Rural News 9 April 2013

management Mid-Canterbury couple look to retirement as they pull stumps on their turkey farm. page 32

tractor launch Deutz Fahr show off their new range at a glitzy Ashburton event. page 41

Rural NEWS to all farmers, for all farmers

agribusiness Pipfruit chair says primary industries may need to work together to reduce shipping costs.

page 21 april 9, 2013: Issue 535

www.ruralnews.co.nz

US anti NZ dairy stance alan harman

AMERICAN DAIRY producers and processors will be harmed by giving “monopolistic” Fonterra and New Zealand access to the US through the proposed Trans-Pacific Partnership (TPP) free trade agreement.

That message was delivered to key members of the US Senate and Congress in a letter from a coalition of 11 farmer organisations.

At the same time, the powerful International Brotherhood of Teamsters union says New Zealand Prime Minister John Key’s comment that he will not accept any trade deal if it didn’t include agriculture is a threat to the U.S. Calling for supporters to sign a petition against allowing agriculture in the TPP, the union says that by agriculture Key means dairy farms, “which enjoy all sorts of government protection”.

“We’re taking Key’s comment as a

signal that New Zealand’s dairy industry intends to dump milk, cheese and butter on the US market as soon as the ink is dry on the TPP.” The letter from the 11 rural organisations representing dairy farmers and dairy industry workers says Fonterra’s market presence has the potential to

facial eczema explosion?

Leo Cooney, field technician with Assure Quality responsible for coordinating facial eczema (FE) counts in the North Island, reckons the danger time for FE is fast approaching.

He says the worst outbreaks always follow drought and is warning farmers to check spore counts or obtain up-to-date data on this issue.

More pages 18 and 38.

seriously damage American livelihoods.

The letter writers say “the future of the country’s 60,000 dairy farmers is at stake.”

The TPP has the potential to become the biggest trade deal in history, involving Brunei, Chile, New Zealand, Singapore, Australia, Canada, Malaysia,

Mexico, Peru, the United States and Vietnam. Also interested are Japan, the Philippines and Thailand.

The letter says the trade deal could have tremendous impact on where and how dairy products are produced and processed. to page 5

Fertiliser stoush looms a n d r ew swa l low andrews@ruralnews.co.nz

SOME FERTILISER cooperative members are looking to make their own fertiliser import arrangements because they can’t get the quality of product, or best deal, from their cooperatives.

Rural News understands at least a dozen, mostly large-scale cropping farmers, are involved, tempted by savings of at least $100/t. For some, it won’t be the first time they’ve imported for price and/or quality reasons. However, only one of those contacted by Rural News is prepared to be named for fear of being seen to be undermining the cooperatives in which they hold shares.

“We did it initially because we wanted a specific quality product but as it turned out it was cheaper too,” said a grower who has twice resorted to imports.

Some spoke of the poor spreadability of local product limiting them to 24m tramlines when, for efficiency reasons, they would otherwise be going to wider operating widths.

South Canterbury grower Jeremy Talbot, who for decades has tried to get Ravensdown and the wider New Zealand fertiliser industry to address the physical quality problem (Rural News, Mar 5), is among those looking at imports. to page 4

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Rural News // april 9, 2013

news 3 issue 535

www.ruralnews.co.nz

Calls grow louder for meat industry unity

John McCarthy says there’s strong support for change in the meat industry.

peter burke peterb@ruralnews.co.nz

News ������������������������������ 1-20 World ������������������������������ 21 Markets �������������������� 22-23 Agribusiness ����������� 24-25 Hound, Edna ������������������� 26 Contacts ������������������������� 26 Opinion ����������������������� 26-29 Management ����������� 30-35 Animal Health �������� 37-40 Machinery and Products ������������������ 41-45 Rural Trader ���������� 46-47 Head Office Top Floor, 29 Northcroft Street, Takapuna, Auckland 0622 Phone: 09-307 0399 Fax: 09-307 0122 Postal Address PO Box 3855, Shortland Street, Auckland 1140 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 80,767 as at 31.12.2012

A CAMPAIGN to get a ‘Fonterra style’ single model for the meat industry is gathering momentum: farmers will meet on April 26 at Feilding to discuss the idea.

A meeting in Gore recently attracted 1000 farmers who called for greater unity and major changes to the industry’s running. Many farmers are dissatisfied especially with the ‘competitive’ relationship between the two big meat processing cooperatives.

An organiser of the Feilding meeting, former Meat board director John McCarthy, says there is massive support for change in the meat industry.

The meeting’s theme will be ‘No change, no future’.

“We will be sending a message to the companies, our farming representative

bodies, politicians and others that the farming sector is no longer prepared to put up with having our livelihoods ruined by a dysfunctional industry and the financial shenanigans of the meat companies.

“We want an industry that delivers profit and a future to all the participants. The current model is well and truly broken and we need a new one.

Logic would suggest we need a ‘NZ Inc’ approach to our meat exports.”

McCarthy says the individual companies, each with a number of brands, competing in the global marketplace, have consistently failed to deliver sustainable returns. Farmers will be looking to achieve a mandate for real change from the meeting. “We may also seek to obtain and use a portion of the PGP funds to focus on the market end of the chain.”

The meeting organisers’ target audi-

ence is farmers who don’t normally attend such events. “Our message is simple: to effect some meaningful changes we need to demonstrate the serious level of farmer concern. A large turnout will do that. So if this is the only meeting that you attend in your life, we

need you to be there; large, small, this is our chance to say, enough is enough. If we limp on the way we are going we have only ourselves to blame.”

The meeting will be held after the usual Friday sale. It will be well advertised.

Dairy’s tight on-farm cash flow Share price soars

sudesh kissun sudeshk@ruralnews.co.nz

A LIFT in payout and advance rates is helping drought-affected farmers, but cash flows remain tight, says Fonterra chairman John Wilson.

The higher advance rate and 30c/ kgMS lift in milk payout means on average farmer shareholders will get $100,000 earlier in the season but Wilson says farmers have already spent most of the money on feed.

“It’s good Fonterra is in a position to increase the advance rate and lift the payout,” he told Rural News. “But that money has already been spent so the cash flow over the next six months or so will be tight.”

Fonterra farmers will get an extra 50c this month and 20c in May and June on top of the $4.25/kgMS advance

FONTERRA CHAIRMAN John Wilson says a few farmers have talked with him about the soaring share price. But they know the market sets the price, he says.

Fonterra’s share price has soared to $7.50. It jumped 50c on the co-op’s strong first-half results two weeks ago. The shares were launched at $5.50 six months ago. Some Fonterra farmers complain about buying shares at the inflated price to match increased production.

But Wilson says measures announced in February allow farmers more flexibility to lift milk production.

“Milk volume and farmers growing are the lifeblood of the co-op,” he says.

payment for milk. The increases will be backdated for milk supplied this season.

The recent increase in global dairy prices has allowed the co-op to lift the advance rate for the season which ends next month. Wilson says the co-op is careful not to substantially increase advance rates and then claw back

money from farmers if the final payout falls short.

Wilson, who last week met farmers to discuss the co-op’s half-year results, says generally farmers appreciate the co-op’s help. With him were chief executive Theo Spierings and Fonterra Shareholders Council chair-

man Ian Brown.

He says dry conditions in the North Island since January have created challenges for farmers; many have turned to supplementary feeds and shifted to once a day milking to maintain the condition of herds.

“The drought in the third quarter has been more severe and lasted longer than anyone might have predicted, and means we are currently forecasting total milk collection volumes for the full season to finish in line with last season.

“Coping with the climate is part of farming. But there is no denying the stress a drought causes and at times like these farmer shareholders are looking for support from their cooperative.

“Backed by our strong balance sheet and operating cash flows, we were able to increase the advance rate paid to farmers for their milk.”

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Rural News // april 9, 2013

4 news

Not so cooperative fertiliser co-ops from page 1

“In theory urea should be no more than $600/t at the moment. Part of the reason it’s more might be down to foreign exchange contracts but that shouldn’t affect Ballance, so are they using the urea plant to fund all sorts of other things which may not be in the shareholders’ interests?”

As of last week, Ballance’s bulk ex-store urea price was $745/t.

Talbot says the quality of the New Zealand-made product is “rat-shit”; it won’t spread consistently, nor will Ravensdown’s imported urea.

“A number of fertiliser trucks previously certified under Spreadmark to spread to 24m have been cut back to 18m certifications because the quality’s so poor it just won’t

spread that far,” he notes.

For cropping farmers who have sown tramlines at 24m, finding a product won’t spread that far creates a real problem,

because extra wheelings eat into yields.

Restrictive environmental rules, such as keeping fertiliser out of waterways, make it imperative the cooperatives finally address the spreadability problem, says Talbot. “We have all these environmental constraints coming down on us and it is just going to be impossible to meet them without consistent fertiliser.”

Only its poor quality and variability is consistent, he says.

The problems aren’t limited to urea, he

stresses. Independent tests have shown some batches of superphosphate will spread over 40m, others won’t do 18m. “I’ve been on about this for 30 years and… we’re still getting poor quality fertiliser.”

Farmers and their representatives are as much to blame for the problems as the cooperatives themselves, Talbot believes, because the cooperatives are farmerowned, and Federated Farmers’ four seats on the Fertiliser Quality Council often haven’t been filled.

FQC chairman Neil Barton confirmed to Rural News the Feds usually only provided one representative to FQC meetings, and in the past couple of years even that had sometimes lapsed.

Ravensdown chief executive Greg Campbell

was unavailable for comment, though Rural News understands he has been made aware of the issues.

Ravensdown’s general manager of supply, Shane Harold, says the import quantities individuals are looking at may be one reason why they can currently get a better deal.

“A deal may be struck on any given day for a few containers under favourable foreign exchange terms that might work out to be cheaper on the day, but that just can’t scale up to the quantities of NPKS mixtures that flow into New Zealand farms which farmers need over the long-term,” he told Rural News.

He says comparing deals on 100t and 800,000t isn’t a case of comparing apples and pears: it’s comparing apple pips and watermelon.

“There is no way that New Zealand’s soil fertility and economic prosperity is going to be built a couple of containers at a time….

An operation like ours has to have stock available 12 months of the year including storage and interest

paid. This is particularly important in years like this when drought has slowed sales and farm incomes have been reduced, so farmers are delaying fertiliser purchases. As it rains, farmers will desperately need fertiliser available and chasing containers around can be a recipe for stress and allow the importer to ultimately charge accordingly.

“That is why co-operatives like ours were formed in the first place. Any profit we make is returned to farmer shareholders, year in, year out.

“That has meant that organisations like Ravensdown are an enduring presence. The odd entrepreneur can start up here or there, but will they still be here in 35 years being depended on in good times and bad? Certainly there have been several in the past that have tried and failed.”

As well as assured supply in times of shortage, farmers also expect to choose what volumes of

fertiliser they take and to not be contracted to buy, he adds.

“That kind of flexibility places demands on our logistics, but that is what is expected of us…. Qual-

ity and consistency are important elements in which products are purchased and we are lifting the bar higher and believe we have significantly improved in this area in the last 12 months with significant advances in high analysis products.

We will continue to listen to shareholders on levels of quality of products they require.

“We are always reviewing our sources of supply so that farmers secure value over the long-term.”

Ballance’s general manager corporate services, Warwick de Vere, says the co-op is “aware of occasional imports by growers or farmers, usually to take advantage of cheap spot

prices”.

“But the majority still choose to buy from their co-operative because we can guarantee secure supply and fair pricing which reflects market conditions.

“Customers place a value on the technical advice we provide and this comes from our investments in research and development which we have to fund. We buy through contracts to ensure supply security, so there will be variance in prices, but we consistently aim to have competitively priced, quality products which are readily available.

Any competitive advantage through procurement or other areas is reflected in rebates returned to shareholders.

“We pride ourselves on the quality of our manufactured urea and often receive feedback from customers who favour the quality and uniformity of granule size of our local urea over that of internationally sourced product, which at times can vary in granule size depending on the source.”

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FEDERATED FARMERS Grain and Seed chairman in South Canterbury, Colin Hurst, echoes concerns about the physical quality of fertiliser, having had problems last spring.

Several weeks after applying 250kg/ha of a potassium chloride/ ammonium sulphate blend on most of his 400ha of crops, he started to notice serious stripping.

“I reckon it will have cost us $30,000 in lost yield… I’d never

realised how important this spreadability issue was until I had a problem with it.”

Despite having the “Rolls Royce” of spreaders, it seems the blend, or at least the nitrogen and sulphur part of it, only spread to two-thirds of the 24m tramline width, resulting in poorly tillered areas in between, and much reduced yields.

Having raised the issue at Feds’ Grains council, Hurst is now co-opted on the Fertiliser Quality Council, representing the sector.

FQC chair Neil Barton says prod-

uct spreadability has been “a major concern” of the council for years but they’ve met a “brick wall” of resistance from both cooperatives when lobbying for improvements.

“Part of the problem is that the result of poor spread quality is not nearly as apparent with super spread on pasture or especially extensive hill.”

A remit that a report on the merits of adopting an EU spread-rating system, or developing a New Zealand specific system, is tabled for the council’s next meeting.

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news 5 Trade Me trouble for agri-chemicals A N DREW SWALLOW

DANGEROUS AGRICHEMICALS are being illegally sold on the Trade Me auction website, prompting ‘please desist’ requests by Agcarm, the New Zealand industry body representing crop protection and animal health manufacturers and distributors.

Agcarm chief executive Graeme Peters says for 18 months they have tried to persuade Trade Me to prohibit the sale of pesticides but agchemicals are still for sale on the site.

“This isn’t about removing competition; it’s about the integrity of the industry,” Peters told Rural News. “It’s about keeping people and the environment safe. You shouldn’t be able to sell dangerous insecticides on Trade Me, or buy a large quantity of herbicide, cut it down and put it into smaller packaging and resell it.”

Trade Me’s response to Agcarm’s concerns has been to deal with specific

examples presented to it, but it has stopped short of prohibiting the sale of agrichemicals on the site, as Agcarm has requested.

“We don’t think that’s good enough,” says Peters, who last week wrote to the New Zealand Police and New Zealand Post alerting them “that dangerous goods are being transported without proper identification and documentation.

“The transport of these hazardous and/or illegal substances is putting New Zealanders at risk,” wrote Peters.

“Many pesticides are dangerous goods. Many herbicides are hazardous to the aquatic environment and some insecticides have properties toxic to humans and animals.

“Agcarm has taken specific examples of illegality to the regulators of pesticides – the Ministry for Primary Industries, and the Environmental Protection Authority. We have also approached the Ministry of Business, Innovation

US ups anti NZ dairy stance from page 1

“New market access for New Zealand’s Citizens Trade Ca mpaign • Family F arm Defenders • F Federation of So monopolistic dairy sector would be especially ood & Water Watc uthern Coopera h tives/Land Assista International Brot nce Fund damaging to US dairy farmers and those who herhood of Team Institute for Agric sters ulture and Trad e Policy • League National Dairy P produce and process nonfat dry milk, butterroducers Organ of Rural Voters ization • Nationa National Farmers l Family Farm Co Union • Rural Co alition

fat or cheese,” the letter says. “It is critical that alition/Coalició n Rural

Congress provide clear direction and oversight The Honorable Ma x Baucus Committee on Fin ance regarding expectations for US negotiators in United States Sen ate 219 Dirksen Senat e Office Building order to avoid serious disruptions to agriculWashington, DC 2 0510

tural sector livelihoods.

March 4, 2013

“The surest and simplest way for ConDear Chairman B aucus:

gress to achieve this outcome, the letter says, As the Administrat ion continues nego tiating new standa the Asia‐Pacific r is by writing safeguards directly into whategion and beyond, rd‐setting trade pa we ask that any tr cts for granted to the exe ade policymaking au cutive branch inc thority lude measures sp the interests of A ever trade policymaking authority it decides ecifically designed merica’s dairy far to advance mers, farm worke

rs, processors and consumers.

The pending Trans to grant the executive.” ‐Pacific Partnersh ip (TPP) Free Trad tremendous impac e Agreement cou ts on where and h ld have Teamster’s president James Hoffa says it ow dairy product We are concerned s are produced and about market acce processed. ss offers, sanitary a and other provisio nd phytosanitary s ns of the TPP — and is especially important that Congress reviews tandards their relation to u Farm Bill. New ma ncertainty regard rket access for New ing the Zealand’s monop especially damagin olistic dairy sector g to U.S. dairy farm the impact of the TPP on the US dairy induswould be ers and those who p nonfat dry milk, b utterfat or cheese roduce and proces . s

try because the deal has been negotiated in The U.S. dairy ind ustry generates $1 40 billion in econ estimated 900,000 om complete secrecy. ic activity and em workers, while pro ploys an viding nourishme nation simply can nt to millions more not afford to com pete with dairy imp . The conditions. It is c To make sure the US dairy industry won’t orts produced unde ritical that Congr ess r un provide clear dir fair regarding expecta ection and oversig tions for U.S. nego ht tiators in order to agricultural sector be “decimated” by the TPP, the letter urges avoid serious disru livelihoods. ptions to

The surest and sim Congress to adopt new trade policymaking plest way for Cong ress to achieve thi safeguards directl s ou y into whatever tr procedures. ade policymaking au tcome is by writing the executive. Ra thority it decides t ther than reinstat ing the Nixon‐era o grant recent iterations of “ “Fast Track,” or i Trade Promotion A ts more‐ “Congress must make sure this trade policymaking proce uthority,” Congres s should create ne dures that: w trade • Require that, p deal doesn’t open the door to unfair comrior to continuing negotiations, the O Representative pu ffic e of the U.S. Trade blish all negotiati

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and Employment, which is charged with enforcing the Hazardous Substances and New Organisms Act. We have written to Trade Me, through which chemicals are traded, asking that it add pesticides to its prohibited list.

“While these four organisations have addressed the specific cases we’ve pointed out, they’ve not acted to stop the ongoing problem, which we believe is the listing and trading of hazardous agrichemicals on Trade Me. “Our motivation is not commercial. The quantity of product sold on Trade Me is relatively small compared to the NZ$250-$300 million a year industry. This letter is motivated more by the damage that could be caused by an incident. This damage will hurt the reputation of the vast majority of the agrichemical industry which takes human and environmental safety and product stewardship seriously.”

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Rural News // april 9, 2013

6 news

Lamb losses near and far Global supply of lamb looks likely to tighten in the coming year driven by New Zealand’s drought and Europe’s snowy spring. Andrew Swallow reports.

“You can see exactly what’s going to happen,” Beef + Lamb New Zealand chairman Mike Petersen told Rural News. “There’s going to be low and slow supply from both the EU and New Zealand which is going to make it incredibly hard to fill Christmas orders.”

Petersen had just returned from a whirlwind visit to the UK, France and Belgium. In the UK thousands of ewes and cattle are dead under snowdrifts so deep they won’t thaw for weeks, farmers say (see sidebar story). Ireland, another regular exporter of lamb, is also reporting a poor spring.

With Easter later next year – April 18-21 – the surge in demand for that market may not be so hard to meet, but overall supply from New Zealand will definitely be down says Petersen.

“This drought is significant, not just for the number of lambs there’ll be, but for farmers’ ability to feed stock through pregnancy and lactation.”

The mutton kill, already exceeding 3m head as of last week, was “still galloping ahead” in the North Island last week, another indicator the lamb crop will drop. “A lot of those ewes would otherwise have gone to the ram.”

probably have knocked five percentage points off ” tailing numbers nationally already.

It’s also probable a lot fewer hoggets will be mated, given the scarcity of feed and lower weights of lambs going to

Snow fell across much of the UK and while the worst losses were highly localised, some areas were reporting the deaths of thousands of breeding ewes.

Beef + Lamb New Zealand economic service director Rob Davison says it is a bit early to put figures on the drought’s impact on the lamb drop, but acknowledges there’s bound to be an affect.

“Clearly ewes are in lighter condition and that will pull our lambing percentage back,” he told Rural News.

Looking at the impact of previous droughts he estimates this one “will

slaughter. “The cumulative kill weight is down 0.7kg/head to date in the North Island and in the South Island it’s 0.06kg/head down.”

Compared to this time last year the number of lambs killed is about 18% ahead nationally and 24% ahead in the North Island, though last year’s growthy season and good prices saw many farmers hold onto lambs longer than usual,

he notes.

Beef + Lamb’s equivalent organisation in England, EBLEX, says there’s “no doubt” the extreme weather has made lambing exceptionally difficult for many English farmers. “Some have suffered serious losses,” EBLEX spokeswoman Jo Biggs told Rural News.

Access to grass remained a problem last week, ten days after the first of the storms struck, and alternative feeds were having to be provided.

While Biggs didn’t mention it, reports from elsewhere in the UK talked of problems finding adequate quality feed following a terrible summer and autumn last year.

Biggs said as of last week it was impossible to put a figure on the losses and impact on the lamb crop.

“In 2012, the UK produced a crop of 17 million lambs. The expectation was that the crop in 2013 would be of a similar size, however it’s now likely that this figure will be revised down to some extent, although it currently seems unlikely that this will have a significant impact on supply.”

Meanwhile the National Farming

Union of England and Wales (NFU), told Rural News the March snow was the worst in living memory.

