Farmers Weekly NZ June 10 2019 by AgriHQ

Best trade/specialist publication and website – Voyager Media Awards 2019

Vol 18 No 22, June 10, 2019

farmersweekly.co.nz

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Best trade/specialist publication and website – Voyager Media Awards 2019

Vol 18 No 22, June 10, 2019

Dira reform chance gone

farmersweekly.co.nz

Wool boom Annette Scott

annette.scott@globalhq.co.nz

NCREASED international demand for fine wool is putting Kiwi wool within reach of becoming a $2 billion industry. New Zealand Merino Company chief executive John Brakenridge said if half NZ’s crossbred wool clip shifts into higher-value fine wool contracts the economic upside will be as high as $2b. Increased international demand for fine wool could spell profit for sheep farmers with wool giving kiwifruit and wine a real run for their money in terms of exports, he said. There is a future in wool for farmers and for NZ, he said. “Which is great news for fine wool producers and farmers considering transitioning into it.” Global demand for natural fibre and the Merino Company’s ethical wool brand ZQ Merino is swinging the pendulum in wool’s favour. “We are connecting more and more wool growers with long-term supply contracts and we are seeing supply being soaked up seasons in advance. “Today a crossbred wool fleece fetches about $3 clean a kilogram whereas currently a Smartwool 22 micron contract going

forward for the next three to five years has a base price of more than $20/kg clean. VF Corporation, one of the world’s largest apparel, footwear and accessories companies, is incentivising NZ’s sheep industry to grow more fine wool. VF Corporation, which owns labels including The North Face, Timberland, Smartwool and NZ-founded brand Icebreaker, has developed the incentives for farmers as part of its commitment to sustainable solutions.

We’re confident enough in the future of wool to incentivise production through long term contracts. Tom Conneen VF Corporation “Today we expect more of our products in design, performance and environmental and social impact and we believe VF has the responsibility and opportunity to lead by example,” VF global procurement and material supply vice-president Tom Conneen said. VF Corporation’s partnership with Merino has been an obvious choice

with wool being a long-term investment. “Ongoing investment in genetics, leading animal husbandry practices and adoption of new supply models will be required. “VF is committed to working alongside NZM, the shearing community, breeders and growers,” Conneen said. “We’re confident enough in the future of wool to incentivise production through long-term contracts and provide support where we can. “VF is working hard to be the global leader in Merino wool supply and the preferred partner of growers.” The long-term wool contracts offered to NZM growers, such as the industry-first, 10-year contract with Icebreaker coupled with contracts for Silere, NZM’s merino meat brand jointly owned and operated with Alliance, make fine-wool sheep farming more profitable than dairy grazing and other sheep farming systems, based on analysis by both NZM and AbacusBio. “The increased demand for and value of contracts has exceeded our expectations. “We’re on the crest of a wave and are doubling down on our investment in adoption of the right genetics and practices to ensure this demand can be supplied from NZ wool,” Brakenridge said.

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Pioneer woman STEPH Tweed of Waikari and her dog Grit have won the North Island and New Zealand straight huntaway championship in Northland. It is the first time a female dog handler has won a national championship. Photo: Heather Easterbrook

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NEWS

WEATHER

7 Comvita CEO steps

OVERVIEW

out in spring

This week the weather is still changeable but not as dramatic as it’s been in previous weeks. While we expect some heavy West Coast rain and perhaps blustery conditions for some on Tuesday the general trend is for high pressure to influence the country both at the start and end of the week. For Fieldays the forecast is looking mostly positive but there might be a little wet weather around, perhaps in the form of some patchy showers on Wednesday and an isolated shower on Friday. We’ll be more detailed in our Tuesday update online at www.farmersweekly.co.nz/weather. This week we expect pasture growth in both islands with the days fairly mild in many regions despite some colder nights.

The decision by Comvita CEO Scott Coulter to step down is based upon timing, not on performance in the role and has been planned for some time, said the honey producer’s chairman Neil Craig.

NZX PASTURE GROWTH INDEX – Next 15 days

Pasture Growth Index Above normal Near normal Below normal

7-DAY TRENDS

Newsmaker ��32 New Thinking ��33 Opinion ��34 World ��42

ON FARM STORY

Wind

Rain Heavy rain on Tuesday and Wednesday for the West Coast but elsewhere many regions will be drier than normal this week. Some showers or patchy rain on Wednesday might cross the North Island from the south, otherwise just isolated showers.

Temperature Some colder nights this week but the days look to be average to warmer than average in a number of places. The wind flow isn’t overly powerful this week meaning no great temperature fluctuations are forecast.

Winds this week are westerly quarter for the most part but might turn a little more southerly for a time later in the week. It will be windiest on Tuesday as westerlies surge for a time but nothing extreme.

Highlights/ Extremes Weather for setting up at Fieldays looks ideal but prepare for some wet weather on Wednesday for a time. Many places this week will be drier than average, especially the east of both islands. Heavy West Coast rain on Tuesday and Wednesday.

14-DAY OUTLOOK

We’ve seen some real relief across New Zealand’s dry spots lately and while annual rainfall is well below normal for many places the soil moisture levels are bouncing back for most. It’s still drier than normal in the Far North and parts of Hawke’s Bay and both areas might get drier still before more soaking rain arrives. Despite some cold nights NZ does seem to have enough warm days to keep pasture growth positive for at least 80% of NZ.

SOIL MOISTURE INDEX – 06/06/2019

40 Kiwi’s quinoa dream now a reality

A liking for a particular food on a foreign trip is paying dividends for Dan and Jacqui Cottrell and providing extra income for their Taihape farm.

REGULARS Real Estate ��44-47 Employment ��48 Classifieds ��48 Livestock ��49-51 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: $998. 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.

Source: WeatherWatch.co.nz

This product is powered by NIWA Data

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

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News

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Farmer disputes M bovis claim Annette Scott annette.scott@globalhq.co.nz DAIRY farmer Arno Luten could face prosecution and lose compensation for refusing to let officials take his cattle for slaughter. Luten has barricaded his North Canterbury farm because he disputes Primary Industries Ministry claims his herd has Mycoplasma bovis. But Agriculture Minister Damien O’Connor says “I have a low level of tolerance for bullshit. “We are happy to work with and engage with farmers who are honest and willing to do their best. “There are farmers who are just not honest and reasonable and make the challenge to eradicate M bovis more difficult,” O’Connor said. MPI doesn’t want to resort to prosecution but can charge people refusing to comply with the eradication programme with breaching the Biosecurity Act, MPI response director Geoff Gwyn said. Compliance is not optional and failure carries a penalty, he said. If the breach is serious enough it can also jeopardise compensation, Gwyn said. “Our first preference and utmost priority is to work with people and we do all we can to work through every issue and be sure there’s a full and total understanding of what is happening, why it’s happening and when it’s happening. “We don’t want to get into charging anyone. We haven’t in two years of this response and we don’t want to start now. “It could also do them out of compensation,” Gwyn said. Luten last week refused to hand over his animals for slaughter. When stock trucks turned up at 8am on Tuesday they were blocked from entering the property. Luten had his animals in

CLOSED: North Canterbury dairy farmer Arno Luten has blocked entry to his farm to stop the Primary Industries Ministry taking his cattle for slaughter.

I did this because I don’t think it is right that they go. Arno Luten Farmer lock-down, padlocked gates and putting heavy machinery across entrances. He also dismantled the stock yards so they couldn’t be used for loading. MPI wanted to cull 250 in-calf heifers, he said. “I did this because I don’t think it is right that they go.” Luten claims the cattle disease has not been confirmed on the farm.

The heifers in contention are trace animals from another farm he said haven’t tested positive. The in-calf heifers haven’t tested positive but about 6% have antibodies in their blood, he said. Luten is waiting for crucial results from more robust testing and meantime won’t release his cows for slaughter. “When I know more for certain I can talk about managing it. At the moment these cows haven’t tested positive. “They turn up to take them to slaughter – no way.” He also has serious concerns about animal welfare. “These heifers are less than six weeks to calving. Is that not an animal welfare issue?” Luten is milking a 700-cow herd and said he’s had no word on them.

“They don’t seem to be worried about them. I’ve heard nothing about what’s happening with them.” Gwyn said the farm is a confirmed M bovis property and was issued notice of direction as a restricted property in early April. He said a 225-cow herd owned by Luten is infected. “Arno’s obviously denied us access so we will sit down and talk him through it again. “We’ll work long and hard to make sure we can do the best we can for him and that he is fully understanding of what is happening. “It is sometimes that we do have to repeatedly sit down with farmers to talk through the processes. “We are asking him to meet this week,” Gwyn said.

Meantime, nine confirmed farms where the source of the disease has not been traced are no threat to the success of the eradication programme. “Yes, there are about nine farms that we can’t find evidence of trace back for but it’s our working assumption that it’s the result of unrecorded animals. “It’s not relevant in the bigger picture as everything to date is of the same strain and all testing to date tells us this is a single point incursion of a single strain,” Gwyn said. He is not aware of speculation about a second strain, possibly in King Country. “That is news to me and as I’ve always said we are open to any proposition – we will always lift every rock. Maybe there is one but it’s news to me.”

News

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

Water network to help farmers Neal Wallace neal.wallace@globalhq.co.nz THE Government is funding a nationwide network of consultants or field officers to help farmers reduce their impact on freshwater quality, Environment Minister David Parker says. Much of the $229 million sustainable land use package announced in the Budget will be spent by the Ministry for Primary Industries to help develop farm environment plans and establish a network of field officers. Parker said $17m will be spent developing good management practices and ensuring farm advisers are trained to support environmental planning. A further $35m will be spent improving advisory and extension services for farmers to improve water quality but whether they are MPI staff or private consultants is still to be confirmed. Lessons learnt from Environment Canterbury’s management of freshwater, specifically creating farm plans and the support services around them, could provide a blueprint Parker says might be rolled out nationwide.

Rules will be strengthened around what he called risky farm practices such as cattle feed lots and winter grazing on sloping ground but he wants to encourage and promote best management practice alongside that. Farm environment plans will become standard based on work being developed by a Primary Growth Partnership programme.

Changes to farm practice and environmental gains take time. Agriculture Minister Damien O’Connor has stressed the plans should not become overly bureaucratic, advice he has taken, Parker said. He applauded the groundswell of catchment groups springing up around NZ, saying they display community leadership and good farm management practice. Asked what immediate farm management changes he would like to see, Parker said greater care with the use of nitrogenous

fertiliser on the shoulders of the season, avoiding sediment run-off and greater appreciation of the role of micro-wetlands in trapping sediment and reducing E coli levels. Parker is confident the worst water degradation can be stopped within five years and within a generation get back the rivers NZ used to enjoy. He acknowledged changes to farm practice and environmental gains take time. Federated Farmers environment spokesman Chris Allen said the ECan water management model is very much about water users meeting compliance and rules. He would be happy if Parker promotes good management practices, such as reductions in nutrient use, before enforcement. Parker says the Budget also provides funding to complete the National Policy Statement on Freshwater and a new policy document, National Environmental Standards. The statement sets a baseline of rules and helps regional councils implement and administer the rules while the standards signal where improvement is needed and over what time.

TREAD SOFTLY: Federated Farmers environment spokesman Chris Allen wants the Government to promote good management before enforcement.

allowances and $59m to upgrade Overseer, tools to aid decision making, improved gathering of environmental data and monitoring in the rural sector.

The Budget provides $12m to help councils develop and implement freshwater plans consistent with the documents. There is also funding for policy work establishing nitrogen

Anzco makes record sales but suffers a loss Neal Wallace neal.wallace@globalhq.co.nz RECORD sales of $1.65 billion last year did not translate to a profitable year for meat company Anzco Foods, which recorded an after-tax loss of $26.9 million. Sales for the year to December 31 were up 18% on the previous year on the back of growing

global demand for sheep and beef products and the company’s shift into highervalue food and healthcare products but a squeeze on margins affected profits. That included investment in wholly-owned subsidiary Bovogen, which produces blood and serum products. Anzco said it set a record in paying farmers $943m for stock.

The Growing Fund Target 10% p.a.**

Owned by Japanese food company Itoham Yonekyu Holdings, Anzco reported growth in all key markets of Japan, China, Europe, North America and the Middle East. It invested $18.3m on capital works including $11.5m on x-ray and automated cutting equipment at the Rangitikei sheep meat plant.

A supply chain and logistics review identified efficiencies that led to a series of changes. “The changes have delivered a stronger and more customerresponsive supply chain with greater focus on sales and optimisation functions in the business.” The health and safety of Anzco’s 3000 employees is a

priority and a programme, Work Safe Home Safe, is showing positive results. “Anzco Foods has seen improvements in all key areas, including a reduction in notifiable events and an increase in near-miss reporting.” Changes to add value and improve profits have already started affecting company performance, it said.

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News

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Dira revamp disappoints but it will be required to pay an extra 10c/kg milksolids. That will cost Goodman Fielder about $3m more each year if it wants the maximum volume. Monaghan said the extra charge recognises the flat curve supply requirement.

Hugh Stringleman hugh.stringleman@globalhq.co.nz CHANGES to the Dairy Industry Restructuring Act don’t go far enough but amount to kicking the can down the road, Fonterra’s Shareholders Council chairman Duncan Coull says. The Dira should have been refocused on the future to optimise value creation from milk. “We are disappointed there is no firm position on the expiry of the Dira, when the New Zealand market will be considered sufficiently competitive and no pathway to deregulation,” he said. Fonterra chairman John Monaghan also rued a missed opportunity to reform dairy industry regulations for the benefit of everyone. He singled out continued access by foreign-owned exporters to Fonterra raw milk at cost, effectively to compete against NZ farmers and earn profits that go to other countries. “We wanted a clear pathway to deregulation because of the dangers of having restraints when they are no longer required,” he said. “The industry requires and deserves clarity for its future investment decisions. “The last thing this industry needs is processing overcapacity.” Monaghan also argues for transparency on milk pricesetting for all processors, not just Fonterra’s openness, on which other companies base their prices. The Government said the Dira will be amended and renewed for a further four to six years with some changes that benefit Fonterra, the dominant processor, to which most of the legislation applies. The open entry and exit provisions will be retained but Fonterra will be able to refuse milk supply from farmers

The last thing this industry needs is processing overcapacity. John Monaghan Fonterra

SHAME: Fonterra should have the discretion on who to collect milk from because some farmers have demonstrated their unwillingness to achieve required standards, Federated Farmers dairy chairman Chris Lewis says.

unlikely to comply with its terms and standards or from new conversions, Agriculture Minister Damien O’Connor said. Those terms could include on-farm performance matters regarding animal welfare, food safety, health and safety, employment conditions and environmental, climate change and other sustainability standards. Monaghan welcomed some progress whereby Fonterra can refuse to pick up milk, for example in the recent case of a Marlborough farmer who consistently failed environmental compliance.

Regarding the base milk price calculation, Fonterra’s discretion will be limited in setting its assumption of risk, the so-called asset beta number that is a bone of contention with competing processors. It will have to be consistent with dairy and other commodity processors when estimating the cost of financing processing operations in its base milk price calculation. The minister will also appoint one member of the Milk Price Panel in future. Monaghan said that came out of the blue and the milk price

setting mechanism is already transparent and scrutinised by the Commerce Commission. Coull said that is a step too far and risks conflict with the Commerce Commission. Fonterra will be relieved of the requirement to sell up to 50 million litres of milk a season to any independent processor that has obtained 30m of its own supply, either directly or on the wholesale market. But Goodman Fielder’s access was raised to 350m a season, to recognise changing demand and growth in the domestic market

His main beef with the proposed changes is the lack of any plan for deregulation. The Government removed the thresholds for a regulation sunset last year when Fonterra’s market share fell below 75% in the South Island and is not re-instating them. Therefore the Dira will persist for at least four more years. Federated Farmers dairy section chairman Chris Lewis said there are useful changes but a lost opportunity in the Dira amendments. Open entry could have been done away with as competition is robust enough for Fonterra to be given discretion over picking up milk. “We are pleased that the amended Dira will enable Fonterra to refuse supply when a farmer is well below industry standards relating to the environment, animal welfare, greenhouse gas emissions and the like. “There are some farmers who have demonstrated their unwillingness to come up to the standard of all the others out there.”

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News

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Comvita boss steps out in spring Richard Rennie richard.rennie@globalhq.co.nz COMVITA chief executive Scott Coulter’s decision to step down is based on timing not performance in the role and has been planned for some time, chairman Neil Craig says. Coulter is going in late September from the role he has held for four years, having overseen the completion of the company’s Chinese joint venture acquisition, making Comvita 100% owner of the Chinese distributorship. His departure comes after a second tough year for the Bay of Plenty company grappling with low manuka honey volumes and values after three poor harvests. For the six months to December 31 the company made a loss of $2.7 million, compared to a profit of $3.7m the previous year. Based on the half-yearly result Comvita won’t achieve the $8.2m profit made in the year to June 30 2018, Craig said. Its profits have taken a sharp slide from $18m in 2016 to $9.2m in 2017. Once the sharemarket darling among star performing stocks, Comvita’s share value has taken a hit, slipping from $5.60 a share a year ago to $3.52 this month Comvita’s share value has slumped more than 50% since Coulter took on the job in 2015, against gains of 77% on the NZX 50 Index. Coulter’s position earns him $440,000 a year with bonuses of up to 20% should certain financial and nonfinancial goals be met. Craig confirmed previous chief executive Brett Hewlett will take on a temporary executive role to review the company’s underperforming assets while Coulter retains a governance role in the company’s manuka honey products business in China. “However, I can confirm this is definitely only a temporary role for Brett. He will not be stepping back into a permanent chief executive role and will be there to help transition in a new appointment to that role.”

Coulter’s departure marks another wobble in the company’s growth path as the challenges of matching a publicly floated corporate model to a wild harvest, biologically sourced raw material reveal themselves. Company presentations reveal one of Comvita’s greatest vulnerabilities has been in the honey supply business it operates, as opposed to its branded products business. The raw honey supply business tripped it up badly last year, with an anticipated $4.5m profit turning into a $6.2m loss.

Relying upon wild harvested manuka brings variability in supply and in the past three years we have faced reduced quality and quantity even though we have had different collection regions to mitigate risk. Neil Craig Comvita Craig said one of Hewlett’s key focus areas will be on how Comvita can mitigate cost and loss in that side of its business and will be part of an overall review of how all underperforming aspects of the business can be turned around. “We have a real time barrier problem with the supply business. “Relying upon wild harvested manuka brings variability and in the past three years we have faced reduced quality and quantity and even though we have had different collection regions to mitigate risk it has turned out to be poor everywhere, particularly Northland and East Coast. “Planting plantation manuka is a way to reduce risk but it comes with very high capital expenditure needs,

at about $12m for 2000ha and we don’t have a bottomless pit of money.” The company has been working on a breeding programme to try to develop more productive manuka trees for plantation cropping with longer flowering periods delivering higher-quality manuka honey from more flowers. But Craig said the company needs to come up with a plan to put the supply side of the business into a structure where Comvita has a stake but does not carry the entire supply risk or cost of development. “The MyFarm venture is an example of using someone else’s balance sheet. The other is we do it ourselves but in a way we are only a minority shareholder in a long-term arrangement to accept supply.” Craig said the 10-20 year time horizon on such supply source ventures does not fit well with the shorter-term views of dividend-driven sharemarket investment. He agrees rules around foreign ownership of land here make overseas investment sources difficult to secure for such ventures. One long-term industry marketer said the remote, tough business of honey collection is not well suited to a corporate structure, tending to favour small-scale operators who travel light and might be self-employed. But Craig maintains the industry is becoming more corporate by default, with systems, health and safety demands and compliance all part of how corporates are used to operating. One honey marketer suspects Coulter’s strengths lay more in operational and market development than as a chief executive. Coulter enjoyed a successful track record with Comvita before becoming chief executive, having worked there since 2003 and was known for pioneering markets for honey products around the world. But Craig described Coulter’s work as outstanding and instrumental in fostering the relationship with Comvita’s Chinese partner whose outright purchase he also recently oversaw.

GONE: Comvita chief executive Scott Coulter will step down in September.

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

More farmers feel bank pressure Nigel Stirling nigel.g.stirling@gmail.com MORE farmers are coming under pressure to repay debt as concerns about the impact of new capital rules on borrowing costs and availability continue to mount, according to Federated Farmers’ latest banking survey. The percentage of farmers reporting undue pressure from their banks to repay mortgage or overdraft debt jumped to 16.2% in May from 11.6% in November.

The increasing tension between banks and their farming clients comes despite continued falls in interest costs.

Dairy farmers are most likely to report undue pressure, rising from 16.2% in November to 20.2% in May, the highest proportion since the survey began in August 2015. More non-dairy farmers also report pressure from lenders, jumping from 7% in the last survey to 10.3% last month. More farmers, both dairy and

non-dairy, report changes in loan terms, such as changes in margins, security or more information required by their bankers. While 71% of respondents are satisfied or very satisfied with the performance of their banks that is down from 74% in November and continues a steady decline from the 80% starting point four years ago. The increasing tension between banks and their farming clients comes despite continued falls in interest costs. The average farm mortgage rate eased from 5.1% in November to 5% in May, down from 6% in August 2015. The average overdraft rate of 7.4% was stable between the two most recent surveys. The Reserve Bank cut the Official Cash Rate by 25 basis points to a record low of 1.5% on May 8. The central bank estimates about 15 basis points of the cut have been passed on by the trading banks to borrowers in lower rates. The survey period also covered an email by the country’s largest rural lender ANZ to its farmer clients on April 24 flagging possible tightening in lending as a result of new minimum capital requirements proposed by the Reserve Bank.

Federated Farmers commerce and trade spokesman Andrew Hoggard said the banks have made it clear the changes will lead to significant increases in borrowing costs for farmers if they proceed as planned. “The Reserve Bank’s very conservative stance on this is causing quite a bit of resentment,” he said. Hoggard recently met Reserve Bank deputy governor Geoff Bascand to discuss the proposals. Federated Farmers has sided with calls from the trading banks to soften them. In its submission to the Reserve Bank it says the trading banks should be required to hold only enough capital to withstand a 1-in-100 year downturn. The regulator wants the banks to hold enough capital to remain solvent in the event of a 1-in-200 year economic crisis. Federated Farmers says that is excessive and will result interest rate increases for farmers of between 80 and 120 basis points. Multiplied across the sector’s existing $63b debt pile that would see farmers slugged for between $120m and $800m annually in increased interest costs. The Reserve Bank is reviewing 164 submissions received on the proposals and expects to respond in November.

China’s beef demand is growing Hugh Stringleman hugh.stringleman@globalhq.co.nz

CHINA’S huge and growing appetite for beef is spilling over into trimmings as the numbers of quick service restaurants multiplies, Rabobank animal protein analyst Blake Holgate says. It has the potential to shift the price drivers in beef and cattle markets, starting in the United States and flowing on to New Zealand. China is already NZ’s largest beef customer, taking 36% of export tonnage last year. China, South Korea and Japan are increasingly competing with the US for beef trimmings, Holgate said. Sales of beef by McDonald’s in Japan have increased by 39% over the past three years. Many of the cuts imported by China have been to satisfy the local cuisine. But as diets and food service change demand now includes a growing trend in trimmings trade, Holgate said. “Part of this growth can be attributed to the growth in quick service retaurants. “In 2018, McDonald’s opened more than 300 stores in China, taking their total store numbers to 2800.” The chain plans to get to 4500 outlets in Hong Kong and China in 2022. Burger King reached 900 Chinese stores by the end of 2018. While in the short term

DISSENT: The Reserve Bank’s stance on reserves trading banks must hold is causing quite a bit of resentment, Federated Farmers vice-president Andrew Hoggard says.

The new capital minimums will begin to be phased in from April next year.

China is not likely to unseat the US as the world’s major buyer of manufacturing beef the increased competition will put upward pressure on global prices. “NZ exporters have benefited from China’s emergence as a serious competitor to the US for manufacturing beef, redirecting supplies into China and forcing US buyers to increase their prices in order to secure supplies”. In April the US import price for lean beef trimmings was US$2.20/lb (NZ$7.50/ kg), 5% higher than the fiveyear average price for that

time of the year, indicating the pressures of increased competition. However, Holgate does not expect Asian countries to set the market prices but match them to secure supply. A short-term demand for all proteins caused by African swine fever means beef trimmings are a likely substitute for pork. NZ beef exports during the first half of the season, October to March, were up 6% in volume and 9% in value. The average price received at $7486 a tonne is the highest since 2013-14.

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Dairy financials falter despite higher payout Hugh Stringleman hugh.stringleman@globalhq.co.nz

RIVALS: New Zealand exporters have benefited from China’s emergence as a serious competitor to the United States in the manufacturing beef market, Rabobank animal protein analyst Blake Holgate says.

MORE: BASCAND INTERVIEW

DAIRY farms run by owneroperators lost equity by an average of nearly $240,000 in the 2017-18 season, Dairybase figures published in the latest DairyNZ Economic Survey show. Despite the fourth highest operating profit recorded and a rise in return on dairy assets, reduced values of dairy company shares and livestock sent total return on equity to minus 4.4%. The growth in equity went into reverse, minus 5.7%, compared with plus 15.4% the previous season. Sharemilkers with 50:50 contracts fared a little better recording growth in equity of $6500 or 1.6%. But those numbers for sharemilkers were down considerably from $240,000 and 87% respectively in the 2016-17 season of recovery. DairyNZ also said sharemilkers made cash deficits in four of the past six seasons. The most-recent Dairybase figures show debt for sharemilkers rose 3% to 56.7% of assets while for owner-operators the equivalent figure is 50.7%. In 2017-18 the farmgate milk payout for owner-operators was $6.62/kg, up 83c from the previous season while the break-even price rose 70c to $5.87. Gross farm revenue was $7.23/kg

and the operating profit was $2238/ ha, a lift of $301 on the previous season. From the Dairybase data, farm working expenses increased from $3.73 to $4.20, dairy operating expenses rose from $4.60 to $5.13, and average tax payments and drawings increased. During the season milk production per cow and per hectare fell because of a difficult and dry spring/early summer. Operating return on dairy assets was 4.3%, up from 3.9% previously. For owner-operators the average peak cows milked was 430, on 151.4ha effective, and production was 376kg/cow and 1067kg/ha. For 50:50 sharemilkers the average herd size was 391 cows on 137.2ha effective and production was 376kg/cow and 1072kg/ha. Payout received by those sharemilkers was $3.21, gross farm revenue $3.79 and operating profit was 67c/kg. The operating return on dairy assets fell slightly to 11.5% and total return on equity was minus 2.9%. This was the fifth year in the past decade of negative returns on equity for sharemilkers. Delving into on-farm costs, the report said inflation was 0.2% overall, with increases in the prices of fuel, rates, electricity, animal breeding and insurances offset by decreases in grazing, fertiliser and interest rates.

