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Farming to end? F
Right now to meet freshwater mandate it would be a social and economic Armageddon.
Annette Scott annette.scott@nzx.com
ARMING will have to shut down in Canterbury’s Selwyn district to meet national water quality standards for the region’s polluted Lake Ellesmere, Environment Canterbury has told the Government. In a business case analysis provided to the Ministry for the Environment, ECan outlined significant fundamental change needed to bring the lake, one of New Zealand’s most polluted, into line. “On the current basis to achieve Government freshwater outcomes as mandated it would mean taking all intensive agriculture, not just dairy, out of the play,” ECan councillor and Selwyn district farmer John Sunckell said. “Low intensity farming could survive but that would be like the equivalent of half a sheep to the hectare on the upper plains,” he said. Lake Ellesmere, being an open lake, was a “totally different beast”, Sunckell said and needed to be accounted as such under proposed water quality standards. “It’s not possible in a lifetime – maybe in two to three generations we might get close to it.” ECan had advised the Government of the impracticality of meeting current standards and the resulting impact on the region. Wiping out intensive farming would result in a $300 million annual loss in the district’s
Lynda Murchison Federated Farmers
FARMING’S DEMISE: John Sunckell says low intensity farming could survive but it would be the equivalent of half a sheep to the hectare on the upper plains. Photo: Annette Scott
operating surplus that would drastically impact on its economic and social fabric. There would effectively be no irrigation or intensive land use in the catchment – such large scale effective retirement of intensive land had not been experienced in New Zealand on any scale and the implications would be far reaching, ECan said. Potentially there would be a reduction in employment, bankruptcies and depopulation. “The bottom line is to achieve government’s intended outcome it would wipe all intensive agriculture out of the region,
totally devastating the economic and social wellbeing of the whole Selwyn district,” Sunckell said. North Canterbury Federated Farmers president Lynda Murchison said the SelwynWaihora water management committee had done a lot of work and assessments to get Lake Ellesmere to a realistic Trophic Level Index (TLI), the measure used for overall lake health. The business case analysis reflected the initial information provided to the SelwynWaihora zone committee when the business plan was being developed.
While some had wanted it set at three to four, Murchison said 6.6 was more realistic to achieve. The higher the TLI the greater the nutrient load. Lake Ellesmere had a TLI of about 6.3 with the proposed standard requiring a score of 5. “The problem with all of this is that one boot does not fit all types,” Murchison said. Lake Ellesmere was coastal hapua, bottom of catchment and had always been nutrient rich. “There is an issue of whether the national standards for lakes is appropriate for coastal hapua.” Murchison said the second issue
was around what was now and what would be. “You can only ever do what you know – the science is rocketing around nutrients and in 10-15 years from now nitrate loss from farming may no longer be the issue it is now.” Murchison said based on what it knew, ECan had applied for the lake to be excluded from national standards because of the scale of the pollution and the fact it was coastal hapua. “Right now to meet freshwater mandate it would be a social and economic Armageddon. “It’s taken 160 years to get the lake to its current status. “You can’t expect an overnight fix. “It’s a long haul game and meantime people shouldn’t despair that this will be the situation forever,” Murchison said.
MORE: CONSENT TO FARM WATER TAX REACTION FREE FARM PLANS HEALTHY RIVERS EDITORIAL CARTOON
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NEWS
NEWSMAKER
Soil Moisture Anomaly (mm) at 9am August 11, 2017
22 Free-traders drop the ball
60 Wetter than
Complacency among free trade supporters allowed those advocating protectionist and isolationist policies to dominate the agenda, according to business leader Phil O’Reilly. But all is not lost and Japan has become the latest convert to the free-trade religion.
normal (mm)
40
20
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NEW THINKING
8 Beltex lambs hit the ground The first lamb has hit the ground marking the beginning of an exciting new meat breed for the New Zealand sheep industry.
12 Free green plans for dairy
farmers
As Fonterra expands its environmental initiatives in key dairying regions, its farmer shareholders can have Farm Environment Plans completed by the company at no charge to help meet regional council freshwater standards.
16 Get in quick for gain
supplies
Better than average 2017 harvest results have boosted optimism for arable farmers looking for better times ahead.
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23 Technology, data lead way
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A huge surge in volumes in coming years has Zespri leading the charge on technology to cope with the wave of SunGold fruit and ensure high standards are maintained.
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Drier than normal (mm)
27 Meaty Matters Putting more cows on the land is not the answer, our industry commentator Alan Barber says.
Editorial ������������������������������������������������������������������������� Cartoon �������������������������������������������������������������������������� Letters ���������������������������������������������������������������������������� Pulpit ����������������������������������������������������������������������������� Alternative View ������������������������������������������������������������ The Voice ����������������������������������������������������������������������� Meaty Matters ��������������������������������������������������������������� From the Ridge �������������������������������������������������������������
24 24 24 25 26 26 27 27
Map reading tips This map shows the difference or anomaly in soil moisture level at the date shown compared to the average, generated from more than 30 years of records held by NIWA.
Job
REGULARS
Search for M bovis goes national ����������������������������������� 7 Beltex lambs hit the ground �������������������������������������������� 8
MARKETS
Tax will cripple rural sector ��������������������������������������������� 5
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OPINION
Real Estate ����������������������������������������������� 28-32 Employment ������������������������������������������������� 33 Classifieds ����������������������������������������������������� 34 Livestock ������������������������������������������������������� 35
Labour to put a price on water ��������������������������������������� 4
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Ag needs a council and adviser ����������������������������������� 10 Foreign cash, workers not welcome ���������������������������� 11 Free green plans for dairy farmers ������������������������������ 12 Heat on Fonterra waterway plans ������������������������������� 13
of the
Week
Assistant general manager Peter Walsh and Associates – South Island livestock company and Peter Walsh and Associates Finance require an assistant general manager in Timaru. For more information and a full job description visit the Farmers Weekly jobs site farmersweeklyjobs.co.nz and click on Assistant General Manager category. To find all other agjobs click on All Categories. #agjobs at your fingertips.
Waimea water project challenged ������������������������������� 14
Contact us
Scheme spreads herringbone spurs ���������������������������� 15 Get in quick for grain supplies ������������������������������������ 16 Ravensdown sets rebate at $45/t ��������������������������������� 17 PGW expects farm catch-up boost ������������������������������ 18
40 Anzco joins China alliance
Zespri builds US market, wins ������������������������������������� 20
Anzco Foods has joined the New Zealand industry group providing marketing services in China.
‘Bullied” Govt blames farmers ������������������������������������� 21
Market Snapshot ����������������������������������������� 36
Editor: Bryan Gibson Twitter: farmersweeklynz Email: nzfarmersweekly@nzx.com Free phone: 0800 85 25 80 DDI: 06 323 1519
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News
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
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Labour proposes consent to farm Richard Rennie richard.rennie@nzx.com FARMERS and horticulturalists face the prospect of resource consents if they want to make a shift in land use under a Labour government. Buried in Labour’s water policy announcement was its intention to dump the National Policy Statement on Freshwater Management and replace it with a policy based on recommendations made by Environment Court judge David Sheppard in 2010. Sheppard’s recommendation was any increase in farming intensity including more livestock, irrigation or fertiliser would no longer be permitted under the Resource Management Act unless a resource consent was obtained. That suggestion was shelved by National when it instead opted for the policy statement on freshwater management now in play. Federated Farmers water spokesman Chris Allen said he was surprised to learn about the resource consent provision in Labour’s policy, which had less profile than the water royalty charges mooted. “But take that along with the water charges and they have just added another level of burden
and cost on producing food in this country. “It would seem the $18 cabbage will become more of a reality.” He also challenged the costs the consent conditions would bring. “This will require a significant increase in the number of people skilled to work in this area of consenting. “Even here just in Canterbury right now we cannot get enough of those people, let alone throughout NZ.” He said Labour’s water package taken in its entirety should have all New Zealanders concerned. “And it appears to be policy made on the fly. “We have just learned that some of the largest industrial water users, including soft drink bottlers, will not have to pay for their water.” For farmers in some parts of the country news they might require a resource consent to intensify their land use will not come as a surprise. If passed into law the Waikato’s Plan Change 1, or Healthy Rivers plan, effectively put a stop to all dairy conversions in that catchment. The plan required any land use change to more intensive farming activity to require a resource consent application.
GETTING TOUGHER: Labour’s water spokesman David Parker has confirmed the party’s policy will require farmers to get resource consent to increase farming inputs such as fertiliers or irrigation or to increase stock numbers.
Landowners need to be able to demonstrate a lower level of contaminant losses than the present land use exhibited, an unlikely outcome when intensifying. General consensus among policymakers and farmers in Waikato was the rule effectively
eliminates the ability for any further large-scale conversion from any existing land use to dairying in the region. Labour’s water spokesman David Parker had been increasingly involved in pushing the long-standing consent policy through, more recently under
the bow wave of Jacinda Adern’s growing popularity. “This will stop any material and significant shifts to increase livestock numbers and conversions, not only to intensive dairy operations but also to beef lots of the type we have seen in Hawke’s Bay,” Parker said. He was confident the move would see water quality nationally improve within five years. The party had been at pains in its policy announcement to reiterate the concerns raised by Parliamentary Commissioner for the Environment Dr Jan Wright in her 2013 report on land use and nutrient pollution. There she identified the decline in water quality being driven not only from more cows on each hectare of land but also from running cows on ever-increasing areas of land. But Labour had also identified beef feed lots and “spray and pray” practices also contributing to degradation. A resource management legal expert said the consent conditions would not come as any great surprise to many farmers in regions where such conditions were already in play or being mooted through regional plan changes.
NZ rebukes senior UK politician over sheep meat access Nigel Stirling nigel.g.stirling@gmail.com THE Government has officially rebuked its British counterpart over comments from a senior cabinet minister that suggested New Zealand’s sheep meat access to the United Kingdom could be watered down. NZ exporters are entitled to ship 228,000 tonnes of sheep meat to all 28 countries of
the European Union without incurring tariffs. But because the tariff-free quota also covered the United Kingdom it would have to be renegotiated after the UK left the EU in 2019. Britain’s International Trade Secretary Liam Fox – the most senior trade official in the British government – last month suggested the quota could be split between the UK and the
EU, based on recent trade volumes. “We’re saying to our trading partners we want to ensure that as we leave the EU there is no disruption to your trade (or) to your market access to UK. “As part of that we have to split up the quotas that we have a share as part of EU,” Fox said. Speaking at last week’s Red Meat Sector Conference in Dunedin former Trade
Minister Sir Lockwood Smith said splitting the quota would dilute NZ’s access and was not acceptable to the industry here. “We have got to watch that so carefully because our 228,000 tonnes gives us flexibility to put production into the UK or the EU … so it was a bit alarming to hear Liam Fox using some of that language.” Ministry of Foreign Affairs and
Trade trade negotiations head Clare Kelly told the conference NZ had officially responded to Fox’s comments. “We have responded to them immediately … saying obviously NZ doesn’t agree that is a way to proceed.” Kelly agreed splitting the quota would reduce flexibility for exporters and was potentially challengeable at the World Trade Organisation if it did occur.
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News
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Labour to put a price on water Richard Rennie richard.rennie@nzx.com LABOUR has raised the stakes in the water quality and ownership debate by proposing to ditch the Crown Irrigation Fund, charge a water royalty and broaden the standards defining swimmability. The announcement by Labour leader Jacinda Adern put National increasingly in the shade over past inaction on water pricing and controversial water standards announced in February. It also aligned Labour even closer to a potential Green-NZ First coalition, should it have to form a government with those parties. Both the Greens and NZ First had already proposed water charging as part of their policy statements on the resource. In releasing its election policy on freshwater Labour leader Jacinda Adern laid down the water charges as a key plank, labelling them a “royalty” on the commercial consumption of water that would assist with the cost of keeping it clean. Still light on detail until after the election when Adern proposed a water summit, the royalty charge would be flexible in value to reflect the scarcity or abundance
in different regions, its quality and its ultimate use. “I will not set a rate until I have met with those who will be affected. This is an issue that we must tackle together,” she said. No decision on how much horticulturalists and pastoral farmers would pay would be made until she had sat down and discussed the issue.
I will not set a rate until I have met with those who will be affected. This is an issue that we must tackle together. Jacinda Adern The amount would vary depending not only on the catchment but whether the water was to be bottled for export or used for food production. However, Labour’s water spokesman David Parker indicated irrigators might face charges of about 1c a cubic metre and the charge could cost $500 million.
Labour’s freshwater plans also included goals to lift freshwater quality within five years, claiming to reverse the damage done to freshwater within a generation. Riparian protection and fencing schemes would be manned through the party’s Ready for Work policy, employing young people on the dole. The riparian planting areas would also become eligible for carbon credits under the Emissions Trading Scheme. Recognising the implications for water charges and Maori claims to the money, Adern said Labour intended to work with iwi to resolve Treaty of Waitangi water claims. In defining swimmability of waterways Labour had also lifted the standards and parameters National was accused of lowering earlier this year when it released its freshwater policy. Those standards effectively doubled E coli limits. Nitrate levels were set at almost 10 times the levels defined as a maximum by the Australia-NZ guidelines for fresh and marine water quality. Despite Environment Minister Nick Smith claiming the standards made rivers more swimmable, a NIWA report in May proved the
GUESS WHAT: Labour leader Jacinda Adern won’t put a price on water for farming till she had held talks after the election.
standards were less stringent than the ones they replaced. Labour’s decision to scrap the Crown Irrigation Fund followed through on a promise made three years ago when it described the fund as “privatisation of freshwater by stealth”. “This is also a fund that has been under-utilised because the economics of the proposed schemes simply do not stack up.
In the future such schemes will have to stand on their own feet,” Parker said. Choose Freshwater campaign leader and agricultural scientist Marnie Prickett said she was encouraged by Labour’s new standards that not only focused on E coli and nitrogen levels but also encompassed a broader range of parameters when defining swimmable.
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News
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Tax will cripple the rural sector Annette Scott annette.scott@nzx.com THE Labour Party’s proposed water tax will hit regional economies hard by picking on farmers and horticulturalists, industry sector groups say. Farmers were terrified by the potential impacts on farming families, rural communities and the entire economy, Federated Farmers water spokesman Chris Allen said. Figures bandied around would bankrupt farmers and cripple export competitiveness and regional economies. Federated Farmers challenged Labour to reveal its numbers. “Surely, at least they have a starting figure in mind to open negotiations with water users and to give voters a clue on the quantum of tax they envisage.” The federation was strongly opposed to a water royalty when it would essentially be an extra tax on electricity, food and exports. “If the problem is with bottled water, then let’s just fix that problem.
For a tax to work it must be applied to all sectors and not on the selected targets of officials and politicians. Chris Allen Federated Farmers “If we’re going to go wider, then for a tax to work it must be applied to all sectors and not on the selected targets of officials and politicians. Irrigation New Zealand chief executive Andrew Curtis said extra costs would be passed on to consumers, meaning higher prices for food, wine, beer and housing. “How could a water tax possibly be implemented in practice given the differences in weather and water use across the country? “It would be a hugely complex administrative nightmare,” Curtis said.
“The majority of irrigation is in the east coast areas, are these communities to be penalised because they live in an area with a drier climate that needs more irrigation?” It was also interesting to see that hyrdro-electric power users were to be excluded. “That’s hardly the fair and equitable approach Labour said it wanted to take.,” he said. DairyNZ chief executive Tim Mackle said future discussion around water use was inevitable and a necessary part of a broader conversation about the sustainability challenges NZ faced. “I expect a water round-table would build on the existing package of work being carried out under the dairy sectors’ Water Accord and the Ministry for the Environment’s Clean Water Package. “Environmental policy and economic policy are very closely linked. “The dairy sector is already looking at different farming practices and how to balance profitability and productivity with
5
MONEY TALKS: Economic and environmental policies are closely linked, DairyNZ chief executive Dr Tim Mackle says.
environmental outcomes as part of a climate change action plan. “We know that environmental sustainability isn’t an option, it’s a necessity,” Mackle said. But Horticulture NZ said “Let’s not do this.” “Extra costs on growers of fresh, healthy fruit and vegetables will make healthy food more expensive,” chief executive Mike Chapman said. “This seems incongruous with policies around alleviating poverty and the benefits of healthy eating to reduce the economic burden of secondary health issues as a result of obesity. “Horticulture NZ supports
sound, consistent water policy to support efficient use of water but we do not support a blanket tax without due consideration of NZ’s water priorities as a nation. “These priorities must include water for drinking, sanitation and food production,” Chapman said. New Zealand First Leader Winston Peters said a large vegetable grower estimated one cent a litre of water tax equated to a 300% increase in supermarket prices. “Potatoes could go from just under $3 a kilogram to just under $9 and the price of a single cabbage could soar from just under $6 to just under $18,” he said.
Farmer groups embrace sustainability funding Annette Scott annette.scott@nzx.com
FLAT OUT: Beef + Lamb New Zealand can’t keep up with the demand from farmers wanting to crack on with environmental improvement, chief executive Sam McIvor says.
THE $44 million given by the Government to support freshwater improvement projects was welcomed by sheep and beef farmers. Beef + Lamb New Zealand chief executive Sam McIvor said over the past two years the organisation had responded to farmer demand for support in the environment space. “Through this work we’ve identified that while farmers want to take action, knowing where to start and what to prioritise can be a barrier. “This Government funding is timely and will help us better support farmers to deliver on their water quality ambitions.” “It’s important we build collective ownership of what our environmental challenges are as a
sector and the actions farmers can take to address them. “We can’t meet the current demand from farmers wanting to crack on and get stuff done on their farms and in their catchments. “The injection of funding from the freshwater improvement fund will enable more work to be completed and on a greater scale,” McIvor said. Money to better protect waterways by measuring and managing nitrogen on cropping farms, was also welcomed by Horticulture NZ. Chief executive Mike Chapman said food consumers world-wide increasingly wanted information about the environmental impacts of the food supply chain, particularly when it came to healthy food like fresh fruit and vegetables. “Environmental sustainability
Complacency has led to farmers being threatened with punitive, politically-determined charges. David Seymour ACT is paramount as it relates to freshwater and the horticulture and cropping industries are very aware of this,” Chapman said. “So it is important to have funding to apply science and research to ensuring the best management practices for our growers. “Ultimately we are looking to give growers the tools to manage and reduce their environmental
footprint and long-term, robust data and science will allow us to do that. “For arable and vegetable cropping we are looking to minimise nutrient leaching and sediment run-off, preventing it from entering waterways,” Chapman said. National’s weakness and inaction on water had allowed Labour to fill a political void, whacking farmers and growers while they were at it, ACT leader David Seymour said. “National could have preempted Labour’s announcement with a water policy that protected both the environment and farmers. “Instead, their complacency has led to farmers being threatened with punitive, politicallydetermined charges that will flow on to consumers too,” Seymour said.
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Smarter farming for a better New Zealand
News
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
7
Search for M bovis goes national Annette Scott annette.scott@nzx.com THE search for Mycoplasma bovis will go nationwide this week in an effort to determine if the cattle disease is more widespread than South Canterbury. Notified for the first time in New Zealand last month on a South Canterbury farm, the infectious disease outbreak was the subject of a national incursion response. Farmers at a Primary Industries Ministry community meeting in Waimate on Thursday were told bulk milk testing of 200 tankers would start this week. While Fonterra was leading the charge for the bulk milk testing, at least one other milk company, not identified, would be part of the exercise. Response incident controller Eve Pleydell said it was important to find out if the disease was already occurring in other parts of the country. So MPI was working with regional veterinary laboratories, Massey University and animal industry bodies
to collect and analyse samples. They included milk from cows with mastitis, discarded milk and routine bulk milk samples.
There have been a lot of farmers feeling quite scared, just because of so much unknown, but with more information available we did come away feeling a lot happier. John Gregan Federated Farmers Pleydell said there had been no more confirmed positive test results and the situation remained at the two infected farms owned by the van Leeuwen dairy group at Morven. So far the first test results from seven other of the 16 van Leeuwen farms were negative.
“This is good news but due to the difficulties of diagnosing this disease, two further rounds of testing will be required on these farms before they can be declared free of the disease,” Pleydell said. The first test results for 11 of the 62 neighbouring farms were also negative. So far 33,000 samples had been taken from farms. “We expect testing to take two to three months,” Pleydell said. Nearly 200 farmers attended the Waimate meeting where they heard from eight MPI officials and a British veterinarian brought in to help. “We really did get some answers this time and that has certainly helped lower farmer anxiety levels,” South Canterbury Federated Farmers dairy vice-chairman John Gregan said. “There have been a lot of farmers feeling quite scared, just because of so much unknown but with the good line-up of speakers and more information available we did come away feeling a lot happier.”
CALM: Farmers’ anxiety levels have been lowered, Federated Farmers South Canterbury dairy vice-chairman John Gregan says.
