Farmers Weekly NZ April 16 2018 by AgriHQ

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Parker warns farmers T

Neal Wallace neal.wallace@nzx.com

HE Government is planning a more centralised regulatory approach to fresh water management and Environment Minister David Parker warns farmers he is not afraid to make unpopular decisions. Parker indicated the shift in approach in an address to a Catchments Otago symposium on water and biodiversity issues, hosted by Otago University. He said he will get off the back of rural New Zealand when he sees water quality is no longer deteriorating. “If we can’t get a collaborative outcome from stakeholders, someone has to make a decision and I’m prepared to be that person.” The country’s recent economic growth had been at the expense of the environment, especially through the expansion and intensification of dairy and Parker was unequivocal that will no longer be the case. Behavioural change will come only through education, regulation and price and Parker said regulation to improve compliance, monitoring and enforcement is the most important instrument. That will be driven through changes to the National Policy Statement on Freshwater. The document established national standards to be applied locally for emissions such as nutrient and sediment discharges, land intensification

and deadlines for improvement. Parker said he is also seeking scientific advice on appropriate nutrient and sediment loadings, the impact of beef feedlots, intensive winter grazing and cattle in waterways. He told the 70 delegates his priority is to stop further degradation and said agriculture will have a generation to reverse damage to waterways but he expects to see some material improvement within five years.

If we can’t get a collaborative outcome from stakeholders, someone has to make a decision and I’m prepared to be that person. David Parker Environment Minister Land use and land management decisions are the most common cause of water quality degradation and it has been exacerbated by agricultural intensification and what he called poor land practice by some. The speed with which dairying expanded caught local and central government by surprise as the sector sought to produce dairy products for Asia but now exceeds carrying capacity in some areas. Parker believed possible solutions are to shift to high value horticulture and cropping. Some of the most heavily

polluted waterways are in urban centres and Parker said one of the worst is Auckland. In response to public outcry over the constant polluting of beaches, he said the Auckland Council has brought forward plans for an $860-million, 10-year project to separate sewage and stormwater overflow systems. He was unapologetic for the announcement the Crown Irrigation Fund is being wound up, putting three South Island schemes at risk, saying the Government should not be subsidising irrigation schemes. Small scale community water storage schemes that benefit the community and environment can, however, get funding through the Provincial Growth Fund. The Kurow-Duntroon irrigation scheme has been spared but irrigation company chairman Geoff Keeling said its Government funding will be repaid with interest “just as a private loan would be, so the taxpayer benefits from this investment as well as the local community”. Speaking after his address, Parker said farmers have to operate within environmental limits and those who are careful with their environmental management are being threatened by those who aren’t. He also acknowledged cattle and deer are largely excluded from waterways, especially dairy cows on milking platforms, but there is still concern about sediment from winter grazing units seeping in to streams and rivers. But fencing is unlikely to be a requirement in low-stocked, back-country rivers.

TOUGH: Someone has to make unpopular decisions and Environment Minister David Parker says he will do it.

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NEWS

WEATHER OVERVIEW What a big week it was with snow, extremely low temperatures and the major wind and power outages in Auckland that left many rural folk without power. The good news is that the next couple of weeks aren’t looking so intense though being autumn things can get a bit moody quite suddenly. Warmer weather returns this weekend ahead of a wet Monday and wet Wednesday next week. The theme next week is mostly westerly quarter winds. Next weekend a big, powerful, high pressure system looks quite likely to roll in bringing at least two to four days of settled weather. After this high there might be a weak Tasman Sea low.

12 Tax changes must be clear,

Calf market stays strong �� 5 Jeff Grant becomes kiwi meat’s Brexit rep �� 8

Wind

Rain A rain band crosses NZ on Monday followed by another front on Wednesday bringing rain followed by showers. Mostly dry for a few days from this weekend and into next week then the next rainmaker late next week.

Westerly winds are the theme of the week with nor’westers, westerlies and sou’westers. This coming weekend sees light winds pretty much everywhere as a large high rolls in. These lighter winds continue into next week until a late week low.

Incomes rise across the board �� 10

Opinion ��22

REGULARS Real Estate ��26-37

Highlights/ Extremes

Temperature

Newsmaker ��20 New Thinking ��21

Pasture Growth Index Above normal Near normal Below normal

7-DAY TRENDS

easy

Sir Michael’s Cullen’s Tax Working Group is considering whether an environment tax will influence farmers’ behaviour.

NZX PASTURE GROWTH INDEX – Next 15 days

Temperatures this week are pretty average with warmer than average days and cooler than average days. This is due to the westerly air flow, which on some days will be nor’west but others sou’west. Mild this weekend under a high.

Not too much in the way of severe weather this week but there will be more rain on the saturated West Coast. No big storms in the picture, a few quite windy days this week but severe weather not so likely.

14-DAY OUTLOOK

For further information on the NZX PGI visit www.agrihq.co.nz/pgi Many areas remain wetter than average around the country, especially the western side. The cold snap this week will have stunted growth rates for many but the quick swing back to warm and sunny for many will be a positive. Driest areas remain Manawatu and Gisborne but even they have had rain recently, which is positive. Warmer air on Sunday/Monday will be helpful. Meanwhile the seven-day trend shows drier than usual conditions for the east of both islands.

SOIL MOISTURE INDEX – 13/04/2018

Employment ��38 Classifieds ��38 Livestock ��39-43

48 Milk price risks have moderated

Correction In last week’s story Zebra spuds are still a problem, crop protection specialist Dr Jessica Dohmen-Vereijssen was quoted citing a scientific paper that had input from the Ministry for Primary Industries. While the scientific paper concluded smuggling was the most likely pathway to New Zealand, MPI has not suggested at any time the motivation for the smuggling nor a link to biocontrol business interests.

Source: WeatherWatch.co.nz

This product is powered by NIWA Data

For more weather information go to farmersweekly.co.nz/weather

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Water schemes left ‘high and dry’ Annette Scott annettescott@xtra.co.nz THE canning of Crown funding for water schemes is a “kick in the guts” for rural communities, especially when six regions have been declared in drought this year, National Party agriculture spokesman Nathan Guy says. “This Government has now raided $100 million and effectively pulled the plug on any lifeline for rural communities,” Guy said. “These projects, such as Hunter Downs and Hurunui, are about rural communities providing for much wider regional development and what needs to be remembered is that this Crown funding is not a grant. It’s a loan and it’s all paid back. Farmers had invested time, energy and cash, much from their back pockets, to benefit regional economies, knowing they would have the Government partner them for support. “These schemes have met their environmental obligations to get this far and gain that support – now they have been left high and dry.” While there is a suggestion the gaps could be filled through the Government’s new provincial growth fund, it would pay only for the crumbs. Last week the Government said it will begin winding down public funding for large-scale irrigation through Crown Irrigation Investments. Finance Minister Grant Robertson said the announcement followed an extensive review of how to wind down the funding. “Large-scale, private irrigation schemes should be economically viable on their own without requiring significant public financing,” Robertson said. Guy said questions in Parliament had Agriculture Minister Damien O’Connor

WHERE’S THE MONEY? The Government has raided $100 million and pulled the plug on a lifeline for rural communities such as those service by the Central Plains water scheme, National’s agriculture spokesman Nathan Guy says.

It’s not just about farming. This project has been packaged to be able to provide for the wider community. Stacey Scott Hunter Downs embarrassingly correcting the official record. “He conceded that he has never met with CII officials in his capacity as minister. “I find this extraordinary given three proposed irrigation schemes, Hunter Downs in South Canterbury, Hurunui in North Canterbury and Flaxbourne in Marlborough have had their funding cancelled. CII chief executive Murray Gribben confirmed O’Connor had not personally engaged with CII. “But he did advise us that consultation would be

undertaken by the Primary Industries Ministry and Treasury to understand existing commitments and arrangements,” Gribben said. Guy claims the Crown has legal and moral obligations to many of the projects, especially Hunter Downs where $40 million was raised locally and investment term sheets had been offered by CII. “This Government is scrambling and panicking to satisfy their election commitments they now realise they can’t meet,” Guy said. Robertson said existing CII commitments for development contracts will be honoured to the close of the current phase of each contract. The three commitments are for completion of Central Plains Water stage two, construction of the Kurow-Duntroon scheme in South Canterbury and the construction of the Waimea Community Dam in Tasman. Hunter Downs project manager Stacey Scott said the

announcement was devastating and it is a case now of asking shareholders to be patient while conversations with the Government continue. “We believed we had a committed term sheet with CII and that we would be supported by the new Government – we were reliant on that for our future. “It’s not just about farming. This project has been packaged to be able to provide for the wider community. We had options to supply water to both the Waimate and Timaru District Councils plus augmentation of the Wainono Lagoon.” Scott expects to know more on a future direction in the next week. Likewise, North Canterbury Federated Farmers president Lynda Murchison said the Hurunui Water Project is equally about the region. “Hurunui has a much bigger problem than a few farmers wanting water for dairy conversion. “We are drought prone – this

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is a district-wide project and we are absolutely pushing hard for the benefit of the whole Hurunui District,” Murchison said. “We have an abundance of water resources, more than enough to go around, but we have to be really smart how we manage this. “This project is about that management and somehow we have to find the way to keep pushing on.” Marlborough District Council confirmed provision is in place for the Flaxbourne scheme to go ahead. The cost of the scheme will be fully met by subscribers with existing commitments to fund the investigation and early design phases to be honoured. Wairarapa Water project director Michael Bassett-Foss said a contract with the Crown would expire in August and given Crown funding had never been a certainty so Wairarapa’s programme was planned for the next 18 months without Crown funding.

News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Farmers have lost faith in MPI Annette Scott annettescott@xtra.co.nz FARMERS must not let dairy cattle be taken for slaughter till they are sure they will get compensation, Federated Farmers dairy chairman Chris Lewis says. He wants the Mycoplasma bovis decision-makers to front up as the second round of culling infected herds gets going. All confidence in compensation promises had been lost, he said. The Ministry for Primary Industries late last month said a further 22,300 cattle from all infected properties will be killed by the end of May. About 5000 cattle were culled from the initially infected South Canterbury properties in December. MPI said the cull is now the most appropriate action to contain the spread of the disease until a decision can be made on how M bovis will be managed in the future. Meanwhile, on Friday two more infected properties, both in Ashburton District, were announced growing the number of infected properties to 30 with 48 other farms under Restricted Place Notice. Lewis said it is not on for farmers to let their herds go, given the situation of those farmers who had already faced the chopping block. “Why would you trust Government when the first lot of farmers are facing financial ruin? “They have not even been paid meat money,” Lewis said. He urged extreme caution. “As farmers we need to have the utmost confidence in MPI and that’s not what I am hearing. “Banks are baulking and contractors are threatening law suits for non-payment of bills. “The question we ask is just who is making the decisions to approve or not approve the compensation.

PLEA: Mary and Sorel Potgeiter, the couple who alerted the country to M bovis, say they are desperate for compensation though they have been offered only a quarter of what it has cost them.

Why would you trust Government when the first lot of farmers are facing financial ruin. They have not even been paid meat money. Chris Lewis Federated Farmers

This has got to be the line in the sand. “The second round of culling is about to start and to say farmers are at the end of their tether is an understatement. “Whoever is responsible for

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“My word of advice is don’t let them (MPI) cull those animals until you have assurance of compensation in a fair and timely process.” In a plea to MPI, M bovis farmers Mary and Sarel Potgieter, now trying to make a new life in Australia, said they are desperate. “Could you please let me know how far MPI is with our loss of production compensation? “We are at that point now where MPI promised us we would be no better or worse off but we are worse off, mentally, financially and physically,” Mary Potgieter wrote to MPI. She claims MPI is in breach of the law that was supposed to protect farmers. “Please take note we found the M bovis and we feel we did the country a service so we think it’s

the ultimate decisions needs to front up now and give us some answers.” Lewis said the first round of farmers had done everything in good faith for the right reasons but they had been let down by the Government. “If you were a farmer in this second round why would you sign over your stock to them.” While Agriculture and Biosecurity Minister Damien O’Connor has said he doesn’t have the power to make the compensation decisions he could “kick things along to ensure as much resource as possible is going into the process”. “The minister needs to stop kicking the ball around the field and put it between the posts.” While industry initially supported the response processes that support was fast waning.

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time MPI steps up. They are letting us down. “I’m getting to that stage now where I stopped feeling sorry for finding M bovis and how it completely ruined our lives. “This is also effecting Sarel and myself as husband and wife.” Potgieter said their problem started on June 17. “Our response costs got shocking results as back payment from MPI is only offering us a quarter maybe of what we spent. “Our first milk production claim went in at the end of January for months July 2017 to the end of January 2018 loss of production – and we have heard nothing back. “Please, I’m getting so worried and depressed I need to know what’s going on. “We are very much worse off and I’m getting desperate,” Potgieter said.

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FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Calf market stays strong Alan Williams a.dubu@xtra.co.nz ONLY Otago and Southland appear to have missed out on a continuing strong calf market. Prices in most regions have come off slightly from last season’s highs but they’re still very good and higher calf weights in excellent growing conditions mean vendors can be getting the same cash returns, especially for steers. However, in the deep south, very dry conditions continued well into February to reduce calf weights and some regular big buyers have not been in the market, with some having more stock of their own to finish, PGG Wrightson’s South Island livestock manager Shane Gerken said.

Prices might be off their highs but they’re still very good. Shane Gerken PGG Wrightson That pushed prices back by $80 to $100 a head across the region. Elsewhere across the South Island and the beef cattle regions of the North Island it has been a good story with weights 15kg to 20kg higher than last year. North Canterbury has been very strong with plenty of feed and sales results helped by continuing support from North Island buyers. The South Island is about half way through the calf sale season but the North Island is near the end of a very favourable sales period for vendors, Wrightson’s North Island livestock manager Tom Mowat said. “There’s been good demand for steers across the breeds.” The heifer market has been mixed, after a couple of years of higher sale prices, but buyers not getting the follow-up margins they had hoped for.

Heifers have not achieved the same weight gains that allowed steers to keep producing good margins. This year the sale price gap was returning to more normal levels. “The steers, you’d be getting $1000 for a 250kg animal and about $750 to $800 for a heifer.” Typical prices have been $4/kg for a bigger steer calf and $4.50/ kg for lighter animals. Angus calves are attracting a premium, as they always do. For the traditional beef cattle zone from Northland, around the East Cape and down the east coast to Masterton and across to Feilding the season has been favourable for feed and prices, Mowat said. He has also noticed more demand this year from farmers for in-calf cows that might otherwise have been bought for processing. “We’re also seeing farmers keeping a few more cows. “It’s not big numbers but we could have more calves on the ground next year and that could stop the year-on-year decline. “They might keep 110 when they used to keep 100. It all adds up over a few herds.” The industry isn’t expecting much in the way of price gains from here on but Mowat hopes prices can be maintained around current levels. “If the market stays where it is I think people will be pleased. It’s been very good overall.” In the South Island, Gerken reports steer calf prices in the $4/kg to $4.50 range, with heifers at $3.80 to $4.20/kg depending on the breed. Heifer prices have also varied from sale to sale. “We can’t see any particular reason for that. It’s just happened that way. Some of the better-bred heifers are being bought for breeding, so that’s good.” The South Island season started with very strong prices in Blenheim followed by very good results at Culverden and Cheviot in Canterbury before easing at subsequent sales. “Prices might be off their highs but they’re still very good.”

MORE: Wairakei Estate wants to convert more forest to dairy farms.

Wairakei plan puts pressure on council Richard Rennie richard.rennie@nzx.com WAIKATO Regional Council faces intense pressure to allow public submissions on an application by corporate farming entity Wairakei Pastoral to convert hundreds more hectares of forestry to dairying. The farming company has already converted 16,000ha of forestry to dairy since 2004, much of which is being leased by Landcorp. But the latest resource consent to convert a further 1800ha has environmental and farming groups aghast that it was not a publicly notified consent. It has also left Wairakei’s largest leaseholder, Landcorp, in an awkward position as the state-owned farmer works to de-intensify its Taupo operations and push hard on its pure, grassfed Pamu brand. Landcorp was sideswiped by the consent application and believed it should have been notified. Should the conversion go ahead it will dump an extra 60t of nitrogen a year into the catchment, in addition to the 528t of nitrogen the estate already releases. But in a catchment subject to the Healthy Rivers plan, farmer and environmental groups maintain the council will be running ahead of the new plan’s intent if it grants the consent as it stands now. Under the plan, forest to farm conversion is almost impossible, requiring converters to prove lower nitrogen losses will occur

than when the land was in trees. “The talk right through PC1 (the plan) is about holding the line on nitrogen losses in the catchment and this consent goes completely against that intent,” Federated Farmers Waikato president Andrew McGiven said. “Wairakei do seem to have played the game right in their interests but we would definitely be wanting to see this consent be publicly notified.” Insult is added to injury for farmers in the catchment who have also seen the large corporate farmer claim water rights for irrigation on the properties, sourced from the river. Farmers for Positive Change spokesman Rick Burke said the group actively pushing for changes in the plan for more equitable nitrogen allocation has accused the council of being asleep at the wheel on the consent. “The council risks losing complete credibility with farmers in the Waikato region if it lets this consent go ahead. “This will only result in more nitrogen being dumped into the catchment and farmers downstream being required to slice their nitrogen allowances under PC1 back even further.” He called for Government intervention should the consent continue unimpeded. But council chairman Alan Livingston said it had become very aware of farmers’ feelings towards the consent in recent weeks and there is no guarantee it will continue and be approved in its current form.

“We are still in the process of considering all aspects of this consent. “They (Wairakei) had lodged a consent application prior to PC1 in September 2016 and we knew it would be coming up after PC1 had been notified. “It still has to be treated as a normal, pre-PC1 application.” However, he acknowledged there are quite clearly a number of issues being examined closely by council regulatory staff in context of PC1 now being in place. “Whatever amount of nitrogen losses they have stated, it will mean it cannot be produced elsewhere and so it will demand closer scrutiny because of that increased nitrogen loading.” He acknowledged any pressure it put on existing farmers downstream to further reduce their nitrogen losses would “absolutely not” go down well with them and would be to the detriment of other farmers. Armstrong acknowledged the application is an embarrassment for Pamu (Landcorp) given that company’s efforts in the past two years to de-intensify its dairying operations on the Wairakei estate. Landcorp said the application should be publicly notified to ensure all interested parties can be heard on the enivronmental implications. “We should also note that the Healthy Rivers plan is still in its very early stages and it makes sense to have more clarity on how the plan will be implemented before proceeding with this application.”

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Big hopes but no bullets for wool Neal Wallace neal.wallace@nzx.com

TICKING THE BOXES: Peri Drysdale’s Untouched World luxury casual clothes using Merino wool, possum hair and organic cotton are sold on their animal welfare, fair trade and sustainability attributes.

There are major issues for the crossbred industry from the farmgate to retailers, so many issues all adding up to bad news. Miles Anderson Federated Farmers functions, such as shearer and woolhandler training that went perilously close to collapsing before the industry stepped in, had also not been picked up by another entity. He sees a role for breaking wool fibre down to its constituent parts, something Wairarapa farmer Derek Daniell agrees with, saying he does not see much of a future for strong crossbred wool in its fibre state. Not only has strong crossbred

wool lost market share to synthetics but it faces competition from new products such as bamboo. “In the fibre market we are on a hiding to nothing,” Daniell said. Short of finding some new, highpriced, high-volume product he believes wool’s future is in a form broken down to its constituent parts as an ingredient powder or compound to use amino acids and other elements. He believes wool has also suffered from inaccurate attacks by radical animal welfare groups such as Peta, influencing people who are ignorant of the facts. Daniell said public concern about microscopic beads from synthetic fabric polluting oceans has not translated into demand or improved prices for wool. AgResearch has started investigating what senior scientist Steve Ranford said is limited data that wool fibres break down in sea water more rapidly than synthetic microfibres, therefore

posing less of a risk to the marine environment. Microfibres break loose from clothing during washing, ending up in oceans with smaller fibres ingested by marine life. Scientists from AgResearch and Scion plan to test how samples from woollen clothing and carpets biodegrade in salt water compared to synthetic alternatives. The scientists can then determine how these materials break down and at what rate. “The aim is to provide the public with objective information as they make choices about what they buy as well as inform manufacturers and retailers of the performance of goods like clothing and carpet. “There is a growing movement around the world by industry and governments towards more transparency about products and their potential impacts on the environment and having good quality research is important for this discussion. Christchurch lifestyle fashion

manufacturer Untouched World owner Peri Drysdale believes greater investment is required for research and marketing to improve the fortunes of coarse wool. Drysdale, who has developed niche fashion from Merino and mid micron wool, said issues such as microfiber pollution are “a Godgiven opportunity for wool”. It is yet another attribute in favour of woollen products, a fibre she described as the best given it is sustainable, comfortable, recyclable and compostable. Synthetics have more money for research and marketing but wool has the better environmental story. Drysdale said innovative products such as the Allbirds’ wool running shoe were timely given concerns about the environmental impact of the leather tanning process. The industry needs to do better telling consumers about wools’ many attributes.

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MILES Anderson hopes big uses for crossbred wool will sprout from small beginnings. The plight of the fibre has exercised the mind of the Federated Farmers’ meat and wool chairman in recent months but after seeing the innovation at a wool summit he helped organise he is slightly more optimistic. Like many farmers, Anderson has unsold wool and a $2.20 a kilogram valuation provided him a stark reality check of the state of the industry but his confidence that crossbred wool has a future has increased given the range of products on show at the expo. While the volume of wool used was relatively small, the variety of uses, from a formica-type product and pillows to garments, impressed him. Other innovative uses for crossbred wool include footwear, insulation and tennis balls. Despite that, there is no silver bullet for the industry’s parlous state, even though the fibre meets all consumer demands. “It ticks all the boxes so what the hell is wrong?” Anderson believes the sector’s problems are the culmination of multiple problems throughout the supply chain. “There are major issues for the crossbred industry from the farmgate to retailers, so many issues all adding up to bad news.” Poor returns lead to less clip preparation driving prices even lower, consumers are unaware of the qualities of crossbred wool and synthetic carpet makers have virtually wiped competing woollen products from stores. “No one really wants to invest in the industry at the moment.” He believes a solution is greater industry collaboration, something totally absent since the demise of the Wool Board. The board’s industry-good

News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Lactoferrin – a magic ingredient OUR MAN IN LONDON: Jeff Grant will represent the meat industry leading up to Brexit.

Jeff Grant becomes kiwi meat’s Brexit rep OSPRI and AgResearch chairman Jeff Grant has been appointed the meat industry’s Brexit representative to be based in London. On behalf of Beef + Lamb New Zealand and the Meat Industry Association, the former National MP will provide the red meat sector’s response to Brexit. Grant will work closely with B+LNZ’s Europe representative, the Government and commercial interests to help strengthen the red meat sector’s ties with the United Kingdom and safeguard NZ’s exports to the key market. B+LNZ chairman Andrew Morrison said “Jeff is highly experienced and has been involved in the red meat sector for over 25 years so brings with him expertise and strategic skills that will be crucial over the next two years in dealing with the implications of Brexit. “As a sheep, beef and deer farmer himself with properties at Balfour and Otama Valley in Southland, Jeff understands the importance of trade to the sector.” B+LNZ and MIA, with financial support from AGMARDT, will jointly fund his work. Association chairman John Loughlin said “Brexit is one of the biggest challenges to face the sector in recent years and it

is crucial NZ is no worse off as a result of the change. “Jeff will play a crucial role in the overall NZ Inc effort to build and maintain our relationships in the UK, secure our national interests and dispel the misconceptions about our sector and exports.” Grant has had a number of roles including being elected as a Member of Parliament in 1987 where he served two terms and was senior whip in the National government from 1990 until 1993 when he retired. Since 1994, he has been predominantly involved as a director or trustee of organisations and companies including Landcorp, PGG Wrightson and B+LNZ. He has also been chairman of 10 organisations including Meat and Wool NZ (2003-2007), the NZ Meat Board (20002007), the Meat Research and Development Council, AGMARDT, Invest South and Wool Partners Co-op. Most recently he has been chairman of AgResearch, Mount Linton Station, OSPRI, Milford Sound Tourism, Southland Shared Services and a director of SBS Bank, Finance Now, NZ Young Farmers and Predator Free 2050. Grant will be active in the role from around mid year and will work closely with B+LNZ regional manager Ben O’Brien, who is based in Brussels.

