Farmers Weekly NZ September 9 2019 by AgriHQ

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Vol 18 No 35, September 9, 2019

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Vol 18 No 35, September 9, 2019

Fonterra must come clean

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Time for change Neal Wallace neal.wallace@globalhq.co.nz

ONE-SIZE-FITS-ALL approach to freshwater management will penalise farmers shrinking their environment footprint, Beef + Lamb chairman Andrew Morrison says. Farmers, like everyone, want clean, fresh water but the blanket regulatory approach in the Government’s Action for Healthy Waterways discussion document lumps those who have cut their footprint with those who haven’t. Federated Farmers’ reaction was scathing. Water spokesman Chris Allan said proposed nitrogen reduction targets of 80% mean farming will cease in large parts of rural New Zealand. “The long-term targets for nitrogen reduction are effectively unachievable in some parts of the country and will end pastoral farming in these areas.” Federated Farmers considers land use change controls to effectively be a ban. “The discussion documents say an interim control is not a ban. But if it stops you from doing something with your own land, without appeal or any achievable recourse then it’s a ban, pure and simple.” Morrison said nitrogen grandparenting provisions lock farmers into a farm management system and limit options.

B+LNZ will work with the Government to implement workable policies on fencing requirements, defining intensity and ensuring community catchment groups are not disengaged. Local Government NZ’s regional sector and Bay of Plenty Regional Council chairman Doug Leeder says for councils to meet the 2025 deadline to notify water plans, consultation might be reduced and water plans might be region-wide rather than tailored to issues in specific catchments. He welcomed Parker’s commitment to change the Resource Management Act, saying delays mean a 2003 plan released by his council to manage nutrients in the Rotorua Lakes catchment is still not notified. Leeder says the proposal affects urban centres with territorial local authorities renewing wastewater consents in coming years having to meet new standards. National party agriculture spokesman Todd Muller says the Government’s own data shows freshwater quality is already improving, albeit slowly, under the previous National Policy Statement for Freshwater. DairyNZ chief executive Tim Mackle says work under way by farmers needs to be acknowledged. “Our dairy sector is already on the journey to improve and protect water quality and our farmers have been working towards this for more than a decade.”

Continued page 3

TRY THIS: The rest of the country is about to find out already challenging rules are getting much harder, Mid Canterbury farmer Rab McDowell says.

Cost/care balance needed Annette Scott annette.scott@globalhq.co.nz FARMERS face draconian measures in the new freshwater policy that lets swimming place polluters off more lightly, Mid Canterbury farmer and IrrigationNZ board member Rab McDowell says. “Swimmable rivers has been the rallying cry for this water review. But this is a freshwater document so the most popular but most polluted swimming places in the country, Auckland’s beaches, are left alone,” McDowell, who farms 360ha with 250ha in arable crops and the rest for dairy heifer grazing and finishing 4000 winter lambs, says. “Most of the worst rivers for

swimming or contaminants are within or downstream of urban areas. “This is a policy from a Government that knows where its votes are.” It proposes that waste and storm water operators, urban areas, will need to meet new standards and improve practices but the requirements on farmers are far more draconian. It proposes immediate tight restrictions on new irrigation, changes in land use and forage and vegetable cropping. However, in Canterbury most of the actions flagged are already in play. Irrigation schemes do not allow extra irrigation or land use change unless there is no increase in nutrient

losses and ECan requires groundwater nitrate levels to reduce by close to 50% by 2035. “Farmers are doing a lot but are already finding that challenging and it’s going to get much harder. The rest of the country will find the same. “We need balance between that care and the social and economic costs,” he said. McDowell is a trustee of the Hinds Hekeao Water Enhancement Trust implementing the Managed Aquifer Recharge project in the Hinds Plains to protect drinking water, improve groundwater levels, enhance its quality and improve spring fed streams by recharging aquifers with clean alpine water.

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NEWS

WEATHER OVERVIEW There are more lows moving over New Zealand. Basically, we are seeing a new pattern of low pressure forming and dragging down more sub-tropical rain for the North Island. We have another low arriving this Sunday to Tuesday then it looks likely another Tasman Sea low will form the following Sunday and Monday. In between the lows we have typical spring weather with more westerly winds that will see rainfall accumulate on the western side of NZ, more so in the North Island, for the next week or so. The flip side means eastern areas, mainly in the South Island, will be drier than average. There are no major polar changes in sight.

4 Fonterra’s clean-out is overdue Fonterra’s farmer-shareholder with the largest number of shares believes the co-operative’s house cleaning and write-downs are absolutely necessary and overdue.

Newsmaker ��26 New Thinking ��27

NZX PASTURE GROWTH INDEX – Next 15 days

Pasture Growth Index Above normal Near normal Below normal

7-DAY TRENDS

Wind

Rain This week kicks off with another large low but it’s not overly stormy, just bringing in more rain, mainly for the North Island. Conditions dry out midweek then we might see a cooler southwest change on Friday with western showers.

Opinion ��28

Highlights/ Extremes

World ��36

ON FARM STORY

Another low means winds will again be variable to begin this week. Some might have easterly quarter winds to start but mid to late week we shift back to west to southwest winds. Nothing severe in the forecast.

Temperature This week kicks off mild in a number of regions because of a low-pressure system moving by. No regions look below average this week though a cooler change on Friday will dip temperatures a little. It’s generally average to above-average temperature-wise.

Nothing too significant on the horizon other than more rain and low pressure to kick off this week in the North Island and we might see another low in the same place a week from now.

14-DAY OUTLOOK

It is hard to find much to talk about with the latest soil moisture conditions as most farmers are reporting excellent or ideal levels. Based on the latest soil moisture maps most regions are bang on normal, not too wet and not too dry. Soil temperatures are fairly mild too after a lack of frosts this winter. We have more rain for the North Island in particular this coming week and some brief inland frosts in the south. Overall, positive for pasture growth.

SOIL MOISTURE INDEX – 05/09/2019

34 They’re fishing for the future The desire to remove the ticket-clipping middlemen is not confined to dairy and meat farmers wanting to get closer to their markets and earn higher prices. It is a path being followed by Bluff fisherman Nate Smith.

REGULARS Real Estate ��37-42 Employment ��43 Classifieds ��44 Livestock ��45-51 Markets ��52-56 GlobalHQ is a farming family owned business that donates 1% of advertising revenue to the Rural Support Trust. Thanks to our Farmers Weekly and Dairy Farmer advertisers this week: $1256. Need help now? You can talk to someone who understands the pressures of farming by phoning your local Rural Support Trust on 0800 787 254.

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News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Water protection options tabled Colin Williscroft colin.williscroft@globalhq.co.nz THREE options to cut nitrogen lost into waterways have been suggested by the Government. Action for Healthy Waterways aims for a noticeable improvement in river and lake water quality within five years and to restore waterways in a generation. It said nitrogen contamination is the most significant impact of agriculture and horticulture on freshwater health, with livestock effluent the primary source, followed by fertiliser use. The existing National Policy Statement on Freshwater Management says every regional council must have a plan to reduce contaminant losses, including nitrate-nitrogen leaching, by 2025. Now the Government wants to rapidly reduce leaching and wants feedback on the options. The first option will set a cap in catchments with high nitratenitrogen levels, with farms having to reduce losses to get below the cap. It will limit allowed nitrogen leaching in sub-catchments with similar soil types and rainfall. It will apply where nitratenitrogen levels are in the highest 10% of monitoring sites and regional rules implementing the national freshwater policy standards are not already in place. The threshold will be based

Continued from page 1 Mackle questioned the focus on reducing nitrogen and phosphorus, saying it might not have the desired effect on ecosystems while the blanket approach does not recognise the needs of individual catchments. Academics supported the package. Our Land and Water

All farmers and growers must have a farm plan to manage risks to fresh water by 2025.

Other proposals include: • All farmers and growers must have a farm plan to manage risks to fresh water by 2025. • Tight restrictions on further intensification of land use, including no new irrigation or dairy conversions from June 2020 unless there is evidence they will not increase pollution. • More fencing and wider setbacks to keep stock out of waterways to reduce erosion and capture contaminants before they reach the water. • National winter grazing standards, including restrictions on the area used, the distance it is set back from waterways and the depth of pugging. • Commercial vegetable growers wanting to increase the area of land they use will need resource consent.

on Overseer figures across the catchment. To illustrate how this will work the document gives the example of a sub-catchment with 100 dairy farms, with farms ranked from lowest to highest on their Overseer nitrogen losses. If the threshold was set at the figure for the 75th farm in the ranking then the 25 farms with Overseer figures higher than that farm will have to change

their practices to get below it. It is a similar approach to Waikato Regional Council’s proposed Plan Change 1. Feedback sought includes where the threshold should be set. The second option is to set a national nitrogen fertiliser cap. Total nitrogen applied in fertiliser per hectare per year will be capped, based on research findings and good management practice.

Caps will be applied nationally, with a higher threshold for higher nitrogen-demanding crops and land uses. All farms and horticultural producers will have to use less than the threshold amount or get resource consent to exceed the threshold. The final option will require farmers in catchments with nitrogen levels to show in a farm plan how they will rapidly

reduce leaching and trace their progress through independent auditors. It will apply in catchments where nitrogen levels are in the highest 10% of monitoring sites and regional rules implementing the National Policy Statement on Freshwater Management are not already in place. High nitrate catchments where regional council plans or proposed plans have already set a path for reducing leaching and so are not targeted by the first and third options are in Canterbury, Otago, Central Hawke’s Bay, Manawatu and Waikato/Waipa. Plans in those catchments are expected to deliver reductions in nitrogen leaching. For example, in the Hinds catchment in Canterbury, properties with a nitrogen baseline exceeding 20kg/ha/year must reduce nitrogen losses by 15% by 2025, 25% by 2030 and 36% by 2035. Submissions to the Ministry for the Environment on the proposed changes close at 5pm on October 17.

chief scientist Professor Richard McDowell says proposed regulation of fencing and grazing of winter crops fills gaps in existing policy. “For example, we know the majority, 77%, of contaminant loads come from small streams but fencing them off may not be the most practical nor sensible when other mitigations in headwaters are probably

more cost-effective. “We also know that 10% of a farm in winter forage cropping contributes 30% to 40% of the nutrient load but suspect that this proportion may be greater if winter forage cropping is practiced on floodplains.” McDowell says if all known mitigations are implemented nationally by 2035 it has been

calculated nutrient and sediment losses could be reduced by 30% to 60%. Waikato University environmental planner Professor Iain White says the catchment-wide and inter-generational approach reflects the scale of the problem and time it might take the transition. But there are some key questions still to be answered.

“How ambitious will the freshwater management plans be? What is the nature of the economic support for transition? Or how do you define healthy? “In this respect, I anticipate the power and oversight of the mooted independent Freshwater Commission will be hugely important in translating policy ambition to practical action.”

TOUGHER: More fencing of waterways is required with greater setbacks to reduce erosion and exclude stock.

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News

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Fonterra’s clean-out is overdue Hugh Stringleman hugh.stringleman@globalhq.co.nz FONTERRA’S farmer-shareholder with the largest number of shares believes the co-operative’s house cleaning and write-downs are absolutely necessary and overdue. Former director Colin Armer, who with his wife Dale has 10 million supply shares, says over-valued assets mean farmers sharing-up in the past four years paid too much.

We cannot allow managers to risk our businesses again. Colin Armer Shareholder He has made a formal complaint to the Financial Markets Authority over inconsistent valuations and executive performance payments. Fonterra’s auditors, PwC, were captured by the company and the fees they earned and the senior management and directors had manipulated or deferred accounting for losses over several years, he alleged.

In particular, the Beingmate and China Farms assets had been grossly over-valued for some time and were not delivering earnings. “Only now has the company decided that they are over-valued and it needs to write them down. “Why didn’t the auditors require those write-downs in previous years?” Armer believes Fonterra is no longer on the slippery slope it had been on in the past, with some of the details of its real position hidden, which was the purpose of his complaint to the FMA. “Had the company faced up to its real situation and made the write-downs earlier it would not have come to this big calamity.” Former chief executive Theo Spierings went on a capital spending spree but could not deliver the earnings that should have resulted. The directors did not hold him to account and the capital value of the company along with the share price took a huge hit with ripple effects back to every share-owning farmer. “As owners, we cannot allow managers to risk our businesses again.” Armer believes the strategy reset will be a period of consolidation and focus on New Zealand milk.

Co-op delays results FONTERRA has put off announcing its full-year results until no later than September 30, saying the process is taking longer than expected. It had planned to report next Thursday, September 12. The co-operative said significant accounting adjustments, signaled last month, added to the delay. But it says the change in reporting date is unrelated to any discussions with the

Financial Markets Authority, recent speculation about further material asset impairments or other announcements. It also does not affect the co-operative’s ability to operate and pay its bills, including paying farmers for their milk. Fonterra confirms its previous announcement that it expects a reported loss of $590$675 million for FY19, which is a 37 to 42 cent loss per share.

Under the pump?

DEMANDING ACCOUNTABILITY: Farmer Colin Armer says the Fonterra Shareholders’ Council should have done the job he is now doing.

“We have no other options and the balance sheet will be able to handle that.” It is too early to review the capital structure because that would be a distraction from the recovery and consolidation now under way. Armer also called the leadership of the Fonterra Shareholders’ Council inept, saying the council should have been doing what he is now doing – demanding accountability. There is room in the Fonterra structure for the council but it needs to be reformed. With respect to the FMA complaint, Fonterra’s chief financial officer Marc Rivers said Fonterra operates in a framework regulated by the FMA and had kept it advised of the write-downs before Armer’s complaint. “We discussed our methodology and rationale for our impairment

decisions with them and will continue to do so through the reporting process.” Chairman John Monaghan also expanded on the process of making impairments, which were not done lightly and in most cases could not be fully reversed. Valuation of assets is a regular requirement, includes future earnings potential and is not an exact science. The recent substantial writedowns were mostly the result of shifting market dynamics, including political and economic instability in Venezuela and Brazil and drought-reduced milk production in Australia. “In developing our new strategy we’ve also taken a hard look at our businesses and the markets where we operate and assessed how much value they might return in the future.” Mongahan said the write-down

of Fonterra Brands NZ was due to the compounding effect of poor operational performance over 18 months and a slower recovery in margins. Without Tip Top that team is now refocused on the core business. Meanwhile, chief executive Miles Hurrell said performance bonuses will not be paid for the 2019 financial year. There will be no pay increases for all salaried employees earning more than $100,000 a year, which affects nearly 6000 of the 22,000 employees. A number of dairy farmers commented on social media that hard-working employees should not be penalised and disincentivised when the very highly paid senior managers like Spierings had regularly taken bonuses without producing obvious results.

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News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

New owners but the training role remains IN A win-win for the Rangitikei farming community and farmbased training, Otiwhiti Station is staying in local hands. The property was put on the market in June and there were fears its sale could lead to the closure of its training school, which has been operating since 2007. But it is business as usual for the 1679ha station near Hunterville after a group of local farmers and business people got

together and bought the property for an undisclosed price. The group’s was one of four tenders received for the property. Otiwhiti spokesman Charlie Duncan, who will continue to run the school, said the new owners, who want to remain anonymous, have experience in farming, training and business in the area. They are committed to the station continuing to be run both as a farm and a school to train young people for hill country employment in the Hunterville and Taihape area.

“It’s a great outcome. From our perspective it’s absolutely fantastic.” The philanthropic role Otiwhiti has always had remains and the new arrangement shows the community’s support for the school, he said. “The sale was a good outcome for the community, which voiced its support and desire for the continuance of the school to support their businesses.” Even during the sale process, which could have been unsettling for those applying for places at the training school, just under

BUSINESS AS USUAL: Charlie Duncan will continue to run the Otiwhiti Land Based Training school.

50 applications were received for the 16 places available in 2020. Interviews have been recently completed. As part of the new arrangement, Otiwhiti and Westoe farm, a

Hopes for fine wool prices rise Alan Williams alan.williams@globalhq.co.nz A RECOVERY in fine wool prices in Australia has boosted hopes of strong results at the South Island’s first premier Merino wool auction on Thursday. It follows a slump, based on Australian weakness and international buyers being spooked by the United States-China trade war, in fine and mid-micron wools at the Christchurch sale two weeks ago. About 1600 bales, averaging 18.3 microns, will be offered in Christchurch, nearly 1000 of them through PGG Wrightson. The quality will be very good though more vegetable matter in fleeces as a result of the bumper growing season has kept shearing shed teams busy on the wool sorting tables, PGW’s South Island sales manager Dave Burridge said.

The fine wool market is confidencedriven and there could be a nervous stand-off between buyers and sellers. Dave Burridge PGG Wrightson At least two representatives of Australian exporters are expected at the sale. Fine wool values peaked about a year ago but there has been quite a correction in Australia over the last six weeks and it affects NZ prices. They are down about 30% from the peak. With no sign of resolution of the US-China issues there is market uncertainty, Burridge said.

“The fine wool market is confidence-driven and there could be a nervous stand-off between buyers and sellers. It could test the resistance of growers to meeting the market.” Buyers from around the world are buyers of fine wools but China is the heavyweight in the sector and the trade war has dampened demand there. The Australian price recovery last week will lead to optimism of gains here, he said. After the strong growing season the good quality wool will have an advantage over Australian wool grown in difficult climate conditions this year, providing a point of difference for the NZ fleece. Rules here for fly-deterrent management are now tighter than in Australia and expectations are that will provide a useful premium for NZ fine wools. With the shearing season

well advanced across the South Island there should be good volumes of fine wool coming to market over the next few weeks, Burridge said. Thursday’s auction will have about 11,300 bales rostered, mainly crossbred wools but also fine and midmicron. The latter were also hammered in the sale on August 29 and are about 20% off their price peak a year or so ago. Despite the sharp falls both fine and mid-micron wools are still at historically high levels, above the 10-year average. For both strong and mid wools there is good-quality, pre-lamb shear fleece coming through. For strong wools struggling with poor prices for a long time there has been no change in market signals, Burridge said. There is also some of last season’s wool coming to auction.

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Dollar bounces with more cuts to come A RECENT slight bounce in the kiwi is a normal part of market trading and the trend is still pointing lower, ANZ FX/market strategist Sandeep Parekh says. The kiwi found some support as some geopolitical concerns, notably Hong Kong, eased and the Australia and Canadian central banks held interest rates steady. Against these moves the global outlook is still downbeat and the Reserve Bank is dovish, he said. “We still think there will be an interest rate cut in November and so does the market.” Parekh said Reserve Bank governor Adrian Orr has been candid more stimulus is needed for the economy, including fiscal measures by the Government. “The Government says there’s plenty of stimulus already but the governor thinks more is needed.” Central banks around the world are giving the same message but the RBNZ is prepared to be frontfooted and ahead of the game. The market is pricing in a low point for the OCR at 0.5% to 0.55%, from 1% now. Parekh remains confident in his forecast for a US$0.61 kiwi cross rate at year-end, given the United States-China trade stand-off, the low world growth settings, NZ’s status as a risk currency and the falling OCR. – Alan Williams

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News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Change hits cashflow pressures Alan Williams alan.williams@globalhq.co.nz A NEARLY 30% fall in operating earnings is a disappointment for Landcorp, chief executive Steven Carden says. The state-owned farming company is investing in longer term businesses to diversify income streams and make it more sustainable but is coming up against cashflow pressures from current farm challenges. Higher operating expenses including an expensive long-term lease for the Wairakei dairy farms, managing Mycoplasma bovis, changing on-farm systems and an extra $1 million in shearing costs added to the development costs cut into earnings. Those factors were compounded by a very dry late summer and autumn at the big Wairakei dairy zone in the central North Island, which produces about 45% of the group’s milk, Carden said. Landcorp has moved to more sustainable feed systems there and reduced stocking levels. “I’m as frustrated as anyone that we’re not getting the returns but there’s no doubt in my mind that our strategy is the right one,” he said. Landcorp, trading as Pamu, had earnings before interest, tax, depreciation, amortisation and revaluations of $34 million in the year ended June 30, down from $48m a year earlier. Ebitdar has long been the group’s favoured earnings measure as it covers the cashproducing farming operations. However, after asset revaluations required by accounting rules, the bottom-line loss was $11m. The revaluations produced $22m of write-downs, mainly on beef cattle with higher start-of-year values and lower end-of-year values combined with lower numbers and on forestry land.

TRANSITION: Landcorp is trying to change and diversify but that doesn’t provide a return right away, chief executive Steven Carden says.

In 2018 there were $25m of revaluation gains on top of the $48m in Ebitdar. In the latest year but below the core profit line there was a $12m hit to Landcorp’s balance sheet from the shareholding in Fonterra, partly offset by a $5m gain on the sale of its Westland dairy co-op stake into the Yili takeover. The total proceeds from the Westland sale were $12m, most of which will be reinvested after payment of a $5m special dividend to the Crown. Carden said Landcorp lost about $10m on Westland over the last six or seven years, given its poor returns. It has 12 dairy farms supplying the Hokitika-based processor and Yili’s assurance it will at least match Fonterra’s milk payout for the next 10 years will be worth an extra $2m or so a year in income.

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Landcorp receives a number of premium payments on its A2 milk supply to Synlait but by far most of its milk is sent to Fonterra, which has its own issues to resolve. “We need a successful Fonterra,” he said. In recent years Landcorp has tilted its livestock operations towards beef and away from lamb. In the latest year beef production rose 4.5%, helped by a growing bull beef unit and transferring bobby calves out of the dairying business and keeping them in the core livestock business. Those gains were offset by flat to slightly lower prices. Sheep meat sales rose nearly 2% on good lamb prices but reduced volume. Wool production was up 8% but sales down 22% on continued poor prices. Better venison prices were offset by lower production

because of the dry autumn in Southland/Otago. Landcorp is a 35%-shareholder in Melody Dairies, which is building a dryer at Hamilton, for production of sheep, goat and cow milk infant formula and ingredients. It should be earnings positive from the time it opens next year, Carden said. The Spring Sheep Milk jointventure will take a few years to fully establish and Landcorp is also building up a deer milk business. Avocado orchard development in Northland is new and will take a few years till production. “Animals will always be our core business but we’re trying to change, to alter our land use and diversify our income and you don’t get a return right away. It’s not an easy balance to drive those cashflows.” Carden said group debt, about

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THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Study on M bovis’ human effects Annette Scott annette.scott@globalhq.co.nz A STUDY of the effects of Mycoplasma bovis on southern farmers and their communities has begun. Otago University is leading the study that aims to inform the Government’s management not only M bovis but also to aid in exotic disease responses. General practice and rural health senior research fellow Dr Fiona Doolan-Noble is leading the two-year study involving multiple community groups. The study will look at the impact of the eradication programme on farmers directly and the wider community more generally. “It’s taken time but we have put together a stakeholders’ panel with representatives from rural communities and we kicked off in July. “The panel will be our connectors to that rural community.” A governance group made up of public health specialists, farmers, health professionals and a senior veterinarian has been formed to address key challenges. “They are there to guide us when need arises.” Community focus groups from organisations that make up a wider community including Rural Women, Rural Support Trust, Federated Farmers, teachers, vets, business owners and health professionals are also being set up to guide the researchers. Three focus group meetings are planned before the end of the year. “We haven’t started interviews with farmers yet but again the research team will be guided by these community stakeholder groups. “Because of their guidance we have already changed some of the research plan to make it more robust and directly relevant.

USEFUL: Otago University senior research fellow Fiona Doolan-Noble hopes findings from a study on the impact of Mycoplasma bovis on farmers and their communities will help the Government’s decisionmaking in future exotic disease responses.

Considering the impact we believe Mycoplasma bovis has had I think it’s quite vital as researchers that we do this study justice. Fiona Doolan-Noble “Considering the impact we believe M bovis has had I think it’s quite vital as researchers that we do this study justice so we have opened this as widely as we can to get the best result possible.” The study is being funded by a $120,000 Lotteries grant and there’s a process in place to incorporate an Otago Medical

School-funded student summer project. “This will be very exciting if we get this funding as the successful recipient will be a mature med school student and former barrister. “This additional expertise and funding will be a huge boost to the study.” Doolan-Noble said a wide variation of experiences taking in farm owners, managers, sharemilkers, graziers, confirmed affected property owners and high-risk properties of both past and present will be captured in the study. “We know it’s changed a lot from the beginning we so we will be looking at past and present affected farmers and communities and looking to see whether changes have influenced the impact on farmers.”

Information will be collected from interviews, logs kept by participants and analysis of media coverage and social media. While there is some research on the logistical and economic impacts of exotic disease outbreaks in NZ there’s no research looking at mental health and social impacts. “For the farmers themselves, one day their herd is there and the next morning they wake up and they’ve all gone. “That’s a huge loss on so many levels. “It’s an emotional loss, a sensory loss and a financial loss until compensation is received and they can start building up their herd again,” Doolan-Noble said. Others in rural communities are also affected from agricultural suppliers and small rural

businesses through to community groups. “Studies from the 2001 foot and mouth outbreak in the United Kingdom show the outbreak was not just an animal tragedy but also a human one.” UK research identified feelings of distress and bereavement, concerns of a new disaster, loss of faith in authority and control systems and annoyance at the undermining of local knowledge. The foot and mouth outbreak was contained in seven months but M bovis is more difficult to control and will take years to eradicate. “The fact that it could drag on for a long time introduces another complexity. “Farming is at the core of rural communities and when it takes a hit the whole community gets hit,” Doolan-Noble said.

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10 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Milk price predictions hold up

FONTERRA has held its forecast of the 2020 farmgate milk price steady at $6.25 to $7.25/kg milksolids and maintained the advance rate schedule based on $6.75. Chairman John Monaghan made the announcement directly to farmer-shareholders. It was not announced to the Stock Exchange because there was no change in the forecast and therefore not material to the supply share and investment unit prices. It was a routine forecast required at the end of August by the Dairy Industry Restructuring Act. Monaghan said the season is very young with only 2% of expected milk volume collected to date and the forecast range of $1 will narrow as the season progresses. Global markets are balanced but not without risk and Fonterra is keeping a close eye on international trade tensions and geopolitical risks. “The weakening Chinese currency means less consumer purchasing power for United States dollar-priced dairy products like ours. There is also continuing volatility in the price of dairy fat.” He noted good prices for whole milk powder and the slowing of global milk supply growth. In its latest Global Dairy Update Fonterra said Australian milk production is down about 10% month-on-month and year-on-year and European and US production was static over the past year. In July Fonterra’s Australian milk collection went down 30% compared with July 2018, which it blamed on drought, cow culling, farm retirements and high input costs. How much market share Fonterra Australia lost during the 2018-19 financial year will be reported in the annual accounts to be released on September 12.

BAD NEWS: Fonterra might write off another $700 million of assets this year and might not be able to afford to pay its predicted milk price, ANZ economist Susan Kilsby says.

Hugh Stringleman hugh.stringleman@globalhq.co.nz SMALL movements in dairy prices at the latest Global Dairy Trade auction were not enough to make dairy analysts change their farmgate milk payout predictions for this season. The GDT price index fell by 0.4% and whole milk powder prices went down 0.8%. Prices of the other products were mixed, including small reductions for anhydrous milk fat, lactose and cheddar and small rises for skim milk powder and casein. ASB chief economist Nick Tuffley said it is encouraging United States-China trade tensions and the weakening renminbi are not having a material impact on dairy prices. Until the impact of New Zealand’s spring milk flush on world prices is known ASB will maintain a $7 payout prediction. Westpac NZ strategy head Imre Speizer said the spring production statistics will be vital and early indications are for decent volumes but not the record set last September. The Westpac pick for milk price is $6.50, after being cut by 20c in August.

No change to the farmgate forecast

Rabobank analyst Emma Higgins said the latest GDT results support Fonterra’s forecast range of $6.25 to $7.25/kg milksolids, which the company reaffirmed last week. Steady GDT prices in the last two events given currency turbulence and higher offerings are a good sign and weather conditions might produce another bumper spring peak. Rabobank has a forecast of $7.15. ANZ economist Susan Kilsby made a $7 payout prediction but raised the possibility of further write-downs to come this financial year from Fonterra operations in China, Chile and Australia. She estimates further asset impairments of $300 million to $700m in this financial year, following the

$800m-plus write-downs announced in August for the last financial year. Withholding some portion of the payout is not unprecedented because it happened in 2013-14. But Fonterra said she doesn’t yet know the state of the balance sheet for last financial year let alone in a year’s time, nor the anticipated recovery in earnings in FY2020 under a new strategy. Retention of earnings, for whatever reason, is a decision for the directors. “There has never been any suggestion that some portion of payout would be retained,” a spokesman said. Impairments are non-cash book entries and in no way affect Fonterra’s cashflow and payments to its suppliers and farmers.

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FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Satellite boosts internet cover Richard Rennie richard.rennie@globalhq.co.nz FARMERS in areas where rural broadband does not reach might find some options open up with the launch of a satellite providing a boost in coverage and capacity to New Zealand’s most remote areas. However, it will not be here in time for the Rugby World Cup with the Space X launch carrying the Kacific 1 satellite scheduled for late this year. Gravity Internet co-founder Tim Johnson, working in partnership with Kacific Broadband Satellites Group, said his company is running two satellites already providing broadband coverage but the third marks a milestone in technology. “The new satellite will give us greater capability and capacity, which will, in turn, mean users are effectively getting more data and speed for what they pay.”

We have had a lot of inquiry from potential customers about how well they will see it. Generally our response is we do not know, as we do not control the system, Spark does.

SPACED: Only time will tell how well Rugby World Cup coverage plays out, Gravity Internet cofounder Tim Johnson says.

