30,287 copies distributed monthly – to every rural mailbox in Canterbury and the West Coast
January 2018 Edition
INSIDE Ploughing ahead THIS EDITION Dairy study
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p41
Ploughers around the country are gearing up for the 2018 new Zealand Ploughing Championships. This year’s championships will be held in Southland in early april and are being hosted by the Thornbury Vintage Tractor and Implement Club. The event marks 60 years since Southland first hosted a national championships. Pictured is Colin Drummond with Erewhon Station’s six-horse team competing at the 2017 national Ploughing Championships in Kirwee.
Photo: Kent Caddick
Stronger focus for MPI Federated Farmers believe the changes to the Ministry for Primary Industries are pragmatic.
❚ by Kent Caddick Minister for Agriculture, Damien O’Connor says the Ministry for Primary Industries (MPI) is being reorganised to create a stronger focus on its core responsibilities. O’Connor, who is also the Minister for Biosecurity, Food Safety and Rural Communities says the government will set up four portfolio-based entities, Fisheries New Zealand, Forestry New Zealand, Biosecurity New Zealand and New Zealand Food Safety. “Our priority is to achieve greater clarity and unity of purpose for these areas,” O’Connor says.
“We are seeking enhanced visibility of government policy and regulatory activities and clearer lines of accountability and engagement for stakeholders. “We are now looking to the Director General of MPI to work with his team to achieve this, while ensuring prudent and efficient use of taxpayer and industry funds. “MPI will continue to meet the expectations of our international trading partners as the competent authority.’’ Under the plan MPI will build up its forestry presence in Rotorua. “Rotorua’s location puts it at the heart of our forestr y sector and makes it the most
appropriate site for a dedicated forestr y presence to support the Government’s ambition in this important sector,” O’Connor says. “It’s likely further change in the forest space will occur after policy and operational work to deliver the Government’s ambitious goals in this area.” He says the reorganisation of MPI’s functions will occur in the early part of 2018 and will be in place by April. “This change is about increasing focus and ensuring greater visibility of fisheries, forestry, biosecurity and food safety.”
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January 2018
Fisheries new Zealand
2
Feds comfortable with MPI changes FROM PAGE 1
operating costs are estimated at $2.3m per annum. O’Connor says reprioritised money from the Primary Growth Partnership Fund will pay for the changes so there will be no additional cost to taxpayers. “This is a prudent and cost-effective change that can be managed with existing monies.’’ Federated Farmers says the changes are practical. Rural & Urban Subdivisions Mapping/Survey Graphics “Keeping intact the MinCross Lease/Unit Surveys Land Status Research istry of Primary Industries Resource Consents Legalisation Surveys Topo/Site Surveys GPS Technology while sharpening the focus of four portfolio-based units Registered Professional Surveyors within it is a pragmatic apLicensed Cadastral Surveyors proach,” Federated Farmers Call (03) 377 2721 or 0800 NZSURVEY (697 878) President Katie Milne says. Email: info@koa.co.nz “We certainly didn’t want 480C Moorhouse Avenue, Waltham, Christchurch. to see the upheaval and expense of a total carve-up of MPI,” Milne says. “This course avoids wholesale disruption, pre-
The estimated cost to implement the changes is $6.8 million to establish the four portfolio-based business units. Additional ongoing
LAND SURVEYORS
serves the Ministry’s status as a competent authority for trading partners and certification agencies, and allows staff to get on with their jobs during the re-focus.” Milne says while there is a cost to the changes it is certainly not as much as creating four new ministries, each with their own chief executive, their own HR department and finance department. “Nevertheless, this is money taken from the Primary Growth Partnership Fund, so farmers will want to see value from the exercise in terms of more responsive and innovative business units, particularly in biosecurity.” National’s Primary Industries spokesperson Nathan Guy is less impressed with the changes. “Restructuring MPI for no good reason is nothing more than a pointless and costly rebranding exercise,” Guy says. “What’s more, it robs $17 million of important money from research and development in the Primary Sector to pay for this unsettling exercise on staff that won’t make any difference in performance.
“It’s clear the Primary Growth Partnership Research and Development fund is not a priority for Government because they also have a big review underway.” For more from nathan Guy see his column on Page 6.
Approval: Federated Farmers President Katie Milne says changes to the structure of the Ministry for Primary Industries are pragmatic.
FARMING NEWS
CANTERBURY FARMING
January 2018
3
The future of hill country farming A scientific programme aimed at improving the sustainability of hill country for sheep and beef farming is to be launched with the support of Beef + Lamb New Zealand (B+LNZ). A new way: researchers will be looking into ways to make hill country farming more sustainable.
❚ by Kent Caddick The project, which is backed by the Ministry of Business, Innovation and Employment Partnership’s Scheme, will look at ways to invigorate hill country by developing sustainable production systems. A strategy and action plan to increase the sustainability of hill country farming (economic, environmental, social and cultural) will be one of the key priorities for the initiative. B+LNZ chief executive Sam McIvor says hill country is the backbone of the sheep and beef sector, accounting for 70% of land use and the source of 70% of the animals processed. “The ongoing use and productivity of New Zealand’s hill country is critical to the future of our industry. “Consumers, customers, farmers and the wider public’s interest and expectations around the use of natural resources are rapidly changing. Historically, the focus has been on lifting the productive capacity of our landscapes. “The purpose of this science programme is to focus on New Zealand hill country farming systems of the future by applying a new lens. “That’s about focusing on developing our hill country production systems, whilst maintaining a sustainable balance between production, what is taken from the land, and enhancing the health and wellbeing of our land,” McIvor says. Under the programme a new farm class classification system for red meat production systems, using production based analysis, as compared to the current topographic/soil based system, will be developed.
As part of the programme, researchers will examine and quantify the impact of legumes and indigenous plants on production systems and their impact on hill country sustainability. A forage value framework for assessing the economic and ecological sustainability of mixed forage in the upper layer of soil (swards) is also planned. “B+LNZ’s development and leadership of the programme reflects our commitment to supporting vibrant rural communities, providing valuable insight for farmers, and improving farmer profitability,” McIvor says. “An improved understanding of resources, potential external inputs such as forage, and market opportunities for hill country will create a foundation for greater productivity and profitability, better risk management, and the attractiveness for hill country farming as a career opportunity. “New science is all about insight and this project will give farmers and the wider community a new and enhanced understanding of physical resources held on farms, their value and how they can be managed to maximise
Leading the way: B+LnZ chief executive Sam McIvor says hill country is the backbone of the sheep and beef sector.
not only the financial returns but also wider environmental returns for the sector, community and the country.” McIvor says a key aspect of the programme will be looking ahead 5 to 10 years to explore what the opportunities will be for hill country land use and the productivity challenges. “Importantly, the project also has a strong wider community focus by creating ways to engage, grow understanding and support for hill country farming.”
B+LNZ, one of three partners in the programme alongside the Ministry for Business, Innovation and Employment (MBIE), PGG Wrightson and Seed Force New Zealand, is investing $700,000 per annum ($3.5 million over five years). MBIE is contributing $3.1 million over five years to the project via the New Zealand Government’s Partnerships Scheme, which supports high-quality research aimed at increasing the competitiveness and sustainability of New Zealand’s economy.
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January 2018
CANTERBURY FARMING
FARMING NEWS
No time to be complacent
BR CE L E
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SINCE
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O F T OP
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I hope you’ve all found some time to spend with family and friends over the holidays. The business of farming doesn’t stop, but it’s important to make time for some relaxation. Since starting as Minister of Agriculture in the new government, I’ve been working hard to understand what our priorities should be as a sector for the coming year and much further into the future. Our primary industries – farming, horticulture, viticulture, fisheries and forestry – are growing healthily, but we should not be complacent. The issues of climate change, sustainable use of water, synthetic proteins and pro-
tecting our borders from biosecurity threats are big challenges for us. I’m committed to working alongside you, but I will, at times, push you all for new thinking about how we move to a model less based on commodities and volume to one where we make more from high-value products. Consumer habits around the world are changing and we cannot ignore that. Increasingly, our overseas customers want to know our products are produced in a sustainable way that limits environmental damage. We cannot ignore those trends.
UA
Damien O’Connor ❚ by ❚ Minister for Agriculture
Only by being nimble and open to change can we ensure a vibrant future for New Zealand’s most Our primary industries – farming, important export sector. In 2018, one of my prihorticulture, viticulture, fisheries and orities is too establish a primary sector council to forestry – are growing healthily, develop a vision for our sector. The council membut we should not be bers will have a range of backgrounds, opinions complacent. and ideas and I ask that you take part by talking to Damien O’Connor them positively about ideMinister for Agriculture as for the future. Coming from a farming family, who still operate a Kiwi farmers have done it before and I’m dairy herd alongside the beautiful Buller River, I understand the work, and labour of love, ready to get stuck in and have a bloody good that it takes to keep a farm going. Part of discussion about where to next. I wish you and your families the best for that is looking to the future and adapting to the New Year. change.
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FARMING NEWS
January 2018
5
Young farmers display excellence Two Canterbury young farmers were among three outstanding young leaders to have been awarded a New Zealand Young Farmer prestigious Excellence Award.
❚ by Kent Caddick Mental wellbeing advocate Sam Robinson from Methven, Prime Minister’s Award winner Sarah Tait and DairyNZ high flyer Zach Mounsey have been announced as NZ Young Farmers 2017 Excellence Award winners. In only its second year the award recognises the outstanding young leaders and is open to Young Farmer members. NZ Young Farmers CEO Terry Copeland said the three were ‘outstanding’ in their fields and showcased the wide variety of talents required in the agri-food sector today. “We are extremely proud of the role our organisation continues to play in developing the primary industry’s next leaders,” Copeland said. “Sam, Sarah and Zach are examples of the diversity of skills, culture and talent we aim to develop and we are delighted they are recipients of the Excellence Awards.” Methven based, 27-year-old Sam Robinson has made a significant impact in the mental health and wellbeing landscape for rural youth this year, after he bravely shared his own struggles. The Lincoln University student courageously outlined his struggle to live in a Facebook post this year, which set in motion a positive chain of events that led to young people speaking up more and NZ Young Farmers taking a leading role in highlighting and working on the issue. An over-achiever, Sam has battled depression since his late teens but is now using his experience to help others and is speaking to health bodies. One day he hopes to do a TED talk on the subject and is considering setting up a blog as a forum for him and others to share as he
seeks more transparency and inclusiveness on the issue. Also from Methven, PGG Wrightson agronomist, Sarah Tait is an outstanding young leader who initiated the ‘Empty Plate Project’ to encourage young people into the agri-food sector. Targeted at 5000 students in Canterbury, Sarah invited students to submit for a competition, a project describing global food security and what New Zealand’s part was to play in it. The 26-year-old spends a lot of time talking in schools, and has been identified as a future leader. In 2015 she was selected to represent New Zealand at a Food Security Conference in Canberra and she has also been awarded a Prime Minister’s scholarship that enabled her to travel to Colombia. Passionate about Latin America and the role the New Zealand agri-food sector could play there, she is currently completing her Masters, which is centred around primary industry opportunities for New Zealand in Latin America. The third excellence award winner, Zach Mounsey, from the Hamilton City Young Farmers Club, has numerous achievements and awards to his name including studying some of the world’s most complex issues as an MPI New Zealand delegate to Argentina in 2015. The 27-year-old holds an equity stake and is the sharemilker on the family farm, but has excelled as a strategist and economist in varied roles inside the dairy industry. Now the technical assistant to DairyNZ CEO Tim Mackle, Zach has also held roles in public trading and finance at Fonterra. His leadership abilities have been to the fore from an early age, and included him tak-
Helping out: Sam robinson from Methven has been awarded a new Zealand young Farmer prestigious Excellence award for his work in highlighting mental health issues in the farming community.
Supportive: Methven agronomist Sarah Tait is encouraging young people into the agri-food sector.
ing up the position of Sharemilkers Section delegate of Federated Farmers in Otorohonga/King County before going on to become chair, while at university.
