Farmers Weekly NZ March 4 2019 by AgriHQ

11 EU offers us nothing Vol 18 No 8, March 4, 2019

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Call surprises agents Nigel Stirling

nigel.g.stirling@gmail.com

HE body representing livestock agents is surprised at renewed calls for regulation after it moved to more strictly police the conduct of members just last September. The Stock and Station Agents Association for the first time adopted a code of practice for its members and set up a disciplinary body for those failing to uphold the new code.

Less reputable agents … are unlikely to become voluntary members. Miles Anderson Federated Farmers But Federated Farmers say because only 65% of livestock transactions nationally are handled by association members the changes fall short of what is needed. “Less reputable agents … are unlikely to become voluntary members and even if they do, when trouble arises they can simply resign and continue to trade,” the federation’s meat and fibre chairman Miles Anderson said. Last week Anderson said the federation will spend the rest of this year researching

possible regulatory options before presenting its case to the Government. The federation will study industries locally as well as taking a look at regulation of livestock agents overseas. Anderson has previously pointed to the compulsory registration of real estate agents with powers to strike off agents and impose fines as one possible model for the livestock industry. Association chairman Steve Morrison said he is surprised at the renewed calls for regulation after both parties worked together most of last year to come up with the association’s code of conduct and disciplinary body. In the less than six months since its establishment the body had been approached by one party but that had not led to a formal complaint. “The process that we have in place hasn’t been of any use to date so I am not seeing a huge case (for regulation) by way of concerns that we are aware of being raised.” Nevertheless, Morrison said the association is prepared to work with Federated Farmers again on further improvements if that is what farmers want. “We want a good outcome and I would have thought what we have in place is a good outcome and certainly the use that has been made of it to date would suggest it is an adequate outcome. “But also I appreciate they have gone through some process which created some different view or raised something that they want to look further at and that is their right.” Anderson said the call was in

Leave it to me

START ’EM YOUNG: Awanui Grace, 5, of Featherston was keen to get hands-on experience at the Golden Shears. Photo: Courtney Turner response to meat and fibre council members’ concerns about agents outside the association not being covered by the new regime. “By the time we have done our legwork, which could take the rest of this year, there could be a move from a lot of the independent agents to join but in the meantime if we have done the work and can report back to the council they will feel they have a good basis to report back and make a recommendation.” Since the new code was finalised in September two agents had joined the association, Morrison said.

He was unable to verify the percentage of agents or livestock transactions covered by association members but said the 65% cited by Federated Farmers probably referred to the number of agents and transactions handled by members would be higher. Members include PGG Wrightson, NZ Farmers Livestock, Carrfields and Rural Livestock. A spokeswoman for Agriculture Minister Damien O’Connor said he found the call for more regulation of stock agents interesting. “We would think very carefully

before implementing additional regulation in the sector,” O’Connor said. In the meantime the legal challenges that sparked the industry shake-up continue this week with Rural Livestock due back in the High Court at Christchurch defending a claim brought by a second Otago farmer. South Otago farmer Ross Clark last year claimed close to a million dollars as a result of transactions involving former Rural Livestock agent John Williams. The court is yet to issue a judgment on Clark’s case.

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NEWS

WEATHER OVERVIEW The first full week of March will feel more like January or February as warmer breezes develop. Last week saw a couple of nationwide southerly changes that dropped temperatures, especially overnight lows. This week looks to be the opposite with increasing northerly quarter winds later in the week and pushing temperatures up to the late 20s, maybe even 30 degrees inland. A few showers and some patchy rain will affect the West Coast for a time but a front later this week will fall apart as it tries to move into the North Island because of high pressure dominating. High pressure looks set to control New Zealand’s weather for the first half of March with most regions drier than average.

8 Milk price up but decisions loom

7-DAY TRENDS

Fonterra decided not to pay an interim dividend because of its debt reduction priorities and steps to improve its operational performance, chairman John Monaghan says.

Rain

Grower challenges land loss �� 5

Newsmaker ��24 New Thinking ��25 Opinion ��26

ON FARM STORY

It’s dry for the week ahead but some showers on the West Coast on Tuesday turn to rain on Wednesday. By the end of the week, around Friday, there might be a few isolated showers in both islands.

Temperature It will become hotter than average for most parts of NZ this week with no cold changes coming. Hottest weather is inland in both main islands where highs might reach closer to 30 degrees or the late 20s.

NZX PASTURE GROWTH INDEX – Next 15 days

Pasture Growth Index Above normal Near normal Below normal

Wind Light winds this week for the most part, especially over the North Island. However, a westerly flow will develop over the South Island, helping push up temperatures, and will turn more northerly quarter later in the week.

Highlights/ Extremes It’s drier and hotter than average for a number of regions this week with no nationwide, soaking rains in the next week or two at this stage. We’ll keep you posted the second we see a rain maker.

14-DAY OUTLOOK

Waikato and parts of Bay of Plenty are standing out for being especially dry now after rain in late February brought some relief further in Northland. South Taranaki, Whanganui, Manawatu, Nelson and South Canterbury are all also drier than normal. The bad news is that these driest areas are least likely to get rain in the next 14 days. Hopefully, mid to late March will open up the Tasman Sea to rainmakers as the rain needs to come in that way to do good.

SOIL MOISTURE INDEX – 01/03/2019

30 Farming in the city When New Zealanders think of Auckland few think of farming. But a young Karaka dairying couple are combining their love of the city with their passion for the land.

REGULARS Real Estate ��32-38 Employment ��39 Classifieds ��39-40 Livestock ��40-43 Markets ��44-48 GlobalHQ is a farming family owned business that donates 1% of advertising revenue to the Rural Support Trust. Thanks to our Farmers Weekly and Dairy Farmer advertisers this week: $914. Need help now? You can talk to someone who understands the pressures of farming by phoning your local Rural Support Trust on 0800 787 254.

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News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Tasman drought is now critical Annette Scott annette.scott@globalhq.co.nz THE dry in the top of the South has reached a critical peak for farmers forced to spend hundreds of thousands of dollars to keep livestock and horticultural crops fed and watered. “It’s dire, we need rain,” Tasman dairy and horticultural farmer Julian Raine said. “While we can shift livestock, we can’t shift trees.” It’s costing Raine $2000 a day to feed his dairy herd, the apple harvest is under way but the crop has been affected by the lack of water and kiwifruit are in desperate need. With water schemes on hefty restrictions and supply fast running out the only option is to cart water in. Firefighting water was taken from the Kainui Dam and with just three weeks of water left in it, the surrounding catchment is struggling. A cease take direction has been introduced for the Motupiko zone from March 4. Wells are going dry with farmers in the Nelson-Tasman region reporting it to be the worst drought since 1973. “We milk 365 days to supply the Nelson white milk market so while we are on once-a-day milking we can’t dry off cows,” Raine said. “While the fruit is stunning in colour and taste, the apples haven’t grown to optimum size so we are well down in volume, that’s a large part of the income just not there.” With the kiwifruit harvest a little way off, water is needed for such high-value crops. “We are looking to cart in water for the kiwifruit but we can’t do that for too long because of the sheer expense,” Raine s aid. One horticultural grower has already hired milk tankers to cart

PRICEY: It is costing Tasman farmer Julian Raine $2000 a day to feed his cows.

It’s dire, we need rain. Julian Raine Farmer the necessary 500,000 litres of water a day from nearby Motueka for glasshouse crops of tomatoes and capsicums. When that source runs dry he will be forced to truck water from Murchison, a three-hour daily round trip for the 20 tankers, each carrying 25,000 litres.

“It’s just not sustainable. We need rain.” Tasman Federated Farmers acting president Martin O’Connor said “Choices are dwindling.” “It is critical with water availability now a more serious issue than feed. “We are on 35% water restriction. It’s never happened here before. There’s very heavy loading on water schemes and there’s just no certainty for water day by day. “Feed can be brought, and it is, but water is another issue. “Farmers need to destock and many have, if they haven’t got reliable water.”

O’Connor said livestock farmers have three options – sell stock, move stock out of the district or arrange alternative water supply infrastructure, which at this stage to do in time is virtually impossible. If the drought lingers into the autumn growing season there will be further impact with feed shortages. “Even rain now will be 30 days before there’s usable pasture to feed livestock.” Tasman District Council has warned if there’s no rain in the next few weeks the area will be looking at an emergency situation with household supply likely

restricted to just 125 litres a day. Alliance’s Nelson processing plant, one of the biggest users of the council’s reticulated water, is urging farmers to present stock clean, preferably shorn, at least with no dags, as it works to conserve water in yards livestock washing and other conservation measures in its operations. The Federated Farmers feedline is operating with many offers of grazing and feed available to all livestock farmers. Meanwhile, there’s no rain on the radar with the weather experts warning there’s worse to come in March.

The traders’ advantage Bill Herrick is a specialised lamb trader near Martinborough in the South Wairarapa. He annually purchases Wairere bred store lambs from White Rock Station on the Wairarapa’s south coast. Last season’s weaning draft of 1800 Wairere Dominator / Romney lambs averaged 29kg, with a range from 26 to 38kg, when they arrived in mid-December. The first draft on January 4th saw 434 average 21kg carcass weight with the majority of the balance reaching the same average, in two drafts, by February 24th, with only 150 left to finish. “I know that I can budget on an average daily weight gain between 350 and 400gms a day, even in the Wairarapa summer heat”.

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News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Stemming lifestyle block growth Richard Rennie richard.rennie@globalhq.co.nz SOARING kiwifruit orchard values have helped take some steam from the lure of subdividing quality land into smaller blocks in Western Bay of Plenty. However, the Western Bay of Plenty District Council has also had to tighten up on development plans to help prevent the loss to uneconomic lifestyle blocks. Alongside Tauranga City, Western Bay of Plenty is one of the country’s fastest-growing districts, recording a population increase from 27,000 in 1986 to 46,000 in 2013. That growth is competing against some of the country’s most productive, high-value orchard land where some kiwifruit blocks have fetched $1 million a canopy hectare at auction. Meantime, future population predictions have that growth continuing to 54,000 by 2031, putting pressure on the edges of that land. “When you look at the growth experienced in the district it has been strong,” the council’s resource management manager Phillip Martelli said. “But we have tended in the past to lose more land to lifestyle blocks than to residential development. “Typically, once a lifestyle block falls under 2ha it will be classed as uneconomic and we have a lot of those.” Latest council data confirms

LAND

the district has 10,992 rural lots, with almost half (4540) barely 1ha in area, occupying 4131ha. Of this 1400ha is classed as high-value, versatile land that has been lost to the largely noneconomic lifestyle blocks. Martelli acknowledges the horse has bolted when it comes to undoing the multiple small blocks that could otherwise be used by highly productive orchards. “It goes back to the 1990s and early 2000s when, to be honest, the rules were fairly loose around subdivision.” Today’s district plan takes a stricter line on the loss of highvalue orchard land. The minimum land size is now 6ha and land under 12ha cannot be subdivided. Subdividing orchards is far more difficult to achieve and the council now has three defined areas where those seeking a rural lifestyle can live. “We found that lifestylers essentially wanted views, privacy and to be close to town. So, the three areas recognise that, on far smaller sized sections than the

PROTECTION: Today’s district plan takes a stricter line on the loss of high-value orachard land, Western Bay of Plenty District Council resource management manager Phillip Martelli says.

traditional lifestyle block.” And the council acknowledges reverse sensitivity where lifestylers living next to orchards make commercial operations difficult because of complaints about noise, spraying and traffic at busy times of the year. When exploring new growth areas the region’s mix of sea, swamp and slope can make urban expansion on anything other than high-value soils challenging. “The other option is to push for intensification of urban areas and that will happen in

Tauranga but three to four-storey townhouses in Te Puke? That is less likely.” For now the region has access to 200ha of poorer quality land for development now being absorbed into Tauranga City limits. “But there are other areas up for consideration we would have concerns over, like around Belk Road where land quality is good.” He acknowledged once the latest developments are full the council will have to do some soulsearching about the next corridor of growth.

That might be east of Tauranga, around the Paengaroa area. “But we would have to examine the soils and look at the impact it would have on the kiwifruit sector. Meantime, the very strong returns being made by crops including kiwifruit help ease the pressure to develop fertile land. “We have landowners not interested in selling because they are making good returns, which means as a council we have to look in other places.”

Horowhenua already protects its top soils WITH its fertile horticultural soils Horowhenua is a key growing area for the lower North Island and for some crops, like asparagus, the ADVERTISEMENT

entire country. So Horowhenua District Council’s planning recognises the importance of protecting the district’s soil resource, strategic planner Lauren Baddock said. The council has recently

adopted a growth strategy aiming to consolidate existing towns while identifying land suitable for urban growth to satisfy projected demand until 2040. Where possible the strategy aims to avoid development of fertile soils.

“One of the factors considered when determining whether land was suitable for growth was soil class.” Last year the council also made a change to the district plan to reduce the minimum site size for

subdivision in a residential zone, to intensify housing in urban areas and reduce pressure on rural land. Since 2009 the council has

Continued next page

LEGAL TALK with Barbara McDermott Advancing money? Document carefully or suffer the consequences Advances between different entities in farming businesses are common – for example, advances from parents to children and advances between companies and shareholders and beneficiaries and trustees. Where there is no adequate record of the nature of a payment made by one person to another misunderstandings and disagreements between the parties, and wilful blindness or even dishonesty by one party, can result. This is particularly so if the payment is made when the parties are on good terms and the relationship subsequently breaks down. In a recent case a failure to record the nature of a payment led to legal action to recover it. Ex-husband seeking reconciliation pays ex-wife $250,000 Greg and Brenda had been separated for three years when Brenda applied for a dissolution of their marriage. Brenda was shocked and very angry when Greg claimed an interest in her home. Greg had promised her he would never make such a claim. In settlement of the relationship property dispute Brenda paid Greg $305,000. Eleven days after Brenda had paid the $305,000 settlement, Greg instigated a meeting with her to attempt reconciliation. There were lengthy discussions

at the meeting leading to Greg paying $250,000 to Brenda. In the months that followed Greg and Brenda attempted to revive their relationship but there was no lasting reconciliation. Greg sued Brenda for the return of the $250,000 claiming he was entitled to it because (a) Brenda was holding the money on trust for him; (b) the payment was an unconscionable bargain; and (c) the payment was made by deceit. Brenda responded to Greg’s claims by stating the payment was a gift and she was entitled to keep it. The judge held in Brenda’s favour and responded to Greg’s arguments as follows: (a) Resulting trust Where one person makes a voluntary payment to another person there is a presumption that the person paying the money did not intend to make a gift. If the person to whom the payment is made does not rebut that presumption then that person holds the money on trust for the person who paid it. The judge considered the evidence (including the conversations taped during the meeting) and held the $250,000 was an outright gift. (b) Unconscionable bargain The judge said the doctrine of “unconscionable bargains” could extend to gifts. Greg’s argument that the payment was an “unconscionable bargain” did not succeed because he had not shown on the evidence

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that it would be unconscionable for Brenda to retain the money because of her knowledge of his mental vulnerability. (c) Deceit To succeed in his final claim of deceit, Greg would have to prove Brenda had made a false representation of past or present fact. The judge found there was no representation at all other than Brenda’s acknowledgement that, if the money were paid, that would be a first step towards an uncertain process of reconciliation - “If you do this, I might do that.” Even if there had been a representation of past or present fact, there was nothing false about it. A hard lesson For Brenda, justice was done – no doubt at significant cost to her. For Greg, perhaps he truly believed Brenda would pay back the money if the reconciliation was not successful. For both of them, the lesson to be learned is to take legal advice and record the terms of a proposed payment before the payment is made. In farming families where substantial payments are often made between different entities, this lesson is particularly appropriate.

* Names have been changed.

LK0095394©

Richard Rennie richard.rennie@globalhq.co.nz

News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Grower challenges land loss Richard Rennie richard.rennie@globalhq.co.nz

made significant changes to its rural subdivision rules to provide greater protection to fertile soils. A state of the environment report under way aims to identify the portion of total rural lots formed that include fertile and the

effectiveness of those policies. Further adjustment to protecting the soils might result when that is completed later this year. The council supports a national policy statement, particularly for fertile soils.

FANCY MEETING YOU HERE: Growers are jostling with builders in Pukekohe.

Photo: Fraser Newman

LAND

under the Unitary Plan is in reality. “I know of one grower who has 3ha in subdivision and the rest is still in vegetable cropping. “It seems there is not much to stop him challenging in the Environment Court over the legality of having his remaining land protected. And if he won, then you will see others whose land is supposedly protected go the same way.” Bhana’s family has already lost assorted lease blocks around Pukekohe as owners have opted to cash up for as much as $1 million a hectare to housing and industrial land developers. He wholly supports efforts by Horticulture NZ to push for a national policy statement (NPS) to protect versatile, high-value soils. “With an NPS it will not matter what Auckland City may wish

to do in the future, that land is protected at a national level. My problem, though, is I really do not know if the ministers concerned have the guts to do it.” Bhana said the growing separation between consumers and their food source only exacerbates the challenge of trying to build support to have Pukekohe’s valuable soils protected long term. “People don’t know where their food comes from so it becomes difficult for them to understand the value of protecting the soils that grow it.” Claims growers could move out and south into Waikato are invalid, not only because of the less productive soils there. “Under Plan Change 1 in Waikato, which looks like it will go through, you cannot change

to a different land use type any more so that’s not an option and it’s likely such a plan change will come in across the country. “The inevitable outcome is we won’t have enough land up here to grow on. You can’t grow it elsewhere so we, as a country, will have to start importing our vegetables – do we really want to be eating Chinese sourced vegetables?

“However, we will be looking to ensure any NPS direction allows for sufficient flexibility at a district level to respond to local issues, including urban growth, tourism, recreation or industrial

activities on urban fringes.” Meantime, the subdivision controls fertile soils introduced in the 1990s are considered to have been effective in managing the effects of subdivision on the local growing soils though there are

no specific land use controls on them. “Given land use activity can reduce the ability to use the land productively this may be an area the council explores, adding some controls.”

FW 02/19 120 x 265mm

BHARAT Bhana and his family have managed to keep their 700ha around Pukekohe in use growing vegetables but he is uncertain how long they can hold out as they are ring-fenced by industrial and housing subdivisions. Despite the inexorable growth of Auckland and the loss of more than 10,000ha of highly productive land in the process, Bhana’s family has managed to keep its land operating as it has always been, growing high-quality, sustainably produced produce for Auckland city and much of New Zealand. “These soils have been producing for over 100 years and the crops we get now are better than they have ever been,” he said. “At certain times of the year, usually around late October, we will be not only supplying Auckland but also sending a truck and trailer unit south six days a week to the South Island.” The passionate grower is adamant the further loss of Auckland’s high quality soils will be deeply regretted in the near future, such is their rarity and the

inability of other areas to produce crops to the same volume or frequency. “A lot of people think we can just lose the soil here and simply go and grow the same crops elsewhere but it’s not that simple. “We have land at Onewhero (north Waikato) that can support only one crop a year because the soil is lighter. “Up here, in two years we can grow five crops worth of production against only two on that land.” He and fellow growers lobbied Auckland City Council hard to have the soils protected when the super city was formed and managed to get an undertaking in the unitary plan to have 3000ha protected from building. “But that really only lasts as long as the first stage of the plan. There are no guarantees. “We have the next generation coming through our business and we opposed Auckland City’s efforts to put our area into a housing zone. But now we face the prospect of being ring-fenced in with houses.” And he is uncertain how definitive the protection afforded

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News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Fonterra caught in death valley Hugh Stringleman hugh.stringleman@globalhq.co.nz THE sale of Tip Top is crucial to Fonterra’s aim of reducing its debt by $800 million before the end of this financial year, dairy industry commentator Peter Fraser believes. Fast-moving consumer goods companies can command some very high multiples of earnings when being traded. Fraser is an economist who advised the Ministry of Agriculture during Fonterra’s restructuring attempt a decade ago and has commented on the dairy industry since. Perhaps Tip Top could bring in up to half of the $800m target because without that scale of return everything else in Fonterra is up for grabs. “In my view Tip Top has been an orphan for some time. “If Fonterra had a major fastmoving consumer goods business in Australia and New Zealand, like a National Foods, then Tip

Top makes sense as part of the portfolio – without that portfolio it doesn’t.” In this portfolio review Fonterra has to decide what type of dairy company it will be in the future, Fraser said. “I don’t think it has the iron discipline to be a lean, mean commodity processor like Open Country. “Nor does it have the flair or the money to be a high-end

ingredients company like Synlait or the nimbleness or ownership structure to be a fast-moving consumer goods like A2 Milk.” So, Fonterra risks being caught in the middle, a sort of valley of death. He worries Fonterra cannot retain its earnings because farmers demand the highest possible milk price. The motive of farmershareholders, with 80% of their

capital invested on-farm and only 20% in the factory, is to cut risk in their on-farm investment in a highly perishable product, milk. “They are entirely rational – Fonterra is an insurance policy and they don’t want their insurance policy to take risks, especially when Fonterra’s valueadded returns are barely above the ingredient returns. “Most farmers don’t really care about shareholder value because over-pricing the milk is capitalised into farm values. “So, you could say Fonterra has been successful in driving up land values. “That is where the wealth has been created.” A related problem is that dairy debt has gone up by four times since 2000 but milk production has increased by 60%. Fonterra can run a debt of 50% currently with a target range on the low 40s, because of payout subordination. “Without subordination, say in the case of demutualisation

as a way of restructuring for the future, I suspect their debt target would have to be low 30s.” Fraser said Fonterra was granted legislative exemptions to become something like Kerry in Ireland.

Overpricing of milk has been capitalised into farm values. Peter Fraser Economist “NZ farmers don’t want this so they have created a Ponzi scheme in land values.” The self-imposed milk pricing regime has created a cash-starved co-operative. “Selling the family silver and closing the wallet are pretty much the only options available right now.”

$800m repay target is achievable Hugh Stringleman hugh.stringleman@globalhq.co.nz FONTERRA has $5 billion in assets beyond what are necessary for its core milk processing and ingredients sales business so should readily find its $800 million debt reduction, dairy industry analyst Geoff Taylor says. And now Fonterra has dropped its volume-driven strategy it should not find the $800m debt reduction target difficult. Taylor is a director of TDB Advisory, which has just updated its April 2018 report into the capital structure and returns of companies in the dairy industry.

The update draws on analysis of Fonterra by Northington Partners for the Fonterra Shareholders’ Council, published before the annual meeting in November. The council said the analysis shows the company’s financial performance since inception is poor. But TDB believes that was too harsh and the figures show how well the New Zealand ingredients business has done since Fonterra was formed. That business is the core of Fonterra in that it collects, processes and sells the milk produced by its NZ suppliers and shareholders. It is regulated by the Dairy

Industry Restructuring Act, employs about half of Fonterra’s capital and is what farmers most identify with. Fonterra is now re-evaluating all its investments, major assets and partnerships. “We make observation that it is in the interests of shareholders to find a realistic value for all the non NZ ingredients business (being $5 billion-plus of book value of capital),” TDB said. “If Fonterra could return a large amount of capital to shareholders and still maintain a similar earnings per share from the ingredients business it would clearly be a positive alternative for shareholders to discuss.”

Northington said the NZ ingredients business had a return on capital employed of 6.8% over the past five years, better than the cost of capital. “It is the rest of Fonterra – consumer, food service, China farms and international milk pools – that is subtracting value,” TDB said. Taylor said Fonterra is on track to fall to 75% milk market share in 2021. Assuming NZ milk production is flat, Fonterra’s aim of reducing capital expenditure within its debt reduction target will be achievable. “Then perhaps discussion can move on to a return of capital to shareholders,” he said.

PLUS AND MINUS: Fonterra’s New Zealand ingredients business is doing well but everything else is subtracting value, TDB Advisory dairy analyst Geoff Taylor says.

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News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Milk price up but decisions loom Neal Wallace neal.wallace@globalhq.co.nz FONTERRA decided not to pay an interim dividend because of its debt reduction priorities and steps to improve its operational performance, chairman John Monaghan says. Fonterra lifted its forecast farmgate milk price range 30c to $6.30-$6.60/kg MS on the back of improved demand from Asia, specifically China, and bad weather slowing production in Australia and Europe. Countering that, geopolitical pressure in Latin America has made trading conditions difficult in some countries, chief executive Miles Hurrell said. “In addition, the increase in milk price, which is the primary cost input into our non-milk price products, has put pressure on the margins for those products and they significantly contribute to our earnings,” he says. Fonterra’s forecast earnings range has been reduced from 25-35c in December to 15-25c a

share because of debt reduction priorities but the advance payment to suppliers has improved 20c/kg to $6.45c/kg. Monaghan said shareholders face some major decisions about the co-operative’s future direction and they will be given an update on the board’s strategic review with the March 20 interim result. That review will include a look at its dividend policy but also give direction on where Fonterra believes it can win and which products and markets give it a competitive edge. “The operational performance is not where it needs to be but it’s not something you can fix in six months, hence the fundamental review of our strategy,” he said. Fonterra has already signalled its intention to sell Tip Top and to unwind its joint venture ownership with Beingmate of the Darnum plant in Victoria, Australia, and Monaghan says a decision on the future of a third business is almost confirmed but it is too early to provide details. Hurrell said the portfolio and

asset divestments review aims to reduce debt by $800m this financial year. “We are also on track to meet our targets for capital expenditure and operating expenses.” The main pressure points remain Australian ingredients and food service in Asia. “We are making inroads in addressing them but they will not be solved overnight.” Forecast milk flow this season has been revised lower because of recent dry conditions but is still picked to be 2% above last year at 1530 million kilos. Monaghan said recent rain eased feed pressure in some areas but with Australian milk flows as much as 7% lower than last year and Europe 1% higher NZ is in an excellent space as demand picks up. Interest at Global Dairy Trade auctions has improved in recent weeks and European stocks of skim milk powder have been cleared. “We expect demand to remain stronger relative to supply for the rest of the season,” he said.

