GROWING NZ FARMING
FEEDLOT
NO PIPE DREAM
Southland farmer Mike Thompson has winterfinished R2 cattle for the past five years. p28
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EDITOR’S NOTE
Hard work
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s the country’s election draws closer left-wing politicians are clamouring for headlines and farmers are a soft target with a gullible urban media lapping it all up. Urbanites ignore the fact that farmers are doing more than their fair share to clean up and protect the environment; that irrigation is good for the environment and farmers are constantly finding ways to enhance it (p26). King Country farmer Dwayne Cowin’s Kellogg report shows farming can be green and profitable by reviewing a farm’s systems (p58). Farmers also work hard and make sacrifices to get ahead rather than seeking the instant gratification urbanites chase. I try to avoid funerals, but there were two recently I couldn’t miss. The first was my uncle Pat Scott who died aged 93, a retired South Canterbury farmer, family man and community leader who carried immense mana. When Pat spoke it was worth listening to. He started farming with virtually nothing. He used to talk about how he turned up to the farm he had bought with a 100% mortgage with only a bike and a dog. The bike got a puncture and the dog ran off. The second was for Ross Brown, a Dunedin businessman who Country-Wide
subleased an office off. I saw Ross every day for about 10 years. He was a humble man, full of integrity who worked hard, making money without screwing people to do it. I didn’t know until the funeral he was also a mate of John (DJ) Graham, the All Black, who died the same day. Ross was raised on a farm but didn’t want to be a farmer. As a member of the Dunedin Rotary Club’s town and country committee he championed scholarships for students to attend the Telford ag training centre. Over the years Ross and the committee raised more than $200,000 for the scholarships. Thank you everyone for the great support while I was recovering from the kidney operation which was successful. Now it’s a case of monitoring and hopefully zapping any new tumours which pop up. Cheyenne did a great job standing in as editor while still managing to get married. So who are you going to vote for in the election. When considering your choice remember this: it is easier to tell a simple lie than tell a complicated truth.
Terry Brosnahan
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• Pic: big_woolly.jpg
Got any feedback? Contact the editor direct: terry.brosnahan@nzfarmlife.co.nz or call 03 471 5272.
NEXT ISSUE Country-Wide Sheep: • THE MARKETS: What’s happening around the saleyards and overseas?
• WHAT DOES IT COST TO PRODUCE A LAMB? A farm consultant updates the numbers. • BREEDING TOUGH SHEEP which last longer and cost less to run. • ANIMAL HEALTH ADVICE from top vets around the country. • FARM CASE STUDIES, lucrative, niche wool businesses and catching up with the latest sheep research. • PRIME CUTS: How Georgia Moleta started her own home-kill business at the age of 21.
They look after you
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Robin and Karl Farrell farm a 336ha breeding block at Tiriraukawa near Taihape, plus a terminal flock on a second property of 340ha. The 1600 ewes on the breeding block were lambing at 115% nine years ago, but the change to Wairere Romney has seen recent years at 155% average. The weaning weight has also improved from 28kg to 32kg. “The key is the great survival in both ewes and lambs; we lost only 11 ewes last year, and our scanning to docking wastage was just 16%. The heavy weaning weight allows us to sell more lambs at weaning and look after the ewes and replacements. Look after the ewes and they look after you.”
Making your sheepfarming easier and more profitable
www.wairererams.co.nz | 0800 924 7373 Country-Wide September 2017
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More: p36
BOUNDARIES A digital presence.
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Co-op pioneer honoured.
7
HOME BLOCK Four funerals and farming for Chris Biddles.
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Lining up with Jane Smith to reshape the nation.
Time’s up for Robert Carter’s pesky hybrid poplars.
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The good times roll for Micha Johansen.
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Stock water no rocket science for Paul Burt.
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An unplanned home birth for Charlotte Reitveld.
NOTEBOOK
What’s on when and who’s doing what.
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16
FACTS
Pay attention to beef markets, Reece Brick writes. 17
BUSINESS Land purchase: Don’t rush the buying.
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Leasing a good stepping stone. The view from the bank.
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Where does the business sit?
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Insurance: Protecting the bottom line.
Contents
26
Professional inspiration.
LIVESTOCK Feedlot gives security and options.
28
Logger goes out on a limb to farm.
36
Dairy-beef calves add value.
Sub Editor: Andy Maciver, ph 06 280 3166, andy.maciver@nzfarmlife.co.nz
Editor: Terry Brosnahan, ph 03 471 5272; mob 027 249 0200; terry.brosnahan@nzfarmlife.co.nz Managing Editor: Tony Leggett, ph 06 280 3162 mob 0274 746 093, tony.leggett@nzfarmlife.co.nz Deer Farmer Editor: Lynda Gray, ph 03 448 6222, lyndagray@xtra.co.nz
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Gene talk: Connectedness rules tighten. Trevor Cook: Keep it simple and efficient.
Country-Wide is published by NZ Farm Life Media PO Box 218, Feilding 4740 General enquiries: Toll free 0800 2AG SUB (0800 224 782) www.nzfarmlife.co.nz
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Reporters Andrew Swallow ph 021 745 183 Anne Calcinai ph 07 894 5069; Lynda Gray ph 03 448 6222; Gerard Hall ph 03 409 8386; Jackie Harrigan ph 06 280 3165; Robert Pattison ph +64 27 889 8444; Marie Taylor ph 06 836 7018; Sandra Taylor, ph 021 1518685; Tim McVeagh 06 3294797; James Hoban 027 2511986; Russell Priest 06 328 9852; Jo Cuttance 03 976 5599; Amanda Bowes 0274 998 421; Cheyenne Stein, 06 280 3168. Account Managers: Warren McDonald, National Sales Manager, ph 06 323 0143 John McMaster, Auckland/Northland, ph 0274 443 143 Janine Gray, Waikato and Bay of Plenty, ph 0274 746 094 Donna Hirst, Lower North Island & international, ph 06 323 0739
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Shirley Howard, real estate, ph 06 323 0760 Debbie Brown, classifieds & employment, ph 06 323 0765 Nigel Ramsden, Livestock, ph 06 323 0761 David Paterson, South Island, ph 03 382 6143 Designer: Joanne Hannam Production Planning: ph 06 280 3167 Subscriptions: nzfarmlife.co.nz/shop ph 0800 224 782 or subs@nzfarmlife.co.nz Printed by PMP Print, Riccarton, Christchurch ISSN 1179-9854 (Print)
ISSN 2253-2307 (Online)
nzfarmlife.co.nz
Country-Wide September 2017
More: p73 More: p74
FORAGE Pugging challenge for Northland croppers. Filling the feed deficit.
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Stingy fertiliser inputs prove costly.
Renewal on the plains.
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ARABLE Barley disease relentless.
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PLANT AND MACHINERY
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ENVIRONMENT
58 60
When what appears as science is opinion. Parking the plough.
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Ecan’s farm portal flawed.
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Forestry: Ugly side of big and beautiful.
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Bark Off: What’s in a bark.
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COMMUNITY
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SOLUTIONS Crop protection through the ages.
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Getting help as partners on the farm.
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ESTATE Genuine Tararua hill country.
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Coastal views with Kekerengu’s Valhalla.
TECHNOLOGY
Snapshot: High country for high-end wool.
Time for a clean-up for Alan Royal.
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Kirstin Mills and the power of video. An app’titude for tech on the farm.
Insurance: Taking cover.
Remote helicopter has the answers.
Profits still there if going green.
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South Africa: Growing black farmers.
Check before you kick it in the guts.
YOUNG COUNTRY
Crossing the ditch for work.
65 66
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FARMING IN FOCUS More photos from this month’s Country-Wide.
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OUR COVER Southland farmer Mike Thompson’s beef feedlot has proved a winner for winter finishing. Photo: John Cosgrove
More: p19
Country-Wide September 2017
More: p28
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BOUNDARIES | SOCIAL MEDIA
A digital presence
T
he Paterson family, Southland cattle and sheep stud breeders of Waikaka Genetics, are social media savvy. But Ross Paterson says he and wife Steph, along with his parents Laurie and Sharon are not overly organised or structured on how they go about management of their Facebook (Waikaka Genetics), website (waikakagenetics.com) and Twitter (the patersons@waikakagenetics) accounts. “We’re a bit hit and miss and don’t put a great deal of effort into it.” But social media has started conversations they otherwise wouldn’t have had and in the case of Facebook led to the sale of one bull following the Patersons’ annual onfarm Hereford sale. They advertised bulls on Facebook before the sale and two that didn’t sell were advertised on StockX. A farmer from Thames bought one on the strength of the Facebook posting and information he’d seen before the sale.
The Patersons have developed their social media presence since 2012 starting with the website which Steph set up from a template and now mostly manages. The website is still important but not generally the first online port of call, which is generally Facebook. “A couple of years ago we didn’t really know if Facebook was worth it but it definitely is now.” Tweets ranging from onfarm pics, videos and family happenings plus re-
tweeting of farming related topics has been a good way of talking and engaging with farmers all around the world. Ross says they’ll continue along the same social media path but are open to taking on board new platforms. Snapchat is gaining in popularity although Ross is struggling to see how it might benefit Waikaka – but hang on isn’t that what he said about Facebook two years ago?
lyndagray@xtra.co.nz
Will wood firm work for wool? Carrfields Primary Wool’s relaunch of its United States business and the Just Shorn brand appears to be good news for the beleaguered sector. Apparently 50% of the retail margin in “high-end North American” markets will be captured by CP Wool through a partnership with Carlisle Plank Flooring. Judging by Carlisle’s website, which is all about wood flooring, wool furnishings will be a new venture for the New Englandbased business. Here’s hoping Carlisle and CP Wool can make it work and where they lead, others will follow.
Fertiliser guide The Fertiliser Association has published a booklet, ‘Fertiliser Use on New Zealand Forage Crops’. The booklet provides information on soils, fertility status, principles of crop nutrition, advice on seedling establishment and choice of fertiliser product type and rates. It also recognises the need to consider environmental impacts when growing forge crops. The booklet can be found at www.fertiliser.org.nz or contact the association for a printed version.
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Feds’ Young Farmers offer welcome Federated Farmers’ Fieldays announcement that Young Farmers members can join Feds for $150/year, instead of the $460 membership fee for farm workers, managers, and rural professionals, is welcome. Historically, links between the two organisations were strong but Young Farmers’ decline to little more than a vehicle for its national contest in the early 2000s saw those links lost.
Young Farmers has bounced back from that brink with new clubs and more activities revitalising membership. Hopefully this deal will see more of that vibrance flow through to Feds, not just with young leaders who would probably have found their way into Feds’ representative roles regardless, but with grassroots members who don’t aspire to being industry leaders – just regular farmers doing a good job and enjoying it.
Country-Wide September 2017
BOUNDARIES | AWARD
Co-operative pioneer honoured Ashburton’s Brian Cameron has been awarded Co-operative Business New Zealand’s top Outstanding Cooperative Contribution award. Farmer and irrigation pioneer, Cameron was the visionary behind formation of the NZ Agricultural Cooperatives Association, now known as Co-operative Business NZ, back in 1982. Co-operative Business NZ chief executive Craig Presland described Cameron as a true legend within NZ’s co-operative economy in the modern era. “While chairing our fledgling membership organisation for almost two decades, Brian insisted that Kiwi co-operatives and mutuals be represented, protected and supported by separate legislation. “Due in large part to Brian’s leadership and perseverance, extensive legal work was done during the 1990s, culminating in the Co-operative Companies Act 1996. It was an innovative piece of legislation which has generated considerable overseas interest.
Country-Wide September 2017
“It has been highly successful with its low compliance costs and commercial focus enabling cooperatives to grow and take a significant and influential place in the economy and wider society.” Cameron was the key founder of Irrigation NZ in 1978. It supports more than 50 separate irrigation schemes and played a pivotal role in the establishment of two large schemes in Mid Canterbury. He also served on the board of PPCS (now Silver Fern Farms) from 1981-2001, while he was fully involved in the formation of Ravensdown Fertiliser Co-op and Electricity Ashburton Co-op, Presland says. It is the second year in a row the award has gone to an Ashburton farmer with Phil McKendry winning last year. Today, Co-operative Business New Zealand’s membership exceeds 100, a business sector that employs about 50,000 and generates more than $43 billion in revenues (about 20% of the country’s GDP and one-third of all exports).
Out-takes Bugger the polls
As more Kiwis opt for cellphones are the polls conducted over landlines accurate? Colmar Brunton uses nationwide random digit dialling of landline telephones. Several phone companies’ surveys at the start of this year found only 80% of households surveyed had a landline. However, the number without a landline may be far higher as fibreoptic cable replaces the copper line. People signing up to fibre can do without a landline and save money. So if less than 75% of the population is being polled who is going to win this election?
Party time
As the election draws closer the bribes get bigger. The Taxpayers Union’s economists have work out the cost to taxpayers of each parties’ policies and displayed them on its Bribe-O-Meter. NZ First is out in front with a whopping $22.5 billion in new spending over three years. This is equivalent to $13,024 per household. The pressure group says this is a conservative estimate and likely to understate the true cost of the NZ First manifesto. A significant amount of NZ First policies are yet to be included because they lack sufficient detail. Top expensive NZ First policies include: • A write-down of student debt: $4.6b/year • Buy-back of Meridian, Mighty River Power and Genesis: $4.3b • Northland rail: $850 million • Installing 200km of new median barriers: $443m over three years • Banning 1080 and undergoing pest control solely with traps: $386m over three years • Reintroducing a non-commercial public service television channel: $45m over three years Less than six weeks out from the election the new spending promised by the parties over the next three years is: National: $2.51b which equates to $1453 per household. Labour: $18.8b, $10,952/household. The Green Party: $8.1b, $4692/household. The Maori Party: $1.6b, $899 per household. This was only one policy and the party manifesto had still to be released. United Future: $4.7b, $2737/ household. As we went to print Peter Dunne upped his bribe to $4.76b. The Opportunities Party: $10.62b, $6198/ household. ACT has promised $5.4b in taxpayer savings over the three years, a saving of $3103/household.
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HOME BLOCK | COLUMN
Four funerals and some farming
Chris Biddles Te Kopuru, Northland
F
our funerals, a holiday, commitments off farm and some farming. That sums up what’s happened here since my last article that about sums up what has happened here. I wrote last time about Karren’s Mum and her failing health. Rita succumbed to her old age in March just six months short of her 99th birthday. We managed to keep Rita here with us until the end which was pleasing for us and her. Since January either Karren or I had to be with her all the time because physically she was buggered but thankfully she was good mentally right till the end. Her last day was rough as she was uncomfortable and very needy. We were not sure how long the end would be but considering how tough she was we thought it would go on for a while. Karren and I and our daughter Joanne spent most of the evening with her, we finally got her comfortable at 10.30 pm and they went to bed and I got my laptop so as to sit up with her through the night. At a little after 11 pm I looked up and realised she had slipped away very peacefully sometime in the previous 10 minutes. So that was the first funeral which was attended by a lot of people. Later that week Rita’s sister-in-law passed away, funeral number two. Karren was very much in need of a holiday after this. It was three years since she had a decent bit of time away from the farm so we went to America and had a great time. We were away for 18 days, in Las Vegas, Los Angeles, Maui and Honolulu. It was first time for both of us
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to the States. Our other daughter, Megan is with Flight Centre in Warkworth and did an amazing job of ensuring we saw the right places and booked some great hotels that did not break the bank. While the complete holiday was great, the Grand Canyon was special. We flew in and then had a bus tour to the Canyon. I arrived in shorts and a Tee shirt and discovered that it had snowed the day before and the temperature was about 4 degrees. I could not get warm so the first stop saw me in the shops buying a good GC hoody. I have a dislike for shoes or jandals in the summer, preferring barefeet. People have given me a hard time for walking around in barefeet but I could not believe that I got kicked out of a restaurant in Maui for it. This was Hawaii for goodness sake! That was about the only negative of a wonderful holiday. Two days after returning I went back to Auckland to a school reunion. It was 50 years since our group had started secondary school, there was also a group celebrating their 60 year on reunion. Unfortunately one of their guys had a heart attack during dinner and died. This put a bit of a dampener on proceedings! Following on from the reunion I attended
Tim and Kelly Brittain won the grand Champion at the Steak of Origin.
a two-day Sport NZ conference in Auckland and then Storth Oaks bull sale. During this week I learned an elderly friend had died in hospital. Several years ago I agreed to be the executor of her will and the hospital was aware of this. On my return home I discovered that she had been put in the mortuary for nine days with no-one particularly worried. Anne’s husband had died in 2014 and she had no family.
On my return home I discovered that she had been put in the mortuary for nine days with no-one particularly worried.
By the time I organised a cremation she had been dead for 11 days. I was not impressed. This was in early June and I am still working through my duties including trying to get reimbursed by WINZ for the cremation. That was funeral number three. One of Karren’s sister’s husband was number four. He died in early July after a long battle with cancer. We have not had an easy year. Since July I have been able to pay attention to the farm. We started calving 3 weeks earlier than our July 19 due date. At time of writing (August 6) we are on the home stretch with 70 of our 290 cows left to calve. Hopefully they will continue what has been a pretty good calving, and will be all wrapped up by the time of our bull sale on the September 6. The bulls are looking good with 102 catalogued. The last word for this month is congratulations to Kelly and Tim Brittain for taking out the Grand champion at the Steak of Origin. We also had success getting a Gold medal in the best of brand, Food service, with a Te Atarangi heifer that was entered under the Neatmeat company for Angus Pure.
Country-Wide September 2017
HOME BLOCK | COLUMN
Fish rots from the head
One of the few snowfalls at 600m at Newhaven this year - an unseasonably wet winter devoid of any heavy snow.
Jane Smith
Five Forks, North Otago Outside of Auckland, the rest of us are busy keeping the economy pumping. Despite all the bureaucratic bullshit thrown at farmers, we remain the powerhouse of the economy, and one of the few industries upholding a pragmatic outlook, even leading up to the election - a time when a hotbed of incompetence rises to the surface and a moratorium on rational thinking is declared. The country should be run like a business, not a midday sitcom – it astounds me that we allow our nation to be hijacked by the politics within politics, and by a whisky-swilling career politician that entered Parliament before I was even born. I remain a conscientious objector to MMP, a supposed “democracy” that is now more confusing than reading an ACC invoice. The election will be won by whoever pledges the most funds towards super city roading and plays the strongest emotion card on housing and water quality. I was intrigued to see that the latest water quality reports pumped out by the Ministry for the Environment mirrored the state of their urban water quality – i.e, barely fit for human consumption. “Yes, the water in urban areas is severely polluted to a level worse than in rural areas, but the rural areas are certainly declining,” was one of their pearls of wisdom. So the lesson for our children there is
Country-Wide September 2017
“be really, really bad right from the start and then things can’t get any worse”. In North Otago, with support from our district and regional council, we have reignited the North Otago Sustainable Land Management Group from the 1990s – a group that was before its time and highly relevant today. “Farmers learning from farmers.” When applying for a piece of the $100 million pie that the Ministry for the Environment is marketing as the saviour for fresh water, it became obvious that we are far too small to make headlines for them – as the minimum funding amount is $400,000 and you need to 50/50 co-fund it! So like the little red hen, we will keep plugging on and we will make sure the benefits from our work benefits farmers and our local water and economy, and not the government marketing department. I decided to miss winter’s Red Meat Sector Conference and stay at home and add some real value to the GDP instead of having my snout in the trough to once again relitigate the “opportunities” in our sector and how it is too hard/ too big/ too costly to get the returns we really deserve from our food products. It never ceases to amaze me how many talk fests/workshops/breakout sessions it takes to come up with a different pattern for the emperor’s new clothes. We really need some change agents in the industry and perhaps the advent of synthetic meat might hasten this (just like that horrid “glass wool”, should they even be allowed to use the term meat?). A sense of complacency continues in the industry and indeed some dead wood needs to be weeded out on several levels. “The fish rots from the head” is a Chinese proverb and the title of a book by Bob Garrett that I finished reading recently – outlining that corporate and industry failure stems from poor governance and leadership. So off my high horse and back to paddock level – where things get done for the right reasons and gains are made
through hard work. The interaction we are privileged to have with our Newhaven Perendales and Fossil Creek Angus clientele all around the country is the major perk of running stud operations. There is nothing more satisfying than seeing good genetics being farmed by farmers that are good feeders of their stock, their soil and their pastures. It is heartening to see that these are the same people that run their schools, their industry and their communities with a passion for making a difference for the greater good. Some amazing productivity is pumping out from sheep and beef farming and this is now showing through in profitability, which has always been taboo for our industry to talk about. Let’s be proud to have made the gains from within our own boundaries, with no help from a fancy payout. There is a wealth of great information out there to help us make these gains, and I would love to see farmers demand a hell of a lot more from their advisers, their bank managers, their genetic suppliers and their levy organisations in order to utilise this. We need to be bold about our future direction. As the saying goes “Failure isn’t fatal, but hesitation can be”.
Even the Perendales are passionate about lining up to reshape NZ
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HOME BLOCK | COLUMN A massive limb of a popular Lombardy becomes firewood.
A woodsman’s tale
Robert Carter Kirikau, Taumarunui
Our farm is called “The Poplars” for several reasons. One is that Suzanne’s father, Bert Bunting, and his father and brothers spent a lot of time working on “ The Poplars” station on the Lewis Pass in the early days of last century. They worked for Travis Barrett and were treated as family while they were there. Two generations of Buntings worked there and Uncle Gordon ended his days living in his little house at the engineer’s camp on the eastern side of the pass. (He remained single all his life but visited Christchurch from time to time where “things got complicated” at times. His description, not mine.) When we moved to Kirikau we immediately noted the tall Lombardy poplars here and so the name was coined. The Lombardy poplars are still here and they are quite iconic and relatively well-behaved. I can’t say so much for the hybrid poplars though; another Italian breed, a cross of some sort, they were planted around our sheds and cottage 35 years ago and I should have obeyed my instinct
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and cut them down on day two of our tenure in 1988. These trees grow two feet (600mm) every time one looks away, and they have reached a royal height of 45 metres with a basal diameter of about 1.8 metres. (See the photo of a log being cross cut; that is one of the limbs!) Recently they had become quite a problem because they drop branches without warning and the final straw was the 100-year-old farm store shed receiving a limb that mostly demolished the building in one kung fu motion. Luckily, we had insured the shed for replacement value with FMG and so a process began to demolish the remains of the shed and make way for a new one. The aforementioned hybrid poplars had to go first. Ten days later we have the trees down safely with no incidents or accidents. They all leaned towards other core infrastructure and not one was a straightforward felling job. The last one had a lean towards the covered yards, the power line and the woolshed.
We set up a wire rope well up the tree with a good block point on a big wattle stump. My ex-forester mate Kevin did the honours while I tweaked it over with a good pull from the frame of the digger. It came over in textbook fashion but I must admit it took a bit of time to get the seat cover removed from the place where the Irish sometimes park their bicycles. The area for the shed is now clear. Council has issued the consent, and a new man cave is about to be constructed. I’ve opted for a three-bay American style barn and now that the trees are down, I’m almost a wee bit excited. I had assumed we would be able to mill some of the logs, but out of about 60 tonnes of wood only four logs are millable. The rest either shattered into thousands of pieces or split over the whole length.
It came over in textbook fashion but I must admit it took a bit of time to get the seat cover removed from the place where the Irish sometimes park their bicycles.
There will be a supply of firewood of course, once we have completed the cutting and splitting of the rounds. Our esteemed editor suggested that we write about expanding the business, and I have to say that almost by default we have become wood merchants. I often think about the catchphrase “growing your business”. Almost invariably it means you should hock yourself up with debt to buy the neighbour’s farm, double your work, halve your equity and wonder where all the good times went. Maybe a few loads of wood into the local market could be a good little stress-free earner? Has anyone seen Edna lately?
The 100-year-old farm store shed had to go after a tree limb fell on it which mostly demolished it in one kung fu motion.
Country-Wide September 2017
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BASF577755
HOME BLOCK | COLUMN
Early morning mist in Waipukurau. Blocked culvert after the deluge of rain.
The drys enjoying the sun. Ranfurly Shelia, had a bit of a rough start to life, so buried in straw and some warm colostrum. Fully recovered now.
Thriving, not just surviving Micha Johansen Eketahuna
Our second year on-farm has started 1000 times better than our experience of last year. Calving at the correct time, combined with much more settled weather, means we are able to look ahead with much more positivity. I have also managed to find myself a part-time job, so that will take some pressure off the finances. (And that big gust of wind you may have felt was our bank manager breathing a sigh of relief). Early in July we received 250 plants from Horizons council to plant in a wetland area. Leading up to July 4 we experienced the best weather yet. July 4 arrived, and down came the rain. Mum and Dad had volunteered, or maybe I volunteered them, to come over and help plant, but with the awful weather I phoned them up and told them to stay home. That left TJ(Trent) and I down in a swamp, in the pouring rain, planting all manner of plants into a bog. I’ve had more pleasant days. After an hour, even the dogs gave up and went home.
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Still, we got the plants in and they survived the minor flooding that came shortly after. I was so impressed with how quickly the planting went that I ordered 500 more for next year. Volunteers welcome. We have 13 cows in for milking, so 136 cows left to calve. We are hoping to rear 60-70 calves through to weaning, 30 replacement dairy heifers, 10-20 bulls, and 10-20 Angus crosses at the finish with some Hereford crosses somewhere in the middle. I’m so excited for our first batch of Angus crosses, which will be on the ground in around five weeks, provided our Angus bull got some action and didn’t just stand by while the Jersey did all the work.
In my social media life, Fonterra got brave enough, or desperate enough, to have me as a week’s host for their @ FonterraFarmers twitter account.
If we have no calving issues with the Angus, we will use two Angus bulls for tailing off in the future, partly to reduce bobby calf numbers, partly because Angus X Jersey is the best meat ever. (That’ll stir up some Hereford breeders). We had hoped to have a brand new, north-facing, three-bay calf shed, with
paddock access, up in time for calving. Unfortunately, the builder let us down; now we are hoping it will be up in time for at least the end of calving. Since my new shed is not up, once again TJ has had to clear out the four-bay shed so my calves can go in. I’m so glad he fixed the bog at the front of this shed over winter so I’m not having to slog my way through mud with two 20L milk buckets; not that I’m strong enough to carry them yet, but that will come with time. In my social media life, Fonterra got brave enough, or desperate enough, to have me as a week’s host for their @ FonterraFarmers twitter account. It was hard juggling two accounts because there was a lot of political turmoil and I’m a bit of a politico, or maybe just a bit over opinionated. I think I managed okay, and it was a lot of fun sharing our style of farming with a wide audience. Hopefully it demonstrated how much we love our cows and land. I have probably had my last night off of farm until calving is over. My parents went to Taupo for a night, for my Aunts 80th birthday, and needed me to dog-sit. Diva is an SPCA rescue, and quite a fence climbing escape artist, so is a bit risky in boarding kennels. It was good to re-live my dog walking days along the Tukituki River, although Divia did partake in the eating of some unidentified substance, from which she appears to be none the worse for wear. Thank heavens. So, it’s great to be heading into our second year with a positive mindset, and a feeling of thriving, rather than just surviving.
