7-8 Farming in a housing hot spot Vol 18 No 7, February 25, 2019
farmersweekly.co.nz
$3.95
Incl GST
Milk price too high Hugh Stringleman hugh.stringleman@globalhq.co.nz
S
YNLAIT alleges Fonterra consistently sets the farmgate milk price too high, creating difficulties for its competitors. In its submission to the Dairy Industry Restructuring Act review Synlait highlighted what it calls a widely held concern Fonterra can manipulate its competitive position through overvaluing the milk price and undervaluing the share price. It cited comments from former Fonterra chairman John Wilson and Shareholders’ Council chairman Duncan Coull that the Milk Price Model has been changed to move 40-46c/kg from earnings to the farmgate milk price. Another example was a 20c rise in the milk price in May 2018 that Synlait and market analysts couldn’t justify on commodity prices alone. A Fonterra Shareholders’ Council-commissioned report said the cumulative effect of changes in the farmgate milk price since 2009 is plus 51.8c/kg. “The system enables Fonterra to make unilateral and arbitrary choices
about the allocation of earnings between milk price and capital,” Synlait said. Across the industry 50c/ kg amounts to $750 million misallocated to farm income at the expense of returns on value-adding investments beyond the farmgate. That is enough to distort land values, encourage dairy conversions, increase the use of marginal inputs like nitrogen and palm kernel and disincentivise value-add investment.
The system allows Fonterra to make unilateral and arbitrary choices (about the milk price). Leon Clement Synlait Synlait argues the Commerce Commission audit of the milk price under DIRA was ineffectual, the notional producer model is a sort of impractical supercompetitor and Fonterra sets its asset beta risk factor too low. Independent processors work in the dark during the season and find out in September retrospectively
how the milk price model has been applied. Synlait proposes some measures to improve transparency, including attestation by the milk price panel and the Fonterra board that the farmgate milk price meets the objectives of the DIRA each time. It also suggests the appointment of two independents to the milk price panel and the publication of meeting minutes and a sort of dashboard of changes to key components and assumptions. It also wants the commission to have more regulatory powers under the DIRA but not to set the milk price. Synlait called for open entry and exit to Fonterra to be retained in the DIRA but that it could refuse to collect milk from conversions on marginal dairying land. Surprisingly, Synlait said Fonterra’s obligation to provide up to 250m litres annually to Goodman Fielder should be repealed because it prevents the development of a wholesale milk market. Synlait’s submission was made by chief executive Leon Clement, until recently a long-time Fonterra senior executive and the former head of Fonterra Brands NZ, the SURPRISE: Synlait chief executive Leon Clement say Fonterra shouldn’t be obliged to supply 250 domestic dairy products milllion litres of milk a year to Goodman Fielder because that stifles the development of a wholesale division. milk market.
NEWS
WEATHER OVERVIEW For those lucky enough to get some rain relief over the weekend or Monday, well done. To the many others who didn’t get relief or not enough relief we’re now looking for the next rain maker but we have to be honest and say many areas that are still dry might get drier yet. High pressure returns to the country this week and it’s a solid high, bringing a lot of dry weather but not quite as hot as it has been. We do still have some rain. A wet southerly moves up southern and eastern areas on Thursday. More tropical energy is also developing to the northeast this week. It’s not expected to hit New Zealand but is worth monitoring because it will be close.
8 Farm conflicts in tourist hot spot A billionaire lives on a lifestyle property on one side of Chris and Emma Dagg’s Queenstown farm. On the other is a multi-millionaire.
Newsmaker ������������������������������������������������������28 New Thinking ��������������������������������������������������29 Opinion ������������������������������������������������������������30
Pasture Growth Index Above normal Near normal Below normal
7-DAY TRENDS
Wind
Rain Showers today in the eastern North Island fade away as high pressure returns. A cold front late on Wednesday and on Thursday should bring another smaller burst of rain or showers to southern and eastern areas especially. Otherwise it’s drier than normal this week.
World �����������������������������������������������������������������36
ON FARM STORY
NZX PASTURE GROWTH INDEX – Next 15 days
Windy, cool south to southeasterlies will today slowly ease back over the remaining regions like the eastern North Island. High pressure grows and the week ahead has mostly light winds, other than a burst of southerlies on Thursday and Friday.
Highlights/ Extremes
Temperature A colder than average start to the week for many but this week warms back up again to average or even slightly above average as high pressure builds. Another cooler southerly for Thursday and Friday but a big, calm high for the weekend.
A large belt of high pressure is moving back in this week and next. We do have a southerly to kick off the week and another late week. Meanwhile, a new tropical low is possible next week but it’s well north of NZ.
14-DAY OUTLOOK
Rain across parts of NZ over the past few days will be very helpful at seeing a spike of pasture growth across a large portion of the country. The bad news is that we have a lot of high pressure returning and lower than usual rain is forecast over the coming 14 days, especially in northern, western and inland areas of both islands. We see no substantial nationwide rain in the next two weeks.
SOIL MOISTURE INDEX – 22/02/2019
34 Bulls, ewes and tepees, a rare mix Sheep and beef farmers James and Sarah Glenn are fuelling the intergenerational transfer of their farming business with a rare mix of bulls, sheep and tepees.
REGULARS Real Estate �������������������������������������������������37-45 Employment ����������������������������������������������������46 Classifieds ��������������������������������������������������46-48 Livestock ����������������������������������������������������49-51 Markets �������������������������������������������������������52-56 GlobalHQ is a farming family owned business that donates 1% of advertising revenue to the Rural Support Trust. Thanks to our Farmers Weekly and Dairy Farmer advertisers this week: $1142. Need help now? You can talk to someone who understands the pressures of farming by phoning your local Rural Support Trust on 0800 787 254.
Source: WeatherWatch.co.nz
This product is powered by NIWA Data
For more weather information go to farmersweekly.co.nz/weather
our pioneering
spirit tells us
nothing’s
Back in 1860, exporting meat to the other side of the world seemed about as easy as nailing gravy to the ceiling. But a few determined kiwis took the bull by the horns and now our grass-fed beef and lamb is sought-after all around the globe. At AFFCO, we see the same pioneering spirit alive and well in farmers today. We’re playing our part too – exploring every opportunity to take New Zealand’s finest farm-raised products to the world.
WAVE23683 NZFW
out of
reach WWW.AFFCO.CO.NZ | 0800 233 2669
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
3
Major tax concession for farms Neal Wallace neal.wallace@globalhq.co.nz PROPOSED tax changes make it easier for families to retain ownership of farms, tax specialist Scott Mason says. Concessions by the Tax Working Group for relief on capital gains taxes mean transferring a property after the death of an owner or the sale of one farm and purchase of another within 12 months will not be treated as capital gains transactions, Mason, Crowe Horwarth managing partner, says. “This is a major concession.” The definition of who a related farm transfer can be made to on the death of an owner, however, needs clarification. “For example, initial recommendations are limited to spouses (and) de facto recipients, which would not appear to allow for rollover relief where the couple have held assets in trusts or companies.” Working group chairman Sir Michael Cullen says its recommendations are designed to create a fair and balanced tax structure and address the inconsistent treatment of capital gains. “New Zealanders earning just salary and wages are taxed on their full income but we have several situations where you can earn income from gains on assets and not be taxed at all.” The group believes the increased compliance and efficiency cost is worthwhile if it reduces the bias towards certain types of investments and improves fairness. National Party agriculture spokesman Nathan Guy says the extra costs imposed will send already low farmer confidence even lower. Landcorp’s submission to the working group advocating water and fertiliser taxes and not opposing a capital gains tax,
FERT TAX: Crowe Horwarth managing partner and tax specialist Scott Mason says a fertiliser tax to cut use at first seems logical but the impact will be dependent on whether they are price makers or takers.
delivered what the group wanted, he said. “And that is now littered throughout the report.” Farming groups are united in their condemnation of the recommendations. Irrigation NZ chairwoman Nicky Hyslop says a general water tax will heighten the price of food and electricity and lead to inequities such as higher rates to pay for watering parks and reserves. A Christchurch resident uses 146,700 litres of water a year, double the national average, while Central Otago farmers and growers receive half the rainfall Auckland does, meaning a greater reliance on irrigation. “Only 7% of farmers use irrigation nationwide. Why are those farmers being targeted to pay a tax which 93% of farmers won’t pay when there are many regions which have very poor waterways but little use of irrigation?” Federated Farmers commerce
WHACK: Farmers could face taxes for capital gains, emissions, fertiliser use, waste and water extraction and pollution.
spokesman Andrew Hoggard says the fact three members of the working group believe a capital gains tax should apply only to residential rental properties is telling. He described a proposed valuation day value assets for the capital gains tax as a feeding frenzy for valuers and tax advisers. Hoggard welcomed the rollover relief when a farm is sold to a successor and that money spent on land gifted to the QEII Trust and Nga Whenua will be tax deductible. Mason agrees establishing a valuation day might involve significant compliance costs such as valuing a house and up to 4500 square metres exempt from a capital gains tax on the sale of a farm. And there is little detail from the group on the issue of taxing trusts.
Another welcomed concession means a 28c tax rate on the first $500,000 of capital gain following the sale of a small business, which mirrors the treatment of Kiwi Saver. On environmental taxes, Mason says while light on detail it singles out the Emissions Trading Scheme and Waste Disposal Levy as needing a rework. “There was mention of taxing fertiliser to reduce usage. The logic seems consistent at first but the impact on business will be somewhat dependent on whether they are price takers or price makers. “Interestingly, the Minister of the Environment has already professed a view that tax is not the best mechanism to effect such change.” Discussion about taxing water rights is likely to be delayed until
ownership disputes with Maori are settled. Prime Minister Jacinda Ardern says any new taxes will be implemented from 2021. Mason says with the Government promising to respond to the group’s report in April little time is left to formulate policy.
Tax at a glance How tax plans affect farmers: • A broadened capital gains tax • An agricutural emissions charge • A nitrogen tax • An expanded waste disposal tax • A water extraction tax • A water pollution tax • A fertiliser tax
rugged. reliable. ON SALE. DR200SE
$4,995
Save right now on a Suzuki TF125 Mudbug or DR200SE Trojan.
SZM0455
+GST
WWW.SUZUKI.CO.NZ
TF125
$2,995
+GST
Promotion runs 1 February – 31 March 2019 or while stocks last. Prices exclude GST.
4
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
EU offer branded hollow Nigel Stirling nigel.g.stirling@gmail.com THE apparent lifeline thrown by Europe’s top agriculture official to solve the row over New Zealand’s quotas has already been thrown aside by the Government. European Union’s Agriculture Commissioner Phil Hogan was in Wellington for talks last week. Sources described the discussions with ministers as robust with neither side backing down. NZ says the basis for carving up its quotas post-Brexit, based on exports entering European ports versus the portion entering via British ports, between 2015 and 2017 is unfair. Because some of NZ’s exports entering European ports like Rotterdam in the Netherlands are
FLEXIBLE: European Union Agriculture Commissioner Phil Hogan, centre, says the EU is willing to reconsider its import quota allocations for New Zealand.
on-shipped to Britain the quota splits are unlikely to reflect where they actually ended up. Hogan said the EU is willing to reconsider the method the EU used for splitting the quotas to more accurately reflect actual trade. “If there is a soft Brexit we are going to show flexibility by asking the NZ authorities to produce the trade data that will vindicate the type of reference periods around where this trade was going. “The end points to the consumers is what we are anxious to establish rather than the Rotterdam effect which can be distorting the figures.” But if Britain leaves at the end of next month there will not be enough time and the division of quotas will stand, Hogan said. NZ’s quota of 228,000 tonnes of sheep meat will be split evenly
between Britain and Europe on March 30. In the case of butter, 64% of the 70,000t quota will be allocated to the EU with the rest for the UK. NZ exporters oppose the split because it diminishes the maximum amounts they can sell to either the UK or the continent before high tariffs kick in. That could be a problem for NZ lamb exports in particular if British farmers are shut out of the continent as a result of a nodeal Brexit. NZ meat companies could face a scenario with more quota than they want for a British market awash with domestic product but short of quota for the continent where lamb could suddenly be in short supply. Asked whether the EU’s offer goes some way to addressing NZ’s concerns a spokesman for Trade Minister
David Parker said it does not. “In short, no, the destination idea is not a new development and does not fix the problem.” The Government’s agricultural trade envoy Mike Petersen said it is a hollow offer from the Europeans. It is almost impossible to gather the data the EU is asking for. “Exporters do put the final destination down but it is usually the point of entry or port of arrival. “This is the only place it can be verified or checked.” So, the Europeans already have all the trade data NZ can provide. Hogan was also in NZ to discuss negotiations for a freetrade deal, which kicked off last July. NZ’s negotiators head to Brussels for the third round of talks this week.
NEWS BRIEFS Dollar going up A BETTER outlook for dairy prices on top of continuing good returns for other primary exports is helping maintain the dollar at elevated levels, ASB Bank rural economist Nathan Penny says. The bank expected the currency to ease over the year but now believes it will close around US$0.69 and firm towards 0.71 next year. Interest rates are the usual driver of kiwidollar strength but with NZ rates now below US levels, agricultural export prices are pushing the dollar up. “You can’t have your cake and eat it too. If agri prices go up, the dollar goes up with them.” Most dairy producers have been struggling with supply, leaving record NZ production to boost world stocks. A likely return to normal patterns here next season could leave supply on the light side and well below demand growth, Penny said. That could push the NZ farmgate price back above $7/ kg MS, underpinning the kiwi. An exchange rate in the US$0.68 to low 0.70s range is still broadly supportive of the agri-sector. The dollar has also been helped by the Reserve Bank being less cautious in its February MPS than markets expected, he said. – Alan Williams
t
Pole sheds Build the shed that’s in your head. Drop into an ITM store today. Get a quote for that shed and turn your idea into a reality. www.itm.co.nz | 0800 FOR ITM
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
5
Marketing to trim A2 margins Alan Williams alan.williams@globalhq.co.nz AFTER tremendous first-half returns A2 Milk says margins will be lower in the second-half as it steps up spending on marketing and brand promotion in key export markets. Gross margins were about 55% in the six months ended December 31 as infant formula sales made up a greater proportion of total revenue. A2 increased its marketing spend by 75% over the corresponding time the previous year, to $45.5 million, mainly in China and the United States, and there will be a further increase in the second half, made possible by the financial gains of the scale it has achieved. In New Zealand the company has joined with Fonterra to set up a milk pool that will enable direct ingredient supply to A2 in the second half of this calendar year. But details of that and a similar venture with Fonterra in Victoria aren’t being released yet, A2 managing director Jayne Hrdlicka said. “We’ve got records for market share in key markets and are ready for a step-change in spending on the brand.” In the December half-year A2 had revenues of $613m, up 41% on the $434m in the same period a year earlier. Operating earnings (Ebitda) rose 52% to $218.4m and the after-tax profit jumped 55% to $152.7m, up from $98.4m. A2 shares jumped $1.08 to $13.95 each in NZX trading immediately after the result. On an Ebitda basis, the operating margin was just over 35%, but that measure is expected to fall to 31% or 32% in secondhalf trading because of the higher marketing and brand spend, Hrdlicka said. At balance date, the company had a cash balance of $287.9m, helped by operating cashflow of $112.3m. The group has no borrowings. The cash figure is down from $340m at last June 30 but since then A2 has paid out another
$162m to increase its shareholding in its A2 Platinum infant formula manufacturer Synlait Milk to 17%. Of the group revenues, $495.5m came from infant formula, an increase of 45% on a year earlier and driven by market share gains in China and Australia. Liquid milk sales, largely in Australia, rose 20% to $83.4m. A2’s fresh milk business in the core Australian market rose 11% in revenue terms and it now has a record 10.8% market share of total grocery sales. The Australian revenue and cashflows were the base on which the international business has been built and the half-year operating earnings of $192m, on sales of $418m, show that to still be the case.
We’ve got records for market share in key markets and are ready for a step-change in spending on the brand. Jayne Hrdlicka A2 Milk A2 Platinum infant formula continues to grow strongly in Australia and was the market brand leader with a 35.7% share, up from 32% at the end of June. Milk sales in the US have doubled from previous low levels as the number of stores there selling A2 milk increased to more than 10,000 at balance date and to 124,000 stores since then, including major chains. A2 Milk hasn’t detailed the figures but total sales in the US/ United Kingdom division were $23m in a mix of fresh milk and infant nutrition and it still runs at a loss. Hrdlicka said. US data indicates the brand development there is similar to A2’s fresh milk experience in Australia. Consumers are trading up from conventional milk and
showing high levels of loyalty once they’ve tried the product. The fullyear brand-spend in the US will be US$27m. The UK market for milk is growing off a modest base but the delivery of scale is challenging, the company said. Progress is being made establishing a presence in Asia markets outside China. The group made big revenue and earnings gains in China on advances in distribution and market share, for total sales up 50% to $171.7m and operating earnings up 41% to $68.4m. Infant formula sales rose 83% and market-share in major cities rose to 5.7% on the latest 12-months data, from 4.4% in the prior year and 5.1% at the end of June. In lower tier cities the market share was 5.4%, up from 4.7%. All market channels into China – e-commerce, daigou (grey market) and bricks and mortar stores – worked well, Hrdlicka said. E-commerce provides crossborder sales into all Chinese regions and the group now has 12,250 Mother and Baby Stores providing a more interactive shopping experience. The focus on improving in-store productivity has achieved good results. Chinese consumers are typically deeply loyal and have high trust in the brand. Because of the high demand for A2 Platinum infant formula, inventory levels at $72.8m at balance date, were lower than targeted levels and the business is taking steps to build inventories to be able to adjust more quickly to demand changes, Hrdlicka said. She expects second-half revenue growth to continue at current levels but the marketing spend means margins will be lower than in the first-half. At December 31 A2 had total assets of $795m with shareholders’ funds making up an impressive 81% of the total. Earnings a share for the half-year of 20.9c compare very strongly with the full-year 2018 figures of 27c.
PUSH THE GO BUTTON: A2 Milk is ready for a step change in its marketing in key sales areas, managing director Jayne Hrdlicka says.
Join an Action Group and connect with like-minded farmers wanting to increase productivity and profitability on-farm.
“The benefits we are getting as a group of farmers from a pool of funding, to get in all this expertise is a huge advantage to all of us and for our businesses” – Dan and Jacqui Cottrell, Taihape Action Group
9 Farmer-led, farmer-focused Action Groups
9 Access to expert knowledge and ideas
9 Support to achieve your on-farm goals
9 Funding available for a limited time
To register your interest go to www.actionnetwork.co.nz or call us on 0800 733 632 to find out more
RMPP_FW_0119
Get involved, take advantage and establish a foundation for your future now.
RAV-25FEB-FWNI
Bad for parasites. Good for business. Closantel™ Plus and Moximax® Sheep
Don’t let Barber’s Pole tax your flock and business this season. Closantel Plus and Moximax Sheep are your premium treatments for parasite control with persistent activity against Barber’s Pole. Keep your flock in good health. Order your Closantel Plus or Moximax Sheep today.
0800 100 123 ravensdown.co.nz Smarter farming for a better New Zealand®
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
7
Tough choice – houses or food With almost half of New Zealand’s land area committed to pasture and crops it would be easy to think that despite our growing population there is still plenty of land to spare. But in the past two decades some of the country’s highest quality land has gone under cement and tarmac for urban development. Despite having a population the size of Melbourne in a land area the size of Britain some people are starting to question whether a country that earns its living off its soils can afford to keep paving over its key resource to support population growth.
LAND
THE loss of productive soils to housing is a subject economist Shamubeel Eaqub has given considerable thought. He has serious concerns about whether New Zealanders have been lulled into a sense there is plenty to go around in our supposedly lightly populated country. “The problem is we have a history of building on top of our best land near populated centres. “Look at Epsom in the heart of residential Auckland. It used to be corn fields. Then you look further out west where there used to be many orchards. The question has to be asked, ‘what next – is there ever any end to the loss of it to housing?’” In 35 years from 1975 Auckland lost 10,080 hectares of high-value land. Based on average vegetable crop production of 60 tonnes a hectare that is enough to supply vegetables for most of the North Island, every year. Canterbury and Waikato have also suffered significant losses over a similar time. Underlying the growth driving that loss is an even bigger question that no government has ever felt compelled to address. That is just how many people a country that relies so heavily
on productive soils to pay its way in the world wants to have as a population. “Perhaps, with our population approaching five million, we are at a good point to consider this,” Eaqub said. We do not have a population policy but we have to start somewhere – it can allow growth as long as it does not encroach on productive land. “We have a very land-intensive approach to housing compared to many places and to change requires an intensification of our living. “The Auckland Unitary Plan does go a long way to this and peoples’ expectations around living are changing.” Eaqub maintains NZ will need a national approach to integrating environment, land use and population growth, possibly using the Resource Management Act, despite its flaws. “But it’s about this broader question – have we got the balance right around land use?” He is concerned his economist peers often look on land as a fungible asset in their economic models, that is a uniform asset with use easily interchanged between districts and regions. “But, in fact, its location and type makes a huge difference about what you can grow on it. “You can’t swap a hectare of high-quality vegetable land in Pukekohe and simply grow the same things on a hectare down south.” He urges policymakers to put a 100-year perspective on decisions made today when allocating more productive farm and growing land for housing. The issues around growing
BALANCE: New Zealand needs a policy to allow population growth while ensuring enough productive land remains to feed the extra people, economist Shamubeel Eaqub says.
and providing food for people will only become greater and in 100 years paving over those soils might appear foolishly shortsighted. “Right now the incentive is that it is much more profitable to turn it into houses in many places. “But it is a blunt approach with the market taking care of it because it is an asymmetrical loss – once it has gone to houses you can’t get it back again. It’s gone.” He acknowledges in a country like New Zealand where ownership delivers healthy property rights, using a national policy to control loss of productive land could be contentious. “Particularly in NZ where the route to profitability has been capital gain on exit of that land and if you are close to an urban centre your land will become even more valuable, worth a lot more than the purpose it was sold for. “Unless you create a regulatory framework to mandate land use as a high-quality food production asset this will not change.” He puts the capital gain potential in the problem’s front seat. It’s one that becomes a chicken and egg contributor to urban sprawl. “If you looked at the return on farming you would never do it unless there are future value gains to be had and location near cities only heightens that. The incentive is there at present for the landowner to engage the urban council to expand further and to take the extra gain that comes with that.” Equab’s concerns over the
loss of soils are based on solid history. “Good quality food is not an economic argument, it is a necessity. We have to be clear there are some things like soil that cannot be replaced.” His concerns are echoed by Horticulture NZ’s resources and environment manager Michelle Sands. Horticulture NZ is helping push a National Policy Statement on versatile and high-class soils and land through Parliament, with submissions being received later this year. A statement means regional councils will be obliged to honour its directions in their planning. The statement aims to achieve some of what Eaqub is advocating – protecting the 5% of soils that are the most productive and versatile in the country. It has the support of Environment Minister David Parker who last year said he is concerned at how much urban growth is occurring on irreplaceable, highly productive land. Sands appreciates the conflict between urban growth and Government expectations for the primary sector to add value to its exports. “Often, the most premium product is one you can eat raw. Picked cleanly with no E coli and delivered in a timely fashion.” This typically has to come from soils supported by good infrastructure and with a population nearby to not only to buy the product but to provide the manpower to harvest it. “So, we often hear about how
The problem is we have a history of building on top of our best land near populated centres. Shamubeel Eaqub Economist if you lose land in one area to housing you could move production to another. “But this is often neither practical or realistic. “Maybe you can grow brassicas elsewhere but you need to harvest that food and you need people to do it.” Local Government NZ president Dave Cull said there is no shortage of land in NZ, given it is a country the size of Britain with Melbourne’s population. But he has acknowledged different challenges across the country with plans like the Auckland Unitary Plan reflecting those differences, where areas of elite soils are protected for the purpose of food supply. However, Horticulture NZ has maintained that while that protects 2000ha a further 6000ha of next grade soils remain without protection and prospects are for Auckland to lose a further 10,000ha in the next 20 years.
MORE: EMERSON P33 NEXT WEEK:
What councils are doing
8
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Farm conflicts in tourist hot spot Neal Wallace neal.wallace@globalhq.co.nz A BILLIONAIRE lives on a lifestyle property on one side of Chris and Emma Dagg’s Queenstown farm. On the other is a multimillionaire. The exclusive Millbrook Resort is nearby and actor Tom Cruise was a neighbour while filming in New Zealand. The Daggs’ 424ha farm in the Wakatipu Basin between Queenstown and Arrowtown includes some of NZ’s most sought after land for residential development. A short drive from Queenstown, the rural setting provides a desirable place for the rich and famous to live, putting pressure on landowners in a region short of land, houses and sections. Dagg concedes 95% of people in his situation would have sold their farm and moved on but his family’s ties to the district run deep. “It’s home. “I’m fifth generation born and bred in the district on both sides of the family.” The crossbred sheep and beef farm, which sits under Coronet Peak ski field, is one of only a couple of full-time farms that remain in the basin though Lake
LAND
Wakatipu is flanked by high country stations. Dagg says as a school boy he remembers the whole Wakatipu basin being farmed and crops growing on the fertile soils of Frankton Flats. Today the basin is a series of lifestyle blocks, resorts and residential homes and the cropgrowing land at Frankton is buried under the airport, roads, houses and commercial buildings. “It is ironic that some of the best land in the district is under concrete.” With the average house price in Queenstown Lakes District at $1.1 million and the average section price $500,000 there is a housing shortage for workers and their families while the desirability of living in Queenstown fuels the appetite for land that can be developed. Dagg says the Queenstown
HOLIDAY AREA: Chris Dagg at his Malaghans Road farm in the Wakatipu Basin near Queenstown. Photos: James Allan
TOURIST MECCA: Queenstown farmer Chris Dagg with his dog Noodle on his Malaghans Road property.
Lakes District Council has recognised the loss of rural landscape in the basin and proposed a zoning variation to the district plan that would mean the smallest lot 90% of his farm could be subdivided into would be 80ha. In the meantime, housing construction in the rural zone continues with a five bedroom house built on a 3ha block near the Dagg farm, which is also right beside a major access point for stock. “If they want to retain the rural nature of the area, why do they allow more building and more subdivision?” Dagg says his future is largely dictated by what happens around him, the increased traffic, soaring land prices affecting rates and the expectations of neighbours who have little or no understanding of farming. “You’ve got to be more and more proactive.” People are generally considerate but there is always an exception.
Shifting stock across a road requires multiple people and is done early in the morning. Recently he had to physically block a driver who tried to push through a herd of 30 cattle. He has had some complaints about fertiliser application, including having the police called after allegations fertiliser was landing in creeks. Dagg says it was an organic, fish-based product and not his only complaint but the helicopter’s GPS proves they avoid creeks and waterways. Large areas of the high country have been sold to wealthy non-farming people looking for solitude and privacy. Dagg says music producer Mutt Lange, who owns a swathe of land from Coronet Peak to Wanaka, gave 50,000ha to the Queen Elizabeth II National Trust in 2014. The removal of stock from that land means control of weeds such as wilding pines previously done by sheep is now done with toxins.
The contrast between a working farm and what a community desires is highlighted to Dagg by a request to build a cycle trail through the middle of his farm. Not only will it impinge on their privacy and management but, despite assurances from the track’s backers, there will inevitably be antisocial behaviour by some users such as defecating, chasing stock or bringing dogs. “They don’t understand,” he says of the request. Dagg says despite the pressure and challenges of being in a farming minority he chooses to farm in the Wakatipu Basin and wouldn’t do anything else. “If I don’t like it, I can leave.” For a district that was developed first on gold mining then farming, Dagg says it still has a role and most of his neighbours and those living locally accept that. “Not all people are bad, it’s just that there isn’t a large farming community here so that makes it a bit different.”
PINS X LOWLAND YEARLING FILLY Stunning, limited-edition filly by champion sire PINS. Your Opportunity A filly with massive potential residual value. PINS has been a champion sire and a great broodmare sire and there aren’t many opportunities left to buy them. It is a fabulous fillies family – she is unique as she is closely related to three champion 3YOs – LEGS, XTRAVAGENT and SIXTY SECONDS. This filly is from the great Pins x Centaine cross, with her dam, Lowland, having had four foals, all of them winners. Her
full-sister, Splitsecond, is Stakes-placed with another full-sister, Cross Stitch, a city winner in Sydney. Lowland is a full-sister to New Zealand’s champion 3YO and Group 1 winner in Australia SIXTY SECONDS and Group 3 winner SPOTTSWOODE. She is correct, a lovely walker and vetted up perfectly. We would love to have you on board and experience racing our way. Please contact Albert or Matt.
www.goracing.co.nz Go Racing is an Authorised Syndicator with New Zealand Thoroughbred Racing.
She is great value with 10% shares $18,450.00 + GST 5% shares $9,225.00 + GST This includes: • All sales costs • Registration with NZTR • Breaking in • Initial gear (rugs, sheets etc.) • All costs until 1 May 2019 Syndicate contributions from 1 May are $340 per month per 10% share or $170 per month per 5% share.
“A standout filly whose racetrack exploits will see her grow into money.” Trainer: Stephen Marsh, Cambridge
For photos, pedigree and a disclosure statement for this syndicate, contact Albert (albert@goracing.co.nz) or Matt (matt@goracing.co.nz) on 0508 GORACING (0508 467224)
Your farm at your fingertips
Bring your farm’s reporting into the future with MyBallance. You don’t have to rely on a paper trail anymore. Now you can easily record and access all of your farm’s reports in one place, whenever and wherever you are.
WAV24692
ballance.co.nz/myballance l 0800 222 090
News
10 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Stock agents must be policed Annette Scott annette.scott@globalhq.co.nz STOCK agents must be compulsorily regulated, Federated Farmers meat and wool chairman Miles Anderson says. “No-one likes more rules and regulation but to protect all parties in the sale of livestock we believe it is the best way forward. “Discussions about this topic have run hot and cold for years.
A lot of ill feeling is caused when a stock agent buys from a farmer when it’s not clear he is acting on his own behalf. Miles Anderson Federated Farmers “We need some finality.” While the Stock and Station Agents Association has created a code of conduct and set up an independent body to judge complaints about stock agents, that doesn’t go far enough. “But with all respect to the
association, membership and thus adherence to the code is voluntary and we understand it covers only about 65% of all stock transactions. “Less reputable agents, a minority in the industry, are unlikely to become voluntary members and even if they do, when trouble arises they can simply resign and continue to trade,” Anderson said. “We have tried to deal with it but repeat issues prove we are not getting any traction. “A big number of independent agents are not required to be members so will not be captured by any rules of the association.” A regulatory body could stop agents trading and potentially impose redress. As well as potential losses from fraudulent transactions, Federated Farmers members also raised concerns about biosecurity risks where there is misrepresentation, either accidental or deliberate, and the limited ability to seek redress in a voluntary system. A new rule might require any stock agents who trade livestock on their own behalf to do so through an auction system or another agent and not conduct the transaction on their own behalf.
DOUBLE BENEFIT: Regulation will protect agents as well as farmers, Federated Farmers meat and wool chairman Miles Anderson says.
“A lot of ill feeling is caused when a stock agent buys from a farmer when it’s not clear he is acting on his own behalf, keeps the animals on his property for a day or two then on-sells at a substantial profit.” This year the federation will work on how regulation would look based on overseas models.
“Recommendations will come back to council and we’ll pick an option or a hybrid option that addresses the issues we face. “It could be as simple as mandatory Stock and Station Agents Association membership for all agents who are then regulated by and accountable to the association.”
Anderson said farmers shouldn’t pay more because there would not be a huge change from how companies and agents operate with their own internal processes. “The bulk of stock and station agents operate in an exemplary manner and we need regulation to be fair, to give them protection as well, not just the farmers.”
