Rural News 27 August 2019

ANIMAL HEALTH

MACHINERY & PRODUCTS

AGRIBUSINESS

Johne’s disease remains a problem. PAGE 26

Massive machine moving mountains. PAGE 29

Genetics arm to be integrated back into Beef + Lamb NZ. PAGE 18

TO ALL FARMERS, FOR ALL FARMERS AUGUST 27, 2019: ISSUE 683

www.ruralnews.co.nz

More cuts coming SUDESH KISSUN sudeshk@ruralnews.co.nz

FONTERRA CHAIRMAN John Monaghan says the co-op expects to tell of job losses and cost cuts businesswide at its 2019 annual results meeting on September 12.

Monaghan concedes a mood of great disappointment among Fonterra farmers. Most are grieving, he says, but the result announcements will help start the healing process for shareholders.

With the full year results, Fonterra will provide “a bit of colour” on its asset sales.

Chief executive Miles Hurrell is expected to tell that the co-op will shed staff and reduce costs across the business. And it has dropped its target of processing 30 billion litres of milk by 2025.

On the decisions that got Fonterra to where it is today, Monaghan says the board will not be engaging in “legacy politics”.

“We will be putting all our energy into what we can do tomorrow, not what happened yesterday. We’ll put our heads down and remain focused,” Monaghan told Rural News.

Fonterra has come under fire after an $860 million write-down of poorly

performing assets. It has signalled a loss of $675m for 2019 and will not pay a dividend.

Questions have been asked about the leadership of three men: the late John Wilson (formerly chairman), ex chief executive Theo Spierings and departed chief financial officer Lukas Paravacini.

Monaghan says Fonterra’s board has a busy agenda and will remain

focussed on that. The board is “a different place from what it was one year ago,” he said.

Monaghan took over as chairman after Wilson was forced to step down on medical grounds in July last year.

Within months Spierings and Paravacini departed.

Eight directors on Fonterra’s board have been there three years or less.

TO PAGE 3

Final hurrah A leading light in South Canterbury agriculture has been overseeing his final harvest as he steps back from arable and vegetable growing to concentrate on his passion for organic blackcurrants. Until last season, Tony Howey’s Alpine Fresh Ltd grew potatoes, onions, carrots, seed crops, wheat and peas on about 600ha of irrigated land near Washdyke. Following a clearance sale in June, Howey has all but wound up the business, except for a large paddock of carrots being harvested in August for the lucrative Japanese juice trade. – See more page 4

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REALLY MINISTER? A CONTROVERSIAL taskforce appointed by Minister of Agriculture Damien O’Connor to look into winter grazing practices will make its first report by end of this week.

O’Connor says the group will keep working on a plan of action to be presented to him by late September.

“My expecta- Damien O’Connor tion of this group is to do a stocktake of the multiple initiatives already underway to promote good winter grazing practices and identify why these are not currently working for all,” said O’Connor.

“Then we need to come up with actions on how we can get farmers where they should be.

“The taskforce will draw on advice and expertise from various groups and individuals across the country who can inform and challenge the taskforce’s thinking.”

The taskforce is chaired by John Hellstrom, a former chair of the national animal welfare advisory committee.

The appointment on the taskforce of Hamilton businessman Angus Robson, who has spearheaded a recent campaign to highlight cows in bogged paddocks, has raised eyebrows in the farming sector and raised questions about O’Connor’s judgement.

Two farmers – Ewen Mathieson, Southland and Pania King, Gisborne -- were also appointed.

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RURAL NEWS // AUGUST 27, 2019

NEWS 3 ISSUE 683 www.ruralnews.co.nz

No ‘legacy’ politics

ASF WARNING

FROM PAGE 1

NEWS ��������������������������������������1-16 AGRIBUSINESS ����������������18-19 MARKETS �������������������������� 20-21 HOUND, EDNA ���������������������� 22 CONTACTS ����������������������������� 22 OPINION ����������������������������22-24 MANAGEMENT ��������������������� 25 ANIMAL HEALTH ������������������ 26 MACHINERY AND PRODUCTS �����������������������27-29 RURAL TRADER �������������� 30-31

HEAD OFFICE Top Floor, 29 Northcroft Street, Takapuna, Auckland 0622 Phone: 09-307 0399 Fax: 09-307 0122 POSTAL ADDRESS PO Box 331100, Takapuna, Auckland 0740 Published by: Rural News Group Printed by: Ovato 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 79,553 as at 31.03.2019

“That’s a reasonable list of change,” Monaghan said, and the co-op now needs “some period of stability without distraction”.

“Given where our farmers find themselves right now, their expectation will be that the board leaves no stone unturned as we look to the future.”

Monaghan reiterated that Fonterra remains strong at its core, paying a globally competitive milk price to farmer shareholders. This year -the third in a row -- the farmers will receive a strong payout, he says.

“Every day we get out of bed to pay a competitive payout. Some years ago the global milk price was 40% less than our large peers in the US and Europe.

Now it’s on parity or better and that’s a big achievement. Fonterra must take some credit for that.”

Monaghan He admits the board has made investment mistakes.

“Clearly we haven’t got every decision right in the past. You don’t have to look further than Beingmate.

Fonterra chair John Monaghan.

“But what often gets overlooked in conversations is that we have a $4 billion business in China; Fonterra accounts for 40% of dairy imports into mainland China.

“In less than five years we’ve built

a $2 billion food service business in China. That business did not exist five years ago.”

Monaghan says Fonterra pumps $8 billion into New Zealand’s rural and provincial economies.

Plan to protect land SUDESH KISSUN sudeshk@ruralnews.co.nz

FARMER GROUPS are backing Government proposals to prevent productive land from falling to housing development.

Horticultural land is especially in view.

The Government’s draft National Policy Statement for Highly Productive Land (NPS-HPL) proposes a nationwide approach to protecting highly productive land for future generations.

A two month consultation is underway.

Stats NZ says urban expansion threatens all forms of land based primary production.

But horticulture is especially at risk. The scale and value of horticulture hubs, on typically flat, well serviced land at urban fringes, makes that sector more vulnerable to urban expansion than other types of farming.

From 2002 to 2016, NZ’s land area used for vegetable growing decreased 29% -- from 100,000ha to 70,000ha.

HortNZ’s natural resources and environment manager, Michelle Sands, says the Government’s proposal is to

help retain vegetable and fruit growing in NZ. “NZ needs its best soils for domestic food production,” said Sands. “Once you build houses on the best soils you cannot get the soils back.”

HortNZ says poor rules in Auckland are preventing new vegetable gardens being set up to replace land lost to housing.

Agriculture Minister Damien O’Connor says NZ’s most fertile and versatile land will get new protection.

“Our land is a precious taonga – an irreplaceable treasure and a source of life and wellness,” said O’Connor.

FARMERS NZ-WIDE are being urged to lift their biosecurity – particularly on overseas travel and visitors – after a possible outbreak of African swine fever (ASF) was mooted in the Philippines earlier this month.

NZ Pork general manager David Baines says the outbreak, if confirmed, is a real concern for the NZ pig industry and the wider agricultural sector, which employs many workers from the Philippines.

He says the big worry for the pig sector is that farm workers from NZ could come in contact with the disease while visiting the Philippines and bring it back to this country.

“NZ’s pig farmers have very strict biosecurity practices, and are extremely careful about when workers and visitors can enter their farms after travel and especially when in contact with other pigs,” Baines said.

“Experienced farm workers from the Philippines play a large, positive role in NZ’s agricultural sector and work NZ-wide. So, we’re asking farmers and their staff to take a close look at the risks -for example, if workers are travelling home to visit family and may come into contact with backyard pigs -- and take precautions to manage them.”

Baines says the industry is concerned that the disease could enter NZ via contact with infected animals or even on an item of clothing and be transmitted to pigs here.

“We are asking everyone in the community to be vigilant, observe biosecurity protocols and report any suspected signs immediately to MPI.”

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4 NEWS

A busy retirement!

NIGEL MALTHUS

SOUTH CANTERBURY grower Tony Howey and his wife Afsaneh plan to build up their ViBERi brand blackcurrant business on their 70ha certified organic farm on the outskirts of Pleasant Point.

Concentrating on the blackcurrants, which he jokingly refers to as his semi-retirement project, will be a big change for a man who has taken a leading role in a range of agricultural developments in the district.

He says this shows how farmers coming together can achieve much more than any one farmer can achieve individually.

Raised on a family cropping farm at nearby Waitohi, Howey went into partnership with his

Tony Howey’s final carrot harvest is lifted for juicing for the Japanese market. Howey has sold his arable and vegetable cropping business to concentrate on his organic blackcurrant brand ViBERi. RURAL NEWS GROUP

brother David at Levels in 1987. They were among the original group of farmers in the district growing potatoes for McCains.

A few years later they diversified into onions, joining forces with other farmers to set up a packing plant which exported 15,000 tonnes of onions and 2000t of potatoes to Russia in its first year.

Howey has now sold his shares in that – because of the requirement for shareholders to be suppliers – but he proudly points out that Southern Packhouse has doubled its capacity to become the South Island’s largest packhouse. Last season it installed multi million dollar computerised optical grading equipment.

Meanwhile the brothers also started a seed dressing business, which became Seedlands and – again with other farmer shareholding – eventually developed into the flour milling business Farmers Mill.

“When we came on the scene there were only Weston and Goodman Fielder. Now there’re four players and the pricing is

reflecting that competition, to the benefit of the consumers,” he told Rural News Howey was also a founding director and chairman of the Opuha Dam development, without which he believes the whole district would only have been good for sheep farming and lifestyle blocks because of the unreliability of riverfed irrigation.

He has also stepped up to wider governance roles, as a board member of Horticulture NZ and chair of its certifying agency NZ GAP (good agricultural practices) and he will soon finish a 13-year tenure on the Ravensdown board.

• For more on Tony Howey’s ViBERi operation, see the upcoming September 10 edition of Hort News.

MPI MOVES WITH HORT PETER BURKE peterb@ruralnews.co.nz

THE RISE and rise of horticulture is prompting MPI to reconfigure its operations.

Chief executive Ray Smith says with the sector planning to go from a $6 billion industry to a $10b industry there are things MPI needs to do.

The first is on biosecurity.

“For the nearly one million containers that come into New Zealand and the parcels coming

into the mail centre and the tourists -- we have to do everything we can to stop pests and diseases getting in.

“And if they do get in [we must] act quickly and with the industry.”

Smith told Rural News he’s impressed with how MPI has worked with the industry to contain the recent fruit fly problem.

That’s an example of working together and there is a need to strengthen those bonds.

“But there are other issues

for an industry that is growing such as labour supply and skills.

I think of young NZers who haven’t grown up, as many of us have, with a real connection to the agricultural or horticultural sector so we have to teach them about that.

“We are looking about how we get into secondary schools to get people excited about our primary industries and the job opportunities there.”

And it’s not just training and labour supply, it’s also robot-

ics, says Smith. He’s talked to people part way through designing robotic machines which could help alleviate some of the labour supply problems.

“They want us to back them to develop their products and I would like to do that,” he said.

Smith notes MPI’s massive regulatory role, the ‘bottom line’ keeping our system intact.

But he says the top line is to “see the industries grow” and for MPI to partner with them to find ways to support them.

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More compliance costs coming FARMERS ALREADY under the pump in trying to meet the requirements of the Government’s impending Zero Carbon Bill legislation will soon be hit soon by even more compliance costs.

With new freshwater standards to be announced in the next few weeks, Agriculture Minister Damien O’Connor told TVNZ’s Q&A programme that he expects farmers’ costs in meeting new freshwater rules will be about “1-2%.”

O’Connor conceded that even more costs are not something farmers want, yet he expects them to “absorb” them.

While the minister claimed the Government opposes laying even more compliance costs on businesses, he said “some extra costs are essential” and “improved water quality across the country is wanted and necessary”.

Meanwhile, in the interview O’Connor also put the boot into Fonterra’s former board and management for the dairy co-op’s current woes.

“Crazy decisions made over the years are now coming home to roost,” he told Q&A. But he says the “new” board and management is now being upfront and honest with farmers in its writedowns of the value of the co-op’s investments.

O’Connor was quick to point the finger at Fonterra’s “old” management and governance, saying it was “a good thing” former chief executive Theo Spierings is now gone. He also labelled Spierings’ $4.7 million exit payment as “ridiculous”.

“That is something the old board would have to answer for,” he said.

On the upcoming Dairy Industry Restructuring Act (DIRA) revision, O’Connor said the bill coming before Parliament is “about right”. He claims it will provide Fonterra a bit more protection.

“It means Fonterra [won’t] have to pick up all new milk supply and imposes new environmental and animal welfare requirements on farmers.”

But the minister says he has an open mind about making changes arising from the work of the parliamentary select committee. – David Anderson

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■ MACHINERY REVIEWS ■ MANAGEMENT HEADER ■ AND MUCH MORE... HEADER Ferist et quati aut pedici te vollab imod quamet atur soleniet quiatibu. PAGE 23

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PAGE 24

Decisions DairyNZ director made. steps down Made easy.

