Dairy News 10 July 2012 by Rural News Group

All eyes on Court of Appeal for Crafar farms ruling. Page 3

side review Play China with care Page 13

telehandler stands tall JCB products roll out Page 48

July 10, 2012 Issue 272 // www.dairynews.co.nz

ETS reprieve We’re pleased the Government is taking a considered view of where our country sits, relevant to our trading partners. – Simon Tucker, DairyNZ Page 4

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Dairy News july 10, 2012

news // 3

Iwi joins fray as saga rolls on PETER BURKE

Jersey sire of the season. PG.19

Leave calf disbudding to the experts. PG.44

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News �� 3-21 Opinion ��22-23 Agribusiness ��28-30 Management �� 31-34 Animal Health �� 35-40 calving �� 42-45 Machinery & Products �� 46-49

KEY PLAYERS involved in the Crafar farms sale are seeking an ‘expedited decision’ from the Court of Appeal. They hope it will bring down the curtain on this long-running saga. Sir Michael Fay’s legal team was back in court last week trying for a ruling that the Chinese company Shanghai Pengxin lacks expertise to run the farms and arguing Michael Fay that his consortium does. The legal wrangle is seen as one of the last acts to resolve this matter. The Fay consortium and Shanghai Pengxin asked the court for an “expedited decision”. The drama in the court was matched by the drama at the negotiating table where Hardie Pene, representing the Tiroa E and Te Hape B Trusts, had a showdown with Landcorp over the possible purchase of two Crafar farms near the township of Benneydale between Taupo and Te Kuiti. Landcorp is acting as Shanghai Pengxin’s agent for any on-selling of individual Crafar farms – assuming they eventually they get to own them.

“Production hasn’t even met its peak and a lot of investment is needed to bring the properties up to full production.” – Hardie Pene Hardie Pene told Dairy News the price offered by his trusts for the farms, and Landcorp’s asking price, were “miles apart”. With such a gap there was little point sitting around the table, Pene says. He pointed out to Landcorp chief executive Chris Kelly that Landcorp had originally bid $150 million for all the farms, but Kelly claimed there had since been a big drop in valuations. “But I haven’t seen any evidence of that considering the farms we’re interested in are on the fringe,” Pene said. “Production hasn’t even met its peak and a lot of investment is needed to bring the properties up to full production.” Pene is prepared to return to negotiation if Landcorp is prepared “in good faith” to look at options. He is critical of the whole process of the sale and though he doesn’t object to the Chinese buying the farms, he questions whether they should be able to buy the actual land. They should be restricted to leasing it, he says. “Here we are, a Maori organisation which for

Some farms may be on-sold LANDCORP CHIEF executive Chris Kelly says he disagrees with Hardie Pene over the value of the two Benneydale farms his trusts are seeking to buy. Kelly says he has a pretty good idea of what the land is worth and what Shanghai Pengxin will pay for it, assuming they can buy it. “But remember they don’t own the land yet, therefore it would be pretty stupid of Shanghai Pengxin to buy the

farms and immediately sell them at a loss.” It’s possible some of the Crafar farms will later be sold to “rebalance the estate”, Kelly says. “We haven’t got into any of the specifics as Shanghai Pengxin doesn’t yet own them. The farms are quite scattered and in terms of rationalising the portfolio it might be sensible to sell off a few out-lyers and buy one or two closer to the main farms.”

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years has been trying to recover our land through the Waitangi tribunal and other means. Yet we have to stand aside and allow the Government to approve large tracts of land being sold offshore – in particular traditional lands we have been fighting for.” Pene also criticises the receivers, claiming they offered the farms for sale in China as single units, but in New Zealand only as a package. But Brendon Gibson, a spokesman for receiver KordaMentha, says this is not true. “We spent a lot of money domestically through the whole Bayleys Real Estate network. We sent brochures to all local farmers and we had a lot of people look over the properties. The farms were offered singly in New Zealand and overseas and lot of individual contracts were sent out.” Gibson says the first obligation was to the secured creditors of the farms and to get the best price. In the end the package deal was the one that got accepted, he says.

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Landcorp’s door remains open for Pene at any time to discuss future purchase, Kelly says. “I’m just waiting for him to come back and revise that offer and we’ll listen.” Kelly says he can see Maori have ancestral rights to the farms, but points out they have been in private ownership for a long time. In a strictly legal sense, Maori have no more rights to the farms than anyone else, Kelly says.

Dairy News july 10, 2012

4 // news

ETS good for SOE PETER BURKE

PROPOSED CHANGES by the Gov-

ernment to the Emissions Trading Scheme (ETS) could allow Landcorp to pick up where it left off on the development of more dairy farms in the central North Island.

Chris Kelly

The changes announced last week by Climate Change Minister Tim Groser include a provision for ‘offsetting’ for pre-1990 forests. This means once these forests are felled, the owners will be able to use that land for other purposes pro-

TECHNOLOGIES

vided they plant an equivalent acreage of trees somewhere else. The changes also included leaving agriculture out of any ETS until at least 2015. Legislation relating to the changes is due to be introduced in Parliament later in the year.

felled. This land has been lying fallow all this time, but if the ETS is changed to allow offsetting, then we will resume this project” on land leased for 45 years by Landcorp from a private company, Wairakei Pastoral. Landcorp also owns

“Since we stalled the conversion in 2008 when the ETS was proposed nothing has been done with the 6000ha on which trees have been felled”. Landcorp chief executive Chris Kelly told Dairy News they had begun converting land near Taupo in 2004 and about 8000 cows are being run on three farms. Changes to the ETS will greatly benefit Landcorp. “Since we stalled the conversion in 2008 when the ETS was proposed nothing has been done with the 6000ha on which trees have been

land where it may be able to take advantage of the new offsetting provisions to convert land planted in trees to other uses. Dairying will be the main focus of any conversions from forestry. Kelly says the odds are not great on doing conversions to sheep and beef because of the cost of offsetting and the lower returns from sheep and beef than from dairying.

Have you herd about our dairy sheds?

Don’t punish dairy with ETS – Fonterra SUDESH KISSUN

DON’T ALLOW an emissions trad-

ing scheme to undermine the dairy sector’s global competitiveness. That’s the dairy industry’s message to the Government after it announced agricultural emissions will not be included in the ETS at least until 2015. Industry leaders warn that heaping extra carbon costs on New Zealand farming undermines the sector – a burden most overseas producers do not have to carry. Fonterra says it recognises the reality of climate change and that global emissions must be reduced. The co-op is targeting a 20% reduction in emissions intensity across its supply chain by 2020. But group general manager global sustainability Bruce Donnison says most of the world’s dairy producers don’t face extra carbon costs. “We have been concerned that applying additional carbon costs on agriculture here – when they are still not faced by the majority of producers elsewhere in the world – simply undermine the competitiveness of the New Zealand agricultural sector.” He accepts the bulk of emissions are on-farm and it needs to tackle them there. “We have consistently held the view that providing information and

supporting our farmers to reduce emissions will always have more impact than increasing carbon costs. “Our farmers have contributed nearly 25% of the $43 million being invested by New Zealand in mitigation research and they want practical solutions. This work will continue, as will the efforts being made in Fonterra’s milk processing plants to drive down emissions, especially by energy efficiency.” New Zealand Fonterra dairy farmers were already directly paying their way in the ETS, with $3700 a year in carbon costs for fuel, energy and their share of the carbon costs being paid by Fonterra for processing emissions. This compares to a typical household’s costs of about $133 a year. If prices returned to the expected $25 per New Zealand unit, the ETS would have cost the average dairy farmer $8000 per annum from 2015, he adds. The Government says key changes to the ETS announced last week reflect a balanced and responsible approach to reducing greenhouse gas emissions. Changes are keeping the one-for-two obligation in place until after this year. This means participants in the scheme will continue to surrender units for half the carbon they emit. Agricultural emissions will remain out of the ETS until at least 2015. DairyNZ says the Government decision is sensible and pragmatic.

“We are pleased to see the Government taking a considered view of where our country sits, relevant to our trading partners, to ensure we can make progress while still being competitive,” says DairyNZ general manager policy and advocacy Simon Tucker. “The dairy industry is committed to a strategy of reducing its greenhouse gas emissions intensity and maintaining its position as world leaders in low carbon intensity dairy production.” New Zealand’s dairy sector is finding practical ways to reduce emissions by spending heavily on research, Tucker points out. It is quite possible to make good progress by efficiency improvements on farms. “But we do not yet have a reliable silver bullet.” DairyNZ annually spends nearly $1m on research on reducing methane and other agricultural gas emissions via the Pastoral Green House Gas Research Consortium. A similar sum is going into a sevenyear DairyNZ-led research project where dairy cows are being evaluated to see how efficiently they can convert feed into milk while reducing emissions. “DairyNZ maintains New Zealand’s dairy farmers should not face a price on carbon until our trading competitors face similar and equivalent obligations,” Tucker says.

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FEDS VICE president William Rolleston says our ETS remains the world’s harshest of any agricultural production system. “Unlike other countries where agriculture is given special treatment, farmers here, just like every other business and family, pay the ETS on the

fuel and energy we use. “This not only impacts a farm’s bottom line, but the cost of turning what we produce into finished goods for export.” He points out Australia’s new carbon tax is in fact aimed at Australia’s 300 largest companies. Meanwhile, Australian

farmers are being financially rewarded for boosting soil carbon levels on-farm, he says. “Since January 1, all agricultural processors in New Zealand have been filing emission returns accounting for agricultural biological emissions,” says Rolleston.

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news // 5

Vote fails to silence critics ANDREW SWALLOW

OPPONENTS OF Fonterra’s TAF (trading among farmers) are still working behind the scenes to see how they can influence the process in the wake of the board’s decision to progress it.

of anti-TAF campaigners, of which Smit is a member, sent a letter to the Shareholders Council immediately after the June 25 vote seeking a meeting “to share our concerns.” Smit says she won’t reveal the detail of those concerns until they’ve tried to “work through the proper

“The board keeps saying twothirds voted in favour but it doesn’t feel like that where we live.” They’re also calling for a breakdown of the 66.45% in favour vote to show how many individual farmers supported it, rather than just the milksolids split. “The board keeps saying two-thirds voted in favour but it doesn’t feel like that where we live... It feels more like 50:50,” Edgecombe, Bay of Plenty shareholder Donna Smit told Dairy News. The Our Co-op group

channels.” As of late last week they’d not received a response from the council. “We don’t want to keep fighting. We want to be seen as a positive group, not naysayers, and we want to protect our co-op.” Smit says she’s not aware of any shareholders considering taking their supply elsewhere in the wake of the TAF vote, even

though the result “feels like more of a loss for us, than a victory for Fonterra.” “We’re all passionately loyal to Fonterra. It’s just we differ in our perception of the risk [from TAF].” With shareholders council and board elections coming up, Smit says the Our Co-op group is “looking at all our options in that department” but won’t elaborate on who might be standing for which bodies and where. Former Federated Farmers Dairy chairman Lachlan McKenzie told Dairy News he’s not considering standing for the Shareholders Council, even though he’s seriously concerned by its handling of the TAF issue. “As an independent body they’ve been woeful. They have to demonstrate they’re independent [of the board]... and demon-

strate they are listening to the 34% of supply that voted not to proceed with TAF. They need to demonstrate they understand our concerns and will deliver the scrutiny required for the promised 100% ownership and control.”

Claims that 94% of the council supported remit 1 are misleading, he says, as the council vote was on whether the process of TAF should proceed. “That’s not the same as resolution one at the special meeting which was

‘should we have TAF or not?” The TAF debate has seen a number of shareholders emerge with considerable skill sets which need to be harnessed for the betterment of the cooperative, McKenzie

Donna Smit

believes. A Fonterra spokesman last week told Dairy News that vote results based on milksolids are the only ones published.

Effluent botch-up draws $32,000 fine TE AWAMUTU dairy farm Wyebrook Farms Ltd has been fined nearly $32,000 for illegally discharging dairy effluent last year. The case, brought by Waikato Regional Council, concerned two events in February/March and August 2011 at the Candy Road farm. Following helicopter monitoring by the council in August 2011, a ground inspection was made of the Wyebrook property, showing effluent from a holding pond was overflowing at five places into a nearby tributary of the Waipa River, then flowing 700 metres to the river.

The council discovered that five-six months earlier a large pile of effluent scrapings had been removed from an effluent bunker and placed on the adjacent paddock, resulting in further seepage. The prosecution was based on the discharges from the February/ March and August incidents. The defendant pleaded guilty to two charges under then Resource Management Act. The was heard in Hamilton District Court by Judge Melanie Harland. On the environmental effect of the discharge to the stream Judge Harland said “the overriding con-

cern is the cumulative effect of such discharges to waterways.” She agreed this was moderately serious offending and that the discharge to the waterway had lasted at least several days. She also agreed management failures had contributed to the overflow into the waterway. On the effluent scrapings on the paddock surface Judge Harland said “the message needs to be clearly sent that effluent management is a matter of top priority.” Wyebrook was fined $31,875 and ordered to pay court costs and fees of $491.78.

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6 // news

‘TAF benefits big boys’ peter burke

THE DAIRY industry in

New Zealand has changed forever as a result of the ‘yes’ vote for TAF, says

a leading businessman, Kingi Smiler. Smiler, chairman of the Miraka Maori dairy factory near Taupo, says the TAF vote will change Fonterra from being a true coopera-

tive to more of a large corporate model company. TAF was supported by farmers who produced the most milk solids, not necessarily the majority of actual dairy farmers,

Smiler says. He’s spoken to Fonterra farmers who voted against TAF. “Their major concern was they didn’t want to lose control and they saw TAF as the first stage

Landcorp to wait and see to manage a tricky season. “It’s a very very complex system way it does business if TAF becomes operative as envisaged, says chief and for an individual farmer to get his or her mind around executive Chris Kelly. all niceties of the thing is He told Dairy News if quite tricky. Whereas the TAF goes ahead as envisbigger farmers such as aged there may be opporourselves can put quite tunities for Landcorp to a lot of resource into it sell some shares and still and we’d be watching get a milk cheque, most Chris Kelly carefully to see what can likely when times get happen.” tough. But Landcorp will It’s an open question what effect first “just be sitting on its hands and TAF might have long term on the watching to see what happens.” Kelly says TAF probably favours dairy industry, Kelly says. “The owners of Fonterra have the larger rather than smaller operation and is a tool that could be used been strident that, above all else

LANDCORP MAY change the

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they want to make sure they maintain shareholder control. If the constitution is changed by popular vote and if the DIRA regulation is changed to the way Fonterra wish it, then Fonterra’s future will be in the farmers’ hands. “If the farmers wish to go further down that slippery slope of a ‘new age cooperative’ then that’s their decision and they have it in their power to vote that. This is what happened in Ireland with the farmers’ cooperative Kerrygold.” Kelly says TAF is not yet a done deal as the DIRA bill has to be passed by Parliament.

towards the company being listed. They are very concerned about that and this is why they voted against it,” he says. Smiler says the major beneficiaries of TAF will be the bigger farmers. Most smaller ones are debt-free and strongly committed to the philosophy of a cooperative. But he says TAF will enable larger farmers to keep their voting rights and from time to time free up some capital they have tied up in their businesses. Smiler says TAF is a major compromise and doesn’t suit either the cooperative farmer or the float on the market. Miraka has in just one year proved successful, and has already had to turn away suppliers, Smiler says.