He is also a Kellogg Rural Leadership Programme graduate and in 2015 he was chosen as a New Zealand delegate to the Global Youth Agriculture Summit.
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January 2018
CANTERBURY FARMING
FARMING NEWS
Challenges ahead for new govt There’s plenty occurring in the primary sector at the moment and many of us will be looking ahead to see what 2018 has in store for us.
nathan Guy ❚ by Party spokesperson ❚ National Primary Industries ❚
It’s been an early start to summer with this scorching run of dry weather through November and December, it’s really taken its toll on farmers and growers and I hope by the time you’re reading this there has been some much needed rainfall to ease the pressure. It comes as a timely reminder to the importance of irrigation and water storage, as even with a wet winter and spring, it doesn’t take long for soil moisture levels to quickly drop. It’s been evident on our own farm which was a bog only a few months ago, but is now looking like a dustbowl. Unfortunately the new Government doesn’t see the importance of water storage, with the Greens and Labour agreeing to no new water storage projects receiving Government funding. The remainder of projects in the pipeline are under review, which is a worrying sign. I have seen how successful the likes of Central Plains Water Scheme has been. Shane Jones has mentioned that his $1 billion regional development fund may cover localised
‘
The new Government doesn’t see the importance of water storage. Nathan Guy National Party spokesperson, Primary Industries
water storage projects, but it remains to be seen what he means by ‘localised’? There is a lot of concern amongst farmers and growers as to what this new Government actually means for the primary sector. Restructuring MPI for no good reason is nothing more than a pointless and costly rebranding exercise. What’s more, it robs $17 million of important money from research and development in the Primary Sector to pay for this unsettling exercise on staff that won’t make any difference in performance. It’s clear the Primary Growth Partnership Research and Development fund is not a priority for Government because they also have a big review underway. This is just the tip of the iceberg for farmers and growers with further costs coming such as animal emissions being brought into the ETS, despite no world leading mitigation research to suggest a tax will solve the problem. And more difficulties coming for employers with a crackdown on migrant workers, and hard hitting changes to industrial relations that will provide more power to the unions, and winding back the three month trial period. Another issue to be wary of is the recent detection of Mycoplasma Bovis cattle disease, now in Hawkes Bay and Southland. It’s a serious matter and is really difficult for those who have already been affected by it. Damien O’Connor will need to show leadership and open the Government cheque book to contain and eradicate it. Watch this space. I wish you all a happy new year and best wishes for 2018.
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FARMING NEWS
CANTERBURY FARMING
January 2018
7
Study: Dairy not all about milking it A Lincoln University pilot study is backing the importance of environmental and social responsibility, as well as the bottom line, to dairy farmers.
❚ by Kent Caddick The study, ‘What really drives dairy production systems: economic rationale or social and environmental responsibility?’ surveyed owners, share milkers and managers, to format a questionnaire for much larger sample of interviews with farmers, due to take place in January. Co-author, Professor of Farm Management Alison Bailey, who teaches primary industry systems in the Bachelor of Commerce (Agriculture) degree, says seeing themselves as ‘guardians of their land’ and adopting environmentally friendly ways of farming is a key component of the farmers’ personal convictions. “All the study subjects recognised social and environmental responsibilities as key areas that have to be integrated into their objectives and decision making,” Bailey says. “However, profitability and financial performance remains the basis of their system and their first objective. “In the context of changing internal and external pressures on agriculture it is important to determine whether the economic, social and environmental dimensions of sustainability can be integrated successfully at the farm level. “Having this knowledge is critical if we are to more fully understand the social and environmental consequences of changes in agricultural management.” Professor Bailey says. She says one of the farmers’ objectives was to leave the land in a better shape than when they took it on themselves so that the next generation could also benefit from it as a productive resource. “It was generally agreed amongst all respondents that, in the long term, equal im-
Key role: a Lincoln university study shows most dairy farmers see themselves as guardians of the land. portance should be given to all three areas, financial, social and environmental. “Most of them also mentioned sustainability concerns as one of their main objectives, and they wanted a system that is productive in the long term, resilient and environmentally friendly.”
Key findings The farmers interviewed were all reasonably optimistic about milk pay-out after a number of difficult years and consider their business as financially stable and secure. However, the majority also had other sources of income, for example, investment in rental properties and partners working off-farm. Social responsibility is seen as a key factor to success. Three main areas emerged as the areas of importance. Their own worklife balance and social interactions, responsibilities to their employees in terms of their work-life balance and integration into the rural community. All of the respondents saw animal health and welfare as important priorities. For some, their reason for being a farmer was their “passion for animals”, for others they saw their role in looking after their livestock
as an important objective and factor in decision making, such that any changes they planned to make to the business should benefit their livestock. All of the respondents have also taken measures to manage their nutrient application, not only for environmental reasons but also because it represents a significant expense item. Different techniques to also increase water use efficiency are being implemented including precision and variable rate application.
They are aware of the impact of their practices on the environment and understand the necessity for regulation, but feel better coordination between policy makers and farmers would be beneficial for reducing environmental impact further. They also recognise the lack of understanding between rural and urban populations and are frustrated by the criticism they face. They would like to see better communication achieved in terms of promoting what they do positively for the environment.
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Investment markets update
andrew Wyllie Developed market momentum driving global growth ❚ with ❚ Forsyth Barr
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The hard charging bull market in equities is being supported by an ongoing recovery in the global economy. This recovery is being led by developed economies, in particular the United States (US) and Euro area, while China’s growth rate is starting to slow. The US economy is accelerating away at the moment, with Quarter 3 GDP revised higher to +3.3%, while Quarter 4 is tracking towards +3.4% year-on-year growth. A tightening labour market has been a key driver of the consumption-led growth in the US, with strengthening domestic activity reflected in record high levels for the trucking and rail indices in recent months. Both online and bricks-and-mortar retailers seem confident for strong holiday season sales, which has boosted inventories and manufacturing. Across the Atlantic, Germany continues to lead the Euro area’s growth higher with the business confidence IFO survey hitting record highs in November. While China continues to make the largest individual contribution to global GDP, its growth rate is slowing as credit restric-
ell. He also inferred further hikes would be required next year and that at the same time the US Federal Reserve balance sheet would reduce in size. Other major Central Banks have also started raising rates, including the Bank of Canada and Bank of England. The People’s Bank of China has been tightening credit conditions, in an effort to slow credit growth. In contrast, the Reserve Bank of New Zealand and the Reserve Bank of Australia should keep overnight cash rates unchanged for the foreseeable future. This would make Australasian currencies less compelling investments for global investors. In terms of longer-term rates, New Zealand tends to follow international markets. Reducing the size of the US federal balance sheet, as well as the repatriation of cash surpluses held by multi-nationals there, would tend to increase longer-term interest rates. The still growing Bank of Japan and European Central Bank balance sheets (until mid-2019), coupled with higher short-term rates, should however act to moderate any increases.
tions star t to have an impact in the proper ty sector. Equity advance broad-based The rise in equity markets in 2017 has been supported by solid fundamentals. Over 70% of the S&P 500 companies have had positive earnings revisions, with analysts revising revenue estimates for both 2018 and 2019 higher. Analysts now expect revenue growth of +6.1% for Fiscal Year 2017, with +5.4% and +5.0% in 2018 and 2019 respectively. As a result, the S&P 500’s forward revenues continue to set new record highs. The strongest performing sector in the US so far in 2017 has been Information Technology, followed by Healthcare and Materials. Consumer Discretionary has performed well while Utilities and Financials have also contributed solid performances. The sector laggards this year have been Energy and Telecom Services. Rising global interest rates will weigh on the New Zealand dollar The US Federal Reserve is continuing to gradually normalise monetary policy. The likely increase in the Federal Funds Rate in December has been indicated by the Federal Reserve Chair nominee, Jay Pow-
CANTERBURY FARMING
RURAL PROFESSIONALS
Bessie Paterson LLB ❚ with ❚ Ronald W Angland & Son
9
Another year ends and a new year begins
With 2017 at an end, it is an opportune time to take stock of the year in retrospect and look forward to making resolutions to attend to the many tasks which have been neglected over the past year. Money laundering has been part of the criminal folklore for ages. People who make monetary gains from the sale of stolen goods, drugs and other illegal processes often have large sums of money in their possession, which are the proceeds of the crimes they have committed. To get those funds into circulation, without having the Police, IRD or other government agency asking awkward questions about the source of those funds, they need to pass it through a process to give it the appearance of legitimacy. A similar process is used by people and financiers of terrorism. In order to ensure New Zealand is a safe place to do business the government has implemented the Anti-Money Laundering and Countering Financing of Terrorism Act. This legislation places obligations on all financial businesses, casinos and other organisations dealing with monetar y deposits to take action to ensure that they are ensuring that the funds which they deal with are not the proceeds of crime or to be used for
‘
your lawyers are not being nosy, but are carrying out their obligations.
financing of terrorism. The legislation will affect lawyers from 1st July 2018. From that date lawyers are required to make checks before embarking on new work for their clients. This is so even if the clients are already known to the lawyer. Clients will be required to produce their drivers’ licence or birth certificate of other suitable identifying document. They will also have to produce a document such as a bank statement showing evidence of their current address.
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Where a lawyer is consulted about a trust This article has been prepared by Bessie Paterson, or company there will be questions about a Partner at ronald W angland & Son, Solicitors, 2 the other people involved in the trust or Chapman Street, Leeston. company. Lawyers will also have to ask more searching questions about the sources of funds which clients produce for their transactions and they will not be permitted to turn a blind eye LAWYERS or simply not know about the sources of funds. If you should be asked these questions by your lawyer on or after 1st July 2018, you can rest assured that they are not being nosy, but are carr ying out Leeston (03) 324 3033 their obligations under the Email: lawyers@anglands.co.nz | www.anglands.co.nz Anti-Money Laundering and Solicitors of Selwyn since 1965 Countering Finance of Terrorism Act.
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10
January 2018
CANTERBURY FARMING
FARMING NEWS
Industry recognition at Ecotain event Around 150 industry stakeholders, seed retailers and farmers attended an on-farm event to hear the latest research findings on Ecotain, a plantain cultivar that research has found acts environmentally to significantly reduce nitrogen leaching.
❚ by Kent Caddick Representatives from seed retailers Fonterra FarmSource, PGG Wrightson, Farmlands, dairy supplier Synlait, and other industry representatives gathered at Marshdale Farm in Oxford, Canterbury last month to hear about the science and practical application of Ecotain from researchers at Agricom, Plant & Food Research, and Lincoln and Massey universities. At the event, Massey University’s Professor Peter Kemp presented his team’s preliminary findings on the farm-scale impact of Ecotain, saying their findings so far show a minimum reduction of nitrate leaching from the urine patch of 30% cent from pastures containing Ecotain. Kemp and his team are part way through a two-year trial measuring the nitrate reducing capabilities of Ecotain on 60 dairy cows grazing three different paddock types: ryegrass/ clover, Ecotain/clover, and Ecotain. Kemp says the 30% figure is achieved through the dilution of nitrogen in the urine as a result of Ecotain’s bioactive compounds creating a diuretic effect in livestock. “If you then add to that the additional nitrogen-reducing capabilities of Ecotain, you would likely get an increased reduction in nitrate leaching, with some of the lysimeter studies from Lincoln University having shown a reduction in leaching from the urine patch by as much as 89%,” he says. Agricom’s product development specialist Allister Moorhead says plantain has been used in pasture in New Zealand for many years, with widespread uptake by farmers from about 2010. It became favoured for its high summer yield and cool season activity. Officially deemed a grazing herb, plantain began life as a common flat weed (Planta-
A new way: agricom scientist Dr Glenn Judson leads a practical session at the Ecotain information event in Oxford.