RURAL NEWS // AUGUST 27, 2019

NEWS 5

HawkEye® by Ravensdown

PETER BURKE

peterb@ruralnews.co.nz

THE DAIRY industry must look forward continually to assess itself as fit for purpose – or not.

So says retiring DairyNZ director Ben Allomes.

He reckons the industry has been blindsided by the ‘dirty dairy’ campaign and other ongoing attacks.

Allomes told Rural News that the industry’s greater technical complexity demands more professionalism of its farmers. This is not a bad thing and people will have to adjust.

“There is a lot at stake now in getting it wrong: the environment, our animals, people and finances. We are on a knife-edge, one step away from a mistake going public meaning fines, court cases and public ridicule.”

Allomes says the dairy industry has rested somewhat on its laurels after 100 years of world-leading innovation, eg herringbone and rotary milking sheds, electric fencing and the early days aerial topdressing.

But in 2005 the industry decided it was perfect and set out to defend its achievements.

“Innovation had got us to that point and we decided to protect that rather than carrying on innovating. We had a pioneering mindset of breaking new ground and we should have continued to do that,” he says.

The industry was struggling in the

HIGH TIDE DAIRY

Retiring DairyNZ director Ben Allomes.

early 2000s with the notion that its values were being challenged. Those values -- peer reviewed and formerly considered correct -- were later proved incorrect. A lot of energy in those early days went into protecting the status quo, says Allomes.

“But in the last few years we have formed a new view as to what the future should, could and will look like. The world has changed and we are struggling to adapt. So we feel we have lost our mojo and that the rug has been pulled from under our feet.

“Are we better farmers than we were five years ago? Absolutely.

Better than we were 10 years ago?

Yes. Are we good enough farmers now to be fit for purpose in future?

No.” Allomes says the dairy industry’s discussions now are much more stra-

tegic. The last three-four years have heard innovative farming leaders speaking up and setting standards.

“My sense now is we have turned the corner and got a good direction of travel. Now it’s a matter of going from A to B to C to get things exactly right.”

Allomes challenges farmers who think the status quo is acceptable.

Many issues need sorting, eg animal welfare, climate change, nitrate leaching and attracting the right people into the industry.

“How do we inspire [young people] to see their future in our sector? Every time we moan or create negative publicity it is like a knife to the heart of creating connections. We need to create and promote a positive image of the industry to attract people.”

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Fairton for final chop

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bers.

“Continued low sheepmeat numbers in the South Island have also led to... excess pelt processing capacity in the South Island,” the company said. “Pelt processors are also seeing low returns from the global market.”

These factors, coupled with high overhead costs due to the large site, are making pelt processing unsus-

tainable at Fairton, SFF says.

“This will mean the company can consolidate its South Island pelts at its Finegand (Dunedin) pelt preparation facility, bringing efficiency gains through this early part of the pelting process.”

The company also claims it has investigated alternative processing options with others in the industry.

“Should this proposal proceed following consultation, SFF intends to consolidate its volumes through other pelt processors for mutual benefit.”

The company says it is offering support to the 44 people at Fairton and those in four roles at Pareora affected by the proposed closure.

A final decision is expected at the end of August.

RAV-27AUG-HE-RN

IT SOUNDS like the death rattle is signalled for the former Fairton meat processing plant near Ashburton.

Silver Fern Farms (SFF) last week said it is planning to close the pelt processing operation there following a review and staff consultation.

“All the 44 people processing pelts at the Fairton site and four preparing pelts at Pareora have been presented with potential redundancy, as well as with work options at other Silver Fern Farms sites in the region,” the company said in a statement.

SFF closed the Fairton sheepmeat processing plant in May 2017 following a decline in regional sheep num-

HIGH TIDE DAIRY

RURAL NEWS // AUGUST 27, 2019

6 NEWS

Not the time for tax – Key SUDESH KISSUN sudeshk@ruralnews.co.nz

FORMER PRIME Minister John Key says imposing another tax on farmers now for greenhouse gas emissions won’t achieve much.

He says science will provide answers to methane and nitrate emissions over time. Until then a tax should be out of the question.

Speaking to Rural News last week at the opening of a $50 million upgrade to New Image Group (NIG) Nutritionals’ goat milk plant in South Auckland, Key said New Zealand farmers are good at adapting new technology.

“While large amount of greenhouse gas emissions in the agriculture sector come from methane and nitrate emissions, the reality is that at the moment we don’t have answers to that,” he said.

“Science will provide answers over time but if we expect our farmers to just pay another tax for no particular reason, what’s that really achieving?

“I think our farmers have historically shown that they are very good at adapting and taking up good technology -paying their way when they can.”

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Former PM John Key and Graeme Clegg at the $50m factory opening.

Key says he’s not sure what a tax on emissions will achieve right now.

The Labour-led Government’s Interim Climate Change Commission (ICCC) recommended that agriculture be brought into the Emissions Trading Scheme (ETS) from 2025 at a 95% dis-

count rate, meaning farmers would pay only 5% of the cost of their emissions.

But National’s policy on this issue was that farmers should only be brought into the scheme if the agricultural sector “met certain conditions”, ie increased productivity levels and find-

ing the science to make continuous improvements.

Key says while NZers care a lot for the environment, they also care about making sure people have jobs and the country remains an efficient food producer.

“The challenge is to marry the two together,” Key said.

And he is also worried about other challenges facing the farming sector: global trade wars, increasing on farm costs and volatile commodity prices.

“While we’ve had high commodity prices overall, things can change very quickly, as we’ve seen with log prices recently,” he said.

Key says agriculture remains the backbone of NZ and the country needs our farmers to succeed.

On Fonterra, Key said it was disappointing that the co-op wouldn’t be paying a dividend this year. He hopes Fonterra will come right with the new chief executive Miles Hurrell at the helm.

“Ultimately, Fonterra needs to be strong because they are our global champion.”

Key said he is no longer invested in Fonterra units.

FOREIGN INVESTMENT IS CRITICAL FOREIGN INVESTMENT not only brings in money but links New Zealand into foreign markets, says former Prime Minister John Key. Speaking at the opening of a $50 million expansion at New Image Group (NIG) Nutritionals goat milk plant in Paerata, South Auckland, Key said that as Prime Minister he was a big fan of foreign investment.

“I don’t think we always understand how important it is,” he said.

NIG Nutritionals is 10% owned by the Chinese company Newer Biotechnology (Hunan) Ltd and 90% owned by Graeme Clegg’s New Image Group.

The company makes goat milk powder products for export, direct selling via operational offices in 20 countries. Last year it was independently ranked as the 52nd biggest direct selling company in the world.

Key spoke at the opening as PM Jacinda Ardern was unavailable to attend.

RURAL NEWS // AUGUST 27, 2019

NEWS 7

NZ sheep and beef farmers lead the way THE RECENT IPCC report on climate and land shows how New Zealand lamb and beef can help address climate change, says Beef + Lamb NZ. “The report highlights that agriculture and livestock farming has a role to play in addressing climate change,” says Jeremy Baker, BLNZ’s chief insight officer.

“It points out that livestock products from sustainable, low greenhouse gas emission farming systems are part of the solution.”

The report recommends how to mitigate and adapt to climate change, much of it already happening on NZ farms -- planting trees, maintaining good soil carbon, and low input, well managed grazing, Baker says.

“While our farmers have

made good progress, the job is not done and we are committed to improving our environmental footprint.”

He says that, contrary to some claims, the report is clear that sustainably produced livestock products will keep their role in feeding the world.

“NZ’s sustainable sheep and beef farm systems are well matched with what the report’s authors are talking about.

In particular, the report focuses on ensuring that land is matched with the most suitable food production use for it.

“While pastoral livestock farmers must keep reducing their greenhouse gas emissions, the IPCC report reinforces that NZ is already a leader in this.”

The report highlights the importance of soil

NZ meat’s shrinking impact ●●

●●

●●

●●

Beef + Lamb NZ’s Jeremy Baker.

carbon and the role it can play in mitigating climate change. NZ’s young soils have higher carbon content than anywhere else.

The IPCC’s research will also interest NZ

policy makers as they consider the role forestry should play in combatting climate change, Baker says.

“The IPCC encourages the integration of trees

into farming systems. But while large scale afforestation can provide opportunities for carbon sequestration, other issues must be taken into account.”

●●

Since 1990 the NZ sheep and beef sector has reduced its absolute greenhouse gas emissions by 30%, yet has maintained similar levels of production and doubled the value of its exports.

Research by Caroline Saunders in 2009 showed that NZ lamb exported to the UK had a lower carbon footprint than UK lamb, despite it being shipped to Europe.

Research by Professor David Norton, University of Canterbury, has shown that NZ’s sheep and beef farms include 2.8 million hectares of native vegetation.

This includes 1.4m ha of native forest, much of it having regenerated since the 1980s when marginal land was retired as Government subsidies ended.

Research is now measuring the amount of sequestration by these native trees.

Raising NZ beef requires water at rates of only 45L/kg, and sheepmeat only 20L/ kg. Processing adds only 20-70L/kg. This contrasts with water required overseas by feedlots -- 680L/kg extracted water, including production and processing.

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RURAL NEWS // AUGUST 27, 2019

8 NEWS

Shadbolt to have another tilt?

SUDESH KISSUN sudeshk@ruralnews.co.nz

FORMER FONTERRA director Nicola Shadbolt isn’t ruling out a return to the co-op’s board.

She is happy that a review of the director election process has now given farmers the ultimate say on whether incumbent directors may be re-elected.

Shadbolt was Fonterra’s first woman director, and she had been endorsed last year by her fellow directors for another three-year term because the board agreed it needed to retain institutional knowledge given that the chair was stepping down.

But she was rejected by the independent panel which, before the review, had held the say on who could stand for election. The rules formerly dictated that a candidate rejected by the panel was barred from contesting the director election that year, so the farmers never had a say.

The review of director election rules has now removed this provision, ie the independent panel’s power to remove incumbents re-contesting election.

Shadbolt says she was frustrated and

angry with the system that sidelined her, but she was powerless under the old rules, so it was time for her to retire gracefully, Shadbolt was “grumpy” at the co-op’s annual meeting last year as she bowed out of the board. She was required to deliver a valedictory and her speech was gracious.

“I thought ‘farmers don’t deserve a grumpy me; let’s just reflect on the last nine years’.”

But Shadbolt vented her views on the issue to other directors at a farewell function a few months later.

The old system had not given farmers a choice. Basically if there were two director vacancies the board gave farmers two names and told them ‘vote yes or no’.

The review was triggered when farmers rejected two of three candidates chosen by the panel -- sitting director Ashley Waugh and Jamie Tuuta. Instead, farmers voted in two candidates – Leonie Guiney and John Nicholls – who had selfnominated for the elections.

Shadbolt is happy that new rules have tidied the election process. She was on the committee that devised the new system, during which the argument was put that better calibre directors would emerge via this process.

She observed that the new system resulted in the same mix of experienced/ inexperienced and effective/ineffective directors as the old system, but with less diversity.

The independent panel rejected two incumbent woman directors successively, first Leonie Guiney and then Shadbolt -both diverse thinkers likely to challenge the status quo.

Under the new rules the farmers – not the panel -- would have been able to decide whether to return them for another term.

Shadbolt isn’t ruling out another tilt at the Fonterra board, saying she feels she has unfinished business and the board needs experienced directors.

She notes that apart from chairman John Monaghan, who has served 11 years, few of the directors have had lengthy experience.

After Monaghan, Guiney is the next most experienced farmer director, having served four years.

Nominations close September 27. Fonterra’s board charter states that a director should serve nine years maximum or may serve one extra three year term if the board approves.

Former Fonterra director Nicola Shadbolt has not ruled out a return to the dairy co-op.

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RURAL NEWS // AUGUST 27, 2019

NEWS 9

Farm training to get an ‘excellence sector’ peterb@ruralnews.co.nz

IN A move to improve farming training the Government will set up an industry ‘centre of excellence for vocational education’ – or CoVE. CoVE is part of the Government’s wider reform of vocational education announced in August.

Education Minister Chris Hipkins says it wants to encourage innovation and strengthen links between education providers and industry to fix a mismatch that he believes exists between the training students get and the skills the would-be employers need of the

students.

The agri CoVE will bring together education and industry experts and researchers. It will be hosted on a regional campus (wananga) of the New Zealand Institute of Skills and Technology.

Hipkins’ aim is to identify polytechnics with specific expertise in primary industry training and to use them as models for other institutes wanting to do similar training.

Such models would in some way resemble existing science ‘centres of research excellence’ (COREs), except that a CoVE would have no research element.

Functions of the CoVE could include

sharing curriculum and programme design, applied research with employers and providers, learning technologies with providers of vocational education (cut costs and avoid duplication) and providing training support to employers.

Hipkins says the CoVE is a response to the agri sector’s serious skills shortage and the technological changes happening in the primary industries.

“Vocational education has long been starved of attention and resources, yet we know there are huge skills shortages and skilled jobs on offer in primary industry.”