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in brief Farmers cashed up – banker MOST DAIRY farmers are going into the new season in a pretty strong cash position, says Westpac head of agriculture David Jones. The industry is well positioned, he says. The bank has noticed a drop in the use of overdrafts and short term deposits are up. But cashflows will be a bit tighter. “The lower payout will have an impact but we’ve seen a pretty good indication that costs will come down. So while we will see a lower payout we will also see some benefits through lower farm expenses and interest rates. “If you go back three-four years, prior to the global financial crunch, interest rates were climbing quite dramatically, getting up to 8-9%. Now they’re below 6% on a floating basis, so while the payout is coming back there are a number of other things offsetting this.” Jones says there’s a level of pragmatism in the industry that suggests they’re not out of the woods yet. He advises farmers to keep reasonably tight control of their finances and play it safe rather than spend as freely as before the global financial crunch. Meanwhile a survey by research company McDermott Miller for Westpac shows consumer confidence fell significantly in Waikato and Bay of Plenty. And it is down in other regions, except Taranaki and Manawatu which also have an industrial base. Jones believes this is due to people’s concerns about the global financial crisis and reports of lower prices for agricultural commodities. The only region to buck the drop in consumer confidence is Auckland.

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Diploma proviDes a pathway for Dairy passion For Liam Kelly a passion to advance and develop through the dairy industry has been given structure and a firm foundation, through the education and knowledge he has gained by completing his AgITO National Diploma in Agribusiness Management. Liam is no stranger to further education, and ten years out from school he has a raft of tertiary papers completed including AgITO Levels 1-5 and the National Diploma, plus a university paper on small to medium enterprise management. Just to round things out he has also added a couple of polytech papers on lean manufacturing and team building. All make him more savvy than most over what constitutes valuable, and relevant, tertiary learning. While the earlier AgITO papers covered the mechanics of good herd management, pasture utilisation and overall dairy farm operations, Liam knew the next and obvious step was to take his skills to a level where he was competent not only in managing a farm, but running a business.

“Getting those skills in large herd management, and irrigation, means I am in the running, but the CV only gets you the phone interview. The Diploma shows you have the education and gets you the face to face interview.” Feedback from potential employers is that the AgITO National Diploma in Agribusiness Management is regarded as at least the equal to any university agricultural qualification due in part to the practical experience that underpins it. Liam’s goals have become more defined, aiming to build equity while variable order sharemilking, and having shares in a dairy farm. He would ultimately like to transfer some of his skills and knowledge into an advisory role, possibly overseeing multiple dairy operations. “Employers are now looking at this Diploma as a big achievement, you are working while you complete it and that says a lot.”

“For me I felt the Diploma was more practical in its focus, and I enjoyed the qualifications module approach that matched your movement through the industry.” This saw him kicking off with human resource management, progressing through business and financial planning, risk assessment, taxation and resource management over the Diploma’s study span. For him, completing the Diploma also boosted his personal motivation and commitment to the industry.

“the gooD thing about the Diploma is it gives you that base knowleDge where you can have constructive Discussion with superb role moDels, anD see more Doors open.” Liam Kelly, Ashburton

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Dairy News july 10, 2012

federated farmers conference // 9

Keep agriculture out of climate change pacts PRIMARY PRODUCTION of food will prob-

ably be removed from global treaties dealing with climate change, Federated Farmers president Bruce Wills says. “The Emissions Trading Scheme as we know will be very different by 2020,” he told Federated Farmers annual conference. “There are seven billion mouths to feed on our planet and this is expected to grow to over nine billion by 2050. In 2011, the United Nations concluded that to keep pace with global population growth by 2050, developed countries will need to produce 70% more food. “For the developing world that figure is 100% and failure risks unprecedented global disorder. The ‘Arab spring’ after all didn’t start over rising sea levels in the Gulf of Tunis, but the price of bread.” Wills said the pressure of this global population bomb meant that to maintain social cohesion the primary production of food was almost certain to come out of global treaties dealing with climate change. Agriculture is scheduled to enter fully into the New Zealand Emissions Trading Scheme from 2015. However, the Government is

facing calls to exclude agriculture. Wills said New Zealand’s carbon footprints have averaged a 1.3% reduction each year for the past two decades. Continued research by the Greenhouse Gas Research Consortium locally and internationally was arguably where New Zealand would grab the high frontier and a competitive advantage, Will said. “The world needs a green revolution and New Zealand is ideally placed to lead it, provided we can overcome self-imposed limits. “That the human race is growing by two people every second creates immense opportunity for the biological economy. We need to use all our skills and knowledge in the biological and the physical sciences to increase our production and the value of our products.” Wills says we mustn’t restrict ourselves to old technologies. “We should instead be prepared to consider new technologies such as genetic modification and nanotechnology but only when we can be certain it will benefit our economy and of course, our environment.” Wills predicted our primary industry exports will exceed $40 billion by 2020, a 25% increase over eight years but well below the 73% increase over the

Co-op’s ‘four-minute mile’ FONTERRA HITTING the $20 billion revenue barrier will be corporate New Zealand’s equivalent of the four minute mile, Federated Farmers president Bruce Wills says. Fonterra’s alchemy of marketing and supply chain logistics meant it was now on the cusp of smashing the $20 billion revenue barrier, he told the Federated Farmers annual general meeting. “Very few realise just how big or important Fonterra is as our one true world-scale corporate. Dairy alone is over a quarter of all this country’s exports.” The $20 billion barrier made the debate over Fonterra’s future the New Zealand business story of the decade. “ “With TAF now voted let’s hope dairy farmers unite and continue to grow this very important company.” Wills said in 2004 dairy exports were not quite $5 billion, but today, were almost $12 billion – a staggering 240% increase.

past eight years. Indebted local markets and troubled European and American markets would prove to be strong headwinds but Asia would support new growth. “Having recently

returned from overseas I get the impression that while the rest of the world is worrying how to feed a growing population, some here talk of capping production. While the rest of the world seems

focused on growing their economies, some here talk of winding back the clock.” Wills said a profitable and growing farming sector was the best way to support good environmental practice.

Bruce Wills

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Dairy News july 10, 2012

10 // federated farmers conference

Ready to tackle tough issues PAM TIPA

WEST COAST dairy

farmer Katie Milne will have no trouble making her mark on the Federated Farmers board if the way she dealt with armed poachers is anything to go by. Milne, (43) who is the Feds’ West Coast president, chased the poachers 12km down the road and pulled them over. “They sat there like little lambs and let me tell them what I thought was the error of their ways and they came back up and dutifully gutted the deer for me. “I told them ‘you have to ask’.”

After outlining the dangers of hunting when the farmer does not know you are there, she even offered them half the deer, but they were too scared to accept. But the wider issue of the upsurge of poaching, including cattle and sheep, is among a number of concerns Milne will look at now as a member of the Federated Farmers national board. She becomes the second woman to join the board following Jeanette Maxwell’s election in 2011. Milne bought her farm in 1992 and joined Feds five years ago. She follows in the footsteps of her mother who was West Coast Meat and Fibre

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spokeswoman and went on to be president. The portfolios she gets will determine her initial focus but Milne is keen to champion farming to the wider New Zealand public, encouraging town and rural people to reconnect. “I want to help raise the profile of farming again in New Zealand’s eyes so people realise it’s the powerhouse of New Zealand’s economy. Without us thriving and being able to go forward without too much encumbrance New Zealand will suffer,” she told Dairy News. “It feels like of late there’s such a disconnect between rural and urban that perhaps some people have been more influenced by the environmental groups and lobby. Definitely there’s the odd environmental issue out there and we are not stepping away from that. But the bigger picture is that every country plays to its strengths. “New Zealand’s strength is agriculture and we need it to thrive to go forward and bring in all the export dollars we do. It’s the country’s export

cheque every day, whether milk or meat or forestry or whatever.” Milne says countries such as Greece, Spain and Portugal, which have hung their hat on financial instruments or tourism, are now paying the price. “We need to make people more aware of agriculture and what it can do for New Zealand and where it needs to go to make us even more prosperous.” Milne is also keen to see more young farmers come through the ranks of Federated Farmers and hopes her knowledge of modern technology may help. “I have a confession. I have an iPod and I download music. I use Facebook and I upload videos from YouTube and I drink Red Bull.... but it has given me wings,” she joked at the Federated Farmers annual meeting in her speech as a candidate for a board. But on a serious note, Milne told Dairy News she sees the social media as a critical way to reconnect with young farmers and the urban community. Young farmers and

workers were hooking into Facebook on their cellphones during downtime on the farm. Fortunately Federated Farmers is already out there with a Facebook page and Twitter. With West Coast being a pristine area, Milne says they have been used to dealing with the environmental lobby. But there’s been a big change from “butting heads” to sitting round the table and discussing issues with DOC and Forest and Bird. Milne says farming needs to capitalise on the shift it has made environmentally and make others

Katie Milne

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Farmers West Coast provincial president, Milne is the West Coast chair of Tb Free and previously a member of the West Coast Focus Farm advisory board and a member of the local volunteer fire service. She has briefly lived in Canada and has been a management group chairwoman for Sustainable Farming in the Lake Brunner Catchment Project. And she has had governance experience on the Westland Milk Co-op directors remuneration committee.

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Dairy News july 10, 2012

federated farmers conference // 11

Combatting the ‘more-on’ disease PETER BURKE

THE NEWEST member of Federated Farmers’ executive board sees his role as being the voice of small operators. Gray Beagley, elected last month to Feds Dairy executive, told Dairy News that with the huge increase in dairy farm amalgamations and large conversions, there is a need for smaller dairy farmers’ voices to be heard. Beagley and his wife Andrea, who’s also a Feds field rep) run 180 cows on their 70ha organic farm just out of Woodville in the Tararua district. He says he’ll bring an

“organic” perspective to the executive. “Given the importance now of environmental issues, I’m going to bring some strength in that area. Lots of conventional farms are having to move down the continuum towards organics and while they won’t need to be certified, they will look to solutions such as lower stocking rates and grass species which can absorb nitrogen better.” The decision to go biological and organic came when he and Andrea bought a run-off block across the road from their farm. “It was just chalk and cheese between that farm and our farm. Across the road there were masses of clover

and worm castings everywhere, but none on our side. “Our farm had been sharemilked for 25 years with a high use of urea and we could see the damage this was causing to the pastures,” he says. Beagley says many conventional farms suffer from what he calls the ‘more-on’ disease – encouraged by fertiliser reps to apply more than they need. Their decision to go organic combined lifestyle and profitability. “With our level of debt it had to be financial first and foremost, then it was clear the philosophy and values of farming biologically sat well with our own values.”

Feds debate land sales

Andrea and Gray Beagley.

The benefits of organic farming are many, Beagley says, notably less stress for him and his family and the cows. “We were on a treadmill and everything was under pressure including the cows. We were always looking for the next blade of grass. But with lower

stocking rate the cows are in better condition and we’re not getting the mastitis cases we used to.” Beagley is looking forward to working on the dairy section executive. He says Willy Leferink once told him, ‘If you’re not around the table you’re probably on the menu’.

THE EMERGING possibility of foreign Governments buying New Zealand farms to secure food supplies for their own people, was one argument raised in a bid to have Federated Farmers review its policy on foreign ownership of land. The late remit asking for a review was put forward to the annual meeting at Auckland conference by the Taranaki branch, concerned about young New Zealanders missing out on the chance to buy farms. Other speakers raised the issue of what foreign entities were buying the land. “At a time of world food security issues, there is a huge threat to our country of very highwealth monetary funds or sovereigns themselves coming down to New Zealand and purchasing huge tracts of land with a view to ultimately vertically integrating that land into production back to their home country,” said one speaker. “This is going to strip all value of production other than the very basic value of producing that commodity.” He didn’t see the difference between his family coming here 150 years ago to make a life in farming and someone else doing the same thing now. “But my view is if you want to buy land in New Zealand, come here, get yourself a passport, grab yourself a paddle and help us paddle our boat faster. But for future generations I do not want to see us – for short-term gains – selling our farms to overseas interests.” The motion to review the policy of foreign ownership of land was lost.

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Dairy News july 10, 2012

12 // news

Heifer training raises questions ANDREW SWALLOW

ARE YOU this winter

introducing your heifers to the milking shed prior to calving? If you are, the way you do it is crucial, say Agresearch Ruakura scientists, whose recent research revealed the negative effect of doing it wrong. At last week’s Australia and New Zealand Animal Production Societies’ conference at Lincoln, Suzanne Dowling presented findings from a study of trained and nontrained heifers in two large Waikato herds. Heifers introduced to a rotary three times per week for three weeks prior to calving acted-up increasingly once they were in milk – more than those that hadn’t been trained. “Is a little training

worse than none?” Dowling asked rhetorically as she summed up the paper. “And is handling the udders a critical

On both farms a randomly selected control group of heifers remained on the paddock during training sessions, but otherwise all heifers were grazed together at all times. Once calved, the trained heifers flinched,

stepped and kicked more than their untrained counterparts such that it took, on average, 36.5 seconds to cup-on during their first day in milk – nearly three times as long as it took for untrained heifers. The difference in time to attach clusters per-

sisted until their fifth day in milk, and though results beyond that were not statistically significant, the number of cluster reattachments required for the trained group remained marginally higher through to week 6, when data collection stopped.

There was no apparent difference in milk yield, milking duration or milk flow rate between groups. One positive observation, which wasn’t logged as part of the trial, was that trained heifers flowed onto the platform better.

Smart grazing gains possible

Suzanne Dowling

component?” In their study, training involved walking heifers onto a rotary and exiting after one rotation, with human help if necessary. This was repeated three times each training session, with heifers introduced to normal shed operations and sounds such as cleaning and feeding.

COULD WE produce more milk with less environmental impact simply by tweaking the way we offer grass to our cows? Probably, judging by a review of at least 130 scientific papers relating to diurnal grazing presented last week by DairyNZ’s Pablo Gregorini as the Harry Stobbs lecture to the conference. “If we can combine hunger management with timing of pasture allocation... we can in fact improve the efficiency of harvest of pasture, reduce regrowth heterogeneity (variability) and ingestive constraints,”

he told participants. Cows naturally break the day into three-five grazing sessions, the largest and longest leading into dusk, he explained. That last graze coincides with highest pasture quality, as sugars and drymatter from photosynthesis accumulate during daylight hours. However, if grazing is restricted at certain periods, hunger drives compensatory feeding later, such that daily intake may not be affected. If the quality of that intake is higher, production can be increased. Gregorini presented work

showing that restricting grazing to afternoons increased milksolids output 2%, with a 6% increase in Pablo Gregorini milk protein and 19% reduction in urinary nitrogen. A possible downside is disruption of digestive efficiency in the rumen, but strategic supplementation could resolve that, Gregorini suggested.

in brief NAIT wait over DAIRY FARMERS are being reminded that any bobby calves destined for other farms, including calf rearers’, now must be NAIT tagged. The new NAIT regulations came into force in 1 July. But NAIT Ltd chief executive Russell Burnard says if calves are just going direct to the works they need not be tagged. He says at present it’s relatively quiet in the dairy sector as far as NAIT is concerned, but he expects this to change in the coming weeks as cows return home from grazing on other farms. “Ideally farmers should arrange with the person grazing their stock to have them NAIT tagged and the movement organised. If they can’t do this they should tag the animals when they arrive back.”