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
11
No windfall for NZ beef sector Alan Williams alan.williams@globalhq.co.nz ANY beef export market gains for New Zealand from the disastrous Queensland floods are likely to be minor, Rabobank animal proteins analyst Blake Holgate says. Between 300,000 and 500,000 cattle in northern Queensland died in the floods caused by monsoon rain in early February with another 100,000 to 150,000 animals left at risk from health issues caused by the floods. The rain came with very cold winds. The inundated areas grazed mainly breeding cattle so the impact to the industry will be longer term, Holgate said. Rabobank’s Australian team indicated there is no negative impact on processing numbers in Queensland though there could still be some transport issues. “The herd rebuild in those worst affected areas could take three to four years and that is if conditions are favourable for them over that time.” There could be delays because of disease fears from animal corpses as well as from pasture damage. Ironically, the 13-million or so hectares worst impacted by the floods are in areas that had not been the worst affected by drought. Meat and Livestock Australia had already forecast beef cattle numbers will be down by about a million to 26m head this year, even before the floods, because of widespread drought through several regions. The flood losses on top of that might lead to slightly reduced competition from Australian producers in the US beef-trim market and the wider Japanese and Chinese markets and just the same impact during the longer-term rebuild, Holgate said. Australia appears to have been in a constant cattle herd rebuilding phase in recent years because of the droughts and has never had a
BULL FARMER
run of favourable weather conditions. Queensland is one of the major cattle producers along with Northern Territory and pockets of New South Wales. Australia’s beef industry is about seven times bigger than NZ’s 3.6m herd. LIMITED: Any gains for Kiwi beef from the Australian floods are likely to be minor, Rabobank analyst Blake Holgate says.
SF HUSTLE IS A ™
SUPER STAR IT’S OFFICIALLY RATED 5 STARS IN THE NORTH ISLAND & UPPER SOUTH ISLAND BY THE DAIRYNZ FORAGE VALUE INDEX (FVI).
Five-O Farms Is a family owned and operated large 650ha effective bull beef farm near Dargaville that is passionate about sustainable, profitable farming. Equipped with modern cattle handling facilities we are two thirds through a development plan to increase subdivision and roading infrastructure to make running the farm more efficient and enjoyable. We are looking for someone to fit in with our family’s goals and values. This position is aimed at achieving a strong work/life balance for both employee and employer. Your day to day tasks will be working alongside the owners: • Moving and monitoring up to 20 mobs of bulls per day in a timely manner with at least one good working dog • Installing temporary electric fencing from May to September • Maintenance of electric fence and water reticulation system • Construction of new systems – fencing and water We offer a package that will match your skills and enthusiasm including a recently renovated house and regular time off. School bus run is nearby for both primary and secondary schools.
Phone 022 044 5062 evenings All Applications are treated in strictest confidence
LK0091448©
References are essential.
To apply or request further information please contact: Chris and Kim Leigh-Mackenzie fiveofarmsltd@gmail.com
GET 5-STAR RATED SF HUSTLE™ WORKING ON YOUR FARM. TALK TO YOUR LOCAL SEED SPECIALIST OR VISIT SEEDFORCE.CO.NZ ”DairyNZ provides no assurance or warranty as to the accuracy, completeness or reliability of information in the Forage Value Index or at www.dairynz.co.nz/fvi. DairyNZ has no liability for any reliance on that information”.
TRACTA61724_FW
A valid work permit is required.
News
12 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Fire danger is high everywhere Annette Scott annette.scott@globalhq.co.nz FIRE and Emergency New Zealand has pleaded for vigilance across the country as the big dry strengthens its hold and fire risk levels climb to extreme. On Friday the fire status of the entire country was at prohibited or restricted. “The fire risk across most regions of NZ is now extreme and, in response, and Fire and Emergency is asking the agricultural sector to be vigilant,” FENZ principal fire risk management adviser Rob Goldring said. “The extreme fire risk is the result of long periods without significant rain and abundant spring vegetation growth that has now dried off. “These very dry conditions increase the chance of a single spark creating a large fire. “We’re asking everyone to stop and think before they undertake certain activities and to remain vigilant.” Farmers are asked not to mow long, dry grass if there’s a chance of hitting a rock. “If a mower’s metal blades hit even a tiny rock it can cause a spark and ignite a fire.” Goldring also urged farmers to take extreme care when performing hot work outdoors,
To get this feed has given farmers time to make the right decisions. Tim King Farmer
WELCOME: Feed donated by Canterbury farmers is unloaded for those affected by the Tasman fire.
such as grinding, welding or metal cutting. Meanwhile, the Pigeon Valley fires in Tasman District continue to burn. “The risk is still extreme, there is still a fire burning,” Civil Defence controller Roger Ball said. “You can’t see a lot, it’s burning underground and there could be a flare up at any time.” The Wakefield township notice to evacuate was lifted on Friday but residents must still be
prepared for a change at any time. Pigeon Valley’s fire risk remains extreme with the fire ground encompassing 2343 hectares and 3272 people while 83 properties are still evacuated. Farmers in the region have been granted longer access to their properties where animal welfare remains paramount as officials keep a watchful eye on access to the valleys. Federated Farmers feed co-ordinator Nick Brooks said
Photo: Tim Cuff
farmers were heartened by the arrival from Canterbury of the Nelson Hay Convoy that delivered 267 tonnes of feed. Feed was given to 50 farmers. “We believe there is still a need for more good, palatable feed for young stock still in the fire zone and, of course, the drought is now also increasing demand for feed.” Farmer and Tasman deputy mayor Tim King said the hay convoy has been a godsend for many farmers.
“To get this feed has given farmers time to make the right decisions around what we do next.” King said the bigger issue is the compounding dry. “There’s a big shift in focus now to drought as the impact, not just on horticulture now but the wider agricultural sector is biting very hard.” “With water schemes on 65% cuts to go to the next stage will be an extremely critical level. “We have never been this dry this early since the early 70s – it’s a real challenge,” King said. Nelson Hay Convoy coorganiser Paule Crawford said the hay convoy demonstrated real community spirit. “It’s a blimming amazing community we live in,” Crawford said.
MORE:
Go to checkitsalright.nz/ for fire status and rules
Jones: No need to reach for regulatory gun Annette Scott annette.scott@globalhq.co.nz THE impact of the Tasman fire on the forestry industry is being counted in millions of dollars and lessons need to be learned, Forestry Minister Shane Jones says. A total fire and equipment ban at the height of the Pigeon Valley fire is estimated to have cost the industry $2m a day. Now it’s back in operation Jones said there are lessons for the industry.
“Mother Nature put a halt to operations for a 10-day period and that had an immediate impact right through the supply chain from harvesting to sawmilling and both domestic and export trade. “It’s shown how quickly the supply chain falls over without access to resource. “The medium to long term damage will now be assessed between the forest owners and insurers,” Jones said. With harvesters back at work forestry owners need to take a lesson from the event and improve
their readiness for the future. “Forest owners need to be a lot more fastidious with fire breaks and water storage facilities and also with our aspirations for one billion trees – in those regards change is on the way. “I expect, given an increase in insurance premiums, owners will do this themselves. “I don’t think it’s necessary that every time we encounter a calamity such as this that I reach for the regulatory gun. “Owners of forests need to pull finger and deal to the problem
and I do have a lot of confidence in the leading personalities of the industry to do this,” Jones said. Forest Owners’ Association communications manager Don Carson said what is lost in the commentary is the fact it wasn’t a forest fire in the first place. “We have a sophisticated set of protocols in our code of practice (COP) as far as fire risk is concerned. “I am not aware of any other industry that has such an established COP. “We got our crews out early,
we operate through years of experience and work hard on stringent protocols and safety.” Two companies in the region lost a considerable amount. Some trees, those over 20 years old, will still have a market as burnt trees but the younger trees were all burnt out. “I expect the losses will be in the millions right across the industry, including the processing industry. “It was very close to a critical situation with supply to the mills, some mills almost closing as supply had all but run out.”
The worlds premier shearing and woolhandling championship 28th February, 1st and 2nd March 2019
Book tickets now at goldenshears.co.nz
02165 MSD TOXO 03
It’s a lot easier protecting against them than spelling them.
CONTROL THE RISK OF TOXOPLASMA
CONTROL THE RISK OF CAMPYLOBACTER
CONTROL THE RISK OF SALMONELLA
CONTROL HOW YOU INCREASE LAMB NUMBERS
They’re invisible, and they’re the scourge of sheep farmers. They cause sheep to abort - that’s the bad news. The good news - it’s easy to protect against them. MSD Animal Health have a complete range of sheep vaccines that improve fl ock performance – including vaccines that help protect against losses from Toxoplasma, Campylobacter, Salmonella, and that are proven to increase the number of lambs born to ewes. Our sheep vaccines are developed here, in New Zealand, for New Zealand - as they have been for nearly 80 years. Just ask your vet. We said it was easy.
MADE FOR NEW ZEALAND. AVAILABLE ONLY UNDER VETERINARY AUTHORISATION. ACVM No’s: A4769, A9535, A7886, A9927. Schering-Plough Animal Health Ltd. Phone: 0800 800 543. www.msd-animal-health.co.nz NZ/SPV/1117/0008 © 2018 Intervet International B.V. All Rights Reserved.
14
DRIVING YOUR FUEL SAVINGS SAVE AT LEAST
12¢ PER LITRE OF FUEL AT THE PUMP
0800 787 256 RURALCO.CO.NZ
News
farmersweekly.co.nz – February 25, 2019
Fonterra scours wor Where in the world will Fonterra get $800 million to reduce its debt while returning to profitability and making enough money to pay a good dividend on the $6 billion dairy farmers have invested in the cooperative? Hugh Stringleman looks for answers.
M
ARCH 20 looms as the next milestone in Fonterra’s return to financial health and wellbeing when it declares first-half results for the 2019 year. It will also say where asset sales, joint ventures and partnerships will be made or amended to improve the balance sheet. The tenure of interim chief executive Miles Hurrell will depend on the apparent progress made towards his three Big Hairy Audacious Goals: Reducing debt by at least $800m at financial year-end, July 31, 2019; Reducing operational spending to 2017 levels by July 31, 2020 and; Delivering a minimum return on capital of 7% to farmer-shareholders. Hurrell told November’s annual meeting capital spending this year will be $650m, a reduction of more than $200m. He will also ensure more realistic forecasting, along the lines of the milk price forecast range of $6 to $6.30 rather than a single figure. Given that capex can be turned off in short order he has probably achieved that goal already. More realistic forecasting must apply to the BHAGs as well as the milk price and he will not blow his credibility with unrealistic targets. On the track record of his predecessor Theo Spierings and the recently departed then chief financial officer Lukas Paravicini, as their response to the most recent dairy price slump in 2014-16, operational spending can be cut on command. Fonterra reduced opex from $2.66 billion in FY2015 to $2.33b in FY2017 or by 12.5%, helped by a 5.5% fall in milksolids collected over those two years. But then, in Spierings’ final year, 7% was added to operating costs in FY2018 even though milksolids came down a further 1.4%. “The increase (in costs) was planned but we also planned for earnings to be higher and this didn’t happen,” Hurrell told farmershareholders. He then drew a line in the sand over operating expenses, for which he will be judged on March 20 and when fullyear results are known in September, followed by the 2020 financial year. The 2018 Sustainability Report said Fonterra had 22,358 employees worldwide,
of whom 12,298 were in New Zealand. It also had 51 manufacturing sites, 30 of them in NZ, and 38 farms, 29 of them in NZ. Outside of NZ the biggest geographical region for employment was Latin America with operations in Chile, Brazil and Venezuela accounting for 4003 people and revenue of $2.27b. China was the next biggest region – 1697 employees, $4b revenue and seven farms. It was followed by Australia’s 1432 employees, $1.85b revenue and seven manufacturing sites. Fonterra sold 45% of its total litres of milk equivalent (LMEs) in value-add products – consumer and food service goods and advanced ingredients – and 55% in dairy commodities. In revenue terms consumer goods earned $4.6b and food service products $2.5b, collectively about a third of total revenue of $20.5b. In volume terms advanced ingredients made up 22% of the total 22.2b LMEs. Asset sales Fonterra has publicly identified two major assets for potential divestment – its Beingmate partownership with infant formula manufacturing and distribution and its wholly owned NZ ice cream brand and manufacturing business, Tip Top. “The first phase has been to identify assets that are no longer core to our strategy, in terms of the types of products they make or the geography in which they operate,” chairman John Monaghan told the annual meeting. He was outlining what Fonterra’s leadership were calling a portfolio review in response to the company’s first-ever loss in FY2018. He said Beingmate was one of three and in December Fonterra confirmed options
AT THE CORE: The first phase of Fonterra’s review has identified assets not core to the co-op’s strategy because of what they make or where they are, chairman John Monaghan says.
WORKING ON IT: Fonterra chief executive Miles Hurrell’s tenure and credibility rest on progress to his three Big Hairy Audacious Goals.
for Tip Top are being considered. The third as-yet undisclosed asset is in the company’s value-add portfolio, Monaghan said. “The board’s intention is to make a decision on each of these investments and complete the transaction within this financial year.” Fonterra will then proceed with a full strategic review of its capital needs, investments, major assets and partnerships against its strategy and targeted return on capital. “There are no sacred cows and there’s no room for being sentimental,” he said. It is expected the third asset under consideration will be disclosed with the interim results on March 20.
addition in the balance sheet that will count towards debt reduction. Since then Fonterra has impaired its $750m investment of 18.8% of shares in the Shenzhenlisted Beingmate by $439m and taken a $75m share of Beingmate’s losses over two years. The sharemarket valuation of Fonterra’s stake is now about $200m.
Beingmate: Fonterra has reached agreement with Beingmate to unwind the Darnum processing plant joint venture in Victoria though Beingmate will remain a long-term customer for the infant formula ingredients produced there. It said no cash is to be paid to Beingmate for recovering 51% of Darnum, in contrast to the A$102m paid by Beingmate into the joint venture in 2016. That means Fonterra will be able to book a fixed asset
LONG TERM: Fonterra has an association with Sri Lanka that goes back beyond its creation and a sale of its Biyagama plant would have to protect the brands it produces.
Tip Top: Fonterra said it is making good progress with a possible sale of Tip Top to AustralianNZ investors. It was reportedly talking to three private equity companies based in Australia that have food industry investments on both sides of the Tasman, such as Tegel Foods, Manuka Health and Hellers. First NZ Capital is running the sale process. Tip Top has annual sales about $400m and is reported to make about $20m net profit. Analysts say five to seven times net profit will be the starting point for business valuation, meaning Fonterra would gain less than 25% of its $800m capital target by selling Tip Top. While Tip Top is performing well it has reached maturity as an investment for the cooperative, it said when the possible sale was announced. “To take it to its next phase successfully will require a level of investment beyond what we are willing to make,” Fonterra said. Tip Top reportedly needs a considerable investment in plant modernisation and a possible relocation from its historic, now-restricted site in Auckland’s Mt Wellington. Fonterra Brands NZ has a new managing director, Brett Henshaw, formerly Griffins chief executive and with worldwide experience with Unilever and ColgatePalmolive.
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
15
ld for $800m cash injection Soprole The Latin America operations performed comparatively better in FY2018 than the rest of Fonterra, posting normalised Ebit of $117m, up 28%. Soprole, the Chilean milk processing and consumer business, showed strong growth and maintained its earnings by optimising the product mix. Although Soprole has always been part of Fonterra its has been mentioned by analysts as a candidate for sale in the quest for the $800m capital injection. Fonterra’s balance sheet discloses about $1b in non-current assets (property, plant, equipment, brands) in Latin America, of which Chile is the greater share. Soprole has its own brands and is not reliant on Anchor and the other major Fonterra brands. China Farms Seven large dairy farms in China had an enterprise value of slightly less than $1b when Fonterra estimated in mid-2018 its total business activities in greater China were worth $4.7b. Fonterra has long argued Beingmate and China Farms are types of investment essential in the integrated, politically acceptable presence in China, its largest market for NZ exports. NZ milk provides 11% of China’s dairy consumption and Fonterra could not hold such a dominant position with imports were it not also actively invested in the country, with local partners. Milk production from 30,000 cows on China Farms is about
25m kilos MS annually. “Our strategy for China Farms is to deliver the highest value through integrating them into our ingredients and consumer and food service businesses in China,” the company said. Fresh milk feeds into partnerships with Hema Fresh, Starbucks and McDonald’s restaurants, though volumes are low. Fonterra’s joint venture dairy farm development with Abbott is separate from the China Farms two-hub, seven-farm structure and not included in the portfolio review but it provides a model for possible divestment. Given the intricacies of land ownership in China and the involvement of local councils, any property and livestock valuations of China Farms and their possible contribution to the debt reduction target are pure speculation. NZ farms We are on stronger ground when estimating the value of the 29 NZ dairy farms, all next to processing plants mainly for the purpose of waste water distribution through irrigation. Assuming a standard NZ herd size of 430 and farm size of 150ha effective, the 29 farms have a collective value of about $140m. Using the reasoning that Fonterra is a processor, not a farmer, its farms could be sold to existing suppliers with caveats to maintain the plant water irrigation. Farm Source The nationwide network of 71 Farm Source stores has a similar property value to the dairy farms, assuming they are all company owned rather than leased. The goodwill attached to turnover is harder to estimate because Fonterra doesn’t disclose Farm Source revenue. Fonterra has already
demonstrated a willingness for divestment in this area by selling the non-core Farm Source livestock division with about 27 agents to Carrfields for an undisclosed sum. However, Farm Source, as structured five years ago when renamed from RD1, has a farmer loyalty factor claimed to be worth 10c/kg MS annually in discount pricing and partnership buying. It is unlikely Fonterra’s farmerdirectors will agree to sell the merchandise and servicing division to one of Farm Source’s competitors. Sri Lanka Fonterra Brands Lanka is a wholly owned subsidiary with a 40-year history that began with the NZ Dairy Board. It has an undisclosed business value that is certainly in the hundreds of millions of dollars. Anchor and Anlene are major brands in Sri Lanka so selling the processing and distribution business would have to safeguard the future of those brands. Anchor is the number one brand in full cream milk powder, the largest dairy retail category in a
country where most homes do not have refrigeration. Fonterra employs 750 people, collects milk from more than 4000 small farms and makes consumer goods like liquid milk and yoghurt as well as packing imported NZ milk powder at the Biyagama plant in Colombo. Nationalistic elements in Sri Lankan politics would love to see Fonterra sell the business into local ownership but that would be a very big call for what Fonterra characterises as one of its four leadership markets in the world. Australia Fonterra Australia is another of the leadership markets, called by Spierings a home market that will not be abandoned. But it has been chopped and changed during Fonterra ownership, including consumer business and brand purchase and rationalisation in attempts to find the right mix in a very competitive market. Farmer loyalty is low and milk market shares fluctuate with price differences and regular droughts. Fonterra Australia collects milk from 1100 farms, employs 1432
people in eight locations including its Melbourne head office and revenue in that market is $1.8b annually. Past rationalisations and unsuccessful forays have left Fonterra Australia without obvious divestments and the recent Darnum move is an addition not subtraction. Europe and the US Fonterra trades in whey protein out of Europe and the US as a by-product of cheese manufacture by commercial partners in Britain, The Netherlands and Lithuania. The alternative protein sources are part of new product developments, particularly sports and age-appropriate drinks, and risk mitigation should major milk pools in NZ and Australia be compromised. Although international milk pools were big in Spierings’ strategy to grow Fonterra to 30b litres and $35b turnover a year, that has now been abandoned by Hurrell and Monaghan. None of the European or US partnerships is big enough to contribute much towards the $800m debt reduction goal.
Don’t wait for Salmonellosis to strike. Reduce the impact of an outbreak and minimise production losses by protecting your flock with Salvexin®+B. Talk to your vet today about protecting against unnecessary ewe deaths by vaccinating with Salvexin+B.
AVAILABLE ONLY UNDER VETERINARY AUTHORISATION. ACVM No: A7886. Schering-Plough Animal Health Ltd. Phone: 0800 800 543. www.msd-animal-health.co.nz NZ/SALB/1117/0002 © 2018 Intervet International B.V. All Rights Reserved.
02165_MSD_FW_1
The NZ side of Fonterra’s Oceania consumer businesses has not performed well over the past two financial years. Earnings fell by $30m or 30% and most of the reasons lay in NZ. Sale of Tip Top will be a handicap for Henshaw in his drive to improve NZ performance.
News
16 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
M bovis levy upsets farmers Annette Scott annette.scott@globalhq.co.nz DAIRY farmers have been forthcoming with their concerns as they drill for the detail of a proposed biosecurity levy to pay for the Mycoplasma bovis response. DairyNZ has run meetings across the country to consult farmers on the need for the industry to pay its share of the response. It proposes farmers pay a 3.9 cents per kilogram of milksolids over the next two seasons. Adding that to the 3.6c/kg MS farmers pay now will more than double their levy. That didn’t go down well with many of the 50 farmers at the Darfield meeting on Wednesday. They suggested it is a Ministry for Primary Industries responsibility. “MPI let this come into the country and now we are being asked to clean up the mess,” one farmer said. “MPI has not done its job, treated farmers poorly and now we are here being asked to pay for it – where is the accountability on MPI,” another asked. Last May the sector agreed, in partnership with the Government, it will try to eradicate the disease. DairyNZ farmer director Colin Glass said going into partnership with the Government and the beef sector significantly reduces the $870 million cost. The Government supports the phased eradication programme with $591m and the beef sector with $17m, leaving the dairy sector to fund $262m over 10 years.
ANSWERS: DairyNZ chief executive Tim Mackle, right, DairyNZ farmer director Colin Glass, centre, and DairyNZ South Island manager Tony Finch address farmer questions at the Canterbury meeting. Photos: Annette Scott
QUESTIONS: North Canterbury dairy farmer Shaun Lissington challenged DairyNZ to stand up and deliver.
Accountability was top of the issues raised by farmers who pulled no punches. “We want accountability. Is the
budget right, what guarantee is there they (MPI) won’t come back and ask for more money,” farmers asked. “Let’s not underestimate our industry has a real crisis in confidence, let’s not under estimate that impact,” farmers said. “Farm profitability is being challenged like never before. We are absolutely wired to DairyNZ to provide us the tools to take charge of our own businesses. “The axe is raised – you, the DairyNZ board need to stand up and deliver,” North Canterbury farmer Shaun Lissington said. For that very reason Glass said it’s important farmers understand why DairyNZ has signed the Government Industry Agreement (GIA) and now, as part of that, is proposing the levy on behalf of farmers. “We know there is risk but we can’t sit back and do nothing. “There’s no guarantee but if we
see the writing on the wall for a trigger point, if we are at the table, we can have input,” Glass said. “It’s not about winners and losers amongst ourselves. The issue is we have a cost to share and how we do that as an industry is the issue.” DairyNZ chief executive Tim Mackle said while it’s a lot of money it’s a lot less than the sector would have had to bear if a different choice had been made. “But we need farmer support to set the levy. “If this gets voted down MPI made it clear they will recover the money. “Yes, it could be more or less but MPI have told us the alternative is they will recover the cost under the Biosecurity Act, rather than GIA, and the levy amount and payback period would be solely at MPI’s discretion. All farmers producing bovine milksolids will pay the levy.
We know there is risk but we can’t sit back and do nothing. Colin Glass DairyNZ Beef + Lamb NZ has yet to consult farmers but is likely to use a kill levy. All dairy farmers will be exempt from the beef fee but in questioning the validity of that, farmers were told precise processes were yet to be worked through. Glass stressed to farmers the heart of the issue is about how they want to be represented. “DairyNZ is not happy with the 3.9% but it is part of GIA and we need to work through it if you want DairyNZ to help – that’s what you are voting on.” Mackle said the meetings attracted good attendances and robust discussion was expected. “It’s been good to see so many farmers attending the meetings and we’ve appreciated the questions and feedback. “Farmers are really drilling into the detail, which is healthy. There’s a lot of money involved and the eradication programme is important.” Voting papers and an information pack were sent to all farmers on February 1 with the consultation process and voting closing on February 28. DairyNZ will confirm the vote result with MPI and notify farmers on March 29. The levy could be operating by June 1.
DIRA frustrates Fonterra suppliers Hugh Stringleman hugh.stringleman@globalhq.co.nz
THE Fonterra Shareholders’ Council has called for an end to open entry to the co-operative and a clear path to dairy industry deregulation.
In its submission to the Ministry of Primary Industries review of the Dairy Industry Restructuring Act the council also called for an end to access to regulated milk by other export processors. Goodman Fielder should be entitled to buy Fonterra milk
for domestic purposes only, the submissions said. Council chairman Duncan Coull also called for all other dairy companies to be required to publish their milk prices in a standardised form. Fonterra publishes the
average milk price paid to suppliers while other processors publish the maximum price achievable if farmers meet all the incentive conditions. “Transport costs, milk composition, demerit payments and other deductions and
Stay Farmstrong Lock in a break
Farmstrong is a rural wellbeing programme sharing farmer-to-farmer tips and advice.
While I love what I do, taking regular breaks helps me get through the tough days. Sam Whitelock Farmstrong Ambassador
To find out what else could work for you, visit farmstrong.co.nz
MOVING: Fonterra Shareholders Council chairman Duncan Coull is worried the goalposts keep shifting.
incentive pricing mean that the price each competitor publicises is not usually that paid to the majority of their suppliers,” he said. The dairy industry is calling for a clear sunset signal and transition towards DIRA expiry. “There is deep frustration within the Fonterra farmer base around the continual shifting of the goal posts around the sunset provisions.” So milk market share thresholds for DIRA expiry should be set regionally and not nationally because Fonterra’s competitors can eat away at the New Zealand dairy heartland. The submission ended with quotations from frustrated farmers: “Leaving DIRA the same encourages nothing new or better.” “Should this be the Fonterra regulatory act or the dairy industry regulatory act?” “Goalposts keep shifting and I have no confidence that the Government will implement deregulation.”
Sharpen up pasture burndown Boosts glyphosate’s weed spectrum and speed of kill crop-solutions.basf.co.nz
ALWAYS READ AND FOLLOW LABEL DIRECTIONS. © Copyright BASF 2018 ® Registered trademark of BASF. BASF217544.
QUIN’S
COME
BACK!
Quality
Commitment
Belief
RPR, ONEsystem prilled urea, and other nutrients
to protecting the quality of NZ’s waterways and groundwater
in the future of New Zealand farming
ADVERTISEMENT
Dr Bert Quin
QUINFERT NEWSLETTER 2 – FEBRUARY 2019
Dr Bert Quin, Managing Director, Quin Environmentals (NZ) Ltd P from peat soils and in fact the unacceptably high leaching from all soils with P retentions (ASCs) of less than 50. Only RPR will do this. Likewise, loss in run-off of both soluble P and particulate P from large areas of most hill country farms simply cannot be stopped unless we change to RPR. This is scientific fact. The P model used in Overseer is far to simplistic, and is just plain bad science. It totally ignores the huge spikes in losses of P in run-off and leaching that occur in the weeks and months after application of soluble P. Overseer Ltd, AgResearch and the superphosphate manufacturers need to fess up to this before it totally loses credibility. I believe that there needs to be an absolute limit placed on the ratio of Olsen P divided by the P retention (ASC) of about 0.3, or 0.35 at the most, on all paddocks on all farms. For example, a maximum Olsen P of 30-35 on soils with very high ASCs. I have never in my life seen a pasture response to P where the Olsen P is over 30. But the industry’s reps keep encouraging dairy farmers to keep putting super on when they have Olsen P levels in the 40s, 50s and even 60s! This is environmentally irresponsible. With RPR, Olsen Ps really get above 25 even at very high production. If they do, just reduce the application rate; production will not suffer at all. There also seems to be far too much high sulphur-super blends being recommended on hill country farms even where soil and herbage sulphur levels are showing perfectly adequate levels. It might be a more profitable product to sell, but excess S simply accelerates leaching of cations like calcium, magnesium and potassium. This in turn exacerbates the increasing acidity of the soil. I continually see farmers with pH levels of 5.1-5.3 being advised to put on sulphur-super, when the first priority by far in these situation is to get lime on to control aluminium toxicity. Never be afraid to question the scientific basis for what someone is trying to sell . All the best Dr Bert Quin 021 427 572 bert.quin@gmail.com www.quinfert@xtra.co.nz
QUINFERT PRICE LIST NORTH ISLAND Quinfert RPR range:
N
P
K
S
Ca Mg price/t
Quinfert RPR (V1, with 7% dolomite)* 0.0 12.7 0.0 1.3 35 0.75 $319 Quinfert RPR (V2, with 4% dolomite) 0.0 12.7 0.0 1.3 35 0.4 $319 Quinfert RPR/EG (eco-gypsum) 0.0 10.0 0.0 3.5 32 0.6 $289 Quinfert RPR/low S 0.0 12.3 0.0 4.0 34 0.7 $337 Quinfert RPR/med SB 0.0 11.7 0.0 8.4 33 0.65 $359 Quinfert RPR/hi SB 0.0 11.3 0.0 11.1 31 0.6 $371 SB is sulphur bentonite, containing 90% fine elemental S in water-dispersable miniprills. *BioGro certification is in process. Ask for ‘CM’ RPR (controlled moisture) to get zero dust.Specs will be reduced 3%.
Quinfert RMA range for dairy and intensive beef farms: Quinfert RMA GP 1 (general purpose) Quinfert RMA Autumn 1 Quinfert RMA Summer 1 Quinfert RMA Spring 1
N
P
K
6.9 5.1 3.6 10.1
6.0 5.0 8.4 6.0
6.4 10.1 5.5 4.2
S Ca 6.9 4.0 5.1 8.0
15 15 20 14
Mg price/t 2.0 2.9 1.9 1.4
$424 $424 $424 $424
25 FEB 2019 (prices excl GST)
Quinfert QSR range (quick and sustained-release P combo): N
P
K
S Ca
Mg price/t
Quinfert QSR ‘N-vig’ low S 1.9 14.0 0.0 1.0 27 0.65 $454 Quinfert QSR ‘N-vig’ med S 1.7 12.7 0.0 9.0 25 0.6 $476 Quinfert QSR ‘N-boost’ med S 6.0 11.0 0.0 7.5 21 0.55 $458 Quinfert QSR ‘N-blast’ med-S 9.0 9.7 0.0 7.0 19 0.4 $464 Additional N in N-boost and N-blast comes from a combination of ONEsystem prilled urea and SOA. Other nutrients and all trace elements can be added to both the Quinfert RPR and Quinfert QSR ranges..
The Quinfert Real Mitigation Action (RMA) range is designed to maximise healthy pasture production under intensive grazing while minimising P leaching and run-off, nitrate leaching and gaseous losses, and cation leaching caused by excess nitrate and sulphate levels. Quinfert RMA products are fine but very low dust. Their narrower application spread (12m) with a sharp cut-off minimises direct entry to drains and streams.
✁ IF YOU WOULD LIKE TO HEAR MORE, FILL THIS REPLY SLIP OUT AND MAIL TO: Quin Environmentals (NZ) Ltd, PO BOX 125-122, St Heliers 1740, Auckland, or ALTERNATIVELY: Scan it and email it to quinfert@xtra.co.nz Name:........................................................................................................................ Phone: ................................................ Mobile: ........................................................... Address: .......................................................................................................................................................................................................................................................... Email address: .................................................................................................................................................................................................................................................. Farm type: ........................... Hectares (effective)..................................... Soil tests available:
Yes
No
Used RPR before:
Yes
Fertiliser applied: No
Looking for:
Spring
Autumn
Fertiliser advice
Not regularly Soil testing
Fertiliser
Farm visit
Best time to phone: ................................................... Best date/time to visit farm: .............................................................................................. Are you interested in coming to a talk by Dr Quin in your area?
Yes
No
Maybe
Are you interested in our Supporters’ Discount?
