Farmers Weekly NZ January 29 2018 by AgriHQ

3 Blow for top cattle event Vol 17 No 4, January 29, 2018

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Good trade news Nigel Stirling

nigel.g.stirling@gmail.com

XPORTERS are eagerly anticipating getting back on a level playing field with competitors in several key markets now the Trans-Pacific Partnership has finally been agreed. The 11 participating Pacific Rim countries have overcome differences that prevented the deal from being agreed in Vietnam last November and now intend to formally sign it off in March. Lawmakers from at least six countries must then pass the deal through their respective parliaments before the agreement can enter into force and tariff cuts take effect. That cannot come soon enough for beef exporters who have lost market share to Australian rivals in the Japanese market following a 2015 trade deal between the two countries. That deal saw tariffs on Australian frozen beef drop to 27.2% by last year compared to the standard rate of 38.5% faced by other importing countries. A bad situation was made even worse for New Zealand exporters when Japan countered a surge in beef imports with a 50% tariff for 12 months from last April. As a result NZ beef exports in August and September slumped to 729 tonnes from

1709 tonnes for the same period the year before and a five-year average of 1840 tonnes. Under TPP the level playing field will be restored immediately with Japan agreeing to cut tariffs for all member countries to 27.5% on the deal’s entry into force, with cuts in subsequent years to 9%.

The trade agreements that the EU have done with Mexico and Japan mean that they would progressively, in the absence of TPP, have gained a tariff advantage over us. Malcolm Bailey Dairy Companies Assn A similar situation is playing out in the Japanese and Mexican dairy markets with tariff-busting deals with the European Union either having recently been concluded or under way. Dairy Companies Association chairman Malcolm Bailey said TPP will keep NZ exporters competitive in the face of rival trade deals in those markets. “The trade agreements that the EU have done with Mexico and Japan mean that they

would progressively, in the absence of TPP, have gained a tariff advantage over us. “I am not sure that we get exact parity there but we at least stop going backwards, which means we can compete.” Now a deal has been agreed the TPP countries are expected to turn their minds to new members. Front of the queue is South Korea, which is understood to have adopted many of the terms of the TPP in its own trade deals, which it hopes will enable it to seamlessly dock into the 11-country agreement. Even though NZ and South Korea have a free-trade deal the negotiations concluded in 2015 failed to significantly open the Korean market for milk powder. The deal was for an initial tariff-free quota of a mere 1500 tonnes a year, rising by 3% a year to a maximum of 1957 tonnes after 10 years, representing little more than two days’ production from Fonterra’s Edendale factory. Similarly, deer farmers felt hard done-by with the agreement to phase out a 20% tariff on dried velvet over 15 years while leaving in place the same tariff on frozen velvet, which comprises by far the larger part of the trade with Korea. However, the Government’s agricultural trade envoy Mike Petersen said the game plan for NZ negotiators had always been to revisit those arrangements once South Korea joined the TPP.

“It is an opportunity for us to have another discussion with Korea about what additional access we might be able to get and where we might be able to rectify some of the issues that weren’t addressed when we put that deal together.” Furthermore, TPP’s requirement for sign-off by all existing members before new ones can join provides NZ with greater bargaining power than in earlier bilateral talks with the Koreans. “It does provide a fair bit of leverage for existing members to have conversations with new members and seek additional access.” Other countries previously touted as possible entrants to an expanded TPP include Indonesia, Thailand, China, Taiwan, Colombia and, most recently, the United Kingdom.

NEW WORLD: The window to green pastures for Kiwi exporters has been opened with the Trans Pacific Partnership deal, special agricltural trade envoy Mike Petersen says.

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NEWS

WEATHER OVERVIEW There’s no shortage of weather coming to New Zealand over the next week with the main feature being a tropical low dropping south over NZ and unravelling. It’s still not 100% locked-in about how it will track in the NZ area but there is a high chance of downpours in the north and west of both islands later this week and very humid weather, especially in the North Island going into the coming weekend. Before this low reaches NZ we have high pressure in charge that will bring mostly dry weather to the country for the final days of January. Expect temperatures in the mid-to-late 30s early this week in Central Otago and surrounding areas.

4 Firms against collecting ETS levy Collecting agricultural greenhouse gas emission charges on behalf of the Government would be little more than revenue gathering and would not encourage individual farmers to change their practices, primary sector processors say.

Wind

Rain This week starts mostly dry, just a few showers. End of week a low out of the tropics drops into the Tasman Sea area - there’s a chance of heavy rain in the north and west of both islands late week.

Winds this week start off from the northerly quarter and pick up midweek as the high departs and low pressure moves into the Tasman Sea. Wind directions change significantly later this week as the low unravels here.

Stag prices rampant �� 7 Beingmate a sign of deep woes �� 11

New Thinking ��19 Opinion ��20

REGULARS Real Estate ��24-40

Pasture Growth Index Above normal Near normal Below normal

7-DAY TRENDS

Drought relief patchy �� 5

Newsmaker ��18

NZX PASTURE GROWTH INDEX – Next 15 days

Highlights/ Extremes

Temperature Northerly quarter winds push highs into the late 20s or early 30s but extreme heat is possible in parts of Central Otago and South Canterbury on Monday and Tuesday with a cooler change arriving there only later this week.

Heat with highs into the mid-to-late 30s possible in some inland parts of the South Island to begin with. High humidity in the North Island will increase, especially late week. A risk of heavy rain late week.

14-DAY OUTLOOK

For further information on the NZX PGI visit www.agrihq.co.nz/pgi Good weather for pasture growth in a large portion of the country this week as warm, humid weather continues and rain is expected at some point in all of our driest regions. It is still unclear if this low will create heavy rain across the country or just in pockets - but anything that pulls down tropical air means the risk of very heavy rain is there. There’s a chance some wet weather will also make it into Southland and Otago.

SOIL MOISTURE INDEX – 26/01/2018

Employment ��41 Classifieds ��41 Livestock ��42-43

48 Ewes prices disappoint Some vendors were disappointed with prices at about the $180 level and below at the main January two-tooth ewe fair at Temuka last Wednesday.

Source: WeatherWatch.co.nz

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

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News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

SI dairy show cattle stay home Stephen Bell stephen.bell@nzx.com THIS year’s New Zealand Dairy Event will go ahead with all South Island entries voluntarily withdrawn at the behest of DairyNZ and the Primary Industries Ministry. The two bodies cited the dangers of moving cattle, particularly from Southland and Canterbury, and of co-mingling stock from the North and South islands as reason to withdraw South Island entries. Event chairman Lawrence Satherley rang every South Island entrant personally to ask them to pull out for the good of the event and the industry, though he couldn’t compel them to stay home. The event committee, on the basis of Mycoplasma bovis (Mb) information received from MPI, advised entrants on January 16 there would be no exclusions from the show starting in Feilding tomorrow and running to Friday. Then on January 18 he got a letter from DairyNZ chief executive Dr Tim Mackle that said allowing South Island entries was not in the best interest of the whole industry. That was followed by a phone call from MPI to deputy chairwoman Johanna Wood saying officials had discussed the matter with DairyNZ and supported Mackle’s letter. “Our concern right now is that with further positive farms in Southland emerging and the recent ones in Canterbury, there is a real risk that this cattle show could inadvertently spread the disease – there could be a significant impact on NZ’s reputation and on the cattle breeders who could potentially lose the entire genetic asset that they have built up over many years,” Mackle said. Infected and high-risk properties had movement controls

DISAPPOINTMENT: South Island cattle owners are like Olympic athletes who have trained all year then been told they can’t compete, NZ Dairy Event chairman Lawrence Satherley says. Photo: Aaron Davies

The risk in having animals attend a threeday show where they are in close proximity to animals from more than 60 other farms is substantially greater than stock travelling from one farm to another. MPI and DairyNZ but infection was challenging to detect. MPI had not completed all follow-up tracing so there could be more infected farms, and cattle for the event might come from one of them.

“The risk of this is low but the consequences of accidentally spreading the disease would be devastating, with significant long-term reputational risk to the event,” Mackle said. Satherley and Wood said the elimination of South Island show and sale entries from the country’s premier dairy show was a huge disappointment for the event, which is celebrating its 10th anniversary. In response to Farmers Weekly questions put separately to MPI and DairyNZ, they provided a joint statement that said: “MPI and DairyNZ have provided advice to the organisers of the NZ Dairy Event suggesting they ask exhibitors from areas with known Mb incidents to voluntarily withdraw, which in this instance includes the South Islanders intending to exhibit.

“The risk in having animals attend a three-day show where they are in close proximity to animals from more than 60 other farms is substantially greater than stock travelling from one farm to another. “MPI and DairyNZ are working with the event organisers to provide advice about biosecurity best practice, including separating animals at the event as much as possible, and cleaning and disinfecting any shared equipment.” Satherley said the committee had no power to ban South Island entrants, but all had withdrawn. There had been rumblings from North Island entrants that some would pull out if South Island entries came. Faced with the advice from DairyNZ and MPI the event would have been cancelled if South

Island entrants came, that would have been the end of it because it could not sustain the loss of having no show, Satherley said. As it was North Island entrants and some sponsors were nervous. It was a unique event as a showcase for dairy cattle with more than 400 entries, but the committee had no option even though cattle were still crossing Cook Strait every day going to sales and works. The event had roughly 60 entries from the South Island. About half, from Mb areas, had already pulled out when the call came for the total withdrawal. The owners of the 30-plus South Island entries still in then agreed to pull out for the good of the show and the industry, Satherley said. However, the reaction was huge. Satherley cited the Gilbert family from Ashburton with the best young cow in the country. “As a two-year-old, it won everything in the country. They were really excited about the way she is looking,” he said. “It’s a bit like training for the Olympics. You have the best performances through the year then you can’t compete. It’s absolutely devastating.” And by the time DairyNZ and MPI made the call entrants had already booked and paid for ferry space, accommodation and airfares. “I am so grateful for the attitude and the way South Island entrants handled it to allow the event to go ahead. “We are so indebted to them, especially the Gilbert family. It’s a huge sacrifice for them.” And despite the late call, Satherley believed DairyNZ and MPI were doing the best they could in the circumstances.

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News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Firms against collecting ETS levy Neal Wallace neal.wallace@nzx.com COLLECTING agricultural greenhouse gas emission charges on behalf of the Government would be little more than revenue gathering and would not encourage individual farmers to change their practices, primary sector processors say. The heads of bodies representing dairy and meat processors say they don’t want to be the enforcement agencies assessing farm emissions and are reluctant to be tax collectors for agricultural greenhouse emission charges the Government is considering levying on the sector. Dairy Companies Association chairman Malcolm Bailey said collecting the tax on behalf of the Government masked the level of emissions from individual farms and therefore wouldn’t encourage change in management practices. Meat Industry Association chief executive Tim Ritchie agreed, saying that meant the process was little more than revenue gathering. The Government has said any revenue collected, initially estimated at $44 million a year, would be invested back into the sector, a move welcomed by sector leaders. Climate Change Minister James Shaw proposes making agriculture accountable for 5% of their emissions through the Emission Trading Scheme (ETS), and while he’d like to levy the tax at an individual farm level, he said technically that wasn’t possible so the tax may be collected by processors.

TAXING TIMES: The level of greenhouse gas emissions from individual farms would be concealed if processors were required to collect charges on behalf of the Government, DCANZ chairman Malcolm Bailey says.

At a carbon price of $22 a tonne, Shaw estimated it would cost the sector $44m a year. Legislation could be possibly introduced within the next two years. To soften the impact, Shaw told Farmers Weekly the industry would receive a free allocation of units, equivalent to 95% of the 40m tonnes of carbon dioxide equivalent emitted by agriculture each year. Shaw said it would cost an average dairy farm $1500 a year, and an average sheep farm $700.

PRETTY IT UP: Making the Emissions Trading Scheme more attractive will help achieve the Government’s tree planting target, Forest Owners Association president Peter Clark says.

Held at the New Zealand Meat Board offices, Level 4, Wellington Chambers, 154 Featherston Street, Wellington Tuesday 13 February 2018 at 4.15pm. Meeting business includes: • Chairman’s Report • Chief Executive’s Report • Investment Policy Review

Wairarapa hill-country farmer Jamie Falloon, however, disputed those figures saying he used the Parliamentary Commission for the Environment formula to calculate the liability for his 7000-stock unit property, which was $4000 for 5% of his total emissions. Falloon said the Government also needed to simplify its forestry policy to remove liabilities unknown at planting but which materialised at harvest. That detracted from farmers planting forests as greenhouse gas sinks.

Bailey said dairy companies had been consulted about collecting the tax and were ready to engage in further discussions with the Government. NZ dairy farmers were willing to contribute and were already very efficient but if more costs were lumped on the industry and production fell, that slippage could be picked up by a less efficient producer overseas meaning an overall loss for the world. “They need to be very careful

taxing us or someone else will make up what we don’t produce but at a much worse cost in terms of climate change.” Ritchie said meat companies didn’t want the collection of emissions taxes to jeopardise the commercial relationship they had with suppliers. He was also concerned increasing costs to NZ farmers could force production overseas to less efficient farmers, making the world worse off. Federated Farmers climate change spokesman Andrew Hoggard said the question needed to be asked why the Government was doing this and collecting the funds in this way. “To me, the question is how will being in the ETS lower methane and nitrous oxide in the atmosphere? “All we are doing is sending a virtual signalling exercise to tell the world we’re doing this.” To have any effect the point of obligation had to be at the farmgate but to achieve that every farm would need to have a full Overseer analysis at a cost he estimated at $5000 for each farm. More tangible solutions would be to increase funding into researching mitigation measures and to look at removing obstacles to planting trees, he said. Correction: The story Emissions bill $44m, (FW, 22.1.18) incorrectly gave the total bill should agriculture be charged for all its emissions at $8.8 billion. The correct figure is $880 million a year.

Govt must turn logs into jobs Richard Rennie richard.rennie@nzx.com PRESSURE needs to be applied to trade partners to lift forest sector processing opportunities here, its leaders say. They welcomed the Government mandate for Crown Forestry to lead the charge in ramping up forest plantings. Cabinet gave the green light to allow the agency to enter into new commercial arrangements to plant trees on privately-owned land and to provide $14 million to support planting this year and seedling supply for 2019. Over the past decade the agency has been largely a low profile operator managing forests on Crown land. Wood Processors and Manufacturers Association chief executive Jon Tanner said any Government initiative that gave forest planting more impetus would be welcome but processors also had to grapple with the here and now of markets not always conducive to encouraging imports of New Zealandprocessed wood products.

“Looking out over a forest planting cycle it is good to know the Government is once again behind plantings, as are governments all over the world. “However, it is also beholden on the Government to turn logs into jobs by getting trading conditions right for our processors.” He cited three major markets where wood supply is tightly regulated or processors are subsidised to manufacture. Canada controls its log exports closely and subsidises supply into its domestic market, Russia has an export tax on logs, and China provides subsidies to wood manufacturers. That has helped create the hot log market foresters face today with Chinese buyers able to bid up the price of raw logs, knowing they have subsidies at home to cheapen the processing costs. “So the industry has been urging the Government to keep working in the background on getting such issues sorted and have everyone on a level playing field as processors.” NZ processors face numerous non-tariff trade barriers with the World Trade Organisation estimating the number of

restrictive measures was three times greater in 2015 than in 2010. Forest Owners Association president Peter Clark said he had no doubt plantation nurseries can gear up to produce the 100 million seedlings required each year to meet the Government’s goal. But a focus to assist forest expansion also needed to include skills training and regional road improvements. “The Government could then get considerable leverage from private sector funding into forestry itself through a positive operating environment,” Clark said “This would especially be through making the Emissions Trading Scheme more attractive to participate in.” Clark and Tanner agreed engaging with farmers would be critical to meeting the required land area target for forestry and there would need to be some incentive. “Having the Government involved is very much back to the future for NZ after the experiment 30 years ago to privatise forestry,” Tanner said. “Tax incentives and carbon value will both be important to get the private sector engaged again in planting forests.”

News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Rain gives patchy relief for farmers Neal Wallace neal.wallace@nzx.com RAIN has eased drought concerns in parts of the country but patchy falls have provided relief for only some in the driest regions of Taranaki, Manawatu and the West Coast. Prolonged dry weather has spread to the usually rainreliable Southland with meetings convened this week to help farmers with ideas on how to manage the dry period and prepare for winter. Beef + Lamb New Zealand southern South Island extension manager Olivia Ross said the last significant rain was about 30mm that fell in northern Southland over Christmas and New Year, with variable falls over the rest of the province. But since then temperatures have regularly hit 30C, accompanied by drying wind. “It is a great summer to be on holiday,” Ross said. “It is unheard of for Southland to be this dry. “It can get dry for short periods but Southlanders aren’t used to it.” Federated Farmers president and West Coast dairy farmer Katie Milne said southern parts of the coast have had about 150mm of drought-relieving rain but the Grey Valley, Reefton and Buller are still dry. Many farmers there are milking once a day and have sold surplus stock and with the driest part of summer still to come, farmers on the coast were “not out of the woods just yet”. Manawatu farmer and the federation’s vice president Andrew Hoggard said rain after Christmas transformed his farm which was

dry and burning off but areas closer to the coast seemed to have missed out on the rain and were still critically dry. “It completely flipped 180 degrees at New Year.” Further south, parts of Horowhenua have had three times more rain this month than last when about 20mm fell but Horticulture NZ has warned the dry weather is putting fruit and vegetable crops at risk. Chief executive Mike Chapman said growers are making decisions about what to plant and what to harvest and he called for more water storage.

There are benefits to every New Zealander from having a reliable water supply. Mike Chapman Hort NZ “There are benefits to every New Zealander from having a reliable water supply. “But there are inconsistent policies across central and local government when it comes to water, land use, preparing for climate change goals and community needs. We believe these should be looked at holistically. “On the one hand the Government wants a Zero Carbon Act and to plant one billion more trees, but on the other hand local authorities are increasingly putting pressure on water supplies, limiting water access for

irrigation to grow food,” Chapman said. “There needs to be a wider national approach to these issues and support and recognition for regions that are addressing them as communities.” Recent rain in Taranaki was too patchy to provide widespread relief, with those on the coast getting about 10mm but other parts 50mm. The region’s Rural Support Trust co-ordinator Marcia Paurini said while welcome, the rain did not provide widespread relief. Many dairy farmers were still milking either once a day or every 16 hours and she said the pressures of preparing for winter and juggling finances remain. Five rural facilitators were being trained this week to help Taranaki farming families apply for rural assistance payments made available by the Government. Paurini said the long-term impact of the summer drought was starting to materialise, with farms not selling, few sharemilking jobs and farmers trying to work out how to get through winter. Ross said there has been discussion in Southland about declaring the province a drought zone but whether that happens will become clearer after drought meetings the Ministry for Primary Industry would attend. A Southland drought committee has started meeting weekly to provide updates on how the region is coping, and another in Otago is ready to be convene if that province remains dry. Southland farmers have been quitting surplus stock and Ross said Federated Farmers’ feedline was being activated to link those

UNHEARD OF: The last rain in Southland has been followed by hot days with drying winds, Beef + Lamb New Zealand extension manager Olivia Ross says.

with feed or grazing and those in need. Meanwhile, the lack of humid hot weather has helped stave off facial eczema in most areas, according to vets. The exception was Bay of Plenty where Travis Baxter of Bay Vets said they have started to see some

clinical cases in what he described as a typical year. Spore counts in South Waikato and Central Hawke’s Bay are about normal thanks to the lack of humidity, but vets said farmers are starting to use zinc treatments in preparation for spore counts to increase.

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News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Deer industry is on a high Annette Scott annette.scott@nzx.com RECORD high venison prices coupled with profitable velvet production have created strong demand for sire stags. Deer Industry New Zealand (DINZ) has reported confidence in the future profitability of venison and velvet production flowing through to the market for sire stags, confirming strong sales throughout the country.

With consistently strong venison and velvet prices the industry is in a confident mood. Innes Moffat DINZ With the Red deer sire stag sales complete, most breeders were reporting a marked improvement on last year’s results with average prices up strongly for most sales, several by more than 50%. Overall sale clearance rates were 94% compared with 83% last year, with several breeders having sold all animals on offer. Another feature this season was the inaugural sales for two new entrants to the sire breeding business – Forest Road Farm in Central Hawke’s Bay and Rupert Red Deer in South Canterbury. Both specialise in breeding for velvet antler, a sector that had enjoyed growth and good prices over the past several years. Sires for venison production with high breeding values (BVs)

for growth rate had attracted good demand. Ruapehu Red Deer in the central North Island breeds venison sires selected on 12-month weight BVs and enjoyed a total clearance with an average price of almost $7000, up nearly one-third on last season. Peel Forest Estate in South Canterbury also had a good sale for its Forrester maternal venison sires, selling 49 of the 50 on offer, averaging about $7500, up 20% on last year. Signs were also promising for sales of Elk-Wapiti sires with their selling season under way. On January 15, Lochinvar stud at Te Anau sold all 25 Wapiti bulls on offer at an average $5400, 10% up on last year, while Manapouri’s Connemara Wapiti also had a buoyant sale, with a total clearance and prices up 46%. Meanwhile, prices offered for deer by venison marketers remained at record levels, adding to high levels of confidence in the industry, DINZ Passion 2 Profit manager Innes Moffat said. Venison prices traditionally peak each year in October before the last chilled shipments leave for Europe for the annual game meat season, October to Christmas. This season, schedule prices to deer farmers had continued to rise into January with the published average now about $10.30/kg, fetching up to $10.70 in the South Island. Moffat said the drivers in the market remained unchanged from last year. “Namely, lower production in NZ, successful diversification by marketers into new year-round markets, and very strong demand for venison from the United States, both for grilling cuts and manufacturing grades.” Marketers had reported an

SPIKING: Velvet exports totalled $59m for the 2016-17 season and prices offered for deer by venison marketers are now at record levels.

excellent European game season with good clearance rates despite higher prices. “Marketers and distributors are now discussing their supply contracts for the year ahead, with price inevitably high on the agenda as some distributors voice concern about their ability to pass on the current high prices for frozen venison,” Moffat said. Interim figures for the year ended December 31 2017, revealed that females had dropped below 48% of the total slaughter, a good indication that the national hind breeding herd was being rebuilt, putting an end to a gradual decline that began in 2005. Moffat said the lower female slaughter rates reflected anecdotal feedback from farmers, some of

whom said they were increasing the area they had fenced for deer. DINZ was also receiving a few requests for information from new farmers entering the industry. “With consistently strong venison and velvet prices the industry is in a confident mood.” Confirmed slaughter figures to the end of October showed the deer kill was 288,000, down 8% on the previous year. Actual venison production was 16.5 million kilograms, down only 5.5%, reflecting higher growth rates and a trend to take animals through to heavier weights. DINZ expected this trend to continue if summer and autumn venison prices remained strong relative to chilled season prices. DINZ Asia market manager Rhys Griffiths said demand for

velvet from the two main markets, Korea and China, has been strong this season. Prices have climbed back to levels reached two seasons ago before changes in Chinese hygiene regulations led to a loss of buyer confidence unrelated to the longterm demand for NZ velvet. “Total velvet exports reached $43m in the 2015-16 season, increasing to $59m in the 2016-17 season,” Griffiths said. “With a lift in the velvet price and the forecast increase in production, another increase in the value of velvet exports is expected this season.”

