Grim harvest for maize grain growers
Gerald Piddock
EAST coast maize grain growers are questioning the viability of their industry after a season mired in poor contract prices that are well below the cost of production.
Federated Farmers Wairoa arable chair Allan Newton said the average price being offered to growers amounts to around $350 a tonne delivered to Waikato, well below the estimated $400-$430/ha it costs to grow the crop.
The maize grain market tanked after a shipment of thousands of tonnes of maize grain from eastern Europe from one company flooded the market and created a “fire sale”.
“It filled the silos and now they don’t want ours.”
Newton said growers met with these companies who were asked if they still wanted east coastgrown maize grain.
“Not one of them would answer the question.
“The price we are getting paid is less than the cost of growing it.
“There are a lot of people who are committed growers and have machinery specifically for that job and they have been doing it for years – year in, year out – and even if they don’t have a contract, they usually have no problem selling the maize.”
But contracts were few and far between for the 2023-2024 season.
Farmers still grew the maize but it is hardly worth selling.
“We’re certainly not going to make any profit out of it this year.”
Newton is one of these growers, with 110-120 hectares still in the ground.
He said there had been little change in the price companies are charging end users – the dairy, pig and poultry sectors – for the feed grain over the past several months.
Compounding the situation was the unusually late harvest. Around 50-70% of growers through Gisborne and Wairoa still have some portion of their crop to be harvested.
This is because last spring was so wet that planting was very late – in some cases after Christmas – and some is only becoming ready for harvest now.
While having crops still in the ground in July is not unheard of, having such a high volume is, Newton said.
He estimated it could mean tens of thousands of tonnes of maize grain affected. This will impact not just the farmers but the wider regional economy.
Wairoa farmer and contractor
Ewan Powdrell said it is affecting growers all over the North Island, including those in Waikato.
“We’ve been hung out to dry.”
Continued page 3
‘Dumpster diving’ for health
Christchurch company PharmaZen is thriving on extracting the last drop of goodness from otherwise discarded plant and animal products.
NEWS 7
Concerns banks could use climate stress testing to shun rural borrowers.
NEWS 3
Certified organic woolgrowers, such as Bill and Denise McGill, pictured with granddaughter Chloe, are earning top dollar but it is not yet inspiring others to convert to organic.
SHEEP & BEEF 21-25
NZ’s insatiable demand for chicken convinces Agright to further expand.
NEWS 5
LEARN FARM BIKE SAFETY FROM NZ’S BEST ENDURO
Slump in the take-up of EVs says more about carbon than our taste in cars.
OPINION 17
AND CROSS-COUNTRY
RIDERS!
EDITORIAL
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ISSN 2463-6002 (Print) ISSN 2463-6010 (Online)
Joanne Todd, National Science Challenge director
News in brief Craigmore
expands
Craigmore Sustainables has added to its viticulture portfolio by purchasing a site in Marlborough.
The 418 hectare property, which will have nearly 200ha of grapes when fully developed, is on the north bank in the Wairau Valley. It is the first South Island viticulture venture for Craigmore.
M bovis savings
A delayed start to the proposed Mycoplasma bovis National Pest Management Plan has led to reduced costs for dairy farmers.
DairyNZ has launched a consultation to cut its NPMP levy for the first six months to 0.8 cents per kg of milksolids, down from 1 cent per kg of milksolids. The delayed start to the M bovis NPMP and a revisit of the financial assumptions has led to the cost reduction.
Council review
Nuffield
The Waikato Regional Council is reviewing its freshwater policy, aiming to release a region-wide draft document by December 2025.
This draft policy would be notified by 2027, meeting the new government’s deadline for councils to notify freshwater plans and policy statements. A report into how the review will be undertaken recommends taking a “refreshed target approach” to freshwater policy.
Irrigation support
IrrigationNZ is hopeful that community water storage will feature in grants from the coalition government’s Regional Infrastructure Fund, which opened last week.
The organisation’s chief executive, Vanessa Winning, said the fund’s stated goal is to look for investment and coinvestment projects that support regional priorities, which aligns with IrrigationNZ’s mission.
National Science Challenge faces end of funding
Global warming may chill farm financials
THERE are concerns that banks could use the results of recent climate stress testing of their lending portfolios as cover for turning the screws even harder on rural borrowers.
The Reserve Bank earlier this year published the results of climate stress testing on the loan books of the five largest banks out to 2050.
The key risk I see is that some banks will just literally act as if those risks have already come true.
Scott Wishart NZAB
Under the extreme climate change scenarios used, the biggest loss rates were attributable to rural loans.
These accounted for 24% of the banks’ expected climate-related losses, while only making up 9% of
all loans between 2031 and 2050.
By comparison, residential mortgages accounted for 27% of losses, though they made up a much higher 60% of total loans.
While the time horizons involved meant the scenarios were subject to considerable uncertainty, one former banker is concerned the results will be used to justify tougher lending policies now.
“The key risk I see is that some banks because of the leadership and the way the boards are wired managing risk is that they will just literally act as if those risks have already come true,” the managing director of rural debt advisory firm NZAB, Scott Wishart, said.
The risk weights the banks attach to agricultural loans, determining the amount of bank shareholder capital required for each dollar of lending, were forecast to rise from 80% for non-defaulting loans in 2030 to 120% by 2050, the Reserve Bank said. By comparison, risk weights for business loans rose more modestly from 60% to 80% over the same period.
One former director of an Australian-owned bank told Farmers Weekly that bank shareholders would need to be
Continued from page 1
Powdrell has about 70ha (800 tonnes) still to be harvested, which he was fortunate enough to find buyers for.
Growers like Powdrell planted maize last spring/summer on the premise they would be getting contracts from animal feed companies but they never came.
The payments that were offered were $100-150 less than their cost of production, he said.
“It’s been caused by a myriad of things. It’s the perfect storm to be honest.
“There’s a lot of grass been grown in Waikato for the dairy industry so they are using less supplement.
“Our biggest concerns are imported maize – 50,000t came in, in November and that just cooked things.
“The grain companies did not provide us with that information so we carried on planting when we could have stopped and stemmed the flow.”
With crops being planted late due to the wet spring, Powdrell said he would never have planted
compensated should they be required to come up with more of their own money to back loans to farmers.
If they aren’t they will find more profitable uses for their funds.
“When they are confronted with that situation where the agricultural lending part of the bank has to hold more regulatory capital, then they have got to price that.
“Meaning that farmers have to pay more for loans than they otherwise would.”
However, Federated Farmers national board member Richard McIntyre said restricting credit to farmers or hiking their interest rates risks discouraging farmers from making the investments needed to put their operations on a more resilient footing.
“A lot of farmers do not have the confidence to invest in these things because of their bank’s desire to get principal payments every year and the idea of potentially borrowing more to invest in an irrigation project or water storage or more feed on hand – all of those things that could make a farm more resilient to weather events – how would
that impact on how the bank actually sees them over time and their financial viability?”
Even if banks were to offer concessionary interest rates or dedicated loans for climate resilience projects, McIntyre said he had his doubts about how many farmers would take them up given the increasingly strained relations between many farmers and their lenders.
“There have been a lot of farmers saying the bank was my best friend five or 10 years ago and they wanted to lend me money and thought our business was
maize if he knew this grain was being imported.
“The whole industry is in peril to be honest, I’m sitting here wondering if they want us as grain growers.”
It has left Powdrell feeling completely disillusioned. If companies are not prepared to offer contracts that allow growers to make a profit, he will not be planting maize this spring.
“We need it to be $500 a tonne and it’s sitting at about $350.”
It came on top of three years of horrendous growing conditions on the east coast as it battled Cyclone Gabrielle. The more recent heavy flooding was rubbing salt into the wound, and he estimated a 1-1.5t/ ha loss from flooding damage.
“It’s just another nail in the coffin. There’s a lot of guys wondering what are we doing? Why are we growing this stuff when we’re not getting paid enough for it. It’s too hard, our input costs are horrific.”
He also hit out at the lack of support from entities such as the Ministry for Primary Industries, saying growers are feeling forgotten.
JUMP THE GUN: The time horizons meant the scenarios are subject to considerable uncertainty, but former banker Scott Wishart worries that the results will be used to justify tougher lending policies now.
very good, and now nothing has changed, and if anything we have paid back principal and our farm is in a better position, but the bank is seeing us more negatively than they had and is putting more pressure on us.
“So any help that the banks would give to farmers to help adapt needs to be done in such a way that they would not put themselves at financial risk.”
McIntyre hoped the upcoming parliamentary inquiry into rural banking will examine what banks can do to incentivise farmers to invest in climate resilience.
Science sector ‘not fit for purpose’
Neal Wallace NEWS Research
THE science sector is in for an overhaul after being described by its minister, Judith Collins, as not fit for purpose.
Responding to concerns last week that funding for the decadelong National Science Challenge ended on July 1 without a replacement, the science, innovation and technology minister said the system needs an overhaul.
“As a government, we are committed to building a science system that supports growth, and a science sector that drives hightech, high-productivity, highvalue businesses and jobs,” she said in a statement.
“However, putting more money into a system that is not currently fit for purpose will not help us achieve our goals as a nation.”
The National Science Challenges always had a finite life, designed to progress specific research priorities within the 10-year timeframe.
Collins said two reviews are underway in the sector to ensure it contributes to growing the economy and achieves better health, environmental and social outcomes.
A Science System Advisory group, chaired by Professor Sir Peter Gluckman, is looking at the challenges and opportunities facing the science system, and a University Advisory Group is considering the effectiveness of
the current university system. Gluckman is expected to deliver his first report shortly. The 11 National Science Challenges have received $680 million in funding. Scientists told Farmers Weekly that its ending
Putting more money into a system that is not currently fit for purpose will not help us achieve our goals as a nation.
Judith Collins Minister of Science, Innovation and Technology
REVIEWS: Judith Collins says two science reviews are underway in the sector to ensure it contributes to growing the economy and achieves better health, environmental and social outcomes.
will drive staff to look for work overseas.
Collins said the sector has fundamental issues that need addressing and described the current science system as complex, fragmented and overly competitive.
“Getting the system settings right is the best way to ensure that our top scientists are able to pursue their careers in NZ,” she said.
She wants to see more people pursue STEM (science, technology, engineering or math) careers and that means ensuring they are trained to meet the changing needs of the country, support existing industries and grasp new opportunities.
She sees opportunities in areas such as space and aerospace, biotechnology, quantum technology, advanced materials and medical technology.
She singled out gene technology as offering “enormous benefits for NZ”, and said regulatory changes to allow those opportunities to be captured will become law in the coming year. Benefits from gene technology range from combating climate change, improving health outcomes, lifting agricultural productivity and boosting exports.
“Updating gene technology laws while ensuring strong protections for human health and the environment is something we campaigned on and committed to in the government’s coalition agreements.”
GROUNDED: Growers like Ewan Powdrell planted maize last spring/ summer on the premise they would be getting contracts from animal feed companies but they never came.
Nigel Stirling NEWS Finances
‘We have to fix the way we make ag policy’
Bryan Gibson NEWS Regulation
UFFIELD scholar
NKerry Worsnop says a complete overhaul of the policy-making process is the only way New Zealand will succeed in creating a food production system that meets the needs of all stakeholders, both here and abroad.
Speaking to the Primary Industries Summit in Wellington, Worsnop said our current system isn’t designed for the complex issues of sustainability, water quality and environmental improvement.
“What we tend to do is come up with a great idea, do a bit of consulting, then we pass it on to the implementation teams.
“It’s been finalised and ticked off. And then the implementation team starts to use it with the people on the ground, the farmers or the councils or whoever it is that needs to use this policy.
More often than not you’re going to find something else bubbles up, somewhere else, and you go, ‘Whoa – there’s a couple of bits here that we didn’t expect, we need to change that’ but that policy team’s moved on to the next thing.”
We are by a mile more market-focused as producers than just about anyone else in the developed world.
Kerry Worsnop Nuffield scholar
Worsnop said it is often years before the issue pops back onto the political agenda for a second look, leaving those on the ground to deal with unworkable regulations.
“By then there is collateral damage, left, right and centre, and the people in this have been hurt badly.”
‘Retailers
Bryan Gibson NEWS Food and fibre
RETAILERS are the captains of the supply chain and are increasingly setting the game plan for global food production, says Rabobank global strategist for consumer foods, strategies and logistics Cyrille Filott.
Addressing the Primary Industries Summit in Wellington, Filott said most of the major food processors and retailers had moved from planning emissions reductions in supply chains to enacting them.
He said 2030 “is an important
Worsnop proposed a system that included the crucial voices from the outset – including those with capability and experience, which in agriculture’s case is farmers themselves.
“Nuffield gave me a chance to move from someone who was quite cynical to someone who knows now that, yes, it can be done. I saw it done.
“I saw people using these tools, using this language, and the effects were transformational.”
Another key point Worsnop highlighted was the vast difference in how New Zealand agriculture functions when compared with other countries.
NZ is completely market-driven, and lives or dies on its ability to perform in the global marketplace.
“I hadn’t understood that we are by a mile more market-focused as producers than just about anyone else in the developed world.
“And I hadn’t understood that everything we do, we do to try and mitigate our downside risk, because no one is going to catch
you. I’m a sheep farmer, I can speak from experience.
“So our farmers have geared themselves really, really specifically to respond to deregulation in a way that no one else anywhere else has done, because no one else anywhere else did it the way that we did it.”
Farmers overseas are paid to do the sustainability work that
proposes a policy-making system that includes crucial voices from the outset –including those with experience: farmers themselves.
farmers here are, for the most part, funding themselves, she said.
“What we don’t necessarily understand is that most of the people that we compare ourselves to have a lovely bridge going from one side to the other, and that is in the form of payments of some kind or another.”
MORE: See page 12
are running the global food game’
year because many companies, retailers, have now really started to go from planning to execution and will really try to achieve a reduction of their emissions by 2030”.
“Retailers are sending letters basically saying you need to commit to a design-based target of emissions, and you need to have certain targets in place to lower your emissions by a certain date, likely to 2030, so retailers are pushing into the supply chain.”
Filott said this sustainability drive is essentially still a business to business proposition, rather than one led by consumers.
However, global drivers like the pandemic and the war in Ukraine
have put other priorities ahead of sustainability for the time being.
“I talk about the triangle of risk, sustainability and return on investment and we’ve seen some interesting movements in that.
“In 2020 sustainability was on top, everybody was looking at sustainability. In the covid-19 years that quickly shifted to risk, when we had the supply chain crisis.
“I believe this year is a shift to returns, where companies are looking to regain the markets or get back to the margin that they had in the past.”
Elections in the United States and Europe would also impact the global food system, Filott said.
“European elections were held very recently and they brought what everybody expected, a move to the right. But what does it mean? What does it mean for food and agribusinesses?
“What does it mean for regulation in the future? No one knows. We might end up with some sort of status quo. So all the regulations that you may or may not have heard of, like Farm to Fork, might hang around but some might be watered down.
“What you might also see is a certain view against trade, within a de-globalising world that we are in anyway. So let’s see what happens in terms of trade barriers.”
OUTSET: Nuffield scholar Kerry Worsnop
Photo: Bryan Gibson
SHIFTS: Cyrille Filott says there have been interesting movements in ‘the triangle of risk, sustainability and return on investment’.
Big new broiler farm to feed hungry Kiwis
Gerald Piddock NEWS Production
KIWIS’ insatiable demand for chicken prompted
Agright to further expand its broiler chicken farming operations in New Zealand.
Agright chief executive officer Daniel Bryant said people eat an estimated 46kg of chicken per person each year and with New Zealand’s growing migration levels, it needs to grow a lot of extra chicken.
The Australasian poultry company was granted Overseas Investment Office consent to construct two new adjacent broiler farms near Paeroa.
The land is currently operating as three adjacent dairy farms. Consents have been lodged with the Waikato Regional Council for air permits and land use.
Planning for the new farms began before the outbreak of avian influenza in Australia. Bryant said they will keep looking to expand their business both in NZ and Australia and the outbreak has not changed their plans.
The chicken farming operation
will consist of around 35-40 hectares on the 239.39ha site with the remaining land staying in dairy farming.
The sheds are fully automated and environmentally controlled. Every facet is catered for, for optimal welfare conditions for the chickens.
Daniel Bryant Agright
This will act as a buffer between neighbours and the chicken farms.
Subject to consents being granted, construction will begin this summer and it is hoped the first farm will be in production by July next year.
The second farm will be in production in 2026-2027.
It will create five full-time jobs once the farms are up and running, with four of those living onsite in homes that will be constructed.
Each farm will have 240,000 chickens raised in the six sheds, totalling 480,000 once the second farm is up and running.
The chickens are brought in as chicks and grown under contract before being taken to Waitoa for processing once they reach target weight.
“The sheds are fully automated and environmentally controlled. Every facet is catered for, for optimal welfare conditions for the chickens – temperature, ventilation, lighting, fresh air and
Global Dairy prices plummet as supply outstrips demand
GLOBAL Dairy Trade prices have fallen sharply and dramatically in the latest auction, dragged down by 10% losses in milkfat products –butter and anhydrous milk fat.
Milk powders also lost ground, whole milk powder down 4.3%, skim milk powder by 6.1% and butter milk powder down 5.1%.
Cheddar also took a big hit, down 6.9%.
The overall GDT price index was down 80 points or 6.9%, the largest fall since last August.
NZX dairy analyst Rosalind
Crickett said bearish factors apparent before the auction included greater product availability, perceived market uncertainty and price falls anticipated by the SGX-NZX dairy derivatives market.
Despite the lower prices, on this occasion 85.7% of product was cleared of the 28,175 tonnes available.
AMF was down 10.7% and butter 10.2%, the biggest fall since March 2022.
“Like milk powders, the new
production season has meant for greater product availability in the longer run, to ease inventory restrictions – putting downward pressure on prices.
“That said, these prices still remain above January levels,” she said.
Westpac chief economist Kelly Eckhold said the view is growing that the significant upswing in milkfat products, especially AMF, may have run its course and that high prices are encountering buyer resistance.
heating when they are young,” Bryant said.
“Once the birds reach 18-21 days they are able to range outside and are then grown out to processing weights that the processor decides on to meet market demand.”
Solar panels will also be used to power the chicken farms.