Yes
No
LK0096157©
Hopefully the threatening drought in some areas will be over soon with forecast rain on the way. Quinfert RPR, QSR and RMA are being trucked from Tauranga all over the North Island, from north of Kaikohe to Martinborough. The smaller operation in Timaru is now picking up a head of steam as well, with truckloads going all the way south. Many clients have expressed their relief that a true RPR, with low cadmium and uranium to boot, is now available to farmers again. For years they have had to put up with offerings described as RPR but which actually contain high-cadmium RPR blended with either the waste slimes from the Boucraa manufacturing rock beneficiation plant (PB3) or Moroccan manufacturing rock (some of which can contain over 550 ppm uranium, believe it or not). Why would anyone do that to farmers? The only reasons are can think of seem too dark to be possible, but there has to be a reason. I am really excited about the opportunity RPR presents to demonstrate that intensively grazed pasture can co-exist with low P run-off and leaching and therefore far lower eutrophication of waterways and lakes. For far too long, councils have been prevented from looking seriously at what improvements in water quality can be achieved simply by farmers changing to more efficient forms of nutrient, because the industry just wants to keep making and selling superphosphate and granular urea. The Councils have been told rubbish like ‘we have to sell superphosphate sorry; RPR is far too hard to get’ (I’ve proved it isn’t), ‘it’s too dusty’ (Quinfert RPR has less dust than much super has, and unlike super you can easily remove dust simply by wetting it with 3% water. This has no adverse effect on its spreadability) . And ONEsystem nbpt-treated prilled urea is here, allowing feed requirements to be reached with 50% less N because environmental losses are minimised. Obviously, fencing off waterways, replanting areas of farms susceptible to sediment loss with trees and native vegetation, and installing wetlands where feasible must continue. More attention must be given to increasing the storage capacity of effluent on dairy farms, so that it does not have to be applied to already-saturated soil, and efficiently irrigating the effluent over all suitable land area on the farm. But none of these physical mitigations will prevent the huge leaching of soluble
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
19
Crops offer a good investment potential Hugh Stringleman hugh.stringleman@globalhq.co.nz PERMANENT crops for eight industries with collective market values of more than $20 billion have good investment potential in the primary sector, agricultural economist Con Williams says. Williams, who works for the MyFarm syndicate organiser, said pipfruit offers the best mix of investability and opportunity followed by tree planting with carbon credits. He showed MyFarm seminars for investors and analysts last week a heat map analytical approach across the whole primary sector on factors such as asset values, market revenue, land prices, establishment costs, stage of growth and risk-adjusted returns. The map helped highlight real value propositions and new industry momentum in which investors are climbing aboard a train that is already moving. The size of the market and the liquidity are also important factors to consider along with an
industry’s expansion potential in terms of access to intellectual property, capital and labour. Some of the crops have seen returns on capital of 10-12% a year over the past five years and might be topping out in terms of the asset values, Williams said.
Apples are ranked number one for investability.
He singled out gold kiwifruit orchards in Bay of Plenty with $1 million-plus a canopy hectare prices. While not expecting a continuation of the recent returns Williams thinks there are opportunities in many industries that will generate 5-6% returns on investment over the next five years. The heat map includes dairying at over $100b in capitalisation and industry value, meat and
wool at $80b, forestry at $14b, and kiwifruit at $8b. The primary sector, excluding fishing, has over $200b of assets. Going deeper into kiwifruit, he said prospects are good for gold returns at $10 a tray when factoring in huge emerging markets in China and North America. The Zespri model has strong factors such as branding, reinvestment, category growth and new product in the future. On the negative side are high orchard values and the biosecurity risks associated with BoP population density and port location. Apples are ranked number one for investability because of several factors, headed by NZ’s worldclass productivity. Average orchard yield here is 60t a hectare but some new, high-density growing regimes are achieving 100-130t a hectare. Markets for NZ apples are widespread and the industry is not as reliant on China as many others. New varieties are in the pipeline
Plant Manuka. Lots more Manuka.
RETURNS: Pipfruit then carbon credit trees offer the best agricultural investments, MyFarm economist Con Williams says.
and club varieties offer a means of access for new growers though there have been some failures with that approach. Some older orchards could be regrafted to higher-performing varieties but that promises only 12 to 15 years life before the need for replanting. Carbon forestry investment starts with a big advantage of cashflow from carbon credits in the early years and in the case of manuka plantings the credits are on top of crop returns. Government decisions to come
this year will probably result in a higher carbon price in the medium term. At $25/t that would add 2.5% to the standard 7% forestry return on investment and at $50 total returns would climb to 13% a year. Williams said a combination of a floor price for carbon credits and an averaging approach to multirotation forests would avoid the end-of-cycle return and liquidity risks for investors posed by the requirement to pay back carbon units.
Manuka Provenances
• New Zealand’s largest supplier of Manuka plants • All cultivars selected for high levels of DHA (which directly relates to UMF in Manuka honey) • Provenances include Northland, Waikato, Coromandel, King Country, East Coast, Raetihi, Wanganui, Taranaki, Wairarapa, Marlborough and West Coast (SI)
Northland
Coromandel
Kawhia
East Coast
Wairarapa
Taranaki
• We can organise pest control, pre plant spraying, plant deliveries, planting and post plant management • 1 Billion Tree Fund (1BT) grants available. $1800/ha for manuka/kanuka plantations, $4000/ha for indigenous plantations. Additional funding available for erosion prone land and fencing.
Contact us today on Ph: 021 220 9031 or E: andrew.w@kpn.co.nz
0800 0800 125 125 287 287 0800 125 287
www.kauriparknurseries.co.nz www.kauriparknurseries.co.nz www.kauriparknurseries.co.nz
LK0096634©
• We will help you prepare your 1BT grant applications
News
20 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Field days focus on working machines Annette Scott annette.scott@globalhq.co.nz
MORE ON OFFER: The South Island Agricultural Field Days next month are set to be more diverse than ever with demonstrations including maize harvesting. Photo: Annette Scott
WITH 500 exhibitors registered and more than 30,000 visitors expected the 2019 South Island Agricultural Fields Days (SIAFD) is set to be bigger and more diverse than ever. Well known as an opportunity for farmers and contractors to see the latest agricultural machinery, this year’s field days feature something for the whole community with an expanded lifestyle section and a tractor pull competition.
LASTS AT LEAST 20 WEEKS.
THAT’S GOT THE TEATSEAL OF APPROVAL. Only Teatseal is proven to last for at least 20 weeks – meaning you can be sure you’re covered and doing the right thing. But getting that confidence takes time, effort and extreme care around hygiene. That’s why we’re working tirelessly with farmers, vets and the dairy industry to ensure best practice in the shed. With training material, videos and all the gear you need to make it easy. Talk to your vet today about using Teatseal.
Preparation is key, contact your vet or learn more at teatseal.co.nz *Zoetis Study No.A131R-NZ-14-251 (A3251). Zoetis New Zealand Limited. Tel: 0800 963 847; www.zoetis.co.nz. TEATSEAL is a registered trade mark of Zoetis. ACVM No. A7294. RVM; Available only under Veterinary Authorisation. ZOE0051
One of the oldest and largest agricultural events in the South Island, going back more than 65 years, SIAFD is on March 27-29 at Kirwee. Held every two years the event attracts about 30,000 visitors over the three days. SIAFD organising committee chairman Rodney Hadfield said interest in this year’s event has been strong with exhibition sites very close to capacity. “We have done a lot of work since last time in terms of gravelling all the laneways and improving infrastructure but the format will be the same as always.” Hadfield said the field days provide huge opportunity for people in the agricultural industry to network, meet customers and view new machinery. With its focus on presenting working machines SIAFD reinforces the relationship between farmers, manufacturers, retailers and technical experts. “The field days are all about getting the people who want to buy to come along and look. “It’s an event for people who are really ready to make financial decisions and spend their money. “We want them to come to our event and get their field days deals.” At the 2017 event the SIAFD organising committee introduced a trial lifestyle section. Its popularity has led to its expansion this year. SIAFD lifestyle section co-ordinator Michaela McLeod said there will be more than 100 lifestyle stalls. “They will showcase a wide variety of products from garden sculptures and outdoor furniture to jewellery, clothing, art, plants and food products. “Local producers will be participating and we will also have a food court in the lifestyle section with Funky Monkey Bars showcasing their jungle gyms and play equipment next door.” This year will be the first time a tractor pull contest has been staged at SIAFD since the event moved to its new home at Kirwee. The first two days will be practice days and day three will be the competition day. “We will have three classes of competitors – standard, modified and pre-1985. “Already a number of people have said they will bring their modified tractors from different parts of the South Island so it should be an exciting event,” Tractorpull NZ general manager Vaughan Coy said. Tractors in each of the three competition categories pull a sled that weighs a percentage of its weight, which means tractors of different horsepower ratings can compete against each other, Coy said. Entry forms for the event can be found on the Tractorpull NZ website www.tractorpull.co.nz. Several exhibitor competitions will again be part of the field days. The Philip Van de Klundert Trophy for the best demonstration performance and commentary will be presented on Friday at the completion of all demonstrations. The 2019 Agri-innovation Award and cash prize of $2500 will be presented to the best New Zealand-made innovation or invention that provides benefit to farmers. The innovation award includes machinery, implements, attachments or tools for use in agriculture or other forms of primary production. New to the field days this year is the Smart Farming Award. This award, sponsored by Agri Magic, highlights the ever-increasing sophistication in farming businesses with the incorporation of new technology to support operational and strategic decisions enabling farm businesses to deliver and respond to changes driven by communities and customers. Hadfield said SIAFD acknowledges these changing times and is keen to showcase exciting smart farming innovations that can enable farmers to make better decisions. A panel of three industry representatives will judge the contest with the winner taking away a $1500 prize and the runner-up getting $500. Tickets to SIAFD are $20 a day and can be bought at the gate. Children are free entry.
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
21
Front-footing the labour shortage Richard Rennie richard.rennie@globalhq.co.nz
JOBS: The promotion might provide a path for more full-time workers in the kiwifruit sector, Kiwifruit Growers chief executive Nikki Johnson says.
60% of the staff they requested from the Government. But Johnson is adamant the RSE scheme is not the magic bullet to deal with the sector’s impending shortages. “There is room for further RSE growth in Bay of Plenty. They are a small part of our total workforce.” The work promotion programme is also a concerted effort by the industry to demonstrate to Immigration Minister Iain Lees-Galloway the sector is doing all it possibly can to attract local workers. “Last year, after the labour shortage issue was raised through the media we were surprised at just how much interest there was
and the number of people who applied as a result.” Efforts to improve worker welfare and dispel the belief seasonal workers are not well treated are also part of the campaign. From last year all employers must be registered and audited through a global assessment programme to ensure workers’ rights are met. A shortage of accommodation has also long been a challenge and the industry has been pushing to get the prohibitive cost of accommodation construction reduced. “This has been quite a hot point with the minister.”
Social media is being widely used to promote the campaign and increase worker awareness about the types of jobs available and what to expect when taking on seasonal work. A new Facebook page and You Tube videos with links to Kiwifruit Growers target younger workers. Johnson said it is possible the campaign will provide an open door to get workers into full-time, year-round jobs in a sector now capable of offering work for 48 weeks a year. The campaign is not a one off effort with estimates kiwifruit tray volumes are likely to lift from 140m now to almost 200m in six years.
Last year, after the labour shortage issue was raised through the media we were surprised at just how much interest there was and the number of people who applied as a result. Nikki Johnson Kiwifruit Growers
Look after your cows and they will look after you. Safe, fast, effective hoof care. 07 346 0660
www.hoofstar.co.nz • enquiries@hoofstar.co.nz
LK0096527©
THE kiwifruit industry has stepped up its efforts to attract seasonal staff with a campaign to drum up both locals and overseas workers to avoid a looming labour shortage this season. Last year the sector reported a shortage of 1200 workers and was forced to declare an official labour shortage, hard on the heels of the apple industry. This season’s crop estimates are reported slightly up on last year’s 150 million tray harvest, prompting the sector to try to front foot any shortage before harvest kicks off in coming weeks. Funded through Kiwifruit Growers the Kiwifruit Jobs NZ campaign aims to rekindle interest in the seasonal sector by emphasising the sector’s pay rates, accommodation availability, flexibility and work variety to locals as much as to traditional backpacking workers. “I am not sure we have seen such a campaign before from a seasonal sector with industries like dairying running campaigns aimed more at full-time, permanent type work,” Kiwifruit Growers chief executive Nikki Johnson said. The shortages have resulted from a combination of high employment rates, fewer people on working holiday visas choosing to work in the industry and what Johnson describes as outdated preconceptions around pay rates and worker welfare. Kiwifruit Growers’ labour needs analysis survey last year found pay rates for the sector average $20.95 an hour. Unskilled pack house workers earned $16.13 while skilled pack house roles can earn on average $19.23 an hour and some positions like forklift operators earn up to $38 an hour. “Workers will find that orchard work will tend to pay higher rates with Gold harvesting at about $20.57 an hour with hours typically shorter and more likely to be interrupted by weather,” she said. That rate was before the minimum wage being lifted and picking rates this season are expected to be higher again at $23.50 an hour. Pack house work tends to be at a lower rate but offers longer shifts and is not as weather dependent. The upcoming opening of a Waikato University campus provides a new source of seasonal staff while Kiwifruit Growers is investigating the interest from the high proportion of retirees in Bay of Plenty. “This would involve looking at shorter shifts, more flexible days on and off. There are also what we call underutilised workers, such as mothers who may be able to work together job sharing shifts.” Bay of Plenty gets an extra 350 Recognised Seasonal Employer (RSE) workers from the 1750 extra workers permitted this season, with all regions receiving about
RAV-25FEB-FW2
Bring out the best Trio® and Duo® Low Dose
Get your calves off to the best start after weaning. Trio Low Dose and Duo Low Dose are your premium oral combination drenches for the control of roundworm. Fight parasite resistance with their triple and dual active combinations. Optimise your calves’ potential for autumn grazing with our extensive parasite control range. Talk to us about the best fit solution for parasite control in your calves.
0800 100 123 ravensdown.co.nz Smarter farming for a better New Zealand®
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
23
Small players do own training Neal Wallace neal.wallace@globalhq.co.nz WHEN the ADB Williams Charitable Trust established a farm training school manager Jed Murphy didn’t have to look far to find a successful model he could replicate. The trust owns two Dannevirke farms, Pukemiro Station and Coonoor, covering 1441ha and for four years worked with Taratahi Agricultural Training Centre by providing training access for students. In January last year it introduced its own cadet scheme, a move in keeping with the trust’s aim of using farm proceeds to fund agricultural training and community-good projects. “I guess we got a taste of training and development and a desire to work with a smaller number of people ourselves,” Murphy said. He looked to schemes at Smedley and Waipaoa and set up a two-year, on-farm cadet training programme, a model also used by trainers including Coleridge Downs in Canterbury and Jeff Farm in south Otago. The trust takes three trainees a year so has six training at any one time. The trainees spend the first year working alongside station staff and are gradually given more responsibility as their knowledge and ability expand. By the end of their first six months they get to rear a heading dog pup which they train and begin working on stock the following year. Their training includes one day a week of classroom work as they progress towards level three and four qualifications through the Eastern Institute of Technology. Experts, such as dog handlers and shearers, are called in as needed but the students’ pastoral care is also important so the trust employs someone to ensure their personal, social and academic needs are looked after. “By the time they leave they can cook meals for the team, put up a fence, shear sheep and work their heading and huntaway dogs.” The trust meets the students’ course fees. Like Pukemiro Station, Coleridge Downs in Canterbury has many more applicants each year than the three places available. Last year it had 15 applicants. “My worst job is saying to the ones that can’t come that we can’t take them,” manager Tony Plunkett said. The small intake ensures students have the necessary one-on-one tuition and he can keep a close watch on costs and students. But while bigger providers like Taratahi have a role in the sector that business model is not working, which is concerning for the industry. Coleridge Downs runs 42,000 stock units and the students effectively do the work of
My worst job is saying to the ones that can’t come that we can’t take them. Tony Plunkett Coleridge Downs shepherds while being taught on the job. It also employs a full-time cook and part-time training manager. Plunkett said other big farms could also train cadets but it requires some patience and a willingness to work with young people. “It’s about giving your time, leadership and a bit of teaching.” Meanwhile, training at the Central North Island Dairy Academy near Taupo is unlikely until next year though there is slim chance it could resume in July. It is understood 10 students are affected by the course collapse, a joint venture between the Theland Group and Taratahi, in which students’ study for Massey University’s agriculture diploma. Theland Purata Farm Group agribusiness chief executive Justine Kidd said it is in discussion with Dairy Training to replace Taratahi as the education provider but there are several issues, meaning the earliest start
JOIN IN: Other big farms could run their own cadet schemes, Coleridge manager Tony Plunkett says. Photo: Johnny Houston
date could be June 1 but more realistically January next year. “We have agreed that the academy is an exciting potential asset for the industry and the concept of the academy is one we all want to progress with, however, at this point in time the commercial model relies totally on significant financial support
from Theland-Tahi Farm Group, $200,000 a year, and there has not been any progress made to reduce this cost in the time the academy has been operating,” she said. Chinese-owned Theland consists of the Tahi Farm Group of 16 North Island farms and the Purata Farm group of 13 South Island farms.
In 2012 Shanghai Pengxin and Hunan Dakang Food and Agriculture bought 16 former Crafar Farms with Landcorp contracted to sharemilk the properties. In 2016 Shanghai Pengxin bought the 13 Synlait farms taking its total holding to 12,000ha milking 30,000 cows.
A GATE TO THE FUTURE: Pukemiro Station manager Jed Murphy with farm cadets at work on the Dannevirke training farm. Photos: Vicki O’Connor
SORTING SHEEP: Pukemiro Station manager Jed Murphy, second from left, instructs farm cadets James Noble-Campbell, far left, Jesse McIntyre, centre, Connor McIntyre and Zane Rogers on the Dannevirke farm.
IMPARTING KNOWLEDGE: Pukemiro Station manager Jed Murphy with farm cadet Willie Edgecombe on the Dannevirke farm.
TIME OUT: Pukemiro Station farm cadets, from left, Jesse McIntyre, Zane Rogers, Willie Edgecombe, James Noble-Campbell, Connor McIntyre and station manager Jed Murphy on the Dannevirke training farm.
News
24 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Sales dampen bright sell-off
GONE: Sales lost because of a late start to spring sales are unlikely to be recovered, PGG Wrightson chief executive Ian Glasson says.
Alan Williams alan.williams@globalhq.co.nz PGG Wrightson has another approval for the sale of its seeds business but the operating environment is a dampener. Earnings in the rural service division in the latest half year are about $5 million behind the previous year because of a delayed start to spring sales and a slow recovery after the heavy rains in
ONE SOURCE FOR PASTURE SOLUTIONS THAT DELIVER.
the few months leading up to December 31, chief executive Ian Glasson said. The impact is largely on the retail business (the stores and Fruitfed), which have about 85% of the earnings in the first six months of the financial year. They were unlikely to be recovered, Glasson said. As well, the water business remains negatively impacted by the lack of on-farm irrigation development. Rural services also includes the agency business, notably livestock, which has most of its earnings in the second half of the year between January and the end of June. Softer first-half earnings were also partly caused by weak international demand for wool and a slow start to the spring season for rural real estate. The 2017 interim rural services operating earnings (Ebitda) were $23.36m. Latest half-year earnings will be released next Wednesday. The company has already signalled lower earnings in the seeds and grain division because of continuing problems in the South American part of the business. Those earnings will be reported as discontinued operations because of the pending sale of PGW seeds to Danish group DLF Seeds. After getting competition approvals last week from NZ and Australian regulators the sale has now been approved by PGW seeds’ research and development joint venture partners, including Crown agencies AgResearch and Plant and Food. PGW was always confident the joint venture approvals would be received but it is pleasing to have that formally confirmed, Glasson said. The remaining approvals required are from the Overseas Investment Office and Uruguay regulators. “We expect that the remaining conditions will also be confirmed soon.” Glasson confirmed the sale, if completed, will provide a capital gain of at least $120m for the group, which would flow through to net profit after tax. The sale price being paid by DLF Seeds is about $431m and PGW has signalled a return of capital up to a potential $292m to shareholders. PGW shares slipped 2c to 54c on the NZX after the earnings warning but retained most of the 10c gain from last week on the strength of the Commerce Commission approval.
Momentum builds for lambs’ wool Alan Williams alan.williams@globalhq.co.nz
Your Farm Source team understand how important the right pasture renewal programme is for driving productivity on farm. With the support of specialist partners, your local TSR can help you get the best out of your pasture this season.
Talk to your TSR or visit us in-store or online today. NZFARMSOURCE.CO.NZ/STORE
0800 731 266
BIDDERS jumped into life to give prices a good boost at Thursday’s Christchurch wool sale. Prices rose across the board, compared to last week’s sale, PGG Wrightson South Island sales manager Dave Burridge said. Lambs’ wool continued to gain strength, especially the more stylish and better prepared fleece, up by 2% to 4%. It was the last weighted sale of the season for fine wools and coincided with a Chinese ban on wool imports from South Africa, after a foot and mouth disease outbreak in the country. Fine wool prices in New Zealand and Australia have gained as a result. In an encouraging sale, strong wools also gained nicely with 35 micron and above gaining up to 5% while at the finer end 32 micron jumped about 12% and 33 micron about 9%. The overall pass-in rate was 5%.
News
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
25
Spring venison prices will rise Annette Scott annette.scott@globalhq.co.nz DESPITE easing venison prices deer farmers can expect a return to a normal pricing pattern in spring, Deer Industry New Zealand chief executive Dan Coup says. Farmers are assured normal seasonal demand, which sees venison schedule prices peaking in spring, will return. “This premium rewards farmers who are able to carry finishing deer through the winter for processing from September to early November as chilled venison. “This is highly sought after by northern European customers during their game season,” Coup said. “We have already seen an easing in the venison schedule since December but no-one is expecting it to fall out of bed. “It is simply a return to a typical seasonal pricing pattern, albeit at a much higher level and with a less of an autumn dip than has been the case in the past.” In 2016 the spring premium was much reduced. In 2017 there was a short price
GOING UP: Farmers can expect a bounce in venison prices in spring and the rebound in stock number is sustainable, Deer Industry New Zealand chief executive Dan Coup says.
dip after Christmas followed by a steady climb in schedule prices from February to October last year. There was strong procurement competition between venison companies for a much-reduced deer kill and an unprecedented appetite for lesser grades of venison from the United States premium pet food market.
“With their spring price premium gone farmers decided it was in their interests to hold more of their deer on-farm and kill them in the autumn at heavier weights. “This increased the proportion of venison that was frozen after processing.” It also reduced the supply of chilled venison to the northern
Deer recovery
1,400,000 StatsNZ – Surveyed deer herd by class 1,200,000 1,000,000 800,000 600,000 400,000 200,000 0 2008
2009
2010
2011
2012
2013
2014
2015
2016
Female deer mated
Male deer (under 2 years)
Male deer (2 years and over)
Other female deer
North Island entries close: 15th March
2017
2018(P)
Europe game season market by 40% over two years. With NZ venison at record prices and prices for premium beef cuts falling in Europe during 2018 some European customers switched from venison to beef. Others substituted NZ frozen venison with European feral venison. That, combined with a long, hot European autumn, reduced the game season from 12 to six weeks and led to reduced sales of frozen NZ venison. “In contrast, game season sales of chilled venison were very strong and if more had been available it would have sold at excellent prices,” Coup said. Since the end of the season there have been very constructive discussions between the individual venison companies and their marketing partners in Europe, some of whom are carrying over stocks of frozen venison from the 2018 game season. “Each company makes its own decisions but everyone clearly sees the importance of farmers getting a spring price premium if Europe is to get the chilled NZ venison it wants for its game season.” The move to a more traditional schedule price curve was predicted by DINZ and venison companies last year. “The peaks and troughs during the year will probably be less pronounced than in the past,” Coup said. That is because of the success of the venison companies in developing year-round markets for chilled venison, especially in North America and under the industry’s Primary Growth Partnership Passion2Profit (P2P) programme in Europe during the summer. Meantime, farmed deer numbers, including the number of breeding hinds and fawns, increased in 2018 according to provisional agriculture census figures released this month by Statistics NZ. That follows a small recovery in
stag numbers in the 2017 census. Coup said the trend is a strong indication of growing farmer confidence in the viability of deer in a drystock farming operation. Hind numbers in the year to June 30 2018 recovered to 413,400 from a low of 392,300 in 2017. It is the first firm indication that the long-run decline in deer numbers that began in the late 1990s has ended and that a recovery is under way. “But what’s even more interesting is that the statistics indicate a dramatic increase in hind productivity.” Farmers reported 84% of hinds weaned a fawn in 2018 compared with fewer than 73% in 2008. “This increase probably reflects the efforts farmers have been putting into improving hind nutrition and management.
We have already seen an easing in the venison schedule but no-one is expecting it to fall out of bed. Dan Coup DINZ “It also means deer farming, along with strong product prices, is able to compete better with alternative land uses.” Coup said that was a key objective of P2P. The 2018 increase in hind numbers of about 5% is seen by DINZ as sustainable if it continues in coming years. “If this growth rate continues it’s one that our venison markets should be able to handle. “By and large it is coming from the expansion of herd numbers on existing deer farms and to a lesser extent from newcomers to the industry. “We don’t expect to see a large influx of new deer farmers,” Coup said.
farmersweekly.co.nz/ewehogget2019
News
26 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Farm safety still not good enough FARMERS need to accept individual responsibility for the sector’s poor health and safety record, the Agricultural Leaders’ Health and Safety Action Group says. On average 17 people die in farm workplace incidents every year and last summer almost 550 farmers suffered injuries serious enough to require at least a week off work. “We all need to step up and take individual responsibility for our unacceptable health and safety performance,” group general manager Tony Watson said. “No one wants to see anyone injured on the farm and there is a clear expectation from our consumers, our communities and our regulator that we need to do better or face the threat of greater regulation. “Farmers can take simple steps to reduce the chances of things going wrong. “Safety protection is a nobrainer and not enough farmers are using the right equipment to stop people getting hurt. “Tractors come with safety frames but as farmers using quad bikes why are we not insisting they come with the same level of protection? “Unfortunately, quad bikes as they are currently used don’t have any safety features to prevent injury in the event of a rollover unless a farmer has retrofitted some form of bar or frame that will provide a safe space for them if their quad does go over. “Farmers do need to consider if quad bikes are the right vehicle for the right job. “If a seat-belt is fitted in the tractor, ute or side-by-side then farmers should be smart and use it just like it’s expected in the car. A seatbelt could well stop the driver getting ejected from the vehicle if it rolls – you just need to watch a crash test dummy video to see this for yourself,” Watson said. Fewer farmers died in
GOOD AND BAD: Kiwis might be the world best farmers but they have a terrible safety record,” Beef + Lamb New Zealand chairman Andrew Morrison says.
Farmers shouldn’t let this abundance of feed turn into a hazard on the farm. Tony Watson Agricultural Leaders’ Health and Safety Action Group workplace accidents in 2017 than in any year since 2009. The number of people injured on farms and needing more than a week off work is also declining. However, despite the downward trend, farm workplace fatalities in 2018 were back to the long-term average of 17 people a year. “We have seen a spate of farm workplace incidents in recent months.
“It comes down to a few minutes of the working day. “It’s about farmers asking themselves what could go wrong? What am I doing about it? And, is it enough? “This period, going into autumn is often a time when there are some big jobs to do, which often means using large vehicles or having contractors on farm. “So, it’s a good time to think about health and safety. “Farmers should think about the jobs ahead and what the risks might be. If farmers have got people working with them on the farm they should talk to them about the risks – including any safety issues from previous years or anything that’s changed. “Keep talking and listening. “Before any farmer or a worker does any job they should take a few moments to think it through. What are the likely risks, how are
you going to manage them and what are the best tools for the job? “It’s been a crazy weather season. “Many parts of the country have heaps more feed than usual – long grass can hide obstacles and ruts that are normally easy to see. “Farmers shouldn’t let this abundance of feed turn into a hazard on the farm. “Farmers should also take extra precautions – they need to slow down a bit, wear the seatbelt in the ute or tractor and fit a safety frame or roll bar to the quad. “The rural sector doesn’t want another statistic. The farm businesses and families need everyone to come home safe and well.” Andrew Morrison, chair of Beef + Lamb New Zealand chairman Andrew Morrison, a group director, said some farmers have stepped up and made health
and safety a priority on the farm but the sector needs to lift its game further. “Every single one of us needs to take responsibility and move from talking about safety to farming safely every day. “Family and community are the foundations of rural NZ. In many cases, family members are working in your farm business or supporting other farm businesses so we need to look after each other. “We should be prepared to call out unsafe behaviour or practices. “Although that can be a difficult conversation, it can go a long way to ensuring someone does not get hurt. “The agriculture sector has a problem with health and safety. “We may be the world’s best farmers but we have a terrible track record of looking after ourselves and each other on the farm and this has to change.”
1 1
THEME ME THEME THEME THEME THE ME THEME THEME THEME THEME THEME THE ME$8.95 THEME THE ME THEME THEME THEME THE ME THEME ME THEME THE THEME THE ME THEME THEME THE ME THEME ME THEME THE THEME THE ME THEME THEME THE ME THEME ME THEME THE THEME THE ME THEME THEME THE ME THEME THEME THEME THEME THEME THE ME THEME THE ME THEME THEME THEME THE ME THEME THEME THEME THE ME THEME THEME THE
Incl GST
t Effluen & g Croppin
Keep an eye out Our OnFarm Story this month features the 2018 Auckland/ Hauraki Share Farmers of the Year Chris and Sally Guy.
The couple are combining their love of the city with their passion for the land but farming under the big city lights, there are many challenges including urban sprawl to deal with. Effluent is always a hot topic and March is a good time to think about effluent management. Hear from industry experts on what to do and from farmers about what they are doing.
Urban invasion
Farming a family affair r the Searching fo cow perfect rmers European fahappy un
Get the full story at farmersweekly.co.nz rmers milking Auckland fa re of city lights under the gla
2460DF-12x7
Dairy Farmer is in your letterbox from March 4
9
March 201
A GOLDEN
KIWIFRUIT OPPORTUNITY? OUR LATEST INSIGHTS REPORT ON KIWIFRUIT The nationwide release of 750ha of SunGold Kiwifruit licenses could present an opportunity for existing growers and potential investors. Our 2019 report* on the Kiwifruit industry brings together industry trends and what we think are key investment considerations. With local knowledge, experience and connections our team of kiwifruit specialists can help you make informed decisions, making your banking a little easier. To find out more go to anz.co.nz/businsights
*Our report is provided for information purposes and is not financial advice. You should get professional advice before making investment decisions. ANZ Bank New Zealand Limited 02/19 ANZ20728_FW
28 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Newsmaker
Hogan keen on free trade but ... The European Union’s top agriculture official Phil Hogan has been in New Zealand. He spoke to Nigel Stirling about free trade talks and the difficulties the EU still has in opening its markets up to full-blown competition from Kiwi farmers.
A
CLASSIC European free-trader is how one New Zealand diplomat describes European Union Agriculture Commissioner Phil Hogan. He’s eager to clear away obstacles for European exports but not so keen when the boot is on the other foot. The man himself, of course, rejects the description. “I come from Ireland and 80% of everything we produce we export. “So, the notion that I would be anything other than a free-trader is certainly something I can’t understand.” Wow. The EU has suddenly found religion and the completion of free-trade talks on terms entirely satisfactory to beef and dairy farmers significantly sidelined from the European market in recent years by eye-wateringly high tariffs must now be a mere formality. Is it too late to cancel the firstclass airline tickets and highpriced accommodation waiting for NZ’s trade negotiators heading to Brussels this week to again lock horns with their EU counterparts? Not so fast. While the EU wants to set an example in the era of Trump and rising trade protectionism Hogan says it won’t be at the cost of its own farmers being eaten alive by super-efficient rivals from Down Under. The protectionist spirit remains alive and well in the EU, with the commission only last month disposing of the last of 374,000 tonnes of skim milk powder – roughly equal to NZ’s annual production of SMP – it acquired to shore up demand and shield
NEGOTIATE: Phil Hogan and trade minister David Parker will have to find common ground to get a trade deal done.