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News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Law change affects one works Neal Wallace neal.wallace@nzx.com AT LEAST one stock killing company will be forced to change its meal and lunch break policy under the Government’s proposed labour law changes, Meat Workers Union national secretary Graham Cooke says. Included in the proposal is an end to negotiated breaks between employers and employees, to be replaced by statutory breaks with flexibility allowed only for essential services. Farmers have welcomed the Government’s retention of the 90-day trial provisions, which will now apply only to businesses employing fewer than 20 staff. Federated Farmers employment spokesman Chris Lewis said it gives farmers confidence to employ staff, given the main concern for dairy farmers is a lack of available, motivated workers. “Many employ few staff but because of the small size of the business they simply can’t afford the situation or inconvenience when new staff aren’t suited for the job or can’t fit in,” he said. “Farmers need the confidence to take a chance on a potential employee who may have no demonstrated experience or who may have had previous social or addiction problems,” Lewis said. Cooke said most meat companies operate a standard system of breaks for smoko and lunch every two hours and the way most companies operate will not alter. But one company, which he declined to name, has two 30-minute breaks during an eight-hour day, a system he said would have to change because it would not be permitted under the proposed law changes. “From our perspective this will bring the company back in to line with the rest of the industry.” Cooke said the law changes

NZ won’t take advantage of Brexit Colin Ley

SECOND CHANCE: Farmers need the confidence to take a chance on a potential employee who may have no demonstrated experience or who may have had previous social or addiction problems, Federated Farmers employment spokesman Chris Lewis says.

would have little impact on the meat industry, but Meat Industry Association chief executive Tim Ritchie said the existing law allowed flexibility, which was required in modern food-processing plants. Employers, employees and unions can agree to the timing and length of rest and meal breaks, but the changes would make it prescriptive. Those negotiations took account of health and safety of staff and compensation, and were not a one-sided street. Ritchie said his association would make representations to the select committee considering the bill. A Fonterra spokesman said it did not envisage any impact from the employment law reforms. “For example, we don’t apply a 90-day trial period to new employees that join Fonterra and we already have prescribed rest and meal breaks for our operational workforce.” Workplace Relations and

Safety Minister Iain LeesGalloway said the bill also changes the rules around unfair dismissal, strengthens rights for collective bargaining and allows easier access to union representation and workplaces for union officials. It also proposes reinstatement should be the primary remedy for an unfair dismissal, which Business New Zealand chief executive Kirk Hope said puts the onus on employers and employees to work positively following an employment relations breakdown. Hope said the current system in which employers and employees mutually agree when meal and rest breaks are taken provides flexibility. “Business has appreciated the flexibility of the current system. “Changing to a more regulated approach isn’t ideal for business agility, for example, in manufacturing operations.” The National Party

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questioned why the Government is changing law that contributed to an extra 245,000 new jobs in the past two years. The party’s workplace relations spokeswoman Amy Adams said nearly 80% of NZ workers were in full-time jobs and wages have been growing at twice the rate of inflation. “These changes will only damage that track record. So why are they actually needed? “New Zealanders will rightly suspect they are a random union wish list. People will be asking exactly how much influence these unions have in the current government.” Council of Trade Unions president Richard Wagstaff welcomed the changes as ending the erosion of employment rights under the previous government but he said they did not go far enough and he would continue to push for the 90-day trial – or what he called the fire-at-will law – to be repealed.

NEW Zealand is not seeking to take advantage of the United Kingdom’s hard-Brexit/soft-Brexit dilemma or the debate on how to settle the border issue between the Republic of Ireland and Northern Ireland, Agriculture Minister Damien O’Connor says. Fresh from attending the International Green Week in Berlin, O’Connor was visiting Ireland, Denmark and Spain to discuss mutual issues affecting agricultural production and trade. His time in Ireland included talks on both Brexit and the border debate, an issue that drew sharp comments in May last year from French farm leader Christophe Hillairet to the effect that a soft border solution could see lamb from NZ moving into Northern Ireland via the Republic or vice-versa. Asked if he’d discussed the Brexit border issue with his counterparts in Ireland, O’Connor said the subject came up in a number of conversations. “It’s clearly top of the mind for European Union members and in particular Ireland,” he said. “The hard-Brexit/soft-Brexit scenario is something they are struggling with and a number of scenarios are possible. “We re-emphasised to all European ministers that NZ wasn’t seeking to take advantage of the situation. “We are seeking to secure the same trade arrangements and flexibility that currently exists.” In relation to the rest of his European tour O’Connor said it was proving to be a good opportunity to meet and build relationships with fellow agriculture ministers. “The challenges that livestock sectors and food producers face around the world are pretty similar, and we need to work collaboratively with all countries whether they be producers or consumers of animal protein in particular,” he said. O’Connor said he met a number of European ministers during his time in Berlin and had taken the opportunity to raise the NZ-EU free-trade agreement and “re-emphasise NZ’s determination to progress the agreement as soon as possible”.

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farmersweekly.co.nz – January 29, 2018

News

Fines for Nait breaches? Neal Wallace neal.wallace@nzx.com THE National Animal Identification and Tracing (Nait) scheme has performed as well as can be expected during the Mycoplasma bovis outbreak, OSPRI chief executive Michelle Edge says. The disease outbreak was a significant test for the system. Its performance was dictated by the data it had collected and on that basis it had performed as well as could be expected, a view affirmed in a review of Nait that started in 2016, she said. Consultation with the sector on the findings of that review will begin shortly and includes a suggestion that fines of up to $10,000 be issued to farmers who ignore their obligations. Agriculture and Biosecurity Minister Damien O’Connor said most animal movements to saleyards and meat processors are recorded within the required 48 hours, but a large percentage of stock traded between farms is never recorded. Federated Farmers said the 18 review recommendations are designed to tidy up concerns that have annoyed farmers since the system was introduced in 2012, such as replacing lost tags, consistency of information on tags and interfacing with other computer systems on future

options for ultra-high frequency RFID. Federated Farmers president Katie Milne said she also welcomed attempts to make compliance easier such as changing the requirement for both seller and receivers to enter animal movement details to the ONUS ON FARMERS: Nait is only as good as the receiver only. information provided by farmers, OSPRI chief Equally, linking the Nait number executive Michelle Edge says. with a property identifier rather than a person would help simplify the “Traceability is not the answer to process. controlling the disease but The review also scopes the possibility it helps mitigate the economic impact of moving from paper to digital Animal by allowing decisions to be made Status Declaration cards tied in with the faster.” Nait system. She hoped the proposed changes Milne said ultimately she would like to would make Nait more user-friendly. see an ability for police to access the Nait “We want to make sure we are database to help them investigate stock upholding the requirements of the act rustling. but at the same time make it easier for O’Connor said where farmers have farmers to use it.” complied with traceability requirements, OSPRI administered the Nait system on tracking the spread of Mycoplasma bovis behalf of the Government and provided (Mb) has been quick and accurate, but information to government departments, where there has been non-compliance it in the case of Mb to the Ministry for was much more difficult. Primary Industries to use to eradicate the “With outbreaks like this, speed of disease. response is vital to containing a disease Compared to traceability systems in so it’s more important than ever that our other countries the uptake of Nait by farmers and industry use this system,” he New Zealand farmers had been quicker said. and Edge expected the profile from Edge said the greater the volume and the Mb outbreak would help improve quality of information lodged with Nait, compliance. the better it performed.

Shows ban cattle classes Neal Wallace neal.wallace@nzx.com

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CATTLE classes have been canned at six A&P shows in Otago, Southland and Canterbury to reduce the risk of exposure to Mycoplasma bovis. The Otago-Taieri, Winton, Gore and Southland shows will all be cattle-free but it is business as usual at the Upper Clutha show in Wanaka, which does not have dairy cow classes. The Mayfield and Methven shows have cancelled their onfarm heifer contests on March 10 and 17 respectively. While the competitions traditionally attract big entries, organisers said it was the least they could do to help farmers maintain high biosecurity standards and help protect the local industry. Organisers of the Temuka-Geraldine show are still to decide if cattle classes will be accepted. Royal Agricultural Society executive member and Otago-Taieri A&P Society past president Kelly Allison said the decision was made after the discovery of Mycoplasma bovis (Mb) in Southland and the risk posed by cattle coming in contact with other cattle and stock moving between farms and show venues. With the Primary Industries Ministry advocating eradication, show officials felt moving stock added to the risk the disease could spread. “Showing is a hobby and we did not want breeders to jeopardise their business while following their hobby.” Allison, a dairy farmer and breeder, had already decided not to show his cattle. Show societies had decided the cattle ban would apply only to this season and

CATTLE STOP: Moving cattle between farms and A&P show venues in Otago and Southland poses the risk of spreading Mycoplasma bovis, OtagoTaieri A&P Society past president Kelly Allison says.

he envisaged they would be back next season. An Mb action group has been formed in Southland where three cases have been found. Farmers, vets and industry stakeholders have formed Mycoplasma Bovis Action and Support Southland (MASS) to provide a voice and help the community understand and deal with the outbreak. MASS spokesman Bevan Collie said southern farmers moved stock more often than other regions. “We urgently need information to help assess and manage this risk,” he said. “This means rapid testing and being kept informed of testing results.” The group supported MPI’s response of contain, survey and eradicate, saying eradication has to be the ultimate goal

even if it is lengthy and expensive, as with the battle to eradicate bovine tuberculosis. Meanwhile, DairyNZ was starting work on guidelines for the end-of-season movement of dairy farmers, sharemilkers and herds between farms. DairyNZ policy and advocacy manager Carol Barnao said while Gypsy Day and the end-of-season movement of farmers was still some way off, it was important to provide early advice and guidance on how to reduce the risk of spreading the disease. DairyNZ supported the push to eradicate Mb, and Barnao said bulk milk testing was an important tool to determine where the disease was and to help DairyNZ form its stock movement guidelines.

News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Big loss a sign of deeper woes Hugh Stringleman hugh.stringleman@nzx.com FONTERRA faces another earnings impairment reflecting ongoing losses by its Chinese investment partner, Beingmate Baby and Child Food. Beingmate announced a likely 2017 trading loss of 800 million to one billion renminbi (NZ$171m to $214m), doubling its earlier guidance. Based on Fonterra’s 18.8% shareholding, the impact will be $32m to $40m, or 2c to 2.5c a share, if fully reflected in earnings and dividend, Forsyth Barr analyst James Bascand said. That is a similar magnitude to the $35m impairment Fonterra took last financial year on its Beingmate investment, writing it down to $617m. In 2015 Fonterra bought into Beingmate for more than $700m, along with an agreement covering infant formula manufacture and sales. It did so at RMB18 a share and the market value had now fallen below RMB6. However, Fonterra accounted for its investment at fair value, not mark to market, which leaves room for the possibility Beingmate’s share price will rise again in the future. The most likely time for Fonterra to announce another Beingmate investment impairment will be when the 2018 half-year results are announced in late March, though it could be announced earlier, Bascand said. In mid-January Forsyth Barr downgraded its Fonterra earnings forecast because of lower milk collection through weather impacts and unfavourable commodity price trends affecting stream returns. Bascand took 3c off the earnings forecast, reducing it from 53c to 49.9c, after which he expected the directors would deduct the legal settlement with Danone and pay 36c in dividends to shareholders. Fonterra’s own earnings guidance was revised in December after the $183m settlement announcement from 45-55c to

35-45c, with no impact on the farmgate milk price. After the Beingmate earnings revision Fonterra said it was extremely disappointed and was seeking more information, including the full-year financial statement. “We will consider the financial implications on our investment for the purposes of our upcoming interim financial results. “We are also aware that four Beingmate directors, including the two designated by Fonterra, have expressed reservations relating to some aspects of its financial management and reporting practices.” The Fonterra directors were Greater China president Christina Zhu and Asia, Middle East and Africa managing director John Priem. Fonterra also repeated the rationale for the broader partnership with Beingmate, part of an integrated strategy for China, where $3.4b of sales revenue was obtained, leading to $200m normalised earnings contribution. “We are disappointed that Beingmate is not maximising the

opportunity created by the early registration of its 51 formulations under the new registration rules. “The Chinese market is growing rapidly and within five years, forecast demand for infant and baby dairy products will be more than the total for other global markets so the potential remains.” The bigger questions than Beingmate’s trading losses and the infant formula collaboration concerned Fonterra’s inability to make a success out of offshore investments, analysts said. It wrote off nearly $200m on the ill-fated San Lu investment when the Chinese company was caught up in the melamine adulteration of infant formula scandal. It was unable to secure Australian rival co-operative Murray Goulburn or the smaller cheese processor Bega, in which it invested. First NZ Capital’s head of research Arie Dekker questioned the lack of influence Fonterra had over its investments because they were not large enough.

QUESTIONS: Fonterra’s Greater China president Christina Zhu, along with Asia, Middle East and Africa managing director John Priem have expressed concerns about the running of Beingmate.

Kiwi plan to rein in subsidies gets chop Nigel Stirling nigel.g.stirling@gmail.com A PROPOSAL by New Zealand to rein in the galloping use of agricultural subsidies has sunk without a trace at global trade talks. NZ’s proposal was one of several on the table to tackle farm subsidies ahead of the World Trade Organisation’s 11th biennial meeting of trade ministers. “We’re pretty disappointed that on agriculture the conference wasn’t ready to agree to cap the subsidies that major countries give their agriculture sectors,

which distort world markets and disadvantage not just our farmers but subsistence farmers in developing countries,” Trade Minister David Parker said. Ministers were unable to even agree on a concluding statement. The meeting in Argentina came after several small wins at the previous two WTO ministerial meetings in 2013 and 2015 when members agreed to ban subsidies for agricultural exports. However, the organisation had come in for heavy criticism from the United States since the election of

President Donald Trump who believed it unfairly favoured competitors such as China. Given that criticism the Government’s agricultural trade envoy Mike Petersen said it was an achievement that the WTO had survived to fight another day. “There was certainly some concern going into this meeting that the WTO could blow apart. The fact that it has stayed together … is frankly a victory.” Petersen said the WTO remains vitally important to NZ as the best means of tackling global agricultural subsidies.

That, in turn, stemmed from Fonterra’s low earnings retentions because farmers want a good return on their share capital and its falling milk supply. Dekker called for much more information from Fonterra on Beingmate’s performance and whether it still meets the objectives set in 2015. Beingmate’s struggles might have adversely affected the sales plan of Fonterra’s maternal and infant nutrition brand Anmum in China, he said. Fonterra Shareholders’ Council

chairman Duncan Coull said 2018 is the defining year for the Beingmate investment, though it is still early in the year. He shared the disappointment of directors in the performance of Beingmate, but there are only limited levers it could pull as a minority stakeholder in a Chinese company. This is the year for the regulations limiting infant formula brands to come into effect, in which Beingmate’s and Fonterra’s should provide early financial benefits, he said.

News

12 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Westland completes its revamp Annette Scott annette.scott@nzx.com WESTLAND Milk Products has made its final appointment to the team that will drive the company into the future. Chief executive Toni Brendish has appointed Jeffrey Goodwin as sales general manager, the final position in her overhaul of the dairy co-operative’s executive leadership team. Goodwin joins the Hokitikabased milk processor from his role as global operations vice president of James Farrell and Co, which represents United States manufacturers in the export of their ingredients and finished goods. Brendish said Goodwin’s experience in food and ingredients sales was global in scale with a record of success in southeast Asia, Japan, China and the United States. “He has a proven ability to grow sales, develop new markets and establish key business relationships. “His experience is in keeping with Westland’s strategy to differentiate the company and products and form partnerships with key companies that can give Westland penetration into high-

COMPLETE: Jeffrey Goodwin is the last to join Westland’s overhauled executive team.

value market niches,” Brendish said. “Using this new strategy we expect to be announcing some significant new deals this year and we’ll be looking to Jeffrey to identify, capture and deliver on more of these types of sales,” she said. Since she joined Westland in 2016 Brendish has completely overhauled the dairy cooperative’s leadership team, bringing in a new chief financial officer, chief operations officer and Shanghai general manager. She also elevated people and safety (human resources) to the

executive leadership team and retained long-serving company secretary Mark Lockington. “This is the team that will drive Westland forward,” Brendish said. “We’ve already introduced efficiencies right across the board that are delivering more than $70 million in savings, giving us the confidence to predict a competitive payout to shareholders for this season with very real prospects of sustaining that sort of return well into the future.” Westland fell behind its competitors in 2016-17 when it made a $17m loss and its payout, at $5.18, was the lowest of all the Kiwi dairy companies. Under Brendish’s revitalisation and in just 18 months the cooperative was clearly closing the gap. With an accomplished career with French food group Danone, Brendish was brought in as chief executive in September 2016. At a special shareholders meeting in October far-reaching changes were introduced including a reduction of the number of directors from 11 to eight. From the beginning Brendish said she didn’t have a problem with the company’s direction – for

her, it was more about focus on execution or the lack of it. She put an intense emphasis on cost-cutting and on growing revenue while continuing with the overall strategy of diversification that was in place before she arrived. Her aim was to get people focused on the things that would drive revenue and cut costs. That meant focusing on economies such as cutting photocopying costs through to treasury management and transport tendering. The goal was to provide $78m of revenue upside and cost savings and at $77m that target was well on track and fast closing the gap with its competitors. Westland has a forecast payout range of $6.40 to $6.80/kg for 2017-18. While the company had signalled it would probably be at the lower end of that range it is looking significantly better than last year’s, which was well over a dollar short of Fonterra. Westland’s forecast is within striking distance of Fonterra, which is for a milk price of $6.40/ kg, topped with a likely dividend of about 28 cents a share. The company’s UHT plant at Rolleston was now running at 50% capacity.

We’ve already introduced efficiencies that are delivering more than $70 million in savings. Toni Brendish Westland Milk In infant formula Westland had expanded its customer base and its nutritionals plant was running at two-thirds capacity, which was adding significant value in terms of payout. Westland had more fingers in different pies including making infant formula with joint venture partner China-based Taiwanese Ausnutria under the brand name Puredo. Skim milk powder, once the mainstay of the business, had become less important but could still be funnelled into nutritionals products if need be. It expected to produce about 130,000 tonnes of products this year – about 20% of that would be in nutritionals or infant formula and a third in butter and fats.

News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Deer velvet prices are bouncing back Annette Scott annette.scott@nzx.com FIRMING prices and growing demand are set to turn velvet around following an industry blip last season. Regulatory changes in China last year led to a loss of buyer confidence and an unexpected slump in prices following seven consecutive years of steady growth. Deer Industry New Zealand market manager Rhys Griffiths said renewed demand early this season underpinned price recovery and was set to put velvet back on track. “The season started with a hiss and a roar and while it’s not over yet it’s certainly shaping up to be a much improved season on last year where we had a blip in what had been a very good previous seven-year trend. “Certainly, last year the prices were unacceptable and that was disappointing when the underlying demand for velvet in South Korea and China was still strong.”

Griffiths said last season’s result did not reflect the steady growth in demand for NZ velvet in its major markets, including China and Korea. Many contracts this season had been signed very early at prices that reflected as much as a 25% lift on last year. “The overall trend is making a nice recovery back into that firming trend and looking very positive.” Griffiths said the lift was encouraging for farmers who had invested heavily into upgrading onfarm velvet facilities to comply with new regulations. “Farmers are demonstrating real pride in the industry and it’s good to see that being rewarded.” But there was still a lot of work to be done as the industry continued to increase demand for velvet in the healthy food channels. “Production is increasing and demand is increasing so it’s all working very nicely. “We just have got to keep pushing that along and replicate what we are doing in South

Korea into China and other new markets.” Griffiths cited Taiwan and Asia as potential markets that understand the value of velvet. There is growing inquiry from southeast Asian countries where there was a deep respect for traditional Chinese medicine and velvet’s role in it. Taiwan and Japan also held potential that would be explored. Meantime, South Korea remained the dominant market with about 60% of all NZ velvet consumed there. “But we do need to keep an eye on it to see that we don’t get out of balance between increasing production and demand as we keep searching for new markets.” The recent annual velvet and trophy antler competition was a shining showcase for the industry. The Rupert family of Geraldine was the big winner. A stunning 12.14kg head from their stag Axell 1183 won the PGG Wrightson Allcomers Trophy for the best velvet in the competition as well as the open Red deer section.

GETTING POINTERS: Judges assess the three-year old Red deer entries at the 2017 national velvet and trophy antler competition in Invercargill.

The Rupert family’s entries also came third in the three-year old Red section and first in the fouryear old Red section. The head from Ronaldo 340, which won the Trish and John Fogarty Deer and Livestock Cup for four-year old Reds, attracted only 19.08 demerit points – the lowest for any Red entry in this year’s competition. The head with the best score on the night was an Elk Supreme entry from Storm 09, Clachanburn Elk, weighing 20.08kg, which attracted only 19 demerit points. The top Elk head and the PGG Wrightson Allcomers Trophy reserve champion came from W61, a 16.08kg entry from Littlebourne Farm, Winton. The People’s Choice Award went to Geoff Elder of Riversdale for a head from Altrive 22-14, the clear winner of the three-year old Red section.

The big winner in the trophy antler sections was the Whyte Farming Company from Ashburton. The Whytes took home the Landcorp Trophy for the overall champion with a 564 7/8 point, 22.88kg head from their sevenyear old bull Seattle, which also won the non-typical section for Elk-Wapiti antler. Competition organiser Bruce Paterson said the competition was a huge success with a feature being the number and quality of the three and four year Red velvet entries. This year the scoring had been tweaked so weight contributed a maximum of 35 points. “This means it doesn’t have such a big influence on the final score and farmers with well-cut entries with very good style now stand a better chance of being successful,” Paterson said.

