Farmers Weekly NZ July 11 2022 by AgriHQ

5 Dairy despair at EU deal Vol 20 No 26, July 11, 2022

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Commission urges climate changes Richard Rennie richard.rennie@globalhq.co.nz

KEY plank of the He Waka Eke Noa (HWEN) partnership has been given the thumbs down by the Climate Change Commission in its independent assessment of how ready farmers and the sector are for emissions pricing. The assessment will influence the government’s decision later this year as to whether agriculture’s proposal will sit outside of the Emissions Trading Scheme (ETS), or not. The commission has acknowledged the sector’s efforts committed to developing a split gas approach to farm emissions. But it has also advised it wanted to see some critical changes made to HWEN’s plan for farmers to be paid for carbon absorbed by on-farm vegetation, used to help mitigate the financial impact of emissions pricing. This would be from vegetation that is not eligible for the NZ ETS credits. Commission chair Dr Rod Carr said the proposal would be expensive, complex, inequitable and difficult to audit and enforce. The commission did not believe it would significantly improve emissions outcomes. Carr said farmers already have access to the NZ ETS for some onfarm sequestration. “A separate system for carbon absorbed by vegetation that is not

recognised in the NZ ETS could better reward the wide range of other benefits on-farm vegetation provides, such as enhancing water quality and biodiversity and ensure equity between farmers and other sectors,” he said. But this has raised strong disagreement from pastoral sector leaders. Beef + Lamb NZ and Dairy NZ have jointly slammed the commission’s advice there be no recognition of sequestration on farm through HWEN.

A separate system for carbon absorbed by vegetation that is not recognised in the NZ ETS could better reward the wide range of other benefits on-farm vegetation provides, such as enhancing water quality and biodiversity. Dr Rod Carr Climate Change Commission DairyNZ chair Jim van der Poel said the proposal was a credible plan to support farmers to reduce agricultural emissions in a way that was practical and fair to all. He said on-farm sequestration was a foundation of the HWEN partnership with government and

it was imperative it remains so. Recognising the balancing act to get HWEN over the line across the primary sector, B+LNZ chair Andrew Morrison said the crosssector agreement was “finely balanced” and required significant negotiation and compromise to get it to where it was now. “On that basis we urge government to accept our proposal without changes to continue that cross-sector support,” he said. The commission’s analysis showed eligible farmers would be ready to participate in a scheme by its January 2025 deadline. The system would however be reliant upon information technology to record and measure gas emissions being built, alongside compliance and enforcement measures being put in place. The commission also recommends pricing nitrogen fertiliser at the processor level within the ETS scheme as soon as practicable to help achieve broader and more equitable coverage of all nitrogen fertiliser emissions in NZ. It maintains trying to recognise nitrogen emissions at farm from application is a complex, variable task. Emissions from nitrogen fertilisers would therefore attract a levy at the processor level, similar to what emitting fuels do, like petrol. This is also opposed by B+LNZ and DairyNZ. Both groups maintain HWEN is designed to help farmers manage

THE RISKS ARE LESS RISKY WHEN WE’RE PART OF THE PICTURE. Moving ahead means making changes. And that usually comes with a few risks along the way. But with us as your partner, you can progress with more confidence. That’s because FMG offers the kind of specialised advice and knowledge that only comes from working alongside rural New Zealand for generations. To find out more, ask around about us. Or better still, give us a call on 0800 366 466. FMG, your partners in progress.

We’re here for the good of the country.

AS IS: Beef + Lamb New Zealand chair Andrew Morrison is urging the government to accept the He Waka Eke Noa proposal without changes.

emissions through their whole farm system, and it did not make sense to remove one part of it. HWEN programme director Kelly Forster said she welcomed the commission’s support for a farm level split-gas levy approach and the confidence the commission has in farmers being ready for a farm-level system by 2025. She noted the commission has taken a different view to HWEN on recognising sequestration in nonETS vegetation and on nitrogen

fertiliser and both needed further analysis before responding in detail. “It is important to remember the HWEN recommendations are based on giving farmers control over all the levers that impact on their emission, including sequestration and fertiliser use, so they can take a holistic view across their farm system as they make decisions. “We would not want this wholefarm system approach to be undermined.”

Your guide to healthy soil Everything we grow and eat depends on healthy soil - our whenua. When we get the balance right, healthy soil grows healthy food, protects our water quality, and can even help to mitigate the impact of greenhouse gases.

How can deferred grazing promote healthy soil? Deferred grazing is when you temporarily remove an area of pasture from your grazing rotation, to help maintain pasture quality, over the whole farm. It's a low cost, low risk way to improve your soil health and the resilience of your farm system.

Promote healthier soil One of the most significant benefits of deferred grazing is the higher moisture levels that are retained in the topsoil. This is critical in summer dry areas where there’s the risk of prolonged drought. Research also shows pasture quality improves significantly in the following season after deferred grazing. By letting the pasture go to seed and removing grazing pressure, you’re

allowing the plants to divert their energy into growing root mass. With this improved pasture quality, you’ll start to improve your soil health too, as roots can penetrate deeper into the soil, and moisture is retained year-round.

Improve farm system resilience Deferred grazing also helps you build in some resilience around summer feed by providing an extra feed wedge at the end of the dry season. This can help reduce the cost and workload of buying and feeding out supplementary feed. By removing some paddocks from the grazing round, the stocking rate is increased over the rest of the farm. As a result, the spring feed surplus is better utilised and pasture quality is maintained.

Deferred grazing tips & tricks Select 10-15% of your farm’s pastures to defer, choosing paddocks that are not overrun with weeds

Shut the gates from mid-spring when pasture is starting to go to seed until early autumn after seeds drop

Break feed the paddock back into rotation but expect utilisation to be as low as 50%

Treat deferred paddocks like new pasture and graze them lightly again before winter

How does deferred grazing work on farm? Jon Sherlock is a 3rd generation sheep and beef farmer on a challenging 1000ha block just out of Te Akau in the western Waikato. He chats to Ballance Science Extension Officer Angus Dowson about how deferred grazing has improved his soil health.

What are the benefits of deferred grazing? "There are two main benefits – the first is it moves a bit of excess feed from spring to late summer so you can hold pasture quality in spring and then get a valuable chunk of cattle feed in late summer. The second benefit is it helps improve the overall quality of your pasture and soil for the following years."

How and why did you get into deferred grazing? “The first year we did a small trial in two paddocks – one was rolling and one was fairly steep. There were droughts that year and when you’ve been through a dry period, you really see it. Everything else is bare and brown and the deferred paddock comes back really lush and thick - it’s like new pasture.”

Jon Sherlock Angus Dowson

Let’s talk soil health. What changes have you seen in the deferred paddocks? “Yeah – so it’s having an effect on not just the soil moisture but the aeration and the structure of the soil, too. You don’t get that when you cut silage! The new pasture growth comes in thick, like lush new pasture – so I was a bit worried about the clover. But the clover comes back really well too, after the first graze has opened things up a bit. That was really satisfying to see. It’s better than a re-grassing programme, because of that retained soil moisture – which is crucial given the volatile summers we’ve had.”

What are the timeframes you’re looking at when you defer? "After docking time in October, that’s when we closed up the paddocks. You wait for the ryegrass to seed, then get in for the first grazing again after that – sometime around late February. We were able to hold 150 R2yr heifers on 15ha of deferred grazing for around a month – you’ll probably get about 50% utilisation. Then do a pull test on the new grass coming up, view it as new pasture to see when it’s ready for a gentle second grazing, probably around May after some decent rain."

What excites you most about the future of farming? “Pastoral farmers in New Zealand are already doing a fantastic job working with nature, and now there’s the science to prove its benefits. When you have a team of scientists working together with a team of farmers, that’s really cool. We need to look to use the challenges of compliance and regulations to our advantage, to really set New Zealand farmers apart in international markets.”

What would you say to other farmers thinking about giving deferred grazing a try? “It’s so easy to try, it doesn’t cost anything, just try it on a paddock or two. If you end up needing that pasture for stock if things are getting tight, you can always just open the gate.”

Ballance with Nature Making it easy for you to care for and protect your natural resources. If the natural world is healthy, so too are the people. Taiao ora, Tangata ora.

Over the coming months, we’ll be meeting farmers all across the country, celebrating success stories and sharing ideas. Scan the QR code to find out more about soil health.

With Nature Brought to you by

NEWS

21 Wool back as carpet option Efforts to improve the perceptions of wool among millennial consumers is proving a success and helping remove some of the misconceptions about the natural fibre.

REGULARS Newsmaker ��20 New Thinking ��21

11 SFF ‘a solid vessel for choppy waters’

Editorial ��22

Silver Fern Farms (SFF) chief executive Simon Limmer says a solid vessel will be needed to navigate choppy waters ahead as trade grows challenging.

Pulpit ��23 Opinion ��24 Real Estate ��26-29 Classifieds ��30 Travel & Tourism ��31 Tech & Toys ��31 Livestock ��32-35 Weather ��37

15 New chief executive

18 EU FTA brings windfall to

appointed at Overseer

diverse sectors

Jill Gower has been appointed chief executive of Overseer Limited, the organisation that administers the farm planning and management tool OverseerFM.

While the traditional pastoral sector is lamenting the European Union-New Zealand free trade deal as a lost opportunity, a mix of next tier food exporters are thankful for the gains the agreement offers.

Markets ��36-40 GlobalHQ is a farming family owned business that donates 1% of all advertising revenue in Farmers Weekly and Dairy Farmer to farmer health and well-being initiatives. Thank you for your prompt payment.

TIPS FOR winter grazing crops Minimise the impacts on the environment and your animals. After grazing plant a catch crop. Where soil conditions and farm management allow, consider planting a fast growing crop straight after grazing such as greenfeed oats. It can help reduce nitrogen losses.

Think about next year’s paddocks to crop: • • • • •

Consider how new wintering rules may affect you Steeper paddocks come with bigger risks Consider proximity to waterways and gullies, and propensity to flood Soil type can impact productivity, nutrient loss and animal welfare Other factors to consider are: class of stock, animal welfare, access, biosecurity, placement of supplementary feed and water troughs, plan for catch crops and create a winter grazing plan

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

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

DCANZ: PM’s comment hurt EU trade negotiations Nigel Stirling nigel.g.stirling@gmail.com INCREDULOUS dairy industry leaders had to pull the Prime Minister Jacinda Ardern into line ahead of the final stages of trade talks with the European Union after she made comments the industry now believes delivered the final blow to its hopes for commercially meaningful access to the market of 450 million people. Ardern’s conclusion of four years of negotiations with the EU in Brussels last week has been met with a hail criticism from the key pastoral sectors. While the deal eliminates tariffs for second-tier industries such as kiwifruit, Mānuka honey,and wine, it fell well short of the market access wins the dairy and beef industries had been hoping for. And now it can be revealed dairy leaders had to pull Ardern aside after she made comments they believe may well have tipped off the Europeans to a last-minute change in New Zealand’s bottom lines in the trade talks. In a press conference prior to leaving for Europe the PM was asked if she was prepared to walk away from the talks if she couldn’t secure anything more than a “lowquality” deal for NZ exporters. “Of course, what we are seeking is an improvement on the status quo,” Ardern replied. It is understood that in the weeks leading up to the conclusion of the talks Cabinet amended the negotiating mandate given to NZ’s trade negotiators from a “commercially meaningful” deal for key exports to the lower threshold of an improvement on status quo market access. NZ negotiators would still have pushed for a commercially meaningful deal but were now authorised to conclude a lowerstandard one if required.

Ardern’s comments were not reported by the media and the dairy industry only picked them up when a transcript of the press conference was released. Dairy Companies Association of NZ chairman Malcolm Bailey was on his way to Brussels for the final week of talks when he was alerted. He said he was alarmed because he feared the PM had revealed a weakening in NZ’s negotiating position to the EU side.

We have great NZ negotiators but this signalling made their task seem like mission impossible for dairy and beef. Malcolm Bailey Dairy Companies’ Association “DCANZ went to the highest level and expressed concern at the comments and suggested…a different approach,” Bailey said. After being contacted by DCANZ Ardern and other ministers changed tack again to stress the Government remained committed to “commercially meaningful” outcomes for dairy and meat exports and was prepared to walk away from the talks if these couldn’t be achieved. “We encouraged the Government to toughen the language…but it was obvious that the EU side simply did not believe this,” Bailey said. “The damage had already been done.” Bailey said Ardern’s comments were a “gift” to the EU’s agricultural protectionists in the negotiations. “We felt that this signalling was

a gift to the hardliners on the EU side who then knew that they could just stonewall. “We have great NZ negotiators but this signalling made their task seem like mission impossible for dairy and beef.” A senior executive at a big dairy exporter, who did not want to be named, was certain Ardern’s comments would have been relayed to EU negotiators. “If I was the EU ambassador in Wellington I would be reporting back to Brussels assiduously any change in the language, any nuance, because it is really important. “It is a real scoop for them if they figure out that the balance around what we are looking for [from the talks] has changed.” A meat industry source, who attended the talks in Brussels but who also did not want to be named, said they were at a loss to understand the PM’s comments. “I do not know if this was part of their strategy to let the Europeans know we are ready to make a deal now or whether it was just a blunder.” The source said the first the meat industry knew about the change in mandate was when they were briefed by NZ negotiators when they arrived in Brussels. “That seems to have been the goal that they went into final stages of negotiations with. “Which is quite disappointing because the status quo was pitiful and even one tonne over the status quo is an improvement. “So therefore the Government has achieved its mandate.” The source was also bemused by Ardern’s comments at the press conference following the announcement of the agreement where she alluded to possible improvements. “She said this is the first step. I have no idea what she means by that. “In all my negotiating history

NOT HELPFUL: Dairy Companies Association of NZ chairman Malcolm Bailey says Prime Minister Jacinda Ardern’s comments were a “gift” to the EU’s agricultural protectionists in the negotiations.

once the deal is done it is done. “There is no first step, second step, third step. “Maybe in ten or 15 years there might be a review or an upgrade. “It is all just very, very disappointing.” The dairy industry executive said the decision to accept a substandard deal with the EU set a unwelcome precedent which would come back to haunt the dairy and meat sectors in future trade negotiations. “We have agreed to an absolutely minimalist outcome on dairy with one of the world’s largest dairy markets. “It establishes a very clear precedent and where that precedent will be relevant is down the track,” A spokeswoman for Ardern did not respond directly to DCANZ’s

allegations that she revealed NZ’s negotiating bottom lines ahead of the talks’ conclusion. She reiterated the benefits of the deal and said walking away in the end was not an option for the Government given the benefits for the entire economy. “To walk away from the deal would have been to walk away from $1.8b to our exporters, and risk us dropping down the queue, and see other countries negotiate deals ahead of us.” However DCANZ’s Bailey questioned the $600m of predicted benefits for dairy which would most likely not accrue because of the still high in-quota tariffs which would make their use unviable most of the time.

Trade Minister sums up the deal, P6.

Walking away from EU FTA not worth the risk Gerald Piddock gerald.piddock@globalhq.co.nz

GET WHAT YOU CAN: Deputy secretary for foreign affairs and trade Vangelis Vitalis says walking away from the EU FTA would have meant a lower quality agreement the next time New Zealand came to the negotiating table.

A TOP New Zealand diplomat says New Zealand risked being shunted to the back of the line for future trade agreements with the European Union if it walked away rather than sign the newly minted FTA. If New Zealand had walked away and returned, it is doubtful the deal would have been better, Ministry for Foreign Affairs and Trade deputy secretary Vangelis Vitalis said. “What could we bring to the table if we were to re-start those negotiations and where would we be in the queue? “There was no doubt in my mind that if we were to leave, we would be put at the back of the queue,” he told farmers and

industry leaders at the Primary Industries of New Zealand Summit in Auckland. He also has no doubt the EU would be even more protectionist given the current geopolitical landscape on the continent. “A small country walking away from a big country, where the big country does not need you, is a pretty tough call.” Fresh from helping negotiate the FTA agreement with the EU in Brussels, he gave a brutally honest assessment about how tough the negotiations were with the most protectionist agricultural block in the world. “These guys operate in a completely different paradigm. I can’t tell you how challenging it’s been over the past four years to be speaking to 27 countries that believe that FTAs are actually

about managing New Zealand’s access into the market.” He says it “beggars belief” that his EU counterparts thought that giving New Zealand 0.1% of their market risks destabilising it. New Zealand currently has almost no preferential access into that market and was currently not operating on a level playing field. It was also a completely different negotiation to the UK FTA where New Zealand had more leverage. “People in the room might not want to hear this, but when we were negotiating with the EU, we are worth nothing to them.” From the EU’s perspective, they see five million consumers and they already had access to NZ’s market. When that came to the negotiations, Vitalis said he was constantly asked “what’s in this for

Europe”? The EU was more interested in getting access to the larger Australian market. He shared the frustration been vented in the meat and dairy industries regarding where the FTA landed, labelling it shameful. “But also let’s be honest that our current levels of access are negligible to nil.” The EU’s equivalent of Federated Farmers reacted to the FTA by describing it as dairy and red meat being sacrificial lambs with dairy farmers paying a “very high price”. These groups were already holding crisis meetings in response, he said. “There’s going to have to be a huge diplomatic process to get this across the line and we’re by no means done.”

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

O’Connor reflects on tough negotiations The Trade Negotiations Minister Damien O’ Connor concedes he did not get everything he wanted in free trade talks with the European Union. But he says there were gains across all sectors. He spoke to Eric Frykberg after landing in Sydney en route back to New Zealand. FARMERS WEEKLY: What do you make of the criticism of the deal from the meat and dairy sector? O’CONNOR: I don’t accept the anaylsis that there is no commercially meaningful benefit for them. This is a huge opportunity that wasn’t there for dairy and for a number of valuable product lines. And for meat, it is eight times the volume that they had. It is clearly disappointing that we did not get anywhere near the volumes that we at first hoped for, but this is a trade agreement with the most protectionist bloc of countries in the world. It thinks local production is the way to food security, not trade. The timing, with the Ukraine conflict, added a bit of impetus to their belief that they needed to protect their farmers. We did not share that view but in the end this is a negotiation and they had a bit more leverage than we did. FARMERS WEEKLY: But meat and dairy account for practically half of all New Zealand goods exports, the things we did get victories on, like seafood and wine, account for just 13%. So the argument is that you have been focusing on the accessories of a car and ignoring the engine. O’CONNOR: There was as much effort (by negotiators) if not far more in those areas of beef

I was very pleased with the outcome. Of course, there is disappointment in any negotiation because you never get all of what you want. But overall, this was an outstanding result for us. Damien O’Connor Trade Minister

OUTSTANDING RESULT: Trade Minister Damien O’Connor says that in respect to pharmaceuticals, farmers have to realise that negotiators were protecting costs for the agricultural sector as well as for the health system.

and dairy. The reality is, it was always going to be really hard, it was hard, but in the other areas we made huge breakthroughs, with potential fior huge growth which we welcome, along with opportunites for growth in services. FARMERS WEEKLY: Some people have said you should have walked away from the talks and not signed up to the deal. Did you consider walking away, or were you determined to stay to get the best deal you could O’CONNOR: We were going to stay and indeed we did, until the last minute, to get the very best deal we could. Of course, walking away is always an option but we weighed up (our choices) as we progressed til the last days and we clearly ended up with a very

valuable trade agreement. FARMERS WEEKLY: Was there any disadvantage from the Prime Minister’s comment, at a press conference, that she wanted an “improvement on the status quo”? Did that tip your hand as it were, instead of keeping your cards close to your chest? O’CONNOR: Not at all, the Prime Minister’s intervention and direct connection with the EU President von der Leyen was hugely valuable in having commitment at the highest level to having this agreement concluded. The leverage was invaluable at every stage of these negotiations. FARMERS WEEEKLY: So you don’t think that comment made you a captive market, since the Prime Minister said she wanted

an improvement, which could have been quite small. O’CONNOR: That’s a ridiculous analysis to take from a comment that was important and useful as we moved through the latter stages of the negotiation. FARMERS WEEKLY: What was it like in the negotiating room, how hard was it? O’CONNOR: It’s not one big room at one time, it is an ongoing series of discussions and meetings. This is a complex process and our trade negotiators did an outstanding job in pushing us as far ahead as we could. Ultimately, there were some political decisions on compromises that were required to be taken. FARMERS WEEKLY: It has been suggested that we gave

Is your team prepared? Daily Checks

Wet weather

Plan B

Let’s winter well for a better future dairynz.co.nz/wintering

away some beef and dairy access instead of standing firm, so we could get less onerous patent payments on pharmaceuticals. Is that true? O’CONNOR: We didn’t give away anything, we gained in every single area of trade with the EU, so nothing was ever given away for anything. FARMERS WEEKLY: But perhaps not as much was got, in return for cheaper medicines. O’CONNOR: There was always a bottom line of phamaceuticals and veterinary medicines. The farmers have to realise that we were protecting costs for the agricultural sector as well as for the health system. The cost of medicines has always been a red line in negotiating all of our agreements. It was a hard one to push through with the EU, but we got it there and we got better accesss for all other areas for our economy. FARMERS WEEKLY: So you are pleased overall? O’CONNOR: I was very pleased with the outcome. Of course, there is disappointment in any negotiation because you never get all of what you want. But overall, this was an outstanding result for us.