KEEP TALKING: Stu Weatherstone, European Union agriculture commissioner Phil Hogan, Bryan Weatherstone and Fonterra chairman John Monaghan during visit to Weatherstone Dairy Farm.
its farmers from a dip in prices between 2015 and 2017. Hogan said it will be a tough sell to dairy farmers back home to clear such a large stockpile one day and on the next back an open and liberal free-trade situation with a very competitive dairy country like NZ. “So there will be sensitivities.” Cutting a better deal for beef exporters might be even tougher. Exporters here have access to several EU beef quotas created under the auspices of the World Trade Organisation. But the tonnages are relatively small and high in-quota tariffs mean NZ exporters are easily undercut by low-cost rivals and don’t sell large volumes to the EU. And the 1300 tonnes set aside for NZ’s exclusive use is so tiny it caused former trade minister Lockwood Smith to once observe
to this newspaper that not much more than the amount produced in a year from his Northland farm would fill the quota. Unpromisingly for NZ exporters, European beef producers are in the midst of a price slump, which could deepen if Irish producers are shut out of the British market by a no-deal Brexit next month. “We have 116% self-sufficiency in beef at the moment … the producers of beef in the EU would be concerned about further access for any country,” Hogan said. Since a 45,000-tonne annual quota for hormone-free beef was created for qualifying countries after the EU lost a case at the WTO a decade ago NZ exporters have used a mere 900 tonnes. Meat industry sources dispute Hogan’s figures but his choosing to highlight what the EU sees as low use of the quota suggests it sees beef as a lower priority for NZ and
something its negotiators might be able to more easily railroad their counterparts on. Certainly, NZ risks being left in the dust by beef superpowers in the Mercosur group of South American countries, the United States and Australia, all of whom are in the middle of talks for freetrade deals with the EU.
So, the notion that I would be anything other than a free-trader is certainly something I can’t understand.
However, the EU is in a negotiation and for it to get what it wants it must offer something in return or risk the other side walking away. “There has to be give and take to get a deal and this is what we are going to negotiate,” Hogan says. So what can NZ offer to persuade the EU to prise open the door to its lucrative but highly protected markets? Signing up to its system of legal protections for products linked to European place names, known as Geographic Indications (GIs), is top of the list. Along with dairy producers in the US and Australia, the NZ industry has for years fought against the appropriation of food names it believes have long since passed into common use and are not the property of any one country or continent. NZ dairy companies also worry giving ground on names like feta and parmesan could lead to
claims on common commodities like cheddar and edam that make up a far larger share of revenue for the industry. Hogan denies the EU is trying to squeeze out its competitors. “If NZ produces sufficient evidence and data to show that the products are generic then the EU will accept that argument.” Hogan says he has an ally in the NZ wine industry, however, which created its own register of names after Parliament passed the Geographical Indications (Wines and Spirits) Registration Act in 2017. “The wine industry, in particular, are telling me on my visit here to NZ that they want to continue their ambitious programme of expanding into as many geographic areas as possible. “In the wine trade it is true the significant price premium they are able to get on the world market, particularly in the European markets, is relating to this designation.” The case for GIs might make sense to the producers of Marlborough sauvignon blanc or Central Otago pinot noir who surely aren’t about to be mugged by the EU’s trade negotiators. Not even the EU can claim those names and producers are glad for the extra legal protections it gives them in overseas markets where the increasing cache of NZ wines makes them ever-more susceptible to being counterfeited. In its recently concluded trade deal, Japan agreed to restrict its producers from using the names of 200 products registered as GIs by the EU. Try selling the case for GIs to producers of those products in NZ.
MORE GOOD NEWS FOR FARMERS: LESS TESTING AS TB DECLINES ERADICATION PROGRESS MEANS TB TESTING REDUCTIONS FOR MORE THAN 600 HERDS
Farmers will enjoy the benefit of less TB testing as OSPRI’s TBfree eradication programme reduces disease control areas.
The farming industry’s investment in TB eradication is paying off again. This year’s disease control area (DCA) changes affect 350,000 hectares, about 600 herds and result in 33,000 fewer TB tests per year. The changes are effective from 1 March. If you’re in a region where disease control areas have been reduced, you’ll benefit from fewer TB tests as testing area requirements are relaxed. OSPRI’s TBfree programme divides the country into a number of disease control areas. Each has different TB testing requirements and control measures depending on the level of risk of TB being transferred from infected wildlife (mainly possums) to cattle and deer. Intense TB testing, movement control and both ground and aerial pest control are used to stop the spread of TB. As OSPRI’s work proves successful in each area, disease control areas are redefined and testing requirements relaxed. Over the past seven years, OSPRI’s TBfree programme has eradicated TB from 2.02 million hectares (as at the end of 2018) and infected herds have been brought down to 35 – a huge decrease from 1700 in 1994. OSPRI is making terrific progress towards its goal – eradicating TB from New Zealand by 2055. Milestones on the way to eradication include proving freedom from TB in cattle and deer herds by 2026, and freedom from TB in possums by 2040. CASE STUDY
NORTH ISLAND Roger Beck is pleased to see the back of bovine TB. “This was Battle Zone A back in the day, this area just north of Taumaranui. TB was rampant in this part of the world,” he says. Now it’s a TB success story – a Vector Free Area clear of TB-infected possums, where TB testing has been reduced as the risk of herd infection recedes. Roger farms about 760 hectares of hill country running about 3200 breeding ewes and between 600 and 800 cattle. “Plus we take on around 160 grazers from May-to-May,” he says. “That would have been unthinkable before TB was removed from this area.” How that has been achieved is a story of cooperation, collaboration and about 30 years of consistent hard work. “We’ve been here since 1990 but we had TB on-and-off for the first eight
Roger Beck
or nine years. We got clear in 2003. So we know a fair bit about managing TB.” “A concerted effort by everybody is what got rid of TB around here,” says Roger. “Not just conscientious testing, not just possum control, but a group approach by all involved – the farmers, the Regional Council, the Animal Health Board [which became OSPRI].” “I really believe in the three-legged stool approach: TB testing, stock movement control and possum control,” he says. “The place was crawling with possums in the 1990s, and they were spreading bovine TB among the cattle herds,” Roger remembers. “But that concerted effort took possum numbers right down and removed the disease from the area.” The proof of a healthier environment is in the rata flowering – “for years we thought they were dead!” – and in Roger’s garden. “We used to fight the possums for our fruit and roses – they’d eat the lot. Now our competition is from the kereru, which is a nice problem to have.” And TB testing time is not the burden it once was. “I don’t get nervous about TB testing anymore. I used to be a nervous wreck ahead of TB testing because you never knew whether you were going to get a reactor and have to slaughter good animals.” Roger has done great service for the farming community with his representation on the regional TBfree committee and is now stepping down and is ready for a young farmer to take the reins.
TBfree is an OSPRI programme
“There’s a bit of a disconnect coming with the next generation, because TB is just ancient history as far as they’re concerned,” he says. “We’ve achieved every goal that we set, and sooner than anticipated, so I don’t doubt we’ll see the end of TB in livestock by 2026, and I’m pretty confident we’ll have it all gone before I throw my towel in,” Roger says. “The scary thing is – and this will be the challenge for educating the next generation – if we take our foot off the throttle now, we could easily go backwards in quick time. They need to realise how serious it was, and any tapering off now could see us slide backwards. “The last possum will be the hardest one to kill, and the last bit of infection will be the hardest to get rid of, so we’re going to have to keep pouring resources into it for a while yet.” Disease Control Area changes come into effect on 1 March 2019. Check the status of your property with an interactive map online at ospri.co.nz/dcamap.
Visit
tbfree.co.nz/dcamap to check which disease control area you’re in. New areas will be available on 1 March.
ospri.co.nz
0800 482 463
YOUR NAIT RESPONSIBILITIES A person in charge of animals (PICA), is responsible for providing information to NAIT about themselves, the animals they are in charge of and the farm locations at which their animals are kept. This requires 5 easy steps: • Register with NAIT. • Register your location. • Tag and register your animals. • Record and confirm movements. • Keep your NAIT account up to date.
DEER SPECIAL TESTING AREAS Deer herds in the regions marked on the map will not be required to test for TB unless risk factors for individual herds are identified.
MOVING STOCK? Your pre-movement responsibilities: • Cattle and deer 90 days or older located in a movement control area (MCA) must complete a clear TB test within 60 days prior to being moved. • Pre-movement testing is not required for stock going direct to slaughter. • Stock must be NAIT tagged and individual animals registered in the NAIT system. Your movement responsibilities: • An animal status declaration (ASD) form must accompany all movements of stock. • Animal movements must be recorded and confirmed in the NAIT system by both the sending and receiving parties within 48 hours. Note: In certain circumstances exemptions to pre-movement testing in MCAs are allowed. Please phone 0800 482 463 to apply for an exemption permit.
CHECK MOVEMENT CONTROL AREAS Is your property or the property you are receiving stock from in an MCA? MCAs are areas where TB-infected wild animals pose an increased risk to stock. Pre-movement testing is carried out to minimise the spread of bovine tuberculosis.
TBfree is an OSPRI programme proudly funded by:
DISEASE CONTROL AREAS FROM 1 MARCH
Movement control area Pre-movement testing Yearly testing Special testing area Yearly testing Special testing area Two-yearly testing Special dairy testing area Two-yearly or three-yearly testing Surveillance area Three-yearly testing Movement control area reduction
FURTHER INFORMATION To view our interactive map that shows whether you are in a movement control area, special testing area or surveillance area, simply enter any New Zealand address into the search bar. ospri.co.nz/dcamap
Reductions across 27,000 hectares of the Hokonui area affect 40 herds and mean 2800 fewer tests per year. TBfree needs support to finish the eradication programme. “It’s hard to muster support from young farmers who have no experience of how bad a TB infection can be – for your life and your business,” he says. “Compliance with the rules is the main thing. NAIT can make things a lot more transparent than they have been, and that would be a good thing.” Peter calls for sticking with the programme. “We’re so close to finishing the TB battle, we don’t want to give up now. That’s for sure.” And for rallying the younger generation of farmers. Peter Grant’s neighbour Nick Wadworth, is a young farmer, in the Otapiri Gorge, half an hour north of Winton. It’s rolling-to-steep country, a mixture of pasture and tussocky native bush. “I’m 30, and pretty young to the committee, but the thing I always have in the back of my mind is people who aren’t involved in farming bagging the need for pest control without much knowledge of what we’re facing or the effects of TB. I’m always ready to go along and defend farming,” says Nick.
Peter Grant
CASE STUDY
SOUTH ISLAND Bovine TB eradication progress in the southern South Island has a spiritual home in the Hokonui Hills. The forested outcrop of hills in central Southland lie within a triangle formed by the towns of Gore to the east, Lumsden to the north, and Winton to the southwest, rise to about 600m and cover approximately 1200 square kilometres. The Hokonui is a ‘proof-of-freedom’ site for eradicating bovine TB from wildlife, the result of years of intensive ground-based possum control supported by two aerial operations. Before the TBfree programme took aim at the Hokonui, the area was a TB hotspot. TBfree champion Peter Grant has seen history made. Twenty years ago, Peter had the worst infected herd in Southland. “We’d be testing anywhere from 1800 to 2000 cattle a year, and we’d get two or three reactors. Percentage-wise it was low, but it was enough to keep us as an infected herd under movement control.” “To my way of thinking, there was nothing else but possums bringing TB into the herd because
they were a closed herd, and the only movements were animals going to slaughter,” says Peter. That’s when he got involved as a staunch supporter of the TBfree programme and the TB committee chair for Southland. “We never really got anywhere with stemming the rate of infection until we spent some money ourselves and brought in some people to do some vector control work for us. The place was crawling with possums; they were everywhere. The dogs were catching them every gully we went past.
“I haven’t encountered TB on our property. Dad’s semi-retired, but I do remember him having it when I was a wee nipper. It was probably the biggest issue for him over the years, but the herd has been C10 for years, and I haven’t had any reactors since I came home about four years ago.” Nick sees a bright future as the 2026 TB freedom in livestock goal gets closer. “We’ve got a few possums around, but not an overpopulation. I enjoy hunting, and a lot of hunters who come on to the property. We know what TB looks like, so we keep an eye out for anything suspicious-looking.”
“About that same time, the TBfree movement came to life and decided to have a major push on possum control. It’s has been hugely effective in reducing possum numbers and bringing infected herd numbers down to zero. “We’ve been clear since 2001,” Peter says. “but we’re wary about being vigilant for infection through regular testing, and through keeping possum numbers low.” The Disease Control Area regime for the Hokonui Hills area is changing from annual to biennial herd testing on 1 March, which reflects the lower risk following the area being declared Vector Free in July 2017.
Nick Wadworth
NATIONAL REDUCTIONS
FURTHER INFORMATION To view our interactive map that shows whether you are in a movement control area, special testing area or surveillance area, simply enter any New Zealand address into the search bar.
ospri.co.nz/dcamap
TBfree is an OSPRI programme
ospri.co.nz
0800 482 463
New thinking
THE NZ FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
29
BIG STEP: The latest chapter of technological development will exponentially multiply the volume and accuracy of information collected, New Zealand Internet of Things Alliance executive director Kriv Naicker.
Next big technology step is here The technology’s name, The Internet of Things, sounds both daunting and obscure. But dig below the label and it refers to some very clever technology that will have an application for farmers. Self-confessed technophobe Neal Wallace talks to Internet of Things Alliance executive director Kriv Naicker.
M
ANY farmers are already dabbling in technology’s latest and greatest applications. Checking the weather, measuring the growth and quality of pasture or crop, weighing animals and checking soil fertility generate data to assist decisionmaking and administration is made easier with connections to Nait and with rural professionals. Those things form the basis of the Internet of Things (IoT). New Zealand IoT Alliance executive director Kriv Naicker says the latest chapter of technology will exponentially multiply the volume and accuracy of information collected, which is then processed through analytical programmes into formats useful for farmers. Such is the improvement in the quality of sensors it has allowed the creation a host of data and analytical programmes that process it, Naicker says. Now the IoT is becoming lowcost and accessible. Those sensors can measure everything from soil temperature and water quality to air movement and some come with a 10-year battery life. Earlier issues with sensors unable to measure water quality
in deep bores, is being overcome, reflecting gains in technology. An IoT trial for arable farmers is being launched to showcase the technology and how it can help with farm management and sustainability. Naicker says the pilot at Lincoln University’s Kowhai Farm aims to demonstrate that with better use of digital technology NZ primary sector businesses will improve productivity and be more competitive irrespective of their size or the sector in which they operate. Being done in conjunction with the Ministry for Business, Innovation and Employment along with the Foundation for Arable Research it will showcase the technology needed for precision agriculture. “Worldwide, the adoption and implementation of precision agriculture has become possible because of the development of sophisticated sensors, robots and sensor networks combined with procedures to link mapped variables to appropriate farming management actions,” Naicker says. “Sensors, either wired or wireless, integrated into an IoT system gather essential data needed for cost-effective and sustainable farm management.”
The activities on which information is being collect by the IoT varies from climatic and environmental conditions to stock and vehicle movements and can be tracked by the second, minute, hour, day or week.
All these new technologies are grouped together to enhance productivity, enhance efficiency across all sectors. Kriv Naicker IoT Alliance That can help activities such as harvesting, sowing, moving stock or an orchard managing the risk of an early frost or a weather change. Analysis of the information can be tailored to the environmental and climate of a geographic area. The IoT is part of a new generation of technology or what Naicker calls an exponential step that includes artificial intelligence, augmented reality and the 5G mobile network but they are all
designed to help people and business. “All these new technologies are grouped together to enhance productivity, enhance efficiency across all sectors.” Naicker says while the large telcos offer network communication services for the data new companies are being formed specifically to handle the transfer of IoT data to a network, the cloud or a server. With growing environmental and compliance expectation one IoT application uses nitrate sensors in groundwater monitoring wells. As part of that trial a monitoring bore near Kowhai Farm has been kitted out with a hydrometrics nitrate sensor to demonstrate how it works and can help with management. Also on the property Aquaflex soil moisture, climate and plant heath sensors will be installed to demonstrate further what is possible with IoT. Four technology companies are working together in the first phase of the trial. They are Tru Track, Lincoln Agritech, Met Technology and Aquaflex, which is a division of Streat Instruments. The demonstration uses the Sigfox network to deliver the data. MBIE digital economy policy
adviser Sandra Laws says the next phase of the pilot will see Spark and KotahiNet deploy a range of their sensors. “This will further add to the data we’re collecting on growing conditions.” The pilot will provide an insight into the potential of the emerging technology, which could help boost the productivity and the sustainability of NZ farm management, she said. Naicker says the dairy industry is already testing IoT technology through Auckland-based Halter, which is developing GPS-enabled cow collars. Those collars, expected to be commercially released in April, allow cows to be guided around a farm using a smartphone app. The system uses audio and vibrations to train cows to move to where the farmer wants them and can be programmed to take cows to the milking shed at certain times and to identify cows on heat or those that are sick or lame. While the technology has been designed around permanent fences the developers say it could be incorporated in to virtual fences. The solar powered collars do not come with an up-front cost but farmers pay a monthly fee to use the software.
Opinion
30 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
EDITORIAL
The truth about tenure reviews
T
HE end of the tenure review process for South Island pastoral leases announced last week is hardly a surprise for two reasons. Firstly, those wanting to be unshackled from having a Government landlord had 21 years to do so. But, a more pertinent factor, is Lands Minister Eugenie Sage, who in an earlier life was a Royal Forest and Bird employee and ardent critic of tenure review. The process was launched in 1998 by a government that at the time did not want to be a landlord of 303 pastoral leases covering nearly two million hectares of the South Island. The premise of tenure review was for lessees to freehold productive areas and retire the balance to conservation following a commercial transaction. The freeholding of 345,000ha has changed the activities and landscape of the high country but critics have superficially focused on those landowners with land suitable for subdivision or converting to dairying. Media coverage portrays tenure review as a cash windfall for lessees, ignoring the fact they are negotiated transactions for the exchange of property rights and values. Lessees have exclusive access and rights to pasturage and quiet enjoyment but require approval for any soil disturbance or to increase stock numbers. They own improvements such as buildings, roads, soil fertility and fencing and are responsible for weed and pest management. Tenure review commentary also ignores the 302,000ha added to the conservation estate, creating or enabling the creation of 10 conservation parks and that the Department of Conservation has benefited from commercial arrangements on that transferred land and it manages 60% of the contentious Mackenzie Basin Similarly, the wider public has not been told how struggling pastoral lessees free of the limitations of a government landlord have strengthened their businesses. Following tenure review Bendigo Station in Central Otago converted scrub-covered, rabbitinfested land to vineyards. Others have added tourism and recreational activities creating jobs and benefiting local communities. Tenure review followed due legal process but, unfortunately, the ignorance and political agenda of some has wrongly portrayed it as manipulative lessees lining their pockets.
Neal Wallace
LETTERS
Too many people is the problem YOUR front page article Hungry cities eat land, in essence, represents the fallacy of uncontrolled growth, more particularly population. New Zealand still has no population policy. Governments have pursued growth with a maniacal passion and no foresight or vision. Maximum growth – we need more people, has been the mantra. Serious regional imbalances exist, most graphically illustrated by Auckland city bursting at the seams, demanding more money for congested roads and building highways, upgrading sewers and stormwater etc and sprawling outwards over fertile soils. The cancerous growth is now evident in Tauranga with quantity eroding quality.
Controversial author Paul Erlich warned about the people crisis in his book The Population Bomb, published in 1968, almost half a century ago. And in NZ, about the same time as Erlich, there were warnings from a few enlightened environmentalists such as Save Manapouri conservationist and Deerstalkers Association president John B Henderson who wrote in a speech “Surely, we cannot argue for there being any virtue in further proliferating the hordes of humanity?” He advocated five million as the maximum for NZ. In NZ decades of politicians and business leaders have blithely boasted of GDP and population growth rates, seemingly oblivious and unconcerned our population is
already just under 5m. Immigration proceeds apace, swelling numbers and diluting and eroding the Kiwi culture evolved from two ethnic groups and developing a bicultural society. All that’s needed to address the spiraling crisis is political will and political guts. The Green Party, which could be expected to champion addressing the population bomb, has been silent. I checked the Google population clock on February 19. The population was over 4.9m and estimated to increase by one person every five minutes. The sharp reality is more people equal more resource demand, such as land for housing and hence urban sprawl. More people demand bigger
sewers, bigger stormwater, more roads and more costly infrastructure with higher rates and local and national debt. Growth is the proverbial dog chasing its tail. John Key’s vision as a tourism minister was shortsightedly more and more tourists instead of focusing on quality, affluent tourists to give added value. That was his vision for dairying too. Added value is preached but rarely practised. The system is flawed, concentrating, under GDP, solely on growth and more dollars. What is needed is ditching GDP and implementing the Genuine Progress Indicator (GPI) that considers three factors - economic, social and environmental. Tony Orman Marlborough
Letterof theWeek EDITOR Bryan Gibson 06 323 1519 bryan.gibson@globalhq.co.nz EDITORIAL Stephen Bell 06 323 0769 editorial@globalhq.co.nz Neal Wallace 03 474 9240 neal.wallace@globalhq.co.nz Annette Scott 03 308 4001 annette.scott@globalhq.co.nz Hugh Stringleman 09 432 8594 hugh.stringleman@globalhq.co.nz Alan Williams 03 359 3511 alan.williams@globalhq.co.nz Richard Rennie 07 552 6176 richard.rennie@globalhq.co.nz Nigel Stirling 021 136 5570 nigel.g.stirling@gmail.com
ADVERTISING Steve McLaren 027 205 1456 Auckland/Northland advertising 09 375 9864 steve.mclaren@globalhq.co.nz
GENERAL MANAGER Warren McDonald 06 323 0143 warren.mcdonald@globalhq.co.nz
Shirley Howard 06 323 0760 Real Estate advertising shirley.howard@globalhq.co.nz
Jody Anderson 027 474 6094 Waikato/Bay of Plenty advertising jody.anderson@globalhq.co.nz Donna Hirst 06 323 0739 Lower North Island/international advertising donna.hirst@globalhq.co.nz Aleisha Serong 027 474 6091 South Island advertising aleisha.serong@globalhq.co.nz
Nigel Ramsden Livestock advertising livestock@globalhq.co.nz
06 323 0761 or 027 602 4925
Debbie Brown 06 323 0765 Classifieds/Employment advertising classifieds@globalhq.co.nz Andrea Mansfield 027 446 6002 Business Development Manager andrea.mansfield@globalhq.co.nz PRODUCTION Lana Kieselbach 06 323 0735 Production Manager 027 739 4295 production@globalhq.co.nz Advertising material adcopy@globalhq.co.nz SUBSCRIPTIONS
0800 85 25 80
ISSN 2463-6002 (Print) ISSN 2463-6010 (Online) Circulation: Delivered free to 78,632 farmers from Monday (Current audited circulation figure)
Best letter each week wins a quality Victorinox Hiker knife
So go on! Stick the knife in WRITE TO The Editor, Farmers Weekly P.O. Box 529, Feilding EMAIL farmers.weekly@globalhq.co.nz • FAX 06 323 7101
LK0096006©
Farmers Weekly is published by GlobalHQ, PO Box 529, Feilding 4740. New Zealand Phone: 0800 85 25 80 Fax: 06 323 7101 Website: www.farmersweekly.co.nz
Opinion
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
31
TOUGH TIMES: Sharon Boulton has farmed through hard events and now shares her experience.
Depression lurks then slaps hard Sharon Boulton
I
T BEGAN as a benign irritation but with a mixture to enhance its growth it soon became malignant. Concussion, now rightly called head trauma, from a freak farm accident was the benign stage. We both knew from experience how a cancerous growth can take hold quickly and savagely with past family members fighting it to the very end. We knew it could remain undetected until the moment of truth slapped us in the face. The first symptom I noticed was how hubby was making decisions that were totally different from the norm. Little things like the time he spread shingle on our tanker drive after the tankers had picked up the final collection. Heavy rain soon had all the good work undone. Normally he would put shingle on as the tankers were about to start so they helped bind it into the clay base. Then I noticed the farming magazines were left on the table unopened. Anger began to mount between us as I helped as much as I could on the farm and yet it never seemed to be enough. What was going wrong, I pondered when we had planned to succeed, worked so damn hard to succeed? We had come through a house fire that destroyed the family home and our possessions. We had witnessed the fires of Oxford in 1987. We had farmed through storms, financial and weather related. We took over the stud from my parents when my brother died from cancer. We had taken the hard knocks and thought we could weather all the storms of life. The moment of truth slapped
The
Pulpit
us in the face one morning while milking the cows. As our youngest was in her last year of high school I would see her off then head to the cow shed to help clean up or shift fences etc. Hubby was angry to the point of hurting the cows, totally out of character for us as they were stud stock. A confrontation quickly escalated and I became very concerned for our wellbeing. Depression is an illness that can lie undetected until it rears its ugly head. Its a condition similar to that of an elite athlete who strives for excellence. For us, it was the straw that broke the camel’s back. The little add-ons with regulations, responsibility, recording etc were, on their own, just one strand of straw but piled together became a burden too heavy to handle. We believed everyone else was a successful farmer but not us. We are grateful for the quick response from our doctor and to Sir John Kirwan for opening the door to discussion on depression. Rural Support were fantastic to us. However, a word of advice.
Depression is like a cancer in which the whole family is affected in some way. I was not that far behind hubby as the tension was building in me too. One soon learned who good friends were. I am by no means an expert on mental wellness but this is what I have observed. I have helped as a volunteer on the Coast to Coast in the past. Once a past competitor asked me why the competitors had a slower time than the year he had competed. “There is just so many variables in this competition,” I responded, which he thought about then agreed. There is the weather and the water level is different every year. That was only the mountain section I knew about. Each athlete commits many hours of training, strategic planning and dollars to this event and plans for variables such as the environment and human factor. About 25% aim to win while 75% aim to finish in a respectable time. Yet, for all that, some unforeseen variable will catch someone out through no fault of their own. A niggle might blow out because of pressure through over-training. Elite athletes know times of recovery are required to continue unhindered when competing in endurance events. I know there are many farmers out there who are struggling at this very moment to find their footing as weather conditions, fire and Mycoplasma bovis have hit them hard. Competitors who make it to the finish line are often those who pause, think through their options and make wise decisions. They look at what is in front of them at that particular moment and not the finish line. Mountain Safety training taught me many people come unstuck when they look to the comfort of a hut instead of looking at the
river in front of them when they are cold, wet and exhausted. Don’t push on through the water. Stop and recuperate. Some competitors will link up, crossing through the river section as a group is stronger as each one has turns taking the full force of water. A coach who pushes one out of their comfort zone when support mechanisms are in place will help an athlete to strive in a positive way.
Depression is an illness that can lie undetected until it rears its ugly head.
One who pushes an athlete beyond their comfort zone in which variables can turn against them are those who struggle. A coach is there to help you and when you do well, so do they. A win-win situation. When our daughters were at university, one studying health science and one veterinary science, they were surprised how common their studies were until told ‘We are all mammals’. We often know how our pets are feeling and yet they cannot communicate in a way we do. Yet they communicate and we take notice.
Dairy farmers know about somatic cell counts. We know that stress is a contributing factor. What is stress doing to our body systems. Zoos go out of their way now to make sure animals are not under stress. Stress and anxiety are a growing problem throughout the modern world. Maybe we need to think before signing another trade deal whether the added regulations are worth it. People need to feel valued and the government should be a leader in this but why should we wait for it to act? As a school bus driver I have noticed rural children say “I missed the bus” while city adults say “The bus left without me”. One group takes responsibility for what they have the power to change while another will seldom change. However, sometimes for those rural children the school bus might have been early that morning for some reason, so good on you because life is not always fair. It is those who care who are like diamonds – bright, beautiful, valuable and always in style.
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. nzfarmersweekly@nzx.com Phone 06 323 1519
WHERE TO GET HELP: If you need to talk to someone, the following free helplines operate 24/7: DEPRESSION HELPLINE: 0800 111 757 LIFELINE: 0800 543 354 NEED TO TALK? Call or text 1737 SAMARITANS: 0800 726 666 YOUTHLINE: 0800 376 633 or text 234 Industry-specific advice and support for depression within the rural community is available at www.depression.org.nz/rural
Opinion
32 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Urban sprawl extremely reckless Alternative View
Alan Emerson
I WAS really pleased to see Farmers Weekly raising the issue of urban sprawl over good farmland. It is a subject that is vital for our future and needs major debate. Simply speaking, according to Landcare Research only 5% of our land is fertile and versatile enough to produce food without the need for significant manipulation.
To compensate for the land loss, we need to fertilise and irrigate less fertile land and no-one in urban New Zealand seems to want that either.
That makes the loss of 10,080 hectares of high-value land to Auckland housing, as happened recently, reckless in the extreme. Sadly, that is only the tip of the iceberg because, according to Statistics NZ, we lost a total of 889,000 hectares of farmland between 2002 and 2007. That’s a 5.7% decrease and unsustainable. Vegetable-growing land, that’s
our most fertile, decreased by 28,766 hectares over the same period. What we need, in my view, is a national debate on our way forward that leads to an achievable strategy. The problem, again in my view, is unsustainable immigration. Since the then government opened up immigration in 2013 the Auckland population increased in just four years by 163,800 of which 108,400 were immigrants. New Zealand, we are told, has the fastest growing population in the Organisation for Economic Co-operation and Development, largely as a result of immigration. Putting the 163,800 figure in perspective, it is greater than the entire populations of the cities of Tauranga, Napier-Hastings and Dunedin and two-thirds the population of Hamilton. I realise the influx of immigrants helped boost GDP but at what cost? My extreme frustration is that no-one questioned the wisdom of increasing the population of Auckland by the equivalent of the entire population of Wairarapa each and every year. For the record, I’m not antiimmigration. What I am firmly opposed to is the blind opening of our borders with no thought of the effects and no investment in the extra infrastructure needed to support that immigration. That immigration means Auckland was short of 34,000 houses by November last year and those houses need to be built somewhere.
OBVIOUS: The mess created by immigration putting pressure on fertile land is one any idiot should have seen coming.
But it’s actually far worse than that. Logic suggests you can’t increase the population of a city by 163,800 without building more motorways, hospitals, schools and houses. It seemed to me the government of the time welcomed the boost to GDP that immigration gave while totally ignoring the infrastructure that increase required. My problem is general taxpayers, you and I, end up paying for the mess. My additional problem is that it was a mess any idiot should have seen. Perhaps they did but chose to ignore it. The end result of that is we’ve already lost 10,080 hectares of good land to Auckland urban sprawl and the extra 34,000 houses Auckland needs must go somewhere. The obvious answer is upwards but the Aucklanders, bless their little cotton socks, don’t want that
because it would destroy their quality of life. Who cares? The problem is if they do move to Pukekohe it will cost and massively so. Horticulture NZ tells us the productive land to the south of Auckland is but 4300 hectares. Taking that land out of production will cost $1.1 billion in 25 years and up to 4500 full time jobs will be lost. It will also mean fruit and vegetable prices for Aucklanders will go up 58%. With urban sprawl let’s return to the Landcare figure of 5% of our land being fertile and versatile enough to produce food without significant manipulation. That significant manipulation would include fertiliser and irrigation. That begs the question would the population be prepared to let farmers use more fertiliser and develop more irrigation to
produce the food lost as a result of urban sprawl. I don’t think so, which leaves the productive rural sector between the proverbial rock and hard place. Urban sprawl is taking our good agricultural land and no-one outside our sector seems to give a fig. Then, to compensate for the land loss, we need to fertilise and irrigate less fertile land and noone in urban NZ seems to want that either. The debate over urban sprawl, however, is little different from all the scientists and so-called experts who tell us ad nauseum to do stupid things like getting rid of animals and growing more mung beans. They forget the vast majority of our soils are incapable of growing anything other than grass and there is a very small area that could grow crops with more fertiliser and more water. As a large part of our agricultural land is unsuitable for cultivation, growing mung beans and lentils isn’t an option. What all of that means is that preserving our elite lands is critical, not only to the farmers involved but the country as a whole. What is needed is recognition of the issue followed by a political reaction to preserve an asset that once lost can never be replaced.