News

14 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

US beef demand and price remain steady Alan Williams alan.williams@nzx.com THE increase in United States beef production this year is expected to match New Zealand’s total production levels but import demand is expected to remain strong. Beef + Lamb NZ expects US prices to stay even or fall slightly this year. The kiwi dollar’s recent rise in value will be a damper on returns if it is maintained through the next several months. So far this year the US imported beef price, particularly 95CL, has firmed because of continuing solid demand, AgriHQ analysts said. Given the high NZ beef kill before Christmas because of dry conditions, that indicated demand has started on a similarly high note as in January last year, they said. Significant early 2018 rain has encouraged farmers to hold cattle back to add some growth. US production is expected to rise about 600,000 tonnes or 4.6% over last year to 12.6 million tonnes, B+LNZ senior agricultural analyst Ben Hancock said. NZ’s annual production is about 600,000t.

The US production increase between 2016 and last year was also about the same as that, with prices supported by both domestic demand and export growth so returns to NZ remained steady. The US is NZ’s major market, taking about half of exports. There’s virtually a guaranteed market because the 95CL bull beef and 90CL cow beef is complementary to the higherfat trimmings from domestic cattle used in the manufacturing process for burger patties. The 90% or 95% lean meat content is needed to mix with the 50% lean meat/50% fat domestic product to produce the 75CL burger so popular with Americans. Because of the nature of the massive processing system, frozen stocks from NZ and Australia are required in the mix to stop it cooking during blending. Anecdotally, this is a good cycle for NZ, Hancock said. When there is plenty of domestic US beef it means demand for NZ beef goes up with it, and when stocks are lower prices tend to move upwards. With strong jobs growth in the US, consumer confidence is

also strong. That showed up in ground beef retail demand last year, a trend expected to continue this year. Total consumption is expected to rise 4%. A lot of the higher US production last year was exported, with exports up 12%, largely to Taiwan and Japan. US exports don’t closely compete with NZ exports to Japan, but the high US tally on top of greater Australian volumes was what caused the hefty tariff increase on NZ and US frozen shipments to Japan. This year the US is expected to import 2.2% more in volume and to have export growth of 4%, Hancock said. B+LNZ expects NZ export returns from the US market should be helped by continued lower lean beef production in Australia as herds are rebuilt. Australia’s exports to the US lifted by 27% last year but are still below 2016 levels and as well as the large domestic market there is a greater focus on exports to Asia, especially Japan, where Australia has a significant tariff advantage. B+LNZ records show last calendar year NZ sent 178,856 tonnes of beef to the US by

DOWN A BIT: A marginal fall in New Zealand’s cattle kill is expected this year.

December 25, just 84% of the total quota maximum of 213,397 tonnes. That is down 9% on the 196,295t sent in 2016, which was 92% of the quota. Of total beef exports last year, 49% were to the US compared to 50% a year earlier. In both years 79% of exports to the US were grinding cuts. The high ratio of grinding volumes lowers the average price per tonne for the US shipments, which was $6531 a tonne (FOB), up from $6452t in 2016. That puts the US returns per tonne lower than those from some other export markets. According to B+LNZ figures Japan offers the highest price at $8718t ($9150t previously), from the prime cuts sent there. Taiwan was at $8029t (from $8051t) from higher-value cuts and China rose to $7085t from $6827t. China takes

mainly secondary cuts, which are at a premium to the grinding beef sent to the US. The overall average last year was $7121 a tonne, from $7053t in 2016. China was the second biggest market last year with 61,700 tonnes, ahead of Taiwan at 17,600t, South Korea 15,600t, Canada 15,300t and Japan 13,300t. B+LNZ expects a marginal reduction in NZ’s total cattle slaughter numbers this year. A slight rise in the proportion of cows in the processing mix is expected to reduce the average carcase weights by 2.4% and total beef production by 0.8%. Australian volumes to the US fell 9% last year to 227,730t from 249,981t in 2016. Australia has a bigger quota and it was only 60% filled last year, compared to 66% in 2016.

Chinese reduce dairy tariffs but impact will be small Hugh Stringleman hugh.stringleman@nzx.com THE New Zealand dairy industry has welcomed China’s December 1 unilateral reduction in some tariffs on imported dairy products though the immediate financial benefit will not be large. Dairy Companies Association executive director Kimberly Crewther said the tariff reductions would have a moderate but useful impact on trade.

“We also hope this development is a sign that the elimination of all remaining dairy safeguards will be an outcome of the China-NZ freetrade agreement (FTA) upgrade process, now under way,” she said. Safeguards is FTA-talk for quotas, a volume of a product allowed in tariff-free, after which further trade incurs a tariff. For example, the existing China-NZ FTA signed in 2008 had a safeguard of 5585 tonnes

(in 2017) for all types of cheese, but NZ sold more than 50,000 tonnes of cheese to China annually, most of it mozzarella for pizzas. When China reduced the tariff level of cheese from 12% to 8% on December 1, the reduction effectively applied to the 45,000 tonnes-plus of trade above the safeguard level. But the tariff reduction also applied to all other countries exporting to China. NZ’s special agriculture trade

envoy Mike Petersen said the FTA gave NZ products a head start with a tariff-free period early each year, but that advantage over other countries had now been narrowed. China’s announcement also covered tariff reductions of 15% down to 2% on some prepackaged infant foods, and 20% down to zero on hydrolysed protein formula for people with special dietary needs. In Europe, commentators hailed the Chinese move as a big

win for dairy multinationals like Nestle, Danone and Glanbia. Crewther said infant formula out of NZ was already on zero tariff under the FTA, without safeguard. She also said the four cheese categories mentioned in the latest announcement did not include processed cheese, or mozzarella, which was the bulk of our trade. “Reduced tariffs have twoway benefits for the importing and exporting countries involved.”

News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Quarter of milk to be overseas Hugh Stringleman hugh.stringleman@nzx.com FONTERRA began this financial year with a slow start to processing in New Zealand and is now under both volume and margin pressure, chief executive Theo Spierings says. It sold 3.9 billion litres of liquid milk equivalent (LME) in the first quarter of the 2018 financial year, down 20% on the corresponding period in 2016-17. Revenue went up 4% to $4b and the gross margin fell 5% to 16.7%, divided into 8% for ingredients and 24% for consumer and food service. Spierings said that inventory at the beginning of the financial year was the lowest on record and the NZ milk supply had been slow to build. Milk intake peaked at 82m litres a day at the end of October and Fonterra had now revised its season-long estimate to 1525m kg milksolids, which meant no growth following two consecutive seasons of 3% volume falls. But more of the available milk would be turned into higher-value products – an extra 400m LMEs into both advanced ingredients and consumer and food service

AIMING HIGH: Fonterra’s global consumer and food service chief Lukas Paravicini want his division to generate $15 billion annual revenue by 2025.

products this year compared with last year. Consumer and food service had continued to do well and it had three financial quarters ahead in which its performance would have to be very strong to deliver the targeted results.

“We are focused on continued tight operational and financial discipline and a keen eye on our customers’ needs to maximise sales opportunities.” Fonterra leadership team members presented growth forecasts and strategy updates to capital market investors and advisers after the first-quarter results were released to the stock exchange. Global consumer and food service chief Lukas Paravicini said his divisional target was 10b LMEs annually by 2025, one-third of Fonterra’s milk volume, and generating $15b of revenue. The division used 5.5b LME in FY2017 and its expectation was for 6b this year. Fonterra’s greater China president Christina Zhu said demand was forecast to exceed domestic supply, which was effectively flat. She predicted China’s dairy consumption would be 53b LME in 2025, of which 17.7b or onethird would be imported. Imports now supplied about 20% of China’s dairy needs and Fonterra had 60% of that trade. It was already supplying 50% of the cheese used on Chinese pizzas and selling products to

more than half of the leading bakery chains. Zhu said enormous opportunities existed in online retailing of fresh food for Fonterra, which was the only multinational dairy corporation able to create an end-to-end value chain in consumer and food service.

China is a winnertake-all market requiring players to rapidly scale with sustainable margins. Christina Zhu Fonterra

Integrated supply chains were important to Chinese consumers and offered value to potential digital partners. China’s e-commerce sales this year were expected to equal the top six countries combined from the rest of the world but as yet fresh and packaged food were only 6% of that trade. “China is a winner-take-all

market requiring players to rapidly scale with sustainable margins,” she said. Global food service director Grant Watson said his 2025 growth target was 5b LME, worth $5b, at which point food service would be taking 17% of Fonterra’s total milk supply. Spierings said the co-operative planned to have 30b LME from NZ and global milk pools by 2025, from which it would generate $35b from processed products. One-quarter of its LME requirements would be non-NZ. The gross margin would be above 20%, driven by more consumer and food service and the earnings would grow by 50% to 100% above the 2015 base level of $1b. He believed NZ milk could grow sustainably by 1.5% a year so larger contributions from offshore milk pools would be necessary to fulfil demand. Over the next five years he predicted 16% compounded annual growth for cream products and 14% for mozzarella. NZ would concentrate on milk powders and food service items, Europe would supply whey powder, the Americas would contribute cheese, whey and nutritionals and China UHT milk.

Fonterra sells fresh milk in China Hugh Stringleman hugh.stringleman@nzx.com FONTERRA China has launched daily fresh milk through a new retailer at the premium end of the Shanghai market, at a price equivalent to more than $5/litre. The milk is from Fonterra’s dairy farms in Hebei province and bottled in a New Hope plant in Hangzhou. It will sell for 19.5 renminbi for 750ml. The retailer was Hema Fresh, a subsidiary of Alibaba, with its 14 stores in Shanghai and Suzhou. Customers will be able to shop in-store using their mobile phones to browse and purchase or order online for a 30-minute

delivery within a 3km radius. Hema used the wealth of data it gathered to provide a tailored, personalised shopping experience for each customer. Anchor UHT milk products and the Anchor Dairy Foods range of butter, cream and cheese items were also sold through Hema, Fonterra’s Greater China president Christine Zhu said. The full strength fresh milk sold through Hema would be innovatively packaged with labels to match each day of the week to emphasise freshness, with stock being replenished overnight ready for each new day. A Fonterra spokesperson said it was believed to be a first in fresh

milk retailing around the world. The labels would contain the Anchor symbol but no Fonterra or New Zealand identity. Zhu said the new product range was aimed at the premiumisation of China’s consumer categories. According to figures from McKinsey it is expected more than 75% of China’s urban consumers will earn RMB 60,000 to 229,000 (NZ$13,000 to $49,000) a year by 2022. That would be up from just 4% in the year 2000, prompting a marked shift in consumer behaviour and buying power. “No other multinational dairy company in China has a local

MILKMAN: Seven labels for each day of the week for Fonterra’s fresh milk sold through Hema Fresh in Shanghai and Suzhou.

milk pool to draw from so we are in an advantageous position,” Zhu said. “This milestone with Hema is a sign of things to come and

indicates that our push to shift more of our local milk into higher-yielding consumer and food service products is well and truly under way.”

News

16 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Canterbury lamb sales beat heat Annette Scott annette.scott@nzx.com THE absence of November rain proved a challenge for many Canterbury high-country lambs but January rain helped ease farmers’ pain. Hazlett Rural auctioneer Ed Marfell said the annual onfarm lamb sales at Snowdon and High Peak stations last Monday were a prime example of two stations that really got pinched through December.

The rain was certainly timely in boosting buyer confidence, which helped push the prices. Hamish Guild High Peak Station Neither of the Rakaia Gorge stations received any rain in November but given it was so wet before November, lambs carried through reasonably well. But come December there was a three-week period where stock, particularly lambs, really struggled before rain finally fell on Boxing Day. “Lambs certainly hardened off,

then there was 160mm of rain into January and the lambs just started to go again. “Come the sale day they were ready to fire with feed, and the January rain had boosted buyer confidence, so overall it was a pleasing result in the end for the vendors and the buyers seemed to be pretty happy too,” Marfell said. “The lambs weren’t what they normally are, but given the challenging season they were wellpresented – a magnificent line-up of more than 10,000 lambs and a credit to the vendors. “The properties had earned their reputation, year-in year-out, and the lambs offered were wellsought after.” High Peak farm operations manager Hamish Guild described the sale as one of two halves. “The light lambs sold well where buyers were looking more at dollars per head rather than per kilogram – through the middle they were softer, and overall it was a reflection of the season with the lack of rain. “It didn’t stop raining from April to October, it was a wet, cold lambing in September, and then no rain when we needed it for lactation.” The 150mm of rain in January didn’t help the lambs but it was most welcome, Guild said. “The rain was certainly timely in boosting buyer confidence, which helped push the prices.” Marfell said the tops of the

BLUE MONDAY: Blue shirts were the order of the day at last week’s annual High Peak and Snowdon stations’ onfarm lamb sales. Photos: Annette Scott

lambs from both stations were solid on all recent sales, and while forward stores were just holding their own, the lighter-end genuine stores had a very good sale. At Snowdon Station the tops of the Suffolk Perendale mixed-sex lambs fetched up to $141 with an exceptional sale at $153, while others sold from $86-$120. Ewe lambs sold from $80-$121, and smaller lambs $75. Perendale crypt lambs ranged $66-$114. At High Peak Station the Suffolk-Perendale cross mixed-sex lambs sold from $73-$116, while Perendale crypts ranged from $66$85, and ewe lambs $78. The next challenge for Canterbury was the influx of lambs from drought-stricken Southland. Marfell said the pressure was really on, and lambs were arriving in Canterbury six-to-eight weeks

ALL SMILES: High Peak farm operations manager Hamish Guild, left, and livestrock manager ET, centre, keep an eye on proceedings with Richard Jordan, 6-year-old Pippa and Walter, 8.

earlier than usual because of the dry. “But with crops coming off now we will handle it – it will take some managing but we will cope,” he said. Meantime, outside of the yards $3/kg seemed to be a common price for store lambs in the upper South Island, with some sales in Canterbury making in excess of this. In Southland, where the bulk of the lambs were being off-loaded, the market was softer at $2.80$2.90/kg the week before last, easing to $2.60-$2.80/kg by the end of the week. Prime lamb operating prices were holding up well in the South Island. For those in the dry areas this was at least some consolation for being forced to kill down to low weights.

The high turn-off before Christmas was preventing processing space from being too congested, and while there were some wait times through Otago and Southland, overall lambs were moving relatively well. Canterbury and Marlborough farmers have plenty of feed at the moment so there’s little need to off-load further at this point. The number of lambs already killed to date suggests supply will be lower in coming weeks, but if there’s no respite from the dry, Otago and Southland may be forced to continue to dig deeper into numbers. Operating prices were expected to hold up in January, underpinned by Easter trade demand, but it was expected that processors would pull prices back into February.

FUN: “Only the lambs are watching, we should be right.” Hamish and Henry Christie get distratced away from the auctioneer’s call.

News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

MPI test stuns the honey sector Richard Rennie richard.rennie@nzx.com THE final version of manuka honey standards developed by the Ministry for Primary Industries continues to draw fire from the honey industry concerned over the parameters used for defining manuka and false positive results when used. The pathway to developing manuka honey standards for certification has proved a long and twisted one, with MPI taking three years to arrive at an industrystandard test after extending its submission period in May last year. The latest test, however, continues to leave a vital chemical marker out of the test formula despite the industry submitting strongly during that process to have it included. That chemical marker, leptosperin, is already used by the UMF Honey Association to verify manuka honey. The association had committed to providing industry-wide access to the leptosperin test standard it had already developed. Karin Kos, Apiculture New Zealand chief executive, said it was disappointing the leptosperin test remained absent in the manuka definition.

She and industry partners were also working to better understand the implications of MPI adjusting the parameters on one of the key chemical markers used in the test, which may have implications for whether honey is defined as mono-floral or multi-floral. Manawatu beekeeper Jason Prior, of Downunder Honey, said the revamped regulations were little short of window dressing by MPI, did nothing to assuage the sector’s concerns over the original format of the tests, and had left many honey producers stunned. He also took issue with the ministry’s release to the industry on the standards. MPI stated it had delayed its decision to consider an alternative definition submitted by “a few members in the industry”. This alternative definition involved including leptosperin in the test parameters. MPI further claimed this alternative definition lacked robust scientific evidence to support it. “I find that to be simply not the case,” Prior said. “That alternative definition was put forward by Apiculture NZ and Comvita, hardly ‘a few members’, and it is a standard already used and proven by the UMF Association.”

VITAL MARKER: The New Zealand honey industry is disappointed its leptosperin test is absent from MPI’s manuka honey definition.

Kos said she and Apiculture NZ’s members also wanted to better understand MPI’s thinking that only a “few members” had submitted on the leptosperin test. “The test is a reputable, peer reviewed and proven test,” she said. MPI had originally opted out of using leptosperin on grounds it couldn’t be used to separate mono-floral from multi-floral manuka honey, and was not stable

over time and under increased temperatures. But industry sources have concerns two of the chemical markers in MPI’s approved test are capable of being bought synthetically off the shelf. They can be added to honey and the absence of the leptosperin parameter made it harder, not easier, to determine if honey had been tampered with. Neither marker was unique to manuka, and they were also

known to be unstable over time. Prior said MPI test results also bore little correlation to a honey’s UMF grade, a key determinant of manuka honey value. He had tested some of his own product under MPI standards to find some batches that he thought were not mono-floral manuka with little UMF activity level came in at more than twice the MPI standard for manuka. “And some manuka I thought was about medium-active UMF levels actually failed the test. “What this test has gone and done is completely reshape the market and downgrade whole crops of honey,” Prior said. Tests by beekeepers have also found adding kanuka honey to blends will also get a “non-manuka” honey over the standard’s parameters, to define it as manuka. Kos said it appeared the Minister for Primary Industries, Damien O’Connor, was committed to pushing the test through. “But we have to urgently keep working on it, it has to be better.” She was also concerned over the tight timelines for implementation, with test standards taking effect from February 5.

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18 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Newsmaker

New boss to see FAR into the future Internationally recognised plant scientist Alison Stewart has been appointed as the new chief executive of the Foundation for Arable Research. She talked to Annette Scott about what attracted her to the key role in the arable industry.

HEN Dr Alison Stewart sat on the panel that did the external programme management review of the Foundation for Arable Research (FAR) in 2016 she realised the huge opportunities for the future of the organisation. Then, a year later, she saw the advertisement for a new chief executive. “My role on the review panel gave me a good insight into what FAR had done and where it was heading with its research and activities and I could see there were very exciting opportunities for the arable sector in the future. “When I saw the advertisement come up last year I saw it as my opportunity to take a key role in the future of the arable sector.” As an applied research and information transfer organisation responsible primarily to arable growers it was right in Stewart’s domain. “I love all plants, horticulture and all trees, “I am a plant scientist and gardening is a hobby. “I am excited by the prospect of working with farmers and industry to further grow and develop high value produce,” she said. As an internationally recognised scientist with specialist knowledge in the area of plant protection Stewart has a wealth of experience in managing research groups, programmes and institutions in New Zealand universities and Crown research institutes. Her research has encompassed everything from cutting edge molecular technologies to product development and onfarm trials. As such, she has a strong understanding of the NZ science sector, particularly as it relates to primary industries, FAR board chairman David Birkett said in announcing Stewart’s appointment. Currently the general manager of forest science at Scion, Stewart would bring with her a unique combination of skills. She has worked in the commercial sector in NZ and the United States successfully developing and commercialising several biological pest and disease management technologies for the agriculture,

horticulture and nursery sectors. She has been on the boards of Plant and Food Research in NZ and The Waite Research Institute at the University of Adelaide. In her role at Scion Stewart led a range of activities including breeding, agronomy, biosecurity, remote sensing and value chain optimisation. She has also been responsible for Scion’s strategic relationships with a number of national and international stakeholders. Birkett said Stewart was familiar with FAR’s goals and activities because she had been involved in several FAR-funded research projects as well as the review panel. Stewart will take up the role in March, replacing founding chief executive Nick Pyke who has been with the organisation since it was formed in 1995. And she is looking forward to her new challenge acknowledging she has big shoes to fill. The applied plant scientist who has focused on sustainable disease management, soil biology and plant technology said she was all too aware of the challenge ahead knowing the work Pyke had done in establishing and growing FAR in his 22 years with the organisation. “I have known Nick all my career in NZ – even before FAR we did a lot of horticulture work together.” During her work with the review panel Stewart was impressed with the innovative thinking of the board and the future opportunities she saw for the arable industry and the role FAR would play in that.

Changes are never a good idea at first. You could end up with egg on your face.

“It really appealed to me to be engaging with the board on how we can take advantage of these opportunities and provide the research and development to realise them. “This was the right time for me to put all my experience together and take to the table as the chief executive of FAR.” Stewart acknowledged she would bring a different set of

SMITTEN: New Foundation for Arable Research chief executive Alison Stewart loves all plants, horticulture and trees.

skills to the role but believed that would not mean big changes. “Changes are never a good idea at first and so I intend spending a lot of time talking and listening otherwise you could end up with egg on your face. “When I know what their (board’s) ideas are for the future I can build on that with my ideas and the success will be all working together.” Stewart said the industry had already engaged with precision agriculture technologies and robotics so looking ahead it would be about growing them to continue to improve efficiencies in the way farmers manage their cropping businesses around minimising environmental impact. Plants for protein will be a key focus identifying the right opportunities for specific regions around NZ. “We will need to do really good commercial analysis in this space.” Currently based with Scion in Rotorua Stewart said heading back south would be like heading home.

“Christchurch is home now, I spent 18 years there so coming back is coming home.” Between Lincoln and Scion she was three years as senior vice president research and development and chief technical officer at Marrone Bio Innovations in California. “That was an opening to immerse myself with some top connections that would help connect NZ researchers into the global innovation network.” While she thoroughly enjoyed forestry Stewart was “enthusiastically excited” about the arable industry. “What I do see in both the NZ environment and the global environment are opportunities for plant-based proteins and novel cropping systems with huge openings for the arable sector to grow and innovate as one even more important sector for NZ.” Stewart will take up her role with FAR on March 19 and while she doesn’t expect to initially have too much spare time, she does plan to pursue her love of the outdoors that includes walking in the hills, cycling and photography.