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Groser upbeat on primary export future Annette Scott annette.scott@globalhq.co.nz WHILE there are challenges ahead for exporters in the smaller countries of the world, New Zealand should not get hung up on disappointing free trade agreements. That was the message from former trade minister and ambassador to the World Trade Organisation (WTO) Tim Groser in his keynote address to farmers at the Silver Fern Farms conference. “Naturally, NZ farmers are interested in what is going on in the world as nine out of ten consumers they supply are not living in NZ.” But Groser says today’s challenges are not just on NZ farms but the ecosystem around us. “We have a first-class system in place that has proven time and time again it has demonstrated resilience. “We will be fine. We will get through this,” Groser said. There will be changes in the macroeconomic environment that will affect NZ. “It is clear now that the tightening cycle has begun. “Peak inflation matters as the higher it is the worse off we are,

but the real thing is the duration of the inflation. “The global macroeconomics are clearly heading south and going to crush demand and we are going to have to work our way through it.” That will be either in food or energy. “The business we are in is food so there’s a natural avenue there.” The geopolitical situation becomes more difficult and challenging and Groser said one thing it will affect is business models. “The more recent political unease will see giant multinational corporates slicing and dicing the supply chain and that will see a move towards somewhat different business models. “It’s just an evolution in a slightly different way. “Don’t believe the doom and gloom that this is the end of globalisation – this is an adjustment to current globalisation.” NZ must trust that the existing system does not fall apart. The WTO is capable of taking some steps forward, albeit baby steps taken at glacier speed. “I’m obviously disappointed with the EU FTA, but it would have

MACRO: Former trade Minister and ambassador to the World Trade Organisation Tim Groser says today’s challenges are not just on NZ farms but the ecosystem around us.

I would love to see us make a model FTA with an African country. Tim Groser From been complete fantasy to think we were going to get something comparable with the UK and Australia. “While NZ has no FTA with China, the US, or the US with the EU and so on, their trade is still governed under the WTO system.

“This basic system is very important for NZ, as out alone we will be gone.” Groser is confident NZ’s farming resilience will pull it through. “Sure, we face global challenges and enormous threats but we have made huge progress in recent years. “I’m sure we will get through with resilience to invest in innovation, keep listening and above all keep faith – let’s celebrate successes. Groser questioned the notion that NZ is too dependent on China. “In the past we had a shocking dependency on, for example, the UK at 50% in 1973.

Less meat exported, but for bigger returns

“At 22% of global exports we are far less exposed to China than we have been in the past. “And we have options – in terms of market diversification we are not in a that exposed position.” As for the likelihood of future FTAs, the biggest challenges are demographic. “China’s population will fall dramatically over the next 40 years. “I think about this trend and what next? “I say Africa, one of four fastest growing economies in the world. “The direction of that massive young population, I would love to see us make a model FTA with an African country,” Groser said.

New biosecurity boss for grain and seed Annette Scott annette.scott@globalhq.co.nz

Staff reporter RED meat exporters may be selling less product, but they are earning more for it according to sales data for May. The Meat Industry Association reports that during the month exporters made more than $1.1 billion in sales, 28% higher than a year earlier, despite a 6% decline in volume. The volume of beef exported was 1% higher but the value of sales was up 34% to $484m. MIA chief executive Sirma Karapeeva says the higher values were helping to absorb the impact of continued market volatility and higher costs. May figures were not an anomaly. “So far this year, we have exported 183,000 tonnes of sheepmeat, which is 14% less than the same period last year. “However, the value of sheepmeat exports so far this year is $2.2b, which is 8% higher than the same period last year.” It is a similar story for beef. “So far this year, we have exported 6% less beef than the same period

for 2021, however the value of beef exports so far this year is $2.2b, which is 29% higher than the same period last year.” Sheepmeat exports to China dropped in May compared to a year earlier, but exports to all other markets increased, particularly to the United Kingdom. Despite the drop in volume, values of exports to China remained strong during May, with the overall FoB value for sheepmeat at $12.74/kg. Beef exports to China increased 27% year-on-year and the 20,794 tonnes was the largest monthly volume so far for 2022. The value of these exports was up 27% to $207m. The 5376 tonnes exported to the UK was the largest monthly volume since March 2020 but due to ongoing supply chain issues, only 8% was chilled compared to 40% per in March 2020. Exports to the United States, down 30% compared to May last year, continues the trend this year of lower export volumes to that market. “This can be attributed to increased domestic US production as a result of drought, impacting the demand for imported beef.”

BUFFER: MIA chief executive Sirma Karapeeva says the higher values were helping to absorb the impact of continued market volatility and higher costs.

Prices for beef remained strong, and the value of exports to the US only dropped 5%, to $125m, compared to last May. Beef prices in all the other major markets remained very strong, and the average FoB value increased to $10.43/kg. It was also another strong month for co-products with exports worth $189m, up 26% compared to last May.

INCREASING workload and regulation have prompted the grain and seed association to expand its team with the appointment of a biosecurity manager. New Zealand Grain and Seed Trade Association (NZGSTA) general manager Thomas Chin said the import and export seed-lot regulatory environment has reached the point of needing specialist management. The association has appointed Cressida Patrick biosecurity manager. She brings expertise in the biosecurity and phytosanitary areas, with a Master of Science from Otago University and 10 years’ experience working with contacts in the regulatory area. Patrick has a good understanding of the challenges and opportunities faced by the

sector, Chin said. “We are delighted to welcome Cress to the association and look forward to working with her,” he said. “Her extensive experience in the regulatory area especially around plant health and market import and export seed-lot processes will be very useful as the association continues to work with official agencies to pursue these critical areas for the benefit of our members.” Patrick said she is looking forward to working with the grain and seed industry. “I’ve had a long working relationship in the horticulture and arable industries and consider this a great opportunity to support the seed and grain sector and make sure they have good advice on emerging regulatory policy, rules and processes,” Patrick said.

Tax effective healthcare property investment With as little as $10,000, investors can enter this sought-after property sector with an initial 5%p.a. after-tax forecast cash distribution1,2 and the potential for capital growth.

enturia NZ has a long history in helping thousands of New Zealanders invest in quality commercial and industrial property. They’re part of the ASX-200 listed Centuria Capital Group, with approximately A$20 billion of Trans-Tasman assets under management3 and have both a strong track record and conservative approach. Their latest opportunity provides a tax effective way for anyone in New Zealand to invest in the sought-after healthcare property sector with as little as $10,000. Centuria NZ Healthcare Property Fund offers an initial 5%p.a. forecast cash distribution with no New Zealand income tax expected to be payable for the financial periods ending March 31 2023 and March 31 2024, due primarily to depreciation deductions1. This means that investors will receive the full 5%p.a. forecast cash distribution2 regardless of their personal tax position. Mark Francis, Centuria NZ’s CEO says this attractive distribution rate, paid to investors monthly, in combination with the fund’s strong fundamentals and the potential for capital growth makes this a compelling offer. “The fund will initially acquire a portfolio of 23 aged care properties located throughout New Zealand, all with new 30-year triple net leases to one of New Zealand’s leading and largest aged care focused operators, Heritage Lifecare.” Francis says the initial 30-year term is highly favourable by New Zealand standards. Combined with a tenant of this calibre in a sector with favourable macro-economic trends, and inflation linked growth. He says it provides a long-term stable income stream.

Mike Houlker, Head of Bayleys’ Investment Products division, which is marketing the fund, says a key feature is that the 30-year leases, with rights of renewal totalling a further 60 years until the year 2112, are structured as ‘triple net’. “A triple net lease means any costs of capital expenditure, repair, maintenance and other works, whether structural or otherwise, are not Centuria NZ Healthcare’s responsibility. Each lease stipulates the tenant has the same liabilities in regards to the premises as if the lessee was the ‘owner’. This is widely considered the most landlord-friendly form of lease.” Bayleys’ Investment Products manager Samara Phillips says another significant feature of the leases is annual rent reviews that reflect movements in the Consumer Price Index (CPI), subject to a minimum 1%p.a. increase and a 4%p.a. cap.

“Investments of this calibre with an attractive tenant covenant, 30 year ‘triple net lease’, geographically diverse portfolio and inflation linked growth are difficult to find in the current market”. Mark Francis, Centuria NZ CEO “This will provide built-in rental growth, increasing rental income annually for the next 30 years and providing a degree of off-set against inflation pressures,” she says. Phillips says another key aspect of the investment is the sector, which is seeing increasing

Stillwater Lifecare, one of the 23 aged care assets the fund is acquiring within the sought-after healthcare sector.

demand with New Zealand’s rapidly ageing population. It also benefits from high levels of recurring government funding this is estimated at 53% directly from the government and an additional approximate 24% funded indirectly via residents’ pensions. Chris Farhi, Bayleys’ Head of Insights and Data, says that healthcare property benefits from long-term demographic drivers and the fact that health expenditure is often mandatory. Therefore, healthcare property presents desirable non-cyclical and defensive characteristics. “These factors contribute to reducing the risk profile for the healthcare property sector and making properties associated with the healthcare sector desirable additions to the portfolios,” he says. “Prospects for the New Zealand medical and healthcare property sector, including the aged care sector, continue to remain attractive.” For more information, including a copy of the Product Disclosure Statement for Centuria NZ Healthcare along with a video and presentation details visit www.centuriahealthcare.co.nz.

If the 5%p.a. forecast cash distribution for the financial periods ending 31 March 2023 and 31 March 2024 was fully taxable (due to no depreciation deductions and other adjustments) and did not benefit from PIE status, the table below shows the equivalent pre-tax distribution that Centuria NZ Healthcare would need to deliver for investors: Marginal tax rate

Required pre-tax distribution to get 5%p.a. after-tax if distribution was fully taxable

5.00%

10.5%

5.59%

17.5%

6.06%

28%

6.94%

30%

7.14%

33%

7.46%

39%

8.20%

1 Assuming (i) a tax depreciation benefit based on land valuations and purchase price allocation reports received by Centuria NZ Healthcare for the Initial Properties, (ii) that Centuria NZ Healthcare does not sell or acquire any properties during the financial periods ending 31 March 2023 and 31 March 2024 and (iii) no change in relevant tax laws. Taxable depreciation recovery income may arise on any future sale of a property which may result in tax payable at that point in time. 2 5% p.a. forecast pre-tax and after-tax cash distribution for the financial periods ending 31 March 2023 and 31 March 2024. Details of how the forecast cash distribution is calculated and the risks associated with this investment can be found in the Product Disclosure Statement. Forecast after-tax distributions only take into account New Zealand income tax. The pre-tax and after-tax cash distributions are not guaranteed and may change in the future. 3 Assets under management as at 31 December 2021. Includes assets contracted to be settled, cash and other assets. Centuria NZ Healthcare Property Fund Limited is the issuer of the shares to be issued under the offer to which this advertisement relates. A Product Disclosure Statement for the offer, which sets out the terms and conditions of the offer, is available, and can be obtained by contacting the Bayleys Real Estate agents listed in this advertisement. Nothing in this advertisement constitutes an invitation to subscribe for, or an offer of shares, securities or financial products to any person, in any country, in which it would be unlawful to do so. Terms used in this advertisement have the same meaning as defined in the Product Disclosure Statement, unless the context suggests otherwise. Before deciding whether to invest, you should obtain independent financial advice that takes account of your personal financial goals and circumstances. Bayleys Real Estate Limited cannot provide you with any such independent financial advice. Important information about the financial advice service provided by Bayleys Real Estate Limited is available at syndications.co.nz.

Centuria NZ Healthcare Property Fund Invest in the sought-after healthcare property sector with a portfolio of 23 aged care properties leased to one of New Zealand’s leading and largest aged care operators, Heritage Lifecare.

forecast cash distribution paid to investors monthly2 and potential for capital growth.

providing a long-term stable income stream and annual rental growth.

Attend a Presentation Guest speakers include leading economist Cameron Bagrie, cricketing legend Sir Richard Hadlee, top triathlete Hamish Carter and world champion rower Eric Murray. For details and to RSVP please contact the selling agents below, or visit the website. Please note spaces are limited and we recommend your earliest attention. To request more information including the Product Disclosure Statement or to RSVP, visit the website or contact the selling agents below. Mike Houlker Samara Phillips 0800 BAYLEYS (229539) P 09 375 8437 P 09 375 8490 centuriahealthcare.co.nz M 021 945 927 M 021 027 61373 BAYLEYS REAL ESTATE LIMITED, AUCKLAND CENTRAL, mike.houlker@bayleys.co.nz samara.phillips@bayleys.co.nz LICENSED UNDER THE REA ACT 2008

Assuming (i) a tax depreciation benefit based on land valuations and purchase price allocation reports received by Centuria NZ Healthcare for the Initial Properties, (ii) that Centuria NZ Healthcare does not sell or acquire any properties during the financial periods ending 31 March 2023 and 31 March 2024 and (iii) no change in relevant tax laws. Taxable depreciation recovery income may arise on any future sale of a property which may result in tax payable at that point in time. 2 5% p.a. forecast pre-tax and after-tax cash distribution for the financial periods ending 31 March 2023 and 31 March 2024. Details of how the forecast cash distribution is calculated and the risks associated with this investment can be found in the Product Disclosure Statement. Forecast after-tax distributions only take into account New Zealand income tax. The pre-tax and after-tax cash distributions are not guaranteed and may change in the future. Centuria NZ Healthcare Property Fund Limited is the issuer of the shares to be issued under the offer to which this advertisement relates. A Product Disclosure Statement for the offer, which sets out the terms and conditions of the offer, is available, and can be obtained by contacting the Bayleys Real Estate agents listed in this advertisement. Nothing in this advertisement constitutes an invitation to subscribe for, or an offer of shares, securities or financial products to any person, in any country, in which it would be unlawful to do so. Terms used in this advertisement have the same meaning as defined in the Product Disclosure Statement, unless the context suggests otherwise. Before deciding whether to invest, you should obtain independent financial advice that takes account of your personal financial goals and circumstances. Bayleys Real Estate Limited cannot provide you with any such independent financial advice. Important information about the financial advice service provided by Bayleys Real Estate Limited is available at syndications.co.nz. 1

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Quit lambs soon, processors warn Neal Wallace & Gerald Piddock MEAT companies are urging farmers not to retain lambs, warning it could further extend what is already one of the longest seasons in history and clash with the bobby calf kill. Staff shortages and covid-19 mean the season has been prolonged, with data to June 11 revealing the kill is 1.15 million lambs behind the same time last year and 1.6m behind the five year average. Silver Fern Farms chief executive Simon Limmer says processing delays are nearly back to manageable levels and he is advising farmers not to delay sending lambs for processing given the number still on farms, scheduled plant maintenance shutdowns and the bobby kill about to start. He warned if left too late, finishers risked being caught with lambs that have cut their teeth. Limmer says the cull cow season is also nearly complete in the North Island and only a few weeks later in the South Island. SFF is holding cull cows on grazing and deferring processing until later in the season to help with the mix in its beef processing plants. Alliance Group’s manager of livestock and shareholder services Danny Hailes says processing volumes are more than 6% behind last season across both islands. “We are seeing a lot of lambs starting to come through that

PLAYING CATCH-UP: Alliance Group’s manager of livestock and shareholder services Danny Hailes says processing volumes are more than 6% behind last season across both islands. were purchased at a higher buy-in liveweight. “We have been reminding our farmers of the potential pressure on processing capacity coinciding with bobby calf volumes peaking in August.” AgriHQ senior analyst Mel Croad agrees, saying the lamb kill started to fall off in May and June and has not recovered. Export demand has reverted to

traditional levels after a couple of years of exceptionally high demand when prices rose sharply through winter. Last year there was at least one $10/kg contract on the table and weekly schedule rises of up to 30c/kg, underpinned by recovering global markets. This year, Croad says the release of contracts has been minimal and weekly price rises have been

closer to 10c/kg, driven mostly by a favourable exchange rate and procurement pressure. “This year is very different. The market drivers from a year ago are simply not there and the stock flows domestically are also different.” She fears delays in consigning lambs will create congestion with the bobby calf kill that will ultimately extend into early spring. Industry forecasts point to significantly more lambs to process through to October compared to historical data, with those projections amplified by ongoing staffing shortages. Croad says the North Island bobby calf kill typically peaks from early July to late August. In the past five years over this six-week period, between 620,000 and 660,000 calves have been processed. Peak calf kill is slightly later in the South Island and the five-year average for that six-week window is between 460,000 and 545,000 head. Waikato Federated Farmers president Jacqui Hahn is not predicting a space issue for bobby calves, given processors are close to or up to date with processing other species. Lower than expected pregnancy scanning in some regions could generate more cull ewes, she adds. Greenlea Premier Meats managing director Tony Egan says any backlog was not affecting its

calf processing operation. The company has a calf chain at its plant in Morrinsville that is about to start in the next few weeks. “We expect it to be similar to last year or slightly more [busy]. We still have our Hamilton plant doing beef so we can do both calves and beef at the same time.”

This year is very different. The market drivers from a year ago are simply not there and the stock flows domestically are also different. Mel Croad AgriHQ He suspected any backlog issue might affect those companies which process calves but do not have a purpose-built calf chain. “The kill on paper has been a little bit behind, but in reality has been closer to the five year average. We are just doing what we would normally do and we haven’t delayed the start to the calf season,” he said. He expected there will be few issues with collections and expected it to be similar to last year. Greenlea was also collecting casualty calves this season.

Government refuses to slow environmental policy reforms entire Resource Management Act itself,” he said. “These issues are having a significant impact across the agriculture sector and it’s disappointing that the Government isn’t even allowing for four more weeks of consultation. “We are replying to Ministers, saying that we still disagree with their position and that we urge them to reconsider.” McIvor said farmers can be

neither pausing the IBNPS or extending the consultation period by four weeks would be considered, despite acknowledging “that there are several environmental reforms happening at the moment”. B+LNZ chief executive Sam McIvor said Shaw’s response was extremely disappointing. “Farmers are already inundated by water, climate and conservation policy changes – not to mention reforms of the

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FARMING groups are disappoined the Government has refused to slow down its wave of environmental policy reforms. Late last month, Beef + Lamb New Zealand (B+LNZ), Federated Farmers and Deer Industry New Zealand (DINZ) wrote to ministers calling for the Government to pause its latest indigenous biodiversity proposals.

The joint letter, sent to ministers James Shaw, Damien O’Connor and David Parker, reiterated the primary sector groups’ concerns over the timing of the Indigenous Biodiversity National Policy Statement (IBNPS) exposure draft on June 9. The letter also requested an extension to the six week consultation period to allow time for a full analysis and to seek feedback from farmers. In his response, Shaw said

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FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Dairy farmers keen to lock in $10/kg Hugh Stringleman hugh.stringleman@globalhq.co.nz DAIRY farmers are flocking to the SGX-NZX dairy derivatives market where milk price futures for the 2023 season are currently trading above $10/kg milksolids. After paying brokers’ fees and leaving a margin deposit or bond in their Singapore Exchange account for the duration of the contract, farmers can lock in that income over some or all their expected milk production. That compares very favourably with the current physical market payout predictions of $8.75 to $10.25 from Fonterra and $9.50 from Synlait, lifted 50c last week. Not surprisingly, the very high payout forecasts have prompted more dairy farmers to hedge some of their milk income and fix a portion of production with milk price futures contracts. NZX derivatives analyst Matt Manning highlighted the 14,000plus open interest positions in the MKPU23 contract (milk price futures for the 2023 season), overtaking the 13,000-plus positions for the MKPU22 season. The 2022 season milk futures contacts are two months from

OPPORTUNITY: Jarden’s head of derivatives Mike McIntyre says the open interest numbers compared for the two dairy seasons shows how the use of milk price futures by farmers is growing strongly.

being settled, when Fonterra declares the final milk price for the dairy season just ended. Fonterra’s guide is currently $9.30 and the MKPU22 futures market is sitting at $9.36. The 2023 contract, which won’t reach settlement time until mid-

September 2023, has about 14 months left to run. The futures market price is currently $10.15, having fallen from $10.40 after the latest GDT results. “To see the MKPU23 open interest number go beyond the

MKPU22 tally already shows how the use of milk price futures by farmers is growing strongly,” Jarden’s head of derivatives Mike McIntyre said. “It is great to see the accelerated uptake by farmers of this excellent hedging tool. “It shows a greater understanding of the products and a greater maturity in the derivatives market.” Each contract sold by a dairy farmer using their futures broker covers 6000kg of milksolids; therefore 14,000 open contracts represent 85mkg, around 5% of the national annual milk production. Open interest means an active contract that has not yet been cash settled, which does not usually happen until midSeptember in the case of milk price futures. McIntyre was not prepared to forecast how many more milk price futures contracts would be traded for the 2023 season in the 12 months yet to come. “The market is building strongly but compared with the volume of New Zealand’s milk production we have a long way to go.” In more mature commodities

futures markets in the United States and Europe, farmers commonly hedge prices for all of their anticipated production.

It is great to see the accelerated uptake by farmers of this excellent hedging tool. Mike McIntyre Jarden Each futures contract is marked to market on a daily basis and should the milk price futures market now fall, farmers who sold those $10.40 contracts gain a benefit in their accounts, which ultimately offsets any fall in the physical payout in September 2023. Right now, the conditions for hedging part or all the milk income have never been better from the standpoint of farmers. McIntyre said Jarden would provide help to any dairy farmers interested in learning about and using the futures market.

GDT falls not cutting milk price forecasts Hugh Stringleman hugh.stringleman@globalhq.co.nz ANOTHER 4% fall in the Global Dairy Trade price index does not threaten farm gate milk price forecasts of $9.50 to $10/kg milksolids, according to market analysts. In the latest GDT auction the price index incorporating all products fell by 4.1%, including whole milk powder down 3.3%. Skim milk powder was down 5.2%, butter down 9.1% and anhydrous milk fat by 3.1%. Only cheddar had a rise of 1.4%. It was the seventh GDT market fall in the past four months, meaning dairy commodity prices have fallen 19% since the beginning of March, during the

Northern Hemisphere peak milk production period. ASB analyst Nat Keall is sticking to his $10 milk price forecast for the new season because that view is based on demand and supply fundamentals, to which nothing has yet changed. “We want to see how things settle out after the Southern Hemisphere winter before adjusting our inputs,” he said. “Don’t forget prices are very high in an historical context so even if there is a little downside risk to our forecast, 2023 is likely to be one of the strongest seasons on record. “We are still sceptical prices can fall very far in an environment where global milk supply is extremely tight.”