THINK ON: Shareholders face major decisions about Fonterra’s future direction, chairman John Monaghan says.

St John quits shares fund FONTERRA director and veteran capital markets executive Scott St John has left the board of Fonterra Shareholders Fund Management the same day the units plunged to a new low. A notice to the Companies Office said St John has ceased being a director of the firm that manages the fund. He is still a Fonterra director. The fund’s units closed at a record low $4.17 on Thursday, slumping 7.3% after Fonterra cut its earnings guidance and ditched its first-half dividend and said any return at the end of the financial year will depend on the co-operative’s annual earnings and balance sheet at the end of July. Fonterra’s board is reviewing its dividend policy. St John has been replaced by fellow Fonterra director Andrew Macfarlane. – BusinessDesk

Fonterra invests in alternative protein firm Neal Wallace neal.wallace@globalhq.co.nz THE science might still be relatively new but Fonterra says its stake in a United States alternative protein manufacturer will ensure it stays relevant for customers. The dairy co-operative has taken a minority stake in the Boston company Motif Ingredients, which has raised NZ$130 million to fund research commercialising bio-engineered animal and food ingredients. With the world population expected to grow by an extra two billion in the next 30

years, existing food production methods cannot supply the required food so new production methods are needed, Fonterra’s global consumer and food service head Judith Swales said. By having a share in an alternative protein business Fonterra can offer a full range of protein from nutritious, grassfed dairy to laboratory-made alternatives. “Consumers around the world will continue to want natural, grass-fed dairy as a premium source of nutrition. “At the same time we recognise that no two consumers are the same. As diets and preferences

continue to evolve we want to be there, providing people with choices.” “This is a very early investment. I can’t imagine we will see anything out there for three to seven years,” Swales said. Alternative dairy requires taking a DNA milk protein, which is inserted into yeast, algae, fungi or bacteria then fermented to produce a bulk protein. It is added to other products to make it usable. The real challenge is to make the process viable to produce protein at commercial scale, Swales said.

“They’ll get there.” But the alternative protein does not have milk’s mix of protein, fat and vitamins. “These will be ingredients that will ultimately be made into other things. “That’s why an alternative to fresh, white milk will be so far away because of all the things that are in it and also its taste, which they can’t replicate.” The Motif investment will also make Fonterra privy to the next-generation fermentation process. Swales sees no conflict as a shareholder in a company that could be disparaging dairy milk

in the competition for market share. Fonterra has been careful where it invests and Motif is not anti animal proteins but a company looking for another way to produce protein. And Fonterra will be in a better position to explain the difference between dairy milk and alternative protein rather than being perceived as defending its position out of selfinterest. “We can talk from a position of expertise and knowledge and explain why a customer should pay more for one over the other.”

SACRED FALLS X HONOLULU YEARLING FILLY The perfect cross between Sacred Falls and Savabeel. Your Opportunity This filly has a superb pedigree, with her dam, HONOLULU, a half-sister to four-time Gr 1 winning stallion, ALAMOSA, and the Gr 2 placed Sacramento. She is closely related to Australian champion 3YO filly LIGHTS OF HEAVEN and multiple Stakes-winner ELOA as well as Gr 1 winning 2YO DAL CIELO. The filly’s two half-brothers to race are both winners. Aeroluminance is a multiple winner in Hong Kong and, in a big pedigree update, RELLSON–SACRED CAPITAL was a Stakes winner on 3 February

after running fourth in the Listed VRC Poseidon Stakes as a 3YO. She is a beautiful mover, is correct and has a bomb-proof attitude. She is an ideal 3YO filly for the classic races of the One Thousand Guineas and Oaks, but also has good 2YO blood in her family. With her pedigree, if she gains black type, she will become very, very valuable. We would love to have you on board and experience racing our way. Please contact Albert or Matt.

www.goracing.co.nz Go Racing is an Authorised Syndicator with New Zealand Thoroughbred Racing.

She is great value with 10% shares $16,450.00 + GST 5% shares $8,225.00 + GST This includes: • All sales costs • Registration with NZTR • Breaking in • Initial gear (rugs, sheets etc.) • All costs until 1 May 2019 Syndicate contributions from 1 May are $340 per month per 10% share or $170 per month per 5% share.

“A gorgeous filly with great scope, by a sire that has a massive rap on him.” Trainer: Stephen McKee, Auckland

For photos, pedigree and a disclosure statement for this syndicate, contact Albert (albert@goracing.co.nz) or Matt (matt@goracing.co.nz) on 0508 GORACING (0508 467224)

One spread, two seasons. Job done.

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News

10 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Gains tax an attack on farming Neal Wallace neal.wallace@globalhq.co.nz THE proposed capital gains tax has become an attack on agriculture, which academic James Lockhart compares to the Labour Party’s failed water tax policy at the last election. Lockhart, a Massey University management school senior lecturer, was referring to the Tax Working Group’s proposed capital gains tax saying what began as a well-intentioned and necessary discussion on the merits of such a tax has become an attack on agriculture and its perceived accumulation of wealth. “What has emerged is a punitive attack on agriculture in the same way as prior to the last election (Environment Minister) David Parker came out with an ill-conceived water tax on commercial water users, except it only applied to agriculture.” Lockhart said the language used to describe a CGT in recent weeks has shifted from a method to encourage productive investment to uses of the terms “envy tax”, “inequality” and “income redistribution”, showing it is no longer a genuine debate about tax. “This is not what a CGT is designed to achieve at all.

“What started out as a debate to explore what a CGT could look like and how it could be applied – which is a good thing – ended up as a tool to target the farming sector.” Just days after the Tax Working Group recommended the tax Prime Minister Jacinda Ardern and Finance Minister Grant Robertson appear to be suggesting farms and small businesses might be exempt as the political fallout proves unpalatable. But a suite of environmental taxes remains on the agenda with the group recommending the inclusion of agriculture in a more tax-like emissions pricing scheme, a nitrogen tax and taxing those who pollute and extract water though they concede establishing a way to do that is problematic. The group said more work is needed to develop tools to more accurately estimate diffuse water pollution and extraction but in lieu of such a system it recommends a general fertiliser tax. It also recommends expanding the waste disposal levy but has ruled out a land tax. Economist Cameron Bagrie, the managing director of Bagrie Economics, said if he was creating a tax system from scratch he would include a CGT applicable

GONE BAD: What started out as a good thing has ended up as a tool to attack agriculture’s perceived accumulation of wealth, Massey University lecturer James Lockhart says.

on the sale of all assets but impose a much lower company tax rate. The proposed CGT is unsellable because it excludes the family home, which narrows the tax base and means a tax rate on remaining assets must be at a higher rate, in this case up to 33%. An example of the policy’s inequity is the owner of a $3 million house being exempt but the owner with a $500,000 home and a holiday home and property

that has appreciated in value to $2.5m, is not, even though their properties have the same net worth. There are also too many exemptions and several anomalies such as not indexing for inflation, valuing assets and how to deal with declining land values. The proposed CGT will prove too difficult politically for the Government to implement, Bagrie said.

Lincoln University agribusiness management senior lecturer Nic Lees said a watered-down version might by introduced. Any CGT needs to differentiate between those farming for the next generation and what he calls transactional farmers who buy and sell farms regularly or chase capital gain. The proposed suite of environmental taxes is designed so businesses fully meet the costs of the impact of their activity on the environment such as nitrate leaching and methane gas emissions. “The rationale is saying actually farmers should be fully paying the cost of their business and not externalising those costs to other people or public bodies,” he said. While it might be unpalatable, such taxes could benefit farmers and alleviate criticism from urban NZ about farming’s impact on the environment. “Potentially, farmers taking responsibility for their impact and, in the long-term, from an exporting point of view, this will help retain their environmental credibility and retain their licence to farm. “These taxes are an important part of that.”

News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

EU makes a galling offer Nigel Stirling nigel.g.stirling@gmail.com THE European Union is pressing New Zealand to drop the use of some cheese names in free-trade talks but is refusing to open its own dairy markets to increased competition in return. Negotiators met for the third round of talks in Brussels last week. NZ’s lead negotiator Martin Harvey said the talks had made progress since being launched in July last year and the EU had already tabled an offer on agricultural market access. “The EU has made us an offer but it is not satisfactory. “We are going to have to see more from the EU to unlock some of the other areas of the negotiations.” It is understood the EU is offering to maintain the status quo with high tariffs severely limiting NZ dairy exports to the continent remaining in place. NZ exporters pay a ¤700 a tonne tariff on butter exports to the EU up to 74,693 tonnes and ¤1896 a tonne for exports in excess of that quota limit. For cheese a ¤170 a tonne tariff is levied for exports up to 11,000 tonnes and ¤1400 a tonne for anything more. The quotas mean NZ is largely excluded from competing to supply the 2m tonnes of butter and 9m tonnes of cheese consumed annually by EU member states. Dairy Companies Association chairman Malcolm Bailey said the EU’s offer to merely maintain current market access is particularly galling given the demands it was placing on the NZ dairy industry to give up the use of European cheese names known as Geographic Indications or GIs.

The EU has made us an offer but it is not satisfactory.

HARD WORK: Dairy Companies Association chairman Malcolm Bailey is struggling to reconcile the European offer with statements made by its officials.

WE’RE MAKING SOME CHANGES TO IMPROVE THE NAIT SYSTEM. Help build NAIT’s capability and protect New Zealand’s primary industries.

Martin Harvey Trade negotiator Bailey said he is struggling to reconcile the offer with recent statements from European officials claiming to be considering replicating the EU’s 2016 deal with Canada in its talks with NZ. Under that deal Canada agreed to preserve the use of names such as feta and parmesan reggiano for the exclusive use of European producers in its domestic market in return for improved access to EU consumer markets for Canadian dairy exports. “If they start talking that sort of deal then we have got to take notice and really think hard but at this stage it is a pretty easy equation if they are asking for something and offering nothing,” Bailey said. The Government’s agricultural trade envoy Mike Petersen said the EU’s position is all the more disappointing given the willingness of the NZ side to hear it out when it came its views on GIs. That contrasts with the position of the Australians who are also in the middle of negotiations with the EU for a free-trade deal and are refusing to even discuss the Europeans’ demands on GIs. “It is probably what I expected, to be honest, and we are just going to have to work our way through this,” Petersen said. Both sides have said they hope to reach a deal by the end of the year.

Have your say on this issue: farmersweekly.co.nz

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News

12 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Delay good for meat exporters

PRIORITY: Getting apples landed in Britain and into chillers is the priority for Mr Apple chief executive Andrew van Workum.

Nigel Stirling nigel.g.stirling@gmail.com MEAT exporters welcome a possible delay to Britain’s scheduled departure from the European Union at the end of next month. The March 29 departure threatened to wreak havoc with chilled meat exports hitting British wharves around that time. British Prime Minister Theresa May will now let MPs vote on pushing back the date if they cannot

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support her exit plan with a two-year transition period. If the House of Commons votes for a delay it is likely to be for a matter of just months. However, that will be enough time for the meat industry to get through its crucial Easter chilled trading period and into the low part of its production season when exports taper off. The Government’s agricultural trade envoy and Anzco director Mike Petersen was in London last week meeting British politicians and farming groups. “It is looking increasingly likely that there will need to be a delay … simply because there is not enough time to pass the legislation to enable Brexit to occur on March 29.” Petersen said meat exporters will continue to plan for the Britain leaving at some stage even if there is a delay. That includes opening new offices on the continent and replicating legal and banking functions from their UK offices to allow trade to continue with the remaining EU member states after Brexit. And while a Brexit delay might solve headaches for some exporters it could create new ones for others. Hastings-based exporter Mr Apple was on track to miss the possible Brexit chaos at the end of this month. Delaying Brexit could see that disruption simply take place a couple of months later if the UK and the EU are still unable to agree a trade deal. Mr Apple chief executive Andrew van Workum said while the company has apples hitting the water from February onwards the bulk of its export business with the UK is done later in the year. “The majority of fruit arrives June, July, August and into September during the latter half of the southern hemisphere window.” Van Workum said getting its apples landed and into chillers will be the priority. “Once it is offloaded in port and goes into cool storage in the UK it can be held for up to three months. “Hold-ups at the ports would be unfortunate but it does not mean that it will deteriorate and be a problem necessarily.”

Kiwi dollar holds firm BNZ is sticking with forecasts of a firm kiwi dollar this year in the US$0.67 to 0.70 range and ending at the upper end. However, strategist Jason Wong noted the dollar has not firmed on recent increases in international market risk appetite, based on optimism for United States-China trade talk progress, the first time in several months that has not happened. That shows the resistance the kiwi faces in making further gains. The bank also noted the latest New Zealand domestic business confidence survey is softer and disconcerting. Wong has fair value for the dollar at about 0.685, marginally above Friday’s levels, helped by a further nudge-up in commodity prices. The kiwi moved below £0.52 as the British currency firmed on indications a Corbyn/ socialist Government might be avoided and reduced risk of a no-deal Brexit. If these trends play out the kiwi could settle below £0.50. His year-end forecast is 0.48. BNZ also forecasts the kiwi easing back to ¤0.57 and A$0.93 from current levels just below 0.60 and 0.96. Wong said the NZ fixed-interest market continues to price in a 50% chance of cut to the OCR by year-end but BNZ believes it unlikely unless the global outlook worsens. – Alan Williams

News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Taratahi bosses were confident TARATAHI’S management were confident they had a survival plan to turn around the struggling agricultural training centre and told the Government so in an email on November 30, three weeks before liquidators were appointed. Documents released by Education Minister Chris Hipkins under the Official Information Act reveal Taratahi planned an extensive programme of costcutting and restructuring and, based on early enrollments, was confident successive years of falling student numbers had been arrested. Chairwoman Mavis Mullins outlined in the email to Hipkins that steps to improve Taratahi’s viability were starting to bear fruit. “The benefits are starting to show both in terms of results, outcomes for students in 2018 and being able to achieve a reasonable baseline of student numbers.” On enrollments she said “While still at an early stage our analysis is suggesting that Taratahi’s volume collapse may have bottomed out.” But it came to nothing with Agriculture Minister Damien O’Connor writing to Mullins on December 10 saying the Government would not provide financial support because to do so would require a substantial level of ongoing support. “The Government has decided that we are not prepared to provide additional financial support to help Taratahi with its financial issues, particularly given its long-term viability is not assured.” On December 19 the board called in a liquidator. O’Connor told Mullins the Government considered providing financial support to address Taratahi’s debt and assist its viability along with the Crown taking ownership of Taratahi.

REJECTED: The Government considered Taratahi’s call for help but decided not to put in more money given doubts about its long-term viability, Agriculture Minister Damien O’Connor says.

While still at an early stage our analysis is suggesting that Taratahi’s volume collapse may have bottomed out. Mavis Mullins Taratahi In an accompanying letter with the released documentation, Hipkins said 2018 enrollments were half what was expected, which added a further $6.5 million to the $4m it was already required to refund the Tertiary Education Commission (TEC), in addition to outstanding bank debt. Mullins said in her email the institutions’ problems had accumulated over many years and assistance for 2019 would give it time to create a long-term sustainable model.

A November 22 report by Taratahi chief executive Arthur Graves for the board said financial viability depended on profitable education programmes, farming profitability and generating revenue from outside formal education. That included making efficient use of tutor time, appropriate cohort sizes, keeping the ratio of overhead costs to tutors as low as possible, creating effective programmes and receiving a learner subsidy that recognised delivery requirements. Graves said changes were proposed for 2019 on the delivery of uneconomic core agricultural programmes. “Programmes will be reviewed to ensure they meet learner and employer needs within the constraints imposed by funding and safety whilst incorporating good practice.” Further changes were proposed. “In particular, tutor utilisation will recognise the expectation that tutors will be allocated to (a)

minimum number of revenueearning hours and that these hours will be used delivering to cohorts of at least nine learners.” Even with costs cuts of between 3% and 5% there remained a disconnect with the TEC learner subsidy, which was about half the cost of delivery. Graves gave an example where improved tutor efficiency and imposing a minimum cohort size of nine, funding required per effective full-time student (eft) could drop from $21,640 to $19,909, still well above $10,000 to $13,000 it received from the TEC. Given those constraints Graves sought a subsidy increase from $13,000 to $22,722 at level two and from $10,820 to $20,558 for level three and above. “At these rates delivery of the core level 2 and level 3 programmes is viable with cohorts of 10.” Other revenue-growing options being explored included increasing co-operation with Primary ITO, expanding forestry

training programmes and building what it called non-formal opportunities. The indicative 2019 budget was based on total revenue of $25,681,377m and costs of $25,242,518m. With a reduction in costs of $883,000, earnings before interest, tax depreciation and amortisation (EBITDA) was estimated at $1,322,347 million. Mullins believed the training institution was turning a corner but still needed a hand up. “Taratahi is confident it can resolve this should a solution be found to the funding-viability issue.” Mullins says as at the end of November it had enrolled 202 efts but with the busiest enrollment period still to occur she was confident 350 efts would be enrolled by February. A further high enrollment period was expected in AugustSeptember with the start of apiculture programmes. Taratahi’s total enrollment for 2018 was 558.19 efts. In addition, Mullins said Taratahi was over-subscribed for its 2019 schools programme, which introduced secondary school pupils to agriculture and its completion rate for 2018 courses was just over 72%, a significant improvement on the 61% a year earlier. “The takeaway is that Taratahi is achieving these changes yet is only at the end of year-one of a three-year strategy to understand and rebuild what is required from its curriculum, business model, education systems, farms and people.” She said Taratahi built a national entity to supply the skills and support that changes required of agriculture by the Government and the public. “To see this through, Taratahi needs a funding solution that reflects the true cost of delivery for agricultural vocational education and training.”

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Together, Creating the Best Soil and Feed on Earth

We’re missing some of our shareholders

Our Share Register includes a number of shareholders who we’ve been unable to contact. We’d like to reunite as many of these people with their shares as possible. Below is a list of shareholders, including the number of shares held. If you, or anyone you know, is on this list please call our Ballance Shares team on 0800 267 266 or email: shares@ballance.co.nz. We have made several attempts to contact these shareholders. This is a notice of Ballance Agri-Nutrient’s intention to forfeit shares made in accordance with the Cooperative Companies Act 1996, section 28(4). On 7 June 2019, we will forfeit the shares held by the shareholders listed below unless, before that date, the shareholder, or his or her personal representatives or agent, or any other person who establishes on reasonable grounds that that person is entitled to the shares, notifies Ballance Agri-Nutrients that the shares should not be forfeited. Shareholder Name

Shares Amount Held Paid up

Adlam, BG and JS

336

$336.00

Aitchison, AG

450

$1,122.30

115

$247.50

$120.80

Allen, RK Allingham, A Allison, TH

1,171 $6,491.50

Anderson, OH

908

$1,132.00

Andrews, T

260

$260.00

Arbuckle, SI Trustee

116

$820.50

Arnold, DK

129

$723.00

Atkins, D

178

$1,014.60

Baigent, V and P

280

$390.00

Bailey, BM

281

$1,595.70

Baldwin, DR and LT

185

$1,110.00

Ballantyne, BR

550

$2,115.10

Barclay, SC

300

$611.00

Barrett, PC

131

$746.70

Barton, MJ and JH

732

$4,167.90

Bell, HW

538 $3,693.90

Bella Farming Ltd

588

Bennett, RD

327 $1,435.90

Berghan, DM and G

1,187

Bidios, GW Bluck, GC and JH

$4,170.60 $7,041.00

$71.00

130

$130.00

Boardman, R and SM

100

Boddie, CJ

269 $1,883.00

Bond, GR Braddick, MW Brick, W and ST Bruygoms, TM

$230.00

Cudmore, R and C and E

$330.00

Daniels, TG

$425.60

Day, RJ

$46.00

Johns, DD

352 $2,000.40

Johns, PS

Deane, AD Dickson, EM and WA Dillon, JR and SJ Dosanjh Ltd Dryland Farm Ltd Duggan, TJ