Your View Alan Emerson is a semi-retired Wairarapa farmer and businessman: dath-emerson@wizbiz.net.nz
Economic suicide and absolute madness From the Ridge
Steve Wyn-Harris
I ATTENDED a small function in Napier where European Union Agriculture and Rural Development Commissioner Phil Hogan spoke. He and his delegation were briefly in the country negotiating with our own officials over a trade deal between the EU and New Zealand, which sounds promising. Later, when I asked when this might happen, he said it could be early in 2020. “The EU and NZ share many things and it would be unthinkable if we couldn’t do a trade deal,” he said. He assured us we are not in a queue behind Australia and we don’t need to look over our shoulder at our neighbours. The EU is keen to do a deal with us and it seems it will happen, which can only be a good thing for primary producers here. As commissioner he is one of
the EU’s key decision-makers on agricultural issues, including reform of the EU’s Common Agricultural Policy, EU positions on agriculture in the World Trade Organisation and agricultural market access offers in free-trade negotiations. He was surprisingly free with his comments about Brexit, though, given European Council President Donald Tusk recently said “There is a special place in Hell for people who promoted Brexit without a plan”, he was relatively diplomatic. “The EU has done everything they can to get an accommodation with the United Kingdom but it takes two to tango,” Hogan said. He went on to say it is sad to see what is happening in the UK. He pointed out the UK is just 60% self-sufficient in food and one might assume prices will go up post Brexit and food prices are very important to consumers who are also voters. “It is not easy to get into the EU but as we are seeing, it’s a great deal harder getting out,” he said. He spoke of UK politicians, many whom had spent 40 years bagging the EU, and said sometimes you must be careful what you wish for. Earlier I’d taken one of the
I thoroughly agreed and got him a beer to keep him enthusiastic about his mission.
EU delegation aside for a radio interview. His name was John Clark and when I asked what his role was he told me he is the EU’s agricultural trade negotiator for the freetrade agreement with NZ. He was recently involved in delivering the EU’s free-trade deal with Japan. That is the biggest trade deal signed by anybody. He is British but lives in Brussels. He said Brexit is “very unfortunate and an act of economic suicide and absolute madness” so he, too, wasn’t not mincing his words. He felt the only thing the UK Parliament agrees on is not to have a hard Brexit so feels common sense will prevail. I’m thinking that with just 35 days left they better start looking hard for that common sense in very short measure. And American President Donald Trump pulling out of the
IT’S A MUST: It would be unthinkable for the European Union and New Zealand not to do a free-trade deal, EU Agriculture Commissioner Phil Hogan says.
international sphere has created opportunities for the EU to do trade deals with the likes of Japan. Trump’s destabilising of the WTO has caused major concerns. He’s pulled out of the Paris Climate Accord, withdrawn from the Iranian nuclear deal and twitter will possibly tell us he’s pulled out of something else by tomorrow. The US built the multilateral system after World War II and is now rapidly withdrawing from it. Clark reiterated that with the instability in the world like
Brexit and the US move towards isolationist policies, like-minded nations such as those in the EU and NZ should work more closely than ever and that is why he is committed to getting this freetrade agreement over the line. I thoroughly agreed and got him a beer to keep him enthusiastic about his mission.
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 – February 25, 2019
33
High-value exports need assurance Meaty Matters
Allan Barber
SINCE its start date of July 1 2017 the New Zealand Farm Assurance Programme has generated a high uptake by processors and producers with a significant level of success. According to Red Meat Profit Partnership project manager Pat Turton nearly 3000 farms are registered and more than 80% of them have already been audited. The ultimate expectation is for about 6500 farms. At the launch there were five processor members – Anzco, Silver Fern Farms, Greenlea, Progressive and Blue Sky Meats. Since last July another 11 companies including sheep, beef, deer and fibre exporters have joined, a significant increase over the number originally expected by this stage of the programme’s implementation. Commitment by venison and wool exporters, including Pamu Farms, has led to the increased uptake. There are considerable efficiency benefits for farmers from FAP, which, to date, have resulted in a 38% reduction in the number of audits that would have been necessary for the farmers involved under processors’ individual schemes. There is also an estimated
cost saving of up to 20% for the processors from using the FAP system. The programme’s greatest significance is its validation of the Taste Pure Nature origin brand. Only FAP-assured product can be sold under the brand. NZ’s overseas customers are universally positive about the transition to a single qualityassurance programme that supports claims made about the quality of our products. It is critically important to this country’s goal of feeding the wealthiest segment of the global population that all producers and processors, as well as customers, can have absolute confidence in the integrity of the production and audit process. Turton said he knows of no concerns about the content of the standards, either from farmers or customers, though Version 2, scheduled for release in May, will incorporate some minor changes or additions to animal welfare standards. Farmers I have spoken to in North Auckland are very positive about their experience with FAP and previously their meat processor’s quality assurance programme as well as qualification for the premium for compliance with the programme. The independent farm audits are the responsibility of AsureQuality, which is meeting its overall targets for farm audits. AsureQuality’s Aaron Lambert told me the company has a robust planning process and constantly adjusts recruitment and training to ensure capacity matches the expected supply and demand
from the increased programme uptake across different regions. Farms are audited on a rolling schedule over a three-year cycle though poor farm performance automatically entails a higher audit frequency. In general, farmers and processors are pleased with the FAP roll-out but, as with any new system, there have been some teething problems, one farmer expressing some frustration with delays to audit and communication.
So far, after little more than 18 months, FAP has proved it will be an essential tool in support of Taste Pure Nature.
This problem was backed up by the livestock manager of a more recently joined processor who said the introduction of FAP was proving to be a drawn-out process for various reasons – farmers ask lots of questions but might not have studied the FAP handbook properly before the first audit, livestock buyers might be slow to hand out the application forms and there appears to be timing pressure on the audit cycle. However, he is thoroughly supportive of the programme, saying both overseas and domestic customers want the assurance it provides. Anzco’s Grant Bunting also commented on the reluctance of
MONEY: Farmers meeting New Zealand Farm Assurance Programme standards can get premiums for their lambs.
some farmers, particularly in the traditional sheep farming regions of the far south, to be told how to farm. SFF market access and regulation manager Neil Smith, who co-chairs the FAP governance group, expressed great enthusiasm for the scheme, saying, as one of the first companies to commit, SFF had no problems transferring farmers from their individual farm assurance programme to FAP and is about a third of the way through the process. Although there is more recording involved, farmers see the benefit. Kuwara Trust manager Brad Douglas at Tapora on the Kaipara is very positive about his experience, both with Affco Select and the FAP programme for which the farm was audited in May last year. The auditor told him his audit was successful on the day, after which his buyer told him the farm had qualified for Affco Select and would receive the premium on lambs sent for slaughter. Douglas is adamant FAP provides a very valuable and user-friendly method of recording all his farm
operations and production records and he has no idea why everybody doesn’t do it. Helensville farmer Andrew McKenzie has been on Affco Select for several years and is very pleased with that programme but has no misgivings about transferring to FAP when he is next audited because he sees the benefits to his compliance with a uniform set of standards. When RMPP winds up at the end of 2020, responsibility for FAP will be transferred to a new entity because there will still be a lot of hard work to ensure the programme is adopted by all farm operations, old and new. So far, after little more than 18 months, FAP has proved it will be an essential tool in support of Taste Pure Nature, enabling production and supply of high quality NZ red meat and natural fibre to the world’s highest paying customers.
Your View Allan Barber is a meat industry commentator: allan@barberstrategic. co.nz, http://allanbarber.wordpress. com
Farm practices need open debate Town Talk
Amy Williams
THE first time I drove past the billboard saying Ravensdown and Ballance pollute rivers I did a double-take. Auckland’s billboards are often standard but every now and then there’s a campaign that grabs people’s attention – last year there was a marriage proposal. I took a closer look as the traffic crawled. This billboard kicked off environmental organisation Greenpeace’s campaign to ban synthetic nitrogen fertiliser with the hashtag #TooManyCows. It follows a year of public attention on river water quality and pressure on farmers and the above-mentioned fertiliser
PROVOCATIVE: Though feeding the world relies on fertiliser, farming practices should be openly discussed.
companies to clean up their act. But how many people driving past would know these names as fertiliser companies? In Greenpeace’s press release, campaigner Gen Toop says “Ravensdown and Ballance are the river and climate polluters that many New Zealanders have never heard of. Our billboards are just
the first step in making these dirty companies a household name.” I wouldn’t expect many people to know about these two companies. In our urban city backyard we use slow-release fertilisers and organic soil conditioners. The quality of our lawn has become
something of an obsession for my husband, who once dug up a third of it to save one rectangle from the creeping kikuyu. We know how to keep grass but one street along good friends of ours have tiger turf. Let’s play a game. Imagine I’m driving past the billboard for the first time and have no idea what or who Ravensdown and Ballance are. For all I know they could be towns in the South Island. I later Google the names and my search is rewarded with a series of articles about fertilisers, spanning topics such as farmers’ reliance on fertiliser to the fact the Superannuation Fund is putting pressure on Ballance over using Western Sahara phosphate. All right then, who owns these fertiliser companies? Another search tells me the Ministry for Primary Industries has given more than $16m to fertiliser efficiency projects led by Ballance and Ravensdown – co-operatives that are owned by farmers.
So, not only are they owned by farmers but also backed by government. Never mind the technical ins and outs of using fertiliser, we’re talking about perception. I might wonder if farmers have a vested interest in using these fertilisers. Then I take a look at the social media feeds of some rural publications. NZ’s waterways need cleaning up, the rivers and the sea. If there’s an alternative product, service or method of going about life that can help with that then those changes should be made – this goes for cities too. The world is reliant on fertiliser for food production, there’s no doubt about that. But, as the western diet changes and we’re encouraged to eat less meat, it makes sense that farming practices be openly discussed. I ignored #MAFSAU and had a look at what was trending for #TooManyCows and there was quite a bit of talk about regenerative agriculture as the way of the future.
34 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
On Farm Story
Bulls, ewes and tepees, a rare mix Sheep and beef farmers James and Sarah Glenn are fuelling the intergenerational transfer of their farming business with a rare mix of bulls, sheep and tepees. Luke Chivers reports.
O
N A coastal slice of rural New Zealand a young couple are combining their passion for family with farming and tepees. Te Akau sheep and beef farmers James and Sarah Glenn have a longstanding connection with the primary sector. Farming dominated their teenage years. James grew up on a 500ha hillcountry property at Waimai, north of Te Akau, in Waikato. “It was the best childhood I could’ve ever asked for,” he says. “You’re in the outdoors, you’re in the fresh air and you’re around animals. “I love the technical side of it, too. You’re able to apply science on-farm and see a tangible impact to what you’re doing.”
We want to do our part for the betterment of our environment, our animals and our family. James Glenn Farmer Growing up on a sheep and beef station taught James a good work ethic. “A career in farming was always on the cards. “But I wanted to back it up with a qualification,” he says. In 2006 he moved to Canterbury to study for an agriculture and farm management diploma at Lincoln University, which reinforced his desire to continue working in the sector. Not long after graduating James packed his bags and set off on an
overseas trip for six months, using shearing and wool pressing as a way to fund his travels. “I worked in Merriden – a part of the wheat belt of Western Australia – for a seeding season. “I absolutely loved it,” he says. It was during that time James met Sarah, his now wife. “We came back to NZ for a year to work on James’ grandfather’s dairy farm and then set off again to the United Kingdom together and worked on an English farming estate for 18 months,” Sarah says. “We did everything from harvesting potatoes and wheat to managing the large English homestead and looking after animals while the owners were offshore – and made the most of our close proximity to Europe by weekend trips away.” But returning home permanently was always on the cards for the couple and so, too, was working on James’ family farm. “Ever since I left school I’ve always wanted to do something in the primary industries,” he says. “And, in particular, I’ve always wanted to end up here on the family farm.” James has long been fond of Te Akau. “One of the best parts about living here is we’re right by the west coast. It means we have a diverse landscape and outlook. It’s ever-changing and I see a new view almost every day. “There’s also a great community
DONE: James Glenn has good helpers getting the sheep into the yards.
around here. We’re fairly isolated so I think that really bands us locals together – it’s a tight community in Te Akau.” Anyone who knows the Glenn family knows farming is in their blood. “We’re the fourth generation of farmers to farm in Te Akau,” he says. James’ great grandparents Tom and Doris Glenn settled the original block at Rukuhia, near Hamilton, in 1924. His grandfather Ian and his wife Ruth worked the land for more than 50 years and in 1955 bought the Te Akau property. In the 1980s, James’ father Andrew and uncle John moved onto the farm and set about improving the land’s assets and value. The brothers and their wives farmed the Te Akau property
TWO WAYS: Majuba Station last year carried 1000 cattle, supplying both the dairy sector and the meat works.
for more than 30 years. In 2018 James and Sarah took over the farm’s lease and bought the existing stock on the property, Majuba Farm. While the couple in their early 30s are now in the driving seat, James’ parents still live and work on the property and provide much-needed support. “Having my mum and dad around is a huge help to us,” he says. And James and Sarah have certainly had a good start. When the couple took over Majuba they saw a chance to make their mark. “Initially, this started with us doing riparian fencing along Waimai Stream, a 10km-long creek that runs throughout our property and out to the coast. “We’re slowly but surely chipping away at the job. We’re doing about a couple of kilometres every year and hoping to carry that on.” The Glenns are not bound by the Healthy Rivers Plan but are active in caring for their local catchments. “And we’re planning to start planting native trees and grasses this autumn. In the meantime, we’re just hoping to learn from farmers who are already stuck into it.” In recent years, the couple have also altered their sheep to cattle ratio. “We’re starting to push our sheep numbers up again,” James says. “Over the years my family has cut the sheep numbers back as they weren’t making a lot of money from the flock and found sheep harder work.” They replaced the sheep with cattle. “I think my dad and uncle got
Photos: Peter Drury
the sheep numbers down to about a 25% ratio of sheep to cattle. “But over these last few winters we’ve noticed an impact on the hills around our property with cattle running on the steep country in wet weather. “We’re hoping that by putting more sheep on our farm it’ll be kinder on the land and result in less erosion.” Given the farm is coastal, fencing is an ongoing task. We are continually renewing fences – about twice as many as the average farm inland. “You get some pretty strong winds in this area and fences don’t last as long with the salt air “Some of the westerly-facing stuff that’s nearer the coast can get pretty hammered in the winter months. We’ve got to watch what we’re running on the exposed parts of our property.” The farm is now a 900ha (800ha effective) property, which the Glenns describe as a quarter flat, half rolling and a quarter steep, that is typically summer dry. They keep the country well grazed with bulls and sheep. It is home to 1300 mixed-age Coopworth ewes – up to 650 of which are put to a Suffolk ram and the rest are with Coopworth for breeding replacements. The Glenn family have bought their rams from Nikau Coopworth stud for more than 15 years. They are pretty chuffed at their flock’s resistance to facial eczema, a by-product of the Nikau Coopworth bloodlines. “Facial eczema used to be a major issue for us. Nowadays, we rarely have anything break out, which is great for our sheep performance,” James says. “Unless we get a really bad eczema year we might see a bit of an effect in our lambing
On Farm Story
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
35
percentage but other than that we don’t see any signs of eczema on-farm.” Coopworths are not a big proportion of the national flock but are involved in a good percentage of composite breeds. They are dual purpose with high fertility, high production, good mothers with lots of milk and produce heavy weaning weights. It is a productive sheep that fits the Waikato environment. Majuba also grazes 200 dairy heifers and rears 250 bull calves until they two years old.
The kids know about life and death and they even know how grass grows and where food comes from. Sarah Glenn Farmer Cattle numbers in 2018 were 1000, which included 200 recorded Friesians that were sold to the dairy industry in September at an average weight of 500-550kg for tailing off herds. The remaining 300 older cattle were sold and finished at about 300-320kg carcase weight for meat works. The property, on one side of Waimai Valley Road, includes 100ha of pine forest, of which 40ha will be harvested over the next few years. “To know this land has been farmed by our family for so long is pretty special,” James says. “It’s a great driver for us keeping the operation going and to push it to the next level.” James and Sarah have three children – William, 4, Angus, 3, and Lucy, six months. “The kids absolutely love it on the farm,” Sarah says. “They know more about farm machinery than I do and they know all the beef breeds. They’ll point to cattle and say ‘that’s a Friesian’ or ‘that’s a Hereford’. They soak it up like sponges. “James makes an effort to teach them a lot about the farm. “The kids know about life and death and they even know how grass grows and where food comes from. “We think those are really good life skills.” But despite the couple’s dedication to the sector – and its longevity in the Glenn family’s roots – the couple agree increasing land prices are a growing concern. Sarah, who grew up on a sheep and cropping station near Feilding, says farmland is one of the hardest investments to make a return on. “In a straight business sense, if you’re looking at it in terms of figures on paper – ignoring the farm’s non-monetary worth – you wouldn’t look at it twice. “Most businesses don’t even ask for five times yearly earnings, let alone the 15-20 times, which farmland is selling for. “But the rural lifestyle and everything you get from bringing your children up in this
PHEW: It’s a bit of a climb but James Glenn sees a new view almost every day.
environment most definitely makes up for the financial return or even lack of at times.” In recent years James and Sarah have concentrated their efforts on diversifying their farming operation – to ensure it is environmentally, socially and financially sustainable. Sarah, an architect by trade, sought to start a custom-made tepee hire company in 2011. The idea originated after spotting the tepees while travelling in the UK while engaged. “I thought about the tepees after returning home to plan our wedding in 2013 but they weren’t available. “But also growing up in a family that is business-orientated the idea of starting one never felt too far-fetched for me. “Initially, I think a lot of people thought I was some crazy woman trying to get people to hire oversized camping tents for their weddings,” she says, laughing. But, in May 2013, Sarah turned her idea into reality. Her company, TopKata, is based in Hamilton and sources custommade tepees from Sweden. “Since starting out we’ve tripled our inventory. “We now have 12 tents and they’re in high demand – from Kerikeri to Wanaka – and the business has been growing steadily ever since our launch. “Having this many tepees means we’re capable of doing at least five events in one weekend.” And just like farming, Sarah’s business is based on natural elements. The wood for the poles is felled in northern Scandinavia and the
ALL ABOARD: The dogs hitch a ride to the next job.
tents are made from canvas rather than PVC. “I love the challenge and pride in building something of my own – but most importantly to have control over my work-life balance.” Before her entrepreneurial venture Sarah was commuting 170km a day to her former job at an architecture firm in Te Awamutu. “I quickly realised it wasn’t something that I could carry on. It wasn’t sustainable.” At the height of the wedding season, which is typically summer, Sarah has a team of about 15 people working for TopKata “It’s meant I can live on the
farm while still bringing in an additional income. Plus, it means I can be around a lot more for our kids.” Family is paramount to the Glenns. James and Sarah say their next steps are to grow their business even more and future-proof it for their children. “We’d just like to look after this place the best we can. “Whether any of our kids actually want to farm it one day, it doesn’t matter – we still want the farm to be here. The property will always be an asset they can leverage off to do other things in their life, they say.
“At this stage we don’t have any radical plans for the future but we do want to do our part for the betterment of our environment, our animals and our family. “That’s what it’s about, right?”
>> Video link: bit.ly/OFSglenn
World
36 THE NZ FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Britain to impose tariffs, quotas standards that would be illegal in the UK. Gove has now pledged that growers and livestock producers will not be left at a competitive disadvantage. The government is doing everything it can to secure a deal but also to mitigate the impact of leaving without one, he said. The NFU had made strong arguments about the need to ensure stronger tariff protection for British farming. “In particular, you have argued that we need tariffs on sheep meat, beef, poultry, dairy, both milk and cheese, and pig meat in order to safeguard our valuable domestic production,” Gove told conference delegates at the Birmingham ICC on Tuesday. “Your concerns have been absolutely heard.” But Gove also warned that the EU has been clear it will levy the full external tariff on all food from the UK in the event of a no-deal Brexit. And he warned “The impact on upland farmers and the carousel trade in beef would be significant and damaging.” Some 90% of Friday 15/04/2019 UK sheep meat Mid-Canterbury Branch of Black & Coloured Sheep exports currently Breeders Association go to the EU. In a noAnnual Conference at The Redwood 340 Main North Road, deal scenario, Redwood. Open Day Friday 15th April 2019. Fleeces, Sheepskins, Knitwear for sale. a 40% tariff Contact: Georgie, 03 325 1288 for more information. would increase export prices AWDT Understanding Your Farming Business & Wahine dramatically, Gove Maia, Wahine Whenua said. So he will 3 full-day workshops and an evening graduation ceremony run over four months. Equips and supports women involved not hesitate to in sheep and beef farming to lift business performance. provide direct cash Registrations for 2019 programmes are now open, visit the support to the website for more information and to register. most vulnerable Locations and dates (3 modules & graduation): sectors. Millers Flat: 27 Feb, 27 Mar, 23 Apr & 22 May “If European Wairoa: 28 Feb, 28 Mar, 24 Apr & 23 May buyers do switch
TARIFFS and quotas will be imposed on food imports in the event of a no-deal Brexit to protect British farmers and those left vulnerable will get bigger subsidies, the government says. But producers also face the prospect of tariffs on exports too – making shipments of British food harder to sell and more expensive for overseas buyers, with price increases of at least 40% on sheep meat and beef, rising to well above 100% for some cuts. In a keynote speech to the National Farmers Union conference, Environment, Food and Rural Affairs Secretary Michael Gove said domestic food production will be safeguarded by a range of tariffs, quotas and legislation if the United Kingdom leaves the European Union next month without a withdrawal agreement. Industry leaders have repeatedly warned that a no-deal Brexit must not expose British farmers to a flood of food imports produced to
agrievents 0076663
200x71.67
Dannevirke: 24 May, 21 Jun, 19 Jul & 16 Aug
Participants are required to attend three half-day workshops run over a three to four month period, followed by a one-on-one clinic. The workshops are fully funded by RMPP. Check out www.rmpp.co.nz for locations, dates and to register. For more information email training@rmpp.co.nz or call 0800 733 632.
Should your important event be listed here? Phone 0800 85 25 80 or email adcopy@globalhq.co.nz
LK0085515©
RMPP Action Network – Facilitator training courses For rural professionals or farmers looking to run an Action Group under RMPP Action Network. No course fees. Register at www.actionnetwork.co.nz/page/training Lead Facilitator workshops 2019 course dates: 5 & 6 March – Hamilton 21 & 22 March – Dunedin RMPP Action Network Fundamentals and Extension Design (two-day workshop) 2019 course dates: 26 & 27 February – Christchurch 27 & 28 March – Palmerston North
Register now for the upcoming series of workshops on the transition and succession of the family farm business, aimed at helping sheep and beef farmers navigate what can often be a difficult process.
contracts because tariffs make our exports significantly more expensive it will be difficult to reestablish our market access even if those tariffs come down in the future.” NFU president Minette Batters said free and frictionless trade with the EU remains essential for UK agriculture. “I make no apology for saying that leaving the EU without a deal would be catastrophic for British farming.” But not all farmers were convinced. “I don’t trust him,” Suffolk arable farmer Andrew Blenkiron said. “He will face a lot of pressure from other members of the government and farming will be left high and dry. “I’m really concerned that there will be no tariffs on import prices
and the low standard imports coming in will undermine British farmers.,” he said. “We don’t trust politicians,” Bedfordshire arable farmer Freya Morgan said. “As Minette said, until you see something in black and white in writing, you cannot make business decisions. We could end up having somebody else in Michael Gove’s position who will stand for different values,” she said. “I don’t trust him entirely – about 50%,” Leicestershire arable farmer Will Oliver said. “But we have to as he’s the one that’s in control. “All we can do is put our opinions across to him and hope that he can deliver for farmers.” But one thought it might be the best deal available. “Yes, because it will be better
I make no apology for saying that leaving the EU without a deal would be catastrophic for British farming. Minette Batters National Farmers Union than a Labour government,” Berkshire mixed farmer Colin Rayner said. “Farmers need to wise up. “Labour would bring in land taxes and it would cause serious damage to agriculture. “We won’t need to have a succession plan because we won’t have a farm.” UK Farmers Weekly
Most important time is now
Website: To register visit www.awdt.org.nz/programmes Contact: keri@awdt.org.nz or 06 375 8180 for more information
RMPP Farm Business Transition and Succession Workshops
DIGGING DEEPER: Britain’s Environment, Food and Rural Affairs Secretary Michael Gove says he won’t hesitate to increase subsidies to the most vulnerable agriculture sectors after Brexit.
THE next 30 years will be the most important time in the history of global agriculture, which faces enormous challenges to feed a growing world population, influential United States global food expert Jack Bobo has warned. The need for farmers, policymakers and scientists to educate consumers and build trust in science and innovation in farming and food production will be critical if we are to feed the world. Bobo, senior vicepresident for global policy and government affairs at US biotechnology business Intrexon Corporation, fired the warning shots on Tuesday at a National Farmers Union conference breakout session with the theme, the future of food: where are we going? The world population is forecast to rise from 8 billion to 9.8b by 2050 when farmers will need to produce 60-100%
more food, using less land, less water and fewer inputs.
Europe has exported its environmental footprint to the most biodiverse country on the planet. That might not be a good idea. Jack Bobo Intrexon Corp Bobo, who worked for 13 years as a senior adviser to the US government on global food policy, biotechnology and agricultural trade, said innovation in agriculture and its ability to feed nations has made great strides over the past 50 years.
But about 800 million people go to bed hungry and most consumers consider the global food system is broken. However, 20 years ago nearly 20% of the population was hungry and the figure has fallen to 12% today. Europe now imports 70% of its animal feed needs and Brazil, the single largest driver of global deforestation, is the country that sends the most food to Europe. “Europe has exported its environmental footprint to the most biodiverse country on the planet. “That might not be a good idea,” Bobo said. Farmers, policymakers and scientists need to have the conversation with the public and environmental groups to understand the global picture because the more that’s produced in Europe, the better the planet will be. Bobo said consumers want their food to be produced
how it was 100 years ago, which clashes with the intensification of agriculture. “If we don’t change how we produce food, everything will change. “We need to change the conversation so that it’s not about changing food but about innovation.” Bobo said farmers, policymakers and scientists must engage and educate consumers about food production by telling them the story of farming. But consumers are being misled by the way food is marketed, which is increasing scepticism. “Consumers have never cared more nor known less about how their food is produced. “We need to find a way to make food less scary because our food has never been safer and people have never been more afraid,” he said. UK Farmers Weekly
Paeroa 217 Strange Road
Land holding with approved subdivision consent Over 400 hectares in the ‘Golden Triangle’ doesn’t come on the market every day – that means you need to take time to view if you are looking for a significant land holding in the area. 217 Strange Road is currently an operating dairy farm, elevated in the foothills north of Paeroa overlooking the Hauraki Plains with views reaching as far as the Hunua Ranges, over the Firth of Thames and is bordered by the Coromandel Forest Park. But this is not your average dairy farm - Consent has been approved by council for an 8 lot subdivision. A strong fertiliser history coupled with Waihi Ash soils means the rolling contoured land is fertile and suitable for stock grazing. A good race system, great infrastructure, reliable spring water, and situated in an idyllic location, this prime piece of property is not one to miss out on, the unknown potential here is too great to pass up.
bayleys.co.nz/2310319
For Sale by Deadline Private Treaty (unless sold prior)
4pm, Thu 14 Mar 2019 View 12-1pm Thu 28 Feb Karl Davis 027 496 4633 karl.davis@bayleys.co.nz Lee Carter 027 696 5781 lee.carter@bayleys.co.nz SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
Waihi Beach 530 Waihi Beach Road
Bird's-eye view of the Bay
3
Owned for over 30 years, this productive dairy farm affords outstanding panoramic ocean views over the Bay. This beautifully located farm boasts a profitable OAD dairy unit producing a five year average of 48,887kgMS from 135 full pedigree Jersey cows. A self-contained farm sees all young stock grazed on the property, farm water via a bore pumped to holding tanks and gravity fed to troughs in all paddocks, effluent (compliant until 2028) is spread over pasture by travelling irrigator. In addition, there is a good track system around the wellfenced and subdivided paddocks. The 14 year old main home showcases the view below – an amazing panorama from Mayor Island to White Island on a clear day. Other improvements include a second home and a 17 ASHB shed. Continue as a dairy farm or diversify, with good grazing land and subdivision possibilities to explore.
Auction (unless sold prior) 1pm, Wed 6 Mar 2019 247 Cameron Road, Tauranga Phone for viewing times Mark Spitz 027 442 1295 mark.spitz@bayleys.co.nz
2
2
3
SUCCESS REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
bayleys.co.nz/2500117
bayleys.co.nz
Hastings Brownlie Road, Puketitiri
Contour and rainfall with Puketitiri hunting Nestled under the Kaweka ranges only 57km west of Napier in the renowned Puketitiri farming district is the rare opportunity to purchase 'Rocky Hill' farm. An impressive 429ha finishing property with free draining soils, approximately 145ha deer fenced, a helicopter hangar, walk in chiller, freezer, areas of native bush which provide the perfect habitat for the resident Sika, Red and Fallow deer. "This is not only a very productive farm, but it is also a hunters paradise." Subdivided into over 50 paddocks with fantastic workability, laneway and central stock yards. Improvements include a 2002 built four bedroom home, three bedroom manager's residence, four stand woolshed, five bay implement shed/workshop, sheep and cattle yards. The opportunity to expand on the deer fencing, continue finishing sheep and beef or create a hunting park is fantastic.
bayleys.co.nz/2851504
Tender (will not be sold prior) Closing 4pm, Wed 13 Mar 2019 17 Napier Road, Havelock North View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Gavin Franklin 027 427 8000 gavin.franklin@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
FINAL NOTICE
Hastings 50 Little Bush Road, Puketitiri
Production plus at Puketitiri Located only 53 kilometres north west of Napier 'Te Wairere' is 315 hectares of mainly easy/flat contoured country with a solid reputation for producing strong, quality livestock. Add to this the fully reticulated water system, excellent summer rainfall, strong fertiliser history, fantastic laneway from the woolshed to back satellite yards, along with the huge natural resource of Sika and Fallow deer, this property is an absolute gem providing excellent returns. Immaculately presented the property is a real credit to the vendor featuring a large four bedroom homestead set in beautifully established gardens, four stand woolshed, implement and hay sheds, sheep and cattle yards. Vendors are purchasing another property. Don't snooze on this fantastic opportunity.
bayleys.co.nz/2851573
bayleys.co.nz
Tender (will not be sold prior) Closing 12pm, Fri 8 Mar 2019 17 Napier Road, Havelock North View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Gavin Franklin 027 427 8000 gavin.franklin@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
NEW LISTING
Hastings 3629 Puketitiri Road, Patoka
'Raumati' premium Patoka dairy A real opportunity to purchase affordable dairy scale of 458 hectares with excellent summer rainfall. Located only 41 kilometres north west of Napier city, Raumati is a very well set up farm boasting a 2008 built 60 bail rotary, large 600 cow (approximately) feed pad and large purpose built calf rearing shed. Another feature of the property is the large colonial four bedroom villa beautifully set in established gardens, two three bedroom cottages and various implement sheds complete this top quality property. Production peaks of 300,000 kilograms of milk solids have been achieved as a result of a very well managed pasture renewal programme backed up with an excellent fertiliser history. This coupled with the easy contour and free draining ash soils mean purchasing this quality dairy unit is a great investment. Absentee owners say sell.
bayleys.co.nz/2851578
Auction (will not be sold prior) 2pm, Fri 29 Mar 2019 52 Bridge Street, Ahuriri, Napier View by appointment Tony Rasmussen 027 429 2253 tony.rasmussen@bayleys.co.nz Gavin Franklin 027 427 8000 gavin.franklin@bayleys.co.nz EASTERN REALTY LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
Taranaki 1508 Otaraoa Road, Tikorangi
Canterbury 322 Windwhistle Road, Glenroy
Two titles, three options
Endless options - deer, sheep, cattle, crop
Available is 232Ha in two titles with milking, grazing and finishing platforms that can be sold as a self-contained unit or separately. This is a great opportunity to secure a farm that benefits from a high standard of improvements and recent maintenance upgrades. These include the 2009 built home, 21 ASHB complete with cup removers, new in shed feed system, 5 bay implement/calf shed and silage bunker. Contour across the Dairy platform is mostly undulating to medium hill with the grazing area running from river flats suitable for finishing to steeper sidlings. The second title comes with hay sheds, woolshed, stock yards, upgraded water system and three bedroom cottage. Purchase a secure self-contained unit with good scale or individually.
bayleys.co.nz/522771
Asking Price $4,700,000 + GST (if any) View by appointment Mark Monckton 021 724 833 mark.monckton@bayleys.co.nz SUCCESS REALTY TARANAKI LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
Ridge Farm is a 128.3ha fully deer-fenced dryland farm. This welldeveloped property has recently been growing kale to winter dairy cows, followed by crop producing very high yields. Fencing is excellent and laneways are well-thought-out, giving access to most paddocks providing many options for farming. The farm is supported by a very good deer shed, cattle yards, hayshed and workshop and a large, six-bedroom family home. With tourist numbers at an all time high, the location of the property being only a short drive to skifields, the Rakaia River and lakes, the home could also be used for homestays or Air BnB.