“Drifts over 20 feet deep have been reported in parts of the Pennines, West Yorkshire, Cumbria, the Midlands and Wales.”

Snow fell across much of the UK and while the worst losses were highly localised, some areas were reporting the deaths of thousands of breeding ewes.

Adding insult to injury, UK legislation means farmers with many dead stock now face bills “amounting to thousands of pounds” to have the carcases collected and disposed of.

At the NFU’s request, the English ministry responsible for farming, Defra, and the Welsh Assembly, have permitted on-farm burial for a limited time, but the scale of loss on some farms makes that practically impossible, says the NFU. Charles Sercombe, chairman of the NFU livestock board, says numbers of dead sheep recovered from the snow are starting to pile up in farmyards.

“We are receiving reports of farms with hundreds of breeding sheep that

Rural News // april 9, 2013

news 7 UK snow storms hit flock and lamb crop

Beef + Lamb NZ chair Mike Petersen.

have been lost in drifts; aside from the long-term impact that losing this number of breeding animals has on the farming business, they will now be faced with a bill of several thousand pounds for disposal.

“We understand the relaxations announced, but burying large numbers of animals on farm is not realistic. We need government and [National Fallen Stock Company] NFSCo, set up to find ways of reducing the cost of fallen stock disposal, to come up with a plan using

contingency funding to move these animals from farm without charge for those farmers and dispose of them responsibly.”

NFU President Peter Kendall says the past year’s weather in the UK – unrelenting rain and floods through summer and autumn, and a long winter and snowy spring – has “completely knocked the stuffing out of the industry.” @rural_news facebook.com/ruralnews

LAST WEEK the UK Farmers Weekly reported the livestock snow toll at “25,000 deaths and rising” with many more casualties expected to be revealed as deep drifts melt.

While the figure, compiled from National Fallen Stock Company data, includes nearly 5000 cattle, it won’t include many lambs because no count is made of unweighed containers or sacks that don’t identify the number of dead inside.

While a temporary derogation to rules prohibiting on-farm burial of fallen stock has been granted in some areas, farmers taking that option must show that deadstock collectors were unable to access the farm, notify their local authority that a burial is taking place and record the burial detail – time, location, and tag number if applicable – in the official farm stock movement book.

The BBC reports Wales’ Natural Resources and Food Minister Alun Davies has rejected farmers’ calls for financial assistance.

Alun Edwards, a hill farmer near Llanuwchllyn, Gwynedd, told the BBC’s Radio Wales the burial derogation was “far from enough…”.

“There are so many huge snow-

UK snow storms have claimed 25,000 sheep deaths and rising, so far.

drifts in various areas, 20-30ft (6-9m) drifts. Those drifts are not going to go away through the whole of April.”

Tudor Jones, who farms near Bangor, Gwynedd, told the BBC the derogation was “a welcome start, but you can’t bury sheep you can’t find.”

Last week, ten days after the first

blizzard struck, he’d only managed to find three sheep and said it could be another three weeks before the deepest drifts thaw.

He called the minister to follow the lead of Northern Ireland and Scotland where a fund has been offered to help those who have lost livestock.

Rural News // april 9, 2013

8 news

Conservation values no dead duck for farming PA M TIPA

lamb or kiwifruit… They love our story because they perceive us to be a smart little country way down the end of the world that’s isolated and innovative.

They will buy anything we produce as long as they love our story.”

Farmers own most of New Zealand, he said. DOC oversees one third of the land, but has such a small budget that only about 10% of conservation land is being actively managed.

Steele said we can’t feed the world and “I don’t think we should try”. If we quadruple our food production we can feed 1% of the world. On a South American touring holiday recently he met a guy in a pub who took him to the farm he worked on.

The farm (run by New Zealanders) was doing a million litres of milk a day.

South America could feed more of the world than we ever could but, he said, “it can’t compete with us politically and they can’t compete with us environmentally; in everything else they will blow us out of the water.

“We can’t feed the world but we can feed the wealthy. It’s production versus performance on farms.”

Sheep farmers had been told for years to increase their lambing percentages but he didn’t believe it made the farmers more money. In the push to more productivity dairy farmers looked like “sheep farmers on steroids”.

He said research which showed the best condition-score cows were the most efficient converters of nitrogen to protein would enable dairy farmers to cull the worst performers, run a few less cows, be more environmentally friendly and produce more milk.

pamelat@ruralnews.co.nz

FARMERS SHOULD lead the conservation movement to get the best return on their products, says farmer/conservationist, Dan Steele.

After setting up Blue Duck Station on the Whanganui River, Steele, who saw himself as an ordinary Kiwi bloke who grew up on a farm and played rugby, woke up one day and realised he was a conservationist.

“That was a bit of a shock to me because conservationist in New Zealand makes you think of tree hugging, mung bean-eating, flower jersey-wearing hippies, with pickets on Queen St, being anti-business and doing bugger all,” he told the Dairy Women’s Network conference.

“But then I thought ‘Í love New Zealand, I want to look after it, I want everything that leaves New Zealand’s shores to be worth more because we love New Zealand’.”

Blue Duck is a working sheep and beef station with a focus on conservation of its endangered wildlife, increasing the health of native bush and rivers and educating thousands of tourists who visit and stay each year at its four lodges.

Steele said the radical 1% of conservationists get all the television time. They annoy him; you have to be pragmatic and earn a dollar. “We can’t all go broke. We have to have good industry and look after New Zealand also.”

Realist, mainstream conservationists were a growth group in New Zealand and that’s where the future was, he said.

If you loved the land, wanted to leave it a better place for your country and your children, you were a conservationist; we had to change our attitudes to what a conservationist is, he said.

Dan Steele... not a tree-hugging, mung bean-eating conservationist.

“Farmers should be leading this conservation work” and New Zealand should lead the world in conservation.

“The world loves our story and they love what we do; the world doesn’t care what we produce – whether it’s cheese,

Farmers need to act DAIRY WAS always in the news and must feel the spotlight on it to clean up its act, Steele said. Dairy farmers should be proud of what they had done but they must be concerned about their reputation.

“Your reputation really does matter— to your families, your kids and your employees. You don’t have to be worried about what people think about you if it’s that 1% of radicals, but mainstream New Zealanders… you want them and the international community on your side because they will pay more for your products.”

Dairy farmers were a big part of the reputation of New Zealand, Steele said.

They had most of the low lying land and they were our biggest exporter “so it is pretty important you guys get it right”, he said at the Dairy Women’s Network conference.

He applauded initiatives that were “slightly turning it around but I think it could be quicker”. “If the spotlight comes on you, you would like to say ‘yeah we’re an industry that’s proactive; sure our production is going up but we are mitigating it in these ways’.

“There are good things happening with sustainable dairying and the water accord but these are corporate driven. I would like to see all farmers leading this from the bottom up.”

@rural_news facebook.com/ruralnews

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Rural News // april 9, 2013

news 9

Fonterra’s Chilean business a star performer sud es h k i ssun sudeshk@ruralnews.co.nz

FONTERRA’S CHILEAN business Soprole has been the star performer in the co-op’s offshore portfolio.

For the half-year ending January 31 Soprole’s gross earnings rose 40% to $53 million. The dairy proces-

uncertainty in Venezuela and poor performance in Brazil reduced DPA’s earnings. “The joint venture has not performed and we’re discussing a strategy with our partners.”

DPA is South America’s largest dairy company, selling 3 billion L of milk a year. It has at least

year gross profit to $693.

Its net profit rose 33% to $459m.

The NZ Milk Products unit, made up of its processing business in New Zealand, was the biggest contributor. Its gross earn-

ings rose 65% to $422m.

Spierings says its strong first half reflected a drive to increase volume and value, two core elements of Fonterra’s strategy.

“NZ Milk Products’ performance was achieved

“It’s our best practice for consumer brands – driving volume and value and keeping costs under control.” sor, 99.7% owned by the co-op, has delivered an outstanding result, says Fonterra chief executive Theo Spierings.

“It’s our best practice for consumer brands – driving volume and value and keeping costs under control,” he says. “Product innovation in the Chilean market with the successful launches of new dairy desserts and yoghurts has supported earnings growth.”

Normalised gross earnings from Fonterra’s Latin American (Latam) business rose 5%, helped by Soprole’s solid growth. But the co-op’s joint venture with Nestle, Dairy Partners Americas (DPA) recorded a 46% drop in earnings.

The co-op is reviewing its DPA strategy.

Spierings says political

3000 employees, 12 factories and 243 marketed products.

Meanwhile Fonterra’s Asia and Middle East business earnings rose 27% to $100m. Higher volume growth in the foodservice and consumer brands business in China, Indonesia, Malaysia, Middle East and Vietnam contributed to a 13% increase in sales volume to 186,000 MT, which helped underpin a strong first half performance.

Spierings says Malaysia grew in double digits.

But the Philippines was hit by flooding and increased competition. Fonterra is focussing its efforts in the growth markets China, Middle East and Vietnam.

The Asian/Middle East and Latam businesses helped lift Fonterra’a half

Scheme accredits chemical applicators RURAL CONTRACTORS New Zealand, the national association representing chemical applicators, has launched a chemical applicator accreditation scheme for its members and others in the industry.

“The application of chemicals in the agricultural sector is of primary importance to the industry and the environment,” said Rural Contractors executive director Roger Parton. “We have introduced a two tier accreditation programme, Basic Chemical Applicator for those who apply agrichemicals under supervision, and Registered Chemical Applicator, which is the highest level of expertise”.

Applicants are required to do NZQA level 2 or level 4 training in the subject and also have an Approved Handler Certificate. Renewals of the Registered Chemical Applicator accreditation require the gaining of 10 professional development points over a five year period, and these are obtained through a variety of training and educational meetings.

through increased volumes, effective management of our product mix and a focused effort by the sales team to achieve higher price premiums compared to dairy commodity prices.”

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Rural News // april 9, 2013

10 news

Another dairy payout rise on the cards?

SUDES H KI SSU N sudeshk@ruralnews.co.nz

TWO WEEKS after Fonterra announced a 30c lift in its payout, economists are not ruling out another rise.

Dairy prices have increased nearly 50% in the last four Global Dairy Trade (GDT) auctions. BNZ economist Doug Steel says another rise in the 2012-13 is possible as there’s definitely upward pressure on prices and Westpac economist Nathan Penny says a 50c/ kgMS hike may be on the cards.

Fonterra last month lifted its payout to $6.12/ kgMS – made up of a milk

price of $5.80/kgMS and a dividend of 32c/share.

Penny says its payout prediction is made up of $6.10/kgMS milk price and says it may go even higher.

“Prices for this season’s products could still go higher over the next few auctions. Accordingly, our $6.10/kgMS estimate is conservative. If prices stay at current levels, the farmgate milk price could go as high as $6.40/kgMS.” He says Westpac’s forecast takes account of the dramatic price movements over the last two auctions which may not have been fully incorporated into Fonterra’s forecasts.

But Steel points out the

recent price gains apply to a small share of the 201213 production.

“The last couple of months of the season produce only 10% of the total milk and this year the drought has impacted production,” he told Rural News.

A drop in production by key exporters and strong demand from China is fuelling the price hikes. Penny says production in Australia and the US has also been “fairly average to mediocre” keeping further pressure on the supply. Prices are expected to remain high “for the time being.

It has been upwards and onwards in recent

months. The drought kicked it off and coupled with strong demand from China, there is an upward risk for prices.”

But prices could drop once the northern hemisphere production kicks in during our winter.

Steel agrees the record prices won’t last long. “If the northern hemisphere has a reasonable season, it won’t be too long before prices start easing.”

Therefore, it’s too early to predict the opening price for the next season, he says.

Westpac has increased its forecast farmgate milk price for the 201314 season by 30 cents to $6.20/kgMS.

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Fonterra chair John Wilson admits Fonterra has been conservative with its forecasts.

Much needed relief FONTERRA CHAIRMAN John Wilson says its new milk price of $5.80/kgMS reflects the spike in GDT auctions.

At the start of Fonterra’s 2012 financial year, whole milk powder prices were sitting at US$2600/tonne. Last week’s GDT saw the price touch US$5100/t.

Forward contracts have sold WMP at US$6100/t.

“The new forecast reflects a recovery in global dairy commodity prices over the past two months,” says Wilson.

“Prices have increased in seven of the last fortnightly auctions on the online trading platform GlobalDairyTrade (GDT). The GDT-trade weighted index is now 26.7% above where it stood in February when the board issued its last forecast.

“World dairy trade growth is being led by powders (combined whole milk and skim) reflecting strong demand at a time when global supply is constrained.”

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“Commodity prices have been low but it is really encouraging to see the milk price improving and this should help farmers.”

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Rural News // april 9, 2013

news 11

Hills, tyres behind fatal quad crashes - coroner told STEEP hills and balding, underinflated tyres were partly the cause of three fatal Northland quad crashes examined this month by the coroner’s court.

Northland coroner Brandt Shortland is examining the accidental deaths Arapohue farmer Carlos Mendoza (52), Marua farmer Jack McInnes (64), and Awarua resident Suzanne Claudia Ferguson (62) to see what could be

felt the quad rolling and dismounted to try to steady it. “He wouldn’t have wanted his equipment to get dinged so he would have got off the bike and tried to hold it up.”

Ministry of Business Innovation and Enterprise investigating inspector Phil Bailey presented evidence at all three of the Northland coroner’s cases and was the investigating officer for Mendoza and Ferguson.

Helmets and roll bars were considered unlikely to have helped any of the drivers to survive. learned to prevent further accidents.

All three crashes occurred on steep terrain during August and September 2010.

Ferguson died after her 350cc Honda TRX 300 crushed her against a fence. Investigators believe she had gone off her regular track and was trying to get back to level ground. Mendoza died when he fell off his quad which then rolled onto him. He had been riding along a dam bank then drove up a berm. Mendoza, who lived alone on 4ha, is thought to have lain under the quad for four days before neighbours found him.

McInnes was crushed to death when his quad rolled on top of him during weed spraying on a hillside paddock where he turned uphill, the machine’s balance being upset by a cattle rut.

His daughter and the coroner surmise McInnes

Bailey told the court steep terrain was the deciding factor in all three cases; tyre wear and pressure also contributed. In all three cases the drivers were climbing or sidling slopes of 20-40o. Bailey said after the inquest that the ministry was now referring to the vehicles as quad bikes rather than ATVs (all-terrain vehicles) because it believed there were places quad bikes shouldn’t go.

All the quads in the crashes were mechanically sound but had balding, underinflated tyres.

Mendoza’s quad’s right front tyre was worn and almost flat. “This would have pulled the bike to the right,” said Bailey.

The tread on Ferguson’s Honda TRX 300 was also low – only 10% of the front tyres remaining.

Helmets and roll bars were considered unlikely to have helped any of the drivers to survive.

Coroner Shortland withheld final decisions until he could hear from expert witnesses in

Auckland.

Ministry figures record 850 quad rider injuries annually and five deaths.

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Rural News // april 9, 2013

12 news

Crime tip-off line goes rural pa m ti pa pamelat@ruralnews.co.nz

PROFESSIONAL ORGANISED criminals are moving into rural areas, says crime prevention advocate Crimestoppers.

Stock and equipment

are being stolen to order, chief executive Jude Mannion told Rural News.

“So rather than just the random, ad hoc theft, we are hearing of organised theft. When that’s going on someone always know something.”

The first-ever rural

campaign, by Crimestoppers, to encourage people to anonymously report crime or suspicious activity (freephone 0800 555111) has been launched.

They pass the police a tipoff within 3-4 minutes.

“If you don’t think something looks right or

feels right then call it in,” says Mannion.

Crimestoppers’ campaign ‘Shut the gate on rural crime’ is backed by rural insurer FMG and New Zealand Post to give rural people greater confidence to speak up.

“Some people call the

police and we are happy for them to do so where possible. But sometimes people don’t want to be involved with police, they want to remain anonymous,” Mannion says.

“We’ve known for many years that people in the rural sector will look the other way if they lose a bit of livestock, or machinery or equipment.

But the numbers of those thefts are gearing up because some pretty professional crime operations are moving in, they are far more organised.

“When people call us, we let the police know within about 4-5 minutes.

It adds to their intelligence picture.

So if someone is thinking of calling us and they are not sure if they’ve got all the facts or whether there is a crime being committed, that doesn’t matter. It will add to the bigger picture of intelligence.

“We wanted to do the campaign to say to people ‘your call will count’.”

Mannion says FMG is paying for the campaign.

“It was good to have a partner which could financially support us and they were on board as soon as we asked.”

NZ Post is also backing the campaign with the delivery of publicity material. All rural households

should be now receiving ‘It’s your call’ stickers for their properties.

Mannion says the campaign was not in response to any particular type of crime.

“Whatever the crime – cattle rustling, equipment theft, a drugs operation or manufacture, family violence, drunk driving – if it’s illegal and you want it to stop but you don’t want to be the contact person that’s ok, here’s another avenue.”

Already about 35% of calls to Crimestoppers’ freephone number come from rural areas. It gets about 1500 calls and secure online reports a month, steadily increasing since it launched in late 2009.

General manager of advice and insurance for

FMG, Conrad Wilkshire, says farmers are installing security cameras and forming Neighbourhood Support groups. Crimestoppers further helps protect rural communities from the financial loss, disruption and invasion of privacy caused by crime, he says.

Assistant police commissioner Grant Nicholls says police prefer people to talk to them first “but if for whatever reason they don’t want to do that, we’re encouraging them to pass on what they know to Crimestoppers”.

To contact Crimestoppers anonymously, call 0800 555 111 or use the secure online form at www.crimestoppers-nz.org @rural_news facebook.com/ruralnews

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Rural News // april 9, 2013

news 13

ACT calls for sale of Landcorp ACT says the Government should sell Landcorp.

The party’s associate primary industry spokesman Robin Grieve says the state farming enterprise should be included in the assets sales programme due to concerns it had spe-

has meant that no other farm management company or individual can compete with Landcorp for profit sharing opportunities on Milk New Zealand Holding’s properties.”

Grieve claims this is an abuse of power leading to

“ACT believes the Government should not be involved in the business of farm ownership and that 100% of Landcorp should be sold.”

enterprises always creates a conflict with the government’s responsibility to regulate industry a nonpartisan manner.”

Grieve claims this case

illustrates that general point and why Landcorp should be sold. @rural_news

Landcorp’s outgoing chief executive Chris Kelly was instrumental in the Crafar farm deal.

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“ACT believes the Government should not be involved in the business of farm ownership and that 100% of Landcorp should be sold,” Grieve says. “Not only is farm ownership well outside the Government’s core functions, there is also a real concern it used its power and position in the overseas investment approval process to gain a competitive advantage for Landcorp.

“The Crafar Farms sales agreement, formulated by the Overseas Investment Office (OIO) and endorsed by National, stipulated that Landcorp must run the farms. This

legislated protectionism.

“The OIO claimed this was beneficial to New Zealand because it benefits Landcorp. But it didn’t consider the negative impact this decision would have on the private businesses which compete with Landcorp for staff, for business inputs or produce sales.”

Grieves believes the Government skewed the playing field in favour of Landcorp and there was no legitimate reason to make this a condition of the sale to satisfy the OIO test.

“SOEs should operate without the need for special deals enforced

by Government. Crown ownership of commercial

Veterans hang up overalls GILTRAP ENGINEERING, Otorohanga, yesterday (April 8) took ownership of Bucktons Engineering.

In a letter to dealers, signed by Eric and Morris Buckton and Giltrap general manager Craig Mulgrew, the companies say, “After more than 50 years of fantastic service to the agricultural industry, Eric and Morris Buckton have decided to hang up their overalls and take some welldeserved time to enjoy life outside of the workshop.

“Bucktons has long been established as a proud and respected farming brand in New Zealand, and around the world. The Giltrap team is delighted to have the opportunity to carry the Bucktons brand into its next generation, and is looking forward to continuing the great relationships with the Bucktons’ dealers and customers.”

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Rural News // april 9, 2013

14 news

Farmers boo environment court ruling PETER BU RKE peterb@ruralnews.co.nz

FARMERS IN Manawatu/ Rangitikei are unhappy the Environment Court refused to consider additional economic evidence on Horizon Regional Council’s controversial One Plan. They blame Horizons for causing confusion over the matter.

Horticulture New Zealand wanted the court to look at new economic evidence produced for MPI

by Landcare Research.

This report showed the economic impact of One Plan on the region’s farmers was far greater than Horizons had originally stated.

The regional council has been criticised by government ministers for failing to provide quality economic data in the One Plan.

Andrew Hoggard, Federated Farmers Manawatu/ Rangitikei president, who has spent many hours making submissions on One Plan, says he’s disappointed the Environment Court will not hear new evidence. He disputes the judge’s assertion that the MPI evidence was not important enough and the Horizons submission was seen as ‘neutral’.

“The court has got it wrong,” Hoggard says, pointing out that the One Plan is complex and that the task of assembling appropriate evidence has taken a long time. Some evidence in the recent MPI report “turns the previous stuff on its head,” he says.

“The work done would have shed a completely new light on this plan and it should have been considered by the Environment Court. But there is

still a lot of water to go under the bridge because the council still has to adopt it. So hopefully things will change.”