‘
Ecotain breaks down quickly in the gut, so animals can eat more of it.
go lanceloata), which Agricom bred and commercialised into a successful cultivar. The resulting plantain, Ecotain, works environmentally to decrease nitrogen leaching from the urine patch. Moorhead says Ecotain can be used in pasture in a number of ways, in either a pure sward or in a mixed pasture system. “Ecotain works well in a special purpose crop, where Ecotain, and often clover, are the only seeds sown, and in a grass/clover/Ecotain mix. “Ecotain is highly complementary in a mixed pasture system, providing a good balance of seasonal production and summer
quality, as well as being a good source of micronutrients such as copper and selenium.” Agricom science lead Dr Glenn Judson says Ecotain is easy for animals to graze due to its upright growth and broad leaves. “We’re seeing in our experiments that animals are eating more Ecotain than, for example, grass, throughout the day because it’s very easy to graze,” Judson says. “Ecotain also breaks down quickly in the gut, so animals can eat more of it.” A full farm systems trial at Lincoln University is currently measuring the effectiveness of Ecotain across 100 cows in a variety of pasture mixes. The trial started in spring
Dr Glenn Judson Agricom
2017 and early data is expected late 2018. Canterbury dairy farmer Alex Mowat, who farms 700 dairy cows in Hinds, says Ecotain is a positive step for farmers. “It’s encouraging to see the amount of effort being made by industry to mitigate the negative environmental effects of nitrogen leaching. As new technology like this starts to become available, and is proven to work, I think we’ll see more farmers jump on board.”
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FARMING NEWS
CANTERBURY FARMING
January 2018
11
Farmers’ still satisfied with banks The level of investment required in modern dairy farming is underlined in the latest Federated Farmers Banking Survey, with the size of mortgages and the number of dairy farms with overdrafts increasing.
❚ by Kent Caddick Across dairy and non-dairy sectors, three quarters of the 480 farmers who responded to the survey said they felt under the same pressure from their banks as six months ago. Eight per cent said they felt under more pressure and just under 10 per cent were feeling less pressure. The twice-a-year Federated Farmers Banking Survey started in 2015. Research First conducted the November 2017 survey and results show farmers’ overall satisfaction with their banks remains strong and stable, with an average 81% satisfied or very satisfied. Federated Farmers vice-president Andrew Hoggard says it was a positive that levels of bank satisfaction among sharemilkers had improved to be close to the industry average, as sharemilkers do represent the next generation. “Some sharemilkers had been under quite a bit of financial pressure in the recent past but a shout out to them for working hard to get good financial processes in place. It’s great to see they have such high levels of budgeting. “As usual though, farming isn’t plain sailing. With particularly dry conditions quite early on in the summer, it’s going to be important that if conditions get worse farmers are making pro-active decisions on the financial implications, and keeping accountants and bank managers in the loop.” New Zealand Bankers’ Association chief executive Karen Scott-Howman says she was pleased that overall bank satisfaction among farmers remains consistently strong.
Steady as she goes: Federated Farmers vicepresident andrew Hoggard says only a small minority of farmers feel they have come under undue pressure over the past six months.
“It shows that banks are continuing to work closely with their agri clients. That’s not surprising given the high level of bank support for the agri sector,” she says. “Constructive relationships are essential in helping to deliver good results for both farmers and their banks.” The survey found that currently around 60% of farms have an up-to-date, detailed budget for the current season. This proportion is particularly high for sharemilkers, at 90%, with non-dairy farmers somewhat less likely to have budgets. “Although currently low, we expect the proportion of farmers to have budgets for next season to increase as the season progresses,” Andrew Hoggard says. He says it is encouraging that only a small
minority of farmers feel they have come under undue pressure over the past six months and it’s also encouraging that this proportion (currently 8% has been easing back over the past 12 months. Four of five respondents to the survey have a mortgage, with the average across all farms increasing slightly since May from $3.1m to $3.2m. Dairy farms (89.7%) and sharemilkers (97%) are more likely to have mortgages than non-dairy farms (71.8%). Mortgage interest rates have been stable
(average 5.2%) and no respondent was paying more than 10%mortgage interest, which is the first time since the survey began in May 2015. Farming is a very seasonal business, with revenue often volatile. Just on 85% of farms have overdrafts, at an average limit of $192,000. Overdraft interest rates are declining slowly, and the proportion of farmers paying over 10% interest has decreased from 14.8% in May 2015 down to 3.7% in November 2017.
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12
January 2018
CANTERBURY FARMING
Dr Vera Power ❚ with Fertiliser Association Chief Executive ❚
❚ with rob Cope-Williams
Mycoplasma raises The changing face more questions of NMACP Spread of the Mycoplasma through several more farms including an outbreak in the North Island has raised a lot of unanswered questions and fired up the rumour mill. How has it spread to at least 13 farms when there are supposed to be strict transport rules in place? How did it arrive in New Zealand, was it in untested semen, and if so how did it get through the borders without being tested? Why are MPI withholding the names and actual locations from other farmers when the only hint of MPI activity is people in white overalls killing stock? Will there be any charges laid or compensation sought for the obvious expenses that MPI have had to face? Sadly these questions aren’t being answered, but then again they probably aren’t being asked in the right corners either. In the meantime rumours are flying around like straw in a nor’west wind. A check on google says it’s a bacterial disease that is wide spread around the world and doesn’t affect humans, but causes major symptoms in cattle. The fact that it spreads from animal to animal through close contact and can be carried by animals that aren’t showing any sign
of the disease makes it very easy to spread. Thankfully it isn’t windborne, however it can be spread by the use of contaminated equipment so AI technicians will be under the microscope as will anyone selling untreated milk for calves. I’m a great fan of MPI and those who work very hard to keep our industry on a strong footing, and I know that they are there to help and not be a Police force, but I do wish they would be a little bit more open about what is happening and what is being done. There are probably good reasons for their silence, but I think you will agree we would prefer to be told why there is so much secrecy surrounding the outbreaks. It is common knowledge that speculation is very dangerous and always negative. The Dairy industry seriously doesn’t need another kick in its tender regions, the fact that thousands of valuable cattle have already been slaughtered in an attempt to control the spread is bad, but not knowing who has affected animals has put the while industry on edge.
As we celebrate our 200th Certified Nutrient Management Adviser, we reflect on the way the Nutrient Management Adviser Certification Programme (NMACP) has continued to grow and evolve since it first began back in 2013. In the early days of the scheme, certified advisers were initially from the fertiliser companies but we’re now finding that they’re coming from a much broader range of organisations as well as independent consultants. We have people from councils, sector groups, farm consultancies, and professional services firms, all certified or working towards certification. This means that people from a wide range of organisations now have a common set of knowledge around nutrient management best practice. The delivery of nutrient management advice that is consistently of the highest quality is critical to the success of NMACP. To ensure the programme’s credibility we have recently expanded our auditing process. This means that nutrient management reports prepared by certified advisers will now be externally audited both
at the application stage and annually as part of ongoing professional development to ensure they are meeting the expected quality standards. In another example of the changing face of NMACP, a new greenhouse gas certification programme is being developed, with financial support from Dairy NZ. This builds on the Massey University course on Greenhouse Gas Emissions and Management. Certified Nutrient Management Advisers will be able to complete this course to additionally become certified greenhouse gas advisers. It will expose advisers to the latest in greenhouse gas mitigation policy, management and research for pastoral and arable farming. For more on the Fertiliser association visit www.fertiliser.org.nz
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FARMING NEWS
CANTERBURY FARMING
January 2018
13
New kitchen for Westland Milk Synlait Milk says it can now make twice the amount of infant formula powder with the opening of its new Wetmix kitchen.
❚ by Kent Caddick Synlait Milk opened its new Wetmix kitchen and says the hew development will enable it to simultaneously run both large-scale infant formula spray dryers. Synlait’s managing director and CEO John Penno says the new kitchen will double the amount of infant formula powder which can be produced at the Dunsandel site, from 40,000 metric tonnes (MT) to 80,000 MT per year. “We were at the point where our current Wetmix facility was at capacity, and our consumer demand was continuing to grow,” Penno says. “Building this new Wetmix kitchen will relieve that pressure.” Synlait has invested $37 million in the new Wetmix kitchen, which is at the core of the production process. The project has been in planning since December 2015 and contractors began work on site in February 2017. At times there were up to 125 contractors on site per day, but the construction of the Wetmix kitchen did not disrupt the activities of other areas on site. “We’re really happy with how the build went,” Penno says. “it was a smooth process which was completed on time and within budget, without the need to alter our day-to-day operations.” Designed with staff in mind, some manual
New kitchen: The Wetmix building in front of the dryer at Synlait’s Dunsandel site.
‘
It was a smooth process which was completed on time and within budget. John Penno
steps, such as lifting and tipping large bags of ingredients, have been reduced with the help of automation. Penno says this creates a safer environment and provides operational efficiencies.
“It was really important for us to make this new facility as user-friendly as possible. We want our employees to be safe at work, and to work under the best possible conditions.”
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14
January 2018
CANTERBURY FARMING
Canterbury farmers asked to report sightings of yellow Saffron Thistle
Canterbury farmers are being encouraged to look out for and report sightings of the yellow flowering thistle, Saffron Thistle (Carthamus lanatus) to Environment Canterbury.
T
he Biosecurity team at Environment Canterbury is working with the farming industry to eliminate Saffron Thistle from the region. Saffron Thistle competes with pastures species forming large dense stands and, when it gets established, can reduce stock carrying capacity, which in turn impacts production. Its sharp spines can cause injuries to the eyes and mouths of stock and get stuck in wool. ECan’s Resource Management Principal Biosecurity Advisor Laurence Smith says anyone who suspects they have Saffron Thistle should let us know as soon as possible. “It will be flowering and easily identifiable with its yellow flowers from December to April,” Smith says. “We want to eliminate it to protect their property, as well as to protect the rest of the region, which is at risk of it spreading further afield.” Saffron Thistle is currently only known in a few localised areas of Canterbury and Smith says this gives the region a good opportunity to eliminate it before it becomes established and widespread like scotch and nodding thistles. “Biosecurity staff have been monitoring and controlling all known Saffron Thistle sites in our region since the 1970s. Last season, we controlled around 22,000 plants over 23 known properties in the region,” Smith says. “We need to do more searching to make
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sure we are aware of all sites and landowners and the public are an important part of finding new sites. “With 14 biosecurity staff and 45,346 sq km of land in Canterbury to cover, every extra set of eyes that report suspected pests, helps to protect our region’s economy and biodiversity.” Saffron Thistle is identified by its yellow flowers with purplish veins (most other thistle species have pink/purple flowers). It flowers from December to April, growing up to 1m tall. The leaves are glossy, dark green, with sharp-tipped spines, and grow out from a centre point to form a rosette. From late spring to early summer, a single stem grows from this rosette. Over time, the rosette leaves disappear and the stem divides into many branches with flowers. Seeds germinate in autumn. Saffron Thistle spreads via stock, soil contaminated machinery and footwear, and contaminated feed. Its seed is heavy, so it mostly drops close to the parent plant, however the whole plant can also break off at the base and be blown for long distances. Seed remains dormant in the soil for at least eight years, and seed buried more than 10mm deep may remain dormant until cultivation, or other soil disturbances, bring it to the surface. report sightings of Saffron Thistle to Environment Canterbury by calling 0800 324 636 or send them a message at ecan.govt.nz/contact
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CANTERBURY FARMING January 2018
Choosing the right tractor Buying a tractor, whether it’s new or used, is a big investment for a farmer or lifestyle block owner in terms of what you’ll pay to buy it or what you’ll spend on maintaining it.
❚❚by Kent Caddick There are a huge range of options when you’re contemplating a tractor for the farm or lifestyle block, options that will be influenced by individual circumstances. If you have little experience with tractors, it’s easy to get confused. The most important thing is to think the purchase through before rushing in and buying. Buying new offers peace of mind. Expect a manufacturer to offer a 24-month basic warranty, some even go as far as a 36-month powertrain warranty (engine, transmission, differentials and axle ssemblies) on new tractors. The number of hours on the warranty will be irrelevant for most lifestyle block owners as they’re unlikely to clock up more than a few hundred hours before the first two years is up, unlike farmers. The variety of used tractors is huge - ranging from low hours/nearly new through to vintage or classic models. Get someone with experience to check out any used tractor before you buy it. Of course there is the option of not buying one at all and either getting a contractor in or hiring when the machinery is needed. Not all tractors are suitable for every property and safety has to be the number one consideration.
