, etc. Barking, whinging dogs are distracting for everyone and, most importantly, there isn’t time to do anything with them. Covered yards are a must, enabling us to go ahead regardless of the weather. Start is 9am sharp, with a break at lunchtime and going through until about 4pm. The whole time is taken up with demonstrations, with everything explained in full: it is important you understand why you need to do something. Everyone remarks how much there is to take in and how exhausted they are from trying. And that is why I wrote the booklet; it is not detailed, only a reminder of the important points we have covered and everyone gets a free copy; this enables people to relax and learn, not having to worry about taking notes or forgetting. We go through everything I do to train a dog to have an all-round abil-
ity for day-to-day stock work. I had good mustering dogs, but I was not a top dog trialist. If that is your aim, I’d recommend tuition from someone who is. However, that is not to say you won’t pick up a few little gems from the day. What do I cover? Everything from the basic ‘must have, can’t live without’ commands like a recall, stop, and right and left mob sides, ie when working close to stock going either clockwise or anti-clockwise around them. Then I’ll cover other dog skills I have found invaluable; like teaching a dog to calmly walk up to within an inch of a sheep’s nose. This gives dogs the confidence to get close and not be afraid, as well as not rushing in and biting at every opportunity. Stock respect confident dogs. ‘Careful’ is a command I use to go from a gallop to a trot, from trot to walk, to a very slow walk -- saving
the stop command for stopping only; most people over-use a dog’s stop. Have you wondered how to teach your dog ‘running sides’ ie kicking further out to the right or left when he is running in a direct line to stock some distance away, or used when you want to redirect him from the stock he is on, to others further away? I’ll show you how I teach a dog to ‘run’ a fence-line; this is really handy in both small and large paddocks and invaluable for teaching a dog ‘distance’ (I know many of you have trouble with this); it is also a confidence booster for teaching a dog to run ‘blind’ when he can’t see any stock. This is only a smidgin of what we cover. You may decide to follow my method to the T— you may use parts of it. But if you come, I guarantee you will go away exhausted, happy, inspired and with a few new dog training tricks, as well as a greater understanding of your dogs. • Anna Holland is teaching people dog training. For more information www. annaholland.co.nz or Ph. 06) 212 4848 or annaholland@xtra.co.nz
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RURAL NEWS // MAY 3, 2016
ANIMAL HEALTH 33
Beefing up genetics pays off PAM TIPA pamelat@ruralnews.co.nz
GENETICS TRIALS on a scale not seen for at least 15 years have renewed farmer enthusiasm for beef genetics, says Beef + Lamb New Zealand Genetics extension officer Max Tweedie. “Vertical integration is really an opportunity in our industry and communication signals start from breeding and are delivered when the consumer eats the steak on the plate,” Tweedie told the BLNZ annual meeting in Waitangi “We have some really interesting research initiatives. The significance begins with the scale of projects. We’ve got some large commercial properties – iconic farms across NZ running beef research.” They are big trials, not studies. Tweedie says it enables BLNZ Genetics to qualify the value of EBVs (estimated breeding values) through the Australian owned system Breed Plan. “That is significant because they see our breeding values as a number, as something that is put together, and we are now able to quantify those through some of our projects that they in fact translate to value on farm,” he says. They are able to contribute to the Breed Plan system for the first time. “Commercially we have never had that input, so we have been able to
go from being a service purchaser to being able to pull some strings…. That’s allowed us to better describe the NZ beef industry.” Tweedie says Australians aren’t as familiar with what we perceive as elasticity and as maternal performance. They have a different picture of what that is. NZ is out there to describe that through these trials. The first project is the beef progeny test across five iconic farms in NZ and 2000 cows. The farms are Whangara (Angus, Simmental), Rangitaiki Station (Angus, Stabilizer, Simmental; Landcorp) Tautane Station (Angus; Taratahi), Mendip Hills (Hereford, Charolais; Black family); and Caberfeidh (Angus; Lone Star). The trial starts with collecting information on calves born from a variety of sires used as crossbreeds from the North and South islands. “We do DNA parentage on these calves, we see how heavy they are at weaning, we follow them through and collect ultrasound carcase scanned information from them and we also collect raw data in the abattoir which is a significant part of that. “It also allows us to follow the heifer calves born and look at them on commercial properties.” Another project is the dairy beef progeny test with 800 cows at Lime-
B+LNZ Genetics extension officer Max Tweedie.