Johnson said satellite coverage has been viewed as a connection of last resort but is generally available to anyone who has a clear view of the sky. “With more than one satellite we have greater chance of being able to deliver coverage to most people.” Tourism operators seeking constant coverage for health and safety regulations are the company’s second main market.

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Tim Johnson Gravity Internet The company has proved something of a disruptor in NZ’s rural broadband satellite market, which was dominated by two large players, Farmside and Wireless Nation. Offering uncapped data for less than $200 a month injected more competition into a market that had till now proved relatively expensive for many rural people, he said. And as the Rugby World Cup looms it remains to be seen how rural users will be served when the games kick off. “We have had a lot of inquiry from potential customers about how well they will see it. Generally, our response is we do not know as we do not control the system, Spark does.” Spark has involved other internet service providers in the process and has worked well with Gravity. “But at the end of the day this is an unprecedented method.” Gravity’s main market is rural users who are not going to be served by the Rural Broadband Initiative (RBI) and the company’s satellite footprint covers all of NZ. “There are also a fair portion of rural households that are on the fringes and are supposed to get RBI. It is debatable about just how fast the internet connectivity they get, versus what they are supposed to get, really is.” Problematic areas for RBI coverage and markets for the likes of Gravity include parts of Northland, the southern West Coast and parts of Marlborough.

Contact us Editor: Bryan Gibson Twitter: farmersweeklynz Email: farmers.weekly@globalhq.co.nz Free phone: 0800 85 25 80 DDI: 06 323 1519

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12 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

EXEMPLAR: Balmoral Station is proof productive farming, conservation and tourism can combine, High Country Accord Trust chairman Philip Todhunter says.

High-country economy being mapped Annette Scott annette.scott@globalhq.co.nz IN A first for the South Island high country a detailed statistical picture of its economy is being assembled. The High Country Accord Trust, representing high country farmers, has commissioned an economist to do the work, believing good policy needs to be informed by facts, Accord chairman and Lake Heron Station owner Philip Todhunter said. The Government is considering proposals that will change the way the high country is farmed. Farmers fear that could spell the end of high-country farming. The proposals could have adverse effects, not only for the families who have carved out a living in the challenging landscape but also for the economy, he said. “There is currently no economic analysis on what is proposed and no research on the impact on the land. “Now’s the time for pragmatic, sensible policy to ensure the connection between the high country and the high street is

preserved for future generations,” Todhunter said. The Government’s legislative review proposes to end tenure review, the process for farmers to freehold land in exchange for other land permanently returning to the conservation estate. “Farmers can live with ending tenure review. Most leaseholders have never gone into the process anyway, for a variety of reasons.” But farmers are deeply concerned over time the new proposals will put increasing restrictions on the conditions attached to pastoral farming of high country. “These will be restrictions that could go well beyond what is already in place via the Resource Management Act and what’s proposed in the pending national policy statements on indigenous biodiversity and freshwater. “While the emphasis on the biodiversity is undoubtedly well-intentioned, the economic viability of these farms must also be maintained. “You can’t be green if the farms are in the red,” Todhunter said. “Management of land is

complex, prescribing for certain outcomes by removing farming is simplistic and misguided. “The fantasy of a gigantic conservation park where once there were viable farms is just that – a fantasy.

The fantasy of a gigantic conservation park where once there were viable farms is just that – a fantasy. Philip Todhunter High Country Accord Trust “It’s unaffordable, unrealistic and frankly insulting to the families who work so hard to keep the high country free of pests and weeds and in good shape for this and future generations.” Todhunter said it’s disappointing the Accord is not part of detailed discussion

on the document of enduring stewardship of Crown pastoral land. “It’s very disappointing we have not been included. We are very willing to assist the Crown but we have not been part of detailed discussions. “Anecdotally, what’s being proposed may actually have worse outcomes for the land and for the local and national economy.” For that reason and believing good policy needs to be informed by facts, the Accord has commissioned a reputable economist to assemble, for the first time, a detailed statistical picture of the high country economy. When the data is available it will be shared far and wide with news media, officials, politicians, researchers and others. Farmers are also working with experts, including Canterbury University’s Professor David Norton whose innovative thinking on integrated farm management plans shows how farming, conservation and biodiversity can work together. “Farmers have farmed and

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improved these high-country lands for the Government and all New Zealanders since the 1840s. “Over this period high-country stations have been transformed in a way that sees productive farming, conservation and other beneficial activity combine.” Todhunter cited Balmoral Station near Lake Tekapo as proof. “Here, pastoral farming happens alongside weed and predator control, plant research and public access as shown by the tens of thousands of people who come through Balmoral’s farm gate every year to visit the famous Mt John observatory, which is smack bang in the middle of the farm.” Maintaining the production of the wold-class Merino and meat products enjoyed by city dwellers here and overseas are the highcountry farmers and their families. “We think of this countryside as iconic and it is but alongside the postcard scenery is a lot of immensely hard work, tradition and stewardship of a precious environment that goes back for many generations of the families who live here,” Todhunter said.

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News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Westland sets Fonterra mid price Annette Scott annette.scott@globalhq.co.nz WESTLAND Milk has confirmed a forecast supplier payout of $6.75 a kilogram of milksolids for the 2019-20 season. The company, which since August 1 has been 100%-owned by Hongkong Jingang Trade Holding Company a wholly owned subsidiary of Inner Mongolia Yili Industrial Group, guaranteed suppliers it would match or better the Fonterra payout price for the next 10 years. In line with that guarantee the payout prediction is based on the midpoint of Fonterra’s latest forecast payout range of $6.25 to $7.25/kg MS.

UPGRADE: Yili is spending $660 million on its Oceania plant at Glenavy.

This means more money for farmers during the year. Shiqing Jian Yili

The 2019-20 prediction compares with a final confirmed payout for the 2018-19 season of $5.86/kg MS. That came under the former co-operative structure, which because of the sale of Westland Milk Products, required the former board to finalise the end of season payout and new season prediction a month earlier than usual. Yili will also put cash into the hands of Westland’s suppliers earlier. New Zealand resident director Shiqing Jian said Yili will pay advance payments at 85%. “The advance payments per month for milk supplied from August 1 will be $5.74/kg MS. “This means more money for farmers during the year, which is great for them and for the communities in which they are based as that earlier supply of income makes its way through to local businesses,” Jian said. Under the previous ownership structure advance payouts were

typically 60% to 70% of the predicted final payout. Westland chief executive Toni Brendish said the higher advance payout is an expression of confidence by Yili in Westland’s future and the viability of the West Coast dairy industry. In July, following years of lower payouts, 350 farmer shareholders voted to sell the co-operative to Yili. As part of the deal shareholders were paid $3.41 a share, translating to about $500,000 for an averagesized Westland supply farm. The Westland board initiated the strategic review process with the full understanding all Westland farming families needed to have a competitive milk payout. While Westland ceased to be a co-operative the board believes the transaction is the best available outcome for shareholders. Yili, Asia’s largest dairy producer, also owns the Oceania Dairy plant at Glenavy, which last week

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was recognised for its role in promoting and strengthening economic development in South Canterbury with wins in the 2019 Alpine Energy Business Excellence Awards. Oceania got the ANZ People’s Choice Award and the ACC Workplace Safety Award. Yili has invested $660 million in creating the Oceania Dairy plant, one of the world’s largest integrated dairy bases. An ultra-high-temperature (UHT) milk-processing plant with new dry store, load-out facilities and service utilities is being built as well as a new canning line, with completion expected at the end of the year. The UHT plant is expected to be finished in 10 to 12 weeks with a new laboratory still in the design stage. In June Oceania received the cross-border investment award from the New Zealand-China Trade Association.

BRIDGES

Westland buyer trading ahead Alan Williams alan.williams@globalhq.co.nz WESTLAND Milk’s financial issues look well behind it as the milk processor’s new Chinese owner reported a half-year net profit of $800 million. That is well above the $588m the Yili Group paid for Westland, covering the cash price and taking over the coop’s debts and liabilities. Yili’s annual profit would cover both the Westland costs and the $660m Yili spent developing the Oceania Dairy

processing plant in South Canterbury. It told the Shanghai Stock Exchange revenue for the six months ended June 30 was NZ$10 billion and net earnings were $800m, a $72m increase on the corresponding period a year earlier. Chief executive Jianqui Zhang said buying Westland was a significant breakthrough in the group’s expansion, helping build a vast dairy bridge crossing the Pacific Ocean. The Chinese group is Asia’s biggest dairy producer.

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14 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Farmers report more bank pressure Alan Williams alan.williams@globalhq.co.nz MORE than a fifth of dairy farmers feel they are under undue bank pressure over mortgage repayments, a Federated Farmers survey shows. The 21.2% level of pressureperception recorded when the survey was taken in May was up from 16.2% in November. Non dairy farmers also felt more pressure, with that reading rising to 16.2% from 11.6%. the most marked increase coming from arable farmers, with their levels rising nearly fourfold to 22%. But the report noted most farmers believe pressure has remained the same. Sharemilkers reported lower levels of undue pressure than previously and, for the first time since the surveys started in August 2015, are more at ease on that score than dairy farm owners. Their relatively stable situation is likely because they have mortgages substantially lower than dairy farm owners, the report said. The survey is done for Federated Farmers by agricultural research company Research First. The latest survey had 1326 respondents across the country, with dairy farmers making up 54% of the total and meat and wool farmers 33%. Arable farmers made up 3% of the total. There was a 59% to 41% North Island/South Island split. Though overall satisfaction with the banks remains strong, the numbers are falling – to 71% of all farmers in May from 74% in November with dairy farmers at 69.6% satisfied and non-dairy at just under 72%. Satisfaction levels are also at a low point over the history of the survey. Research First said an increase in pressure might seem counterintuitive given dairy farmers’ incomes and profits have been recovering from the 2014 to 2016 downturn.

SQUEEZE: More than a fifth of dairy farmers think their banks are putting undue pressure on them.

“Banks generally stood by their dairy clients during that downturn and allowed them to increase debt to get through. Now that times are better banks want farmers to pay debt down.” Another factor is likely to be the Reserve Bank’s proposed changes to bank capital requirements. Though they are only proposals Federated farmers is hearing from members that banks are beginning to implement them. Higher capital requirements would increase the cost of lending and make banks more conservative in their lending policies, the report said. The survey found 81% of all farmers have a mortgage. That rises to 88% of dairy farmers. Sharemilkers are at 79.4%. Overall, 72.2% of non-dairy farmers have mortgages but in that group is a 92% reading for arable farmers.

Dairy farmers and sharemilkers have the largest mortgages in dollar terms and are more likely to have been on their farms for a shorter time than non-dairy farmers. Research First said the average all-farms mortgage was $3.75m in May, down from $3.8m in November. That was driven by non-dairy farmers, where the average fell by $300,000. Median mortgages are about half the average figure. The average dairy farm mortgage in May was $4.82m, up from $4.68m in November and the sharemilkers average fell to $1m from $1.29m. They are also included in the overall dairy numbers. The non-dairy average mortgage was $2.28m, down from $2.66m. Research First said the volatility in mortgage amounts between

surveys could reflect the profile of those farmers choosing to take part in the survey and might not mean there have been significant changes in average indebtedness as a whole or for individual groups. Dairy farms have the highest mortgages, with 38% of respondents under $2m and more than 60% between $2m and $20m. Of non-dairy farmers, 64.5% have mortgages below $2m. Mortgage interest rates are about 5% for dairy farmers, 5.3% for sharemilkers and 5.1% for non dairy farmers. More farms again operated on bank overdrafts – the overall ratio being 85%, with dairy farmers at 87%, sharemilkers 86% and non dairy farmers 83% – to smooth out seasonal fluctuations and cashflow shortages. The highest overdraft limit, at $478,000, was for arable

farmers. Regionally, east coast North Island, Canterbury, Otago, and Southland had the highest overdraft limits. The average for dairy farms was $224,000 in May and for non dairy was $252,000. The ANZ is the biggest bank for farm mortgages, holding 30% of mortgages, Rabobank has 20%, BNZ 18%, ASB 16% and Westpac 11%. For overdrafts ANZ has 36%, BNZ 19%, Rabobank 17% and ASB 15%. Seven out of 10 farmers think communications from their bank are good or very good though that measure was also lower than in August 2017. The number of farms with an up-to-date budget for the new season was below 40% of the total farms responding to the survey. Sharemilkers were at 57%, dairy farmers 36% and non dairy farmers at 25%.

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16 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Iwi research lifts lid on carbon Richard Rennie richard.rennie@globalhq.co.nz A RESEARCH project on the North Island’s east coast is helping Maori land owners balance the complexities of the Emissions Trading Scheme and establishing native forests with multiple land ownership. Hikurangi Enterprises researcher Pia Pohatu at Ruatoria has spent three years working with Motu Research scoping Maori landowners’ interest in carbon farming and native forest regeneration. As rural communities wrestle with the risk of being swamped by pines Maori landowners have been taking a circumspect view on how to engage in emerging carbon markets. For many an opportunity might already exist if areas of their land have native regeneration, such as manuka or kanuka. And areas that might better suit being retired could be committed to emerging carbon ventures. An alliance between petroleum company Gull and the Maori incorporation Nuhiti Q at Anaura Bay to buy carbon credits generated through native replanting on an ETS-registered property is regarded as a trailblazer. “But a combination of Cyclone Bola’s impact, scale and strong leadership to diversify land use in an emerging industry means what has been done at Nuhiti Q is unique, more an exception than rule. “The majority of the Maori landowners participating in this research have smaller landholdings and have a farming and/or production forestry in the mix. But that does not mean you cannot combine carbon income into the total mix.” Iwi tend to take a longer-term, inter-generational view of land ownership and forestry options might not necessarily fall into the traditional 30-year pine rotation model. A preference for planting native trees in some areas might also be driven as much by holistic

LONG LIFE: Iwi land has potential for more indigenous plantings that deliver greater carbon savings in longer term.

When it comes to the ETS the perception is natives are not seen as the moneymaker but exotic plantings are. Pia Pohatu Hikurangi Enterprises preferences as by natives often being more suited to some of the terrain being planted. “The majority of production forests on the east coast were established in the 70s through Government policy and subsidy. It is only recently that we have been able to get a subsidy to plant native trees.” On average it takes longer-lived

indigenous species 200 years to sequester the same amount of carbon as an exotic forest over 28 years but if left unharvested for more than 200 years they will sequester greater amounts of carbon that rotated exotics. “When it comes to the ETS the perception is natives are not seen as the moneymaker but exotic plantings are.” Pohatu says that is exacerbated by look-up tables used to inform a forest’s sequestration rate not reflecting the true indigenous forest sequestration ability. She welcomes a current review of ETS table measurements to correct that and is advising iwi landowners to prepare for plotting at the time ETS returns are due. That will give actual sequestration measurements. “Measurements taken locally are already showing kanuka sequesters carbon two to three

times faster than the look-up tables indicate.” The ETS will soon have a new forest category that will help address this – the permanent post-1989 forest category. Past sales of NZ carbon units from indigenous forests suggests buyers are inclined to pay a premium for carbon stored from those forests. Increasing carbon stored in agricultural soils has the potential to help offset emissions but measurement is complex in soils with already high carbon levels. But research is working to determine soil carbon growth and stability. Pohatu said that research supports the need for the right tree in the right place and the option of permanent forests andor sustainable harvesting regimes – something the Tolaga Bay floods revealed in stark detail.

“Those plantations were the result of decisions made at an earlier time with the options those decision-makers had before them. As decision-makers we don’t control the entire process through harvesting and beyond. Today we have additional considerations to factor in like work safety, water quality, biodiversity, climate resilience, our net carbon footprint – every decision-making opportunity needs to result in a good decision.” She is optimistic at least a third of the participating landowners in the research will go the next step and plant indigenous trees for carbon values. The research is also looking to support decision-making processes with aids and tools to communicate the complexities and challenges of carbon farming and trading to their wider landowner base.

Paddock Selection Understand the risks for each paddock:

Soil type

Paddock slope

Proximity to waterways

For more information and useful resources visit: www.beeflambnz.com/wintergrazing

News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Delegat cracks 3 million cases of wine sold

GOOD CROP: Delegat’s 2019 vintage is regarded as one of exceptional quality.

Alan Williams alan.williams@globalhq.co.nz

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WINEMAKER Delegat Group broke through the three million mark for cases of wine sold in its latest year. Following the 3.008m total, it continues to set ambitious targets, seeking 3.24m cases this year on the way to 3.65m in 2022 – a 21% gain over three years if all goes to plan. Wine consumers, especially in North America, are increasingly buying super premium wines as an everyday affordable luxury that complements their lifestyle, managing director John Freeman said. Delegat’s Oyster Bay sales in North America and Barossa Valley Estate varieties globally are expected to be the growth driver. The after-tax profit from operations for the year ended June 30 was $51.4m, up from $44.9m a year earlier. Under international accounting rules, Delegat is required to make fair value adjustments on its grape harvest each year. Add in financial adjustments as well, the writedown was $5.7m, leaving a reported after-tax profit of $47.4m, compared to $46.8m previously. The grape value is typically written back up as product is sold. Revenue for the year was $269.4m, up from $246.5m, and the operating ebit (earnings before interest and tax) was $83.7m, up from $74.5m. Operating cashflow was strong at $55.4m, slightly below the $57.7m a year earlier. North America is the major sales destination, buying 1.33m cases, up from 1.25m. European, including British and Irish, sales improved greatly on distribution and promotional gains to 896,000 cases from 687,000 but New Zealand, Australia and Asia Pacific sales were down slightly at 780,000 from 799,000. Executive chairman Jim Delegat said sales were well diversified, with 44% into North America, 40% to the Europe zone and the balance closer to home. Delegat is now one of the largest and most successful wine companies in Australasia. Oyster Bay sauvignon blanc performed well everywhere, being the top-selling white wine by value in Australia. In the US it was a top-five white wine over US$10 a bottle and category leading positions were maintained in Canada. Across Europe, Oyster Bay sauvignon blanc, chardonnay, and merlot are the top-selling wines in the above £8 a bottle category. The 2019 wine vintage is regarded as one of exceptional quality across all three wine regions, Marlborough, Hawke’s Bay, and Barossa in South Australia, Freeman said. The group’s grape harvest this year of 35,500 tonnes was down 11% on 2018. The NZ share was 33,900 tonnes. Yields were slightly lower than long-term averages because of variable weather at spring flowering. In the latest year Delegat spent $32.9m on growth assets, winery and vineyard development and land acquisition and expects to spend another $43.3m this year. Borrowings reduced slightly over the year, leaving a ratio of 37% of total assets at balance date, down from 40% previously. The Ebit figure covered interest costs 6.5 times, a strong result. The dividend for the year has been increased to 17c a share with full tax credits, up from 15c a year earlier.

News

18 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

POTENTIAL: Edible seaweed is becoming more mainstream, Wakame Fresh cofounders Lucas Evans, left, and Lance Townsend say.

Turning gorse into gourmet Luke Chivers luke.chivers@globalhq.co.nz A VENTURE to turn the gorse of the sea into a sought-after food export has snagged buy-in from the Government. Coromandel business Wakame Fresh will receive backing from the $40 million Sustainable Food and Fibre Futures Fund to test the plan’s commercial viability to take the invasive seaweed undaria, also known as wakame and the gorse of the sea, to the Japanese market. The Ministry for Primary Industries is contributing up to $75,200 and Wakame Fresh $114,182. Co-founder Lucas Evans said edible seaweed is becoming more popular. “There’s now at least a solid proportion of kids who have got it in their lunch box. “It’s an everyday food in Japan,

local mussel industry and last year exported the seaweed to Australia. It takes only a short trip into the harbour near Coromandel town for the duo to park their boat alongside mussel lines and pull undaria up. The seaweed was introduced to NZ waterways in the 1980s via ballast water from cargo ships and is now widespread along the eastern and southern coastlines from Auckland to Bluff. It is an invasive seaweed that chokes out native species and clogs mussel farms. Agriculture Minister Damien O’Connor said undaria is often referred to as the gorse of the sea. “The Wakame Fresh team are turning gorse into gourmet,” he said. “We’ve proven before with deer, possum fir and manuka that what we’ve once considered a pest

can be considered a high-value opportunity. “This fund provides a single gateway for farmers and growers to apply for investment in a greater range of projects that deliver economic, environmental and social benefits that flow through to all Kiwis.” The nutritional returns of seaweed are eminent, too. It is one of the best sources of omega 3 and in terms of minerals and vitamins, seaweeds have a huge amount more than land vegetables and they are hugely concentrated. And scientists are discovering some of the fibres are probiotic, which means they foster gut health. It could be the next big thing for NZ, O’Connor said. Undaria has been harvested elsewhere in NZ for products like fertiliser but Wakame Fresh is the

PROMISING: Asia’s shortage of undaria seaweed offers a prime opportunity for Coromandel early-stage venture Wakame Fresh.

READY: The final product packed ready for sale.

often served slightly salted and eaten in its dried and cured form. Consumers are also adding it to thickeners, shakes, crackers, biscuits and salads. “We’d like to see a lot more of it in the supermarket.” He said there is potential for the return to be hundreds of millions of dollars but this is a humble start. Asia is facing a shortage of the delicacy after the 2011 tsunami wiped out many Japanese seaweed farms. That scarcity is a prime opportunity because New Zealand has a cleaner environment, Evans said. “China and Japan don’t have the same clean water, which is needed to grow the product, so it really is a great chance for us.” Over the past seven years, he and his business partner Lance Townsend have worked with the

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Seaweed is becoming more mainstream. There’s now at least a solid proportion of kids who have got it in their lunch box. Lucas Evans Wakame Fresh first company to export it as a food product on such a scale to Asia. The trial started in May and involves harvesting and processing undaria. It is scheduled to wrap up later this year. The Government’s spend will be used for a feasibility study, including a trial export order of 100kg of wakame. And if it is fruitful Wakame Fresh has a signed contract with Kataoka Corporation for ongoing commercial export of wakame for the next three years. Fisheries Minister Stuart Nash said several people, including investors and researchers, are interested in the project’s trial and its results. “If successful, it will encourage NZ’s aquaculture sector to collaborate and invest further in this area. “Aquaculture is a growth industry for this country and has the potential to play a more significant role in our economy. “It’s currently worth $600 million a year and employs over 3000 people,” he said. “We want to be the most productive, sustainable country in the world. Projects like this will contribute to NZ’s reputation in sustainable and innovative aquaculture.”

News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Ag chemicals in waterways Neal Wallace neal.wallace@globalhq.co.nz A STUDY that detected agricultural chemicals in fresh water shows New Zealand monitoring lags other countries. In a NZ first Otago University sampled 36 streams in rural Waikato, Southland, Otago and Canterbury. Analysis found two or more pesticides at 75% of sites and four or more at just under 40% of sites. The chemicals detected are both pesticides and herbicides and at the levels found some could be harmful to mayflies and other freshwater insects, zoologist Associate Professor Christoph Matthaei said. NZ, unlike Europe and North America where thousands of samples are taken each year, has not monitored pesticide residue in fresh water so there is little data. It also highlights the lack of knowledge about what chemicals are used where. The samples found seven different chemicals including some banned in Europe and North America and that are on an Environmental Protection Agency review list.

It also highlights the lack of knowledge about what chemicals are used where. The most common was chlorpyrifos, an insecticide detected in nearly 90% of samples and at levels where effects can be observed in insects and wildlife. Chlorpyrifos has been banned or never authorised in eight European countries and in residential areas of NZ and the United States. Three neonicotinoid insecticides were also found, of which imidacloprid and thiamethoxam have been detected in honey from NZ hives in another study. Neonicotinoids were banned from outdoor use in Europe because of fears about their effect on bees in 2018 but are licensed here and used in the kiwifruit industry. The study was limited by the relatively small number of streams tested. Matthaei says the samples were taken following a dry spell but ideally should be repeated regularly and at different flows.

Exports boost Foley Wines Alan Williams alan.williams@globalhq.co.nz

DO MORE: More waterway pesticide tests must be done because the survey was limited and there is little historic data to compare it with, Associate Professor Christoph Matthaei says.

“We’d also like to study streams where the actual amounts of pesticides applied in the catchments upstream are known and a much larger number of waterways overall to get a more comprehensive picture of the situation.” That includes testing urban waterways. “If we can identify particular areas of concern and some of the factors that might be leading to these pesticides

being present we could then look at strategies to prevent these chemicals ending up in our waterways.” This study was funded by research grants but Landcare Research and several regional councils have expressed interest in being involved in future studies. Matthaei says overseas experience indicates the harder they look the more chemicals they will find.

FAST-GROWING Foley Wines nearly doubled after-tax profit in the latest year, on a 23% increase in export case sales. Exports to the United States and Canada rose 19% to 145,000 cases, to United Kingdom and Europe 33% to 97,000, Australia 22% to 138,000 and rest of world sales were up 19% to 24,000 cases. The tallies offset an 18% fall in New Zealand sales to 118,000 cases from 144,000, resulting from a reset of the brand strategy, including price increases, chief executive Mark Turnbull said. Through its distributor Lion NZ the group is focusing on a premium market offer. On revenues of $44.04 million for the year ended June 30 Foley Wines reported pretax earnings of $5.05m and an after-tax profit of $3.5m, a 95% lift over the previous year. Consumers around the world are drinking less but spending more, Turnbull said. The company also reported significant growth in its Lighthouse Gin sales in NZ and Australia. The trading result included Mt Difficulty Wines in Central Otago, bought in January, which adds to its Marlborough and Martinborough wineries. The majority shareholder and chairman of Foley Wines is American businessman Bill Foley, whose Foley Family Inc is a top-20 wine business in the US.

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Action Action Action Action for for for for healthy healthy healthy healthy waterways waterways waterways waterways –– – government – government government government seeking seeking seeking seeking feedback feedback feedback feedback TheThe The Government The Government Government Government is asking isis asking asking isNew asking New New Zealanders New Zealanders Zealanders Zealanders for their for fortheir their for views their views views on views aon on package aaon package package a package intended intended intended intended to stop to to stop stop to freshwater stop freshwater freshwater freshwater health health health getting health getting getting worse getting worse worse and worse and and restore and restore restore restore waterways waterways waterways waterways to ato to healthy aato healthy healthy a healthy state state state in state ain in generation. aain generation. generation. a generation. Read Read Read about Read about about what about what what this what this this maythis may may mean may mean mean for mean farmers, for forfarmers, farmers, for farmers, andand and howand how how to how have to to have have to your have your your say. your say. say.say.

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TheThe The planThe plan plan is to plan isisstop to toisstop stop to things stop things things getting things getting getting getting worse worse worse and worse and and restore and restore restore restore waterways waterways waterways waterways to ato to healthy aato healthy healthy a healthy state state state within state within within awithin generation. aa generation. generation. a generation. All New All All New New All Zealanders, New Zealanders, Zealanders, Zealanders, ruralrural rural and rural and and urban and urban urban urban alike, alike, alike, will alike, will will have will have have tohave contribute to to contribute contribute to contribute to protecting to to protecting protecting to protecting andand and restoring and restoring restoring restoring freshwater. freshwater. freshwater. freshwater. Some Some Some catchments Some catchments catchments catchments are are improving, are improving, are improving, improving, andand and we and we need we need we need toneed acknowledge to to acknowledge acknowledge to acknowledge the the many the many the many many farmers farmers farmers andand and growers growers growers whowho who arewho are already are already already following following following good good good practice. practice. practice. Other Other Other catchments catchments catchments are are degraded are degraded degraded andand and need need need improvement. improvement. improvement. We We want Wewant want towant make to to make make farmers and growers are already following good practice. Other catchments are degraded and need improvement. We to make suresure sure that sure that that everybody that everybody everybody everybody contributes. contributes. contributes. contributes.

Action Action Action Action over over over aover generation aa generation generation a generation

As happens As As happens happens As happens now, now, now, regional now, regional regional regional councils councils councils councils will will will develop will develop develop develop plans plans plans and plans and and rules and rules rules that rules that that farmers that farmers farmers farmers need need need toneed abide to to abide abide toby. abide by. The by. The by. The proposed The proposed proposed proposed newnew new National new National National National Policy Policy Policy Statement Policy Statement Statement Statement for Freshwater for for Freshwater Freshwater for Freshwater Management Management Management Management (NPS-FM) (NPS-FM) (NPS-FM) (NPS-FM) would would would raise would raise raise theraise the bar the bar the on barecosystem on bar on ecosystem ecosystem on ecosystem health. health. health. health. There There There are There are options are options are options options for new for for new new for bottom new bottom bottom bottom lineslines lines forlines nitrogen, for for nitrogen, nitrogen, for nitrogen, phosphorus phosphorus phosphorus phosphorus andand and sediment, and sediment, sediment, sediment, which, which, which, ifwhich, introduced, ifif introduced, introduced, if introduced, would would would require would require require require councils councils councils councils to do to tomore do do tomore more dotomore reduce to to reduce reduce to levels reduce levels levels oflevels these of of these these ofcontaminants these contaminants contaminants contaminants overover over coming over coming coming coming decades. decades. decades. decades. TheThe The Government The Government Government Government will will will decide will decide decide on decide these on on these these onproposed these proposed proposed proposed newnew new bottom new bottom bottom bottom lineslines lines after lines after after consultation after consultation consultation consultation andand and further and further further further impact impact impact analysis. impact analysis. analysis. analysis.