Get it right: Choosing a tractor will be influenced by individual circumstances. Photo courtesy Drummond & Etheridge
Choosing the right machine to start with is the key, but it keeping well maintained also plays a huge part in staying safe. Don’t forget that the cost of owning a tractor is more than just the purchase price. Running costs include fuel, oils, repairs and scheduled maintenance. Remember to factor in depreciation and insurance, and finance costs (or the loss of opportunity having cash tied up in machinery). Once you’ve bought it – look after it. Taking care of your tractor extends its working life and will ensure a higher resale value if you ever decide to part with it.
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January 2018
CANTERBURY FARMING
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CANTERBURY FARMING
January 2018
17
Electric bike a portable power supply Two wheels, two motors, no gas, no noise. The Ubco 2x2 will redefine how you ride, work and play, both on and off road.
All terrain and all performance, you’ll say goodbye to the limitations of your environment, and experience the ease of on- to offroad travel. With its lightweight frame and powerful, near silent motors, the Ubco 2x2 gives you complete control for all your adventures, and is just as capable cruising through the city as it is zipping down your favourite bush track. Whether you’re getting the cows in or commuting to work, the Ubco 2x2 is ready to take on whatever you throw at it. The 48Ah Lithium-Ion Portage Battery System not only fuels the vehicle, it powers all your tools from your phone to your drill (at the same time). Cart your gear from job to job across the farm with ease and adapt the 2x2 as you need it with clever accessory lugs located across the frame. The dual electric drive is smooth, ultra-quiet and low maintenance. It can go through trenches, up hills and over asphalt without a second thought. And all of this with a running cost of under $1 per 120km.
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18
January 2018 CANTERBURY FARMING
Safety concerns prompt quad ban Recent quad bike accidents causing serious injuries and expensive helicopter evacuations reinforce the need for a prohibition on the use of quad bikes by primary industries services company OSPRI.
❚❚by Kent Caddick From the first day of 2018, OSPRI contractors engaged in TBfree programme pest control and animal health testing work will be opting for less dangerous forms of transport, as they will not be permitted to operate or ride on a quad bike. “We want our workers to go home safely every day, and our focus is on reducing the potential for death or serious injury,” says OSPRI chief executive Michelle Edge. Quad bikes were involved in over a quarter of all work-related farm deaths in recent years, with five quad deaths in 2016. Earlier this year an OSPRI worker was killed in a quad bike accident while working on a farm. “For us, that’s one too many,” Ms Edge says. “We had a long-term harm-reduction strategy in place that was recognised as industry-leading, and our measures indicated that quad-bike incidents and fleet had been steadily decreasing. “Yet we were not able to change the fundamental design of the quad, monitor its use, or provide adequate protection for our worker following an accidental loss of control.” In its work to eradicate TB from New Zealand’s wildlife and farmed animals, OSPRI manages possum control and pest management work over 5.5 million hectares of New Zealand each year, undertakes almost 3.5
Quad bike ban: OSPRI contractors are encouraged to consider safer alternatives to quad bikes, which have been banned from 1 January.
million TB tests and has eradicated TB from possums across 1.83 million hectares since 2011. OSPRI Health and Safety lead James Knapp says each year our people spend more than 300,000 hours in the field, often in remote and difficult terrain. “Getting that work done safely and effi-
ciently is important to us, so providing for an informed decision was a major undertaking,” Knapp says. He says OSPRI engaged service providers, reviewed all available research and worked in a consultative process to introduce these changes and enable time for those affected to adapt.
“We recognise the usefulness of quad bikes, and understand the risk involved in change with any vehicle. “But opting for safer alternatives to quad bikes was the only way to minimise this risk.” OSPRI manages the NAIT and TBfree programmes.
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CANTERBURY FARMING
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Tackling the tough jobs The RZ Multidisc Cultivator is a high speed minimum tillage cultivator. Suitable for stubble incorporation, mixing and pasture renovation, the RZ Multidisc cultivators are the ultimate high speed fuel saving cultivator. The RZ TXL560-4.5m multi disc cultivator is a heavy duty multi disc cultivator for all cropping applications and secondary cultivation and suited for tractors from 150Hp to 350Hp.
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January 2018
CANTERBURY FARMING
Milk sales from the farm gate growing
❚ by Mike Isle
One of the oldest farming practices in the world is getting fresh impetus in the hands of young farmers. Mark Williams is a raw kind of guy. That’s the way he likes it. The Aylesbury dairy farmer, his wife Kelsey and children Reeve, 13, and Addison, 10, are managing a burgeoning business, Aylesbury Creamery, selling raw milk from the farm gate. They have about 30 regular customers each day, and that is mostly from word of mouth. Next year the family plans to test daily home deliveries, starting with Rolleston. The market for raw milk is definitely growing Mark believes, and his sales are showing that. “I think New Zealanders are going back to natural things these days. In fact, they are passionate about it,” he said. “They like to know what is in what they eat and drink, and more importantly what is not in it.” To keep up with demand, Mark and Kelsey milk 13 heifers a day, once a day. That’s up from 10 heifers when they started their raw milk business a year ago, and there are plans to further increase the herd. The Williams family farm 160 hectares in Aylesbury. In most respects, it is a conventional dairy farm. They milk their main herd of 450 cows twice a day and that milk goes to the factory in Darfield for processing. But it is the raw milk that sets the farm
Family fun: The Williams family with annabelle the cow. From left: Mark, Kelsey, addison and reeve. apart. There are only 20 farms in New Zealand authorised by the Ministry of Primary Industries (MPI) to sell it. Mark and Kelsey own one of them and in October 2016 they turned it into a stand-
alone business, marketing their milk under the Aylesbury Creamery brand and starting a Facebook page to promote it. But it is not an easy process. Far from it, as Mark explained: “We keep our 13 heifers
separate from the rest of the herd and we milk them only once a day so that the milk we sell at the gate is fresh daily and also much creamier.
TO PAGE 21
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January 2018
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Plans for raw milk home delivery trial this year
‘
I think new Zealanders are going back to natural things these days. Mark Williams
Self help: There is a convenient automatic dispenser for gate sales.
Aylesbury Creamery manager
FROM PAGE 20 “Our team are a great bunch and are very skilled at milk harvesting. Rory, Casey and Jeanette are scrupulous about hygiene and this means we can be confident in producing a very high quality product. “Because raw milk isn’t pasteurised, it misses out on the process that would normally kill harmful bacteria. That’s why hygiene is so important at the milking stage. “Every morning, before milking we wash the cows’ teats, udders and legs as well as our own hands and arms being covered with protective gloves and sleeves. And we are constantly recording the temperature of the milk. “We need to get it down to six degrees immediately, then down to and maintained at 3 degrees in the purpose-built dispensing machine.” Samples of the raw milk are also sent away for testing weekly. “If that testing detects anything out of the ordinary, we stop production immediately,” Mark said. But that is yet to happen. In fact, according to Mark, the biggest risk involved with raw milk is when it leaves his farm. “The risk is that people don’t chill the milk on their way home. If it is not kept chilled it or
is left on the bench for periods of time it can go off very quickly.” Mark tries to help. He or Kelsey will explain what is required. They stress that the reusable glass bottles customers bring to have filled must be thoroughly clean. They have even developed Aylesbury Creamery branded chiller bags which are sold with the milk and are reusable. Mark won’t be drawn on the health properties of raw milk. All he will say is that his growing customer base likes it and some say they feel better for drinking it. He will say, however, that the stricter hygiene practices, required by the MPI, Mark uses for his raw milk production has carried over to his conventional milking. Summing up, Mark believes the move to
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raw milk has been successful — and that goes for all the family. “I think what Kelsey, the kids and I have here is pretty close to the ideal for us. We have the best of both worlds. We have conventional farming, which is sustainable, and we have the opportunity to branch out into this more natural world and meet a growing demand for high quality natural products, produced sustainably.” Mark and Kelsey plan to test home deliveries of raw milk to Rolleston early in 2018. If successful, they will extend daily deliveries to include West Melton, Darfield and Kirwee. Details will be posted on the farm’s Facebook page: Aylesbury Creamery. In the meantime, farm gate sales will continue at 862 Aylesbury Road.
Sustainable: reusable chiller bags are sold with the milk to keep it at the correct temperature. Story reproduced courtesy of The record www.therecord.co.nz
22
January 2018
CANTERBURY FARMING
CANTERBURY FARMING
January 2018
23
Lifestyle block: pleasure or profit?
rob Lane ❚ by ❚ Partner at Pitt & Moore
Buying a lifestyle block conjures up romantic visions of being able to enjoy country living without the financial and time commitments of a working farm. However, it can pay to do some hard thinking before you purchase that lifestyle block you’ve fallen in love with. It’s all about what you really want for your future. Should you run your lifestyle block as a ‘hobby farm’ or business and should you register for GST? Care needs to be taken in resolving these issues particularly if the block or your intended use of it is marginal from a business perspective. The seller of the block you are considering may or may not be registered for GST. Either way choosing to become GST registered can seem a great way to save paying the GST or getting a fast cash injection through a refund, but the reality of the GST and Income Tax Acts is that you will most likely need to be a business to do that. The criteria for a business under the Tax Act and for GST registration are different. The definition of a business can be tricky in this instance. There is no ‘bright line’ test about how the lifestyle property or your use of it might measure up. You will need to make your intent clear from the start and operate the
Fine print: Before signing that contract for your dream Lifestyle Block consider the tax implications.
property as a business with the express purpose of making money. You can’t simply use the property expenses to off-set your wages and salary or other earnings. Don’t underestimate how long you can spend complying with Inland Revenue requirements. You need to keep proper records, distinguish private from business expenses and calculate and return GST. It all takes time and effort. Also, the other side of the GST coin is that if you sell, you will need to either pay GST on the sale price of the farm component or
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January 2018
CANTERBURY FARMING
Tooling up on the Lifestyle block The machinery and equipment you will need or want on a lifestyle block is directly related to the jobs you are likely to need it for. Here is a basic list of some the jobs you are likely to carry out on your lifestyle block and the tools needed to help.
❚ by Kent Caddick
• Saw: A small chainsaw is best. It is easy to carry around and can be used to either clear scrub out of the way or cut the tops off posts and shape stays. • Wire tensioner: This is a kind of lever which has pieces that slot onto the sides of a wire tightener that stays permanently in the fence once the wire is tightened on it. • Chisel: Between 38 and 5Omm wide.
Fencing Even a well set up property will require fencing maintenance from wear and tear or stock and vehicle damage. You will probably find there are always new fencing projects coming up too as you develop your block. Having the right tools for this job makes the difference between completing the job with or without tears. Here is what you need: • Hammer with claw head: Treat yourself to a nice well balanced one. • Fencing pliers: What you can’t do with these is not worth talking about. They cut and tie wire knock in staples and then pull them out and much more. • Spade: The best type for fencing is the trenching spade. It has a narrow blade so can fit down a post hole. Get a good and heavy one. • Posthole borer: Type depends on your soil. A mechanical one for a tractor is excellent in free soil but hard work in puggy clay, and dangerous if there are
Shelter trimming
Tools on the block: To trim that shelter belt, choose a chainsaw to suit the size of timber you are likely to be cutting and the weight that you can handle comfortably. likely to be tree roots around. A simple hand borer with an almost flat face is excellent in clay. • Spinning jenny: This holds wire and unwinds it as you pull. It can be an elaborate collapsible job, such as
those the stock firms sell, or you can make a simple one yourself. • Rammer: This is probably the secret of a good solid fence. The best will be the heaviest with the smallest ramming head. The handle should be solid steel, then it can double as a crowbar.
