Canterbury Farming, July 2011

28,500 copies distributed monthly – to every rural mailbox in Canterbury and the West Coast.

July 2011

INSIDE Cavalier knockback gives wool Page 03 Canterbury legends Page 13 Redwoods in the high country – part 2

equities a crack at WSI

By Hugh de Lacy The threat of a monopoly over the country’s woolscouring facilities has receded with Cavalier Carpets’ bid for Wool Services International (WSI) receiving a legal knockback, and a surprise new farmercontrolled player entering the contest.

Cavalier seemed on the point of creating a scouring monopoly following the Commerce Commission’s giving its approval for the listed carpet company to buy up failed Timaru entrepreneur Alan Hubbard’s 64% stake in WSI.

Page 19 Herd manager gains on farm skills through training

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Hubbard’s Plum Duff and Woolpak Holdings shares in WSI are being cashed up by the receiver, PriceWaterhouseCoopers, and the Commerce Commission’s surprise support of a potential scouring monopoly had put Cavalier and its $40 million cash bid in the box seat to buy the publicly listed scouring and wool-trading company.

But the Australian company Godfrey Hirst, the biggest carpet manufacturer and exporter in the Southern Hemisphere, spiked its rival Cavalier’s plans by winning a stay of proceedings until the validity of the commission’s decision has been decided by the High Court in a case starting on September 22.

Cavalier’s bid for WSI was fiercely opposed by the target company, whose two scours

Cavalier wants to fold into its own two scouring operations, giving it a virtual monopoly, while the wool trading arm would be sold off on the open market.

newcomer in the hunt for WSI, publicly listed minnow Wool Equities Limited (WEL), which put up its hand immediately after the High Court upheld Godfrey Hirst’s stay application.

Ironically, Godfrey Hirst appears uninterested in acquiring WSI for itself: Canterbury Farming understands it has made no approach to the receiver.

WEL was the repository of the former Wool Board’s diversified corporate holdings, nearly all of which were frittered away by a group of Auckland-based entrepreneurs who acquired a dominant shareholding, then blew tens of millions of dollars on a failed bio-technology strategy.

Instead the Australian company seems primarily concerned with preventing the creation of a scouring monopoly in New Zealand, the principal source of the wool for its carpet range.

This may have strengthened its position in its stay-ofproceedings action in the Wellington High Court earlier this month, which has put the direct WSI/Cavalier negotiations for WSI’s scours on hold. “What it means for the company is that it’s clear we cannot now reach any unconditional agreement with Cavalier, and it remains to be seen what further steps might be taken by Godfrey Hirst or anybody else,� WSI chairman Derek Quirke told Canterbury Farming. “It could take months or even a year to work its way through the court system,�

Quirke said.

The delay could strengthen the position of the surprise

By the time the Aucklanders walked away from the wreckage, leaving it in the hands of 7,800 individual farmer shareholders, WEL was reduced in value to barely $2 million.

However its cash reserves are to get a $3 million boost this month from the Wool Board Disestablishment Company, ‘Disco,’ which is disbursing the final $7 million it had been retaining for the settlement of old Wool Board claims that have since been dismissed by the Supreme Court.

Whether WEL can parley its $5 million in cash into a realistic bid for WSI is yet to be seen, but Quirke welcomed the bid, describing it as an ‘interesting proposition’. “They’ve got hurdles that they’re working to overcome, but unlike the Cavalier offer for the assets and liabilities of [WSI], which was a board

matter, the WEL offer will be in the first instance to the receiver who will either accept or reject it. “Then WEL will have to make a full takeover bid, and that’s where our board comes in,� Quirke said.

WEL director Peter McPartlin of Marlborough told Canterbury Farming that the stay of proceedings on the Cavalier bid, combined with the forthcoming cash from Disco, gives his company a fighting chance of acquiring WSI and making it the cornerstone of its continuing efforts to improve the profitability of woolgrowing.

And while the door to farmer ownership of WSI through WEL may now be ajar, the threat of Chinese interests gobbling up WSI’s state-ofthe-art scouring technology and taking it back to China seems to be receding.

WSI’s Quirke said there “have been murmurings� of a Chinese bid “but nothing serious at all.�

“Nothing’s guaranteed but there is some confidence we might be able to acquire WSI,�

McPartlin told Canterbury Farming.

Quirke said several expressions of interest had been lodged with the receiver Maurice Noone, and the company was not discounting any of them.

“We’ve been looking at this for months, and we’ve not said anything until we had something to say, and that

“But in the first instance they have to satisfy the receiver that their bid is credible and attractive,� he said.

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2

July 2011

Farmers take up the challenge

O’Connor Comments With Damien O’Connor, Opposition Spokesman on Agriculture

It is election year and there will be many issues affecting agriculture to be debated.

The chances of sensible solutions being found on the hustings are very slim. But it will be important for farmers and rural New Zealanders to analyse carefully what parties are saying they will do after the election.

New Zealand needs to reduce it’s level of borrowing in both the government and private sectors. In fact we need to pay down the growing government debt escalating at about $380M per week.

The private sectors, such as dairying in particular, will have to work harder and

spend less to make inroads and cut their debt burden.

Banks that were happy to come to the party and lend, have changed their positions and want to leave the party early, taking with them any leftovers.

That means some tough decisions will have to be made if our children and grandchildren are to enjoy New Zealand as we know it. How we continue to own and control our future, while relying on capital from offshore is a challenge.

Investors are reluctant to provide capital without control of the business or a healthy dividend on the loan and until we save more and

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have our own capital funds, this pressure will remain.

Selling our vital electricity assets to reduce government debt seems dumb when the figures say we will get less money over time and lose control over the cost and supply of electricity to our homes and industries. This is what the National Party is going to do.

Labour thinks there is a better way and is planning a more significant and fairer solution. It is essential that every New Zealander pays their fair share of tax and gets access to their fair share of opportunity into the future.

That is better than selling off State Assets.

We have a proud history of hard work, innovation and business ownership. Now is not the time to give up on ourselves and start flogging off our hard earned assets to satisfy the money traders.

Agriculture and rural New Zealanders are still the heart and soul of our economy.

Let us keep it that way and develop other industries to help build a better country for future generations, not make them tenants and servants in our country, the best country on the planet, New Zealand.

Over the past three years I have taken an active interest in measures to improve farm safety. Being from a farming background, I know it’s not exactly considered the ‘done thing’. Health and safety is often seen as onerous and bureaucratic. It conflicts with our view of work practices as whatever gets the job done and accidents as just a part of life.

New Zealanders are innovative. We come up with different ways of doing things and we work hard.

We can’t change who we are and nor should we. But when it comes to safety, we can be smarter.

One of the reasons I have so strongly pushed for increased vigilance on farms is because of the toll fatalities and serious accidents are having on rural families.

Roughly 20 families lose a family member every year.

We’re paying a heavy price.

There is no silver bullet, we all know that. Ultimately, only farmers can make the decisions that save lives and there are signs that this is happening.

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injuries. I’ve written about this before and the publicity it has received would make it difficult for farmers not to know what is happening in this area. What has impressed me most has been the reaction.

The Department of Labour made no secret of the fact it would be out visiting farms to make sure the message is getting through.

Over 10 weeks, inspectors visited 376 properties. In the past they might not have been too warmly welcomed, but in recent months farmers have been making an effort to engage with them.

To add to this, a number of farmers have also proactively contacted the Department seeking more information about their responsibilities. This is practically unheard of and hopefully signals a shift in culture. One example worth highlighting is that of Matamata farmer Steve Tye. After hearing of a number of nasty accidents in his area he bought a helmet for the quad bike he and his farmhands use. Ten days later he was riding over a crossing when it collapsed.

The handlebars struck him in the head, smashing his helmet and pinning him for an hour before help arrived.

If it wasn’t for the helmet, he would most likely have been knocked unconscious and drowned in the stream, or at the least suffered serious head injuries. These sorts of stories serve as a reminder to how quickly

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things can go wrong and why protecting yourself is a must.

Federated Farmers also deserve credit for taking the bull by the horns and formulating a health and safety policy for its members.

This policy was officially launched last month and, from what I hear, has been rapidly snapped up.

From a personal perspective, I’m increasingly proud of how the farming community has responded to the call to improve their risk management practices.

There is always a risk that sectors respond negatively to Government initiatives, but so far we have seen the opposite. The Department is continuing to work with Federated Farmers and other stakeholders on a targeted agriculture safety plan to be released later this year.

We want to see a significant drop in deaths and injuries over the next three years. There is a lot of work to do yet, but so long as farmers continue to take up the challenge I’m confident we’ll get the desired results.

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July 2011

3

From the Minister David Carter, Minister of Agriculture

Sustainability an investment, not a cost Talk about green growth and sustainability has often been more rhetoric than action in the past, but this is fast changing.

The rising global appetite for sustainable business practices is presenting New Zealand with opportunities that we could only have dreamed of a few years ago.

A recent visit to Italy and the UK showed me that our efforts to capitalise on this are certainly being rewarded.

Meetings with manufacturers, food retailers and distributors reaffirmed for me that New Zealand’s sustainable credentials are continuing to open doors for us. We are successfully tapping into the growing consumer awareness and concern about sustainability, and we’re securing premium prices for our products as a result.

But we cannot afford to be complacent.

Other producing nations are also realising that sustainability is not just a fad and they are snapping at our heels. Like us, they have grasped that sustainability can be an investment, not a cost.

With the global green economy forecast to grow significantly, New Zealand will continue to reap huge benefits as long as we protect our reputation as a producer of premium products.

Our focus on integrity is our success story because we know that’s what our market is

all about. Environmental credibility, food safety and animal welfare credentials set us apart from other countries and our producers are very good at giving consumers what they want.

New Zealand farmers and growers know only too well that if we don’t grab the best market share, someone else will. And their prosperity will come at our expense.

A key reason for my visit to Italy last month was to lead the New Zealand delegation to the inaugural Ministerial Meeting of the Global Research Alliance in Rome. 36 member countries have now joined this New Zealandled initiative to produce more food while reducing global greenhouse gas emissions.

The Alliance is another example of New Zealand’s reputation for smart thinking and decisive action leading the way.

The meeting was chaired by International Climate Change Negotiations Minister Tim Groser, and the Ministerial signing ceremony was a proud moment for both of us. The focus of the Alliance will now shift from the politicians to the scientists, and I believe that with the right level of international buy-in, it will deliver real solutions to the world’s greatest challenges of food security and climate change.

Once again, New Zealand is proving its ability to see an opportunity and make the most of it.

Canterbury legends With the passing of Harley Jenkins my mind goes to his generation and the way they lived, worked and played.

At my age, which is now the wrong side of 60, I have the privilege of being on the fringe of those who I admire and envy, and thankfully well about the ‘Y’ and ‘Z’ generations.