Immediate Immediate Immediate Immediate action action action action (five (five (five to(five 10 to to 10 years) 10 to years) 10 years) years)

Under Under Under the Under the proposed the proposed the proposed proposed newnew new National new National National National Environmental Environmental Environmental Environmental Standards Standards Standards Standards for Freshwater, for for Freshwater, Freshwater, for Freshwater, farmers farmers farmers farmers will will will need will need need to:need to: to: to: • Have •• Have Have • a Have farm aa farm farm plan a farm plan plan that plan that that addresses that addresses addresses addresses freshwater, freshwater, freshwater, freshwater, andand and thatand that that identifies that identifies identifies identifies what what what you what you you willyou will will do to will do doreduce to to doreduce reduce to contamination reduce contamination contamination contamination andand and improve and improve improve improve water water water health water health health health • Apply •• Apply Apply • for Apply afor for resource aafor resource resource a resource consent consent consent consent before before before changing before changing changing changing to ato to more aato more more intense a more intense intense intense landland land use, land use, use, such use, such such as such moving as as moving moving as moving from from from sheep from sheep sheep and sheep and and beef and beef beef to beef dairying. to to dairying. dairying. to dairying. These These These are These are are are interim interim interim interim controls controls controls controls on intensification on on intensification intensification on intensification untiluntil until councils until councils councils councils have have have new have new new plans new plans plans inplans place in in place place in place • Keep •• Keep Keep • cattle, Keep cattle, cattle, deer cattle, deer deer and deer and and pigsand pigs pigs outpigs out of outrivers, of out of rivers, rivers, ofwetlands rivers, wetlands wetlands wetlands andand and lakes and lakes lakes including lakes including including including streams streams streams streams more more more than more than than a metre than aa metre metre awide, metre wide, wide, onwide, flat on on flat and flat on and flat and gently and gently gently rolling gently rolling rolling rolling country, country, country, country, andand and in steeper and in in steeper steeper in steeper country country country country withwith with high with high high stock high stock stock carrying stock carrying carrying carrying capacity. capacity. capacity. capacity. ThisThis This may This may may include may include include include setbacks setbacks setbacks setbacks andand and stock and stock stock crossings stock crossings crossings crossings • Set •• Set out Set • out Set in outyour in out in your your in farm your farm farm plan farm plan plan how plan how how you how you you willyou will will keep will keep keep stock keep stock stock out stock out of outstreams of out of streams streams of streams lessless less than less than than a metre than aa metre metre awide. metre wide. wide. wide. Depending Depending Depending Depending on your on onyour your on situation, your situation, situation, situation, youyou you mayyou may may have may have have to have do to tothese do do tothese these dothings: these things: things: things: • Look •• Look Look •after Look after after wetlands after wetlands wetlands wetlands andand and streams and streams streams streams –there –there –there will –there will will be tight will be be tight tight be restrictions tight restrictions restrictions restrictions on draining on on draining draining on draining or clearing or orclearing clearing or clearing a wetland, aawetland, wetland, a wetland, andand and on piping and on on piping piping onor piping infilling or orinfilling infilling or infilling streams streams streams streams • Meet •• Meet Meet • minimum Meet minimum minimum minimum standards standards standards standards for intensive for for intensive intensive for intensive winter winter winter grazing winter grazing grazing grazing of forage of of forage forage ofcrops, forage crops, crops, and crops, and and potentially and potentially potentially potentially apply apply apply for apply afor for resource aafor resource resource a resource consent consent consent consent if you ifif you you want if you want want towant to to to plant plant plant large plant large large areas large areas areas orareas crop or or crop crop or steeper crop steeper steeper steeper landland landland • Get •• Get Get •a resource aa resource resource consent consent consent for any for for any any stock stock stock holding holding holding areas areas areas (feed (feed (feed pads, pads, pads, wintering wintering wintering pads, pads, pads, standoff standoff standoff pads pads pads and and and loafing loafing loafing pads) pads) pads) if pads) animals ifif animals animals are are held are held held there there there Get a resource consent for any stock holding areas (feed pads, wintering pads, standoff pads and loafing if animals are held there for more for for more more than than 30than days 30 30 days days a year aa year year or 10 or ordays 10 10 days in days ain in row. aain row. row. The The The consent consent consent will will will require require require youyou you to manage to to manage manage effluent, effluent, effluent, andand and be 50m be be 50m 50m back back back from from from a waterway aa waterway waterway forthan more 30 days a year ordays 10 a row. The consent will require you to manage effluent, and be 50m back from a waterway • If •• you IfIf you extract extract extract large large large amounts amounts amounts of water of of water water you’ll you’ll need need need toneed report to to report report water on on water water usage usage using using using telemetry telemetry telemetry • you If you extract large amounts ofyou’ll water you’ll toon report onusage water usage using telemetry • Apply •• Apply Apply afor for resource aafor resource resource consent consent consent if you ifif you you want want want towant set to to set up set up feedlot aaup feedlot feedlot • for Apply a resource consent if you toaup set a feedlot • If •• you’re IfIf you’re ain in high aain high high nitrate/nitrogen nitrate/nitrogen nitrate/nitrogen catchment, catchment, catchment, withwith with nowith existing no no existing existing regional regional regional council council council rules rules rules onrules nitrogen on on nitrogen nitrogen loss,loss, loss, farms farms farms with with with very very very high high high rates rates rates ofrates of of of • you’re Ifin you’re a high nitrate/nitrogen catchment, no existing regional council on nitrogen loss, farms with very high nitrogen nitrogen nitrogen losses losses losses will will will be expected be be expected expected to reduce to to reduce reduce these these over over over fiveover five five years. years. years. nitrogen losses will be expected to these reduce these five years.

What What What What support support support support willwill will be will be be provided be provided provided provided

TheThe The government The government government government has has committed has committed has committed committed substantial substantial substantial substantial funding funding funding funding for support for for support support for support programmes programmes programmes programmes andand and products and products products products for farmers for for farmers farmers for farmers overover over theover the next the next the next four next four four years: four years: years: years: • $35 •• $35 $35 •million $35 million million to million provide to to provide provide to provide practical practical practical practical advice, advice, advice, advice, information, information, information, information, tools tools tools and tools and and support and support support support for farmers for for farmers farmers for farmers andand and growers and growers growers growers to improve to to improve improve to improve operations operations operations operations on the on on the ground the on ground the ground ground • $12 •• $12 $12 •million $12 million million to million support to to support support to support Māori Māori Māori landowners Māori landowners landowners landowners andand and agribusinesses and agribusinesses agribusinesses agribusinesses to realise to to realise realise to greater realise greater greater greater value value value and value and and sustainability and sustainability sustainability sustainability from from from their from their their land their land landland • $5 •• million $5 $5 • million million $5 to million build to to build build to primary build primary primary primary industry industry industry industry advisor advisor advisor advisor capabilities capabilities capabilities capabilities andand and pathways and pathways pathways pathways • $43 •• $43 $43 •million $43 million million to million upgrade to to upgrade upgrade to upgrade relevant relevant relevant relevant decision decision decision decision support support support support tools, tools, tools, like tools, like like Overseer like Overseer Overseer Overseer andand and S-Map and S-Map S-Map S-Map • Almost •• Almost Almost • Almost $17$17 $17 million $17 million million to million improve to to improve improve to improve on-farm on-farm on-farm on-farm datadata data anddata and and monitoring. and monitoring. monitoring. monitoring. qualified To ensure To To ensure ensure To farmers ensure farmers farmers farmers andand and growers and growers growers growers have have have access have access access to access quality to to quality quality to advice quality advice advice and advice and and support, and support, support, support, work work work is work progressing isis progressing progressing is progressing on aon on certification aaon certification certification a certification scheme scheme scheme scheme for suitably for for suitably suitably for suitably qualified qualified qualified and experienced farm environment planners. Farm planners would work with farmers to develop, implement and monitor farm plans. andand and experienced experienced experienced farmfarm farm environment environment environment planners. planners. planners. Farm Farm Farm planners planners planners would would would work work work with with with farmers farmers farmers to develop, to to develop, develop, implement implement implement andand and monitor monitor monitor farmfarm farm plans. plans. plans. Farmers can contact their local Rural Support to find out what support get from business advice, investment in innovation, Farmers Farmers Farmers cancan can contact contact contact their their their local local local Rural Rural Rural Support Support Support Trust Trust Trust toTrust find to to find find out out what out what what support support support theythey they canthey can can get can get from get from from business business business advice, advice, advice, investment investment investment in innovation, in in innovation, innovation, and other of support. Phone 7854 72 54 andand and other other other forms forms forms offorms support. of of support. support. Phone Phone Phone 0800 0800 0800 780800 72 78 7854 72 72 54 aofrange of funding available to encourage innovation, and support agriculture and horticulture producers and their communities. MPIMPI MPI hasMPI has ahas range ahas a range range funding of of funding funding available available available to encourage to to encourage encourage innovation, innovation, innovation, andand and support support support agriculture agriculture agriculture andand and horticulture horticulture horticulture producers producers producers andand and their their their communities. communities. communities. https://www.mpi.govt.nz/funding-and-programmes/ https://www.mpi.govt.nz/funding-and-programmes/ https://www.mpi.govt.nz/funding-and-programmes/ https://www.mpi.govt.nz/funding-and-programmes/

Find Find Find Find out out out more out more more more and and and have and have have have your your your your saysay saysay

Download Download Download Download thethe the discussion the discussion discussion discussion document document document document or summary or or summary summary or summary andand and make and make make your make your your views your views views known views known known known through through through through thisthis this link: this link: link:link: www.mfe.govt.nz/consultation/action-for-healthy-waterways. www.mfe.govt.nz/consultation/action-for-healthy-waterways. www.mfe.govt.nz/consultation/action-for-healthy-waterways. www.mfe.govt.nz/consultation/action-for-healthy-waterways. Look Look Look out Look out out forout for afor meeting afor a meeting meeting a meeting near near near you near you you at mfe.govt.nz/roadshows. you at at mfe.govt.nz/roadshows. mfe.govt.nz/roadshows. at mfe.govt.nz/roadshows.

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22 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Nats: DIRA bill limits Fonterra Hugh Stringleman hugh.stringleman@globalhq.co.nz AMENDMENTS to the law governing the dairy industry and Fonterra’s obligations don’t go far enough, Opposition National Party Members of Parliament say. They want complete repeal of the open entry and exit rights of dairy farmers to supply Fonterra. The Dairy Industry Restructuring Amendment Bill has been referred to the Primary Production Select Committee for consideration. Agriculture Minister Damien O’Connor said in the first reading to Parliament that the dairy industry earns one in four export dollars and provides jobs and income for more than 40,000 workers. “I know its reputation for being hard-working, enterprising and innovative is well deserved.” The bill contains a package of measures to ensure the DIRA regulatory regime operates in

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the longer-term interest of dairy farmers, consumers and the wider economy. The review by the Ministry for Primary Industries was not intended to be a review or critique of Fonterra’s performance or its business strategies or structure. “It does not direct Fonterra or any other dairy business on corporate strategy or product mix,” O’Connor said. The amended legislation would give Fonterra some discretion over accepting entry to the cooperative to avoid environmental harm and to use performance criteria on animal welfare, hygiene and unsafe work practices. The new reality is now less growth in the size of the dairy industry. The law should ensure Fonterra is not exposed to all the risks and its competitors pick up all the opportunities, he said. National spokesman Todd Muller said the Opposition believes the time for open entry

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It does not direct Fonterra or any other dairy business on corporate strategy or product mix. Damien O’Connor Agriculture Minister and exit provisions has finished along with the obligation for Fonterra to help more stainless steel at scale to become established. It is not right Fonterra is still obliged to supply raw milk to large-scale new processors so they can compete in world markets. National will oppose the legislation and he hopes there will be productive debate at the select committee. Hamilton East MP David Bennett, National, argued O’Connor had said the

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ANTI: National will oppose changes to the Dairy Industry Restructuring Act, its agriculture spokesman Todd Muller says.

Government does not trust Fonterra and it knows better than the company what should happen to farmers, their assets and future generations. “If the Government truly believed what it said about environmental outcomes and sustainability and wanting to have value-added products it would let Fonterra set signals and make the decisions about who supplies.” Climate Change Minister James Shaw welcomed the environmental constraints Fonterra would be able to put on new milk supplies. “In the past you had a regulated environment that enabled investors to force dairy conversions, get a guaranteed buyer for their product, create

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the processing infrastructure and cause environmental havoc in places that were completely inappropriate for dairy farming.” During the committee hearings he will be looking for assurances the bill will deliver the changes being sought or the Green Party might be open to freeing up Fonterra more. Other National speakers, including former Fonterra employee Nicola Willis, called for more changes to the open entry and exit provisions, saying farmers who leave shouldn’t have a right to go back if their new supply company didn’t deliver. Lawrence Yule, MP for Tukituki, said farmers can leave but Fonterra has to preserve excess processing capacity in case they come back.

News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Food tourism helps farmers survive Tim Fulton timfulton050@gmail.com A GROUP of Queensland farmers is making the most of food tourism, proving town and country can work in harness for culinary satisfaction. Maleny calls itself a hinterland town though, by Australian standards, it’s only a skip from the big smoke. Perched on the Blackall Range, about 40 minutes from Sunshine Coast beaches, the area catches day trippers on Queensland’s hinterland tourist drive.

SWAP: Former fisherman Ken Coey moved to a small block at Maleny where he supplies Wagyu beef to a local brew restaurant, Brouhaha. In return he gets brewers’ mash for the cattle.

More and more local eateries are adopting the paddockto-plate mentality. Urban List The value of food tourism appears to be growing in the area despite subdivision for lifestyle lots making land ever more expensive. The flip side is farmers and small block holders can retail their produce to a new market within kilometres of home. Food tourism is the real deal here. Tourism Australia research on 15 of the country’s main tourism markets shows great food, wine and local cuisine is a now a major factor in holiday decision-making, ranking third at 38%, ahead of world-class beauty and natural environments at 37%. In New Zealand a 2018 report on food tourism by ANZ found more than 60% of travellers buy food and drinks at home they first had on a trip. That is important for NZ, where the three largest tourism markets of Australia, China and the United States are also its largest food and beverage export markets. Tourists tend to be inquisitive. They’re also among the first to take up new food trends. Queensland urban culture

website, Urban List, bemoans some of the crazier food, like Nutella-stuffed doughnuts and soy pumpkin spiced turmeric lattes but senses demand for food that helps both the environment and waistlines. “More and more local eateries are adopting the paddock-to-plate mentality, either growing produce on their own farms or sourcing their ingredients from local growers. Farm-to-table dining takes the middle man out of the equation so your meal is as fresh and as delicious as possible.” The Sunshine Coast is leading Australia with that trend with more and more farm-to-table restaurants and cafes popping up throughout the coast and the hinterland, the site says. Milk retailer Maleny Dairies founders Ross and Sally Hopper built a factory and started daily public tours of the plant just off the main road to the coast. They run tours featuring cow-milking and feeding as well as a close-

ON DISPLAY: Maleny Dairies shows tourists the cows, the factory and farm.

up look at milk production and bottling. Naturally, they also offer samples and sell products. The Hoppers ran a supply-only farm until the deregulation of the Australian dairy industry in 2000. In Queensland and New South Wales the end of regulated sourcing and pricing of drinking milk spelled disaster for hundreds of dairy producers. Hoppers had been milking in Maleny since 1948 and they decided to fight back against an industry meltdown by their own factory. The business grew, supported by a family dairy farm next door and supply from other farmers on the Sunshine Coast hinterland. Maleny Dairies is the principal backer of the inaugural Spring Showcase in September. The company describes the event as a collaboration of local producers and farmers bringing their produce to the table in an authentic, five-course degustation farm feast paired with five

beverages in the luscious green paddocks on the farm. Guests will be escorted to a secret location on the farm on the back of a tractor and mingle with Maleny Dairies’ golden Guernseys. The event partners Maleny Black Angus Beef, Maleny Cheese Factory, Maleny Food Co, Brouhaha Brewery and Spicers Tamarind Retreat will introduce guests to the farmers and producers behind the produce. “Warm fires will glow around the edge of the location with rustic farm seating while canapes are served and champagne glasses are filled to the brim, event advertising says. Tickets on a Queensland events website as priced at A$195 each. Maleny Cheese has been operating its boutique cheese and yoghurt since 2004. The business was formed by two local families, Markus and Sara Bucher and third-generation local farmers David and Heather Simpson.

Markus Bucher is a Swiss master cheese maker who saw a chance to make products from the first-class milk available in the area, including buffalo and camel milks. Together, the Simpsons and Buchers started a purpose-built cheesery with panoramic viewing windows allowing cafe visitors to look down to the production floor. Nearby, sixth-generation dairy farmers the Cochrane family recently bought the Kenilworth cheese factory. The original business was established in 1950 by Kraft to make bulk cheese. The factory was closed in the 1980s when Kraft centralised production, leaving many locals unemployed. With the support of a local businessman several of the factory’s employees bought the factory and re-opened it 1990. Today Kenilworth Dairies gets milk from three farms in the Mary Valley, not far from the Cochranes’ farm.

FROM SCRATCH: Maleny Dairies owners Ross and Sally Hopper built a farm to retail business from the ground up, including a factory

News

24 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Foresters reject farm loss claims Richard Rennie richard.rennie@globalhq.co.nz CLAIMS about pastoral farming being killed by forestry have been rejected by a forestry consultant as overstated and alarmist. Forest Owners Association past president and consultant Peter Clark said he felt compelled to respond to claims made by groups including Federated Farmers, 50 Shades of Green and Beef + Lamb that wholesale forestry threatens pastoral farming communities. With 1.7 million hectares of plantation forest harvested over different times and replanted, forests effectively last indefinitely, locking up carbon reserves in the process. The claims over forests eclipsing pastoral land use and rural communities also came despite New Zealand’s 1.73m hectares of forest plantings at May this year being the average of the area in trees for the past decade. It is 5% down on the peak of 1.827m plantation hectares in 2003. New plantings by late 2018 totalled 9100ha, compared to 30,000ha in 2001.

The lowest point for new plantings was in 2009 with only 1900ha planted. Clark said the lowering of forestry area in early 2000s reflected land use change from forestry to pasture, mainly in Canterbury and the central North Island. Calculations by Clark on employment from forestry put it on a similar footing to drystock farming with 1000ha of forestry employing on average six staff in the field. A processing plant adds another 10 staff per 1000ha. He has calculated agriculture as employing eight people directly on the land per 1000ha, plus two in processing areas. Clark’s calculations put annual earnings before interest, tax and rent at $1538 a hectare a year compared to $203/ha/year for sheep and beef. However. those numbers assume an even-age forest is in place and do not include the initial growing out period. A Baker Agriculture report for B+LNZ said turning 130,000ha of hill country pastoral land around Wairoa into trees would slice 700

REJECTED: Peter Clark rejects claims forestry will hollow out rural New Zealand.

jobs out of the local economy, the equivalent of one job in five. But Clark said the establishment of forest on all the farming land in the district would require every farmer to either plant their whole farm or to sell to someone else to do that. “Most farmers would agree this is an unlikely scenario.” The total 8500ha bought for conversion amounts to 6% of the district’s pastoral land area. Despite Clark’s calculations on net profit per hectare not

accounting for the grow out period for forestry, he said his analysis also takes no account of carbon returns likely to be earned by a first rotation forest. The B+LNZ report found carbon farming forestry without felling the trees on maturity generates the highest value to landowners of all scenarios while having the lowest contribution to the region. That value is a return of $9386 a hectare over 60 years at a 5% discount rate.

Peer reviewing employment numbers established 6.4 jobs were created per 1000ha over the entire 30 year life of the forest. That compares to an average of 7.4 jobs per 1000ha for drystock farming. If the forest is planted only for carbon, only 0.6 of a job per 1000ha is created. But Clark disputes the claim of employment irregularity. “Most jobs are at the harvest end but if you look at the current forest age classes in the district there is a range of ages already, with a lot near maturity. Not all planting occurs in a single year and harvesting gets staggered over ages from 22 years to 30 years so the harvesting jobs become more or less permanent.” He said forestry teams also prefer to live in the district they work to cut travel time. “Once the forest is there we can expect skilled harvesting, transport and support industries to build up and become part of the community.” The carbon-only forest scenario is unlikely to be widespread and mainly a good option for land that is highly erodible under either pasture or cutover forest.

Dairy strong for REL but asset values fall Alan Williams alan.williams@globalhq.co.nz REDUCED values of farms and business investments have pushed corporate farmer Rural Equities to an annual loss. Its farms were profitable but valuation write-downs mean a bottom-line loss of $7.84 million for the year ended June 30, compared with $4.45m profit a year earlier. The operating earnings (Ebit) were $4.93m, shy of the previous year’s $5.93m. The group’s seven dairy farms performed well, in line with the previous season, but the two Waikato beef and sheep farms were negatively affected by severe drought, executive chairman David Cushing said. That resulted in slow growth for lambs and cattle and necessitated the sale of capital stock. Rural Equities has been steadily selling farms in recent years, including one of the Waikato farms, Puketotara, just before the June 30 balance date. The proceeds from Puketotara, including sale of livestock, were $11.7m. It was one of six farm sales during the year, bringing in $39.14m but that was a 6% discount on the book value of the properties at June 30, 2018. Cushing said the sales outcome was satisfactory in a challenging environment. The value of the remaining farms in the portfolio was marked down by $4.25m at balance date

and the investments in dairy processor Fonterra and Australian agri-business Webster by a combined $4.3m. Despite the falling values the group is in a strong financial position, Cushing said. The farm sales enabled the elimination of all borrowings, leaving total assets of $180.14m and net assets of $177.34m. Assets include cash of $22.7m. During the winter 100ha of unproductive land on the Waikoha farm in Waikato was planted in pines with a similar level of planting planned for next year, of pine and natives. The 1146ha Puketotara block near Huntly was used as a bull beef and lamb finishing unit for stock bred at the 2510ha Waikoha farm near Whatawhata. Since balance date, it has spent $6.66m buying a 3.77% stake in agri services group PGG Wrightson. Rural Equities will continue to evaluate other longterm investments. To retain cash for further investment the annual dividend has been reduced to 3c a share from 5c last year. Cushing said the rural property market continues to be subdued because of the exclusion of foreign buyers, more restrictive bank lending and the likelihood of more stringent environmental requirements. Except for wool, the outlook for agricultural commodity prices is firm though he warned global trade issues could change that.

News

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Trees debate ratchets up Colin Williscroft colin.williscroft@globalhq.co.nz LARGE swathes of agricultural land need not be planted in trees for New Zealand to meet its greenhouse gas emissions targets, NZ’s largest carbon farmer says. In presenting NZ Carbon Farming’s submission to the Environment Select Committee on the Zero Carbon Bill, company founder and managing director Matt Walsh was questioned by MPs who said they had been told by officials that 30% of NZ’s agricultural land will need to be planted in trees to meet the Bill’s carbon dioxide emissions target of zero by 2050.

We’re very careful about where and how we plant our trees. We do not plant on quality farm land. Matt Walsh NZ Carbon Farming Walsh said he has heard the 30% figure before and is puzzled where it came from. He does not believe it is correct. NZ Carbon Farming has asked officials how they got the number but has not had a definitive answer. His company’s land use is complementary to other farming activities, Walsh said. “We’re very careful about where and how we plant our trees. “We do not plant on quality farm land. “Instead, we only plant on grade 6, 7 or 8 land – that’s the poor quality land, the land with no

other productive purpose.” If NZ Carbon Farming ends up with some quality land it sells it back to the community to enable it to be maintained as farm land. The company, which has 73,000ha of forests in the Emissions Trading Scheme, both owned and leased, provides options and incomes for farmers, Walsh said. “We have a product that enables them to generate long-term income from unproductive parts of their farms. This enables them to become part of the climate solution while still making money and retaining ownership of their land.” The key to its approach is that the forests on its own land are not harvested. “We establish them as long-term legacies,” he said. “These forests deliver permanent carbon reductions for the long-term benefit of NZ and NZers.” Because they are not harvested they require about 40% less land than a rotational forest for the same amount of carbon removed. Rotational forestry will need two million hectares of land to attain carbon neutrality by 2050 and subsequent ongoing planting to sustain that position, whereas permanent regenerating forestry will need only 1.2m hectares of planting to achieve the same result. “We have been working for several years with NZ’s leading scientists on the science of forest regeneration. Their research has established that it is permanent, regenerating forest that enables carbon removal to be maximised.” Provincial conservation lobby group 50 Shades of Green spokesman James Cates is aware of NZ Carbon Farming’s planting

THINK FIRST: James Cates says not enough thought has gone into the long-term effects of the Zero Carbon Bill on rural communities.

policy claims but said the growing number of farms, particularly on the east coast of the North Island, being sold to be converted into forestry, will have a longterm negative effect on rural communities and NZ as a whole. Cates, a Wairarapa farmer who helped present the 50 Shades submission on the Bill, said 50 Shades supports the Bill’s goal of establishing a framework to reduce NZ’s emissions to the point where they no longer contribute to any warming effect but as it stands the Bill contributes to a distortion in the rural land market by driving land use away from farming and into forestry. That change will lead to detrimental social, economic and

environmental impacts, the last of those including the fire risk of pine plantings that will never be harvested. He understands why investors, not just from overseas but also NZ fund managers, can see the relatively short-term financial gains from the potential of carbon farming but it’s important to consider the long-term consequences. They include the loss of agricultural land that has supported communities for many years. That loss of farm land will have a domino effect on surrounding properties, with those farmers not wanting to be left as an oasis of farm land in a desert of trees.

In turn that will hurt potential tourism opportunities in those areas because tourists will not be attracted by the views offered from a landscape of pine trees. More research is needed on the longer term environmental benefits of planting native trees than the short-term pay-off to investors from pines. Cates said there has not been a proper analysis of the Bill’s wider impact and that has to be a priority before consideration can be given to its targets and aspirations. “The Government looks like it wants to push the Zero Carbon Bill through before Christmas. That’s not enough time to get it right.”

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Newsmaker

26 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Live export ban is not good for NZ Live exports of farm animals remains a sensitive issue but, as industry veteran Brent Wallace tells Annette Scott, it remains an important part of New Zealand’s agricultural trade. Critics say it is a risk to the country’s brand image but supporters say the opposite is true.

BAN on live animal exports will have an immediate impact on New Zealand’s agricultural trade, industry consultant Brent Wallace says. Wallace has been involved with the live export trade industry for 18 years having sailed 40 trips as operations manager on livestock carriers. More recently he has worked as a consultant with importing countries to ensure the appropriate set-up of farms and feedlots for the arrival and ongoing care of the exported livestock. Wallace has just returned from 44 days aboard the Yangtze Harmony that loaded Angus and Hereford breeding heifers in Napier last month, bound for Russia. “We had cattle on board for 44 days and the stock travelled very well and that is very normal,” he said. Wallace harbours grave fear over the likely ban of live exports and says his fear is shared by most live export industry representatives. In June Agriculture Minister Damien O’Connor announced a conditional ban on the live export of cattle as one of several options being considered as part of a review of NZ’s trade in live animals. O’Connor said the continued export of cattle might be a risk to NZ’s brand and the time has come to rethink that area and consider whether it’s something that fits with our values as a country. Wallace slammed such thinking, suggesting the Government and animal rights activists have no clue on how well the animals are cared for both on board and once off the ship.

“Do they think we just drop these animals off and scarper – not at all. We can be away weeks at a time and we work with great people adhering to very high standards in these countries. “The agricultural ministry has to make the right decisions on what’s best for us as an exporting country. He needs to keep the trade open. “If he bans it the flow-on effect with our dairy and meat trade will be affected. We’ll have tariffs thrown on us straight away.” He challenged those making the decisions around the review to sail a voyage on one of the livestock carriers and spend time on farms and at slaughterhouses in the importing countries. “These decision makers and naysayers need to get the experience so they know what they are talking about. “Jump on board and come with us.” Wallace said the industry’s criticism doesn’t lie just with the current government. “Government for so long has buried its head in the sand. Now it’s come to light again and O’Connor has got to face up and make the right decision.” While live exports are only a small amount of NZ’s export trade they are a key part of wider export trade and market regulations. Disrespect for importing countries’ animal welfare regulations needs to be pulled into line. “The countries we are trading with have just as high, in some cases higher, animal welfare regulations as NZ but that is not recognised because the noise is coming from those who have no idea.” Wallace said while China is the biggest player in NZ’s live

ALL ABOARD: The Yangtze Harmony stock ship.

ON THE JOB: Brent Wallace and a vet in Saudi Arabia.

The agricultural ministry has to make the right decisions on what’s best for us as an exporting country. Brent Wallace cattle export trade with forward contracts out two to three years, the Philippines is close behind and Japan is in negotiations for more. Indonesia, Vietnam, Russia, Kazakhstan and the Middle East are also hungry for NZ animals. “There’s high demand for NZ beef and dairy genetics with NZ cattle on a global scale very expensive but these countries are happy to pay and set up farms to very high standards. “They have money to burn. “And when you are paying US$1500-$2500 per animal it doesn’t make sense not to look after them.” Wallace said Australia is a leading example. “Australia says you can have these cattle but these are the rules.” The Australian government approves arrangements for the export of livestock under the Exporter Supply Chain Assurance System, an assurance system based on four principles – animal welfare, control right through

the supply chain to slaughter, traceability through the supply chain from start to end and an independent audit of the importing country’s supply chain. “If we are going to keep trade going NZ needs to push for this. I’ve worked in this system, I think it’s achievable,” Wallace said. O’Connor said there have been incidents over the last few years that highlight the fact that once animals leave NZ there’s very limited ability to ensure their wellbeing when they reach their destination. “That’s something that’s not acceptable to me and I know it’s not acceptable to a large number of New Zealanders so earlier in the year I directed Ministry of Primary Industries officials to review all possible options.” Officials pulled together an options paper that has been circulated for cross-party consultation. “I took that paper to Cabinet … and they approved it. “Now we are working on a discussion document that we will use to ask the public what they think and which option they prefer,” O’Connor said. The options range from tightening up the existing standards to absolute or conditional prohibition on some or all parts of the trade. “I’ve asked for a review. It will be comprehensive and it will take time.”