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Ideally you will have plenty of trees and hedges for shelter. If so, there will always be some maintenance to do. If you have specific shelter belt species and hedges you will need them trimming regularly by a contractor, it is unlikely that you would invest in a trimmer yourself. However you will have to deal with trimming overhanging branches and fallen trees. Here is what you need: • Chain saw: A petrol driven machine of a size you can cope with. They come in various sized chains, choose one to suit the size of timber you are likely to be cutting and the weight that you can handle comfortably. • Large bow saw: You will be able to do a lot of small jobs with one of these.
TO PAGE 25
CANTERBURY FARMING
January 2018
25
On the block: the right tools for the job FROM PAGE 24
Water system repairs Fortunately modern water systems are very easy to maintenance and repair as they are made out of alkathene, which is easy to cut and join. If you are in an area that does not get many frosts, there is no need to lag the pipe to protect it from freezing and bursting. Because of this, you will need very little in the way of tools for your water system. Here are a couple of essentials: • Sharp knife: You will need something for cutting pipe • Two adjustable crescent spanners: The size depends on your water system for tightening joins and joints.
Conditioning paddocks On small blocks it is often necessary to harrow and or top (cut) paddocks to keep them in good condition free of dung piles and rank grass. Weeds, such as thistles, ragwort and docks will need dealing with from spring to autumn. • Harrows: These are used to spread manure over a paddock to return it to grazing condition evenly. There are various different designs, but they are basically a linked, uneven metal device pulled behind a vehicle. They last forever so tend to be bought second hand, though agricultural engineers will make a set for you if you are unable to locate a set.
• Topper: If the grazing regime you have leaves you with rank, untidy paddocks at some times of the year, then cutting the longer grass will improve the paddock markedly. If you have a tractor, you will probably be able to hire a topper. On a small block it is probably uneconomic to purchase one unless find a cheap one and are mechanically minded. • Sprayers and de-weeders: Weeds will need spot or area spraying. If the area is not too large, a backpack sprayer will do the job. You can buy small boom sprayers for the back of 4 wheel farm bikes if you are a keen sprayer, or larger ones for tractors. For individual weeks such as Ragwort, a ‘wand’ filled with herbicide is a cheap piece of equipment. It can often be as easy to completely remove the weed though with a small spade.
Feeding out In winter and dr y summers you will need some way of getting the hay to the animals. It is possible to bring the animals to the feed of course with small numbers, but even on a small block you will want to move the feeding area regularly to avoid pugging or spoiling one area. • Flat bed trailer: Only a small one is usually required on a lifestyle block, towed behind a vehicle. • Carry-all tray: This is a hydraulically lifted carrier for a tractor.
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Weed control: If the area is not too large, a backpack sprayer will do the job.
Animal health For most animal health application, you will need to be able to use or have adequate animal handling facilities with a narrow race to hold animals still, if not a head bale for complete immobility for the trickier jobs. Some of the items you are likely to use are: • Drenching gun: You will need one that will hold a minimum of 100mls for cattle. There are some nice, easy to clean guns on the market and handy for worming drenches to administering mineral supplements. • Ear taggers: You will need to ear tag animals from now on with the TB identification tags. If you have pedigree stock, you will also need the breed identification tags.
• Elastrator: This is used for applying elastic bands for castrating lambs, calves and kids and docking lambs. It is a simple hand held device that holds open a special elastic band during application. • Feet trimmers: If you have sheep or goats you will have to trim excess hoof off as required. A pair of feet trimmers is essential for the job. • Dehorning: For this operation you will either use an application of a caustic substance (bought from your agricultural merchants) when the animal is ver y young or you will need a professional to remove the horns if the animal is too old for this. Neither will require purchasing equipment.
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26
January 2018
CANTERBURY FARMING
Caring for your livestock Aside from the commercial benefits which come from large scale farming having livestock can be both a benefit and a liability for the smaller run holder or lifestyle block property owner.
❚ by Kent Caddick One of the benefits is the fresh and economic supply of consumables such as eggs, milk and meat make the idea of owning stock very attractive. From this produce a variety of home staples can be made, such as cheese and yoghurt. Animals can also provide natural fibres, such as wool, alpaca fleece and mohair from goats which can be used in clothing and home furnishings. While owning animals has a lot of benefits there are some potential pitfalls that you need to be aware of. Firstly, you are legally responsible for the animals on your property and can be held liable for neglect or mistreatment. Owning livestock is a big time commitment and does restrict your activities, such as time spent away from home. It is important to have a reliable back up person organised who can look after your animals when you can’t. Animals still need looking after even in the snow and rain, so buy some wet weather gear and be prepared to brave the elements.
Fence them in: Chickens on a lifestyle block can provide eggs and poultry but need to be housed and can attract vermin.
One cannot emphasis enough the benefits of good fencing for stock management and neighbourly relations. Keep your stock where they’re meant to be. You will also need to think of stock handling facilities for times when your animals need treatments, shearing and loading on a trailer. An area which has good shelter and housing also needs to be considered, as well as
feed storage areas. Stock attracts vermin, so how will you take care of these? Animals don’t live forever so from time to time you will need to deal with sickness and death. You will need to build some knowledge about animal health and be prepared to call in the vet if required. When deaths occur you need a plan for the disposal of the animal.
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Just like the birds and the bees animals do procreate. Ensure your animals breed only if you want them to and that you are prepared for the birth of offspring. If you are well prepared and ready to put the work in then having stock can add a lot to your lifestyle property. A little planning goes a long way.
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Horticulturalist competition boost T&G Global has extended a five-year sponsorship agreement with the Royal New Zealand Institute of Horticulture Education Trust, which runs the Young Horticulturalist of the Year competition.
❚❚by Kent Caddick
T&G says it has supported the annual competition since it started in 2005, and the growing need for more talent in the industry has led T&G to double its financial support through to 2022. T&G’s New Zealand produce executive general manager Andrew Keaney says T&G considers competitions like the Young Horticulturalist of the Year to be incredibly important. “They’re vital for developing and recognising the next generations’ skills and knowledge to ensure that as an industry, we are collectively supporting our future leaders,” Keaney says. Young Horticulturalist of the Year organiser Susan Tremain says T&G’s strengthened commitment will enable a significant step-up in gear for the competition. “Securing a five-year strategic partnership from a company of T&G’s stature is a massive vote of confidence for the growing relevance of the competition, which not only sets the bar for the industry, but horticulture’s rise as potentially the economic powerhouse of New Zealand’s future,” Tremain says. “It also sends a strong signal that the major players in our economy are committed to taking horticulture to a bigger and better future for our sector, and for the young talented Kiwis who are building that future in horticulture. “The world needs food and the planet needs it to be produced sustainably – there’s a reason we are calling horticulture ‘the new black.” Meanwhile, Keaney says the Young Horticulturalist of the Year competition also supports the growing hor ticulture industr y
Good support: Royal New Zealand Institute of Horticulture Education Trust members, from left: Leigh Cornes, Elle Anderson (Chair), Elenka Nikolof, Ben Buchanan, Andrew Keaney (T&G Global), Cathrine Ming, Tara McLeod, Susan Tremain, Inrid Ennis and Nicola Rochester. which is now wor th $8 billion. “As an advocate for over 1500 growers and 120 years’ growing experience, T&G understands the challenges our industry faces from adverse weather to finding talent,” Keaney says.
“The competition helps address the latter by supporting emerging talent across the spectrum of growing from wine to flowers and fresh food. “As a major employer, we take our role in enabling and attracting young people into
horticulture seriously. “Hopefully our increased support of the competition will further assist the growth required to ensure we reach the industry’s combined target of $10 billion in value by 2020.”
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January 2018 CANTERBURY FARMING
ADVERTISEMENT
CANTERBURY FARMING
January 2018
29
Building resilient farming systems This summer certainly got off to a hot, dry start and in all my years of farming I have never seen ground conditions go from wet to dry so quickly.
Phil Smith ❚ by Beef + Lamb New Zealand ❚ (Northern South Island) ❚ While on-one knows what climatic surprises 2018 will bring, resilient farming systems are becoming increasingly important. For many of us, 2017 saw the end of prolonged drought and we are hoping we are not about to enter another one. While we can’t do anything about the climate, we can put
management strategies in place that minimise the impact of extreme weather. Beef + Lamb New Zealand (B+LNZ) has a raft of information about these on its revamped website. The organisation is also funding research into hill country farming systems and using
plants such as legumes to drive early-season production on uncultivable hill country. Land use changes mean that sheep and beef farming is now predominately carried out in hill country. We need that country to support both breeding and finishing systems but we also need to protect that country’s biodiversity and ensure it remains productive for generations to come. Legumes tick a lot of boxes as by driving early season production, lambs can be finished and sold early, allowing the hill country to be spelled. Last year’s (2017) winners of the Marlborough Sheep and Beef Farmer of the Year, Richard and Victoria Gorman, are a great example of how legumes – lucerne and subterranean clover – can be used to drive a business. The B+LNZ environment team is support-
‘
Legumes tick a lot of boxes and are a great example of how lucerne and subterranean clover can be used to drive a business. Phil Smith
Beef + Lamb New Zealand
ing farmers as they strive to protect and enhance their soil and water resources while meeting the regulatory requirements of their respective regional councils. Farm Environment plans are required in many catchments, but irrespective of regulatory requirements, these are a valuable farm management tool. They certainly make you aware of your farm’s resources and natural features and how you can protect them. This year has seen a number of biosecurity breaches and one of particular concern to our industry is Mycoplasma bovis. The news in early December that the disease had been identified in cattle in Hastings was disappointing to say the least. This outbreak has highlighted the importance of keeping accurate and up-to-date NAIT records and ensuring you have sound farm biosecurity practices in place. For those of us affected by the “Kaikoura” earthquake over a year ago, I am pleased to say a $1.8 million Farm Land & Business Recovery support programme is now underway. This three-year, farmer-led programme aims to look at land stability and recovery within existing farm systems and help farmers find options for future land use. Funded by the Primary Industries Earthquake Recovery Fund (ERF) option for community groups, the programme has been developed with the input from affected farmers, Federated Farmers, Beef + Lamb New Zealand (B+LNZ), Hurunui District Council and Environment Canterbury (ECAN). The programme is being driven by farmer groups in Marlborough, Waiau/Kaikoura, and the Cheviot/Conway areas with representatives from each of these groups sitting on the programme’s overall governance team. Within the next few weeks farmers will have the opportunity to attend a farmer meeting and be part of project.
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30
January 2018
CANTERBURY FARMING
DAIRY
When change is inevitable
❚ with Peter Burton
Climate change, whether or not you believe that it’s our fault, seems to be an oft quoted phrase at present.
There are still those who might admit to the warming, but choose to see it as part of Earth’s long term variations, but we are, even today, entitled to our views, whatever. Even the science fraternity has taken several decades to make up their minds, and still they aren’t 100% together. So, is science still the only resource for incontrovertible facts? Many of us were brought up to think so, and from dealings with some of today’s sci-
entists, many are still convinced of their unassailable worth as being right on everything they hold dear. Or does this attitude hold true only when next week’s salary or research funding is being considered? What does a ‘non-scientist’ believe, when those who claim to be ‘right’ don’t agree among themselves? Do we weigh up the numbers professing for and against, in which case the ‘truth’ is no more than the result of a popularity con-
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test, or do we accept the view of those we know best, trusting that they tell us what they really believe, and don’t have differing public and private views? And the situation is really no different in discussions on what constitutes ‘sustainable farming’ in relation to effects on the environment. There appear to be a great number of ‘public vs private’ views between scientists, farmers and environmental ‘experts’, on what should and shouldn’t be done in future, and what the results of such actions would be. With so many options, who do we believe? There is a measure of agreement that no-one has the right to make a mess, either deliberately or from gross ignorance, when the same output or better can be achieved without a requirement for costly rehabilitation. The effects of such actions are unlikely to affect just their own business operations, but have ‘downstream’ effects on others, or on the reputation of all members. Recent study by institutions such as Landcare Research has demonstrated that current ‘conventional’ farming methods on grazed pastoral land, using regular applications of chemical fertiliser N (bag N) is causing a continued loss of carbon from soils, particularly where irrigated. This is important because as soils lose carbon they lose both moisture and nutrient holding capacity and long-term (30 year)
measures clearly show a steady decline in pasture production, a natural consequence of that loss. Carbon is also a highly effective filter, and the evidence of increasing concentrations, particularly of nitrogen in groundwater, is a clear and obvious outcome. Many have argued that applying less bag N would decrease both farm production and income, and have significantly bad effects on individuals, communities and the country as a whole. If this held true, then how to explain why the growing number of farmers, using alternative technology and grazing management have, for the last decade, been growing more feed than before, and generating higher incomes with lower costs. The measures supporting those farmers’ claim of extra growth and lessened environmental impact are becoming more robust as time goes on, with differences between those embracing fresh methods and their ‘conventional’ neighbours increasingly obvious. There is never a convenient or comfortable time to make fundamental changes to farm systems. However, the consequence of individual operators not making the move voluntarily will be more regulation and greater bureaucratic intrusion, both unwelcome developments as they create even deeper divisions within farming communities.