Country-Wide September 2017
HOME BLOCK | COLUMN
Stock water not rocket science Lucerne can give incredible liveweight gains, but the problems of maintaining and utilising its production in less than ideal conditions make its use debatable on many NZ farms.
Paul Burt
Matata, Bay of Plenty I enjoy the weekly farming papers that arrive on a Monday and providing the tidier member of the household doesn’t use them to light the fire or clean up a mess, I read them all week. They cover the whole gamut of rural life and there are interesting farm case studies as well as lots of technical information. We’ve known for a long time that New Zealand agriculture has suffered from a low R&D spend but lately I’ve been concerned that even some of that meagre spend could have been better directed elsewhere. I’ve read of some recent research topics (one or two-year projects) where past experience and present knowledge should have made the results fairly predictable and I wonder why the time, money and effort was expended. The first was a project examining the economic benefits of reticulated water on hill country. • Observation 1 – Any livestock producer can tell you that animal production suffers unless they have access to unlimited clean water. • Observation 2 – Capital investments on a farm should be spread over the assets’ lifetime eg: water systems and fencing infrastructure, if well-executed, should have 40 year-plus lifespans. Therefore the cost of the improvement a year is relatively low and doesn’t take much of an increase in performance to show a positive economic return. • Observation 3 – Any hill farmer can tell you that strategically placed troughs improve a paddock’s grazing effectiveness by a big margin. • Observation 4 – No one enjoys pulling stuck animals (live or dead) from stinking muddy dams.
Country-Wide September 2017
• Observation 5 – Natural water is least available when most needed. Compromising any of the three basic necessities of successful hill-country farming (fencing, fertility and full-flow troughs) will severely limit production potential and you shouldn’t need letters after your name to arrive at that conclusion. The second area that receives a lot of academic attention is feed alternatives to the pasture that naturally grows in most parts of NZ. During my career farming relatively easy hills in the benign Bay of Plenty, simplicity and scale have been the
During my career farming relatively easy hills in the benign Bay of Plenty, simplicity and scale have been the two greatest allies.
two greatest allies. We have never been able to position ourselves as price setters so we’ve tried to manage our production cycle to match the seasonal price patterns and conversely lower feed demand when market or climate will have an adverse effect on profit. We have learned that if summer feed is necessary to grow the bulk of the lamb crop, there are major deficiencies in ewe flock management over winter and spring. We have also learned that with no competition from finishing lambs over the summer, ewe hoggets can be grown to good mating weights on pasture. Correspondingly ewes are also better fed, thereby preserving next year’s lamb crop.
Farmers often forget that forage crop research outcomes are site specific, with the overall management resource being as important as any physical aspects of a trial. Any influence that affects the “optimum” status of a trial will cut into profit. A good example of this is lucerne, which in a dryland environment can transform pastoral farming and give incredible liveweight gains, but the problems of maintaining and utilising its production in less than ideal conditions make its use debatable on many NZ farms. During the past 30 years I don’t think there has been a new management practice to eclipse the value of rotationally grazing animals of high genetic worth on quality pasture. Fully feeding animals means investment in fencing, fertiliser and water and until your No 1 resource is at peak efficiency, nothing else will give the same return. My final beef (for the present, anyway) is the amount of time and energy spent talking about the risk and productivity losses from facial eczema. The disease has been killing sheep for a long time and 40 years ago some dedicated scientists and breeders worked out the solution. Breeding for tolerance is 40% heritable and within a relatively short time it is possible to breed a resistant flock. Across the breeds there are plenty of tested proven stud rams available with high production indices. Go buy some and give your ewes a treat. Alternatively you could buy capital stock from a flock that is already tolerant, lambing at 150% and finishing a large proportion of lambs on the mother. As a bonus these sheep grow enough wool to make a second shearing regime profitable even at today’s prices - and that is some achievement.
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HOME BLOCK | COLUMN The choice for Charlotte was risk having a baby in a truck, on the side of the road in a snow storm or a home birth.
Home birth unplanned the forecast was predicting winter’s worst snowfall. Over half a metre was due to fall and former Wonder Boy was nowhere to be seen. Victory had been handed to me – the tortoise would win the race after all. Not wasting a moment, I filled my parents’ wondering ears with decisive doom: he’s done a runner, never to return. Once again I had visions of me walking on to the Employee of the Year stage, the crowd rapturously welcoming my return with deafening applause as Rakaia Gorge, Canterbury Middle Rock’s Head and Only Shepherd saved the day. As you have guessed, it was not to It’s been all go at Middle Rock lately. be. That lanky young hare Wonder Boy Winter delivered its usual delights sprinted back into the country in the of frosts, ample rain and several snow nick of time, murmuring feeble excuses storms – as it did for much of the about flight delays and unforeseen stopcountry. overs. The Boss and The Chief Inspector Unlike the past seven years, this winter swallowed this whole, Wonder Boy was saw me in a new role as “her indoors” reinstated as Shepherd of the Century, on my maternity sabbatical awaiting the and yours truly was hastily relegated back arrival of our second child. While I didn’t indoors. leave particularly big boots to fill, my As it turned out, hastily was an replacement – Wonder Boy – continued understatement. Sure enough Wonder to receive glowing reviews from The Boy wasn’t the only young lad arriving Boss and The Chief Inspector. Naturally just in time for a snow storm. In typical I found such superlative statements farming legend, no sooner did the flakes both dubious and distasteful. It seems start falling than labour murmurs began. family loyalty gets hastily thrown out Neither the snow, nor the baby, had any the tractor cab when intention of mucking you’re replaced with around; both were, a fit, lanky lad who well, falling rapidly. seemingly does twice The midwife as much in half the quickly arrived, time. wasting no time So you can imagine in announcing my conniving an ultimatum: we delight when ol’ either risked the high Wonder Boy failed likelihood of “having a to return on time baby in a truck, on the from a prearranged side of the road in the month-long trip middle of a snow storm” overseas. Rubbing or we stayed put. my play-dough Ralph Alexa nder Rietvel d ha Vince and I exchanged caked hands s joined the fa mily. startled looks (though with glee, I was I suspect his were more delighted that concerned with his Wonder Boy had finally slipped up. beloved new Ironman 4X4 truck seat Not only had he failed to return on time,
Charlotte Rietveld
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covers) and quickly settled with the latter. The next step, you guessed it, was “towels and hot water” and before we could even consider holding hands for the chorus of Kum Ba Yah, a baby was born. So it was with great delight that Ralph Alexander Rietveld joined the family. Simultaneously, so it was that Vince and I somewhat reluctantly joined the home birth fraternity. While we haven’t quite lit the incense, donned our sandals and turned vegan, thanks to one of our nation’s extremely dedicated midwives we both admit it was a most heartwarming experience.
‘Neither the snow, nor the baby, had any intention of mucking around; both were, well, falling rapidly.’
Since then, it seems that new life is very much in vogue. Just ask Metiria Turia and Andrew Little. For better and worse, Labour and the Greens have been reborn. The fact that two out of the top three political parties have new leaders within eight weeks of polling date means this election has gone from dead in the water to all on donkey kong. Nothing relieves the strains of a sea of nappies and endless renditions of Hairy Maclary like a good political stoush, and “her indoors” has certainly been granted that. This time round, I can’t help but feel a slight affinity to my fellow sandal-wearers on the left. Add to that my maternity induced dependence on the welfare state and if yours truly is any gauge of the population, who knows what this election might throw up. Perhaps the old dog, the champion of bluff and bluster, will finally have his day – all rise for Wonder Boy Winston?
Country-Wide September 2017
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Country-Wide September 2017
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NOTEBOOK
The Great Circle Legendary Australian rock band and agitators, Midnight Oil, return to New Zealand with their Great Circle 2017 this September, with concerts at Auckland’s Spark Arena on Saturday, September 9 and Christchurch’s Horncastle Arena on Monday, September 11. More information: www.eventfinda.co.nz/tour/2017/ midnight-oil-the-great-circle-2017
Step up, young farmers Entries open on September 1 for the 2018 FMG Young Farmer of the Year competition – the 50th year of contest. Each year kicks off with the district contests and skills days in October and November. For further information about the contest visit www.fmgyoungfarmercontest.co.nz
The big tick
Getting Wormwise
Beef+Lamb NZ holds Wormwise Workshops at Kaitaia, 9am-12.00, Kawakawa, 2.30-5pm, on Wednesday September 6. A workshop will be held in Raetihi on Tuesday, September 19, 10.15am-2.30pm. More details: www.beeflambnz.com/news-events /events-calendar
Cambridge and Lincoln University. The following focus day will be held November 22. For further information about the farm: visit www.owlfarm.nz
Fresh water seminar Lincoln Alumni meetings
Environment planning Beef+Lamb NZ Environment Planning workshops to help you understand your farm’s unique natural resources will be held in Maihiihi, Waikato, on Tuesday, September 12, 9.30am-3.00pm; Te Awamutu, Tuesday, Sepember 19, 5.309.30pm; Piopio, Wednesday, September 27 9.30am-3.30pm; and Ohinewai, Thursday, September 28, 9.30am3.30pm. More details: www.beeflambnz.com/news-events /events-calendar
Selwyn Waihora Fresh Water seminars will be held at Lincoln University on Thursday, September 14, 12.00-12.50pm and 7.30-9pm. More information: www.beeflambnz.com/news-events/ events-calendar/6102
On the escalator Focus on Owl Farm A focus day is being held at Owl Farm in the Waikato on September 13. The demonstration dairy farm is a joint venture between St Peter’s School
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The 2017 New Zealand general election is scheduled to be held on Saturday, September 23, to determine the membership of the 52nd New Zealand Parliament. Advance voting starts on Monday, September 11.
Applications close September 30 for the Agri-Women’s Development Trust Escalator Programme. For further information about the programme and to register your interest, visit: www.awdt.org.nz
Lunch Club at The Speight’s Ale House, 2a Waterman Place, Ferrymead, Christchurch. Tuesday August 29, 12 noon. LincUp Alumni and Friends, Craigs Investment Partners, Level 3, 76 Victoria Street, Christchurch, Thursday, September 21, 6-8pm. DipVFM 1969 Reunion, Chateau Marlborough, corner High and Henry Streets, Blenheim, Friday September 29 and 30, 6pm.
NOTE BOOK
If you have something you think might be suitable for the Notebook page please send it in a word document (.doc) to andy.maciver@ nzfarmlife.co.nz along with any pictures as jpgs.
Country-Wide September 2017
FACTS
Pay attention to beef markets AGRIHQ ANALYST
US imported 95CL bull
Reece Brick
Country-Wide September 2017
NZc/kg
650
550
Oct
Dec 5-yr ave
Feb
Apr 2015-16
Jun
Aug 2016-17
Competition indicator (95CL v s. bull s chedules) 90 % of slaughter price
P
ositive sentiment around beef is slowly falling away as we move deeper into the year. It was only three months ago that it looked as though prime slaughter prices comfortably would hit the $6.00/ kg mark, but is now looking like nothing but a dream. Exporters were hit on three different fronts through July and early August. The brunt of the impact has come from the United States. Importers there have slowly stepped out of the market, and very little activity could be found in recent weeks. US buyers are reluctant to acquire too much product on the current market and are waiting before values ease further before re-entering. This all stems from fresh data from the US which suggests cattle slaughter rates there will exceed earlier expectations. Australia made more of a presence in the US lately too, though there are question marks over how much depth there is to their supplies. The second source of frustration is the exchange rate. Having sat at US$0.685 through May, the New Zealand dollar has gone on to sit above US$0.730 since midJuly. To give some perspective, imported 95CL bull meat had fallen 14% from midMay in NZ dollar terms. Lastly, exporters will be affected by a temporary increase in tariffs on frozen beef into Japan. Heavy importing of US beef into Japan triggered a safeguard measure designed to protect local beef producers. Exports have to pay a 50% tariff from now until April. Australian exporters were immune to this due to their free trade agreement with Japan. Although Japan is only a relatively small market for NZ, it does take many higher-value beef cuts. NZ exporters will still have to find
750
85 80 75 70 65
Oct
Dec 5-yr ave
Feb
alternate markets to divert product into in the meantime. The question now is when, or if, we’ll experience any upside in the coming months. From a farmgate perspective it’s still fairly rosy. Bull and prime schedules have only fallen by 10-15c/kg in the North Island. However processors have been forced to overpay due to low slaughter numbers. If competition was at five-year average levels processors would be paying 60-65c/ kg less on bull, based on returns on 95CL bull meat. This raises some questions around
Apr 2015-16
Jun
Aug 2016-17
where schedules will be once the kill gains some volume in mid-November. The latest AgriHQ Livestock Outlook report forecasts slaughter prices for North Island bull and prime to be $5.15/kg and $5.45/kg respectively in December, assuming an exchange rate of US$0.710.
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made to a sales and purchase agreement. Delving deeper into the legal boundaries through title searches and E-maps has in some cases revealed that a significant area is farmed which is not legally the vendor’s to farm or to sell. This could be due to an unintentional oversight on the vendor’s part and usually a hangover from decades before when the boundary was fenced where it was easiest and most practical to do so rather than to the exact surveyed points.
BUSINESS | EXPANSION
“Sorting out water rights, consents, compliance and infrastructure around irrigation is key on many of the farms we deal with”
When looking at buying land make sure there is the ability to exit from the agreement if due diligence uncovers unexpected shortcomings.
Don’t rush the buying In the first of a series, Country-Wide writers look at farmers expanding their businesses and talk to professionals for expert advice. Lynda Gray
T
he backing of the bank would seem to some to be the ultimate stamp of approval for the planned purchase of land, but in isolation it’s not enough. “Due diligence is about a lot more than getting the okay from the bank,” Gallaway Cook Allan partner and lawyer Nathan Adam says. At a high level, the due diligence process is about digging deeper and doing the necessary legal and financial homework to satisfy the buyer that the land will deliver what’s intended. Adam’s view is backed by Craig Wyatt, director of Harvie Green Wyatt chartered accountants, Dunedin. “A number of the land transactions are at $1000-plus a stock unit so there’s a lot at stake,” Wyatt says. “You need to satisfy yourself that what you think you’re getting is what you’re actually getting.” Vendors typically want the sale completed as quickly as possible but it was important that potential buyers dictated the conditions so there was
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the ability to exit from the agreement if due diligence uncovered unexpected shortcomings. An example might be water related, such as unpaid irrigation fees, or lack of a legal right to convey water over a neighbour’s land. “Sorting out water rights, consents, compliance and infrastructure around irrigation is key on many of the farms we deal with,” Adam says. He has a five-page due diligence checklist to discuss with clients, designed to uncover loose ends that need addressing before a final commitment is
The financial side of due diligence is about having a sound financial plan with “wriggle room”, as well as bank support, Wyatt says. Taking on more land provides the physical platform to generate more income but it is an accountant’s job to make sure the correct underlying financial assumptions and structures are in place. Also, there has to be confidence that the extra debt can be serviced. “The potential cashflow might be strong but if you’re maxed out equity wise you really need to think hard about what you can afford to pay in terms of price and interest. It seems obvious but it’s often overlooked.” The wriggle room factor can be assessed either by an accountant or farm consultant through a sensitivity analysis “stress test” using different income scenarios under different meat and/or milk prices. Both say that being fully informed through a robust due diligence process, backed up by a comprehensive and well-written sales and purchase agreement, are important steps to a better farming future.
Due diligence legal checklist 99titles and the legal boundaries versus the boundary fences 99council compliance records and detail 99on-farm operational aspects such as intended use, fertiliser, crop management In the lead-up to takeover 99how and when destocking will occur 99the existing ownership structure of the stock, plant, trees and land and buildings 99archaeological/historical sites and other designations 99insurance 99the intending buyer’s business and ownership structures.
Country-Wide September 2017
BUSINESS | EXPANSION
Leasing a good stepping stone Lynda Gray The Edgar family have upsized their West Otago farming operation over the past 15 years. John, the fifth generation farmer of the home farm near Tapanui, has with family members grown the business. It has gone from 200 hectares and 3000 stock units to a 1220ha and 14,000 stock-unit business through a combination of buying and leasing. In 2002 John and his wife Margaret took a lease of 90ha and bought a neighbouring 14ha at the same time. When the 90ha lease ended they realised the small block was uneconomic to farm in isolation so sold it and bought an 80ha block three kilometres from the home farm. When James came home to work with John on the then 280ha, 4000su farm it soon became obvious there wasn’t enough scope for both. When the opportunity to buy Wilden View, a 380ha farm at the top of Moa Flat about 30km away, they sold the 80ha to part-fund the purchase. James and partner Emily moved to the farm where another 93ha was bought in 2015.
John and his son James Edgar at Wilden View farm in South West Otago back in 2014.
This year 550ha came up for lease 10km from Wilden View. It was an unexpected opportunity but one the Edgars assessed to be worth taking on the preparation of budgets that were also supported by the bank, lawyer and accountant. One of the main reasons for expanding the business was farm succession. It has
The road to farm expansion is smoother with good budgets and communication.
Country-Wide September 2017
been structured for by forming a new trust, Wilden View Family Trust and a new company Wilden View to run the farms. The company bought all the stock and plant with John and Margaret holding 75% of the shares and James the remaining 25%. “This gives James the opportunity to increase his shareholding and eventually own the company, but the family trust will retain ownership of the land,” John says. The Wilden View company was loaded with as much debt as could realistically be serviced to leave the home farming operation for other family investment opportunities. Budgets and communication are important to keep the bank, lawyer and accountant updated and informed, John says. “Our budgets are mainly based around last year’s Cash Manager cash flow report which are used to forecast our income and expenditure. For us a key to expansion has been to avoid making losses as this slows growth so accurate planning is a must.” Goals for the business are to make the most of the lease and use it as a further stepping stone to James’s goal of farm ownership as well as providing opportunities for the Edgars other children Samantha and Gregory.
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A bank has to be satisfied that the land bought will add value to the existing business.
BUSINESS | EXPANSION
A banker’s perspective Lynda Gray How do banks assess an additional land purchase proposition? It’s a several-stage process, but the bottom line is that a bank has to be confident that any additional money loaned will result in a business capable of sustaining a suitable measure of profit, Westpac area agribusiness manager Steve Cushnie says. “It’s about using wealth to create wealth.” There could be many drivers for adding land to the farm business such as preparing for family succession, or improving the scope or productive base, but whatever the reason a bank has to be satisfied that the land bought will add value to the existing business, and that the farmer in conjunction with an advisory team has a sound and robust business plan. Unlike many other businesses, the levels of farm profit could be quite seasonal and could be affected by a raft of factors both controllable and uncontrollable. “It’s a matter of looking at what could potentially go wrong and how the
business will adapt in these situations, but we also want to know what the farming business will do in a good year,” Cushnie says. “We like to be confident that a good plan is in place to address both scenarios. Understanding the goals of a customer and the quality of the people on the decision-making team is important to that process.” Putting some numbers around key parts of any proposition is important to help the bank understand the complete picture and typically included viability, security and equity. Projected income and expense budgets and KPIs such as interest cover (EBIT/interest expense) are essential in understanding profitability. Although it is important that a business displays a suitable level of equity, with a guideline of around 50% or better being preferable, sometimes less is acceptable and sometimes more is required. Equity in isolation is quite a “passive feature”, Cushnie says. “But it does give us a guide as to how the business will be able to cope in a stressed situation; in general terms the higher the equity the
bigger the available support options. “Strong equity generally provides businesses more freedom to act.” Security available to the bank is also important, with common scaling ratios of 65% on land and 60% on stock being applied. A bank could lend up to 100% of the purchase price but it would generally require other assets to help secure the lending in such circumstances. “The numbers themselves are not the ‘be all and end all’ because there are so many variables. What’s as important is the story behind the land acquisition. Why is extra land being bought, what’s the driver, is it affordable, does it make sense? “We also need to account for Murphy’s Law – what could go wrong and what are the actions able to be taken by the business if it does.”
Taxing question What are the tax implications of increasing stock numbers when extra land is bought? In a nutshell it’s complicated and depends on how stock numbers are increased and the livestock valuation scheme a farmer belongs to, Craig Wyatt, a chartered accountant says. Buying in extra stock had a cash cost and some taxation implications, whereas holding on to more young capital stock to naturally increase stock numbers had no cash cost. However, there would be taxation consequences because of the increase in the number and value of stock on hand. How the stock were valued depended on whether the farmer belonged to the Herd Scheme or the National Standard Cost (NSC) scheme. The Herd Scheme values were based on
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numbers was a three-year rolling average of dependent on market values assessed annually the farmer’s by IRD. It is supposed to reflect individual a market value for livestock and circumstances, allows any movement up or a review of the down in value on base numbers basis of the to be a non-taxable movement. current livestock The NSC scheme was a cost valuations, and of production assessment where the circumstances a standard cost, assessed by the Chartered accountant in which IRD each year, was applied to Craig Wyatt says additional homebred stock and an average buying in extra stock livestock were price applied to all purchased has tax implications. bought or held. stock. These values were then “Every used to calculate the livestock farmer’s situation is different, and this values for each farmer for each year. Any is a complex area,” Wyatt says. “Once movement in value and numbers was again it’s about planning in advance either an increase to taxable income or a and talking with your accountant to reduction based on the calculations. minimise the financial and any taxation The best scheme to belong to for implications.” taxation purposes when increasing stock
Country-Wide September 2017
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BUSINESS | BENCHMARKING
Without good benchmarks farmers will be like most drivers and think they are better than are.
Where does the business sit? James Lockhart If people are asked to rate their driving skills on a scale of 1 to 10 they are most likely to give themselves an aboveaverage score of 7. If there is no standard definition of good driving. People use their own highly individualised definitions and most think themselves better than average. Similarly, in farming 80% of farmers are in the top 20%, and don’t know any different. Benchmarking is a tool to learn exactly where a business sits relative to industry best. However, as was the case with the driving skills discussion above, the process assumes that the correct definition of performance has been established. But what if there is an entirely different, new and superior standard? Or, what if the process of business performance benchmarking is flawed? DairyNZ scatterplot diagrams of their DairyBase subscribers suggests the relationships between antecedent variables and key farm output variables is anything but simple, some are significant while others less so. Stocking rate is still “probably” the most important driver of physical farm performance, and is still “probably” the single most important driver of annual farm financial performance. Except pastoral farms are complex biological and sociological production systems. Kaplan and Norton introduced a Balanced Scorecard approach. Imagine
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this conversation between a passenger and a pilot on a modern aircraft. Q: I’m surprised to see you operating the plane with only a single instrument. What does it measure? A: Airspeed. I’m really working on air speed this flight. Q: That’s good. Air speed certainly seems important. But what about altitude. Wouldn’t an altimeter be helpful? A: I worked on altitude for the last few flights and I’ve got pretty good on it. Now I have to concentrate on proper air speed.
Massey University business school senior lecturer James Lockhart.
Q: But I notice you don’t even have a fuel gauge. Wouldn’t that be useful? So, if stocking rate is “probably” the most important driver of farm physical and financial performance what then is left to measure? And as an aside, we do know that the relationship between stocking rate and physical and financial performance is curvilinear. There is some optimal point. But unfortunately that optimal point is seldom constant. Considerable investment goes into attempting to minimise variability, especially that from animal inputs on pasture-based farm systems (fertiliser, pasture plants, forage crops, irrigation, fencing, water and so forth). If it were that simple though, wouldn’t stocking rates converge to very narrow spreads by animal type by region by land class? Or is something else, even more important at play? Successful business performance comes from the “residual result of relentlessly asking the question”. “How can we improve ourselves to do better tomorrow than what we did today?” In our recent research in Japanese companies we have yet to encounter similar industry-wide business benchmarking.
‘What if the process of business performance benchmarking is flawed?’
We have, however, worked with an embedded and sustainable culture of continuous improvement – the total commitment to excellence, where even the most trivial improvements are both welcomed and pursued. The process used to enhance performance is then both “benchmarked” and shared between companies. Are there alternate, superior assessment standards that should be being used for comparative performance of New Zealand pastoral farms? Or are the swathe of metrics per cow, per stock unit or per hectare adequate for effective farm decision-making and comparative analysis? Notwithstanding the limitations of benchmarking mentioned above it is time the legacy metrics and beliefs were openly challenged. Whatever happened to profit? Or at least various measures of profit? Farm business benchmarking exercises typically set out to establish effective farm surplus
Country-Wide September 2017
per hectare (EFS/ha), removing the costs of ownership so that financial performance is standardised to best extent. Sadly the big – and most critical – items of debt and equity are often ignored. The capital commitment of the business and physical and financial performance relative to that capital commitment are seldom considered. Aren’t we supposedly low-cost producers of soft proteins for global consumption? If that is the case why don’t we simply benchmark production per unit of our most scarce resources (capital, labour and management) against our competitors? These aren’t farmers down the road they are farmers in Ireland, the Netherlands, the United States, Australia and a number of South American nations. Traditional measures of NZ dairy farm performance have been based on milksolids production per cow and per hectare. Milksolids production per ha has previously been associated with profitability. To reflect the increased dependency on imported feeds comparative stocking rate was developed to reflect kilograms of liveweight per tonne of feed supplied, allowing for better comparisons between dairy farms. Both profitability and production have been shown to increase with both stocking rate and comparative stocking rate until an inflection point where profitability decreases even with increased productivity. The same outcome is expected to occur on sheep and beef farms. This decrease at higher stocking rates reflects the increase in farm working expenses with increasing feed and animal costs associated with higher stock numbers on any given area of land. As land price and capital investment have increased, productivity per hectare no longer provides a complete picture as to the profitability of a farm business – if it ever did. Various measures of EFS conveniently neglect the capital
If stocking rate is “probably” the most important driver of farm physical and financial performance what then is left to measure?
costs involved. They also neglect the relationship between changing variable costs and changing fixed costs – which are otherwise assumed to remain constant. So what has been happening to the capital costs required to produce a kilogram of soft proteins in NZ, relative to the rest of the world? A viable number is produced by calculating the kilograms of milksolids produced per $1000 of capital employed. Our early analysis produces a range on NZ dairy farms from a low of 8.4kg/$1000 capital to a high of 44.7kg/$1000 of capital employed. Most of that range is explained by location, and then by stocking rate. The least capital-intensive regions being the West Coast of the South Island, followed by Northland, then Central Hawke’s Bay and the lower North Island.