Hipkins says by the

end of 2019 he will have sought proposals for where to set up the CoVE and what it will do. The Government expects to work with the primary sector’s Skills Leaders Working Group and other industry leaders to quickly give substance to the proposals.

The Cabinet has agreed funding of $18 million over four years to set up three prototype centres, the first being the primary sector one, Hipkins says.

Agriculture Minister Damien O’Connor says he applauds the choice of the primary industries for the C0VE prototype. And he is pleased that the Skills Leaders Working

Group will work with the Government on the pilot proposals.

“The CoVE is a great opportunity to make a difference to the quality of teaching and learning, and provide people working in the primary industries with the skills they need.”

Education minister Chris Hipkins.

SUPPORT FROM FARMING ORGANISATION DAIRYNZ IS likewise pleased about the CoVE. Strategy and investment leader Jenny Jago agrees the primary sector must attract, train and retain skilled people.

“A consistent message we hear from farmers is on their struggle to find staff with the right skills.

“The collaborative model will allow

education providers and the primary sector to work together to develop and deliver training which meets the needs of farmers and the wider sector.”

Jago refers to the huge contribution farming makes to communities’ wellbeing and it wants to help develop the sector by recruiting and retaining skilled workers.

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RURAL NEWS // AUGUST 27, 2019

10 NEWS

Commodity outlook positive NIGEL MALTHUS

A SUDDEN drop in log prices which impacted the New Zealand commodity price index in July seems to have stabilised, says ANZ agriculture economist Susan Kilsby.

Prices and demand from China had been strong for some time, but harvest rates were also high from the surge in plantings in the 1990s.

Then came the northern summer when Chinese building activity falls off because it’s too hot, and suddenly logs weren’t leaving the ports, she said.

Kilsby says the trading mentality in China seemed to be “if my fellow trader is buying then I should buy”, with less sense of the big picture, giving rise to periods of oversupply and

GIVE US ETHICAL FOOD MEANWHILE, KILSBY says the big coming trend is the demand by consumers that food and other products be ethically produced.

She says millennials often buy second-hand clothes rather than new if new don’t fit their values.

Kilsby believes farmers will have to communicate what they’re doing on farm via data now collected by, say, processors’ farm assurance programmes and farm environment plans. This data is, and will be, linked through the supply chain to tell consumers about product origins.

“This is where we are going to see value-add,” she says. “We’re going have to accept that different farmers will be paid different prices for their products based on how well they do some of these things.

“What we do on farm is going to become the new value-add, but it will have to be supported with data and with stories that resound with people, and [so motivate people] to pay more for product and feel good about what they’re consuming.”

sharp corrections.

But prices now seem to have stabilised. “We may see some gradual recovery but it’s going to take a little while,” she said.

Kilsby was speaking at the recent New Zealand Institute of Primary Industry Management (NZIPIM) annual conference in Christchurch.

Speaking a couple of days before the Reserve Bank cut the official cash rate in early August, Kilsby said everyone was expecting a cut, but the question was how many more cuts will follow.

The economy was “chugging along” but not booming, she said.

“We at ANZ have a slightly differing view to the Reserve Bank as to how quickly our economy will pick up. We think the path is going to bee a little bit longer.”

Kilsby referred to the slowdown in economic growth in a lot of our trading partners, particularly in Europe. Germany is “chugging along” just above recession levels, while the UK was “not

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ANZ agriculture economist Susan Kilsby.

too flash” with the uncertainty of Brexit”. But Asian markets are still growing rapidly and NZ is well aligned to some of those markets.

A rapid lift in nearly all export products to China -- most markedly beef, lamb and mutton -is driven by their shortage of protein due to the Asian swine flu epidemic.

Kilsby says many beef restaurants are opening in China, citing her own recent experience at a restaurant offering tail, neck and belly rather than the usual recognised premium cuts.

“The way they cook it all tastes amazingly good anyway. I think we may have [been served] tail because it came out with a lot of bone and not much meat.”

She says that China’s valuing of cuts which other markets do not value is a welcome trend at a critical time: NZ has been relying on selling into the US hamburger pattie market where consumers may now be just

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as happy to buy product made from other protein or grown in a lab.

The lamb market is also performing strongly, again partly due to the price for the poorer cuts, driven by strong demand from China.

“If you can get $150 for your cull ewe that’s quite different from where things were a few years back.”

Kilsby says ANZ is also “reasonably bullish” on dairy, largely because the world’s milk production is not huge.

US production is growing about 0.5% and Europe would be lucky if it were growing by 1%.

Australia, Argentina and Uruguay are all going backwards.

ANZ’s milk price forecast is $7.10/kgMS. “So we are a bit more bullish than Fonterra’s midpoint but are certainly within that range,” said Kilsby.

(Fonterra’s opening 2019-20 forecast farmgate milk price range is $6.25$7.25/kgMS.)

DEMAND FROM China is helping to boost not just lamb but also beef returns, says ANZ agricultural economist Susan Kilsby.

China has long been a good size buyer of lamb and mutton, and now a lot of beef is going there, she says.

This has compensated for the softer prices NZ gets in the US for manufacturing beef during our autumn when we have a lot of beef for sale.

“This year because China was buying very strongly through that period we saw prices creep up rather than fall away. And while that is probably not fully reflected in the schedule price, it is reflected in the export dollar returns coming back into NZ. This bodes well for the future.”

Kilsby told Rural News China has big problems with swine flu in its pork industry. It’s hard to quantify but as many as 50% of the pigs could be affected.

But Kilsby says beef to China is a welcome diversification from the US market. And although NZ may be ‘China-centric’, with the risks that brings, it makes sense for NZ to have reasonable exposure to such a big economy.

“It is always hard to turn down a market and a lot of our goods are sold on a month-to-month, week-to-week basis,” she said.

“A lot is still sold that way as opposed to long term contracts, and it means there will always be a risk in taking short terms gains over long terns gains.

“But I would expect alternative markets for us will always be Asian markets anyway, where we will be exposed to risks similar to those in China now.”

Meanwhile, the outlook for the dairy sector is also positive, Kilsby says, although ANZ recently revised its payout for the season down by 20 cents to $7.10/kgMS. While prices are at least acceptable, she echoes the comments of most in the sector on the lack of confidence among dairy farmers. She puts this down to operating costs and high debt levels on some farms.

“Dairy is carrying two thirds of all the agricultural debt and this is weighing heavily on some farmers.

“Then there are the future costs relating to environmental regulation. A lot of farmers are commenting that everything the Government is unhelpful. The heat they are getting gives the impression that everything is stacking up against them.”

Kilsby says while many farmers blame the Labour led Government for their current woes, many would have come about under any government. – Peter Burke

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RURAL NEWS // AUGUST 27, 2019

NEWS 11

Gun buy back a flop?

NIGEL MALTHUS

FARMERS NEED access to centrefire, semi automatic rifles for killing pests, claims hunter Stewart Hydes.

Hyde, a spokesman for the Rakaia branch of the New Zealand Deerstalkers Association (NZDA), regularly hunts in South Canterbury.

He believes more centrefire semi automatics are sold and used in South Canterbury than anywhere else in NZ, simply because of the wallabies.

This type of weapon is now generally banned following the Christchurch mosque attack and owners are being asked to surrender them at gun buyback events NZ-wide.

Hydes, who is not a farmer, says he hunts on farms at least every couple of weeks. He reckons recreational hunters shoot 20,000 to 40,000 wallabies a year.

He told Rural News that hunters need semi automatics for humanely finishing off wounded game and for efficiency and maintaining tallies.

“Hunting rabbits with a bolt action rifle means shooting one and teaching 10 to run away,” he said.

The NZDA Rakaia branch backed the call by the national association and the Council of Licenced Firearms Owners (COLFA) for gun owners to “sit on the fence” and wait rather than rush to take part in the buyback scheme.

Hydes says nobody should be out of pocket but only a few will get a good deal.

The branch said in a statement that nowhere in the world has society been made demonstrably safer “by disarming law abiding people”.

Federated Farmers rural security spokesman Miles Anderson says he’s receiving good feedback from Feds members, after calling for input for submissions on a second round of gun law changes expected to go to Parliament within weeks.

Parliamentary select committee recommendations released in April included

allowing semi automatic firearms for shooting pests on farms, but restricting their use to police approved specialist contractors. Anderson says farmers with an identified pest problem should be allowed to at least apply for an exemption to that.

Most farmers now do their own pest shooting because contractors are expensive and may not be available when needed, he said.

“The legislation could also leave some gun owners breaking the law without realising it,” he told Rural News.

“Not enough people know that the new laws ban not just semi automatic weapons but also some with large magazines regardless of whether they are lever, pump or even bolt action.”

However, the Feds are not advising people to stay away from the buyback events – although Anderson does not think big numbers are turning up and some people are quibbling over the valuations offered.

“We’re not a gun lobby. We’re just lobbying for practical farm use.

A lot of people were naturally standoffish for the first few [buyback events] just to see how they went. But I don’t think any farmers I know of have been bloody minded about not doing it.

“I think the biggest concern is that not enough people know that some firearms that are not semi automatic have been captured by this law.

They need to just double check, otherwise they could be breaking the law without even knowing it.”

Meanwhile, Anderson says there is so far no information on a proposed $300 grant for modifying certain noncompliant weapons.

Feds is also querying the proposal to reintroduce a firearms register, not because they are philosophically opposed to the idea but because they doubt it will work and will be a waste of money.

“We’d rather have the money spent on rural policing,” said Anderson.

He believes the suggested shorter licence period -- five years instead of 10 -would also be costly and unnecessary, doubling the workload which the police bureaucracy already struggles with.

Meanwhile, ACT Leader David Seymour – the only MP who voted

in April against the first round of legislation – says the buyback scheme is failing miserably.

Going by police figures released after five weeks of the scheme, Seymour calculated that they have spent $14.1 million to buy back 10,844 prohibited firearms – an average of $1300 each.

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RURAL NEWS // AUGUST 27, 2019

12 NEWS

Deer man to fly the ‘Coup’ NZ beef PAM TIPA pamelat@ruralnews.co.nz

DEER INDUSTRY NZ (DINZ) chief executive Dan Coup is moving on from the role after six years to become chief executive of the QEII National Trust from October 7.

DINZ chair Ian Walker says Coup can take some credit for the “remarkable turnaround” in industry confidence during his tenure.

“I guess you can only see these things in hindsight, but when I started in 2013 the deer industry was an unhappy place, particularly farmers,” Coup told Rural News.

“They were voting with their feet and leaving the industry or they were turning up at industry meetings and expressing how unhappy they were.

“The ones who were passionate deer farmers and wanted to stay deer farming, they were the ones that came along and let us know they were unhappy.” They wanted to be deer farming “but they could also look across the fence and see more profitable alternatives”.

“They were frustrated.”

In hindsight, he says, it was a pretty tough start to his job as chief executive.

Lots of people were coming up with good ideas on how to turn things around. They put all that together in a programme called Passion2Profit and managed to get it over the line with the Government as a Primary Growth Partnership

(PGP) project.

“We got enough support from our farmers to get started on some of those projects and they started to make a difference,” he said.

“It has been a pretty positive experience going from that time when people were unhappy to now, when most of the farmers are feeling reasonably confident about their lot in deer farming.”

The seven year $7.3 million Passion2Profit is one of the main cornerstones of the turnaround, Coup believes.

“Markets have continued to improve for both venison and velvet. A little bit of that is within our control but largely that’s the market being the market.

“We can take credit for some of the improvement in confidence but you’ve got to acknowledge there is a fair bit of good fortune in there as well.”

In venison and velvet one pleasing shift was more cohesion in how their marketers go about their business.

“With the venison as part of the PGP project we’ve had this relaunch of Cervena which is a brand owned by all the industry and all the marketers. They have worked collaboratively to launch that appellation to Europe.

“It’s a reasonably small success but a success nonetheless. It is modest volume. The rewarding thing has been seeing the marketers work together to make a success of that exercise.”

A successful project to come out of the PGP

gains in China

Dan Coup is moving on from Deer NZ after six years.

ACCENTUATING THE POSITIVE COUP SAYS he is sad to be leaving the deer industry, but excited about his new role as well.

Related to that regulatory challenge, there are a lot of New Zealand society perceptions of the primary sector which are not positive, he says.

“QEII and other organisations have a great opportunity to accentuate the positive and get more recognition of the great work farmers are already doing and will do over time in environmental care.

was the Advanced Parties Project. Sitting groups of deer farmers regularly meet and support each other, particularly in farming productivity projects and in lots of other ways.

“We have a bit more cohesion among the deer farmers out there. We’re starting to make them feel a bit more like they are part of a club they might want to belong to.

They have other peers out there who will support them and help them in their enterprises.”

There’s definitely more to be done in the deer industry, he says.

“I guess you never finish. There are lots of

“Farmers of all types do some great stuff in caring for the environment, [partly] through QEII. “We need to get society more aware about those positive things alongside their concerns about additional things that need to be done by farmers.