Hugh Stringleman hugh.stringleman@nzx.com LACTOFERRIN became the flavour of the month when Fonterra’s giant New Zealand Milk Products division held an exhibition of its advanced ingredients on the day rival processor Synlait said it will double its production of the pricy protein. Lactoferrin is an iron-binding milk protein distinguished by its pink crystalline form, produced in small quantities and sold for high prices – perhaps $500/kg or more. NZMP’s display said it takes 10,000 litres of milk and smart freeze-dry technology to make one kilogram of lactoferrin, which has anti-microbial, anti-inflammatory and immune-enhancement qualities. Chief operating officer Kelvin Wickham said Fonterra doesn’t disclose its total production or its lactoferrin prices and revenue but most was made to order for longstanding customers. Now there is a resurgence in demand as Chinese infant formula makers add it to their tins in very small quantities. Health claims about the formulas are made in China that are not allowed in most other countries, he said. Lactoferrin extraction from skim milk and whey is a complex procedure and the resulting majority co-products, skim milk powder and whey protein, are still readily saleable but in categories different from their regular forms. It is not feasible to put all Fonterra’s milk collection through lactoferrin extraction before moving on to standard ingredients processing and there is only a limited market for the pink gold. All lactoferrin plants around the world have outputs measured in kilograms rather than tonnes a day or week, Wickham said.

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PINK GOLD: NZ Milk Products chief operating officer Kelvin Wickham with a sample of lactoferrin, one of the most expensive dairy ingredients.

Earlier that day Synlait said it had a committed buyer and a multi-year agreement to underpin the doubling of its lactoferrin capacity, which would take $18 million of capital expenditure. Managing director John Penno said the move was prompted by the growing world market, internal demand for infant formula manufacture and a secure portfolio of reputable lactoferrin users. Synlait is one of the few producers in the world offering reliable access to significant quantities of infant nutritiongrade lactoferrin. In NZ, Fonterra is the largest source from its Hautapu plant and Tatua Co-operative at nearby Tatuanui also produces a significant but undisclosed quantity. NZMP’s open day was to highlight its advanced ingredients, a reporting category only recently publicised by Fonterra, as distinct from standard dairy commodities. Advanced ingredients are the higher-value end of NZMP’s three million tonnes annual production, accounting for 19% of total milk intake in the first half of FY2018 versus 33% of base ingredients and 22% of Global Dairy Trade commodity volumes. Advanced ingredients make higher, more sustainable returns for farmer-shareholders, Wickham said. They have added benefits, either through better product performance or claims backed by science. To add value NZMP worked on the needs of customers and their customers and came up with solutions. It aspired to be the preferred supplier of dairy ingredient solutions and the number one brand for dairy expertise that led

the world, he said. Leadership might come through technical services rather than products, like the Global Dairy Trade auction platform and the related futures market for risk mitigation. A more recent ability to source whey protein products, for example, from Europe as well as NZ mitigated the single-source risk for long-term buyers. NZMP makes about $12b of sales annually – 60% of Fonterra’s revenue. It is the leading player in the globally traded dairy market, with 22% of that market. NZMP has more than 1100 customers in more than 130 countries on its database. Some 500,000 tonnes, or 25% of its sales goes through resellers who have long-standing relationships and share Fonterra’s values and very high standards. Among the advanced ingredients are consumer milk powders reconstituted to liquid and cultured dairy products by customers and consumers, such as Gold, Low Lactose, Fortified and Instant powders. Fonterra has trademarked SureStart for paediatric ingredients and SureProtein for sports, active and medical nutrition applications. There are quality assurance trademarks to appear beside customers’ brands, Wickham eaid. The medical and aging nutrition markets worldwide are estimated to be worth $17.5b. Wickham summarised the new approach as building on the relationships, performance and NZ origin by working with each customer on its needs, applying the big Fonterra research and development resources and coming up with added-value solutions.

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News

10 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Incomes rise across the board Alan Williams a.dubu@xtra.co.nz A BIG boost in pre-tax sheep and beef farm earnings highlights the strong in-market export prices and processors’ improved ability to return more of that income to farmers, Beef+Lamb New Zealand chief economist Andrew Burtt says. Average sheep and beef farmer pre-tax incomes across the country are expected to rise 39% year-on-year by the end of the export season, with the greater part of the gain being achieved in the North Island, which has a higher revenue input from cattle than the South Island. Nationally, the average pre-tax income is forecast at $126,300 for the export year to September 30, up from $90,600 last year. The North Island figure is up 46% to $136,000 from gross revenues up 17% at $472,000 and the South Island profit gain is 33% to $115,000 on gross revenues up just over 6% at $572,000. The estimates allow for more NORTH ISLAND: Sheep revenues up 31% to $219,000 on greater lamb numbers and prices. Cattle revenues up 7% to $179,000 on strong prices and steady-tohigher numbers. Farm expenses higher, supported by the higher revenues. Term debt levels up about 16% over the last four years but interest costs lower because of lower interest rates. SOUTH ISLAND: Sheep revenues forecast higher though more lambs than usual sold store rather than prime, especially on high country and breeding/ finishing farms, selling to mixed cropping and other finishers. Cattle revenues moderately higher though strong store prices eroded margins for finishers. Strong wool revenues lower as the price fall offsets higher volumes caused by wool stored from last year being brought forward for sale. As with the North Island, term debt levels higher but interest costs lower.

BETTER OFF: Processing companies have become more efficient and pass for of those gains to farmers, Beef + Lamb New Zealand chief economist Andrew Burtt says.

livestock being bought and sold as stores over the season because of price and climate factors, Burtt said. As well as higher prices, the results do indicate that processing NORTHLAND/WAIKATO/ BAY OF PLENTY: Gross revenue $396,900, up 12%, including sheep revenues up 21% to $125,900 after increased lambing numbers and cattle up 8% to $200,200, the highest level on record. After expenses, pre-tax profits up 28% to $108,600. Fertiliser spend up 13% to $47,300 average per farm, catching-up after lower volumes previously. Repairs and maintenance spending higher to record levels, except on hard hill country where more was spent after 2013 drought. EAST COAST, NORTH ISLAND: Gross farm revenue forecast up 24% to $559,900 with sheep revenues up 42% to $294,000 after near-record lambing and cattle revenues up 7% to $188,200, thought to be a record because of more stock sold and higher prices. Cattle continue to be the favoured livestock ahead of sheep because of the returns and

companies have come a long way in recent years, improving their cost structures and being able to pass on more of the price gains to sheep and cattle suppliers, Burtt said. “They don’t get a lot of credit but it is a bloody hard business.” The earnings forecast are nominal figures, ahead of inflation-adjustments, and are based on an average NZ dollar currency rate of US$0.69 over the export season. The kiwi was about that level from October to December but has largely been in the 0.72/0.73 range from mid January to March. Major trading bank currency forecasts are for it to slip back to about 0.69 over the next half-year so the B+LNZ figure could be a reasonable yardstick. Its mid season report says at an average exchange rate of US$0.76 for the season, the pre-tax profit will reduce to $78,000. That looks an unlikely scenario. About 70% of all meat export volumes are traded in US dollars. Burtt said B+LNZ uses a

pre-tax profit measure in its forecasts because every farmer has a different tax situation and it can’t work out average after-tax performance. North Island farms have 49% of the country’s sheep, 70% of beef cattle and 60% of dairy cattle. Sheep meat (so excluding wool) provides 46% of average North Island farm revenues, with cattle at 38%. In the South Island sheep provide 48% of average revenues, cattle 17% and cropping also 17%, the report says. The South Island profit figure is skewed slightly by the Canterbury/ Marlborough numbers, with the highest gross revenues at an average $657,200 but also the highest farm expenses, at $554,000. That is largely due to catch-up spending on many farms following several years of serious drought, Burtt said. The farm expenses do not include stock purchases. As well as higher lamb and mutton prices, returns in some regions, especially the east coast

lower labour input, especially among older farmers. Sheep still produce greater revenues at 53% of the farm total. Wool revenues up 19% to $33,900 as increased volumes offset lower prices. Fertiliser inputs and repairs and maintenance both higher, making up for work deferred previously. Autumn conditions more favourable for fertiliser applications than autumn last year. Average farm pre-tax profit up 63% to $164,600.

CANTERBURY/ MARLBOROUGH: Has the most diverse revenue stream with forecast sheep revenues up 21% to $235,000, the highest average since 2011-12 with more lambs for sale and the area recovered from the earlier prolonged drought. Cattle up marginally to $123,400 because of strong pricing. Wool revenue is forecast to fall 9% to $37,800, the lowest level since 1998-99, because of low strong wool prices, though the income on high-country farms producing fine wools increases sharply because of their high prices. Cropping revenues down marginally to $172,100 with changes caused by different product mixes and area under planting. Dairy grazing revenues forecast down 8% to $52,900 on reduced dairy cattle numbers and still potential impact from Mycoplasma bovis disease. Fertiliser spend down slightly, similar tonnages but lower input

TARANAKI/MANAWATU: Gross farm revenue up 13% to $485,300, with sheep up 24% to $290,000, though numbers were lower, and cattle up 3.5% to $123,300 and just better than the 2014-15 record. Dairy grazing revenues were lower, especially on hill-country farms. These properties also took up much of the increased fertiliser spend, up to an average $44,200 a farm. Farm pre-tax profit jumped 51% to $143,200.

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of the North Island, are being helped by having more lambs to sell because of higher and excellent lambing production. Cattle revenues are also higher but off a stronger base so they don’t look as impressive in percentage terms. The east coast zone is the most profitable region, per average farm return and has the greatest percentage profit increase. Through the 2017-18 season, B+LNZ expects NZ returns to benefit from a reduction in Australian sheep meat exports as that country continues to rebuild the national flock. About 44% of Australian production is sold domestically so the rebuilding has an impact on exports with lambs exported expected to be down by 4% and mutton exports by 6%. The two countries account for 90% of world sheep meat trade, excluding intra-EU trade. As reported earlier, B+LNZ expects both beef and lamb export revenues to exceed $3 billion this year, the first time they’ve both made the milestone. prices. Pre-tax farm profit forecast up 35% to $103,000. OTAGO/SOUTHLAND: Gross farm revenue forecast up 8% to $465,300. Season marked by strong livestock prices and very dry conditions for much of the summer, leading to earlier weaning, selling more lambs as stores or finishing lambs earlier and culling old ewes then rainfall from February onwards. Sheep revenues up 11% to $311,000. Though lambs were sold earlier, a lower number of breeding ewes means fewer lambs available overall. Sheep revenues make up 67% of the average farm totals, the highest ratio in the country. Cattle revenues forecast up 9% to $68,200. Wool revenues dropping 8% to $47,600. For the total region wool makes up 10% of revenues but this rises to 30% for fine wool producers in the high country. Farm profit pre-tax up 29% to $126,000 for the September 30 export season.

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Questions asked over Fonterra price-setting Hugh Stringleman hugh.stringleman@nzx.com THE Commerce Commission is inviting submissions on a commissioned report into one component of how Fonterra sets the milk price, having previously expressed a reservation about that aspect. The commission obtained a report from Cambridge Economic Policy Associates (CEPA) and Australian-based dairy analyst Freshagenda into the “asset beta” used in the milk price model. Submissions will now be received by the commission until May 9. Last year when reporting on Fonterra’s base milk calculation under the Dairy Industry Restructuring Act (DIRA) the commission said it was unable to decide on the feasibility of the estimated asset beta Fonterra used to determine the weighted average cost of capital (WACC).

The WACC is an important component of milk price setting, a concept familiar to Fonterra farmers through the capacity adjustment in the advance payments schedule. The commission said then the difference between Fonterra’s estimate and average comparable companies was material and equal to about 5c/ kg MS. An asset beta figure is a statistical measure of a company’s risk profile compared to its peers or the market in general. A figure of 1 denotes equivalence, less than one a lower risk. It has been alleged Fonterra’s use of a low asset beta (0.38) allows a higher milk price to be calculated – farmers would be consistently getting too much in milk price at the expense of net earnings and share dividends. Other milk companies that benchmark from Fonterra or

QUESTIONS: The Commerce Commission is investigating whether Fonterra is manipulating its milk price to pay farmers more at the expense of the dividend.

buy raw milk from Fonterra could be paying too much and therefore Fonterra was behaving uncompetitively. The advisory report came up with 0.45 to 0.58 as the asset beta range for other dairy companies. It also acknowledged Fonterra was different and that price risks were effectively passed on to its farmers, which might indicate a lower asset beta. CEPA and Freshagenda conclude the evidence from comparable companies suggests a higher asset beta should be used. “While our recent reviews have found the way Fonterra sets its milk prices is largely consistent with the DIRA we continue to be concerned that Fonterra has not provided sufficient evidence to support using an asset beta lower than that of comparable processors,” commission deputy chairwoman Sue Begg said.

Seeka quits Zespri shares Richard Rennie richard.rennie@nzx.com SEEKA chief executive Michael Franks describes the move to exit from Zespri share ownership as a more efficient use of shareholders’ funds, enabling the company to lower debt and continue to expand its post-harvest operations. The country’s biggest kiwifruit grower moved in early April to sell down its 740,606 shares as Zespri’s new constitutional reforms around share proportions start to come into effect. The changes were approved by the required 75% of shareholders in March, with the aim under the Kiwifruit Industry Strategy Project to better balance Zespri shares to reflect grower ownership more closely. About 15% of Zespri’s shares are held by people who are no longer connected to the industry and almost 30% of growers are undershared compared to their tray production. The changes enable the minority of shareholders who

we can have 100% control voted against the adjustment over and they represent a low to exercise their right to sell number of shares in total. and receive $8.25 a share, “The $6.1m is a big chunk of within the $8-$9 share cash by any measure and we valuation range provided by can use that effectively in our valuers Cameron Partners. company to keep growing.” That is a 9% premium to the There was a level marketer’s last of surprise in the trading price of industry that the $7.55 a share. option of selling Seeka did down minority not support shareholding was the changes available. proposed under Of Zespri’s 120.7m the constitution shares about 8% are review. held by producers It has at a ratio of more expressed than four shares concern over per tray produced, what it described Michael Franks – classifying them as in its 2016 annual Zespri chief executive. over-shared. report as industry Zespri ultimately inertia when aims to have a ratio of one it came to implementing tray one share but will accept offshore fruit handling ownership of up to four and storage and a minimal shares a tray produced. There approach to collaborative is, however, no compulsion marketing. included in the new Franks said the sale of regulations for suppliers to the minority stake would hold shares. amass the company $6.11 Seeka’s own shares continue million in cash that would to trade healthily on the NZX, be well targeted to reducing gaining 18% in the past year, the company’s reasonably significant debt of about $75m just ahead of the NZX 50 index average of 16%. “They represent funds that

News

12 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Tax changes must be clear, easy Neal Wallace neal.wallace@nzx.com CHANGES to the tax system must satisfy the test of being clear, easily understood and easy to collect, Dunedin tax expert Michael Turner says. Turner, a partner with chartered accountants Polson Higgs, said on the surface it might seem plausible to impose a tax but it becomes complicated when determining if it is equitable, how it is calculated and collected and if it changes behaviour. Turner was commenting on confirmation the Government’s Tax Working Group is investigating the merits of changing the tax rules relating to land, capital gains and the environment, which could all potentially affect farming. Group chairman Sir Michael Cullen said it is looking at whether an environment tax could influence farmer behaviour such as intensification or whether regional mechanisms would be more effective. A carbon tax or adding agriculture to the Emissions Trading Scheme have also been discussed but Cullen said he

LISTENING: People have till April 30 to make submissions to the Tax Working Group led by Sir Michael Cullen.

is well aware of agriculture’s economic importance. “It is pretty difficult and tough,” he said. New Zealand governments rely more heavily on revenue tax than other Organisation for Economic Co-operation and Development countries but at a maximum of 33% the income tax rate is one of the lowest while the 28% company tax rate is well above average.

GST was relatively low compared to other OECD countries because it is broad with few exceptions but NZ’s narrow tax base and reliance on income tax to fund government raises issues of equity and sustainability. A capital gains tax would provide some balance but most countries provide exemptions, such as earlier Labour Party policy to exempt the family home.

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security required by banks. Countries with a capital gains tax were lessening its impact. In Australia one effect was to lock-in investment as people stopped selling assets to avoid the tax, which restricted investment flowing to its best use. Capital gains tax rules there are also changing as people invest in tax-exempt homes rather than business.

It is pretty difficult and tough. Sir Micheal Cullen Tax Working Group To be successful tax needs to be clear, easily understood, easy to collect and change behaviour – like GST – and Turner said environmental taxes could struggle to reach that threshold. “Environmental taxes are unlikely to be broad-based because we all measure the impact on the environment differently and at a low rate an environmental tax is unlikely to change behaviour.” Turner said NZ’s tax system operates on a voluntary compliance basis which means the IRD does not need an army of inspectors. Cullen said no changes have been decided and the group is seeking public submissions, which were open until April 30.

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Cullen said how that would affect farming is not yet clear and might not be a huge comfort to agriculture given the valuation of farming entities. A land tax offers the least distortionary behaviour because it is a constant resource but Cullen said there are issues such as the ability to pay and differentiating between the value of agricultural and urban residential land. He saw the biggest risk to the tax base as the growth in online commerce and crypto-currencies. “A lot of the taxation base is going into the cloud and will never be seen by the Inland Revenue Department. It is a real risk to the tax base.” Asked what inequality he saw in agricultural tax, Cullen said the main areas were tax incentives and depreciation available for resource extraction and forestry compared to those available for arable and pastoral. “The hidden bits and pieces add up to quite a lot which can advantage some sectors over others.” Turner said the tax deductibility rules for establishing forestry remove some of the variable returns but with Government policy to plant a billion trees in the next decade, incentives might be needed to achieve that goal. Whenever something is taxed it removes the desirability to invest and Turner said that applies to land or capital gains. Such taxes could push down land prices and increase

INDUSTRY and government agencies are planning a preemptive strike on the brown marmorated stink bug. They have applied to the Environmental Protection Authority (EPA) to release an organism new to New Zealand – the samurai wasp – to combat any brown marmorated stink bug invasion. The EPA is seeking public submissions on the application. The applicant, the Brown Marmorated Stink Bug Council, includes groups representing the avocado, apple and pear, tomato, vegetable and wine industries. In the United States and Europe the stink bug has caused severe economic damage to horticultural crops and has invaded homes during the cold winter months. The council says a report by the New Zealand Institute of Economic Research shows commercial crops at risk from the stink bug have an annual sales value of $4 billion. They include pipfruit and summerfruit. The stink bug poses one of

the highest risk biosecurity threats to NZ and is often detected at the border. If the stink bug successfully breaches our biosecurity system and establishes it will be very hard to eradicate, the council says. Enter the samurai wasp. Biological control by the wasp is likely to be the most effective long-term, sustainable and socially acceptable means available, the council says. The alternative, used overseas, is increased use of broad-spectrum insecticides, often at high application rates. The samurai wasp doesn’t sting and is harmless to humans but attacks and kills stink bug eggs. The trigger point for releasing the wasp would be detection of a stink bug invasion or an established population. Rapid release of a squadron of wasps is critical to successful eradication so the council is seeking pre-emptive approval so wasps can be launched as soon as the balloon goes up. Public submissions open on April 11 and close at 5pm on May 24.

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News

14 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Gin could be tonic for Taranaki Richard Rennie richard.rennie@nzx.com NOT usually recognised as a diversified food basket, Taranaki’s ability to produce more than highquality milk and meat is likely to soon take a step up thanks in part to funding from the Provincial Growth Fund. The region’s economic development strategy has identified the benign climate, reliable rainfall and rich volcanic soils as playing a key part in helping it diversify its food and crop offerings. The fund has endowed it with $175,000 to identify and prioritise major foodrelated opportunities. The funding has been welcomed by Massey University business development manager (Taranaki) Eve Kawana-Brown who has been working for several years with growers and processors in the region to help them identify opportunities and build the critical mass to commercialise them. “It’s been a pleasure to be working here, based in New Plymouth, and the energy to build food businesses is fizzing but we are still probably behind most other regions. “We do not have anywhere near as much as you might find in other parts of the country,” she said.

Kawana-Brown attributes that largely to the success Taranaki has enjoyed in the status quo industries of oil, gas and dairying with that success dampening the need to seek alternative income sources. But the Government’s recent announcement about its somewhat sketchy commitment to continuing fossil fuel extraction has given the province cause to ponder what alternatives are worth exploring. “At the moment we certainly have manuka honey as the most obvious product to be revealing itself.” Land agents in the region have reported blocks of land in north Taranaki once regarded as almost waste land being at premium values. Once worth about $1500 a hectare their value now exceeds $4000 a hectare. Owning land in Taranaki for hive placement can mean honey producers get two shots at summer production, harvesting honey with hives up north before moving them south to Taranaki for the later flowering season. Botanicals, the herbs, roots, flowers leaves or seeds added to food, drink and cosmetic products are also an emerging area KawanaBrown believes has considerable potential.

DRIVER: Massey University’s Taranaki business development manager Eve Kawana-Brown is helping people in the region look for new products in the food sector.

The same climate that made the region famous for its rhododendrons also makes it highly suited to growing botanicals. “One area showing a lot of promise is juniper berries that are added to gin. “We have a number of gin manufacturers in New Zealand who want to make theirs a 100% NZ story but who have to import their botanicals, including juniper and traditionally liquorice root and angelica.” Indications are junipers sourced from central Europe and Scandinavia can grow in Taranaki as a crop. Typically they are harvested in the wild. Kawana-Brown is working with some gin makers to get the necessary science completed that could pave the way for a future juniper industry. The array of other botanicals used in gin including liquorice, angelica and coriander seeds could all have a place in Taranaki too, with some already being grown in the region. “For gin makers some of these botanicals are quite expensive and some have to be imported.”

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Horticulture NZ data has the Taranaki region bereft of vegetable and fruit crops, classifying a mere 102ha as horticultural activity. This puts it second to last for horticultural land area, ahead of the West Coast’s paltry 11ha and well behind regions like Hawke’s Bay with 20,000ha and even Waikato with 6600ha. But Kawana-Brown said it is the lack of critical mass and absence of a crop-growing culture that stymies the region’s potential, rather than any climatic failure. She believes greater pressure on land in other areas might be the driver for growers to consider Taranaki for expansion. “Asparagus is one crop we used to grow more of here but which fell away some years ago. “However, since then global demand has risen and given how expensive land can be it would be good to see some being used for other crops that could sit alongside the grass we grow here.” At present Taranaki’s economy generates $340 million from food production with 4300 people employed in the sector. Accounting for 10% of the

national dairy herd, dairying is by far the giant within that production and explains why the region ranks second nationally in GDP per capita in food production, despite the lack of sector variety. “But the irony is we don’t have an artisan cheese visitor experience in Taranaki equivalent to many other regions that are less well known for their dairying.” Kawana-Brown maintains the future strength might come from these diverse, niche botanicals and that could also include tea production, something a colleague of hers is convinced Taranaki could do well. Work with a Maori organisation is helping to build a catalogue of NZ science relating to native botanicals with potential uses in locally produced foods, with herbs like horopito and kawakawa often popular additives. It is due for release in later this month. “The fact the region is only a few hours up the road from Massey University’s food production unit is a big advantage for anyone wanting to explore processing options,” Kawana-Brown said.

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FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

NZ ahead of UK sheep genetics NEW Zealand’s sheep genetics are way ahead of those in Britain, Scotland-based NZ agribusiness consultant Tim Byrne says. As a senior consultant with Dunedin’s AbacusBio Byrne opened the company’s first European office in June last year to more effectively service British and European Union clients while also seeking to access new areas of agri-tech development in Europe. While fully convinced that NZ sheep farmers hold a clear genetics advantage over their British counterparts he’s not so sure Kiwi producers are striking a sufficiently strong profile on environmental management issues. “NZ producers are definitely ahead of the United Kingdom on livestock genetics and business awareness but could arguably learn something from the British industry on the environmental front,” he said, comparing the two countries as they prepare for Brexit and the negotiation of new free-trade agreements. “The first big difference I noticed when setting up our office in Edinburgh was how much NZ’s no-subsidy policy has affected the way farmers think back home, in contrast to what I’ve seen in the UK” he said. “Having become used to working in an open market over the last three decades, NZ farmers are clearly very aware of the things that make them money. That’s not so much the case in the UK. “British farmers’ understanding of key performance indicators has become somewhat masked by subsidies with producers finding it less necessary to know exactly what they have to get right to make money.”

