Farmers Weekly August 30 2021 by AgriHQ

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Vol 19 No 33, August 30, 2021

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Changes to grazing rules Neal Wallace

neal.wallace@globalhq.co.nz

HE Government is proposing to adopt virtually all the changes suggested by the Southland Winter Grazing advisory group to its widely slated intensive winter grazing (IWG) rules. It has started consultation on the proposals, which include replacing the date by which winter crop paddocks must be resown to “as soon as practical” and removing pugging depth rules. It also proposes delaying implementing these rules by six months to November 1 next year, and while rejecting the group’s recommendation that rules on cropping paddocks apply to those 15 degrees and steeper, rather than 10 degrees, farmers say they have been improved. Southland Federated Farmers vice president and a member of the advisory group Bernadette Hunt says the onus is now on farmers to use environment plans to outline and manage their cropping programmes. Hunt says those employing IWG practices should be given early access to farm environment plans (FEPs) when formally launched, so they can comply with the new grazing requirements. She says the proposals target and manage critical source areas in cropped paddocks to avoid runoff. “They are much more practical for farmers and I am convinced will mean much better outcomes for water quality because they are focused on the actual effects of land use,” Hunt said.

The proposed changes replace initial rules that were widely canned as impractical and unworkable, prompting the Government to convene an advisory group to find more practical solutions, which Hunt says has been achieved. In addition to removing rules on pugging depth and a requirement for cropped paddocks to be resown by October 1, the original provisions applying to the average slope of a paddock have been changed to the maximum slope in a paddock. If farmers can show they can mitigate any environmental effects of IWG through their farm plans and sound practices on slopes, such as preventing soil loss, then they can crop slopes over 10 degrees or exclude steep areas. Beef + Lamb NZ chief executive Sam McIvor says the Government’s new focus on practical measures to manage environmental impacts, is more workable, but he still has concerns with the slope rule. “The Government has proposed an improvement on the slope rule, but we still think the approach is more restrictive than it needs to be to manage the environmental risks,” Sam McIvor said. “For example, we’d like to see flexibility in situations where there is no receiving water body nearby.” The six month deferral in implementation will allow time for certified management plans to be put in place, but McIvor also wants more detail on how the farm plan process applies to IWG. “Without having visibility of the exact text of the certified freshwater farm plan, however, and given the requirement to

use of farm plans, but also has reservations until he sees the details. “Ultimate success here does depend on a robust certified freshwater farm plan process (but) this is yet to be landed,” Mackle said.

The Government has proposed an improvement on the slope rule, but we still think the approach is more restrictive than it needs to be to manage the environmental risks. Sam McIvor B+LNZ

PRACTICAL SOLUTION: Southland Federated Farmers vice president and a member of the winter grazing advisory group Bernadette Hunt has welcomed the proposed Government changes to intensive winter grazing regulations.

demonstrate environmental outcomes would be the same as the rules, we have reservations about how workable the proposed

farm plan approach will actually be.” DairyNZ chief executive Tim Mackle also supports the

“The phasing in of freshwater farm plans will lead to a delay in this pathway being available for farmers. “This is a concern for practical and flexible implementation of the regulations and we need this remedied.” Environment Minister David Parker and Agriculture Minister Damien O’Connor describe the proposed changes as practical while ensuring improved environmental outcomes. “It’s important that what we develop is workable. That’s why we’re proposing amendments to manage the effects of pugging, get paddocks resown as soon as possible, and protect critical source areas,” O’Connor said. Consultation runs for six weeks until October 7.

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ROUND THE FARM TABLE Chef and good keen man Al Brown chats to BFEA entrants from around the country and finds they’re committed to sustainable farming – and growing delicious food.

Meet Waikato dairy farmer Johan Van Ras and you’ll be greeted with a big handshake and an even bigger smile. With a positive attitude and a keen sense of humour, it’s clear he enjoys life. Something undoubtedly passed on by Johan’s father Richard, who with wife Truus also lives and works on the farm. “Dad always said that you can only eat your bellyful, so always be happy with what you have,” says Johan. And what he and wife Kylie – who grew up on a sheep and beef farm near Ngāruawāhia – have on their Waiorongomai Valley Farm is something special. The family purchased the 76-hectare farm in 2010 after leasing a farm for six years. With open minds, the van Ras’ are constantly looking at ways to improve the stock health of their 215 cows, mitigate environmental impact and balance sustainability with profitability. It’s a clear recipe for success with the family named 2021 Regional Supreme Winners in the recent Waikato Ballance Farm Environment Awards. A result that, inevitably, put even bigger smiles on Johan’s and Kylie’s faces. Al: Tell us about your philosophy here at Waiorongomai Valley Farms. Johan: Owning your own land builds a connection that’s hard to explain. We are 100% committed to looking after our environment so we can produce food for future generations to come. Kylie: Our main motivation – other than Whittaker’s chocolate – is just doing the right thing. There’s nothing like sleeping well at night knowing you’ve done something that will benefit others for the long term. Al: What sort of work have you done around the farm to help protect the land? Johan: As an ongoing project we’ve planted 11,000 natives in a 4.5ha wetlands/ bush area we knew wouldn’t be that productive. Next step is a weekend cabin there with hot tub! We’ve also focused on water sampling in smaller connected waterways and giving technology a real crack to improve all aspects of the farm.

The Ballance Farm Environment Awards is a pan-sector programme that promotes best practice, sustainable farming and growing. To join the journey or find out more, visit nzfeawards.org.nz

Kylie: Monitoring data using GPS tracking maps makes a huge impact on fertiliser use efficiency. Planting makes a visible difference, but the technology makes a financial difference and will contribute to the environment in the long-term. Al: Three generations on the farm is pretty special. How has that evolved? Kylie: When Richard and Truus arrived 30-odd years ago from Holland they didn’t speak a word of English. Richard became a farm hand, then a sharemilker. Truus worked many off-farm jobs and they eventually saved enough for a farm in Te Aroha. Johan: To make their dream come to life required a real partnership which I am lucky to also have to this day with them and Kylie, who really is a legend – easily swapping roles as a vet, wife, mother, business partner and general voice of reason. Al: And you all still enjoy working together, which is the impressive part. Johan: We do. Dad’s lost the ability to sleep in though and every morning he comes down to the milking shed for a bit of a chinwag. We’re always bouncing ideas off each other – and he’s always telling me he should be fishing! Kylie: Everything we have achieved has been done together, which our daughter Dana and son Blake will really begin to understand as they grow up. Three generations – we feel hugely proud, lucky and humbled to have this opportunity. Al: Fantastic. So why did you decide to enter the Ballance Farm Environment Awards? Johan: After reaching 10 years on the farm, Kylie and I talked about wanting a snapshot of where we were, and we should be going. Kylie: We felt the time was right for a fresh perspective and an honest appraisal of the whole business. Al: And did you get that? Johan: That and more. We were blown away by the judging and it has opened our eyes to other amazing farms and different perspectives. The other week we went

No.12

Kylie and Johan van Ras, daughter Dana 8, son Blake 12 and Johan’s parents, Richard and Truus. Dairy Farmers, Waiorongomai Valley Farms, Te Aroha, Waikato (76ha, 215 cows)

WITH

to a field day for Pūniu River Care on their marae, following their recent BFEA catchment group win. It was a privilege to listen to local hapū, involved in the restoration of the Pūniu River, talk to the idea of kaitiaki. It really resonated with us and what we are trying to do on the farm. Al: Ka rawe! Since the awards have you made any changes? Kylie: Following some great advice, we have already added quite a lot of native tree shelter belts for shade in summer and wind blocking in winter. Johan: We’ve also joined with a few other farmers to start looking after our local Waiharakeke River, improving connected waterways upstream before they reach major rivers, and the Piako Catchment Forum who are doing great local initiatives. Al: What does the future hold for New Zealand agriculture? Johan: It’s about community. From rural to urban we are all bound by our waterways, so working together is where we will see the biggest benefits. Kylie: In doing so, as a country we can become superstars for high value sustainable, transparently produced food from farm to fork. Al: Ok what’s your favourite food that comes off this land? Kylie: All our milk goes to Tatua. They make the best sour cream in the world and amazing mascarpone! Johan: And you can’t beat grabbing a can of dairy whip cream and squirting it straight into your mouth. Not that I’d ever do that. (Haha!) But seriously you can’t beat Kylie’s creamy chicken pie and her lemon meringue pie for pud. Al: Who doesn’t love a pie or two! Ok so who’s popping over for this pie feast? Kylie: Family of course and we’ve got lots of great friends in the district so they’d have to be there. Johan: And I’d love to add Ricky Gervais and Taika Waititi for some serious laughs and Dave Grohl for some musical interlude in between the laughs. I think we’d sing well together after a couple…

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NEWS

25 Native fungi project opens gourmet market

Mushroom picking in New Zealand is usually a paddock-hunting affair, sifting through grass, while dodging cow pats, for the elusive, earthy culinary delights.

REGULARS Newsmaker ��24 New Thinking ��25

6 Surge primes carbon auction

Editorial ��26

Expectations among carbon traders are that New Zealand’s carbon unit prices will continue to push upwards in next week’s auction, having already cut through the $50 mark.

Pulpit ��27 Opinion ��28 Real Estate ��30-31

Overseer’s future demands discussion

Tech & Toys ��32

The recent review and ensuing criticism of Overseer has highlighted the need for government officials and Overseer management to look long and hard at what the software’s future role is to be.

Livestock ��34-37

Employment ��32-33 Classifieds ��33

Weather ��39 Markets ��38-40

For the love of ag

For a sector feeling under constant attack, the optimism and confidence three teenage Otago school pupils have in farming, is nothing short of invigorating.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Masks on, shears out Annette Scott annette.scott@globalhq.co.nz A SPELL of warm, dry lockdown weather has eased the pressure on South Island shearers. Juggling the inclement weather leading into the covid-induced Level 4 lockdown falling at their busiest time of the year created some initial worry, Waimate Shearing contractor Warren White says. “It was looking to be a very stressful situation for the industry, but we have been very, very lucky the weather has played ball,” White said. With lambing due to start on Canterbury and Otago hill and backcountry farms, timing is critical for pre-lamb shearing. Shearing of finishing lambs destined for processing is also a big part of business at this time of the year.

“We have had a good run, but I know there are some contractors who are up to 10 days behind, especially down Otago way, and 10 days is all very critical when it comes to pre-lamb shearing and once you get behind it’s hard to catch up, more especially under lockdown conditions,” he said. But White, who has a team of 35 currently shearing up the Hakataramea Valley in South Canterbury, says everyone is doing their best. “Everyone is under pressure with the rules and regulations to keep safe,” he said. New Zealand Shearing Contractors Association president and King Country-based shearer Mark Barrowcliffe says shearers are practical people and where there’s a job to do, they will get it done. “Of course, with lockdown and fewer staff it’s slow going, dragging each shed out longer than

TOGETHER APART: Masked up and socially distanced Waimate Shearing staff Corey White and Lucy Avery work on through lockdown.

normal,” Barrowcliffe said. “Then there’s the challenge of creating shearing bubbles and working within that on-farm too.” Barrowcliffe says this Level 4 lockdown has been easier. “We knew we could carry on with what we had to do, it was like flicking a switch and putting the learnings in place from last time,” he said. “The South Island has copped a bit more than the North Island

generally because it’s a busier period of work down there. “The North Island is down to skeleton staff and has not got the ability to respond as quickly out of lockdown, but that’s the nature of our business, every area has its specific challenges at specific times of the seasons.” Barrowcliffe says the industry is generally struggling for staff. “We are as light as we have ever been so we have no extra crew we

can call on because the people are not there to do it.” Under Ministry for Primary Industries (MPI) covid protocols shearing is considered an essential service when it is necessary for animal welfare and cannot be deferred. Shearers are required to operate in a way that minimises the risk of covid transmission by, for example, minimising interactions among staff and wearing masks.

Choppy seas churn a2 Milk Hugh Stringleman hugh.stringleman@globalhq.co.nz

THE a2 Milk Company’s struggles in China were clearly outlined by its 79% fall in profit and 30% fall in revenue in the 2021 financial year ended June 30. After the numbers were announced, its share price fell 8% to $6.50, having retreated all the way from $20-plus over the past 12 months. The dairy company vowed to keep faith in the underlying fundamentals of the business

but decided not to make a share market guidance for the current financial year. The extended fall in share price was caused by four separate downgrades of revenue and earnings guidance between September and May. Revenue was down from $1.731 billion to $1.206b and net profit after tax fell from $386 million to $80.7m. Earnings before interest, tax, depreciation and amortisation (Ebitda) was down 77.6% to $123m, inclusive of $109m in stock write-downs and $10m

in Mataura Valley Milk (MVM) acquisition costs. Inventory reduction had improved product freshness and increased market prices. A strategy review was under way to respond to the changing China market dynamics and results will be presented at an investor strategy day in October. The board decided not to return any capital to shareholders at this time to preserve the strength of the balance sheet – $875m cash on hand at balance date.

China market growth is now flat, a2 Milk said, although sales of its China-label infant formula increased 15% to $390m, to replace English label cans. The contribution of liquid milk sales to gross margin increased from 18% to 22% and liquid milk sales in Australia were $169m, up 11%. The daigou and reseller share of sales, from Australia and New Zealand into China by third parties, has shrunk to 43% of infant nutrition, having been 75% five years ago.

POSITIVE: While China market growth is now flat, a2 Milk says sales of its China-label infant formula increased 15% to $390 million.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Surge primes carbon auction Richard Rennie richard.rennie@globalhq.co.nz EXPECTATIONS among carbon traders are that New Zealand’s carbon unit prices will continue to push upwards in next week’s auction, having already cut through the $50 mark. Latest carbon trading data has the price at $50.45, with forward contract prices into April set at $51.40, and over $56 by 2025. Carbon Match director Lizzie Chambers says with the trades now firmly in the $50 territory, interest is strong in the next carbon unit auction with the Government moving early on a previously signalled decision to lift the upper carbon price from $50 to $70, effective next year. The move comes after recommendations from the Climate Change Commission to shrink the bulk offerings of carbon units available for purchase, pushing up the price and prompting emitters to switch to lower or zero-emitting options, effectively vacating the market. The commission recommended the price then increase every year by 10% plus inflation. “We cannot be sure it will go to $70 at auction yet, but we can be sure this auction will be one

FORECAST: Carbon Match director Lizzie Chambers says passing the $50 a unit mark for carbon signals strong auction prices ahead.

that pushes the cost containment reserve (CCR),” Chambers said. The CCR is the reserve of NZ carbon units available for sale when a trigger price is reached at the auction. Carbon prices have been on a steady upward march for a year now, sitting at only $31.30 12 months ago.

Should demand outstrip the 4.75m units on offer next week, more units will be released from the CCR. But Chambers raised concerns about the Government’s plans around carbon market governance. This includes limiting the number of units traders could buy and limiting what institutions

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could buy, with units limited largely to emitters only. “But this will have an impact on the market’s flexibility and ability of institutions to offer smaller emitters smaller packets of carbon credits,” she said. She says at the last auction in June there were 4.75m units offered, and half were bid for by one party. “There was quite a lot of interest in that auction and quite a lot of interest from non-emitting interests, the Government would call that speculative,” she said. But removing the ability of institutions to buy large amounts to dispense among smaller emitters did little to improve market flexibility and would only stifle trading. “It may reduce the options for the agricultural sector to secure units to offset emissions. For example, those wanting to lock in their carbon price now for the next few years. Right now, they could, but if they were limited it will become a much more hand to mouth market,” she said. She says consultation was still open on this aspect of carbon trading until mid-September. Forest Management Group director David Janett says there appeared to be a focus by the

Government on tightening up the entire carbon market trading system. “There is a sense everyone is just piling into this market, it is a compliance and monitoring thing,” Janett said. This includes the possibility of having a single, unified carbon market trading base in NZ. At present, three identities are trading in carbon, including Chambers’ Carbon Match platform. She says the single platform idea appeared to be born out of a desire to prevent any risk of nonpayment or reneging. “But in the past 11 years, with thousands of carbon trades, we have never had anyone not pay. There are multiple layers of checks and safeguards built in and it’s not necessary to centralise trade to avoid this,” she said. Janett expected that if the restrictions on volumes and outlets did come into play, they may dampen the rise in carbon prices, rather than depress the price. He says this could also play into the viability of carbon forestry, an area also under investigation by Forestry Minister Stuart Nash, amid concerns about growth in this forest type.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Water Bill anxiety is growing Neal Wallace neal.wallace@globalhq.co.nz THE bulk of South Island councils have called for a pause to the Government’s three water reforms, but for different reasons. On Wednesday, Otago and Southland mayors told Local Government Minister Nanaia Mahuta they want time to consult their ratepayers. Earlier in the week, Canterbury councils called for a pause in the process to give time for the new water service regulator, Taumata Arowai, to be established and for clarity about the standards and approach required by the proposed economic regulator. The Government’s Three Waters proposal will merge the delivery of drink, storm and sewage services from 67 local authorities into four public entities in order to make upgrades and improvements more affordable. A final Cabinet decision is due at Christmas, but the Government has told councils that public consultation was premature until definitive information is available. The councils seeking a pause are from Invercargill to Hurunui, which the Government proposes merging into one of its proposed water management entities. Clutha District Council Mayor Bryan Cadogan says southern councils are exercising their right to consult before Mahuta reveals the final policy at the end of September. Cadogan says those changes are likely to be minor, but ratepayers are anxious to be heard and staff need certainty. “As it stands at the moment, there is information available

for councils, which will only change marginally at the end of September,” Cadogan said. A meeting of rural water scheme users has had to be postponed due to the covid-19-induced lockdown, but indications are 200 people planned to attend. Waimate Mayor Craig Rowley says a recent council-arranged public meeting on the reforms attracted 350 ratepayers. Normal consultation meetings attract 20 people. “It tells me exactly what I knew, that this is a really topical subject and people are really concerned about the proposal,” Rowley said. The meeting revealed concern about the Water Services Bill, which requires schemes supplying two or more users to meet water quality standards, while the Three Waters proposal could mean a loss of control, uncertain services and higher costs. Mahuta says in a statement that she is disappointed mayors are playing “political games with their communities’ futures”. She says pausing the reform programme will not change the reality that the status quo is simply not working nor financially sustainable. “The current model has 67 territorial authorities duplicating services and unable to optimise procurement and infrastructure project delivery programmes,” Mahuta said. National Party’s local government spokesperson Chris Luxon estimates a third of the country’s 67 councils are opposed to the reforms, a third are in favour and a third still to decide. He believes that lack of

REQUEST: Otago and Southland mayors have called on the Government to pause the reforms to allow consultation and to take account of other changes.

overwhelming support will force the Government to mandate the reforms (evident by councils given $2.5 billion to assist with the transition), the proposal needing the support of councils and Mahuta not ruling out taking over the assets. Luxon says the Three Waters proposal assumes every council has the same problem, but means those that have successfully managed their assets will lose control and subsidise those that haven’t. It also wrongly assumes the needs of every community are the same. He proposes a solution similar to roading, where councils and Government work together to fund major water infrastructure upgrades and for neighbouring

councils to share management and staff to make it more affordable. It is a solution Wairoa District Council Mayor Craig Little is floating, where all councils in an area, in his case Hawke’s Bay, band together to jointly administer their water assets. The National Party has launched a petition to support a change to the Water Services Bill, exempting suppliers of schemes servicing 30 or less end-point users. The party’s rural communities spokesperson Barbara Kuriger says the current policy would require the new water authority to register around 70,000 farm supply arrangements and require them write safety and risk management plans.