European dairy production is still weak and the latest data shows a decline.

We are still sceptical prices can fall very far in an environment where global milk supply is extremely tight. Nat Keall ASB Southern Hemisphere producers should face the same constraints of high input costs and

hard-to-obtain labour as they go into spring. “We are hopeful more favourable weather and our less input-intensive local farming model will help NZ hold up better than most. “While global growth is slowing too and consumption won’t be as flash as hoped, global dairy demand should be inelastic enough to keep prices well supported,” Keall confidently said. Analysts have also highlighted the benefit of the fall in the value of the NZ dollar, down US4c since the first 2023 season forecast by Fonterra in late May. Fonterra’s treasury team will have used that fall in the USD/ NZD exchange rate to take hedging positions against most of

this season’s anticipated sales, in advance of the milk flow. That also secures the milk price forecasts, and the eventual payout. As the latest GDT results came to light, NZ’s third-largest milk company Synlait announced a rise in milk price forecast of 50c to $9.50. It brings its forecast up to the mid-point of Fonterra’s range prediction, $8.75 to $10.25, which was also increased by 50c on June 23. “The forecasted lift in milk price reflects an improved outlook for 2022-23 dairy commodity prices, following the recent recovery in pricing, and the current strength of the US dollar,” Synlait chief executive Grant Watson said.

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News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

GROWING ACHIEVEMENT: Nadia Lim says on the world stage NZ farmers are at the top of their game, but inherently Kiwis are not big talkers.

Are you ready for July nitrogen reporting?

SFF ‘a solid vessel for choppy waters’ SILVER Fern Farms (SFF) chief executive Simon Limmer says a solid vessel will be needed to navigate choppy waters ahead as trade grows challenging. In his opening address to the multinational meat company’s annual conference in Christchurch this week, he told farmer shareholders that SFF’s partnership with them “is why we are here”. “If we are not making your business sustainable into the future then we are not sustainable,” said Limmer. “The way we transact with our shareholders today is much more than in the past. “We have had a hell of a couple of years, our team is tired, so are you, but in choppy waters we need a solid vessel. “Our visibility now is our investment for the future, acknowledging what is coming at us, and engaging. “Trade is challenging, we need options in terms of diversifying the markets we sell into. “We want to pay our best farmers the best money but the way ahead is challenging, the water is choppy, covid is still lingering, the supply chain is disrupted and there is a lot of work to do to navigate the markets. “The way we engage with our shareholders back on the farm is critical. “Our future slogan statement is ‘Creating goodness from the farms the world needs’. We need to be innovative in finding solutions right back to on farm. “The goodness is the eating experience, the way people

engage with our product. The farms are food-production systems and the farms of today are quite different to the farms of tomorrow. “The world needs more from us. What we do here in NZ is very different to what the rest of the world is doing and how they are doing it. “There is scope to grow, to capture more value up the value chain, to think more strategically and take everybody on the journey – creating goodness from the farms the world needs,” Limmer said.

There is scope to grow, to capture more value, to think more strategically and take everybody on the journey. Simon Limmer SFF Keynote speaker Nadia Lim, a nutritionist, farmer and entrepreneur, said New Zealand farming needs to “grab the bull by the horns”. “What we can absolutely own and show the world is how we grow and raise real food, and educate people on how it’s done,” said Lim. She said in global terms, NZ has the closest connection between the consumer and the farm. Lim and her husband Carlos Bagrie run the historic Royalburn Station in Otago, where they practise regenerative

and ethical farming focused on sustainable and circular solutions to help the land, animals and food sources thrive. “It’s about connecting your business to the consumers who are craving to have more of a connection with how their food is produced. Don’t hold back, be honest and truthful. Consumers appreciate that,” said Lim. “Talking for sheep and beef, as that’s what we are into, on the world stage NZ farmers are at the top of their game, but inherently we are not big talkers … we need to puff out our chest, be proud and tell the full story, be more confident and bring those people who don’t live on the land on a journey, educate them, given them the option to learn. “They hear the one-liners but there’s so many more moving parts.” The cost of living will ultimately drive demand for synthetic foods, but Lim said there will always be a market for “real food”. NZ, being the size it is, will never “play in the big space”, she said, but “we are well placed to play on the top of the stage with real food and real meat”. However, it will be important to work with nature. “It should not be the consumer driving it as the consumer is not always right as production is then driven by demand and that is not how nature works. “The most sensible way to eat is to go back to the land first. What suits the land and the environment to produce is important. Educate the chef and he takes it to the retailer who takes it to the eater.”

With the deadline to report your 2021/2022 dairy farm N usage only three weeks away, now’s the time to ensure your nutrient applications are recorded, ready to report to council before 31 July. Take advantage of the clever nutrient recording and reporting tools in HawkEye and you’ll have what your regional council needs before the deadline.

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News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

More consumers seek NZ’s pure taste Neal Wallace neal.wallace@globalhq.co.nz RESEARCH shows the Taste Pure Nature brand is gaining traction with its targeted red meat-consuming audiences in the United States and China but also warns a third of Californians have decided to eat less red meat. But the research for Beef + Lamb NZ’s Taste Pure Nature (TPN) brand also reveals purchasing drivers by US consumers can easily shift. Buying patterns are being influenced less by concerns such as health and fitness, diet and environment and ethics such as climate change and emissions, but more greatly influenced by issues such as taste and experience, global security and price. That aside, a third of those living in California say they are intentionally eating less red meat for environmental and animal welfare reasons and because of cost. “Consequently, 53% of consumers have added more plant- based foods into their diet over the past year,” researchers say. In its latest newsletter, B+LNZ says a survey on the impact of TPN last year reveals consumer awareness of NZ’s grass fed system and aspirations to buy NZ lamb and beef rose between 13% and 22% between 2019 and 2022. The research showed aspiration among its target conscious foodie consumers to buy NZ grass fed beef was 51% (plus 22%), lamb 75% (plus 13%) and awareness of NZ’s grass fed farming systems sat at 64% (plus 21%). There was already a high awareness of those attributes in China meaning growth between 2020 and 2022 was much lower at 5% to 7%. Aspirations to buy NZ beef was 82% (up 7%), lamb 83% (up 5%) and awareness at 89% (up 5%). A summary of consumer

THE BEST: More than 80% of Chinese consumers state New Zealand as their preferred country of origin for beef and lamb, when they can buy it.

New Zealand is top of mind for grass fed beef (48%), surpassing Australia, China, the USA and Japan by far, and for grass fed lamb (32%). behaviour to TPN reveals US food buyers primarily use online tools such as Facebook and YouTube to make their food purchasing decisions and they listen to other people including well known chefs. More than 40% consider NZ a

country that pursue sustainable agricultural practices. “Nearly half agree that food being produced by regenerative agriculture practices is important to them mainly because it is better for the environment, for their health and because it tastes better.” It notes consumers consider premium prices for NZ beef and lamb as justified. “One third of lamb consumers have bought NZ lamb in the last six months, and one in five have done the same for NZ beef.” In the year to July, TPN had two paid media programmes in the US, which initiated 1.7m video views and 110,000 clicks on the TPN website.

A third programme is being launched this month. Linking with social influencers reached 2.2 million potential customers and initiated 43,000 TPN video views, while social media promotions boosted traffic to its Facebook site by 70% and Instagram by 38%. Since January the TPN website has hosted 108,000 visitors, a 5% increase. More than 80% of Chinese consumers state New Zealand as their preferred country of origin for beef and lamb, when they can buy it. More than 90% say they are aware of NZ’s strong reputation for producing high quality beef and lamb, and that farm animals

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in NZ are allowed to graze naturally. An estimated four in five beef buyers say the TPN campaign had a significantly influenced their buying intentions to buy, actually buy and recommend NZ beef with a similar number saying the same for NZ lamb. Grass fed beef is considered a premium product by 57% of people in China and grass fed lamb by 55%. Those that consider grain fed beef and lamb a premium drops to 12% and 11% respectively. “New Zealand is top of mind for grass fed beef (48%), surpassing Australia, China, the USA and Japan by far, and for grass fed lamb (32%).”

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News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Top cheeses found at annual awards Richard Rennie richard.rennie@globalhq.co.nz A CLUTCH of champion cheese makers and commercial operators were recognised at this year’s champion cheese awards, along with a raft of quality cheeses claiming category victories. This year’s supreme cheese award went to a young cheddar produced by Open Country Dairy, described by judges as displaying superb flavour and body, and a pleasing result from a large producer. Little River Estate in Mt Richmond claimed the champion’s award for mid-sized cheese companies with its Little River Mt Richmond cheese, while Craggy Range Sheep Dairy claimed the boutique award with its Maraetotara Manchego. The Spanish style cheese is aged for over a year to develop its balanced flavour. Fonterra’s lead cheesemaker in Eltham, Cathy Lang claimed the champion cheesemaker award for a career she embarked on in 2005. Head judge Jason Tarrant said her three cheese entries highlighted and her team’s diverse skills, particularly the iconic Kahurangi Blue entry. An inaugural trophy for sustainability was also awarded this year to Hohepa Hawke’s Bay. The trust was set up to help intellectually disabled people have work opportunities and employs 180 people. It has significantly reduced its emissions profile. It also won six medals in the awards this year for its cheeses. Some of the category award winning cheeses included Fonterra’s Kahurangi Blue claiming the Blue Cheese award, its Mainland Tasty Light also receiving the retail cheddar award, and Karikaas Natural Dairy Products the Dutch style award for its vintage gouda. Clevedon Buffalo company collected the

New chief executive appointed at Overseer Staff reporter JILL Gower has been appointed chief executive of Overseer Limited, the organisation that administers the farm planning and management tool OverseerFM. Gower is Overseer Limited’s former company secretary and has worked there for three years. Overseer board chair Ian Clarke says they were impressed by Gower’s vision for OverseerFM. “Jill clearly recognises the critical role OverseerFM can play in helping farmers and growers make better decisions to improve their farm’s environmental sustainability and productivity.” Gower says she is looking forward to consolidating and building the core business, but also taking advantage of emerging opportunities. “It has certainly been a challenging couple of years, however the light is starting to shine on OverseerFM’s value as a decision support tool. “Our focus for the next year is making sure the value-add features in OverseerFM are highly visible, that everyone understands how to best use OverseerFM, and that any future improvements offer serious bang for buck.” Jill replaces Dr Caroline Read, who left Overseer Limited in February 2022 to take up a new role.

champion yoghurt award for its vanilla bean offering. Chefs gave Katikati cheesemakers Mount Eliza the thumbs up for its Blue Monkey cheese in the chefs’ choice awards. Little River claimed the sheep cheese award with their supreme winning Mt Richmond cheese award, while Fonterra also picked up the export cheese award with its Kapiti Kikorangi triple cream Blue.

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WINNER: Fonterra cheesemaker Cathy Lang was recognised as NZ’s supreme cheesemaker this year.

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

STORMY SEAS: ANZ agricultural economist Susan Kilsby said global shipping costs have eased somewhat, though there are still challenges in moving goods.

News Ailing dollar boosts NZ export prices Hugh Stringleman hugh.stringleman@globalhq.co.nz

PROTECT YOUR LIVESTOCK BY STEPPING UP TO COGLAVAX8 VACCINE Changing to Coglavax8 increased the survival rate of our lambs. Now we only use Coglavax8 across all our sheep and cattle. Donald Polson

Owner – Waipuna Farms

WORLD commodity prices fell slightly during June but prices in New Zealand dollars rose because of the depreciation of the NZ dollar against the currencies of our trading partners. The ANZ world commodities price index covering our major exports fell 0.4% in June, the third small monthly fall since its all-time peak reached in March. The world index is down 6.5% since March. But because of the steady weakening in strength of the NZD, the ANZ NZ commodities price index has gained slightly during June, up 0.7%, and has set a new all-time record. For example, the NZD was worth US65.6c at the beginning of June and US62.2 at the end of the month. A US1c downward movement adds 10c/kg to the milk price. The foreign exchange effects are also shown in the world index being 4.8% higher in June than 12 months before, while the NZ index is 14.5% higher. The index weightings are dairy 41%, beef, lamb and logs all 11% each, kiwifruit 8%, seafood and aluminium both 4%, sawn timber 3%, apples 2%, wood pulp 2% and wool and skins 1% each. Dairy prices rose 1.7% in June compared with May, firmer prices for milk powders being offset by weakness in butter and cheese. The meat and fibre index fell 3% in June due to disrupted demand in China from covid lockdowns.

Shipping costs are expected to remain elevated until supply chains start to consistently function in a more efficient manner. Susan Kilsby ANZ agricultural economist “Lamb prices have been more stable, but NZ supply remains curtailed as labour shortages continue to limit processing capacity,” said ANZ agricultural economist Susan Kilsby. The horticulture index was up 4.8% in June in world currency terms, both kiwifruit and apples getting price lifts. The forestry index was down 3% as log prices eased due to lockdowns in China. Aluminium prices fell 9% as demand weakened due to slower economic activity. Kilsby said global shipping prices eased during the month, the Baltic Dry Index falling 15%. “Despite the overall improvements, many NZ exporters continue to report challenges in moving goods to market in a timely manner,” she said. “Shipping costs are expected to remain elevated until supply chains start to consistently function in a more efficient manner.”

STEP UP TO 8 IN 1 PROTECTION When you’ve built a reputation for outstanding genetics you don’t want to take unnecessary risks with clostridial disease. That’s why Waipuna Farms have stepped up from 5 in 1 to Coglavax8 vaccine to protect their unique Waipuna Maternal and Terminal breeds against 8 clostridrial diseases present in New Zealand.

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coglavax8.co.nz Ceva Animal Health (NZ) Limited. P: 09 972 2853 ACVM No. 7528 References: 1. JS Munday, H Bentall, D Aberdein, M Navarro, FA Uzal &S Brown, Death of a neonatal lamb due to Clostridium perfringens type B in New Zealand, New Zealand Veterinary Journal 2020. 2. West, Dave M., Bruere, A. Neil and Ridley, Anne L. The Sheep, Health, Disease and Production. Auckland: Massey University Press, 4th ed., 2018. Print.

Breaking news? We want to know: 0800 85 25 80 farmers.weekly@globalhq.co.nz

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Two to take on AWDT leadership

IT TAKES TWO: Keri Johnson and Murray Donald will share the chair’s role at the AgriWomen’s Development Trust.

Annette Scott annette.scott@globalhq.co.nz ONE chair steps down and two step up to head the Agri Women Development Trust (AWDT). After three years heading the charitable trust, Linda Cooper is moving on. As part of its succession planning and maturing governance model, trustees Murray Donald and Keri Johnston have been appointed as co-chairs and they took up their roles on June 1. Cooper has served the trust since 2019, leading it through further growth and extension of its impact across the primary sector from farms to boardrooms. Cooper says she is excited for the trust’s future. “We’ve come through some challenging times with the pandemic over the past couple of years as we committed to investing in our programmes and our women and men to help meet the future needs of the primary sector. “I am excited for the trust’s future with the new programmes rolling out, the continued support of our partners, new developing partnerships, and the talent around the board and staff tables.” She will continue her involvement with AWDT and the primary sector and women it works with through her role as a facilitator and coach on the trust’s Next Level leadership programme. The appointment of longstanding AWDT trustee, Southland farmer and experienced governor Donald, will ensure continuity on the board as it retains his strong financial and strategic skills. A farmer, environmental consultant and natural resources engineer, Johnston joined the AWDT board in 2021 bringing deep experience and skills from her roles as chair of Irrigation NZ and vice chair of the Timaru Girls High School board. She is a graduate of AWDT’s Escalator leadership and governance programme. A working engineer, principal of Irricon Resource Solutions and mother of two, Johnston is used to juggling a variety of roles. As part of further succession plans and board progression, Jenni Vernon and Fi Dalgety will step down from the AWDT board this year and the trust will recruit one more trustee. This will reduce the total number of trustees from eight to five, including sitting trustees AnneMarie Brougton and Poto Davies, an appropriate size board for a small organisation, Cooper said.

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STEPPING DOWN: Outgoing chair Linda Cooper says the organisation has come through some challenging times over the past couple of years.

News

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Sweet trade deal for mānuka honey Richard Rennie richard.rennie@globalhq.co.nz APPELLATION protection alongside tariff removal is an added bonus for the honey sector in the recently announced European UnionNew Zealand free trade agreement. The agreement includes not only the removal of a 17.3% tariff on NZ-sourced honey, it also offers protection on the definition of the term “mānuka”, via separate tariff conditions that recognise the brand’s value as taonga exclusively sourced from NZ. NZ honey sales to the EU have surged dramatically in recent years, driven in particular by growth in German demand for mānuka. Total EU sales were $60 million last year, or 12% of the $500m export market. The Mānuka Charitable Trust, guardian organisation of the mānuka taonga, has welcomed the agreement’s recognition of mānuka indigenous definition and the recognition of the name’s distinctive NZ link. The FTA includes a Māori Trade and Economic Cooperation chapter to help advance iwi economic aspirations and wellbeing. Trustee Paul Morgan said the FTA was particularly special because of the recognition it has given to native values and sourcing, something he had not seen in over 30 years of trade and product development. Morgan said beyond the deal with the EU, the goal remained to protect the term “mānuka honey” internationally so it can be used only on products coming from NZ.

In February this year NZ lodged an appeal with the UK Intellectual Property Office against the office’s decision not to grant NZ exclusive protection and rights to the use of “mānuka” for honey sold in that country. Australian honey producers have been mounting a concerted effort to prevent the trust gaining exclusive access to the term, claiming they have been producing mānuka honey for many years.

It has been a tough few years with the legal process, which has proven very expensive, and the FTA with the EU is certainly a good pick-me-up for the industry right now. Paul Morgan Mānuka Charitable Trust Morgan said he believed the initiative to specify mānuka in the EU FTA would do no harm to the trust’s efforts to win its appeal in the UK. A decision on the appeal is expected later this year. “It has been a tough few years with the legal process, which has proven very expensive, and the FTA with the EU is certainly a good pick-me-up for the industry right now,” said Morgan. The NZ-EU FTA will see tariffs

on mānuka honey removed as soon as the deal is ratified, with all other honeys getting tarifffree status three years later. Apiculture NZ CEO Karin Kos said the removal of the tariffs was welcome, and alongside the UK FTA being ratified represents a significant value gain for the sector. NZ exports about $45m of honey a year to the UK and the removal of that country’s 16% tariff, added to the EU tariff removal, will result in additional returns to honey producers of about $17m a year. The UK represents NZ’s largest bulk importer of honey in drums. Germany is forecast to lead future retail growth, with its market having lifted 33% in only one year to 2021. Jane Lorimer, a member of the NZ Beekeeping executive council, welcomed any move that will increase returns to honey producers, coming at a time when non-mānuka honey returns are in the doldrums. About 80% of the honey sold in the UK and EU is mānuka. “The reality is we are still producing more honey than NZ can consume itself, so we need good export markets,” said Lorimer. “There are still high stocks of honey out there and I understand a few larger operations are scaling back their hive numbers. I always felt it would take two to three years to recover, and the change in tariffs will help with that.” In the past year NZ’s global sales of honey have declined 14% in volume, and NZ sales into Europe for non-mānuka honey face intense competition from lower-grade and -value eastern European honeys.

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WINNERS: Paul Morgan of the Mānuka Charitable Trust says recognition of iwi values and taonga in the free trade agreement is a big win for New Zealand.

BONUS: Zespri chairman Bruce Cameron says the free trade agreement will deliver the kiwifruit industry $46 million in tariff savings.

EU FTA brings windfall to diverse sectors Richard Rennie richard.rennie@globalhq.co.nz WHILE the traditional pastoral sector is lamenting the European Union-New Zealand free trade deal as a lost opportunity, a mix of next tier food exporters are thankful for the gains the agreement offers. The kiwifruit, onions, wine and honey sectors mirror those that also celebrated gains coming out of the NZ-United Kingdom FTA, signed earlier this year, and now being ratified through Parliament. Combined, the sectors represent $1.3 billion in food sales a year to Europe, with kiwifruit dominating with $1bn a year, followed by wine at $150 million. The combined sectors stand to save about $80m a year as soon as the agreement comes into effect. The kiwifruit sector has been a major beneficiary of a series of FTAs signed in the past decade, kicking off with the NZ-China FTA in 2008. That has contributed to China now being one of the top three kiwifruit export markets. This was followed by FTAs signed with Taiwan (2013) and South Korea (2015), and today all three countries are in NZ’s top five export destinations. Zespri chairman Bruce Cameron said the latest FTA with the EU represents about $46.5m in tariff payments that will no longer be coming off growers’ export revenue. The EU accounts for about 26% of the industry’s market sales, and dropping the tariff could add almost $1 a tray in revenue from fruit sold in that market. Cameron described the agreement as a “strong deal” for a wide range of exporters – and one that sets Zespri up well to expand exports into Europe. Spain, among the world’s largest importers of kiwifruit, has proven a particularly strong growth market for NZ kiwifruit in the past few years. NZ also has close ties to European growers, with Zespri having longstanding growing partnerships with orchardists

throughout France, Italy and, more recently, Greece. Significant investment in joint biosecurity initiatives and research has also helped expand NZ’s ability to manage the risk of major pest incursions, in particular the brown marmorated stink bug, which is rife in Italy. The wine industry is also celebrating the EU win, with that market’s $150m in sales over the past 12 months accounting for almost 10% of the sector’s entire export income. The current tariff on wine – NZ’s fifth most significant export to the EU – is 5%. NZ Winegrowers CEO Philip Gregan said the agreement will also reduce compliance burdens such as certification and labelling requirements, and will support future growth in Europe. “The EU’s complex rules can make market access difficult for winegrowers so it is encouraging to see some easing of restrictions in this area,” said Gregan. As is the case with mānuka honey and kiwifruit, tariffs on NZ wine are to be lifted as soon as the deal is ratified. Estimates are the sector will immediately save $5m a year. Winegrowers will, however, have to come up with new names for “port” and “sherry”, with a quid pro quo protection on these reflected in the EU recognising “Marlborough”, “Central Otago” and “Hawke’s Bay” as distinct regions here. A Winegrowers spokeswoman said NZ’s exports of sherry and port are low, at less than 1,000L a year. With $50m in sales a year, the EU is also NZ’s main onion export market. The sector is expected to save $6m in tariffs. The move puts NZ on a level footing with competing countries including Chile and South Africa, said Onions NZ CEO James Kuperus. Honey producers estimate the sector will claw back $17m in tariffs, particularly from the high value mānuka sector (see accompanying article).