While admitting his comments include a good bit of generalisation, he maintains NZ farmers are, on average, much more businesslike than UK producers. There again, on the flip side, he thinks NZ’s mid-1980s axing of farm subsidies left domestic producers behind what is happening in the UK on the environmental front. “Largely because of farm-based subsidies continuing in the UK, British producers have been incentivised to take care of the environment, certainly more so than in NZ,” he said.

I’m not saying NZ farmers don’t take care of the environment, just that they perhaps need to strike a better balance between production and the environment. Tim Byrne AbacusBio “I’m not saying NZ farmers don’t take care of the environment, just that they perhaps need to strike a better balance between production and the environment.” That could become an increasingly important message for NZ farmers, especially as the EU’s free-trade ambitions will almost certainly carry a strong environment edge, as part of whatever agreement is finally reached. “A lot of NZ producers are well aware of their environmental requirements, of course, with

significant efforts being made to improve performance,” he said. “Perhaps the first step for the industry in NZ, therefore, is to start talking a bit more about what has been achieved and what is planned for the future. There’s important profile to be gained here.” As for NZ’s lead on sheep genetics he believes that is because of the UK sheep industry remaining far too fragmented, with a huge number of breeds still being involved in the business. “As a result, it hasn’t been possible to compare UK sheep breeds on a worthwhile genetic basis,” he said. “The traditional model of sheep production in the UK is based on hill-country sheep such as the Welsh or Scottish Mountain and Blackface, crossed with the Bluefaced Leicester to produce a mule to go into a lowland situation and be mated to a terminal sire. “This has served the industry well in the past but it doesn’t now. “For today’s market there’s simply not enough performance data available on the breeding animals being fed into the British system, certainly not enough data to pinpoint the stock that will generate future profits.” That doesn’t mean he’s negative about the potential of the UK sheep industry because there will certainly be opportunities for the UK to produce more lambs in the wake of Brexit. “To do that, however, UK farmers will need better data and evaluation systems, providing the sort of information they need to be able to secure improved genetic solutions,” he said. Asked what he thought the future holds for NZ sheep exports into the EU and UK markets after

GO FOR IT: There will still be plenty of room in Britain and Europe for New Zealand lamb after Brexit, AbacusBio consultant Tim Byrne says.

Brexit, Byrne is entirely upbeat and positive. “If NZ lamb wasn’t in Europe there wouldn’t be enough to satisfy consumer demand and that’s not going to change in the light of Brexit.

“Although I believe UK sheep producers will have opportunities to expand production over the next few years there will still be plenty of room for NZ lamb in both the UK and EU markets,” Byrne said. 12861

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16 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

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Richard Rennie richard.rennie@nzx.com DESPITE vastly improved rural connectivity there are still some significant areas of potential for rural New Zealand to benefit from as the internet’s influence grows stronger over how agricultural business operate. Lobby group InternetNZ deputy chief executive Andrew Cushen says there are billions of

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dollars still on the table in NZ for businesses in productivity gains just by using the technology available now and agriculture has the most to gain. “Innovative Partnership research shows there is a total of about $34 billion in gains and the agricultural sector lags behind all firms in all aspects of internet utilisation.” Key performance indicators like having 80% of staff with internet access have agriculture at only 10%, compared to 40% across all firms, and only 40% of agri-firms have a website against 80% nationally. Interestingly, one area agriculture does not trail the rest of the economy is with 10% of firms having over 25% of sales via the internet, slightly ahead of the 8% of all businesses. The lag in most areas of internet application came despite the country having a world-leading fibre rollout programme that is putting ultra high speed internet into settlements as tiny as Granity on the West Coast and Mossburn in Southland. But Cushen laments a national preoccupation with internet infrastructure, whether it be more towers, fibre or nodes, when that is only one piece of the puzzle the sector is struggling to join together.

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“It’s just the first bit but not the only bit. Skills and suppliers are just as important.” He urged rural NZ to avoid getting hung up on the hardware and waiting for infrastructure to be built before integrating more online business practices, investing sooner rather than later in skills and systems to harvest the productivity gains that remain on the table. “I know it may not all be perfect yet but that is because we are only in the single digits, percentage wise, of the gains that are still to come from this revolution.” Cushen described the internet age as the “fourth revolution” coming after the first which was mechanisation, then mass production, then automation in the 1970s and 1980s. “If you worry about better connectivity, people all over NZ have wanted to fix that for decades and some did.” He pointed to the spider web of fibre networks extending out from the unlikely location of Ashburton. Its advance was thanks to the desire by the community to get decent broadband sooner rather than later and the input from local lines company EA Networks. “Don’t worry about affordability, there is always a cheaper way to get it done.” In the lower North Island rural communities have enjoyed faster internet thanks to lean, small wireless operators working with local farmers to install wireless antennae on hill country farms, delivering a high-speed network in lightly populated country that would have waited significantly longer fo larger providers to deliver. Cushen described the fourth revolution of the internet as the first to democratise the gains the technology delivers. The benefits are fast coming back to individuals and communities rather than to larger corporate entities that characterised the first three revolutions.

News

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Locals need more say in supercity Glenys Christian glenys.christian@nzx.com AUCKLAND Federated Farmers has welcomed a can-do-better report on Auckland Council from the Local Government Commission. But president Andrew Maclean said the report could have gone much further when it comes to decisions being made at the level closest to those affected. “We think much more of the Auckland Council’s decisionmaking could be delegated to local boards rather than being made at governance body level,” he said. The commission’s report, Enhancing Local Government for Aucklanders, came out of the efforts of both Northern Rodney residents and Waiheke Island to break away from the council, which were rejected by the commission late last year. In the process of considering their cases the commission heard from different sectors of the community, chairman Sir Wira Gardiner said. “While many spoke of the benefits that came from being part of a large organisation and the ability for the council to take a region-wide view, others were

MORE SAY: Auckland Federated Farmers want more of Auckland council’s decision-making delegated to local boards, president Andrew Maclean says.

concerned the local was being lost from local government.” The local government structure itself was appropriate but there are still challenges. Because of the feedback the commission collected it is in a good position to reflect on what

could make local government work better for residents, businesses and communities and in particular in Auckland’s outer areas. Good relationships rely on everyone understanding how and where they sit in the local

government system, mutual respect and clear communication, he said. The recommendations suggest greater exploration of ways to balance regional and local needs without losing the benefits of being part of a large organisation and improved understanding of council governance arrangements and functions. The commission said consideration is required of whether funding allocation methods for locally-driven initiatives are the best way to meet different needs of local areas. Ways to deal with different service levels across the region because of the decisions of legacy councils need to be looked at as well as the council continuing to look for ways to improve service delivery for customers. Maclean said the federation particularly welcomes the recommendation the road sealing budget in the Rodney area be increased, long a frustration for farmers there. Northern Action Group (NAG) is appealing against the commission’s decision that northern Rodney remain with Auckland Council. Its chairman Bill Towson said

something good seems to have had come out its efforts despite the commission’s report being non-binding. “Hopefully we will make some progress.” He recently attended a case management conference in Wellington on the group’s appeal against the commission’s decision, which can be made only on points of law. A preliminary hearing is set down for June 25, three days after the deadline for the council to respond to the report. NAG counts among its members a number of farmers who have been against Northern Rodney being included in Auckland since the Super City was formed. They argue their area has been seriously deprived of infrastructure and funding and is constantly being told by the council what it will get rather than what it really needs. It maintains there’s a need to get back to basics and improve roading, water, sewerage and stormwater as well as for the council to engage local contractors to do the bulk of the work rather than using those from long distances away, such as south Auckland.

Vet students in role-play VETERINARY students at Massey University are indulging in some theatre as part of their training. In a move to improve communication skills the School of Veterinary Science in collaboration with Shoof International has introduced a communication skills course, using actors to simulate farming clients interacting with students. “The aim of this course

is to make students aware of the importance of highquality communication in the veterinary profession,” veterinary professional studies co-ordinator Stuart Gordon said. Students role-play onfarm clinical scenarios designed to expose them to a veterinary consultation in which they interact with a farmer and teach them skills such as asking openended questions.

“The students are then required to explain the clinical findings and plan treatment and future management protocols with the farmer in language the farmer will understand.” The consultations are filmed and feedback is given to the students. Support from Shoof covered the actors’ expenses and costs from visiting private practitioners.

HOW CAN I HELP? Fourth-year veterinary student Lucy Hong gathering information from the simulated farming client, actor Megan Gordon, during a simulated farm consultation. The communication skills facilitator, Stuart Gordon, observes from the background.

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20 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Top cows’ bloodlines on offer A lifetime of breeding for Nathan and Amanda Bayne culminated last week in the sale of 49 dairy cows and heifers including, as Neal Wallace reports, two with high profile international pedigrees.

ATHAN Bayne accepts it was a bit tongue in cheek using Facebook to approach the owners to buy embryos from two of North America’s most decorated show dairy cows. While illustrating the power of social media, it gave the dairy farmer access to embryos from a cow considered the greatest ever bred in North America and another that sold for a then world record NZ$1.3 million. But it worked and a heifer calf and cow from those prestigious North American bloodlines were put up for sale last week at an auction of stock by Nathan and Amanda Bayne’s Busybrook Holsteins at Duntroon in North Otago’s Waitaki Valley. Bayne said quality show cattle in North America attract huge sums of money from buyers wanting the prestige of winning major events. He secured unsexed embryos from Eastside Lewisdale Gold Missy, which, in 2009, was sold by her Canadian breeder for the world-record price to a Danish farmer and breeder. She then went on to win multiple titles at the World Dairy Expo and Canada’s Royal Agricultural Winter Fair. Her daughter, Busybrook Wind Miss NZ, an in-calf rising threeyear-old, along with a Februaryborn calf, Busybrook Doorman Hailstorm, the daughter of RF Goldwyn Hailey, which twice

ROYALTY: Busybrook Doorman Hailstorm, the daughter of RF Goldwyn Hailey. Photo: Bradley Cullen

BREEDER: Otago sharemilker Nathan Bayne has sold two cattle he raised from embryos bought from two North American breeders.

won the prestigious World Dairy Expo at Madison Wisconsin and the Royal Agricultural Winter Fair were in last week’s Busybrook auction of 49 lots. Considered one of the bestever cows bred in North America Bayne said Hailey’s breeder, GenCom Holstein from Quebec in Canada, sold him three unsexed Hailey embryos from which two bull calves and the heifer were born. Bayne attributed getting access to the two lots of embryos to good timing and some good luck “I don’t know why I got lucky.

They certainly weren’t cheap. “If your cow wins, it is a licence to print money. You’ll have a waiting list as long as your arm for people wanting embryos.” He retains a daughter of Busybrook Wind Miss but said selling those bloodlines in NZ could help develop new markets for the North American breeders. Interest in Busybrook’s offering, including the two heifer calves, had come from throughout NZ and Australia. Breeding dairy cows has been a lifelong interest for Bayne and his 1000-cow commercial herd was in

effect based on two styles – those bred on the NZ breeding index and the North America Holstein, which was bred for type and production without any indexing. The basis of his North American herd was a herd of 100 he bought from Southland last year. Bayne breeds bulls for artificial insemination companies and cows from both breeding philosophies were sold at last week’s auction. “We do this because I like both styles of cows. They are two completely different markets for us.”

We do this because I like both styles of cows. They are two completely different markets for us.

The cows were as different as chalk and cheese, he said. “I can see merits in both lots of cows. Both have merits and both have downfalls but I enjoy working with both types.” He said North American cows are bigger and have production potential for high input systems while the NZ cows were easy care and efficient. All cows are run commercially so they could shift anywhere in NZ and he aims for them to produce more milksolids than their body weight. He has used embryo transfers for 15 years to get rapid genetic gain while also satisfying a lifelong interest in breeding. The couple have worked their way through equity partnerships and have share milked throughout Otago. They are now in their fourth season as 50:50 sharemilkers on the 385ha effective Waitaki Valley farm of Kelvin and Debbie Weir. The fully irrigated property is a mix of lighter, free-draining flats, steep hilly faces and terraces with heavier soils. They calve 1000 cows and all young stock – 250 R1s and 250 R2s – are run on the farm and all stock wintered on the property. The herd averages more than 500kg MS a cow or 1800kg MS a hectare.

New thinking

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Blockchain speeds up agri processes Blockchain technology is mysterious to most people with its association with arcane dealings in cryptocurrencies, but at its simplest it is a live digital record of physical things like farm produce as it moves from farms to processors, transporters, distributors, retailers and customers. People with access can track its progress and make sure payments are made quickly along the chain then customers can use it for tracability and provenance. Richard Rennie reports on how it might help the primary sector. part of the technology, Ohlsson said. There are three key problem areas in the global agri-supply chain blockchain could help resolve. The first is farmers not getting paid on delivery of their produce or raw material and relying on liquidity and trust of their buyer for the standard terms of trade period.

Blockchain offers a solution to put transparency and trust back into supply solutions. Gerard Morrison Maersk Secondly, buyers of produce often do not have access to finance to pay farmers quicker and, thirdly, consumers often do not know exactly where their food has come from. “And that is when we have a global market of about US$500 billion in fake goods.” Ohlsson cautioned that having only been around for about eight years, blockchain is far from a polished technology. But it is drawing big players in from the production, logistics and finance sectors associated with

agricultural production. They include shipping giant Maersk, Rabobank and the Walmart chain. “Maersk in a trial were able to move 200 export documents into a single blockchain transaction document.” Last year Maersk NZ chief executive Gerard Morrison described how at the “beta” stage of an IBM-Maersk initiative Maersk identified 200 communications by multiple organisations needed to send a shipment of flowers from Kenya to Rotterdam. Typically the fresher the product, the greater the paperwork and the slower the shipping process can become, with that product’s freshness being sacrificed. As NZ exports like chilled lamb face increasingly tight shipping deadlines and short shelf times on arrival in supermarket chillers, any reduction in time for transfer and document approval is particularly welcome by exporters. Despite doing a good job of moving food and fibre products globally, Ohlsson said the industry still experienced a slow, expensive and complex process with a vast volume of documents and a general lack of trust between parties. “There are not many times people point to agriculture and say ‘this technology is for you’ but this is one of them. “Blockchain offers a solution to put transparency and trust back into supply solutions.”

NO U-TURN: AgriDigital Australia external relations manager Bridie Ohlsson does not want to go back to traditonal banks.

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right to the consumer. The bundles of data proving the oats’ veracity (assertions) ultimately verified their point of origin to the consumer and ensured the grower received the premium promised. Ohlsson cautioned blockchain is not without its flaws, including the age-old risk of “garbage in-garbage out” as in any programming system. “But it is also good at real time auditing to identify those areas where this can occur.” She welcomed work being done by Rabobank examining financing methods through blockchain. “No one wants to end up with agri-coins but we do not want to have to go back to traditional banks through converting currency.” She said a report is due out very soon from Rabobank on bit coin currency use for agri-trading.

In 2016 the first grain contract settled using blockchain was recorded at Dubbo, New South Wales. “A grower who would previously have his asset (crop) lost subject to a 35-day payment period delivered his wheat, had the vital information on protein etc recorded, his delivery was fed through a blockchain application as a digital asset, with payment made into a digital wallet.” The transaction paid in “agri coin”, the equivalent of one Australian dollar. Industry was working hard to get an accepted version of Bitcoin to use as a regular blockchain payment currency. Similarly, blockchain has been used to prove a delivery of organic oats was indeed organic and remained verifiable throughout the supply chain,

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ESPITE its association with cryptocurrencies and their accompanying controversies, blockchain technology has potential for the agri-sector that is only now starting to be proved in the food supply chain. AgriDigital Australia external relations manager Bridie Ohlsson gave this year’s Mobile Tech agri-tech conference a first-hand insight to how Australian grain growers are starting to use the ground-breaking technology. Blockchain is best described as a type of digital ledger that records transactions chronologically in blocks of data. When used for supply chains that data is open to selected parties to view as the service or product moves through the supply chain. At its most simplistic level each block of information can be likened to a Google doc that is capable of being shared by multiple parties along the supply chain. A further version of that will involve a “permissions” programme where it can be specified what parties can see what information. But unlike a doc, information cannot be changed or deleted. If changes or additions are required a new version of the doc is made (a new block), so the entire history can be traced. Despite being associated with sometimes controversial cryptocurrencies, they are only

Opinion

22 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

EDITORIAL Calming the storm

HE first big storm of the year last week reminded us all the year is moving quickly. In fact, the dairy season ends in just over a month. The BNZ has studied the tea leaves and believes Fonterra farmers will be looking at a payout of $6.10 next season with earnings a share returning to 40c. That’s a little down on this year’s forecast, which should give farmers $6.85 all up, but farmers will no doubt be heartened to see some semblance of calmness to the payout wave after a few years of stormy seas. Consistency of income is preferable to the highs and lows of the past few years and now farmers can hopefully budget with a bit of confidence. Of course, costs, including tax, are also changeable and farmers will be keeping a close eye on the tax working group led by Sir Michael Cullen. Sir Michael says it is looking at an environmental tax and whether it could change farmer behaviour but it’s early days. Farmers will hope those annual profits won’t be gobbled up by the taxman. Beef + Lamb New Zealand has also been studying figures and is picking sheep and beef farmers will have an income boost this year. It says farmers should enjoy a boost in pre-tax earnings of 39%. That’ll be welcome news for those in the higher country, many of whom have been battling drought in recent years. It’s good news that farmers are still able to make a buck at processing after most would have paid some eyewatering prices in the store market. With B+LNZ also forecasting both beef and sheep meat returns to top $3 billion this year, things appear to be heading in the right direction in the medium as well as the short term. Heck, the industry body even puts in a good word for the processors. As last week showed, though, the weather can always throw a spanner in the works. Here’s hoping the polar blast is a minor blip and not a sign of things to come this winter.

Bryan Gibson

LETTERS

Leaders cause sense of shame IT IS a matter of great regret and concern for the future of free and open debate that Professor Jacqueline Rowarth has resigned from her position as chief scientist of the Environmental Protection Agency. Rowarth is one of the very few academics prepared to publicly support the role of primary production in this county. Ironically, her biggest detractors appear to be residents of ivory-towered institutions who rely on production from New Zealand’s natural capital for their not inconsiderable stipend. I note that a mere 393 signatures supported a petition calling for Rowarth’s resignation. I could probably name half of them.

Rowarth’s comments over the beneficial environmental effects of irrigation are entirely correct. Yes, there can also be negative impacts. As one who has taken water to soils completely devoid of nutrient, organic matter or anything else that supports a healthy plant, I can state categorically that the soil organic matter (carbon) has risen exponentially to the point where the need for irrigation water will be reducing annually. It is, however, with a deep sense of shame that I have failed to find in print any positive comments from our so-called farming leaders supporting both Rowarth and her highly intelligent, well-reasoned and continuing contribution to NZ farming and its role in sustaining our high standard of living. I find it particularly galling

that neither Federated Farmers nor Irrigation NZ are prepared to risk their imagined relationship with the coalition Government to support Rowarth. The National Party was predictably silent also. In my view Rowarth was prepared to criticise primary industry and support it when required based on science and, I assume, her understanding that human beings are also part of our environment. Gerry Eckhoff Alexandra

Creeping malaise I READ with interest Alan Emerson’s Alternative View (March 19). I absolutely agree. These days everything has a spin on it, unfortunately. I remember as a teenager listening to a politician

spouting forth on the radio and saying nothing you could nail him down on. Unfortunately, this creeping malaise has reached the highest levels of bureaucracy and big business, even in our co-operatives. The head of Fonterra is leaving, I doubt he will be missed. I hope the next to go will be the chairman. A lot of farmers will be trapped in a vicious cycle, carry on and hope they can work out of their position or possibly sell the farm. Sharemilkers are in a worse position. The billion dollars lost through arrogance and the attitude “we know best” would have gone a long way to helping farmers step up the ladder to success. Terry Newton Whakatane

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Pen-pushers pose the biggest threat Graham Carter

HE bureaucrats are the Big Environmental Challenge facing New Zealand in 2018. Water quality and availability, rapid urbanisation and the impact of natural hazards and climate change are the top three planning issues affecting NZ in 2018 and beyond, according to the New Zealand Planning Institute. These challenges were addressed at the institute’s annual conference Breaking New Ground held in Tauranga in March. Agri-food disruption, housing supply, biodiversity offsetting, new technologies and reviewing the implications of the National Policy Statement on Urban Development Capacity were also on the agenda. These issues have been happening for years and we don’t need a fancy conference wasting taxpayers’ money to identify what is needed. Planning and resource management in NZ is out of control. The Resource Management Act spawned by Labour’s Geoffrey Palmer then embraced and tinkered with by National’s Simon Upton (now the Parliamentary Commissioner for the Environment) and Nick Smith has been an absolute failure for NZ, except for lawyers who have profited greatly out of the confusion and the resulting court wrangles. Also benefitting have been bureaucrats in central government and local councils. Bureaucrats have a self-serving interest in keeping what should be simple matters protracted into time-consuming, extended processes to justify their jobs. The public end up footing the bill either through rising rates to pay bureaucrats salaries or, if involved in resource consent hearings, paying expensive lawyer

The

Pulpit

fees and escalating consent costs to councils. What of the environment itself after the long, drawn-out processes? Clearly the environment is not benefitting. Many rivers are seriously declining in quality of water and flows.

Planning and resource management in New Zealand is out of control.

Intensive monocultures, be that cows, grapes or pine trees, proliferate. Urban sprawl spreads over quality agricultural soils. The inescapable conclusion is after almost 30 years of the RMA there has been no benefit except to lawyers, bureaucrats and consultants. Worse, self-funded nongovernment organisations are now often the only groups battling for environmental protections through the courts, often against

Government departments and regional councils. Environment standards have alarmingly declined after three decades of the RMA and its parasitic attendants. The role of planners and resource management specialists has to be questioned as the issues NZ faced 30 and 40 years ago remain the same but much worse. Councils brimming with bureaucrats have increased fees and rules and little positive outcomes have been achieved. The issues like water, climate change, unbridled population growth and rapid and expanding urbanisation are much more pronounced than a decade ago. Meanwhile, bureaucrats hold meaningless conferences, devise new rules – often impractical and ineffective – while ignoring the key causes of environmental declines. A prime example is the erosion of water quality and quantity and the public’s right of access to water resources. NZ has been facing the challenge of weighing up the need for protecting the environmental quality of our water resource while also allowing for the use of water for economic, social and cultural reasons. Corporate power has deep influence. Companies, often foreign owned, take water that belongs to everyone and to export it overseas for their gain and none for NZ. This year’s conference was destined to be another failed talk-fest as bureaucrats, consultants and lawyers debated the issues without actually taking responsibility for the mistakes they have made over past years. There is a need for a complete cleanout of local and central government bureaucrats. Local government politicians have forgotten they are public servants elected by the people to serve the public interest. Councils are failing to recognise and take responsibility for failed

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NO GOOD: The only benefit from 30 years of the Resource Management Act has been to lawyers, bureaucrats and consultants, Freshwater Anglers Federation president Graham Carter says.

sewerage systems, allowing environmental damage to continue and ignoring the pleas from residents on the many issues that will affect future generations. Continued over-use of chemicals and poisons is destroying farm soils, wildlife and ecosystems. Urban and rural developments are allowed to seep effluent into waterways. Raw and treated sewage continues to be discharged into waterways as “accidents” in times of above-average rainfall. The Predator-Free-2050 programme is a classic case of a ludicrous, unrealistic, unjustified piece of bureaucratic nonsense. It would never be achievable and, besides, many of the bureaucrats and politicians flag cheering on the 2050 dream will not be around at completion to answer for their abject failure and massive waste of public money. Councils and the bureaucrats need to be made accountable as councils have failed the voting public.

