9 minute read
Fieldays
FARMERS WEEKLY – farmersweekly.co.nz – December 12, 2022
Fieldays China churn set to unsettle dairy – NZX
Gerald Piddock NEWS
Dairy
ADAIRY analyst is warning the dairy sector not to expect market activity to strengthen in China as it transitions out of its strict covid lockdown policies and returns to normal.
Speaking at a breakfast event at Fieldays on dairy risk management, NZX dairy insights manager Stu Davison said he does not see a lot of short-term positivity in China at the moment.
Once China gets rid of its covid policy, it has lots of economic problems to deal with, as well as covid infections and the political unrest that has been seen in the country, he said.
Davison said he is concerned about how China is going to reestablish its economy.
“This is a threat to New Zealand dairy, it’s going to soften our prices. It’s not like it’s going to disappear forever and we know that the FTA [free trade agreement] kicks in in 2024, and a zero-tariff policy on all imports, which is going to be really handy, but we need their economy.
“Their economy drives our economy at the moment.”
Davison said he is also concerned about the macro-economic factors affecting global demand for consumers.
“The way I simplify that one is how deep are consumers’ pockets likely to be in the next couple of years?”
Interest rates are impacting all consumers globally and “as a consumer, how important is dairy to me as a weekly or a daily product? That determines where our demand will fall off to.”
Unlike the 2008 Global Financial Crisis, when Chinese consumers stopped buying, this time around dairy is more entrenched in their diet, which could cushion any fall.
“It’s not all doom and gloom but it could defi nitely have an impact.”
In the past six months growth in milk solid equivalent trade in China fell 28% compared to the same period last year.
Davison described it as a trade hole in China, with 125,000t less dairy product imported into the country.
“That’s a massive volume of dairy missing from trade fl ows and that’s why we’re seeing this softening of price.”
That could put the milk price under pressure, he said.
The milk price futures market is a good measure of how volatile the market is at present, with contracts trading at $8.90. This is where the market is seeing milk price futures for the current season.
“The volatility we have seen in the nearest contract in the last several months has been quite substantial. We have seen $10.67 traded on the nearest contract and we’re as low as $8.80 now.
“The volatility on the world market is seen in that future where people are exchanging risk for what they see.”
He said NZX has forecast a midrange milk price of $8.80/kg MS and expected Fonterra to lower its forecast, which it did, down to $8.50-$9.50/kg MS.
“I’m usually a pretty optimistic person, but right now, it’s looking poor,” he said.
GLOOMY: NZX dairy insights manager Stu Davison says he does not see a lot of short-term positivity in China at the moment. TOUGH TIMES: Economic problems in China are a threat to New Zealand dairy, says NZX’s dairy insights manager.
Stu Davison NZX dairy insights manager
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Waterways system banks Young Innovator Award
Staff reporter TECHNOLOGY
Fieldays
ASTUDENT start-up from the University of Auckland and Auckland University of Technology has been named Fieldays Young Innovator of the Year for its work on waterways.
Delta Waterways uses satellite data and data analysis techniques to revolutionise the way waterways are monitored.
The judges commented on the potential Delta Waterways has and the benefits it could provide in a variety of situations, including potentially closing the loop in waterway pollution control.
The judges commended St Paul’s Collegiate School and its Sterineedle project, especially for the product development process that was followed in getting to what looks like an effective and well thought-out solution.
More than 60 finalists were in the running to be considered in the Young Innovator, Prototype, Early-Stage, and Growth & Scale award categories of the Fieldays Innovation Awards.
The 2022 Prototype Award winner was the University of Waikato for its Kiwifruit Human Assisted Harvesting e-BIN, which was developed with the goal of making fruit-picking easier for a wider range of people.
The award judges appreciated the decisions that led to a system that uses humans to do things like location and tricky picking while the e-BIN does its job with just the right amount of automation.
The judges commended another finalist, Donald Cornwall, for the way he took a low-tech approach to solving the problem of optimizing the use of a feed paddock. Donald’s Automated Moving Fence was described as simple, low-cost and effective.
The 2022 Early-Stage Award winner was SNPshot, the company behind SNPshot Sampler, designed to make DNA sampling of livestock seamless and simple.