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

Meetings indicate growing support Colin Williscroft colin.williscroft@globalhq.co.nz MOMENTUM is building behind a campaign to revisit Government policy critics say has led to escalating forestry expansion on productive farmland. About 400 people attended three public meetings in the lower North Island organised by lobby group 50 Shades of Green in the past fortnight, with a crowd of about 170 in Masterton, followed by another 140 people in Taumaranui and 80 in Mangaweka. Meetings are likely to be held other places in the near future. The Masterton meeting was addressed by Forestry New Zealand head Julie Collins while the other meetings heard from National Party climate change spokesman Todd Muller. Mike Butterick from 50 Shades of Green told the Mangaweka meeting the group wants a full and independent assessment of the long-term effects of the Government’s climate change policy and for blanket planting of good farmland to stop immediately. The group also wants applications being considered by the Overseas Investment Office

ADVICE: Federated Farmers climate change spokesman Andrew Hoggard told a meeting in Mangaweka submissions to the Environment Select Committee about the Zero Carbon Bill should provide details about what farmers have already done on their properties for the good of the environment.

that involve new planting to be put on hold until the policy assessment is complete. “We believe we are potentially looking at the most significant, irreversible change in land use you will ever witness in your lifetime,” he told the Mangaweka meeting. Rural communities will suffer because of it. The group does not blame farmers for selling their land or

forestry companies for wanting to buy it. It is Government policy that is at fault because of different OIO rules for forest companies compared to investors looking to buy land for farming, Butterick said. Policy aimed at fostering carbon farming is encouraging speculators, which is driving up the price of farmland.

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“The Government made moves to kick speculators out of the Auckland property market but they’re encouraging them in our industry. “We have a Provincial Growth Fund to promote growth in the provinces yet we have policy settings that are inadvertently destroying them.” Butterick said it is vital as many people as possible make a submission to the Environment Select Committee, which is considering the Zero Carbon Bill, to make sure the voice of rural communities is heard. “Don’t wait for other people to do it. “If you’re serious about protecting your community and the economy then do it. “If you don’t tell your story then no one’s going to hear it.” Federated Farmers climate change spokesman Andrew Hoggard said submissions should mention the practical changes already implemented on-farm for the good of the environment and all the paperwork that has to be filled out to prove those practical measures are being taken. Muller said the National Party supported the Zero Carbon Bill through its first reading in

We believe we are potentially looking at the most significant, irreversible change in land use you will ever witness in your lifetime. Mike Butterick 50 Shades of Green Parliament but if changes are not made to its content then that support will not continue. The long-term methane reduction target, which will require emissions to be cut by between 24% and 47% of 2017 levels by 2050, is unacceptable, Muller said. “These targets need to be reviewed as part of the select committee process otherwise our support will be off the table. “It’s important that we push back hard on those targets.” While it is important NZ does its bit to address climate change that needs to be done without gutting rural communities. Submissions on the bill close on July 16.

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FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Zero carbon bill hits $66.4 billion Neal Wallace neal.wallace@globalhq.co.nz POLICIES ensuring New Zealand meets its greenhouse gas reduction obligations will require a reduction in the number of animals farmed and lower meat and dairy exports, an analysis of official reports reveals. Meeting the requirements of the Zero Carbon Bill, now going through Parliament, will squeeze livestock farmers on one side by trees offsetting carbon dioxide emissions from fossil fuel emitters and on the other by farmers required to meet methane emission targets. The Real Estate Institute has confirmed rural community leaders’ fears Government planting incentives have made forestry an attractive investment, evident by national forest land prices increasing 45%. The prices have almost doubled in the North Island but fell 4% in the South Island. The Zero Carbon Bill splits greenhouse gas targets with gross methane emissions to be reduced by 10% of 2017 levels by 2030 and by 24% to 47% by 2050. Farmers cannot offset methane emissions with trees, unlike those emitting carbon dioxide and nitrous oxide. Up to two million hectares of new forestry is expected to

be planted to offset those gas emissions and help the country become carbon neutral by 2050. Rabobank’s animal protein and sustainability analyst Blake Holgate said breeding and farm management can reduce methane emissions by up to 10% but further gains will be difficult. “Achieving deeper reduction will likely require productivity gains while not increasing production, new technology and land use change.” In the absence of tools and practices he warns the only way to significantly reduce methane emissions is to reduce stock numbers. Documents prepared by the Ministry for the Environment (MFE), the Institute of Economic Research (NZIER) and the Biological Emissions Reference Group (Berg) all acknowledge that without methane reducing technology, such as a vaccine, farmers have few options to meet higher reduction targets without reducing livestock numbers. A Federated Farmers study has calculated every 1% reduction in methane emissions will cost the country $300 million in production. NZIER is predicting the cost to the economy from the Zero Carbon Bill will be $66.4 billion by 2050.

A Berg report said dairy can reduce methane emissions by up to 10% through breeding and feeding. Similarly, breeding and feeding can reduce emissions from sheep and beef farms by up to 5% but then they have few options. Berg forecasts stock numbers to fall as increasing carbon prices lift the cost of energy-intensive inputs such as fertiliser and supplementary feed. Dairy farmers will respond by running fewer but more productive cows but for sheep and beef Berg forecasts significant land use change with more forestry and lower stocking rates, especially for breeding cows. The various reports all have a high degree of confidence a methane vaccine will be available from about 2030 which will reduce emissions in individual animals by 30%. The Pastoral Greenhouse Gas Research Consortium has spent about $80 million since 2003 searching for a scientific solution to biological greenhouse gas emissions. The issue hindering methane reduction is the correlation between the forage fed to ruminants and the volume of methane produced. For each kilogram of drymatter

UNNECESSARY: Parliamentary Commissioner for the Environment Simon Upton says farmers don’t need to cut methane emissions to zero and should be allow to plant trees as offsets.

eaten a ruminant will produce 22 grams of methane but an analysis by Federated Farmers shows NZ farmers have been successful in reducing emissions per kilogram of output, also known as methane intensity. NZ dairy farmers average 0.8 to 0.9kg of methane per kilo of fat and protein-corrected milk compared to the global average of 2.5kg of methane. Similarly, NZ sheep farmers average 1.9kg of methane per 100 grams of lamb compared to the world average of 2.6kg. Despite inclusion in the Emissions Trading Scheme since 2008 carbon dioxide emissions from transport grew 84% between 1990 and 2017. In contrast methane emissions from livestock have fallen 7.5% since 1990 and stabilised since 2000. Parliamentary Commissioner for the Environment Simon Upton has warned allowing fossil fuel

emitters to offset their emissions with forestry is not a permanent solution. “Fossil emissions need to be reduced to zero by the second half of the century. That should be the aim. Reducing them by only half that and claiming to have managed the problem by planting forest sinks to cover the rest is a poor alternative.” Because methane and nitrous oxide do not accumulate in the atmosphere as carbon dioxide does, the commissioner argued their levels do not need to be cut to zero and farmers should be allowed to offset their emissions with trees. That was rejected by the Government, but it has promised a review of those targets by the independent Climate Change Commission in 2024 which will take account of changes in scientific knowledge and other developments.

Foreigners and corporates can get taxpayer help Neal Wallace neal.wallace@globalhq.co.nz FOREIGN and corporate landowners are eligible for taxpayer help to plant trees but the subsidy does not allow for planting whole farms. Forestry Minister Shane Jones confirmed $2.2 million of the $118 million Billion Trees fund has been allocated, of which $1.5m is for planting native trees and the balance for exotics. The sudden expansion of largescale forest planting on farmland has rural community leaders worried it could lead to the gutting of jobs and services. More than 40,000ha of farmland has been bought for forestry, mostly in the North Island. That rising demand is reflected in prices the Real Estate Institute says. Its figures show prices of farms sold for forestry rose 45% in the year to the end of April. North Island prices rose 97% while South Island prices eased 4%. Institute chief executive Bindi Norwell said the price increase is driven by Government incentives to plant trees and underpins renewed interest in grazing land for conversion to forestry. Jones said the Billion Trees

WE HEAR YOU: The Real Estate Institute is aware of feedback from agents and farmers about concerns over the loss of farms to forestry, chief executive Bindi Norwell says.

programme is designed to let landowners diversify income, improve land productivity, address environmental issues, improve habitats and enhance landscapes. “By planting the right tree in the right place for the right purpose we will see many farmers turning lower-producing land into an asset. “The fund will also support our goal to move towards a lowemissions economy.” The fund has attracted 237 applications of which 36 covering 1100ha have been approved.

Of that, 80% is for planting native trees in areas less than 140ha. Two-thirds of applications are for less than 50ha. A Primary Industries Ministry spokesman said the target is for two-thirds of the fund to help planting of native trees. The fund provides landowners with help to plant up to 300ha, for which they receive up to $4000/ha for indigenous trees or $1500/ha for exotic. Further subsidies for fencing and erosion control are available, depending on the type of planting. The spokesman said the fund is not for whole farm conversions to trees but to support landowners, particularly farmers. However, MPI confirms foreign and corporate landowners are eligible. Forestry NZ chief executive Julie Collins said Overseas Investment Office data shows four foreign buyers for existing forests and three for farmland with a total of 2300ha of land to be planted and a further 1200ha to remain in existing land use. “We know how important farming is to our economy and will continue to be.” Farming and forestry are not mutually exclusive and forestry can support rural communities be

more resilient through integrated land management, she said. The Billion Trees programme is estimated to need 230,000ha to 430,000ha over 10 years. The OIO this month approved the $13.4m sale of a 1700ha Lone Star Farms Wairarapa property to Austrian aristocrat Veronika LeebGoess-Saurau. This year 1280ha will be planted in trees with the rest sold in three farming blocks and 20.5ha of native bush protected by a QEII covenant. The OIO said it assessed the sale under new rules, which eased the criteria for foreign forestry investors. “Under the new forestry test, the criteria include that the land must be used exclusively or nearly exclusively for forestry activities, not be used for residential purposes, existing arrangements must be maintained or implemented and harvested trees must be replanted.” It noted Leeb-Goess-Saurau bought 381ha of land in Hawke’s Bay in 2016, which is now the Carlsberg Forest Norwell said Government incentives to plant trees are boosting land prices and fueling interest in grazing land for conversion to forestry.

The national median price of forestry land in the year to the end of April increased from $6487/ha to $9394/ha, driven by an almost doubling in prices in the North Island from $6656/ha to $13,128/ ha while in the South Island prices fell from $6450/ha to $6162/ha. There were 70 sales in the year to the end of April 2018 compared to 50 for the comparable 2019 period but Norwell says the reduction could be because forestry is a desirable investment. “Unsurprisingly, the number of forestry farms sold over the past year has fallen too, as investors are seeing forestry farms as a highly sought-after investment. “Those investors are holding onto their farms, which is also contributing to the price rises.” She says the institute is hearing the concerns of rural communities about the impact of livestock farms converting to forestry. “Feedback from farmers and rural salespeople around the country is increasingly one of concern with many saying that once beef or sheep farms have been converted to forestry they will never be converted back again because of the loss of infrastructure and the high barrier to entry should re-conversion be considered in the future.”

12 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019 The success of any online livestock marketplace will depend on whether it’s simple to use and can reliably handle large numbers of stock and transactions with transparency. Jesse Dargue Peter Walsh and Associates REMOTE: A PGW livestock agent watches a bidr auction.

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Two virtual saleyards bid for a share of stock trade Colin Williscroft colin.williscroft@globalhq.co.nz THE livestock auction industry is moving with the times with two new online stock trading platforms set to change the face of the marketplace. Last week StockX said its independent online livestock platform will be launched in spring, with two of the South Island’s largest livestock agency businesses, Peter Walsh and Associates and Rural Livestock already signed up to the new nationwide digital sales channel. That follows the recent launch of bidr by PGG Wrightson, with its weekly livestock auctions due to begin on July 2. Initially focused on livestock, the plan is for bidr to in future enable farmers and agents to bid, buy and sell all things rural online. StockX managing director Jason Roebuck says its platform will provide a safe, secure and transparent trading system that serves agents, farmers and processors equally. “We have digitised livestock trading and we are bringing a new view to the industry which is inclusive, intuitive and intelligent. “It’s great to see the strong interest in the marketplace to date,” Roebuck said. “Transparency, fairness and value are vastly improved with StockX.” Peter Walsh general manager Jesse Dargue urged other livestock agents to sign up to it. “The risk is that multiple livestock companies try to re-invent their own solution first rather than getting behind a system that encourages industry participation and adds value to businesses by providing a wider market through an easy-to-use, intuitive trading platform. “StockX being independent is also important and a point of difference in the New Zealand market. “The success of any online livestock marketplace will depend on whether it’s simple to use and can reliably handle large numbers of stock and transactions with transparency.” Although weekly auctions will not begin on bidr until next month it has already been used to run some stud bull, store lamb, store bull and dispersal sales, PGG Wrightson livestock general manager and bidr chairman Peter Moore said the global livestock market is constantly changing, which has a significant flow-on effect to the NZ market and PGW’s business. “Bidr is an example of PGW’s focus on technical excellence and innovation along with our commitment to future-proof our business to add value to our customers’ farming operations. “While bidr is a PGW innovation we welcome other livestock agencies to join us. “The more, the better for the market. “Already one other agency has come on board and we expect more to follow soon.”

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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14 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Winners good on every front ADRIAN and Pauline Ball, owners and operators of Dennley Farms, are the new national ambassadors for sustainable farming and growing and the recipients of the Gordon Stephenson Trophy. The announcement was made at the Ballance Farm Environment Awards National Sustainability Showcase at Claudelands in Hamilton. Dennley Farms’ strong environmental, social and economic sustainability was a stand-out for the judges. Its motto is creating value inside the farm gate. And the farm team is active in the creation of meaningful industry change and driven to improve consumer perception of the sector. Aspiring to model low-input, low-footprint, high-animal welfare values, the Balls have achieved best practice agronomy to optimise crop and animal yields without compromising environmental health. Pauline runs the dairy beef unit, which is part of their closed, lowinput system where forage crops are home-grown and stocking rates are adjusted accordingly. An innovative approach to managing staff rosters makes

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BEAMING: Ballance Farm Environment Award winners Adrian and Pauline Ball celebrate their win.

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Adrian continues to be actively engaged in sowing the seeds of change within both Fonterra and the dairy sector. “For our daughters to experience the awards has brought a deeper understanding of the sustainable journey our family has been on,” he said. “It is always good to hear other people’s opinions about what you are doing. We have been involved with the sector for a while now and it’s good to be positive and share our story. “You never feel like you are ready but having an understanding of the issues and options is important and the awards offer that opportunity. “The awards have certainly made us both think a lot deeper

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into the future of our own business and what it would take to influence and help the pasturebased meat and dairy sectors grow consumer trust and ultimately grow value. “They have highlighted to us the need to not be individuals in this vision but to take other farmers on the journey.” Judges chairwoman Dianne Kidd said “The Balls demonstrate a deep understanding of all aspects of sustainability, taking a holistic approach to the triple bottom line as a base to build on other sustainable criteria, including consumer awareness, staff welfare, ethics and animal welfare. “They have a vision and conviction that NZ needs to take sustainability seriously. “Economic budgets and models are no longer sufficient to kick-start a farm business with sustainability as an endgoal. The sustainable business model should be up front at the start. “Adrian and Pauline are a strong team and will be excellent ambassadors for the NZ Farm Environment Trust. They are passionate about sustainability and leading change by example.”

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FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Carbon farms help soil, water Annette Scott annette.scott@globalhq.co.nz CARBON farming is about managing soil, vegetation, water and animals while turning opportunities on the farm into improved business performance and profitability. All while ensuring long-term benefits to farm businesses, the local economy and the environment. That was the buy-in for more than 60 farmers and industry stakeholders who attended a Canterbury Agribusiness carbon farming seminar. Most attendees when asked why they attended said the same – to understand something that’s all a bit new and learn what opportunities are available to them.

Good land shouldn’t be under threat of trees. If it is then it’s a totally irresponsible investor. Mark Belton Permanent Forests

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In a Carbon 101, Lincoln University research scientist Anita Wreford presented figures highlighting a 13.5% increase in agricultural emissions in New Zealand between 1990 and 2017. That was largely driven by doubling dairy production and a 650% increase in nitrogen fertiliser application. Wreford said NZ agricultural emissions are expected to increase on the back of a growing economy and global demand and if agriculture does not make a contribution every other industry will have to pick up the tab, So what can farmers do? The harsh level is constraints on the types of agricultural activity and movement to low-emissions land use. “But we don’t want to see rules imposed on what you can and can’t do.”

Technologies to cut emissions and get the best out of good management practice are feasible. “Every farmer has the ability to improve what they are doing with many co-benefits in what you are doing today just needing a little tweaking to improve.” Wreford said NZ’s approach to emissions reduction is evolving and dynamic. “Currently the Emissions Trading Scheme is the main tool.” What are other countries doing was a question from the floor. “Looking at NZ for leadership as for most other countries their agricultural emissions are not so important – most at only 10%. We are 47% and next to us is Ireland at 30%,” Wreford said. “No-one else needs to attack agricultural emissions as we do so every country is watching to see what we are going to do.” There has been no pricing of agricultural emissions elsewhere yet. “NZ is a leader in this space.” Permanent Forests managing director Mark Belton was the first forestry specialist in carbon 15 years ago. “Man, it’s been a rough road,” he said. “All talk has to translate to action to have any effect at all towards the end goal and that is the Paris Climate Agreement.” NZ’s measures are considered inadequate and sufficient to get only twothirds of the way to its required target levels so that’s where carbon farming and ETS kick in. The economics of creating a NZ carbon units mean the price for land can’t be high. “Good land shouldn’t be under threat of trees. If it is then it’s a totally irresponsible investor,” Belton said. “High value land is uneconomic for carbon forestry – we will not be buying expensive farmland for forestry carbon farming. “You can do it very cost effectively on marginal farmland. We do not have to go to good land. We’re focused on supporting landowners, particularly farmers, to get the best out of their land by integrating trees into the landscape.”

GAME OVER: Permanent Forests managing director Mark Belton says carbon farming and the ETS has to be sorted in the next 20-30 years or it’s game over.

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News

16 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Dodgy fert size to get shake-up Richard Rennie richard.rennie@globalhq.co.nz LUMPY, uneven and irregular fertiliser, long the bane of farmers and spreaders, will face tighter scrutiny once the Fertiliser Quality Council establishes standards for the product’s physical qualities. While standards have been set for the mineral and nutrient content of fertiliser, council chairman Anders Crofoot admits it has taken longer than expected to set them for particle shape and size. “Setting the chemical standard for fertilisers was fine and has worked well for a long time. “But what is now happening is that with precision agriculture, tramlines and proof of placement technology it is increasingly important to have consistency in fertiliser’s particle size, something that has long been an issue.” Setting standards is part of the industry’s efforts to work through all the parameters that determine fertiliser quality, with handling practices the latest reviewed. “About a year ago we set some guidelines for handling fertiliser. There are a lot of steps from its manufacture that can affect it. One of the worst things is when it is put in a store facility that is

not suitable and when it’s crushed by front end loaders and vehicles running over it.” He acknowledges that did not solve the problem overnight but it is time to move to the next step on particle size. “At the moment a farmer may get a product they did not expect (in terms of physical characteristics) and tell the company ‘that’s rubbish’.” But the lack of clear definitions makes disputing it difficult. “We are hoping we can get everyone talking the same language. “It’s always been an issue but with the vast majority of fertiliser going on pasture the nature of the product has not been as critical as it is becoming.” Growth in land area and returns for the arable sector are helping keep pressure on for the clearer standards. He envisages particles will have a measured index based on size and shape to define them. The increasing use of high-spec European spreading equipment, usually tested in stable, windless environments when being calibrated, also gives greater need for the standards. The machines are particularly sensitive to variable particle sizes.

LUMPY: Anders Crofoot hopes standards will deal to dodgy fertiliser.

Crofoot said it might also be helpful if spreading contractors start charging by the hour rather than by the tonne for spreading. “This may encourage a better

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News

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Action training helps in vet’s work RURAL vet Ginny Dodunski says her Red Meat Profit Partnership facilitator training is proving valuable in her work as well as for the action group she is working with. She is now facilitating an RMPP group of farm businesses. “The training was a great exercise. “It gives you a suite of techniques you can mix and match to tailor to your audience,” Dodunski, who works for Totally Vets at Taumarunui, almost exclusively with farm livestock, said. “Just to have more tools in your toolbox for interaction with groups is also very useful for my one-to-one interaction with farmer clients too. “You learn how to ask questions differently and to plant seeds of ideas for people to make decisions, rather than simply putting forward your idea.” Having grown up on a lifestyle block she always felt cheated at not being raised on a commercial farm. She began an agricultural science degree at Massey until an animal health paper really spun her wheels and she switched to veterinary science, with a focus on agriculture and farm systems.

GOING BEYOND: The training for Red Meat Profit Partnership action group facilitators gives them skills they can use every day, vet Ginny Dodunski says.

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Ginny Dodunski Red Meat Profit Partnership “I was fortunate to have a far-sighted boss early in my career who got me into extension so I have done a lot of that over the past 15 years. I found that incredibly valuable. It made me aware of the mistakes we make in biffing lots of information at people rather than getting them involved in learning.” Dodunski’s group is largely concentrating on basic extension around best practice, focused on hill country. “The group members are all young farm managers or owner-operators in hill country, mainly around Taumarunui. There is no point in learning lots of new stuff if you have not got the basics. They want a really good springboard around applying best practice to our hill country here. “It is not about big changes. Hill country has limitations on how to manage things like grazing and rotations but it is about learning about how to be successful in our environment here.” The group has been established for about a year and Dodunski is impressed by members enthusiasm and receptiveness to learning. “Most recently we have had Josh Verhoek, a science extension officer with Ballance AgriNutrients in to talk about nitrogen, which they found very useful. We did a session on feed budgeting because that is my particular soapbox. We also did RMPP’s Taking Ownership of Your Financials workshop, which they thought was great too. “For our next meeting we are probably looking outside of the farm gate, particularly at McDonald’s. They are very interested to understand where product goes and why.”

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News

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Consumers want constant progress THERE’S an exciting future for farmed venison but industry leaders have raised the flag on millennials and climate fears driving major change. The deer industry must win the hearts of the millennial generation and, like it or not, must face up to the public perception of an emerging climate crisis, the Deer Industry conference was told. That means improving communication with consumers and being absolutely transparent about on-fam practices and being prepared to change to meet consumer expectation. Primary Sector Council chairman Lain Jager said he understands why farmers are

grumpy about the Government’s proposed methane targets when New Zealand farmed livestock contribute only a fraction of world emissions and the farmers are among the world’s most efficient in terms of their carbon footprint. But there is a climate crisis and it is emerging rapidly in people’s minds. “As that emerges so does fear and this means the climate change conversation is not rational. It’s a passionate conversation where people are looking to blame others.”

And climate change’s impact will become increasingly profound. “I’m talking about droughts, floods and groundwater running out in important food bowls. “It means the global food production system is coming under enormous pressure. “The need to act is urgent and we’ll never win the PR battle by pushing back.” Jager said the science and policy work on carbon needs to be done. “We need to say with authority here’s our view of a carbon price that will support optimal land use. “We need shared environmental targets with the rest of NZ and for the farming sector to be seen to be playing its part. “Farmers are caught in the dialogue whether they like it or not. “It’s imperative that we produce animal

proteins as environmentally sustainably as we can,” Jager said. Firstlight Foods sales manager Toni Frost said the future for venison is bright if the industry can find ways to communicate its attributes better. Firstlight is experiencing steady growth in venison sales in Britain, one of its key markets, at a time when overall red meat sales are declining. Emotive trends are increasingly shaping food decisions and they are trends seen everywhere, Frost said. More than 70% of British consumers now rank health and wellbeing as key factors in their food choices. Millennials are also keen to try something new. “Venison is clearly ticking all those boxes.” She suggests a traffic light or similar graphic symbol is needed on NZ product packs to show consumers NZ venison has a small environmental footprint. Silver Fern Farms marketing manager Nicola Johnson said millennials are facing a world that’s changing faster than any generation before. “As a generation they are rightly or wrongly better informed and are more considered in their purchase decisions.” And as people become more mindful about their choices

BE NIMBLE: The right thing to do to meet customers’ expectations is a constantly moving target, Deer Industry chief executive Dan Coup says.

the better the venison proposition becomes. “We need to be telling them that venison is nature’s ethicallyraised, sustainable, super food. “And that means leaving absolutely no room for doubt. We need to stand up boldly for what we are and equally for what we’re not. “Our story has to have substance. It can’t be an empty promise.” Duncan NZ group operations manager Rob Kidd said millennials born between 1980 and 1994 are future rich consumers who are relied on to eat high-priced venison. Those millennials, and the centennials who follow them, are turning to different diets because they believe eating meat and dairy products is harming the planet. “In this brave new world consumers will continue to demand sustainable and ethical products. “Rather than resist the inevitable we need to find ways to make our venison appealing to millennial consumers. They are hungry for information that is credible and can be transferred by social media. “The goal has to be to encourage millennials to become enthusiastic and passionate advocates for NZ venison, promoting its virtues for themselves, their friends and the planet,” Kidd said. Deer Industry NZ chief executive Dan Coup said deer farmers have always striven to do the right thing for their animals, their people and the environment. “But the right thing is a constantly moving target that changes as societal expectations change. “We need to embrace that, accept that we need to be constantly evolving our practices and get better at making sure our consumers and communities understand this,” Coup said.

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T STAR ea ) Ar azing e r c ur d g

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TIPS FOR WINTER GRAZING CROPS Soil is our greatest asset. Holding on to more of it makes good economic sense. Furthermore, too much soil and nutrients in waterways impact on water ecology and can kill freshwater species.

TIP

Graze paddocks strategically On a sloping paddock, fence across the slope and start grazing at the top of the slope. That way, the wettest and riskiest areas are grazed last, minimising soil damage and leaving the ungrazed buffer to reduce soil losses. Or, if there is a waterway in the paddock, start grazing at the far end of the paddock. Make sure to regularly back fence and use portable water troughs when necessary.

TIP

Exclude stock from waterways, wet areas and wetlands

Leave an ungrazed and uncropped buffer zone* around Critical Source Areas

Create an ungrazed buffer zone between the livestock and the waterway. About 3-5 metres is a good starting point*, but this should increase with slope and instability of soil.

Critical Source Areas (CSAs) are parts of the paddock that can channel overland flow directly to waterways (e.g. gullies, swales, very wet areas, spring heads, waterway crossings, stock camps and vehicle access routes).

*check your local rules

WANT MORE TIPS? Visit: www.beeflambnz.com/wintergrazing Minimum Size use is 30mm wide.

News

farmersweekly.co.nz – June 10, 2019

NO END: The United States-China trade war could go on for some time with no one backing down, Rabobank Research Australasian head Tim Hunt says.