� � � � �
Next, valuable comparisons can then be made between NZ, Australia, the Netherlands, Ireland and the dairying regions of the Americas. Is the business internationally competitive? Is it resilient to changes in interest rates? Is it resilient to changes in the exchange rate? Is it resilient to changes in product prices? And if not, what needs to be done? At that point the discussion over benchmarking, which tends to be both myopic and hugely dependent on the better-than-average effect adds value – and produces information against which effective business decision can then be made. • Reprinted from the NZ Dairy Exporter’s Budgeting & Benchmarking series, July 2017.
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23
BUSINESS | INSURANCE
Protecting the bottom line Anne Hughes Ensuring your farm has adequate insurance cover means asking some hard questions. Reviewing insurance with a qualified risk adviser should provide you with a range of options provided by various insurance companies. Risk management adviser with Crowe Horwath Tim Ewen says a good adviser will cut through the jargon to help you understand policy features and benefits and how they will help when needed. They should also be able to recommend the best fit for your circumstances and budget. Policy wording is important, as is a clear understanding of ownership. “The stronger the policy wording is, the more likelihood there is of claims acceptance,” he says It is the “owner” of the policy who receives the funds from a policy payout – not the surviving spouse or family member. “This is vitally important to ensure the funds go to the correct person or entity – the correct ownership of the policies will ensure this.” He says the bare minimal insurance cover needed on a farm depends on
debt levels, farm size, profitability and succession planning requirements. “It may be that a smaller farming operation would require a debt reduction, via insurance, to ensure it can fund a manager if the surviving spouse is to stay on farm.” A larger farming operation may be able to sustain the loss of a key person or owner short-term. It may then require a farm consultant to ensure the business is moving forward in a profitable way. Using a consultant could reduce the bottom line, as an unplanned yet necessary expense. Results from using a consultant may take some time to flow through to the bottom line. Ewen says most farmers will have their motorbikes, barns and other infrastructure covered, without considering insurance to protect their ability to generate income. “Motorbikes and barns can be replaced – how do you replace your income if you can no-longer produce one?” Key person cover can protect the farm owner or a key person in the business, so that little or no financial pressure is placed on the business in the event of injury or illness.
Income protection Income protection insurance check list: • When will it pay? • How long will it pay for? • Do you have to pay tax on what you get paid? • Are the premiums tax deductible? • If yes – have they been claimed?
Choosing the best insurance cover depends on how the farm operates and generates income.
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Country-Wide September 2017
Policies Key questions to ask about your insurance policies: • When did I last review my policies? • Are they still appropriate to my current circumstances? • Is there an option to go to betty quality wording policies – better features, benefits etc • Are the ownership structures of my policies correct?
A larger farming operation may be able to sustain the loss of a key person or owner short-term.
“Ideally the payment should be set up to pay in a relatively short time frame and the funds should go to the trading entity the farm operates.” When choosing and reviewing insurance policies, changes in circumstances for individuals and family groups need to be taken into account. “If it lacks flexibility there could be a cost factor involved.” He says one size doesn’t fit all. A bespoke risk plan, to meet the farmer’s human capital risk requirements, can only be implemented following on from a thorough discussion around the needs and outcomes required for all people involved. Sometimes these conversations can be challenging. “We want to ensure that should that moment of truth arrive – therefore a claim – then the outcomes expected and
planned for will eventuate.” Weighing up your risks and identifying insurance needs depends on how the farm operates, who does what on the farm and how income is generated (breeding, finishing, trading, crops, dairy). Then you need to ask the tough questions: • What are your future goals and succession plans? • Where do you want the farm to go in terms of ownership if one of you was to die before the other? (In a typical husband-and-wife farming business) • What if my husband/wife/partner was killed or injured on the farm? • Do I stay here with the children? How old are they? What are the needs of any off-farm siblings or family members? • Do we need to factor in any other
ACC cover ACC should be reviewed alongside your insurances. Risk management adviser Tim Ewen says many farming businesses have the farm and trading entity in a trust. Often they receive a trustee distribution as the preferred option of receiving payment for their work. In this case, they might not be paying any ACC levies personally, which means should they have an accident they won’t receive any weekly compensation from ACC to replace income. “That can put severe financial pressure on the farming business and the family – and they don’t know this is the case until they need it,” Ewen says.
Country-Wide September 2017
siblings who are expecting a share of the farm in the future? • Do I lease the farm, in the interim? If there is a succession plan, when do I transfer ownership to the next generation? • Will it be maintained and operated in the same way it has been? • Do I get a farm manager? • Can the farm sustain a farm manager and pay for the surviving spouses’ living costs? • How will they know the intricate nature of the farm? • What additional costs are there likely to be to get a farm manager on board?
“It may be that a smaller farming operation would require a debt reduction, via insurance, to ensure it can fund a manager if the surviving spouse is to stay on farm.”
• Or do I sell it? • How long would it take? • Who will run the farm day to day if there are young children to look after? • Who will ensure the property is presented in the best possible way to maximise a potential sale price? • How easy is it to get replacement or casual labour? • How long before they are up to speed with the farm? • Could there be a dip in financial performance while the farm gets back on an even keel? The answers to these questions vary from farm to farm, depending on: • Debt levels • Future goals and plans • Age and stage of life of the farm owners • Children’s ages • View of life.
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BUSINESS | OPINION
Inspire the professional Bruce McCorkindale Inspiration is the moment when you experience something that causes you to look at things differently. The outcome of that moment may result in you changing something, it may also reinforce and bring new vigour to something you are already doing, bring new appreciation to what others do, and quite often it may sow a seed of an idea in the back of your mind that one day you hope to nurture. Inspiration seems to come to us in many ways. It comes from observations of the natural world, from reading and hearing about the ideas and actions of other people, but most of all it comes from our interactions with people - interactions with people who look at things differently from ourselves. Why is this important? It’s important because it helps us all to continue to evolve as people, as farmers and as every other kind of professional or business person. For those who really harness the power of inspiration it can really build their businesses. A real-life example comes from what
many would regard as an unlikely source of inspiration – an accountant. I recently had a call from George Collier from ICL in Alexandra to help look at options for a farming business being run by a fabulous young couple. He looked at their books and their key indicators, and he knew there must be opportunities to drive this business. He already had been inspired by other farmers who had made major gains on similar farms. He also knew the key to that progress was creating a team of people who could add to the pool of ideas and experiences – a treasure trove of inspiration. The outcome is a plan that will add more than $150,000 of margin a year to the 600-hectare farm business once the new programme is fully implemented. What was different about the actions of this accountant compared with the thousands of other interactions between farmers and their accountants? First, he looked at the books in a way that was aiming to add value, not just meeting compliance. Secondly, he had the confidence to have proactive
conversations with his clients. Thirdly, he has a habit of getting out around farms and seeing what farmers are doing, both good and bad, and fourthly, he is an active advocate for bringing in others he thinks can add value, whether this is an impromptu meeting of a small group of farmers or another agri-professional. While George has started this cycle of inspiration, he also knows the team will take this to another level and he will get plenty of inspiration in return. He will not be the only accountant in New Zealand who operates like this. So perhaps the next time you go to see your accountant or any professional, think about how to inspire them to become a more inspirational force in your business. They are, after all, a key person who understands the intricacies of your business and those of similar farms. With some prodding and encouragement to involve others, you may kick-start your own cycle of inspiration. • Bruce McCorkindale is a farm consultant with AbacusBio
Irrigation environmentally friendly Irrigation is good for farming and the environment. This is the message Foundation for Arable Research (FAR) chief executive Nick Pyke wants to spread loud and clear. Urban media’s portrayal of irrigation as bad for the environment because it is intensifying agriculture, is usually with little, if any, supporting scientific data, he says. While bad irrigation can result in excess nutrient loss, good irrigation can reduce nitrogen loss to ground water and improve soil quality. “It also has the potential to improve river flows, and reduce the risk of erosion.” Irrigation is an effective tool to lessen nitrogen loss through leaching, he says. It ensures the plant is actively growing and it is relatively easy to work out the nutrient requirement for each stage of its growth.
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The amount of nitrogen available from the soil and the required nutrients, particularly nitrogen, to meet the plant’s demand can be estimated. FAR research shows the amount of nitrogen fertiliser required to optimise yields is 7kg/tonne of wheat produced higher in dryland wheat crops than it is in irrigated crops. The extra nitrogen in
a dryland crop is to ensure it is available when the plant needs it, irrespective of weather conditions. Irrigation also means it is possible to have active plant growth throughout the year, reducing the risk of wind erosion or surface sediment runoff.
- supplied
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‘Who are you looking at?’: Sugar beet was added to the diet one year with the silage, but a few, dominant cattle got all the lollies and left salad for the rest.
LIVESTOCK | FINISHING
Mike says growing their feed keeps the cost down, but the main thing is to ensure good quality tucker. “You need the quality to guarantee good growth rates.” The mix from the silage clamp (pit) has been lucerne, grass and wholecrop (from barley) made on the farm. Mike buys in yearling steers in the spring, 320-330kg liveweight (LW) for the Angus and 350-350kg LW for the Angus crossed mainly with Simmental and Charolais. One pen is all Angus and the other two Angus-cross.
Feedlot gives security and options Terry Brosnahan Photos: John Cosgrove
S
etting up a profitable beef feedlot has been an exercise in perseverance for a Southland farmer but he has finally got the recipe right. Mike Thompson farms 345 hectares at Wendonside, near Waikaia about 30 minutes inland from Gore. He and his farm manager Evan Ferris fatten up to 330 R2 cattle in an 1875 square-metre feedlot.
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The wintering shed built by Calder Stewart five years ago cost $187,500, and the concrete, gates and troughs were another $120,000. So it was a major investment, but fortunately the beef schedule held up. “We are making money now, but it took longer than we first thought.” It took a while to learn from mistakes, get the stocking numbers and feeding regime right. At first they feed chopped baleage before moving to silage. They also learned the feed had to be home grown to make the wintering shed work.
‘In the last couple of years we’ve even gone to Haast though not always successfully.’
Buying in calves would be cheaper but the farm can be summer dry so it suits buying yearlings and finishing R2s. The average buying-in price for this year’s intake was $1280/head. Finding quality yearlings is an issue. All the good calves tend to be sold in the autumn calf sales so the ones which are too small are held back to be sold in the spring. PGGW stock agent Ross Mckee does the buying at sales though they buy 120 from a nearby farm. “In the last couple of years we’ve even gone to Haast though not always successfully,” Mike says Evan says they went over last year all prepared to stay the night and have a jetboat ride the next day, but turned around and came home. The bought-in yearling cattle go out on the farm’s pastures until May then into the feedlot at an average of 500kg
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KEY POINTS
The first pond with the weeping wall to stop solids but allow liquid to flow into the second pond. Mike and Evan believe the shutters were installed upside down.
• Built a feedlot five years ago for cattle finishing • Cost $307,000 to build five years ago • Gives security against frequent dry and wintering options • Buys in 330 yearling steers in the winter • Guarantees fattening, frees up pasture for sheep WAIKAIA • Finishing lambs on pastures adds summer cashflow.
LW. They will finish them to an average of 650kg LW after 100 days, most by September. By then Mike and Evan expect the schedule to be back up to about $6/kg. Farmers with reliable rainfall or irrigation can guarantee pasture growth in the autumn to finish calves before the second winter. Mike could also buy calves at 250260kg LW, winter them in the shed and try to finish before the second winter. The problem is the farm is close to Central Otago and can dry out over the autumn. They might struggle to finish them on grass to decent killable weights by the second autumn. One year they bought 150 good calves but had to winter them twice. Evan says the farm gets a dry patch just about every year. With R2 steers going into the feedlot they can guarantee by the spring most are gone and sold at higher prices. Another advantage of the feedlot is if it does become dry the cattle go in earlier.
Farmers with farms which have good pasture growth, but wet winters have looked at the wintering shed as it is a way to get cattle off the paddocks plus save on feed crops and shifting breaks. Mike says the only drawback to this operation is the initial capital cost. “But it is always there, year after year and allows for many other wintering options including dairy cattle.”
Weight watchers The cattle get two feeds a day of the silage mix, about 30kg/head. Weight gains can get close to Aussie feedlot rates of 2kg/day but it varies which Mike puts down to feed quality and the mix of cattle. “You can tell when they are enjoying their feed, otherwise it is left behind,” Mike says. Last year the cattle averaged 1.3kg LW/ head/day in June, 1.75kg/day in July and 0.9kg/day in August.
It drops off as the feed quality drops. This year, two pens were weighed in early July and the crossbreds were under 1.6/kg LW/head/day but the Angus were 1.8kg/head/day. Evan says they always buy steers because heifers are too difficult to fatten and several had calves. “You are only mucking around at 280kg and can’t get enough weight into them.” Mike says some lines were okay but nothing startling so he wouldn’t buy them next year.
›› Feed quality king p30
The 1875 square-metre wintering shed cost $307,0000, but has given security for finishing cattle and other wintering options.
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Mike Thompson says homegrown feed keeps the cost down, but more importantly it ensures good quality tucker.
Feed quality king Mike and Evan did grow sugar beet one year, lifting it for the feedlot to be fed with the silage. The problem was the Mafia-type cattle got in first so it was easier not to have it in the diet. “They got all the lollies and left salad for the rest.” As an experiment Evan buried the beet deep in the trough under the silage but they dug it up and ate it first. This year the feed was about half lucerne and wholecrop silage which was laboratory tested and deemed of good quality. An animal nutritionist said they would need to give about 30kg/head/day to get 1.5kg/head/day weight gain. Mike says the wholecrop is running out so they may have to buy in some crushed barley or wheat. Off about 14ha of lucerne they get 340 tonnes (wet). They take three cuts then let it flower to improve the root structure before putting lambs on it, but last year
Beef EQ hurdle it took a long time to flower. Mike says the third cut will have to be left longer which may affect the quality. Last year the crude protein in lucerne was only 16% so more silage had to be fed. This year there will also be a first cut off 20ha of red and white clover which will then become lamb finishing feed. To fill an expected lucerne shortfall, they will take a first cut off the red and white clover paddocks on the flat set aside for lamb finishing. About 15ha of wholecrop will be grown this year which won’t be enough and crushed barley or wheat will need to be bought in. Wholecrop has to be fed because it gives starch for energy and balances the protein. It is also a good break crop for renewing pastures. Mike says a downside of finishing R2 cattle is they need more starch whereas calves need more protein.
›› Spring clean not enough p32
A problem with killing out of a wintering shed is the cattle get dirty. Last year they couldn’t send cattle from the feedlot into Silver Fern farms Beef EQ programme (which Mike thinks is great for the industry) because the cattle were too dirty. They had to run them on pasture first to clean them up. That cost money as a substantial amount of weight was lost due to the change of diet affecting the rumen. The cattle yards next to the wintering shed have a Racewell automatic threeway drafter for weighing and a double loading ramp which allows cattle to go straight on to the second deck of a truck with no hassles. Evan says with the old ramp it was a nightmare with cattle turning back and other handling problems which affected the pH. “The transport drivers line up to come here as they know they can put on 40-50 cattle in 20 minutes.”
The original concrete feed troughs were not big enough for the home-grown feed mix so were ripped out and wider ones made of steel and plastic lined.
This year the crossbreds weightgain was under 1.6/ kg LW/head/day but the Angus were 1.8kg. 30
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Spring clean not enough Until now the sheds were not cleaned out until spring, they just keep layering the straw. However, this year it was too much and will go back to a winter cleanout. “They were getting so high I had to put up a hot wire to stop them jumping out,” Evan says. Calder Developments made the stainless steel water troughs which are flipped over and scrubbed every time the outside concrete pad is, which is about every 10 days. Mike says the original water troughs were concrete which the cattle fouled and stood in. “The water looked like soup, but not the kind I would go for.” The original concrete feed troughs built for the feedlot were fine but were not big enough for their home-grown feed mix. So they ripped them out and local engineer Brian Mahon built new ones made wider ones of steel with plastic linings. Annual costs include buying in 180 bales of straw at $40/bale and 400 cubic metres of bark chips at $17.50/cm. Two settling ponds were built for the excrement and run-off. The first pond which holds most of the solids is lined with clay from the farm
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and has a weeping wall at the end closest to the pond. “We are good at growing clay around here,” Mike says. The second for the liquid which flows out is lined with plastic. It cost $13,000 for the plastic. Everything is gravity-fed so no need for electricity for pumping. The pond works well but Mike and Evan are sure the weeping wall shutters for catching the sediment and letting the
A double loading ramp allows cattle to go straight on to the second deck of a truck with no hassles The stainless steel water troughs which are flipped over and scrubbed replaced concrete water troughs because the cattle fouled and stood in them.
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Mike Thompson farms 345ha of flats and gentle hills at Wendonside, 30 minutes in from Gore.
water flow into the next pond are the wrong way up. Mike has personally tested the pond to see if it is safe. One day his dog fell in the pond so he leaned over the edge with a shepherd’s crook and the dog pulled him in. Another time Evan was scraping out the feedlot and pushing waste backwards when the scraper separated from the tractor and fell into the pond. The first pond to collect the solids
The pens are not cleaned out until the cattle are gone, but the layers of straw and muck got too high so next year there will be a winter cleanout.
is about 25m by 15m and 2m deep. The second is round and about 25m in diameter and 3m deep which is more than adequate though the effluent has been up to the pipes in a wet year. After Christmas the ponds are emptied by a contractor with tractor-pulled muck spreader and a slurry tanker comes in for the liquid. It all goes on the mined and reworked clay paddocks.
Mike could buy in calves and it would be cheaper but the farm can be summer dry so it suits buying yearlings and finishing R2s.
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›› Summer wine p34
Sheep give cashflow The farm used to run 3200 breeding ewes and replacements but ewes made way for cattle. Last autumn Mike bought in 750 Romney hoggets and they will lamb them as two-tooths this spring. He also buys in lambs every year. There are also 800 hoggets coming for grazing this year. Sheep clean the paddocks up and lamb sales provide cashflow. They grow 45ha of red, white clover and chicory in a pasture mix which works well for finishing lambs. The farm is part of an old gold mining area and there are paddocks which have been mined and left with the tailings. Hills on the farm run to 284m asl and Mike has spent a lot of money getting the pH and Olsen up. They average 5.8-6 and about 20, respectively. The 140ha of flats are well into the 20s.
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Mike has tested the second pond to see if it is safe. One day his dog fell in and when he leaned over the edge with a shepherd’s crook the dog pulled him in.
The lads consider their next move.
Summer wine Meeting Mike and Evan reminds one of the TV series Last of the Summer Wine. Both are in their mid-60s. Evan started working on and off Mike’s farm in 1998. He started as a lambing shepherd and Mike could only guarantee him three weeks’ work. Mike and Evan share a herd of 28 Limousin cows with the genetics bought from Canterbury and Otago stud breeders. The male progeny go through the wintering shed to be killed in September and October as two-year olds at about 370kg. Evan says the Limousin yield 58-59%, an advantage of the breed over the traditional breeds. The calves and heifers run outside and winter on swedes, killing out at about 330kg.
Evan and Mike both enter the Otago-Southland beef carcase competition each year and Evan has won it three times. This year it was Mike’s turn, with a 20-month-old Limousin steer. In fact he won trophies for on the hook and on the hoof. The carcase’s eye muscle area was measured at an amazing 191 square centimetres and it weighed 360kg CW. Given the record at the meat plant was 156sq cm, Mike thinks it must have been a mistake. Evan, however, is adamant it is correct because it was measured twice. Evan says it could be a New Zealand record. Whether or not it’s a record Mike is not too bothered. The trophies look far better on display in his house than Evan’s.
‘Gold in them thar hills’: The farm is part of an old gold mining area and some paddocks have been mined, leaving the tailings.
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LIVESTOCK | ONFARM
Logger goes out on a limb to farm Martin and Julie Hartley made their home and deer farm from a bare block of land.
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Anne Hughes A forestry worker’s vision for a bare block of land has become reality and is now a deer farm, even if it is a small one. Martin Hartley first set eyes on his farm while working there as part of a logging crew. The price was right and Martin had long been keen to farm some deer of his own. His parents had owned a small deer farm. Martin had enjoyed helping out there and on other local deer farms and completed a deer farming course. He bought the land in 1986 and continued working full-time in a logging crew. “Deer farming might be my second love after trees.” Deer fencing was a gradual process, completed over five years as Martin could afford it. He built a small dwelling and moved on to the farm in 1987. When wife-to-be Julie moved to New Zealand from Canada she embraced Martin’s love for the farm. Julie jokes that it was like living in the little house on the prairie. “My family (back in Canada) thought I lived in a mud-floor hut. It was pretty basic. “I was delighted when I saw this place though – I loved it straight away.” Martin started planting trees to add some diversity to the landscape and shelter for the deer, while Julie planted a
bountiful orchard, despite being told it was too cold for most fruit trees. The house was extended to three bedrooms, making room for the couple to raise their two children – now young adults. Martin was happy to keep working and not being tied to the farm full-time. “We had the opportunity to buy a neighbouring piece of land, but we didn’t want the debt.” These days, Martin is self-employed, mostly doing arborist jobs around Raetihi and Ohakune. He calls himself a part-time farmer and part-time bushman/logger. Julie has a couple of part time jobs and volunteers for St John.
FARM FACTS • Small-scale farming allows careers and low debt. • Farming deer on 36ha between Raetihi and Ohakune • Retiring land to prevent erosion • Breeding Wapiti-Red deer for weaner market • Weaners highly sought by buyers
Country-Wide September 2017
The stream has been fenced and planted around.
Breeding hind numbers have been gradually reduced, as land is retired to prevent erosion. So far, 8ha has been planted in various trees. The main fawning paddock, another 12.5ha, is also earmarked for retirement. The Hartleys discovered through the process of doing their Horizons Regional Council whole-farm plan that the erosion risk is high.
‘I felt pretty unhappy for quite a while, but you can’t just let all the soil go down the creek. It’s just not sustainable.’
There have already been slips on the hill faces and other visible signs, such as slumping, that the soil is unstable. It is a shame, as this area has been a great fawning paddock, with patches of
native and little gullies for shelter. Martin plans to plant this paddock in coastal redwood. He says the rooting structure is good for holding the ground, the redwood should hopefully hold their value in the future and he likes them. Once this planting is complete, more than half the farm will have been retired into trees, with only one remaining hill face for deer. “I felt pretty unhappy for quite a while, but you can’t just let all the soil go down the creek,” Martin says. “It’s just not sustainable.” Martin says they could try to make up for the loss of productive land by improving pastures and lifting their stocking rates to farm more intensively. If necessary, they could change tack completely and lease their land out to market gardeners. Flat cropping land in the area is valuable for growing vegetables like carrots and potatoes, Martin says. While there are other options, retiring more land for erosion prevention isn’t tempering their passion for deer farming. “Over the last couple of years we’ve
Martin Hartley built the deer shed with help from his dad, shortly after buying the land.
been on these low numbers so we are used to it and we’ve got no debt, so that makes it easier to handle,” Julie says. The Hartleys installed a gravity-fed water system after fencing off the stream running through the farm 20 years ago. They did this to combat a leptospirosis problem, which they feared was caused by the deer drinking water contaminated upstream by other livestock. Julie always wanted to fence the stream anyway and they would have ultimately fenced it off for environmental reasons. They also fenced off a spring-fed dam for swimming in, complete with a rope swing for the kids.
›› Leasing cost-effective p38
The lease Wapiti bull with Red-Wapiti hinds.
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Leasing cost-effective and hassle-free Martin and Julie Hartley are small scale farmers with loads of enthusiasm for deer. Deer bred on their Ruapehu farm are sought after at the annual Taihape weaner sales and make a significant contribution to their income. The breeding hinds are three quarters Red and one quarter Wapiti. “We started off with Reds and then bred our way into that kind of animal just for better size,” Martin says. Mature hinds now range from 130150kg, with a bigger progeny to sell as weaners. The size of the property limits numbers of stock and different stock classes they can carry, so the Hartleys buy in about 15 replacement hinds each year. Martin prefers to buy these as weaners. “I get a lot of satisfaction from growing young animals.”
After having a clean out of their own sire stags last year, they decided to try leasing a Wapiti sire bull from Taihape farmer Rex Gregory. It worked well, so they have done the same again this year. They pay $600 to lease the bull for about two months – from mid-February until the end of April/early May – and have a couple of their own stags (nothing under four-years-old) to use as back-ups. “I watch them. Last year I took the bull out in mid-April and put ours in.” This year the lease bull appeared to be doing such a good job that they didn’t bother putting back-up stags out. They say leasing is cost-effective and hassle-free. “He shows up in good shape, he has a nice time while he’s here, then goes home,” Julie says. They haven’t always pregnancyscanned hinds, but started just to make sure their own sires were performing. Despite using a lease bull now, scanning is worthwhile, especially knowing they are retiring more land.
The stream has been fenced and planted around.
It is small scale, but for Martin and Julie Hartley it is farming, not hobby farming.
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Last year 54 of 59 mixed-age hinds scanned in-fawn. The younger mob (including firstfawning two-year-olds) was not scanned, but it turned out at fawning that 100% of these hinds were pregnant. Martin says deer are so simple to manage, which makes balancing farm work with his off-farm job easier. The biggest chore is feeding out baleage in winter– usually every day for up to an hour. Baleage is made on-farm from grass, or chicory/clover when the crop is plentiful and needs topping to maintain quality for grazing. They often have enough surplus baleage to be able to sell some. The chicory/clover crop was introduced about 12 years ago, to provide a safeguard against dry summers, which were starting to become more common in the previously summer-safe area. The crop is sown on 3-4ha of flats. Martin says it has been persisting for up to three years when well looked after, particularly if animals are kept off during winter.
‘He shows up in good shape, he has a nice time while he’s here, then goes home.’