As a small boy I watched the way the older generation worked hard, but made it fun. The way they shared meals, morning and afternoon teas, and hospitality was something that was as natural as breathing.

Well before instant communication, people talked, laughed and entertained themselves and others.

Picnics were the means of eating outdoors, and there weren’t many car boots that didn’t sport one of those small cases with a bottle of gin and one of whisky plus four small shot glasses.

Tea and coffee was made from water in a thermos rather than picked up from a service station and consumed from a plastic coated cardboard creation.

I remember watching groups of people race at ‘point to point’ race meetings otherwise known as cross country races, but the riders were all wearing silks and having a ball.

Motor sport, a big part in my life then and now, ranged from improvised tracks through

gates and across paddocks through to organised races on beaches.

Plus there were a raft of other ways friends and families played together doing such things as hare drives to raise money for the local school, and hunting to hounds. All a bit tough on the hare population, but a huge amount of clean fun for those involved on the other side.

But I think the important part of the memories that I have is the sense of humour and fun that was always so close to the surface, and remains with Harley’s generation today.

As a mate Harley had no peers as far as I am concerned. His love of people, family and what he did was unconditional. As was his generosity and affection.

As a farmer I saw him as a man who was a quiet achiever and was able to attain perfection without any fuss or bother. Dedicated to breeding his Angus cattle to the point his son Angus must be very grateful his Dad didn’t breed Red Polls or Devon’s, to say nothing of Short Horns!

I have a copy of Harley’s book which has become even more precious than it was. I am also very thankful and proud to have spent time with him and others of his generation.

They are all legends who deserve a very special place in the history of this great province.

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4

July 2011

My point of view

Allen Cookson

Building a sustainable Christchurch Large areas of Christchurch are in the red liquefaction zone which will be cleared of buildings.

Gerry Brownlee is talking of possible land remediation maybe ten years hence, followed by rebuilding including sewerage and water infrastructure.

The high cost and delay and uncertainty about future quakes suggests that alternative uses of the land are to be preferred. There is also talk of evacuees from the red zone settling in areas to the west of the present city and the abandoned red zones becoming parkland.

The Avon and Heathcote river banks would make wonderful walkways and cycleways.

I suggest use of most of the abandoned land for horticulture, forestry and farming. Some of the worst affected land near Horseshoe Lake was used for vegetable growing until recent subdivision for housing, now destroyed. In the 1940s much of Avonside and Dallington and even some of Richmond was given over to vegetable growing and glasshouses.

Sale of abandoned house sections by government, EQC and emigrant vendors would recoup some of the cost of cleaning up these suburbs. A consortium of agents to organise reversal of past subdivisions would be needed. A few remaining houses would be bought by

the new resident growers.

Their water supply would be from private wells.

With more of the population in the west of the city it would make sense to deliver waste water to oxidation ponds to the west.

The waste waste water previously sent out to sea was rich in nutrients such as nitrate and phosphate. If it were put on the land it could sustain high agricultural production on 7000 ha.

Provided effluent is administered so that it does not penetrate below the root zone, which can be achieved with modern irrigators when there is a soil moisture deficit, there is no danger to the aquifers. Massey University has found on a trial site that there were 70 days when the soil was rain-saturated. During this time treated effluent must be stored in ponds for later use.

Alternatively it could sustain highly productive plantation forest on 12,000 ha. Projected increased costs of fertilisers would make this an attractive investment.

It also avoids the hazards of liquefaction for sewers passing to the coast.

It is easy to grow microalgae rich in phospholipids in oxidation ponds. The most efficient has 70% phospholipids per biomass. 136,900 litres of biodiesel or jet fuel per hectare of pond per year can be produced from this alga.

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New agricultural era dawns with cooperative partnerships Greater unity in the entire agricultural sector is in the offing, with Fonterra Cooperative Group and Silver Fern Farms partnership to aggregate sea and land freight services under the Kotahi umbrella. Not only that, but Fonterra has purchased full control of rural services company RD1 from Canada’s Agrium.

“We are seeing some exciting developments across the entire agricultural sector,” says Bruce Wills, Federated Farmers President.

“There are significant cost efficiencies to be made in the supply chain and with freight especially. Instead of doing their own thing, it’s logical for our exporters and importers to cooperate on freight aggregation.

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“I think it’s highly plausible that the Kotahi umbrella could extend to wool, horticulture, fisheries and wine. In effect the entire primary sector, which now accounts for some 71 percent of New Zealand’s merchandise exports.

“From the farmer’s perspective, a ‘NZ Inc’ approach to freight solutions means not just better market servicing, but the promise of savings reflected in producer returns.

“Greater collaboration on logistics was something that arose from the Red Meat Strategy. By aligning with the world’s largest dairy exporter, Fonterra, there are many positives for our exporters and importers alike.

“Continuing positive outcomes, Federated Farmers is pleased to see Fonterra exercising its right to buyback 50 percent of RD1 from Canada’s Agrium.

“This ensures a highly competitive rural supplies market with full farmer owned cooperatives like CRT, Farmlands, ATS and now RD1. There is of course PGG Wrightson, Allied Farmers, Elders and other companies in the rural supplies market too.

“Knowing Fonterra, they would not have exercised their buyback rights unless the financial numbers made sense.

From Federated Farmers perspective, assuring competition in this key market for farmers is a vital outcome.

“It also means instead of going into foreign control, RD1 is fully in the hands of New Zealand farmers,” Mr Wills concluded.

July 2011

The top 20cm that supports all animal (and human) life It came as something of an epiphany. There I was digging up the soil ready for the spring planting on a frosty July morning. I picked up a handful of the dark stuff. It was moist, full of microbiotic life, plus some animal life in the form of a couple of worms. This set off a train of thought. Without that 20 centimetres of top soil I would not exist. Neither would the rest of humanity.

Nor any major animal life. Yet we continue to pay homage to some mythical beings in the wide blue yonder. So this all brings the matter down to land ownership. That top soil and its microbial content and assorted minerals must be maintained and enhanced by the landowner. IT FORMS THE BASIC FEEDSTOCK FOR THE HUMAN RACE. As the human population increases every bit of land capable of producing food and fibre gets a lot more attention from a variety of nations looking to keep their population fed, clothed and housed. Decreasing areas of arable land capable of growing crops and trees coupled with degradation of vast areas due to overcropping, drought, floods and general bad husbandry will ultimately end up with some expensive farmed

real estate. That is in nations, such as NZ, which is seriously into sustainability under progressive land management.

There is a lot of pressure building on those top 20cms.

We are asking it to pump more product per square metre. If we don’t watch it, we could denude those vital few centimetres beyond its capabilities. Its already happening with desert encroachment in a number of areas overseas, acid and leached soils, mineral deficiencies and pollution.

Which brings us to the point that the good old Kiwi farmer has been able to increase productivity over the last 100 years without completely stuffing up the base material, and in many cases had enhanced it. This to the extent that expanding populations in many nations, particularly in Asian countries, are eyeing this dark gold beneath the surface of God’s Own. Some nations, multi-national organisations, big players in the financial sector are in the market with fat wallets to acquire the earth beneath our feet. They are looking at the long term. Unfortunately some landowners are ready to sell valuable real estate to offshore organisations. And you can’t blame them when hocked to the

eyeballs, such as late starters into the dairying business.

Thus that handfull of topsoil I picked up belongs to me. Fee Simple in real estate terms. But the ground under the topsoil, to whatever depths, belongs to the Crown. Or so I understand.

That is the nation’s mum, dads and kids.

It is now very noticeable that land acquisitions by offshore nations has been rapidly increasing. The latest was a number of Southland dairy farms bought by German interests.

The Chinese are hard at it pushing the OIO (Overseas Investment Office) to allow them to not only buy dairy farms, but also processing facilities.

American millionaires (and one or two billionaires) have already acquired vast areas of our high country. And our cash-strapped administration is looking at this so called investment as a short term solution to pay back debt and catch up with the Aussies.

Large tracts of our forests, most grown on what is termed marginal land, is now foreign owned.

The net result of all this is that our patch of dirt is getting to the state where we just cannot afford to hang onto it. To be fair, if some foreign millionaire offered me a huge sum of money for my few hectares I would be sorely tempted to sell up and live in luxury. After all our residence does have a sea view.

But the thought of languishing on a deckchair on a cruise boat or an exotic tropical resort with a G&T in hand does not excite me one bit. Maybe just for a couple of days providing there was a handy golf course.

But I digress. I find it very hard and confusing to come up with an answer to this sell-off of our land and assets. I am unable to comprehend the financial

jargon emanating from the finance sector, bankers, media commentators, politicians and Treasury buffs.

All I know is that we really need to maintain ownership of that topsoil or we are lost, to become virtual working class peasants in our own country.

The best suggestion I can come up with is that all political parties look at what sustainability really means.

Provide the means through research and development, also the where-with-all for innovation within our own workshops and factories. That the party in power takes control of what can be sold, and what terms should apply rather than the willynilly giveaway that is currently par for the course.

It’s the long term, stupid! Ten, fifteen, twenty years ahead. Not the next election.

This applies not only to that life-giving top few centimetres, but also to what lies underground. It may mean a complete change of tack in how we do our accounting within the hallowed finance institutions. It eventually has to be aligned to our soils, and the people who work the land, the research institutions, the technicians, the innovators and (don’t shoot me) practical conservationists both in rural and urban areas, but not tree-huggers Citizens of God’s Own, both urban and rural, need to get behind the growers of crops, animals and trees and help conserve our way of life in relation to the land.

We are virtually sitting on a gold mine, and not necessarily the yellow stuff, which has a huge future, economically, scientifically, and enhanced sociological consequences.

It’s to do with demand and supply. Let’s not lose the means to achieve it.

5

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July 2011

RURAL PROFESSIONALS

Money Talk

With Andrew Wyllie

Export-led recovery under way The New Zealand equity market is closely following the track of the broad recession of the early 1990s. The common factor in both periods is an export-led economic recovery, driven by the agricultural sector benefiting from strong commodity prices. A comparison with the early 1990s would suggest a significant lift in the market is likely as the recovery gets under way.

We estimate New Zealand market earnings are still about 10% below trend, with further downward revisions to 2011 forecasts over the last three months. The expected earnings recovery has been pushed out by about six months as Christchurch rebuild expectations are pushed out into 2013. Further 2012 earnings downgrades are possible, but revisions for subsequent years should turn positive as Christchurch rebuild impacts are recognised.

GST on land transactions The rules on GST affecting ‘land transactions’ between GST registered parties changed on 1st April 2011. In the ordinary course of events a purchaser would receive a GST credit which would equate with the vendor’s output tax. In a significant number of transactions this was not happening and the Inland Revenue Department was missing out on the vendor’s output tax in situations where a secured creditor held a higher priority to the GST moneys than the IRD. Needless to say the IRD was out of pocket for considerable sums as a result of these transactions.

