NZ Farmers Weekly April 8 2019 by AgriHQ

8 Silver Fern must do better Vol 18 No 13, April 8, 2019

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Dairy loses gloss Neal Wallace neal.wallace@globalhq.co.nz

POLITICAL and banking uncertainty appears to be taking some of the gloss off the dairy industry with just seven farms in Southland and Canterbury selling in the last six months. From October to the middle of March just two dairy farms in Canterbury and five in Southland were sold but a broader lack of buyer confidence has eased national dairy land prices by up to 15%. Real Estate Institute spokesman Brian Peacocke says a perfect storm has taken the wind out of the sector’s sails but he notes activity has started to pick up. Rules governing the sale of land to foreign buyers have been tightened, banks are viewing lending to dairying less favourably, tax changes are possible, the introduction of environmental taxes and regulations are expected and borrowing costs are likely to rise following a Reserve Bank requirement that banks retain more capital. “No one factor is compressing the market,” he says. The South Island has a greater number of larger dairy farms so has been hit harder than other parts of the country from a tightening of the Overseas Investment Office (OIO) criteria on land purchases and that is reflected in the weaker activity in Canterbury and Southland. “When big properties do not

sell, which is the case currently, the trickle-down effect does not happen.” A KPMG Foreign Direct Investment report said foreigners are now investing more money in forestry than dairy. From 2016-18 forestry attracted 36% of foreign investment in agribusiness and dairy, including milk processing, 12%. From 2013-15 dairy attracted 38% of investment and forestry 16%. The report also shows new restrictions on foreign investors have cut OIO approvals by twothirds, with about 60 approved in 2013 but just 20 in 2018 and most of those for forestry. Also hindering the market is a softening of bank lending to dairy, an end to interest-only loans and a greater emphasis on cashflow when assessing deals. The level of debt held by the dairy sector has been a concern for banks and the Reserve Bank but despite that farmers are borrowing more than ever. Reserve Bank figures show in February 2017 dairy sector debt was $40.7 billion out of total agriculture borrowing of $59.3b. A year later that had grown to $40.8b out of total lending of $60.6b but by February this year dairy had $41.5b out of total sector borrowing of $62.8b. Peacocke says top quality farms are selling while second tier ones have a more restricted market and third tier are especially hard to move. Buyers are increasingly more discerning when considering a

Calf sales in full swing

PAYING ATTENTION: Buyers including Warren and Steph Burgess followed the PGG Wrightson auctioneers closely at the Owaka calf sale. Today we have a special weaner sales report on page 22 along with all our usual market coverage with data and commentary from pages 44 to 48.

farm purchase and that includes looking at environmental rules, the standard of improvements and location. Southern Wide Real Estate’s Southland rural sales managing director Dallas Lucas says after a halving in the normal number of sales during spring and summer, activity in Southland and West Otago has picked up in recent weeks with four or five sales under negotiation. Land prices are back about 15% with the best now making $34,000 to $38,000 a hectare with more expansive properties or those outside traditional dairying areas

selling for $25,000 to $30,000 a hectare. Lucas says banks requiring a capital repayment element is impacting purchase deals. “At the moment including capital repayment in what can look like a good budget can knock it around.” KPMG’s head of banking and finance John Kensington says banks have looked at the performance and risk of the various sectors and have also toughened lending conditions for construction, property development and small businesses.

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Kensington says interest in dairying has taken a hit from a shift to valuing farms on cashflow but also a realisation among the corporate sector that investing in farms is costly to manage and govern and the business is complex. “Corporate farming experience has probably brought out the home truth that it’s not as easy as it looks.”

Correction 4 Pulpit 27 Woodford 29

NEWS

WEATHER OVERVIEW A FAIRLY normal, typical Autumn week this week with high pressure in the north to begin with and a cold front mid-week moving up the country. Rain clears the North Island’s east coast today as high pressure moves in and by Tuesday rain will slowly be developing on the West Coast ahead of a cold front with a burst of heavy rain on Wednesday there. On Thursday and Friday the front moves to the North Island with a chance it might spark a new area of low pressure. If that does happen it will give dry North Island regions another shot at rain later this week and weekend. This sub-tropical area of rain might linger until the start of next week too.

7-DAY TRENDS

3 Fonterra strategy themes emerge The fundamental review of Fonterra’s strategy is well under way and themes are emerging, director Brent Goldsack says.

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

Rain

Rain clears the eastern North Island today but develops on the West Coast tomorrow, becoming heavy on Wednesday. On Thursday some patchy rain around the upper South Island and lower North Island is possible. Patchy rain and showers around the North Island for Friday and the weekend.

ON FARM STORY

Fairly average in many places this week but becoming warmer on Tuesday ahead of the cold front. A cooler change moves up the South Island later this week but the North Island looks likely to become more subtropical later this week.

Pasture Growth Index Above normal Near normal Below normal

Wind

Light winds for much of the South Island on Monday give way to developing northerlies on Tuesday and are a little brisk through central New Zealand on Wednesday. Elsewhere, winds fade around most of the North Island this week.

Highlights/ Extremes

Temperature

NZX PASTURE GROWTH INDEX – Next 15 days

Heavy rain on the West Coast on Wednesday. This Friday and weekend there is the chance of rain around the North Island – we’ll update and lock in tomorrow online at www.farmersweekly.co.nz so check back for updates.

14-DAY OUTLOOK

A spike in facial eczema and a spike in pasture growth lately and WeatherWatch.co.nz expects more positive pasture growth to come and perhaps a drop in eczema because of the cooler nights this week. In saying that, the upper North Island is still warm by day and with possible rain later this week on top of recent rain it bodes well for more positive pasture growth nationwide. South Canterbury might not be quite so positive because of drier conditions.

SOIL MOISTvURE INDEX – 5/4/2019

30 Farming at their fingertips Mid Canterbury mixed arable farmers Gary and Rae Wilson are embracing modern technology to make their farm more productive and environmentally sustainable.

REGULARS Real Estate ��32-39 Employment ��40 Classifieds ��41 Livestock ��42-43 Markets ��44-48

Source: WeatherWatch.co.nz

This product is powered by NIWA Data

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

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Fonterra strategy themes emerge Hugh Stringleman hugh.stringleman@globalhq.co.nz THE fundamental review of Fonterra’s strategy is well under way and themes are emerging, director Brent Goldsack told farmers at the Northland Dairy Development Trust annual conference. The starting point is how Fonterra creates wealth for New Zealand farmers and how it maximises the value of NZ milk? The NZ dairy industry has been incredibly productive when the requirement was more milk to meet unconstrained demand for dairy products, such as occurred in China. Cows are 23% more productive in milk output than they were 15 years ago. Fonterra achieves 73% more income per cow than it did 15 years ago, Goldsack said. But that is no longer the right strategy. “Whatever the directors decide in the next few months will determine the future of the co-operative for the children and grandchildren of the present farmers. “We don’t want to be rash – we have to slow down and take a breath.” Fonterra doesn’t have the people who were around when major decisions in strategy and direction were made years ago – like big investments in Chile and Sri Lanka. “Why did we go there and do we still have to be there?” Goldsack spoke of the emerging themes in the full strategy review that will fundamentally reset the co-operative. The first is that Fonterra is a globally competitive NZ cooperative. The second is that sustainability is at the heart of everything. “Why do we do what we do and what are the consumers demanding?”

Government backs northern irrigation studies

TOMORROW: The future of food is in sustainable nutrition, Fonterra director Brent Goldsack says.

Third is that the strategy has to prioritise value over volume and also NZ milk to earn a premium from heritage and provenance. When milk is divided into its constituent products with NZ intellectual property and expertise, along with logistical scale, value is added. Fourth, Fonterra has to simplify its global portfolio to focus on where it has competitive advantage. It is very good at powders and proteins with added functionalities and absolute reliability, he said. Finally, it must increase the focus on return on capital. Goldsack appealed for a different perspective on dairy commodities, saying that even NZ

skim milk powder earns 15% more than its European alternatives, worth 20c/kg to the farmgate milk price. “Years ago we sprayed whey on paddocks to get rid of it or fed it to pigs. Now we feed it to Americans in protein products and get premium prices for it.” Global trends now include the aging population and the growing demand for meat and dairy from the growing middle class. As well the millennials want to go back to natural fats and proteins, eat more healthily and demonstrate their concerns for the sustainability of the planet. “What does this mean for NZ? “It means the future of food is sustainable nutrition,” he said.

POTENTIAL Northland water storage and irrigation schemes have received a big boost of $18.5 million from the Provincial Growth Fund. Regional Economic Development Minister and Northland NZ First List MP Shane Jones announced the grant with Economic Development and Environment Minister David Parker. They were in Hokianga on Friday to make a handful of local infrastructure announcements, including a $3m sea wall rebuilding, three regional digital hubs and iwi forestry plantation grants. Water storage and irrigation projects have been proposed and studied for the Pouto peninsula, near Dargaville, and in the mid north around Kaikohe. Jones said up to $18.5m will be available through the Northland Regional Council to investigate and, if feasible, begin constructing communityscale water storage and use options. The Government was persuaded by the potential of $150m annual horticultural revenue and up to 1150 new jobs in the region. The districts are vulnerable to both droughts and floods and irrigation could intensify the land uses, create employment and reduce sediment loss. Much of the mid north land is Maori-owned and iwi do not want to be locked out of access to water for use on undeveloped land, Parker said. The money will be used first

for feasibility work then any potential construction phase with stop or go points at each stage to allow a re-evaluation. “Developing water storage is a complex and time-consuming exercise requiring highcalibre technical regulatory, environmental and commercial capability,” Jones said. Regional councillors Justin Blaikie (Hokianga-Kaikohe) and Penny Smart (Kaipara) are delighted. “This commitment comes after the completion of two initial studies, co-funded by the council and central government, which have scoped up the options and mean these storage projects are just that much closer to becoming a reality,” they said. But it could be many years before any physical work begins. “The planning includes fuller analysis of water supply and storage options, assessment of potential water user demand, detailed consideration of environmental impacts and, of course, in-depth financial modelling.” Northland has two 1980s community irrigation schemes, at Kerikeri and Maungatapere, covering about 8500ha. Prior studies have identified scope for 6300ha of Kaipara land, mostly on the Pouto peninsula, and 1600ha south of Kaikohe to be irrigated for horticultural development, not dairying. But the construction costs will run into tens of millions of dollars, the councillors said.

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Price adjustment was due Neal Wallace neal.wallace@globalhq.co.nz SOUTH Island farmland prices were due for a correction but that adjustment coinciding with structural changes is tempering the appetite of lenders, economist Cameron Bagrie says. Land prices have fallen by up to 15% and sales in spring and summer have been quiet but Bagrie, the managing director of Bagrie Economics, says political and banking changes and uncertainty have made it difficult to calculate land values. “There is a hell of a lot of structural change which is making valuation difficult.” This has led banks to adopting a less favourable attitude to lending to agriculture. “The banking sector’s attitude to dairying is lukewarm, to put it very politely. It is a lot tougher to do the deals, partly because the asset class is starting to retreat.” Tougher environmental rules and the likely introduction of new taxes have coincided with Reserve Bank proposals requiring banks retain more capital, potentially increasing the cost of credit. How much banks must retain is still being debated but the RBNZ

says it wants the sector to be able to weather a one in 200-year financial shock. Bagrie says the final figure will be large and the four main trading banks are likely to recover it through loan terms and conditions from agricultural and corporate clients, sectors where they have the least competition. ANZ commercial and agriculture managing director Mark Hiddleston says lending terms are constantly reviewed to reflect changing market conditions and that has seen a shift away from decisions based on farm performance to the more traditional 65% land-to-value ratio. Hiddleston says agriculture faces some challenges. “We want to focus our attention on good outcomes for our existing agri customers but there are challenges ahead, such as increased regulatory demands, regional economic cycles and more stringent environmental practices.” ASB rural banking manager Richard Hegan says high commodity prices and low interest rates have put dairying in a buoyant space but it still warrants some caution.

Wool volumes, prices higher Alan Williams alan.williams@globalhq.co.nz

DEBATE: The picture for dairy farm lending is not so clear as the focus goes on increasing the amount banks have to hold in reserve to reduce the risk.

“We think it is prudent for both farmers and banks to take less risk during this period of the cycle to ensure borrowers can cope with any future downturn.” A Westpac spokesman says loan assessments always required the repayment of interest and principal. “With most dairy farms producing surplus cash this season we are seeing dairy farmers

repay debt, both voluntarily and under the agreed terms of their loans.” The spokesman warned the requirement for banks to hold more capital could have implications. “However, too large a buffer limits banks’ ability to innovate and enhance customer outcomes and can add significant cost to us and our customers.”

SELLERS had the better of Thursday’s Christchurch wool auction when a large offering of 13,000 bales made good price gains. That applied especially to full-fleece though secondshear was mixed. Lambs’ wool was in good demand, especially for longer-combing wool, up by 2% to 5%. There was increased buying pressure on better prepared crossbred ewe wools up to 35 microns, PGG Wrightson’s South Island manager Dave Burridge said. The 31-to-35 microns range was up 3% to 5% and there were also positive results for wool above 35 microns. Very small volumes of mid-micron wool were offered and sold strongly. The overall pass-in rate was 10%. Thursday’s sale was a turnaround from a week earlier when an offering of 9200 bales of end-of-season crossbred fleece encountered some price resistance. Some prices gained at the finer end of the crossbred wool section but were easier at the stronger end. The pass-in rate was also higher than the latest sale, despite the smaller volume.

Wiggins talks cheese Be quick – your forest interests need you to vote The 20 April deadline is rapidly approaching to get your vote in for the Forest Owners Levy Referendum. The current Levy expires at the end of this year. A new levy is proposed to continue the forestry-wide work on behalf of forest owners’ common interests, in particular; biosecurity, forest productivity and technology efficiencies and health and safety. Eligibility to vote is based on whether you have planted at least four hectares of trees within the past 10 years. A majority of both voters and forest volumes declared, are necessary for a new levy.

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When Joshua Owen found an advertisement during his last year of high school offering work in a cheese-making factory he decided to give it a go. Since then he’s come a long way and is now the factory manager for Clevedon Valley Buffalo Company and gets involved in most aspects of the company’s supply chain. With Joshua’s urban background growing up in Auckland it’s all been a big learning curve for him. Clevedon Valley Buffalo company produces award-winning mozzarella, which, Joshua says, took him years to perfect the art of making. The firm makes three varieties of mozzarella – traditional, bocconcini and cherry, which is the most recent product. Joshua says the high fat count is what gives the edge over their competitors. He wants to stay involved with the company and hopes to get more involved with the business side of things. He finds a great sense of pride in seeing the products he helps produce and is looking forward to

what the future holds for him and the Clevedon Valley Buffalo Company. Craig Wiggins had a chat to Joshua about his career for his Farmers Voice video series.

MORE: You can watch the video at farmersweekly.co.nz/ farmers-voice

News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Rain gives dairy farmers options Hugh Stringleman hugh.stringleman@globalhq.co.nz NORTHERN dairy farmers have welcomed the late March rain that has enabled many herds to keep milking farmers set up for next season. After three dry months, March milk production was considerably lower than March 2018 and the usual responses like once-a-day milking and drying off low-condition cows and early calvers were widely deployed. Between 25mm and 125mm of rain across the upper North Island in late March and early April has restored confidence the season will finish well. Except in the previously very dry districts of eastern and southern Waikato, milk production can now continue to the planned drying off time to take advantage of a good farmgate milk price. Ross Crabb at Orini in northern Waikato said 20mm of rain recently was very welcome and greened up the paddocks. He is still milking 400 cows producing an average of 1.4kg/ cow/day on a diet of mostly maize and grass silage. “We had the silage made earlier in the season and it still makes

MOVE ON: Waikato sharemilker Olin Greenan said this season is effectively over and he can get an early start on next season.

financial sense to maximise milk production. “The cows are in good condition and we are on a long round so we hope to able to push on to the planned May 15 end of milking,” he said. Sharemilker Olin Greenan, of Morrinsville, said 70-80% of his 650 cows’ intake in March was supplement, mainly home-grown forage with a little palm kernel.

“We have been struggling and this season’s production is effectively over with early calvers being dried off. “The herd has been on OAD since early February when heat was the main problem. “Drying off is not really ahead of schedule as I like to get started early on next season and run a system that maximises the days in milk pre-Christmas.”

Fonterra director Brent Goldsack said his 460-cow herd was dried off six to seven weeks early after a very tough summer at Ngarua, eastern Waikato. March milk production was 25% down on March 2018. In Northland the rain at the end of March will both extend this season and set up cow body condition and pasture covers for the start of next season, Northland Dairy Development Trust chairman Terence Brocx said. “We were down 15% milk production in March but since that rain we have been ahead of April last year.” Eastern Northland had between 50mm and 100mm in the past 15 days while western Northland had between 20mm and 50mm. Recent rain was a boost to herd management plans for next season rather than a rescue for this season’s production, Brocx said. However, it will let farmers milk on towards the planned drying off dates instead of doing so early in April. That milk will be worth more than $6/cow/day for as long as it lasts and Brocx views that as bonus income. Agrispecialist consultant Rodd Hodgson, of Kerikeri, said all

districts in Northland got enough rain to get the kikuyu growing and have turned the corner from what was a very serious dry period. “It nearly came too late for this season,” he said. “A lot of herds are now on oncea-day and some are in the process of drying off.” In Taranaki, figures from Stratford Demonstration Farm show pasture growth is 58kg DM/ ha/day, versus the 35kg long-term average. That province got 48mm of rain in the past week and 118mm in March versus an average 132mm. Cows are doing 1.1kg MS/ day on once-a-day milking with all empties culled and the low-condition cows dried off, Dairy Taranaki Trust operations manager Debbie McCallum said. The NIWA standardised precipitation index as a measure of drought conditions has returned to normal over the whole of the North Island except coastal Wairarapa, where it is moderately dry. In the South Island the SPI is near normal except for moderately to severely dry conditions in south Otago and northern Southland and inland Marlborough and moderately to severely wet on the West Coast.

Partners have national plan to eradicate M bovis A PLAN to eradicate Mycoplasma bovis has been released by DairyNZ, Beef + Lamb and the Primary Industries Ministry. The three have taken over responsibility from Biosecurity New Zealand. The plan sets three goals: to eradicate M bovis, to reduce its impact on everyone affected and to strengthen NZ’s biosecurity system. M bovis programme Director Geoff Gwyn said the plan is an

important step in making sure eradication is successful and farmers are properly supported. “The eradication effort is on track but there is still a lot of hard work to get done. “There will be more farms put under movement restrictions and more farms that need to be depopulated,” Gwyn said. “Finding out that your farm might be, or is, affected must be incredibly hard news to receive,

and we know that the process to get clear of M. bovis causes hardship for farmers and their families and interruption to their business. “We want to provide as much support and assistance as we can as well as working to continually improve the processes that farmers have to get through to get clear of M bovis. DairyNZ chief executive Dr Tim Mackle says M bovis has

created challenges for all farmers, who have increased on-farm biosecurity. “The alternative – to let this disease spread throughout the dairy and beef stock – would have been a serious challenge to the way we farm and the ongoing costs would have been significantly higher” Mackle said. “We believe maintaining a collaborative approach to eradication is the best option for

all farmers. By sitting at the table, we can ensure that dairy farmers are getting value for money from the eradication programme, costs are scrutinised, performance is monitored, and that dairy farmer’s views are represented to the Government.”

Weekly updates and the national eradication plan are on the Biosecurity NZ website.

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Partial win in stock deals claim Tim Fulton timfulton050@gmail.com CATTLE trader Ross Clark and family have been awarded about $270,000 plus interest and partial costs in a damages claim against Rural Livestock. The South Otago family claimed more than $800,000 from Rural over a complicated series of livestock deals in 2015-16. After a first hearing in the High Court at Christchurch in May 2018 Justice Gerald Nation urged the parties to settle the dispute out of court or else he would be compelled to make a judgment. After out-of-court negotiations and a final hearing in September the Clarks, represented by farm manager Ross Clark, ultimately sought nearly $640,000 The total amount awarded relates to transactions including Clark’s $210,277.50 purchase of

176 pregnant heifers, another series of deals or attempted deals involving 253 heifer calves and 112 empty dairy heifers, of which Clark received just 71 or 72. The judgment over lost, missing or unpaid livestock examined aspects of Clark’s dealings with his former Rural agent, John Williams. Justice Nation noted Clark put a significant degree of trust in Williams and that even though he acknowledged having problems with Williams, provided him with the paperwork for transactions and considered Williams was a good agent in terms of setting up deals. Though the judge accepted some of Williams’ evidence he found there were some matters on which he seemed unnecessarily defensive or unhelpful and some areas where his vagueness was of concern in assessing his credibility on crucial matters.

Rural general manager Simon Cox acknowledged the firm’s systems and management inadvertently allowed Williams’ irregularities to occur unnoticed and then failed to detect them for some time. He also found Clark wasn’t entirely blameless. There was the case of Williams supplying Clark with a copy of leases relating to the missing cows and failing to realise the numbers added up to 180, not the 176 he had bought. “I accept that Mr Clark was unduly trusting of Mr Williams, naively optimistic that all was in order as far as the leasing of the stock was concerned and casual to an extent that differed from usual farming practices in never checking on the stock,” the judgment says. At times Clark chose to sit on his hands and ignored a warning from another Rural Livestock staffer

CONTRIBUTED: A court has found in favour of Ross Clark in his claim against Rural Livestock but decided he wasn’t entirely without blame.

that Williams had lost the plot. But such negligence did not, however, contribute to Rural’s breach of its obligations and it was reasonable for Clark to expect Rural would perform a contract, it says. Justice Nation said an unusual feature of the case was that Williams, whose conduct is under

challenge, gave evidence for the plaintiffs. The Serious Fraud Office (SFO) is investigating Williams. Rural made the complaint. The judge exonerated Williams on one part of the claim relating to the 253 calves, saying Williams had never promised to arrange agistment for them, only to do his best to do so.

Some are dry, others are wet Neal Wallace neal.wallace@globalhq.co.nz LATE summer and autumn in the south of the South Island have been a case of the haves and the have nots. While parts of Southland have had regular, steady rain parts of Otago and South Canterbury have been exceptionally dry with some areas receiving less than 30mm for March. But other areas including Central Otago, North Otago and much of Southland have had healthy falls of between 50mm and 100mm for the month. Federated Farmers Otago meat and fibre chairman Simon McAtamney says the normally reliable Clutha area has been exceptionally dry this season. “We’ve been missing out on everything in February and March.” McAtamney, who farms at

Clydevale in South Otago, says the last of his lambs will be sold by next week, several weeks earlier than usual. Other sheep farmers have sold lambs as stores to finishers in Southland and Canterbury to ease grazing pressure. Store cattle have been harder to shift with dry conditions affecting usual buyers. McAtamney says farmers in his district are focused on building up ewe condition for mating and managing winter crops, which were initially hit by wet conditions during sowing and now dry weather. South Canterbury Federated Farmers president Jason Grant says the province from Albury to Waimate missed out on rain in March and farmers hope that will change this month. There is still time for rain to boost winter crops and autumn grass growth.

“We’re hoping for a bit of rain in April before the ground temperature gets too cold or it will be too late for a response.” Conditions have not been helped by northwest winds, which, while bringing rain to the Southern Alps and topping up rivers and irrigation schemes, dries out the downlands. Irrigation has insulated most dairy farmers from the dry conditions and schemes have not been short of water. Store stock prices have slipped on the back of the dry start to the year but should recover if there is rain The traditionally summer-dry areas of North Otago and the high country have had a year North Otago Federated Farmers president Simon Williamson describes as incredible. More than 80mm of rain has fallen on his Omarama farm since mid March, which has set the

A GOOD ONE: North Otago and high country farmers have had an incredible year, Federated Farmers provincial president Simon Williamson says.

region up for autumn and winter. “It’s been an incredible year really. We need rain in spring and autumn and we got both.” The weather is still mild enough to allow pasture growth though Williamson recorded his first frost this week. Southland has had varied rain with some dry areas, according to the federation’s provincial

president Geoffrey Young. The varied season means some farmers have less autumn feed than usual and some have been forced to sell lambs as stores and parts of the province could do with some steady rain. Areas such as northern Southland, which is very dry, had welcome rain in the last couple of weeks.

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News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Grinch hits Silver Fern earnings Alan Williams alan.williams@globalhq.co.nz FATHER Christmas failed to turn up in December when poor trading had a material impact on Silver Fern Farms’ annual earnings as the group staffed its processing plants for lamb supply that didn’t arrive. Farmers held back lambs on their farms to take advantage of plentiful feed but the company had to maintain staff levels during the downtime to make sure they were there when supply eventually came through, co-chairman Rob Hewett said. “That marginal cost of running the plants is what cost us mainly. We staffed up for normal livestock flows and the stark reality is they did not happen. “It was an issue for the industry, not just Silver Fern.” December is typically the most volatile month for the industry’s procurement/marketing mix and 2018 was the worst for that month in 10 years. SFF’s situation was compounded by December also being the final month of the financial year. “We went from pretty good to pretty average in those weeks,” Hewett said. Sheep meats performed well for Silver Fern in 2017 but last year’s strong farmgate prices for lamb and mutton did not reflect the in-market returns at crucial times of the season when processing volumes were low. That eroded operational efficiencies. The Silver Fern group is now two distinct entities, the Silver Fern Farms Co-operative and the operating business Silver Fern Farms. The co-operative and Chinese group Shanghai Maling each own 50% of the operating business. The co-operative does not control SFF so its profits are equity accounted rather than being consolidated into its own accounts.

NOT THERE YET: Silver Fern Farms’ profit is not at the level the business is aiming for, chief executive Simon Limmer says.

The co-operative will distribute returns to its suppliershareholders, paid from a dividend received from SFF. SFF had sales of $2.4 billion in the year ended December 31, achieving operating earnings (Ebitda) of $32.4 million, a pretax profit of $6.3m and an after-tax profit of $5.8m, well down on the previous year. The company increased investment in capital expenditure by $8m to $29m for the year. SFF chief executive Simon Limmer said prices for beef and venison products held up well throughout 2018 and returns to both farmers and processors equitably reflected market realities. During the year the company made a slight gain in beef procurement market share with sheep meat and venison static. The SFF after-tax profit was not at the level the business was

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aiming for, Limmer said. “We must lift the profitability of the business in order to sustain our aggressive capital reinvestment programme and to more actively progress our inmarket investment in sales and marketing to grow value in the market.” Hewett, also chairman of the Silver Fern co-operative, said the business is consolidating with intensive capital investment across infrastructure and systems. “While the level of profitability is lower than desirable as it goes through this process we have an expectation that we will be in a position to derive future value from our equal share in the company.” Farmers were getting strong farmgate sheep meat prices and that continued in the first quarter of the new financial year even though supply is now strong and the plants are full, Hewett said.