The farm’s chicken litter will be
collected and sold to contractors who on-sell it to farmers as fertiliser.
Agright’s current farms in New Zealand are an operation at Waharoa in Waikato, where there are six free-range sheds, constructed in 2020, and in Rakaia in Mid-Canterbury, where there are eight sheds with plans underway to double that to 16.
“Such a large fall in prices naturally increases uncertainty on future auction developments.
TWICE THE SIZE: Agright’s chicken broiler farm at Waharoa has six free-range sheds. Its new farm planned near Paeroa will have 12 sheds once completed.
“The fall in prices balances up our previous upside risks on our 2025 milk price forecast of $8.40.”
LOSS: Cheddar was one of the big losers in the latest Global Dairy Trade auction, down 6.9%.
Montgomer y Direc tor
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rav.link/election
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‘Dumpster diving’ for health and profit
Neal Wallace NEWS Production
CRAIG McIntosh concedes there are minor parallels between the Christchurch company PharmaZen and dumpster diving. Both seek to make use of products that have little or no value, one from someone else’s discards and, in the case of his
TEAM: PharmaZen chief executive
Craig McIntosh heads up a company that employs up to 80 people and has its own research and development team, a mix of scientists and mechanical engineers.
company, extracts from the byproducts of plants and animals.
But that is where any similarities end.
McIntosh, the chief executive of PharmaZen, said the nutraceutical company takes low-value meat, fish and botanical products and uses solvent extraction or freezedry processes to turn them into nutraceuticals, which are then exported around the world.
Its nutraceutical products are based on blackcurrant, kiwifruit, ovine, porcine, bovine, fish and greenshell mussel extracts, reconfigured and sold as capsules, sachets and soft gels to assist dietary, nutritional, digestive, joint and bone health and musculoskeletal systems.
PharmaZen has one of the world’s largest krill oil facilities.
The company was formed in 2001 by entrepreneur the late Howard Paterson along with Dr Max Shepherd and Dr Tak Hung to commercialise animal remedies developed by Zenith Technology in collaboration with the University of Otago.
In 2002 it acquired biotechnology company Waitaki Biosciences International.
PharmaZen’s shares are listed on the Unlisted Securities Exchange.
McIntosh said in the early days its products were almost
supplements.
solely linked to extracts from beef processing, but implications following the outbreak of Bovine Spongiform Encephalopathy highlighted the need to diversify.
“We were at the risk that if the sector sneezes or gets a sniffle, we get pneumonia.”
Meat offal is becoming more highly priced and competition is growing so they are constantly looking for low-priced suitable products that they can use.
Bottom line thriving on nutraceuticals interest
Neal
Wallace NEWS Production
CHRISTCHURCH-based
nutraceutical manufacturer
PharmaZen increased turnover and profitability last year.
Sales for the year to December 31 2023 were $28.9 million, up 10% on the previous year, and earnings before interest, tax, depreciation and amortisation (EBITDA), were $4.16m, 11% higher.
The net profit after tax was $5.5m, which included $5.7m of non-trading income, and the gross profit was $9.6m, 17% higher than the 2022 result, $8.2m.
Chief financial officer Rod Garrett told last week’s annual meeting that improved sales came from greater freeze drying capacity, increased demand for its core products, a 2% improvement in margins, its product mix and control of internal costs.
Insurance and marketing costs were higher.
Also having an impact was the delayed commissioning of a new plant, Tawhiri 1 near Rolleston, due to damage to a freeze dryer during transit.
Chief executive Craig McIntosh said the 2024 year has started strongly, with sales in the first half 25% ahead of the same time last year.
But there are challenges with supplies of raw material, interest
supplements.
The 2024 year has started strongly, with sales in the first half 25% ahead of the same time last year.
Craig McIntosh PharmaZen
rates and insurance costs.
He is optimistic about the firm’s future given NZ’s preferential trade status with China, a market competitors are struggling to access.
For example, United States krill
oil incurs a 32-35% duty in China whereas a similar product from NZ is duty free.
He said there is nervousness with the US elections with either result likely to see an escalation in trade wars between the US and China. PharmaZen has had a heavy investment focus on capital. Its immediate focus is commissioning of Tawhiri 1 this month and once fully operational it will have output of 500 tonnes of extracted product, eight million units of consumer ready product, 100t of spray dry, 200t of vacuum dry and 4600t of freeze-dried product.
We were at the risk that if the sector sneezes or gets a sniffle, we get pneumonia.
Craig McIntosh PharmaZen
and development team, a mix of scientists and mechanical engineers.
McIntosh said the processing and extracting process requires bespoke machinery, which can take 18 months to design and build, so having its own engineers is crucial, as is having its own scientists.
He said the business has required significant capital investment as it diversifies its product mix.
One they are looking at is products extracted from lamb pelts.
“We have a long runway of opportunities, but that one is sticking out there.”
Other new products include marine collagen made from fish skin and a functional treat for pets, which targets the Chinese market and will be launched next month.
The company employs up to 80 people and has its own research
But that means growth and revenue growth come in steps as extra capacity or new products come on stream before the planning and designing process starts all over again.
About six years ago turnover was $7 million but last year it was $29m.
With a 40% increase in capacity about to come on stream, McIntosh said this will be reflected in future turnover growth, which potentially could more than double in a few years.
NZ Merino Co takes a hard look at itself
Neal Wallace MARKETS Food and fibre
THE NZ Merino Company is reviewing its core business amid an expected forecast net loss after tax for this year of between $3.2 and $4.3 million.
In a financial update released last month, it advised shareholders that trading conditions had deteriorated due to low demand and high inventory.
It is also forecasting a loss in full year earnings before interest and tax (EBIT) for the current year of between $1.5 and $2.1m.
At its half-year result to December 31 2023, NZ Merino (NZM) reported EBIT of $3.4m and a net profit after tax of $1.8m but forecast a full year EBIT of $1m-$1.6m and a net loss after tax of $400,000 to $900,000.
Chief executive Angus Street said he is confident conditions will stabilise once excess inventory works through the supply chain.
He also believes NZM’s business model is ideally placed to meet market challenges of increased compliance, greenwashing, greenhushing and reduced consumer spending.
“While I can’t promise that
the way up will be as swift as the downturn we are now seeing, there are green shoots of demand and conditions are stabilising as that excess works its way through,” he said.
He said NZM’s job is to ensure grower’s wool is in a prime position in the regions and categories that are recovering quickly.
A strategic review of the integrated sales and marketing wool company aims to stabilise the business then restore profitability.
Street told shareholders and suppliers that stabilisation requires simplification, a focus on fundamentals, reframing its integrity systems, refreshing the brand, operating efficiently and having positive operating cash flow.
Transformation means targeting new business, thinking like a consumer brand, expanding its supply base, growing margins, optimising working capital and being a leader in wool fibre innovation.
Long-term resilience and growth will come from extending its product range, reducing customer concentration, global recognition and supply chain transparency.
One aim is to improve the cost-to-earnings ratio by growing earnings per share by 5-10% and securing a minimum return on capital of 15%.
NUTRACEUTICAL: AiOra is PharmaZen’s supplement brand that uses animal and plant byproducts to produce dietary and health
DRYER: PharmaZen freeze dryers turn low-value by-products into health and dietary
South Island store lamb values looking up again
Annette Scott MARKETS Production
ASHIFT in processor pricing has created positivity around South Island saleyards with store lamb values climbing as export values support schedule lifts.
The schedules’ upward move has ramped store lamb returns, and demand for heavier lambs in particular is clear as buyers look to cash in on promising late winter and spring schedules, AgriHQ analyst Sara Hilhorst said.
There is also the urgency to secure stock before store lamb supply drops further, despite there not being an abundance of feed available.
Hilhorst said there is good competition, particularly for 32kg and heavier male lambs with the limited supply of these pushing the market up closer to $3/kg.
Ewe lambs are not lifting at the same pace. Up to $2.80/kg can be expected on those that weigh around 32kg.
But in terms of value, agents are saying that although it has lifted it has to be noted it has come up
from the lowest of lows and now sits at a more respectable level.
Hazlett livestock manager Ed Marfell said the increase in returns has not entirely stemmed from increased demand, but from decreased supply for what would normally be required.
The lamb kill is ahead and more finishers in Southland could kill lambs rather than have to sell store. This has also meant they have needed to replace lambs.
We can’t lose sight that the good types have held in value and now there’s not a lot of selection.
Ed
Marfell Hazlett Livestock
More recently there have been farmers drafting off their tops and sending to the works with the schedule lifts and they have then returned to buy replacements.
“There’s not new buyers. Farmers are typically buying their normal number, or slightly less according to feed supply.
“We can’t lose sight that the
good types have held in value and the lighter types have been struggling over the past couple of months and now there’s not a lot of selection.
“A lamb that fits a programme is still good, bringing the lighter types into play now but off types; finer wool, carry-over ram and crypt lambs are still not so easy to move.”
Marfell said while the market may “strengthen a bit” throughout spring, any lift in schedules is not expected to be significant.
“I don’t see a huge light at the end of the tunnel. If it gets to $7, $7.50, late spring that’s where the season opens, and it only drops down from there.”
The positive may be the volume available come spring.
“Scanning is back on last year so if grass is in favour, there may be opportunity to hold on to lambs longer to get that bit more.”
Looking at the past five years the average $/kg at the same time, July 2019, was $4.10; 2020, $3.21; 2021, $4.58; 2022, $4.33; 2023, $3.56 and 2024, $2.92.
“It’s up and down and we need another dollar yet to get close [to the five-year average],” Marfell said.
TEMPERING EXPECTATIONS: Hazlett livestock manager Ed Marfell says while the market may ‘strengthen a bit’ throughout spring, any lift in schedules is not expected to be significant.
In the season to date, 250,100 store lambs have sold via the Canterbury Park, Temuka, and Coalgate saleyards. This is 10% or 26,500 less than the same period last season.
Throughput peaked early from the dry conditions in Canterbury that pushed store lambs out.
This softened pricing and since then tallies have also eased.
Meanwhile the average lamb slaughter price is now firm around $6.50/kg.
Mutton prices have also made slight week-on-week increases
this month, to $2.85- $3.05/kg.
Increased activity from export markets has flowed through to farmgate prices, as processors gain confidence in procurement competition while supplies diminish.
Hilhorst said this is promising for the winter kill, as export prices will support current schedules.
It is the European Union, United Kingdom, Japan, and the United States that are showing growth, as China continues to sit quietly in the background.
In-lamb ewes deliver on expectations
Annette Scott MARKETS Livestock
ALARGE yarding met with strong demand from an unexpectedly strong buyers gallery at the annual in-lamb ewe fair at Temuka.
There was much anticipation among vendors and livestock agents as to how the sale would track with the bigger yarding of 12,000 ewes on offer – as well as this being the first time the sale was live-streamed.
“There was a huge buyer gallery, that was not expected, and there was strong demand from people looking for a one-year ewe to carry through, lamb down and then exit the ewe and lamb,” Hazlett livestock manager Ed Marfell said.
“This saw buyers chasing the earlier lambing ewes pushing the prices for the older, good scanning, terminal sire ewes, which then reflected in the capital stock lines.”
The lack of condition in some of the capital stock lines encouraged better money on the heavier mixed age ewes, particularly those due to lamb in August.
Buyers also showed some confidence in their purchases in the hope that there is light coming
at the end of dark tunnel for the sheep market, Marfell said.
PGG Wrightson South Canterbury livestock manager Joe Higgins said the yarding was bigger than the autumn ewe fair when sheep were worth “next to nothing” and feed was available to carry them on in the hope of getting a bit more for them later.
“This in-lamb sale result is a bit of a reflector attracting the larger numbers with people bailing out a bit.
“Good scanning percentages sold at a premium and above expectation and no sheep went to slaughter, all went to be lambed down so that has to be a positive,” Higgins said.
Buyers came from Canterbury, Otago and Southland and despite parts of Canterbury still being dry, with recent rainfall and scanning underway some farmers were on the hunt to top up numbers with the bulk of the sale yarding dispersed across wider Canterbury.
Opening the sale were 5700 capital stock ewes, most of which had come from lease expiries or property sales, with many in light to medium condition with lower scanning percentages.
The top sale of the day were one- and two-shear Coopdales that scanned 214% to a Suffolk-Beltex ram and fetched $196.
Most of the capital stock ewes
We weren’t expecting people to be falling over themselves to buy as this is a new concept for us.
Noel
Hewitson TESSCO
made $120-$135 but up to $150 was paid on the best, which was Perendale that scanned at 168% to a Suftex-Beltex ram.
The best of Romneys sold from $134-$150 with older and lighter condition selling from $102-$128. Border Romneys across the board
ranged from $120-$126 while the younger Coopworths sold up to $134 and mixed age at $128. Border Leicester one-shear ewes hit $136.
Overall, sales were about $40 to $80 back on last year.
Live-streaming for the first time proved a valuable experience for the future of sheep sales, Temuka Sales Selling Company (TESSCO) operations manager Noel Hewitson said.
“While there was very little sold, the auction ran smoothly and we did have 200 people watching.
Forty of those were registered buyers.”
“A couple of smaller lines were
INTEREST: PGG Wrightson South Canterbury livestock manager Joe Higgins says the yarding was bigger than the autumn ewe fair when sheep were worth ‘next to nothing’.
sold near the end of the sale, but we weren’t expecting people to be falling over themselves to buy as this is a new concept for us and it will take off in time.”
Hewitson acknowledged the season was a particularly tough one for online bidding.
Making an accurate gauge of ewe condition without being at the rails is difficult.
“People are not confident buying breeding stock online, they like to look and poke at them in the pens, it’s not like buying cents per kilo as a cattle sale, but it will likely come to weighing sheep, like cattle, when we move more into live-streaming of sheep sales.”
Hearty final S Island wool sale of year
Annette Scott MARKETS Food & fibre
THE final South Island wool sale of the season finished on a strong note with prices across the board trending higher.
The large offering in the Christchurch sale saw all crossbred types up in price compared with the previous sale, with 90% of the wool
sold and the strong wool indicator (SWI) up 12 cents.
PGG Wrightson South Island auction manager Dave Burridge said the first of the pre-lamb shorn lots were a feature of the offering, with buyers showing plenty of vigour to secure volumes, especially for wool showing low VM readings.
The mid-micron market continued to reflect limited demand, proving challenging while stocks align the wool pipeline, Burridge said.
The best of the crossbred wool strengthened 3% with good style fleece selling at an average of $3.39/kg (clean) and average style $3.05; poorer, while strengthening 5% on the previous sale, still came in below the $3 mark at $2.85.
Crossbred second-shear good style 50mm100mm fetched an average $3.34 and lesser quality $2.85, while oddments lifted 7%, making $1.95.
The year June 2023 to July 2024 saw prices remain steady and while still needing significantly more improvement were up all the way, month on month, on the previous two years.
Fine wools remained subdued, reflecting the demand, with mid-micron fleece back 5% on the previous sale; 28-micron fleece sold for $3.75/kg and 23-micron hogget wool at $9.82. Crossbred lambs’ wool 30-31.5-micron fetched $3.05 and 31.5-micron and above $2.95. The North Island final wool sale for the 2023-2024 season had its own story.
The tone remained strong at the wool sale in Napier but, with a slight adjustment in price for some of the longer wools, the SWI fell 12 cents, PGG Wrightson North Island auctioneer Steve Fussell reported.
“Very good styled and good styled wools sold at not much difference in price particularly in the second shear areas,” he said.
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In a 98% sale clearance the better crossbred fleece sold at $2.92 and poorer $2.87. Crossbreed second shear had a better sale, as lifts up to 6% had 75mm-100mm length making $3.27 and $3.09; 50mm100mm $3.08 and $2.91; and 50mm-75mm $3.06.
As in the South Island the year monthon-month held solid, tracking ahead of the previous two years.
Given the solid auction results and high clearance rates of recent weeks, there is a hint of optimism in the wool market, looking ahead to the new wool season with an increase in urgent bidding from buyers indicating a positive trend.
Early season crossbred wool is starting to come forward and despite challenges in various regions, the quality is promising, suggesting strong support at upcoming auctions.
PGG Wrightson Wool highlighted a mixed demand scenario in Europe.
On one hand there is strong demand from the cruise industry for crossbred carpet wool, leading to significant price increases in auction prices for bellies, pieces and yellow shear. On the other hand, fine wool for fashion continues to face reduced demand as consumers become more cautious with their spending, PGW general manager wool Rachel Shearer said.
VIGOUR: PGG Wrightson South Island auction manager Dave Burridge says the first of the pre-lamb shorn lots were a feature of the offering with buyers showing plenty of vigour to secure volumes.
Bright’s Synlait loan terms fair, report advises
SYNLAIT shareholders can buy time for essential capital restructuring by approving the $130 million loan from cornerstone shareholder and Chinese state investor Bright Dairy, an independent report has advised.
The Northington Partners report says the terms of the Bright loan are concessionary and therefore fair to the minority shareholders.
Bright is not allowed to vote its 39% shareholding, and 19.8% shareholder and major customer a2 Milk Company has not yet indicated how it will vote on approving the loan.
The vote will be held on July 11, shortly before Synlait must repay $130m of senior bank loans, on July 15.
In an independent appraisal report commissioned by the Synlait board, Northington summarises the financial history
of Synlait before assessing the terms of the Bright loan and possible consequences.
Synlait began operations at Dunsandel in 2008 with Dryer 1 and an anhydrous milk fat plant.
Bright Dairy acquired 51% of Synlait as part of a capital raise in 2010, used for Dryer 2 at Dunsandel, capable of infant formula powder bases.
From 2012 onwards that plant has supplied a2 Milk Company with infant formula base and a2MC has taken a 20% shareholding.
Dunsandel holds the Chinese government manufacturing licence for Chinese-labelled infant formula Stages 1, 2 and 3.
The Synlait initial public offering and listing was in 2013, extended to raise about $110m for Dryer 3, a lactoferrin plant and a blending and consumer packaging plant.
Bright’s shareholding was diluted to 39%.
In 2016 Synlait raised another $98m with an entitlement offering, for debt repayment, a liquid packaging plant at Dunsandel to
serve Foodstuffs South Island and the green field build at Pōkeno, South Auckland.