CANTERBURY FARMING
DAIRY
January 2018
31
Fred Hoekstra ❚ with ❚ VeeHof
Preventative hoof trimming Do you know what preventative hoof trimming is? Many farmers will do some of their own trimming during the season, and when our contractors go on farm they are often asked to explain what they are doing and why, and it is not uncommon for this to be quite different from the way that the farmer has been doing it. This raises the question of how many farmers actually understand preventative hoof trimming and what its benefits are. Preventative hoof trimming is not cutting out white line cracks and any other issues that you may find in a claw. If anything, you will probably make things worse for the cow if that is all you do. If all lameness issues are caused by physical damage then it would make sense to cut out any deformities, but the problem star ts on the inside of the claw, in the live tissue, not the outside. If the live tissue (corium) is unhealthy, then preventative hoof trim-
ming will not heal it, but proper preventative hoof trimming will reduce the stresses on that corium enabling it to heal quicker. The ideal is to have both claws on the one hoof carr ying the same amount of weight. If one claw is bigger (usually the outer one) it will carr y more weight. This, in itself, is not necessarily a problem as most cows have a bigger outer claw than the inner one, yet not all cows go lame. Most cows have laminitis as well but not all cows are lame because of that either, depending on how severe the laminitis is. A cow that has laminitis has all claws affected. If the outer claw is bigger and therefore carr ying a greater propor tion of the weight then the corium is under more stress in that claw compared to the inner claw – this is why most cows are lame on the outer claw. So, the first step that any preventative hoof trimming should entail is paring away the sole on the outer claw. This will reduce the weight and the
stress on the live tissue in that claw. If we trim a cow that has a white line issue and we open it up, exposing the corium without taking the sole down, then there is a good chance that the corium will prolapse because that claw is still carr ying too much weight. This obviously creates more problems for the cow than benefitting her. I know it sounds simple and straight for ward but it takes skill to achieve that balance. Both claws need to be level and flat, but on the other hand they are not allowed to get too thin either. That is why it takes more advanced training and time to become more proficient at hoof trimming. The ‘One Day Hoof Trimming Workshops’ are designed to familiarize all dairy staff with the 5-step process of Hoof Trimming according to the Dutch Method. Visit our website www.veehof.co.nz to see when the next workshop is running near you.
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32
January 2018
CANTERBURY FARMING
Protecting against Foodtech start-ups A New Zealand Young Farmers scholarship recipient believes FoodTech innovations, including GMO and GE products, are unlikely to create significant disruption to Kiwi farmers in the medium term, but recommends protecting against them in the longer term.
❚ by Kent Caddick
same, that is, growing meat, wool and milk using animals on pasture.” But after reading the book ‘The Rational Former Hi Tech Enviro Solutions consultant Daniel Risi was awarded the scholarship to Optimist’ by Matt Ridley, Risi began to quesstudy disruption on the dairy farm and quan- tion if New Zealand agriculture could be distify the New Zealand Agricultural Industry’s rupted to a point where tomorrow’s farming production methods are completely different resilience to disruption. The report saw Risi travel to America to what they are today. So, he asked, what where he investigated the expanding Food- would the impact of that be? “The digital camera turned Kodak from Tech sector because of his own concern for one of America’s finest blue-chip companies his family’s future in dairy farming. “I always believed agriculture was here to a shell of its former self. Could the same to stay. The way we farm may change slight- happen to a company like Fonterra?” In his report, Risi recommends Fast Movly, but the fundamentals would remain the ing Consumer Brands (FMCG) will need to target high TREE HUGGER TREE TOPPING value demographics that FoodTech disruptors are unSERVICES LTD able to cater for by using differentiation if they want to survive. • Grabs, cuts trunks up “A suggestion for proto 500mm diameter, tecting against disruption and lowers them in a involves securing a greater controlled way percentage of the high value, conscious consumer market • Can top to 8m high that is currently captured. • Minimise damage to “The products sold to buildings fences, these consumers must have garden etc strong point of differences compared to their FoodTech • Tree & hedge removal offerings.” • Free quotes Canterbury Those differences include wide using GMO and GE free to New Zealand’s advantage, as most alternative proteins Phone Peter Whyte use the technology to create 027 426 5595 their products. 03 347 4941 “Even though these (GM and GE) innovations may www.treehugga.co.nz benefit production in New
Reducing risks: Daniel risi says more value will be gained by not using GE and GMO’s in new Zealand products.
Zealand operations, they will offer greater benefits to FoodTech disruptors,” risi said. “More value will be gained by not using GE and GMO’s in New Zealand products and using ‘GE free’ as a distinction to increase value.” He said having a verifiable environmental footprint will also be an important point of difference and can be further enhanced by using Blockchain technology, which is a digital ledger in which transactions are recorded chronologically and publicly and are unable to be corrupted. “Brands will need to prove the truly unique story that they wish to tell consumers. Reliance on existing high, trust FMCG brands is
Forest Management
not enough as consumers become less loyal to established food brands and marketing alone.” Risi also recommended methods to mitigate a farmer’s wealth from disruptive technologies. These included increasing an equity position, using free cashflow to create an investment fund, purchase income protection insurance and increase the equity position on farm. “Selling the farm operation and diversifying risk by investing in variety of investments and purchasing AgTech tools are other options that to enable a flexible approach to future risks.”
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The devastating Port Hills fire last summer showed how much indiscriminate and widespread damage a rural fire can inflict. Fighting these fires is dangerous and expensive. Predictions of drier summers point to a growing hazard. The risk is greatly reduced though, if you check out the local rules for lighting a fire – ‘Before you light, check it’s alright’. At different places, at different times, there will be complete fire bans. Or, you might be able to light a fire with a permit. Or, there might be no permit necessary. You need a clear area for the fire. Make sure you can, and do, put it out before you leave. So, ‘Before you light, check it’s alright’ www.checkitsalright.nz
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CANTERBURY FARMING
allan Laurie MnZIF ❚ with ❚ Laurie Forestry Ltd For December 2017 the combination of log prices in the domestic and export segments rank as amongst the highest ever recorded. The new levels are the result of small increases in prices for December which are a consequence of a US$1 per cubic metre lift in China and a slightly more favourable currency exchange rate (US dollar v Kiwi dollar). Stumpage values, regarded as the net return to the forest owner, are also close to the highest ever recorded. The nearest comparative time in log price terms, was between June and September 1993 when the Spotted Owl crisis in the US lead to panic buying in the market. This lead to a rapid rise in log prices but the realisation the world was not going to end happened very quickly resulting in rapid decline in the following months. The key difference between 1993 and 2017 is stability. In 1993, high prices lasted about 8 weeks. The following 12 months was dominated by what has been called a crash and burn situation. In 2017 high log prices have been around for two years with little change monthly and all indicators are for more of the same. The New Zealand domestic scene continues to be dominated by high volumes, low margins and a continuum of discussions between log suppliers and sawmill owners about log price. In the North Island I see an increasing trend toward an export v domestic indexing
January 2018
33
Log prices hit record levels
to set price. I continue to see this as a dangerous mechanism. There are fundamentally different drivers to log demand in NZ versus China. In the South Island, price setting appears to be far more rational with sensible negotiations having regard to all key factors appearing to be the order of the day. Domestic demand continues to be driven by new house starts with sawmill owners reporting strong sales. Some of this was driven by pre-Christmas stock buying with most spoken to recently, expecting January to be a non-event. Right across New Zealand log supply to the local sawmills has been a hot topic. For the most part there has been a reasonably steady wood flow with less reports of shortages. This is likely to be the consequence of increased summer harvest activity. In China consumption levels have continued to exceed all expectations for this time of year. Softwood log usage across the eastern seaboard has continued 72,000 to 75,000 cubic metres per day. This is exceptional for this time of year. By month’s end total inventory was sitting at 3.6 million cubic metres. This continues to remain stable. November was a record month for the NZ Forest Industr y with log exports reaching 1.9 million cubic metres requiring a total 50 log vessels. It is little wonder then por t congestion and shor tage of labour to load the
logs has been a common thread. This higher than normal volume may yet be a problem in our near future. While China key market indicators are positive, any significant lift in inventory could upset the rickshaw and prices will fall if we are not careful. In recent weeks Western Hemlock out of Canada and US has started to drop in price signalling the market is becoming sensitive to less preferred species. Despite the trees having smaller branches and being much older and larger than Radiata pine, Hemlock cannot be peeled for plywood and is of little use for mouldings and furniture. We might therefore see a situation emerge
where traditional species in this market like 26 to 28 year old trees from New Zealand will have a higher value than a 200+ year old tree out of Canada/US. And so it is we can round out 2017 as year of strong sales and log prices across all segments, all market planets have generally been in alignment and the industry is in great shape. I extend season’s greetings and salutations to one and all and extend very best wishes for 2018. Please, please never forget, the only way forward for climate, country and the planet is to get out there and plant more trees.
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34
January 2018 CANTERBURY FARMING
LIVESTOCK
Raincliff Station visit ‘prize’ Top Korean salespeople rewarded
Top salespeople from the Korean Ginseng Corporation (KGC) recently visited Raincliff Station, South Canterbury, to see the beautiful environment where deer velvet is grown.
Trevor Walton ❚❚by Deer ❚❚ Industry NZ
Nogyong (Korean for deer velvet) from New Zealand is a key ingredient in a growing number of health food products produced by major companies in Korea. Strong buyer demand for the premium grades of velvet antler for these companies has meant a firming in prices to farmers this season. Deer Industry NZ (DINZ) Asian market manager Rhys Griffiths says prices for main crop velvet are now fully firm on prices two season ago. “This means there has been a full recovery from last year’s price dip,” Griffiths says. “Despite the dip, the value of velvet exports last season was a record. Exports have doubled over four years, from $29 million to $59 million, a trend that’s expected to continue this season.” He says Korean manufacturers of velvetbased health foods are keen to promote the New Zealand provenance of their products. “KGC is New Zealand’s closest Korean
Impressed: Top Korean velvet product sales people with South Canterbury deer farmer David Morgan and Deer Industry New Zealand’s Rhys Griffiths at Raincliff Station.
partner. Three delegations from the company visited in October and November, including for the first time, the company’s chief executive officer Park Jeong-wook.” DINZ chief executive Dan Coup met with Mr Park to exchange ideas and thank KGC for its support and promotion of the NZ velvet industry. Mr Park presented Mr Coup with the latest product in its top-selling Cheongnuksam range. “The following week, the top 20 Cheongnuksam sales representatives, along with
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senior marketing executives, came out to New Zealand. This was the third annual tour of KGC’s high performing sales staff to New Zealand and was jointly funded by DINZ,” says Griffiths. “The chance to win a trip to New Zealand creates a real buzz among the company’s retail staff in the run-up to Chuseok, this year from 3-5 October. Chuseok is Korea’s thanksgiving festival, the biggest gift-giving period in their culture.” One part of the prize is to visit a New Zealand deer farm where the top sales staff see how New Zealand velvet is produced in the world’s best environment. “Once again, Raincliff Station in South Canterbury was the farm visited. It’s in a stunning location, which is ideal for showcasing the industry. Owner Dave Morgan is also a wonderful host,” Griffiths says. The third KGC visit was a film crew that shot footage for a promotional video to support the launch of another new product based on NZ velvet. The velvet season begins in October and
runs through to late January. Griffiths says that for the early part of this season Korean buyers were making the running, with Chinese buyers relatively quiet. However by mid-December Chinese buyers were buying their preferred grades – particularly spiker and regrowth – as they started to come forward in quantity. As was reported widely in the news media, DINZ formalised its relationship with Yuhan Corporation, Korea’s largest pharmaceutical company, in November. Yuhan CEO Mr Jung Hee Lee came to New Zealand for the signing of a memorandum of understanding with DINZ, along with important agreements with AgResearch and Alpine Deer Products. Mr Lee said Yuhan aimed to successfully develop, register and market a health food product containing scientifically validated components of New Zealand deer velvet. This would be a world-first, he said. Yuhan and AgResearch scientists will be carrying out the research needed in order to make a legally valid claim that the ingredients have a health benefit.