“Every single one of us needs to take responsibility and move from talking about safety to farming safely every day.” ANDREW MORRISON

No winners seen in Trump’s trade play Hugh Stringleman hugh.stringleman@globalhq.co.nz UNITED States President Donald Trump’s latest US$16 billion agricultural aid package is not a game-changer but is disconcerting in many ways, commentators say. Rabobank Research Australia and New Zealand head Tim Hunt said the effects of the trade war between the US and China are net negative for US farmers despite the latest aid. “Farmers have lost in lower commodity prices much more than the increased subsidies so most US producers are still dissatisfied. “Also, this is part of a broader deterioration in world trade and likely lengthens the trade war, which would somewhat reduce opposition in the US towards such wars. “Subsidies can be sticky,” he said. The US has raised tariffs on Chinese consumer goods and China has retaliated but US consumers are paying the tariffs while farmers get the direct aid. NZ’s special agricultural trade envoy Mike Petersen echoes Hunt’s comments, saying Trump’s actions are part of the creeping tide of protectionism and distortion. But his contacts among American farm leaders still believe trade rather than aid is better for agriculture. Flanked by sector

representatives, some wearing cowboy hats, Trump said China has taken advantage of the US for far too long and he is going to protect an industry that has been used by Beijing to hurt America’s economy. Trump also said he is happy to keep his trade war going indefinitely.

Subsidies can be sticky. Tim Hunt RaboResearch Agriculture Secretary Sonny Perdue and his department headed their press release: Support for farmers impacted by unjustified retaliation and trade disruption. The latest package comes after a similar $12b distribution last year. But even the combined amounts pale in comparison with the business-as-usual US$867b Farm Bill passed through Congress late last year. Petersen made the point that the two aid packages seem to be big but they probably do not break the allowable US limit under World Trade Organisation rules. “The biggest impact is that subsidised US production will distort world trade.”

For example, cheaper soybeans are being used in the livestock industries and US milk production will rise. Hunt said US sales of soybeans to China have virtually stopped but those volumes are going to Latin American countries, which are in turn selling their domestically produced crops to China. “This sort of redirection causes inefficient trade.” He agrees with a Los Angeles Times editorial that said “No-one pockets any gains from these tariffs. They are simply a dead weight loss to international trade.” Because the net effects on US farmers remain negative Hunt believes the aid will not cause a wave of increased production. The President, Secretary and USDA have tried to ensure the aid will not distort decisions between crops when the MidWest finally dries out enough to plant. On the plus side strong world prices for dairy products and red meats are still forecast for 2019-20, Hunt said. “Trump’s aid package doesn’t materially affect NZ because it is not aimed at beef or dairy.” Petersen thinks flow-on effects could include cheaper protein out of Latin America because of cheaper US feed stocks. “This could go on quite a while because China is not backing down,” he said.

Southland sheep and beef farmer, Chairman of Beef + Lamb New Zealand

worksafe.govt.nz

News

22 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Woman takes national dog title

CHAMPIONS: Murray Child and Frank won their second Tux New Zealand Championship in the zig zag hunt.

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STEPH Tweed of Waikari and her dog Grit have won the North Island and New Zealand straight huntaway championship in Northland. It is the first time a female dog handler has won a NZ championship. The national win followed close on the heels of a maiden South Island zig zag huntaway championship for Jo Waugh and Guy, of Matawai, at Hanmer Springs in May. Tweed and another dog, Lou, were third in that South Island run-off and Rebecca Baynes and Jazz, from Wairoa, were sixth. Between 10 and 20 women and their dogs now compete at the highest levels of sheep dog trials and the successes for Tweed and Waugh were regarded as just a matter of time, Northland Centre patron Merv Cameron said. He and many others are delighted the NZ championships in Northland, which come around only every 16 years, were such a notable occasion. The first of the four NZ run-offs on the Te Ahuahu course near Kaikohe for event four, the straight huntaway, was a triumph for Tweed and Grit, clear winners by nearly four points over second place. They qualified late with 97 points, which was enough to win the North Island championship then followed with 95.5 points in the second run, 2.5 points ahead of second-placed Colin Bolton and Crime, from Aria. Canterbury and Northland pairings claimed two NZ championships each. Winners of event one, the long head, were Andy Clark and Girl from Tai Tapu, near Christchurch, and Northland brothers and veteran triallers Neville Child with Harry and Murray Child with Frank won events two and three respectively. Clark and Girl were also in the short head and yard run-off and placed sixth. It was the first national championship for Clark, who has been selected New Zealand team captain, his fifth test team membership in seven years. Girl made the run-offs in the South Island and NZ champs last year, was the top qualifying dog in Canterbury this year and won the centre championship. Neville Child and Harry were placed fifth in the long head run-off before winning the short head and yard championship. Neville and Rosemary’s son Stuart Child from Te Anga club came third in both heading championships with Mitch in the long head and Brodie in the short head and yard. Murray Child’s winning margin was nearly as emphatic as Tweed’s when he drew first starter in the run-off and stormy conditions deteriorated afterwards, causing some call-offs. Competitors in the long head run-off were also hampered by winds and rain on the slope of a volcanic cone, where sheep were held in the crater before release. Clark and Girl had the best run with 96.5 points, followed by another Canterbury pairing, Neil Evans and Tess, Omihi club, with 94.5. Tweed, aged 27, works on Mt Cass Station, Waipara, North Canterbury and has about 10 dogs in her care.

News

farmersweekly.co.nz – June 10, 2019

“Good health and safety isn’t about lots of paperwork. It is simply good business practice.” EMMA DANGEN AUDIENCE: Neville Child and Harry watched winners Andy Clark and Girl on the long head course before moving to the short head and cleaning up.

Schooled in trialling on the family farm by her father, Roger Tweed, of Waitahuna, south Otago, she has qualified for island championships in each of five years since 2014. Earlier this season Tweed and Grit came second in the Canterbury Centre championships at Cheviot. She intends to campaign again next year with the objective to qualify up to four dogs in centre and island championships. “Any more than that gets a bit chaotic in training them and giving them all exercise and practice before the big events,” she said. She was dazed and a little overwhelmed by her NZ championship success because of the numerous congratulations and good wishes. Success does not come any sweeter for Murray and Neville Child than national championships in their home province in the same year.

FMG Young Farmer of the Year 2019 Grand Finalist

Neville Child has been competing with Harry, aged six, for the past four years after buying him from Merv Cameron as a youngster. Harry is a grandson of Deal, which in 2006 earned the first national championship for Child and for Northland in 75 years, at Omarama. Another Deal son Dice then won a national long head championship for Murray Child at Wanaka in 2012. Stuart Child’s dog Brodie is a full brother to Harry but a year younger. Murray Child’s dog Frank was a former national straight huntaway winner, at Geraldine. Now nine years old he will retire with two national championships. The NZ team to compete against Australia at the Nelson A&P Show, November 23 and 24, is Clark and Girl, Neville Child and Harry, Guy Peacock and Chief and Stuart Child and Brodie.

NEARLY: Andy Clark and Girl make the final pull into the circle on their way to an inaugural NZ championship, in the long head.

worksafe.govt.nz THIRD: Stuart Child and Mitch complete their long head.

News

24 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Some councils too easy-going HAWKE’S Bay, Manawatu-Wanganui, Otago and Wellington regional councils have all been found wanting in their ability to monitor and comply with Resource Management Act enforcement. The report into council compliance, monitoring and enforcement by the Catalyst consultant Marie contains information from all 16 regional and unitary councils and is regarded as the most comprehensive report done since the Resource Management Act’s inception 27 years ago. It cites the Manawatu-Wanganui Regional Council, also known as Horizons, as having some of the lowest resourcing for consenting and enforcement staff. It indicates the average number of full time enforcement staff nationally is 0.13 per 1000 people. Manawatu-Wanganui has one of the lowest nationally at 0.04, second to bottom from neighbouring Wellington at 0.03. Chairman Bruce Gordon defended the council’s enforcement horsepower because the authority has also faced flak in recent years about its effectiveness in enforcing consent breaches. That included a case where Fish and Game took it to court and the court required council to call a halt to approving and processing consents for farming. The council is also about to notify proposed plan change 2 to reset nitrogen leaching limits based on latest Overseer modelling after having to refuse farmers consent if they could not meet the original levels. “We do run a very lean ship at council but do offer up extra resources as they are needed.

“One of the issues we face is how long it takes to get prosecutions to courts. We are moving from a relatively stable period to having more prosecutions under way,” he said. Gordon also disputed the report’s concerns over chief executives’ involvement in prosecution cases. “Given what these cases cost, which is between $70,000-$80,000, they should go to the top. It is normal practice to run prosecutions past chief executives.” In 2017-18 the council recorded 64 formal actions against noncomplying consent holders, compared to 626 in Northland and 118 in Southland. Infringement fines issued were at the lower end of regional numbers, 23 against Northland’s 223 and Otago at 22. Manawatu-Wanganui had no fines as a result of Resource Management Act convictions, alongside Gisborne and Wellington. In neighbouring Hawke’s Bay the regional council is also lightly resourced for act enforcement with 0.06 staff per 1000 people. It also has chief executive James Palmer involved in prosecution decisions. “The buck stops with the chief executive,” he said. “We are looking at least $20,000 to $30,000 of ratepayers’ money to prosecute through the court. “It is a big decision to proceed, with a lot of risks and is very much a politically neutral decision.” The lighter enforcement staff numbers in part reflect the region’s low dairy concentration compared to Waikato or Southland. “Most of our land use is in sheep and beef.

Regional councils as sheriffs Penalties: Top six councils Council

Total conviction fines

Ratio of enforcement staff/1000 population

No. farms in region

Region's GDP as % of National GDP

Southland

$467,973

0.13

2452

2.1

Waikato

$334,450

0.1

8952

8.4

Tasman

$306,718

0.15

1383

1.8

Otago

$233,050

0.1

3447

4.3

Bay of Plenty

$142,000

0.1

4275

5.3

Auckland

$139,237

0.09

3021

37.5

Source: Catalyst

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“However, we are increasing staff numbers as we implement the Tukituki Plan Change, which requires farm environment plans for the 340 farms in it. We also have two forestry officers starting July 1.” Otago Regional Council also comes under fire for its below-average resourcing and for having struggled to meet its monitoring goals and having a weak internal policy framework. It noted Otago is one of only a few councils to lack an enforcement policy. It is, however, one of the most active enforcement councils, coming in as one of the top three for fines in 2017-18 with $233,050 dealt to individuals and corporates. Its regulatory general manager Peter Winder said the council has already made good progress by increasing its compliance staff numbers and is revising how it prioritises act complaints. The council has a significant recruitment drive under way in many areas, backed by full training programmes relating to investigation and enforcement.

LIGHT: Horizons chairman Bruce Gordon has defended his council’s enforcement resources.

We do run a very lean ship at council but do offer up extra resources as they are needed. Bruce Gordon Manawatu-Wanganui Regional Council

Report gives policing benchmarks Richard Rennie richard.rennie@globalhq.co.nz GREATER alignment between regional councils on determining, measuring and enforcing Resource Management Act breaches will be welcomed by Catalyst consultant Marie Doole who has reported on council’s enforcement efforts. Her report on council compliance, monitoring and enforcement provides an insight into how the 16 regional councils and unitary authorities enforce the act. “Overall, the report outlines how we are just doing the same job in 16 different ways around the country. “However, the same sort of breach should be treated with the same severity across the country. “An offender should not be able to do something at one end of the country and not be prosecuted while being prosecuted for the same thing at the other end.” She suggests a more standardised approach to compliance, monitoring and enforcement definitions and practices nationally to improve consistency and allow better comparisons on councils’ performances. However, she acknowledges the most frequent offence is illegal discharge to waterways, which can differ in sensitivity. “But we can allow for regional differences like waterway types and soil quality.” She is heartened to know the act is up for discussion and there has been some progress on some aspects,

BOOTS ON GROUND: The best enforcement councils have the highest number of enforcement staff on the ground, researcher Marie Doole says.

partly as a result of better dairy effluent management throughout the country. “There is also some more movement to standardisation using Ministry for the Environment guidelines for best practice. This will help bring a slow merger nationally.” Doole said the report also highlights having boots on the ground is essential for efficient enforcement. There is a wide spread in the numbers of enforcement staff across the country, ranging from only 0.03 per 1000 people in Wellington to 0.31 in Taranaki. “It is hard to know what enough is and numbers per 1000 is a crude measure. “I was surprised at the degree of difference and you find councils with the higher numbers were more effective at meeting their compliance, monitoring and enforcement requirements. “The sign of good

compliance is having a reasonable chance of detection.” With most regions wrestling with plan changes to better manage water resources it will help if councils try to work changes in enforcement methods into those plan changes, she said. “So often we go through these changes then compliance becomes almost a bolt-on, an afterthought. “Councils need to shift to a model that recognises every plan change will bring different compliance demands.” She tried to tell it like it is to councils in the report and has been impressed with the level of support from them. “The councils came up with this idea and it was a brave thing for them to do.” Doole thinks the report might become an annual review providing valuable benchmarks to councils on their performance.

News

farmersweekly.co.nz – June 10, 2019

“I want to be safe on my farm, I want contractors to be safe and I want my kids to be safe. You need to use the right vehicle for the right job.” RICHARD LOE Farmer, WorkSafe New Zealand ambassador and rugby legend TOUGH STANCE: Dairy farmer Aaron Wilson says farmers appreciate knowing where they stand with Southland Regional Council’s enforcement staff.

Southland tops the enforcement stakes Richard Rennie richard.rennie@globalhq.co.nz SOUTHLAND Regional Council stands out as the top sheriff for resource management enforcement, a report on council enforcement standards says. The independent report found Environment Southland oversaw the greatest amount of fines in 2017-18 under the Resource Management Act of any council, totalling $467,000. That compares to the significantly larger Waikato Regional Council at $334,000 and Tasman at $306,000. Southland claimed almost a quarter of the nation’s total $2 million of fines. It secured 41 convictions, most related to illegal discharges of contaminants to waterways. Of those charged with infringements last year in Southland 54% of the parties were farming related. Northern Southland dairy farmer Aaron Wilson has been instrumental in engaging farmers with Environment Southland and is not surprised at the council’s high strike rate in enforcement. “In fact I do not think that would surprise anyone who farms down this way. “We have had it far tougher than many farmers elsewhere would appreciate. And for dry stock farmers, it is likely to come

as something of a shock when the region’s land and water plan comes into play but for us we have pretty much done a lot of the work, including having farm environment plans.”

Really, when it comes to things like farm environment plans they are the low-hanging fruit dairy farmers have already picked. Aaron Wilson Farmer He said dairy farmers are well aware of the council’s role in being a tough but fair enforcer of the act and significant progress has been made in the past decade, possibly after some egos departed both farmer and council groups. “Really, when it comes to things like farm environment plans they are the low-hanging fruit dairy farmers have already picked. “It has been quite underreported just how far ahead we are in this down here.” Wilson has been instrumental in helping get farmers around the table with a council

wrestling with land use impacts and helping it put up clear, solid regulations for farmers to follow without fear they will be changed in coming months or years. The report identified Southland as having 71% compliance, similar to Northland and Bay of Plenty and ahead of Canterbury on 63% , Otago 60% and Waikato 44%. That, in part, reflects the resources Environment Southland has committed to enforcement. The region has 0.13 fulltime enforcement staff per 1000 people compared to 0.1 in Waikato and only 0.03 in Wellington. Wilson’s Waimea Catchment group initially worked closely with the council establishing science-based understandings of the region’s ground water and elevated nitrate levels that are related to geology rather than farming activity. Despite the collaboration, Wilson acknowledged every Southland farmer’s pulse rate rises when confronted with a visit from Environment Southland staff. “They have come a long way. “But you know that when they visit there is no leeway. It’s a heart-in-the-mouth moment but it does make your job easier knowing exactly where you stand. Not every region gets that.”

worksafe.govt.nz

News

26 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Farmers’ debt must come down Nigel Stirling nigel.g.stirling@gmail.com

The proposals are not the result of some warning light in the bank’s bowels suddenly flashing BANKS say the costs of the Reserve red but more debt and record low interest rates have increased the Bank’s minimum capital proposal banking system’s vulnerabilities to outweigh the benefits and will hit a downturn. rural borrowers the hardest. The Reserve Bank is just one of Deputy governor Geoff Bascand many regulators around the world says it is needed so the banks can asking trading banks to strengthen withstand not just a rerun of the their balance sheets. global financial crisis but remain “As a general rule most of the solvent in a once-in-200 years banks have said more capital financial meltdown. makes some sense … what we are The costs of the last banking doing now is asking do we have crisis are only becoming clear the right level,” he said. more than a decade later so the But the banks say doubling the bank is rolling out significant amount of capital they must hold changes now. from 8.5% of all loans to 16% is too “The costs are higher than much. thought and I am not just They are warning of hikes in including the immediate output lending rates of 80-120 basis costs but also social costs and points – well above the 20-40 basis health problems that come from points predicted by the Reserve deep recessions and suicides that Bank. come from unemployment and Rural borrowers are being the distress that comes with it.” primed by their bankers for the largest increases. The banks say the Reserve Bank already demands proportionately more capital for loans secured Thursday 13/06/2019 against farms. NZ Grain & Seed Trade Assn (NZGSTA) Farms are seen Grains & Pulses Forum as a more risky Time: 9.30am and finishing approx. 2.00pm form of security Venue: Fitzgerald Room, Plant & Food Research Centre, than houses, Lincoln. which historically Registrations: Online at www.nzgsta.co.nz/grains-pulseshave not forum/ fluctuated in price as much. AWDT Understanding Your Farming Business & Wahine Maia, Wahine Whenua If the banks 3 full-day workshops and an evening graduation ceremony have to set aside run over four months. Equips and supports women involved yet more capital in sheep and beef farming to lift business performance. then it will depress Registrations for 2019 programmes are now open, visit the the returns on

agrievents

website for more information and to register. Locations and dates (3 modules & graduation): Christchurch (WMWW): 5 Jun, 3 Jul, 31 Jul & 28 Aug Takaka: 21 Aug, 18 Sep, 16 Oct & 13 Nov Pukehou: 4 Sep, 2 Oct, 30 Oct & 27 Nov Masterton: 5 Sep, 3 Oct, 31 Oct & 28 Nov Clinton: 11 Sep, 9 Oct, 6 Nov & 4 Dec Lawrence: 12 Sep, 10 Oct, 7 Nov & 5 Dec

Neal Wallace neal.wallace@globalhq.co.nz

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rural loans further and force them to increase interest rates to compensate or cut back in favour of lending with less onerous capital requirements. Two decades of easy credit providing a tail wind to rampant farm price inflation and a just-asspectacular run-up in rural debt could be about to be brought to a screeching halt. But if that happens it won’t be because of the new capital requirements, Bascand said. “There are some historical issues here where rates of return have been below those in other sectors and they appear to be considering now whether what they have tolerated for some years is something they have less tolerance for.” Instead, any tightening of the screws will be caused by banks reassessing their exposure to high farm debt because costs are rising and dairy commodity prices have passed their peak. “There is a lot of reassessment going on about what is the future of the agricultural sector. “Are returns temporarily lower or are they structurally lower … are they going to be lower over time because the cost side has gone up for irrigation or environmental reasons?” The banks and regulator agree

STOP IT: Previous regulations have given the Australian banks a competitive edge over New Zealand lenders, Reserve Bank deputy governor Geoff Bascand says.

the proportion of the farming sector funded by debt must come down. The Reserve Bank’s May Financial Stability Report noted 35% of dairy debt is held by farmers with borrowings of more than $35 a kilogram of milksolids. “On average these highly indebted farms require a price of $6.20/kg of milk solids just to break even,” the report said. Bascand said those farmers are the most vulnerable to falling prices and higher interest rates. Those same farmers will struggle to afford environmental improvements to their properties increasingly demanded of them by local authorities and will need new equity to fund them. “Some of them have got more corporate structures and it is easier to put in outside equity.

“I do not think there is a general answer except the generality is not always debt.” That isn’t to say there will not be debt available to farms with strong business cases for new investment and good levels of equity. That debt is also increasingly likely to come from outside the large lenders farmers have been used to dealing with. The Reserve Bank is looking at ways of evening up the advantage the big four banks have been able to get from using their own models to calculate the capital they hold. That let the Australian-owned banks lend with less capital than their local rivals. Under the proposal the big four banks will be required to hold at least 90% of the capital per dollar of lending held by the smaller lenders. Increased competition will help farmers get sharper rates and partly offset any increases in interest rates caused by the new capital proposals, Bascand said. “There are definitely some banks that have an appetite for growing lending in this area while some are making strategic decisions, saying they have got quite a large ag book which they now think is making a return that is less than the cost of capital and do not want to grow it any more.” While borrowing might cost marginally more under the proposals the benefits will be stronger banks able to keep the money taps flowing through good times and bad, Bascand said. “Would farmers pay something for credit to be available on a more sustainable basis? We think they would.”

Rural birthing dangers come true

Website: To register visit www.awdt.org.nz/programmes. Contact: keri@awdt.org.nz or 06 375 8180 for more information.

Action Network Fundamentals and Extension Design 2019 workshop dates: Gore 10-11 July Havelock North 24-25 July Christchurch 20-21 August For more information or to register go to www.rmpp.co.nz or email training@rmpp.co.nz

The banks and regulator agree the proportion of the farming sector funded by debt must come down.

Prime Minister Jacinda Ardern says she will “have another look” at maternity services in rural Southland after a pregnant woman was forced to give birth in an ambulance on the side of the road. The Prime Minister reviewed services last year and at her post-Cabinet press conference on Monday says she was happy to do so again. Warnings by the Southland community of dire consequences from a Southern District Health Board decision to reduce maternity services at Lumsden, came true when an expectant mother gave birth during a 100km dash by ambulance to Kew Hospital in Invercargill. The community has for a year unsuccessfully asked the Southern District Health Board to reverse its decision to downgrade services, including holding

a march and delivering a 5000-signature petition to Parliament. The community and National’s Clutha Southland MP Hamish Walker have also lobbied Health Minister David Clark and Walker wrote to Prime Minister Jacinda Ardern asking her to intervene and reinstate full maternity services at Lumsden. He says it will cost less than $200,000 a year. Following a review of birthing facilities, the board last year announced plans to replace the Lumsden Maternity Hospital with Maternal and Child Hubs in Te Anau and Lumsden, a move rejected by the community who want Lumsden retained as a primary birthing unit. The board’s report at the time says the unit handled less than one birth a week and the new hubs will focus on antenatal and postnatal care and facilities for urgent births. Ardern told the press

conference that she discovered last year before the board reviewed services, that women chose to go elsewhere to give birth because the Lumsden facility did not offer full maternity services such as epidurals. Chief executive Chris Fleming says in a statement that while he is pleased the mother and baby are doing well, emergency transport is part of the primary maternity system of care and transporting expectant mothers in labour is part of rural emergency ambulance services. “The Lumsden facility is not a planned place of birth but the equipment is in place to conduct a birth in cases of emergency or rapid progressing labour and for stabilising a patient until emergency transport arrives. “Equipment on site includes medications and fluids for emergency situations as well as a neonatal resuscitaire to assist establishing breathing.” Fleming says the board

is implementing and monitoring its network of services and this incident will be part of an evaluation of services. Walker disputes this saying the midwife made the call for the mother to go to Kew Hospital because the neither hub is fully operational with fundamental emergency equipment, such as oxygen, missing. Walker has written three times to Health Minister David Clark, the most recent on May 9, seeking action to improve services and warning of the risk to mothers and their babies forced to travel up to 130km from Te Anau to give birth. Clark has said the issue is an operational matter, but Walker told Ardern that her minister can intervene when an operational issue such as this has been brought to his attention. Walker told Ardern rural people are being discriminated against and reinstating full services would contribute towards equality.

A competition for the tough and wiry

o say fencing competitions are hard graft is an understatement. Where else would you spend six hours running up and down a paddock to install a 50-metre, nine-wire post, wire and batten fence? That’s exactly what eight fencing contractors will be doing at this year’s WIREMARK® Golden Pliers®. This is the much-coveted Singles Championship and the finals will be held at the Mystery Creek National Fieldays 2019. It represents the kings of the fencing industry with New Zealand’s top competitors vying for the title and the unique Golden Pliers trophy. A wire as strong as the competition With multiple world champions among its ranks the New Zealand fencing community is among the best in the world. So it makes sense to have the backing of a strong, locally produced fencing wire. And that wire is WIREMARK® – as tough and wiry as the competitors. Pacific Steel’s WIREMARK® fencing wire is the only locally-made wire in New Zealand. Pacific Steel has been manufacturing fencing wire for over 50 years, launching the WIREMARK® brand as a quality assurance mark so suppliers and buyers can easily differentiate it in the market. A proud history of winners Previous WIREMARK® Golden Pliers® winners have gone on to be recognised as fencing industry icons with names like Bill Schuler, Ernie Shicker, Neville Prince, Allan (George) Schuler, Trevor Woolston, Paul Van Beers, Owen Petersen and Wayne Newdick. Last year’s competition was as hard-fought as ever – but with an interesting twist. Four-times winner

and defending champion Shane Bouskill lost the title to his son. Tony Bouskill, 28, won the title in an eightman final at the National Agricultural Fieldays. Tony was first to finish, taking 5 hours 20 minutes for the 50 metres fence-and-gate job with 14 line posts, about 40 battens and nine wires. It was almost an hour quicker than his father but after seeing the judges gradually knocking off points he had to wait until the official announcement to know he’d claimed the top prize. Competitions are scored on a demerits system with points lost for a range of technical and quality aspects from strainer post depth and batten spacing to wire tension and knot consistency. Additional demerits for tidiness and safety infringements can also be incurred and time penalties are added for every minute after the first competitor finishes the line. How can you get involved? Competing with the best fencers in the world can be a daunting prospect to most but getting started in competitive fencing is something few competitors ever regret. Fencers who have been involved in competition will tell you there is no better way to learn techniques and tips and trade proven practices than by testing your skills against those in the know. For many years fencing competitions have enabled young and old to learn from the best in a competition setting while proving themselves in the process. With regional competitions throughout the country, WIREMARK® and New Zealand Fencing Competitions (NZFC) encourage any competitor, young and old, to give it a go and try their hand at competitive fencing. We’re sure you’ll never look back.

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MADE TOUGH AND WIRY IN NEW ZEALAND

News

28 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Rural mental health lacks detail Richard Rennie richard.rennie@globalhq.co.nz RURAL health supporters and agencies are not holding their collective breath for a major windfall from the Government’s massive $1.9 billion mental health package in the Budget. The mental health package is to be spread over five years and includes $455 million to expand access to primary mental health and addiction support, particularly for people experiencing mild to moderate mental health issues. But Rural Health Alliance Aotearoa New Zealand executive director Marie Daly said so far there is only resounding silence from government agencies about where rural mental health sits in regard to the money. Rural mental health has become a pressing issue with statistics recording 20 farmers taking their own lives in the year to June 2018, a figure relatively unchanged over the past five years. Rural health providers are also reporting significant increases in rural depression and mental health issues. Daly said the Alliance worked with all rural health providers to develop a framework, completed in 2017, for improving rural mental health and addiction outcomes. “This has provided a comprehensive framework, all signed off and agreed to, that includes funding for support agencies like rural support trusts,

the Good Yarn programme and employer guidelines for staff. It is all there. “It would simply be a case of funding coming through this framework. There is no need to go and rework it.” However, so far those agencies have been met only with silence and Daly is less than optimistic about how much money will flow to rural areas.