Pōkeno became operational in 2019 and was extended to include plant-based products as well as dairy based.
The domestic dairy foods company Dairyworks was purchased in 2020 and has been unsuccessfully advertised for resale at $120m since June 2023.
Synlait is committed to matching the Fonterra milk price, plus incentive payments that have averaged 3% premium over the past nine years.
The peak milk pool in 2022-23 was 285 farms (220 in the South Island and 65 in the North Island) and has dropped to 274 farms in the most recent season.
The company announced that a significant majority of its supply farmers have submitted cessation notices, but the notice period is two years and will not take effect until mid-2026.
“Rebuilding supplier confidence and securing the withdrawal of these cessation notices is clearly going to be a key element of Synlait’s recovery plan,” the Northington report says.
In four of the past seven financial years Synlait has made $130-$155m earnings before interest, tax, depreciation and amortization (EBITDA) but in FY20 that shrank to $50m. In FY23 it was $81m and in FY24 it is forecast to be not much more than $45m.
Over $1.5 billion has been invested in capital works since inception, the peak year being $340m in FY19 for the Pōkeno build.
Over the past decade Synlait has raised $300m in new equity, and has contributed meaningful cash earnings, but its current total debt stands at $560m.
Northington says Synlait and its advisers are working on an equity raise for later this year to revise its bank facilities and
NORTH ISLAND
COMMITMENT:
Synlait is committed to matching the Fonterra milk price, plus incentive payments that have averaged a 3% premium over the past nine years.
pay back $180m of unsecured subordinated bonds due in December.
Bright Dairy said it will support the equity raise and therefore its shareholding is likely to increase. That will require shareholder approval under the NZX listing rules and takeover code.
An alternative to the capital raise might be sale of Pōkeno and the central Auckland packaging facilities, valued around $340m, but that would also require shareholder approval.
Northington advises that the terms of the $130m Bright loan are concessionary and therefore fair to shareholders other than Bright.
While the loan will have no immediate effect on Synlait’s debt position, because it will be used to repay senior bank loans by July 15, it will provide more time for recapitalisation.
If the loan is not approved Synlait will likely go into voluntary administration or receivership.
WINTER LAMB CONTRACT
AFFCO recently released a North Island winter lamb contract. This contract is for the period of supply 11th of August to the 5th of October 2024. Pricing ranges from $7.20/kg to $7.60/kg for an in spec lamb. K I W I
T O T H E
T’s and C’s - This contract is a limited volume offer and is open to our existing loyal suppliers in the first instance. However, any spare weekly space will also be allocated to new AFFCO suppliers. They will need to be NZFAP accredited and agree to the terms of the contract. If you are interested in this offer then contact your local AFFCO livestock agent.
Hugh Stringleman NEWS Dairy
Celebrating New Zealand farmers’ leadership in sustainable irrigation, waterway protection, and environmental stewardship.
Over $24,000 worth of prizes up for grabs including international irrigation study tour travel vouchers
Primary Industries NZ Awards announced
Staff reporter PEOPLE Awards
THE best of New Zealand’s primary sector has been recognised at the sixth annual Primary Industries New Zealand Awards at Wellington’s Tākina Convention Centre.
Among the nine categories of winners were a hero of Cyclone Gabrielle recovery efforts, an app that opens up a world of farming knowledge, and a professor with a passion for the environment.
The Rural Hero of the Year is Alastair Macgregor, a retired farmer who demonstrated his practical skills to great effect with the Farmy Army, helping Hawke’s Bay landowners slammed by last year’s cyclone.
Away from his home four or five days at a time and staying in a school camp, he put in well over 200 hours helping restore fences in Tutira and Waipukurau.
Julian Raine, an innovator and entrepreneur in horticulture and dairy, took out the Outstanding Contribution award.
His leadership in the primary industry and commitment to giving back, both nationally and in his Nelson community, including involvement in the Waimea Community Dam project, spans three decades.
The primary industries Champion is the late Dr Warren Parker. His outstanding academic career, including 18 years as professor of Agribusiness and Resource Management at Massey University, included involvement at the highest levels of primary sector governance.
The former Pāmu chair had a passion for leaving the environment better for future generations, and sharing his wisdom and knowledge as a mentor.
(V&B), creators of bespoke, madein-Aotearoa jackets using 100% New Zealand wool.
Williamson serves as a board member for Rural Women NZ and runs a range of initiatives to support women to lead fulfilling rural lives.
The former Pāmu chair had a passion for leaving the environment better for future generations, and sharing his wisdom and knowledge as a mentor.
New Zealand Ethical Employers (NZEE), led by Tanya Pouwhare, is the winner of the Team and Collaboration award. Founded in 2020, NZEE aims to enhance employment conditions across all workplaces in New Zealand’s primary industries.
A voluntary member-based organisation with a board and core team of three, NZEE now has over 50 company members who collectively employ more than 36,000 staff.
The judges of the 2024 Food,
HONOURED: Retired farmer Alastair Macgregor was named Rural Hero of the Year for his efforts in assisting Hawke’s Bay landowners slammed by last year’s cyclone.
Beverage and Fibre Producer award were impressed by Southern Pastures/Lewis Road Creamery’s focus on refining on-farm efficiencies, improving livestock outcomes, and mitigating environmental impact.
They now operate 20 farms, with premium products in most supermarkets and a market presence in the United States, achieving notable sales growth and international awards. Their innovative practices include introducing 350 tonnes of earthworms and dung beetles to improve farm outcomes and soil health.
The ESR Groundwater Team and DairyNZ took out the Science & Research award. The judges were impressed by ESR’s simple, scientifically based approach to addressing nitrates in waterways.
Their denitrification bioreactor solution using woodchips showed promising results, removing half a tonne of nitrogen per year at a pilot site, demonstrating large-scale potential to clean water on farms, that farmers can easily implement.
The Farm 4 Life Hub, a dairy education platform with over 4000 people using the app to learn from 1200 on-demand videos in the tutorial library, won the Innovation and Technology award. Its operators’ ethos is bringing knowledge to anyone who has the mindset and willingness to learn.
The 300 hectare dairy farm of Jane and Damian Roper at Alton in South Taranaki is living proof that dairy farming and biodiversity can exist side by side. The Ropers, who have 20 years’ environmental leadership in their community, are winners of the Guardianship and Conservation (Kaitiakitanga) Award.
Their successful farming business funds their passion for the environment – retiring land for native biodiversity habitat, restoring Lake Ohurai, and leadership on community projects to bring back kiwi to the Tarere Conservation Park.
The PINZ 2024 Emerging Leader packs a lot into her day. A mortgage adviser who supports rural people into their first home, Claire Williamson founded and is the main force behind Velma & Beverley
RECOGNISED: Claire Williamson won the Emerging Leader award at the Primary Industries New Zealand Awards.
The 2024 Primary Industries Awards winners:
Emerging Leader Award: Claire Williamson, Velma & Beverley
Outstanding Contribution to Primary Industries Award: Julian Raine, Dairy & Horticulture Farmer/Grower
Science & Research Award: ESR Groundwater Team and DairyNZ
Technology Innovation Award: John Schol, Farm 4 Life HUB
Food, Beverage & Fibre Producer Award: Southern Pastures/Lewis Road
Creamery
Guardianship & Conservation Award (Kaitiakitanga Award): Jane & Damian Roper, farm owners
Team & Collaboration Award: Tanya Pouwhare, New Zealand Ethical Employers
Rural Hero of the Year: Alastair Macgregor, Farmy Army
Champion Award: Dr Warren Parker (Posthumous), Pāmu Farms of New Zealand
Pāmu’s working dogs go to university
MORE than 200 working dogs from Pāmu farms around the country are providing their DNA to Massey University for a project to protect the future of the New Zealand working dog breeds.
The project, led by Professor Matt Littlejohn at Massey’s AL Rae Centre for Genetics and Breeding, seeks to link working dogs’ DNA to their health and performance.
Co-funded by the Ministry for Primary Industries through the Sustainable Food and Fibre Futures fund, the project is supported by Pāmu, Focus Genetics and other industry partners.
The first phase of decoding what New Zealand working dogs are made of is in the bag, with blood samples, cheek swabs and detailed questionnaires on each dog gathered for analysis.
While genetic work has been carried out on many pet breeds of dogs around the world, this is the first time New Zealand’s unique working dogs have been mapped.
Dr Melissa Stephen, senior research officer at Massey University, said that there are already known medical conditions
showing up in some huntaway and heading dogs.
For example, many shepherds have expressed an interest in conditions like twisted gut in huntaways, and if animals genetically susceptible to such problems can be identified, this
information can help breeding decisions in the future.
“Having the genetic information from screening can help farmers breed from the best of the pack, and avoid passing on health conditions to the next generation of puppies,” she said.
There are two parts to the project. The first uses genome sequencing and requires blood sampling of the dogs. This approach gives a very high resolution of DNA, which means “every single rung on the DNA ladder” can be analysed for hidden problems.
“This means that breeders of working dogs can have the information they need on a dog that looks healthy but carries a recessive gene, to make sure they aren’t bred with another dog that carries the same recessive gene that will then cause problems in their offspring.
“The other thing that we can look at with the DNA sequencing results is how much inbreeding has been going on, and to quantify the risks associated with this,” Stephen said.
Thirteen Pāmu farms offered their dogs for blood and cheek swab samples for the project. Along with the samples, photos and measurements of the dogs were taken and shepherds were asked to fill out a questionnaire for each dog.
Seven dogs from Mt Hamilton near Te Anau were among the first to contribute to the study.
Pāmu farm manager Thomas Scanlan said he was keen to be involved as he was really interested to find out more about
his dogs, as well as to be part of improving the overall health of New Zealand working dogs in the long run.
Pāmu chief executive officer Mark Leslie said Pāmu has a role in research and development.
“With our scale and geographical spread, we are perfectly positioned to support Aotearoa New Zealand science that benefits the wider sector and makes commercial sense. Innovation is the way forward to meet challenges and ensure farming excellence. As vital parts of the farm team, working dogs are a big investment in money, time, and training, and knowing the genetic profile of working lines will potentially have big advantages for shepherds and their dogs.”
Over the next couple of years, the programme aims to get more than 2000 cheek swabs from more working dogs. Massey is partnering with Ancestry.com to provide the genotypes for these dogs. This information will be used to look for genetic links with working performance, the incidence of known genetic disease variants, as well as to better understand the heritage of our dogs.
“We are keen to use these tools not only to help ensure healthier puppies, but also to help with the long-term protection of these breeds,” said Stephen.
TALE OF THE TAPE: Henry gets measured by NS Vet Jill MacGibbon on Waipuna farm in Southland.
From the Editor
An academic in Red Bands
Craig Page Deputy editor
to someone who is no longer around to accept the accolade.
Dr Warren Parker, former chair of Pāmu, was recognised for his lifetime of dedication to the primary sector.
Parker died suddenly in December 2023.
His award entry was submitted by Pāmu Farms of New Zealand in collaboration with a who’s who of the industry, the many people who had worked with Parker over the years.
knowledge and his understanding of the complex issues of carbon and emissions was second to none. He had an uncanny ability to turn confusing issues into simple explanations.
Despite his high-profile roles, those who knew Parker best said he had the rare ability to relate to anyone and everyone.
Letters of the week
Don’t dumb down debate
Caroline Jones Karamea
WITH regard to “View from other side of ‘peak milk’” (June 17): as a farmer’s wife I find the reference to “milk per cow” to be a false measure.
We farm for profit, not volume. We could increase our per-cow result, but that would involve buying in feed. This would be an added cost, and may result in our purchasing, for example, $100 of supplement per cow for a result of $5 extra of milk per cow.
At a return of 5%, we would be better off repaying debt or leaving the money in a bank. And that is without taking into account the GHG emissions, not only from growing the crop but also trucking it to Karamea, 100km north of Westport.
Freight to remote areas is not getting any cheaper. A 5% increase in milk may cover the cost of feed and transport, but only if we then don’t take into account paying for GHG emissions on the fuel to make and transport any supplements.
Or don’t care about GHG emissions that arise from our farm business but are not directly cow related.
Farming is not as simple as more milk per cow. What is the total GHG emission per cow including all inputs, not just those directly from the cow, from our ‘strong peers’ compared with New Zealand? What is their profit per cow?
While we usually like our chosen job of dairy farming, we do need to farm for profit. Please do not dumb down the debate to solely milk volume.
EDITOR
EVERY year the Primary Industries New Zealand Awards throw up outstanding winners.
Farmers Weekly is published by GlobalHQ, PO Box 529, Feilding 4740. New Zealand Phone: 0800 85 25 80 Website: www.farmersweekly.co.nz
Bryan Gibson 06 323 1519
bryan.gibson@globalhq.co.nz
EDITORIAL
It is testament to the hard work that goes on within the industry, much of it well away from the media spotlight.
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Neal Wallace 03 474 9240 neal.wallace@globalhq.co.nz
In fact, the most difficult job for the PINZ judges must be deciding on who, among the many worthy candidates, deserves the awards most.
Colin Williscroft 027 298 6127 colin.williscroft@globalhq.co.nz
This year was no different.
Annette Scott 021 908 400 annette.scott@globalhq.co.nz
Hugh Stringleman 09 432 8594 hugh.stringleman@globalhq.co.nz
Gerald Piddock 027 486 8346 gerald.piddock@globalhq.co.nz
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Nigel Stirling 021 136 5570 nigel.g.stirling@gmail.com
PUBLISHER
Steve McLaren 027 205 1456
Auckland/Northland Partnership Manager steve.mclaren@globalhq.co.nz
Jody Anderson 027 474 6094
Alastair Macgregor, a retired farmer, was named the Rural Hero of the Year after demonstrating his practical skills to great effect with the Farmy Army, helping Hawke’s Bay landowners slammed by last year’s cyclone. Julian Raine, an innovator and entrepreneur in horticulture and dairy, took out the Outstanding Contribution award.
Dean Williamson 027 323 9407 dean.williamson@globalhq.co.nz
Parker had a glittering CV, holding many key positions such as chief executive of Scion (Forest Research Institute) and Manaaki Whenua – Land Care Research, and chief operating officer of AgResearch. He held board roles on Genomics Aotearoa, Farmlands Co-operative Society and Predator Free 2050. He was chair of the Forestry Ministerial Advisory Group, the NZ Conservation Authority, and had recently been appointed independent chair of Quayside Holdings.
Waikato/Bay of Plenty Partnership Manager jody.anderson@globalhq.co.nz
Donna Hirst 027 474 6095
ISSN 2463-6002 (Print) ISSN 2463-6010 (Online)
He was just as comfortable chatting with a farm manager over a cup of tea as he was advising at the highest levels of primary sector governance.
Debbie Brown 06 323 0765
Noticeboard/Word Only/Primary Pathways classifieds@globalhq.co.nz
He was just as comfortable chatting with a farm manager over a cup of tea as he was advising at the highest levels of primary sector governance.
Grant Marshall 027 887 5568 Real Estate Partnership Manager realestate@globalhq.co.nz
Andrea Mansfield 027 446 6002 Salesforce director andrea.mansfield@globalhq.co.nz
Perhaps more importantly, away from the boardrooms Parker was held in the highest regard by those at the coalface of the sector.
PRODUCTION
Lower North Island/international Partnership Manager donna.hirst@globalhq.co.nz
“Warren knew the primary industries at all levels,” said Mark Leslie, CEO of Pāmu.
Grant Marshall 027 887 5568
South Island and AgriHQ Partnership Manager grant.marshall@globalhq.co.nz
Javier Roca 06 323 0761
But the most poignant award handed out in Wellington last week – the Champion Award, sponsored by Farmers Weekly – went
Livestock Partnership Manager 027 602 4925 livestock@globalhq.co.nz
Parker held a PhD in animal science and had previously been a professor of Agribusiness and Resource Management at Massey University, where he spent 18 years in various roles including supervising the 9000 SU Riverside Farm in Wairarapa.
Lana Kieselbach 027 739 4295 production@globalhq.co.nz
“He was a unique individual who encouraged others and worked hard on many things important to New Zealand agriculture – often the difficult tasks but also the right ones. He exemplified the Pāmu values of grounded, bold, shoulder-toshoulder and genuine.”
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Leslie said Parker will be remembered for his natural leadership, insightful brilliance, candour, conversations on-farm, and kindness.
But Parker was perhaps best labelled as the “academic in Red Band gummies”.
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Parker had an encyclopaedic agricultural
A worthy champion and a recognition that Parker’s family, friends and colleagues should be proud of.
Send your letter to the Editor at Farmers Weekly P.0. Box 529, Feilding or email us at farmers.weekly@agrihq.co.nz
In my view ...
Poplar choice is the logical one, as well
Marie Taylor
Taylor is founder and co-owner of Plant Hawke’s Bay, a revegetation and poplar nursery near Napier
YOU’D be hard pressed to find a better reason to protect pastoral soils than Cyclone Gabrielle.
Hundreds of millimetres of rain in only 24 hours doused Gisborne and Hawke’s Bay hill country in February 2023, with hillsides sliding into oblivion.
Where trees had been left to their own devices and not managed – say wilding trees on steep slopes above rivers – there was a huge amount of damage.
And there’s no denying that tree debris from these river corridors made flooding much, much worse.
But looking outside of
those river zones, on pastoral landscapes in medium to steeper hill country, the slipping damage was significantly reduced where trees had been planted and managed.
Land slipped outside the planted areas – often above – but in the majority of cases erosion was significantly reduced by the presence of trees.
A major research project published in 2008 by AgResearch found poplars, willows and eucalypts reduced slips by an average of 95% compared with slips on unplanted sites. This work was on slopes of around 27 degrees.
“Spaced trees dramatically reduced the incidence and severity of soil slippage on erodible slopes, and they were even more effective when their diameter at
breast height exceeded 30cm,” the researchers found.
The researchers looked at 65 sites in Manawatū and Wairarapa after storms in February 2004 and July 2006. Most of these sites (53) had poplars planted, while six had willows and six had eucalypts.
They recommended a 13-18m spacing as being very effective. That’s 30 to 60 stems a hectare.
If this spacing is reduced to a spacing of 10m apart, the carbon box is also ticked with poplars.