“The processors are making acceptable margins and farmers are continuing to be well paid.” Farmers were getting the gains directly rather than through the co-operative’s profits but Hewett describes the ownership model as a red herring. “The business needs to be profitable to make the reinvestment it needs and farmers understand that.” Silver Fern was getting better prices for better products as it moved up the value chain in recent years and that trend has to be repeated and built on every year. The Chinese market has been a major gain for the group, putting competitive tension on sheep meat prices as Brexit issues affect the British market. Shanghai Maling wants greater profit from SFF, just as cooperative does, he said. The joint-venture relationship

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is working very well. The group has internal targets on where profit levels should be but Hewett wouldn’t disclose those, saying “It’s significantly higher than this year”. While sheep meats have been a struggle, beef and venison have performed well with lean beef for manufacturing in the United States being well-received and Silver Fern’s reserve grade prime beef going gangbusters in that market. The co-operative reported a profit before tax of $2.4m for the year and an after-tax profit of $0.9m. At year-end it had cash and near-cash of $18.1m, no borrowings and total shareholder equity of $283m. SFF is paying a $1.7m cash dividend, without tax credits, split equally between the two owners. The co-operative will pay its share, $874,000, as a patronage reward to qualifying supplying shareholders, based on livestock supply criteria. The payment, also without tax credits, will be 3c a share. It will be paid on April 26 on shares held on December 31. The co-op’s earnings report did not include details on operating cashflows and debt levels in the operating business. They should be made public in the written annual report on April 12. The period leading up to the December balance-date is a high point for SFF’s seasonal debt as it buys stock for processing. That debt is not included in the cooperative accounts. SFF doesn’t have term debt, just seasonal debt for procurement cost and there were savings on that because of the low lamb supply, Hewett said. In the December 2017 year, SFF reported an after-tax profit of $15.4m on revenue of $2.2b and after one-off charges of $10.2m, mostly for the closure of its Fairton plant in Mid Canterbury. For the 2017 year, covering 15 months, the co-operative made a bottom-line loss of $5.6m.

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News

10 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Ag gets a voice on RBNZ committee Richard Rennie richard.rennie@globalhq.co.nz THE appointment of one of the country’s leading agri-economists to the Reserve Bank’s new monetary policy committee has been welcomed for connecting the bank closer to provincial and rural New Zealand. Professor Caroline Saunders, head of Lincoln University’s Agribusiness and Economics Research Unit (AERU) is also a Landcare director and a former AgriQuality director. Her appointment along with two other external members to the committee is intended to provide Governor Adrian Orr with a wider range of reference points when deliberating on monetary policy. The move brings NZ into line with a number of other countries with its seven member board comprising four internal bank appointees and three external. The other two external

members are also economists – Bob Buckle is a professor from Victoria University, Wellington, and Peter Harris us an ex Council of Trade Unions economist. Saunders thinks her eclectic background might have contributed to her appointment. “I am not a macro-economic specialist and they have enough specialists within the bank for that. “I am hoping that having a perspective from the agricultural sector and, particularly, the trade area and being conscious of those issues helps.” She hopes the committee structure will help make the bank’s decision-making more transparent with a wider level of diversity. Over the years Saunders’ work has been wide ranging, both in NZ and beyond. Her research unit’s work has been credited with helping increase the understanding of the link between agriculture and regional growth while her overseas

research has helped increase the understanding of distinct country markets in terms of their particular preferences and values. Possibly her most notable career highlight was in 2007 when her work debunked the simmering food-miles debate being applied against NZ lamb and dairy products by European farmers pushing to reduce NZ market access. Her research showed that by calculating the amount of energy required to grow the products and the carbon dioxide also produced, NZ lamb, dairy, kiwifruit and apples actually have lower impact than their European equivalents. She was awarded the NZ Institute of Economic Research economics award in 2007 for her efforts. Saunders’ appointment was welcomed by Massey University agribusiness expert Professor Hamish Gow. “Caroline’s centre, the AERU, is regarded as one of the top

RURAL PERSPECTIVE: Professor Caroline Saunders is one of three appointments to the Reserve Bank’s monetary policy committee.

research units in NZ and Caroline has worked across a whole range of regional issues affecting agriculture and regional NZ. “I believe her appointment will be quite an insightful one. “There are very few economists in NZ with her breadth of understanding and focus across regional, rural, food and agricultural issues.” And Saunders’ input into bank decisions might help eliminate some of the lag that comes in policy moves when the rural

sector is under stress, whether from weather or commodity return issues. “The rural sector experiences difficulties, hits hard times and by the time it filters through to the larger cities then there may be some policy response but by that time the rural sector is already on the up again so you always have this lagged decisionmaking. “We have someone who can warn the Government if the rural sector is feeling pain.”

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FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Cash needed for climate change geopolitical things affecting the everyday life of farmers.” Draijer says the low interest rate environment is creating opportunities for companies to invest but FARMING’S traditionally tight cashflows could hinder major investment required to address climate also squeezing returns for banks. An expected boost in consumer spending from change, Rabobank chairman Wiebe Draijer says. Any those lower rates has not eventuated, instead major investment to transform a farming business savings are increasing, the opposite to what was exposes it to several years of risk so requires expected. banks and financiers to find ways to reduce that uncertainty. “It is something we need to help to address with our knowledge, networks, services and solutions,” he said in an interview at the Farm2Fork summit in Sydney. For example, Rabobank has been assisting farmers in Brazil adopt more sustainable farming techniques to stop them cutting down the Amazon Forest. In the Netherlands it is helping farmers comply with new rules to improve biodiversity but there are also investment challenges required to help New Zealand farmers address issues such as climate change. “It is all about ‘I can see changes are needed and I can see worthwhile investment and I know what it takes to transition but there is tremendous uncertainty and I need help to mitigate the downside’.” Rabobank and other European financiers have been preparing for however Britain leaves the European Union. “No doubt there will be volatility with whatever scenario but I am confident we can navigate the storm.” The most tangible impact being felt from uncertainty is the reduction in products for agriculture and fishing being exported to Britain. Draijer says Britain was unwise to vote to leave Europe because the subsequent disruption and financial harm to individuals and businesses has shown just how irresponsible that decision was. “If we were a United Kingdom company I would not want to do Brexit but, given it is a democracy, you do what the majority wants you to do.” Brexit is one several global disruptions Draijer describes as an irrational trigger that could impact the world in the medium term. Others are the United States-China trade war and the clouds looming over the financial sector. “There are a lot of micro-economic and Neal Wallace neal.wallace@globalhq.co.nz

WHERE’S THE MONEY? Investment is needed to help New Zealand farmers address climate change, Rabobank chairman Wiebe Draijer says.

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Anzco automates Alan Williams alan.williams@globalhq.co.nz ANZCO’S $10 million automated cutting project at the Rangitikei meat processing plant in the lower North Island is now in full production. The new equipment replaced five band saws. It removes the forequarter and legs and debones the full middle of each lamb carcase, processing general manager Darryl Tones said. Improved accuracy based on x-ray pictures means an extra 5mm of meat can be retained on French racks, adding significant value, rather than being retained on the flap. The Scott Technology automated system was installed while the plant kept operating so no production was lost, Tones said. The former band saw operators have been integrated into the plant’s wider processing team. The Rangitikei plant, built in 2005, employs about 400 people and processes about a million lambs and sheep a year. Anzco is also trialling its new online trading platform, designed to provide a digital link with customers around the world. The pilot programme is with existing New Zealand traders who export worldwide, sales and marketing general manager Rick Walker said. The PrimeXConnect programme will then be extended globally to complement the work of the existing sales teams as more customers indicate the importance of digital communications channels.

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News

12 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Taratahi owes creditors $31 million Neal Wallace neal.wallace@globalhq.co.nz EMPLOYEES will get what they are owed but nearly 1200 unsecured creditors will have to wait to see if they will be paid any of the $15.8 million they are owed following December’s collapse of the Taratahi Agricultural Training Centre. An interim report by liquidators Grant Thornton says the sale of livestock will cover preferential creditors, employees, who are owed $2m, and Inland Revenue, owed $655,000, but there is no indication on the fate of other creditors. Taratahi’s 518ha Mangarata farm is being readied for sale, over which Westpac has a secured mortgage, along with stock, plant and shares.

Total assets are valued at $16.886m and liabilities at $31.1m. Grant Thornton

The 1194 unsecured creditors are owed $15.863m. Taratahi farms 42,000 stock units including 1000 dairy cows and the report says other assets are being independently valued ahead of a sale. The Home Dairy Farm and some leasehold properties will continue to be farmed as any sale of the farm requires Government approval. It is not obvious what the farm’s future is but the report notes liquidators have not received a viable proposal to provide education from the Wairarapa campus since the December 19 liquidation. “The Wairarapa campus and

GOING: Liquidators are preparing to sell Taratahi Agricultural Training Centre assets not protected by legislation.

Home Dairy farm land are subject to the Taratahi Agricultural Training Centre (Wairarapa) Act 1969,” the liquidators state. “Any sale of this property requires the approval of the minister of agriculture. The liquidators are liaising with the Ministry for Primary Industries in regard to this.” The Southern Institute of Technology has taken over the Telford campus in south Otago.

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Taratahi, a private training establishment, provided training for 2500 students and employed 250 staff on eight farms it owned or managed around NZ. In response to declining funding because of falling student numbers Taratahi invested in student support and learning and cut operating expenses, the liquidators said. Despite that, the cost of education per student exceeded

cashflow and the board called in a liquidator. Throughout the interim liquidation Taratahi’s farms have operated on a business as usual basis. Accounts prepared by the liquidators show a deficit of $14.3m of liabilities over assets though the list of assets does not include a value for land and buildings, which was not disclosed because of commercial sensitivity ahead of pending sales.

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Total assets are valued at $16.886m and liabilities at $31.1m. Assets include cash of $2650, accounts receivable of $1.8m, livestock at $11.5m, shares at $2.2m and fixed assets of $1.3m. In addition to $2.7m owed to preferential creditors, secured creditors are owed $12.5m and unsecured creditors, including unsecured employee entitlements, are $15.8m.

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Staying in touch Ravensdown exists to enable smarter farming for a better New Zealand. The names below belong to shareholders who have not been in touch for a very long time. If you are mentioned, it means that we do not have your current contact details and have been unable to reach you. Northland - Auckland North Waikato - Western BOP AAF FARMS LTD AT LAST TRUST BALERNO FARM LTD B S & E T BARFOOTE N F & B E BATEUP BELLEVUE FARMS LTD N B BEST N L BINT C A & S J BOER CAMLINN FARMS LTD K G & T CHRISTIE C B CLELAND B & V COCHRANE R J & F COLEMAN N W & K M CONAGLEN E W CROUCHER P & V CULLEN W & M DALLEY HOLDINGS LTD T J DALY W H J & R M DAWSON DEVCICH BLOODSTOCK LTD B & C DEWDNEY S W DRINKROW & A M COCHRAN A R FERGUSSON FERNHILL TRUST S J & J M FISHER D G FRENCH & J PATTERSON FRIESIAN FARMING LTD GRAIN & FOOD LTD D M & E S GREEN HANRAHAN FAMILY TRUST HAPUA KOKO FORESTS LTD HEVILA PAK HILLCROFT LIMITED W J HUEY S P & J M JACK L M JANSSEN KAIPARA COAST LTD KOCH FARMS TRUST S E LAMONT B & D LARMER LTD D S & F E MACKENZIE B L & V F MASON M D & C D MCNAMARA JIM & KATHY MENARY FARMING TRUST MARK NICHOLS NORTHASH LTD PAINANUI FARMS LTD C E PAMPLIN & J A LOW K L & K S PARKER D G & M U PHILLIPS REFET LTD REVEL CORPORATION LTD J R A ROBERTSON C P R ROSE P J & S SANDS L A SEARLEY SIKA LIVESTOCK LTD P & S SINGH & SONS LTD L A & S A SMITH M A & K W STANAWAY W G & H M STOREY THOMAG LTD THREE KINGS ESTATE LTD S THURSTON

L M TIERNEY & S H RICHARDSON PARTNERSHIP UPTON LANDS LTD K F & D R VALLANCE VALLEY WETLANDS LTD B J & D A VERRYT FAMILY TRUST WAIPOUA PARTNERSHIP LTD D H WALKER L WALL P R & J D WALLACE L M & M A WATKINS MARTYN & KAY WATKINS FAMILY TRUST WILSON LANDING DAIRIES LTD WIROA HOLDINGS LIMITED WOODLANDS FARMS (RUAWAI) LIMITED ESTATE J W WOOTTON J T WYNYARD R A YATES & C A MCNABB

S J & T C RENTOUL T D & L A RUTHE TRUST J & E G SANDERSON K D & C A SAVILL C B & L T SMITH TAI BEACH TRUST THE PADDOCKS LIMITED TKB FARMS LTD VENTURA DAIRIES LTD W & L FARMING LTD WAIRUA 2005 LTD E J & V M WATTS A-M WESTCOTT J A WILKIE R J & C L WISEMAN B R WRIGHT

East Coast - Hawke’s Bay Dannevirke

W B AITCHISON ALLANGRANGE TRUST J B ALLISON C R & M L BAYNES K A BELL P A & D J CHAMPION R D & J L CROOKS S M & D DRAKE RON FRITZ M J HARPER HAU ORA FARM LTD HEATHER TRUST H I & C P HUNTER PARTNERSHIP KAUAHEI FARMING LTD T KURU Whanganui - Manawatu B LINCOLN - Kapiti - Wellington F C & C M MCDOUGAL Masterton P H MCHARDY G W NELSON TRUST H J ALLARDICE BAINBRIDGE HOLDINGS LTD A L OAKDEN S J B PALMER ESTATE B G BASON PEKA PEKA TRUST BETHEL FARMING LTD M D BEVAN & A M GROSPE RAYCOL TRUST ESTATE P E RIDEN Taranaki - South Waikato D J BRIGHT SARGISON FARM LTD F W BRISTOL - Eastern BOP - Taupo C J SCOTT W J F CONLAN ASHLEY ROCKS FARM LTD A C F & F R DALGETY G P T SMITH P R & B C BAKER F J STAPLES B R DAUN BARRON WILLS TRUST B K TAYLOR GARTH DRURY I F & H A BELL TE PIHA LTD R F FARLEY J R BURGESS H J THATCHER FARMING LTD P M & H L FAULKNER C M & M J CAREY M W & L D THOMSON J E GORE V H & M J CLARK M R HANCOCK & T D WELSH TUNANUI HOLDINGS LTD A P CURRY LTD W & W GROWERS LIMITED B R & F HODGETTS H J DAVIS WAIAPU WORK TRUST IWIKAU TRUST E T DE LA RUE WAINUI STATION FARM A W JAMES DONOVAN FAMILY TRUST C L JOE PARTNERSHIP B J W EDWARDS ESTATE R J WALDROM KATIHIKU X TRUST GIBSON PASTORAL LTD WHAREKAHIKA B10 P LIM CHUCK J D GUYTON & J K J S MCIVOR Mid & North Canterbury - West GARRETT R J D MCKEAN Coast - Tasman - Marlborough R K HEALE J B & C MCKINLAY - Kaikoura R A & D M HODGES R K MCLEAY MIKE & JANE HOEBERS S P & L S MCMANAWAY M S ABRAHAMSON & J K PRICE FAMILY TRUST G & L J MILLS L J ADAMSON N G & H M HUNT FAMILY OTAKI-MAORI RACING CLUB J H BAY TRUST (INC) P E & G L BEAL HUNZA FARMING LTD O M PETERSEN C R & J E BEAUMONT JACKS OUTDOOR PRUDENCE RICHARDS K J & ESTATE C D BERKETT COMPANY LTD D G SEARLE J T BEST KELMAR HEIGHTS LTD SOMERSET PARTNERSHIP P J CHAMBERLAIN KOOREY & GOFTON M B & R M STALLARD W I CLIFTON PARTNERSHIP W W & O J STEWART G COTTER & W HIX D B & D J LEHMANN D J STROUD G B CULLEN W S LOVE W E & S SUTHERLAND I R DAVIDSON MACDOUGALL & SONS THE ROTOPIKO TRUST ESTATE C W DENNIS LTD ESTATE M W THOMPSON & F DURHAM FARMING LTD J MARSHALL M THOMPSON E A DYKE MCGRATH DEER S M VAN DELDEN & T FOWLIE EDENBANK ORCHARD PARTNERSHIP B G WHITE G B EVANS MULLIGAN PARTNERSHIP M W & U P WOOSTER G J & L FRANKS NGARIKI FARMS LTD G J & R GANE D S & R G OLIVER E R & A G GIFFORD OPUA TRUST HALFORD S J & K M ORCHARD OXENHAM W LTD PARTNERSHIP B T PARKER G R & H M HAMILTON PARRY HOLDINGS LTD HARRISON FARMS LTD PENLLYN LTD G R A HERBERT J F & M J PHILLIPS

R L J INWOOD D C & L M JARMAN J A JESSEP R B & K E JONES LIGNUM PARTNERSHIP LOBURN FARMING COMPANY MANDALA ORCHARD I H MCCALLUM B R & M MCCLINTOCK L J & T M MCCRONE PARTNERSHIP D J MONK MT SYLVIA FARM PARTNERSHIP MYERSDALE VINEYARDS LTD NELSON GOLF CLUB PADDY MARIE LTD A J PATERSON A J & C J PEARCE C L PERCY A G PETRIE T D PILKINGTON SANDY KNOLLS FARM LTD SEARIDGE OLIVES C D SHAW & C A PARTRIDGE G P & C H SMITH C R SOMERVILLE A M SPENCE J S STODDART T & N STRONACH PARTNERSHIP P W & B J SULLIVAN SYNLAIT FARMS LTD R R TURNBULL B F VAN DYKE T J WASHBOURNE P J WILLIAMS & J H K BENT D A R WOODS D R WRIGHT Central Otago - South Canterbury

T K & J F SUTHERLAND TANAMI HOLDINGS LTD WAIKARA PARK ALPACAS ESTATE P R WALTERS Southland - East Otago BECCARD FARM LTD R J BRUCE CLELAND-BARR PARTNERSHIP M J DUTHIE DYZ DAIRIES LIMITED EARNED MEADOWS LTD ENVIROFOCUS LTD FESTIVE FIELDS LIMITED M & T GALLAND J M & J C GOULDING A & D GREGORY & SON N S & E N HINTON LTD KASHMIR TRUST T J & S G KEAN H V KEAST A A KING W M MILLER MOOWICKS LTD P J & C J O’CONNOR R G POW RIKA HOLDINGS LTD ROSEDORIE FARM LTD A M & L M SEWELL B M & K K SMITH H W L SMITH I SUTHERLAND ESTATE M THORP J S TISDALL W W TURNER A J VAUGHAN J D WARD G J & P A WEBB S K WOOLTORTON

ANNE’S TRUST J T BARKER D BEHRENS S R BRADDICK C R & F A CALLAGHAN CAMERON CALLAGHAN LTD ESTATE T D COUGHLAN CUMBRIA PASTORAL LTD J C DALY P J DAVIDSON CARL ENG GILSTON FARMS(1999) LIMITED S G & R GODDARD A J HARMER S B HOSKIN HYBELL FARMING LTD KAIWARUA STATION LTD B M KEENAN W J & G LOWE P W MACKAY MONTY FIELDS LIMITED OTAIO FARM LTD D W & A G SMITH C F & J C SQUIRE STEVENS SEEDS LTD D W STEWART B J SUGRUE

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FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Methane matters to DairyNZ head “So what can you do now? All we can do is point you to some things you can do in the business, looking at the balance between stocking rate and individual animal performance.” The greatest gains are likely to come from an accumulation of small changes. That is similar to what the British cycling team did in the early 2000s when it appointed Dave Brailsford as performance director. Brailsford was known as

Richard Rennie richard.rennie@globalhq.co.nz

MORE: Owl Farm open day 25

Fonterra widens MyMilk entry eligibility terms Hugh Stringleman hugh.stringleman@globalhq.co.nz

SEE IT, DO IT: With 12 farms modelling 44 farm systems there are plenty of examples for farmers to learn from and apply to their own operations, DairyNZ chief executive Dr Tim Mackle says.

nitrogen losses by 14% and reduce greenhouse gas emissions by 13%. The complexity of the task was highlighted at the Owl Farm operations with researchers acknowledging moves to improve water quality through nitrogen reductions do not always guarantee an accompanying cut in gas emissions. Achieving nationwide reductions in gases will require farm-specific packages. Agricultural Greenhouse Gas Research Centre director Dr Harry Clark said NZ agriculture is already experiencing the sharp end of global warming with Manawatu last year having more than 40 days of 25C-plus temperatures. “We are already going to a

much more subtropical-tropical climate.” But because methane is short lived in the atmosphere it does not need to be reduced to zero, unlike carbon dioxide, but any reductions will help reduce climate change. He urged farmers not to be cowed by claims that because they generate almost half the country’s greenhouse gases, agriculture is not doing enough. “If you had been doing nothing over recent years agriculture’s emissions would be 30% higher than they actually are. “You cannot be accused of doing nothing.” But he cautioned those gains might still not be enough on their own to meet international reduction targets.

FONTERRA has amended the entry provisions for its MyMilk unshared supply path by doubling the allowable previous farm ownership equity of the applicant dairy farmer. MyMilk, which operates solely in the South Island, will now accept up to 20% previous ownership of a dairy farm, formerly less than 10%, for an application into the one-year unshared supply scheme, with right to renew for another four seasons. Applicants must be taking ownership of at least 20% of a dairy farm. When the farm is associated with family succession the farmer needs to be taking ownership of at least 26%. In every case the farmer must be taking operational management and control of the same farm. MyMilk general manager April Pike, in Christchurch, said an applicant in Southland had come forward in the three

weeks since MyMilk’s board agreed to the new provisions. Unlike new shared supply to Fonterra, MyMilk participants can join at any time during the season and are usually active within a few weeks of applying. Eligibility to supply remains at MyMilk’s sole discretion, she said. MyMilk has 110 supply farms spread throughout the South Island. Seven have become sharedup Fonterra suppliers ahead of the required time while the longest members are coming to the end of their fourth season, Pike said. Some MyMilk farmers are now looking at sharing up with the lower share price. MyMilk suppliers have 5c/ kg a season deducted from the farmgate milk price and that goes into buying Fonterra Shareholder Fund units, preparatory to becoming shareholders. They can earn reward dollars for Farm Source purchases but they are locked until the transition to share ownership.

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DAIRYNZ’S head Dr Tim Mackle welcomes the shift that has taken place over recent years over the understanding of methane’s role as a greenhouse gas and how the dairy sector is going to deal with it. He spoke to farmers and researchers at DairyNZ’s first demonstration day for one of the 12 farms selected nationwide to study how the gases can be reduced sustainably in the dairy sector. The inaugural day was held on Owl Farm, owned by St Peter’s School near Cambridge. “Since we launched our Dairy Action for Climate Change initiative two years ago there have been a lot of changes. “We have a new Government and there have been changes in our understanding on the importance of global warming,” Mackle said. He acknowledged some leading climate change scientists now recognise methane, a major ruminant generated greenhouse gas, needs to be reduced and stabilised despite its atmospheric lifespan being shorter than carbon dioxide’s. Early results of the studies on the 12 farms indicate there is no one-size-fits-all package available to all farmers to simply pick up and run with. However, with the 12 farms modelling 44 different farm systems there are plenty of examples for farmers to learn from and apply to their own operations. Knowing your numbers about feed inputs, nitrogen applications and feed grown are the initial essentials for farmers to measure or estimate their biological gas emissions. Owl Farm has shown reducing feed use and stocking rate can gain 14% in profitability, cut

the coach who improved every tiny thing by 1%. “Each small thing added up to take two seconds off times.” Longer-term there are positive prospects for lower methane cattle, methane inhibitors on the market within 18 months and perhaps vaccines in five to 10 years.

News

16 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Gas policy might work against us Neal Wallace neal.wallace@globalhq.co.nz A NEW measure of nutrient density needs to be included when calculating greenhouse gas emissions from food production to reflect its nutritional value, Rabobank director Berry Marttin says. Calculations based on carbon dioxide equivalents do not reflect the nutritional value and importance to human health and survival of the activity that produced the emissions, he told the Farm2Fork summit in Sydney. For instance, milk from cows has triple the emissions of soy drink. But milk has nine of the 21 necessary nutrients required daily for human health while soy has only two. “Are we measuring the right things? “Are we telling the right story? “What is better – milk or soy?” he asked the 1300-strong audience. Humans rely on nutrients so the emission debate should switch to nutrient density rather than the more generalised carbon emissions or there is the risk of policy decisions working against human health and food production. “We live on nutrients so we need to make sure that when we talk about carbon emissions, which have to be reduced, we talk about nutrient density and emissions.” Even when measured as carbon dioxide, dairy farmers in Oceania and North America have the lowest emissions in the world. That story along with nutritional value needs to be told so consumers have the right information on which to make buying choices. And producers can be rewarded for reducing their emissions footprint. RaboResearch senior consumer

OFFSET: Rabobank director Berry Marttin says nutrient creation must be counted when calculating greenhouse gas emissions.

food analyst Nick Fereday said once consumers follow a trend all hell breaks loose. The gluten-free phenomena has meant a reduction in wheat consumption while prices for butter and cheese, pilloried for years because they are dense in saturated animal fats, are now at a 50-year high and demand for bacon is rising while demand for sugar is falling. But one trend that is not changing is the demand for healthy food, what he called a never-ending search, provided those healthy choices are convenient. “We’re human, we’re lazy, we like things to be easy.” Recent research in North

America shows people talk about food as health and wellbeing not dieting and refer to multiple eating occasions instead of snacking. Americans spend two hours a day on social media and that has helped increase online food sales by 25% in recent years. Another trend is the disruption to large food corporations by new players outsmarting their bigger competitors through slicker marketing and product innovation. Earlier this year the 150-year old Kraft Heinz corporation wrote down its Kraft and Oscar Mayer brands and Canadian assets by NZ$22.6 billion because of consumers shifting to healthier

LOOKING: RaboResearch senior consumer food analyst Nick Fereday says people are in an endless search for healthy food.

and fresher alternatives and to private-label products. Typically, the big food companies spend about 1% of their budget on research and development and 7% on marketing. While not a fair direct comparison, technology companies spend 11% on research and development and 5% on marketing. National Party agriculture spokesman Nathan Guy told the conference farmers should refer to themselves as food producers because while farming is not sexy, food is. His party is adopting five principals for climate change policies: they must be science

based and offer long term incentives to help lead change, the response must in line with global trading partners, include new technology and the economic impact must be minimal. The recent report by Parliamentary Commissioner for the Environment Simon Upton advocating agricultural and carbon emissions be treated separately is smart thinking and gives farmers more ownership of local outcomes, he said. Climate Change Minister James Shaw has ruled out Upton’s suggestion. Neal Wallace attended the Farm2Fork conference as a guest of Rabobank.