Credentials: DR Alison Stewart is an applied plant scientist who has focused on sustainable disease management, soil biology and plant biotechnology. She has a PhD in plant pathology from the University of Stirling, Scotland, and in 1998 became the first female professor at Lincoln University. She was the founding director of the Bio-Protection Research Centre at Lincoln University from 2003 to 2011. Her credentials include: • AgResearch Technology Transfer Award (2002) • MAFBNZ Biosecurity Award for Excellence (2008) • Companion of the New Zealand Order of Merit in recognition of services to biology (2009) • Distinguished Professor of Plant Pathology, Lincoln University (2011) • Member of the MPI-led Primary Sector Science Direction Steering Committee (2017) • Fellow of the NZ Institute for Agricultural and Horticultural Science • Fellow of the Australasian Plant Pathology Society

New thinking

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Endophytes may help many plants The sight of stock shaking and sick from the toxic effects of standard ryegrass endophytes (ryegrass staggers) is one fewer and fewer farmers are familiar with thanks in part to new endophytes available in grasses that remove or reduce the toxic effects. An AgResearch team is building on the work that discovered the AR1 novel endophyte and the ground-breaking AR37 endophyte to find other applications for endophytes that might help replace synthetic sprays and boost crop health. Richard Rennie spoke to lead scientist Dr Linda Johnson. It was being used in trials as a control endophyte only for researchers to discover it delivered outcomes well in excess of those endophytes actually being tested. As an Epichloe endophyte, it is one of a group that are naturally grass sourced. But the researchers in Palmerston North, Hamilton and Christchurch hope they might yet prove to have a growth-promoting or disease prevention role in the cousins to ryegrass. Sorting the wheat from the chaff in the endophyte world first involves determining which carry the toxic compounds that cause heat stress and staggers and dropping them straight off. “Not all researchers will discard an endophyte on these grounds but we maintain this as a bottom line for starting from,” Johnson said. However, there is a need to better understand how other compounds in endophytes give benefits to plants and possibly their animal consumers to make finding them less like a needle in a haystack. The researchers have received Ministry for Business, Innovation and Employment and commercial funding to study endophytes for cereal crops including wheat, triticale and rye from the genus Elymus found in grasslands throughout the world. “Using the same chemical screening we have done here for grasses we are able to take endophytes from them, isolate

INSIGHT: AgResearch scientist Dr Linda Johnson is working out how endophytes found in grass can help other crops. Photo: Aaron Davies

If we do it for maize, we could then do it for other crops. Dr Linda Johnson AgResearch them, culture them and artificially inoculate them into a cereal germplasm.” Initial results proved inoculation with a non-host endophyte was problematic. Researchers have worked to understand why an endophyte from wild grasses might struggle to associate with wheat or rye. “But we have got to the point where we are now enjoying some success. “That includes the endophyte being passed on to the next generation through seed.” Researchers are running trial crops at Lincoln to study the possible gains in crop productivity resulting from endophyte infection.

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in the plant and hope to progress it further here.” A study of heritage maize varieties from Mexico also hopes to identify endophytes that might have been lost as those varieties fell out of commercial favour or never qualified. “We aim to build up a heritage collection of endophytes, rediscovering what has potentially been lost over the years. “If we do it for maize, we could then do it for other crops.” Estimates are that reducing the most common diseases and insects from NZ maize crops could itself repay the industry in savings and productivity gains of $24 million a season. “And as we see more pesticide types are banned, endophytes may provide a viable alternative to preserving crop quality and productivity in the future. “The qualifier is that these take time to develop. “They may also have potential in other areas including improving nutrient availability and the possibilities lie beyond agriculture, in horticulture too.”

Johnson hopes further work will determine to what extent the new endophytes fall into the category of endophyte bio-controls that control pests in the same way AR37 does and which might even be endophyte bio-stimulants that boost plant productivity. “At this stage it appears their role is in that first area. They make an array of compounds to protect the plant.” They also hope other endophytes with a wide host range might not need to be passed on through seed as their only means of being effective or sustained and could be applied as a treatment to the seed or plant. As global pasture and crop land faces the pressure of producing more for a growing population while cutting fertiliser and spray use, endophytes might hold some answers. The team has also been asked to contribute its knowledge to isolating endophytes in Brachiaria, a highly productive sub-tropical grass. “We came across an endophyte that proved useful against diseases

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CIENTISTS are delving deep into the science of endophytes, the naturally occurring fungi that lives on a plant for part of its life, to help arable and horticulture crops. It is an area AgResearch holds significant knowledge and expertise in and intellectual property over, thanks to this country’s focus on improving pastoral productivity through discovering better endophytes. “The AR37 endophyte commercialised in 2007-08 has proven to be a ground-breaking endophyte in terms of its ability to naturally control five key pastoral pests, with minimal animal health implications,” AgResearch lead scientist Dr Linda Johnson said. “While there have been incidences of staggers found in sheep grazing on it, the advantages it has brought have well outweighed those risks and made it the first choice for farmers seeking more productive pasture in areas with significant insect pest pressure.” Those advantages have been valued at about $3.66 billion for the 20 years of AR37’s patent protected period, about $200 million a year. “This comes in terms of increased pasture productivity compared against all endophytes on the market and better animal performance on these grasses compared to standard endophyte.” The AR37 discovery was somewhat serendipitous.

Opinion

20 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

EDITORIAL Even Trump talk is good for NZ

HE sudden and somewhat surprising news that agreement has been reached on the Comprehensive and Progressive Trans Pacific Partnership is welcome. Now the deal is done time is not being wasted. It will be signed on March 8 in Chile and could take effect later this year. Even more surprisingly, the clincher came down to action by the Labour Government. Apparently Japan and New Zealand took a tag team approach to twisting Canada’s arm with a good cop, bad cop routine. Pressure was also put on Canada with the knowledge Mexico wanted the deal done and Canada wants Mexico’s support in North American Free Trade Agreement talks with the United States. And it is the recent statements and actions coming out of America that make the CPTPP important for small, vulnerable countries like New Zealand. Korea being a close military ally of the US didn’t stop President Donald Trump slapping import tariffs of 50% and 30% on South Korean washing machines and solar panels. Trump has also taken his America First message to the meeting of global economy leaders in Davos, Switzerland. With Trump’s message of do it his way or hit the highway any new deals New Zealand can do with US customers are more likely than not to be on terms favourable to the US. That makes guaranteed access to other markets on stable, guaranteed terms important. It means our exporters have options. There has been much talk in recent times of increasingly isolationist and protectionist trade policies but as well as CPTPP both the Europeans and British have been talking free trade and expressing a desire for more agreements. China, too, has been open to increasing trade and has been promoting its own multi-nation free-trade agreement. So while Trump is talking tough in the knowledge the US has the clout to back up his threats the response is increasingly for those feeling threathened to gang up against him with their own arrangements. He might well find himself the odd man out, even in Nafta talks if Mexico and Canada can find common ground. That can only be good for nations like New Zealand.

Stephen Bell

LETTERS

More letters P23

ETS, great, send me the money 21, to get the carbon figure of 1,260,000t of carbon. All up, a total of 1,368,500t. We also have 50ha of native trees in a growing state, so guesstimate 2500 trees consuming one tonne of carbon each, therefore 2,500,000t positive so subtract 1,368,500t = net 1,131,500t. So the Government owes us $22 a tonne. But have I mentioned we focus on carbon farming by choice, so our soils average about 5% organic matter. However, I need a hand to crunch the numbers here because it starts to get quite complicated – about 58% of organic matter exists as carbon, but I’m not certain as to the bulk densities of the soil? A natural carbon cycle is what is found in healthy soils, and two to three times the atmospheric carbon can be found in the soil.

THE Emmissions Trading Scheme needs to be fair. The Government ethically should back up their claims with sound facts. On my property I’ve tried to establish the carbon emissions created: the two 500cc-plus bikes produce about four tonnes of carbon, the house uses about 10t, the ute – if travelling 30,000km – 12.5t, 10k of food, clothes $1000, IT $1000, motor vehicle replacement 7000t, and 25k of manufactured goods, interest, insurance, holidays and so on equate to about 50t of CO2, plus a further 32t consumed by the boss and staff member being alive. Oh, and did I mention the farting cows? If I was to simplify stock numbers and said 1000 head of 250kg R1s, which I figure at 60kg of methane each mulitpled by

However, if we worked things backwards assuming we use, say 1,400,000t of carbon divided by 362ha of grassland, we’d only need to have stores of up to 4t in the soil capacity to offset use. So I figure my pasture swathe is not only carbon neutral but also due a return. I’m really starting to like your ideas, James. Owen Clements Northland

Chewing the fat I HAVE just read another puff piece about Headwaters sheep. It was about Tim Burdon from Mt Burke Station in Central Otago farming Headwaters sheep. Perhaps these sheep are every bit as good as Mr Burdon claims, but I would like people to consider the following. The research undertaken by Headwaters and the

Alliance Group, under the umbrella of a Primary Growth Partnership project between the Government and industry, claims that Headwaters lambs’ intramuscular fat “averaged above 3% compared to other breeds at 1%”. It also claims “omega-3 levels are typically three times those of average lambs”. As I understand it, none of this research has been peerreviewed by an independent entity. Myself and others have been refused access to the research and its findings. Credibility would be enhanced by releasing all the research to interested parties. It would be nice to know what lambs and what breeds Headwaters is comparing its lambs with and what sample size, because the cynic in me wonders if they’re comparing

Continued page 23

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Opinion

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

Farmers must do their own biosecurity Dave Harrison

HE New Year is traditionally a time to reflect and to resolve to make improvements in the coming year. One key area farmers can be thinking about during this time is how well-prepared they are to manage biosecurity risks. There is no clearer illustration of the importance of this than the Mycoplasma bovis outbreak. This is a very difficult time for all affected farmers and their communities and our thoughts are with them and their families. The outbreak has certainly put the spotlight on biosecurity and with this has come the realisation that there is room for improvement in how we manage biosecurity as an industry and a nation. Farmers are used to managing animal health issues, plant pests and weeds every day. Farmers consistently tell us that biosecurity risks are among the biggest risks we face. Yet the lesson from M bovis so far is that farmers can be thinking a lot more about how they manage onfarm biosecurity to protect their farm business from the impact of pests and diseases on productivity, profitability and ultimately livelihoods. The bigger picture is that biosecurity is critical to New Zealand because as a trading nation we export 95% of our primary produce. The viability of the whole sector depends on being able to demonstrate that we produce high-value, quality food that is free from diseases that affect animal and human health. And a key aspiration for our

The

SAFETY NET: Biosecurity is a form of insurance, Beef + Lamb’s policy and advocacy general manager Dave Harrison says.

Pulpit

sector is to increase the value of our exports in high-paying markets – markets with the highest biosecurity expectations. We are fortunate that M bovis is already endemic worldwide and does not impact food health and safety. But it does represent a production crisis for affected farmers and, as the saying goes, never waste a good crisis. Beef + Lamb NZ is focused on supporting farmers to help manage biosecurity risks in their own business through online resources and technical support. B+LNZ’s online Drystock Biosecurity Guidelines are a good start, providing a set of seven intervention points for onfarm biosecurity. DairyNZ’s biosecurity WOF is another useful resource farmers can look to as they think about how to manage risk. Ultimately, it is up to each individual farmer to take responsibility for protecting

Ultimately, it is up to each individual farmer to take responsibility for protecting their farm business. their farm business. Onfarm biosecurity doesn’t to need be onerous. It starts with thinking about the farm as a border, just as we do as a country, considering points of entry and exit and how to practically and cost-effectively mitigate risks at each point. When bringing in new stock be set up to keep them in quarantine for a week or so, keeping an eye on their health before introducing them to the herd or flock. Consider waste management and the cleanliness of vehicles and machinery coming on and going off the farm.

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It is also critical that farmers meet their obligations under the National Animal Identification and Tracing Scheme (Nait). The M bovis outbreak has shown that where farmers have complied with Nait requirements the tracing of animals has been quick and accurate, whereas those who haven’t complied have made this a lot more difficult. Put simply, overall improvement in compliance with Nait is a key focus to controlling future disease outbreaks quickly and effectively. We know farmers want to be involved and strengthen our biosecurity. That’s reflected in the fact we had the support of 85% of the sheep and beef farmers who shared their views on our proposal to join other primary sector groups in signing the Government Industry Agreements (GIA) for Biosecurity Readiness and Response Deed. Signing the GIA will give farmers increased certainty and control

over our own biosecurity destiny. It also means we can be betterprepared, have a pre-agreed set of minimum readiness and response commitments between industry and government and agreed limits on our potential cost share for readiness and response activities. Ultimately, biosecurity is insurance for the future. The world is spiked with uncertainty and livestock farming is under increasing scrutiny and pressure, whether it’s about animal welfare, the environment or alternative proteins. Maximising value by protecting our disease-free status has never been more critical and it starts behind the farmgate.

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

Opinion

22 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

An unSafe portrayal of farming Alternative View

Alan Emerson

IT TAKES a while to wind me up, usually, but the cretins at Safe can do it easily. Their latest campaign, Farm 360, is a case in point. It is an ignorant, ill-informed, farcical piece of raging propaganda that would even make the White House blush. It is not so much fake news as total and absolute bullshit. At Farm 360, those at Safe proudly but incorrectly claim “The 360 degree footage reveals, from an animal’s eye view, the inside story of animals’ suffering in factory farms.” It goes on to claim “People will have the opportunity to see the conditions inflicted on animals in factory farms from an animal’s own unique perspective via virtual reality headsets.” As someone qualified as a video director it looks to me the footage was filmed and edited by kids at a daycare centre. If it showed suffering I missed it. What was infinitely more offensive was the script. “Sadly most farmed animals in New Zealand endure living hell on

factory farms every single day,” it said. What mushroom did they crawl out from under? In Farm Facts 2015 we read that out of NZ’s total of 58,068 farms 225 are classed as pig farms and 135 as poultry. That means pigs and poultry farms occupy about 0.6% of our total farming, making the Safe claim in excess of hyperbole. You can also read that 8000 to 10,000 meat chickens die every day from starvation. How would they have the faintest clue? I would also argue the industry couldn’t sustain losses of that magnitude and survive. Safe is also upset “animals are treated as if they are objects rather than living, feeling individuals”. What in heaven’s name are they suggesting farmers should do provide regular counselling for our animals? We treat animals well and can be proud that over the 58,000 farms in NZ it is incredibly rare for a farmer to be accused of any form of animal cruelty despite the best efforts of lunatic fringe groups like Safe. What really irritated me is the claim that the new virtual reality footage was filmed by volunteer investigators from Farmwatch and voiced by actor Emmet Skilton. I’d never heard of Emmet Skilton but Mr Google via Wikipedia helpfully informed me he started off on the television

programme Seven Periods with Mr Gormsby that I’d never heard of. I suppose I’ll just have to wait for the NZ production of Ben Hur. But it was the volunteer investigators from Farmwatch that really irritated me. For a start, for volunteer investigators read meddling trespassers who break the law with impunity with the sole aim of trying to force their warped view of the world on the great unwashed. It is illegal to trespass in NZ but it seems the authorities are more than happy to let Farmwatch do it. I’m sure a farmer going onto one of their properties unannounced would be hit with the full rigours of the law so why do the police turn a blind eye to the trespassing of the Farmwatch brigade? It gets worse. Unwanted urban terrorists wandering around farms in the dead of night are, I’d have thought, a considerable health and safety risk. One wonders where the brains trust at Worksafe are considering the threat to life and limb. Mind you, it would take more effort than pinging farmers for not wearing a helmet on their quad and it would be outside the hours of nine to five. I’d have also believed the RSPCA would have concerns about the Farmwatch activity. Just think of the threat to animal welfare posed by clowns wandering into pens

PROPAGANDA? Safe has produced a new video that purports to give an animal’s eye view of factory farming.

of pigs and poultry in the dead of night and scaring the tripe out of the poor animals with bright lights and cameras. If Safe was true to its code it should have major concerns because the animals it claims to be trying to save are certainly being exploited by its agents. They must believe that the end justifies the means of animal exploitation. Maybe Safe could be rebranded as Safeewwi, save animals from exploitation except when we’re involved. So, it seems to me that Worksafe, the RSPCA and even Safe itself are more anti-farmer organisations than being remotely interested in doing the right thing. In the case of the police I

believe they aren’t that interested in what’s going on outside the 50kmh limit and in the case of Farmwatch they just don’t want to be involved. The fact that a crime has been committed is, it would appear, incidental. I’m sure that if farmers caught one of these trespassers on their property and gave them a quick boot they’d be instantly prosecuted. It sure isn’t a playing field even resembling level.

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

Farmers feed city’s social life Town Talk

Amy Williams

THANK you, farmers. At this time of year our fridge overflows with butterfly lamb, sausages and chicken nibbles for back-to-back barbecues. We sit on the deck with a cold one while the kids jump on the trampoline and run around under the sprinkler until there’s food on the table. This weekend we’ll wander three doors along to hang out with neighbours for a barbecue. Their backyard is a central city wilderness – the rock spilt from Three Kings volcano decades ago joins all our backyards and theirs is a mini cliff where wild blackberries climb and another neighbour tends a beehive. The rock in our backyard is a mini mountain we planted with natives, where the kids can climb and find good hiding spots. It also creates an outdoor room for the barbecue. Our first barbecue is the day after New Year’s and we tell our

CHEERS: Farmers supply the fuel for the social scene.

friends to come at 4pm so the kids can play. They’ve been living in Seattle for two years, he working for a tech giant, and in that time all our kids have shot up a good few inches so there’s lots to catch up on. They come straight from Long Bay beach on the North Shore. It’s a hot and muggy day and the steady rain from yesterday has hit Auckland’s stormwater system. The kids were swimming when the lifeguards stuck the warning signs in the sand. We get the sprinkler going on the trampoline and sit down under the umbrella with cold beers and wine.

The conversation soon turns to lamb. At their Seattle butcher shop, New Zealand lamb sells for about US$16 a pound. We’ve got a whole butterfly lamb leg for about that and we balk at the price they’ve got to pay for a slice of home when Stateside. Talking about meat, they say the US beef tastes amazing but they’re not sure why, exactly. They reckon it’s better than NZ beef. We laugh at the absurd possibility that anything could beat the taste of our free-to-roam grass-fed meat. But American lamb doesn’t compare so they’ll pay the price now and then.

The butcher was closed the day we bought the meat for today’s barbecue so this lot comes from a nearby specialty grocer. They have good meat specials and I’ve loaded up on gourmet sausages, butterfly lamb and a NZ freefarmed pork shoulder – that one I’ll slow cook another time. We’ve got Pokeno sausages in the freezer but my husband wants to cook fresh today. We often stop there on the way to the grandparents in Waikato to get a few dozen bangers – Cumberland, bratwurst, pork and bacon. There’s also a Pokeno butcher shop in Mt Eden, a short drive for us. My husband was there just

before Christmas when there was a rush on lengths of eye fillet and lamb cutlets. It’s time for pudding so we coat a pavlova with cream and fill a bowl with fresh blueberries to make a small dent in the 19 kilograms we picked just after Christmas in Waikato. The pav is from the supermarket and I admit I’ve never made one, mumbling about the curse of Auckland’s humidity. The clock strikes 8pm and we say our goodbyes – the kids take a while to settle down. It’s an hour past their bedtime but at least it’s the school holidays. We do it all again the next day with another set of friends who live in Auckland. They moved from our neighbourhood to another out east a few years ago and it’s been a while since we caught up. They arrive at standard barbecue time and the kids venture outside to the rock and trampoline. We sit on the deck and talk about the year that’s been and the Auckland housing market. We’re not moving from the city but we know people who are. We barbecue butterfly lamb and sausages and eat it with slaw, new potatoes and garlic bread. Now there’s room in the fridge for the beer and wine – at least until the next barbecue. Thank you, farmers.

Opinion

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

A meating of minds Steve Wyn-Harris

ONE of the great privileges and benefits of writing this column is the feedback – not always complimentary – and the folk who ask to call in for a visit. Jane is very understanding and has served up scores of lunches, meals and cups of tea over the years. Most are Kiwis from around the country. Never from my neck of the woods, of course, since you’re never a prophet in your own patch. They know me too well anyway, along with all my failings, for me to be of any interest. We get a few visitors from overseas, particularly now that Farmers Weekly is online and not geo-locked so that folk from all over the world are able to read the paper. Some of the emails I get from around the globe, along with the ensuing conversations, can be very interesting. This led some years ago to a group of Mexicans calling in for a look around, and then an invitation to speak to their sheep conference in Puebla, a couple hours south of Mexico City. Likewise, a visit from some Tasmanian farmers resulted in a talk to their conference in Launceston, and I’m now a great advocate of both these places and the people therein. A couple of weeks ago we had an approach from an English couple travelling around New

Zealand who wondered if we were up for a visit – we said, “of course”. David and Moira Fenemore farm 500ha about 40km northwest of London, or an hour’s commute by train. The problem is the Fenemore’s farm is in a direct line between London and Birmingham, and the British government wants to build a high-speed rail line through the middle of their farm and others to link the two cities. This at an expected cost of £55-£60 billion, all to shave off 20 minutes commuting time. The third of the farm that’ll be on the other side of the rail line, after going to court, will be linked by a bridge at a cost to the United Kingdom taxpayer of £2 million. David had a subscription more than 20 years ago to the old NZFarmer that I wrote for, but nowadays reads Farmers Weekly online every Friday morning over breakfast. Having read my piece during those two decades, he knew details about my life that I’d forgotten. He was well-informed about the prices we receive, what was happening in our markets, and our attitudes and concerns on all manner of things. He watched our lamb production, how the season progressed and what was happening in our other markets with an eagle eye, and consequently had a good gauge on how it affects his own market and prices. I asked him if his mates and colleagues did similar, but he thought it was rare. Everyone he knew just read the British equivalent farming paper and were very insular in their views. He could see that we were short on lambs in May to June going to the UK last year. Sure enough, NZ lamb disappeared

IMPRESSED: British farmers Moira and David Fenemore like what they see on New Zealand farms. Photo: Steve Wyn-Harris

There was even talk of joining the Trans Pacific Partnership, despite the UK being some considerable distance from the Pacific Ocean. off the supermarket shelves and immediately he could sell a 19kg lamb for £115 (NZ$220!). It’s remained good and British sheep farmers are happy but still get riled when supermarkets losslead on NZ lamb, which they do in this country as well. However, both of us had stocked our

LETTERS Continued from page 20 their lambs with the worst possible sample. If their research was released then it might counter what I’ve been told more than once that intramuscular fat has no bearing on taste for the majority of lambs killed. They are simply not old enough to lay down enough intramuscular fat to have an effect on taste. It does have a bearing on older animals killed to be eaten, and it’s important in cattle but they are killed at an older age. If this research was released then it could be peer-reviewed to see if intramuscular fat was a red herring or was something to be concerned about. We are told all Headwaters lambs are finished on chicory (and clover, I believe) for a month before being killed. In the article it states this “boosts levels of omega-3 and intramuscular fat”. Again, the cynic in me questions how much of this is a direct consequence of being finished on these crops and has nothing to do with genetics. Does

freezers with NZ legs of lamb for $20-a-leg before Christmas. Of course, we talked about Brexit and David said although it was unexpected and a big shock, UK farmers believed it would be good for them, particularly since the pound dropped immediately after the vote making their exports more competitive. They saw their lambs go from £65 to £85 a head overnight. However, now they’re getting a little nervous because they thought they could stay in the European Union market, but the EU is keen to make an example of the UK to dissuade others exiting. I pointed out they were panicking enough that there was even talk of joining the Trans

More letters P20 the data they have collated distinguish between those finished on these crops and those not? Can they genuinely apportion any gain to genetics as opposed to merely lambs being finished as they should be? As I have said many times, the meat companies should pay a premium for lambs finished correctly, then you would get better tasting lambs. You don’t need years of research to work that one out. In the article in question it states “the PGP-calculated premiums of 30% to 50% in prices for Omega lamb but Tate (the project manager) said actual returns exceeded that. He declined to give details”. I believe Alliance pays them a 10c/ kg premium for their lambs, which is primarily based on supply of numbers, not fantastic-tasting lamb. But again Alliance won’t disclose what it’s paying. At 10c/kg, this equates to perhaps a 1% premium. I’m not sure where the rest comes from. I, like many shareholders, aren’t impressed with Alliance’s policy

in this regard, and I know that they’re losing lambs because of this and the price they’re paying. Remember these sheep are merely composites. Composites have been around for decades now. Many farmers started off with a good purebred flock, and did well for five or six years by putting composites over them. But how many farmers do you know 10 years down the track who are still using them? Not many, because problems often compound and production generally starts to decline the further you get into it. Finally, Mr Burdon’s claim about foraging is excellent, but I’m pretty sure the proliferation of dairying forcing sheep on to less productive country has had the same effect on all breeds, and in particular Romneys. I think a good flock of Romneys would be equally as good as these composites in this regard. Ike Williams South Canterbury

Pacific Partnership, despite the UK being some considerable distance from the Pacific Ocean. We chatted about the many startling similarities between our two countries, although he spoke of the openness of Kiwis when compared to the much more reserved English as being quite distinct. Then they set off south to see more of our wonderful country, which they were very complimentary and enthusiastic about.