Hoggard believes that up to 90% of farmers in Tararua District will require discretionary consents to farm, given the way the present One Plan is set. He says the discretionary consents clause in the plan was designed to deal with unique and unusual situations, not the majority of farms.

Also concerning him is that legal submission made to the Environment Court by Horizons did not accurately reflect the views of councillors. Rural News has seen the resolution passed by the council’s strategy committee which stated, “The committee supports in principle an application to the Environment Court for

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further economic analysis of the interim [Environment] Court decision in relation to the One Plan.”

At this point there is confusion about what happened to this resolution – whether it was passed, rejected or amended. But councillor Murray Guy,

who moved the original motion at the strategy committee meeting, says he was happy with the eventual outcome. Other councillors say they were told by staff at the meeting that they couldn’t support the Horticulture NZ application. As a result, they

went along with a submission to the Environment Court – which does not contain the words “support in principle” for the review.

Hort NZ’s Chris Keenan is disappointed, but not surprised, the Environment Court

has rejected the lobby’s request to hear the additional evidence. He believes if it had considered the evidence it would have resulted in a better One Plan. @rural_news facebook.com/ruralnews

Huge response to RMA reforms ABOUT 14,000 submissions have been received on the government’s discussion paper on reforming the Resource Management Act. Many are believed to be ‘form’ submissions from environmental groups. But there are also submissions from a wide range of primary and local government and industry.

The 83-page discussion docu-

ment contained such reforms as cutting the masses of expensive council plans and making the overall regulatory environment simpler, clearer and less expensive.

While the discussion paper reaffirmed the need to protect the environment, it also suggested emphasising “efficient use and development of natural and phys-

ical resources”, seen by many as placing greater emphasis on economic considerations.

Environment Minister Amy Adams says the lack of clarity in the RMA is discouraging innovation and investment.

Submissions closed this week on another Government document on water reforms.

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Rural News // april 9, 2013

news 15

Farmers encouraged to participate in swaps inquiry PA M TIPA pamelat@ruralnews.co.nz

FARMERS WITH concerns about the way interest swaps were sold need to respond to the Commerce Commission’s call for submissions, says Federated Farmers.

“There has been a lot of discussion about swaps, so the Commerce Commission is best placed to properly investigate them,” says president Bruce Wills.

This follows Federated Farmers coming under

to whether the Fair Trading Act has been breached, however we do have sufficient concerns that we wish to probe further,” said Commerce Commission chairman Dr Mark Berry.

Many farmers claim to have lost a lot of money dealing in interest rate swaps.

Berry says about 60 complainants have come forward but more are needed. “We are not only interested in people who feel they have been misled

pursue the matter vigorously, then a full select committee inquiry into

this must be held.

Further information and a questionnaire is on

the commission’s website www.comcom.govt.nz/interest-rate-swaps

Damien O’Connor

“Affected farmers forced to sign confidentiality agreements need to be able to present their case to the commission and they need protection from legal action by the banks.”

– Damien O’Connor but also those satisfied with the way the product was sold to them,” he says.

But Labour’s spokesman for Primary Industries Damien O’Connor says it’s difficult to understand why the commission wants people who are satisfied with the way swaps were sold to come forward, when the investigation followed dozens of complaints.

“The question for the Commission surely must be whether there was any inappropriate or misleading behaviour by the banks and, if so, what action should be taken.”

“Assurances given to a parliamentary select committee by the commission, that farmers would be protected should they bring evidence forward, have not been clearly restated by the commission.

“Affected farmers forced to sign confidentiality agreements need to be able to present their case to the commission and they need protection from legal action by the banks.”

O’Connor says if the commission does not

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fire from some members saying it had not represented their concerns strongly enough. But the Feds say it wrote to the Commerce Commission last November and now welcomes a recent update on its investigation under the Fair Trading Act 1986 into the promotion and sale of interest rate swaps.

“Federated Farmers needs to stress that the Commerce Commission will need facts,” says Wills.

“If farmers have related documents like emails, file notes, letters, transcripts and the like, then please collate them and keep them safe in case the commission requests them from you.”

The commission says it has received complaints mainly from the rural community alleging they were mis-sold the product by certain banks. The commission has received preliminary information from the banks and more detailed information is being sought.

“This is a very complex investigation and we are at an early stage. We have not yet formed a view as

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Rural News // april 9, 2013

16 news Horizons Councillor and dairy farmer John Barrow with the file notes from his case.

Too fertile ground for accidents The New Zealand Groundspread Fertiliser Association – NZGFA – says it is extremely concerned about the number of fertiliser spreading truck accidents.

During the past three months, eight spreading trucks have rolled. This has resulted in one serious injury and two fatalities.

NZGFA president Stuart Barwood says the association is “pursuing every avenue to try and make the business a lot safer.”

“Even one fatality is one too many,” he says.

“Part of the problem is the ground is rock hard from drought conditions, but

where there has been some rain there is a covering of soft grass and clover, certainly in the South. That means trucks can slip on steep slopes.”

He says that modern, purpose-built fertiliser ground spreading trucks with four wheel drive and diff-lock on all wheels will go places that the previous generation of trucks could not go. However, when they let go on hard, but slippery ground – the consequences can be serious.

Barwood says the association is looking at any safety devices that can help mitigate the risk.

Prosecution overreaction claims dairyman PETER BURKE peterb@ruralnews.co.nz

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DANNEVIRKE DAIRY farmer and Horizons Regional Councillor John Barrow says he feels vindicated after being discharged without conviction on charges related to alleged breaches of water take consents.

Barrow told Rural News that from day one he felt the charges were ridiculous. “I’m not saying nothing happened, but it was a complete over-reaction on the part of the council and it never should have gone as far as it did.”

Barrow says defending the charges cost him at least $60,000 and in the end he decided to plead guilty rather that carry on the costly process of defending the charges, which annoyed him.

“It’s dragged out over two years. It seems to have been made to cost me as much as it possibly could. As you know, we were faced with the situation a couple of months ago of carrying on and spending a lot more money or pleading guilty to some of the charges – which is what we did.”

In discharging Barrow without conviction, the judge said the offences had not been intentional or deliberate and that a conviction would have an impact disproportionate to his alleged offending.

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Barrow believes the way he was treated is unacceptable. However, he says over the past two years things have improved at Horizons and he doesn’t believe that this sort of thing will happen again.

“My concern, however, is that under the provisions of the Resource Management Act there is the ability for this to happen again with any council. It depends on the councilors and staff and their attitude.”

Barrow says he will be standing for the council again at this year’s local body elections and believes his mandate is stronger than ever.

“I stood for council on the basis of stopping this sort of thing and found myself caught up in it. I’m a councilor and I’ve got some personal opinions, but I’ve got to keep these to myself. “ He says in the past farmers have been picked on and fined, while district councils which have been non-compliant and had expired consents.

“If farmers had been in that position they would have been in a lot of trouble,” Barrow adds.

In one final twist to this saga, while John Barrow was being prosecuted by his own council, Horizons chairman, Bruce Gordon – along with many others – provided him with a character reference.

Rural News // april 9, 2013

news 17

Zespri to appeal Chinese conviction PA M TIPA pamelat@ruralnews.co.nz

ZESPRI WILL appeal the conviction on customs charges of its Chinabased subsidiary and an employee who faces five years’ jail.

Both the subsidiary, Zespri Management Consulting Company (ZMCC), and a ZMCC employee, will appeal the judgment delivered by a Shanghai court for the underpayment of customs duties on New Zealand kiwifruit, Zespri has confirmed to Rural News.

“This means in effect the judgments against ZMCC and its employee will be suspended awaiting the result of the appeals process, which could take several months to complete,” the company said.

“Zespri will not comment further on this matter so as not to prejudice the appeals of ZMCC and its employee. Within these legal constraints Zespri will continue to keep the New Zealand kiwifruit industry and other interested parties updated on the progress of the appeal process.”

Meanwhile, NZKGI (New Zealand Kiwifruit Growers Inc.) has established an independent inquiry. The growers’ organisation says it understands the charges relate to importing arrangements only from 2008 to 2010, and that from 2011 onwards the import arrangements operated

by Zespri are not subject to questioning by the Chinese authorities.

However, NZKGI wants to look into the circumstances that gave rise to the Chinese prosecutions and any effects on the Zespri brand and continued trade with China.

The probe started in early March and will report back late April at the earliest.

NZKGI chief executive Mike Chapman says growers need to have full confidence in Zespri’s activities and ensure where improvements are needed, they are made.

Chapman says growers are concerned that imports and sales of New Zealand kiwifruit are not stopped or slowed down as a result of this court decision.

“Our inquiries indicate that our continued exports to China have not been affected to date,” he says. “We also want assurances that they will not be affected by this decision going forward.”

In the judgment the court ruled that: ZMCC was convicted of smuggling general cargo and fined about NZ$960,000.

The ZMCC employee was found guilty of being an accessory to the crime of smuggling general cargo. The judge said he had played a “minor role” in the offending and was therefore given a “lightsentence according to the law” of five years’ imprisonment.

The court also ruled that “illegal gains” from the crime should be repaid. It appears the court is referring to the amount of money paid by the former importer to ZMCC for marketing services, which were offset against the importer’s fruit account. Under this ruling, the illegal gains could amount to about NZ$10 million.

Zespri pleaded not guilty to the charges at a court appearance on January 17, on the basis that the legal obligation to meet all customs requirements sat

with its former importer and it had no intent to facilitate or engage in the evasion of customs duties.

The conviction follows a China Customs investigation beginning in 2011 which resulted in Zespri’s former Shanghai-based independent importer, Liu Xiongjie, pleading guilty to charges of criminal smuggling in May 2012.

In hearing his case,

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the court rejected his mitigating defence that he was not responsible for meeting customs obligations on the importation of New Zealand kiwifruit. Liu is appealing his 13-year sentence. He has repaid about NZ$7 million, which was the amount of the underpaid customs duties. @rural_news facebook.com/ruralnews

Rural News // april 9, 2013

18 news Check out our new websites www.ruralnews.co.nz www.dairynews.co.nz

Pasture hiding potential ‘hand grenades’ – expert peter burke peterb@ruralnews.co.nz

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HUNDREDS OF thousands of ‘mini hand grenades’ are at risk of building up on farms around the country as the drought starts to break.

Leo Cooney, field technician with Assure Quality responsible for coordinating facial eczema (FE) counts in the North Island, says the danger time for FE is fast approaching.

The worst outbreaks always follow drought and he’s warning farmers to check spore counts or obtain up-todate data on this issue. Cooney, working in the Horowhenua, regularly monitors eight sites. He says some spore counts in that area are as high as 300,000 spores per gram of grass, but others are 60,000-100,000 based on the ‘dry count’ method he uses.

“When we get counts of over 100,000 with either method then they are getting into danger territory.

If they get to 500,000 they are really going to produce clinical cases of FE in stock susceptible to this disease.”

FE is caused by the toxin sporidesmin produced by the fungus Pithomyces chartarum which grows rapidly in warm wet pastures mainly from January to April although cases of FE have been known to occur in May. The sporidesmin damages the liver of an animal and makes it sensitive to light causing severe inflammation on parts of the skin especially around ears, eyes and udder.

Cooney says as pastures dry up there is no problem because the fungi that produce the toxic spores rely on

rotting vegetation to survive. As long as it remains dry spore counts remain low, but when it rains or there are heavy dews, things change rapidly.

“The fungi love that and start getting into top gear and producing the spores. Despite what some farmers say, that the heavy rain washes the spores down, I’ve found that to be fallacy.”

In fact, the fungi loves rain and while it might take a week or two, the spores will always come up after rain, especially after a drought, he says.

“The other reason it’s very dangerous after a drought is that the stock are grazing much closer to the ground and the highest concentration of the

FE spores pictured under the microscope.

spores are always in that last inch of pasture where there is sweet grass coming away after drought which the stock.”

• More on page 38

in brief $8 billion potential A new report – commissioned by the Ministry for Primary Industries – has shown the potential held in over one million hectares of Maori freehold land.

Minister for Primary Industries Nathan Guy says the report Growing the Productive Base of Maori Freehold Land estimates that lifting productivity to average industry benchmarks could result in an additional $8 billion in gross output and 3,600 new jobs for the primary sector.

To achieve the estimated gains an investment in the land of just under $3 billion would be required.

“The potential for Maori freehold land represents an opportunity for Maori, the wider primary sector and New Zealand as a whole,” Guy adds.

“The report confirms that some iwi are well organised and have their asset base generating good returns, while others haven’t realised their true potential yet.

Our soil types vary throughout the farm, so our fertilisers need to change to suit our conditions.

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IF ALL FARMS WERE EXACTLY ALIKE,

Rural News // april 9, 2013

news 19

Stressed farmers taking advice PETER BU RKE peterb@ruralnews.co.nz

SOME FARMERS are so stressed by the drought that they just don’t know what to do – caught like possums in car headlights.

So says Hawke’s Bay Rural Support Trust chairman Mike Barham.

Farmers see their every option shut off and they don’t know what to do, says Barham, one of many speakers at a recent B+LNZ drought seminar in Waipukurau attended by nearly 200 farmers.

“The drought is an insidious thing because it creeps up and gets worse and worse. We all suffer from stress and handle it in a different ways and for many of us it’s a stimulant, but after a while it just wears people down. Consequently they are always

harder on people close to them. Often we guys take it out on our wife and nearest-and-dearest as we get grumpy and short.”

Barham’s been inundated with calls from stressed farmers – one day 14 messages on his answerphone. He spends a lot of time going out talking to farmers to help deal with their problems.

Barham has farmed all his life and knows what it’s like to be under financial stress and hopes his experience can help people out.

“Our boundaries are very wide. We’ll handle anything a farmer wants to discuss and if we don’t have the skills to deal with a problem, we’ll refer them to someone who can.”

Once a drought has been declared, most help offered to farmers comes via the Inland Rev-

Rural media to the rescue

Hawke’s Bay Rural Support Trust chair Mike Barham.

enue Department (IRD), the Rural Support Trust, industry good organisations such as DairyNZ and BLNZ, banks, accountants and private companies. But for those who are struggling to put food on the table there is the ‘rural assistance payment’. This, says Barham, is equivalent to the unemployment benefit.

“It’s about $1500 a month and the criterion for getting this is you must

be ‘eating’ your equity to put food on the table.

You can’t have more than $1700 in your personal bank account and you can’t have any off-farm realisable assets.

He says during the last drought about 20 people got this help, but Barham expects there will be more this time.

“It’s not equity tested, so in theory you could have a $10 million farm and still qualify,” he says.

B+LNZ EXTENSION manager for the eastern North Island, Mark Harris, says the rural news media are helping farmers deal with the drought.

He told Rural News many farmers can’t get to drought meetings, but the reports in the rural media ensure all are kept in the loop about events and available help.

Harris, who helped organise a recent drought meeting in Hawkes Bay, says he’s been through a number of droughts and has got a few grey hairs and some lessons from these – chiefly to make sure farmers feel supported and are not alone in dealing

TECHNOLOGIES

‘I’m from the IRD and I’m here to help you’ THE INLAND Revenue Department is making an effort to help farmers through the drought.

Representatives of IRD attended a major drought meeting in Hawkes Bay recently to get a first-hand account of what was happening to farmers and to offer support, encouraging farmers to contact them or their accountants as soon as possible.

“The sooner we know that you may be struggling and need a bit of help, the sooner we can help. We have to work within our [rules], but when there is an adverse event we have the ability to relax some rules.

“We can accept a few things a bit later than normal such as equalisation deposits and a lot of things such as provisional tax estimations which may mean you have lower amounts

to pay for the rest of the year or if you have overpaid we can look at refunds .”

The spokesperson says IRD has done a lot to improve its image with farmers.

“Some people are scared of us and they are in bad situation and they are worried that it will be worse.

We want to work with farmers and make it all better.”

with the problems facing them.

Harris says it’s good to see the amount of cooperation between the various agencies and organisations, all keen to help farmers.

“Farmers in a drought often get isolated behind the farm gate and are not sure what’s happening outside but a lot of people do care. Many realise agriculture drives our economy and if farmers are hurting so will everyone else.”

Harris says farmers should have plans and set times for taking action.

They should build a team of helpers including their accountants and banks to help them make decisions.

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Rural News // april 9, 2013

20 news

Planning will help farmers come out of drought son farm consultant, Roy Fraser.

He told a Beef + Lamb NZ drought meeting at Waipukurau that while this drought is as bad as any he’s seen in respect of the climatic conditions, it

PETER BU RKE peterb@ruralnews.co.nz

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isn’t as bad as others he’s seen in 40 years as a farm consultant in the region.

This is because stock were generally in good condition going into the drought and as the drought has developed farmers have made correct farm management decisions.

“The main negative is that [the drought] is spread over all the North Island and some of the South Island so drought affected areas haven’t got anywhere to unload stock. The other thing is that any spare feed has to be brought in from elsewhere so it cuts down your options as to what strategies you might adopt to get through it.

“The positive in the Hawkes Bay, at least, is that farmers have got used to handling droughts.

So they have probably made a lot of the right decisions up to this point. Also we’re following a couple of good financial years so they are probably in a better financial state than they have been in previous years.”

Fraser says farmers must now start working out where they want to get to long term. When doing a feed plan they must be thinking about how they will get to the end of winter.

“We know that by then surely

Supplement strategically

Roy Fraser.

we’ll have pasture growth at a rate that will sustain feed demand. I suspect most people will be taking less stock though the winter and by then they should be out of the woods. To me the critical period is from when it starts to rain and we get pasture growth to the start of winter, which might be mid-May. “It would be quite easy for you to take your eye off the ball and let your stock eat too much grass [now]. Whereas I think the total thing needs to be, ‘how do you get the pasture covers up by May 1 so you can get through the winter and have enough for lambing?’ “ Fraser says those farmers that are dairy grazing are probably the ones most in the gun because they have no flexibility. They have made a commitment to farm cows or heifers all the way through. But on the plus side most of those farmers that do dairying grazing will have stocked up on supplies of supplements to get them through.

THE HIGH cost of supplements should be prompting farmers to use them strategically, Roy Fraser says.

For example, Fraser says he probably wouldn’t feed supplements to trading stock whereas feeding them to breeding stock would make good sense. Nitrogen is an effective tool for getting pasture covers up once the rain comes, he says.

“Also not all feeds are equal. Baleage and hay vary a lot in quality depending on the quality of the grass when it went into the bale. It’ll only be worse not better.

“The percentage of dry matter in these feeds varies immensely from say a low of 30% right though 40% - 50% and 60% dry matter. You

may have a heavy bale, but it’s probably just full of water and might be low quality.

One of the things you’ve got to think about is the dry matter percentage and then the metabolisable energy in that feed. There is a series of calculations you can do to say which is good feed or not.”

Fraser says that just because it starts raining and there is pasture growth it’s not a time to stop feeding out supplements.

In fact, he argues it’s a good time to keep going with supplements.

“The idea is to spell as much of your farm as possible so you can build that pasture cover. It’s easier to feed out and utilisation is better at this time of the year.”

Mate those hoggets!

THOUGH MANY farmers will have made up their minds not to mate their hoggets this season, they should reconsider this option, Roy Fraser says.

He sees a good case for doing this if at all possible and if hogget weights are at say 40-42kgs.

“To my way of thinking, it makes economic sense if you can feed one animal through the winter and get two at the other end. The thing about mating hoggets is they eat very little extra grass from now until October when they start

Harsh winters and springs need a sustainable fertiliser that supports our high stocking rates.

My farm is self-contained growing my grain and silage, so I don’t have to buy in any feed.

David Bielski

Glenn Taylor

to lamb, at which point we will have feed.

“A farmer’s first thought is to say ‘I won’t mate my hoggets,’ but people should think twice.”

Fraser says a hogget is a good converter of feed and if farmers just winter a hogget, the most they may get out of it is some wool which probably won’t be worth much. But he says if they can get a lamb as well that’s a bonus.

“It only takes about 20% more feed to get a lamb out of a hogget,” he adds.

GOOD JOB WE DON’T MAKE ANY

Rural News // april 9, 2013

world 21

Aussie dairy farmers take back control sud es h k i ssun sudeshk@ruralnews.co.nz

AUSTRALIAN DAIRY farmers struggling under the weight of mounting losses are walking away from their land.

Fed up with low milk prices from processors, most are turning their backs on dairy farming. However, some farmers are turning to milk processing and taking control of their destiny.

Bannister Downs Farm, Northcliffe, Western Australia is one such success story. Owned by Sue and Matt Daubney, Bannister Farms’ milk and cream products are now a staple on Western Australian supermarket shelves. Backed by innovative packaging, the company is now eyeing exports.

Sue Daubney, who spoke at the recent Australian Dairy Innovators Conference, says processing milk and managing your own label is not easy.

But she has no regrets.

“It was a lot tougher than we had predicted,” she told Rural News. “But it provides us with a lot of motivation and responsibility and respect that we were not receiving before.”

Until 2004, Bannister Downs supplied National Foods, a processor bought by Japanese conglomerate Kirin Holdings’ subsidiary Lion. But the farmgate price was too low.