Hinds and fawns are given a brief taste, but the bulk is saved for after weaning. Fawns are weaned on to grass first, usually around the first week of March, so they don’t flatten the crop with their pacing. Once they’ve settled down (it only takes about a week) weaners go on to the chicory/clover. The Taihape weaner sale is usually about one month after weaning. This year, the Hartleys presented the heaviest
Country-Wide September 2017
weaner stags and hinds of the sale. Martin says they just try to feed them as best they can and keep their stress levels down. Keeping the weaner deer on a fairly light stocking rate of about 12 su/ha is another key to their good condition. “We do as many of the jobs as we can while they’re still with their mothers, like ear tagging and their first drenching.” Weaners are drenched and vaccinated for yersiniosis. Martin says they have considered selling the weaners privately on-farm, but wanted to continue supporting the sale. They sold 58 weaner hinds and stags this year. The Hartleys heaviest Wapiti-cross weaner stags averaged 84.8kg and sold for $462/head. Their heaviest hinds averaged 81.25kg, fetching $430/head. Weaner deer weights were well up overall this year. “It was a fantastic season. The grass didn’t stop all through the summer,” Martin says. Feed was so abundant the Hartley’s could have finished their deer themselves. With the higher venison schedule holding for so long, it could have been a viable option. “The peak schedule window in the past was so small that we were better off letting someone else finish them.” Weaner prices have been up the past two years, so Martin does not lament continuing with this policy. “In the past if you got two good years in a decade you were doing well.” Fluctuating deer returns did force them to consider farming other livestock, but Martin and Julie both enjoy having deer around and the low workload fits well with their lifestyle. The deer get used to Martin and become easy to shift – another reason he likes to farm them from a young age. Mixed-age hinds are drenched and given copper annually and TB testing is once a year. The deer shed and yards, built by
A Wapiti lease bull nearing the end of mating season on the Hartleys’ farm.
Martin and his late father Vince, still serve their purpose. They don’t have a crush as such, but Martin’s own homebuilt version works just as well. “You don’t need a lot of flash gear to handle just a few deer.” The farm has always earned an income even in a bad year.
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Gross income is about $1000/ha, over the 28ha of effective farm land. That has paid for the both their children’s boarding school education and Martin takes exception to being called a hobby farmer. “We’re small-scale farmers, but it’s farming.”
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LIVESTOCK | PROGENY TEST
Dairy-beef calves add value Initial results from a dairy-beef progeny test show that strategically selected beef bulls will yield high-value beef calves, without compromising calving ease or days in milk. The four-year Beef + Lamb New Zealand Genetics dairy-beef progeny test is being carried out at Limestone Downs, near Port Waikato. Its goal is to calculate the additional value that can be added by using high genetic-merit Angus and
What’s in it for the dairy farmer? • A more saleable calf • Diversification of income • More days in milk, through shorter gestation • Fewer bobby calves
Hereford bulls, versus the unrecorded bulls traditionally used as “follow-up bulls” in most NZ Dairy systems. It involves two years’ of strategically bred beef-cross calves, which are then followed through to processing. The second and final crop of calves are being born now, with the first year’s crop of 620 beef-cross calves weaned and being finished on the Limestone Downs sheep and beef operation Port Waikato farm. Lead researcher associate professor Rebecca Hickson said bulls were strategically selected based primarily on their birthweight, calving ease and gestation length breeding values. Secondary emphasis was on growth traits (400-day and 600-day weights) and carcase traits, specifically marbling. Three selections of Angus and Hereford bulls were used: • Average unrecorded bulls, that acted as the control and, based on the traits
Massey University PhD student Lucy Coleman scans calves as part of the dairy-beef progeny test being on Limestone Downs, Port Waikato.
identified as important • Bulls in the top 10% for their breed • Bulls in the top 50% for their breed. Hickson said the correlation between the bulls’ breeding values and how their calves performed were very accurate, indicating how possible it is to address critical factors, such as calving ease and birthweight. For the two years of calvings, Limestone Downs bought in replacements, as it was cost effective over the period. However, they are now in the process of returning to a traditional breed-your-own replacements policy, to reduce exposure to fluctuating replacement cow costs on the open market. The poorer quality mixed-aged cows will be artificially inseminated to beef bulls for the four weeks. The intention is a 40:60 mix of replacements to beef-cross calves.
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Country-Wide September 2017
LIVESTOCK | FACIAL ECZEMA
Group leads disease fight FEWG research and development priorities for industry investment:
King Country farmers Robert and Suzanne Carter. He is pleased by the industry response to renewed efforts to reduce the impact of facial eczema.
Anne Hughes Reducing the impact of facial eczema could boost New Zealand farming’s annual income by more than $100 million. The Facial Eczema Working Group (FEWG) was formed before the huge facial eczema (FE) challenge in 2016, with operational funding from Beef + Lamb NZ. These high FE seasons come and go, but the continuing effects of the disease are often unseen. Because of clinate change, the problem is predicted to worsen and spread to more parts of the country. Since the formation of the working group, representatives from the dairy, deer, sheep and beef industries have collaborated to improve knowledge, research and development around the disease. The FEWG has developed a strategic plan and put a case to these producer organisations for where they should invest. It is now encouraging DairyNZ, Deer Industry NZ (DINZ), Beef + Lamb and other agencies and research providers, including government, to invest a combined total of $1m during the next three years in research, development and extension to reduce the impact of FE. The strategy focuses on extension, research and development to better educate the industry on the disease, develop and adopt tools for better prevention, and control of the devastating disease. A key role of FEWG is to agree on the key technical messages and advice for producer organisations to include in their extension programmes.
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The working group says the average annual cost of FE is 2.75% of export income ($513m). If investment into research, development and extension can achieve a 20% reduction in FE, the annual payback is estimated at $102m. FEWG hopes the three producer organisations will agree to invest in extension activities, including train-thetrainer workshops and the creation of more effective industry awareness and implementation of control measures. It also wants these organisations to target their research investment to prioritised areas for new and improved solutions for FE prevention. A key part of the FEWG strategic plan is to convince producer organisations that lost production and income from FE is significant and likely to increase. The group has already secured funding from DairyNZ, DINZ and B+LNZ to hold a “train-the-trainer” course in August for 16 participants – including farmers, producer organisation staff, vets and researchers – to become primary accredited FE specialists. These specialists will be available to present at various DairyNZ, DINZ and B+LNZ extension events. Training workshops for less specialised secondary accredited FE advisers, including farmers and rural professionals, may also be held. King Country farmer and ram breeder Robert Carter was instrumental in the formation of FEWG. Carter says support and enthusiasm from the industry for the initiative has been gratifying. He is excited that new research and
• Threat forecasting including development of apps to use climate data and predicted spore counts and validation using farm and works data plus RMPP • Use of epigenetics for turning appropriate FE tolerance-related genes off or on • Control of the fungus Pithomyces chartarum that produces toxic spores – revisited • Use of cell cultures to replace live animals for sporidesmin challenge testing • Rehabilitation of liver damage including mechanisms of cell repair • Succession and peer review of challenge testing with Ramguard including alternative means of sporidesmin production • Protocol for natural challenge and GGT testing • Mechanisms of tolerance including genomics, major genes, physiology etc • Prevalence studies, link in with RMPP database • Other ways to establish FE tolerance in animals.
Overall priorities for research, development and extension investment: • Creating greater awareness of FE sub-clinical production losses • Promoting more effective use of available preventive tools including – - Breeding for tolerance - Use of zinc as a prophylactic in boluses, drinking water or other means - Application of fungicides to pasture to reduce toxic spores - Grazing management options to minimise exposure to the toxin.
Key resources: • Facing up to facial eczema • fact sheets and resources from each organisation. development work should be in place soon and that accredited people will be on the ground to provide sound, consistent advice to farmers about the disease.
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LIVESTOCK | GENE TALK Connectedness is about sharing or swapping sires between flocks.
Connectedness rules tightened GENE TALK Sharl Liebergreen Recently, I had an interesting exchange with a North Island farmer who was looking for a new terminal ram breeder. I suggested he use the mobile app RamFinder. RamFinder lists all SIL sheep breeders throughout New Zealand. It indicates terminal or maternal breeding objectives, traits being recorded, flock size, and contact details. I mentioned that 57 terminal breeders in the North Island were recording meat. He quickly asked if there were any terminal breeders not recording meat. A second farmer suggested that a terminal breeder not recording meat was like watching TV with your eyes closed. It’s difficult to disagree. While breeders do the best they can with the time and resources they have, it’s not a given that they (a) record everything, and (b) record well. I suspect that over time some breeders have simply attracted a share of the ram buying market and they meet the requirements of their buyers. Recording extra traits comes with extra cost and perhaps no return on that cost in terms of ram price. However, ram buyers increasingly expect more information. They want to know their commercial farming objective is aligned with that of their ram breeder. I met another farmer who’d bought two rams from a SIL breeder but neither had a sire recorded against them. The farmer was not concerned, suggesting that the performance of these rams was adequate for his needs. Given the wealth of information a ram’s sire contributes, I had to wonder what the commercial farmer’s production objectives were.
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Best practice recording is important for both breeders and farmers. Two SIL features being strengthened – for the benefit of breeders buying outside sires and farmers buying rams – are restricted traits and connectedness. Restricted traits have strict recording protocols and there is often a cost associated with them. For example, Facial eczema (FE) or internal parasites (FEC). Within SIL, unless breeders are investing in the traits and following protocol, they will not receive breeding values for these traits – and they will not be able to sell rams with these traits. This protects both the ram breeders who are investing and making progress in this trait, as well as ram buyers.
Ram buyers expect the commercial farming. objective is aligned with that of their ram breeder.
Another area where rules are being tightened is connectedness. Connectedness is about sharing or swapping sires between flocks, then retaining and recording progeny from these sires for a trait that both flocks are interested in. For example, if two flocks are terminally focused and recording for meat, swapping sires or sharing a ram within the same mating is the first step
to creating connectedness. The story is then completed by both flocks retaining progeny from the sire/s, eye muscle ultrasound scanning them, then loading the data to SIL. Only when a sire has been benchmarked in this way – on both sides of the fence – can his genetics be compared. Why? Because connecting between flocks allows SIL to account for environmental factors across flocks and truly reflect an animal’s genetic potential. The ultimate connectedness model is the Central Progeny Test, where hundreds of connections are made with common sires throughout the industry. Individual connections between industry flocks is just as important, though. If breeders are not connecting, their flocks’ genetics cannot be benchmarked. Key point: While breeding flocks need to be recording important traits, they also need to be connected and benchmarked. In the future, breeding flocks not connected may not receive breeding values, just like the Restricted Traits constraints. This is a big change for some breeders but it can be addressed. For breeders who are interested, SIL can produce connectedness data and they can get connecting. So, ram buyers beware. Just because a ram is for sale with, for example, a dag score breeding value, it does not mean that dag score is part of the breeder’s breeding programme. Or just because a breeder is selling rams with wool breeding values does not mean the breeder actively benchmarks with other breeders for wool. Ram buyers can ask breeders: • What traits are you recording? • What traits are you connected for? (P.S. In case you’re curious, there are 19 terminal ram breeders in the North Island not recording for meat; proof that you need to ask questions).
sharl.liebergreen@blnzgenetics.com
Country-Wide September 2017
LIVESTOCK | STOCK CHECK
Keep it simple and efficient STOCK CHECK Trevor Cook Interactions by farmers with advisers in whatever garb they appear are almost always about increasing production and profit. Discussion groups are a forum focused on increasing farm profit and it is rare for a farmer to declare a different objective. I am sure that some of this is because it takes courage to admit that your objective is to, say, work fewer hours, or have a viable system that uses no fertiliser, or to not employ labour. So most discussion in these groups is about how to be better, with “better” being “earning more”. The options to achieve this are not endless and are often limited by ingrained prejudices. While it is usually quite easy to come up with a policy that will make more money, often some of that policy is not acceptable. Not liking bulls, being obsessed with Angus cows, seeing buying replacements as being a failure, still believing that Coopworth mouths are worn out by the time that they are four, or believing that applying 30kg of nitrogen/hectare/year is going to destroy the soil microbes are the sorts of barriers that not infrequently stop farms being more productive and profitable. This means that often the modifications suggested are merely tweaking the system in use. The statistic that tells me that a lot can be done on 80% of sheep and beef farms is the big difference in profit between the top 20% and the rest for similar country. This Beef+Lamb NZ data is invaluable in defining the potential. Their analysis of what is behind this difference is not earth-shattering. The top 20% have farming systems that perform well, whatever they do. This contrasts a bit with what I have said above, but putting in place policies that have the potential to be profitable must be the starting point. For the standard farming business,
Country-Wide September 2017
expansion is seldom the path taken to lift profit. If there is a genuine intent to lift profit usually it entails quite a change in the established farming system. Fitting the most profitable enterprise to the land resource available is the objective. Much hill country is best utilised by breeding stock but those same stock will never make the most from better or easier country. So much change, though, just comes from intensification, and it is what sits around doing that which makes the difference. The Red Meat Profit Partnership (RMP) programme has looked at the features of the top performers. As has been the finding of other such studies, these farmers are efficient. Quoting from that programme, the common actions to make them efficient are: • They invest in good infrastructure so jobs can be done as efficiently as possible • They have simple repeatable systems in place that can be easily understood and managed • They are focused on specific milestones and targets in relation to their animals (weights and lambing %) • They have developed systems that allowed them to efficiently align their grass growth curve with market opportunities to achieve the best returns possible. The outcome of excelling in these efficiencies is more production a hectare, which inevitably means intensification. That is, producing more from the same feed resource. The key component in
Every bit of meat that we eat has hormones in it.
achieving this is to lift the stocking rate. The key components of doing this are having control of the allocation of feed backed by feed supply and demand calculations, feeding the absolute minimum necessary to achieve the production objectives, and having a well-defined flexibility component in the system.
‘Too many farms have too many classes of stock and this compromises the efficient use of pastures.’
As the RMP findings have found, simplicity is necessary as well. Too many farms have too many classes of stock and this compromises the efficient use of pastures. Selling the farm could be a logical option - not to buy a bigger farm but to get some return because that land is no longer needed to farm livestock. That could be a likely outcome if a so-called scientist that I heard last week talking about growing meat in the laboratory had any credibility. The story was that meat could be grown in the laboratory from the DNA seeding of that particular meat. What really annoyed me was the story that was being wrapped around this venture. This laboratory grown meat would be free from hormones and antibiotics. Every bit of meat that we eat has hormones in it. They are just one of several components of meat that gives it its taste, its texture, its multiple health benefits and its cooking traits. No meat sold has antibiotics in it. The story perpetuated the myth that the meat we produce has added hormones and antibiotic residues in it. Add this to the perception that every dairy farm is contaminating the water systems and all pasture farming is damaging the land, and naturally the uninformed city dweller will be antifarming. Still, these same people would be suspicious of meat grown in a laboratory from non-natural nutrient and chemical processes. I know what I would prefer to eat.
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FORAGE | OPTIONS
Pugging challenge for Northland cropping What feed crops to grow, if any, where, how and how much are questions most sheep and beef farmers face. Country-Wide writers look at the options.
Anne Hughes
C
limatic conditions make crop establishment and utilisation difficult on most Northland sheep and beef country. Continued grass growth and good stock management can result in liveweight gains with minimal pasture damage during the winter months. Northland farm consultant Gavin Ussher says the combination of soil types and wet winters are not conducive to winter cropping. Ussher says the ground is often still saturated in August and September, making pugging damage and good utilisation the biggest challenges of cropping. He says most sheep and beef farmers will instead focus on growing as much grass as possible during winter - relying on winter growth of ryegrass, poa and other annuals. Farmers might opt to enhance this winter growth by applying nitrogen. In kikuyu-dominant pastures, Ussher says they need to wait for the kikuyu to become dormant and for a reasonable amount of ryegrass to come through – usually July to September – before applying nitrogen. Pugging damage during the wettest months is best avoided through stocking policies.
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Table 1: Perennial Legume Harvest Data
Site: NARF, Dargaville, Date Harvested: Mid-April 2017 Species
Pasture Mass from Quadrat Kg DM/ha
Dry Matter %
Growth Total
Estimated growth from mid-March to mid-April Kg DM/ha/day
White clover
2804
12.1
1404
54
Red clover
3292
13.7
1898
73
Lucerne
4854
17.7
2002
77
Lotus major
3979
9.8
2184
84
Table 2: ENERGY PRODUCTION: Dry matter growth X metabolisable energy level (ME)
The ME figure used is data from 11 April harvest at NARF– assumption is that these ME levels were Species
Total Growth Kg DM/ha
Metabolisable Energy Level MJME
Megajoules of Metabolisable Energy produced over the period mid-March – mid-April (26 days)
White clover
1404
11.5
16,146
Red clover
1898
10.5
19,925
Lucerne
2002
10.3
20,621
Lotus major
2184
10.4
22,714
Control – ryegrass
1742
11.0
19,162
This could include lightening stocking rates or avoiding having heavy cattle onfarm during winter. Instead of wintering two-year-old bulls, farmers might instead run a weaner or yearling policy, or sell cattle on the store market in May or June.
Subdivision and grazing management are also important. Ussher says more farmers are installing techno grazing systems and achieving good results. “You can still have severe damage if the paddock’s wet enough and the animals are not shifted quickly enough.”
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Pugging is usually restricted when bulls or cattle are rotated every one-two days, potentially not grazing cells a second time for another 50-70 days. With the exception of sandy soils, establishing summer and autumn crops early enough is a challenge. Ussher says soils can still be wet and cold in late spring. “It can be well into December before you can be getting these crops into the ground, so the chance of crop failure is higher. “If you’ve got a very efficient, welloperated, pasture-based system it can be difficult to improve on that on a regular basis through cropping.” Kikuyu-based pasture systems are reasonably robust during summer. The sub-tropical grass growth peaks from January to March, thriving in the often dry conditions in Northland during late summer and autumn. “Five years out of six we’ll have a 30day period with no rain,” Ussher says. “If you don’t get rain from February to April you won’t be able to grow a very good forage crop.” Volunteer tick bean plants (left) germinated in autumn from seed dropped in November. This plot also has strong Lucerne presence and growth. Photo provided.
Country-Wide September 2017
The few Sulla plants that survived to 12 months were still growing well in April and May this year, but Gavin Ussher says the perennial legume was not proving a good fit with Northland’s wet soils. Photo provided.
Project focuses on forages A Sustainable Farming Fund project is researching ways to increase the range of forages available to Northland farmers. Farm consultant Gavin Ussher hopes Northland’s Diversified Forage Production project will create opportunities for more onfarm forage diversity, ultimately improving farm resilience. The project team is trialling a range of annual and perennial legumes – evaluating the financial results, production and persistence, alongside factors that will impact the success or failure of these forages in Northland. A range of nine annual legume species and six perennial legumes were sown in autumn, many of which are clovers. A few more, such as lucerne, will be sown in spring. Forages are being grown in plot and paddock situations. Autumn was a challenging season for establishing clover, with excessive rain and extremely high soil moisture. Sowing was late on most sites this autumn. Early and medium sowing dates (April 4 and 20) suffered the most from soil-borne fungus damage on a range of annual clovers. This is expected to cause a high death rate in damaged plants during winter. Early indications were that the most successful sowing was the very latest (May 25). The best germination results have been on free-draining, sandy soil with good soil moisture, high soil temperature, a high seed sowing rate and a trash-free site. At this stage, there is no root fungus damage showing on clovers sown on this particular site. One year into what is at least a three-year programme, Ussher says trial results so far are variable. Already it seems the short-term perennial legume Sulla is not suited to Northland. Ussher says the soils were too wet for Sulla, which by mid-late winter appeared very nitrogen-deficient. Spraying is challenging and it is difficult to graze the legume without damaging plants. It could still have a place between maize crops as a single harvest crop for cutting instead of grazing, he says. This option is yet to be explored. Lucerne is proving a good fit for free-draining sandy soils, which only make up 10% of Northland soils. Ussher says it could also have potential on the freer-draining volcanic soils, but not on wetter ground. New lucerne cultivars are also more tolerant to fungal problems common in Northland. Once this season’s spring growth starts to take off, the different forages will be analysed for growth rates, feed quality and soil conditions. aahughes@gisborne.net.nz
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FORAGE | FODDER
Filling the feed deficit Anne Hughes Crops are the most cost-effective way to fill a winter feed deficit, Otago-based farm consultant Peter Young says. Young says no matter how well farming systems are developed to fit a particular farm, there will always be some nilgrowth period. For many parts of the country, this is during winter. “That means you have to de-stock drastically over the winter or come up with an option that helps get through a deficit in the feed supply,” Young says. Winter cropping provides this, at the same time helping keep up with pasture renewal and reducing the direct costs of regrassing. Young says winter crops also help sustain specific farming systems. Breeding systems, for example, need to carry a certain number of animals through winter. Baleage or supplement feed are an expensive alternative to cropping. Young says these supplements cost three-four times as much, which is hard to justify if winter cropping is an option. “There are times when you can justify it, such as filling a short-term deficit that crops up unexpectedly.” Deciding what crops to grow depends on environmental factors and physical A swede crop near Gisborne.
Fodderbeet lifted for transitioning stock on to the crop.
limitations, your specific farming system and the purpose crops need to fill. Yields and costs vary greatly depending on a range of factors. Crops with the highest yield potential may not necessarily be the best option for your system. Young says there is always a component of risk with cropping, whether that be crop failure, poor yields, soil damage, nutrient issues or animal health if grazing is not managed correctly. Land type, existing vegetation and climate all present challenges. In certain environments there could be a risk of not being able to access your crop in snow-prone areas, or bulbs freezing solid. Soil characteristics, slope, aspect and altitude all factor into decisions on what type of crops to sow and when. The rate of pasture renewal is often dictated by winter crops, but some
properties will require a certain area of cropping to achieve required pasture renewal. Different maturity lengths of crops will also impact the types grown. Paddock history is a factor, as cropping rotations need to be planned to minimise risks of crop disease. You also need to consider particular feed requirements of the stock that will be grazing the crops and the period this feed is required for. Growth curves and sowing methods also impact crop choice. Whether your deficit is during winter or summer, Young says the same principles apply to deciding what type of crop to grow. Learning how to best make these decisions comes from practical experience and conversations with people who can share their different experiences. “Our pastoral based grazing system means we’re not as knowledgeable as we should be with regards to rumen function and the nutritional requirements of stock grazing specialty feeds like crops.” He says seed companies could provide farmers with better advice if they were given more information. “Farmers don’t necessarily make it clear to their seed provider what their specific limitations are and what purpose they want the crop to serve.”
Grow strategically Strategic use of crops can be an effective way to boost feed production during challenging times of year. AgFirst Gisborne farm consultant Peter Andrew says swedes are a popular winter crop in higher inland parts of the district. Fodder beet is also being recognised as a cost-effective way to achieve good liveweight gains in cattle through winter months. “We are lucky in Gisborne, as the warm winter soil temperatures mean that on well-fertilised and grazed farms the grass just keeps on growing.” Andrew says it is a growing trend for farmers to target nitrogen applications for boosting lambing covers cost effectively. “That would be the number one form of supplement in this district to produce extra winter growth.” Andrew says growing a good crop can be very valuable, but it is important to have a good reason for doing so. Growing a summer crop in an area with good, reliable summer grass growth will not be the best investment. aahughes@gisborne.net.nz
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FORAGE | BRASSICAS
Stingy phosphorus applications is a major cause of underperforming brassicas especially Swedes.
Brassica Basics
Stingy fertiliser inputs costly Lynda Gray A lack of phosphorous and poor weed control of brassica crops could be costing farmers in drymatter production, says a southern South Island agronomist. “Farmers often try to cut costs in the up-front establishment. They might save $100/ha but they end up losing a lot more in drymatter returns,” Cropmark’s Richard Moate, says. Stingy phosphorus applications were a leading cause of underperforming brassicas, especially in swedes. Moate likens the phosphorus effect to hitting a golf ball: a half-hearted putt will send the ball half way to the hole with no chance of making it. Greater effort and application will take the ball to or beyond the hole with the likelihood it will still roll back to make the target.
“Tell them what you’re hoping to achieve, take into account what nutrients are available and work from there.”
Based on the typical nutrient composition of a brassica and a 13 tonnes drymatter average crop, a 30kg/ha P dressing was needed, along with 325kg/ ha N, 30kg/ha P, 360kg/ha K, 65kg/ ha S, and 26kg/ha Mg. Targeting a top producing crop of 16-18t/ha required greater inputs which was best calculated in consultation with a fertiliser rep.
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“Tell them what you’re hoping to achieve, take into account what nutrients are available and work from there.” Phosphorus was relatively mobile in the soil and if the Olsen P was under 20 it was difficult for brassicas, especially swedes, to tap it. In such situations fertiliser should be direct drilled with DAP, Super or similar in the back box of the drill. Lax timing could put a crop on the back foot even before it went in the ground. The trend was for later and later drilling of crops as paddocks were held in a rotation as long as possible before being taken out for crop. But with many crops not going into the ground until early or even mid-December they simply weren’t reaching maturity. “Brassicas take 160 to 200 days to mature, and that excludes germination. They should be up and running by the longest day so that they’re utilising the longer sunlight hours which is the cheapest form of energy available.” Another mistake farmers made with swedes was an overly generous swede sowing rate which reduced the space that they preferred for growth. Pre and post-emergent weed control was very important, and would require a selective spray for perennial and problem weeds such as buttercup and dock “Keeping the crop clean gives the crop a good start and means the brassicas don’t have to compete for nutrients and water.” His final words of advice were to monitor, monitor and monitor, especially over the first two months. “Check the crop regularly and if in doubt call in the experts.”
PREPARE • Select paddock 3-6 months out. • Avoid paddocks sown in brassicas over the last seven to 10 years due to club root risk. Avoid second-crop swedes. • Sort any drainage issues. Brassicas perform best in free-draining soils. • Weed spray. For problem weeds use a selective spray. SORT SOIL FERTILITY • Aim for pH under 6.1 • Main yield responses are from nitrogen, potassium and phosphorous. • Typical brassica nutrient composition: N2.5%, P 0.3%, K 2.0%, S 0.5%, Mg 0.2% SOW • Can be direct-drilled but cultivation and drilling is more successful due to improved root penetration by brassicas. • Cultivate for a fine firm seedbed no deeper than 2cm. Test by walking on seedbed, footprint should show but heel should not sink in to soil. • If Olsen P is over 20 broadcast P; If Olsen P under 20 band P near to seed. RATES • Broadcast swede at 750-100g/ha • Giant chou/kale 4-6kg/ha • Medium chou/kale 3-5kg/ha • Pre and post-emergent weed spray very important • Add urea – 75-150kg/ha at 80% canopy cover but be careful of nitrate poisoning with late applications, especially summer turnips. • Monitor, especially over first two months.
lyndagray@xtra.co.nz
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Farm managers Glenn Jones, Paul Whittaker, and Robin Hornblow.