It tells me exactly what I knew, that this is a really topical subject and people are really concerned about the proposal. Craig Rowley Waimate Mayor While acknowledging everyone should have access to clean drinking water, Kuriger says dairy companies check the quality of water on supplier’s farms and there were other less onerous and costly solutions.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Need for informed water monitoring Colin Williscroft colin.williscroft@globalhq.co.nz RESEARCHERS from Our Land and Water have identified gaps in New Zealand’s current water quality monitoring methods and networks that need to be filled. A recently released guidance paper, Designing Freshwater Monitoring Systems to Detect Early Improvement, says regional councils need help to design monitoring programmes that will measure the effectiveness of actions taken to improve freshwater, and to help select appropriate monitoring technologies that will enable early detection of improvement. It says people taking action on the ground need monitoring programmes that provide information on what actions have the most impact, which will help prioritise the most effective ones to take. Dr Olivier Ausseil, a freshwater scientist at Aquanet Consulting who coordinated one of two groups that worked on the project, says a lot of time, effort and money has been invested in improving freshwater in NZ, including mitigation plans, but there is not a lot of evidence available as to how those plans have worked in the past. He says a catchment or subcatchment group might want to improve a river or stream and form a mitigation plan that brings together a range of actions, such as erosion control and riparian planting, but there’s a lack of robust information as to what is the most effective, depending on individual situations that might vary due to climatic conditions. The research he was involved in focused on how to best accurately measure change and improvement, detecting it as early and efficiently as possible, but also establishing a cause and effect relationship (which mitigations have made the improvement). Dr Rogier Westerhoff, senior scientist at GNS Science who coordinated the second working group, says NZ relies on what’s known as state of the environment monitoring, which regional

DIRECTION: A recently released guidance paper says people on the ground monitoring freshwater quality need programmes that provide information on what actions have the most impact.

It’s about having tools that are there, available and suited for a range of end-users to use. Olivier Ausseil Our Land and Water councils are responsible for, that typically measures longer-term freshwater quality rather than detecting the actual effect of improvement actions. Ausseil says state of the environment monitoring is very good at providing what the current state of freshwater is and what the long-term changes are but because it hasn’t been designed specifically with a mitigation plan in mind, although it might pick up improvements, there’s often a struggle to establish a cause and effect relationship to say exactly what caused the improvement. “Quite often we end up in a situation where we can’t actually

conclude robustly whether it’s worked or not. That’s what we’re hoping to address better,” Westerhoff said. “It’s about having tools that are available and suited for a range of end-users to use, including farmers. “That’s not a criticism of what councils do in terms of state of the environment monitoring, it’s designed for a purpose and does a really good job of that. “What we’re talking about is monitoring for a different purpose, in addition to the state of the environment monitoring. That needs to stay. “We’re talking about complementing it and bringing more detail, more refined information.” Westerhoff’s working group built a comprehensive inventory of monitoring technologies currently and potentially available in the near future, ranging from manual grab samples to advanced sensors to satellite technologies, for a range of attributes, reading for the usual suspects of nitrate or phosphate, through to things like water colour or soil moisture. The work undertaken so far is

phase one of what it’s hoped will be a longer-term project. The initial phase was a proofof-concept investigation, but the aim is that in the future it will be extended to putting suitable tools in the hands of organisations and people who want to improve water quality, including farmers and primary sector groups. Ausseil says the level of appetite for suitable tools is very high. “Everyone realises that we’re spending so much time and money and effort on improving our freshwater, but we really want to be able to understand as quickly as we can whether we are on the right track,” Ausseil said. “What we’re trying to do here is pick up on the early indicators of success, something that could tell us, ‘yes, actually, we are on track, or no, actually we need to do more,’ and be part of that feedback between action, monitoring and modelling – how all that can work together to get to that outcome more efficiently.” Westerhoff says they want people involved in freshwater monitoring to be as enthusiastic as possible but to also take a coordinated approach.

“If everyone just starts monitoring with any technique or technology, it might be that one is of a much lower-quality than another,” Westerhoff said. “That’s why we developed this inventory of technologies, so that people can see what could be available for monitoring specific effects of freshwater improvement. “Sometimes a monthly grab sample might be enough, or sometimes it might require measuring much more frequently.” The work is designed to dovetail into findings from another Our Land and Water working group, which has been working on enacting Te Mana o te Wai, a central plank of government freshwater policy that aims to build capacity and capability for Māori to participate in and make decisions for freshwater management. It’s been engaging with iwi and hapū over what Te Mana o Te Wai means to them and how they can most effectively communicate the needs of waterways to councils. That work is due to be released shortly.

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10 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

RCNZ staff shortage woes continue Gerald Piddock gerald.piddock@globalhq.co.nz RURAL contractors are bracing for another season plagued by staffing shortages, with maize planting and mowing for silagemaking set to start again over the next six to eight weeks in Waikato. The industry has traditionally relied on overseas workers from the Northern Hemisphere to work through spring and summer on New Zealand farms and then fly back home in autumn for similar work in Europe or North America. Border closures forced by covid-19 have prevented these workers from travelling to NZ. New Rural Contractors New Zealand (RCNZ) chief executive Andrew Olsen says contractors across the country are bracing themselves for another pressurefilled season. “It’s going to be difficult for all sized contractors to get around to their customers,” Olsen said. “What this season looks like relative to last? You add the regulatory framework and discussions, my new arrival, expectation, crisis in labour – all of it is last year on steroids.” The contractors he has spoken to were pretty determined to service their clients as best they could while not suffering burnout from working long hours. Olsen says the industry had to move the conversation away from why it could not get more overseas workers to finding a solution to the staffing shortages. “The best place Rural Contractors New Zealand can be is to keep encouraging its members to reach out into the communities – when they open – to get willing hands in the district so they can help out when they can,” he said. Olsen is meeting with Agriculture Minister Damien O’Connor at the end of August to discuss the season ahead. A RCNZ survey conducted earlier this year showed the industry needed about 400 more staff. At that time, there were some overseas staff in NZ which had provided the industry with some resilience.

STRETCHED: The contracting industry will be short-staffed again this season because of the border closures caused by covid-19.

New Zealand’s been a bit of a fortress over the last year and a bit, and it doesn’t matter what industry you talk to, there are staff shortages. Chris Lewis Federated Farmers “People who were already part of that headcount were poached out by Australia. It’s been absolutely documented,” he said. Between 40-50 of these workers were lured to Australia on the promise of higher wages, as well as speedier processing times for visa and residency applications. He called the Government’s

management of overseas labour as a shambolic mess. “It’s going to be the most difficult season ever. There will be clients who won’t be serviced,” he said. “My communication to RCNZ members yesterday (Tuesday) was not to say don’t service your clients, it was to say as part of your planning, you need to look at how available you’re going to be.” He says this was the downstream impact of not having those overseas workers and suggested farmers have a ‘plan B’ ready in case the worstcase scenario eventuated and a contractor was unable to get summer feed crops planted or grass silage cut in spring. Regarding training, while tertiary institutions were doing their best, he says NZ’s low employment rate meant there were just not enough people available.

Elsewhere in the primary sector, farmers are soldiering on as best they can during lockdown as they work long hours through lambing and calving. Federated Farmers employment spokesman Chris Lewis says the industry is handling the situation the best it can with the latest covid-19 lockdown as it works through one of the busiest times of the year. “New Zealand’s been a bit of a fortress over the last year and a bit, and it doesn’t matter what industry you talk to, there are staff shortages,” Lewis said. “Soldier on, but please look after your health and safety. I know a lot of teams are understaffed and that causes stress, more rush and more accidents, but please take care.” The wider service industries – contractors, shearers and veterinarians are still facing shortages. He says pay is not the issue, it is the supply.

“You can see it when the (vet) staff come onto the farm – the stress of it – there’s no hiding it there. These are for salaried jobs; $150,000 and you hear the Government for the last 12 months saying pay more,” he said. “For high-paying jobs, they still couldn’t bring them in.” Lewis says a completely different conversation with the Government would have been had if this latest covid outbreak had not occurred. One action the Government could do to help farmers who have migrant staff was to speed up the time it took to process visas, which could take as long as eight weeks, he says. He hoped Immigration New Zealand were working through these applications during the lockdown to reduce the wait times and get through that backlog of paperwork.

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News

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

APEC aims for food security Hugh Stringleman hugh.stringleman@globalhq.co.nz SMART agricultural practices will be shared around the 21 member countries of the AsiaPacific Economic Co-operation (APEC) to build food security, agriculture ministers say. Under the leadership of Agriculture and Trade Minister Damien O’Connor, the APEC 2021 forum hosted by New Zealand has published the Food Security Roadmap towards 2030. It contains the actions that APEC is uniquely placed to take to contribute to the goals of the individual economies and the collective regions’ success. It aims for an open, fair, transparent, productive, sustainable and resilient food system, to ensure people always have access to sufficient, safe, affordable and nutritious food to meet their dietary needs and food preferences for an active and healthy life. “Ensuring the world has a consistent supply of food is one of the biggest challenges facing APEC economies and the rest of the world, particularly as we recover from covid-19,” O’Connor said. “By working together, we can keep our people fed, while building a future of sustainable growth, equitable development and stability in APEC regions.” In the key action area, called digitalisation and innovation, the roadmap outlined increased productivity and efficiency, minimising food waste, adapting to climate change and reducing costs and facilitating trade. The Food Security Digital Plan will work to harmonise food standards, documentation and traceability. It will promote public-private investment into innovative technologies and micro, small and medium-sized enterprises and small-scale producers of food and fish. Inclusion of women, youth, indigenous communities and elderly is considered essential to maximise resources and improve rural, remote and coastal livelihoods. APEC will support the efforts of member economies to meet UN Sustainable Development

More details emerge on NZ-UK deal Eric Frykberg FURTHER details have been revealed on the New Zealand-United Kingdom Free Trade Agreement, which is racing towards its final completion. Farmers Weekly recently revealed (see FW, August 23) that dairy sales will be greatly liberalised when the agreement is reached, probably with tariffs reducing to zero over several years. In a subsequent statement, the UK Government has added honey and apple sales to dairy as a beneficiary of a deal, and wine exporters would also get better access. Tariffs on British exports to NZ, such as motor vehicles, would lose the tariffs when they enter this country. This information came out in a statement from the British trade secretary Liz Truss, speaking in London last week. Both sides had set the end of August for a deadline, which has greatly increased the pressure of work for negotiators. However, there is a chance the deadline might be missed by a week, possibly because of stress caused by the Covid lockdown.

Goals 12.3 to halve global per capita food waste and retail and consumer levels by 2030 and reduce food losses along supply chains. Workshops will be held by early next year to facilitate the transition from the roadmap to an implementation plan, including specific next steps. There will be prioritisation to achieve the most meaningful outcomes for producers and businesses in the food sector.

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News

12 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Scientists wary of Overseer use Richard Rennie richard.rennie@globalhq.co.nz ONE of New Zealand’s preeminent scientists and a Nobel prize winner have both backed a growing chorus of concern from the scientific community over the continued use of Overseer after the programme’s negative review released earlier this month. Sir Peter Gluckman says he first pointed out his concerns about Overseer’s robustness three years ago and they were no different to those raised by Parliamentary Commissioner for the Environment Simon Upton; it was on the commissioner’s prompting that the review was carried out. The review found Overseer contained some failings that meant it was not fit to be used as a regulatory tool. Particular concerns were expressed about its ability to allow for all nitrogen loss pathways, with the possibility it underestimates nitrogen leaching losses. “That is, you have taken a tool developed for doing one very specific task in a somewhat obscure way and tried to modify it to do things it could not do, with some obtuse assumptions, not open to peer review,” Gluckman said. Gluckman says the many millions poured into Overseer over the years had made it difficult to back out of. “You tend to keep on going, beyond the use by date, when there probably are simpler models out there that could achieve the same for farmers and the environment,” he said. Overseer is owned by AgResearch (50%) and the NZ Phosphate Company (50%), in turn jointly-owned by Ballance and Ravensdown. He took Overseer’s commercial structure to task, concerned that it was combined with a lack of peer review or full disclosure on what constituted its “black box” of formula. The lack of external international peer review of Overseer is a sticking point among all the scientists concerned at the

application of Overseer in setting regulatory limits on farmers’ nutrient losses. “Here we have something that is a public good providing information for all New Zealanders’ environmental benefit and putting constraints on farmers’ businesses, but managed by a private sector entity,” he said. “I am not sure this is an appropriate model of ownership in the 21st century. It should be as one would expect climate change models to be – available for all to see.”

From my work in climate change, a key performance indicator of funding and work is that it be published, and some of the government funding for Overseer should have been conditional on getting publication and peer reviews. Professor Martin Manning Scientist Professor Martin Manning was awarded the Nobel peace prize jointly with Al Gore in 2007 for his work on climate change and headed up the International Panel on Climate Change from 20022007. His work with dynamic climate modelling shared some commonalities with the complex, changeable interactions between water, soils and nutrients. Manning says he also held concerns about Overseer’s IP confidentiality and lack of journal exposure. “From my work in climate change, a key performance indicator of funding and work is that it be published, and some of the government funding for Overseer should have been

conditional on getting publication and peer reviews,” Manning said. “The Government now needs to follow up with the review panel and ask ‘how quickly can we come up with something that complements Overseer?’” He is also concerned over the integration of greenhouse gas calculations into Overseer. “That simply would not have credibility with the United Nations’ parameters,” he said. He says far better groundwater monitoring technology was being used in Europe, and the realtime, event-based reporting the Overseer review found lacking was available. Internationally esteemed mathematician Professor Graeme Wake says Overseer’s static modelling structure failed to allow for the dynamic, changing waterair-soil interactions that occur on farms. He consulted on the model at an early stage, but says his later offers of expertise in systems modelling were declined. His requests to review Overseer’s workings had also been repeatedly turned down. Wake says he was ashamed of a science system that had let the country down and farmers were at least owed a tool that was fit for purpose. Industry concern has been that if Overseer were not used, then ‘top-down’ regulatory impositions would replace it. But he says there were other models available globally that had proven effective in estimating nutrient flows. He had personally been involved in the project to clean up the River Thames, which was awarded a top environmental award in 2010 for the restoration success. More recently his modelling work helped restore the Chin River, which runs through Bangkok, Thailand. “There are models with far better ability to cope with the dynamic cross-flow of nutrients out there, including one known as ModFlow,” Wake said. Wake is part of a small group of experts working on an Overseer alternative, incorporating the

THE ALL NEW COOPER

VIEW: Former chief science advisor to the Prime Minister Sir Peter Gluckman says Overseer’s commercial structure may not be the best for a system delivering public benefits to all New Zealanders.

latest modelling algorithms and mathematics, which the group would make available for peer review on completion, possibly within a year. The group was recently granted $100,000 from AGMARDT through DairyNZ, to continue work on nitrogen management at catchment level. “We are confident this will do the job Overseer thinks it is doing,” he said. Government has given Overseer

another year to run in its existing form, while recommended actions include a modification of Overseer, or a completely new nutrient management tool. Both Wake and Gluckman agreed whatever iteration of Overseer was created, it needed to be held in a nonprofit organisation, offering open, transparent insights to its workings. Gluckman says he had no aversion to a “user pays” model, per se.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Overseer’s future demands discussion Richard Rennie richard.rennie@globalhq.co.nz THE recent review and ensuing criticism of Overseer has highlighted the need for government officials and Overseer management to look long and hard at what the software’s future role is to be. Overseer chief executive Dr Caroline Read has acknowledged the shortcomings identified by the recent peer review report on Overseer. But she says the software has always had a mandate to be a tool to give farmers an indication of direction of travel in nutrient management, not a real-time indicator of pollution losses, a key criticism in the review. “We absolutely believe there is a need to sit down with Government on this,” Read said. “The Government has to decide; do we follow these recommendations (for a realtime, nutrient loss indicator) or do we ask ‘what is the real purpose and value of Overseer?’ and make some practical

decision on how we go forward. “We are very keen to make it happen, with everyone’s voice being heard.” She acknowledged some of the criticisms of Overseer from the scientific community over and above those in the review report. This included concerns about the lack of international peer review and journal publication on Overseer over the years. “Yes, Overseer could have in the past published its work more often. But Overseer is also not necessarily doing new science in itself. “It takes known science and replicates it in the model, it is a vehicle for that research that has been done. Peer review journals tend to want to see completely new science findings,” she said. She says there was more Overseer could do to make its algorithms more available for assessment by scientists. System modellers have also criticised Overseer’s “static” modelling approach and the report also found because of this it was unable to manage

Overseer is a steady state model, not a dynamic one. Dr Caroline Read Overseer nitrate losses other than through leaching. “Overseer is a steady state model, not a dynamic one. We are not trying to measure what is happening every year. You can do dynamic modelling, but you need so much more data to put into it,” she said. Read disputed concerns Overseer’s commercial model created barriers to transparency and proved a veil of commercial sensitivity for sharing its structure. “The commercial model is not a black-and-white thing. We are a public good organisation, we are not able to pay dividends to our shareholders, we sell the product for an agreed social outcome,” she said.