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18 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

GO: Start a Land Environment Plan on an aerial map and mark any potential hot spots. Photos: Gerhard Uys

HIGH AND DRY: Silage and seed storage must be on high and dry areas, not near waterways, and must also not be in areas of high traffic. Leachate from silage stacks is nutrient rich and mustn’t run off into water.

MITIGATE: Runs on slopes can cause sediment loss but grass will slow water down and prevent losses.

SIMPLE: Curbing erosion could be as easy as changing the stock class grazed in at-risk paddocks by, for example, replacing cattle with sheep.

DON’T BE WET: If stock have open access to water bodies like streams then they should be excluded where possible through targeted fencing, building culverts or bridges at stock crossings, providing troughs or considering buffer areas of vegetated and riparian strips around waterways. Often reticulated water is the answer and will keep stock in preferred areas.

TAKE CARE: To curb excessive Nitrogen loss farmers should avoid winter applications of nitrogen based fertilisers. They should also avoid applications during periods of high rain and ensure run-off from areas like yards and stock camps flows onto land and not into waterways.

Environment plans give proof Gerhard Uys WITH increasing pressure on farmers from national policy, regional councils and the public to reduce the environmental impacts of their farms, farmers should have a Land and Environment Plan (LEP) in place and begin mitigating potential environmental risks, Beef + Lamb New Zealand regional associate Briar Huggett says. A plan begins with a farm assessment, which should be followed by responses to possible environmental risks in a detailed strategy. “The key environmental risks on farms are nitrogen, phosphorus, sediment and bacteria loss to water ways,” Hugget said. The first step in making a plan is to use an aerial farm map to mark farm resources and pinpoint likely hot spots for potential environmental risks. “Look at each paddock separately and identify key natural resources on the farm that are of value to the business and environment, like protected bush, existing erosion control, wetlands, sediment traps and waterways where stock are excluded. “These must be marked on the farm map,” Huggett says. Additionally, mark any

priority areas that might need maintenance or could be managed differently, such as hot spots for nutrient, sediment and bacteria loss. They include areas of erosion, stock crossings, unfenced waterways, fragile soils, offal holes, chemical storage sheds and other areas where surface runoff could carry high contaminant loads to waterways. “Focused questions are needed, like does the paddock pug, do stock enter a river or creek, where is runoff going, and what are the results of fencing or stock exclusion in certain,” she says. Responses to identified risks should be summarised in a written document and ranked according to priority. The responses must be specific and measurable, have a specific person or team assigned to complete them, be realistic and have a time frame tied to intended achievement. “Often hot spots are areas one drives past every day,” she says. Many concerns on a farm are linked to management of water on slopes and resultant losses of sediment or nutrients. Excessive amounts of nutrients in a water body can lead to eutrophication (excess nutrients in water), algal blooms and, in the worst case, nitrate toxicity, all of which can which can

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cause problems for the health of waterway ecosystems and the humans and animals who drink the water or use it for recreation. Losses of nitrogen and phosphorus do not occur in the same way. Phosphorus binds to soil particles and is mostly lost into waterways in runoff. Nitrogen will leach through the soil profile if not used by plants, Huggett says. Keeping stock excluded from streams through targeted fencing and provision of reticulated water to stock instead of open access to waterways could be part of managing water quality. If a farm stocking rate is higher than 18su/ha then urine can become a nitrogen leaching source and if cattle make up more than 20% of the stocking units leaching might occur as cattle urinate more than sheep and do so in one general area. A plan is not just a list of boxes to be ticked or conditions to be met but every farm must be treated as unique with its own challenges and solutions. “Different regional rules may, for instance, have different definitions of what a stream is, with one region considering only those that run through winter as a stream and another region excluding waterways that don’t flow year-long. Regional criteria

might often determine responses to challenges,” she says. All responses are dependent on what funds are available in the business but management is usually the cheapest way to deal with most on-farm issues. Erosion risks can be classified into negligible, slight, moderate and severe. A slight risk area would, for instance, be an area where there is evidence of past erosion that is hard to manage and where a major rainfall could affect production or threaten some infrastructure. A severe risk would be an area where erosion is obvious and where recovery of pasture after heavy rain could threaten production and the longterm business. Curbing erosion could include measures such as strategic tree planting to protect fragile soils or be as easy as changing the stock class grazed in at-risk paddocks by, for example, replacing cattle with sheep. There are many simple solutions to environmental challenges. In hill country farmers must consider the direction of their cultivation because it might lead to large areas of bare soil and erosion. They should also consider maintaining cover throughout the year. In a worst case cultivated land should be planted to grass

and left as grazing. On a deer farm where deer wallow near a water source, the wallow can simply be filled up and another one dug where runoff cannot enter a water source. “Grass buffer strips are also a great and simple solution. “The long grass will slow the water down and allow sediment to settle before it reaches a waterway. Grass buffer strips can be used around crops and along tracks to filter run-off. It’s all about slowing water down,” Huggett says. “Some farmers are short grass farmers. One can’t see it but one gets sheet erosion if grass is too short and tiny soil particles wash off with rain. Maintaining good cover means better soil protection, stability and less erosion. Pugged soil, for instance, gets a surface cap which reduces water infiltration and will cause run-off. One must consider what stock class to put where and in what season to mitigate this,” she says. Having a plan is an important part of the paper trail for farmers exporting to high end markets under programmes like Taste Pure Nature or being audited as part of the Farm Assurance Programme. Beyond assessments and responses it is important to record achievements and goals met and review the approach yearly.

News

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Putting people first comes first A THRIVING Canterbury dairy farmer puts as much thought into looking after his staff as he does stock and pasture. Duncan Rutherford manages an operation with 14 staff, 2300 cows and some sheep and beef on a 3300-hectare property. He and his family are still dealing with the aftermath of the 2016 Kaikoura earthquake. “It was a reasonable challenge all right. A couple of houses got fairly damaged and one is still being repaired. “The dairy shed came off its platform as well but it took only a day to get back on. We had no power so we were all eating dinner together, milking all the cows through one shed. “That was the coolest thing about the quake, how everyone just pulled together and looked after each other,” he said. Rutherford’s career mirrors the way the industry has changed in recent years. “This farm used to be a reasonable sheep and beef farm but the flats were hardly farmed because they were so dry. Being able to irrigate changed all that. It’s been a huge transformation. “I was born and raised here when we were sheep and beef then in my early twenties we started converting to dairy. “I went away, did a few years shepherding, went overseas and when I came back we were right into dairy. My role is mainly management oversight, filling in the gaps and doing the jobs that others can’t get to because they’re too busy.” The main challenges for the operation are climate-related with water restrictions and drought but Rutherford’s using farm systems to minimise pressure on staff. “We make sure our farm managers always have a lever to pull in terms of buying feed or destocking. There’s always a way out for them so they don’t get stressed.” Rutherford’s a keen supporter of Farmstrong and has created a workplace culture where people’s

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wellbeing is at the forefront of the way the whole business runs. “Day-to-day dairy farming can get pretty mundane so you need to create a good team culture. “I’m lucky. I’ve got managers with good people skills who look after staff and create a decent culture. I don’t want junior staff coming to me not happy. “Farming can also get stressful at times and the pressures are different for everyone. If there’s a drought, for example, the farm owner and the farm manager will be getting stressed out but if it’s a wet winter it’s the junior staff that get stressed cos they’re out in the mud every day. It’s about being aware of things like that.” Rutherford recognises breaks and time off are essential to keep people fresh and on top of their game. “We’re lucky because we’re large enough to have a decent staff roster so people can get their breaks. But it’s also about running

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an efficient farming system so people aren’t out there working all hours of the day.” Staff also get a chance to unwind. “We always have drinks on a Friday night and encourage people to get off farm and play sport. We don’t see it as downtime. We encourage these guys to get out there and have other interests. We also encourage staff from overseas to get off the farm and go for a look round the area. “Being a good boss is just about treating people as you’d want to be treated yourself. Work hard but keep the hours reasonable. Make people feel valued and celebrate milestones along the way. For example, we have a staff dinner after we finish calving.” There’s an important safety angle too. “ACC have got stats on the number of injuries that happen when people are tired and stressed out. It’s definitely unsafe for

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people to be operating gear when they are fatigued. We monitor our staff closely to see what tasks they can perform and how tired they are.” Being the boss comes with its own stresses, too. Rutherford has learnt to recognise the signs and take action. “If I notice myself getting a bit short with my family that’s when I know I need to get running or biking. I like training for adventure races and keeping fit. At the moment I’m training for the GODzone (three to four day race across wilderness). That’s the biggest race I’ve done.” Rutherford uses an advisory board to share the load of managing the business. “We have a couple of guys on it who are good mentors. I can bounce ideas off them and if anything is worrying me we catch up four times a year and sort it out. A problem shared is a problem halved, as they say.”

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Staying connected with mates is another priority. “I was playing rugby up until this year so that was a way of getting out the house and socialising. That stuff’s important because it also gives you a chance to check how others are doing. If you see people struggling – mates that aren’t quite themselves or not engaging – you help them out if they’re busy or ring them more often to check they’re going okay.” Rutherford admits it can be hard to completely switch off farming but he still schedules a couple of decent breaks each year with his family. “When the river’s low and we’re on water restrictions, that’s when I might still worry when I’m away because you’ve got to be managing it each day. It might take two or three days but, yeah, I can still switch off. Taking breaks is critical for recharging your batteries so you can start thinking straight again.” Rutherford recently hosted Farmstrong ambassador Sam Whitelock for a day. It gave him a real insight into the link between wellbeing and performance in both sport and business. “It was a good day. He’s a great ambassador. What you see is what you get. It was an eye-opener for me about how much top athletes look after themselves to operate at peak levels. For example, I remember him talking about how important sleep is. “I think rural people are starting to open up a bit more and realise this stuff is important, that you do have to look after yourself and your staff because if you don’t, you won’t enjoy farming as much, your business isn’t going to thrive and people won’t want to work for you. “The main thing is to surround yourself with good people. Create a positive team. If you look after your staff, they’ll look after you.” Farmers Weekly is the official media partner of Farmstrong

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20 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

A SAFER ALTERNATIVE: Agrecovery’s mobile truck gives farmers an alternative to burning or burying their rubbish.

ONE-STOP: Agrecovery’s recycling gear can deal with farmers’ plastic waste on the spot.

Waste carrot now then the stick THE Government has allocated $381,000 to enable farmers and growers to better deal with waste as a prelude to compulsory waste management The money, from the Ministry for the Environment’s Waste Minimisation Fund, means farmers and growers can more easily recycle or safely dispose of a wider range of on-farm waste such as agrichemicals, scrap metal, soft plastics and used oil, Associate Environment Minister Eugenie Sage said. Federated Farmers environment spokesman Chris Allen said the Government’s support is a shot in the arm for the agricultural industry’s ongoing campaign to recycle and re-use. “Farmers are highly motivated to do the right thing for the environment and this programme shows them that products once considered rubbish have a value. “We need the national-scale system of recovery and good

access for farmers in every part of the provinces,” Allen said. Rural recycling programme Agrecovery will manage the project by offering events where farmers and growers can drop off waste. The events will accept a wide variety of waste on top of what Agrecovery’s existing agrichemical scheme accepts. “This funding will enable the programme to offer a new, onestop-shop approach to allow farmers to drop off agrichemicals and their containers as well as other farm waste including bulk fertiliser bags, used oil, scrap metal, silage/balage wrap and other soft plastics at the same time. “Waste on-farm has traditionally been burned, buried or stockpiled, which can have significant health risks and can cause air and water pollution.” The project will recycle or disposed of the waste in an efficient, safe and managed way.

“By providing a one-stopshop approach we will be removing barriers to recycling and encouraging our rural communities to participate in sustainable disposal practices for a variety of waste,” Agrecovery chairwoman Adrienne Wilcock said. Over the past decade Agrecovery has collected close to 2500 tonnes of rigid plastics and safely disposed of almost 150 tonnes of unwanted agrichemicals. “It is critical that we take responsibility for all plastics used on farms, which have long been problematic, and meet these challenges head on,” Wilcock said. Environment Canterbury research shows NZ farmers average around 10 tonnes of non-natural waste a year though most admit to disposing of it improperly. “This Agrecovery project will also help develop options for New Zealand’s first mandatory product

stewardship – for agrichemicals and their containers,” Sage said. The one-stop-shop approach builds on an existing scheme. “Currently farmers are able to drop off agrichemical containers at close to 100 collection sites around the country under a voluntary product stewardship scheme run by Agrecovery.” Agrecovery also collects large quantities of containers and drums from farms and disposes of unwanted agrichemicals. The manufacturers who participate in the programme fund it by paying a levy on the products they sell. “We all need to take responsibility for reducing the impacts of the products we manufacture, sell and use on nature and the wider environment. “Product stewardship helps us shift away from the take, make and dispose economic model to a more efficient and less wasteful

circular economic model where materials are reused or recycled at the end of a product’s useful life,” Sage said. “Burning, burial and bulk storage of waste on farms have been the main methods for managing rural waste traditionally, creating problems that this new project with Agrecovery will help to solve.” A previous project managed by Environment Canterbury established the need for the new one-stop-shop, as well as the impacts on and risks to NZ’s natural resources, economy and social and cultural wellbeing from burning, burying and stockpiling rural waste. Agrecovery’s events will start in September. The Ministry for the Environment is also co-ordinating work on mandatory product stewardship schemes for tyres, refrigerants and lithium ion batteries.

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FARMERS WEEKLY â&#x20AC;&#x201C; farmersweekly.co.nz â&#x20AC;&#x201C; April 8, 2019

High-end shoppers seek quality Richard Rennie richard.rennie@globalhq.co.nz TOP-END Chinese supermarkets battling for consumersâ&#x20AC;&#x2122; hearts and minds often use their virtual stores to better understand their customersâ&#x20AC;&#x2122; shopping habits, both on and off line. Until now premium shopping experiences have been largely limited to online stores but more online outlets like JD.com and Alibaba are offering a bricks and mortar shopping option. For Shanghai and Beijing based chain City Shop the evolution has been the other way around with the 20-year old firmâ&#x20AC;&#x2122;s shops in prime city spots adding an online offering since its acquisition by Fruitday, an online fruit specialist, in 2017. In the produce section Zespri kiwifruit has locked in 12-month shelf space for a fruit that claims top spot for both volume and value. The SunGold variety accounts for 80% of sales, selling for about NZ$3.50 a piece in pack of six, 12 and 25. It is building a strong following among the supermarketâ&#x20AC;&#x2122;s well-heeled, upperincome shoppers. Fruitday assistant president Huang Jing said a key focus of the chain is to boost shoppersâ&#x20AC;&#x2122; consumption of fresh fruit and Zespriâ&#x20AC;&#x2122;s focus on offering a nutritional, convenient snacking fruit fits well with that goal. Having 12 months of supply has done much to stabilise and build demand as shoppers learn to expect to find the fruit on the shelf regardless of the time of year. That has been in part thanks to Zespri sourcing fruit from Italy at the tail end of the NZ supply season, filling the gap over January-March until the NZ fruit crosses the wharves. â&#x20AC;&#x153;The other key reason for purchasing Zespri kiwifruit is to take it as a gift when celebrating

holidays and festivals with friends. â&#x20AC;&#x153;Offering a good-quality, branded fruit like Zespriâ&#x20AC;&#x2122;s is appreciated by your hosts,â&#x20AC;? she said. Fruitdayâ&#x20AC;&#x2122;s main business is an online store with 15 million shoppers downloading its app and 1.5 million identified as regular, high-value weekly shoppers on it. Huang said City Shopâ&#x20AC;&#x2122;s fruit sales are split evenly between on and off line purchases and the online data is a valuable source for helping it better understand its shoppersâ&#x20AC;&#x2122; preferences and behaviour. â&#x20AC;&#x153;With what we are learning from this data we have been able to narrow down our stock keeping units from about 20 to six in the fruit sector.â&#x20AC;? â&#x20AC;&#x153;We are also learning from looking at their total purchases whether they may have children and what food preferences are and from that we can tailor our promotions. Some may work well, others may not so we drop that promotion and try something else.â&#x20AC;? City Shop now focuses more on the higher-spending customers it already had online rather than trying to grow those numbers further. The chainâ&#x20AC;&#x2122;s customers are typically well educated, time-short and happy to pay a premium on prepared, convenient products sourced from high-quality suppliers. It has recently started stocking airfreighted Bostock organic apples selling for 12 yuan (NZ$2.59) each, alongside snack-sized Rockit apples in their distinctive Rockit cylinder container. Rockit recently joined the Primary Collaboration company, which now represents 13 NZ brands in China. With almost 500,000 Chinese visiting NZ every year this country has earned a good reputation

RETAIL: Fruitday assistant president Huang Jing in a Shanghai supermarket outlet.

among City Shopâ&#x20AC;&#x2122;s high-end customers, many who have been or aspire to visit NZ. â&#x20AC;&#x153;It means as a country NZ is in a very good position to start from.â&#x20AC;? Chinese food production standards have lifted significantly in the past decade. Huang said if prices are similar between NZ and Chinese products shoppers will still tend to opt for the NZ product. â&#x20AC;&#x153;It also depends on the

product. For example, something like squash, they will be less concerned. But for something like kiwifruit they will pay the premium for NZ product.â&#x20AC;? City Shop offers only Zespri kiwifruit to its customers. The chain got some of Chinaâ&#x20AC;&#x2122;s first shipment of avocados from NZ and the good flavour profile was appreciated by customers. However, she noted the price at 29 yuan (NZ$6.20)

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22 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Lower weaner prices no surprise Alan Williams alan.williams@globalhq.co.nz WEANER calf breeders were realistic heading into the latest sale season and report being reasonably happy about the lower prices they’ve received. “Our prices were back where I expected,” Mt Arrowsmith Station owner Philip Wareing said. “I thought they would be $150 to $200 down on last year and it worked out at about $150.” Wareing breeds Angus cattle from the Stern line at his Ashburton Gorge station. Most of his sales are to return buyers. He sold 122 steers at an average $852.58 a head or $3.70/kg and 100 heifers at $621.45 ($3.10/kg). It was a tough season in the high country with a cold wet spring. “I thought the good weather after Christmas would have got their weights up but it didn’t quite. My top weight was higher than last year but the average was down about 10kg. My buyers tell me they do very well when they get down to the low country.” Wareing’s PGG Wrightson agent John Farrell said major reasons for the lower prices are the high prices paid over the last two years and buyers finding they’re not getting the expected margins. “There’s a lot of cattle being carried through longer to add on weight so more adult cattle going through now. The guys aren’t making as much as they hoped so they’re more cautious this year. I’d say the market now is fair value.” Wairarapa’s Birch Hill Station manager Stuart Ross said weaner prices last year were ridiculous and he isn’t complaining about the latest fall. As well as the caution over margins the Martinborough sale relies on Manawatu buyers who had dry conditions this season. Birch Hill’s top Angus steers, 242kg after a good growing season, fetched up to $950 a head or $3.93. “I think they are very good prices.” The mood in the beef sector is good, Ross said. PGW’s Wairarapa area manager Steve Wilkinson said sale averages have fallen to about $3.60 to $3.80/kg from $4.30-$4.50 last year, averaging $120 to $150 a head. “The vendors understand the market, they’re selling every year and they want their buyers coming back next year.” South Otago farmer Warren Burgess averaged about $900 for 152 Simmental weaners at Owaka in late March, down about $90 on last year. “It’s a correction but the prices were so strong last time. It’s been a dry season and that might have had an impact on buyers and some calves and I’m happy with the outcome.” His top prices were $1040 for a pen of Simmental steers and $1150 for a pen of Murray Grey bull calves. They were the second cut

from the farm with the best 110 weaners kept as replacement heifers or sale bulls during the winter. The sale was the last at Owaka, which doesn’t have scales. Next year it transfers permanently to Balclutha. “There are scales there for weighing and we’ll get a bigger buyer bench.” Despite the lower prices Burgess agrees with Ross the outlook for beef and the red meat sector overall is positive. PGW’s Otago regional livestock manager John Duffy said there were more weaners at Owaka than expected and it had a fair market, leaving vendors and buyers happy. AgriHQ senior analyst Suz Bremner said average weights were heavier at Canterbury Park and Temuka on Wednesday but tighter budgets put prices back $150 to $200 a head across the steers and heifers.

Hereford-Friesian were mainly 126-151kg and sold for $550-$590. Hereford-cross heifers, 188-262kg made $520-$540. Bulls varied, with Charolais-cross, 125-149kg, fetching $570-$600, while most Angus-Friesian made $345-$485.

PUKEKOHE weaner fair and cattle sale • Top weaner steers made $900$1000 and medium Angus, $775$850 • Top weaner heifers earned $790$810, and medium beef, $630-$670 • Forward R2 heifers sold for $2.60$2.62/kg • Prime steers sold for $2.77-$2.92/kg, and heifers, $2.70-$2.79/kg • Boner cows traded at $1.52-$1.53/kg PUKEKOHE got into weaner fair action on Saturday March 30 with results slightly down on last year, but solid nonetheless. Small weaner beef steers and heifers earned $515-$580, with small dairybeef lines making $225-$485.

STORTFORD LODGE weaner bull and heifer fair and store sheep sale • Medium-good to good male lambs firmed to $110.50-$128.50 • Light ewe lambs made $90-$100.50 • Angus & Angus-Hereford heifers, 244-248kg, held at $808-$820, while 191-241kg firmed to $600-$762 • Charolais-cross heifers, 251-271kg made $820-$910, and 189-235kg held at $615-$780 • Shorthorn-Hereford heifers, 174269kg, sold for $505-$770 More buyers for lambs easily absorbed the 2900 penned at STORTFORD LODGE last Wednesday, with the market firm. Good to heavy cryptorchid made $129-$139, and medium males, $107-$110.50. Good ewe lambs sold to $127.50.Weaner heifers were the focus, following a small yarding of bulls with most Friesian, 158-208kg, $565-$720. Heifers were traditional or exotic and buyers were selective. All Angus fell in a 181-274kg range and sold for $655$805, but the tops reached $3.27$3.40/kg, second cuts $3.11-$3.20/ kg, and third, $3.00/kg.

FRANKTON dairy beef weaner fair • Hereford-Friesian steers, 169-170kg, strengthened to $675-$690 • Hereford-Friesian heifers, 135181kg, improved to $475-$532 • Angus-Friesian bulls, 124-177kg, earned $510-$648 • Hereford-Friesian bulls, 111kg, lifted to $570 • Friesian bulls, 115-175kg, traded at $400-$500 Just under 400 quality dairybeef weaners were yarded at FRANKTON last Tuesday, with the market steady to lifting. Bull buyer numbers grew and HerefordFriesian, 114-131kg, held at $555$600. Red Hereford-Friesian, 116150kg, earned $405-$460, though eleven at 136kg pushed to $525. Red Hereford-Friesian heifers, 128157kg, lifted to $425-$510. TARANAKI dairy beef weaner fair • Simmental-cross and AngusFriesian weaner steers, 154-167kg, sold for $500-$540 • Hereford-Friesian, 166-219kg, were bought for $600-$680 • Hereford-Friesian weaner heifers, 242kg, made $630 • Hereford-Friesian weaner bulls, 251kg, earned $750 • The top Angus-Friesian bulls, 154168kg, made $530-$550 Last week’s TARANAKI dairy beef weaner fair was a battle from start to finish. Hereford-cross steers mostly made $410-$500, while

STORTFORD LODGE weaner steer fair • Angus, 270kg, firmed to $990-$1025 • Angus, 225-245kg, also firmed to $850-$932 • Angus & Angus-Hereford, 266332kg, eased to $930-$1140 • Angus & Angus-Hereford, 185195kg, lifted to $730-$780 • Charolais, 220-261kg, firmed to $845-$940 Round two of the weaner fairs at STORTFORD LODGE kicked off with steers last Tuesday. Outside buyers had a big impact on the market with heavy types mainly steady, medium firm and lighter lifting. Some lighter lines exceeded $4.00/kg, while most 200-275kg traded at $3.60-$3.80/kg.

standard rate of $2.93-$3.Traditional heifers, 165-235kg, were usually $2.90-$3.11/kg A little more than 2000 calves were on offer at FEILDING. Success fluctuated throughout the sale with big lines of traditional steers doing well and everything else roughly plus or minus 5c/kg on the previous weaner fair. MARTINBOROUGH and MASTERTON weaner fairs • Good Angus steers sold for $890$1110 • Medium-good Angus-Hereford steers made $760-$900 • Angus & Angus-Hereford bulls varied from $425 to $760 • Medium-good Angus heifers made $570-$780 • Most Angus & Angus-Hereford heifers returned $510-$750 Calves were front and centre at Masterton again last week for the MARTINBOROUGH and MASTERTON weaner fair. A total of 3450 calves sold over Tuesday and Wednesday, with steers heading to Manawatu, Hawkes Bay and local areas, while heifers mostly stayed local. Prices were back on 2018 levels but competitive with the last fair. Second and third cuts of Angus steers made $600-$830, while exotic mainly traded at $702-$955. CANTERBURY PARK • Large lines of 245-285kg traditional steers were $3.53-$3.73/kg • Large lines of 195-225kg traditional steers made $3.60-$3.71/kg • Lighter steers, 150-180kg, were mainly $3.55-$3.85/kg • Traditional heifers, 225-285kg, usually made $2.92-3.11/kg • Traditional heifers, 145-215kg, were $3.05-$3.27/kg A yarding of 1100 calves sold to expectations at CANTERBURY PARK. There was a subset of small pens and beef-cross calves which sold below the ranges above; for example 245-295kg steers falling under this umbrella were $3.27$3.49/kg.