The rule now is that a compulsory zero-rating of land transactions between GST registered parties applies. The definition of ‘land’ is widely defined in the legislation to include transactions where land is only a part of the deal. The new rules apply if the following conditions are satisfied:

As earnings begin to be upgraded investors will regain confidence in medium-term earnings projections. This should lead to the market multiple expanding on the higher projected earnings.

We may still be many months away from this positive re-rating, but the likely double impact of the eventual upgrades makes equities attractive today in our view.

1. The sale is from one GST registered person to another GST registered person who acquires the ‘land’ with the intention of using it for making taxable supplies.

While the New Zealand equity market is only up +4% this year to date, it has performed fairly well against most markets, especially in New Zealand dollars, despite a continuing earnings downgrade trend. Equities are only slightly cheap on the key valuation metrics of price-to-earnings ratio (PE) and price to valuation, but our one year central scenario gross return expectation for New Zealand equities remains 15%-20%, using a forecast PE range of 13x–13.5x and a subsequent year earnings growth range of 10%–12%.

In contracts for the sale of a farm which includes a dwelling house which will be a principal place of residence for the purchaser, the supply of the dwelling house will constitute a separate supply under the GST Act. The farmland portion of the supply will be zero-rated under the CZR regime.

For our New Zealand Model Portfolio we continue to target stocks with positive earnings momentum, core defensive/utility stocks at a reasonable price, and a few ‘deep value’ stocks which have a near-term catalyst for a positive re-rating.

Andrew Wyllie is an Investment Advisor for Forsyth Barr in Christchurch. To contact him about portfolio management, fixed interest or share investments send him an email at andrew.wyllie@forbar. co.nz or phone 0800 367 227.The comments in this note are for general information purposes only.

This article is not intended to constitute investment advice under the Securities Markets Act 1988. If you wish to receive specific investment advice, please contact your investment advisor. Disclosure statements for Forsyth Barr and its investment advisors are available on request and free of charge.

2. The land is not intended to be used as a principal place of residence by the recipient or an associated party.

The time of settlement is the time that the test for satisfying the above conditions applies, and not the time of supply.

If the above conditions are not satisfied then the general GST rules apply.

Where a GST registered vendor enters into a contract for the sale of ‘land’ it is incumbent on him/her to enquire whether the purchaser is GST registered and whether it is the purchaser’s intention to use the land to make taxable supplies and whether the purchaser intends to reside on the land. Most real estate forms now provide for that information to be included in the contract.

It is strongly recommended that if a GST registered vendor is negotiating a sale the sale price is expressed as ‘plus GST’ so that if the transaction is not zero-rated the vendor can claim the GST from the purchaser.

These new rules will take time to become established. They are however, compulsory, unlike the ‘zero-rating’ classification which parties could opt into. It is to be hoped that the government has closed the loop hole by which unscrupulous vendors could avoid paying GST. This article has been prepared by Bessie Paterson, a Partner with Ronald Angland & Son Solicitors, who may be contacted on Tel: 03 349 4708 or e-mail bessie@anglands.co.nz OdocsBessieArtJuly11GST.

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July 2011

It’s all coming up clover

by Janette Busch

Recent research by scientists at Lincoln University has shown pasture growth increased when subterranean clover, an annual species of clover, was over-drilled into grass-dominant dryland pastures in drought prone areas.

Over-drilling, is where new seed is put into an existing pasture to revitalise pasture growth instead of replanting the pasture, which is a more expensive option.

Since the 1980s scientists at Lincoln University have undertaken research to investigate new pasture combinations and planting regimes to increase pasture yields for grazing animals during times of drought.

“An important part of farmers’ pasture management is to ensure pastures receive adequate supplies of nitrogen,” says Professor Moot, programme leader in the Faculty of Agriculture and Life Sciences.

“However, New Zealand’s aspect in the southern ocean means that the east coast of both islands experience droughts in summer causing on-going challenges for farmers to provide adequate high quality feed for their stock.

“Scientists from the Faculty of Agriculture and Life Sciences have shown that farmers can increase herbage production by over 40% if they over-drill their struggling pastures with subterranean clover in autumn,” says Professor Moot.

A two-year study was carried out at Ashley Dene, Lincoln University’s dryland research farm.

Groups of sheep were set-stocked (allowed to graze for a set period of time) on five different combinations of pastures in the spring and then rotationally grazed on the different pastures during summer and autumn.

Dry matter production, daily growth rates and botanical composition measurements were taken from the five pastures to allow comparative analyses to be made.

While the value of subterranean clover for permanent pastures was demonstrated at Ashley Dene in the 1940s this study specifically looked at its benefit in maintaining and improving pasture during times of stress, as experienced under drought conditions.

“Using nitrogen provided by legumes such as clover through nitrogen fixation was also a cost effective way to increase soil nutrients rather than by using nitrogenbased fertilisers, which were expensive to apply,” says Professor Moot.

Traditionally New Zealand pastures have been a combination of ryegrass and white clover sown together.

White clover is a perennial plant with a single tap root that thrives in the wetter areas of New Zealand but struggles to survive in drought prone areas.

“Subterranean clover is an annual clover that is a denselow-growing crop with shallow roots that allow it to thrive in the 11% of land area in New Zealand that receives less than 800mm annual rain,” says Professor Moot.

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When to be brave and when not to

by Lorne Kuehn I have worked much of my adult life as part of various extended military organisations in Canada and elsewhere. I have had many friends among these military units at all rank levels.

I saw close up the character traits selected for military organisations that constitute the military personality. One of those traits is that of heroism or bravery.

One person in particular was noteworthy in this regard. He was a career medical officer in uniform, in the naval branch of the Canadian Armed Forces. One day while working in his office alongside a harbour in Victoria, on Vancouver Island in British Columbia, he happened to notice by chance a car driving along a public dock on the far side of the harbour. The car drove the length of the dock and then plunged into the water and sank out of sight. He was the only person to notice this event.

He immediately rushed out of his office and down to the shore where, as luck would have it, some military personnel were coming in on an inflatable Zodiac. He immediately ordered the sailors to proceed across the harbour with him to the end of the dock where the car had sunk. At first the men refused to do this without authorisation but the doctor gave an explicit military order, threatening them with court martial if they did not obey. They grudgingly complied.

When the Zodiac reached the dock, the doctor plunged into the water completely clothed and swam down to the car some dozen metres under the sea. He got a car door open and found

the driver’s body inside which he brought to the surface. The sailors then got the body on to the dock and the doctor administered resuscitation.

Amazingly, the driver recovered consciousness after several minutes and was restored to life.

(Unfortunately the driver went on to kill himself successfully some months later but the point of this story so far is to demonstrate the extraordinary courage and presence of mind exhibited by this officer, for which he was duly awarded a medal for heroism.)

A few years later, the same officer was standing in uniform in a bank in a suburban mall in Toronto. All of a sudden, three masked men burst in waving pistols. One of them ordered the customers to line up against a wall while another jumped over the counter and started emptying the tellers’ tills. The third robber walked up and down, threatening to kill anyone who made a wrong move.

The military doctor realised that he could probably tackle one of the men from behind and overpower him. However, should he do this, it was likely that the other two robbers would shoot him and possibly other customers as well. The doctor wisely decided to pass up this chance for another heroism medal, which would probably have to be awarded posthumously.

So heroism is not just about doing the noble brave thing when the opportunity presents itself but also about not doing the wrong thing in a crisis where more innocent people would be hurt as a result.

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WATER

July 2011

Dr H2O on Irrigation Management and more

With Dr Blair Miller

Otago farmers work together to meet their Water Meter requirements While many water users are delaying their water meter installations to the last minute, without consideration of the industry’s inability to put thousands of meters in in avery short space of time, a group of Strath Taieri water users formed a committee to investigate options for their area. They recognised that with the introduction of the National Environmental Standard for Water Metering, the installation was inevitable and wanted to ensure the area was serviced well with members of the group getting the best solution for their properties.

In the area, which is not dissimilar to many areas of Otago and Canterbury, portable pumps or gravity systems with no mains power are common.

Many of the installations suited having the water meter installed directly into a buried mainline rather than doing complicated and expensive head works alterations. The group were also focussed on the benefits of using telemetry to allow easy access to data for management, and to help ensure system issues that could develop are quickly identified. Working as a

group they tendered the project to invited parties and received a number of proposals with three going through a further qualification process.

SICON Rural Services were awarded the contract and have since completed Stage 1 of the group’s installation earlier this year and are currently working towards installing the remaining sites this spring. Working with a group SICON were able to pass on better buy rates on the equipment and share costs such as travel and accommodation across those involved. With an area-wide installation base it will keep ongoing maintenance and verification costs to

a minimum as this can be managed as a group as well.

SICON worked closely with its equipment suppliers: Siemens for water meters and Datacol for telemetry and data management. The Siemens water meters were selected as they are ideally suited to this application with models that can be completely buried and operate on battery power for stand alone operation. This configuration was perfect for the Strath Taieri group as it keeps installation costs as low as possible.

The telemetry units from DataCol transmit data directly using the Vodafone cellular

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network and the data is made available through a user friendly website so farmers can manage their operations using the data which is updated every 15 minutes. Farmers can also add additional features such as soil moisture monitoring, air temperature sensors and rain gauges to the system to increase the benefit they can receive from the equipment if they wish.

As a result of this project the water users of the Strath Taieri region are now well placed to meet the requirement of the new legislation and take advantage of the management information now easily accessed through their telemetry systems.

Blair Miller of SICON Ltd Rural Services has a PhD in Soils from Lincoln University and is available to assist you with developing an irrigation management system for your operation. Please feel free to contact him on 03 318 8320 or blair@sicon.co.nz if you would like some assistance.

A DataCol Collect cellular telemetry system forwards the data from the water meter to a website for easy access every 15 minutes.

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WATER

July 2011

9

Irrigation Issues Dr Tony Daveron

Still waiting for winter and what might be still to come. Like the ‘News of the World’ there are rumours abounding that irrigators have been running — Yeah Right. But it is mid-July and not much time left for winter.

It is hard to think of too many winter days in the first month and a half of our Southern Hemisphere winter. We left the winter solstice behind more than two weeks ago and while the we will now get increasing hours of daylight, the seasonal lag means our coldest periods should follow the solstice by a few weeks. I guess that means we are all but at the end of that few weeks. I know, a lot can happen between now and September when we can reasonably expect growth to kick in in earnest. While the south west of the South Island is copping it at the moment we are missing out. There are some concerning issues that winter needs to resolve and resolve quickly:

As the diagram shows, we have gone through June with little or no recharge. Furthermore, if the 90mm total recharge was spread over the Selwyn–Waimakariri groundwater zone it would amount to about 9 million cubic metres of water. Hmmm this is about 5–6% of what is thought to be used in a moderately high demand season.