stone Downs at Port Waikato. “That has only been Hereford Angus in the first year; we a looking to expand that and see what the opportunity is. It is to give dairy farmers peace of mind in calving using genetics in the beef industry. They don’t believe it is possible.” It is also to deliver a product to the dairy industry which provides more value in fattening up, an issue a lot of people consider important, he says. The other project is the maternal beef project. They are collecting condition scores on about another 2000 cows on commercial farms three times a year. They compare weight of calf to weight of cow. “At this stage we don’t know if a lean
cow that retains that level of condition across the year weans a good calf; and those cows that retain their condition -whether they are weaning top performing calves either. “We know anecdotally there might be some trends, but we want to put this objectively into the evaluation system.” The project’s significance is its contribution towards new trait development. Currently in NZ the mature cow rate as an EBV is a trait that describes the weight of a cow “which is a pretty poor way to describe efficiency”, Tweedie says. “We want to combine body condition score. You can have a cow at 600kg at a frame score of 5.0 or you can have a frame score of 7.0 at 600kg. One will be as fat as hell and one will be lean. To better describe the weight of that cow and her efficiency for her frame we would like to combine body condition score.” The data will contribute to new or improved traits for body condition score, mature cow weight and also for cow efficiency, longevity and fertility. BLNZ Genetics has a trait called ‘Daisy cow’ and it is the only EBV trait that describes fertility. It says females that conceive early and continue to do so over their lifetimes are more productive and fertile. “We know they will wean earlier
heavier calves as a rule and we can identify they are correlated to be more fertile.” BLNZ Genetics is looking at heifer puberty and what stage relative to their age they become pubescent, and at the anthropological count to see how fertile these females are, whether they are going to be more productive over their lifetimes and whether selection decisions can be made earlier to make our herds more fertile. Tweedie says 82% national calving in beef cows isn’t good enough. Another significant factor is carcase traits. “When we look at our progeny we are looking at the first-ever raw data from abattoir collection.” Ultra-scanning for rib and rump fat are useful measures to show up genetic differences in animals, he says. But they are only predictions and correlations.” But recording these traits visually at abattoirs and putting them into the evaluation system can show farmers what the value is in increased carcase weight rather than a predictor. Better EBV predictors will lead to a premium in markets. “So for developing markets in that space with Silver Fern Farms beef eating quality, this information is significant. “Carcase traits are highly herdable,
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TO PAGE 32
RURAL NEWS // MAY 3, 2016
34 MACHINERY & PRODUCTS
Wake up and smell the roses fied basically four ways to apply dairy liquid manures or slurries: the ‘slap it on method’, which resulted in losses of available N of up to 70%; application by dribble hose or trailing shoe applicators (losses 40% and 30% respectively); and shallow traditional method injection down to about of application, cen100mm (losses only tred on ‘put it on thick 10%). lads, she’ll be right’ can The findings mirror result in two-thirds of those in the Netherthe available N value being lost as ammonia lands, which in the emissions, losing the 1990s imposed manbest part of the fertiliser datory injection for value. grassland. The results: So it might pay to ammonia emissions fell follow a lead from from 220 million kg in 1992 to 70 million by Europe: trials set up by 1996 and 40 million kg the European Commisby 2013. sion in 2013 looked at So that foul smelling alternative methods of application and explored deposit excreted by Old the best ways to reduce Daisy – more often than ammonia emissions. not in the dairy shed These trials identiwhen you’re not looking – has serious potential to reduce input costs in these troubled dairy The that times. Stored properly Shatter pan layers allowing surface and used wisely, with water down through the profile decent soil sampling en Avoiding ponding & retaining moisture route, should help keep for use in dry periods some businesses in the black. ~ FEATURES~
NEW ZEALAND’S farmers seem to have at last woken up and smelt the coffee in realising that farmyard manure and dairy effluent have exceptional fertiliser value, and used wisely can greatly reduce inputs. Many set-ups, particularly in the dairy sector, are being forced to meet increasingly tough environmental standards applied by local authorities; they are rightly concerned about runoff, groundwater contamination and destruction of local habitat. Most ‘new builds’ must have a storage system to hold the effluent produced, particularly in wet seasons, and where ground conditions do not lend themselves to heavy traffic. Unfortunately, the