DANNEVIRKE weaner fair • Good Angus steers made $860-$925 • Good to very good Angus & Angus-Hereford steers sold well at $905-$1100 • Top Angus & Angus-Hereford heifers made $830 • Medium-good Angus, and AngusHereford heifers sold for $640-$745 • Autumn-born Charolais-cross bulls made $1105, and heifers, $820 DANNEVIRKE offered up just over 1300 weaners last Thursday, featuring big lines of hill country traditional steer and heifers. Steers were the star performers, selling above expectations, while a smaller buying bench for heifers meant some good shopping.

CHEVIOT calf sales Southern section: • Traditional and Charolais steers, 290-305kg, were $3.48-$3.60/kg • Angus and Angus-Hereford steers, 230-275kg, made $3.53-$3.76/kg • Traditional steers, 170-225kg, earned $3.51-$3.77/kg • Traditional heifers, 225-275kg, were $3.00-$3.20/kg • Charolais heifers, 220-270kg, made $3.22-$3.45/kg Just over 700 calves were offered at the southern section of the CHEVIOT calf sale on Thursday March 28. Traditional steers averaged $890, $3.64/kg, at 245kg, while Charolais steers averaged $895, $3.51/kg at 255kg. Traditional heifers averaged $680, $3.20/kg at 215kg, while Charolais were $785, $3.35/kg at 235kg.

FEILDING • Exotic steers, 260-325kg, were $3.09-$3.26/kg • Large lines of 240-270kg traditional steers climbed to $3.76-$3.78/kg • Traditional steers, 205-220kg, made $3.70-$3.91/kg • Exotic heifers, 170-305kg, made a

Northern section: • Traditional steers, 240-280kg, made $3.45-$3.65/kg • Traditional steers, 210-240kg earned $3.50-$3.73/kg • All 180-200kg steers traded at $650$750 • Traditional heifers, 220-280kg, were

$3.04-$3.27/kg • All 160-200kg heifers fetched $580$655 The northern sale had 975 calves penned on Friday March 29. Most were traditional with steers averaging $860, $3.57/kg at 240kg, and heifers $705, $3.23/kg for 220kg. CULVERDEN calf sale • Autumn-born Charolais-cross steers, 400kg, were $1330 • Traditional steers, 215-245kg, made $790-$860 • Traditional and exotic heifers, 215230kg, earned $700-$720 • Traditional heifers, 185-205kg, were $635-$650 CULVERDEN offered up 500 calves on Friday March 22. Most were traditional steers and heifers, complimented by Charolais-cross lines. Regular buyers re-aligned their budgets, but calves sold to expectations. Three buyers fought over heavy steers, 295-400kg, and they made $3.35-$3.55/kg. Lighter steers were similar, with 190-235kg at $3.40-$3.65/kg and 240-280kg, $3.30-$3.55/kg. Heifers, 315-365kg, sold well at $2.90-$3.00/kg, though the majority were 230kg or lighter. Those 205-230kg were $3.15$3.30/kg, and well-presented 160195kg types made $3.30-$3.45/kg. Two pens of 240-265kg Hereford bulls earned $1030-$1040, $3.90$4.30/kg. TEMUKA • Eastern and southern section • Heavy exotic steers, 280-350kg, made $3.17-$3.38/kg • Medium exotic steers, 225-275kg, usually received $3.35-$3.46/kg • Traditional steers, 195-260kg, went for $3.39-$3.64/kg • Exotic heifers, 245-295kg, made $2.98-$3.16/kg • Traditional heifers, 235-300kg, were flatter at $2.80-$3.01/kg TEMUKA played host to 1800 calves at the Eastern & Southern Section sale, with the yarding roughly split 50:50 between exotic and traditional calves. Some huge Simmental and Simmental-cross calves were the main talking point – 370-440kg steers were $2.89-$3.11/kg and 305390kg heifers were $2.76-$3.00/kg. GLENLYON and HUXLEY GORGE calf sale • Good traditional weaner steers were $890-$940 • Medium traditional weaner steers made $780-$860 • Good traditional weaner heifers sold for $700-$780 • Medium traditional weaner heifers were $590-$650 Calf sale action at the Temuka yards began with the annual GLENLYON and HUXLEY GORGE, which marked its 90th anniversary. Joe Higgins of PGG Wrightson described the 775 calves in the lineup as the best the sale has offered. A lower buyer turnout saw average prices ease $145 for steers to $855, while heifers averaged $635, down $175 on last year. Mid-to-lighter cuts of heifers were the hardest to move.

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DRAWN

M. Z

DATE

31-05-16

SCALE

FH - 32 R

SHEET NO.

SHEET SIZE

N.T.S.

1 OF 1

S S

S S S

DescripƟon FARMHAND FULLY SHEETED SHEEP PANEL 1.5M FARMHAND HALF RAIL/SHEETED SHEEP PANEL 2.0M FARMHAND FULLY SHEETED SHEEP PANEL 2.0M FARMHAND HALF RAIL/SHEETED SHEEP PANEL 2.5M FARMHAND FULLY SHEETED SHEEP PANEL 2.5M FARMHAND SHEEP MESH GATE SLIDING FARMHAND SHEEP GATE STANDARD 2.0M FARMHAND SHEEP GATE STANDARD 2.5M FARMQUIP SHEEP DRAFT MODULE ADJUSTABLE-SIDES YARD PINS FARMHAND SHEEP YARD U-BOW Total OpƟonal Extras FARMQUIP SHEEP DRAFT MODULE V-SIDES FARMHAND GROUND SPIKES FARMHAND PERMANENT SHEEP YARD POST SHEEP RACE ANTI BACKING FLAP

Code FHSPS15 FHSPRS20 FHSPS20 FHSPRS25 FHSPS25 FHSGSLIDE FHSGSTD20 FHSGSTD25 NY003 FH07 FHSPU

Price Qty $ 229.00 2 $ 259.00 23 $ 299.00 3 $ 349.00 1 $ 359.00 2 $ 349.00 1 $ 439.00 3 $ 459.00 4 $ 3,595.00 1 $ 5.00 82 $ 109.00 1

NY004 FH013 FHSPOST FHSBF

$ 2,595.00 $ 15.00 $ 49.00 $ 79.00

Total $458.00 $5,957.00 $897.00 $349.00 $718.00 $349.00 $1,317.00 $1,836.00 $3,595.00 $410.00 $109.00 $15,995.00

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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SY 260

SHEET NO.

Sam R SHEET SIZE 21/05/18

1:75

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Newsmaker

24 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

HOLDING HANDS: Professor James Renwick wants to speed date scientists and artists so each can portray the other’s view of climate change.

Climate ace links emotion, reason

RINGING the right and left sides of the human brain together to aid understanding of climate change is just one of the plans James Renwick has as winner of the Prime Minister’s Science Communicator Award. The Victoria University academic splits his time between researching climate change in the southern hemisphere, contributing to the high-powered Intergovernmental Panel on Climate Change and delivering frequent media pieces, interviews and discussions with policy makers. The award judges noted Renwick’s warmth, humour and positivity when dealing with the issue. His approachable style has long been appreciated by journalists struggling to unpick the complexities and implications of greenhouse gas emissions in New Zealand’s pastoral farming system. But Renwick is the first to admit that for anyone outside climate change study, much of it can seem prosaic, complicated and quite remote from daily life. The result is everyday citizens can dismiss it as they go about the daily business of living, getting more perplexed by where their car keys are than by whether the ice caps are melting. “Even if I think about myself, were I not spending my career

Communicating the mechanics and implications of climate change is not for the faint hearted given the complexities and often depressing consequences. But Professor James Renwick has made himself available to the media and public over the past two decades, talking about both in a way that has helped build understanding of what climate change means and how we can deal with it. He spoke to Richard Rennie after winning the Prime Minister’s Science Communicator award. studying and researching the topic, I really can’t say that I would be spending much time worrying about it. It’s just human nature to be most concerned about the things that affect you most directly.” So to help make the issue resonate as much in hearts as in heads Renwick is looking to work with groups to try to combine the more emotional talents of artists with the analytical, horizonseeking skills of scientists. Bringing together the left and right sides of the human brain, linking emotion with reason is one way he aims to help people better understand the single greatest threat facing the planet today. “Part of the award prize money had to be committed to a proposal that I forwarded. “We are considering a festival of performance, art and drama that has climate change as a theme.” He also hopes to foster collaboration between scientists and artists, matching them up speed dating style so one can communicate the work of the other. And it will not be before time.

Renwick maintains NZ spent a long time standing still when it came to addressing climate change and in only past year or so has the pace picked up.

Everyone is talking now about zero carbon by 2050 and if that does pass into law this year there is the opportunity here for New Zealand to be a real world leader in reducing greenhouse gases. Professor James Renwick Victoria University “Everyone is talking now about zero carbon by 2050 and if that does pass into law this year there is the opportunity here for NZ to be a real world leader in reducing greenhouse gases.

“Until now, though, we have only really been talking the talk.” He acknowledges the contentious and potentially political implications of trying to differentiate between carbon dioxide and methane. “But scientifically, splitting the gases out, that is a very sensible approach. “The last IPCC report out six months ago talks about this. “Because methane does not stick around in the atmosphere for as long (12 years) as carbon dioxide, if you can even reduce it slightly, the concentration will go down. “This idea we have to go hard on all gases, I can understand the attraction of that from a buy-in point of view. “It removes that element of anyone feeling they can get a free ride. “So, you do also have to be careful about not letting any sector off the hook. “You do have to reduce methane and nitrous oxide, just not as fast.” Renwick acknowledges the challenge of talking about climate

change in a way that doesn’t scare people into hapless complacency. “The idea is to inspire people about the change needed. “Sure, the future could be awful but let’s make it the best it can be by being able to do things as individuals to make a difference.” He has cited public transport use, cycling, eating less red meat, buying electric cars as all valuable at an individual level and powerful when acted on collectively. He also appreciates the sense of responsibility the farming sector feels it has to wear with the burden of difficult-to-control greenhouse gas emissions, which form almost 50% of the country’s emissions. Meantime, urban SUV drivers might well feel less burdened by any requirement to change their business or their lifestyle to reduce their output, despite transport forming about 40% of emissions. But Renwick believes that will change in the very near future as the Government passes its Zero Carbon Act and greater attention also comes on the transport sector and its need to curb gas losses. “But whatever sector is affected, any tax or cost has to be equitable. “We can’t single out specific groups unfairly. “Any tax gathered should be channelled back to those hit the hardest by it.”

New thinking

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Farm gas cuts have substance Greenhouse gas reduction has been added to the plethora of environmental expectations on the dairy sector in recent years. A DairyNZ demonstration day at St Peters’ School’s Owl Farm near Cambridge proved to farmers how it is possible to successfully reduce nutrient loss and gas emissions, often hand in hand. Richard Rennie went along to learn more. the researchers found their achievements in reducing nutrient losses had also helped cut the farm’s gas footprint. The cuts to nitrogen inputs and lowered total feed inputs also sliced 8% of the farm’s gas emissions, by about a tonne a hectare from 13.6t/ha to 12.5t/ha.

What we found was that we could achieve the nutrient reductions, not through a revolution but more of an evolution.” Louise Cook DairyNZ Meantime farm operating profit per hectare has lifted by 14%. The greatest slice came off gases through reducing the farm’s nitrogen surplus. Nitrogen surplus is the net difference between fertiliser nitrogen plus nitrogen in imported feed less nitrogen output in milk. DairyNZ data from 400 Waikato farms shows with every 100kg surplus eliminated from a farm system, 4.26t/ha of gases were eliminated with it. Owl Farm’s reduction in its nitrogen surplus of 20kg a hectare therefore sliced off 0.85t a hectare of gas with it. Secondly, reducing the amount of bought-in feed and growing more on the farm contributed

ONE-WAY: Cutting farm emissions also reduces nitrogen loss but limiting nitrogen doesn’t necessarily lower gas emissions, DairyNZ’s Owl Farm demonstration manager Louise Cook says.

alongside the nitrogen reduction to total gas reductions. Owl Farm’s change to more farm-grown feed achieved a reduction of almost 0.3t of gas/ha, based on DairyNZ data from 400 Waikato farms. Growing more feed on-farm eliminated carbon emissions generated by transporting boughtin crops like palm kernel. But Cook cautioned as the system becomes more and more efficient it is harder to achieve even greater gas reductions. However, given many farms are around Owl Farm’s average

category, there is plenty of room for the industry to make some significant early improvements in gas losses. Cook said while aiming to reduce gases will typically also reduce nitrogen losses it does not always apply the other way, in that nitrogen reductions might not always also lower gas losses. That can be because of changes in things like farm infrastructure, which may contain nitrogen-rich effluent but result in greater losses to the atmosphere. Owl Farm researchers have two options they could pursue for further reductions.

April 2019

HAVE YOU READ DAIRY FARMER YET? The latest Dairy Farmer hit letterboxes on April 1, have you read yours?

Our OnFarm Story this month features young Northland couple Don and Kirsten Watson who have progressed through the industry in just 10 years to buy their first farm on the picturesque Kaipara Harbour. Breeding and genetics - spring mating planning Now is a good time to plan ahead for mating. See what is new and coming in the world of breeding. Preparing for Gypsy Day Farmers and cows are on the move as the season winds down. Check out what you need to do before moving stock around the country.

One involves reducing stocking rate by a further 7%. The other involves building a feed-pad to capture nutrient losses, increasing the stocking rate and adding maize silage to the system. DairyNZ farms systems specialist Chris Glassey urged farmers wanting to achieve Owl Farm’s 1t gas/ha reduction to keep good records on nitrogen applied and feed used. That will help calculate their farms’ nitrogen surpluses, from which they can make management changes that will also reduce gases.

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Breeding top bulls for NZ Still going strong after 50 years Moving on and up

A place to call home ress to farm ownership A Northland couple’s speedy prog

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April 2019

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AKING an average Waikato dairy unit and reducing its nutrient footprint is an initial goal for DairyNZ researchers working with staff and directors of Owl Farm. The farm is one of 12 in the Partnership Farm Project, part of the industry’s effort to lower its nutrient and greenhouse gas footprint. In 2014 the school farm’s directors recognised nutrient limitations were a looming regulatory reality they needed to deal with. The 147ha property sits tucked between the main road to Hamilton and the Waikato River. Like all Waikato farms it will be subject to nutrient limits under the Healthy Rivers plan. “What we found was that we achieved the nutrient reductions, not through a revolution, but more of an evolution with changes around lots of little things. “The main changes we made were to reduce bought-in feed from 20% to 11%, put 8% of the farm into turnips and reduce the stocking rate from 2.95 cows a hectare to 2.8,” DairyNZ’s Owl Farm manager Louise Cook said. Nitrogen fertiliser use was cut by 13kg a hectare and winter application was avoided. The reduced nutrient loss box they wanted to achieve was ticked. Nitrogen losses to waterways dropped by 14% to about 36kg N/ ha. “But then, 18 months ago, we learnt greenhouse gases would have to soon be included in reductions.” Working back over farm data

Opinion

26 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

EDITORIAL Rapid change coming soon

HE first seeds of what is likely to be a year of fundamental change for agriculture were sown with the revelation the wind has gone out of the market for dairy farms in two key South Island dairy regions. Six months of low sales in Southland and Canterbury reflect tighter rules governing foreign buyers, a less favourable outlook from banks to dairying and fear among buyers of pending regulation and change. On the horizon are promised tax changes, the likely introduction of environmental taxes and regulations and an expected increase in borrowing costs following a Reserve Bank requirement that banks retain more capital. It also appears corporate interest in the dairy sector might be cooling, which, with tighter rules restricting foreign ownership of land, creates some angst for owners of very big, predominantly South Island, dairy farms. More will be revealed in coming months with the Government due to respond to the Tax Working Group’s proposals, to address the threat facing biodiversity, to improve water quality and set out how New Zealand will become carbon neutral by 2050. One thing is clear: these changes – real and pending – will make farming a very different industry in December to what it is today. It is hoped for the sake of NZ’s most important export industry that practicality not ideology drives those changes, the economic importance of agriculture is recognised, the sector is not suffocated by bureaucrat-satisfying, box-ticking compliance and reference to sustainability includes people and communities. It is hoped that our skills as food producers are recognised and that new compliance does not put them out of business only to have production picked up by less efficient operators in another country. But the signs are not great that will be the case. Last week Climate Change Minister James Shaw ruled out the growing scientific consensus that methane emissions from livestock can be managed separately from carbon dioxide because that would mean restarting the consultative and legislative process.

Neal Wallace

LETTERS

Truckies must take more care A CARRIER recently agreed to truck cattle from my Ngongotaha farm direct to an Auckland freezing works. Mike in the office confirmed the truck and trailer unit could turn around at the yards and requested a pick-up at 1.30pm. A small truck arrived an hour earlier, which was not what was agreed, so I phoned Mike in the office. He said the arrangements had changed and that the cattle would now be transferred onto the big truck and trailer unit at Okere Falls, 20 minutes away, then they would be carted direct to Auckland. I was taking English visitors for a drive that day and we followed the truck, which didn’t stop at Okere Falls.

Instead it drove on for an hour to Rangiuru. I phoned Mike again and he said my cattle had definitely been transferred at Okere Falls and were on their way to Auckland. He phoned me later with their arrival time which he said was 6pm, just over five hours after pick-up. The cattle actually arrived at 11.30pm, eleven hours after pick-up. There were 50 prime cattle on the truck that day and mine would not have been the only ones that killed out badly. So what went wrong? The following day I spoke to Dave in the office and asked him to find out and let me know where my cattle had been for the 11 hours. He did not return my call. It seems verbal agreements are being ignored by the

carriers once the cattle are loaded and out of sight. The Auckland trip took many more hours than it should have but what happened in between that time has been covered up by the carrier. Were the cattle offloaded, did they have water and shade or were they left standing on a hot truck for 11 hours? Why did the carrier provide false information including the arrival time at destination. If there was a breakdown, medical emergency or accident why wasn’t that information willingly provided? My English visitors buy locally sourced meat from a butcher with on-site slaughter facilities because they care about the animals’ welfare.

The NZ meat industry must realise customers are becoming more discerning and that a prolonged, stressful truck journey affects stock weights and farmers’ incomes. It also gives consumers concerned about animal welfare more reason not to buy our product. Patricia Hosking Ngongotaha

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

APART: Separating farm operating assets from land will drive efficiency, Property Brokers rural general manager Conrad Wilkshire says.

Loan hurdles limit farm sales Conrad Wilkshire AS WE settle into autumn the only consistent trend is rural real estate outcomes vary significantly across the country. North Island farm sales are on par with last year and selling, for the most part, at similar levels, particularly where there is neighbouring interest. Well located sheep and beef finishing farms are actually selling ahead of historical levels, often with multi offers as the sector looks to capitalise on year-on-year premiums for finished stock. South Island, particularly Canterbury, farm sales activity is back to levels not seen since immediately after the global financial crisis across all rural land categories. It appears the general lack of sales in the dairy market is impacting across the whole rural market and is likely to carry through 2019, including finishing land. The co-dependence on dairy grazing receipts and competition for expensive irrigated land, in addition to shifts in Government policy regarding foreign ownership and the Mycoplasma bovis biosecurity shock, have all combined to see the market pause this year. Rural real estate market confidence, particularly with pastoral farming, is mercurial. Historically it runs hot and cold,

year to year, regionally, relative to seasonal weather conditions and volatility in the dairy payout and schedule returns. Interestingly, both these influences have been positive this season nationwide. Growing conditions were very favourable in the lead-up to Christmas and early New Year across the country, only truly getting dry over our traditional summer period. Farmgate returns have also backed up last year’s favourable results across the board, however, the rural market in many regions has stalled with surprisingly few sales. Despite the favourable season (climate and commodities), buyer sentiment has tended to reflect farmers’ general sense of political unease with escalating compliance costs and regulatory hurdles. That is all part of the narrative for not proceeding with offers or placing a higher bid. When quoting genuine buyer interest this season our team has been very wary of not talking the market down when presenting offers. Farmers always have a choice in accepting an offer. The role of the rural sales consultant in establishing fair market value has definitely been challenging this season. When it comes to making the deal actually happen, the rural

banking sector is not immune from criticism either. The dichotomy here, of course, being that interest rates are at the lowest levels in living memory and debt to the rural sector has been held at $60b despite capitalising significant farm losses in recent years in support of existing clients.

Rural real estate market confidence, particularly with pastoral farming, is mercurial.

Having worked through a good number of farming cycles in a professional banking capacity, dating back to the 1980s, we are, in my opinion, working through a structural shift. Our historic production-led farming philosophy is shifting to profit. In the past there have been strong market incentives to drive production up, capture gains via the balance sheet and run up considerable tax losses in the profit and loss. The goal was to cycle everything back into the farm in support of production-led growth underpinned by capital gain.

The adjustment now is we are probably getting close to our national limits in terms of a production-led approach. Driving more value from fewer stock is something the sheep and beef sector has been doing for a couple of decades now. Dairying is now a mature industry and is having to face the same adjustments. The good news is processors in all sectors have invested in significant capital works and market development as they seek to meet and anticipate future customer preferences and not just increased production. So, with strong export receipts predicted this season and next and interest rates at record lows, why is our rural real estate market, particularly dairy, lacking so much confidence to operate effectively (supply of farms exceeding demand)? There are a couple of forces at play, one being there are likely to be more sellers than buyers for a while yet as the benefits of scale are not as obvious as they once were. Labour shortages have been compounded by losing proven share-milking operators, who were burnt off with recent market volatility and skyrocketing land prices. Secondly, the regulatory framework the rural banking sector is operating under is tightening significantly.

First farm buyers and those looking to grow through scale are struggling to demonstrate the capacity to pay back their borrowing on a 20-year table mortgage. On a conservative payout and medium-term view of interest rates these deals are just not happening to the level they used to. Being two-thirds borrowed on high-value rural land, more often than not, doesn’t meet the criteria for new business rural lending. Astute farmers will work through the trade-offs, including repaying debt and the market is likely to lift over the longer term as a result, probably in line with inflation. For those who want a strategic hedge against further land market volatility look at your farming structures and investigate options to bring the next generation in early (family or non-family). Support for the sharemilking sector, particularly for larger properties, might again prove a successful model. Separating the farm operating assets and the land holdings to drive efficiency will create incentives for the next generation to step up too.

Who am I

Conrad Wilkshire is the general manager rural for Property Brokers.

Opinion

28 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Politicians all gas no action THE reaction to the recent report by Parliamentary Commissioner for the Environment Simon Upton on climate change proved to me our politicians are more interested in headlines and photo opportunities than making real change. To put it another way, when it comes to climate change partisan politics are infinitely more important than progress. Simply, Upton argues there needs to be two classifications for greenhouse gasses: Fossil (industrial) that deals with carbon dioxide and biological for methane and nitrous oxide produced by animals. Upton adds they need to be treated differently because carbon dioxide remains in the air for several centuries but methane just 12 years. I agree. Climate Change Minister James Shaw’s response was there isn’t time to go back and reconstruct the Emissions Trading Scheme into two. If he was starting again things might be different. What a massive cop-out. Farmers have been pleading for years to get methane and nitrous oxide treated differently from carbon dioxide. Shaw obviously ignored them and instead relied on his crystal ball. Federated Farmers rightly said it is time to let science rather than

Alternative View

Alan Emerson

politics guide policy planning. It is right but it seems our politicians aren’t interested in science. Upton believes there needs to be an on-farm tool to measure gas emissions, which I totally agree with. The plan by successive governments to put agriculture into the ETS by taxing production is pure rubbish and will change nothing. Any change needs to happen on-farm. St Peter’s School’s Owl Farm in Waikato has been able to cut emissions while increasing profitability. Many others have as well. Maybe our politicians should visit some real farms. With the splitting of the two GHG gas categories Upton makes the valid point you need totally different mitigation strategies for the two gases and forestry won’t work with carbon dioxide He says while the ETS might be convenient and serviceable it isn’t necessarily a sensible basis for long-lasting climate mitigation.

WIN-WIN: Owl Farm has been able to cut emissions while increasing profits.

So we’re putting convenience above reality. Upton also says managing fossil emissions separately from biological sources and forest sinks would make better sense. He believes farmers should be able to grow trees to mitigate their biological emissions and I agree. Using forest sinks for a gas that will be around for centuries is, in my view, totally illogical and absolutely unscientific. Mind you, Greenpeace said the suggestion means it expects champagne corks will be popping at Ravensdown and Dairy NZ, which proves they’re more interested in anti-farmer rhetoric than meaningful change on climate. So, we have a situation now where we’re lurching ahead with

highly intrusive anti-farmer legislation with no strong scientific basis. Professor Myles Allen of Oxford University is internationally recognised as an expert in climate change. He was in New Zealand recently, talking about the huge difference between carbon dioxide and methane. He says if a herd’s methane emissions can be reduced by just a third of 1% a year, which can be achieved relatively easily, then they no-longer contribute to global warming. That means or should mean – no tax. Dr Jock Allison is well known to New Zealanders. Dr Thomas P Sheahen isn’t. He is chairman of the Science and Environmental Policy Project based in the United States. The two collaborated to write a paper entitled Greenhouse Gases – A More Realistic View. They also want methane and nitrous oxide removed from NZ’s greenhouse gas inventory. They say the Intergovernmental Panel on Climate Change concentrates mainly on anthropogenic (human) emissions and ignores the natural contribution of gases from the planet. They believe the methane from farm animals is largely irrelevant to global warming. Many scientists question the

Government’s direction on climate change. If, as the government says, carbon dioxide stays in the atmosphere for over 200 years it is then somewhat ridiculous to claim trees can mitigate that. Methane stays in the atmosphere for just 12 and trees can. What annoys me most is the spurious concentration on methane and nitrous oxide while totally ignoring the massive global warming from aviation. In 2017 859 million tonnes of carbon dioxide was released into the atmosphere by aviation yet we continue to encourage tourists to fly to NZ. GHG emissions from aircraft increased 87% from 1990 to 2006 yet our politicians ignore that fact. Cruise ships, similarly, have a massive carbon footprint yet we continue to encourage their visits. That is an internationally recognised fact. Successive governments’ anti-farmer ranting over methane and nitrous oxide isn’t. The truth is we’ve reduced our environmental footprint at our place. I know many farmers who have done more. Farmers want to mitigate climate change. We don’t want extreme climate events and drought. It’s a pity our politicians don’t share that view.