Most councils are mired in deep debt and cannot afford to upgrade failed infrastructure. At times elected councillors are stymied by bureaucratic chief executives and managers who are busy covering their butts and making nebulous excuses. Another prime example of failure is the sorry state of rivers and waterways. The responsibility for failure sits on the shoulders of overpaid councils and recent inept central government who have been captured by corporate interests such as dairying, forestry and others. Most people know the problems and causes. More excuses, platitudes and rhetoric and dim-witted ideas are not needed.

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Opinion

24 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

NAIT, a good idea badly executed Alternative View

Alan Emerson

I CAN remember when the National Animal Identification and Tracing initiative (NAIT) was first being discussed. It had its share of opponents but I thought the scheme was a good idea and still do. We had to modernise our traceability and identification systems and NAIT was a good start. The issue now is that it isn’t working, as amply demonstrated by the Mycoplasma bovis outbreak. The message that came out of the sorry saga for me is that the scheme is overly complicated and many farmers are being incredibly slack on animal identification. In addition, with less than 50% of farmers complying, the scheme is obviously a cot case. A review of NAIT was initiated in 2016 for completion by March 2017. That didn’t happen and we finally received the information over a year later in April 2018. My information was that OSPRI was sitting on the report and

it took a lot of heavy breathing from Agriculture and Biosecurity Minister Damien O’Connor for it to be released. I tried to get information out of OSPRI and they’re just not interested in any form of accountability. I wanted to know the answers to two simple questions: how much did the report cost and why wasn’t it released on the scheduled date of March 2017? I was told to put my request in writing followed by “We don’t have any answers”. That just isn’t good enough. It is out of touch, ridiculously bureaucratic and arrogant in the extreme. As farmers effectively fund OSPRI we have a right to know how much things cost and the 13-month delay in the document’s release means there was no discussion on it before or during the Mycoplasma bovis outbreak. I can but imagine what effect a reformed NAIT scheme would have had on the outbreak. It’s actually even worse than that. In mid December O’Connor received a briefing paper and just four days later OSPRI staff met him, claiming the report was six weeks away. It was finally received on April 3 and immediately released. That sorry saga tells me OSPRI is dysfunctional, that the board, the management team and the

review committee all had different agendas, whatever they might have been. That it was all paid for by farmers is galling. Going to the OSPRI website was interesting in that it doesn’t say much. There’s a DVD on the Strategic Plan, which provides little real information. I thought it was a waste of money and over the top. The message could have been put in writing in a simple, less expensive and more effective manner. I asked for the name of the chief executive and the website couldn’t tell me, I had to go to Google. In short, I was totally unimpressed by personal contact with OSPRI and by its web page. So my view of OSPRI isn’t anything positive and it would seem that bureaucratic double speak and a Yes Minister philosophy are alive and well there. O’Connor said the report raised several issues. They included a lack of upto-date information on cattle location, the enforcement that was non-existent for people failing to use the system, inconsistencies across data sets because of multiple farm IDs, the need for more resources to operate NAIT and that the scheme was behind systems used internationally, especially in Australia. He added that there was a lack

PUFF: It took much heavy breathing from Agriclture and Biosecurity Minister Damien O’Connor to get Ospri to release its NAIT report.

of appreciation regarding the need for a tracing system, which I found amazing. Those statements tell me we have a dysfunctional organisation administering a system found wanting. Surely, you don’t need a high-powered and inevitably high-priced committee to tell an organisation that its communications were found wanting. That was amply demonstrated by the lack of appreciation of the need for a tracing system. If our systems are behind the international norm surely the board and management would have known. If there is a lack of enforcement surely it was obvious to even the most myopic that changes needed to be made. My position is to suggest the review committee shouldn’t have been needed and the problems of the system should have been obvious to anyone with their feet

on the ground. Having read the report there’s little I disagree with. It offers a good picture of the scheme and the recommendations are sound. I’m totally with Federated Farmers that all the recommendations need to be adopted. My question is to ask if the report was needed. Much of the information contained in the report should have been obvious. That the report languished in bureaucratic mire for over 12 months is reprehensible. From here we need to move forward and I believe that for OSPRI to be successful changes need to be made at both board and senior management level.

Your View Alan Emerson is a semi-retired Wairarapa farmer and businessman: dath-emerson@wizbiz.net.nz

Double legends are becoming rarities From the Lip

Jamie Mackay

WHEN I think of double All Blacks my mind immediately goes to our two most recent proponents of this lost art, Brian McKechnie and Jeff Wilson. Maybe it’s because they’re fellow Southlanders and I’ve had a bit to do with them over the years or maybe it’s just because I’m too young, at 58, to remember much about their predecessors – Bill Carson, George Dickinson, Charlie Oliver, Curly Page and Eric Tindall. Tindall is the exception to my history knowledge void because I know he holds the unique record in New Zealand sport of not only representing his country in rugby and cricket but he also officiated as an international rugby referee and a test cricket umpire. Traditionally the domain of rugby and cricket, the double All Black is a sporting rarity. The advent of professionalism and the year-round sporting

TRIBUTE: Sir Colin wasn’t much into flowers so he got a beer hat instead.

seasons mean we will never again see a cross-code rugby and cricket player the likes of Jeff Wilson. Representing your country in cross-over sports such as rugby and rugby league or netball and basketball is still quite possible and there’s always the odd sporting freak such as Hamish Bond (rowing and cycling) and Suzie Bates (cricket and basketball) who never cease to amaze. During my recent jaunt to the NZ Shearing Championships in the wonderful King Country town of Te Kuiti I was lucky enough to

be seated beside a legend in the industry and a rural sporting rarity – double agrarian All Black John Fagan. John is the older brother of the world’s GOAT shearer, Sir David Fagan (in this instance goat refers to the Greatest Of All Time but I’m sure even Sir David has done battle with the wriggling little blighters in the past). John Fagan holds the unique agrarian record of being a winner of the Golden Shears and the Golden Pliers fencing competition at Mystery Creek, the latter event

on four occasions (1973, 74, 76 and 77). His sole win in the open shearing final at Masterton came in 1984 but there can be no doubting his record on the handpiece. At the height of his shearing powers in the early 1980s he became one of only two men to have concurrently held the Everest of shearing records – both the ewe and lamb nine-hour records. As with Wilson, we will never see the likes again. It was truly remarkable for one man to shear in the summer and fence in the winter and reach the pinnacle of both sports. It was also remarkable in Te Kuiti to see Rowland Smith win his sixth open title to go alongside his four at the Golden Shears. While he’ll never threaten David Fagan’s 16 titles at both Te Kuiti and Masterton, the mind boggles if these two were to have a hypothetical head-to-head battle in their respective primes. And you’ve got to feel for the world shearing champion Johnny Kirkpatrick, who has to be one of NZ’s most remarkable athletes. Closer to 50 years of age than 40 and old enough to be the father of Super rugby player Daniel Kirkpatrick, his wonderful career has been book-ended by two titans.

The first of his four Golden Shears open titles in 2002 broke David Fagan’s winning streak of 12 in a row and his most recent victory, in 2012, preceded the Rowland Smith era. He pushed Smith all the way in Te Kuiti in the open final and many, Rowland included, thought he had done enough to win. The other highlight of my time in Te Kuiti was to visit the grave and pay respect to my GOAT New Zealander Sir Colin Meads. I ran into his younger brother and former All Blacks locking partner Stan at the shearing and told him I was planning to lay a wreath of flowers at Colin’s temporary gravestone at the cemetery overlooking his beloved Te Kuiti. Stan told me he didn’t reckon Pinetree was that into flowers, even though he was a dab hand at growing them. So I got my thinking hat on and decided on a tribute, a Tui toweling hat in memory of Pinetree’s favourite beer. May the sun always shine upon you Sir Colin Meads.

Your View Jamie Mackay is the host of The Country that airs on Newstalk ZB and Radio Sport, 12-1pm, weekdays. jamie@thecountry.co.nz

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

Shanghai Maling will be patient Meaty Matters

Allan Barber

THE Chinese have always been known for their propensity to take a much longer view of life’s challenges than their western counterparts. They tend to view things over centuries or decades, which is totally different from our preoccupation with annual or, in the case of the Americans, threemonthly performance. This characteristic explains why China’s leaders have taken a deliberately low-key response to Donald Trump’s introduction of tariffs on steel and aluminium as the first step in trying to reverse a trade imbalance and deter China from stealing intellectual property. It might also explain why Shanghai Maling invested $260 million for 50% of Silver Fern Farms. The published results for SFF’s first full year in joint ownership showed solid performance, especially when compared to the previous year’s disaster that produced an EBIT of $7.5m and an after-tax loss of $30.6m. But a NPAT of $15.4m after abnormal costs associated with plant closure wasn’t exactly an overwhelmingly impressive result when much lower finance costs are taken into account. Alliance’s comparable profit of $14.4m for the September year

was achieved on 77% of the sales, though it included a gain of $7.9m on asset disposals. SFF’s board has announced a $12m dividend to be paid in equal parts to its shareholders, which implies a 2.3% return on Maling’s investment – not exactly the sort of return an investor would expect or require over the longer term. The accounts showed $21m of capital investment in health and safety, compliance, asset replacement and operational improvement, which, unsurprisingly, was the highest level for four years. Operational efficiency improvement, as well as consistently good market returns, will be an essential aspect of SFF’s business if it is to achieve the sort of improvement in financial performance both sets of shareholders will expect. The inevitable alternative will be a gradual erosion of shareholders’ funds, particularly if these dividend and capital expenditure levels are maintained without increased profits. Anzco’s Japanese owners have also taken the long view of their investment in the meat industry, finally moving to 100% ownership in the last year. While not necessarily hugely profitable, Anzco has consistently made money every year except for 2012 but the reasons for owning a New Zealand meat processor are clearly about things other than excellent financial returns, which could presumably be made more easily elsewhere. New Zealanders have a lovehate relationship with overseas investment – love on the part of those who see the advantage of gaining capital from an investor

NO HURRY: Silver Fern Farms’ Chinese investors are prepared to wait for profits because financial returns are not their only reason for buying into the Kiwi meat processing company.

with deeper pockets than locals, hate from those who don’t want to sell our birthright to a foreign entity or investor under any circumstances. Maling’s purchase of 50% of an unprofitable meat cooperative was unfavourably viewed by a small but vocal group of shareholders, some politicians and at least one business commentator while clearly loved by SFF’s banking syndicate and board and accepted as preferable to the alternatives by a large percentage of supplier shareholders. So far, the main beneficiaries of the Maling investment, apart from the bankers, are the shareholders in Silver Fern Farms Co-operative who have received a special dividend of $57m and a final dividend of $3.2m plus a patronage reward pool of

$0.9m for qualifying supplier shareholders. Last year this category of shareholders supplied just 61% of SFF’s total supply, which the company is seeking to increase by building loyalty and encouraging non-shareholders to buy shares in the co-operative. It’s difficult to see any negative elements of the new ownership structure, though no doubt at least some of those who were against the sale will see the investment as the Trojan Horse designed to acquire control of a national asset by stealth. For the opponents of the deal, the reply remains the same as it was at the time – if NZ investors aren’t willing to put up the money, let it go to an investor prepared to take on the risk, so it has a realistic chance of survival and success. The reality of the meat industry

is no investor, overseas or domestic, can buy guaranteed livestock supply but only tangible assets and whatever goodwill attaches to the business. It is up to the business to earn supply through competitive performance so it can pay a market rate for it. Although Maling must have planned for a certain return on its investment, nothing in recent years suggests SFF is capable of producing an annual after-tax profit greater than $50m, even if lower interest and operating costs are taken into account. Assuming a dividend payout policy of 50% of profit, Maling’s maximum share would be $12.5m or 4.8% return on investment, which is not high by any standards and history suggests this would be difficult to achieve consistently. If not financial return, we must look elsewhere for the main purpose of the investment. In 2015 when the partnership between SFF and Maling was put to shareholders it was clear it would open up access to Maling’s 19 wholesale facilities, 750 retail stores and 56 specialist meat stores though it would not be an exclusive arrangement. But for Maling it would provide a partnership with the potential to supply its outlets with high quality red meat products. Maling is obviously prepared to be patient with its investment because it’s about more than short-term financial returns.

Your View Allan Barber is a meat industry commentator: allan@barberstrategic. co.nz, http://allanbarber.wordpress. com

Heartening tales of Kiwis helping Kiwis Steve Wyn-Harris

WHILE last week’s early winter storm battered much of the country we got off lightly and received 60mm of muchneeded rain. It was eerily ironic that the storm swept the country 50 years to the day after the Wahine foundered. I can remember that day well, getting off the school bus and racing up the drive with my sisters to get into the house out of the wind and rain. Our parents were painting the kitchen with the little transistor radio giving a running commentary as the disaster unfolded. We had made that trip on the Wahine ourselves from Wellington to Lyttleton return to visit grandparents in Christchurch. It was part of Kiwi travel arrangements in those days to do that overnight trip up the South Island’s east coast and across the Cook Strait.

The stewards would bring cups of tea and cocoa to your bunk to wake you up so you had plenty of time to get up and going and be ready to disembark. The coverage last week of some of the stories highlighted what a terrifying experience it would have been. Many stories of survival and heroics were retold or surfaced for the first time as some survivors had kept their stories to themselves for half a century. Many of those survivors have remained in touch from a seminal event in their lives. Fifty-three people lost their lives in this tragedy but 676, including children who are now in their fifties, survived. The most heartening thing to come from the coverage were the stories of Kiwis helping Kiwis. Not just passengers assisting each other to survive but the many Wellingtonians who took to the water in that appalling weather, risking their own lives to save others. As last week’s storm swept the country we got the thunder and lightning storm that had hammered Taranaki a few hours earlier. I was up at the dog kennels giving the dogs a run and watching the lightning light up the sky as the rain poured down. We have had more thunderstorms over the last six months than any period I can remember back to the 1970s when they

seemed more common . I put the dogs away and thought it was probably unwise standing there holding an umbrella consisting of a light wire frame. No sooner had I thought that when everything flashed into a sheet of white brilliance and the thunder followed immediately with a most impressive and concussive effect. I dropped the umbrella and sprinted for the same house I’d sought 50 years earlier for sanctuary. Jane stood wide eyed on the doorstep wondering where the lightning had hit. We’ve all known of people hit and sometimes killed by lightning and later that day I heard of several cattle that had been struck and died. The rain we have just had will finally strike the grass seed that has been drilled for two or three weeks. My contractor was blaming me for the dry spell because I’d been telling everyone I wanted it to stay dry during my forestry harvest. Well that had just finished so it was now okay for it to rain. I wish I had that power over the weather all the time.

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

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From the Ridge

bayleys.co.nz Contributor to realestate.co.nz

Real Estate

FARMERS WEEKLY – April 16, 2018

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Quality & Location An extremely attractive dairy unit fresh to the market situated in a high profile location in the Pukeatua district, 34 kms east of Te Awamutu, with water sport opportunities on the doorstep 

2802 Arapuni Road, Pukeatua

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134.4 hectares

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appealing with extensive road frontage

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a pleasing balance of flat to easy rolling contour with smaller area steeper - considerable area of maize growing land

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Tirau ash and sandy loam soils

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property adjoins Lake Arapuni, water source for a v.g. irrigation system covering approx. 110 ha

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very good water reticulation system

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3 season average - approx 380 cows produced an average of 157,128kgs milk solids per season

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excellent 40 aside h.b. farm dairy; feed pad & stand off area close to effluent pond

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a good range of farm shedding including calf rearing facilities

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3 dwellings including 4 bedroom brick homestead on an elevated site with spectacular panoramic views over the rural landscape to Maungatautari Mountain

Brian Peacocke

021 373 113

Auction: 27 April 2018 - 1.00pm

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ROTHERWOOD – BLUE RIBBON MANIOTOTO PROPERTY 753.3914 HA Southern Wide are privileged to offer ‘Rotherwood’ for sale, which has been in the Blakely family for 126 years. Situated in the Ranfurly Gimmerburn area, Maniototo, currently breeding/finishing sheep and finishing large quality steers. Well-developed property with great infrastructure. Having excellent stock health and the properties are renowned for quality stock. currently irrigation is contour and border dyked irrigating approximately 250ha total. Water includes shares in the Maniototo West side, Waipiata and Hawkdun Idaburn irrigation schemes, 200,000 l/hour winter consent to fill the approximate area of 7.5ha dam for storage. Overall a quality property with huge potential using the water under a spray irrigation system, combined with quality soils on a good scale. This opportunity is a rare commodity in the market and especially in the Maniototo. OPTIONS AVAILABLE. Contact sole agents to inspect.

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RAY KEAN M: 0274 357 478 E: ray.kean@southernwide.co.nz

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THE DESTINATION FOR RURAL REAL ESTATE

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Real Estate

FARMERS WEEKLY – April 16, 2018

Connections

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Peter Begovich 027 476 5787 Rex Butterworth 021 348 276

Herein lies the opportunity to own a beautifully presented property showing outstanding results. Our clients are proudly offering for sale one of the best examples of a barn raised chicken farm that you are likely to encounter. The 6 shed site totaling 11,136m² (floor area) is fully compliant and has a secure long term contract with Inghams Enterprises. To be sold as a going concern with all the necessary consents in place. Three quality dwellings, the main home is five bedrooms on a private setting with an in-ground pool. Every detail of this property has been thoughtfully taken care of. If your quest has been to find a blue chip turn key investment, the search is over!

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VI W DEO EB O SIT N E

PERFECT POTENTIAL FOR A MODERN FARMING FAMILY Wai-iti, 1467 Whangaehu Valley Road, Masterton, Wairarapa

Ref: RX1418751

Tender Closes 4pm, Thur 10 May 2018 NZR, 1st Floor, 16 Perry St, Masterton Blair Stevens AREINZ 06 370 9199 l 027 527 7007 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

VI W DEO EB O SIT N E

Wai-iti has been in the James family since the 1920’s. The property is of a desirable size for those looking for a first farm with the convenience of being 20min from a major provincial town. The farm is blessed with excellent limestone spring water that is reticulated to over half the property. The soils are well balanced with renown limestone soils being good clean country totalling around 100ha and the reminder split between mudstone and sandstone closer to the road. The Whangaehu community is a friendly mix of mainly sheep and beef farming families and some lifestyle properties all relishing the easy drive to Masterton for social, schooling and off farm employment opportunities. The vendors are passionate farm foresters, having planted many varieties to make Wai-iti aesthetically pleasing. Another family passion has been ducks- there are two purpose built ponds and maimai. Red & Fallow deer migrate between this and neighbouring farms. The house is a character three bedroom Villa with an inviting sunny deck leading to the mature gardens and trees. There is a four stand wool shed, sheep and cattle yards supported by a shearers /single quarters, workshop/stables, three bay lock up workshop and ample other shedding. With 420ha effective the farm should carry around 4,000su. A capital lime dressing has been applied this season with potential to lift production with further fertiliser. Sound like you? Give Blair a call!

459 hectares Tender www.nzr.nz

HADLEIGH STATION- RARE SCALE AND LOCATION - 14,000SU 1940 Te Ore Ore-Bideford Road, Masterton, Wairarapa Here is the chance to buy one of the Wairarapa´s farming jewels. A combination of three separate farming units Hadleigh Station offers rare scale, location, quality improvements, workable contour and potential all 15 minutes from Masterton. Hadleigh is a very well farmed property with a superior fertiliser history. The farm has an excellent balance of contour; around 50% of the farm is easy to medium hill (incl. 80ha of flats) with the balance medium hill (parts being steeper) totalling over 1600 effective hectares. The carrying capacity has been independantly assessed at 14,000su, with a semi finishing system run, season dependant. A start has been made cultivating the easy country but there is plenty of potential to intensify left. There are four houses- two very good quality-and three wool sheds with the main including a covered sheep yards complex with ample other buildings. Well subdivided into 190 paddocks and well tracked it´s just a five minute drive on a council maintained road to the back yards. Soil fertility is close to optimum levels and the water supply is a mixture of reticulation and dams. This property is well known for producing excellent stock from its high fertility base- the livestock and plant are also available for purchase. Purchase options may exist with separate units; Hadleigh, Mt Clyde and Riverbend. 14,000 stock units just 15 minutes from town - do not miss this rare opportunity- call Blair today for an inspection!

1,727 hectares Tender www.nzr.nz Ref: RX1418720 Tender Closes: 4.00pm Thurs 3rd May 2018 NZR Office, 16 Perry St, Masterton Blair Stevens AREINZ 06 370 9199 027 527 7007 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

N O TI CE FIN AL

WELL LOCATED IRRIGATED SILTS 320 Riverside Rd, Martinborough, Wairarapa An aesthetically pleasing property with fertile alluvial soils currently used as a dairy support block and before that as an intensive cropping and livestock finishing block. Crops grown have been; peas, barley, sorghum, green feed oats, kale and brassica´s. An 8.5ha lease gives a total area of 84ha. Around 40ha of Greytown Silt Loam soil is protected from flooding and 60ha is irrigated via 40l/s bore. There is a hayshed, combination sheep & cattle yards with load out and a concrete silage bunker. This is a quality, well located and versatile property with great infrastructure that isn´t overcapitalized.

75.26 hectares Tender www.nzr.nz Ref: RX1412132 Tender Closes: 4.00pm Mon 23 April 18 NZR, 16 Perry St, Masterton Blair Stevens AREINZ 06 370 9199 027 527 7007 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

ONE OF THE KING COUNTRY´S BEST 724 State Highway 4, Kopaki, Te Kuiti Triple Farms offers a high performing cattle fattening operation, finishing between 1400-1600 cattle annually plus sheep. Top infrastructure throughout coupled with balanced contour enables an astute purchaser to just walk in and start farming. Held in numerous titles giving different purchasing options. Call today as farms of this calibre are seldom available. Inspection by appointment or open days at 11am 17/4, and 24/4 (meet at woolshed). Tender closing 4pm, 17th May 2018, 1 Goldfinch Street, Ohakune.

A PROVEN PRODUCER PLUS MORE 5620 Waiaruhe Road, Rangiwaea, Taihape A opportunity to acquire this attractive and productive 340 Ha farm wintering 3500 su - established in an area that is historically held tightly with the reputation of consistently producing top quality livestock and fodder crops. Contour consists of predominately undulating to easy hills with areas of flat suitable for hay or balage. Infrastructure includes a 4bedroom home, 4 stand woolshed/covered yards. Purchasing options are available: 340 Ha - Entire farm, 260 Ha - Home block includes all the buildings, 80 Ha - Speedy Block Bare land. Tenders closing 4pm, 3rd May 2018 (unless sold prior).

924 Hecatres Tender (unless sold prior) www.nzr.nz Ref:RX1428722 Jamie Proude 06 385 4466 | 027 448 5162 jamie@nzr.nz Jules Brand 06 385 4466 | 027 515 5581 juliane@nzr.nz NZR Central Limited | Licensed REAA 2008

340 hectares Tender (unless sold prior) www.nzr.nz Ref: RX1423753 Jamie Proude AREINZ 06 385 4466 | 027 448 5162 jamie@nzr.nz Jules Brand 06 385 4466 | 027 515 5581 juliane@nzr.nz NZR Central Limited | Licensed REAA 2008

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Real Estate

FARMERS WEEKLY – April 16, 2018

RURAL rural@pb.co.nz Office 0800 FOR LAND

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Ruchama

DEADLINE SALE WEB ID TMR61187

WAIMATE 129 Shearers Hill Road • 181.9770 hectares • 50% Irrigated MGI • Well balanced • Good soils • All weather laneways

year lease coming to an end. With a comfortable four bedroom plus office home, good sheds, 25 ha under pivot and 64 ha under K-line. Very good pasture renewal under the irrigation with good winter kale crops. Reliable climate, good location, with hunting, lakes, rivers and ski fields all at your doorstep.

DEADLINE SALE

VIEW By Appointment DEADLINE SALE closes Thursday 3rd May, 2018 at 4.00pm, (unless sold prior)

Michael Richardson

Mobile 027 228 7027 Office 03 687 7145 michael@pb.co.nz

Good bones and location count when buying and selling farms. This property is now on the market after a 10 Call now for a viewing!

www.propertybrokers.co.nz SUPPLEMENTS/WINTER GRAZING

• Situated on Rangitikei Line west of Palmerston North is this outstanding 91ha parcel of land with the option to purchase the adjoining 40ha. • Exceptional soils that are currently used for dairy farming and growing maize crops, but would suit a number of uses. • Deep lead irrigation bore in place to supply top quality water for up to 70ha of land for crops. • Current dairy infrastructure in place including a modern 30 aside herringbone dairy and 400 cow feed pad. • Would have a host of uses from market gardening, dairy or beef production, along with growing silage and crops. • Good road access with central laneway system. • Call Les to inspect.