“Farmers need to be seen as the solution to a whole lot of society’s concerns and be recognised as part of the solution rather than just bad guys all the time.”

opportunities and challenges.

“The main challenge is this big wave of regulatory change that will affect all farmers including deer farmers, particular on environmental issues, be they water quality or climate change or biodiversity.

“The deer industry is well placed to cope with that.”

Opportunities for deer products worldwide are only going to increase with people’s interest in ethical and clean proteins, he says.

“The deer industry has some fantastic products that will meet society’s desires about what

they want to eat and put in their bodies.

“Really good opportunities [exist] for the deer industry. It can only continue to improve as a business and a lifestyle for deer farmers.”

He says he loves working with the DINZ team, farmers and other industry members. “They are a great bunch of bosses to have.”

The deer industry works with a great extended family, eg vets and stock agents, all part of the industry’s success.

“But it has been six years and after that time it is right for DINZ and for me to have some fresh thinking.”

NEW ZEALAND beef exports to China are booming, thanks to trade tensions and a disease outbreak in China’s pork industry.

As a result beef prices are climbing fast; P2 steer prices are making records for this time of year, says ASB senior rural economist Nathan Penny.

“If this trend continues, P2 prices may lift above 2015 record highs of $6.14/kg,” he says in the ASB Commodities Weekly report.

The Chinese market is dominating demand for NZ beef exports, which overtook export volumes to the US for the first time on record.

More Chinese consumers are opting for beef because African swine flu has decASB’s Nathan Penny imated their pork industry and those consumers want other proteins including beef from NZ, Penny says.

The US-China trade war is also restricting two way agricultural trade between the US and China.

“While China does not import a large amount of US beef, it relies on the US for a large proportion of its feed inputs for domestic beef production,” Penny said.

“We anticipate these factors will continue to underpin Chinese demand for NZ beef. So we anticipate the 2019-20 season will eclipse 2015-16 in average beef prices for the year.”

ANZ agriculture analyst Susan Kilsby agrees the China demand will keep international markets for beef strong.

“China is continuing to buy beef in large quantities from a range of countries as it looks for alternative protein sources to replace a portion of its domestic pork supply. African swine flu continues to plague pig farms in China and surrounding countries.

“The disease is far from under control and has a high mortality rate. It is likely to hamper China’s pork industry for years.”

Hence the opportunity for international beef suppliers to fill some of the gap caused by China’s lower pork production.

Beef is gaining space on restaurant menus, and beef restaurants are popping up in major cities, boding well for demand from China, says Kilsby.

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RURAL NEWS // AUGUST 27, 2019

14 NEWS

Cutting meat not the answer – MIA MEAT PROCESSORS are debunking activists’ claims that the recent IPCC Report on Climate Change and Land has called for lower meat consumption to save the planet.

The sector is also reminding the Government that the IPCC has said only “modest reductions” are needed in methane and nitrous oxide emissions.

Meat Industry

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Ritchie says that far from calling for a

reduction in meat consumption, the IPCC report states: “balanced diets featuring plant based foods -- eg coarse grains, legumes, fruit, vegetables and animal sourced food produced

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Ritchie notes that the IPCC report also includes scenarios for keeping emissions to a level that meet the Paris Agreement target of limiting global warming to 1.5 degrees C. “These show that only modest reductions in biogenic methane and nitrous oxide emissions are needed,” he said.

This follows a recent MIA submission on the Zero Carbon Bill, which called for significant changes. A new analysis, using the Government’s preferred modelling, indicates that the proposed methane targets are excessive if all other gases go to net zero.

The MIA and the Dairy Companies Association of NZ, commissioned Nicholas Leach, Oxford University, to examine the Government’s methane targets as part of its submission to Parliament’s environment select committee.

Leach’s analysis used methodology consistent with the IPCC special report on 1.5°C, which was used by the Government when setting its emission reduction targets in the Zero Carbon Bill.

“The Government has sought to use the IPCC report on keeping global warming to within 1.5°C,

but it has cherrypicked the biogenic methane target while ignoring the data for other gases,” MIA said.

MIA believes that, according to the research and following the Government’s conditions, a target of 7% would be consistent with the IPCC global pathways for limiting climate change to 1.5°C and net zero for all greenhouse gases except short-lived biogenic methane (the actual global biogenic methane reduction required by 2050). The Government’s targeted 24-47% range would not be consistent with the IPCC’s pathways.

“We are dubious about the methane targets in the current Bill,” said Ritchie.

“We have said all along that the science indicates that to achieve a goal of no increased global warming from agriculture, nitrous oxide emissions from agriculture must come down to net zero as quickly as possible, but methane only requires a reduction in the order of 0.3% a year to have the same effect on the global temperature.”

The MIA is calling on the parliamentary environment select committee to significantly amend the methane target in the Bill.

“We are concerned the Government’s methane target is not credible and will threaten many rural communities who rely on pastoral agriculture,” Ritchie said.

“Our sector is NZ’s second-largest goods exporter and we directly employ some 25,000 people.”

He says given the enormous potential for economic and social cost to NZ from the chosen targets, the Zero Carbon Bill must get the numbers right.

RURAL NEWS // AUGUST 27, 2019

NEWS 15

PGG result boosted by seed division sale NIGEL MALTHUS

PGG WRIGHTSON (PGW) earnings are down on expectations after a “transformational” 2019.

Operating earnings before interest, tax, depreciation and amortisation (operating EBITDA) were $24.4 million (FY2018 $34.5m) for the financial year ended June 30. That was slightly below the operating EBITDA guidance range of $25-30m announced in May. But the sale of the Seed & Grain business, completed on May 1, allowed PGW a record net profit after tax (NPAT) of $131.8m (FY2018 $18.9m) as well as a capital distribution to shareholders of $234m.

PGW chairman Rodger Finlay said FY2019 had been transformational for the business and shareholders.

“Our strategic relationship with the new owners of Seed & Grain -- DLF Seeds A/S -- is a positive one.

“While this deal has been transformational for PGW, it remains very much business as usual for our frontline staff and our customers.

“We will continue to work closely with the PGG Wrightson Seeds team to bring their products to our customers, and the seed category will continue to be profitable for our retail business,” Finlay claims.

“Reflecting on FY2019… it was one of the most operationally challenging of recent years.

PGG Wrightson chair Rodger Finlay.

Farmer confidence in parts of the agriculture sector remains subdued, constraining farm spending and therefore our revenue growth over the year.”

Finlay referred to “discernible tightening in credit” in recent months, and “a small increase in overdue debtors and increased provisions taken at year end for doubtful debts”. But PGW has nevertheless chosen to continue to invest in the business, notably on IT. Chief executive Stephen Guerin says on farm conditions influenced performance in the sector.

“The impact of Mycoplasma bovis was felt across the livestock and rural supplies businesses,” he said. There were reduced dairy herd settlements, fewer tallies, softening demand for dairy beef, and more cautious spending in dairy on farm inputs.

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“Market conditions continued to challenge both our real estate and wool businesses with results down on last year,” Guerin said.

Finlay says the operating EBITDA result no longer includes any contribution from the Seed & Grain business.

He says the retail and water group’s operating EBITDA was down by $4.2m, partly due to a settlement PGW came to last September with a supplier and a number of fruit growers over a defective spray, which a supplier had provided and PGW had sold.

The growers were fully compensated but PGW bore $1.8m of the settlement.

Guerin says the strong performers in the group were Fruitfed and Agritrade.

“Market conditions for the horticultural sector remained positive despite some adverse conditions at key pollination, growing and

harvesting periods. The development of orchards and vineyards NZ-wide continue to drive revenue growth for Fruitfed.”

Meanwhile, Guerin says the agency business (livestock, wool and real estate and referral commissions for insurance and finance services) was also down $4.7m.

“Livestock was down on earnings at the half year mark and did not recover to the extent expected over the second half despite strong sheep and beef commodity pricing and demand.

“The finishing of sheep and cattle was delayed, with many farmers holding onto stock until late autumn and into winter. Also, the effects of M. bovis were felt across the sector and impacted dairy herd settlements and farmers trading dairy beef.”

The livestock team’s new online livestock trading channel, bidr, went live during the year.

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16 NEWS

More added value the future PAM TIPA pamelat@ruralnews.co.nz

WHY WOULD we, as a country, produce low value meat alternatives to stuff in a hamburger for a fast food chain to feed to overweight, disinterested consumers? asks Nick Pyke, cofounder of Left Field Innovation.

Pyke was presenting the case that New Zealand should not go down the commodity path as it develops its plant protein industry. He cited pea protein used in plant based ‘hamburger patties’ as an example of a ‘commodity’ plant protein.

The former Foundation of Arable Research chief executive says there are various options for pea protein fractionation but asked “why would we go there?”

He pointed out that Canada is set up to fractionate 750,000 tonnes of peas annually.

“I don’t know what we produce – something like 30,000t. Most of that is for seed, not for human use.”

Pyke says NZ can grow the raw material and use some existing processing capability, but creating value with innovative ingredients and foods

Left Field Innovation’s Nick Pyke.

will require investment in new processing plant.

“That’s where we really need to think about what our point of difference is for New Zealand.”

Referring to low value meat alternative for hamburgers he asked ‘is that really our point of difference?’

He says Plant and Food Research

sums up well where we should go using words such as ‘high value plant protein foods’, and ‘trusted, sustainable and diversified production systems meeting future climate challenges and premium products for particular customers’.

Pyke says the three things integral to NZ’s point of difference, are high

quality, high value and high health.

“And a lot of other underlying attributes will be part of that. They may not all apply to everything we do but trust is a critical one we need to build on,” he explained.

“We need to focus, not on producing for everybody, but just for a small percentage of the world’s population. We need to ensure it is unique, it needs to be traceable and it needs to be produced in a clean environment.”

He believes food safety and sustainability will be critical.

“Provenance may apply in some cases, and niche innovative, healthy and tasty are going to be all important, as will having documentation that is defendable on health issues in particular.”

Along with that we’ve got to develop the right infrastructure, Pyke adds.

“We cannot compete on scale in these commodity protein regions.

Currently we import pea and soy protein to make foods in New Zealand and probably that’s the best thing we could be doing unless there are particular niche spots for those things.”

BEST OF BOTH WORLDS A POINT of difference for NZ could be innovative foods using a combination of plants and animals, says Pyke.

“We can produce plants and animals.

We can blend plants and animals which I think is a real strength we have that not many countries have and we don’t really do that enough.”

And potential points of difference for NZ exist in our native berries, green leaf such as kawakawa, our huge range of seaweeds and possibly insects.

“And what do we do with the seeds of kiwifruit?” Pyke asks.

One possibility is to be a world leading beverage supplier, he suggested.

“We can create a range of beverages to target a range of markets. Some may be focused on protein and some may not be.”

Pyke believes NZ’s points of difference are water, soil, climate and our high quality food producers.

“We know we can grow the best ingredients, we just have to figure out what we have to grow. We know we can produce really valuable food, we know we can tell the truth in our story and we know we can deliver to market high value products.

“We just need to ensure that consumer insights confirm what we do as we develop plant protein.”

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RURAL NEWS // AUGUST 27, 2019

18 AGRIBUSINESS

Genetics arm to be folded back into Beef + Lamb mothership productivity and efficiency and lower costs.

BLG chairman Chris Kelly will act as executive director of the business unit until a new general manager is appointed. A B+LNZ and BLG director, George Tatham, will be interim chairman.

Kelly says B+LNZ will keep supporting BLG’s work, and BLG will be able to make use of the results of work by, for example, the Pastoral Greenhouse Gas Research Consortium.

He says BLGs’ milestones over the past five years have included setting up NZGE, the launch of standard indexes for commercial ram buyers (NZMW and NZTW), introducing single-step analysis (genomic testing) and developing nProve.

BLGs’ outputs will be included in B+LNZ’s business activities. The transition will be completed on October 1, 2019.

PAM TIPA pamelat@ruralnews.co.nz

THE END of Government funding for Beef + Lamb New Zealand Genetics has prompted a move to integrate the business into B+LNZ as a standalone unit.

B+LNZ Genetics (BLG) was set up in 2013 as a subsidiary, funded in partnership with the Ministry of Business Innovation and Employment (MBIE).

B+LNZ chief executive Sam McIvor says that funding has ended and B+LNZ will now be the sole funder of BLG. “This is a logical decision for the sector. It will mean we can more fully power up B+LNZ Genetics’ world leading tools and technologies developed under the MBIE partnership,” says McIvor.

The contract with MBIE made clear the funding would last five years to help pay to develop a world class genetic ‘engine’ for sheep,

BLNZ chief executive Sam McIvor.

a B+LNZ spokesman told Rural News.

“It was a capital investment by farmers and Government. B+LNZ [will continue] to maintain and improve that genetics database infrastructure.”

B+LNZ will support the beef programme so current activities can be

completed.

BLG is awaiting the outcome of a funding application to MPI’s Sustainable Food & Fibre Futures Fund. This funding would be for beef genetics and supporting farmers to maximise beef genetic progress, the B+LNZ spokesman says.