Depending too much on one market is risky From the Ridge

Steve Wyn-Harris

IN THE year ended March 2018, New Zealand exported goods worth $15 billion to China and $14b to Australia, making them our biggest export trading partners. The China exports included $4b of dairy products, $3b of logs and wood and $2b of meat products. Chinese tourists are now our

Stay Farmstrong

Lock in a break Farmstrong is a rural wellbeing programme sharing farmer-tofarmer tips and advice.

second biggest tourism market with 400,000 visiting in 2016 and spending $1.6b and are expected to eclipse Australians as number one in 2024 by spending $3b. In 2018 our two-way trade with China was $27b and exceeded $30b this year just gone. Since the free-trade agreement was signed in 2008 goods exports

to China have quadrupled, all going some way to explaining this golden run that many of us exporters have experienced. However, those of us selling wool where China is a major buyer know the perils of being exposed to this large market. The dairy sector learned this lesson in its last downturn. It

remains a command economy with the ability to turn demand on and off quickly. But despite that, China is a crucial country for our own prosperity and future. So why has this Government seemingly mismanaged this relationship over the last 18 months? Continued page 29

While I love what I do, taking regular breaks helps me get through the tough days. Sam Whitelock Farmstrong Ambassador

To find out what else could work for you, visit farmstrong.co.nz

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Farming for cash and capital gain: the rules have changed REGARDLESS of whether a capital gains tax is introduced the rules of farming have changed. Cash is becoming a lot more important. I recall going to a conference in late 2000 or thereabouts, soon after my return to New Zealand after an absence of close on 20 years. I recall a lecturer from Massey University expounding how farming in NZ involved two separate businesses. The story went that there was a cash business based on production. That was all about survival. And there was a capital gains business. That was how wealth was generated. It was something I had known from my earlier days in NZ but it was something I had also largely forgotten about while working overseas, where things were very different. I am not trying to imply that capital gain was not relevant where I was working overseas but its importance was much less. So now I was back in NZ I spent some time thinking about the reasons why things were different here. The answers were not hard to find. The lending policy of the banks and lack of a capital gains tax combined with inflation were together driving the NZ reality. I often wondered if that was leading Continued from page 28 I think one reason for this apparent cooling is that global politics beyond our shores come into play. The United States-China trade war as these two countries jostle for economic supremacy has seen smaller nations caught in the crossfire. Both these countries are important to us and we need to tread a fine line. And then there is the Government Communications and Security Bureau’s decision to block Huawei’s involvement in the 5G network because of security concerns. Given that

to a mis-allocation of resources. However, when I was lecturing to Lincoln University farm management students I cast aside the question of whether the rules were leading to mis-allocation. My job was to teach them how to play the game according to the rules society had set. The rules were not hard to understand. With no capital gains tax, plenty of interest-only finance and inflation quietly doing its thing in the background there was a big incentive to get on the ladder. Survive the first few years and time would look after things from there. The biggest problem was to get onto the first rung of the ladder. Those already on the ladder could use their growing equity combined with financial leverage to crowd out new entrants so established farmers expanded their holdings. From the turn of the century to the global financial crisis in late 2008, the land-price pump was

working well. Product prices were good, dairy was flavour of the decade and most people seemed happy. Those who could not get on the first rung by themselves had new options to join syndicates or become equity partners. They could also play the same game in the rental-housing market, where the first rung was easier to climb aboard. The result was that as long as there were enough believers then the model became self-fulfilling. Land became more and more expensive. The model worked across many rural industries but it worked best in dairy. DairyNZ itself got on the bandwagon. Courses in building your business combined with courses in mark and measure became all the rage. Actually, they still exist. As with all games there were winners and losers. Sharemilkers were particularly at risk, and some lost everything. Sometimes it was a lack of skill but other times it was just bad luck with timing. But losers tend to go quietly whereas winners take all and become exemplars for others. The most successful players increased their wealth at 20% or more a year. At 20% compounding it took only 3.5 years to double one’s wealth. They were great times for the winners. Since the GFC of 2008-09 and until recently the rules

were tweaked a little but the overall model still worked. The combination of reducing interest rates and ongoing willingness to lend on an interest-only basis was enough to keep land prices heading north, though perhaps at lower rates. It is hard to identify the precise turning point but some cool breezes that started blowing around 2016 have now picked up speed. With the exception of land that has potential for kiwifruit or other big-income crops or has special locality value, then rural land prices are at best static and in most cases declining. Indeed, many land markets are now totally dead. So what has caused the change? The two biggest changes are that banks now require capital repayments and overseas investors are no longer welcome. Kiwis themselves lack the new equity capital to invest. There is also a lack of confidence related to the impact of new and prospective environmental regulations. There is a huge irony in all of this. That irony is that product prices for many of our agricultural products have never looked better. So, the cash returns could be strong, though some of this will be required to repay bank loans using tax-paid funds plus capital expenditure on environmental management. Someone smarter than me once

said predictions are always risky, particularly when they relate to the future. And as the famous Murphy once said, what can go wrong will go wrong. And as one of the many Smiths said, Murphy was an optimist. So, indeed, nothing is for sure. Nevertheless, there is reason to believe we might be moving into an era where inflation remains muted, where cash returns from agriculture are reasonable and capital gain might at best be modest. Inflation, of course, will be determined by Government monetary and fiscal policy. And with governments there are always uncertainties. In all of this we need to keep reminding ourselves we have an export-led economy. Europe does not need us – with or without Britain. Also, America does not need us. Africa cannot afford us. That leaves Asia. We wouldn’t want to mess that up. Some months back a former NZ Prime Minister said to me that even from a narrow economic perspective there are more important things than a capital gains tax for Government to focus on. I am coming around to that perspective. A capital gains tax would indeed mean new rules of the farming game and all sorts of sneaky ploys to get around those rules. There might be smarter ways to achieve a fairer society.

other western countries have evidence their security has been breached by foreign governments, we would be naive to think we are not a target. But the decision has naturally got up the Chinese noses. However, last week Prime Minister Jacinda Ardern did finally make the trip to China to meet both premier and president, two of the most powerful people on the planet and certainly able to hold great sway over our future. Last week I listened to an interesting interview with American John Pomfret, who, as a journalist, lived in China for many

years. He is a Mandarin speaker with great insights into that country that most of us still know little about. He gave the outsider’s view of our Ardern and her performance, particularly over recent weeks. He said she was a global rock star given her and the whole nation’s extraordinary reaction to the tragedy in Christchurch. He went on to say the pixie dust she has is exactly why the Chinese leaders were so keen to host her and be photographed beside her on her visit. “The soft power your country has now you don’t even understand,” he said.

Former Prime Minister John Key benefitted from his Hawaii and golf connections with Obama, which no doubt helped our relationship with the US, again the gift of soft power. Pomfret also discussed President Xi Jinping’s move last year to remove the term restriction on the presidential role, thus setting himself up as president for life or as other commentators have noted, as a new Chinese emperor. For the last 30 or so years the president has always ensured there was a sound successor installed into the politburo by their second five-year term to

make sure there was a smooth and orderly transition of power. Xi is 65 now and without the use of this safeguard he has put his country at the risk of great future instability because, like all of us, he will get old and frail. Then there will be factional power struggles and an unstable China will present the world and particularly small countries like ourselves with difficulties, especially if we continue to become more dependent on that economy for our own prosperity. We do need to keep looking for a diverse range of markets for our exports to guard against over exposure to one economy.

The Braided Trail

Keith Woodford

On Farm Story

30 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Farming at their fingertips Mid Canterbury mixed arable farmers Gary and Rae Wilson are embracing modern technology to make farming their property more productive and more environmentally sustainable. Luke Chivers reports.

ONE are the days when farmers could step into their parents’ shoes and expect to follow the same, time-tested methods and be successful. In this age of uber-production every sector is based on the application of science, research and technology that is changing at a mind-boggling rate. Mixed arable farmer Gary Wilson knows that all too well. “Nowadays, all of my tractors, my combine harvester and sprayer have a real-time kinematic GPS fitted,” the 52-year-old says from his Hinds property. It helps with soil sampling, tractor guidance and variable rate applications – allowing him to farm site-specific. “Well, that’s what I was told when he wanted to get all these gadgets,” Gary’s wife Rae says. The Wilsons have long been passionate about the New Zealand primary industry and its contribution to the country’s economy. In the 1970s Gary grew up on a sheep and crop farm on the Canterbury Plains. “It was the best childhood I could’ve asked for,” he says. “I’ve always loved the outdoors and machinery so it was the perfect combination, really.” In 1983 Gary left home to develop his skills in the rural sector. He studied for a valuation and farm management degree at Lincoln University, which landed him a job as a property valuer for Pamu (formerly Landcorp) in Hokitika. During his five years on the West

GROWTH: Gary Wilson checks on the progress of his crop.

Coast he was lucky enough to be awarded a scholarship to travel to Britain for a six-month immersion programme, in part because of his contribution to his local NZ Young Farmers club. “It was an incredible opportunity. “I was able to gain a solid understanding of agriculture and some of the challenges faced by farmers overseas.” It was during that time Gary met Rae. After some smooth talking he managed to coax her into moving to NZ instead of returning to her hometown on Australia’s Gold Coast. “What brought me back was my love of the land and being my own boss,” he says. “Sure, they’re long hours and the weather can be a real pain but

what motivates me is the hope that we can achieve top yields each season. And, hey, if not, there’s always next year.” Gary’s parents Stuart and Betty Wilson settled the original block at Winslow in 1988. Four years in, Gary and his brother Richard moved onto the farm. The brothers and their wives farmed the land in partnership for nearly three years. In 1999, Gary and Rae began farming on their own account and have been running Glenmorganvale Farm as a duo ever since. It is now a 290ha effective property – made up of two farms three kilometres apart – which Gary describes as flat, inland country prone to unpredictable weather. “We grow crops ranging from

Photos: Johnny Houston

carrots for seed production and ryegrass for seed maize, radish to anything else that’s profitable.” His focus is arable though his family background in mixed farming was always going to secure the existence of livestock on the property. Glenmorganvale is home to sheep and cattle and ran an average of 20 stock units a hectare over winter last season. “We run store lambs,” Gary says. “We’ll buy this year’s in the next fortnight, take them through until prime and sell them in spring.” The flock ranges from 10004500 hoggets every season, feed and dairy support dependent. “It ties in with all our grass seed crops as that’s when we’ve got to shut them up for seed. The hoggets are great for keeping the land grazed.”

“We sell them just before their teeth pop otherwise they’re worth less than what we paid for them,” he says. “We used to buy store lambs for $50 or $60 a head but now they’re worth about $100 to $120. We really need at least $50 on store lambs to make it worth our time. And, of course, a $50 margin on a $50 lamb is a whole lot better than a $50 margin on a $120 lamb.” Last season, the Wilsons killed 2800 lambs through Alliance Group at an average weight of 22kg. Cattle numbers in 2018 were 370 R2 dairy heifers, which were grazed on behalf of neighbouring dairy farmers. “We graze dairy heifers right through from April until calving in mid to late July.” Cattle eat the pasture after

On Farm Story

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

DIRTY WORK: Gary Wilson and farm 2IC Steve Naylor check ground conditions on Glenmorganvale Farm.

NEW WORLD: Gary and Rae Wilson run what was originally his parents’ farm but finds things very different today.

harvest, before it is put into another crop in the spring. “It’s another revenue stream for us,” Gary says. In recent years the Wilsons have tried to expand their operation but land prices are throwing up challenges for the couple. “We’ve attempted to buy adjoining land here. “But the money an arable farmer can pay is just way less than what others can afford. Our cashflow and earning capacity off arable is just not the same as dairying,” Gary says. The small township of Hinds was once known for its sheep and crop farming but that has changed radically over the past two decades. “These days you’ll struggle to find a sheep farm in our neck of the woods,” she says. “They’ve migrated to the foothills or further south – it’s predominantly dairying here now – and we’re one of the few remaining arable farms in the area.” It is now a lot more profitable to be a dairy farmer, Gary says. “You see, a lot of the crops we grow are proprietary varieties that we sign a contract with a company

to produce the seed for. “The price is set and as arable farmers we either accept it or don’t grow the crop. “I know it sounds like we’re never happy but along with the weather, which is always challenging us, we’re still getting the same prices for our grass seed that we earned when we started farming 25 years ago. “We’re getting about $2.35. If we were to adjust that for inflation we’d be getting a hell of a lot less than that.” That’s why Mid Canterbury has converted so much to dairying – it is the highest and best land use, he says. The only way the Wilsons have been able to maintain the farm is with productivity gains and getting smarter in the way they operate. In recent years the couple have adopted smart-farming technologies to improve their irrigation systems, maximise their fertiliser use and, in turn, increase their yields. “Before we purchased this farm it simply had border dyke flood irrigation and lateral spray irrigation with hand shift pipes.” In the past five years, however,

Gary and Rae have been transforming their property. “Our tractors and combine harvester now have automated steering so we are using the machinery to its utmost,” he says. The farm is also fully irrigated with pivots and, using variable rate irrigation technology, the Wilsons allocate water precisely where they need it, depending on soil type, all by the touch of a smartphone. It requires less labour, lowers costs in the long-run and ensures the Wilsons get more of their farm watered accurately. “With the help of technology we’re not necessarily reducing our water or fertiliser inputs but optimising them so the crops we grow use everything that we put in – be it water, fertiliser or chemicals we spray.” Gary regularly services his irrigators to ensure they are putting the right amount of water on the land rather than on nearby roads or rivers. “As an irrigated farm we’re always under the microscope so we have to use our scarce resources the best way we possibly can. We’re trying to do that.” Gary is no stranger to on-farm research and development. He is an executive member of Ashburton-based farm advisory Lauriston Farm Improvement Club. He has also served a board member of the Valetta Irrigation Scheme and as the Mid Canterbury arable chairman of Federated Farmers. Gary says a lot of people who

are critical of irrigation are simply not well-informed. “The reality is if irrigation is used properly it can be healthy for the soil and the environment. “And it allows us to grow the seed crops – like carrots, radish and ryegrass – that’re exported to the world. “Without irrigation systems our crops simply wouldn’t be reliable. We would not get the yields. Companies offshore wouldn’t want to grow in NZ,” he says. What we are doing is producing export dollars. “We are providing a service to the other side of the world so that we can grow the seed for them to produce the food they eat.” Without irrigation that wouldn’t be possible. “Of course, best practice for an arable farmer in the irrigation sense is that we apply water when it’s needed for the crops. “We have planted soil monitoring sensors in the ground that we can look at our moisture content in real-time by our phone or laptop, which show us whether or not we need to irrigate.” Or Gary looks at the rainfall. “I’ll look at the weather and if there’s a big rainfall coming then we don’t irrigate. We are trying to keep the soil in a zone where it’s always productive.” The soil monitoring exercise is not cheap. “It costs about the price of a small car,” Gary says “But in terms of what it can offer I think it pays for itself in the crop production that we achieve from it.”

Growsmart® Precision VRI is the world’s most environmentally savvy precision irrigation system. It’s an efficient method for saving water because you apply exactly the right amount of water needed to specific areas of your land. You can target irrigation for certain soil types, avoid watering unproductive land such as waterways and wetlands, and water around obstacles underneath your pivot like buildings, tracks, drains and roads. With Growsmart® Precision VRI, you will make a positive contribution to the world’s food bowl, while saving New Zealand’s vital natural resources. Find your Zimmatic® dealer at your regional Field Days and find out how Growsmart® Precision VRI can work for you or visit www.growsmartprecisionvri.com

Without those earnings, arable farmers could struggle to breakeven. Gary believes if the return on investment was higher for arable land, some crop-turned-dairyfarmers would have never made the switch. “I think many of them would’ve preferred to stay as mixed cropping arable farmers. It’s a much better lifestyle. But the dollars and cents mean that they often have to change.” When it comes to negotiating the price we are at the whim of the international markets. “With the way our dollar is it really comes down to how much the international consumer wants to pay for our product,” Gary says. “And if we don’t agree to the price that we’re offered, then a company overseas will likely get it produced somewhere else in the world. One of the things I guess that makes us a better option for producing these products is that everything we do is traceable. “We’re still seen as having a clean, green image. We have to record our agrichemicals and use them in a responsible way. “And overseas markets know that our infrastructure is good and the cleanliness of the product they receive is top notch.” So, the Wilsons are optimistic about the future. “We do think our story of provenance will soon pay dividends and we’ll receive higher value for the product that we produce. “Right now, however, when someone goes shopping in the supermarket for bread, they usually go for the cheapest variety and quite often that’s made from imported product. “It would be nice if more consumers start to think of NZ producers, even if they have to pay a little bit more for it. “All of the technology and the environmental outcomes that we are trying to achieve with water and with fertiliser are keeping our waterways clean – but it all comes at a huge cost,” Gary says. “Will it earn us enough of a return in the long-run? “Well, that’s really up to the consumer.” >> Video link: bit.ly/OFSwilson

NEW LISTING

Huntly 577 Bain Road

Puketotara

One of the Waikatoâ&#x20AC;&#x2122;s landmark rural finishing properties, this 1145 hectares (more or less), offers a new owner a wealth of future farming options. With its quality infrastructure, including four dwellings, and good balance of contour, the property has continually turned out well finished heavy cattle and prime lambs as well as good arable crops. The station has an effective farm area of approximately 970 hectares most of which is in good healthy rye grass and white clover pasture. With approximately 171 well-fenced paddocks, this intensive subdivision, supported by high quality access tracks, means the farming land is well utilised and pastures efficiently grazed. The property is approximately 47 kilometres north-west of Hamilton in an area becoming increasingly popular because of its proximity to Auckland and its location within the growing Waikato region.

Tender (unless sold prior) Closing 2pm, Wed 8 May 2019 96 Ulster Street, Hamilton Phone for viewing times Mike Fraser-Jones 027 475 9680 mike.fraserjones@bayleys.co.nz

SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/2310402

NEW LISTING

Boundary lines are indicative only

Aongatete 299 Lockington Road

Large G.3 orchard plus so much more

This quality 40ha plus of horticulture and silviculture on the Tauranga side of Katikati, has been developed into a productive orchard and is for sale with crop included. First time on the market, the retiring vendor has offered this gem for your opportunity to continue a rich production history. The circa 5.82 can/ha of G3 and 13.46 can/ha of Hayward is nearly ready to harvest. This is a big crop of good size fruit and at approximately 66 metres above sea level, TZGâ&#x20AC;&#x2122;s should be A okay. Pergola structures, good end assemblies and good management of all orchard infrastructure including tracks, implement sheds, load out area, water supply and spray fill, complete the operation. Circa 400 well husbanded avocado trees produce a good income. The home is centrally located near staff facilities to run the orchard and has outstanding views to Mauao and ocean across a panoramic rural vista.

Tender (will not be sold prior) Closing 4pm, Thu 18 Apr 2019 247 Cameron Road, Tauranga View 1-3pm Thu 11 Apr Snow Williams 027 275 5500 snow.williams@bayleys.co.nz

bayleys.co.nz/2500341

bayleys.co.nz

SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Eketahuna 810 Pa Valley Road

Location with potential This property has been in the Morrison Family since 1915 and is now presented to the market ready for a new owner to take advantage of all its potential on offer. The farm is made up of 323ha of rolling to medium steep hill country and is complemented with flats at the front and rear of the property. A central laneway, supported by a series of satellite yards, runs almost the entire length of the property. The farm infrastructure consists of a five bedroom home, four-stand woolshed and covered yards. This property is located about 15 minutes to Pahiatua and Eketahuna, 35 minutes to Masterton and 45 minutes to Palmerston North. In what is regarded as a predominantly 'safe' farming area, this property poses a wonderful opportunity for a first farm. Available for inspection from the 8th of April 2019.

Tender (will not be sold prior) Closing 4pm, Wed 15 May 2019 186 Chapel Street, Masterton View by appointment Lindsay Watts 027 246 2542 lindsay.watts@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/3060628

FINAL NOTICE

Motu 3286 Whakarau Road

Quality farming and recreational x-factor. Torlea Station offers a mix land use to appeal to a range of buyers. Be it easy contour for finishing, sheltered breeding country, reliable rainfall or recreational appeal you are chasing, Torlea provides many attributes. Located in the very desirable Motu farming community, being 602ha of mixed contour, largely very clean country, with excellent water and a good standard of infrastructure. Torlea is well positioned to walk on and begin farming immediately - with scope to further increase production levels and stocking capacity. Excellent infrastructure across the 4-stand woolshed and covered sheep and cattle yard facilities, fencing has largely been improved to a high standard, and the very tidy and well-presented four bedroom homestead provides a great base for the owner or farm manager. Torlea is seriously for sale, to be sold at Auction in the coming week.

Auction (unless sold prior) 1pm, Fri 12 Apr 2019 10 Reads Quay, Gisborne View by appointment Simon Bousfield 027 665 8778 simon.bousfield@bayleys.co.nz James Bolton-Riley 027 739 1011 james.bolton-riley@bayleys.co.nz

bayleys.co.nz/2751246

MACPHERSON MORICE LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

Boundary lines are indicative only

Okoroire 776 Kakahu Road

Gordonton 819 Woodlands Road

Unique scale and contour

Blueberries - super fruit of the future

This 246Ha (more or less) premium drystock property has been a family farm for 92 years and comes to the market in good heart in the reputable Okoroire district. Presently grazing over 1,000 cattle and cropping 24ha of contract maize. Easy access on gentle contour Tirau ash soils that could suit a variety of land uses. Fenced into 86 paddocks with considerable earthworks and drainage to lowland areas and divided by the Kakahu Stream that is titled and fenced off to council ownership. Cattle yards are in good order with a crush plus scales and water is from a central bore. There's two well-maintained homes, an older homestead and plenty of shedding. Seldom does an opportunity arise to secure this size property in such a sought after locality.

Auction (unless sold prior) 11am, Thu 11 Apr 2019 96 Ulster Street, Hamilton View by appointment Neville Jacques 021 774 190 neville.jacques@bayleys.co.nz Glenda O'Sullivan 027 222 8119 glenda.osullivan@bayleys.co.nz SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/2400056

This quiet idyllic treed setting minutes from Palmerston North is home to a 16 hectare thoroughbred horse spelling, breeding farm that enjoys fertile soils, productive pastures, established shelter & privacy on a quiet road. For people with a passion for horses, behind the electric gates the long tar-sealed driveway leads to a four bedroom executive home, twenty paddocks, and fourteen stables. The farm infrastructure is tailored for ease with a superb central race system, holding yards, round yard, large implement shed, cattle yards & has bore water supply. A proposed subdivision plan is available for 1) house and 6.3ha and 2) 10.3ha of bare land (subject to conditions). Close to Feilding sale yards for cattle trading. RV $1,850,000 (Due to be reviewed 2019)

bayleys.co.nz/3051389

Tender (unless sold prior) Closing 1pm, Thu 2 May 2019 176 Broadway Avenue, Palmerston North View 12-1pm Tue 9 Apr John van Lienen 027 446 4683 john.vanlienen@bayleys.co.nz MID WEST REALTY LTD, LICENSED REAA 2008

Land is the biggest asset to any farming business so it pays to stay up to date with the market. Connect with the right audience at

farmersweekly.co.nz/realestate

SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

THE DESTINATION FOR RURAL REAL ESTATE 2

Asking Price $5,500,000 + GST (if any) View by appointment Mike Fraser-Jones 027 475 9680 mike.fraserjones@bayleys.co.nz

bayleys.co.nz/814861

Manawatu 102 Highden Road, Palmerston North Thoroughbred Spelling Farm

Close to Hamilton, in the sought-after area of Gordonton, is this great 8.8801ha (more or less) lifestyle property with a built in business. The block is in two titles with a lovely modern five bedroom home. Features include a huge highly speced kitchen with scullery, open plan living and dining, two bathrooms and double garaging. The lounge flows out onto a sun-soaked deck wrapping around three sides of the home. The property is currently used as a commercial blueberry growing operation with eight canopy hectares and in excess of $1,000,000 turnover. It comes complete with plant, machinery and personnel to run the operation, making this a grand lifestyle opportunity with all the hard work done or being done for you plus an unbelievable income stream.

FARMERS WEEKLY â&#x20AC;&#x201C; April 8, 2019

LARGE CROPPING & FINISHING UNIT Papakowhai, 420a Kahutara Road, South Wairarapa

343 hectares Video on website

nzr.nz/RX1551983

Papakowhai is an intensive cropping and stock trading / finishing property sitting on heavy alluvial silt soils (80%) and sand based soils (20%) located on the edge of Lake Wairarapa, just one hour´s drive from Wellington. The main crop recently grown has been maize grain, but the property has successfully grown maize silage, potatoes, barley, peas, and wheat. The 17/18 maize grain yield was 15 dry t/ha. 185ha of maize grain was planted last spring for May/June harvest. The livestock are mainly Friesian weaner bulls taken through one winter and trade lambs to top off the feed demand. Papakowhai has three titles and there are 320ha effective, in 80 main paddocks, with an excellent water supply. The property is well drained with two main automated systems. The huge fertiliser application history is evident with the recent soil test indicating optimal levels with pH around 6 and Olsen P levels of 30-52. To top off this prestigious property there is a spacious modern family home with five bedrooms and an office with an in-ground solar-heated pool plus an asphalt tennis court. A fully-lined sleep-out attached to the large double garage (with mezzanine storage) provides further accommodation. Down past the house and sheep yards are the main farm buildings which include a nine-bay implement shed with an attached four-stand woolshed and workshop, and cattle yards. It´s been a long time since a superior cropping farm of this scale has been marketed.

BEE KEEPING & TOURISM OPPORTUNITY 1569 Whanganui River Road, Wanganui Rarely does a property offer such a diversity of tourism strands plus being a fully functional farming and bee keeping operation. Located on the banks of the Wanganui River, this 1023 hectare property opens a huge business opportunity. Capitalise on the existing tourism traffic passing the property plus the potential to utilise the good number of deer roaming the regenerating native flora and large stands of Manuka to establish a hunting park. The ’Rivertime Lodge’, a 3 bedroom dwelling , 2 stand woolshed and an excellent track network all support the property’s farming, beekeeping and tourism operations.

1023 hectares Tender

nzr.nz/RX1833502 Tender (unless sold prior) Closes 4pm, Thu 2 May 2019. NZR, 1 Goldfinch St, Ohakune. Jamie Proude AREINZ 027 448 5162 | 06 385 4466 jamie@nzr.nz NZR Central Limited | Licensed REAA 2008

Price on application Blair Stevens AREINZ 027 527 7007 | 06 370 9199 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

SELDOM AVAILABLE & OFTEN SOUGHT 693 Pukeokahu Road, Taihape This highly productive easy undulating/medium hill contoured sheep, beef and deer farm is located close to Taihape. With a past reputation of producing quality livestock production figures it is testament to the overall level of ongoing inputs into this property. Currently part of the recently sold Pukekaka Station the decision has been made to make available a majority of the easier contour. Infrastructure includes a very well presented 4 bedroom dwelling, prattley cattle yards and deer handling facilities. Subdivided into 30 paddocks including 80 ha which is deer fenced.