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Dairy News july 10, 2012

south island dairy event // 13

Play China hand with great care – Synlait chief

PENNO OPENED his presentation by trying to give the SIDE audience an appreciation of the scale of China: 36 times the land area of New Zealand, 300 times the population. It’s also incredibly old and deeply cultural, with big regional differences. At about the time of the Maori migrations to New Zealand, Chinese sailors were navigating the globe inviting dignitaries to the opening of the emperor’s new palace, he noted. Such size, culture and history mean “there are no averages” when talking about China and it’s not a market anyone could understand from a few visits. He stressed his presentation was not passing judgement, merely relaying observations. “I don’t pretend to understand what’s going on in China. All I’m going to do is tell you about my experiences.”

John Penno

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with the partners we work with. We target people with high friends.” He also pointed out that Synlait still only sends 13% of its product to China.

sive Chinese demand for New Zealand milk powder in future and firms need to be very careful selecting who they trade or partner with there. Those were two standout messages from an enthralling presentation about China to the South Island Dairy Event by Synlait chief executive John Penno. “I’m not a big believer that there will be massive volumes of milk powder sent to China,” he told the 500 delegates during one of the three-day conference’s keynote addresses. “I also don’t think that’s a smart thing for [New Zealand] to be doing.... Our strategy [i.e. Synlait’s] is to be really good at infant formula and get infant formula into that luxury market.” While he said targeting dairy goods at luxury markets in China wouldn’t necessarily be a strategy for all, he made it clear he didn’t believe the postmelamine crisis surge in commodity supply could continue. That saw New Zealand exports soar from a fairly steady 100,000t/ year prior to 2009 to 250,000t in 2009, then 400,000t in 2010, and about 330,000 in 2011. “Do not underestimate the Chinese ability to get it back down to here,” he told the SIDE audience, indicating the 100,000t plateau on the chart. However, food contam-

prises. Penno said the partnership is part of the firm’s strategy to minimise its risk from being caught up in a food scandal – his greatest fear. “We’re very careful

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people to do in 1990 was being done by 20 people 20 years later.” Synlait’s 51% shareholder and partner Bright Dairy is one of the 120 largely state owned enter-

N PR E O W

ANDREW SWALLOW

ination incidents continue to plague the country and only recently another one emerged that involved milk, this time contaminated with the deadly heavy metal mercury. Unlike the melamine-inmilk scandal, the Government was able to “cleanse” the news such that it is now hard to find record of it even on the internet, noted Penno. The company involved was one of about 120 semi state-owned enterprises which dominate China’s economy. Penno says these companies are run by senior members of the Communist Party. Collectively they made about US$140 billion profit last year, yet paid no more than 10% of that to the Government in dividend. “The Government says to them: ‘don’t pay us a dividend. Reinvest it!’ ” So much has been reinvested in the past 20 years their return on capital is “not looking so flash now,” he noted. That’s despite most such firms getting land well below market value and free energy, and because of China’s regionalised system of society – cheap labour from the provinces. “This is a deeply controlled economy,” he stressed. However, productivity increases, averaging about 9% per year for 20 years 1990 to 2010, had been “astounding”, especially considering the workforce had increased by about 140 million over the same period. “A job it took 100

Dairy News july 10, 2012

14 // south island dairy event

Crop wintering faces council scrutiny ANDREW SWALLOW

IN SOME areas, catch-

ments and soil types, wintering stock on crop won’t be possible under new environmental regulations being drafted by regional councils, a DairyNZ scientist studying wintering systems has warned. “We still believe there are opportunities with crops,” Dawn Dalley told a workshop at the South Island Dairy Event (SIDE) in Dunedin. “But in some areas, some catchments and soil types, you are not going to be able to winter on crop.” Dalley is leading a three-year study of six farms’ wintering systems

in Southland and Otago, funded by DairyNZ, MAF Sustainable Farming Fund and Environment Southland. At SIDE she presented interim figures from the study showing alternatives to on-crop wintering cost considerably more (see table). However, there are opportunities to recoup some of that cost in fertiliser savings and extra income from extended lactations, and returns are very sensitive to capital cost, she said. The financial analysis was standardised to represent costs for a 600 cow herd wintered for 70 days, consuming 10kgDM pasture silage/head/day indoors, or 8kgDM of crop

and 3kgDM of silage/baleage outdoors. In both cases silage/baleage was costed at 30c/kgDM, the equivalent of $65/bale. Crop yield was averaged at 13tDM/ha with an assumed utilisation of 75%. Feed utilisation on pad or housed systems was put at 95%. Systems involving infrastructure investment assumed 15 years use, with terminal value adjusted according to system. Capital was assumed to cost 8%. While investment cost was key to off-crop systems, land lease cost, and crop yield – in that order – were key factors on crop. However for both groups, level of feeding drove the highest changes in net

present value (NPV) calculations. “For all scenarios except the freestall barn with extended lactation, dry matter intake had the highest percentage change in NPV across the drymatter intake range used,” states the SIDE paper. As for the environmental aspects, Dalley told an earlier workshop: “In

terms of nitrate leaching there are much higher estimates or predictions for the winter crop... There’s a correlation between nitrogen surplus and leaching so there are opportunities to look at nitrogen management on farms.” That said, N losses on the farms monitored were still below 25kg/ha, she notes. “They were all very

Wintering system Crop on milking platform (2 farms) Crop on lease block Pasture & silage on lease block Feed pad with self-feed silage Herd Home Loose housed barn Freestall barn, normal lactation Freestall barn, +30days at 1kgMS/ cow/day lactation

good but there’s still room to improve.” SimDawn Dalley ilarly, sediment losses and soil damage are cut more supplement.” by back-fencing. That means more While housing should nutrient brought onto contain nitrogen for spreading, and prevent soil the farm, so reductions damage and sediment loss in losses by cutting out winter crops could be lost entirely, “if you go down in higher nutrient loadings the barn route it tends to overall if not appropriately point you in the direction managed. of higher inputs and/or

Net cost ($/cow/week)

Net present value*

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Dairy News july 10, 2012

16 // south island dairy event

Balloon goes up at dairy meet ANDREW SWALLOW

Davey Hughes had the SIDE audience in stitches.

LAST MONTH’S South Island Dairy Event started with a bang, quite literally

for some. Opening keynote speaker David Todd had delegates blowing up balloons to demonstrate the need to keep a balance in

their lives: try to put too much in and it ends in pieces. Todd was the first of a string of keynote speakers who spanned the

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spectrum from directly relevant to dairying to simply entertaining. Synlait chief executive John Penno’s presentation on China (see page 13) tended towards the former; Swazi owner and international hunter Davey Hughes’ talk the latter. Somewhere between were international rower turned motivational speaker Rob Hamill and business woman Sue Lindsay.

is they are calling to us for leadership.” Lindsay urged delegates to “slow down, and take your people with you.” Hamill’s address took the audience from his high of winning the inaugural trans-Atlantic rowing race by a country mile, to the low of his brother’s torture and execution in Cambodia. “Every day during that row, at some point, I

“Never allow anyone else to tell you if you’re successful or not.” – Sue Lindsay. “One question I’ve been asked more than any other is what it takes to be successful,” Lindsay told delegates. “My answer is always the same. Never, never, never allow anyone else to tell you if you are successful or not.” Success “leaves clues” wherever it occurs and she urged delegates to “get outside the industry you work in. That’s where you’ll often find an edge.” Whatever the industry, ask people what are their greatest challenges and the answers tend to be the same: time pressure, work/life balance, money, people management. “My theory is unless you are passionate and engaged then we have no right to expect passion and engagement from our people.” Today’s critical success factors are resilience and agility, and the much maligned Generation Y, are in fact “your biggest opportunity.... The reality David Todd

thought of my bro’... After not talking about it for 30 years, I decided to make a film about it.” The result, Brother One, played recently in arts cinemas around the country and later this month an abridged version will be broadcast on TV3. Hughes’ presentation was no doubt something of a hangover cure for some, coming the morning after the conference dinner. He jumped from jokes to several slickly told and equally funny real-life tales, such as a run-in with customs and excise when returning from Russia. Nonetheless, even his speech had its poignant moments, including pictures of a young African elephant slaughtered for its ivory. “Is it the fault of the poachers? The fault of the people buying it? The fault of the people doing nothing about it? I have not quite got the answer to that yet.”

Dairy News july 10, 2012

news // 17

GDT dip sign of stability ANDREW SWALLOW

LAST WEEK’S 6% drop in prices on GlobalDairyTrade to average US$2787/t was within expectations and fundamentals still point to a firming later in the year and in 2013. But if that doesn’t happen Fonterra’s forecast milk price of $5.50/kgMS for the 2012-13 season could prove optimistic. “At current prices and exchange rates we’d be looking at a $5.20/kg or even $5.10/kg milk price,” ANZ rural economist Con Williams told Dairy News. With production costs rising that would leave little or no margin for many farmers, he warns. “We do need the price to increase or a lower currency for Fonterra to deliver $5.50/kgMS.”

The good news is dairy farmers in the US and Europe are starting to feel the squeeze of lower prices with some reports that production in the US in particular has plummeted in the past month or two. Adding to the pressure will be a heatwaveinduced surge in corn prices, the main feed input in the US. Whether the surge in corn prices – up nearly 30% in just three weeks – will be sustained remains to be seen, says Williams. “It will still be four or five weeks before we have a better understanding of what the full [heatwave] impact will be. A lot of analysts are talking about a 155 bushel/acre yield average instead of the USDA’s last forecast of 164bu/acre. Our view is that anything below 155bu/ acre and corn is going to

remain pretty elevated.” With the feed-to-product price ratio already below breakeven, production is expected to “come off quite a bit towards the end of 2012,” he says. Hedging of milk and feed prices by producers means many will not be feeling the full effect of the pincer movement yet, he adds. The likely easing in supply was reflected in the spread of prices on GDT, near contracts 1-3 being marked down more than those 4-6 months out. “That suggests a price recovery towards the back end of this year and into the first quarter of 2013.” A possible spanner in the works is currency. “The concern is a disconnect between the [New Zealand] dollar and commodity prices. It’s being driven by other factors:

the New Zealand economy is growing reasonably strongly and looks in a better position than our peers’.” Williams says his per-

sonal view is that anything over US80c/NZ$ is too strong and he believes it will drift lower. “Particularly if dairy prices don’t improve,” he says.

Demand fades as economies weaken DAIRY COMMODITY prices will endure a slow squeeze in the fourth quarter 2012 with lacklustre demand in the face of the weak global economy, says a Rabobank report. However as supply growth loses momentum, price recovery should start to gain legs in 2013, says the report. For the new season, lower prices are likely to have little impact on production prospects in the first half of the New Zealand season. Farms have good feed supplies on hand, cows are in good condition and calving patterns are expected to be tight. Rabobank says after a period of surplus generation, by June the global dairy market had entered a

rebalancing phase. The rate of price recovery will depend on the amount of excess stock accumulated during the first half, the time it takes supply growth to lose momentum and the prospects for demand improvement. The report said consensus forecasts suggest 2-2.5% global growth in GDP in the third and fourth quarter, well below the 20-year average of 3.2%. China growth has slowed but it will improve as the government deploys its substantial capacity to pull monetary and fiscal levers, but elsewhere activity will be lacklustre. Demand for dairy products will grow in emerging markets where

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consumers are seeing real wage growth. But it will be slower than recent years given slower economic activity. The report says milk production growth will slow as 2012 progresses, with the weather normalising and farmers seeing significant reductions in milk prices as first-half commodity price alls finally reach the farmgate. Rabobank forecasts aggregate supply from the ‘big seven’ export regions to slip from 3.2% in the first half to 1.2% in the second. The market should enter a slow squeezing phase by the fourth quarter as existing stocks are worked through.

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Dairy News july 10, 2012

news // 19

Jersey contribution JERSEY NEW Zealand members form an intricate part of the New Zealand dairy industry in terms of bulls provided. The 2012 bull catalogues published by LIC and CRV Ambreed show 72% and 94% (respectively) of breeders listed in each publication are Jersey New Zealand members. “Over the last six years, 81% of Jersey

Jersey New Zealand president Brian Carter (left) with Vivienne and Alan Lockwood-Geck and CRV Ambreed marketing manager Peter Berney.

Sire of the season PUKEROA TGM Manzello last month won the JT Thwaites Sire of the Season award at Jersey New Zealand’s annual conference. Bred by Alan and Vivienne Lockwood-Geck, Cambridge, Manzello is the third Jersey Genes bull (a joint venture between Jersey New Zealand and CRV Ambreed) to win this award. All three recipients still feature on the Jersey Ranking of Active Sires List. With a breeding worth of 253/86, Manzello is currently the number two

Jersey bull on the RAS list (and fourth on the all

the recipient must have at least 40 daughters in pro-

Pukeroa TGM Manzello

breeds list). Part of the components of the award mean

duction over a minimum of 20 herds, a minimum of 20 daughters contribut-

ing to TOP information, a minimum 75% reliability and no less than -0.2 for udder overall, dairy conformation and overall opinion. Manzello was one of the first bulls to be released in a genomically selected scheme. Favourable comments on daughters milking in herds have been received around the country and progeny are now starting to filter through to the industry, Jersey New Zealand says. He has been exported to at least six countries.

bulls actively contributing to the industry were bred by our members – a phenomenal average,” the organisation says. In addition, a “staggering 90%” of bulls listed on the June 2012 Ranking of Active Sires list (RAS) were bred by members. Jersey Genes the joint venture between Jersey New Zealand and CRV Ambreed has been running for almost 20 years.

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2009-born team results THE 2009-BORN JerseyGenome team results were also announced at the conference. Thirty-five heifers were originally selected for the 2009born team with 31 starting the testing season. All regions of the country were represented, the largest contingent based in Waikato with 58%. A wide array of sires was represented within the group with 15 daughter proven bulls and three genomic sires (at time of selection). Of the 31 heifers, 25 completed their five herd tests. Six heifers did not meet the criteria due to late calving, early dry dates or sickness. Twelve heifers met the criteria of scoring a minimum of 7 for udder overall and dairy conformation and 11 were confirmed in calf to their AB mating and went on to graduate. Of these 11, six graduated with honours.