Source of disease is still a mystery, MPI says Annette Scott annette.scott@nzx.com IMPORTED bovine semen has not been ruled out as the likely source of the cattle disease Mycoplasma bovis. While semen and embryos had been safely imported for many years, the Ministry for Primary Industries confirmed it was looking at semen as part of a wider investigation into the disease and how it might have arrived here. Investigations found no evidence imported semen was the vector but MPI had not ruled out any path. “MPI is carrying out a formal re-assessment of the risk posed
by semen,” a spokesman said. “Semen is generally recognised as a safely traded commodity internationally and has been for many years, provided agreed hygiene practices are followed.” But MPI confirmed what farmers feared – there was no requirement for testing of semen on arrival in New Zealand. While no risk could be fully eliminated, MPI believed the risks of M bovis transmission in semen remained “very small”. Sydney University director of bovine clinical service Associate Professor John House said the likely ways the cattle disease would have got to NZ were through semen and embryo imports and bringing in
contaminated equipment. Mycoplasma bovis did survive freezing, and for several years, House said. The owner of the infected South Canterbury farms, Aad van Leeuwen, said he did not use embryos but he did source AI straws from two import companies. Importer Cees van Baar said it was highly unlikely infected bulls would end up in a breeding centre. He was confident AI straws imported and sold in NZ by his Morrinsville-based company Samen met all biosecurity regulation. “All semen coming into the country are treated with
an internationally accepted cocktail mix of several antibiotics proven to be sufficient to kill any bacteria contamination in semen.” It would be impossible for untreated straws to make it to NZ, van Baar said. Livestock Improvement chief scientist Richard Spelman said M bovis could come through semen. CRV Ambreed managing director Angus Haslett said while transmission through semen was unlikely the possibility could not be ruled out. But if it had come through imported semen it would have come through several channels, not just one.
World Wide Sires NZ general manager Hank Lina said the company sold more than 19 million straws in 80 countries and over several decades had developed production and processing procedures that were among the most rigorous in the world. Its research showed no evidence of M bovis in any of its 1700 bulls. The company also used a range of antibiotics as a secondary line of defence against the disease Companies had been required to provide MPI with batch numbers and details of all imported bovine semen and potentially supplied to the van Leeuwen dairy group.
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News
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Beltex lambs hit the ground Annette Scott annette.scott@nzx.com THE first lamb has hit the ground marking the beginning of an exciting new meat breed for the New Zealand sheep industry. And for the partners in the venture it was almost more exciting than getting grandchildren. Beltex embryos imported from England were transferred to four-year-old Perendale ewes on Blair Gallagher’s Mid Canterbury foothills Rangiatea farm in March. The first of the lambs was born last week and first impressions were extremely encouraging. “The lambs are really healthy and robust, easy lambing and at just four days old the muscling is already showing out,” Gallagher said. “It’s almost more exciting than getting grandchildren,” Canterbury farm adviser John Tavendale said. “It’s been a long time coming and to see these lambs on the ground in NZ is just so exciting for the whole sheep industry.” Following 10 years of research and planning Beltex NZ partner and longtime Otago sheep genetics scientist Jock Allison finally got the breakthrough he was looking for late last year. Beltex NZ was established at the start of this year by Allison, Perendale stud breeder Gallagher, Tavendale and their families.
As the number of maternal ewes dropped in NZ it was increasingly important terminal sires maximised meat production, Gallagher said. The Beltex was clearly weaning much heavier lambs than any other breed in Britain. “And the discerning United Kingdom meat market was consistently realising a 15-20% premium in the market for Belgian Texel (Beltex) cross lambs.” The carcase quality had a lot to offer the NZ export industry and the passionate sheep industry entrepreneurs were keen to bring that benefit to NZ farmers and get NZ lamb kicking forward. The muscling in the sheep was impressive and the high-yielding lamb carcase had the Beltex continuing to grow in popularity as a terminal sire in the UK. The Beltex had the ability to increase the loin eye area in lamb by up to 50%. It had been 10 years since Tavendale was in touch with Allison to let him know he had a farmer, Gallagher, interested in importing the Beltex breed. At the time it wasn’t possible to source animals from the UK or Europe and the quarantine periods required, even if it was possible, were a minimum three years. To have an importation for less than $3 million was unlikely and the trio lost interest. But with the new opportunity in 2015 it was all go and the
FIRST BORN: Checking out New Zealand’s first Beltex lamb destined to command a premium as a leaner, shapelier and superior eating quality lamb were, from left, John Tavendale, Hamish and Blair Gallagher. Photo: Annette Scott
first of the UK Beltex embryos were collected in November and December 2016. And Beltex NZ was now lambing its first purebred Beltex lambs marking the start of an exciting new sheep breed in NZ, Gallagher said. Up to 60 lambs were expected this season. “We are on target for that and with just a dozen lambs so far we are about equal male and female so we are pretty happy.” Given the initial $600,000 investment involved the ewes and lambs were receiving some extra special care. “We are lambing them indoors, purely because of the investment. We are trying to eliminate all risk,” Gallagher said. Once they were a couple of days old and tagged, the ewes and lambs went out to pasture. In a pro-active approach to easy care all lambs were weighed and recorded at birth along with any relevant birthing data.
THE SOURCE: Sheep on Kevin and Rachel Buckle’s farm at Barras, Kirkby Stephen, in Cumbria in northwest England. The New Zealand venture leased ewes and rams from the Buckles.
“It’s pretty critical we know everything about these lambs as we select genetics going forward.” The purebreds born now would have their first public viewing at the Canterbury A&P show in November with the inaugural onfarm sale planned for next autumn. Confidence and enthusiasm in the new breed was such that before the first lambs had dropped Gallagher and Tavendale were in the UK last month selecting stock for their next embryo import. Stock were this time being used from five different flocks across England and southern Scotland. The ewes had gone into isolation now for blood testing with flushing scheduled for October in time for Beltex NZ’s August 2018 lambing. “The rams we have selected this time are not related to any ewes so we really have broadened our genetic base,” Gallagher said. The partners expected investment in their “second crack”
would be similar to the $600,000 initially invested. “We clearly wouldn’t be doing it if we were not adding value to the sheep meat industry in NZ,” Tavendale said. In addition to the purebred embryos Gallagher had 80 BeltexPerendale, Suffolk and Poll Dorsetcross lambs due to start arriving on August 20. The 1100 hectare Rangiatea sheep operation managed by Gallagher and his son Hamish, ran 4800 ewes, including 800 SIL recorded stud Perendales and 100 Cheviot ewes with 1600 ewe hoggets and 400 ram hoggets carried over the winter. Up to 450 beef cattle made up the overall farming operation with all stock fattened on farm. Gallagher has a self-confessed love for sheep farming. “I have always been passionate about breeding and improving bloodlines so, as you can imagine, for me this venture is pretty damn exciting.”
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10 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Ag needs council and adviser Hugh Stringleman hugh.stringleman@nzx.com THE Labour Party wants to create a Primary Industry Council and appoint a chief agricultural adviser when it becomes the Government, its Primary Industries spokesman Damien O’Connor says. The sector lacked co-ordination around a purpose for primary industries. “We believe there is a need for strategic thinkers to get alongside the industry-good bodies to develop a vision and strategy for the next 20 to 50 years.” Branding along the lines of the 100% Pure and the NZ Story was disjointed among various industries and the primary sector needed help to establish what it wanted, O’Connor said. Labour recognised that as participants in the global economy our primary sector businesses were undergoing profound disruption from all directions. “The scale and speed of disruption has far-reaching, unintended consequences which will require government to either step up now or step in later.” Unlike the current Government,
2017
election Labour would be prepared to intervene and make the necessary changes to policy and regulations to drive further innovation, achieve greater scale in the markets and generate higher export returns. “Government must lead a proactive, collaborative approach with the primary sector in order to ensure the sustainable utilisation of our natural environment for both economic and social wealth. “There is urgency for a new government to inject confidence and growth into the primary sector. “For this reason, Labour has developed a first 100 days programme for kick-starting the priorities within this policy. “Working with industry and communities to develop an overarching strategy and coordinated implementation plan
will help to measure progress towards our aims. “It will identify where we need further investment, ensure resources are properly targeted and help direct the government’s funding in the sector,” O’Connor said. Labour wanted to split biosecurity and food safety away from the Ministry for Primary Industries because of a lack of focus, expertise and passion for those functions in the muchenlarged MPI. An independent food safety authority would regulate, monitor and enforce food safety standards. An independent biosecurity authority should be sufficiently resourced and capable of maintaining a robust and effective border system. O’Connor said a rural proofing policy was needed to obligate all government departments to consider the impacts of their initiatives on rural communities. “Consideration would occur in Wellington, in advance, rather than rural organisations having to point out the inadequacies and impracticalities of new policies.” Finally, Labour would engage with rural health professionals to ensure adequate access to
emergency and acute treatment for all rural people. “Rural communities still lack services that urban people take for granted, like fast connectivity, emergency services and good roads.” Labour would clamp down on the tens of thousands of lowquality student visas that came with an automatic right to work. It acknowledged the need for provincial work visas, particularly during the harvest season and it began the Recognised Seasonal Employer scheme. “But we must have pathways to careers in all primary industries for young New Zealanders.” Labour and National agreed agriculture had to go into the Emissions Trading Scheme at some point but more research work was needed. “Keeping agriculture out while incurring commitments under international agreement is becoming less tenable.” O’Connor had previous ministerial experience in the fifth Labour government between 1999 and 2008, one of only three 2017 Labour candidates with that experience. While he had been primary industries spokesman for the past nine years, there were no
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HANDS ON: Labour is prepared to intervene in the primary sector to make regulatory and policy changes to drive innovation, its primary industries spokesman Damien O’Connor says.
guarantees he would become the minister in a Labour-led government, he said. He was the sitting MP in the West Coast-Tasman electorate, the only regional electorate held by Labour, and his National opponent would be list MP Maureen Pugh.
NEXT WEEK:
The state of the parties in rural and regional electorates.
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THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Foreign investment, workers not welcome 2017
election Hugh Stringleman hugh.stringleman@nzx.com NEW Zealand First will end the sale of farmland to foreign interests and introduce policies to ensure the retention of the farming sector in the ownership of NZ residents. That was at the core of the party and its beliefs, primary industries spokesman Richard Prosser said. Citizens of other countries who bought farms and stayed here to operate them were in a different category to absent owners, like overseas pension funds and Chinese listed companies. The party’s anti-foreign ownership stance also included control of processing companies like Silver Fern Farms, whereby further processing was moved offshore, taking with it profits and job opportunities, he said. The party was very keen on further processing primary products here instead of exporting them, such as seafood and wood products. “We need as a nation to extract maximum value from what we produce,” Prosser said. NZ First also made a pledge to fully resource biosecurity at airports and ports because inspection requirements were wholly inadequate and expenditure needed to be
multiplied many times. It also wanted to actively support exporters in gaining fair access to overseas markets and in growing and promoting value-added NZ-branded products. Prosser suggested a singledesk seller for red meat products though that would be a matter for consultation and consensus, not imposition. To assist all exporters, NZ First wanted a managed float control of the NZ dollar, in the same way Singapore did. The proper resourcing of government science and industry groups would ensure that research and development would provide the cutting edge over other countries for NZ primary industries. The party wanted adequate resourcing to provincial road and rail infrastructure, irrespective of the lower population densities, because those more remote people were the productive base of the economy. “For too long now the people who produce the wealth that pays for urban services don’t adequately share in those services,” Prosser said. It also wanted more recognition of vital rural infrastructure such as roads, schools, healthcare, cellphone coverage, reliable electricity supply and broadband. The party’s forestry policy was to maximise the returns through employment opportunities, training, ancillary and support industries, processing and manufacturing and export earnings. It would encourage the use of wood and wood products in building through Buy New
A great way to produce is needed FARMERS, growers and processors grow and produce great food and fibre but remaining world-class means not only producing great products but producing them in a great way, Green Party primary industries spokeswoman and list MP Eugenie Sage says. People wanted to know that what they were eating was safe, animals were treated well and the environment was looked after and they were prepared to pay a premium for that. “We must put sustainability first to ensure our primary sector thrives long term and can capture more value from the food and fibre we produce. “The Green Party will review the Resource Management Act, strengthen the rules around how we manage land and water to clean up our dirty rivers and protect the health of the rest. “Hard work by farmers has lifted the bar in terms of what business as usual looks like on
HERE TODAY: Climate change is not a distant threat, Green Party primary industries spokeswoman Eugenie Sage says.
farms these days but we need to do more.” Sage said New Zealand needed catchment-based water management in an effective regulatory framework that recognised the wide community interest in healthy rivers, lakes and aquifers. The Greens would put a
Let’s add that up again VOTE Primary Industries and Food Safety for 2017-18 contained about $45 million for the Government’s contribution to Primary Growth Partnerships. A report in the NZ Farmers Weekly of August 7 erroneously said the budgeted figure was $720m but that was the total planned expenditure, both Government and private contributions, for the life of PGPs over several years. The largest item in the current budget for primary industries and food safety was $217m for
biosecurity, followed by $215m for capital expenditure, including $137m in Crown Irrigation Investments. Food safety was budgeted at $125m, the development and implementation of policy advice (the Ministry for Primary Industries) $124m and $103m for forest management and wood production services, tuberculosis management and climate change research. The total budgeted expenditure was $991m, a 21% increase on the estimated actual spending in 2016-17 of $820m.
CENTRAL: Eliminating foreign investment in the primary sector is at the core of New Zealand First policy, its primary industries spokesman Richard Prosser says.
Zealand-made for Government procurement and other initiatives intended to maximise sustainability and returns. NZ First wanted to delay the imposition of any form of carbon tax or Emissions Trading Scheme on the country’s primary producers and processors until major trading partners implemented their own such measures. Prosser said the party’s much-lower immigration target would not result in shortages of seasonal labour for orchards because the overseas sources would be augmented with locals. Assistance would be given to out-of-work New Zealanders to follow the harvest cycle from north to south but they had to be willing and able to do the work. NZ First wanted water charges only on exporters and was totally opposed on any sort of volumetric charges on consented water uses.
charge on water bottlers, irrigators and other commercial water users with wide public discussion on the charging regime. The revenue raised would help improve how we managed land and water. Climate change was not some distant threat. It was happening now with more extreme weather such as the longer and more serious drought that wiped $1.4 billion off our economy in 2013, Sage said. “No farmer I’ve talked to wants their child to inherit a world with longer droughts and chronic water shortages, more frequent and intense storm events. “We must do our share to reduce emissions and the Greens will ensure that biological emissions from agriculture are part of the Emissions Trading System to help protect our climate.”
11
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12 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Free green plans for dairy farmers Richard Rennie richard.rennie@nzx.com
ON THE SPOT: Cambridge farmer Garry Reymer discusses his environment plan with Farm Source sustainable dairying adviser Anna-Lena Wright.
AS FONTERRA expands its environmental initiatives in key dairying regions, its farmer shareholders can have Farm Environment Plans completed by the company at no charge to help meet regional council freshwater standards. Early this month the co-operative announced plans to focus on 50 water catchments around the country working with councils, community groups and iwi to begin or expand existing initiatives to lift water quality. Its sustainable dairying general manager Charlotte Rutherford said the decision to offer the plans to suppliers was to help them get ready for
changes in regional catchment rules that were to be imposed relatively quickly. “All suppliers’ farms are already mapped in a geographical information system (GIS) database on a digital platform that enables us to work with farmers onfarm, identifying any environmental hot spots and nutrient loss areas that will require attention,” she said. The farm plan process was a relatively timeconsuming one, taking about half a day onfarm and a further day to formulate in the office. The cheapest offering for having plans done was about $3000, with plans typically costing $5000 to $7000 a farm. “But you can also get plans that are more complex due to the nature of the farm. “We have heard of one costing as much as $27,000 for a farm seeking consent to add on a drystock unit to the milking platform in Waikato.” Fonterra had recently been criticised for its supportive submission on the Healthy Rivers plan in Waikato that enabled farmers to hold the line on nitrogen losses unless they were in the top 25% of emitters. The high emitting farmers would be required to step down from that high level into the 75th and below level. Critics included the group Farmers for Positive Change.
We have heard of one costing as much as $27,000. Charlotte Rutherford Fonterra
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Chairman Rick Burke said the group viewed that as a “business as usual” approach for the majority of higher-emitting dairy farmers in the region. His group was advocating for a sub-catchment management approach, tailoring each subcatchment’s controls to its particular loss profile, whether nitrogen, phosphorous or sediment. But Rutherford said the Healthy Rivers plan change was only the first stage in an 80-year process to get Waikato waterways swimmable and fishable. “This first stage is very much about holding the line for many farmers as we gather more information on their losses. “Meantime, the worst nitrogen losers have to step down quickly. “All farmers also have to assess their farms for good management practices, identifying their contaminant losses and this is where the farm environment plans will be invaluable.” Providing free plans for Fonterra suppliers was a means of helping identify where those environmental hot spots lay in this early stage of the Healthy Rivers plan, she said. A sub-catchment approach appeared attractive but brought its own problems when determining what contaminants should get attention in each. “If, for example, you ignore nitrogen in some catchments, it means if one catchment is allowed to rise then it has to be reduced even further in another catchment to reduce it overall in the main stem of the river. “The problem could potentially become worse, not better.” Meanwhile, Fonterra was liaising with groups around the country to determine what waterways would be included in the 50 catchments it intended to help lift water quality in. “We do not intend to start something in a catchment that may already have a community or iwi group already doing something, but we can offer help where required.” The farm environment service would be available to Fonterra shareholders nationwide but she expected demand to be greatest in areas where regulation was coming, including Waikato, Southland and Canterbury.
farmersweekly.co.nz – August 14, 2017
13
Heat on Fonterra waterway plans Richard Rennie richard.rennie@nzx.com A WAIKATO farming group is taking Fonterra to task over the co-operative’s vision to restore 50 water catchments throughout New Zealand, accusing it of taking a “status quo” approach to dealing with nutrient loss and water quality in one of its largest catchment areas. Fonterra chief executive Theo Spierings announced the dairy company’s plans to achieve fresh water quality in partnerships at the annual meeting of the NZ Sustainable Business Council earlier this month (see Farmers Weekly, July 17). It would involve an expansion of its Living Waters partnership, presently between Fonterra and the Department of Conservation, to include input from local authorities and communities. But Rick Burke, chairman of Farmers for Positive Change (F4PC), said his group maintains the dairy giant is sending the wrong signals to its suppliers by supporting the grandparenting policy within the Waikato Regional Council’s Healthy Rivers, or Plan Change 1. If adopted, the plan change will enable the majority of farmers in that catchment to maintain existing levels of nitrogen losses, rather than reduce them. Under current proposals, the only farmers required to lower nitrogen losses would be those proven to fall in the top quartile of nitrogen losses in the catchment. The Waikato Healthy Rivers plan change proposal has already caused friction between typically low-nitrogen leaching drystock farmers, and the dairy sector with its higher levels of nitrogen losses. “Theo Spierings says we have to share responsibility and we have to be good stewards, which we agree with,” Burke said. “But in fact, both Fonterra and DairyNZ, through their submissions, are supporting a grandparenting approach to manage nitrogen that flies in the face of taking responsibility and being good stewards of the land. “If they don’t resubmit against grandparenting, they are only paying lip service to actually improving water quality.” Burke pointed to the Canterbury experience, where a failure to tighten nutrientloss standards several years ago had resulted in water quality becoming a human health issue since then. The situation has also led to farmers now having to deal with even tougher regulations like Plan Change 5 where they’re required to farm to tighter nutrient limits, which is now
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LIP SERVICE: Farmers for Positive Change chairman Rick Burke says Fonterra is sending the wrong signals to its suppliers by supporting the Waikato Regional Council’s Healthy Rivers plan change.
being challenged in the High Court. But a Fonterra spokesperson said the 50-catchment announcement and Waikato’s Plan Change 1 were separate activities and shouldn’t be confused. Burke, a one-time Ballance Farm Environment Award winner, said the group wanted to push Fonterra into considering a tailored sub-catchment approach across the country, where all farmers worked to a farm environment plan, taking responsibility for their particular contaminant loss. He said the group was mindful many farmers would need time to transition to work within their ecosystem health limits across the four contaminants. He emphasised the group’s concern was directed at Fonterra rather than its shareholders, a number of whom were members of the F4PC group. “Fonterra is actually doing a disservice to its shareholders by not supporting a more active approach to actually reducing nutrients, including nitrogen in waterways. “Leaving things as the status quo will not make a bit of difference to water quality in the Waikato, and only mean the next plan change in eight to 10 years will be that much more drastic to ensure that improvement actually happens, as is legally required under the Waikato River accord.” But the Fonterra spokesperson said the co-op was prepared to work with regional councils, iwi, community groups and other industry to determine what catchments would be restored, and what the goal was for each.
“Those catchment goals will vary according to what the issue may be, and what the community wants: removing sediment, reducing nutrients, making something swimmable, bringing back the whitebait, etc.” The sub-catchment approach to managing Waikato water quality in particular has been met with support from both Federated Farmers and Beef + Lamb NZ. Submissions to the Healthy Rivers plan numbered more than a 1000, with the bulk understood to be from drystock farmers supporting a subcatchment approach over the proposed set nitrogen limits. Fonterra’s submission on the Healthy Rivers plan change states the co-op remains supportive of nitrogen losses being managed by way of a numeric discharge limit known as a nitrogen reference point, with some flexibility on how that limit is complied with. Newly-appointed Federated Farmers dairy chairman and Waikato farmer Chris Lewis confirmed the federation had supported a sub-catchment approach to nutrient management in the region. “Because in some catchments it is not nitrogen that is the problem, it may be E. coli or sediment,” he said. “Like Rick’s group, we know to have clean water you need to focus on all contaminants, rather than focusing only on one.” But Lewis also said he would be loath to knock any organisation setting out to improve water quality, and believed Fonterra had further plans up its sleeve.