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RURAL NEWS // MAY 3, 2016
MACHINERY & PRODUCTS 35
New Puma set to pounce MARK DANIEL markd@ruralnews.co.nz
NATIONAL FIELDAYS in June will see the arrival of a much awaited tractor from Case IH -- the new Puma 4B series. Existing Puma models already have a good reputation with larger farmers and contractors for delivering efficient power, reliability and operator comfort. The new 4B series will embody significant improvements and refinements, says NZ operations manager Case IH, Tim Fanning. “It will set the benchmark for other manufacturers to follow,” he says Taking a quick peep before Fieldays, the most noticeable visual difference is the new roof cap which sports 360 degree LED surround lights and the overall family look of the Magnum and Optum ranges. At the front of the cab, a single-piece front screen gives unhindered forward visibility which should prove a favourite with operators. Inside the cabin greater comfort is offered with a new Grammar Maximo Evolution, semi-active leather clad seat. This has a novel sideways-sliding backrest for added support, but cleverly moves out of the users’ way when he looks over his shoulder to inspect work or hook
up implements. For easier control of repetitive field tasks, the headland management control (HMC II) can be used to record or edit sequences during work or while stationary. It offers 12 triggers to start the next step in a sequence such as time, distance, hitch position, PTO or shuttle movement. Control is via the PRO700 touch screen, which is ISOBUS 3 compatible and allows control of all the tractor’s key functions. As the name suggests, a key change to the machine centres on the 6.75L FPT engine which is upgraded to meet Tier 4B / final emission regulations. This is achieved by using the Hi-SCR system (DEF only), which removes the need for any energy sapping exhaust gas recirculation or diesel particulate filters (DPF). The company claims that the set-up results in a cleaner burning and more powerful engine, with lower fuel consumption, and an industry leading 600 hour service interval. For the NZ market, customers will be able to choose a Classic or Ultimate level of specification and a decision to specify full powershift or CVT transmissions according to operating requirements or personal preference.
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RURAL NEWS // MAY 3, 2016
36 MACHINERY & PRODUCTS
Loadall doubles up MARK DANIEL markd@ruralnews.co.nz
TELEHANDLERS HAVE made huge differences to productivity on farms and construction sites, not least because of their ability to lift heavy loads and place them where required with their telescopic booms. The latest development from handling specialist JCB, said to be the most significant development of their Loadall series since its introduction in 1977, is a new DualTech VT transmission option for the AgriPro series. Until now, transmissions on this type of machine fell into the torque convertor/power-shift or hydrostatic camps. The former offers good climbing, is suited to high speeds and towing, while the latter has good pushing power at low speeds and offers superior low speed control for accurate work. In reality, each is a compromise and at times can be problematic particularly on units with multiple locations. The development programme looked at typical usage of this type of machine and showed that workloads were generally split between handling 60% of the time, towing and roadwork for 35% and the remaining 5% of the time they were sitting idle. The resultant transmission was developed over six years and covered 10,000 ‘real world’ testing hours. The resultant DualTech VT transmission combines the elements of hydrostatic and torque convertor/powershift in one unit, a first for this type of machine. In simple terms, the hydrostatic element takes care of speeds 0-19km/ h, then the 3-stage power-shift unit
propels the machine to the maximum 40km/h. Any changes are carried out automatically, and as there is no torque convertor in the transmission, clutch packs in the powershift sector are used to change speeds and transmit a direct drive to the machine’s front wheels. In use, speeds can be limited by selecting the top gear and, effectively, the speed you do not want to exceed. Then hydrostatic drive takes the machine from 0-19km/h, the first powershift step to 25km/h, the second step to 33km/h and the final step to the maximum 40km/h. In Flexi mode, only available in the hydrostatic sector, a driving strategy can be adopted to give indepen-
dent control of the engine revs and the groundspeed. Once selected, engine speed is set using the hand throttle, and groundspeed as a percentage is selected by a dial on the dashboard from where the drive pedal is used to regulate the groundspeed up to the maximum level selected. Available in a choice of three models called AgriPro Loadall, all units are fitted with the latest 4.8L JCB DieselMax engines producing 145hp and meeting the Tier4B/Final emission regulations with the use of EGR and SCR technology. The manufacturer claims that SCR usage amounts to 3-6L/100L of diesel consumed and is dependent on workload.