Nor is there any indication in the Government’s mental health review that Government is cognisant of dealing with the mental health challenges in rural New Zealand. The review was held up by Maori issues around the issues but rural NZ remained absent. Marie Daly Rural Health Alliance

“Nor is there any indication in the Government’s mental health review that Government is cognisant of dealing with the mental health challenges in rural NZ. The review was held up by Maori issues about the review but

rural NZ remains absent.” However, given it is early days in the funding allocation she hopes the Health Ministry will listen to rural voices when it puts together a plan to allocate the cash. “The population of rural NZ makes it equivalent to the country’s second largest city in size, with the same diversity and challenges of any urban centre. “We can’t have a uniform approach taken that treats all rural areas the same.” The mental health framework found rural primary care services are overstretched, often propped up by locum doctors from overseas with little understanding of rural NZ’s unique demands. The Alliance believes rural doctors and hospitals are often the key supports for mental health patients. “Often the level of acuteness they face is more extreme in more remote areas, yet their tool box is often more limited. “There is often a time delay in treatment so you need a primary care team that is well supported and capable.” The Alliance worked with rural health professionals to put together the only suicide prevention training programme ever developed in NZ. “This had rave reviews but when Ministry of Health stopped funding it, it stopped after two years.” Daly hopes for greater investment in rural communications to better aid rural health professionals

MENTAL: Rural Health Alliance executive director Marie Daly hopes to see rural mental health included in any funding allocation.

grappling with patients’ mental health challenges. “Connectivity is still very much an issue. “In Martinborough where I am from it is $40,000 to get fibre down the practice driveway and $70,000 to get it into the hospital.” Rural Support Trust chairman Neil Bateup said he has also had no indication of any more funding coming the trust’s way. “Rural has been an area where it seems it is hard to get support for people. Even if the funding went directly to those agencies who provide the services, that would be great. Six to eight weeks to get

a counsellor for someone with problems, you have to ask what is the point?” But Mental Health Foundation chief executive Shaun Robinson is confident rural mental health issues will get attention, with the detail yet to be determined. “If you look through the Budget it acknowledges one size does not fit all and rural is one of the target groups specified. This new layer of services will be based around a community service level. “Overall, I am quite encouraged that the Government has listened to the diverse needs and has responded.”

Alliance creates 35 new jobs at its Dannevirke plant ALLIANCE is investing a further $1.4 million at its Dannevirke plant for greater efficiencies in processing. It is re-configuring processing operations and investing in more technology, bringing total

investment at Dannevirke to $12m in the past year. The improvements to the plant’s lamb and sheep processing capabilities will increase capacity by 20%. The company will re-configure

product flows, install more vacuum packaging capacity and introduce more downstream labelling and strapping equipment. As a result of the changes Alliance expects to employ

cutting machinery at Dannevirke last year. Chief executive David Surveyor said the investment is part of the co-operative’s Manufacturing Excellence Programme designed to meet the needs of North Island farmers.

about 35 extra staff at Dannevirke. It marks the next stage in the company’s investment in the area and is on top of Alliance investing $10.6m in the latest robotic primal and middle

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Moving onwards and upwards Top dairy woman

Celebrating the indu stry’s top farmers

The latest Dairy Farmer hit letterboxes on June 3, have you read yours?

Our On Farm Story this month features Northland farmer Guy Bakewell who is generating extra income through a raw milk vending machine.

Farm liquidity Northland farmer goe s back to basics sell ing raw

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Decisions It’s the talking made. keeps you safe Made mobile. News

farmersweekly.co.nz – June 10, 2019

This profile is part of a seven-part series from WorkSafe sharing the health and safety approaches taken by the grand finalists of the 2019 FMG Young Farmer of the Year competition. Over seven weeks we are sharing profiles and short videos about each of the finalists and how they incorporate health and safety into their work.

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CONSTANT: Thinking safely has to be part of how every farm job is approached, Young Farmer of the Year finalist Georgie Lindsay says.

I grew up with health and safety being part of everything we did on farm. Georgie Lindsay Young Farmer very clear on how they expected us to behave on-farm around health and safety. “It was the same at AgFirst. There were clear expectations with very specific requirements for when we went on-farm, such as wearing our helmets even if the farmer didn’t and taking our own vehicles where possible. At Marble Point the approach to safety is much like her parents’ approach. As well as

having the hazards mapped, conversations about health and safety are ongoing. “We have conversations about how to mitigate the hazards. Things like, ‘take the bike rather than the truck on that track’. If something is essential we will work out the safe way to approach the job but the message is very much ‘If it isn’t safe and it’s non-essential then leave it until it can be done safely’. “The tracks have just been graded to stop rain gouging them out and that makes a big difference. “You need to take those steps, have your risks mapped and have your processes written down but you need to keep on having those conversations that will help to keep you safe.” >> Audio link: bit.ly/fwgeorgie

RAV-HE10JUN-FW01

OVER the 2017-18 winter FMG Young Farmer grand finalist Georgie Lindsay mapped all the hazards on the farm where she works as a shepherd and put them into FarmIQ. “That included the fact we have pylons running right through the farm, we’re on a main road so have to move stock across that sometimes and we are in steep hill country with tracks that can be hazardous and super dangerous if wet and slippery,” Lindsay, who is the first woman to hold the Young Farmer Tasman title, said. “However, having the hazards mapped isn’t really enough. “For me, it is all about looking out for one another on the farm and about ongoing communication about safety. I feel very strongly about that.” Lindsay grew up helping on her family’s sheep, beef and deer farm in central Southland. After getting an agricultural science honours degree from Lincoln University she did an internship with AgFirst in Feilding. She then took up a scholarship overseas, extending that to travel in Europe. Back in New Zealand she worked on a tailing gang then on a sheep and beef farm between Cheviot and Kaikoura before becoming a shepherd at Marble Point Station near Hanmer Springs. The property is 2400ha and runs 3600 ewes and 380 Angus breeding cows plus heifers. “I grew up with health and safety being part of everything we did on farm,” she says. “It wasn’t formal back then but my parents are extremely safety conscious. There were constant conversations and awareness. They made sure we knew about the hazards and if we were doing a job we’d talk about doing it safely. “Just things like ‘don’t drive up that hill, it’s slippery’ or ‘keep well away from the moving parts on that’ or just letting us know about the potential dangers of working with animals. They made health and safety part of business as usual.” Lindsay was introduced to more formal aspects of health and safety at university. “We did practical work every summer, ticking off different aspects of farming. I did lots of sheep and beef and some dairy. I found dairy farms tend to have strong health and safety processes in place. They provide very good inductions and are

News

30 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Want to feed the world? Just Luke Chivers luke.chivers@globalhq.co.nz LOBSTERS are not pretty. Dip these unsightly creatures into warm butter and they instantly become a different matter to most of us. Why, then, do we gag at the thought of eating insects? One New Zealand researcher hopes to change that. Auckland University of Technology senior lecturer and registered dietitian Dr Caryn Zinn is exploring how insects and other alternative proteins might be used or added to a range of specialty foods. So, why turn to bugs when you could have, say, a tasty steak? Quite simply because conventional livestock alone will not be able to sustainably meet the global demand for meat so alternatives are needed to complement traditional protein sources, Zinn believes. “The nutritional profile of these little critters is amazing,” Zinn told a hundred guests at a Blinc Innovation sustainable protein event at Tai Tapu near Christchurch. And the evidence is on her side. Nutritional studies have shown insects to be a good source of protein though fat and vitamin content vary across species. Wairarapa cricket farm Rebel Bakehouse is the first of its kind in New Zealand to produce 100% locally sourced cricket flour. Otago Locusts founder Malcolm Diack bought 1000 locusts on Trade Me in 2009. He’s since bred them to a whopping 20,000 in two shipping containers on his suburban property in Dunedin City. He sells the locusts to restaurants, zoos and consumers around NZ. He sells up to 1000 locusts a week to restaurants.

PANEL: Dr Caryn Zinn, left, Maury Leyland, centre, and Governor-General Dame Patsy Reddy with and Rod Oram at Blinc Innovation.

Diack is also growing wheatgrass on his property to absorb/offset the carbon emitted by the insects. Entomophagy, the scientific word for eating insects, is common in at least 113 countries, according to a recent British Nutrition Foundation study. And with more than 2000 edible species insects have won the approval of the United Nations, which recommends them as a

potential solution to the global food shortage. Add to that they’re environmentally friendly and can be produced with just a fraction of the gas emissions that go into livestock production. But getting rid of cows and shifting to an exclusively plantbased or insect-based diet isn’t the answer, Zinn said. “Animal protein should stay on the plate. Vegetables should be

there too, of course. What we need to do is diversify how we get our nutrients.” There is a simple reason for that. “When you compare plantbased protein with animal-based protein, animal-based protein wins hands down,” Zinn said. “It has nutrients such as iron, vitamin B12, vitamin A and omega-3 fats that you just don’t get in substantial quantities

from plant-based foods. In fact, you don’t get vitamin B12 in any quantity from plants.” Hidden hunger affects more than two billion people, globally. The cause is a chronic lack of essential micronutrients such as vitamins and minerals. And the rapidly growing movement of veganism is adding to that malnutrition. “People change from animal protein to plants and they

Decisions grab some grub made. Made safe.

don’t realise the nutritional consequences. “A plant-based diet is nutritionally inferior and I think if we were to move this way we would not only see an increase in chronic disease but also micronutrient deficiencies.” So, could lab-grown meat be part of the solution? Zinn has mixed feelings. “You could actually say that lab-grown meat is processed food, if you like. “A move toward decreasing the amount of processed food is where I would like to see things go.” It is a timely statement because in a surprise move Fonterra has invested in Motif Ingredients, a Boston biotech start-up that plans to use genetic engineering and cultured ingredients to create lab-grown alternatives to egg, milk and meat proteins. But the co-op is walking a careful line – assuring farmers cows’ milk remains its priority and insisting it is not clear cattle-free protein will be more environmentally friendly. Zinn said any effort to reduce food waste should be a higher priority for the sector. “A third of our food production for human consumption is wasted. “And I don’t see it having a voice in the conversation around feeding the growing population. So, while we’re doing a lot to reduce carbon emissions, especially here in NZ, I don’t think a move away from eating meat is the answer. “It’s about what happens when meat is purchased. “I think if there was less going into tragic, processed foods and more going onto the consumers’ plate that would be ideal.” Certainly, the stresses on the food system are snowballing

farmersweekly.co.nz – June 10, 2019

as the world looks to feed close to 10 billion people by 2050. And questions are being raised over how NZ will produce enough food while achieving its national sustainability goals and reducing greenhouse gas emissions. Governor-General Dame Patsy Reddy, who has an interest in sustainability and innovation, attended the event and said she is optimistic about NZ’s ability to overcome the hurdles.

Too often meat has been pushed into a little corner. I think farmers need to be more vocal about the good things they are doing to help save the planet.

Dr Caryn Zinn Auckland University of Technology “We have always thought of ourselves as an ingenious nation. “The issue of feeding an increasingly overpopulated and overheated planet offers many challenges but also opens up opportunities.” NZ is ideally placed to show leadership in sustainable protein, Reddy said. “If we are going to be realistic about achieving our carbon footprint and our global warming challenge then we are going to have to look at new ways of production and new ways of using our land and our resources. “You listen to some of the

farmers today and they’re looking at doing things differently. We can’t do things the way we’ve always done them, everything changes. “We’re very adaptable, we’re very versatile, we just need to accept those changes and realise that protecting the land and our waterways for future generations is fundamental to what we do,” Reddy said. Regenerative farming enthusiasts have been making that point but it seems to get lost in the Silicon Valley hype around alternative proteins. “From what I hear there is an immense amount of good things going on so I can certainly see how we could move forward together,” Zinn said. “Too often meat has been pushed into a little corner. “I think farmers need to be more vocal about the good things they are doing to help save the planet.” Zinn believes a global reappraisal of what can constitute healthy, nutritional and safe food for all is needed. An overpopulated world is going to struggle to find enough protein unless people are willing to open their minds and mouths to a much broader notion of food, Zinn said. It brings a whole new meaning to grabbing some grub for lunch. Perhaps, a commercial sausage made from maggots? Extra onions, please – and pass the tomato sauce.

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Listen to Farmers Weekly journalist Luke Chivers speak to NZ Governor General Dame Patsy Reddy and AUT senior lecturer Dr Caryn Zinn

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CONCERNED: People change from animalprotein to plants and they don’t realise the nutritional consequences, Dr Caryn Zinn says.

RAV-HE10JUN-FW02

News

32 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Newsmaker

Women ready to meat challenge Ashley Gray is passionate about creating impactful initiatives and has been instrumental in launching Meat Business Women in New Zealand. She talked to Annette Scott about her passion for women in the meat sector.

ELF-CONFESSED social addict Ashley Gray, passionate about initiatives challenging the norm, is proud and privileged to work in New Zealand’s beef and lamb sector. The general manager of Auckland-based Beef + Lamb NZ is responsible for domestic marketing, loves to be challenged and is constantly in search of inspiration. Last month she was instrumental in launching the professional networking initiative, Meat Business Women (MBW) and is excited about the positive challenges it will have for women seeking meat industry careers. MBW wants to develop the image, culture and landscape to make the industry more attractive to female talent. “We also nurture new female entrants into the sector through networking, education and mentoring,” Gray, the inaugural chairwoman, said. Gray, 29, was born in Britain but raised on Auckland’s Hibiscus Coast. The then firmly city girl left Auckland University in 2011 clutching her communications degree, majoring in public relations. Part of her course involved a session where the she was paired with mentors and while she saw herself as initially wanting to work for a glossy public relations agency, she was paired with B+LNZ chief executive Rod Slater and staff member Tanya Hart. During her six months with them she shaped her future career in the red meat sector.

She took a one-year placement with B+LNZ and to her surprise found she loved the work. “I fell in love with the people in the industry and the opportunities for work and I haven’t looked back since. “I am very proud to say I work in the meat industry.” It was her work in the meat industry that took her as a delegate to the International Meat Secretariat (IMS) in Uruguay in 2016.

If we want a thriving industry change needs to happen quickly through innovation, cultural shifts, challenging perceptions and a whole new approach to how we think about our sector. Ashley Gray Meat Business Women “It was there I met with the most incredible woman, Laura Ryan. She founded MBW in 2015 and presented her talk about what led to this, how she was sick of being just one of a few women in the industry.” Ryan and colleague Pamela Brook worked for Britain’s Agriculture and Horticultural Development Board when they

came up with the idea to attract more women into the meat industry. Their MBW quickly gained traction in Britain. “Laura motivated me that day. I was really inspired by her and she became someone I have connected with over time and now for me she is a business and personal mentor,” Gray said. She was involved with Ryan in the launch of MBW in Australia earlier this year, joining Ryan and Australian chairwoman Stacey McKenna as the initial threesome on the fledgling global council. MBW will have branches in the United States, Canada and Brazil this year. “Once I began on this journey the interactions I had with women working in the supply chain were, for me, revolutionary. “Women in our sector are incredibly passionate. They are forward thinkers, conversation starters, game changers, shakers and movers and, I believe, collectively have a huge role to play in shaping how the meat industry is perceived and operates in years to come,” Gray said. “I can see how a young woman looking to choose her career path could overlook this industry. “I almost was that woman eight years ago but I’ve had some unforgettable experiences and opportunities to create change. “I know that if we can develop an environment that attracts talented women into our industry and nurture their development the whole sector will reap the rewards.”

MADE IT: Eight years ago Ashley Gray was almost the young woman who overlooked the meat industry as a career path.

“If we want a thriving industry change needs to happen quickly through innovation, cultural shifts, challenging perceptions and a whole new approach to how we think about our sector. “Research shows us that having more gender diverse company boards and workforce facilitates enhanced financial performance and governance. “As someone who is passionate about the meat industry I know we can make a positive impact

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with Meat Business Women,” Ryan said. Gray said “Women do have a different way of thinking and networking and we do have a lot to offer, especially now when the industry is going through so many challenges. “The world is changing and that’s exciting. Gray is also strategic director of Retail Meat NZ and chief executive of the World Butchers Challenge.

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New thinking

farmersweekly.co.nz – June 10, 2019

Decisions made. Made easy.

Solving the sticky fruit stickers snag They’re small but stickers on fruit, which are generally made of plastic, have a negative environmental impact. Luke Chivers spoke to three youngsters who want to change that.

AMBITIOUS: For something that seems so insignificant, many people underestimate the impact plastic fruit stickers have on the environment, Uble’s founders say.

from Plant and Food Research. Apple exports rose to $732.9 million in 2018 from $691m in 2017. Hawke’s Bay alone exports 2.4 billion apples a year, making the little labels add up to a big environmental problem. “That’s a lot of fruit stickers,” Rookes said. “And most of the time they’re ending up in the ocean, in landfills or in compost bins so just don’t go away.” Wixon said for something that seems so insignificant many people underestimate the impact it actually has on the environment. “This problem doesn’t only affect the apple industry; it affects all other fruits.” Traditional compostable stickers are available but they will not compost in backyard operations, only in commercial composts and growers do not like them because they cost 30% more. However, the Uble has no lasting impact on the environment whatsoever, Uble said.

CLEVER: The Uble is a plastic-free, biodegradable, warm-water soluble alternative for the plastic fruit sticker.

The prototype is already making waves in the industry with some keen to help develop the idea. The concept helped the Bayuble team win the Hawke’s Bay region’s 2018 Young Enterprise Scheme award. Meanwhile, in October, they received the Fourneau Award at the Hawke’s Bay Fruitgrowers’ Association industry awards evening. And in April, the group shared their idea with more than 600 people at the Boma Grow 2019 Agri-Summit in Christchurch. Pipfruit NZ chief executive Alan Pollard thinks the watersoluble labels will be quite a popular idea among consumers. “We are certainly getting feedback from our markets and from consumers that they would like to see a more sustainable solution to labelling and this is a great idea to go with it,” Pollard said. Now the trio are studying at universities around the country but their effort to commercialise their prototype is far from over. “It’s definitely a challenge trying to balance being full-time university students with doing this part-time but it’s something that we’re genuinely so passionate about,” Wixon said. “There wouldn’t really be anything that would stop us from doing it and doing it to the very best of our abilities. “We’re looking at plenty of options for our prototype and how to take it further. Our main goal is to get it into supermarkets and on every piece of fruit.”

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RAV-HE10JUN-FW03

ILLIONS of fruit stickers go into the environment every year and now three 18-year-old tertiary students have a new idea that has industry excited. The Bayuble team comprises three 2018 graduates of Woodford House – Maggie Peacock, Sarah Wixon and Zoe Rookes – who decided to extensively research and solve a sticky plastic problem in the fruit industry. Their creation – the Uble – is a plastic-free, biodegradable, warm water-soluble alternative to the plastic fruit sticker. “We wanted to help solve a big issue in our community,” Wixon said. “Our product is warm watersoluble so it encourages people to wash their fruit. “It’s home compostable so it doesn’t require any hightech equipment for it to be biodegradable and it’s made of natural ingredients so it’s edible, of course. “It can also withstand supermarket misters.” Fruit stickers might seem useless at first glance but are important, containing a price look-up number so the fruit is easily identified by checkout staff. In New Zealand the pesky little stickers have been made of plastic for almost 70 years. “No one had been offering solutions,” Peacock said. They hope their plasticfree, biodegradable sticker will revolutionise how fruit is labelled. “We have been in touch with intellectual property lawyers and patent attorneys. Hopefully, we can get that fast-tracked so we can keep our idea safe,” Wixon said. And while the make-up of their material is a trade secret what the students can reveal is the label is 100% natural and made from an apple byproduct. “Because it’s a 100% natural product it will just be going into the water stream. It doesn’t affect anything at all,” Peacock said. The NZ apple industry remains extremely competitive, according to the latest Fresh Facts report

Opinion

34 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

EDITORIAL Our future is in diversity

OVING day is over but this week farmers from across the country will make that other pilgrimage – up or down State Highway 1 to Hamilton then that long morning trudge through the fields and fog to Mystery Creek for National Fieldays. It’s the biggest marketplace in New Zealand agriculture and vendors will probably be feeling pretty good about making a few sales. And why wouldn’t they? Prices for our products are looking good with a relatively stable milk price, good returns for lamb and beef and horticulture holding up as the rock star of the sector. But there are reservations in the sectors as well. Statistics released last week show dairy farmers are failing to make a dent in their mortgages, in fact the sector’s debt is rising. Farm expenses are on the up as well. Sheep and beef farmers are banding together to confront the spread of forests as big investors swoop in looking to make a buck in this changing, carbon-savvy economy. The theme of Fieldays this year is cultivating value and there are still myriad opportunities to do that on the land. But it might take some different thinking than we’ve seen in the past. Twenty years ago as the white gold rush kicked off we saw wholesale conversions and big systems changes. Before that we had the first forestry boom. As things stand now we could see a second but another rush of wholesale change isn’t the answer. The tea leaves surely tell us diversity is the key in the new world where every farm is scrutinised and every purchase is considered. Trees and livestock can coexist and contribute to a story worth telling, both to our cities and the world. But to cultivate that value we need a rich topsoil. That means the economic and regulatory framework must be sound. If farmers are forever looking over their shoulders for the next regulatory storm that value will be lost in the wind.

Bryan Gibson

LETTERS

More letters P38

Go native after a billion trees YOUR front page article on speculators investing in forestry land raises the issue of the unintended consequences of the Government relaxing the rules around overseas investment in forestry and the availability of subsidies to those investors to enable them to establish their forests. We can probably live with the Billion Trees programme espoused by Shane Jones – it is the six or eight billion that will come after if the Government continues with its misguided offsetting policy that are the worry. Given it is anticipated most of this planting will be done by offshore investors this policy in effect grants those investors the right to tithe the New Zealand economy.

NZ already has a big enough problem with foreign investors holding interests in NZ about four times greater than New Zealanders hold overseas with the consequent imbalance of profit repatriation – the payments made for carbon credits will be a gross sum, not net profit. There is a solution. Once the commitment to plant a billion trees has been reached restrict any further provision of subsidies to the planting of native species only and remove any dispensation from overseas investment rules for entities wanting to buy land for forestry, with the specific intent that to the greatest extent possible any payments made for carbon credits remain in NZ. Bill Wrigley Dunsandel

Trick missing LOCAL government in Canterbury missed a trick by allowing the proliferation of irrigators to convert land to a higher intensity without a rule that screens irrigators from the road.

Now, it seems, authority is missing another trick by not allowing us to offset our own emissions by creating emission sinks on our own farms. Perfect recycling occurs when we use the newspaper to light a fire and not by sticking the newspaper in the recycling

bin. We, as taxpayers, via our previous government, were allegedly stung by buying some non-existent Russian carbon credits a while ago. To send money offshore is just to lose it. So, we have a billion trees to plant and Forestry New Zealand head Julie Collins says that will take up 3% of farmland if it only farmland is used. That is not a lot. The photograph shows a small team of volunteer planters from Christchurch freely planting trees on my neighbour’s farm for no gain and no reward in an area of farmland that is as intensive as it can get. We did 450 trees that day. It was a wonderful day. The town came to country with shared purpose and real harmony.

Continued page 38

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Lessons from last trees boom In an open letter to Regional Development Minister Shane Jones Richard Alspach of Dargaville weighs up the interest in and concern about the prospect of blanket tree planting on farmland and gives the benefit of his experience.

OUR plan to plant billions of trees has certainly raised a lot of interest and not a little concern. I read of a new lobby group, calling itself 50 Shades of Green, which has a growing concern about the continued viability of rural communities. In Kaipara we’ve seen it all before. In the early eighties the government under Prime Minister Rob Muldoon approved a joint venture between Shell Oil, an overseas company, and New Zealand Forest Products, then NZowned. It was called Mangakahia Forests and intended to establish a 25,000ha forest, largely in the north of the old Hobson County, since 1989 a part of Kaipara District. It managed to secure 22,000ha, displacing 250,000 stock units and bought up 83 farms. In a very short time it transformed the district and its economy. There used to be three topdressing aircraft in Dargaville, almost overnight it dropped to one. There used to be regular ewe fairs but within two years there were none, the number of shearers dropped off, some country schools closed and others were seriously downsized. The loss of so many stock units so quickly was a factor in the downsizing of the Moerewa freezing works. The rate take from the 22,000ha dropped significantly once the land became rateable as exotic forestry I was the local Federated Farmers president and later became involved in local body politics as a Kaipara District councillor. We learnt some lessons along the way. What we learnt and what we experienced and what still hasn’t been sorted out should help you in pursuing your goal of a billion trees with minimal impact on rural communities. There is even a possibility the impact can be positive if it is managed right. Lesson one: The concerns of local residents were right, as was a study commissioned by the then Northland United Council. It found the short term economic and employment prospects for the local economy were substantially negative unless the forest management included a full silvicultural regime and a processing plant was built locally. Neither happened, though they were promised, and the impact was negative. It also forecast any profits would go out of the district. And they did. They also went out of the country because the joint venture became totally foreign owned.

The

Pulpit

BEEN THERE, DONE THAT: Northland farmer and politician Richard Alspach says if the lessons are learned from past forestry experience then the Government’s Billion Trees programme might even have a positive impact.

Lesson two: All forecasts about the impact of logging traffic on our roads were understated. I still have studies commissioned nearly 40 years ago concluding the impact of forestry on Northlands Roads would be beyond the capability of the ratepayer base to pay for it. Similar studies have been done elsewhere in the country with similar conclusions. Here are two examples to make the point: In 2000 when serious logging of the forests in Pouto started, Kaipara District Council was faced with an impossible situation. Roading took up nearly 60% of the council’s budget with a network of 1500km. The Pouto Rd was 60km long. But with logging started and the road deteriorating fast, that 60km, 4% of the total, was set to take nearly 20% of the budget. Fortunately, the then Labour government came to the party with funding. That road upgrade has lasted until now but Pouto Rd is a major problem again. Northland Regional Council says 60% of all heavy traffic on Northland roads is logs or wood products. Those figures tell the story of road use and damage but not contributions. Logging Trucks pay only 75% of the road user charges of other heavy traffic because they piggy back their trailers on the empty return trip. Ratepayers money partly pays for road but forestry pays very in rates. In Kaipara exotic forestry covers 14% of the land area but pays less than 2% of the rates. Clearly, there is an imbalance that urgently needs addressing. The status quo is not sustainable. Lesson three: More of an observation really. You and several MPs have consistently railed against traditional pastoral and horticultural industries for being too commodity based. Fair enough, at least in part, but it is curious you should promote a massive land use change to

production that is the ultimate commodity. The timber industry, apart from domestic trade, exports logs to predominantly one market. Both meat and dairy sectors export to more than 100 countries with an ever-increasing range of diversified products. They both still have significant local ownership, with structures that allow profits to return to the areas in which they were generated.

There is even a possibility the impact can be positive if it is managed right.

Lesson four: We don’t promote enough what we do well. Let’s take it as read we must move rapidly towards carbon neutrality and trees, to varying degrees, sequester carbon. What is not promoted enough is the potential of NZ soil to build up organic matter to also sequester carbon. Soil’s potential is probably greater than that of planting trees. Slightly tweaking traditional management systems can result in build-ups of organic matter and cut run off. I understand the problem is accurately measuring this buildup but it can’t be technically impossible. If we can measure water use and effluent discharge using space technology, surely it’s not too big a step to measure carbon/organic build-up in the soil? Lesson five: Since harvesting in the Mangakahia area started in earnest, about 2002, the Northern Wairoa river has been silting up at the rate of 3mm a year. Local observers claim it is more.