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14 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Waimea water project challenged The announcement this week of $7 million of freshwater restoration funding going into the proposed Waimea dam project has opponents redoubling their efforts to kill the project. Richard Rennie spoke to a landowner leading the charge against another polarising dam project in the provinces. GRAPE grower, cattle farmer and accountant Brian Halstead is concerned the proposed $82.5 million, 13.4m cubic metre Waimea dam in the Lee Valley exposes users and ratepayers to even greater financial risks than those underlying the $900m Ruataniwha proposal. After five years and $20m of research and application costs the Ruataniwha proposal in Central Hawke’s Bay remained in the air. Halstead represented a group of smaller irrigation users opposed to the project, the Waimea Irrigators and Water Users, consisting of about 15 landowners. His group had proposed an alternative that while capable of holding less than half the Waimea proposal, they said was more suited to the scheme’s intention to augment rather than replace other water sources. “What we have seen is the (Tasman District) Council, in their wisdom over the last four years, have produced some draconian plan changes that have shortened the odds in favour of rationing being employed in the district.” He maintained that mades the project a self-fulfilling necessity as irrigators were forced to turn to the project to meet their needs. Halstead maintained the council had put too much store on the Waimea River’s minimum allocatable flow of 1100litres/ second while reduced water takes were pushing irrigators to take a greater proportion of water through a dam source. Latest revisions in the council’s resource plan had grape growers like himself taking the biggest hit, with water allocations sliced back from 350 cubic meters a hectare a week to only 140/ha/week. An unofficial survey by pro dam group Waimea Irrigators
NOT NEEDED: Farmer and accountant Brian Halstead says the Waimea dam will provide insurance to three dairy farmers for a few weeks a year. Photo: Tim Cuff
Ltd indicated the project would attract the minimum requirement of 3000ha should it go ahead. The project’s total intended irrigation area was about 7500ha and included a council share to augment urban supply.
The dam is basically going to be a very expensive insurance scheme for 10-12 weeks of the year. Brian Halstead Farmer “But this district has a lot of lifestyle block owners and grape growers, neither of whom really need much water. The greatest portion of demand is coming from pipfruit growers who are diminishing in the district and from market gardeners.” Halstead suspected the scheme was the only one of its type intended to augment existing irrigation and rainfall supply and its conception in the early 2000s was driven by a bullish dairy sector at the time, which had since faded. “There are only three dairy
farmers left in the district now. The dam is basically going to be a very expensive insurance scheme for 10-12 weeks of the year.” Work by agricultural consultant and economist Peter Fraser put the cost of the water from the scheme at five times the national average of 14c a cubic metre, at nearer 60c a cubic metre. Halstead saw some concerning similarities between the Waimea project and Ruataniwha, including a council that was thinly divided over the validity of the project. “Only a month ago the mayor had to use his casting vote to push through the extra funding required for the project. I believe they are placed right on the cusp of this going ahead or not.” WIL viewed the community dam project as the best long-term and cost-effective supply to the region’s water supply shortages. The project had been an onagain/off-again proposal over almost 40 years since a 1979 study looking at building a major dam in the Wairoa Gorge to cover 7000ha. The latest version was intended to culminate in construction kicking off in 2012 amid rising cost concerns that pushed it out to $40m then ticking over $70m by late 2014. Halstead said Environment Minister Nick Smith had allocated $7 from the national freshwater improvement fund
to the dam project, despite the river not qualifying as a damaged waterway. “It appears to be funding for a project that is likely to do more damage in the future, hardly what
this fund was set up to do,” he said. The funds were intended to allow the dam to hold a 30% surplus to maintain the river’s ecologically sustainable flow.
Numbers man doesn’t see dam stacking up THE Waimea dam risks ending up being too small to be economic but too big for what is needed, agricultural economist and consultant Peter Fraser says. He supplied advice to the Waimea Irrigators and Water Users group that put the project’s water cost at nearly 60c a cubic metre, well up the cost list for existing and proposed water schemes around New Zealand. “This project would have been economic back when it was priced at about $20 million but certainly not at $80m plus.” For comparison the Opuha scheme that held 74m cubic metres cost $65m and based on an 8% return on capital cost about 8c a cubic metre. “And given the ongoing
increases in construction costs, we could be confident that final cost will be nearer $100m for the Waimea one which only holds 13.4m cumecs.” Fraser said given the project’s ongoing cost rises in the past 20 years it was lamentable there had been no off--ramp to ensure it could be called off once past a clearly economic point of no return. “You have a dam producing water that most farmers do not need and those that do only require it for a short period, depending on the weather given it is an augmentation scheme, not a sole source.” If the dam was being built to mitigate dry weather risk, a better approach might be to adapt land use to those conditions, not the other way around.
Dam supporters are adamant there is only one option Richard Rennie richard.rennie@nzx.com WAIMEA Irrigators Ltd project manager Natasha Berkett says the Waimea dam option remains the only plan on the table to deal with the region’s future water needs. She acknowledged the project’s costs had been rising since its
original conception and said determining any further cost increases on the project would be crystal ball gazing. However, there was also a $13 million contingency allowance in the $80m project for further increases. “We are working to a P95 standard that is where we are 95% certain about the cost of the project.”
She said the implications of the changes to the council’s resource plan and water take allowances were so severe the region did not have a do-nothing option. “The implications of the plan are so severe on water uses we would always need to look for options. “The effect on rural and urban users is significant.”
She said the cost overruns on the Lee Valley project were being considered now but other options were not being considered. “Something smaller may well serve some parts, like supply urban water, but will not supply the water for rural users. “They are only short-term solutions. This is a long-term, 100-year solution.”
She did not believe the project would result in greater dairying on the Waimea Plains, which now supported only three dairy farms. “We are more likely to see greater horticultural development, particularly hops, kiwifruit and apples go ahead as a result of having certainty around water supply.”
News
farmersweekly.co.nz – August 14, 2017
15
The
Unbeeten.
HARD AT IT: Workers press on with the Sheffield component of the Central Plains Water scheme, pictured in July in Canterbury. Photo: Godfrey Judd
Scheme spreads herringbone spurs THE physical profile of 21st century irrigation in central Canterbury bears an uncanny likeness to a herringbone dairy. The second stage of the $450m Central Plains Water scheme was being built, 15 years after the creation of the privately-owned entity behind it, the Central Plains Water Trust. The pipes reached from Hororata, near the foothills of the Southern Alps, to downcountry districts like Aylesbury and Kirwee. The irrigation started with a 2.5m-wide feeder and narrowed to 1.6m. By that point a network of lateral lines would spread in eight directions. “Think of it like a herringbone with a big backbone down the middle and the spurs out the side,” CPW chief executive Derek Crombie said. CPW’s likely contribution to a surge in dairying had been a recurrent theme for Crombie during his time in charge of the multi-year project. Crombie said the dairy downturn in the past couple of years hadn’t dented farmers’ enthusiasm for CPW shares. Improving milk prices and a lift in arable returns had helped uptake on Stage 2 toward 90% of the maximum allocation. At nearby Sheffield CPW was pumping water 80 metres up-slope from the Waimakariri River and from the Kowai River to an onfarm storage pond holding up to two million cubic metres. The design, storage capacity and cost of pumping was akin to the farmer-owned BarrhillChertsey scheme on the south bank of the Rakaia River, Crombie said. Every metre of upward
pumping cost more money. “You wouldn’t want to be pumping any more than 100.” CPW considered at least five sites for the reservoir. The main parameters were access to pumping from the Waimakariri, the cost of that pumping, vulnerability to an earthquake and confidence that “landowner issues were manageable.” Sheffield was set to be operating by the start of October, irrigating up to 4100ha. Only 5% of the shares (or a possible 200ha of irrigation) had not been sold, Crombie said. CPW had consent for up to 24 cumecs from the Waimakariri, though it used only a fraction of that. It would probably keep about 10 cumecs, which was all it needed considering demand for irrigation.
Think of it like a herringbone with a big backbone down the middle and the spurs out the side. Troya
Derek Crombie Central Plains Water “It’s very likely that at least half will be withdrawn.” As a commodity, the allocation would only be valuable to somebody wanting to build another scheme, Crombie said. Ngai Tahu also has a share of Waimakariri flow, which it used for its Eyrewell dairy and drystock farm conversions on the north bank of the river.
Sheffield in detail THE Sheffield scheme included a pump station and river intake at the top end of the scheme pumping up to two cubic metres a second of water from the Waimakariri River into a 2.15 million cubic metre storage pond on the corner of Cox’s Road and State Highway 73. In addition to that, gravityfed water was being supplied to the pond via the existing Selwyn District Council stockwater network from the Kowai River. From the storage pond, water would be reticulated via a network of pipes down the plains in a southeast direction delivering water to shareholder farms. In addition to irrigation water, the scheme would also provide a reliable supply of
Bangor
stock water to shareholders and ratepayers, where required by the council, yearround. CPW said providing stock water from the pipe network rather than the existing open channel system would enable the closure, with landowner consent, of a significant portion of the smaller lateral water races fed from the Kowai River. “This frees up water for irrigation use (albeit subject to more restrictive flow conditions) which would otherwise have been lost through ground infiltration and evaporation (between 70-95%).” No additional water over and above what is already consented from the Kowai River could be taken.
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News
16 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Get in quick for grain supplies Annette Scott annette.scott@nzx.com BETTER than average 2017 harvest results have boosted optimism for arable farmers looking to better times ahead. A wet harvest and a period of market uncertainty had challenged cropping farmers, but 2017 harvest yields coming in above average indicated a return to better fortunes for New Zealand’s 2700 arable farmers, Federated Farmers arable chairman Guy Wigley said. “Looking ahead, the industry can take heart from this year’s final yields. “The weather patterns were challenging but wheat yields were up 12% and barley 8% while both milling and feed oats each returned 10% increases,” Wigley said. There was also healthy interest from feed mills and those looking for animal feed. “This places the industry in good shape as preparation for the 2018 harvest gets under way.” Spring planting was expected to begin in North and Mid Canterbury over the next month and in September further south,
0076663
if sodden ground dried out. Most milling and feed wheat had been planted with only a third of barley sown. The Arable Industry Marketing Initiative (AIMI) survey indicated confidence was high for future sowing with predictions of a 13% increase for the 2018 harvest. The dairy industry revival was also a factor with arable farmers returning to staple crops to meet demand. While there was reasonable tonnage of feed barley still available Wigley said those in the market should be taking steps to secure grain before that surplus ran out. “If you want to secure quality domestically produced, traceable grain then get in contact with your arable farmer. “Current trends are suggesting there may soon be no uncommitted grain left in farm silos, especially in Southland, North Otago and the North Island,” Wigley said. AgriHQ grain analysts reported stocks of both feed wheat and barley had declined significantly over the past three months with traders and buyers struggling to get hold of any barley.
agrievents AWDT’s Escalator 2018 Applications for AWDT’s Escalator 2018, growing primary industry leaders, are now open. Applications close September 30, 2017 To apply: Admission to Escalator is by written application. Places are limited to 14 each year. For an application pack and more information please contact: www.awdt.org.nz/programmes/escalator/ Phone: 06 377 4560, Hannah@awdt.org.nz
THE latest maize hybrid trials data should help growers as the 2017-2018 planting season kicked off next month, Plant Breeding and Research Association (PBRA) general manager Thomas Chin said. The national maize performance trials, jointly run by PBRA and the Foundation for Arable Research, evaluated dozens of grain and silage hybrids on how they performed in different growing environments. This year’s report for the first time included results from multiple sites and seasons, meaning some hybrid results were presented as averages from three seasons and up to eight separate trials. The data collected this year
Thursday 17/08/2017 AWDT Understanding Your Farming Business Three full-day workshops and an evening graduation ceremony run over four months Venue: Hunterville Contact: anna@awdt.org.nz or 06 377 4560 Website: To register for the programme go to http://www.awdt.org.nz/programmes/understanding-yourfarming-business/ Wednesdays 23/08/2017, 20/09/2017, 18/10/2017 & 15/11/2017 AWDT Understanding Your Farming Business 3 full-day workshops and an evening graduation ceremony run over four months Venue: Moutere Hills Community Centre, Upper Moutere Contact: anna@awdt.org.nz Website: To register for the programme follow this link http://www.awdt.org.nz/programmes/understanding-yourfarming-business/
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Wednesdays 13/09/2017, 11/10/2017, 08/11/2017 & 06/12/2017 AWDT Understanding Your Farming Business 3 full-day workshops and an evening graduation ceremony run over four months Venue: Waverley Contact: anna@awdt.org.nz Website: To register for the programme follow this link http://www.awdt.org.nz/programmes/understanding-yourfarming-business/
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GOING FAST: The grain surplus won’t last long, Federated Farmers arable chairman Guy Wigley says.
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The dairy sector typically went more for barley than wheat and dairy farmers had been buying more feed in recent weeks with barley replacing maize in the North Island. Feed barley area was expected to total 52,220 hectares in the coming season, up 51% on that harvested in 2017. While that appeared to be a rather big jump, it was historically more in line with the area that was traditionally sown to barley. The Grain Insight report suggested barley was the backstop for many arable farmers and there didn’t seem to be many options for other crops so arable farmers would plant barley. With dairy farmers’ income set to improve this season, cropping farmers would feel more comfortable growing barley, reasonably confident they would be able to sell it. Meantime, global grain markets corrected over the past month with offshore wheat markets dropping to values not seen since June. A combination of improving weather and forecasts around the world had been the main influence on those markets.
CHECK: Farmers should make sure maize varieties offer consistent performance, industry leader Thomas Chin says.
should always be compared to the statistical averages for each region to ensure the variety that was of interest was consistent in its performance, Chin said. The 2017 maize silage harvest had an estimated total tonnage of 913,000 tonnes DM, which, because of lower yields, was down 7% compared to last season’s harvest. Annually about 70,000ha of maize was sown throughout the country, the top three maize production regions being Waikato, East Coast and the lower North Island.
MORE:
Results from the third-year maize trials can be read at www.far.org.nz
Wool market hopes for a lull in supply Alan Williams alan.williams@nzx.com THE crossbred wool market is pinning its hopes on a lull in supply after the pre-lamb shearing clip falls away in the next few weeks. That would give the market till late November to sell down the stockpile of this year’s unsold wool, PGG Wrightson South Island manager Dave Burridge said. Crossbred wool again struggled to sell at Thursday’s Christchurch auction. About 22% of was passed in. Good quality 37 micron wool sold at $3.25kg/ clean but poor quality offerings were as low at $2.30/kg, a long way below the breakeven level for farmers, he said. Vegetable matter in the wool was an issue at the lower end. The pre-lamb shear wool would be coming into the market for the next three to four weeks, adding to the stockpile pressure, but after that Burridge hoped the next 10 weeks or so would allow levels to be sold down before the new shearing season got fully under way. The difficulty was not just for wool going to auction but also for product further along the supply pipeline and looking for downstream buyers. The auction market operated in four clear micron brackets and was very, very strong at the fine end up to 22 microns, strong in the 22 to 30 mid-micron bracket, had some reasonable business in the 30 to 33 range popular with Chinese buyers for use in semi-worsted yarn and dreadful at the coarser end beyond that. “We need some innovation for other products for the wools that go into carpets and other interior textiles.” Fine wools sold strongly but supply was very limited. Highlights were 18 micron at $23.10/kg clean and 20 micron at $18.50/kg clean. A $12.23/kg clean price for 25.5 micron was also very good, slipping to $8.50/kg for 28 micron and $7.05/kg for 30 micron.
News
farmersweekly.co.nz – August 14, 2017
17
NO WORRIES: Fertiliser is in good supply and demand is soft, Ravensdown chief executive Greg Campbell says.
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Ravensdown rebate set at $45 a tonne RAVENSDOWN fertiliser shareholders will get a $25 a tonne cash rebate on purchases this month, taking the total for the year to $45 a tonne. The co-operative was paying out most of its operating profit of $51 million for the year ending May 31 but would still have positive earnings after the rebate and tax, chairman John Henderson said. After two strong years the group was able to set ambitious targets for the latest period in investment, increasing market share and bringing in new technology and had met them. The rebate on fertiliser purchases for fully-shared-up farmers was higher than last year’s $41 and followed several product price reductions during the year. The short-term outlook was for prices to remain favourable for farmers, with increasing world supply capacity and softer demand, chief executive Greg Campbell said. Sales volumes rose 2% but the price falls meant total revenues fell 5% to $627m. Ravensdown’s environmental consultancy business, which advised farmers on reducing their nutrient impacts and working within the regulatory framework, was the group’s fastest growing service, at a rate of about 200% a year over the last couple of years. Demand for the N-Protect coated urea nitrogen-inhibiting product showed farmers were determined to reduce nitrogen loss to the environment, Campbell said. The advice was to use it only in hotter, drier conditions when
it could provide a material advantage. The advisory services reflected the wider urban community demand for a transparent industry in terms of environmental impacts. “We see it as really a new reason for being, to help produce smarter farming for a better New Zealand. There are expectations of a social licence to operate and farmers also want to optimise the value of their land.”
There are expectations of a social licence to operate and farmers also want to optimise the value of their land. Greg Campbell Ravensdown Ravensdown had brought in new HawkEye technology to replace the SmartMaps facility allowing farmers to assess and alter nutrient levels across their paddocks. The new system could share information with other systems. The new services covered all farm types but were probably more dairy-centric at this stage because of the extra regulatory pressure on that sector, Campbell said. Over the next year to 18 months the large hill-country shareholder-base would have new precision application available in the topdressing plane fleet, with the computercontrolled hopper doors able to adjust so that fertiliser was
applied only where it was needed. “We see it as a game-changer and the trial work has shown savings of $9 a hectare for farmers by fertiliser use being more targeted.” During the year Ravensdown spent $42m on infrastructure, including new loaders, conveyors, roofing, laboratories and high-precision blending machinery, taking the threeyear spend to $100m. It opened a high-precision plant in Christchurch and a similar plant would open in New Plymouth in February. Another $5m was spent on new technology and $4m on research and development. The spend was a factor in lower operating cashflow, at $60m for the year, down from $106m previously. A later sales season meant the group had also carried some debtors into the new financial year, Campbell said. The lower cashflow hadn’t affected the strength of the balance sheet with Ravensdown reporting an 80% equity ratio at balance date and that would still be at 73% after the rebate payment. A $20 a tonne interim rebate was paid to shareholders in early June, the second year the co-operative had paid an early rebate. It was popular with farmers and made more sense than the company holding onto cash when it was trading strongly, Campbell said. The co-operative hadn’t made a bonus share issue to farmers in the last three years. Shareholders did prefer cash payments, but the value of the company was increasing strongly and that was likely to be reflected in a bonus issue at some point, he said.
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Alan Williams alan.williams@nzx.com
News
18 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
PGW expects farm catch-up boost Alan Williams alan.williams@nzx.com PGG Wrightson expects spring and next autumn catch-up work to make up for some of the earnings lost in last autumn’s storms and wet early winter. Early signals were that farmers would be replacing the crops and pastures on the land they were unable to touch in April and May because of the wet, chief executive Mark Dewdney said. With dairy product prices recovered, the group was also starting to see increased spending by dairy farmers after they cut back on a poor outlook this time last year. After reporting a lower but “very pleasing” operating result for the June 30 year, Dewdney said overall confidence and market conditions were improving going into the 2018 year, notably in the horticulture, beef and dairy sectors. Over the last four to five years a passionate staff had built the group up to a strong trading position with market share gains, especially across the Rural Retail business, and it was financially very sound, he said ahead of his retirement at the annual meeting in late October. Livestock earnings were also very strong. Wrightson worked on the operating earnings (Ebitda) as the best guide to how the group was performing and reported a figure of $64.6 million for the year, down from the previous year’s record $70.2m. The year was always expected to be more challenging and management had guided the market towards a $62m to $69m range. Going into autumn the results were toward the top of that range but the storms and rain took away up to $5m in earnings during the final quarter, Dewdney said. Most of the impact was on the NZ Seeds and Grain business with maize crop losses in the 30% to 35% range in major growing areas, significant impact across other arable crops and reduced seed
orders from farmers unable to replant or resow. The group expected to pick up a lot of those orders now but there would also be some carry-over from the reduced activity last autumn. Though the operating earnings were lower, Wrightson managed to lift the bottom-line after-tax profit to $46.3m, up from $43.8m a year earlier, mostly thanks to gains on sales of office and store property that was then leased back. Though that added about $3m to annual lease costs it had freed up funds for investment, which would lead to improved medium to longer term earnings, Dewdney said. Lower interest costs also helped the bottom line. With that sale programme mostly completed, after-tax earnings would return to a “normalised” level from this year, though the operating earnings are expected to be higher. The group normally provided guidance on the numbers at the annual meeting. Group revenues for the 2017 year were $1.132 billion, down from $1.18b previously. The commission-based Livestock business had a record operating profit as world demand for protein coupled with lower stock numbers pushed up livestock prices. Dewdney was pleased with the Go livestock business the group had with farmers fattening up cattle (Go Beef) and lambs (Go Lamb). It funded the purchase of animals with the farmer not paying anything until they were sold again and Wrightson retaining the title to them in the meantime. The company got the transaction commissions plus a margin on the cost of holding the debt. The average holding period was about 104 days for lambs and 185 days for cattle. At balance date it had $32m in receivables under the programme and it would be held at that level for the immediate future. “That’s an internal decision by us as it fits in with our overall group debt, which we think
WASHOUT: Bad weather in autumn and early winter knocked up to $5 million off PGG Wrightson’s profit, chief executive Mark Dewdney says.
is about right given where we operate and with our cashflows.” Retail had performed extremely well. Spring was the key trading period for the division so it was less affected by the autumn rain. Gains were achieved across all three divisions, Rural Supplies, Fruitfed Supplies and Agritrade, and the group had continued to
gain market share and profits in a highly competitive market. Within the newly combined Retail and Water division, PGW Water revenues fell year-on-year because of a continued reduction in demand for irrigation projects and it operated at a loss. It was one business not performing where the
management wanted, but it had been restructured and Dewdney was confident of better medium to long term returns. The wool procurement and broking business also struggled because of the collapse in crossbred wool prices over the year but the wool export business increased profits. The NZ Seed business had exceeded forecasts but business was affected by cautious spending in the dairy sector and the grain business was hurt by a poor maize harvest. In Australia, a mild summer in key dairy farming regions of Victoria, combined with low confidence in dairy prices, dented grain demand. The Uruguay-based South American operations achieved a better result than the year before when affected by serious flooding. Farmers were still recovering from that, Dewdney said, and he was taking a cautious approach to current year earnings. Wrightson had put significant investment into South America and was confident of the longerterm opportunities given the similarity with NZ farming systems. Borrowings totalled $137m at balance date, including the Go funding. Earnings a share for the year were 6.1c, up from 5.8c, and at year-end the net tangible asset backing was 35.2c, up from 33.5c. Wrightson shareholders would receive a fully imputed final dividend of 2c a share on October 4.