CANTERBURY FARMING
LIVESTOCK
rob Cochrane ❚ by Procurement Manager, ❚ Wool PGG Wrightson Wool ❚
January 2018
35
Market levels out with Chinese buying dwindling
Crossbred wool types levelled out at auctions during December, and the number of lines passed-in, for failing to reach grower reserve prices, increased to around 20% of the offered totals, compared to much lower percentages during November and early December. The market has been sluggish for more than 18 months as Chinese buying representation has dwindled significantly apart from the odd spurt of enquiry throughout the past few months. Fine wools have continued to go from strength to strength over the past six months despite opinion early in the season that the market would be unlikely to maintain the high levels. Quality of crossbred full length fleece wool coming forward for auction during December reflected the very good lambing percentages recorded during the spring months and wools containing tender fibres and cotted fleeces began to become commonplace. Base colour also deteriorated from earlier with measurements running out considerably. Wool yields also took a tumble reflecting the very dry conditions experienced during October and November in particular, along with the very good feed levels available through late winter and early spring contributing to high wool grease levels. Some very nice second-shear crossbred wools were catalogued in December and probably drew the most interest from the buying trade. The best full-length fleece and the best second-shear types received similar money, in clean wool terms, however poorer fleece began to bear the brunt of hefty discounts as buyers and brokers forecast plenty of poorer types to come onto the market in late December and January.
Fine wool markets around the globe continued their upwards trajectory throughout spring as the bulk of those types became available, particularly in New Zealand, Australia, South Africa and South America, and buyers showed a keenness to buy wool, not witnessed for a number of years. At the time of writing, the last Australian wool sale for the calendar year had just recorded another substantial rise with very small percentages of grower owned wool passed-in from the auctioneer’s rostrum. With lifts of up to $AU1.00 per clean kilogram, compared to levels ruling only a couple of days previous, for some of the medium to strong merino types as well as a few of the fine and medium halfbred types, one could
be forgiven for wondering if buyers were showing concern that wool quantities in Australia may run short into the New Year. As we enter the New Year and with it larger quantities of crossbred wools coming forward, there will also be some concern that buyers here will not be able to handle production at any better price levels than we have experienced over the past 12 months. Growers who are holding onto last season’s wool (and there are quite a few across the country) will, in my opinion, have to make a decision very soon to sell their wool or they may have to weather the storm maybe for a very long time. Recent discussions with
some growers has revealed that many have either made a small profit or just broken even with their wool sales during 2017, which is indeed a very sad state of affairs. We all know the product (wool) is an extremely good one and with a variety of education and marketing initiatives being undertaken, surely the wool job can turn around and become an important part of New Zealand farming’s economy again? I certainly hope so. That’s my view.
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36
January 2018
CANTERBURY FARMING
LIVESTOCK
nortilus 3:
The path to farming 2050
❚ by Solis norton Grandad and I are heading on an adventure this year and we wondered if you’d come along too. It’s an expedition around the world. It’s an expedition to explore the path from our farming systems today to our farming systems in 2050, an expedition into the farming systems of other countries, and an expedition to listen and to learn from a wide range of agricultural leaders. We’ll probably make a few friends along the way too. The Nuffield Foundation and its world famous farming scholarships began in 1943 as a charitable trust by William Morris, Lord Nuffield. A gifted soul, if rather aloof, this man did not lack for drive. By 17 years old he was building and selling his own bicycles. He was an exceptional rider himself and won a multitude of championships. Philanthropy notwithstanding, Grandad reckons his real gift was the ability to loop effortlessly between form and function, lifting his overall performance to ever greater heights.
He founded Morris Motors Ltd, home of the Morris Oxford, Morris Minor and other machines that met the need of the day. And he understood how travel and careful observation could illuminate the needs of tomorrow. The scholarship itself is an amazing adventure of travel and observation. In March and April we visit the Netherlands, Texas, Washington DC, the Czech Republic, Poland, Ukraine, Kenya, Johannesburg, and Capetown. More travel will follow as scholars pursue their chosen areas of study. That gallivanting is all well and good, but it comes with a very clear purpose, probably more aptly, a challenge. The scholars’ challenge is to return home and shine the light of their experiences into the fog and dazzling possibilities to see a path to our farming systems in the future, and then listen through the clamour and commotion for the story of how to do profitably and equitably. To lead New Zealand so it stands out as a world leader in responsible and sustainable farming systems that we can be proud to hand on to our children. It’s a big job that one, but it’s a good one too. So no shirking, moving the goal posts, or spiking the drinks. Grandad and I both love a challenge. We can’t wait to get stuck in and we hope you’ll come along for the ride. Editor’s note: Solis norton was one of five people to be awarded a 2018 nuffield Scholarship by Minister of agriculture, Damien O’Connor late last year. The 12 month scholarship programme with up to 20 weeks spent overseas, allows participants to spend time away from their business and to travel to observe, immerse, reflect and learn about global agricultural practices and the contexts they are operating in.
Scholarly: Solis norton received his nuffield Scholarship at a ceremony held at Parliament.
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CANTERBURY FARMING
WATER & IRRIGATION
January 2018
37
Improve your irrigation with scheduling
andrew Curtis ❚ by Chief ❚ Executive, IrrigationNZ
January traditionally brings low rainfall and soaring temperatures to the country and these conditions create challenges for farmers trying to keep adequate crop and pasture growth. Developing an irrigation strategy for scheduling your irrigation will help you get the best use of water. Scheduling involves planning your water application across the season and also for individual irrigation events. There are a few things you’ll need to know before you start – the key one is having an understanding of your soils – including their water holding capacity, the full-point (the point beyond which any water applied is wasted and drains away) and the point at which plant growth starts to drop-off (the stresspoint). Soil water infiltration rates are also important as these determine the maximum rate at which water can be applied. You also need to know how much water grass or crops will use on the shoulder sea-
sons and at its peak demand time (usually mid-summer), the maximum amount of water your system can apply each day and the rotation length (the time before it can return to irrigate). This information will enable you to work out whether your system will be able to cope during the times of highest demand or whether you’ll have adjust your irrigation strategy because you don’t have enough capacity to undertake all the irrigation you need at that time. The other constraints on your ability to irrigate to be considered are your total water allocation and any restrictions on your water use. There are a number of tools that can help you work-out this information. S-Map is a great resource for understanding your soils, but getting someone in to identify the properties of your soil is always a worthwhile investment. Information about your irrigation system capacity and rotation length should have been provided as part of the irrigation installation. You can then develop an irrigation strategy
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to schedule your irrigation as needed - avoiding your soil moisture falling below the stress point or above the full point. You will need to spread your water allocation across the irrigation season but recognise that in high summer there will be more demand for irrigation to avoid crops becoming stressed. If you’ve worked out that your irrigation system doesn’t have the capacity to meet the demand for water during the peak of the summer, you can reset your trigger point above the actual stress point just before it starts getting dry. This will mean that if a prolonged dry period occurs there’s a greater chance you can 128mm x 100mm keep up and stay above the stress point.
In the autumn and springtime, more rainfall may occur, so if water is limited you can reduce the depth of water applied to leave more storage space in the soil to take advantage of this. Getting your irrigation scheduling right isn’t easy but it’s definitely worthwhile putting the effort into understanding how scheduling works.
Canterbury Farming Option3
IrrigationnZ is running workshops in Canterbury in Leeston and ashburton over summer providing advice on scheduling and irrigation operation and management. To find out more please visit: www.irrigationnz.co.nz/events
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38
January 2018
CANTERBURY FARMING
WATER & IRRIGATION
Steady as she goes
Dr Tony Davoren ❚ with ❚ Hydro Services
For first time in a few years an article isn’t going to flow onto the screen, when the only issue with irrigation is ‘keep it going’ and hope there are no breakdowns – well nothing too much more to say really.
Last month I wrote the weather and some indicators in October and November suggested La Niña conditions might persist for rest 2017 and into 2018. Further, the NIWA climate outlook indicated river flows were likely to be in the below normal range. For the alpine rivers (Rakaia and Waimakariri) below normal flow would be expected with La Niña conditions when easterly to northeasterly flow is the norm. I also suggested this might be a season to judiciously utilise any Coleridge stored water as the season progresses – it might be a valuable commodity in late summer and autumn. Both the Rakaia and Waimakariri River flows have been so low in the last month that the irrigation schemes (Central Plains and Waimakariri) have been on restriction. This has meant to meet irrigation demand irrigators are digging into their storage – either in Lake Coleridge or groundwater for those that kept bores as their storage. Nothing much has changed with regard to climate drivers – the SOI remains strongly positive and sea temperatures around NZ are still above normal, and the conditions currently being experienced are likely to continue. With the New Year upon us a nice widespread 50mm rainfall and a couple of decent NW rainfall events in the Alps would be most welcome.
Rakaia River
We can expect: • north-easterly to easterly flow anomalies • temperatures very likely to be above average • rainfall most likely to be in the near normal range though Canterbury rainfall is well below normal • soil moisture levels and river flows most likely to be in the below normal range
CANTERBURY FARMING
WATER & IRRIGATION
Tony Trewinnard ❚ by ❚ Blue Skies Weather
January 2018
39
La Nina shifting into summer mode
I have been asked why we seem to have gone from a wet period, where much of the country was getting regular rain (and sometimes too much of it), to a much drier period currently. My answer is that if we step back from looking at our local weather and focus on the bigger (global) picture, we are on a clear trajectory through the seasonal modes of La Nina. La Ninas don’t go through the same growth and decay cycle as El Nino events. El Ninos are boom and bust events which (usually) grow quickly, mature, and decay rapidly. La Ninas take longer to develop and build up, tend to oscillate around with multiple peaks, and decay more slowly. They are not just anti-El Ninos. While all La Ninas are different, it’s not unusual for a La Nina season to bring more rain producing weather systems to New Zealand in the winter months, an early spring with a brief period of spring westerlies, then settled early summer months with anticyclones dominating. So far, so good. Following this trajectory explains the wetter winter, and current dryness. Working further along the trajectory, as
the summer progresses we tend to see the anticyclones ‘shrinking’ back from affecting the whole of New Zealand to more southern parts, and at some point in the summer the Tasman Sea and sub-tropics become more active. This activity brings periods of easterly quarter airflow to the North Island. In time the sub-tropical low pressure systems start to affect the north of the North Island, then the central North Island, and in many La Nina seasons they can affect the whole of the North Island, and the Nelson to Canterbury zone of the South Island as well. This southwards transition of the easterlies and low pressure systems can vary in its timing – we have had La Nina seasons when early January onwards has been cloudy and wet for the North Island, and we have had some where it’s taken till March. When these low pressure systems affect the North Island, places which are exposed to rains from the east or northeast are at increased risk of flooding from heavy events. If the low pressure systems really get moving, then Wairarapa, Marlborough (especially Kaikoura) and parts of Canterbury can
see significant easterly rainfalls. However, these are more likely in the late summer and autumn time frame. What are some the regional effects of this trajectory? Well, the southern South Island tends to be drier, sunnier and warmer than usual. This is the type of season when inland Otago can see days on end of 30deg plus. The downside is increased risk of drought in the south. Canterbury, Marlborough, and Wairarapa tend to be sunny, dry and warm early in the summer (although with few hot nor’west days), but see at least normal rainfall from mid to late summer onwards (and sometimes a lot more than normal rainfall). The southwest of the North Island can be similar, so areas from Taranaki to Wellington could be quite dry for a while. Not all La Nina seasons produce severe weather, and the consequences for agriculture can be quite varied, but there are some things to be aware of in this type of season. In the North Island pasture growth can be quite good, but the risk of foot rot and facial eczema increases, especially the further
north you go. Horticultural crops are at greater risk of fungal diseases, and grape harvest time can be difficult in Gisborne and Hawkes Bay. In the South Island, well one major wine company has already sought my advice about disease risks in grapes in Marlborough and Canterbury, which increases with increased cloud cover and higher humidity, as well as disrupting harvest. High humidity levels can also affect cereal crops in Canterbury, with a risk of disease near harvest, and problems ripening crops which may need drying. Further south, grass growth in Southland, Otago, and on the West Coast may be impacted by reduced soil moisture, but for crops where moisture sources are available then the increased sunshine hours and warmer temperatures can bring a bumper growing season. Check out new Zealand weather forecasts for weeks, months and seasons ahead at www. facebook.com/BlueSkiesWeather or email tony@ blueskies.co.nz
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January 2018
CANTERBURY FARMING
WATER & IRRIGATION
Tighten up: IrrigationnZ says irrigators should ensure all their equipment is working to maximum efficiency during a dry spell.