Sallan Realty

Google ‘Sallan Realty’ Your Farm Sales Specialist

THE DESTINATION FOR RURAL REAL ESTATE

Land is the biggest asset to any farming business - so it pays to stay up-to-date with the market.

Connect with the right audience at farmersweekly.co.nz/realestate

• Situated at Makomako is this fantastic dairy runoff. • There are 115 acres of very good volcanic soil of which 75% is mowable, currently subdivided into 21 paddocks with high pressure water to the stock troughs. • Facilities include a two stand woolshed, good cattle yards and loading facilities. • This farm is well planted with shelter and is positioned midway between Palmerston North and Pahiatua. • Currently used as a dairy run off to winter cows, run replacements and grow silage and hay. • Great chance to own very productive land in the Tararua District. For sale by Tender closing Monday 30th April (if not sold prior). • Call Les to inspect.

LES CAIN 0274 420 582

Licensed Agent REAA 2008

LK0092215©

DAIRY FARM WITH OPTIONS

RURAL rural@pb.co.nz 0800 FOR LAND

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Nikau

NEW LISTING WEB ID DR61153

DANNEVIRKE 207 Mangatuna Road A farm with diversity. At 641.29 ha, it is currently being run as a 500 cow, dairy farm producing up to 200,000kgMS.

Located 24kms from Dannevirke, Nikau is a must to view for those looking for size, scale and diversity.

$9,200,000

VIEW By Appointment

The dry stock farm has potential to finish 20,000 plus lambs and 200 cattle.This property has above average soil fertility. The contour is good and has substantial water reserves. The pasture has been extensively regrassed and is well drained. There is good shedding with a modern 54 bail rotary shed with a nearby large implement/calf rearing shed.

Jim Crispin

Mobile 027 717 8862 Office 06 374 8102 Home 06 374 6768 jimc@pb.co.nz

Hi-tech Dairy Excellence

NEW LISTING WEB ID FR61439

MARTON 380 Williamsons Line This 132-hectare dairy farm combines the ideal scale and the outstanding infrastructure you would expect with a property into its 3rd year as a dairy conversion. The state of the art 50 bail rotary shed includes ACR's, Protrack, cell and yield sensors, an in-shed feeding system, heat detection camera, excellent support area's (kitchen, office and childrens room) and a fully compliant effluent system. The property currently calves +/- 400 split calving cows, that have produced in excess of 1,250kgMS per hectare

within the first 2 years of production. An intensive cropping and re-grassing program has seen a large proportion of the milking platform planted in modern rye/clover species and the property is fenced into 35 paddocks, which are all easily accessed via the excellent central race system. Improvements on the property include an array of farm support buildings and a four bedroom homestead, refurbished in 2014.

www.propertybrokers.co.nz

TENDER

VIEW By Appointment TENDER closes Wednesday 9th May, 2018 at 11.00am, (unless sold prior), Property Brokers Ltd, 54 Kimbolton Road, Feilding

Blair Cottrill

Mobile 027 354 5419 Office 06 323 1538

Stuart Sutherland Mobile 027 452 1155 Office 06 323 5544

Richard White

Mobile 027 442 6171 Office 06 281 3720

New Zealand’s leading rural real estate company RURAL

LIFESTYLE

RESIDENTIAL

FINAL NOTICE

Location Dairy Location 422 SH 30, and 46 Magee Road

AUCTION

Awakeri

96 hectares of fertile, flat plains, a large, beautifully refurbished homestead that any farming family would love to live in. An eight year old, 40 bail rotary dairy system, good shedding and a second four bedroom home, all maintained to a very good standard. Milking 260 cows and supplying OCD, the farm's best production was 106,000kgMS. Nine titles and only minutes from Whakatane, this dairy farm with exceptional location and features comes to the market for the first time in over 90 years. Buyer options arise and all tenders are welcome.

TENDER

pggwre.co.nz/WHK27919

Coastal Climate Not To Be Missed! 1007 Motunau Beach Road What An Opportunity! The trustees are extremely motivated to move forward this well-known property “Coringa”. From its coastal climate, healthy limestone country and Omarama and Glenrock soil types. A good balance of east facing easy downs and easy steep hill country. Approx 18 paddocks with good water. Three-stand woolshed, sheep and cattle yards, plus multiple other sheds. Three-bedroom home set in an established and sheltered position.

pggwre.co.nz/RAN27928

12ha of Quality Plus Location 58 Green Road

Feilding

• Well appointed four bedroom home with en suite, office, open plan kitchen/dining, two living areas and double garage • Two large sheds 7.8m x 12.8m, 8.1m x 21.3m cater for a large range of uses • Top farm improvements including fencing, small woolshed, cattleyards plus new bore for reticulated stock water • Well located 8.6km to Feilding and 13km to Palmerston North • Excellent soil types

AUCTION

pgoldsmith@pggwrightson.co.nz

pggwre.co.nz/FDG27955

wayne.brooks@pggwrightson.co.nz

Motunau

Iconic Landmark Property

Plus GST (if any) (Unless Sold By Private Treaty) Closes 4.00pm, Thursday 19 April

Phil Goldsmith B 07 307 1620 M 027 494 1844

PRICE BY NEGOTIATION Plus GST (if any)

Bruce Hoban M 027 588 8889

bhoban@pggwrightson.co.nz

Mark Clyne M 027 531 2964

mark.clyne@pggwrightson.co.nz

PGG Wrightson Real Estate Limited, licensed under REAA 2008

SNAKE GULLY FARM - 202.2102ha Held by the Copland family for many years. Best of Chertsey silt loams. Irrigated by the Acton Scheme and two soundly resourced wells via two lateral irrigators and two booms. Excellent homestead, cottage, support buildings and silos. Top yields of cereals, grass seed, legumes and clover and regularly grows specialist and export crops. Top farm, well fenced, sheltered and laned and featuring many mature and specimen trees. pggwre.co.nz/TIM27923

Plus GST (if any) (Unless Sold Prior) 11.00am, Tuesday 8 May PGGWRE, 18 Manchester Street, Feilding VIEW 12.00-1.30pm Sunday 22 April

Wayne Brooks B 06 323 0709 M 027 431 6306

Chertsey DEADLINE PRIVATE TREATY Plus GST (if any) (Unless Sold Prior) Closes 4.00pm, Thursday 26 April

Hunter Doig B 03 687 7330 M 027 220 1004

hdoig@pggwrightson.co.nz

pggwre.co.nz

New Zealand’s leading rural real estate company RURAL

LIFESTYLE

RESIDENTIAL

FINAL NOTICE

First Time on the Market in 40 Years 1378 Wairamarama Onewhero Road This tidy 215ha sheep and beef farm is ready for a new owner. It has been farmed with respect for the land which ensures that the pasture has been well cared for. The focal point of this property is the north facing homestead with commanding rural views, established gardens including large specimen trees, salt chlorinated pool and grass tennis court. The property is in two titles which gives options to purchase the house and 4ha (STS) separately.

pggwre.co.nz/PUK27945

AUCTION

Onewhero DEADLINE PRIVATE TREATY Plus GST (if any) (Unless Sold Prior) Closes 4.00pm, Monday 30 April

Adrian van Mil B 09 237 2041 M 027 473 3632

avanmil@pggwrightson.co.nz

FINAL NOTICE

You Will Love The Location 1276 Kakaramea Road • 58ha dairy unit (or 54ha with cowshed and two bedroom unit) • Subdivision consent approved to purchase 4ha separately (see HAM27972 For details) • As one property, two homes, 22 aside herringbone • Excellent stable complex & arena. Maize & PK bunker • Mainly flat contour – sandy loam and clay loam soils

Waikato

302 Collie Road • 59 hectare dairy farm only 20km to Hamilton CBD • Mainly flat contour - terraced, with long river boundary • 21 aside herringbone dairy, three bedroom home, loads of shedding • A nicely private property that would suit dairy and non-dairy alike • First time on the market in many years • This is a must view with plenty of upside potential

pggwre.co.nz/HAM27966

AUCTION (Unless Sold Prior) 11am, Wed 2 May PGGWRE, 87 Duke St, Cambridge VIEW 1.00-2.00pm, Monday 16 & 23 Apr

John Sisley M 027 475 9808

jsisley@pggwrightson.co.nz

AUCTION

Waikato TENDER (Unless Sold By Private Treaty) Closes 4pm, Fri 27 Apr PGGWRE, 11 Vialou Sts, Hamilton VIEW 11am-12pm, Mon 16 & 23 Apr

pggwre.co.nz/HAM27970

A Hidden Gem

John Sisley M 027 475 9808

jsisley@pggwrightson.co.nz

PGG Wrightson Real Estate Limited, licensed under REAA 2008

Prime Dairy Unit This prime dairy farm of 98.8301ha in three titles is located on the town's doorstep. Currently being run as an intensive dairy farm and calf rearing property. The land contains approx 98.05ha of good quality pasture with mainly flat contour. Farm buildings include a 40 bail external rotary with full complement support of farm buildings. The homestead is a 1930's art deco style home with five bedrooms plus office with three other dwellings. Cows are milked year round with split Autumn and Spring calving. Strongly motivated vendor - call Martin Lee on 027 497 0830 for more information. pggwre.co.nz/CAM27461

Cambridge AUCTION (Unless Sold Prior) 11.00am, Wed, 9 May 87 Duke St, Cambridge VIEW BY APPOINTMENT

Martin Lee B 07 823 0632 M 027 497 0830

martin.lee@pggwrightson.co.nz

pggwre.co.nz

So, are you looking for a job with real potential for development and promotion? On a well known property recognised for excellence in breeding stud Angus cattle for over 80 years? Are you a high achiever that has a strong work ethic, not afraid to work hard for the opportunity of advancement?

Shepherd General

Totaranui is an iconic property. It is a 900 hectare breeding and finishing farm 3km from Pahiatua, northern Wairarapa. The property has a balance of flat, rolling and steep hill country. It is intensive, wintering about 13,000 stock units; 4000 ewes, 300 recorded breeding cows, replacements and finishing stock. The position includes a 3-bedroom house. The successful person will have excellent stockmanship skills, will require a team of working dogs in excellent control, good fencing skills, and enjoy working in a team. Animal health, feed budgeting and accurate stock reconciliation skills would be advantageous, as these would be an integral part of the role.

LK0092289©

The Hauhungaroa Partnership is a large progressive farming business farming around the Taupo area covering 4000ha. It has significant other off farm businesses as well. A position has become available for an experienced Shepherd General on the 1700ha Drystock Block on the Western shores of Lake Taupo. Te Aputa Station winters 8000 sheep and 1800 cattle. The role is 20% stock work and 80% tractor work and fencing. The successful applicant will have a minimum of three years experience. Whilst being part of the staff team the applicant must be able to self manage themselves and their workload whilst contributing to the team. A tidy modernised 3-bedroom home with a garage is included in the package. Both Primary and Secondary School buses are close by. Please send your CV in the first instance to Rob Gollan, Farm Consultant rgollan@xtra.co.nz

Please send CVs and applications to bulls@totaranuistud.co.nz by 27 April.

classifieds@nzx.com – 0800 85 25 80

FOR SALE CLASSIFIEDS ADVERTISING

NEW HOMES SOLID – PRACTICAL

Do you have something to sell?

WELL INSULATED – AFFORDABLE

Our homes are built using the same materials & quality as an onsite build. Easily transported to almost anywhere in the North Island. Plans range from one bedroom to four bedroom First Home – Farm House Investment – Beach Bach

Phone Debbie Brown 0800 85 25 80 or email classifieds@nzx.com

EARLY DEADLINE NOTICE! Get your April 30 Farmers Weekly bookings in by midday Tuesday April 24.

ANIMAL HANDLING

ANIMAL SUPPLEMENTS

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

APPLE CIDER VINEGAR, GARLIC & HONEY. 200L - $450 or 1000L - $2000 excl. with FREE DELIVERY from Black Type Minerals Ltd www.blacktypeminerals. co.nz

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

ANIMAL HEALTH LK0091109©

Turn to Farmers Weekly first for your employment advertising needs

Classifieds

TH IN K P R EB UILT

Call or email us for your free copy of our plans Email: info@ezylinehomes.co.nz Phone: 07 572 0230 Web: www.ezylinehomes.co.nz

For more information or to make an application please contact: P & J McDonnell Ltd Phone 06 388 0961 mcdonnell.farm@outlook.com

YOUR FEET?

LK0092348©

Hauhungaroa Partnership

RUN OFF

www.drench.co.nz farmer owned, very competitive prices. Phone 0800 4 DRENCH (437 362).

Call Debbie

0800 85 25 80 classifieds@nzx.com

ATTENTION FARMERS www.gibb-gro.co.nz GROWTH PROMOTANT $5.85 per hectare + GST delivered Brian Mace 0274 389 822 07 571 0336 brianmace@xtra.co.nz

SEEKING EXCELLENT RETURNS?

FOOTWEAR LTD

• Large scale sheep and beef farms required • Both breeding and finishing farms • Seeking land capable of 150,000 stock units in total for fully integrated project • Lease land, share farming or joint venture arrangement • Offering excellent cash flow returns

For further details contact Nick 0274 763 658 Email: nick.aam@xtra.co.nz

NZ MADE BOOTS

Visit www.lastrite.co.nz for more quality products

LK0090922©

DE HORNER

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

DOLOMITE, NZ’s finest Magnesium fertiliser. Bio-Gro certified, bulk or bagged. 0800 436 566.

YOUR FARM MAPPED showing paddock sizes. Priced from $600 for 100ha. Phone 0800 433 855. farmmapping.co.nz

FOR SALE DOG/PET FOOD. Lamb/ Beef and chicken products. All natural - raw - no preservatives or additives. NOSLOC PRODUCTS. Ex-freezer Te Kuiti. For information and prices www.nosloc.com or phone 07 878 6868.

GOATS WANTED

FERAL GOATS WANTED. All head counted, payment on pick-up, pick-up within 24 hours. Prices based on works schedule. Experienced musterers available. Phone Bill and Vicky Le Feuvre 07 893 8916. 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.

POWER CABLE

HOOF TRIMMER

EARMARKERS

For friendly & professional advice CALL 0800 843 0987 Fax: 07 843 0992 Email: power@thecableshop.co.nz THE CABLE SHOP WAIKATO www.thecableshop.co.nz

GRAZING WANTED LOWER NORTH ISLAND. 200MA dairy cows. July and August. Phone Andrew Leggett. 022 038 3216.

LIVESTOCK FOR SALE B R O O K L A N D S SIMMENTALS OPEN DAY. Wednesday May 2nd from 10am. Bulls for sale from this day on. 329 Rakaiatai Rd, Dannevirke. Colin and Catherine Hutching. Phone 06 374 1802. RAMS. HILL COUNTRY Perendales. Easy care with good size and quality wool. $250-$500. Phone 06 376 4751 or 021 133 7533. FOR ONLY $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds. Phone Debbie on 0800 85 25 80. RAMS. SOUTHDOWNS AND Suffolk/ Southdown X for heavy fast growing lambs. Suitable for Hogget mating. $250- $500. Phone 06 357 7727 or 021 133 7533.

PROPERTY WANTED

SITUATIONS VACANT

Prices include delivery to your door! Phone: +64 6 357 2454

TAMA GRASS SEEDS for sale. Excellent test. Buy direct from grower at $1.50 per kg plus GST. Phone 027 721 0838.

HOUSE FOR REMOVAL wanted. North Island. Phone 021 0274 5654.

HOMES FARM SHEDS SUBDIVISIONS PUMPS

ZON BIRDSCARER

electro-tek@xtra.co.nz

DOGS WANTED

GRASS SEED

FARM MAPPING

We could save you hundreds of $$

STOP BIRDS NOW!

P.O. Box 30, Palmerston North 4440, NZ

SEE DOGS WORKING here: www. youtube.com/user/ mikehughesworkingdog/ videos. Delivering NZ wide. Guaranteed, trial! 07 315 5553. Mike Hughes.

FERTILISER

w w w. e l e c t r o t e k . c o . n z

Heavy Duty Yardmate Boot – Great heavy duty boot, perfect for farmers, heavy industrial workers, builders, fencers etc. With an upper constructed from thick full grain leather, an insole and mid-sole which are brass screwed and stitched.

DOGS FOR SALE

NORTH ISLAND BUYING trip 21/4/18. No trial or breeding required! Running to fully broken. 07 315 5553. Mike Hughes.

AGRICULTURAL ASSET MANAGEMENT

Workman Safety Boot is another heavy duty construction boot for the tough jobs. Thick full grain leather upper, with a stitched and screwed construction insole to mid sole secured to a rugged JB Cleated replaceable sole.

10 HALL ROAD, RD 5, WHANGAREI PHONE 09 438 8907 EMAIL: lastrite@xtra.co.nz

BOOK AN AD. For only $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds. Phone Debbie on 0800 85 25 80.

CONTRACTORS AUCKLAND-BASED E A R T H M O V I N G contractor. Rural earthworks. Subdivisions and house cuts. Roading and civil. Retaining walls. 1.5 - 24 tonne Diggers. Bobcats. Trucks. Call Keegan on 022 614 5313 or email to keegan@ thediggercollective.co.nz

LK0090954©

LK0092283©

After 28 years of service to our business our manager is leaving. A new role is being created at a lower level to allow the right person to develop their skills and have a real opportunity for advancement. The role will be fitted to the successful applicant, based on their current experience and skills.

Required for a sheep and beef breeding and finishing property. 7500 acres running 40,000su. Based from Tangiwai. Renovations made on a cosy 4 bedroom cottage. Ohakune 20 minutes, Taihape 30 minutes, and school bus only 7 minutes. Take the next step in your career and gain the skills you need to become a top stock manager. Good work environment. Great remuneration.

LK0092323©

This job would ideally suit a working couple – 1 full time 1 casual.

LK0092341©

Currently wintering 3000 stock units.

FARMERS WEEKLY – April 16, 2018

EXPERIENCED SHEPHERD

Stock Manager – Totaranui Stud

21C / STOCK MANAGER Situated in the Upper Waitotara Valley 75 minutes from Wanganui.

Apply to Peter Larsen 06 346 5747 remoteadventures.peter@gmail.com

Employment

LK0090721©

classifieds@nzx.com – 0800 85 25 80

LK0092287©

TRACTOR/AIRSEEDER /Boomspray. Seasonal seeding. Western Australia. Urgently Required. A$23hr - A$30hr. Also permanent jobs. Cropping/Livestock. Call or email now. RANZA Australia wide. Phone: 0061 8 9797 0249. Email: ranza@aapt.net.au www.ranzaruralemployment. com.au

Livestock

THE NEW ZEALAND FARMERS WEEKLY – April 16, 2018

Henderson Partners

New Sale Date 1pm Thursday 24th May Offering: 28 R2 Bulls • 6 R3 Vic Heifers

350-400kg Friesian Bulls – RS Store Lambs – RS 100 360-400kg R2 Beef/Beef X Steers – RS Vetted In-calf Hereford Cows – CK

LIVESTOCK ADVERTISING

Aaron Clapperton 027 496 7410 Richard Seavill 021 169 8276 / 07 825 4984 Chris Smith 027 496 7413 / 07 870 4552 Chris Kyle 027 496 7412 Bryce Young 027 496 7411

NIGEL 0800 85 25 80

Office 07 823 4559 BYLLIVESTOCK.CO.NZ byllivestock

Several standout Polled Bulls by AI Sire L.T. Venture

ON-FARM AUCTION

LK0092343©

Thursday 10th May 2018 – 11.30am A/c Dairy Glen Upper Glen Road, Manaia

C10 • Fully guaranteed Inspection anytime

Ph John 07 873 8477 or 027 633 1776

RED OAK STUD

LIVESTOCK ADVERTISING Are you looking in the right direction? To advertise Phone Nigel 0800 85 25 80 or email livestock@nzx.com

155 Xbred IC Cows 2-8 years BW 101, PW 141 BW UP TO 162/PW UP TO 412. SCC 67 avg DTC 14/7/18 - 6 weeks AB Tailed with Hereford bull. Bull out 25/12/17 35 Xbred IC Heifers BW 132 PW 156 (avg LW 450kg) DTC 10/7/18 AB and Jersey bull. Bull out 25/12/17 Grazing available to 1st June with prior arrangement. 45+ YEARS BREEDING DEFERRED PAYMENT 20TH SEPTEMBER 2018 For further enquiries contact Kent Myers 0274 555 828 kent.myers@nzfll.co.nz

FEMALE INCALF PRODUCTION SALE

Tuesday 1st May at 1pm On Farm Weka Pass Offering: 46

48 33 30

Stud Fully Recorded Females including; Selected R3yr, R4yr, R5yr plus older proven cows MA Commercial cows PTIC R2yr, Commercial Heifers scanned empty R 2yr, Red Oak Bred Heifers PTIC on a/c D & L McPherson, Freshford Cheviot.

NOTE; All stud and commercial cows are mated to the top sires available at Red Oak, R2yr heifers mated to top low birth Wt Red Oak yearlings.