Some is clearly caused by agricultural practices but they are improving quite dramatically. Forestry degradation at harvest can be horrendous. Recently introduced best practice regulations will help but the nature of harvesting will always make it problematic. Lesson six: Central government decisions or lack of decisions causing rapid land use change are dumb. Allowing the take-over of good farmland by a 50% foreign-owned entity for conversion to forestry was as dumb as allowing some of the North Islands central forest land to be clear-felled for dairying. The land taken over by Mangakahia was good farmland, the average stock carrying capacity was 12 stock units a hectare. Some was down around six or fewer and was clearly better off in trees, either permanently or as a crop. Lesson seven: Farmers are not averse to planting trees or land use change if it is profitable and necessary. But the message must be consistent. Some of us can remember governmentinitiated schemes such as Landel (land development loans) or LIS (livestock investment scheme), which resulted in some questionable pastoral developments though that land was eventually returned to trees using FEG (forestry encouragement grants). Early this decade farmers showed some enthusiasm for converting low-performing pasture to trees to accrue carbon credits. The maths promoted said carbon credits at $15 would be considerably better than farming land with only 6su/ha. This enthusiasm was built up by some regional councils and Beef + Lamb NZ only to have their efforts scuttled by the then government,

which effectively collapsed the carbon market by letting people buy highly questionable overseas unit. To her credit Paula Bennett was working hard to re-establish trust with land owners when the election curtailed her efforts. Now it is up to you and your colleagues in the coalition to make sure the mistakes of the past are not repeated. Conclusion: The forest industry is here to stay and the need to move towards carbon neutrality is beyond doubt. The maintenance, indeed enhancement, of farming infrastructure is critical for the future well being of the regions. Showing some of the lessons have been learned or are being addressed is critical if the trust of landowners and public is to be gained. There is room for the Billion Trees. But it should be promoted as well as rather than instead of existing pastoral activity. We would all feel more comfortable if you were seen to be just as tough on the addiction people have to ever-increasing use of fossil fuels as you seem to be on livestock farmers. It is appreciated that you are a minister who likes to get things done, with little patience for bureaucracy, but sometimes less haste makes for more speed.

Who am I? Richard Alspach is a Northland Farmer who has been involved in Federated Farmers and local body politics who was a close observer of the last time forestry fever hit the province.

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

Opinion

36 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Changes are needed at Landcorp Alternative View

Alan Emerson

I’VE just read the Landcorp, Pamu as they like to be known, annual report. In a word, it is nauseating. They start by telling us their vision is to be the premium supplier of meat, milk and fibre for niche markets. “We pursue this vision with strategies based on Pamu’s six capitals – strategies for excellence in farming and adding value for products, investors, people and the environment.” It is an 82-page, heady tome telling us, among other things, they’re supplying markets in Australia, China, Europe North America and more. The acting chairman and chief executive told us “Pamu enters its fifth year of delivering on our strategy of operational excellence in creating value beyond the farm gate with real momentum.” They’re into farm wellbeing, gender equity, animal welfare, environmental assessments farm by farm, (who isn’t) and relationships with tangata whenua. They’ve surveyed stakeholders including our old mates at Greenpeace. What they could add they didn’t say. I’m only surprised they didn’t deign to talk to Federated Farmers

or Beef + Lamb. They might have learned something. They also have expertise in relationships for innovation on-farm and in markets. There’s also investment in world-leading intellectual property. They have total assets of $1.8 billion and are producing a growing range of premium products. In the believe-it-or-not category they have 201 staff earning more than $100,000 annually and 15 earning more than $200,000. That’s almost a third of their staff earning six figures and they have a staff retention problem. Interestingly, their total revenue was $247.1 million, up from $230m the previous year. Their profit was just $34.2m, down from $51.9m the previous year. So their glossy report, while waxing lyrical on a whole host of topics as to how they were bigger, better and state of the art, the harsh reality is their return on investment was but 2.2%. If you and I achieved a return of only that magnitude we’d be down the road but it seems Landcorp is just going onwards and upwards with Government support. As farmers, I’d respectfully suggest, they’re failures. Mind you, ordinary farmers, the profitable kind, don’t have the expertise of people like Guy Salmon, Mike Joy, Alison Dewes or the anti-farmer campaigner Marnie Prickett that Landcorp enjoys. Putting the Landcorp profit in perspective, they have massive leveraging ability because of

TOO DRY: Landcorp has blamed drought at the end of the dairy season for its profit fall.

their size, not to mention all of the other great assets the annual report tells us about. With the amount of meat and milk they produce it is logical to suggest they’d get a premium for it.

That they produce rate of return of only 2.2% shows something is terribly wrong somewhere.

With products like drench and fertiliser, the companies would be falling over themselves to supply at little over cost. That tells me the return on their produce would be greater than yours and mine and their costs would be less. That they produce rate of return

of only 2.2% shows something is terribly wrong somewhere. Another salutary lesson for farmers is that Landcorp went public on the evils of palm kernel and how it wouldn’t use the stuff, goodness gracious no. They then blame their profit downgrade on the drought at the end of the dairy season. How did other dairy farmers manage in drought? Palm kernel possibly? Minister Shane Jones has asked the Landcorp chairman to please explain. I would certainly be interested in his explanation. My belief is Landcorp will continue to waste money on political submissions supporting capital gains and fertiliser taxes, which the Government, to its credit, ignored. Following that Landcorp also told us they can reach the Government’s 10% methane target. Of course they can. They’ll destock and reduce their profit. Ordinary

farmers don’t have that luxury. Parliament tells us the function of state-owned enterprises is to operate successfully as a business as profitable as those not owned by the Crown. As a mate said about Landcorp, what farmers see is a financially unsound business with a lot of politically correct ideas driven by the extreme end of NZ’s radical environmentalists. I realise Landcorp has a relatively new chairman in Warren Parker but he has appeared in Farmers Weekly indicating he is happy with the direction of Landcorp. I wouldn’t be. What irritates me most is that Landcorp’s public face is that of a highly successful and innovative company. On the internet they describe themselves as New Zealand’s world-class agricultural leader. Really. On their website they boast “Pamu is a recognised leader not only in NZ’s agricultural sector but around the world where our farming practices are studied and emulated.” Possibly, in a heavily subsidised environment, but I can’t for the life of me imagine anywhere else. So my view of the organisation is that you either have a dysfunctional board, an out-ofcontrol management team or a combination of the two. I’d suggest both need to change.

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

A taxing job causes incompetence From the Ridge

Steve Wyn-Harris

MORE than 20 years ago I wrote a column quietly taking the proverbial out of Inland Revenue. It seemed like a good idea at the time. My main theme was it had just decreed we would now have to put postage stamps on the letters we sent them with the cheques, well before internet banking, for the tax we deducted from employees. I argued that as unpaid taxpayers it was a bit rich putting this small impost on battling, small-business folk. Later I took the issue up with the revenue minister and whether it was my efforts or just an intended change, for many years the letters we sent back had postage paid on them. Nowadays, of course, you must put a stamp on again. Most of us don’t want to run

the risk of the letter not getting there in time and costing a penalty or, worse, antagonising the department so we diligently smack a Kiwi stamp onto it and put it down as our contribution to keeping this great nation on an even keel. In those days my shearing contractor was open shed rather than contract as now, which meant I paid every single shearer, rousie and presser each time they came. During the course of the year that could amount to 50 or so individuals. One was required to do an annual summary and mine was always a few dollars out. That was before I used spreadsheets so was manual and with a calculator. I’d spend hours trying to find the mistake. I was always tempted to invent an employee and award them the discrepancy to make it balance. Which, I hasten to add, I never did. However, my mistake at the time was to write in my column that was what I did do because it seemed an amusing concept. Who would have thought the department read a broken-arse sheep and beef farmer’s random thoughts?

Well, it turned out that it did. Unfortunately. Some weeks later, my accountant Knobby was surprised to get a request the department wanted to do a GST audit on me. It was at this stage I considered the column might not have been the best of ideas. Knobby thought it was likely a coincidence. I had nothing to hide and nothing was discovered. The department then requested a full audit on a couple of financial years and again nothing was discovered because, again, I had nothing to hide. But it probably cost me a couple of thousand dollars in accountancy fees in the dealings we had with the department and that was a lot of money then when we didn’t have much. I don’t think I’ve ever mentioned the department since. I might have been stupid but I’m a fast learner. However, I’m brave enough to mention this small anecdote because it has a much kinder regime now and my recent dealings with its help desk have been a good experience and I’m sure if its staff are reading this they would like to hear me say so. In December they send out the

OH DEAR: Paying tax is something Steve Wyn-Harris finds difficult.

January Pay As You Earn form early because of the holiday shutdown. I had the misfortune to get the December and January forms mixed up. I had never realised they are month specific. But they are. So, my November deductions which were paid by internet banking in December were recorded on the December form and in January I paid the December PAYE deductions on time by internet banking and recorded on the November form. I won’t go into how much

trouble this caused both myself and the help desk but I can say we finally resolved the issue after many calls and all agreed the penalties be waived. They were very helpful and understanding of my stupidity. So, thanks Inland Revenue for the desire to help taxpayers do the right thing and for the helpful and patient folk you have on the helplines.

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

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Flood of dairy-beef is unlikely Meaty Matters

Allan Barber

MEAT processors have tried for years to encourage dairy farmers to up their numbers of beef-cross calves and either keep them or sell to rearers at three months. Rearing whiteface dairy-beef calves has long been an option for dairy farmers to generate more income, with rearers looking to buy bull calves to put weight on and sell to bull farmers targeting the United States lean beef market. But the lure of higher profits from maximising milk production has, till recently, made it a relatively unattractive option. Until recently numbers have remained relatively static, varying only from one year to the next in response to the forecast payout. However, LIC reports a sharp increase in beef semen sales since 2016 as dairy farmers look to reduce bobby calf numbers and increase the rate of genetic gain. Increasingly, as pressure comes on to minimise their environmental footprint they find diversification into beef a profitable option because it lets them focus on the peak-producing cows. LIC’s genetics business manager

Greg Hamill says herd-testing information shows a difference of 160kg of milksolids a year from the engine room of the herd, those cows between four and eight years of age, compared with the bottom performing 10-20%. There is an increasing trend to use beef semen over this tail end of the herd as the best option for improving overall milk production while contributing to better profit and environmental performance. Beef semen sales contributed 6% of LIC’s total sales in 2016, rising by 17% and 13% in each of the next two years to be running at 9% of sales this season, which, if sustained, will equate to a 50% increase in three years. Beef sales are expected to top 400,000 straws this year out of total sales of 4.6 million with Hereford making up 69% followed by Wagyu, 11% and Angus and Speckle Park 5% each. Apart from a potentially larger cow cull these statistics suggest at least 100,000 more beef cattle to sell somewhere around the world, which could produce a degree of nervousness considering all the factors that appear to be against red meat consumption. However, the latest Rabobank Beef Quarterly Review paints a more positive outlook. It suggests greater demand from China, both for traditional cuisine and for the fast increasing number of McDonald’s and other fast food outlets, will ensure continued growth of China’s imports of manufacturing and prime beef. This positive trend is keeping the beef price firm, ensuring strong competition for product.

IRONY: Fast food businesses like McDonald’s in China are pushing up demand for beef thus pushing up the price Americans pay for ground beef for hamburgers.

For instance, Chinese importers are paying about 3% or 4% more than United States buyers but without China one estimate reckons the price could be anything up to 15% lower than it is. China offers a major advantage for exporters of prime beef because of its readiness to use a far greater percentage of the carcase, particularly for hotpot chain restaurants and other slow cooking food outlets. The high-value steak cuts normally make up only 14% of the animal’s value but the Chinese market provides far greater opportunity to optimise returns across the whole carcase. China takes about 60% of New Zealand beef exports, which is a far cry from the days when over 50% went to the US. I asked Affco’s sales and marketing manager Mark de Lautour, who has just returned from China, for his assessment whether Chinese demand was a bubble about to burst or sustainable for the foreseeable future. He agrees the unprecedented level of demand has all the hallmarks of a bubble but doesn’t see it bursting for several years.

His reasoning for this confidence is based on three specific factors: population growth, African swine fever and trade factors. The decision to remove the one-child policy was brought about by the problem of an aging population. Although young Chinese in the largest and most expensive cities, such as Beijing, Shanghai and Guangzhou, are reluctant to have more children the population is forecast to grow exponentially in the smaller cities. As people migrate from the countryside into these second tier centres, where house prices are significantly lower, demand will increase. The major concern of central government in Beijing is to ensure the supply of food and water to satisfy the growing level of consumption. The impact of swine fever is huge – 60% of all meat in China is pork and some 400 million pigs have had to be culled, at least 20% of the pig population equivalent to a 12% reduction in domestic meat supply. The consensus is it will take between three and five years for the number of pigs to recover. The third factor is a combination of trade issues. China has gone to great lengths to close off the grey channels,

primarily Vietnam and Hong Kong, through which large quantities of American beef and Indian buffalo found their way into China. Having successfully closed those channels, the central government is highly unlikely to allow them to open again. On the subject of the US/China trade war de Lautour says local opinion doesn’t see China making any concessions, which could last five more years if Donald Trump is re-elected. Forecasts indicate the American market won’t lose its passion for real beef hamburgers any time soon so there will still be competitive tension as well as trade war tension between NZ’s two largest markets for beef. This will help to keep prices firm, which will enable exporters to continue paying a satisfactory price for livestock. That, in turn, will encourage dairy farmers, rearers and finishers to maintain the flow of dairy beef.

Your View Allan Barber is a meat industry commentator: allan@barberstrategic. co.nz, http://allanbarber.wordpress. com

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Join Farmers Weekly readers on this exciting tour to South America’s largest country which has such huge potential. Iguazu Falls, the Pantanal, Rio de Janeiro’s famous sights – Copocabana Beach, Sugar Loaf and Cordova are included on this specially planned tour. Dairy, no till cropping and Nelore cattle breeding will give an in depth insight into farming in Brazil. See how Kiwi dairy farmers are getting big production by adapting our grass systems to local conditions. Don’t miss the opportunity to extend your tour to the Amazon. Stay in a rain forest lodge where you see the local animals and maybe catch a Piranha.

Bordeaux, Provence – names that conjure up images of France that everyone wants to see. Oyster, caviar, strawberries, wine and cheese might suggest a food and beverage tour but there is so much more to this trip than these culinary delights. Beef, sheep and flower production including a visit to a perfume factory are just some of the additional treats. Don’t miss the opportunity to add on 7 days to the beautiful island of Corsica in the Mediterranean.

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Opinion

38 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Trees cut and store sediment Cheryl Barnes I WAS at the Central Districts field days recently and was struck by two things. One was how far the conversation around water has progressed. People are no longer arguing about whether there’s a problem. Instead, they are focused on how to fix it. Secondly was the range of technological solutions being developed. We had a stark reminder of why we need to take action when we released our major report on the state of the environment, Environment Aotearoa 2019, (www.mfe.govt.nz/environmentaotearoa-2019) just before Easter. It brings together the best available data and science and, unfortunately, shows we are having a serious impact on the environment. The report is a health check but it does not prescribe the cure. Fortunately, there is a great deal of excellent environmental health care work under way at farm, community and local and central government levels. Today I want to focus on nature’s ability to help us solve some of these problems. Planting season has arrived and while around the world it is the start of warmer weather, here it is a great time to get plants into the ground.

There are a number of reasons why riparian planting is essential. The first is obviously the ability to soak up contaminants as they leach through soils toward waterways. Second is that new trees are an important carbon sink and, lastly, riparian zones can lead to ecosystem improvements. New Zealand’s scientists, regional councils and our own environmental reporting show sediment is one the most critical contaminants in NZ’s freshwater and marine environments. There is much more erosion across our landscape and therefore more sediment entering our waterways than in the past. In streams and estuaries sediment can smother and choke our aquatic species or deprive them of habitat. Excessive sediment is contributing to the decline of our iconic and mahinga kai species that have shaped our history and national character. An example is the recent closure of the Kaipara Harbour’s recreational scallop fishery and the ongoing degradation of sea grass meadows in the harbour, which support the commercial snapper fishery. We are developing policy options for ministers so they can consider how best to address freshwater sediment problems, including potential freshwater sediment attributes. One of the

complexities is that erosion rates vary vastly across the country, which must be taken into account within any policy solutions. Over the past few years we have asked some of the country’s leading scientists to study this variability and how animals respond to changes in freshwater sediment. It might come as no surprise that species in areas with higher levels of natural sediment in waterways, such as the East Cape or parts of Northland, are more tolerant. What is new about this research, though, is that it assesses these differences from many different angles, which allows us to make broad conclusions about how much sediment in rivers and streams is too much. The easiest way to help control sediment, though, is simply to put plants other than grass on erosion-prone land. In itself, however, this is not enough and planting needs to be considered alongside more comprehensive farm management planning or changing practices known to generate sediment runoff. We know many farmers are taking great strides to improve their land management, especially on hill slopes and river margins. This effort ultimately benefits both yourselves and the environment. I want to acknowledge the efforts of many of our

DETERIORATING: Excess sediment has closed the Kaipara Harbour’s recreational scallop fishery and is degrading the sea grass meadows that support the commercial snapper fishery.

rural communities as their work to make environmental improvements can be hard and costly. Government initiatives, such as the Billion Trees, can make meaningful contributions to the cost of these improvements. The fact so many of you are working to improve land management practices gives me heart and it’s clear there is a drive and a willingness to be more sustainable managers of the land. One final thought is highlighting the power of joining with your neighbours to address the issues on a broader catchment scale. This was one of the key themes in the Good Farming Action plan launched last year. We’ve seen great examples where communities have come together to solve issues, such as at Aparima. The effects can be dramatic. If you need help deciding what to plant and where or how to develop a farm management plan, many of our farming organisations

LETTERS Continued from page 34 As a farmer in the rare situation of having a farm in these stark Canterbury Plains but living in the city I am proud to draw attention to the rural community that the city really wants to help. These trees could be used for tangible carbon offsets in the future. In the meantime they provide diversity in a sterile landscape, they stop envious eyes looking at our irrigators, even providing shelter for them in catastrophic wind events, provide food for pollinators and heal the division between farm and city. This can only be a good thing. Andrew Luddington Tai Tapu

It’s here THREE years ago people were talking about whether global warming and climate change were real. And now, in just one issue of the Farmers Weekly on June 3, we have five stories of how climate change is affecting lives and decision-making for farmers, business people and the public right now. Firstly, the price of farms is going up because investors see

such as Beef + Lamb, DairyNZ, the Foundation for Arable Research and NZ Good Agricultural Practice have useful resources targeted to specific regions to help guide you. I also encourage you to look at the assistance the Billion Trees programme can offer with the costs of planting and wider activities such as training and extension. There is no doubt farmers have a real sense of responsibility about improving and restoring the land for the future. We have received some great feedback and I welcome appreciate thoughts and feedback.

Who am I? Cheryl Barnes is the Environment Ministry water and climate change deputy secretary.

Give feedback at freshwater@mfe.govt.nz

More letters P34 money in carbon credits then the flow-on effect from that is that rural districts are at risk with fewer people, fewer ratepayers, fewer schools and still the same amount of infrastructure to pay for with rural mayors expressing serious concerns. Then, in another article, we learn the wheat crop in Australia is so diminished by drought, down 20% from last year and down 30% on the 10-year average, there is talk of bread and flour prices going up and possibly doubling. In New Zealand, business decisions being made by the dairy company Yili to mitigate climate change include reducing its carbon emissions and those of its workers by using buses to transport them to and from work, saving significant money and emissions every week. Then a new water storage facility in Wairarapa is in the planning stages to help increase yields and counter the effects of future droughts. And we also we have a story about how horticultural earnings from NZ-grown products are surging because of difficult growing conditions in the northern hemisphere. So, in total, five different stories that are essentially about the present effects on lives and

businesses of climate change. Those who said it wouldn’t affect us in our lifetimes were dead wrong and obviously every thinking businessman and woman should be planning and preparing. And we should probably all be using as little petrol and diesel as we can if we want a world our children can live in. Everywhere it seems to be becoming gradually more difficult to grow food. Robin Rutherford Hunterville

Tell the townies HAVING read the opinion pieces in the latest Farmers Weekly I was struck with the level of concern the various authors had for the implementation of emissions taxes being imposed on farmers to mitigate livestock farming’s greenhouse gases to the environment and the arguments these authors brought to the fore in their columns raise, I believe, some very valid points – even Alan Emerson who is still banging on about us filthy tourist operators. My question to them and maybe all and sundry in the animal protein producing community is why these views aren’t sent and put in our urban publications as surely publishing them in this newspaper and all rural

publications for that matter is a bit like preaching to the converted? Mark Bowie Rotorua

Colonial dogma I ALWAYS enjoy reading the Farmers Weekly, learning something new each week. I especially enjoy Alan Emerson’s columns, invariably laughing at his rants about environmentalists, politicians and now, foresters. As a forester, conservation manager and now small-time farmer raising lambs and cattle I actually feel sorry for Emerson and the farmers of New Zealand for their general nonchalance about the forest clearances of our Maori and European forefathers and their expressions of righteousness and entitlement to farm no matter what. Emerson is also up against those enlightened farmers who understand a wider meaning of land productivity and sustainability. Simply producing milk and meat ad nauseum is not the answer. We can forget feeding-theworld stuff, which some farmers advocate. NZ is just not capable of that.

Much of the unstable land farmed in the central and eastern North Island, on naturally erodible marine sediments, should never have been cleared of their protective forests but that is the legacy of our rash and misguided predecessors. Land use sustainability under farming, forestry, horticulture and viticulture should be forefront in our minds and actions and should not simply follow colonial dogma. Emerson and colleagues should listen to the Denis Hockings of this world. He advocates and displays a much more practical and sensible approach to land use, especially farming and forestry. David Field Rotorua

Letters to the Editor Letters must be no more than 450 words and submitted on the condition The New Zealand Farmers Weekly has the right to, and license third parties to, reproduce in electronic form and communicate these letters. Letters may also be edited for space and legal reasons. Names, addresses and phone numbers must be included. Letters with pen names will generally not be considered for publication.

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Fonterra reset hits headwinds The Braided Trail

Keith Woodford

THE latest numbers say Fonterra is struggling to turn around both its performance and balance sheet. It’s third quarter results for 2018-19 show it is running into headwinds with its strategic reset. That is not to suggest the current policy is necessarily flawed. Rather, it reflects the pickle that Fonterra has got itself into in recent years. It’s hard turning a big ship around. The general media has focused on three headline messages. The first is that estimated milk price to farmers for this season just ending has dropped by 10c to between $6.30 and $6.40 a kilo of milksolids (fat plus protein). The second message is the initial estimate for the coming season is only $6.75, whereas most were expecting to see a 7 at the start of the 2019-20 figure. The third message is that this year’s underlying profit, before asset sale, will be only 10-15 cents a share. In September it was 25c to 35c. These are all disappointing numbers but the really important longer-term messages require deeper analysis. But first, to deal with those headline messages. Given that GDT auction prices have been rising steadily this year until the most recent sale it is a little puzzling to see Fonterra drop its milk price by 10c. It would seem to say Fonterra must have been expecting even greater increases in commodity prices over recent months. That was indeed brave of Fonterra. As for next year’s price, I see $6.75 as conservative. But, as I have said many times before, trying to estimate the coming season’s price so early in the season is little more than a guess. The good news is that in at least the last six years I cannot recall a time with fewer storm clouds in relation to milk price. The major competitor nations in the European Union and the United States have production that is close to static. Australia is in decline. The only worry is what might happen to the global economy and, in particular, what might happen to Chinese demand. Fortunately, Chinese mothers and fathers are still going to want milk for their children. The key question is whether Chinese stockpiles might be increasing, which would spell caution. Returning to Fonterra’s own performance, a key metric is Fonterra’s margin on its sales. These are the margins it makes from processing commodities, which is essentially a toll

SAME DIRECTION: There is no sign yet of a Fonterra turnaround.

operation that should always run at a profit, plus the margins on specialised ingredients and consumer products. Those numbers are in decline. Bundling all of these categories together then last year Fonterra made an underlying profit of $382 million from so-called normalised operations. It was only the need to bring to account the historical debacles with Beingmate plus the Danone litigation from the botulism scare that dragged Fonterra down to a loss of $196m. In 2017 the profit after tax was $745m. Profit in 2016 was $834m. So things are not going at all well. Can the big ship be turned around and if so when? Fonterra expects this year’s operational profit before asset sales will now be at about $200m, calculated from the mid-point of the estimated 10c to 15c a share. In September the same calculation based on Fonterra’s range of 25c to 35 gave $480m. Hence, at this stage there is no sign of a turnaround. When Fonterra announces its final profit for 2018-19 the profits and losses from asset sales will be brought to account. At this stage it is far from clear if those capital items will add to or subtract from final profit. So far we know the Venezuelan sale has led to a book loss of $123m. That was stated in February but not brought to account at that time. Since then

Tip Top has been sold at an excellent price of $380m but how that compares to book value is less clear. The closing of Dennington in Australia will have significant cost associated with it and almost surely a write-down in stranded assets. Some of these costs might not show in the accounts until 2019-20.

There are no easy ways to shore up the balance sheet. The easy opportunities were frittered away some years ago.

Conversely, it is possible the sale of Beingmate could bring a modest profit over book value, given the major loss of value was brought to account last year. The other big unknown is what might happen with the China Farms. Though Fonterra says it is on track to meet its target of $800m of asset sales it has yet to give any indication what that will do for net assets. All we know is that both gross assets and debt will decline. When Fonterra states its debt ratio it uses a formula of interestpaying debt divided by that

same debt plus equity. What gets left out of the equation is some billions of liabilities to farmers and trade creditors. An alternative metric, which I have never seen Fonterra use, is net assets divided by total assets. That ratio at the end of 2017-18 was only 35%. Conversely, total liabilities were 65% of total assets. There lies the worry. Though Fonterra does not use these metrics publicly, the banks and agencies that rate Fonterra’s risk will have their eyes on them. At the end of the last financial year Fonterra’s shares were valued by the market at $5.10. Now they are valued at $4.20. Go back to the start of 2018 and they were $6.40. That tells us something about what the market thinks is happening to Fonterra’s net assets. There are no easy ways to shore up the balance sheet. The easy opportunities were frittered away some years ago. On May 23, the day the Q3 results came out, Fonterra sent a letter to all its farmers with information not given to the broader market. By acting that way Fonterra indicated the extra information is not considered market sensitive. Nevertheless, that information does shed more light on Fonterra’s quandary. Here is what Fonterra told its farmers. “A number of farmers are

facing significant financial pressure in relation to their farm balance sheets as a result of the co-op’s lower share value together with more stringent bank lending requirements impacting customers in the agriculture sector. As such, the board has: Set the 2019-20 Compliance Date as 20 April 2020, offered a one-year share up extension to farmers in their fourth, fifth or sixth year of a six-year Share Up Over Time Contract and given farmers who wish to participate in Delegated Compliance Trading until 1 February 2020 to elect to do this.” Fonterra says these concessions will be relevant to 2100 farmers who need to buy shares. The key insight, which many of us already knew, but seeing it in black and white from Fonterra makes explicit, is the new banking guidelines are putting many farmers under cashflow pressure. Hence, Fonterra is caught between a rock and a hard place in looking after both its own corporate needs and looking after its members.