The judges commented on the extremely well-executed and thought-out design. They mentioned its clever structure and efficiency and were impressed with the company’s overall business model.
The judges made special mention of newcomer Bovonic, a company that aims to identify mastitis early in cows, saving time, money and pain in livestock.
The judges said the invention had a lot of potential and its creators had made impressively quick progress in such a short period of time.
The 2022 Growth & Scale Award winner was previous Fieldays Innovation Award winner RiverWatch, whose hardware and software solutions work together with the end goal of creating swimmable oceans, rivers and streams by providing a network of real-time water quality information.
The judges were impressed with the practicability and scalability of this software from the science behind it to its easy installation. They also acknowledged its flexibility, which means it can be used in situations globally.
Entrepreneur and businessman Nick Mowbray spoke at the awards ceremony, partaking in a Q&A with host and Fieldays regular Te Radar. Mowbray shared his story of creating the toy and consumer products manufacturer ZURU from humble beginnings with his brother.
Entries in the Innovation Awards were praised for their cross-section of talent, with Peter Nation, CEO of New Zealand National Fieldays Society, saying this showed the breadth of creativity across the primary industries.
“Fieldays is the home of innovation and the best platform to launch new ideas in the agricultural sector,” Nation said.
“Fieldays Innovation Awards is a programme that I, along with the wider Fieldays team, am immensely proud of.”
Fieldays Programme Manager Steve Chappell said that the Fieldays Innovation Awards are an amazing showcase of the innovation that can be found throughout New Zealand and around the world.
“The standard of entries was very high again this year, and I know the judges had to make some tough decisions,” Chappell said.
“I’m happy for those that won and know that the prize packages for each category are going to make a world of difference on their innovation journey.”
Supported by a range of sponsors, the Fieldays Innovation Awards have a total prize package valued at over $60,000.
Peter Nation New Zealand National Fieldays Society WATER WIN: Auckland students Brendan Bell and Ander Castelltort Schnaas were recognised for Delta Waterways, which uses satellite data and data analysis techniques to monitor waterways.
Sites to behold claim awards at Fieldays
Staff reporter NEWS
Fieldays
HANSEN has taken the Supreme Site Award at Fieldays for, in the words of the judges, having gone above and beyond to provide an exceptional customer experience to visitors.
Judges for the Fieldays Site Awards also evaluated the site on its overall attractiveness, innovative site design, recognisable branding, and clear focus on customer service.
Proving a fan favourite with all ages, the site features working demonstrations of valves, fittings and irrigation systems.
In exchange for a donation to the charity Cure Kids, keen punters can also test their skills on the rock-climbing wall.
Sustainability also ranked high with the judges, who praised Hansen for the way it has embraced environmentally responsible behaviour.
“It was great to see Hansen has embraced a strong focus on sustainability,” said David Natzke, key accounts and sales manager and coordinator of the site awards.
“Everything was considered, right down to their staff uniform, which was made from recycled cardboard and bamboo – and even included their shoes”.
Fitting with the brief for summer, the fun outfits where a showstopper, Natzke said. “They certainly look ready for tan lines and good times.”
Food truck Deejays Gourmet Griller was recognised for its dedication to the environment, winning the Commitment to Sustainability Award for the use of alternatives to plastic cups and utensils.
“Their use of high quality, locally sourced produce and aim to use packaging that doesn’t end up in landfill was great to see,” Natzke said.
The award for Best Agribusiness Outdoor Site went to finance and investment company Jarden, whose site features a wine bar, indoor and outdoor seating and a seminar schedule of industry professionals speaking about the issues that matter the most to the primary sector.
Feed manufacturer SealesWinslow won the Best Agribusiness Indoors Site for its visually appealing and inviting site.
The architectural layout and use of modular features such as the cow enhanced its branding in an eye-catching way.
Finally, foodie and newcomer Benito’s Pleasures was recognised as Best Small Site. The beretwearing staff were praised for entertaining visitors and serving up delicious, authentic crepes with passion and flair.
The winners received a prize hamper and a discount off the cost of their 2023 site.