PGG Wrightson performance Year ended June 30 (all in NZ$)
Revenue
Ebitda
NPAT
Agency (including livestock)
190m
17.99m
16.46m
Retail and water
562m
18.29m
11.56m
Seeds and grain
312.6m
37.04m
27.16m
1.13b
64.49m
46.31m
Group
Notes: Division results exclude corporate costs, which are included in Group figures. Ebitda = earnings before interest, tax, depreciation and amortisation. NPAT = net profit after tax. Source: PGG Wrightson
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AGFIRST dairy consultant Stacey Belton from Hamilton has been named as the Farmax Emerging Rural Professional of the Year, beating four other finalists, all women, in her field. Belton was one of three category winners named at the Rural Professional of the Year Awards held during the Institute of Primary Industry Management’s awards dinner at Lincoln. The judges were highly impressed with the calibre of candidates for the Emerging Rural Professional category with little separating the five
candidates. They said Belton had an extensive knowledge of farm management systems and the self-awareness to understand what areas she needed to develop further to more effectively service her growing list of farming clients. She planned to use her prize money for a project on how to attract more young people to consulting. Belton got an agricultural science honours degree at Lincoln University before joining AgFirst in Northland three years ago.
She has been at the Waikato office for 18 months. “I really love my job and I put a lot of effort into it and it is a really great feeling to be recognised as contributing to the industry.” Institute chief executive Stephen Macaulay was impressed with the standard of the five candidates who reflected the changing face of the rural profession. “It’s fantastic to see more women entering the rural profession. All the candidates clearly see opportunities within the rural profession.”
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News
20 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Zespri builds US market, wins Richard Rennie richard.rennie@nzx.com ZESPRI’S SunGold kiwifruit, a growing favourite among Asian and European consumers, has gained a foothold in the United States market and earned the exporter the supreme award in the annual New Zealand-United States trade awards. Co-hosted by the American Chamber of Commerce, the AmCham-DHL Express awards highlighted companies achieving high standards in the export, import and investment sectors between NZ and the US. The US represented 11% of NZ’s total merchandise trade with bilateral trade valued at $16 billion.
Simon Limmer, chief operating officer.
Not known for its strength in kiwifruit trade, the US was, however, showing strong signs of growth, driven largely by the SunGold variety. Zespri had a target of doubling sales in the US to more than $100 million of sales in 201819 and SunGold would account for 75% of that income. Unusually for the world’s most sophisticated consumer market, kiwifruit ranked as a relatively under-developed category, ranking at only 21 in consumers’ fruit bowls. That contrasted with Asia and Europe where it sat at number 10. The growing consumer interest in kiwifruit reflected a trend highlighted last month by visiting US produce expert Dr Roland Fumasi.
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“Fresh produce from NZ is very highly regarded, not only in the US but around the globe. “NZ stacks up well in the produce export arena due to factors such as the strong industry organisation present there and the ability to supply counter-seasonal produce,” Fumasi said. Zespri had this month opened an office in California to service the Americas region. Fumasi cited kiwifruit as a fruit that was showing signs of meeting US consumer expectations. “Consumption at this point in time is pretty minimal, however it is considered to be quite exotic and there has been some good recent progress in getting greater numbers of Americans to give it a try,” he said. NZ’s reputation as a grower of top quality, sustainable, safe produce had to be maintained along with investment in research and development to progress growing systems to deliver on that quality promise. Zespri chief operating officer Simon Limmer said retailers’ needs were changing and Zespri was working to meet them. Its long-term relationships in the US included the Oppenheimer group, a distribution partner providing full service through to the retail accounts. Zespri was also awarded the Exporter of the Year award in the more than $10 million revenue category.
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A QUAD bike safety subsidy in Australia has paid out $2 million in less than a year. In the 11 months to June 30, 2118 farmers in Victoria had applied for rebates to fund the fitting of roll-over protection on quad bikes or a grant towards the purchase of a replacement side-by-side or small utility vehicle. Adam Watson, the state’s head of operations and emergency management for WorkSafe, said 62% of applicants sought funding for roll-over protection and 38% for a substitute vehicle. It was estimated 5000 farmers would participate in the scheme that ended in July next year. Watson said he was pleased with the uptake of the roll-over protection rebate that showed farmers were receptive to fitting devices to their quad bikes. Two devices were approved, the Quadbar and the ATV Lifeguard. He said staff would begin compliance and enforcement activity later this year. “It’s important to stress that appropriately fitted roll-over protection will never on its own constitute a safe system of work and other safety measures, such as helmets, appropriate training and proper maintenance are just as important.” Research from Otago and Sydney universities showed between 2007 and 2012 Australia and New Zealand had almost identical quad bike fatality rates but 30% of those killed in Australia were aged over 65 compared to just 3% (one victim) in NZ. WorkSafe NZ agriculture programme manager Al McCone said since 2012 half the victims of quad bike deaths were aged over 60, men who could be considered “very experienced operators.” The number of Australians killed in quad bike accidents spiked in 2015 with 22 losing their lives, prompting the response. Half of those deaths were from being crushed or by asphyxiation.
News
farmersweekly.co.nz – August 14, 2017
21
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COPPING IT: New bobby calf rules penalise farmers for others’ faults, Federated Farmers dairy chairman Chris Lewis says.
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DAIRY farmers wanted calf welfare rules that were sensible, practical and affordable and not everyone is happy with the latest regulations, Federated Farmers dairy chairman Chris Lewis says. The final two of seven new calf welfare regulations came into effect on August 1, mandating the provision of shelter and loading and unloading facilities when calves were transported for sale or slaughter. Lewis said Federated Farmers pushed back against proposed regulations and compliance costs but the Ministry for Primary Industries was determined to bring in new rules after animal welfare breaches were shown on television. “Farmers have to work within the new climate of public opinion. “For some it has been easy to implement the new rules, for others frustrating, especially with a lack of money to spend over recent seasons.” Lewis built a 4.5m square raised loading pen and ramp for about $2000 though he had heard of larger sums being spent. More than 500 bobby calves would leave his Waikato farm this year through that facility. “It has made life easier and I expect it to last a generation.” A major calf supplier in Waikato said some dairy farms
had not yet built pens of the required standard and were risking compliance visits and fines from MPI. He believed the Government took a sledgehammer to drive a nail and it could have consulted a relatively small number of key people in the dairy, meat and calf-rearing industries to come up with practical and workable solutions.
Farmers have to work within the new climate of public opinion. Chris Lewis Federated Farmers Instead, it had been bullied by Safe and unbalanced reporting into drafting regulations that penalised all dairy farmers and potentially ruined the economics of bobby calf collection. “The dairy farmers have been penalised when it was the transport operators and their staff member who got caught on television.” The prices paid by meat companies were as low as 90c/ kg for lighter calves or $3-$5/ head for a light Jersey calf. “Why should farmers build costly facilities for returns from bobby calves that might be
a quarter of 1% of their farm income?” Some had indicated already they would shoot low-value calves onfarm rather than build proper pens to have them collected. Meat companies had trucks criss-crossing dairy regions to pick up bobby calves, incurring high expenses for low rewards so that next year the prices paid for bobbies could be even lower. He believed the meat and transport companies should have self-regulated the operatoracceptable picking up of calves and the facilities that farmers needed to provide. Workers should also have been educated on the proper way to pick up calves to get them on to trucks. Dairy farmers themselves picked up new-born calves all the time, from ground level, when they were slippery and in paddocks. People who transported calves in trailers or utilities could load and unload as they wished, thereby creating a double standard for calf handling. Truck drivers were also able to lift calves to trucks’ second levels and many were still grabbing a few calves from pens instead of using ramps provided. He said it was good to see the welfare regulations now included a requirement for all calf transports to be covered because wet calves were exposed to death by hypothermia when chilled by winds.
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Newsmaker
22 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
Free-traders dropped the ball Complacency among free trade supporters allowed those advocating protectionist and isolationist policies to dominate the agenda, according to business leader Phil O’Reilly. But all is not lost and Japan has become the latest convert to the free-trade religion, he told Tim Fulton.
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REE trade supporters smarting at a pushback toward protectionism failed to advocate strongly for “inclusive growth”, business leader Phil O’Reilly says. The former Business New Zealand chief executive went to Toronto for a meeting of the government-appointed APEC Business Advisory Council (ABAC). It was hard work urging peers to “keep the faith” on prospects for free-trade concessions, he said. In a sign of hardening attitudes, APEC trade ministers had started dropping “boilerplate” public statements supporting free trade.
Trump was metaphorically “a bit of a malodorous presence in every room”. Phil O’Reilly Business adviser O’Reilly said it was also concerning Queensland’s state premier Annastacia Palaszczuk was touting policy favouring local businesses over interstate and international firms when considering government contracts. NZ’s Trade Minister Todd Mclay flew to Australia last week to assess the impact, which appeared
to fly in the face of long-standing trans-Tasman trade agreements. In hindsight, a global swing toward protectionism in the past 12-18 months showed governments and business groups had dropped the ball, O’Reilly said. “We let trade get isolated. “We didn’t put it in the context of regional economic development.” Advocates took it for granted that people understood the social benefits of economic integration and allowed debate to become too technical, he said. “It failed the my-mum test. If my mum didn’t understand it, there’s no point talking about it.” In the confusion, United States President Donald Trump was able to blame American job losses on trade policy when the real catalyst was a shift to digital business. In a recent comment on the Tradeworks NZ blog, O’Reilly said trade had helped lift millions out of poverty in Asia Pacific nations. “That is not to say we have got it completely right. “Governments still have a big task in ensuring that they have appropriate policies in place to allow workers, small business and wider communities to adjust as painlessly as possible to the rapidly-evolving economic environment, not least as the wave of digital transformation sweeps over us.” The ABAC meeting in Toronto, one of four annually around the Asia-Pacific region, confirmed to O’Reilly how hard it was going to
UNPOPULAR: Most American business leaders Phil O’Reilly met at an APEC meeting feared the consequences of President Donald Trump’s policies.
be for NZ to get better global deals in agriculture, manufacturing and service trades. In fact, it looked likely that more trading partners might start protecting parts of their economy in response to special pleading. Countries could begin to introduce new subsidies for particular industries, tighten regulatory requirements or make it harder for businesses to import skilled foreign workers. Groups like ABAC needed to keep reminding governments of the value of trade liberalisation lest they be sucked into tit-for-tat economic wars. They also needed to remind
politicians – and the public – that free trade helped small businesses as well as big corporates. O’Reilly hoped 11 Asia-Pacific nations including NZ could agree on a collective free-trade deal. A major mover, Japan, was new to the “free trade religion” but completely grasped its value. “Boy, they’ve got it,” he said. One of the complications was negotiations between the US, Canada and Mexico on a revised North American Free Trade Agreement (NAFTA). It remained to be seen whether Canada and Mexico would risk antagonising the US by continuing to support a bigger regional deal.
Trump made opposition to the original Trans Pacific Partnership a springboard for his 2016 election campaign. At the Toronto forum Trump was metaphorically “a bit of a malodorous presence in every room”, O’Reilly said. There was no single American view of Trump trade policy but most American business leaders O’Reilly met feared isolationism would make the US less influential around the AsiaPacific rim. It was clear rival powers like China were stepping in to fill America’s social, economic and military void, he said.
Trade liberalism alive in Europe and New Zealand Dr Serena Kelly THE British referendum decision to leave the European Union has been viewed by some as the first reversal of the global freetrade agenda. Indeed, Brexit, coupled with the election of Donald Trump and his America First programme, may be seen as bad news for supporters of free trade. Yet the EU continues to demonstrate that it is wrong to think that protectionism is increasingly becoming the norm. The world’s largest economic entity, the EU, has been a consistent and active proponent of free trade agreements in this century. It has recently completed an FTA with Japan and is due to begin negotiations with New Zealand and Australia. The EU is also leading the way by increasing the
transparency of its free trade negotiations – the European Commission (charged with trade leadership for the entire EU) is scrutinised by the European Parliament and European member states, as well as involving civil society.
Both the EU and Britain have continued to voice their support of free trade.
The National Centre for Research on Europe (NCRE) has been conducting elite interviews over the past three years, which included measures to gauge interest and perceptions towards a proposed EU-NZ FTA. Our research has found that, in general NZ elites have no major concerns
about free trade in general or with the EU more specifically. Moreover, almost all of those interviewed actively support free trade. Although there will certainly be trade issues to negotiate during the EU-NZ free trade discussions, NZ Prime Minister Bill English took the opportunity on his first trip abroad to meet with the EU Presidents Tusk and Juncker in Brussels. At their press conference, the leaders announced their intention to pursue an EU-NZ FTA, thus signalling to the world that trade liberalism is alive and well. Although Boris Johnson assured NZ that it would be at the front of the queue for free trade negotiations with the United Kingdom after it exits the EU, the irony is that #Global Britain (Britain’s “brand” that emphasises its determination to push a global free-trade agenda)
is meeting resistance. In particular, the British agricultural sector, which was excluded from public debate prior to the referendum, is becoming increasingly concerned about the future of the sector and the future of important subsidies postBrexit. Although there has been some global resistance to free trade, this is not the case for Europe. Both the EU and Britain have continued to voice their support of free trade. Likewise, NZ elites also agree that free trade is important for NZ’s prosperity and we are actively pursuing agreements with both the EU and the UK. • Dr Serena Kelly is a lecturer at the National Centre for Research on Europe at the University of Canterbury.
BACKING: Most New Zealand leaders actively support free trade, Canterbury University lecturer Dr Serena Kelly says.
New thinking
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
23
Technology, data lead kiwifruit quality drive A huge surge in volumes in coming years has Zespri leading the charge on technology to cope with the wave of SunGold fruit and ensure high standards are maintained. Richard Rennie spoke to one of the innovators leading those efforts.
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KEY challenge for Zespri innovation leader and food science doctorate graduate Kylie Phillips is delivering fruit that will maintain its quality from harvest to the customer’s fruit bowl. “The challenge around that starts within the orchard, at a vine architecture level, across the orchard itself and even across the region the orchard is in,” she said. “That variation means not all fruit will store for the same length of time or necessarily for a long time.” Lengthening fruit shelf life became more critical as volumes rose and the logistics of harvesting, packing and exporting higher volumes became more challenging. The value in getting the right length of storage ability in kiwifruit was also measurable in revenue terms. “From a grower’s point of view there is considerable added return to having fruit quality maintained. “The industry faces tens of millions a year cost in quality losses and reducing that would deliver a return directly back to growers.” Preserving and expanding distributor relationships would be increasingly vital with growing volumes, and those relationships and the fruit’s premium value
could be maintained only by ensuring the quality and consistency of fruit supplied throughout the season. Meantime, consumer loyalty for repurchase relied on that fruit maintaining its quality when home in the fruit bowl. Near-infrared (NIR) technology was an area Zespri was supporting as a means of determining fruit quality and was already in play in some of the industry’s more advanced pack houses. Bay of Plenty based pack house technology company Compac, incorporated NIR technology in its sorting equipment, combined with digital technology in EastPack’s new 14-lane Bravo sorter near Te Puke. It was a $12.8 million installation comprising entirely New Zealand-developed sorting technology. A key part of the plant’s technology was the use of Spectrim digital photographic technology that scanned and photographed every piece of fruit passing through the 14 lanes. That amounted to a million photographs a minute being taken, with the ability to capture images in colour and two different infrared spectrums. It measured four key quality parameters – fruit firmness, sugar levels, internal flesh colour and drymatter. The technology enabled
CASTING WIDE: Zespri’s policy of outsourcing research and development gives it access to a broad range of skills, innovation leader Kylie Phillips says.
EastPack to identify the early-start fruit that could earn growers a significant bonus that otherwise might not have been identified in fruit on their orchard at harvest.
The industry faces tens of millions a year cost in quality losses and reducing that would deliver a return directly back to growers. Kylie Phillips Zespri The non-invasive NIR technology projected light at produce using halogens which was transmitted, measured and analysed. Comparison of the projected light with the returned light indicated how much had been absorbed. The measurements could be used to calculate grade
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values, determine internal properties and sort accordingly. “One possibility is to use this technology to predict fruit’s storage quality, but this is still in its early stages,” Phillips said. Work was also being done at lab scale using NIR to predict storage outcomes for fruit, using machine learning algorithms. The masses of metadata generated by scanning multiple items of fruit meant researchers could also ultimately predict a fruit’s storage potential. Mathematical modelling of more than 30,000 items of fruit in three pack houses this year was also looking at segregating kiwifruit into short, medium or long storage potential. Advances in software and computing capacity meant the complexities of environment, management practices and postharvest treatment of fruit could also ultimately be included in predictive modelling. Other areas of fruit quality were also being explored including chilling injury, now assessed by the human eye. With new cultivars under
development the challenges on fruit analysis were growing every year. But, along with the volume growth, new cultivars brought their own unique attributes. “Breeding programmes also incorporate a number of traits and storage is one that is included.” Phillips said the industry also had access to a treasure-trove of data in some Green (Hayward) orchards that had been monitored for the past 10 years. “We have information and data on them from bud break through to storage outcomes and we are now taking a deep dive into this data to look for relationships and correlations that we can learn from.” Zespri’s policy to outsource its annual $25m spend on research and development had given it access to a broad range of skills from universities, private organisations and Crown research institutes. “All this work revolves around focusing on value rather than volume alone with the ultimate aim being to deliver consumers a high-quality fruit experience.”
Opinion
24 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
EDITORIAL
Change coming – ready or not
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Stephen Bell
LETTERS
Squeak louder for road upgrades I HAVE to agree with the sentiments expressed by Alan Emerson in his Alternative View, FW, July 31, re the Manawatu Gorge road. As anyone who has driven the roads of Europe will know, there must be numerous relatively simple engineering solutions to providing a reliable road link through the gorge. A bit of commitment after the 2011 closure would surely have seen a proper solution in place years ago but here we are in 2017 with the Transport Agency telling us it will have a plan by Christmas. Any competent road engineer should be able to come up with a plan in a couple of weeks and if you got a team of Italian road builders on the job they would likely
have it finished by Christmas, the coming one that is, not one somewhere off in nevernever land. As Emerson says, there does seem to be an element of bureaucratic and political incompetence at work here. But there is an election coming up so perhaps the locals should be lighting a fire under their political representatives. The squeaky wheel does get the most oil so start squeaking a bit louder. Ralph Carswell Papakura
Change system ALTHOUGH New Zealand is leading the world in animal welfare standards I believe we still have a long way to go. Countdown supermarkets can be commended for their
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decision to stock only freerange eggs, the recent changes to some of our welfare laws are definitely a step in the right direction and many farms are beginning to adopt better practices. Yet we still see cage eggs on the shelves of other supermarkets, false labelling concealing poor practices, farrowing crates and similar systems are still prevalent and many farming models are severely detrimental to the environment. It is easy to blame the consumers, farmers, distributors or law makers for the continuation of these practices but I believe the blame is on the money system itself. Because we are constrained by the constant pressure to balance ethics with cost we end up compromising on
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et ready for radical change in the ways farmers are allowed to use their land. So far the changes have been gradual compared to what’s coming, if the signals being given off this election campaign are anything to go by. We’ve seen a tremendous acceleration in the pace of technological change in our lives and that’s going to happen to the environment in which we live and work. These dramatic changes to the rules might not come after this election but we can have no doubt they will come in the near, if not immediate, future. Politics around the world has been throwing up unexpected results and this campaign here, expected to a routine affair with National strolling to another victory, has already seen violent upheavals in two Opposition parties. Those apart, the news topic of the week has been water. Climate change and agricultural emissions won’t be far behind. Most parties support some change to the way water is managed, allocated and used. Even National, rather than taking advantage of the Opposition disarray, has given the impression of being caught in the headlights and keeps tweaking its policy. It might have been expected to stand on and by its record and press on. Instead it appears nervous and twitchy, reacting to Opposition policies. So this issue is heavy on water issues and has stories not only about the policies and reactions to them but incredible figures relating to costs and examples of water projects on the go. Further, Fonterra has recognised water as an issue that won’t go away and one that requires action. Not only is it working on improving water quality in 50 catchments it has promised free farm environment plans for all its suppliers. That could cost half a billion dollars – a serious investment indeed. So don’t hold your breath for more of the same after the election. National is taking note of Opposition policies and no doubt gauging the reaction in urban electorates and tweaking its policies accordingly.
Opinion
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
25
Mycoplasma, yet another plague? Cord Heuer
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RESPONDER: Professor Cord Heuer works in animal and biomedical sciences at the EpiCentre in the Institute of Veterinary Sciences at Massey University which is working with the Primary Industries Ministry on its response to Mycoplasma bovis.