In use, a choice of strategies offers Power or ECO mode, with the former offering maximum power, greater aggression and holding onto the transmission shifts for longer. The ECO setting limits maximum engine speed to 1700rpm, reduces the aggressiveness of the transmission and results in a more relaxed way of operation. Reach on all models is 7m, with lift capacities of 3.1, 3.6 and 4.1 tonnes on the 531-70, 536-70 and 541-70 machines, respectively. As part of the package, all units are equipped with a Smart hydraulic package offering a 140L/min, variable displacement hydraulic pump and 110L/ min available for the auxiliary circuits.
The system makes extensive use of regenerative hydraulic circuitry which moves oil from one side of a ram piston to the other, resulting in faster cycle times, and boom suspension results in better load retention and more operator comfort. Further control is offered by boom end damping and a new bucket control system. This latest development is owed to ‘fly-by-wire’ control on machines that tends to lose the ‘feel’ between the bucket and the joystick controller. In practice, the control system ‘shakes’ the bucket to dislodge sticky materials with increased aggression as the joystick is moved further. www.claasharvestcentre.co.nz
28 years of continuous development gives you a choice of 9 different models in the Mule range. From 2 to 6 seats, petrol or diesel. Kawasaki’s industrial strength has developed strong, dependable, practical and safe farm utility vehicles. Check out full details at www.kawasaki.co.nz or phone 0800 452 9272.
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RURAL NEWS // MAY 3, 2016
MACHINERY & PRODUCTS 37
Finding Finnish harvest know-how MAHINDRA & Mahindra (M&M Ltd), part of the US$16.9 billion Mahindra Group, will make a foray into combine harvesters in a partnership with Finnish harvester and
forestry specialist Sampo Rosenlew. M&M will acquire a 35% equity stake in Sampo Rosenlew and the companies will work together to grow their
farm machinery and equipment. In the short term, Sampo Rosenlew will develop a new line of combine harvesters for developing markets and
global combine harvester market share. M&M, said to be the world’s largest tractor manufacturer by volume, will develop a full product line of
speciality crops, while both companies will develop sales in Asia, Africa and Eurasian Economic Union countries. www.mahindra.com
This The evolution drone is is complete no toy! MARK DANIEL
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The ever-reliable Deutz-Fahr M-Series now comes with a smart new look, and a host of exciting new features. Deutz-Fahr have added to the power, comfort and unparalleled fuel-efficiency for which the M-Series is so renowned. With front suspension, load-sensing hydraulics, 50k road-speed, exceptional lift characteristics, and a sleek new look from Giagiaro Design, the trusted, no-nonsense, German-built M-Series tractors have truly evolved. Call your Power Farming dealer today to check out the latest evolution of Europe’s most trusted tractor.
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DRONES HAVE quickly evolved from being expensive toys to useful tools in a farmer’s arsenal, whether for looking at stock in distant locations, checking water lines for leaks or looking at arable crops for drainage, pest or fertiliser issues. One thing stopping many from adopting the technology is the belief that they are difficult to fly, easy to crash and that you may need to have a ten-year-old nearby to help you, which may raise eyebrows in some circles. A new starter kit from DJI sees its Phantom 4 quadcopter offering new technology such as obstacle avoidance and object tracking. Dual cameras and proximity sensors detect any obstacles, such as ill-placed buildings, trees or even tractors, will bring the unit to a hover before impact, then move forward after re-plotting a new route. Claimed to have 25% more battery life than the previous series 3 model, the machine has a top speed of 72km/h, around 28 minutes flying time and can relay images from 5km away. The camera, which is mounted in a 3-axis, u-framed gimbal for enhanced stability, can shoot ultra HD video at 30 frames per second, full HD at 120 frames per second or can take 12 megapixel photos. Flight management systems make flying, and avoiding things, a breeze with a ‘follow-me’ option for following a target, a course lock for restricting flight patterns, waypoint navigation and a feature called home-lock. In this mode the machine is tied to a base location with the option to pick a point of interest which keeps the unit circling above a specific area for best photo or video capture. Ease of flying is also enhanced with ‘active track’ which keeps the drone automatically following an object as it moves, and allowing the operator to focus on getting the best from the camera, while ‘tap fly’ allows the use of a mobile device screen to pick a destination to which the machine will fly, then continuing the journey by tapping further points on the screen. The final function is a return to home feature which brings the unit home safely, while also recognising the range left in the battery pack, and starting a return flight path so it is not left stranded somewhere.