Volume 113 I July 11th, 2022 I email: agined@globalHQ.co.nz I www.farmersweekly.co.nz/agined Are you a parent or teacher and want to receive AginED every week directly to your email inbox? Send us an email to sign up at agined@globalhq.co.nz

HELLO ADVENTURERS! Firearms and looking out for your mates while you stay safe!

HOW TO ASSESS A BEEF BULL FOR COMMERCIAL PRODUCTION

Rule # 5

NORTH ISLAND LAMB KILL (thousand head)

When you are out hunting or even doing some target shooting it can be easy to forget to look at your surroundings. It is especially important to stop and think about what else is going on around you - there may be houses on the other side of your target, domestic animals, your hunting buddy or a road what else could be there if you miss your target?

This graph shows the North Island lamb processing statistics Head to https://www.youtube.com/ watch?v=ykjbFYUbIuc to watch Jason Archer from beef+lamb NZ genetics and Bill Austin discuss what you should be looking for when selecting a beef bull for commercial production. 1

You can underestimate the distance a bullet travels once you have pulled the trigger and so it is essential you are aware of where your mates are at and what else is around, remembering once you pull that trigger you can’t take it back. Send in what Rule # 5 is and the information that keeps you and your hunting friends safe. PLUS a personal account of how you use rule # 5 to stay safe and how far the bullet from your rifle can travel through to agined@globalhq.co.nz We will put you in the draw to WIN a brand new pair of Burris binoculars valued at over $600 thanks to Anna and James from Rivers to Ranges in Rangiora! Next time we will cover Rule # 6. Each time you send in your answers it gives you a higher chance of winning - there are only 2 more chances after this to enter! Good luck and happy hunting! Harriet :)

Harriet

Jason and Bill discuss bulls “phenotype”. What does this term mean?

2 Bill recommends focusing on traits that are either going to make you money or cost you money. Can you give an example of a bull trait that could make you money and also one that is likely to cost you?

In recent times there has been increased interest in alternative proteins and also some debate about whether we should be eating less meat in our diets, both for dietary reasons but also some purport an environmental slant to reducing meat consumption. A student of a school in the United Kingdom has caught some attention

In what month was this year's lamb kill at its lowest level?

2 In what month/year on this graph were processing numbers at their highest level? 3 In what month/year on this graph were processing numbers at their lowest level?

STRETCH YOURSELF: 1

For several weeks recently lamb processing numbers have been higher than last year's levels and some of the five-year averages. Why do you think this is?

2 What factors kept kill levels so far below usual levels in March? 3 Do you think that numbers will track above or below usual levels from June through to September? Why do you think this?

FILL YA BOOTS

3 Jason and Bill talk about EBV’s. What does EBV stand for? 4 Can you give an explanation of temperament scoring from 1 through to 5 based on Bill's examples? 5 For the remainder of traits, what is the ideal score? 6 Why would a bull that overtracks slightly be preferable to those that don’t track up at all? (Tracking up meaning that the back foot tracks in the print of the front foot, overtracking goes beyond this). 7 What are the three most important traits to remember when looking at bulls?

CHALLENGING PRECONCEIVED NOTIONS Teenager fights back after school looks to reduce meat consumption

after she flipped the script when it was suggested by her school that they should be eating less meat to help the environment. When it was suggested in Elsie-May Dansy’s class that the students should eat less meat to help the environment she decided to research whether there was actually any environmental benefit to reducing meat consumption. To read more on her research head to https://www.fginsight. com/vip/vip/videoteenager-fights-backafter-school-looksto-reduce-meat-consumption128687?fbclid=IwAR1Yp3k6s-Klmdr xGSF0DliZ4bjRKSZ7cDmlUZ0Hfx8Is uv82VyAm _ nFg28

1. How did Elsie-May design her research? 2. What are the two meals that she compared?

ELECTRIC FARM VEHICLES, FAD OR FUTURE? Loxley Innovations, founded by Duncan Aitken is a Christchurch-based company looking to create and produce electric tractors. With the current push for electric vehicles throughout NZ it is not surprising to see development of industrial equipment using similar technology. This is what Loxley Innovations are currently doing. Follow this link to read the full article: https://www.farmersweekly.co.nz/ adding-value-through-energy/

According to this article how many tonnes of carbon is produced annually by agricultural equipment?

2 What did Duncan first convert to electricity?

3. What were some of the aspects that she used as comparisons to show environmental benefits or drawbacks?

3 How important is the idea of being able to use the energy created to power the likes of households, appliances, farm infrastructure and even possibly create power for the national grid?

4. What was the key message that Elsie-May took from her research

4 How long has it taken Duncan to get to this point?

5. Do you think about the environmental impact of the foods you consume? 6. Do you think that the environmental impact of our food will become more or less important for most people in the near future? Why or why not?

5 Why do you think that currently the electric tractors max out at 60hp? Do some research, what would be needed to make larger electric hp tractors? Do you think this is possible? If so, how do you think these would stack up against current hp comparable tractor models?

Newsmaker

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Thinking outside of the square Although a possible move to sheep milking has proven currently unviable for Darryl Oldham’s farming operation, his thinking outside the square has earned him Rabobank’s prestigious farm management award for up-and-coming farmers. He talked with Annette Scott.

HILE looking into options for his Mid Canterbury arable farming operation, Darryl Oldhamconsidered the idea of sheep milking. Then his bank manager put him up for the Rabobank Farm Managers Programme (FMP) and Oldham says it was all go from there. Selected from a group of New Zealand’s most progressive farmers who were graduates of the 2021 Rabobank FMP, Oldham was recognised for his business management project that highlighted how he has utilised the lessons from the programme in his farm management planning. Designed for emerging farmers, the FMP focuses on the development of business management skills with an emphasis on business planning, leadership, people management and self-awareness. At the recent awards ceremony, Oldham took out the top 2022 Rabobank FMP award, the business management prize for up-and-coming farmers, “It was the opportunity to use the sheep milking idea for my project,” Oldham said. The manager on the family’s 200-hectare arable property at Westerfield, near Ashburton,

Oldham farms in partnership with his wife Anna and parents Peter and Gael Oldham. Dairy grazing and a clover heading contracting business complemented the cropping operation but with environmental regulations coming fast and furious, the Oldhams were considering options. “We were looking for more environment-friendly options (than dairy grazing), considering different crops and sheep milking came into the mix. The farm grows feed wheat, grass-seeds, process peas, maize for silage and now fodder crops for finishing lambs. “With the sheep milking project on hold we switched from dairy grazing to finishing store lambs. “We figured the lambs would be a lighter environmental footprint than the dairy grazing.” Oldham’s management project assessed the viability of converting all or part of the farming operation to sheep milking. “Incorporating lessons from the FMP, I looked at the key financial performance indicators for the current system, including with a sheep milking unit added. “To do this, I designed a business plan with conversion costs and gross margins to generate some financial information that could be used as performance indicators in

FARM LEADERS: Participants in the 2022 Rabobank Farm Managers Programme.

UPSKILL: Receiving the award from Rabobank NZ chief executive Todd Charteris, left, Darryl Oldham says the programme helped him change his mindset when encountering challenges on-farm.

the event sheep milking was introduced.” He also looked at what adding sheep milking to the farming system would do to the farm’s environmental footprint. “I spoke with a number of other farmers who are sheep milking as well as the local Ravensdown environmental team to get a feel for the environmental impact and the initial analysis suggested sheep milking would have a similar or lower environmental impact than the existing farming activity.” While his analysis highlighted there were several merits to the sheep milking option, Oldham said the partnership decided to put the sheep milking unit on hold in the meantime. “The sheep milk processing plant that was planned to open in the Ashburton district later this year has met with delays and with this factory not expected to open until next year and no other factory near-by to collect sheep milk, the conversion didn’t make

Photos: Rabobank

sense right now,” Oldham said. “My analysis also found no strong financial advantage for going down the sheep milking route for our business with the forecast profitability largely in line with that of our existing operation.” But sheep milking is not totally ruled out as an option in the future. “We’ll continue to analyse the feasibility of adding sheep milking into our farming system and if we can find a way to increase the yield of milk per sheep, we may well go down this path at some stage in the future.” Oldham was presented with the 2022 FMP business award and $2000 cash prize at a graduation dinner in Christchurch. The event was attended by a selection of graduates from the most recent FMP course in 2021 as well as this year’s crop of FMP participants and other agricultural industry leaders. He 100% recommends the FMP. “It was a great course with a top line up of speakers from all around the country. “The course covered a wide array of topics that I hadn’t had much exposure to before, like leadership, staff management and self-awareness. “It got you thinking about different ways to look at the business, inspiring you to look outside the square. “The programme also included some ideas and tools that have helped me to change my mindset when I’m confronted with a problem and this has been really helpful over the past year when I’ve encountered challenges onfarm. “I also really enjoyed the interaction with other farmers on the programme and learning more about their farming operations and the obstacles they’re facing,” Oldham said. Rabobank South Island regional manager Michael Dunn who was also one of the judges for the management project award, said the projects were undertaken so participants could put into

practice the tools, theories and ideas introduced during the programme and utilise these in the farming operations where they worked. “Darryl looked outside the box at an option with the potential to add value to the overall farming business. “The judging panel was impressed by the high level of detail and thoughtful analysis incorporated within his project and it was clear to see he’d taken a lot away from his attendance at last year’s programme.

It got you thinking about different ways to look at the business, inspiring you to look outside the square.

“Ultimately, the partnership has decided not to proceed with the sheep milking opportunity right now however, it’s the journey that’s valuable and the groundwork has now been done should the family decide to re-visit this opportunity in the future,” Dunn said. The annual Rabobank FMP has been run since 2006 and offers farmers from across NZ and Australia an opportunity to develop and enhance their business management skills. Previous years have seen farmers from both sides of the Tasman joining together on the same course, but over the past two years separate programmes have been run in in both countries due to covid related travel restrictions. A total 29 Kiwi farmers representing the sheep and beef, deer, dairy and arable sectors attended the NZ FMP programme. Participants leave the course with new skills, techniques and a commercially driven perspective on farm management while also gaining the ability to put systems and structures in place to manage growth.

New thinking

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Wool back as carpet option Efforts to improve the perceptions of wool among millennial consumers is proving a success and helping remove some of the misconceptions about the natural fibre. Richard Rennie reports on the research results.

STUDY conducted by Bremworth on millennial consumers’ attitudes over the past three years is revealing the perception wool carpets are more expensive when compared to synthetics is less of a barrier than it once was. The results come only a year after Bremworth opted to drop its synthetic carpet production and commit to an all-natural, all wool production line for carpets. The study found more than three quarters of consumers recognised wool is a more environmentally friendly option, with more than two thirds also seeing it as a sustainable option. There has also been a shift in the values consumers are placing on their home flooring, with health and safety a key driver for almost a third of all buyers, particularly in relation to the risk of allergies caused by flooring materials. Fire resistance is seen by 60% of carpet buyers as a key motivator for a wool purchase. Bremworth chief executive Greg Smith said despite wool once being the ubiquitous option for flooring material in NZ homes, synthetics had come to dominate the market. The value of wool exports, largely driven by carpet sales, has also plummeted by almost 50% in the past six years, but there are signs of a recent uptick, with a 10% growth in export revenue for the current year. “What we know from the research is that half of those in the market for renovating or refurbishing their home are now in the millennial age bracket.

WINNING: Bremworth chief executive Greg Smith is optimistic the tide is turning in the industry’s favour on consumer perceptions about wool carpets.

“This is a market segment who is looking to wool for a range of reasons that were not priorities for the generations that preceded them.”

This is a market segment who is looking to wool for a range of reasons that were not priorities for the generations that preceded them. Greg Smith Bremworth The generation aged from 26 to 41 is starting to bring its collective values and demands to bear on many different market segments globally. This year Deloitte’s annual survey of Gen Z (aged 10-25) and millennials found two generations

deeply concerned about the state of the world and trying to balance the challenges of their everyday lives with a desire to see real societal change occur. Cost of living and climate change were almost equal concerns shared by the demographic groups. Smith said it was also known millennials spend more time researching a product before buying and are opting for brands that align with their ethical beliefs and values. Product life length, sustainability and environmental impact of production are all factors considered at purchase. “We also recognise that if we cannot effectively educate domestic consumers on the benefits of wool in the country where it is produced, we will have little chance of growing our offshore markets. “ The research has shown the industry is making significant advances on this front every year,” Smith said. Bremworth’s move to drop

synthetic carpet production a year ago has not been without its tensions. The company refused to back down after it was threatened with legal action from global synthetic flooring company Godfrey Hirst. Godfrey Hirst demanded Bremworth withdraw a number of key claims in its marketing campaign promoting NZ wool. Bremworth had emphasised wool’s sustainability compared to fibres made from plastic that equated to about 22,000 plastic bags in weight sitting on the average home floor. Smith said Bremworth’s experience 12 months down the track has wider repercussions for other NZ exporters and manufacturers. He said the company now focuses on positioning wool as a premium residential flooring option in offshore markets, rather than trying to secure large-scale commercial fit outs which are heavily price driven. Here in NZ, cost has been a key determinant in the market, but

he said that was before there was widespread recognition of the environmental impact synthetic or plastic products create now and for future generations. Cost was now a barrier for less than 25% of local consumers. However, there was a need for greater focus on building awareness of wool, given 27% of survey respondents were unaware of what synthetic carpet is made of. The surge in covid/lockdown related home renovations may also be tailing off, based on responses in the survey. It showed fewer New Zealanders were interested in replacing their flooring. However, carpets remain the preferred option for 70% of those who are renovating. “Interest in purchasing vinyl, laminate, tile, or wood flooring has dropped to as low as 14%, which means the agricultural industry can focus on further educating consumers on the benefits of wool over synthetics to grow market share,” Smith said.

The right tree in the right place Fiona and Jon Sherlock’s Waikato farm is hard hill country, dominated by steep class six and seven paddocks. They have plans to convert about 200-300ha of their more marginal land into forestry. Watch the video now at youtube.com/OnFarmStory This episode was made possible with support from Rabobank

On Farm Story

Opinion

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

EDITORIAL EU trade deal hyped beyond recognition

HE Beehive’s spin doctors earned their money last week flogging the virtues of the long-awaited free trade agreement with the European Union. Headlining Prime Minister Jacinda Arden’s press release was a predicted $1.8 billion in annual gains for exporters on full implementation. This was more than the universally praised FTA with the UK announced earlier this year, the release said. Next was eventual tariff elimination on 97% of products currently exported to the EU, with 91% scrapped on day one. But does the reality really match the government’s hype? Take tariff elimination, for example. Trade agreements the world over routinely achieve tariff elimination of 90% or more on individual products traded. The vast majority of those products will be traded in relatively low volumes, however. What separates a good deal from a poor one is to what extent barriers to a country’s major exports are liberalised. On that count this deal is a fail. The quotas achieved for dairy and beef remain vanishingly small when compared to overall EU consumption. Substantial in-quota tariffs mean the quotas will rarely be used by exporters and the $600m annual gains for meat and dairy touted by the Government never realised. Modest tariffs on kiwifruit, Manuka honey, wine, and other second-tier exports, will be scrapped immediately. For them this is an exceptional deal. Unfortunately they account for just 13% of goods exports. Dairy and meat account for half. The UK FTA made a meaningful contribution to the Government’s aim of diversifying the country’s biggest exports away from China. Tariffs will be phased out over time and the export potential after that is unlimited. The EU beef and dairy quotas – described as “insulting” by former Trade Minister David Parker when they were first tabled by the EU two years ago – achieve nothing like that and severely restrict exports until something better can be negotiated possibly decades from now. We all knew getting a good deal with the EU was going to be tough. But O’Connor and Ardern should spare us the spin and drop the pretence that the final deal is something it is not.

Nigel Stirling

LETTERS

Given the choice, I’ll stick to what tastes good MANY thanks to Alan Emerson for his observations on the adoption of vegan diets (June 27). Much of New Zealand’s farmland is in marginal country on which cultivation is totally impractical. For instance, my property in Central Otago has steep hillsides and numerous rock outcrops. How would we manage in a world as envisaged by the Vegan Society? It could be worse. The April 30 2022 issue of New Scientist magazine has an article extolling the virtues of insects as a food source. Well, everyone to their own taste, but the article includes a statement by Tim Lang, University of London. He says: “The benefits of consuming insects and lab-

grown meat will not come about by consumers making voluntary changes to their diet. They will only play out if governments and companies essentially force these foods on people.” Any political party that included any mention of compulsory dietary choices in their election would be relegated to the political wilderness. Roger Browne Alexandra

Roll out the red carpet for wool I HAVE BEEN meaning to write this letter for some time, and have been motivated to do so after seeing your article in Farmers Weekly on June 6 by Annette Scott re the effects soft-

furnishing fabrics may have on the microbiome of a home. This is a study being undertaken by AgResearch and Campaign for Wool NZ. I have always believed that woollen materials are far superior to synthetics and with this in mind I visited a number of carpet retailers to look for carpet for the new home we were building in 2014. Sad to say, my request for wool carpet was not treated seriously. Even though I was totally convinced I wanted wool, various salespeople were so persuasive that synthetic carpet was best, I ended up taking synthetic samples home instead of the wool samples I had been looking for. It wasn’t until I saw them glinting in the sunlight

that I took them back and demanded wool ones. We ended up with woollen carpet throughout our new home and I am still very thankful that we did. This was eight years ago and I would hope there has been a change in the attitude of carpet salespeople by now as I was very concerned at the time. In consequence, I feel it could be worthwhile the CFWNZ sending test “shoppers” to gauge the present attitude to woollen carpets among the carpet retailers. Roni Lauren Cambridge

MORE: CHANGING ATTITUDE TO WOOL P21

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Opinion

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Trade deal a major win for NZ Damien O’Connor

N JULY 1 we announced the conclusion of negotiations on our free trade agreement with the European Union. This is a major deal for New Zealand that will lift our annual exports to Europe by up to $1.8 billion once fully implemented. The deal has been broadly welcomed and recognised for how well it compares with other FTAs that the EU has done. Not everyone has been happy, however. On the weekend following our announcement from Brussels, I read a headline saying that in concluding the deal, “dairy, beef and sheep are the sacrificed lambs”. You may be thinking, “yes, we know what our meat and dairy sectors have said of the deal.” But in fact that headline was from the European farming lobby groups Copa and Cogeca. They have said the deal has painful compromises for farmers, stating at one point that “New Zealand exporters already have market access for 75,000t of butter and 11,000t of cheese [and] this additional access to the EU’s added-value protein market and sensitive products (butter 15,000t, cheese 25,000t, milk powder 15,000t) will substantially increase market pressure”. At the same time, I’ve seen comments from critics here in NZ saying we should have walked away from the table because it didn’t have enough for meat and dairy. Both sides say too much was given away. For our part, we made a

The

Both sides say too much was given away. For our part, we made a decision that the deal we’d spent four years negotiating was a very good one for NZ.

Pulpit

decision that the deal we’d spent four years negotiating was a very good one for NZ. It removes tariffs on wine, kiwifruit, honey, apples, onions, seafood and a range of other NZ exports, with those savings amounting to $110m per annum. In all, 97% of current trade will have tariffs removed. The deal opens up opportunities for our red meat and dairy to earn over $600m of additional revenue. Importantly, our businesses will be able to move people more easily into a market of nearly 450 million consumers worth $23 trillion. The deal cuts red tape, has great gains for our education sector and recognition of professional qualifications, and makes way for more investment into NZ from the EU. The sustainability provisions will provide us competitive advantage over other countries trying to access that market. One of the tests of the quality of this deal is seeing how it lines up

SWEET DEAL: Negotiation, says Trade Minister Damien O’Connor, is about ‘what’s possible, not what’s perfect’.

with other FTAs that the EU has concluded – comparing apples with apples. For instance, our quota of 10,000t of beef is in line with what Mexico concluded. Mexico is a market of nearly 130m consumers for the EU. The EU doesn’t do FTAs without recognition of geographic indicators (GIs). We won a nineyear phase-out for the use of the name “feta” – others had only five years. The name “parmesan” is grandparented, allowing those who have used it for five or more years to continue to do so. The EU

will also protect our existing GIs, such as “Marlborough”, under the agreement. We won concessions from the EU on patent protection rules, which means we won’t see increases in prices for pharmaceutical and veterinary medicines. This is a very uncommon outcome among the EU’s agreements with other OECD Members and a win for NZ. Walking away from the table is always an option, but you have to also look at the counterfactual. You might walk away if you thought your negotiating position

would substantially change in the foreseeable future. You’d have to weigh that up against the risk of losing the gains you’d won to date, because the table won’t be set in the same way when you return. And finally, you do not know when a seat at the table will next be available. There are many other countries wanting to conclude an FTA with the EU and we would almost certainly have moved backwards in the queue. I acknowledge that some may be disappointed with the access on meat and dairy. While we have always been ambitious in trade negotiations, the EU’s position on agriculture is well known and it’s one that’s very different to ours. We negotiated hard for our dairy and meat sectors and in doing so have opened up opportunity where it has not previously existed. Negotiation is about finding what’s possible, not what’s perfect. We should not let the perfect be the enemy of the good. This is a very good and commercially meaningful FTA for NZ. A lift of up to $1.8bn in export income will be a great result.