Vendor: Rick Orr - 0272 457 751 Auctioneer: PGG Wrightson - John McKone 0272 299 375 Participating Companies: HRL - Trav Dalzell 0272 020 196

PGG WRIGHTSON LIVESTOCK NATIONAL VIDEO SALE Open Hereford Paddock Viewing, Bull Walk and Led Judging followed by Prize Giving

Sale by Video

Monday 14th May at 9.30am Banklea, 2183 Kimbolton Road, Kiwitea

Boehringer Ingelheim & Allflex Refreshments from 3.30pm Free parking tickets for Palmerston North available for collection from the Grazing Unit

Lunch Provided

PN Convention Centre, 354 Main Street, Palmerston North | Start time 4pm

Online National Hereford Sale catalogue available at www.herefords.co.nz Freephone 0800 24 66 54 63

www.agonline.co.nz

Helping grow the country

LK0092351©

Pio Pio

15 Vetted In-calf Beef Heifers – RS 100 160kg Friesian Bull Calves Available – RS

LK0092349©

Est. 1981

Auahi Charolais

livestock@nzx.com – 0800 85 25 80

Livestock

SALE TALK Farmer Murphy met Farmer O’Leary in town. “What did you give your ailing bull when it had colic?” asked Murphy. “A good dose of Lane’s emulsion,” said Murphy. A week later they met in the pub. “What did you say you gave your sick bull?” said O’Leary. “Lane’s emulsion,” said Murphy. “Well I gave Lane’s emulsion to my bull and it died,” said O’Leary. “So did mine,” said Murphy

LONG ESTABLISHED XBD HERD SALE

MANGATARA

A/c H C Underwood – 64 Watson Rd - Te Poi S/N 77354 Wednesday 18th April 11am

ANGUS

23 April 2018 – 11am 204 lots Viewing from 9am on the day and 1-3pm on 22/04/18

Catalogues on AngusNZ Website

Herd BW 110 PW 142 RA 96% We are privileged to offer this outstanding dairy herd that has been faithfully farmed for 21 years and bred for type, protein, temperament and longevity using nominated LIC semen. Due to son returning home with his own herd and father retiring, purchasers have an opportunity to buy from this 185 cow herd which will come forward in great condition and in milk on sale day. Catalogues will be available. Calving from 1/7 - 4 Weeks AB - Tailed with Jsy Bulls. Bull Out 5/12, TB C10, EBL Free, BVD Tested, Bulk Milk Tested. Production 390 MS/Cow, 1150 MS/ha Please refer to MyLivestock listing #WAI56739 Contact NZFL agent Steve Emile 027 224 3880 Or Vendor Harley 027 331 300

GRAZERS WANTED WAGYU CROSS GRAZING CONTRACT

STOCK FOR SALE

EVERY MONDAY 10:30AM PRIME & BONER CATTLE EVERY THURSDAY 10AM STORE CATTLE

FARM SOURCE LIVESTOCK NOW SELLING AT TEMUKA SALEYARDS

EXOTIC X STEER CALVES

• Steers and Heifers at competitive per kg weight gain rates • Wagyu Dairy Cross - Autumn born mixed sex, min 90kg from June 2018 - Rising 1yr May to May • Wagyu Beef Herd - Weaners April 2018 - Rising 1yr April to April • Simple no-fuss agreements For further information please contact: Tim or Erin O’Brien Phone: 06 857 8305 Mobile (Tim): 0272 780 496 Email: tim@brownrigg.co.nz

STOCK REQUIRED

STORE LAMBS 25-36kgs 250-380kgs 15 MTH HEIFERS

ANGUS COWS 3 & 4 YR Top End EXOTIC HEIFER CALVES 18 MTH ANG & ANG X STEERS

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SHORT NOTICE DISPERSAL SALE

VENDORS: ERIK & LYN VAN DER VELDEN 06 374 1575 AGENT: NEVILLE CLARK 0275 986 537

FARMERS WEEKLY – April 16, 2018

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livestock@nzx.com – 0800 85 25 80

LK0092345©

www.dyerlivestock.co.nz

Ross Dyer 0274 333 381 0800 548 339 NZFARMSOURCE.CO.NZ/LIVESTOCK

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

INAUGURAL IN-CALF FEMALE SALE

T&Cs apply. See nzfarmsource.co.nz/rewards

AUTUMN BORN FEEDER CALVES If you require numbers of good feeder calves don’t miss our weekly auctions at: • Cambridge Saleyards, Tuesdays 11am - 300 calves (all breeds) • Kaponga Saleyards (Tarankai), Thursdays 11am – 200 calves (all breeds)

LATEST HOT LISTINGS •

Q 1115 – 200 FsnX high indexed herd, BW 99, PW 115, R/A 94%, 15/7 calv, 346ms/cow, farm sold, owned 10yrs, $1750. Matt 027 601 3787

•

Q 1114 – 137 Aut calved herd, BW 66, PW 71, R/A 85%, calved and last calv 20/5, complete herd, $1600. Jack 027 823 2373

•

Q 1113 – 23 Jsy/JsyX i/c hfrs, BW 129, PW 130, all calv Aug, scanned dates, very smart hfrs, $1350. Hamish 027 432 0298

•

Q 1111 – 402 Fsn/FsnX herd, 15/7 calv to LIC, lowest 1% for som cell at factory, BW 40, PW 60, R/A 77%, farm sold, $1650. Matt 027 601 3787

•

Q 1117 – 273 Fsn/FsnX herd, CRV bred, 5/7 calv, BW 22, PW 47, wow factor herd, great buying, $1400. Noel 027 588 7632

Sterndale, Pleasant Point 3.30pm Wednesday 2nd May

Morrinsville Sale Yards – Special Entry Thursday 26th April 12 Noon

135 Head 20 Registered R2 Heifers 15 Registered R3 & older cows 100 Commercial R2 Heifers

On A/c Client – From a retiring vendor who had a 100% recorded and Low SCC herd. Genuine complete line of Kiwi Cross heifers. BW 118 PW 114, IC to Jsy. Well grown heifers. View listing # WAI54721 Contact Glenn Tasker 0274 777 345

– 20 Commercial Stern Heifers – 80 Station Heifers

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BUYING OR SELLING LIVESTOCK?

100% RECORDED HEIFERS

Heifers originate from Mackenzie clients Simons Hill, Single Hill and Glenmore Station plus Mt Gerald and Warfendale Stations

Contact James Fraser 021 186 4796

LK0092269©

EARN FARM SOURCE DOLLARS ON ALL SALES AND PURCHASES WITH FARM SOURCE LIVESTOCK.

View catalogue at

www.sternangus.co.nz PGGW, Carrfields, PWA, HRL, RLL

QUALITY XBRED HERD SALE

DATE: : Tuesday 24th April, 2018 ADDRESS: 599 Hurford Road, Omata, New Plymouth TIME: 12.00 noon VENDORS: Clem and Una Shotter CCOMPRISING OF: 128 FSN/FSNX HEIFERS, BW’S UP TO 185, PW’S UP TO 186 DETAILS: • Calving from 22nd July to Jsy bulls - removed 27 Dec. • All scanned in-calf 12th April • Hfrs - BVD tested clear and vac, lepto vac, 10 in 1 vacc • TB C10- hfrs selected from C10 herds. PAYMENT TERMS: Payment is due on the 21st May 2018 or payment options may be available by prior arrangement. Delivery date is 2-3 days after auction.

AUCTIONEERS NOTE: Within this years line up is a complete replacement line of heifers purchased from Hamish and Liz Logan and selected heifers from two capital replacement lines. Hard to find better conditioned and high indexed heifers where you can select from. For 20 years our vendors have been offering outstanding dairy heifers for buyers and many repeat buyers know they are confidently purchasing quality well-bred replacements. Light luncheon provided. Farm Source Livestock – Colin Dent 027 646 8908 Neil Lusk Livestock –Neil Lusk 027 443 3171

Tuesday 24th April 11am 2393 SH 27 Patetonga S/N 75070 On A/c Fantail Farms BW 70 (up to 194) PW 89 (up to 382) RA 85% Approx 385 Xbred Cows 2-8Yrs inclusive of 119 A2A2 Xbred Cows BW 91 PW 116 380 Ms, Low SCC, C10, EBL free, BVD tested DTC 15/7, 5 weeks AB LIC, tailed with Jersey Bull. Due to our vendor purchasing a farm, we are privileged to offer this quality herd farmed on a grass only system 1. We highly recommend any discerning buyer attend this sale. Cows will come forward in great condition and in milk on sale day. View listing WAI57123 & WAI57613 for further details Contact Steve Emile 027 224 3880 or Vendor Sebo 027 490 4202

FRSX ON FARM SALE Wednesday 2nd May - 12 Noon Puriri Rd, Tokoroa S/N 78030 On A/c SG & RI Thomas BW 77 PW 91 RA 93% A very good herd of medium stature, these are good capacious cows that tick a lot of boxes. Our vendor has purchased a lease farm with stock so these young cows come to market. DTC 1/8 IC to AB, Tailed with Hfd bull. Sale Catalogues available on the day View Listing #WAI57620 for more details Contact Steve Emile 027 224 3880

LK0092274©

20TH ANNUAL IN-CALF HEIFER FAIR AUCTION CAPITAL REPLACEMENT LINES

LK0092250©

ON A/C N & M GALLIEN 112b HATUMA ROAD WAIPUKURAU FRIDAY 20TH APRIL – 11.00AM ENTRIES INCLUDE

Talk to us for options to purchase in-milk for September/October Delivery

FLEMING BELTED GALLOWAY HERD – KUROW

Northland Herds & Heifers 390 Frsn/FrsnX BW71 PW103 RA89% DTC 15/7 Very young herd, huge potential $1500

85 Mixed Aged Cows

150 Xbreds BW89 PW98 RA97% DTC 20/7 345ms, 6 weeks AB, In-Milk option avail. $1750

NEIL MCKERCHAR 027 505 1010

4 weeks LIC AB Jersey Tailed off with Jersey Bull Bull out date 25/12/17

28 I/C Hfrs Frsn/FrsnX BW130 PW135 RA96% DTC 18/7, 29 yrs breeding, well grown $1600

Production 360 M/S per cow,

23 I/C Hfrs Frsn/FrsnX BW58 PW63 RA96% DTC 1/7, I/C to DNA’d Jersey bulls $1350

SCC 60,000, TB C10, EBL free

Paul Kane 027 286 9279 (North Waikato/ Northland) National Dairy & Live Export Coordinator

Auctioneers Note: Good capacious cows doing solid production every year. Very low cell count herd.

For extensive listings for all types of dairy stock visit:

50 Years of Breeding and Ownership.

www.carrfieldslivestock.co.nz

Delivery Immediate delivery unless prior arrangement with agent before auction.

Payment Delay payment to all purchasers until 30th May 2018.

Please contact Steve Old 027 471 2801 steveo@progressivelivestock.co.nz

Friday 27th April 2018 at 11am Vendor: Mr Mark Rowland 279 Aranui Road, RD 5, Palmerston North Phone 06 329 0890 or 027 495 7728 Sale to be held on the vendors property will comprise:

www.progressivelivestock.co.nz

NORTH KING COUNTRY COMBINED BULL BREEDERS OPEN DAY

87 Friesian MA Spring calving cows 2 Friesian Autumn calved cows 15 Friesian Empty ln Milk cows 18 Friesian Rising one year heifers & JERSEY INDEXING JERSEY 122 head TB Status C10, Lepto Vaccinated

Monday 30th of April

CROSS HERD

These fully recorded Friesian cows of very high type and production standard have been selected for sale as BW 143/50 PW 161/67 RA 100% our vendor reduces numbers and relocates to Taranaki. (in By top 10 Breeds for ) no meansAll the bottom end are for saleNZ as those being retained have been selected solely on cow family which means some outstanding are being offered. Many cows contracted to LIC cows for 2011 matings 300-400 cow herd has6.5 alwaysweeks been Due toProduction calvefor the from 16-7-12, in the and range Kiwi of 500kgs ms/cow. This season the herd AB Jersey cross average to 22/2/18 is 362kgs ms in 188 days with cc Estimated to be 420 cows after non average of 107. Much attention has been paid to udder pregnant, culls, older cows & 5% rejection quality which is evident in todays herd. The herd which Production last season 347kgs ms/cow, is not owner milked is of very good temperament. All 1000kgs ms/ha, on rolling to on offer are fully recorded, LIC transferable andsteeper offer contoured meal,bred palm kernel maize thosefarm, in need no of straight Friesian cows aor great fed. opportunity.

Young replacement stock also available Payment is due from all purchasers by the 20th May

2018. Catalogues giving all details are available online at www.brianrobinsonlivestock.com tstanding genetics & potential to be one of or www.nzHolstein.org.nz countries leading suppliers of Genetics to LK0092143©

Enquiries tofor the auctioneers: dairy industry years to come. Full details ailable. Brian Robinson Livestock Ltd

07 858 3132 email b.robinson1@xtra.co.nz Donald Ph marketing 0274 378 375, agents: quiries Selwyn to the sole Neil McDonald 0272 188 904, Brian Robinson 0272 41O O51, an Robinson BRLL Matt Satherley 0278 697 805 or : 0272 410051 or 07 8583132 Kevin Hart 0272 915 575

Herd due 20/7/18

80 I/C Hfrs Frsn/FrsnX BW105 PW113 RA99% DTC 17/7 LIC Sire Proving, well grown $1550

Reduction Sale Straight Bred Friesian Herd

HIGH

AUCTION 26th April 2018 THURSDAY 10:00am

BW 45, PW 46, REL 59%

70 Frsn CRV Bred R3yr second calvers DTC 25/7, DNA verified $1500

Philip Webb: 027 801 8057 Central & Southern NI Dairy Coordinator

PROGESSIVE LIVESTOCK LTD

Comprising 400 Jersey IM Cows

145 Frsn/FrsnX BW78 PW93 DTC 15/7-25/8 Great condition, tight calving $1500

LK0062301©

SUITABLE OUTSIDE ENTRIES WILL BE ACCEPTED

163 Frsn/Xbred BW89 PW119 RA100% DTC 12/7, 80 x 2 & 3 yr olds OAD herd $1800

CONTACTS CALLUM DUNNETT 027 587 0131

A/C RYE DAIRIES LTD 219 PAEWHENUA ROAD RD2 OTOROHANGA SUPPLY NO 74557

260 Frsn/FrsnX BW61 PW69 RA90% DTC 20/7 OAD herd long steep walks, will shift well $1500

30 R3 Cows 40 R2 Hfrs (M/T) 35 Hfr Calves All Cows PTIC to Top Belted Galloway Genetics Calving Due 10th August 2018 TB C10 Farmed Commercial for 10 years Some of top Genetics in the Country Great opportunity to Buy a Top Belted Galloway Herd Good Market for R1 Bulls Dairy

LK0092297©

Case Puma 155 with Howard self levelling FEL 2500hrs, 4m Elpago folding power harrow with Wizard air seeder, Claas Dominator 96 harvester, Taege 23 Coulter direct drill with large & small seed boxes, Pottinger 4-furrow reversible hydraulic plough, Bertolini 14m sprayer, 1000lt tank with foam marker, James 5-leg aerator, 2.4m Reed & Gray roller drill, 600lt fuel trailer, 2.4m Trimax mower, Finger bale grab, rear forks, levelling bars, grader blade, soft hands-euro hitch, farm tipping trailer, 3m Tyne cultivator, International 684 2 wheel drive tractor, Cambridge roller, C-Dax 4-wheeler trailer sprayer, concrete roller, Novaflow sledge, 6 x firewood bins, 7 x 3m deer gates, assorted timber & posts, 2 x dog kennels, electric fencing etc, trailer, 40ml ring feeder, hydraulic jack, TruTest Fastweigh crate, bale buggy, flatdeck farm trailer, 2 x D4 track rollers (new), Husqvarna 394 chainsaw, portable electric shearing plant, 2 Core 10 steel sheets (3mm x 2.4m x 1.2m), misc farm equipment.

livestock@nzx.com – 0800 85 25 80

ry Falkner rsey Marketing Service : 027 482 8771 or 07 846 4491

LIVESTOCK ADVERTISING

The following Studs will be open to the public from 10.00am till 2.00pm To inspect the Bulls that will be offered for sale this year. • Hingaia Angus – Richard Jolly, 07 872 2840

147 Hingaia Rd, Wharepunga • Tarangower Angus –

Rob Purdie, 07 877 8935 912 Ngatrawa Rd, Mahoenui • Storth Oaks Angus –

Tim Brittain, 0275 935 387 524 Paewhenua Rd, Maihihi • Iona Angus – Bruce Bevege, 07 877 7541

100 Rauriki Rd, Aria • Kia Toa Charolais –

Paul Grainger, 07 878 6458 973 Troupers Rd, Te Kuiti • Rockend Herefords –

Peter & Josh McCormack, 07 877 7897 603 Paraheka Rd, Aria • Potawa Simmentals –

Andrew Neal, 07 877 8009 488 Mangaotaki Rd, Piopio • Raupuha Shorthorns –

Russell Proffit, 07 877 8977 1933 SH 3 Mahoenui • Ipuru South Devons –

Peter Foss, 07 877 7881 54 Kumara Rd, Aria • Kaha Speckle Parks –

Are you looking in the right direction? Nigel 0800 85 25 80 • livetock@nzxcom • farmersweekly.co.nz

LK0092285©

PRIVATE SALE

CLEARING SALE

ALL ENQUIRIES SIMON MCDONALD 06 855 4949 0273 554 949

Livestock

LK0090085©

THE NEW ZEALAND FARMERS WEEKLY – April 16, 2018

Catherine Robertson, 07 877 8111 142a Paekaka Rd, Piopio For further information please contact: Brent Bougen Cam Heggie NZFLL PGG Wrightson 0272 104698 0275 018182

livestock@nzx.com – 0800 85 25 80

Livestock

Your source for PGG Wrightson livestock and farming listings

FARMERS WEEKLY – April 16, 2018

Key: Dairy HIGH QUALITY FRIESIAN DISPERSAL SALE

SPECIALISTS IN GENETICS PERFORMANCE Like you, we’re fully invested in genetics performance to achieve your production goals. PGG Wrightson Genetics is a nationwide team of livestock breeding professionals, passionate about improving farm productivity through genetics. • Ability to source a huge variety of different genetics to suit any farm or production requirements • Backed by the largest livestock network in New Zealand • Up-to-date with the latest innovations in livestock breeding • Relevant knowledge, advice and support • Achieve top results at live auction sales with our National Auctioneering team • Understanding of your farming business • Committed to helping you achieve your production goals

To find out more contact your local genetics specialist or head to www.pggwrightson.co.nz

NATIONAL TEAM. LOCAL KNOWLEDGE.

Cattle

Sheep

Other

ELITE XBRED HERD Monday 23rd April, 11am Start

Thursday 26th April, 11am On Farm Monckton Road, Te Awamutu A/C R & P Moss

A/C Ngatoka Farms LTD C/- C and L Beal Owairaka Valley Road, D/N74669

Comprising 250 Inmilk Spring Calving Cows 160 Inmilk and CTP Autumn Cows 50 Inmilk Nov/Dec Calved Cows This is a great opportunity for purchasers looking for genuine cows that have been bred for udders, legs and longevity using mainly oversea’s nominated sires. Herd production has peaked at over 600M/S/cow for the Autumns and 530M/S/cow for the Spring cows which are run on a separate rolling to steeper farm next door. Cows are in very good condition and display quality udders and dairy type with good temperament. Over half the Autumns’ will be inmilk on sale day, they were tailed with Hereford Bulls. The Spring calving cows commence calving on the 15th July for 6 weeks AI then tailed with Hereford bulls. The 50 Summer calved cows are un-mated and in full milk making them a great winter milk prospect. If you are wanting high production cows with a proven track record don’t miss this sale. Payment – Payment 14 days from sale date. Delivery – Immediate delivery unless prior arrangement with Agent before sale. Catalogues will be available on Agonline.

Comprising: 185 Frsn /Frsnx and Frsn/ Jsyx Incalf Cows, BW101, PW130, RA99% 68 Frsn/ Frsnx and Frsn/ Jsyx Incalf Heifers, BW136, PW141 25 Young Empty Inmilk Cows, BW115, PW145 Herd calving 16th July 9 weeks AB to nominated A2 Bulls including 5 contract mated cows to CRV. Herd producing 380 M/S, all grass and grass silage. Cows & Heifers are G3 DNA, and includes 99 A2 A2 cows and 76 A1 A2 cows with BWs up to 193, PWs up to 372. Herd owned for 36 years – has not been for sale on the open market. Off a rolling farm and will come forward inmilk, in good condition and show excellent conformation. Heifers calving 16th July, 41 one cycle AB mainly Kingpin with one being contract mated tailed Jersey, Bulls out 4th January, included 41 A2 A2 and 26 A1 A2 heifers BWs up to 195, PWs up to 217 and are well grown. Catalogue Available on Agonline. Enquiries to: Vendors: Chris & Lindy Beal – 07 872 2855 Agent: Chris Ryan – 0272 431 078

Enquiries to: Chris Ryan – 0272 431 078 Andrew Reyland – 0272 237 092

Freephone 0800 10 22 76 | www.pggwrightson.co.nz

Helping grow the country

WAIPA COMBINED BREEDERS FRIESIAN FEMALE SALE

Wednesday 18th April, 11.30am Start Sale held at Te Awamutu Saleyards, Paterangi Road, Te Awamutu Will Comprise: 43 Friesian Incalf Heifers 8 Friesian Cows 1 Friesian Inmilk Cow 2 Friesian Empty Inmilk Cows 2 Friesian Yearling Heifers 1 Friesian Heifer Calf 57 Head TB C10, Lepto vaccinated. This is a nicely presented offering of well bred, high production backed females. Many high ranked sires and some of the best genetics available are represented in this sale catalogue. All cattle are fully recorded and LIC transferable. Make sure you receive a copy of the sale catalogue by viewing online at www.agonline.co.nz or www.brianrobinsonlivestock.com or contact the auctioneers:

Hit the bulls-eye with advertising in the Farmers Weekly.

Reaching over 78,000 rural mailboxes weekly we are the ideal space to engage with the right audience for your bull sales.

Brian Robinson Livestock Ltd Brian Robinson, 0272 410 051 Matthew Satherley, 0278 697 805

With loads of affordable advertising options contact Nigel Ramsden on 06 323 0761, 027 602 495 or email livestock@nzx.com to get the right solution for you.

farmersweekly.co.nz

PGG Wrightson Andrew Reyland, 0272 237 092 2424FWBU

Farmers Weekly also publishes an e-Newsletter while bull sales are on with top sale results from around the country, and other digital advertising options to link to your website and sale catalogue.

Your source for PGG Wrightson livestock and farming listings

Key: Dairy

Cattle

Sheep

Other

CAPITAL STOCK & 18MTH CATTLE SALE

DAIRY HERDS & IN-CALF HEIFERS FOR SALE

PGG Wrightson Dairy representatives are specialists at marketing and selling dairy herds.

Tuesday 24th April, 11am Palmerston Saleyards

For photos and more information visit www.agonline.co.nz

A/C Cressbrook, Dunback – C10 102 MA Cows (PTIC to Waimara Angus Bull, due from 15/9/18 first and second cycles only) Mainly Hereford with some Stabilizers, will be sorted into line and breeds. Hill cows being sold due to sale of property

NORTH ISLAND HERDS FOR SALE 265 Frsn/Frsnx Cows BW 87

PW 114

225 Frsn Cows

$1,875+GST

BW 47

•

PW 50

170 XBred Cows $1,875+GST

BW 67

•

135 XBred Cows $1,725+GST

PW 106

BW 96

•

RA99% Calving 20th July, New Listing, 32yrs One Owner. Rhys Mellow – 0272 240 999

RA96% Calving 20th July, Ave 440M/S per Cow on System 2. Regan Craig – 0275 028 585

RA97% Calving 17th July, One Owner 30yrs, OAD Herd. Shaan Featherstone – 0276 661 198

Agonline ref: 064171

Agonline ref: 064194

Agonline ref: 064042

116 Frsn/ Frsnx Cows BW 94

PW 105

160 MA Frsn Cows

$1,775+GST

BW 63/43

•

PW 60/53

240 M/A Frsn, Jsy, X/Bred Cows $1,695+GST

BW 74

•

RA100% Calving 14th July, 37yrs One Owner. Vaughn Larsen – 0278 014 599

RA91% Excellent uddered LIC Frsn herd. Low input system. Kim Harrison – 0275 010 013

Agonline ref: 064147

Agonline ref: 063773

$1,550+GST

PW 87

RA93% Chris Johnston – 0272 574 091

•

Calving 10th July, 2yrs to 6yrs. Peter Schnuriger – 0272 431 836 Agonline ref: 064011

190 MA Xbred Cows BW 6

•

$1,500+GST

PW 110

PW 22

$1,300+GST

•

RA82% Established Herd that has been bred for type. Herd will move well. Craig Murray – 0273 220 063

Agonline ref: 063300

Agonline ref: 064128

NORTH ISLAND IN-CALF HEIFERS FOR SALE 115 XBred Incalf Heifers BW 102

PW 121

77 Frsn/Frsnx Incalf Heifers

$1,550+GST

•

BW 109

PW 113

74 X/Bred InCalf Heifers

$1,500+GST

BW 127

•

226 A2A2 X/Bred InCalf Hfrs

$1,500+GST

PW 143

BW 130

•

PW 106

$1,800+GST

•

Calving 19th July, Jsy Bull. Sample Weighed 415kg. CRL. Dean Evans – 0272 431 092

Calving 14th July, Jsy Bull. CRL, Well Grown. Tony Blackwood – 0272 431 858

RA100% Capital Stock LIC Bred Line of X/Bred Heifers, Mated to AB Xbred Sires. Peter Forrest – 0275 986 153

RA99% A2A2 X/Bred Heifers, Synchro Programme to Nominated LIC Jersey. Chris Johnston – 0272 574 091

Agonline ref: 063181

Agonline ref: 063456

Agonline ref: 064117

Agonline ref: 063344

SOUTH ISLAND HERDS & HEIFERS FOR SALE 86 Friesian InCalf Heifers BW 56

PW 63

$1,800

+GST

•

RA99% AB selected Semen from Samen, Breeding Traits are Fertility, Protein, Good Capacity and Structure. John Rawcliffe – 0272 452 258

100 Frsn, Frsn/Frsn X InCalf Hfrs BW 114

PW 109

$1,750

RA100% Capital Line of Heifers, Very Well Grown Out. David Walker – 0272 189 526 Agonline ref: 063267

Agonline ref: 063816

73 Friesian InCalf Heifers BW 40

+GST

•

PW 49

$1,800

90 Frsn, Jsy/Jsy X InCalf Heifers $1,800

+GST

•

RA73% Well Grown Friesian InCalf Heifers, AB selected, Breeding Traits are Fertility, Protein, Good Capacity and Structure John Rawcliffe – 0272 452 258

CRV and Samen Genetics, Dams Producing 521 M/S Per Cow, 17 years of Herd Ownership. John Rawcliffe – 0272 452 258

Agonline ref: 063818

Agonline ref: 063864

A/C Matt Gibson, Pigroot – C10 100 Angus & Angus Hereford X MA Cows Due from 18/9/18 to Angus or Hereford Bull, will be PTIC prior to sale, will be sorted into age groups and breeds. Hill cows being sold due to a change in farming practice 3 Hereford R3 Bulls (Horned) A/C Bellfield Farming, Macraes – C10 25 Angus & Angus Hereford X MA/AD Cows (due from 23/8/18 to Angus Bull, will be PTIC prior to sale A/C B Huddleston, Hampden – CM 40 R2 Angus Heifers (Waimara bloodlines), PTIC to Angus Bull – due from 4/9/18 Purchased as complete drop of Angus Heifer Calves ex Mt Blue – an outstanding line. 10 R2 Hereford Heifers PTIC to Angus Bull due from 4/9/18 A/C JO Douglas, Waikouaiti – C10 29 R2 Hereford Heifers (PTIC to Waimara Angus Bull, due from 12/9/18. Bull joined 4/2/17, withdrawn 7/2/18) A/C JFG Wilson, Mt Royal, Palmerston C10 10 R3 Angus Heifers (Kakahu bloodlines) (PTIC to a Angus bull (Glade Angus), due from 4/9/18)

18 MONTH CATTLE

NATIONAL TEAM. LOCAL KNOWLEDGE. COMPLETE HEREFORD HERD DISPERSAL

FRIESIAN & FRIESIAN X INMILK SALE

Monday 30th April, 12.00pm Start Manuel Rd, Tauhei (On Farm) A/C Tainui Group Holdings Ltd Hangawera Station

Friday 20th April, 11.30am Start Bellevue Rd, Matangi. D/N 72795 A/C Bellevue Farm

Comprising

140 Frsn & Frsnx Cows, BW55, PW96, RA90%, LW100

63 R2 VIC Hereford Heifers (Bull in 5/11/17, Bull out 23/01/18) 41 R2 VIC Hereford Heifers (Bull in 19/11/17, Bull out 6/02/18) 43 R3 VIC Hereford Heifers (Bull in 5/11/17, Bull out 23/01/18) 95 4yr+5yr VIC Hereford Cows (Bull in 5/11/17, Bull out 19/01/18) 122 6,7,8,9 & 10yr VIC Hereford Cows (Bull in 5/11/17, Bull out 19/01/18) 35 M/A VIC Carryover Hereford Cows (Bull in 5/11/17, Bull out 19/01/18) Due to a change in farming policy, this is a great opportunity to Purchase Capital Stock Hereford Cows and Heifers, All VIC to a Hereford Bull. Genetics from Kokonga, Kairuru and Craigmore Hereford Studs. Enquiries to: Sam Wright (PGW) – 0274 430 905 Dean Evans (PGW) – 0272 431 092 Shane Hill (Tainui GH) – 0292 929 672

Comprising

Calving from 25th July for 4½ weeks, AI Frsn then tailed with Hereford Bulls, out 23rd December.Scanned to Date. Production this season to date 448MS/day in 245 days, top cow over 700MS with BWs to 150, PWs to 346 & still producing 1.37 at last herd test on 14th March. Great opportunity to purchase quality inmilk cows in very good order with only 6 cows over 6 years old. Herringbone shed, EBL Free, BVD neg, TBC6, Lepto Vacc. Payment – Payment 14 days from sale date.