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

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OUTSTANDING SMALLER FARM

LOCATION, LOCATION

• This property consists of 67.5 hectares in three main titles and is situated on Hansens and Rangitikei Line, Newbury, Manawatu. • Well farmed with soils that would grow anything. • Centrally located 20 aside herringbone dairy, with adjacent feed pad and silage bunkers. • A good family home set in established gardens. • Very good well water supplied via a 50mm main line to stock troughs. • The farm is running a dairy herd, is currently consented for 300 cows and supplies Open Country. • With outstanding soils, great location this is an exceptional place to purchase your first farm. • Asking $3,495,000 Call Les to inspect and discuss your options.

Google ‘Sallan Realty’ Your Farm Sales Specialist

Guaranteed Milk Price of AUD $8.00 MS for the next 3 years 260,000kgs MS – 550 Cows • 308ha of prime soil types, handy to the Murray River regional city of Echuca • 1770 ML deep bore licence and 61 ML high reliability waterright ensuring guaranteed waterright • 200ha pressurised pipe & riser lasered irrigation layout, balance normal flood irrigation • Superb 5-bedroom brick homestead (inground pool and enclosed outdoors living area) and two other 3 and 4-bedroom homes • Top quality 34 DU dairy, cup removers, feed system and 500-cow yard • Established tree plantations for stock shelter and full water reticulation • The property is a certified organic milk producer with a solid production history. The milk contract ensures guaranteed stable income for the prospective purchaser For Sale as a going concern basis by negotiation

• Situated on Rangitikei Line west of Palmerston North is this outstanding 136 hectare parcel of land with the option to purchase adjoining 40ha. • Exceptional soils currently used for dairy farming and growing maize,would suit a number of uses. • Deep lead irrigation bore in place to supply top quality water for up to 70 hectares of land. • Current dairy infrastructure in place including a modern 30 aside herringbone dairy and adjacent 400 cow feed pad. • A host of potential uses from market gardening, dairy or beef production, along with growing silage and crops. • Good road access and central laneway system. • Call Les to inspect.

LES CAIN 0274 420 582

Licensed Agent REAA 2008

King Country Matiere 316.6 Hectares

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Sallan Realty

THE NEW ZEALAND FARMERS WEEKLY – January 29, 2018

Price $2,700,000 plus GST (if any)

Full details from selling agents Rural Property International Cobram Andrew Gilmour +61 448 778072 andrew@ruralinternational.com

First Time On The Market In 25 Years. Situated in the beautiful Otangiwai Valley, this property specialises in finishing bulls and lambs. Two thirds of the farm is flat to easy contour, the last third steeper. There is some native bush. The soil type is mainly Mairoa Ash with some Papa. 48 paddocks of sheep proof fencing, 32 paddocks hot wire fencing for bulls. Four bedroom home in excellent condition. Top infrastructure comprising of a 4-stand woolshed, under cover sheep yards and cattle yards. | Property ID TK1034

Contact Les Old 027 248 2667

0800 200 600 | farmlandsrealestate.co.nz

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Buy the best - no regrets A superb sheep & beef finishing and / or dairy support property situated in a picturesque main road location on the northern edge of the Pio Pio golf course, 17 kms southwest of Te Kuiti 

1546 State Highway 3, Te Kuiti



105.77 hectares

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excellent presentation

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flat to easy rolling contour; smaller areas of steeper sidlings

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predominant mix of ash and silt loam soils

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first class fencing, subdivision and reticulated water supply

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extensive plantings of mature specimen trees

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attractive native bush sheltering fresh water springs

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fertile flats with river boundary

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a fine 4 bedroom homestead with all-weather tennis court nestled in park-like surroundings

Deadline Private Treaty Thursday, 15 February 2018

Open Day: Wed, 31 January 2018 1.00pm to 3.00pm

An outstanding offering which presents a unique opportunity to progressive purchasers or owners of larger holdings of land inclined towards a more relaxing working environment web ref R1256

Brian Peacocke 021 373 113

First farm opportunity A great little dairy unit situated in an attractive valley environment, located in the Parawera district approx 21 kms south east of Te Awamutu 

735 Owairaka Valley Road, Parawera



36.8846 hectares

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flat to gentle rolling contour

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mairoa ash and silt loam soils

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situated nicely between the road and a good flowing stream

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well subdivided and raced

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good water supply system

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extensive chicory - new grass cropping rotation

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farmed in conjunction with adjoining 61 ha lease block

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calving 255 - 260 cows; 3 year production average 82,510 kgs milksolids

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30 aside farm dairy with 20 sets of cups; variety of additional shedding

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comfortable 3 bedroom dwelling plus additional portable accommodation

Auction Thursday, 22 February 2018

Open Day: Tuesday, 30 January 11.00am to 1.00pm

An excellent opportunity for a younger farmer to get started on the land ownership ladder web ref R1255 Licensed REAA 2008

Brian Peacocke 021 373 113 phone

07 870 2112

office@pastoralrealty.co.nz

MREINZ

THE NEW ZEALAND FARMERS WEEKLY – January 29, 2018

Real Estate

farmersweekly.co.nz/realestate 0800 85 25 80

E ND

Profitable Farm on the Plains 95 Makumaku Road, Kerepehi

• 101 hectares with a good balance of soil types • Four titles. Subdivided to 60 paddocks • Top production of 95,000kg/ms, milking 250 cows – OAD from mid-January with low inputs • 24 aside HB cowshed • Modern 4 bedroom brick and tile home with high stud workshop • Located on a quiet, no exit road within 20 minutes of three service towns and 2.5km to Ravensdown bulk store

ONE OF THE MANAWATU’S FINEST 1674 Kimbolton Road, Cheltenham, Manawatu

Trade Me Ref: Open: Tenders close: Contact owner:

FPJ505 Wednesday 31/01 – 12-1pm 14th February 2018 at 5pm E: 95makumaku@gmail.com

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This farm has been faithfully farmed by the same family for 36 years – a rare chance to buy in this sought after location!

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284ha plus 96ha lease See video on website nzr.nz/RX1279694

Just north of Feilding sits this most admired dairy property. Peter Barnett AREINZ Advantages start with high quality, versatile soil types 027 482 6835 | 06 323 4434 predominantly Kiwitea Loam; highly productive dairying and cropping soils, with a 9 year lease of 96ha alongside, that is fully peter@nzr.nz integrated into the dairy platform. The immaculate 80 bail NZR Limited | Licensed REAA 2008 rotary sits right in the middle of the property flanked by quality calf rearing facilities. Well laid out and developed with an excellent water system. Four dwellings include the impressive main homestead on its own 10ha title which is an optional purchase with the farm.

KAIANGAROA STATION - 900 HA, 378 HA OR 1,278 HA OPTIONS 1222 Otuarei Road, Pukeokahu, Taihape

Peter Barnett AREINZ 027 482 6835 | 06 323 4434 peter@nzr.nz Jamie Proude AREINZ 027 448 5162 | 06 385 4789 jamie@nzr.nz NZR Limited | Licensed REAA 2008

N EW

LIS TI N G

Kaiangaroa is comprised of two bounding blocks, which are offered for sale separately or together. The 900ha "home block", is nestled within a basin and is in the main easy/rolling country, a high proportion which is has been cultivated in recent years. Around 650ha of this is deer fenced providing high versatility of land-use. Alongside is the 378ha "Sheps", which is strong, clean breeding hill country, with an older woolshed and hut. Operated as a high performing breeding and finishing unit, an 18 month bull programme makes up the majority of the cattle numbers, with a higher cattle ratio a definite option here. High productivity from both ewes and ewe hoggets has led to most lambs in recent years finished to over 18kgCW. An outstanding district wide water scheme enables gravity fed trough water to virtually all paddocks. Buildings are of a high standard, including the large homestead built in the â&#x20AC;&#x2122;80s, another smart 5 bedroom home, a tidy cottage a modern two bedroom single quarters, with the woolshed and cattle yards being modern quality facilities. Close-by adventure tourism with primary school on the boundary adds to the appeal, making this a truly unique and quality package within a close-knit community.

FOR SALE See video on website nzr.nz/RX1266077

GENUINELY FAITHFULLY FARMED 245 Penny Road, Rongotea, Manawatu Fastidiously developed over 28 years by our retiring vendors, the presentation here will impress. Quality improvements include a 30ASHB shed with ACRs, numerous sheds and a large roof over the feedpad. A great water system, impressive soil tests and extensive drainage complete the on-farm package. Historically operated under a higher input 300 Friesian cow spring calving/winter-on regime, it is well set up from any system. Accommodation includes a very comfortable main home plus a tidy 4 bedroom cottage. Handily located to both Feilding and Palmerston with numerous schooling options.

106.9 hectares See video on website nzr.nz/RX1332461 Tender Closes 3pm Tue 27 Feb 2018, NZR, 20 Kimbolton Road, Feilding Peter Barnett AREINZ 027 482 6835 | peter@nzr.nz NZR Limited | Licensed REAA 2008

FINISHING FARM WITH SIZE OPTIONS 1738 & 1808C State Highway 1, Marton, Rangitikei Located 7km north of Marton, this attractive property currently conservatively grows cereal, grass supplement and finishes sheep and cattle. Approx. 122ha is deemed flat, the balance medium hill and sidlings, with attractive pockets of native bush and duck ponds. Bounding blocks of 139ha and 48ha go together well or could be purchased separately; the larger block contains the main stock facilities and an old character home (rented), the other a small woolshed - both blocks offer building sites with big outlooks up the Rangitikei valley. Not over capitalised, five titles provide options for the future.

188ha, 140ha or 48ha TENDER nzr.nz/RX1360193 Tender Closes 3pm, Mon 5 Mar 2018, 20 Kimbolton Road, Feilding Peter Barnett AREINZ 027 482 6835 | peter@nzr.nz NZR Limited | Licensed REAA 2008

RURAL rural@pb.co.nz 0800 FOR LAND

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Seriously for sale

Ringwood farm

WEB ID TPR57000 BY NEGOTIATION WHAKAMARU 671 Sandel Road View By Appointment 414 hectares, five houses, 48 aside herringbone shed with inshed meal feeders, 800 cows milked averaging 293,000 kg/MS, high fertility with superior pastures. 300 replacement heifers on-farm all year round. A "must see" property - $11,000,500 (Rateable Value) Land & Buildings.

+ GST (IF ANY)

Paul O'Sullivan

Mobile 027 496 4417 paulo@pb.co.nz

Craig Marshall

Mobile 027 553 2274 craig@pb.co.nz

WEB ID AR60053 ASHBURTON 293 Ollivers Road Seldom do we get the opportunity to market a quality smaller dairy unit with the ability the offer a further 57 ha pivot irrigated (currently being milked off) for lease to the successful purchaser. Special features: • 40 aside Herringbone shed with ProTrack • Meal feeding system • Waikato auto cup removers • Pivot & one hard hose & K- Line • Quality four bedroom Oamaru stone homestead. Located in the favored Greenstreet area this dairy unit is a must to inspect.

DEADLINE SALE View By Appointment DEADLINE SALE closes Tuesday 20th February, 2018 at 4.00pm, (unless sold prior)

Chris Murdoch

Mobile 0274 342 545 Office 03 307 9191

Paul Cunneen

Mobile 0274 323 382 Office 03 307 9190

Greg Jopson

Mobile 027 447 4382 Office 03 307 9176

Turn key farm

OPEN DAY WEB ID TUR60045

MATIERE 106 Waikaka Road This 305 ha farm in Matiere has just what you would expect in a tidy well run King Country sheep and beef farm. Great balance of contour with approximately 50 ha of flat land that has been used for growing maize grain and the balance rolling to medium hills with some steeper hills at the rear of the farm.

This farm has been in the family for over 100 years and they have worked hard to get it to its current state. This is a turn key operation for any one who is ready to make the most of the opportunity this farm presents.

Buildings and infrastructure are immaculate and it has an outstanding fertiliser history.

www.propertybrokers.co.nz

AUCTION

VIEW 8 Feb 2.00 - 4.00pm & 15 & 22 Feb 11.00 1.00pm AUCTION 2.30pm, Thu 8th Mar, 2018, (unless sold prior) Katie Walker

Mobile 027 757 7477 Office 07 895 7123 Home 07 895 7112 katiew@pb.co.nz

4 1

RURAL rural@pb.co.nz 0800 FOR LAND

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

127 North Road Eketahuna

DEADLINE SALE WEB ID PR59083

EKETAHUNA 127 North Road This 184 ha beef finishing property located 5km north of Eketahuna is in 2 blocks. The 52 ha home block is of a flat to easy rolling contour in 15 paddocks. A comfortable three bedroom plus office brick and aluminium home with double carport and single garage is well supported by a 4 bay shed (1 lock up) and 3 bay pole shed. The 132 ha woolshed block is just a short distance away to the end of Moss Road. This block in 24 paddocks is well fenced by conventional fencing with electric booster wires and is served by a 3 stand raised board woolshed,

sheep yards and cattle yards. Contour is mainly flat to easy hill with a balance of steeper sidlings. Water is provided by dams, springs and creeks with some gravity reticulation to troughs. In recent years the property has very successfully finished steers to good weights, grazed dairy heifers and winter grazed cows. A very good fertiliser history, great access and contour make this a very desirable unit.

DEADLINE SALE

VIEW By Appointment DEADLINE SALE closes Wednesday 21st February, 2018 at 2.00pm, to be submitted to Property Brokers, 129 Main Street, PAHIATUA

Phil Wilson

Mobile 021 518 660 Office 06 376 5478 Home 06 376 7238 philw@pb.co.nz

Jared Brock

Mobile 027 449 5496 Office 06 376 4823 Home 06 376 6341 jared@pb.co.nz

Where the grass grows

DEADLINE SALE WEB ID PR59517

MAKURI 934 Coonoor Road This 301.0402 ha farm is located in the highly regarded summer moist limestone country at Coonoor, 10km north east of Makuri. Consisting of easy to medium hill and some steeper sidlings the property has a westerly aspect. Currently operated as a trading and fattening unit the farm in 38 main paddocks has a very good fertiliser history and excellent natural water from dams, creeks and streams. There is a comfortable four bedroom plus office home with generous open plan living, 2 toilets and separate

laundry along with a single garage and woodshed. Situated adjacent to the house is a 3 bay shed and lock up workshop with freezer room. The neighbouring woolshed is over the road from the farm cattleyards with a reciprocal use agreement. This property is a great first farm or add on to an existing business.

www.propertybrokers.co.nz

DEADLINE SALE

VIEW By Appointment DEADLINE SALE closes Thursday 22nd February, 2018 at 2.00pm, to be submitted to Property Brokers, 129 Main Street, PAHIATUA

Phil Wilson

Mobile 021 518 660 Office 06 376 5478 Home 06 376 7238 philw@pb.co.nz

Jared Brock

Mobile 027 449 5496 Office 06 376 4823 Home 06 376 6341 jared@pb.co.nz

4 1 1

RURAL rural@pb.co.nz 0800 FOR LAND

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Oringi Station 226 ha

AUCTION WEB ID PR59577

DANNEVIRKE 19 Jackson Road Iconic Oringi Station, all flat with over 190 ha under irrigation makes this property unprecedented in the Tararua District. Situated only 15km South of Dannevirke, this property is centrally located to the Hawkes Bay and Manawatu livestock markets. Irrigation from 4 centre pivots and a further 26 ha irrigated by k-line provide unparalleled growing conditions with up to 50 ha of contract maize grown as well as 650 to 700 steers fattened. Oringi Station is subdivided into 50 main paddocks well serviced by a metal laneway and has a superior range of

support buildings. VIEW By Appointment The homestead is a character 448 m2 stucco home set in attractive mature grounds with a further two spacious AUCTION 1.00pm, Thu 1st Mar, 2018, on site at 19 Jackson Road, Dannevirke homes providing ample accommodation. Oringi Station with its superb soil mix, large scale irrigation and cropping and stock finshing ability provides an opportunity unequalled within the lower North Island.

AUCTION Jared Brock

Mobile 027 449 5496 Office 06 376 4823

John Arends

Mobile 027 444 7380 Office 06 376 4364

4 2

Phil Wilson

Mobile 021 518 660 Office 06 376 5478

Maru farm 490 ha

TENDER WEB ID PR59766

PAHIATUA 498 Ridge Road North Situated just west of Pahiatua, this iconic property is a 'turn-key' operation and is ready for the new owners to capitalise on its superior ability to both breed and finish livestock. Of the 420 ha effective area, over 220 ha is easy to rolling contour suitable for cultivation, combined with an excellent water system and a recently refurbished villa set in mature grounds, this property allows you to get on and farm. Situated only 6km from Pahiatua, the farm has excellent access utilising Ridge Rd North that virtually bisects the property, the added benefit of centrally located infrastructure including

woolshed, covered yards, cattle-yards and dwelling adding to its ease of management and appeal. Our vendors have purchased elsewhere and need this property sold. Call John, Jared or Phil.

www.propertybrokers.co.nz

TENDER

VIEW By Appointment TENDER closes Wednesday 21st February, 2018 at 2.00pm, (unless sold prior), to be submitted to Property Brokers, 129 Main Street, PAHIATUA

John Arends

Mobile 027 444 7380 Office 06 376 4364

Jared Brock

Mobile 027 449 5496 Office 06 376 4823

Phil Wilson

Mobile 021 518 660 Office 06 376 5478

AUTUMN 2018 PROPERTY PULL-OUT Weâ&#x20AC;&#x2122;ve got you covered Year after year Farmers Weekly Property Pull-Out has proven itself to be the leading agri destination to market your property.

Farmers Weekly are proud to continue to support farmers and the real estate industry. We will run the Property Pull-Out through all issues in March, 2018. Book a campaign of three or more advertisements in March and get a complimentary editorial on your property in one of our pull-out specials.* Talk to your agent now and make sure you are in the paper that farmers read and respect.

Give your advertising campaign the edge with an advert on farmersweekly.co.nz/realestate

*Terms and conditions apply.

ÂŠ2107RE-AUFP

For more information on real estate advertising contact Shirley Howard on 06 323 0760 or email: shirley.howard@nzx.com.

New Zealand’s leading rural real estate company RURAL

LIFESTYLE

RESIDENTIAL

Our people. Your property.

Lifestyle Collection

Glory restored to grand old Cromwell stone house An amazing harmonious combination of character and contemporary See page 75 for details on this property

S P R I N G 2 017 | www.pggwre.co.nz

S P R I N G 2017 | www.pggwre.co.nz/lifestyle-collection

List your property now in one of our leading property magazines

Property Express | Lifestyle Collection

When it comes to rural, lifestyle and residential real estate, our people have all the experience and knowledge to successfully match your property with the perfect buyer. We’re a national team of expert locals connecting people with property for generations.