FORAGE | PASTURE
RENEWAL ON THE PLAINS Renewal of the pasture of a Canterbury farming business’s four farms inside four years was conducted like a military operation. Anne Lee reports. If there was a catch phrase for Camden Group’s massive pasture renewal programme it would have to be go early and go hard. The family owned Canterbury farming business is in the fourth season of what’s become an epic tale of mega-grass proportions. It’s a story of bold endeavour, battlelike planning, triumphs, financial hurdles as the milk price fell through the floor, a plot detour and even the odd defeat. And while its final chapter hasn’t yet been written, the spoiler alert is that the initial plot was right all along and a happy ending is now in sight. The story began back in early 2013 with a gutsy call to renew a third of the group’s milking platforms in just one season followed by similar rates of renewal over the next few seasons so that within close to four years the full 800 hectares would be in new permanent pasture. The grand plan aimed at very quickly improving the amount of home-grown feed, to rid the group’s farms of a significant proportion of the bought-in supplements that over time had crept into the system. The increase in supplements, to almost a tonne of bought-in feed per cow, mirrored the slow creep of unproductive, matted, old grasses such as browntop,
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sweet vernal and Yorkshire fog back into the sward. Like most Canterbury dairy farms their history as dryland operations means the soils still play host to a rich seed bank of these old grasses. Given any opportunity the sleeping old timers will stealthily awaken and invade.
Pasture monitoring was telling them new grass paddocks sown the season before were outperforming older pastures by a country mile.
Camden group general manager Leo Donkers says the renewal plan aimed to rapidly call a halt to these creeping invaders, quickly reversing the trend in supplement use and boosting the amount of high quality home-grown pasture harvested by cows. One of the group’s farms, the 306ha Te Pirita property Willsden, is part of a benchmarking group with Lincoln University Dairy Farm. Data collection, monitoring and analysis have always been part of
Going early One of the keys to success in this large-scale renewal programme using short-term Italian ryegrass has been sowing it early. As soon as the soil temperature hits 7-8C in mid-September it’s time to go in, Graham says. “Italians and annuals will grow in temperatures 5C lower than perennials so 7-8C is ideal compared with perennials that really want temperatures to be up at 12C,” he says. “We learned the lesson about going early in the first year because although the late-September-sown Italian was a little slower out of the blocks than the October-sown tranche, when we crunched the numbers the Septembersown grew 0.5-0.7t DM/ha more than the October,” Graham says. “It’s also important for us sowing three tranches that the first goes in early enough otherwise you end up getting into the worst time of the year from a feed point of view and you’re still re-pasturing,” Leo says. One of the benefits of going early is that contractors are also more likely to be free at that time.
Camden’s DNA. Leo’s brother and partner in the business, John Donkers is also a farm consultant and operations manager Terry Kilday has a strong focus on
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recording and monitoring. It’s the data, both physical and financial along with physical observation that fundamentally informs the team’s decision-making process. Back in the 2012-13 season bought-in supplement on Willsden hit 3.3 tonnes drymatter (DM)/ha or 974kg DM/ cow and, while those inputs had been growing, milk production had remained fairly constant at 450kg milksolids (MS)/ cow and 1500kg MS/ha. At the same time pasture monitoring was telling them new grass paddocks sown the season before were outperforming older pastures by a country mile. With greater winter and early spring activity those paddocks were on a 14-day round while the rest of the farm was still out at 25-days. Paddock records showed a range in production from eight to 19t DM/ha/ year. The team called in the experts and reviewed their data even more closely carrying out a detailed analysis of benefits and costs. Armed with that information they decided it was time for serious action. Agriseeds’ Graham Kerr says such a major renewal programme called for tactical planning well before spring. The team dropped the stocking rate slightly and ensured they had extra supplement on hand. The poorest-performing paddocks were selected, fertility checked and any drainage issues or other factors that could affect production dealt with. The decision was made to do that first season’s renewal in four tranches Willsden farm manager Glenn Jones keeps a close eye on pre-grazing covers in a new perennial pasture drilled in early October 2016.
From left Terry Kilday, Graham Kerr and Leo Donkers – making decisions and reviewing them based on data.
starting in September with 41ha of a total of 90ha to be renewed sown in a shortterm Italian ryegrass and 49ha sown into permanent pasture.
their supplement use, dropping it to 478kg DM/cow while maintaining milk production. From June 1 through to when the paddocks were sprayed out towards the end of October to go into permanent pasture they produced about 1.7t DM/ha more again than older paddocks. Buoyed by the success and with data to help make paddock selection decisions they also took out another 56ha of older pastures, spraying them out and drilling the Italian ryegrass, Tabu. Analysis at the end of the 2014-15 season saw big benefits in terms of production although the gains were a little dented by an exceptionally hot, dry summer with high night time temperatures.
TWO HITS The aim of going through a short-term Italian first was to give those old, invasive grasses two hits with the spray a year apart and at the same time bring some high-quality fast feed on to the platform. In hindsight, given the extra pasture they grew in that first season they wouldn’t have been so conservative with stocking rate and supplement on hand. The new paddocks averaged 2.4t DM/ ha/year more in the first milking season (which included the four-six weeks they were out of grazing) than the bottom quarter of the farm production wise which meant they more than halved
›› Establishing the perennials p50
Spray drilling the Italians Paddocks are hard-grazed to a 1400-1500kg DM residual to open them up then left a week to freshen for spraying. An important part of this process is pastures are short when they are sprayed, which allows the grass-killing glyphosate 540 to get into the sward and coat the fine-leaved, low-growing older grass species such as browntop. “This is critical. Often people wait till there’s a cover of 2800-3000kgDM/ha and spray then graze. But when you have this much pasture the chemical doesn’t get down to these short, low-growing browntop-type species and killing these is a key goal” An insecticide such as Lorsban is applied with the glyphosate if there’s an insect risk. The paddocks are sprayed and drilled on the same day with a disc drill used to direct drill the Tabu seed at a rate of 20kg/ha. They’re then heavy-rolled straight away to close up the slots and get good soil-to-seed contact. Slugs are checked and generally haven’t been an issue, so slug bait is laid around the perimeter of the paddock to kill slugs migrating from surrounding paddocks. At first grazing or nip off a broadleaf spray is applied along with a dressing of 100kg/ha of urea. For early sowings in mid September this may be eight to nine weeks after sowing and for paddocks sown in October first nip off is usually at six weeks. From there the paddocks are in the grazing round. The next two applications of urea are also about 100kg/ha.
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Still analysis of the renewal programme published in the 2015 proceedings of the NZ Grassland Association showed a 198% return on investment within season of sowing thanks to extra production and higher quality feed that was easier to utilise. Then things went pear shaped. The payout plummeted in winter 2015 and cashflow was at an all time low. As it was on other farms, the slasher was taken to the budget. Although the long-term case stacked up the lack of cash coming in meant the renewal project had to take a major haircut. “We came up with three choices – one to let the Tabu run its course for another season, two was to put it into perennial which was the normal practice but at a higher cost or three was to undersow more Italian back into Italian. “We just didn’t have the cash to go from Italian to perennial so we tried one and three and what we’ve found out from experience is that option one and three didn’t work. “It was very disappointing – we ended up chasing our tail all season,” Leo says. By leaving the Italian for another full season it went through a vernalisation process and the team were confronted with 42ha of pasture that by late November-December just wanted to run to seed no matter what. “We ended up having to keep on topping. You’d mow them off and think they were right but they would just go back to seed,” he says. So while they cut close to $50,000 out of the budget by taking options one and three in theory, additional silage fed through December cost close to $40,000 if the feed cost was valued at 40c/kg DM. In reality it didn’t have an impact on cashflow as the silage was already on hand but it’s all part of the cost benefit analysis of the programme. “We fed three times what we’d normally feed through December period – about 133kg DM/cow and 100kg DM/
Robin Hornblow, manager of one of Camden’s farms, Prairie, in a new paddock of short-term Italian ryegrass.
Establishing the perennials Paddocks are sprayed with glyphosate 540 and left about 10 days to two weeks to ensure a good kill and to allow for some plant and root break down and soil to loosen off the roots. They are ploughed and worked down with discs and harrows until a fine, firm seed bed is achieved. They’re then sown with a conventional disc drill that’s been modified to also include a broadcast system. The seed rate is split with 15kg/ha of diploid perennial ryegrass Trojan sown through the drill and 13kg/ha of tetraploid perennial ryegrass Viscount sown through the broadcast application along with 3kg of white clover. The broadcast system sows the seed between the drill rows giving a dense cover across the paddocks, leaving no room for weed species. The paddocks are heavy rolled and at first grazing or nip off, a broadleaf weed spray is applied along with 100kg/ha of urea. The next two dressings of urea are also at a rate of about 100kg/ha.
cow of that we could confidently put down to the effect of carrying those Italians through,” Leo says. On top of the seeding problem Terry says letting the Italians go through to another year – whether they were undersown or not – ended up putting them a year behind. “That’s driven by the fact that the browntop and weed species came back in a number of paddocks so we really had to start all over again with them. “I think the weed burden and those older grasses coming back in just meant the undersown Italian just couldn’t compete early on,” Terry says. “This programme, using the Italians, it was all about getting rid of the browntop and old pasture species with the double spray while at the same time giving a lot of extra, fast, high-
quality feed during the process. “People sow these Italians in different circumstances and they can do well for two to even three years but in this situation it was about going into these old, run-out paddocks with two sprays in 14 months to get on top of the old grasses. “To get around the cashflow problem corners needed to be cut – and this didn’t work ,” Graham says. Once they stopped seeding the existing Tabu gave very good autumn and winter growth so it wasn’t like they were no benefit, Leo says. Camden’s comprehensive paddock records show that Italian ryegrass gave an average 1.7t DM/ha of additional feed after the first milking season (June 1 to October 31) and when this winter and early season growth is included for
Managing new pasture to promote tillering helps keep out weeds and going through a short-term Italian on the way back to a permanent perennial pasture means two sprays in 12-14 months.
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The end result – lush dense pasture with no browntop. Camden farm managers Glenn Jones, Robin Hornblow and Paul Whittaker with dog Ruby. The good growing conditions this season and additional feed from new pastures means the renewal programme has been done with no silage fed.
the second season, until it is sprayed out in October or November, the total additional feed is about 4.1 t DM/ha.
Vernalisation and the seed battle
NUMBERS
Vernalisation occurs when a cold period, such as winter, is followed by increasing day length, such as in spring. The period of cold triggers the plant to send up seed heads and reproduce itself as day length increases. When ryegrass is sown in spring it doesn’t go through a cold period until the following winter so it doesn’t seed until the following summer. That means 13-14 months of new, high-quality, easy-to-manage pasture. If ryegrass is sown in autumn the seed-free period is much shorter although Italian ryegrass cultivars are more winter active than a standard perennial and gains can still be made in drymatter production over the winter and through early-season spring growth.
“Convincing the board we should get back into the programme this season really wasn’t a hard sell – the numbers speak for themselves,” he says. On Willsden this spring they’re back into it with a vengeance and have resown 33ha in Italian and taken 13ha from Italian to perennial. They’ve also sown 13ha in kale and fodder beet as they move to transitioning cows on and off winter feed on the platform. “That’s like our annual in this programme. The paddock’s sprayed out for the fodder beet or kale and then it’s sprayed and worked up again to go back into perennial,” Terry says. Counting the crop paddocks they’ll have 46ha to go out of Italian ryegrass or crop, into perennial next season. But to allow flexibility, depending on conditions, what they might do is take some of that Italian back though Italian again by spraying it out and resowing it. That’s because of the logistics of getting the perennial all sown in late October. “Getting it into perennial is a longer job because of the way we cultivate paddocks and spend time getting the seedbed right. So you’ve got to have the weather on your side and contractors available at a time when you’re competing with fodder beet going in the ground,” Leo says. Rather than put a paddock into perennial, spray-drilling it into Italian is a fast operation, much quicker to grazing, and they know provides feed with much higher metabolisable energy (ME). The team are already talking about what the renewal programme will look like once the last big tranche of new grass is sown. Graham says there shouldn’t be a status
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Italian ryegrass sown in September and last grazed 10 days before the photo was taken, showing volunteer white clover between drill rows.
quo renewal plan where a set percentage of the farm is taken out each year. “It’s about selecting paddocks based on performance and for that you need good records. Camden’s got very good records so it should really be a matter of looking at those and doing the numbers on bringing up the under-performing paddocks. “It could be that’s equivalent to 15% of the farm or it could be 5%. “Too often the area to go through renewal is set by the budget. We do 10%
because that’s what’s in the budget - with no reference to paddock and pasture performance. I think what the team’s seen here is that, aside from extenuating circumstances when a massive payout crash means there’s a critical cashflow situation for instance, pasture performance has to be the driver so you can make good investment decisions.” • First published in the NZ Dairy Exporter, February 2017.
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ARABLE | DISEASE
Barley disease relentless As many barley growers will know to their cost, ramularia is on the rise and researchers worldwide are trying to work out why and what can be done to reduce its impact. Andrew Swallow reports.
S
eed-borne inoculum, fungicide resistant strains, co-hosts and a possible plant breeding side-effect are emerging as key factors in the relentless rise of a barley disease rarely reported before the 1990s. Ramularia collo-cygni, the fungus causing the disease generally referred to as ramularia or ramularia leaf spot (RLS), was first identified in Italy in the 1890s*. Recent retrospective DNA tests of archived seed samples from Rothamsted Research Station in the United Kingdom show it was also present there in the 19th century, though it wasn’t identified in crops at that time. Only in the 1990s and 2000s did the disease become widely reported across Europe. New Zealand’s first case was reported in 1983, North America’s in 1960, and South America’s in 1925, in Chile. Argentina and Uruguay didn’t report a case of ramularia until 2002 and 2001 respectively. Uruguay’s crops appear to be some of the hardest-hit by the disease. A scientific review paper* by Havis et al in 2015 notes yield loss estimates of up to 70% in epidemic years. While such losses haven’t been reported here, Plant & Food Research’s Soonie Chng says 30% yield reductions have been attributed to the disease, and some growers reckon they’ve seen worse. Chng was a speaker at the Foundation
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of Arable Research’s winter conference and relayed findings from two years of assessing cultivar performance trials (CPT) in Canterbury for the disease. “It’s often mistaken for physiological spotting,” she told delegates. To confirm if the small, reddish-brown rectangular lesions with a yellow margin on the upper surface of the leaf are indeed ramularia, you need to look on the underside of the leaf with a handlens, Dr Chng said.
If it is ramularia, there will be lines of white, snowflake-like spores. Rapid loss of green leaf area follows emergence of such symptoms and crops typically senesce within a fortnight, curtailing grain-fill with consequent yield loss. Awns and developing grains are also affected. Visual symptoms of the disease are usually seen shortly after flowering however it’s now known the fungus is present in affected plants much earlier,
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KEY POINTS
Plant & Food Research’s Rachael Warren and Soonie Chng in the lab with CPT barley samples for ramularia testing.
and in some cases is introduced by seed. An endophytic relationship with host plants has even been suggested. “We occasionally see it on seedlings at stem extension,” Chng noted at the FAR conference. Secondary infection also occurs, not only from spores released from barley growing from infected seed, but from infected co-hosts, which include wheat, rye, oats, ryegrass and couch grass (Agropyron repens).
‘We need at least another year of assessments to be more certain and we need to take into account seed-borne inoculums.’
Havis et al also note the likelihood of green bridge spread, from volunteers and/or autumn-sown crops to spring crops. Laboratory work has shown it takes at least two to four weeks from infection for visual symptoms to emerge, however, visual symptoms and consequent yield loss do not always occur, even in infected plants. “The disease usually remains asymptomatic until after the crop flowers,” Chng said. “Then lesions seem to appear if the crop is under stress.” Havis et al note prolonged leaf wetness and 5-15C temperatures favour spread and suggest leaf wetness at growth stage
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30-31 is one of the key factors in disease development. In the 2015/16 season Chng assessed irrigated CPT barley trials for ramularia at Temuka, Chertsey and Methven. There was no significant difference in symptom severity between treated and untreated trials, with 0-50% of leaf area affected, suggesting the triazole (DMI mode of action) and strobilurin (QoI mode of action) fungicides used were ineffective. Subsequently, grain from the trials was tested for ramularia inoculum and the fungus was found to be in all lines.
Ramularia – what we know: 99Caused by fungal pathogen Ramularia collo-cygni. 99Seed and wind dispersal. 99Multiple hosts including wheat, ryegrass and couch, but barley worst affected. 99Spread favoured by wet leaves. 99Green bridge spread from volunteers and early crops to later plantings. 99Latent period similar to Septoria tritici but may remain asymptomatic. 99Symptom exhibition stress related. 99Yield loss up to 70% seen overseas: 30% plus reported here. 99SDHI fungicides effective but resistance risk high.
“What was most interesting was the sprayed plots had higher [grain] inoculum concentration than the unsprayed plots, so the fungicides had reduced the other diseases, but not ramularia.” In 2016/17 CPT barleys, when an SDHI plus DMI fungicide combination was used on the treated plots, there was a 32-84% reduction in ramularia symptoms suggesting the SDHI chemistry applied at GS49-55 (awns visible to ear emergence) was effective on the disease. However, ramularia resistant to SDHIs was confirmed in Germany earlier this
MILDEW RESISTANCE IMPLICATED So what triggered the rise of ramularia from a rarely noticed fungus to one of the world’s worst barley pathogens? Havis et al’s review notes Danish studies of 75 cultivars early in ramularia’s rise, and subsequent studies, found ramularia-susceptibility correlated with mildew-resistance conferred by recessive alleles of the mlo genes. However, the strength of the effect varies with environment, location and genetic background. Sadras & Calderini report mildew resistance conferred by mlo genes was first observed in mutagenised barleys**. Triumph was one such variety which became hugely popular in both New Zealand and Europe in the late 1970s, however in 1983 it suffered a spectacular breakdown to powdery mildew. Breeders have since sought more-stable forms of mildew-resistance but recessive mlo alleles remain in many varieties today. Havis et al note there’s variation in susceptibility to ramularia even in cultivars not affected by mlo indicating resistance to ramularia is governed by many genes, ie: polygenic. That’s also supported by observations that ramularia-resistance is quantitative, not an on/off trait. As such, cultivars selected for ramularia-resistance are less likely to suffer a catastrophic breakdown to disease, as can happen with single-gene resistance such as mlo. They also note resistance to the fungus, and a cultivar’s likelihood of developing symptoms, are “at least partly under separate genetic control.” Hence selection for both may be important: true resistance helping reduce seed inoculum; symptomatic resistance reducing yield loss. ** Sadras & Calderini: Crop Physiology, Applications for Genetic Improvement and Agronomy, Academic Press, 2009.
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WHAT IS RAMULARIA
Ramularia symptoms are rarely seen before flowering, though infection occurs earlier in the season, or even with seed.
year so resistance is a real concern for control programmes here, she warns. In Europe, chlorothalonil provides an alternative mode of action however it is not approved for use on barley here. Inoculum tests on grain from the 2016/17 CPT plots are still underway. Triazoxide + tebuconazole seed treatment (as in Raxil S) has been shown to reduce ramularia in susceptible varieties, but not always (Havis et al). SDHI plus triticonazole seed Rob Craigie. treatments also reduced ramularia DNA in seed and seedlings but use of such treatments would require “careful stewardship” due to the risk of fungicideresistant strains emerging, they said. Chng told Country-Wide that seed treatments, including the SDHI Systiva (fluxapyroxad), haven’t been seen to offer ramularia control in the field here. In due course it’s hoped Chng’s work, which is funded by Plant & Food Research, FAR and the seed companies with barleys in CPT, will lead to cultivar resistance ratings. “We need at least another year of assessments to be more certain and we need to take into account seed-borne inoculum,” Chng said after the FAR conference. FAR’s Rob Craigie says part of the problem with producing resistance ratings for ramularia is allowing for the growth stage of the crop. “The breeders say that because it comes in as the crop senesces, early maturing varieties will show up with more
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Ramularia is the leaf-spotting disease caused by the fungus Ramularia collo-cygni. The collo-cygni part of the name means “swan neck”, referring to the distinctive shape of the spore, Chng explained to the FAR conference. The fungus is a member of the Mycosphaerellaceae family of fungi which includes well-known wheat pathogen Zymoseptoria tritici (the new name for Septoria tritici). Like septoria, ramularia has a long latent phase, typically two-four weeks, when the fungus is active inside leaves but no symptoms are visible externally. Whether or not symptoms become visible after that appears to depend on environmental stress and other factors.
ramularia on a given day but we can’t say that means it is more-susceptible than a later-maturing variety.” Fungicide controls should be based on SDHI chemistry, supported with a triazole. system (see main story) cultivar-resistance “We know prothioconazole to ramularia has been on the United is the stronger triazole on Kingdom’s Recommended List for spring barley but it depends which barleys since 2013. SDHI you’re using and Topping the 2017 UK Recommended what it is formulated with. List for yield and equal top for ramularia Adexar (fluxapyroxad + resistance is RGT Planet, which also epoxiconazole) has been a features in FAR’s recently released good product and the results 2016/2017 Spring Sown Wheat & Barley have been up there in trials.” Cultivar Evaluation booklet, as does Given the late emergence Scholar, another variety with eight out of the disease, fungicide at of nine rating for ramularia resistance in awns-emerging timing (GS49) the UK. appears to be the key timing, Other cultivars popular in New Zealand though Craigie notes the similarity with can be found in Recommended List septoria’s spread. archives. For example, the 2013 list “Like septoria, we know scored Sanette eight out of ramularia’s encouraged by wet nine for ramularia resistance, weather at stem extension so a the highest of the 23 cultivars season like last year can really listed, while Quench and lick that infection along.” Garner scored five. The lowest As for chlorothalonil, given score was three. the concerns about toxins in Plant & Food Research’s residues of crops treated with the Soonie Chng (see main story) fungicide, he’s not heard of any warns cultivar resistance Soonie Chng warns company interested in seeking ratings overseas won’t cultivar resistance ratings overseas to get their product approved for necessarily apply here because won’t necessarily use on barley here. the strains of disease present apply in NZ. “And I wouldn’t be surprised if may be different. at some stage it gets taken off the For example, the wheat market in the EU.” variety Claire was rated highly resistant to stripe rust in the UK until 2013, *Havis et al, Ramularia collo-cygni – but in NZ a strain of stripe rust An Emerging Pathogen of Barley Crops, developed that overcame the cultivar’s Phytopathology Vol 105, No. 7, 2015. resistance in 2005, rendering it highly susceptible to the disease thereafter, she explains. Resistance ratings While ramularia-resistance ratings are andrewswallow@clear.net.nz not yet part of FAR’s Cultivar Evaluation
Country-Wide September 2017
Fungicide resistance rising in European ramularia Senior Plant Pathologist at Scotland’s Rural College, SRUC, Dr Neil Havis, says fungicide resistance is the main development in ramularia since the 2015 review he co-authored in Phytopathology. “Mutations against SDHI’s were first picked up in Germany in 2015 but it appears they have spread and testing of 2016 isolates by Bayer in Germany and Denmark showed a significant shift in sensitivity to the SDHI’s and also the triazoles,” he says. Havis says Bayer’s tests on ramularia isolates from England and Ireland also indicate fungicide-sensitivity shifts, while SRUC’s testing in Scotland shows a gradual decline in triazole efficacy, and a more significant shift in sensitivity to the SDHIs. “In the UK we have been stressing to farmers the importance of including chlorothalonil in their T2 sprays.” In light of chlorothalonil not being registered for use on barley in New Zealand it could be important to know the resistance status of the pathogen in NZ, he suggests. In terms of cultivar resistance to the disease, for the first time later this year official ratings for winter cultivars will be included in the UK Recommended List. Spring cultivar ramularia resistance
ratings have been included since 2013. However, Havis notes varietal resistance to ramularia can break down. “Optic started as high/medium resistance but was down to a rating of four [out of nine] before it was taken off the Recommended List.” Fundamental research into the fungus is ongoing in Europe. The genome sequence has already been published and a Danish government-funded study is looking at ramularia’s interaction with host plants at a molecular level during symptom development. Meanwhile, SRUC is working to identify which ramularia genes are involved in toxin biosynthesis. “The hope is that it might give leads to breeders on markers for breeding and agrochemical companies for potential antifungal targets,” Havis says. Ramularia is normally more severe in the north of England and Scotland but this year there has been a lot further south where winter barley is more common. Havis suggests unusual spring weather and reduced activity of fungicides could be to blame.
Digital drives crop efficiency Sandra Taylor Arable farmers across the country are embracing digital technologies to drive crop yields and make effective use of their inputs. These farmers are practitioners of precision agriculture which identifies areas of variability within a paddock or crop and, using variable-rate technology, applies inputs to meet the specific requirements of soils and plants within a defined management zone. Ashburton arable farmer Eric Watson was, in 2009, one of the first farmers in the country to use variable-rate irrigation and more recently he has been using variable-rate technology to apply phosphate, lime and potash fertilisers. Intensive soil tests taken since adopting this technology has shown nutrient levels across the farm have become more even and this has resulted in saving in fertiliser costs, particularly phosphate, and higher and more consistent crop yields. Eric, who this year broke the world wheat yield record with a 16.79t/ha crop, credits variable rate fertiliser applications for helping generate such a high and even-yielding crop. Craige Mackenzie from Agri-Optics says electro-magnetic mapping identifies areas of variability within the soil profile and the information generated from these maps. Along with information from
Country-Wide September 2017
Software behind variable rate irrigation illustrates where the nozzles are turning off over areas where water is not wanted.
tools such as soil moisture monitors and hyperspectral imaging, it can be fed into variable rate irrigators, spreaders, sprayers and seeders. This ensures the right amount of water, nutrients, chemicals and seeds are going into the soil or crops to meet their exact requirements; no more and no less. He says these technologies are not only improving rapidly, they are also getting cheaper, and the challenge for farmers is turning data generated from sensors, applicators and monitors into
information that drives productivity, profitability, resource-use efficiency and environmental protection. He says there is a number of measuring, monitoring and sensing systems available and they all have their place. It’s about determining where they fit and how they are best used to meet specific requirements. For more information go to http://bit.ly/2vUdAgK.
More on digital technology p64
55
PLANT & MACHINERY | TRACTOR MAINTENANCE
Always pop the hood to check for bird’s nests, especially in the spring, before starting the engine.
Check, before you kick it in the guts... Karen Trebilcock
I
t could be your pride and joy, or it could be the boss’ pride and joy. Whichever, when it comes to looking after a tractor it’s up to the operator. Before jumping into the seat, there are a few things to check. Some of these are things you should be looking for whenever you climb into the cab, others take a bit more time and should be done on a regular basis depending on how many hours the tractor is doing and how long ago it was last used. Don’t assume the person before you checked the vitals such as oil and water when they last turned the key on. Start with the fluid levels – that includes the engine and transmission oil,
water and coolant, hydraulic fluid and fuel. Pull out the dip sticks and check the gauges and be aware that some loaders may have a separate oil reservoir. Also check underneath the tractor – can you see any fluid leaking or pooling on the ground? Check the tyres to make sure they are fully inflated and there are no cuts or breaks in the tread or the sidewalls. Make sure there is enough tread on the tyres, that none of the wheel nuts are missing and they are all tight. Rust weep can be a sign of loose nuts. Batteries should be securely held down, the connections should be clean, the casing undamaged and the electrolyte levels where they should be. Grease wheel bearings and other points as recommended in the tractor’s
Tractors which are classed as over dimension need flags, hazard warning panels and extra lights.
operating manual. Clean the grease nipples before greasing to stop dirt getting in and do not over-grease universal joints or sealed bearings as it will damage the seals. Check the wheels for free movement, alignment and that there is no sign of wheel bearing wear or obstruction. Check wheel cylinders and that there are no brake fluid leaks. Make sure brake pads, linings and brake fluid levels are fine. Check steering linkages, ball joints and sockets. Make sure the rubber boots covering the linkages are free from mud and there are no blockages or signs of wear or damage. Clean all steering hoses and inspect for scuff marks and leaks. Make sure all safety guards are in place
Make sure none of the wheel nuts are missing and they are all tight.