Deadline Sale (unless sold prior) 4pm, Thu 14 Mar 2019 3 Deans Ave, Chch View by appointment Ben Turner 027 530 1400 ben.turner@bayleys.co.nz Craig Blackburn 027 489 7225 craig.blackburn@bayleys.co.nz WHALAN AND PARTNERS LTD, BAYLEYS, LICENSED UNDER THE REA ACT 2008
bayleys.co.nz/559364
bayleys.co.nz
40
farmersweekly.co.nz/realestate 0800 85 25 80
Real Estate
FARMERS WEEKLY – February 25, 2019
Accelerating success.
Reach more people - better results faster.
colliers.co.nz
Accelerating success.
Reach more people - better results faster.
RURAL Hastings McLeod Ltd Licensed REAA 2008
Cnr Church & Sophia Sts TIMARU Office 03 687 7166
Dairy opportunity
DEADLINE SALE
WEB ID TMR66239 GLENAVY 333 Glenavy Tawai Road View By Appointment DEADLINE SALE closes Thursday 28th March, 2019 at This is a very good farm, 161.8924 ha, with lots of 2.00pm, (unless sold prior) potential to increase cow numbers and production in the future, with half of the farm now under spray irrigation and the balance to be converted to spray within the next five years because of the new rules from MGI. Three dwellings of a excellent standard and good infrastructure including 28 ASHB shed. This 4+ property can be purchased in conjunction with 104 Te Michael Richardson Maiharoa Road 79.9835 ha - TMR66240 Mobile 027 228 7027
DEADLINE SALE
Office 03 687 7145 michael@pb.co.nz
colliers.co.nz
pb.co.nz
2
Real Estate
FARMERS WEEKLY – February 25, 2019
farmersweekly.co.nz/realestate 0800 85 25 80
41
colliers.co.nz
2 1 3
Accelerating Success
SOUTHLAND
230 COW O.A.D. – 219 HA
Otautau, 308 Aparima Rd & 565 Otautau Wreys Bush Rd
95ha Dairy Platform & 32ha Run Off. Dairy platform boosts strong fertility on alluvial/silt soils consented for 300 cows until 2024 through well positioned 20 aside Herringbone Dairy shed with Waikato Plant. A tidy 1960’s 4 brm o/plan brick & roughcast homestead situated in established garden overlooking dairy unit is well supported with large array of shedding. Effluent discharge consented for total property, weeping wall with 90 day holding capacity. Reticulating water with dosatron via 32mm mainlines, troughs to each paddock. Supporting run off distance from platform (5km), with central all weather lane, water scheme, 32mm mainlines troughed to each paddock, 7ha kale, balance permanent pasture. Good handling facilities with cattle yards (ex deer shed) allow for ease of stock handling. 3 brm weatherboard cottage, older workshop/storage shed & 4 bay implement shed compliment the support. Both properties
available as one unit or as separate properties.
2
Deadline Treaty Closing Wednesday 27 March 2019 at 4pm, Harcourts, 182 Dee Street, Invercargill. (Unless Sold Prior)
North Bank Maruia
View: By appointment www.harcourts.co.nz/IV39994 & IV42246
Approx 120ha effective with further 15ha rough grazing. Production to 90,336kgs MS 230 cows O.A.D. 30 aside Cow shed built in 2013 with ACR’s. 6 bay multi-purpose shed and hay barn. Three bedroom renovated cottage, large open plan living plus a three bedroom permanent material cottage. Current My-Milk supplier. Available Going Concern.
Terry Forde M 021 361 516 P 03 236 1415 E terry@harcourtsinv.co.nz
HOLMWOOD REAL ESTATE Licensed Agent REAA 2008
For Sale by Deadline Private Treaty Closing 7th March 2019 unless sold prior. Web Ref GDR3318553
Invercargill
Greg Daly AREINZ Mobile 027 478 3594 or A/H 03 762 6463
www.gregdalyrealestate.co.nz Real Estate Agent REAA 2008
“50 YEARS SERVICE TO FARMERS ON THE WEST COAST”
LK0096419©
Aparima Reliable Self Contained Dairy Business & Run Off
2
LK0096608
95.9105HA/32.5342HA
4
42
farmersweekly.co.nz/realestate 0800 85 25 80
Real Estate
FARMERS WEEKLY – February 25, 2019
IN THE HEART OF DAIRYING 96.7039HA IN 4 TITLES 96.7039ha in 4 titles Comprising of: ➞ 9.6965 ha ➞ 30.3514 ha ➞ 28.3281 ha Many purchase options to explore. • • • •
➞ 28.3279 ha
Quality dairying soil 15ha consented irrigation land in plantain 2 well maintained homes Efficient 20 aside HB cowshed
SALE BY TENDER – CLOSE 4TH April 2019 www.forfarms.co.nz
ID FF2788
LK0068450©
www.forfarms.co.nz
LK0096630©
Craig Boyden M: 027 443 2738 O: 06 374 4105 E: craigb@forfarms.co.nz Property ID FF1299
EXCEPTIONAL FIRST FARM
Sallan Realty
Google ‘Sallan Realty’ Your Farm Sales Specialist
LK0096398©
• Situated on Kellow Road is this outstanding 74 hectare dairy farm. • Featuring a modern 26 aside herringbone dairy with in bail feeding and a 350 cow circular yard. • The dairy was built for the start of the 2017/18 season and features all the modern conveniences including modern milking plant, good storage areas, excellent staff facilities along with under cover vet race and stock loading facilities. • There is very nice a four bedroom brick and tile family home with log fire and heat pump, along with a second three bedroom timber home for staff accommodation. • Water for stock and domestic is supplied by bore and tank water supplies the homes. A new bore was installed at the start of this season. • This is a great opportunity to buy a first farm that has exceptional facilities and is in a fantastic location. The lifestyle advantages of farming in this area are many and here is your chance to secure this property from our retiring Vendor. • For Sale by Tender closing 2pm, 28th February 2019 if not sold prior. • Call Les on 0274 420 582 to inspect.
CALL 0800FARMTEAM Licensed Agent REAA 2008
MANGARATA - EXCELLENT INFRASTRUCTURE, BALANCE AND LOCATION 264 Caves Road, Te Ore Ore, Masterton This very tidy sheep and beef breeding and semi finishing unit is located just 5 minutes from Masterton. Since its purchase in 2009 the vendor has enhanced and improved the property - new 4 stand woolshed and covered yards, new cattle yards, 8 km of fencing, capital fertiliser, drainage and developed the flats and cultivable hills with new grasses, clovers and herbs. There are two houses located together with the woolshed, cattle yards hay/implement shed, workshop and other storage sheds just off the sealed Caves Road entrance. Of the 476ha considered effective there are around 25ha of alluvial based road flats which are complemented by approx. 50ha of easy rolling cultivable land towards the middle of the farm, with the balance of the contour being medium hill country sitting on mudstone soils. There are a high number of tracks through the 48 main paddocks of the property ensuring ease of access and stock movement. The fertility levels are considered good for this land class. Summer and winter fodder cropping as well as regrassing is undertaken to 20% of the cultivable land per annum. The property winters around 3,500 sheep & 150 cattle. Production levels are very good with a normal lambing average of 150-160%. On Masterton´s door step Mangarata should appeal to those seeking a metro-rural lifestyle close to off farm employment, rural services, quality schooling, restaurants and community facilities. Inspection by Appmt.
FIRST FARM OPPORTUNITY 269 Kopurutuku Road, Ohakune This attractive 123 ha breeding/finishing farm could be the farm to start your journey towards farm ownership. The balanced contour consists predominantly of clean medium hill country plus approximately 55 ha of easy country suitable for either cropping or finishing. Subdivided into 22 main paddocks with good conventional fencing and a lane system enables ease of stock movement. Historically wintered around 600 ewes, 200 hoggets plus trading cattle. The original 1908 homestead has the bones to be something special and set amongst a back drop of mature trees and shrubs.
123 hectares Auction nzr.nz/RX1787297 Auction (unless sold prior) 1pm, Thu 14 Mar 2019, NZR, 1 Goldfinch St, Ohakune. Jamie Proude AREINZ 027 448 5162 | jamie@nzr.nz NZR Central Limited | Licensed REAA 2008
518 hectares Video on website nzr.nz//RX1802803 Tender Closes 4pm, Thu 21 Mar 2019, NZR, Level 1, 16 Perry St, Masterton. Blair Stevens AREINZ 027 527 7007 | 06 370 9199 blair@nzr.nz NZR Real Estate Limited | Licensed REAA 2008
THE LAND OF MILK AND HONEY 124 & 278 Tunanui Road, Owhango This attractive Owhango dairy farm ticks most boxes. A milking platform of 110 (effective) hectares with past peak production (2014) of 111,000 KG MS plus the bonus of 220ha grazing country right next door, allowing an opportunity to expand this operation or simply run as a fattening/breeding farm. Infrastructure includes a 30 aside Herringbone shed with a large 400 cow yard, implement sheds, a 3-bedroom dwelling set in mature surrounds, a 2nd house and a 4-stand woolshed with covered yards. Purchasing options available - Contact me for more information.
373 hectares Offers Invited nzr.nz/RX1703812 Offers Invited by 4pm, Thu 21 Mar 2019, NZR, 1 Goldfinch St, Ohakune. Jamie Proude AREINZ 027 448 5162 | jamie@nzr.nz NZR Central Limited | Licensed REAA 2008
licensed under the REAA 2008
Boundaries Indicative Only
Boundaries Indicative Only
Large Bare Land Opportunity In Cooks Beach
Substantial Avocado Production Block
COOKS BEACH 371 PURANGI ROAD
COOKS BEACH 1047M PURANGI ROAD
This is a fantastic and rare opportunity to purchase a significant landholding in a prime location in Cooks Beach. With Waihi Ash, free draining soil and consisting of just over 24 hectares this property caters to horse lovers, horticulturists or lifestylers. With kiwifruit and avocado orchards scattered throughout this area, it is easy to picture your new orchard in this perfect spot. At 50 ASML and a mix of contours - flats, rolling and some steeper areas at the top of this block, means that there are multiple house sites to choose from. There’s an impressive shed with concrete floor already in place. Create your next dream here.
Avocado orchards of this size and calibre are a rare find, so as far as opportunities go they don’t get much more enticing than this - a 14.8ha (approx.) parcel of land in stunning Flaxmill Bay, Coromandel. Featuring an established avocado orchard with 11 ca/ha (approx.) of Hass trees. Excellent infrastructure with an irrigation system, huge orchard shed, staff accommodation quarters and an extensive list of machinery all included. Full time orchard manager in place that is very keen to stay on. Situated in one of NZ’s finest growing area’s this significant avocado orchard is what everyone asks for - now it’s here. With over 500 bins picked this season, pruning and fertiliser regimes in place - this orchard is set up for the future. Sold +GST if any.
28 March, from 1pm
28 March, from 1pm (unless sold prior)
Durrelle Green M 027 949 3725 E durrelle.green@eves.co.nz Web durrellegreen@eves.co.nz
Durrelle Green
HELD 247 Cameron Road, Tauranga WEB www.eves.co.nz/ektc2044 VIEW Saturday 12.30-1.30pm
M 027 949 3725 E durrelle.green@eves.co.nz Web durrellegreen@eves.co.nz
(unless sold prior)
HELD 247 Cameron Road, Tauranga WEB www.eves.co.nz/ektc2045 VIEW Saturday 2.00-3.00pm
Boundaries Indicative Only
Wharekaho Coastal Development
39 Wharekaho Road
Land Bank Opportunity At Simpsons Beach
Moving To The Sunny BOP & Need An Income?
WHITIANGA 39 WHAREKAHO ROAD
KATIKATI 237E BUSBY ROAD
3
2
2
1
This picturesque 30ha grazing block has expansive countryside views as well as hair raising vistas of Wharekaho and Mercury Bay. Zoned rural, the 30ha property borders the future urban zone, this could be the ultimate land bank for future development or is the ideal location for someone who wants this slice of paradise all to themselves. For retiring farmers this would be a great little grazing block whilst you just enjoy the location and lifestyle. The stylish architecturally designed home was strategically built to take advantage of the stunning views. It includes spacious open plan living areas, three generously sized bedrooms including a master with ensuite and walk-in wardrobe and numerous unique features throughout. Sold +GST if any.
Are you are looking for an orchard that you can also build your own home on, yet be super close to Katikati township? Then come and check out this private, rural block well set up with kiwifruit and avocados. The elevated, north facing house site offers plenty of options to build a home on. The established 2.76 ca/ha (approx.) of green kiwifruit offers an instant income with crop to be picked in three months. There are 114 avocado trees at ten years old - just starting to ‘come into their own’. Also a 3ha stand of Lusitanica trees, grazing and a huge shed - all waiting for you! Being sold +GST if any.
28 March, from 1pm
28 March, from 1pm
Durrelle Green M 027 949 3725 E durrelle.green@eves.co.nz Web durrellegreen@eves.co.nz
(unless sold prior)
HELD 247 Cameron Road, Tauranga WEB www.eves.co.nz/ektc2046 VIEW Saturday 10.00-11.00am
Durrelle Green M 027 949 3725 E durrelle.green@eves.co.nz Web durrellegreen@eves.co.nz
(unless sold prior)
HELD 247 Cameron Road, Tauranga WEB www.eves.co.nz/ektc2047 VIEW Sunday 11.00am-12.00pm
Real Estate
FARMERS WEEKLY – February 25, 2019
farmersweekly.co.nz/realestate 0800 85 25 80
45
Rural
For Sale $6.3m+GST (if any)
Ship-shape Te Pahu dairy
View Wednesdays 6, 13, 20, 27 March, 11.00am - 1.00pm
979 Limeworks Loop Road, Te Pahu Delightfully located dairy farm of 134.33ha, situated in the popular Te Pahu district, milking up to 400 cows. Modern and generous infrastructure includes 30 aside dairy, covered feedpad, storage bunkers plus numerous other support buildings. Races and fences have recently been upgraded. Fully fenced and planted freshwater stream meanders along one boundary. Regrassing programme is in place and good fertility ensures year round grass growth.
Neville Kemp
027 271 9801 Noldy Rust
www.rwteawamutu.co.nz/TEA23247
027 255 3047
Rosetown Realty Ltd Licensed REAA2008
MAXWELL, WAITOTARA RURAL | LIFESTYLE | RESIDENTIAL
EXCLUSIVE
The Complete Package Dairy Farm & Runoff 111 hectare dairy farm with excellent infrastructure, 26 aside herringbone cowshed, supplement feeding system which includes two silos and crushing/ mixing system – a number of sheds including calf, workshop, storage, hay. Modern 4-bedroom homestead on elevated site with sweeping views over the Tasman Sea. Nukumaru Water Scheme, Egmont Ash soils, approximately 50% flat, 50% rolling contour. Just 4 minutes down the road on State Highway 3 is a 27 hectare run off. Egmont Ash soils, hayshed, cattle yards and older cottage. This is a very well located property where properties of this quality seldom come onto the open market.
David Cotton M: 027 442 5920 H: 06 342 9666 E: davidc@forfarms.co.nz
'Matahuia' - Coastal Breeding John Thornton M: 027 443 0045 H: 06 344 1111 E: johnt@forfarms.co.nz
LK0096418©
ID FF2776 Property ID FF1299
• • •
•
LK0068450©
www.forfarms.co.nz
• •
•
We welcome your inspection by appointment with Vendor’s agent. $6,500,000 + GST if any www.forfarms.co.nz
KAIRAKAU, CENTRAL HAWKE'S BAY
343.89 hectares (849.7 acres) of hill country Coastal breeding unit, ideal as a winter run off or entry level farm, some 40km west of Waipawa Close to Kairakau and Mangakuri beaches Watered from spring fed dams and creeks Three bedroom home, built in 2011 plus a separate double garage Four stand Woolaway shed (500NP), sheep and cattle yards Currently leased, now ready for new owners
3
1
2
DEADLINE PRIVATE TREATY
Plus GST (if any) Closes 2.00pm, Tuesday 19 March PGG Wrightson Real Estate, Hastings
Doug Smith M 027 494 1839 | B 06 878 3156 E dougsmith@pggwrightson.co.nz Paul Harper M 027 494 4854 | B 06 878 3156 E paul.harper@pggwrightson.co.nz
pggwre.co.nz/HAS29909 PGG Wrightson Real Estate Limited, licensed under REAA 2008
Helping grow the country
ANIMAL HANDLING
ANIMAL HANDLING
ANIMAL AND HUMAN healer, also manipulation on horses and dogs. 25th February to 2nd March in Canterbury. 4th & 5th March in Kaikoura, Blenheim. 6th to 18th March in North Island. 19th to 21st March in Nelson, Murchison. For more information phone Ron Wilson 027 435 3089.
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
Classifieds
ANIMAL HEALTH www.drench.co.nz farmer owned, very competitive prices. Phone 0800 4 DRENCH (437 362). BOOK AN AD. For only $2.10 + gst per word you can book a word only ad in Farmers Weekly Classifieds section. Phone Debbie Brown on 0800 85 25 80 to book in or email classifieds@globalhq.co.nz
FARMERS WEEKLY – February 25, 2019
ANIMAL SUPPLEMENTS
ATTENTION FARMERS
ATTENTION FARMERS
APPLE CIDER VINEGAR, GARLIC & MANUKA HONEY. 20L - $54.95, 200L $495 or 1000L - $2,200 plus GST with FREE SHIPPING from Black Type Minerals Ltd www. blacktypeminerals. co.nz
FAST GRASS www.gibb-gro.co.nz GROWTH PROMOTANT $5.85 per hectare + GST delivered Brian Mace 0274 389 822 brianmace@xtra.co.nz
SHED/BARN BUILDER available all of South Island. Has self-contained motor home. 15 years experience. Phone James 027 436 8372. BOOK AN AD. For only $2.10 + gst per word. Phone Debbie on 0800 85 25 80 to book in or email classifieds@globalhq.co.nz
CONTRACTORS GORSE SPRAYING SCRUB CUTTING. 30 years experience. Blowers, gun and hose. No job too big. Camp out teams. Travel anywhere if job big enough. Phone Dave 06 375 8032.
DEERLAND TRADING LTD buying deer velvet this season and paying above the average. Also contractor required to buy deer velvet. Payment on commission basis. Contact 021 269 7608.
DOGS FOR SALE HUNTAWAY BITCH, 3 years, Smithfield Beardie X, fully broken in. Would suit anyone. $2700. Rotorua. Phone 027 788 8115.
Employment
Stock Manager
Opportunity has opened for a motivated individual to run an intensive operation for a dairy heifer and sheep unit. Situated on the Clevedon river flats, South of Auckland.
We will offer: • Five bedroom house in bush setting • Excellent working conditions • Competitive salary package • Close to schools and shops
Experienced Shepherd General
The farm milks 9000 cows across six dairy units with drystock land fully supporting the dairy business. Rakaia Island Limited employs a diverse team of over 50 people with a culture based around strong and supportive family values. For more information see www.rakaiaisland.co.nz
Ngāti Pāhauwera Commercial Development Limited seeks an experienced Shepherd General to work alongside the team managing 2500 hectares of sheep and beef farms. This role is predominantly based at Pihanui Station, a 1250ha farm located 30km inland from Wairoa but from time to time may involve assisting staff on other farms in the area. Reporting to the Stock Manager on Pihanui Station, the ideal candidate will: • Have a good team of 4-6 well controlled dogs • Have good communication skills • Have good stockmanship • A current driver’s license • Have knowledge of general farming practices • Think for themselves and be able to work unsupervised • Focus on high outputs of quality work • Enhance and contribute to our focus on the health and safety for all parties • Have knowledge of tikanga o Pāhauwera. Te Reo Maori is desirable • Lives and promotes our values and ethics: Whānaungatanga, Kaitiakitanga, Manaakitanga.
The Senior Farm Manager is responsible for leading a team across the two units and ensuring collaboration and best use of resources to enhance performance and productivity. In addition to ensuring the delivery of the annual operational plan and the achievement of key performance indicators, this unique role focuses on developing the capability of the units’ people. The Senior Farm Manager is supported by the Operations Manager and an administration team who share Rakaia Island’s strong and supportive family values. Rakaia Island’s culture of continuous improvement and collaboration means there is also good support across the wider business. To succeed in this role you will: • Be a top dairy farmer with the technical skill to deliver excellent farm production and best practice management • Have the management and leadership skill to develop people to successfully reach their potential • Be an excellent communicator who can set expectations, share a vision, get people excited about what is on the horizon and hold them accountable for their actions • Have experience working in large scale dairying with culturally diverse teams • Be a team player, able to collaborate, build successful relationships, share knowledge and information and contribute positively to the wider business.
To apply
If you possess the passion, drive and competency required for this role and are drawn by the opportunity to make a difference to this successful family owned New Zealand business, submit your resume and cover letter by email to info@peoplemad.co.nz Applications close Friday 8th March.
Applications are to be received by Jonathan no later than 5pm on Friday 1st March 2019
SEE PAGE 11 FOR BULL FARMER VACANCY
LK0096481©
A full position description for this role can be viewed at www.peoplemad.co.nz/current-jobs
A 3 bedroom house is available, so could suit a couple or family.
DOLOMITE
For more information please contact Mike Ramsey on 07 878 7077
NZ’s finest BioGro certified Mg fertiliser For a delivered price call ....
Please apply with your CV and cover letter to: hra@crusadermeats.co.nz Applicants must have NZ residency or valid NZ work visa.
0800 436 566
SCOTTY’S CONTRACTORS Under Woolshed/ Cover Yards Cleaning Specialist www.underthewoolshed.kiwi
RURAL SECTOR RURAL SECTOR
We’re back and taking bookings
JOBS BOARD JOBS BOARD
Ph: Scott Newman 027 26 26 272 0800 27 26 88 NZ’s #1 service provider for under woolshed cleaning for more than a decade
• 2019 Trainee Programme - Livestock Representative 2IC • Agribusiness Farmer • Bull Agronomy • Farm AnalystManager • General Dairy Hand • General Maintenance Labourer • Livestock Specialist • Manager Manager • Pasture and Grazing Specialist Senior Reporter • Sharemilker • Sharemilker Shepherd • Shepherd Shepherd/General
A comfortable three bedroom cottage or shared single accommodation is available for the successful applicant. Remuneration will be set according to skills and experience. Enquiries and full employment descriptions can be obtained by contacting Jonathan Neilson jonathan.neilson@npdt.co.nz or 027 237 5687
YOUR FARM MAPPED showing paddock sizes. Priced from $600 for 100ha. Phone 0800 433 855. farmmapping.co.nz
Success in this role may lead to a management position, in time.
farmersweeklyjobs.co.nz farmersweeklyjobs.co.nz
To be considered for the role applicants need to supply: • A current CV • A covering letter that tells us why we should consider you • Two referees
LK0096616©
This is a really exciting opportunity with the possibility of growth and progression within a very successful dairy farming business. A four bedroom home is available for the Senior Farm Manager and their family with school bus at the gate.
If you are passionate about working with a progressive organisation and our Iwi and can demonstrate the required attributes, we would love to hear from you.
FARM MAPPING
LK0096624©
The Senior Farm Manager is responsible for managing the combined operation of two of the dairy units based on Rakaia Island. These units milk a total of 2900 cows, through an existing 54 bail rotary and a brand new 70 bail rotary. There has been significant capital investment in the new dairy which is state-of the art and supported by an in-shed feeding system.
QUICK CASH AND a free crate of beer! Buying 350 dogs annually South and North Islands. No trial or breeding necessary. No one buys or pays more! www.youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553 / 021 030-0037
On occasion you will be required to work on two other Company farms to help out and cover periods of leave. No dogs are required.
Full-time position
The Role
SHEPHERD GENERAL
We are looking for an enthusiastic and motivated person, preferably with previous experience working with deer. Ideally, you will have tractor, fencing and chainsaw experience.
Rakaia Island Limited is a proud family owned dairy and drystock operation that is dedicated to farming for the future, being at the forefront of innovation and efficiency and promoting a culture of continuous learning.
DOGS WANTED 12 MONTHS TO 5½-yearold Heading dogs and Huntaways wanted. Phone 022 698 8195.
We are looking for an experienced Shepherd General to join our team. We are a deer only farm located in the Rerewhakaaitu, between Murupara and Rotorua.
Applicants should apply with CV and references to: markbolscher@gmail.com
The Business
Applicants must have NZ residency or valid NZ work visa.
LK0096625©
Please apply with your CV and cover letter to hra@crusadermeats.co.nz
For more information please contact Mark Bolscher on 021 758 963
Senior Farm Manager Rakaia Island Limited
WILL WORK FOR food 24/7. 45 Heading and Huntaways in stock! Deliver South and North Islands, trial, guaranteed, trade ins wanted. www. youtube.com/user/ mikehughesworkingdog/ videos 07 315 5553 / 021 0300 037.
For more information please contact Mike Ramsey on 07 878 7077
LK0096626©
LK0096633©
Please email your CV with references to: admin@total-ag.com
TWO HEAD AND HUNT pups, 9 weeks old. Good natured working parents. $370 each. Phone 027 483 6459.
While you may not have management experience, you will have at least two years of head shepherd or leadership experience.
The job requires: • Two good working dogs • Good understanding of animal husbandry • Proven pasture management skills • Ability to accurately record stock records • In depth understanding of health and safety requirements • Ability to take charge in absence of owner • Tractor operation • Fencing experience
This position will allow the successful applicant to grow their sheep and beef farm management skills. A 4-bedroom home in attractive grounds, with good quality schooling nearby with competitive remuneration is part of the package.
Applications close 28th February 2019
You will be in a sole charge position of a predominantly deer farm located in Rotorua. The property is 236 hectares effective with 1100 stock units. Although there is also a small mob of sheep run on the property, experience with deer is preferred.
The person required must be able to work independently, be a good communicator with technical abilities and organisational skills.
The successful applicant will have outstanding stockmanship, be a great communicator with technical ability and be able to achieve a high standard of production through pasture management.
THREE HEADING X pups b&w, short haired, 5 months. Father unknown? $200 each or 3 for $500. Waikato area. Phone 027 328 8678.
JOHNNY GRAY
Shepherd General Employers: Advertise your vacancy in the Stock Manager
Specialists in mustering Wild Goats, Cattle, Horses and Sheep across New Zealand
employment section of the Farmers Weekly and as added value it will be uploaded to farmersweeklyjobs.co.nz forvacancy one month or Employers: Advertise your in the close of application. employment section of the Farmers Weekly
and as addedDebbie value itBrown will be06 uploaded to Contact 323 0765 farmersweeklyjobs.co.nz for one month or or email classifieds@globalhq.co.nz close of application.
Contact Debbie Brown 06 323 0765 or email classifieds@globalhq.co.nz
LK0092630©
Te Akau Stud operates an 800ha sheep and beef finishing property on the West Coast of the Waikato. A vacancy has arisen for a Stock Manager to join the team to continue to drive production to develop this property.
For further information and job description please contact 027 320 3185
FARM MANAGER – SOLE CHARGE
LK0096053©
Stock Manager
DEERLAND TRADING LTD
LK0096609©
classifieds@globalhq.co.nz – 0800 85 25 80
Check out our website and let results speak for themselves www.aotearoastockman.com
Ph: 027 959 4166 johnnyanderin2017@gmail.com maiexperiencejohnnygray
Working alongside Crusader Meats
LK0096068©
46
Classifieds
FARM COTTAGE WANTED ACTIVE RETIREE seeking high country farm cottage to rent or buy. Has older aged care experience and available for general house duties and gardening. For further details call 027 693 8939.
FOR SALE
FORESTRY
DOG/PET FOOD. Lamb/ Beef and chicken products. All natural - raw - no preservatives or additives. NOSLOC PRODUCTS. Ex-freezer Te Kuiti. For information and prices www.nosloc.com or phone 07 878 6868.
TH IN K P REB UILT
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.
HORTICULTURE
GOATS WANTED 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.
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
PROPERTY WANTED HOUSE FOR REMOVAL wanted. North Island. Phone 021 0274 5654.
NEW HOMES WELL INSULATED – AFFORDABLE
CRAIGCO SENSOR JET • Robust construction
• Adjustable V panels
• Auto shut gate • Total 20 jets
• Davey Twin Impellor Pump
• Lambs only 5 jets
• 6.5 or 10hp motors
LK0095830©
• Side jets for lice
Save time and money – flystrike and lice cost $$$ Guaranteed performance Quick to set up – easy to use – job done
RAMS. TERMINAL SIRES Southdowns and Suffolk/ Southdown X for heavy fast growing lambs. Suitable for Hogget mating. $250$500. Phone 06 357 7727 or 021 133 7533. RAMS. HILL COUNTRY Perendales. Easy care with good size and quality wool. $250-$500. Phone 06 376 4751 or 021 133 7533.
HIGH PRESSURE WATER PUMPS, suitable on high headlifts. Low energy usage for single/3-phase motors, waterwheel and turbine drives. Low maintenance costs and easy to service. Enquiries phone 04 526 4415, email sales@hydra-cell.co.nz BOOK AN AD. For only $2.10 + gst per word. Phone Debbie on 0800 85 25 80 to book in or email classifieds@globalhq.co.nz
STOCK FEED MOISTURE METERS Hay, Silage dry matter, grain. www.moisturemeters.co.nz 0800 213 343. HAY 12 EQUIVALENT squares $60. 15 equivalent rounds $70. STRAW 12 equivalents $45. BALEAGE at $75. Unit loads available. Phone 021 455 787.
WANTED TO BUY KOMATSU EXCAVATOR PC60-5. Suit wrecking or parts. Phone 027 403 699.