434

$1,109.90

Redgate, BH

$528.20

Rifle, W

Dungey, EN

Johnston, PM

105

$235.00

Robertson, NW and MA

281

$1,697.10

426

$872.50

Robins, W

516

$2,090.10

1,509 $9,333.00 60

$360.00

$440.00

$6.00

Kameta, HS

Jones, C

375

$375.00

Rogers, Estate LV

Kemp, AJ and BI

230

$230.00

Ross, AD and J

150

$587.10

$368.50

Ross, DJ

354

$903.90

$193.00

783

$5,187.50

Ryan, DM

133

$731.50

2,000 $2,000.00 67

$368.50

1,200 $1,200.00

Schuler, H

496

$498.50

Sewell, RN and S

130

$485.90

120

$422.50

King, DR King, PG

190

279 $1,953.00

582 $3,201.00

Kiwi Dairy Farms Ltd

$528.70

Lala, R

Edwards, JA

576

$576.00

Elliston, RW

187

$187.00

Evergreen Soil Conservation

264 $1,504.80 38

$38.00

Fenton, MD and PW

234

$569.00

Fieldes, SM

109

$389.60

Findlay, RW

778

$1,673.00

Fisher, MI and Gaddes, CM 2,429

$9,530.10

127

Fleuren, FS and Wilhelmus, HG 50

$809.20 $50.00

Forde, Estate JR

$368.50

Forrest, Estate TJ

$30.00

265

$381.00

Fraser, PL

$90.00

Johnstone, GA

208

Fox, W

644 $4,021.80

$719.40

Earwaker, CP

Flay, AW and TM

429 $1,599.90

$341.40

Eade, DA

Farmer, JA

Robertson, C and K

$385.00

King, B and Udy, T

Duthie, MJ

335 $1,842.50

125

193

1,600

$1,782.50

$846.00

Robson, ERS

Shaw, ER and AV

$98.00 $750.00

$53.00

Lees, CJ and KL

300

$1,729.20

Lemberg, CG

425 $1,495.00

Shirley, GA and Thomas, G

Liao, L

100

Simmonds, CF

120

$660.00

Little, Estate RA

538 $2,959.20

Simmons, C and Skelton, D

240

$1,409.70

Lockington Road Orchards Ltd

218

$218.00

Simpson, KV

375 $2,092.70

Longcast Ltd

155

$945.30

Lowe, CG

484 $2,779.80

Smith, AG and AM

$587.70

MacMillan, BR and KL

230

$609.70

Smith, BR and GA

369

$2,144.40

Mailman, RV

195

$195.00

Smith, KR

530 $3,029.80

Maley, FM and ZF

500 $2,750.00

Smythe, AB and WJ

203

$378.00

1,445 $2,482.50

Snow, PG

100

$550.00

Marshall, AW

477 $1,054.50

Sobye, BV

236

$987.90

Martin, BH and SI

369

$441.50

Spencer, KH and AN

281 $1,545.50 852 $3,706.30

Manukau Valley Products

$100.00

Shaw, RM

98 750

Shearer, BD

Singh, SK and Estate JN Smith, A

Freeman, CG

$50.50

Martin, IR

$69.40

Spencer, KH and AN

Galbraith, PJ and CA

$547.20

Martin, JF

266

$266.00

Stevens, EA and MA

$695.10

Stevenson, RJ

1,233 $6,794.40 60

$60.00

267 $1,468.50

$80.00

1,251 $2,274.90

$385.00

Gaudin, S

190 $1,045.00

McElrea, PJ

123

George, AC

320

McGregor, HN

400 $2,200.00

Stewart, NM and DM

319

Sutherland, EC

481 $2,647.30

Sydenham, Estate WP

200

$200.00

T & S Adlam Family Trusts Partnership

144

$864.00

$1,760.00

$5.50

$87.00

Goessi, DR

$350.00

McGregor, KJ

$85.50

Grace, HC

125

$125.00

McInerney, JW and MT

$445.50

Grahame, ML and FR

177

$219.50

McIntyre, MJ

$75.00

Grainger, PB and JS

425

$872.50

McIvor, Estate RE

100

$550.00

Taylor, BH

191

$668.50

McKay, IW

262

$551.00

The Trustees Rangitaiki 29a1

800

$800.00

Thomas, DJ and WM

901

$3,611.00

Gillespie, AJ

Gray, Estate NW

1,206 $1,206.00

$1,758.30

839 $3,038.20

McGregor, JD

$408.00

McKee, JGF and KJ

$478.50

Green, T and H

103

$368.00

McLean, IG and DM

$8.00

Greenslade, W

$66.00

$22.00

Greenwood, JA T/A Mount Te Uku Station

353

$2,012.10

McLoughlin, EL

278

$602.60

McMeekin, AF

601 $1,386.70

518 $1,025.50

Grayburn Farm Partnership

$220.50

Guipure Farm Ltd

$102.00

Haarhaus, P and I Hall, DK Hamilton Family Trust

97 71

$132.00 $123.50

201

$643.00

$210.00 $118.00

McLeod, R

McNaught, WF

$37.00

McNeish, HW

749

$4,119.50

McPherson, JF

164

$928.80

$286.00

McRae, GD and Morton, AN

Thompson, J Thompson, KW Thomson, CM

$52.00

368

$368.00

171

$511.00

Thomson, T and R

600

$600.00 $4,133.80

Tither, BD

750

Tully, R and Watts, S

178

$471.11

Turiwiri Squash Growers

$541.20

Turner, CR

121

$131.00 $242.00

Mitchell, DK

$275.00

Turori, EH

242

Moore, DR

600

$600.00

Ussher Holdings Ltd

924 $6,227.90

$595.00

Morris, LJ

150

$825.00

$33.00

Burns, KJ and CD

226

$226.00

Hamilton, CL and MT

118

Bush, KM

189 $1,039.50

Hammond, JA and JA

417 $2,376.90

Butcher, T and Philp, J

116

Harrison, MA

576

$166.50

Johanson, TG

Duncan, WM

102

$368.50

Rayner, ND and LW

Key, MH

Grenan Hill Farms Ltd

$1,699.00

624 $2,992.80

$385.00

419 $2,318.70

665

Duncan, GJ and DA

Burke, PJ and FH

Jensen, CW

Wade, MD and CL

821

$821.00

Waghorn, BB and RE

400

$400.00

Walker, DJ

448 $2,586.30

Walker, Estate WA

356

$356.00

114

$114.00

Cairns, D

1,491 $1,696.00

Hata, G

150

$150.00

Morrison, GJ and CE

Cameron, WN

562 $1,589.50

Hawkins, AK

221

$1,216.10

Muir, RS

749 $2,802.10

Heaven, B and Robinson, A and Wykes, DJ

294

$1,761.00

Murfitt C TA Murfitt Partnership

144

$864.00

1,275

$1,275.00

Murphy, KJ

600

$600.00

Warburton, JA

Nohotima, Estate TT

375

$375.00

Ward, RG and LML

$330.60

$59.00

Watts, CJ

330

$1,877.50 $300.00

Campbell, CG

$535.70

Campbell, PM

600

$1,587.50

Chalmers, AC

564 $3,105.60

Chapman, Estate WE

562

$562.00

Hedgman, LE and BJ Helm, LG Henderson, WJ

495 $2,809.40 1,318

$7,321.90

O'Carroll, DJ

Waller, RG

2,247 $10,957.40

Chisholm, JM and Estate ER

235

Hewitson, RT

133

$731.50

O'Carroll, MT and A

146

$511.00

Watts, KD and CR

300

Christian, FF

851 $3,760.30

Hickey, JH

125

$125.00

O'Connor, KA

125

$437.50

Webster, KJW

215 $1,225.50

Clark, AD

176 $1,003.20

327

$327.00

Wells, GA

868 $3,509.30

$22.00

Western, RP

221

$781.50

101

$627.00

Wilcock, RW

800

$800.00

$1,295.10

Hill, AJ

532 $2,089.80

O'Donoghue, FP

$396.00

Hill, GJ

195

$195.00

Officer, NA

Clarke, LL

464

$1,851.20

Hill, JM

543

$2,174.20

Clark, RA and GA

Palmer, NA and EJ

Cochrane, T and Hamer, BP

155

$976.50

Holland, HE

774 $4,257.40

Papuni-Aro, Estate R

Cooper, Estate CE

187

$187.00

Hooker, CH and V

1,112

Paul, J

Cooper, MH

761

$765.70

Hopkins, RH and JA

609 $2,264.50

Perry, BF

Copland, RJ

248

$1,563.10

Hull, WG

178

$178.00

Pinny, LR and JM

Coromandel Dairy Trust Ltd

$420.00

Hyett, LJP

$171.00

Corson, AW and WE

$395.10

Irvine, JR

$61.00

Jackson, EA

450

$450.00

Cotter, AD

$254.10

Cowan, PA

162

$892.00

Jenks, TP

$1,112.00

577 $3,629.00

Power, Estate CR Rapa, AM and Young, S Ray, CI Raymond, PO

$30.00

Wilde, DRJ and JL

1,481 $4,944.80

106

$295.90

Williams, KJ

200

$180.00

Winchester, AD

$478.50

Winter, NR

$368.50

1,119 $4,083.00 173

$200.00

$392.00

Woodley, D

144

$224.00

1,050 $3,305.50

Wright, AH

1,239

$5,017.10

Yeo, PG and RA

133

$762.00

Yewdall, P

117

$122.70

$65.00

1,500 $1,500.00

News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Ewe hogget contest entries now open Annette Scott annette.scott@globalhq.co.nz ENTRIES are open for the 23rd annual Ewe Hogget Competition, aimed at identifying top farmers and rewarding excellence in the sheep industry. The annual event boasting $20,000 in prizes is a chance for farmers to benchmark their flocks against others at local and national levels. It’s also a chance to compare different farming systems and learn from other competitors as well as the judging panel, national competition convener Stephen Rabbidge said. “All farmers are invited to enter. Give it a go – what better way to assess your progress.” Rabbidge said farmers’ achievements deserve more recognition. The annual contest continues to gain momentum in promoting excellence in the sheep industry. “It is now more important than ever for sheep farmers to have an efficient and profitable business. “This competition provides the ideal opportunity for entrants to compete and compare to ensure future success,” Rabbidge said. NZ Sheep Breeders’ Association general manager Greg Burgess said the success of the competition is due to the commitment of volunteers and support from sponsors. The competition identifies top operators and rewards excellence with the objective being for farmers to select flock replacements likely to be most productive and profitable over their lifetime. Last year there was a good response from North Island farmers and organisers are hoping that continues this year. Entries close on March 15 for the North Island and March 25 in the South Island. Entrants must have 90% of replacement ewe hoggets with a minimum of 300 wintered. Ewe hoggets must be bred by the exhibitor with all breeders of flock hoggets from commercial

sheep eligible to enter the competition. Points are awarded for flock performance, phenotype and breeding objectives. The national judges are Charlie Seymour, Dave McKelvie and Keith Hamill. The competition concludes later in the year with a field day on the national winner’s property.

Email greg@nzsheep.co.nz or go to www.nzsheep.co.nz

WINNERS: Mez and Richard Power receive the 2018 competition supreme winner’s award at the presentation in Christchurch.

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RICHARD Dawkins of The Pyramid has entered his family sheep and cattle business in the 2019 Cawthron Marlborough Environmental Awards and is up against forestry, marine, wine industry, landscape/habitat, community innovation and business innovation entries for the supreme title. The winners will be named on March 22. The Pyramid is in contention for the Federated Farmers Award for sheep and beef entries. The operation includes a triplet-ewe indoor lambing system, Jersey bulls for the dairy industry and an apiary. Fifteen percent of the farm is in forestry with waste wood going to a family firewood business. A 50-hectare sauvignon blanc vineyard has recently been established. Other entrants include projects ranging from steam cleaning of wine barrels to harvesting invasive seaweed to make fertiliser. Chris Dawkins has already received the judge’s feedback and described the judging process as a valuable experience. “To have an independent critique of our operation and a comprehensive judging report was an added bonus.” The Cawthron Awards are different from other New Zealand environmental awards in that they cover a range of industries and community projects.

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News

16 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Grape yield under threat MARLBOROUGH is experiencing a hydrological drought. Lack of rain in the mountain catchment has left the Wairau River low, Marlborough District Council hydrologist Val Wadsdworth said. And summer storage capacity on the plains has been found wanting as a result. January rain of 18mm was soon sucked up by 30C plus temperatures in February. What is hurting grape growers most, however, is the record duration of irrigation switch-off. Wairau River flows are tracking in a similar vein to 2001-02 when irrigation takes for Class A consents were off for 19 days then 14 days.

One guy had just bought a vineyard and needs a crop or he’s out financially. Murray Gibbons M and J Gibbons The difference is that this is now a 28-day streak and counting. And it’s a time when vines really need water to feed berries so the stakes are higher. There are now 2000 hectares of vineyards in the Wairau Valley, where in 2002 there were no grapes, and an extra 1000ha in the Southern Valley area, Wadsworth said. Farmers without sufficient storage or aquifer back-up have resorted to carting water to keep sauvignon blanc crops worth around $24,000/ha from shrivelling. Carted water costs at least $13 a cubic metre, a big step up from the $0.24 a cubic metre charged for water from the Southern Valleys Irrigation Scheme. A 15ha block carrying $375,000 worth of fruit can shed up to 40% of yield worth $150,000 if seriously under-watered. The Wairau River dropped below eight cubic metres a second on February 2, triggering switch-off for 60 users. They included one big user, the

high-pressure piped SVIS, which services about 300 properties covering 4680ha, including more than 2000ha of grape crops south and west of Blenheim. Thirty Waihopai River users were affected when Class B takes were stopped January 31. Two attempts during the 2000s to build a dam for all SVIS users or add extra height to the existing Delta Dam did not attract enough support from subscribers in the Southern Valleys zone. Some growers already had permits for aquifer takes while others built small dams, some of which are nearly empty now. Wadsworth said increasing aquifer allocation is not an option because they are already over allocated. “The Ben Morven aquifer dropped six metres at the end of January.” Growers are tightly restricted in taking stream water for dams, meaning dam water has to be filled from existing irrigation schemes at a cost. Between 1995 and 2008, 120 permits to dam water were granted by the council. “Ponds to store water from an irrigation scheme or rivers at high flow are the way to go,” Wadsworth said. There are 20 storage ponds in the SVIS area but about a third of users don’t have back-up. M and J Gibbons truck firm owner Murray Gibbons has been topping-up dams and pumping into storage tanks since Waitangi Day. “Two clients have tanks on the vineyard while seven have dams that are emptying fast so we are topping them up. “Since the scheme went off I’ve had five trucks carting up to 24,000 litres although I’m also needed for shifting wine. A shortage of drivers is a problem. I’ve even roped in a mate from Timaru.” Gibbons said he’s had desperate growers at his door, which he describes as heart-breaking. “One guy had just bought a vineyard and needs a crop or he’s out financially. “Our community depends on the grape guys having a good year.” Trucks have been sourced from out of town to meet demand. One vineyard has installed a 100,000 litre bladder on a pad to store water, he said.

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DRY WINE: Brancott Road grape grower Ian Anderson is one of the 100 growers affected by the 28-day (and counting) shutoff of Class A water takes from the Wairau River. His 3000 cubic metre dam is almost empty, despite rationing vines to half their normal allocation.

The council has provided a temporary water fill-up site at Riverlands Industrial Estate, which typically has a queue of three trucks. “It’s going to be a perfect storm when harvest gets going next week with trucks needed for wine going out, juice coming in and water been carted,” Gibbons said. Yellowing of leaves, shrivelling of bunches and, in the worst case, complete defoliation of the ripening powerhouse canopy can be seen in the district. Australian research shows expected yields can fall by up to 40% if vines are water stressed from veraison (the onset of grape ripening and colour change) to four weeks post-veraison from a lack of cell enlargement in the berries. Farmlands technical adviser Lachy Hynd has 80 vineyard clients and describes the blocks without back-up storage as in trouble. “If you can’t water, sugar levels don’t increase and berries remain rubbery balls at low brix (sugar content). “Options are being discussed like cutting off a cane, sacrificing one block to direct more water to other blocks on heavier soils or harvesting earlier at lower brix.” His clients with water are having a great ripening year while others are talking about extending storage dams next year. LK0094416©

Joanna Grigg

Not a drop

IN DANGER: Pinot noir ripening on Ian Anderson’s Wrekin Road vineyard, Marlborough. With the Wairau River flow low, on-farm storage is becoming exhausted and growers are resorting to carting in water to topup dams. IAN Anderson hopes his 3.6 hectare block of pinot noir, chardonnay and gruner veltliner grapes will bring in $90,000 this vintage. However, consistently low flow in the Wairau River has seen the Southern Valleys Irrigation Scheme, servicing 4680 hectares, off for a record 28 days. No reprieve of even two or three days means he has been unable to top up his dam to give the vines the best chance to yield well.

Four litres a vine every second day is about half of what’s needed, he said. Anderson also manages blocks for 10 other growers and one of them has no storage or aquifer allocation back-up so yield loss is expected. Even a 20% drop in yield means $5000/ha less income. “Like other growers I’m looking to increasing storage capacity next year by recommissioning an old dam.” It’s chalk and cheese. Last February he had 200mm of rain.

News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Virus still confined to Canterbury

CONFINED: So far the potato mop top virus has been found only in Canterbury but nationwide testing is starting.

Annette Scott annette.scott@globalhq.co.nz POTATO mop top virus, found in New Zealand in September, has now been identified in 13 paddocks with a further 18 paddocks under surveillance. All are in Canterbury but PotatoesNZ is going nationwide to test for the virus. With eradication deemed a no-go for the virus the industry is now working towards long-term management of the disease. “On that basis we are moving to long-term management and there are a series of steps we need to take to do that and we are in that process now,” a Potatoes NZ spokeswoman said. “In long-term management there are a number of options we can look to take and we are working through those.” Biosecurity NZ and PotatoesNZ are working together on what the management programme will look like. PotatoesNZ will consult growers, the wider industry and other interested parties. “To assist with some of this work we have welcomed a new technical assistant team member who is tasked with doing surveillance on potato mop top virus and to work in the field with farmers as we undertake greater surveying around the country.” The potato industry is starting to test tubers for the virus in the North Island. “It very much looks like potato mop top virus is contained in Canterbury but we need to check.” It is still unknown how the virus got to NZ. “And as is the case with most of these biosecurity incursions, the Ministry for Primary Industries never finds the source as it’s very difficult to track.” PotatoesNZ is evaluating whether a pest management plan will be a suitable method to prevent the further spread. To establish that the industry body will consult growers, the wider industry and other interested parties. As the positive results have been found in Canterbury the work will initially be focused on Canterbury with technical workshops also planned for Pukekohe, NZ’s other main potato growing area. The virus is transmitted by the soil-borne fungus that causes powdery scab (Spongospora subterranea) and can survive long-term only in the potato plant or in the fungus. Once established in fields the virus can survive in the fungus for up to 20 years. The infection can be either directly from the infected mother tuber or by a powdery scab infection of the roots. Specific on-farm management measures include not growing potatoes in affected paddocks, cleaning and disinfecting equipment, machinery and vehicles to avoid spreading soil between paddocks and properties and using signs to ensure workers and visitors are aware of biosecurity hygiene practices. The virus is a notifiable organism under the Biosecurity Act. It is not a food safety issue and people can trust potatoes to eat. It is manageable if it becomes established. The disease is established in North America and Europe where it is generally managed effectively without causing major production losses but where it is poorly managed it can create production problems. If growers suspect they have found the virus they should contact the BiosecurityNZ pests and diseases hotline on 0800 80 99 66.

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News

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Seeka thrives on a big season Alan Williams alan.williams@globalhq.co.nz SEEKA’S aggressive expansion is paying off despite challenges in Australia and with the banana selling business. Strong profitability in its kiwifruit post-harvest operations compensated for some of the under-performance. Seeka is expanding cool store capacity and packing capability to meet both growing kiwifruit production and higher market share, chief executive Michael Franks said. A good part of that is in Northland where the group bought substantial kiwifruit orchards and infrastructure last year, with the orchards being onsold at a profit and the company locking in long-term supply agreements with the new owners. Revenue for the year ended December 31 rose to $203.7 million from $186.8m a year earlier. Operating earnings (Ebitda) rose to $26.2m from $23.1m and the after-tax profit had a 27% rise to $7.42m from $5.83m. The bottom-line result allowed for a $1m write-down in the value of the banana business, described as lacklustre. With NZ kiwifruit volumes rebounding last year the group packed its second highest trays tally, 31.4m trays, a 23% rise, including 10.8m of the SunGold variety. Infrastructure and staffing were put in place to ensure fruit was processed at optimal maturity for fruit storage and quality, including industry-leading 0.78% fruit-loss results for SunGold handling, Franks said. The post-harvest business, by far the group’s biggest activity, lifted revenue to $123.8m from $96.7m, and operating earnings to $32m from $21.9m. Orchards had revenue of $52.8m and operating earnings of $3.4m, compared to $48.5m and $6.37m previously.

BRIGHT: Despite setbacks the outlook for Seeka in Australia is positive, chief executive Michael Franks says.

Seeka faced a difficult year in Australia. Michael Franks Seeka The retail service operations, including the banana division, had lower revenue and an operating loss. The Australian business, mainly kiwifruit, went from operating earnings of $2.25m to a loss of $1.4m on revenue down to $14.8m from $16.5m.

“Seeka faced a difficult year in Australia,” Franks said. The management team there was restructured. The Psa-V disease was found in a small area of the Australian orchards but had little effect on earnings, he said. Seeka has changed some of the varietal mix and there will be a delay of a year in new orchards coming into production. Franks said the orchard development, with 53ha of new kiwifruit over the next five years, will provide significant opportunity and the new development plan, along with management changes, provides a positive outlook. In NZ $18.56m will be spent

over the next two years increasing kiwifruit pack house and cool store capacity at the Oakside plant in Bay of Plenty and $17.6m on new pack house and cool stores at Kerikeri for the Northland business. Both developments are under way. Seeka is already well established with growers in Northland and new growers have so far committed to supply 250,000 trays of kiwifruit. The acquired Northland business was absorbed seamlessly in mid harvest and had performed to expectations operationally and financially, Franks said. Seeka bought 140ha of orchard land from T&G and at balance

date had 54ha of that under conditional sale contracts with a further 86ha to be marketed this year. The sales made a modest gain of $616,000, with further gains expected. Seeka is also active in avocados, pears and kiwiberries. The group reduced its borrowings during the year to $79m from just over $83m while increasing total assets to $269.7m from $222m. The ratio of shareholders’ funds in the business increased to 57% from 44% a year earlier. Shareholders will receive a 12c a share final dividend on March 22. That lifts the total payout to 24c a share, up from 22c previously.

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News

20 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Problems stack-up for Comvita Alan Williams alan.williams@globalhq.co.nz A COLLAPSE in North American sales appears to be hurting manuka honey business Comvita the most, pushing it into a halfyear loss. Significant changes to the group’s overall strategy were made to make it more sustainable and competitive but some of them took longer than expected to conclude and the financial gains were slower to materialise, chairman Neil Craig said. The after-tax loss for the six months ended December 31 was $2.7 million compared to earnings of $3.7m at the same time a year earlier. Revenue fell to $77.7m from $83.6m and operating earnings (Ebitda) to $1.3m from $9.9m. “It has been a challenging first half,” Craig said. The prospects for the full year to June 30 are disappointing, compared to forecasts at the latest annual meeting, chief executive Scott Coulter said. Despite the loss, operating cashflow was positive at $6.33m, compared to an outflow of $17.4m previously. The revenue shortfalls and poor manuka honey production

in the northern North Island before Christmas mean it is likely Comvita will fall short of last year’s $8.2m full-year earnings, Craig said. The share price slumped in NZX trading after the earnings report, down 92c or 18% to $4.25. North American sales fell to $8.05m from $19.55m a year earlier and the hit on operating earnings there left a figure of $1.04m, down from $8.79m.

It has been a challenging first half. Neil Craig Comvita An expected replenishment order from the group’s biggest North American customer had not yet been received. Management has taken steps to broaden the customer base from the dependence on that customer. The new revenue will materialise either late this financial year or early in the next. Comvita has also changed the

business model in China, to build up the direct sales and earnings in the joint-venture company there and reduce the reliance on the daigou market out of New Zealand and Australia into China. A key part of the changes is to harmonise prices between the various sales channels into China but it took longer than expected to finalise sales agreements with all major cross-border e-commerce sellers into China. “We believe that between our joint-venture, the formal crossborder e-commerce and the daigou sellers we now have all bases covered to optimise profit on sales to Chinese consumers in the long run,” Craig said. Coulter said joint-venture sales expectations are now on target and gross margins are improving because of the pricing actions. Chinese sales rose 85% to $6.62m during the half-year and major markets Australia and Asia (excluding China) had good revenue growth. NZ and European sales weakened. The manuka honey harvest was effectively finished for the season. After the poor northern results excellent yields were achieved from central and western plantations in the North Island.

The total crop was lower than budgeted but significantly better in quantity and quality than in the previous two seasons. Comvita plans to plant about 2000ha of manuka seedlings on marginal land in central North Island high country each year. It has borrowed significantly to buy manuka honey inventory. The total honey inventory in late February was worth $120m, was high quality and would grow in value while in storage, the company said. As more honey is produced and sold the net borrowings will decline. The net debt now is $95m compared to $104m on December 31. Coulter believes the benefits of the various changes will be fully appreciated during the second half of the year and beyond. At balance date Comvita had total assets of $327m and shareholders’ equity of $187m, a ratio of 57%. Equity was about the same at the same time last year when total assets were $296.6m, a ratio of 63%. IMPROVING: The benefits of business changes will be evident later this financial year, Comvita chief executive Scott Coulter says.

Apples and tomatoes challenging for T&G Global Alan Williams alan.williams@globalhq.co.nz A POOR growing season for apples and other challenges caused a sharp fall in T and G Global’s earnings last year. Apples are the biggest part of its operations but that division’s operating profit rose very marginally to $27.7 million pretax on worldwide sales up nearly $90m to $662m for the year ended December 31. That income was nearly half the group revenue of $1.18 billion and by far the best across

the operating divisions. Total group revenue was up $120m year-on-year. International produce had earnings of just $3.28m from sales of $266.7m, New Zealand produce $1.27m from sales of $231.5m and the food processing business made a loss of $6m on sales of $27m. T&G’s operating profit before interest and tax (Ebit) fell to $15.6m from $27m a year earlier and the after-tax profit from continuing operations was $10.39m, down from $40.24m. After allowing for a $2m loss

North Island entries close: 15th March

on discontinued operations, the bottom-line profit was $8.3m. Chinese tariffs affected returns. NZX-listed T&G is 74%-owned by German group BayWa and Hong Kong-based Wo Yang owns just under 20%. T&G’s new chief executive Gareth Edgecumbe, who joined in July last year, did a strategic review of the business, with a new focus on driving global growth in apples, simplifying the operating model and leveraging off the strong NZ base, the company said.

T&G’s pipfruit division is expanding off the strength of the premium Jazz and Envy varieties, which are now grown in both the northern and southern hemispheres to ensure yearround supply. Apple pricing was strong in Britain and Europe and Asian sales grew strongly. Envy, in particular, has a loyal Asian following with markets and sales expected to continue growing. Envy is being produced under licence by growers in Washington state in the United

States, achieving good yields, Edgecumbe said. The US crop doubled in volume last year and would do so again this year. T&G and Plant and Food are developing new varieties. After a record result in 2017 the NZ produce division earnings fell by just over $8m, mainly through poor growing conditions for tomatoes in early 2018 then an oversupply later in the year. T&G sold its kiwifruit orchards and infrastructure in Northland last year and will continue to sell non-core assets, it said.

farmersweekly.co.nz/ewehogget2019

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News

22 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Knocking farm stress for a six farmstrong.co.nz

BAY of Plenty farmers and growers have formed a social cricket team to make sure they get off farm more often and stay Farmstrong. Paul and Pip Walker run a 300-cow, 90-hectare dairy farm at Pongakawa, just south of Te Puke. He grew up on the farm, spent his twenties working in the corporate world then returned in 2005 to continue the family legacy. He’s the third generation to farm the property and is working hard to make sure the next generation, his kids Angus and Bella, get the same chance. “I’ve always liked animals and working outdoors,” he said. Walker enjoys the little moments too. “Snapshots, I call them. The things you get to see in farming that other people never see. You’re waiting for a cow to calve at midnight and you’ve got a sky full of stars. I take that all in and it gives me a lot of satisfaction.” There are plenty of challenges waiting on-farm, however, to bring him back down to earth.