ON BOARD: Heifers on a ship.

O’Connor said Cabinet needs to consider a number of factors including public expectations, international trade commitments and impacts on rural NZ with animal welfare a paramount consideration. The review will consider all options in the context of NZ’s international legal obligations, trade commitments and trading relationships. It will be December next year before implementation of any decisions. Meantime, O’Connor has asked MPI to consider having its vets travel on shipments. While the review is under way the existing law remains in place and MPI is still receiving applications and, if they meet the legal criteria, approving them. In the year ended June 2018 the value of the export of livestock was $51 million. MPI animal health and welfare director Chris Rodwell said officials met key livestock export industry representatives in Wellington earlier this month. The meeting provided an update on progress with the review and the Animal Welfare Export Certificate process in the short term. It was also an opportunity for exporters to ask questions. MPI assured exporters it will work with the industry and all other interested parties to develop the discussion document for public consultation.

New thinking

THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Drains speed nitrogen cuts Understanding how drainage water can absorb nitrogen might provide farmers with some valuable options to reduce nitrate losses while avoiding productivity losses and unnecessary capital expenditure. Richard Rennie spoke to Massey University associate Professor Ranvir Singh about his research into how farm drains can play a big role in keeping nitrogen levels lower.

BOUT 2.5 million hectares of artificially drained farmland is both a challenge and an opportunity for farmers wanting to stem nitrogen losses. On certain soils those drains can be a superhighway for nitrogen release into larger waterways but scientists are also learning how controlling flow from those drains can help stem nitrogen losses. While the Massey University project is studying nitrate losses through drains and how to control water levels and drain losses in Rangitikei and Tararua farms it also encompasses understanding the science behind nitrogen attenuation. That is the ability of highly soluble and mobile nitrates to be converted to benign gases in the right conditions. When it occurs below the soil it is known as subsurface denitrification. “What our work through Rangitikei and Tararua is showing us is that you can be standing in a dairy farm paddock and below you the conditions are ideal for denitrification. “Meantime, on the same farm in a different paddock it could be the opposite and nitrogen is ending up being flushed through,” Singh says. “It is a very spatial occurrence, some places subsurface denitrification happens, some it doesn’t. “But what we are learning is that it is a relatively stable condition, meaning the degree to which it occurs and where it doesn’t can be mapped.” The very drains that are designed to move water quickly off farmland can affect potential for denitrification. A slower water flow through subsurface under the right conditions can provide more time for denitrification to occur before the water is flushed through with significantly lower nitrate levels into waterways. At certain times of year the need to get that water off farmland quickly is greater if major pasture and soil damage is to be avoided. The conundrum leaves farmers having to flush nitrate-laden water away but also having to feed stock on viable paddocks.

CHIPPER: Professor Ranvir Singh’s research has identified pine wood chips as playing a key role in nitrogen absorption.

We roughly estimate in the two regions we could have the same number of cows and cut down the nitrogen loading into waterways by 25%. Professor Ranvir Singh Massey University “So, when a lower water table is required we can pass the drain water through treatments that can help convert that nitrate to a gas.” The Massey work is examining the use of treatments such as wood chip bioreactors – constructed channels containing

finely chopped pine wood chips the drainage water flows through with bacteria converting nitrates to nitrogen gas. Singh, who worked in the United States Mid West before joining Massey, says use of wood chip bioreactors is becoming an increasingly accepted means of nitrate management. New Zealand has a few trial bioreactors and wood chips as their main component fits well with national goals to increase plantation forestry. At the drier times of the year having knowledge on a soil’s nitrogen attenuation potential means farmers could confidently keep water tables higher on soils where denitrification rates are greater. Other techniques are also being tried by the group, studying the effectiveness of recycling farm drainage water for irrigation.

So far, as a proof of concept, Singh and his colleagues have done a preliminary map of Tararua and Rangitikei districts identifying the nitrogen attenuation ability of the soils. “From this we can determine what dairy farms are on what level of nitrogen attenuation potential land. “We roughly estimate in the two districts we could have the same number of cows and cut down the nitrogen loading into waterways by 25%, simply by putting the right number of animals in the right places on farms at the right time of the year and using these drainage management techniques.” Linking that knowledge to naturally existing and builtin new nitrogen attenuation systems they are trialling has big implications for how farmers respond to tightening regional

rules on nitrogen losses. “It may well mean that on stony, free-draining soils linked to ground water supplies you won’t be able to put as many stock on. “But for areas that are not draining straight into ground water and are relying on drainage systems to take water to larger waterways it could be you don’t end up spending thousands on facilities like herd houses. “Taking the attenuation knowledge you have for your arm and using these relatively lower-cost techniques means you avoid that major capital outlay. “You also leave your land use options open – if you are committed to an expensive livestock home, for example, it’s more difficult to change to another land use in the future.”

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Opinion

28 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

EDITORIAL Water policy gives farm opportunites

HE newly announced Action for Healthy Waterways discussion document has admirable goals but questionable methods. We’ve all been working towards better quality waterways and most can agree the progress in some areas hasn’t been fast enough. The Government’s plan to speed up that process focuses on measurement through farm environment plans, further planting and fencing to limit runoff and exclude stock and limiting land use change. It’s heavy-handed but Federated Farmers were even more so, saying farmers are being thrown under the tractor. Interestingly, DairyNZ was cautiously supportive in its initial statement while Beef + Lamb reckons its farmers are getting the raw deal. They might have a point. Drystock farmers have made great efficiency strides in recent years, which is great, but puts them at a disadvantage now rates of change are being counted. Newly required riparian plantings will be mostly on the higher country. And those with the most intensive farm systems have the most options when it comes to any future land use change. The nuts and bolts of the plan are still to be debated and set and hopefully a bit more equity will be achieved before it becomes law. There’s a lot of anxiety out there but remember disruption creates opportunity. For every farmer lamenting an inability to do things how they’ve always been done there’s another looking to springboard off these new rules into a new pool. In journalism, the first thought is always the reader. In farming, it should be the consumers. What food do they want to eat and how can we as producers deliver it. Farmers can still control their destinies if they choose to, just look at the many New Zealand farmers already producing high-quality and value food within strict limits already. So, fight for a just transition, sure, but know change is a given and the choice to prosper through it is yours.

Bryan Gibson

LETTERS

Let’s blanket them in wool I’M A longstanding wool supplier and am quite perplexed at the massive downturn in demand. While I acknowledge the work being done with flooring and the success achieved on many fronts in the carpet arena it appears the world’s textiles industry has left wool behind in its quest for market prominence. Very few garment makers, apart from those of traditional English provenance, use the time-proven Woolmark to identify the long-standing quality standard of wool. Why is this? I travel from time to time and have to endure on long flights the very poor insulating properties of a synthetic blanket. Why are they not wool blankets? They would be 10 times warmer.

I see we have achieved wool flooring in Emirates first class only. Why not blankets? I will never forget the effect on wool’s name when a worldleading film star said she’d rather go naked than wear wool. Obviously, her brain had frozen in the snow she was seen standing in. Now, I don’t recall any rebuttal at all. Our industry should have fired back immediately, Just dead silence. With the great anti-plastic paranoia we wool people should be pushing with huge intensity we need to be using people like David Attenborough to serve our cause. Maybe it will just take time but, as you will be well aware, sheep numbers are dropping very steadily and the economics of wool growing is very weak at current prices. I am very committed to the value and quality of the

wool product and I’m sure the market will eventually return to it one day. I don’t hold my breath, though. Alan Stuart Masterton

Blame plastic I WOULD like to reply to T Williams’ letter of August 19 regarding low fertility, which he blames on eating meat. Through the years I have talked to a lot of old people born in the late 1800s and early 1900s who lived till their late eighties and into their nineties whose main diet was meat and spuds. There where very few fertility problems with these people. Some killed their own meat, cured their own bacon with salt and washed their meat with vinegar if it got slimy. No one that I know of got sick.

The difference between then and now is plastic. The chemicals in plastic are the main cause of low fertility today, especially hard plastic, which is everywhere you look. We put if in our dishwashers where the chemicals coat all the other dishes. New research in the United States confirms this. The sooner we eliminate plastic from our lives along with sprays, as he states, such as glyphosate, the better. Roger Maugham Maungatapere

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Fonterra farmers still well-off George Moss

HE heading in the Farmers Weekly August 19, It’s a laughing stock, does neither the paper or the readers

justice. I have not seen any emotive comments about the fall of Fletcher Building shares from over $10 plus to $4 plus in the midst of New Zealand’s largestever building boom. No comment about the United States’ largest liquid milk company Dean Foods shares falling from US$21 to under US$1 or any of the other global dairy companies that have faced challenges, particularly those going into China. There has been much written and spoken on the performance issues Fonterra has faced and is facing. Most of the commentary is emotive and laced with a few financial facts. No journalist yet, to my knowledge, has done a deep dive into the circumstances that led to the situation we find ourselves in. The history of Fonterra’s challenges go right back to the initial capital structure proposal. At the time Fonterra was under two enormous pressures – one to solve redemption risk and the other to get further up the value chain and closer to the end consumer. Politicians, shareholding farmers and armchair critics were all baying for Fonterra to move away from its specialised commodity base. Farmers were also pushing for dividends on their shares that, in their words, at least covered the cost of capital. The first restructure proposal suggested a two-share model with the core co-operative in the nominal co-op share and the value-add part of the business in a second, investment, share that was openly tradable and had limited access to outside capital.

UNBALANCED: The seeds of Fonterra’s problems lie in the mismatch of its capital structure and strategy, dairy farmer George Moss says.

The

Pulpit

It was a variation on the very successful Kerry model. Critics argued farmer shareholders would ultimately sell their value-added shares and the gain would accrue to the investing, outside shareholders as did happen with Kerry. Only the farmers who chose to retain their investment shares participated in the huge gains over time.

The critics said Fonterra shareholders needed to own and control the entire business and with no chance of achieving the 75% threshold the proposal was dropped, in my view a massive mistake, which we are now paying for. The board and council came back with Trading Among Farmers, which addressed the redemption risk alone and, after a very bruising and destructive debate, that proposal achieved the required threshold. The board indicated to shareholders the capital structure was sorted for the foreseeable future. Enter new chief executive Theo Spierings into a climate of immense pressure to get closer to consumers (value-add), maintain Fonterra’s global relevance and deliver cash returns on both the shares and to the listed Fonterra units. He and the board embarked on the three Vs strategy, volume at value at velocity. The balance sheet was leveraged as acquisitions, including international milk pools, were

made. With no ability to bring in further permanent capital to any real extent and an expectation from farmers and unit holders for dividends the rubber band was bound to get very tight. Incidentally, this strategy is being emulated by our international competitors but from the top down. No thought at the time was given by farmers, the Shareholders’ Council or by the board to the impacts any headwinds, either through politics offshore or poor choices, would have on the overstretched band. I have to bear some of that responsibility as a shareholder and ex councillor. What farmers, shareholders, politicians and people forgot or did not understand is that true value-add consumer businesses suck cash at huge rates and continual reinvestment is required to maintain or grow a presence in a market. A2 has been around for about 18 years and has yet to pay a dividend and rightly so. Nestle, I believe, went decades before it paid a dividend. Xero and 42 Below kept reinvesting their profits to grow the business. Nearly all value add businesses at some point go back to the market for more cash. Rational investors are very comfortable with companies continuing to invest the profits rather than pay dividends and few shares until recently ever got close to paying cost of capital in dividends. To reiterate the point of how flawed our capital structure is, had the strategy been successful the Fonterra share and unit price would probably be in double digits now – the chief executive would have been deemed to have been good value but the farmers would be leaving the co-op to get value out of their bundled shares with the subsequent loss of milk. Milk is the life blood of the co-op’s stainless steel.

Ironically, the loss of milk could have been even more damaging. Had the board said “We are not embarking on the three Vs type strategy. We are going to continue to specialise in and add value to ingredients, at which Fonterra is world class” critics, politicians and journalists would be arguing the board was spineless and the Government should intercede in this nation’s only truly international company of scale. In short, the seeds of this hit started with the mismatch between our capital structure and our strategy. The same mismatch killed Westland. Any aspiring director there who advocated for a changed capital structure or unbundling of the milk price had no show. The good news for Fonterra is we have an unbundled milk price, we have permanent capital, we have scale. This is our Dunkirk, we are not Napoleon at Waterloo. To use the analogy of Dunkirk further, we need to own the problem that we all collectively made from board to farmer, we need to stop looking for someone else to blame but most of all we need to believe in our co-op and back the board. Fonterra farmers on average are still paid more than the available alternatives, even without a dividend, and make more money. It has been painful but we are still in a business we should be proud of.

Who am I? George Moss is a Waikato dairy farmer and former Fonterra Shareholders’ Council member. He is a DairyNZ ambassador.

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Opinion

30 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Water policy is doomed to fail Alternative View

Alan Emerson

I CAN’T see anyone in the provincial sector being remotely surprised at the draconian nature of Environment Minister David Parker’s policy announcement on water quality. For a start, Parker told us in June there would be tighter regulation of the agricultural sector. He also made the earthshattering statement he would regulate what, in his view, were some of the riskier farming practices. Last Thursday’s statement came in three parts, a diagram, a bland summary then the actual document, all 105 pages of it. To find out what the Government is up to you have to read the document and it makes scary reading. We shouldn’t be surprised considering the advisory groups Parker set up. His science and technical advisory group includes Dr Mike Joy of Victoria University, Professor Russell Death of Massey University and Otago University research

fellow Dr Marc Schallenburg, all, I’d suggest, vocal critics of farming. Then just to rub salt in the wound there’s Fish and Game’s Adam Canning. Federated Farmers employ scientists as do DairyNZ and Beef + Lamb. I couldn’t find a representative of those organisations anywhere. That’s compounded by the Freshwater Leaders Group containing Alison Dewes, Schallenburg again, the recently retired head of Fish and Game Bryce Johnson and anti-farmer campaigner Marnie Prickett who, according to an Official Information Act request, was the most active of the group. Again, there is no-one from Federated Farmers, Horticulture NZ, Zespri, the meat industry or Fonterra. I ask what’s happened to democracy as the elected representatives of landowners were completely shut out of the process last May. Interestingly, Tom Lambie and Traci Houpapa were on the committee but didn’t attend a meeting. So, my strong belief is the members were selected to provide a desired result. What annoys me is that farmers want to improve water quality and have. There are 11,000 farmers represented on the Sustainable

Dairy Water Accord that was signed in 2013. They’ve fenced over 24,000 kilometres of waterways, bridged over 100% of stock crossing points, prepared 10,400 nutrient budgets and developed riparian management plans yet the Accord didn’t have a voice on the Parker anti-farmer talkfest. Add to that the Land, Air, Water Aotearoa (LAWA) analysis of national river quality trends from 2008 to 2017 shows for eight out of nine water quality indicators more monitored sites are improving than degrading. North Canterbury’s Pahau River, in an intensively irrigated area, was awarded the most improved river at this year’s annual river awards. Getting back to the Parker report, the Government is heading to a central system I believe is flawed. One size doesn’t fit all. We’re going to have a central, independent national body obviously appointed by the Government to oversee freshwater management implementation. Half of that body will be Maori. We are told that voluntary efforts will not be enough, which I find interesting as voluntary efforts have achieved a lot. We’re going to amend the Resource Management Act rather than reforming it. There will be Governmentappointed freshwater

CRITICS: Otago University’s Dr Marc Schallenberg is among the Government’s water advisers who are all anti-farming.

commissioners working with local councils and that’s a worry. The document tells us there will be restricted avenues for appeal, which I find draconian. There is much about the levels and flows of water which is bizarre as the Government with the best will in the world can’t control the climate. Droughts will happen whether they like it or not. There’s a lot about nitrogen and phosphorus in waterways despite the Canterbury water containing nitrates at safe levels. They will be safe to drink in 100 years. We read impassioned statements about rivers being safe for swimming yet the polluted Taranaki freshwater swimming holes were caused by birds. Most people swim at beaches or in pools and it’s not farmers polluting either. Surprisingly, trout and salmon get special mentions and support. The Government must know more about the export potential than I do. What I found most insulting are that the finances are rubbish. The document claims a sheep and beef farmer would spend $36,000 over 10 years on fencing to meet all the new requirements.

A sheep and beef farmer mate believes the actual cost is nearer $1 million to fence the 23km on his property. The document maintains much economic modelling but, surprisingly, totally ignores opportunity cost. So, in summary my view is the nitrogen requirement is unachievable. Sheep and beef farms will become uneconomic to the extent that we will see massive conversion to forestry and trees don’t pay tax or attend schools. The document, dare I say it, is a dog. I’m only pleased the Environmental Defence Society, Greenpeace and Fish and Game are happy. The problem for the economy is that those groups don’t provide any income or tax revenue to Godzone. On the bright side, my belief is the document when it starts to be implemented will end up being the agricultural equivalent of Kiwibuild.

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

More needed to help prevent suicide From the Ridge

Steve Wyn-Harris

THIS column deals with suicide so some might wish to bypass if the subject is too raw or distressing. The media has tried to be careful when dealing with this terrible subject. We are mindful of the many people who have been affected and because research shows certain kinds of suicide reporting can increase suicidal behaviour in vulnerable people. The Mental Health Foundation recommends media talk about suicide in a way that report facts and helps people think about consequences without endangering the lives of others or misleading people through inappropriate blame or oversimplification. But avoiding the subject, as I have successfully done for more than two decades of writing this column, or downplaying it is

obviously not working. We see the number of people taking their own lives in this country continue to climb. Our country has one of the highest suicide rates in the world. How can this be in such a great place to live? It’s obviously not so great for many people. In the year ended June 30 there were 685 suicides, the highest number recorded. That is nearly twice the road toll and the equivalent of four 737s full of passengers. I knew one of them and a couple the year before but not closely. Many of us have been to suicide funerals. Those 685 people left behind many thousands of people devastated by the act and they will forever be affected. I’ve been fortunate myself. Despite my late father being bipolar I have never suffered from depression or anxiety. That’s not to say I won’t at some point in future. If you haven’t had depression it is very difficult to understand why someone would do this to themselves and the people they love. The rational thought is if things are so bad then just walk away or do something completely different. Those who have dealt with

depression themselves know this is nonsense. If it was that easy no one would ever take their life. I have had dealings with folk who are depressed and anxietyridden and in recent times, an attempt at suicide. I’ve been on committees that talk about how to look after our communities and latterly on a community resilience and wellbeing group working to prevent this scourge. Despite that, a vet on this group and I have said if we do recognise distress in others we don’t really have the skills or confidence to know what to do next. So, we have organised a workshop for the rural service industries in our area to learn just that next month. Young Maori males, construction workers, young rural males and older male farmers are in the high-risk groups. For many reasons. I’ve listened to Sir John Kirwan in the past and Mike King recently. They are very brave men and have excellent messages. But their experiences are different from those in rural communities. And if you are 20, they are very old. However, I’ve just been to an event organised by young people, aimed mostly at young people

and the issues they face. I went along to the Puketapu pub to join in the Will to Live, Speak up Tour. The pub was full of young folk, shepherds mostly. Elle Perriam’s boyfriend Will took his life 20 months ago. Elle, Will’s sister and his best mate with some help from Elle’s sisters have driven this terrific initiative. She never had any idea he had any mental health issues. That is not uncommon with stoic, staunch rural folk. I might have hoped the younger generations would be better at talking about their feelings and be prepared to reach out but in many cases it is not the case. A key message from Perriam and the other young folk who spoke is that it is okay to ask for help. A problem Perriam highlighted is that counselling is not always easy to access in remote, rural areas and it can take weeks to get appointments. It is hard to get a day off during busy periods such as lambing or shearing and often it is not in their culture for young people to ring a helpline. Will’s death deeply affected Perriam and she had her own battles to overcome before putting together the campaign to help others.

I was hugely impressed with her and the other young people who spoke openly about their own battles and how they overcame them. They were incredibly brave and sharing their own stories will make it easier for others to open up. Don’t be ashamed to ask for help. Tell your loved ones and mates you are struggling. They will love and respect you more for it. Go and see your GP or ring one of the many services only too keen to be of help. We need to do a lot better about this discussion of suicide and Perriam and her friends are doing wonderful work.

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

Need help, then call: • 0800 543 354 (0800 LIFELINE) or free text 4357 (HELP), available 24/7 • NEED TO TALK? Free call or text 1737, available 24/7 • DEPRESSION HELPLINE: 0800 111 757 or TEXT 4202 • Rural Support Trust: 0800 787 254

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

I’m still waiting for Jacinda Off the Cuff

Andrew Stewart

NEARLY a month ago I wrote an emotive open letter to Jacinda Ardern and the farming leaders of New Zealand. My motivation was to try to articulate my feelings as a sheep and beef farmer about to climate change obligations. Now I want to share the facts about my own farm and my emissions profile that inspired me to write the letter. Our Rangitikei farm is 617 hectares of mainly hill country that has been in my family since 1901. Over the years extensive planting of poplars and willows has been done to reduce the impacts of soil erosion and to provide shade. These are mature trees that provide a large canopy and cover 43 hectares. That does not include the 800 poplar trees planted in the last seven years because they do not form a canopy yet or the hundreds of other willows and poplars planted in isolation around the farm. Areas of native bush totalling 32 hectares have been left in their original state and allowed to regenerate. We have invested in 5km of fences in the past five years to protect these areas and stock are now totally excluded. On steeper parts of the farm scrub and natives are allowed to grow on bluffs and along creeks to encourage biodiversity, improve water quality and protect stock. These areas equate to another 12 hectares. And then there are the pine trees. In my 16 years as a farm owner I have been subjected to two once-in-100 years storms, resulting in extensive damage as bad as my 77-year-old father can remember. As a result of these storms we have also planted 30 hectares of production pine trees on the three worst eroding faces to reduce the impact of soil erosion. In terms of facts about trees on our farm, of a total area of 617 hectares there are 116 hectares

Can’t see the trees? Here they are: • White line: farm boundary • Yellow areas: Mature poplars and willows • Blue areas: Retired areas of native bush • Red areas: Pine trees • Orange areas: Regenerating natives

Despite 118 years of care, love and attention for the environment that we live in my family are labelled as nothing more than filthy polluters responsible for climate change.

covered with some type of tree. That represents just under 20% of our total farm area and if you factor in the smaller trees and ones planted in isolation the number is much higher. Our stocking rate is not high and in spring we average about seven ewes or just over one cow a hectare. With co-operation from our neighbours we have moved fences from at-risk places to ridges to try to minimise future storm damage. We have installed a solar pump to distribute stock water to nearly two-thirds of our farm using only the power of the sun.

find in New Zealand and is widely referred to by industry organisations as a go-to. It has simple to use screens but asks for very crude data inputs for stock, production, fuel, contractors, fertiliser and feed bought. There is no mention of any type of tree, grass, soil or any other means to offset carbon. So, I diligently went through the process and ended up with a results screen that told me my total carbon dioxide equivalent emissions are 1,372,100kg. It also helpfully explained that is the same as 5,939,825km driven in a medium sized car, 351.8 flights from Auckland to London in economy class, 49 hectares of growing pines or 214 hectares of permanently planted indigenous forest. Needless to say, based on this data I was left with a pretty bad taste in my mouth. Despite 118 years of care, love and attention for the environment that we live in my family are labelled as nothing more than filthy polluters responsible for climate change. So, these are the facts behind my appeal to our Prime Minister

We use fine particle applications of fertiliser, which, in my experience, is the most efficient way to grow drymatter on our farm. Any cropping is done with no tillage methods to minimise any impact on the soil. We do not use any form of winter cropping for my stock or feed out any supplements to our stock. They survive and thrive on the grass and legumes we grow in an environment that I can only describe as clean and green. I know there are others in our farming sector who have done much more than us on their farms and some who have done less. But when it comes time to calculate my emissions profile I know if the obligations are bad for me the outlook for many others will be dire. So, how do you calculate your emissions? Lincoln University has an online calculator described as a simplified approximation of the greenhouse gas emissions from a farm. Despite this less than inspiring introduction, this calculator is one of only two that I could

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and the farming leaders of NZ. Though I had a sense I was speaking for others I had no idea the depth of feeling and widespread support within our farming community and also from many in our towns and cities. Based on Facebook’s own information stating the average person has about 300 friends, this single post has potentially reached 300,000 people. More importantly it was picked up by the mainstream media and redistributed, which has kicked off a new level of awareness and discussion. The media jumped in to share my message but the one person I was hoping might make contact has managed only an email reply via her office staff. All I asked her was to come and have a look at our beautiful farm for herself so I could help her understand how she has got this all so wrong. I am still waiting.

Your View Andrew Stewart is a sheep and beef farmer and tourism operator in Rangitikei.

Opinion

32 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Fonterra’s Chilean assets shaky The Braided Trail

Market share of Chilean milk processors, 2002-2019 Top four companies (79% total milk in 2019)

Keith Woodford

WITH Fonterra announcing big write-downs on its asset values in China, Brazil, Venezuela and New Zealand it is fair to ask what other assets elsewhere in the world might also need to be written down? Have we heard all the bad news? The two biggest questions relate to Australia and Chile. They are Fonterra’s biggest overseas milk pools, which no longer fit clearly within the emerging, new Fonterra strategy. I recently wrote about concerns for Australia where Fonterra has announced plans to write down assets by $70 million. In that article I expressed concern that much bigger write-downs might be needed. Since then my Australian network confirms, particularly in northern Victoria, Fonterra is indeed in big trouble and heading towards more stranded assets. The problems are growing by the month. In July, Fonterra’s monthly Australian milk supply was 5.4m kilos milksolids (fat plus protein) whereas two years ago it was 8.3m kilos milksolids. Fonterra is getting out-muscled for the dwindling Victoria supply of milk. It is already paying more than it can afford and considerably more than its NZ farmers are getting. It is a mess. But here, I want to focus on the Chilean operations. I see elements of an Australian mirror image with Fonterra getting squeezed by poor market returns for its particular market products and dwindling milk supply from its farmers. Though the big picture of Fonterra in Chile has great similarity to Australia the details are different. The fundamental element in common is that Fonterra keeps getting things wrong when it heads away from home, largely through inadequate understanding of the environment in which it is working. The starting point for Chile is to

JUST LIKE HOME: Dairying in Los Lagos, southern Chile, looks just like New Zealand.

recognise Fonterra’s investments there go back to the NZ Dairy Board days. Fonterra inherited a majority share in Soprole, at that time Chile’s market-leading dairy company. At the same time Fonterra picked up a controlling share from the Dairy Board in Soprole’s little sister company Prolesur. Whereas Soprole focuses mainly on consumer products produced and processed in the central parts of the Chilean dairy heartland, Prolesur is further south again in Los Lagos where it focuses on the commodity side of things, being mainly milk powder, butter and, more recently, cheese. These are produced in high rainfall country, much of it around Osorno. Then, in 2009, Fonterra increased its stake to more than 99% ownership of Soprole and 86% of Prolesur. And that is where ownership now stands. The purchase price indicates Fonterra’s Chilean assets were valued at around NZ$600m in 2009. To a large extent Soprole and Prolesur operate as one company, with Prolesur’s profits incorporated into Soprole and from there through to Fonterra. However, that is not the full story. To start with, Fonterra has strongly encouraged Prolesur

suppliers to focus on grass-fed systems and spring-calving as occurs in NZ. The Prolesur payment system has been aligned to this policy. However, the realities of dairying in southern Chile, though having superficial resemblance to NZ, are not the same. Hence, Prolesur has now recognised seasonal milking also has disadvantages, particularly when it comes to product marketing and hence what it can afford to pay its farmers. Unfortunately, this understanding has been delayed.

Fonterra is indeed in big trouble and heading towards more stranded assets. It is readily apparent that Prolesur’s farmers are not at all happy. In 2018 the Prolesur supply dropped 17.7% despite overall Chilean dairy production rising 1.9%. It is also clear many more of Prolesur’s farmers would leave Prolesur, and hence Fonterra, if they could. They would very much like to

join Colun, which is a Chilean dairy co-operative that has been smashing Soprole in the marketplace. Though Colun is now Chile’s leading dairy company it is capacity-constrained and has a waiting list of farmers. In consequence, southern farmers are having discussions about setting up their own co-operative. And Prolesur’s minority owners are trying to sue Fonterra for unfair transfer-pricing of products across to Soprole, at prices that damage their economic interests. This legal challenge in itself has potential to be messy. Prolesur recognised some years back it needed to invest in cheese production. This has occurred in the north of Prolesur’s production region with production capacity now at more than 2000 tonnes a month. It has exacerbated the supply problems for milk powder production at Osorno, where it already has stranded assets. Fonterra’s problems in Chile go well beyond Prolesur in the south. Big sister Soprole, which incorporates Prolesur in its own accounts, is also in decline. Chilean market-share data goes back to 2002, at which stage the Soprole plus Prolesur combination was number one in terms of national milk supply. As the graph shows, from there through to around 2015, it was a case of large swings and roundabouts but arguably with no consistent trend in market share. Since then it has been an ongoing decline. Right through to 2018 it might have seemed to those people who rely on published profit figures that Fonterra was doing okay. There were steady dividends back to NZ. For many years it was a great cash cow. However, if Fonterra’s top managers and directors had been doing some independent footslogging they would have known that all was not well.