Another study, by Hicks and Crippen, looked at vegetation after the Manawatū-Rangitikei storm in February 2004. This data was used later to show that spaced trees possibly reduced erosion by 34% compared with under open pasture.
It’s the incredible root network that poplars grow which is the key to increasing slope stability.
A recent Gisborne field trial showed a three-year-old Veronese poplar with a root system about 8m wide and 5-6m deep. The scientists said out on the hills it would take eight to 10 years to reach this size.
Another paired catchment study at Pakuratahi, just north of Napier, looked at sediment loss in a pastoral landscape, and in a forested landscape. This work, which is about to be repeated, and another Tutira study showed sediment loss is 1.5 to 17 times greater on land without trees.
With Hawke’s Bay alone having 250,000 hectares of land identified
STABLE: Marie Taylor, founder and co-owner of Plant Hawke’s Bay, says with so much land identified as erosion prone, poplars are a logical choice for farmers who want to keep farming.
as erosion prone, poplars are a logical choice for farmers who want to keep farming.
They also have a range of other benefits: providing shade and shelter, and as a fodder source during dry periods.
An AgResearch trial in central Hawke’s Bay measuring temperatures and grazing activity of Angus cows found they grazed for another 30 minutes a day when offered shade. Their body temperatures reduced and their condition improved if shade was present in their paddocks.
The key to successfully integrating poplars into pastoral landscapes is to protect them well from cattle when the trees are young. Cattle damage is a main reason why newly planted poplars die.
Traditionally the main method of planting poplars has been to ram in large heavy poplar poles and cover them in a sleeve.
However, rooted cuttings are a good alternative, particularly
We have to get serious about
Gord Stewart Stewart is a sustainability consultant with a background in environmental management and economics
INDEPENDENT Kiwi scientists suggest that some 800,000 New Zealanders have water supplies with potentially hazardous nitrate levels. Rural residents on bore water supplies are particularly at risk. Farming leaders tell us there’s not a problem here. Best you decide for yourself.
A high level of nitrate in drinking water was first deemed a risk for “blue baby syndrome”, a condition where transport of oxygen in the baby’s blood is inhibited. This led the World Health Organisation, in 1958, to establish a maximum allowable value (MAV) for nitrate in drinking water. This level was adopted by the Ministry of Health, and has remained unchanged since then. Research over the years has shown other possible risks of high nitrate levels, including miscarriage, pre-term birth, low birth weight and some birth
defects. (Water high in nitrate is a further risk for formula-fed babies.)
This has led public health scientists to suggest that a safe level of nitrate in drinking water for pregnant women is less than half of the currently accepted MAV. The New Zealand College of Midwives supports this lower limit.
Public health experts in the know say the current MAV is hopelessly out of date, especially as it does not take into account chronic illnesses such as cancer.
An oft-cited Danish study, reported in 2018, followed 2.7 million people over a 23-year period.
Accounting for other risk factors, the study found an increase in colorectal cancer risk with a nitrate level in drinking water less than a tenth of the current MAV.
The 800,000 figure noted above is from a 2022 study reported in the journal Environmental Research.
The same analysis said that nitrate could be attributable to an additional 100 colorectal cancer cases a year and 40 deaths in New Zealand
But the scientists also fairly point out that some studies show a weak association or no association at all.
Examining the health impacts of nitrate is particularly difficult when multiple risk factors are at play.
Colorectal cancer is a perfect example. Known risk factors include obesity, alcohol, red meat, physical inactivity, processed meat and smoking.
Research by leading Kiwi scientists, reported in the Australian and New Zealand Journal of Public Health, confirms that nitrate in drinking water should now be on the list.
This has been corroborated in recent work done by scientists overseas.
All of this is of great relevance for New Zealand.
Synthetic nitrogen fertiliser (typically as NO 3 or nitrate) applied for plant growth but not taken up by the plants can leach from the soil, polluting groundwater, rivers and drinking water.
In 2021, Stats NZ, our official data agency, reported a 600% increase in synthetic nitrogen
on slightly drier sites, and where hotwires can be used to exclude stock.
Rooted cuttings are lighter to move around the hills, easier to plant, and they cost less than poles. They can also be planted over a wider period of time than poles.
A combination of sleeves and hotwires is a good way to protect these trees.
Well-managed poplars are a cost-effective way to keep pastoral soils on hill country and enable farming to continue.
MORE: www.planthawkesbay.co.nz
The study finding a 95% reduction in slips was an AgResearch Client Report from June 2008, The Effectiveness of Space-Planted Trees for Controlling Soil Slippage on Pastoral Hill Country. It was written by Douglas, McIvor, Manderson, Todd, Braaksma and Gray. It is available on the NZ Poplar and Willow Research Trust website: www.poplarandwillow. org.nz/documents/effectiveness-of
nitrates
fertiliser use over the past 30 years. This has allowed dairy cow numbers (their excreted urine is an issue as well) to increase from 3.4 million to 6.3 million over the same period.
Dr Alistair Humphrey, former medical officer of health for Canterbury, notes that New Zealand has a relatively high rate of colorectal cancer by world standards. Locally, the highest rates are clustered where people source their water from private bores – rurally and on farms.
The global agrichemical (fertiliser) market is worth nearly $200 billion annually.
Its growth has been aided by encouraging farmers to pour excess nitrate on their paddocks. Here in New Zealand, the two major fertiliser companies are farmer-owned co-operatives. The farming community is, thus, both a cause of the problem and a victim of it.
What to do as an individual? For a start, don’t take any chances.
If you are on a household bore, especially if you live near dairy farming, get your water tested.
The Ministry of Health
recommends regular testing – at least once a year – so you can track changes over time.
If nitrate levels are unacceptably high, consider rainwater as an alternative source for drinking. There are also filtering systems that target nitrate, although they are expensive.
A revision downward of the MAV is clearly warranted. The government also needs to fund more research on the issue and ensure systematic testing occurs. The cap on nitrogen fertiliser application to land should be set at a level that could actually make a difference (some say this level should be zero). It then needs to be properly monitored and enforced.
Livestock farmers need to think long term. Moving to regenerative and organic farming, diversifying away from livestock, or converting entirely to plant-based agriculture where possible are all steps in the right direction.
Such moves would be a win for the environment, for the longterm viability of farming in New Zealand, and for the health and wellbeing of farm workers and their families.
TAKING HOLD: Steve Hough, Chris Phillips, Richard Hemming, Suzanne Lambie and Mike Marden check out the root structure of a Veronese poplar tree.
PINZ a great showcase for the sector
Alternative view
Alan Emerson
Semi-retired Wairarapa farmer and businessman: dath.emerson@gmail.com
ISPENT two days last week at the Primary Industries Summit and Awards in Wellington. I’d been to the previous four but this was certainly a cut above the previous events.
Four hundred were at the conference. They came from all sectors involved with agriculture, from farmers to horticulturalists, foresters and fishers to advisers, consultants, service industries, fertiliser co-ops, banks, insurance companies and scientists. It was good to see.
Federated Farmers and Brightstar are to be congratulated on the programme. It touched on all the major issues facing agriculture today.
The first speaker up was Minister of Agriculture Todd McClay, who has been impressive in the portfolio. He described the conference as “one of the most important events on the NZ farming calendar” and I agree.
He boasted about the coalition government having “the strongest agricultural team in the history of New Zealand” and he has a point. Farmers who are cabinet ministers include Andrew Hoggard, Mark Patterson and Nicola Grigg. As important, they represent all three parties of the coalition.
There are also farmers both running and participating in key Select Committees. They include Mark Cameron, Miles Anderson and Mike Butterick.
That’s important as the chance of misunderstanding or misrepresentation is minimised.
Most of those politicians, including Labour’s Jo Luxton, were at the summit.
McClay also told us that the Primary Production Select Committee was adopting a bipartisan approach to give farmers certainty going forward. Luxton reinforced that sentiment.
It is positive for the sector.
Another key message from the McClay address was that the government was focused on solutions and on production efficiency and that we need better legislation and not more of it. You can’t argue with that.
Ministry for Primary Industries director-general Ray Smith gave an excellent summary of the current state of agriculture and where we’re headed. Although the immediate future isn’t great there’s light on the horizon, which will please farmers. The MPI also believes that we can increase exports by 20% to $66.6 billion by 2026.
There was a panel discussion on local government that I found fascinating. It involved the chairs of three regional councils along with Feds board member and local government spokesperson Sandra Faulkner.
View from Vietnam
From the ridge
JANE and I recently spent a wonderful and fascinating three and a half weeks in Vietnam as we made our way to Amsterdam to catch up with our middle son who works and lives there with his partner. That first day in Ho Chi Minh City (HCMC) is quite a revelation, as any Kiwi who has visited will tell you.
You must see the volume of traffic to believe it.
We 5 million New Zealanders spread ourselves around 268,000 km2, whereas the 98 million Vietnamese cosy up in their 332,000 km2.
They have about 60 million scooters and motorbikes and it feels like the 10 million residents of HCMC have more than their fair share.
At some point on your first day, you can no longer just keep circumnavigating your own block but must grasp the nettle and determine to cross the road.
It is wall-to-wall scooters and cars, and they don’t stop for anything.
With your nearest and dearest gripping your arm, you step from the relative safety of the pavement into this ceaseless and relentless flow of traffic. Drummed into your brain by every tourist that has gone before is that you walk evenly and do not falter.
I found looking into the eyes of this torrent of oncoming humanity worked well and much like the Red Sea parting for Moses, they deftly and subtly changed their bearing and magically flowed around us as we crossed.
We seem to be hidebound with our legislation and legislative approach.
When elected, the coalition government said there was regulation it was going to repeal and yet most regional councils are continuing with the old legislation.
While some complained about a lack of signals coming out of the government, I believe the signals are loud and clear.
We were further informed that there has been no real change to local government legislation since 1989, which is an indictment on all political parties.
The problem needs fixing and sooner rather than later. Listening to the regional council chairs I became convinced that unitary authorities are the way to go, thereby reducing one level of local government.
NZ is the size of a small international city. Having central, regional and local government is ridiculous in my view.
Prime Minister Christopher Luxon read the audience well and gave an in-depth and welltargeted address.
He told us there are early signs visible for our economic recovery with inflation continuing to fall and interest rates coming down.
Going forward we needed to increase productivity, produce a world class education system, have modern, reliable infrastructure combined with a lot less regulation.
In addition he was committed to GE, as am I.
The prime minister was followed by our chief trade negotiator, Vangelis Vitalis, who is always impressive. We heard about how the jungle is growing back. He outlined the problems, which are
considerable, and then outlined the Ministry of Foreign Affairs & Trade strategy for managing them. We are fortunate having a negotiator of his calibre on Team NZ.
The panel discussion on our trade with India was interesting. I’d be hopeful it happens but it won’t be tomorrow.
A key message from McClay was that we need better legislation and not more of it. You can’t argue with that.
What inspired me was the variety and depth of talent we have in NZ as showcased by the summit. Kerry Worsnop is young, intelligent and energetic. I’m sure we’ll hear a lot more of her. The chief executives and the Feds board members who addressed the conference came across as competent and committed. The politicians came across as supporting the sector. We’re in good hands.
The Primary Industry Awards are a spectacular showcase of our sector and for the past five years I’ve had the honour of being one of the judges.
It is an extremely rewarding, albeit stressful experience. This year the entrants were the best they’ve been. That made deciding the winners and losers extremely difficult.
The dinner featured beef and lamb supplied by Silver Fern Farms. I’ve eaten a lot of lamb over the decades but that served at the dinner was as good as it gets. So a great showcase for the sector. I’d recommend that you attend next year.
Over those weeks, the only injuries I sustained were finger bruise marks on my right arm. It would not be uncommon to see three and sometimes a family of four on a scooter and all manner of goods including livestock being transported.
There appeared few road rules, but it worked well.
Their death rate per capita is half that of ours, so who am I to criticise?
There is a lot of rubbish about, although as you head north towards the more communist adhered regions, there is less, and the infrastructure is better. Is this because of a different mindset or perhaps Hanoi doesn’t fund the south as well?
We were in Vietnam on April 30, which is Reunification Day, and this year marked the 49th anniversary of the fall of Saigon in 1975 and the end of the Vietnam War. Correction, the end of the American War, as they quite rightly refer to it; it had followed on from the French War and when the Chinese foolishly decided to have a lick in 1979, they call
that, “the war against Chinese expansionism”.
The Vietnamese are polite and friendly but think twice about invading them – they are proud and tough bastards.
We were keen to see the impressive Ho Chi Minh in his funeral splendour in Hanoi but sadly that day he was not having anyone to visit.
He had requested a simple
cremation, but his devoted and appreciative successors over- ruled his wishes and built him a massive mausoleum where he lies except for an annual excursion to Russia for a bit of sprucing up.
It doesn’t feel communist because rampant capitalism is everywhere you look as folk fill every niche to make a living.
Continued next page
TARGETED: Prime Minister Christopher Luxon read the Primary Industries Summit audience well and gave an in-depth and welltargeted address, says Alan Emerson.
TWO-WHEELERS: There are 60 million scooters and motorbikes in Vietnam, says Steve Wyn-Harris, ‘and it feels like the 10 million residents of Ho Chi Minh City have more than their fair share’.
Photo: Wikimedia Commons
Steve Wyn-Harris Central Hawke’s Bay sheep and beef farmer: swyn@xtra.co.nz
To good to be true
Eating the elephant
David Eade
David Eade is a Whanganui sheep and beef farmer with a finance background, specialising in investments within the primary sector. eating.the.elephant.nz@gmail.com
ASIDE from the catchups, novel ideas and comfort food, Fieldays offers the chance to practise a skill that Kiwis aren’t usually known for – haggling.
The haggle has an all-toofamiliar rhythm to it. Features are communicated and the value is made obvious, before the allimportant point of price comes up.
Salespeople, armed with freshly printed price lists, fire Fieldays specials in every direction – 5% here, or maybe a push to 15% with flexible payment terms.
This year, I stepped up the art of the haggle, moving from friendly Fieldays salespeople to the most notorious hagglers of them all: car dealers.
I was toying with idea of a new electric car (EV) when I walked onto the lot.
The only footware I’m travelling with are an old pair of sneakers with a small hole in them, which I plan to wear out and then discard.
I was sitting at a table having a beer when before I knew it a fellow had my shoe off and was wanting to fix the hole. We had a tussle over the shoe before I got it back on, unrepaired.
After that, I always had my eyes out for the shoe repair men. They could spot the little hole from across the street and were always
The dance started. They went straight for the heart by outlining why an EV was good for me, the family and the environment. Once they could see they had won my heart, they went for my head by throwing features everywhere.
Then came the all-important point – price. Rather than the token 5% off, this line of cars had close to 50% off the recommended retail price.
Adrian Orr’s monetary policy is working as intended in our household, so we are in no position to actually purchase a new car this year – but the 50%-off deal made me question raiding the kids’ piggy bank to make something work.
Off the lot, I started thinking about the many questions that lie behind a discount that big. On the surface, it looks as though a combination of factors have contributed to the decline in EV sales – a tight economy, the looming introduction of newer tech such as hydrogen cars, or a late arrival of cars now clogging lot yards.
When I dig slightly deeper, however, the sale of electric vehicles paints an interesting picture of the current state of New Zealand.
One year ago, when I was penning the first article for this column, EV sales were at record highs. Close to 26,000 new EVs were registered over the course of 2023, which is equivalent to somewhere between 25% and 33% of all vehicles registered in New Zealand.
Fast-forward to today, and sales have flatlined, with only 2000 EVs being added during the first five months of 2024 – less than 4% of
undoing my laces and fighting to fix the hole that I needed to get worse so that I felt my old companions had finally fulfilled their purpose and could be laid to rest. I’m still wearing them as I walk around Europe.
United States Air Force general Curtis LeMay was a great fan of bombing the hell out of other countries, hence the nickname “Bombs Away LeMay”. He threatened to bomb Vietnam back into the Stone Age and during the American War, the US dropped 5 million tons of bombs on Vietnam or more than twice the amount the
the New Zealand “new” fleet. Looking at sustainability more broadly than the current price of an EV, it strikes me that the mood for environmental policy intervention across New Zealand might have changed. The fall in EV
The sale of electric vehicles paints an interesting picture of the current state of New Zealand.
sales correlates closely with two big moves from the government: the removal of the clean car discount and the announcement that agricultural emissions will remain outside of the Emissions Trading Scheme.
The time of clean car discounts and He Waka Eke Noa represented somewhat of a first innings of incentivising change to improve the environment. A first go that may have been directionally correct, but impractical to implement when the theory met reality.
This second innings has a different feel to it. It seems to be focused on finding solutions that are built on private investment, rather than relying on dished-out, publicly funded incentives. In this innings, purchasing an EV must make sense even when the clean car subsidy is removed.
I have sat through many presentations recently focused on solving environmental problems; they all end the same way – we know what to do, we just need the funding to achieve it.
The blocker to funding in a lot of cases is the fact that these
US military dropped in all of World War II. As well as 400,000 tons of Napalm and 19 million gallons of herbicides for good measure.
PATTERN: The fall in EV sales correlates closely with two big moves from the government, says David Eade: the removal of the clean car discount and the announcement that agricultural emissions will remain outside of the Emissions Trading Scheme.
solutions rely on someone, usually the government, having to eat the loss to achieve the greater environmental good. The appetite to do that has clearly changed.
This government is refusing to step in as the funder of last resort – hoping instead that we have reached tipping points where the financial rationales and environmental outcomes have finally lined up.
Its hope is that the sales pitch from the EV salesperson is strong enough for me to open my wallet without the clean car discount, or that the food & fibre sector can outsmart the methane problem through on-farm efficiencies and
consequences flowing down the generations from the chemicals.
Recovering from this and the communist mismanagement meant that by 1990, with a per capita gross domestic product of $98, Vietnam was the third poorest country in the world.
It was receiving a lot of aid and importing rice.
It then followed China’s lead and rapidly moved to a market economy.
some new tech just around the corner.
We’ll find out shortly with the release of the coalition government’s climate plan. As for the car, this stellar deal was picked up by my mother-inlaw, who already has an abundance of rooftop solar. Adding a wellpriced electric vehicle only makes the cost savings more compelling for her. A few panels tipped her decision into the financialenvironmental sweet spot, without the need for the taxpayer to eat a cost.