Pongakawa can get very wet in winter and the farm is low-lying, just above sea level. Flooding can be issue. “If we have a cold, wet winter it can be a real slog. Sometimes it lasts into November. “When you’re pulling calves out of mud those winters can feel very long. And if your animals are under stress it puts you under stress.” Walker’s working life is never less than busy. He has only one full-time staff member so scheduling time off isn’t easy. “I get a bit jealous of the larger farms that have a bigger roster because extra people make it easier to rotate staff. It’s not economically viable for us to have more staff so time management can be a real struggle. You need to think outside the square to get your breaks.” So that’s what he did. Two years ago he formed Benaud’s Backyard Bumpkins, named after Australian cricketer and commentator Richie Benaud, a social cricket team comprised of local farmers and growers. Once a week for 16 weeks

GOOD BLOKES: The Backyard Bumpkins are a group of growers and farmers who make sure they have time to relax and enjoy each other’s company.

every summer they get together to recharge their batteries, get some exercise and banter over a beer. Walker even rustled up team uniforms through Maintrac, a local agricultural machinery company. You might think running a cricket team and organising sponsors are the last things he needs on his plate but the

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opposite is true, he says. “When you live where you work you definitely need an excuse to get away. It might be just one night a week but the cricket makes you get off the farm and allows you to let off steam with other guys who can relate to your situation. They’re doing long hours like me. They know how stressful flooding can be. They get it. “So, even though the season starts in the spring when we’re all busy, we still make sure we get out there and have a game each week. It relaxes you. You come back feeling refreshed and motivated.” It isn’t just Walker who’s noticed improvements in mood. “Our partners and wives have all commented how beneficial it’s been. That’s why they’re keen to make it happen too. The trick is to just plan for it and find the time like any other task on the farm.” Walker also gets pleasure from organising the team. During the winter he swaps codes and helps run the local junior rugby club with Pip for the same reason. He has some simple advice for farmers who don’t take their breaks. “Check out the Farmstrong website, watch their videos of farmers. If you’re feeling stressed or under the pump you’ll soon understand why you feel the way you do and what you can do about it.” A Farmstrong workshop on Healthy Thinking in Papamoa a few years back was a lightbulb moment for him. It made him realise he had to get serious about taking better care of himself. “It also opened my eyes to a different way of thinking. “In farming you can get into a pattern of negative thinking. But Farmstrong shows you how you can coach your mind to have more constructive thoughts. Nowadays, when I’m in the middle of a wet season, I tell myself ‘the sun’s going to rise tomorrow and it’s just about taking it a day at a time and I’ll get through’. And it works.” Workload was an issue he addressed too. “In farming you could just keep going 24/7 if you wanted to. There’s always something else you can do. But no one can go hammer and tongs the whole time. You’ve got to look after

yourself or you’re not going last. “So, last spring I promised my kids I’d take them to the snow and even though we had a wet calving and there was plenty going on that could’ve made us not do it, I made myself stick to it and the kids learnt to ski.” These days he’s a regular visitor to the Farmstrong website. “It has so many resources that can help. It’s really simple stuff – eat well, sleep well, exercise and then your brain can function properly and everyone around you benefits – farm, family, staff.” Walker recently started Farmstrong ambassador Sam Whitelock’s Turn on Your Core body-conditioning exercises to keep in better shape for his physically demanding job. “It’s just a basic set of warm-up exercises but it’s so quick to do it there’s no excuse not to. Having good core strength helps out massively in terms of avoiding injuries.” Achieving a decent work/life balance will always be a work-inprogress. “When you’re self-employed you tend to take it on the chin a bit more. There’s no employment contract limiting your hours. So it’s easy to do 60 to 70 hours a week or a few months in a row without a full day off. But it does take a toll. The stress adds up over time without you realising it, just the relentlessness of it.” “It’s no good for your business either. You’re not efficient. When you’re tired the simplest of decisions and tasks can become very difficult.” Walker learned the hard way about how hazardous fatigue can be. “Ten years ago I was very tired after calving and we were having issues with an old fan belt-driven water pump. I went to check it and realised there was a burr in the belt itself but because I was exhausted, rather than turn the machine off, without thinking I put my hand in the middle of the fan belt and it went through the pulley. It caught me and I lost a finger. It was a hell of a lesson – you’re not much use on a farm when you’re tired.” is the official media partner of Farmstrong

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Newsmaker

24 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Irrigation issues in Soal charge Elizabeth Soal started her new role as chief executive of Irrigation New Zealand last week and while a lot of challenges lie ahead there’s also a load of opportunities for the irrigation industry. She talked to Annette Scott.

country are still experiencing very dry summer conditions, highlighting the importance of irrigation and water storage for our communities,” she said. Looking ahead Soal said it’s a very exciting and challenging time for the sector. “There are a lot of national and regional processes occurring that will affect our members. “Through IrrigationNZ’s renewed strategic focus on advocacy we will be seeking to ensure that these effects are well understood by the key decisionmakers and we are looking forward to working on these issues on behalf of members, communities, the environment and the wider external parties involved. “As people become more aware of the limitations on water availability there is a trend to adopt newer technology to improve water use efficiency and effectiveness.” Friday 15/04/2019 Climate change Mid-Canterbury Branch of Black & Coloured Sheep is a big issue. Breeders Association “This will result Annual Conference at The Redwood 340 Main North Road, in changes in Redwood. Open Day Friday 15th April 2019. rainfall with more Fleeces, Sheepskins, Knitwear for sale. high-intensity Contact: Georgie on 03 325 1288 for more information. rainfall events but AWDT Understanding Your Farming Business & Wahine longer periods of Maia, Wahine Whenua drought, which 3 full-day workshops and an evening graduation ceremony run over four months. Equips and supports women involved will mean we in sheep and beef farming to lift business performance. will be looking at Registrations for 2019 programmes are now open, visit the significant changes website for more information and to register. in the levels of Locations and dates (3 modules & graduation): water bodies in the Dannevirke: 24 May, 21 Jun, 19 Jul & 16 Aug future.” Website: To register visit www.awdt.org.nz/programmes NZ will be faced Contact: keri@awdt.org.nz or 06 375 8180 for more with increased information flooding events, RMPP Action Network – Facilitator training courses urban water For rural professionals or farmers looking to run an Action supply shortages Group under RMPP Action Network. No course fees. and more demand Register at www.actionnetwork.co.nz/page/training for irrigation in Lead Facilitator workshops existing and new 2019 course dates: 21 & 22 March – Dunedin areas. RMPP Action Network Fundamentals and Extension “But it’s not just Design (two-day workshop) an issue which 2019 course dates: affects irrigators. 27 & 28 March – Palmerston North “To resolve RMPP Farm Business Transition and Succession this we are going Workshops to need to have Register now for the upcoming series of workshops on some significant the transition and succession of the family farm business, discussions aimed at helping sheep and beef farmers navigate what around improving can often be a difficult process. our infrastructure Participants are required to attend three half-day workshops run over a three to four month period, followed in urban and by a one-on-one clinic. The workshops are fully funded by rural areas and RMPP. that includes Check out www.rmpp.co.nz for locations, dates and to our natural register. For more information email training@rmpp.co.nz infrastructure or call 0800 733 632. and our irrigation RMPP Aspiring to Farm Business Ownership Workshop infrastructure in This one-day workshop covers the vision, values and order to improve strategy for young farmers or farming couples aspiring to our resilience.” farm business ownership through purchase, leasing, sharefarming and equity partnerships. Soal also expects Check out www.rmpp.co.nz for information on locations, to see changes in dates and to register. the role of iwi in This workshop is fully funded by RMPP. For more informthe governance ation email training@rmpp.co.nz or call 0800 733 632. and management of water. “We don’t know Should your important event be listed here? yet what those Phone 0800 85 25 80 or email adcopy@globalhq.co.nz changes will look

UBLIC awareness of water quality and how it is used is changing the debate around water policy, Irrigation New Zealand’s new chief executive Elizabeth Soal says. “The wider public is becoming more involved in debates and this trend will continue in the future. “A lot of the issues around water resources are complex and are long-term issues that are hard to distill into sound bites.” But the complexities often get lost in media coverage, which tends to simplify the issues. “People also adopt entrenched positions and it is difficult to get a genuine discussion around the issues. “Right now we are close to autumn and many parts of the

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WIDER ISSUE: IrrigationNZ’s new chief executive Elizabeth Soal says the wider public is becoming more involved in water debates and this trend will continue in the future. Photo: Annette Scott

like but they will also have an impact.” IrrigationNZ’s future strategy identifies key priorities for the future – to work on advocacy for the sector, improve its information base and have good training and standards that encourage ongoing improvement. Clear signals from the Government are that the ways irrigation will develop in the future are not the same as how irrigation has developed in the past. “So, we need to think about what the irrigation sector will look like in 20 years time and start planning for that now. “Advocacy is the most important activity from our strategy goals and this includes helping deliver the message that irrigation is key to community wellbeing. “Irrigation has been demonstrated to be one of the most effective ways to improve community wellbeing with studies showing irrigated areas have increased employment rates, more high value jobs and an increase in school enrollment numbers. “This, in turn, leads to improved outcomes in a number of other areas, including health and social cohesion.” IrrigationNZ has recently adopted a new strategy targeted at creating an environment for the responsible use of water for food production. The strategy focuses on advocacy, encouraging innovation through sharing ideas and adopting new technology, developing a robust information base, bringing the irrigation sector, researchers and decisionmakers together to make better decisions for the future and

creating world-leading irrigation standards. With a strong background in water management, law and policy Soal is well qualified to contribute to the goals and to national discussions as IrrigationNZ strives to achieve solutions to complex issues around water allocation that result in good outcomes for both communities and the environment.

We need to think about what the irrigation sector will look like in 20 years time and start planning for that now. Soal has worked as the director of strategy and policy at Waitaki Irrigators Collective for the past eight years and also served on IrrigationNZ’s board from 2011 to 2016. Until recently she sat on the technical committee of the International Alliance for Water Stewardship, based in Edinburgh. She has previously worked as a policy adviser for the Ministry of Social Development, at the Ministry of Justice and at law firms in NZ and England. She has a Master of Arts in politics, a first-class honours degree in politics and a law degree from Otago University. She is now working towards a PhD in geography focusing on freshwater governance in NZ. “I may sound openly ambitious setting out on this journey but I’m looking forward to it. “There are a lot of challenges

but there’s also a lot of opportunities and we need to be sure we can face those opportunities as part of addressing the challenges. “I am looking forward to leading the implementation of IrrigationNZ’s new strategy, which, I think, will take the industry in a really positive direction. “Managing our freshwater effectively while reducing our environmental footprint is critical for the wellbeing of our communities and for NZ as a whole.” In June IrrigationNZ hosts its first-ever trade show, IF.2019 – Irrigation Futures. The two-day exhibition and professional development platform will showcase both NZ and international exhibitors, industry leaders and influencers, who will form the biggest collective platform ever presented by IrrigationNZ. “I’m excited about the opportunity to participate in national-level discussions about these important issues.” While IrrigationNZ is based in Canterbury, Oamaru will remain home-base for Soal who will spread her time between North Otago, Canterbury, Wellington and Hawke’s Bay and other parts of the country as industry issues demand. In her spare time Soal plays squash and touch and enjoys gardening and reading. She has previously chaired North Otago Women’s Rugby and was the deputy chairwoman of the North Otago Rugby Union. Soal takes up the reins from former chief executive Andrew Curtis who left the position in January.

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RED ---------- 1500 BLUE ---------- 2000 GREEN ------ 2500 CYAN --------- 3000 S-SHEETED PANEL

THE INFORMATION CONTAINED IN THIS DRAWING IS PROPRIETARY TO FARMQUIP AND SHALL NOT BE REPRODUCED OR DISCLOSED IN WHOLE OR IN PART OR USED FOR ANY DESIGN OR MANUFACTURE EXCEPT WHEN SUCH USER PLAN No. POSSESSES DIRECT WRITTEN AUTHORISATION FROM FARMQUIP.

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New thinking

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

GETTING WARMER: Dr Tara Strand and colleagues on an experimental burn this summer.

Studies smoke out fire behaviour The risk of summer fires is a constant farmers and foresters learn to live with. But the Port Hills fire in 2017 and the Nelson fire last month have brought a human threat to wildfires many Kiwis thought was confined to Australia and North America. With wildfires now affecting rural and urban people Richard Rennie spoke to Scion rural fire researcher Dr Tara Strand about how we are getting smarter at understanding rural fires.

TEAM of Scion researchers is part of a 27-year history of research into New Zealand’s rural fires, a quiet brigade of climate experts and fire analysts whose job is to help make rural firefighters’ jobs more effective and safer. Lead researcher Dr Tara Strand says NZ is in a unique position internationally thanks to the excellent relationship between researchers, Fire and Emergency NZ, the Conservation Department and other rural fire responders who work together contributing resources and skills to better understand how to manage wildfires. And the work is starting to prove the traditional understanding of how rural fires behave is not always correct. “The original theory on fire behaviour was developed in the 1940s. It was based around fire being spread through radiated heat with the fuel in front of a fire igniting once it was heated and spreading on from there.” However, in recent years this basic theory has proved difficult for capturing extreme fire spread as witnessed in recent wildfires. Improved technology now indicates wildfire behaviour is not as simple as previously thought. “In the United States our counterparts (US Forest Service) are seeing things in their fire lab that demonstrate fires are moving differently. “They are spreading through convection (rather than radiation) where the hot air in a fire rises, cold air sweeps in under that and

the fire’s flames effectively are pushed forward into the fuel, causing a rolling pulse effect that spreads the fire through flame contact with the fuel elements.” Last summer US researchers were excited to come to NZ to prove the new theory with Strand and her colleagues. They initiated the first of several field burn experiments, the first using crop stubble of wheat, barley and triticale. With carefully placed temperature and wind sensors and high-speed thermal imaging cameras the burn results did much to support the new theory on fire progress. The stubble burn plots were large areas comprising about two hectares, where the evenly spaced crop rows and uniform stubble height mimicked laboratory fuel conditions as closely as possible. “What they saw in the lab, we saw in the field.” Further burn trials will progress to gorse then wilding pine plots to test the new theory in more complex vegetation fuel arrangements. Strand said NZ cereal crop farmers are generally well versed in good fire control with little evidence over the past 100 years of those farmers injuring or killing themselves from such a practice. However, burn-offs do escape so improved access to fire weather information and understanding good practices is needed, especially in a changing climate and social-environment. The research by her team

includes a study of the human factors behind wildfires and work is under way on behaviour and attitudes post the Port Hills fire. “There is also quite a bit of work looking at building community resilience to fire events in Northland, given areas can be isolated and help can be some way off when needed.”

There is also quite a bit of work looking at building community resilience to fire events in Northland, given areas can be isolated and help can be some way off when needed. Dr Tara Strand Scion Fire authorities worldwide are also witnessing more urban wildfires, with fires less likely to be remote events on a forested horizon and more in the rural-city fringe. It means understanding how to manage populations caught in them is becoming critical. Strand said the recent Nelson fire will be regarded as a good case study in the application of sound fire behaviour knowledge to support evacuation decisions and when it is safe to let people back into their homes.

Other research work promises to deliver a prediction tool that will ultimately be available to farmers, foresters and fire agencies to link into via an a web interface or phone application. The NZ Real-time Fire and Smoke Modelling Framework is under development and will bring in local data sources, including satellite data. The framework is the engine that sits behind decision support tools, such as real-time fire prediction and smoke modelling. It will allow for early warning, best-guess predictions on a new fire’s likely scale and impacts to be sent to local authorities, allowing them to use resources accordingly. The Nelson fire provided the researchers an opportunity to run parts of the programme, providing real-time smoke level predictions. “We also plan to work on a what-if tool that will use the framework for farmers and land managers who do controlled burn-offs. “They can run what-if fire and smoke scenarios with weather, fuel and burn area data and see what the outcomes are likely to be and if, for example, their burn-off might place smoke over an airport or dilute quickly given the wind conditions.” As farmers in an increasingly crowded, subdivided hinterland deal with the reverse sensitivities of non-farming neighbours, such a programme will provide proof they have exerted due care and research before igniting their burn-off.

The Government is actively promoting an extra 50,000ha of trees be planted and that will change the fire risk. “But the fire risk will really depend upon what species and where those trees are planted. If it’s on the West Coast, for example, the risk is not as high. “A greater concern is the knowledge gap we have in any information about how fire spreads through indigenous plantations, which are also being encouraged. “Some indigenous trees take a while to start to burn but once going are hard to stop – cabbage trees for example can explode. “Often these trees will grow above exotic scrub weeds which we do know can burn easily. We also know manuka is a high firerisk species.” Work by the researchers in coming months includes developing a training module for those who light fires as part of their living. It will include a practical, field-based component in fire behaviour associated with different light-up patterns. “The training module will give them a selection of knowledge and tools around igniting and controlling fires and their possible impacts, something that is important given our changing climate and the greater scrutiny they will face. “Ultimately we are working to better prepare NZ for extreme fire, build resilience, provide authorities with tools that help the decision process and help to keep fire as a land management tool,” Strand said.

Opinion

26 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

EDITORIAL

More money can speed up change

HERE was good news for dairy farmers last week with Fonterra raising its forecast milk price range by 30c to $6.30-6.60 for the season. It appears production will be back a bit on forecasts though still ahead of last year. The dry that’s set into a few regions probably has something to do with that – I know farmers here are down to once-a-day. While this announcement is good news for suppliers of the big co-operative it will also be good news to suppliers of all the other processors. Most match Fonterra at the end of the season, there or there abouts, so when the big dog barks the others tend to listen. They might not be happy about it though. Submissions to the Dairy Industry Restructuring Act have made for interesting reading. Last week we reported Synlait was unhappy with how the milk price is calculated. It thinks Fonterra moved about 50c from one pot to another to boost returns to farmers. This week we have Westland making a similar complaint. In its submission Westland said the transparency of the calculation of the milk price needs improvement to appear less manipulated. These processors could probably argue all night long about how to calculate the milk price but maybe that’s all that is needed – more transparency so everyone knows where they stand. Of course, in this age of increasing competition for milk one can’t imagine a processor wanting to screw down the price paid to farmers too much. What we are seeing is the base price bolstered by incentives such as Symlait’s Lead with Pride programme that rewards good farmers. That’s the future for all dairy farmers, surely. In a world where the spotlight is on environmental management and good animal welfare, simply saying you’re working to improve isn’t good enough anymore. If a farmer sees more money in the pocket of a neighbour who works sustainably better, though, things might just change rather more quickly.

Bryan Gibson

LETTERS

More letters P27

Wool’s problems are clear SO, WHAT’S wrong with wool? Nothing, it’s just the way it’s promoted that is non-existent. How can you get people to buy wool products when they know nothing about it. And now the Wool Working Group wants to go back to the dark ages and put a levy on farmers. There are middle men at the helm who make money off quantity not quality and are not the best people to take wool into the future. Who are, you ask? The consumer is. Forget about collective grower investment, that’s just ripping farmers off even more. We are at a unique crossroads with environmentalism, sustainability and plastics polluting the planet. I have talked to some farmers who have a clear

vision for wool but they are too busy running their farms because they can’t find competent staff. But the issue is clear. Tax plastic and use that tax to get rid of plastic waste and to promote natural fibres. That synthetic carpet you throw out with nylon fibres killing marine life should be taxed heavily to make way for wool. That synthetic sweat shirt you are wearing that used a litre of crude oil to make should be taxed to help mitigate climate change and pollution. Stop trying to come up with some magic bullet product made of wool when the magic bullet is informing people of the harm synthetics do to the environment. Help promote fire safety and lower insurance premiums for using fire-retardant wool products.

Get on board with those groups that promote a greener environment. Get the Government to stand up and walk the walk. Tax synthetics. It’s not rocket science. Al Wright Tararua

Turf wars AGAIN and again. When will they ever learn? Again, the stewards of our land and livestock find they are being dictated to by a slow and clumsy bureaucratic monster full of its own importance as it struggles to cope with practicalities (FW, February 11). A repeat of the frustration voiced by Hurunui Mayor Winton Dalley as the district became mired in the same mess following the Kaikoura earthquake,

It is symptomatic of the power concentration directed from Local Government New Zealand (ie, government policy) handed to people and organisations with little, if any, practical experience of reality earned from having feet on the ground, which is multiplied at local council level thus has subjugated many of our elected, those representing their communities, to being politically manipulated puppets. The same turf-wars led to confusion at the Port Hills fire leading to a massive loss of property and a life, which leads me to comment from experience of many fires over eight decades that, if you see or smell smoke which shouldn’t be, a state of emergency already exists. It came to my ears that a Continued next page

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

What if you can’t agree on compo? Andy Glenie

ETTING compensation for loss is never as straightforward as you’d like it to be – whether you are dealing with an insurer, a commercial partner or the government the process is always time-consuming and often frustrating. The Primary Industries Ministry has done some good work with farmers in trying to eradicate Mycoplasma bovis. It has also done well to simplify the process of getting compensation under the Biosecurity Act for losses caused by the various steps it has taken to control the disease. There is good information available about what losses are compensable and how you should go about claiming. But there is less information available about one key question: what are your options if you can’t agree a compensation figure with MPI? You have at least three options. First, you could just give in. Fighting with the government can be exhausting and expensive. If the amount of money you are disagreeing about is relatively small you could quite fairly decide to draw a line under it all and move on with your life. Second, you could suggest mediation. This involves getting an independent party, often a senior lawyer or accountant, to try to broker a confidential deal. You can’t force MPI to agree to this process but it could be a sensible way of trying to bridge the gap. You’d need to be willing to compromise and you’d probably also need to be able to pay the mediator but the process could allow you to reach a resolution relatively quickly. Third, you could insist on arbitration. Arbitration is like a confidential court process, run in front of a senior lawyer. In simple terms, you put your case, MPI responds then the arbitrator decides who is right. You aren’t allowed to take compensation cases to court – the Biosecurity Act requires you to go to arbitration. If you haven’t experienced an

The

Pulpit

arbitration process you’ll have a number of questions about the process. Answers to some of the more common questions are set out below. When should you think about arbitration? The Biosecurity Act allows you to claim compensation only for losses you have suffered in the last year. So, if you suffered losses late last summer, you need to get your skates on or you might get nothing. How do you kick off an arbitration? The Biosecurity Act plugs into another piece of legislation, the Arbitration Act. It provides that all you need to do is send MPI a request for your dispute to be referred to arbitration. You’d then try to agree with MPI who the arbitrator should be. MPI will then need to co-operate with you to get the wheels in motion. What is the process? It varies but there are some basic steps which are taken in most cases. After some initial housekeeping both sides will file what lawyers call a pleading (the formal documents which set out your claims and MPI’s response). Both sides will then do a discovery, the process of giving all relevant documents to the other side. You then exchange evidence such as witness statements about what has happened and you might need to get some statements from experts as well. After that there will usually be a hearing where lawyers and witnesses present in person in

GOES SO FAR: Good information is available about claiming for Mycplasma bovis losses but not so much for the options when a farmer can’t agree with the Ministry for Primary Industries, lawyer Andy Glenie says.

A relatively straightforward dispute that progresses fairly efficiently without expert evidence could cost you $50,000 to $100,000.

front of the arbitrator. Then the arbitrator takes time to write up his or her decision. It is worth bearing in mind that you can start down the arbitration road then agree to pause it while you try to do a deal with or without a mediator. What happens after the arbitrator has issued the decision? There can be appeals to the High Court but generally only on narrow legal points. How long will all that take? It depends on how complex the case is and how quickly the parties agree to progress it and whether the decision is appealed

LETTERS chopper pilot saw the smoke from Christchurch Airport and set to go but was not allowed. It took an hour to bypass red-tape. By the time it was cleared the fire was out of control. Further, all emergency services were flat out. Why did it take over a day for the Army to get there to do traffic and looting prevention? They were only down at Burnham. Where’s the NZ national guard, like I saw in the United States, proudly doing just that in a flooded city in 1972 – doing their time in jail? We, presumably. still have Air

but six to nine months might be a reasonable estimate. Perhaps most importantly, how much will it cost? Again, this depends. The process can be tailored to make it as quick and inexpensive as possible. A relatively straightforward dispute that progresses fairly efficiently without expert evidence could cost you $50,000 to $100,000. A more complex dispute with experts involved could cost significantly more. You also need to bear in mind that, like a court, an arbitrator can make a costs award after issuing the decision. That could work for or against you, as the loser is often ordered to pay the winner a proportion of his legal costs. You’ll probably also need to cover 50% of the arbitrator’s costs up-front but you might get that back if you win. Making what lawyers call a Calderbank settlement offer early in the process can improve the ultimate costs outcome.

Like all dispute resolution processes arbitration can seem foreign and expensive and timeconsuming. But in some cases it is the only way of achieving a just outcome, especially if you are not to blame for the spread of the disease. It pays to give some early thought to how an arbitration would play out, if only to help you achieve the best possible result in your compensation negotiations.

Who am I? Andy Glenie is a dispute resolution lawyer based in Auckland, with particular expertise in biosecurity matters (www.glegal.co.nz).

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

More letters P26 Force Hercules. Why don’t they have roll-in water/retardant tanks ready to go. Ohakea to Nelson is 30 minutes. In 1950 my neighbour’s flock was all burnt. I saw Balmoral forest burn and in January 1956, mid afternoon at 44C, I spent the night on a high ridge looking at the lights of the city in between putting out flare-ups. Only a few years ago my neighbour and self had a very dangerous fire out before the brigade arrived. We’d done it all many times and been Boy Scouts – be prepared.

What a sad, pathetic country this has become. John McCaskey Waipara

Calm down HAVING lived and worked in Golden Downs forest and other forests for many years and now a lifestyle sheep and beef farmer I have a great deal of sympathy for the farmers and others caught up in the Nelson fire. I was concerned, though, by the comments in Farmers Weekly (February 11) and

elsewhere of Redwood Valley farmer Graeme Sutton, who bemoaned “the lack of knowledge and understanding of farmers needs”. He will now be aware his namesake John Sutton, the fire and incident controller, is also a deer and beef farmer and has experience in the United States, Canada, Australia and New Zealand in dealing with wildfires and community crises. Some farmers have developed a sense of entitlement to land use in NZ, which has been encouraged by successive governments over

many years and they need to calm down a bit. On the basis of what I have read and heard about the Nelson fire I know which of the Suttons I would have at my back. David Field Rotorua

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Opinion

28 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Gains tax okay, rest is piffle Alternative View

Alan Emerson

FOR the record, I don’t have problem with a capital gains tax provided it is broad-based and simple to administer. By my research 20 countries have a CGT and New Zealand is alone in the Organisation for Economic Co-operation and Development in not having one. Interestingly, the average CGT rate in the OECD is higher than that proposed here. So, the wheels won’t fall off with the introduction of a CGT and we’d just be joining the rest of the world by having one. That view is supported by the EY global chairwoman of tax and also entrepreneur Bill Gates. What all the anti CGT rhetoric has ignored is that, in reality, we have a partial CGT now. All that’s being suggested is a broadening of the base. If you make your money buying and selling properties you pay what is effectively a CGT on your profits and the same applies with shares. In addition, it isn’t a tax grab as some opponents have labelled it but a broadening of the tax base. It is fiscally neutral so most Kiwis will be better off.

My issue with the Cullen report is that its proposals are unnecessarily complex and they’ve gone into areas where I’d suggest they are totally unqualified to be. The make-up of the panel is interesting. You have your usual tax experts, accountants, lawyers and the like, an ecological economist who is a skeptic of economic growth as the primary societal goal and the chief executive of Business NZ. There’s also a person with a particular interest in iwi commercial activities and the economist and director of policy at the NZ Council of Trade Unions. There’s not a farmer, agricultural academic or primary sector chief executive to be seen and it shows. Sadly, it didn’t stop the committee running free with illconsidered recommendations for the primary sector. My belief is the committee made a raft of recommendations they are simply not qualified to make. For example, why would you have a fertiliser tax? That is simply a tax on production and won’t achieve anything. It is also unfair as there isn’t proof fertiliser pollutes but there’s a ton of available evidence that towns and cities do. My view of a fertiliser tax is that it would be a punitive tax on farming. The water tax options are also woolly, in my opinion. Yes, farmers take water for

I LIKE IT: Bill Gates is in favour of a capital gains tax.

irrigation and I’d like to see a lot more of it. The water taken for irrigation would, however, be a small percentage of that taken to generate the power to support the Tiwai Point aluminium smelter. I’m assuming, of course, any water tax would be fair and equitable. It would also inevitably increase the price of power for working Kiwis and the costs for our manufacturing and processing industries. Is that what the Government wants? What really got me going, however, was the natural capital enhancement tax. It is, we are told, based on the idea of an environmental footprint tax and operates as a modified form of land tax.