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

On Farm Story

40 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

EYES OPENED: Jacqui and Dan Cottrell didn’t realise an overseas adventure would change their lives forever.

Photos: Andrew Stewart

Kiwi’s quinoa dream now a reality A liking for a particular food on a foreign trip is paying dividends for Dan and Jacqui Cottrell and providing extra income for their Taihape farm. They told Andrew Stewart how they discovered quinoa and set about growing it in the central North Island.

STUNNING: The Cottrell farm is in a rugged and chilly area near Taihape.

AN and Jacqui Cottrell didn’t realise an overseas adventure would change their lives forever. The year was 2012 and the couple were making the most of their South American odyssey when they had an epiphany in Peru. They had been eating a lot of quinoa, of which 80% of the global supply is grown in Peru, on their trip. The rugged, stunning and slightly chilly landscape reminded Dan of the family farm near Taihape and suddenly he realised they might be onto something. What if they could grow quinoa on the family farm, which was very similar in many respects to the landscape of Peru? And so it was that a holiday on the other side of the Pacific Ocean kicked off an adventure producing one of the world’s true super foods back home on the ranch in New Zealand. Seven years on and through a ton of research, toil and investment the Cottrells are well on their way to realising their dream. Dan’s the fourth generation of his family to run the farm near

Moawhango though he became a rural banker after studying at Lincoln University. Jacqui studied agricultural science at Melbourne University before moving to NZ to work for a fertiliser company focusing on biological agriculture in 2008. The couple met in Matamata. In 2011 they decided to go travelling and set off on the big OE to explore the world. After the light-bulb moment in Peru the couple knew they had a lot of work to do before they could make it a reality. They moved to Australia to live and work and really applied themselves to the viability of growing quinoa in NZ. The process was not an easy one. It involved deciding which variety of quinoa would be commercially viable and accessible. Once they decided that they had to determine how the plant would handle the growing conditions in Taihape. And finally, once the theoretical research was done it was time to put their plan into practice. Dan’s father Mark agreed to try a test plot on the farm in 2014 though Dan and Jacqui were still in Australia. The trial included five varieties of quinoa and the

clear winner was the variety they now use. This generosity and willingness to help was not lost on the couple and they are very thankful for the support of both Dan’s parents. Dan’s sister Georgia has also been instrumental in the marketing and development of their quinoa. The initial results were promising enough to give them the confidence they needed to move back to the farm in 2015 and set about establishing their dream. Though quinoa was the big picture both Dan and Jacqui are also passionate about sheep and beef farming. The 500 hectare effective farm used to be part of the huge Taihape landholding of Oruamatua. These days the farm runs 3600 breeding ewes, 1000 hoggets and 140 breeding cows in conjunction with a 100 hectare lease. Some younger cattle are wintered as the seasons permit

On Farm Story

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

What is quinoa?

GOOD HARVEST: Dan Cottrell sees quinoa as being complementary to their farming system as a cash crop providing extra farm income.

and the aim is to increase cow numbers to about 160. The farm is reasonably high in elevation, rising from 700 metres to 900 metres above sea level. There are about 70 hectares of cultivatable land with rich, volcanic ash soils. It was those soils they felt would be the key to success in growing quinoa. Dan had been to Europe to visit quinoa growers and a plant breeder. Because so much of the world’s quinoa is grown in South America they are naturally very protective of their seeds and intellectual property. A major factor in choosing their variety was that the breeders had found a way to naturally eliminate saponin, a naturally occurring chemical compound in quinoa that stops birds and bugs eating it but has to be removed because it is harsh on the human stomach. After extensive negotiating and research the Cottrells secured the sole NZ rights to their preferred

variety of quinoa. Dan sees quinoa as being complementary to their farming system as a cash crop providing extra farm income. It is planted in grass paddocks that are returned to a pasture mix after the crop is harvested. Paddocks with suitable topography for the quinoa are identified early then dug up in September and left fallowed for a month before sowing in mid October. The crop is ready to harvest in early February, allowing plenty of time to regrass before autumn. Not being able to use chemicals to control weeds in the quinoa crop has proved a major challenge. They have bought a poor-man’s windrower, which Dan described as a tractor towed implement that acts like the front of a combine harvester. They run it through the crop a week before harvesting, which cuts it all and

leaves it in rows to dry out. That means when the crop is harvested the green weeds have dried sufficiently to be separated from the valuable quinoa crop. Another big challenge has been with wind knocking down the mature plants, which are top heavy with big seed heads. They are trialling a new variety this year that is bigger and more robust though it has a slightly longer growing season. They have also invested in postharvest technology to make the grading process easier. In partnership with another quinoa farmer and Valhalla Seeds they now own an optical colour sorter to identify anything not quinoa in their harvest. “For example, red clover seeds have a very similar shape, size and density as quinoa. We might find one or two clover seeds per thousand quinoa seeds and the optical colour sorter allows us

GOOD STUFF: Quinoa is one of the healthiest and most nutritious foods on the planet.

to separate them out to give us a uniform product,” Dan said. In the first year of growing they had a small surplus, which they sold through a distributor. The next year they grew a bigger crop and most of the surplus went to a bulk customer. They then decided to take the next step in the value-add chain and market their quinoa under their own brand and the label Kiwi Quinoa was born. This year they harvested 30 hectares of quinoa with an average yield of 2.5 tonnes a hectare, with one paddock their best yet at three tonnes a hectare. The bigger picture for the couple is to create a NZ quinoa industry. That started with the creation of a brand and will eventually lead to including more Kiwi farmers. Dan believes quinoa crops can be grown virtually anywhere in the lower North Island providing temperatures are agreeable. He described it as being a droughttolerant, initially frost-tolerant and pretty robust crop. The creation of their brand also helped Jacqui cope with life in a new country. She admits she initially struggled with the move away from friends and family in Australia but the realisation of their dream and growth of the business have greatly contributed to her feeling more comfortable here. “When you produce a product that directly connects you to your community and the consumer it changes the way you think about what you’re producing. Going out and doing in-store demonstrations and cooking and showing people healthy quinoa recipes using our product has been hugely rewarding,” she said. This experience has also had flow-on effects across their entire farming business. They are now

QUINOA is one of the healthiest and most nutritious foods on the planet. It might improve bloodsugar and cholesterol levels and even aid weight loss. Quinoa is one of the world’s most popular health foods and is gluten-free, high in protein and one of the few plant foods that contain sufficient amounts of all nine essential amino acids. It is also high in fibre, magnesium, B vitamins, iron, potassium, calcium, phosphorus, vitamin E and various beneficial antioxidants. Even though technically not a cereal grain it still counts as a whole-grain food. In America National Aeronautical and Space Administration scientists have been looking at it as a suitable crop to be grown in outer space, mostly based on its high nutrient content, ease of use and simplicity of growing. The United Nations declared 2013 the International Year of Quinoa because of its high nutrient value and potential to contribute to food security worldwide.

looking at more ways to reduce spraying and fertiliser use, improving water quality in their streams and planting more trees to complement the conservation work started by previous generations. When asked what advice they have for others looking to create their own food brand Dan and Jacqui agree on the need to know consumers before starting is one of the most important aspects. “People tend to think, as we did, we can grow this product and find a home for it. But you need to do your homework first, know your market and know your customer,” Dan said. They also believe there is huge scope for anyone with an idea for a product and there is a huge amount of resources available as well. “When we started out we relied on Uncle Google for a lot of our research not realising how much help was actually out there. You don’t have to try and do it all by yourselves. Ask for help and seek advice where you can. And if you have an idea that you’re passionate about, stick with it. Most success comes down to tenacity,” he said. “There’s been some hard lessons that can only be learnt from being the first ones to do something and that comes with a degree of pain. But the rewards and satisfaction far outweigh all of that.”

>> Video link: bit.ly/OFScottrell

World

42 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

Farming without subsidies in the UK THE sheep enterprise at Glynllifon Agricultural has had radical change as it braces itself and its students for the uncertainty that lies ahead after Brexit. Farm manager Rhodri Manod Owen has implemented lowercost enterprises at the 283ha farm to demonstrate to the college’s 100 full-time agricultural students how they can navigate a new era of farming without subsidies. “It’s a commercial farm that has to pay its way.

We knew the writing was on the wall and we had to look at our costs. Rhodri Manod Owen Glynllifon Agricultural College “We knew the writing was on the wall and we had to look at our costs. “The industry is in a challenging era at the moment. It’s not the end of farming – it’s the beginning of a new era,” he says. Making the best use of grass has been an inherent part of his revision, which has seen the

college switch from buying in crossbred Welsh Mules to running a closed flock of 550 Lleyn ewes. “We have plenty of rain and there’s scope to gain more efficiency from the system. “We can’t do anything about the market but we can do a lot on the farmyard and that’s where we are concentrating our efforts in the classroom,” Owen says. He believes the college is well poised to take advantage of lower-cost, forage-based systems because of its climate and good grass-growing capabilities. In the past five years the college has been concentrating its efforts on embracing new genetics to make best use of forage and reducing its reliance on bought-in feed. On the dairy side the pure Holsteins have been phased out in favour of crossbreeding and Stabiliser genetics are being used in the traditional Welsh Black herd. The Lleyn breed was favoured at Glynllifon because of its versatility and its ability to produce lambs that can finish off forage. The flock is lambed indoors to provide the students with practical experience but Owen says the genetics are now in place to give them the option of moving to outdoor lambing. “It’s very difficult at the moment

CHANGE: Glynllifon Agricultural College farm manager Rhodri Manod Owen has set up the farm to teach students lowcost options for a post-subsidy future.

Fact box

to know which way to point the farm. “We put in a ewe that could rear lambs off grass with no hard feed. We are preparing for the worst and hoping for the best. We’ve put in genetics that can handle change.” To keep lambing compact, teasers are used for two weeks. Lambing starts in the first week of March and they operate a strict selection policy when it comes to choosing replacement ewe lambs. They have to be either a twin or triplet, born unassisted and out of an easy-care dam that has plenty of milk and no mis-mothering vices. To avoid over-complicating things they’ve simplified the recording process and rather than

LEARNING: Students shear sheep at Glynllifon Agricultural College. It now has a closed flock of Lleyn ewes.

using full EID the lambs are earnotched. Providing they hit 40kg plus by the autumn, ewe lambs are mated. This year, for the first time, they have tried French-bred Charmoise rams on the ewe lambs, with promising results. Few have needed help at lambing and lambs are vigorous, Owen said. To support the evolving genetics and finish stock off forage the farm last year established a 20ha techno-grazing platform with seven fields subdivided into 120 cells using three lanes. Stubble turnips and kale brassica crops have been introduced into the crop rotation for outwintering cattle and ewes. To reduce worm burdens, cattle and sheep are being rotated onto different lanes annually. Sheep are turned out onto the area post lambing and are initially given a bigger area to prevent mismothering. As the lambs get to about a month old and get used to the electric fence they will be tightened up into cell sizes of 0.13ha, with stocking rates in excess of 23 ewes and lambs/ha. “The whole idea is to grow more grass,” Owen said, adding he sees a huge difference in pasture quality after just the first season because the animals grazed out the weeds. In fact, he was so impressed they are converting another 28ha block. The only disadvantage, he concedes, is it can be unforgiving on the sheep with animals exposed to the elements. That’s something they might have to look at in extreme conditions where cells have no hedgerow protection. Lambs are weaned at 11-12

• Glynllifon College, Penygroes, Caernarfon, North Wales • 283ha lowland farm consisting of 162ha of farmland and 121ha woodland • 28m rising to 90m above sea level • Owned by Grwp Llandrillo Menai College • Closed flock of 550 Lleyn ewes; 100 crossed with purebred rams and the rest put to high-index Texel and Charollais terminal sires • 50 continental crosses (Texel and Charollais) put to high-index Texel rams, mainly sourced from the record Pengelli flock, with some retained for breeding and others sold • Flock is very young, with 200 yearlings and 115 ewe lambs making up 52% • Ewe lambs mated with Charmoise rams for the first time last season • 180-head autumn-calving dairy herd • 50 hybrid sow breeding-tofinishing unit • 35 Stabiliser and Welsh Black suckler cows

weeks, with some being sold straight off the ewe. Most are sold to Dunbia averaging 18.5kg dead weight at a target R+ grade, with fat covers consistently hitting grades 2 and 3. Any lambs that don’t hit the weight are sold as stores to get everything gone by the end of August. The flock has been in transition as Lleyn ewe numbers have been built up. Therefore, this year was the first they were able to use terminal sires. Owen hopes that will mean they produce heavier lambs and sell most dead weight to maximise returns. Key performance indicators are set annually. The flock is still very young but the long-term goal is to lift lambing percentage from 175% to 200% as the flock matures and rear 170%+ instead of the 145155% being achieved now. “Reaching these targets will take another two years but we are certainly moving in the right direction with only twin and triplet ewe lambs from unassisted lambings retained for breeding.”

World

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

US offers trade deal, with strings THE issue of chlorinated chicken will be on the menu during postBrexit trade talks between the United States and Britain. But American President Donald Trump has signalled on his visit to Britain that what he calls a phenomenal trade deal will depend on the British abolishing the free National Health Service or at least giving some of its services to American health companies. Meat processors in the US wash chicken in chlorine to kill bacteria. But the practice has been banned in the European Union and thus in the United Kingdom since 1997. Environment, Food and Rural Affairs Secretary Michael Gove has pledged UK food standards will be maintained after Brexit but the US says people should be able to eat chlorinated chicken if they want.

Put simply, some US food would be illegal to produce here. Minette Batters National Farmers Union US ambassador Woody Johnson said the issue will be on the table for a UK-US trade deal. “If they like it they can buy it. If they don’t want it they don’t have to buy it.” The US argues chlorinated chicken is safe to eat but critics say the practice is necessary only because of poor hygiene and animal welfare standards. National Farmers Union president Minette Batters is among those who have suggested chlorinated chicken masks the issue of lower welfare standards on American farms. “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 there are hardly any welfare laws for laying hens, with no federal laws on housing, in stark contrast to the UK’s advanced rules on laying hen welfare, Batters said. US farmers could undermine UK farmers on price by using products and methods banned in the UK as early as the 1980s. “That’s not a criticism of US farmers but a statement of fact about the different legal requirements facing farmers in the UK. “British farmers are quite reasonably expected to meet the values of the British public when it comes to how our food is produced. “Those values must not be sacrificed in pursuit of hurried trade deals.” Farmers says they again face uncertainty after British Prime Minister Theresa May’s resignation and the renewed prospect of a no-deal Brexit. A no-deal Brexit remains the default option for the UK to leave the EU on October 31 unless the withdrawal agreement is passed. That prospect heightened further after the Brexit Party’s success in the European parliamentary elections. Farmers remain divided over a no-deal scenario. Those in favour say a clean break will benefit farmers. But farm leaders warn that it could mean the reintroduction of EU border checks, badly affecting transport links with the UK’s biggest trading partner. Batters said no-deal will be catastrophic for UK agriculture. Any solution must achieve as free and frictionless trade as possible to ensure the UK’s international trade pursuits do not undermine British farmers’ high production standards and avoid a no-deal scenario. “It is frustrating that the Agriculture Bill’s progress remains at a stalemate in Parliament and it is unlikely to make any progress during a leadership contest,” Batters said. “These delays simply further

TAKE IT OR LEAVE IT: American President Donald Trump says Britain can have a phenomenal trade deal with the United States if it opens its health services to American companies.

compound the uncertainty facing farmers.” Country Land and Business Association president Tim Breitmeyer said farmers and other rural businesses are concerned progress has stalled. Trade with the EU must be as free and frictionless as possible with continued access to labour. “Allowing the next five months to drift towards a no-deal Brexit with its immediate barriers to trade is a scenario we need to avoid.” Tenant Farmers Association chief executive George Dunn said politicians need skill and diplomacy to take full advantage of the long-term opportunities while safeguarding the UK from some of the challenges it faces. “This cannot be achieved through a cliff-edge, no-deal Brexit,” Dunn said. It is essential the new prime minister secures a sensible transitional arrangement with the EU that will allow a soft landing. UK Farmers Weekly

President trumps trade war fallout UNITED States President Donald Trump has proposed another giant bail-out as American agriculture creaks under the pressure of his trade war with China. The US$16 billion cash injection is the administration’s second multi-billion-dollar payment to farmers as retaliatory Chinese trade tariffs make US agri-exports to one of its biggest markets financially unviable. Trump promised immediate relief for farmers whose margins have been squeezed under his presidency. “We will ensure that our farmers get the relief they need and very, very quickly,” he said, adding that China has attacked US farmers and he is simply helping them achieve a beautiful, flat, level playing field. The deal will consist of three tranches, the first likely to be paid in July or August, followed by more funding in November and January next year.

America’s 3.2 million farmers will receive a share of $14.5b with the remaining $1.5b used to buy surplus food for impoverished Americans and food banks. An additional idea laid out by Trump, to distribute food to Third World countries, was scrapped. Details of how the money will be allocated have not been revealed but in a previous round of $8.5b of support payments paid last year, the top 10% of farms received more than half the funds available, according to the Financial Times. Farming is an anomaly in US industry, being the only sector to receive direct payments as a result of Trump’s trade war with China. The industry is consolidating as smaller farms are consumed by larger enterprises capable of absorbing cripplingly low prices for soya beans – the nation’s most valuable agricultural export. UK Farmers Weekly

Get the dirt on knickers and teabags TEABAGS are the latest aid being used by arable farmers to assess the health of their soils. First it was cotton underpants, buried by farmers for eight months to get a visual handle on the biological activity of their soil. The more degraded they are, the greater the biological activity. Now teabags are being used by farmers to measure the ability of their soils to degrade organic matter. Pat Thornton, who farms 140ha of silty, clay loam at Low Melwood Farm near Epworth, Lincolnshire, is among a group of Basf’s Real Results Farmers who are trying the technique.

He came across the method on the Wageningen University website.

The Tea Bag Index is simple and cheap method to measure the decay rate of plant material.

The Tea Bag Index is a global mapping project, recruiting people around the world to take part and help produce a global soil health map.

“It has to be a particular tea, Liptons green tea and Rooibos tea, so we had to import some.” That’s because teas degrade at differing rates. He buried his bags 8cm deep on February 16 and 90 days later, they were dug up and dried. Then the weight loss was measured. The results were then uploaded to the website along with other data such as weather, cropping soil texture and depth and the index is then calculated. The result for Thornton’s bags was low, resembling desert soils, which he puts down to the dry conditions since February. The Tea Bag Index is a simple

and cheap method to measure the decay rate of plant material. It consists of burying teabags and digging them up about three months later. Users upload results along with other information to calculate an index. This method was developed and tested by a team of researchers from the University of Utrecht, Umea University, the Netherlands Institute of Ecology and the Austrian Agency for Health and Food Safety.

Full instructions at www.teatime4science.org

NEW TECH: Farmers are using knickers and teabags to measure what’s happening in the soil.

Gisborne 198 Humphreys Road

Dairy operation with scope for diversity Strathallan Station is an exceptionally well located and strategically positioned 1214ha (more or less) property, providing a very rare and unique offering in the Gisborne region, boasting strong cash-flow. A profitable dairy operation with over 10 years conversion experience, this proficient operation, includes a 700ha dairy platform milking the 1000 cow herd, with renewed resource consents. Additional dry stock capability add to already sound income figures, with the ability to further increase the dairy operation and increase production levels, or diversify into other income streams. Supported by good infrastructure, including a fully automated 54 rotary dairy shed, self-contained on farm runoff, excellent lane-ways, and four well-kept homes. At circa 12,000SU, Strathallan presents multiple opportunities to capatilise and grow, or diversify.

bayleys.co.nz/2751357

Tender (unless sold prior) Closing 4pm, Wed 17 Jul 2019 10 Reads Quay, Gisborne View by appointment Simon Bousfield 027 665 8778 simon.bousfield@bayleys.co.nz James Bolton-Riley 027 739 1011 james.bolton-riley@bayleys.co.nz MACPHERSON MORICE LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

NEW LISTING

Boundary lines are indicative only

Kaukapakapa 137 Cameron Way Farm, family or subdivide! Bathed in sunshine and enjoying panoramic rural views, this spacious 365sqm executive home - and the equally generous 80 hectares grazing farm it sits upon, in two titles - offers the ultimate Kiwi lifestyle. Step inside and discover four good-sized bedrooms, a media room and spacious open plan living areas which flow out to the in-ground heated swimming pool. The farms flat to undulating contour has been well subdivided into approximately 32 paddocks and has all the infrastructure you'll ever need.

Hawke's Bay 302 Ngatarawa Road, Hastings 4

62ha of certified organic soils

Take a virtual tour: www.umoview.co.nz/14969

A very rare opportunity has arisen to buy a well located, quality parcel of certified organic horticultural land, nurtured by the owners for over 25 years, and/or the 'True Earthâ&#x201E;˘' certified organics business. The land (in four titles) has very good water and top soils, offering a fantastic growing environment where one could grow almost anything. Presently, there are 5.8 hectares of blueberries, with 4.0 hectares under cover, along with a range of annual crops grown. A feature of the property is the beautifully positioned spacious three-bedroom homestead which has been tastefully refurbished. Additional improvements include the 1,140 square metre packhouse, twin coolstores, plentiful shedding and Portacom offices. Contact us for an appointment to view.

bayleys.co.nz/1201695

bayleys.co.nz/2851681

Purchase the house and the farm (80 ha in two titles) or the farm with barn accommodation (78 ha in one title).

bayleys.co.nz

Tender Closing 4pm, Thu 11 Jul 2019 41 Queen St, Warkworth View Sun 12-1pm John Barnett 021 790 393 john.barnett@bayleys.co.nz MACKYS REAL ESTATE LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

Tender (will not be sold prior) Closing 4pm, Thu 25 Jul 2019 17 Napier Road, Havelock North View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Tim Wynne-Lewis 027 488 9719 tim.wynne-lewis@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

FINAL NOTICE

Pleasant Point 55 Dinda Road

Ashburton 161 Wheatstone Road Quality, arable, irrigated property The property consists of 156.5146 hectares in two titles with excellent soils and irrigation consents, allowing for numerous cropping options. At present grass seeds, maize, fodder beet, wheat and barley are grown plus winter contract lambs finished. The property has an excellent layout for ease of management and irrigating with a good central lane system, sheep and cattle yards, shedding and grain storage facilities. The renovated and modernised permanent material four bedroom home (master with en-suite) has been maintained to a very high standard and has all modern conveniences.

Deadline Sale (unless sold prior) 1pm, Tue 25 Jun 2019 201 West St, Ashburton View by appointment Jon McAuliffe 027 432 7769 jon.mcauliffe@bayleys.co.nz Simon Sharpin 027 631 8087 simon.sharpin@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/5510145

Waitohi rolling downs 55 Dinda Road is a 210.9196 hectare grazing and fattening property situated in the rolling downs of Waitohi. Located approximately a 30 minutes from Timaru, this property offers the convenience of having all amenities close by. Good subdivision and excellent shelter from numerous tree plantings and hedges, as well as a woodlot with mature oak trees and an established orchard at the old homestead site provide a unique character to the land that is hard to come by. The present vendors have owned this property for approximately 45 years and in that time it has traditionally run 1,450 ewes and 370 ewe lamb replacements. Over this period of time the reliability of the farm has seen almost all the progeny finished to good weights.

Deadline Sale (unless sold prior) 1pm, Wed 19 Jun 2019 201 West St, Ashburton View by appointment Simon Sharpin 027 631 8087 simon.sharpin@bayleys.co.nz Jon McAuliffe 027 432 7769 jon.mcauliffe@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/5510105

North Canterbury 283 McRaes Road, Waikari

Ashburton 209 Wheatstone Road Arable or livestock opportunity On offer is approximately 80 hectares subject to survey, with very good soils and irrigation. Farm infrastructure includes numerous sheds, sheep and cattle yards, woolshed and grain storage facilities. A good central laneway system allows for ease of vehicle and stock movements. Well maintained shelter belts and good subdivision all complement this most appealing property. A modern, brick home featuring spacious and sunny open plan living, separate lounge and four bedrooms (master with ensuite) Options include intensive arable or any livestock operation. Suitable as a stand-alone unit, or as an add-on to an existing farm.

bayleys.co.nz/5510169

Scale, balance and options Our Vendors instructions are clear - a sale is required. They have purchased their next property and are ready to move. Now is your opportunity to own this well-balanced 731ha hill country farm. There is around 400ha of improved pastures which supports the current breeding, fattening and grazing policy. The property is well tracked with good fences and subdivision. All supplements are made on farm, bulls and winter-grazed dairy stock are grazed on brassicas, crop and annual grass and sheep are all wintered on grass. Infrastructure includes two woolsheds and yards, cattle yards, several sheds and a large family home. The property is situated within an hour of Christchurch city.

Price by Negotiation Ben Turner 027 530 1400 ben.turner@bayleys.co.nz Peter Foley 021 754 737 peter.foley@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008

bayleys.co.nz/558233

bayleys.co.nz

farmersweekly.co.nz/realestate 0800 85 25 80

Real Estate

FARMERS WEEKLY – June 10, 2019

T RA NSF O RM I N G R E A L E S TAT E INTO R E A L A DVA NTAGE FOR SALE TAKAPU VALLEY FOREST Wellington

NEAR MATURE FOREST MIXED AGE CLASS CBRE Agribusiness is delighted to present the Takapu Valley Forest to the marketplace. Located near Wellington in the Southern North Island (SNI) region of New Zealand, the outright sale (land and trees) of this medium scale forest presents an attractive opportunity for purchasers. Cost-effective cart distances to domestic and export markets, a mixture of mature and near mature crop and freehold land, this opportunity will ideally suit purchasers looking to secure immediate and forward volume while adding a strategically located medium sized forest to their existing estate. Call today to receive the Information Memorandum. + + + + + +

Total land area of 235.6 hectares* Net Stocked area 174.7 hectares* (P.Rad) Mixed age class established between 1984 and 1996 Ongoing carbon earning potential 15.6 kilometres from Wellington CentrePort Inventory and online dataroom available

FOR SALE BY TENDER Tuesday 9 July 2019 at 4pm NZST

JEREMY KEATING 021 461 210

*Approximate areas only www.cbre.co.nz/219020Q29 CBRE (Agency) Limited, Licensed Real Estate Agent (REAA 2008)

PIOPIO Property Brokers Limited Licensed REAA 2008

131 Rora Street TE KUITI Office 07 878 8266

Looking for the complete package?