(T&C’s online only and for a limited time) LK0095993©
Our homes are built using the same materials & quality as an onsite build. Easily transported to almost anywhere in the North Island. Plans range from one bedroom to four bedroom First Home – Farm House Investment – Beach Bach
PUMPS
LIVESTOCK FOR SALE
47
Between 40% to 75% off storewide
SOLID – PRACTICAL
Call or email us for your free copy of our plans Email: info@ezylinehomes.co.nz Phone: 07 572 0230 Web: www.ezylinehomes.co.nz
classifieds@globalhq.co.nz – 0800 85 25 80
LK0096542©
FARMERS WEEKLY – February 25, 2019
Including our luxury Pure Merino range
SHEEP JETTERS SINCE 1992 Ph 06 835 6863 Mob 021 061 1800 Jetter video: www.craigcojetters.co.nz
www.nurturedbynature.co.nz
AT A FIELD DAY NEAR YOU
100% KIWI OWNED AND BUILT! • Farm Workers Accommodation • Additional Family Dwelling (Great for the Kids or Parents) • Rental Income 25% + Yield • Bed & Breakfast
Deluxe Two Bedroom with Kitchen, Lounge & Bathroom Featuring: • Double Glazing • Fully insulated top to bottom • Quality Oven, Hobs and Rangehood • Washing Machine Taps and Plumbing • Delivery North Island $3,500
Northland Field Days February 28 - March 2 Central Districts Field Days March 14 - 16 South Island Agricultural Field Days March 27 - 29
Only $79,500! (Including GST)
Come see us at Central Districts Fieldays 14-16th March, 2019 Site 073, Northfuels Track
Show homes available to view 10am – 4pm at 51 Hunua Rd, Papakura, Auckland For more information P. 0800 468 736 E. info@houseme.co.nz / houseme.co.nz
AT A FIELD DAY NEAR YOU
Northland Field Days February 28 - March 2 Central Districts Field Days March 14 - 16 South Island Agricultural Field Days March 27 - 29
YOU MIGHT BE THE ONE TO WIN!
COME AND SEE US AT THE CD FIELD DAYS www.taylorpreston.co.nz
LK0096477©
MARCH 14-16TH 2019 – SITE NUMBER: V39
Drop your details in our tent and be in to win the daily draw of a box of cuberolls or a butchery knife pack.
It is with great pleasure that CRGrace Ltd and Taylor Preston Ltd invite you to join us to have the opportunity of better understanding our business, learn more about our overseas markets and discuss your future livestock supply options.
LK0096619©
Come see us at CD Field Days – Site D15
We are a no-frills fuel company with low overheads, supplying quality fuel. No loyalty scheme, no giveaways, just service and fuel that is at the best price possible for our customers
When water soluble fertiliser are applied to our farm soils, those water-soluble minerals chemically combine with other minerals present in the soil and quickly become insoluble. For example, when Super phosphate, (water soluble P), is applied it remains on the soil surface until there has been enough rain to dissolve it allowing the soluble Phosphorous, (P), to enter the soil. Within days, much of the soluble P will have either leached down below pasture root levels, or into the soil’s water table. A further portion of the soluble P will chemically combine with other minerals such as Iron, Manganese and Aluminium that are present in the soil to create insoluble forms of P. If this didn’t happen it is easy to understand that all of the water-soluble P would have been in danger of leaching and becoming valuable dollars lost into the environment. The portion of P that does remain water soluble in the soil, is usually measured using the Olsen P test. It’s important to note that Olsen P is just one of a number of laboratory P tests that are available. Biological science
has proven that pasture plants obtain most of their P requirements from the insoluble soil P reserves. Considering that plants can’t excrete acids or enzymes with enough strength to break the insoluble P mineral bonds, this leads us to the question, “How are plants able to access the soils insoluble mineral reserves”? And, perhaps more importantly, “Can we, as farmers, enhance the process”? I have yet to meet a farmer that doesn’t agree that the life under their feet is important and they readily accept the fact that the presence of worms in their soils is positive while the lack of them is a concern. Worms are just the visible ‘tip of the iceberg’ when it comes to the soils microbial life. Consider the fact that on pastoral farms, the weight of the life below soil level will be greater than the weight of the livestock above. All plants have essential and beneficial symbiotic relationships between their root structures and the microbial life that surrounds them. While there are thousands of soil microbial species, possibly the most important to
farmers are the groups of Nitrogen fixing bacteria, which make Nitrogen available to plants from the atmosphere completely free of charge, and the Phosphate solubilising bacteria and fungi that, as their description suggests, make the insoluble forms of P plant available. These vast numbers of very busy soil bacteria and fungi clearly must have an energy supply. This energy comes from the symbiotic relationship they have with plants. Pasture plants excrete approximately thirty percent of the carbohydrates and starches, (energy), that they manufacture through the process of photosynthesis, out into the soil to feed the microbial life around their roots. You can easily enhance this whole process. Simply focus on more than just NPK and don’t overlook the importance of Calcium and Liming. As you raise soil pH, microbial life flourishes. Using PFP’s Prilled Ultrafine Particle Lime and Fertiliser products provides an economically viable Liming option even on steep hill country. For further information or our sample pack please phone Sandra on 06 858 5235.
www.pfpfert.co.nz
LK0095930©
“How are plants able to access the soils insoluble mineral reserves?”
Come and see us at CD Field Days Ag Pavilion site AG15-16
Andrew de Lautour – ©2019
Low Application Rates • Cost Effective • Easy to Spread • Excellent Results • Perfect for Hill Country 06 858 5235 or email: info@pfpfert.co.nz
Ultra-fine particle technology working for you
Livestock
Rural Livestock Ltd in conjunction with PGG Wrightson
Puriri Wiltshire Rams for sale
On A/C PETER & JOY HORRELL Clifden - Tuatapere Stock & Plant Thursday 7th March 1:30pm
CAPITAL LIVESTOCK SALE On account of D & J Turnbull – Mt Terako 2495 Inland Road, Kaikoura
Full shedding Hard black feet Big and brawny Easy natured
Carrfields are pleased to be able to offer on a/c M/S PJ & JM Horrell an outstanding line of proven high producing breeding ewes.
Friday 1st March 2019 Commencing at 1pm
Genetics from Morrisson, Glenbrae and McMillan.
Comprising Approx: 750 Per Tex Ewe Lambs 820 Per Tex 2th Ewes – Nov Shorn 800 Per Tex 2 SHR Ewes – Jan Shorn 760 Per Tex 3 SHR Ewes – Jan Shorn 750 Per Tex 4 & 5 SHR Ewes – Jan Shorn
2th @ $450 + GST Ram lamb @ $200 + GST You will not be disappointed Brook & Rachel 09 232 9875 puririheights@gmail.com www.puririwiltshire.com
Breeding – Gardyne Crest Stud and Smith Newhaven Stud Toxo and Campo Program Scanning 188% Lambing 160% Lambs ave 18.5/19.5kg – Clearance by mid-April Lambs are achieving good yield results and premiums through Alliance processing. Note: Peter & Joy have committed to achieving top results in their farming program for many years. This is an excellent opportunity to purchase ewes with a depth of breeding consistently performing at the highest level. • 3yr Eye Dog • 3yr Huntaway • 2 Older Yard Dogs
Autumn Ram Sale
PLANT • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
March 15th – 1pm on-farm SH 8, Fairlie 150 2th rams – 7 breeds, including a selection for hogget mating
CDAX prill sower CDAX SR 100 L bike sprayer CDAX 200 L spray tank and boom Bissett Rotowiper Comet P38 motorised spray pump Gilkinson Eng 2000 litre diesel tank Vanguard wool press’s Calder Stewart wool table and Bins Shearing Grinder 3 phase Lister dagging plant and track Donald Alloy wheeled sheep loading ramp Cattle loading ramp Sunbeam 60 shower dip and tanks Hecton lead up race Trutest scales and 2 way sheep scales Galvanised sheep crate for ute 21 Mothering up sheds Lamb warmers 12 round bale feeders Hay racks Wilmar grain silo and auger 4-7 metre by 400 mm RSJ bridge beams Burford chemical shed Burford killing shed 2 freezers and vaccine fridge Dog kennels Duck decoys and copper Vintage trailing plough and steel wheeled flower plant box garden ornaments Approx 800 conventional bales of hay Numerous electric triple reels and standards Fecpak worm testing kit Grass master pasture meter Honda HRU 215 self-propelled rotary lawn mower Masport rotary hoe General farm sundries
• Romney • Romdale • Perendale x Tex x Romney • Texel x Romney • kelso. x Romney • kelso. Maternal • kelso. Terminal (Blackface)
– next to the Rugby club on ringside sharing our tent with Beltex NZ
LS & JM GIBBS – Riverton • Maschio Power Harrow
May 1st - 12pm on-farm
Approx. 80 fully - recorded Stud Females R2, R3, R4, and Annual Draft Cows – 50 R2 Commercial heifers, Meadowslea Bred
Contact: David Giddings 03 685 8027
BL HAMPTON FARMS • 4 Cradle Hay Racks • Willett Ridger Rubber Wheels • 40 CFT Freezer
BF & EC HORRELL 240 amp 3ph welder Pedestal grinder 3ph 2 workshop tables Nisson Patrol white spoke rims Air compressor Sheep loading ramp Drive Shaft Alloy diesel tank 270 litre 1200 volt pump
EM MCINTOSH • Tandem axle Horse float in good condition • Backblade IONE FARM • Dromore Leveller • Back Blade • 6 x Flexi Nets
KELVIN LOTT – CARRFIELDS 027 226 6153 PETER & JOY HORRELL 03 226 6728 or 021 461 998
www.carrfieldslivestock.co.nz
Advertise your ram sale in Farmers Weekly
Auctioneers: PGGW
Keith Willson 027 412 5766
Carrfields PWA RLL
Callum Dunnett 027 5870131 Hamish Zuppicich 027 403 3025 Anthony Cox 027 208 3071
Call Nigel 0800 85 25 80 livestock@globalhq.co.nz
SALE TALK
LK0096545©
• • • • • •
BN & F COLLIE – Feldwick Willet Discs Pottinger 3.5m Disc mower Dutch Harrows Urea spreader for motor bike 500 ltr 2011 Yamaha Rhino UTV Backblade
Romney/Texel 400 M/A Ewes
3rd Annual Angus In-Calf Female Sale
Lions Club available to load out plant for a cash donation.
• • • • • • • • •
Sheep Perendale (Montana Bred) 640 2th Ewes 600 4th Ewes 900 M/A Ewes 100 A/D Ewes Genuine Capital Hill country Ewes bred for durability & fertility. Runner up in the Perendale section at the NZ Ewe Hogget Competition 2018. Lambs weaned 2017 29.2kg Ave 137% to sale, 2018 29.9kg Ave 143% to sale
Enquiries Cody Clark (RLL) 027 473 0802 Matt Gibbs (PGW) 027 555 2307
Visit us at the Wanaka Show
OUTSIDE ENTRIES RJ & RL KNOWLER – Clifden • Dual axle hay trailer • Electric lamb warmers • Hecton E21 crutch
Cattle Angus (Grampians Angus Bred) C10 30 R2 Heifers 30 R3 Heifers 20 R4 Cows 20 R5 Cows 20 R6 Cows 20 R7+ Cows Genuine Capital Hill Country Cows. Calves weaned 2017 264kg Ave, 2018 271kg ave. Cows will be sold at auction, delivery will take place after weaning at the end of March/ beginning of April. Tallies subject to TB & PTIC results.
A man walks into a bar, sits down and asks the bartender, “Cigarettes?” He points, “Sure, the cigarette machine is over there.” The man walks over to the machine and as he is about to get some cigarettes, the machine says, “Oi, idiot, what you want?” The man surprised says, “That’s not very nice,” and returns to his bar stool without cigarettes and asks the bartender for some peanuts. The bartender gives him a bowl of peanuts and the man hears the peanuts say, “Ooh, I like your hair.” He says to the bartender, “Hey, what’s going on here? Your cigarette machine is insulting and these peanuts are coming on to me. The bartender replies, “Oh, that’s because the machine is out of order and the peanuts are complementary.”
FRANKTON BEEF WEANER FAIR Monday 4th March 12 noon A/c NW & CC Woodcock 75 Wnr Ang Steers (Capital Stock) 60 Wnr Ang Heifers (Capital Stock) A/c Tinopai Farming 40 Wnr Ang Steers (Annual Draft) 70 Wnr Ang Heifers (Annual Draft) A/c South Farms 20 Wnr Ang Steers (Annual Draft) A/c Mangawara Farm 13 Wnr Ang Steers (Annual Draft) 30 Wnr Ang Heifers (Annual Draft) A/c Smith Farms (Kawhia) 125 Wnr PB Hfd Bulls (Annual Draft) 50 Wnr PB Hfd Heifers (Annual Draft) A/c Cameron Farms 40 Wnr PB Hfd Bulls (Annual Draft) 30 Wnr PB Hfd Heifers (Annual Draft) A/c Edenbrook Stud 8 Pedigree Gelbvieh Wnr Bulls A/c Clients: 20 Hfd/Frsn Wnr Steers 30 Ang/Ang x Wnr Heifers, 20 PB Hfd Wnr Bulls 40 Exotic Wnr Steers, 40 Exotic Wnr Heifers For further enquiries contact Brent Bougen 0272104698
LK0096615©
• 2015 John Deere 6125 M W/Loader 4WD, 1640 Hrs • Claas Disco 3050 7 Disc Mower • 2015 Honda TRX 420 4WD • 1996 Honda TRX 300 2WD • HDale Crutch and Weigh Combo sheep Auto Drafter • New Holland 377 conventional baler • Craft side mounted fully hydraulic Post Driver • Ewing Trailing Motorised Bale Buggy • Willet rubber wheeled Ridger with hydraulic lift • Reid and Gray Cambridge roller drill • Prattley Alloy Trailing Yard / 20 gates • Prattley Drenching Races • Prattley Sheep foot baths • 1968 Chamberlain Champion 306 Tractor with duals • MF 135 petrol tractor, belt pully, saw bench and post hole digger • 2 PZ DS5000 Haybobs • Hay Impalers • Hay Trailers • Heavy trailer carries 12 bales balage • Burnett Tip trailer • G Paterson Hydraulic Rock Trailer • Motor bike trailers and crates • Quad Pod cab • Webco silage wagon • Robertson silage grab • Rata bale forks • Soft hands • 10’ Reid and Gray Discs • Duncan Rotocrumbler • Glenelg leveller • Thornbury hydraulic wheeled leveller • Hooper chain harrows • Storrie trailing swede scuffler • Trailing magnesium duster
49
LK0096627©
NOTICE OF CLEARING SALE
livestock@globalhq.co.nz – 0800 85 25 80
LK0096617©
FARMERS WEEKLY – February 25, 2019
livestock@globalhq.co.nz – 0800 85 25 80
Livestock
FOR SALE **Complete
EWE Flock**
260 x ROMNEY 2TOOTH EWES 1050 x ROMNEY 4TH-5YR EWES 60 x ANGUS DAIRY BULLS 520kg 16 x HEREFORD BULLS 530kg
STOCK REQUIRED STORE LAMBS 25-35kg
FRIESIAN BULL CALVES 130-160kg
Heifer Grazing
Tuakau Beef Weaner Fair Carrfields share only Thursday 28th February • 680 Exotic x & Beef Bred Weaner Heifers
Tuakau Weaner Bull & Steer Sale Carrfields share only Friday 1st March 2019
Full herd management on South Auckland property
A Financing Solution For Your Farm E info@rdlfinance.co.nz
Further inquiries contact Dave Anderson 0274 981 201
LK0096646©
• 40 Exotic & Beef Bred & Friesian Bulls
Ross Dyer 0274 333 381
Available from May 1st for 50 to 60 heifers for long term at $9.25 per week plus gst Weight gain guaranteed at .6 kg per day
• 700 Exotic x & Beef Bred Weaner Steers www.dyerlivestock.co.nz
FARMERS WEEKLY – February 25, 2019
Call farm manager Fraser on 021 056 8156
LK0096390©
ENTER AT
farmersweekly.co.nz/ewehogget2019
www.carrfieldslivestock.co.nz
Low input meat breed, NO FLY STRIKE, NO DAGGING, NO SHEARING, NO VACCINES, NO DIPPING NO DRENCHING SINCE 1989 Reduced work, high fertility, hardy, fast growing lambs. Stud established 1987
LK0096614©
SHIRE® (hair) & WILTSHIRE (shedding) MEATY RAMS FOR SALE NOW!
ALSO SHIRE® X WILTSHIRE RAM LAMBS $450 EACH + GST Certified BioGro (215) Organic since 1989. Deliver all over NZ
Phone Tim & Helen Gow 03 225 5283 www.organic-rams.co.nz • Email: tim@organic-rams.co.nz
WHAT DO YOU SEE? That’s right, guaranteed black face lambs sired by Suffolk rams.
Hit the bulls-eye with advertising in Farmers Weekly. Reaching over 78,000 rural mailboxes weekly we are the ideal space to engage with the right audience for your bull sales.
2424FW
NC
O
L
farmersweekly.co.nz
Growth - Meat - Survival
F
A
Whether finishing or selling store, only a genuine black face Suffolk ram can give you this advantage.
SEA
To find out more, contact Nigel Ramsden on 06 323 0761, 027 602 4925 or email livestock@globalhq.co.nz
FOL UF K
E
S
PERFOR
IT’S TIME TO MEAT A MODERN DAY SUFFOLK FOR A SUFFOLK BREEDER NEAR YOU VISIT nzsheep.co.nz/suffolk
LK0095509©
Farmers Weekly also publishes a free weekly e-newsletter during autumn and spring that showcases bull sale results from around the country. Adding digital advertising options to link to your catalogue offers added benefits.
M
50
Livestock
FARMERS WEEKLY – February 25, 2019
Moonlight Charolais Stud
livestock@globalhq.co.nz – 0800 85 25 80
Spring Calving Herds 330 FR/Xbred early calving Cows BW117 PW142 RA99% DTC 1/7 Web Ref DH1281 Sharemilkers exiting the industry. 25 years breeding that includes some exceptionally high figured cows. 500ms/cow last season. System 3. Computer or Calving date splits available. $2000 190 Fr CRV Herd NZMI 50.6. DTC 17/7 Web Ref 1263. 35 yrs CRV,strong udders, Low input 350ms System 1 $1800. 280 Top Quality Xbred Cows. BW63 PW86 RA 92%. DTC 25/7. Web Ref DH1232 Young Xbred herd 420ms system 3. 7% empty rate, Low SCC. $1700. 250 Proven OAD Xbred Herd BW103 PW132 LW129 RA87%. DTC 19/7. Web Ref DH1236 On very steep Northland farm, long walks. System1. $1700 260 Fr/Xbreds BW38 PW50 DTC 25/7 360ms, long walks on wet farm $1475 70 KiwiX Computer Split BW80 PW103 RA90% DTC 18/7, system 3 $1720 or pick 50 for $2150
Complete Dispersal Sale 4th April, 2019 – 1pm 495 Waiwhero Road, Motueka Approximately: 65 VIC females, 18 weaner heifers 25 weaner bulls 2 x 2.5 year sire bulls 8 x 18 month bulls
Beltex nd Annual Sale Seco Friday 1 March 2019
Viewing from 11am, Sale starts 1.30pm ‘Rangiatea’, 571 Upper Downs Rd, Mt Somers, Mid Canterbury
Rams
22 Purebred lambs 14 Beltex/Poll Dorset 2-tooths 2 Purebred 2-tooths 17 Beltex/Perendale 2-tooths 13 ¾ bred lambs 15 Beltex/Poll Dorset 22 Beltex/Suffolk lambs 12 ¾ bred lambs 15 Beltex/Poll Dorset lambs 70 Beltex/Perendale lambs 22 Beltex/Perendale lambs
LK0096382©
LK0096613©
460 FX/J Herd BW82 PW101 RA92% DTC 1/8. Web Ref DH1242 System 1, Bred for fertility & udders, good age structure. $2085 200 F/FX Herd BW51 PW83 DTC 1/8 Web Ref DH1223 Managers cows, low SCC $1750 160 FX I/C Heifers BW126 PW124 DTC 24/7 Web Ref DICH1218 capital stock $1650 51 F 2nd Calvers BW56 PW98 DTC 1/8 $2085
Enquiries to Vicki Adnams Ph 027 667 6009 • wolfadnfarm@gmail.com
Paul Kane: 027 286 9279 National Dairy Coordinator
www.carrfieldslivestock.co.nz
J McKone PGG Wrightsons – Auctioneer 027 229 9375
027 587 0131
Key: Dairy
PGG Wrightson Dairy representatives are specialists at marketing and selling dairy herds. Benefit from the specialist team that is dedicated to matching herds with the right buyers and achieving an optimal outcome for your business. For photos and more information on listings visit www.agonline.co.nz
PW 99
270 Jsy, Frsn Incalf Cows
$2,050+GST
BW 102
•
RA98% Magnificent Herd, 22yrs of nominated breeding. Kim Harrison – 0275 010 013 Agonline ref: 2903
160 M/A Frsn, Jsy, X/Bred Cows BW 67
PW 95
$1,650+GST
BW 132
•
PW 131
$1,450+GST
•
Capital stock line with strong Indexes, InCalf to Jersey Bull. Paul Jeffries – 027 591 8632
Agonline ref: 1986
Agonline ref: 2786
130 M/A Friesian, X/Bred Cows
270 M/A Friesian/Friesian X Cows
PW 84
$1,850+GST
BW 57
•
PW 82
•
RA96% Over 80% of Cows are calving in 1st 4 weeks, all calved in 9 weeks. Rex Playle – 027 594 6512
RA99% Good Capacity Herd with great udders. Can be sold as InMilk. Andrew Reyland – 027 223 7092
Agonline ref: 2976
Agonline ref: 2819
Agonline ref: 2911
150 M/A Jersey Cows
140 2yr Frsn/Frsn X 2nd Calvers
60 Jsy, Jsy/Jsy X InCalf Heifers
PW 97
$1,830+GST
BW 86
•
PW 98
$1,850+GST
BW 170
•
PW 182
$1,640+GST
•
RA98% 150 M/A Jersey Genuine Cows, well worth a look. Steve Taylor – 027 648 6711
RA90% Frsn/Frsn X Content of 2nd Calvers, Nice Cows, Very Good Condition. Jason Roberts – 027 243 1429
RA99% Closed Herd, G3 Profiled, top figures, AB Mated, 2 Contract Heifers. Todd Van Berlo – 027 529 7748
Agonline ref: 2956
Agonline ref: 2772
Agonline ref: 2851
42 Frsn/Frsn X InCalf Heifers
30 X/Bred InCalf Heifers
BW 140
PW 137
$1,580+GST
BW 150
•
PW 148
$1,600+GST
•
Well Grown Capital Replacement Line, Delivery 01/05 or 01/06 to suit. Allan Jones – 027 224 0768.
RA100% 3 Digit Herd Code, Top Figures, very nice X/Bred Line. Regan Craig – 027 502 8585
Agonline ref: 2123
Agonline ref: 2681
SOUTH ISLAND HERDS & INCALF HEIFERS FOR SALE 300-310 M/A Frsn, Jsy, X/Bred Cows BW 81/45
PW 95/62
$1,900+GST
•
469 M/A Frsn, Jsy, X/Bred Cows BW 82/43
PW 109/56
$1,950+GST
•
100 Frsn/Frsn X InCalf Heifers BW 124
PW 127
COLVILLE WEANER FAIR Wednesday 6th March 12.00
Approx 700 Calves 350 Wnr Hereford Bulls
David Stuart 027 224 1049
$1,700+GST
RA75% Quiet Ambreed Herd Tested Long Established Herd Peter Forrest – 027 598 6153
BW 105
Other
33 Frsn/Jsy X, Jsy, Jsy/Frsn X IC Hfrs
$1,900+GST
RA96% Top Herd, years of breeding. Been on the same farm for 20 years. Lyle Smart – 0277 426 833
BW 53
•
PW 131
Sheep
Tuesday 12th March A/C Morunga Station - Matawai 250 x 2 1/2yr Ang & Exotic X hill country steers. Good store condition. Contact Tony Blackwood 027 243 1858 or Jamie Hayward 027 434 7586
NORTH ISLAND HERDS & INCALF HEIFERS FOR SALE BW 63
Cattle
MATAWHERO SALE
DAIRY HERDS & INCALF HEIFERS FOR SALE 150 MA Frsn, Xbred Cows
Blair Gallagher 021 022 31522 Simon Eddington Jock Allison 0275 908 612 021 363 337
Callum Dunnett
Your source for PGG Wrightson livestock and farming listings
LIST YOUR DAIRY HERD NOW.
Ewes
South Island Herds & Heifers
Rebate to all pre-registered agents Catalogue available
LOCK IT IN!
51
$1,600+GST
•
RA82% Very tidy Cows, mainly Friesian and X/Breeds, Good Frames. Murray Bain – 027 433 8678
RA92% Mated to Friesian A2A2, only 70 Kg PK bought in last season for drought. Roddy Bridson – 027 458 2775
RA87% Capital Line of Frsn & Frsn X Heifers, Well Grown, “Worth A Look”. Brendan Clay – 027 613 0330
Agonline ref: 2889
Agonline ref: 2644
Agonline ref: 2905
PAEROA WEANER FAIR Friday 1st March 12.00 550 Wnrs Comprising: 120 Ang Steers 50 Ang/Hfd x Steers 40 Ang/Char x Steers 100 Dairy Beef Steers 70 Hereford Bulls 50 Ang Hfrs 50 Dairy Beef Hfrs 30 Char x Hfrs 30 Ang/Char x Hfrs Annual Drafts. Tristram James/Taranoho Stn/Hapuakohe Trust/BM Davies/Sliper Island/Denton Dave Stuart 027 224 1049 Kent Stove 027 664 5143
FRANKTON BEEF WEANER FAIR Monday 4th March 12.00 start 600 Wnr comprising: 100 Ang Steers 100 Ang/Hrfd X Steers 50 Frsn/Hrfd X Steers 30 S/Devon Steers 150 Pure bred Hrfd Bulls 60 Sim/Ang X Hfrs 50 Pure bred Ang Hfrs 50 Pure bred Hrfd Hfrs 30 Frsn/Hrfd X Hfrs Dean Evans 027 243 1092
Freephone 0800 10 22 76 | www.pggwrightson.co.nz
Helping grow the country
MARKET SNAPSHOT
52
Market Snapshot brought to you by the AgriHQ analysts.
Suz Bremner
Nicola Dennis
Mel Croad
Cattle
Reece Brick
Caitlin Pemberton
Sheep
BEEF
Deer
SHEEP MEAT
VENISON
Last week
Prior week
Last year
NI Steer (300kg)
5.25
5.30
5.60
NI lamb (17kg)
7.10
7.20
6.95
NI Stag (60kg)
9.55
9.65
10.80
NI Bull (300kg)
5.00
5.00
5.40
NI mutton (20kg)
5.00
5.00
4.75
SI Stag (60kg)
9.60
9.80
10.80
NI Cow (200kg)
3.70
3.80
4.30
SI lamb (17kg)
6.80
6.85
6.85
SI Steer (300kg)
5.10
5.10
5.40
SI mutton (20kg)
4.85
4.85
4.65
SI Bull (300kg)
4.95
4.95
5.20
Export markets (NZ$/kg)
SI Cow (200kg)
3.70
3.75
4.25
UK CKT lamb leg
8.70
8.73
8.84
US imported 95CL bull
7.03
7.12
6.74
US domestic 90CL cow
6.79
6.84
6.50
Slaughter price (NZ$/kg)
Last week Prior week
Last year
North Island lamb slaughter price
5.5
$/kg CW
5.0
South Island steer slaughter price
6.0
6
6.0
12
5.0
11
4.0
10
Apr 2017-18
$/kg CW
Dairy
Jun
Aug 2018-19
6
Dec 5-yr ave
Feb
Apr 2017-18
Jun
Aug 2018-19
Last year
6.5 6.0
Nov-18 Sept. 2020
Coarse xbred ind.
2.87
2.86
2.96
37 micron ewe
2.70
2.70
Last price*
-
Mar-18
vs 4 weeks ago
650
523
3.00
Super
321
321
307
5.05
DAP
833
843
775
Top 10 by Market Cap
May-18
Jul-18
Sep-18
Nov-18
Jan-19
Fisher & Paykel Healthcare Corporation Ltd
14.29
14.38
12.3
Spark New Zealand Limited
3.75
4.18
3.75
Ryman Healthcare Limited
11.08
11.5
10.4
Mercury NZ Limited (NS)
3.63
3.79
3.51
Contact Energy Limited
6.31
6.49
5.82
Fletcher Building Limited
4.9
5.34
4.78
Port of Tauranga Limited (NS)
5.35
5.45
4.9
Listed Agri Shares
5pm, close of market, Thursday
4.360
9.550
9.960
9.400
Fonterra Shareholders' Fund (NS)
4.570
4.850
4.570
Foley Wines Limited
1.550
1.550
1.470
Livestock Improvement Corporation Ltd (NS)
0.850
0.850
0.750
360
New Zealand King Salmon Investments Ltd
2.210
2.280
2.100
340
PGG Wrightson Limited
0.520
0.570
0.470
Sanford Limited (NS)
6.670
6.980
6.500
Scales Corporation Limited
4.650
4.750
4.340
SeaDragon Limited
0.002
0.003
0.002
Seeka Limited
4.550
4.550
4.200
Synlait Milk Limited (NS)
10.000
10.150
8.860
T&G Global Limited
2.810
2.810
2.770
S&P/NZX Primary Sector Equity
16449
16449
15063
S&P/NZX 50 Index
9301
9333
8732
S&P/NZX 10 Index
8977
8991
8280
5450
5450
5210
Butter
4465
4465
4250
Milk Price
6.35
6.35
6.27
$/tonne
7.065
Delegat Group Limited
AMF
380
320
Jan-18
Mar-18
May-18
Jul-18
Sep-18
Nov-18
Jan-19
WAIKATO PALM KERNEL 350
$/tonne
7.72
10.420
400
Jul
7.35
5.420
2430
May Jun 4 weeks ago
3.38
Auckland International Airport Limited
5.390
2490
Mar Apr Latest price
3.79
Comvita Limited
2540
Feb
3.63
YTD Low
SMP
2800
10.42
Meridian Energy Limited (NS)
14.850
420
3000
YTD Low
14.85
YTD High
2825
3200
YTD High
14.82
14.820
3065
3400
Close
The a2 Milk Company Limited
The a2 Milk Company Limited
0
WMP FUTURES - VS FOUR WEEKS AGO
Company
Close
440
* price as at close of business on Thursday
NZ average (NZ$/t)
Company
WMP
2600
-
625
370
Jan-18
Fertiliser Urea
CANTERBURY FEED BARLEY Prior week
Aug 2018-19
Last year
420
320
Jan-19
DAIRY FUTURES (US$/T) Nearby contract
Jun
Prior week
470
Sep-18
Apr 2017-18
Last week
CANTERBURY FEED WHEAT
Jul-18 Sept. 2019
Feb
FERTILISER Prior week
$/tonne
$/kg MS
Oct
Grain
Data provided by
May-18
Dec 5-yr ave
Last week
7.0
Mar-18
Oct
6.0
30 micron lamb
MILK PRICE FUTURES
5.5
8
7.0
(NZ$/kg) Feb
9 7
WOOL
Dec
South Island stag slaughter price
5.0
5.0
5-yr ave
US$/t
South Island lamb slaughter price
8.0
5.5
Oct
8
7.0
4.0
4.5
9 7
9.0
4.5
10
$/kg CW
$/kg CW
6.0
Last year
North Island stag slaughter price
12
8.0 $/kg CW
North Island steer slaughter price
Last week Prior week
11
Export markets (NZ$/kg) 9.0
Slaughter price (NZ$/kg)
$/kg CW
Slaughter price (NZ$/kg)
Ingrid Usherwood
300 250 200
Jan-18 Mar-18
S&P/FW PRIMARY SECTOR EQUITY
May-18
Jul-18
Sep-18
Nov-18
Jan-19
16449
S&P/NZX 50 INDEX
9301
S&P/NZX 10 INDEX
8977
53
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
( $/T)
625
NI SLAUGHTER STEER ( $/KG)
5.25
SI SLAUGHTER STAG ( $/KG)
9.60
PRIME TRADITIONAL STEERS, 550-745KG, AT CANTERBURY PARK ( $/KG LW)
2.68
It’s getting brown all over
N
NORTH ISLAND ORTHLAND has enjoyed some lovely drizzle – three days of rain and we’re told the region will turn around after the dry weather. South Auckland vegetable growers are really hoping the hot, dry weather pattern of the past four and a half weeks will change but it’s hard to say if it will. Now onion and potato crops are off the fields, heavy machinery with subsoilers or rippers is breaking up compacted soil. Rain is needed to soften the large lumps so seedbeds can be made for planting autumn and winter greens. Feed is continuing to disappear quickly around Waikato. Everyone is hanging out for rain. Apple orchardists can see trees starting to look stressed. Later varieties still have another month or more of growing to do. Sheep and beef farmers are offloading sheep and cattle as fast as they can and apparently it is getting difficult to find space at the works. King Country is not looking good any longer either. Clover is getting burnt off. Farmers are starting to protect sheep and cattle against facial eczema because spore counts are going up. Parts of Bay of Plenty started to get wet on Thursday night. One farmer collected 27mm in the gauge that night, which is useful, but more is needed for it to be really useful. As in Waikato, farmers are offloading stock quickly. Those with a lot of dry, standing grass will struggle to feed animals for the next few weeks until fresh growth appears. Taranaki was happily getting wet on Friday. Stratford got 10mm in the morning. That normally wouldn’t be considered rain but it’s the most moisture since January so is great but more is needed. North Taranaki is very brown and it will take longer to recover. Farmers are doing standard drought or certainly dry weather management things like culling cows that aren’t in calf, milking once a day or every 16 hours and feeding supplements. Milk production, which had been holding well, was dropping last week and will probably keep going down even though it’s rained because cows don’t like the wet. Gisborne all but missed the rain Hicks Bay enjoyed mid week. However, Gisborne is still greenish and there’s plenty of feed on farms. Cropping guys are flat out harvesting. Two squash boats have been in port at the same time being loaded with produce. The region’s weaner fairs are a month away and cows and their calves are in really good nick. Hawke’s Bay had a dry, hot week with temperatures in the low 30s. If rain does arrive this weekend it’ll freshen things up nicely. Feed supplies had been very good until a couple of weeks ago. Store lamb prices have dropped by about $12 to $15 a head because the feed hasn’t been there for them. Buyers are pleased. On orchards royal gala apples are coming off thick and fast. There are still a few plums to be picked. A long-time horticulture consultant says every year there’s a golden queen rain. It comes just before the peaches are ready and gives growers a real headache. Wairarapa is pretty dry. One farmer
If you love the information you get from these pages, you will love AgriHQ’s livestock reports.