Winter — let’s get it on and quickly. We don’t want all the recharge to come in the spring.

• Regardless of the relatively high groundwater levels, we need recharge and we need it soon. As I wrote last month, it is better to start with a full tank than a half empty one — a bit like setting off for Picton with half a tank of fuel and no gas stations on the way. You might make it or you might not make it.

• Regardless of the balmy winter temperatures — and put aside the heavy frosts because we end up with double digit daytime highs with clear skies — we need lots of chilling hours and we need them quickly. One of our biggest blackcurrant growers visited this week and thus far has accumulated just 400 of the required 1,000 chilling hours. So 600 hours to accumulate in about seven weeks before September — brrrrr!

• We have been asked on more than one occasion ‘what are soil moisture levels like?’ That’s an indirect way of asking ‘should I whip around with a little water on the grass’. Well unless you want to make it rain or create some soil management problems (wet soils and animals don’t really mix that well), just forget it. Or of course some artificial snow for the kids to satisfy their desire for winter sports.

• I have heard (second hand of course) that irrigators have been going not too far north of Christchurch (about an hour and half away). ‘Oh but it was K-Line’, not that that is a legitimate reason for irrigating. I hope not.

• Notwithstanding what I have written above, we have done some moisture measurements locally while having candidates for a new field technician. On some very deep silt loam soils in an orchard that received minimal irrigation during the last season, the meager April, May and June rainfall has not been enough to return these profiles to field capacity.

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• Just to confirm the dry balmy weather we have been getting, there has been little or no drainage from the pasture lysimeters in the network for which we monitor soil moisture.

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WATER

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FORESTRY

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July 2011

LEADING FARM MACHINERY SPECIALISTS

Planning the final harvest (years 24 to 30, and in perpetuity)

by Ben Gaia As your trees approach 24 years old you can decide to harvest them or leave them for another year. You have this same choice for the next seven years or so until your log size may get too big for the local sawmills, and you will have to cut them down anyway.

The trick is to get a couple of quotes from your timber assessor or contractor for logging the block, and preferably your neighbour/ growers group’s blocks at the same time. As log prices, demand, shipping availability, and currency exchange rates fluctuate, your trees are standing there putting on a great deal of diameter at this stage. Each year can show a diameter increase of 60mm, over a six-metre log. Well that’s a few good boards per year.

Pity we generally can’t leave it to grow to heart pine at fifty years, or the beloved ‘old man pine’ for firewood, but they get too darned big, are a hazard to aircraft and tricky to drop without losing the homestead. Also some logs are too big to lift, by truck, crane, or helicopter. There are still giant rimu butt logs up the back of Ross where the logging chopper couldn’t lift them out. This might be where the Sri Lankan elephant logging method may come in handy.

Do not cut any trees down until a price and contract for cutting has been agreed. Get advice on what costs to add in, like extra roads, down time for wet weather, who pays for transport to the mill. Gain economies by harvesting bigger areas with your original growers’ group. Read your contracts carefully.

If you are well advised on prices and have a reliable logging team set up to take advantage, you can catch the right price and log great swathes of the county. Though small is beautiful for successfully regenerating logged areas, replant any logged areas immediately to beat the weeds. Regrowth and protection is better if strips or checkered squares are cut within the forest. Better still if individual perfect trees are harvested by winch, dozer, horse, or elephant, and a clump of new trees replanted in the sheltered light wells. The design of your original planting should take access on harvest day into account. Alternate rows or clumps of differing species of different ages may enable a more sheltered and wildlifefriendly forest to survive the trauma of clearfelling, as well as providing more diversity of incomes and products from your

Forestry Market Report Allan Laurie MNZIF Laurie Forestry Ltd The market scene has been pretty interesting over the last month with China doing a bit of a cough and splutter or more accurately a choke. This rather unhealthy state of affairs is the direct consequence of a significant over supply of logs at a time when demand is just off the boil.

Prices in CIF (landed in the market in China) terms have fallen about US$20 a cubic metre between May and July settlements and may yet drift down slightly more in August. Whilst NZ has maintained a steady increase in supply, the US and Canada have literally opened the flood gates with both log and lumber sales in to China increasing about 150% month on month since April.

The lumber volume out of Canada is the direct consequence of a collective decision to clear the mounting lumber inventory in BC due to Bark Beetle Harvest. Sawmills are paying an unbeatable CAN$0.25c to $0.50c per cubic metre royalty for the privilege of mowing down the forests before the beetle does. This makes it both possible for them to land the volume in the market in bulk and

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block. Gravelling your road potholes over the forest’s life may save roading at harvest.

Push slash into windrows to compost or into access areas for firewood salvage. Prepare your ground for replanting. Leave any good established trees, natives and volunteers. These provide shelter and consistency of habitat. Replant in good sized (0.5 hectare plus) coupes or stands of various timbers. Sow a cover crop like lotus or clover to beat the flush of brushweeds. Feed the ground again with rock dusts and seaweed mixes.

Remember in the future the market for pine will eventually drop in favour of cypress and speciality timbers. But for the meantime Radiata still grows like a triffid just about anywhere you plant it, and there is a ready market for your soon-to-become-available truckloads. It should logically be about 50% of your planting plan for now, with the balance in other timbers, in case of a terrible pine disease in future. Even doubling the number of species or varieties halves your future risk against a crop failure in one species. In most Canterbury areas, douglas fir and cypresses, and deciduous hardwoods like poplar and oak, are dead certain proven reliable backups for your future timber portfolio.

As always, be aware of all safety issues when working with your contractors, and particularly with family members ‘helping out’. Logs are heavy. Hills are steep.

End of part 7.

Ben Gaia, treeman007.kol.co.nz

at a healthy discount. Global warming, it would seem, is leading to unsustainable practises.

Meanwhile the Shrinking Violet commonly called the US economy is resulting in a huge slow down in new house starts, leaving US forest growers with few alternatives other than to ship the log volume to Southern China. The normal 2–3 vessels per month from this source has suddenly become 12–14. Not surprising therefore, the market is taking a price reduction position.

Most commentators are suggesting the current situation is expected to be short term with some recovery expected Q4.

Toward the end of the year some clearing of PNW inventory is expected and a demand improvement in China is also expected.

The fundamentals of the market remain globally good for forest growers. That is long term wood fibre supply is expected to be constrained and prices therefore should remain bullish.

Even in these times of prices being under pressure we are still seeing A-grade selling in the NZ$80–$85 per cubic metre range at the wharf. This is not too shabby compared to 18 months ago when a buyer offering that would have been smothered in hugs and kisses.

The domestic market in Canterbury is still chugging along with sawmills busy but not flat out. Sales levels have picked up a little and most are awaiting the serious start to the Christchurch re-build with eager anticipation. Some improvements in pricing of traditional ‘S’ grade log grades used to mill house framing have been seen in recent months. Certainly not time to be popping the champagne corks but if you are a forest grower it might pay to start hunting the liquor adverts for some cheap deals.

Despite the frustrations, there are many positives out there, not the least being in terms of average stumpage values. We remain in the top 60 percentile of the market of the last 12 months. To repeat that which will be obvious to those with a tilt toward our wonderful industry, the only way forward for climate and country is to get out there and plant more trees.

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July 2011

13

Redwoods in the high country – part 2 Last month saw how initial redwood growth could be encouraged up on Ben Lea station. In order to capitalise on this the enclosed photo shows how similar clonal redwoods can continue to grow up in the high country. The photo is of Colin Guild from Quartz Hill station with a clonal redwood not yet three years old. Colin put a deer fence around both a variety of clonal and seedling redwoods after planting to see how they could handle the severe weather conditions of high planting.

Granted not all planted redwoods performed as well as the tree in the photo, but few actually died, instead a few grew as a multi-leader tree. However these trees did not receive any boron. To try and determine if boron deficiency was the sole culprit this arboretum has now been treated with hydroboracite chip at 150kg/ha. We’ll have a look at this trial after another year’s growth to see if tree form has improved.

Joke time: I would like to apologise to my readers for not having a joke published last month. Apparently it didn’t get past the censors. For this reason I’ll submit a couple of cleaner ones this month.

Joke 1: Paddy and Mick had just left the pub and were staggering home via a shortcut through the railway yards when they happened to come across a deep hole. “How deep ya reckon” said Paddy, “Don’t know” replied Mick. “I’ll throw down this rock to see if we hear

it hit bottom.” So Mick throws down a rock but it was too small, so they decide to throw down a railway sleeper. Just as they did this they see this large billy goat come racing towards them, snorting and bleating.

have come for Betty, we plan to eat spaghetti, is she ready?”

Again the farmer gave his approval and both trotted off.

Just as he was about to butt them down the hole Mick pushes Paddy out of the way and also side steps this furious animal. With that the goat disappears down the hole. A couple of minutes later an old timer approached the lads.

“Did you happen to see a goat around here by any chance?” asks the old man. “As a matter of fact we did,” replied Paddy.

“It was a fierce beast, it tried to kill us.” “Nope, it could not have been my goat,” said the old man, “it was a family pet, it would not hurt a fly. I just had it tied to a railway sleeper while I went shopping.”

Joke 2: A hillbilly farmer in the hills of Kentucky had three beautiful daughters who were all asked to the local dance one Friday night. The farmer was very protective of his daughters and met each suitor at the door with a shotgun to ascertain whether they would be suitable and respect his daughter. The first knock at the door revealed a rather short little guy who said: “Hi my name is Joe, I’ve come for Flow to take her to the show, is she ready to go?” The farmer looked him up and down and was happy with what he saw so he allowed his daughter to go.

The next knock at the door revealed a tall skinny guy who said: “Hi my name is Eddie I

When the third knock came the farmer opened the door to expose a rather swave looking dude, and just before the farmer shot him he said, “hi my name is tucker . . .”

Colin Guild from Quartz Hill station with a clonal redwood

For further information on the above or any past articles please give me a call Andy McCord Technical Forest Services Ltd Andy: 027 224 3271 Sammi: 027 282 7580 Office: 03 313 4153 Fx: 03 313 4953 email: andymccord@xtra.co.nz web: www.techforest.co.nz

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14

July 2011

COUNTRY MOTORING

Power and performance — the most popular and the most expensive Sometimes I just love my job! Recently I had back-to-back, two high performing sedans. Although you might not immediately compare them they do bear comparison if only for the outright performance.

Ford was kind enough to send me a GT-P Falcon, the most expensive Falcon on the market. The colour is apt, Seduce, for it certainly does that.

Less exciting in terms of colour though equally enthralling is the 535d from BMW. The 5 Series is BMW’s most popular range.

Yes it’s a farmers favourite machinery, tripple powered fire-breathing monster wrapped in svelte leather wood facings and eschews all exterior adornments.

Both vehicles come in two body styles, ute and sedan for the Ford with a touring (wagon), and sedan for the Beemer.