“In the unlikely event

we were unsuccessful, because this is such an important project for the beef industry we would look to secure funding from other sources on behalf of the industry.”

McIvor says BLG’s most direct contribution is its Farming Excellence – a focus on raising farm profitability via better

@rural_news facebook.com/ruralnews

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THE BATTLE FOR TRUST CONSUMER TRUST is now more valuable to win than ever.

Tim Hunt, the head of RaboResearch Food and Agribusiness in Australasia, says trust is becoming more complex to succeed in and more valuable to win because of what is happening in New Zealand’s markets.

He says in emerging markets, such as China and Southeast Asia, consumers are placing enormous value on the safety of products, whereas in western markets they increasingly value sustainability, animal welfare, fairness and provenance.

“The problem with both those sets of attributes is that they are not self evident when Tim Hunt the consumer is buying the product,” Hunt said.

“They cannot tell if there is a problem with the food safety until after they have bought it. Or they can’t tell if the animals on a farm are treated well or whether the producers were treating the environment well.

“In order to tap into these consumers and get the premium that is opening up for those attributes there is a need to establish trust.”

And a further complication is a recent loss of trust by society, in general, in governments, regulators, churches and large corporations, Hunt says.

For example, Monsanto insists glyphosate is safe if used correctly and there is lots of science on it.

“Consumers are saying ‘we don’t trust Monsanto and the scientists who did the research and we don’t trust the regulator who is supposed to keep us safe from it’,” he says.

Online selling and traceability technology have also had an impact and Hunt says NZ needs to keep up to speed on this and tell our story before others start doing this for us.

For example, in Australia a consumer advocacy group has developed a phone app which is influencing consumer behaviours, Hunt says.

“That app enables you to scan the top of an egg carton [to learn] the stocking density of the hens that laid those eggs... and whether the hens are truly free range or not. And it urges you to photograph the... image and send it via social media to all your friends.

“It’s a big issue having a big impact on sales of different types of free range eggs.... If we don’t move fast with technology, others will do it and write the rules and the story for us.” – Peter Burke

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RURAL NEWS // AUGUST 27, 2019

AGRIBUSINESS 19

Expect more disruption NIGEL MALTHUS

FOOD AND fibre is the most “activist disrupted” sector globally, second only to petroleum, says KPMG’s global head of agribusiness, Ian Proudfoot.

“People desperately want us to grow more food, but how it’s being grown is challenging people and causing them to think clearly about what they expect,” Proudfoot said.

He told the Silver Fern Farms annual farmers’ conference that they could choose to see disruption as either a threat or an opportunity.

The fourth industrial revolution is underway, melding the biological, physical and digital, he said.

“We’re getting this fusion where food that was only possible in Star Wars is suddenly becoming possible in reality.”

Ten years ago about $500 million a year of disruptive capital came into agriculture, mostly from existing big players.

Now it is probably $10 billion a year and coming from outside people aiming to transform the future, he said.

For example, the American company Plenty, growing fresh vegetables in a closed

DIFFERENT STROKES FOR DIFFERENT FOLKS PROUDFOOT SAYS meeting market and consumer expectations is not one-sizefits-all.

Businesses must be agile and understand the specific drivers for individual consumers. For some it may be animal welfare, for millennials it may be innovation.

“The biggest driver for most remains the price point – although some buy low but others won’t buy unless the price is high.”

He says health is a big issue, but NZ is second in the OECD for obesity and has 40% malnourishment, from people either eating too much, too little or the wrong foods.

Proudfoot says if NZ wants to sell

vertical farming system, has achieved a sevenfold productivity increase in just 11 months of operation. In contrast, traditional farming took 300 years to achieve this.

“They’ve got a desire to produce food that is enthralling and exciting for people but they’re actually building an algorithm – working out how you match light, heat, water and nutrients to grow food in the most efficient way.”

Proudfoot says New Zealand sells $42 billion of primary products to the world, but it’s worth $250b by the time it reaches checkouts or hotel bills. “So for every dollar we grow and

“aspirational” food to the world it has to show it coming from a healthy country.

“We’ve all got an obligation to ensure that every child and every adult understands how to eat properly and has access to the food they need to be healthy.”

Meanwhile, on Brexit, Proudfoot believes the big risk for NZ is not the immediate trade pressures of a hard exit. Instead the risk is what may happen in five years when British farmers are no longer being propped up by subsidies.

“They will then have ‘their 80s moment’ and come back far more productive, effective and ready to compete on international markets.”

capture in NZ somebody else gets six dollars.”

The challenge is to capture more of that added value, and technology is the answer, he said. “It’s inherent in everything we do these days.”

Proudfoot says the world is moving from a linear value chain with the consumer sitting at the end, to one where the connected consumer sits in the centre and has complete knowledge.

“They understand how everybody connects and they are looking for attributes and products important to them.”

Whether farmer or grower you can take your story to the consumer

using technology.

“There’s no reason why you can’t put any consumer anywhere in the world in the centre of your farm using virtual reality.”

The value will accrue to the people who bring the value to the table.

“If you in Silver Fern Farms do the right thing you will be rewarded because people will seek out your products and will pay a premium for the actions you take on your farm. It’s a very different model from the one we’ve worked under.”

Proudfoot forsees farmers being asked to examine every part of their business, and anything to reduce the

Ian Proudfoot, global head of agribusiness, KPMG, speaks at the Silver Fern Farms 2019 farmer conference in Christchurch. Rural News Group

carbon footprint is a step in the right direction.

“The attribute that will be valuable and have a long life – because others will find it incredibly hard to meet –

is zero carbon food.

“This journey to zero carbon is actually a journey to securing a significant new attribute claim for our products -- one valuable in

international markets.

The faster you get there the more time there will be to exploit that benefit.” @rural_news facebook.com/ruralnews

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RURAL NEWS // AUGUST 27, 2019

global agribusiness research analysts sharing market outlooks

20 MARKETS & TRENDS

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Chinese demand boosts NZ CONTINUING STRONG growth in Chinese demand for New Zealand beef is set support solid returns for the nation’s beef producers over the coming year, according to Rabobank sustainability and animal proteins analyst, Blake Holgate.

Speaking on a recently-released podcast New Zealand Beef – Midyear Outlook, Holgate says beef prices are now in line with the previous season and the pricing outlook for the next 12 months is encouraging.

“Strong global beef supplies saw early season prices for New Zealand beef come under pressure, however, since then, very strong demand from China, a significant recovery in US imported beef prices and slowing domestic supplies has culminated in a healthy

price recovery to a point that is largely in line with last year’s pricing levels,” Holgate says.

Demand hot “With demand out of China and the US set to remain firm and the NZ$/US$ exchange rate favourable for New Zealand exporters, we’d expect there to be some upside to pricing in the remainder of the season and for schedule prices to at least match last year’s highs.”

Looking out over the next 12 months, Holgate says beef prices are expected to remain elevated.

“Over recent years, beef prices have operated in a reasonably narrow range with global supply growing steadily at around two to three per cent, driven largely

Chinese demand for NZ beef is strong.

by increased supply out of the US and Brazil, and beef consumption rates lifting by a similar level, as economies around the globe continue their economic recovery from the GFC,” he adds.

“However, I don’t think there is much doubt the impact of African Swine Fever (ASF) on Chinese pork supply will

increase beef demand out of China over the next year and tip the balance towards a supply shortage.

“This shortage will continue to put upward pressure on beef prices over the coming year and should ensure prices remain at, or above, the five-year average prices.”

Maybe not longterm While Holgate says New Zealand beef prices are likely to remain strong, he is less convinced this should be viewed as evidence of a significant fundamental upward shift in beef prices.

“Global beef production will continue to grow

Round the Farm

over the coming year, driven mainly by the US and Brazil, while producers of competing proteins like poultry, seafood and pork are also likely to increase their production in response to price signals due to ASF,” he explains.

“In addition, we’ve recently seen the China Meat Association announce that China’s government would be expanding its sourcing of animal protein products in an attempt to replace the lost pork production that has resulted from ASF. This may include allowing imports of Indian buffalo and lifting the current ban on UK beef. There are also reports of an increase in the number of international meat facilities being accredited for export into China.”

“And these factors will mean there is likely to be a noticeable jump in global protein production outside of China in 2020, which could limit the upside for beef prices in 2020.”

NZ’s increasing reliance on China Holgate says the growing importance of China as an export market for New Zealand beef is redefining the country’s beef export trade.

“China has now overtaken the US as New Zealand’s largest beef export market so far this season with season-to-date beef exports to China nearly doubling by value, while exports to the US over the same period have declined by over 20 per cent,” he says.

“This shift has seen 39% of NZ’s beef exports

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RURAL NEWS // AUGUST 27, 2019

MARKETS & TRENDS 21

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beef outlook Trending upwards

The outlook for beef in NZ is positive.

(by value) this season heading to China – up from 22% last season – while the US accounted for only 31% of NZ’s beef export receipts – down from 44 %.

ASF not the only factor Holgate says while ASF is a key factor in

boosting New Zealand beef exports into China, increased Chinese demand for New Zealand beef is also part of a longer-term trend.

“The proportion of New Zealand beef exports heading to China has swollen considerably in the last five years, growing from 11% of total

receipts in 2013 to 27% last year,” he said.

“So on top of the ‘event’ driven demand that ASF has provided more recently, an underlying structural change was already taking place which has seen New Zealand export an increasing proportion of beef products into China.”

Holgate believes this trend is likely to continue, with Chinese beef demand expected to grow further in coming years.

“As Chinese incomes continue to grow, consumers are shifting focus from volume to value and are willing to pay more for quality, food safety and nutrition.

“Generally, consumers are moving beyond the food of survival mentality, and increasingly making food choices around lifestyle, enjoyment and happiness. As a result, expenditure on food in the coming few years is expected to keep growing strongly by 49% between 2015 and 2025,” he says.

“In addition, the dietary habits of Chinese consumers are also

changing – increasingly embracing western-style beef consumption and dining habits. This, in part, can be attributed to the growth of westernstyle beef-focused Quick Service Restaurants such as McDonald’s – which opened more than 300 stores in China during 2018, taking its total store numbers to 2,800.”

More The full podcast can be found on the RaboResearch channel via any podcast app or at this link http://raboresearchfoodagri.libsyn.com/ nz-red-meat-mid-yearoutlook-part-1-sheepmeat This podcast is the second of a two-part podcast series focused on New Zealand red meat.

Part one, the outlook for New Zealand sheepmeat, was released in mid-July.

Blake Holgate

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RURAL NEWS // AUGUST 27, 2019

22 OPINION EDITORIAL

EDNA

A fair go IF YOU borrow money from the bank, it holds a grip (‘death pledge’) over you.

And the bank is not in it primarily for their fun or your enjoyment, despite what its advertising schmooze says.

The shareholders in the big-four Australian banks, ie the parents of their NZ subsidiaries, get a dividend yield averaging 6.10% (source Morningstar). And those parent banks make a return on equity (RoE) averaging 12.84%.

But wait! The Australians’ subsidiary banks in NZ -- ASB, Westpac, ANZ and BNZ -- are reckoned to average 14-15% RoE. The Australian Royal Commission looked at banking scandals there and told the banks, ‘Clean up your act!’ So they’ll be wanting their NZ subsidiaries to continue strip-mining every available cent out of their Kiwi customers -while they close the high street branches.

If the bank is ANZ it’ll be needing extra cash to cover its embarassing real estate dealing in Auckland, and to tidy up after the Ross Asset Management Ltd ponzi scheme, over which it now faces a class action lawsuit by Ross’s victims.

Do such banks have an enshrined right to 14-15% returns on equity -- out of New Zealand? Ponder the question at 4am in the dairy shed or the lambing paddock, or on hearing the bank has devalued your farm by 25%, or that your loan is called in and it’s all over.

Then listen to the governor of the Reserve Bank of New Zealand (RBNZ), Adrian Orr. Why, he asked, are Australian owned NZ banks are so profitable relative to their parent banks. He told newsroom.co.nz that these NZ banks are “among the world’s most profitable -- second highest in the world”. That’s pleasing, said Orr, “we want profitable banks... but why so profitable relative to others, in particular their parent banks?” he mused.

The obvious answer to Orr’s question is that, in a world of growing opportunism by the increasingly powerful, the banks behave this way simply because they may.

Governor Orr made this key point (the quotes are his): NZ farms, “for 10 years the banks have been over-lending... and now they’re somehow wanting to withdraw,” Orr said. “But they need to be there in good times and bad... so they’re [now] learning how to be good citizens of New Zealand.”

Kiwis still believe a fair go is still a fair go, regardless of how that works in the Western Isles.

RURALNEWS TO ALL FARMERS, FOR ALL FARMERS

HEAD OFFICE POSTAL ADDRESS: PO Box 331100, Takapuna, Auckland 0740 PUBLISHER: Brian Hight ......................................... Ph 09 307 0399 GENERAL MANAGER: Adam Fricker ....................................... Ph 09 913 9632 CONSULTING EDITOR: David Anderson .................................. Ph 09 307 0399 davida@ruralnews.co.nz

“The room was getting cold so Edna handed him the latest Fonterra news and now it’s warm as toast!”