My simple question on that tax is to ask who will decide what the tax is. Will there be a universal rate for dairying, sheep and beef and horticulture? That would achieve absolutely nothing. Will we have environmental tax inspectors visiting farms and assessing their footprint? I can’t see that achieving anything either. They could just support a land or envy tax and be done with it. There’s also the hardy annual of taxing agricultural emissions. My view of that is the theory might be fine but the science behind it is distinctly dodgy. Again it would be a punitive tax on farming. I know the little darlings at Landcorp are in favour of a

fertiliser tax and made a sneaky submission to the tax committee supporting it. The committee would be infinitely better informed talking to successful farmers, those who generate a good return on their capital. Landcorp doesn’t. As I said at the start I don’t have a problem with a simple, broadbased CGT. I do have a problem with the approach taken by the taxation working group and the blissful ignorance shown of all things farming. Finally, I am heartened by the fact we have an MMP electoral system. A CGT at any level or punitive taxes on agriculture won’t fly unless NZ First agrees to it. That party has spent a considerable effort supporting provincial NZ, infinitely more than the previous Government did. Will they let the Government, supported by the anti-farmer Green Party, cripple the rural sector with punitive taxes? So, the harsh reality is the Tax Working Group has come out with its recommendations. Now it’s the politicians’ turn and that will require the agreement of the majority Labour Government, the Greens and NZ First. For that reason I’m relaxed.

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

Fert tax sets uncomfortable precedent From the Ridge

Steve Wyn-Harris

THE recommendations from the Tax Working Group came out a couple of weeks ago. Possibly the worst kept secret or else unsurprising recommendations were the result. And the resulting furore and objections was equally unsurprising. The recommendation to adopt a capital gains tax was the main component. Of course, we already have a capital gains tax with those, like property developers, who buy property with the intention of selling it paying tax on the profits. This is the Intention Test. The last government also brought in the Bright-line Rule in 2015 where any residential property that was sold within five years of purchase incurred capital gains tax on the increased value. The rule didn’t include farmland or business property. Group head Michael Cullen had nine years as finance minister to

WILL HE OR WON’T HE: Winston Peters has always been against a capital gains tax but his support will be crucial in getting it over the line.

implement capital gains taxes but lacked the stomach as a politician but finds it easier to propose from a post-political life. However, it will be sitting politicians who will be mulling over the recommendations before putting their response in front of the public and a watered-down version with more palatability to the electorate is very likely. Winston Peters has always been against a capital gains tax and his support is critical in getting it over the line so, just like the period after the election, he will keep us guessing and milk it for all he can. Most other countries do have capital gains taxes so we are in a minority of those who don’t.

Of the 35 in the Organisation for Economic Co-operation and Development, we are the only one not to have a general CGT. The Aussies brought theirs in back in 1985 on assets like property and shares. It was a big fuss at the time but soon settled down. It didn’t curb escalating house values though and is not expected to be a mechanism to do that here either. Canada’s CGT dates to 1972 and when they brought theirs in they had the great tag line of “A buck’s a buck, a dollar’s a dollar”. And that is what the CGT is attempting to do – make sure that those who make profits from dealing in property pay taxes just

like the rest of us who pay on income. The former tend to be the very wealthy. Personally, I’m not against the concept. We should all want a fair tax system where everyone making money pays their fair share of tax so that we can share in the benefits of living in a civil society. Like most farming family businesses we have accrued land and not sold it. Jane and I started with 180ha in 1985 and now our children’s trust owns 360ha. At this point we think it will be a longterm hold and the next generation or even the one after that will determine its future. If a CGT does eventuate it is not going to be retrospective so the significant asset value increases we have all experienced if we have been fortunate enough to have owned property since the late 1990s will not be taxed. And it seems there will be a CGT exemption on inter-family transfers so it won’t be a return to some type of death duty tax of the past. However, if you do make significant money out of buying and selling property then I can see why one wouldn’t be at all keen on the concept. I was surprised the proposed tax rate would be the same as the entity’s tax rate but have since

learnt that is not uncommon elsewhere because it stops the battle around what is income and what is capital gain. I was more uncomfortable with the proposal on a fertiliser tax. More because of the precedent it would set. We are trying to feed a burgeoning worldwide population and need as many tools in the toolbox as is possible. It is proposed to apply just to nitrogen and could add 10% to the cost. My sector of sheep and beef farmers are modest users of nitrogen so this would have greater impacts on dairy and cropping. Regional councils are already bringing in rules around nitrogen use and they will be a better mechanism for environmental protection than applying a tax. However, the tax intention is to offset greenhouse gas emissions and a better approach would be to work on mitigaters. We will find out in a couple of months whether this Government, which labels itself as one of change, has the courage to revamp the tax system.

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

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

ADDING UP: Since mid December 30 more farms have been declared restricted places, meaning they are very high risk, and 12 more have infected property status.

M bovis pain not shared fairly The Braided Trail

Keith Woodford

ANYONE reading the official information from the Primary Industries Ministry would be entitled to believe the Mycoplasma bovis eradication campaign is going remarkably well. However, among the directly afflicted farmers, things remain far from sweet. MPI has acknowledged afflicted farmers have taken a hit on behalf of the industry but as one greatly afflicted farmer said recently to me, this is the only team he has been part of where he, as a team member, gets left behind. I know of three farmers who have had to put their farms up for sale because of the Mycoplasma bovis outbreak and its implications. There are others heading that way. I have yet to meet an afflicted farmer who does not feel hard done by. Personnel changes before Christmas at the top level in MPI gave considerable hope to afflicted farmers. There have, indeed, been some changes for the better. But all is not well. On the positive side farmers are now being treated with more respect than previously. And there is increasing recognition the speed of compensation needs to increase. There is also increasing recognition some of the initial judgments around compensation might have been less than fair. But

there is still a long way to go. Afflicted farmers are, indeed, being left behind by the team. At a meeting with afflicted farmers before Christmas I voiced the need to prioritise and to focus on the most important issues. I suggested compensation issues need to be put at the forefront. However, it was immediately made clear to me that for many farmers, even ahead of compensation, is the need for respect and transparency. They feel they are being treated like criminals. Although I see improvements in relation to respect, I don’t see much improvement in transparency. I see individual case managers going out of their way to be helpful but I also see these same case managers scared they will be in trouble if the information they are providing gets back to higher levels. In recent weeks I see a new build-up of anger because the official weekly reports from MPI do not reflect what the farmers themselves see at ground level. The MPI information system is still driven by the need to provide a positive spin. For example, when the number of Notice of Direction farms decreased before Christmas MPI highlighted that fact. However, when the number of NOD farms rose again in recent weeks MPI said nothing about it. In recent weeks MPI has stopped any mention of new farms going IP (infected property). To get that information readers have to compare the latest table with previously published tables. Since mid December there have been 12 new IPs in nine weeks. There are 30 more farms that are

Restricted Places (hence, very high risk and well on the journey to IP). That is a record number. There is also a slew of new farms that have just gone NOD (ie, significant risk) with Southland a new hot spot. MPI keeps offering soothing words about new IPs being expected and says they are the result of known traces. What MPI has been less forthcoming about is the number of traces that are back traces.

Afflicted farmers are, indeed, being left behind by the team. To explain the difference, a forward trace occurs when an infected farm is known to have supplied animals to other farms. Typically, these forward traces involve considerable probability of leading to a new case of infection. In contrast, a backward trace occurs when MPI is investigating how Mycoplasma bovis could have got to a particular property. MPI does this by back-tracing to all farms that have supplied stock to the newly identified infected property. Often there are lots of these potential back-traces and most of them are considered low risk. But every so often one or more of those supposed low-risk properties goes positive. That then raises the question as to how did it get to that source property. Every time a back trace goes positive that, in itself, also sets up a raft of both new forward traces and new back traces. In each of these cases MPI is starting behind

the eight ball with M bovis having got a running start that can be of two years or more. As a consequence, the confidence MPI has generated in the broader public about the programme being under control is built on shaky foundations. MPI’s response is that it is taking the advice of the Technical Advisory Group (TAG). However, most of the TAG are international folk reliant on empirical information supplied to them by MPI. And none of the experts has experience of an M bovis eradication campaign. For everyone, it continues to be a journey into the unknown. Also, the latest TAG report covers only the situation to early December. A lot has happened since then. I would very much like to see the papers given to the TAG. There are also issues relating to MPI’s reclassification of infection categories. For example, MPI now uses an extra category called a transitional NOD. These are farms are in the process of going from a NOD to an RP (seeking final confirmation of the infection) and IP (confirmed infected property). Earlier, they would have gone straight to either RP or IP. Farms also go into this category having been confirmed as infected while MPI figures out whether partial depopulation might suffice. Partial depopulation is another can of worms. Such farms remain as outcast farms that other farmers do not want to deal with thereafter. There are also examples where properties have been released from their NOD status but have subsequently gone IP. I know of two such examples and another well on that journey. Out of the

hundreds of cleared properties, how many more were false clearances? I also know of one property which had an ELISA-positive rate of 20% from a large number of heifers. However, in subsequent tests the percentage dropped back to about 5% and the farm was eventually declared by MPI as free from disease. That would seem to have been a very brave decision. Those young animals are now part of a big milking herd on another farm, where the farmer is oblivious to the risk. To put that issue in perspective, most infected herds show no clinical signs. Rather, the antibodies decline over time and the animals stop shedding. However, when a subsequent stress event takes place the lurking M bovis organisms emerge again. Even then, in most cases it will shed and spread but show no clinical signs. On the compensation side MPI has now received 726 compensation claims to February 15. The average time to payment is now about three months with 12 to 20 claims typically receiving either full or partial payment each week. Simple claims, typically of modest size, are paid quickly. Big, complex payments are getting totally stuck. And so, I say again, the burden is not being shared fairly. Team members, ie, afflicted farmers, are getting left behind.

Your View Keith Woodford was Professor of farm management and agribusiness at Lincoln University for 15 years to 2015. He is now principal consultant at AgriFood Systems. He can be contacted at kbwoodford@gmail.com

On Farm Story

30 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Farming in the city When New Zealanders think of Auckland few think of farming. But a young Karaka dairying couple are combining their love of the city with their passion for the land. Luke Chivers reports.

T WAS Gypsy Day 2016. Traditionally, it is the start of the dairying calendar when accounts are settled, stock is bought and sold or moved to a new farm and new careers are launched. At least that was what Chris and Sally Guy hoped when their sharemilking agreement on a well-nurtured and developed inland slice of rural New Zealand kicked in. The couple are 50:50 sharemilkers with his parents Allan and Wendy who own the 80ha Oakview Farm in South Auckland. However, urban sprawl and skyrocketing land prices are throwing up challenges for the young couple. Sally says one of the best things about farming at Karaka is the town’s proximity to central Auckland. “We are only 35km to Auckland City. “It’s really good for social events – you can pop into the city for the night and sometimes it can be only a 25-minute drive when there is little or no traffic.

We’ve got a lot of road frontage and about 30,000 cars go on that road every day. We do not want a negative spotlight shone on the dairy industry. Chris Guy Farmer “Plus, a lot of Chris’ family are within a 5km radius and we’re only about 20 minutes to Auckland Airport.” Being from Australia, that is crucial for Sally. “It is important for us to be in close proximity to an international airport to allow my family to visit us whenever they want,” Sally says. The downside of being close to the urban sprawl is that it requires the couple to take even more care of the condition of their farm. “I guess with the spotlight on dairy you’re more aware of what you’re doing,” Chris says. “Public perceptions are quite a key issue in the dairy industry so we try to do our best to not give the public anything. “We’ve got a lot of road frontage and about 30,000 cars go on that road every day.”

With such a large volume of traffic passing Chris makes extra effort to ensure he is maintaining health and safety to the highest standards – for himself, his animals and the sector. “I always make sure I’m riding the quad responsibly and if the irrigator needs to go along the roadside I’ll only ever run it at night so it’s out of sight, out of mind,” he says. “We’ve also put a lot of effort into pasture renovation on the farm in an attempt to harvest more grass. “We do not want a negative spotlight shone on the dairy industry. “It’s New Zealand’s number one export and important for this country and for everyone in it.” Chris says that is among other farming challenges, especially in South Auckland. “Despite us living on a farm there are 4500 homes being built opposite our farm in the next 10 years.” The new precinct, Pareata Rise, will include a train station, a shopping centre and a primary school. “This town used to be known for its milk supply and I think granddad made a lot of money doing that back in the day.” Although Chris and Sally both come from rural backgrounds, farming and milking cows was not their initial plan. At 18 Chris left the family farm to pursue a career outside the industry. “Despite growing up on a dairy farm the idea of becoming a farmer never really crossed my mind,” Chris says. “I wanted to gain skills in other areas.” Chris started a building apprenticeship and shortly into it, the 2008 global financial crisis hit. He knew he would soon be without a job. With a little bit of money and a lot of eagerness Chris went travelling overseas for two years to burn off a bit of steam. “I ventured around the United Kingdom and western Europe. On my return I thought I would briefly go via Australia for a wheat harvest and do building on the side. “I absolutely loved it,” he says. “I ended up staying in Australia for three harvests and became a qualified carpenter.” It was during that time he met Sally. After some smooth talking he managed to coax her into moving to New Zealand to give dairying a go.

WINNERS: Chris and Sally Guy are the 2018 Auckland/Hauraki Share Farmers of the Year and were runners-up in the national competition. Sally, Chris and Hunter check on the herd. Photos: Frances Oliver Photography

“I always knew there was an opportunity to go farming on the family farm,” he says. “I guess I didn’t want to regret never giving farming a go. Sally and I decided we would give it a crack for a year. “Unfortunately for Sally we stayed. “Nowadays, we are proud to be dairy farmers. “Sure, it can be quite draining working from sunrise to sunset but you’re out there doing your own thing in the fresh air and working with animals, which is fantastic.” He says the great thing is Sally grew up on a farm that was very remote so their style of farming close to the city is quite attractive for her. Sally, a secondary school visual arts teacher, grew up in a small town named Coonamble, seven hours northwest of Sydney. The daughter of sheep and beef

farmers, she was raised on a largescale station – a 4000ha property an hour from the closest town and two hours to the closest hospital and large supermarket. Anyone who knows the Guy family will know it is unusual for them to stay away from the farm for long, if at all. Dairy farming is in the Guy blood. “We’re the sixth generation of dairy farmers to farm in Karaka,” he says. Chris’ third great grandparents settled the farm in 1881. His father Allan and uncle Murray worked the land for more than 10 years. In 1980, a nearby farm was bought and Murray and his wife moved to the property, while Allan and Wendy continued to run the home farm until Chris and Sally moved into the sharemilking role. “The beauty of that is Sally and I treat it as if we do own the land. We make every decision as if we were the farm owners.”

While the couple in their earlyto-mid-30s are now in the driving seat, Chris’ parents still live and work on the property and provide much-needed support. “We’re really fortunate to have them around as they help out a lot,” he says. “Being on a family-run farm means we have the ability to have more input into decisions that are made about the land.” Despite their limited hands-on experience, the young couple have certainly had a good start – good enough for them to be named Share Farmers of the Year at the 2018 Auckland/Hauraki Dairy Industry Awards and were named runners-up at the national awards. The first-time entrants also won regional merit awards for their environmental efforts, pasture performance and dairy hygiene. “The competition was a great opportunity to break down our business and have a good look at

On Farm Story

our strengths and weaknesses and get opinions from outsiders about our farming practices on how we can improve,” Sally says. The farm, about 8km east of Papakura, is gentle rolling country that is typically summer dry. It is home to 200 milking Friesian dairy cows with some crossbred throughout the herd. The property, on one side of Karaka Road, includes five hectares of wetlands. “Given the dry weather, we lease two neighbouring ex-dairy farms,” Chris says. “We use the leased properties as support blocks for wintering cows and for the harvest bulk silage, which we bring home to the dairy platform to help protect us from the summer dry.” In their first year they raised the farm’s milk production from 68,500kg to 79,240kg milksolids and reared 175 weaners alone as sole operators – and they are on track to better that again. “We’ve been reasonably lucky,” Chris says. “In the season before us the dairy payout was only $3.90 and then in our first season it was forecast somewhere in the $4 mark but we ended up being paid $6.12. “And ever since then the payout has been above $6 so we’ve benefited quite highly from coming into the industry when the payout was low.” They also run replacement heifers on the blocks. “We run blackface beef animals, some that we sell as 15-month -olds and the others we finish off for the beef market,” Sally says. “Last season we brought 60 in-calf heifers into the herd and sold 30.” Chris says their ability to rear extra stock on large lease blocks enables them to grow their equity faster. “Knowing that my family also worked this land is pretty special,” he says. “Although we realise this farm may not be farmed forever, hopefully we can pass on something for future generations.” Chris and Sally have two sons –

Hunter, 2, and Fletcher, four and a half months. “Hunter is at an age where he can get involved on-farm,” Chris says. “He loves seeing me riding the motorbike or seeing me milking the cows. He joins me while we’re feeding out and just doing general day-to-day tasks on-farm. He absolutely loves it. “A quick run around the farm and Hunter often comes back feeling refreshed after some good outdoors time. You wouldn’t get that in any other job.” But their farming career has not always been an easy ride. When the couple became sharemilkers they saw a lot of opportunity to make their mark. “We’ve been busy doing a lot of maintenance work,” Chris says. “One big improvement we made was creating a larger milking platform. “We took water from the home farm to areas of the run-off to create a better water supply, which gave us more paddocks to milk off. By doing this we added 7ha to our milking platform. “We’re targeting 1000kg to 1100kg of milksolids per hectare.” He also designed and installed a new effluent system for the farm that includes a floating pontoon with a 7kW stirrer and a 25hp pump. “We put a large pump on because we wanted a canon irrigator, which gives us a 30-metre radius. “For a one-man operation it meant we’re covering a larger area and shifting the irrigator less. They’re also a lot easier and safer to tow behind a quad bike.” In recent years the Guys have removed the old hinge-style gates from the dairy shed and replaced them with pendulum gates. “This has created better cow flow. The new gates are easier for drafting and much safer.” They milk twice a day until midFebruary and then shift to once-aday milking. “And that is basically to give myself and the cows a break,” Chris says. There is good reason for that. Lame cows are a major issue for the farm. “Blue stone races are a big reason why. Thankfully, it’s only a 1.2km walk to the furthest paddock so the cows aren’t walking too far from the shed. “However, we did a lot of work last year with a product called StockRock.

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

HAPPY: Sally and Chris enjoy farming but say urban sprawl is throwing up challenges.

We run blackface beef animals, some that we sell as 15-month -olds and the others we finish off for the beef market. Sally Guy Farmer “It’s a softer rock product that creates a surface the cows love to walk on. It shortened walking times, which, in turn, means more time in the paddock for cows to eat and rest.” Last season 30% of the herd got lame but that has reduced significantly thanks to the product. He also measures his grass growth by regularly doing farm walks and this season has used LIC Space. Over the past year they sent several grass samples to check the metabolic energy (ME) and protein levels to enable them to get a better understanding of what their cows are eating and what they are potentially lacking at different times of the season. “Our grass is constantly changing throughout the year and we wanted to get a better idea around this.

“We’ve had a real focus this season on trying to have quality feed down the throat. It seems to be going really well – our cows are producing well and looking to be in good condition for next calving. The couple always need to look and plan months ahead. Because they feed a lot of bulk silage the focus this season has been on quality. “Last year when we tested the silage it was only 10ME, which is basically glorified hay that will give you little milk response. When you have 160 tonnes of it you have no choice but to feed it out. “Cutting 55ha of silage at once means it’s a real balancing act to try to get all of this area grazed and shut up at the same time. “We aim to shut up our paddocks for 30-40 days before harvest. In doing that, this year we produced quality silage of 11.7ME. The downside was we had less of it.” By aiming for an early cut they got a later second cut, which tested 10ME and was put in a different stack to feed out last. Chris has identified it is critical to feed his cows well post-calving, get the animals to peak high and hold the milk curve for as long as he can. “To do this in our system we need to feed supplement from calving through to balance date, which is typically mid September. We choose to carry on using it

until the end of mating no matter what grass growth is.” He has also concentrated his efforts on mowing paddocks to try to keep on top of pasture quality. “This season was unreal for spring growth so a lot of mowing was done.” They grow a 9ha summer crop of chicory on the effluent blocks as insurance against the summer drought. “At certain times of the year we’re finding that the cows walk themselves toward the milking shed as they are keen to graze the chicory. “It means we’re saving manpower by not sitting behind them. Plus, it means the cows can walk at their own pace, which takes the pressure off them.” Their goals include increasing the herd size, possibly moving to a larger job, paying off debt, building equity and eventually farm ownership. But the Auckland region’s growth is making it difficult for the couple and their farming goals. “We’d love to stay here and would love to expand but land prices just aren’t allowing for that. “If we want to continue farming we need to change the way we do things here or accept that we can’t stay farming here and move somewhere else. “While we are considering our options – including the diversification of our current situation – the reality is dairy farming is slowly getting phased out in this area as the urban sprawl continues to grow around us,” they say. This story first appeared in Dairy Farmer.

AT HOME: Chris grew up on the family farm but never thought about going farming until he returned from overseas. Chris gets ready for afternoon milking.

PRODUCTION: The Guys milk 200 Friesian and crossbred cows. This season they are targeting 85,000kg of milksolids.

>> Video link: bit.ly/OFSguy

Paeroa 217 Strange Road

Land holding with approved subdivision consent Over 400 hectares in the ‘Golden Triangle’ doesn’t come on the market every day – that means you need to take time to view if you are looking for a significant land holding in the area. 217 Strange Road is currently an operating dairy farm, elevated in the foothills north of Paeroa overlooking the Hauraki Plains with views reaching as far as the Hunua Ranges, over the Firth of Thames and is bordered by the Coromandel Forest Park. But this is not your average dairy farm - Consent has been approved by council for an 8 lot subdivision. A strong fertiliser history coupled with Waihi Ash soils means the rolling contoured land is fertile and suitable for stock grazing. A good race system, great infrastructure, reliable spring water, and situated in an idyllic location, this prime piece of property is not one to miss out on, the unknown potential here is too great to pass up.

bayleys.co.nz/2310319

For Sale by Deadline Private Treaty (unless sold prior)

4pm, Thu 14 Mar 2019 Karl Davis 0508 83 83 83 karl.davis@bayleys.co.nz Lee Carter 027 696 5781 lee.carter@bayleys.co.nz SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

NEW LISTING

Hastings 3629 Puketitiri Road, Patoka

'Raumati' premium Patoka dairy A real opportunity to purchase affordable dairy scale of 458 hectares with excellent Patoka summer rainfall. Located 41 kilometres north west of Napier city, Raumati is a very well set up farm boasting a 2008 built 60 bale rotary, 600 cow feed pad and large purpose built calf rearing shed. Another feature of the property is the four bedroom villa beautifully set in established gardens, two three bedroom cottages and various implement sheds complete this top quality property. Production peaks of 300,000 kilograms of milk solids have been achieved as a result of a very well managed pasture renewal programme backed up with an excellent fertiliser history. This coupled with the easy contour and free draining ash soils mean purchasing this quality dairy unit is a great investment. Being consented to 1,000 cows there is further potential in this property. Absentee owners say sell.

bayleys.co.nz/2851578

bayleys.co.nz

Auction (will not be sold prior) 2pm, Fri 29 Mar 2019 52 Bridge Street, Ahuriri, Napier View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Gavin Franklin 027 427 8000 gavin.franklin@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

NEW LISTING

Hororata 1240 Morgans Road

Blue-chip Canterbury landholding

'Kildara' is a quality farm top-to-bottom, with a productive future underpinned by exceptionally-low-cost water. Adding to this wonderful resource, this 188ha property has versatile, highly-fertile soils, currently demonstrating their ability to grow specialist seeds, potatoes, bassica crops and quality pastures fattening bull-beef. This, coupled with a consent to dairy, provides numerous farming options for the future. A very high standard of infrastructure includes new steel cattle yards, four centre-pivots controlled by the latest Waterforce software, excellent fencing, a central lane system ensuring ease of management and a substantial, modernised, fourbedroom family home. 'Kildara' is within an easy commute of Christchurch and close to rivers, lakes and mountains, providing numerous recreational activities. This is a very special opportunity.

Deadline Sale (unless sold prior) 4pm, Wed 27 Mar 2019 3 Deans Ave, Chch View by appointment Craig Blackburn 027 489 7225 craig.blackburn@bayleys.co.nz Ben Turner 027 530 1400 ben.turner@bayleys.co.nz

bayleys.co.nz/559525

WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

NEW LISTING

Te Awamutu 164 Bank Road Special character dairy at Lake Ngaroto This boutique dairy farm is in a highly desirable location bordering the popular Lake Ngaroto near Te Awamutu. Encompassing some 53ha (STS) the farm supports 140 to 150 Jerseys with average production of 51,304kgMS. Improvements include a 14 ASHB dairy shed complete with workshop and implement shed, a near new calf shed plus two half round barns and lined effluent pond. Thereâ&#x20AC;&#x2122;s a substantial six bedroom home plus two bedroom cottage. This property has considerable character and given its location may suit tourism or as a larger lifestyle or support block.

bayleys.co.nz/2310269

Central Hawke's Bay 927 Mill Road, Ashley Clinton Auction (unless sold prior) 11am, Thu 28 Mar 2019 96 Ulster Street, Hamilton View 11am-12pm Wed 6 Mar Sharon Evans AREINZ 027 235 4771 sharon.evans@bayleys.co.nz Stuart Gudsell AREINZ 021 951 737 stuart.gudsell@bayleys.co.nz SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Grazing or forestry in the rain belt Affordable bare land with a hay barn and cattle yards. The perfect starter, additional grazing block or forestry investment. Located 19.2 kilometres north west of Takapau in the sought after Ashley Clinton area is this 81.67 hectare (more or less) grazing property. With an altitude ranging between 450 - 615 metres above sea level and summer rainfall providing healthy and safe environment to graze dairy, sheep or beef livestock, or could be developed into a forestry carbon investment. Don't snooze on this opportunity, vendor says sell.