Fertile farmlet

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

2480REHP

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

farmersweekly.co.nz/realestate

FOR SALE

OPEN DAY

WEB ID TEL68488 PIOPIO 80 State Highway 3 VIEW 16 & 23 Jun 12.30 - 1.30pm AUCTION 11.00am, Wed 3rd Jul, 2019, (unless sold prior), • 18.4 ha located 800m south of Piopio and 23km Panorama Motor Inn, 59 Awakino Road, Te Kuiti. south west of Te Kuiti • Mainly easy contour fenced into 12 paddocks with reticulated water Doug Wakelin 4+ • 1990s dwelling. 4 bedrooms (master with ensuite). Mobile 027 321 1343 dougw@pb.co.nz Open plan living, office, detached double garage • A lifestyle / grazing property in good heart being 1 testament to a sound fertiliser history Hugh Williams • Convenient main road location Mobile 021 878782 Office hugh@pb.co.nz

pb.co.nz

07 8788266

LK0097951©

AUCTION

EXQUISITE TAURANGA LIFESTYLE (MINDEN) 3 Blocks Available Lot 2 = 1.1700ha Lot 3 = 3.2780ha Lot 4 = 0.8910ha

Phone Cathy 027 350 0428 07 576 9308

Real Estate

SOUTHERN WIDE REAL ESTATE

farmersweekly.co.nz/realestate 0800 85 25 80

RURAL | LIFESTYLE | RESIDENTIAL

VENDORS WANT THIS SOLD

FINAL NOTICE

TE AKAU, WAIKATO 767 Te Akau Coast Rd Excellent Late Season Opportunity

MAKE THEM AN OFFER - CONICAL HILL, WEST OTAGO

Web Ref SWG1906

• • • • • • •

Lifestyle and home kill facilities Well set up lifestyle block with fenced lanes to all paddocks leading to and from the sheds Water troughs to all except one paddock Very tidy and well maintained Duck pond and maimai Recreational hunting with deer and pigs close by in the Blue Mountains Outstanding home kill facilities as shown in pictures

• Vendor finance available for the right person • Vendors are willing to help at changeover with operational guidance

MARK WILSON m 027 491 7078 e mark.wilson@swre.co.nz

39a Medway Street, Gore 9710 p 03 208 9283 f 03 208 9284 e gore@swre.co.nz w www.southernwide.co.nz

LK0098055©

17.1879 HA FH

• • • • • • • • •

North west Waikato 500 hectare sheep and cattle Great contour, fencing, water and fertiliser Two homes, four stand woolshed 5000SUs (approximately) available for purchase Retired vendors keen to sell Contact the agent today for full property details Beach access Can be sold prior

DEADLINE PRIVATE TREATY

(Unless Sold Prior) Closes 4.00pm, Thursday 20 June

VIEW 12.00-1.00pm Tuesday 11 June

John Sisley M 027 475 9808 E jsisley@pggwrightson.co.nz

pggwre.co.nz/HAM30528 PGG Wrightson Real Estate Limited, licensed under REAA 2008

VIEWS FOR MILES

Google ‘Sallan Realty’ Your Farm Sales Specialist

Helping grow the country

FIRST TIME IN 50 YEARS

• What a find!! Awesome living on the edge of Feilding on this outstanding 46 hectare property. • Once you leave town you enter the property as the sealed driveway leads to the home that is positioned to capture all of the views. • The home has four bedrooms, two bathrooms, large living area, four car garaging and very large rumpus room. • Other facilities include stables, hayshed, workshop and woolshed with cattle yards. • The land is made up of some rolling hills and a lot of river silt flats. • Currently the property is running some dairy grazing along with cattle and sheep. • This is paradise and the new owners will fall in love with it as our Vendors did. • With an RV of $2,500,000 and motivated Vendors what is your offer? Call Les to inspect.

Sallan Realty

• Great chance to purchase this aesthetically pleasing property in the Midhurst district. • Situated on Rutland Road and being 44 hectares in size, this property has been well nurtured and looked after for the last half a century by the same family. • Features include a three bedroom period family home that has had a modernization in the MidEighties and sits very secluded from the road with lovely mountain views. • Other facilities include a disused dairy that is now used for stock handling, two hay sheds and a four bay older style machinery shed. • The property is well raced and subdivided, with good stock water and shelter. • Has been a great family dairy farm and now fattens cattle and our Vendors have decided to sell. • Call Les to inspect and discuss your options.

CALL 0800FARMTEAM

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

Licensed Agent REAA 2008

LK0098056©

FARMERS WEEKLY – June 10, 2019

Shepherd general required for Tapanui Station situated in the Te Kuiti Waitomo areas. We require a senior Shepherd General with farming experience to replace our current shepherd who is progressing to a higher position after working three years with us. The property consists of 2600 acres. We are looking for a family unit who is prepared to work with others and become part of our team. Must have dogs.

We have approximately 600 beef cattle. We run 230 breeding cows and replacements – grow and fatten the progeny to works. We are looking for an experienced Livestock Farm Manager to join our team. The role is sole charge reporting to the farm owner.

This is a salaried position of 40 hours per week with the potential for an agreed overtime rate. Remuneration will reflect the successful applicants experience.

DAGS .25c PER KG. Replacement woolpacks. PV Weber Wools. Kawakawa Road, Feilding. Phone 06 323 9550.

CONTRACTORS GORSE SPRAYING SCRUB CUTTING. 30 years experience. Blowers, gun and hose. No job too big. Camp out teams. Travel anywhere if job big enough. Phone Dave 06 375 8032.

DOGS FOR SALE VIEW SIXTY DOGS. Deliver NZ wide, Trial, guaranteed. www. youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553.

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

FERTILISER DOLOZEST® AND CalciZest from Functional Fertiliser 0800 843 809. Keep growing soil! www. functionalfertiliser.co.nz

FORESTRY WANTED

NATIVE FOREST FOR MILLING also Macrocarpa and Red Gum, New Zealand wide. We can arrange permits and plans. Also after milled timber to purchase. NEW ZEALAND NATIVE TIMBER SUPPLIERS (WGTN) LIMITED 04 293 2097 Richard. FOR ONLY $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds. Phone Debbie on 0800 85 25 80 to book.

You would be required to attend to maintenance and development of the farm. Have fencing experience and knows how to use a chainsaw.

LK0098039©

Your duties will include pasture management, herd management and tractor skills are essential.

farmersweeklyjobs.co.nz for one month or close of application.

Employers: Advertise your vacancy in the Contact Debbie Brown 06 323 0765 employment section of the Farmers Weekly or email classifi eds@globalhq.co.nz and as added value it will be uploaded toDE HORNER farmersweeklyjobs.co.nz for one month or close of application. Contact Debbie Brown 06 323 0765 or email classifieds@globalhq.co.nz

WE ARE THE SOLUTION You’re reading the Farmers Weekly and so are the people you want to employ.

GET IN TOUCH

For all your employment ads Debbie 06 323 0765, classifieds@globalhq.co.nz

HOOF TRIMMER

FREEZERS

udly NZ Madew Pro Since 1975

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

FOR FARMERS & HUNTERS When only the best will do!

STOCK FEED

TARPAULINS PVC TARPS TARPAULINS - PVC TARPS. All sizes. Top quality Ripstop PVC.NZ Made. Phone for quote Westlorne Ohakune 06 385 8487. www. westlorne.co.nz or email: westlorne@xtra.co.nz - FREE delivery North Island.

STATION HACK. Trekker 9 year old 15.3hh. Cricklewood Station bred mare. Quiet, sure footed hack with big motor. Good to shoe, float and catch. Doesn’t need constant work. $5000. Phone 06 874 6686.

FO SALR E CLASSIFIEDS ADVERTISING

Do you have something to sell? Call Debbie

0800 85 25 80

classifieds@globalhq.co.nz

TO SAV $3 E U 50 P +G ST

Free Freight Nationwide on Mowers until end of June 13.5HP. Briggs & Stratton Motor. Electric start. 1.2m cut

TOWABLE TOPPING MOWER

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$4400

GST INCLUSIVE

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

$4200

GST INCLUSIVE

50 TON WOOD SPLITTER

GST $3990 INCLUSIVE

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

MOA MASTER

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

T HI NK P R E B U I L T EARMARKERS

BIRDSCARER

LK0092630©

The role requires the ability to keep accurate records and reports and to do stock reconciliations on a regular basis.

CHILLERS &

PROPERTY WANTED

HORSES FOR SALE

12 MONTHS TO 5½-yearAgribusiness old Heading dogs and farmersweeklyjobs.co.nz Agricultural Assistant Huntaways wanted. Phone 022 698 8195. Farm Manager QUICK EASY SALE! No • 2019 Trainee Programme - Livestock one buys or pays more! 07 Livestock Representative 315 5553. Mike Hughes. •Other Agribusiness BOOK AN AD. For only $2.10 + gst per word you •Saleyard Agronomy Manager can book a word only •Sharemilker Analyst ad in Farmers Weekly •Shepherd Dairy Classifieds section. Phone Debbie Brown on 0800 85 • General Maintenance 25 80 to book in or email Shepherd General • Livestock Specialist classifieds@globalhq.co.nz •Tractor/Truck/Machinery Manager •Operator Pasture and Grazing Specialist • Sharemilker Employers: Advertise your vacancy in the • Shepherd employment section of the Farmers Weekly • Shepherd/General and as added value it will be uploaded to

0800 436 566

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

HAY 12 EQUIVALENT squares $70. 15 equivalent rounds $75. STRAW 12 equivalent squares $55. BALEAGE at $80. Unit loads available. Phone 021 455 787.

DOGS WANTED

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

LIVESTOCK FOR SALE

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.

LK0096815©

Self-motivation, initiative and an ability to work independently.

LOOKING FOR A suitable farm in the lower North Island. Any size up to approximately 500 acres. Experienced in leasing. Innovative and open to developing land in partnership if required. Phone Michael 027 223 6156.

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

JOBS BOARD farmersweeklyjobs.co.nz

DOLOMITE

LEASE FARM WANTED

GOATS WANTED

JOBS BOARD RURAL SECTOR

You will need a proven understanding of animal husbandry and a high degree of stock management and finishing skills, and in-depth knowledge of Health & Safety requirements, awareness of animal welfare practices.

Please email a CV with at least two independent referees to: holmes@holmesgroup.co.nz

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

If this sounds like an opportunity for you, please email your CV and cover letter, or any questions to: mhull@associatedauctioneers.co.nz or phone 027 777 8285

The successful candidate needs to be able to take control and responsibility for the development of the stock on the farm. As a result, you will need to have at least five years of full-time farming experience, with relevant type of stock. Preferably you will hold a relevant agricultural qualification.

For more information please contact Ken on 0274 963 079

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

LK0097695©

Northland We are running a beef breeding/finishing farm about 20 minutes west from Warkworth.

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

ATTENTION FARMERS

An exciting opportunity has arisen for a Saleyard Manager to join our Frankton Saleyard Team. You will be responsible for carrying out the management of day-today Saleyard operations. This will include managing the Saleyards team to ensure the safe and efficient conduct of the livestock sale.

Experienced Livestock Farmer

On-farm accommodation is available.

LK0098050©

LIVESTOCK SALEYARD MANAGER - FRANKTON

For further information please contact: Andy Gardiner 022 1324 297 or 06 376 8451 Email: nicandygardiner@gmail.com

A clean drivers licence is required.

Please reply with CV and we will process your application ASAP.

TE KUITI LIVESTOCK CENTRE

A competitive salary will reflect your skills and experience plus other benefits including a recently renovated and insulated 3 bedroom house.

We require a clear police history, no drug history and no health issues that will affect your ability to perform active farm work.

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

Replies to Waide Jones, phone 027 594 8911 or to Tapanui Station1370 Mairoa Road RD1, Piopio or Box 81, Morrinsville. LK0098036©

Skills required: • Honest, trustworthy and reliable • Excellent communication skills and work ethic • Take pride in your work and have an eye for detail • Enjoy life and willing to take on responsibility • Able to work unsupervised as well as part of a team • 3+ working dogs • Willing to have fun and learn new skills

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

FARM MINDERS RETIRED SHEEP AND BEEF farming couple available to look after your home, animals and farm nationwide. Phone Margaret 021 327 980 or David 0274 484 022.

LK0097792©

Limehurst is a 670ha breeding/semi finishing farm running 3000 breeding ewes, 140 MA cows and trade bulls and lambs. We are located 15 minutes from the closest service town Pahiatua, with a 97ha finishing block 15 minutes east of Dannevirke. Limehurst has recently undergone a capital development programme and needs someone with drive and enthusiasm to help fulfil its potential.

ANIMAL HANDLING

Shepherd General

LK0097839©

A Good Keen Shepherd

Classifieds

ATIONAL VISIT US AT NITE#RL61 FIELDAYS S

NEW HOMES

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

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

LK0097239©

Employment

Livestock

FARMERS WEEKLY – June 10, 2019

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

CAPITAL ROMNEY FLOCK SALE 300 SIL ewes & hoggets from 10 year ‘twin only’ project LK0098057©

Refer Trademe ad# 2178452204

Or phone Kelso and Jane Rushton 06 374 2815

80 YEARS NEW

SALE TALK

STOCK FOR SALE

A kindergarten pupil told his teacher he’d found a cat, but it was dead.

Gisborne Angus Breeders Sale 22 Angus Bulls

260 ROM 2TH EWES ROM RAM 05/03 ROM 4&6TH EWES SUFTEX RAM 05/03 500 ROM 4&5YR EWES ROM RAM 05/03 Scanning 07/06 550

“How did you know the cat was dead?” asked the teacher.

Matawhero Sale Yards

STOCK REQUIRED

STORE LAMBS 32-40kg HEAVY MALE LAMBS 36-42kg MA ANGUS COWS – NOV/DEC BULL R2YR ANG & AX STEERS 460-500kg

“Because I pissed in its ear and it didn’t move,” replied the kid innocently.

FOR SALE - 70 R1 Red Devon Bulls Good sound moderate Bulls, suitable for Dairy Sire Bulls this coming Spring. - 110 R1 Red Devon Heifers Suitable for breeding or fattening. These 2 lines of cattle come highly recommended and are for genuine sale. They carry the C10 TB Status and are from a closed property (i.e. no outside cattle come onto property). South Canterbury area. The heifers are available immediately and the Bulls by forward Spring Contract

New date:

Monday 24th June 2019

New time:

ALPINE ANGUS Steve Herries 027 289 3001

Sale starts at 12.30pm

ORERE ANGUS Ben & Kylie Johnson 06 867 8089

New Line up of Breeders: Alpine, Orere, Waimata

WAIMATA ANGUS Pat & Evelyn Watson 06 867 0336

150 MA SIF HINDS

‘You did ‘What?????” the teacher exclaimed in surprise.

CONTACTS:

www.dyerlivestock.co.nz

Ross Dyer 0274 333 381

‘You know,” explained the boy, ‘I leaned over and went ‘PSSST’ “ and it didn’t move”.

For further information: Wayne Andrews • 027 484 8232

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

86a Thames Road - Paeroa - 20th June 2019- 1pm

PETER WALSH & ASSOCIATES LTD www.peterwalsh.co.nz

Wa i t aw h e t a A n g u s On Farm 2yr Angus Bull Sale - 26 Bulls Bulls Sired By:

Waitawheta H8 ET - Waitawheta D12 - Basin Paycheck 5249 Kowai Trust 484 - Glanworth Waigroup 1213

TARANAKI CATTLE FAIR

Waimata E230 - MF Wallace 2014

Stratford Saleyards Wednesday 12th June 2019 12 Noon start

Best offering of Waitawheta Angus Bulls to date

Comprising 1000 Cattle Special Entry Account Warren & Karen Petersen 100 x R3yr Hfd/Frsn & Ang/Frsn Hill country steers.

Enquiries to: Stephen Sutton 027 442 3207

LK0098035©

Terrific boned cattle with potential.

Contact: Alistair & Pat Sharpe 07 863 7954 or 021 054 7862 Kevin Fathers 0272 799 800 - Brent Bougen 027 210 4698 - NZ Farmers Livestock Stud Stock

Key: Dairy

since 1937

Beef

Sheep

DANNEVIRKE WINTER EWE FAIR Thursday 13th June 11.30am start Dannevirke Saleyards Houkura Farms Ltd Waione CAPITAL STOCK Due to sale of farm PGG Wrightson will offer the following capital stock: 1260 Romney 2th Ewes SIL Romney Ram 11/3/19 2000 Romney MA Ewes SIL Romney Ram 18/3/19

Annual Sale

Wairere bred – to be scanned 10/6/19 Further details contact: PGGW Dean Lindsay 06 374 2759 or

110 Bulls

0274 421 753

James Fraser 021 186 4796 Donald Hay 021 187 8186

www.sternangus.co.nz

Other CLEARING SALE OF ARABLE & VEGETABLE, IMPLEMENTS & MACHINERY ON ACCOUNT ALPINE FRESH LTD Wednesday 19th June 12.00pm C/o AC & A Howey 75 Divan Road, Timaru Complete Dispersal Sale: Includes 18 Tractors, 4 Truck Trailer Units, Combine, Ag Trailers, Telehandlers, Utes, Hard Hose Irrigators, Large range of Cultivators, Drill, Rollers, Fert Spreaders, Hay Making Equipment, Potato and Onion Planting and Harvesting Equipment. Many items of miscellaneous Tools and Equipment. Full details & photographs available on Agonline & Facebook Signposted off SH 1 & SH 8 Sale conducted Purchase Price plus 15% GST

20 June – 12.30pm Totara Valley, South Canterbury

The Bull Sales Specialists LK0098030©

STERN ANGUS

If you are looking for Pure NZ Genetics with substance and constitution we recommend you attend this sale.

View upcoming bull sales pggwrightson.co.nz/bullsales

Terms are Cash or Cheque on Day of Sale unless you have PGG Wrightson Ltd account. No Eftpos available. Enquires: Jonty Hyslop 027 595 6450 or Logan Scannell 027 251 1711

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

Helping grow the country

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

Livestock

FARMERS WEEKLY – June 10, 2019

Breeder strikes Irish deal

BULL SALE

Colin Williscroft colin.williscroft@globalhq.co.nz

44 ANGUS 2-YEAR-OLD BULLS FRIDAY 14TH JUNE AT 1PM 839 VALLEY ROAD, HASTINGS Contact: Will MacFarlane 06 874 8762 will@waiterenui.co.nz

LK0097758©

A CANTERBURY Hereford stud has sold semen from one of its bulls to Ireland now Tararua Breeding Centre is licensed to collect and export bull beef semen to Europe. Manager Robyn How said since 2007 no beef semen could be collected or exported to the Europe because with CRV and LIC were the only centres licensed for that and they used only their own dairy bulls. There had been a lot of interest in getting beef semen into the EU but quarantine restrictions meant it had to come from a standalone centre and that was costly. However, she was not put off. “After a lot of pestering and some nagging by clients, when an opportunity arose, I decided to set up an EU centre to cater for the beef industry as well as private dairy bulls for export to the EU.” That prompted Silverstream Charolais stud, which also produces Hereford bulls, to act. Silverstream’s Anna Fisher said three years ago she was visited by a group of Irish Hereford breeders touring New Zealand and Australia looking at bulls. The group was impressed by the stud’s bull Gay Olympus but there was no licensed centre to collect semen for export to the EU so the opportunity was lost. Gay Olympus has since died but Silverstream bred this son, Pute Nascar N13. Fisher and her husband Brent had

GOING: Semen from Silverstream Charolais’ Hereford bull Pute Nascar N13 is being exported to Ireland.

After a lot of pestering and some nagging by clients, when an opportunity arose, I decided to set up an EU centre to cater for the beef industry as well as private dairy bulls for export to the EU.

kept the Irish group’s contact details and, after learning the Tararua centre is now licensed, got in touch, sending a video and photos of the bull along with EBV and pedigree details. The Irish were keen so Pute Nascar N13 is now at the Woodville

centre, where he will spend about four months. Fisher said the Irish group is looking for genetics from outside Ireland and is after a bull with a good constitution and natural toughness. Silverstream has had an increase in inquiries from overseas recently for its Charolais and Herefords. “They are looking for that genuine NZ hardy type of animal that will perform well in their overseas environments. ‘“There are many opportunities for NZ genetics of any breed that can offer this type of animal as overseas breeders are demanding more genetics from a grass-fed system.” Silverstream is now looking at other opportunities in the EU for Nascar and other bull semen.

“The proof is in the

Pudding Registered

Herefords

bulls

find out more at: www.herefords.co.nz

Making Black Better!

Livestock

FARMERS WEEKLY – June 10, 2019

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

Store cattle markets likely to stay strong Suz Bremner suz.bremner@globalhq.co.nz THIS early in the season it is a bit like crystal-ball gazing to predict what spring store cattle markets will be like but with weaner fairs finished and sales shifting into winter mode it is an opportune time to start thinking ahead. Weaner fair results were overall softer than last year and for similar reasons the spring store cattle market will likely tread a comparable path. To put into context recent price trends, a look back over the last few years is worth exploring. The 2016 and 2017 levels were very similar while R2 steers and R1 steers and heifers lifted into 2018 and R2 heifers held. Last year R2 traditional steers in the North Island averaged $3.40/kg LW and heifers $3.15/kg LW. Dairy-beef steers traded at $3.05-$3.10/ kg and heifers $2.70/kg with South Island prices discounted by 15-20c/kg. R1 traditional steers averaged $3.90$4.10/kg LW while heifers were consistent at $3.50-$3.85/kg LW. Dairy-beef steers largely traded at $3.30$3.50/kg LW and heifers, $3.05-$3.15/kg LW. Again, South Island prices tended to trail by 5-15c/kg and bidding was much more cautious as Mycoplasma bovis came to light and was still very much an unknown quantity. From 2016 to 2018 there were some of

Looking for Hill Country Bulls?

ON FARM HERD SALE ON A/C JOHN MCLAUGHLIN & WENDY STICHBURY Tuesday 11th June – 12 Noon 74 Seagrove Road, Waiau Pa (Pukekohe) OCD572 129 - In Milk Autumn Calved Friesian/ Friesian Cross Cows. PW up to 280, 6 years and younger (high percentage of 3 & 4 year olds).

Meadowslea F540

Meadowslea Angus offers: 76 Hill Bred Bulls Strong NZ Bloodlines

might be that there will be a delay in buyers entering the market, which, in turn, will put pressure on early spring sales. A relatively new negative influence on the market is M bovis and it looks set to impact for another year at least. The Ministry for Primary Industries is now looking at younger age groups of mainly dairy and dairy-beef cattle so no one can really relax. Farms that have already been under Notice of Direction for older age groups are finding themselves back in that situation and so the vicious cycle continues.

That leads to some farmers questioning their farming policies and are showing a reluctance to take on certain breeds, especially the Friesian bulls. However, good genetics and breeding will always be a winner and that starts at the farmgate with the breeding cows and the bulls they go to. Demand and prices for well-bred, traditional and exotic cattle rarely wavers but the increased frequency of beef-dairy and dairy-cross animals in recent times means there is an oversupply and buyers are very selective, as they can afford to be.

IT ALL STARTS HERE

Pinebank By Private Treaty Celebrating 100 years of breeding history 1919 - 2019

On property Fairlie, Friday June 21 at 1pm

Payment 14 days from date of sale. Cows will be milked after the sale and delivery will be either the day of the sale or Wednesday 12th.

BULL SALE RESULTS 2019

Farmers Weekly will be sending the autumn bull sale results e-newsletter from May 2019. Contact Nigel on 06 323 0761, 027 602 4925 or livestock@globalhq.co.nz to sign up or include your sale results and receive weekly updates.

DON’T MISS OUT.

farmersweekly.co.nz

LK0097310©

David Giddings 03 685 8027 PGG Wrightson Peter Walsh & Associates Rural Livestock Carrﬁelds Livestock

LK0097831© LK0093012©

Catalogue online and on facebook: www.meadowslea.co.nz

LK0097961©

Contact Wayne Robb 021 712 511

GOING UP: Prices for R1 and RE2 steers lifted last year.

Glanworth on farm auction Thursday 27th June 2019 at 2.30pm

Exceptional Maternal and Fertility traits for Hill-Country

Agents Note: This herd has been owned by the vendor for 5 years. MBOVIS nondetected on milk test. Calved from 10th March. Herd Test on 14th May had an average of 1.62ms/ cow, SCC 99,000.

View Listings on mylivestock.co.nz WAI71616

the best prices ever seen and while it does appear prices have slipped into a new norm at those levels any descent tends to be a catalyst for disaster or, so it appears, the thinking goes. However, prices have come a long way in a short time and while it is balanced with rising costs it is fair to say the beef market is rewarding for producers. Prices continue to track above five-year averages and are moving closer to last year’s levels. The outlook for farmgate beef prices is firm, according to AgriHQ’s Livestock Outlook report, with the expectation killable supplies are going to be tight heading into spring. However, other influences on the market mean it is unlikely we will see prices hit 2018 levels but one could expect that 201617 levels will be achievable. Some buyers are still trying to recoup high prices paid for cattle over the last few years, which did not provide the margins needed, and so that might mean budgets tighten. Weather will play a pivotal role. Before recent solid rain most areas of the North Island had very high soil moisture deficits. Mild temperatures mean grass cover has ticked over in what we know of as a green drought but as temperatures fall the limited grass growth will slow and that is of real concern. Unless winter is mild it is unlikely farmers will have significant cover by August to allow them to start loading up and so it

MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Suz Bremner

Nicola Dennis

Mel Croad

Cattle

Reece Brick

Caitlin Pemberton

Sheep

BEEF

Deer

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

5.50

5.40

NI lamb (17kg)

7.65

7.60

7.65

NI Stag (60kg)

8.90

8.80

11.10

NI Bull (300kg)

5.20

5.30

NI mutton (20kg)

5.25

5.20

5.00

SI Stag (60kg)

8.95

11.10

NI Cow (200kg)

4.10

4.35

SI lamb (17kg)

7.30

7.25

7.45

SI Steer (300kg)

5.15

5.05

5.25

SI mutton (20kg)

5.15

5.05

5.15

SI Bull (300kg)

4.90

4.95

Export markets (NZ$/kg)

SI Cow (200kg)

3.45

3.70

UK CKT lamb leg

9.79

9.88

9.04

US imported 95CL bull

7.60

7.69

6.58

US domestic 90CL cow

7.49

7.55

6.97

Slaughter price (NZ$/kg)

Last week Prior week

Last year

Export markets (NZ$/kg)

6.0

South Island steer slaughter price

$/kg CW

7.5 6.5

Oct

Dec 5-yr ave

Feb

Apr

Jun

2017-18

Dairy

Aug 2018-19

Apr 2017-18

Jun

Prior week

Last year

Coarse xbred ind.