Want to share your opinion or gossip with the Hound?

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

THE HOUND Bad taste YOUR CANINE crusader was not surprised to see that Agriculture Minister Damien O’Connor’s solution to problems with winter grazing was to set up another committee. Let’s face it, O’Connor – like the rest of his Government – can’t make a decision on his own without a highly paid, taxpayer funded working group to give him ideas. But the Hound and many others in the sector are more than disappointed, and highly angered, to see the self proclaimed South Island winter grazing expert and ‘environmental activist’ Angus Robson, of Hamilton, appointed to the minister’s ‘winter grazing committee’. What was O’Connor thinking? Many in the sector are likening Robson’s appointment at being akin to the Christchurch shooter being appointed to the group advising the Government on gun control laws.

Not so good

Misfiring?

YOUR OLD mate believes the moves by our politicians to try to prevent an awful recurrence of the March 15 Christchurch shootings are highly laudable but ultimately hopeless. This is highlighted by claims by Police Minister Stuart Nash that setting up a national firearms register and making the other changes would cost “between $42 million and $52m over 10 years”. But Nash has conceded that Canada’s attempt to register all its guns in the 1990s was eventually scrapped when the original estimated cost of $2m blew out to $1 billion. So, Nash reckons our gun register will only cost between $42m to $52m over 10 years. Yet based on the Canadian experience of a 500% budget blowout, our cost may well blow out to $21b to $26b before the Government eventually scraps the idea. Oh well, it’s not the politicians’ money.

PRODUCTION: Dave Ferguson ........................Ph 09 913 9633 davef@ruralnews.co.nz Becky Williams ........................Ph 09 913 9634 beckyw@ruralnews.co.nz REPORTERS: Sudesh Kissun ....................... Ph 09 913 9627 Pamela Tipa ............................ Ph 021 842 220 Peter Burke .............................Ph 06 362 6319 Nigel Malthus ...................... Ph 021 164 4258 MACHINERY EDITOR: Mark Daniel ............................. Ph 021 906 723 or 07 824 1190 SUB-EDITOR: Neil Keating ............................Ph 09 913 9628

THE HOUND is picking up a growing sense of frustration and disappointment from farmers NZ-wide about how their supposed ‘industry good’ organisations – which they fund – seem to be selling them out to curry favour with the Government. This is showing in the efforts of DairyNZ and Beef + Lamb NZ in their dealings on agricultural emissions. Your old mate is getting more and more feedback from farmers about how these two bodies – notably their highly paid executives who have no skin in the game – are promoting reductions in agri sector emissions which are totally unachievable using available technologies. All this means the only way farmers could achieve these proposed reductions would be to cull livestock. That’s not smart advocacy by outfits that depend on the continuing success and growth of the farming sector.

Out of touch MEANWHILE, THIS old mutt reckons many of the highly paid executives in farm industry-good organisations are so removed from the day-to-day reality of farming we need not be surprised at the disconnect between them and their levy paying employers (the farmers).

These executives seem obsessed with lecturing farmers, via Twitter, about how easily they can reduce their on farm carbon footprint – all from the comfort of their Remuera mansions. It’s different down on the farm trying to put this city-bound theory into profitable practice.

Meanwhile, the Hound suspects that all these high paid executives will eventually move on to roles elsewhere. And the farmers these executives are supposed to be representing will be left with the decisions and policies they are foolishly advocating.

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RURAL NEWS // AUGUST 27, 2019

OPINION 23

Standing up for the primary sector TODD MULLER

AS NATIONAL’S spokesman for agriculture, forestry, biosecurity and food safety, I have a duty to represent rural communities and our productive primary sector in Parliament.

National is the party for primary industries, and we’re committed to ensuring growth and stability in what is essen-

rural sector.

My family has been in the kiwifruit industry 45 years, and I held management roles in Zespri and Fonterra before being elected to Parliament. Working in export companies has taught me the power of close market relationships and the scale of effort all our rural families make year on year to create valued

these advantages rather than find ways to constrain them.

New Zealand’s primary sector should be booming, but the lack of support and generally regressive attitude from

the coalition Government is preventing this.

My ambition as National’s new spokesman for the primary industries is to advocate strongly for the primary sector, as I passionately

believe it is a huge part of who we are as a country today, and what we will become over the next 20 years.

• Todd Muller is the National Party spokesman for primary industries and

We produce enough food to feed about 40 million people around the globe and our farmers are the most efficient producers of beef, lamb and dairy products in the world. Our reputation as a safe producer of food, underpinned by sustainable farming practices, is paramount to international consumers. tially the backbone of our economy.

We produce enough food to feed about 40 million people around the globe and our farmers are the most efficient producers of beef, lamb and dairy products in the world. Our reputation as a safe producer of food, underpinned by sustainable farming practices, is paramount to international consumers. Our forestry sector is also a consistently strong performer and delivers its own healthy contribution to our export receipts.

The primary sector is facing significant challenges with pressures on our historic land use flexibility, and our traditional competitive cost base having to contend with costs rising from emissions, the environment, our use of water and water quality.

The constant advances inside and outside the farm gate need to be celebrated, and farmers deserve policy direction that gives them time to absorb, adjust and build on our world class performance, rather than excessive regulations and taxation by the Government, which shows it does not understand our

products for the world.

The coalition Government has pushed agriculture well down the pecking order and this needs to change. Despite strong forecasts we’re seeing agribusiness confidence at all time lows, and this is directly related to the Government seeing our primary industries as a lifestyle to be constrained and a business model to be taxed.

Government minister Julie-Anne Genter recently said our hospitals should not be serving our home grown meat and dairy because it’s bad for the environment. And our national museum Te Papa has an exhibition suggesting that three meat- and dairy free meals per week would be a sensible way for kids to contribute to a low emissions climate.

Our national debate needs to move from condemnation to celebration of our primary sector.

We are among the world’s best producers of food and fibre, and we must continue to change in step with market and consumer expectations.

We have huge strategic advantages in this country, rainfall in particular, so let’s act to enhance

National’s new agriculture, biosecurity and primary industries spokesman Todd Muller.

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RURAL NEWS // AUGUST 27, 2019

24 OPINION

Government policy, rule changes are hitting farmers in the pocket HAYDEN DILLON

A CAPITAL crunch is starting to impact farmers as the banks get more cagey about lending to dairy and the sheep and beef sectors.

Things are looking okay externally. The big picture for our safe, efficiently produced protein is still strong, as shown by good commodity prices. But three domestic drivers have converged to cause difficulties for farmers, particularly those with a lot of debt or wanting capital to grow.

Firstly, changes imposed by the Overseas Investment Office have affected the value of and demand for land. We no longer have the same for-

eign capital coming in for our biggest farming sector -- sheep, beef and dairy and our productive assets there.

The flow-on effect -- a lack of capital into the market -- has halted downstream farm sales.

The resulting fall in confidence means the largest farms just cannot sell because they have no market – overseas or here at home. The banks have closed to the would-be borrowers.

Secondly, there is now a concoction of Government polices and statements on legislative changes.

There are the unknowns about a possible emissions trading scheme and the potential impacts and costs of that.

Rural News

In addition to the higher capital requirements, the RBNZ is also being strict with the banks on their lending policies, ensuring a far higher level of compliance with their approved lending policies.

And farmers must cope with more regulation and compliance, they must devise environmental plans, and they struggle to retain and attract staff for whom visas are harder to get and take longer. All this affects the value of farms by affecting productivity and cashflow.

Thirdly, a proposal by the Reserve Bank of New Zealand (RBNZ) to increase

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the capital requirements of trading banks can only be bad news for farmers. RBNZ’s proposal has brought those banks out loudly saying they will be hit by this and will pass on the cost increase to farmers.

Economists have already outlined how negatively the economy will be affected by a reduction in GDP. No one is quite sure what the RBNZ means by a “1 in 200year event”, or indeed the need for such a sudden pace of change.

In addition to the higher capital requirements, the RBNZ is also being strict with the banks on their lending policies, ensuring a far higher level of compliance with their approved lending policies.

This is catching farmers out when they go to ask for extra capital.

While they think they are okay -- because of their equity or their loan principal repayments -- they get a surprise to find that technically they no longer meet the banks’ criteria

Hayden Dillon

and cannot borrow more capital.

The banks’ pace and aggressiveness is catching out many farmers.

This is severely impacting farmers’ ability to borrow for development and acquisitions.

There’s an irony here: farmers are being asked to spend more on new systems and technology so as to reduce their carbon footprint, but are restricted in this because

they cannot borrow.

A strong, functioning banking system is critical for farmers and the wider NZ economy.

The slow creep of these related issues will have impact well beyond farmers only. It will flow on to the regions and beyond. I do not know whether the policymakers have connected the dots and realised these things are all coming together and creating major issues.

To try to combat this situation farmers need to be proactive.

Don’t assume that because you haven’t heard from your bank things are okay. Go talk to your bank to understand where you sit credit wise.

• Hayden Dillon is head of agribusiness and a managing partner at Findex. @rural_news facebook.com/ruralnews

RURAL NEWS // AUGUST 27, 2019

MANAGEMENT 25

Farming the ocean and pen infrastructure based on international technology, and a trained workforce. The iniTHE SALMON farmer New Zealand King tial cost would be $25-$30 million.

NZKS chief operating officer Alan Cook, Salmon, in Marlborough, says it is taking a step towards the future in applying for resource who joined the company this year with 20 consent to farm in the open ocean of Cook years aquaculture experience, says the open ocean will be ideal for the King salmon in the Strait, north of the Marlborough Sounds.

The company, the world’s largest King long term.

“Climate change is real and we have felt salmon aquaculture producer, has a yield of its impact in the Marlborough 8000 tonnes a year from nine Sounds over the last couple of farms in the Sounds. But the summers. This decision is crucompany is feeling the effects cial to our long term sustainabilof climate change, notably rising ity efforts. water temperatures.

“It will be a major challenge to “This is an incredibly exciting farm in the open ocean because opportunity for our company, our of more extreme conditions than region and the aquaculture indusin the Sounds, but we’ve chosen try,” says chief executive Grant the best site possible.”

Rosewarne.

The company says that with “We’ve named our first open at least 400 million ha of ocean ocean farming project Blue NZ King Salmon chief executive Grant Rosewarne space in NZ’s exclusive economic Endeavour to signify our future zone (EEZ) – the world’s fourth focused strategy to harness the ocean’s potential in a sustainable way. The largest – farming a tiny proportion of the ocean pens on these farms will be so spacious that could provide a significant future source of we’re calling them sea ranges,” he told Rural healthy, sustainable protein.

Cawthron Institute aquaculture scientist News.

“Our changing climate and the need for low Kevin Heasman says open ocean aquaculture carbon, high nutrition food are truly global has massive potential.

“We’ve got a huge marine estate, no close issues.

“We see aquaculture as a force for good in neighbours, and by combining appropriate addressing these challenges. We are investing environmental and site planning with smart in... the future of sustainable food production.” farming systems, we can sustainably realise the Research into temperature, wave heights, value of our open ocean resources.”

NZKS says it has consulted a wide range currents and other key environmental factors by the company and independent scientists of groups, including iwi, fishing companies, over the last year identified a suitable 1792ha Department of Conservation, Forest and Bird, the Environmental Defence Society and local site about 7km north of Cape Lambert.

The company in early applied to Marlbor- community groups.

“We anticipate a favourable reaction from ough District Council for a 35 year resource consent. It intends to commission an initial our community, as open ocean farming allows farm with a potential production of 4000t – the development of positive economic activity away from communities and recreational about twice that of its largest existing farms.

The first salmon stocks would be intro- activities,” Rosewarne says.

“We hope that successful commercialisaduced from the end of 2020 for harvest 12-18 months later. And the consent would allow tion of our open ocean farming vision may for a second farm nearby, doubling capacity decrease our reliance on the inshore farming model, as part of our ongoing efforts to farm in to about 8000t per 18 month cycle.

The venture would need suitable vessels the most suitable conditions available.”

NIGEL MALTHUS

Lagoon Hill Station

More farmland goes in to trees PAM TIPA pamelat@ruralnews.co.nz

A LARGE foreign financed but New Zealand owned investment company has brought a big station in the Wairarapa for forestry development.

Social, employment and environmental sustainability issues will be included in plans to ensure a stable local rural community, it claims.

Kauri Forestry LP, a forestry business built, managed and governed by Craigmore Sustainables, has purchased Lagoon Hills Station in Wairarapa.

Lagoon Hills Station has 1400ha of existing Pinus radiata forest and 2,000ha of effective pasture for farming sheep and beef.

Craigmore Sustainables will plant at least a further 1300ha of hill country into forest, leaving an operational farm of 500600ha. “Kauri Forestry LP is a forestry business built and managed by us with European partners who are committed to being long-term passive investors with sustainability objec-

tives,” says Che Charteris, Craigmore Sustainables chief executive.