Daubney says the Lion farmgate is well below the cost of production at certain times of the year. It’s currently at A45c/L compared to costs of production in summer topping A50c/L. For most farmers, leaving the industry is the only option. According to Dairy Australia, the number of dairy farms has fallen by two-thirds over the last three decades – from 22,300 in 1982 to just below 6770 in mid-2012. In

Western Australia, there are 170 farmers compared to over 500 a few years ago.

Daubney says finance is a major issue when it comes to processing your own milk. “It is a big commitment to set up a processing facility when you are already financially struggling and have been for more than a decade. You need A$1-2 million in capital and ability to withstand up to 3-4 years of losing money every month.

“There’s also need a point of difference for your product. We were fortunate to have three strong points of difference which I think is what has got us through.”

Packaging is one of them. Bannister Downs is the first processor in the southern hemisphere to use the Ecolean packaging system developed in Sweden. The decision to use Ecolean pouches was made on both marketing and environmental grounds. Daubney says some customers hate the pouch but love the WA milk, others love the pouch for its environmental benefits.

Bannister Downs also works with major retailers Coles and Woolworths.

The Ecolean packaging caught the attention of Coles executives who then contacted Daubney. They now deliver to all 83 Coles stores in WA. “Coles and Woolworths are the market,” Daubney says. “Rather than fight it, we work with them. Coles is innovative and we’ve developed a good relationship with them. We’ve never had to pay for shelf space or in-store packaging.”

Now, 15% of their sales go to Coles, 17% to independent retailers and 60% to cafes and restaurants.

Daubney says embracing a groundbreaking packaging technology was a

Fed up with low prices – West Australian dairy farmers Sue and Matt Daubney.

big hurdle. “But it is become a real asset in that consumers are learning the benefits of the packaging and don’t look back once they make the change,” she says.

“In saying that, it is still not for everyone; some people cannot [accept] milk in a flexible pack.”

The Daubneys’ hard work is paying dividends. For her achievements, Daubney won the Business Innovation Award at the Telstra Business Women’s Awards. The interest from overseas markets is also strong. Her plan is to export about one-thirds of products within 3-5 years.

On-farm milk processor BANNISTER DOWNS Farm has 1500 Holstein Friesian cows milked twice daily in a 90-bail rotary dairy.

It started from processing 4000L a week eight years ago to 85,000L now. They now buy milk from a neighbour as well, paying A40c/L from July to December and A60c/L from January to June.

They built a milk processing facility on-farm. The processing system, set up in 2005, starts with separation to ensure the correct percentage of fat in all milk. Only the cream is then homogenised to make sure all solids are dispersed evenly.

In the final stage of processing the fresh milk is heat-treated using a batch pasteurisation method. The milk is heated to 65°C where it is held for 12 minutes prior to fast cooling to 4°C.

WHAT DOES YOUR FARM NEED? If you want to get the best out of your land, make sure you choose a fertiliser that’s right for your farm and soil type. PhaSed N is a smart blend of lime, nitrogen and elemental sulphur – all in one granule. Combined using high performance GranMAX technology, the nutrients in PhaSed N achieve better results together than they do on their own. It’s a great way to kickstart both your grass growth and your farm productivity.

To find a solution that’s right for your farm, call Altum on 0800 784 674 or visit altum.co.nz

OLD FERTILISER.

Rural News // april 9, 2013

beef market trends

Market snapshot Meat c/kgCWT

North Island

South Island

Change c/kg

Change c/kg

Last Week

Last Week

BEEF PRICES

LAMB PRICES

c/kgCWT NI

lamb market trends

Change

Last Week

2 Wks Ago

Last Year

P2 Steer - 300kg

c/kgCWT

NI Lamb

Change

Last Week

2 Wks Ago

Last Year

n/c

3.82

3.82

4.00

n/c

4.23

4.23

5.66

M2 Bull - 300kg

n/c

3.84

3.84

4.10

YM - 13.5kg PM - 16.0kg

n/c

4.25

4.25

5.68

P2 Cow - 230kg

n/c

2.85

2.85

3.20

PX - 19.0kg

n/c

4.27

4.27

5.70

PH - 22.0kg

n/c

4.28

4.28

5.71

Lamb - PM 16.0kg

n/c

4.25

n/c

4.33

Steer - P2 300kg

n/c

3.82

n/c

3.65

M Cow - 200kg

n/c

2.70

2.70

3.10

Bull - M2 300kg

n/c

3.84

n/c

3.65

Local Trade - 230kg

n/c

3.82

3.82

4.05

Mutton

MX1 - 21kg

n/c

2.48

2.48

3.20

Venison - AP 60kg

-10

6.20

n/c

6.42

P2 Steer - 300kg

n/c

3.65

3.65

3.85

SI Lamb

YM - 13.5kg

n/c

4.33

4.33

5.56

M2 Bull - 300kg

n/c

3.65

3.65

3.80

PM - 16.0kg

n/c

4.33

4.33

5.58

P2 Cow - 230kg

n/c

2.70

2.70

3.10

PX - 19.0kg

n/c

4.33

4.33

5.60

M Cow - 200kg

n/c

2.58

2.58

3.00

PH - 22.0kg

n/c

4.33

4.33

5.61

Local Trade - 230kg

n/c

3.80

3.80

4.00

n/c

2.28

2.28

3.10

SI

North Island 16.0kg M Lamb Price $8.5

5yr Ave Last Year This Year

$7.5 $6.5

NZ Slaughter 1000s

$5.5 $4.5 $3.5 Jan

Feb

Mar

Apr

May

Jun

South Island 16.0kg M Lamb Price $8.5

5yr Ave Last Year This Year

$7.5

Change

3 Wks Ago

Last Year 5yr Ave

59.3

61.4

43.4

45.4

Lamb NI

+2%

329

324

222

245

21.8

20.9

16.2

15.4

-2%

498

509

344

398

Cattle NZ

-1%

Lamb SI

81.1

82.3

59.6

60.8

-4%

Lamb NZ

-1%

827

832

567

643

Bull NI

6.5

6.8

11.4

9.2

-9%

119

131

58

75

Bull SI

+15%

Mutton NZ

2.3

2.0

2.3

2.7

Str & Hfr NI

-2%

15.7

16.1

14.1

16.3

Str & Hfr SI

+7%

7.5

7.0

6.8

6.6

-4%

37.1

38.5

17.9

19.9

$5.5

12.0

11.9

7.1

6.1

NZ Weekly Beef Kill

80 Mar

Apr

May

Jun

60 40

5yr Ave Last Year This Year

$4.5

NZ Weekly Lamb Kill

900 750 600 450 300 150 0 Dec

Last Year This Year

Jan

Change

This Year

0 Dec

Jan

Feb

Mar

Apr

May

Change

$3.5 $3.0 Jan

Feb

Mar

Apr

May

Jun

2 Wks Ago

-1

2.19

2.20

2.21

1.75

NZ$/kg

-7

5.77

5.84

5.94

5.27

Demand Indicator - US 95CL Beef

May

Last Week

2 Wks Ago

Last Year 5yr Ave

n/c

1.50

1.50

1.75

1.78

NZ$/kg

-5

5.98

6.03

7.52

8.70

£2.50

Last Year This Year

£2.00 £1.50 £1.00 Jan

Last Year

Feb

Mar

Apr

May

Jun

This Year

$2.20

$4.0

Apr

Demand Indicator - UK Leg Price Last Year 5yr Ave

95CL US$/lb

South Island 300kg Steer Price

$4.5

Last Week

Mar

UK Leg £/lb

Export Market Demand

$4.0

Feb

Export Market Demand

Last Year

20

North Island 300kg Bull Price

$5.0

Last Year 5yr Ave

-3%

+1%

Feb

3 Wks Ago

+4%

Cows SI

Jan

2Wks Ago

Change

Cattle NI

Cows NI

$3.5

1000s

Estimated Weekly Kill

Cattle SI

$6.5

$4.5

MX1 - 21kg

NZ Slaughter

Estimated Weekly Kill 2Wks Ago

Mutton

Procurement Indicator $3.5

Change

2Wks Ago

3 Wks Ago

% Returned NI

+1%

73.1%

72.5%

78.4%

60.7%

% Returned SI

+1%

72.7%

72.1%

75.8%

57.6%

5yr Ave Last Year

$2.00 Jan

This Year

Feb

Mar

Apr

May

Jun

$3.0 Jan

Feb

Mar

Apr

May

Jun

Procurement Indicator

5yr Ave Last Year This Year

$8.0 $7.5

Change

3 Wks Ago

% Returned NI

+1%

66.6%

65.8%

68.98%

71.5%

80%

% Returned SI

+1%

63.3%

62.5%

63.9%

65.9%

70%

Last Year 5yr Ave

Procurement Indicator - North I.

90%

$7.0

Procurement Indicator - North I.

Last Year

90%

Last Year

60%

This Year

50% Jan

Jan

Feb

Mar

Apr

May

Jun

South Island 60kg Stag Price

$8.5

60% Jan

Last Year This Year

Mar

70%

$6.0 Jan

Feb

Mar

Apr

May

Jun

Jun

75%

Last Year This Year

80%

$6.5

May

85%

May

Procurement Indicator - South I.

90%

$7.5 $7.0

Apr

95%

5yr Ave

$8.0

Mar

Procurement Indicator - South I.

70%

$6.0

Feb

This Year

80%

$6.5

100%

2Wks Ago

North Island 60kg Stag Price

$8.5

Last Year 5yr Ave

65%

Last Year

55%

This Year

45% Jan

Feb

Mar

Apr

May

Jun

Venison Prices

60% Jan

Mar

Change

May

Beef & venison prices are reported as gross (before normal levies & charges are deducted). Lamb & mutton prices are reported nett (after levies & charges are deducted).

Note: Freight is paid in the North Island but not by all companies in the South Island.

Last Week

2 Wks Ago

Last Year 5yr Ave

NI Stag - 60kg

-10

6.20

6.30

7.15

7.08

SI Stag - 60kg

n/c

6.42

6.42

7.20

7.43

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Rural News // april 9, 2013

news BEEF

price watch WOOL PRICE WATCH Change

27-Mar

21-Mar

Last Year

Coarse Xbred Indic.

-5

3.92

3.97

5.11

Fine Xbred Indicator

+3

4.92

4.89

5.79

Lamb Indicator

-8

5.21

5.29

5.63

Mid Micron Indic.

-

9.17

-

-

Cattle backlogs are clearing fast

Indicators in NZ$

The weekly New Zealand cattle kill continues to run at just over 80,000 head. This is 33% above average for this time of year and is also higher than usual peak kill levels. But the kill dropped week on week for the first time since early February and reports indicate that backlogs are clearing and future bookings are reducing very quickly.

As a result killing space is expected to free up considerably over the coming weeks. This will result in upward pressure on farmgate prices as meat companies compete more strongly for a declining kill.

One North Island company lifted their beef schedules by 15c/kg last week. A steep reduction in kill is also likely to provide some price support to US imported beef prices. Winter contracts are providing some more indications of price expectations with one contract at $4.40/kg for steer in September.

US imported cow meat returns on the up US domestic cow supplies are seasonally subsiding and prices have been appreciating as a result. US domestic 90CL cow returns are currently pegged at US$2.18/lb and are expected to go higher with the USDA's latest Livestock, Dairy & Poultry Outlook predicting cull cow prices will continue to increase through to the second quarter of 2013. Strong US domestic cow meat prices are helping to drag up imported returns with imported 90CL cow prices jumping US6c/lb in just the last 3 weeks. But US imported 95CL bull prices are under pressure as there is increased competition from 95CL cow meat offerings. Normally cow meat is packed as 90CL but the drought has seen more light cows come forward and this lean meat is perfect for the 95CL grade. 95CL cow meat is currently priced at US$2.16/lb so is a cheaper option over 95CL bull for those who need it in their formulations.

LAMB Lamb space still jammed, but holes appearing Last week lamb prices remained stable with most at $4.30-4.40/kg (gross). Lamb space has still been pretty jammed up but there is definitely light at the end of the tunnel now. Bookings in front are sliding and holes are expected to be evident in the kill after the two short weeks over Easter. This will especially be the case if it rains again between now and then. Some winter lamb contracts have also been released which, along with some rain, is providing some confidence in the lamb market going forward. One contract has a minimum price of $4.90 in June, rising to $5.50 by September. It’s now much more certain that we’ve hit the bottom of the price slide and one North Island company has already lifted its schedule.

China strong on bone-in items NZ mutton exports have skyrocketed on the back of increased North Is slaughter rates with Feb exports totalling 14,100 tonnes, a 75% increase on last year. Strong demand from China has seen them take over half our Feb mutton supplies and despite these volumes, prices have remained fully firm. Chinese purchases have included decent quantities of lamb and mutton bone items which are used in hotpots. This has improved NZ exporter profits as in the past many of these items would be worth virtually nothing with much of it turned into meat & bone meal or rendered.

WOOL Stronger dollar pushing wool prices lower While the stronger dollar has pushed prices lower in recent weeks but underlying demand for wool appears stable. The last South Island sale in March saw downward pressure on both the coarse crossbred and lambs wool market indicators. But the fine crossbred price indicator rose by 3c/kg despite the NZ dollar firming over 2% between sales. In US dollar terms the all the market indicators firmed indicating that overseas demand remains solid. Continued steady demand from China and lower weekly volumes due to the drought means supply and demand are in reasonable balanced at present.

DAIRY PRICE WATCH

Wool Indicator Trends

600

CXI

550

FXI

Indicators in NZ$/T Butter Skim Milk Powder Whole Milk Powder Cheddar

500

Prev. 2 Wks

Last Year

+235

5108

4873

4453

+72

4884

4812

3904

+920

5915

4995

4209

+203

5198

4995

4819

Dairy Prices Trends

6,000

LI

Last 2 Wks

Change

SMP But.

5,000

WMP Ched.

450 400

4,000

350 300 Mar

May

Jul

Sep

Nov

3,000 Mar

Jan

Coarse Xbred Indicator

600

Jul

Sep

Nov

Jan

Whole Milk Powder Price (NZ$)

6,500

Last Year

Last Year This Year

500

May

This Year

5,500 4,500

400 300

3,500 Jan

Feb

Mar

Apr

May

Jun

Overseas Price Indicators Indicators in US$/kg

Change

27-Mar

21-Mar

+2

3.29

3.27

4.18

+11

4.13

4.02

4.73

+2

4.37

4.35

4.61

-

7.70

-

-

Coarse Xbred Indicator Lamb Indicator Mid Micron Indicator

Feb

Indicators in US$/T Butter Skim Milk Powder Whole Milk Powder Cheddar

Wool Indicator in US$

550

CXI

500

Mar

Apr

May

Jun

Overseas Price Indicators Last Year

Fine Xbred Indicator

Jan

Last 2 Wks

Prev. 2 Wks

Last Year

+275

4275

4000

3650

+138

4088

3950

3200

+850

4950

4100

3450

+250

4350

4100

3950

Change

Dairy Prices in US$/Tonne

FXI

LI

SMP .But

4,500

450 400

WMP .Ched

3,500

350 300 250 Mar

May

Jul

Sep

Nov

2,500 Mar

Jan

Coarse Xbred Indictor in US$ Last Year This Year

500 450

This Year

3,500

300

3,000 Mar

Apr

May

Jun

2,500 Jan

CURRENCY WATCH vs. NZ Dollar

Last Week 2 Wks Ago 4 Wks Ago Last Year 0.831

0.825

0.820

Euro

0.655

0.645

0.632

0.614

UK pound

0.553

0.548

0.544

0.513

0.75

Aus dollar

0.801

0.797

0.807

0.787

0.70

Japan yen

79.02

78.98

76.41

67.33

Last Year This Year

0.62 0.58

Jan

Feb

Mar

Apr

May

ome rain or shine.

our recently launched drought support packages agri community. To find out more about i Team or call 0800 269 78725.

Jun

Mar

Apr

May

Jun

Last Year

0.85

0.837

Euro

Feb

US Dollar

0.90

US dollar

0.66

Jan

Last Year

350

Feb

Nov

4,500 4,000

Jan

Sep

5,000

400

250

Jul

Whole Milk Powder Price in US$/T

5,500

550

May

This Year

0.80

Jan

Feb

Mar

Apr

May

Jun

UK Pound

0.58 0.56 0.54 0.52 0.50 0.48 0.46

Last Year This Year

Jan

Feb

Mar

Apr

May

Jun

Rural News // april 9, 2013

24 agribusiness

Ship together to contain costs pa m ti pa pamelat@ruralnews.co.nz

DIFFERENT PRIMARY industries may need to work together to reduce shipping costs, says Pipfruit New Zealand chairwoman Nadine Tunley, Nelson.

Maersk late last year announced a blanket US$1500/container price increase and other shipping companies followed, she says. It isn’t that much but is still unaffordable in the present environment, she says.

“A lot of the primary industries have always worked in silos in their own space. Maybe it is time they started working more together to smooth

out the peaks and troughs for shipping companies,” Tunley told Rural News.

“Perhaps we need to see it as our issue also, and figure out with the other industries what we can all do together to make it more viable for everyone else. That doesn’t happen overnight; it takes time to get these groups together and get people talking.”

Getting people talking and working together has been a big aim since Tunley was voted Pipfruit New Zealand chairman in August last year.

Operating to achieve economies of scale and efficiencies in a deregulated environment is one the biggest issues the pipfruit industry faces, she

says.

Prior to deregulation in 2001 Enza was the single desk exporter; now there are 391 growers about 80 exporters.

“That’s not ideal but the volume does sit in the top 1 to 20 exporters so ideally you would have just that number – but that’s deregulation,” she says.

But alternatively growers now have greater choice in who to supply.

Market access is another major issue for pipfruit. Although the media constantly asks about Australia “there are so many other markets either equally or more important than Australia” including China, India and South Korea which “has

just started to talk.”

The traditional markets of Europe and UK were superseded last year and this year by Asia. “You don’t just stick a tree in the ground and have fruit.

It’s a long process of five years for full production.

When people realised UK and Europe may not be the future there was a time lag.

The Asian based varieties are now producing and we can target those markets.”

Pipfruit NZ is keen to get China access sorted, with problems of pests and disease. For India there is no free trade agreement so they are working with the Government. “As an industry we would like to see that progress quicker but the wheels of progress take

Pipfruit NZ chairwoman Nadine Tunley outside her Energie Produce office high on the hills in Richmond, Nelson.

time when it comes to the government situation,” They are also keen to move into Korea.

Hawke’s Bay produces 60% of the pipfruit crop, Nelson 30%, Cen-

tral Otago and the rest of the country the other 10%. The Pacific varieties which are Asian suited do not grow well in Nelson so UK and Europe remain the dominant markets.

Hawke’s Bay is a strong Pacific region with varieties like Royal Gala and traditionally two-three weeks earlier than Nelson. @rural_news facebook.com/ruralnews

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WHEN PIPFRUIT NZ chairwoman Nadine Tunley was “tapped on the shoulder” to become a director two years ago the issue was balance – but not gender balance.

“They were looking for balance because the board was mainly made up of representatives from larger entities,” says Tunley.

The former chairman John Palmer, who asked her to get involved, is a grower and Stephen Darling, a one man band from Central Otago who does summer fruit and pipfruit, were the only smaller entity representatives.

Tunley is managing director of Energie Produce Ltd in Richmond,

Nelson, which includes two major orchards in the region – Hoddys and Daelyn.

She was voted chairman of Pipfruit NZ last August after Palmer was required to step down after serving the maximum five consecutive terms in 10 years.

Originally from Taranaki, Tunley has always been in business management roles and start-ups.

She came to the pipfruit industry about 12 years ago when she moved to Nelson and did contracting work for a local accounting firm many growers used.

Some she worked for were given permits to do their own exporting

just prior to deregulation in 2001.

When deregulation came she was approached by Heartland Fruit in Richmond.

“When deregulation happened no one knew what was going to happen,” Tunley says.

“Enza had controlled it as a single desk so they had all the IP and knowledge on apple and pear exporting. It was a blank canvas for many organisations.”

But Tunley says start-ups are where she thrives. She resigned from Heartland in 2006 and created Energie Produce. The company now exports 400,000 cartons from a fixed group of growers.

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Rural News // april 9, 2013

agribusiness 25 Maize yields to plummet – FAR THE OVERALL maize yield this season is expected to be down 20-30% as a result of a cooler summer and the drought, with long-term implications for the dairy industry in the event of a harsh winter.

Mike Parker, from the Foundation for Arable Research (FAR), told Rural News there are this season huge variations within maize crops – within a paddock

and between paddocks, depending on factors such as soil type, topography and, of course, rain.

“There is going to be a lot of variability between districts, but I would say overall… 20% to 30% down on yield this year, particularly in Waikato, Bay of Plenty and Northland.

The Hastings area may be down by as much 40%, but Gisborne may not be quite so bad.

Taranaki is not so bad and Canterbury is irrigated so it shouldn’t be too bad.”

Parker says yields in Waikato, where he is based, range from about 7 tonnes/ ha to about 28 tonnes/ha. But generally yields are 18-20 tonnes/ha, much lower than normal.

“In terms of grain weight, this will be down a little bit and stover size is also down a bit. But over-

all it’s probably good quality in terms of stover-to-grain ratio. Dry matter is variable and might be a little higher, but you can vary the chop length to suit the dry matter.

Provided it’s rolled well and compressed it should be fine.”