NXIETY was high among dairy farmers in midJuly when news broke that a large dairy enterprise in Canterbury went down with an outbreak of Mycoplasma bovis infection. This organism was hitherto not thought to be present in New Zealand, let alone causing any significant economic damage. However, on the affected farm it evidently caused a significant attack of clinical mastitis which did not readily respond to antibiotic treatment. Mycoplasmas are bacteria without a cell wall and classic antibiotics work by breaking down the cell wall of bacteria. Hence, most antibiotics are ineffective against Mycoplasma bovis. The organism causes a number of other diseases including pneumonia, arthritis, conjunctivitis, abortion and premature birth. All of them were observed on the affected farm. The event raises questions about how widespread the infection is, whether it came recently into the country and if so, where it came from. Discussions arise about how appropriate farm biosecurity is in NZ, such as testing and quarantining purchased animals or replacement stock returning from rearing farms where they had contact with other animals. The Ministry for Primary Industries (MPI) responded instantly to the outbreak, declaring the affected farm and all other farms belonging to the same owner as restricted places (RPs) which imposes a halt to all stock movements in and out of farm premises. MPI also investigated all
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farms that had direct contact with the infected herd. Meanwhile, infection was confirmed on a second property of the same owner. Receiving an RP notice means livestock cannot move onto or off farms without a permit from MPI. That is to minimise further spread until it is established how widespread the disease is among in-contact farms and more generally in the NZ dairy population. The latter goal, ie establishing whether infection exists in the wider dairy population, is currently being investigated by a team jointly set up between MPI and the Massey University EpiCentre. Seventeen veterinarians across all major dairy areas have been recruited as coordinators for an evidencedbased investigation to identify farms with signs of disease among calves, growers and cows that might be associated with Mycoplasma bovis. Co-ordinators work through the clinic vets servicing dairy clients of a veterinary practice enterprise. Each clinician is requested
to recall any client farm where she/he observed unusually high frequencies of diseases consistent with Mycoplasma bovis. Such high-risk farms will be visited for sampling of suspect animals that are currently or have recently been treated. Bulk milk samples from all milk tanks, including milk from the hospital mob, are being tested for the bacteria. Testing is executed at MPI’s animal health laboratory at Wallaceville, Upper Hut. In addition, all dairy farming clients of these practices are being requested by email to enter their observations into an online survey. This national survey was launched last Wednesday and is expected to be completed within two months. Considering other recent disease outbreaks in dairy cattle caused by Theileria ikeda in 2017 or Salmonella species in 2011, the public and especially dairy farmers are asking whether there is sufficient biosecurity in place for imports of biological materials such as semen and embryos, whether MPI’s response measures are timely and effective and whether the industry needs to rethink the approach to farm biosecurity. If production systems strive for higher outputs and continue to increase in intensity and scale, research and development needs to address such biosecurity issues to help prepare our livestock industries for future challenges.
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Opinion
26 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
No one takes any responsibility Alternative View
Alan Emerson
WITH the election only two short months away, I’m over it. The electioneering spin is driving me – more than normally – to drink. For a start, I am getting sick and tired of the total lack of any accountability from both the Government and-or the bureaucracy. I believe we’re being subjected to the political and bureaucratic version of the mushroom treatment, kept in the dark and all that. Further, the spin machine is in overdrive and it is hard to get any facts. On top of that, Official Information Act (OIA) requests are frequently abused with attempts to manipulate the process such as the disgraceful efforts of Internal Affairs over the Thiel case. They buried the information until ordered by the Ombudsman to resurrect it. A bureaucracy playing a political game isn’t democracy as I believe it. My point is that lack of political accountability has become endemic. Starting with the hoary chestnut of Pike River, the only consistent point is the total unwillingness of anyone to take
any responsibility for anything. I have reached the stage with Pike River where I do not believe a word the Government tells me. The Todd Barclay Affair is a more recent example where we’ve been lied to. An act was committed, it was known to Key and English plus the National Party and they decided, in their arrogance, to try to bury the information. Further, I’d argue they actively tried to pervert the course of justice. The Police, while relentlessly pursuing the cameraman over the teapot tapes, including raiding media outlets, just gave this one away showing, in my view, a political sycophancy that is distinctly unhealthy in a democracy. English refuted allegations of a cover-up. Spare me, it was a coverup, pure and simple. The master of taking no responsibility for anything is Health Minister Jonathan Coleman. The snarl-up with funding for district health boards was monumental but, hey, there’s noone taking any responsibility for anything. We’re talking millions here. It is just not good enough as two-thirds of the country’s DHBs, courtesy of a bureaucratic blunder, have been forced to operate with less than their entitlement. Then we had the UnicefInnocenti report into child wellbeing. It placed NZ 34th out of 41 countries, which I find appalling. These people are our future yet
WHO ME: Is Jonathan Coleman the minister of taking no responsibility for anything?
our Health Minister is maintaining that “conditions have improved for vulnerable kiwis”. He must be the only one who thinks that. Mind you, when a private donor offered $50 million to build a Wellington children’s hospital he showed indecent haste in being publicly supportive of it. It had nothing to do with the Government – Minister, back off. Then we had the Ministry for Business, Innovation and Employment cooking the books over housing affordability. According to MBIE things were rosy in the garden until we found out that the Reserve Bank had warned it should be using a higher interest rate in the calculations. My reading on that is we
have a government department intentionally distorting the truth to pander to the political master, in that case Stephen Joyce. With education we had the Ombudsman’s report into Christchurch school closures post the earthquake. To say it was a politically inspired calamity would be charitable, but while we’ve had a kind of an apology from the ministry there has been no political accountability whatever. The Chief Ombudsman’s statement that “they (the officials) were just too scarce with the truth” is a damning indictment. Where is the political accountability? Where’s the then Minister Hekia Parata? The greatest scandal that’s
being ignored is the physical and sexual abuse of our vulnerable youngsters in state care, not centuries ago but between 1960 and 1990. So bad was it that people joined gangs to be safe or committed a crime, suicide or went to prison. I’d suggest that youngsters in state care have a right to feel safe – it isn’t a privilege and think of the massive eventual cost to the taxpayer of that policy. Will the minister responsible, Ann Tolley, hold an inquiry – unequivocally no. It’s a position I would call offensive, elitist and racist. Then we have the housing crisis which isn’t a crisis in the Government’s view. They must be the only people with that opinion. If you put more than the entire population of Wairarapa in Auckland each year you’re going to have problems with housing, health and infrastructure. The problem is that no-one is taking any responsibility for that, leaving 41,000 homeless we’re ignoring. This election I’m going to do something different. To clear the air I have absolutely no idea which political party I’m going to vote for and that’s a first for me. At a local level, however, I will vote for the candidate I believe has the greatest integrity, regardless of party.
Your View Alan Emerson is a semi-retired Wairarapa farmer and businessman: dath-emerson@wizbiz.net.nz
Selling our meat is a game of two halves The Voice
Craig Wiggins
OVER the past few months I’ve emceed a fair share of rural awards and conferences where mention of synthetic proteins and insect flour scared many a middle-aged farmer. The talk that’s being shouted from on high about being prepared for these new products to take over the world of food production as we know it was more than enough to cause many a listener to question their future as sustainable farmers of the future. A synthetic steak, a petri dish hamburger and cricket flour chocolate mudcake all sound like a taste test from hell. However, we’re being led to believe these products won’t only be palatable but taste more like the real thing than the real thing. There’s no doubt the world as we know it is changing and not all of it’s for the better.
But one thing history tells us is that food must be good for the consumer otherwise there’ll be consequences – immediately for those with a weaker stomach or long term as health deteriorates from abuse of too much of a socalled good thing. New Zealand farmers can’t do anything about these new synthetic products and to coin Steve Hansen’s words, “worry is a wasted emotion”. What we can do is the very best of what we do – grow good protein, be environmentally sustainable and ensure consumers have confidence in our practices. That might mean we need to open the farmgate to let markets see what we do is industry best practice. But there’s no point in our primary industry forwards – financially burdened, environmentally attacked and poorly supported by technology and governance – doing all the grunt work without the backs using the product handed to them wisely and efficiently by spreading the word across world markets. In short, the people who market NZ’s primary produce must explain to the global marketplace the difference between a glassgrown product and a grass-fed, centuries-old, safe food that’s vital to the world’s survival.
But mostly, they must work together in the face of pressure from companies seeking to downgrade naturally produced protein and increase the market share of synthetic protein. They might be able to produce a cheaper product in the near future but – and this is a but that’ll take time to work through – will our species be able to survive eating these new foods? I suspect research on this won’t be available for some time, at least until the side effects of what it takes to make synthetic milk and meat become known. If international marketers don’t get our products to the right markets for a good price with a great back story to showcase the natural benefits of combining an animal with grass and sunshine, not to mention minimal inputs in the form of remedies and antibiotics, cared for by people with conscience and delivered in a usable form for the modern consumer, we won’t be able to compete with the money-making ventures of big business. The light at the end of the synthetic doom-and-gloom tunnel was shone by a talk from KPMG representative Julia Jones at the South Island Dairy Event last month. Her take on these new products
FORWARD PASS: A synthetic steak sounds like a taste test from hell to Craig Wiggins.
was that they will get a market share, however, that share will be to those who already refuse to eat animal protein: the fad market and the wealthy. These aren’t NZ’s traditional markets in any case. We have true points of difference, for example, our farming history, efficient production and food safety. Now, before you all jump on your keyboards to tell me that synthetic protein is getting cheaper and not all animal products are safe, I contend we grow the safest and cheapest animal protein in the world and if world markets existed on an even playing field without tariffs we’d be at the top of the desirable foods list. We don’t need to compete with synthetics. We just have to do
what we do well. The whole team in the chain from pasture to plate needs to work together to ensure we’re ready in the face of this competition. The comparison of working as a team to ensure success after the misfortune of the second rugby test against the Lions is in parallel with where the industry is at the moment. If we individually try to get the ball (read financial gain) too often and allow greed to take over, our products will be left isolated and easily brought down. But if the farming forwards produce good ball (products) and the marketing backs pass it on with flair and accuracy, our markets will be strong and financial success and longevity will follow.
Opinion
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
27
Even more cows are not the answer Meaty Matters
Allan Barber
THERE are strong indications New Zealand might have already reached its peak cow population if the recent halt to the rate of growth is sustained. The total number of dairy cows increased sharply by 76% over20 years from 2.9 million in 1994 to 5m in 2015, an average of more than 100,000 a year. Over the same period, annual productivity per cow increased by 100kg of milksolids or 38%. Since 2013 the population has moved up from 4.9m, briefly exceeding 5m and has now dropped back to just above 4.9m. Although some people will no doubt claim this is merely a temporary blip in an irresistible trend which will soon reverse as dairy farmers and investors get used to higher payouts again, there is an even stronger argument things might have changed permanently. Fonterra’s previous philosophy appeared to be to exert global
dominance through everincreasing milk production but the prolonged downturn in market demand for dairy produce, resulting in at least two years of prices below the cost of production, has put paid to that. Fonterra’s focus has changed from volume to value growth, inspired by recent success with consumer and food service and the weakness of global demand for whole milk powder. Also, the need to keep building milk powder drying capacity is an expensive way of producing what is essentially a commodity product. The annual milk price is a blunt instrument that incentivises milk production rather than productivity. One observer has argued the 2014 payout of $8.40/kg in reality contained a substantial volume of supply that should have been paid out at a lower figure and consequently reduced the actual payout for the next two years. An alternative system of sixmonthly payouts would have provided a better reflection of reality though it would involve more administration and cost. It might be worth doing an assessment of whether the effectiveness of an annual milk price with updates could be improved to provide better messages to dairy farmers. A big reason the national herd
FOCUS: Fonterra has changed its strategy from volume to value growth.
might struggle to increase is $39 billion debt on farmers’ balance sheets. Banks were reluctant to put pressure on dairy farmers when prices were low, keen to avoid mass receiverships, preferring to see their clients farm through the downturn but they might not be so tolerant now the payout comfortably exceeds the cost of production. The market for dairy farms is more robust than it was. It is also worth noting farm efficiencies have dropped the break-even point significantly from the much touted $5 to $5.25/ kg of milksolids at the low point of the market. In the early 1990s dairy farming was still predominantly a North Island phenomenon with only about 10% of the industry south of Cook Strait, most of which served the local market. But the removal of livestock subsidies led to a decline in the number of sheep and substantial land use change, further boosted by irrigation. By the 2015-16 year the South Island was home to 40% of the
country’s cows and produced 43% of the milk though 73% of herds were still in the North Island. The resistance to irrigation by people concerned about the state of the South Island waterways, perceptions of excessive use of water resources in pursuit of profits without appropriate payment and objections to the greening of the countryside, especially in the McKenzie Country, are at least partly a reaction to the growth of dairy farming in the last 25 years. If unrestricted growth were to continue, dairy’s public relations challenge would be tougher than it already is and the recent good work to capture hearts and minds costing Fonterra $20m largely wasted. There is a large discrepancy between the North and South Islands, specifically Canterbury, dairy farms that is demonstrated by a major difference in productivity: an average of 343kg of milksolids a cow in the North and 624kg in the South Island, explained by larger farm scale, use of irrigation, usually in the New Year, and winter grazing which
enables cows to calve earlier. There is also a big difference in farm size and cows per hectare between Canterbury dairy farms and the North Island and rest of the South Island. However, the increased costs of irrigation tend to eat up a significant proportion of the extra income. So, a combination of environmental, economic and practical factors makes it difficult to see much more conversion from sheep and beef to dairy farming in the South Island. The trend to higher productivity per cow through better farming practice points the way for the future while the dairy companies must focus on continuing to increase the value-added content. Some industry participants are already predicting NZ has reached the peak of its cow population but the future for dairy remains bright.
Your View Allan Barber is a meat industry commentator: allan@barberstrategic. co.nz, http://allanbarber.wordpress. com
Anything could happen in this election From the Ridge
Steve Wyn-Harris
THAT old cliche a week is a long time in politics was never truer than what we have recently observed. Two opposition leaders have gone and we have the most fluid polling results we’ve seen. It was just over a couple of weeks ago that the interest was whether National would carry its polling in the mid-forties through to the election and whether its partners of ACT, United Future and the Maori Party who support them on confidence and supply would be able to retain their seats and allow the opportunity of a fourth-term, minority government. Flavell’s Waiariki and Dunne’s Ohariu seats will be two battlegrounds well worth watching as neither is certain and Flavell’s also brings with it a list seat.
If that doesn’t happen then two options remain. National would then have to also talk to wily Winston Peters. He might already have been sacked in the past by two National Prime Ministers (Jim Bolger and Jenny Shipley) but no doubt a suitable bauble of office would help ease the pain of those memories. Or Labour might have the ability to cobble a three-way coalition with The Greens and New Zealand First. A great big fly in this ointment was Peters’ recurring theme that he would not have anything to do with The Greens in government. Then NZ politics dramatically changed. Meteria Turei delivered a speech to her party’s annual conference in mid-July fessing up to benefit fraud as a means of being able to bring up her child and used it as an example of the difficulties folk have of surviving on a benefit. At the time I thought blaming the system for cheating the system seemed an unwise strategy for someone aspiring to be a minister of social development. However, surprisingly, that led to a large lift in the polls for
CASTING VOTE: Winston Peters could decide the election outcome regardless of which way the voters go.
The Greens but at the expense of Labour. Labour’s polling dropped to the point where Andrew Little had little choice but to resign and the resulting elevation of Jacinda Ardern brought on The Jacinda Effect. Jacinderella’s honeymoon with media coverage seven weeks out from an election is what any
politician would give their arm for. I laughed at a cartoon where a breathless voice asked if that was Jacinda walking on water only to be told that no, she was standing on a Green. Polling at the time of writing suggests an immediate gain of 10% to the mid 30s, much from The Greens and even 4% from NZ First as they are starved of media attention. As I write, the two Green MP’s resigned yesterday over Turei’s refusal to step down as co-leader and now Turei has finally resigned. She claims that’s over the fervent scrutiny of her family but she invited that scrutiny the moment she used her benefit fraud for political purposes and has no one to blame but herself. If the story she presented at that conference could withstand the inevitable scrutiny her past was going to come under, well and good but it couldn’t and she has paid the ultimate political price. NZ First’s polling might have dropped but ironically, I think their position has strengthened. Labour now has the option of telling The Greens that given their primary goal appears to be to change the government
then that is going to be by them providing confidence and supply and not being part of a coalition government. If they can’t run their own party properly, they are in no position to be part of government, a position they know only too well having played it through the three Helen Clark terms. Thus, Peters’ objection to not being in government with The Greens is removed and he will have the ability to see what he can extract for his support of either National or Labour. So, the 10% or so who vote for NZ First will likely determine our next government. To finish on a brighter note, if there is a change in government the dollar will drop at a time many of us are selling exports and political power will transition without the violence we see elsewhere in the world. Or National might stay and we will get to see if Peters can get through three years without being sacked.
Your View Steve Wyn-Harris is a Central Hawke’s Bay sheep and beef farmer. swyn@xtra.co.nz
bayleys.co.nz Contributor to realestate.co.nz
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
Real Estate
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Contributor to realestate.co.nz
SOLD
SOLD
SOLD
SOLD
SOLD
SOLD 5
3
3
Ngahinapouri 25 Cochrane Road Boutique Dairy Farm Auction 5th September 2017 1pm on Site (unless sold prior) View By Appointment www.ljhooker.co.nz/8JZHFA ljhooker.co.nz/8JZHFA
Garry Webb 022 3522 604 Russell Bovill 027 2739 025 LJ Hooker - Hamilton 838 2039
• 53ha dairy farm on Horotiu sandy loam. • 327m² Hinuera stone homestead with inground salt pool. • 12 ASHB shed, 180 cow herd home, implement sheds. • Located close to Hamilton and 1 kilometre to a decile 10 primary school at Ngahinapouri. OPEN DAYS: Wednesday 23rd August 12-1PM Sunday 27th -1-2PM
George Boyes & Co Ltd
George Boyes & Co Ltd Licensed REAA 2008. All information contained herein is gathered from sources we consider to be reliable. However, we cannot guarantee or give any warranty about the information provided. Interested parties must solely rely on their own enquiries.
30
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Real Estate
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
www.harveys.co.nz
AL N FI
O N
CE I T
Income with fantastic lifestyle! A great opportunity has just landed on the market in a fantastic rural setting with huge potential. Including 3ha of near flat land with a large, very comfortable home in a great community. The implement shed, which was converted in 1991 into a very comfortable two storey home comprises of 5 bedrooms, 3 bathrooms and large garaging. Expansive deck caters for the long warm nights and takes advantage of the outstanding views over the 1.80ha green kiwifruit orchard and 1.2ha of grazing. This property has the best of both worlds; kiwifruit or grazing for a few beefies, a horse or maybe the kids playground?
AUCTION Sunday 20th August at 1pm, on site, (unless sold prior) View www.harveys.co.nz ID# RX1220102 Contact Richard Greaves m. 0272448016 e. richardg@harveysproperty.nz Mount Maunganui Office 07 281 1713 Quay Bay of Plenty Ltd. MREINZ Licensed REAA 2008
06 323 3363 ▪ 56 Stafford St,
Feilding
07 883 1195 ▪ 38B Main Road, Tirau Meet our teams operating from offices in the
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We sell rural and lifestyle properties
Richard Anderson 027 543 1610 Feilding
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Steve Mathis 027 481 9060 Tirau
David McGuire 027 472 2572 Tirau
Lois Anderson 027 532 3369 Feilding
Russell Priest 021 175 7008 Feilding
Kate Scott 027 858 1492 Tirau
Rachel Mathis 027 637 7209 Tirau
www.ruralandlifestylesales.com
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
Real Estate
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RURAL rural@pb.co.nz Office 0800 FOR LAND
Property Brokers Limited Licensed under the Real Estate Agents Act 2008
Smaller Dairy Unit - 119 ha
Ravelston Farm
OPEN DAY
WEB ID AR56893 ASHBURTON 758 Hackthorne Road Seldom in Mid Canterbury do we get dairy farms of this size available to the market. Special features of this farm include Pivot irrigation, MHV Water Limited, tidy shed and 3 homes. The present vendor runs a very efficient low cost dairy unit (Approx. $3.25/kg/ms) showing excellent returns. The property is only being sold because the vendors are looking for their next step.
WEB ID DFR56966 KIRWEE 1048 Courtenay Road View By Appointment VIEW Wednesday 16 Aug 12.00 - 2.00pm DEADLINE SALE closes Friday 25th August, 2017 at 3.00pm, Rare opportunity to purchase a well established 113 ha TENDER closes Thursday 7th September, 2017 at 3.00pm, (unless sold prior) (unless sold prior) dryland finishing property with a rich history of top performance. Located at Kirwee within the command Chris Murdoch area of Central Plains Water Irrigation Scheme - Stage 2, Mobile 0274 342 545 with versatile Lismore slit loam soils and excellent shape Office 03 307 9191 with two road frontages, this property is ideally suited to Greg Jopson intensive finishing or mixed cropping, which underpins Mobile 027 447 4382 the future investment potential. Improvements include a Office 03 307 9176 Gareth Cox large 4 bedroom homestead plus a range of Rodger Letham Mobile 021 250 9714 outbuildings, an excellent first farm option or add on.
DEADLINE SALE
Mobile 0274 333 436 Office 03 307 9192
TENDER
Office 03 929 0306 gareth@pb.co.nz
www.propertybrokers.co.nz
Spring 2017 Property Pull-Out We’ve got you covered It’s back! The Spring Property Pull-Out feature will be running through all issues of The Farmers Weekly in October. Book a campaign of three or more advertisements in October and get a complimentary editorial on your property in one of our pull-out specials. We’re very proud that The Farmers Weekly remains committed to the Real Estate industry, and that we have been the most read rural publication for more than a decade. Talk to your agent now and make sure you are in the paper that more farmers read.