I have seen correspondence going back to 2014 where Chilean farmers were trying to tell both Fonterra and the NZ Government things were not right. In a nutshell, the Chilean farmers accused Fonterra of overmilking the Chilean cash cow. It was all short-term thinking. Soprole produces accounts for each calendar year, in Spanish, and I have been trawling through them. The latest accounts are for 2018. The numbers show that when converted to NZ dollars, the consolidated Soprole operation made $55m profit. The year before it was about $65m and before that more than $70m. In 2015 it was $80m. Soprole has a book value of about NZ$940m. Equity is valued at about NZ$700m. It is hard to argue the profits are sufficient to justify these figures. Beyond that, the trajectory is wrong. No-one would buy assets at anywhere near that price. Soprole brands are no longer considered premium brands in Chile. Some of Fonterra’s Chilean processing assets are less than efficient. Those assets belong to a previous era. And Fonterra lacks a loyal base of suppliers. Put all of those things together and look into the future rather than the rear mirror and Fonterra’s Chilean assets look very shaky. Just like elsewhere in the world, Fonterra has dug a deep hole for itself. It would have been much easier to not dig the hole in the first place than to now find a way out. The first step forward is for Fonterra to identify the extent of the hole.

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

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Dairy diet is greener than plants Jacqueline Rowarth IT IS the Holy Grail – high-quality food produced without impact on the environment while achieving premium prices: production, protection and income. Most farmers and growers have that as a goal. What we can do towards achieving the goal depends on geographical location, which determines such factors as soil, climate, topography, infrastructure, and the activities of the processing and marketing companies we supply. New Zealand has developed its production systems in response to changes in consumer demands. Supported by research, primary producers have achieved greater productivity gains than most other sectors can manage. And the food is generally produced with less environmental impact than other countries can achieve. The push for plant-based diets overlooks a great deal of research in the NZ context. Last year Greenpeace suggested the world will be better off with restrictions on consumption of animal protein. Its calculations were based on American feedlot production systems and human consumption patterns. Using land that could be used for growing food for direct human consumption to feed animals instead was under question. The Greenpeace report

suggested land that couldn’t be used to grow food for direct human consumption could be used for animals. That would reduce the amount of meat and milk available so American consumption patterns would change and be better for their health. The Greenpeace message was far less extreme than the translation in NZ, which resulted in media releases suggesting ruminants should go. The latest iteration of the debate appeared in the suggestion growing wheat instead of dairying on irrigated land could generate more protein with less energy input and much less water. A reduction in greenhouse gases was also included in the benefits. Reading further, a hybrid model on the Canterbury Plains combining dairy cows, beef cattle and arable was recommended, enhanced with precision cropping using drip irrigation to grow highvalue seed and protein crops while housing animals. A further advantage was stated as a consequent reduction in nitrogen leaching. The issue for contention, which was also missed in the Greenpeace report, is protein quality. Nutrition scientist Dr Graeme Coles said “The first limiting nutrients in the human diet are the nine essential amino acids we all need every day. To get them from a plant-based diet requires an intake of protein 2.5 times

TRIAL: Lincoln University dairy farm is testing nitrogen reduction technologies in practice, maintaining a high stocking rate during the milking season.

as high as if dietary protein is obtained from dairy.” Coles’ calculations show that per person fed their essential amino acid needs, dairy takes one third as much water as wheat or legumes, loses only 10% as much nitrogen to groundwater as does crop production and releases less gas to the atmosphere than cropping. The impact of human consumption also needs consideration. A plant-based diet means its human consumer excretes almost 2.5 times as much nitrogen as a dairy consumer at the same life stage, body weight and gender. He paints a grim picture for the environment due to nitrous oxides in the groundwater and atmosphere if veganism becomes the norm. New technologies are needed for human effluent management and capture of nutrients. The present system of septic tanks in rural areas and treatment before release to waterways in urban systems does not allow reuse of the nutrients that could become limiting in future, such as phosphorus. But care is required because of human bacterial

contamination and concentration of heavy metals. Cow effluent is easier to manage than human effluent and developments in technology have already allowed reduction of nitrogen losses, with or without housing. Some of the developments have occurred on the Canterbury Plains and some have been instigated by farmers. The Lincoln University dairy farm is testing the technologies in practice, maintaining a high stocking rate during the milking season but keeping nitrogen loss to below that required for the catchment. Irrigation is world-leading in precision – saving water, reducing nitrogen loss and cutting energy use. Coles estimates new technologies can reduce dairy’s nitrogen losses to environment by up to another 50%, enhance animal health and make dairy a better neighbour. Integration is what has been suggested for a more sustainable future and a closer look at the Canterbury Plains shows it is already happening. Many cropping farmers are also dairy farmers and many

dairy farms, not just those on the Canterbury Plains, supply calves to beef farms. This integration assists in reducing the environmental impact of animal agriculture per unit of protein. Coles calculates dairy feeds 3.6 times as many people per hectare as wheat. He also states a cheese sandwich is the cheapest way to provide daily protein and energy needs. Scientific understanding and research coupled with innovative and motivated farmers is creating the integrated production systems that are fit for context. One size does not fit all and systems recommended based on overseas contexts are likely to fit very few in the search for the Grail.

Who am I? Dr Jacqueline Rowarth CNZM CRSNZ HFNZIAHS has a PhD in soil science and has been analysing agrienvironment interaction for several decades. She has been vegetarian since 1975 and worked with Coles last century in the Crown research institute Crop and Food Research. He is now chairman and technical director of Knewe Biotechnologies and is not a vegetarian.

Get black to basics for the good soil Sue Edmonds DO YOU remember the word humus? When I was young, elderly gardeners mentioned it a lot. It was what made topsoil black and stick together and was vital for growing prize-winning vegetables. But with the advent of the NPK story, the formation of humus seems to have fallen by the wayside along with the soil life that helped create it. Now it’s only the stuff on the top that gets noticed and harvested and if it takes more chemicals, particularly bagged nitrogen, to keep it growing then so be it. But not every farmer seems to be aware of the cost involved. I hear constant moans about profitability but if break-even is anywhere near the milk or meat prices, it’s a bit hard to achieve. Last week some unknown person hooked me onto a Google chat room called sequestering carbon in soil addressing

GOODNESS: Humus can store carbon and water.

the climate threat and I was staggered at the number of people, representing a vast array of organisations all over the world, who were all trying to get regenerative agriculture recognised and used. And the word humus kept popping up because it’s the stuff that sequesters carbon into soils, particularly the long-lived version that stays around for millennia. And all these folk agree carbon sequestration in soil is pretty well the only system that will draw

down all that extra carbon dioxide from the atmosphere, which is heating us up, fast. Nothing in all that modern technology so far comes within a mile of it. Many were quoting a 50-year trial in Illinois that found the application of synthetic fertiliser, particularly nitrogen, resulted in all the carbon residues from the crop disappearing, as well as an average loss of about 10,000kg of soil carbon per hectare, whereas under organic or biological

systems it had increased hugely. Another guy who had worked at the Rodale Institute sent photos taken at the same time of two maize crops, one using synthetics and one organics. The carbon content and waterholding capacity of the organic one meant it was still lushly green whereas the other had shrivelled because it was a dry year. That was hugely evident in Waikato this last summer. So there’s not much humus being made round here. So what is humus? The decay of plant and animal matter initially is done by microorganisms (soil life) into inorganic minerals the roots of plants can absorb as nutrients. This is called mineralisation and provides plants with nitrogen. But a fraction of the organic matter doesn’t mineralise and instead is transformed by a process of humification into concatenations of organic polymers. They are resistant to the action of micro-organisms and are

stable and constitute humus. The humus can then integrate into the permanent structure of the soil, improving it. The carbon content of humus makes the topsoil look blacker. This process can happen when we make compost but in pasture and on arable land it needs to have matter left to decay and soil life to do it. Bare or ploughed soil or low grazing levels have nothing to make humus with. Unless a farmer wants to present his products as organic, he can farm biologically without going through the hoops of registration. Regeneration by getting life back into soil, reducing or giving up on synthetics and using cover crops of a wide seed mixture can achieve greater, healthier crops and products and also that mysterious factor – profitability. Other countries are already recognising sequestration of carbon in soil as a climate change fixer. We could do it too.

On Farm Story

34 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

They’re fishing for the future The desire to remove the ticket-clipping middlemen is not confined to dairy and meat farmers wanting to get closer to their markets and earn higher prices. It is a path being followed by Bluff fisherman Nate Smith but, he tells Neal Wallace, he has another motive for supplying fish direct to customers.

ID I want to go fishing, Nate Smith asked from the wheelhouse of his boat Gravity. He was catching only enough blue cod to fill a small order and the at-times turbulent Foveaux Strait was flat, he added reassuringly. That brief exchange revealed plenty about Smith and his business, Gravity Fishing. First, it was viable for Smith to head out to sea to catch 20kg of blue cod and secondly, he knew those fish would be in a fridge at Huka Lodge, a resort near Taupo, by noon the following day and third, it revealed Smith’s infectious optimism and a zest for life. He is the third generation of his family to fish the more than 200 nautical mile Southland coastline. His Ngai Tahu heritage can be traced back to the earliest settlers on Stewart Island and islands in Foveaux Strait. Crewing for Smith that day was lifelong friend, fellow Ngai Tahu descendant and Bluff-based cray fisherman Storm Wardrop who confessed he was also on spying mission to see how his mate’s recently modified boat operates. Smith’s transformation from a fisherman supplying as much blue cod as he could catch to processors to directly supplying 130 nationwide restaurants and retailers came after the realisation the southern blue cod fishery was being over-fished. Both Smith and Wardrop recall as young boys dropping lines off the Bluff wharf to catch a meal of blue cod. No longer. When Smith started fishing for himself in 2008 he caught 800kg of blue cod a day using eight cod pots. When a few years later his daily catch plummeted to 300kg a day Smith realised the industry response of setting more pots was not a sustainable answer. “That was my last year of cod potting. They’re still sitting round

CAPTAIN: Nate Smith with his fishing boat Gravity.

My theory is every time I catch a kilo of another fish species, it is a kilo of blue cod left. Nate Smith Fisherman the back of Stewart Island from when I did my last trip.” He had a plan underpinned by the need to reduce pressure on the blue cod fishery and based on knowledge passed down through

DO IT AGAIN: Nate Smith rebaits hooks to catch blue cod in Foveaux Strait.

Photos: Neal Wallace

generations, the latest science, a network of lifelong friends and social media. After nearly eight years he cut ties with the large fish processors and in July last year, with just six customers, launched Gravity Fishing and branched out on his own. “We want to tell our own story. “To date we haven’t had a proper story to tell and what we have had has been diluted by the companies.” Launching his own brand was a huge gamble but Smith was confident it was soundly based. One of the cornerstones was to introduce customers to other fish species he knew offer great eating

but which the large processors don’t want, such as trumpeter, scarlet wrasse, sea perch, hapuka and moki. By broadening the palate of restaurants and diners he reduces pressure on blue cod. “My theory is every time I catch a kilo of another fish species it is a kilo of blue cod left. “We know how many fish from each area we can take so we can promote sustainability.” Smith sent samples of alternative fish species to restaurants with an explanation of how that promotes sustainability, notes on how his family cooks them and their nutritional values. Orders started to flow.

“Our aim is to look after our fishery and create an awareness of different fish species and ultimately show where and how the fish on the plate got there.” Smith and Wardrop both say trumpeter is an underrated eating fish, with oil content comparable to blue cod. “Trumpeter to me is probably one of the best eating fish in NZ,” Smith says. Scarlet wrasse, a red fish, is also underrated, they say. It has flesh that is quite transparent but tastes like crayfish. “We wouldn’t have landed it a few years ago,” he says. From catching 35 to 45 tonnes a year of blue cod for processors

SCARLETT BASS: Nate Smith has been introducing restaurants and diners to new fish varieties such as scarlet wrasse.

On Farm Story

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

We know how many fish from each area we can take so we can promote sustainability. Smith now catches five to six tonnes of all fish species but earns more money. Broadening demand created a second cornerstone to his business: fishing to order. Each week he sends an email to his customers telling them what species he is targeting that week and they reply with orders he tries to fill. The decision on what to catch and when is based on research showing which fish have the highest fat and oil levels and when. But just as importantly it means he is providing customers with a year-round supply of fish because they know what fish he can supply and when. For example, hapuka is at its best nutritionally from March to May. And the growth in demand for sushi, means oil and fat levels are crucial for eating quality. Aligned to his venture has been a commitment to the ethical and sustainable harvesting of fish along with traceability about when, where and how they are caught. Between baiting lines and harvesting fish, his phone is everpresent, taking video footage of the harvesting process. It is sent to customers. “We are able to tell that story from the grassroots level,” he says. All fish are caught using special hooks and line and Smith has invested in four automated fishing systems or jiggers. Weighted hooks are attached to a line on the units which, at the press of a button, automatically release line and lures to the ocean floor or to a predetermined depth. When it senses a tug from a nibbling fish the system automatically returns to the surface. Smith says unlike nets, pots or long lines, the fish caught on his system are on the line for only a short time, which also helps the quality of the flesh. Once landed the fish is measured and killed using a Japanese technique called ikijimi,

Nate Smith Fisherman

HOOKED: Storm Wardrop and Nate Smith baiting lures on board Gravity in Foveaux Strait.

a steel spike pushed into its brain. Smith says research shows the technique is humane, provoking blood and lactic acid to be drawn out of the flesh and back into the gut cavity. The technique preserves eating quality, slows rigor mortis and increases shelf life by five to six days. Harvested fish are then put belly-down in insulated, ice slurry bins to bring down the core temperature. Another feature of ikijimi is it allows the fish to be retained whole, which is a request from chefs. “There is a massive shift to whole fish. Chefs are becoming a lot more creative.” Harvesting fish was Smith’s first challenge. Then he needed a registered pack house. “There are a lot of moving parts. Sustainability doesn’t stop on the boat,” Smith said. He recruited childhood friend Jahna Tuliau who got his required licences and started Southland Seafood in a small pack house behind his Invercargill home. Each fish is weighed and packed in specially designed, sustainable, thermal-insulated containers known as Chilltainers, which are lined with Woolcool to insulate the fish.

WAKE: Dog Island sits off the entrance to Bluff Harbour.

Once packed they are distributed to customers throughout the country. Smith adds personal touches to differentiate fish from Gravity Fishing. Instead of restaurants using chalk boards to display the fish of the day, Smith includes cards with a picture of the fish he is supplying and a link to his website, which can be given to diners. Smith’s customer base continues to grow and he has looked at exporting to Australia but says his initial focus is on NZ. “You feed the whanau first.” Such has been his success Smith now contracts four other fishermen to supply fish and all are required to meet his sustainable and ethical harvesting methods. “I want to grow the market but look after the fishery at the same time,” he says. Smith is confident he is helping the Southland blue cod fishery recover. “I believe what we are doing is going to help. But the more fishermen we bring in the more chances there are of looking after the fishery.” Smith fishes one of the roughest areas of water on the planet, known as the Roaring 40s.

It runs from Slope Point on the southeast corner of the South Island, surrounds Stewart Island and goes up to Awarua Point, at the northern edge of Fiordland where it meets Westland. Smith says his workplace includes some of the most beautiful coastline in the world. Neither Smith nor Wardrop fish for oysters but each year Wardrop heads to the Titi Islands off the south coast of Stewart Island for a month chasing the delicacy, muttonbirds. “You start turning a bit feral after a month,” he says. It is a trip he has been making since the age of four and he now

takes his own children, teaching them the traditional harvesting methods. Muttonbirds or sooty shearwaters are harvested as chicks or fledglings from midMarch. They live in burrows and Wardrop says he targets them when they emerge to allow the wind to remove their down. “We let them come to us.” As his Ngai Tahu ancestors did, Wardrop kills the fledglings by biting them on their heads. “You tell an ordinary kid on the street to go and do that and they’d look at you sideways but when you are brought up to do that it’s the norm.” Traditionally mutonbirds are sold in a salted state but Wardrop prefers lessons learned from his Ngai Tahu ancestry to prepare the 2000 birds he caught this year, a process called tahu. It involves excreting substances from the stomach cavity which is mixed with fat and a copper full of hot water into which the birds are submerged. “The difference in taste is like pickled pork compared to roast pork.” >> Video link: bit.ly/OFSsmith

EXPANSION: Jahna Tuliau started Southland Seafood to pack and distribute fish for Gravity Fishing.

World

36 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Animal welfare issues in UK and US raise serious questions over animal welfare and food safety standards, flip-flopping on the issue of fox hunting and the largest destruction of a protected species in living memory with the inhumane and ineffective badger cull. “Labour will put animal welfare policy on a serious and credible footing, driven by science and best practice, rather than vague sentimentality or campaign-ofthe-month.” Other proposals in the party’s manifesto include stopping the badger cull, banning live exports with an exemption for breeding animals and those moving across the Irish border, phasing out the use of sow farrowing crates, ending the use of all cages on farms by 2025 and doing research into the impact of highlyintensive livestock farming on animal welfare. The party also pledged to review training and standards in slaughterhouses and to introduce a whistle-blowing procedure through the Food Standards Agency to allow employees to report bad behaviour in abattoirs. In America farm groups are pushing for animal welfare regulations to be set at a federal level to avoid fragmenting the domestic market. Minnesota Farm Bureau president Kevin Papp issued the call after a series of laws were passed in California banning AWDT Understanding Your Farming Business production of 3 full-day workshops and an evening graduation eggs from caged ceremony run over four months. Equips and supports hens and later women involved in sheep and beef farming to lift the sale of all business performance. eggs produced in confinement, Registrations for 2019 programmes are now open, visit the website for more information and to register. Locations and dates (3 modules & graduation): Clinton: 11 Sep, 9 Oct, 6 Nov & 4 Dec Lawrence: 12 Sep, 10 Oct, 7 Nov & 5 Dec Website: To register visit www.awdt.org.nz/uyfb/ Contact: keri@awdt.org.nz or 06 375 8180 for more information.

A LABOUR government in Britain would create a new post of animal welfare commissioner to protect British standards in trade deals after Brexit. The commissioner would be independent of the government and have responsibility for ensuring animal welfare standards are upheld in domestic legislation. Any appointee would be charged with gathering the latest scientific evidence on animal welfare and ensuring it is understood across Whitehall. The policy was set out in Labour’s new animal welfare manifesto, put together after consultation with more than 6000 respondents. It received the most positive feedback of all the party’s proposals from those who took part. Labour’s Shadow Department of Environment, Food and Rural Affairs Secretary Sue Hayman said “Never has it been more pressing to drive forward a comprehensive and ambitious agenda on animal welfare. “At the time of writing this plan we have a Conservative government recklessly hurtling the nation towards a disastrous no-deal Brexit, new trade deals on the horizon which

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Labour will put animal welfare policy on a serious and credible footing. Sue Hayman Labour whether from California or other states. That led to 12 states, including Missouri, Iowa and Wisconsin, asking the Supreme Court to strike the law down on the grounds it affected inter-state trade and would discriminate against their producers. Iowa publication Little Village said the state’s chief deputy attorney said the California law was a single state’s attempt to

dictate the manner of agricultural production in every other state. The Supreme Court rejected the case, ruling the states themselves were not affected by California’s egg laws and litigation would need to be pursued by the farmers. But Papp said there uniformity on animal welfare is needed across state lines. “Certainly, from a Farm Bureau perspective and from an animal care perspective we do not support having a patchwork of individual states having different regulations. “There will be a move on this as we negotiate with the European Union on trade and there are some who would like us to have the same animal welfare standards here.” One practice still used in some states is cattle tail docking, which

has been criticised for causing phantom pain, preventing cows from being able to remove flies and affecting their ability to communicate with herd mates. On Keiffer Dairy Farm, in Hastings, Minnesota, cows had their tails docked up until last year for cleanliness reasons and the protection of workers in the milk parlour. Due to consumer pressure creameries and cheese processing plants are now restricting the practice but most of the time that works on a recommendation-only basis. Keiffer farm livestock consultant Bret Otte said “There is nothing federally enforced yet but the cheese plants are saying they would rather not have you do it and it is a welfare thing.” UK Farmers Guardian

Top scientist has no beef with hormones, chlorine

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Whangarei A&P Society Rural Business Network meetings 2019 Thursday 26th September 2019 Mark Wynne - CEO Ballance Agri-Nutrients Wednesday 16th October 2019 Dr Bruce Campbell - Dr Bruce Campbell Consultants Ltd Mix and mingle and finger food from 5.30pm to 6.00pm, prior to the speaker commencing. Venue: Barge Showgrounds Events Centre. Attendance to the meetings FREE to members of the Whangarei A&P Society and any TeenAg members. Join today to attend two meetings and get the third FREE! Contact: 09 438 3109 or email events@wap.org.nz to RSVP Friday 25/10/2019 – Saturday 26/10/2019 Rangiora Show 2019 Where: Rangiora A&P Showgrounds, Ashley Street, Rangiora, Waimakariri

GUARDIAN: An animal welfare commissioner would protect production standards in postBrexit trade deals under a Labour government.

BRITISH consumers should be allowed to buy chlorinated chicken and hormoneinjected beef, the Department of Environment, Food and Rural Affairs outgoing chief scientist Sir Ian Boyd says. There is no scientific reason to ban chlorinated chicken or hormone beef in a post-Brexit trade deal with the United States. But both practices are banned in the United Kingom. Boyd said there is no evidence that the meat is harmful and British consumers should be allowed to choose whether they want to eat it. His comments angered British farmers, who say chlorinated chicken and

hormone-treated beef fail to meet UK animal welfare standards and should not be allowed into the country. “From a health perspective there really isn’t a problem with chlorinated chicken,” Boyd said “The issue is about production processes and animal welfare and that is a values-based choice that people need to make. “My view is that we need to be allowed to make that choice. “But it is the job of people like me to make sure that we explain as clearly as possible what the consequences of different choices are for people.” National Farmers Union president Minette Batters

has warned allowing imports of chlorinated chicken and hormone-treated beef into the UK would be a betrayal of British farming. “Put simply, some US food would be illegal to produce here,” she said. “British farmers do not rely on chlorine-wash to ensure their chicken is safe to eat nor do they feed growth hormones to their cattle, pigs or dairy cows. “In the US, for example, there are hardly any welfare laws for laying hens, with no federal laws on housing, which are in stark contrast to the UK’s advanced rules on laying hen welfare.” The NFU says British farmers are quite reasonably expected to meet the values

of the British public in how food is produced – and those values must not be sacrificed. Soil Association policy director Jo Lewis said Boyd is profoundly wrong to suggest that UK animal welfare standards do not need to be protected in a US trade deal. “The Prime Minister (Boris Johnston) has guaranteed we will not see UK food and welfare standards sacrificed on the altar of a US trade deal or British farmers undercut by lower standard imports – this public promise must be kept.” Defra said the interview had focused on Boyd’s personal views on chlorinated chicken and hormone-injected beef. UK Farmers Weekly

Eketahuna 166 Taylors Road

Wai Hiwi Farm - Dairy/Intensive red meat Options abound on this quality property currently a 'once a day'system milking 350 cows with scope for dairy support and dry stock with all the facilities here. 38 ASHB milking shed, 19 bays of calf sheds, two excellent homes and a self-contained sleepout, three stand woolshed and numerous support buildings. A summer safe 262 hectare home block and 44 hectare run off nearby. These properties can be purchased together or separately. Choices are here with a combined dairy/dry stock operation offering the best of both worlds - not to mention the trout fishing on the boundary.

bayleys.co.nz/3060565

Tender (unless sold prior) Closing 4pm, Fri 20 Sep 2019 186 Chapel Street, Masterton View by appointment Lindsay Watts 027 246 2542 lindsay.watts@bayleys.co.nz Andrew Smith 027 760 8208 a.smith@bayleys.co.nz EASTERN REALTY (WAIRARAPA) LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Wairoa Ponui Station, 217 Ponui Road

Clean healthy hill country Offering extensive scale in Northern Hawkes Bay, Ponui Station provides approximately 800 hectares of clean hill country with the opportunity to further extend production levels and capability. Currently run in conjunction with a neighbouring farm, a robust fertiliser history combined with sound fencing provide the opportune platform to add to ones farming operation or begin a new hill country project. Strong leading north/south ridges provide excellent sheltered country, the majority below 200m ASL, and exceptional natural water sources â&#x20AC;&#x201C; Ponui offers good hill country farming conditions. Views over the Pacific Ocean, the homestead site provides an aesthetically inviting position for an owners or managers home, whilst other farm infrastructure being the airstrip, satellite yards and fencing are in good order. Sought after scale and opportunity to increase production.

Tender (unless sold prior) Closing 4pm, Wed 9 Oct 2019 10 Reads Quay, Gisborne Simon Bousfield 027 665 8778 simon.bousfield@bayleys.co.nz Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz

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

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NEW LISTING

Cheviot 318 Sisters Road

Deer, support, finishing Connemara is a well-tracked and fenced 167.3652ha bareland property currently run as a dairy support unit, but is also ideally suited to sheep and beef, or as it has been previously run, a 550-hind breeding unit. Well-farmed with a strong fertiliser history and pasture-renewal programme, it is approximately 90ha irrigated via two pivots and long lateral sprinklers. It is supported by good cattle yards and a centrally-located deer shed, accessed from a central lane-way enabling ease of management. All this allows the property to be immediately farmed as a finishing adjunct to a larger property, or as a stand-alone intensive unit. Numerous building sites provide panoramic views to the mountains and hills. Only 15km from Cheviot, this is the perfect property to farm and build your family home, or use as a run-off for your existing property.

Auction (unless sold prior) 12pm, Thu 3 Oct 2019 3 Deans Avenue, Christchurch View by appointment Peter Foley 021 754 737 peter.foley@bayleys.co.nz Ben Turner 027 530 1400 ben.turner@bayleys.co.nz

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NEW LISTING

Boundary lines are indicative only

Hororata 575 Leaches Road

Te Horo 757 State Highway One Lifestyle in a great Location!

Location is a key factor for this 10 acre (approx.) property, with fertile grazing land and a stream running along the boundary to the manmade pond abundant with wild life. Built in 2017, this 200sqm single level home has been beautifully designed to stand the test of time with its low maintenance practical exterior and contemporary style interior. Approximately 45 minutes’ drive to Wellington and 15 minutes' to Paraparaumu. Positioned to catch the all-day sun, this home is light and bright whilst providing all the country comforts you desire.

Tender (will not be sold prior) Closing 12pm, Thu 26 Sep 2019 19a Raumati Road, Raumati View Sun 12-12.30pm Ellie Tzimas 027 271 2341 ellie.tzimas@bayleys.co.nz Paul Gamble 027 374 1783 paul.gamble@bayleys.co.nz

If you’re looking for lifestyle in a great location, then call immediately to view.

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BAYLEYS REAL ESTATE LTD, KAPITI, LICENSED UNDER THE REA ACT 2008

For lease - quality landholding • The deadline for lease offers is 4pm, Thu 3 Oct 2019 (unless leased prior) • 418.19ha quality landholding in a desirable location • Has recently undergone major redevelopment • 365ha irrigated by four Valley Pivots • The property boasts a central lane with easy access from all paddocks to the new yards, complete with a remote controlled Te Pari cattle handler/crush • Completely new stock water system • Very tidy three-stand raised-board woolshed, four and five-bay implement sheds with further buildings around the yard • Three-bedroom weatherboard home with open-plan living

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For Lease View by appointment Craig Blackburn 027 489 7225 craig.blackburn@bayleys.co.nz Ben Turner 027 530 1400 ben.turner@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Real Estate

FARMERS WEEKLY â&#x20AC;&#x201C; September 9, 2019

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TOKOROA 37 Swanston Street TOKOROA tokoroa@pb.co.nz Office 07 280 8502

Property Brokers Limited Licensed under the Real Estate Agents Act 2008

Wainui - 607 ha

WEB ID TOR69351

TOKOROA 726 State Highway 32 Adjacent to Tokoroa Downs dairy farms in the South Waikato District is this exceptional drystock / dairy support unit comprising 607.32 ha (subject to survey), being 535.36 ha effective. Fenced into 97 paddocks with all improvements of a very high standard including all-weather lane access to all paddocks, reticulated trough water, Te Pari cattle yards with covered weigh and vet bail and 260-cow

concreted yard. Nearby is a 4 bay tractor/implement VIEW By Appointment shed and covered fertiliser bin located midway along the private access road. A large four bedroom dwelling provides accommodation in two separate units under one roof. Having been converted from pine forest in recent years the pasture species are all new, fertiliser records attest to the competence of the development program in place.

BY NEGOTIATION

Paul O'Sullivan

Mobile 027 496 4417 Office 07 280 8502 paulo@pb.co.nz

pb.co.nz

Property Brokers Ltd Licensed REAA 2008

Blue Ribbon Spray Irrigated 386 ha

THE DESTINATION FOR RURAL REAL ESTATE

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

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Ashburton pb.co.nz/AR69955 pggwre.co.nz/ASH29197 362 Fairfield Road Blue ribbon spray irrigated arable stock finishing farm in the heart of Canterburyâ&#x20AC;&#x2122;s most sought after location only 10km from Ashburton. Attention to detail in all aspects of production and farm maintenance provides the opportunity to walk in and just farm. Wheat, barley, peas, ryegrass and clovers grown in rotation sit alongside specialist vegetable seed and brassica crops. The yields are impressive. Up to 12,000 lambs bought in and finished each year. Emphasis on minimum tillage techniques to preserve fertility, improve moisture holding capacity and structure allows a very quick turnaround between crops and feed. 80 ha deer fenced with good handling facilities. Up to 1,000 weaner deer bought in and finished. Superb irrigation system provides 253 litres/sec at 5mm/ha/day, applied via lateral, pivot and Rotorainer irrigation. Very strong baseline numbers!