Parker says the lower yields will put pressure on dairy farmers in the next season and a lot will depend on the weather, he says.

– Peter Burke

Justine Kidd

Winning award will open doors

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WINNING THE title ‘Dairy Woman of the Year’ would open the door to represent the dairy industry in an urban context, says BEL Group business manager Justine Kidd, Waipukurau.

“I have aspirations in corporate governance and it’s a great opportunity to connect with people I normally wouldn’t,” she told Rural News. “And it’s a wonderful opportunity to develop leadership skills.”

Kidd was named the Dairy Woman of the Year at the Dairy Women’s Network annual conference in Nelson.

Kidd has at least 20 years’ experience and has influenced many aspects of the dairy industry after graduating with a Bachelor of Agricultural Science (Hons) in 1993.

Kidd was a founding director of Synlait and started Avance Ltd, a company designed to create a family farming asset by helping other farm businesses achieve their goals In 2008 the BEL Group contracted Avance to run their Hawke’s Bay dairy farm operations. The BEL Group employs at least 60 people milking 8600 cows on 80 dairy farms on 2400ha, with another 960ha in dairy support.

Under Kidd’s leadership BEL Group has grown to reach its first milestone goals and won the Human Resources Institute of New Zealand’s 2011 HR Initiative of the Year award.

“I believe there is immense value in supporting New Zealand’s farming families and helping their businesses thrive,” she said on winning the award. “They make a massive contribution to communities all over the country as well as building the bridge across the rural and urban divide, and that is where I would like to contribute and make a difference.”

Kidd’s prize is a Fonterra-sponsored scholarship to the Global Women, Women in Leadership programme valued at $25,000. This will give her 12 months’ exposure to globally focused women in leadership roles in New Zealand business.

That’s what works out here.

Rural News // april 9, 2013

26 opinion editorial

edna

Jury still out on TAF AS FONTERRA last month announced a 33% surge in half-year net profit, its share price had another story to tell.

The co-op’s share soared to $7.50, a jump of 50c on the back of the financial results. It was launched in November last year at $5.50/share.

For Fonterra’s farmer shareholders, the financial results are bittersweet.

A 30c/kgMS lift in milk payout will go some way to ease the pain of drought. However, for South Island farmers, shielded from the drought, buying more Fonterra shares to match increased production has just become harder.

TAF (trading among farmers) may have fixed the redemption risk to Fonterra’s balance sheet.

But it has exposed the co-op’s lifeblood – milk supply – to a new threat. Fonterra could lose milk supply because its share price is now too high for farmers to buy in.

Delegates to a recent Federated Farmers dairy council meeting said they were aware of suppliers who had already switched to other processors. A declining milk supply would be against the co-op’s strategy to lift volume and value.

This brings us to the question, is TAF working? Fonterra’s board and management, the architects of TAF, will say yes. For shareholders, the jury is still out.

TAF introduced a trading market for farmers to trade milk supply-linked shares among themselves, relieving Fonterra of the obligation to trade its shares, which directors argued exposed its balance sheet to a run on capital.

Many farmers opposed TAF, fearing the offer of units to sharemarket investors was the first step in loss of farmer control and ownership of New Zealand’s biggest company.

TAF may have enough measures in place to ensure 100% shareholder control. But the outof-control share price, set by the share market, is ironically driving shareholders away from the co-op.

Five years ago, all farmers in Fonterra had common interests. What was good for one farmer was good for all farmers. Now, some farmers have interest in Fonterra units, as do investors around the world. Fonterra also has to ensure a fair dividend to investors, balancing it with a decent payout to its shareholders.

There are factions within the co-op governance structure.

No one said TAF was going to be simple. But some shareholders did warn it would open a can of worms. They appear correct.

RURAL NEWS HEAD OFFICE POSTAL ADDRESS: PO Box 3855, Shortland Street, Auckland 1140 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

“At least the end of daylight saving will have reduced the number of sunshine hours baking our farms!”

the hound Not so openminded ORGANICS ADVOCATES are among the first to claim they have open minds. However, a recent tirade by a Soil and Health Association Organic NZ spokeswoman – sorry, spokesperson – makes your old mate think their minds are anything but open. Debbie Swanwick was holding forth about Fed Farmers vice president William Rolleston’s suggestion that GE technologies may offer some drought solutions. It’s ironic she and so many of her hair-shirt and sandal-wearing friends are so opposed to a technology that could slash agrichemical use.

Want to share your opinion or gossip with the Hound?

Send your emails to: hound@ruralnews.co.nz

What do they do in Wogistan?

No sh%t Sherlock?

THE HOUND was surprised to discover that NZ First’s spokesman on primary industries is none other than its best-known Dick – aside from Winston that is – Richard Prosser! Prosser claimed there are better ways of resolving difficulties in farm finance than throwing people off the land and cited farm debt mediation laws that exist in Australia and Canada as examples for New Zealand to follow. Your old mate wonders whether, if said legislation had come from Islamic countries such as Indonesia, Pakistan or Saudi Arabia, ‘Dick’ would have been so keen on it.

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THE HOUND notes that Greymouth police have a smelly crime on their hands. Apparently someone is running around the town smearing cow effluent on homes. News media say the offender first struck on a recent Sunday about 9.30pm, when watery effluent was spread over the front porch of a home.

Then they struck again – when a resident heard a screech of tyres outside and saw a vehicle leaving at speed. He went outside and discovered runny cow manure tipped over his vehicle in the driveway and on the front steps of the house.

Just a tenant THE HOUND understands that the recent announcement about Fonterra’s proposed new $500 million global headquarters near Auckland’s swanky waterfront has caused unease at the dairy co-op. Apparently the ‘suits’ at head office are worried their dairy farmer shareholders may get the wrong end of the stick, thinking the co-op is to fork out half-a-billiondollars to build the new office complex. So its PR team is telling news media the co-op will not be building or paying for the new office complex, but that it is, in fact, a joint venture between Goodman Group and Fletcher Building.

Deaf and dumb?

THE HOUND pointed out a few months back the outrageous claims made by the Green Party over a shipment of dairy cattle that left from the Port of Timaru bound for farms in China. However, an official information request made by the Timaru Herald has proven just how spurious these claims were. It shows that 7099 heifers arrived safe and sound in China out of a total of 7102 loaded in Timaru – a total mortality of three! Which is probably even fewer deaths than if they had stayed on farms in New Zealand.

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Rural News is published by Rural News Group Ltd. All editorial copy and photographs are subject to copyright and may not be reproduced without prior written permission of the publisher. Opinions or comments expressed within this publication are not necessarily those of staff, management or directors of Rural News Group Ltd.

Rural News // april 9, 2013

opinion 27

Media low-blow has Feds’ seeing red!

WILLY LEFERI N K

MORE THAN a few farmers would have coughed up their morning coffee on March 13 when they looked at the front page of the New Zealand Herald.

There was a photo of a cow looking up at a rifle muzzle and about to get a bullet.

That was bad enough, but what riled dairy farmers was the caption, ‘Drought takes deadly toll on farms’. (I was reminded of a photo from the Vietnam War: a South Vietnamese military leader shooting a Viet Cong prisoner in the head – a powerful, chilling image capturing the milliseconds between life and death.)

I was chilled then outraged when I read the Herald caption. To be fair, the cow-shooting story was on the level. But the photo felt like a blow well below the belt.

Farmers may be having a tough time, but they are not letting stock suffer.

We have asked MPI about animal welfare and they told us the condition of stock coming for processing is now no different from before the drought declarations.

Vets we have spoken to are full of praise for farmers’ animal health focus.

This is despite meat and fibre farmers recently seeing their forecast profits halve and despite the North Island’s 2012/13 dairy season closing early.

Farmers are putting stock feed and water first, all much less dramatic than pointing a rifle at an animal’s head.

The North Island drought is why Federated Farmers’ employers’ and sharemilkers’ sections jointly pleaded for both parties in the business relationship to sit down and write a management plan to close the season.

If sharemilkers are staying on this should help prepare the farm for when the new season begins.

For those whose contracts end on May 31, it is going to be a hard task to have pasture cover and supplements up to scratch because of the drought. It could even be worthwhile looking at supplements set aside for next season and discussing the merits of using some now.

These conversations cannot wait: they must take place now and not ‘next week’ and any plan must be in writing.

Incoming sharemilkers will find things tough if what they need is still in the head of your ex-sharemilker who happens to be far away.

I talk to farmers every day and as each day passes without rain stress levels grow. It is why taking control and planning is better than hoping for an elusive shower of rain. Even if we get the good stuff, it will be late April before grass growth responds, and much pasture in the North Island and on the West Coast will need renewal or undersowing.

That is why I saw red over the Herald ‘execution’ photo. It is hard enough to listen to ‘experts’ on talkback radio without getting kicked in the guts by a supposed trusted news source.

We asked MPI and I understand the animal in that photo was seriously injured. A vet had attended but it needed to be killed. This happens every day on a farm somewhere in New Zealand.

Putting a sick or lame animal out of its misery is appropriate, humane and is why I am livid over the caption, ‘Drought takes deadly toll on farms’.

To the reader it implies

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This is the photo ran by the NZ Herald, which upset Fed Farmers.

things are so desperate that farmers are shooting stock. It is rubbish.

Farmers are responsibly getting stock away while they are in good condition. We all know livestock have to meet animal welfare requirements before trucking and for the occasional animal that has suffered a debilitating

injury or illness, humane slaughter on-farm is appropriate under the animal welfare code.

Someone at the Herald took a shine to the photo and wanted to shoe-horn it into a story by hook or by crook.

• Willy Leferink is Federated Farmers Dairy chairman.

Rural News // april 9, 2013

28 opinion

Is the environment farmer’s first priority?

FARMERS HAVE to lead the environment debate, says Bruce Wills, national president of Federated Farmers. He cautioned in December that many farmers need a mindshift from the past when government incentives encouraged clearing land and dumping on it lots of fertiliser and large num-

bers of animals.

I agree with him the pendulum has swung too far and the environment has suffered.

Wills also said farmers now need to be more sensitive to their environmental footprint. My guess is many farmers would wince on reading that.

What does it mean in prac-

tical terms? More fencing, more chemicals to reduce greenhouse gas emissions, bigger effluent ponds, fancy new fodder crops that might reduce rumen methane generation, rumen boluses that introduce genetically modified bacteria to the rumen?

Whatever it may mean, it sounds expensive.

Farmers can be forgiven for feeling pressured

by government, processing industries, banks and falling profits to increase production. Then there’s the feeling they are ‘got at’ by councils, urban dwellers and international markets because of real or perceived environmental damage.

Yes, the environment has suffered but so have

many farmers and their families. It can all seem unfair when you are desperately trying to stay in business.

However, there is another way of approaching the situation, which can lead to greater profit and sustainability. All it takes is an inquiring mind, some strategic measurements and a bit of discipline.

Three aspects of the farm environment can be measured and managed more effectively and sustainably using a profit focus, as follows.

First, soil quality may be improved greatly by the adoption of the Kinsey Agricultural Services’ fertiliser recommendations that can have a profound

Third, in animal husbandry farmers are wedded to the idea that chemicals will always fix things. I was part of that mindset many years ago when I worked at Ruakura on the main health problems of the dairy industry at the time: grass staggers and bloat. They became a problem when soluble chemical fertilisers were introduced along with intensive grazing and controlled starvation.

We tested a large number of proprietary products because we believed chemicals must hold the answer.

Today the good news is that using the right measures to manage soils and pastures will lead to more nutritious feed and health-

Three aspects of the farm environment can be measured and managed more effectively and sustainably using a profit focus. effect on and pasture production. The focus on total exchange capacity and adjusted base saturation percentages for key elements results in a higher nutrient uptake by pasture plants along with improved physical structure and biological activity in the soil.

Farmers who have followed such recommendations over the past five years and have tested soils down to one metre in depth have seen significant increases in soil carbon. The greater levels of organic matter, better soil structure and greater root depth have all helped to take the edge off the drought on these properties.

Second, pastures.

Overstocking, risky chemical applications, over-cultivation, pugged paddocks – pastures and the soils under them have been abused all over the country. However, new tools now allow the assessment of daily profit from various management strategies and can lead to major benefits for the environment and farm profits.

One benefit is a big drop in weeds such as buttercup, thistles, daisies, docks, willow weed and penny royal without the need to spend a single dollar on sprays.

ier animals with greatly reduced chemical inputs.

A profit focus will also highlight the need for better stock condition. I have seen farmers who take this approach reduce their animal health bills dramatically.

So is the environment farmers’ first priority?

A major focus has to be improving the profitability of their businesses, without which they and their families will not survive financially. But if in doing that they degrade the environment then their profitability is not sustainable, so they do have a financial imperative to protect the environment.

They can succeed in both priorities. It has taken me a long time to work out how, but I can now say with confidence that farming can be sustainably profitable without degrading the environment. What is more, farmers can act on Bruce Wills’ concerns and work to reduce their overall environmental footprint by increasing soil carbon. It is already being done here successfully. You can start today if you want to.

• Peter Floyd is the managing director of Cogent Farming Business Systems Ltd. www. profitfocusedfarming.co.nz Tel. 0800433376

Rural News // april 9, 2013

opinion 29 Quad courses well worth it RE JOHN Stirling’s article (Rural News, March 19): being a farmer’s son employed in amenity horticulture I see widespread use of quads. The way they are operated depends much on what the operator has learned about machinery.

Many people with a rural background seem to be more careful than many urban-raised people.

I agree with his comment on towing trailers. On more than one occasion, I’ve seen people come to grief with a trailer that had too large a load for the machine. Luckily the worst to happen was a few scrapes and bruises.

If you tell these people to use a tractor and trailer for their job they say ‘it’s too big’ or ‘I don’t like using it’. Yet they rip around with a quad and light trailer.

Having done a quad safety course I am now more aware of what happens when things go wrong on these machines. Thinking of going on a quad safety course? Do it.

Grant Hughes RD5 Palmerston North

Don’t diss soil man’s claims I FIND your headline ‘Guru’s claims full of bull’ deliberately disrespectful (Rural News March 19).

Arden Andersen has opened the eyes of a great number of us to the whole world that lives beneath the soil. I first attended his lectures with a view to challenging him, but had to rethink when I realised that here was a talk on farming with no product sales agenda. You have no idea how refreshing that is.

To claim that Andersen does not know the difference between dermicidin and dicyandiamide is absurd. DCD might not be registered as an ‘antibiotic’ but its action is clearly anti-microbial otherwise it would have no effect on bacterial denitrification in the soil. Mere semantics.

Whilst on the subject of nitrogen, it is with disbelief that I read that we only apply 200-400kg/ha to replace that lost in milk and that consequently

none of it ends up in our waterways. Yeah right. No mention of the fact that nitrogen is the most abundant gas in the atmosphere giving us the equivalent of 78 tonnes above every hectare. The fact that our research establishments are at a loss to know how to access it does not make it any less abundant.

If dairy farmers are happy with 4.8 lactations per cow and 11% mastitis, then clearly Arden was wasting his breath sharing his

experiences in greatly improving those stats. He already has made clear that US averages are poor.

On a more positive note I’m glad to see that ecology and systems research is finally getting attention, the biological part to sustainable farm production.

Here’s looking forward to the day when all products are tested for their effects on agro-ecological biodiversity.

Malcolm White RD 4, Napier

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Who said I can’t fill Henry’s shoes? Sure they’re big, but with more pairs of socks my tiny little feet will soon be large enough! #goodstart fonterrapr: Mr Chair, we’ve been in touch with NZ Merino and another 20 pairs of socks with your moniker embossed upon them in golden thread are on the way! #onedayyouwillgetthere henryexfonterra@jwilsonfonterra: Good work Johnny-boy. But remember, like a game of footy, the dairy season is a game of two halves and you’ve just finished the easy one! #nowthingsgettough damienoconnormp: I don’t want to say: ‘I told you so”, but there is no doubt the devastating drought New Zealand’s experiencing is a direct result of Fonterra’s decision to implement TAF! #skycontinuestofall thatguynathan@damienoconnormp: Hmmm… so does TAF also get the blame for Fonterra’s recent half year profit of $459M and boost in farmer payout to $6.12? #consistencyplease dshearerlabour: I spent some time with drought-ravaged farmers to see first-hand the conditions they are facing. It reminded of the $50-$100k have lying around in my US bank account. #toughlife

ckellylandcorp: I’m all for helping out with a meat company merger if needed. I’m good at selling out New Zealand agriculture; look how I helped the Chinese take over Crafar Farms. #trackrecord opoolealliance@ckellylandcorp: Thanks Chris!@egardnersilverfernfarms and I will consider your offer and get back to you. #dontholdyourbreath

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Rural News // april 9, 2013

30 management

francis wolfgram Finance Matters

NZ Dairy Market Last GDT Auction

Product

1 Mth Ago

3 Mths Change in Ago 2013

NZD/Tonne

Whole Milk Powder(WMP)

6,053

5,101

3,797

61.80%

Skim Milk Powder(SMP)

6,103

Butter Milk Powder(BMP)

5,454

4,985

4,320

26.10%

CHEESE

5,487

4,542

4,104

29.30%

4,462

4,240

46%

new zealand agri shares NZX Code

Company

Prices as at 11/3/2013

Divdend Yield

LIC

Livestock Improvement Corporation Limited (NS)

$5.70

9.54%

SAN

Sanford Limited

$4.55

7.37%

SKL

Skellerup Holdings

$1.46

7.51%

HBY

Hellaby Holdings

$3.26

5.62%

SEK

Seeka Kiwifruit Industries Limited

$1.60

5.36%

FSF

Fonterra Units

$7.49

4.27%

DGL

Delegat’s Group Limited

$3.60

3.57%

HNZ

Heartland New Zealand

$0.75

6.48%

Dairy prices continue to rocket, the latest global dairy trade (GDT) auction on April 2 showing a rise in the trade weighted index of 14.2%. The biggest contributor to the rise was skim milk powder up a whopping 27.8%. I have calculated the rise in prices since the start of 2013 in the table opposite and this shows interesting reading: whole milk and skim milk powder up 61% and 46% in US dollar terms respectively. The NZ dollar hasn’t done a lot this year, ranging between 82cents to 85.5cents US, so these percentages won’t be overly offset by NZ dollar gains. Last week Westpac estimated that the total hit to the economy from the drought, including the flow-on effects, would be worth about 0.6% of annual GDP. They said the latest report from Fonterra suggests the risks are leaning towards a smaller hit. In its half-year update, Fonterra revised upwards its payout forecast for the 2012/13 season by 30 cents to $6.25-6.30/kg, including retentions. The drought hasn’t squeezed milk production in New Zealand quite as much as expected and Fonterra estimates that full-season production will be unchanged from last season, where it was 8% ahead up until January.

The big news over the fortnight was the release of the Fonterra half year results that came in strong due to the sharp dairy price rises; net profit was up 33% to $459million. This caused a sharp rise in the unit price which traded at $7.05 before the results and closed at $7.45 the day after, not far off the all-time high of $7.49.

Livestock Improvement and Sanford have had no major news and the share price has done little over the fortnight. Skellerup announced half year results on March 18, its net profit sharply down 17.6%, causing the share price to fall back a little but it has since recovered suggesting the poor profit expectations were already factored into the share price. Heartland paid a 2 cent dividend pushing the total dividend for the year up to 4.861c which pushed the yield (return) up to 6.481%. Hellaby announced a capital raising to enable further company purchases. We have added Seeka Kiwifruit Industries Limited to the list due to the strong dividend return the company has which currently stands at 5.36%. Delgates announced their interim report on March 28, a net profit of $19.2 million compared to $17.4 million for the same period the previous year.

US Agricultural Commodity Prices Commodity

Units

Live Cattle

USD/Kg

Feeder Cattle

USD/Kg

Lean Hogs

USD/Kg

Greasy Wool

USD/Kg

Corn Wheat

Price This Price Last Change Issue Issue $2.713

$2.811

-$0.098

$3.241

$3.171

$0.070

$2.025

$1.808

$0.217

$12.300

$12.480

-$0.180

USD/ Bushel

$6.405

$6.993

-$0.587

USD/ Bushel

$6.708

$7.065

-$0.358

US corn inventories totalled 5.399 billion bushels on March 1st this year.

While down from a year earlier, that’s still above the 4.995 billion forecast.

Farmers will plant 97.282 million acres of corn in 2013, the most in 77 years to counter the cut in domestic corn output by 13% due to last year’s drought, the worst since the 1930s. This has caused corn prices to plunge, the grain has tumbled from last year’s closing high on Aug 21st of $8.3875 to our current price of $6.405. Wheat surged 19% last year as the dry conditions left fields in their worst condition since the government began keeping the data in 1985. However the excess planting of wheat crops have had the same impact as corn; wheat prices are well down in 2013. Hog prices have risen sharply recently on speculation that consumers will boost purchases of cheaper US pork as an alternative to more expensive meats. Cattle prices show further weakening as the market tries to repair supply when last year’s drought prompted ranchers to cull animals rather than bear the elevated cost of feeding them. The US is the world’s largest importer of beef and it’s expected that imported beef will flood the market driving the price of local beef down.

This table and information is in no way a recommendation to buy or sell any share but a list of New Zealand agrishares that have the highest dividends.