Who am I? Damien O’Connor is New Zealand’s Trade Minister.

Biodiversity draft short on funding, focus David Norton I BELIEVE most of the fundamental problems with the National Policy Statement for Indigenous Biodiversity (NPSIB) have not been addressed in the exposure draft. The policy statement remains flawed and will not contribute to sustaining native biodiversity or meeting the objectives of Te Mana o te Taiao, the Aotearoa New Zealand Biodiversity Strategy. The NPSIB is strong on identifying significance and on rules controlling how Significant Natural Areas (SNA) can be used, but includes nothing on how the people on whose land these SNAs are located will be encouraged and helped to manage them. Simply calling an area significant is useless unless the area is managed properly, and management requires resources. If the government is genuine about meeting the objectives of Te Mana o te Taiao through the NPSIB, it will include financial incentives and other support structures for landowners to help them manage SNAs. The NPSIB also ignores threats

significant, and imposing rules on how this area is used, does nothing to address the factors that threaten indigenous biodiversity. This is a totally reactive approach rather than a proactive one and will not result in sustainable native biodiversity.

SIGNIFICANT OTHER: The draft national policy on diversity is long on rules governing Significant Natural Areas but short on how landowners will be helped to manage them.

to indigenous biodiversity (aside from a vague reference to climate change), focusing on mapping and rules, yet maps and rules do

nothing to address threats that relate primarily to invasive species and climate change. Again, simply deciding that an area is

The NPSIB makes no reference to public conservation land. Native biodiversity and the threats to it occur independent of land tenure, and if we are to sustain our native species, the NPSIB should apply to all land tenures (public, private, freehold, leasehold, Māori etc) and to all people managing land, including government agencies. A good example of the importance of this for biodiversity is a bird like the kārearea or North Island brown kiwi, whose habitat includes public and private land. Management of indigenous species requires integrated management across all land tenures. The same applies to such key threats to biodiversity as invasive plants (wilding conifers, banana passion vine etc) and invasive animals (deer, pigs, mustelids, cats etc), whose dispersal and habitat use occur

independently of land tenure. In the NPSIB the criteria proposed for identifying SNAs are so broad as to include virtually all areas of indigenous biodiversity in Aotearoa New Zealand. This seriously dilutes the value of the biodiversity policy. By including virtually everything in the definition of “significant”, the NPSIB downplays the significance of those areas that are genuinely significant. This then acts as a massive disincentive to landowners, who will end up with large areas of SNAs and will have no confidence in the integrity of the system or any idea of what areas are most important.

Who am I? David Norton is an emeritus professor at Te Kura Ngahere-School of Forestry at the University of Canterbury.

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

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Primary sector’s primed for future Alternative View

Alan Emerson

I GOT a real buzz from the Primary Industry Summit held last week in Auckland. It was pan-industry and positive. It’s come a long way in a few short years. We now have more than 500 enrolled at the conference and more than 600 for the dinner and awards. The conference got under way with a presentation from our agriculture trade envoy Mel Poulton. I hadn’t heard her present before, but she is impressive. She has the credentials: brought up on a sheep and beef farm, a Nuffield Scholar, a Massey agribusiness graduate with a range of different executive roles over both national and international organisations and a farmer in her own right. She understands the issues. For a start, living in outback Tararua she had major communications issues she had to address. She did at her own expense and now she is wired to the world. Her main presentation revolved around the fact that we were a team. That the entire sector needed to

stick together and support each other. That we needed to position NZ to open as many doors as was possible. We were now exporting to 120 countries, which I hadn’t realised. That “we needed to brand ourselves”. Amen to that. As I said at the start, she is impressive. I also enjoyed the presentation from American Diana Rodgers entitled Pathways to a nutritious, sustainable and equitable food system. She is the author of Holy Cow, which is designed to promote the goodness of meat and the necessity of animals in the food chain. She was outspoken, entertaining and pandered to my prejudices. Addressing the current negative views of meat she was unequivocal. They were incorrect. We need meat in our diets. She discussed meat from an ethical and environmental view, saying that you can’t have a sustainable food system without animals. I desperately looked for a member of SAFE at the presentation but alas they weren’t in attendance. Neither was Greenpeace. What I hadn’t realised was that much of the anti-meat brigade were there because of religious beliefs. They believe meat gave them impure thoughts. I must confess to being guilty of having impure thoughts, but there are none that I can honestly blame on meat. She expressed surprise that

meat received far more bad publicity than junk food and that it was difficult to be a healthy vegan. Of those attempting veganism, 84% gave up after just three weeks. A farmer in her own right, she felt some of the anti-meat push came from those who were just anti-farmer. Other opposition came from commercial opposition, such as synthetic meat producers. One quote that resounded was “there is no reason not to eat meat”. It is impossible to cover a conference of this type in a column but I came away feeling that yes, there were lots of challenges and yes, there are things we need to change. My overall belief is that we can change to meet the challenges, they aren’t insurmountable. We just need unity and teamwork. The Primary Industry Awards are a highlight for me. I never cease to be amazed at the talent, commitment, and resourcefulness of many in our industry. Each entrant in every category made some significant contribution to our sector. In my view all finalists were winners. For example, MilktechZ was the winner of the Primary Industry Producer Award for its electronic cup remover. Principal Gustavo Gaza started his development on his kitchen table in Hamilton. The seeding capital came from a mortgage on his house. Today it employs 25 full time staff with more than 1000 units installed on dairy farms in NZ,

RECOGNITION: Chris Lewis, a highly intelligent, low-profile toiler, has done much for farming and the dairy industry in particular.

My overall belief is that we can change to meet the challenges, they aren’t insurmountable. We just need unity and teamwork. Australia, the UK and Brazil. The Bremworth story blew me away and it is to the company’s credit it is maintaining production in NZ despite it being cheaper to do so offshore. Watch this space. Feds national board member and ex dairy head Chris Lewis is a person who believes actions speaks louder than words. This highly intelligent, lowprofile toiler has done much for farming and the dairy industry in particular. His efforts supporting skilled international dairy farm workers amongst many other achievements were recognised with the Primary Industry Champion Award. Professor Stewart Ledgard is a

Johnson’s house finally falling? FROM The Ridge: Prime Minister Boris Johnson, thank you for agreeing to an interview. I know it’s a busy and stressful time for you. Boris Johnson: Yes, I’m terribly busy but there’s no stress at all. Not a bit. Delighted to talk to my friends in New Zealand. Surprised you wanted to chat to me. FTR: Well, to be honest I’ve never been inclined to conduct one of these interviews with the likes of Jacinda, Bill, or John. There just wasn’t the sport in it. But President Trump was hard to resist. I’ve missed him and wouldn’t be surprised if he makes a comeback as anything is possible in these times, although he’s facing his own troubles at the moment. I’ve been keen to catch up with you for some time. To be honest, I thought I’d better hurry up as it looks like you might not be PM for much longer. This interview is likely a bad idea. It is so fluid with your government that things are changing even as we chat and by the time this is published anything could have happened. BJ: Nonsense. I can’t believe

anyone would think that. I was elected with a colossal mandate. I feel very secure in my position. FTR: You’ve had a tough time, even by your standards. First, having made this aptly named Pincher deputy whip in February, when he resigned after allegations of drunken groping of two men, you told the press you hadn’t heard of any previous allegations when you appointed him. Turns out that you had been told and then you had to admit that you did and that it was unwise to appoint this man. You have a reputation of

being fluid with the truth. Next thing your health minister and chancellor resign from your cabinet sensing they still had an opportunity to maintain some sort of reputation. This surely is a fatal blow. They were followed by more than forty other ministers in 24 hours. That’s on top of 22 previous ministerial resignations since 2020, which is rather a lot. Good line by Starmer when he said it was a ship leaving a sinking rat. There can’t be many backbenchers prepared to step up to fill these positions. Doesn’t it make it

OUT TO PASTURE? British Prime Minister Boris Johnson may be looking at gardening leave, rather than governing.

untenable to continue to claim you have a mandate? It’s only a month since 41% of your own government MPs voted to oust you over that partygate scandal. BJ: I think it shows the depth of the Conservative Party when all of these 40 have been replaced with people with talent and, more importantly, loyalty. The media have been talking about me not being PM for years but I’m still here. FTR: I did laugh at your backbencher Andrew Mitchell when he said it’s a bit like the death of Rasputin. “He’s been poisoned, stabbed, he’s been shot, his body’s been dumped in a freezing river and still he lives.” BJ: I tell you I’m secure as PM. There is no one who is better than me and able to win us the next election. FTR: So much for the depth of talent you just mentioned. Ed Vaizey, your former culture minister, when talking about potential successors amusingly said your newly-departed chancellor Rishi Sunak is “so rich he’s uncorruptible, which is a

modest, low-profile scientist of international repute. His contribution to agriculture has been massive. As well as being principal scientist at AgResearch he is adjunct professor of the Life Cycle Management Centre at Massey University. With a product’s lifestyle assessment becoming increasingly relevant in the international marketplace his contribution has been considerable, as has the measurement of a products carbon footprint. Overseer is another of Professor Ledgard’s achievements. His Outstanding Contribution Award was well deserved. God willing it is a conference I’ll be back for next year. It is a must-attend event and a true gathering of male and female and young and old. The organisation by Feds and Brighstar was exemplary.

Your View Alan Emerson is a semi-retired Wairarapa farmer and businessman: dath.emerson@gmail.com

From the Ridge

Steve Wyn-Harris

very important point”. “And he’s one of the few members of the cabinet who can do joined-up handwriting.” Another couple of your ministers have just resigned by the way. BJ: I was elected to do a job and I’m going to do it. I’m not going anywhere. FTR: There is just no dignity in this and you are in the process of pulling down your own house, The Conservative Party. I’m right on deadline but I’m reluctant to file because I can’t believe you will still be PM much longer, so all I can do is wish you good luck. BJ: Thank you. Now I’ve got to go and find two new ministers.

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 – July 11, 2022

Wrestling with the metrics of methane The Braided Trail

Keith Woodford

IN MY previous article, I explained that there is much controversy about how methane should be compared with carbon dioxide in terms of global warming. The problem arises because methane is a powerful greenhouse gas but it lasts only a short time in the atmosphere. In contrast, carbon dioxide is a weak greenhouse gas but lasts much longer. Also, there is a lot more carbon dioxide than methane released into the atmosphere. Big problems arise when methane is shoe-horned into carbon dioxide equivalence. First, many people may be surprised to learn that the issue of carbon-dioxide equivalence and the associated controversies are not really about the science. Scientists understand the nonsense of trying to estimate how many apples it takes to equate to one orange, with the answer depending totally on the chosen measures. Similarly, scientists understand that methane has a totally different emission profile to carbon dioxide and there is no simple equivalence measure. However, the general public, together with policy makers and politicians, like to keep things simple. They want to be able to add the two together regardless of the problems and flawed thinking this creates. The internationally accepted way for reporting emissions back to the United Nations Framework Convention on Climate Change, which is where climate-change policy issues are decided, is to think of carbon dioxide as the big brother and methane as the little brother. Little brother has to fit in with big brother. Accordingly, methane is typically converted to units of carbon dioxide equivalence (CO₂e) on a 100-year timeframe of global warming, with this denoted as the GWP100, or global-warming potential, effect. In doing the calculations, the methodology looks forwards rather than backwards. It doesn’t matter what emissions might have occurred in the past. The only question being answered is how much warming over the next 100 years will be caused by the new emissions. Given that specific question, and within the current limits of scientific knowledge, the GWP100 metric gives correct answers. If you want another answer, you have to change the question. When government officials report that agriculture makes up almost half of New Zealand’s emissions, this is based on this 100-year assumption, although that caveat is almost always lost in media reporting. Similarly,

if agriculture were to enter the Emission Trading Scheme as currently structured, it would be using the GWP100 equivalence assumption that underpins that system. I will use two examples to illustrate the importance of this assumption. Some people are concerned about what will happen to the Greenland and Antarctic glaciers. If these glaciers melt, it will be over a period of many hundreds and possibly thousands of years. If they do melt, sea levels will rise many metres, and mega-cities across the world will drown. If this occurs as a consequence of greenhouse gases, it will be almost totally due to carbon dioxide that is piling up in the atmosphere. This is because much of the carbon dioxide released today will still be in the atmosphere in another 500 years. In contrast, the methane that is released in the next 50 years will all be gone, and hence is essentially irrelevant to that longterm situation. The second example relates to a current focus on shortterm temperatures, with 2050 being a particular focus. We read continually in the media about the so-called challenge of keeping the accumulated global increase in temperature to less than 1.5⁰C compared to pre-industrial 1850. In a scientific framework, there is nothing special about 2050. But society likes targets that can be enunciated in simple terms. This 2050 target, linked to a pre-industrial 1850 baseline, is what climate-science politicians and lobbyists are focusing on. This is despite the pre-1950 component of the change almost certainly being largely natural and unrelated to human activities. Given this target, combined with the scientific fact that it is impossible to reduce the ongoing temperature effects of past emissions of carbon dioxide, it makes sense to place significant emphasis on reducing global methane emissions. It could indeed be an important way to influence temperatures in 2050, albeit by, in all likelihood, less than 0.1⁰C at that time, even if undertaken globally. The key take-home from these examples is that just like apples do not have an orange equivalence, so too it is important to not conflate issues of short-term versus long-term greenhouse gases. There is no simple overarching metric for comparison. Many and probably most climate scientists would agree with the above paragraph about not conflating short- and long-life greenhouse gases. But alas, many politicians and lobbyists have no understanding. Accordingly, some climate scientists have stepped forward from analysing the climate itself to try to find alternative metrics that can be used in the policy framework where politicians and lobbyists work. In understanding these alternative methane metrics,

APPLES, ORANGES AND … RUMINANTS: Two of the main culprits in global warming, carbon dioxide and methane, cannot simply be set side by side and compared with one another, says the writer

I often refer to the invisible methane cloud sourced from NZ’s pastoral animals. It is the current size of this invisible cloud that determines the current temperature effects of NZ’s historical pastoral emissions. Think of this atmospheric cloud as being the atmospheric equivalent of a bathtub with a tap running and the plug partly removed. Water flows in and water flows out. The amount of water in the bath will depend on how fast the tap is running and how fast the water is leaving down the plughole.

The key take-home from these examples is that it is important to not conflate issues of short-term versus longterm greenhouse gases.

With methane, scientists know that the flow of methane into the atmosphere from NZ ruminant animals is close to what it was 30 years ago. As a consequence, and linked to the scientific knowledge that about 8% of methane molecules decompose each year, an approximate balance in the atmospheric “bathtub” has been reached and the atmospheric cloud of NZ pastoral-sourced methane is close to stable. Hence, this argument goes, NZ’s agriculturally sourced methane is contributing to further global warming in a minimal way. In contrast, with carbon dioxide only a small amount of carbon dioxide leaks out through the plughole and the stock of carbon dioxide in the atmosphere keeps increasing each year.

This insight, variously stated, underpins the GWP-star metric, written GWP*, which some people are now promoting vociferously. Whereas GWP100 looks forward at the effect of this year’s emissions, the GWP* metric focuses on the changes in emissions that have occurred compared to a historical period and hence, in relation to methane, on the change in size of the atmospheric-warming cloud. The argument goes that because the NZ-sourced atmospheric methane cloud is essentially stable, NZ farmers should not be charged for doing what they, or more particularly their animals, have been doing for a very long time. Recall that earlier in this article I said that the GWP100 metric provides an accurate measure of the 100-year warming effect of current emissions, with this effect being measured relative to no emissions at all occurring. In contrast, the GWP* metric answers a different question, which is whether or not the atmospheric methane cloud is increasing. Each is correct for the question that is answered. Many people in NZ agriculture are very keen on GWP*, for the obvious reason that it leads towards a conclusion that any methane charges incurred by NZ agriculture should be minor. However, the GWP* metric gives a very different answer in situations where the atmospheric cloud is increasing from new emitting activities. Accordingly, using this as a basis for emission charging leads to new emitters being charged heavily. The principle of using past emissions to justify ongoing emissions is called “grandfathering”. It is the reverse of a key principle in the Paris Agreement that developed countries with current high emissions must carry the main

burden of emission reduction. Here is just one of many examples of grandfathering effects: Some eight years ago, I led a Ministry of Foreign Affairs and Trade-funded dairy-development design team to Colombia. Although close to the equator, Colombia includes temperate lands at altitudes of between 2,000m and more than 3,000m, which is highly suitable for dairying. Also, the Colombian Government sees dairying as a wonderful alternative to growing cocaine. However, if the GWP* metric were to be used to assess greenhouse gas effects, Colombian dairy developments would show up badly because they generate new emissions. So, given these ethical issues, how do we move forward here in NZ, where pastoral-sourced food underpins so much of our exportled economy? Once again, in this article I have only scratched the surface of multiple complex issues. Although I think there is a path forward for both NZ agriculture and NZ society, that must be another article. So, my final take-home message from this article is that climatechange issues are indeed complex. Also, much of the debate is illinformed. It is like two warrior groups standing on either side of a wide gully shouting insults at each other, with each group accusing the other of being ignorant. Each warrior group can hear only itself.

Your View Keith Woodford was Professor of Farm Management and Agribusiness at Lincoln University for 15 years through to 2015. He is now Principal Consultant at AgriFood Systems Ltd. He can be contacted at kbwoodford@ gmail.com Previous articles can be found at https://keithwoodford. wordpress.com

Mangaokewa 228 Mangaokewa Road Open Day

King Country grazing and forestry 378 ha located at 228 Mangaokewa Road, 25 km southeast of Te Kuiti between the Mokau and Mangaokewa rivers. This undulating to medium hill contour farm offers significant diversity in stocking options and could run all cattle on the grazable 220 ha, the balance being 105 ha of forestry and 53 ha of beautiful native forests, some that are registered under QE2 trust. It is complemented by a landowner share of a 90 ha forestry right due for harvest anytime within the next few years. Infrastructure includes a four bedroom main dwelling, cottage, four stand wool shed, sheep and cattle yards, two haybarns and an implement shed. Stock numbers wintered include: 280 R1 Cattle, 30 R2 Cattle, 450 MA Ewes, 60 Lambs and 20 Rams. Don't delay inspection of this diversified grazing and forestry opportunity, as this is an estate sale where genuine motivation exists to sell. Motor bike and helmet required to view.

Tender closes 4.00pm, Mon 22nd Aug, 2022 (unless sold prior), 131 Rora Street, Te Kuiti 3910 View Tue 12 Jul 12.00 - 2.00pm Thu 14 Jul 12.00 - 2.00pm Web pb.co.nz/TER103923 Doug Wakelin M 027 321 1343

E dougw@pb.co.nz

Di Janett M 027 554 2227

E di.janett@pb.co.nz

Taumarunui 5896 State Highway 4 Open Day

First farm start up This well located 130 ha (more or less) block could be the first step on the farm ownership ladder or a large lifestyle block that could entertain your hunting and wilderness wishes. Situated only 11 km north of Taumarunui it could be an easy commute into town for work or a swift trip to Te Kuiti. The farm is complete with: • 4 stand woolshed with covered yards • Cattle yards and load out • 3 bedroom + office and rumpus room home • Native bush. River boundary There are many options for this property and it is most definitely worth an inspection. An ATV is recommended for a comprehensive viewing. Property Brokers Ltd Licensed REAA 2008 | pb.co.nz

Auction 2.00pm, Thu 11th Aug, 2022 View Wed 13 Jul 1.30 - 2.30pm Web pb.co.nz/TUR13167

Katie Walker M 027 757 7477

E katiew@pb.co.nz Proud to be here

Palmerston North Central 312-318 Broadway Ave Tender

Dual tenancy in a prime location Situated on a prominent part of Broadway Avenue, this modern building constructed in 2012 is offered for sale by tender, closing 27 July 2022 at 2.00 pm (unless sold prior) With two quality well established tenants on good nett leases the property includes 30 carparks, a real bonus in this very busy location, allowing easy access for customers and staff. Both tenancies include multiple offices, meeting rooms, board, rooms, kitchens, bathroom facilities and receptions areas with modern recently upgraded fit outs. The land area of 2,024 m2 (more or less) has good street access, and total building area of 1,015 m2 (more or less). Current lease terms are through to April and August 2024 with rights of renewal, a combined nett rental of $295,398. Call Ian Steele for further detailed information on this sound and secure investment opportunity.

Tender closes 2.00pm, Wed 27th Jul, 2022 (unless sold prior), Property Brokers, 54 Kimbolton Road, Feilding View By appointment Web pb.co.nz/FC104801

Ian Steele M 027 441 1235

E ian@pb.co.nz

Lynette Love M 027 244 5806

E lynette@pb.co.nz

Together Stronger Our combined strengths complement each other, creating more opportunity for our customers and Farmlands shareholders across provincial New Zealand. • • • •

A nationwide network from Northland to Southland Sound, trustworthy advice from market-leading experts Shareholder benefits and preferential commission rates means more money in your pocket

Bigger networks, more buyers, better results For more information call 0800 367 5263 or visit pb.co.nz/together Property Brokers Ltd Licensed REAA 2008 PB053815

Property Brokers Ltd Licensed REAA 2008 | pb.co.nz

Proud to be here

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Real Estate

FARMERS WEEKLY – July 11, 2022

IT’S ALTOGETHER BETTER IN THE

FEATURING

FARM, SPECIALTY AND LIFESTYLE PROPERTIES FOR SALE

Bayleys’ latest edition of Rural Insight is out now, blending industry insights from Bayleys’ Country experts across dairy, pastoral, viticulture, horticulture, and lifestyle property sectors. We also feature the latest farm, specialty, and lifestyle properties for sale nationwide. Underpinned by our local and national sales team, we connect the best buyers and sellers, to deliver altogether better results every time.