FOR SALE Fixed price $17,719,000 + GST (if any)

Paul Cunneen Rural Sales Consultant M 027 432 3382 paulc@propertybrokers.co.nz Robin Ford Real Estate Manager Mid/South Canterbury M 027 433 6883 rford@pggwrightson.co.nz

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Real Estate

FARMERS WEEKLY – September 9, 2019

N EW

LIS TI N G

909 Raumai Road, Bulls, Rangitikei 15km west of Bulls, this property comprises a 209ha finishing component and an optional 65ha of well-tended production forestry. Essentially flat, the pastoral area comprises mainly wide plains with large areas of heavier Pukepuke sand and gently undulating dryer Himatangi sand. Forestry is on the drier sand ridges. Tidy woolshed /sheep yards, good lockable storage shedding, cattle load-out facilities and a great duck pond. Open Day 11am, Tue 10 & Tue 17 Sep 2019 - bring quad and helmet. Or call for a private inspection.

• • • •

Tender Closes 11am, Wed 9 Oct 2019, 20 Kimbolton Road, Feilding. Peter Barnett AREINZ 027 482 6835 | 06 323 4434 peter@nzr.nz NZR Limited | Licensed REAA 2008

Situated on Whangaehu Beach Road is this 60ha dairy farm. Well laid out with a good mixture of contour soils and layout. Currently milking a 160 cow dairy herd. Improvements include a 16 aside herringbone dairy, hay shed, machinery shed, small feed pad and good yards. There is a nice family 4 bedroom character home set back off the road on a rise with native bush backdrop. Great chance to buy a farm that could be used for dairy or beef. Priced to sell at $1,795,000 plus GST if any. Call Les on 0274 420 582 to inspect.

Sallan Realty

Riverbend, 73 Stoddart’s Road, Bideford, Masterton

nzr.nz/RX2002959

GREAT STARTER PROPERTY

• • • •

PREMIUM FINISHING BLOCK

274.75 hectares Video on website

Riverbend is a 80 hectare finishing property boasting 43 hectares of redeveloped fertile flats, rolling cultivable hill paddocks and some medium hill country, complemented with a substantial home, stables, implement sheds, 3 stand woolshed with new sheep yards, hayshed and newish centrally located cattle yards. This premium unit is located just 10 minutes from Masterton in the renown Bideford farming district.

81.76 hectares (STFS) Video on website

nzr.nz/RX1866254

Blair Stevens AREINZ 027 527 7007 | blair@nzr.nz Dave Hutchison 027 286 9034 | dave@nzr.nz NZR Real Estate Limited | Licensed REAA 2008

Offers Close 4pm, Thu 10 Oct 2019, (unless sold prior) NZR, Level 1, 16 Perry St, Masterton.

MOTIVATED VENDORS

• • • • • • •

MANAWATU FARM

Situated south of Whanganui is this 82ha approx farming opportunity. 20 aside herringbone dairy and 300 cow yard with adjacent feed pad. Herd is split calved, milked all year round, supplying Open Country. Good bore water supplies stock troughs, dairy and house. Large machinery shed, large silage bunker. Three bedroom family home overlooking the countryside. Your chance to buy this farm with a flexible takeover date and take advantage of the coming season. • Priced to sell at $2,665,000 plus GST if any. • Call Les on 0274 420 582 to inspect.

Google ‘Sallan Realty’ Your Farm Sales Specialist

• Situated on Millricks Line in Linton, Manawatu is this exceptional 72 hectare farm property (STFS). • Has milked 280 cows in conjunction with a neighbouring 38 hectares and is fully consented. • Has produced up to 1050kgs/ms/ha with the herd wintered off. • Very good Tokomaru silt loam soils that have been regularly fertilised. • Improvements include a very good three bedroom family home. • Excellent bore water, farm tracks and shedding. • Vendor is retiring, what is your offer? • Call Les on 0274 420 582 to inspect.

CALL 0800FARMTEAM

Accelerating success.

Reach more people - better results faster.

THE DESTINATION FOR RURAL REAL ESTATE

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

farmersweekly.co.nz/realestate

colliers.co.nz

Licensed Agent REAA 2008

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PRODUCTIVE SAND COUNTRY

Real Estate

PRIME TATUA SUPPLY DAIRY FARM

For Sale by Public Auction Friday 18th October 2019 Fox Glacier Heartland Hotel at 1pm

Six titles of 186.5507 hectares. Made up of 159.42 hectares of Tatua supply dairy farm land and 27.13 hectares of adjoining prime support land.

Breeding and ﬁnishing block in renowned cattle country, South Westland. Majority area effective grazing. Half- round hay barn, fert bin, cattle yards. Rarely do grazing properties of quality come to the open market in this highly desired location.

This outstanding farm is located 15km North West of Morrinsville. Milking 700 cows with a four year production average of 395,456kg MS, with 339,697 Milksolids Supply Entitlements. Also offered for sale are shares, livestock and a separate highly productive 49.77 hectare run-off property located at 538 Whakahoro Road (or otherwise by negotiation).

www.gregdalyrealestate.co.nz Greg Daly AREINZ 027 478 3594

Improvements include four dwellings, 50 bail rotary cowshed, feed pad, bunkers, and full complement of farm support buildings, excellent subdivision, races and underpass.

Web Ref GDR3364223 Mike Curragh AREINZ 027 959 1267 Real Estate Agent REAA 2008

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To request an Information Memorandum please email: office@hoogeveen.co.nz

“60 YEARS SERVICE TO FARMERS ON THE WEST COAST”

FOR SALE WAIHUE QUARRY MAMARANUI, KAIPARA

Looking for the complete package?

Boundary line indicative only

SMALL-SCALE OPERATIONAL QUARRY PLANT AND MACHINERY INCLUDED This small-scale operational blue and brown metal + 15.1710ha freehold land title quarry located in the Kaipara district is offered for + Significant resource remaining sale on a ‘walk in, walk out basis’, with significant + Resource consent until 2026 plant and machinery included in the sale. A perfect opportunity for a passive investor, quarry + Plant and machinery included operator or contractor to take control of this operational asset and continue to supply the current client base of local farmers, first rotation foresters and roading contractors.

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

ASKING PRICE $1,000,000 + GST (if any) WYATT JOHNSTON 027 815 1303

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

JEREMY KEATING 021 461 210

www.cbre.co.nz/216334Q48 CBRE (Agency) Limited, Licensed Real Estate Agent (REAA 2008)

2480REHP

Contact CBRE today to obtain a detailed Information Memorandum and access to the Dataroom.

FOX GLACIER – 170.1698HA

122 No 9 Road, Waitoa

Private Sale by Deadline Private Treaty closes Friday 18 October 2019 at 3pm

farmersweekly.co.nz/realestate 0800 85 25 80

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FARMERS WEEKLY – September 9, 2019

RURAL | LIFESTYLE | RESIDENTIAL

TENDER

SHERENDEN, HAWKE'S BAY

TENDER

Plus GST (if any) Closes 4.00pm, Wednesday 16 October PGG Wrightson Real Estate, Hastings

Winter Trading / Finishing Block • • • • • •

247.83ha (612 acres) well located 30km west of Hastings Great water source, fully reticulated around the farm Good all-weather access, well laned and subdivided into 28 paddocks All-tractor country in an ongoing new grass/cropping programme Three-stand woolshed, new cattle yards plus second set, sheep yards and implement shed The work is done, warm winter finishing country ready to fly

Paul Harper M 027 494 4854 | B 06 878 3156 E paul.harper@pggwrightson.co.nz Doug Smith M 027 494 1839 | B 06 878 3156 E dougsmith@pggwrightson.co.nz

pggwre.co.nz/HAS30638

WAIHI, HAURAKI Great Location, Great Opportunity A rare opportunity to secure a prime 52ha (more or less) farm of rolling contour located just 10km to Waihi and Waihi Beach in two titles. North facing and well subdivided into 32 paddocks with approximately 26ha mowable. Improvements include implement sheds complete with concrete floors and power, two hay barns, old cowshed used for calf rearing. Bore water. Tidy three bedroom home with office, semi open plan living and swimming pool. Seldom do properties of this quality come to the market in this sought after area, make your appointment to inspect now.

PRICE BY NEGOTIATION Plus GST (if any)

VIEW

By Appointment Only

Lester Mullan M 021 121 4940 E lester.mullan@pggwrightson.co.nz

pggwre.co.nz/WAH30877

TEMUKA, SOUTH CANTERBURY

DEADLINE PRIVATE TREATY

Cropping / Finishing Woodlands is a well-developed, 451ha dryland arable unit just 7km from Temuka. With its rich, deep, silty loam soils, the current farming practice has been predominantly intensive dryland cropping with some livestock finishing and grazing. Farm infrastructure is well above average, including three good homes plus quality large sheds and numerous outbuildings to support the farming operation. Several purchasing options are available including the total property, the 142.5ha Flats Block, and the 308.5ha Downs Block as one unit or in two or more parts. We welcome your enquiry.

Plus GST (if any) (Unless Sold Prior) Closes 1.00pm, Friday 27 September

Simon Richards M 027 457 0990 E simon.richards@pggwrightson.co.nz Peter Crean M 027 434 4002 E pcrean@pggwrightson.co.nz

pggwre.co.nz/CHR30882

PGG Wrightson Real Estate Limited, licensed under REAA 2008

For more great rural listings, visit www.pggwre.co.nz www.pggwre.co.nz

PGG Wrightson Real Estate Limited, licensed under the REAA 2008

Helping grow the country

NZ’s leading rural real estate company

Helping grow the country

Required for the 500 hectare sheep and beef

An exciting opportunity has arisen for a Saleyard

breeding/finishing operation 20 minutes

Manager to join our Frankton Saleyard Team. You will be

north of Feilding at Waituna West.

responsible for carrying out the management of day to

The person we require will need:

day Saleyard operations. This will include managing the

• Excellent stockmanship

Saleyards team to ensure the safe and efficient conduct

• A good team of dogs

of the livestock sale.

• High levels of drive and self-motivation

The applicant must have experience handling

• A sound knowledge and interest in all

livestock, be able to carry out or oversee repairs and maintenance. You should have excellent communication

Primary and secondary school buses are

and organisational skills. This role requires knowledge

available.

and management of all compliance issues relevant to

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farming aspects

property.

This is a salaried position 40 hours/4-day work week

For further information please contact

with an agreed overtime rate. Remuneration will reflect

Hugh 06 328-6812 evenings only

If this sounds like an opportunity for you, please email your CV and cover letter, or any

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the successful applicant’s experience. Position start date

questions to mhull@associatedauctioneers.co.nz or phone 027 777 8285

Farm Manager

The successful applicant will work as part of a small team and be involved with all aspects of running the farm. You will be honest, reliable, able to use initiative and hard-working and also have an ability to be open in communication. Skills required are an ability to handle stock, and safely handle a tractor and quad bike. Some experience fencing is required.

Parkview is located on the northern boundary of the Raglan Harbour. Consisting of 787 hectares of rolling contour. The property runs weaner steers and yearling bulls on a rotational grazing regime to grow out for the prime livestock market. The farm manager’s position is that of a working manager responsible for the day-today management of the farm and the ability to motivate and inspire the other farm staff to achieve the goals of the farm business.

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This is an opportunity to gain experience in working with stud stock and both intensive and extensive grazing management. Accommodation is available. Apply with CV to jvmeallen@xtra.co.nz

The position requires the manager to bring good communication skills as well as ability to manage the Nait records, H & S monitoring plus farm assurance audits. To show initiative to adapt to new ideas as well as old ideas in farming, all within a supportive environment.

Email with two referees: miles.worsley@xtra.co.nz

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Accommodation available of a high standard. School bus to primary 2km. And 10km to secondary bus. The successful applicant will be interviewed and on selection to a short list the salary and profit share package will be discussed.

FARM ASSISTANT We are seeking a farm worker to assist with the day-to-day running of our farm which comprises approximately 400ha at Glen Murray in the northern Waikato. The farm runs Hereford and Angus Studs selling yearling bulls annually. In addition there is a ewe flock of around 800.

NEED STAFF?

There is a four-bedroom home on the

the saleyards environment.

November/early December.

farmersweeklyjobs.co.nz

STOCK MANAGER

LIVESTOCK SALEYARD MANAGER - FRANKTON

farmersweeklyjobs.co.nz

JOBS BOARD Farm Assistant Livestock Representatives Livestock Saleyard Manager Manager

Senior Technical Advisor Shepherd Shepherd / General Stock Manager Tractor/Truck/Machinery Operator

*FREE upload to Farmers Weekly jobs: farmersweeklyjobs.co.nz

Based just 15 minutes from the rural township of Hunterville, Otiwhiti Station has developed itself into the highly recognised Otiwhiti Land Based Training Agricultural Cadet School, which takes pride in producing future young farmers for rural New Zealand. Key skills are in the management of property run in conjunction with the Cadet School. You will be a crucial part of the management team. Otiwhiti Station is a 1200ha breeding station, running 8000 sheep, 500 cattle that is a mix of breeding and trading. Otiwhiti Station is part of a larger business working in conjunction with Westoe which is an intensive cropping and finishing 400ha property in Marton. Otiwhiti Station has set policies and an excellent infrastructure in place to support and help you achieve your KPI’s. This is an exciting opportunity for someone with high energy levels to inject your enthusiasm and expertise into a large scale operation, where horse work and a team of 6-8 working dogs are a prerequisite. The platform is provided for you to embrace technology such as FarmIQ, utilise modern farming techniques and demonstrate your strengths in pasture and stock management. We are looking for an applicant with strong organisational and planning skills, who has a strong knowledge of all the day-to-day on farm tasks such as livestock rotations, animal health, feed budgeting and general skills who is willing to impart their learnings. A generous remuneration package and a well-appointed four bedroom home within the Station is available to the right applicant. There is a primary school and early childhood centre 15 minutes away in Hunterville with a school bus available at the gate. If you have a keen eye for stock and have the aptitude to mentor and train young people, then this role will be of interest to you. Email CV to Rob Gollan Farm Consultant: rgollan@xtra.co.nz

Senior Technical Advisor - Farming Auckland Council

Otiwhiti Agricultural Training School is in its 13th year as a Land Based Training School and has gained an excellent reputation for educating and training students both in theory and practical farming. The Cadet school is based on Otiwhiti Station, a historic and iconic large-scale sheep and cattle breeding property located in the Hunterville district, Rangitikei. Otiwhiti Station is a total of 1700ha plus a finishing farm of 415ha at Westoe in Marton.

Auckland Council’s farming operation spans across 19 Regional Park locations throughout the Auckland region and at 1430ha is thought to be one of the world’s largest urban farming enterprises. The farming operations comprise 6650 sheep/1200 cattle in total, both breeding and finishing. Stock class management, breed type, stocking rates and sheep to cattle ratio are set on the best fit for managing public land without compromising the park resources and wider objectives.

The school hosts up to 16 Cadets per year who live on-farm and are involved in practical every day farming activities with a day of theory in the classroom per week. Accommodation is located on the station with the cookhouse being an integral part of the complex.

The Senior Technical Advisor will provide expert technical advice across this stunning farming resource to support the development of modern farm practices with the implementation and optimisation of new technology and equipment. Connecting the land, stock and the labour data is a key component for the farm management strategy and as Senior Technical Advisor you will be charged with centralising and turning data sets into operational outcomes. You will be an integral part of delivering a high quality farming brand through knowledge, technical leadership/engagement and customer satisfaction. Furthermore, upskilling the farming team in technical proficiency and championing risk management, compliance and overall best practice are key objectives.

These Cadet Manager roles will appeal to two individuals who as a partnership will bring a wide range of attributes and experiences to enrich the lives of the Cadets living at Otiwhiti Station. These roles will work closely together to provide pastoral care and training to the Cadets on a day-to-day basis, in conjunction with the wider team. Key responsibilities of each role include:

This role will suit an individual with high level computer literacy who understands the benefits in applying technology across a farming business in the name of accurate information flow and profit. A tertiary qualification in Agriculture/Agribusiness and an understanding of on-farm seasonal activities is highly desired for this senior role.

For more information on the training school and property please go to: www.otiwhitistation.co.nz

Auckland Council stands for excellent environmental, social and farming outcomes and has committed a specialised business unit to ensure the farming strategy is executed. Apply your technical expertise to this farming business where quality land, livestock, infrastructure and the best people are central to its goals.

To view a Job Information Pack or to apply, please visit www.ruraldirections.co.nz or phone the Rural Directions team in confidence on 06 871 0450 (Reference #3218).

To view a Job Information Pack or to apply, please visit www.ruraldirections.co.nz or phone the Rural Directions team in confidence on 06 871 0450 (Reference #8001).

Applications will be reviewed as received.

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Senior Leadership Roles

Station is looking for a Station Manager.

General & Property / Cookhouse & Quarters

Applications are welcomed from a wide range of individuals who can bring their skills into this fun and nurturing community environment. Excellent communication, organisation and time management skills will be highly valued.

Part Time Car Driver

Hunterville / Marton With the change in ownership and management structure Otiwhiti

Cadet Manager Positions

Cadet Manager (Cookhouse & Quarters) – responsible for working with the Cadets in designing the cookhouse menu and meal preparation, vegetable gardens and overseeing the Cadets living quarters.

Fencer/General

Station Manager

or phone 021 431 173 for more information

Cadet Manager (General & Property) – responsible for the practical, front of station tasks such as grounds maintenance (gardens, lawns and property care), animal care and in busy times, stock work.

Cadet Manager Positions

Applications close 5pm Monday, 23rd September 2019.

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TE KUITI LIVESTOCK CENTRE

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

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NZ’s #1 Agri Job Board

FARMERS WEEKLY – September 9, 2019

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*conditions apply

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

RECRUITMENT & HR

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

Tamarillos

ANIMAL HANDLING

teoranga@actrix.co.nz

FLY OR LICE problem? Electrodip - The magic eye sheepjetter since 1989 with unique self adjusting sides. Incredible chemical and time savings with proven effectiveness. Phone 07 573 8512 w w w. e l e c t r o d i p . c o m

8kg ctn direct ex-grower

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

0800 436 566

CHILLERS & FREEZERS

ANIMAL HEALTH

ANIMAL AND HUMAN healer, also manipulation on horses and dogs. 9th12th September, South Canterbury, Oamaru, Dunedin. 13th-19th September, Southland, Central Otago. 20th-28th September, Canterbury. 30th September - 5th October, Kaikoura, Blenheim, Nelson, Murchison, West Coast. 7th-12th October, Canterbury. For more information phone Ron Wilson 027 435 3089.

udly NZ Madew Pro Since 1975

021 441 180 (JC) frigidair@xtra.co.nz

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

FOR FARMERS & HUNTERS

Noticeboard

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

ATTENTION FARMERS FAST GRASS www.gibb-gro.co.nz GROWTH PROMOTANT Only $6.00 per hectare + GST delivered Brian Mace 0274 389 822 brianmace@xtra.co.nz DAGS .25c PER KG. Replacement woolpacks. PV Weber Wools. Kawakawa Road, Feilding. Phone 06 323 9550. BOOK AN AD. For only $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds section. Phone Debbie Brown on 0800 85 25 80 to book in or email classifieds@globalhq.co.nz

DEERLAND TRADING LTD

With automatic release and spray system. www.vetmarker.co.nz 0800 DOCKER (362 537)

DOGS FOR SALE

When only the best will do!

LAMB DOCKING / TAILING CHUTE

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VETMARKER

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

10-MONTH-OLD Huntaway. Ready to start. Good bark. 027 243 8541. VIEW SIXTY DOGS on video. Deliver, trial, guaranteed. www. youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553.

SELLING

SOMETHING?

TOWABLE FLAIL MOWER GST $4400 INCLUSIVE

12Hp Diesel. Electric Start

11.5HP Briggs & Stratton Motor. Industrial. Electric start. GST $4200 INCLUSIVE

50 TON WOOD SPLITTER

GST $4200 INCLUSIVE

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

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

✁

SCOTTY’S CONTRACTORS We also clean out and remetal cattle yards – Call Us! FROM THIS

Nominate a school on booking and we’ll donate $100 on payment of your account.

✁

Phone Scott Newman Freephone 0800 2SCOTTY (0800 27 26 88) Mobile 027 26 26 27 2 New Zealand’s Number 1 service provider for under woolshed and covered yard cleaning since 2004

FARM MAPPING FOCUS ON YOUR strengths with a farm map showing paddock sizes. Contact us for a free quote at farmmapping.co.nz or call us on 0800 433 855.

FOR SALE SERIOUS INCINERATORS. Heavy duty long lasting. w w w. i r o n t r e e p r o d u c t s . co.nz Phone 021 047 9299.

GOATS WANTED

FERAL GOATS WANTED. All head counted, payment on pick-up, pick-up within 24 hours. Prices based on works schedule. Experienced musterers available. Phone Bill and Vicky Le Feuvre 07 893 8916. GOATS WANTED. All weights. All breeds. Prompt service. Payment on pick up. My on farm prices will not be beaten. Phone David Hutchings 07 895 8845 or 0274 519 249. Feral goats mustered on a 50/50 share basis.

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

HD C a Hand ttle ...no ling w SQU with EEZE

MANUKA SITES WANTED CENTRAL NORTH ISLAND. Whanganui, Taranaki, Wairarapa. Excellent site rental paid on quality honey. We are looking for long term relationships. We are experienced and honest. Contact 027 372 0842. Email: zerbywerby@ gmail.com

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

Take the stress off man and beast with our auto catch head bail on a crush that will last.

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

STOCK FEED HAY 12 EQUIVALENT squares $70. STRAW 12 equivalent squares $55. BALEAGE at $80. Unit loads available. Phone 021 455 787.

N A ffo o rd Make use of the labour and I nno able v drench while you draft R elia ative lambs off.

TRACTOR PARTS JD 6510, 6420, 6430, 6434, dismantling Andiquiparts. Phone 027 524 3356.

™

UTE MATS

Bring your own 4X4 on a guided tour to discover more of the South Island. Tour 1: Molesworth Station, St James, and Rainbow Stations Dates 2019: Oct 21-24 Dates 2020: Jan 13-16, Feb 22-25, March 1-4, March 15-18, April 5-8 Tour 2: D’Urville Island and Marlborough High Country Dates 2019: Dec 1-5 Dates 2020: March 22-26 Other dates available for either tour for groups on request.

FOR SALE

0800 227 228 www.combiclamp.co.nz

South Island - Stuart 027 435 3062

NOTICEBOARD

REACH EVERY FARMER IN NZ FROM MONDAY Advertise in the Farmers Weekly $2.10 + GST per word - Please print clearly Name: Phone: Address: Email: Heading: Advert to read:

SOMETHING? TO THAT

Have something to sell? Advertise in Farmers Weekly Phone Debbie Brown 0800 85 25 80 or email classifieds@globalhq.co.nz

ble

FOR SALE

UTE MATS. Non slip, durable easy to clean mats to fit any ute. For a free quote contact Burgess Matting & Surfacing Ltd. 0800 808 570. website: www.burgessmatting.co.nz

SELLING

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I NOW

60+ R1 RED DEVON bulls for sale. TB tested, and 5-in1 and 7-in-1 treatments. BVD tested negative. All bulls raised on hill country. Good temperament,Good growth rate. Easy calving. $1950 + GST. Call John Cameron 027 644 1143.

Ph: 03 314 7220 Mob: 0274 351 955 Email info@southislandtoursnz.com www.southislandtoursnz.com

Under Woolshed/Covered Yards Cleaning Specialist www.underthewoolshed.kiwi

ATU NAW

12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195. QUICK SALE! No one buys or pays more NZ Wide! 07 315 5553. Mike Hughes.

4X4 TAGALONG TOURS

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TOWABLE TOPPING MOWER

LIVESTOCK FOR SALE

WILTSHIRES-ARVIDSON. Self shearing sheep. No1 for Facial Eczema. David 027 2771 556. HEREFORD BULLS, purebred yearlings. BDV negative and vaccinated. Phone 027 4944 262.

2 YEAR WARRANTY. NZ ASSEMBLED. ELECTRIC START & QUALITY YOU CAN RELY ON 13.5HP. Briggs & Stratton Motor. Electric start. 1.2m cut

DOGS WANTED

LIVESTOCK FOR SALE

PH DEBBIE 0800 85 25 80

FARMERS WEEKLY – September 9, 2019

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

Livestock

FARMERS WEEKLY – September 9, 2019

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

SHADOW DOWNS

BIDR® HOSTED DAIRY BREEDS

Angus

BONANZA BULL SALE

P OL L E D H E RE FORD S TUD

WEDN ES DAY 11th S EPT, 2019 - 12 N OON

Monday 16 September 2019 7pm on bidr Annual Sale

L O W E R HE RE N G A W E RO A D , W A V E RL E Y

FEATURE AUCTION OF R1 AND R2 40 JERSEY, FRIESIAN, AYRSHIRE, SHORTHORN AND XBRED BULLS All inspected for size, condition and all tested BVD negative.

98 YEARLING

ANGUS BULLS

th ber 2019 Tuesday 17 Septem m

at 12 noon on far ands Waitangi, Bay of Isl

For conditions of entry and sale contact Ross Riddell 0272 111 112 rriddell@linklivestock.co.nz

57 2yr old bulls

2-YR OLD BULLS FERTILITY TESTED

IAN & DANIEL SMITH P/F: 06 762 7899 • Mobile: 021 749 235 • Email: daniel.rae@primowireless.co.nz LK0099113©

Enquiries and Inspection Welcomed: Please contact John & Joss Bayly, Waitangi Angus Ph 09 402 7552, Bay of Islands Email jbayly@xtra.co.nz

“The beef breed for every need” Owner Bred - Closed Herd Genuine Home-Bred Beef Bulls

Offering Merit Sires • Low Birth Weights Easy Calving • Whitehead Premiums Performance Recorded • BVD & Lepto vaccinated/tested

Go to www.bidr.co.nz to sign up and register for the Bonanza Bull Sale

NG SPECIALISTS OUR EASE OF CALVI

www.waitangiangus.co.nz

NZ FARMERS LIVESTOCK Jeremy Newell: 027 664 8832 Tim Hurley: 027 445 1167

PGG WRIGHTSON Mark Neil: 027 742 8580 Ryan Shannon: 027 565 0979

Linking buyers and sellers

Glen R Angus Annual Bull Sale

EXPORT WANTED Late January delivery 2020

FRIESIAN HEIFERS 18 Born In Calf – $1550 19 Born Autumn – $1100

Monday September 30 – 1.30pm Open Day to view bulls: Tuesday September 24 from 2.00pm Sandown 445 Deans Road, SH 72, Darfield

LK0099089©

LIVESTOCK ADVERTISING

35 Rugged 2-year-old Bulls LK0099185©

North Island Luke McBride 027 304 0533 Wayne Doran 027 493 8957 Harry Van De Ven 027 486 9866 South Island Richard Harley 021 765 430 Greg Collins 027 481 9772

Call Peter Heddell on 027 436 1388

DEFERRED PAYMENT UNTIL 20TH DECEMBER 2019

Inaugural Yearling Sale

Fowler Farms Ltd

On account of

Pokoroa Speckle Park & Sandstone Downs Herefords

9TH ANNUAL SERVICE BULL SALE Held on farm and undercover at 470 Wilford Road, Hurleyville, South Taranaki Tuesday 17th September 2019 at 11.00am ORDER OF SALE:

Advertise in Farmers Weekly

C/- GK and AJ Chitty, Waiuku to be held on farm on Friday 13th September, 2019 at 12pm, Douglas Road, Kohekohe

• Deferred payment until 20th DECEMBER 2019 • Grazing available at vendors risk until 20th November 2019

Comprising: 15 yearling Hereford Bulls 4 yearling Purebred Speckle Park Bulls 1 F1 Speckle Park Hereford Bull 8 yearling Hereford Heifers 3 F1 Speckle Park Heifers 4 2-year in-calf F1 Speckle Park Heifers

COMPLIMENTARY BBQ LUNCH PROVIDED $50 cash back on any bulls taken on week of sale AUCTIONEERS NOTE:

We are extremely pleased to offer this outstanding line up of quality, well grown service bulls. All entries are TB and BVD negative, BVD, IBR and leptospirosis vaccinated. Test results available on request.

To advertise Phone Nigel 0800 85 25 80 or email livestock@globalhq.co.nz

Selling agents Carrfields Livestock Brian Pearson 027 603 4477 Bruce Orr - Genetic Specialist 0274 922 122

LK0098772©

Bulls may be held on farm until 7th October, unless agreed otherwise Enquiries: Vendors Geoff and Alison Chitty 09 235 8527 0274 956 617

• 30 Jersey 3 Yr • 90 Jersey 2 Yr • 30 Jersey 1 Yr (300kg+) • 35 Jersey Autumn Born

Bernie & Irene Fowler 06 273 4400 or 027 201 2552 NZ FARMERS LIVESTOCK Grant Hobbs 027 477 7406 Daniel Hornby 027 552 3514

Brent Espin 027 551 3660 Steve Quinnell 027 278 3837

LK0098991©

Have you got a sale coming up?

• 90 Hereford 2 & 3 Yr • 35 Angus 2 & 3 Yr • 30 Murray Grey 2 & 3 Yr • 25 Red Devon 2 & 3 Yr

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

Livestock

FARMERS WEEKLY – September 9, 2019

Stokman Angus Yearling Bull and Heifer Sale 95 Registered Bulls 60 Commercial Angus Heifers Wednesday 18 September 2019 1708 Te Kopia Road Rotorua - 1.00 p.m.

Your Angus Bull Source

55th Annual Hereford Bull Sale Wednesday 25th September, 12noon

NZ Breed Average EBV’s on Stokman Sale Bulls Average

ON FARM - LUNCHEON PROVIDED 660 Ngaroma Rd, 26km off SH3, Sth East of Te Awamutu.