Iain Emslie (left) receives his award from CRV Ambreed managing director Angus Haslett.

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Dairy News july 10, 2012

20 // news

Vibrant in community TWO JERSEY breed-

ers have won the 2012 JW Singer awards, presented to a maximum of two Jersey New Zealand members for their contribution to farming, administration and social activities. Jersey New Zealand says Megan Browning and Philip and Susan Ingram were worthy candidates and nominated by their respective clubs. Megan Browning, Totara Dale Jerseys, Northland, has been involved in the Jersey world from an early age. Whether in junior showing, club activities, annual events or involved in Jersey New Zealand, Megan emulates all things Jersey, the association says. Browning was nominated by the Northern Wairoa Jersey Club. Philip and Susan Ingram of Philsan Jerseys,

Manawatu, are known to many in the Jersey world They enjoy farming and are a vibrant part of their community, active in local events and activities and supporting Jersey New Zealand, sharing its vision. Actively registering all eligible cattle and classifying their herd regularly, they have just had a heifer named in the 2011 born

New vision for Jersey breeders ANIMAL

Philip and Susan Ingram.

JerseyGenome intake. The Ingrams were

nominated by the Manawatu Jersey Club.

junior award winners OVER THE years the Marcus Trotter Award for junior showing has been a highly contested award, a culmination of hours of hard work and dedication for junior showing. The Marcus Trotter Award is open to Jersey New Zealand junior members who show their animals at A & P Shows but excludes calf club events and Jersey Club field days.

Joanna Fowlie, Morrinsville, came first with 67 points; Hayley Instone, Gore, second with 56 points; and Luke Instone, Gore, third with 25 points. Hayley Duncan, Te Awamutu, won the Junior Showing Trophy competition. It is open for Jersey New Zealand junior members who show their animals at calf club days including school and/or A&P.

BREEDING

experts CRV Ambreed and Jersey New Zealand have launched a new commercial genotyping service. GenoScan offered to Jersey New Zealand members is the first of its kind in genomic services, adding to two jointventure schemes set up by CRV and Jersey New Zealand. GenoScan was launched last month at the Jersey New Zealand annual conference. GenoScan enables members to nominate yearling and/or heifers to be genomically tested. Animal’s identified as ‘merit’ will filter through to GenoScan Plus and receive a recommended mating; any progeny generated will be considered for Jersey Genes or JerseyGenome. Nominated animals must be sired by a registered Jersey bull, and be a minimum Jersey content of 13. Genomic testing of nominated animals will be batched four times each year with Jersey New Zealand, CRV and the breeder receiving all results. All breeders participating in the

GenoScan scheme will get a confidential copy of the genomic results, a recommended mating for the heifer and a guide on how to interpret the results. The information gathered will contribute to the Jersey reference population, increasing the reliability of future testing. The added benefit for the industry and breed is that we are able to identify elite female families to produce industry sons earlier. Genotyping and pedigree information will be stored at CRV headquarters with raw genomic BV data being stored at CRV Ambreed and process report data stored at Jersey New Zealand head office.

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Dairy News july 10, 2012

world // 21

Support for merger A PROPOSAL to merge UK milk processors Milk Link and Arla Foods amba has been overwhelmingly approved by their respective farmer owners. At least 83% of Milk Link suppliers voted – 5560 (99.53%) favouring the merger and 26 (0.47%) against. Arla Foods amba’s representatives also voted a strong endorsement. Milk Link is the

Three major UK processors are reducing farmgate milk prices.

Price cut uproar UK FARMERS are angry at milk price cuts during the past two weeks by three big dairy processors. Robert Wiseman Dairies, Arla Foods UK and Dairy Crest – all suppliers of fresh liquid milk – will cut payments to farmers by 3.3c/L, 3.9c/L and 3.2c/L respectively. These cuts follow others in recent months. National Farmers Union dairy board chairman Mansel Raymond says the price slash comes at the expense of the average dairy farmer who is now taking a big loss on every litre. “I echo the call made by one major producer group, Dairy Crest Direct, that this now amounts to a combined profit warning for the majority of dairy farmers. All producer rep-

resentatives must now stand together and fight to restore profitability.” All processors blame deterioration in commodity markets and cream prices. But Raymond says none of them is taking responsibility for this dire situation. “This typifies everything that is wrong with this market place. It is time for liquid milk processors – and retailers and other major buyers – to take responsibility for this dysfunctional supply chain. It fails to address the one basic need of any business: to cover costs and make a profit. “It is the aggressive and deflationary nature of price negotiations between retailers and processors that is really hurting. Some farmers receive

a cost of production linked to their milk price but for those who aren’t sheltered by such deals the pressure on price is again unbearable. “Until all retailers and processors commit to a fair and transparent supply chain – one that ensures a fair return for farmers – we will never break free from this vicious cycle of crisis after crisis in the dairy sector.” Farmers want processors to own up to selling milk cheaply, becoming too reliant on the prices of secondary products for income. They also want the Government to sort out the dairy contracts mess. “This has been promised; now is the time for delivery.” Raymond calls for

“urgent meetings with all retailers and major food companies that buy liquid milk. This erosion of prices is crippling our dairy industry at a time when it should be thriving. It must stop; the very survival of our industry is at stake.” Dairy Crest chairman David Herdman acknowledges the financial squeeze facing farmers. “This latest cut to our members, which comes on top of a 3.9c/L cut in May, will deliver a completely unsustainable milk price.” He estimates the deficit between milk price and production cost to be $103,000 a year for its liquid suppliers. Dairy Crest is issuing a profit warning loss of $68 million for non-aligned DCD producers this season.

leading UK dairy farmer co-op and Arla is a successful European dairy cooperative. The full merger will now take place, subject to necessary regulatory authority approvals. It will create the largest business in the UK dairy market, with turnover of at least $4 billion. It will process 3 billion L of milk per annum, almost one quarter of total UK production.

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Dairy News july 10, 2012

22 // OPINION Ruminating

EDITORIAL

The Crafar opera rolls on

milking it... Pass the sandwich please

AS USUAL at farmer functions the media was lambasted in every session of the Feds conference, held in the heart of townie territory – Auckland. Alas city media don’t know one end of a cow from the other, but their hides are as thick as leather when it comes to media bashing, that being the first tactic of any cornered politician. Less bashing and more engaging usually works, and there was a notably absence of Fed delegates making themselves known in the media corner, though PR man David Broome was the perfect host. Also, though journalists got a roasting they didn’t get any roast. The Feds sat down to a slap-up hot lunch while listening to Bill English’s diet of ‘mean lean’. Journalists got sandwiches.

Mobile milk detective

IN A bid to keep milk adulteration in check, India’s leading milk supplier Amul has deployed a mobile van to do onthe-spot checks of milk samples in 1200 village cooperative societies under its jurisdiction. This will ensure speedy testing of suspicious samples, the co-op says. Amul has 3.18 million members and can handle 13.67million L of milk every day.

Who’ll bid $1 for a dairy farm?

Gelato goes to the dogs

THE PUBLIC fixation with Crafar Farms has no end we can detect. A woman who tried to buy the Crafar farms for $16 has been banned by the High Court from any dealings over the properties. Receiver KordaMentha has agreed to sell the 16-farm group to Chinese firm Shanghai Pengxin – a sale tied up in separate legal action – but last August Elizabeth Lambert signed documents with Crafar patriarch Allan Crafar to buy the properties for $1 each. The Crafar sale to Shanghai Pengxin has angered some locals worried large swathes of prime land will end up in foreign hands. She then filed caveats on some of the farms and attempted to file changes of ownership, prompting KordaMentha to file claims in the Hamilton High Court seeking to have the sale ruled void.

LEAVE IT to Italians to come up with just the thing to survive the dog days of summer – canine gelato. This Italian ice cream for dogs contains no milk, eggs or sugar – all harmful to canines. With temperatures last month in Rome topping 36 degrees, dogs were lapping up the icy treat at a pet supply store on the outskirts of the capital. Dog-owner Anna Bordoni couldn’t resist a taste from her mutt Elsa’s cup and declared it “fantastic.” Flavours are vanilla, rice and yogurt and a serving costs €2.

THE SALE of the Crafar farms is fast becoming the soap opera – or is it comic opera – of the farming world. The stars have included Allan Crafar himself, people called receivers, an iwi or two, a knight of the realm, honorable judges, various bankers and PR types, journalists, a Chinese company, an SOE, the OIO, MPs, ministers of the Crown and even the Prime Minister, plus a bunch of extras. Quite a high-powered cast for what is essentially a tragedy turned comedy. Initially it was supposed to be a simple plot: sell the Crafar farms ASAP and the banks can live happily ever after, though one party – Crafar and his family – won’t be doing that. But as time has gone by, the plot has thickened and the cast has increased by the month – sometimes by the week – and like any good soap opera there is no end in sight. Even the central character, Crafar, made another cameo appearance at the recent Ahuwhenua Awards when he rubbed shoulders with the Maori trust that leased him some land. In recent weeks, Hardie Pene and his Tiroa E and Te Hape B Trusts have become part of the act as they made a bid to buy two of the farms off Pengxin – which incidentally still doesn’t own the farms – but might or might not. Pene’s offer was rejected by Pengxin’s agent Landcorp as being too low, which was interesting coming from the organisation whose bid was earlier rejected by the receivers as also being “too low”. This saga can make you cry with laughter or frustration; and you could excused for being a tad angry. It might be fun for some people watching this show unfold, but spare a thought for the biggest loser of all – NZ Inc. As long as this soap opera goes on and the receivers’ bills continue to climb, the less milk solids the farms will produce. Yes, all New Zealanders are footing the bill for this tragic show.

Got something on your mind? GOT SOMETHING on your mind about the latest issues affecting our dairy industry? Put your pen to paper or your fingers to your keyboard, and let our readers know what you think. Contact us by either post or email. Don’t forget to put your name and address. Note: Letters may be edited. post to: Letter to the Editor PO Box 3855, Auckland 1140. or Email: dairynews@ruralnews.co.nz

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Dairy News july 10, 2012

opinion // 23

Water issues loom large Federated Farmers Dairy chairman Willy Leferink told the Feds annual conference in Auckland that TAF (trading among farmers) is nothing compared to the next hurdle facing the industry. Following are excerpts from his speech. I WANT to focus on the

National Policy Statement for Freshwater (NPS) management but there are others lurking under the bushes. Believe it or not, a current starting point for water quality benchmarks is pre-human New Zealand, say 900AD. I’d love to turn back the clock – wouldn’t we all. We’d still have moa and all sorts of long-gone animals about. It also means we wouldn’t have possums, stoats or rabbits. We wouldn’t have the giardia tourists introduced to our water during the 1970s, the didymo introduced by a freshwater angler last decade. Thankfully the Land & Water Forum knows 900AD is a really silly place to start. LAWF and Federated Farmers wants water benchmarks based on New Zealand in the 21st century and not some past we can never go back to. The NPS requires regional councils set limits on fresh water by 2030. It is meant to be about engagement with communities to establish robust and durable solutions. These can take time so it’s meant to be about quality, rather than quick processes and frameworks. We seem to have

schizophrenic policies from our Government and the Opposition. On one hand they want lots of export earnings from us. That means more dairy cows and greater production from those cows, but from much less land as our cities sprawl outwards. On the other hand, they’ve put in place policies that give over eager regional council staff a blank cheque guaranteeing their wages as crusaders for the environment. So who is running the show, the Government or council officers? Frankly I don’t know but it feels as if we’ve given the keys of our Caterpillar D8s to bureaucrats. They found the light switch, what’s next? To some ‘green-necks’, as Gareth Morgan labelled them, that will be a good thing. I think to anyone wanting heart surgery or a university degree, it is not such a good thing. It also denies the progress we’re making as farmers and doesn’t have any kind of perspective. So here is some. In Holland, home to the tallest people in Europe, the nitrogen balance per hectare is about 229 kg, in Belgium it is 184 kg and in Germany, it is 113 kg. Here in New Zealand, it is 46 kg/ha.

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Given those other countries are green-aware but less efficient than us, councils need to take a deep breath and look closer to home. We’ve been told that in one cru-

sading regional council, half of the consents relating to urban sewerage and wastewater are either expired or non-compliant. Doesn’t that tell you something big – like we’re all in this together? Federated Farmers is working with industry partners and other sectors of the primary industry to

pull back to reality what some regional council planners have in mind. My concern is that guidance, consistency and agreements on the implementation of the NPS now coming out of the Land and Water Forum may come to nothing once the regional council horse has bolted.

Willy Leferink

Dairy News july 10, 2012

24 // agribusiness

Spray dryer turns dream into reality GOAT FARMERS’ commitment to

Science and Innovation Minister Steven Joyce tours the new spray dryer with plant manager Dave Shute (left).

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use the proposed Innovation Waikato product-development spray dryer was the fillip needed to gain Government funding for the project, says chairman Michael Spaans. He told guests attending the June 26 opening of the $11 million plant that news, in March 2010, of Government money available for dairy innovation had given the idea focus, but much hard work remained to realise their vision of a spray dryer. “It was up to us to rally the commercial sector to demonstrate its commitment to this Waikato facility before those funds could be confirmed,” Spaans says. One year later Innovation Waikato chief executive Derek Fairweather and colleagues learned that the Dairy Goat Co-op would be the first major commercial customer for the plant. This was critical in creating a commercial case, gaining commitment for Government funding and approval to build the plant as a ‘private-public partnership,’ Spaans says. Dairy Goat Co-op will use the plant 140 days per year as extra capacity to meet their expansion requirements. About eight co-op staff will

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Only independent development dryer in New Zealand.

■■

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■■

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■■

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■■

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■■

The dryer is the Waikato component of the NZ Food Innovation Network.

work on site. Spaans says the dryer, named NZ Food Innovation Waikato, is the only independent development spray dryer in New Zealand. It allows research, develop and manufacture of new dairy products, specifically milk powders. The dairy industry generates about 27% of Waikato’s GDP, Spaans notes. “We believe this dryer facility is one key mechanism that can help our world-leading dairy industry to focus even further on value-added

production.” And the long-term prospects are exciting. “We’ve built this plant with the potential to... manufacture infant formula and even fruit and vegetable juice powders. “We’ve already had a lot of interest from infant formula manufacturers, as well as fruit and vegetable powder distributors.... We are highly optimistic about the future.” Science and Innovation Minister Steven Joyce opened the spray dryer, completed late in April after eight months work. “We believe this is the fastest build of its type in the world,” says plant manager, Dave Shute. Commissioning and testing took one month and the first fresh milk was converted to powder on May 25, all a smooth process, Shute says. “I’ve been working in dairy factories for 20 years and I can say we’ve probably had the smoothest commissioning process of any factory in New Zealand. Of course, our small size had a bit to do with this. “We will spend the next month ironing out any small glitches we’ve found and we’ll be ready to start processing our first product this month.”

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Dairy News july 10, 2012

28 // agribusiness

New business course modules for dairy Matt Webb, contract milker and AgITO Diploma in Agribusiness holder, Piako, Waikato.