QUALITY FEMALE DAIRY SALE Thursday 19th April, 11.30am Start 1461 Morrinsville-Walton Rd A/C DL & LJ Swap

A/C SB & JA Clearwater, Goodwood – C10 19 Angus & Angus Hereford X R2 Heifers A/C McWilliam Farming, Waikouaiti – C10 44 Angus & Angus Hereford X R2 Steers (forward condition) All cattle yarded overnight & sold over scales. Enquiries to: Gerard Shea – 027 442 5379

Comprising 62 Frsn/ Frsn x Incalf Heifers (very well grown) • BW129, PW141, RA100% (DNA Profiled) • Ex Shane & Jackie Ashley • Numerous Heifers over 500kg

NATIONAL TEAM. LOCAL KNOWLEDGE.

• Herd ave 600M/S, Individuals to 900M/S per Cow • Due 13th July, Bulls out 10th December, Incalf to Jsy Bull. 113 Frsn/ Frsn x / JFrsnx Selected Incalf Carryover Cows • BW111, PW176, RA100%, • Frsn mated to Swap Herefords. Jsy mated to Jsy • Due 13th July, Bulls out 10th December

Delivery – Immediate delivery unless prior arrangement with Agent before sale.

Delivery to Suit to 1st June. All Cattle in exellent condition. TB Tested, Vetted Incalf (Incalf warranty applies).

Catalogues available online.

Light Luncheon Available.

Enquiries to:

Andrew Reyland – 0272 237 092 Dean Evans – 0272 431 092

Regan Craig – 0275 028 585 or 07 889 7300

Freephone 0800 10 22 76 | www.pggwrightson.co.nz

A/C Cressbrook, Dunback – C10 80 Angus X R2 Heifers (prime/forward condition)

Find us on Facebook: fb.com/pgwlivestock

Helping grow the country

MARKET SNAPSHOT

IN PARTNERSHIP WITH

Grain & Feed

MILK PRICE FORECAST ($/KGMS) 2017-18

6.55

6.30

AS OF 21/03/2018

AS OF 04/04/2018

7.0

Prior week

Last year

Dec 17 AgriHQ Spot Fonterra forecast

Feb 18 Apr 18 AgriHQ Seasonal

What are the AgriHQ Milk Prices? The AgriHQ Seasonal milk price is calculated using GDT results and NZX Dairy Futures to give a full season price. The AgriHQ Spot milk price is an indicative price based solely on the prices from the most recent GDT event. To try this using your own figures go to www.agrihq.co.nz/toolbox

WMP GDT PRICES AND NZX FUTURES

7.20

5.90

361

333

NI mutton (20kg)

4.90

4.85

3.60

378

302

SI lamb (17kg)

7.05

5.60

Feed Barley

380

310

SI mutton (20kg)

4.85

3.55

229

Export markets (NZ$/kg) 9.07

9.10

8.61

274

UK CKT lamb leg

Maize Grain

441

375

PKE

269

233

7.0

* Domestic grain prices are grower bids delivered to the nearest store or mill. PKE and fertiliser prices are ex-store. Australian prices are landed in Auckland.

6.5 6.0

INTERNATIONAL Last week

Prior week

Last year

Wheat - Nearest

235

228

223

Corn - Nearest

209

204

203

5.5 5.0

CBOT futures (NZ$/t)

4.5

2500 2000 Jun 17 Sep 17 Dec 17 C2 Fonterra WMP

373

375

316

ASW Wheat

369

364

302

Feed Wheat

317

319

287

Feed Barley

347

349

273

PKE (US$/t)

Mar 18 Jun 18 NZX WMP Futures

Ex-Malaysia

108

119

600

$/kg

3000

South Island 1 7kg lamb

7.5 7.0

APW Wheat

3500

North Island 17kg lamb

7.5

Australia (NZ$/t)

4000

500 400 300

NZ venison 60kg stag

6.5 6.0 5.5 5.0 4.5

Oct

Dec

Feb

5‐yr ave NZX DAIRY FUTURES (US$/T) Nearby contract WMP

Prior week

vs 4 weeks ago

3200

3210

3090

SMP

1905

1895

AMF

5900

5505

Last week

Prior week

Last year

Prior week

Last year

1900

Urea

523

507

3.02

3.68

6100

Super

307

317

Nth Isl 37m

3.10

3.15

3.80

739

Sth Isl 35m

4.60

5.05

3.65

5240

DAP

785

775

Aug

Sep

Oct

4 weeks ago

Sharemarket Briefing THE roller-coaster ride for investors continued last week as volatility remains the only constant. Trade has again dominated headlines for markets while rising political tensions in the Middle East have garnered plenty of attention. With the global reporting season under way, albeit slowly, investors appear to be happy, adopting a cautious stance. Closer to home, there was little to drive markets in terms of economic data so investors were left to watch the trickle of corporate news flow and take cues from global peers. The latest United States jobs report missed expectations. There were 103,000 jobs added in March, well below the expected 185,000. Wage growth has been a key focus for markets as an inflation indicator. Wages grew slightly faster for the month, up 0.3%, however, were in line on an annualised basis, up 2.7%. The Federal Reserve minutes showed inflation is high on the committee’s agenda. Some members are imploring others to consider raising rates faster than proposed to control inflation. The Fed continues to see strong economic growth this year and expects inflation to pick up along with it. Interest rates are the key inflation control tool. Market commentary provided by Craigs Investment Partners

16205

S&P/FW AG EQUITY

21702

S&P/NZX 50 INDEX

8404

S&P/NZX 10 INDEX

8053

$/kg

250 150 Apr 14

NZ venison 60kg stag

4.5

600

c/k kg (net)

NZ$/t

US$/t

3000

Coarse xbred wool indicator

5.5

CANTERBURY FEED PRICES

350

S&P/FW PRIMARY SECTOR

This yr

Last week

3200

Latest price

Last yr

Aug

Coarse xbred ind.

450

Jul

Aug

Jun

(NZ$/kg)

3400

Jun

NZ average (NZ$/t)

WMP FUTURES - VS FOUR WEEKS AGO

May

Apr

WOOL

* price as at close of business on Thursday

2800

Apr

FERTILISER

Last price*

Butter

Last year

7.20

c/kkg (net)

5.5 Oct 17

Last week Prior week

NI lamb (17kg)

Feed Wheat

Waikato (NZ$/t)

6.0

Slaughter price (NZ$/kg)

Milling Wheat

PKE

6.5

$/kgMS

Last week Canterbury (NZ$/t)

MILK PRICE COMPARISON

US$/t

SHEEP MEAT

DOMESTIC

AGRIHQ 2017-18

FONTERRA 2017-18

Sheep

$/kg

Dairy

Apr 15 Feed barley

Apr 16

Apr 17 PKE spot

3.5

400 300

2.5

Oct Jul

Dec Sep 5‐yr ave

Feb Nov

Apr Jan Last yr

Jun Mar

Aug May

Jul

This yr

Dollar Watch

Top 10 by Market Cap Company

YTD High

YTD Low

The a2 Milk Company Limited

12.63

14.62

7.66

Auckland International Airport Limited

6.39

6.73

6.11

Meridian Energy Limited Fisher & Paykel Healthcare Corporation Ltd Spark New Zealand Limited Ryman Healthcare Limited Mercury NZ Limited (NS) Fletcher Building Limited Air New Zealand Limited (NS) Contact Energy Limited

2.89 12.75 3.40 10.89 3.39 5.84 3.38 5.28

3.00 14.39 3.68 11.30 3.45 7.96 3.43 5.64

2.75 12.41 3.28 10.27 3.14 5.74 2.86 5.15

Listed Agri Shares

500

5pm, close of market, Thursday

Company

YTD High

YTD Low

The a2 Milk Company Limited

12.630

14.620

7.660

Comvita Limited

7.010

9.210

6.880

Delegat Group Limited

8.250

8.500

7.510

Foley Family Wines Limited

1.450

1.560

1.400

Fonterra Shareholders' Fund (NS)

5.740

6.660

5.670

Livestock Improvement Corporation Ltd (NS)

3.000

2.250

New Zealand King Salmon Investments Ltd

2.300

2.430

1.840

PGG Wrightson Limited

0.610

0.640

0.560

Sanford Limited (NS)

7.600

8.500

7.350

Seeka Limited

6.500

7.000

5.800

Synlait Milk Limited (NS)

9.260

9.750

6.260

T&G Global Limited

3.120

3.300

3.120

Tegel Group Holdings Limited

0.840

1.240

0.810

S&P/FW Primary Sector

16205

16555

14417

S&P/FW Agriculture Equity

21702

22252

18488

S&P/NZX 50 Index

8404

8608

8059

S&P/NZX 10 Index

8053

8368

7640

THE kiwi dollar ended This Prior Last NZD vs the week close to twoweek week year month highs as world USD 0.7363 0.7268 0.6948 markets returned to a EUR 0.5953 0.5929 0.6548 risk-on sentiment, reacting to easing geopolitical AUD 0.9491 0.9456 0.9262 and trade tensions. GBP 0.5191 0.5185 0.5565 That boosts commodity Correct as of 9am last Friday currencies like the New Zealand dollar though ANZ Bank senior strategist Phil Borkin said signs global growth might be peaking capped them from going higher. A move higher for the kiwi can’t be ruled out but the bank still believes higher volatility in markets and interest rate differentials (central bank rates in NZ and the United States are both at 1.75%, with the latter expected to soon go higher) should have the kiwi more on the defensive. Softer economic news out of the Euro zone knocked the euro currency, with the kiwi moving up towards €0.60, very close to resistance levels, in ANZ’s view. The kiwi has been very strong against an Aussie dollar, impacted more by fears about a US-China trade war but recent comments on both sides have been more conciliatory, Borkin said. He thinks there could be a move back to the low A$0.90s level. Sterling strength has capped kiwi moves on that cross but the risk-on mood in markets has pushed it higher against the yen. ANZ is keeping to its view the kiwi should fall into the end of the June quarter and beyond, with year-end forecasts of US$0.67, A$0.93, €0.52, ¥69, and £0.47. Alan Williams

Markets

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

SI SLAUGHTER LAMB

NI SLAUGHTER COW

SI SLAUGHER BULL

($/KG)

R2 FRIESIAN BULLS, 390420KG, AT WELLSFORD

($/KG)

($/KG LW)

4.05

7.05

5.10

2.76

high lights

$725-$835

$2.70-$2.83/kg

Angus heifers, 230-260kg, at Matawhero Weaner Heifer Fair

R2 Hereford-Friesian steers, 400-450kg, at Taranaki Adult Steer Fair

Cattle & Deer BEEF Slaughter price (NZ$/kg)

Last week

Prior week

Last year

NI Steer (300kg)

5.35

5.70

NI Bull (300kg)

5.30

5.20

5.70

NI Cow (200kg)

4.05

4.50

SI Steer (300kg)

5.35

SI Bull (300kg)

5.10

5.20

5.05

SI Cow (200kg)

4.00

4.10

US imported 95CL bull

6.31

6.53

7.28

US domestic 90CL cow

6.54

6.68

6.78

PEAKING: Calves at the Mt Arrowsmith Station sale on April 3.

Export markets (NZ$/kg)

North Island steer (300kg)

$/kg

6.0 5.5 5.0

Buyers stretch for stores

4.5 4.0

NZ venison 60kg stag

5.5

$/kg

600

c/k kg (net)

South Island steer (300kg)

6.0

5.0

500

400 4.5 300

4.0

Oct Oct

Dec Dec

Feb Feb

5‐yr ave

Apr Apr

Jun Jun

Last yr

Aug Aug This yr

VENISON Slaughter price (NZ$/kg)

Last week Prior week

Last year

NI Stag (60kg)

10.45

8.60

NI Hind (50kg)

10.35

8.50

SI Stag (60kg)

11.00

8.60

SI Hind (50kg)

10.90

8.50

New Zealand venison (60kg Stag)

12 11 10

NZ venison 60kg stag

500 8

400 7 300 6 Oct

Oct

Dec Feb Dec Feb 5‐yr ave

Apr Apr Last yr

Jun Jun

Aug Aug This yr

NORTHLAND NORTHLAND Just shy of 930 cattle met with a sparse buying bench at WELLSFORD last Monday. Pre-sale expectations were high but the market did not manage to meet the anticipated levels. Quality was not lacking throughout the yarding, but the market eased 30-40c/kg from the last sale for the majority and the $3/kg mark was extremely elusive. R3 Hereford-Friesian steers, 496662kg, eased to $2.62-$2.71/kg. Angus R2 steers, 485-503kg, traded at $2.82-$2.93/kg, while lighter 356kg made $2.77/kg. Most Angus-Friesian, 381-455kg, managed $2.70-$2.87/ kg, while Hereford-Friesian, 411496kg, returned $2.70-$2.88/kg. As the weights dropped price variations increased with 361-406kg trading at $2.66-$2.92/kg. Hereford-Jersey, 324368kg, were relatively strong earning

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c/k kg (net)

$/kg

600

UYERS have had to stretch budgets for store lambs over the past week as prices at all yards firmed, despite larger volumes offered. Lambs to winter are the main focus now, with ewe lamb lines in particular proving popular.

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$2.64-$2.79/kg. A consignment of Murray Grey-Friesian steers, 366448kg, were on offer and fetched $2.76-$2.81/kg. Friesian bulls dominated their section by sheer volume and their returns were in line recent levels as 387-418kg made $2.69-$2.78/kg. Three good Hereford bulls weighing 445kg took top honors for the day, cracking the $3/kg mark at $3.12/kg. Like much of the country the wintry blast was a shock to the system in Northland, but the KAIKOHE sale last Wednesday was largely unaffected. A little bit of optimism snuck into the older cattle pens, PGG Wrightson agent Vaughan Vujcich reported, and prices regained some ground lost the previous week. R2 steers were mainly beef-cross or Angus-Friesian and sold for a consistent $2.76-$2.84/kg. Similarly bull prices regularly sat at $2.68$2.75/kg, with Friesian also in the mix. Heifers managed to hold value at $2.65-$2.70/kg. In the weaner pens South Devon steers featured, with better lines up to $3.20/kg, while other breeds at 200-230kg returned $3.30-$3.40/kg. Beef-cross and Friesian bulls sold well

with 200-250kg earning $3.20-$3.25/ kg, while those around 160kg fetched $650-$700. Heifers were the hardest selling with most trading at $2.80$3.00/kg. WAIKATO A moderate yarding of just shy of 700 weaners was presented to a mainly local buying bench last Tuesday at FRANKTON. The quality of calves was good and the market was steady for the majority. Steer numbers lifted on last sale and Hereford-Friesian made up the lion’s share. Returns were strong with all trading over $4/kg, and 152-175kg earned $615-$710, while 143-150kg lifted to $600-$640. Lighter 109-127kg lines managed the highest $/kg at $490-$570, $4.49-$4.50/kg. Heifer returns varied and HerefordFriesian were strong with 164-192kg trading at $582-$635, $3.30-$3.55/kg, and 103-121kg, $405-$480. AngusFriesian, 162-208kg, eased to $450$595, $2.70-$2.86/kg, but Herefordcross, 127-145kg, lifted to $400-$450, $3.10-$3.15/kg. Bulls had a softer tone with Angus

Continued page 46

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Markets

46 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018

COUNTIES COUNTIES Last Thursday’s store cattle sale at TUAKAU drew a big yarding and the market was steady, Peter Pembroke of Carrfields Livestock reported. The steer section featured a line of Charolais-cross weaners from the Coromandel, with the heaviest pen at 297kg making $1145 and others at 260-270kg $890-$1030. Heavy Hereford-Friesian steers, 450-

500kg, sold at around $2.50/k, and 400-450kg Hereford-Friesian $2.87/kg. Weaner whiteface steers, 140-210kg, earned $750$840 and a pen of Friesian bulls, 148kg, $570. In the heifer section, Hereford-Friesian, 435kg, made $2.60/kg, with another pen at 376kg fetching $2.50/kg. A nice pen of Charolais-cross weaner heifers, ex-Coromandel and weighing 295kg, traded at $960. Another pen at 268kg made $800, with a 223kg pen earning $760. Hereford-Friesian weaner heifers, 130-150kg, made $470-$600. At last Wednesday’s prime sale, heavy beef steers, 600kgplus, sold at $2.70-$2.77/kg and medium steers, 450-500kg, earned $2.50-$2.65/kg. Most of the prime heifers weighed 460-560kg and made $2.60-$2.75/kg. The cow section included some heavy dairy cows in prime condition, 600kg, which returned $2.03/kg. Well-conditioned Friesian boners traded at $1.67-$1.75/kg, medium $1.45-$1.60/kg and Jersey and lighter Friesian $1.40-$1.60/kg. About 2000 ewes and lambs were yarded at last Monday’s sheep sale and the market was firm. The best of the heavy prime lambs earned $150-$170, medium $135-$145 and lighter types $120$135. An offering of about 500 store lambs traded at $85-$110, and the heavier prime ewes made $140-$160. Medium ewes fetched $110-$130 and lighter types $60$100. Monday’s dairy sale included about 650 four-day old calves. Most of the black-bodied Hereford-Friesian bull calves traded at $250-$380, with Hereford-Friesian heifers earning $120-$265. Red-bodied HerefordFriesian bulls returned $120-$270, and Friesian $235-$300. BAY OF PLENTY BAY OF PLENTY Buyers were spoilt by a number of quality pens in a larger than expected yarding at RANGIURU last Tuesday. A line of 45 Angus cows, vetted in calf to an Angus bull, sold locally for $1540, while heifers from the same camp and vetted to a Jersey bull made $1140. Early calving run-withbull cows made the same as the heifers. Angus also featured in most sections, and R2 steers, 378-408kg, made $2.84-$2.86/ kg, though the better lines of Hereford-Friesian in a similar

KING COUNTRY TAUPO At TAUPO last Monday Angus steers were offered in big lines of 24-63 head and the top line at 215kg made $920, with two lines 193kg earning $895-$900, $4.64-$4.66/kg. Simmental-cross, 184-190kg, sold for $820-$830, $4.37-$4.46/kg. However the strength could not be found in the Hereford-Friesian pens, and prices came back significantly. Hereford-Friesian prices came back as 145-155kg dropped $30$60 to $520-$615, while 132-143kg made just $445-$580. Heifers followed in a very similar vein to the steers as beef cattle had a firm tone but dairy-beef eased. The top Angus heifers, 254kg, sold for $930, while 170-196kg returned $630-$740. A lighter line at 139kg cracked $4.00/kg, with Angus-Hereford at similar levels. Limousin-cross, 255-258kg, returned $845-$850, $3.30-$3.32/kg, while light Simmental-cross, 163-178kg, fetched $610-$660, $3.65-$3.73/ kg. Straight Simmental conjured up some excitement from the bench though and at 262-299kg sold for the top price range of $950-$1100. As the sale moved into the Hereford-Friesian pens interest waned and so too did prices. Those 137-146kg sold at a $55-$65 discount to the last fair at $480-$505, with the heaviest line up to just 160kg. Angus bulls proved popular and 226kg made $985, but it was the 161184kg lines which sold exceptionally well, making $4.94-$4.95/kg. Simmental, 249-318kg, returned $990$1270, while the only decent line of Friesian was 44 head at 205kg, which sold for $790.

Angus-Friesian, 489-542kg, eased to $2.49-$2.58/kg, which was also common ground for Angus-cross and Hereford-cross. The best Hereford-Friesian could muster was $2.65-$2.71/kg for 500-549kg, while a line of 11 Charolais-cross, 356kg, managed $2.98/kg. The heavier end of the R2 steers eased also, and Hereford-Friesian, 450-530kg, traded at $2.52-$2.65/ kg. But as the longer term cattle entered the rostrum prices went from steady for medium types to firm for the lighter end. Most lines 400-445kg made $2.70-$2.83/kg, with a few exceptional pens to $2.89/kg. Those 350-390kg firmed to $2.85$2.98/kg, with Angus-Friesian of similar weight discounted by 6-15c/kg on those levels. Hereford-Jersey, 389-474kg, traded at $2.59-$2.71/kg, while Angus, 309-360kg, fetched $2.58-$2.62/kg. Just two lines of Hereford-Friesian, 386-391kg, managed to crack $3/kg, though only just at $3.01-$3.02/kg. Thursday’s weaner fair had a full yarding of 1370 with a fairly even split between steers and heifers. Heavier Angus lines were available in both sections with each making solid returns. Most though were discounted by $100$150. Angus steers were solid with 252-281kg returning $1000-$1100, $3.88-$3.97/kg, while 210-225kg fetched $890-$970, $4.07-$4.24/ kg, and 123-195kg, $500-$755. Returns varied for Charolais-cross with 265-279kg lifting to $1040$1180, $3.90-$4.23/kg, while 210263kg lines eased to $835-$1030. This was repeated with Herefordcross, 233-245kg, which sold at a $100 discount to last fair at $750$810. As did Shorthorn-cross, 268-272kg, easing to $1040-$1070, $3.88-$3.97/kg, while 191-207kg lines lifted to $800-$850, $4.11$4.19/kg. Also softening were Simmental-cross, 253-279kg, $970-$1010, and 195-250kg at $770-$1005. This movement continued for the majority of heifers with Angus one of the few to break the mould and manage solid returns as 225-252kg made $790-$860, and 138-203kg, $450-$630. AngusHereford, 217kg, maintained levels of $800, while Charolaiscross softened with 215-225kg managing $700-$870, and 159-199kg, $510-$660. Hereford, 155-220kg, were also discounted to $570-$800. Heavier Shorthorncross, 245-247kg, made steady to lifting returns at $800-$840, though lighter 207-212kg eased by $130 to $710-$740. Simmentalcross, 232-248kg, also continued this trend back at $770-$840. Results were mixed in the bull section with nice Hereford, 225273kg, strong at $1020-$1260, $4.53-$4.62/kg, whilst Angus, 225253kg, traded at $700-$800.