358 hectares Tender nzr.nz/RX1819895 Tender (unless sold prior) Closes 1pm, Wed 24 Apr 2019, NZR, 1 Goldfinch St, Ohakune. Jamie Proude AREINZ 027 448 5162 | 06 385 4466 jamie@nzr.nz NZR Central Limited | Licensed REAA 2008

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

FARMERS WEEKLY – April 8, 2019

Accelerating success.

Reach more people - better results faster.

colliers.co.nz

Paparoa 280 Porter Road

This property is seriously on the market to sell. It is ready for the next family to move in to the recently renovated eight bedroom home. Six sheds with 2,000 free range hens in each, producing over 3 million eggs per year. This profitable farming enterprise also comfortably carries 130 mixed aged cattle to add to the overall cash flow. As well as the free range chickens there is also approximately 140 ha available to run beef, grow trees or harvest Manuka honey.

Auction 2nd May 2019 at 12.00pm (unless sold prior) View by appointment www.harcourts.co.nz/WR33622

Wilfred Lewin M 021 239 3141 P 09 430 1000 Des Smeath M 0274 498 273 P 09 430 1000 Optimize Realty Ltd Licensed REAA Agent 2008

colliers.co.nz

230 COW FARM HOKITIKA

Lichfield 295 Kokako Road

23HA

Greg Daly AREINZ Mobile 027 478 3594 or A/H 03 762 6463

www.gregdalyrealestate.co.nz

LK0096840©

For Sale by Deadline Private Treaty Closing 30th April 2019. Web Ref GDR3338542

• Flat, rolling hills and steep sidlings. Stands of mature pine trees ready to be milled • Generate an income. Support unit for a dairy farm. Run dry stock, rear calves, make silage, grow maize or lease out the land • 4-bay half round barn, concrete floor, power, lighting plus mezzanine floor. Hay and wood sheds, tractor and/or calf rearing shed • A 274m2 4 bedroom family home plus office built in 2009. Double garage with internal access • A maturing producing orchard, vegetable garden, potting shed, chook house. Established native gardens. • Spectacular views of rolling farmland and the Kaimai Ranges, Mount Te Aroha and Mt Maungatautari

$1.4m+GST (if any) View: 12.30 - 1.30 pm 7, 14 April www.harcourts.co.nz/TOK2596

Jill Walker M 021 060 3864 E jill.walker@harcourts.co.nz

Real Estate Agent REAA 2008

“50 YEARS SERVICE TO FARMERS ON THE WEST COAST”

For Sale

Lifestyle plus income – South Waikato

Excellent shape, all ﬂat fertile river silt. Split level 4 bedroom permanent material homestead. 12 aside double-up cow shed. Good complement farm buildings. Concrete pad stand-off. Winter at run-off and supplement at run-off. Available Going Concern.

REALTY WAIKATO LIMITED Licensed Agent REAA 2008

Tokoroa

LK0096770

105ha Kowhitirangi

Run-off available to Purchase 73ha 900 cow feed-pad. 600 baleage made on. All stock wintered, carries young stock in summer.

Accelerating success.

Reach more people - better results faster.

colliers.co.nz

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

FARMERS WEEKLY – April 8, 2019

TRA NSF O RM IN G R E A L E S TAT E INTO R E A L A DVA NTAGE FOR SALE THE HUNTERS HILLS - CARBON FORESTRY OPPORTUNITY WAIMATE, South Canterbury

LARGE SCALE BARE LAND PLANTATION AND CARBON FORESTRY As part of a larger station, The Hunters Hills has been identified as being well suited to large scale carbon forestry. The hill country rises from the North branch of the Waihao river to Mount Studholme providing a unique opportunity for an astute investor to participate in the burgeoning carbon market. The land (subject to survey) will offer a network of farm tracks, a mix of contours and potential Government funding to support the One Billion Trees program. This farm land is offered for sale and demands your consideration so contact CBRE today to receive the detailed Information Memorandum. + + + +

1,300 hectares available (subject to survey) Suitable for both plantation and carbon forestry PrimePort Timaru less than 100km by road Potential to seek planting contribution from the One Billion Trees Fund + Carbon potential via ETS

DEADLINE TENDER Thursday 9 May 2019 at 4.00pm

*Photo may contain areas not included in the sale.

WYATT JOHNSTON 027 8151 303

JEREMY KEATING 021 461 210

www.cbre.co.nz/218429Q19 CBRE (Agency) Limited, Licensed Real Estate Agent (REAA 2008)

DANNEVIRKE

OPORAE STATION, 923 OPORAE ROAD

For Sale

Boundary indicative only

Strong sheep and beef farm • 1057ha (2612 acres), 90% effective with a good balance of contours • Superior water reticulation, 120 troughs, recently installed • About 1/2 farm considered summer safe • Pasture renewal programme in place • Laneway to back-country, 6-stand woolshed plus multiple other farm buildings • 5-bedroom home and recently renovated 3-bedroom home • 40km south-east of Dannevirke

Tender (if not sold prior) Closing 12pm, Thursday 9 May Jerome Pitt 027 242 2199 jeromep@forfrms.co.nz

www.forfarms.co.nz

Property ID FF1299

Rolleston | 480 Rattletrack Road

Deadline Sale

10.4 Hectares

Closing 2pm, Thursday 16 May 2019

Money Does Grow On Trees • Walnut orchard nearing maturity • Fourteen tonne harvested 2018 • Architectural eco-friendly home three bedrooms, two bathrooms, two living areas • Superb outbuildings with studio over workshop • BioGro in conversion Year 1 • Elite Templeton soil - irrigation consent • Looking for a lifestyle change? – Leave the rat race behind | Property ID LN1551

Licensed under REAA 2008

Inspection By appointment

Contact John Davison 027 436 4464 Ron Ferguson 027 498 6256

0800 200 600 | farmlandsrealestate.co.nz

Real Estate

FARMERS WEEKLY – April 8, 2019

farmersweekly.co.nz/realestate 0800 85 25 80

RURAL | LIFESTYLE | RESIDENTIAL

NEW LISTING

RAUPUNGA, HAWKE'S BAY

PRICE BY NEGOTIATION Plus GST (if any)

VIEW By Appointment Only

Spectacular Kiwifruit Orchard - Hawke's Bay Here is a "golden" opportunity for an astute investor or group of investors to obtain a sizeable stake in the lucrative kiwifruit industry. This amazing property is located beside the Mohaka river in Hawke's Bay, in a unique growing environment that is ideally suited for kiwifruit. The orchard was developed in 2005 with well-planned growing and artificial shelter belts, excellent Agbeam structures, frost protection from wind machines and water, plus an irrigation and ozone sanitising system.

Plantings include 19.79 canopy hectares of G3 and 6.9 canopy hectares of G14 (fully licensed and compliant) plus 10.78 canopy hectares of Hayward and 1.7 canopy hectares of Bruno and Tomua. Total canopy area: 39.18 hectares. Other improvements on the property are a large water storage pond, a four-bedroom accommodation complex, a large storage container with a meeting room, portable tea-room, plus well-maintained access tracks throughout the orchard to a substantial bin storage and load-out area.

Tom O'Sullivan M 027 484 4340 | B 06 872 9714 E tom.osullivan@pggwrightson.co.nz Peter Dick M 027 446 1714 | B 06 873 7706 E peterdick@pggwrightson.co.nz

pggwre.co.nz/HAS30214 Helping grow the country

PGG Wrightson Real Estate Limited, licensed under REAA 2008

LATE SEASON OPPORTUNITY

• Great chance to secure your winter grazing with this 42 hectare dairy run off. • Contour is flat to rolling with some good hay country along with the use of the adjoining railway lease. • Very good Matamau silt loam soils that are free draining. • There are gravity fed stock troughs along with a lime metal pit. • Other facilities include a hay shed, one stand wool shed and good cattle yard. • This property is situated at Mangamaire in the Tararua District. • This is a great chance to buy into a very good farming area, just 30 mins east of Palmerston North. • Act now and call Les to inspect. • For sale by Tender closing 2pm on Friday 26th April 2019 if not sold prior.

BEEF, COWS, GRAZING OR SUPPLEMENTS • Situated at Mangamaire in the Tararua District is this quality flat 85 hectare property. • Currently in three titles and made up of flat fertile river silt soils. • Good sheds including a disused dairy and a lovely three bedroom villa set off the road, that is a great family home. • This property is currently leased to the adjoining dairy farm and is very well set up. • There is the option to include the Vendors’ own home which is on its own title of 1.2ha and has a well appointed four bedroom brick home with established grounds and in-ground pool. • Vendors will consider splitting it up so to inspect and discuss your options call Les. • For Sale by Tender closing 2pm on Friday 26th April 2019 if not sold prior.

Sallan Realty

Google ‘Sallan Realty’ Your Farm Sales Specialist

• Situated in the Tararua farming district at Mangamaire is this top notch 120 hectare dairy unit. • Very good facilities including a modern 34 aside dairy, good hay sheds along with lockable workshops. • Nice three bedroom family home and a second onebedroom self-contained unit. • The farm is two thirds flat and the rest rolling with very good free draining soils. • Currently being run as a dairy unit but would also be a great finishing or supplement property. • Combined with the adjoining 85 hectares, this farm is milking 410 cows and has produced consistently. • Your chance to buy into this summer safe area with takeover to suit. • Call Les to inspect. • For sale by Tender closing 2pm on Friday 26th April 2019 if not sold prior.

VIEWS FOR MILES • What a find! Awesome living on the edge of Feilding on this outstanding 43 hectare property (STFS). • Once you leave town you enter the property as the sealed driveway leads to the home that is positioned to capture all of the views. • The home has three bedrooms, two bathrooms, large living area, four car garaging and very large rumpus room. • Other facilities include stables, hayshed, workshop and woolshed with cattle yards. • The land is made up of some rolling hills and a lot of river silt flats. • Currently the property is running some dairy grazing along with cattle and sheep. • This is paradise and the new owners will fall in love with it as our Vendors did. • If you want to be the new owner then call Les to inspect. • For sale by Tender closing 2pm on Friday 26th April 2019 if not sold prior

AD0096976©

DAIRY RUN OFF ANYONE?

LES CAIN 0274 420 582

Licensed Agent REAA 2008

Employment

TE KUITI LIVESTOCK CENTRE

LIVESTOCK SALEYARD MANAGER - FRANKTON

Stockperson General

An exciting opportunity has arisen for a Saleyard Manager to join our Frankton Saleyard Team.

The farm is 180ha effecting finishing up to 450 bulls a year, and is run using a cell grazing system with many small mobs of bulls. 100kg calves are purchased in the spring and are killed from 18 months of age before their second winter.

You will be responsible for carrying out the management of day-to-day saleyard operations. This will include working alongside the livestock agents and managing the saleyards team to ensure the safe and efficient conduct of the livestock sale yards.

The farm also runs 69ha deer farm with 250 breeding hinds.

The applicant must have experience handling livestock, be able to carry out or oversee repairs and maintenance. You should have excellent communication and organisational skills and must be computer literate. This role requires knowledge and management of all compliance issues relevant to the saleyards environment.

• Someone with an interest in intensive bull. farming systems and bull management. • A self-starter with the ability to work independently . • Attention to detail and ability to problem solve. • A passion for farming, stock welfare and pasture management . • Preferably practical farming experience. • Good dog would be beneficial but not essential. • Interested in development work.

LK00970691©

This is a salaried position of 40 hours per week with the potential for an agreed overtime rate. Remuneration will reflect the successful applicants experience. If this sounds like an opportunity for you, please email your CV and cover letter, or any questions to: mhull@associatedauctioneers.co.nz

EXPERIENCED CONTRACT MILKER

GENERAL

A unique opportunity has arisen on an intensive bull finishing farm located mid-way between Matamata and Cambridge.

We require

FARMERS WEEKLY – April 8, 2019

A vacancy has become available on Tangiwai, a sheep and beef breeding and finishing property. 2500 acres consisting of 650 cows, 6000 breeding ewes, and is part of a large progressive farming business of 7500 acres and 40,000 SU.

2019 / 2020 Season

• North Rotorua • Summer safe • Mainly flat country • 480 cows • 30 ASHB shed • Low input grass based system • Must have good pasture management Excellent accommodation provided. Email: farmpositionsnz@gmail.com Mobile: 027 493 9064

This role has a variety including: • Tractor driving, feeding out silage over winter • Grazing crops • Stock work • Fence repairs • Water reticulation R&M • Farm maintenance • Chainsaw work • Working with other farms when necessary

SHEPHERD

House provided with primary and secondary school buses nearby. Top remuneration.

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

Whare Creek is a 18,500 su sheep/beef and dairy support property, located 38 kms from Te Anau. It lies at the base of the Takitimu Mountains on a developing, rolling to flat 2,400 ha property. It has good infrastructure and employs 3 shepherd/generals and a handyman.

Applications close Wednesday, 1st May 2019

small team on an 800ha deer and beef property in northern Hawke’s Bay as a Stock Manager.

Please apply with CV to admin@total-ag.com for further information.

The person we are looking for must have a positive

This is a unique opportunity to manage a long standing family farming operation with size and scale. The applicant must show initiative, take pride in their work and create a good team environment.

attitude, be capable of using their initiative and

Whare Creek is in a beautiful location, with a primary/secondary bus at the gate. A good remuneration package will be offered to the right person and to accommodate this new position a house will be constructed.

be beneficial. General farming duties will be fitted around

For a copy of the job description, or to apply, send a cv and a cover letter to Bridget – wharecreekstation@gmail.com. Applications close 5 pm, Friday 10th May. Applicants for this position should have NZ Residency or a valid NZ work visa.

demonstrate a high degree of integrity. Competency in all aspects of beef cattle management is essential, as is a good team of 4 working dogs. Deer experience would

FARM MANAGER – SOLE CHARGE

stock and feed management priorities. This role would ideally suit somebody with 4-5 years of

You will be in a sole charge position of a

experience, knowledge equivalent to PITO Level 4 and

predominantly deer farm located in Rotorua.

the ability to work independently to achieve farm targets

The property is 236 hectares effective with 1100 stock units. Although there is also a small

To apply for this position please email your CV to jobs@perrinag.net.nz or mail to Perrin Ag Consultants Ltd, PO Box 596, Rotorua before Friday 12th April 2019, quoting job reference 4460

mob of sheep run on the property, experience LK0097157©

A competitive pay will be offered to the right person.

Currently running 1900 Breeding ewes and finishing over 200 cattle, this is a great opportunity for a young person to progress their career. The farm is situated midway between Te Awamutu and Cambridge and offers a near new 3 bedroom house with great farm views with attractive remuneration.

We are looking for an enthusiastic person to join the

AD0097123©

AD0097129©

If you are fit, energetic and have a clean drug record then send us a covering letter and CV with two references to gjtrower@farmside.co.nz

STOCK MANAGER POSITION

FARM MANAGER

A position on a 430ha sheep and beef farm has opened up as the current employee moves onto a family Farm. This high performing property offers an opportunity for a successful applicant to further their farming skills with excellent mentoring and opportunities to take off farm education. Key attributes will be the desire to progress to a manager’s position and an ability to learn. We are looking for a diligent, enthusiastic and energetic person to join the team.

We Offer • An environment and opportunity for the successful candidate to learn, grow and take more responsibility within the role and farm operation. • A warm 3-bedroom house with phone and internet provided. • An opportunity to be a part of a very high performing system. • A favourable location only 20 minutes to Matamata and Cambridge, 40 minutes to Tauranga and Hamilton, 1 hour to Rotorua. • Location allows partner to work off farm and very good schooling for children. • Diverse range of work.

LK0097078©

AD00971479©

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

AD0097158©

with deer is preferred. While you may not have management experience, you will have at least two years of head shepherd or leadership experience.

Operations Manager

For more information please contact Mike Ramsey on 07 878 7077

ADB Williams Trust - Dannevirke

Please apply with your

www.perrinag.net.nz

Pukemiro Station is a well-developed 1000ha sheep and beef breeding and finishing property situated just 10 minutes from Dannevirke in the Otope Valley with an additional 418ha summer safe property nearby in the Coonoor district.

RECRUITMENT & HR Register to receive job alerts on www.ruraldirections.co.nz

Call Debbie

0800 85 25 80

classifieds@globalhq.co.nz

LK0097081©

Applicants must have NZ residency or valid NZ work visa.

SENIOR SHEPHERD

SHEPHERD GENERAL

Our clients are looking for an experienced and trustworthy Senior Shepherd to join their existing two-person team approximately 28km east of Whanganui.

We are looking for an experienced Shepherd General to join our team. We are a deer only farm located in the Rerewhakaaitu, between Murupara and Rotorua.

This is a 635ha property running sheep and cattle, with some cropping, and a growing use of technology.

The successful applicant will be an energetic, experienced shepherd with modern stock and pasture management experience. They will need to be able to work collaboratively within a team, be a good communicator and capable of working independently. This is a well remunerated position with development opportunities and good quality housing. Please apply with cover letter and CV to recruitment@agfirst.co.nz Applicants must have NZ residency or valid NZ work visa.

LK0097147©

We are looking for someone with good stockmanship, an understanding of farm technology, modern grazing techniques and experience in all farm tasks including tractor driving.

We are looking for an enthusiastic and motivated person, preferably with previous experience working with deer. Ideally, you will have tractor, fencing and chainsaw experience. On occasion you will be required to work on two other Company farms to help out and cover periods of leave. No dogs are required. Success in this role may lead to a management position, in time. A 3 bedroom house is available, so could suit a couple or family. For more information please contact Mike Ramsey on 07 878 7077 Please apply with your CV and cover letter to: hra@crusadermeats.co.nz Applicants must have NZ residency or valid NZ work visa.

LK0097152©

AD0097118©

An excellent package to reflect the responsibilities of the role is on offer including a large, 4 bedroom home with a newly renovated kitchen. Schooling is available in Dannevirke, with a school bus at the gate.

FARMERSWEEKLYJOBS.CO.NZ

This is a unique opportunity for the appointee to grow their personal brand and extend their experiences into an environment with a rich history and a strong focus on the future of agriculture.

NEED STAFF?

The Trustees seek a well-rounded Operations Manager to drive the planning, management and day-to-day running of this entire farming operation. The appointee will bring a high level of business acumen with proficiency in financial management, budgeting, recording and reporting and will exhibit confidence in practical farming. Cadet mentoring in conjunction with the academic tutor and wider team, overall brand and community alignment are all integral aspects of this role.

Applications close 5pm Monday, 22nd April 2019.

hra@crusadermeats. co.nz

The station is administered by the ADB Williams Trust, tasked with ensuring the mandate to support charitable purposes and in particular training and education for persons in farming. Their governing philosophy is to operate a profitable business utilising best practice systems and processes on farm whilst providing a platform for Cadets to develop their careers through the Trust’s Agricultural Training Cadetship (established in 2018).

To view a Job Information Pack or to apply, please visit www.ruraldirections.co.nz or phone the Rural Directions team in confidence on 06 871 0450 (Reference #2484).

CV and cover letter to

Classifieds

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

ANIMAL SUPPLEMENTS APPLE CIDER VINEGAR, GARLIC & MANUKA HONEY. 20L - $54.95, 200L $495 or 1000L - $2,200 plus GST with FREE SHIPPING from Black Type Minerals Ltd www. blacktypeminerals. co.nz

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 DAGS .30c PER KG. Replacement woolpacks. PV Weber Wools. Kawakawa Road, Feilding. Phone 06 323 9550.

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

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

UK COUPLE RETIRED from farming, sheep, cattle and crops, looking for farm stay in New Zealand, to tend house/livestock and other duties, whilst owner away, or help in busy season. Clean driving licence and HGV licence. liz.foote7@gmail.com +447875773003.

DEERLAND TRADING LTD 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.

DOGS FOR SALE SHIPPING DOGS South Island 17/4/19. Trial, guaranteed. www. youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553 HEADING DOGS AND Huntaways Since 2012. Deliver South and North Islands, trial, guaranteed. www.youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553.

FOR SALE SILAGE FOR SALE. Large round bales. Great quality, AR150, weed free silage. $90+GST per bale and cartage. Phone 027 328 5245 or 09 292 5835.

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

GRAZING AVAILABLE

WANTED

FOR BEEF COWS. April / May. NW Waikato. Large numbers. Phone 027 697 1049.

GOATS WANTED

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

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

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

HORTICULTURE

LIVESTOCK FOR SALE WILTSHIRES-ARVIDSON. Self shearing sheep. No1 for Facial Eczema. David 027 2771 556.

LIVESTOCK FOR SALE 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.

PERSONAL RURAL LADY LOOKING for love! A country beauty who has a farming background. She loves horses, working on the land, meals out with friends and family and weekends away travelling. Long blonde hair and hazel eyes. To meet please Call 0800 446 332 quote code 53 www. countrycompanionship. co.nz

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

THIN K PRE BU IL T

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

For more information: Johnny King 027 527 1714 Sarah King 021 706 866

Specialists in superior field grown trees, all varieties grown.

221 Snodgrass Rd RD 4 Tauranga

Address: Email: Heading:

$2.10 + GST per word - Please print clearly

Fax: 07 552 4638 grant.tennet@xtra.co.nz www.copperfieldnurseries.co.nz

Return this form either by fax to 06 323 7101 attention Debbie Brown Post to Farmers Weekly Classifieds, PO Box 529, Feilding 4740 - by 12pm Wednesday or Freephone 0800 85 25 80

Livestock

12HP, Diesel, Electric Start

FRANKTON CATTLE SALE WEDNESDAY 10TH APRIL 2019

WELL INSULATED – AFFORDABLE

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

LK0095830©

To find out more visit

A/c Clients Annual drafts from 2 farms consisting of up to 250 18mth Hfd/Frsn X Steers and Heifers. Owner bred and reared on Dairy Farms then farmed on hill country support blocks. 320-420kg M Bovis undetected farms with C10 Status. Great shifting cattle Contact: Michael Conwell 0272261611

www.moamaster.co.nz Phone 027 367 6247 Email: info@moamaster.co.nz

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

TARANAKI 2ND RUN WEANER FAIR Stratford Saleyards Thursday 11th April 2019, noon start

FULLY GUIDED 6 or 7 DAY SELF-DRIVE TOUR

Stock Manager StockPerson Employers: Advertise your vacancy in the Tractor/Truck/Machinery Operator employment section of the Farmers Weekly

LK0096815©

LK0092630©

and as added value it will be uploaded to farmersweeklyjobs.co.nz forvacancy one month or Employers: Advertise your in the close of application. employment section of the Farmers Weekly

From Blenheim to Cardrona

Follow the Golden Tussocks along the Alps through many famous high country stations (including Molesworth Station). Travel over private station tracks and through remote and spectacular terrain. Enjoy station lunches with the runholders.

Information packs available for the 2019/20 season or to find out more contact us: Email: info@nzadventures.co.nz or phone 03 218 8569. Mobiles: Connie 027 550 6727. Robbie 027 435 4267. Visit our website at www.nzadventures.co.nz

Comprising 1000-1200 head approx. Including, Special Entry, a/c Marty Hagenson Kotuku Station, Waitaanga (on Taranaki/King Country boundary) AD97125©

High Country Heritage Tours

Moa Master provide quality products and services at affordable prices 13.5HP. Briggs & Stratton Motor. Electric start. 1.2m cut

From long-established herd, using Scotts’ Mangapapa Angus, Oparau, sires

TOWABLE TOPPING MOWER

Further enquiries contact: Stephen Sutton – NZ Farmers Livestock M: 027 442 3207 E: stephen.sutton@nzfll.co.nz

TOWABLE FLAIL MOWER

$4400

GST INCLUSIVE

Jeremy Newell – NZ Farmers Livestock M: 027 664 8832 E: jeremy.newell@nzfll.co.nz

$4200

11.5HP Briggs & Stratton Motor. Industrial. Electric start. GST INCLUSIVE

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

MOA MASTER

Phone 027 367 6247 • Email: info@moamaster.co.nz

Farm Sold *170 Angus weaner steers & heifers (complete 2018 calf drop) Sept/Oct/early November born. C10

LK0096877©

• 2019 Trainee Programme - Livestock Representative Contract Milker • Dairy Agribusiness • Farm Agronomy Manager • Analyst General Hand • Dairy Livestock Manager • General Maintenance • Nursery LivestockDispatch Specialist Assistant • Operations Manager Manager • Scholarship Pasture and Grazing Specialist • Sharemilker Shepherd • Shepherd General • Shepherd Shepherd/General

0800 85 25 80

farmersweeklyjobs.co.nz farmersweeklyjobs.co.nz

SELLING

JOBS BOARD JOBS BOARD

SOMETHING?

FOR SALE

RURAL SECTOR RURAL SECTOR

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

Phone:

Ph: 07 552 5780

0800 436 566

and as addedDebbie value itBrown will be06 uploaded to Contact 323 0765 farmersweeklyjobs.co.nz for one month or or email classifieds@globalhq.co.nz close of application.

Name:

COPPERFIELD NURSERIES

SOLID – PRACTICAL

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

KING SHEARING

NZ FROM MONDAY

Price list available.

GST Special Price $3990 INCLUSIVE Very limited stock

Steeped in tradition and the knowledge of shearing for today’s farmers.

CLASSIFIEDS REACH EVERY FARMER IN

Advert to read:

NEW HOMES

Johnny, Dion & Sarah King

Stay out teams available.

CITRUS TREES

Heavy duty construction for serious wood splitting. Towable.

Family Owned and Operated Shearing Business

We have double and single Hecton crutching trailers.

HIGH PRESSURE WATER PUMPS, suitable on high headlifts. Low energy usage for single/3-phase motors, waterwheel and turbine drives. Low maintenance costs and easy to service. Enquiries phone 04 526 4415, email sales@hydra-cell.co.nz

50 TON WOOD SPLITTER

DOGS WANTED

BUYING SOUTH AND North Islands. No one buys or pays more! www.youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553.

PUMPS

LK0097165©

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

FARM MAPPING

Chris Hay – NZ Farmers Livestock M: 027 602 4454 E: chris.hay@nzfll.co.nz

LK0096989©

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

ATTENTION FARMERS

LK0096871©

ANIMAL HANDLING

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

LK0092561©

FARMERS WEEKLY – April 8, 2019

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

SALE TALK

Ron owned a large farm with a big pond in the backyard. The pond was shaped for swimming. with picnic tables, and fruit trees. One evening he decided to go and check the swimming hole. He grabbed a bucket to bring back some fruit. As he neared the pond, he saw there were young women skinnydipping in his pond. When they saw him, they all went to the deep end. One shouted to him, “We’re not coming out until you leave!” “I didn’t come down here to watch you swim naked.” Rob held up the bucket up high “I’m here to feed the alligator.”