Our second innings will need a lot more rational solutions like this one.
With one of the world’s highest growth rates, it could become the 10th biggest economy by 2050.
No longer importing rice, it is the third biggest exporter behind India and Thailand.
This is an example of a remarkable turnaround and why we are building improved relationships with this remarkably resilient nation.
This continues to cause suffering and deaths through unexploded ordinance and the genetic
It’s now booming and feels like it despite the world’s recession. It is the 35th largest economy in the world by nominal GDP.
Vietnam is a stable vibrant country that New Zealand is keen to further increase trade with and of course visit.
Yet another example of the futility and pointlessness of war. It doesn’t feel communist because rampant capitalism is everywhere you look as folk fill every niche to make a living.
Physio sets out to ease on-farm aches
A Gisborne farmer and physiotherapist goes online to help rural folk across the country. Carmelita Mentor-Fredericks reports.
ONE only needs to spend a few minutes in Storm Louise Baynes-Ryan’s company to know she’s a woman of many passions. She’s also down to earth and easy to talk to, which goes a long way in her line of work.
The Gisborne-based farmer and physiotherapist runs a wellness service in her community and across the motu, a business that was born from the devastation that Cyclone Gabrielle wrought on her region in February 2023.
Baynes-Ryan grew up on a farm, but has been practising physiotherapy since 2002. After working full time for 15 years, she took a few years off to focus on her family. She eventually took up a job on a farm and enjoyed it so much that she decided to become a full-time farmer.
Two years ago, she and her helicopter-pilot husband, Anthony “Ginge” Ryan, decided to purchase their first farm, a 63 hectare sheep and beef and finishing operation in Te Karaka, but it hasn’t been an easy journey.
Less than a year in, their farm and community were lashed by cyclone damage, leaving their land and livestock in a less than desirable condition.
“It was really, really disheartening. We hadn’t even been on the farm a year. It was just starting to look like we could do it properly and start to make a go of it, so when Gabrielle hit it was really disheartening.”
Their predominantly hill country farm experienced extensive damage to their land and fences, impacting their ability to properly
graze their livestock, which resulted in a 30% mortality rate during lambing.
“We weren’t able to feed them how we wanted and because of where we had to lamb them because the flats were sodden, [so] we had to lamb them on the hill and they weren’t strong enough. It was heartbreaking. And then we’d go out to feed, to fix fences and we’d look at the weather report and think ‘Why are we even bothering to do this? There is just no point,’” she says.
Despite receiving initial support to rebuild tracks and fences after the cyclone, heavy rain and flooding in June 2023 washed away all the repairs, leaving additional damage in its wake. All while the farm faced increasing interest rates on top of lost productivity.
“We stretched ourselves to buy it knowing that the interest rate would never go above 7% – and we are far, far, far above that now,” she says.
“We still haven’t fixed some fences. The tracks were fixed immediately afterwards. We had someone come and donate his time. He did about 10, which was between 80 and 100 hours on his digger as a volunteer job and he fixed all our tracks. Three weeks later there was the June rain event and all of that work he did got washed away ... now we can’t find the money to pay for these tracks to be repaired.”
Juggling rebuilding their farming operation, her children’s extramural activities and working two days in town and two in Te Keraka, the mum of four also runs an online and face-to-face
physiotherapy business, providing a much-needed service to her local and wider farming community. She provides personalised consultations that focuses on common farm-related ailments, such as aches, sprains and the odd on-farm injury.
“Our social life is very much associated with kids playing sport. So we are part of the Surf Life Saving Club. The kids play netball, rugby, gymnastics and shooting. So that’s where all our spare time goes, getting them into sport. Yeah, so we don’t get much social life.”
She also runs a successful Instagram page, That Farming Physio, where her 1300-plus followers receive regular tips and exercise routines to help them stay farm-fit.
“Originally it was just to document what I was doing. I was farming up north and it was just beautiful and I loved it. And I thought, let’s just share this. And then when I moved away, I had two really good friends and I thought, I’m just going to show them. I’m just videoing. I’m just putting up Instagram for my two best friends who I miss so much, to show them what I’m doing because I’m not going to be in touch with them every day,” she says.
“And then I thought, what if I could provide a service to people who find it hard to get health care?”
Baynes-Ryan wanted to make something really specific just for farmers to “help some people who I feel are marginalised, who are important to the country and who I want to be empowered”.
ailments she deals with is lower back strain and pain. Many of these things can be mitigated through simple lifestyle changes, she says.
“I see people with grumpy backs and hips. So on most joints, to be fair, necks, shoulders, backs, hips, knees and ankles, they are the big ones. And then other little things like people with wrist injuries. If they’ve got hand and wrist injuries, I’ll probably send them to a hand therapist because they’ve got postgraduate training specifically on the hand and wrist,” she says.
“I can charge ACC and create ACC claims, but I can’t do medical certificates. I can also send off referrals for X-rays, ultrasounds and to specialists.”
their bodies or more inclined to seek assistance when required, but there’s definitely a trend that leans more to women seeking wellbeing support.”
She says it’s equally important for men to get the necessary care as the long-term benefits far outweigh any inconvenience in making the time.
She says a well-balanced life can easily be achieved by simply being average, and by this she means doing even just the bare minimum to ensure that you’re not only fit on farm but long after retiring as well.
HANDS FULL: Storm BaynesRyan provides personalised consultations that focuses on common farmrelated ailments, such as aches, sprains and the odd on-farm injury.
“I haven’t grown virally and I don’t want to specifically because I want the people on my farming physio page to be the people who want to be there. I don’t want them there because of one video I’ve done. I want them to be there because they know that they’re going to get some straight-talking physio advice focused on farmers, rural people, remote folk.”
She says a lot of what she does is to support communities that would otherwise not have immediate access to these services or have to travel great distances to see a specialist. She also works closely with other medical practitioners, to ensure that her clients will receive the necessary support and care if they need to be referred.
“When I see my clients online we do Zooms, and sometimes the camera’s moving all over the place and we’re giggling and I’m trying to see their feet and I’m kind of pointing and they can’t see me. It’s hilarious and it doesn’t have to be serious. You can still do a great job and have a sense of humour,” she says. One of the most common
Baynes-Ryan says often onfarm injuries like back pain occur because “we’re not moving well and we get into movement patterns where the back is loaded more than it should be”.
One service she offers to ease this common issue is a no-cost Manage Your Grumpy Back mini programme, designed to prevent injury and support recovery.
She also has a weekly newsletter that provides wellness tips and exercise routines to decrease the risk of injury or to aid recovery and will be launching a website soon.
Many of her clients are women, she says. “I’m not sure if it’s because they’re more in tune with
“Whether it’s making healthy meal choices, like incorporating more protein into your diet, doing stretches, doing strength training, or simply reaching your daily step target, all of these things goes a long way in ensuring wellbeing and longevity,” she says.
“My ultimate inspiration is that farmers get to retire from their jobs, not because they can’t get on their horse anymore or can’t get on the bike anymore or can’t walk around the hill anymore because they are so stiff, sore, weak or whatever – that they retire because they want to and are capable of getting out.”
MORE:
You can check out Baynes-Ryan’s Instagram page here: https:// www.instagram.com/stormlbr_ thatfarmingphysio_/
BEING AVERAGE: Storm Baynes-Ryan says a well-balanced life can easily be achieved by simply being average, and by this she means doing even just the bare minimum to ensure that you’re not only fit on farm but long after retiring as well
ONLINE: Storm Baynes-Ryan also runs a successful Instagram page, That Farming Physio, where her 1300-plus followers receive regular tips and exercise routines to help them stay farm-fit.
Sweetened food undercuts healthy meals
Study comparing price of sweetened foods, fresh produce and animal proteins highlights issues of community health and industry resilience. Gerhard Uys reports.
NEW research showing how the cost of sweetened foods in New Zealand is decreasing relative to the costs of fruit, vegetables, meat and dairy highlights health, food security and industry resilience issues.
Dr Puneet Vatsa and Professor Alan Renwick from the Faculty of Agribusiness and Commerce at Lincoln University studied the changing prices of 85 food items between 2014 and 2023 from 560 retail outlets.
In the paper Food Prices in New Zealand: implications for feeding people better, the authors estimate 12-month moving averages of relative real prices of sweetened foods in relation to five other food categories: dairy, fruits, vegetables, processed meats and unprocessed meats.
The steep increase in food prices in New Zealand, brought about by a range of external and internal factors, including covid-19 disruptions, geopolitical events and climate shocks, receive considerable media attention, the study says.
But the change in relative prices of fresh produce and animal proteins compared to sweetened and processed foods has gone unnoticed.
“If prices of specific foods
continue to remain high relative to those of others, households may become habituated to not consuming the expensive varieties and may [switch] to more affordable ones,” the study says.
Such trends could cause a shift to unhealthy diets with grave consequences for consumers and the healthcare system.
The study showed that prices, except for those of dairy, remained relatively flat until 2019; this is especially true of the prices of sweetened foods.
All prices increased after 2021, with dairy, meat, and vegetable prices having marked inflection points in 2021, and fruit prices in 2022.
Fruit and vegetable prices increased the most steeply during 2021 and 2022, driven in part by sharp increases in the price of natural gas, a critical feedstock for producing nitrogenous fertilisers.
“While the nominal prices of sweetened foods started trending upward before the covid-19 pandemic, their real prices have, in fact, consistently decreased over the past eight years.”
Prices of sweetened foods fell sharply relative to fruit and, especially, vegetable prices, starting in 2020.
Prices of sweetened foods
We’re in a situation where healthy foods are unaffordable compared to less healthy alternatives.
Prof Alan Renwick Lincoln University
relative to dairy products and unprocessed meats began falling before 2016 and 2017, respectively.
The study showed while many countries witnessed food price inflation during this period, levels recently began to come down in other countries.
“The food supply chain in New Zealand may be particularly
App puts myrtle rust battle on kids’ phones
Staff reporter TECHNOLOGY Education
SCION has launched a new interactive learning app designed to empower rangatahi (young people) and communities with knowledge about myrtle rust. Developed with a focus on accessibility and engagement, the E heke e Heka! app combines innovative technology with culturally relevant content in both Te Reo Māori and English, for a diverse audience aged 12 and above.
Students from three kura (Whakarewarewa School, Te Rangihakahaka Centre for Science and Technology, and Rotorua Primary School – Pukeroa Oruawhata) were among the first to download the app during a launch at Te Whare Nui o Tuteata in Rotorua.
Myrtle rust, an invasive fungal disease affecting indigenous and exotic plant species of the Myrtaceae family, poses a significant threat to New Zealand’s ecosystems and biodiversity. Since its arrival in New Zealand in 2017, science, research and kaitiakitanga approaches have sought to learn about the impacts
faced by some of our most iconic plants, such as pōhutakawa.
At the same time, myrtle rust scientific resources, particularly in Te Reo Māori, have not been widely accessible. Recognising this gap, a team at Scion led by Indigenous environmental researcher Katerina Pihera-Ridge, embarked on a mission to translate the scientific knowledge for communities, whānau and young people to engage through a unique digital platform.
“We believe it’s a fundamental right for all people, regardless of background, to access critical information about our environment,” said Pihera-Ridge, who leads Scion’s Restoration, Protection and Mauri o Te Waonui a Tāne portfolio.
“This app bridges the gap between science and communities, offering a user-friendly platform that transforms learning into an interactive and immersive experience.”
To complement the E heke e Heka! app, Pihera-Ridge envisioned the development of Mātaihia te heka augmented reality (AR) to provide users with a virtual window into the world of myrtle rust.
By visualising the fungus on four different plant species, the AR
feature enhances understanding and empowers users to identify and go on to monitor potential myrtles in their own surroundings as well as consider their own mātauranga tuku iho, or knowledge systems, alongside the science information.
“We wanted to create more than just an educational tool; we wanted to craft an experience that resonates with users on a personal level,” said Te Ao Māori research group leader Sierra de la Croix.
“We thought really carefully about where young people go to learn so we could provide the information in a format that they are more likely to engage with. One young person told us the AR feature brought the ngahere to life.
“The app is structured as a story, complete with interactive activities that make learning about science informative, digestible and enjoyable.”
Proof of its appeal came during early testing with young people who provided valuable feedback to the app’s development team, Kiwa Digital.
De la Croix said adults also enjoy E heke e Heka!, making it a fun activity for all the whānau.
The significance of the app extends beyond its educational value, Pihera-Ridge said; it’s a
volatile prices may become the norm.”
Renwick says the study raises questions about the food system and why it’s relatively cheaper to produce unhealthy food than healthy food.
“We have a food security challenge with the affordability of food in New Zealand. We’re in a situation where healthy foods are unaffordable compared to less healthy alternatives.”
Renwick says the study did not focus on the causes of the price discrepancies, but shocks seemingly hit the fresh fruit and vegetable sectors harder than the global sugar supply chain.
vulnerable to disruptions caused by extreme weather events because a focus on efficiency has led to increasing regional specialisation at scale.
“Localised shocks may impact supply. The vulnerability of the logistics network exacerbates this. Most freight travels by road, and many regions are served by only one or two main roads, which are often susceptible to weather events.”
Regional specialisation coupled with a vulnerable transport network makes the system less resilient to supply-side shocks, the study says.
“Unless efforts are made to increase the resilience of our fresh produce sector, elevated and
“We were hypothesising that our domestic fresh fruit and vegetable chain is more susceptible to shocks. We’re concerned about the lack of resilience,” he says.
As shocks became more prevalent overall infrastructure challenges need to be addressed, he says. There are coastal sea networks that are underutilised.
“We need to have a more strategic view about our food network. Cyclone Gabrielle has been a bit of a wake-up call, 30% of our fresh produce and vegetables in that area were hit. Larger companies are beginning to think about diversifying their production.
“I think there is a realisation that perhaps we have become too specialised in [certain] regions. We do need to spread our risk out across the country,” Renwick says.
We believe it’s a fundamental right for all people, regardless of background, to access critical information about our environment.
Katerina Pihera-Ridge Scion
pivotal moment in the intersection of Indigenous knowledge and leadership with scientific inquiry and impact. Led by Māori voices and supported by scientific
expertise, the project embodies a collaborative approach to knowledge sharing and environmental stewardship.
“As Indigenous people, we have a unique perspective on our environment and a right and responsibility to protect it,” Pihera-Ridge said.
“This app provides increased accessibility to empower our rangatahi, Māori and community to be aware and informed as active explorers and kaitiaki.”
MORE:
E heke e Heka! is available for download on the Apple and Android app stores.
NEW GROUND: Prof Alan Renwick from the Faculty of Agribusiness and Commerce at Lincoln University says the study raised concerns about a lack of resilience in NZ’s domestic fresh fruit and vegetable chain.
VISION: Katerina Pihera-Ridge hopes using the app will inspire more rangatahi to become scientists.
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Sara Black Sheep and beef farmer, Marble Point Station and Federated Farmers North Canterbury Meat & Wool Chair
Sector Focus Sheep & Beef
Organic lambswool’s natural advantage
Gerhard Uys MARKETS Food & fibre
CERTIFIED organic wool growers are being paid $8/kg for lambswool this season, with plenty of demand from overseas buyers for more – but seemingly little interest from local growers to convert to organic practices.
Owaka, South Otago, farmer Bruce McGill said this season he will be paid $8 for lambswool, $6.50 for ewe wool and $4 for bellies and pieces.
McGill has supplied certified organic wool to Bloch & Behrens Wool, a subsidiary of PGG Wrightson, for over two decades.
Everybody perks up when they hear those prices, he said, but when they hear what he does to get it, they lose interest fast.
“It pains me,” he said. “Wool growers are hurting.”
McGill runs 2300 breeding ewes over 650 hectares. This includes two-tooths.
He also runs 700 ewe hoggets.
The best ones have been going to rams the past couple of years, as he needed to build the flock after three years of dry conditions.
He also runs 150 Stabilizer breeding cows.
The farm holds 100ha of native forest, seven QEII titles, with 500ha hard hill country.
The home farm is steep, with
dry stony subsoil that dries out quickly.
Bruce said when his father passed away from cancer the family began asking questions about health.
After researching the topic they began removing chemicals from their production system.
At one stage a farmer commented to McGill that he was basically farming organically, but that he wasn’t getting the premium organic farmers did.
This made McGill consider a full conversion.
“If we are doing it, why don’t we get certified?”
McGill is certified with AsureQuality, which he believes has a commercial outlook to its auditing process.
It’s a lot of management to stay on top of.
AsureQuality has an organic livestock standard that dictates how a farm is to convert to organic and what production principles are allowed.
Both the land and animals have to be transitioned to organic, a conversion that takes time, with management of feed, fertiliser,
supplements, vaccines, veterinary medicine and more being dictated.
For example, to prevent internal parasites synthetic products are restricted or completely prohibited in some markets.
It took McGill about three years to fully convert.
He approaches parasite management using a package of animal health, genetics and rotational grazing.
He said genetics are key to being able to remove some of the conventional chemicals from the production system.
One genetic trait they work closely with AgResearch to breed into the flock is CARLA.
AgResearch’s website defines CARLA as “a molecule found on the surface of all internal parasite larvae infecting livestock. It is very tough and able to withstand passage through the rumen. CARLA is only present for a few days after worms are ingested. Later stages of the
worm life-cycle do not have the molecule.
“CARLA antibodies are produced by the sheep’s immune system in response to larval challenge. In immune sheep, high levels of CARLA antibodies are present in saliva and gut mucus; these antibodies bind to CARLA on the surface of ingested L3 and prevent establishment. Some sheep produce more CARLA antibodies than others.”
AgResearch runs a saliva test to see which sheep have better resistance.
The resistance is heritable and McGill breeds for this trait.
Rotational grazing is also important.
Weaned lambs follow cows and calves. After that ewes graze a paddock, all to minimise parasite load.
“It’s a lot of management to stay on top of,” McGill said.
He plants diverse pastures and plants as many clovers as he can, as well as plantain, chicory and phalaris. He does not sow rye anymore.
Organic growers believe animals need diverse pastures.
Shearing, scouring and sending wool to market presents challenges, too.
Certified organic wool suppliers can use only new wool packs. They use conventional shearers.