ISSUE 1 – 2022

Read it now at bayleys.co.nz/rural-insights LICENSED UNDER THE REA ACT 2008

Residential / Commercial / Rural / Property Services

Your one stop shop for rural Real Estate

OTIWHITI FARM FOREST

FOR SALE

Hunterville, Manawatū-Whanganui LARGE-SCALE CARBON AND PRODUCTION FORESTRY OPPORTUNITY

Get in touch with your agent today

Get in touch farmersweekly.co.nz/realestate with your agent today to list your property next to news that farmers read. Contact your agent to advertise today. 0800 85 25 80 farmersweekly.co.nz/realestate

Pinus radiata planted 2019

Deadline Offers:

Wednesday 27 July 2022 at 4pm (NZST) Wyatt Johnston Chan Singh Jeremy Keating

+64 27 815 1303 +64 27 767 7113 +64 21 461 210

Scan for Marketing video

+ 1,140ha freehold land (subject to survey) + 623ha* farm land for sale + 499ha* under Forestry Right to Crown Forestry (NZ Government) + Passive land rental, opportunity to purchase trees, ability to claim NZU’s + 469ha* established 2019 - 2021, 25ha* to be planted in 2022 + 454ha* lodged in 2021 for ETS registration + Significant projected carbon sequestration

* Approximately Arotahi Agribusiness Limited, Licensed Real Estate Agent REA Act

FARMERS WEEKLY – July 11, 2022

Real Estate

Your destination for rural real estate. Add another touchpoint to your campaign on the website built for farmers, and align your brand with the content they read. Geotargetting, print packages, and premium positions are available. Market your property to an audience that counts. Contact your agent to advertise today! www.farmersweekly.co.nz

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Noticeboard

0800 436 566

CHILLERS & FREEZERS

See TradeME #2251190054 [For farmers and hunters] Become self-sufficient

ANIMAL HANDLING

DOGS WANTED

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

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

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

udly NZ Made Pro Since 1975

FARM MAPPING PINPOINT AREA SIZES of grazing and vegetation on your farm with an accurate and practical farm map. Call 0800 433 855 or visit farmmapping.co.nz for a free quote.

FOR SALE WINTER SPECIAL

frigidair@xtra.co.nz

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

www.thesocklady.co.nz

DOGS FOR SALE

WORD ONLY ADVERTISING. Phone Debbie on 0800 85 25 80.

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021 441 180 (JC)

ANIMAL HEALTH

When only the best will do!

Call Debbie

0800 85 25 80 classifieds@globalhq.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.

PROMOTES QUICK PASTURE growth. Only $6.50+gst per hectare delivered. 0508-GIBBGRO [0508 442 247] www. gibbgro.co.nz. “The Proven One.”

Email: trutimbernz@gmail.com

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.

ARE YOU A MEMBER OF THE BEEF SUPPLY CHAIN? Come have your say on the future of beef sustainability in NZ.

CALL FOR NOMINATIONS for motivated and qualified individuals onto the NZRSB Board.

Email info@nzsustainablebeef.co.nz with the nominee’s contact details and a bio or resume, or visit www.nzsustainablebeef.co.nz

Selling something? Call Debbie

JOBS BOARD

0800 85 25 80

LEASE LAND WANTED SHEEP AND BEEF. Northland. Long term. Phone 027 317 6793. 2000-3000SU SHEEP AND beef lease block. Anywhere in New Zealand considered. Mid 40’s couple, approx. 30 years experience. Phone 027 246 9668.

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

Heavy duty construction for serious wood splitting. Towable.

Livestock Manager

LK0112335©

Research Farm Manager Shepherd Stock Manager

Splitter with hydraulic lifting table $4500

Viticulture Position

$3900

To find out more visit

LK0112240©

FROM THIS

NOW WORKING THROUGH PAHIATUA AND DANNEVIRKE AREAS

Heavy duty long lasting

Contact Scotty to discuss all that needs to be done 0800 27 26 88 Mobile 027 26 26 27 2 scottnewman101@gmail.com

TO THAT

New Zealand’s Number 1 service provider since 2004

Ph 021 047 9299

Travel further with Farmers Weekly Promote or find your next adventure in our Travel & Tourism section published monthly. Next issue – August 8 Booking deadline – Tuesday August 2, 12 noon To advertise your travel products and services contact: Debbie 06 323 0765 or email classifieds@globalhq.co.nz

The Combi Clamp Sheep Handler was designed to make tasks like dagging, drenching, weighing and vaccinating more appealing for even the most experienced farmers. Now thousands of farms, from lamb finishing to large-scale breeding operations are repaing the rewards of this simple, versatile and incredibly efficient Sheep Handler

WHAT’S SITTING IN your barn? Don’t leave it to rust away! We pay cash for tractors, excavators, small crawler tractors and surplus farm machinery. Ford – Ferguson – Hitachi – Komatsu – John Deere and more. Tell us what you have no matter where it is in NZ. You never know.. what’s resting in your barn could be fattening up your wallet! Email admin@ loaderparts.co.nz or phone Colin on 0274 426 936 (No texts please)

12HP, diesel, electric start, 50 ton

Farm Manager

We also dig out and remetal cattle yards & calf sheds

WANTED TO BUY

MOWER MASTER JULY SPECIAL

2IC / Stock Manager

SCOTTY’S CONTRACTORS

WORD ONLY ADVERTISING. Phone Debbie on 0800 85 25 80.

TUESDAY 2 AUGUST | CROWNE PLAZA, CHRISTCHURCH

farmersweeklyjobs.co.nz

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

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

RED DEVON BULLS. Well grown, purebred. Feilding. Phone 027 224 3838.

2022 CONFERENCE & ANNUAL GENERAL MEETING

GOATS WANTED

LIVESTOCK FOR SALE

NZRSB

Kitset Sheds & Fencing Supplies.

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Want to sell something here?

9-MONTH HUNTAWAY Beardie dog, run and stop. Make good mustering dog. Phone 021 022 41610. HUGE SELECTION WORKING dogs. Deliver NZ wide, trial. www. youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553. WORD ONLY ADVERTISING. Phone Debbie on 0800 85 25 80.

Get a FREE pair with every purchase. Socks for all ages – contact us for custom made.

GIBB-GRO GROWTH PROMOTANT

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

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FARMERS WEEKLY July 11, 2022

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Combi Clamp Cattle Handling Equipment is built with superior strength and reliability. With automatic catching for polled and horned animals, as well as controlled release and automatic reset, effective stock handling has never been so easy!

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CHATHAM ISLANDS

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WESTERN AUSTRALIA

Sept/Oct/Nov

TASMANIA

Sept/Oct

Oct/Nov

Book your Spring tour now! www.farmtofarm.co.nz

0800 38 38 747

FW 112380 50 x 265mm 11/07/2022

Travel & Tourism

FARMERS WEEKLY – July 11, 2022

for details

4X4 TAGALONG TOURS

info@nzadventures.co.nz Ph: 03 218 8569 027 550 6727 or 027 435 4267

Spaces available on

Roll on Waitaki Tour May 2023

Bring your own 4X4 on a guided tour to discover more of the South Island.

“A Rotorua Must Do !”

Tour 1: Molesworth Station, St James, Mailings Pass & Rainbow Stations Dates: Nov 27-30, Jan 22-25, Feb 19-22, March 5-8, March 12-15, March 19-22, March 26-29, April 16-19 Dates: Nov 20-24, Jan 8-12, Feb 5-9, April 23-27

Farmer specific, talking with farmers.

www.nzadventures.co.nz

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Other dates available for groups of 6 or more people on request

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Tour: 2 D’Urville Island and Marlborough High Country

Ph: 0274 351 955 Email info@southislandtoursnz.com www.southislandtoursnz.com

WWW.TREEWALK.CO.NZ OPEN 7 DAYS 9.30AM TO LATE

Tech & Toys

Take control of your winter LK0112381©

Protect your cows with a warm, dry home that ticks all your environmental needs. Come and take a look at one of our HerdHomes® Open Day 19th July, 11am-2pm at 323 Irwell Rakaia Road, Dunsandle

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Contact Marcel 027 227 6186 THE ALL NEW COOPER

HERD HOMES NZ LTD

RUGGED TREK

@coopertiresnz www.coopertires.co.nz

0800 453 418

Livestock Noticeboard

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

FARMERS WEEKLY – July 11, 2022

STOCK REQUIRED Farm Sundry Clearing Sale

BEEFGEN is currently purchasing animals for live export for late July delivery:

2021 Angus Heifers Commercial $1100 2021 Simmental Heifers Registered $1600 • Commercial $1350

what’s on offer before sale day. Choose which sale yards you want to follow and find out the number and class of stock being entered at the next sale.

farmersweekly.co.nz/enewsletters

LK0112339©

Please contact your local agent for further information.

R2 YR ANGUS BULLS 450kg

R2 YR FRIES/HERE STEERS 350-400kg R2 YR Fries BULLS 420-520kg R3 YR ANG or Ex X STEERS 500-550kg

Sundries include: MF Tractor 2008 5445 Model, 4 ton Kobelco digger 2018, 2 Honda TRX500 quadbikes 2017, Porta docking yards and extra gates, Combi clamp, 3 bike trailers, 3 bale feeders, wool sorting table, rotary slasher, canoe, docking cradle, docking irons, scrim, weedwiper, Cedax sprayer, freezers, chainsaw, tools, fencing gear, wire, batten stapler, grease gun, EF reels, PT standards, bike tyres, alkathene, native timber, pump and reel, PTO attachment, petrol pump, drums, salt blocks, bike ramps, stock crate, Cambridge roller, drain tiles, tractor forks and bucket, tarpaulins, bath, SS sink, concrete trough, copper bucket, zinc capsules, garden tools and accessories, posts and battens, corrugated iron, netting, household sundries, solo sprayer, dip, drench, weed spray, pipe fittings, offal cooker, trolley, fadge holders, woolpacks, 3 dagging plants, drench packs, vacc guns plus many other sundries. Outside entry: Giltrap 3 mtr gear drive topper in working order. Tokirima School holding a fundraising BBQ

For more details contact: Murray Craig 027 229 3027 Chris Graves 07 896 6385 Simon Bradley 027 442 6177

www.dyerlivestock.co.nz

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

"MAXIMISING YOUR RETURN THROUGH PERSONAL LIVESTOCK MANAGEMENT"

STOCK WANTED 350kg+ R2 Friesian Bulls Richard Seavill, Ph: 021 169 8276

STOCK FOR SALE 53 x 400kg Here/Frs Steers. $3.10/kg 50 x 430kg Dairy X Beef Steers. $2.80/kg 40 x 240kg Frs Bulls. $3.40/kg Richard Seavill, Ph: 021 169 8276 37 x 350kg Here/Frs Hfrs. $2.75/kg Chris Kyle, Ph: 027 496 7412 51 x 320kg Here/Frs, Ang/Here Hfrs. $2.70/kg Harrison Levien, Ph: 027 496 7410

Terms EFTPOS or cash on the day LK0112377©

F12 and plus $1,550 plus GST F8 – F11 $1,450 plus GST A2A2 $1,600 plus GST

Stay ahead of the rest

R2 YR HERE BULLS 500kg

Account D M Craig (Farm sold) Sunday 17th July 11.00am Start Signposted from Taumarunui 2530 River Road, SH 43

2021 Holstein Friesian Heifers

BEEFGEN : Brian Pearson : 021 0907 1688 BEEFGEN : Jess Crow : 022 074 1210 BEEFGEN Office : 06 927 7154

R1 YR ANG or EX HEIFERS 220-250kg R2 YR Fries or Fries x BULLS 300-400kg

100 x 250kg B/W Face Here/Frs Steers. $3.50/kg 100 x 215kg B/W Face Here/Frs Steers. $3.60/kg Richard Seavill, Ph: 021 169 8276 or Chris Kyle, Ph: 027 496 7412 0800 827 455 admin@byl.co.nz www.byllivestock.co.nz

SALE TALK Three ladies were discussing the travails of getting older. One said “Sometimes I catch myself with a jar of mayonnaise in my hand in front of the refrigerator, and I can’t remember whether I need to put it away, or start making a sandwich.” The second lady chimed in with, “Yes, sometimes I find myself on the landing of the stairs and can’t remember whether I was on my way up or on my way down.” The third lady responded, “Well, ladies, I’m glad I don’t have that problem, knock on wood”, as she rapped her knuckles on the table, and then said, “That must be the door, I’ll get it!” Supplied by June Gardiner

Here at Farmers Weekly we get some pretty funny contributions to our Sale Talk joke from you avid readers, and we’re keen to hear more! If you’ve got a joke you want to share with the Farming community (it must be something you’d share with your grandmother...) then email us at: saletalk@ globalhq.co.nz with Sale Talk in the subject line and we’ll print it and credit it to you. Conditions apply

MANGATARA LIMOUSIN

NZ biggest Limousin herd 250+ cows, commercially farmed Bigger weaners, better $$/kg at weaner sales Efficiency, more meat for less feed to finish Greater carcass yield, over 60% killed

•

Excellent Temperament

•

30 Polled – Black and Apricot Bulls by AI, home breed sires and ET program

•

PRIVATE TREATY from $3500

Contact owners: Erik & Lyn van der Velden 06 374 1575 or 0274 789 822 NZ Farmers agents: Clint Worthington 021 209 2236 or John Watson 027 494 1975

LK0112374©

• • • •

Farmers Weekly 2022 Autumn Bull Sale Results

IN PARTNERSHIP WITH

Buoyant bull prices reflect beef optimism Hugh Stringleman hugh.stringleman@globalhq.co.nz

LOSE to $25 million worth of two-year-old beef bulls changed hands during two months of farm sales, with increases in the average prices paid for Angus and Herefords. About $17m of Angus bulls were sold and $5m of Herefords, plus $2-3m of other breeds. The average prices achieved in the top 30 reported sales by Angus New Zealand were $1233 per head higher than reported in 2021. Increases between $200 to $3000 were reported by 25 of the 30 studs and for those who had decreased averages the reason was usually one or two very high bull prices in 2021. The bigger of the AngusPro studs also enjoyed increased averages between $1000 and $2000 per head.

The increases in average price reflected the high beef schedules and shows there is confidence in the industry. John Cochrane Angus NZ

In the reported results by NZ Hereford 13 of 20 studs showed increased averages and the year-on-year comparison across the breed was an average increase of $316 per head. Top price for Herefords was $47,000 paid twice for Matariki Nautical and for Okawa Saracen. Otago-Southland Angus

studs had a wonderful sale season, with some recording averages $4000 and even $6000 better than last year, in the case of Kincardine Stud at Queenstown. Other very good Angus results were recorded by Shian and Black Ridge in the King Country, Orere and Turihaua on the East Coast and Woodbank, Taimate, Te Mania and Red Oak in the upper South Island. The top price bull of the season was Meadowslea R705 for the Giddings family at Fairlie, South Canterbury, selling for $92,500 to KayJay Angus, Masterton. His price surpassed by $500 two other bulls sold during this season at $92,000 – one by Shian Angus and the other by Whangara Angus. By Meadowslea N166 out of the top-performing 10-yearold H107 cow, R705 was keenly contested online during the Helmsman auction by three North Island studs until KayJay Angus was the victor. Earlier in the season the Giddings set the pace for Kincardine Angus by paying $81,000 for Rainstorme R25. Angus NZ president John Cochrane, from Clinton, said the reasons for the higher prices for bulls included the strength of the calf market and the increased opportunities for finishers. All processors now had some preferred Angus beef programmes and the breed is taking market share off other cattle breeds. “The lift in the median prices for bulls shows good competition between breeders at the higher level and among commercial farmers further down,” Cochrane said. “Our philosophy now is one breed, one team, and all of our members can produce good bulls.” But there was a cloud over access to semen from the latest rising stars in the United States

FOR EXPORT: Speckle Park bull Maungahina Rising Star sold for $65,000 to MinnaMurra Stud in NSW. and Australia, being the new import health standard on bovine germplasm. Cochrane said the AB companies would have adequate stocks of semen for the next mating season, but they may be hanging back on new genetics. Carrfields head auctioneer on the East Coast, Neville Clarke, said it had been a very good bull selling season. He called most of the big Angus bull sales in the region over the past two weeks. “The price spread was such

that all vendors had bulls sell for between $5000 and $8000, which is a good return on investment for commercial farmers. “The increases in average price reflected the high beef schedules and shows there is confidence in the industry. “Protein is short and when the logistics issues are sorted meat exports will flourish,” Clarke said. “Farmers with cows are there for the long haul although we do still have the head wind of land use change.”

Top prices of the season • Angus – Meadowslea Angus, $92,500 • Speckle Park – Maungahina Stud, $65,000 • Charolais – Silverstream Charolais $50,000 • Hereford – Matariki Herefords and Okawa Herefords $47,000 • Simmental – Kerrah Simmentals, $27,000 • South Devon – Kaimoa South Devons, $16,000 • Shorthorn – Hinewaka Shorthorns, $14,000 • Composite – Earnscleugh Station, $14,000 • Santa Gertrudis – Glenrosie Beef Shorthorn and Santa Gertrudis, $11,000

Average 2-year-old bull price by breed ($’000/hd) 12 10 8 6 4 2 0

Angus

Charolais 2019

Hereford 2020

Shorthorn 2021

Sth Devon

Simmental

2022

* Average price has been adjusted for the number of animals sold. DISCLAIMER: Data for some breeds were only available for one or two studs over the years and thus were not used for this comparison.

PACE-SETTER: The Murray family at Matariki Farm, Clarence Valley, sold Matariki Nautical for $47,000, equal top price for Hereford bulls this year.

HIGHLIGHT: Te Mania R300 was sold for $54,000 to a trio of Angus breeders working together, the second-highest price achieved by Te Mania Stud, North Canterbury.

Farmers Weekly 2022 STUD

LOCATION

Atahua Angus

Feilding

TOTAL OFFERED

AVERAGE PRICE

TOTAL SOLD

TOP PRICE

SOLD TO

ANGUS $9,652

$34,000

Aywon Angus

Stratford

$5,563

$8,000

Bannock Burn Angus

Fox Glacier

$6,569

$9,000

Black Ridge Angus

Taumarunui

$11,212

$27,000

Blacknight Angus

Rai Valley

$7,000

2x $9,000

Brookwood Angus

Takapau

$8,176

$13,000

Colvend Shorthorn & Angus Stud

Ongarue

$6,226

$11,500

Dandaleith Angus

Dannevirke

$9,380

$18,000

Dandaloo Angus

Masterton

$10,050

$18,000

Delmont Angus

Clinton

$7,200

$15,000

Earnscleugh Station

Alexandra

$8,643

$18,000

Elgin Angus

Elsthorpe

$8,950

$18,000

Fossil Creek Angus

Ngapara

$11,878

$21,000

Glenwood Angus

Mosgiel

$6,680

$13,000

Lot 3 to Te Whanga Angus and McFadzean Cattle Co. Commercial Cricklewood Angus Lot 14 to Turiroa Angus

Mt Possession Angus

Commercial

Grampians Angus

Culverden

$11,911

$19,000

Commercial

Hallmark Angus

Tutira

$12,046

$31,000

Albert Hill Angus

Hingaia Angus

Te Awamutu

$7,785

2x $14,000

Kaiwara Angus

Culverden

$7,777

2x $13,000

Kaharau Angus

Gisborne

$12,500

$65,000

Commercial Ratanui Angus

Kakahu Angus

Geraldine

$11,140

$38,000

Fernvale Genetics

KayJay Angus

Masterton

$13,024

$32,000

Turihaua Angus David Giddings

Kenhardt Angus

Nuhaka

$9,388

Kincardine Angus

Queenstown

$13,813

$81,000

Leefield Station

Renwick

$7,181

$9,000

Martin Farming

Nelson

$7,540

$20,000

Glenlake Angus

Matauri Angus

Tangowahine

$6,672

$14,000

Lot 30 to Puke-Nui Angus

Meadowslea Angus

Fairlie

$9,800

$92,500

KayJay Angus

Merchiston Angus

Marton

$8,076

$17,000

Mt Mable Angus

Kumeroa

$9,676

$20,000

Ngāputahi Angus Okaka Angus

Pohangina

$8,872

2x $18,000

Taihape

$4,089

4x $5,750

Oregon Angus

Masterton

$12,333

$36,000

Commercial Lot 12 to Earnscleugh Station, Lot 10 to Stokman Angus Lot 7 to Ratanui Angus