Both come with a blower to up the heart rate. A supercharger in the Falcon and twin turbo in the 535.

BMW 5 Series Diesel 535d. SE I drove 890kms in the $148,500 2011 535d SE. It was all too short!!

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The 5 Series is the most recogniseable symbol of the BMW range and the one that most people, according to a recent survey, imagine a Beemer to be. This one has some spectacular AND useful technology pointing the way to future mainstream vehicles. Heads up display of speed+cruise on windscreen — active cruise control that maintains distances — self parallel parking (a $1400 option on the test vehicle) — amazing to use side view cameras showing both sides at once — Bluetooth with enhancements — user-friendly Sat Nav —

BMW 535 diesel at home on the farm

huge 12inch multi-use screen — repeated info on dash so screen can show other data from cruise computer — docking cradle for cell phones utilising BMW battery and aerial to enhance phone coverage. Also new on this model is the up rated 3-litre twin turbo diesel producing 220kw and a staggering 600nm.

On the Road: All that power has to have some meaty rubber to translate it to mile eating capability and it does with 245/50/18 wheels and run flat tyres. Combined with the superb traction control the 2000kg 535 hauls in 100km/hr in 5.6 seconds and will return to zero in an eye wrenching 4 seconds meaning a true 0-100-0 in less than ten seconds is achievable. That’s not the whole story as the EIGHT speed steptronic auto is so ultra smooth allied with the quiet engine and well insulated cabin that 100km/hr feels slow even when indicated on the heads up. The diesel is so willing and powerful that the even more powerful V8 4.4 litre petrol is only for those seeking ultimate power. I like the tractability of the Newton metre-rich diesel and the stunning economy at 5.9l/100km or even the BMW claim of 6.1 that gives a true 1200km range between visits to the pump. I found some corners that indicate 55km/hr are dispatched with ease and

no squealing at nearly double that thanks to the well sorted chassis and suspension. This is a true sports car without the garnishes of engine bulges or massive rear wings. Metal roads with mud or deep shingle are passed unnoticed with well insulated wheel wells and under body protection. In fact nothing reasonable I tried was detrimental to the effortless forward progress. BMW rate the towing conservatively at 1800kg with braked trailers.

Interior: I tried not to like the black leather knowing what it can be like on a hot day but the 10-way electrically controlled and heated front pews on a wintry morning were oh so comfortable that even a 300km non-stop trip to Picton from Christchurch was effortless and ache free The rear seats allow huge leg room and are of chaffeur driven quality for two or accommodate three without compromise. Nice touches abound like door handle lights that come on as you touch the handle, push button start, and most surprisingly a huge boot that swallowed three bales so would easily cope with most family holiday gear. However for me piloting the 535 with all the wizardry of the 335d Sport and some extras listed above such as the intuitive Bluetooth and the cameras at the side along with the rear, as well as the best heads up display I’ve

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COUNTRY MOTORING savouring that rumble that only a V8 can produce. Slip the auto selector into drive and the six-speed transmission (manual six speed is a no cost option) instantly responds with a satisfying lunge forward at the slightest of taps on the loud pedal, just hinting at the performance capability.

used, makes the 5 Series both easy to drive and definitely the driver’s seat is the one to opt for.

My 535d carried an M spec logo though had no penalty in lowered ground clearance which was similar to a Falcon at 165mm though the front valence could be vulnerable with careless angle parking.

So if you wanted one which would you choose? There is a reason that the NZ Motoring Writers Guild chose the 535 as its COTY in 2010. It is simply the embodiment of the most modern safety and driver aids as well as being a real driver’s car. So my choice now as it was then is for more space of the 535d Touring model!!

GT-P FALCON It’s hard not to be very impressed at the spec sheet for the Ford Falcon GT-P 5.0 litre quad cam Boss 335kW 570nm V8. This is up from 315kw and 551nm in the 5.4 litre we drove last year.

Being supercharged the acceleration is linear and finds 100km/hr in less than six seconds and will lose you your licence in just a few more.

With a satisfying whine from the blower and that beautiful V8 song it’s easy to spend all day winding the rev’s up and allowing the 4-piston Brembo front brakes haul in the excesses all day.

I was impressed that Ford would lend one to me, not least for the fact that I live on a metal road and regularly drive all my vehicles over some of Hurunui North Canterbury’s least graded roads! Impressed that the blue coloured Falcon they chose, was in fact the most expensive Falcon you can buy, listed at $96,990. Impressed because for that money you have the most powerful production road car built in Australia.

I like the FG XT base model Falcon upon which the GT-P is based. I wondered what all those extra horses under the bonnet would do to a chassis built for outback roads. The answer is simple. It behaves like any other Falcon, most of the time. Shod with 245/35ZR tyres on 19 inch alloys the GT-P is less able to cope with corrugations and pot holes, due to little tyre flex and firmer suspension, though tyre choice does have a bearing on performance. Despite its clever electronics, the lower ground clearance dictates caution on the shingle roads that we helped Hurunui Council grade when the crown was a tad high. The prodigious power unleashed at very low revs can catch out the unwary as unlike a turbo it’s available from idle! The GT range is distinguished from its siblings with GT badging, a high rear wing spoiler and by a power bulge on the bonnet, which while purely cosmetic

Clever sideways looking cameras mounted on edge of headlights give great views

indulges the senses and will at least show you have a genuine GT not a dressed up Falcon!

Find an open highway or winding country sealed road and the storming Ford is an absolute joy as adhesion and taut chassis along with firm suspension combines to give a truly exciting ride. Not in the Supercar class, though fast enough and with pin sharp steering response to give even the most enthusiastic driver a memorable experience. Our GT-P like most Falcons is well spec’d. Safety features include six air bags and rear camera.

Mix in a cocktail of acronyms ABS EBD BA DSC and the very necessary traction control to maximise the adhesion, the

Falcon is well set up for its role.

Each vehicle is unique and has a number proudly displayed on the lower dash area next to the transmission.

Our test vehicle was a pre-production model and the number reflected this, PP6. It like all the GT range of sedans and their ute counterparts, special sports seating with large bolsters for both base and backrest of the leather clad front seats. The rear also has the same non slip ‘nudo’ leather making them comfortable and very supportive. A true fiveseater Grand Tourer the GT-P is well equipped with the standard features that we see in the premium Falcons such

as power adjustable memory linked pedals on the automatic that are set to the remote key fob.

There is a 6-way electric driver’s seat, dual climate air conditioning, 6-stack dash mounted CD with a 7-inch colour display and AM/FM with iPod connection that also integrates with the excellent quality Bluetooth phone connection and a user friendly Sat Nav with a remote control that I found under the passenger seat! Also there is the unique red push button starter that fires the 5.0 litre V8. It’s somehow more satisfying to hit the big button and see the rev counter dance all the way to 6,000 revs with a gentle prod on the accelerator,

If you are expecting a huge fuel consumption then you’re going to be both pleased and disappointed. Driven sensibly within the law a creditable 11.9L/100km shows on the cruise computer. Unfortunately because of my enthusiastic driving, it climbed to 18.2 litres confirmed by filling at the pump.

Yes there is a price to pay, but what joy there is to be had.

The instant gratification of a supercharged 5-litre Supercar, that will enrich your driving

15

experience. Towing capacity is listed at 1,600kg, braked though with the lowered ground clearance, probably better to use the old faithful farm truck.

I visited Falcon F6 (4 litre turbo GT) owning friends Craig and Trish Ritchie, dairy farmers from Culverden. Craig somewhat surprisingly was keen to have a session behind the wheel of the GT-P. Like me he too was ‘seduced’ by the sweet V8 music and tenacious grip round the flat Amuri roads.

He didn’t let his enthusiasm put his, or my livelihood in jeopardy . . . but I think he sooo wanted to!!!

I enjoyed my time with the GT-P. I loved the performance and found that while capable of traversing our metal roads it is more suited to the open seal where it has in its class few peers.

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July 2011

16

July 2011

Soil Matters

Outline of Gains and Losses of Nitrogen in kg/ha/year Grazed Dairy Pasture

— with Peter Burton

Nitrogen in Herbage 450

Gains A genuine question by a client was recently asked. ’If hundreds of kilograms of nitrogen per hectare are required to grow our pasture each year and we are only applying 20kg/ha as fertilizer, where does the rest come from’?

from Fertilisers and Soils in New Zealand Farming by C During printed in 1984 helps answer that question: Soil is as much a living breathing organism as is a plant, animal and person.

To maximise its potential requires as much careful nurturing as is required to

The following diagram

grow and sustain a healthy plant, animal, or person.

It could be argued that soils should be the first priority as the health of plants animals and people are dependant on the health of our soil.

Dr Graham Sparling in

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Losses Uneaten

N fixed from atmosphere a) Symbiotic (clovers)

70

Eaten 380

Retained + Milk

70

240 To unproductive sites

Urine b) Non-symbiotic

10

20

260

his 2004 lecture Broader Shoulders, Smaller Feet, delivered to a packed out audience (as reported by Philippa Stevenson) made a number of points: Soil is only soil if it has biological activity otherwise it’s dead like moon dust, and despite the way we use, abuse and take it for granted, most terrestrial life depends on a thin, 10cm to 20cm surface skin.

He also said that he found it depressing that we have

50

.

Gaseous Leaching

Dung 310

260

trodden a well-worn path.

Like a brother we have raced to catch up in the degradation stakes with our older American and European siblings. In just 150 years of intensive agriculture New Zealand has done a good job of matching the problems being reaped from thousands of years of Northern Hemisphere settlement.

‘It’s been more rapid and acute here and we’ve carried on when 30 years ago the consequences were

obvious in America and Europe. We’ve not learned the lessons’.

Has the reason that we have followed the high fertiliser nitrogen input path been based on the false premise that more fertiliser nitrogen grows more pasture?

In any short term experiment there will nearly always be a growth response to applied nitrogen however the long term affect can be quite the opposite. The long-term consequence of excessive fertiliser nitrogen use is increasingly degraded soils with lower growth potential.

Why? Because fertiliser nitrogen used as a driver of growth destroys humus, and as humus levels decline so too does production and health.

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Animal welfare strategy moves ahead A national strategy for animal welfare is being developed to explicitly set out New Zealanders expectations for the treatment of animals and establish a clear vision for the future of the animal welfare system in this country.

The Ministry of Agriculture and Forestry (MAF) is leading the initiative, which it says will articulate a shared understanding of how animal welfare systems in New Zealand can improve over time and where the system will be in 2030.

“While New Zealand’s animal welfare system is amongst the best in the world, the boundary between acceptable and unacceptable treatment of animals is always evolving and animal welfare challenges continue to arise as practices and attitudes change” says Colin Holden, Policy Manager at MAF. “It is important that we make improvements that reflect these changes and help ensure our system endures over the long term.”