Once shorn, wool is transported to PGG Wrightson’s Mosgiel store, kept separate from other wool.
It is then sent to Timaru for scouring.
The scouring plant is certified, and has to be cleaned with nonchemical cleaners before the organic wool can be scoured.
The general manager of PGG Wrightson subsidiary Bloch & Behrens Wool, Palle Petersen, said they export 160-200 tonnes of organic wool to a single client every year.
“As soon as we get enough to fill a container it goes, our market can take more if we can find it.
“For crossbred lambswool we’re paying between $4 and $5 above the conventional price, more than double, nearly triple.”
The wool is sent to a single client in the United States that not only manufactures highend mattresses, but also makes products for other brands.
“The aim is to sell the finished product or the fibre into the American market at the highest possible price without impacting sales, and channel benefits back to the growers. That’s how we’ve achieved what we’ve achieved over the last 10 or 15 years.
“The problem with the conventional market is there’s many sellers trying to undercut
Continued page 22
ALTERNATIVE:
Bruce McGill, his wife Denise and granddaughter Chloe. Bruce says it pains him that farmers are being underpaid for their wool but shy away from converting to organic standards.
Photos: Gerhard Uys
Bruce McGill Owaka
EXPORT: General manager of PGG Wrightson subsidiary Bloch & Behrens Wool, Palle Petersen says they export between 160 and 200 tonnes of organic certified wool to a single US client every year.
Photo: Supplied
TRADE-OFF: Bruce McGill used to run Perendale only, but because of the organic meat market for lamb he switched to Texel. He lost some wool from that but ‘put more meat on’.
Value already added every step of the way
Sector perspective
THE red meat sector is well known for expressing itself by way of understatement.
So, to hear the past 18 months being described as “tough” really tells you something about the challenging times that both farmers and processors are going through.
The record-high prices for beef and sheepmeat seen over the covid years have come back down to earth as our major export markets work their way through the hangover of fiscal over-stimulus.
Those selfsame post-covid effects are also working their way through the New Zealand economy, with soaring inflation and interest rates putting extreme financial pressure on operators on both sides of the farmgate.
Amid this squeeze, there has been a range of finger pointing and blame finding, most recently directed at the processing industry for allegedly not transitioning up the value chain fast enough to protect farmers from the onslaught of the market correction.
Given the circumstances, this reaction is understandable, but that doesn’t mean it is correct.
The plain fact is that NZ red meat exports have already moved significantly up the value chain, and it is high time we should be recognised for this.
Consider that in 1990, almost half of all New Zealand lamb exports (47%) were sent offshore as a whole carcase. Today, less than 5% of lamb is exported in whole carcase form, reflecting significant investment from processors over many years to capture more value from cuts.
That investment has been steered into people, plant and practice, such that we consistently produce red meat that meets the highest food safety standards anywhere in the world.
This, coupled with our longterm investments in logistics, also means we can put the freshest chilled cuts into over 110 countries and counting, while retaining the ability to dynamically shift volumes between markets to target the highest in market prices.
Within this, the diversity of the industry means that processors are targeting all value niches within these markets, be it as an ingredient into food manufacturing or as a branded product aimed at the end consumer.
Put another way, there isn’t a single part of any animal that comes into our plants that isn’t processed, packaged up, and set to market in the ongoing quest to add value.
As sophisticated as our exportfocused model is, it is not immune to the economic forces flowing through our major export markets, be they the United Kingdom, European Union, Japan or China.
Just like here, high inflation has seen central bankers around the world pull the interest rate handbrake, the result of which
has been to see consumers cut down on discretionary purchases, particularly higher value items like NZ red meat.
Things may be grim in-market right now, but they don’t last forever. Sensibly processors are maintaining their respective inmarket commercial relationships to be ready for when things do turn around.
Consider that China has over 100 cities with populations that exceed 1 million people, and as a red meat producing country we sit on their doorstep. This is a strategic position we should cherish.
Like all systems, though, it
Continued from page 21
each other to buy market share. We’ve managed to avoid that, mainly because of the loyalty of growers.”
Petersen said being organic is not entirely attractive to many farmers as you get only a couple of kilograms of wool from a lamb.
“The key going forward is that they start getting a premium for their meat. I see a huge opportunity if we could get the government to pass that New Zealand Organic Standard. It’s sitting there waiting to be given the tick.”
Having the standard passed would mean local exporters could take it to, for example, US buyers and present it as an option, as following the strict American standard is virtually impossible for local growers.
Peterson said other countries that have their own organic standard have convinced the Americans to accept it.
“In New Zealand we don’t have that opportunity because we don’t have a national standard. It’s sitting bogged down in the politics.”
McGill and other growers did market organic certified meat to Whole Foods in the US, but the global financial crisis put an end to that. They are hoping to rekindle the relationship.
VALUE: In 1990 almost half of all New Zealand lamb exports were sent offshore as a whole carcase. Today, less than 5% of lamb is exported in whole carcase form, reflecting significant investment from processors over many years to capture more value from cuts, says
can never be perfect, and we acknowledge that there is always room for improvement and cost savings, and that is something that the Meat Industry Association and our members are incredibly focused on.
But I would strongly urge those looking for a scapegoat for the effects of global macroeconomic forces to carefully consider the value-add they already have in hand.
Now is the time for consolidating on the strong and stable platform that we have collectively built over decades, not for chasing value-add mirages that don’t exist.
Petersen said as parasites become resistant to drenches and more and more chemicals are banned in many countries, organic holds opportunities for farmers.
“If we’re going down the track of having to find natural ways of managing these issues, it’s a perfect opportunity to actually use the fact that we are going to be using natural ways of managing our farming. Use that in the New Zealand Inc story.”
Petersen has about 25 organically certified suppliers.
He said Southland’s climate makes organic
farming easier as the environment is cold and parasites are easier to manage.
New Zealand Food Safety acting deputy directorgeneral Jenny Bishop said the Parliamentary Counsel Office (PCO) is currently drafting the National Organic Standard and Organic Process Regulations.
“We anticipate that we will have the regulations promulgated in late 2024.
An increasing number of countries overseas are demanding that organic imports comply with their domestic standards or come from equivalent regimes.”
WHOLE FARM: If a farm converts to organic practice the entire farm has to meet specific standards.
NZ red meat exports have already moved significantly up the value chain.
Sirma Karapeeva Karapeeva is chief executive of the Meat Industry Association
Sirma Karapeeva.
Passion stokes Pāmu apprenticeship drive
APASSION to see people succeed and set them up for the future is what drives Carl Carmichael to head Pāmu’s new on-farm Apprenticeship Scheme, which starts next year.
The farm manager at Pāmu’s Aratiatia farm will oversee the scheme, which will involve nine school leavers living at the farm for 12 months, when they will be taught the essential skills needed to work on either a dairy or livestock farm.
In the second year, the students get a placement within Pāmu’s farming network as a dairy assistant or shepherd general position.
Carmichael said wanting to coach and develop New Zealand’s future farmers drove him to take up the role.
He is heavily involved in local club sports, firstly as a player and now as a coach, and is very passionate about getting it across the line.
“Being able to teach young people some skills and guide them on a pathway, it’s just so rewarding for me as a coach, teacher and mentor – that’s the success,” he said.
It is hugely elating when someone he has helped tells him of their success, be it a promotion at work or an achievement on the sports field.
“It’s tear-to-the-eye stuff for me.”
We want them to learn about farming, but we also want them to learn about life.
He foresees it being especially rewarding when, in the future, the apprentices go through the farm system and succeed and strengthen the farming industry.
“That’s the real reward,” he told about 50 rural professionals and farmers at an open day at Aratiatia.
The day aimed to showcase Pāmu’s sustainability initiatives as well as announce a new partnership with ASB, in which the bank will provide Pāmu with $1 million over three years to support the initiatives.
The partnership will help fund the apprenticeship scheme along with Pāmu’s work around methane reduction through genetics and agri-data tools for better decision making by using FarmIQ and FARMAX.
The scheme will be based at Aratiatia, north of Taupō, which grows replacement dairy stock, finishes beef cattle, and grows replacement ewes for Pāmu’s other
farms in its Wairakei Pastoral group.
Pāmu’s chief of people, safety and reputation, Bernadette Kelly, said the farm had in the past run an unsuccessful cadet scheme that was restricted to just using the resources on that farm.
“The difference this time is we’re going to use all of our farms,” she said.
Aratiatia is ideally located because it is in close proximity to Pāmu’s 19 dairy farms at Wairakei Pastoral and its sheep and beef farm at Rangitaiki Station.
All of these farms will be used as part of the apprenticeship scheme.
Pāmu has employed a programme manager who will take care of the day-to-day running of the scheme while Carmichael manages it.
While aimed at school leavers, it could also possibly cater for people wanting a career change.
During the first year, the students will be exposed to both dairy and livestock farming. This is where it differs from other training schemes, which are predominantly one or the other, Kelly said.
“They’ll do a placement in dairy and a placement in livestock, and
then they’ll get to choose. We think this will give people a really good introduction to agriculture and what life could be like.”
The apprentices will also be earning while they learn, and will be earning Primary ITO Levels 3 and 4 while they are there.
Pāmu has re-purposed buildings on the farm and converted them into housing. The students will also be taught life skills, including financial literacy, budgeting and meal preparation, Kelly said.
“We want them to learn about farming, but we also want them to learn about life.”
If it is successful, they will look at expanding the scheme in partnership with other corporates and iwi.
Kelly said the scheme also hopes to provide a pathway for young people who have studied agriculture at high school, but are not coming into the sector when they leave.
One school in Wairarapa had 400 such people and Kelly hopes it will give them a pathway where they don’t have to get a student loan, are provided housing and have someone that can support them and keep them in the industry.
REWARDING: Aratiatia farm manager Carl Carmichael says he gets a huge kick out of helping people succeed and this has motivated him to oversee Pāmu’s new apprenticeship scheme.
Gerald Piddock PEOPLE Skills
OPTIONS: While aimed at school leavers, Pāmu’s new on-farm Apprenticeship Scheme could also possibly cater for people wanting a career change.
Bernadette Kelly Pāmu
Take some time off farm, connect and learn
Join us at a Beef + Lamb New Zealand event near you, where farmers come to connect, share and learn from each other and industry experts
Enjoy interactive workshops, informative webinars and hands-on field days designed with B+LNZ’s Farmer Council for farmers at every stage and scale. Our events will give you tools, information and ideas to tackle your business opportunities or challenges.
Upcoming events near you
North Island
Northern North Island
• B+LNZ Mastering Your Farm Financials Workshop
Wellsford 30 July Whangarei 31 July
Kerikeri 1 August
• Farm Safety Management Plan
Kerikeri 20 August, Whangarei 21 August
• Growing Great Lambs with Ginny Dodunski Tangiteroria 10 September, Kaipara Hills 11 September
Mid-Northern North Island
• B+LNZ Wormwise Advanced Farm Systems Workshop
Ngāhinapōuri 16 July
• B+LNZ Rural Women’s Financial Success Seminar
Otorohanga 9 August, Waikaretu 16 August
• 2024 Beef + Lamb New Zealand Awards Hamilton, 10 October
Western North Island
• B+LNZ Growing Great Lambs with Ginny Dodunski Mangaweka 10 July, Whanganui 11 July
• B+LNZ Wormwise with Ginny Dodunski Ōtaki 12 July
Eastern North Island
• B+LNZ Tararua Farming for Profit: Building Your Brand Mangatainoka 17 July
• B+LNZ Mastering Your Farm Financials Workshop Wairarapa 6 & 8 August, Havelock North 27 September, Gisborne 28 September
• B+LNZ Wormwise Workshop Wairarapa 23 July, Tararua 20 August
B+LNZ Director Roadshow
We want to provide insights and updates relevant to you and get your input into shaping the future of B+LNZ and our sector
We’ll cover our renewed focus behind the farm gate, and test our thinking on key policy issues, particularly freshwater and climate change
Northern North Island with Phil Weir
• 26 August, Wellsford
• 27 August, Arapohue
• 27 August, Whangārei
• 28 August, Kerikeri
South Island
Northern South Island
• Fluke Facts - An understanding Liver Fluke Workshop
Hokitika 23 July Westport 24 July
• Sowing Seeds for success - West Coast Women in Agriculture
Greymouth 25 July
• Marlborough Mid- Winter dinner: Focus on the Horizon Blenheim 25 July
Central South Island
• CSI Regional Showcase: Succession and Equity Partnership Pathways Timaru 31 July
• Diversification Opportunities in Sheep/Beef Systems
South Canterbury 28 August, Alexandra 29 August
Southern South Island
• B+LNZ Mastering Your Farm Financials Workshop Winton 24 July Wyndham 25 July
• B+LNZ ‘A Feast Between Two Beers’ Evening Invercargill 9 August
Register for an event and find more near you at: beeflambnz.com/events
(please note some event details may be subject to change)
Mid Northern North Island with Phil Weir
• 20 August, Piopio
• 20 August, Te Akau
• 21 August, Morrinsville
• 21 August, Te Puke
Western North Island with Scott Gower
• 26 August, Stratford
• 26 August, Whanganui
• 27 August, Feilding
• 27 August, Taihape
• 28 August, Taumaranui
Eastern North Island with Patrick Crawshaw
• 3 September, Dannevirke
• 3 September, Masterton
• 4 September, Hastings
• 5 September Wairoa
• 5 September, Gisborne
Northern South Island with Kate Acland
• 29 July, Blenheim
• 30 July, Cheviot
• 30 July, Oxford
• 31 July Methven
details and registrations at: beeflambnz.com/director-roadshow
Central South Island with Nicky Hyslop
• 1 August, Fairlie
• 1 August, Waimate
• 22 August, Alexandra
• 23 August, Middlemarch
Southern South Island with Geoffrey Young
• 20 August, Riverton
• 21 August, Te Anau
• 21 August, Gore
• 22 August, Lawrence
Adapt or dye: change needed to save wool
Gerhard Uys NEWS Food & fibre
‘YOU can go for a sheep without wool, you can go for a sheep with less wool, or you can go for a sheep with better wool, but you’re going to have to change,” Lincoln University lecturer Dr David Scobie told farmers at a Beef + Lamb NZ field day at Telford’s Balclutha campus.
Scobie addressed wool growers on the costs and opportunities related to wool.
Also speaking to farmers about opportunities in wool was Maniototo farmer and veterinarian Becks Smith, who with her husband Jason started putting shedding rams over their commercial flock in 2019, and Kate MacDonald, founder of Davaar & Co, who uses wool from her father’s sheep station to manufacture luxury wool sweaters.
Scobie said on average money is lost for every kilogram of wool shorn, and change is unavoidable.
Part of the problem farmers face is the fact that the wool levy was scrapped.
This means there is little research and development, and a shortage of scientists in the area who could innovate, he said.
Smith said that in 2018, when the cost of shearing outweighed the value from their strong wool clip, they began considering a transition to shedding rams.
The Smith farm runs about 4500 breeding ewes.
Because of the breed’s narrow shoulders and subsequent ease of lambing, Jason’s father, Barry, already had 300 SIL recorded shedding Wiltshires he used for hogget mating.
Becks Smith said the Wiltshires had already proven themselves on the farm and had fast growth rates.
In 2019 when the family realised
wool had an animal health cost that pushed up the cost per stock unit, they made the leap to putting shedding rams over some of their commercial units.
In 2020 they took another incremental step and put shedding rams over their two tooths.
The move was successful and reduced the number of lambs they crutched.
In 2021 they put shedding rams over all commercial ewes, except for a small terminal mob.
The flock maintained the performance from the original flock, despite changing the ewe flock genetics, Smith said.
From base genetics three crosses are needed before you have a fully shedding sheep, she said.
The Smiths’ net shearing costs have dropped.
They now crutch only terminal ewes and 700 lambs.
Out of 4500 ewes they have only 2000 to shear.
Animal health has improved. Smith believes more UV exposure reduces lice populations.
Fly pressure is also reduced, with less dags needed and less damp wool. They also have fewer cast ewes. Shedding sheep and lambs do well in cold Maniototo winters, she said.
With SIL recorded gene pool limited in New Zealand they imported genes from the United Kingdom and Australia.
Don’t invest in unrecorded genetics, Smith said.
MacDonald, founder of Davaar & Co, said she returned to the farm to work for her father during the covid pandemic.
Her father, James Macdonald, owns Davaar Station in Te Anau.
There were often discussions on the farm on how they could increase the value of their strongwool clip, she said.
MacDonald said she came back to the idea of homespun jerseys as her grandmother always made them homespun jerseys.
In 2020 she began with market
research and found a gap in the market for versatile high-end fashion garments.
The workwear market was already saturated with amazing brands, she said.
She founded Davaar & Co and now buys wool from Davaar Station.
Scouring, washing, spinning, dyeing and knitting is all done locally because she cannot risk sending wool overseas and accidentally being sent back someone else’s wool.
Vital to making high-end garments is using only the best wool, she said.
“Improving value begins by measuring the characteristics of our wool to produce yarn with the best possible performance, giving us wool that can compete against man-made fibres with appearance, performance and repeatability.”
To this end all wool is fibre scanned during shearing by Don Morrison from Pastoral Measurements in Christchurch, MacDonald said.
Fibre scanning is $2 per sheep.
Choosing strong wool fit for high-end garments is a technical endeavour with a number of quality characteristics assessed, such as curvature, coarse edge micron, and medulation, among other measurements.
You can go for a sheep without wool, you can go for a sheep with less wool, or you can go for a sheep with better wool, but you’re going to have to change.
Dr David Scobie Lincoln University
Curvature is related to crimp and low micron. High curvature gives insulation properties, elasticity and durability.
Using only the best quality means that out of 1500 two tooths the wool from only about 500 is up to spec.
Davaar station produces about 40,000kg of wool every year, with only 8%, or 3200kg, suited to knitwear production, MacDonald said.
“The only way you get a fine yarn from strong wool is through quality.”
Coarse edge micron is also measured. This measurement looks at the uniformity in shape, with rounder fibres preferred to fibres that are flat top and bottom, but with round edges.
Round fibres spin better.
“During manufacturing round
COSTS DROP:
fibres will bend and twist. Flat ones only bend certain ways and break.”
Medulation is a heritable wool characteristic and affects dye uptake. The higher medulation, the more brittle and weak the fibres are.