Contact your local PGG Wrightson Real Estate sales consultant now to discuss your listing options, or go to pggwre.co.nz. Property Express Bookings Close: Friday, 23 February

Lifestyle Collection Bookings Close: Friday, 16 February

NEW LISTING

Spray Irrigation Unit • Approx 127.2735ha freehold in three titles • Irrigation consent with low running costs • Good production and fertiliser history • Ample storage in four silos • Lamb grazing/finishing unit • Three bedroom home set in mature plantings adjacent to yard and farm buildings pggwre.co.nz/ASH27398

Rakaia DEADLINE SALE Plus GST (if any) Closes 3.00pm, Wednesday 28 February

Tim Gallagher M 027 801 2888 Robin Ford M 027 433 6883

NEW LISTING

Ayrburn Farm 252.1824 hectares, largely irrigated. 200 Amuri Irrigation shares provide 120l/sec and a further 53l/sec from the Lowry Peaks Stream supplying three pivots irrigating approximately 110ha and a further 100ha irrigated by either rotorainer, k-line or long line lateral sprinklers. Farm infrastructure is outstanding with a large number of quality buildings plus sheep and cattle yards. To complete the picture, the property has two very good dwellings. Multiple farming options available. pggwre.co.nz/CHR27328

Rotherham DEADLINE PRIVATE TREATY Plus GST (if any) (Unless Sold Prior) Closes 2.00pm, Friday 16 February

Peter Crean B 03 341 4315 M 027 434 4002

pcrean@pggwrightson.co.nz

PGG Wrightson Real Estate Limited, licensed under REAA 2008

Eildon Park Dairy Farm • 202.4080ha flat extensively sheltered fertile dairy farm • 570 cows, 230,000 kgMS, Fonterra shared supply • Modern three bedroom homestead, cottage & single quarters • 36 HB dairy - Alfa plant, compliant spray effluent disposal • Border-dyke & spray irrigation, low cost reliable L.W.I.Co • In conjunction with: • Southern Wide Real Estate, Barry Meikle - 027 4365131 pggwre.co.nz/OAM27466

North Otago DEADLINE PRIVATE TREATY (Unless Sold Prior) Closes 4.00pm, Thurs 22 Feb

Dave Finlay B 03 433 1340 M 027 433 5210

dfinlay@pggwrightson.co.nz

pggwre.co.nz

New Zealand’s leading rural real estate company RURAL

LIFESTYLE

RESIDENTIAL

FINAL NOTICE

Secure Your Future Manuka Supply 172 Puniwhakau Road • 776 hectares, more or less, of mixed contour, Manuka throughout • Farm has been running cattle and 200 hives • Manuka regeneration on farm, numerous hive sites • Three bedroom home, five bay shed • Good security, abundant water • This farm has size and huge potential • For Open Days all parties must be off the property by 1pm - Health and Safety requirements pggwre.co.nz/TEK27317

Puniwhakau TENDER (Unless Sold By Private Treaty) Tania Roberts, 67 Vivian St New Plymouth Closes 11am, Fri, 23 Feb VIEW 11.00am-1.00pm, Monday 29 Jan, 5 Feb

Maize, Grazing and Location 574 Oparure Road • 77.0817 hectares, more or less • Easy rolling contour growing maize and grazing cattle • Five bedroom homestead and three bedroom cottage plus numerous farm shedding • For inspection, please arrange with the agent, Peter Wylie

Te Kuiti DEADLINE PRIVATE TREATY (Unless Sold Prior) Closes 11.00am, Friday 9 February PGGWRE, 57 Rora St, Te Kuiti VIEW BY APPOINTMENT

pggwre.co.nz/TEK27260

Peter Wylie B 07 878 0265 M 027 473 5855

pwylie@pggwrightson.co.nz

TENDER

Sheep and Cattle Grazing Oparure Road • 197 hectares, more or less, of rolling contour • Just 13km to Te Kuiti and 23km to Otorohanga approximately • Currently wintering 1200 mixed age ewes, 600 hoggets, 150 rising 1yr cattle, 170 rising 2yr cattle, 60 mixed age cows • Bare land, good water and very good access throughout pggwre.co.nz/TEK27310

Te Kuiti DEADLINE PRIVATE TREATY (Unless Sold Prior) Closes 11.00am, Friday 9 February PGGWRE, 57 Rora St, Te Kuiti VIEW BY APPOINTMENT

Peter Wylie B 07 878 0265 M 027 473 5855

pwylie@pggwrightson.co.nz

PGG Wrightson Real Estate Limited, licensed under REAA 2008

High Producing Gold Kiwifruit Orchard 66 Colebrook Road

Whakatane

Lot 1 - 11.6993Ha, Lot 2 - 9.9205Ha, Lot 3 - 1.8706Ha LOT 1 - 3.45 can ha G3 Gold of which .57 is just grafted - 4.36 can ha Haywood Green - Toilet facilities and water tank LOT 2 - 6.48 can ha G3 Gold - Large high stud shed Toilet facilities and water tank - bore and pond Water for irrigation and frost protection for both titles LOT 3 - 1.8706Ha bare land Both blocks have underground drainage, good shelter and security fencing around pond and road frontage. Sale subject to new titles being issued.

TENDER

pggwre.co.nz/WHK27443

stewartmorrison@pggwrightson.co.nz

Plus GST (if any) (Unless Sold By Private Treaty) Closes 4.00pm, Thursday, 15 February

Stewart Morrison B 07 307 1619 M 027 442 2833

pggwre.co.nz

New Zealand’s leading rural real estate company RURAL

LIFESTYLE

RESIDENTIAL

TENDER

Beautifully Presented Dry Stock Farm 1097 Waingaro Road 246ha of mainly easy contour in 13 titles. 10km from Ngaruawahia and 24km from The Base, Hamilton. Presently farming bulls and is ideally suited for beef or dairy support. Improvements are of a high standard with two homes and a large area of support buildings with stables and operational woolshed. Paddocks are serviced mainly by all weather races and there is trough water to all paddocks bar one. pggwre.co.nz/PUK27268

AUCTION

Ngaruawahia TENDER Plus GST (if any) (Unless Sold By Private Treaty) Closes 4.00pm, Thursday 1 March VIEW 1.00-2.00pm Friday 2 & 9 February

Richard Wright B 09 237 2040 M 027 454 6000

richardwright@pggwrightson.co.nz

Dress Circle Location 200 Aspin Road • 113 hectares in two titles on the outskirts of Cambridge • Excellent, modern four bedroom home • Mainly flat contour - two hectares of covenanted bush • 22 aside H.B dairy with good shedding If its quality you are after then look no further! Contact the agents for a full information memorandum

pggwre.co.nz/HAM27424

Te Miro AUCTION (Unless Sold Prior) 11.00am, Wed, 21 February PGGWRE, 87 Duke St, Cambridge VIEW 11-12pm, Wed 31 Jan

John Sisley M 027 475 9808

jsisley@pggwrightson.co.nz

Peter Wylie M 027 473 5855

pwylie@pggwrightson.co.nz

TENDER

Size, Location, Options 154 Matanuku Road • 135.51ha calving 340 cows on a grass based system • Flat to rolling contour with some sidlings • 30 ASHB shed, with new effluent storage • Multiple shedding and support buildings • Large main home, 3 bedroom cottage plus self contained singleperson's accommodation • A change in the vendors direction makes for an opportunity not to be missed pggwre.co.nz/PUT27304

Wiltsdown $6.1M Plus GST (if any) VIEW 10.30-11.30am, Tues, 30 Jan, 13 Feb & Wed 7 Feb

Richard Leach B 07 882 1485 M 027 472 7785

richard.leach@pggwrightson.co.nz

PGG Wrightson Real Estate Limited, licensed under REAA 2008

Armadale Orchard 929 Te Matai Road • Comprising 4.73 canopy hectares G3 Kiwifruit • New AG beam structures • Grafted 2013 and 2015 • Recently modernised four bedroom home • Large implement shed and smoko room • Approximately two hectares of grazing • Phone or email for a full Information Memorandum rlord@pggwrightson.co.nz

pggwre.co.nz/TEP27157

Te Puke TENDER (Unless Sold By Private Treaty) Closes 4.00pm Thursday, 8 February 7 Jocelyn Street, Te Puke

Richard Lord M 027 443 8764 rlord@pggwrightson.co.nz

pggwre.co.nz

• • • •

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Interested applicants should send details of their farming experience and background to: Ron Lockwood PO Box 871, Hamilton 3240 or preferably email to: rlockwood@xtra.co.nz

A highly autonomous role requiring an attitude to learn and high standards. Supportive environment with largely ‘hands off’ owners. Understand and manage business compliances. A professional role with room to develop.

We are inviting applications for the Farm Manager to begin on 1 June 2018 to lead this business on the move. Self-motivation and leadership are the pre-requisites to being successful in this role and being the front line for the business.

Applications close 7th February 2018.

By leading a permanent team of three plus seasonal relief as required, your technical knowledge may be tested however, professional support will be provided as required to organise and manage all external providers and implement seasonal business plans.

Farm Manager required for 550 hectare beef and sheep property approximately 100km north of Auckland on the Kaipara Harbour.

The successful applicant will be the one who demonstrates the ability to add value and enhance the current operation by having a professional attitude and focusing on the detail.

Farm running 3300 ewes, fat lambs, cows and 140 bulls.

For more information, including a video link and a detailed job description, and to apply, go to www.no8hr.co.nz (Ref#8HR961).

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You will need to be an organised team player who takes pride in their environment and the role. While the owners live on-farm, they are actively involved in off-farm businesses, providing you with the scope to operate independently.

FARM MANAGER

Farmers Weekly is recognised as the leading farming publication in providing a balance of Agri News, opinion and market information to the rural sector in New Zealand. It has developed a global reach with its publications and primary sector data analysis delivered in both print and digital. The Farmers Weekly Account Manager will focus on print and online digital sales into our leading rural publication Farmers Weekly and web site – farmersweekly.co.nz. 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. You will be the face of Farmers Weekly in the Waikato region and you will also be servicing some clients in Auckland, working remotely from your home office and reporting into NZX 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. As you will be working independently you’ll need to have loads of energy, a can-do attitude and strong communication and computer 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 sales skills and have an absolute passion for NZ’s rural sector is essential, past media experience is preferred but not essential. 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. To apply for this role go to SEEK and search Waikato Account Manager – Sales. Job #35246219

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

ANIMAL HANDLING 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

Salary to be discussed at interview. To apply email: admin@oceanique. co.nz or phone Rodney 027 422 3067

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

BULL BEEF ASSISTANT MANAGER Five-O Farms Ltd needs a dynamic, keen, fit person to join our team of passionate hard workers, to help continue the business on its way to achieving its goals of financial and environmental sustainability.

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

Situated in the Kaipara district of Northland, Five-O Farms Ltd is 650 winter effective hectares, currently finishing 900 bulls.

ANIMAL SUPPLEMENTS

Using the latest fencing and water equipment and techniques allows us to increase production while allowing the efficient use of time and effort to move bulls.

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

The farm is well over half way through a development plan which has increased subdivision and an upgrade of facilities. The position consists of approximately 50/50 stock work and general farm duties.

ATTENTION FARMERS

The successful applicant will have the following skills: • Excellent stockmanship, which includes accurate record keeping of stock tallies and observation of animal health • Minimum three years of farming experience • Time management • Electric and conventional fencing • Basic water teticulation • Most of all a can-do attitude

PASTURE LOSS? Stock loss? Problem with feral pigs, deer, goats. Like your problem gone? Phone Clint 021 257 0421.

CONTRACTORS

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A comfortable house is provided and remuneration will match experiences and skills.

Classifieds FOR SALE

GOATS WANTED

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.

SAVE MONEY ON all tyre sizes. Free shipping NZ wide. Call or text 021 0526 365 or email: charity@ waihekewofcentre.co.nz

WILD CATTLE and goats wanted. 50/50 mustering. Portable yards available. Phone Kerry Coulter 0274 944 194.

FORESTRY

DOGS FOR SALE

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

COOK. HOUSE-KEEPER. Live in position. Golden Bay, Takaka. Phone 027 391 1626.

HUNTAWAYS, HEADING, Handys. Guaranteed. Trial. View online or on-farm. Delivering North Island 10/2/18, South Island 20/2/18. 07 315 5553. Mike Hughes.

DOGS WANTED 12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195. NORTH ISLAND BUYING trip 10/2/18. Paying $100 more than anyone! 07 315 5553. Mike Hughes.

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

FOR SALE DOG KENNELS. Fully insulated. Made to order. 3-bay $1650. 2-bay $1350. Single $700. Phone 07 895 9272. www.jelkennels.com

It has come to our attention that a recent ad placed in Farmers Weekly was likely to be fraudulent, and was not a genuine advertisement for a car.

This opportunity allows the successful applicant to gain the skills to manage a modern farm business.

Since being made aware that a potentially fraudulent company has booked advertisements in our publication, we have blocked the ads from appearing in future issues of Farmers Weekly.

WANTED

FREIGHT FREE SAVE ON YOUR INK and TONER print cartridges. Special pricing for our compatible value packs when you purchase all four cartridges. FREIGHT FREE. Visit us at: www. nzconsumables.co.nz or call us 0800 800 857. NZ based and 100% kiwi owned with 30 years industry experience.

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

PERSONAL

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

RAMS FOR SALE

WANTED TO BUY

MIXED BREED coloured ewes and lambs / rams and hoggetts from $40. Phone 07 895 7844. FOR ONLY $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds. Phone Debbie on 0800 85 25 80 to book.

SAWN SHED TIMBER including Black Maire. Matai, Totara and Rimu etc. Also buying salvaged native logs. Phone Richard Uren. NZ Native Timber Supplies. Phone 027 688 2954.

STOCK FEED MOISTURE METERS Hay, Silage dry matter, grain. www.moisturemeters.co.nz 0800 213 343.

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

RAMS FOR SALE WILTSHIRE & SHIRE® rams and ewes for sale. Hardy, low input, easy care meat sheep. No dagging. No shearing. No dip, drench or vaccine since 1989. Deliver all over NZ. www.organicrams.co.nz Email: tim@ organic-rams.co.nz Phone 03 225 5283.

CHEVROLET BELAIR 1957. Wanted for restoration. Any condition considered. Top money paid. Phone Dave 021 083 90948.

FOR SALE

CLASSIFIEDS

ADVERTISING Have something to sell? Advertise in Farmers Weekly Phone Debbie Brown 0800 85 25 80 or email classifieds@nzx.com

DO YOU REQUIRE EQUITY?

EQUITY OPPORTUNITIES

• Are you looking to diversify, succession planning or debt reduction? • We put together syndicates, leases, JVs and sharefarming partnerships • Land owning and/or operations-only owning options • Farms and agribusinesses suitable • For parties keen to divest, or down size, or wanting to grow their assets through expansion We have investors looking to invest in farms, farming partnerships and agribusiness activities.

• Want positive cash-flow returns? • Looking for high growth opportunities? Seeking interested parties to participate in a large scale multi farm investment proposal. We currently have two separate large scale, multi farm diversified agricultural based propositions available – (10-12 farms). One project in the North Island, the other in the South Island. Absolute confidentiality assured.

Phone Nick, 027 476 3658 • Email: nick.aam@xtra.co.nz AGRICULTURAL ASSET MANAGEMENT

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classifieds@nzx.com – 0800 85 25 80

3 bedroom home available. Primary school in close proximity with bus pick up at the gate, secondary school bus pick up 4km down road. Easy farm in good country.

To apply or request further information please contact: kim.leigh-mackenzie@agfirst.co.nz

YOUR NEW CAREER STARTS HERE

Our client’s 145ha dairy farm is milking 530 cows and is situated 15 minutes south of Te Awamutu. The farm is well organised and includes modern housing, a 36-aside herringbone dairy with feed pad and the full range of equipment that you would expect to see in this kind of operation.

Facilities are well above average including a very good quality rotary cowshed and feed pad, and three good quality homes are available.

Waikato Account Manager

Management opportunity available for the first time in over a decade

An opportunity has arisen, from 1st June 2018 onwards, on a very good quality dairy farm near Cambridge in the Waikato region. The farm has a milking area of 180ha and up to 520 cows are milked producing an average of 270,000kg MS during a normal season.

A valid NZ work visa is required and references are essential.

classifieds@nzx.com – 0800 85 25 80

FARM MANAGEMENT – TE KAWA

Contract Milker Cambridge

Position requires: • Top stockperson • Sound health and safety practices • Ability to perform all aspects of farm maintenance • Fencing skills • Ability to work unsupervised and able to train others • Ability to rectify water issues • Weed control and eradication skills

Employment

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THE NEW ZEALAND FARMERS WEEKLY – January 29, 2018

livestock@nzx.com – 0800 85 25 80

BW 143/50 PW 161/67 RA 100% Dairy Cattle (in top 10 All Breeds for For NZ ) Sale

FOR SALE

• • •

Autumn calving Ayrshire heifers, 80 head in Northland and Waikato, due from mid March to Ayrshire bulls, fully contracted to LIC for 2011 matings recorded. Will sell in lots to suit.

Many cows 70 genuine autumn calving straight Friesian cows 620kg m/s • Due to calve Weaner from 6.5 Cross, weeks heifers,16-7-12, 120, mostly black Friesian BW ave 125, cross PW 138, all G3 profiled, average liveweight (will sell smaller lines) AB Jersey and Kiwi 120kg, will sell in lines to suit. Asking $500 plus GST. 34 genuine Friesian autumn i/c heifers • Estimated to Immediate be delivery. 420 cows after non 30 Friesian, Friesian x autumn cows – W 90 PW 110 weaner heifers,& 50, CRL sired by Semex and pregnant, culls, Jersey older cows 5% rejection other nominated sires, very well grown, from nice quality 55 i/c autumn Friesian heifers • Production lastherd forseason 347kgs ms/cow, sale also. Asking $500 plus GST. BW 107 PW 112 1000kgs ms/ha, on rolling steeper Ayrshire herd, 200 cows down fromto 280, fully recorded, long established herd, nice cows from hard area, should contoured farm, no meal, palm kernel or maize Brad Devlin 027 498 1203 shift well. RWB heifers and weaner heifers also available. fed. In-calf cattle due from mid July, bull out early December. • Young replacement stock also Jersey autumn calving cows,available 35, in-calf to WWS and LK0091455©

•

Autumn calving cows & heifers•

Buying or Selling Dairy Herds or support Stock? We specialise in both on farm sales and auctions. With 60 agents covering Kaitia to Bluff and everything in between.

Contact your local Carrfields agent

CRV, tailed Hereford and Murray Grey, recorded, details available.

and lines of cows and in-calf heifers of all breeds

• 58 years of breeding using top bulls from World Wide Sires and Semex

availablemarketing for end of season delivery. Enquiries to the sole agents:

• Averaged 635 MS/kg last season • Young cows • All vetted-in-calf by A.I. to top WWS genomic bulls • DTC from 6/3/18 for 6 weeks

Contact Brian Robinson BRLL Brian Robinson Ph 07 027 8583132 241 0051 PH: 0272 410051 or

LK0091453©

Outstanding genetics to6 years beandone Friesian& cross potential cows, 75, 66 head under, of due from 25/7/18 to AB and tailed Jersey and Friesian bulls. the countries leading suppliers of Genetics to AN OPPORTUNITY TO PURCHASE CAPITAL LINE Herd tested, fully recorded, genuine cows, vendor exiting the dairy industry for years to come. Full details industry. High Producing Autumn Calving Holstein Friesians available. All details available for the lines above. Several herds

or visit

www.carrfieldslivestock.co.nz for our extensive listings Alternatively contact:

Paul Kane 027 286 9279 (North Waikato/ Northland) National Dairy & Live Export Coordinator Philip Webb: 027 801 8057 Central & Southern NI Dairy Coordinator Richard Van Wynbergen 027 445 6056 South Island Dairy Coordinator

Gary Falkner Jersey Contact Hayden McCarthy, NZ Farmers Livestock Ltd Marketing Service PH: 027 482 8771 or 07 846 4491 0277 574 727 or 03 348 2360 LK0091451©

Price on application.

THE LIVESTOCK SPECIALISTS

LIVESTOCK ADVERTISING Advertise your stock sales in Farmers Weekly

farmersweekly.co.nz Like you, we’re fully invested in your livestock operation. PGG Wrightson are a nationwide team of local livestock specialists offering you a range of options when it comes to helping you purchase or sell stock.

Herds & Heifers

Herds 1st June 2018 delivery

1st June 2018 delivery

Waikato 220 Frsn/FrsnX BW75 PW90 RA100% DTC 17/7. Top 220 from 440 young established herd $1875 233 Friesians BW83 PW78 RA99% DTC 15/7. Well Bred, good structure, 370ms $1900

Northland 200 XBred BW71 PW84 RA88% DTC 20/7 Pick 200 from 270 2-4yrs 400ms $2200 156 Frsn BW64 PW65 RA84% DTC 20/7 Off steep farm with long walks $1575 110 Jerseys BW102 PW103 RA98% DTC 18/7. Young cows 350ms Low SCC $1650 80 I/C Hfrs Frsn/FrsnX BW105 PW113 RA99% DTC 17/7 LIC Sire Proving $1550 28 I/C Hfrs Frsn/FrsnX BW123 PW124 RA100% DTC 18/7, 29 yrs breeding $1800 Paul Kane 027 286 9279 (North Waikato/ Northland) National Dairy & Live Export Coordinator

Benefit from: • • • • • • •

Bay of Plenty 50 Frsn C/O cows BW58 PW92 RA92% DTC13/7. 390ms bulls out 10th Dec $1875 155 Frsn/FrsnX BW60 PW94 RA96% DTC 20/7. Very Strong herd, system 2, 525ms target $2000

Nationwide coverage A range of selling options such as private treaty and on farm auctions Market intelligence and advice Marketing of sales Finance options including Go Products Forward Contracts Specialist experience and stockmanship

To find out more contact your local livestock specialist or visit www.pggwrightson.co.nz/sheepsales

Manawatu 250 Friesians BW81 PW120 RA97% DTC 1/7 July calving content of young herd, 470ms $1900

NATIONAL TEAM. LOCAL KNOWLEDGE.

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

Canterbury 500 FrFx BW68 PW71 RA96% DTC 1/8 Young Herd, low SCC, incl 200 x A2-A2 $2100 420 FrFrx BW74 PW81 RA89% DTC 26/7 Excellent capacity, tidy udders $2100 300 XBred BW59 PW65 RA82% DTC 25/8 150 x 2 & 3yr cows, comp split from 610 $1900 Richard Van Wynbergen 027 4456056 South Island Dairy Coordinator

www.carrfieldslivestock.co.nz

LK0090074©

North Waikato 430 Friesians BW67 PW68 RA97% DTC 10/7. 41 years of breeding. Over 200 x 2 & 3yr olds Low SCC $1950 97 I/C Hfrs Frsn/Xbred/Jrsy BW84 PW81 RA91% DTC 10/7, from above herd $1800 250 Frsn/Xbred/Jrsy BW64 PW98 RA100% DTC 13/7 Nom CRV sires, can split Frsn 150 & xbred/Jrsy 100 $1850 90 I/C Hfrs Frsn/Xbred/Jrsy BW87 PW91 RA100% DTC 15/7 CRV G3, 70% Frsn $1600

Our extensive network of representatives are able to buy and sell livestock throughout the country and at the best price. Our team are constantly in touch with quality breeders, rearers and finishers and can provide the right advice for your farming operation.

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

Helping grow the country

LK0091452©

HIGH INDEXING JERSEY & JERSEY CROSS HERD THE NEW ZEALAND FARMERS WEEKLY – January 29, 2018 Livestock

Livestock

150 x AUT 1YR FRIES

In-Calf Friesian Heifers

BULLS 320kgs

STOCK REQUIRED

Multiple lines available with options to suit. DTC 28th July also 2 lines DTC 2nd August. Vetted in-calf to Jersey Bulls (9 weeks). BW84 PW78 (avg all lines) 100% ancestry.