Colin says the strategy will also provide the opportunity to formalise the systems that are currently in place and assess the work undertaken by parties working within the animal welfare field.

“We will be looking at the roles and responsibilities of Government and other organisations which will help clarify who is accountable for what. One of the benefits will be a better understanding of what animal welfare resources are out there and how they can be best used system-wide.”

“Without a strategy and clear approach there is a risk that the management of animal welfare going forward will be fragmented.”

“We will be working in collaboration with key stakeholders such as vets, animal industries, animal advocacy groups, and users of animals in research and teaching to develop the strategy and an advisory group has been formed to oversee proposals as they are developed.”

The advisory group is made up of people with a range of animal health and welfare expertise, including on farm processing, consumer, science, veterinarian, animal advocacy, and marketing and trade perspectives.

animal welfare system in New Zealand will look like in the future.”

Colin adds that the work to develop and implement the strategy will also support a concurrent review of animal welfare legislation, particularly the Animal Welfare Act. “The Act has functioned well to date but was put in place over 10 years ago and it needs to be reviewed to ensure it is still fit for purpose in light of current practices.”

“Linking the legislation review with the development of a national strategy will help to ensure that legislation fully supports our overarching vision.”

A final strategy and proposal for legislative changes will be presented to the Minister of Agriculture in late 2012. From there, Cabinet will determine the timeline for change to be approved and implemented.

“Animals play a vital role in New Zealand’s economic life as well as our day to day lifestyle and as New Zealander’s we have expectations around the way they are treated and how they are cared for.

“We already have a good reputation for animal welfare, but the development of this strategy and the review of the legislation is an opportunity for us all to show how committed we are to making improvements that will benefit all animals”.

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DAIRY

July 2011

Clover Strategy

Dr Tim Jenkins, Centre for Sustainable Agricultural Research Ltd The clover root weevil (Sitona lepidus) has hit some Canterbury pastures hard this last season. I wrote about the weevil in early summer when it looked like it was building up numbers in parts of Canterbury. I write about it again because now more than ever, we need to put attention into the strategic management of clover.

Biological control through the work of AgResearch shows some promise at least in reducing the effect of the weevil. Their work with an introduced parasitic wasp specific now includes deployment in Culverden and Rakaia. The wasp lays its eggs in adult weevils, sterilising and eventually killing them with a new wasp emerging from its weevil incubator.

Even with a biocontrol agent, clover needs extra assistance in the paddock. Regular applications of small amounts of nitrogen can be beneficial to minimise the impact of the pest through maintaining pasture productivity but also through keeping up clover vigour.

Phosphorus fertiliser should be managed carefully (not too much at once if using fast available phosphorus types) as high amounts of available phosphorus can reduce the level of mycorrhizal fungi

that associate with clover roots. These fungi are important for improving clover uptake of water and minerals. The weevil’s main damage to the clover is in the root system so the presence of good mycorrhizal fungi levels can probably assist in survival of weakened clover plants including over the vulnerable summer months.

While the main outward sign of clover root weevil infestation is the regular notches taken out of the leaf margins and some leaves (like those pictured) have taken a battering, the effect on the plant is apparently low. It is under the soil that the weevil has most effect (as larvae, curved creamy white with a brown head, growing up to 6mm long). They feed on the roots of clover and their nodules. As a further kick in the guts for natural pasture nitrogen supply the clover plants often reduce nodule production as a reaction to the stress.

Grazing management can include trying to lengthen the grazing rotations where possible to give more time for clover recovery between grazings. This will also help with root system development. Avoid overgrazing especially in summer periods when clover can be even more stressed.

Spring grazing also needs to be managed to reduce pugging type compaction damage. Maintaining good calcium levels in the soil through liming and/or gypsum can often improve soil structure also which could assist with clover root vigour and survival.

Calcium levels may also assist with other aspects of soil biology that could perhaps reduce the scale of pest issue.

Where feasible, the move into the inclusion of other legumes may be worth investigating. Red clover is still susceptible but

Clover Root Weevil damage to a clover leaf but it is under the soil where the pest does most damage

may be impacted less than white clover. Caucasian clover once established is also likely to be hardier to the pest. Lucerne could suit some pastures and still assist with nitrogen fixation in the face of the weevil.

Young clover plants are hardest hit so don’t oversow clover seed into an infested paddock. When the weevil has hit a pasture hard, one option is to put the field into crop to break the cycle for a season. The pasture re-establishment has more of a chance in the soil relatively free or weevil larvae.

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July 2011

19

Herd manager gains on farm skills through training Waimiha herd manager and modern apprentice, Joshua Hillvs, says the breeding qualification he has completed through AgITO has given him vital knowledge about seasonal activity on the farm.

22-year-old Joshua is currently working on his second dry stock farm since leaving school.

“My first job was mainly dealing with bulls,” he says. “Then I had a change and went dairy farming, but I realised immediately I was definitely a sheep and cattle person.”

Now working as a herd manager on a sheep and dairy cattle grazing property owned by the Ohinemoa Farm Partnership, he has a major role in organising feeding out to the mobs and health management of the animals.

The National Certificate in Sheep Farming, Sheep Breeding and the National Certificate in Agriculture, Cattle Breeding, Level 3, covers topics such as breeding, lambing, calving, handling stock and rearing young stock. Joshua found the knowledge and skills he learned helpful when completing seasonal tasks on the farm, like dagging, lambing, scanning, vaccinations, drenching and culling.

“All of the topics in the qualification are very important,” he says. “I consider each topic to have expanded my knowledge on the farm. It was really helpful for any tasks to do with sheep, which differ depending on where you are in the year’s cycle. Learning the theory made things fall into place.

“It was definitely a plus to attend classes for it,” he adds. “The tutor was very helpful and supportive and answered any questions we asked.

“Being in class with other people from different farms and different areas was great. I found it useful listening to what they had to say about how they dealt with things on their farms.

I really enjoyed it, you get the companionship of like minded people.”

Joshua’s manager, Edmund Ferreira, is an advocate of training and is seeing the benefits that Joshua’s increased knowledge brings to the farm.

“It’s absolutely awesome,” Edmund says.

“The benefits of him going to a class and being with like minded people are huge, his knowledge has really been extended. He ended up coming back and discussing ideas with me. The tutor is able to give him another perspective and Joshua has definitely up skilled as a result of it. When he comes across a problem on the farm he now has the theory knowledge to find a solution.”

Joshua Hillvs says the breeding qualification he has completed through AgITO has given him vital knowledge about seasonal activity on the farm

Joshua’s long term goal is to become a stock manager. “Hopefully as I gain more knowledge and understanding through training it will open up job opportunities for me,” he says.

“I’m doing my best to get there. I’m willing to go through each step, to gain the theory and practical knowledge I need. It’s great to have a supportive manager like I have now who is helping to extend my education.”

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DAIRY

July 2011

Year-on-year progress for Canterbury farmers Canterbury dairy farmers have raised the bar once again with effluent compliance, according to figures released today by Environment Canterbury.

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Canterbury dairy farms were fully compliant with effluent discharge consent or permitted activity conditions. This is a shift from 59 per cent last year, and 43 per cent in 2008/09.

For three years, a working group from DairyNZ, Federated Farmers, Fonterra, Synlait, NZ Dairies and SIDDC have been working with Environment Canterbury to provide tailored advice and information on effluent management to the region’s dairy farmers. AgITO have also recently joined to further strengthen these initiatives.

DairyNZ strategy and investment leader (Sustainability) Dr Rick Pridmore says the latest results illustrate the success an industry-wide approach can have and the real efforts farmers are putting in on a daily basis to ensure their systems are operating well.

“We’ve seen improvements year after year now, which is really great to see — the hard work being done out on farms is really paying dividends and this progress is important for our industry,” says Rick.

Environment Canterbury, which visited 900 dairy farms this season, also found minor non-compliance has fallen to 26 per cent, from 33 per cent. Common issues are an incomplete management plan or minor ponding.

However like last season, significant non-compliance was again nine per cent.

Effluent ponding, discharging effluent too close to a waterway and nitrogen overloading are common issues for significant non-compliance.

Federated Farmers senior policy advisor Lionel Hume says the results show farmers are more aware of

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their responsibilities and how to manage their farms in a compliant way.

“Farmers are looking carefully at their farm systems and how they operate them,” says Lionel. “Of course, effluent management isn’t just about compliance — it is valuable as a fertiliser and ultimately is a cost-efficient farm resource — so it makes sense to make good use of it.”

Fonterra sustainable dairying specialist Libby Sutherland, says farmers have been receiving more information and advice on how to manage their effluent systems which has had a real impact. Fonterra’s Every Farm Every Year programme was also identifying farms at risk of noncompliance and working with farmers to improve effluent systems.

“Just having the support of someone on your farm, walking through the issues can make a real difference, especially in understanding local rules and specific concerns. As an industry, we’ve made great steps in providing more information and resources to help them achieve compliance and the aim is to have farms which work within the rules 365 days a year.”

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“Everyone has a key role to play and being able to get expert advice really helps make decision-making easier, which ultimately flows on to how the system works on a day-to-day basis out on-farm.”

The industry has also recently introduced a code of practice for effluent design to further support farmers’ goals of full compliance across their industry.

DEER

July 2011

larger multi-day breaks are given. The leaf can be removed quite quickly, leaving the deer with a bulbonly diet for a number of days, effectively at a crude protein of less than 11%.

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Rhythms of a winter beet Fodder beet has made a recent return to farming systems in New Zealand and deer systems have the potential to get a lot out of the crop A close relative to mangles and silver beet, fodder beet (Beta vulgaris) is widely used in Europe as a winter feed source, where it is mainly mechanically lifted, but in New Zealand it is being successfully grazed in situ. It is increasing in popularity as a dairy wintering feed, due to the potential volumes that can be grown.

This crop can also be valuable in a deer system.

Agricom market two varieties, Rivage and Monro. Both are modern varieties with very high seed quality to provide even establishment, which is important for weed control and yields. Rivage has a relatively high dry matter percentage in its bulb (17%), whereas Monro has a typical level of about 12%.

Sown in late September

or early October, crops with good husbandry can achieve over 40 tonnes DM/ ha, particularly in the North Island, whereas crops over of 20 to 25 tonnes are common throughout the country. Fodder beet needs to be precision sown. While there are some examples of good broadcast and conventionally drilled crops, the majority of crops established by these methods are poor and uneconomic. The crop needs some care in the establishment stages because of its inability to compete with weeds. Herbicides are extremely effective, however timing of application is key to their success. Growing costs of around $2,000 per hectare are not uncommon, but a 30 tonne crop means feed has cost only seven c/kg DM to grow (average is 10c/kg). Although the bulbs are high in sugars, the growth from young deer in the winter does not appear to be overly spectacular.

In one case-study, 120 R2 stags were run on a 40 tonne

fodder beet crop from the end of May to the end of July.