AGITO AND industry partner DairyNZ are to restructure their Diploma in Agribusiness Management course to better fit the demands made on students by family and farm commitments.

“We are looking at a need to have at least 1000 people in active management training for dairying,” says AgITO chief executive Kevin Bryant. “Across AgITO we have about 300, and in total

Electronic Identification

not changed, retaining its key learning components. But the modular approach recognises different stages people can be at when they want to pick up specific skills within the course. Course modules cover key aspects of running a successful agribusiness operation: human resources, financial planning, taxation, ownership and risk assessment, resource management and a property report. “For example a herd manager may want to move up to management, but knows he needs to upskill in human resource management. “For a lower order sharemilker, they may be comfortable with HR, but know they need better financial planning and tax skills to get the most out of their current position or to move to their next role.” Dairy operators who have completed the diploma report on skills learned and the immediate value of those skills in their businesses, AgITO says. Piako contract milker Matt Webb learned about tax management in the taxation and investment module and got a “no surprises” tax bill this year. In the ownershiprisk management module he learned to assess the risks of payout volatility and production uncertainty. www.agito.ac.nz

in brief ANZ, DairyNZ partnership

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including universities there are only 380 [students pursuing] agribusiness management qualifications.” As the dairy industry expands to five million cows by 2020, a greater problem than creating the farms is finding the people with the skills to manage them, AgITO says. It has separated the diploma course into modules which can be completed on their own or in combination, depending on student needs. “In the past anyone choosing the diploma would have to commit to completing two full national certificates and a property report, working progressively through them over two to three years,” says Bryant. DairyNZ, Federated Farmers, Dairy Womens Network and New Zealand Young Farmers are said to approve the change. There is plenty of interest among people at the right stages of their dairying careers to complete the diploma, AgITO says. But time demands work against many also running busy farm operations, juggling family commitments and the usual business paperwork. “This was noticeable amongst women who were often dealing with all aspects of farm and family, but keen to up-skill themselves at the same time” says Bryant. The diploma itself has

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ANZ BANK is working with DairyNZ to boost the financial performance of dairy farms. A memorandum of understanding signed recently will result in ANZ economists and agri managers working with farmers using benchmark data from DairyNZ’s business performance analysis tool, DairyBase. DairyBase consolidates the financial results from over 1800 farmers, and provides a basis to benchmark financial and physical performance against similar farms. ANZ will have access to the same benchmarks farmers and farm accountants use to analyse and compare farm performance, and will use these to work with its dairy farming clients. “ANZ and DairyNZ share the goal of improving performance of dairy farm businesses throughout New Zealand,” says Ross Verry, ANZ New Zealand’s head of agri and strategy.

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Dairy News july 10, 2012

30 // agribusiness

Distributor sees Kiwi farming as ‘primary market’ A $6 MILLION

warehouse and headquarters opened late June by Landpower Holdings is intended to treat New Zealand farming as a ‘primary market’, says chief executive Richard Wilson. It was built to Landpower’s specification under a 12-year leaseback from Christchurch International Airport Ltd. It consists of a 2200m2 warehouse, 800m2 office and 300m2 training area. Says Wilson, “Quite aside from the pleasure of moving into a modern

building, there is a certain amount of pride that we’re investing in our future. This building will allow us to grow for the next decade. “The trend is for farm machinery importers to operate out of Australia and treat New Zealand as a secondary market. We think agricultural producers and contractors using our specialist products have the right to aroundthe-clock service and support if and when they need it. “Likewise, we think our dealers have the right to

access to parts and technical support in New Zealand time by people who know the geography. “In many ways, this building is an investment in our dealer network. Purely and simply, it allows us to store more parts and provide better training for their staff so they can provide even better service to their customers.” The warehouse portion has 30% greater capacity than the company’s previous complex in Hornby. “We’ve now got about $15 million of parts

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in stock at any time,” Wilson says. “I haven’t counted them myself but our parts manager assures me we have about 300,000 parts over 14,000 different lines. “In simple terms, that will minimise downtime for our customers. If their local CLAAS Harvest Centre doesn’t have the part, then almost certainly we do and we’ll get it to them within 24 hours. “Every Monday morning, we take delivery of another container of air-freighted parts from Germany. If we have

$6 million man . . . Landpower chief executive Richard Wilson.

a specific and urgent request, then we can have it landed in Christchurch

within 48 hours of leaving Europe. This is supplemented by regular

‘Best of the best’ LANDPOWER WAS set up over 40 years ago by Herby Whyte to source equipment for his Southland farming operation. Now it sells brands such as CLAAS harvesters and tractors, Amazone spreaders and tillage equipment, Grimme potato harvesters, plus Gregoire-Besson, Elho, JCB, Trioliet and Seed Hawk. All are sold, serviced and supported via Landpower’s expanding network of 21 CLAAS Harvest Centres in New Zealand and Australia. “Our goal is to offer our customers a high quality alternative to the

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Dairy News july 10, 2012

management // 31

Time to view dairying as a career peter burke

SECONDARY SCHOOL careers advi-

sors have a long history of not seeing the dairy industry as a career, says DairyNZ’s strategy and investment leader Dr Mark Paine. But winds of change are blowing. Paine told Dairy News these advisors haven’t been well enough informed about dairying career opportunities. That’s changing – and it needs to, as the industry struggles to attract enough good young people. DairyNZ and Young Farmers are working to raise awareness and point out there is work on dairy farms and in related areas such as farm consulting and research, Paine says. “We’ve found one of the greatest challenges is recruiting people at the secondin-charge or herd manager level. We’re looking for the well-educated with a good balance of experience and capability. That’s a key target.” And the problem is not only careers advisors not being supportive, Paine says. Some farmers who are bad employers do incredible damage to the whole industry. But some are excellent, doing the right thing for their staff, e.g. fair rosters and

clean, well maintained facilities. “Young people, certainly Gen Y, view the world as there for the taking and they have probably been brought up in a different environment from, say, baby boomers. There is a lot more independence to a young person; they are much more selfdetermining about where they are going, which is not all bad. “But there is a reality check required on the part of young people, to know what is normal in the workplace.” Hard graft and long hours have to go in especially at calving time. Employers must recognise this effort and compensate staff by, for example, annualised hours. DairyNZ has two schemes to help dairy farmers better manage staff. ‘Quick Start’ helps farmers employ staff during their first 100 days. This includes the recruitment process and an induction programme designed to ease employee and manager into a positive start. More comprehensive is ‘People Smart’, launched recently online so farmers can access it at any time. This broader programme helps farmers and their staff to work better together and proactively on potential problems, Paine says. It includes information on where to seek extra advice if a problem cannot be resolved on-farm.

A good orientation sarah watson

WHAT IS orientation? This is the process used to give new employees an organised introduction to their new job; it should also be used when employers want an existing employee to pick up new responsibilities. It is a good way of making sure people get to know their way around and have the things they need to get on with their job. A good orientation will help new employees settle into their new job so there will be fewer mistakes, which in turn will cost employers less money. It sets the tone and expectations for the employment relationship. It also helps employees feel at

ease in their new job, as changing jobs can be very stressful. Remember, they’ve often moved their home and family as well. New employees have a lot to learn about the farm they are working on. Using a formal orientation process will reduce frustration and minimise the time it takes to get new employees ‘up-to-speed’. Employees will be more effective in their new job earlier, and this contributes to job satisfaction. The whole orientation process will occur over time, ideally starting before the employee actually begins work and may continue for several weeks, maybe months. • Sarah Watson is DairyNZ’s project leader, people and business. 3599 Metabolizer halfpg vert.ind1 1

9/11/08 9:20:42 AM

Dairy News july 10, 2012

32 // management

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Mel Eden

FARMERS SHOULD

try playing the role of a cow says an independent specialist in milking systems, Mel Eden He told a recent Small Milk and Supply Herds (SMASH) conference that if farmers imagined themselves in the role of a cow they would spot problems in the dairy shed and make modifications that would save time and money and make milking a more pleasant task for cow and milker. He says the first thing to consider about a cow is her feet: she’s a bit unstable and the pressure on her feet is high. She will be very sensitive to anything likely to affect her walking. “When cows walk they normally put their back foot in the same place as their front foot; you can see this on video. If cows are under stress or pres-

sure, that second or back foot doesn’t land where the front foot was and you know something is wrong. The same applies when cows are in the rain: they shorten their stepping, and anything you can do to make them feel safe is good.” Eden says generally cows don’t feel safe on ramps because they can slip. When humans walk up a ramp we use hands to hold a rail, but cows can’t. “Try keeping your arms folded and walking up a slippery slope. Going down is even worse because you know you could land on your tailbone. Put steps in instead of ramps. Cows can skid on even quite gentle slopes or just feel unsafe.” The other issue he noted was the need to have the concrete surfaces of yards rough enough to prevent cows from slipping. These need to be really rough, not just

scuffed over. The dairy shed itself needs to be looked at closely, says Eden. It’s easy to see signs of cows being unhappy at going into a shed. “For example if the head gate angle is incorrect then the first cow is going to be uncomfortable. She knows that after having entered the first time and will tend to wait there for another cow to go past her and half block the entrance in the process. I’ve seen this big, old cow that doesn’t fit up front wait and wait until some little rat of a cow goes past and then she’ll go in.” Pipes and rails inside a shed need to be geared for cow comfort, says Eden. He has seen a cow with her hip bone broken because she’s been pushed against a vertical rail. He says care also needs to be taken when determining the height at which breast rails are positioned.

excellent vision COWS HAVE excellent eyesight and can easily be distracted, Mel Eden says. To prove this point he once stood in a race from which cows were about 500m distant and coming towards him. “I wondered if they could see me so I took a step to one side and their heads came up – half a kilometre away. It shows they’re interested and can spot things; they have very good vision.” Cows are curious. Glider pilots are warned not to land in paddocks where cows are grazing. Many a glider has been destroyed by cows rather than impact with the ground. Eden says cows can be distracted by children playing near a dairy shed and they need shielding from these. And they dislike being confronted so humans had best

turn their backs when cows are passing by. Simple and often inexpensive changes to a dairy shed and its environs can make life more comfortable for cows and farmers, potentially saving time and money. He also suggests it’s important that people working in a dairy shed have comfortable boots, and that installing some form of rubber matting in a milking pit can make life easier. “In a house you don’t have a concrete floor, but rather you have carpet or rugs. Some form of rubber matting in the dairy shed is cheap but easier to walk on, given that people can be in the milking pit for several hours. Other facilities in a dairy shed, such as a room with tea and coffee and a place to chat, all make a difference.”

Dairy News july 10, 2012

management // 33

Dancing with your animals PETER BURKE

MILKING COWS is just like dancing, says a leading dairy consultant, Josh Wheeler. It might sound odd but Wheeler says there are similarities such as learning the steps, repeating them until you are used to them and maybe unlearning some steps that aren’t really right. In essence he says, milking and dancing are about routine and about it becoming second nature. The key message is, establish a routine in the shed that works for you and the cows – and perhaps some special music. Wheeler is an expert in milking management among many things, and says dairy farmers need to take time out to review their work patterns and the environment in which they work. He made his comments at a recent seminar organised by the Smaller Milk and Supply Herds (SMASH) in Manawatu. “The first thing farmers have to realise is that the dairy shed is just a factory and the task is harvesting milk from a cow and putting it in vat. So farmers have got to look at the most efficient ways to do that. If I was working as a kiwifruit packer everything would be built around me for my comfort so I did a good job. So farmers need to stand back and look what they are doing within their routine and how they can uncomplicate it to reduce the effort they have to make to get the milk out of the cow.” Wheeler illustrated his point with a series of graphics showing how time and effort could be saved or wasted by making relatively minor adjustments to the layout in a typical herringbone shed. These included the location of the backing gate switch and where teat sprayers are located, which might sound small but can turn milking into a more satisfying experience. Some changes will be inexpensive, others may cost a bit more, he says. “What I’m trying to challenge people about is to sit down and draw their routine for milking the cows. What points do I have to go to and how many steps and how many times am I going to have to do it?” he asks. The benefits can be significant: he’s seen cases where the milking time has been cut by 45 minutes. “But it’s not

Policies a must JOSH WHEELER insists dairy farmers must have a policy and procedures manual. While farmers sometimes resent the paperwork of writing things down, they must realise they are running multimillion-dollar businesses. “The days of writing things down on the back of a Weetbix packet have gone. There is compliance stuff and people to manage who need directions. Mistakes can be costly and effluent is a huge risk. “The aim of a manual is to make the farmer’s life easier by putting structure around areas of a farm – such as shifting the effluent spreaders and checking equipment.” Wheeler says the manual doesn’t have to be big and ideally staff should be involved in developing it so their ideas are included. A manual can be built up over time and modified when necessary, he says. A number of people employed in the dairy industry do not have English as their first language so simple, clear instructions should be available at all times. Diagrams and simple images can be used along with instruction tags on key switches and taps. A farmer may not always be on site and having a manual to refer to can help mitigate the risk of a serious and costly mistake.

only time; it’s about having a routine and a workplace more comfortable for the person doing the milking.” Time and effort can be saved by making minor adjustments to the layout in a typical herringbone shed, says Josh Wheeler.

Dairy News july 10, 2012

34 // management

in brief Nutrient management field day FARMERS KEEN to hear insights into reducing nutrient loss are invited to a field day at Kaharoa, Bay of Plenty. The nutrient loss mitigation field day will be held at Jamie and Chris Peterson’s farm, 136 Stewart Road,

Kaharoa. It kicks off at 10am and finishes at 2.30pm. For more information, please contact Sharon Morrell, BOP regional leader on 0274 922 907 or email sharon.morrell@dairynz.co.nz

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Herd manager farming to succeed Visits to top-performing farms OWAKA HERD manager Shane staged capital growth and asset manBichan gained fresh vision of farm- agement, goal setting and motivation, included highlights such as chicken ing from AgITO’s South Island ‘Farm- successful business partnerships, and beef farms, a robotic dairy farm ing to Succeed’ sponsored by FIL New financial development, and time and and a cropping farm, where “people stress management. No fees are pay- were pushing the boundaries and Zealand. Shane won the FIL Emerging able thanks to FIL, sponsor for eight showing you it could be done.” His highly motivated fellow stuLeader Award on the course and years. dents encouraged him. “I’ve enthuses about it. “I came formed a network of conhome on a buzz... with a new “All the goals we set last year tacts and friends; we’re going mentor: course facilitator we’ve almost achieved now. to organise a catch-up.... Grant Taylor is an amazing Everyone had these new man.... We talked about where “I’ve lived on a dairy farm all my ideas, it was great talking to everyone we’re going and different opportunilife,” Bichan says. “I did my trade as else and hearing what they thought.” ties. Now he has a list of goals pinned “My partner and I have started our a builder and came back [four years first venture and bought 50 calves, ago] to the family farm....I’m currently to the fridge. “Farm ownership is the big one. so we’re trying to sell them at the the herd manager milking 420 cows.” He started training with AgITO We want to be 50:50 sharemilking moment.” ‘Farming to Succeed’ runs once after his return to farming, doing within five years on the family farm. yearly for five days, with 25 partici- courses ‘milk quality stage one and All the goals we set last year we’ve pants doing workshops, farm visits two’ and ‘dealing with dairy farm almost achieved now. We’ve bought and discussion groups. Facilitator effluent’, and all level 3 courses. “I’m calves and paying off the house is the Grant Taylor and other agribusiness currently doing my National Certif- next one.” After his level 4 training he hopes leaders help them explore the ingredi- icate in Agriculture (level 4)... more ents of personal and business success. challenging and putting the pressure to do AgITO’s National Diploma in Agribusiness Management (level 5). Topics include career development, on,” he says.