FOR SALE 60 R2 YR ANGUS DAIRY BULLS 550kg 1300 MA EWES CAP STOCK RWR 05/03 STOCK REQUIRED

STORE LAMBS 28-42kg 150 MA SIF HINDS ANGUS STEER CALVES 190kg+ STEER CALVES, FRIES HERE, ANG & EXOTIC 180-250kg R2 YR FRIES & BEEF BULLS 400-500kg

Livestock

FARMERS WEEKLY – April 8, 2019

ON-FARM HILL COUNTRY LAMB SALE WAITARA STATION 348 BROOKS RD, TE POHUE 11TH APRIL 2019 – 11AM START

North Otago, Canterbury, Hokitika and Greymouth

> Approximate tallies: 2800 Perendale Wether Lambs 1300 Perendale Ewe Lambs > Late lambing date (20th September), home bred UNDRAFTED lambs > Excellent stock health and breeding history > Farmed on property rising up to 4200 feet above sea level > Pre-approved funding available > Sign-posted from State Highway 5. Viewing from 10.15am

TWINOAKS ANGUS INNUAGURAL COMMERICAL IN CALF FEMALE SALE

Wednesday 24th April 1.00PM Start 163A Clement Road, Te Akau Comprising: 36 R2YR In Calf Heifers 14 R3/R4YR In Calf Cows 43 M/A In Calf Cows All females vetted in calf to Twinoaks Angus bulls due 24th August bulls out 21st January . Twin Oaks Angus Offer a unique opportunity to purchase performance recorded commercial females. Twin Oaks Breeding Focus - Calving ease, growth, carcase traits, & IMF Contact: Roger and Susan Hayward 07 8282131 - twinoaksangus@gmail.com

Fully-managed Grazing Looking for stock and grazing. Fully-managed grazing available with experienced graziers. Expect to see excellent weight-gain results and reporting. Dairy replacement and all classes of stock.

LK0096942©

For further enquiries please contact Tom Mowat 027 462 0190 Rowan Sandford 027 215 3215 Angus Hazlett 027 462 0136

Contact Jo Thorpe 027 491 6048 info@grazcare.co.nz

Callum Dunnett (Carrfields) & Richard Johnston (PGW) 027 444 3570.

hazlett.nz

www.dyerlivestock.co.nz

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

Spring Calvers

260 Fr/Xbreds BW38 PW50 DTC 25/7 360ms, long walks on wet farm $1475 99 F/FX In-Calf Heifers BW87 PW76 DTC 15/7 CRL out of 420ms herd. Splits available $1600

STOCK WANTED R2 Hereford bulls – BY & CK R2 Friesian 350 – 450kg bulls – BY, CK & RS Capital lines of I/C heifers – BY & CK 200kg Friesian bulls – CK Store lambs, top paddock prices paid – CK

Paul Kane: 027 286 9279 National Dairy Coordinator

80 Top Frsn I/C Heifers BW 92 PW99 DTC 21/7 Long history CRL, I/C to Jsy bulls $1700 MH 81 Jsy/Xbred cows, BW108 PW130, DTC 27/7, 325 m/s, ab mated $1750 JK 16 F/FX I/C Heifers BW55 PW65 DTC 15/7 340kg $800 immediate del $800 VE WANTED–A2A2 I/C cows & heifers, large numbers Needed urgently. MH

STOCK FOR SALE

Annual Heifer Sale On farm – 500 Lodore Road, Okaihau

350 in-milk Autumn calved cows, May del. – BY & CK 50 R2 Hereford Friesian heifers I/C to Hereford bull 1 Sep. calving $1275 – CK 140 Black W/H steers 450kg ave. – RS I/C Beef cows & Hereford/Friesian cows – CK

Monday 15 April 2019 at 1.30pm

Matt Hancock Ph:027 601 3787 Waikato Dairy Coordinator

BYLLIVESTOCK.CO.NZ

Enquiries welcome: Roger Hutchings Malcolm Hutchings Ph. 021 644 572 Ph. 021 563 673 Email: lodorefarm@gmail.com Auctioneer: Brian Robinson

byllivestock

LK0097132©

Outstanding Xbred Dairy herd 100% ancestry Closed herd – eliminate risk A/c John & Michelle Keeley

150 Strong Frsn cows, Overseas genetics $1800 46 Jersey/JX In-Calf Heifers BW163 PW179 from top Jersey herd $1600 Wanted:150 Top Indexed herd or heifers or picks from herds or lines of heifers. Brent Espin Ph: 027 551 3660 Taranaki Regional Manager

250 Frn x J X Herd BW67 PW93 RA82% DTC 25/7 Very Good Udders, even age spread $1800 147 XBred Cows BW112 PW168 RA98% DTC 24/7 Top 2% Herd OAD last two Years $1950 We Have some very Good Lines 2yr Heifers still For Sale 1st May Delivery Philip Webb Ph: 027 801 8057 Central & Southern North Island Dairy Coordinator

www.carrfieldslivestock.co.nz

DATE: Thursday 11th April 2019 ADDRESS: 77 Newcombe Road Cambridge START TIME: 11.30am - undercover Comprising of: 290 LIC Crossbred dairies: • 230 x Frsn/Frsnx herd BW 108/47 PW 123/69 R/A 100% • 60 x Super in calf Xbred replacement hfrs BW 142 PW 146

Thursday 18th April 2019 at 12 noon Vendors M/s R A & P E Adam 156 Allen Road R D 5 Te Awamutu Sale to be held on the vendors property will comprise; JERSEY & JERSEY GH INDEXING • 39 Jersey in calf heifers (BWs up to 185) CROSS HERD • 17 Jersey cows (PWs up to 248 ) • 7 Jersey yearling bulls (BWs up to 209) BW 143/50 PW2 year 161/67 • 1 Jersey bull (BWRA 150 100% ) • 64 head. TB Status C10, EBL Free,) Vacc for (in top 10 All Breeds for NZ Lepto and Blackleg

Herd BW 120, 100%. Herd any cows contracted toPW LIC150, forRA 2011 matings averages always in excess of 400 kgs ms, last ue to calve from 16-7-12, 6.5 season 4557 litres, 441kgs ms in 281 weeks days, CC B Jersey and Kiwi202 cross 111 from cows. Many of the top Jersey available represented in thisnon sale. stimated genetics to be 420are cows after Renowned for their exceptional udder quality egnant, culls, older cows & 5% rejection and overall dairy conformation these cattle oductionshift last season ms/cow, very well and are 347kgs always sought after by 000kgs ms/ha, on rolling returning purchasers. Calvingto fromsteeper the 10th the no wellmeal, grown palm and very good or conditioned ontouredJuly farm, kernel maize cattle are fully recommended to those farmers d. looking to enhance their herd quality or in need oung replacement stock also available of genuine herd replacements. Fully recoded and LIC transferable. Catalogues giving all

are available from the to auctioneers, anding details genetics & potential be one Brian of Robinson Livestock Ltd and Jersey Marketing ountries leading suppliers of Genetics to Service Lt or can be viewed on line at www. airy industry for years to come. Full details brianrobinsonlivestock.com or www.jersey.org.nz able. After hours enquiries to Brian Robinson Ph 0272 410051 or Ross Riddell Ph 0272 111112 LK0097166©

iries to the sole marketing agents:

Auction details: • Herd calves 8th July – 6wks LIC Mating – t/off Hfrd bulls out 22/12 • In-calf hfrs calve 8th July to Jersey out 22/12 • Herd owned 50+ years – all owner bred – closed herd • TBC10, EBL neg, Tested BVD clear, MBOVIS negative • System 2 feeding, 420ms/cow, 100,000 som avge • Herd Tested x 5, 6% annual MT rate, once a day from 25 Jan, auctioned in milk Auctioneers note: Very well farmed and managed. The farm has been sold – several AB contracted cows this season and many over years. A well respected dairy herd that has impeccable records and this herd has numerous impressive cows to select – cows to suit all farmers – numerous black cows. Payment Terms: 31/5/2019 – Delivery can be arranged to end of May 2019 if you have no access to a farm. Contact for more information Carrfields Livestock Agent: Kelly Higgins 027 600 2374 Vendor – John Keeley 027 225 0455 View catalogue on

LK0096967©

• • • •

www.carrfieldslivestock.co.nz

AUCTION 140 RISING SECOND CALVERS DATE: Wednesday 17th April ADDRESS: 175 Cheal Road, Ngaere, Stratford D/N 40614 START TIME: 11:30am VENDORS: Johnathon & Raewyn Perry

COMPRISING OF 140 FSN/FSNX RISING SECOND CALVERS BW average 73, PW average 82, R/A 100% DETAILS: Calving from the 25th July, bulls removed 30th December 2018. 5.5 weeks AB to A2 A2 LIC Friesian Bulls tailed with Hereford x bulls. All cows vetted and dated in calf at the 13th March and come with a 21 day in calf guarantee from Auction day. 4 herd test programme, SCC season average 60000. TB C10 tested on the 1st April 2019, Lepto Vacc, MBovis not detected. AUCTIONEERS NOTES: This easy on the eye line up of rising second calvers have had the hard work done, quiet, tidy udders, LOW cell count, milked through a herringbone shed cows that will not disappoint you the purchaser

AD0096387©

42ND ANNUAL CARNMOR JERSEYS

n Robinson BRLL 0272 410051 or 07 8583132

LK0096573©

Aaron Clapperton 027 496 7410 Richard Seavill 021 169 8276 / 07 825 4984 Chris Smith 027 496 7413 / 06 756 8968 Chris Kyle 027 496 7412 / 07 883 7412 Bryce Young 027 496 7411 Office 07 823 4559

High indexed in-calf heifers and rising yearlings for sale. All paired and the purchaser has the pick. The owner retains the other one.

COMPLETE DISPERSAL SALE SPRING CALVING HERD & REPLACEMENTS

AD96388©

LODORE AYRSHIRES

PAYMENT TERMS: Payment is due on the 4th of June 2019 Delivery date is within 2 to 3 days of Auction or grazing may be available by prior arrangement to purchasers whom have no access to land. View the sale catalogue on carrfieldslivestock.co.nz or your local Carrfields Livestock Agent. Carrfields Livestock Agent Colin Dent 027 646 8908

www.carrfieldslivestock.co.nz

Monday 29th April 11.00AM Start 1305 Old Te Aroha Road, Matamata A/C Penoak Farms Ltd Comprising 290: 123 Friesian in calf cows 21 Ayrshire in calf cows 19 Jersey in calf cows (BWs up to 150 PWs up to 329) 7 Brown Swiss x in calf cows 30 Friesian in calf heifers 5 XBred in calf heifers 16 Ayrshire in calf heifers 8 Jersey in calf heifers 1 Brown Swiss in calf heifer 50 Friesian 2018 born autumn heifers (unmated) 10 Jersey yearling heifers TB status C10, Lepto vaccinated, Myco Plasma milk tested clear. This long established herd of very good conformation cows has a recorded Ancestry of 100%. Last season the 383 cows (spring and autumn calving) averaged 431kgs milk solids per cow. Cell count average 96000. Herd is milked in a rotary shed with little supplements fed. All cows were dry cow therapy treated annually. Cows will be in milk on sale day. This spring calving portion of the herd (Autumn calvers sold February 2019) commences calving from the end of July. All cows in calf to AB (breed to breed) and no bulls run with herd. heifers in calf to easy calving Angus. The farm is on the foothills of the Kaimai Ranges and is prone to very wet and windy conditions. Long walks is also part of the routine so these cattle are recommended to shift well. The latest NZ and overseas genetics have been used resulting in a very good uddered, nice quality herd. The Ayrshires, are very good type and production cows and the Jerseys are top producers, have high indices and are of very good conformation. Several Jerseys have been contracted to AB companies in the past. Those searching for larger, more capacity in there Jersey cows should attend this sale. All cattle will be presented in very good condition with the in calf heifers and unmated heifers well grown. Catalogues giving all details are available from the auctioneers or are able to be viewed on line at www.brianrobinsonlivestock.com, www.agonline.co.nz, www.nzholstein.org.nz or www.ayrshire.org.nz All enquiries to the auctioneers Brian Robinson Livestock Ltd Phone Brian Robinson on 0272 410051 and PGG Wrightson Phone Dean Evans on 0272 431092

Your source for PGG Wrightson livestock and farming listings UPCOMING WEANER CALF SALES North Island Sales Taupo Beef Weaner King Country Wellsford Grown Str & Bull Northland Matawhero Weaner Str & Bull East Coast Matawhero Weaner Hfr & Older Cattle | East Coast Taranaki 2nd Run Weaner Taranaki Wellsford Grown & Wnr Hfr Northland Wairoa Weaner | East Coast Wellsford Supp Wnr Str & Bull Northland Kaikohe Supp Wnr Fair Northland Fielding Weaner Fair | Manawatu Fielding Weaner Fair - Hfr Manawatu Fielding Weaner Fair - Sue Bros Manawatu Fielding Weaner Fair Sue Bros Manawatu

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Key: Dairy

NOKOMAI STATION AUTUMN LAMB SALE

See separate ad, catalogs available on Agonline.

TOP INDEX HERD AND IN CALF HEIFERS DISPERSAL SALE Thursday 9th May 2019 11.00AM 405 Knight Road, RD9, Ruatangata - Whangarei A/C RM Farms Ltd Comprising 320 X Bred/Frsn/Jsy Cows BW 137 PW 184 RA 100% 140 X Bred/Frsn/Jsy In Calf Heifers. BW 140 PW 169. This outstanding herd has been farmed by Shepherd family since 1942 and would be one of the highest producing (consistently around 400 m/s) system 1 OAD herds to be sold this season. Herd calving 15th July LIC Jsy/X Bred bulls, tailed off Jsy bull out 7th Jan, scanned to dates. TOP 75 cows ave BW 180 PW 331 with individual BWs up to 280 PWs to 575. 23 cows carry AI contract for 2019/20. In calf heifers mated to AI X Bred/Jsy bulls for 6 weeks start calving 15th July. All young stock are reared and grazed on property including their service bulls. Herd will be dried off prior to sale and dry cowed. All animals have been A2/A2 tested (will have results on sale day). Purchasers requiring genuine hard working cows with top genetics, high fertility with over 70years AI breeding and herd testing. TB C10, EBL free, BVD clear, M/Bovis milk test clear. Payment/Delivery 14days for sale date, delivery immediate unless prior arrangementmade before sale day. Catalogue’s & 3GPs available on Agonline or contact PGG Wrightson Agents Kevin Brown 027 434 7561 Steven Josephs 027 420 5167 Andrew Reyland 027 223 7092

Tuesday 16th April 11.30am start 1461 Morrinsville/Walton Road A/C DL & LJ Swap 63 FR/FRx In-calf Heifers (very well grown) BW 109 PW 115 RA 100% Herd avg 600 m/s individuals to 900 m/s per cow. Due 13th July, bulls out 10th December. In-calf to Jersey. 100 Young FR/FRx/JFrx selected in-calf carryover cows, PW up to 407 66 FR BW 95 PW 175 mated to Swap Herefords 21 FRx BW 99 PW 205 mated to Swap Herefords

10.00am 26 Apr 10.30am 26 Apr

bulls reared on farm Due 13th July, Bulls out to 10th December. Delivery until 01/06/19. All cattle in

For a full schedule of sales go to pggwrightson.co.nz/calfsales2019

Herd: Average BW 48 PW 70 RA 91%. Calving from 24th July. AI to LIC Frsn, tailed off Hereford Bull out 23rd Dec. Cows currently providing 1.3 m/s (19th March) SS 195 OAD. Production to date 452 m/s in 249 days. Approx 40 cows dried off and dry cow treated (cepravin). Purchasers wanting high producing cows, with outstanding udder confirmation, dairy type its a must attend sale. TB C10, EBL Free, BVD tested/vacc, M/Bovis milk tested free. Payment/Delivery - payment 14 days from sale date, delivery immediate unless prior arrangement made before sale. Catalogue’s/Video available online at website www.agonline.co.nz or contact PGG Wrightson Agent Andrew Reyland on 027 223 7092.

Contact Dean Evans 027 243 1092.

ANNUAL QUALITY FEMALE DAIRY SALE

13 JFRx BW 130 PW 199 mated to Jersey

Animals: BWs up to 150. PWs up to 312. 95% cows 4, 5 & 6 year olds. Production up to 646 m/s. Awaiting A2/A2 results but would expect 100+ A2.

cows & heifers.

Auctioneers note: If you intend on purchasing please have transport sorted as there is limited holding facilities. Barry McAlister PGG Wrightson, 0274416432 James Hore Nokomai Station, 021301797

10.00am 24 Apr

Comprising 210 Frsn/Frsn In Milk Cows

290 Friesian, Ayrshire, Jersey, Brown Swiss

All lambs crutched.

excellent condition. TB Tested, vetted incalf (incalf warranty applies). Light luncheon provided. Contact PGG Wrightson Agent Regan Craig on 0275 028 585

Other

Monday 15th April 11.30 Start Bellevue Road, Matangi A/C Bellevue Farm

Monday 29th April 11.00AM Start 1305 Old Te Aroha Road, Matamata A/C Penoak Farms Ltd Comprising:

Lambs have a good reputation for their wool and achievable carcass weights. Animal health: B12 and 5 in 1 combination (2). Triple combination drench and Extender capsules 12th April.

Sheep

ANNUAL SALE YOUNG HIGH BW/ PW/FRSN/FRSNX IN MILK COWS

COMPLETE DISPERSAL SALE SPRING CALVING HERD & REPLACEMENTS

Nokomai Valley Athol, Northern Southland Monday 15th April Commencing 1.30 pm (signposted SH 6 Lumsden – Athol Highway) Comprising: 6000 Half Bred Wether Lambs 3000 Half Bred Ewe Lambs 1000 Texel x MS Lambs

Cattle

18 MONTH IN CALF HEIFERS FOR SALE 45 Hereford Friesian (Black) 20 Hereford Friesian (Red) 25 Angus Friesian Scanned in calf to Angus Bull 1st December. All Heifers scanned to calf in first 2 cycles. Well grown Heifers that will make quiet Cows (off hill property). $1350.00 Barry McAlister 0274 416 432

FIND US ON INSTAGRAM Follow instagram.com/pgwlivestock

DAIRY HERDS & IN-CALF HEIFERS FOR SALE NORTH ISLAND HERDS & IN-CALF HEIFERS FOR SALE 33 Friesian InCalf Heifers BW 81

PW 77

213 M/A Frsn/Frsn X

$1,600+GST

BW 68

•

RA98% Magnificent Line of Straight Friesian Heifers. Originally selected for Export. Capital Stock Heifers. Kim Harrison – 027 501 0013 Agonline ref: 3566

285 Frn/Frn X Cows BW 68

PW 102

$1,700+GST

•

PW 106

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

$1550+GST

BW 80

•

PW 108

69 3-6yr Frsn/Frsn X Spring Calving Cows

$1775+GST

BW 89

•

PW 139

$1,600+GST

RA99% A small herd milked on a tough farm at altitude with high rainfall. A young herd with good udders. Lyle Smart – 0277 426 833

Agonline ref: 3636

Agonline ref: 2020

Agonline ref: 2874

Agonline ref: 3534

240 M/A Jersey Cows

239 MA Friesian Cows

100 Frsn/Frsn X Incalf Cows

BW 126

PW 136

$1,880+GST

•

BW 40/36

PW 36/23

$1,590+GST

•

BW 58

PW 71

The Dairy Livestock Clearing Sale Specialists

$1,670+GST

•

RA88% 3 Digit Herd Code, 45 years one Family, Avg 358 M/S. Dean Evans – 027 243 1092

Agonline ref: 3438

Agonline ref: 3596

Agonline ref: 3209

Agonline ref: 3606

SOUTH ISLAND HERDS & IN-CALF HEIFERS FOR SALE 112-2yr Frsn, Xbred Rising 2nd Calver Cows $1,780+GST

•

RA97% Good, quality line of mainly 1st X Friesian. High PW & incalf Hereford. Tim Pickering – 0274 469 963

RA91% Motivated Vendor wants to Sell. Predominantly Frsn Cows, 30 years, one owner! Steve Taylor – 027 648 6711

PW 80

$1,650+GST

RA97% Top Young Herd at just 3.71 yrs avg, good clean well uddered Herd with the figures. Andrew Leggett – 022 038 3216

RA98% An opportunity to buy a Quality Closed Herd with 75 years Breeding. Brook Cushion – 027 243 1816

BW 54

PW 129

RA83% Cows have averaged 351 milk solids to 22/3 /19 & now on OAD : Farm is sold. Peter Forrest – 027 598 6153

RA78% Very hard working Kiwi X Herd on the market due to change of farming policy. Vaughn Larsen – 027 801 4599

1050 M/A Friesian

100 MA Xbred Cows BW 104

•

BW 78

PW 116

$2,000+GST

•

34 Jersey/Jersey X InCalf Heifers BW 138

PW 159

$700+GST

•

RA69% Friesian & Friesian X Cows, doing long walks up to 4km, young Cows with good confirmation. Mark Cuttance – 027 442 4742

RA100% milked on difficult low input farm, dams of these animals easily doing 500 milk solids. Mark Cuttance – 027 442 4742

RA100% 45 years Genetics for sale, Top Genetic Calves out of Top LIC Herd. Roddy Bridson – 027 458 2775

Agonline ref: 3495

Agonline ref: 3249

Agonline ref: 3662

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

41 M/A A2A2 Friesian BW 120

PW 229

$2,425+GST

•

RA100% Friesian F12 and Higher, A2A2 Cows, Top Pick from an Elite Herd, System 2, 74% InCalf to 6 weeks. Roddy Bridson – 027 458 2775

PGG Wrightson Dairy representatives are specialists at dairy livestock clearing sales. Benefit from the team that is dedicated to matching herds with the right buyers and achieving an optimal outcome for your business. For photos and more information on listings visit www.agonline.co.nz

Agonline ref: 3661

Helping grow the country

MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Suz Bremner

Mel Croad

Nicola Dennis

Reece Brick

Caitlin Pemberton

Sheep

Cattle BEEF

Deer

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

5.35

NI lamb (17kg)

7.05

7.20

NI Stag (60kg)

9.20

11.00

NI Bull (300kg)

4.95

5.20

NI mutton (20kg)

5.05

4.85

SI Stag (60kg)

9.15

11.00

NI Cow (200kg)

3.70

4.05

SI lamb (17kg)

6.70

7.05

SI Steer (300kg)

5.00

5.35

SI mutton (20kg)

4.80

4.85

SI Bull (300kg)

4.70

5.20

Export markets (NZ$/kg)

SI Cow (200kg)

3.40

3.35

4.10

UK CKT lamb leg

8.87

8.85

9.10

Slaughter price (NZ$/kg)

Export markets (NZ$/kg) 7.28

6.53

8.5

US domestic 90CL cow

7.07

7.02

6.68

7.5

North Island steer slaughter price

5.0 $/kg CW

7.5

Oct

Dec

Feb

Apr

Jun

2017-18

Aug 2018-19

Last week

Prior week

Last year

2.95

2.94

3.02

37 micron ewe

2.95

30 micron lamb

5.25

Coarse xbred ind.

5-yr ave

Dairy

2017-18

Aug 2018-19

MILK PRICE FUTURES

May-18

$/tonne Jul-18

Sep-18 Sept. 2019

Nov-18

Jan-19 Sept. 2020

625

523

3.15

Super

321

307

5.05

DAP

833

785

DAIRY FUTURES (US$/T) Last price*

Prior week

vs 4 weeks ago

WMP

3245

3440

3370

SMP

2485

2520

AMF

5750

Butter

5450

5250

4855

Milk Price

6.50

6.43

Sep-18

Nov-18

Jan-19

Mar-19

YTD Low

10.42

Meridian Energy Ltd (NS)

4.08

4.29

3.38

Auckland International Airport Ltd

8.14

8.4

7.065

Fisher & Paykel Healthcare Corporation Ltd

15.65

15.99

12.3

Spark New Zealand Ltd

3.59

4.18

3.54

Ryman Healthcare Ltd

12.4

12.5

10.4

Mercury NZ Ltd (NS)

3.87

3.95

3.51

Contact Energy Ltd

6.8

7.03

5.82

Fletcher Building Ltd

5.04

5.34

4.57

Mainfreight Ltd

37.99

38.15

29.95

5pm, close of market, Thursday YTD High

YTD Low

440

The a2 Milk Company Limited

14.790

15.000

10.420

420

Comvita Limited

4.100

5.420

4.080

400

Delegat Group Limited

9.930

10.100

9.400

Foley Family Wines Limited

4.340

4.850

4.170

380

Fonterra Shareholders' Fund (NS)

1.800

1.470

Livestock Improvement Corporation Ltd (NS)

0.980

0.750

New Zealand King Salmon Investments Ltd

2.620

2.100

PGG Wrightson Limited

0.490

0.570

0.470

Sanford Limited (NS)

6.700

7.060

6.350

Scales Corporation Limited

5.020

5.070

4.340

SeaDragon Limited

0.003

0.002

Seeka Limited

4.950

4.980

4.200

Synlait Milk Limited (NS)

10.860

11.350

8.860

T&G Global Limited

2.680

2.810

2.650

Tegel Group Holdings Limited

1.130

1.240

0.810

S&P/NZX Primary Sector Equity

16797

16809

15063

S&P/NZX 50 Index

9893

9958

8732

S&P/NZX 10 Index

9559

9657

8280

360

May-18

Jul-18

Sep-18

Nov-18

Jan-19

Mar-19

350

$/tonne

300

3200

YTD High

14.79

Listed Agri Shares

WAIKATO PALM KERNEL

3300

The a2 Milk Company Ltd

Mar-18

3400

Company

320

WMP FUTURES - VS FOUR WEEKS AGO

US$/t

Jul-18

340

* price as at close of business on Thursday

250

3100 3000 May

May-18

CANTERBURY FEED BARLEY

$/tonne

Nearby contract

Mar-18

NZ average (NZ$/t)

Top 10 by Market Cap

400

320

Mar-19

Fertiliser 625

360 5.5

Aug 2018-19

Urea

440

6.0

Jun

Last year

480

6.5

Apr 2017-18

Prior week

CANTERBURY FEED WHEAT

7.0

Feb

Last week

Grain

Data provided by

Dec

FERTILISER

(NZ$/kg)

Jun

Oct

5-yr ave

WOOL

Apr

8.5

6.5

5-yr ave

Feb

South Island stag slaughter price

9.5

5.5 4.5

Dec

8.5

7.5

6.5

South Island steer slaughter price

Oct

9.5

10.5

8.5

4.5

10.5

11.5 South Island lamb slaughter price

5.0

North Island stag slaughter price

11.5

6.5

4.5

5.5

Last year

6.5

5.5

6.0

Last week Prior week

7.5

5.5

4.5

Slaughter price (NZ$/kg)

$/kg CW

6.0

$/kg CW

7.63

$/kg MS

Last year

North Island lamb slaughter price

US imported 95CL bull

$/kg CW

Last week Prior week

$/kg CW

Slaughter price (NZ$/kg)

Ingrid Usherwood

Jun Jul Latest price

Aug

Sep 4 weeks ago

Oct

200

Mar-18

May-18

Jul-18

Sep-18

Nov-18

Jan-19

Mar-19

S&P/FW PRIMARY SECTOR EQUITY

16797

S&P/NZX 50 INDEX

9893

S&P/NZX 10 INDEX

9559

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019 SI SLAUGHTER STAG ( $/KG)

9.15

NI SLAUGHTER LAMB ( $/KG)

7.05

SI SLAUGHTER COW ( $/KG)

3.40

R2 HEREFORD-FRIESIN STEERS, 330-380KG, AT FRANKTON ( $/KG)

2.84

Farmers, growers all busy NORTH ISLAND

DON’T STOP HERE... If you love the information you get from these pages, you will love AgriHQ’s livestock reports.