Please consult your financial advisor before entering into any sharemarket investment.

Rural News // april 9, 2013

management 31

Crop cover to combat psyllid? a n d rew swa llow

FINE-MESH crop covers promise a solution to the problem potato pest tomato-potato psyllid (TPP), with possible benefits for other crop issues; such is the finding suggested by early results from research at Lincoln’s biological husbandry unit.

The TPP has phytotoxic saliva so even “a handful” of the 2-3mm long cicada-like insects per plant can slash potato yields 10% and further reduce marketable yield due to size and shape effects, explains BHU’s Charles Merfield.

Tomatoes are somewhat tolerant of TPP infestation but for tamarilloes they’re a killer.

At Lincoln, Merfield has set up a basic, four-replicate trial to assess how two crop covers affect TPP infestation and subsequent yield of potato cultivar Moonlight. “We chose Moonlight because it was originally reported as being very susceptible [to TPP] though Plant and Food say that may have been overstated.”

The plots were planted late – in early December— to coincide with the time in which TPP populations

Lincoln’s Charles Merfield lifts one of the insectproof potato covers in the Biological Husbandry Unit’s trial. Inset bottom left: Chlorosis and leaf rolling of potato leaves due to psyllids’ toxic saliva.

normally soar. “As soon as they were out of the ground the psyllids were onto them.” Or, at least, they were onto the unprotected control plots, but those covered with a mesh with sub 0.7mm apertures weren’t infested.

How that will affect yield remains to be seen but foliar symptoms – interveinal chlorosis “a bit like nitrogen deficiency” and leaf rolling – were clear at an open day at the site late last month.

Harder to spot than the damage, but there nonetheless on the underside of leaves, were the

orange and green specks of immature sap-sucking psyllids.

“They go through four immature, immobile stages,” explained Merfield. Adults are markedly more mobile, leaping to catch wind currents and infest new plants or find

over-wintering spots.

“One of the problems with them is they have a quite diverse host range… anything in the solanacae family.”

A green host is required to overwinter, box-thorn and native poroporo being two common ones in

New Zealand.

In crops, TPP’s positioning on the underside of leaves makes it hard to hit with pesticides and its phytotoxic saliva means it does damage before a systemic product can kill it.

Potato growers have resorted to regular repeat applications of insecticides to try to minimise crop damage but Merfield says development of resistance to pesticides is a risk and such action runs contrary to consumers’ preference for reduced pesticide use.

“In many of these [psyllid affected] crops growers had really good integrated pest management strategies for the rest of the pest spectrum, making good use of biocontrols, but the psyllid’s blown IPM and biocontrols out the window…. They really are an unbelievable pain-in-the-arse pest.”

Mesh covers, a practice Merfield’s seen used to protect vegetable brassica and carrot crops in Europe due to lack of chemical controls for flying crop pests there, promise a solution for potato growers here, he believes.

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Rural News // april 9, 2013

32 management

Calling time on andrew swal low

Loading ramp: birds are pulled out through the sack flaps for transport.

FIFTY YEARS after rearing his first birds, Philip Crozier is quitting turkeys.

“I started with seven hens and one gobbler when I was twelve and a half years old,” the now 65-year-old told Rural News on a recent visit to

his Mid Canterbury farm.

“That first year I sold 100 turkeys and made a profit of 50 pounds. In those days that was huge money.”

It was the start of a career which from the age of 21 also involved his wife to be, Judith.

“It was only when

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Judith arrived that I started doing things properly,” he admits.

As a young man he dreamt of building production to a million birds – “I had it all worked out how many sheds I would need” – but the reality of limited demand from New Zealand’s small population meant output peaked at 70,000, about 20% of New Zealand’s estimated 350,000 birds/year consumption.

“That consumption’s a bit of a guess as nobody really knows but it hasn’t changed much in 20 years.”

These days they do about 20,000/year, though they have the capacity to hatch a lot more, having installed an incubator capable of doing 300,000 when Tegel, the largest supplier, dropped out of the market for two years.

“But then Tegel came back in, bought out another supplier, and in a short time they were back to producing as many as they were before.”

Crozier’s response to what was some fierce competition at the time was to drop out of the supermarkets and focus on butchers shops and other smaller outlets.

“It’s probably the best decision we ever made.”

The trend among some to seek healthier foods hasn’t markedly increased demand for their freerange product but it has made selling them easier, they say.

“These days the phone goes and we take the

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Almost ready: poults approaching processing weight.

order, and we get a lot more phone calls from people wanting to know more about how our birds are reared,” notes Judith.

The answer to that rearing question is outside from about five weeks after hatching, grazing on cereal crops with an ad-lib home-made ration of meal.

“We make four grower mixes and go through about 2.5t/day,” explains Philip. “It was making our own feed that really put us on the map.”

By about 12 weeks of age, in February, the first batches of poults are ready and three days/week they’re processed in Crozier’s purpose-built plant on the edge of Ashburton.

Killing runs through to June with everything frozen, mostly as whole birds for the Christmas market.

Judith says it is feasible to produce fresh birds in December, but hens have to be indoors with light manipulated to make them lay out of season, and chicks pushed from the outset to reach target weights. It doesn’t fit their free-range ethos.

“Spring is the natural season for them to start laying.”

Typically that’s late September and a first “row” of eggs – about 1200 of them – goes in the incubator at the start of October.

“It’s not been used for nine months so if anything goes wrong with that first batch it’s not a disaster,” notes Philip.

Rural News // april 9, 2013

management 33

turkeys Twice as many go in the incubator for the second hatch, and three rows per hatch after that until they reach their target number of poults for the season.

From one batch of poults they select the best males – gobblers – to grow on to higher weights before making a final pick of 30 for the following season’s breeding.

About 700 hens are selected in a similar way, but from a different batch.

“The traditional ratio was seven gobblers per hundred hens with natural mating but with AI we

Retiring: Philip and Judith Crozier.

only need about 30.”

No new genetics are imported.

“We’ve been line breeding our own birds for a long time now. We tend to think of them as just turkeys but they’re probably hardier than we think as every year we’re selecting the best performers in our outdoor system.”

Hens are inseminated twice in each laying cycle to maximise the number of fertile eggs, and hence poults hatched.

Hens will lay a second and third year but egg production tails off while the

Free range standard needed The Croziers believe there needs to be a standard set for what constitutes a free-range turkey in New Zealand so consumers can be confident birds labelled as such were raised outdoors.

“In the US 51% of their life has to have been spent outside to be free-range.”

All the Crozier’s birds would easily meet that threshold.

“Ours are about as free-range as you can get. The only place they’re more freerange is in Texas where they’re outdoors in all weathers, even blizzards, when a lot die.”

Each flock of Crozier’s birds has a small, open-sided shelter in case of bad weather but few use it, preferring to run through standing cereal crops and mill around the meal feeder.

However, in some systems labelled free-range birds are effectively housed, with a pop-hole door to the outside for them to use if they choose. “In practice only about 5% of them ever go outside but they’re still sold as free-range!”

birds become heavier so it’s not commercial to keep them after their first season’s lay.

“We do have a sale of turkey dams. Some people particularly like them because they’re half the price and twice the fla-

vour. You just have to cook them a bit slower and they’re beautiful. It’s a bit like the difference between mutton or hogget and lamb.”

The Crozier’s farm is 34ha. The turkeys are stocked at about 1200/ha

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in flocks of 2000 with paddocks subdivided accordingly. Triticale is sown then laneways cut through it for the birds and shelters.

“They knock down about an acre of the crop but we can head the rest.”

Yields are modest but so are inputs: no fertiliser’s necessary as the turkey’s leave plenty of “nutrient” behind as dung.

Once the turkeys are gone a winter feed crop for lambs or cattle is sown, or a cereal for the following season. Sometimes spring cereals are undersown with grass which comes away when the crop’s harvested and the turkeys are gone.

The dry mid Canterbury climate helps keep the birds healthy but Philip keeps a close eye “to nip any disease in the bud” when they have a lot of birds on the ground.

The couple hope they can sell the farm and business, including stock and processing site in Ashburton, as a going concern and will be available to advise the new owners on the operation for their first year, if required.

Real estate agent Matson & Allan says “rarely does a property and business like this come available.”

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Rural News // april 9, 2013

34 management

Breed promises meat and wool gains a n d rew swa l low

A SHEEP breed which promises to add-value to both meat and wool was launched at last month’s South Island Agricultural

Field Days.

The Ile de France breed originates, as the name suggests, from Europe where it is the main maternal line in the southern half of France. However, it

is also established in Australia and South Africa which is where the lines being imported into New Zealand are coming from.

“The bulk of them are in South Africa’s

high veldt,” says Murray Rohloff, one of the breeders behind the initiative. “They’re very well adjusted to arid conditions; tough as nails.”

South African genetics

were imported into Australia and after the minimum three generations there, semen from three rams imported to New Zealand Australia in 2008.

Five live rams and frozen Official launch: Murray Rohloff shows off an Ile de France ram at the recent South Island Agricultural Field Days.

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semen from another three rams have been imported since.

While the initial driver behind importing the breed was to facilitate out-of-season breeding – three lambings in two years is the norm for some producers with the breed overseas – Rohloff and colleague Peter Ponsonby have since found meat and wool traits alone are enough to justify their integration into certain New Zealand systems.

Crossing with Romney ewes for example saw hogget fleece micron cut by eight to below 30 with only a 0.4kg or 10% loss in fleece weight from the first cross progeny. Meanwhile, carcase meat yields, as measured by ViaScan, were increased from 52% to 55-56% (see panel).

“They didn’t make the lambs any longer or taller, just thicker and deeper…

We have a wad of third party verified data now supporting our claims about the growth ability of this breed”.

Lambs are born small, hence with few difficulties, and are very vigorous, “a bit like a Cheviot lambs,” says Rohloff.

Over the last three lambings singles have averaged 575g/day and twins 440g/day at Ponsonby’s farm, Lawrence, Otago. Even after the

spring blizzards of 2010, singles topped 500g/day and twins 420g/day.

Put across Merinos, Ile de France sired lambs have, at 15 weeks, weaned 5kg heavier than Border Leicesters. In another Merino flock high ewe losses from “hung” terminal-sired lambs was eliminated by switching to the Ile de France and 80% of lambs were drafted prime at 12 weeks, averaging 17.9kg.

The first-cross or halfbred progeny out of Merinos produce a fleece still fine enough to qualify for high value contracts such as Merino New Zealand’s that feed into the US premium sock market brand, Smartwool, adds Rohloff.

The first-cross ewes are also proving more fertile, and perhaps more importantly, better able to raise twins in a high country environment.

“The Ile de France has a milking ability close to the Poll Dorset, but it has the ability and hardiness to cope with dry conditions.”

Merino cross progeny are white footed, and as such feet would probably prove too soft for wetter environments down country, he admits. However, the broader foot of the Ile de France does improve structure in the first cross, increasing the claw gap compared to straight

Rural News // april 9, 2013

management 35 cpt results In 2008 all 360 of Rohloff’s male Romney x Ile de France lambs were included in the AgResearch administered Central Progeny Test. Singles were slaughtered at 11 weeks and averaged 20.31kg, yielding 55.87% on Viascan; twins were killed a month later, averaging 20.64kg at 55.68%, and triplets a month later again averaged 19.67kg yielding 55.46%.

Merinos.

Romney first crosses are black-footed and haven’t presented any problems.

Rohloff says he and Ponsonby have been “keeping things low key” with the breed since they started importing them and most farmers wouldn’t have come across them unless they’re dealing with the breeders he and Ponsonby have been working with.

However, the Lincoln event marked their official launch so things would be higher profile from now on.

Hybrid vigour probably accounts for some of the gains seen in first cross progeny, he acknowledges, but as they’ve backcrossed ewes with Ile de France semen to produce three-quarter, seveneighth, and higher ratio mothers, they’ve found fleece and carcase gains maintained or increased.

Consequently their recommendation to farmers running pure Romney or equivalent strongwool breeds or composites, is to “try to get as much Ile de France in there as you can.”

For Merino farmers, running a Merino x Ile de France halfbred flock may

well be the best bet.

No purebred females have been imported because it costs about $2000/lamb born to do so due to embryo transfer and/or import costs and quarantine requirements.

Such costs mean breeders who do take that approach naturally are loathe to cull such costly material, and consequently may not be as ruthless in their selections for the New Zealand environment as they perhaps should be, he adds.

“It costs a lot of money and you don’t get very big numbers which means you’re creating a population out of a very small genetic base.”

For those keen to produce three lamb crops every two years, “that option is still in them,” adds Rohloff.

“All our modelling using Farmax management software shows producing three lamb crops every two years increases profits from each kilo of pasture dry matter to match dairy conversion.”

More frequent lambing trials funded by Alliance Group over a decade ago, carried out by Ponsonby, also showed an increase in farm profit by a third over high producing traditional systems.

Wider weed resistance issue NEVER MIND weeds resistant to glyphosate: the bigger problem is weeds resistant to multiple herbicides, a world leading researcher says.

“There are more than 60 countries where scientists are reporting herbicide resistant weeds and lately we have seen a big problem with weeds resistant to many different types of herbicides,” Ian Heap, director of the Interna-

tance to many different was for the first time conherbicides, says Heap. firmed in New Zealand “To manage this problem in November and further we have to use alternative sites have since been diagIan Heap means of weed control, and nosed.

Glyphosate resistance is a par- reduce our reliance on herbicides.”

The issue of multiple resistance ticularly big problem in countries such as the US where there will force changes in cropping syswas rapid adoption of glyphosate tems in the coming decade includtolerant crops but “the biggest ing the development of crops issue going forward” is what to tolerant to more than one herbido with weeds that evolve resis- cide, he believes.

tional Survey of Herbicide-Resistant Weeds, told the recent Global Herbicide Resistance Challenge conference in Australia earlier this year.

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Rural News // april 9, 2013

animal health 37

Beware risk of buying in TB pamelat@ruralnews.co.nz

BOVINE TUBERCULOSIS (TB) is these days most likely to enter your herd on the back of a truck, warns a retiring TBfree NZ stalwart with a lifetime’s experience of managing the disease control effort.

John Glasson, Helensville, farms 54ha near Muriwai Beach, west Auckland, the site of the recent fatal shark attack.

He and his wife milk 110 friesians and supply Fonterra.

For 30 years he’s been at the forefront of his South Kaipara Head and Helensville region’s mission to control TB but his first recollection of the disease’s impact on farming dates from way before that, in 1953, when 48 of his father’s 100 cattle tested positive, and were culled.

The Kaipara Dairy Company they supplied exported frozen cream to the United States so all supply herds were tested, he explained to Rural News.

But perhaps the horror of the disease was even more ingrained in the family psyche: a diary of his great great grandfather who lived near Liverpool shows three daughters died of whooping cough, then a son died of TB, probably from drinking untreated cow’s milk.

Glasson has been on his farm since 1970 taking over from his parents who moved there in 1964.

TB funding was cut in the 70s and 80s and

“it started exploding and everybody started getting TB,” he recalls.

“They had to do something about it so they got a national programme going”.

Dairy herds in his region were still tested because of the cream exports, but testing began on beef herds. At one stage all but one herd in the South Kaipara Head region tested positive. The area was declared infected and herd movement controls began.

Glasson went to a meeting where Animal Health Board (AHB) TB eradication and research manager Dr Paul Livingstone s spoke. “What amazed me was he said when it gets into the possum it increases in potency and one drop of pus from a TB possum could infect every cattle beast in New Zealand – that was in 1988”.

They formed a TB committee in Auckland, which he joined as Federated Farmers’ dairy delegate and he has served ever since.

Glasson refuses to blow his own trumpet about his involvement in TB eradication but admits he “was always keen to go on the committees because it was a way of keeping a handle on what was going on.

“The main thing is that South Kaipara Head no longer has TB – we got rid of it through the cooperation of all the farmers, the regional council, the Animal Health Board and DOC.” Although deer farms were not subsidised for

Wahine survivor john Glasson is a survivor of the Wahine disaster in which 53 people died, April 10, 45 years ago tomorrow. He was part of a 15-strong Lincoln cricket squad, all of whom survived.

His recount of the disaster is reminiscent of the Titanic movie: racing round the ship trying to find a way off; being blocked from getting life jackets; being thrown around as the ship lurched. He also talks of unsuccessfully trying to get a woman to respond; leaping into the water to reach a lifeboat; seeing a baby thrown to a lifeboat and caught unharmed by someone on board; helping a young woman as she was pitched and tossed trying to transfer to a tug, the same vessel that eventually took him to safety as well. He doesn’t romanticise the experience. And he knows from the experience you are more likely to save yourself first in a disaster, then try to save others; but that was before he had a wife and children, he adds.

testing, the local deer farmers got involved in 1988 and quickly got it out of their herds. The last TB detected in any animal in the region was 2003.

Although possums or ferrets were probably the initial source of infection, Glasson does not believe a lot of TB was detected in the local pests.

“What happens is that TB comes in on the back of a truck.” In the recent Northland outbreak, herd numbers were being doubled on that farm and stock was brought in from throughout New Zealand.

He’s no great fan of the NAIT scheme, but Glasson says it will help with traceability as calves have to be

tagged from four days.

South Kaipara Head has a well-known deer representative on the TB committee and Glasson is keen that there’s a dairy representative involved too, so he’s hopeful someone will stand in his place.

TBfree NZ says Glasson’s local knowledge was invaluable in helping

the regional council and AHB control TB in the area. His relationship with the local community made him a valuable member of the TBfree Auckland Committee.

So now TB is well under control, is there a danger of complacency?

Glasson says you only have to look at Northland

Stepping down: Kaipara farmer John Glasson’s had 35 years involvement with TB control.

to see “it can happen just like that.”

“You have to be constantly on alert where you buy your cattle from.”

APPROACH THE AUTUMN WORM CHALLENGE WITH A TRUSTED TRIPLE DRENCH.

ELE-00636-RN`

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Worm challenge is at its highest during autumn. Young stock are the most susceptible, and also contribute most to worm eggs on pasture. To maintain the growth and condition of your young stock, drench regularly with COOPERS ALLIANCE® – the smart, low-dose triple combination oral drench with cobalt and selenium. Make sure your drench is up to the challenge. Ask for ALLIANCE at your animal health retailer.

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Rural News // april 9, 2013

38 animal health Assure Quality’s Horowhenua field technician, Leo Cooney, logs the soil temperature.

Behind the scenes with an FE monitor With Facial Eczema spore counts spiking in some regions after the long dry, Peter Burke relays what goes into providing this valuable farm management information.

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E Nailed 39x3 02/13

ASSURE QUALITY Field Technician in the Horowhenua district, Leo Cooney has spent more than 40 years measuring facial eczema spore counts.

During the high risk period, January to April/ May, he’s out monitoring eight sites in the district, on top of other duties, mainly TB testing.

Cooney uses what is known as the ‘dry count method’ for FE monitoring, as opposed to the ‘wash down method’ (see panel).

Experience has shown him it’s the most reliable, he says.

When you see him taking his spore samples you could be excused for thinking he’s topping the paddock with a pushmower: hardly surprising

Spore source: dead material at the base of the sward.

The mowerlike machine beats the grass and sucks in spores, if present.

when you learn the name of the firm that made it:

Wash down method The alternative to dry counting spores is to take a pasture sample and bring it back to the lab to analyse spore content, says Cooney.

“With the wash down method you are getting a grass sample, usually about 200 grams of grass, and that is washed in a sample of 600ml of water and shaken for about three minutes.

“Drops of water are then taken out and put on a blood slide and read under the microscope at a different magnification to what we use on the dry count method.”

Trace: spores stick to a Vaseline coated slide inside the sampler.

Morrison.

However, Cooney’s machine’s quite different from Morrison’s mowers. There are no cutting blades underneath, only little ‘beaters’ which disturb the pasture and spores, if present, which are sucked in by air pump and onto a glass slide thinly coated with Vaseline.

He takes a triangular route collecting spores, with three slides or ‘traces’ taken from each site.

“We then take these back to the office where they are read under the

microscope. Before we read them we put a drop of water on the sample slide and put a cover slip over it.

I find that essential to get good clear readings.”

The 10 x 40 magnification makes the spores “look just mini hand-grenades,” he notes.

One thing he’s learned to appreciate over the years is the role soil temperature plays in determining facial eczema risk, as he also records this when collecting the samples.

“I used to wonder why later in the season when the ambient temperatures were getting low that we were still getting the disease showing up in stock – often as late as May,” he explains.

“When I started taking the soil temperatures I found that the warm soil was acting like an electric blanket under the base of the pasture and producing a medium ideal for the fungi to keep ticking away and producing spores.”

Based on his experience, Cooney may still have another couple of months of regular testing to undertake.

Rural News // april 9, 2013

animal health 39

Worm risk when rain comes RAIN AND continued warm weather could see a surge in the worm burdens after the long dry, warns COOPERS animal health Technical Advisor Hannah Field.

“Once it rains… if temperatures are still mild, worm populations can explode.”

A high worm challenge will put pressure on young stock, so monitor the likely challenge by watching the weather and ideally faecal egg counting, she advises.

“Be ready to drench as worm burdens rise.”

While adult animals are generally more tolerant of worms, any in low body condition are already stressed so may also benefit from drenching.