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markd@ruralnews.co.nz
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RURAL NEWS // MAY 3, 2016
38 MACHINERY & PRODUCTS SPECIAL PRICE
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markd@ruralnews.co.nz
THIRTY NINE years is a long time since JCB launched the first Loadall telehandler in 1977, going on to build 100,000 units by 2006 and recently clocking up 200,000 machines. Now the name is generic to this type of machine, invaluable on construction sites and farms worldwide. In 1977 the first JCB 520 (the Loadall name wasn’t used until 1982) had two wheel drive and a telescopic boom that lifted 2.25 tonnes to 6.4m height. It offered more reach and capacity than the traditional rough terrain handler of the day and typically featured vertical mast design. In agriculture the machine revolutionised productivity by stacking bales, loading muck and shovelling grain, amongst many other tasks, with performance that showed up traditional tractor/loader combinations as lacking. In that first year only 300 machines were produced by a handful of people, whereas today many thousands are produced annually by 800 staff. Today, the Loadall comes in 90 models – 88 built at the world headquarters in the UK for global
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And for the future? As you would expect, JCB won’t be sleeping on its laurels. Models denoted Dualtech VT will combine in one machine the traditional powershift transmission with a hydrostatic drive, giving better control in certain conditions and potential for greater productivity.
2015’s version – The JCB 541-70.
MARK DANIEL
www.jcb.com or www.claasharvestcentre.co.nz The first ever JCB telehandler was launched in 1977.
markets and two built in India for domestic supply. That range now includes models that can lift to 20m and weights up to 6 tonnes. A 4WD model came out in 1981. Repositioning the engine to side-mounting resulted in the boom being lowered and better visibility. It also includes improvements to the drivelines with a torque lock system that improved climbing ability and increased road speeds. The introduction of the patented Smooth Ride System offered boom suspension for better load retention over rough ground and increased operator comfort.
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RRP $17,250 +G
$ 15,500+GST INCLUDES • 6m wide • Levelling Wheels standard • Galvanised frame • Overlapping rollers • 2.5m transport width
OVER THE last few years Kubota has indicated its intention of becoming a major global player and its 2015 results seem to confirm things are under way. With a change to its fiscal year to end in December 2015, the final nine months showed sales of $US11.024 billion which represented an increase of 9% over the same period in 2014. Export revenues rose significantly in North America from sales of compact tractors, whilst in Europe tractor, construction and engines saw increases, although farm implements are said to have “stagnated”. Nearer home, increased mechanisation was the mood for many Asian countries with increases in tractors and combines in Vietnam; China saw increased combine sales brought about by a reinstatement of subsidies by government; Thailand saw sales drop as a result of a prolonged drought. For the year 2016, the company is forecasting a rise in revenues of around 3.6%, driven by expansion in North America, Europe and Asia, and also re-confirming that it sees agricultural and industrial machinery sales as the core to its strategy in becoming a major global brand.