Orere Angus

Gisborne

$15,583

$65,000

Kenhardt Angus

Penvose Angus

Ranfurly

$8,000

$15,000

Adam Lindsay – Kyeburn (Creekside Farm Livestock) Commercial

Peters Angus

Roxburgh

$7,000

$12,500

Pikoburn Angus

Tuatapere

$8,807

$13,500

Pine Park Angus

Marton

$7,000

2x $11,000

Puke-Nui Angus

Taumarunui

$9,362

$18,000

Puketoi Angus

Ranfurly

$6,800

$12,000

Commercial Commercial

Ranui Angus

Wanganui

$7,438

$13,500

Commercial

Ratanui Angus

Tolaga Bay

$11,678

$20,000

Lot 14 to Turiroa Angus

Red Oak Angus

Amberley

$10,005

$16,000

Turihaua Angus

Riverlands J Angus

Cheviot

$7,657

$16,500

R & R Reed

Rolling Rock Angus

Te Akau

$9,714

$20,000

Commercial

Ruaview Simmental & Angus

Ohakune

$6,000

$8,500

Commercial

Seven Hills Angus

Pahiatua

$6,700

$12,500

Shian Angus

Taumarunui

$11,863

$92,000

Kaharau Angus and Orere Angus

Stern Angus

Pleasant Point

$11,300

$30,000

Dandaleith Angus

Storth Oaks Angus

Otorohanga

$8,746

$22,000

Waiwhero Angus

Taimate Angus

Ward

$11,833

$52,000

Shian Angus Cricklewood Angus

Tangihau Angus

Gisborne

$14,463

$72,000

Tapiri Angus

Masterton

$8,676

$13,000

Tarangower Angus

Mahoenui

$8,150

$14,500

Commercial

Tawa Hills Angus

Motu

$6,300

$9,000

Piquet Hills

Te Kupe Angus

Stratford

$6,313

$7,250

Te Mania Angus

Cheviot

125

117

$10,145

$54,000

Lot 24 to Fossil Creek Angus and Stokman Angus

Te Whanga Angus

Masterton

$9,195

$14,500

Commercial Commercial

Totaranui Angus

Pahiatua

$8,765

$17,000

Turihaua Angus

Gisborne

$12,731

$72,000

Oregon Angus

Turiroa Angus

Wairoa

$11,812

$50,000

Grampians Angus

Twin Oaks Angus

Ngaruawahia

$12,480

$58,000

Whangara Angus

Umbrella Range Angus

Waikaia

$11,500

$19,000

Commercial

Waimāra Angus Wairere Angus

Waikouiti

$7,980

$18,000

Bruce and Vicki Didsbury from Pukeatua Station

Ohangai

$7,775

$17,000

Commercial

Waitangi Angus

Waitangi

$9,380

$57,000

Whangara Angus

Waiterenui Angus

Hastings

$7,200

$13,000

Kiwikawa Angus

Whangara Angus

Whangara

$10,732

$92,000

Tawa Hills Angus

Woodbank Angus

Kaikoura

$12,017

$65,000

Lot 21 to Stern Angus

Coleman Farm Charolais

Kaikohe

CHAROLAIS $5,000

$7,000

Commercial

Hemingford Charolais

Culverden

$9,160

$37,000

Kia Toa Charolais

Te Kuiti

$5,272

$12,500

Coogan Family Trust

Rauriki Charolais

Waipukurau

$8,268

2x $11000

Silverstream – Charolais & Herefords

Christchurch

$8,350

$50,000

Taiaroa Charolais

Paerau

$6,400

$11,500

Lot 5 - Two Peaks Station, Lot 10 to Waikopiro Trust Lot 11 to Auahi Charolais

Autumn Bull Sale Results STUD

LOCATION

TOTAL OFFERED

TOTAL SOLD

AVERAGE PRICE

TOP PRICE

IN PARTNERSHIP WITH

SOLD TO

HEREFORD Beechwood & Richon Herefords

Lees Valley

$5,926

2x $7,500

Earnscleugh Station

Alexandra

$5,950

$10,000

Closeburn Station

Flagstaff Hereford Stud

Mahitahi

$7,181

$16,000

Oatley Hill

Foulden Hill Genetics

Middlemarch

$5,850

$11,500

Glenbrae Stud

Porangahau

$5,850

$9,000

Grassmere Herefords

Cheviot

$6,087

$9,500

Kairuru Polled Herefords

Reporoa

$6,050

$21,500

Lot 2 Kairuru Regal to Monymusk Polled Herefords

Koanui Polled Herefords

Havelock North

$9,585

$23,000

Glenlapa Station, Gore

Koanui Polled Herefords

Havelock North

10 heifers

$6,150

$12,000

Fermoy Hereford Stud, Gore

Limehills Herefords

Roxburgh

$9,770

$42,000

Lot 1 to Earnscleugh Station

Locharburn Herefords

Cromwell

$6,917

$16,000

Pourakino Herefords

Martin Farming

Nelson

$5,500

$7,000

Matariki Herefords

Kaikoura

$11,290

$47,000

Matatoki Hereford

Maungati

$5,833

$8,500

Maungahina Stud

Masterton

$9,086

2x $15,000

Merrylea Hereford

Cave

$6,200

$13,000

Mokairau Polled Hereford

Gisborne

$6,150

$9,000

Monymusk Polled Herefords

Te Anau

$8,466

$15,000

Campbells Block Gore

Ngakouka Hereford

Dannevirke

$9,028

$14,500

Gembrooke Stud

Okawa Herefords

Ashburton

$9,688

$47,000

Charwell

Orari Gorge Polled Herefords

Ashburton

$8,159

$15,000

Lot 14 to Haldon Station

Otapawa Herefords

Eketahuna

$9,717

$38,000

Glenbrae stud

Riverlee Herefords

Kimbolton

$6,257

$9,200

Rock-End Herefords

Aria

$5,687

2 x $8,000

Silverstream – Charolais & Herefords

Christchurch

$6,670

$11,500

Lot 66 to Lochiel Station in Hanmer Springs

Stoneburn Hereford

Palmerston

$7,647

$14,000

Davey Greer

Tawanui Herefords

Stratford

$8,500

$16,500

Lot 8 to Knightlands Stud

Te Puna Hereford Stud

Okaihau

$4,840

$8,000

Lot 9 to Arahou Polled Herefords

Waiau Hereford

Tuatapere

$6,257

$6,800

Commercial

Waikaka Hereford

Gore

$6,150

$12,000

Commercial

Wilencote Hereford

Gisborne

$10,522

$15,500

Commercial

$5,327

$9,000

D & J Grigg “ Tempello”

Lot 51 to Limehills Herefords

Lot 1 to Lloyd and Ruth Higgins, Twynham Lot 2 to Paringaha Station, Gisborne

Commercial

LIMOUSIN Snake Gully Limousins

Waiotira

C. Phillips - Fernhill Limousins

SHORTHORNS Colvend Shorthorn & Angus Stud

Ongarue

$5,026

$8,000

Glendhu Shorthorns

Tapanui

$6,060

$7,800

Glenrosie Beef Shorthorn and Santa Gertrudis Whangārei Heads

$6,154

$12,500

Eastern Livestock

Hinewaka Shorthorns

Masterton

$9,194

$14,000

Commercial

Raupuha Shorthorns

Mahoenui

$4,300

$6,000

Raupuha Shorthorns

Mahoenui

7 heifers

$2,200

Rough Ridge Shorthorn

Ranfurly

$6,000

$8,500

Glenrosie

SIMMENTAL Beresford Simmentals

Owaka

$6,535

$10,000

Opawa Simmentals

Glen Anthony Simmentals

Waipukurau

$9,945

$17,000

Opawa Simmentals

Glenside Simmentals

Lawrence

$7,460

$12,000

Beresford Simmental

Gold Creek Simmentals

Te Karaka

$9,111

$20,000

Overland Simmentals

Kerrah Simmentals

Wairoa

$9,200

$27,000

Gold Creek Simmentals

Leafland Simmental

Mosgiel

$7,650

$19,000

Kerrah Simmentals

Opawa Simmentals

Cave

$8,500

$15,250

Potawa Simmental

Potawa Simmentals

Pio Pio

$5,400

$8,500

Ruaview Simmental & Angus

Ohakune

$6,066

2x $7,800

Te Hape Station

SANTA GERTRUDIS Glenrosie Beef Shorthorn and Santa Gertrudis

Whangārei Heads

$6,800

$11,000

Foulden Hill Genetics

Middlemarch

$5,250

$7,500

Hazlett Ltd

SOUTH DEVON Burtergill South Devon

Ward

$6,560

$8,000

Lot 83 to Java South Devons

Ipurua South Devon

Te Kuiti

$4,700

$8,100

Matai South Devons

Kaimoa South Devons

Eketahuna

$9,076

$16,000

Loch Lomond South Devons

Mosgiel

$4,500

Timahunga Station

SPECKLE PARK Maungahina Stud

Masterton

$18,500

$65,000

to Minnimurra Speckle Park, Australia

$14,000

McNeish Family, Horseshoe

COMPOSITE Earnscleugh Station

Alexandra

$6,086

MARKET SNAPSHOT

Market Snapshot brought to you by the AgriHQ analysts.

Mel Croad

Suz Bremner

Reece Brick

Fiona Quarrie

Hayley O’Driscoll

Caitlin Pemberton

Deer

Sheep

Cattle BEEF

SHEEP MEAT

VENISON

Last week

Prior week

Last year

NI Steer (300kg)

6.15

6.10

5.75

NI lamb (17kg)

9.10

9.00

8.30

NI Stag (60kg)

7.95

5.60

NI Bull (300kg)

6.10

6.05

5.70

NI mutton (20kg)

6.10

6.20

SI Stag (60kg)

8.10

8.05

5.60

NI Cow (200kg)

4.15

4.00

4.20

SI lamb (17kg)

9.10

9.05

8.15

SI Steer (300kg)

6.10

6.00

5.30

SI mutton (20kg)

6.05

6.30

SI Bull (300kg)

6.00

5.95

5.15

Export markets (NZ$/kg)

SI Cow (200kg)

4.40

4.15

4.00

UK CKT lamb leg

12.35

12.38

12.03

US imported 95CL bull

9.60

9.72

9.13

US domestic 90CL cow

9.89

9.85

8.82

Export markets (NZ$/kg)

$/kg CW

7.0

$/kg CW South Island steer slaughter price

7.0

South Island lamb slaughter price

Oct

(NZ$/kg)

4.5

Dec 5-yr ave

Feb

Dairy

Dec

Jun

Aug 2021-22

Apr 2020-21

Jun

Apr

Two weeks ago

Prior week

Last year

2.55

2.59

NZ average (NZ$/t)

Prior week

Last year

Urea

1340

799

495

339

1794

1055

37 micron ewe

2.55

2.65

Super

30 micron lamb

2.45

DAP

Top 10 by Market Cap

CANTERBURY FEED WHEAT 650

9.50

600

9.00

550

$/tonne

$/kg MS

10.00

8.50 8.00 7.50 Jun-21

Aug-21

Oct-21 Dec-21 Sept. 2021

Feb-22 Apr-22 Sept. 2022

DAIRY FUTURES (US$/T) Nearby contract

YTD High

YTD Low

4.77

5.36

4.32

Fisher & Paykel Healthcare Corporation Ltd

21.19

33.4

Auckland International Airport Limited

7.52

7.95

6.88

Spark New Zealand Limited

4.95

4.98

4.3

Mercury NZ Limited (NS)

5.83

6.36

5.2

Ebos Group Limited

38.87

44.3

36.11

Mainfreight Limited

70.5

94.4

66.11

450

Contact Energy Limited

7.43

8.42

6.82

Infratil Limited

7.9

8.4

7.33

Port of Tauranga Limited

6.59

6.7

5.96

350

Jun-22

Meridian Energy Limited (NS)

500 400

7.00

Aug 2021-22

Last week

Company

MILK PRICE FUTURES

Jun

2020-21

Fertiliser

Aug 2021-22

Grain

Data provided by

Feb

FERTILISER

Coarse xbred ind. 2020-21

Oct

5-yr ave

WOOL

5-yr ave

7.0 5.0

5.0

Apr

8.0

7.0

5.5

Feb

9.0

6.0

Dec

South Island stag slaughter price

10.0

8.0

5.0

Oct

7.0

6.0

6.5

4.0

8.0

11.0

9.0

4.0

$/kg CW

7.0

10.0

4.5

9.0

5.0

Last year

10.0

8.0

6.0

Last week Prior week

North Island stag slaughter price

11.0

6.0

5.0

Slaughter price (NZ$/kg)

9.0

6.5

5.5

Last year

North Island lamb slaughter price

10.0 $/kg CW

North Island steer slaughter price

Last week Prior week

$/kg CW

Slaughter price (NZ$/kg)

$/kg CW

Slaughter price (NZ$/kg)

Sara Hilhorst

Ingrid Usherwood

Jun-21

Aug-21

Oct-21

Dec-21

Feb-22

Apr-22

Jun-22

CANTERBURY FEED BARLEY

Listed Agri Shares

5pm, close of market, Wednesday

Company

YTD High

YTD Low 0.205

ArborGen Holdings Limited

0.215

0.27

The a2 Milk Company Limited

5.05

6.39

4.2

Comvita Limited

3.25

3.78

2.98

Delegat Group Limited

10.55

14.45

3.2

3.78

2.75

Prior week

vs 4 weeks ago

600

WMP

4200

4225

4220

550

SMP

4190

4250

4290

500

Foley Wines Limited

1.48

1.57

1.38

Greenfern Industries Limited

0.192

0.25

0.089

450

Livestock Improvement Corporation Ltd (NS)

1.41

1.73

1.3

Marlborough Wine Estates Group Limited

0.178

0.26

0.155 0.187

AMF

6000

5925

Butter

5870

5700

Milk Price

9.36

$/tonne

Last price*

400

0.215

1.38

4.58

5.76

3.93

Rua Bioscience Limited

0.305

0.53

0.29

Sanford Limited (NS)

4.27

5.07

4.03

Scales Corporation Limited

4.31

5.59

4.07

Seeka Limited

4.82

5.36

4.45

550

Synlait Milk Limited (NS)

3.33

3.54

3.04

T&G Global Limited

2.7

3.01

2.7

500

S&P/NZX Primary Sector Equity Index

12177

14293

11724

S&P/NZX 50 Index

11141

13150

10588

S&P/NZX 10 Index

10860

12725

10291

Jun-21

WMP FUTURES - VS FOUR WEEKS AGO

Aug-21

Oct-21

Dec-21

Feb-22

Apr-22

Jun-22

WAIKATO PALM KERNEL

4300 4250

$/tonne

US$/t

New Zealand King Salmon Investments Ltd PGG Wrightson Limited

350

* price as at close of business on Thursday

4200 4150

Fonterra Shareholders' Fund (NS)

450 400 350

Jul

Aug Sep Latest price

Oct

Nov 4 weeks ago

Dec

300

Jun-21

S&P/FW PRIMARY SECTOR EQUITY

Aug-21

Oct-21

Dec-21

Feb-22

Apr-22

Jun-22

12177

S&P/NZX 50 INDEX

11141

S&P/NZX 10 INDEX

10860

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Analyst intel

WEATHER

Overview Today we start off with an easterly airflow across the country. Most regions have showers and later in the day heavy rain develops for the upper North Island. Overnight, this heavy rain sinks southwards along with a big deep area of low pressure and moves into the eastern South Island on Tuesday. There is the potential for some heavy snow about the South Island ranges on Tuesday. This big low moves away on Wednesday, leaving southwesterlies in its wake. On Thursday high pressure starts moving in for the South Island, moving out to the east on Friday. The weekend has some low pressure for the North Island, while the South Island is looking fairly calm.

14-day outlook Winter flexes a bit of muscle for the first half of this week. A big deep low will be something to watch later today and Tuesday descending from the north and bringing some very heavy rain. On Wednesday, this low moves away leaving southwesterlies and high pressure makes some headway on Thursday, then moves out to the east on Friday. It will remain somewhat settled for the South Island this weekend, though low pressure further north brings more rain. This low starts to move away from the North Island early next week then mid-week onwards we see a westerly quarter airflow and fronts moving in from the Tasman Sea at times.

Reece Brick reece.brick@globalhq.co.nz

Soil Moisture

Highlights

06/07/2022

Wind Easterlies strengthen over the North Island later today, changing westerly on Tuesday. The South Island has strong southerlies on Tuesday especially in the east. The rest of the week isn’t too bad, easterlies pick up again in the weekend for the North Island though. Source: NIWA Data

Temperature

7-day rainfall forecast

Not very warm this week. The far north will typically be warmer than elsewhere. Tuesday and Wednesday does see warm temperatures for the eastern North Island though thanks to westerlies. The South Island high country will see the coldest temperatures not getting out of single figures.

Plenty of wet weather is coming up this week as the accompanying rain maps show. The far south of the South Island is one of the drier spots with Fiordland being the driest of them all, which is normally not the case. Later on Monday will be a time to watch, as very heavy rain moves into the upper North Island, reaching the east coast overnight, then moving into the eastern South Island on Tuesday. 0

Highlights/ Extremes

Why is the store lamb market static?

100

200

400

Rainfall accumulation over 7 days starting from 6:00am Sunday 10 July through to 6:00am Sunday July 17, forecast generated at 12:00am Thursday July 7.

Heavy rain for the North Island into the second half of today, especially in the north and east. This heavy rain moves to the eastern South Island tomorrow. Snow about the South Island high country above 600m on Tuesday may be heavy and something to watch also.

Weather brought to you in partnership with WeatherWatch.co.nz

THE store lamb market’s got a distinctly different look and feel compared with last year. Back then, prices were moving up in weekly chunks – the Feilding yards jumped $1.00-$1.20/kgLW in only five weeks and the paddock market followed a similar path, though not quite to the same extremes. Yet this year prices have remained static at best and even weakened in places. So what’s different? Buying confidence is always key in the store market and nothing gets the buyers excited like locking in a hefty-priced contract at the end of a trade. And that’s exactly what finishers had inhand 12-months ago. Even those that didn’t were using word of supply contracts as a signal that slaughter prices would be strong through the tail-end of the season. Twelve months ago processors were staring down the barrel of an especially slow off-season kill and wanted to use contracts to have more surety around supplies. Export markets were on a rapid road to recovery too, with little chance of reversing, meaning any big contract prices were unlikely to blow up in processors’ faces come time to kill. This time around, meat companies have been more hesitant to release contracts. Slaughter forecasts point to the offseason lamb kill ballooning to the highest in more than a decade in both islands, reducing the need to secure numbers early. Tying into this, there’s just less urgency from finishers to lock down the last of the store lambs since, in theory, there’s enough to come onto the market to keep everyone well-stocked. Export markets have a touch of the jitters too, also slowing the release of slaughter contracts. Another factor is processing backlogs in the North Island. Usually there’s a steady churn of finishers sending away kill-ready lambs and replacing these with stores.

But the system’s become backed up again over the past few weeks due to a mix of winter plant closures and cold/flu doing the rounds through processing plant workers. On top of that, there are more dry ewes keeping chains well-supplied due to poorer scanning rates and the impact of drought and/or facial eczema during mating. Essentially, there are more lambs entering the store market than buyers at the other end. We didn’t have this last year. On-farm conditions can’t be ignored either.

Slaughter forecasts point to the off-season lamb kill ballooning to the highest in more than a decade in both islands, reducing the need to secure numbers early. This winter’s been a lot more stereotypical compared with how mild it was last year. While this is good for killing off bugs and parasites, neither grass or crops have the same substance to them through key finishing regions like Hawke’s Bay. So how “cheap” are store lambs? As a percentage of schedule they’re not too bad. Ignoring last year’s exceptionally high prices, typically ewe lambs in the North Island sell for 47% of schedule via the paddock at this time of the year, which works out to be $4.30/kgLW, or about 40c/ kg more than they are currently. Funnily enough the numbers stay almost the same when viewing it as per head returns for finishers at the end of the trade. Buying a 35kg ewe lamb now and aiming for 21.5kgCW in October (to beat teeth eruption) would return around $51/head using historical averages, ignoring any additional transport/animal health costs. Based on AgriHQ’s Outlook forecast that figure jumps to $67 this year. If that $16/hd difference were to go back into the store market that would place a 35kg ewe lamb at $4.35/kgLW.

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Join Olivia Weatherburn on her new podcast series as she talks with young Kiwis working in the sector, to provide an insight into some of the many exciting career pathways available, how to get there and why they love it. In our latest episode, Olivia talks with Cameron Ravenwood, who was the driving force behind getting his family farm converted for sheep milking, and then eventually launching their own successful brand of sheep milk, Fernglen Farm. To listen scan the QR Code

Or head to: https://spoti.fi/3yiY63M

PODCAST WITH

Olivia Weatherburn

SALE YARD WRAP

A doozy of a Canterbury sale Many would not have expected prime steer prices to climb to the levels they did at the recent Canterbury Park sale, but by the end of the day a new record for this class was set. Competition from local butchers pushed prices in the pens above schedule, though only for a very limited number of cattle that met the requirements. A group of Angus and Hereford steers, 600-758kg, were pushed to $3.66-$3.76/kg, which equated to $2187-$2735 per head and added 2c/kg to the record price set last year on two Limousin steers. While these levels were limited to just 12 steers, they did serve the purpose of lifting prices for second and third tiers and adding more value to the prime heifer market. NORTHLAND Wellsford store cattle • Top R2 Hereford-dairy steers, 408-420kg, varied from $2.82/kg to $3.00/kg • Special entry of R2 Hereford-Friesian heifers, 256-303kg, returned $2.94-$3.05/kg • A small entry of R1 traditional steers reached $890-$990 • R1 Friesian bulls, 200-263kg, sold well at $640-$850, $3.20-$3.23/ kg A varied yarding was presented to buyers at WELLSFORD last Monday which led to selective bidding. The balance of the R2 heifers were small lines of medium to good dairybeef and made $2.63-$2.79/kg. R1 dairy-beef steers varied from 161kg up to 305kg and $530 to $860. R1 heifers made similar per kilogram values as the steers but for lighter weights and most traded at $450-$650. Hereford-Friesian proved to be the most consistently priced as all traded from $2.81/kg to $2.96/kg while MRI, 193-223kg, returned $2.54$2.60/kg. Read more in your LivestockEye. Kaikohe cattle • R2 whiteface Hereford-cross steers lifted to $2.85-$2.89/kg • R2 beef-cross heifers fetched $2.60-$2.70/kg • Beef-cross bulls earned $2.65-$2.70/kg • Vetted-in-calf Angus cows made $2.04/kg There was a smaller sale of 350 cattle at KAIKOHE last Wednesday, PGG Wrightson agent Vaughan Vujcich reported. The best of the R1 steers were dairy-beef and made $3.20/kg to $3.45/kg and light-medium types, $600$700. R1 whiteface heifers made $3.00/kg while beef-cross traded at $2.50-$2.60/kg.

AUCKLAND Pukekohe cattle 2.7 • Best prime steers steadied at $2.89-$2.94/kg • Prime heifers earned $2.80/kg to $2.93/kg • Boner cows eased to $1.32/kg to $1.70/kg • Weaner heifers lifted to $355-$600 Prime cattle continued to be in strong demand at PUKEKOHE on Saturday, July 2 with medium prime steers able to achieve $2.87-$2.92/kg, and light to medium steers, $2.56/kg to $2.80/kg, $980-$1280. Small cross-bred yearling heifers sold well at $2.00/kg to $2.76/kg, $555-$700.