Check the oil before you start out for the day.
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Clean hydraulic hoses and fittings are a sign there are no leaks.
Make sure the steps into the cab are free of grease and dirt to stop slips and falls.
and are in good condition and the power take-off (PTO) guards are functional and there are no missing or broken pins or bolts in the PTO attachments. Drive belts should be in good condition and the tension meets the manufacturer’s specifications. Check fuel, air and oil filters have been cleaned and replaced also according to manufacturer’s specifications. Check there are no holes or corrosion in the exhaust and a spark arrester, if needed, has been fitted. Before getting into the tractor make sure the steps into the cab are free of any grease or mud as is the cab floor. Once inside, check the seat belt is working, the seat is adjusted to your height and that the windows are clean and there is good all-round visibility. When you turn the key on all of the consoles’ warning lights should flash until you engage the engine then only one should still be on which is the park brake light. With the engine idling, turn the steering wheel to make sure there is smooth movement from full left to full right and put your foot on the clutch to make sure there is adequate travel before resistance. Turn on all lights (field, head, tail and external warning lights) and then get out of the tractor to make sure they are
A fire extinguisher mounted in the cab ready for use if needed.
Country-Wide September 2017
working. Back in the cab, check the horn works and the mirrors are clean and set in the right place. Check there is nothing under the brake pedals (or under any of the pedals), and the brake pedals both lock together. Put the tractor in gear and release the park brake and once you are moving check the brakes are working.
Check under the hood before starting the tractor up, and if it is in spring, do it after lunch even if you have been working the tractor in the morning. Starlings and other birds like nothing better than to build a nest there against the engine and what they build their nests with is usually highly flammable.
Check the hydraulics by wiping all hoses and fitting surfaces with a clean rag with the engine off, restarting the tractor and cycle all the hydraulics until the oil reaches operation temperature, lower attachments to the ground then turn the engine off and check all the cleaned areas show no sign of dampness. Be careful not to place your hands around hoses or connections when they are under pressure. Check for excessive hydraulic creep by starting the tractor and lifting the bucket or attachment to its full height and then turn off the engine and watch how quickly the raised equipment drops and refer to the operating manual for drop rates. Make sure no one enters the drop area during this test. If the tractor is going on the road, make
sure it is registered, has a registration plate and the licence is up to date and it is the correct one. There are two options for tractors – one is conditional on the tractor’s on-road speed not exceeding 40km/h, the other is not limited to speed for tractors that are faster. For both the fee is paid annually with the limited speed a lot cheaper than the unlimited speed. The limited speed also does not require a Warrant of Fitness. However, if you get caught going over 40km/h and you have the limited licence, the fine can be hefty. Also make sure your own drivers licence has the right endorsements. The New Zealand Transport Agency (NZTA) website has all the information. Tractors classed as “overdimension” by the NZTA (again check on their website) will need flags, hazard warning panels and extra lights. Lastly, always check under the hood before starting the tractor up, and if it is in spring, do it after lunch even if you have been working the tractor in the morning. Starlings and other birds like nothing better than to build a nest there against the engine and what they build their nests with is usually highly flammable. Insurance companies will tell you a starling can build a nest in less than 20 minutes and birds’ nests are the leading cause of tractor fires. Always “stop and pop” before getting in the cab and keep a fire extinguisher in the cab just in case. Besides a fire extinguisher, it’s a good idea to also carry in the cab a first aid kit, personal protective clothing such as gloves and ear muffs and also reflective vests. A full maintenance checklist for tractors can be found on the WorkSafe website. • Karen Trebilcock is a Dairy exporter reporter based in Otago.
57
ENVIRONMENT | KELLOGG REPORT
Profits still there if going green Anne Hughes
S
pending $125,000 on environmental protection measures to reduce nitrogen (N) on a King Country livestock farm could be covered by generating greater profit from changing the farming system. Equity manager Dwayne Cowin participated in the Kellogg Leadership Programme last year, investigating if it is possible to enhance environmental protection on a farm without sacrificing profit. Cowin used Tetipu Farms – a 420-hectare effective sheep, beef and dairy support farm, in which he and wife Zara have a 20% shareholding – as a case study for his research. In his programme report, Cowin says he learnt that environmental protection is an extremely complex biological issue. It can also be an opportunity for a whole-farm review. Cowin concluded that in the case of Tetipu Farms, enhanced environmental protection could be funded by changing to a more profitable stock class on part of the farm. Tetipu Farms is 420ha (effective) made up of 178ha flat-to-rolling country and 233ha of steeper hill country. The farm’s balance of good land allows these changes whereas farmers on harder hill country would be limited. He found changing to a stock class mix that had a better fit to the farm’s annual pasture supply created a more biologically efficient farming system. Changing to a system with more sheep reduces nitrogen losses to water when measured through Overseer, but swapping female cattle for male cattle had little impact. Cowin says the limitations of Overseer should not be ignored. Some of the aspects it cannot measure are those that can have the biggest impact.
Summary comparison of policy and scenario changes Current Numbers
Change in Numbers
Scenario 1
Scenario 2
Scenario 3
Scenario 4
Scenario 5
300
300
131
131
131
131
126
85
Sheep 1033
Ewes
300
2th Ewes
0
Ewe Hoggets
867
Ewe Lambs
868
Ram Lambs
1828
Breeding Cattle 74
MA Cows
-74
20
2 yr old Heifers
-20
41
1 yr old Heifers
-41
Heifer Calves Heifer Calves 41
1 yr old Steers
231
Finishing Bulls 41
1 yr old Autumn Born Bulls
146
35
1 yr old Bulls
125
Dairy Heifers
-261
146
-261
125
108
73
-261
-261
-141
Change in Nutrient Status kg lost to water / ha / year 26
Nitrogen
-3
-6
0
-3
-2
1.5
Phosphorus
-0.1
-0.1
0
0
0
$41,442
$130,575
$138,587
$105,792
$121,505
$140,300
$121,140
$80,530
Change in Farm Profit $65,945
Increase over current system
$108,531
Additional Capital Required For capital stock purchases
$378,921
“Overseer does not have the ability to measure the effects of an implementation of a riparian management plan and other management practice changes, which influence phosphorus, sediment, and faecal bacteria runoff into waterways.” He described feed supply and demand on Tetipu as typical of most farms with a large dairy heifer grazing component. Supply far exceeds demand in spring,
then the opposite during summer and autumn until the dairy heifers are sent home in early May. Based on cents/kg drymatter (DM) consumed, bulls and dairy grazers were performing well, with the beef breeding herd performance average and lower in the sheep breeding. Cowin used Overseer for a wholefarm nutrient budget to set a baseline environmental output footprint, then
Tetipu Farms was used for a case study.
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Estimated one-off environmental protection costs for Tetipu Farms Riparian Management Site Preparation
Change in financial performance under Scenario 5 Compare Forecast Profit and Loss - Jul 16 - Jun 17
$ 360
Fencing
49,900
Planting
19,250
Subtotal
69,510
Sales - Purchases Sheep
Stock Exclusion Site Preparation
4800
Fencing
39,610
Subtotal
44,410
Revenue
Beef
Crop & Feed
Poplar Pole Planting Pole and Planting cost
6000
Subtotal
6000
Wages
4000
Labour cost
1000
Subtotal
5000
TOTAL ONE OFF COST
124,920
One off cost per hectare
297.43
One off cost per year
24,984
Stock Feed/Crop/ Grazing Fertiliser
(assuming 5 year implementation)
did a Land and Environment Plan (LEP) to set their environmental goals. “We wanted to see if we could make any physical changes to our Dwayne Cowin. farm system that would allow us to increase profit to cover the costs of the environmental protection, yet not increase our environmental footprint in terms of nutrient losses through Overseer.” Any changes also had to fit with the shareholders’ vision and long-term goals. With these factors in mind, Cowin analysed five different scenarios: 1. Removing breeding cows from the system, buy in yearling cattle to control spring feed; and replace dairy heifers with finishing bulls. 2. Replacing dairy heifers with a winter lamb finishing system. 3. Replacing dairy heifers with finishing bulls. 4. Replacing dairy heifers with finishing bulls; move from a terminal sire ewe flock to a self-replacing ewe flock. 5. Leaving some dairy heifers in the system, more finishing bulls, and selfreplacing ewe flock. All scenarios generated increased profit – from $41,442/year for scenario two, to $138,587/year for scenario four. “All of these scenarios are able to cover the $24,984 required annually over five years to implement the environmental protection enhancement changes set out Country-Wide September 2017
30,523
26,262
29,006
2744
0
-113
-113
179,478
33,154
304,307
166,906
Contract Grazing
173,080
78,811
-94,269
Total
310,481
383,119
72,638
Capital Value Change
38
38
0
Total
38
38
0
456,842
562,634
105,792
Wages
65,000
65,000
0
Animal Health
12,500
12,500
0
Shearing
15,000
15,000
0
8986
8986
0
Conservation Forage Crops
10,020
10,020
0
Fertiliser (Excl. N & Lime)
43,500
43,500
0
Nitrogen
30,061
30,061
0
6500
6500
0
10,000
10,000
0
7000
7000
0
Repairs & Maintenance
48,000
48,000
0
Freight & Cartage
2600
2600
0
Electricity
4380
4380
0
Other Expenses
6250
6250
0
Administration Expenses
5500
5500
0
Insurance
4250
4250
0
ACC Levies Rates
Total Farm Working Expense Depreciation Total Farm Expenses Total Farm Working Expense Other Expenses
150,585
137,401
Fuel
Standing Charges
120,062
146,323
Vehicle Expenses Other Farm Working
Difference
Total
Weed & Pest Control
Expenses
No Grazers sel replacing flock
Sales - Purchases
Total Revenue
Water System Upgrade Trough and Water pipe cost
Wool Capital Value Change
Base
Interest
Farm Profit before Tax Farm Profit per ha before Tax
1600
1600
0
16,750
16,750
0
297,897
297,897
0
15,000
15,000
0
312,897
312,897
0
143,945
249,738
105,792
78,000
78,000
0
65,945
171,738
105,792
157
409
252
EFS is a measure of farm business profitability independent of ownership or funding, used to compare performance between farms. EFS should include an adjustment for unpaid family labour and management. This can be added to the expense database as management wage.
in the developed Land and Environment Plan. “However, in order to achieve these increased profits, all of the scenarios analysed showed a requirement for additional capital funds in order for extra farm-owned stock to be purchased.” Cowin decided scenario five – leaving some dairy heifers in the system, more finishing bulls, and a self-replacing ewe flock – would be the best management, financial and environmental fit on Tetipu.
Cowin says environmental protection is a case of adapting and implementing changes best suited to the individual farm and farmer. In order to gain traction from case studies like this, a more collaborative approach between farmers, industry organisations, and regulatory bodies is needed to be able to tell the success stories in the industry. Read the full report, including analysis of the five farming scenarios at www.kellogg.org.nz 59
ENVIRONMENT | SCIENCE
When what appears as science is opinion Robert McBride Research scientists tend to be so conservative about conclusions that it is hard to get a straight answer from them. They may have been working in a specific area for decades, and will happily regale you with the results of specific studies, but try and get them to summarise their findings and you get, “well, the data suggests that it appears that it may possibly be the case (under the conditions of our experiments), however it is way too early to say with any certainty…” or something like that. Biological scientists, in particular, are very hesitant because there is so much variability in biological systems. The classic example in agricultural research is glasshouse experiments. It is quite common to get statistically significant results in the glasshouse, but when the experiments are repeated in the field there is no measurable difference. Research scientists then are very cautious about making claims based on glasshouse results, as they should be. Even commercial scientists getting paid to make claims about new plant varieties or pesticides will qualify their results and say “based on two years’ trial data at three locations” or whatever, because they consider their results to be an indication of the likely differences, not irrefutable fact. Scientists have to be open-minded and objective and pursue avenues based on the best information. New knowledge is disseminated primarily through papers in scientific journals. Papers are thoroughly questioned by experts in the field before publication and include a review of previous research upon which they are based. Quality control is quite high, because it has to be for science to progress. Contrast this with what we see in the news; claims made with absolute certainty about extremely complex systems. Almost daily we are regaled by “scientists” telling us that they know for a fact, not only the exact state of the country’s waterways, for example, 60
(poor and getting poorer), but the cause of the degradation (cows), the future (imminent doom), and the solution (more regulations). What we are seeing presented as science, is not science; it is at best opinion, and its purpose is to influence rather than enlighten. When you see people in the news claiming to be scientists, ask: • Are they being objective? • Are they claiming that what they are saying is irrefutable fact? • Do they have any actual data to back up their claims? • Has that data been scrutinised by other scientists?’ If the answer to any of these questions is “no”, do not accept them as experts or their statements as valid, because scientists wouldn’t.
If the answer to any of these questions is “no”, do not accept them as experts or their statements as valid, because scientists wouldn’t.
In science, models are used when taking actual measurements is difficult or impractical. Nitrogen (N) levels for example are problematic. Measuring N in soils is a challenge in that N rapidly goes through transformations before the samples can be analysed. Similarly, in surface waters N levels are constantly changing in response to environmental conditions. Measuring N movement in subsurface waters requires a thorough understanding of the hydrology, which tends to be a difficult and complex task. It is therefore easier and less-expensive to estimate N levels and losses using a model. However, the results from measuring and modelling are not equivalent.
In areas such as water quality what we are seeing presented as science, is not science. It is at best opinion and its purpose is to influence rather than enlighten.
The degree of accuracy for a given measurement is known, with modelling it is not. Models are (or should be) evaluated for accuracy, but any given simulation is only as good as the model and the inputs. In science the predictions from model simulations are treated very differently than actual measurements, in politics this distinction increasingly does not exist. The case for increasing atmospheric carbon dioxide levels causing an increase in global temperature for example is based entirely on modelling. The results of the climate simulations are treated as fact despite being in conflict with measurements. Climate change, like most environmental issues, is far more politics than science, and water quality in New Zealand is no different. The Overseer model is the subject of much debate, and farmers often ask if the predicted nitrate leaching is accurate. The answer is “no”. Overseer is a model making predictions based on simulations. To be accurate would require a tremendous amount of complex measuring. Overseer is a reasonably robust model, and its predictions, like the hypothetical temperature model, are probably in the neighbourhood much of the time, making it a useful tool if you understand its limitations. Overseer is just one simulation in a long string of modelled predictions that, much like the climate change models, are accepted as unequivocal proof that doom is eminent when in fact the degree of accuracy of any specific situation is unknown. Modelled predictions are not measurements and at best should be looked upon as being in the neighbourhood some of the time. • Robert McBride is a soil scientist and consultant for Agknowledge based in Gore. Country-Wide September 2017
ENVIRONMENT | NO-TILLAGE
Parking the plough Sheryl Brown The environmental impact of cropping is under the microscope and cultivation techniques could be a key part to more sustainable practice as well as profitability, research and extension team leader at Foundation for Arable Research (FAR) Allister Holmes says. “For example, no-tillage or strip-tillage cultivation reduces the risk of sediment going into waterways. If you plough and cultivate up to the edge of drains, some soil will enter the waterway and if it rains you get more sediment runoff. With no tillage you highly reduce soil disturbance. With strip-tillage you get a bit of both, but you get a catch zone of uncultivated soil in the paddocks adjacent to where the soil was cultivated.”
‘Yes you rely on the herbicide spray, but you’re not disturbing the soil and creating a soil bed for weeds to take over.’
There were many benefits from decreasing cultivation, including reduced crop establishment costs, retention of soil moisture, improved soil structure, less soil organic matter (carbon) loss, reduced soil erosion and the limiting of soil compaction. However, despite these known benefits, there had been limited uptake by farmers in NZ. Traditionally a lot of people thought Cultivated soil (right) has less carbon, organic matter and structure than planting with no-tillage.
Country-Wide September 2017
no-tillage was ugly, but there was no money in cultivating a seed bed just to be pretty, Holmes said. Many farmers also used cultivation to fix contour or pugging in paddocks. Farmers had to factor in that there might be a benefit to putting cows on to a forage crop, but if it was wet and they made a mess there would be a cost. “It’s a quantum change, it’s a shift in mindset. It’s about what fits your system. I can understand no-tillage being a big jump for farmers, but with strip-tillage you get a combination of both worlds.” Areas such as Waikato where the soils were so resilient and tolerant meant farmers and growers had been able to get away with a lot of cultivation. But there was a cost every time a paddock was cultivated. Soils lost carbon, organic matter and structure. When farmers had decided to try no cultivation they often had got poor results, due to poor understating and technology, but the technology and understanding was now getting better. The benefits of no-tillage wouldn’t become apparent in just a year either and farmers would need to be persistent. Any paddocks that had been cultivated in the past would have some form of compaction, which would begin to be alleviated after a few years of no-tillage or strip-tillage. The soil would have a moreporous structure, even at depth, after a few seasons which would help deep-root plants establish. If farmers went down the path of no-tillage or strip-tillage they had to ensure they had chemical weed and slug control. “Yes you rely on the herbicide spray, but you’re not disturbing the soil and creating a soil bed for weeds to take over.” The best way for farmers to see what was happening to their soil was to go and look at it more regularly, Holmes said. “I always say the best thing to put on your paddock is your feet. “Soil is essential. It’s what we grow our crops in and sometimes we take it for granted.” The Visual Soil Assessment Field Guide was a great tool to use, he said. To find the guide visit www.landcarereserach.co.nz
Allister Holmes – decreasing cultivation has an environmental benefit.
CULTIVATION TRIAL A FAR long-term trial compared the effect of conventional-tillage, strip-tillage and direct-drilling on the establishment and subsequent crop performance and profitability of maize, and looked at the long-term effects on soil conditions. The trial started in 2008 and had seven years of data before having to change location after the Waikato Expressway was developed through some of the FAR land at the Northern Crop Research Site (NCRS) between Hamilton and Cambridge. The seven years of data showed no significant difference in yield between cultivation and no cultivation, but significantly reduced cost of crop establishment. (See Table 1). The trial was re-established in a new location at NCRS and was now in its third season. sheryl.brown@nzfarmlife.co.nz • First published in the NZ Dairy Exporter, March 2017.
TABLE 1: YIELD VS. COST Yield (t/ ha at 14% DM)
Cost of cultivation & Planting ($/ha)
Full cultivation
11.8
$500
Strip till
11.2
$360
Direct drill
12
$150
TABLE 2: SOIL PHYSICAL PROPERTIES Bulk density (kg/l)
Soil carbon (kg/m2)
Full cultivation
0.81
4.38
Strip till
0.88
$5.53
Direct drill
0.90
5.89
Adjacent pasture
0.77
6.41
61
ENVIRONMENT | IRRIGATION
Even the best-designed and well-operated centre pivot irrigator is not 100% efficient.
Ecan’s Farm Portal flawed
Keri Johnstone
What a horribly wet month we have had (and yes, I know its winter), but despite the weather it has been an eventful month. The Selwyn River began flowing for its entire length for the first time in years, which has seen many jump for joy (no pun intended, Mike Joy), regardless of how short-lived this phenomenon might be. Hopefully, too, all that rain will be recharging our aquifers. So, what else has the month brought us here in Canterbury? Decisions on Plan Change 5 (PC5) to Canterbury’s Land and Water Regional Plan were released at the end of June, 2017. PC5 was to bring into regulation good management practice, or GMP. Eight parties have appealed this, mostly in relation to the Farm Portal (the online tool that will be used to determine whether you are farming at GMP or not), and how irrigation management and fertiliser is treated by the Farm Portal. I am not familiar with the issues Anybody that has irrigation onfarm is highly unlikely to meet good management practice as determined by the Farm Portal.
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relating to fertiliser, but the irrigation aspect of the Farm Portal is flawed. The Farm Portal assumes that irrigation is 100% efficient. It’s not. Even the best-designed and well-operated centre pivot irrigator is not 100% efficient. So, what does this mean? Well, it means that anybody that has irrigation onfarm is highly unlikely to meet GMP as determined by the Farm Portal. To meet this unrealistically high standard, farmers would be forced to upgrade irrigation systems, and for many there is a significant cost to this. GMP at its core is about “doing the best with what you have got”, and the failure of the commissioners hearing Plan Change 5 to acknowledge this and take into consideration the requests by industry to change the Farm Portal is a massive failing with unintended consequences for PC5. Because of the appeals, PC5 is not likely to be operative before the end of 2017. We are also starting to get to the business end of the Healthy Catchments Project. This is the sub-regional planning
process for the area south of the Rangitata River to south of the Pareora River and everywhere in between (known as the OTOP zone). What is known as the “solutions package” is to be determined by September, 2017 (and that is now only a month away). The solutions package comprises recommendations on how to manage the water resources of the OTOP zone and will form the basis of the subregional plan, and another plan change to the Canterbury Land and Water Regional Plan. I have been actively involved in this process in the past month, both professionally as well as helping my local catchment group prepare a presentation to the OTOP zone committee on what it would like to see in the solutions package. On this front, it has been a month of sheer frustration – chocolate might be off the menu, but plenty of wine has been consumed in attempts to ease the stress levels. At this stage of the process, the science is still not right (or not done at all), allocation figures are incorrect, and there is still a huge lack of comprehension generally about this process and the ramifications it could have. There is an expectation that the OTOP zone committee adopts a solutions package based on incomplete science and on the ideals of the catchment groups that exist in the OTOP zone, many of whom still believe that no change to the status quo is needed, failing to understand that status quo is simply not an acceptable option (whether rightly or wrongly). So, as August begins, I am hoping for a quieter month, with plenty of sunshine to dry out the place, and even though less wine should probably also be on the cards, that just doesn’t seem right. Country-Wide September 2017
ENVIRONMENT | FORESTRY
The ugly side of big and beautiful Denis Hocking Size isn’t everything, as the saying goes, but increasing size has been a feature of forestry harvesting machinery during recent years, just as in agriculture. Big harvesting machinery and the general mechanisation of forest harvesting does have implications for farm foresters. I well remember the days when the harvesting contractor drove the skidder and the loader along the road from the last job and a hectare plantation was a perfectly manageable harvest. Today the machinery usually arrives on large and expensive transporters with the added problem that standard 3.6m gateways are often too narrow for the excavators that either carry the harvesting/processing heads or do the skid site work. The drivers are the same as in agriculture – bigger gear allows for economies of scale and higher productivity. In addition, we seem to have seen the same trend as in agriculture with the demise of the small “Dad and Dave”-style contractors in favour of larger, more capital intensive, operators. Health and safety regulations, with their greater demands on contractor time and planning, have also been a factor. It has long been recognised that hauler harvesting with the more complicated machinery and setup requirements requires scale to justify moving and setting up all the machinery and skid site(s). Increasingly, ground-based systems also need scale. I have already heard of contractors who are not interested in jobs under 25ha and, sadly, the fates of small blocks are becoming
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more uncertain. A good, easily accessible 1ha plantation carrying 400-500 tonnes (= cubic metres), of logs might have a quoted harvesting cost of $25/tonne. If the cost of assembling the gear is $3000-plus, with a day to set things up and another day or two to load out and tidy up for perhaps only one or two days of full-on harvesting, then inevitably the effective harvesting cost will be a lot higher. And that assumes that you can get the crew to visit your block rather than moving straight on to a larger and, for them, more profitable block. Naturally your chances are better during a market downturn when crews are looking for work rather than in boom periods with high log prices. The best insurance here is either to have good-quality logs that can stand the higher costs, or perhaps work in with near neighbours to get some of those economies of scale. To illustrate the point, I understand the lowest, recent harvesting rate round here was also the most profitable for the contractors – a large job deforesting part of Santoft forest on easy sand country. This is not the only consequence of bigger machinery that worries me. Production thinning can be a useful management option for accessible
Big harvesting machinery and mechanisation of forest harvesting has implications for farm foresters.
woodlots, giving you an early cashflow and a better quality stand – bigger diameter, better form trees without losing control of branch size. Production thinning is best done with small gear, not these new behemoths. I had several blocks production thinned last summer and discussed the “big machinery syndrome” with the contractor. He pointed out that what looked to me to be a big skidder was actually the smallest “grapple” skidder on the market. (Grapple skidders have the ability to grab a bundle of logs rather than individually roping up each log as is required for a winch skidder, saving time and lifting productivity). I still believe this machine was really too big for the job, with a lot of ground and soil disturbance. There were once several crews round here specialising in production thinning, but as they have retired no one has stepped in to fill that niche. Most contractors want to focus on the more reliable, clear-fell work and equip themselves accordingly. The fact that production thinning is not a common feature of corporate forestry management probably further detracts from specialising in the option, though I should add that the corporate, sandcountry forests are generally production thinned. We aren’t going to reverse the big trends any time soon, but I think the case for small woodlot harvesting and production thinning does need to be made. The Forest Growers Levy Trust is funding significant research on harvesting, but mainly for steep hill country. However, small woodlot harvesting is in their research portfolio, and needs to be kept there, with production thinning to keep it company. Probably the place to look for machinery and technology appropriate for these jobs is Europe and especially Scandinavia, which has a lot of forestry on a similar scale to our farm forestry scene along with a lot of innovative machinery. It would be great to see more of this trialled in New Zealand.