CAMBRIDGE FARM ROLLERS
0800 476 868 sales@fairbrother.co.nz www.kinghitter.com
KUBOTA ON INCREASE
Quick - contact us today
www.fencepro.co.nz
FENCEPRO Professional Post Drivers
NEW 10ft Roller with Extension Drawbar & Screw Jack $6900 Vee Ring Roller Seeder Drill with Vee bottom seed box, hydraulic clutch, ext. drawbar, ........................ $18,800 Special rollers made to order, • All prices ex-Factory, Excl GST • Spare parts, Rings and Bearings. Competitive freight rates to the North Island $ 26"dia rings ............................ 90.00 Ph: 0800-838 963 24"dia rings ............................$85.00 AUSTINS FOUNDRY LTD 131 King Street, Timaru www.austinsfoundry.co.nz
EPOXY FLOOR REPAIR
RURAL NEWS // MAY 3, 2016
RURAL TRADER 39
Cretex™ TR Epotread™SL250 TROWEL GRADE EPOXY FILLER
EPOXY SCREED FOR ERODED FLOORS
Incredible adhesion Rapid cure Chemical resistant Extremely hard in 6 hours
Non Toxic, Solvent Free Chemical Resistant Self smoothing, easy to spread Covers eroded & pitted floors
CRAIGCO SENSOR JET
DOLOMITE
PO Box 73 Tel: DEAL TO FLY AND LICE Stainless Structure PO Box 73 Tuakau PO Box 1892 73 Tua construction Fax: Industries Ltd • Cost Effective Tel: (09) 236 8414 Tel: (09) 1,000 + Email: sheep/hr PPP.LTD • Complete Package Fax: (09) 236 Fax: 9321(09) Fantastic Industries Industries Ltd LtdEmail: PPP.LTD@xtra.co.nz • Unbeatable pricing Email: PPP.LTD@ Penetration
NZ’s finest BioGro certified Mg fertiliser For a delivered price call... 0800 436 566
LATEST STORIES ON www.ruralnews.co.nz
ORDERS AND ENQUIRIES Ph:
0800 542 542 WEBSITE:
RegisCoatings.co.nz
REGIS COATINGS
SINGLE DOG BOX $525
incl GST
Accommodates up to 4 dogs 6 individual air vents Removable centre board 2 lockable galvanised gates In-house drainage Tie down lugs on each side Fits all wellside & flatdeck utes (2 models) ❱❱ Raised floor for insulation
QUALITY PRODUCTS MADE IN EUROPE OR BY PPPPO Box 73
❖
A trusted name in Poultry Industry ❖
Poultry Poultry Rubber Safety Matting Equipment Equipment
Tel: (09) 236 8414 Tel: (09) Email: PPP.LTD Fax: (09) 236 Fax: 9321(09) Email: PPP.LTD@xtra.co.nz Email: PPP.LTD@
• ATV Carrier Mats • Exit/Entry Areas • Calf Trailers • Horse Floats & Trucks • Weigh Platforms • Bale Mats • Comfort Mats for Wet & Dry Areas • Utility Deck Matting
Phone 0800 625 826 www.mckeeplastics.co.nz
Phone: 0800 80 8570 www.burgessmatting.co.nz
E IN MAD USA
POLY SILOS Fast Easy Assembly No Blockages
Minimal Sweating Longer Lasting No Rust
Polyethylene
Full Range of Sizes:
wing.
From 1,600 L (1 tonne) to
041515C10927
d for use
c.
PO Box 73 Tuakau 1892
Tel: (09) 236 8414 Feed & Drinking Fax: (09) 236 9321 Email:trays PPP.LTD@xtra.co.nz • Plastic egg
Tel: Freephone: 0508 663 276Poultry for over 50 years PO Box 73 Tuakau PO Box 1892 73 Tua Fax: www.onfarmsafety.co.nzEquipment
incl GST
Series only)
PO Box 73 Tuakau 1892 Tel: (09) 236 8414
Fax: (09) 236 9321 0800Email: 901 902 PPP.LTD@xtra.co.nz
www.pppindustries.co.nz
• Poultry Equipment
FOR PEACE OF MIND ARRANGE YOUR CONSULTATION TODAY
m into a
elma, AL 36703
sales@pppindustries.co.nz
and Safety Provider
m harmful
m
Industries Ltd
PO Box 73 Tuakau 1892 Tel: (09) 236 8414 Fax: (09) 236 9321 Email: PPP.LTD@xtra.co.nz
60 years were built
ulching Blade
With Davey Pump & Honda Motor
PO Box 73 Tel: Dairy PO Box 73 Tuakau PO Box 1892 73 Tua Fax: Free Range & Barn Eggs Feed Systems Tel: (09) 236 8414 Tel: (09) Dairy Dairy Dairy Email: PPP.LTD Feed Systems SUPPLIERS OF: Fax: (09) 236 Fax: 9321(09) Feed Systems Feed Systems • Nest boxes - manual or NZ’s Premier Rural Health Email: PPP.LTD@xtra.co.nz Email: PPP.LTD@ automated
❱❱ ❱❱ ❱❱ ❱❱ ❱❱ ❱❱ ❱❱
s
rking Lights
$7,500 plus GST
P 06 835 6863 - www.craigcojetters.com
TOP DOG BOX
$745
Innovative Agriculture Equipment
• Performance Guaranteed
BREAKING NEWS MARKETS & TRENDS COMPETITIONS MANAGEMENT STORIES MACHINERY REVIEWS AND MUCH MORE...