Field warns against reaching for longer-acting drenches such as moxidectin without assessing which worm species are present.

“Long-acting drenches such as moxidectin are higher risk for resistance, and are often in a single active formulation, which is not recommended best practice; combination

drenches are advised.

“Also, Moxidectin does not have the same longacting activity against Teladorsagia (Ostertagia spp) and Trichostrongylus as it does against Barber’s Pole.”

If conditions are very warm – around 18 deg C and wet, that’s when Barber’s Pole can reproduce rapidly. A FEC and larval culture should be done to find out whether it’s prevalent.

“This will give you an idea of which worms to target. If Barber’s Pole is a good proportion of the worm population, then a long-acting drench is usually recommended.”

Fewer worms will have survived on pasture during the dry so particular care with drench use afterwards is needed to minimise the risk of selecting for resistance, stresses Field.

Any worms surviving the drench are likely to be resistant and if worm numbers on pasture are still low because of the dry conditions there’s less competition or dilution from drench susceptible

Hannah Field

To avoid this scenario, Field recommends: Drenching with a fully effective drench. “If you don’t know the resistance status of your farm use a triple combination drench, such as Coopers Alliance.”

If you do need to use a long-acting drench for Barber’s Pole, be sure to

use an exit drench after this, such as a triple combination.

Note which parts of the farm were grazed by stock given the long-acting product and graze undrenched adult stock on them next to dilute any resistant worms that may have been shed.

Get the riGht Growth at the riGht time with the riGht drench.

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Success after weaning means choosing a drench that will help you secure the best liveweight gains. Drench orally for reliable absorption and always make sure your drench is up to the challenge. ALLIANCE® triple and CONVERGE® dual combination oral drenches are an ideal choice.

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ELE-00701-RN

CATTLE FARMERS should have a new pour-on drench option within weeks as Donaghys releases its first anthelmintic. The firm last week finished a round of South Island farmer meetings promoting, among other things, an oilbased abamectin drench which will be added to its Prorange of animal health products as soon as the ACVM certificate is received.

National sales manager Hunter Darry says Donaghys will be the only NZ-owned supplier making and distributing an abamectin pour-on from its own plant.

“It will be manufactured in Dunedin, packaged, and delivered straight to market. That’s achieving cost savings which will come to you,” he says.

Points of difference with other abamectin pour-ons include price – “it will be cost effective” – and formulation.

“There are other products at that price but ours is oilbased; the others are water-based.”

The oil base reduces risk of washing or licking off.

Exactly what the price will be will depend on the level of business a client does with Donaghys. The 5 litre, 10mg/ mL pack is “valued at” $499, but orders before August 1 for it and a range of other Donaghys’ products earn a loyalty bonus of up to 20% in free goods.

Darry explains the early ordering means the firm can better schedule manufacturing, packing and distribution, cutting its costs, and the loyalty bonus scheme is a way of rewarding customers whose ordering makes those savings possible.

The bonus scheme starts at $5000-worth of business, which earns $600 of free product, and tops out at $20,000 or more, which earns $4000-worth of extra product.

Donaghys’ new product discussion tour continues with a 19-venue North Island tour kicking off this week.

strains when the drenched stock are turned onto it. As the resistant eggs hatch, the majority of larvae ingested will be resistant.

Once in the gut, they’ll mature to produce thousands more resistant eggs, resulting in a rapid rise in the resistant population on farm.

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WITHDRAWAL PERIOD MEAT (DAYS)

SAFETY MARGIN (X DOSE RATE)

MILK (DAYS)

BITING LICE

CLAIMS

COMMENTS

SUCKING LICE

TICKS

BITING FLY

ECTOPARASITICIDES Bayticol

Bayer NZ Ltd

Pour-on

Flumethrin

1.0% w/v

1mg/kg

10mL/100kg

Nil

Nil

>20

No

No

Yes

No

Rainfast

Destruct

Bayer NZ Ltd

Pour-on

Propetamphos

10% w/v

10mg/kg

10mL/100kg

3

5

N/S

Yes

Yes

No

No

Short meat withholding, single dose.

BLAZE

COOPERS

Pour-on

Deltamethrin

1.5% w/v (15g/L)

0.75mg/kg

1mL/20kg lice and nuisance fly.

28

Nil

>10

Yes

Yes

No Note 4

Yes

Nil bobby calf withholding for cows treated in late pregnancy.

Pouracide NF

Jurox NZ Ltd

Pour-on

Alphamethrin 7g/L Piperonyl Butoxide 75g/L Tetrachlorvinphos 20g/L

10mL/100kg

7

Nil

-

No

Yes

No

Yes

Rainfast fly and lice control

Tempor

Merial Ancare

Pour-on

Temephos

Synergy Cattle

Ravensdown

Pour-on

Alphamethrin, 7g/L Tetrachlorvinphos 20g/L Piperonyl Butoxide 75g/L

Niltime

Virbac NZ Ltd

Pour-on

Bendiocarb

40g/L

TopLine

Virbac NZ Ltd

Pour-on

Abamectin

1mL/20kg

Vengeance

Zoetis

Pour-on

Temephos

Lypor

Zoetis

Pour-on

Temephos

20% w/v

12mg/kg

6mL/100kg

10

14

>8

Yes

Yes

No

No

Not affected by rain.

1mL/10kg

7

Nil

-

No

Yes

No

Yes

Lice and biting fly control

4mg/kg

1mL/10kg

3

Nil

4x

Yes

Yes

No

No

Can be used on calves 50kg and over.

1% w/v 10mg/mL

0.5mg/kg

35

Nil

3x

Yes

Yes

No

No

Persistent activity against biting and suckling lice for 56 days. Rain resistant.

20% w/v

12mg/kg

6mL/100kg

10

14

>8x

Yes

Yes

No

No

20% w/v

12mg/kg

6mL/100kg

10

14

>8x

Yes

Yes

No

No

ENDECTOCIDES Baymec Pour-on

Bayer NZ Ltd

Pour-on

Abamectin

1.0% w/v (10g/l)

0.5mg/kg

1mL/20kg

35 (Bobby calf 16 days)

Nil

3x

Yes

Yes

-

-

Rainfast, controls both internal and external parasites.Registered for cattle & deer.

Baymec Injection

Bayer NZ Ltd

Subcutaneous injection

Abamectin

1.0% w/v (10g/l)

0.2mg/kg

1mlL50kg

49

49

3x

-

Yes

-

-

Non-sting. Also controls internal parasites.

Eon

Bayer NZ Ltd

Pour-on

Eprinomectin

0.5% w/v (5g/l)

0.5mg/kg

1mL/10kg

Nil

Nil

10x

iPlus Injection

Bayer NZ Ltd

Subcutaneous injection

Ivermectin/ Clorsulon

1% w/v 10% w/v

0.2mg/kg 2mg/kg

1ml/50kg

28

14

5x

Outlaw

Bayer NZ Ltd

Pour-on

Abamectin/ Levamisole

10mg/ml 200mg/ml

0.5mg/kg 10mg/kg

1ml/20kg

42

42

3x

Yes

For the treatment and control of internal parasites including endectocide resistant strains and lungworm in cattle.

Saturn Pour-on

Bayer NZ Ltd

Pour-on

Abamectin/ Levamisole

10mg/ml 200mg/ml

0.5mg/kg 10mg/kg

1ml/20kg

42

42

3x

Yes

For the treatment and control of internal parasites including endectocide resistant strains and lungworm in cattle.

Bomectin Gold Pour-on

Bayer NZ Ltd

Pour-on

Ivermectin

10mg/ml (1% w/v)

0.5mg/kg

1ml/20kg

35 - Bobby calf 16 days

Nil

3x

Yes

Yes

No Note 4

No

Rain resistant. Controls chorioptes and sarcoptes mites. Also controls internal parasites.

Bomectin Injection

Bayer NZ Ltd

Subcutaneous injection

Ivermectin

10mg/ml (1% w/v)

0.2mg/kg

1ml/50kg

21

21

3x

Aids in control

Yes

No

No

Non sting. Also controls internal parasites.

Also controls mange mites.

Paramectin Pour-on

Jurox NZ Ltd

Pour-on

Abamectin

1.0% w/v

0.5mg/kg

1ml/20kg

35

Nil

3x

Yes

Yes

No

No

Also controls internal parasites

Paramectin Injection

Jurox NZ Ltd

Injection

Abamectin

1.0 w/v

0.2mg/kg

1ml/50kg

49

49

3x

Eprinex For Cattle & Deer

Merial Ancare

Pour-on

Eprinomectin

0.5% w/v

0.5mg/kg

1ml/10kg

Cattle 0, Deer 7, Bobby Calves 0

Nil

10

Yes

Yes

No

No

Controls mites, sarcoptes scabiei, chorioptes bovis. Also controls internal parasites..

Weatherproof.

Eclipse Pour-on

Merial Ancare

Pour-on

Abamectin/ Levamisole

10mg/ml 200mg/ml

0.5mg/kg 10mg/kg

1ml/20kg bodyweight

35

35

3x

Yes

Yes

No

No

Also controls internal parasites.

Exodus Pour-on

Merial Ancare

Pour-on

Moxidectin

0.5% w/v

0.5mg/kg

1mL/10kg bodyweight

Nil Deer Nil Bobby

Nil

>10x

Yes

Yes

Note 4

No

Also controls internal parasites. Rainfast. registered for Cattle and Deer. Controls manage mites. Chorioptes bovis.

Genesis Injection

Merial Ancare

Subcutaneous injection

Abamectin

1.0 w/v

0.2mg/kg

1ml/50kg

49

49

3x

N/D

Yes

No

No

No sting. Also controls internal parasites. Also with Vitamin B12.

Genesis Pour-on

Merial Ancare

Pour-on

Abamectin

1.0% w/v

0.5mg/kg

1ml/20kg

35

Nil

3x

Yes

Yes

–

–

Also controls internal parasites. Rainfast.

Genesis Ultra Pour-on

Merial Ancare

Pour-on

Abamectin/ Triclabendazole

0.5mg/kg 300mg/ml

0.5mg/kg 30mg/ml

1ml/10kg bodyweight

91

91

3x

Yes

Yes

No

No

Also controls internal parasites, liver fluke.

Ivomec Injection

Merial Ancare

Subcutaneous injection

Ivermectin

1.0% w/v

0.2mg/kg

1ml /50kg

35

35

20-30

Aids in control

Yes

Note 4

No

Also controls internal parasites

Ivomec Plus

Merial Ancare

Subcutaneous injection

Ivermectin/ Clorsulon

1.0% w/v Iver.

10% w/v Clor.

0.2mg/kg Iver.

2.0mg/kg Clor.

1ml /50kg

28

14

20-30

Aids in control

Yes

Note 4

No

Also controls internal parasites

Noromectin Injection for cattle

Norbrook NZ Ltd

Subcutaneous injection

Ivermectin

10mg/ml

200ug/kg

1ml /50kg

49

28

>10x

Aids in control

Yes

No

No

Low sting formula, free of Antihicrobal preservatives. Also controls internal parasites.

Closamectin Injection

Norbrook NZ Ltd

Subcutaneous injection

Ivermectin Closantel

5mg/ml 125mg/ml

0.2mg/kg 5mg/kg

1ml/25kg

35

35

2x

Yes

Yes

No

No

Controls immature and mature liver fluke, mites, lungworm and internal parasites.

Noromectin Plus

Norbrook NZ Ltd

Subcutaneous injection

Ivermectin Clorsulon

10mg/ml 100mg/ml

0.2mg/kg 2mg/kg

1ml/50kg

28

14

>10x

Yes

Yes

No

No

Controls liver fluke, mites, lungworm and internal parasites

Yes Yes

Yes

For the treatment and control of all gastrointestinal roundworms and lungworms in cattle.

No

No

Yes

Also controls internal parasites and controls Chorioptes bovis and Psoroptes

Also controls internal parasites

Noromectin Pour-on

Norbrook NZ Ltd

Pour-on

Ivermectin

5mg/ml

500ug/kg

1ml/10kg

21

144 hours >10x

Yes

Yes

No

No

Controls mites, lungworm and internal parasites

Fasimec Pour on for Cattle

Novartis

Pour-on

Abamectin/ Triclabendazole

0.5mg/kg 300mg/ml

0.5mg/kg 30mg/ml

1ml /10kg bodyweight

91

91

Yes

Yes

No

No

Controls roundworm lice and all stages of liver fluke.

3x

Ravensdown

Pour-on

Abamectin

10g/L

0.5mg/kg

1ml/20kg

35

Nil

3x

Yes

Yes

No

No

Lice and worm control with nil milk WHP

Zoetis

Subcutaneous Injection

Moxidectin

1% w/v

0.2mg/kg

1ml/50kg

35 days

35

>5x

Aids in control

Yes

Note 4

No

Also controls internal parasites. Non sting injection. Registered for cattle and sheep.

Cydectin Pour-on

Zoetis

Pour-on

Moxidectin

0.5% w/v

0.5mg/kg

1ml/10kg

Nil Deer Nil Bobby Nil Cattle

Nil

>10x

Yes

Yes

Note 4

No

Also controls internal parasites. Rainfast.

Registered for cattle and deer. Controls mange mites Chorioptes bovis

Dectomax Injection

Zoetis

Subcutaneous injection

Doramectin

1.0% w/v

0.2mg/kg

1ml/50kg

35

35

25x

Aids in control

Yes

No

No

Non-sting, also controls internal parasites.

Registered for cattle, sheep and pigs.

Dectomax Pour-on

Zoetis

Pour-on

Doramectin

0.5% w/v

0.5mg/kg

1ml/10kg

35

Nil

25

Yes

Yes

Note 4

No

Rainfast. Also controls internal parasites.

Controls mange mites Chorioptes bovis

Cydectin Plus Fluke Pour-on

Zoetis

Pour-on

Moxidectin Triclabendazole

5g/L moxidectin 200g/L triclabendazole

0.5mg/kg moxidectin 20mg/kg triclabendazole

1ml/10kg

84

84

10x

Yes

Yes

No

No

Also controls internal parasites, including liver fluke

Note 1 - Do not use in lactating dairy cattle producing milk for human consumption or industrial purposes or within 28 days of the start of lactation.

Note 2 - Extra care must be taken to use the correct dose in calves under 100kg weight, particularly if

animals are in light body condition, because they may be susceptible to overdosing.

Note 3 - Not to be used in lactating cattle where the milk is used for human consumption or within 14 days of calving.

Note 4 - No claim for New Zealand cattle tick.

Note 5 - Not for use in lactating in dairy cows.

Effective against external parasites for 135 days for cattle weighing between 100kg & 400kg liveweight on day of administration.

Note 6 - Do not use on lactating cattle Note 7 – Do not use in cattle producing milk for human consumption or within 21 days of calving N/S - Not supplied.

The Rural News External Parasite Treatments guide for cattle is completed from information supplied by animal health companies. Although the information has been checked by our independent animal health advisor, Rural News accepts no responsibility or liability for inaccuracies.

NOTE

KEY

Abamectin Pour-on Cydectin Injection

TEMPOR Proudly available from your local veterinary clinic.

TEMPOR.

Merial is a Sanofi company Merial NZ, Level 3, Merial Building, Osterly Way, Manukau City, New Zealand. ™TEMPOR is Regsitered Trademark of Merial Limited.

Registered pursuant to the aCvM act 1997 No a7517. Copyright 2012 Merial Limited. NZ-11-TEM-044

Tempor Generic 10x7 advert.indd 1

28/03/12 10:08 AM

Rural News // april 9, 2013

machinery & products 41

Deutz Fahr launch tractor series One of the most widely acclaimed tractors to hit the market for some time got its Southern Hemisphere launch last month with a fittingly glitzy event at Lake Hood, Ashburton. Andrew Swallow reports.

CUTTING EDGE efficiency, comfort, style and productivity is what you’ll get with a new range of tractors coming from Deutz-Fahr, says the manufacturer.

The first of the Italian-designed, Germanengineered machines in D-F’s 7 series was recently unveiled in a fireworks-

and-all-the-trimmings Southern Hemisphere launch by Australasian distributer Power Farming.

An audience of a hundred or more farmers, contractors and dealers from across the country turned out for the evening of drinks and canapés served by glamorous waitresses at Lake Hood, Ashburton,

followed by a smoke-onwater introduction to the 7250TTV-machine.

Its 238hp, 6.0L, 6-cyl, 2000 bar common rail engine has a power-boost to 263hp and impressive fuel efficiency, a point highlighted by Power Farming’s Mark Daniel at the launch.

“Our tests confirm its Stepless transmission: the new D-F 7250 TTV delivers 238hp for draft work, with a powerboost to 263hp for pto operations.

Key collection: contractor Paul Jensen collects the keys to the first of the series from Power Farming’s Brett Maber (left).

Already sold!

AMONG THE audience at the official launch were Northland contractors Paul and Gay Jensen, buyers of the first of the new D-F Series in the country.

Jensen told Rural News the 7250 will replace a D-F 630, one of six tractors he runs in his baling, silaging, cultivation and seeding business. “It’s just the next step.

This one’s a bit better and has a bit more power so let’s have it.”

Over the years he’s had over a dozen Deutz-Fahr tractors, including five at present. “They’re reliable, comfortable, and have good visibility.”

He also runs what he understands is the only Deutz baler in the country, a 5912 model which produces a 900x1200cm bale. “It’s a beautiful machine.”

In silage it packs nearly a tonne of feed into every bale and can pump out up to 50 bales/hour, he adds.

efficiency. It uses 6.8L/ hour less fuel than most other brands of similar power on the market.”

During a 10 hour working day, seven days a week, and 40 weeks a year, at $1.60/L of diesel, that adds up to $21,00022,000/year in fuel savings, he added.

“So if you want to go on pouring more and more fuel into your old tractor then carry on. If not, then give us a call and allow us to come and demonstrate it on your farm.”

Daniel also emphasised the high degree of design that’s gone into what is the first of a whole new series of tractors to come from D-F. Large windows and low-nose bonnet provide great all-round visibility and in-cab comfort means less operator fatigue, lead-

ing to greater productivity from machine and man.

The bonnet design also allows plenty of airflow round the engine and the power house is “very well presented.”

The continuously variable transmission uses a maximum of 28% hydrostatic power. “It’s vital there’s always more mechanical power than hydrostatic,” commented Daniel.

“It means it’s very sure footed and very productive.”

A 12-inch touch-screen monitor is mounted low

to the right in the cab, just beyond the transmission controls, so set-ups, performance monitoring, and GPS is at the operator’s finger-tips. A second display mounted on the front right-hand cab pillar presents eye-level readouts of in-work functions, and there’s a traditional dashboard display of revs, speed, hours, fuel levels, etc.

Maximum rear hydraulic lift is 10t, and 4.5t at the front if fitted.

The standard main hydraulic pump is rated at 120L/minute, with a

second pump for function such as power steering, four-wheel drive engagement etc, rated at 44L/ minute.

The 7250 TTV will be followed by lower and higher powered models in five, six, eight, and nineseries ranges.

Power Farming national sales manager Brett Maber stressed the pedigree of the DeutzFahr brand, its scale today and the €30m/year spend on R&D. “In terms of tractors, Deutz-Fahr is our headline act, I’d guess you’d say.”

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Rural News // april 9, 2013

42 machinery & products Punters pick up pointers A N DREW SWALLOW andrews@ruralnews.co.nz

Fencing contractor Paul van Beers (left) demonstrates the Texas knot to Darrell Osment, Five Rivers, Southland.

GOT A fencing technique you’re not sure about?

Visitors to the South Island Agricultural Field Days ‘All About Fencing’ area saw hands-on demonstrations by professional contractors of how best to tackle just about any farm fencing issue.

“Anything to do with agricultural fencing,” Paul van Beers, of Van Beers Fencing, Hawkes Bay, explained. “Rails, netting, wire, deer fencing, electric fencing, gates – you name it.”

Van Beers was demonstrating a Texas brown knot to join two wires under tension when Rural News vis-

ited the AAF area. “The only alternative is a double loop knot and that’s too weak. It’s only got about 50% of the strength of the wire

whereas this is about 80%.”

Other joining techniques, such as a figure-of-eight or reef aren’t practical for joining wires between the ends of strainer, as is often required where a wire’s been broken.

Crimps will do the job well, but they’re 50c each and a crimping tool costing at least $200 is essential, he added.

“The good thing about this knot is it doesn’t cost you a thing.”

Southland farmer Darrel Osment said he could see the knot being really useful in his work in the Five Rivers area where fences fixed in summer heat were prone to being pulled apart as wire contracted in the hard winter frosts.

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Strong interest from South Island field days crowd INQUIRIES AND interest in Duncan Ag products were “exceptional” at the recent South Island Agricultural Field Days, at Lincoln, says general manager Craig McIsaac.

“Three of our products gained the interest of many farmers visiting our stand; uppermost... was the Duncan Enviro DD30 air seeder. This 23-run double disc drill has progressed to now incorporating our successful air seeder and is a success with contractors and farmers in Australasia.”

The Duncan Enviro DD30 suits most working conditions. The leading scalloped disc and tripleseal bearings, designed for Duncan Ag to highest international standards, enables 125mm row spacing, good contouring ability and optional press wheels.