Calving Ease

+2.1

+0.2

Birth Weight

+2.9

+4.3

400 Day

+83

+81

600 Day

+106

Self Replacing

+147

+112

Angus Pure

+170

+131

34 TOP YEARLING BULLS & 70 2-YEAR OLD BULLS Sound bulls with exceptional temperament • Full EBV details in catalogue. Selection of Short Gestation & Low Birth weights. Bulls ideal for Beef & Dairy. • Free delivery 80kms.

* Fertility and semen tested * HD50K Genomic tested for better EBV accuracy * All Bulls carcass scanned * BVD tested and vaccinated * EBV recorded, C10 TB status * Well grown, suitable for heifers or cows

PGG Wrightson Cam Heggie 027 501 8182 Pete Henderson 027 475 4895 Central Livestock: Shane Scott 027 495 6031

HEREPURU HEREFORDS

Bulls For Heifer Mating

RIVERTON HEREFORDS 28TH ANNUAL SALE FORDELL, WANGANUI THURSDAY 19 SEPT – 12 NOON

40 TWO-YEAR BULLS 120 YEARLING BULLS

Call for a catalogue or view on www.angusnz.com

KELVIN & CYNTHIA PORT • P: 07 872 2628 • M: 022 648 2417 E: kelvin@bushydowns.co.nz • Web: www.bushydowns.co.nz ROBERT & MARIAN PORT • P: 07 872 2715

Safe Traceable Bulls

Mark & Sherrie Stokman 07 3332446 Mark 027 640 4028 Sherrie 027 499 7692 mtkiwi@farmside.co.nz

MIKE CRANSTONE 06 342 7721• 027 218 0123 crannyandcath@outlook.com

www.ezicalve.co.nz

Safe, Closed-Herd Bred Bulls

ANNUAL ON-FARM BULL SALE 25th September – 11.30am

Bulls For Heifer Mating

MATING HEIFERS OR DAIRY COWS?

THE CHOICE IS THIRTY EIGHT 2-YEAR-OLD BULLS ON OFFER Specifically bred for calving ease. 30 TWO-YEAR-OLD BULLS 100 YEARLING BULLS 12 noon, Tuesday September 24th

On-farm auction, Marton

WILLIAM MORRISON 027 640 1166 ardofarm@xtra.co.nz

www.ezicalve.co.nz

LK0098970©

LK0098805©

Contact Priscilla, Bill or Shannon Paki 1096 Herepuru RD, Manawahe RD4 Whakatane Phone 07 322 2362 Mobile: 027 322 2352 Email: herepurustation.ltd@outlook.com

Kokonga Ironside 5005 Boehringer Ingelheim Dairy Sire

Kokonga East Road (end of road by woolshed) off the Port Waikato - Waikaretu Valley Road, RD5 Tuakau

KAYJAY ANGUS

TOTARANUI A N G U S

101 YEARLING BULLS Tuesday 17th September, 12 noon on farm, Pahiatua

Daimien & Tally 06 376 8400, 021 430 710 Mark Crooks, PGW, 027 590 1452

www.totaranuistud.co.nz Email for a catalogue: bulls@totaranuistud.co.nz

LK0099004©

• C10 Status • BVD tested & vaccinated • Carcase scanned

25 BULLS SUITED TO HEIFERS & COWS 26 HEIFERS READY FOR MATING ANNUAL YEARLING BULL & HEIFER SALE

FRIDAY 20 September at 12 noon ENQUIRIES & VIEWING WELCOME • For CATALOGUES or to join our MAILING LIST Contact: Neil & Joan Kjestrup 06 372 2838 or Rod & Sam Kjestrup 06 372 7533 kayjaycattleco@outlook.com

LK0098985©

Livestock

FARMERS WEEKLY – September 9, 2019

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

MAUNGAKARAMEA SPRING CATTLE FAIR Maungakaramea Saleyards Friday 13th September 2019 Start 12.30pm

Full Traceability and Strict Biosecurity Policies

Quality Hereford & Speckle Park Bull Auction

12th Annual Quality In-Milk Auction High Indexed Dairy Cows A/c Finch Contracting Date: Thursday 19th September 2019 Address: 972 Paterangi Rd, Te Awamutu Start Time: 11.30 am (under cover) – BBQ lunch provided

Contact Robin Blackwell 06 762 4805

A/c Maungahina Herefords Date: Friday 27th September 2019 Address: 45 Maungahina Rd, off Castlepoint Rd, Masterton Start Time: 12.00 noon (under cover)

KAIRAUMATI POLLED HEREFORDS SALE

COMPRISING OF: • 32x Purebred Registered Hereford Yearling Bulls • 13x Purebred Speckle Park Yearling Bulls • 8x Speckle Park/Hereford Yearling Bulls

COMPRISING OF: 209 Friesian & Friesian X Herd BW 118, PW 209, LW 217, R/A 99% Cows will be A2A2 identified Details: • TB C10 - M Bovis not detected & BVD negative • All cows calved, milked in HB Shed • Unmated, Htested, in great condition • Traceability of cows from Mycoplasma Bovis free Farms • Content - 140 Fsn/Fsn X - 70 Jsy/Jsy X

• • • •

LK0099135©

Auctioneers Note: Due to robust selection, Darcy has probably got one of the best offerings ever. All selected from established Te Awamutu Farmers. The young cows are selected as MT, then mated & calved down from early June. Once the cows are sold all the farm is planted in Maize. Cows as usual will be in top condition for mating. Payment Terms: Deferred payment to 20th November 2019 Delivery within immediate or work in with trucking availability. Contact your local Carrfields Agents for details & photos Carrfields Agents: Ben Deroles 027 702 4196 Jack Kiernan 027 823 2373

LK0098665©

180 Registered & Purebred 1 year & 2 year Angus, Hereford, Murray Grey & Jersey

19TH SEPTEMBER 2019

Details: Maungahina Sdtud has been operating for 100 years & guarantees bulls All bulls TB C10, BVD vaccinated Birth weights & live weights in catalogue All bulls are owner bred & farmed on the property

12.30pm – 68 NGATAIPUA RD, TURUA, THAMES

Auctioneers Note: This is an outstanding offering of quality wellbred bulls. Our Vendors have a reputation of producing the best & have total confidence regarding the bulls offered. They are passionate farmers & have focus to breed bulls that will provide the requirements of buyers. 4% Buyers Rebate offered to non-participating Companies, but these must be registered with Carrfields prior to Auction Payment Terms: 12 days from Auction Date Carrfields Agents: Bunter Anderson 027 444 1169 Hamish Manthel 027 432 0298 Chris McBride 027 565 1145 Max Hutchings 027 538 4961 Carey Ashwell 021 433 274 Vendors Website: www.maungahina.co.nz Vendors: Mark & Melissa McKenzie 06 378 6896 or 027 415 8696

26 RSG 20 MTH BULLS 24 1-YEAR BULLS Contact Roy or Kaye Ward 021 128 7174 Dave Stuart 027 224 1049 Cam Heggie 027 501 8182

LK0098644©

www.carrfieldslivestock.co.nz

Thursday Sept 19th 2019, 12 Noon 183 Mangaotea Road, Tariki, Taranaki

Bulls born and bred on the top of the Coromandel

Hurstpier Polled Hereford Stud & Horizon Polled Hereford Studs Held on property at 547 Ngatimaru Road Tikorangi, Waitara 30th September – 12 noon

13 25 11 4 8 5

Present 2-year Registered Pedigree Hereford Bulls 1-year Registered Pedigree Hereford Bulls 2-year Hereford Bulls commercial 1-year Hereford Bulls commercial 2-year Jersey Bulls 1-year Bulls, well grown

66 bulls ready to go on behalf of: Rod and Joanne Jupp 027 711 5542 Nicola and Marcus McLeod 0274 548 996 NZ Farmers Livestock agent – Simon Payne 027 241 4585

LK0098893©

Bill Flowerday – Tauranga bilanwen@farmside.co.nz Phone 027 272 4361

LK0099181©

Paul Chapman 021 242 7799 Tim Williamson 027 511 7778

Selling limited number of 3/4 Speckle Park x Angus yearling bulls.

LK0099140©

Enquiries to:

23rd Beef & Dairy On Farm Bull Sale LK0099158©

Approx 1300 cattle: 800 x Yearling Steers 200 x Yearling Heifers 150 x R2 Steers

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

Livestock

FARMERS WEEKLY – September 9, 2019

AUsTREX NZ LTD

STOCK FOR SALE FRIESIAN BULL CALF CONTRACTS Nov Delivery

LIVEsTOCK EXPORTERs

LIVESTOCK ADVERTISING

STOCK REQUIRED

Well Bred EWE HOGGETS SIL or Dry AUT BORN FRSN BULLS 1YR FRSN BULLS 170-260kg 2YR FRSN BULLS 450-520kg 1YR ANG & A X HEIFERS 300kg 2YR ANG & ANG X STEERS 450-540kg

BUYING NOW

HOLSTEIN FRIESIAN Yearling Heifers F8 to F11 & F12 to F16 Chance Mated November Delivery FOR CHINA EXPORT Enquiries to:Paul Tippett 027 438 1623 Colin Jordan 027 667 0903 David Kelk 027 644 1285 or contact your Agent www.austrex.com

GOING GOING GONE! Call Nigel

_______________________________

0800 85 25 80

www.dyerlivestock.co.nz

livestock@globalhq.co.nz

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

byllivestock.co.nz

07 823 4559

byllivestock

RANUI

YEARLING BULL SALE On farm 17 September @ 12pm th

Paradise Valley Murray Greys 375 Turitea Rd, RD 3, Otorohanga 3973

ANGUS

YEARLING BULL & HEIFER SALE 12 noon Tuesday, 10th September, 2019 Karamu, 662 Rangitatau East Rd, Wanganui

YEARLING BULL & HEIFER SALE

ON OFFER: 30 yearling bulls • 35 yearling heifers

12 noon Tuesday, September 25, 2007

Karamu, 662 Rangitatau East Rd, Wanganui ENQUIRIES

TO: Lindsay Johnstone 027 445 3211 On offer: 25 yearling bulls Lin Johnstone 027 445 3213

MIKE PHILLIPS • M: 027 404 5943

30 yearling heifers, which will be sold in lots

HILL COUNTRY BORN AND BRED

Andy Transom • M: 027 596 5142 Kevin Mortensen • M: 027 473 5858

PGG WRIGHTSON AGENTS:

 All cattle BVD & EBL tested Callum Stewart 027 280 2688  All cattle electric fence trained Ken Roberts 027 591 8042  TB status C10  Vet inspected  Quiet temperament

Ryan Shannon 027 565 0979

INQUIRIES TO: Lin Johnstone Lindsay Johnstone 06 342 9833 06 342 9795 W & K AGENTS Blair Robinson Don Newland 027 491 9974 027 242 4878

TURANGANUI ROMNEYS Clients Owen and Tim Evans, Longridge North, Southland

On Farm Bull Sale – 25th September 2019 at Midday

180 Virgin R2 Registered Herefords All in the top 5% of the breed for Gestation Length and above Breed Average for Calving Ease

Exclusive supplier of SGL Hereford semen to LIC NEW SALE VENUE: 427 Cannington Rd, Cave

“The Turanganui team has done all the work so we don’t have to!”

Free 200km Cartage

Sale catalogues are available mid-September from: John and Liz McKerchar, Shrimpton's Hill Herefords Cave, South Canterbury | Ph 03 6143759 Email shrimptons@farmside.co.nz | Web www.shrimptonshillherefords.co.nz

Open Day 11th September, 2-4pm at the new venue For enquiries, please contact:

06 307 7841 0274 465 312

Holmes Warren

06 307 7802

RD 2 FEATHERSTON 5772

Jarred Pead

027 363 0899 LK0098688©

Michael Warren

Matt Gibbs 027 555 2307 - PGG Wrightson Barry Fox 027 439 3317 - PGG Wrightson Andy Cunningham 027 566 8243 - PGG Wrightson Peter Jackson 021 922 462 - NZ Farmers’ Livestock Ltd Jim Hazlett 027 462 0128 - Hazlett Callum Dunnett 027 587 0131 - Carrfields Snow Buckley 027 561 4652 - Peter Walsh and Associates Mick Withers 027 473 0817 - Rural Livestock Ltd

LK0098773©

Livestock

FARMERS WEEKLY – September 9, 2019

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

SALE TALK Here at Farmers Weekly we get some pretty funny contributions to our Sale Talk joke from you avid readers, and we’ve keen to hear more!

BullsEye Sale

Thursday 19th September

14th Annual Service Bull Sale - Undercover

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@globalhq.co.nz with Sale Talk in the subject line and we’ll print it and credit it to you.

11.30am start - concludes 2pm approx 300 McDonald Mine Road Signposted from Huntly Bridge

470 BULLS COMPRISING: 11.30am Beef Bulls 32 R2 Red Devon Virgin 30 R3 PB Hereford 140 R2 PB Virgin Hereford 24 R2 WF & Beefx Virgin 40 R2 PB Virgin Angus 1pm approx Dairy Bulls 180 R2 Jersey 27 R2 Rec Virgin Friesian/Xbred

Conditions apply

Vendors: David & Fiona MacKenzie and Greg & Vicki Straker Agent in Charge: Bill Sweeney - 027 451 5310

TARANAKI CATTLE FAIR Stratford Saleyards Wednesday 18th September 2019 12 noon start Special Entry Account W & K Petersen F/T

HAVE A SALE COMING UP?

100 x Empty 2yr Heifers, ideal for the breeding job, comprising: 75 x MT Hereford/Friesian heifers 25 x MT Angus/Friesian heifers

Call Nigel

Quiet hill-country heifers, true to breed Live weight range 350kg to 425kg.

0800 85 25 80 livestock@globalhq.co.nz

Further enquiries contact Stephen Sutton 0274 423 207

Where else do you get the chance to pick what you want, get delivery when you want and pay via Bull Plan if you want! Also, a great steak lunch is supplied.

11.00 AM 26th SEPTEMBER 632 TE KAWA RD, TE AWAMUTU D & S FORSYTHE Currently in their 40th Season 550 In milk Fr & XB Cows consisting of: 55 In milk Spring Calved Cows 130 In milk Autumn Calved unmated Cows 370 In Milk Autumn Calving Cows DTC 8/3/20 - 3/5/20 G3 profiled and A2 Cows have been identified, average BW69 PW102 RA 97%, TB C10, Lepto Inoculated, AV 455 m/s per cow, has produced up to 550 m/s per cow, currently doing 1.9 m/s per cow. These cows come forward in very good condition ready to produce!! Payment deferred until 20th October and finance available (terms and conditions apply). Enquiries to Steve Morton 027 246 5165

LIVESTOCK ADVERTISING

with Farmers Weekly PHONE NIGEL RAMSDEN 0800 85 25 80

LK0099134©

LIVESTOCK ADVERTISING

David & Fiona, and Greg & Vicki have nasal sample tested a percentage of bulls from every mob being offered for sale to the recommendations of their Veterinary practice. All results being M-Bovis not detected. All Bulls BVD & TB tested & BVD double inoculated. Our vendors stand behind their bulls, if there is an issue with a bull when delivered you can swap the bull or be fully refunded. Delivery every Monday from 23rd September until 4th November, 2019. View photos of the bulls on mylivestock.co.nz

QUALITY IN MILK SALE

Waitawheta Angus

KAURI DOWNS ANGUS 3RD ANNUAL YEARLING BULL SALE Wednesday 25th September 2019 12.30 pm On farm: 468 Waihi-Whangamata Rd, Waihi

WAITAWHETA ANGUS HAVE BEEN SELLING YEARLING ANGUS BULLS BY AUCTION FOR OVER 30 YEARS. 35 YEARLING BULLS SELECTED FOR YEARLING HEIFER MATING FROM A TOP CALVING EASE HERD.

30 Well-Bred Yearling Angus Bulls One 2 Year Old Angus Sire – Balanced traits – used over heifers Key Traits: ● Calving ease ● Low birth weight ● Short gestation ● Good growth Ideal for Heifer Mating

35 ANGUS 1YR BULLS

Angus Pure Partner

Selling Agents: Brent Bougen 027 210 4698 Cam Heggie 027 501 8182 NZFL Stud Stock PGGW Genetics

ON FARM ANNUAL 1YR ANGUS BULL SALE

LK0098959©

Background Photo: KD335

Phone: Vendor Dave Fogarty 027 206 6931 or 07 884 5774

86A THAMES ROAD - PAEROA - 18TH SEPTEMBER - 12PM CONTACT: ALISTAIR & PAT SHARPE - 07 863 7954 or 021 054 7862 KEVIN FATHERS - 0272 799 800 - BRENT BOUGEN - 027 210 4698 Waitawheta R1 2019 164wx120h.indd 1

10 Yr CLOSED

MORRINSVILLE DAIRY SALE

10yr +

HEREFORD

21/08/2019 9:57:06 a.m.

No Tra

ding

HERD & FARM

8th Annual Bull Sale - Monday 23rd September 2019

THURSDAY 12TH SEPTEMBER 12 Noon On A/c Client

1358 Buckland Road - Cambridge - Undercover - 12 Noon

55 Grass fed Hereford Yearling Bulls - Approx 460kg l/w ave. Suitable for cows. BW & LW provided, TB C10, EBL Free, BVD Negative & Lepto 7in1 Double vaccinated

70 YEARS OF BREEDING IN THE SAME FAMILY 84 Top Jsy XB In milk Cows BW 94/42 PW 154/44 RA 96% Consistently producing 380-400 ms/cow on System 2. These Cows are TB C10, EBL Free, Lepto innoc. M Bovis not detected. SCC 150,000

This is an outstanding opportunity to purchase quality secure cows. Contact: Don Allison 0274 515 318

LK0099160©

This third generation family’s cows only come to the market as our client is going A2A2. A small number may be close to calving.

Bred for medium birth weight, calving ease and temperament. All bull purchasers enter a draw for 2 x lots of 30 native trees from Cambrilea Riparian Services. Light luncheon & drinks provided. Signposted from Mobil Karapiro. SH1 FOR FURTHER DETAILS CONTACT: VENDORS: HELEN & CHARLIE LEA - 07 827 6868 OR 021 833 221. info@ratanuifarm.co.nz BRENT BOUGEN - 027 210 4698 GARETH PRICE - 0274 777 310 ANDREW FINDLAY - 027 273 4808

LK0099171©

Late one night a burglar broke into a house and while he was sneaking around he heard a voice say, “Jesus is watching you.” He looked around and saw nothing. He kept on creeping and again heard, “Jesus is watching you.” In a dark corner he saw a cage with a parrot inside. The burglar asked the parrot, “Was it you who said Jesus is watching me.” The parrot replied, “Yes.” Relieved, the burglar asked “What is your name?” The parrot said, “Clarence.” The burglar said, “That’s a stupid name for a parrot. What idiot named you Clarence?” The parrot answered, “The same idiot that named the rottweiler Jesus.”

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

Livestock

FARMERS WEEKLY – September 9, 2019

TE WHANGA ANGUS calving ease sires www.borthwick.co.nz

Bonanza Bull Sale

SALE MONDAY 16 SEPT 10.00

Auction starts 7.00pm, Monday 16 September 2019

47 stud, plus 26 commercial performance recorded yearling bulls.

Weekly Auctions

Ring us for a catalogue

Monday night - Auahi Charolais Bull Sale Wednesday night – North Island Thursday night – South Island

Jason Coffey, Manager 691 Te Kopi Rd, RD4, Masterton P. 06 372 77 20 M. 0274 570 526

For more information go to bidr.co.nz or contact the team on 0800 TO BIDR

Why wouldn’t we use Te Whanga Angus, they offer extra value through higher growth rates and angus premiums, plus the calving ease, low birth weight and short gestation that we know is so reliable.

Bid, buy, sell all things rural

Stu Weatherstone 2800 dairy cow farmer, South Wairarapa

Hillcroft Est. 1960

Secure your bull team with no upfront cost

Annual Spring Bull Sale

Dairy service bulls. Buy now. Pay later.

Hillcroft bulls: born and bred on our closed breeding unit. No bulls have been leased.

97 ANGUS 2 YR OLDS 23 ANGUS YEARLINGS Selected for heifer mating

30 HEREFORD 2 YR OLDS sires:

Rangatira 13-4 sire of 1 & 2 yr olds

pggwrightson.co.nz/ deferabull 

• Ardo Prophet 2329. Top 5% Hereford prime and dairy maternal. Top 10% NZ calving ease, NZ carcaseweight • Riverton Lochie 1320. Top 5% C ease

On bull farm: 820 Waiterimu Road – east of Huntly • Monday 16th september 11.30am Malcolm & Fraser Crawford: Matahuru Rd, Ohinewai Malcolm Phone 07 828 5709; Fraser Phone 07 828 5755, 0272 85 95 87

LK0098738©

Enquiries welcome – call for a catalogue or view online www.angusnz.com FB hillcroftangus • www.hillcroftangus.co.nz

SPRING BULL SALE YEARLING SPECKLE PARK BULL SALE

50 Yearling Bulls

TUESDAY, 24 SEPTEMBER 2019 Starts 1pm at 43 Finlay Road, Cambridge Bulls available for viewing from 11am on sale day or by prior arrangement by contacting Sam Le Cren Ph: 027 474 9989 | Email: sam@takapoto.co.nz

SELLING AGENTS: PGG WRIGHTSON Andy Transom 0275 965 142 Cam Heggie 0275 018 182

2nd October 2019, 12pm 400 Brunskill Road, Cambridge

LIVESTOCK ADVERTISING Advertise your stock sales in Farmers Weekly

farmersweekly.co.nz

Livestock

FARMERS WEEKLY – September 9, 2019

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

List Now. Buy Now.

When selling livestock this spring, list now through your accredited livestock agency on bidr.co.nz - New Zealand’s newest rural trading platform offering real-time online auctions. With a nationwide reach and over 140 accredited livestock assessors, bidr. co.nz provides a platform with better outcomes for farmers and their livestock. Selling or buying, contact your local livestock agent to find out how easy it is to trade livestock with bidr.co.nz now.

bidr.co.nz

Your source for PGG Wrightson livestock and farming listings

Key: Dairy

Cattle

Sheep

Other

STOKMAN ANGUS YEARLING BULL AND HEIFER SALE

58TH ANNUAL NATIONAL FRIESIAN BULL SALE

96TH NATIONAL JERSEY BULL SALE

KAIRAUMATI HEREFORD SALE

Wednesday 18th September 2019, 1.00pm On Farm 1708 Te Kopia Road, Rotorua

Tuesday 17th September 11.00am Te Awamutu Saleyards, Paterangi Road, Te Awamutu

Wednesday 18th September 11.30am

Wednesday 19th September 12.30pm

Te Awamutu Saleyards, Paterangi Road, Te Awamutu

68 Ngataipua Road, Turua

95 Registered Bulls 60 Commercial Angus Heifers - Fertility and semen tested

Comprising 69 Bulls:

Comprising 31 Bulls:

19 Friesian Yearling Bulls

16 Yearling Jersey Bulls

15 Friesian 18 Month Bulls

6 18 Month Jersey Bulls

- HD50K Genomic tested for better EBV accuracy

35 Friesian 2 Year Bulls

- All bulls carcass scanned

BWs up to 159.

- BVD tested and vaccinated

Bulls are BVD tested & vaccinated.

- EBV recorded, C10 TB status

Bulls from TB clear herds.

- Well grown, suitable for heifers or cows

MBovis Negative milk tested herd.

Enquiries to: PGG Wrightson

This offering is very well bred from high type & production backed herds with dams top production averages in excess of 820m/s.

Cam Heggie 027 501 8182 Peter Henderson 027 475 4895 Mark Stokman 027 640 4028

9 2 Year Jersey Bulls

A high production backed offering.

Most bulls are owner bred and have been under their own management at run-off blocks.

PRELIMINARY NOTICE IN MILK CLEARING SALE

All bulls are fully recorded, many are DNA profiled & are worthy of keeping replacement heifers from.

Tuesday 24th September 11.30am

Catalogs giving all details are available on www.agonline.co.nz

A/C SP & SL Coombe

Contact Andrew Reyland 027 223 7092

This years well bred & presented line of high genetic Jersey bulls are backed by generations of high quality female blood lines & sired by the best type & production bulls currently available. Heifer calves bred by this years offering can be kept with confidence.

A/C R & K Ward Comprising: 26 15 month old bulls, ideal cow bulls. 24 Yearling bulls, quiet well grown bulls. Contact Dave Stuart 027 224 1049 or Cam Heggie 027 501 8182

90 ANGUS HEREFORD X & HEREFORD 1YR HEIFERS

Most bulls are owner bred & have been run on farm or run-offs under their management so ticks the boxes for health requirements.

Thursday 12th September 7.30pm Bidr Auction

Bulls have been BVD tested & vaccinated. Have come from TB & MBovis free herds. Farmers requiring well recorded high genetic value bulls should attend this sale!

A bidr® sale, hosted at www.bidr.co.nz

Contact Chris Leuthart 027 493 6594 or 07 825 840.

Enquiries to Gerard Shea 027 442 5379

Bid, buy, sell all things rural

On Farm: 609 Tahuna Road, RD4, Ohinewai Comprising:

Better stud stock for better business

250 Friesian/Friesian X & Ayrshire Spring

Every advantage counts. Go to https://pggwrightson.co.nz/yearlingbulls

In Milk Dairy Cows Due to our vendors relinquishing a neighboring lease these cows will be offered for Auction. Full details to follow. www.agonline.co.nz Enquires: Allan Jones 027 224 0768 Andrew Reyland 027 223 7092

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

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MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Suz Bremner

Mel Croad

Nicola Dennis

Cattle

Reece Brick

Caitlin Pemberton

Sheep

BEEF

William Hickson

Deer

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

6.00

5.95

NI lamb (17kg)

8.55

8.45

8.55

NI Stag (60kg)

9.20

9.10

11.35

NI Bull (300kg)

5.65

5.60

5.50

NI mutton (20kg)

5.50

5.30

SI Stag (60kg)

9.05

11.35

NI Cow (200kg)

4.50

SI lamb (17kg)

8.30

8.20

8.30

SI Steer (300kg)

5.85

5.80

SI mutton (20kg)

5.60

5.50

5.25

SI Bull (300kg)

5.40

5.30

Export markets (NZ$/kg)

SI Cow (200kg)

4.30

4.50

UK CKT lamb leg

10.07

10.11

9.11

Slaughter price (NZ$/kg)

Export markets (NZ$/kg) 8.26

8.23

6.63

US domestic 90CL cow

7.84

7.81

6.93

North Island steer slaughter price

South Island steer slaughter price

7.5

Feb

Apr 2017-18

$/kg CW

Dairy

Jun

Aug 2018-19

Oct

Dec 5-yr ave

Feb

MILK PRICE FUTURES

Jun

Last year

Coarse xbred ind.