These animals ate one hectare of fodder beet over that 60 days with a bale of baleage a week and access to a 2 hectare run-off paddock. Growth rates of 150 g/day were achieved. Carrying capacity was high compared with other crop alternatives like kale or rape.

With big crops, the stocking density on the grazing break can be an issue. For example, each individual stag in the above case-study only had 1.4m² of

21

crop allocated each day. This can also mean that breaking into a crop can be difficult.

Poorer growth rates of young animals have been reported from fodder beet diets. A key consideration when using fodder beet is the type of supplement used in conjunction with the beet.

High rates of fodder beet in the diet increase the risk of acidosis. Feeding straw or poor quality hay with a low crude protein percentage may also be problematic. Fodder beet bulb

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is low in protein and, when fed with a low protein supplement, may not supply young growing animals with sufficient protein.

Fodder beet tops are a good source of protein, as is grass or lucerne baleage. Protein supply can be more of a problem where

Expectations of winter growth of deer on fodder beet should be in line with those achieved on winter brassicas, but with the good yields that can be achieved through good crop husbandry, resulting in a high carrying capacity, these could be very economic crops in an autumn and winter deer-grazing system.

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FERTILISER

July 2011

We’ve got you covered Aerial sowing has now been operating in its present form for almost three years after it joined forces with Windon Aviation and Agflight Central South Island.

With Jim Nimmo as southern area manager and Bruce Evans in the northern area, along with pilots Glen Claridge, David Evans and casual pilot Jonathan Shortus, it continues to offer a fast and reliable service to all their clients in the North Canterbury, South Canterbury, North and Central Otago areas with their fleet of modern turbine powered Cresco aircraft. Jim has a wealth of experience in the topdressing industry and has been an active participant for 35 years.

Glen was born in the Oamaru area and after the big

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things get busy we can also call in aircraft from other areas within the company.

David also settled in the area where he grew up and after his father Bruce trained him into the industry has also been flying for many years.

Things have been somewhat busier this year than in recent years with approximately 400 hours being completed since March which has included some rabbit control operations in the Mackenzie country.

Forward enquiries are looking very encouraging for the spring, even though we haven’t yet had a winter, there appears to be much more optimism among farmers out there at present.

Things evolve and change, it’s inevitable and with bigger aircraft and covering larger areas, the operation has to be fine tuned to keep the planes in the air. With two drivers for each aircraft loaders can leap frog from job to job. If the weather is in our favour, an awful lot of work can be completed with the minimum of ‘dead’ time. When

for a long time and a lot of enquiries for lime application.

In recent times we have seen a big increase of lime application from the air, which hasn’t been the case in the medium past in this area at least.

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FERTILISER

July 2011

The simple facts about suspension fertiliser Suspension fertiliser is not a new thing; it has in fact been used in various forms throughout Europe and the US for many years. We now probably have a better understanding of how and why it works and better delivery systems but the principles stay the same.

Suspension systems have the ability to provide a wide range of nutrient accurately and efficiently. The mixes can be varied to suit individual crops and soil types very easily, providing the particular crops their necessary requirements.

The system can overcome many growth restrictions imposed by incorrect fertility over a reasonably short time, however in some cases it does not provide the total solution. In a case of an extreme deficiency in a major nutrient, or where the particular crop requires a large annual requirement of a nutrient the physical limitations of the system may become apparent.

In most situations an annual application of 100kgs per hectare is more than enough to satisfy annual requirements and in fact will build soil reserves and holding capacity.

Suspension systems have some huge advantages over more traditional fertiliser, the first being the obvious one of freight costs. 100kgs is a lot cheaper to cart than a 1,000kgs.

The next big advantage is one of accuracy. If you were to apply cobalt at 50gms per hectare, which is enough to maintain cobalt levels, and there are 50 granules to the gram, then you must apply 2500 granules over 10,000 square metres which equates to one quarter of a granule per square metre

or 0.005gms per square metre.

Very hard to achieve by using a bulk spreader but if you dissolve it in water and spray it on it becomes much easier.

The other major advantage of suspension comes down to basic physics. We know that the soil microbes are responsible for turning fertiliser to plant food. It takes a fixed amount of energy to make a fertiliser granule into that plant food. In traditional fertiliser we have relied on the microbes to supply the energy required to break the fert down and this seems to be a big ask for a little bug to dismantle a particle many times its own size.

By fine grinding the fert first we can supply a lot of the energy requirement ourselves increasing the surface area dramatically allowing more microbes access and saving them a lot of work at the same time. This is why suspension is so efficient at supplying nutrient. We are merely doing some of the microbe’s work for them. It is a lot easier to eat a steak than a whole cow!

The other advantages are dust-free applications, accurate deposits and cost efficiency to name a few. Suspension may not be the total answer to all problems but it goes a long way to cure most of them. It is definitely worth a try.

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24

FERTILISER

July 2011

THE WAY WE SEE IT Bert Quin, Fertiliser NZ

Protecting our lakes and waterways — there is a way • We have pretty much done the easy bits — fencing streams etc to prevent direct access by stock and preventing runoff of effluent into streams being the two big ones — but nutrients continue to enter waterways from our agricultural land, simply because of the type of fertilisers we use. Why? The traditional fertilisers used in NZ have been single superphosphate (‘super’) which supplies phosphorus (P) and sulphur (S), and urea for nitrogen (N).

• Both have played a very important part in developing NZ’s pastoral agriculture. But are there better options going forward, and why?

• Their biggest problems are that they are ‘leaky’ fertilisers. Super is prone to run-off of applied P into waterways in the weeks after application, leaching into shallow sub-surface drains and waterbodies on dairy farms, and being leached right through soils with low P retention such as those in Northland and the West Coast. Urea is prone to volatilization losses as ammonia gas to the atmosphere, nitrate leaching and nitrous oxide GHG emission.

• By far the most cost-effective option for P is reactive phosphate rock or ‘RPR’. This is a natural mineral, formed on the sea floor originally, which is a very effective source of sustained-release P, ideal for maintaining high-producing pasture and extremely resistant to leaching. In the first year or two after the switch from super is made, a small proportion (25%) of soluble P such as DAP can be blended with it to maintain full production through the ‘lag phase’ as the RPR supply builds up.

• Simply switching from super to RPR and RPR/DAP blends would reduce average run-off losses of P into waterways by 80–90%, in my estimation. This would take P losses below the trigger levels necessary to keep our lakes in a eutrophied state. In 5–10 years, water quality in the Rotorua lakes would be massively improved.

• Sulphur requirements are easily met by adding in elemental S. Like RPR, this is a sustained release fertiliser. The water-soluble sulphate form of S in super is very easily leached from many soils.

As this happens, it takes valuable cations such as calcium and magnesium with it.

• The management of the existing ‘super’ manufacturing industry — i.e. the two giant co-operatives Ballance and Ravensdown — have an understandable but very misguided focus on maximising sales of superphosphate, and have used their enormous infrastructures to limit the entry of RPR-based competition. This includes importing RPR themselves, but ‘damning it with faint praise’, rather than promoting its real benefits.

• Likewise urea can be made 30–40% more efficient by treating it with urease inhibitor. The cost of doing this is very low, and extremely cost-effective for the farmer. But the industry doesn’t want to promote this option, because 30–40% less urea will be used! (Note that a further 100%-plus improvement can be made by applying the inhibitor-treated urea in fluidised/suspension form, but this requires changes to spreading equipment).

• The time is right for people with the political will and determination to save New Zealand’s environment to stand up and be counted, and force change. If we do not, we will come to be viewed as the ‘gutless generation’ by our children and grandchildren.

Dr Bert Quin knows what he is talking about. He spent 14 years (1974–87) as a fertiliser and environment research scientist with the MAF, including the last three as Chief Scientist for Soil Fertility at Ruakura Research Centre in Hamilton. He set up Quinphos Fertilisers (later Summit-Quinphos) in 1989 to promote RPR. It became NZ’s third largest fertiliser company before being absorbed into Ballance in 2006. Bert now develops new products and consults to start-up companies.

Cost effective natural fertiliser Poulfert (chicken litter) has long been recognised as a cost effective natural fertiliser, sought after not only for its nutrient value (NPK) but also the benefits of organic matter.

The family owned company has operated from its Templeton base since 2004, specialising in the bulk supply and spreading of Poulfert (chicken litter) throughout the greater Canterbury area. The product is sourced from chicken raising farms strategically placed around Canterbury.

Company manager Marty Poulfert — throughout greater Canterbury area Peoples says: “Poulfert has really gained favour as a natural fertiliser — customers in dairying horticulture is the additional growth experience due the slow and cropping are all seeing the benefits of using release characteristics of the product more in the product. In addition to the NPK nutrient value keeping with the plants’ ability to use. Many the organic matter of the product is especially clients comment about the additional ‘hit’ they beneficial in its soil conditioning capacity, get regarding the longevity of the product, not particularly in Canterbury where organic matter seen in solid fertiliser. The benefits of the nutrient value can be realised up to six to eight weeks is often light.”

Much of the Canterbury farmland has suffered after application. from years of cultivation which has allowed organic matter to be eroded through prevailing winds. Conventional fertiliser by its chemistry base is not able to replace this vital ingredient.

Poulfert is based on a dry wood shavings base and has a dry sawdust/sand texture. Upon application the product adds to the soil structure breaking down slowly, providing nutrients to plants in keeping with their ability to absorb.

Organic matter is added to the soil by the product’s structure helping the micro organisms within the soil to develop and grow, vastly improving soil structure. While there are other products available, they are a compost with a small nutrient element. Poulfert is a fertiliser high in nutrients with a large organic element.

Marty says: “The use of the product can be seen in the growth experienced and the colour of the plant.” A further benefit of using the product

Application rates depend on ground type, fertiliser history, and crop type. A typical application as a maintenance fertiliser is 2.5 tonne to the hectare, increasing as the need for the nutrient value dictates. The product is very successful on all pastures either established or prior to drilling. And prior to drilling for cereal and fodder crops including maize and kale.

The product is available all year around with the company operating specialised bulk cartage and spreading equipment. Their experienced staff with their dedication to service makes the process of choosing Poulfert as a cost effective natural alternative very real.

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WOOL

July 2011

25

Wool demand remains The new wool selling season will no doubt be another interesting one, and every wool grower will probably be wondering if the record breaking prices attained during the prior season can be maintained or surpassed?

The major influencers of pricing during the past season, were improved demand from China, improved economic activity in European markets, plus a swiftly diminishing supply of, in particular, good quality crossbred carpet wool types.

As carpet manufacturing continues to grow in China, that country is expected to remain one of the more dominant market leaders in regard to New Zealand strong wool in the future, whilst traditional UK and European manufacturers are also expected to maintain their requirement for good quality types, particularly those of very good washing colour and low vegetable matter content.