Auction (will not be sold prior) 11am, Thu 21 Mar 2019 17 Napier Road, Havelock North View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Gavin Franklin 027 427 8000 gavin.franklin@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/2851579

bayleys.co.nz

farmersweekly.co.nz/realestate 0800 85 25 80

NEW LISTING

Real Estate

Redwood Valley 79 Malling Road 5

FARMERS WEEKLY – March 4, 2019

Rural

Asking Price $1,795,000 View by appointment Marcelle Lupton 027 552 8787 marcelle.lupton@bayleys.co.nz VINING REALTY GROUP LTD, BAYLEYS, LICENSED REAA 2008

The epitome of luxurious country living! Spoil and honour your family in sumptuous privacy and spaces of grandeur in this magnificent 236m2 rural home nestled on a stunning 14.9927ha lifestyle section. The lifestyle here is easy and laid back, safe, and the epitome of luxury. Beautifully designed and engineered, this outstanding creation must be seen!

bayleys.co.nz/4051286

AUCTION ON SITE

6497 State Highway 1, Victoria Valley, Kaitaia Small farm for sale, one family ownership for 140 years 4 |

2 |

• The price is gone - this is an auction. • 35ha of spectacular level farm land • Currently run as a beef fattening unit • 20 paddocks all with water • Immaculate house upgraded in 2004 • A first step into rural living? • An add-on to an existing farm? • A purchase for semi-retirement?

__________________________________ Auction 1pm 22 Mar 2019 (unless sold prior) Viewing By appointment only Contact Alan Broadbent 027441 8149

__________________________________ Northland Property Group Ltd, Licensed REAA 2008

Ship-shape Te Pahu dairy 979 Limeworks Loop Road, Te Pahu Delightfully located dairy farm of 134.33ha, situated in popular Te Pahu district, milking up to 400 cows. Modern and generous infrastructure includes 30 aside dairy, covered feedpad, storage bunkers plus numerous other support buildings. Races and fences have recently been upgraded. Fully fenced and planted freshwater stream along one boundary. Regrassing programme is in place and good fertility ensures year round grass growth.

www.rwteawamutu.co.nz/TEA23247 Rosetown Realty Ltd Licensed REAA2008

FAR NORTH

Looking for the complete package?

We’ve got you covered with digital and print options.

2480REHP

Contact Shirley Howard phone 06 323 0760, email shirley.howard@globalhq.co.nz

farmersweekly.co.nz/realestate

For Sale $6.3m+GST (if any) View Wednesdays 6, 13, 20, 27 March, 11.00am - 1.00pm

Neville Kemp

0272 719 801 Noldy Rust 027 255 3047

Real Estate

FARMERS WEEKLY – March 4, 2019

farmersweekly.co.nz/realestate 0800 85 25 80

RURAL 47 High Street DANNEVIRKE dannevirke@pb.co.nz Office 06 374 8102

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Golden opportunity

AUCTION WEB ID DR65750

NORSEWOOD 378 Jens Andersen Road 188 ha situated in the summer safe region of Norsewood, this dairy unit is on premium land with great infrastructure. The dairy shed is a modern 70 bail rotary, situated centrally on farm. With great access tracks including underpass allowing for ease of stock movement. Fencing and subdivision is to an excellent standard. The farm has a sound fertiliser history producing excellent pasture growth. Water is drawn by

consent from the Manawatu river. Another feature of VIEW By Appointment the farm is its shedding complex on a large metaled area allowing storage of implements and large farm vehicles. AUCTION 2.00pm, Thu 14th Mar, 2019, (unless sold Two large implement sheds with workshop, a large calf prior), Hovding Hall, Lower Norsewood rearing shed with four small nearby paddocks with calf shelter sheds. The farm has a superior four bdrm home + 3 workers homes. Additional lease block 439ha.

AUCTION

Jim Crispin

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

7 2

pb.co.nz

Beef & Dairy Support       

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An attractive finishing property located in the Wharepuhunga district, approx 28 kms south east of Te Awamutu 991 Bayley Road, R D 3, Te Awamutu 161 hectares - 3 titles predominantly easy rolling with some steeper sidlings, Puniu river on north eastern boundary free draining mairoa ash soil very good water reticulation system well fenced with good access races over total property currently finishing beef heifers for the local trade market plus breeding Clydesdale horses very good, all-weather stock handling & load-out facilities first-class, large, fully enclosed coloursteel shed with concrete floor - built to contain truck & trailer unit with stock crate quality low maintenance homestead on elevated site backed by mature specimen trees with north facing views over property; featuring 4 brms, spacious living, modern kitchen, inground pool & tennis court 3 bedroom cottage with carport and sleep-out school bus past gate for Korakonui Primary and Te Awamutu College web ref R1293

Tenders close: Wednesday, 27 March 2019

Open days: Tues, 5 March & 12 March 12noon to 2.00pm

On Farm biosecurity protocols will apply vehicles and footwear to be clean prior to arrival

Howard Ashmore 0274 388 556 Licensed Real Estate Agent - REAA2008

Brian Peacocke 021 373 113

phone

07 870 2112

office@pastoralrealty.co.nz

MREINZ

MANGARATA - EXCELLENT INFRASTRUCTURE, BALANCE AND LOCATION 264 Caves Road, Te Ore Ore, Masterton This very tidy sheep and beef breeding and semi finishing unit is located just 5 minutes from Masterton. Since its purchase in 2009 the vendor has enhanced and improved the property - new 4 stand woolshed and covered yards, new cattle yards, 8 km of fencing, capital fertiliser, drainage and developed the flats and cultivable hills with new grasses, clovers and herbs. There are two houses located together with the woolshed, cattle yards hay/implement shed, workshop and other storage sheds just off the sealed Caves Road entrance. Of the 476ha considered effective there are around 25ha of alluvial based road flats which are complemented by approx. 50ha of easy rolling cultivable land towards the middle of the farm, with the balance of the contour being medium hill country sitting on mudstone soils. There are a high number of tracks through the 48 main paddocks of the property ensuring ease of access and stock movement. The fertility levels are considered good for this land class. Summer and winter fodder cropping as well as regrassing is undertaken to 20% of the cultivable land per annum. The property winters around 3,500 sheep & 150 cattle. Production levels are very good with a normal lambing average of 150-160%. On MastertonÂ´s door step Mangarata should appeal to those seeking a metro-rural lifestyle close to off farm employment, rural services, quality schooling, restaurants and community facilities. Inspection by Appmt.

THE LAND OF MILK AND HONEY 124 & 278 Tunanui Road, Owhango This attractive Owhango dairy farm ticks most boxes. A milking platform of 110 (effective) hectares with past peak production (2014) of 111,000 KG MS plus the bonus of 220ha grazing country right next door, allowing an opportunity to expand this operation or simply run as a fattening/breeding farm. Infrastructure includes a 30 aside Herringbone shed with a large 400 cow yard, implement sheds, a 3-bedroom dwelling set in mature surrounds, a 2nd house and a 4-stand woolshed with covered yards. Purchasing options available - Contact me for more information.

373 hectares Offers Invited nzr.nz/RX1703812 Offers Invited by 4pm, Thu 21 Mar 2019, NZR, 1 Goldfinch St, Ohakune. Jamie Proude AREINZ 027 448 5162 | jamie@nzr.nz NZR Central Ltd | Licensed REAA 2008

518 hectares Video on website nzr.nz//RX1802803 Tender Closes 4pm, Thu 21 March 2019, NZR, Level 1, 16 Perry St, Masterton. Blair Stevens AREINZ 027 527 7007 | 06 370 9199 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

Real Estate

FARMERS WEEKLY â&#x20AC;&#x201C; March 4, 2019

farmersweekly.co.nz/realestate 0800 85 25 80

Accelerating success.

Reach more people - better results faster.

colliers.co.nz

Accelerating success.

Reach more people - better results faster.

NO TURNING BACK - THE HAMMER WILL FALL!

AUCTION to be held on Friday 5th April 2019 at 1.30pm (unless sold prior) 447 CONLANS ROAD, TOKARAHI, NORTH OTAGO

DAIRY 3D virtual tour and video available online

Make no mistake, our instructions are very clear that this 288.1311 hectare farm is to be sold under the hammer. Hill country dairy farm with modern improvements including 50 bail fully automated rotary shed, pivot irrigation and two-pond effluent storage. Irrigation supplied from NOIC scheme. Currently run as a 500600 cow dairy farm across 200 effective hectares plus 31 effective hectares of support land.

288.1311 hectares

50 bail rotary shed

colliers.co.nz/212225

170ha irrigated (approximately)

2 pond effluent system

Richard Oâ&#x20AC;&#x2122;Sullivan +64 27 292 3921 richard.osullivan@colliers.com Agri Realty Ltd, Licensed Agent REAA 2008

3 houses

Ruth Hodges +64 27 309 0334 ruth.hodges@colliers.com Exemplar Realty Ltd, Licensed Agent REAA 2008

colliers.co.nz

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

FARMERS WEEKLY – March 4, 2019

Matamata 234b Te Tuhi Road

Auction 1pm, Thurs 4th April 2019 Matamata Club (unless sold prior) View Thurs 7th, 14th & 21st March, 11.00-11.45am www.ljhooker.co.nz/F5GHR1 ljhooker.co.nz/F5GHR1

Stunning From Every Aspect An impressive modern family home sited on 45.7ha (approx) with some of the most commanding views that you will ever encounter. As soon as you approach the amazing property a realisation that you are somewhere special is hugely apparent. Surrounded by quality, every detail has been carefully taken care of. From the extensive landscaping to the welcoming decor.

Rex Butterworth 021 348 276 Peter Begovich 027 476 5787

The property is private but not isolated. Whether its bush walks, hunting, birdwatching, farming, or utilising the massive shed for virtually any purpose you desire you’ll have it covered here. Phone Rex or Peter to learn more.

Link Realty Limited Link Realty Limited Licensed REAA 2008. All information contained herein is gathered from sources we consider to be reliable. However, we cannot guarantee or give any warranty about the information provided. Interested parties must solely rely on their own enquiries.

RURAL | LIFESTYLE | RESIDENTIAL

TENDER

Pyes Pa, Tauranga Joyce Road Strike The Jackpot By Tender By 4pm Thursday 4th April 2019 (unless sold prior) View By Appointment Only www.ljhooker.co.nz/FA3HR1 ljhooker.co.nz/FA3HR1

Peter Begovich 027 476 5787 Rex Butterworth 021 348 276

Be impressed by the return generated per m² of land. Being the top performing barn raised meat chicken farm contracted to Inghams Enterprises is testament alone of quality. A secure non-weather affected, profitable investment. Walking in to the wonderful family home you are surrounded by luxury. The stylish outdoor entertaining area includes an inground pool. A self-contained unit provides flexibility to continue with a home-based business, use it for family or rent it out.

TAUWHARE, WAIKATO 1171 Tauwhare Rd Quality All Round A large versatile family home, 22ha (approximately) of flat land, good outbuildings and equestrian facilities. Extension and refurbishment have transformed the home whose modern living spaces enjoy great flow to a huge entertainment courtyard and in-ground pool. The dual access property, with a sand arena and stables, has previously been used for calf rearing in addition to heifer grazing. It lies in zone for Hillcrest schools and on the St Peter's school bus route.

Link Realty Limited Licensed REAA 2008. All information contained herein is gathered from sources we consider to be reliable. However, we cannot guarantee or give any warranty about the information provided. Interested parties must solely rely on their own enquiries.

TENDER

(Unless Sold By Private Treaty) Closes 4.00pm, Wednesday 20 March

VIEW

By Appointment Only

Russell Thomas M 020 4004 0360 E russell.thomas@pggwrightson.co.nz

pggwre.co.nz/HAM29998 PGG Wrightson Real Estate Limited, licensed under REAA 2008

Helping grow the country

Employment

FARMERS WEEKLY – March 4, 2019

DAIRY FARM WORKER WANTED

STAFF?

STOCK MANAGER (Beef and lamb property)

Required for a 570ha property 15km from Taihape.

Call Debbie

0800 85 25 80

LK0066705©

For 2019 Season

• 15km south east of Ashburton • 450 cows • 36 aside herringbone

Phone 027 333 6838

classifieds@globalhq.co.nz

This position requires a person who is selfmotivated and shows enthusiasm. Must have the ability to work independently as required.

TIROA E TRUST – Wharekiri Station

Remuneration according to ability and experience.

For more information call Andrew 06 388 0379 or 021 605 166

We’re hiring AgriHQ produces livestock market data and analysis the industry trusts. We have a new full-time vacancy for a smart-thinking candidate to join our team of six analysts.

Please email: steph.holloway@globalhq.co.nz

Sky TV and internet provided. LK0096664©

03 202 7720, evenings. Please email CV to: office@glenaray.co.nz

Applications close Friday 22nd March 2019

SCOTTY’S CONTRACTORS Under Woolshed/ Cover Yards Cleaning Specialist

JOHNNY GRAY

www.underthewoolshed.kiwi

We’re back and taking bookings

Specialists in mustering Wild Goats, Cattle, Horses and Sheep across New Zealand

Ph: Scott Newman 027 26 26 272 0800 27 26 88

Check out our website and let results speak for themselves

NZ’s #1 service provider for under woolshed cleaning for more than a decade

Ph: 027 959 4166 johnnyanderin2017@gmail.com maiexperiencejohnnygray

Working alongside Crusader Meats

LK0096068©

LK0096609©

www.aotearoastockman.com

Please phone Mike O’Donoghue

Classifieds

ANIMAL HANDLING

ATTENTION FARMERS

DEERLAND TRADING LTD

DOGS FOR SALE

GRAZING AVAILABLE

PROPERTY WANTED

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

SHED/BARN, DEER shed and yards builder available all of South Island. Has selfcontained motor home. 15 years experience. Phone 027 436 8372.

DEERLAND TRADING LTD buying deer velvet this season and paying above the average. Also contractor required to buy deer velvet. Payment on commission basis. Contact 021 269 7608.

TWO HEADING PUPS, 3 1/2 months old. Vaccinated and wormed. Ready to go. $250 each. Matamata. Phone 027 473 8385. YOUNG HEADING and Huntaways. Top working bloodlines. View our website www.ringwaykennels.co.nz Join us on Facebook: Working dogs New Zealand. Phone 027 248 7704. HEADING PUPS, 4 months old. Well bred. Hawke’s Bay. $200 each. Phone 06 928 0910.

FOR 300 R1 DAIRY heifers long term. Experienced grazier, references available. Lucerne, maize silage, crops. Rauweka Station, Gisborne. Phone Mike McKay 06 862 8049.

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

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

CONTRACTORS 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. 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.

w w w. e l e c t r o t e k . c o . n z STOP BIRDS NOW!

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

EARLY DEADLINE NOTICE

DE HORNER

Get your April 8 Farmers Weekly bookings in by midday Tuesday April 2

HOOF TRIMMER

YOUNG HUNTAWAY, ready to start. Phone 06 388 0212 or 027 243 8541.

Tihoi,Taupo 31st Mar Morrinsville 2nd April Feilding 7th April Masterton 11th April Places Limited - 35 $100 pp & $140 pp Free Booklet Mob 027 28 44 639

DOGS WANTED 12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195. BUYING 350 DOGS annually South and North Islands. No one buys or pays more! www. youtube.com/user/ mikehughesworkingdog/ videos. Phone 07 315 5553 or 021 030 0037.

FARM WANTED

annaholland@xtra.co.nz www.annaholland.co.nz

Come see us at CD Field Days – Site D15

Material deadline 5pm Tuesday April 2

SOUTH CANTERBURY or surrounding area. We are a young family looking to purchase our first farm. Ideally 100ha-200ha crop and grazing land, but anything considered. Please contact us on 027 928 8573 or mattgall1@ hotmail.com

GOATS WANTED

LK0096621©

LK0096656©

Contact Debbie Brown DDI: 06 323 0765 0800 85 25 80 classifieds@globalhq.co.nz

Phone: +64 6 357 2454 EARMARKERS

45 HEADING AND HUNTAWAYS in stock! Deliver South and North Islands, Trial, Guaranteed. Trade ins wanted. www. youtube.com/user/ mikehughesworkingdog/ videos Phone 07 315 5553, 021 030 0037.

with Anna Holland

ZON BIRDSCARER

electro-tek@xtra.co.nz

DOGS FOR SALE

FARM DOG TRAINING DAY

LK0096371©

0800 436 566

Applicants for this position should have NZ residency or a valid NZ work visa and will be required to have a clear pre-employment drug test. Please contact Jason Taitoko 07 878 4834, email wharekiri@tiroatehape.maori.nz for further information or a copy of the job application and description.

Applications close Monday, March 18.

ANIMAL HEALTH

Both positions come with competitive remuneration, a great work environment and good housing. LK0096720©

Accommodation: Very comfortable single quarters. Cooked evening meal Monday to Friday. Cooked winter lunches.

If you’re ready for the responsibility and the challenge, we invite you to register your interest and request a job description now.

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

SHEPHERD GENERAL The successful applicant will have a broad range of skills including fencing and general farm maintenance. You will conduct a variety of roles supporting the whole farm team with stock work from time to time. 1-2 dogs would be beneficial but not essential for the role. Like the above role you will need to be an excellent communicator and work well within the team.

You’ll need: • 4 trained dogs • horse experience preferred • current drivers licence

With a great working environment comes serious responsibility, decision making, and company collaboration with teams working across our diverse suite of highly respected products: Farmers Weekly, Dairy Farmer, On Farm Story and a range of custom publications and reports. GlobalHQ, based in Feilding, is an agile multi-media enterprise with plenty of scope to grow, delivering exciting opportunities for the right candidate.

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

SHEPHERD The successful applicant would require 2-3 good working dogs and have had experience with finishing both lambs and cattle.You will need to have excellent stockmanship, clear written and oral communication, and be able to work both independently and in a team environment.

Glenaray Station, 70,000su sheep, cattle and deer, is looking for a shepherd to join our team. Located near Waikaia township, we have very good facilities and modern vehicles. Dog training and other training is offered.

Your week will be spent creating high level analysis and commentary relied on by primary sector business at all levels of the value chain. You will build professional relationships, extracting the right information from a wide range of industry sources. You will be working in a team the primary sector turns to first for independent content they value to keep them informed and give them a competitive edge.

Wharekiri Station is a 1,080ha effective property situated in Benneydale, 35 minutes from Te Kuiti and part of the Tiroa E and Te Hape B group of farms covering 7,500ha effective. Wharekiri Station winters 12,000 stock units made up of a high performing breeding ewe flock and beef finishing system. Due to the changes in the operation of the farm we now have two vacancies available.

SHEPHERD

Using the latest tools you will be producing in-demand saleyard and market reports. You will be immersed in the business of farming helping produce our flagship AgriHQ report – LivestockEye, and in doing so, build on the strong relationships we have with industry contacts.

DOLOMITE

LK0096704©

A 3-bedroom house is provided. Bus at gate for primary and secondary schools.

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

LK0096721©

NEED

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

We are a no-frills fuel company with low overheads, supplying quality fuel. No loyalty scheme, no giveaways, just service and fuel that is at the best price possible for our customers

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.

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

LIVESTOCK FOR SALE WILKSHIRE EWE LAMBS, #68, 45kgs, Benneydale. POA. Phone 027 280 6747. RAMS. HILL COUNTRY Perendales. Easy care with good size and quality wool. $250-$500. Phone 06 376 4751 or 021 133 7533. RAMS. TERMINAL SIRES Southdowns and Suffolk/ Southdown X for heavy fast growing lambs. Suitable for Hogget mating. $250$500. Phone 06 357 7727 or 021 133 7533.

MARTON LIONS CLUB MARTON LIONS CLUB mans shed. VIEW spitfire aeroplane, shearing gear, milking goats, bottles, vintage machinery, cars, trucks, tractors, helicopter, Mack trucks, Steel sculptures and more. Saturday 16th March, 2019. 9.00 to 3.00 Registration Marton Memorial Hall & Spitfire hanger Ohakea Air Base, from 8.30. Cost $30.00 cash only. Raising funds for Palmerston North Rescue Helicopter. Murray Richardson Convenor 06 3278503. Steve Carkeek 0274 993 165.

STOCK FEED HAY 12 EQUIVALENT squares $60. 15 equivalent rounds $70. STRAW 12 equivalents $45. BALEAGE at $75. Unit loads available. Phone 021 455 787.

WANTED TO BUY KOMATSU EXCAVATOR PC60-5. Suit wrecking or parts. Phone 027 4403 699. 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.

FOR SALE CLASSIFIEDS ADVERTISING

Do you have something to sell?

Call Debbie

0800 85 25 80 classifieds@globalhq.co.nz

AT A FIELD DAY NEAR YOU

South Island Agricultural Field Days March 27 - 29

LK0096477©

MARCH 14-16TH 2019 – SITE NUMBER: V39

■ Ideal for shearing sheep, alpacas, goats and cow tails ■ Variable speed from 2400-3500 rpm ■ Latest brushless motor technology means minimal heat build up ■ 1400gms means 100-200gms lighter than standard handpiece ■ At 2700 rpm the 12-volt lithium battery will crutch up to 300-400 sheep, 400-500 cow tails ■ Tough alloy switch box with auto reset fuse for overload or lockup – clips to belt

t os le re m iab he s ar s ld v r i or ul e W erf lipp w c po ed e sp

COME AND SEE US AT THE CD FIELD DAYS www.taylorpreston.co.nz

Central Districts Field Days March 14 - 16

handypiece

YOU MIGHT BE THE ONE TO WIN!

Drop your details in our tent and be in to win the daily draw of a box of cuberolls or a butchery knife pack.

Northland Field Days February 28 - March 2

Field Days Special – receive an extra lithium battery LK0096235©

See us at CD Field Days – site G14A

View in action go to www.handypiece.co.nz

It is with great pleasure that CRGrace Ltd and Taylor Preston Ltd invite you to join us to have the opportunity of better understanding our business, learn more about our overseas markets and discuss your future livestock supply options.

Free call 0800 474 327

Email: dave@handypiece.co.nz

WATER

Auto Mix + Spray The intelligent new automatic teat spray mixer and dispenser from GEA‘s FIL. Meet the gold standard in teat spray formulation – get an accurate mix of water, teat spray and emollient made and dispensed ‘fresh’ every milking. This pressurised unit can be retrofitted to any system or used as a standalone. Visit us on site H15;H16 at Central Districts Field Days or talk to your local GEA FIL Area Manager on 0508 434 569.

TEAT SPRAY

SAVE

EMOLLIENT

OVER

$2,500* ... ASK US HOW! *Terms and conditions apply. For full terms and conditions, talk to your local FIL Area Manager.

100% KIWI OWNED AND BUILT! • Farm Workers Accommodation • Additional Family Dwelling (Great for the Kids or Parents) • Rental Income 25% + Yield • Bed & Breakfast

Deluxe Two Bedroom with Kitchen, Lounge & Bathroom Featuring: • Double Glazing • Fully insulated top to bottom • Quality Oven, Hobs and Rangehood • Washing Machine Taps and Plumbing • Delivery North Island $3,500

Only $79,500! (Including GST)

Come see us at Central Districts Fieldays 14-16th March, 2019 Site 073, Northfuels Track

Show homes available to view 10am – 4pm at 51 Hunua Rd, Papakura, Auckland For more information P. 0800 468 736 E. info@houseme.co.nz / houseme.co.nz

AT A FIELD DAY NEAR YOU

Northland Field Days February 28 - March 2 Central Districts Field Days March 14 - 16 South Island Agricultural Field Days March 27 - 29

buckle up for the trip of your life to

Central and Eastern Europe

Dont miss out!

Bookings close end of March 2019.

Phone 06 357 1644

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

crmcphail.co.nz

2444FW2019

To book – call in and talk to the CR McPhail team at Central Districts Field Days Site AG23.

Livestock

Looking for quality heifer grazing? Available May 1 Thursday 7 March 2019 Approximately 2500 Weaners Start time 1pm

Ratapiko Dorpers

965 Weaner strs – Char, Sim, Santa, Ang, x strs 460 Weaner bulls – Char, Sim, Ang, Frsn, x bulls 1085 Weaner hfrs – Char, Sim, Ang, Santa, W/F, x hfrs

• Reared and tested on hill country • SIL data and photo on sales page

Rodger Sloane 027 490 8368 Reuben Wright 027 284 6384

Broadwood Sale

Farmers Weekly also publishes a free weekly e-newsletter during autumn and spring that showcases bull sale results from around the country. Adding digital advertising options to link to your catalogue offers added benefits.