3.29

37 micron ewe

30 micron lamb

7.25

480

6.75

440

Oct-18

Dec-18 Feb-19 Sept. 2019

Apr-19

DAIRY FUTURES (US$/T) Nearby contract

Last price*

Aug-18

vs 4 weeks ago

3040

2985

420

SMP

2425

2455

2530

400

AMF

5620

5830

5900

4955

5100

Milk Price

6.73

6.74

6.80

$/tonne

3095

4750

616

523

3.50

Super

314

304

DAP

787

753

WMP FUTURES - VS FOUR WEEKS AGO

Company

Feb-19

Apr-19

Jun-19

YTD High

Meridian Energy Limited (NS)

5.54

3.38

Auckland International Airport Limited

9.44

9.9

7.065

The a2 Milk Company Limited

15.1

18.04

10.42

Fisher & Paykel Healthcare Corporation Ltd

17.2

12.3

Spark New Zealand Limited

4.57

4.65

3.54

Mercury NZ Limited (NS)

5.47

5.48

3.51

Ryman Healthcare Limited

13.47

13.62

10.4 5.82

Contact Energy Limited

8.92

9.05

Port of Tauranga Limited

6.57

6.7

4.9

Mainfreight Limited

41.26

29.95

Listed Agri Shares Company

$/tonne

2900 Sep

Oct Nov Latest price

Dec

Jan 4 weeks ago

Feb

5pm, close of market, Thursday Close

YTD High

YTD Low

The a2 Milk Company Limited

15.1

18.04

10.42

Comvita Limited

2.6

5.42

2.6

Delegat Group Limited

12.5

9.4

3.22

4.85

3.15 1.47

Fonterra Shareholders' Fund (NS) Foley Wines Limited

1.85

Livestock Improvement Corporation Ltd (NS)

0.89

1.08

0.75

340

Marlborough Wine Estates Group Limited

0.225

0.24

0.192

New Zealand King Salmon Investments Ltd

2.25

2.98

1.76

320

PGG Wrightson Limited

2.46

2.5

0.47

Sanford Limited (NS)

6.81

7.06

6.35

Scales Corporation Limited

4.91

5.13

4.34

SeaDragon Limited

0.001

0.003

0.001

Seeka Limited

4.93

5.35

4.2

Synlait Milk Limited (NS)

9.25

11.35

8.45

360

Oct-18

Dec-18

Feb-19

Apr-19

Jun-19

Aug-19

T&G Global Limited S&P/NZX Primary Sector Equity Index

3000

YTD Low

Aug-19

350

3100 US$/t

Dec-18

WAIKATO PALM KERNEL

3200

2800

Oct-18

NZ average (NZ$/t)

Top 10 by Market Cap

380

Aug-18

* price as at close of business on Thursday

Aug 2018-19

Urea

440

WMP

Butter

Jun

Last year

CANTERBURY FEED BARLEY Prior week

Apr 2017-18

Prior week

400

320

Jun-19 Aug-19 Sept. 2020

Feb

Last week

360 5.75

Dec 5-yr ave

FERTILISER Prior week

CANTERBURY FEED WHEAT

6.25

Oct

Fertiliser

Aug 2018-19

Last week

$/tonne

$/kg MS

Apr 2017-18

Grain

Data provided by

7.5

5.5

(NZ$/kg) Dec 5-yr ave

8.5

6.5

WOOL

Oct

South Island stag slaughter price

9.5

6.5

5.5

4.5

8.5

$/kg CW

South Island lamb slaughter price

4.5

5.0

9.5

10.5

8.5

6.0

10.5

11.5

4.5

Last year

North Island stag slaughter price

11.5

6.5

5.0

Last week Prior week

6.5

5.5

Slaughter price (NZ$/kg)

7.5

$/kg CW

6.0

Last year

North Island lamb slaughter price

8.5 $/kg CW

US imported 95CL bull

Last week Prior week

$/kg CW

Slaughter price (NZ$/kg)

Ingrid Usherwood

300

2.5

2.81

2.43

15816

17434

15063

S&P/NZX 50 Index

11107

8732

S&P/NZX 10 Index

10905

8280

250 200

Aug-18

S&P/FW PRIMARY SECTOR EQUITY

Oct-18

Dec-18

Feb-19

Apr-19

Jun-19

Aug-19

15816

S&P/NZX 50 INDEX

11107

S&P/NZX 10 INDEX

10905

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

5.65

NI SLAUGHTER STEER ( $/KG)

6.00

SI SLAUGHTER LAMB ( $/KG)

8.30

ONE-YEAR HEREFORD-FRIESIAN HEIFERS, AVERAGE 220KG, AT TEMUKA ( $/KG LW)

2.73

Winter tough for some NORTH ISLAND

EGETABLE growers have had a hard time this winter because it’s been so warm. So there’s been an oversupply and to make it worse it hasn’t been cold enough for people to eat comfort food and lots of roast veges. Farmers Markets NZ tells us most of the country is still munching through winter brassicas with plenty of freshly picked cabbage, cauliflower, Brussels sprouts, broccoli and kale around. The citrus crop is well through and Gisborne’s juicy, sweet navel oranges are available. New season avocados are now plentiful in Waikato, Bay of Plenty and further north. Farmers’ Markets up and down the country are getting increasingly excited on rumours this year’s asparagus isn’t far away. Asparagus signals a real change in season and puts a smile on everyone’s faces. Well, apart from that tiny percentage of the population who can’t bear it. On farms in Northland they’ve just had the worst few days of winter. It’s been bitterly cold by Northland standards, a cool 14C with strong southerly winds and showers. The east coast has had 60mm to 70mm of rain and the west about 10mm. That followed a lovely sunny spell that was a good kick-start to spring. After the return of winter, clay country will be very sticky. Around Pukekohe after a sunny start to the week rain returned with 30mm by Friday morning. Vegetable growers are working in any dry periods as warmer temperatures and the moisture have been stimulating plant growth. The Government’s discussion document with proposals to improve water quality is now in the public arena and vegetable growers are realising production practices might become more restrictive. They’re feeling there’s little doubt New Zealand-grown vegetables will be more expensive to grow in future. The farmer we spoke to in south Waikato has 160 cows left to calve out of 940. Calving has been going for six weeks though he says it feels like two months. It’s been one of the better growing seasons so there is plenty for cows to eat and they’re milking well. The calves of cows mated to Herefords are heading off to new homes in Hawke’s Bay. Bay of Plenty had three days of rain and wind with 93mm of rain on our contact’s farm last week. Lower country farms will be a bit spongy. Lambing is well through but the lambs could do with some sun on their backs, it really perks them up. Grass covers are reasonable but the dairy guys are better off than dry stock farmers. Soil temperatures haven’t dropped below 11C all winter so no-one has cause for complaint. King Country has had three good, fine days with rain at night. Everything’s greening up. A fair few lambs are popping out. The farmer we rang is expecting more than 1500 . In Gisborne lambing is going well. It has just started in the higher country and has finished on the front country. It’s been warm and the ewes have plenty of feed to tuck in to.

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TWO SIDES: The left pen, a line of 28 annual draft one-year Angus steers, 216kg, sold for $810, $3.75/kg, while the right pen of 35 annual draft two-year steers, 515kg, made $1820, $3.53/kg at Stortford Lodge last week.

Hawke’s Bay has been wet for a change. The Heretaunga Plains had about 50mm, just what farmers needed because there was a bit of dust kicking up behind the cows. Last season’s lambs are growing very well in the warm weather. Earlier last week Manawatu had a run of beautiful, warm weather and heaters had a rest but 15mm of rain fell on Thursday night and was needed, an odd thing to say in September. Lambing has started in the hills where feed is tight. Wairarapa has also had some rain but nothing too heavy so it was well received. Farmers are hoping for a good spring – they’re feeling stressed and under attack so challenging weather is the last thing they need. SOUTH ISLAND In Nelson the weather started off fine but rain arrived on Wednesday night, It poured down on Thursday and was drizzling on Friday. The moisture was welcome though because conditions were getting quite dry but it did put the brakes on pruning and tree training. When the sun comes out oil sprays will be going on apple trees for mites and scale and copper for bacterial diseases. The commercial peony crop’s at knee height. Harvesting is due to begin in mid October when the stems are about 900mm high. Marlborough has been quite cool and there was 45mm of rain last week. Casualties are expected on the lamb front with lambing full on in the hill country. Grass growth has slowed and it looks like September will be a trying month. The last of the trading hoggets are coming out of the vineyards and they’re fetching good prices. Pruning is finishing up and the Recognised Seasonal Employer workers

have a week to do their shopping before they head home. The farmer we rang at Ikamatua on the West Coast says it’s been good weather for calving with a few showers but mainly sunny last week. About two-thirds of his herd of 600 cows have had their calves. The milking shed’s been going for a month and the last batch of colostrum for the season was picked up on Wednesday. Soil temperatures are at 11C so the grass is shooting out of the ground. A wet week in Canterbury stopped all cultivation and planting. Pasture growth and covers are good, partly because of the good winter. Some farmers are even making some very early balage where covers are too high. The last of the tree planting is happening before things warm up and dry out and there are plans for a lot more trees to go in next year. It was a cold end to the week in Otago with the prospect of snow and while some lambing has started farmers don’t want too many just yet. It’s been an easy winter with the nice insurance of plenty of winter feed left. Farmers are looking forward to higher temperatures to get the grass growing. Milk tankers are buzzing around the roads. There was a bit of drizzle along coastal Southland but it’s mainly been cloudy with the odd patch of sun so the ground’s drying up nicely. When we were talking to our contact at Waimahaka he was out harvesting fodder beet. There’s a surplus so he’s going to put what is still in the ground aside to feed stock early next year. Once the last of fodder beet’s harvested he’ll prepare the ground for green-feed oats. His herd is about 70% through calving and milk production’s rising steadily. On sheep farms ewes have been crutched and are due start lambing this week.

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

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FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

Yearling sales market varies between regions Yearling cattle results have been varied with a hint of increased competition helping firm prices through Waikato and Taranaki while the East Coast market needs more local buying support to underpin it. The caution has been caused by a lack of rain and subsequent growth but with the end of the week providing much-needed moisture and warm temperatures things might be about to heat up. Short-term cattle are enjoying improving demand at most yards with buyers concerned numbers might soon be limited and so they are securing what they can early. The grass market has not yet fully kicked in either, which will add more competition to the marketplace when it does. NORTHLAND Wellsford grown cattle fair • Two-year Angus steers, 361-405kg, softened to $2.94-$3.02/kg • Two-year Charolais steers, 405-503kg, held at $2.95-$3.01/kg • Two-year Hereford-Friesian steers, 405-490kg, varied from $2.92/ kg to $3.14/kg • Two-year Angus heifers, 320-360kg, improved to $2.90-$2.94/kg • Two-year Hereford-Friesian heifers, 370-421kg, strengthened to $2.89-$2.99/kg Throughput lifted to just shy of 500 cattle at WELLSFORD last Monday, with some good quality types in the yarding. These sold to expectations with most trading at steady to lifting levels. Five two-year Simmental-cross steers, 400kg, sold well at $3.19/kg. Beef-dairy lines had mixed results and Angus-Friesian steers, 304-521kg, softened to $2.83-$2.89/ kg. Most two-year heifers lifted and Charolais and Hereford, 337-379kg, traded at $2.91-$2.96/kg. Five Hereford-dairy, 442kg, were a highlight at $3.02/kg. Only a handful of bulls were penned and 12 Friesian, 466kg, returned $2.64/kg. Kaikohe • One-year beef-cross steers steady at $2.85-$3.00/kg • One-year beef-cross bulls strengthened to $2.60-$2.70/kg • One-year dairy-beef heifers lifted a little to $2.55-$2.85/kg Last Wednesday’s KAIKOHE sale had just 320 head PGG Wrightson agent Vaughan Vujcich reported. The sale was on par with the previous week, and good quality cattle sold well. Two-year dairy-beef steers earned $2.85-$2.98/kg, while beef-cross heifers were steady at $2.65/kg. Cows varied, with beef types making $2.25-$2.28/kg, and Friesian around $2.05-$2.12/kg. Autumn-born weaner Angus heifers sold well to make $3.60-$3.80/kg.

AUCKLAND Pukekohe cattle • Prime steers earned $3.01-$3.15/kg • Boner cows varied from $1.92/kg to $2.92/kg • Medium two-year steers fetched $2.90-$3.00/kg Last Saturday’s PUKEKOHE cattle sale was very strong despite quality being arguably back a little. Prime steers were steady to lifting at the top end, while prime heifers varied at $2.82/kg to $3.07/kg. Store cattle had strong demand for good quality lines. One-year steers traded up to $1045, with small to medium types in a wide range of $560$930, and medium one-year heifers at $790-$990.

COUNTIES Tuakau sales • Hereford-Friesian steers, 280kg, fetched $1040 • Prime Charolais heifers, 558kg, earned $3.26/kg • Heavy ewes sold to $206 • Heavy prime lambs traded at $212-$236 About 700 store cattle were yarded at TUAKAU last Thursday and the market firmed, Carrfields agent Karl Chitham reported. Hereford-Friesian steers, 421kg, made $3.32/kg, $1400, with 333kg Hereford-Friesian earning $1115. Weaner steers, 136kg, fetched $720, and Shorthorn-cross heifers, 200kg, $600. HerefordFriesian heifers at 387kg earned $1200 and others at 301kg made $960. Wednesday’s prime market was strong, with heavy steers, 650-750kg, trading at $3.14-$3.23/kg. Wellconditioned Friesian cows returned $2.02-$2.16/kg and medium boners, $1.88-$2.02/kg. Medium prime lambs made $168-$184 on Monday and lighter primes earned $141-$161. Medium prime ewes sold

at $138-$174 and a line of ewes-with-lambs-at-foot made $101 all-counted.

WAIKATO Frankton cattle and feeder calf sale • Two-year Hereford-dairy steers, 381-402kg, improved to $3.25/kg • Two-year Hereford-Friesian steers, 442-478kg, lifted to $3.21$3.31/kg • Two-year Hereford-Friesian heifers, 368-398kg, earned $3.02$3.06/kg • One-year Angus-cross steers, 240-253kg, sold well at $3.71-$3.75/ kg • One-year Angus-Friesian heifers, 229-243kg, strengthened to $3.21-$3.28/kg Store cattle throughput nearly halved last Wednesday at FRANKTON, and there were lifts aplenty throughout the offering. Yearling Hereford-dairy steers, 241-277kg, held at $3.23-$3.33/kg, while Hereford-Friesian, 211242kg, improved to $3.74-$3.84/kg. Hereford-dairy heifers, 218-236kg, held at $3.07-$3.24/kg, though 210kg pushed to $3.48/kg. Hereford-Friesian, 219-263kg, strengthened to $3.23-$3.40/kg. Most prime steers, 502558kg, held at $3.07-$3.22/kg, while Hereford-Friesian heifers, 430-478kg, improved to $3.06-$3.14/kg. Just on 1200 feeder calves were penned. Top Friesian bulls improved to $140-$190, though medium eased to $80-$100. Good Hereford-Friesian lifted to $280-$375 and small, $120-$160, though medium eased to $180-$240. Simmental-cross bulls sold well, trading at $280-$360. Hereford-Friesian heifers improved as the tops lifted to $130-$185, medium, $80-$110, and small $20-$60.

BAY OF PLENTY Rangiuru cattle and sheep • Two-year Angus steers, 430-495kg, made $3.13/kg • Two-year Hereford-Friesian steers, 415-510kg, traded at $3.08/kg • One-year Hereford-Friesian steers, 240-265kg, sold for $3.94/kg • Prime Hereford-Friesian steers, 738-763kg, made $3.30-$3.31/kg • The top prime lambs made $206, and the best store lambs fetched $100 Plenty of traditional and beef-cross store lines were offered at RANGIURU last Tuesday. Charolais, 463kg, at $3.23/kg were the best of the 2-year steers, with Angus, 430495kg, close behind at $3.12-$3.15/kg. Half of the 2-year heifers were Hereford-Friesian, 370-483kg, with the best at $3.06-$3.13/kg. One-year Hereford bulls, 281kg, made $3.56/kg, and Hereford-Friesian heifers, 254-276kg, fetched $3.04-$3.11/kg. 77 prime cattle attended, up from 19 the previous week. Numbers were boosted by in-calf boner lines that were selectively bought at $2.39/kg to $2.65/ kg. Angus heifers, 606kg, made $3.27/kg and 626kg Angus cows, $2.51/kg.

POVERTY BAY Matawhero store cattle • Quality two-year Angus and Angus-Hereford steers, 465-485kg, earned up to $3.52/kg • Two-year Hereford bulls, 520kg, made $1860, $3.58/kg • One-year steers sold in a range of $710-$874 • One-year Hereford bulls, 255kg, traded at $1100, $4.31/kg • Angus-cross cows, run with an Angus bull, sold for $1390, $2.70/ kg There was strong demand for older and shorter-term cattle at the MATAWHERO cattle sale last Tuesday. Most two-year steer pens sold above $3.10/kg, while heavier heifers realised $2.98-$3.07/kg. A large yarding of one-year

heifers allowed purchasers to be more selective, although the top end earned $3.33-$3.50/kg. Despite good weights, Friesian bulls were hard to move, trading at a variable $2.69/kg to $3.07/kg. Matawhero sheep • Heavy cryptorchid lambs made $182 • Heavy ram lambs earned $207 • Top mixed age prime ewes fetched $197 There was around 600 head of store lambs at the MATAWHERO sheep sale last Friday, with the majority of these ewe lambs. Heavier lambs continue to be in demand, while longer term lambs harder to sell. Heavy ewe lambs made an average of $161-$166, with medium types at $130$145. Mixed-age Romney ewes with lambs-at-foot sold well at $119.50 all counted. Prime lamb numbers were limited, although the majority of these sold at $230-$245, while prime mixed-age ewes typically made $177-$182.

TARANAKI Taranaki cattle • Top end two-year steers, 327-370kg, made $3.31-$3.36/kg • Two-year Jersey service bulls, 432kg, were sold for $1390, $3.22/ kg • One-year Friesian steers, 302kg, earned $950, $3.15/kg • One-year Friesian bulls, 215kg, fetched $640, $2.98/kg Last Wednesday’s TARANAKI cattle sale had a boost in demand, helped by mild weather. Two-year Angus-cross steers, 352-445kg, earned $2.97-$3.05/kg, while heifers were mostly Hereford-cross, 384-415kg, and fetched $2.89-$2.92/ kg. Just under half of the offering was made up of yearlings. Better steers around 250kg traded at $850-$860, and most heifers earned $600-$665.

HAWKE’S BAY Stortford Lodge prime cattle and sheep • Sixteen Hereford cows, 476-543kg, softened to $2.36-$2.46/kg • Heavy mixed-age ewes eased to $149-$154 • Very good mixed-age ewes improved to $159-$166.50 • Very heavy cryptorchid and male lambs softened to $186-$199.50 • Heavy ewe lambs eased to $147.50-$169 Lamb and ewe throughput both lifted last Monday at STORTFORD LODGE, and there was a good number of buyers on the rails. Top end ewes held at $184.50-$190, while medium-good to good types improved to $136-$144, and light-medium $100-$124. A sizeable yarding of lambs was offered, with a large proportion very heavy types. Some were beyond specifications for processors, which meant there was a market correction of between $3-$19.50. Top ram, cryptorchid and mixed sex lambs all eased to $200$209, though ewe lambs held at $200. Very heavy mixed sex also held at $190-$203. A line of very early new season lambs sold well at $148.50. Traditional heifers, 451-473kg, held at $2.73-$2.81/kg.

MANAWATU Feilding prime cattle and sheep; feeder calves • Boner Friesian cows, 445-505kg, dropped 17c/kg to $2.19/kg • The best ram lambs made $237-$258 • 2200 prime male lambs traded for $210-$226 • 1150 prime male lambs fetched $200-$209 A hogget fair scheduled the following Wednesday was cancelled, boosting numbers to nearly 7000 sheep overall at FEILDING last Monday. More than half the lambs made over $200; very-heavy ewe lambs $200-$218, heavy $180$197, with a smaller number of lesser lines at $170-$177. Ewe numbers were down, with the best condition making $182-$175, while good lines sold for $155-$156. Wellpresented beef-cross pens sold well at MANFEILD PARK. Three-four week-old Hereford-Friesian bulls made $300$380, with week old pens $240-$270 and medium lines $150-$200. Feilding store • Two-year South Devon steers, 535-565kg, made $3.33-$3.37/kg • Two-year Friesian bulls, 495-535kg, went for $3.21-$3.34/kg • Yearling Friesian bulls, 275-325kg, were $3.15-$3.31/kg • Ewes with lambs-at-foot mainly made $117-$123 all counted • Average store lamb sold for $153 It was a very buoyant market on short-term cattle. Exotic two-year steers, 535-600kg, were at $3.33-$3.37/kg, whereas the 450-590kg traditional lines mainly made $3.40-$3.48/ kg. The better 495-535kg Friesian bulls lifted to $3.21-$3.34/ kg, but 400-440kg were down at $3.08-$3.12/kg. Two-year heifers sold to their quality with -410kg Hereford-Friesian at $3.06-$3.14/kg. Traditional 1-year steers in the 180260kg range were all $3.98-$4.09/kg, followed by 275-325kg Friesian bulls at $3.15-$3.31/kg. Low weights held back the heifers, but 185-205kg Hereford-Friesian did make $725$730. A little less than 4000 store lambs were available, predominately ewe lambs. The better ewes lamb were at $160-$172.50, coming back to $137.50-$152.50 on the

SALE YARD WRAP

FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019

medium-to-lighter cuts. A small selection of males sold early were $175-$193 on the heavier pens and $150-$160 on the rest. The ewes with LAF market held its ground well. Three relatively large pens were down at $107-$112 all counted, but seven others were $117 or more. Rongotea • One-year Hereford-Friesian steers, 270-360kg, sold over a wide range of $2.68/kg to $3.30/kg • One-year Speckle Park bulls, 225kg, fetched $2.89/kg • Two-year Friesian heifers, 367-465kg, varied from $2.42/kg to $2.77/kg • Friesian boner cows, 505-564kg, made $2.20-$2.32/kg At RONGOTEA last Wednesday there was a large yarding of well-bred one-year heifers and steers, New Zealand Farmers Livestock agent Darryl Harwood reported. Oneyear Hereford-Friesian bulls, 147-285kg, made $2.58-$2.68/ kg, with same breed heifers, 175-325kg, at $2.51/kg. Twoyear Hereford-Friesian steers, 460kg, made $2.96/kg, while the same breed heifers, 438-457kg, sold in a wide range of $2.40-$2.93/kg. Autumn born weaner Hereford-Friesian and Angus-cross bulls and heifers, 95-150kg, earned $460$480.

CANTERBURY Canterbury Park • Two-year Hereford-Friesian heifers, 406kg, made $2.93/kg • Prime steers, 650kg and above, earned $3.14-$3.27/kg • Top prime lambs sold for $210-$240 • Two-shear ewes with lambs-at-foot traded at $107-$116 all counted Store lamb numbers eased at CANTERBURY PARK last Tuesday, with the top end trading at $136-$141. Prime lamb volume was also reduced, although strong competition improved this market. Heavy prime ewes made $200-$252, with medium types at $122-$190. Store cattle returns reflected both the quality on offer and buyers waiting for spring pasture growth. Two-year steers struggled, with Murray Grey, 347kg, making $2.83/kg and the balance below this. One-year cattle mainly held, and a large line of Friesian bulls fetched $690-$795. Prime numbers lifted and good yielding steers regularly earned $3.00-$3.10/kg regardless of breed, while heifers were steady to lifting, with good quality Charolais achieving $3.08-$3.16/kg. Coalgate store and prime cattle; all sheep • Two-year Hereford-Friesian steers, 402-418kg, made $2.80-$2.85/ kg • One-year Friesian bulls, 180-236kg, fetched $2.03-$2.06/kg • Prime heifers, 440-475kg, fell 15c/kg to $2.71/kg • The best store lambs made $143,with a third of the tally $125$130 It was a quiet day at COALGATE last Thursday, with volume well down. Only 50 store cattle presented; One-year heifers, 290kg-355kg, made $2.28-$2.31/kg, while weaner Murray-Grey bulls, 147kg, made $355. Prime steers sold well, with the heaviest at 565kg, $3.16/kg. Prices for cows rose, with 555-620kg up 9c/kg to $2.07/kg, and 485-500kg increasing 19c to $2.05/kg. The top 20 percent prime lambs sold for $210-$246, and the next 30 percent $200-$208. A quarter of the yarding were medium-good types at $182$189. Ewe prices dropped at the top end, with a handful of pens making $233-$247, and the next cut $197-$212. Nearly half the tally was medium- good where prices rose to $159$197.

SOUTH-CANTERBURY Temuka prime and boner cattle; all sheep • Prime beef-dairy steers, 545-700kg, rose to $3.09/kg • Prime Hereford-Friesian steers, 604-605kg, made $3.12-$3.13/kg • Boner Friesian cows, 475-565kg, held at $1.91/kg • Half of the prime lambs sold for $180-$221, with the next cut at $150-$179 The bulk of the steers at TEMUKA last Monday traded at $3.00-$3.10/kg, with lesser dairy types mostly $2.77-$2.78/ kg. High yielding traditional heifers were close behind at $3.07-$3.09/kg, with a second cut $2.97-$3.03/kg. Prime traditional cows, 567-612kg, traded at $2.13-$2.16/kg. Store lamb volume recovered with 1200 lambs shipped in from the Chatham Islands. The best were wethers that made $178, with the top ewe lambs at $172-$175 and males $164. Wethers, 44-47kg, were highest at $178. Very-heavy ewes were $230-$258, but the bulk were lighter types at $92-$132. 154 ewes with lambs-at-foot were penned, alongside their 253 lambs. Half of the tally were in one pen - 77 crossbred ewes and 135 lambs sold for $113 all counted. Temuka store cattle sale • Two-year traditional steers, 290kg, made $3.34/kg • Two-year traditional heifers, 251-262kg, fetched $3.23-$3.24/kg • Top one-year steers earned $3.23-$3.44/kg • One-year Friesian bulls, 216-298kg, sold for $2.32-$2.38/kg Traditional two-year cattle sold very well at last

GOOD WORK: These lambs from a line of 77 crossbred ewes with 135 lambs-at-foot, sold for $113 all counted at Temuka last week.

Thursday’s TEMUKA store cattle sale. There was selective bidding for dairy-beef, with the bottom end at $2.67-$2.77/ kg and better types up to $3.17/kg. Demand could not meet the lift in one-year cattle throughput and this market softened, with the average dairy-beef steer, 225kg, making $2.98/kg. Heifers of the same breed, 220kg, sold at an average of $2.73/kg.

SOUTHLAND Lorneville sale • One-year Hereford-cross steers, 280-320kg, fetched $2.80-$2.90/ kg

• Ewes with lambs at foot sold for $110-$118 all counted • Heavy prime lambs made $178-$190 • Local trade rams earned up to $110-$124 At LORNEVILLE last Tuesday prime cows above 500kg earned $1.75-$1.80/kg with lighter weights 10-20c/kg below this range. In the store pens, one-year cattle varied with Hereford-cross heifers, 230-250kg, making $2.30-$2.50/kg and dairy-cross bulls, 190-240kg, at $1.90-$2.10/kg. There was good demand for beef-cross calves, with the top bulls earning $220-$260 and heifers up to $190. Prime lambs mostly held with light to medium types selling for $130$175. Two-tooths earned $104-$136, while heavy ewes sold well at $172-$213.

Markets

56 FARMERS WEEKLY – farmersweekly.co.nz – September 9, 2019 NI SLAUGHTER STAG

NI SLAUGHTER LAMB

SI SLAUGHTER STEER

($/KG)

TWO-YEAR ANGUS STEERS, 460515KG, AT STORTFORD LODGE

($/KG)

($/KG LW)

9.20

8.55

5.85

high $200-$226 lights Very heavy male

3.53

lambs at Feilding Prime Sale

Lamb exports still strong Dennis said prices are predicted to plateau rather than have peaks and troughs with indicators pointing to an October price starting with $7.

Annette Scott

annette.scott@globalhq.co.nz

AMB margins are better than predicted with fewer lambs and favourable exchange rates helping keep export returns strong. Export statistics show the average export value for lamb reached a record high of $11.13/kg in July and despite the Brexit chaos the market isn’t coming back – yet. “I’m not so sure we will get the $9/kg lamb but with the way China is at the moment I can’t see a significant back-off unless something horrendous happens with Brexit,” AgriHQ analyst Nicola Dennis says. “At the moment China is buying hand over hand and despite the Brexit turmoil this week prices are holding up. “It’s reasonably quiet in all markets apart from China but the United Kingdom and European Union markets are typically quiet at this time of the season. “What we are seeing, as a result of this latest Brexit turmoil, are shell-shocked traders. “Nobody wants to lay a stake in the ground and pick how it will go. “The UK has basically shut shop for this week with Brexit such a moving feast and developments this week have been significant,” Dennis said. At this time of the year contracts for the upcoming Christmas chilled lamb period are under negotiation. UK traders are understandably nervous about shipping that coincides with the Brexit deadline and

Nobody wants to lay a stake in the ground and pick how it will go. The United Kingdom has basically shut shop for this week with Brexit such a moving feast. Nicola Dennis AgriHQ

STEADY ON: Alliance’s lamb price is a little down on last year but sensible given global market volatility, chairman Murray Taggart says.

with the UK government now stuck in inaction there is no clarity on whether New Zealand lamb will face tariff charges after the Brexit deadline. That is setting the scene for a sticky UK market. “Our contacts are still managing to secure chilled contracts for the UK but there is not a lot of growth in this market relative to the Chinese markets. “Prices in the UK are still looking okay, just traders are not committing to anything.” Processors are holding back a little on last year. “Last year was a bit crazy with the level of procurement pressure. They were paying

record high lamb prices.” The peak this time last year reached (AgriHQ prices) $8.55/kg in the North Island and $8.30/kg in the South. Latest prices in both the North and South Island are par with last year despite the stronger prices overseas, which means a catch-up for processors. “We are approaching peak pricing now and how much it backs off will depend on whether anything horrendous happens with Brexit. “And while we don’t expect to lose volume, because we don’t send big volumes to the UK, it will be the higher end market that will impact on the NZ farmgate price.”

The average lamb slaughter price lifted 10c/kg to $8.20/ kg last week with the top end of the range now being seen more frequently. Alliance set its minimum price contract for chilled lamb for the Christmas markets at $8.10/kg. While a little down on last year chairman Murray Taggart said the company believes it’s a sensible level given the expected volatility in world markets. Prices will be helped by the likely shortage of lamb supply in NZ with up to a million fewer lambs for export this year compared to last year. “Farmers are also keeping more lambs for breeding given the current good times in the NZ sheep industry.” Drought in Australia and the African swine fever impact on Chinese pork supply are also significant factors affecting the global pricing scene, Taggart said.

$2.95-$3.01/kg Two-year Charolais steers, 405-505kg, at Wellsford

ACROSS THE RAILS SUZ BREMNER

Lambs out the gate as the tractors get to work THIS time of year sees a variety of sheep coming forward, in all shapes and sizes. While it is early days for new season lambs there were a handful at Stortford Lodge last Monday, which looked out of place among the monsters that were last year’s lambs. The sheer size of some of the old-season prime lambs coming forward is a real talking point as the last 12 months have provided excellent conditions for lamb growth and they have certainly made the most of it. The tractors are heading onto cropping land in the North Island and that means the lambs that have been grazing the pastures are out the farm gate. For that reason, early spring is typically busier in the prime pens at the bigger North Island yards and the cancellation of the second Feilding Hogget Fair only amplified volume at the Monday sale. Over the past six weeks 36,700 prime lambs have passed through the Feilding, Stortford Lodge and Matawhero sale yards and while that is slightly below the corresponding period last year, the yardings week-on-week have been more consistent in volume. Many vendors are finding some of their lambs are too heavy for the processors and would be penalised so the yards are the best option given there are a few buyers attending who can handle their size. The very tops of these lambs are estimated at 65-75kg LW and are mainly rams and cryptorchids. Processors penalise lambs that are 27kg CW plus so sellers are reluctant to send them directly there. At auction, sale results had these types selling for $200-$205 and while that is still good money in anyone’s books it was a notable drop on recent levels and the lighter, better yielding lines were surpassing that. While the really big boys and girls come out on the prime days, the store sales are also offering up some sizable lambs and for AgriHQ weigh crate operators the mission of fitting 4852kg LW lambs into the weigh crate is wearing thin and we can’t wait to have the new season lambs to deal with. suz.bremner@globalhq.co.nz

Find out more about AgriHQ at agrihq.co.nz

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