Whether prices for New Zealand wool are sustainable or not, will be dependant upon consumer demand growth, much of which relates directly to promotional activity expounding the benefits of woollen floor coverings. In the past two or three years promotion and marketing information at point of purchase with UK and European retailers has been received very positively, and has at the very least created better recognition of the benefits of New Zealand wool through up-market interactive touch screen technology.

As earlier mentioned, wool production has continued to fall due to the long period of low wool prices experienced but also of course due to the expansion of alternative farming systems to those of traditional sheep and beef, none the least of which is dairy production. Wool production has, in recent years, been regarded as a by-product of meat production and although that description of wool is most likely still the case because of the sudden and most welcomed improvement in lamb and mutton prices, at long last there is a brighter prospect for dual purpose animals producing both lamb and wool.

Compared to a year ago, wool prices have pretty much doubled for most categories with the latest sales for full

length pre-lamb shorn fleece reaching up to approximately 730 cents per clean kilogram.

That equates to around $5.80 per greasy kilogram using a yield of 80%. At an average production of approximately five kilograms greasy giving a gross return around $29, the improvement per ewe for wool alone is more than 90%.

Given that the Kiwi dollar has remained strong against the US dollar, the wool price improvement is even more spectacular but does in my view prove that supply and demand are the two main criteria for price movement despite what competitors may suggest.

With improved demand for environmentally friendly products globally, New Zealand crossbred wool growers are perfectly poised to take advantage of that demand, by ensuring their wool is prepared for sale in the best possible way.

There has never been a more important time for growers to make sure that their wool handling in the shed is carried out to a high standard and that there are no short-cuts taken. Confidence in the ability to process New Zealand wool with minimal wastage has always been of a high degree, but as prices remain high,

WOOL BUYERS Providing direct wool links from farm to

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buyers and processors will become more critical of wool preparation standards and discounts for poor presentation will no doubt become evident.

PGG Wrightson Wool remains committed to wool growers through the range of sale options available to suppliers. For any wool queries, contact the local PGG Wrightson (formerly Wool Partners) Wool Rep. Have a good wool season.

That’s my view.

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26

July 2011

Hoof Print

Rob Cope-Williams gets ...

With Fred Hoekstra

Hang in there

Keeping the girls warm It feels like winter has arrived. It doesn’t happen very often at all that we get rained out of a trimming job, but yesterday was a stay at home day. I was thinking about the cows and how they can’t go and shelter from the rough weather and this made me think again about the stress we put on our animals. I know that the cows can handle it but they do suffer. You can see this very clearly when we have a longer period of cold weather. The cows start looking rough and it is difficult to keep them in good condition. This comes back to earlier articles I have written about how much we ask from our cows and the challenges farmers face with the public opposition to housing cows indoors. They have a strong opinion and we need to listen to them because they pay our wages. So when the cows are outside in the rough weather we need to minimise the stress they are under. For that we need to understand what the problems are. I think there are a number of factors we need to keep in mind but the main ones I see are: 1.

Cows need about 12 hours/day for resting

2.

Cows need more energy to keep themselves warm

For a cow to have a good rest they need to be comfortable. That means that they need good shelter — dry and warm. This is particularly difficult to do when cows are fed winter crops. There is no dry place for resting, only mud. Wouldn’t it be better if cows had easy excess to a paddock of grass to do their resting? If it is better for the cow it is better for you. Another issue with winter crops is that cows are eating more soil. They can handle about 1kg/day, but often in paddocks with turnips they eat more.

Keeping themselves warm takes more energy. This is particularly important for the cows that are being milked through the winter. Straw is a good product for keeping cows warm. Obviously they can lay in it but I am thinking more about putting straw into their diet. Straw takes hours to digest and therefore generating more warmth.

These things are important for the wellbeing of the cows, and it also has a big effect on lameness.

When cows are not being fed well and are under more stress either through bad stockmanship or weather, the risk of lameness will increase. I guess it has a lot to do with cows feeling good and functioning well, their immune system working better and the body staying on top of things. When they get run down and start losing condition then the cow suffers and that shows up in their health just the same as it does with people. Not many people realise it but this is another cause of laminitis in New Zealand.

I confess to the fact that I am totally excited about the fact that wool and meat prices are up where they belong and sheep and beef farmers are blessed with a turn at getting decent returns.

After what seems like a couple of decades of reporting low wool prices, and doing news stories about meat processing plant closures, aborted amalgamations and take overs, at last the meat and wool industries have something to be happy about.

Forget the media harping on about the cost of living being high because the farmers are reaping huge returns. Where were they when your returns were returning you less than you’d receive on the dole?

If challenged by any person who doesn’t vote the same way as you do, or indeed is self centred enough to think that you have had it all your own way for years, hit them with your hourly rate.

Actually that is a damn good thought. When did you last work out an hourly rate for yourself?

And when you have, don’t forget to factor in other members of the family who job-share with you.

Especially if they are working for no wages.

Be honest when you do the sums and include the time you spend on the phone at night talking with advisers and agents, plus the computer work, and researching such as reading this fine magazine.

Once you have all the hours worked out, divide them by your disposable income. The money you spend on you.

Obviously anything like work clothes would be supplied by the business. You wouldn’t expect those fixing the roads to supply their own boots and day-glow stuff.

Most executive roles include phone and entertainment allowances, so take those expenses off, and then take off the fuel bill and vehicle running costs. We aren’t talking tax deductions here, it’s what you as an employee get as part of your package.

Obviously you need to tally up the hours you spend in a week and then a month and a year. Give yourself 4 weeks paid holiday and take out the public holidays. You will need to work out what you should have earned at double time and factor in a day off to compensate. If you are still with me, divide your income into the hours worked and there you are.

Now to really make your day, remind yourself that the minimum hourly wage is $13 so you are probably working for much less than is legal minimum. That probably means, in a strange way, that you are breaking employment laws and are firmly on the poverty line!

But hang in there, it is still a way of life and the prices are rising.

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July 2011

27

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FARM, LIFESTYLE & VITICULTURE EQUIPMENT SPECIALISTS SALES + SPARES + SERVICE + HIRE + FINANCE NEW MACHINERY IN STOCK HUSTLER chainless bale feeders We bought in bulk to save you money AITCHISON 8122 direct drill c/w disc openers Special SPRAYERS; C-Dax, Silvan - full range for farm, ATV & Horticulture KRONE mowers and balers, top German quality at excellent prices Indent deals now AITCHISON direct drill, new, 16 run ‘T’ boot Special $10,995 KINGHITTER & HYDRORAMMER hydraulic post drivers from $5,300 HOOPER & LYNDON chain and leaf harrows for farmers and lifestylers from $465 FERTILISER SPREADERS; C-Dax, Vogal, Aitchison, full range from $1,575 RATA silage grabs, bale forks, bale handlers, trailing grain feeders from $1,270 RZ 11 tine chisel plough c/w spring releases & depth wheels $19,500 DUNCAN Mk 4 renovators and Duncan eco drills IN STOCK NOW BERENDS 12’ chisel plough - simple and robust $6,000 SHIBAURA & EUROLEOPARD tractors, 25-60hp from $20,000 EXTRA SPECIAL PRICES ON GENERATORS - Phone now for a price RZ multidisc 3m, c/w packer, excellent stubble machine DEMO NOW $17,500 USED MACHINERY IN STOCK REID & GRAY 10’ wheel controlled discs, near new blades $5,950 DUNCAN 10’ roller drill c/w wheels as new arriving DUNCAN Renovator Mk III single box c/w discs & rear drawbar, ex cond arriving HOOPER 30’ bush & bog discs, very good condition $6,500 SHIBAURA SX 24 Sub-compact tractor $15,500 SIMBA 3B 30’ offset discs, new blades $28,750 SIMBA 2B 10’ offset discs $22,500 HOOPER 30’ 7 aside B&B discs, ex cond BERTI TSB 250 mulcher mower, top order $9,250 GILTRAP 16 cum side feed wagon $29,500 RATA 18’ 203 centre fold, as new $11,750 TAEGE 2 bale trailing feeder, very good order $8,250 Prices Exclude GST

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28

July 2011

Ironman 4x4 — suspension specialists With over 50 years’ experience in building suspension components for the Australian market, Ironman 4x4 have earned the title of suspension specialists and are well qualified to explain just how shocks and springs are made.

After deciding to bring out a replacement kit for a vehicle the standard suspension is assessed, and then decisions made as to the lift height and shock absorber rates. Whether a coil spring is made progressive or linear depends on what the manufacturer has originally specified for the vehicle.

Ironman typically brings out a range of spring rates from A to E, with A being the softest and E for the heaviest loads. Most 4WDers will go for the B and C springs which are designed for a slight lift and a heavier load than standard. The lift can come from a taller spring, but also from a stiffer one. In fact, some lifted coils are the same height or even slightly shorter than stock because a thicker diameter bar is used, anything from 1 to 5mm thicker depending on the application. The other factor is the number of turns in the coil; the more turns, the softer the coil for a given height.

It’s important that a coil spring has a consistent diameter, as otherwise the coil will bend around the thinnest parts, which are then likely to break, and that also means the coil won’t compress and rebound as designed. If the bar diameter is 18mm or less the coil is cold-wound — bent by a special machine into shape.

At this stage the coil is not a spring — if it was compressed it would stay compressed. To convert it to a spring it is heat-treated by heating it to about 500°C, and quenching it in oil. This gives the coil a memory, and it’s now a spring.

When a coil is compressed the surface of the coil is placed under tension. This stresses the metal, and that can lead to fatigue.

To relieve the tension the coil is shot-peened, which is a process of firing thousands of tiny little balls at the coil. The balls are less than 1mm in diameter and the indentations they make expand the surface of the coil, relieving the tension.

The coil is now ready for scragging, which removes ‘set’, which is the length change caused by a compression beyond the elastic limit of the material. Scragging is done three times to remove all the set.

Much the same process is followed with the build of a leaf spring. The material is cut to strips of the correct length, the strips are then heat-bent, heat-treated to make it a spring and shot-peened on the inside of the curve. The replacement leaves are typically thinner, but there are more of them, for example the original set may have three leaves of 10mm thickness and the aftermarket five at 6mm. This means the spring is more progressive and less harsh.

Another leaf-spring improvement is the shackles, OEM shackles typically use rubber bushes, but there’s a lot of friction

between the rubber and the metal. Ironman uses polyurethane bushes, which rotate smoothly and permit the shackle to move far more freely, which in turn allows the spring to work more effectively. However, poly bushes require greasing and to that effect the Ironman shackles have greaseable nipples that are protected against damage by long nuts.

It’s the little details like these that are the mark of the quality aftermarket supplier, and it’s those same details that are worth paying for when you’re out in the bush, where quality matters. www.ironman4x4.co.nz

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www.ironman4x4.co.nz