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TECHNOLOGY | CELLPHONES
Time for a clean-up Alan Royal Phones can get slow. They have limited storage space. They need a spring clean. In fact, they need more than spring cleaning. They need regular cleaning. What I will describe is applicable to the Android phone. Note that the wording I use may differ between brands. Before starting a description of how to clean your phone I suggest you get the full manual for your phone. Go to Settings (the cog wheel) on your phone Near the bottom of the opened page click ‘About device’ (or similar), find the Device name and add it to a Google search, followed by the word manual. You can download the manual to your phone or computer. In some of the newer phones the manual is available in the settings right above the ‘About device’ link. Now for the detail! ‘Apps’ are constantly ‘caching’ or storing pieces of data. Cached data will both slow your phone and reduce storage space. To remove cached data, go to Settings/Storage/Cached data. Click OK to remove. Uninstall unused or unnecessary applications. Many of these have been put there by you, the manufacturer or your ISP. They take up your limited storage space and slow your phone. To remove these apps, go to Settings/ Applications and click on each of these in turn to uninstall. You can see how much storage space an app takes. Note that essential apps cannot be uninstalled. If you have added an external storage SD card (a good choice), you may be able to store data on that card instead of your limited, built in phone storage. Check this choice by clicking the storage options in the 64
particular application screen. Note – using ‘tap and hold down’ on a screen app icon and dragging to the ‘Remove’ box at the top of the screen does not remove the app from the phone – it only removes the icon from the screen. Swipe your finger down once from the top of the home screen to view notifications. They take up storage space. They can bring your phone to a standstill, if not turned off or limited. Control them in Settings/Notifications. Animations can make your phone look like slow motion video. If the animations are slow, turning them off will make them look better and free up processing power. Turn them off by going to Settings/About device/Developer options (if you cannot see Developer options, tap the Build number 7 times for it to appear on the Settings list. In the Developer options, you will see three headings with the word ‘animation’. Turn them all off. Photos kill storage space. I am an avid user of the camera. I keep very few
Phones need regular cleaning.
photos on the phone. You can store your photos, for free, with no space limitation, in Google Photos (bit.ly/ googlephotoshelp) on Google Drive. You need a Google account (bit.ly/ getgoogleaccount). Once you have this account you can set it to automatically add all your phone Gallery photos to Google Photos in the cloud. You can then delete those on your phone and free storage space. I have every photo I have taken since 2008 stored automatically on Google Photos at no cost, and accessible from anywhere I have internet access. Most Android owners use the Chrome browser. Data Saver in Chrome for Android allows Google to compress pages you are viewing, less data usage and faster browsing. Open the Chrome browser and tap the three dots in the top right of the screen. Select Settings. Click Data Saver. Turn it on. • For a copy of this article, with active links, email Alan Royal at a.royal@paradise.net.nz.
Photos kill storage space.
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TECHNOLOGY | PROMOTION
The power of video Kirstin Mills If you want to promote a business or an industry, think about the power of video. It could work for publicising the farmstay part of your business, searching for tricky-to-find staff, or you could take an industry-wide focus and answer critics of dairying and its impact on the environment. Because smartphones have decent video cameras built in, and because editing apps are free (or low-cost), it’s not hard technically to make a video. Gaining engagement is another matter. Firstly, you need to identify your audience. What do they want and what do you want from them? Where those two things intersect is your sweet spot. Do you want to attract visitors, make money from selling your specialist knowledge or goods, attract staff, or just promote the industry you love? Once you know what you want to do, search on YouTube to check out the competition. Some searches have more competition than others. For example, if you have a child, you’ll know of the making slime craze that’s messing up kitchens everywhere. Search for “how to make slime” on YouTube and you’ll get a whopping 10,900,000 results. What you may not notice is that some people are monetising their videos. The second top result is from a woman including a link where people can buy her slime. She figured out what her audience wanted (how to make slime),
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but she’s not doing it out of the goodness of her heart. She is making money off sales and creating a community she can use later. Keep this in mind. If you want to promote your farmstay, show something unique, funny or interesting. Are guests involved in some of the farm work? If so, show some of them having fun. Or maybe share some tips about farm life, a family recipe, or how you make the mead you sell. For videos to promote your farm to potential staff, have your staff talking about how rewarding it is. For the promotion of farming, you could inject humour and play with people’s expectations. They think they are seeing one thing (a glass of discoloured liquid from a river and a glass of clear water from the tap) before you reveal something else (the glass of brown liquid is chocolate milk or rum; the “tap” water you’ve been drinking while making the video is from the river). Whatever you do, keep it short – no one is going to watch a 40-minute video about how great your farmstay is, but they might watch a two-minute video of a guest laughing while your cat plays with a lamb. Have a call to action at the end of the video. If you have a website and have shown a recipe during the video, get viewers to click on a link to your site where they can print the recipe. You can also then get their email address to use later. Also ask people to subscribe, comment or “like” – the more engagement your video receives, the higher up the ranking it will be. Most people don’t think of YouTube as a search engine, but it is. Because of this, make sure you put a decent
amount of text in the description so YouTube knows what your video is about. Use relevant keywords in your text that people might be searching on (eg dairy farm, jobs, Southland). Transcribing videos is time-consuming, but worthwhile if you can. Share your video on social media – Facebook, Twitter, Snapchat, Instagram and even LinkedIn can be good. Just keep in mind people are more likely to click on it, and share, if they get something out of it, whether that’s learning something or just being entertained. If you get comments, take a note of any questions for future video ideas and if you decide to make videos regularly, do so consistently. It doesn’t have to be every day, but if you decide on once a month, keep to that. 65
TECHNOLOGY | DATA
Jared Whittfield has invested in technologies to help him monitor and maximise his dairy business.
App’titude for tech Jackie Harrigan Foxton dairy farmer Jared Whittfield has always seen the value in using technology and thinks its a no-brainier to make his farming more efficient through using it. And in Jared’s case its been a happy circumstance of the clever technologies in the dairy shed working so well that he doesn’t see the need to go to the expense of investing in a big flash new rotary dairy. “The technology helps with the shed that’s not really built for a herd of 1000 cows.” He explained that the shed is only 40-aside herringbone but that its well set up and works really well in terms of having the right yard size, well planned lanes and the feed pad and loafing pad nearby so that it all flows really well. And now with the technology we have lots of labour efficiency.” “A new 80bale rotary would cost me a couple of million, and honestly, I’m getting a bit perverse about spending that sort of money on a shed. I would rather have an extra labour unit and another man on the ground. “ “Another reason for keeping this shed is that I think we are on the cusp of some really cool stuff in farm automation and I think I would rather sit back and let it play out and see what they come up with.” Jared is watching with interest the developments in in-bale automation and 66
Farm facts • Whittfield farm, Milking platform: 250ha Moutua Basin, Foxton, Runoff block 120ha Pahiatua • Cows: 1050 peak milked Friesian cows, supplying Open Country, 400 winter milkers • Split calving: 1/3 autumn, 2/3 spring • Target: 2017/18 500kg MS/cow, 2016/17 480kg MS/cow • Whittfield family: Jared and Francine ,(managers), Chris and Maxine Whittfield • Farm team: John Mark, 2IC, Romu Aldo, Marcello Brione, summer student, soon welcoming two new Filipino farm assistants. • Irrigation: 5 centre pivots • Supplement used: 1000 tonnes, 4T/ ha (20%), homegrown maize silage, PKE, small amount of dried distillers grain, other stuff to balance the ration.
robotics and thinks he might be able to leapfrog the need for a huge investment in concrete and steel in favour of a development around electronics and monitoring. On the free-draining Parewanui silt loam lying in the basin flanked by the Manawatu River the Whittfield family has built up from a 50ha ballot farm his parents bought in 1984. Jared joined them fresh from university armed with
a business and finance degree in 2000 when the farm had been expanded to 80ha. Since then the family have increased the landholding to the current 250ha by buying up neighbouring properties. Jared installed the first technology in 2005 when he started with the basic Protrack system that he has enhanced with add-ons ever since. He says they have always used the MINDA and LIC database and Protrack makes it easy for all the farm staff. “Its an unbelievable system, I don’t know how anyone farms without it.”
CELL COUNT MONITORING The ADF cups apply teat spray and rinse the cups out between each cow. Every third set of cups is fitted with the Cell Sense Protrack 3G system to monitor somatic cell counts. Jared sets the threshold at 400 above which the unit flashes lights as an alert. An orange light is a minor alert, and is simply recorded against the cows number electronically on an iPod or Smartphone. A red light means the level is above the threshold of 400 and the staff check that cow to see if the infection is clinical. The alert is also recorded against her number in Protrack so the cow can be checked at the next milking and if need be she is automatically drafted out at the exit race for treatment. The system helps keep the rates of mastitis very low in the herd and Jared says the real benefit is finding any raised Country-Wide September 2017
cell counts so early, before the infection is clinical so they can be treated and minimize damage to the cows udders. “When you find the infection so early you can choose the amount and type of treatment to use, so we are using fewer and cheaper antibiotics, which will be good in the future when the squeeze comes on antibiotic usage,” Jared said. Recording all the alerts against the cows records means a picture is built up of each cow over the season which also helps with culling decisions. While Jared doesn’t do any herd testing, he has been contemplating getting a yield testing module to fit on the Cell Sense monitors as he says it would be useful to know the levels of production from each cow. The drafting exit race has a cover over it with a body condition scoring camera inside it that Jared uses to collect herd management data on the year round milking farm where he runs three herds split on a body condition score basis. “I’m all about the herd as a whole, not individual cows – I know the overseas way is to drill down into per cow production but I am all about the herd.” Jared’s cows are fed on pasture and maize and PKE on the feedpad depending on their BCS status. The BCS camera is set up through Protrack to score and record each cow on a daily basis, which Jared says is great to understand trends. “We dry our cows off 40 at a time, the system makes it so easy to find the cows that are 4.6 BCS or higher and they get 42 days of dry period before calving. I have a formula to add days on for lower condition score cows, if they are only BCS 3.5 they might get 100 dry days so that we can get them up to calving condition of BCS5,” Jared said.
the cows love the 40000m2 gravel-based bark topped pad and sleep there happily during the winter when they are stood off wet pastures and move between the feedpad and the loafing pad. “We can winter up to 600 dry cows on there – they are happy as to eat on the feed pad and lie down and sleep on the loafing pad and its much better for adding body condition score.”
HEAT DETECTION
Levno dashboard : easy to follow, sends alerts, and has already alerted him to a chiller outage that saved a vat full of milk.
As the cows walk through the hood above the exit race the camera takes a 3D image of the cows back – capturing an image of the amount of fat covering the loin, rump, tail head, hooks, pins and short ribs and it uses the data to score the BCS of the cow. The Protrack system then picks up the cows identification and uses the parameters set in the system to draft her off into the holding pen if she meets the criteria. Jared changes the parameters so that he maintains the three herds at the right numbers and can regulate their intake depending on their BCS and feed demands – whether dry or lactating. “One herd of the highest BCS dry cows are not receiving any extra supplement at the moment as they are fat enough and ready for calving.” Jared makes good use of his feed pad and new wood chip loafing pad, saying
Under the Protrack cover are cameras for tracking body condition score and mating for automatic drafting of cycling cows for insemination.
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The other piece of kit in the Protrack hood is the EZ Heat heat detection camera, which Jared’s Filipino staff find great to use. Each cow walks under the heat detection camera and it takes 400 milliseconds to decide whether or not the cow is on heat, based on the heat detection pad. Jared says the system works really well and its like having another person in the shed but it also has a built in default setting to be safe. “If it hasn’t made a decision in the 400 milliseconds, it takes 20 more milliseconds to default to a draft position, and then the staff can check later whether or not to inseminate.” If the patch is missing the system autodrafts the cow also to be safe, as it is likely to have been rubbed off during cycling. Installing the system has improved their total in-calf rate and he is happy with the 72% 6-week in-calf rate achieved with no CIDRs. He used LIC semen and has a short mating policy for the split calving property, with AI for 6 weeks in the spring and then 5 weeks in the autumn. “Its quite an efficient system because if the cow misses getting in calf in spring we can milk her through and mate her in the winter for the following autumn calving. But we have a very small number of cows who miss conceiving across a year.” He uses LIC semen split into the top half of the cows getting high merit Friesian bulls and the bottom half inseminated with beef semen. “We have been doing short matings for a long time, and it makes it very easy to plan and we can book holidays in that time between mating and getting the maize planted.” Bobby calves are not a feature of the system, with all excess bull calves and beef bulls and heifers sold at four days to a calfrearing friend, and keeping on a few beefies for home reared beef. “We made $300/calf for whitefaced calves in autumn and $270-280 for the rest.” Only the heifers grown out on the runoff at Pahiatua are naturally mated, to low birth weight Seven Hills Angus yearling bulls. 67
John Mark 2IC and Jared Whittfield discuss rations by the Strautmann Hopkins mixer and feeder wagon.
At the nerve centre in the dairy shed, the Protrack display screen.
WATERWORKS The technology doesn’t stop in the cow shed; it has reached around the farm. A weather station from Harvest Electronics monitors the weather for Jared and delivers real time data through a cloudbased application Jared can access on his phone dashboard. Soil temperature data is used to time urea application and soil moisture probes at 100ml and 300ml deliver data on feild capacity and stress point. Irrigating 200ha, the application of water is dependent on the information from the soil probes and the rainfall and evapotranspiration data from the weather station and is controlled by Scada Farm technology turning the pivots on and off and stopping them at certain points. “We try to leave some capacity there and operate the irrigators lower so we are not wasting the rainfall.” Pumps on the farm are alarmed and send alerts if they trip out.
COOL STUFF The Whittfields have used snapchilling technology for the past 10 years and were meeting the new targets set by MPI for milk cooling but Jared has had installed a Levno system to monitor temperatures, volumes and activity in the milk vats. The system tracks the temperature of the milk as it hits the vat and through the chilling process and it sends alerts if a
number of preset thresholds are not met. “Its been really handy to have installed in case of a cooler malfunction, you know about it straight way and can do something about it before it threatens to damage any milk.” Volumes levels and stirrer agitation are also monitored. A similar volume measuring system sits on the fuel tanks to track usage. “The interface is really quick and easy to understand and I can set alerts for any number of things and opt to get an email or a text message.” Pumps around the farm are also alarmed and send an alert if they are tripped out.
TECHIE TEAM The Whittfield family’s Foxton farm has been home to a workforce from the Philippines for the past nine years and Jared says they are a great team. He is expecting two new Filipino’s to arrive from the agency CCR for this season and while the new ones have been generally dairy farming in the Middle East so will have experience of aspects of dairy farming, the first team members arrived raw from the Philippines but with a great work ethic. The staff have also been very quick to pick up and use the techy systems that Jared has in the farm dairy and on the farm.
The dry cows on the feedpad from the lower BCS group are on a ration to build up condition ration prior to calving.
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JARED’S TECHNO WISHLIST: • In-bail cow electronic identification for herringbone dairy sheds • Satellite pasture mass scoring from low-level satellites “The staff love the in-shed systems, the ADF cups, EZHeat and Protrack and cell sense – the systems all makes their lives simpler once they get to know it and learn how to run it.” Jared speaks highly of his migrant workforce, the more senior two of whom are now New Zealand residents. “We were able to help both John Mark, our 2IC, and Romu Aldo to get their residency. It used to be relatively simple, but it’s a real minefield of paperwork now just to get a work visa – we have to get an agent to do it. “But we can still get workers into the country because we pay reasonable wages.” With cheap living costs both men have sent money home to their extended families, one investing in land there to possibly retire back to and the other building houses and shops for family members to start their own businesses. “They can’t believe the level of social support we have here in New Zealand.” Sadly, when Jared tries to find local Kiwis to hire, the phone doesn’t ring despite advertising on TradeMe jobs and asking the local WINZ office for referrals. “I am really happy with our Filipino team, they all have similar belief systems and they fit into the farm and the community well and are happy to stay once they are trained up. I can go away and feel happy that they’ll cope and now we are all set up they can go home for an extended period and the rest of the team cover them.” • This article is from the August 2017 edition of the NZ Dairy Exporter’s special report Embracing Technology. Country-Wide September 2017
WORK HARD, PLAY HARDER
Taking cover with insurance p72
Australia
calls
New Zealan d fa for their pa rm employees are bei sture mana gement and ng targeted grazing exp ertise. p70 intensive
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STAFF Words by Anne Hughes
Crossing ditch for the work
Australia is an attractive place to look for farm jobs and for a holiday.
N
ew Zealand farm employees are being targeted for their pasture management and intensive grazing expertise. John Fegan says until recently, it has not been common for Australian sheep and beef farmers to recruit Kiwi staff. Fegan is a recruitment specialist with Waikato-based Fegan and Co. After 23 years in the recruitment field, he has only started to recruit in NZ for the Australian sheep and beef industry in the past three. Those looking to NZ to recruit staff are generally more intensive farmers, seeking staff with proven pasture management skills. Australian farm employers are also attracted by the attitude and ethics of New Zealanders, Fegan says. He recently recruited a sheep manager for a large Western Australian sheep and cropping farm. WA typically attracts people with an interest in driving machinery, due to the predominance of cropping farms and the large numbers of people employed to drive big trucks and diggers in the mines. Fegan says it is really hard to get specialist stock operators in Western Australia. “My observation of New Zealand farmers is that they are sheep and beef farmers because they love working with animals,” Fegan says. “It’s not just about being a job, it’s a real career path.” The company was recently looking at an
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opportunity to recruit a stock manager within NZ for a half a million acre farm. The farm, in northern WA, has 800ha under irrigation and plans to increase the irrigated area to 1500ha, primarily for beef finishing. The client wanted the position advertised exclusively within NZ. Fegan says the ideal candidate would have centre pivot irrigation Kiwis have experience and someone with a but intensi lways been attract ed to Aust ve farmin these skills would very likely have ralia’s exte g operatio ns are de sperate fo nsive farming worked in Canterbury. r skilled st aff. “A dairy farmer would have the “Some have been right pasture management skills. Instead of there already and like the place and converting grass to milk they’re converting see it is an opportunity for adventure or grass to meat. career advancement.” “They could also have heifer-grazing Aussie sheep and beef farms pay up to 15% experience or even large-scale lamb finishing.” more than in NZ, especially in WA where New Zealanders are attracted to these salaries have been pushed up by competitive opportunities across the ditch. pay in mining. Fegan says the positions he advertised have Dairy sector pay is about 10% more than been receiving up to 60 applicants. in NZ. A video he took of a sheep farm that was While these employers seek specific skill recruiting in NZ was viewed 150 times by sets from NZ, they do not necessarily want people who followed the link from the job someone to farm exclusively the NZ way. advertisement. “You have to keep some of the components He says Australians recruiting in NZ tend of Australian farming and infuse some of the to be more innovative farmers and better New Zealand components. quality employers. “They’re looking to modify and improve Apart from the opportunity to work their systems, not make wholesale changes. for such employers, Australia offers a “Take the best of what we do – pasture farming experience on a much larger management – and the best out of what they scale, international experience, an overseas do, which is hard feed.” adventure and higher pay.
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Tooraweenah Pastoral Company farms 15,000 Merino breeding ewes alongside a large cropping operation on 12,000ha.
farms 60km The Tooraweenah Pastoral Company alia. from Albany, southern Western Austr
Fegan says hard feed is very cheap in Australia, where pastures can go from surplus to deficit very quickly, just as conditions can quickly go from dry to wet or vice versa. “They need a buffer to cope with that and reaction times tend to be a lot quicker.” In the event of unseasonal rain – farmers have to react quickly, often with as few as 24 hours to decide whether or not to use the opportunity to sow a winter crop to be able to finish more lambs. “They need to be able to critique what will and won’t work in a particular weather pattern.” Australian employers looking to recruit in NZ are generally looking to fill more senior positions. Given the extra expense of hiring someone from outside Australia, more senior staff who are more likely to stay longer are preferred. It varies between individual employers, but they will usually cover a portion of the relocation costs. The Australian dry stock farms Fegan has recruited for have been mixed cropping farms. He says it is not easy to find staff with machinery experience and high-quality stockmanship. “The key one they want is the stock experience. “It would be nice to have a bit more exposure to the machinery, but it’s not critical. There’s very few who are good at both.”
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Making the big step
Relocating over the ditch is a big step, but rewarding for the right person. Derek and Kim Curwen say there are great career opportunities on Australian farms for staff willing to take responsibility and experience a new country. The Curwens own Tooraweenah Pastoral Company and run the operation with their two sons, Reece and Guy, along with a full-time farm manager, mechanic, a senior farm hand and casual staff. Tooraweenah encompasses just over 12,000 hectares on the southern coast of Western Australia, 60km from the town Albany which has a population of about 34,000. They farm 15,000 Merino breeding ewes alongside a large cropping operation growing canola, wheat and barley. Derek is looking to step back from running the sheep operation and their sons are busy with other parts of the business, so the Curwens decided to hire a sheep manager. Derek says it is hard to find good farm staff in Australia, especially since the mining boom has created strong competition for staff. As farms have become larger with more consolidation, there are also fewer children of landowners to step into management roles. They decided to recruit within New Zealand through Fegan and Co for the sheep manager role and a general hand, after being impressed by seasonal harvest workers from NZ. Many of these workers were Lincoln University students and demonstrated good work ethics and sheep farming skills, Derek says. Once Fegan had created a shortlist, the Curwens planned to interview the best candidates via Skype. If any of those applicants looked promising they would then need to visit the farm to meet the family and staff and see how the operation works. “It’s a big step, but the wages are better in Australia and they’ll pick up a whole new set of skills,” Derek says. “Our working culture is that we look after staff very well. It takes a year or two for people to settle down and make a life here. We want them to have a future here.” 71
Programme pipeline
INSURANCE By Lynda Gray
Taking cover Kate Downie-Melrose has risen up through career and recreational ranks by can-do thinking and attitude.
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graduate recruitment programme Kate DownieMelrose a much-needed foot in the door to the real world of agri-business. In less than three years, Kate 24, has come up through the ranks to become FMG’s Dunedin-based rural manager. It’s been a rapid progression and partly due to being prepared to move to where the work and opportunities are. Kate got accepted into FMG’s graduate programme during her final year at Lincoln University in 2014. She was Feilding-based for the first 18 months and was one of 25 rural consultants, following up by phone, clients whose policies were up for renewal. “You learn a lot about (FMG’s) systems and policies, and talking with people all over the country gives you exposure to the many different farming and horticultural businesses.” Until July this year she was a mobile rural consultant for new business based in Balclutha, south Otago. It was a chance to check out another part of the country and
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gave her more exposure to different kinds of farming. For Kate, the four years at Lincoln University gave her invaluable background knowledge. “It gave me an understanding on what goes on in different farming systems, especially during the practical placements.” Kate is looking forward to stepping up to the rural manager role and will enjoy forming long-term relationships with a range of farming clients to help them manage their insurance needs. Agri-insurance is her focus for the meantime and she’s looking forward to adding other agri-related experiences and qualifications to her CV. Another pathway she’s interested in pursuing, fuelled by her fourth-year honours project is sheep milking; in what role she’s not sure but believes the niche industry has potential for an exciting future. Agriculture was not a career-path Kate had given a lot of consideration, but a scholarship to Lincoln changed that. She won a Future Leaders scholarship which paid for the fouryear AgSci honours degree.
The FMG Graduate Programme started in 2010. Of the 35 graduates taken on through the programme, 20 are still employed with FMG including all three 2010 graduates who now hold senior roles within the company. The aim of the programme is to provide a pipeline of talent for the company’s core relationship roles who provide risk advice and insurance solutions to farmers and growers. It starts with four months in the Manawatu where graduates are provided with training, Depending on performance and development readiness, graduates generally acquire their own portfolio within 12 months of commencement. After three years graduates can be considered for the recently established talent exchange programme with the NFU Mutual based in Stratford-upon-Avon, England. In September she’ll be lining up with other age-group competitors at the start of the World Triathlon Champs in Rotterdam. It will be the second consecutive year of competing which isn’t bad considering she only got into the sport two years ago as a way to keep up fitness when she started a mostly desk-bound job at FMG. In Mexico, where the event was held in 2016, she finished 37th in the sprint distance and 38th in the standard distance races. Her goal at Rotterdam is to finish in the top 25. Kate downplays her international standing and says she’s not an expert at any one discipline. “A lot of the success in triathlon is about being able to put it all together on the day rather than excelling in a particular discipline.” After completing the champs last year Kate took six months off and went travelling in the United States and England with her carbonframed competition road bike; it wasn’t ideal for touring but got the job done. On her return good timing played into her hands with the offer of the Balclutha job. As if triathlon isn’t enough to get the blood pumping Kate is also in the army reserves. She went on the two-month basic training course to fill the gap between finishing Lincoln studies and starting work at FMG. She was one of 15 females in the intake of 100 and was pleased to make it through the intense training. Kate now trains weekly with the Dunedin unit.
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BARK OFF Words by Lloyd Smith
WHAT’S IN A BA R K ?
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huntaway’s biggest asset is its bark and correct and judicious use of it allows them to direct and control stock effectively and efficiently. To ensure this happens the bark needs to be authoritive and command respect but not intimidating or frightening as stock become agitated and hard to control when they feel threatened. Because the bark is such an important aspect of a huntaway’s make-up we as trainers and operators need to be aware of this and manage our training accordingly, teaching them to use their noise appropriately and positively. The quantity and quality of a huntaways noise is dependent on their level of confidence. A confident dog will offer his noise freely doing so with enthusiasm and energy. A dog that lacks confidence will struggle to bark and the quality of noise offered will be a half-hearted effort. If you apply pressure at certain stages of training and your dog becomes uncomfortable and loses confidence you will notice a reluctance, or even a refusal to bark and this will not return until you rebuild confidence or allow
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the dog to operate in a position where it is more comfortable. This usually occurs when you are training a dog between you and the sheep (i.e. the pressure zone) as this is the position they feel the most vulnerable. As such this area of training needs to be monitored closely so a good level of confidence is maintained, taking care not to force the dog into aspects of training until they are at the stage to understand and accept it. Huntaways are usually good natured dogs with a friendly disposition, a bred-in desire to work stock and a bark that flows freely and forcefully. A huntaway’s ability to get stock to respond to its bark and move off accordingly is not always dependant on the loudness or amount of noise given. Some huntaways with lesser barks can promote a more urgent response from the stock being worked than others with a heavier type of noise. There is a message in every bark so the response generated depends on the message sent. Some huntaways have what I often refer to as ‘politicians’ noise’ where they can talk all day and no-one takes any notice,
whereas others can bark and the stock will immediately respond and move off without hassle. Some huntaways are over-noised and consequently do not command the same respect from stock as their bark is often ill-directed and meaningless. In situations such as large mobs in confined spaces there is always the risk of forcing stock over fences or stacking up in corners so in these instances it is better if a dog casts around the stock with no noise and then applies it when in the appropriate position. This can also be the case when mustering where a dog needs to cast out in a quiet manner to allow it to get into position without disturbing the stock. As is usually the case this comes down to good stockmanship and demonstrating a genuine desire to manage and handle stock in the most effective and efficient manner. I have already mentioned that a good huntaway uses its bark to direct and control stock. This is a skill that comes with experience and is also promoted by having a good compliance to the stop command where you can pin your dog to a given spot. A clever dog then learns to use its noise to get the stock to respond appropriately by various uses of its bark. You will hear a huntaway give a mellow type bark to draw stock back that are running away or double up its bark to move stock that are not moving. They will also direct their noise up either side of stock to keep stock moving in the required direction. The reason a good “stop” promotes this response is until you stop a dog they don’t learn this skill as they will always move themselves. Consequently they never learn how to use their bark to achieve the best results. A huntaway’s noise needs to be on tap so the operator can turn it on and off as required. There are times when working stock that a dog barking can be more of a hindrance than a help e.g. yard work, drafting, gateways, pressurising weak sheep or in-lamb ewes. A “quiet” command is necessary to monitor this aspect and is all part of the overall training, teaching a huntaway when and how to use their noise to achieve the best results. While most huntaways have free flowing noise some can be quite reserved in its application and this is usually directly related to the dogs breeding and level of confidence. Do not let your huntaways bark meaninglessly at random, away from stock and do not let your young huntaways develop the very bad habit of barking when tied up or restrained or on the back of a truck or bike trailer. The easiest way to deal with these bad habits is do not let them develop in the first instance. Their bark should become their biggest asset not become their biggest problem.