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PINCHED: Overseer chief executive Dr Caroline Read says the company and Government needs to sit down and determine what the future role of the software would be.

However, she acknowledged Overseer’s ownership and governance needed another look, and this reflected the wider existential issue about the

software’s future role. “Is the future for Overseer a regulatory tool, or an answer to help New Zealand farmers do the right thing?” she asked.

News

14 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Velvet ‘track and trace’ kicks in Annette Scott annette.scott@globalhq.co.nz ALL deer farmers selling velvet this season must be registered with the deer industry’s new VelTrak system to meet export regulations. The industry is urging farmers to work with buyers as the mandatory VelTrak process for selling velvet kicks in for the 202122 season. The new electronic track and trace system for velvet is set to make life easier for deer farmers while also providing proof of integrity. Fully electronic, the VelTrak web-based system enables velvet to be tracked and traced each step of the way from the farm to the market, and vice-versa. It means farmers will not be required to record tag numbers, fill out paper velvet status declarations (VSDs) or need to have a scanner. Following a series of training workshops, velvet buyers, agents and packhouses from across the country are now familiar with the hand scanners they will be using to scan VelTrak tagged deer velvet this season. Deer Industry NZ (DINZ) marketing manager Rhys Griffiths says the workshop training participants practiced scanning and raising farm VSDs. “Almost everyone who will be using a scanner in the 2021-22 season attended,” Griffiths.

ADD VALUE: DINZ marketing manager Rhys Griffiths says while VelTrak’s core function is to track and trace, the system has been designed to also add value to marketing campaigns in the future.

“There was a great atmosphere generally at the meetings and most are looking forward to the new season, even if some were understandably a little nervous about using the new technology. “We tried to cover all possible scenarios and answer everyone’s questions.” He says the scanners, technology and data storage systems used for VelTrak are reported to be very robust. “But inevitably, as with all new technology, there could be some minor glitches as everyone gets

up to speed with scanning, raising and approving VSDs,” he said. “I ask farmers to bear with buyers as they get up to speed, particularly at the early stages, before long it will become second nature to them.” He says farmers should also have confidence that once sticks have been scanned, the tag data is securely stored in the scanner. VelTrak has been developed for the deer industry so that its velvet complies with the requirements of NZ and overseas regulators for rapid and accurate traceability of

animal-based food products. “This is its core function, but VelTrak has been designed so that it can be developed to add value to marketing campaigns in the future,” he said. VelTrak has been welcomed by major health food companies in South Korea that are buying an increasing proportion of NZ velvet. “It’s yet another example of deer industry innovation and our commitment to quality assurance,” he said. DINZ QA general manager Rob Gregory says all deer farmers must be registered with VelTrak and be using the new black VelTrak UHF RFID tags to sell their velvet, starting this season. All deer farms have been emailed invitations to register. While most have done so, Gregory says a significant number have yet to respond. Several farmers have registered, but have not completed the process, in particular, they have not selected a vet practice. Selecting a vet practice is vital as when a farmer selects a preferred practice their farm name appears in that practice’s list of clients enabling the practice to order VelTrak tags on the farm’s behalf. “If the farm hasn’t selected a vet practice, it won’t be able to get any black VelTrak tags,” Gregory said. If a farmer is unsure whether they have done this, they should log on to https://veltrak.velvet. org.nz complete the information

If the farm hasn’t selected a vet practice, it won’t be able to get any black VelTrak tags. Rob Gregory DINZ requested under business details and save their changes. “I urge them to do so now or, if they don’t use email or can’t find the invitation, ring us on 0508 VELTRAK (0508 835 872) and we’ll help them sort it out,” he said. VelTrak builds on the work done by farmers to upgrade their sheds and freezers to comply with the Ministry for Primary Industries (MPI) Regulated Control Scheme (RCS). For farmers to sell their velvet into the human food chain, they must be registered with VelTrak and tag their velvet with the new VelTrak tags. This applies to farmers who are NVSB-accredited to do their own velveting, as well as those who get a vet to do their velveting. VelTrak underpins the premium position that NZ velvet now enjoys in South Korea. “It will enhance our reputation as trusted producers when marketing our velvet to health food companies in China, Taiwan and elsewhere,” DINZ chief executive Innes Moffat said.

DNZ board seeks a ‘future-focused’ farmer NOMINATIONS are open for one farmer to join the DairyNZ board. DairyNZ chair Jim van der Poel says the past year has presented its own set of challenges for farmers and the sector, including workforce shortages, regulatory change and extreme weather events. “Our farmers are currently the most sustainable milk producers in the world and have made significant progress

to prepare for the future, but farmers are operating in a challenging climate,” Van der Poel said. “DairyNZ is in a unique position to support dairy farmers with leading research and science, and to advocate on behalf of farmers to influence future policy changes.” The DairyNZ board oversees DairyNZ’s strategy, which guides future investments into a range of programmes,

including industry research and development; sustainable farming; promoting careers in dairy; advocating for farmers; and monitoring the strategy’s delivery. Appointments to DairyNZ’s board apply for three years, with directors retiring by rotation. This year, director Jacqueline Rowarth is retiring by rotation and will stand for re-election. DairyNZ is also inviting applications from farmers for

one position on the directors’ remuneration committee, which independently sets the directors’ fees. Both the board and the directors’ remuneration roles are open to current levy paying dairy farmers. Two current levy payers must nominate each candidate. Nominations must be received by the returning officer by noon on Friday, September 3.

INDUSTRY GOOD: Chair Jim van der Poel says DairyNZ is in a unique position to support farmers and to advocate on behalf of farmers to influence future policy changes.

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FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Rural GP Network weighs covid risks Colin Williscroft colin.williscroft@globalhq.co.nz THE New Zealand Rural General Practice Network (NZRGPN) is looking at ways it could step in and help if staff from a rural practice had to isolate because of covid-19. NZRGPN chief executive Dr Grant Davidson says the network is aware that if a health worker in a small rural practice becomes infected, then the entire staff of that practice may have to go into isolation, leaving the health of the local community at risk. “We are working to look at how we may be able to mobilise a small team to move into an area to assist if such an incident occurs,” Davidson said. He says the network is looking at identifying a pool of locum doctors that it could relocate at short notice. That would be supplemented by a call out to practices near the affected one that might be able to bolster the workforce. The network would work with local primary health organisations at the time to coordinate the coverage, with Pandemic Emergency Roving Locums (PERL) funds covering travel costs if necessary, so there wouldn’t be a burden on any practice or individual. The network has welcomed the Ministry of Health’s decision to extend the PERL contract for a further six months. Davidson says the decision recognises that the impact of covid-19 on rural practices is ongoing and many of these practices are already shortstaffed while having to cope with swabbing and vaccination on top of their normal community health needs.

DANGER: NZRGPN chief executive Dr Grant Davidson says if a health worker in a small rural practice becomes infected, then the entire staff of that practice may have to go into isolation, leaving the health of the local community at risk.

Davidson says managed isolation and quarantine issues are the major barrier to getting more health professionals into New Zealand. “Although there are ways to get visas for critical health care workers, there are no practical ways to book MIQ places for those critical workers that give certainty to them to book flights for themselves and their dependents,” he said. “This remains the most frustrating part of the system that is causing applicants to cancel their intended visit to NZ to help the health system.”

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This remains the most frustrating part of the system that is causing applicants to cancel their intended visit to NZ to help the health system. Dr Grant Davidson NZRGPN He says the recent covid-19 outbreak in Auckland, with an infected person visiting sites in the Coromandel, highlights the vulnerability of rural areas and their practices. “Practices in the Coromandel have had to ramp up to high levels in order to achieve testing levels that will act to contain further spread of the virus,” he said. “We are working with the primary health organisations in that area to monitor workload issues and provide support where possible.” He says that the stress levels on staff may not be immediately apparent, however, the burnout may show signs days or weeks after the event passes. “We are looking to provide locum support through the PERL funding to help with this,” he said. Because the remaining PERL funding is limited, the network aims to focus those funds in the immediate future to support Coromandel and rural Auckland practices that are bearing the brunt of the current covid-19 response. The network also wants to ensure there are PERL funds remaining to support similar future outbreaks that might occur anywhere in the country, which could affect other rural practices in a similar way to the current Auckland/Coromandel outbreak. However, it welcomes applications for locum support from any rural practice that can demonstrate that it is in urgent need of staffing assistance due to the impacts of covid-19 on their workplace.

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18 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Scales boosts profit despite challenges Hugh Stringleman hugh.stringleman@globalhq.co.nz SCALES Corporation has produced good increases in earnings and net profits during the first half-year, during which most of its fruit harvesting, packing and exporting occurred. Underlying net profit after tax in the six months to June 30 was up 15.4% to $33.3 million and earnings before interest, tax, depreciation and amortisation (Ebitda) were up 11% to $54.8m. The improvements in performance were gained in a harvest marked by adverse weather events and labour shortages and came from better prices obtained from lower fruit volumes, chief executive Andy Borland says. The Mr Apple division anticipates total own-grown export volume of 3.6m tray carton equivalents (tce) compared with 3.9m in 2020 and about 27% of the volume remains to be sold, some of it already on ships or in overseas coolstores. Borland says the horticulture division had first-half Ebitda of $38m, up 2.9%, and the food ingredients division did $16.1m, up 46.3%. The sustained global demand for petfood showed in the 30% increase in volumes sold. The Ebitda for the logistics division fell to $2.7m, but Borland says its strategic value was important in times of shipping disruption, sourcing reefers and

NOTEWORTHY: Scales chief executive Andy Borland says improvements in performance were gained in a harvest marked by adverse weather events and labour shortages, with an extraordinary effort from the team.

Agrievents Know Your Mindset. Grow your influence Programme run across two sessions: Module 1: Online Zoom • Invercargill (1) - Southland, Monday 6 September, 7.00-8.30pm • Invercargill (2) - Southland, Monday 6 September, 7.00-8.30pm • Lake Karapiro (1) - Waikato/Bay of Plenty, Wednesday 22 September, 7.00-8.30pm • Lake Karapiro (2) - Waikato/Bay of Plenty, Wednesday 22 September, 7.00-8.30pm Module 2: In person • Invercargill (1) - Southland, Tuesday 21 September, 12.00-2.30pm • Invercargill (2) - Southland, Tuesday 21 September, 6.00-8.30pm • Lake Karapiro (1) - Waikato/Bay of Plenty, Wednesday 29 September, 9.00-11.30am • Lake Karapiro (2) - Waikato/Bay of Plenty, Wednesday 29 September, 12.30-3.00pm Light refreshments (lunch or supper) will be provided at the face-to-face workshops. Cost: $30 per person, covering both sessions To register: https://www.awdt.org.nz/applying/

Andy Borland Scales permanent staff has doubled from 200 to 400, at the same time as a 37% increase in RSE workers to 1200. “We have the workforce to get through to early next year and then we expect RSE to kick in with fully-vaccinated workers from the Pacific Islands,” he said. Nevertheless, Borland says the Government has made it clear to the horticultural industries they cannot expect easy access to migrant labour. Scales is part-way through a 10-year automation plan and the first stage was the new

Hugh Stringleman hugh.stringleman@globalhq.co.nz

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We have the workforce to get through to early next year and the anticipated RSE workers.

Whakatu coolstore, delivering reduced power consumption, reduced double handling of fruit, transportation costs and carbon emissions. The next three to four-year project was automation of the Whakatu packhouse to fully automate fruit handling and possible 24x7 operation. On-orchard automation would follow, although Borland warned that the apple industry had a long way to go before robot pickers were commonplace. Scales had net cash reduction at June 30 from $55m to $38m, reflecting the new coolstore and orchard developments. The outlook for the second half and the full-year results is for net profit between $32m and $37m and implied Ebitda of $65m to $72m. Profit would be steady on FY20 and earnings would be up by $11m-$18m. The directors will consider the interim dividend in November, payable in January and the final dividend in May, payable in July. In FY20 the total paid was 19c fully imputed, a gross dividend yield of about 6%. The strong first-half result produced a 35c increase in the share price, up 8% on the day to $4.82. However, the share price has traded above $5 during the past year as investors appeared nervous about harvest and shipping problems, both now allayed by the interim results and explanations.

Seeka delivers profitable first half

Wednesday 29/09/2021 AWDT – Generation Change Do you know a young woman about to embark on a career in food and fibre? Tell her about Generation Change. New from @AgriWomensDevelopmentTrust, Generation Change is a oneday workshop and support community preparing young women for a life of meaningful work and positive impact. Designed for women in tertiary study or training with agri-food career ambitions, ‘Generation Change’ is about starting the journey with a clear sense of their values, strengths and purpose. By connecting with a community of supportive peers, inspiring primary sector leaders and a mentor, it’s also about going the distance together. For more information and to register: www.awdt.org.nz/generationchange-2/

Saturday 06/11/2021 – Sunday 07/11/2021 Marlborough A&P Show Horse classes, Livestock, Animal Nursery, Childrens Entertainment, Trade Exhibits. Town and Country Together Venue: A & P Park Blenheim For more infomation, phone 03 578 5822 - www.marlboroughshow.co.nz Email: marlborough.show@xtra.co.nz

shipping space for Scales and its customers. Mr Apple had 14% fewer RSE workers last autumn compared with 2020, but the numbers were boosted by locals and working holiday scheme people. “We are extremely grateful to the entire Mr Apple team for their extraordinary effort to pick, pack and export this year’s harvest,” Borland said. Over the past eight years the

LISTED produce company Seeka Limited has exceeded market expectations by increasing net profit before tax by 77% to $30.8 million in the six months ended June 30, 2021. On October 13 it will pay a fully imputed interim dividend of 13c a share, compared with 10c in the first half of 2020. Group revenue in the six months was $224m, up 26%, and chief executive Michael Franks said the company’s strategy had delivered a 77% increase in earnings. “Seeka delivered outstanding customer service and excellent financial results to shareholders in the first six months of 2021,” Franks said. Its share price put on 20c after the first-half results announcement, increasing from $5 to $5.20. The share price has risen $1.12 over the past year, or 27.5%, and the market capitalisation is now $204m. Franks says Opotiki Packing and Cold Storage was acquired for $34m in May, with an 8m tray capacity and the extended reach for Seeka into the quickly expanding Eastern Bay of Plenty, East Cape and Gisborne kiwifruit districts.

UP: Seeka chief executive Michael Franks says the company’s strategy had delivered a 77% increase in earnings.

A significant cornerstone investment of $2.6m had also been made into digital startup Fruitometry for the development of smart orchard scanning technology to lift production and help supply chain efficiencies. Seeka is putting $20m into post-harvest capacity for 2022, including a new automated packline and high-efficiency coolstores near Te Puke. Guidance for the full financial year is net profit before tax of $13.5m and $16m, plus an expected share of the successful kiwifruit claim against the Crown. The one-off gain would lift

profit expectation to $20m to $22m. Seeka says earnings are heavily weighted towards the first half of the year from fruit harvests in New Zealand and Australia. In 2020, the full-year dividend was 22c and in 2019, 24c. A 2021 result that exceeded these numbers would deliver about 5% gross yield on the current share price for 1500 smaller investors, mainly growers, who have less than 5000 shares each. These shareholders are 70% of the number of investors but own under 10% of the total shares.

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Farmers’ support pivotal to rural communities Since 2011, the Cash for Communities programme has successfully provided financial support to rural communities throughout New Zealand. Partnered by PGG Wrightson and Ballance Agri-Nutrients, Cash for Communities has raised $600,000 to date for rural focused organisations, schools, clubs and charities.

Chairperson explains, “was established to fundraise for a new rest home. We currently have a community run rest home which is coming to the end of its life, so we identified the need to build a purpose-built facility so people can continue to live here as they grow older.”

Visiting recipients from last spring’s campaign, it is easy to see the positive impact these contributions have.

“It’s a fantastic project, we’ve got lots of community support with land daonated to us. In particular, the farming community has been pivotal in getting this project underway,” says Janine.

Tatuanui School, located in the Waikato, is a focal point within the community and is attended by 130 children. Principal, Denise Jones, says the school relies on funds, such as the $2,007 Cash for Communities donation, to provide additional opportunities for the children that otherwise wouldn’t be available. “We are grateful for the support shown by local farmers, PGG Wrightson and Ballance Agri-Nutrients. The Cash for Communities donation will provide an activity beyond the standard curriculum. We are looking forward to placing a bike track around the school to extend the children’s learning outside.” PGG Wrightson Tatuanui Store Manager, Rex Madden, actively promotes the Cash for Communities programme within the community to raise funds for local schools. “I have been Store Manager for five years now. When I commenced as manager, I met with the principals of schools within the district to create awareness of the programme. Since then, I follow up with the schools yearly letting them know when the programme commences so they can promote it.” Moving south to Canterbury, Methven Care Trust received $1,057 through Cash for Communities. The Charitable Trust, as Janine Holland, Interim

In Southland, St John Ambulance was a recipient of Cash for Communities donations. As with many rural organisations, volunteers are vital to St John. St John Emergency Medical Technician, Helen Wilson, is based at St John Northern Southland in Lumsden. She says the $1,905 donation will go towards supporting the 15 volunteers who give their time to St John and their community. “St John can’t survive without community involvement. The donation will go towards housing for our volunteers who come from the wider community to work the night shift. Thanks to all the farmers who nominated St John,” says Helen. To contribute to a local organisation that is important to you through Cash for Communities, simply nominate them and they will receive $1 for every tonne of participating Ballance Agri-Nutrients fertiliser purchased on your PGG Wrightson account this spring. Visit cashforcommunities.co.nz to learn more.