Micron is also tested with a mean micron of 35 for Davaar ewes and 30 for lambs.
About a kilogram of scoured wool makes one garment, she said.
Davaar sells adult jerseys for over $300 and children’s jerseys for just under $200.
“We’re harnessing the natural properties of strong wool with the help of fibre scanning technology, to create the superior yarn for high quality, quality garment production. Fibre scanning provides us with targets and characteristics we can select our rams upon to put across our ewe flock.
“We can’t sell a value-added product if the value is not there, and our long-term goal is to use the entire Davaar Station wool clip for various products.”
Hadleigh Smith, head of brand partnerships for strong wool at NZ Merino, said being innovative is a lonely path, but innovative companies are often best rewarded.
Maniototo farmer and veterinarian Becks Smith, who with her husband Jason started putting shedding rams over their commercial flock in 2019, says their net shearing costs have dropped.
Photos: Supplied
QUALITY: Davaar & Co founder Kate MacDonald says supplying the high end market with wool jerseys mean they have to use only the best quality.
PROVEN: Becks Smith says the Wiltshires had proved themselves on the farm and have fast growth rates.
FEDERATED FARMERS
Independent methane review long overdue
An independent review of New Zealand’s methane reduction targets is long overdue and will be welcome news for farmers, Federated Farmers president Wayne Langford says.
“The current methane reduction targets are incredibly divisive, highly political, and have no credible science to underpin them,” Langford says.
“They’re completely unrealistic, totally unaffordable, and go much further than is needed to stop farmers’ contribution to further warming.
“That’s why an urgent review of these methane reduction targets was one of Federated Farmers’ 12 policy priorities for the new Government to help restore farmer confidence.”
Langford’s comments come in response to an announcement from the Government on June 27 that it has appointed an independent panel, which will be chaired by Professor Nicola Shadbolt. The panel began its work on June 30 and will report back to the Government by the end of the year, providing evidence-based advice on what New Zealand’s biogenic methane target should be to ensure no additional warming.
Langford says our country’s current legislated methane targets would require an incredibly ambitious 10% reduction in methane
by 2030, and a 24-47% reduction by 2050.
“Federated Farmers have opposed these targets from day one because we could see no way to reach them without simply shutting down farms,” Langford says.
“The Government’s own modelling showed that achieving a 10% methane reduction by 2030 could see our sheep and beef production reduce by more than 20%.
“That would be a complete disaster for hard-working farming families, rural communities, and the wider New Zealand economy.”
Appointing a highly credible and independent panel of scientists is the right approach to take, and Federated Farmers look forward to engaging in the process.
Wayne Langford Federated Farmers president
Langford says farmers want to see a science-based approach that doesn’t ask farmers to go further than is required to avoid further increases to our warming impact.
“The current targets have never been supported by farmers because everyone felt they weren’t achievable or scientifically robust,” Langford says.
“Federated Farmers are pleased to see the Government have moved quickly to announce this review to give farmers confidence that what they’re being asked to do is fair.
“Appointing a highly credible and independent panel of scientists is the right approach to take, and Federated Farmers look forward to engaging in the process.”
In their announcement on June 27, Climate Change Minister Simon Watts and Agriculture Minister Todd McClay said the Government was delivering on its promise by getting the independent review underway.
“Cabinet has approved five appointees to the independent Ministerial advisory panel, including its chair, Nicola Shadbolt, who in addition to being a former climate change commissioner is a respected farmer, academic, and director with extensive governance experience,” Watts said.
The panel will also include Professor David Frame, Dr Sara Mikaloff-Fletcher, Dr Laura Revell, and Professor Bill Collins.
The panel members bring extensive New Zealand and international scientific experience across atmospheric physics and chemistry, understanding and quantifying greenhouse gas emissions, and climate modelling, Watts said.
McClay said the panel’s report will complement the Climate Change Commission’s review of the 2050
targets this year and will inform the Government’s response to the Commission’s advice in 2025.
“The Government is committed to meeting our climate change obligations without shutting down Kiwi farms.
“We need to make sure our targets are fair and sustainable,” McClay said.
“New Zealand farmers are some of the world’s most carbon-efficient food producers. It doesn’t make sense to send jobs and production overseas, while less carbon-efficient countries produce the food the world needs.”
McClay said the Government is investing more than $400 million over the next four years to ensure work to cut emissions doesn’t drive
a drop in New Zealand’s agricultural production.
That investment will speed up the availability of tools and technology to reduce on-farm emissions, and includes an extra $50.5 million over the next five years to scale up investment in the New Zealand Agricultural Greenhouse Gas Research Centre.
“The upcoming consultation on the second emissions reduction plan will also cover plans to support the sector to reduce agricultural emissions in more detail,” McClay said.
“A strong New Zealand’s economy relies on a strong agricultural sector working sustainably towards our climate change goals.”
ON TRACK: The Government’s announcement means we’re finally heading in the right direction to achieve fair climate policy for New Zealand farmers, Wayne Langford says.
Sharing science could get tools to farmers faster
Greater co-operation with other countries over assessing new agricultural products is worth investigating, Federated Farmers says.
“It’s taking too long and costing too much to get approval for agrichemicals and other products already in use in other OECD countries,” Federated Farmers arable chair David Birkett says.
It’s taking too long and costing too much to get approval for agrichemicals and other products already in use in other OECD countries.
David Birkett Federated Farmers arable chair
“If advanced countries we trade with, like Australia, have already carried out rigorous scientific assessments and found the products to be safe for humans, animals and the environment, it’s a waste for New Zealand to repeat the same processes.”
Birkett says there will be some cases where separate assessment by the Environmental Protection Authority (EPA), NZ Food Safety, MPI or another agency is warranted.
“That could be if there are ramifications for our native flora or fauna, or if New Zealand-specific conditions need more investigation.
“But outside these sorts of circumstances, systems could be put in place to share knowledge, prune costs and delays, and still maintain very robust assurance on product safety,” Birkett says.
Regulation Minister David Seymour last month announced a regulatory sector review of the approval process for new agricultural and horticultural products, saying it can take as long as nine years by our agencies to clear an application.
Birkett says farmers are being pushed to excel on biosecurity control, climate change and production fronts, but red tape and inefficiency means accessing the tools they need to meet these challenges is far too slow.
“As Food Safety Minister Andrew Hoggard noted at the review announcement, if our aim is to further increase primary product export revenue, it’s essential we iron out unnecessary regulatory overlap, costs and hold-ups.”
Bovaer’s active ingredient, in February 2021.
Despite its clearance for use overseas, DSM’s application to import and manufacture 3-NOP here wasn’t granted until August 2023.
“Kiwi farmers still can’t use it,” Birkett says.
WELCOMED: A regulatory review offers the chance to prune costs and delays, and still maintain very robust assurance on product safety, David Birkett says.
Flo ck House
Fall armyworm controls and the methane-inhibiting feed additive Bovaer are just two examples of products approved overseas but denied to New Zealand farmers.
“Fall armyworm, an insect pest that can ravage more than 300 plant species, especially maize and sweetcorn, was able to establish and spread here more readily because approval for recognised control treatments was too slow,” Birkett says.
“The armyworm is developing resistance to the limited treatment options available.”
Bovaer is approved as safe for animals, farmers and consumers in more than 55 countries, including the EU, Australia, Canada and Switzerland.
Its maker, Royal DSM, applied for approval from the EPA for 3-NOP,
“MPI needs to assess such things as its efficacy, animal welfare impact and trade ramifications. DSM have yet to apply for that.
“Perhaps the company is also put off by the delays and expense wrapped up in our processes.”
Last year the EPA commissioned Australasian firm Sapere to independently report on New Zealand’s assessment processes and investment.
On a per capital basis, and taking into account factors like GDP and the size of primary and manufacturing sectors, Sapere found New Zealand spends a quarter of what Australia and the UK spend on hazardous substance assessments.
Sapere also noted lengthening assessment timeframes, low decision volumes, and a reliance on outdated models.
Since February 2020 the EPA has received an average of 10 assessment applications each
month but has averaged only eight assessment decisions, meaning a growing number of applications have been added to a ‘preapplication’ queue.
“Based on the number of assessments completed since 2020, we estimate that if the EPA was to drop all its current assessments and stop accepting any new applications, it would take between two to four years of work simply to clear the applications in this queue,” Sapere’s report said.
Dr Liz Shackleton, CEO for Animal & Plant Health NZ, said there also appears to be a preoccupation at the EPA with re-assessing existing, oldertype chemicals over new products.
“There is four times more resources allocated to re-assessing existing substances, versus approving new substances,” she told Farmers Weekly in April.
Birkett says the review announcement is timely and very welcome.
“Federated Farmers have been pushing for change on this front for some time.
“We’re really pleased the Government is going to look into it, and we expect faster application timeframes to come out of it.”
Come and celebrate 100 years with us.
We will be gathering on 20-21 July 2024 to commemorate the 100th anniversar y of Flock House opening. For anyone with a passion or link to its histor y we would love you to join us.
July 2024
SLOW: Fall armyworm controls and the methane-inhibiting feed additive Bovaer are just two examples of products approved overseas but denied to New Zealand farmers, says David Birkett.
Urgency needed in replacing RMA
New data on the length of time councils are taking to process resource consents shows replacing our broken RMA system should be an urgent priority, Federated Farmers says.
“Councils are processing fewer new resource consents, doing so more slowly than ever, while at the same time employing a recordhigh number of staff to do it,” says Mark Hooper, the organisation’s spokesperson for Resource Management Act (RMA) Reform.
“All the key trends are continuing to go in the wrong direction, which shows just how badly our current resource management system is serving New Zealanders.
“Kiwis are paying more, getting less, and waiting longer.”
Hooper’s comments are in response to the Ministry for the Environment’s National Monitoring System data report for 2022/23, which shows patterns in how councils are implementing the RMA.
“The numbers don’t lie: we have a problem with the RMA, and it needs urgent attention,” Hooper says.
“We know replacing the RMA isn’t an overnight job, so it’s good to see the Government’s Q3 Action Plan committing to progress work on an RMA replacement in the next 90 days.
“The Government needs to stick to its commitment to passing new legislation to replace the RMA during this term of Parliament.”
Hooper says it’s been great to see the Government focused so far on “panel-beating the biggest dents out of the existing RMA”, but says there’s only so much that can be done to fix it.
“That’s why the focus now needs to urgently shift to building a new RMA that can set New Zealand up for success over the next 30 years.”
The monitoring data shows 36,000 resource consents were granted in 2022/23 year, which Hooper says is a staggering number.
“This shows that, rather than resource consents being used
for atypical investment decisions needing extra environmental scrutiny, councils are requiring a resource consent every time anyone tries to do anything in this country,” Hooper says.
“Resource consents are massively over-used, as we can see in this latest data, which shows more than 99% of resource consents applied for were granted.
“This doesn’t hide the fact the process of applying for a resource consent is costly and time-consuming.
“Measures like the Fast-track Bill can ease things for the big end of town, but until the RMA is fully replaced, small businesses are stuck in treacle having to navigate the RMA.”
Hooper says farmers need resource consents almost every time they turn around, whether to move a bore, establish a wetland, build a herd home, or often even just to farm.
The percentage of consent applications processed within statutory timeframes also fell to a record-low of just 76%, compared to 89% in 2020/21.
Councils used section 37 of the RMA to grant themselves extra working time in more than 50% of applications.
Another record broken was the median time taken to process a new resource consent, which rose to 57 days, up from 46 days in 2021/22.
“I live and farm in Taranaki, so I was particularly concerned to read that Taranaki Regional Council had the highest number of median days –over 150 – to process new resource consents,” Hooper says.
All the key trends are continuing to go in the wrong direction, which shows just how badly our current resource management system is serving New Zealanders.
Mark Hooper Federated Farmers RMA reform spokesperson
“It would appear that processing a non-notified consent application within 20 working days is a pipe dream.”
Hooper says it’s worrying that, at the same time as processing times have deteriorated, the number of staff working on resource management at councils has seen a massive jump.
A total of 2262 staff were
PAPERWORK:
Mark Hooper says farmers need resource consents almost every time they turn around, whether to move a bore, establish a wetland, build a herd home, or often even just to farm.
employed across all of New Zealand’s councils, nearly 400 more than the 1891 staff employed in 2020/21.
“This is a huge overhead for councils to carry,” Hooper says.
“If each staff member has a cost of $100,000 a year, and when overheads are included it is likely much more than this, this represents an ‘RMA-tax’ of well over $200 million per annum.
“This is hundreds of millions that could be spent on roads and bridges, but instead is disappearing in needless paperwork.”
Resource consents should be limited to those activities that are truly unique, he says.
Everyday activities like building a herd home should be subject to streamlined national standards, while the impacts of day-to-day farming can be managed more efficiently through farm plans, Hooper says.
“This country needs a new resource management framework to drastically reduce the number of resource consents Kiwis are subject to.
“Federated Farmers strongly believes replacing the RMA is the most meaningful long-term economic reform this Government could deliver.”
BROKEN: Council data clearly shows we have a problem with the RMA, and it needs urgent attention, Mark Hooper says.
Horizon delays gives ‘breathing space’
It’s welcome “breathing space” for everyone, and a chance for Horizons Regional Council to run genuine consultation, Ben Fraser says.
That’s how the Federated Farmers Whanganui president sees Horizons’ decision to abandon bringing in new freshwater provisions under its One Plan by December 2024.
“It means there’s one less stress on local farmers’ minds while some product returns are low and purse strings are tight.
“More importantly, the decision means there’s an opportunity to get it right, and bring in a freshwater plan change that works for the environment, and the community and economy,” Fraser says.
“Horizons need to leverage the knowledge of those who live on the land, work constructively with catchment groups and the wider community when setting values, and come up with solutions tailored to different areas and circumstances.”
The Government is reviewing, and intends replacing, the National Policy Statement for Freshwater
Management. To enable councils to incorporate these new directions, it pushed out the deadline for councils to bring in freshwater plans until 2027.
Horizons last month announced it will take advantage of this and delay implementing the One Plan freshwater plan change until late 2026/early 2027 – “earlier if practicable”.
The Horizons’ decision – albeit belated - is a victory for common sense, and advocacy by Federated Farmers and others, Federated Farmers Manawatū-Rangitikei
president Ian Strahan said.
The council says it’s “highly unlikely” it would have been able to meet its previous December 2024 target, not least because of the economic modelling and social impact assessment work still to be done.
“The reasons they’re now citing are pretty much the arguments Federated Farmers have been advancing for several years,” Strahan says.
“We’ve repeatedly told Horizons they need to pause, slow down
the process and gather robust information.
“We’ve also been saying they need to land on practical rules and targets that balance economic and environmental wins.”
Horizons’ draft water quality targets required 50-100% reductions of nitrogen, phosphorus, E. coli and water-borne sediment across the region – blanket rules that Federated Farmers describes as unrealistic and unworkable, requiring significant cuts to production.
“Farming makes up over half the economic activity of the region. If we kneecap ourselves economically, the environment will also suffer,” Strahan says.
“If you pull the rug on farmers’ revenue, you’re pulling the rug on their ability to invest in planting, waterway protection and the like.”
Horizons’ boundaries also take in Tararua and much of the Ruapehu district. Federated Farmers Ruapehu president Robert Gray says it felt like the council was trying to drive out food and fibre production and change his district into a giant nature park for city residents.
IMPACT: Ian Strahan says if we kneecap our regions economically with impractical regulations, the environment will also suffer.
“They took no account of local circumstances. There was no acknowledgement in terms of water allocation that 90% of river flows in lower Ruapehu are diverted out to Lake Taupo for hydro generation.
“Another example – one of the creeks above Taumarunui has a phosphorus rock heart. With the Horizons reduction target, anyone who farmed downstream might as well give up.
TARGETS: Horizons’ draft water quality targets required 50-100% reductions of nitrogen, phosphorus, E. coli and water-borne sediment across the region
“Their hard and fast targets had no dispensation for different topography, geology or other catchment features,” Gray says.
Tararua Federated Farmers president Thomas Read says Horizons’ nutrient reduction targets and initial refusal to budge on implementing the plan by the end of this year had weighed heavily on farmers’ minds.
“This extra time, and Horizons’ statements about gathering robust economic data, will see a bit of normality restored, and farmers can get on with farming.
“We’ve been affected for far too long by the uncertainty all this has caused, with land sales being depressed because of the question
marks the targets put on farming in our region.”
Read, who has two dairy farms with expired consents pending the new regulations, says he’s experienced these impacts himself.
He’s having to apply for renewals for effluent disposal six months in advance of expiry to try to ensure grandparenting of existing rights.
“There are some farmers who have been caught out in that regard in not having renewed fast enough for Horizons’ liking.
“Pushing out implementation of the freshwater plan change gives all parties time to get their ducks in a row, and to get it right on something that will work in the long run.”
We’ve repeatedly told Horizons they need to pause, slow down the process and gather robust information.
Ian Strahan Federated Farmers ManawatūRangitikei president
Woolgrowers heroes in fight against plastic
Annette Scott NEWS Food and fibre
EW Zealand fine wool
Ngrowers will underpin the forward growth strategy of Norwegian wool company Devold as it targets future global growth in the fight against synthetics.
Adding to the upbeat vibe of the Devold wool summit in Christchurch, growers also learnt that China presents an opportunity for them to grow their returns in alternative markets for anything outside their main fleece contracts.
“It’s time to move and strengthen our presence in the global market scene and your grower part in the value chain is a very important part of our story,” Devold of Norway chief executive Oystein Vikingsen Fauske told the gathering of 45 South Island wool growers.
Under its mantra of “designed in Norway, grown in NZ, made by Devold” with full transparency from sheep to shop, Devold’s brand and product identity is closely connected with the NZ Merino wool growers that underpin its outdoor clothing focus.
“We are confident we have the very best wool in the world from you our growers. No one else can make better product than we do, because we have the best and I am super grateful and super proud of our product because you are our growers,” Fauske said.
The 2023 NZ clip summary showed 44 NZ growers supplied 1994 bales, 363,624 greasy kilograms of the best Merino wool, accepted by Devold at an average of $24 a kilogram.