TARANAKI TARANAKI Adult steers were calendared in the regular Wednesday sale slot at TARANAKI and nearly 1200 featured. While $3/kg proved to be quite elusive, there were a number of lighter lines coming close. Prime steer prices were consistent at reduced levels of $2.51$2.65/kg, though HerefordFriesian, 629-747kg, did manage $2.65-$2.74/kg. R3

POVERTY BAY POVERTY BAY At MATAWHERO on Tuesday straight Angus made up 60% of the steer section, with a further 25% having Angus blood. Across the Angus pens $30-$95 was taken off last year’s levels. The top priced Angus made $1195 for an outstanding line of 100 head at 280kg. Those 255-265kg sold for $1050-$1075, compared to $1080$1150 last year, and 230-250kg were discounted to $895-$1115. Lighter pens had 200-205kg at

weight band earned $2.98-$3.00/ kg. R2 heifers were mainly Hereford-Friesian and heavy lines held value at $2.66-$2.70/ kg, though lesser sorts dropped to $2.44/kg. Weaners made up over a third of the yarding and good quality Angus steers fetched $690-$750, and heifers, $610-$710. Hereford heifers had the weight at 239kg, though had the potential to make more than their $695 price tag. One top class line of Angus bulls, 284kg, sold for $1000, while Friesian, 135-154kg, made $440$465. Boner cow numbers lifted and again a portion of the yarding sold in the outside pens. Prices eased and are currently trading below last year as the better Friesian and Friesian-cross made $1.61-$1.74/kg, with second cuts earning $1.50-$1.58/kg. Jersey sold for $1.31-$1.33/kg. Prime steers also eased, with most trading at $2.63-$2.69/kg, though one line of Devon reached $2.78/kg.

12863-1

Hereford, 157kg, making $550, $3.50/kg, and Angus-Friesian, 164kg, earned $610. HerefordFriesian, 182kg, managed $670, while 143-145kg lines eased on recent levels to $615-$620, albeit still for a solid $4.24-$4.34/kg. Friesian bulls, 178-214kg, eased to $540-$640, while 152-170kg were steady at $545-$610, and 144kg, $510-$530. In a quality yarding of just under 960 cattle last Wednesday R2 steers strengthened for the majority with Hereford-cross, 376-391kg, earning $2.75-$2.81/ kg, while 391-394kg realised $2.57-$2.63/kg, and 440-453kg, $2.62-$2.68/kg. Angus-Friesian, 405-420kg, were strong at $2.60$2.69/kg, while Hereford-Friesian strengthened with 341-428kg trading at $2.80-$2.95/kg. On the flip side heifers eased for most with Hereford-cross, 291369kg, at $2.27-$2.49/kg, and 370406kg dropped to $2.42-$2.61/kg. Hereford-Friesian lines continued this trend with most 275-387kg and earning $2.45-$2.57/kg, while 392-425kg fetched $2.54-$2.63/kg. R2 Friesian bulls managed healthy returns at $2.59-$2.60/kg. Autumn-born one-year Hereford-Friesian steers, 220277kg, sold well at $3.03-$3.32/kg, and two lines of eight HerefordFriesian and Hereford-Jersey heifers of the same age and 208kg made $2.79/kg and $2.76/kg respectively. In the weaner pens Hereford-Friesian continued to be chased and steers, 195kg, fetched $650, $3.33/kg and heifers, 131-168kg, earned $405$500, $3.09-$2.98/kg. The prime market eased, with beef bred prime steers, 515-598kg, softening to $2.52-$2.65/kg, as did dairycross, 480-645kg, $2.50-$2.63/kg. Hereford-Friesian heifers, 422520kg, were also back at $2.59$2.67/kg, and Friesian boner cows, 473-657kg, were discounted to $1.68-$1.77/kg.

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$850-$915, $4.32-$4.36/kg, with 175-195kg very close behind at $805-$890, $4.50-$4.60/kg. Angus-Hereford and Angus-cross followed a similar pattern. A bigger exotic steer section did not have the punch of last year and Charolais-cross, 275-310kg, were the only lines to exceed $1000. Most traded at $770-$940. Last year’s top Hereford bull price of $1390 far exceeded this year’s $1220, and those around 205kg sold for $960, compared to $1020 last year. It took a 310kg Angus line at $1110 to match the price for a 240kg last year, but overall Angus prices were very solid with 255-290kg trading at $950-$1155. On WednesdayAngus heifers came back $120-$165 for comparable lines at the 2017 fair, with the heavier lines taking the biggest fall. Across the whole fair there were only a few lighter lines that exceeded $4.00/kg whereas last year almost all lines 215kg and under sold above that level, with lighter lines pushing past $5.00/ kg. Like the steers though the market sat above 2016 levels, and once it was established vendors were prepared to meet it. There was a slightly heavier segment to the Angus pens this year with 255kg making $815-$820, while 240-250kg dropped to $725-$775. A number of lines at 220-230kg earned $750-$860 for variable $/ kg, while 160-205kg realised $630$715, with the lighter end making $3.91-$3.94/kg. Angus & AngusHereford prices were similar to the straight Angus, while Anguscross generally traded at a slight discount. Heavy Charolais-cross, 255-285kg, sold for $815-$900, which was the same price range for 180-220kg in 2017. Those 240kg came back $120-$155 to trade at $800. HAWKE’S BAY HAWKE’S BAY WAIROA finished off the week of East Coast weaner fairs last Thursday with a big yarding of 1600. Top end steers were well supported and Angus exceeded last year’s top price of $1025 by $45, but there were fewer lines that sold in a $960-$1070 range. Medium calves were good buying with most trading at $792-$890. Angus-cross tallies were much higher this year and better types sold for $835-$1000, with the balance earning $600-$805. Exotic steers sold at reduced levels, with just one standout line of South Devon exceeding $1000 at $1115. Heifers sold at relatively cheap levels to last year and earlier sales in the North Island, as the bulk traded at $585-$685. Heavy exotic did sell up to $695-$730, but the top price was the lowest at last year’s fair, where most sold for $765-$935. Two lines of Charolais heifers were passed in, as were a handful of steers. MANAWATU MANAWATU The prime sale at FEILDING last Monday was back to business as numbers swelled in all sections. A leap in cull dairy cow numbers attributed to most of the increase in cattle volume, and with the extra cattle came more outside interest. Prices eased in line with schedules and are now trading below last year’s levels for all weights. Better yielding types across 427-603kg fetched

Markets

$1.76-$1.80/kg, with the next tier dropping to $1.59-$1.69/kg. Very light lines of Friesian made $1.41$1.46/kg, which was also common ground for Jersey. Boner heifer numbers were low and while some lines exceeded $2.00/kg the majority were under. In keeping with the dairy theme most bulls were Jersey and 336-350kg made $1.85-$1.87/kg, and a better line up to $2.25/kg. Actual prime cattle were very much in the minority, and the highlight was HerefordFriesian heifers which traded at $2.52-$2.68/kg. A solid yarding of nearly 4500 prime lambs greeted sale goers and there was no slow up in prices despite the extra number. Straight ewe lambs were noted for their absence though there was a good number through the mixed sex pens. The market was firm and very heavy male and mixed sex lines reached $150-$160. $120 was the cheapest lamb in the bigger pens, and most traded at $135$159. The ewe section almost doubled in size and featured respectable sized lines. The steady run continued with medium and medium-good lines making $87$105, and most of the better ewes, $116-$137. Charolais-Friesian calves featured in the 270 head yarding as bulls made $385-$405 and heifers, $340-$370. Good Friesian bulls held value at $290-$335, though medium types eased to $200-$250. Good HerefordFriesian returned $370-$470, and medium, $250-$300, while heifers of same breeding made $260-$340 for the better types and $140-$190 for the remainder. The market fell across the board the latest FEILDING Weaner Fair. Big lines of the better quality Angus calves, 225-255kg made $905-$1010, while 185-215kg went for $780-$855. Once again lines with Angus-Hereford mixed in made a small discount, putting 215-245kg at $865-$915 and 245-285kg at $960-$1080. Exotic steers had an even weaker sale. Charolais-cross, 235-255kg, were $875-$930 and 195-235kg Devon-cross made $810-$870. Heifers actually had a half-decent sale considering how the steers sold. Angus, 225-245kg, made $800-$850 and 195-215kg were $675-$750. Bidders were more selective on lines with whitefaces which made $595-$750 for 175220kg. Other heifers were quite varied though some 210-265kg Charolais-cross were $730-$860. Two lines of 270-315kg Devoncross were the talking point of the bulls at $1190-$1360. Some other 180-185kg traditional bulls made $640-$685. It was a weaker day through the cattle section of the FEILDING store sale. A decent number of 525-670kg R3 traditional steers were bought at $2.85-$2.90/kg. These were the only R3 lines. Nearly all R2 steers soften to below $3.00/kg across all breeds and weights. Traditional steers, 430-520kg, were the strongest at $2.90-$3.20/kg. Some 440-555kg exotic steers were at $3.00-$3.05/ kg. Hereford-Friesians, 385485kg, were $2.65-$2.80/kg. Only a few R2 heifer lines had decent numbers to them, and these sold to a premium on the rest. All of these bigger lines were 320-425kg traditional and exotic types which

FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018 made $2.70-$2.80/kg. R2 Friesian bulls stayed fairly unpopular, only making $2.55-$2.65/kg for 415480kg lines. A few 160-180kg Friesian bulls were $660-$715, while 160-200kg Hereford-Friesian heifers made $490-$530. Around 19,000 lambs went under the hammer to another enthusiastic crowd of buyers. With that said there was some minor easing across the sale, mainly through the longer-term types. Heavy male lambs were generally steady week-on-week at $126$141. Other good males were $116-$124.50, with the mediums making $107-$112. Three heavy ram lamb lines sold at $130-$135. Buyers held back on the ewe lambs though. Heavy ewe lambs were $116.50-$121.50, good lines made $106.5-$113, while the remainders usually went for $93$106. A few lines of decent 5-year and older ewes were bought for $123-$135. CANTERBURY CANTERBURY A busy day at COALGATE last Thursday had nearly 4700 sheep and 700 cattle on the books. A big feature of the 3000 head store lamb section was a consignment of blackface lambs from Rakaia Gorge. Tidy lambs sold well, though the offering did have a larger lighter end with more trading under $100. The market was firm and male lambs made $108-$118, with most ewe lambs trading at $90-$119. The very top mixed sex managed $122-$126.50, with most of the balance earning $101-$118.A line of 60 in-lamb ewes sold well at $184. No prime lambs sold below $115, with the majority trading at $120-$149. The cheapest prime ewes were $92. Just one line cracked the $200 mark. The biggest portion were good types at $150-$159, with medium-good coming in at $120-$136. Prime and boner cattle outnumbered the stores, though both sections had more than 300 head. Heavy prime cows managed prices of $2.02-$2.10/kg, with a few other lines making $1.75$1.95/kg, but the market dropped away quickly for boners. The lion’s share traded at $1.58-$1.66/kg for 506-551kg, or $1.44-$1.55/kg for 453-497kg. Dairy heifers also followed suit, with most earning $1.45-$1.65/kg. Prime steers, 619-695kg, achieved $2.72-$2.81/ kg, while the next cut at 532-606kg returned $2.67-$2.75/kg. Second cut beef heifers sold for $2.44$2.63/kg. Over a third of the store section were R2 steers, with most of the balance made up of R2 heifers and weaner bulls. Premiums were paid for quality and buyers were treated to some nice lines of R2 Angus steers. Those 394444kg traded at $3.06-$3.11/kg, while a nice line of 475kg AngusHereford sold for $1440, $3.03/ kg. Quality was mixed for the rest of the section and buyers were selectively bidding, with Hereford-Friesian, 439-455kg, managing just $2.67-$2.68/kg. Hereford-cross cattle featured in the heifer pens and prices reflected limited quality and interest. The top HerefordFriesian, 415kg, made $2.72/kg, though other lines, 392-400kg,

sold for $2.37-$2.59/kg. One line of Friesian bulls, 339kg, made $2.74/kg. Weaners included Hereford-Friesian bulls, 239kg, $700, and Friesian, 181-199kg, $510-$570. Mixed sex Hereford sold for $330-$500. At CANTERBURY PARK last Tuesday prices rose by $2 a head average. Some weight ranges lifted by larger amounts and the average price over the sale was $100. A handful of male lines were chased, and the highlight was 100 good ram lambs which sold for $113. A reasonable yarding of ewe lambs also met keen interest, particularly the long term options which lifted to $95-$98, while medium-good sold for a solid $100-$104. Most of the action though was reserved for the mixed sex pens. They sold to $103-$114, with medium-good types firm at $86-$105. Longer term mixed sex made $70-$98. The quiet week in the prime lamb pens was made up for with a big yarding of 1330. The market didn’t budge though, holding strong levels of $110$158. Prime ewes continued a solid run and prices firmed $2-$3. The best of the bunch sold to $190-$225, with good and heavy ewes returning $146-$186. A decent number were mediumgood and sold for $124-$143, and lighter types earned $84-$121. Prime steers and heifers made up the bulk of the yarding though no pens housed more than 10 head. There looked to be no preference to breed as all better yielding lines of steers traded at $2.72-$2.84/kg, though a line of two Charolais did manage $2.88/ kg. The mentioned range covered all of the straight beef cattle, while store type Hereford-Friesian, 383470kg, made $2.60-$2.73/kg. One Charolais heifer also managed $2.83/kg, while again a blanket could be thrown over the better lines which eased to $2.66-$2.77/ kg. Hereford-Friesian, 385-415kg, were discounted to $2.55-$2.61/ kg. Friesian heifers came forward in relatively high numbers though prices were variable. Prime types, 497kg, achieved $2.40/kg, though all other boner lines made $1.30$1.70/kg. Angus cows, 485-560kg, returned $1.87-$1.95/kg, and Friesian-cross, 469kg, $1.62/kg. Prices softened at the second CANTERBURY PARK calf sale. Unlike last time there was next to zero difference between the straight Angus and AngusHereford types. Angus steers, 255-275kg, were $1020$1105, while 215-245kg made $880-$980. Angus-Hereford’s, 205-240kg, were at $870$945. Speckle Park calves continue to be well sought after at $980-$1010 for 230255kg. Charolais-cross and Limousin-cross, 215-255kg, were the preferred of the exotics, generally $895-$1035 for 215-255kg. Big numbers of 190-215kg Stabiliser steer calves were harder to sell at $765-$830. It was a day to forget on the heifers. Angus, 225-240kg were $810-$900, dropping to $670-$830 for 190-210kg. The 195-230kg Angus-Hereford’s made $720-$820. Two lines of 200-235kg Speckle Park’s were $865-$1010, while 200230kg Charolais-cross did as

well as the better traditional types at $800-$900. Stabilizer’s were again subdued at $615-$715 for 155-205kg. SOUTH CANTERBURY SOUTH CANTERBURY The TEMUKA calf sale was solid as a whole but steers couldn’t match earlier results. Traditional steers, 235-275kg, mainly made $1000-$1095 while 195-230kg were $880-$985. A few 290340kg steers made $1150-$1260. Heifers easily met or exceeded expectations. Straight Angus lines were was popular as ever, putting 190-235kg at $840-$930 and 165-190kg at $760-$790. AngusHereford and Hereford heifers had a more regular level of interest through them. These were $895$990 for 225-270kg and $800-$860 for 200-215kg. A consignment of 235-270kg Hereford bulls were in demand from dairy farmers at $1180-$1360. On Monday at TEMUKA 8000 sheep produced mostly positive results through all weight ranges. The only exception was good mixed sex, which came back to $95-$110, putting them at similar per head range to medium types at $95-$106. Lighter mixed sex traded over a tight range of $86$101. A consignment of Romney cryptorchid lambs had a keen following and medium-good lines pushed to $108-$112, while lighter sorts fetched $94. Good ewe lambs sold for $105-$110, and a line of 400 head medium-good, $104. A consignment of good Romney breeding ewes fitted in the prime ewe budgets and sold for $128-$140. Prime lambs were consistent at $112-$158 and ewes firm on last week. Top ewes sold to $194$252, with the bulk of the trading happening at $100-$149. Better rams made $110-$132, with lesser sorts at $80-$104. A handful of wethers managed $212-$230. In the boner cow section a further 5c/kg was taken off the previous week’s prices across all weights. A few exceptional lines managed to sell to $1.88-$1.97/ kg, but the lion’s share traded at $1.74-$1.84/kg, with second cuts earning $1.60-$1.73/kg. Boner heifer numbers were reasonably low and prices variable. Those 406-410kg sold for $1.80-$1.88/ kg, though other lines at 424434kg sold up to $2.43-$2.45/ kg. Prime cows moved in the

opposite direction to their dairy counterparts, helped by a big yarding of Angus, and to a lesser degree Hereford. Both came in at 581-772kg and sold for $2.00-$2.10/kg. Virtually nothing separated beef steer, heifer and bull prices with all trading in the vicinity of $2.65-$2.76/kg. Friesian, 618-663kg, sold for $2.61-$2.65/kg. SOUTHLAND SOUTHLAND The LORNEVILLE sale last Tuesday was another reasonably busy affair, particularly in the cattle pens. The store lamb market ticked off another solid week, with prices firm as good lambs made $100$115, medium $85-$95 and light, $70-$82. Tail end lines sold for $50-$60. Heavy prime lambs eased slightly to $140-$170, but medium and light types gained $5 per head to trade at $125-$139 and $110$120. A line of mixed age ewes, run-with-ram, returned $140. The ewe market eased across the board and heavy lines sold to $124-$144, medium $90-$120, and light, $61-$80, with lesser lines at $15-$40. A wide spread of prices in the 2-tooth pens had the heavy lines match the older ewes, while medium types made $81-$100 and light, $30-$70. Rams sold for $88-$110. Cattle offloading continued with decent numbers in both the prime and store pens. The only beef cattle of note in the prime pens was steers, 500kg plus, which firmed to $2.47-$2.52/kg. The balance of the yarding was dairy, and heifers, 370-410kg, firmed to $1.75-$1.90/kg, while 330-370kg returned $1.60-$1.75/ kg. Good dairy cows, 470kg plus, maintained levels of $1.70-$1.80/ kg, while 400-470kg lifted 10c/kg to $1.60-$1.70/kg. Lighter types, 330-340kg, also improved slightly to $1.40-$1.60/kg. Quality was sought after in the store section and R2 Herefordcross steers, 445kg, fetched $2.47/kg, while Simmental-cross, 420-450kg, earned $2.54-$2.57/ kg. Friesian, 370-420kg, returned $2.32-$2.38/kg, and beef-cross heifers, 350-370kg, made $2.00$2.11/kg. In the weaner pens Herefordcross bulls, 150-170kg made $500$600, and heifers, 130-150kg, $400-$420.

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100

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Markets

48 FARMERS WEEKLY – farmersweekly.co.nz – April 16, 2018 NI SLAUGHTER STEER

SI SLAUGHTER COW

NI SLAUGHTER LAMB

($/KG)

MEDIUM-GOOD EWE LAMBS AT STORTFORD LODGE

($/KG)

($/HD)

5.35

4.00

7.20

112

$1010-$1175 high $990-$1195 240lights Angus steers, 250-280kg, Angus-Hereford, 275kg, at Temuka Western at Matawhero Weaner Steer Fair

Milk price risks have moderated Hugh Stringleman hugh.stringleman@nzx.com

AIRY farmers budgeting for next season will be interested in a milk price forecast of $6.10/kg milksolids from the BNZ Economics Research group and in the details of its workings leading to upside and downside scenarios. Senior economist Doug Steel wrote in his April Rural Wrap that global dairy prices are expected to drift lower in 2018 but the downside risks had moderated with a strong Euro currency, higher oil prices and robust dairy product demand. A significant assumption in Steel’s forecast was that whole milk powder prices would remain in the band of US$2900 to $3300/tonne for the next 12 months. They sit at $3200 on the NZX Dairy Derivatives market for WMP futures and the latest Global Dairy Trade auction outcome included a $3278 average for WMP. If WMP prices were to persist at those levels the BNZ model generated $6.70/kg as an indicative milk price. That possibility is quite attractive considering WMP prices have remained relatively stable over the past year and have therefore led to a season of low movements in Fonterra’s farmgate milk price forecast. That 35c range ($6.40 to $6.75) was the tightest forecast range in the past 10 seasons, during which

RANGE: BNZ senior economist Doug Steel predicts a milk price of $6.10/kg MS next season with scenarios ranging from $5.50 to $7.20.

In the not too distant past we have seen WMP prices double or halve in a 12-month period. Doug Steel BNZ Fonterra hammered the word “volatility” as a warning to farmers. The BNZ downside scenario assumed WMP prices about

$2700 for an indicative milk price of $5.50. Among the downside factors were increased European Union milk production and reduced intervention, a low Euro, higher milk production in the United States, slower global economic growth stemming from trade disputes, lower growth in China denting dairy demand, and lower oil prices. The upside scenario using $3700 for WMP produced a milk price indication of $7.20. Steel’s upside factors were some combination of moderating milk supply in

EU and US, stronger Chinese demand, further higher oil prices, a weather event in a major milk producing area and higher international grain prices. The scenarios leading to higher and lower milk prices might seem unlikely given the relative stability in recent times but Steel reminded farmers of the large, rapid swings in WMP prices in history. “In the not too distant past we have seen WMP prices double or halve in a 12-month period. “It would be foolish to think that volatility could not return. “But it is important to recognise that global supply seems more able to respond if and when price pressure occurs, helping reduce price variation. “The farmgate milk price is very difficult to forecast. “This stems from the nature of the international dairy market including the inherent biological and system supply lag times to respond to price changes, a diverse set of demand drivers across the globe, relatively little product traded across borders but big domestic milk markets around the world, weather risks and political and trade access risk, all of which is then overlaid with the vagaries of currency markets.” For Fonterra farmers, BNZ also forecast 30c/share dividend this season, giving a total payout of $6.85/kg and a return to 40c next season. Fonterra was expected to make its first 2018-19 forecast in late May.

Section Calf Sale

Firm outlook for short term DAIRY commodity prices have actually strengthened so far this year despite some small declines at recent Global Dairy Trade (GDT) events. Growth recently has been largely in Amy Castleton whole milk powder and butter. AgriHQ Analyst Prices are expected to stay fairly firm in the short term, softening as we head into the 2018-19 dairy season. NZ processors are pretty well sold up for this season, leaving it a bit of a sellers’ market for any product left. It’s unlikely there will suddenly be any extra product available from New Zealand. The AgriHQ forecast is for NZ milk production to finish the season down 1.5% on last season, with milk over the final three months to track behind last year. Commodity prices are expected to ease as NZ starts selling for next season but that is a while away. Focus at this time of year is usually on the northern hemisphere. European milk production hasn’t ramped up as quickly as expected though it is still growing. The region has been affected by cold conditions heading into spring. A strong peak is still expected but in the meantime the lower than expected milk supply is keeping prices up, particularly for butter. Milk production is very strong in the United States. But the domestic market is active, with plenty of buying and selling occurring, keeping prices buoyant there too. If commodity prices hold as indicated, Fonterra’s $6.55 a kilogram of milksoldids farmgate milk price forecast should be achievable. The AgriHQ forecast is $6.30/ kg MS – quite some way behind Fonterra’s forecast. However, Fonterra has likely sold product at higher prices than indicated by GDT, which have not been taken into account in the AgriHQ forecast. amy.castleton@nzx.com

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