3.26

37 micron ewe

$/tonne

6.75 6.25

Last price*

Urea

625

483

3.35

Super

321

302

4.75

DAP

833

750

Top 10 by Market Cap Company

YTD High

4.35

4.42

3.38

480

Auckland International Airport Limited

8.82

8.875

7.065

The a2 Milk Company Limited

14.28

16.98

10.42

440

Fisher & Paykel Healthcare Corporation Ltd

15.45

16.69

12.3

Spark New Zealand Limited

3.675

4.18

3.54

400

May-18

vs 4 weeks ago

Jan-19

Mar-19

May-19

Listed Agri Shares

5pm, close of market, Thursday

2.920 9.400

Fonterra Shareholders' Fund (NS)

4.000

4.850

3.940

Foley Wines Limited

1.910

2.000

1.470

Livestock Improvement Corporation Ltd (NS)

0.900

1.050

0.750

360

New Zealand King Salmon Investments Ltd

2.200

2.980

2.100

340

PGG Wrightson Limited

0.500

0.580

0.470

Sanford Limited (NS)

6.940

7.060

6.350

Scales Corporation Limited

4.720

5.130

4.340

SeaDragon Limited

0.002

0.003

0.002

Seeka Limited

4.810

5.350

4.200

Synlait Milk Limited (NS)

8.750

11.350

8.450

5900

Butter

5160

5250

5255

Milk Price

6.40

6.48

$/tonne

4.9

11.000

5900

380

320

May-18

Jul-18

Sep-18

Nov-18

Jan-19

Mar-19

May-19

WAIKATO PALM KERNEL

$/tonne

6.21

10.950

5900

Nov

6.05

Delegat Group Limited

AMF

Oct 4 weeks ago

4.57

Port of Tauranga Limited (NS)

10.420

400

Sep

3.51

5.5

5.420

2520

Jul Aug Latest price

3.98

5.16

3.520

2535

3100

3.885

Comvita Limited

2535

3150

Mercury NZ Limited (NS) Fletcher Building Limited

YTD Low

SMP

3200

5.82

16.980

420

3250

10.4

7.53

YTD High

3210

WMP FUTURES - VS FOUR WEEKS AGO

12.5

7.46

14.280

440

* price as at close of business on Thursday

11.32

The a2 Milk Company Limited

3165

US$/t

Nov-18

Ryman Healthcare Limited Contact Energy Limited

3150

Jun

Sep-18

YTD Low

Company

WMP

3050

Jul-18

CANTERBURY FEED BARLEY Prior week

NZ average (NZ$/t)

Meridian Energy Limited (NS)

320

Feb-19 Apr-19 Sept. 2020

DAIRY FUTURES (US$/T) Nearby contract

Aug 2018-19

Last year

360 Dec-18

Jun

Prior week

CANTERBURY FEED WHEAT

Aug-18 Oct-18 Sept. 2019

Apr 2017-18

Last week

Grain

Data provided by

7.25

Jun-18

Feb

Fertiliser

Aug 2018-19

Last week

30 micron lamb

MILK PRICE FUTURES

5.75

Dec

FERTILISER

(NZ$/kg) Feb

Oct

5-yr ave

WOOL

Dec

8.5

5.5

5.0

Oct

9.5

6.5

5.5

5-yr ave

$/kg MS

10.5

7.5

4.5

South Island stag slaughter price

11.5

South Island lamb slaughter price

6.0

8.5

6.5

$/kg CW

8.5 $/kg CW

$/kg CW

5.0

4.5

9.5

7.5

5.5 4.5

Last year

10.5

6.5

5.5

Last week Prior week

North Island stag slaughter price

11.5

7.5

$/kg CW

North Island steer slaughter price

North Island lamb slaughter price

8.5

Slaughter price (NZ$/kg)

$/kg CW

Slaughter price (NZ$/kg)

Ingrid Usherwood

350

T&G Global Limited

2.750

2.810

2.600

S&P/NZX Primary Sector Equity

15855

17434

15063

S&P/NZX 50 Index

9987

10263

8732

300

S&P/NZX 10 Index

9665

10066

8280

250 200

May-18

Jul-18

Sep-18

Nov-18

Jan-19

Mar-19

May-19

S&P/FW PRIMARY SECTOR EQUITY

15855

S&P/NZX 50 INDEX

9987

S&P/NZX 10 INDEX

9665

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019 NI SLAUGHTER STEER ( $/KG)

5.50

NI SLAUGHTER COW ( $/KG)

4.10

SI SLAUGHTER LAMB ( $/KG)

7.30

GOOD 5-YEAR AND MIXED AGE ROMNEY EWES, SIL171-174%, AT FEILDING ( $/HD)

203-209

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

LivestockEye

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

EMPTY: The Temuka sale yards were cold and quiet after the long weekend.

It’s do those other jobs time

T’S been a cooler, wet week over the North Island. Northland’s been blustery and the wind has a nip to it but sunshine and rain mean the grass is growing nicely. There’s been a huge turnaround in ground conditions in the last couple of weeks and it’s now okay for the tap to be turned off. Stock are doing very well. By Friday morning the week had brought 90mm of rain to Pukekohe. Sowing or planting is on hold because of waterlogged soils. Leafy crops are still being harvested but conditions are muddy and unpleasant. Farms near Hamilton in Waikato had a very useful 60mm of rain a week or so ago and 50mm last week. Daytime temperatures took a dive but have crept back up to between 13C and 16C. Farmers will be making sure all the jobs are done so they can pop out to the National Agricultural Fieldays at Mystery Creek. In Bay of Plenty patchy weather delayed the last of the green kiwifruit harvest. There’s snow on Ruapehu and, along with cold weather, King Country has had scattered rain. Ewes are being scanned and lambing numbers look as though they will be down by 3% on some farms and up to 15% on others. Farmers are putting that down to the stress of facial eczema, a dry summer and a lack of feed at tupping. Children were playing in the snow in the ski-field car park at Mount Taranaki a week ago. Soil temperatures have dropped and are hovering between 8C and 10C, which will knock back grass growth. Pasture covers are looking good though. Taranaki has also had a good drop of rain. We know of two Taranaki farmers who have headed off to Bali for a

much-needed break now the cows are dry. East Coast wants a bit more rain. Maize is still coming off paddocks and the clean-up is continuing at Tologa Bay, a full year after forestry debris swept across farmland causing huge damage along the way. Farms near Hastings in Hawke’s Bay had 20mm of rain on Wednesday night, which was sorely needed. For May the district had 14mm. The moisture will make a huge difference for new grass. May also brought half a dozen or more frosts but cracking days afterwards so, with no mud, pasture use has been stunning. Wairarapa has also been cold with intense rain, flooding on some farms and snow in the Tararua Ranges. Feed-wise it’s looking quite good for the time of year and farmers are just knuckling down for winter making sure any mouths that don’t need to be on the farm are sent on their way. Manawatu and Rangitikei, which were dry in patches, should be ticking along now for grass growth following rain. There’s been the odd cold day but soil temperatures are not too bad for the time of year. Stock are in good order and are growing well. Horowhenua has become quite wet. SOUTH ISLAND TREE pruning in orchards has been a stop-start affair in Nelson and Motueka because of intermittent showers. An apple grower at Motueka says staff-wise he’s pleased to be set up for winter with a team of Recognised Seasonal Employer workers supplementing his permanent staff. The apple harvest is packed and is being slowly released from local cool stores for export. Marlborough’s had its first taste of

winter. It’s been fine and frosty but about 15mm did fall onto lower hill country farms earlier in the week. There have been some chilly northwest winds too. Most people are in the thick of ewe scanning while beef cattle are grooming pastures in preparation for lambing. Grape pruning is in full swing in the vineyards. A West Coast farmer at Rununga says he woke to the first winter frost last week. There’s also been a bit of rain. Everyone’s dried off their herds now and is feeding out daily. Silage is the main cow tucker and farmers are well stocked up with it for winter. New dairy staff have started and people are getting maintenance jobs ticked off. A week ago 80mm to 100mm of rain fell across Canterbury. On the upper plains up to 30cm of snow fell. Temperatures have plummeted. For many who are starting animals on winter feed it’s been hard work with a sea of mud and unsettled stock as they get used to being rationed to small sections of the paddock each day. South Otago missed most of the rough weather last week. Our contact, whose farm is a stone’s throw from Balclutha, says they’ve had 17mm of rain so far in June and with the soil temperature at 8C, grass growth is ticking along nicely. His rams have come in and cattle are going onto winter crops. It’s muddy underfoot in eastern Southland. A farmer at Waimahaka got 70mm of water in the gauge for the month and says a bit of sun would be nice. Since drying off the cows are behind wires on kale and fodder beet. Some farmers in the region are still waiting to get their surplus dairy cows off to the freezing works. The farmer we talked says he’s been busy getting the new contract milker settled in and up to speed with the layout of the farm.

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 – June 10, 2019

Winter arrives in a big hurry Winter waited until the eleventh hour of autumn to make itself known but it has come in a hurry across the country. Snow to low levels in some areas and heavy rain coupled with cold temperatures mean waving goodbye to the mild autumn days. Store cattle sales have slipped into winter mode but store lambs came out in high volume despite the short week. North Island yards reported a softer tone at the lamb pens while South Island results varied with Temuka holding value but Canterbury Park easing. NORTHLAND Kaikohe • Heavy R2 Simmental steers earned $3.00/kg • Dairy-cross cows earned $1.60/kg • Yearling beef-cross heifers sold for $2.10-$2.30/kg The short week and poor weather resulted in one of the smallest sales this year at KAIKOHE with under 200 head of cattle, PGG Wrightson agent Vaughan Vujcich reported. R2 beef-cross steers sold for $2.70-$2.80/kg, while good quality R1 Simmental steers sold reasonably well with lighter weights making $3.15/kg. Two-year Short Horn-cross heifers were cheaper buying at $2.10/kg.

COUNTIES Tuakau sales • Heavy store steers sold to $3.01/kg • Weaner heifers, 120-200kg, returned $450-$630 • Well-conditioned Friesian cows earn $1.80-$2.08/kg • Top prime ewes made $215 About 360 store cattle were yarded at TUAKAU on Thursday and prices for all classes improved, Chris Elliott of PGG Wrightson reported. The market for 300-400kg cattle lifted by 10c/kg, with steers in this range making $2.50-$2.90/kg. Heavier steers, 400-510kg, earned $2.64-$3.01/kg and 200-300kg steers,

$2.70-$3.00/kg. Weaner steers, 130-200kg, made $605-$740. Heavy heifers, 415-440kg, traded at $2.60-$2.65/kg, with 300-400kg making $2.60-$2.71/kg and 200-300kg, $2.50$2.79/kg. Wednesday’s prime sale drew a small yarding and the market was firm. Heavy steers sold at $2.75-$2.88/kg and the next cut made $2.67-$2.75/kg. Heavy heifers sold at $2.75-$2.85/kg and medium, $2.65-$2.75/kg. Beef cows earned $1.88-$2.28/kg, with medium Friesians fetching $1.60-$1.80/kg. Lighter boners sold down to $1.25/kg. Good prime lambs made $140-$180 on Monday. Medium primes earned $100-$145 and stores, $100-$120. Heavy ewes returned $150-$215 and medium, $100-$145.

WAIKATO Frankton cattle • R2 Angus-cross steers, 312kg, earned $2.85/kg • R2 Hereford-dairy cross steers, 392-440kg, eased to $2.60-$2.76/ kg • R2 Hereford-Friesian heifers, 331-396kg, held at $2.68-$2.72/kg • R1 Hereford-Friesian steers, 122-189kg, improved to $420-$655 • R1 beef-dairy heifers, 146-229kg, lifted to $430-$600 A slightly increased buying bench at FRANKTON last Wednesday meant that most of the 450 cattle yarded traded on a steady to lifting market. Seven R2 Murray-Grey heifers, 277kg, fetched $2.80/ kg, while Hereford-Friesian, 267-328kg, softened to $2.23$2.27/kg. Hereford-Jersey, 263-336kg, managed $2.21$2.46/kg. A consignment of quality R1 Angus steers and heifers were well received, with steers, 226-301kg, earning $800-$900, and their sisters, 181-273kg, improving to $490$755. Just a smattering of prime cattle was penned, and all beef-dairy heifers, 505-620kg, were solid at $2.76-$2.80/kg. Four beef-cross cows, 555kg, topped their section at $2.11/ kg.

BAY OF PLENTY Rangiuru cattle and sheep • Top R2 Angus steers, 395kg, hit $3.14/kg, and 391-436kg, $2.94/kg • R2 Hereford-Friesian heifers, 424-455kg, firmed to $2.71-2.77/kg • R1 Hereford-Friesian steers, 182kg, made $560 • Boner cows, 410-505kg, climbed to $1.82/kg Vendors continued to offload some stock into RANGIURU last Tuesday, and store cattle results were solid. R1 cattle sold to current market values as Angus-Friesian heifers, 150-165kg, traded at $410-$430,and Hereford bulls, 202kg, $590. Very few boner cattle were penned, with a significant drop in cow entries. Sheep volume was also drastically down with only 126 sold, and the top prime lambs made $162-$169.

TARANAKI Taranaki cattle • Hereford-Friesian R2 steers, 359-420kg, lifted to $2.90-$3.02/kg • Short Horn-cross R2 heifers, 325kg, earned $2.62/kg • Mixed-age vetted-in-calf Hereford cows, 787kg, lifted to $1750 • Jersey boner cows strengthened to $1.64/kg There was a low number of cattle at TARANAKI last week, as is typical for this time of year. R2 steers were limited although these sold well, with heifers mixed and most sold for $2.42-$2.51/kg. The R1 pens were mostly HerefordFriesian heifers, 167-199kg, which sold for $455-$530, $2.66-$2.72/kg, while 231kg made $560, $2.42/kg. Mixedage Friesian cows sold for $1.75-$1.89/kg, while Hereford were slightly above this at $2.05/kg.

HAWKE’S BAY Stortford Lodge store cattle and sheep • Good cryptorchid and ram lambs eased to $135-$153.50 • Medium cryptorchid came back to $130.50-$135.50 • Good ewe lambs held at $117.50-$140 • Most mixed age scanned-in-lamb ewes traded at $169-$180 • Ten R1 Angus steers, 273kg, earned $920 With just 57 cattle on offer the focus was very much on the sheep pens at STORTFORD LODGE last Wednesday. Store lamb volume approached 9000 head, with a larger variance of type in the pens. Short term, quality lambs held value, but lesser types eased or came back. Heavy cryptorchid and male lines held at $144.50-$166.50, with heavy ewe lambs up to $145-$159.50. Medium-good ewe lambs eased to $106-$125, and lighter types, $83-$103. Breeding ewes sold on a softer market as three to five-year Romney, scanned 180%-181%, made $194-$197. There was only a few highlights to the cattle sale, with eight R2 Hereford bulls, 512kg, making $1530, while similar weighted Hereford-beef fetched $1430, $2.69/kg.

MANAWATU

ALL IN: Cattle are herded into the arena at a recent sale at Stortford Lodge.

Feilding prime cattle, sheep and calves • Best of the prime cows achieved $1.85/kg. • Prime lamb median improved to $168

SALE YARD WRAP

FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019

SLIM PICKINGS: There was plenty of room at last week’s sale in Temuka. • Top ewe lambs made $171-$179 There was a reduction in numbers of both prime cattle and sheep at FEILDING last Tuesday. No steers were on offer, and dairy and dairy-cross heifers sold in a $1.46$1.60/kg range. Angus and Angus-Hereford cows made $1.74-$1.85/kg with Hereford-Friesian at $1.71/kg. Most boner Friesian cows, 480kg and better, sold for $1.70-$1.80/ kg, including in-calf cows. Prime lamb numbers were in line with the previous week and a significant number achieved the top price level of $186-$189. Very good prime ewes reached $158-$159, and good, $140-$143. Feilding store • R3 traditional steers, 485-565kg, made $3.03-$3.12/kg • R1 traditional steers, 250-290kg, went for $850-$880 • R1 traditional heifers, 165-210kg, went for $490-$610 • Good mixed age and 5-year SIL ewes were $203-$209 • Mid-range male lambs were mainly steady at $135-$146.50 A little more than 1200 store cattle were available. It was a mixed quality yarding, with a large selection of R1 steers and heifers. R2 traditional steers, 515-575kg went for $2.92$2.97/kg, while the beef-Friesian types were mainly $2.67$2.83/kg. Beef-Friesian R2 heifers, 285-370kg, made $2.42$2.52/kg. Mixed quality kept 370-515kg R2 dairy bulls down at $2.41-$2.49/kg. Straight-beef R1 steers, 180-245kg, were mostly $715-$795, with 230-260kg heifers at $660-$750. Around 16,000 store lambs were trucked in, combined with 1500 ewe which began the days action. Good scanned-inlamb ewes, 164-174%, were bought at $201-$209, easing to $170-$190 for some medium-good lines. The average store lamb price eased to $128. Ewe lambs were mainly sold in two ranges; $125-$136.50 and $109-$122. A few male lambs were the strongest at $148-$154, however the mid-range on these was $135-$146.50, with the rest often $114-$134. Rongotea • Two-year Friesian bulls, 440kg, made $990, $2.25/kg • Two-year Angus-cross heifers, 565kg, made $1270, $2.25/kg • R1 Hereford-Friesian steers, 140kg, made $410, $2.93/kg • Friesian bull calves returned $140 A short week and the threat of wet weather resulted in a very small sale at RONGOTEA, NZ Farmers Livestock agent Darryl Harwood reported. Two-year Hereford-Friesian steers, 532kg, earned $2.61/kg, while beef-cross, 343kg, were good buying at $1.63/kg. Two-year Angus-cross and cross-bred heifers made similar money at $2.20-$2.25/

kg. Cross-bred boner cows, 412-579kg, strengthened to $1.59-$1.81/kg, and Jersey boner cows, 487kg, made similar money at $1.70/kg.

CANTERBURY Canterbury park • R1 Charolais steers, 273kg, made $2.84/kg • Top prime steers made $2.72-$2.79/kg • Top store lambs made $120-$130 • Top prime lambs fetched $182-$200 • Prime mixed age ewes mostly sold for $155-$168 A short week resulted in a small yarding of cattle last week at CANTERBURY PARK with just five store cattle sold. Prime steers were mostly Charolais and Angus-cross with the top end steady, while the balance was mostly $2.60$2.61/kg. Top prime heifers traded similarly at $2.61-$2.63/ kg. Sheep numbers were also low, and a lighter average weight meant the overall market was softer. There was a good number of half bred lambs on offer which mostly sold for $110-$129. Prime lamb numbers were limited although prices strengthened following lifting schedules. Coalgate cattle and sheep • Store lamb median rose $3 to $123. • Top mixed sex lambs reached $131-$134 • Top Corriedale ewe lambs earned $128-$135 • Beef-Friesian steers, 360-366kg, sold for $2.19-$2.26/kg • R1 Friesian bulls, 201-258kg, made $300-$400 A large sheep yarding took most of the attention at COALGATE last Thursday. Most lambs were mixed sex and good types traded at $111-$128. The number of prime lambs was comparable to the previous week, and the market remained steady as the majority sold for $130-$179. Ewe volume was low and most returned $123-$172. R2 steers dominated a small store cattle section and three Hereford, 488kg, fetched $2.54/kg. R2 beef-cross and beef-Friesian heifers, 325-365kg, sold for 2.00-$2.09/kg.

SOUTH-CANTERBURY Temuka cattle and sheep • Prime Hereford and Hereford-Friesian steers, 608-665kg, made $2.60-$2.70/kg • Prime Hereford heifers, 690kg, earned $2.62/kg

• Prime Angus cows, 565-658kg, lifted to $1.74-$1.85/kg • Top mixed sex store lambs earned $151-$164 • Scanned-in-lamb mixed age ewes made $218 Prime cattle throughput dropped last week at TEMUKA, and in general they sold well. Prime steers were of heavier weights which reflected in prices, while prime heifers were mostly Hereford-Friesian, with those 427kg steady at $2.44/ kg. Boner cows sold on a steady to lifting market and most were bought for $1.43-$1.54/kg. The volume of store lambs was higher than typical for this time of year, and demand was strong with the average prices lifting to $123.20. The prime pens lifted with most lambs at $140-$188 and the top mixed age prime ewes strengthening to $250-$270.

OTAGO Balclutha sale • Balclutha Heavy prime lambs, made $160-$190 • Medium prime lambs sold for $130-$150 • Heavy prime rams earned $100 • Top store lambs made $115-$120 At last week’s BALCLUTHA sale the market lifted across the board, following lifting schedules which is boosting confidence. Prime lambs sold very well, as did ewes where heavies lifted to $150-$190. A smaller volume of store lambs sold with good demand and lifted around $2 at the top end.

SOUTHLAND Charlton sheep sale • Heavy prime lambs made $175 • Heavy prime ewes earned $176 • Top store lambs fetched $128 • Capital stock two-tooth and two-shear TEFRom ewes, scannedin-lamb, made $237-$247 • Capital stock three-shear TEFRom ewes, scanned-in-lamb, earned $224 Prime lambs lifted at CHARLTON last Thursday with the top end up $15, and medium to $145-$155. Prime ewes also lifted $20 at the top end, while local trade rams softened to $75-$85. A medium yarding of store lambs sold to steady demand although prices looked to soften. Medium lambs made $110-$120, and light, $95. In-lamb capital stock TEFRom ewes were also on offer and demand was high, with four-shear and five-shear earning $201 and $186 respectively.

Markets

56 FARMERS WEEKLY – farmersweekly.co.nz – June 10, 2019 NI SLAUGHTER LAMB

SI SLAUGHTER STEER

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Butter prices are continuing to slide Hugh Stringleman hugh.stringleman@globalhq.co.nz

LOBAL Dairy Trade prices fell by 3.4% in the first June auction with some hefty losses by cheddar, butter and anhydrous milk fat. Cheddar lost 14% while butter was down 10.3% and anhydrous milk fat by 5.7%. Whole milk powder prices dropped a relatively minor 1.5% and skim milk powder was down 4%. The dairy commodities market has fallen 4.5% since the beginning of May after a sustained run of increases between November and April totalling 28%. During that uplift WMP rose from US$2600 a tonne to $3300 and has since fallen over the past five fortnightly auctions to $3138. ASB senior rural economist Nathan Penny said the recent retreat in WMP prices is not material in his forecast of a $7/kg farmgate milk price in the new season because only small powder quantities were being sold. “How prices fare during the spring flush will be the next key test. “We continue to expect dairy prices to move towards a cyclical peak later in the year.” Westpac senior economist Anne Boniface said WMP prices remain comfortably above the US$3000 level and she is slightly more optimistic than Fonterra’s $6.25-$7.25/kg forecast. Differing from the ASB outlook, Westpac expects prices to soften modestly over the second half of the year as global supply increases a little.

WAIT: How dairy prices fare in the spring flush will be the next key test, ASB senior rural economist Nathan Penny says.

There is a long way to go before milk prices are finalised in September next year. Anne Boniface Westpac “Some further weakening in the NZ dollar should help, however, there is a long way to go before milk prices are finalised in September next year.” Milk price futures are trading at $6.85, having fallen a little from $7, Boniface said. Penny said the falls in butter and

AMF prices suggest an easing in global milk fat markets, which had been growing strongly over the past six months. “The sudden slowdown in NZ production given the hot and dry summer weather had previously put the squeeze on milk fat markets. “The latest GDT result suggests some pullback.” Butter has been volatile, sliding from US$5500 this time last year to a low of $3600 in November before gaining 50% in price to $5500 again in April and falling to $4800 now. Statistics NZ said dairy exports set a new record in rising 19% by volume in the March quarter and 9.5% by revenue. The previous quarterly volume record was in 2012.

ACROSS THE RAILS SUZ BREMNER

Mixing breeds produces an interesting variety of cattle types BREEDING bull sales are in full swing and are a great show of the diversity of breeds New Zealand now has on offer. Gone are the days of being able to buy only Angus or Hereford. The choices now are endless as the need to service a wider variety of end-users has grown this industry to new heights. Given that diversity, the mix of cattle now available is staggering. Away from the stud breeders’ paddocks purebred cattle are harder to find than in the past as farmers mix and match to find the best fit for their farming situation and goals. That means a wide variety of cattle “breeds” have evolved and to put a name tag on a line of cattle can be one of the biggest challenges faced by those in the market. Commercial dairy cows are crossed with traditional or exotic bulls to produce salable progeny to the wider farming industry, mainly to finish, while beef farmers like to stick very close to their hearts with bulls typically bought from the same stud breeders to continue to build on generations of breeding. Sale yards in dairy-dominant areas offer up more in the way of dairy-beef lines – dairy or dairy-cross maternal but beef paternal and they can come forward in all shapes and sizes. A good trick is Angus-Friesian or Angus-Jersey, where on the face of it they are straight black cattle but the tell-tale signs of smooth coats, finer features and colouring along the backbone compared to their purebred Angus mates are a giveaway. Lines in beef-dominant areas can also leave people scratching their heads as the popularity of crossing traditional and exotic has grown so a line that might look Hereford, for example, could in fact be crossed with Simmental. It’s such a fun game picking breeds but it is all for the greater good in most cases. A relatively new breed in New Zealand is Speckle Park, which has grown in popularity. The Canadian nationals are renowned for ease of calving and early finishing and producing meat with high marbling and low fat. They also stand out from the crowd at any yard because of their unusual colouring, making crossbred progeny popular with small block holders. They are also as front paddock cattle. suz.bremner@globalhq.co.nz

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Powerful 3800W run watt generator Made to power 2 high drain devices USB CHARGING PORT 2 x 240V sockets Electric start, with battery included Long 14 hour runtime (50% load) Compact and easily portable Two speed motor control 2.4A USB outlet to power personal devices Safe to use on the most sensitive electronics

1,097

RRP $297.95

24997 EA+GST

FREE SITE VISITS! GET YOUR SHED SORTED!

FARM BUILDINGS BY GOLDPINE

ONLY

EA+GST

H4 treated legs are made to last

Double stapled netting for increased security

Raised platform allows good airflow keeping the kennel dry

Give us a call on 0800 2 GOLDPINE

Jump on to www.goldpine.co.nz

® ® We could We could buildbuild our Stongbuilt our Stongbuilt Sheds Sheds lighter, lighter, but we butdon’t we don’t and and won’t. won’t. ® ® Sheds Sheds are...are... That’s That’s why why Strongbuilt Strongbuilt

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3 Bay Lean-to

Bays: Depth: Height:

3 x 4.2m 6.0m (2 x 3.0m) 4.0 – 3.4m

2 Bay Lean-to

Bays: Depth: Height:

2 x 3.6m 3.6m (1 x 3.6m) 3.6 – 3.0m

Angus Lifestyle Barn

B A R N S

Bays: Depth: Height:

3 x 3.6m 9.0m (3 x 3.0m) 3.9 – 3.0m

3 Bay Gable

B A R N S

Give us a call on 0800 2 GOLDPINE

Please note: All stores will be closed for Queen’s Birthday (Monday 3rd June)

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Bays: Depth: Height:

2 x 4.5m 6.0m (2 x 3.0m) 4.2 – 3.0m

3 Bay Lean-to

Bays: Depth: Height:

Jump on to www.goldpine.co.nz

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S T A B L E S

Check in store for fantastic deals on Goldpine Farm Buildings! All prices, both RRP and promotional, are exclusive of GST and are for 1-28 June 2019 and whilst stocks last. Photographs are for illustrative purposes only. All ecoliving® furniture, garden products, animal shelters and sheds come in easy to assemble kitset form.

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3 Bay Lean-to

3 x 4.0m 8.0m (2 x 4.0m) 3.0 – 4.6 – 3.0m Inc l. P A

S H E D S ,

Bays: Depth: Height:

3 x 4.5m 9.0m (2 x 4.5m) 3.9 – 3.0m