Setting nutrient limits “There will be an update on what terra and DairyNZ will speak, as will DAIRYNZ IS to run a two-hour meeting to update farmers on the pro- is happening with limit setting at the Selwyn-Waihora representative of cess for setting nutrient limits in the national and regional levels, and the the zone committee that makes recommendations to ECan Selwyn-Waihora catchment. on flow, allocation and The meeting on July 17 at When: Tuesday July 17, 1-3pm nutrient load limits. Irwell will detail water qualWhere: Sudeley Park, Selwyn Lake Rd, Irwell. Data from several ity and quantity limit setting nutrient use-efficiency by ECan, as part of the Canterbury Water Management Strat- process underway [now and in future] projects will be aired, for farmers to benchmark their own farms against. egy. Farmers in the catchment area in Selwyn-Waihora. “This is a good chance for farmers “Information will also help farmwill hear what it might mean for them. DairyNZ consulting officer Kim ers prepare for changes to the regional to get a full understanding of the proReid says Selwyn-Waihora farmers plan, by discussing ways to manage cess, along with an idea of proposed limits and how to adapt their farm.” will gain a full understanding of the nutrients more efficiently.” Representatives from ECan, Fon- www.dairynz.co.nz/events limit setting process.

Dairy News july 10, 2012

animal health/welfare // 35

MPI Minister David Carter launching the animal welfare toolkit at Federated Farmers annual conference in Auckland.

AN UPDATED version of the

tion – a revision of a 2006 production – is to support farmer and industry representatives, Ward says. “This 2012 version reflects the combined government and industry approach set out in the ‘Safeguarding our animals, safeguarding our reputation’ programme which encourages everyone to take responsibility for the welfare of animals.” The ‘toolkit’ was launched at the Federated Farmers annual conference in Auckland by Minister for MPI David Carter. “New Zealand is renowned for having one of the most robust animal welfare systems in the world, but we are always looking for improvement,” Carter said. Download a copy at: www.mpi.govt.nz/news-resources/publications and search ‘farmer representatives toolkit’.

‘Farmer representatives animal welfare toolkit’ was launched June 28 and is now being sent to farmer representatives nationally. The publication is intended to advise farmer representatives asked to respond to an animal welfare problem by an industry organisation or MPI, or by a farmer who asks for help. The MPI manager animal welfare support, Leonie Ward, says it embodies collaborative effort by all the primary sector industry groups. “Working together we designed and produced a [publication] that is practical and timely and will assist in improving animal welfare compliance.” Early, sustainable response to animal welfare problems helps animals and farmers, and this publica-

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dealing with a potential issue A POTENTIAL animal welfare issue may come to your attention in any number of informal ways: one of your friends may say something when you’re socialising together; a member of the public might come to you and express their concerns about what they see on a farm; or you could be driving along and notice something of concern on a farm. So, what should you do? In general, when faced with a potential animal welfare situation there are two things you need to sort out first: Is there an animal welfare

issue at all? There may not be an issue but you may still think that the farmer could do with some support. Who should the situation be referred to? See if you can find out more. Not all animal welfare complaints turn out to be genuine: some are made out of a sense of genuine concern but actually reflect a lack of knowledge about normal farming practices (see following box); and some complaints come from malicious intent. Consequently, it’s important to take some time to get familiar with the situa-

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tion. This will help you work out if there is actually an animal welfare issue, what the issue is, and who you should refer it to. Useful things to find out that can help you make up your mind about the seriousness of the situation are: ■■ Who is the farmer or owner of the animals? ■■

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Dairy News july 10, 2012

36 // animal health

Metabolic diseases complex JOHN ROCHE

METABOLIC DISEASES are complex dis-

Metabolic diseases occur when the cow’s ability to adjust to a major change, like calving, is compromised.

orders that occur when the cow’s ability to adjust to a major change (e.g. calving) is compromised. They have been a persistent problem for farmers

for centuries, milk fever first being documented in 1793 in Germany and ketosis reported in the USA as early as 1849. Although, on average, the prevalence of metabolic diseases is low in New Zealand herds, many farmers face annual problems that are costly and

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frustrating. Also, clinical cases are only part of the problem, with many more cows suffering subclinical problems. For example, DairyNZ data indicate that for every downer cow, two more cows have milk fever and 16 more cows have subclinical milk fever. The majority of metabolic diseases occur during the three weeks either side of calving (the transition period). Although genetic factors influence the risk of these diseases – with reported genetic effects on susceptibility to milk fever and on the rate of body condition score (BCS) loss – farm management in the weeks around calving has a major effect on the risk of disease.

old of calcium circulating in blood (i.e. have milk fever but do not become downers) and 33% of cows are subclinically affected (i.e. low dry matter [DM] intake, reduced milk production) . Clinical milk fever is reported to reduce milk production by 14%, while cows suffering subclinical hypocalcaemia produce 7% less milk. There is also evidence that milk fever increases the risk of ketosis and uterine infections and that 5% of downer cows do not recover. The cost of milk fever on the average farm (i.e. 2% downer cows, 5% clinical hypocalcaemia and 33% subclinical hypocalcaemia) is about $8000/100

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The principal causes of, and strategies to avoid, these metabolic diseases will be reviewed here. Metabolic diseases in New Zealand The two most common metabolic diseases in New Zealand are milk fever and ketosis, although it is likely ‘fatty liver syndrome’ and left-displaced abomasum will become more common with higher levels of supplement use and higher milk production/cow. All these diseases have secondary effects, the occurrence of one disease increasing the risk of another (figure 1). In addition, they predispose cows to infectious diseases, particularly of the udder and uterus, and reduce milk production and fertility. Conservative estimates indicate the failure of cows to transition properly through calving costs the New Zealand dairy industry at least $1 billion/year. Milk fever Milk fever is best described by its technical name parturient hypocalcaemia, which means lowered blood calcium at the time of calving; 90% of milk fever occurs in the 24 hours after calving. On average, only 2% of cows are diagnosed with milk fever (i.e. ‘downer’ cows). However, laboratory analyses indicate that double this number have less than the clinical thresh-

cows. Although a cow has substantial stores of calcium in her skeleton (~6 kg) and consumes a considerable amount of calcium in food (i.e. a cow eating 10kg of pasture and pasture silage has 40-80g calcium in her intestine), blood calcium is under strict hormonal control; a cow only absorbs from food and reabsorbs from bones what she requires. This can create an issue at the onset of lactation, when a cow’s requirement for calcium in blood can increase by at least 400% in a day. This requires a rapid increase in the absorption of calcium from the intestines and in the reabsorption of calcium from bone. Anything that interferes with these processes will increase the risk of milk fever. Many factors affect the cow’s ability to maintain blood calcium during this period. ■■ 1. Genetics: Jersey cows are 2.5-5 times more likely to get milk fever than Holstein-Friesian (HF) cows. This effect of breed is well published, with Channel Island breeds having less ability to absorb calcium and secreting more calcium in milk. Within breed, HF cows from North America have lower blood calcium and magnesium than New Zealand

Dairy News july 10, 2012

animal health // 37

but avoidable ■■

■■

HF cows, indicating a greater risk of milk fever. 2. Body condition score (BCS): cows that are excessively fat (greater than BCS 6.0) or excessively thin (less than BCS 3.0) at calving are at increased risk of milk fever. 3. Weather: milk fever is more likely to occur during wet days and nights, probably because of lower DM

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intakes and increased stress. In addition, frosty nights increase the risk of milk fever. ■■ 4. Diet: many dietary factors can contribute to the risk of milk fever. • John Roche is principal scientist, animal science, at DairyNZ.

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One metabolic disease can increase the risk of other metabolic and infectious diseases and reduce milk production, health and reproduction.

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Dealing with ‘sad cow syndrome’ KETONE BODIES

(acetone, acetoacetate, B-hydroxybutyrate: BOH) are intermediates in the breakdown of fat. They can accumulate in blood when large amounts of body fat are mobilised and there is insufficient carbohydrate to facilitate use of fat for energy (fatty acid oxidation). The clinical state of this disease is referred to as ketosis. Ketosis is sometimes referred to as ‘sad cow syndrome’, one of the first indications being that the cow is lethargic, goes off feed and produces less milk, and may often have sweet-smelling breath because of acetone. In some cows the ketone bodies affect the brain and they can become excitable, eat soil or lick fence posts and gates, walk around in circles or stand with their heads raised and pushed into a corner. International data indicate that both clinical and

subclinical ketosis reduce milk production and conception rate. Based on these effects, ketosis costs about $3500/100 cows. There is no information on the actual prevalence of clinical ketosis in New Zealand, but internationally the its prevalence is reported as 4%. New Zealand data collected over several years indicate that: ■■ 8% of cows have greater than 2.0 mmol/L BOH in blood; this is defined internationally as clinical ketosis. ■■ 10-12% of cows have greater than 1.2 mmol/L BOH in blood; this is defined internationally as subclinical ketosis. However, it is unclear whether these international definitions are appropriate for New Zealand dairy farms as blood ketone body concentrations are influenced by feed ingredients in otherwise healthy cows.

There are three types of ketosis: ■■ Type 1 ketosis is a result of an unexpected drop in DM intake, particularly in high producing cows (spontaneous ketosis). This can be caused by not allocating feed properly or because adverse weather prevents cows from eating allocated feed (e.g. heavy rain, snow). Because the underfeeding is spontaneous, the cow continues to secrete large amounts of energy in

■■

milk and must mobilise BCS to meet her energy demands. The mobilised fat cannot all be used for energy because of insufficient oxaloacetate to complete the process and, so, ketone bodies accumulate. Type 2 ketosis occurs to a degree in all cows three-four weeks after calving, but the clinical condition generally occurs in over-conditioned cows, particularly those well fed in the springer mob. The risk of type 2 ketosis

doubles when calving BCS increases from 5.0. Silage ketosis: in addition to the two main types of ketosis, cows can also get ketosis from consuming poor quality silage. Silage not properly covered (i.e. air not properly excluded, torn plastic, tyres not touching) can undergo a secondary fermentation wherein remaining sugars and lactic acid can be fermented to butyric acid. • This article first appeared in DairyNZ’s ‘Technical Series’ June issue.

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Dairy News july 10, 2012

38 // animal health

Possum control erases TB PARTS OF coastal Ran-

gitikei are reaping the rewards of the Animal Health Board’s (AHB) moves to eradicate TB from New Zealand. More than 32,000 hectares of land in the region no longer have TB in wild animals, following intensive possum control, a range of surveys and sci-

entific analysis. As a result, the area has been officially declared TB-free. Farmers can be reassured that infected wild animals now pose negligible risk to livestock across around 16,000 hectares of coastal Rangitikei-Turakina and around 16,350 hectares of coastal Rangitikei-Bulls.

“Eradicating bovine TB from wild animal populations in these areas is a significant step on the road to ridding New Zealand of the disease,” says Roger Beck, TBfree ManawatuWanganui Committee chairman. “Eradicating TB from the main wild animal carriers of the disease helps

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protect the reputation and economic benefit of the pastoral agricultural sector, which forms the backbone of rural communities such as Rangitikei. “It is vital that we maintain access to premium overseas markets for our high quality beef, dairy and deer products,” says Beck. The AHB will continue to monitor wildlife populations in coastal Rangi-

tikei through surveys and post mortem of animals to ensure the area remains free of TB. Possums are responsible for around 70% of new cattle and deer herd infections in TB risk areas. The national TB control strategy aims to eradicate the disease from one quarter of the 10 million hectares of New Zealand in which infected wild animals are known to inhabit.

1080 no threat to waterways NEW RESEARCH shows the possum poison 1080 (sodium fluoroacetate) has no negative effects on surface or ground water, says the Animal Health Board. Independent research by NIWA for AHB examines what happens to 1080 when it leaches from uneaten cereal baits. Results showed that at least 99% of the toxin-laden rainwater goes straight into the soil, where it is quickly broken down into harmless metabolites by soil microorganisms, rather than flowing overland into streams. They also showed that the level of 1080 in soil water from scattered, individual baits within a catchment during normal possum-killing operations never exceeded onethird of the Ministry of Health drinking water standard, and may not even be detectable. The study concluded the effects of 1080 leaching from baits into soil water and stream water are extremely unlikely to adversely effect water quality. Freshwater ecologist Dr Alastair Suren led field trials in rugged terrain on the West Coast where aerially applied 1080 is considered critical to killing possums. To maximise the chances of detecting 1080 in soil water or surface runoff, and understand how it moves, Suren applied baits at about 20,000 times the average sow rate of 2kg/ ha. He then simulated the effects of rainfall on the baits to measure how much of the toxin leached into surface and ground water. “Interestingly, we found 1080 leaches from baits at a constant rate regardless of rainfall intensity,” says Suren. “Even more interesting, we found... [at least] 99% of the toxin-laden rainwater goes straight into the soil rather than flowing overland into streams.” Results of the soil water monitoring showed that observed concentrations (when corrected for the large number of baits applied over the small area) never exceeded one-third of the Ministry of Health drinking water standard of 3.5μg/L (3.5 parts per billion). This suggests the contamination of soil water from scattered, individual baits within a catchment during normal 1080 operations is likely to be so small it may not even be detectable (analytical measurement limit, 0.1μg/L). More recent field work also monitored loss of toxin from baits under natural rainfall, and examined shallow groundwater and stream water. No traces of 1080 were found, despite a high application rate designed to maximise the chances of detecting it. “From these results we can conclude the effects of 1080 leaching from baits into soil water and stream water are highly, highly unlikely to have any adverse effects on water quality,” says Suren. This study builds on previous research. NIWA in 2009 intensively sampled a West Coast stream after an aerial drop, to investigate the potential for short-term contamination from baits landing directly in the stream, and rainfall leaching 1080 from baits. In 2011, the Parliamentary Commissioner for the Environment, Jan Wright concluded the use of 1080 was both safe and necessary.