Purchase fertiliser and support your community Over $600,000 has been raised through the Cash for Communities programme in the last 10 years. Help support your community this season with your fertiliser purchase. Purchase Ballance Agri-Nutrients fertiliser between 1 September and 30 November 2021 and $1 for every tonne purchased will be donated to your chosen qualifying cause.*

Nominate your cause today at cashforcommunities.co.nz *Open to PGG Wrightson Ltd account holders only. Excludes Lime and Gypsum. See full terms and conditions at cashforcommunities.co.nz

News

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Fert prices a blow for growers Annette Scott annette.scott@globalhq.co.nz SKYROCKETING fertiliser prices are blowing the budget for arable farmers, with no relief in sight as new season crops go in the ground. Compared to a year ago, fertilisers have more than doubled inputs costs with no sign of slowing down. An autumn price rise, followed by a second even bigger rise this month, is a blow for growers. “It’s a big hit, the first one was significant and now an even bigger one,” Federated Farmers arable industry chair Colin Hurst said. “After the hit in autumn we did expect it would come down, it’s done the very opposite, gone way up.” Hurst says the escalating prices are concerning; he dug out a few invoices for his farm’s urea purchases. “A year ago, I was paying $533 a tonne, today the cost is $843 a tonne – that’s a 52% increase,” he said. “Some of agriculture’s critics highlight that commodity prices are pretty sweet at the moment and thus we shouldn’t have much to complain about. “But that ignores the fact that our input costs like fertiliser gnaw considerably into bottom lines.

STATUS QUO: Rabobank senior agricultural analyst Wes Lefroy says high fertiliser prices are here for at least the remainder of 2021.

“Little wonder that when the Government piles heaps of regulations on top of that, it can all feel like a bit of a grind.” In a memo to farmers, one fertiliser company pointed towards global fertiliser prices continuing to be impacted by heightened demand, short supply and increasing manufacturing costs. “Unfortunately, this means a further lift in prices on our imported products,” the memo said. These price increases are being driven by several key factors, with Chinese manufacturers

prioritising product for domestic growers, squeezing the amount of product available to the rest of the world. Demand for urea in India is very strong, contributing further to the supply-demand imbalance. High global energy prices have also increased manufacturing costs. The Rabobank monthly agribusiness report suggests the current trend will remain awhile. “We expect that high fertiliser prices are here to stay for at least the remainder of 2021,” Rabobank senior agricultural analyst Wes Lefroy said.

“While we are not even at the finish line from an inputs perspective yet, the 2021 winter season has been characterised by high prices and tight supply. “This year alone, global urea prices have increased between 60-70% and DAP prices have increased 55%-75% in US dollar terms,” he said. Ocean freight costs have added a further 10% to the farm gate costs. “Looking ahead, we expect that current price levels could prompt farmers to buy only minimum phosphate requirements for the next season.” However, Lefroy says any reduction this brings to demand and therefore price, is likely to be short-lived because of diminished export availability from China. On the nitrogen front, aside from ongoing strong global demand, a recent announcement from Chinese state-owned enterprises of their intention to focus on domestic markets will place further pressure on global prices. “We expect high prices will not be limited to fertilisers only, as Chinese glyphosate prices have also nearly doubled this year,” he said. On a positive front for NZ grain growers, the United States Department of Agriculture (USDA) supply and demand estimates

paint a brighter picture. Top global wheat exporter, Russia, has been hit by dry conditions that are expected to reduce this year’s crop by 5.9 million tonnes. That has pushed up Russian wheat export prices by 15% in the past month and sparked steep crop price rallies from other leading exporters, such as the United States. The dry conditions also hampered US wheat production, forecast at a 19-year low of 1.697 billion bushels. As the northern hemisphere harvest is currently happening global yields are back with prices bullish, boding favourably for some domestic grain pricing. “It’s pleasing to note NZ grain pricing is very firm,” Hurst said. He cited a recent trade of 500t of barley sold at $460/t off-farm, with feed wheat prices just below this. The current imported bread wheat price at $500/t, though is disappointing given the current offering by the flour mills for NZgrown bread wheat at $440. “It’s worrying that buying practices we believe may be anticompetitive, coming at a time where growers are able to receive better prices for animal feed wheat, may result in NZ becoming more reliant on imported milling wheat for a staple food,” he said.

Skellerup result exceeds predictions Hugh Stringleman hugh.stringleman@globalhq.co.nz SKELLERUP made a net profit after tax of $40.2 million, up 38%, in the financial year ended June 30. The result exceeded the company’s most recent guidance of $37m to $39m, made back in April.

Earnings before interest and tax (Ebit) were up 33% on the previous financial year to $56.4m and revenue was $279.5m, up 11%. The Ebit for the agricultural division was $30.5m, up 20%, and the revenue just over $100m. The directors have declared a dividend payment of 10.5c a share (50% imputed) in addition

to the interim of 6.5c. Chief executive David Mair says the growth in earnings came from focus on engineered products for critical applications in everyday commerce. “These are the supply of safe potable (drinkable) water; the production of milk and milk products; the performance of appliances in homes and

workplaces; health and hygiene in hospitals, shops and homes; the safety and comfort of sporting and leisure equipment; and the integrity of roofing systems on homes and workplaces,” Mair said. “Footwear sales were also up lead by the Red Band gumboot; the quality and durability of this product is synonymous

with NZ farming and sales continue to grow in urban markets.” Following the results announcement Skellerup shares rose 25c to $5.50 and have risen $2.90 or more than 100% during the past 12 months. On the current share price the gross dividend yield during the past year was 3%.

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News

22 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Water a barrier to diversification Gerald Piddock gerald.piddock@globalhq.co.nz

NOT CUT-AND-DRY: AgFirst consultant and farmer Phil Weir says diversifying away from pasture-based farming to horticulture is harder than it appears in Waikato.

Protecting Kiwi Waterways Dr Bert Quin

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Caution advisory from Dr Bert Quin: “I am aware that some phosphate from Algeria has recently been imported by another party, and is being on-sold as-is to small retail companies. I am waiting on more information from the supplier in Algeria (Somiphos), but it appears to be a coarser grade usually sold only for use on extremely acid soils, or for further grinding by the importer. If my information is correct, the product cannot be relied on to perform to the standard of an RPR on New Zealand’s mildly acid soils. I recommend caution until I have more data, and my request to take a representative sample for analysis has been granted by the importer.”

A NEW project has identified securing water as the main barrier stopping Waikato pastoral farmers diversifying to enterprises such as horticulture. Switching to horticultural crops from drystock or dairying required a consistent water supply throughout the year, which cannot be guaranteed with the region’s increasingly dry summers, the AgFirst study found. Getting the necessary water also meant acquiring a resource consent or taking an economic risk and drilling for bore water, with no guarantees of success. The six-month study was completed last year, with the help of funding from the National Science Challenge Our Land and Water NZIPIM fund. It also had support from AgResearch. AgFirst consultant and Waikato drystock farmer Phil Weir outlined its findings when the consultancy company released its Waikato-Bay of Plenty financial survey in early August. The study took 12 family-owned farming businesses that were looking to undertake due diligence around a land-use change / diversification. AgFirst, as a part of the project, facilitated and supported these businesses in the due diligence process through workshops. These businesses wanted to diversify for financial and environmental reasons, while others saw it as a succession tool. Weir says they were looking at everything. “We had people looking at dairy sheep, vegetable production, maize, kiwifruit, blueberries, other horticulture, dairy goats, tourism and a range of other activities,” Weir said. The project followed on from a 2019 Waikato Regional Councilfunded study, which looked at the economics and risks of land-use change in the region. The interest and pressure on farmers to diversify will grow as environmental regulations tightened. The Climate Change Commission’s report also anticipated there will be at least 3000ha of land-use diversification per year, which was double the current rate. While many conversion options, including sheep or goat milking and horticulture, had a lower methane output, none were silver bullets financially. “All required some form of capital and most required significant capital upfront,” he said. In addition to capital, farmers also found that the time commitment required to carry out a due diligence exercise was often onerous while running the existing business as well. While the issues of time and money were disadvantages, the biggest barriers stopping diversification were the lack of information and resource limitations, most notably water for irrigation. It was generally the first thing

that tipped most people up. “For the most part, people were saying that we went through a process and found that water was too difficult,” he said. “They want to have a crack – but in doing so it becomes hard.” The fact that it was wet in Waikato and farmers might be able to store water or use waterways that went through their properties did not mean they could create or access those water sources at the scale required to enable land-use change. Nor was the existing water usage used on a typical dairy farm adequate for a horticulture operation, particularly when it required constant irrigation in summer. It would also be outside the farm’s existing consent conditions, meaning a new consent was required. What was left was the costly exercise of having to drill for water. “It’s a $120,000 roll of the dice to see if you’ve got water because it’s very binary if you’re going to proceed with any horticulture based on whether you roll water or you don’t roll water,” he said. “For a ma and pa who are trying to do that as part of their operation, if they had to dig two or three bores, that’s a $200,000$300,000 undertaking. “If you’re not corporate agriculture and you’re like me, a 37-year-old buying into a farm, taking the punt on water tests your nerves, both because it is uncertain if you will hit water, but also because getting certainty on the approval path is not always clear.” Faced with that burgeoning cost, he says potential diversifiers then naturally question if they want to do it. There are not enough environmental incentives for diversification for people looking at horticulture or alternative milking. Weir says that should not just be pine conversions and stronger financial incentives were needed to help farmers thinking of diversifying into higher-value activities. Critical to solving that issue will be where carbon pricing lands, which could be known later this year. As unpalatable as it is to farmers, those incentives may have to be in the form of a subsidy to assist early adopters and enable more over-the-fence learning. He saw a greater role for the Government in helping with those incentives, as well as industry groups such as Irrigation New Zealand. “Otherwise, it’s going to remain in the domain of the agri corporates or the larger-scale farming operations and you’ll see continued aggregation of farming assets and family farms will come under more threat,” he said. Apart from Canterbury, where much of that region’s pastoral and arable farming was under irrigation, he expected water to be a similar barrier in other regions around the country. The project will be outlined in NZIPIM’s September journal.

AginED Ag ED

FOR E FUTURIA G R R S! U PR EN E

Volume 71 I August 30th, 2021 I email: agined@globalHQ.co.nz I www.farmersweekly.co.nz/agined

Lockdown study special

THIS GRAPH SHOWS NZ BEEF EXPORTS.

Hey guys,

• What can you reward yourself with for finishing? So we have • Plan your study sessions for the morning where found ourselves possible - we are more able to focus and take in lockdown 2.0 things in earlier on and then spend time in the and you could be afternoon doing some exercise, having some chill feeling all sorts of time, or helping on the farm. things from being • Exam stress? Talk to your parents about it and worried about your make the most of this time to get some 1:1 with mock exams, when you will get to see your friends a teacher you know can help. It is very hard to again or about any other number of things. remember anything when we feel overwhelmed so Here are some things you can do to keep yourself best to sort that out first. moving forward each day in a positive way: • Don’t overcomplicate lockdown - we can’t control • Create a cool work/study space that helps you feel like you can focus free of distractions from things happening around you in the house.

what is happening outside of our bubbles, but we can control things like getting work done, getting fresh air, calling friends and exercising.

• Set up an online study group with friends or others who have similar work to do. That way you can feel like you are surrounded by people while you help each other and it’s very motivating!

• Keep your routine as similar as you can to being at school, that way you will find the transition back to school easier. E.g., continue to get up at the same time each day and eat regularly while keeping to your personal study plan.

• Write a list at the end of each session to plan what you want to achieve the next day - it is so satisfying • Trust that it won’t last forever - everyone else is in ticking off things when you have done them and will the same boat as you. make you feel able to relax on your downtime. Make Harriet sure it is an achievable list though!

BE IN TO WIN!

This includes an awesome four piece clothing pack from Stoney Creek for our teens and our younger readers can be in to win some amazing toy prizes from Husqvarna. Send us you pictures at: agined@globalhq.co.nz

STRETCH YOURSELF: 1 If the next few months of exports followed typical seasonal trends, what could you expect beef exports volumes to do? 2 China was the main market taking just under 20,000t of the 52,700t total in June. Can you work out China’s market share that month? 3 Cattle slaughter was high during June, how would this contribute to export volumes? Toy Lawnmower

Herd or FlockToy Leaf Blower

Toy Chainsaw

Toy Chainsaw Kit

Toy Automower®

Toy Trimmer

HERD OR FLOCK CROSSWORD 1

Cattle and Sheep are both (think stomachs)

A female sheep

The largest species of sheep

5 6

10 11 12

17 An uncastrated male bovine

19 A castrated male bovine 20. These sheep shed their own wool

What do you need to lead your calf or lamb

An uncastrated male sheep

What do lambs and calves need to survive and grow?

A female bovine before she has her first calf

The largest breed of cattle in the world

How many digestive departments are in a cows stomach?

13 A female bovine after having her first calf

Sheep need this to be done to remain comfortable as the weather gets warmer

2 4

12 What else do calves and lambs eat?

16 Sheep and Cattle have feet

DOWN 2

10 In what season are lambs usually born in New Zealand?

14 It was the first mammal to be cloned from an adult cell 15 A castrated male sheep 18 If taking a calf or lamb to pet day they need to be

Across 4. Cattle and Sheep are both _________(think stomachs) 6. A female sheep

2 How do June exports this season compare to last season and the five-year-average? 4 What months are beef exports typically at their lowest?

Send us in a picture of your lockdown workspace and be in the draw to win some fantastic prizes!

1 How many tonnes of beef was exported in June?

3 How do June exports compare to the previous month?

Sometimes you have to be creative with workspace and often it’s not easy, but you make it work. Here is a picture of me in a meeting in my truck. Maybe you have a very busy or loud household, and this means that you have to try and find a quieter space for group calls etc?

ACROSS

Have a go:

Down 1. Sheep need this to be done to remain comfortable as the weather gets warmer

The official newsletter of the agripreneur.community Pulse is the daily newsletter for those who choose to be fully informed on primary sector news, weather and insights including: • The most important sector news of the day • Expert market commentary and analysis • New thinking, agritech and innovation • WeatherWatch updates and insights • A fun quiz that will also test you • A weekly poll and opinions that will challenge you and lead the conversations we all need to have Pulse is produced for you Monday - Friday by the combined newsroom resources of Farmers Weekly + AgriHQ + WeatherWatch and partners.

Pulse is normally $180 + GST/ year, but to help educate our future agripreneurs we’ve made it FREE! If you are a secondary school student studying Agribusiness, Agricultural and Horticulture Science you can sign up to receive Pulse for FREE. All you need to do is scan this QR code which will take you to our AginED page in Farmers Weekly where you will see a link to fill out a google form, or you can email belong@ agripreneur.com and get the link via email. You will then receive Pulse daily to your school email address. FREE.

24 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Newsmaker

For the love of ag For a sector feeling under constant attack, the optimism and confidence three teenage Otago school pupils have in farming, is nothing short of invigorating. Neal Wallace reports.

ATASHA Hastie spent the first day of the latest covid-19-enforced lockdown shifting electric fences on her parents’ Southland farm. Sent home from Dunedin’s St Hilda’s Collegiate boarding school, the 17-year-old relished the opportunity to swap textbooks for getting out on the farm, part of a long-term goal of one day running it herself. Such an achievement will make her the fourth generation of the family to farm Mt Wendon Station, a 2000ha sheep and beef hill country property between Waikaka and Waikaia. Latasha, a Year 13 pupil, recently won an innovation competition organised by city business advisors and accountants Polson Higgs, in which contestants had to outline their views on the future of farming. While acknowledging the industry has challenges, Latasha is optimistic and enthused about a sector, of which she is proud to be a part of. “If anything, I am really excited,” Latasha said. “If you have got a challenge and can see an outcome, then it’s really exciting.” A start to ensuring that future, is for farmers and Government to co-operate in confronting those challenges and an acknowledgment that farmers love and respect their land. “When we come together with practical and realistic solutions – especially for the environment, once people see land is unique and different and every person is unique and different and what they do to produce the very best

products, they will see farmers want their land to be in peak condition, they don’t want to destroy it, ” she said. In her speech, she looked at New Zealand’s and the global farming scene, and then related that to her family farm. She covered topics as diverse as the use of drones, genetic modification, robots and challenges such as climate change. Latasha saw the challenges facing NZ as exporters providing products wanted by consumers, but also farmers and government finding what she called “practical and common sense solutions” to issues confronting the sector. That included the environment, the role of forestry and resurrecting demand for wool, but also mental health, an issue she is particularly concerned about. “I would like to see mental health among farmers normalised, that it is okay to speak out,” she said. Farm succession in the next 20 years is a looming personal and family challenge, but she wants to show that females can fulfil their farm ownership dream. While benefiting from the investment of earlier generations in livestock genetics, Hastie is enthused about continuing to improve those genetics. “I love being able to watch and see a lamb grow and develop and know it is providing health to people around the world,” she said. Next year, Hastie is heading to Lincoln University where she will study a Bachelor of Agriculture before gaining work experience and then heading home to the farm.

PASSION FOR AGRICULTURE: Three Otago school pupils won a speech competition run by Polson Higgs on the future of farming. From left, Te Kahui Mariu-Boreham, Latasha Hastie and Isla Hastie.

Second place in the contest was South Otago High School Year 13 pupil Isla Hastie (no relation). Her parents farm sheep at Waitepeka south of Balclutha and her speech addressed the growth of regenerative farming, climate change and the use of DNA tracing as a marketing tool, allowing consumers to trace meat back to the farm from where it was bred. The 17-year-old is also optimistic about the sector’s future, although she believes it will be vastly different to what it is now given challenges, such as water quality and climate change. “I hope it’s not going to be too different but with all the policies that are happening, it has got to have a big impact,” Isla said. That does not detract from her excitement about career prospects. “I definitely want to be in the industry. I love the lifestyle, being outdoors and working with animals. I like farming and I like the people,” she said. It will require some adjustment, such as dealing with less reliable seasons, something being youthful will help. “We can’t carry on with the old

practices, we have to be flexible and change with the times,” she said. But change cannot be at the expense of family farms, which Isla says must remain at the nucleus of NZ farming. “I do not want to see them die off. They are still crucial to rural communities and they have so much history,” she said. Isla is also headed to Lincoln next year, intending to study a Bachelor of Agricultural Commerce, after which she says she will see the direction the qualification will take her. For Te Kahui Mariu-Boreham, it was an address to his agribusiness class that sparked his interest in wool. The 18-year-old Kavanagh College Year 13 pupil’s fascination with wool draws from attributes he says are underrated and misunderstood. Mariu-Boreham has no connection to farming, but at the prodding of teacher Jill Armstrong, is one of about 18 college pupils studying agribusiness, having been made aware of the sector’s many and varied career opportunities. “There are quite a lot of jobs

working in agribusiness, which could be me and it took my interest,” Mariu-Boreham said. His classmates, all from urban backgrounds, similarly view agriculture as an important industry which offers an abundance of jobs and opportunity. The course has taken them to visit farms and agricultural industries. “It’s good to not just see the milk on the shelf, but to see it happening,” he said. “It’s quite hard work.” The college’s Young Enterprise Group has developed a door wedge, dubbed woolly wedge, which is being sold in a Dunedin hardware store. Rubber is attached to one side of a piece of wedge-shaped recycled timber and wool on the other, providing both grip and protection for the door. Mariu-Boreham regularly dresses up as a sheep to promote the woolly wedge, but also to show his newfound love and respect for wool. Undecided about what he will do next year, Mariu-Boreham has a competing love for agriculture and music.