GENUINE BREEDING EWES

15MTH HEIFERS 300-380kgs 300-400kgs 15 MTH BULLS 15 MTH STEERS 330-500kgs

Located central North Island. Grazing options available.

COWS & CALVES

LK0091302©

2% Rebate Available for other companies. National Dairy & Live Export Coordinator Philip Webb: 027 801 8057 Central & Southern NI Dairy Coordinator

www.carrfieldslivestock.co.nz

SILVERDALE SOUTHDOWN STUD

www.dyerlivestock.co.nz

Ross Dyer 0274 333 381 A Financing Solution For Your Farm E info@rdlfinance.co.nz

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

l early maturing l easy lambing l suitable for hogget

A/C Cressbrook, Dunback (East Otago – 15km from Palmerston) Tuesday 20th February, 1pm Property has been sold Approx: 1960 Merino MA Ewes 2100 Merino MS Lambs

At a hotel restaurant, a man sees an attractive woman sitting alone at the next table. Suddenly she sneezes and a glass eye comes flying out of her eye socket. It hurls by the man and he snatches it form the air and hands it back to her. “This is so embarrassing,” the woman says and pops her eye back in place. “I’m sorry to have disturbed you. Let me buy you dinner to make it up to you. May I join you?” He nods. The woman is a stimulating conversationalist, stunningly beautiful and the man finds they have a lot in common. Her gets her phone number and asks, “You are the most charming woman I’ve ever encountered. Are you this nice to every guy you meet?” “No”, she replies. “You just happened to catch my eye.”

A/C Invernia Holdings Georgetown, North Otago

and be accompanied by a brucellosis-free certificate. All rams must be yarded by 10am for a 12pm start. Further enquiries & bookings contact Caitlin Rokela 0274056156

Wednesday 7th February 2018 at 1:30PM Comprising approx: 850 Friesian Bull Calves 60 Friesian 18 month Bulls 30 R2 Un-Mated Friesian Heifers All calves dehorned, drenched and weaned off nurse cows in December. TB Status C10 1% Rebate to outside companies Further Inquiries Simon Vernon – 027 405 8248 Mark Yeates – 0275 904 217, a/h 03 434 7980 PGG Wrightson Oamaru

Account Roger & Pen Wanklyn MONDAY 12 February 2018 at 11am penned at 9.00am On farm 2198 Wharekopae Rd, RD 2, Ngatapa, Gisborne 4072. Approx 250 registered poll Hereford cattle

South Island Richard Harley 021 765 430 Greg Collins 027 481 9772

Key: Dairy

356 Aut Fries & FriesX Cows DTC 20/3 to DNA’d Friesian $1700+GST BW:89 PW:116 RA:96% Quote: 063309 Alex Stewart, 027 461 1215. 78 Aut Fries & FriesX Cows DTC 29/3 to DNA’d Friesian $1920+GST BW:96 PW:133 RA:98% Quote: 062958 23 Aut Fries & FriesX Cows DTC 24/3 to Hereford $1700+GST BW:79 PW:110 RA:90% Quote: 063339 20 Aut Fries & Xbred Jsy Cows DTC 3/3 to Hereford $1550+GST BW:50 PW:68 RA:79% Quote: 063217 Jamie Cunninghame, 027 583 3533. 23 Aut Fries & FriesX Cows DTC 1/4 to Angus $1500+GST BW:52 PW:52 RA:76% Simon Smith, 027 444 0733. 55 Aut Fries & FriesX Cows 10/3 to Hereford $1575+GST BW:92 PW:120 Quote: 062906 Paul Jefferies, 027 591 8632.

WOODLYND POLL HEREFORD Registered Herd COMPLETE DISPERSAL

North Island Luke McBride 027 304 0533 Wayne Doran 027 493 8957

Cattle

Sheep

49 Aut Fries & FriesX Cows DTC 10/3 to Hereford $1850+GST BW:94 PW:139 RA:100% Quote: 063130 Robert Alud, 027 590 1335.

Special Entry A/C Morunga Station - Matawai 600 2 1/2yr Angus, Ang/Hfd & Exotic x Steers Well Bred Forward Condition Steers Farmed at High Altitude. Top Shifting Cattle. Tony Blackwood, 0272 431 858

FEILDING ALL BREEDS RAM FAIR

All rams must be tested brucellosis free

South Island

Richard Harley 021(F12+) 765 430 Friesian Heifers Greg2016 Collins 481 9772 Born027 $1200

Tuesday 13th February

Gerard Shea (PGW) – 027 442 5379

PGG Wrightson are now taking entries.

Late North FebIsland – Early Luke McBrideDelivery 027 304 0533 March Wayne Doran 027 493 8957

AUTUMN CALVING DAIRIES FOR SALE LOWER NORTH ISLAND

25TH ANNUAL ON FARM WEANED CALF AUCTION

Friday 9th Feb – 12pm

Export Mid July Delivery 2016 Born Friesian Heifers (F12+) Contract $1250 Gross

MATAWHERO CATTLE

Further Inquiries Andrew Wright (Vendor) – 021 224 7281

mating

Contact Janet or Diane Gray Phone 06 324 8845 or 021 936 377

Your source for PGG Wrightson livestock and farming listings CAPITAL STOCK SHEEP SALE – PRELIMINARY NOTICE

Export Contract

2-Tooth Rams For Sale

SALE TALK

Paul Kane 027 286 9279 (North Waikato/ Northland)

66 MA Cow 5 MA Bull 37 R3 Heifers 4 R3 Bulls 47 R2 Heifers 8 R2 Bulls 90 Calves Viewings Sunday 11 February from noon phone Roger Tom Suttor 0274469967 or 06 8585148 Roger Wanklyn 06 8639869

CONTRACTING DISPERSAL SALE - PRELIMINARY NOTICE A/C Robinson Contracting, Dunback

Full advert to follow.

Tuesday 27th February, 2pm Outstanding line up of modern Capital Agricultural contracting machinery.

Further Inquiries Ron Robinson (Vendor) – 021 315 125 Gerard Shea (PGW) – 027 442 5379

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

24 Aut MA Xbred Cows DTC 1/3 $1850+GST BW:91 PW:104 RA:92% Quote: 062477 Chris Johnston, 0272 574 091. 58 Aut Fries & Xbred Cows DTC 7/3 (LBW Simmental) $1700+GST BW:97 PW:131 RA:100% Quote: 063293 Mark Houghton, 027 597 5844. 146 Autumn Calving Frsn Carryovers – all dry cow and teat sealed. $1850+GST BW 109 PW 148 Quote 063260 Mark Neil, 027 742 8580.

Other

138 Aut Fries & FriesX Cows DTC 10/3 to LBW Charolais $1800+GST BW:78 PW:110 RA:99% Quote: 062757 36 Aut Fries & FriesX Cows DTC 1/3 to Hereford $1800+GST BW:86 PW:121 RA:100% Quote: 062735 38 Aut Fries & FriesX Cows DTC 7/3 to LBW Charolais $1800+GST BW:80 PW:101 RA:99% Quote: 062717 23 Aut Fries Cows DTC 3/3 to Hereford BW:79 PW:88 RA:99% Quote: 062773 11 Aut 2.5yr Fries Heifers DTC 15/2 to Hereford $1500+GST BW:107 PW:101 RA:100% Quote: 063270 Tim Pickering, 027 446 9963. 13 Aut 2.5yr Fries & FriesX Heifers DTC 9/3 to Hereford & Angus $1750+GST BW:90 PW:87 RA:93% Quote: 063112 42 Aut Fries & FriesX Cows DTC 10/3 to Hereford $1650+GST BW:95 PW:75 RA:98% Rex Playle, 027 594 6512. 140 Well grown Autumn Calving Frsn/FrsnX Hfrs $1650+GST Incalf to low birth weight PB Sim. BW80 PW92 Quote 063146 Lyle Smart, 027 742 6833. Pick 20 from 39 Genuine Capital Stock Frsn Hfrs. Dams Av 520kgMS, BW 118 PW 119 Ben Hayes, 027 406 372. 56 Autumn Calving KiwiX Cows Incalf to PB Hereford, BW116 PW130 Craig Murray, 027 322 0063.

Visit AgOnline.co.nz for full details and photos as well as more listings for spring. Buy and sell livestock at

Helping grow the country

LK0091374©

STOCK FOR SALE

livestock@nzx.com – 0800 85 25 80

LK0091418©

THE NEW ZEALAND FARMERS WEEKLY – January 29, 2018

MARKET SNAPSHOT

IN PARTNERSHIP WITH

Grain & Feed

MILK PRICE FORECAST ($/KGMS) 2017-18

Last week

Prior week

Last year

Canterbury (NZ$/t)

6.40

6.20

AS OF 07/12/2017

AS OF 18/01/2018

MILK PRICE COMPARISON

353

327

NI mutton (20kg)

4.50

3.00

380

286

SI lamb (17kg)

6.75

6.80

5.10

Feed Barley

374

379

281

SI mutton (20kg)

4.45

4.50

3.10

244

Export markets (NZ$/kg) 9.12

8.96

7.56

6.5

Maize Grain

441

370

6.0

PKE

271

268

246

WMP GDT PRICES AND NZX FUTURES

284

280

UK CKT lamb leg

* 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.

7.0

INTERNATIONAL Prior week

Last year

2500 2000 Mar 17 Jun 17 Sep 17 C2 Fonterra WMP

Wheat - Nearest

214

220

218

Corn - Nearest

189

201

4.5

393

392

303

ASW Wheat

368

370

275

Feed Wheat

327

261

Feed Barley

358

356

238

Ex-Malaysia

118

112

NZ venison 60kg stag

6.5

600

6.0

500

5.5

400

5.0

300

4.5 Oct Oct

100

Dec

Prior week

vs 4 weeks ago

WMP

3200

3140

2980

SMP

1895

1860

AMF

6375

Butter

4900

Last week

Prior week

Last year

This yr

Prior week

Last year

1700

Urea

520

482

2.86

2.78

3.48

6250

6100

Super

303

317

Nth Isl 37m

2.90

2.80

3.55

4900

4460

DAP

739

Sth Isl 35m

2.95

3.15

3.65

752

2900 2800 Apr

Latest price

May

Jun

Jul

IT HAS been a busy week for markets. A mass of economic data releases, a strong start to the United States corporate reporting season and a number of central bank meetings have kept investors on their toes. The NZX 50 benchmark had mixed trading last week and is down about 0.3% year-to-date. It’s been a similar story in Australia with the ASX 200 also in negative territory year-to-date, contrasting with strong US and European gains. The Consumer Price Index December quarter data showed a quarterly increase of +0.1% and an annual increase of +1.6%. That surprised the market as well as the Reserve Bank, which had been guiding for a quarterly rise of +0.3% and a +1.8% annual increase. According to the Department of Statistics, higher petrol prices, air fares and housing costs were offset by lower prices for vegetables, new cars and household goods. The lighter inflation reading weakened the Kiwi dollar. Of the 24% of S&P 500 companies that have reported so far in the US, 82% have exceeded revenue estimates while 80% have exceeded earnings per share estimates. Earnings growth for the fourth quarter is sitting at 9.8%. Market commentary provided by Craigs Investment Partners

S&P/NZX 50 INDEX

8370

S&P/NZX 10 INDEX

7944

$/kg

250 Jan 15

Jan 16

Jan 17

Feed barley

4 weeks ago

Sharemarket Briefing

S&P/FW AG EQUITY

350

150 Jan 14

NZ venison 60kg stag

4.5

600

c/k kg (net)

3000

Coarse xbred wool indicator

5.5

CANTERBURY FEED PRICES

NZ$/t

US$/t

Last yr

Aug

Last week

3100

19585

Aug

Jun

Coarse xbred ind.

450

15306

Jun

(NZ$/kg)

3200

S&P/FW PRIMARY SECTOR

Apr

NZ average (NZ$/t)

WMP FUTURES - VS FOUR WEEKS AGO

Mar

Apr

WOOL

* price as at close of business on Thursday

Feb

FERTILISER

Last price*

2700

Feb

5‐yr ave

NZX DAIRY FUTURES (US$/T) Nearby contract

South Island 1 7kg lamb

7.5 7.0

PKE (US$/t)

Dec 17 Mar 18 NZX WMP Futures

6.0 5.0

CBOT futures (NZ$/t)

$/kg

3000

6.5 5.5

Last week

APW Wheat

3500

North Island 17kg lamb

7.5

Australia (NZ$/t)

4000 US$/t

5.10

379

Waikato (NZ$/t)

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

6.85

358

PKE

Nov 17 Jan 18 AgriHQ Seasonal

Last year

6.85

Feed Wheat

7.0

Sep 17 AgriHQ Spot Fonterra forecast

Last week Prior week

NI lamb (17kg)

Milling Wheat

7.5

5.5 Jul 17

Slaughter price (NZ$/kg)

c/kkg (net)

$/kgMS

SHEEP MEAT

DOMESTIC

AGRIHQ 2017-18

FONTERRA 2017-18

Sheep

$/kg

Dairy

300

2.5Oct Oct

Dec

Feb

Apr

Last yr

Jun

Aug

This yr

Dollar Watch

YTD High

YTD Low

Auckland International Airport Limited

6.72

6.73

6.26

Fisher & Paykel Healthcare Corporation Ltd

13.10

14.39

12.92

Meridian Energy Limited The a2 Milk Company Limited Spark New Zealand Limited Ryman Healthcare Limited Fletcher Building Limited Xero Limited Mercury NZ Limited (NS) Contact Energy Limited

2.87 9.28 3.56 10.94 7.50 34.40 3.43 5.40

3.00 9.39 3.68 11.30 7.81 34.49 3.43 5.64

2.83 7.66 3.49 10.27 7.41 30.61 3.30 5.35

Listed Agri Shares

3.5 400

5‐yr ave

PKE spot

Top 10 by Market Cap Company

500

5pm, close of market, Thursday

Company

YTD High

YTD Low

The a2 Milk Company Limited

9.280

9.390

7.660

Cavalier Corporation Limited

0.450

0.490

0.390

Comvita Limited

9.110

9.200

8.300

Delegat Group Limited

8.000

8.050

7.800

Foley Family Wines Limited

1.550

1.560

1.520

Fonterra Shareholders' Fund (NS)

6.440

6.660

6.380

Livestock Improvement Corporation Ltd (NS)

2.250

New Zealand King Salmon Investments Ltd

2.380

2.430

2.270

PGG Wrightson Limited

0.570

0.610

0.570

Sanford Limited (NS)

8.100

8.500

8.080

Scales Corporation Limited

4.770

4.920

4.690

Seeka Limited

6.500

6.520

6.430

Tegel Group Holdings Limited

1.150

1.240

1.140

S&P/FW Primary Sector

15306

14765

S&P/FW Agriculture Equity

19585

18763

S&P/NZX 50 Index

8370

8456

8211

S&P/NZX 10 Index

7944

8018

7694

THE kiwi seesawed on This Prior Last NZD vs varied United States week week year administration comments USD 0.7346 0.7305 0.7249 on where the US dollar EUR 0.5907 0.5970 0.6777 should be … first up on Treasury Secretary AUD 0.9115 0.9138 0.9607 Mnuchin’s comments GBP 0.5171 0.5262 0.5750 seemingly supporting a Correct as of 9am last Friday lower greenback then later President Trump saying that had been misinterpreted and a high-value currency was the long-term goal. The NZ$ went up US1c on the former (to US$0.74), down more than US0.5c on the latter. Compounding the response was what ASB Bank institutional currency dealer Tim Kelleher said was a horrendously low NZ December-quarter inflation figure of 0.1%, compared to expectations of 0.5%. “There’s no inflation and no sign of where it might come from,” he said. ASB has always believed there will not be an OCR hike by the RBNZ till probably March next year and the inflation figure quickly had other forecasters putting back their expectations of a rise later this year. In contrast, the US Federal Reserve is expected to make three rate rises this year and perhaps a fourth. That would eventually put US official interest rates above NZ rates. In this scenario, an overseas punter would quickly put their money into the giant and highly-liquid US market rather than invest at the same rate for a similar period in NZ. “That makes it hard to see how the kiwi can rally from here and you’d say the pressure would be on staying where it is.” Alan Williams

Markets

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018

CANTERBURY FEED BARLEY

SI SLAUGHTER STEER

SI SLAUGHTER STAG

($/KG)

PRIME HEREFORD-FRIESIAN STEERS, 545-640KG, AT CANTERBURY PARK.

($/KG)

($/KG LW)

5.30

374

10.70

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

Last week

Prior week

Last year

NI Steer (300kg)

5.45

5.40

5.25

NI Bull (300kg)

5.25

5.00

NI Cow (200kg)

4.00

3.90

SI Steer (300kg)

5.30

5.20

SI Bull (300kg)

5.10

5.15

4.80

SI Cow (200kg)

4.15

3.90

US imported 95CL bull

6.57

6.49

6.36

US domestic 90CL cow

6.42

6.51

6.41

North Island steer (300kg)

$/kg

6.0 5.5 5.0 4.5 4.0 South Island steer (300kg)

6.5 6.0

NZ venison 60kg stag

c/k kg (net)$/kg

600 5.5 500 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)

10.15

8.00

NI Hind (50kg)

10.05

7.90

SI Stag (60kg)

10.70

8.00

SI Hind (50kg)

10.60

7.90

New Zealand venison (60kg Stag)

c/k kg (net) $/kg

NZ venison 60kg stag

600 8 500

400 7 300

6 Oct

Oct

Dec Dec 5‐yr ave

Feb Feb

Apr Apr Last yr

Jun Jun

$62-$84

$3.06-$3.17/kg

Light-medium mixed sex lambs at Canterbury Park

1-year Angus & Angus-Hereford heifers, 370-400kg, at Stortford Lodge

Lambs head north

Export markets (NZ$/kg)

6.5

3.06

high lights

Aug Aug This yr

S THE dry conditions really start to bite, lambs from Southland properties made their way to Temuka and Canterbury Park last week in search of buyers. They tended to sell at a discount because of their lighter condition, but in general returns were solid. NORTHLAND NORTHLAND There was a line in the sand between prices for quality store cattle and lesser dairy-cross and off-bred types at KAIKOHE last Wednesday, PGG Wrightson agent Vaughan Vujcich reported. About 500 head were yarded and good two-and-a-half-year beef steers fetched $2.85-$3.00/kg, and heifers $2.65-$2.75/kg. Good-quality 18-month steers largely traded at $3.00-$3.10/kg for beef and exotic lines, with some outstanding cattle pushing to $3.30/ kg. Beef-cross and Friesian-cross bulls made $2.80-$3.00/kg, while top pens of heifers fetched $3.00-$3.10/kg, lesser sorts dropping to $2.75-$2.90/ kg. A swag of Friesian-Jersey sold to limited interest at $350-$440, but the good dairy-beef bulls made $500$570. Heifers were also harder going, and lines of Angus-Friesian and Hereford-Friesian eased on recent levels to $420-$520. Dairy cows with calves made $750-$1250, and boner Friesian and Friesian-cross cows, $1.70-$1.80/kg. COUNTIES COUNTIES Good rainfall and a shortage of store cattle kept prices firm at TUAKAU last Thursday, Kane Needham of PGG Wrightson reported. With only 200 cattle presented, bidding was keen for most steer and heifer lots. The steer section included 18-month Hereford-Friesian at 423kg, which sold to $3.00/kg. Angus 15-month steers, 351kg, made $3.12/ kg, with another pen at 318kg earning $3.21/kg. Hereford-Friesian weaner steers, 105kg, fetched $600.