Give your advertising campaign the edge with an advert on farmersweekly.co.nz/realestate
For more information on real estate advertising contact Shirley Howard on 06 323 0760 or email: shirley.howard@nzx.com ©2107RE
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32
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Real Estate
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
New Zealand’s leading rural real estate company
Licenced under REAA 2008
TENDER
THE ADDRESS FOR RURAL REAL ESTATE Stay up-to-date with the real estate market with
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Choose The Options To Suit
Komata
Option A: • 180ha dairy unit supplying OCD • 30ASHB shed and tidy three bedroom cottage Option B: • 57ha elevated rolling hill grazing block on Strange Road. • A two bay shed, cattle yards and load race. Option C: • Three bedroom 1900´s Kauri villa home • Situated on Maratoto Road, sitting on 4.3ha (STS)
TENDER (Unless sold prior) Closes: 4.00pm, Friday, 25 August PGG Wrightson Real Estate, Morrinsville OPEN DAY 11.30-1.00pm, Tuesday, 15, 22 Aug, MARATOTO ROAD
A tender may be for Option A, B, C, or for all three. www.pggwre.co.nz ID: MOR25634
Allister Coombe B 07 889 0167 M 027 507 7622
pggwre.co.nz
New Zealand's leading rural real estate company
HYDROPONICS LETTUCE & HERB GROWING BUSINESS
Something For Everyone Supporting documents are available for genuine purchasers. Price by negotiation. www.whangamatarealestate.co.nz – ref 7256
• • • • • •
75 hectares Large five-bedroom family home Four car garaging Good implement sheds Old disused cowshed (great for calf rearing) Fertile flats
Sallan Realty
Dargaville DEADLINE SALE
Plus GST (if any) (Unless Sold Prior) Closing 2.00pm, Tuesday, 5 September
Megan Browning B 09 439 3344 M 027 668 8468
pggwre.co.nz
OPPORTUNITY TO GROW
• • • • • • •
Situated south of Whanganui is this 175ha opportunity 20 aside herringbone dairy and 300 cow yard with adjacent feed pad The herd is split calved and supplies milk to Open Country Bore that supplies water to stock troughs, dairy and houses Large machinery shed, large silage bunker Three bedroom family home and second staff home Call Les to inspect, asking 3.1 mil
Google ‘Sallan Realty’ Your Farm Sales Specialist
WELL BALANCED DAIRY FARM
• • • • • • •
Very nice 105ha dairy farm on the town boundary of Eketahuna Well laid out with flat to rolling contour and growing well Good 24 aside dairy with 250 cow yard and adjacent feed pad Three bedroom family home, open plan living, i/access garage Has produced up to 88,500kgs milk solids. Your chance to own this farm now with a first of June 2018 takeover Call Les to inspect
LK0088738©
Well run 174 ha dairy farm in the Tararua District Currently running 300 Holstein Friesians Has produced up to 139,000kgs milk solids consistently Bore at dairy supplies high pressure water Top quality 32 aside herringbone dairy shed Two very good family homes with views Call Les to inspect
Licensed under REAA 2008
www.pggwre.co.nz ID: DAG26479
For further information contact Murray Cleland 021 950 445
MARKETING PREVIEW
• • • • • • •
LK0088599©
An opportunity to purchase as a going concern this is a purpose built hydroponic lettuce and herb growing business which has fully automated systems. The galvanised steel framing and micro plastic film 4-bay growing houses cover an area of 2400m2. In addition to the main greenhouse there are 10 x 18 growing houses which are fully automated. Supporting buildings consist of regulated propagation rooms, chiller room, staff room along with a wide range of plant. Fully managed by current staff with contracts in place to supply clients on a weekly basis. Though there is no accommodation on this property consisting .9167 hectares, there is a nice building site or you could reside in Whangamata township.
LES CAIN 0274 420 582
Licensed Agent REAA 2008
Employment
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
33
Fencing and outdoor working skills required for developing kiwifruit orchards in Te Puke to Waihau Bay areas. Excellent opportunities to grow your skills and income with our team focused, progressive, respectful and values-based company. References required.
INFORM – EXCHANGE – GROW NZX Agri is the recognised leader in the rural media sector in New Zealand. It is also developing a global reach with its publications and primary sector analysis delivered in both digital and print. The Account Manager will focus on print and online digital sales into our leading rural publications – NZ Farmers Weekly, farmersweekly. co.nz along with other subscription publications we represent, NZ Dairy Exporter and Country-Wide magazines. You will take full ownership of a portfolio of clients in understanding their business objectives and be responsible to maintain and accelerate customer revenue and bring in new client business. You will be comfortable selling directly to clients and also into advertising agencies.
Email your CV to: lee@sxhort.co.nz
LK0088543©
Move to the Bay Of Plenty!
Account Manager
Passionate about our farming and taking New Zealand sheep and beef farmers to the next level? Work for Beef + Lamb New Zealand! We are passionate about building thriving farming communities and committed to providing the insights, tools and services that build better farm businesses for our sheep and beef farmers. We are currently recruiting two senior front-line roles
Shepherd
You will be the face of NZX Agri in the South Island working remotely from Christchurch and reporting into Agri HQ in Feilding. You will be part of a wider sales team and will be working to reach business KPI’s and successfully manage your revenue pipeline to achieve sales performance targets.
servicing our Waikato/BOP farmers, based out of Hamilton. If you thrive in an autonomous, collaborative, farmer-facing role where developing relationships with
White Rock Station
stakeholders is key then these roles could be for you:
Experienced shepherd required to join a motivated team. White Rock Station is a large sheep and beef property on the South Wairarapa coast, 50km from Martinborough.
As you will be working independently you’ll need to have loads of energy, a can do attitude and strong communication skills. Your resilient sales skills and your ability to build client relationships at all levels will be essential in this role. You will need to demonstrate sound computer skills, past media experience is preferred and an absolute passion for NZ’s agricultural sector is essential.
Some stock work will be done on horses. Excellent single accommodation, in an environment second to none.
LK0088753©
The successful applicant will require: • 4 working dogs • good stockmanship
You will be well rewarded for your performance with a competitive salary, potential to earn sales incentives and a company car, phone, laptop etc are all part of the total remuneration package.
For more information contact David Mills. LK0088688©
To apply for this job go to Seek and search Account Manager – Canterbury. Job# 34064970. Or if reading this online: Click here to apply
classifieds@nzx.com – 0800 85 25 80
Phone 06 307 8895 or post CV with two references to White Rock Station, RD 2, Martinborough by Monday 21 August.
Extension Manager
Economic Service Manager
Are you passionate about
Skilled at working with Farm Financials?
improving on farm performance
You could make a real impact working on
and implementing best practice?
B+LNZ’s iconic Sheep and Beef Farm Survey.
B+LNZ is seeking an
This role will see an experienced industry
experienced industry
professional forge strong relationships
professional to be our ‘person
with sheep and beef survey farmers in
on the ground’ leading
the region, collecting and consolidating
innovative and targeted
complex farm financial and production
outcome-focused programmes
data to contribute to the annual survey and
for sheep and beef farmers in
forecasting programmes.
the region. You’ll need to travel for these roles but we provide a full personal use company car. Build your brand as an industry leader within the region, within an industry-good, innovative organisation. Applications close at 5pm on Tuesday, 22 August 2017.
For further information, go to: www.beeflambnz.com/vacancies or contact Annette Fitzpatrick on 04 474 0808
REACH EVERY FARMER IN NZ FROM MONDAY Please print clearly Name: Phone: Address: Email: Heading: Advert to read:
Peter Walsh & Associates Ltd (PW&A) a South Island Livestock Company and Peter Walsh & Associates Finance Ltd (PW&AF) require an Assistant General Manager in Timaru. If you are looking for a rewarding role for your future, see the full job description on our website www.peterwalsh.co.nz The position is available from January 2018. Applications Close: 15th September 2017
PETER WALSH & ASSOCIATES LTD www.peterwalsh.co.nz
Positions available: • Shepherd – Permanent • Shepherd – Fixed Term (August to November)
Livestock policies consist of winter trade lamb, bull beef and Wagyu cattle supplying grass-fed markets and feedlot finishing programmes. A range of paddock sizes provide good mustering opportunities as well as the chance for further development in intensive finishing systems, pasture management and modern farming practices.
FARM WORKER/ STOCKPERSON Situated on the outskirts of Mossburn township, carrying approximately 2000 R1s and R2s, plus bulls and beef cattle varying in numbers depending on the season, a diverse and progressive 2000 acre drystock operation.
Farm Locations: • Poukawa Valley – about 20 minutes south of Hastings or 10 minutes north of Otane • Fernhill – about 15 minutes from either Hastings or Taradale
Five minutes from Mossburn, Northern Southland. Schools and shops to cater for most needs, within an hour of Invercargill, Gore, Te Anau and Queenstown.
The farms are close to town allowing staff to enjoy the best of both worlds and providing the added benefit of giving family and partners choice in regards to schooling and work.
Systems include: Youngstock and beef finishing on specialised crops – Advanced winter feeding system – silage production. The successful applicant will have the following attributes: • A passion for agriculture and a desire to work with dairy youngstock in large numbers • Basic farming practices (including machinery, pasture and stock). Training and development will be given • Positive attitude and excellent work ethic, with the ability to work efficiently on your own and effectively as part of a small team. Excellent communication skills and initiative • Some shepherding experience with 1-2 competent working dogs, or willingness to work dogs • Respect and understand Health and Safety protocols • Current NZ drivers licence • Excellent references A remuneration package tailored to suit the successful applicants skill-set and experience.
LK0088642©
A warm, sunny three-bedroom home and large 4-bay garage available on the property.
Phone: Laurie Ngakai, 027 525 5644 Applications with CV’s emailed to: runoffmossburn@yahoo.co.nz Close date 21st August, 2017
We are looking for dedicated and motivated Shepherds to join our team in the Hawke’s Bay.
As a Shepherd, you will work within a small team, under the guidance of Managers who are keen to see staff expand their skills and achieve their goals. There is also scope for the right person to work across both the livestock and cropping enterprises.
For further information: Jim Stringleman • 027 310 0451 j.stringleman@xtra.co.nz
DAIRY RUN OFF – NORTHERN SOUTHLAND
Return this form either by fax to 06 323 7101 attention Debbie Brown Post to NZX Agri Classifieds, PO Box 529, Feilding 4740 by 12pm Wednesday or Freephone 0800 85 25 80
SHEPHERDS
The successful applicant will bring: • A sound level of stockmanship • 2 to 4 capable working dogs • Self-motivation to work independently • Good communication skills • Ability to follow and implement health and safety protocols • Willingness to learn new technologies • Excellent work ethic and reliability • Pride and respect for their workplace A competitive remuneration package with employee benefits will apply based on experience and skill level. Bring your great attitude and energy to our progressive farming business Email your CV and cover letter, with “Shepherd” in subject line, to: hayden@brownrigg.co.nz Or apply online via our website: www.brownrigg.co.nz If you have further questions call Hayden Ashby 0272 931 682
LK0088660©
EMPLOYMENT
Assistant General Manager
classifieds@nzx.com – 0800 85 25 80
Classifieds
VETMARKER
LAMB DOCKING / TAILING CHUTE
LK0088657©
With automatic release and spray system. www.vetmarker.co.nz 0800 DOCKER (362 537)
Wood Chip For Sale
EARMARKERS
BIRDSCARER DE HORNER HOOF TRIMMER
COLOSTRUM POWDER FOR CALVES
• ‘SD Calf Fines’ – this is a fine untreated chip (15-20mm average) great for horse stables & stand off pads • ‘Chunky Chip’ – This is a larger untreated chip (25-30mm average) great for stand off pads
FARMERS
GRAZING AVAILABLE
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
NORTH ISLAND MONTHLY buying trip 26/8/17. Buying dogs South & North Island daily! Quick easy sale. No trial required. No one buys or pays more! 07 315 5553. Mike Hughes.
SECURE GRAZING FOR 300-500 beef cows or other for 3-6 months. Longer term negotiated, [equity share farming/ lease], dependent on amicable honeymoon period! Phone 027 685 5333.
ATTENTION FARMERS
FERAL DEER WANTED
LIVESTOCK FOR SALE
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
HAVE YOU GOT A problem with feral red deer on your farm? We will harvest and process them for you. Top prices paid. Enquiries to Garry 027 636 5446 or David 027 303 9206.
Contact Halen Health Freephone: 0508 777 777
BOOK AN AD. For only $2.00 + gst per word you can book a word only ad in The NZ Farmers Weekly Classifieds section. Phone Debbie Brown on 0800 85 25 80 to book in or email classifieds@nzx.com
Under Woolshed/Covered Yards Cleaning Specialist www.underthewoolshed.kiwi
Good tracks and raceways: • make it quicker and easier to get around the farm • reduce wear and tear on farm vehicles • help prevent lameness in stock
FROM THIS
LK0088518©
To date over 600 woolsheds. Big or small – give us a call.
GORSE SPRAYING SCRUB CUTTING. 30 years experience. Blowers, gun and hose. No job too big. Camp out teams. Travel anywhere if job big enough. Phone Dave 06 375 8032.
DOGS FOR SALE
DOGS FROM $1000! View fifty dogs online or onfarm. Deliver Northland to Southland. Trade ins welcome. Thirty day exchangeable trial. 07 315 5553. Mike Hughes.
Now working Northern Hawke’s Bay: Fern Hill, Tutira & Wairoa areas
OR Have metal that could be used for crushing? We have two mobile crushers and screening plant. We do: • on site metal crushing • metal supply and cartage • upgrade existing tracks & drainage • retaining wall construction • river production and stream maintenance • all types of earth works and metal contracting
CONTRACTORS
LEASE A DOG. Fill an injury gap or take the workload off your team. Thirty day minimum. 07 315 5553. Mike Hughes.
SCOTTY’S CONTRACTORS
Do you need new farm tracks or upgrade existing ones?
17 Simon Street FEILDING Office: Phone 06 323 8889 Tim: 027 446 3383
Also available colostrum for calves, lambs, foals, fawns, kids and alpacas. LK0088342©
Phone: 021 473 325 | Tamahere (Waikato)
Tim McColl Contracting Ltd
DOGS WANTED
ANIMAL HEALTH
LK0088734©
Preference is for you to arrange pick up from our yard although delivery can be also be arranged.
ANIMAL SUPPLEMENTS
www.drench.co.nz farmer owned, very competitive prices. Phone 0800 4 DRENCH (437 362).
The product is not new – it’s been on exhibition sites at Fieldays – but it comes up clean and is in good condition. It came to Fieldays new ex Kaingaroa Forest. $10 per m3 loaded onto your vehicle. Price is ex GST. Minimum order 10m3.
ANIMAL HANDLING
CRAIGCO SHEEP JETTERS. Sensor Jet. Deal to fly and Lice now. Guaranteed performance. Unbeatable pricing. Phone 06 835 6863. www. craigcojetters.com
Suitable for stand off pads and stables Product Types / Description:
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
HEADING BITCH plain eyed 14-month-old. Soft nature, basic left, right, stop and run with work manners. $1500. Phone 06 322 9855.
TO THAT
HEADING DOG 13 months. Stop and call. Needs work to finish. $1000. Farm sold. Phone 022 026 9606.
We haven’t been beaten yet!
Phone Scott Newman Freephone 0800 2SCOTTY (0800 27 26 88) Mobile 027 26 26 27 2
LK0088676©
34
New Zealand’s Number 1 service provider for under woolshed cleaning for more than a decade
DOGS WANTED 12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195.
FERTILISER DOLOMITE, NZ’s finest Magnesium fertiliser. Bio-Gro certified, bulk or bagged. 0800 436 566.
FOR SALE KAWASAKI MULE with canopy and windscreen, tip tray, three people side by side seating. 2011. Two owners. excellent condition. $8500. Bay of Islands. Phone 027 953 4166. WINDMILLS for water pumping. Ferguson Windmills Company. www.windmills.co.nz sales@windmills.co.nz Phone 09 412 8655 or 027 282 7689.
GOATS WANTED
FERAL GOATS WANTED. All head counted, payment on pick-up, pick-up within 24hours. 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.
$2.00 + GST per word - Please print clearly
FOR SALE CLASSIFIEDS REACH EVERY FARMER IN NZ FROM MONDAY
Name: Phone: Address: Email: Heading: Advert to read:
Advertise in the NZ Farmers Weekly
Return this form either by fax to 06 323 7101 attention Debbie Brown Post to NZX Agri Classifieds, PO Box 529, Feilding 4740 - by 12pm Wednesday or Freephone 0800 85 25 80
12 MIXED-SEX Angus x weaners AND 16 suckling porkers. Phone 027 685 533. Northern HB. BOOK AN AD. For only $2.00 + gst per word you can book a word only ad in The NZ Farmers Weekly Classifieds section. Phone Debbie Brown on 0800 85 25 80 to book in or email classifieds@nzx.com
PROPERTY WANTED HOUSE FOR REMOVAL wanted. North Island. Phone 021 0274 5654.
PUMPS HIGH PRESSURE WATER PUMPS, suitable on high headlifts. Low energy usage for single/3-phase motors, waterwheel and turbine drives. Low maintenance costs and easy to service. Enquiries phone 04 526 4415, email sales@hydra-cell.co.nz
TRACTOR PARTS JOHN DEERE 6410, 6600, 6610, 6800, 6900, dismantling Andquiparts. Phone 027 524 3356.
WANTED FOR FIREWOOD TREES. BLACK WATTLE, Blackwood, Casuarina, Gums etc wanted. Clean up guaranteed. Waikato / BOP areas. Tokoroa based. Phone 07 886 6387.
Livestock
THE NEW ZEALAND FARMERS WEEKLY – August 14, 2017
livestock@nzx.com – 0800 85 25 80
35
STOCK REQUIRED
PRELIMINARY NOTICE Just Once Bulls Ltd – S & K Bicknell
Thursday 17th August at 11.00am
www.parkvalespecklepark.com SALE TALK
The conversation stopped as the old bloke entered the pub. He was in his pyjamas, slippers and with the aid of a walking frame shuffled towards the bar.
Enquiries: Ian Rissetto 06 838 8604 0274 449 347
“I’ll have 3 double Scotches please,” he whispered to the barman. The drinks were placed in front of him. He gulped down two and just before he quaffed the third he said: “Shouldn’t be drinking these really, with what I’ve got.”
Mason Birrell 06 838 7091 0274 967 253
“Why?” asked the barman. “What’ve you got?’
Buy and sell livestock at
“Just 15 cents,” replied the old timer.
400-500kgs R2 YR FRIES & BEEF BULLS 1YR BULL CALVES 180-270kgs
60 Kiwicross and 20 Jersey Yearling Bulls
www.dyerlivestock.co.nz
Ross Dyer 0274 333 381
Ideal opportunity to purchase high quality short gestation bulls. With great temperament for this years mating. Bulls will come forward. • • • • • •
LK0088743©
randaclark@xtra.co.nz
400-500kgs
TUESDAY 12TH SEPT 12 NOON MORRINSVILLE DAIRY COMPLEX
Including: A/c Tahaenui Station 120 2-year Angus steers A/c Okare Station 30 2-year Angus steers A/c Mangatawhiti Station 80 1-year Angus and Angus/Hereford steers A/c Papuni Station 45 1-year Angus and Angus/Hereford steers A/c Tauwharetoi Station 80 1-year Angus and AngusX heifers
LK0088754©
Enquiries to Robbie Clark Ph 0274 311 860
R2 YR ANG & ANG X STEERS
G3 Profiled Well grown in good condition Showing great temperament With up to 12 days short gestation Fully BVD tested and double vaccinated TB Free “Do it once, Do it right”
A Financing Solution For Your Farm E info@rdlfinance.co.nz LK0088724©
Purebred Speckle Park Genetics Available
200-280kgs
Annual Fully Recorded High BW Short Gestation Yearling Bull Sale
PGG Wrightson will offer approximately 760 cattle including: 275 2-year steers 110 2-year heifers 210 2-year steers 165 1-year heifers
SPECKLE PARK
R1 YR ANG & ANG X STEERS
Contact Michael Conwell 027 226 1611 Shaun Bicknell 027 221 1977
Wiltshires for sale Ewes, rams, ewe hoggets. No shearing, crutching, docking. Minimal dagging. Scanned 164% ewes, 103% hoggets. Farmed easy-care on steep hill country.
Download the app today
Phone Stu 06 862 7534
NATIONAL MURRAY GREY SALE The registered Murray Grey breeders of New Zealand offer a top quality line up of Yearling and 2 year old bulls, and females for sale. The sale will be run online with StockX from the
Friday 1st September to 8pm, Wednesday 6th September.
STAY OUT FRONT OF THE MOB
REGISTER NOW!
Advertise your ram sales in The NZ Farmers Weekly
www.stockx.co.nz
Phone Nigel 0800 85 25 80 or email livestock@nzx.com
ENQUIRIES TO:
Micheal Phillips - P: 07 873 8115 (North Is) George Climo - P: 03 327 6445 (South Is) Digby Philip (StockX Livestock Manager) M: 027 433 9501 or Email: digby.philip@stockx.co.nz
1
> Every sheep farmer
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FE TOLERANCE
incl gst
rams for when buying What to look
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October 2016
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phone 06 323 0761 mobile 027 602 4925 email livestock@nzx.com 1
LK0088725©
Wairoa Cattle Fair
PARKVALE
MA COWS Due Sept/Oct
2YR TRAD/EXOTIC X HEIFERS 350-450kgs
MARKET SNAPSHOT
36
IN PARTNERSHIP WITH
Grain & Feed Prior week
Last year
Canterbury (NZ$/t)
6.73
AS OF 27/07/2017
AS OF 03/08/2017
6 5 Jan 17
Mar 17 May 17 AgriHQ Spot Fonterra forecast
Jul 17 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
340
333
NI mutton (20kg)
4.10
4.10
2.80
349
273
SI lamb (17kg)
6.60
6.60
5.45
Feed Barley
355
354
255
SI mutton (20kg)
4.15
4.15
2.70
221
Export markets (NZ$/kg) 7.95
7.85
7.40
219
221
UK CKT lamb leg
Maize Grain
418
418
347
PKE
220
219
216
* Domestic grain prices are grower bids delivered to the nearest store or mill. PKE and fertiliser prices are ex-store. Australian prices are landed in Auckland.