To find out more, contact Nigel Ramsden on 06 323 0761, 027 602 4925 or email livestock@globalhq.co.nz

farmersweekly.co.nz

Friday 8 March 2019 Start time 1pm Broadwood Male:

LIVESTOCK ADVERTISING

1100 Char, Sim, Ang, x strs 500 Char bulls Broadwood Female: 1400 Char, Sim, Ang, x hfrs Craig Murray 09 409 5501 Dan Sweetapple 021 046 0755

LK0096712©

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

Phone 06 756 9197

Are you looking in the right direction? Call Nigel 0800 85 25 80 livestock@globalhq.co.nz

LK0096685©

www.ratapikodorpers.co.nz • $550 + GST

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

LK0096726©

Prograze 027 281 4232

Peria Weaner Fair

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

Livestock

FARMERS WEEKLY – March 4, 2019

FOR SALE

**COMPLETE EWE FLOCK**

260 x ROMNEY 2TOOTH EWES 1050 x ROMNEY 4TH-5YR EWES 60 x ANGUS DAIRY BULLS 520kg

Wellsford Weaner Steer Fair Monday 4th March 2019 – 12.00pm start On behalf of various Carrfields clients, annual drafts of approximately 300 weaner steers comprising approximately:

16 x HEREFORD BULLS 530kg

STOCK REQUIRED STORE LAMBS 25-35kg 2YR FRIESIAN BULLS 350-420kg

30 Char & Charx Strs 40 Ang & Angx Strs 40 Here & Hfrdx Strs 170 Here/Frsn Strs 20 xbred Strs

LIVESTOCK ADVERTISING

Are you looking in the right direction?

Further inquiries contact Robert McLean 027 590 4829 www.dyerlivestock.co.nz

Kauri Weaner Steer Fair Tuesday 5th March 2019 – 12.30pm start

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

On behalf of various Carrfields clients, annual drafts of approximately 470 weaner steers comprising approximately: 30 Here Shrn x Strs 50 Ang Here x Strs 50 Here Strs 120 Charolais Strs 220 Ang Strs

livestock@globalhq.co.nz

Kaikohe Weaner Steer Fair

Wellsford Weaner Steer Fair

567 JV Grant Road, Wellsford

Monday 11th March 2019 – 12.00pm start

Thursday 28th March 2018 12.00pm Start

On behalf of various Carrfields clients, annual drafts of approximately 300 weaner heifers comprising approximately: • 30 Char & Charx Heifers • 40 Ang & Angx Heifers • 40 Here & Hfrdx Heifers • 170 Here/Frsn Heifers • 20 xbred Heifers

Wednesday 6th March 2019 – 12.30pm start On behalf of various Carrfields clients, annual drafts of approximately 950 weaner steers comprising approximately: 200 Sim Strs 200 Char Strs 400 Ang Strs 150 Here Angx & Here Strs

Further inquiries contact Robert McLean 027 590 4829

www.carrfieldslivestock.co.nz

Tuesday 12th March 2019 – 12.30pm start

Peria Weaner Fair

On behalf of various Carrfields clients, annual drafts of approximately 300 weaner heifers comprising approximately: • 100 Charolais Heifers • 00 Ang Heifers • 100 Ang & Herex Heifers

Thursday 7th March 2019 – 12.30pm start On behalf of various Carrfields clients, annual drafts of approximately 1430 weaners comprising approximately: • 150 x Sim Strs • 170 Char Strs • 70 Ang & Here Strs • 200 Here Frx Strs Cow reared • 180 x Sim Bulls • 150 x Frsn Bulls • 140 x Simx Hfrs • 140 x Charx Hfrs • 80 x Ang Hfrs • 150 x HereFr & AngFr Hfrs

Spring Calving Herds 460 F/FX Herd BW72 PW87 RA90% DTC 24/7 Web Ref DH1272 Sharemilkers exiting the industry Strong framey cows 370ms low SCC $1950neg 360 Fr Herd BW40 PW49 DTC 15/7 Web Ref DH 1326 Milked on difficult farm. Has averaged 410ms previously. $1700 190 Xbred herd BW100 PW139 RA95% DTC 27/7 Web Ref DH1323 Well-bred herd with high indexes. 435ms, Low SCC $1950ono 70 F 2nd Calvers BW105 PW99 RA100% DTC 27/7 Milked in a large herd. Long cold winters. These cows will impress. $1950 140 F/FX In-Calf Heifers BW111 PW124 DTC 25/7 Capital line out of hard-working herd. $1700 Philip Webb Ph: 027 8018057 Central & Southern North Island Dairy Coordinator

Further inquiries contact Tim Williamson 027 511 7778

Kaikohe Weaner Steer Fair Wednesday 13th March 2019 – 12.30pm start

Further inquiries contact Reuben Wright 027 284 6384

On behalf of various Carrfields clients, annual drafts of approximately 500 weaner heifers comprising approximately: • 200 Char Heifers • 150 Ang Heifers • 150 Here Angx & Here Heifers • 50 Simx Heifers

Broadwood Weaner Fair

Further Inquiries contact Neil Miller 027 497 3492 Reuben Wright 027 284 6384 Rhys Dackers 027 241 5564

Friday 8th March 2019 – 12.30pm start

Broadwood Weaner Fair

On behalf of various Carrfields clients, annual drafts of approximately 400 weaners comprising approximately: • 140 Char & Charx Strs • 80 Ang & Angx Strs • 15 Shorthorn Strs • 150 Charx Wnr Bulls • 20 Ang & Angx Wnr Bulls

On behalf of various Carrfields clients, annual drafts of approximately 450 weaners comprising approximately: • 200 Char & Charx Heifers • 150 Ang & Angx Heifers • 100 W/f Heifers

Further inquiries contact Reuben Wright 027 284 6384 or Dan Sweetapple 021 046 0755

Friday 14th March 2019 – 12.30pm start

www.carrfieldslivestock.co.nz

22 x Incalf Cow & Calves 12 x Incalf R2yr Heifers 3 x Herd Sires 1 x Frozen Embryo (SGT Pepper) Variety of Semen Straws

Contact Rhys Dackers 027 241 5564

Kauri Weaner Steer Fair

Further Inquiries contact Neil Miller 027 497 3492 Reuben Wright 027 284 6384 Rhys Dackers 027 241 5564

www.carrfieldslivestock.co.nz

• • • • • •

LK0096671©

Rivendell Simmental Dispersal Sale

Further inquiries contact Tim Williamson 027 511 7778

• • • •

farmersweekly.co.nz/ewehogget2019

0800 85 25 80

280 Top Quality Xbred Cows. BW63 PW86 RA 92%. DTC 25/7. Web Ref DH1232 Young Xbred herd 420ms system 3. 7% empty rate, Low SCC. $1700. 250 Proven OAD Xbred Herd BW103 PW132 LW129 RA87%. DTC 19/7. Web Ref DH1236 On very steep Northland farm, long walks. System1. $1700 130 FR/Xbred Early Calving Cows BW102 PW138 RA99% DTC 25th June to 20th July to AB. 25 years breeding that includes some exceptionally high Indexed cows. $2000 70 KiwiX Computer Split BW80 PW103 RA90% DTC 18/7, system 3 $1720 or pick 50 for $2150

LK0096383©

• • • • •

ENTER AT

Call Nigel

Ross Dyer 0274 333 381

LK0096707©

• • • • •

LK0096640©

Paul Kane: 027 286 9279 National Dairy Coordinator

www.carrfieldslivestock.co.nz

Livestock

FARMERS WEEKLY – March 4, 2019

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

SALE TALK

EARLY DEADLINE NOTICE

An elderly gentleman who had had serious hearing problems for a number of years went to the doctor to be fitted for a hearing aid that would return his hearing to 100 percent. The elderly gentleman went back for further tests a month later and the doctor said, “Your hearing is perfect. Your family must be really pleased that you can hear again.”

Autumn Ram Sale

To which the gentleman replied, “Oh, I haven’t told my family yet. I just sit around and listen to the conversations. I’ve changed my will three times!”

Material deadline 5pm Tuesday April 2

MAY – MAY

Full shedding Hard black feet Big and brawny Easy natured

Grazing available for Heifers from 1 May 2019

Genetics from Morrisson, Glenbrae and McMillan.

Large areas available

2th @ $450 + GST Ram lamb @ $200 + GST

GRAZING AVAILABLE Central North Island

• Summer safe • Facial Eczema safe

• Romney • Romdale • Perendale x Tex x Romney • Texel x Romney • kelso. x Romney • kelso. Maternal • kelso. Terminal (Blackface)

Visit us at the Wanaka Show – next to the Rugby club on ringside sharing our tent with Beltex NZ

3rd Annual Angus In-Calf Female Sale May 1st - 12pm on-farm

Approx. 80 fully - recorded Stud Females R2, R3, R4, and Annual Draft Cows – 50 R2 Commercial heifers, Meadowslea Bred

Contact: David Giddings 03 685 8027

Brook & Rachel 09 232 9875 puririheights@gmail.com www.puririwiltshire.com

Managed by ex-dairy farmers, weighed and drenched regularly with weight reports provided.

LK0096695©

LK0096617©

You will not be disappointed

Drench and Jersey Bulls provided

LK0096655©

March 15th – 1pm on-farm SH 8, Fairlie 150 2th rams – 7 breeds, including a selection for hogget mating

Puriri Wiltshire Rams for sale

Get your April 8 Farmers Weekly bookings in by midday Tuesday April 2

Contact Nigel Ramsden DDI: 06 323 0761 0800 85 25 80 livestock@globalhq.co.nz

Auctioneers: PGGW

Keith Willson 027 412 5766

Carrfields PWA RLL

Callum Dunnett 027 5870131 Hamish Zuppicich 027 403 3025 Anthony Cox 027 208 3071

LIVESTOCK ADVERTISING Are you looking in the right direction?

For more information call:

farmersweekly.co.nz

Des van der Wal 021 933 018

Your source for PGG Wrightson livestock and farming listings

Key: Dairy

Cattle

Sheep

Other

ISOLA HEREFORD DISPERSAL SALE

DAIRY HERDS & IN-CALF HEIFERS FOR SALE NORTH ISLAND HERDS & IN-CALF HEIFERS FOR SALE 350 MA Frsn/Frsn X Cows BW 96

PW 114

255 MA Frsn/Frsn X Cows

$1,950+GST

RA98% Long established Frsn/Frsn X herd producing over 430 m/s . Chris Ryan – 027 243 1078 Agonline ref: 2415

90 M/A Frsn/Frsn X Cows BW 74

PW 117

BW 92

•

PW 124

150 MA Jersey Cows

$1,880+GST

BW 112

•

PW 142

$1,800+GST

•

RA97% 28 Low SCC, on target for 1400 m/s h/a this season. Regan Craig – 027 502 8585

Excellent line up of Jersey Cows from top operators. Would go well in any system. Steve Taylor – 027 648 6711

Agonline ref: 3007

Agonline ref: 3040

71 Frsn, Frsn/Frsn X InCalf Heifers

$1,750+GST

BW 120

•

PW 110

$1,500+GST

62 Friesian InCalf Heifers BW 41

•

PW 43

$1,200+GST

•

RA97% Spring Calving content out of Autumn Calving Herd, Great Age Structure Dean Evans – 027 243 1092

RA75% Capital Line of InCalf Heifers, Well Grown, “Animals Worth Inspection”. Matt Hughes – 027 405 2824

RA100% Calving 14th July, Jrsy Bull, Saan breeding, well grown. Regan Craig – 027 502 8585

Agonline ref: 3064

Agonline ref: 2547

Agonline ref: 2780

620 M/A Friesian, X/Bred Cows BW 84

PW 105

135-2yr Frsn, Xbred 2nd Calvers

$1,700+GST

BW 57/44

•

PW 73/62

$1,800+GST

•

460 M/A Friesian, X/Bred Cows BW 62

PW 80

$1,850+GST

RA93% Complete herd of rising 2nd calvers. Incalf to nominated A2 A2 LIC sires. Kim Harrison – 027 501 0013

RA82% Strong capacious Cows with very tidy udders, run on rolling to hilly country. Craig Murray – 027 322 0063

Agonline ref: 2886

Agonline ref: 3009

Agonline ref: 1707

216 M/A Frsn, Jsy, X/Bred Cows BW 92

PW 111

$1,875+GST

•

SOUTH ISLAND

95 Friesian Incalf Heifers BW 115

PW 103

469 M/A Frsn, Jsy, X/Bred Cows

$1,600+GST

•

BW 82/43

PW 109/56

Sales start at 11.30am at Feilding Saleyards Thursday 14 March – All Sexes Wednesday 20 March – Str & Bull Thursday 21 March – Hfr Thursday 4 April – All Sexes Wednesday 10 April – Str & Bull

Thursday 11 April – Hfr Wednesday 17 April – All Sexes Wednesday 24 April – Sue Bros – All Sexes Wednesday 1 May – Str & Bull Thursday 2 May – Hfr Thursday 16 May – All Sexes

$1,950+GST

•

RA93% Top Young Herd at just 3.71 yrs avg, good clean well uddered Herd. Andrew Leggett – 022 038 3216

RA98% Outstanding line of straight Friesian, Capital Stock Heifers VIC. Tim Pickering – 027 446 9963

RA92% Mated to Friesian A2A2, only 70 Kg PK bought in last season for drought. Roddy Bridson – 027 458 2775

Agonline ref: 2020

Agonline ref: 2841

Agonline ref: 2644

LOCK IT IN! LIST YOUR DAIRY HERD NOW. PGG Wrightson Dairy representatives are specialists at marketing and selling dairy herds. Benefit from the specialist team that is dedicated to matching herds with the right buyers and achieving an optimal outcome for your business.

FEILDING CALF SALES

•

RA94% System 2 being used, G3 Profiled with excellent fertility. Chris Johnston – 027 257 4091

NORTH ISLAND HERDS

Ms Diane Murdoch 60 Kidd Road, Waiuku Saturday 6th April 12.30pm Comprising of 31 Ris 2 yr in calf Hfrs 73 MA in calf cows 6 MA Herd Sires Rarely does the opportunity arise to purchase females of this quality. Faithfully farmed on genuine hill country for 20 years and in the Onewhero district for the last 12 years. • PTIC Due to calve 29th of July • All sale lots are below the breed average for birth (by a considerable amount). • All sale lots are better than the Trans Tasman average Calving Ease Direct. (With a large proportion in excess of +9) • 91% of the sale lots are above average for the Dairy Maternal Index (up to $200) All females pregnancy tested 19/2/19 TB C10 Further enquires to Cam Heggie Kane Needham PGG Wrightson Genetics PGG Wrightson Pukekohe 0275018182 0278393612

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

MATAWHERO SALE

PRELIMINARY NOTICE - MATAURI ANGUS 2YR & R2YR HEIFER SALE

Tuesday 26th March, 11.00am A/C Morunga Station - Matawai 250 x 2 1/2yr Ang & Exotic X hill country steers. Tony Blackwood 027 243 1858 Jamie Hayward 027 434 7586

Friday 26th April 12.00pm

80 R2yr Angus Hfrs 20 2yr Angus Hfrs Registered & Transferable. More info to come. Cam Heggie 027 501 8182

COLVILLE WEANER FAIR

NATIONAL TEAM. LOCAL KNOWLEDGE. Freephone 0800 10 22 76 | www.pggwrightson.co.nz

Wednesday 6th March 12.00 Approx 700 Calves 350 Wnr Hereford Bulls David Stuart 027 224 1049

FIND US ON FACEBOOK Follow what’s happening out in the field, visit: fb.com/pgwlivestock

Helping grow the country

MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Suz Bremner

Nicola Dennis

Mel Croad

Cattle

Reece Brick

Caitlin Pemberton

Sheep

BEEF

Deer

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

5.25

5.60

NI lamb (17kg)

7.00

7.10

6.95

NI Stag (60kg)

9.50

9.55

10.80

NI Bull (300kg)

4.90

5.00

5.50

NI mutton (20kg)

5.00

4.75

SI Stag (60kg)

9.55

9.65

10.80

NI Cow (200kg)

3.60

3.70

4.40

SI lamb (17kg)

6.75

6.80

6.85

SI Steer (300kg)

5.10

5.45

SI mutton (20kg)

4.80

4.85

4.70

SI Bull (300kg)

4.85

4.95

5.25

Export markets (NZ$/kg)

SI Cow (200kg)

3.60

3.70

4.30

UK CKT lamb leg

8.83

8.72

8.99

US imported 95CL bull

7.02

7.04

6.84

US domestic 90CL cow

6.83

6.80

6.58

Slaughter price (NZ$/kg)

Export markets (NZ$/kg)

6.0

Last year

Slaughter price (NZ$/kg)

10 9 8 7 6

7.0 6.0

$/kg CW

4.5 South Island steer slaughter price

6.0

South Island lamb slaughter price

7.0

5-yr ave

Apr

Jun

2017-18

Oct

Dec 5-yr ave

Feb

Aug 2018-19

Jun

Aug 2018-19

Last week

Prior week

Last year

Coarse xbred ind.

2.87

2.86

2.96

37 micron ewe

2.70

$/tonne

6.5 6.0

May-18

Jul-18 Sept. 2019

Sep-18

Nov-18 Sept. 2020

Last price*

NZ average (NZ$/t)

625

523

3.00

Super

321

307

5.05

DAP

833

775

Top 10 by Market Cap Company

YTD High

YTD Low

The a2 Milk Company Limited

14.31

14.85

10.42

Meridian Energy Limited (NS)

3.69

3.82

3.38

Auckland International Airport Limited

7.77

7.065

Fisher & Paykel Healthcare Corporation Ltd

14.7

14.75

12.3

Spark New Zealand Limited

3.73

4.18

3.61

Ryman Healthcare Limited Mercury NZ Limited (NS)

370

Feb-18

vs 4 weeks ago

Fertiliser Urea

Apr-18

Jun-18

Aug-18

Oct-18

Dec-18

Feb-19

CANTERBURY FEED BARLEY Prior week

Aug 2018-19

Last year

420

320

Jan-19

DAIRY FUTURES (US$/T) Nearby contract

Jun

Prior week

470

Mar-18

Apr 2017-18

Last week

CANTERBURY FEED WHEAT

7.0

$/kg MS

Apr 2017-18

Grain

Data provided by

MILK PRICE FUTURES

5.5

Feb

FERTILISER

30 micron lamb

Dairy

Dec 5-yr ave

(NZ$/kg) Feb

Oct

6.0

WOOL

Dec

5.0

Oct

9 7

5.5

4.5

8.0

4.0 $/kg CW

11 $/kg CW

$/kg CW

5.0

9.0

South Island stag slaughter price

5.0 4.0

Last year

North Island stag slaughter price

8.0

5.5

Last week Prior week

North Island lamb slaughter price

9.0 $/kg CW

North Island steer slaughter price

Last week Prior week

$/kg CW

Slaughter price (NZ$/kg)

Ingrid Usherwood

11.5

10.4

3.69

3.79

3.51

Contact Energy Limited

6.33

6.49

5.82

Fletcher Building Limited

4.89

5.34

4.78

Port of Tauranga Limited (NS)

5.34

5.45

4.9

Listed Agri Shares

5pm, close of market, Thursday

Company

YTD High

YTD Low

440

The a2 Milk Company Limited

14.310

14.850

10.420

4.120

5.420

4.090

3200

3100

2880

420

9.950

9.960

9.400

SMP

2540

2490

2430

400

Delegat Group Limited Fonterra Shareholders' Fund (NS)

4.170

4.850

4.170

Foley Wines Limited

1.650

1.670

1.470

AMF

5450

5210

Livestock Improvement Corporation Ltd (NS)

0.860

0.750

Butter

4465

4250

New Zealand King Salmon Investments Ltd

2.220

2.280

2.100

PGG Wrightson Limited

0.510

0.570

0.470

Milk Price

6.40

6.35

6.27

Sanford Limited (NS)

6.630

6.980

6.500

Scales Corporation Limited

4.750

4.820

4.340

SeaDragon Limited

0.003

0.002

Seeka Limited

4.980

4.200

Synlait Milk Limited (NS)

10.520

10.900

8.860

T&G Global Limited

2.810

2.770

S&P/NZX Primary Sector Equity

16222

16563

15063

S&P/NZX 50 Index

9325

9345

8732

S&P/NZX 10 Index

9011

9038

8280

$/tonne

WMP

Comvita Limited

320

Feb-18

WMP FUTURES - VS FOUR WEEKS AGO

Apr-18

Jun-18

Aug-18

Oct-18

Dec-18

Feb-19

WAIKATO PALM KERNEL

3400

350

$/tonne

3200 US$/t

360 340

* price as at close of business on Thursday

3000 2800 2600

380

Mar

Apr May Latest price

Jun Jul 4 weeks ago

Aug

300 250 200

Feb-18

S&P/FW PRIMARY SECTOR EQUITY

Apr-18

Jun-18

Aug-18

Oct-18

Dec-18

Feb-19

16222

S&P/NZX 50 INDEX

9325

S&P/NZX 10 INDEX

8280

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

5.25

SI SLAUGHTER BULL ( $/KG)

4.85

SI SLAUGHTER STAG ( $/KG)

9.55

BONER FRIESIAN COWS, 530-595KG, AT TEMUKA ( $/KG LW)

1.37

Lucky Gisborne gets rain NORTH ISLAND

ORTHLAND had some rain last week but not as much as forecast – it ranged from 17mm to 60mm. Milk production is going backwards and follow-up rain is critical though there’s none in the forecast. Dairy farmers are looking at recruiting staff for the new season starting on June 1. There is a shortage of skilled people so they don’t want to leave it to the last minute. Pregnancy results are in for dairy herds. In some just 4% have failed to get in calf and in others it’s up to 20%. The ag consultant we speak to says farmers need to dig through and try to work out what worked or what didn’t for their cows. Pukekohe had 12mm of rain earlier in the week, which did help some crops but then windy days soon dried the ground out. Some potato growers have lost up to half their crops because of damage from the tuber moth. Onion growers are busy preparing export orders and the kiwifruit industry is advertising lots of jobs. Waikato had a smidgen of rain at the weekend, between 10mm and 15mm, but nowhere near enough. Farmers were hoping for 100mm. It has gone from being dry to very dry and farmers are now actively looking to get rid of surplus stock. They are feeding out heavily but need to keep in mind whether they’ll be leaving enough in the cupboard for winter and next summer. The maize harvest is under way – almost two weeks early. There will be reasonable yields but the silage crop will have lower energy than hoped because it’s been too dry for the cobs to fill out nicely. Bay of Plenty has had some muchappreciated rain but the order has gone out for some more. Green kiwifruit is looking happy. Dairy farmers are pleased with Fonterra’s lift in forecast milk price but not so happy with the drop in dividend. It has been a bit cooler in King Country. Northern King Country soaked up about 30mm to 40mm of rain at the weekend and Taumarunui a bit more. People have been worried about facial eczema spore counts taking off following the rain but the cool mornings seem to have held them at bay. Feed is steadily disappearing. Central Taranaki dairy farms could do with some rain. There were a few showers last Friday but a follow up is needed as grass growth rates are down to 20kg/ ha/day. Farmers who have completed pregnancy testing are culling empties while some farms are going to 16-hour or once-a-day milking. Gisborne had another really good week with rain and some cracker days too. The tomato harvest is coming to an end. There are heaps of squash for sale at really good prices – a dollar a squash – and if you know someone who knows someone you can take a trailer into a harvested paddock and pick up the unwanted or broken squash and take it home to your pigs. Sheep and beef guys are happy. There is still lots of feed around and it is getting cooler, which makes working outside a lot easier. Hawke’s Bay had some fabulous

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THIRSTY: Marlborough vineyards are desperate for water.

weather for apples. Three nights in a row the temperatures dropped into the single digits, which is just what you need for the apples to colour up. Sugars are down though because of the rain early in the season. Royal gala is still coming off. Jazz starts this week. There was 40mm of rain at the weekend so sheep farmers are like dogs with two tails. The temperature has plummeted in Wairarapa. It was only 2C on Friday morning. Sheep that have been given a haircut at the Golden Shears will have noticed the change. Manawatu looks very brown but lots of sheep were outside woolsheds under perfect skies waiting for a shear. Horowhenua was lucky enough to get 55mm of rain so pasture growth picked up. The early maize silage crop is coming off – earlier than usual. SOUTH ISLAND The Nelson/Motueka area is a droughtdeclared zone. Water restrictions are at 35% of allocated water, which means about 10mm a hectare a week. Vegetable growers have cancelled planting winter veges. The dry, hot weather has affected the size of apples coming off the trees and some greenhouse growers have been trucking in water from as far afield as Lake Rotoiti for tomatoes, cucumbers and peppers. Sheep and beef farmers are destocking because of a lack of water. There’s a lot of stress and worry about the impact of the drought on livelihoods. The region’s also had the most extreme fire days on record. A good dose of rain is needed in Marlborough too. Many vineyards are desperate for water. The Southern Valley Water Scheme’s been off now for close to a month so water tankers can be seen going from vineyard to vineyard. Fruit’s

coming off up to 10 days earlier than usual but yields will drop if grapes are water-stressed. Sheep farmers are getting ewes ready for the ram. One farmer is feeding them pea and lucerne balage, a high-protein diet that gets ovulation rates going. It’s still very dry up the Grey Valley on the West Coast. A few millimetres are forecast for the next week but more is needed for pasture growth. To keep milk production levels up dairy farmers are feeding out silage, balage and grain. Paddocks are being sown with new grass and pregnancy testing continues. A great rain arrived a week ago in Canterbury – particularly on the upper plains and parts of North Canterbury where 50mm plus fell. Many other parts got only 10mm-20mm and are looking for more. With lower temperatures and some rain, pasture growth is on the improve. Temperatures over the last few weeks have been too high for rye grass pastures so growth rates have been low for the time of year. That has resulted in many farmers having to feed out. The bulk of the arable harvest is now complete with only later crops such as radish and carrot seed to go. South Otago had 10mm of rain on Wednesday and it was welcomed by all as feed quality is down because of the dry. Fortunately, winter crops seem to be in good order though. Sheep farmers are getting ready to flush ewes for mating and there’s still a bit of shearing going on. A dairy farmer near Invercargill in Southland says he’s had a bit of moisture this week, 12mm-13mm – enough to keep the grass growing but a bit more would be handy. Dairy cow pregnancy results are in and he’s reasonably pleased with a 10% empty rate. Oats, wheat and barley are being harvested and the last of the paddocks are being regrassed for light winter grazing and calving.