LivestockEye
We create transparency for the industry with these independent, objective reports providing full sale results and informed commentary covering 10 saleyards across NZ that are emailed directly after the sale.
SWELTERING: Buyers at Stortford Lodge have had a dry, hot week with temperatures in the low 30s.
hasn’t seen rain since New Year, however, that’s not unusual for the region. Irrigation restrictions have been in place for a couple of weeks and everything that doesn’t have water is completely brown. Some crops didn’t strike because they were awash before Christmas but there is still feed about. Some dairy farmers are moving to once-a-day milking. A Manawatu agriculture consultant says when he was driving back from Taihape on Thursday he had to slow down to 60kmh because it was raining so hard but when he got to Mangaweka it was as dry as a chip. The rain didn’t reach Erewhon Station on the Taihape-Napier road either. He says lower Manawatu needs rain the most. Lambs were growing well but the feed they like has disappeared so their growth rates have dropped. There is plenty of feed for cattle and sheep. Farmers are holding on to them so there’s space at the works. We’re told right now the power is behind the fence. When we rang Horowhenua on Friday our contact was over the moon – it was raining. Some 25mm had arrived by 11 am. SOUTH ISLAND Workers are still busy harvesting royal gala apples in Nelson and Motueka. Recognised seasonal employer workers are doing the bulk of the work but it’s hard to find enough reliable, seasonal workers. Fruit quality is outstanding but size is back a bit because of the extremely dry conditions. One grower with 60 hectares of apples near Motueka says the dam that provides water for irrigation is nearly dry so he’s worried about the later variety apples. Marlborough was expecting a good dose of rain from the northwest over the weekend. Farmers certainly need it to kick
start pasture growth. That will help ewes put condition back on in preparation for the ram. Grape growers are not so keen on rain, though, as harvesting is under way with the lower-sugar varieties that produce sparkling wines. The rain will also increase the risk of powdery mildew and botrytis in vineyards. It’s still dry up the Grey Valley on the West Coast but further south around Hokitika there were a few decent showers last week. Dairy farmers are pregnancy testing, getting culls away and doing feed budgeting for winter. One farmer says he is a bit disappointed at the overall empty rate for his herd. It’s sitting at 13%. Normally it’s under 12%. He’s also surprised at how milk production lifted after going from twice to once-a-day milking after Christmas. It was yet another hot, dry week in Canterbury. Dryland areas are completely brown now and many winter feed crops are struggling. Everyone was looking forward to forecast rain this weekend. Farmers in Otago’s Taieri region could do with some rain. Cows are being supplementary fed balage because of a lack of quality pasture. Our contact says pregnancy testing is done and dusted and results are better than last year. Milk production is up 25%. too. Because of flooding last year, production had dropped by quite a bit so this season is evening things out. Over the past couple of weeks coastal Southland has had hot days, cooler days and just enough rain to keep pastures and winter crops growing. Dairy cows are settled and milk flows are holding. On sheep farms, hoggets are being shorn and because of the low price of strong wool, some farmers are holding onto the bales until prices rise.
Courtesy of Radio New Zealand Country Life You can listen to Country Life on RNZ at 9pm every Friday and 7am on Saturday or on podcast at radionz.co.nz/countrylife
Livestock Insight
Every week, we explain the context of the current market situation, drivers which are impacting the livestock markets and what to expect in the coming week.
Livestock Outlook
For those who want to see and understand forecasting, this monthly report projects farmer operating prices six months ahead and supports these prices with analysis of supply/demand, procurement factors, key export markets and exchange rate effects.
INDEPENDENT • OBJECTIVE TRUSTED • WORTHY Discover how we can help you keep up to date with market conditions.
agrihq.co.nz 0800 85 25 80
2476AGHQ
UREA
DON’T STOP HERE...
54
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
Here comes the Chathams stock The last few weeks have seen Chatham Islands stock start to trickle into their selling yards of Temuka and Stortford Lodge and at the latter on Wednesday more than half the store pens housed lambs off the boat. With age on their side most were good forward types and met keen interest from buyers. They will be a regular feature at both yards from now on as the boats typically come in each fortnight. NORTHLAND Wellsford store cattle • R3 Kiwi-cross steers, 433-478kg, earned $2.51-$2.55/kg • R2 Hereford-Friesian heifers, 380-411kg, held at $2.62-$2.68/kg • Weaner Wagyu-cross heifers, 198-235kg, traded at $460-$630 • Weaner Friesian bulls, 146kg, softened to $520 A very small mixed yarding was entered at WELLSFORD last Monday. A moderate buying bench were active in their bidding and the yarding sold well for what was on offer. R3 steers, 472-515kg, traded at $2.59-$2.69/kg regardless of breed. In the R2 pens Hereford-cross and Angus-Friesian steers, 338-361kg, held at $2.62-$2.63kg, while three R2 Jersey bulls, 408kg, were the lone offering in their section and returned $1.95/kg. Kaikohe Cattle Sale • R2 beef-cross and exotic-cross steers lifted to $2.85-$2.94/kg • Good R2 bulls sold to $2.60/kg • R2 traditional and exotic heifers firmed to $2.60-$2.70/kg • Weaner dairy-beef bulls made $500-$550 The cattle market at KAIKOHE last Wednesday took an unexpected lift, with prices across most classes up 15c/kg, PGG Wrightson agent Vaughan Vujcich reported. Around 350 head were penned and nearly half were R2 steers. Weaner beef-cross steers traded at $3.50-$3.70/kg, while heifers also sold freely at $450-$480. Friesian cows sold for $1.70-$1.75/kg.
COUNTIES Tuakau sales • Good store heifers sold to $2.71/kg • Heavy prime steers traded up to $2.81/kg • Boner prices eased by 10c/kg • Top prime ewes fetched $185 Dry conditions in the region meant another short sale at TUAKAU last Thursday, Chris Elliott of PGG Wrightson reported. The 220-head yarding included heavy HerefordFriesian and Angus steers, 512-670kg, which made $2.68$2.90/kg. A small offering of steers in the 360-430kg range earned $2.55-$2.77/kg, and weaners, 130-190kg, $580-$740. The heifer section featured good Hereford-Friesian and Angus, 427-496kg, which traded for $2.65-$2.71/kg. R2 heifers, 300-380kg, made $2.44-$2.71/kg and weaners, 230kg, $715. Prime steers sold well last Wednesday, with heavy lots making $2.72-$2.81/kg, and good-medium $2.64-$2.71/kg. Dairy and lighter beef steers fetched $2.48-$2.60/kg. Heavy heifers traded at $2.58-$2.66/kg, medium $2.45-$2.58/ kg and light $2.30-$2.40/kg. The best of the Friesian cows earned $1.56-$1.70/kg, medium $1.38-$1.54/kg and light boners $1.18-$1.35/kg. Heavy prime lambs sold at $135-$170 last Monday. Medium primes fetched $110-$135, with good stores making $85-$110. Heavy prime ewes made $130-$185, medium $80-$130 and light $30-$80.
WAIKATO Frankton prime and store cattle • R3 Hereford-Friesian steers, 482-568kg, eased to $2.61-$2.65/kg • R2 Hereford-Friesian steers, 362-418kg, eased to $2.71-$2.79/kg • R2 Hereford and Hereford-cross heifers, 307-428kg, improved to $2.61-$2.68/kg • R2 Friesian bulls, 365-409kg, softened to $2.41-$2.52/kg • Prime Hereford-Friesian heifers, 476-501kg, firmed to $2.60$2.64/kg Just 255 cattle were yarded at FRANKTON last Wednesday and most traded on a softer market. R3 Hereford-cross steers, 450-544kg, eased to $2.59-
$2.60/kg, with Angus-cross heifers, 372kg, at $2.41/kg. R2 Friesian heifers, 389-420kg, held at $2.02-$2.20/kg, whilst Jersey bred, 270-291kg, made just $1.22-$1.37/kg. Prime beef-cross steers, 631-696kg, eased to $2.60-$2.61/ kg, with Hereford-Friesian, 704kg, trading at $2.66/kg. Boner Friesian cows, 581-655kg, held at $1.76-$1.86/kg, while Friesian-cross lifted to $1.49-$1.61/kg.
BAY OF PLENTY Rangiuru cattle sale • Boner Friesian cows, 482-545kg, firmed to $1.41-$1.50/kg • Boner Friesian cows, 455-464kg, eased to $1.39-$1.45/kg • Prime Hereford-Friesian heifers, 502-573kg, held at $2.51-$2.55/ kg • R2 Hereford-Friesian heifers, 366-404kg, held at $2.57-$2.60/kg The chance of rain towards the end of the week brought some confidence to a small store cattle sale at RANGIURU last Tuesday. The section was mainly small lines and Hereford-Friesian heifers dominated. Steer prices were variable, and Hereford-Friesian ranged from $2.76-$2.80/kg for better types, while lesser lines made $2.37-$2.48/kg. Weaner volume was low and of mixed quality. One pen of Hereford-Friesian steers, 140kg, made $615, and 16 Anguscross bulls, 164kg, $555. Boner cows dominated the prime section with prices resilient to any downwards movements for schedules. A small prime steer and heifer section sold for $2.51-$2.59/kg, with beef-Friesian steers weighing 553-615kg and heifers, 446-573kg.
TARANAKI Taranaki cattle sale • Prime beef-dairy steers, 560-815kg, held at $2.67/kg • Boner Friesian cows, 436-437kg, eased to $1.44-$1.45/kg • Vetted-in-calf Angus-Friesian heifers, 501kg, made $1280 Cattle totalled just 130 head at TARANAKI last Wednesday, with little enthusiasm for buying from the bench. The best of the prime steers made $2.70/kg, while beefFriesian heifers, 545-557kg, traded at $2.44-$2.56/kg. Store cattle came forward in small lines of mixed quality. R3 beef-cross steers, 478-555kg, managed just $2.57-$2.68/ kg, with R2 steer, 444-453kg, similar. Taranaki dairy beef weaner fair • Speckle Park-cross weaner heifer, 197kg, made $720 • Hereford-Friesian weaner steers, 126-129kg, strengthened to $650-$675 A small offering was matched by a smaller bench at the TARANAKI DAIRY BEEF WEANER FAIR with most sales via agent’s orders. Calves sold on a better than expected market. The heavier Hereford-Friesian bulls 140-143kg strengthened to $655-$680, however 116kg bulls softened to $590. Quality steers sold well, Hereford-Friesian, 174-201kg made $680-$730. Good heifers also had strong demand, Angus-cross 127-140kg, firmed to $450-$480.
POVERTY BAY Matawhero sheep sale • Ram lambs, 32-34kg, made $106-$120 • Mixed age ewes in very good condition, sold for $144 Only a small volume was on offer at this weeks MATAWHERO SHEEP SALE. In the store lamb pens, ram lambs strengthened with 30-31kg, selling for $120. Ewe lambs also firmed with 26-27kg making $101. Ewe pens were made up of mixed age ewes, heavier ewes sold for $130-$144. Prime prices were mainly steady, with the top lambs making $161.50.
HAWKE’S BAY Stortford Lodge prime sheep • Very heavy male and mixed sex lambs improved to $134-$175
• • • •
Good lambs eased to $117-$132 Very heavy ewes held at $158-$168 Medium-good ewes improved to $123-$134 Light-medium ewes softened to $93.50-$110 With no cattle last Monday at STORTFORD LODGE focus was on the sheep section. Lambs were of mixed quality and with one main buyer absent there was an easing felt for most of the moderate yarding, and light-medium to medium types softened to $90-$105. Sixty-five percent of ewes were light to medium-good and results were steady to lifting for all except the lighter end. Good to heavy ewes maintained levels of $139-$150, as did medium types at $117-$120. More lighter ewes filled the pens with light-medium easing to $93.50-$110, and light $79.50-$89.50. Stortford Lodge store cattle and sheep • Good to heavy ram lambs firmed to $110-$129 • Good mixed sex earned $104-$110 • Four-tooth Romney-Poll Dorset ewes sold for $220 • R2 Angus steers, 345-375kg, sold for $3.40-$3.44/kg • R2 Angus heifers, 292-376kg, firmed to $3.05-$3.19/kg Big entries of breeding ewes took up the first hour of the sheep sale at STORTFORD LODGE last Wednesday. Romney and Romney-Poll Dorset featured and the two-tooth to sixtooth sold for $210-$220, and four-year, $184-$194. Fiveyear ewes earned $160-$165, and mixed age, $130.50-$184. 2000 lambs included those from the Chatham Island’s and Wairoa, and prices were solid. Most were forward types and $108-$110 was common, selling down to $94. Cattle numbers were consolidated and built to 920 head, which drew in a big crowd. Traditional cattle were an attraction and featured in all sections. Angus cows to an Angus bull made $1330-$1550, while R3 heifers, 427-523kg, varied from $2.57/kg to $2.87/kg. R2 Angus-Hereford and Charolais-cross bulls, 460-494kg, fetched $2.56-$2.59/kg, while beef-cross, 344-348kg, made $2.47-$2.49/kg. South Devon-cross heifers, 462kg, managed $2.86/kg. Weaner Angus steers and beef-cross bulls headed out on the same truck with steers, 168kg, making $665, and bulls, 163-220kg, $620-$700. Angus & Angus-Hereford steers, 207kg, fetched $780 and Angus heifers, 164-201kg, $605$660.
MANAWATU Feilding prime cattle and sheep • Heavy and very heavy mixed sex lambs eased to $136-$157 • Good ewes eased to $135-$148 • Medium ewes also eased to $101-$115 • Boner Friesian cows, 525-570kg, fell to $1.52/kg • Boner Jersey cows, 360-450kg, also fell to $1.31/kg The general trend across the sheep and cattle pens at FEILDING last Monday was down, with space tightening up and schedules easing. Sheep volume came down with just over 50 main pens to sell. Prices eased for lambs and ewes with the top lambs at $157, and ewes, $159. Boner cows made up the bulk of the cattle section and prices eased 5-15c/kg as Friesian, 460-527kg, traded at $1.41-$1.46/kg. Ex-service bulls made up the balance and the best of two very heavy exotic bulls was Charolais, 1000kg, at $1.98/kg, while Jersey, 503-567kg, made $2.25-$2.35/kg. Rongotea cattle sale • Boner cows, 462-560kg, eased to $1.39-$1.51/kg regardless of breed • R3 Hereford-Friesian bulls, 420-642kg, made $2.43-$2.66/kg • Weaner Friesian bulls, 154-175kg, eased to $500-$505 • Weaner Hereford-Friesian bulls, 125-182kg, earned $530-$660 • Weaner Hereford-Friesian heifers, 152-156kg, sold well at $540$610 The continuing dry impacted on the number of cattle at RONGOTEA last Wednesday, as vendors wait for rain to raise the enthusiasm of buyers, New Zealand Farmers Livestock agent Darryl Harwood reported. R3 Hereford-Friesian steers, 350kg, made $2.53/kg and heifers, 446kg, $2.44/kg. Jersey bulls, 405-520kg, earned $2.17-$2.42/kg. R2 Angus-cross bulls, 270-392kg, only managed $1.63$1.68/kg, while Hereford-cross heifers, 282kg, made $2.55/ kg. Feilding store sale • Traditional and exotic R2 steers, 420-485kg, were $3.03-$3.15/kg • Beef and beef-cross R2 heifers, 325-430kg, made $2.69-$2.80/kg • Good and heavy male lambs were $107-$120 • Medium and good ewe lambs made $98.50-$110.50 • Good two-tooth ewes sold for $240 Action in both the cattle and sheep pens was quite limited once again. A selection of straight-beef steers was a drawcard for cattle buyers. The few older traditional steers, 550-575kg, were $2.84-$2.88/kg, while the majority
SALE YARD WRAP
FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019
55
READY, SET, GO: The PGW livestock auction team prepare to start the eighth annual Double Hill Station onfarm lamb sale last Tuesday.
of the 420kg plus R2 lines were in the $3.00-$3.20/kg. R2 heifers were mainly steady, though several straight-dairy lines added something a little different – the better 380390kg Friesian lines were $1.87-$1.97/kg, $730-$750. Three pens of 125-160kg beef-cross bull and heifer calves were $520-$575. There wasn’t too much change in the store lamb market. Male and mixed sex lambs were either $105-$120 for the better lines for $90-$105 for the lighter-end. Ewe lambs were nearly always sold at $95-$110. A small line of quality two-tooths were the highlight of the ewes at $240, otherwise decent two-tooth and older lines were $140-$182. A variety of light ewes were $60-$100.
CANTERBURY Canterbury Park cattle and sheep sale • Medium good mixed sex held at $83-$108 • Light-medium mixed sex also held at $70-$90 • Light ewes traded at $50-$99 • Prime Angus-Hereford steers, 525-648kg, eased to $2.68-$2.73/kg • Prime beef-cross heifers, 485-615kg, eased to $2.43/kg Store lamb numbers dipped to 2000 head at CANTERBURY PARK last Tuesday, and light to medium lines improved, though good types eased to $95-$112 for mixed sex and male lambs. Prime lamb prices eased and most sold for $100-$129, with a top line at $159. Ewes however held, and ten very heavy types reached $228, while medium-good traded at $136-$166 to cover most others. Light-medium ewes sold for $85-$111. The pressure of schedules and short feed supply was felt in the rostrum, with the market losing ground. Prime steers came back 10-15c/kg for traditional and exotic, and beefcross, 445-705kg, fell to $2.35-$2.55/kg. Heifers lost ground by the same margin and 420-480kg traded at $2.25-$2.36/ kg. Boner Friesian heifers, 523-617kg, earned $2.34-$2.35/ kg. Store options were limited to small lines of mediocre quality, which was reflected in pricing. Highlights included R2 Angus steers, 381kg, $2.93/kg, though Angus-Hereford, 303-381kg, were good shopping at $2.64-$2.74/kg. Anguscross, 241-270kg, managed just $2.39-$2.43/kg. The better beef and beef-cross heifers, 330-395kg, earned $2.53-2.61/kg, but anything else was sub-$2.40/kg. Coalgate sale • Prime heifers, 515-570kg, softened to $2.49-$2.53/kg • Boner cows, 485-625kg, sold to a weaker market at $1.46-$1.55/ kg • Mid-price for prime ewes lifted to $144 • Prime lambs were mainly $120-$149 • Top-half of store lambs were steady at $100-$118 Tallies in both the sheep and cattle pens were down on the week prior. This seemed to have a positive affect more than anything in the sheep section as both prime lambs and ewes lifted a few dollars while store lambs held steady. Backlogs at processors took the edge out of all classes in the prime cattle market, though 570-750kg steers were close to steady at $2.57-$2.66/kg.
A consignment of 150-245kg Stabilizer bull and heifer calves were the only feature in the store pens – these were all $2.67-$2.91/kg, maxing out at $670 for 245kg bull calves and $620 for 230kg heifer calves.
SOUTH-CANTERBURY Temuka prime cattle and sheep • Good mixed sex lambs held at $108-$113 • Medium-good mixed sex lambs eased to $98-$108 • Prime beef-cross steers, 600-715kg, eased to $2.54/kg • Prime traditional bulls, 555-785kg, eased to $2.55/kg • Boner Friesian cows, 425-475kg, held at $1.46/kg Chatham Islands stock trickled into TEMUKA last Monday and included Romney-cross ewes which sold for $115-$150. Store lamb volume halved and made bidding more competitive with prices mainly steady. Good to heavy male lambs traded at $109-$127. Prime lambs held at $110-$148, with ewes also steady. Good types sold for $150-$172, medium-good $110-$138 and light, $80-$92. Cattle results varied from down for prime cattle while boners either held or improved marginally. Better yielding Friesian cows, 558-625kg, held at $1.59-$1.65/kg, though numbers were low. Boner heifers, 500-625kg, sold for $2.26$2.41/kg, but 378-382kg only made $2.00-$2.01/kg. Steer prices softened and Friesian, 585-735kg, earned $2.36-$2.46/kg. Heifers showed similar movements as Hereford-cross, 641-695kg, sold for $2.44-$2.46/kg, Lesser lines traded around the $2.21-$2.30/kg. Temuka store cattle • R2 Angus steers, 375-395kg, were solid selling at $3.35-$3.45/kg • R2 Hereford-Friesian steers, 335-435kg, were steady at $2.68$2.86/kg • R2 Hereford-Friesian heifers, 310-415kg, eased to $2.48-$2.65/kg • Hereford-Friesian heifer calves, 125-140kg, fell to $435-$450 • Friesian bull calves, 120-140kg, were down at $370-$405 A little more than a thousand store cattle were split 50:50 between R2 lines and calves. Although there were signs of strength, mainly through the R2 classes, the trend remained downwards for sellers. A consignment of R2 Angus steers were the bright-spark of the sale, but otherwise R2 steers were steady. Half of the R2 heifers were straight-dairy types, and these fell by around 40c/kg on a fortnight ago, putting 345-390kg Friesian and Friesian-cross lines at $1.74-$1.99/kg. Weaner calves were down across the board. Three pens of 130-145kg Hereford-Friesian steer calves did well enough at $530-$540, but otherwise beef-cross bull and steer calves were $420-$460. All 115-140kg Friesian bull calves were $340-$410. Half-decent quality beef-cross heifer calves, 125-160kg, could only manage $370-$450. Omarama and Tekapo lamb sales • Merino wethers at Omarama ranged from $77-$142 • Merino ewe lambs mainly traded at $71-$124
• Long Slip Station sold halfbred wethers for $122-$128 • Glenbrook Stations halfbred ewe lambs sold for breeding at $141-$163 A good turnout of buyers at the OMARAMA & TEKAPO lamb sales last Thursday meant a lift on last year’s levels by $20-$30. Around 30,000 lambs were spread over the two yards and hailed from 27 properties. The yardings were made up of Merino, halfbred and blackface-cross lambs.
OTAGO Balclutha sale • Top two-tooth breeding ewes sold for $248 • Medium to good store lambs held at $85-$112 • Heavy prime lambs eased to $130-$140 • Heavy prime ewes eased to $140-$160 Demand was solid for all classes at BALCLUTHA last Wednesday, including a reasonable entry of breeding ewes, PGG Wrightson agent Russell Moloney reported. The bulk of the yarding was made up with prime sheep, and second and third cuts of the lambs sold on a steady market at $105-$125, while ewes eased to $100-$130. Rams sold for $100-$120.
SOUTHLAND Charlton sheep sale • Heavy prime lambs eased to $130-$142 • Light to medium ewes made $110-$138 • Small yarding of store lambs held at $80-$100 Prime sheep featured at CHARLTON last Thursday, with limited volume of store lambs. Second and third cuts of prime lambs mainly held at $110-$128, while two-tooth ewes sold for $130-$140. Heavy mixed age earned $140-$165, and rams. $110-$136. Lorneville cattle and sheep sale • Medium and heavy prime lambs held at $120-$148 • Two-tooth Romney breeding ewes made $200-$240 • Prime steers, 500kg plus, eased to $2.40-$2.50/kg • R2 beef-cross steers, 400-467kg, ranged from $2.67/kg to $2.80/kg • Weaner Friesian bulls, 130-150kg, held at $400-$450 The theme for sheep at LORNEVILLE last Tuesday was mainly steady, with that flowing into the cattle pens. Store lambs ranged from $80-$90 for light types, with medium at $90-$100, and heavy, $105-$112. The ewe market had a softer tone with the top end making $130-$154, medium $102-$128, and light, $30-$94. Rams sold for $112-$138. The best of the prime beef-cross heifers, 450kg plus, eased to $2.30-$2.40/kg, though dairy types held at $1.80$1.95/kg for the better types. Bulls, 500kg plus, eased to $2.50-$2.70/kg. Boner cows held and better types made $1.80-$1.90/kg and medium, $1.60-$1.70/kg. In the store pens medium R2 beef-cross steers, 383415kg, earned $2.55-$2.68/kg, and Friesian, 421kg, $2.39/ kg. Weaner Hereford-cross bulls, 170kg, made $660, and beef-cross heifers, 140kg, $450-$480. Mixed sex traded at $400-$450.
Markets
56 FARMERS WEEKLY – farmersweekly.co.nz – February 25, 2019 NI SLAUGHTER LAMB
SI SLAUGHTER STEER
NI SLAUGHTER BULL
($/KG)
($/KG)
R2 ANGUS STEERS, 375-395KG, AT TEMUKA
($/KG)
($/KG LW)
7.10
5.10
5.00
3.40
$7 for next season Hugh Stringleman
T
hugh.stringleman@globalhq.co.nz
HREE months of steady increases in dairy prices through six successive fortnightly auctions on Global Dairy Trade have one market commentator suggesting the start of a new price cycle. ASB senior rural economist Nathan Penny has set his first milk price prediction for next season at a bullish $7/kg milksolids and said this season’s $6.25 has upside risk. “The conditions for a new dairy price cycle have begun to emerge,” he said in a Rural Economic Note to bank customers. For the past 30 months international whole milk powder prices have traded in a relatively narrow $US1000/tonne range. That was in contrast to the greater volatility previously. From 2013 to 2016 the highs and lows differed by US$3700. Penny suggests a new cycle will have price amplitude between the two recent patterns – not steady but not extreme. The conditions for the start of a new cycle are supply growth lagging behind demand growth, with little prospect of a catch-up in the short term. Australian dairy production was hammered and the European Union and the United States are experiencing only modest growth. New Zealand milk production is up 5.6% this season to the end of January but that is probably as good as it gets, Penny thinks. Hotter weather and a smaller herd will peg NZ growth in 2019 back to 1%, similar to the EU and US, which won’t keep up with worldwide demand growth of 2%. The result will be rising dairy prices during the first half of this year, he predicts. The GDT index rose 0.9% on February 20 and that included a 2.9% increase for cheddar, 2.8% for skim milk powder and 0.3% for WMP.
LOOKING GOOD: ASB senior rural economist Nathan Penny has set his first milk price prediction for next season at a bullish $7/kg milksolids.
The conditions for a new dairy price cycle have begun to emerge. Nathan Penny ASB economist The index has risen 20% since November and SMP, freed from stockpile by the European Union, has increased 30%. Westpac economist Anne Boniface said news of the 7.7% increase in
January’s milk production and the season-to-date 5.6% might have dampened price expectations in the GDT results. “While dairy farmers will be hoping for some rain in the coming weeks, many farmers will be well prepared for a period of dry weather with plenty of feed on hand and stock in good condition after excellent pasture growth in the earlier part of the season. “If dairy prices are maintained at current levels in the coming weeks we think there’s still a little bit of upside risk to our milk price forecast of $6.30 this season.”
$105-$115 high $141-$163 lights Halfbred ewe lambs Medium-to-good male store lambs at sold for breeding at Glenbrook Station
Feilding
ACROSS THE RAILS SUZ BREMNER
The build-up to the beef weaner fairs is starting THE build-up to the beef weaner fairs has begun and I can already feel the anticipation growing around the yards. They are among the highlights on the cattle calendar and set the scene for store cattle prices for the rest of the year. They kick off at Rangiuru on Wednesday and PGG Wrightson area livestock manager Simon Rouse believes it is a matter of wait and see as far as the market goes. “We have had weaner fairs during dry conditions before and they have had good results. There are only so many available and annual buyers will be there to buy. They will have made allowances for feed to take the extra cattle on. It will be a case of first in, best dressed and most of the weaners will have some real weight in them this year.” That was a common theme when speaking to agents from around the North Island and Will Maxwell from Redshaw Livestock said cattle born either side of the September storms have done well and that will be reflected in what we see coming forward, especially in the in-calf cows towards the end of the fairs. While he doesn’t expect any record prices to be broken, he did say “I’d like to see values that we’ve seen for the last couple of years”. Stortford Lodge has had a change in programme this year and will offer all steers, both traditional and exotic, at the Tuesday March 5 fair, followed by all bulls and heifers the next day. Heading into Wairarapa and according to Steve Wilkinson, PGG Wrightson area livestock manager, vendors are generally happy with their weaners. He said some got a pinch in early spring but have caught up through summer and should post similar weights to those seen last year. As far as the market goes, Wilkinson believes the gold card would be rain in Manawatu and Hawke’s Bay, where a large percentage of the buyers come from. Prices are expected to be like last year and he doesn’t foresee any significant difference but time will tell. Masterton weaner fairs begin on Tuesday March 12. suz.bremner@globalhq.co.nz
Find out more about AgriHQ at agrihq.co.nz
SHEEP JETTER Sheep dipping… made easier!
7500
$
+ GST
Innovative Agriculture Equipment
LK0095906©
• Manufactured from stainless steel • Fantastic penetration • Electric Eye • Get one now before price increase • 800-1000 sheep per hour
Serving NZ Farmers since 1962
www.pppindustries.co.nz / sales@pppindustries.co.nz / 0800 901 902