“New at this year’s Lincoln field days were our Duncan Renovator AS3000 – our air seeder on the Duncan Renovator MK4 – and the Duncan AS19 prototype air seeder.

This seeder does 19 runs with excellent distribution and ground following on undulating ground.”

Craig McIsaac

The Duncan SLR (square, loose, round) feeder was also popular with its feature of a loose silage bin. “We have always seen this as a logical progression in the feedout routine so the silage bin has proven to be a favourite in the dairy industry,” McIsaac says.

In further developing the original Clough Panaerator subsoiler, Duncan Ag now offers the SL2800 and the CL2800. Both machines continue the Duncan Ag philosophy of robustness, McIsaac says.

“At Lincoln the fiveleg Panaerator functioned perfectly behind a 125hp tractor in the demonstration arena, indicating that this leg design and the weight balance requires less power than anything else we have seen to date. The curved leg pulls into the ground easily and operates well in worked ground, whereas the straight leg can go into a pasture paddock or worked ground with ease.”

Tel. 03 688 2029 www.duncanag.com

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Rural News // april 9, 2013

machinery & products 43

Overseas manufacturers back local exhibitors A N DREW SWALLOW andrews@ruralnews.co.nz

SEVERAL EXHIBITORS at the recent South Island Agricultural Field Days, Lincoln, were supported by manufacturers who’d flown half-way round the world to support their products.

Richard Flach of UK firm FLR Crop Drying was on Gough Agritech’s stand to support FLR’s hardwood drying floors.

“They’re ideal for grass seed and a whole range of other crops,” Flach told Rural News.

Kiln-dried wood means there’s no risk of shrinking leaving gaps for air to escape causing uneven drying or, worse still, warping, which can happen with cheaper alternatives, he warns.

“If a floor like this does twist up you’re going to catch it with the [loader] bucket and do a lot of damage. That’s why ours are kiln-dried and we can show the certificates to prove that. Not everybody who says their floors are kiln-dried can,” he notes.

But Flach’s take-home message was to make sure the temperature of recently harvested grain is steadily reduced, starting from the day or night it comes into the store.

“You need to be onto it straight away to minimise the risk of insect infestation and keep going [with cooling] through the autumn. Ideally you should get it down to 5 degrees by winter. Historically, 10oC used to be the recommendation but people found they were still getting infestations at that because the bugs generate their own heat once they get going, so you really need to aim for five.”

While OP products such as Actellic are still

available to protect grain from insect infestation here, in Europe they’ve been banned and Flach believes producers here should be using cultural methods such as cooling to minimise use.

Sprayer and other assorted equipment importer Talbot Agriculture had Clive Rische of Sands Agricultural Machinery (SAM) providing expert technical support on its stand.

“What we aim to do with our sprayers is provide simplicity for reliability,” Rische told Rural News. “We’ve not gone to having everything electric.

We use hydraulics and air instead.”

Several other manufacturers who had gone to all-electric operation have since followed suit, he notes. “What it means is the owner or operator, assisted by someone on a phone call, can fix most problems themselves.”

Self-propelled sprayers have become the norm for larger-scale growers in the UK and SAM has about 30% market share, says Rische. “And we’re more active in export markets than our competitors.”

They’ve been supplying New Zealand since 1990 with Talbot Agriculture as the official agent since 2002, a couple of years after the Talbots bought their first SAM machine.

“We’d been using two tractor-mounted sprayers with front and back tanks before that but when it got wet we couldn’t get on,” explains Jeremy Talbot.

In the 98/99 harvest that cost them “just on 3t/ha” across their wheat area as they were unable to control BYDV-transmitting aphids, with the disease subsequently slashing yields compared to those of a near neighbour who,

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with a self-propelled machine, had been able to get on.

“Whether it’s pests like aphids or a fungal disease like rust, you need to be able to spray your wheat area in a three-day

window, regardless of the ground conditions,” says Talbot, with hindsight.

“It’s not so much a question of can you afford one of these, as can you afford to be farming without one?”

The SAM’s equal weight distribution over front and back axles and low ground-pressure tyres mean “you can spray a paddock when you wouldn’t even walk across it,” he adds.

Richard Flach

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So for expert advice, talk to someone who knows the territory.

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10529

Rural News // april 9, 2013

44 machinery & products

Augur attachment fills silos safely TO N Y HOPKI NSO N

DOUG GOUGH, of Gough Agritech Ltd, displayed at the South Island Field Days this simple device for indicating when a silo is nearly full.

It reduces the risk of jammed augers.

It attaches to and hangs

on the end of the augur.

When the grain level reaches the bottom of the spout a pressure device inside the spout triggers an alarm to alert the operator. The grain, in the meantime, can fill past the alarm and spill out through the holes.

The device is connected

“Farmers no longer have to climb to the top of the silo to check the levels.” by cable to the tractor.

“Farmers no longer have to climb to the top of the silo to check the levels, a safety feature. Silo filling is associated with a

lot of dust and the level is often hard to see,” Gough explains.

Price $735+GST. Tel. 03 318 8132 www.goughagritech.co.nz

Doug Gough shows off the attachment.

FENCING TIME WITH Ray Mayne (left) and Bob Franks at the Lincoln field days.

●

5

Drought outlook draws plenty of potential clients

5

●

NC

=

RT

CUST

58

PO

O

It’s TIME to get that fencing work underway, so you’ll be ER SU M P looking for a reputable brand and machinery company that will provide helpful advice, direct you to the right model for your needs and be there when you need RS YEA them for after sales support and spares backup.

S I E 19

$$

TON Y HOPKIN SO N

DROUGHT AND the potential for irrigation are said to have prompted many visitors to the Ray Mayne Hose and Fittings stand at the recent Lincoln field days.

Mayne formed the company in 1991 with his wife Noeleen, after working in the irrigation industry since 1983. “I was importing Snap-Tite hose fittings and irrigation hose,” he told Rural News.

The company, at Ashburton, with 24 staff, now makes Turborain linear and boom irrigators and designs, installs and supplies many types of irrigation equipment. It also designs and installs livestock water supply and effluent disposal systems.

“With our expertise and experience, and our sales and design staff, we can help any farmer upgrading or doing a total conversion,” Mayne says.

The company is sole distributor of Reinke irrigation equipment. Its technicians regularly attend training at the company’s headquarters in Nebraska.

Save TIME (and money)... Farmers and contractors alike appreciate the quality specifications we build into our popular range such as : • 9:1 pulley ratio • Mega-flow hydraulics that give you faster hammer cycle times. Also consider choosing 600-900mm sideshift mounting options for effortless in-line fencing OR the ‘Hydraspike’ rockspike system for super quick pilot hole operation.

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Visit N0 28!

TIME TO BUY NOW!!

BONUS CART OFFER - APRIL-MAY 2013 All April & May Post Driver & Sideshift base orders include a FREE Poly Push/Tow Dump cart (valued at $375 + gst)* *only while stocks last / conditions apply

Contact your local dealer: www.fieldmaster.co.nz/contact-us/dealers or phone us on 0800 500 275

...smarter gear ...smarter care

REINKE GLOBAL Inc international sales manager Bob Frank again attended the Lincoln field days.

“I have been visiting for 28 years – pleased to have been part of the phenomenal growth of Ray Mayne’s company over the last few years,” says Frank.

The Reinke company began in Nebraska in 1954. It is reckoned the largest irrigation and components maker in the world. “We are global irrigation leaders. Our pivots are used in 70 countries and we have active dealers in 60 countries.”

The company makes centre pivot and lateral move irrigation systems, and such specialised products as control panels, remote management systems and variable rate irrigators (VRI).

VRI can alter sprinklers for streams and drains, and alter the rate for different soil types and different crops in the same paddock.

Rural News // april 9, 2013

machinery & products 45

High-capacity slurry tanker a game-changer NEW IRISH-made Abbey slurry tankers from Farmgard suit contractors and large landholders needing faster, cleaner, more efficient spreading.

They carry 22,000L, can be filled in 4.5 minutes and are highly manoeuvrable, Farmgard says.

The new Abbey Tandem and Tri Axle slurry range is a “gamechanging import,” the company says. Abbey tanker imports have until now mostly been single-axle 9000L models. But the industry wants bigger, says Farmgard.

The Tandem and Tri Axle models range in capacity from 10,000 to 22,000L. Innovative options and customising are available.

Auto-fill arms allow the tanker to be filled from either the left or right side; turbo-fill heads make the job cleaner (less foaming slurry) and faster; turbo pumps reduce filling time to not more than 4.5 minutes; and unloading, when fitted

cles and negotiating sharp-angle gateways is made easier. And the tri-axle model steers on the front and rear axles as standard, further helping manoeuvrability and reducing grubbing of the ground during turns.

Traction is helped by a weight

with the optional turbo pump system, does not take more than 4 minutes. The spreading width when using the splash-plate is about 15m.

Wider tyres and self-steering is said to make for smooth riding and accurate tracking. Turning tight cir-

management system of baffles inside the tank which maintain a certain level of slurry toward the front of the tanker as it empties, so maintaining weight on the tractor drawbar. This minimises rear tractor wheel slip.

A notable optional feature is a sprung drawbar (parabolic leaf ) rendering the tanker sprung whether full or empty, much the same as a standard road trailer.

The combination of sprung drawbar and high speed commercial sprung bogey axle makes the tanker smooth and fast-riding – ideal for road transport, Farmgard says.

Tandem tankers are fitted standard with a self-steering bogey, but forced steering is an option, recommended on tankers 18,000L and larger.

The most popular tyres are 650/55 R26.5 BKT FL 630.

Tel. 09 275 5555 (North Island); 03 437 9000 (South Island). sales@farmgard.co.nz

Plug-in rodent repeller easy answer TRACTORS AND machinery, seed and grain piles, farm buildings and houses are kept rat-free by Pest Free rat expellers sold by Stop Rats, Auckland. Units are also working under rotary dairy platforms, livestock feed mills and piggeries.

About 7000 of the Australian-made Plug-In Pest Free electromagnetic expellers now operate in New Zealand.

The Pest Free plugs into a standard 230V power point from where it overlays a 50Hz pulse onto the electromagnetic field that occurs naturally around live electrical wiring.

It emits no sound and causes no harm to humans, pets or electronic gear such as computers and controllers. The pulse switches on/off every three minutes, so rodents do not develop immunity.

The pulsing stresses rodents, causing them to lose body moisture, drink more and eat less, so upsetting their nutrition and reproductive patterns. They ‘learn’ that they must exit the building or dangerously dehydrate.

The Pest Free maker stresses that nothing can prevent pests entering a building, but electromagnetic pulsing discourages them from setting up nests and colonies.

The Pest Free technology was proven during 2-year scientific trials (1996-97) at the University of New England, Armidale, NSW. They are sold in many countries.

Two sizes are commonly available: a $160 domestic unit for buildings up to 200m2, and a $399 Pro unit for up to 400m2. An industrial unit is also available. The devices carry a 60-day moneyback guarantee and a two-year warranty.

Tel. 09 833 1931

YA BU

NEW TRACT OR

N

OW

PAY NEXT YEAR *

FI

NA

NC

E FROM 1.9 5 %

* Minimum until 1/1/2 30% deposit required.

014. GST Repayment holiday at 1.95% due back in third mon for 12 mon th. Finance available ths / 3.95% for / 2.95% for 24 mon available ths 36 months

ENSURE THIS

IS PLACED INTO THE BOT CO

To locate your local Deutz-Fahr dealer, visit www.deutztractors.co.nz w.de w.deutztractors.co.n w.deutztractors.co.nz deutztractors.co co.nz

• 4 cylinder Deutz engine • Wet clutch, 2 speed powershift transmission • 4 wheel disc braking

86,990

$

67,990

+gst

+gst

43,990

• 4 & 6 cylinder Deutz engines • 3 speed ZF Powershift Transmission • Up to 75 l/min Hydraulic Pump

• 4 cylinder Deutz engine • Delux Hi vis Air con cab • Wet clutch, 2 speed powershift transmission

Tractor and Loader From

$

AGROTRON K SERIES (100-130HP)

+gst

AGROLUX 4.75 (75HP)

• SDF Diesel Engine • 12x4 Transmission • True 4 wheel Braking

$

AGROFARM 430 CABIN (110HP)

Tractor and Loader From

$

Tractor and Loader Combo

89,990

+gst

AGROFARM 410/420GS ROPS (85–100HP)

Tractor and Loader Combo

To locate T l t your llocall SAME SAM ME d dealer, l visit i www.powerfarming.co.nz f i

• 4 cylinder SDF engine • 20x20 Transmission with 40kph • True 4 wheel Breaking

Tractor and Loader From

30,990

$

Tractor and Loader From

+gst

55,990

$

+gst

$

IRON 130 (132 HP)

IRON 165.7 (170HP)

• 6 cylinder Deutz engine • 4 speed ZF powershift transmission • 120 l/min pimp

111,990

• 7000cc 6 cylinder Deutz Engine • Front axle and cabin suspension • 120 l/min hydraulic pump

$

148,990

+gst

EXPLORER 85/95 ROPS (85-95 HP)

+gst

COMMANDO 603 (60HP)

• 2 & 4WD Models available • 12x3 Transmission • 2 Rear Remotes

Tractor Only

Tractor Only

To locate your local KIOTI dealer, visit www.kiotitractors.co.nz DK & DX SERIES ES (9 9 (90-100 HP ) • 35 & 45 HP Diesel engine • 8x8 8 FRD/REW /REW Shut Shuttle uttle transmission tra an ssion • 4W 4WD, WD Power wer steering ng

+gst

17,990

$

• 9 90 &100 Perkns Engine • R ROPS & Cabin models odels avalaible a • 1 16x16 wet clutch or 12x12 Transmissions 1 onss

DS S SERIES IES (35(35-45 -45 HP)

Tractor and Loader Combo

$

+gst

22,990 22 990

$

Tractor Tra ac and Loader From

Tractor Trac ctor and Loader oader From

$

• 1 1000cc Diesel Engine • 2 speed CVT Transmission • H Hydraulic tipping deck & P Power steering standard

49,990 4 0

+ +gst

• 3 Cylinder diesel engine • 2 stage HST transmission n • 3 point linkage and PTO

ME MECHRON 2200 UT T (22 HP) UTV

119,990

+gst

CS2610 SUB COMPACT (26 HP)

B&POW0180

* Minimum 30% deposit required. Repayment holiday available until 1/1/2014. GST due back in third month. Normal lending criteria applies. Offer available for a limited time only. Rates may change without notice.

WHANGAREI PUKEKOHE MORRINSVILLE TE AWAMUTU PUTARURU

Power Farming Northland The Tractor Centre Maber Motors Power Farming Te Awamutu Maber Motors

09 438 9163 09 238 7179 07 889 5059 07 870 2411 07 882 1310

TAURANGA WHAKATANE ROTORUA GISBORNE HASTINGS

www.powerfarming.co.nz

Capital Tractors Jacks Machinery Truck and Tractor Services Power Farming Gisborne Power Farming Hawke’s Bay

07 543 0021 07 308 7299 07 349 6528 06 868 8908 06 879 9998

HAWERA FEILDING MASTERTON NELSON BLENHEIM

Power Farming Taranaki 06 278 0240 Power Farming Manawatu 06 323 8182 James Trucks and Machinery 06 370 8240 Brian Miller Truck & Tractor 03 544 5723 Marlborough Tractor Services 03 572 8787

WEST COAST CHRISTCHURCH ASHBURTON TIMARU ALEXANDRA

Power Farming West Coast Power Farming Canterbury Power Farming Ashburton Power Farming Timaru Peter Watt Machinery

03 768 4370 03 349 5975 03 307 7153 03 687 4127 03 448 8490

DUNEDIN GORE INVERCARGILL

Power Farming Otago Power Farming Gore Power Farming Invercargill

03 489 3489 03 208 9395 03 215 9039

*

Rural News // april 9, 2013

46 rural trader THE

Dirty water IN

CRAIGCO SENSOR JET

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CHOICE FOR YOUR

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Phone: 0800 80 8570 www.burgessmatting.co.nz

P 06 835 6863 - www.craigcojetters.com

FLY OR LICE PROBLEM?

Ph: 09-376 0463 Email: mark@jder-cintropur.co.nz www.jder-cintropur.co.nz

BALE FEEDERS

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• Ideal addition to your lifestyle block • Grow vegetables all year round and reduce your grocery bill • Very affordable and easy to install • Totally NZ made by family business making tunnelhouses for 30 years • Range of models from 2m to 8m long

Feeds rounds & square TRAILERS • The magic eye sheepjetter since 1989 Unique • Quality construction and options self adjusting • Get the contractors choice sides • Direct from the manufacturer • Efficient application and unequalled cost savings

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Phone 07 573 8512 • www.electrodip.com

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NO ONE BEATS OUR PRICE • Make a big job quick and easy • Retire the shower and plunge dip • Quicker and much more effective than a hand wand!

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Made in NZ – 10 year guaranteed

SPECIAL ACRYLIC

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59

$ FREE DELIVERY LITRE www.enviropaints.co.nz 0800 50 ENVIRO (0800 50 368476) PER 10

14 Riverbank Rd, Otaki

PPP Super Jetter

LEADERS IN FARM MACHINERY DESIGN

Samaritans provide confidential and emotional support 24/7

Need to talk about how the drought is affecting you? Don’t bottle it up...

Manufacturing Jetters since 1980.

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Freephone 0800 901 902 email: sales@pppindustries.co.nz or www.pppindustries.co.nz

0800 625 826

for your nearest stockist

Grain & Meal Feeder

McKee Plastics, Mahinui Street, Feilding Phone 06 323 4181 Fax 06 323 4183 McKee Plastics, 231 Kahikatea Drive, Hamilton. Ph 07 847 7788 sales@mckeeplastics.co.nz www.mckeeplastics.co.nz

Calf Hay & Grain Feeder on skids

595

$

0800 72 66 66

CALL SAMARITANS

Phone

160L ON SKIDS

Ph 06 370 1329 | Stuart 0274 387 528 124 Lincoln Road | Masterton Email daytech@wise.net.nz

Fence Mount Calf Hay & Grain Feeder

490

$

Includes GST

235

$

Includes GST

80L ON SKIDS

410

Includes GST

$

Includes GST

Trailed Grain & Meal Feeder

2270

$

Includes GST

Conventional Bale Feeder on skids

1365

$

Includes GST

Round Bale Feeder on skids with Lid $

1720 Includes GST

Rural News // april 9, 2013

rural trader 47

Culvert Pipes

Phone

0800 625 826

for your nearest stockist

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.

Joiners supplied FREE with culvert pipes

• Lightweight, easy to install • Made from polyethylene

McKee Plastics, Mahinui Street, Feilding Phone 06 323 4181 Fax 06 323 4183 McKee Plastics, 231 Kahikatea Drive, Hamilton. Ph 07 847 7788 sales@mckeeplastics.co.nz www.mckeeplastics.co.nz

DOLOMITE

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0800 436 566

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www.ruralnews.co.nz

Weatherstations, unusual gifts and science support for over 40 years...

MOWERS FROM

90 $6,5 US GST PL

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0800 38 44 50

STOP RATS NESTING IN HOMES, BUILDINGS, MACHINERY

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GST $699 incl

NORTH ISLAND PRICE ONLY

Phone 0800 625 826 www.mckeeplastics.co.nz

Pest Free Domestic for homes, garages, etc to 200sq,m – $159.90 incl.

GST & post.

Pest Free PRO for large homes, small offices & factories, etc to 400sq.m – STOP RATS with Pest Free $399.90 incl.

Buy with confidence from authorised rural sales agent N + J Keating, GST & post.

70 Rimu Street, New Lynn, Auckland 0600. Tel. 09 833 1931 Pest Free Commercial (cell 021 230 1863); email keating@orcon.net.nz for dairy TWO WAYS TO ORDER/PAY: sheds, 1) POST: cheque to N. Keating telling us the product(s) you want, grain mills, plus your name, address and telephone number.

2) INTERNET: direct credit ASB 12 3039 0893559 00 factories, (your surname as reference) PLUS telephone or email us, etc – $1800 saying which product(s) you want. incl. GST & post.

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FLEXISKIN RAINWEAR SALE! 40% OFF OFFER AVAILABLE 2 WEEKS ONLY! NEW! WATERPROOF, BREATHABLE & LIGHTWEIGHT $80 valued at $200 $70 valued at $140 Please add $10 Freight per order

$60 valued at $120

$80

valued at $190

WE’LL HELP YOU WITH FENCING FROM ONE END TO THE OTHER.

couNtry GREYSON Mile ECONOMY GATE: geared reel 12ft/3.66mwith Prewound polywire 500m

$129.00 SAVE $40.00* $89.99 buy 2 get # 241005

1 free!

203660 *Off our normal price.

couNtry GREYSON Mile ECONOMY GATE: geared reel 14ft/4.27mwith Prewound polytape 200m

$149.00 SAVE $50.00* $89.99 buy 2 get # 241006

1 free!

203213 *Off our normal price.

Pel Nevabreak GALLAGHER MR5000:30 Pack Pigtail

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204829

Offers valid from 1 April 2013 to 30 April 2013 or while stocks last. Prices include GST and are subject to change.

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Talk to us today for our full range of products and prices.

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