North Island 17kg lamb 7.0 6.5 6.0 5.5
INTERNATIONAL Last week
Prior week
Last year
Wheat - Nearest
234
246
212
Corn - Nearest
201
201
175
5.0
CBOT futures (NZ$/t)
4.5
3500
APW Wheat
372
368
324
3000
ASW Wheat
363
361
323
2500
Feed Wheat
284
281
260
Feed Barley
332
332
258
92
90
85
PKE (US$/t)
Jul 17 Oct 17 NZX WMP Futur es
5.80
350
4000
1500 Oct 16 Jan 17 Apr 17 C2 Fonter r a WMP
6.75
340
Australia (NZ$/t)
2000
Ex-Malaysia
South Island 1 7kg lamb
7.0 6.5
NZ venison 60kg stag
6006.0 5005.5 400
5.0
300
4.5 Oct Oct
Dec
Dec
Feb
Feb
5‐yr ave NZX DAIRY FUTURES (US$/T) Nearby contract
Prior week
vs 4 weeks ago
WMP
3300
3230
3160
SMP
2010
2010
AMF
6325
Butter
6150
Last week
Prior week
Last year
Prior week
Last year
2075
Urea
477
477
475
6.65
8.20
6400
6500
Super
309
309
314
35 micron
3.10
3.30
5.55
6190
5750
DAP
784
39 micron
2.65
2.65
5.45
702
702
$/kg
c/k kg (net)
NZ$/t
US$/t
5.5
Nov
Dec
Jan
Feb
150 Aug 13
Sharemarket Briefing EXPECTATIONS for the reporting season are fairly lofty given that prices in New Zealand are near record highs. Expectations are for earnings growth of 6.4% for the NZX50 and 6.5% for the ASX200 with about 67% of companies expected to report a lift in earnings. This week also saw the release of the first political polls since Jacinda Adern took the reins of the Labour Party. The Newshub Reid Research poll showed a strong upswing in popularity for Labour, rising nine points from 24.1% to 33.1%. Both the Greens and NZ First saw big declines in popularity, dropping 4.7 and 3.8 points respectively. National saw a small drop of 0.8%. The poll did not capture the full effect of the Green Party saga so we would expect there to be further shifts in polling. Globally, geo-political tensions have been of significant concern to markets as a war of words has erupted between North Korea and United States president Donald Trump. The market has been on edge with the Dow snapping a lengthy winning streak and pulling back from all time highs and the S&P500 also pulling back. Market commentary provided by Craigs Investment Partners
S&P/NZX 50 INDEX
7790
S&P/NZX 10 INDEX
7509
Aug 14
Aug 15
Aug 16
Feed barley
4 w eeks ago
NZ venison 60kg stag
600
250
2750
39 micron wool price
6.5
CANTERBURY FEED PRICES
3000
14548
This yr
6.65
350
11575
Aug
Last week
3250
S&P/FW AG EQUITY
Last yr
Aug
29 micron
450
S&P/FW PRIMARY SECTOR
Jun
(NZ$/kg)
3500
Latest price
Jun
NZ average (NZ$/t)
WMP FUTURES - VS FOUR WEEKS AGO
Oct
Apr
WOOL
* price as at close of business on Thursday
Sep
Apr
FERTILISER
Last price*
2500
Last year
6.80
Feed Wheat
Waikato (NZ$/t)
7
Last week Prior week
NI lamb (17kg)
Milling Wheat
PKE
8
Slaughter price (NZ$/kg)
$/kg
6.75 MILK PRICE COMPARISON
$/kgMS
Last week
AGRIHQ 2017-18
FONTERRA 2017-18
US$/t
SHEEP MEAT
DOMESTIC
$/kg
MILK PRICE FORECAST ($/KGMS) 2017-18
Sheep
c/kkg (net)
Dairy
Aug 17
PKE spot
Auckland International Airport Limited
Close
YTD High
YTD Low
6.84
7.43
6.31
Meridian Energy Limited
2.97
3.02
2.57
Spark New Zealand Limited Fisher & Paykel Healthcare Corporation Ltd Fletcher Building Limited Mercury NZ Limited (NS) Ryman Healthcare Limited Contact Energy Limited Air New Zealand Limited (NS) Xero Limited
3.87 11.42 7.97 3.56 9.37 5.45 3.28 26.55
3.95 11.67 10.86 3.59 9.41 5.45 3.60 28.20
3.32 8.50 7.38 2.94 8.12 4.65 2.08 17.47
Listed Agri Shares
400 3.5 300
2.5Oct Oct
Dec
Dec
5‐yr ave
Feb
Feb
Apr
Apr
Last yr
Jun
Jun
Aug
Aug
This yr
Dollar Watch
Top 10 by Market Cap Company
4.5
500
5pm, close of market, Thursday
Company
Close
YTD High
YTD Low
The a2 Milk Company Limited
4.840
4.950
2.060
Cavalier Corporation Limited
0.320
0.810
0.270
Comvita Limited
6.070
8.650
5.150
Delegat Group Limited
6.800
7.000
5.650
Foley Family Wines Limited
1.260
1.500
1.200
Fonterra Shareholders' Fund (NS)
6.250
6.400
5.880
Livestock Improvement Corporation Ltd (NS)
2.340
2.610
2.340
New Zealand King Salmon Investments Ltd
1.650
1.750
1.220
PGG Wrightson Limited
0.600
0.620
0.490
Sanford Limited (NS)
7.260
7.750
6.700
Scales Corporation Limited
3.510
3.650
3.210
Seeka Limited
5.050
5.500
4.300
Tegel Group Holdings Limited
1.230
1.460
1.050
S&P/FW Primary Sector
11575
11587
9307
S&P/FW Agriculture Equity
14548
14548
10899
S&P/NZX 50 Index
7790
7800
6971
S&P/NZX 10 Index
7509
7563
6927
TOUGHER talk by the This Prior Last NZD vs Reserve Bank is the main week week year influence for a lower New USD 0.7280 0.7442 0.7214 Zealand dollar, ASB Bank EUR 0.6184 0.6264 0.6475 rural economist Nathan AUD 0.9237 0.9363 0.9363 Penny says. The kiwi fell about GBP 0.5609 0.5663 0.5556 US1.5c against the US Correct as of 9am last Friday dollar and was lower on other major crosses as well. International worries over North Korea were also a factor, pushing investor money into safe-haven currencies such as the US dollar, Swiss franc and Japanese yen, Penny said. Polls showed a potential change in government after the September election was sitting in the background at this stage. In Thursday’s RBNZ monetary policy statement, the bank said a lower NZ dollar was needed but overall it was less dovish in its economic outlook than the market had expected and the kiwi rose afterwards. However, in comment soon after that, the bank had a go at the kiwi, reminding the market that intervention to bring it lower was always a possibility, pushing it lower again. “It is still jawboning at this stage and we don’t think intervention is likely but it was just a nudge downwards,’’ Penny said. NZ’s terms of trade look like being at record levels this year, justifying a strong currency. The kiwi sits pretty close to where ASB has forecast it to be at year-end – about US$0.728. ASB thinks it will go slightly lower on other crosses, to £0.55 and €0.61 but higher against the Aussie dollar. Alan Williams
Markets
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
WAIKATO PALM KERNEL
NI SLAUGHTER LAMB
SI SLAUGHTER LAMB
($/T)
($/KG)
GOOD MIXED SEX LAMBS AT TEMUKA
($/KG)
($/HD)
6.80
220
6.60
Cattle & Deer
110-120
high lights
37
$705-$755
$1170-$1285
R1 Hereford-Friesian heifers, 240-250kg, at Wellsford
R1 Simmental-cross steers, 313-345kg, at Stortford Lodge
More photos: farmersweekly.co.nz
BEEF Slaughter price (NZ$/kg)
Last week
Prior week
Last year
NI Steer (300kg)
5.50
5.60
5.60
NI Bull (300kg)
5.45
5.55
5.50
NI Cow (200kg)
4.40
4.50
4.50
SI Steer (300kg)
5.40
5.45
5.40
SI Bull (300kg)
5.10
5.15
5.20
SI Cow (200kg)
4.40
4.40
4.30
US imported 95CL bull
6.56
6.76
6.92
US domestic 90CL cow
6.86
6.87
6.57
Export markets (NZ$/kg)
North Island steer (300kg)
6.5
$/kg
6.0 5.5 5.0 4.5
HAPPY DAYS: Farmers and agents who have endured months of wet weather would welcome back the sunshine at stock sales such as this one at Stortford Lodge a few years ago where PGG Wrightson agent Michael Greene and buyers had sun hats instead of umbrellas.
4.0 South Island steer (300kg)
6.5 6.0
Endless rain frays nerves
NZ venison 60kg stag
c/k kg (net)
$/kg
5.5 600
500 5.0 400 4.5 300
4.0
Oct Oct
Dec Dec
Feb Feb
5‐yr ave
Apr Apr
Jun Jun
Last yr
Aug Aug This yr
VENISON Slaughter price (NZ$/kg)
Last week Prior week
Last year
NI Stag (60kg)
9.10
9.00
8.10
NI Hind (50kg)
9.00
8.90
8.00
SI Stag (60kg)
9.15
9.10
8.10
SI Hind (50kg)
9.05
9.00
8.00
New Zealand venison (60kg Stag)
10
$/kg
9
c/k kg (net)
600
NZ venison 60kg stag
8
500 400 7 300 6 Oct
Oct
Dec Feb Dec Feb 5‐yr ave
Apr Apr Last yr
Jun Jun
Aug Aug This yr
R
EGULAR downfalls are starting to wear thin for those around the country, with many farmers trying to feed out, lamb and calve in the mud. In some areas there has been a noted increase in numbers of stock to auction, as farmers offload to try to save pastures, though in other areas the wet conditions have meant some stock has been cancelled due to access issues. NORTHLAND NORTHLAND A very wet day greeted sale goers at KAIKOHE last Wednesday, and with access to some properties too wet lines were cancelled, with around 300 head offered. The smaller number worked in vendors favour though, with the market solid considering the trying conditions, PGG Wrightson agent Vaughan Vujcich reported. Feeder calves were sold under the new cover, which was appreciated by
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both animals and people alike. A good number of R2 HerefordFriesian steers ventured forward, and sold above expectations at $2.88-$2.94/kg for 450-470kg. Lighter Angus steers hit the $3/kg mark, with vendors pleased with returns given the very wet weather. Friesian and Angus-cross bulls made $2.70-$2.78/ kg, and Hereford-Friesian heifers, $2.65-$2.78/kg. Angus and Charolais-cross steers featured in the R1 pens and sold well enough at $3.40-$3.60/kg, with Friesian and beef-cross bulls trading at $3.00-$3.20/kg. Heifer numbers were low, but generally beef-cross returned $3.00-$3.10/kg. Quality was mixed in the 100kg bull pens, which saw some hesitation and a big price range of $380-$520 posted. The heifer market was more consistent though, and Friesian and beef-Friesian ranged from $400-$480. Cow numbers were low, and the
better beef and Friesian sold for $1.90-$1.98/kg, while medium types returned $1.80/kg. Following the adult cattle fair last week, WELLSFORD offered up over 1100 R1’s last Monday. Throughput numbers were up due to wet conditions and the inclusion of a consignment of Charolais-Hereford, which would usually be sold at the weaner fairs. Nearly 160 main lines were offered, but the crowd meant business, and all lines sold to strong demand. Charolais-Hereford cross steers, 223-267kg, were well contested and traded at $825-$930, with the lightest line achieving $3.70/kg. Compared to last year’s fair Hereford-Friesian prices softened, with 250-290kg making $850-$900, $3.26-$3.40/kg, and 200245kg, $770-$850, $3.65-$3.83/kg. The better end of the Angus-Friesian sold
Continued page 38
Markets
38 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017 to similar levels, though lighter lines were discounted 20-40c/kg. Competition was local on heifers, and prices for the better lines lifted. Charolais-cross, 230269kg, returned $720-$850, $3.12$3.22/kg, while a decent yarding of Hereford-cross, 210-260kg, fetched $655-$775, $3.00-$3.15/ kg. The feature was HerefordFriesian, with 210-240kg making $675-755kg, $3.07-$3.20/kg, and 190-195kg, $672-680, $3.46-$3.54/ kg. Bull numbers were low and outside buyers played their part. R1 Friesian, 294kg, returned $920, with two other lines, 190-203kg, making $720-$740, while 35 autumn-born R2, 331kg, returned $3.08/kg. COUNTIES COUNTIES Good R1 and R2 steers sold at higher rates at TUAKAU last Thursday, Keith West of Carrfields Livestock reported, while other classes remained steady. The offering included R2 steers, 388-452kg, which traded at $2.86-$3.03/kg. A nice lineup of 15-month steers, mostly Hereford-Friesian, 297-366kg, sold at $2.95-$3.32/kg, with the best of the R1 steers, 167-205kg, making $755-$890, and light-medium lots, 120-160kg, $540-$675. R2 Friesian bulls, 438-449kg earned $2.56-$2.76/kg, and a small entry of heifers, 401-450kg, fetched $2.75-$2.80/kg. Top R1 heifers, 256-295kg, made $715$875, and 200-248kg, $625-$665. A few pens of early weaner heifers, 101-123kg, returned $420-$520. The market for prime heifers and steers was steady last Wednesday. About 350 cattle were sold, with heavy prime steers trading at $2.84-$2.91/ kg, medium $2.79-$2.84/kg and lighter $2.73-$2.78/kg. Top prime beef heifers made $2.77-$2.82/ kg and medium $2.72-$2.77/kg. Dairy type-heifers earned $2.28$2.58/kg, and a small entry of beef cows sold at $2.22-$2.43/kg. With fewer than 100 cows on offer, the boner market remained firm. Heavy, well-conditioned Friesian cows sold at $2.02-$2.38/kg, and medium $1.72-$1.87/kg. Lighter boners earned $1.52-$1.69/kg, and a small entry of beef bulls fetched $2.89-$3.03/kg. Last Monday’s sheep sale was a relatively small affair, with 800900 ewes and lambs yarded, but all classes sold to recent values. Heavy prime lambs returned $137-$155, medium $124-$135, and lighter $110-$122. Top store lambs sold up to $110 and lighter sorts sold from $85. Heavy, wellconditioned ewes made $101$123, and medium $85-$97.
BAY OF PLENTY BAY OF PLENTY Winter-type yardings continued at RANGIURU last Tuesday, with 470 offered. Feeder bull calf numbers and prices last Wednesday were similar to the previous week. Older Angus steers featured though prices eased, with 485650kg selling for $2.97-$2.98/ kg, while beef-Friesian returned $2.80-$2.93/kg. Low numbers of beef heifers mainly traded at $2.83-$2.88/kg. Store cattle sold on a steady market, but was restricted by more forecasted rain for the region. The only lines of significance in
the R2 steer pens were Friesian, 408-451kg, $2.79-$2.84/kg. Competition was fierce for R1 Hereford-Friesian steers, pushing all lines to $4/kg, and the lighter lines up to $4.37-$4.41/kg. On a per head basis, 153-194kg made $675-$790. Quality beef and beefFriesian heifers hit $800-$900, though lesser lines were harder to shift. Plenty of bids for HerefordFriesian cows saw prices lift, and 460-497kg achieved $2.74-$2.82/ kg. Sheep numbers were very low at 92, and featured prime lambs at $150-$158, while a small line of scanned-in-lamb ewes managed $112. Feeder calf dropped to 160, though it was felt more in the heifer pens. Buyers were local, and top end bulls sold on a steady market, with two good lines of Hereford-Friesian earning $260-$270, and Friesian, $120$155. Lighter Friesian returned $78-$105, while the first Jersey bulls made just $10. Heifer prices strengthened, though numbers were very low at 23. Top HerefordFriesian made $200-$205, and the remainder $128-$190. WAIKATO A decent size yarding met a big buying bench at FRANKTON last Wednesday. Although prices were up and down, good quality stock still sold well, with R1 and autumn-born cattle particularly strong. There was a softening in the older cattle, likely due to the continuing onslaught of winter and easing schedules. Three-year plus steers, 755-767kg, softened to $2.70-$2.89/kg, though bulls, 673kg, managed $2.93/kg. R3 Angus-Hereford steers, 503-536kg, returned $2.78-$2.92/kg, while heifers of similar breeding and 408-503kg, managed $2.63-$2.67/ kg. Beef-Friesian heifers, 434492kg, fetched $2.73-$2.84/kg. Good quality Angus-Hereford lines were a treat in the R2 steer pens, and commanded the best price, with 400-440kg earning $2.95-$2.98/kg, and 485-506kg, $2.85-$2.92/kg. Hereford-Friesian, 434-551kg, mainly traded at $2.75-$2.83/kg, with one line of 430kg up to $2.93/kg. A smaller yarding of heifers returned strong results for the better cattle, with Hereford-Friesian, 438-445kg, making $2.83-$2.84/kg, though most other lines traded at $2.70$2.80/kg. R1 Angus-Hereford steers, 261273kg, were well received at $980$1010. Their heifer counterparts, 209-248kg, made steady returns at $670-$800 and Hereford-cross, 215-276kg, $710-$750. Friesian bulls, 201-290kg, were procured at $700-$890. Autumn-born R1 cattle continue to be sought after. Hereford-cross steers, 123-124kg, were snapped up at $630-$640, and Angus-Hereford heifers, 110-120kg, returned $440$550. Hereford-cross bulls, 119-235kg, managed $620-$705, though Hereford-Friesian, 109130kg, surpassed them at $650$720. TAUPO offered up 308 store cattle and 13 feeder calves last Thursday, with the benches full, and a number of buyers heading home empty handed, Central
Livestock agent Shane Scott reported. The R2 steer market was strong with all lines making $3.11-$3.19/ kg, and top dollar of $1380 spent on 20 432kg Angus & AngusHereford. Angus-Friesian featured in the R2 heifer pens, and at 375402kg sold on a very solid market for $2.88-$2.89/kg. Numbers were boosted significantly by a consignment of 160 autumn-born heifers. Hereford-Friesian made up the bulk of the offering, and 124128kg lines made $540-$630, with the lightest line hitting $5.08/kg, while 112kg fetched $535-$555. R1 Friesian bulls, 177-259kg, varied from $630-$915, though sold over a tight c/kg range of $3.53-$3.56/kg. The sale finished with 13 Murray Grey-cross calves, which sold for $78. KING COUNTRY KING COUNTRY The time of year is contributing to small yarding’s at TE KUITI, with last season’s lamb market winding down, and scanned empty ewes already through, Carrfield’s agent Carl White reported. Prices however remained firm last Wednesday, as the lack of numbers puts pressure on buyers. Heavy prime lambs sold for $130-$145, with second cuts making $113-$127, and third, $110-$113. Six pens of prime ewes sold for $65-$90, while a small line of scanned-in-lamb ewes to Romney ram returned $115. The store lamb section was the highlight, with prices very firm for good lambs. A consignment from one property offered up heavy male lambs, with the tops making $133, and second cut $129.50. Good blackface mixed sex lambs sold for $107-$109, with smaller lines earning $95-$105. TARANAKI TARANAKI TARANAKI picked the worst day last Wednesday to have a capacity yarding, with persistent rain falling, and 1050 cattle filling all pens, New Zealand Farmers Livestock agent Stephen Sutton reported. But the job was done, and while the spark came out of the market, results were pleasing considering the weather conditions. R3 steers were mainly forward store beef-Friesian and bidding was cautious, with 520-560kg trading at $2.83-$2.95/kg. Two lines of Angus, 445-497kg, managed $3.03-$3.06/kg. The edge came off prices for a big yarding of R2 steers, and the Manawatu and local buyers were able to pick up some good cattle at reasonable rates. The bulk traded at $2.95-$3.20/kg, with lighter lines selling for higher c/kg. A small yarding of R2 heifers sold freely at $2.80-$2.93/kg. The R1 market had its flat patches, but the ever popular Hereford-Friesian steers sold for premiums throughout. Vendors were still getting $1000-$1030 for the better types, but it was more of a job to reach those levels. Angus-Friesian were good shopping, with 230-260kg earning $3.50/kg. The heifer market was similar to the steers, and featured a consignment of Charolais, with 305kg earning $890, and 245260kg, $810-$865. Angus, 250kg,
returned $825, with most heifers ranging from $700-$850. Bull numbers were low, and mixed quality Hereford-cross, with most earning $500-$600. POVERTY BAY POVERTY BAY Store lambs numbers were minuscule yet again at MATAWHERO, not reaching more than 400 head for the third week in a row now. Those that were offered did find relatively good interest though, pushing the average value for the sale up $2, even though the yarding was lighter. The more forward store lambs fared better than the longer-term lines. Good male and ewe lambs were $110-$118.50, but lighter pens were only $89-$103. A line of good SIL Romdale ewes made $115. The top cut of prime lambs went for $141-$155, with the rest at $95-$122. Prime ewes were bought at $99-$109. HAWKE’S BAY HAWKE’S BAY STORTFORD LODGE held the first real ‘spring’ cattle sale last Wednesday, with over 600 mainly good quality beef and exotic lines penned. Lamb number picked up, and male prices were steady, though ewe prices eased. Last Monday’s sale had a cautious air, reflecting easing schedule prices. Angus steers traded at $2.99/kg, though higher yielding Shorthorn, 699kg, did manage to hit $3.00/kg. Angus heifers, 501kg, bettered the steers at $3.05/kg, while a small yarding of boner heifers sold well relative to their weight and condition, with all making $2.75-$2.87/kg. Prime lamb numbers almost halved, and male prices softened, though ewe lamb returns were very strong. Most male lines sold for $140-$174, so the weight was not lacking, while ewe lambs returned $124-$146. Ewe prices were consistent for a small yarding of 365. Heavy and very heavy ewes traded at $114$140, while the remainder sold for $93-$114. A small offering of 2-tooths returned $107-126. In contrast to the prime lamb prices, store male lambs showed improvement, while ewe lambs came off the high levels set the previous week. Lambs weighed up well, with just two lines under 31kgs across the yarding. Many are coming in in their jerseys, as vendors either can’t or don’t want to shear. Though some regular faces were missing due to the Marton Hogget Fair, the male lamb market was steady, with very heavy lines making $125-$141, and the remainder, $116-$124. Ewe prices eased, with top lines at $114-$120, though no lines sold under $108. Breeding ewes were mainly from one property with two good lines of 5-year Romney, scanned-inlamb 176%-178% to a Suffolk ram earning $131-$140. The store cattle sale was led by local buyers, and some top quality cattle passed through the rostrum. R2 steer market eased, and a line of prime Angus & AngusHereford matched Monday’s market, with 593kg at $3.00/ kg. Forward store Charolais and Angus, 450-459kg, sold to $3.12$3.13/kg. Returns were better for heifers, and the lighter offering of Angus,