SIMPLE TO APPLY !
Automatic Super Jetter
40,000 L (30 tonne)
KEEP YOUR WORKING DOGS ON THE JOB Up to 6 rechargeable waterproof collar units & remotes • Model SD-1825 – 1.6 Kms range (1 mile) • Model SD-1225 – 1.2 Kms range • Model SD-825 – 800 Metre range All with Tone & Vibration options 24 levels of correction – 3 year warranty
GREAT VALUE SD-1825 with 1 collar ................$695.00 SD-1225 with 1 collar ................ $595.00 SD-825 with 1 collar ..................$495.00 Extra collars $375.00 – PRICES INCLUDE GST
44”, 52”, 61”, 73” cut
0800 38 44 50 Culvert Pipes
Call: 0800 668 534
Rangiora
www.advantageplastics.co.nz
SMILE. The grass needs mowing. Again.
Our line of Zero Turn Mowers give you plenty to smile about. There’s the renowned durability and reliability that has made BUSH HOG® a legend for over 60 years. They’re perfect for commercial landscapers and homeowners with large lawns and acreage. They’re built to last and easy to maintain. They cut beautifully. And they’re a total blast to drive!
New Zealand’s CHEAPEST Culvert Pipes! FREE joiners supplied on request. ONE STOP WATER SHOP 300mm x 6 metre ................................ $410 400mm x 6 metre ................................ $515 500mm x 6 metre ................................ $690 600mm x 6 metre ................................ $925 800mm x 6 metre .............................. $1399 1000mm x 6 metre ............................ $2175 1200mm x 6 metre ............................ $3475 ALL PRICES INCLUDE G.S.T.
• Lightweight, easy to install • Made from polyethylene
McKee Plastics Mahinui Street, Feilding Ph 06 323 4181 Fax 06 323 4183
sales@mckeeplastics.co.nz | www.mckeeplastics.co.nz
Phone
0800 625 826
for your nearest stockist
Joiners supplied FREE with culvert pipes
ew! n e h t h it w in , Out with the old
Speedrite™ Mains Energizer 36000RS Remote System
1,399
$
Price valid with trade-in of an old energizer of any brand, in any condition
Powers up to 360 km / 200 ha fence
Speedrite™ Mains Energizer 63000RS Remote System
120
$
2,299
$
Price valid with trade-in of an old energizer of any brand, in any condition
Powers up to 2 km / 1.2 ha of fence
Powers up to 630 km / 350 ha fence
Rechargeable internal battery (included) 9,500 V output
Speedrite™ Solar Energizer with Battery S150
199
Speedrite™ Kiwiana 3 Joule Mains Energizer
$
Normally $319 Valid 1/5/2016 - 31/5/2016
$
299
Limited stock available
Powers up to 30 km / 18 ha of fence 3.0 J maximum output energy
PEL™ PA41 Pigtail Standard Steel Foot 760 mm
2
$ 99
MK 2 STR AINRITE™ ER S LI FENCING P
HASE 3 COIL S W HEN YOU PURC M HT W IRE* OF CYCLONE 2.5 M
Cyclone® Wire 2.5 mm High Tensile 2 Life 650 m 25 kg
$
74
Limited stock. *Limit one pair of pliers per customer, conditions apply, ask in-store.
99 PER COIL
Zinc alloy coating offers twice the life of traditional heavy galvanised wire Complies with New Zealand Standard AS/NZS 4534
Speedrite™ 3:1 Gear Ratio Geared Reel Prewound with Premium Super 8 Tape 200 m or Premium Super 9 Wire 500 m
99
$
Terms and Conditions: All offers and prices are valid 1 April 2016 to 30 June 2016 unless stated otherwise, or while stocks last. Prices include GST and are subject to change. Some products may not be available in all stores but may be ordered on request. Prices do not include delivery, delivery costs are additional. Images are for illustrative purposes only. Energizer area recommendations are a guide only and in multiple wire terms. Performance will be affected by the condition of your fence.
Freephone 0800 10 22 76
www.pggwrightson.co.nz
Helping grow the country