LivestockEye

We create transparency for the industry with these independent, objective reports providing full sale results and informed commentary covering 10 saleyards across NZ that are emailed directly after the sale.

PICTURE PERFECT: The setting was a beauty for the Mt Arrowsmith Station calf Sale on Monday.

Seasonal Employer workers needn’t worry, they wont be losing their jobs any time soon. On farms things are a bit dry and it’d be nice to have rain to freshen things up. To Manawatu and Palmerston North has had about 13mm of rain this week and other areas a bit more or a bit less. Farmers have been reaching for their jerseys and long pants. Temepratures have dropped to 5C in the mornings. Wairarapa has had fiddly bits of rain – some places 60mm and others 4mm or 8mm. The province needs one good wet. Cool night time temperatures of about 5C or 6C should kick facial eczema into touch. We’re told farming’s like a three legged stool and for things to be going well all three need to be stable – prices, animal health and feed. Well, at the moment it’s a two legged stool – the lack of good quality feed is making things a bit wobbly. SOUTH ISLAND Across Cook Strait apple harvesting is at the half way point and, luckily, picking wasn’t affected by showers at the start of the week. The Envy and Jazz varieties have been coming off at our contact’s orchard near Motueka. He says fruit quality so far has been outstanding. Seasonal staffing is still an issue for some orchards that don’t rely on RSE workers. A grape grower in the Awatere Valley in Marlborough says he finished harvesting on Monday and the yield is slightly up on last year. Brix or sugar levels are looking good too. Across the province, grape harvesting is about 70% complete. As soon as the grapes are off lambs flood into vineyards to clean up as there’s a lot of tasty tucker under the vines. Farmers are in clean-up mode after last week’s torrential rain in south Westland. Further north up the Grey Valley a farmer at Atarau says he had 130mm in the gauge from the tail end of rain. Cows are still back on production because of the dry summer and a lack of quality feed

and those with signs of facial eczema are being dried off early. The last of the new grass is being sown and winter crops like swedes are getting a boost of diammonium phosphate, otherwise known as DAP, a widely used phosphorus fertiliser. Canterbury had its first frost for the season on Thursday and on Friday it was raining and cold. Farmers welcomed the rain as many parts of Canterbury remain dry. Growth over the last month on irrigated land has been fantastic, however, it’s expected things will slow up with the cooler temperatures and likelihood of more frosts. Calf sales have begun and so far prices seem to be back about $150 a head on last year. Prices at calf sales in Central Otago last week were pretty good but still down on last year by about $100. Last year’s sales were exceptional, though. At Omakau the highest bid was $1030 for an Angus-cross steer with an average of $850 and for eight-month-old heifers the average price was $600. Merino sheep farmers are crutching ewes in preparation for the ram. Pasture levels are good and there’s colossal amounts of balage in store for winter. There’s been significant grass growth lately in western Southland and balage is still being made. It’s been quite warm with the odd shower. Milking is ticking along okay on dairy farms. On lower sheep farms rams are already out on some properties. Our contact at Blackmount has just sent the first lot of his 16-month-old bulls away to the works. Weight wise they are slightly up on last year. Young bull calves, that will go to the works next year, are going onto crops where they’ll park up until spring. Oats are being harvested for balage and crops will follow. The first round of AI is done and a farmer says the technician’s due back this week for cows that haven’t taken. He says good log prices have seen some farmers decide to harvest trees planted 25 to 30 years ago.

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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Every week, we explain the context of the current market situation, drivers which are impacting the livestock markets and what to expect in the coming week.

Livestock Outlook

For those who want to see and understand forecasting, this monthly report projects farmer operating prices six months ahead and supports these prices with analysis of supply/demand, procurement factors, key export markets and exchange rate effects.

INDEPENDENT • OBJECTIVE TRUSTED • WORTHY Discover how we can help you keep up to date with market conditions.

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N THE past week Northland’s had a good dump of rain – between 60mm and 80mm in the east and less in the west. There’s no length to the pasture but it is green. The kill schedule for prime beef has taken a sharp turn upwards. Around Pukekohe the heaviest rain for many weeks fell on Monday when 30mm to 40mm was recorded. The rain’s given a significant boost to needy crops and the conversion of brown grass paddocks to green has been rapid. Our grower contact says the increase in the minimum wage rate will have a big effect on growers’ costs that will be difficult to recover in the marketplace and he believes it could be the tipping point for some more producers to exit the industry. Waikato’s also had some useful rain but it might have come too late to set things right for winter. Spore counts for facial eczema are pretty high after the rain – the spores thrive in the rotting dead matter and when the grass is short cows chew pretty low and ingest them. Farmers have seen some clinical cases. There’s been a splash of rain too in Bay of Plenty and mild daytime temperatures. There’s a bit of a lull in the kiwifruit harvest but there’s always a flurry of activity to get early start Gold fruit off. It gets a premium but now there’s a wait for the main crop harvest. The farmer we speak to says milk production will be down for the season by a fair margin on his farm. In Ruapehu District we’re told they’re having an awesome autumn. It’s green and there’s now plenty of water for stock in dams. Cooler overnight weather is killing the bugs, cattle are being weaned and pregnancy tested and lambs heading to the works are fetching god prices. Inland Taranaki, which had rain a couple of weeks ago and now has had more, is seeing some great April grass growth. Now that it’s rained across the province farmers hope to milk to the end of the month. Facial eczema spore counts have jumped here too. In Gisborne the grape harvest has finished on some vineyards but the vineyard we rang hand picks so they’re about half way thorough. Summer was a fantastic growing season. The berries are beautiful and plump and the bunch size and ripening has been outstanding. Rain, though, was predicted for the weekend. Hawke’s Bay’s been blessed with ideal weather for the maize, apple and grape harvests. There has been rain but it’s been at night so workers have been able to crack on in fine weather. Envy, New Zealand Queen and Pacific queen are coming off apple trees. Braeburns are ready, too, but they don’t pay as much so have to take a back seat. Granny Smiths are also being harvested – there’s been a lift in demand for grannies. People who sell apples like to have a green apple on shelves to contrast with mainly red apples. South Africa used to grow a lot but production there has slumped. The horticulture consultant we speak to went out to watch apples being harvested by machines this week – he says Recognised

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

Lambs flow into Temuka SOUTH Island yards are giving North Island volumes a run for their money. In March 21,273 store lambs were penned at Temuka, which is very much in line with last year’s overall tally of just under 21,000. That is the level Feilding offers week on week but, comparatively speaking, Temuka is the Feilding yard of the South Island. NORTHLAND RTHLAND Kaikohe cattle sale • Good R2 beef steers sold for $2.85-$2.92/kg, and heifers, $2.65$2.75/kg • R2 beef-cross and Friesian bulls traded at $2.65-$2.70/kg • Weaner beef-cross steers made $2.90-$3.10/kg, and heifers, $2.75-$2.85/kg • Weaner dairy-beef steers, 140-180kg, sold for $540-$630, and heifers, $420-$500 • Weaner Simmental bulls, 280-290kg, earned $870, $2.95$3.00/kg The KAIKOHE sale last Wednesday mirrored the previous week, both in volume and prices, PGG Wrightson agent Vaughan Vujcich reported. Areas have recorded 60-80mm of rain, but it appeared to come too late for buyers. Weaners made up a decent portion of the sale and dairy-beef bulls, 150kg, traded at $550-$600, with lighter types at $450-$480. Friesian-cross cows made respectable values of $1.70$1.80/kg. Wellsford store cattle sale • R3 Angus and Angus-Hereford steers, 410kg, returned $2.68/kg • R2 Angus steers, 336kg, and heifers, 456kg, both made $2.71/kg • Weaner Hereford-Friesian steers, 226-270kg, traded at $620-$790 • Weaner Hereford-Friesian heifers, 125-140kg, earned $470-$525 • Weaner beef-cross bulls, 260kg, returned $730 Just on 230 cattle were penned at WELLSFORD last Monday, with most weaners. Murray Grey-cross steers, 206kg, returned $610, and Angus and Angus-Hereford, 189kg, $530. Hereford-Friesian heifers, 247kg, managed $750. Hereford-Friesian bulls, 145kg, and Hereford-Jersey, 170kg, earned $405, and Friesian and Friesian-cross, 133211kg, $300-$400. Jersey, 120-213kg, made $150-$315. Older cattle sold well enough with R3 Angus-Friesian steers, 454kg, at $2.73/kg.

WAIKATO WAIKATO Frankton cattle sale • R2 Angus steers, 404-437kg, earned $2.73-$2.81/kg • R2 Hereford-cross steers, 403-457kg, softened to $2.69-$2.76 • All R2 Hereford-Friesian steers, 332-508kg, eased to $2.71-$2.85/kg • R2 Hereford-Friesian heifers, 334-430kg, eased to $2.41-$2.58/kg • R2 Hereford-Friesian bulls, 412-442kg, came back to $2.43-$2.50/kg TAKE YOUR PICK: There were plenty of stock on offer at Coalgate. Rain swelled throughput to just over 1200 cattle at FRANKTON last Wednesday, but the influx dampened demand for many. R2 Angus-Friesian heifers, 313-405kg, softened to $2.46$2.51/kg. Weaner Angus-cross steers, 110-134kg, earned $435$562, and Hereford-cross, 154-202kg, $475-$565. HerefordFriesian, 150-203kg, were solid at $680-$700. Angus-cross heifers, 139-185kg, managed $408-$570, and HerefordFriesian, 118-203kg, $490-$620. Weaner Angus bulls, 150kg, fetched $472, with Hereford, 264kg, making $780, and Hereford-Friesian, 124kg, $620, $5/kg. Prime Hereford cows, 415-523kg, made $1.73-$1.90/kg. Boner Friesian cows, 509-605kg, returned $1.76-$1.84/kg, and 448-501kg, $1.46-$1.59/kg.

COUNTIES Tuakau • Hereford-cross steers, 316kg, made $2.98/kg • Heavy prime steers sold to $2.84/kg • Good in-calf beef cows fetched $2.20/kg • Good forward-store lambs returned $95-$125 Recent rain brought a large turnout of store cattle to TUAKAU last Thursday, but the market was “hard going” and prices eased 15-20c/kg, Chris Elliott of PGG Wrightson reported. The 860-head yarding included 450-480kg steers, $2.58$2.75/kg, while 400-450kg earned $2.45-$2.88/kg, and 300-

380kg, $2.45-$2.98/kg. Good weaner steers, 340kg, fetched $920 and 115kg Hereford-Friesian, $510. Friesian bulls, 120140kg, returned $400-$500. R2 Heifers, 380-450kg earned $2.40-$2.60/kg and 300-380kg, $2.25-$2.70/kg. Weaner heifers, 110-170kg, made $340-$500. Wednesday’s prime market was firm. Steers sold at $2.60$2.84/kg, and heifers $2.60-$2.80/kg. Heavy Friesian cows earned $1.70-$1.90/kg, medium $1.45-$1.70/kg and lighter $1.20-$1.45/kg. Top prime lambs fetched $140-$180 last Monday, medium $120-$140 and medium stores $70-$95. Heavy ewes made $120-$155, medium $90-$120 and light $65-$90.

BAY BAYOF OFPLENTY PLENT Rangiuru cattle sale • Prime Hereford-Friesian steers, 632-662kg, firmed to $1.78-$1.81/ kg, and Angus, 605kg, $2.73-$2.74/kg • R2 Hereford-Friesian steers, 323-377kg, lifted to $2.91-$3.00/kg • R2 beef-cross steers, 363-422kg, traded at $2.68-$2.73/kg • R2 Hereford-Friesian heifers, 350-398kg, held at $2.74-$2.77/kg • Weaner beef-cross heifers, 148-236kg, returned $410-$620 Rain and quality had a positive effect on the store cattle market at RANGIURU last Tuesday. An even split of R2 and weaner cattle sold to local and Auckland buyers, with most steady to firm. Weaner Friesian bulls, 142-168kg, earned $465-$515.

Boner Friesian-cross cows, 392-494kg, held at $1.40$1.50/kg.

TARANAKI TARANAKI Taranaki cattle sale • R2 Simmental-cross heifers, 413kg, sold for $2.72/kg • Weaner Simmental bulls, 210kg, made $685 • Mixed age Simmental cows, run with a Hereford bull, earned $1350 A bigger yarding was offered at the TARANAKI CATTLE SALE last Wednesday, with 433 store cattle. R3 cattle sold as expected and Simmental-cross steers, 507-536kg, made $2.77-$2.82/kg, while heifers were mostly Friesian which sold for $2.10-$2.18/kg. R2 cattle softened with better quality types fetching $2.76-$2.84/kg, and heifers largely $2.32-$2.56/kg. Weaners sold well as Hereford-Friesian steers, 178kg, earned $600 and heifers, 211-218kg, $600-$618. POVERTY POVERTYBAY B • Heavy male store lamb, sold for $142-$143 • Lighter ewe lambs, lifted to $84.50-$113.50 • Prime ram lamb, made $137.50 Last weeks sheep sale at MATAWHERO had a lift in store lamb numbers with 4829 head. Lambs were mostly 30-34kg

SALE YARD WRAP

FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019

READY: Sheep fill the yards at Coalgate.

which sold well making $115-$130 including ewe lambs, while lighter lambs mostly made $106-$111.50. A small volume of mixed age ewes held at $90 and two-tooth made $80. Prime lambs mostly made $140, and ewes $128.

HAWKE’S HAWKE’SBAY Y Stortford Lodge prime sale • Very heavy cryptorchid lambs lifted to $167-$187.50 • Very heavy ram lambs improved to $185-$194 • Heavy mixed sex lambs strengthened to $163.50-$175 • Very heavy ewes traded at $179-$205 • Medium-good to good ewes lifted to $127-$139 Prime lamb throughput was steady at STORTFORD LODGE last Monday, and the market improved. Mediumgood through to heavy ewe lambs traded at $90-$167. Most ewes were heavy to very heavy and most improved. Heavy ewes returned $141-$151, though medium to lightmedium softened to $105.50-$115. Light types firmed to $94-$100. MANAWATU MANAWATU

Feilding prime cattle and sheep sale • Boner Friesian cows, 510-570kg, lifted to $1.80-$1.87/kg • Boner Friesian cows, 400-430kg, lifted to $1.57-$1.65/kg • Good prime lambs lifted to $153.50-$170.50 • Mid-range prime ewes held at $116-$122 • Good Hereford-cross bull calves were $330-$385 A large crowd of buyers pushed the 270 cattle up another level at FEILDING last Monday. Boner cows made up the majority and lifted 10-20c/kg, with 450-505kg at $1.71$1.77/kg. In-calf earned a premium of 10c/kg on equivalent empty cows. Other prime cattle were steady. A yarding of 5400 prime lambs firmed $5 per head. Two pens reached $185, with lighter types at $137-$150. Feeder calves sold to steady demand with results strong. Good Friesian bull calves were $275-$310, and medium $200-$255. Rongotea cattle sale • R2 Hereford-Friesian steers and heifers, 411-555kg, earned $2.44$2.66/kg, and bulls, 370-445kg, $2.47-$2.56/kg • 15-month Hereford-Friesian heifers, 355-366kg, eased to $2.12$2.23/kg • Weaner beef-cross heifers, 232-247kg, made $480-$580, and exotic, 155-195kg, $420-$490 • Weaner Friesian bulls, 142-200kg, earned $480-$580, and Hereford-Friesian, 136-190kg, $430-$600 • Boner Friesian and Friesian-cross cows, 461-574kg, firmed to $1.62-$1.83/kg

Younger stock sold to more interest than older cattle at RONGOTEA last Wednesday, New Zealand Farmers Livestock agent John Watson reported. Weaner Angus steers, 135-234kg, fetched $500-$795kg, though Friesian, 232-300kg, only managed $550-$660. Autumn-born calf quality was good and Friesian bulls traded at $120-$270, and Hereford-Friesian, $140-$395. Angus-cross made $105-$315, while Hereford-Friesian heifers earned $130-$255. Feilding store sale • R2 beef-Friesian steers, 435-510kg, were consistently $2.71-$2.76/ kg • R2 beef-Friesian heifers, 340-435kg, made $2.52-$2.65/kg • R2 Friesian bulls, 370-525kg, were $2.47-$2.55/kg • Male lambs were steady, mainly $120-$131 • Ewe lambs eased, $108-$120.50 except for some lighter cuts There wasn’t much interesting going in the cattle pens. A mix of mainly beef-Friesian cattle mainly sold to steady levels. The 425-445kg traditional R2 steers were also steady at $3.01-$3.11/kg, and the few 395-425kg straight beef heifers made $2.75-$2.96/kg. Lambs were out in full force, with final tallies falling around 23,500 head. The volume of lambs didn’t cause too much disruption however. Males were mainly steady, with the top-half usually $125-$135 and the rest rarely below $107-$124. Ewe lambs eased back a step, but this more noticeable through the lighter cuts at $98-$107.

CANTERBURY CANTERBURY Canterbury Park cattle and sheep sale • Prime Murray Grey-cross steers, 700-705kg, sold for $2.75-$2.79/ kg • Store Angus steers, 294kg, sold well at $3.10/kg • Good quality, very heavy ewes made $220-$254 and the balance traded from $70 to $158 • Heavy prime ram lambs reached $173-$181, and most other types, $110-$149 Rain added more competition to the CANTERBURY PARK SALE last Tuesday. Prime steers sold for $2.60-$2.75/ kg regardless of breed. Heifers varied although Herefordcross and Angus-cross traded at $2.44-$2.66/kg. Boner cows held at $1.66-$1.65/kg, and quality prime cows lifted to $1.74-$1.87/kg. Store cattle lifted and R2 Angus and AngusHereford steers, 346-428kg, made $2.72-$3.00/kg. Store lamb quality was down and nearly all categories eased. Good lambs made $100-$110, medium, $91-$97 and light $70-$87. Corriedale ram lambs sold for $100-$112.

SOUTH-CANTERBURY UTH CANTERBURY

Temuka prime and boner cattle, all sheep sale • Good mixed sex lambs came back to $95-$114 • Medium-good mixes sex lambs were steady to firm at $81-$105 • Medium-good ewe lambs earned $90-$106 • Boner Friesian cows, 463-618kg, firmed to $1.42-$1.55/kg • Boner Friesian heifers averaged 430kg and firmed to $1.91/kg A further 6000 lambs were entered at TEMUKA last Monday. Most were local lambs and the overall trend was softer, though some weight ranges showed improvement. Prime sheep took a back seat, and lambs held at $110$174, with most ewes trading at $110-$139 and heavy, $150$174. Prime stock were also in the minority in the cattle pens, with boner cattle making up the lion’s share. Very good boner cows reached $1.50-$1.59/kg, and Jersey-cross, $1.40-$1.43/kg. Heavy beef and beef-cross steers made $2.63-$2.71/kg, and good heifers earned $2.51-$2.62/kg.

SOUTHLAND SOUTHLAN

Balclutha sheep sale • Medium to heavy prime lambs firmed to $120-$165 • Third cuts of prime lambs firmed to $110-$120 • Medium to heavy ewes also firmed to $120-$170, and light made $70-$115 • Medium to good store lambs firmed to $90-$114, and light $70$85 Quality improved across the board at BALCLUTHA last Wednesday, which was reflected in a stronger market, PGG Wrightson agent Russell Moloney reported. Lorneville cattle and sheep sale • Three-shear composite ewes made $158-$160 • Prime lambs held at $101-$141 • Store lambs held at $75-$110 • Good boner dairy cows eased to $1.25-$1.40/kg, and medium, $1.10-$1.20/kg • R2 beef and beef-cross steers, 410-464kg, eased to $2.39-$2.43/kg Results were mixed at LORNEVILLE last Tuesday, with the best being a steady market for most sheep. Heavy prime ewes made $130-$162, medium $100-$125, and light, $60$93. Prime steers held at $2.46/kg, while 520kg bulls fetched $2.20/kg. Dairy heifers traded at $1.80-$2.00/kg.Good store cattle held value, though lesser sorts struggled. R2 Wagyu-cross steers, 399kg, made $2.30/kg. Weaner beef-cross bulls, 160180kg, earned $480-$540, and Friesian steers, 140-160kg, $300-$350.

Markets

48 FARMERS WEEKLY – farmersweekly.co.nz – April 8, 2019 NI SLAUGHTER STEER

SI SLAUGHTER LAMB

NI SLAUGHTER COW

MID-RANGE MALE STORE LAMBS AT FEILDING

5.35

6.70

3.70

120-131

($/KG)

($/HD)

Dairy prices still climbing

Hugh Stringleman hugh.stringleman@globalhq.co.nz

UTTER prices led the way to a ninth consecutive rise for the Global Dairy Trade index last week, confirming the strong dairy price recovery in 2019. Butter rose 5.8% in the latest auction to US$5374/tonne and the cumulative rise since mid-November has been 47%. Butter prices look likely to surpass the $5700 level set last May and threaten the recent record of $6026 set in September 2017. Anhydrous milk fat prices rose 3.7% to $5867 and casein was up 7.5% to $6703. Whole milk powder recorded its first fall in 2019, by 1.3%, and the GDT index was up 0.8%, making a total of 19% this year and 27% since the recovery began. ASB senior rural economist Nathan Penny said the autumn contraction in New Zealand milk production and weak production offshore suggest dairy prices will reach a cyclical peak this year. That bodes well for the finish of this and the start of next season.

This demand for dairy stands in stark contrast to concerns about the downside risk to growth in China. Anne Boniface Westpac “In addition, global dairy stocks are now much lower than in previous years. “Lower stocks mean less of a buffer for dairy markets in the event of any supply shock and, meanwhile, global demand is also firm.” Westpac senior economist Anne Boniface said the strength of Chinese

NO RESERVE: Dairy stocks are much lower than in previous years, ASB rural economist Nathan Penny says.

demand is also notable, with imports having risen 14% in January and February combined. “This demand for dairy stands in stark contrast to concerns about the downside risk to growth in China. “Our own view is that while GDP growth in China is set to slow noticeably this year, this slowdown won’t be centred in the household sector. “This should be a silver lining for NZ agricultural exporters who are heavily reliant on Chinese consumers.” Rabobank dairy analyst Emma Higgins said world milk production growth is virtually at a standstill but margins are being squeezed in Australia, Europe and the United States. The supply outlook will remain flat until 2020 and at some point in the next few months supply will actually go negative, which has not happened since 2016. She said the demand outlook is clouded, with global economic growth

expected to weaken over the next two years. Rabobank in Australia said milk production was down 11% in January and down 6% in season-to-date figures. It is not expected to begin recovering until 2020. Fonterra’s Global Dairy Update for March said its Australian collection between July 1 and February 28 was down 17% on the previous corresponding period. “High input costs, increased cull cow rates and farm exits continue to severely impact milk production,” the GDU report said. Fonterra is also losing market share in a very competitive market. The GDU said production growth in Europe and the United States in the 12 months to the end of February was zero and plus 1% respectively. NZ production was up 4% and exports were up 2%, including a 12% lift in the three months to January 31.

high lights

$1100-$1370 $525-$685

Angus heifers, 160210kg, at Canterbury Park Calf Sale

Autumn-born Simmental steers, 360-440kg, at Temuka Calf Sale

ACROSS THE RAILS SUZ BREMNER

Cacophony of calves continues WE REALLY are in the thick of weaner fairs and calf sales with a cacophony of calves at many yards again last week, signalling the April rounds are well and truly under way. It seems like only yesterday the season started but the reality is we are getting through them fast and furious and in the North Island, at least, they start to wind down at the end of next week while the South Island is all go until the end of the month. The big fairs in the North Island last week were rounds two at Feilding, Stortford Lodge and Te Kuiti while looking ahead there is no slow-up yet as Taupo, Matawhero, Wairoa, Taranaki and Feilding are all calendared for this week. At Feilding the early pens of traditional steers sent surprised murmurs through the crowd as 230-270kg recorded $3.76-$4.08/kg, with the top end surpassing anything seen so far this year. But as quick as prices came up they dropped back with second cuts at 235255kg rapidly falling to $3.40-$3.60/kg as early orders were filled and buyers left the rostrum. Exotic steers were steady to slightly softer while heifers softened with most making $2.90-3.10/ kg. At Stortford Lodge prices for heavier steers remained steady, medium types firmed and lighter lines lifted. Local buyers, however, were selective on heifers and while good traditional lines sold up to $3.30-$3.40/kg, lesser types hovered around $3/kg. At Te Kuiti steers filled every pen available, totaling about 1500 head. Traditional steers had more of a presence and met keen interest from locals, with this breed notably growing in popularity in the area. New Zealand Farmers Livestock agent Alan Hiscox reported the results were right up with the first fair, which was very pleasing considering the dry conditions and volume penned. “Local buyers devoured the black cattle with 230-260kg lines easily making $3.70-$3.80/ kg while a good number of those under 230kg exceeded $4/kg. The top end exotic steers made $3.30-$3.40/kg, with younger, lighter lines at $3.50-$3.70/kg.”

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