Dairy News july 10, 2012

animal health // 39

Guard changes at Stockguard NEW ZEALAND’s longest established

animal health business Stockguard Group has changed hands. Owners Kevin Burke and Tony Shergold have sold Stockguard Laboratories (NZ) Ltd and Stockguard Animal Health Ltd to Virbac, the country’s fifth-largest animal health service provider. The sale was concluded July 2. A joint statement from Virbac and Stockguard says both organisations share similar values and cultures in respect of their businesses and the value of customers and personnel: ‘closer to customer, better through people’. The Stockguard buyout complements Virbac’s existing business in New Zealand and will consolidate its fifth ranking here, the company says. “It will allow a strategic strengthening of Virbac’s position in the important dairy cattle market in New Zealand and will open opportunities for expansion in this segment in other regions of the world. Together there will be continued support

for and building upon an already established strong ‘Kiwi made’ brand. “With a proven history in the New Zealand market, Stockguard has built strong expertise in developing, manufacturing and marketing products for the dairy cattle and sheep markets, in which it enjoys solid leadership in intramammaries, injectable antibacterials, reproduction, and vitamin and trace elements.” New products in development, plus existing products, will reinforce the company’s market position. Stockguard innovations will continue, the results of R&D work for decades. Virbac will maintain its focus on animal health products for veterinarians, farmers and animal owners. “This acquisition also offers opportunities for export of key products and technologies.” Neither company’s customer dealings or contacts will change: Virbac NZ operating from Auckland and Stockguard from Hamilton. Customer service and contact will also continue in Auckland and Hamilton.

Co-op’s new calf feeds keenly priced TWO NEW products from Ravensdown suit North Island dairy farmers needing a feed formulation specifically for heifers. The two “protein-optimised” pelletised calf feeds have been formulated to ensure excessive protein is not passing through animals, says Ravensdown nutrition business manager Stephen Fink. “Our new calf feeds target heifer replacement rearing in a New Zealand setting. Rather than launching a highprotein product in isolation, we looked at the whole nutritional environment for these farmers and calves. “In heifer replacement situations, heifers are being fed colostrum then whole milk from the vat – both highprotein feeds. Then they go on to highprotein dairy pasture. So we’ve dropped the protein levels in these feeds to compensate for increased protein in the pasture in a dairy situation.

“Calves can only absorb so much protein and, of course, unused protein will exit the body as nitrogen, which could unnecessarily lift nitrogen loading on dairy farms.” The pellets – Ravcalf18 and Ravcalf14 – will be made at Auckland and Palmerston North. Ravcalf18 is for heifer calves being fed a diet of milk and/or grass through to desired weaning weights of about 70kg. Ravcalf14 is to supplement grass for calves weaned off milk while transitioning to grass. Both feeds contain rumensin as a coccidiostat. Pricing will be competitive, says Fink, “... because we exist to keep these input costs low. Other calf feeds sold here are manufactured by Canadian- and Australianowned companies. As a New Zealand cooperative, we aim to lower the price to our shareholders and pass profits back to our farmers.”

Dairy News july 10, 2012

40 // animal health

Proper rearing of calves is essential Proper rearing of calves affects the survival and the quality of heifers at first calving. Management practices for rearing calves vary, but reducing the risk of disease and ensuring early development of the rumen are crucial to successful production. If the calf is healthy and the rumen well developed, calves will better utilise pasture when weaned off milk and suffer no set-backs.

NITA HARDING

ONCE THE calf is born it is exposed to diseases, particularly from bacterial and viral infections. Management must help calves to withstand pathogenic organisms but allow others to colonise the developing rumen. The cow (or calf) does not digest pasture; this is done by the bacteria, protozoa and fungi in the main stomach (the compartments known as the rumen and the reticulum – the rumen). However, unwanted organisms entering the body are a problem, and calves must deal with these threats through their own immune system. Their immune system is at first poorly developed and the calf relies on maternal antibodies in colostrum, then the immune system develops by gradual exposure to organisms. It can be further stimulated by vaccination. All are equally important to survival and growth. Colostrum Colostrum has a high concentration of immunoglobulins which provide early protection from disease. These immuno-

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globulins are not digested and pass into the small intestine where they are absorbed as intact molecules through cell gaps in the mucosa. The antibodies carried by the immunoglobulins confer passive immunity to the calf against diseases to which the dam has some immunity. If the dam has been vaccinated against some calf diseases the calf gains passive immunity from colostrum. The small intestine is permeable to immunoglobulins for 24-36 hours following birth, but the permeability decreases from about six hours after birth, so the calf needs to receive adequate amounts of colostrum as soon as possible. About half of New Zealand dairy calves may not receive colostrum from their dams even when they are together for 24 hours. This is why the calves should be removed from their dams after six hours and fed colostrum to guarantee that they receive sufficient immunoglobulins. This may be a greater problem in large herds where staff have responsibility for large numbers of animals, and where there are many cows calving

together. This may reduce the chances of successful mothering and adequate colostrum intake. Disease The most common health problems with calf rearing are: ■■ Scours – nutritional and infectious ■■ Pneumonia ■■ Navel infection ■■ Coccidiosis ■■ Intestinal parasites.

ment, meaning exposure is common. Disease may be triggered by dietary stress, injury, changes to management or climatic conditions. In some instances the first sign of infection is death. A vaccination programme needs to be developed for each farm in consultation with a veterinarian as the risk will vary between farms and

Calves benefit from vaccination to counter the risk of diseases, some of which can strike quickly and affect a large proportion of animals. These are a result of bacteria, viruses, protozoa and nematodes: all affect the health of the young animal, but problems are preventable with good planning for how the calves are reared and with adequate housing and feed. Vaccination Calves benefit from vaccination to counter the risk of diseases, some of which can strike quickly and affect a large proportion of animals. Many of the bacteria and viruses responsible for disease are present in the environ-

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regions. Booster vaccinations are just as important as the initial vaccination. High risks for calves include pneumonia, enteritis, clostridial diseases such as black leg and pulpy kidney, leptospirosis and bovine viral diarrhoea (BVD). Other risks include nasal catarrh, salmonellosis and Johne’s Disease, but the list of possible problems is much longer. • Nita Harding is DairyNZ team leader for animal husbandry and welfare. This article first appeared in DairyNZ Technical Series June issue.

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Dairy News july 10, 2012

42 // calving

Booster gives extra start tony hopkinson

NEWBORN AND young

calves start then grow and produce well by ingesting Palamountains Calf Boost, says the maker, Vitapower. “These animals are so susceptible to stress from weather and conditions, and infections internally and externally, that they need to have that extra start,” says managing director John Palamountain. It contains omega 3, 6, and 9, electrolytes, multivitamins, biotin and antioxidants, and can be administered by drenching or included in the animals daily milk ration for its first few weeks. He says one farmer mixed Calf Boost with hot water and spread it over the meal he was feeding to calves at weaning, averting

any check in their growth. Two farmers using Calf Boost are Richard and Debbie Fredricksen, Mamaku Range, off SH5 near Rotorua. They have reared calves for eight years, all taken through to

2000mm of rainfall and “is very good summer country”. They have been on the farm 30 years. “We can get up to 20-30 good frosts and a rare touch of snow for the winter.” They have 150 ewes for

“We would like to buy just Angus-cross calves as they are real good doers.” finishing. Last year they reared 500 calves. “We formerly were breeding and rearing Devon cattle and were regularly losing up to 20% for various reasons, including empties and the weather and calf losses. So we started rearing 80-100 bought-in four-day-old calves,” says Richard. Their farm is 600ha with 500 eff., rollingto-easy contour and an evenly spread 1800-

weed control and buy in 1500-3000 lambs for finishing. These come from as far as Te Kuiti and Fielding “depending which areas are in drought.” They also finish 250-300 head of deer. They have reared 500 calves for the past two years, buying in white head and Angus-cross calves from sales at Tirau, Karapiro, Te Awamutu, Eureka and Matamata. About 60% are heifers, the

Richard Fredericksen

balance bulls, and the bulls are docked at weaning. All calves are collected within one month. “We would like to buy just Angus-

cross calves as they are real good doers.” When they first arrive all calves get a 20ml drench of Calf Boost, their navels are sprayed and any other dubious ones go to a sick bay on antibiotics, where they immediately get warm milk through Stallion feeders. They spend 10 days inside a shed on shavings, where they are fed twice a day in mobs of 10-12 with Stallion feeders moved from pen to pen. All milk

powder fed for the first three weeks has 20ml of Calf Boost/calf. After this they are put into mobs of 40-45 and go on the mobile feeder being fed once a day and have access to shelter in inclement weather. Any calves still doing poorly get another 20ml of Calf Boost. Calves are weaned at 70kg onto calf nuts and grass into mobs of 60 and the following March into mobs of 80 leading into winter.

“During the rearing season our daughter-inlaw is involved with feeding starting at 6am and finished by 8am and then starting again at 3pm while we are feeding twice-aday.” They are well-organised to get the jobs done so they can get away to sales to buy more stock. Calf Boost comes in 5L and 20L packs. Tel. 06 349 1005 www.palamountains. info

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Dairy News july 10, 2012

calving // 43

Calf rearing key to herd’s future ANDREW SWALLOW

PRIORITISE CALF

rearing to reap a double dividend, delegates at the South Island Dairy Event heard. The immediate benefit is fewer losses and less stress in the rearing shed this spring, while down the track it will mean a better replacements coming into the herd.

Bas Schouten

“The damage you can do up to weaning can be quite critical,” independent calf rearing expert Bas Schouten warned. “If you don’t produce a good weaner you’re going to have a scrungy yearling and a heifer that won’t survive long.” Schouten, described as “a SIDE legend” by workshop facilitator Sarah Dirks, noted a recent LIC survey found 70% of heifers coming into herds are underweight, and that only 40% of calves tagged ever make it into a herd. “Sixty per cent are lost and that’s because we

don’t rear them properly.” Calf rearers should insist his “ten demandments” are met to give them a reasonable shot at successful, stress free rearing. “These are 10 things you must have in your barn,” he stressed. Many herd or farm owners need to pay more attention to the demands of rearing staff given the importance of the job, he added. “Any boy can ride a bike and bring the cows into the shed but it takes a very special person to be in the calf barn and look after the welfare of these animals.” No matter how good hygiene is, calves will be reared in the presence of pathogens so a good dose of colostrum is the starting point. Schouten says insist on twice daily pick ups and, if there’s any doubt the calf has suckled, tube feed colostrum on arrival at the shed. Research has shown any calf that doesn’t suckle in its first six hours fails to learn to after that, “so why leave it on the cow for more than six hours?” Doing so will only see those that don’t suckle get weaker, and the delay getting colostrum into them can prove fatal. “Colostrum eight hours after birth will do nothing to protect that baby calf and you sure as hell won’t have any of the benefit of rotovirus vaccination

10 ‘demandments’ ■■

A healthy herd – rotavirus and BVD vaccinated, if not BVD free.

■■

Twice daily calf pick ups and colostrum within 6 hours of birth – tube feed if in doubt.

■■

Good housing: small groups; separate replacements.

■■

Early disease protection.

■■

Treatment protocols for scours and navel infection: thermometer, syringes and tube feeder essential.

■■

Unlimited supply of good quality electrolyte.

■■

Sodium bentonite – preventative and treatment.

■■

Good quality meal/pellets/fibre.

■■

Good, clean pasture.

■■

Good staff, well paid, with no need to lift >30kg.

transfer as well.” Dry, well ventilated but draught-free housing is a must, ideally with no more than 10 calves/pen and no more than 100 calves in

any one shed. Bigger barns and/or poor ventilation promote ammonia and pneumonia. Woodchip or riverstone floors work well, as does

“patio” housing where pens have indoor and outdoor areas. Stone “must have drainage through the middle.”

Dairy News july 10, 2012

44 // calving

Disbudding calves can be problem-free robyn edwards

CALF DISBUDDING

has over 15 years become standard procedure on many dairy and drystock farms. For our pregnancy testing and animal services company, calving is one of the busiest times of the year, and forward planning is crucial to reducing stress, conserving energy and effectively utilising manpower during this time. Calf disbudding is one of those tasks that can be contracted out, leaving the farmer to focus on the health and nutrition of the calves while at the same

time maximising output from the milking shed. Calf disbudding is now routinely done when calves are aged between four days and 10 weeks, and there are various methods used by vets, external contractors and farmers. Often the choice comes down to a farmer’s preference, manpower and cost. While some still use scallops, shears or cutting wire for disbudding, most vets and specialist technicians use gas burners fitted with a head that fits over the horn bud. The burn process is quick, efficient and clean and essentially burns the horn cell base. This cauterises the

wound instantly, minimising the risk of infection. And it causes less stress to the calf – especially when combined with pain relief – than many more traditional methods. Minimising stress and recovery time for the calf ensures feeding patterns are not disrupted and that there is no check on their development or growth. Pain relief is a big factor in minimising calf stress and in general the choice lies between a general and local anaesthetic. As with any general anaesthetic there is always a food withholding period prior to the procedure and a recovery period before the calves

Calf disbudding can be contracted out leaving farmers to focus on the health of calves.

are back to their normal routine of drinking. Once the general anaesthetic is administered, the disbudding procedure is carried out with the animal laying on the ground, which can increase the risk of exposure to dirt and infection. Ultra-Scan technicians,

unlike many independent calf dehorners, are certified to administer local anaesthetic. Local pain relief involves the use of a preoperative cornual nerve block, which, as it suggests, blocks the pain of the burn. As with any local anaesthetic, there is no food withholding period, the calves are restrained in pens designed for this purpose and they stand on their feet during the entire process. Where available, a topical antibiotic spray such as Tetra-Vet is applied after the disbudding to further

reduce the chance of postprocedure infection. It is Ultra-Scan’s experience that by using local anaesthetic the calves can be fed prior to disbudding and will be ready to go onto a calf feeder at the next feed, which of course averts any noticeable check in their feeding patterns or growth. Post-disbudding care is important: calves should be kept dry for at least 24 hours following the procedure, whether done using general or local anaesthetic. It is important to regularly check the burn site during feed times. Whether pain relief has

been used or not, irritation will sometimes occur after disbudding, causing the calf to scratch the wound area or scratch itself on objects in its pen. So it is important to check pens for nails, wire and sharp objects to minimise any risk of injury. If a calf dislodges the new scar/scab tissue from the wound, the area might be exposed to infection, so calves should be kept in a clean environment with dry bedding and housing sanitisers. Tel. 0508 858 727 www.ultra-scan.co.nz

• Robyn Edwards is national franchise manager, UltraScan Ltd.

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Dairy News july 10, 2012

calving // 45

Weaning calves off milk to wean calves off milk? Two schools of thought prevail: whether calves should be weaned depending on age or liveweight; there is no clear answer. The important point is that the rumen must be fully functional and the calves have good resistance to disease before weaning. In practical terms, the best guide to whether a calf is ready to wean is the amount of meal eaten in an indoor system. A study in Switzerland reduced daily milk available as meal intakes increased above 0.7kg/day, and calves were weaned when they ate 2kg meal/day.