New thinking

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Pursuing a passion for fungi Mushroom picking in New Zealand is usually a paddock-hunting affair, sifting through grass, while dodging cow pats, for the elusive, earthy culinary delights. But mushroom expert Christopher Smith is overseeing a burgeoning fungi business based on edible native mushrooms, while also helping iwi preserve and commercialise their taonga. Richard Rennie reports.

ATIVE NZ mushrooms are relatively unknown to many Kiwis, but once formed a valuable out of season protein source for early Māori, their autumn growth coinciding with oncoming leaner winter diets. Former Manaaki Whenua Landcare Research scientist Christopher Smith says the fungi provided a protein source that, while not as great as meat, was useful for filling the dietary gap. “For early Māori they were also seen as something of a utility source. You could harvest a certain species, dry it and light it on fire, which would then smoulder for days and provide a valuable fire starter as you moved between camps,” Smith said. His interest in mushrooms extends back a decade after time spent in the bush; impressed at the artistic, almost mystical patterns of native fungi, it inspired him to try and grow some for himself. Realising his fine arts degree wasn’t the best foundation for greater fungi knowledge, he decided to study science, progressing to a Masters to learn all he could about fungal biology, genomics and the fungal species of Aotearoa. “Manaaki Whenua Landcare were starting a project looking at native fungi as an alternative protein source and I got on board with it, the timing was ideal,” he said. Biosecurity rules prevent any fungi being introduced that were not here before 1996. “For that reason, we have never had any new species from overseas added to our options. So, the obvious solution to grow the market is to commercialise the ones we already have,” he said. “The mushrooms are taonga and I wanted to work with

iwi right from the start of this project.” Reaching out through Landcare’s iwi connections, he started working with several iwi trusts. Working from a 20-foot shipping container in early trials, they were able to grow 20kg a month, with product that was in demand in high-end restaurants, with chefs keen to try native produce in dishes. The early work shortlisted the potential natives down to eight, including the pekepeke-kiore, which resembles cascading coral and is often found on tree trunks in the forest.

The mushrooms are taonga and I wanted to work with iwi right from the start of this project. It was found to generate the most consistent and highest crop yield per kg of input, which is predominately sawdust. The list of eight contrasted to the relatively few non-native mushrooms presently available for sale in NZ, tending to be limited to shiitake, button, oyster and enokitake. The decision to scale up the operation, with assistance through KiwiNet funding and support, posed something of a moral dilemma for Smith. “My specialty is technical knowledge, rather than commercialising. We felt that because the mushrooms are taonga, any commercial operation should sit with iwi,” he said. “We reached out to Auckland’s Ngāti Whātua Ōrākei who have a site at Ōrākei they were developing for their people that

includes a native plant nursery and orchard focused on feeding whānau.” Having left Landcare, Smith now has his own company, The Mushroom Smith, providing advice and fungal spawn to the project. The ownership of a business marketing taonga has highlighted to Smith the significance of food sovereignty. This is underscored by the Wai 262 claim – the Waitangi Tribunal claim about the recognition of rights and control of traditional Māori knowledge, customs and relationships to the natural environment. By the end of the year, he is confident iwi will have production up to 100kg a week of high-value native mushrooms, retailing at $60-$80/kg. This compares to shiitake that sell for about $50/kg. Ultimately, he can see the potential to offer the native mushrooms as part of a native food portfolio to chefs and gourmets. Iwi engagement is also strong in the high-value mānuka honey market, with tribal support strong for the label’s protection from non-NZ source claims. “And what we are doing with the mushrooms provides a template for production and commercialisation we could rollout to other iwi, given the mushrooms tend to grow across the country,” he said. The ability to grow the mushrooms on minimal land in shipping containers makes them ideal for engaging with a largely urban iwi population, while operating costs are reasonably low and market outlets nearby. “The key thing is to keep the air fresh and the humidity high, which can be done reasonably well in Auckland all year round,” he said. When it comes to the eating experience, he says he prefers his tempura style, deep fried in a light

IN SERVICE OF: Christopher Smith’s passion for mushrooms has evolved over the years to become an operation that’s helping iwi preserve and commercialise their taonga.

batter to keep the flavours in. For Smith the reward in pursuing his fungal passion is still being earnt through working with iwi to grow a product they feel strongly connected to and can generate jobs and opportunities with. He also attributes much to KiwiNet, the body where public research agencies pool funding and resources to get their best

research discoveries investor ready. His efforts have been recognised with him being one of four finalists in this year’s KiwiNet innovation awards in the “breakthrough innovator” section. “It was not just the funding, but the incredible level of mentorship and support I received, it was invaluable in helping us get started,” he said.

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Opinion

26 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

EDITORIAL

Building a resilient food system vital

S AN exporting nation, New Zealand relies on cooperation and trust to thrive. We see that in trade agreements and the commitment to the free and fair exchange of goods and services by countries around the world. That system has been under some strain in recent years, with nationalism and protectionism enjoying a surge in some countries. So a recent agreement by the Asia-Pacific Economic Cooperation (APEC) to build food security is a good sign. The food security roadmap aims to provide an open, fair, transparent, productive, sustainable and resilient food system, and to ensure people always have access to sufficient, safe, affordable and nutritious food to meet their dietary needs and food preferences for an active and healthy life. A key part of it is harmonising food standards and documentation, and the private sector will be given incentives to innovate. Ease of trade is vital to NZ’s success. So news last week that a deal with the United Kingdom is a step closer, with agreeable terms for our most vital exports, is encouraging. A diverse range of consumers insulates our sector from taking a hit if some economic or geopolitical issue hampers one market. Having our eggs spread between many baskets is the best way forward. Our trade agreement with China has supercharged export returns in the past decade or so, and it will hopefully continue to be the big player in our portfolio. But there are plenty more people around the globe who crave high-quality and sustainably-produced food. In a world that seems to be getting more polarised, it’s exciting to see parts of the globe recognising they’re stronger together – that food producers in each country can leverage their own strengths and that others will have their back to make up the difference. Covid-19 has shown us that looking out for yourself at all costs is a futile pursuit. It takes a community to ensure success.

Bryan Gibson

LETTERS

Kudos to Woodford’s carbon series RESPECT to Keith Woodford (Farmers Weekly, August 16) for laying out in a series of articles the state of land-use change in the farming sector. This is quite the best and most detailed offering we have had in the media in analysing what is happening. His latest article makes the point that the ETS and carbon price is having impacts on the New Zealand landscape. In November 2019, Agricultural Minister Damien O’Connor stated that “the Government has no policy that encourages high-value pastoral land to be planted in pine trees”. That may be so, but there is legislation about the ETS and carbon price that does exactly this, as Woodford has shown. And the Government just a few days ago extended the cap on the carbon price.

a mint, while the rest of us will be left to pay the social costs. Farmers have been trying to point out these costs for years now and all we see in return from governing authorities is the mantra of “right tree, right place”. Laudable, but hardly stopping the use of fossil fuels, while destroying a lot of pastoral farming in NZ.

Carbon farming will become even more inviting as an investment for those who can afford it. The hard decisions come now. What should our most precious resource be used for? Our land employs, feeds, clothes and shelters us. Without land we are nothing. It is a collective good. Instead of covering our land in perpetuity with carbon farms, would it

not be better for our society to move to collective practices to prevent carbon dioxide emissions? Better to have the fence at the top of the cliff rather than the ambulance at the bottom. Instead, what is happening in NZ is another version of selling off the nation’s silver, reminiscent of the 1990s. Those people who buy land for carbon farming will make

Judy Bogaard Wairoa

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

The power of confidence Andrew Laming

VER had that feeling of utter and total business confidence when you know that your business is humming, profits are good and you’ve got a great team of people in all your key roles? Chances are, you probably felt quite bullish about expansion or further investment, along with feeling good emotionally. Lately farmers may have been feeling just the opposite, weighed down by low commodity prices (until recently), bank pressure and environmental and social pressures. In the primary sector, confidence has been distinctly uncommon. What is called, “broader agricultural economy net confidence” (source: Rabobank economic survey, last version Dec 2020) has been net-negative since early 2018, which is a long time despite commodity prices increasing to near record highs. This article is not about where sector confidence is at, but how to get it back and why it is so important. Firstly, what is business confidence? Put simply, it means that your expectations about the future of your business and your industry are more positive than where you are today. And this simple statement is so important for an economy and for your business. How you feel often drives how much you invest or spend and if that is business capital spending and not consumer spending, it probably means the economy, and your business, are expanding. This is likely to mean more profit, a growing balance sheet and more shareholder wealth. You can probably reward your staff more and attract better talent. This, in turn, increases both your business performance and your staff engagement, for example. It’s an ever-increasing circle. Another aspect of confidence is how much confidence your stakeholders have in you, especially your bank. Given the high degree of subjectivity in the banking process, the confidence a bank has in a customer is so critical as to whether it provides you with more capital to invest, or worse, ask for it back in a seemingly unreasonable manner. At best, that can be the ability to purchase another farm; at worst, it can be the difference between holding or having to sell an asset. History shows these decisions can be made at the worst time, when not just the confidence of your bank is low, but that of the whole sector. That means the asset is probably not going to sell well. Just a word about overconfidence. It can manifest in the fear of missing out, leading to unsustainable business decisions

The

Pulpit PERSPECTIVE: NZAB director Andrew Laming unpacks where sector confidence is at and why it is so important.

and a prolonged period of loss of confidence taking years to unwind. Overconfidence can turn investment into gambling, which can lead to arrogance and loss. Being counterintuitive with confidence is also a consideration. When confidence is running high in a sector, asset prices are elevated as businesses seek to expand against a backdrop of excess demand for assets and limited supply. When confidence is low, the opposite happens and better value can be achieved when investing or expanding. To sum up, steady confidence and not overconfidence is one of the most important aspects of your business. Here are nine tips to remain confident in an uncertain world: 1. Have a clear vision and strategy for your business. Vision keeps you focused in both the good and bad times. It evolves into strategy, which is understanding what you are good at and doing more of it (your sustainable competitive advantage) and shoring up your weak spots, that might stop you being successful in the future. Strategic objectives need to be developed into designated actions to achieve – all prioritised, measurable and delegated. Don’t keep this to yourself, articulate it really well and share it with your bank and your senior business team. 2. Have a fit-for-purpose balance sheet. To cope with the volatility so inherent in farming you need retained earnings. This doesn’t necessarily mean you’ll have a bucket full of cash somewhere to access when things go down, but it does mean you have a reasonable likelihood of accessing more capital, probably from your bank, when these events occur. 3. Stress test your business against all possibilities, and this means running an actual scenario of lower product prices and lower asset values. This might sound negative but think how confident you will feel about investing if you know what the impact will be at ‘xx’ low

Given the high degree of subjectivity in the banking process, the confidence a bank has in a customer is so critical as to whether it provides you with more capital to invest, or worse, ask for it back in a seemingly unreasonable manner. payout and what plan you will rollout. 4. Remember history. While “past history is not a predictor of future results”, cycles do tend to be predictive in commodities. When prices go up, it can stimulate supply, decrease consumption, encourage investment into substitute production and increase consumption into substitute products. 5. Consult widely and don’t

make your investment decisions on your bank’s settings. At least in part, your bank’s settings reflect its appetite for agricultural loans and they should never be a proxy for your investment decision making. 6. Use specialists. The world is far too complex these days to employ generalists for your advice. The best businesses (and this is the same for advice) focus on one part of the supply chain and do it really well. 7. Keep an eye on future trends, but don’t get paranoid. It is very easy at present with the rate of technological change to think that an industry might be gone in a few years. While it is important to stay abreast of this, look to point 4. 8. Remain agile because things change and it can happen quickly. You have to be regularly assessing the impacts of these changes with your cashflow and your operating model. This might also mean changes to your strategy, which is not cast in stone and can change as the environment changes around

you. But at the same time, don’t run a knee-jerk business. 9. Communicate with your whole team, including your advisors, your bank and most of all your family. The power of collegiality and having everyone on the same page is so important, it’s almost worth another article. These are some suggestions for keeping confidence in a nonconfident world. If you have other things that you do, we would love to hear about them from you.

Who am I? Andrew Laming is based in Timaru and is a director of NZAB, the NZ-wide agricultural loan broker. Formerly, he was an agribusiness banker for 17 years.

Your View Got a view on some aspect of farming you would like to get across? The Pulpit offers readers the chance to have their say. farmers.weekly@globalhq.co.nz Phone 06 323 1519

Opinion

28 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Overseer is still relevant Alternative View

Alan Emerson

LET me start by saying what a great tool Overseer is. It was developed over 30 years ago, to enable farmers to determine their fertiliser application rates on pasture and it has supported farmers to learn more about nutrient loss from their farms. What’s wrong with that? Overseer “exists to enable New Zealand farmers to be environmentally and economically sustainable”. I don’t have a problem with that either. Overseer is in a state of constant improvement. All profits are ploughed back into improving the system. Overseer is a totally different product now than it was 30 years ago, or even 10. That is a credit to the system. Overseer is a valuable on-farm tool that was developed and is owned by AgResearch, MPI and the fertiliser industry, Ballance and Ravensdown. It remains a valuable on-farm tool. What it isn’t is a scientific monitoring system that measures nutrient losses in a highly precise manner. It was never designed to do that. We had councils insisting that was the case and Federated Farmers

insisting it wasn’t. Now the system has been called to question councils who have conveniently tried to pass the blame onto environment commissioners. I don’t accept that. What happened was that regional councils anointed Overseer for a purpose it was never designed to fulfill. Farmers and scientists told them that. Councils didn’t listen. Then a couple of years ago the Parliamentary Commissioner for the Environment, (PCE), suggested that Overseer was not an adequate regulatory tool. Farmers hadn’t suggested that it was. What followed was that we had a government-appointed review panel to assess Overseer as a regulatory tool. Unlike most committees chosen by governments over the years, the members weren’t chosen to give the Government the answers it wanted. The Overseer review was carried out by scientists appointed by scientists. I accept their findings but they should not have come as a surprise to anyone. Overseer is a state-ofthe-art on-farm management tool, not some scientific analysis and prediction system. The report acknowledges some of the difficulties that occur. “Nutrient losses from farms respond to various factors including management and climate. Measuring nutrient losses is challenging and cannot capture the entire range of possible conditions that might occur,” the report said. While I totally agree with

the statement, the report then addresses modelling, which I do have issues with. There’s been commentary that Overseer has had its day. I totally reject that. The good news is that Ministers Damien O’Connor and David Parker have agreed to “work on improving tools to manage nutrient losses on farms”. They will support “the development of the next generation of Overseer alongside a suite of tools to help in the management and estimation of on farm nutrient loss”. They accept that “a more accurate way to estimate nutrient loss is important to farmers, the environment and brand New Zealand”. I agree. I heard Parker on Radio NZ. He didn’t want to put farmers off using Overseer and he didn’t think the system was “fatally flawed”. He was also committed to developing a new Overseer, which was reassuring. Moving forward, my fond hope is that anything done is scientifically robust and peer reviewed. I’ve heard the arguments about nitrogen caps for fertiliser and they seem simplistic and unscientific. For example, I can limit my use of nitrogen fertiliser and then use poultry fertilisers and soybean meal as a supplementary feed creating greater N runoff. Input limits of any type won’t be effective for the same reason. Real-time monitoring isn’t an option either. For a start, you’d need

USEFUL: Alan Emerson says that despite the Government’s review, Overseer remains a valuable on-farm tool.

sophisticated monitors in every paddock to have any chance of a reliable reading. So what we have is an agriculture initiative, Overseer, that has for 30 years assisted farmers in their quest for supporting the environment and improving sustainability. It was never designed as a regulatory tool. That was foisted on it by councils. As an aside, as I’ve stated Overseer is in a state of continual improvement. What that means is that different variations of the system can give different results. I had a mate in Manawatū who was bemoaning the fact that he was compliant for one version of the system but not on another. The regional council back then had changed the version of Overseer without quite realising the implications of doing so.

That’s another example of why Overseer shouldn’t be used as a regulatory tool. From here the path forward is simple in my view. Farmers continue to use Overseer as they have for over 30 years. Overseer continues to be developed and improved as it has for that time. The Government assists with that improvement as O’Connor and Parker have promised. Life will go on and Overseer will continue to play a pivotal part in helping farmers on their journey to develop a sustainable and environmentally responsible future.

Your View Alan Emerson is a semi-retired Wairarapa farmer and businessman: dath.emerson@gmail.com

Business as usual on the farm From the Ridge

Steve Wyn-Harris

“THERE are decades when nothing happens and weeks where decades happen.” Vladimir Lenin might have written that while in exile before the 1917 Russian Revolution, but it fits these turbulent days over one hundred years later. Mind you, it’s not that turbulent here on the farm. Busy and frantic but little difference to what it would have been if it wasn’t Level 4 lockdown. I’ve been flat out doing lambing beats, tagging stud lambs, which came with a hiss and a roar and moving several mobs of bulls on crops each day. The main change is that the tennis coach is confined to barracks. Jane would normally be off coaching tennis and running women through their cardiotennis routines as she played

upbeat music through her big boombox, encouraging them through her headset mic to keep moving their feet. She is also in mourning as she has spent the past 35 years filling a paddock with daffodil bulbs and their flowers she sells through several outlets at this time of the year. She was right into her flower business when it came to a sudden halt, but the paddock for a change is covered in blooms and has never looked more stunning. When I told her that my biggest problem with the lockdown was not being able to recruit a few young fellows, townies or misfits so that I could do a big couple of days docking and get most of it done, she actually offered to come off the bench and give me a hand. She had been my docking mainstay back in the day but once the boys were old enough to step up, she said, “I’ve bred you three sons and am now retiring from docking” and she did. So, Jane, Lochy the Growing Future Farmer student and I have quietly worked our way through a few mobs each day this week, while working around our other tasks. The weather has been glorious for the undertaking, with frosty starts and breathless sunny days to follow.