“Our partners in Kauri Forestry LP have more than 300 years of experience in multiuse sustainable forestry.”

Lagoon Hills will be managed under the global forest management benchmark of Forest Stewardship Council (FSC) Certification, he says.

“FSC Certification provides a robust global framework for forest management and for social and environmental governance.”

The company aims to gain FSC Certification for the Lagoon Hills property within the first 36 months of ownership, which will require upskilling of the appointed local forest management company.

“However, as New Zealand governors, we will go much further than FSC and operate Lagoon Hills at an even higher standard.”

Craigmore claims it has developed a blueprint to improve Lagoon Hills. This includes better integrating for-

estry and farming by retaining 500-600 ha of the property around the woolshed and buildings in farming, continuing to farm other areas as the remaining area is planted over 2-3 years, as well as making the forested areas available for livestock grazing once the trees are well-established.

It claims social benefits will be enhanced by spreading forest management and harvesting activities over longer time periods in order to provide for more stable and local fulltime employment opportunities.

The company also plan to protect and enhance biodiversity and freshwater quality by establishing 30m wide native plantings alongside permanent waterways that run through the property and rehabilitate degraded wetlands. It says this will require approximately 60,000 to 100,000 native trees to be planted.

Craigmore hopes to also reduce the risk of post-harvest erosion by spreading harvesting over longer time periods and wider areas.

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RURAL NEWS // AUGUST 27, 2019

26 ANIMAL HEALTH

Johne’s disease remains a problem JOHNE’S DISEASE remains an issue for livestock farmers New Zealandwide.

While the levels of this production limiting disease are low, the industry cannot afford to become complacent, says Matt Ward, Beef + Lamb NZ’s general manager North Island.

He says the bacteria that cause Johne’s disease (Mycobacterium avium Paratuberculosis) is widespread in NZ and infects at least 50% of flocks and herds.

But despite the bacteria being everywhere, the rate of clinical disease is very low.

“In its clinical form, Johne’s disease is chronic, progressive, contagious and generally fatal. It affects cattle, sheep, deer, goats and wildlife,” he said.

Between 2008 and 2010, the Johne’s Disease Research Consortium ( joint venture of science and industry) screened at least 5000 dairy herds for the disease through bulk vat milk ELISA tests. Only 1% of herds tested positive and 5% were classified as suspect for the disease.

Ward says while this is good news, Johne’s has the potential to severely harm animal welfare and market

Jersey cows are shown to be more susceptible to Johne’s disease. Inset: Matt Ward, Beef + Lamb NZ.

access.

“It can also adversely affect individual farm businesses, as clinical Johne’s disease reduces the productivity of dairy cattle seasonally and across the lifetime of the cow,” he explains.

“Modelling has shown the associated reduction in milk, protein and fat yields has the potential to reduce income on a dairy farm by 6-15%.”

Ward says the Johne’s Disease Research Consortium that ran between 2008-2016 developed practical and cost effective management tools and resources for use on farm to reduce the prevalence of the disease.

After the consortium finished, DairyNZ, Beef + Lamb NZ and Deer Industry NZ joined forces to form the Johne’s Advisory Group (JAG). This

working group supports and gives insight to the industry on R&D and the control and management of the disease.

Ward says JAG shows the sectors working well together in controlling and managing a disease that could devastate NZ’s red meat and dairy industries.

“While we are unable to eradicate

Johne’s disease, it is important we all work together to keep [disease] levels at a minimum to protect our businesses and our respective export industries.”

In the dairy industry, bulk milk vat ELISA testing shows up as a useful tool for screening dairy herds for Johne’s.

However, it should not be attempted in late lactation as raised antibody levels in milk interfere with the tests.

Research has shown that dairy cattle are most likely to test positive to Johne’s disease between lactations three and six.

Ward says tests in young stock are notoriously unreliable, so there is little value in testing calves or heifers.

“Instead management should be focused on minimising their exposure to the disease from the environment or adult infected animals.”

Young animals are the most susceptible to the disease and Jersey cows are shown to be three times more susceptible to Johne’s disease than HolsteinFriesians.

• For more information about the control and management of Johne’s disease go to https://www.jdrc.co.nz/ resources

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RURAL NEWS // AUGUST 27, 2019

MACHINERY & PRODUCTS 27

New harvesters at the cutting edge MARK DANIEL markd@ruralnews.co.nz

NEW CLAAS Lexion 8000 and 7000 series combine harvesters have arrived in Australasia, reports Claas Harvest Centre.

CLAAS claims the new series has 10% more capacity than its 700 range, which is known as the world’s most productive combine harvester.

Launched in 1995 after ten years development, the Lexion 480 was the first combine harvester to use Claas’ APS Hybrid threshing and separation system.

APS (accelerated pre-separation system) smoothly accelerates crop flow across all concave areas, resulting in 70% of separation occurring before the crop reached the twin longitudinal rotors. Claas is still the only manufacturer to offer both systems in one machine.

The latest Lexions use a new APS Synflow Hybrid system in which the threshing drum diameter is increased from 600 to 755mm and the feed impellor upsized from 375 to 600mm.

Likewise, the capacity of the twin rotor secondary grain separation area is 20% bigger.

Grain tank and unloading maximum capacities are also bigger

DRILL CREATES AMAZING MAZE

The Claas Lexion 8900 in action.

-- 18 tonnes and 180 L/ second, respectively.

The 7600, 7700 and 8700 models are fitted with 12.5 L, 6-cylinder Perkins 2206D engines, delivering a maximum output of 461, 524 and 571 hp, respectively. The 8800 model has a 15.6 L, 6-cylinder Mercedes-Benz engine delivering 653 hp.

The machines have the maker’s Dynamic Cooling and Dynamic Power systems. The former is on-demand, variable rate cooling said to save up to 26hp. The latter uses advanced engine management to adjust power output to operating conditions and cut fuel use by up to 10%.

Both series can be equipped with the Terra Trac system in 635, 735and 890 mm operating

widths or conventional tyres measuring 2.15 m front and 1.75 m rear.

Both variants are capable of 40 km/h ground speed for speedy on-road transport.

On-board technology includes the Cemos Auto machine optimisation system which continuously reviews and automatically adjusts the threshing, cleaning and separation settings for maximum throughput, grain quality and fuel efficiency.

The system is said to achieve 20% greater output than by manual operation.

Claas Telematics, standard on all machines, enables GPS tracking and data transmission for machine optimisation, harvesting logistics,

fleet management, remote diagnostics and documentation.

Up front, the Lexion 8000 &7000 models can be equipped with Claas’ Vario variable cutter bar or the new Convio front, both available in 10.8, 12.3 or 13.8 m cutting widths.

Vario cutter-bars can adjust the knife position from -10 cm to +60 cm ‘on the go’ for optimum throughput, flexibility and ease of operation.

Convio fronts are said to offer smooth, reliable crop flow with minimal grain loss, even in lighter conditions or direct cut Canola.

The optional Flex configuration allows the cutter bar to flex up to 90 mm upwards or 135 mm downwards, said to make it ideal for harvesting

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Rural News understands new straw walker machines will arrive in 2020. These would include the 5000 (5-walker) and 6000 (6-walker) series.

A BRITISH contractor recently demonstrated the capabilities of precision machinery in modern farming.

Using an 8-row Kuhn Maxima 3TL E-drill and RTKGPS guidance, Michael Tomlinson created a 4ha maize maze at the National Forest Adventure Farm in Staffordshire.

The maze, its theme celebrating 50 years since the Apollo 11 moon landing, was crafted in a single pass without manual intervention.

Tomlinson has done similar projects for 15 years, drilling a crop in two directions then marking the pattern with canes before manual hoeing. But this season it was much easier using the precision drill’s electronic section control and variable row width adjustments to get a new level of creativity.

“We took the design to a specialist, who wrote the software to allow us to use the drill to create the desired pattern,” Tomlinson said.

“We set the drill at 37.5 cm row spacing and used twice the normal seed rate. Using autosteer, electronic section control and RTK guidance to 1cm accuracy we created the maze and ended up with a spectacular result.”

In real life Tomlinson sows about 400ha of maize and fodder beet in the area. He says the drill’s accuracy of placement saves seed, cuts operator stress and results in a mature crop that’s easier to harvest.

The drill’s arrival, with its row selection control, variable row width and an integral micro-granular fertiliser applicator, will also help extend his seeding season for other crops such as canola.

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RURAL NEWS // AUGUST 27, 2019

28 MACHINERY & PRODUCTS

Website unites employers and wannabe workers MARK DANIEL markd@ruralnews.co.nz

FOUR YEARS ago, Sharon and Wayne George decided they would quit the corporate rat-race to travel New Zealand in their ninemetre motorhome.

They hit the road in late 2018, intending to travel and pick up seasonal work such as fruit picking along the way.

But it wasn’t as easy as they thought, and they came across many others in the same boat, typically ‘grey nomads’ and tourists looking for seasonal work, income and somewhere to park the motorhome.

The Georges came up with a solution: Seasonal Staff NZ (SSNZ), a website-based business that helps would-be workers find jobs and employers to advertise for workers.

SSNZ is a membership-based firm with a database that brings both parties together via an interactive map accessed on the website. Blue pins indicate workers, green pins show where the jobs are.

Workers can look for jobs as they travel.

Employers can see where workers are located, and the site’s software enables the employers to sort the workers by experience, skills and attributes, or by potential start dates.

Would-be workers can look for jobs without focussing solely on pay rates, and they can note other possible benefits, eg accommodation available, powered parking for motorhomes or camper vans, kitchen/ bathroom facilities and wi-fi connections. This means hourly pay rates

A HAY BARN, WORKSHOP, STORAGE SPACE

The blue pins indicate workers and the green pins available jobs.

are not the ‘main thing’ in employers’ quests for good staff.

Businesses typically know their peak staffing numbers, so they can

plan and advertise jobs in advance, showing opportunities by location.

SSNZ’s annual employer membership fee is $199 + GST per

year/per location for businesses looking for 1-50 staff. (Other job boards typically offer only 30 days advertising.) www.seasonalstaff.co.nz

MAN what a V-six!

GERMAN ENGINE manufacturer MAN has a new Stage V compliant unit destined to power self propelled foragers and combine harvesters worldwide.

It will be unveiled in November at Agritechnica.

The D4276 is a 16.2 L, in-line 6-cylinder unit reckoned the most powerful of its type developed by the company specifically for farm machines.

Outputs range from 604 to 690hp (450 to 515kW) and maximum torque output of 3280 Nm at speeds as low as 1100 rpm, and it maintains constant torque up to 1500 rpm.

Its exhaust gas after-treatment system uses two DOC/DPF modules coupled to an SCR system to meet Stage 5 emission standards.

The new engine block weighs only 1.28 tonnes.

It is said to bridge the gap between the maker’s current D3876, 6-cylinder, in-line 15.3L (565 to 660hp) and the 24.2L, V12 layout D2862 (800 to 1100hp).

THOSE OLD shipping containers out front of rural properties can be mighty well-travelled.

The BBC in 2009 traced the path of one container and found that in 421 days it travelled 83,000km (75,750km by sea, 5200km by rail and 2200km by road – totalling 2.08 times Earth’s girth).

Containerised shipping dates back to the late 1950s, when trucking entrepreneur Malcolm McLean put 56 trailer vans on a ship called SS Ideal X. It shipped them from Newark, New Jersey to Houston, Texas.

Way to go! It led to the first ship sailing from the US to the Netherlands carrying 236 containers.

By 1973, 4 million TEUs (20 foot equivalent units) were being shipped globally. By 1985 they were circling the globe and by 2013 about 90% of global trade was seaborne.

It cut costs by 90%. In 1956 the cost was US$5.86/ tonne for loading and unloading. Today it costs US$0.16/t. Back then stevedores handled 1.3t/hour. In 1970 they hit 30t/hr.

ISO standards were soon adopted: a 20 foot container measures 2.4m wide, 2.4m tall and 6 m long.

Today, the five main sizes are 20, 40, 45, 48 and 53 foot, the latter two sizes used mainly in the US. And there are sub-categories, eg Hi-cube units at 2.9m tall, half height boxes at 1.3m and specialised units such as tankers or refrigerated reefers.

The 2.4m height arose from the need to pass through train tunnels but today this has crept out to 2.59m.

The World Shipping Council estimates about 20 million containers are in use, equating to 27 million TEUs. And losses are not as high as you may think: only about 500 containers are lost overboard or in accidents each year.

The first container ship to New Zealand was Columbus NZ which docked at Wellington in June 1971 and during the following eight days at Auckland and Port Chalmers, Dunedin.

Traditional sea freight at that time took 34 days to visit those ports – 10.5 days waiting to berth or for stevedoring or bad weather. Delays at NZ ports then made up 65% of all shipping costs. – Mark Daniel

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MACHINERY & PRODUCTS 29

Massive machine moving mountains MARK DANIEL markd@ruralnews.co.nz

NORWOOD HAS imported the biggest tractor yet seen in New Zealand -- a New Holland T9.670 scraper.

It sits 4.2m wide x 7.5m long.