305-357kg, managed $950-$1115, $3.05-$3.17/kg, and HerefordFriesian, 394kg, $2.88/kg. A small line of Hereford bulls, 595kg, returned $2.86/kg. In the R1 pens, most steers sold in excess of $1000, and heifers, $1000. Simmental-cross steers, 313-345kg, stayed together for $1170-$1285, and Angus & AngusHereford, 253-288kg, $1000-$1095. Charolais-cross, 283kg, returned $1055. The heifer yarding was top notch, and by sale end, all bar the Charolais-cross stayed local. Angus, 253-268kg, traded at $860$925, but a line of 176kg managed $880 at an impressive $5/kg. Other beef lines made $890-$990, while Simmental-cross, 309330kg, returned $1050-$1075, and Charolais-cross, 262-265kg, $915-$980. DANNEVIRKE flew through the sale last Thursday, with very low numbers in all sections. One line of cryptorchid lambs sold for $131.50, while prime wethers returned $121.50, and ewes, $80-$89. In the calf pens, a small number sold to solid demand. Big Friesian bull calves made $190-$220, with smaller types earning $80 - $170. Hereford-Friesian bulls returned $170-$240 and crossbred, $50-$90. Hereford-Friesian heifer calves sold for $120-$225, and Anguscross, $190 - $220. MANAWATU MANAWATU The calf pens were full to capacity at RONGOTEA last Wednesday, with a good yarding of R2 heifers also offered, New Zealand Farmers Livestock agent Darryl Harwood reported. The boner cow market came back on recent levels, with Friesian, 535-600kg, earning $1.57-$1.62/kg, and Angus, 382kg, $1.80/kg. In-calf crossbred cows made $965. R2 steers were noted for their absence, but Red Devon bulls, 515kg, made $2.91/kg, and a better line up of heifers included Hereford-Friesian, 352-517kg, $2.61-$2.93/kg, and Angus, 345kg, $2.71/kg. Quality was mixed through the R1 pens, with the better HerefordFriesian steers selling to $1100, while a line of Belgian Blue, 247kg, returned $763. Friesian bulls, 227-330kg, made $810-$860, and Hereford-Friesian, 195-290kg, $700-$840. Hereford-Friesian heifers, 207-285kg, sold well at 745-$1030, $3.60/kg, though Friesian were well back on that at $390-$550. Plenty of action in the feeder calf pens saw a slight softening to Friesian bull prices, with big calves making $180-$220, medium $150-$170, and small, $80-$120. In contrast Hereford-Friesian prices lifted, with the top lines making $300-$380, medium $220-$280, and small, $120-$180. Charolaiscross fetched $385. HerefordFriesian heifers sold to $180-$240, and small, $80-$170. Charolaiscross returned $290, and Anguscross, $135. A small yarding of in-lamb ewes made $100, with dry lines earning $80-$97, and ewes with lambs-atfoot, $76 all counted. Mixed sex lambs returned $69-$121. Both the rain and buyers were persistent at the annual FEILDING and MARTON hogget fair held
Markets
last Wednesday, though numbers continued to trend down, with 13700 offered. Prime sheep numbers dropped to the lowest level since January last Monday, while calving continues to draw out both cull cows and feeder calves. A small yarding of 73 cattle featured 67 cows, but cautious bidding saw prices ease. Friesian, 485-640kg, averaged $1.76/kg, and Hereford-Friesian, 550-690kg, $1.87-$1.90/kg. A total of 2300 sheep consisted of mainly lambs, with ewe numbers seasonally low due to lambing. The lower lamb numbers saw an increase in competition, and top price of $184 was awarded to 42 heavy male lambs, with around 400 making $163-$184, and medium primes, $129-$154. Store types returned $100-$129. Heavy ewes lifted to $126-$137, while prices firm for medium $91$120, and light, $61-$87. Feeder calf numbers increased to 550 head, with prices firm. Good Friesian bulls made $200$250, medium $150-$180, and small, $80-$120. The top HerefordFriesian, Angus-Friesian and Speckle-Park all sold within $300-$400, with medium beefdairy making $180-$280. Good Hereford-Friesian heifers made $180-$250, and medium $140$180. Many farm to the Feilding and Marton hogget fair, and ewe lambs made up the biggest portion. A larger than usual number came forward in full wool, as vendors opt not to shear prior to selling. Top price of $201 went to a line of very heavy males, while the top pen of ewe hoggets achieved $170. Heavy male lambs sold for $130$188, with few selling below that level. Ewe prices were steady, and heavy lines made $120-$160, and medium, $107-$119. This was the smallest sheep yarding so far this season at 6000 head but there were some highlights. The first pen of ewes with lambs at foot sold for $79 and, as a comparison, 101 Romney two-tooths scanned with twins sold for $187. With the Marton Hogget Fair behind, store hogget prices have been reset and three pens of heavy males nudged $150; 101 at $150; 71 cryptorchids at $149.50; and 26 at $149.50. The top pen of ewe hoggets, 159 smothered in wool, sold for $143. As has become common, many of the hoggets offered were very woolly and a large number are now carrying a lice burden, as well. All weight ranges sold for generally firm demand. Ewes; SIL, $95-$187; Ewes with LAF, $79; Lamb; very heavy, $141$150; heavy, $115.50-$143.50; medium, $101-$134.50; light, $86-$113. The most notable aspect of the cattle sale was the large number of R2 Friesian bulls. Large numbers usually attract more buyers and the auctioneers were happy with their results. Both age groups are also offering greater numbers of autumn-born cattle so the per kilo range is wider but the top two year Friesians made $1660, $2.97/ kg, and the top yearling Friesians made $1060, $3.09/kg. Earlier in the sale, steers were not offered in large numbers which helped as the prevailing
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017
DUST: Yes, that stuff in the air is dust. It happens when it stops raining. It’s the opposite of mud.
More photos: farmersweekly.co.nz
ground conditions are very wet and that, aligned with the negative comment on the beef markets, is just taking the edge off cattle prices. The heaviest steers, 14 R3 Hereford-Friesian made $1730, $2.93/kg and the heaviest R2 steers, 22 Angus-Herefords made $1696, $3.07/kg. Yearling steer numbers were also back and prices as well. Little stood out in the heifer sections and sale prices were also not remarkable. A pattern was hard to discern and the yearling heifer numbers were also inflated with more autumn-born Hereford-Friesian heifers. Steers: R3, 580-590kg, $1715$1730, $2.93-$2.95/kg; R2, 355551kg, $970-$1695, $2.73-$3.39/ kg; R1, 210-309kg, $760-$1125, $3.40-$3.92/kg; Bulls; R2, 409532kg, $1320-$1660, $2.88-$3.19/ kg; R1, 114-343kg, $540-$1070, $2.55-$5.73/kg; Heifers; R2&3, 355-480kg, $1020-$1350, $2.58$3.20/kg; R1, 90-249kg, $445-$845, $3.30-$5.39/kg. CANTERBURY CANTERBURY The prime market cattle is still holding up relatively well at CANTERBURY PARK. Numbers were essentially limited to a heifers and a few steers, with the heifers appearing to firm the most. Good traditional heifers were usually bought at $2.80-$2.86/kg, and Hereford-Friesian lines were 5c/kg lower than the traditionals. Steers were a little closer to steady. Good forward-store lines made as much as $3.03/kg, but heavier lines were closer to $2.82-$2.94/ kg. A 460-480kg Friesian bulls made as much as $2.51/kg, while two lines of light dairy cows were only $1.50-$1.60/kg. There were only limited numbers of store lambs to choose from, and this likely contributed to the softer market in these. The forward-store lines made $112$114, mediums were $106-$114, and lighter lines $82-$106. Prime lambs dominated the yarding and there was plenty of quality through these. Buyers were more than willing to compete for these, as the heavy lambs made $160-$178. Good lambs were $145-$157, mediums around $130-$142, and the lighter end $115-$128. Prime ewes were few and far between and sold for steady money. Heavy lines were $126$141, good lines generally $100$118, with the lighter end around
the $80-$00 mark. Conditions were almost spring like at COALGATE last Thursday, which was welcomed with a big yarding of sheep to sell. In contrast cattle numbers were low. Store lamb numbers hit 2000 head, including a consignment of Poll Dorset-Merino and Merino male lambs. Results were pleasing, with most making $112-$127, while ewe lambs and mixed sex traded at $100-$119. Prime lambs lifted to 1900, and very heavy lambs made up a big chunk of the yarding. These sold for $150-$172, and medium $131$149, with few lines under $120. Just over 700 ewes sold on a steady market, with heavy lines earning $121-$146, and the remainder, $82-$117. One very heavy pen managed $201, with a further ten head reaching $180. Cattle numbers are still at winter levels, and the pens held 72 prime and 41 stores. High yielding Charolais-cross steers, 588kg, softened to $2.98/kg, though bettering the lower yielding beef –cross lines at $2.89/kg. Beef heifers, 448-464kg, made solid returns at $2.74-$2.81/kg, but prices were variable for the dairy and dairy-cross contingent, with better types earning $2.48$2.68/kg, and lesser lines, $2.20$2.36/kg. Heavy cows were well sought after, and a line of seven, 659kg, managed $2.20/kg, with Friesian, 555-568kg returning $1.90/kg. Lighter types traded at $1.66$1.76/kg. The highlight in the store pens was a line of R1 Herefordcross steers, 220kg, which sold for $910. $4.14/kg. HerefordFriesian heifers, 199kg, also hit $4/kg, selling for $800, $4.02/ kg, bettering their sisters, 212kg, which sold for $710. Feeder calves numbered 60 head, and the better quality calves sold freely, with Hereford-Friesian bulls making $185, and heifers of same breeding $130-$150. Good Friesian bulls returned $120-$140, but a big portion of the offering were lighter crossbred lines, which were harder to shift and sold for $30-$60. SOUTH CANTERBURY SOUTH CANTERBURY Farms took the opportunity to offload a TEMUKA following a better week of weather. Bidders were more keen on prime cattle than the week before, with values generally lifting throughout the sale.
Steers were quite varied in terms of prices. Some 523- 570kg Herefords were the most popular at $3.00-$3.01/kg, but other beef lines, 441-636kg, were more like $2.83-$2.93/ kg. Traditional heifers also firmed, with anything 405-580kg usually selling at $2.81-$2.91/kg. This strength was not shared among the relatively large number of dairy heifers though. Many were 370-460kg and barely beat out the cows at $2.20-$2.30/ kg. There was a good selection of 522- 673kg traditional and Simmental cows, regularly making $2.20-$2.26/kg. The dairy cow market was quite strong too. Anything 468-629kg fell into the $1.91- $2.00/kg range, but fell away fairly sharply at lower weights. Dairy and Charolais bulls, 565635kg, were all bought at $2.72$2.78/ kg, though a line of eight 723kg Hereford did particularly well at $2.88/kg. Those still with lambs on-farm made the most of it by offloading any excess stock units, making for one of the largest store lamb yarding in quite a few weeks. There were plenty of lambs that fell into the forward-store category, selling for $116-$125. Other medium-good lambs were $106-$115, while longer-term lines made $98-$108. A line of 205 good SIL ewes found a good level of interest at $144. It was steady-as-she-goes in both the prime lamb and prime ewe sections. Good weighs through the lambs meant nearly a third were $160-$172. The midrange types were still $120-$139 though. Prime ewes were evenly spread across $100-$139. OTAGO OTAGO Bulls made up the majority of the cattle sale at BALCLUTHA last Wednesday, while the entire sheep sale had a very firm tone to it, PGG Wrightson agent Patrick Clegg reported. A smaller yarding of store lambs put pressure on buyers, and prices lifted $5, with top lines trading at $108-$116, and medium $105$108, with few selling below that level. Prime lamb prices were also healthier, despite an increase in numbers in these pens. Heavy types returned $128-$153, medium $120-$128, and lighter, $110-$120. Ewe prices lifted $5-$10, with
39
heavy lines making $130-$150, medium $100-$130 and lighter $75-$100. Rams sold for $60-$90. A small yarding of store cattle featured R2 bulls, and heavier types ranged from $1100-$1300, medium $720-$970, and lighter, $600. Highlighted lines included Friesian, 338kg, $970, $2.80/kg, and Angus, 456kg, $1290, $2.80/ kg. Murray Grey calves, 178kg, sold for $710, $3.98/kg. SOUTHLAND SOUTHLAND A busier day at LORNVEILLE last Tuesday saw store cattle, breeding ewes and feeder calves added to the mix. Sheep prices were firm to lifting across the board as numbers fell away but demand remained. A small yarding of store lambs saw heavy lines make $98-$110, medium $85-$95, and light, $70-$80. Tail end lambs sold for $45-$55. Breeding ewes made up the biggest chunk of the sheep sale, and scanned-in-lamb hoggets sold well at $145, with various lines of medium-light mixed age making $110-$140. Scanned-in-lamb singles sold for $115. Prime lambs numbered around 150, and prices for heavy and medium types lifted $5-$10 to $135-$150 and $115-$125. Third cuts remained steady at $100$110. Heavy ewes firmed to $105$120, while medium and lighter lines remained steady at $80-$95, and $55-$70. Prime values held for a very small yarding. Steers, 550kg plus, fetched $2.70-$2.78/kg, and medium types, 500-550kg, $2.70-$2.75/kg. Beef-cross heifers, 440kg, returned $2.60-$2.70/ kg, though lighter lines dropped away to $2.40-$2.60/kg. Dairy, 400-420kg, fetched $2.00-$2.20/ kg. Cow prices ranged from $1.80$1.90/kg for the better types, to $1.70-$180/kg for medium, with lighter lines making $1.60-$1.70/ kg. The store market was strong for most lines, though in particular the good R1 cattle. R2 Friesian steers, 367-387kg, made market value at $2.47-$2.51/kg, and heifers of similar breeding, 401426kg, $2.29-$2.32/kg. Good R1 Hereford-cross steers, 300kg, returned $1050, and Friesian, 330kg, $890. A small yarding of feeder calves met solid demand and good Friesian bulls made $150, medium $135-$137, and small $125. Crossbred bulls sold for $50. Quality was mainly good through a yarding of 1000 at CHARLTON last Thursday, and prices across the board were strong, PGG Wrightson agent David Morrison reported. In the store pens, 400 lambs sold well, with top lines at $105, medium $85-$90, and light, $70$75. Bidding was competitive on three and four-shear ewes, scanned triplets, selling to $190, while other scanned lines returned $155-$170. A small yarding of prime sheep just hit 500 head. The strong market continued, and heavy lambs made $140, medium $120$130, and lighter $100-$110. Prices were similar for the top end of the ewes, with heavy lines making $153, medium $110-$120, and light, $40-$60, Two-tooth’s traded at $85-$100, and rams, $50.
Markets
40 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – August 14, 2017 US IMPORTED 95CL BULL
NI SLAUGHTER BULL
NI SLAUGHTER STEER
(NZ$/KG)
($/KG)
R2 ANGUS HEIFERS, 305-355KG, AT STORTFORD LODGE
($/KG)
($/KG LW)
6.56
5.45
5.50
3.12
Selling group expands Alan Williams alan.williams@nzx.com
A
NZCO Foods has joined the New Zealand industry group providing marketing services in China. Working with Shanghai-based Primary Collaboration NZ (PCNZ) would allow Anzco to more quickly achieve its goals of higher-value, branded meat product distribution in the market, chief executive Peter Conley said. Anzco became the second major meat exporter to join PCNZ, after Silver Fern Farms, one of the founding partners two years ago. Anzco was already trialling chilled beef in China, after the market was opened up on a test basis for both beef and lamb from NZ. Though it had become easier for foreign companies to set up offices in China, it was still a reasonably lengthy and challenging process, Conley said. Being part of PCNZ would provide quick and proven access. PCNZ was in the process of finding a market manager to handle the Anzco business and expected to have someone in place by October, PCNZ general manager Kevin Parish said. That involved marketing, promotion, education and training food service people and diners and consumers. PCNZ members had
COLLECTIVE: Anzco has joined the Primary Collaboration group to market its meat in China with the support of Silver Fern Fams.
reported several market successes over the last two years. # One company reduced a refund claim because of product quality issues after PCNZ became involved and could assess the issue and physically see the products. Before that, the importer involved had made little consultation with the NZ exporter. # A client developing a new food product for high-end hotels and restaurants. PCNZ engaged an experienced food service channel representative to
develop the market. Over 18 months sales went from zero to $12 million, with margins about 30% higher than traditional service lines. # A switch for one partner/client from selling into wholesale markets (where there was no contact with end-customers or even the retailers) to a direct service to the retailers and e-commerce partners, thus getting much closer to the consumer. PCNZ had also run programmes for the partner/client companies, providing a hands-on look
at the Chinese market and it consumers, Parish said. Nine market managers had been recruited to represent clients, with three more appointments under way. PCNZ had also worked on major hotel and retail promotions. Parish said the group’s constitution always allowed for more than one major company in any sector being part of the group. Companies could veto a direct competitor but Silver Fern had supported Anzco joining, highlighting that the market was big enough for everyone. Silver Fern was developing its business with new Chinese part-owner Shanghai Maling and at some point would transition to setting up a separate entity and PCNZ would help with that. However, he expected the group to remain in the PCNZ tent. Anzco was joining because it believed in working with like-minded NZ brands and collaborating with them would put it in a stronger position than working on its own. There had been competitors operating together in the PCNZ partnership right from the start, Parish said. Apple exporters Mr Apple, Bostock NZ, and Freshmax had formed Pacific Pace as a single entity for their jointshareholding. Andy Borland, the managing director of Mr Apple owner Scales Corporation, was the PCNZ chairman.
high lights
$180-$220
$120-$160
Good Friesian bull calves at Rongotea
Heavy ewe hoggets at Feilding and Marton hogget fair
Chathams stock on the mainland I MIGHT well have missed the boat on talking about Chatham Islands stock as sales through the yards have slowed somewhat but the story of the stock coming from both Pitt and Chatham is a fascinating one. Suz Bremner As many of you are aware, our AgriHQ Analyst sale yard reach extends as far as the Chatham Islands, with stock coming to port sale yards of Hawke’s Bay and Timaru (Temuka). On average, about 12,000 lambs will head to Temuka and 5000 to Stortford Lodge, depending on the season, with most cattle sold through Temuka at about 3000 head a year. Stock agency Peter Walsh and Associates has had a long association with farmers on the islands and handles all stock coming into the South Island. Generally the boats come in from May to November, with lambs loaded on the top decks and cattle below. On a good sail, the trip takes three days and the stock are well looked after throughout their journey – a bit like being on a cruise ship really – with food and water at their beck and call. With the average cost of transport etc sitting at $30$40 a sheep and $60-$80 a cattle beast, it goes without saying the lambs need to have some size to make a good margin and while this year that has easily been achieved, other years have seen returns barely cover the cost. Though, for most on the island, farming is a secondary income to fishing, in general the lambs coming forward are good-quality, traditional Romney or Romney-Perendale, with most sold in big, mixedsex lines, though they do tend to sex draft as the lambs get some age on them. These have a good following at both yards from buyers looking for big lines of shortterm lambs. The cattle are either Angus or Hereford-Devon and over the years big improvements have been made in the breeding of the stock. In my younger days the general consensus was that all Chatham’s cattle were mad and some are still considered to be wild but overall, with good cattle breeding programmes, the cattle are now of very good quality and temperament. suz.bremner@nzx.com
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Proudly available from your local veterinary clinic. Boehringer Ingelheim Animal Health New Zealand. Trading name of Merial New Zealand Limited. Level 3, 2 Osterley Way, Manukau, Auckland, New Zealand ARREST®, ECLIPSE®, EPRINEX®, EXODUS®, GENESIS®, IVOMEC®, MATRIX® & SWITCH® are registered trademarks of Merial NZ Ltd. Registered pursuant to the ACVM Act 1997 No’s. A7290, A9270, A10640, A7191, A10222, A7456, A9888, A7353, A9222, A11065, A6481, A10131, A11138 | ©Copyright 2017 Merial NZ Ltd. All rights reserved. NZ-17-MAL-125.
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