HBA 1042R

You’re just a few steps away from applying for livestock finance. Heartland Bank Limited’s lending criteria, fees and charges apply. For full terms and conditions, visit www.openforlivestock.co.nz

FUTURE FARMERS: Windwhistle school students stray from their fundraising sausage sizzle to check out lamb prices at last week’s Snowdon and High Peak stations onfarm sales. More photos: farmersweekly.co.nz

Heifer numbers were light. A pen of 362kg Hereford-Friesian traded at $2.95/kg, and 113kg Hereford-Friesian weaner calves made $490. About 300 cattle were on offer at last Wednesday’s prime sale. The best of the heavy prime steers sold at $2.85$2.90/kg, medium $2.80-$2.85/kg, lighter lines $2.74-$2.78/kg. Heavy prime beef heifers traded at $2.74-$2.78/kg, medium $2.66-$2.72/ kg. Lighter beef heifers made $2.65/ kg. Beef cow prices ranged $2.12/kg to $2.40/kg, and heavy well-conditioned Friesian cows fetched $1.87-$2.00/ kg. Good-medium cows made $1.75$1.85/kg, lighter boners $1.60-$1.67/ kg. Heavy beef bulls sold at $2.80$2.92/kg, good-medium beef bulls $2.70-$2.75/kg, good Jersey-types $2.50/kg. A yarding of 1500 ewes and lambs was presented at the sheep sale last Monday, and the market remained steady. The best of the prime lambs

earned $130-$148, good-mediums $110-$125. Lighter primes traded at $100-$110, the best of the store lambs fetched $85-$95. Good-medium stores made $68-$75, lighter $50-$60. Heavy prime ewes sold at $110$130, medium $75-$90, lighter sorts $60-$70. BAY OF PLENTY BAY OF PLENTY The RANGIURU sale eventuated into a pleasing day last Tuesday, Prime cattle sold to high demand and 18-month steers matched that at RANGIURU last Tuesday. Prime heifers were the highlight, with a top-quality line-up and limited supply causing buyers to scramble to take ownership. Charolais, 540kg, achieved $3.02/kg and HerefordFriesian, 472-560kg, $2.93-$3.04/kg. Prime bull numbers were reduced

Continued page 46

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Markets

46 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018 to just 47, and the market held with 480-570kg Friesian averaging $2.86/kg. All Hereford bulls ranged from $3.06/kg to $3.15/kg. The strength flowed into the boner market and Friesian cows, 502-536kg, made $1.93-$1.96/kg. Eighteen-month steers enjoyed a lift in price with HerefordFriesian, 366-370kg, returning $3.08-$3.11/kg. Heifers of similar breeding and 280-326kg traded at $2.82-$2.86/kg, with all heifers sold making $800-$950. Bulls were consistent at $3.01-$3.04/kg for Hereford-Friesian, and Friesian prices took a lift to $2.90-$2.92/kg for 394-410kg. The weaner market had room to move with Hereford-Friesian bulls making $510-$555, and Friesian, 108-136kg, $380-$480. Apart from a few stand-out lines of HerefordFriesian heifers at $470-$500, most sold for $380-$420. WAIKATO The market was positive at FRANKTON last week, with a solid weaner fair followed by a strong store cattle sale. Last Tuesday’s weaner fair was met by a good-size buying bench of locals, and support from Northland and with many orders to fill, the majority of weaners on offer were steady to lifting. Heifers made healthy returns with Hereford-Friesian, 112-117kg, lifting to $480-$505. Interestingly, 120kg and 128kg lines of the same breeding were a carbon copy of the previous week, making $492$500 respectively. Bulls strengthened on the previous week with Herefordcross, 106-109kg, lifting to $480$505, as did Hereford-Friesian, 105kg, $492-$550. Friesian bulls were offered in larger lines and sold to keen interest with 97-99kg lifting to $455-$470, and 127-131kg, $550$565. A line of 114kg were steady on recent results, making $487. A slightly larger yarding greeted buyers at last Wednesday’s store cattle sale. With pastures moving demand was solid. Two-year steers, all with dairy blood, had healthy returns with 400-536kg making $2.70-$2.89/kg. Hereford-Friesian heifers, 433-

461kg, lifted 30-40c/kg and earned $2.82-$2.91/kg, while 396kg lifted to $2.93/kg. One-year steers were steady on recent results, and Herefordcross, 333-355kg, made $1035$1150. Hereford-Friesian, 335355kg, made $1040-$1120, as did Hereford-Jersey, 316-373kg, $960$1130. Friesian, 317kg, were solid at $940. The only group to show an easing was Angus-Friesian, 322385kg, at $885-$1145. Heifers were steady for the majority though Hereford-Friesian, 294-300kg, lifted to $890-$920, $3.00-$3.02/ kg. Beef-cross bulls, 282-318kg, were solid earning $845-$960. A highlight in the autumn-born weaner steers was HerefordFriesian, 215kg, making $905. The prime cattle market was positive, and beef-cross steers that were an identikit of a line the week prior at 622kg, made a premium of 20c/kg, earning $2.92/kg. Heifers were strong with all lines earning between $2.82-$2.94/kg. Good local buying support was underpinned by Hawke’s Bay and Waikato presence at the TAUPO cattle sale last Thursday. The 18-month dairy-beef steers and weaner heifers and bulls were the main attractions, Central Livestock agent Shane Scott reported. A small two-year section had Friesian steers, 433-467kg, trading at $2.67-$2.70/kg. Quality was good through the one-year AngusFriesian and Hereford-Friesian steer lines, with the latter making a premium. About 60% of the Hereford-Friesian fell in a 345347kg weight range that made $3.18-$3.20/kg, though a line of 333kg sold up to $3.30/kg. AngusFriesian, 302-347kg, also made good returns at $3.05-$3.14/kg, while a single line of 350kg took top honours at $3.29/kg. The heifer and bull sections were much smaller and featured Angus-Friesian heifers, 305kg, $2.97/kg, and a line of Friesian bulls, 470kg, $2.79/kg. The dairy-beef weaners stole the show, however, with fierce bidding erupting for all weights and breeds. All bar Friesian steers made $500-$610, with everything near or

more than $5.00/kg. Buyers were hard pressed to buy Friesian bulls under $500 as 97-130kg made $505-$540, and 130-158kg, $595$610. The heifer market posted fantastic results also and HerefordFriesian, 110-130kg, returned $500-$550, and a line of 148kg, $580. Beef-cross, 108-112kg went under the hammer for $470-$480. TARANAKI TARANAKI A new player in the prime market got the attention of regular buyers at TARANAKI last Wednesday. Determined local bidding ensured the new buyer only underpinned the bull market, but that meant prices pushed to excessively high levels. Angus, 520-655kg, sold as high as $3.00-$3.08/kg, as did a smaller number of Hereford, 525-660kg. Friesian and Friesian-cross, 473-538kg, were pushed to $2.95$2.97/kg, and Jersey, 432-487kg, realised $2.40-$2.61/kg. Line sizes of two-year steers were very small at just two-tofour head, but all sold over a tight band of $2.75-$2.87/kg. HerefordFriesian heifers were a highlight, selling on a lifting market for 553-596kg at $2.86-$2.95/kg. Five Devon bulls, 432kg, also sold well at $3.24/kg. A few good lines of steers made $3.00/kg and better, with lesser sorts off that pace. Hereford-Friesian heifers, 320362kg, sold for $2.72-$2.76/kg. The bull pens were top-heavy with Jersey, 340-375kg, making $2.29$2.31/kg. Outside support from King Country, Hawke’s Bay and Wairarapa affected the dairy-beef weaner sale last Thursday, with various sections benefiting. The better end of a small Friesian bull section, 125-180kg, made $590-$630, with 106-110kg fetching $474-$495. Similarly, Hereford-Friesian lifted $30 with the King Country taking the majority. Those 115-150kg sold for $590-$660, with few trading below $550. Masterton was strong on the heifers and prices for the better Hereford-Friesian took a lift to $530-$540 for 115-135kg. Lighter lines, 95-105kg, sold at $435-$475.

Angus-Friesian heifers, 90-105kg, eased to $370-$425. Steer numbers were almost identical to last sale, and while the Angus-Friesian lines were stronger at $545-$585 for 107-114kg, Hereford-Friesian held value at $540-$600 for 110-115kg. POVERTY BAY POVERTY BAY Just under 1000 breeding ewes were offered at MATAWHERO last Friday with a feature consignment of capital stock Romney four-tooth and six-tooth ewes. The fourtooths made $159.50, six-tooths $146. A small five-year section made $95-$119. The regular sale featured a specially-advertised consignment of 700 Perendale lambs from coastal areas. The top two male lines sold for $96-$100, with a lighter line at $77. Good ewe lambs sold for $90-$93.50, and medium $72-$79, while small lines of mixed-sex traded at $86-$115. In the prime pens Dorper ewes made $109-$121, while Romney fetched $115-$120. Most prime lambs sold for $95-$120. HAWKE’S BAY HAWKE’S BAY Low volumes and a change of sale day for the Feilding prime sale meant a bit more power on the buying bench at STORTFORD LODGE last Monday. Little pressure to offload prime cattle meant the pens were empty once again. A small ewe yarding at last Wednesday’s sale regained ground lost to finish at levels similar to a fortnight ago. Price tags of $120plus were more regular, helped by an improvement in quality. The lesser end also made good value with demand holding up right through. Bottom-dollar range was $78-$84, medium to mediumgood achieving $100-$116.50. Mixed-sex lambs sold down to $109, though they were in the minority with most lines making $127-$150. A feature of last Wednesday’s small sheep sale was a consignment of woolly Texel lambs from Wairoa. Sold in five lines, the top pen of ram lambs made $148.50, the rest $113$138. A number of buyer’s were competitive on the better medium

and good lambs, and prices reflected that at $84-$111. Cattle were the main attraction at 512 head. The buying bench featured mainly locals, but Wairoa also had a say on some lines. Specially advertised two-anda-half-year Angus steers drew a number of buyers though they stuck firmly to $3.00/kg budgets with 493-539kg making $2.99$3.03/kg. Jersey bulls featured in the twoyear pens, with two heavier lines at 458-509kg making $2.40/kg and $2.54/kg. Angus steers, 386kg, made $3.37/kg, while seven Devon-cross returned $1115, $3.30/kg. A line of Hereford-Friesian, 416kg, reached $3.23/kg, while a lesser-condition line of similar weight sold at a 20c/ kg discount. A quality offering of Angus, and Angus & Angus-Hereford heifers of 401kg made $3.17/kg, and second cut, 368kg, $3.06/kg. Dairy and dairy-cross cattle had a fair representation in the weaner pens, where HerefordFriesian heifers, 108-122kg, sold for $457-$490, and Friesian bulls, 107-122kg, $500-$560. Also on offer were a line of 28 vetted-in-calf Friesian cows, which sold for $1360, $2.57/kg, and empty Ayrshire, $1315, $2.56/kg. Just over 3000 ewes were put up for sale at last Friday’s ewe fair. The good and very good two-tooth ewes traded at $151-$170, with most making $140-$151. A sizable portion of the mixedage ewes had travelled over from the Chatham Islands. Heavy Romney sold for $130-$140, down on last fair, while light-medium to medium returned $93-$126. MANAWATU MANAWATU A change of sale day and reduced pressure to offload didn’t help volume at FEILDING last Tuesday, with more people than cattle in the rostrum, and a small sheep section. Lambs couldn’t be picked up for less than $133, and heavy lines sold for $144-$155 on a firm market. Similarly, regular ewe buyers took ownership at strong levels with heavy ewes making $135-$157, and good $121-$133.

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Markets

The bottom-end of the yarding were medium or medium-good and sold to good competition for $91-$111. Good cryptorchid lambs firmed to $103-$125, the remainder $93$95. Mixed-sex lines with weight improved to $95-$124, though very light lines came back to $40$73. Buyers were hard-pressed to find ewe lambs under $80 as good demand and good weights had the bulk trading at $81-$96. One-year steers brought the buyers in and this market firmed 10c/kg on the previous week, as did the Hereford-Friesian heifers. In the two-year pens an impressive sale of 25 Angus steers, 496kg, made $3.27/kg, while 10 Angus bulls, 433kg, made $3.07/kg, and Friesian, 577kg, $3.15/kg. Mainly local buyers stepped up for the one-year Angus steers as quality cattle were penned. Prices firmed 10c/kg, with heavier lines of 376-380kg making $3.40-$3.49/ kg over 355-357kg at $3.32-$3.35/ kg. Hereford-Friesian, 356-402kg, made steady returns at $3.01$3.03/kg. Hereford-Friesian heifers, 303-344kg, firmed 5-10c/ kg to $2.88-$2.94/kg. MARLBOROUGH MARLBOROUGH A large gallery of buyers had more than enough bidding power between them at the BLENHEIM ewe fair last Thursday, pushing the sale beyond expectations, PGG Wrightson agent Peter Barnes reported. A large consignment of fourtooth, six-tooth and four-year half-bred ewes were a highlight, all selling within the $141-$156 range. Similarly, two lines of annual-draft Corriedale ewes made $150-$160, while another large line of Merino ewes found new homes at $140. A decent-sized line of medium twotooth Perendales made $150. CANTERBURY CANTERBURY Lambs converged on CANTERBURY PARK from far and wide last Tuesday. Single-ewe lamb lines were the pick of the day, with the mainly Romneycross contingent all selling well in excess of $3.00/kg at $64-$95. A reasonable line-up of wether lambs had mixed results and

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018 medium-good lines made $83$93, though lesser sorts were off the pace. Male lambs sold for $79-$97 for the better end, the remainder $67-$78. Prime lambs were resilient and traded at $100$155 for the majority. Fewer ewes increased competition and prices lifted $5-$10. Good-to-heavy ewes returned $139-$179, medium $102-$137, light $70-$100. Five two-year Angus steers, 460kg, sold for $3.24/kg. One-year Angus-Hereford heifers, 355376kg, sold for $1210-$1215 at $3.23/kg and $3.41/kg. Steers made up the majority and prices continued to climb. Whereas at the previous week’s sale the top Hereford-Friesian lines hit $3.02/kg, last week up to $3.10/kg was paid. $3.00-$3.10/ kg was common throughput, with most other lines reaching $2.90$2.99/kg. A line of Angus heifers, 417kg, sold to $2.90/kg, with HerefordFriesian, 417-575kg, also strong at $2.81-$2.93/kg. Sale goers sweltered in 30C-plus temperatures at COALGATE last Thursday. The store lamb section was top-heavy with small lambs, with most medium types making $73-$76, and a small top-end selling to $87-$97. Light lambs sold for $60-$65. Prime lambs sold on a firm market with tops making $140-$158 and most of the remainder, $100-$138. Budgets were stretched to $162-$198 for the very top ewes, though a fair portion of the offering sat in a $90$159 range. In the cattle pens, one standout line of high-yielding Charolais heifers, 444kg, sold for $3.25/ kg, while $2.78-$2.88/kg covered any lines at 448-580kg. Steers of similar weight sold at that same levels, as well as good beef with weights of 555-618kg. Dairy-beef, 530-660kg, made $2.72-$2.82/kg. Bull numbers were limited but 536-568kg sold at $2.78-$2.79/kg on a steady market, while the best of the cows were 529-557kg and firmed to $2.02-$2.06/kg. Three main vendors offered up the bulk of the one-year cattle and nearly all the beef lines hailed from one property. A line of eight Charolais heifers, 388kg, sold for

$3.20/kg and steers, 402kg, made $3.18/kg. Similarly, a small line of Angus-Hereford steers, 420kg, made $3.10/kg, matched by a larger heifer offering at $3.05$3.11/kg for 400-411kg. Most of the 15-month HerefordFriesian cattle came from one property. One line of 31 steers, 303kg, achieved $990, and most lines traded at $750-$910. Heifers from the same camp, 289-306kg, returned $820-890, with most making $2.84-$2.91/kg. SOUTH CANTERBURY SOUTH CANTERBURY A big store cattle sale finished off a busy week at TEMUKA, following the regular Monday sale and a two-tooth fair last Wednesday. About 2500-3000 mainly whiteface lambs sold off the pace of recent levels with good lines making $80-$88, compared to $94$98 for similar weighted blackface. Lighter whiteface made $64-$68, blackface of similar weight $70$74. Medium male lambs were also off the pace at $67-$74. The prime lamb market flattened because of the absence of one regular buyer, though $110-$157 was still achieved. Top lines of ewes were up to $160-$191, though with mainly crossbred types most traded at $80-$119, with better lines up to $120-$168. After the rush of bulls, numbers fell by just over 100, which only served to increase competition. Two 740kg Angus managed to hit $3.02/kg, $2235. Traditional cattle with weight made $2.90-$2.99/kg, and second cuts of Hereford $1.87$1.94/kg. Friesian bulls lifted to $2.74$2.84/kg for 538-633kg, better yielding Jersey, $2.66-$2.80/kg. Prime cattle made steady returns on low numbers and the pick was Hereford-Friesian heifers, 500669kg, $2.65-$2.75/kg. Friesian heifers took a lift with 465-515kg averaging $2.52/kg, though the top lines sold to $2.60$2.67/kg. Heavy Friesian cows realised $1.98-$2.08/kg, and second and third cuts, $1.67-$1.88/kg. Kiwicross, 413-466kg, sold for $1.74$1.78/kg.

Two-tooth ewes were offered at Temuka last Wednesday. The top annual draft ewes sold to an expectedly strong market, but fewer lines than anticipated hit the $200 mark. The stand-out was the top lines of Border-Romney ewes, which made $260-$270, up $45-$55 on 2017 levels. More than half these lines penned sold in excess of $200, with a clear third cut making $170-$178. Top lines of other breeds did manage to hit, and in some cases, pass $200, including 500 capital stock Romney at $231, with other good types at $178-$198. Secondand third-cut Romney made $148$175. A larger selection of goodquality Coopdale ewes resulted in better prices of $162-$187, with Perendale lines also firm at $150$192. Most other breeds sold at similar levels to last year, with much of the yarding trading at $150-$190. Cattle from dry areas coupled with a boatload from the Chatham Islands pushed store cattle numbers to the highest level since late October. Small lines of one-year Angus steers and bulls from one property packed plenty of weight, with the top line of steers at 470kg, selling for $3.07/kg, and 426kg, $3.26/kg. The best of the bulls were 522kg and earned $2.78/kg. Back in the steer pens, 359-386kg AngusHereford proved popular at $2.98-$3.06/kg, as did well-bred Hereford-Friesian, 413-451kg, $2.99-$3.08/kg. The gap widened significantly for lesser lines with similar-bred 290-364kg dropping to $2.75-$2.80/kg, and Shorthorn, 292-319kg, making $2.52-$2.63/kg. A big yarding of HerefordFriesian heifers drew in a bulk buyer from Mid Canterbury, who took 100 head and helped underpin much of the market. Like the steers there was a noted premium paid for the top lines, with 356-414kg of quality making $2.75-$2.82/kg, though lighter lines and second cuts traded at $2.61-$2.73/kg. This range also included Murray Grey-cross, while Hereford-Shorthorn and Galloway lines, 200-281kg, met the market at $2.54-$2.60/kg.

A reasonable bench of buyers on Friesian bulls ensured a firm market and 402-470kg made $2.61-$2.70/kg, while 273-283kg returned $2.90-$2.93/kg. Their younger brothers sold over a tight range of $430-$480 despite a 65kg spread. Devon cows and calves from the Chathams sold well at $870$990, while Hereford cows with calves and run-with- bull fetched $935. SOUTHLAND SOUTHLAND Dry conditions are drawing more stock to sale at LORNEVILLE, though limited buyers are coming forward for the same reason. A medium-to-large yarding of sheep were presented last Tuesday, with prices easing $2-$3. The top prime lambs sold for $125-$146, medium $107-$119, and light, $91-$100. Good ewes destined for the processors sold freely at $120$153, but interest in grazing ewes was very limited, and medium types dropped to $96-$115, lighter $40-$85. Two-tooths made $74$93, rams $68-$100. Lighter cattle are more common as farmers offload, and steers weighed in at 360-400kg to make $2.40-$2.60/kg. Good heifers, 500-540kg, earned $2.60-$2.65/kg and 400-450kg, $2.50-$2.55/kg. Bulls were the highlight, selling for $2.80/kg. Cow prices proved resilient and 500kg-plus still managed $1.90$2.10/kg, while medium types made $1.65-$1.80/kg and light, $1.50-$1.60/kg. A large yarding of store cattle was more proof that farmers are hitting the offload button, but they met a very limited buying bench. One-year Charolais-cross steers, 440kg, were the pick at $2.62/ kg, while Hereford, 330-360kg, returned $2.39-$2.43/kg. Mixedsex Angus-cross, 409kg, made $2.50/kg. The market didn’t improve through the bull and heifer pens either as Friesian bulls, 451kg, made $2.33/kg, and Herefordcross heifers, 324kg, $2.26/kg. A small weaner section had top Friesian bulls, 140-160kg, at $430$460, and 119kg, $350.

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Markets

48 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – January 29, 2018 SI SLAUGHTER LAMB

NI SLAUGHTER STEER

NI SLAUGHTER BULL

($/KG)

PRIME ANGUS & HEREFORD BULLS, 520-660KG, AT TARANAKI

($/KG)

($/KG LW)

6.75

5.45

5.25

3.04

$3.05-$3.14/kg high $266-$270 lights Top Border-Romney 18-month Angustwo-tooths at Temuka Friesian steers, 302347kg, at Taupo 2th Fair

Ewe prices disappoint Alan Williams alan.williams@nzx.com

OME vendors were disappointed with prices at about the $180 level and below at the main January twotooth ewe fair at Temuka last Wednesday. Values weren’t as buoyant overall as most people had expected, PGG Wrightson regional livestock manager for Mid and South Canterbury, Joe Higgins, said. Top price was $270 a head for a line of Border Romney two-tooths offered by Geraldine breeder Bruce McDonald. He also topped last year’s sale, at $235. On the day, top ewes made $200-$270, mediums $180$200, lighter $160-$180, and poorer animals $130-$150. Overall, the margin over last year averaged $15-$30, Higgins said. “Buyers picked the eyes out of the yarding. “Good sheep and those from the regular vendors who have built their reputations sold well, but it was a struggle for some of the others.” The yarding of just under 11,000 two-tooth ewes was just medium-sized compared to some other years, but the buying gallery wasn’t that big either. “Some farmers might have thought prices would be a bit high, so we really only had buyers from South Canterbury and North Otago, plus a couple from further south

FULL HOUSE: Though 11,000 ewes were on offer at Temuka last week some vendors were disappointed with prices.

Buyers picked the eyes out of the yarding. Joe Higgins PGG Wrightson and one or two from North Canterbury.” Farmers were reluctant to spend too much on sheep – experience had shown that good prices didn’t always last.

A lot of sheep sold in the $160-$180 range, while small yardings of Romney, Perendale, and Longdown were getting more than $200 a head. All the ewes went to farmerbuyers, with none to butchers and traders, indicating price levels were well-above the killtrade levels. With the big number of ewes sent away for processing pre-Christmas in response to the high mutton schedule, Higgins said the indications were for breeding ewe

numbers being lower this year, but with a higher overall quality. A good guide to the ewe market will come this week when the older breeding ewe fair is held at Temuka on Wednesday. Higgins is expecting good ewes to make $170-$180, and lighter ewes $120-$130. There appeared to be more interest in fattening lambs in the current market environment, rather than committing to a breeding programme.

Stay Farmstrong. Hang Out With Your Mates. Connecting with your mates is a massive part of keeping well, whether you’re farming or playing rugby. Sharing the ups and downs of life helps you keep things in perspective and recharge your batteries. So whether it’s hunting, fishing, playing sport or just having a barbie, make sure you catch up with your mates this summer.

Grass keeps store cattle at home A YEAR ago I took an aerial photo of Hawke’s Bay looking not unlike the Sahara Desert. The photo went viral on social media as people did not believe we were that dry. Someone even Suz Bremner suggested I had Photoshopped AgriHQ Analyst it, to which I replied “I wish”. With the exception of western and southern areas of the South Island, much of the country now has adequate, if not excessive grass covers, and while a few weeks ago I talked about how that affected the early lamb sales, this week the focus is on the store cattle markets. Store cattle throughput at most yards so far this year has been consistently lower than normal, but for farmers that’s a good thing – it means feed levels in most areas are sufficient enough to grow them on further. We also do need to factor in the fact that a larger than normal number of cattle were sold in October and November as high prices drew more to sale for the second year running. Matawhero’s monthly cattle sale is usually a big affair, but this month’s sale dropped to the lowest number on record. Not surprisingly, demand on the rails is reasonably high for the same reason that numbers are low, and that always creates a win for vendors. The pre-Christmas dip in prices has now been replaced by prices for 1-year or R2 cattle reminiscent of spring levels in eastern and southern parts of the North Island as well as Northland. The drought conditions are still too fresh in people’s minds in western areas of the North Island, and they seem happy to hold off restocking until the feed is ahead of them. The trend was bucked by Temuka, which played host to 1500 cattle, mainly from dry Otago areas or the Chatham Islands. Quality dairy-beef cattle were chased but vendors met the market on the balance. suz.bremner@nzx.com

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