The 600hp from its 12.9L, 6-cylinder turbo diesel engine is delivered to the ground by dual tyres all round, making the tractor an impressive sight.

The tractor is operated by Matt Mead, the owner of Earthwork Solutions, Gisborne. It is on hire from Norwood Hire Division, managed by Greg Moore.

Mead visited Australia where the tractors are more common. There he visited a customer who operates the same tractors and then settled on a scraper scoop for the New Holland to tow. He uses the NH T9.670 to pull a 28 cu.m K-Tec 1228 scraper, which it fills in no more than 30 seconds. Its fuel consumption is impressive at only 37L/hour.

“I have another smaller scraper, a 10.7 cu.m too, which is towed by a 295hp tractor,” Mead says.

“The T9.670 is moving twice as much dirt in roughly the same time while using less fuel.

ROTOPICK KNIFE CULTIVATOR

“We also settled on the T9.670 to look at the option of towing a second K-Tec 1228 scraper in tandem.

“After seeing what the big tractor is capable of we are seriously considering doing this.”

To ease the load of the capital outlay, Mead has hired the T9.670 from Norwood Hire for the first 12 months of his operation.

He says having Norwood nearby in Gisborne as the local service centre was a big part of his decision making process. www.norwood.co.nz/equipment/hireequipment

LOCAL MAKERS of high capacity tipping trailers have some way to go to keep up with Irish manufacturers.

Among the latest trailers made by Smyth Trailers, County Carlow, Ireland, is a four axle monster headed for a big farm in the US. Robinson Farms, New Mexico, already runs ten, tri-axle Smyth silage trailers. Now comes this new 70 cu.m goliath. It measures 9.7 m long, has a 2.75 m wide body, overall width of 3 m, weighs 11 tonnes and has capacity of 36t.

KON SEMI-CHISEL PLOUGH

A true one-pass cultivator for repairing winter damaged pugged ground. Unique blade design works the soil fine without creating a pan layer combined with rear leveling bar and packer roller results in a perfectly level seed bed for replanting. Combined with an Air Seeder - do it all in one pass!

Ideal for repairing damaged pugged ground from winter grazing or after crops. Works to 350mm depth leaving a level finish ready for regrassing or new crop establishment. Auto reset spring loaded legs and rear flat bar roller available in working widths of 2.8m to 4.8m fixed and hydraulic folding models.

NATIONWIDE DISTRIBUTION NETWORK KAITAIA KAITAIA TRACTORS 09 408 0670 WHANGAREI BRYANT TRACTORS 09 438 1319 SILVERDALE AGROWQUIP NZ LTD 09 427 9137 PUKEKOHE AGROWQUIP NZ LTD 09 237 0043 MORRINSVILLE PIAKO TRACTORS 07 889 7055 HAMILTON AGROWQUIP NZ LTD 07 847 0425 CAMBRIDGE AGROWQUIP NZ LTD 07 827 5184 ROTORUA PIAKO TRACTORS LTD 07 345 8560 STRATFORD FIELDTORQUE TARANAKI 06 765 8643 GISBORNE STEVENSON AND TAYLOR 06 863 2612 WAIPUKURAU STEVENSON AND TAYLOR 06 858 6041 DANNEVIRKE LANCASTER TRACTORS 06 374 7731 PALMERSTON NORTH TRANSAG CENTRE 06 354 7164 *Normal lending criteria and special conditions apply.

SHE’S ONE BIG TRAILER!

MASTERTON WAIRARAPA MACHINERY SERVICES 06 377 3009 NELSON DRUMMOND AND ETHERIDGE 03 543 8041 BLENHEIM DRUMMOND AND ETHERIDGE 03 579 1111 KAIKOURA DRUMMOND AND ETHERIDGE 03 319 7119 GREYMOUTH DRUMMOND AND ETHERIDGE 03 768 5116 CHRISTCHURCH DRUMMOND AND ETHERIDGE 03 349 4883 ASHBURTON DRUMMOND AND ETHERIDGE 03 307 9911 TIMARU DRUMMOND AND ETHERIDGE 03 687 4005 OAMARU DRUMMOND AND ETHERIDGE 03 437 1111 MOSGIEL JJ LIMITED 03 489 8199 GORE JJ LIMITED 03 208 9370 INVERCARGILL JJ LIMITED 03 211 0013

Specifications include Distag forced steering on the front and rear axles, all shod with 600/55-26.5 heavy duty BKT tyres.

The unit has an air/hydraulic braking system, hydraulic actuated parking jack and front down panel, and a Lincoln automated greasing system.

The trailer needs an oil supply of 70 L to extend the single, multistage ram to it full height.

The price tag? $115,000 (€65,000).

CRAKER SUBSOILER Ideal for cultivation from 350mm to 650mm deep. Used to repair and level damaged winter water logged ground and pugged soil.

Dries out soil, improves future drainage and breaks up soil pans to encourage deep plant root growth resulting in larger crop yields.

Perfect for first pass cultivation prior to planting maize.

RURAL NEWS // AUGUST 27, 2019

30 RURAL TRADER CRAIGCO SENSOR JET • Robust construction • Auto shut gate • Total 20 jets • Lambs only 5 jets • Side jets for lice • Adjustable V panels • Davey Twin Impellor Pump • 6.5 or 9.0hp motors

SHEEP JETTERS SINCE 1992

GUARANTEED PERFORMANCE QUICK TO SETUP – EASY TO USE – JOB DONE

FLY OR LICE PROBLEMS?

Rubber Safety Matting

VETMARKER

• ATV Carrier Mats • Exit/Entry Areas • Calf Trailers • Horse Floats & Trucks • Weigh Platforms • Bale Mats • Comfort Mats for Wet & Dry Areas • Utility Deck Matting

Docking Chute

Quality construction and options • Get the contractors choice

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• Incredible chemical economy • Amazing ease 1500+ per hour • Unique self adjusting sides • Environmentally and user friendly • Automatically activated • Proven effective on lice as well as fly • Compatible with all dip chemicals • Accurate, effective application

The magic eye sheepjetter since 1989 Featuring...

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Phone: 0800 80 8570

PH 06-835 6863 • MOB 021-061 1800 JETTER VIDEO: www.craigcojetters.com

www.burgessmatting.co.nz 07 573 8512 | dipping@electrodip.co.nz – www.electrodip.com

tunnel houses Grow vegetables all year round Very affordable and easy to install New Zealand designed and made 35 years producing tunnel houses Range of models sized from 2m - 8m t/f

03 214 4262 |

e

T T T T T

info@morrifield.com

QUAD & BIKE SERVICES

- Made in NZ - Saves lives - Flexible www.morrifield.com

EDNA CALENDAR 2020 FREE Freight

$1300 inc GST

RECOMMENDED BY WORKSAFE

Your local friendly, professional and mobile motorcycle technician servicing Hamilton and the greater Waikato area ✆ 021

0800 782 3763 | info@atvlifeguard.co.nz

0294 6224

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WATER TANKS, PUMPS FILTRATION DEVAN CALPEDA • PURETEC • OASIS CLEARWATER DEVAN •• PROMAX PROMAX • •CALPEDA • PURETEC •& OASIS CLEARWATER DEVAN •TANKS, RX • CALPEDA • AQUA • OASIS CLEARWATER WATER PUMPS & FILTRATION

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DEVAN • PROMAX • CALPEDA • •PURETEC • OASIS CLEARWATER P: 326 8888 www.thetankguy.co.nz P:0508 0508 326 8888 • www.thetankguy.co.nz A: A: 30 30 Turners RoadRoad – Feilding Turners – Feilding

T: 09-307 0399 E: julieb@ruralnews.co.nz

ALASKA & CANADA Don’t just visit Experience it on a KTC MOTORHOME & CRUISE COMBO TOUR

P: 0508 326 8888 • www.thetankguy.co.nz A: 30 Turners Road – Feilding

Escorted 28 Day Motorhome Tour – Departs 6 May 2020

Vancouver – Anchorage – Whitehorse Plus Optional 7 Night Inside Passage Cruise

28 DAY ESCORTED MOTORHOME TOUR

NZD $10,000 per person twin share

EAR L BIRD Y PRIC ING

7-NIGHT ALASKAN INSIDE PASSAGE CRUISE

NZD $250

per person twin share in an Ocean View Stateroom with Motorhome Tour Purchase

Exclusive offer not available from travel agents. BOOK NOW – Only limited places at this price

KTC MOTORHOME TOURS Web ktcrvtours.com • Email info@ktctours.com • Free Phone NZ 0800 895 194

RURAL NEWS // AUGUST 27, 2019

RURAL TRADER 31 Happy Birthday

DIESEL HEATER

“I have no doubt that if I did not have a Quadbar fitted, my accident would have been fatal!” – Rozel Farms

0800 379 247 SEE IT NOW

www.avonheating.co.nz

DOLOMITE

Orpost postyour yourinquiries inquiriesto;to:M. M.Evans, 17 Vista Auckland 1071, Or Evans, 39J Cape Crescent, Horn Road,Glendowie, Hillsborough, Auckland 1041 . and return address. anddon’t don’tforget forgettotoinclude includeyour your return address.

595

+GST delivered

Proven beyo nd do ubt!

To mark a birthday, retirement or any milestone, give that special someone, something special - a personal cartoon portrait by Edna cartoonist Malcolm Evans - $200 plus GST Send no money - just email a few up-to-date photos of subject, with a note of details you’d like included, to; malcolm@evanscartoons.com

QUADBAR

$

“The Quadbar saved our employee from significant injuries.” – Colin van der Geest

Recommended

by Worksafe.

ACC subsidy available

For a Quadbar, call me, Stuart Davidson, owner of Quadbar NZ, on 021-182 8115. Email sales@quadbar.co.nz or for more info go to www.quadbar.co.nz

NZ’s finest BioGro certified Mg fertiliser For a delivered price call...

0800 436 566

.

600 500 400 300 200 100 0

QUADBAR 5 YEAR SURVEY

ROLLOVERS

NUMBER OF QUADBARS 479

61

NUMBER OF DEATHS 0

Candy Seed Mix Sweet results!

Harvey Rye Grass 7kg • Riley Rye Grass 8kg Huia White Clover 3kg • Strawberry Clover 1kg Timothy 2kg • Chicory 1kg • Red Clover 2kg Cocksfoot 3kg • Plantain 3kg 30kg per hectare

$310 GST and freight included $245 ex store + GST

Cridge Seeds Ltd. Doyleston Phone 03-324 3951 or 022-083 3579 | www.cridgeseeds.co.nz

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.

CULVERT PIPES

Phone

0800 625 826 for your nearest stockist

Joiners supplied FREE with culvert pipes

New Zealand’s CHEAPEST Culvert Pipes!

FREE joiners supplied on request.

• Lightweight, easy to install • Made from polyethylene

McKee Plastics Mahinui Street, Feilding Ph 06 323 4181 Fax 06 323 4183

sales@mckeeplastics.co.nz | www.mckeeplastics.co.nz

Boots! GUMBOOTS! RAINWEAR SALE! lace up

$133

valued at $320

STEEL TOE X (with Scuff Guard)

plain TOE

PLAIN TOE (without Scuff Guard)

steel TOE $50 valued at $120

Buffalo Leather - Dark Brown Soles stitched on through tread

SLIP ON

$128 valued at $280

STEEL TOE (without Scuff Guard)

PHONE

0800 16 00 24

Limited Stock

Perfect 35cm Height

Shock absorbing heel

STEEL TOE X (with Scuff Guard) PLAIN TOE (without Scuff Guard)

Wide Fit 175% more crack resistant leather

9am-5pm

valued at $120

UV Resistant RUBBER Cotton Canvas Lining

Scuff Guard with Kevlar stitching

100% Waterproof Durable Seams Acid Resistant

$44

$48

note: some sizes out of stock until November

ONLINE

JACKET Sizing for these is the same as NZ WORKboot sizing (not NZ gumboot sizing). Available in sizes 6-11

earthwalk.co.nz

CHEQUES

WHILE STOCKS LAST!

FLEXISKIN MAX

WOMENS GUMBOOT

GUMBOOT�

ENDS 9 SEPT

Sizing for these is the same as NZ womens GUMboot sizing. Available in womens size 3, 4, 5, 6 (plain toe)

earthwalk, r d 2, palmerston north please add $12 freight per order

$66

valued at $230 sold out of size: S, L, XL, 2XL 3XL

BIB OVERALLS

$55

LEGGINGS

$44

valued at 160 valued at $145 sold out of size: sold out of size: XL, 2XL, S, M, L, XL, 2XL, 3XL 3XL

sizes: BOOTS 5 - 13 (NZ)

RAINWEAR XS - 3XL

BUYING CALVES? Record and confirm the movement on-farm within 48 hours Check the calves are correctly tagged

Ensure the calves are registered online in NAIT

Expect an animal status declaration (ASD) form from the seller or sender.

Support disease management and help build lifetime animal traceability NAIT is an OSPRI programme

Need help? 0800 482 463 7am–6pm (Mon-Fri)

ospri.co.nz