Courtesy of Radio New Zealand Country Life You can listen to Country Life on RNZ at 9pm every Friday and 7am on Saturday or on podcast at radionz.co.nz/countrylife

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NI SLAUGHTER STEER ( $/KG)

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FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

Beef weaner fairs kick off With the first hammer falling just after noon last Wednesday at Rangiuru, the 2019 beef weaner fair season kicked off. Results at this fair could not match the record levels seen in 2018, but it was deemed a success with values in line with 2017. Weaner fairs will be held at most sale yards around the country from now until early May.

NORTHLAND Wellsford grown cattle fair • R3 Hereford-Friesian steers, 518-614kg, eased to $2.61-$2.69/kg • R2 Angus steers, 414kg, softened to $2.81/kg • R2 Hereford-Friesian steers, 356-428kg, came back to $2.78-$2.88/ kg • R2 Angus heifers, 431-458kg, eased to $2.55-$2.63/kg • R2 beef-dairy heifers, 320-470kg, softened to $2.58-$2.73/kg The current weather pattern of hot dry conditions did not help matters at WELLSFORD last Monday, with a very small buying bench lacking the depth to make a competitive market. Quality was there throughout the yarding, but vendors had to meet the market, meaning results were down on 2018 levels with all sections discounted 20-50c/kg. R2 cattle made up most of the yarding with 324 steers and 171 heifers penned. Charolais steers eased to $2.82$2.83/kg, as did Hereford-cross, 395-465kg, to $2.73-$2.89/ kg. Angus-Friesian steers, 405-453kg, made $2.69-$2.79/kg. R2 Friesian bulls, 401-438kg, softened to $2.53-$2.59/kg. Kaikohe cattle sale • Boner Friesian cows eased to $1.65-$1.70/kg • Top R2 steers made $2.80/kg; most others $2.65-$2.70/kg • R2 heifers traded at $2.60-$2.62/kg • Weaner beef-cross steers traded at $3.20-$3.40/kg • Weaner heifers mainly sold for $2.70-$2.80/kg The previous week’s stronger market could not be sustained at KAIKOHE last Wednesday, with prices back to those seen a fortnight ago, PGG Wrightson agent Vaughan Vujcich reported. Volume was moderate at 350 head with most beef-cross. One line of R2 Angus-cross bulls made $2.56/kg, while weaner bulls traded at $2.80-$3.10/kg. Dairy-beef weaner steers made $350-$380.

AUCKLAND Pukekohe cattle sale • Good prime steers sold for $2.78-$2.80/kg • Boner cows varied from $0.95/kg to $1.80/kg • Medium R2 steers sold for $2.71-$2.88/kg • Good R2 heifers made $2.46-$2.62/kg • Weaner heifers earned $440-$720 Demand was solid at PUKEKOHE on Saturday 23rd February, though at a lesser level than earlier in the year due to dry conditions and falling schedules. Most cattle were forward types and older crossbred steers in light condition traded at $2.31-$2.73/kg, while medium prime heifers earned $2.60/kg. Heavy bulls exceeded $2000 to trade at $2.33-$2.40/kg. Store results were mixed and medium R2 heifers sold for $2.56-$2.73/kg, while weaner steers earned $490-$650.

COUNTIES Tuakau sales • Charolais weaner heifers, 278kg, made $790 • Hereford heifers, 218kg, earned $750 • Prices for prime steers and heifers eased by 10c/kg • Top prime ewes fetched $209 TUAKAU hosted a special weaner fair last Thursday, with around 1200 beef heifers on offer, Karl Chitham of Carrfields Livestock reported. While most lots came forward in very good order, dry conditions meant the market didn’t hit the same heights as the previous year. Heavy exotics sold well, with 255kg Charolais at $725, and 163kg $600. Simmental, 248kg, earned $720, and 218kg Hereford, $750. Angus, 253kg, fetched $675, 218kg $640, and 185kg $585.

The prime cattle market eased last Wednesday. Most heavy steers, 720-765kg, earned $2.60-$2.66/kg and medium $2.55-$2.60/kg. Hereford-Friesian heifers, 555kg, made $2.50/kg and Angus-Friesian, 490kg, $2.54/kg. Heavy Friesian cows traded at $1.55-$1.62/kg, and medium $1.39$1.48/kg. Light Jersey made $1.00-$1.26/kg. At last Monday’s sheep sale, heavy prime lambs earned $140-$155 and medium $116-$130. Good stores traded up to $92 and light-medium $67-$84. Top prime ewes fetched $209 and other good ewes $170-$178. Medium ewes made $128-$146 and light $30-$90.

WAIKATO Frankton prime and store cattle • R3 Hereford & Hereford-Friesian steers, 432-545kg, held at $2.61$2.66/kg • R2 Hereford-Friesian steers, 352kg, improved to $2.85/kg • R2 Simmental-cross heifers earned $2.66/kg • Prime Hereford bulls, 735-785kg, made $2.53-$2.57/kg • Boner Friesian cows, 459-508kg, eased to $1.32-$1.49/kg Just over 300 cattle were yarded at FRANKTON last Wednesday, and though quality varied throughout, the market was mainly steady. R2 Hereford-cross steers, 351-413kg, held at $2.64-$2.86/ kg, with beef-cross heifers, 302-378kg, trading at $2.41$2.45/kg. Hereford-Friesian bulls, 341-405kg, varied from $2.30/kg to $2.67/kg. Ten autumn-born yearling Angus-Friesian heifers, 401kg, returned $2.49/kg. Weaner heifers, 105-126kg, traded at $240-$400, and weaner bulls, 134-157kg, $450-$500. Prime Hereford-cross heifers, 450-455kg, were steady at $2.60-$2.64/kg. Boner cows made up a good proportion of the yarding and traded at softer levels. Friesian-cross, 476-546kg, eased to $1.31-$1.48/kg, and Jersey-cross, 423-456kg, $1.13-$1.34/ kg. Crossbred, 370-482kg, earned $1.20-$1.34/kg.

BAY OF PLENTY Rangiuru sale • Prime Hereford-Friesian steers, 560-575kg, were $2.50-$2.58/kg • Boner Friesian cows, 410-520kg, averaged $1.39/kg • R2 Hereford-Friesian steers, 280-395kg, lifted to $2.76-$2.90/kg • Weaner Hereford-Friesian heifers, 150-165kg, were $530-$550 Dairy farmers are beginning to cull the fringes of their herds leading to boner cows having the largest presence. These were sold in two cuts; 450-520kg lines made $1.33$1.46/kg, roughly steady, whereas the 360-415kg lines were down at $1.12-$1.22/kg. R3 heifers, 425-460kg, were sold as store lines, all went for $2.35-$2.48/kg. There was small lift through the R2 steers. It was tough work squeezing out bids on R2 Friesian bulls where all three pens were passed in. Although the weaners were mainly a mixed bunch, there was still solid interest in the better types. A line of 145kg beef-cross steers were up at $660, while some 110kg bull calves were quite strong too at $535. Hereford-Friesian heifer calves, 150-165kg, made $530-$550. Rangiuru beef weaner fair • Traditional steers, 205-286kg, made $750-$845 • Exotic-cross steers, 217-296kg, traded at $805-$940 • Angus bulls, 200-256kg, earned $750-$810 • Traditional heifers, 180-200kg, traded at $480-$610 • Exotic-cross heifers, 207-297kg, sold for $625-$750 The 2019 beef weaner fair season got underway at RANGIURU last Wednesday, with 1900 mainly traditional and exotic-cross calves. A big crowd gathered though bidding was conservative given the dry conditions. Calves

were in good order, with most similar to or heavier than 2018. The market was like that seen in 2017, but well-off last year’s record levels. Most exotic-cross lines were Charolais-cross or Simmental-cross, with the former making a premium. The $1000 mark was not as frequent, and very few lines exceeded $4.00/kg. Top traditional and exotic steers sold for $1000-$1300, while heavy autumn-born Charolais bulls sold for breeding at $1700-$2000. Pure Charolais heifers sold in two price ranges, with 285315kg at $710-$810, and 216-260kg, $665-$720.

TARANAKI Taranaki cattle sale • Boner Friesian cows, 520-598kg, held at $1.63-$1.70/kg • R3 Gelvieh-cross steers, 456-497kg, made $2.75-$2.85/kg • R3 Angus & Angus-Hereford heifers, 458kg, sold for $2.58/kg • R2 Friesian heifers, 432-440kg, firmed to $2.29-$2.34/kg Volume was very low at TARANAKI last Wednesday, with just 132 store and 18 prime cattle penned. Quality was mixed and lines sold accordingly. Five prime 704kg Anguscross steers made $1940, $2.76/kg, while Devon bulls, 743kg, fetched $2005, $2.70/kg. Weaner volume was low, and the better bulls made $400$410. Welsh Black-cross steers, 212kg, earned $600, and heifers, 228kg, $565.

POVERTY BAY Matawhero sheep • Some ram lambs and heavier male lambs, made $113 • 2-4th ewes in very good condition, sold for $190 More sheep were on offer at this week’s MATAWHERO SHEEP SALE with a total of 1971 head. In the store lamb pens, medium male lambs made $103.50. Heavier ram lambs were on offer this week although they looked to ease making $109-$113. Ewe lambs mostly sold for $93.50-$106 with the rest $100 and under. 3-4-year-old Romney ewes mostly sold for $163.

HAWKE’S BAY Stortford Lodge prime cattle and sheep • Very heavy mixed sex lambs softened to $148-$155 • Good to heavy mixed sex lambs eased to $120-$133 • Heavy ewes were back to $125.50-$135 • Light to light-medium ewes improved to $91.50-$110.50 Sheep throughput halved last Monday at STORTFORD LODGE, but even with a fewer buyers there was enough interest to absorb the yarding. Just over 260 lambs sold and were mainly forward store types. This coupled with limited processing space meant most traded on a softer market, though a small tail end of mixed sex held at $96-$110. Thirty-two very heavy ewes topped their section at a discounted $145.50, with medium and medium good lines back to $108-$124.50. Just four beasts made up the cattle section, including two very good Angus steers, 672kg, at $1344, $2.00/kg, and two Hereford-Friesian heifers, 480kg, $1186, $2.47/kg. Stortford Lodge Store cattle and sheep • Heavy male lambs firmed to $123-$129 • Good ewe lambs traded at $109.50-$115 • R3 traditional heifers, 454-552kg, earned $2.62-$2.66/kg • R2 South Devon heifers, 344kg, made $3.01/kg • R2 Friesian bulls, 380-421kg, sold for $2.61/kg Lamb volume was low at STORTFORD LODGE last Wednesday but quality was good, with $98 the bottom price. Good male lambs sold for $110-$118. A consignment of five-year Perendale ewes varied from $141 for the top cut down to $108. A small cattle sale featured a few good entries, though mainly consisted of tidy-up lines. Quality in the R2 heifers resulted in solid prices, with $3.00/kg exceeded for most. Angus-Hereford, 350kg, made $2.94/kg to be just off that mark, while exotic, 309kg, made $3.14/kg. A clear divide in R2 bull prices had traditional bulls, 343405kg, at $2.72-$2.76/kg, while lesser Friesian-cross and crossbred made $2.21-$2.31/kg.

MANAWATU Feilding prime sale • Boner Friesian cows, 520-585kg, lifted to $1.58-$1.61/kg • Prime bulls, 425-805kg, were $2.14-$2.20/kg • Medium-to-heavy prime lambs were steady-to-firm at $140-$163 • Mid-range prime ewes were $109-$131 Dairy cows accounted for the majority of what was available in the cattle section. There was something of a rebound on these as an extra 10c/kg was paid throughout. The two heavier pens of in-calf cows, 535-660kg, made a premium on the rest at $1.72-$1.79/kg. A thousand head decrease in prime ewes was offset by a similar sized increase in prime lamb tallies. Demand rose to meet the extra volume, helped by this being the final week for the

SALE YARD WRAP

FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019

breeding. Angus R3 steers, 474-525kg sold for $2.95-$3.02, while R2 steers of the same breeding 280-350kg, traded at $3.24-$3.35/kg. Heifers also sold well reflecting quality, Angus-Hereford, 335kg sold particularly well making $3.30/ kg.

SOUTH-CANTERBURY Temuka prime and boner cattle and sheep sale • Good to heavy Perendale ram lambs made $123-$127 • Prime lambs firmed to $120-$149 • Boner Friesian cows, 473-490kg, came back to $1.30-$1.45/kg • Prime beef-cross steers, 560-724kg, came back to $2.35-$2.47/kg • Prime beef-cross heifers, 470-605kg, held at $2.44/kg Two sections of a sale could not have been more different, with TEMUKA’S sheep section buoyant, while the cattle came back considerably. Just over 3000 sheep were all that was in the pens, and most of the 1000 store lambs came from one property. Medium-good ram lambs sold for $103-$118, while good to heavy males varied from $115 to $129. Extra competition for prime lambs firmed the market, while ewe prices were steady. Good to heavy types traded at $150-$190, medium $110-$138 and light, $80-$108. Extra cattle volume at the processors had a detrimental effect on prices at auction, and boner cows came back 15-22c/kg, with heavier types hardest hit. Light lines, 430555kg, fell to $1.26-$1.35/kg. Boner heifers however held as 425-580kg averaged $2.14/kg. Top price for prime steers was just $2.55/kg for Angus, with heifers of same breed at $2.47-$2.50/kg. Good Hereford bulls, 560-622kg, made $2.50-$2.56/kg, and most Jersey, 486-585kg, $2.36-$2.47/kg.

EARLY: Rangiuru held the first weaner beef fair of the season last week.

Easter chilled kill, as well as the weekends rain. In contrast the ewes where a little tougher moving, though lower average condition didn’t help their cause. The top line could only manage $138, down $21/hd on the week before. Feilding store sale • Traditional R2 steers, 425-485kg, were mainly $2.99-$3.18/kg • R2 & R3 Friesian bulls, 435-525kg, sold for $2.48-$2.52/kg • Average store lamb price was steady at $108 • Heavy store lambs were $116-$119 • Good 3-5yr ewes made $141-$150 For the fourth week in a row cattle tallies only came to around 500 head, and like those past weeks quality was again variable. A line of R3 heifer with calves began the day at $1530, followed by R3 Hereford-Friesian steers, 480-555kg, at $2.68-$2.78/kg. Traditional R2 steers fell back 10-20c/kg, however the beef-dairy R2 heifers stayed steady at $2.61-$2.73/kg. In-calf Angus heifers, 440kg, were something of a highlight at $3.06/kg, $1350. Hereford-Friesian bull calves, 130-160kg were $530-$560, with 145-150kg heifers of the same breed at $520-$530. A larger yarding cancelled out any increase in buying power in the sheep pens. Per head prices were a very consistent $114-$119 through the good and heavier cuts. Ewe lambs were either 100-$110 for the mid-range lines or $88-$93 for anything a bit light or offtype. Store ewes were in better condition this week, seeing anything aged 3-year to 6-year make $129-$150. A small line of good two-tooths were the days strongest at $170. Rongotea cattle sale • Boner Friesian & Friesian-cross cows, 388-542kg, fetched $1.26$1.49/kg • One pen of R2 Hereford-Friesian steers, 385kg, made $2.70/kg • R2 Hereford-Friesian and Friesian heifers, 337-415kg, traded at $2.09-$2.10/kg • Weaner Hereford-Friesian steers, 125-177kg, earned $530-$550 • Weaner Hereford-Friesian heifers, 100-144kg, made $390-$570 Rain failed to bring out more store cattle at RONGOTEA last Wednesday, with most farms still having reasonable feed levels and vendors holding tight, reported Darryl Harwood of New Zealand Farmers Livestock. An entry of Belgium Blue-cross weaners had steers, 142kg, at $460 and heifers, 134kg, $550. Weaner bulls all traded at $485-$500 regardless of breed. Jersey-cross boner cows, 377-480kg, made $1.23-$1.32/ kg, while the first autumn-born Friesian bull calves sold for $170-$210.

CANTERBURY Coalgate sale • Prime steers, 475-595kg, averaged $2.54/kg • Boner Friesian cows, 610-695kg, were $1.48-$1.55/kg • Friesian and crossbred bull calves, 130-145kg, sold for $270-$310 • Store lambs mainly made $100-$117 • Good prime ewes were $162-$177 Dairy calves dominated the store cattle section. A 135kg line of Friesians were solid at $380, while some 130-140kg Hereford-Friesian steer and heifer calves were both $430. Only small lines of bits and pieces made up the R2 cattle. Prime steers were more consistent which lifted their average price. Prime heifers were similar to last week, usually at $2.47-$2.56/kg for 490-710kg. Boner cow prices were resilient too. Store lambs who made a reappearance at 2100 head. Recent rains have added an element of confidence to this market. The majority were traded in the $90-$123 range, though $100-$117 was the centre point. Top dollar lifted $5/ hd to $123. The top-end wasn’t quite there through the prime lambs, though $110-$139 was the usual range. Prime ewe tallies barely even broke 500. Some heavy cuts were sold all the way up to $191-$226, but otherwise $130-$177 was the norm. Canterbury Park prime • Stabilizer prime steers, 465-495kg, sold for $2.62-$2.71/kg • Limousin prime heifers, 703kg, topped the sale at $2.76/kg • Halfbred mixed sex lambs, sold for $108 The prime cattle sale at CANTERBURY PARK had a small offering. Prices mostly managed to hold steady thanks to the small volume and better-quality cattle. Prime steers were unchanged, Angus and Angus-cross 595-655kg, sold for $2.55-$2.69/kg. Good quality heifers sold well, Angus and beef-cross 445-593kg were steady to strengthening at $2.43-$2.51/kg. Weekend rain lifted morale in the sheep pens. Store lambs were boosted with medium mixed sex lambs lifting to $98-$112. Similar sized ram lambs sold for $108-$116. Lighter lambs were varied although generally strengthened. Canterbury Park beef only • Traditional R3 steers, 488-543kg, sold for $2.84-$2.91/kg • Angus-Hereford, 351-396kg, made $3.11-$3.16/kg • Angus R2 heifers, 295-333kg, sold at $3.15-$3.22/kg The CANTERBURY PARK beef only sale attracted top quality cattle of mostly Angus and Angus-Hereford

Omarama and Tekapo ewe fairs • Six-year Merino ewes sold to $175 at Omarama • Most top cuts made $150-$160 at Omarama • Top Merino two-tooth’s made $228 at Tekapo • Most top cuts earned $150-$176 at Tekapo • Annual draft Border-Merino ewes sold for $200-$202 at Tekapo Following on from successful lamb sales OMARAMA and TEKAPO held ewe fairs last Thursday. The bulk of the offering were Merino, with 9000 presented at Omarama and 7300 at Tekapo. The market at Omarama was very positive, with medium Merino ewes selling for $135-$145 and very few lines below $120. The top six-year price was up $14 per head on 2018. Fewer buyers at Tekapo meant prices were not as high as expected, though results still solid. Merino and halfbred two-tooths sold for $183-$228, with the cheapest being $168. Medium mixed age ewes made $120-$145, with only two pens below $100. One line of two-tooths had travelled from as far afield at Blenheim.

OTAGO Balclutha sheep sale • Advertised lines of store lambs sold well, up to $110-$120 • Light to medium store lambs eased to $80-$105 • Heavy prime lambs firmed to $135-$150 • Heavy prime ewes held at $140-$160 Demand was solid for all classes at BALCLUTHA last Wednesday, PGG Wrightson agent Russell Moloney reported. Prime lambs firmed and medium lines earned $120-$130, and light, $110-$115. Ewes sold on a steady market with medium to light lines making $100-$135, and very light types down to $50. Rams sold for $125.

SOUTHLAND Lorneville cattle and sheep sale, ewe fair • Two and three-shear Texel-cross ewes made $230-$235 • Medium to good store lambs firmed to $95-$116 • Good prime beef heifers, 450kg plus, held at $2.40/kg • Boner cows, 450-500kg, eased 10c/kg to $1.50-$1.60/kg • Weaner Friesian bulls, 140-160kg, firmed to $450-$480 Much of the LORNEVILLE sheep sale had a firm tone, as the breeding ewe fair attracted a bigger crowd which benefitted all sections last Tuesday. Texel-cross breeding ewes proved popular and four-shear made $200, five-shear $170, and older ewes $150. Cull ewes improved significantly with heavy types regaining ground to $142-$162, medium $116-$140 and light, $79-$112. Prime lambs also sold with a firm tone, putting medium to heavy lines at $120-$151 and third cuts, $110-$118. Light store lambs held at $80-$90. The cattle pens were busy, but results varied. Prime steers firmed to $2.52-$2.55/kg, while 415kg plus dairy heifers also improved to $2.00-$2.15/kg. Light and medium types made $1.80-$1.95/kg. Bulls held at $2.50-$2.60/kg for 500kg plus. Boners eased and heavy types sold for $1.80/kg, and light, $1.40-$1.50/kg. Weaners featured in the store pens with prices solid. Beef-cross bulls, 100kg plus, made $400-$540, and heifers, 120-130kg, $430-$450. Medium Friesian bulls sold for $400$430. Older cattle quality was mixed and R2 Hereford-cross steers, 367kg, sold for $2.58/kg, and heifers, 337kg, $2.31/ kg. Friesian bulls, 440kg, made $2.39/kg.

Markets

48 FARMERS WEEKLY – farmersweekly.co.nz – March 4, 2019 NI SLAUGHTER LAMB

SI SLAUGHTER COW

NI SLAUGHTER BULL

($/KG)

GOOD STORE LAMBS AT COALGATE

($/KG)

($/HD LW)

7.00

3.60

4.90

115

high $805-$940 lights Charolais-cross

steers, 217-296kg, at Rangiuru Weaner Fair

$3.24-$3.28/kg R2 Angus steers, 335350kg, at Canterbury Park Beef Only Sale

ACROSS THE RAILS SUZ BREMNER

Tight kill space affects boner cow prices

CROPS DOWN: Despite ideal harvesting conditions too much rain and not enough sunshine affected yields.

Photo: Annette Scott

Grains come in below par Annette Scott annette.scott@globalhq.co.nz

RABLE farmers are at the tail end of an ideal harvesting season but spring has taken its toll on crops. Crop yields have been affected by the very wet spring and lack of sunshine meaning a large chunk of harvest has come in below expectation. Federated Farmers grains vicechairman Brian Leadley said while farmers are happy with the ideal harvesting conditions, crop yields have been variable. “Certainly yields have not been as expected. The rain was really good in spring but without the sunshine when it was needed, it’s taken its toll with crops just not yielding as good as they looked. “Both the rain and lack of sunshine also created high disease loadings that have been difficult to keep on top of and that’s also reduced yields.” Grain yields appear to be down on average 20% with some reports of barley down as much as 50% with peas also hard hit.

“On the whole we are not talking disastrous but below average.” Leadley said farmers are generally pleased with the lift in values, particularly in grains. After the past couple of years they were looking for better returns to balance the increase in inputs needed. Feed barley is generally selling from $360-$380 a tonne and feed wheat $380$400.

On the whole we are not talking disastrous but below average. Brian Leadley Federated Farmers “But there’s a lot of variables around pricing depending on delivery, storage, freight and for some farmers it’s money straight off the header if they sell from the paddock so there’s no cost in storage. “The talk is grasses will be slightly up but that won’t be determined until

the later harvest of these is complete and then it becomes a demand versus supply.” Meanwhile, a return to pea production is on the horizon for Wairarapa growers with confirmation no weevils were detected from the 25 trap crops planted in the 2018-19 season. “This is great news for growers, who took a big financial hit to eradicate this insect pest from New Zealand,” Feds arable chairwoman Karen Williams said. The pea weevil governance group will meet at the end of March to decide on future response options. “I hope to have a robust discussion with the governance group about whether a partial lifting of the controlled area notice may be practical or whether a further 12 months’ full regional ban is necessary to properly secure area freedom from pea weevil in the Wairarapa,” Williams said. MPI figures show NZ produced 60,000 tonnes of peas in 2016, earning $50 million in domestic sales and $80m in exports. Wairarapa was responsible for about 10% of the output before the peagrowing moratorium imposed when weevils were found in Wairarapa in April 2016.

IN THE last few weeks boner cow prices at auctions in the South Island have followed a downwards trend. At the beginning of February $1.57-$1.68/kg was realistic but as the month progressed and killing space tightened up, fewer buyers could take the numbers out of the yards. That has driven prices down to $1.25-$1.45/ kg for Friesians at Temuka and while that is not catastrophic, the trend and factors driving it are of concern. PGG Wrighston central South Island dairy manager Barry Fox says the main driver of the pull-back in price is the very tight kill space. “Processors are sitting on 15-20 unit loads of cows already in some cases and as their priority is to process those directly from the farms, those at auction are selling to limited demand. Processors will enter the market at a price but it is generally below schedule value as these cattle will need to be grazed out until such a time that there is space for them. The lack of space has been amplified by prime and local trade cattle also being offloaded in bigger volumes than is typical as the dry conditions force farmers’ hands.” For the same reason boner entries have increased at the yards, which is not unusual for the time of year but they have come into a market that is already struggling to absorb the volume. Many farmers are into their second round of pregnancy testing and empty cows are being moved off farms as quickly as possible to take the pressure off already limited feed, which means for many the only option is the yards. Prices did drop to these levels in April last year when volumes were very high but compared to this time last year values are trailing by 45-65c/ kg, which is relative to a 50- 60c/kg difference in schedule year on year. Fox hopes there won’t be too much further downside in prices because at the current levels extra buyers are starting to take interest. “There is already extra interest from buyers looking for other options to store lambs or younger cattle. At these levels buyers see the potential to fatten and make a margin and for many feed quality on-farm at present suits this type of animal.” suz.bremner@globalhq.co.nz

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