BLOOMING STUNNING: Despite being in the thick of lambing, Steve Wyn-Harris can at least take a moment to appreciate wife Jane’s daffodils.

Because I usually have a temporary team in the yards, I’m flat out mustering, ensuring nothing gets mixed up, taking away and trying to keep that docking iron working flat out. By contrast, this docking has been slow and steady, almost serene, and much more enjoyable even if it’s not nearly as efficient. I usually only ever go into town a couple of times a week to do my rural radio show out of Central FM and as broadcasting is still deemed an essential industry, that has continued.

Given Jane has stepped up, I thought the least I could do was go to the supermarket to save her having to do it. Besides, we were out of beer and I figured it was the only place I could buy lunch as I was stopping at the bottom farm for the afternoon on the way home. I got the things on her list and the beer of course, but also all the things that are really useful in lockdown times that she doesn’t get, like baked beans, creamed rice, yoghurt, and packets of chippies.

We were all wearing our masks and it was quite a subdued and distanced shopping experience. We were in there to get what we wanted with the least amount of time and fuss and then to get out. It wasn’t until I got to the farm that I realised that of my two priorities – beer and lunch – I had completely forgotten the latter. So, I ate a big bag of salt and vinegar chips and regretted it for the rest of the afternoon. Those who are stuck at home with little to do would probably envy our busyness and purpose. However, just once I’d love to have the luxury of nothing to do on the farm for a couple of weeks and clean and declutter the office, workshop and various sheds. Tasks I have intended to do for decades but it just never happens. I did read once that we all need these desired but never completed chores as a mechanism that keeps us going. But I’d be much more content if I did get around to it, I’m sure. Maybe next year.

Your View Steve Wyn-Harris is a Central Hawke’s Bay sheep and beef farmer. swyn@xtra.co.nz

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

How reliable is the carbon market? The Braided Trail

Keith Woodford

TWO recent articles of mine have explored the economics of carbon farming on land that is currently farmed for sheep and beef. Those articles showed that, if financial returns are what matters, then at current carbon prices the development of permanent forests for carbon credits provides significantly higher returns than sheep and beef. My focus there was on the close to three million hectares of North Island farmed hill country, but a similar situation exists in considerable parts of the South Island. One big exception is the Canterbury Plains, where history shows that shallow soils, plus nor’west wind storms, wreak periodic havoc to forestry operations. Those findings on the apparent economics of forestry lead to a series of other questions. First, how reliable is this carbon market? Second, what are all the other important things apart from simple economics that need to be considered? In this article I am only considering the first question, which relates to the price of carbon. Even then, it is only a beginners’ guide. The other matters apart from simple economics will still have to wait. The New Zealand Emission Trading Scheme (ETS) is what is known as a ‘cap and trade’ system. That means that the Government allocates a set number of emission units, which manufacturing industries must purchase from the Government to offset their own emissions. These units are sold by public auction managed by the Environmental Protection Agency. The ETS is based on units of carbon dioxide. In common usage, these units are typically called carbon units, but the calculations are undertaken as carbon dioxide equivalents. So here I will use the

common usage, but for biologists and chemists who might try to calculate these things, be aware that the numbers actually relate to carbon dioxide equivalents and not mineral carbon. The price of the units at any time is determined according to the price where the supply and demand for credits is in balance. Companies that miss out on purchasing units must then trade with other companies that have credits for sale. Within this framework, finance companies also play a profit-driven hedging game of buying and selling units. The idea is that over time there is a declining number of units allocated under the cap by the Government. This leads to an ongoing increase in the price to a point where some industries become unprofitable and either cease or reduce their emitting activities. In broad terms, the allocations are supposed to decline by 1% each year in the current decade, then 2% per annum in the 2030s and 3% per annum in the 2040s. Consumers are also part of the ETS but only indirectly. For example, all of us, including farmers, are paying a carbon tax on purchased fuel. A litre of petrol once burned releases about 2.4kg of carbon dioxide, which here we are simply calling carbon. With carbon now selling for very close to $50 per tonne, that means that the carbon tax on a litre of petrol is approximately 12 cents. Most industries are emitting industries but the big exception is forestry, which sequesters carbon. In many situations this can be sold. Note that the forest has to be growing. Accordingly, forests that were existing in 1989 are considered to be baseline forests and no credits are available. Forests planted post-1989 can be registered at any time in the ETS and credits claimed thereafter, but only for the post-registration growth. Currently, NZ has about 700,000 hectares of post-1989 forests, of which about 333,000 hectares have been registered in the ETS. Why the remainder has not been registered is in itself a complex story. That story will need to remain for another time. My focus

here is limited to land that has remained in farmland since at least 1989 and is still in that state. NZ’s total gross emissions are of the order of 82 million units of carbon per year. From a national perspective, NZ sequesters about 27m units of carbon from its post1989 forests and this reduces the net headline number of emissions that NZ reports internationally to around 55m units. However, many of these forests were planted in the early 1990s and will soon be milled. The carbon benefits from these forests are about to reduce. Last year, there were only 6.9m units of credits allocated to registered forests. This highlights how our national situation does not necessarily align with what is happening within the ETS. Currently, methane and nitrous oxide resulting from agricultural activities are not included in the ETS. In time, that may change. However, there are strong arguments that there are better ways to deal with the relatively short-lived methane that ruminants produce rather than to include them in the ETS. Nitrous oxide produced by farming activities receives much less publicity than methane. However, as a long-lived gas, the long-term implications are considerable. There is a logic that nitrous oxide should come into the ETS. I expect this will be an increasing area of debate. Agriculture is not the only sector of the economy that has major emissions that lie outside of the ETS. Many companies that the Government considers would be at-risk from international competitors if they were included in the ETS, currently receive free allocations. In 2019, the latest year for available statistics, these free allocations totalled 8.3m NZUs spread across 85 different companies. At the current price of $50, these 85 companies are benefiting each year from this largesse by more than $400 million. The biggest beneficiaries of this system, with their 2019 free allocations shown in brackets, are NZ Aluminium Smelters (1,697,437 NZUs), NZ Steel (2,118,983 NZUs), Methanex NZ (1,318,490 NZUs) and Fletcher

SUPPLY AND DEMAND: The price of carbon units at any time is determined according to the price where the supply and demand for credits is in balance.

Concrete (689,425 NZUs). Based on a current carbon price of $50, then these four big firms are in aggregate benefiting by more than $290m. It is remarkable how, compared to the populist chatter about agricultural emissions, these big business exemptions get little publicity. These free allocations are supposed to reduce by 1% each year. At this point I return to the key question facing any farmer who is considering carbon farming: how reliable is the price of carbon? In doing so, I emphasise that this is a beginners’ guide. Currently, the Government has a policy that the carbon price will not be allowed to drop below $20, and with this minimum rising at 2% per annum, broadly in line with inflation. Similarly, there is a maximum price set initially at $50, with this maximum also rising at 2% per annum. The Government can ensure this occurs by adjusting the number of NZUs it supplies to the market. In contrast, the NZ Climate Change Commission has argued that the price should be allowed to rise faster. Their thinking will have been influenced by the reality that $50/t is insufficient to make a big change in either consumer or corporate behaviours if NZ is to meet its Paris Accord commitments. As just one example, at this point I go back to the topic of petrol prices where, as previously indicated, a carbon price of $50 translates to a petrol tax of approximately 12c per litre. Quite simply, a carbon tax of 12c/l is insufficient to change behaviours in any big way. So, the Government is caught between a rock and a hard place. If it holds carbon prices to $50 but with an adjustment for inflation, then behaviours across the broader economy will not change and NZ will not meet its Paris

commitments. NZ would then need to implement authoritarian regulatory systems as to what people can and cannot do. Conversely, if the Government allows prices to rise well above $50, then there will be an even bigger incentive for sheep and beef land to be converted to forestry. According to a recent webinar I attended, presented by an ETS specialist from the NZ Forest Service (part of the Ministry for Primary Industries), forestry is expected to contribute about 25m NZUs per annum in 2050. That has to come from either first rotation forests or new permanent forests. By my calculations, that will require another million hectares of pasture land to go into new forestry. The bottom line is that farmers have to make their own judgements as to whether carbon prices will rise or fall. It all depends on how the Government manages the cap. In other words, it all depends on Government policy and politics. My judgment is that the longrun price of carbon is more likely to rise rather than fall. But it is in the lap of the Government. * In the hours following this article being written, but before being published here, the Government announced that the minimum auction price for carbon would rise from $20 in 2021, to $30 in 2022, and $39 by 2026. The maximum price will rise from $50 currently to $70 in 2022 and to $110.15 in 2026.

Your View Keith Woodford was Professor of Farm Management and Agribusiness at Lincoln University for 15 years through to 2015. He is now Principal Consultant at AgriFood Systems Ltd. He can be contacted at kbwoodford@ gmail.com Previous articles can be found at https://keithwoodford. wordpress.com

RICK ALEXANDER

for the RAVENSDOWN BOARD

I will bring a life time of practical farming experience to the Ravensdown Board. Multiple years of governance experience running a large commercial multi-site healthcare organisation strongly supports my candidacy. Hard working, genuine and honest, I care deeply about the success of New Zealand’s agriculture sector. For many years I have benefited from sound management at Ravensdown and wish to contribute to the future success of the co-operative.

Rick Alexander Standing to ensure strong farmer representation on your board.

Nominator: Chris Grace Seconder: Hugh Donald Area: 5

r_alexander@xtra.co.nz

027 979 8900

linkedin.com/in/rick-alexander-52b033219/

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

FARMERS WEEKLY – August 30, 2021

Central Hawke's Bay 708 Old Hill Road Tender

A real change in real estate.

Stoneridge Farm

The Property Brokers and Farmlands partnership means great things for provincial real estate Together our combined strengths complement each other to create bigger networks, more buyers and better results.

Proud to be together

For more information call 0800 367 5263 or visit pb.co.nz/together

609 ha breeding property in the Porangahau district of Central Hawke's Bay, 40 km south of Waipukurau and on the boundary of the Porangahau Village. An approx. 30 min drive from Waipukurau. Contour is classified as easy, medium, steep hill rising from sea level to 260 m. The country is relatively clean with poplars and willows providing shade and erosion control. Reticulated water from elevated dam reservoirs. Improvements include, four bedroom and office, renovated homestead with views to the coast and over the farm. Four stand woolshed, covered yards and an excellent set of cattle yards.

Tender closes Thursday 7th October, 2021 at 2.00pm, Property Brokers, 98 Ruataniwha Street, Waipukurau View By appointment Web pb.co.nz/WR94108

Property Brokers Ltd Licensed REAA 2008 Property Brokers Ltd Licensed REAA 2008 | pb.co.nz

Pat Portas M 027 447 0612

EXPRESSIONS OF INTEREST

FARM LAND FOR LEASE An area of approximately 306ha is available to lease. Situated in Delaware Bay, Wakapuaka, Nelson. Currently used for Sheep and Cattle grazing.

South Canterbury 363 Elders Road, Maungati 'Glenshee' Located in the heart of Maungati this 555ha (more or less) breeding and finishing property features multiple income streams from sheep, beef and venison with strong productivity and with scope and capacity to lift production to an even higher level. Numerous farm sheds including a large fully accredited covered deer shed, sheep yards, cattle yards and a large family home complete this package.

bayleys.co.nz/5515919

Deadline Sale (unless sold prior) 2pm, Thu 9 Sep 2021 Unit 7/50 Theodosia Street, Timaru View by appointment Hamish Lane 027 685 6204 hamish.lane@bayleys.co.nz Georgie Robson 027 562 4100 georgie.robson@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Please reply by mail to: Wakapuaka 1B PO Box 10 Nelson 7040 or by emailing John.Rollston@Findex.co.nz

LK0108240©

Expressions of interest are invited with replies required by 5pm, Friday 3rd September 2021.

Real Estate

FARMERS WEEKLY – August 30, 2021

farmersweekly.co.nz/realestate 0800 85 25 80

RURAL | LIFESTYLE | RESIDENTIAL

EXCLUSIVE

CAREW, MID CANTERBURY

DEADLINE PRIVATE TREATY

Plus GST (if any) (Unless Sold Prior) Closes 1.00pm, Wednesday 29 September

'Aberystwyth Dairies' - Tier One with Scale • • • • • • • • • •

298 hectare MHV irrigated dairy unit Seven pivots with k-line fed from two ponds 618 stall barn with additional loafing barn Excellent array of farm buildings 60 bail rotary shed with ACR's, ADF teat spraying and auto flushing Excellent standard of housing with five homes Environmentally resilient dairy unit currently running split calving MHV authorised land use (ALU) for 1100 cows Current N loss 60kg/year Turn-key operation with scale, for genuine sale

Tim Gallagher M 027 801 2888 E tim.gallagher@pggwrightson.co.nz

pggwre.co.nz/ASH34685 Helping grow the country

PGG Wrightson Real Estate Limited, licensed under REAA 2008

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Tech & Toys

FARMERS WEEKLY – August 30, 2021

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Primary Pathways – Jobs, Education & Training

Livestock market data analyst - AgriHQ Fish Processing Projects 2021/2022

Project work means we are recruiting now for staff for various projects in our shore-based factory based in Nelson, that go through until September 2022. There are three fixed term contracts available: • September 2021 – February 2022 • March – May 2022 • May – September 2022

Business Development Manager Fish Processing Projects General Hand General Manager Head Shepherd Labourer

We have a new vacancy for a smart-thinking candidate to join our team of eight analysts. Using the latest tools you will be producing in-demand sale yard and market reports. You will be part of the team producing one of our flagship AgriHQ reports – LivestockEye, and in doing so, build on the strong relationships we have with industry contacts. Your week will be spent creating high level analysis and commentary relied on by primary sector business at all levels of the value chain.

Shifts available are: • Day shift – 6am - 2.30pm (8 hours) • Afternoon shift – 3.00pm - 11.00pm (8 hours) • School hours shift – 9.30am - 2.30pm (4.5 hours) • Night shift - Processing line cleaning and factory setup – 10pm to 6am (8 hours) • Vessel Discharge – early mornings coinciding with vessel dockings

Livestock Auditor Shepherd

*FREE upload to Primary Pathways Aotearoa: www.facebook.com *conditions apply

You will build professional relationships, extracting the right information from a wide range of industry sources. You will be working in a team the primary sector turns to first for independent content they value to keep them informed and give them a competitive edge.

What we are looking for, are people who will: • be 100% committed to health and safety • be able to work with continuous processing lines • have good hand to eye coordination • be physically able to do lifting • be punctual, reliable and good time management.

Contact Debbie Brown 06 323 0765 or email classifieds@globalhq.co.nz LK0107423©

There will also be optional overtime and weekend available at times.

A basic understanding/background in agriculture and/or farming and/or sale yards activity is essential, as well as a good level of writing skills.

Need staff?

You may work from home, or the office, North or South Island, and the role can be part time. Crucial hours are 2pm - 7pm three days/ week reporting on stock sales in Feilding and Canterbury, with the opportunity to do more over and above that.

LK0108321©

In the interests of health and safety if you go through to application stage, all candidates will be required to undertake a pre-employment health assessment which includes a drug test.

Advertise your job in Farmers Weekly

If you’re ready for the responsibility and the challenge, we invite you to register your interest and request a job description and application form now by emailing Cushla: hr@globalhq.co.nz

Phone 0800 85 25 80 or email classifieds@globalhq.co.nz LK0108349©

Some skilled operator positions are also available including forklift divers and filleters.

Applicants will be contacted with details of the next steps in our recruitment process.

AgriHQ Analyst

We invest in great people to create best-in-class products that include daily newsletter Pulse, flagship newspaper Farmers Weekly, online community www.agripreneur.com, the AgriHQ suite of data and analysis products, leading weather forecaster WeatherWatch and specialist site www.ruralweather.co.nz, Dairy Farmer magazine, the On Farm Story video series, vocational training system Agricademy and AginED, a wide range of podcasts, education and information resources, and various social and website destinations.

Sealord is a New Zealand based global seafood enterprise with a world-wide fishing, processing and marketing network that leads the seafood industry in the careful and sustainable management of fish and seafood resources.

Apply online at www.sealord.com/working-at-sealord/currentvacancies/ and follow the steps to upload your details.

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• Plan your working year • Multiple shift options • Great benefits

Offering competitive pay and benefits, apply now!

JOBS BOARD

Noticeboard

We are a driven and qualified brother

FLY OR LICE problem? Electrodip – the magic eye sheepjetter since 1989 with unique self adjusting sides. Incredible chemical and time savings with proven effectiveness. Phone 07 573 8512 w w w. e l e c t r o d i p . c o m

Ag jobs first!

farming duo and were recently 2021 New Zealand Share Farmers of the Year. We are great grass farmers and strive to set a benchmark of excellence within the industry. We are seeking a larger scale 50:50 role +1,000 cows for next season (FY2023).

Farmers Weekly Jobs - your one stop shop for primary industries careers

• Strong relationships – come with glowing reports from current and past employers and employees • Good grass-based farmers • Strong health and safety culture • Positive attitude • History of enhancing the properties we

Kells Wool clients are number one in my books, I do my utmost to get the best returns possible for them and that's why working with the farmer and the shearing team is essential to get the job 100% correct right from the start.” WOOL REP

MAUREEN CHAFFEY

WOOL

Independent wool brokers

p.06 835 6174 www.kellswool.co.nz

connections to quality workers Looking for:

CONTRACTORS

• 800 -1500 cows 50-50 sharemilking

GORSE AND THISTLE SPRAY. We also scrub cut. Four men with all gear in your area. Phone Dave 06 375 8032.

• Open to location • Equity partnership options LK0108099©

DOGS FOR SALE

Contact Manoj Kumar and Sumit Kamboj

9-MONTH TRIAL blood huntaway bitch, good nature, natural, big noise, promising. $1200. Phone 07 384 2889 a/h

027 721 85544 mirokfarm.kamboj@gmail.com

DELIVERING DURING lockdown. NZ Wide. Trial. www.youtube.com/user/ mikehughesworkingdog/ videos – email: mikehughesworkingdogs@ farmside.co.nz 07 315 5553. 18-MONTH HUNTAWAY, good bark, excellent confirmation, willing worker. Phone 027 243 8541. WORD ONLY ADVERTISING. Phone Debbie on 0800 85 25 80.