“A fair whack of this wool came out of South Canterbury’s Mackenzie Country, 975 bales, with Marlborough, Canterbury and Central Otago filling the rest, and we have a supplier wait list,” Devold NZ general manager Craig Smith said.
“Like Devold, our growers are mission driven, values based and we have to keep up our wool quality as we can only grow our strategy if we have the best wool sales.
“A 10% sales growth can mean 10% more wool from our growers.”
Smith assured the farmers that Devold will be selective about who it takes in, with existing suppliers having first offer of any increased volume.
“We will have no more growers coming in unless we can’t do this from within the grower pool we have now.”
Devold is widening its reach for more people to use its heritage outdoor clothing collection, now also including a range “with more adrenalin in it”, and growing market share with a premium customer experience strategy, “daring to be bold”, the clear focus going forward.
Devold marketing manager Kyrre Ufert Lomo said with 170 years of uncompromising quality and transparency, “staying true to our heritage and our quality in responsible sustainable and healthy growth, both in brand and quality” is the focus of doing business in 2024.
“Our main competitors are not the likes of Icebreaker or Aclima –it’s plastic, fast fashion versus slow fashion. We are fighting plastics.
“We are not always aiming for the highest volume and at any cost but defining our growth journey in a sheep-to-shop story to widen consumer knowledge of our finest crafted Merino collection with
We are confident we have the very best wool in the world from you ... and I am super grateful and super proud of our product.
Oystein Vikingsen Fauske Devold of Norway
uncompromised, responsible and enduring quality and transparency.
“We have plans booked to visit growers in NZ in September this year to see on farm what you do and to document and tell that in our story.”
Smith told growers there are “big opportunities” as they questioned how future growth will find markets for the lesser wool clip, such as bellies and pieces that are not currently in their Devold fleece contracts.
“The world is a messy place, farming is tough at the moment but there are positive vibes,” Smith said.
“We have a group of like-minded growers who are proud of what they do and we have the directive to market that wool, anything outside the fleece contract, on their behalf as a collective of growers.”
China is already showing interest.
“China will soak it up every day of the week as these are the markets that will take every other kilogram of wool that is traceable and certified quality and volume.
“We are looking for markets as growth may happen, we have top makers in China looking for wool direct from farm, we just need to go back and confirm a contract and even though the wool goes to China, a lot ends up into Europe, therefore it needs that quality and traceability.”
Smith said while growth is going to be tough, there are exciting times ahead.
“With a committed group of growers and wool we know ticks all the boxes, we know we have quality and volume to take to the market.”
There is also potential to expand the retail experience in NZ. Currently there is just the one shop, in Wanaka.
“The Wanaka shop is doing really well but we have to drive that strategically where brand and product is relevant.”
Market Gardeners Ltd sells Australian stake
FRESH produce co-operative Market Gardeners Limited will sell its 70% stake in Premier Fresh Australia so it can focus on its New Zealand business.
The co-operative, which trades as the MG Group, said the stake will be sold to two long-standing Australian partners, Anthony Di Pietro and Mark LoGiudice.
Di Pietro has been the CEO and a director of the Australian operation since 2016, and LoGiudice has been a director since 2016. They collectively hold a 30% stake in Premier Fresh Australia.
The Australian-based group will now take full ownership.
MG Group CEO Peter Hendry
said the opportunity to direct time and resources towards the co-operative’s New Zealand operations will help the cooperative better meet the needs
of shareholders, growers and customers.
MG Group was established as a co-operative in 1923 and markets and distributes fresh produce. The
group represents over 400 grower shareholders.
The co-operative is also the exclusive importer and marketer of Dole fresh produce, importing Dole bananas, pineapples and other produce into New Zealand.
Hendry said: “It’s a win-win situation, with the MG Group able to have a sharper focus on our New Zealand operations, while our long-term business partners get to take majority ownership of the business they know well.
“The transition will be smooth, with the new owners currently working in the business. There won’t be any disruption for employees, customers, farming operations or growers.”
The sale is a step to reprioritise the strategy, simplifying the focus of the co-operative, he said.
There won’t be any disruption for employees, customers, farming operations or growers.
Peter Hendry MG Group
General manager communications and sustainability at the co-operative Ellery Tappin said the future focus will be on driving forward the existing business, such as the network of produce markets, growing operations, export business and other subsidiaries.
“There’s no immediate plans to reinvest, but the sale puts the MG Group in a better position to take advantage of any future opportunities,” Tappin said.
WARM AND FUZZY: The vibe was positive at the Devold woolgrowers summit.
HANDS ON: Eva Ratahi of NZWTA explains the sampling procedure to Martin Murray of Maryburn Station and Doug McKay.
Gerhard Uys MARKETS Horticulture
SIMPLIFY: The sale of Market Gardeners Limited’s stake in an Australian fresh produce group will simplify the focus of the co-operative, says CEO Peter Hendry.
Located 8 kilometres northwest of Maungaturoto, Wairere Afforestation is currently being planted exclusively in Radiata pine under the expert super vision of Forest360 Once planted, most of the land is expected to be eligible for registration in the Emissions Trading Scheme (ETS), allowing purchasers to benefit from ongoing carbon sequestration from this production forest asset The landholding is ideally suited for afforestation due to its favourable contour, soil types, and proximity to markets
Deadline Offers: Friday 12 July 2024 at 4pm (NZST)
Wyatt Johnston +64 27 815 1303
Jeremy Keating +64 21 461 210
+ 258 3ha* freehold land (subject to survey);
+ 215ha* Radiata pine at settlement;
+ 209ha* post-1989 eligible;
+ 94%* of land under 20-degree slope;
+ 25km* to Northpine, 43km* to Northport;
+ This farm land is available for sale
Poplars For Sale
Wholesale nursery Plant Hawke’s Bay has Veronese and Kawa poplars for sale this winter. We can ship these rooted cuttings in pots anywhere in New Zealand. Also available are fully recyclable guards and metal cages to protect the poplars from stock.
www.planthawkesbay.co.nz admin@planthawkesbay.co.nz
4X4 TAGALONG TOURS
Bring your own 4X4 on a guided tour to discover more of the South Island.
Tour 1: Tour 1 Molesworth Station, St James, Mailings Pass & Rainbow Stations
Dates: Nov 11-14, Feb 3-6, 17-20, March 17-20, 24-27, April 7-10, 14-17
Tour: 2 D’Urville Island & Marlborough Tour
Dates: Feb 19-23, March 24-28
Tour 3: North Otago Tag-along Tour Dates: March 11-15
Other dates could be available for groups of 6 or more people on request.
from station to station and experience the majestic South Island High Country
• Self drive your own 4WD from Blenheim to Cardrona in Central Otago including Molesworth through a network of high country tracks with a 7 day 8 night tour
• Stay in comfortable farmstays, lodges & historic hotels • Travel at a quieter pace with smaller, fully guided tour groups
Claas Arion 620
T4i FH A4WSL 5219
Claas Arion 620 Hexashift T4i FH B2CFL 4623
2019 New Holland T7.210 B7YNY 3001 2014 Merlo 40.7 Telehandler/ forks & euro adapter A7SHC 2886
Utilities
2016 Nissan Navara Flat deck JTL373 111,800 2022 Mitsubishi Triton PSF938 38,112
2021 Volkswagon V6 Amarok 210Kw NSR677 43400
Misc Honda XL 125 farm bike, 4 Bale grabs, 1 Merlo Bucket, 1 Bale pack grab, 1 Silage grab, 2 Bale racks, 1 Blower 1 Portable hydraulic power pack (harmin bin), Farm trailers, Electric fence gear/ reels and standards, 3 point linkage quick hitch, 10KVA electric start generator, Suzuki generator small, Grease guns, PTO shafts and covers, C-Dax spray equipment for quad bike, 3 Bale innoculant applicators, 2 Concrete rollers (rough), 3 Point linkage weights 400kg, 3 point linkage bale wrap holder (10), Electric single phase water blaser, Spare parts, 10,000 litre diesel tank & high volume pump, Well-side for Nissan ute, Shipping containers, Tools, Welding equipment, Iconix Fx15 lamb sheep scales and crate, 42 years of stuff!
Pre-register by emailing. Viewing by appointment if prior to open viewing on 15th & 16th July, 10am to 2pm Food and drinks available on auction day.
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 www.electrodip.com
GOATS WANTED
HORTICULTURE
An elderly man, notorious for being a cheapskate, is on his death bed. Summoning his last bit of strength, he lifts his head and whispers: “Is my beloved wife Sarah, the light of my life, is she here with me?” Sarah moves closer to him and says, “Yes, I am here.” He then asks, “Are my children, my wonderful children, are they here with me?” And they reply, “Yes father, we are here with you to see you breathe your last.” And then he asks, “Are my brothers and sisters, who I love dearly, are they here with me as well?” And they too move closer to his bed and tell him that they are here. So the old man lays back quietly, closes his eyes, and says, “If everybody is here, why is the light on in the kitchen?”
If you’ve got a joke you want to share with the farming community (it must be something you’d share with your grandmother...) then email us at: saletalk@agrihq.co.nz with Sale Talk in the subject line and we’ll print it and credit it to you. Conditions apply
Livestock
ALL ROUND HUNTAWAY will back in the yards can draft by yourself and can be handy as a back up in the paddock. davo1951@ windowslive.com.
HEADING DOG, EXCELLENT working strain. 12-monthsold. Fully broken in. Satisfaction guaranteed $2500 incl GST. Phone Dave 027 450 6095.
• Ford Ranger XLT Double Cab Ute Nissan Navara RX Double Cab Ute
• Volvo FH520 8x4 Flat Deck Truck
• Hino 700 8x4 Silage Bin Truck
Kenwor th K104 6x4 Alloy Bin Truck
• Transfleet Alloy Bin Trailer
Fruehauf Flat Deck Trailer
• John Deere 8500i Forage Har vester
• John Deere 460 Plus Maize Head
• John Deere 369 Grass Head
• Fendt 922 Tractor
Fendt 824 Tractor
• Kverneland 3632 FT Front Mower Conditioner
• Kverneland 5087 MN Mower Conditioner
BUYING WORKING DOGS NZ wide. 07 315 5553. mikehughesworkingdogs@ farmside.co.nz.
MID WINTER SALE
EX-FARMER AVAILABLE for farm sitting. Experienced. Feral goats and cattle also mustered. Price negotiable. Phone Dave 027 450 6095.
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.
WANTED 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 027 688 2954 Richard.
• Claas Disco 9200C Mower Conditioner
• Josk in BC125 Silage Trailer x 2
• Custom Silage Trailer
• Strebel/Monosem SAG 16 Strip Tiller Alpego DG 500 Power Harrow
• Alpego DKS 500 Power Harrow
Lavor Hyper L Steam Cleaner
• Amazone EDX 6000 TC Maize Planter
• K Two Duo 1200 MKII Muck Spreader
• Abbey Liquid Fer t Tanker & Shoe Unit
• Pottinger Terrasem C4 Drill Amazone ZA TS 3200 Fer tiliser Spreader
• Dalbo 6Mtr Roller and Hatzenbichler Seed Unit
Amazone 3pt Sprayer & Front Tank
Viewing: Tuesday 16 July, 9am - 3pm and 8.30am on sale day
Bidding
w.bidr.co.nz
Osborne
• Kverneland 9590C Hydro Rake
• Gascon GR-RCHV405 4Mtr Discs
• Goweil G1 Baler
• Alpego KE7 300 7 Tyne Rippers Custom Front Blade
• Front Buck Rake
Stack ing Weight/Counter Balance
• Kuhn GA13131 Rake
• Kuhn GF5001 THA Tedder
• Ziegler HR 785 DH Tedder
• Hustler LX200 Soft Hands
Toltec Mobile Weighbridge
• Marsh Mobile Weighbridge
Lamb exports lift but prices will need to follow suit
Increased availability of NZ lamb has been absorbed by willing markets, but these higher volumes have moved at prices much lower than in recent years.
ANYONE who’s farmed sheep for long enough will clearly remember the pinch point summer weather conditions would create at processors early each year. Weather patterns have knocked that trend on the head over the past couple of years, but it returned this year, minus the usual complaints about backlogs.
In the six weeks to late March, New Zealand processors made short work of 3.4 million lambs, reminiscent of earlier years when lamb numbers were plentiful.
This was 700,000-800,000 more than same period in 2022 and 2023, when processors were plagued with staffing issues alongside favourable on-farm feed conditions.
April saw slaughter rates interrupted by public holidays, and while May throughput started trending lower, weekly kill rates
still managed to hold above average.
Higher lamb production has led to higher exports. In the first five months of 2024, NZ shipped 157,000 tonnes – a return to more traditional volumes. Given the lower production between January and May in the past two years, this supersedes those years by 12,000-19,000t.
The increased availability of NZ lamb has been readily absorbed by willing markets, many of which had been in the shadow of China in recent years.
However, these higher volumes have moved at prices much lower than we have enjoyed in recent years. The flow-on of this is weaker farmgate returns, which continue to slink along below $7/ kg.
As we have encouraged a greater uptake of lamb into our global markets, the next step needs to be rebuilding prices to a sustainable level. To drive the value of NZ lamb exports higher we need to play to our strengths and remind
maintain relationships within the Chinese market is necessary.
As we have encouraged a greater uptake of lamb into our global markets, the next step needs to be rebuilding prices to a sustainable level.
markets that it is quality then quantity that counts.
We still need to ensure our sheep industry maintains the scale needed to compete globally, but we also have to reposition ourselves as price setters, not takers.
What may come as a surprise is that China still remains our largest export market for lamb, even though shipments there have declined below five-year average levels.
The need to remain visible and
Export conditions there remain subdued with only a faint hint of light at the end of a very long tunnel. But as that light brightens, being at the front of the queue will be essential to ensure we capture any opportunities that may arise. Otherwise, we risk Australia nabbing that spot.
Recent reports from Meat & Livestock Australia suggest they believe they have the upper hand in the export scene in the months ahead based on their expectation that our production and export volumes are slumping, while theirs continue to break records.
There is some truth to that statement. NZ export lamb slaughter numbers for the 202324 season were expected to land just over 17 million head. Season to date, the national kill is sitting just over 15 million head. On this basis, it would leave a remaining
lamb slaughter tally to September 30 well off the pace of anything we have seen in at least the past five years.
This would lead to a considerable reduction in export volumes through to spring. While markets are showing glimpses of positivity, a drop-off in our production to drive export prices is a temporary fix.
We have been in this space before, but it’s never coincided with record-breaking production out of Australia.
For the first five months of 2024, Australia exported 155,000t of lamb, a 40,000t hike from normal. With weekly lamb slaughter rates continuing to spike over 500,000 head, annual export volumes will hit another record in 2024 of well over 300,000t.
This puts Australia in a powerful position to consistently supply export markets at a price it can dictate.
SLINKING FEELING: Weaker farmgate returns continue ‘to slink along below $7/kg’, says Mel Croad.
Mel Croad MARKETS Exports
Weekly saleyards
Temuka held an in-lamb ewe fair last Wednesday where almost 11,000 ewes were yarded. All purchases were made in person from the large gallery despite the sale being livestreamed. The bulk of scanned in-lamb ewes in very good to heavy condition traded from $106-$150. On the same day, Stortford Lodge posted its largest yarding of store lambs since July 2021 with more than 11,000-head. A lot of the lambs had made the trip from Wairoa and Taupō and sold on a solid market. In contrast, throughput was low at Canterbury Park and empty pens dotted the store section.
GRATEFUL FOR
Aut-born weaner Belgian Blue-Friesian heifers, 96-110kg
TRUCKS AT THE READY: Trucks were lined up early ready to take some of the nearly 13,000 sheep away to successful buyers from Manawatū, Waikato and Hawke’s Bay.
ENGAGE WINTER MODE:
Park. The empty pens dotted throughout the
the current season.
AgriHQ market trends
NZX market trends
Waikato
A mountain of high pressure in the sky
WELCOME to the depths of winter.
Heavy frosts around parts of New Zealand and frosts right up the upper North Island have helped cement the season that, in previous years of the past decade, has occasionally felt absent for some.
I can recall writing a number of news headlines and blogs/columns over the past 10 years declaring spring had arrived in the month of July.
That seems a bit hard to fathom considering the recent burst of cold sub-Antarctic air across the nation – but all it takes is for high pressure to be parked east of NZ and suddenly our sub-Antarctic southerly becomes a subtropical northerly.
Not a lot of countries on earth can have such a simple switch from cold to warm from the same single air pressure system over a couple of days. But that’s NZ’s unique location.
I’ve always maintained NZ has a
short summer and a short winter from a weather point of view –around two months for each of those seasons, while autumn and spring seem to be four months each. In fact, NZ can be so “mild” in winter that some farmers are famous for wearing shorts and singlets during it.
We can also get pollen in late winter (especially pine pollen in August) and I’m sure many of us have seen daffodils out in July – again, not the normal sign of the depths of winter in other countries.
High pressure controls our weather a LOT more than we realise.
We think of low pressure zones as the headline makers, because they can bring a lot of severe weather. But often damaging winds in NZ are caused by high pressure nearby.
The bigger the mountain of high pressure is, the more isobars there are and the windier it gets. The bigger the high pressure, the greater the “reach” is to scoop up air from the tropics or polar regions.
The same high pressure system can do this as it slowly tracks over.
UNDER PRESSURE: Two maps over 10 days but tracking one big high. Long range modelling (not locked in) shows the same high bringing sub-Antarctic air and frosts last week – and this week may pull down air from Fiji later next week.
And it’s a single mountain of high pressure that can extend dry periods – like we saw in May (and now again this month) – or can park itself east of NZ (like it did in June) and cause low pressure to stall over NZ for weeks, bringing heavy rain and showers.
This week NZ has a mountain of high pressure, and I use that term
“mountain” because in my mind that’s what I see.
A huge dome moving in with steep edges and a large summit.
The isobars on the weather maps are a version of topographic lines in the sky. The closer those lines are, the steeper the “terrain” gets in the sky –and the steeper the slope, the stronger the winds get.
We get some of our most powerful high pressure zones in our coldest months – now to September, roughly. So get used to more frosts, cold nights and black ice – but it’s quite possible the same high bringing this current cold weather will bring subtropical or northerly warmth soon, too.
Glengar
Jordan Evans
Philip Duncan NEWS Weather