Irrigators told to tighten up ❚ by Kent Caddick
Canterbury farmers are being asked to tighten their nuts during the dry summer. With the ‘D’ word on the lips of many of Canterbury Farming’s rural residents, especially in North Canterbury, IrrigationNZ is urging farmers to ensure their irrigation is working efficiently during the drought-like conditions. Several areas in the South and North Island came close to or broke record low rainfall figures in the spring, with rainfall well below normal for much of Canterbury. Water restrictions are in place right across the South Island, both in rural and urban areas and irrigators are being asked to check they are not wasting water through loosened nuts, faulty nozzles and leaking pipes.
IrrigationNZ Chief Executive Andrew Curtis says during extended dry spells such as this, irrigators will need to manage their water allocation carefully. “Checking that irrigation equipment is well maintained and performing to specifications will minimise down-time, leakage or delivery problems,” Curtis says. “Some systems may be 20% to 50% out and using more water than you need. Simple calibration checks can save a lot of water over the season and are easy to carr y out.” Curtis says as the irrigation season goes on, regular maintenance checks are essential. “Checking pressure and sprinklers is recommended. Re-nozzling might help stretch out water for longer but this should be done
under the advice of a qualified irrigation designer.” He says irrigation scheduling is also critical when the water supply is likely to be limited. With water meters in place, you should be keeping a close eye on how much water is being using, and regularly reviewing soil moisture levels and crop requirements. “Sitting down and planning water budgets will enable irrigators to work out how best to allocate water over the coming months.” Curtis says to help make the best use of their water allocation farmers, who operate a number of irrigation systems, should think about using their most efficient irrigation systems more than their least efficient systems. “They should also consider limiting irrigation during high winds or extreme daytime temperatures, to make every drop count.”
He says investing in good soil moisture monitoring technology is also important and farmers should check this every day so they know when to irrigate and how much water to apply. “Understanding which soils are the least productive and which are the most productive can help farmers identify which areas would benefit most from irrigation if water is limited. “Placing the most productive animals on good pasture makes sense, while less productive stock could be put in areas without irrigation or with less pasture.” IrrigationnZ has a free ‘Check it – Bucket Test’ app which can be used to check irrigators are applying water evenly. The app is available from Google Play or the app Store.
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January 2018
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Self improvement with Ute Man If future archaeologists dug down through the strata of modern society, they’d end up with the impression that the great Age of Petrol was broken up into smaller sub-stages.
There’d be evolution apparent as vehicles went from the primitive to the perfected, but there’d also be the clear hand of fickle fashion. The time we’re sitting in right now would come to be known by those future investigators as the Utility Age – the era of Ute Man. Some of this is due to the advanced nature of machines such as the top-selling Ford Ranger and Toyota Hilux, which are flying high on a combination of rugged utilitarianism and car-like handling. To follow the fashion analogy, the modern ute is the exact opposite of the 1980s mullet haircut – it’s all work in the back and a party up the front. Blokes using their heads have taken to this combo with gusto, as it means no more bumpy rides to and from work, and the ability to tow fun things like boats and caravans on the weekends, with a dirt bike and a bbq in the back. But because people also choose a car with their hearts – to reflect something about themselves – we must also assume that the modern ute reflects something of the nature of the modern man. Not to be sexist here, but the demographic pie charts and market research groups all point to the fact that the Ranger, Hilux, Navara or DMax owner is usually also the owner of certain chromosomes. Ute Man works hard and plays hard. He’s sensitive enough to care about a high ANCAP rating, but also wants to be able to rope a deer to his roll bar after a hunt. Which brings us neatly to the Ford Velociraptor 6x6. Based on the world’s best selling truck, Hennessey Performance have added plenty of power and plenty of extra terrain-busting ability by the time they transform a Ford F150 into their ‘standard’ Raptor. Now they’ve added even more, with a 6x6 drivetrain and over 600 horsepower thanks to an all-stainless exhaust system, air to air intercooler, and a pair of turbochargers which could inhale pigeons. The end result is a six-wheeled, extended, brutal off road machine which can travel across the desert floor of the American West
faster than many production cars can handle flat tarmac. It’s over 300,000 US dollars worth of answer to the question – how do we make the world’s best selling truck even better? That answer is – just add more truck. What it says about its driver is more in doubt, but it may very well mean that they’re a total and utter petrolhead. Who’s too cool to be seen in MercedesBenz’s six wheel drive offering, a G-Wagen built for people who own hip hop record labels or oilfields. Whichever way you slice it, it’s a pointer in the right direction for our local Ford team, who are poised to unleash a Ranger Raptor variant in the enticingly near future. Six wheels and six hundred ponies might not be on the cards, but Ute Man and his tribe are certainly looking forward to the time when Raptors walk the earth in New Zealand again.
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January 2018
CANTERBURY FARMING
Staying safe on the roads these holidays Like the rest of New Zealand, roads in Canterbury and the West Coast will be extremely busy over the holiday season with higher traffic volumes and a variety of different vehicles.
❚ by Kent Caddick Many of these drivers will be heading off on holiday or having at least a few days away to catch up with family and friends. When travelling it is always important to allow enough time to get to your destination, drive with patience and avoid taking unnecessary risks. Holiday traffic will also include many extra campervans and other vehicles towing boats, caravans or trailers. If you are towing, the maximum speed limit on the open road is 90kmh. Keep left and pull over when it is safe to let other vehicles pass. Keep a safe following distance between yourself and the vehicle in front will allow you enough distance should the vehicle in front of you stop suddenly. Holiday driving often means spending several hours behind the wheel. Long journeys can be tiring, and tiredness can be fatal if you don’t recognise the signs. Get plenty of sleep before your journey, and try to drive at times of the day when you are normally awake. Plan for rest breaks from driving every couple of hours. Get out of your vehicle and even take a short walk to improve alertness.
Don’t drink and drive: Police will be out in force over the holiday period with drink drivers one of their targets.
If you do start feeling tired, take a short break, or if possible, share the driving. Use the air conditioning if your vehicle has it as cool air will keep you more alert and will help avoid frustration and stress, which are major causes of fatigue. The safety belt is one of the top safety
features in your vehicle and only takes split second to buckle up. No-one wants to be involved in a crash but that small step increases your chance of avoiding serious injury by up to 40% if the unfortunate occurs. It is the driver’s responsibility to make
sure that all passengers under 15 years are restrained either in a seat belt or an approved child seat suitable to their size and weight. Excessive speed, or inappropriate speed for the conditions, is regrettably all too common at this time of year. With some travellers wanting to get to their destination as soon as possible, frustration with slower or heavy traffic can sometimes cause drivers to make unsafe decisions, particularly when overtaking or at pulling out at intersections. It is encouraging to know our Police will be out on our roads to strictly enforce the speed limits when needed and encourage drivers to travel at a safe speed that suits the road conditions and the environment. Their efforts, combined with the support from all road users will result in a safer journey for everyone.
We need your help as much as you need ours Canterbury West Coast Air Rescue Trust. PO Box 20262, Christchurch 8543
CANTERBURY FARMING
FARMING NEWS
Rewarded: Cromwell’s Debra Cruickshank with the Supreme award at the 2017 Enterprising rural Women awards evening.
43
❚ with rob Cope-Williams
Cruickshank gets supreme award Debra Cruickshank from Tannacrieff Wines in Cromwell has taken out the Supreme Award in the 2017 Enterprising Rural Women Awards. Cruickshank was also named as the winner of the Entrepreneurial Rural Women Award category. Rural Women New Zealand (RWNZ) award judges described her nomination as a “truly inspiring story”. RWNZ’s National President Fiona Gower, who was on the judging panel, said they were impressed with Debra’s demonstration of a love for what she does and a focus on family, heritage and her roots. “Debra displays a superb work ethic, skill and innovative thinking, which has provided a great foundation from which to leverage and grow the Tannacrieff Wines brand.”
January 2018
Over 180 people attended the awards ceremony which was held during the RWNZ National Conference in Invercargill. Category winners for the 2017 Enterprising Rural Women Awards: AgriSea New Zealand Love of the Land winner: Kiri Elworthy and Jenny Bargh – Tora Coastal Walk, Martinborough; NZI Innovative Enterprising Rural Women Award winner: Kylie Davidson and Emma Hammond – Hammond and Davidson Accountants, Riversdale; Homeopathic Farm Support Emerging Enterprising Rural Women Award winner: Jo Kempton – Happy Belly Ferments, Greytown; Swazi New Zealand Entrepreneurial Enterprising Rural Women Award winner and NZI Supreme Award winner: Debra Cruikshank – Tannacrieff Wines, Cromwell.
Dairying staff and image Dairy farmers please excuse me while I talk about a lot of things that you already know.
With the drought hitting harder than a test cricket opening batsman, irrigation costs are going higher than a NASA moon rocket, and there’s serious talk about rationing water usage in the cities and towns. That means the townies are going to be very grumpy about you pouring precious water onto your pasture so you can ‘make even more thousands of dollars at their expense,. No, they don’t want to know what it costs you to use that water. Nor do the ‘poverty stricken families’ who are going to receive the money earmarked for irrigation projects care. The price of butter in the supermarkets has become a media focus as the householders pay through their noses for what is produced here and I am not even thinking of bringing the price of cheese into this conversation. Horticulturalists took a hiding over the price of kumara but they are grateful the butter price has become the focus now. The new Government is slamming the overseas labour door closed and leaving
farmers short of staff with a total void of local labour applying for positions. ‘Well they can just work a bit harder themselves’ is not a practical solution to serious staff shortages. Perhaps the only comfort for dairy farmers is that the fruit industry is in the same boat. Mind you, they aren’t facing laws and regulations to keep the grass green and the rivers clear, and no I am not going to get into any conversation about green water. Ah, but surely the price dropping again will bring some support from the city folk, nah, perhaps if the price of butter were to drop. Anyway there’s the TV advertisement campaign showing what wonderful people dairy farmers are and how they make amazing products with so many people being involved. Dairy farmers, I hope they make you feel proud, because in my humble view all they do is cost Fonterra huge amounts of money and the general population simply tunes out. I would be very surprised if it led to one person wanting to work as a milk harvester, or made one person buy Fonterra butter over another cheaper brand. As I said, sorry to talk about things you already know, but there are people who care.
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January 2018
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