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COMMUNITY | SOUTH AFRICA
Each student is allocated a plot to plant and grow crops. On the right, Naziswa, who travels by bus for 17 hours to reach Buhle from the Eastern Cape, has an economics and statistics degree but loves gardening and wants to build a farming business.
Growing black farmers Jackie Harrigan
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rowing the capability of emerging black farmers is the aim of the Buhle Farmers Academy, in Mpumalanga province, South Africa. The farmers academy has trained 4,000 emerging black farmers in the past 18 years, teaching them farming methods to use on their tribal or restituted land to grow crops or livestock and start small businesses. The training and subsequent business helps combat rampant unemployment (estimated as high as 40%) and food insecurity in their families and allows them to make extra money for other food, housing and education expenses. South Africa has been working at farm restitution and reformation since the end of apartheid in 1994 when the government brought in policies to right the wrongs of the black people who were moved from their farmland into tribal homeland areas. Over the past 23 years 3.4 million hectares has been restored to black ownership or compensated for in cash and bought by the government for return to black farmers. Many young black people now have access to a small plot, returned to their family and available to be farmed. However lacking title to the land they struggle to raise capital for seed, equipment and livestock. Along with lack of education in farming methods, the success rate has been low in many areas. Buhle was established as a nonprofit company when the Monsanto
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Foundation donated a surplus 150ha research farm in 2000 to the Food Health Hope Foundation in the northern province of Mpumalanga. A further 500ha is rented to add to the land for students and to provide funding for the academy. Courses in vegetables, poultry, livestock production or mixed farming attract students from all over the country to attend one of the few live-in practical training schools in the country. A second campus was established in 2016 at Piet Retief, Kwazulu Natal, in the west. Practical training walks trainees through the production cycle of each crop to learn hands-on aspects – each
student is allocated a plot to prepare, plant, manage, harvest and sell for the vegetable course or a chicken shed and 500 chicks for the poultry course. Maize production covers white maize (for mealies, the staple food of black South Africans) and yellow maize for livestock feed. Classroom time complements the practical teaching for students to learn about budgets and finance, work out their profit margins, and learn about pest and disease controls. The academy also provides training in appropriate life skills and has a follow-up and support service, where farm support officers visit trainees’ farms after completion to guide and
Locals come to buy vegetables from the trainees: 70 cents for a kale bunch.
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Building a chicken business
Starting with day old chicks and waking three or four times in the night to check them, their water, temperature and safety is a life-change for 22-year-old Soweto student Katleho, who plans to start a farming business on his 10ha family land. He hopes to access a government grant to build chicken houses and rear broilers and grow vegetables and maize crops.
advise on farming practice. New farmers can also access support from the Department of Agriculture extension officers in their home provinces. Buhle’s aim is to teach skills, knowledge and attitude and to empower trainees to build a viable and sustainable business. The three 12-month courses rely on funding from corporate sponsors of $NZ1.2 million and some government funding from the Jobs Fund to subsidise the SA Rand30,000 (NZ$3000) cost of the live-in course, but students also contribute a 5% ‘commitment fee’, farm manager Nyiko Maluleke said. Trainees are screened for access to farmland, minimum schooling, literacy and numeracy, ability to do the physical work required and a sincere commitment to farming, and the dropout rate is almost zero. “Barring a family disaster, they are all here to complete and graduate and 67% have gone on to establish farms and set up businesses in the past, despite the problems around getting start-up finance,” Maluleke said. Establishing themselves in a viable farming business to generate income and profit, the new farmers are both able to feed their families and move from subsistence farming to a business model which can lift them out of poverty and create jobs for family members. To improve success rates of emerging black farmers the government is amending the restitution programme to include entry into a capitalisation plan to provide support with funding and mentoring. Buhle is also planning to set up a revolving microfinance plan for graduates to access startup loans to set up their business, with a payback period that will mean the money is reloaned to the next crop of graduates. “In the beginning the farmers received access to land but with no skills and no funding they didn’t last,” Maluleke said.
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Buhle graduate Karabo Mofokeng was passionate and articulate about what training at the farming academy had done for him, his business partners and his family. “It is very difficult to get ahead as a young black person in South Africa.” The 21-year-old from Gauteng province had a tertiary qualification but was unemployed for a few years and had no prior skill or knowledge of agriculture. But with access to a 2ha lease plot he heard about the farming academy and enrolled in the poultry and crop production course. “Now I am the future of farming – this is my calling – I have taken charge of my life and it’s the most beautiful decision – to work for myself to generate income and wealth in a sustainable way for myself and my family’s future.” Mofokeng teamed up with a couple of classmates and they are growing potatoes and building their first broiler house to rear 5000 birds with plans to expand to eight similar houses as funding allows. Chicken is a popular, cheap protein source, sold at roadside stalls as live birds for homekill. The Ross308 variety of broilers are boughtin as day-old chicks for SAR7 (NZ70cents) and sold at six weeks for SAR45 (NZ$4.50) at 1.8kg weight. Alternatively restaurants buy them at four weeks and 1kg. Buying three stages of formulated feed costs SAR21 a bird but they are susceptible to dying as young chicks and temperature, food and water need to be checked every three hours day and night to keep the mortality rate below 5%. “Without Buhle it would be very difficult to get to where I am today,” Mofokeng said. “They have taught us the practical skills but also life skills and financial skills to build our business – as South Africans we really need to move out of subsistence farming to contribute to the economy and to build sustainable businesses.” • Jackie Harrigan travelled to South Africa for the International Federation of Agricultural Journalists congress, with support from NZ Guild of Agricultural Journalists and AGMARDT.
Farming business partners: Elsie Joao and Karabo Mofokeng have a five-year business plan to establish three broiler houses and produce 15,000 chickens.
SOLUTIONS | DRONES
Remote helicopter offers solution Lynda Gray
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e Awamutu dairy farmer John Young reckons unmanned helicopters could be just the thing for weed control on steep country. Five weeks ago, on suggestion of his Te Awamutu spraying contractor Nigel Atkinson, a Yamaha RMAX unmanned helicopter was brought in to spray one kilometre of banks and steep sidings overrun with gorse and blackberry. The job cost $3000, including spray. “If we get a good kill it will be money well spent because he would have had a hell of a job doing it in a four-by-four. By the looks of things it’s worked but we won’t know until September or October,” Young says. Atkinson leases the drone from Geoff Lamb of Yamaha Sky Division, Auckland. Lamb has imported three, two of which are based in Auckland. The drones have been used for weed spraying, seeding, granular fertiliser spreading, frost protection and surveying work such as pipeline inspections. “The most common farming use has been weed spraying, especially gorse in steep and hard-to-get-to places, but we’ve started spreading seed and demand for that is starting to grow,” Lamb says. Investigations are underway to see if they might be suitable for broadcasting brassica seed. The RAMX, costing about $115,000, is powered by a 246cc engine, has a 28kg
LOOKING FOR BETTER RETURNS? We currently seek large scale farmers, graziers and investment partners. • Large scale beef finishers • Profit share, per kg $ rate or JV
Phone Nick, 027 476 3658 Email: nick.aam@xtra.co.nz
JH0088112©
• Beef breeding properties/partnerships
The Yamaha RMAX unmanned helicopter spraying at Te Awamutu.
payload and will stay airborne for about an hour over a 400-500-metre range. About a dozen farmers have trialled it, paying $350/hour to hire the craft and a two or three-person operation crew. One person controls the craft while the other one or two keep a visual sight of the craft and liaise with the controller. The most high profile use was in the aftermath of the Port Hills fires near Christchurch when one was brought in to help reseed some of the hill areas before weeds got a foot-hold. For Peter Klassen, a former Banks Peninsula farmer who arranged the reseeding, it was the first time the drone had been used for such a task so it took a bit of time to recalibrate it for the job. It took about two days to reseed a 40ha block. “I can see the potential, especially for reseeding small blocks. An advantage is that it can fly closer to the ground so is more accurate than a helicopter,” Klassen says. Lamb says he’s desperate to get an RAMX lease arrangement with a South Island operator. “It could be the ideal add-on for an existing helicopter or spraying business.” A lease would cost $3500 a month and include training, insurance and certification, and maintenance. A pilot chemical rating course would be an extra cost.
AGRICULTURAL ASSET MANAGEMENT
Calvert heads Agcarm
Dr Pauline Calvert.
Agcarm, the industry association for crop protection, animal health and rural supplier businesses, has appointed its first female president. Dr Pauline Calvert heads the production animal business for MSD Animal Heath in New Zealand and was elected president at Agcarm’s annual meeting on July 27. “Agcarm brings together a wide group of industries. Collectively we share the same passion and interest in the environment, the economy, product stewardship, and maximising the opportunities of our primary sector through innovation,” Calvert says.
lyndagray@xtra.co.nz
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Crop protection through the ages Mark Ross
In the 1990s, scientists concentrated on finding active ingredients that better-target pests. Through biotechnology, plant scientists also improved the IPM concept – using naturally occurring materials such as insect hormone or venom, microbes or plant material extracts like Bacillus thuringiensis (Bt) – to more accurately and selectively target pests. Finally, weed treatments, such as neonicotinoids, were developed during this time to protect emerging seedlings from pests while not impacting beneficial species like pollinators. The plant science industry invests heavily in research to develop products, ensuring they do not pose unacceptable risks to humans or the environment. In fact, it now takes about $US286 million and 11 years of research and development to bring a new crop protection product to market. In New Zealand Agcarm and its member companies, along with the CropLife network, remain focused on stewardship and ensuring there will continue to be a variety of new products in the future to offer pest control solutions for crop growers, agrichemicals that are more environmentally friendly, more effective and more targeted thus allowing farmers to better control target pests, while allowing beneficial flora and fauna to prosper.
JH0085140©
Like all agricultural innovations, crop protection products have evolved tremendously since their inception. From natural chemical elements, to plant and metal-based insecticides, to synthetic products, formulations have drastically changed for the better. Today’s products are more sustainable, targeted, efficient and environmentally friendly than their predecessors. The first recorded use of an insecticide was about 4500 years ago by the Sumarians, who used sulphur compounds to control insects and mites attacking their food sources. In the first century BC, Romans made a compound from crushed olives, burnt sulphur and salt to control ants and weeds in their crops. In 800AD, the Chinese used arsenic mixed with water to control insects in their field crops and citrus orchards. Other pesticides, derived from natural sources such as pyrethrum from dried chrysanthemum flowers and nicotine extract from tobacco plants, evolved over time. From 1750 to about 1880, farmers began using crop protection products more widely and international trade promoted the use of plant and metal-based insecticides. Until the early 1900s, European and United States farmers used compounds made with sulphur, iron, copper, arsenic and sodium to control weeds in cereal crops and fungus in grapes. In the 1930s • Mark Ross is chief executive of Agcarm, the industry and 40s, effective and widely used fungicides were association for manufacturers and distributors of crop developed along with the first synthetic insecticides. protection and animal health products. By the 1960s and 70s, farmers began to utilise integrated pest management (IPM) to control pests. IPM is based on the idea that farmers can manage insect pests, using crop protection products only when needed. This paved the way for Superaxe and Aussie Chopper WS3150 Aussie the development of more targeted and Chopper shown Hydraulic Log Splitters here. environmentally friendly products, such as pyrethrum-based formulations. Australian made direct to you With improved research, the plant in New Zealand science industry began developing moreSetting new standards in safety, efficient products that were effective at design and performance lower rates, such as 10 milliltres of active ingredient per hectare rather than 180ml Built tough by used previously. Herbicides like glyphosate, Whitlands Engineering still commonly used today, were developed Call for your free brochure and DVD pack in the 1970s and have continued to improve and become more efficient over www.superaxe.co.nz 0800 702 701 time.
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CLASSIFIEDS
SOLUTIONS | PESTICIDES
ATTENTION FARMERS www.gibb-gro.co.nz
GROWTH PROMOTANT $5.85 per hectare + GST delivered Brian Mace 0274 389 822 07 571 0336 brianmace@xtra. co.nz
ATTENTION FARMERS DEMOLITION houses, villas, buildings, town or country. Please phone 021 165 8664.
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FERTILISER Golden Bay
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SOLUTIONS | SUPPORT
Partners on the farm Alice Scott Finding ways to improve the bottom line and bring value to the farming business is a common goal for many wives and partners in the farming industry but often seem beyond their control as weather, meat prices, exchange rate, lack of know-how and quite possibly the husband’s over-riding decisionmaking tendencies hindering any progress. Understanding Your Farm Business (UYFB) is a course tailored for the wives and partners of sheep and beef farmers in New Zealand. It is designed to help women realise their potential on-farm, gain a better understanding of the farming business and acquire the skills to help drive positive change on-farm. The course – held in rural towns throughout the country – is run by the
Agri-Women’s Development Trust and comes at no cost to the participants thanks to funding by the Red Meat Profit Partnership (RMPP). It consists of three full-day workshops and an evening graduation ceremony run over four months. Founder and executive director of the Agri-Women’s Development Trust Lindy Nelson says the UYFB programme was designed for women wanting to have a greater understanding of their business drivers and seeking the skills and confidence to participate more in their businesses. The trust also offers Wahine Maia, Wahine Whenua UYFB for whenua Maori involved in sheep and beef farming, designed to help participants better understand how their whanau, trust or incorporation farm is run. “Often women meet and fall in love with their farming partner and find
Understanding Your Farm Business (UYFB) is a course tailored for the wives and partners of sheep and beef farmers in New Zealand.
themselves on farms away from family, friends and careers,” Nelson says. “They are living and working on a farm not by design but by default. Realising their potential and finding their purpose can be a hard task. This course was designed with the aim to give these women the confidence and skill set to add real value to their farming businesses.” Since the pilot course in 2014, 600 women have passed through the course. Last year the RMPP extended the funding enabling the trust to reach a further 2300 women by 2020. “A lot of the women also cite the networking and camaraderie among their group as another highlight of the course. They get to connect over several days together and many have formed lasting friendships,” she says. • More? Check out www.awdt.org.nz
Support for new Fertmark rules Fertiliser co-operative Ravensdown says it strongly supports the drive of the Fertiliser Quality Council (FQC) to ensure all enhanced fertilisers are verified under the Fertmark scheme and calls for more disclosure on all imported and coated products. When the conditions are right, urease inhibitor coatings on standard urea have an important role to play in reducing the loss of nitrogen to atmosphere and keeping more nitrogen (N) available to the plant. “Fertiliser users need to know the composition of these coatings along with any other active ingredients that affect the base fertiliser product,” FQC says on its website. Ravensdown’s coated products such as N-Protect are already certified. This contrasts with Ballance Agri Nutrients who recently withdrew
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their coated urea called Sustain from the scheme. Mike Manning, general manager innovation and strategy at Ravensdown said “the amount of active ingredient in the coating has a material effect on the reduction of N-loss and of course it’s cheaper for the supplier to use less of the active ingredient. “It’s a case of knowing what you’re paying for. If it hasn’t got the tick, then the claims may not stick,” he said. “As a farmer-owned co-operative, we’re here to enable smarter farming and one way we do this is by sourcing and providing fertilisers to an assured level of quality. Many importers chasing an opportunity are not willing or able to provide the Fertmark assurance so that presents a risk to New Zealand as a whole
Mike Manning
and the buyer who has no way of easily telling what they are actually getting.” “Users still need to be aware that there are products on the market, many imported, that are not verified – and which, without independent testing, could contain unknown and even harmful ingredients,” Anders Crofoot of the FQC said.
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ESTATE
Genuine Tararua hill country Anne Hardie A 743ha Tararua farm that has been faithfully farmed for three generations and has the ability to carry 6000 stock units, is for sale by negotiation. Located 52km southeast of Pahiatua and 74km from Masterton is Haunui which has been farmed by the Hart family as a sheep and beef breeding and finishing property; making the most of its summer-moist climate that consistently grows grass through spring, summer and autumn. Some 16ha of the farm is flat to undulating and another 134ha rolling to easy hill and Jared Brock from Property Brokers says about 119ha of that easier country could be cultivated. Another 400ha is medium to steeper hill and 193ha is steep hill. The overall effective area is 695ha and about 50ha of the ineffective area is a manuka block that has been retired, with bee hive sites established in the past year. “The family has added on other blocks
to the farm over the years and it has been very much a family operation, with two generations of the family farming it today,” he says. The Harts run a Perendale flock that generally begin lambing from September 10, though this year the five and six-yearold ewes lambed a month earlier. The flock averages 120% at lambing, with about 600 male lambs drafted off their mothers and killed at about 18kg. Further lambs are killed or sold as forward stores, depending on the season. On the cattle side of the operation, about 65 mixed-age Angus cows are carried, plus 19 threeyear-old in-calf heifers. The farm achieves about 85% calving and those not kept as replacements are sold as rising yearlings. “It’s a genuine hill country farm that is a good economic unit with good access, fertiliser history and the stock always looks very good. It’s quite a sought-after area and it’s a reasonably low-cost farm to run.” Over three generations, the family has set the farm up for easy management,
Four sets of satellite yards complement the main yards beside the woolshed.
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with three good laneways for stock movement and 36km of established tracks to provide access to the 52 main paddocks. These are all fenced to a high standard with conventional post and batten, some netting, and boosted by electric outriggers. Four sets of satellite yards as well as the main yards beside the woolshed make it easier and more efficient to handle stock around the farm, plus two sets of cattle yards. The five-stand woolshed with its covered yards has a night pen capacity for 1100 ewes, while other improvements on the farm include a three-bay implement shed, two-bay shed, one-stall stable and a large workshop. Stock water is plentiful via dams, springs and creeks for each paddock and they benefit from the summer rainfall, as do the soils which are a mix of silt loams. An unsealed road leading to Haunui terminates just beyond the farm entrance, creating a quiet setting for the farm and home. The homestead is a comfortable and modernised threebedroom house with an office, while a second home with three bedrooms was built in the late 70s. Haunui bounds the Puketoi ranges which provide wild game including pigs and deer for the keen hunter. Or for those who prefer fishing and boating, there’s the coastal playground at Akitio Beach, 62km to the east. Pongaroa 21km away is the closest settlement with an awardwinning country pub, plus a primary school, some rural facilities and the opportunity to get involved in golf, rugby or squash. The farm can be viewed at www. propertybrokers.co.nz ID PR54132 and for further information contact Jared Brock on 027 449 5496 or Phil Wilson on 021 518 660.
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ESTATE
Coastal Kekerengu Valhalla with views Anne Hardie Valhalla Farm with its expansive views over the spectacular coastline north of Kaikoura is for sale, which is not just an opportunity to own a rarely-available location, but also a finishing property in an area renowned for great stock health. The 282ha farm lies close to the small settlement of Kekerengu - 56km north of Kaikoura and 70km south of Blenheim - in a picturesque valley spreading into hills that capture those ocean views. Eion Townley from First National says Valhalla benefits from a good balance of contour including about 136ha of flat and easy-rolling country, plus an ongoing
development programme encompassing regrassing, lucerne and greenfeed crops. Valhalla is leased to a neighbouring station and generally stocking rates peak during winter when cattle are brought in from that enterprise. A series of four-wheel-drive tracks provide access throughout the property. Water for the paddocks is supplied from six units of the Clarence Water Scheme, using numerous concrete tanks at high points of the property, plus a number of storage dams. Townley describes Valhalla as an attractive finishing property in an area that has earned a reputation for its quality livestock and good stock health. The stunning views are the icing on the cake.
“With such expansive surroundings overlooking the ocean, you are guaranteed phenomenal views through this amazing property.” Among the farm improvements are an implement shed/workshop, two haybarns, a three-stand shearing shed, sheep yards plus two sets of cattle yards and other ancillary buildings. Set in established grounds is the spacious five-bedroom homestead with an office, sunroom, two living areas and a wide, sunny verandah. The home was built in 1910, with additions in the 50s and renovations as recent as 2008. Tenders close for Valhalla on August 30. For further information contact Eion Townley on 021 221 3328 or Mark Tschepp on 027 472 4991.
Pasture pumping on sunny East Coast Otoka Station near Gisborne has proven itself as a profitable farming enterprise that combines affordable scale within commuting distance of the sunny city. The 468ha station is for sale at $2.95 million and sits on naturally fertile and historically summer-safe country in the thriving district, 53km inland from Gisborne on the main highway north. Simon Bousefield from Bayleys says an array of recent improvements includes extensive fertiliser applications, highquality maintenance of fences as well as new fencing, new and refurbished yards and laneway development, plus woolshed renovations which has made an old longboard shed very workable. The result is a clean, healthy property to hand on to a new owner. “Otoka Station is in the heart of Otoko
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which is renowned for being good healthy country, with deep, black soils that are naturally fertile. The owners bought it four years ago and without much fertiliser history there was clover evident. After a comprehensive fertiliser application and stock management programme, the pastures have improved dramatically. “They’ve done a huge amount in four years and invested heavily in the farm and buildings, while still taking a good profit. The owners expect increasing returns as the pasture improvements continue.” Steeper bluffs are offset by easier contour on top of the hills and rolling country to the rear, with the rare combination of summer moisture and reasonable winters. The base of the farm where the house sits escapes frosts and even the hills get off lightly. The home itself is a warm fourbedroom character villa with sweeping verandahs which has been extensively remodelled and is set in attractive, easycare grounds. “They’ve transformed the homestead but still retained that original villa character.”
Otoka is run as a breeding unit and carries 3,850 stock units with very good recent scanning percentages achieved. Laneways provide easy stock movements between the 33 paddocks and to quality cattle yards and sheep yards, plus two well-positioned satellite yards. “A 468ha property at $2.95 million is pretty hard to find anywhere, especially in a farming area like Otoko.” The combination of very little road frontage and buildings set back out of sight assures good security for the property which can be viewed at www. bayleys.co.nz/2750474. For further information contact Simon Bousfield on 027 665 8778 or James Bolton-Riley on 027 739 1011.
Country-Wide September 2017
ESTATE | SNAPSHOT
High country for high-end wool Anne Hughes Merino farmers are passionate about what they do. In many farming families, this passion is passed on through the generations. For this reason, Merino properties of scale rarely come up for sale. Southern Wide Real Estate agent Wes Flannery says that while there are few Merino properties on the market right now, Merino farm sales can often be due to retirement, buying a bigger farm or farm succession. The desire to secure succession can also drive demand for these properties when they do become available. “There is also some off-shore interest from people who like to secure their wool.” Flannery says some Merino farmers opt to sell their low-lying land to reduce debt, but still be able to continue high country farming. While development on the lower parts of these properties is contributing to the lower numbers of Merino sheep being farmed and wool returns have at times been less-than-enticing, Flannery says there is always a market for high country property. Listings were typically low during winter, but Flannery says a Merino/halfbred property for sale at Oturehua in the Ida Valley was attracting plenty of interest. The 1028-hectare bare land block farms Merino and half-bred ewes, selling wool
through a contract with high-end Italian clothing manufacturer Reda. Altitude ranges from about 420 metres above sea level to 1000m. The 600ha hill block is subdivided into five blocks, with 428ha of gentle rolling foothills. With about 75ha under K-line irrigation, the property also has a storage dam. There is potential for more water storage on the flats, which are subdivided into 21 paddocks. The farm does have various building sites for a potential home, plus a fourstand woolshed and upgraded covered yards. The current owners plan to buy a larger farm and are seeking offers of more than $2.9 million (plus GST). PGG Wrightson rural real estate agent Shaun O’Docherty says the Merino industry has started to see some shift back to the more traditional Merino sheep, with more contracts becoming available for these types of wool. O’Docherty says some growers moved away from traditional types in the past 10-15 years because with better feeding and breeding, they could produce a more dual-purpose sheep. “Now that there are contracts available for both types of wool it gives the growers some more certainty going forward so the next generation coming into the fold has something they can farm to. “On the flip slide it means that anyone wanting to put their farm on the market
This bare land Merino block overlooking Cromwell is being sold off, with the owner planning to retain the lower country. Photo provided.
This Ida Valley farm is currently selling Merino wool on contract to a high-end Italian clothing manufacturer. Photo provided.
The hill block on this Ida Valley farm is subdivided into five blocks, with K-line irrigation on some of the lower land. Photo provided.
can sell these contracts with the property, so the new owners have something going forward.” O’Docherty recently joined the real estate industry, after 30 years working in the wool industry – eight-and-a-half of those in Merino wool. He says many Merino farming families have long histories with their properties, some with fourth generations on the land, making large Merino properties a rare find on the market. The company is marketing a property in the Kawarau Gorge overlooking Cromwell in Central Otago. The owner of the 1550ha bare land Merino block is selling the high country and keeping some of the lower land to grow cherries. O’Docherty is marketing another bare land block – 1142ha overlooking Lake Dunstan and the township of Clyde. This block is leased to an established high country farming operation, producing 16-16.5 micron Merino wool for high-end international brands. aahughes@gisborne.net.nz
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FARMING IN FOCUS More photos from this month’s Country-Wide.
s steer ousin im L g n Yearli
farm. nside o d n ’s We pson Thom e ik on M
Evan Ferris with yearling Limousin steers on the Sou thland
farm.
Big faces keep an eye on pass ing motorists near Riversdale in Southland recently. Artist Stephan Martyn Welch’s portraits were part of the Riversdale Community Centre’s annual mixed-media exhibitio n.
The cattle yards next to the wintering shed have a Racewell automatic three-way drafter for weighing and a double loading built ramp.
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Country-Wide September 2017
Martin Hartley spotted an opp ortunity with deer.
. The Hartleys’ deer farm
Dwayne Cow in on
the King Coun try
farm.
eration. tering shed op cts on his win fle re e ik M rmer Southland fa Remains of a bygone gold mining era on Mike Thompson’s Southland farm.
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Country-Wide September 2017