COUNTIES Tuakau prime cattle 6.7, sheep 4.7, store cattle 30.6 • Prime steers, 680-730kg, lifted to $3.06-$3.13/kg • Heavy boner cows reached $2.34/kg • Angus steers at 385kg made $3.28/kg • Forward-store lambs managed $130-$142 Prime steer and heifer prices lifted 2-5c/kg at TUAKAU last Wednesday, Carrfields Livestock agent Karl Chitham reported. Steers in the 600-680kg range realised $2.95$3.07/kg and 500-570kg heifers made $2.96-$3.04/kg and 430-500kg, $2.83-$2.95/kg. Boner prices firmed by 20c/ kg. Heavy cows, 500-600kg, traded from $2.10/kg to $2.34/ kg while 400-500kg fetched $1.76/kg to $2.03/kg and 350400kg, $1.46/kg to $1.67/kg. Last Monday’s sheep market was firm. Heavy prime lambs made $190-$228, medium $146-$162 and light $128-$135. Medium store lambs earned $112-$126 and lighter types sold down to $50. Heavy prime ewes returned $176-$208, medium $153-$169 and light, $77-$98. About 500 store cattle were offered on Thursday, June 30 and the market were firm. R2 Angus steers, 385kg, made $3.28/kg while other good steers in the 300-400kg range realised $2.83-$3.05/kg and 234kg Hereford-Friesian, $810. Heifers, 340-410kg, fetched $2.91-$3.06/kg and 250300kg, $2.44/kg to $2.78/kg.

WAIKATO PGG Wrightson Frankton cattle • R2 dairy-beef steers, 444-490kg, returned $2.90-$3.00/kg • R2 Stabilizer-Simmental heifers, 335-348kg, earned $2.93-$3.01/kg

• R2 Hereford-Friesian and Hereford-Jersey heifers, 420-469kg, fetched $2.78-$2.86/kg • Prime Speckle Park and Angus-Friesian steers were priced at $2.96-$2.97/kg • Boner Friesian cows, 455-503kg, made $1.85-$1.93/kg Another moderate sized yarding stepped forward on a cooler day at PGG Wrightson’s cattle sale at FRANKTON last Tuesday. In the store section, a pen of 22 R1 Angus steers, 256kg, attracted the most attention and traded at $1030 followed by their sisters at $630-$760. The rest were mainly dairy-beef steers, 170-221kg, which made $550-$660 while similar sized heifers fetched $465-$580. Read more in your LivestockEye. NZFL Frankton cattle • Prime Hereford steers, 705kg, returned $3.11/kg • Prime dairy-beef steers, 641-681kg, fetched $3.01-$3.06/kg • Prime Friesian bulls, 560kg, traded at $2.96/kg The R3 cattle on hand at the New Zealand Farmers Livestock auction at FRANKTON last Wednesday were either Belgian Blue-cross, Charolais-Friesian or HerefordFriesian steers, 536-609kg, that made $2.95-$3.04/kg. Angus steers, 420-445kg, performed well in the R2 pens and traded at $2.98-$3.00/kg. A line of 309kg Speckle Park-cross, 309kg, banked $2.82/ kg, a level achieved by the better Hereford-Friesian heifers, 370-425kg, at $2.81-$2.89/kg while second-tier pens were largely $2.62-$2.72/kg. A small entry of R1 Friesian bulls, 226-227kg, made $700. Read more in your LivestockEye.

KING COUNTRY Te Kuiti cattle 1.7 • R3 Angus-cross steers, 585-632kg, sold well at $3.16-$3.21/kg • R2 Angus steers, 363-392kg, made $2.97/kg to $3.09/kg • Good R2 Angus-Friesian heifers made $2.89/kg There were 80 pens of cattle offered at TE KUITI on Friday, July 1. R3 Hereford-Friesian steers, 557-640kg, made $2.80-$2.89/kg. R2 Angus-cross steers, 416-565kg, made $2.68/kg to $2.79/kg. The best of the yearling HerefordFriesian steers, 228-248kg, sold well at $3.08/kg to $3.31/kg. In the heifer pens, R3 Charolais, 527kg, earned $1530 while 494kg sold for $1450. Te Kuiti sheep • Prime 2-tooth ewes made $117-$145 • Top prime lambs earned $160-$180 • The best of the store male lambs reached $148-$161 Store lambs dominated the market at TE KUITI last Wednesday where the best ewe lambs achieved $135-$141 while lighter types made $100-$120. A small prime ewe section reached $139-$153 and $88-$136 for light-medium types.

BAY OF PLENTY Rangiuru cattle and sheep • R2 Angus steers, 515kg, collected $2.99/kg • Prime Hereford-Friesian steers, 572kg, fetched $3.11/kg Cattle sold on stronger markets at RANGIURU last Tuesday and R2 Hereford-Friesian and Hereford-Jersey steers traded at $2.87-$2.94/kg. Hereford-Friesian heifers, 362kg, made $2.68/kg and those 40kg lighter fetched $2.85/ kg. Autumn-born yearling dairy-beef heifers, 292-302kg, sold at a similar level for $2.65-$2.71/kg. R1 Angus steers were the pick of the limited number of younger cattle and the pen of three which weighed 226kg collected $3.36/kg. Mixed-age Friesian and Friesian-cross cows with their calves returned $1050 per unit. Prime cattle received good recognition and 630kg Friesian steers made $3.06/kg. Angus and Murray Grey heifers, 472-491kg, earned $2.91$2.92/kg and Friesian cows at 483kg traded at $2.17/kg. Of the 164 sheep yarded, most were lambs of which store pens sold at a slight advantage. All store lambs traded from $86 to $117 and top prime lambs returned $192. Read more in your LivestockEye.

POVERTY BAY Matawhero sheep and cattle • Heaviest prime lambs made $252 • Four-year, in-calf Hereford cows returned $1220 • R1 Angus bulls, 210-220kg, collected $3.36/kg Store lamb throughput jumped back up to 3410-head at MATAWHERO on Friday July 1 and while the market lifted on the previous sale, it was still a downwards trend in relation to the June 17 sale. A good portion of male lambs were purchased for $136-$146 and limited ram lambs of the same weight pushed a little higher. Same ewe lambs were discounted $10 or more depending on quality. Prime lambs sold well, and many traded at $170-$200 while a few exceeded this. Two pens of ewes earned $215 and $240. The monthly cattle fair had 816-head on the books last Tuesday. R2 traditional steers generally traded over $3.00/kg and reached $3.27/kg for 375kg Angus. Top R1 steers, Angus and exotic, made $3.26/kg to $3.46/kg. Middle-weight R1 Angus bulls earned $3.18-$3.22/kg. Read more in your LivestockEye.

TARANAKI Taranaki cattle • R2 dairy-beef steers averaged 460kg and $2.87/kg • R3 Red Devon-cross steers and bulls, 537-541kg, returned $3.13/ kg Volume was low at TARANAKI last Wednesday and only one pen of Jersey cows reached double figures. At 380kg, these sold for $1.42/kg while a small entry of boner Friesian and Friesian-cross made $1.83-$1.95/kg. The best of the R1 steers were dairy-beef, 200kg, which sold for $735-$755, $3.69-$3.78/kg. Read more in your LivestockEye.

HAWKE’S BAY Stortford Lodge prime sheep • Top male and ewe lamb pens reached $204 The top ewe price at STORTFORD LODGE had been $196 at the previous sale but last Monday this was surpassed by all the very heavy pens as they made $197-$208. Heavy ewes were rare, and the only line recorded as this condition fetched $187. These were followed by the bulk of the tally, mostly good types that returned $148-$177. Most other heavy lambs sold for $191-$204. Read more in your LivestockEye. Stortford Lodge store cattle and sheep • R2 traditional steers, 415-498kg, firmed to $3.31-$3.39/kg • R3 Angus heifers, 538-592kg, varied from $2.99/kg to $3.17/kg • Top pens of R2 traditional heifers, 427-443kg, sold for $2.96$3.13/kg • Chatham Island’s wether lambs made $120-$147 Cattle tallies were moderate at STORTFORD LODGE last Wednesday, but big lines of quality meant the sale took up little time. A pen of nearly 600kg R3 Angus-Hereford steers reached $2000 at $3.37/kg and the balance of the R2 traditional heifers made $2.69-$2.78/kg. Hereford-Friesian heifers, 356-373kg, returned $2.55-$2.57/kg. Chatham Island’s cattle made up most of the R1 section and steers made $560-$820 and heifers, $415-$550. Chatham Island’s also featured in a 5000-head sheep sale and ewe lambs sold for $115-$136. Other ewe lambs reached $151 and lighter types, $92-$115. Top ram and cryptorchid lambs returned $160-$170 though most sold on a softer market at $120$145. Read more in your LivestockEye. Dannevirke sheep 30.6 • A big yarding of ewes reached $203 • Store male lambs averaged $140 Throughput rebounded as the DANNEVIRKE sale returned to its Thursday slot last week. The store lamb section was the largest at 1780 and results were steady. Cryptorchid sold for $103-$160 and wethers, $109-$144. Ewe lamb quality was down, and all sold for $71-$118 for an average of $94. Ewe tallies totalled 1220 and started at

FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022

Cattle at TEMUKA last Monday sold on a strong market. Prime Angus steers, 510-558kg, fetched $3.45-$3.50/kg. The boner Friesian cow average, 535kg, improved to $2.12/kg. Several prime bull pens consisted of ex-service bulls which sold for $2.76/kg and below. The only lines to top that value were medium-weight Angus, 655-691kg, at $3.24/kg. The store lamb market followed quality which dropped, and the pick of the bunch were medium to good males which made $140-$156 while other medium types realised $126-$136. A large proportion of prime lambs earned $220-$260 and ewes mostly made $120-$220 depending on condition. Read more in your LivestockEye.

READY AND WAITING: 5500 in-lamb ewes were penned at Temuka last week and sold on a similar market to the previous year. Read more on P40.

$81 with the average range of $127-$140. Prime lamb tallies were low, and they sold for $136-$164.

MANAWATŪ Feilding store sale 1.7 • Capital stock R3 Angus heifers, 501-510kg and VIC to Angus, made $1500-$1580 • R2 Friesian bulls, 376-410kg, lifted to $3.43-$3.44/kg • Store male lambs averaged $150 • Store ewe lambs averaged $124 • Annual draft 4-year Romney ewes, scanned twins, made $203$220 Cattle numbered 1400-head at the FEILDING store sale on Friday, July 1. Traditional R3 steers, 536-628kg, ranged from $3.23/kg to $3.40/kg while 461-529kg straight-beef R2 steers were mostly $3.15-$3.28/kg. Two pens of 407-428kg R2 Angus heifers jumped to $3.29-$3.32/kg whereas 367435kg dairy-beef heifers varied from $2.48/kg to $2.71/kg. Some 173-193kg traditional R1 steers reached $4.00/kg to $4.29/kg while R1 Friesian bulls, 219-255kg, eased at $2.89/ kg to $3.06/kg. The market was mixed on the 12,000 store lambs. Good male lambs were $167-$184.50, medium $143$161 and light were varied at $95 to $146. Good ewe lambs were $150-$160, medium $124-$140, and light also varied from $87 to $122. In-lamb ewes were discounted over a yarding of 4600. The bulk were 5-year and mixed-age ewes, scanned-in-lamb 155%-171%, which sold for $166-$185 with top-conditioned sorts at $190-$201. Read more in your LivestockEye. Feilding prime cattle and sheep • In-calf Friesian cows were added back to the herd for $2.48-$2.52/ kg • Heaviest ewes made $182 Prime markets were solid at FEILDING last Monday and dairy-beef steers and heifers alike made $2.95-$3.01/ kg for 559-775kg. Traditional cows all weighed 441-516kg and collected $2.17-$2.27/kg while Friesian cows, 495598kg, returned $1.95/kg and up to $2.09/kg. The prime lamb markets strengthened in line with schedules and the heavier group made $220-$228 while the concentration of numbers earned $180-$219. Ewes also sold better last week and the bulk traded at $125-$160. Read more in your LivestockEye. Rongotea cattle • R3 Angus-cross heifers, 450-573kg, made $2.64/kg to $2.76/kg • R2 beef-cross steers, 300-573kg, varied from $2.27/kg to $3.08/kg • R2 Angus-cross heifers, 328-361kg, returned $2.29/kg to $2.49/kg • Yearling Hereford-Friesian heifers, 233kg, made $3.05/kg The first of the spring feeder calves made their way to the calf pens at RONGOTEA last Tuesday, New Zealand Farmers Livestock agent Darryl Harwood reported. R2 Friesian bulls, 465kg, made $2.49/kg. Better R2 cross-bred heifers, 330-430kg, varied from $2.17/kg to $2.55/kg though Angus heifers, 143-217kg, sold over a tighter range at $2.18-$2.26/ kg. Hereford Friesian cows with a calves-at-foot made

$1000 per unit and, in the feeder calf pens, HerefordFriesian heifers earned $175-$240.

CANTERBURY Coalgate cattle and sheep • Prime Angus steers, 586kg, fetched $3.40/kg • Prime Friesian bulls, 585kg, made $3.18/kg • Ewe lambs from the West Coast earned $139-$154 Prime cattle sold well at COALGATE on Thursday, June 30. Most good steers traded over $3.20/kg and heavier options over $3.30/kg. Better heifers, both traditional and dairybeef, also broke the $3.20/kg barrier. Angus and Shorthorn bulls, 740-960kg, returned $1.50/kg to $1.80/kg. The top beef cows realised $2.30-$2.36/kg. R2 dairybeef steers made $2.90-$2.91/kg while R2 Angus heifers, 261-351kg, earned $2.54-$2.56/kg and $2.60/kg for 388kg Hereford-Friesian. Better R1 dairy-beef steers ranged from $2.65/kg to $2.95/kg and 5c/kg less for heifers. Store lamb quality improved and many traded from $120 to $148. Medium to good prime lambs made $141-$218 on a softer market. Most ewes traded at $126-$189. Read more in your LivestockEye. Canterbury Park prime cattle, all sheep • Hereford steers, 710kg, fetched a record price of $3.76/kg • Speckle Park heifers weighed 538kg and made $3.53/kg • Top prime lambs earned $275 The extra demand created by the addition of butchers to the buying bench lifted prime cattle markets above schedule levels at CANTERBURY PARK last Tuesday. Throughput was also low at 141-head which took the already strong market up another gear. The first run of Angus steers traded well at $3.38-$3.47/kg but Akaroasourced Hereford took prices to another level as they earned $3.57-$3.69/kg. Most well-finished dairy-beef returned $3.30-$3.40/kg, aside from Hereford-Jersey at 595kg which fetched $3.60/kg. Quality heifers traded at $3.20-$3.30/kg and a few reached higher levels. Ex-service bull returns strengthened and 905-920kg earned $2.26$2.30/kg; smaller options made more and heavier less. It was a different story in the sheep pens where quality was lacking and returns dropped away a bit. A yarding of 1072 store lambs sold to a small gallery and a greater number of lighter lambs sold to limited demand. Medium lambs started from $130 and reached $151 for good types. Two main groups of prime lambs traded at $180-$220 and $141$165 on a softer market. Ewes held for condition, though the yarding was much lighter, and many traded at $158 or less. Read more in your LivestockEye.

SOUTH-CANTERBURY Temuka prime and boner cattle, all sheep • Hereford-Friesian steers, 500-665kg, made $3.43/kg • Friesian cows, 495-520kg, jumped to $2.11/kg • Top prime lambs collected $270

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Temuka store cattle • R2 Hereford-Friesian steers, 458kg, fetched $3.31/kg • Angus-Hereford cows, in-calf to Angus, collected $1320 and $1570 • R1 Angus steers, 217kg, returned $4.22/kg • R1 Angus heifers from Twizel weighed 293kg and made $3.66/kg A yarding of 743 store cattle went under the hammer at TEMUKA last Thursday and a shipment from the Chatham Islands added to more locally sourced cattle. Straight beef options in the R2 steers were limited to Hereford from Twizel and Charolais from Fairlie, both of which were rewarded with $3.23-$3.29/kg. Hereford-cross sold among dairy-beef options of mixed quality from $2.64/kg to $2.91/ kg and the odd, better pen just broke $3.00/kg. The R2 heifer section was mostly dairy-beef and sold consistently as a top tier of Belgian Blue-Friesian and Hereford-Friesian made $3.16-$3.25/kg and a second group formed at $2.81-$2.92/kg. Hereford-beef pens were discounted to $2.66/kg or less. R2 bulls were all from Twizel and mostly consisted of Hereford of which polled pens fetched $3.35$3.38/kg and those with horns made $2.87-$2.88/kg. Chatham Islands cattle were more heavily represented in R1 pens and the quality of these was better than their older counterparts. Steers generally traded upwards of $3.28/ kg and the top group from the island exceeded $4.00/kg. Heavier R1 heifers, over 200kg, typically traded over $3.00/ kg and reached $3.44-$3.46/kg in the case of Angus, 224kg and 309kg. Dairy-beef pens were lighter but made similar returns. The bulk of the bulls traded from $2.61/kg to $2.87/ kg. Read more in your LivestockEye.

OTAGO Balclutha sheep • Store lambs varied from $72 to $148 • The best of the prime lambs reached $230 Store lambs offered by PGG Wrightson at BALCLUTHA on Wednesday, June 29 eased with the average down $11 to $125. Prime ewes ranged from $60 to $206, and a small number of prime rams made $112.

SOUTHLAND Charlton sheep • Store lambs made $147 • Prime lambs firmed to $140-$238 There were 502 prime ewes offered by PGG Wrightson at CHARLTON on Thursday, June 30 which averaged $139 and ranged from $50 to $242. A small offering of prime rams ranged from $30 to $115. Store ewes made $114. Lorneville cattle and sheep • Good prime steers, 600kg and above, steadied at $3.12-$3.20/kg • R2 beef heifers, 422-460kg, sold well at $1360-$1470 • Heavy prime ewes lifted to $210-$272 • Top store lambs made $120-$140 There was a small yarding of cattle which sold on a strong market at LORNEVILLE last Tuesday. Prime heifers, 500kg and above, lifted to $3.10-$3.20/kg and medium types at 420kg held at $2.80/kg. In the store pens, R1 beef steers, 206kg, made $625 while R1 beef heifers, 204kg, earned $540. Heavy prime lambs sold well at $196-$228 while light to medium types fetched $152-$192. Light to medium store lambs traded at $80-$120.

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FARMERS WEEKLY – farmersweekly.co.nz – July 11, 2022 N SLAUGHTER STEER

NI SLAUGHTER LAMB

SI SLAUGHTER COW

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PRIME TRADITIONAL STEERS, 670KG AVERAGE, AT CANTERBURY PARK

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6.15

9.10

4.40

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high $3.36/kg Angus bulls, 210lights R1 220kg, at Matawhero

$235-$270 Mixed-age Romney ewes, scanned 170%-190% to terminal sires, at Temuka

In-lamb ewe market mirrors 2021 Suz Bremner suz.bremner@globalhq.co.nz

NE of the bigger events on the South Island calendar at this time of year is the Temuka in-lamb ewe fair and it was an event that mirrored the previous year’s results. That was not an easy task to achieve, as 2021 levels were the highest recorded in at least 10-years, but PGG Wrightson agent Jonty Hyslop said a great season and farmer positivity led the charge. “It was a terrific market that was driven by a strong grassgrowing season, especially through central Canterbury where most of the buyers came from. “Also due to good returns for lambs, buyers were able to spend $20 or so more on ewes.” Throughput settled at 5500head, up 1100 on the previous

GOOD NUMBERS: Throughput at the annual Temuka in-lamb ewe fair settled at 5500-head, up 1100 on the previous year but very standard for these modern fairs.

year but very standard for these modern fairs. However, there was a noted increase in the volume of 2-tooth ewes offered, mainly to terminal rams, as more farmers test the potential of that market. Most of these ewes were bought as hoggets to target this fair. Mixed-age lines also made up a

large portion of the sale at 2600head. Only a handful of capital stock lines were penned, and mainly due to changes in farm policies. The condition and high lambing percentages throughout the fair reflected the benefit of a good growth season with ewes under little pressure.

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Budgets of at least $220 were needed for the 2-tooth market and equal top price was held by a line of capital stock, Wairere-bred Romney 2-tooth ewes from Totara Valley to a Romney ram, and mixed-age Romneys from Orari Gorge to a Suftex ram. Both these lines reached $272 and most of the balance of the 2-tooths traded at $223-$271. The bigger entry of mixed-age ewes meant this section had the most variation in price which was due to breed. Romney ewes to terminal or Romney rams and scanning 170%-190% made $235-$270 and Coopworth to Coopworth at 155%-163%, $185-$224. A small entry of Halfbred to terminal rams and 155%-169% made $178-$198. Consistent upper level prices were reserved for capital stock 2-4-tooth Romney to Romney at $260-$270, and the ever-popular 5-year section where annual draft Romney and Romdale to terminal rams with high lambing percentages traded at $252-$265.

This strong result contrasted with the North Island market, which has ground to a halt as supply outstrips demand and recent results have dropped $30 per head. Looking back 10-years, prices have changed significantly and so too have scanning results. For comparative lines of mixedage Romney ewes, in 2012 these types were making $116-$138 compared to today’s values of $235-$272. More emphasis and development on fertility has seen scanning percentages jump from 164%-167% for mixed-age Romney ewes up to 170%-195%. While these results favour the vendors, Hyslop said a cautious approach was still needed. “There are a lot of things to be positive about in this industry at present, but rising costs and other issues will all have their impact.”

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Farmers Weekly NZ July 11 2022

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