GENERAL MANAGER – FARMS OK, so you want everything…. • A role with real leadership autonomy and grunt • A diversified portfolio of responsibility • A business focused on performance and equity growth And in return Bellevue Enterprises is looking for someone who’s got everything to give… because at Bellevue, farming is far from standard.

DOGS WANTED

The business has the appetite and capital to grow and optimising and growing their farming footprint is an intrinsic part of the plan. This means the Bellevue General Manager – Farms is a ‘far from standard’ role. Comprising currently of three dairy farms and two substantial support farms there’s a whole lot of variety in the role because the business’ products and services include embryo transfer and rearing elite calves alongside the production of quality milk.

12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195.

FOR SALE

So on top of the normal operational and financial expectations you would expect in a GM – Farms role, this position involves significant liaison with other parts of the business, managing complex logistics around reproduction ready cows and a strong commercial focus and drive.

CONCRETE CULVERT PIPES. Farm grade pipe stocked in Taupo. 450mm & above. Call Wayne for more info. 027 405 6368.

But a business like this does not rest on its reputation; innovation and driving the last performance percentages are in the DNA of Bellevue and this role is no exception. The successful applicant will come in with a performance and drive agenda to take the farms and their products to the next level.

FORESTRY WANTED

NATIVE FOREST FOR MILLING also Macrocarpa and Red Gum, New Zealand wide. We can arrange permits and plans. Also after milled timber to purchase. NEW ZEALAND NATIVE TIMBER SUPPLIERS (WGTN) LIMITED 04 293 2097 Richard.

As with any leadership role, the ability to motivate and inspire your team to outstanding performance is a pre-requisite along with the right balance of attention to detail and big picture decisiveness that comes with a precision business like this. It goes without saying that operationally you’ll know what it takes to run dairy and large-scale dry stock or dairy support businesses; you’ll understand the business planning process and will be used to delivering to KPI’s and using goals to get performance from your team.

GIBB-GRO GROWTH PROMOTANT

Professionally there’s a lot in this for you too: You’ll work alongside a range of experienced professionals, you’ll be encouraged to grow your skills and you’ll be surrounded by a knowledgeable and business savvy team. Medium to longer term there are potential equity opportunities as the Company continues to develop and build on its success.

PROMOTES QUICK PASTURE growth. Only $6+gst per hectare delivered. 0508-GIBBGRO [0508 442 247] www. gibbgro.co.nz. “The Proven One.”

One of the things Bellevue is most proud of is the drive and momentum in the team that involves people and encourages them to deliver their best. They’ll be looking for their new GM – Farms to not only participate in, but amplify, this culture. Reporting to the CEO who also oversees Belleview’s other commercial interests (which include a piggery, porcine genetics, commercial property and other investments), this role will suit someone looking to be involved in more than farming in a business that’s continually challenging itself and the people in it.

LK0105456©

SUREFOOT MAT 1.5m x 1m x 24mm $99ea + freight and gst. Phone 0800 686 119.

www.no8hr.co.nz | ph: 07-870-4901

LAMB DOCKING / TAILING CHUTE

With automatic release and spray system. www.vetmarker.co.nz 0800 DOCKER (362 537)

CALF TRAILER MATS

farmersweeklyjobs.co.nz

Heavy duty long lasting Ph 021 047 9299 GOATS WANTED GOATS WANTED. All weights. All breeds. Prompt service. Payment on pick up. My on farm prices will not be beaten. Phone David Hutchings 07 895 8845 or 0274 519 249. Feral goats mustered on a 50/50 share basis.

MOWER MASTER TOWABLE FLAIL MOWER

GO THE MOA!

13.5HP. Briggs & Stratton Motor. Electric start. 1.2m cut Assembled with SKF bearings.

Assembled by Kiwis for Kiwi conditions – built to last.

$4400 GST INCLUSIVE

To find out more visit www.moamaster.co.nz

Ph 028 461 5112 • Email: mowermasterltd@gmail.com

NAKI GOATS. Trucking goats to the works every week throughout the NI. Mustering available. Phone Michael and Clarice. 027 643 0403.

HORTICULTURE NZ KELP. FRESH, wild ocean harvested giant kelp. The world’s richest source of natural iodine. Dried and milled for use in agriculture and horticulture. Growth promotant / stock health food. As seen on Country Calendar. Orders to: 03 322 6115 or info@nzkelp.co.nz

LIVESTOCK FOR SALE WILTSHIRES-ARVIDSON. Self shearing sheep. No1 for Facial Eczema. David 027 2771 556. RED DEVON BULLS. Waimouri stud, Feilding. Phone 027 224 3838.

LOG BUYER HAULER CREW available for summer harvest. Wairarapa area. Phone 027 489 7036.

PERSONAL BUSHMAN, 56yo, seeks a woman to court. View relationship. 027 864 5092 John. Or email: bushman56yrs@gmail.com

™

Combi Clamp Stock Handling Equipment has been designed with the principles of simplicity and efficiency in the forefront of our minds. We provide safe and effective stock handling solutions for every farm.

ir er, No a w o p o “N g” o wron g o t g Nothin

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RAMS FOR SALE WILTSHIRE & SHIRE® Meat rams. Low input. www.wiltshire-rams.co.nz 03 225 5283.

Selling something? LK0108350©

To find out more and see a full description go to www.no8hr.co.nz (Ref#8HR1418); or give Toni Trusler a call on 0275 998 909 for a confidential conversation in the first instance.

VETMARKER

BALAGE $75+gst. Unit loads available. Top quality. Phone 021 455 787.

• Ability to attract and retain staff/

CV available on request.

0800 436 566

BALAGE FOR SALE

work on

• Lease or lease to buy

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

CRAIGCO SHEEP JETTERS. Sensor Jet. Deal to fly and Lice now. Guaranteed performance. Unbeatable pricing. Phone 06 835 6863. www.craigcojetters.com

Key attributes: • Top performers TFI/ha, good cost control

DOLOMITE

LK0107961©

ANIMAL HANDLING

Sharemilking opportunity wanted

LK0107929©

Primary Pathways

Call Debbie 0800 85 25 80 classifieds@globalhq.co.nz

Especially now, where workers may be required to stay home, or socially distance, the one-man operation and range of tasks that Combi Clamp Equipment can complete, is invaluable.

livestock@globalhq.co.nz – 0800 85 25 80

Livestock Noticeboard

WEANER HEIFERS WANTED

Safe, Quiet, Performance Bulls

GRAZING WANTED

NATIONWIDE

F12 + with Friesian sire 100kg plus J12 + with Jersey sire 80kg plus

Payment options to meet your requirements. Register your interest now.

Contact: Barry Ward 027 413 0687 Email: Barry Ward barry.ward@geneticdevelopment.co.nz or Genetic Development NZ 07 843 7577 Email: PurchasesHFM PurchasesHFM@geneticdevelopment.co.nz

Contact: Nick Dromgool 027 857 7305 Email: Nick Dromgool nick.dromgool@geneticdevelopment.co.nz or Genetic Development NZ 07 843 7577 Email: PurchasesHFM PurchasesHFM@geneticdevelopment.co.nz

THE CHOICE IS

WILL MORRISON - 027 640 1166 SALE Tuesday 28 Sept, 12noon Ardo Herefords, Marton

www.ezicalve.co.nz

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MIKE CRANSTONE - 027 218 0123 SALE Thursday 23 Sept, 12noon Riverton Herefords, Wanganui

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300 BULLS AVAILABLE

Ready to talk some Bull?

Contact Ella: 0800 85 25 80 livestock@globalhq.co.nz

SHADOW DOWNS POLLED HEREFORD ST UD

NEW SALE DATE!

YEARLING BULL & HEIFER SALE

THURSDAY 30TH SEPTEMBER, 2021 12 NOON, 662 RANGITATAU EAST ROAD, WANGANUI

A QUALITY SELECTION OF 26 IMPRESSIVE YEARLING BULLS WITH LOW BIRTH WEIGHT & EARLY GESTATION + HEIFERS WHICH ARE SOLD IN LOTS. DON'T MISS OUT - ENQUIRIES TO: LINDSAY JOHNSTONE (027 445 3211) MARIA JOHNSTONE (021 610 5348) OR YOUR LOCAL LIVESTOCK AGENT.

16th Annual Service Bull Sale Thursday 23rd September Commences 11.30am 230 Beef Bulls Approx. 1pm 200 Dairy Bulls 300 McDonald Mine Road Huntly

LK0108213©

AIMING FOR ZERO BOBBIES AND HIGH VALUE CALVES?

BullsEye Sale

North Island – South of Auckland

Recorded Heifers by Recorded Sires

Bulls For Heifer Mating

FARMERS WEEKLY – August 30, 2021

WE D NE SD A Y 1 5th SE P T , 2 0 2 1 - 1 2 NOON LOWER HER EN G AWE R OAD, WAVE RL E Y

“The beef breed for every need” Owner Bred - Closed Herd 48 2yr Hereford Bulls 15 1yr Hereford Bulls Offering Merit Sires • Low Birth Weights Easy Calving • Whitehead Premiums Performance Recorded • BVD & Lepto vaccinated/tested

GENUINE HOME-BRED BEEF BULLS

IAN & DANIEL SMITH P/F: 06 762 7899 • Mobile: 021 749 235 • Email: daniel.rae@primowireless.co.nz

NZ FARMERS LIVESTOCK Mark Howells: 027 664 8832

PGG WRIGHTSON Mark Neil: 027 742 8580

All bulls come forward in great condition with excellent temperament. Sold in lots of 1 - 5 to suit all buyers. All bulls are BVD & TB tested and Bulls can be purchased via Bull Plan. Delivery to suit.

Online bidding is available.

Full details in main ads to come. For further information: Bill Sweeney - 027 451 5310

24TH ANNUAL BULL SALE A/C TETLEY JONES AGRICULTURE LTD Monday 13th September 11.30AM On farm 105 Tahaia Bush Road, Otorohanga (signposted from State Highway 3 South of Otorohanga)v Comprising: 150 2yr Jersey Bulls These bulls are always in suitable mating condition & are farmed on rolling country, ideal for dairy cow & heifer mating. All bulls have had two vaccinations plus one booster for BVD. Free grazing on vendors property until October 20th 2021 or 50kms transport subsidy if purchased bulls taken from sale venue to purchasers property on the day after the sale. Purchasers must have NAIT number on sale day. A great opportunity to purchase genuine, clean one vendor farmed bulls. All enquiries: Wium Mostert 027 473 5856 or 07 871 9188 Vendor Ross Tetley-Jones 027 454 3909 or 07 873 0622 Helping grow the country

N EW

Animal Health & Management Section Showcase your animal health and management products and services to our dedicated farming audience in our new section. First publish date 6th September 2021. Contact Ella on 027 602 4925 or livestock@globalhq.co.nz today for more information.

Livestock Noticeboard

Open 29th August 7pm to 8th September 8pm Online at www.meadowslea.co.nz

LK0108361©

Online Semen & Embryo Sale

His Personal Psychic Advisor tells him: “You are going to meet a beautiful young girl who will want to know everything about you.” The frog is thrilled, “This is great! Will I meet her at a party?” he croaks. “No,” says the psychic, “in biology class.”

Dairy bull education day postponed Follow us on Facebook.com/KoanuiPH for updates on when we will safely reschedule this event. In the meantime, we have easy calving, balanced performance bulls dairy bulls available, so call us today!

M: (06) 874 7844 E: info@koanuiherefords.co.nz

www.koanuiherefords.co.nz

AUSTREX NZ LTD L IV E STOCK EXPO R T E R S

Here at Farmers Weekly we get some pretty funny contributions to our Sale Talk joke from you avid readers, and we’re keen to hear more! If you’ve got a joke you want to share with the Farming community (it must be something you’d share with your grandmother...) then email us at: saletalk@ globalhq.co.nz with Sale Talk in the subject line and we’ll print it and credit it to you.

BUYING NOW F1 WAGYU

Yearling Heifers

Conditions apply

STOCK REQUIRED STORE LAMBS 36-42kg R1 YR FRSN BULLS 190-230kg R1 YR BEEF BULLS 220-280kg R2 YR BULLS 400-480kg 2YR FRSN HERE STEERS

www.dyerlivestock.co.nz

A Financing Solution For Your Farm E info@rdlfinance.co.nz

Livestock Advertising? Call Ella: 0800 85 25 80

CELEBRATING 50 YE HEREFORD BULLS FOR TH

2nd ON-FARM YEARLING BULL SALE 679 Paradise Valley Road, Rotorua

10th September, 1pm Viewing from 10am

Inspection and enquiries welcome

Kevin & Janette M: 027 245 4106 P: 07 347 0239

Cam Heggie 027 501 8182

Finn Kamphorst 027 493 4484

GroWTH & meAT

mIl

TE TAUMATA POLL HEREFORDS

PREDICTABLE PROFITABLE PERFORMANCE GENETICS June 7 2012 at 12pm

33rd AnnuAl on fArm Bull SAle th

To view our bull sale catalogue & Romney and pictures of sale lots go to:

Border Leicester www.tetaumata.co.nz Rams

free DelIVerY

BVD VACCInA Beef

Alistair & E 15

POLL HEREFORDS Est. 1962

Alistair & Eileen McWilliam Ph 06 372 7861 or 027 455 0099 www.tetaumata.co.nz

Give us a call to discuss your 2021 ram requirements

Te Taumata Genetics

HILLCROFT

angus est. 1960

11.30am MONDAY 20th SEPTEMBER 51 ANGUS 2-YEAR OLDS 37 HEREFORD 2-YEAR OLDS 92 ANGUS YEARLINGS

PRODUCING GOOD HILL COUNTRY CATTLE WITH ADDED CALVING EASE AND PERFORMANCE

BULL SALE

OUR TOP YEARLINGS FOR SALE BY NEW SIRES

23 Yearling Angus Bulls 30th September 2021 1710 Carleton Rd, Oxford On-farm and online at

STOKMAN TRIFECTA P240 Top 1% short gestation, calving ease daughters Top 5% calving ease direct, birth wgt, days to calving

STOKMAN CAPITALIST P243 Stokman Trifecta P240 and Stokman Capitalist P243

Enquiries to Marie FitzPatrick P: 0273381658 E: acmgfitzpatrick@gmail.com

110 x Empty 2yr Heifers comprising: 80 x MT Hereford/Friesian heifers 30 x MT Angus/Friesian heifers 11 x Autumn born 18mth Hereford/Friesian steers Quiet hill-country heifers, true to breed. Live weight range 370kg to 430kg approx. Sold in lines of 10. Further enquiries contact Stephen Sutton 0274 423 207

Ross Dyer 0274 333 381

Price on Application

Maternal, docile cattle Focused on fertility Easy calving

Special Entry Account W & K Petersen F/T Annual Draft

400-450kg

Enquiries to: Paul Tippett 027 438 1623

TIMPERLEA ANGUS

Stratford Saleyards Wednesday 8th September 2021 12 noon start 800 Cattle. Full details to follow.

2YR ANGUS STEERS 400-550kg

For China Export

www.austrex.co.nz

TARANAKI CATTLE FAIR

LK0108307©

A lonely frog telephoned the Psychic Hotline and asked what his future holds.

LK0108338©

MEADOWSLEA GENETICS

SALE TALK

livestock@globalhq.co.nz – 0800 85 25 80

ENQUIRIES AND INSPECTION ALWAYS WELCOME Malcolm & Fraser Crawford Matahuru Rd, Ohinewai Hillcroft Angus www.hillcroftangus.co.nz

Top 5% calving ease direct, 200, 400, 600 day wgt Top 10% short gestation, birth wgt

Fraser 07 828 5755 or 0272 85 95 87 Malcolm 07 828 5709 or 0274 721 050

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FARMERS WEEKLY – August 30, 2021

livestock@globalhq.co.nz – 0800 85 25 80

Livestock Noticeboard

FARMERS WEEKLY – August 30, 2021

Online sale at

Heather Dell Angus focuses on Low Birth Weight, High Growth Rate and Docility.

Sale – Friday 10 September 2021 at 11am – Viewing from 9am 801A Paradise Valley Road, RD 2, Rotorua

Neil Heather 027 421 4050 – Jon & Nerida Evans 027 490 7783 PGG Wrightsons – Finn Kamphorst 027 493 4484

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Yearling bulls available by GAR Ashland, SS Brickyard, Schiefelbein Attractive 4565 and Varilek Geddes 7068

Going Going Gone!

KAIRAUMATI POLLED HEREFORD BULL SALE

Kokonga iPod 6003

Contact Ella:

SEPTEMBER at 12.30

0800 85 25 80

livestock@globalhq.co.nz

68 NGATAIPUA RD, TURUA, THAMES

379 Kokonga East Road RD5 Tuakau (end of road by woolshed)

HUKAROA

Sale will be live on also PMS – PMS 173 C

PMS – PMS 445 C

PMS – n/a

RGB – 241, 90, 41

RGB – 60, 76, 64

RGB – 255, 255, 255

CMYK – 50, 28, 24, 65

CMYK – 0, 0, 0, 0

HTML – f15a29

HTML – 3c4c54

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FOR BUTTS, NUTS AND GUTS

Contact Roy or Kaye Ward 021 128 7174 Dave Stuart 027 224 1049 Cam Heggie 027 501 8182 CMYK – 0, 80, 95, 0

POLLED HEREFORDS

Bulls born and bred on the top of the Coromandel

ANNUAL ON-FARM BULL & HEIFER SALE

Friday 10 September 2021 12 NOON - UNDER COVER PAULSEN ROAD, WAERENGA, TE KAUWHATA, NORTH WAIKATO

CHARWELL POLLED HEREFORD STUD

Bred, reared and raised naturally on strong hill country 78 quiet, easy-calving Hereford bulls 2 year olds & yearlings PLUS – 8 Registered Hereford Yearling Heifers

FREE GRAZING UNTIL 1st OCTOBER 2021 BVD tested clear and twice vaccinated Tb C10 and Lepto Vaccinated

21 ANNUAL SPRING SALE

ALL BULLS FERTILITY & SEMEN TESTED

Enquiries to: Dean

& Lisa Hansen 07 826 7817 or 0274 40 30 24

Wednesday 8th September at 11.30am at 659 Matahi Road, Manawahe Near Lake Rotoma, SH 30

NE WITH

BID ONLI

Representing 102 years of pure bred genetics We welcome clients, friends and visitors to our sale which comprises approx:

72 13 40

11:30am TUESDAY 7 TH SEPTEMBER 2021

2-year old bulls

Richard and Christine Lansdaal and Family

18-month bulls

200 Luck at Last Road RD2 Cambridge Sale held Under Cover with Lunch + free coffee van on site

Well grown yearling bulls

On Offer:

15 R2 Jersey Bulls BW up to 308 190 R1 Jersey Bulls BW up to 304 10 R1 Murray Grey x Bulls

All TB & BVD clear & vaccinated These animals are from a CLOSED herd and have never left the property or been leased out.

027 353 5693

Ollie Carruthers 0274 515 312 LK0108018©

For more information Contact Peter or Penny Davies - “Taharoto” 716 Matahi Road, RD 4, Whakatane 3194 Phone 07 322 1080 or email: pstdavies@ruralinzone.net

Enquiries to Richard and Christine

Catalogue available soon, on mylivestock.co.nz and http://www.linklivestock.co.nz/upcoming-sales/

Ross Riddell 0272 111 112

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Livestock advertising?

Livestock Noticeboard

FARMERS WEEKLY – August 30, 2021

livestock@globalhq.co.nz – 0800 85 25 80

Check out Poll Dorset NZ on Facebook

NZ’s Virtual Saleyard UPCOMING AUCTIONS Tuesday, 31 August 2021 7.00pm Canes Deer Hind Sale

NEW SALE DATE

Livestock Advertising?

On Farm Sale and Bidr Auction

21st September 2021, 12.30pm

Call Ella: 0800 85 25 80

Thursday, 2 September 2021 12.00pm Waimaire & Otengi Hereford Bull Sale

teatarangi.co.nz

Friday, 3 September 2021 11.30am Feilding Saleyard - Store Cattle Sale *Covid-19 alert levels permitting Tuesday, 7 September 2021 12.00pm Frankton Saleyard - Store Cattle Sale *Covid-19 alert levels permitting 7.00pm PGG Wrightson Genetics SEMEN SALE For more information go to bidr.co.nz or contact the team on 0800 TO BIDR

PROGRESSIVE LIVESTOCK LTD

September or October delivery Please Contact YOUR LOCAL PL AGENT www.progressivelivestock.co.nz

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WANTED Dairy/Beef Cross Yearly Exports Heifers

craigmore

All bulls are ready to perform!

polled herefords

We’ve done the work for you!

All bulls are: • Performance recorded • Genomics tested to improve accuracy of EBVs

• Polled gene tested • Sire verified

YEARLING BULL SALE

On farm bull sale plus online sale at bidr Sign up at www.bidr.co.nz Monday 13th September 2021, at 12.30pm

Craigmore has been breeding Hereford cattle for over 50 years!

On A/C D.B & S.E Henderson At the stud property: 429 Rukuhia Road, RD 2, Ohaupo 110 Registered Well Grown Bulls

For further information or inspection, please contact: Vendors: David 021 166 1389 or the selling agents: PGG Wrightson: Vaughn Larsen 027 801 4599, Cam Heggie 027 501 8182

SEMEN SALE

Tuesday, 7 September 7:00pm Semen packages from beef studs across New Zealand.

.co.nz/auction/819 For more information or to list semen for sale, contact Callum Stewart 027 280 2688

Helping grow the country

LK0108016©

Luncheon available

We have bulls that will suit beef and dairy farmers www.craigmoreherefords.co.nz

MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Mel Croad

Suz Bremner

Reece Brick

Nicola Dennis

Sarah Friel

Caitlin Pemberton

Deer

Sheep

Cattle BEEF

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

6.25

6.20

5.65

NI lamb (17kg)

9.25

9.20

7.25

NI Stag (60kg)

6.40

6.25

6.45

NI Bull (300kg)

6.15

6.10

5.55

NI mutton (20kg)

6.60

4.95

SI Stag (60kg)

6.30

6.20

6.45

NI Cow (200kg)

4.60

4.15

SI lamb (17kg)

9.15

9.10

6.95

SI Steer (300kg)

6.10

5.15

SI mutton (20kg)

6.75

4.65

SI Bull (300kg)

5.90

5.10

Export markets (NZ$/kg)

SI Cow (200kg)

4.90

3.95

UK CKT lamb leg

12.11

12.13

9.69

US imported 95CL bull

9.29

9.27

8.14

US domestic 90CL cow

9.29

8.83

7.53

Slaughter price (NZ$/kg)

5.50

5.0

5.00

9.0

4.50

8.0

4.00 South Island steer slaughter price

6.50

$/kg CW

10.0 South Island lamb slaughter price

Oct

Jun

Aug 2020-21

Feb

Apr 2019-20

Jun

Oct

Dec

Feb

Apr

Jun

Aug

2019-20

2020-21

Fertiliser

Aug 2020-21

FERTILISER Last week

Prior week

Last year

2.86

1.94

NZ average (NZ$/t)

Last week

Prior week

Last year

Urea

844

578

339

294

1135

750

37 micron ewe

2.85

2.80

1.85

Super

30 micron lamb

2.45

DAP

Grain

Data provided by

MILK PRICE FUTURES

Top 10 by Market Cap

CANTERBURY FEED WHEAT

Company

YTD High

Fisher & Paykel Healthcare Corporation Ltd

31.98

36.55

YTD Low 27.1

Meridian Energy Limited (NS)

5.02

9.94

4.925

Auckland International Airport Limited

7.12

7.99

6.65

Mercury NZ Limited (NS)

6.8

7.6

5.79 64.85

430

8.00

420

7.50

410

Mainfreight Limited

91.91

93.99

400

Spark New Zealand Limited

4.87

4.97

4.37

Ryman Healthcare Limited

15.13

15.99

12.46

Contact Energy Limited

8.08

11.16

6.6

Fletcher Building Limited

7.54

7.99

5.67

Ebos Group Limited

35.01

35.27

27.51

$/tonne

8.50

7.00 6.50 6.00

390

DAIRY FUTURES (US$/T) Nearby contract

370

…

Sept. 2022

Sept. 2021

J…

… A

F…

D …

O …

…

380

5.50

Jul-20

Jan-21

Mar-21

May-21

Jul-21

YTD High

YTD Low

0.335

0.161

The a2 Milk Company Limited

6.34

12.5

5.42

Comvita Limited

3.57

3.7

3.06

Delegat Group Limited

14.1

15.5

12.9

Fonterra Shareholders' Fund (NS)

3.7

5.15

3.61

400

Foley Wines Limited

1.47

2.07

1.45

390

Livestock Improvement Corporation Ltd (NS)

1.2

1.35

0.81

3595

3630

3790

420

SMP

2835

2830

2825

410

AMF

4140

4100

4050

Butter

3500

3460

3430

7.61

$/tonne

WMP

7.61

380

Marlborough Wine Estates Group Limited

0.245

0.65

0.24

New Zealand King Salmon Investments Ltd

1.45

1.72

1.39

370

PGG Wrightson Limited

3.72

3.79

3.11

Rua Bioscience Limited

0.41

0.61

0.37

Sanford Limited (NS)

4.64

5.23

4.3

Scales Corporation Limited

4.95

5.09

4.22 4.66

Jul-20

* price as at close of business on Thursday

WMP FUTURES - VS FOUR WEEKS AGO

Company

Sep-20

Nov-20

Jan-21

Mar-21

May-21

Jul-21

WAIKATO PALM KERNEL

3900 3800 $/tonne

3700 3600 3500

5pm, close of market, Thursday

0.31

430

7.61

Listed Agri Shares ArborGen Holdings Limited

vs 4 weeks ago

3400

Nov-20

Prior week

Milk Price

Sep-20

CANTERBURY FEED BARLEY

Last price*

US$/t

Dec 5-yr ave

Coarse xbred ind.

Dairy

7.0

5-yr ave

(NZ$/kg)

2019-20

8.0

5.0

4.50 Apr

9.0

6.0

WOOL

Feb

South Island stag slaughter price

11.0

5.00

5-yr ave

$/kg MS

5.0

5.50

Dec

7.0 6.0

7.0

5.0

Oct

8.0

6.0

6.00

4.00

Last year

9.0

7.0

6.00

Last week Prior week

North Island stag slaughter price

11.0

8.0

6.0

$/kg CW

6.50

Slaughter price (NZ$/kg)

10.0

North Island lamb slaughter price

9.0 $/kg CW

North Island steer slaughter price

Last year

$/kg CW

Export markets (NZ$/kg)

Last week Prior week

$/kg CW

Slaughter price (NZ$/kg)

William Hickson

Ingrid Usherwood

Seeka Limited

5.23

5.68

400

Synlait Milk Limited (NS)

3.28

5.24

2.85

T&G Global Limited

2.98

2.85

350

S&P/NZX Primary Sector Equity Index

13554

15491

12865

S&P/NZX 50 Index

13052

13558

12085

S&P/NZX 10 Index

12649

13978

11776

300 250

Sep

Oct Nov Latest price

Dec

Jan 4 weeks ago

Feb

200

Jul-20

S&P/FW PRIMARY SECTOR EQUITY

Sep-20

Nov-20

Jan-21

Mar-21

May-21

Jul-21

13554

S&P/NZX 50 INDEX

13052

S&P/NZX 10 INDEX

12649

FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021

Analyst intel

WEATHER

Overview Last week was much warmer than average in many regions, this week it’s colder with a reset back to normal temperatures for this time of year, and even below normal. But high pressure south of New Zealand, which is dredging up the colder air, is also bringing a more settled week to southern areas with sunshine and dry weather dominating (although a few showers possible on Monday). High pressure ‘sort of’ covers NZ this week, but because it’s not perfectly centred over us some regions – like the upper South Island – may have a fair bit of cloudy weather moving through and more showers may impact the North Island. Spring westerlies start to return this weekend and dominate next week’s weather.

14-day outlook Very weak low pressure falls apart over the upper North Island on Monday, while high pressure expands over southern NZ. Midweek rain returns to the west but the high pushes back against it and smothers it, bringing more dry weather later this week. A westerly flow develops on the West Coast by Friday with showers turning to rain early next week, with heavy falls. This westerly flow will lift eastern and northern temperatures by Friday and the weekend, and perhaps even more so next week.

Soil Moisture

Highlights

26/08/2021

Wind

Sou’easters for the North Island’s eastern side and central NZ regions. By Friday and this weekend westerlies return and dominate next week.

Source: NIWA Data

Temperature 7-day rainfall forecast Many regions lean drier than average this week with so much high pressure around and while we do have some showers and rain events, they look quite shortlived and limited. Hawke’s Bay has a few showers. But westerlies kicking in later this weekend and across a big portion of next week means we can expect to see bigger totals on the West Coast and some rain events next week will also likely brush Southland after a very dry week ahead this week. 0

Signs of growth in lamb crop

Colder air moves into NZ this week with southern and eastern areas looking coldest, but even the upper South Island may have cooler air flows too (with easterlies which actually originate from the Southern Ocean). Milder air moves into NZ by Friday/the weekend.

Highlights/ Extremes

100

200

400

Rainfall accumulation over seven days starting from 6am on Monday, August 30, through to 6am on Monday, September 6am. Forecast generated at 12am Friday, August 27.

A few showers for Hawke’s Bay. A colder Monday for many with a dusting of snow on the hills and ranges of both main islands. Drier than usual for most places this week. Next week spring westerlies dominate again.

Weather brought to you in partnership with WeatherWatch.co.nz

Mel Croad mel.croad@globalhq.co.nz

OR the first time in four years, Beef + Lamb New Zealand’s Stock Survey report indicates we can expect more lambs on the ground than last spring. The 2021 lamb crop is forecast to lift back over 23 million head, essentially returning to 2019 levels. The expected lift in lamb numbers is quite a feat, considering breeding ewes remain in decline, having dropped by over two million head in the past five years. Instead, higher scanning rates and favourable weather through early winter underpins expectations of a larger lamb crop. It’s debatable just how much influence hogget mating will have on the lamb crop tally this spring. While many may have intended to breed from hoggets this season, those intentions have often been cast aside as trade lamb prices rallied towards $200 in July. The key driver behind those high trade lamb prices was the expectation of record farm gate lamb prices by early spring. Underpinning those assumptions was an export market hungry to secure NZ lamb. Since the reopening of the foodservice sector in key export markets, demand for lamb surged, rebuilding depleted stocks and servicing immediate consumer demand. As AgriHQ has reported over the past two months, farm gate pricing expectations for December remain well in excess of $8/kg, signalling the current strong market has enough legs to continue well into the new season. If this larger lamb crop can be achieved, then it will likely translate into a higher lamb slaughter. That is unless more replacement ewe lambs are retained to capitalise on the strength of global demand. Based on the latest information from B+LNZ, if spring lamb numbers return to 2019 levels and flock rebuilding remains off the table, then the export lamb slaughter could increase by one million versus where

this season is expected to wash up. Historically, a lift in lamb numbers could be viewed as negative for farm gate prices, pressuring prices as supplies peak in summer. But more lambs this spring shouldn’t be viewed as a negative considering the strong gains made in the export markets this season. This level of demand from our key markets is expected to flow into the 202122 season, suggesting markets can absorb more lambs without pressuring prices beyond seasonal fluctuations. Average export values bottomed out in 2016 at $7.94/kg. Year-to-date they are already averaging $10.61/kg, with more growth expected in the coming months. A lift in lamb numbers into the new season, and potentially higher export volumes, gives us the scale to remain competitive within the global market. Australia is realising just how profitable the export lamb trade is and is futureproofing by rebuilding flock numbers with speed. Aus is forecasting a rebound in lamb exports, lifting from 264,000t last year to an expected 330,000t by 2023. Over the past five years, NZ’s annual lamb exports only reached a peak of 318,000t, and are forecast to barely scrape over 300,000t this season. As our main competitor in the lamb export market initiates a large-scale flock rebuild, we risk losing our export advantage to them. There will come a time when productivity gains in the NZ breeding flock and favourable weather conditions through lambing will no longer be able to compensate for the diminishing ewe numbers. Initial findings suggest success this spring, but data has shown, there has never been two consecutive years of upside to the lamb crop tallies. To ensure critical mass in the export environment, and for NZ to have the ability to service key markets year-round and benefit from growth in export values, change must happen. Unfortunately, the year-on-year lift in lamb returns doesn’t seem enough to convince farmers that rebuilding the breeding flock, even partially, has merit.

Markets

40 FARMERS WEEKLY – farmersweekly.co.nz – August 30, 2021 NI STEER

SI STEER

NI LAMB

($/KG)

SI LAMB

($/KG)

6.25

6.10

9.25

9.15

high $6.15 lights NI bull

$6.75 SI mutton

Lamb prices remain strong Annette Scott

annette.scott@globalhq.co.nz

OCKDOWN has hit at a pivotal time for lamb traders poised to reap record high prices ahead of spring. Farm gate prices in the South Island cracked $9 a kilogram last week, with industry optimism predicting further firming heading into spring. While the reliance on sale yard prime sales, prompted by a shortage of lambs and fierce procurement competition, is largely responsible for the soaring prices, lockdown Level 4 has not dampened industry enthusiasm. Despite the lockdown shutting down all sale yards across the country, lamb trading is as busy as ever. Livestock agents are reporting buoyant paddock sales, as farmers and traders chase the top dollar. “We have never had $200 for fat lambs before, so we have to take it while we can,” Mid Canterbury cropping farmer Colin Maw said. Finishing lambs are an integral part of the Maw family’s Oakdene cropping operation near Methven, and this season is looking to be a good one for lambs to bolster the balance sheet. “The wet winter has been slow for the lambs, but mild weather through August has seen good growth in feed – and lambs – and it’s timely now from the cropping aspect of our farming business to start moving lambs on,” he said. “At $9 we will be offloading as soon as lambs are ready and as we are able, dependent on (processing) space.” South Canterbury Federated Farmers president Greg Anderson says times are “certainly exciting”. The message from the processors is if you have got lambs

RECORD HIGH: Mid Canterbury cropping farmers Colin (left) and Greg Maw weigh out the tops of their lambs as demand pushes prices to a record $9 a kilogram.

We have never had $200 for fat lambs before, so we have to take it while we can. Colin Maw Farmer to go, get them in to avoid the backlog into spring, especially with the uncertainty of covid. “There’s certainly demand there, the processors want them, most $9 contracts are up to 25kg (CW) – the yards are closed, but agents can come and buy onfarm,” Anderson said. “It’s looking like if we can get

them to the works at good weights we will be rewarded for our hard work, so I’ll be getting what I can in sooner rather than later.” PGG Wrightson Mid Canterbury livestock agent John Farrell says while numbers are starting to come off cropping farms now, the prime kill is still dictated by the bobby calf kill. “But the outlook is pretty positive and farmers are responding,” Farrell said. Many paid bigger money for their store lambs in the autumn, but the current schedule pricing at $9 is consistent and comparative. “So long as the market holds up and we can get stock away without too much more disruption then, it’s as good as we have seen it really,” he said.

Hawke’s Bay-East Coast-based Redshaw Livestock manager Dean Freeman says lockdown has been about getting on and finding buyers for stock that needs to be moved. Unlike the South Island, feed is in short supply following two years of dry weather. But he says pricing is high and despite some nervousness, normal paddock sales of both store stock and prime lambs is continuing. “There are buyers out there that can take finished lambs as well and amidst the uncertainty of covid, and the wait for rain, we just need to keep up to date with stock that needs to move,” Freeman said. AgriHQ analyst Mel Croad says

slaughter prices have not seen any negativity because of lockdown. While there was some processing disruption as meat companies returned to Level 4 processing protocols, it was minimal. She says initial findings from New Zealand exporters show no negative views have been formed regarding exports and covid in the community. “If anything, markets were more concerned that a slowdown in production could tighten up the immediate supply of lamb into key markets,” Croad said. “Regardless, the flow of lambs into processing plants has been much slower than normal well before covid returned.”

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Farmers Weekly August 30 2021

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