(SCC) on calf health or growth. In a recent review of heifer mastitis it was concluded there were no effects of feeding milk with high SCC or mastitic milk on udder development. Two important contagious diseases that may have an indirect effect on SCC are Johne’s disease and bovine viral diarrhoea (BVD). Studies in several European countries have shown that SCC is higher in herds infected with BVD virus, and North American studies have shown that farms with a high prevalence of cows testing positive to Johne’s disease have higher SCC and incidence of clinical

Tender loving care is essential for calves So, the main criterion was intake of meal, and this is good providing farmers know the intakes of individuals; but this is difficult in a pen feeding situation. TLC (tender loving care) is essential for young calves, and they should be managed as individuals, rather than the average of a group. Calves ready to be weaned will: ■■ Have a broad belly at the bottom, indicating a full rumen. ■■ Show cudding behaviour: calves can be seen chewing and swallowing their cud in a regular pattern, and regular patterns of ripples across the left flank showing the rumen contracting. ■■ Readily eat a large amount of meal. Are there risks with feeding mastitic or antibioticcontaining milk? Although mastitic milk is unfit for human consumption, many farmers elect to feed it to their calves as a matter of economy. It is generally accepted that there are no direct effects of feeding mastitic milk on calf health and no effects were reported from milk with a high somatic cell count

mastitis. Farms working to control these diseases should not feed mastitic milk to calves because it increases the risk of transfer of these diseases. The biggest problem of feeding mastitic milk arises from the fact that it usually contains antibiotics used to treat the dam’s udder. Feeding milk that contains antibiotic residues can contribute to the development of bacterial resistance to antibiotics. This has become an important public health concern and international regulatory bodies such as the European Union Commission and the US FDA have recently banned or restricted the use of some antibiotic classes in foodproducing animals. While there is no definitive proof that use of milk containing antibiotics to feed calves leads to a bacterial resistance to antibiotics, it seems incongruous to feed a substance containing antibiotics directly into an organ in which bacteria are being encouraged. Antibiotics are an important tool for human and veterinary medicine, and good product stewardship must be applied to their use in animals. This means limiting their use

to responsive conditions, and the dose rate, route of administration and withholding periods should be

strictly observed. Feeding milk containing antibiotic residues to calves does not constitute good prod-

uct stewardship. • This article first appeared in DairyNZ ‘Technical Series’ June issue.

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Dairy News july 10, 2012

46 // machinery & products

Giltrap’s three-year promise ADAM FRICKER

GILTRAP ENGINEERING has found another

gear by adopting a philosophy developed in Japan. The company, in business for at least 50 years, hasn’t stood still, constantly increasing the footprint of its manufacturing plant, staff numbers and product range. Now like many New Zealand companies, it has taken its operating efficiency and quality assurance to a new level by following the principles of ‘lean manufacturing’ – a technique of constant improvement initially developed by Toyota. The benefits have flowed throughout the business: factory staff are more effective and feel they have a voice, productivity has increased and quality control has improved.

Now the advantages are flowing to Giltrap customers in the form of a three-year warranty, a byproduct of the enhanced confidence Giltrap management has in the output of the business. As proven by Toyota and many other companies adopting the constant improvement philosophy of lean manufacturing, the advantages of all this enhanced efficiency, communication flow, staff buy-in, waste reduction and self-auditing is not just a better bottom line: better products roll off the assembly line. The entire Giltrap factory, on the outskirts of Otorohanga, has gone through the ‘lean’ mill, with staff and management putting every workflow under the microscope looking for ways to improve the factory layout, sharpen assembly line procedures, define

lines of reporting and tidy up work spaces. The engineering staff have themselves gone through the same process, being put into teams encouraged to take responsibility for their own work and required to audit the work of the other teams. Giltrap managing director Craig Mulgrew and sales and marketing manager Eric Crosby have been impressed with way the factory staff have taken ownership of the production process. If any team along the assembly line feels the preceding team have not done their part of the job properly, they push the machine – be it a bale feeder or a feed wagon – back down the line to be done again. No machine makes it to the front door without being subjected to this rigorous internal audit-

ing. All information gathered on the factory floor is logged, discussed by the teams and used to further sharpen the products and the manufacturing process. And the selfexamination doesn’t end at the showroom or dealer’s yard. Buy a Giltrap product and expect a follow-up after six months. Also expect the comfort of the three-year war-

Giltrap’s three-year warranty reflects management’s confidence in the output of the business, says managing director Craig Mulgrew.

ranty, which sits on top of a manufacturing pro-

cess locked into the neverending philosophy of lean

manufacturing – constant improvement.

What is ‘lean manufacturing’? LEAN MANUFACTURING is a management philosophy derived mostly from the Toyota Production System (TPS) and identified as ‘lean’ only in the 1990s. TPS is renowned for its focus on reducing waste to improve overall customer value; but there are varying perspectives on how this is

best achieved. The steady growth of Toyota from a small company to the world’s largest automaker has focused attention on how it has achieved this. The core idea is to maximise customer value while minimising waste. Simply, lean means creating more value for customers with

fewer resources. A lean organisation understands customer value and focuses its key processes to continuously increase it. The ultimate goal is to provide perfect value to the customer through a perfect value creation process that has zero waste.

Dairy News july 10, 2012

machinery & products // 47

New CVT tractor range unveiled FARM WORK rates are optimised by a raft of technical

features and operating benefits in a new tractor from Case IH NZ Operations. The Puma CVT standard wheelbase (SWB) series, “highly productive and versatile, [has] everything needed to handle daily tasks – simplicity, productivity, economy and comfort,” says Case IH NZ. The SWB Puma CVT is powered by common-rail electronic-ignition diesel engines with outputs between 131 hp (96kW) and 160 hp (118kW). All have selective catalytic reduction (SCR) technology to comply with Tier 4a emissions rules. Not yet in force in New Zealand for new tractors, these rules have applied since 2011 in Europe and the US. Features include: ■■ Power growth of an extra 21hp gives 10% extra performance available by throttling back to 1800/1900rpm. ■■ Engine power management gains as much as 38hp extra – up to 23% higher performance available when driving faster than 15km/h and in PTO applications. ■■ Constant engine speed allows the engine revs to be programmed to two different values for specific applications; whether powering PTO, draft or hydraulic operations the speed will be constant regardless of load. ■■ Constant power range gives the tractor the same performance at 1500rpm as at rated speed; this allows the operator to throttle back for higher fuel efficiency without compromising productivity. ■■ Low engine revs while driving at road speed. ■■ Service intervals of 600 hours, said to be the longest in the industry. The Case IH CVX transmission series embodies the maker’s “next generation of CVT technology, already positively reviewed in many regions of the globe,” the company says. The machine has DKT double-clutch technology for best transmission efficiency, giving “a smooth ride and best-in-class fuel and power efficiency.” Case IH NZ also claims for the SWB Puma CVT “best-in-class hydraulics with a hitch lift capacity of up to 8257kg.” Hydraulics running at 140L/min. make for responsive on-board systems and remote-controlled machinery. Up to eight remote valves (five rear, three midmounted) can be supplied.

Case IH will later this year launch the rest of the latest Puma series – standard wheelbase full power-shift (130, 145, 160) and long wheelbase CVT (170, 185, 200, 215, 230) and full power-shift (170, 185, 200, 215). These launches will complete the Case IH Puma upgrade to the ‘efficient power’ series. www.caseih.co.nz

Available on all Case IH Puma series tractors, CVT (constantly variable transmission) continually adjusts for best balance of power and fuel efficiency.

Manage your own fertiliser programme with

Tow and Fert

fine particle and liquid suspended

slurry mixer and applicator

- Mix and apply animal health products - Mix and apply ﬁne particle fertiliser - Mix and apply dissolved fertiliser - Mix and apply soil conditioners - Up to 24 metre swath (with boom extensions) - Fully remote control spray and boom operation - On-board weigh scales for accurate ﬁlling/operation

Have Flexibility

The Tow and Fert offers flexibility in your busy schedule to apply products you know and want, in a timely and effective manner. Don’t wait until you have 60 hectares to spray and call in a bulk spreader - the Tow and Fert allows you to mix and apply any product at any time.

Be In Control

Easy to move A QUAD attachment made by Brent Smith Trailers eases the task of moving K-Line irrigators. A large coloured ball is permanently attached to the end of each line and the K-Line mover is driven over the ball on which it clicks shut, enabling the line to be shifted to its next spraying position. A rope-operated release drops the line and the farmer can move to the next line to be shifted. Says Brent Smith, “There’s no need to be getting on and off the bike at all during the total operation.” The machine is fully galvanised. Price $1485+GST Tel. 0800 509 777 www.brentsmithtrailers.co.nz

Like being in control? If you like the concept behind slurry, dissolved or bio fertilisers but want to know how many kg/ha of nutrient you are getting on your pastures and want to guarantee timely applications then call to organise a no-obligation demonstration of the Tow and Fert, then you can make your own mind up!

Save Money

The Tow and Fert’s multi role ability means you will be saving money in fertiliser, application costs, timely application of animal health trace elements, application of herbicides (thistle, dock spray etc) while simultaneously applying lime, urea etc.

Call us today on 0508 747 040 Proudly manufactured by: Metalform (Dannevirke) Ltd, Easton Street, Dannevirke 4930, New Zealand Ph: 06 374 7043 | Fax: 06 374 9316 | Email: info@towandfarm.com | Web: www.towandfarm.com

Dairy News july 10, 2012

48 // machinery & products

Telehandler maker gains new strength GLOBAL CONSTRUCTION and agricultural

equipment maker JCB has posted its best results in its 66-year history. The company’s turnover in the 2011-12 financial year was $5.4 billion, up a whopping 37% on the

previous year and more than double the 2009 figure. Total sales rose to 69,100 units, up from 51,600 the previous year. Landpower Group chief executive Richard Wilson says the results justified JCB’s claim to

number-one farm telehandler and loaders supplier in New Zealand. “We’ve distributed JCB agricultural products for 10 years and they’ve held number one market share for just about all of that time,” he says. “The fact

The new JCB 550-80 Loadall telehandler.

JCB is doing so well on a global scale gives us ongoing confidence here in New Zealand. JCB will unveil at least 60 new products during the next 12 months. One of these is the 550-80 Loadall telehandler, which “can lift five 1-tonne square bales 8m in one lift, so it has appeal to straw and hay contactors,” says Wilson. “We’ve already recorded our first sale.” Landpower also distributes JCB Farm Master 414 and 434 Agriloaders, purpose-built for farming. JCB is the world’s third largest maker of construc-

tion equipment, with 22 plants and 16 parts cen-

tres on four continents. The company has at least

10,000 employees and 770 dealers.

The revolution in Teat Spraying perfection 100% Coverage

Poor Coverage

Is your Teat Sprayer achieving 100% coverage? If not - Call 0800 4 WETiT NOW

MG series Feeders

93848

PROVEN TO BE BETTER THAN HAND SPRAYING AS SHOWN AT MYSTERY CREEK FIELDAYS

available at

≈ Pre Calving Teat Spraying ≈ * Less unrecoverable costs

The MG feeders keep contamination from getting into the milk, meaning quality for calves. They are self-leveling and have a simple ‘click-andclean’ system so you can quickly wash out the tank and manifolds. With a variety of tank sizes and a range of 26 to 80 teats; it’s perfect for simplifying the whole feeding process on any sized farm!

Can be used all year round in the shed or paddock This system will provide better results than any other equipment on the market - We guarantee it 100% Satisfaction Money Back Guarantee* - 18 Month Warranty on WETiT made components

info@wetit.co.nz

0800 493 848 - 0800 4 WETiT

Dairy News - 272 - 884

www.wetit.co.nz

Dairy News july 10, 2012

machinery & products // 49

New name for auto towbar accessories ADVANTAGE IS the

new name for auto accessories sold by Best Bars. “We’ve been introducing an increasing number of [aftermarket] products over recent years and now we’re [going] under one brand,” says John Frear, general manager sales and

marketing. “We have 30 years experience designing, developing and manufacturing products that suit the vehicles sold in New Zealand and the way in which they are used....” Advantage products include towbars and

towing accessories, nudge bars, rear bull bars, sports bars, side pipes and running boards. Ute decks include recently introduced composite and alloy decks, ladder racks and cab pro-

tectors used by contractors and farmers. They also sell tonneau covers to fit most utes. The company’s storage tool boxes are made from alloy checker plate with stainless steel hinges.

Take advantage of new towbars and towing accessories from Advantage.

MS1324

The stirrer is anchored at the edge of the pond and is driven by a 10hp motor.

Anchored at pond edge FOR FORMAL set-up of ponds for collecting and storing

effluent, Reid and Harrison now distribute via their dealer network a stirrer for anchoring at the edge of the ponds. Though set on a concrete base at the edge, it still has remarkable movement, the maker says. “It can be moved left and right almost 180 degrees as well as raised and lowered,” says owner of Reid and Harrison, Seton Dalley. In each position the arm carrying the drive to the propeller can be located and locked so ample time is allowed for full mixing of all material. To add to its versatility there are two models: 7.8m and a 10.5m giving ample reach for any sized pond. There is a protective skid beneath the propeller to avert danger to the pond liner and maintenance is low. The stirrer is belt driven by a 10hp motor mounted on a steel frame. All parts are galvanised.

Tel. 07 888 8224

KUBOTA RTV RANGE OFFERS INCREASED SAFETY Kubota’s market leading RTV with a HST transmission gives you unmatched hill holding abilities to offer the ultimate in safety. We cannot afford to compromise on safety and RTV provides you with the following features designed to ensure comfort and safety: • Hill holding HST transmission • Reliable wet brakes • Fully integrated rollover protection structure designed for optimal safety • Responsive power steering • Powerful Kubota engine Take one for a test drive today and you’ll be convinced!

Dairy News july 10, 2012

50 // motoring / machinery & products

Ammonia urea supply FARM NUTRIENT supplier Ballance this month celebrates 20 years ownership of the country’s only ammonia urea. It has won new gas supply contracts for the plant. Ballance Agri-Nutrients chief executive Larry Bilodeau says security of gas supply, a new air discharge resource consent and $30 million spending earlier this year on maintenance and capital improvements ensures continuity.

“We have secured supply of about seven petajoules of gas each year for the next eight years, equal to the total domestic gas supply for the North Island. “This enables us to continue maintenance and capital improvements that will create efficiencies to lift production and lower the environmental footprint of the plant.” The plant has gained one of its new operating permits until 2035.

MT800 TaNkER/MIxER A Mobile Mixer/Tanker built on a strong galvanized steel frame can carry and mix colostrum, milk powder or any other calf supplements that you want to feed out.

Mix/despense 320 Litres Per Minute With Easy Use Despensor Gun

Powerful Honda Petrol Motor

avaILabLE aT

NEW FOR 2012!

Simple Click and Clean System

Calibrated Floating Level Indicator

The all-new Kia Rio range has now been joined by a CRDi diesel model.

Kia Rio diesel now on sale A DIESEL version of the new Kia Rio is on sale in New Zealand touted as “one of the most economical new cars in the country”. Priced at $24,990, the Rio CRDi is powered by a 1.4L engine and Kia’s EcoDynamics package including ‘idle stop & go’ technology to cut fuel consumption and carbon emissions. Fuel use is 4.3L/100km (55mpg) and CO2 level 113g/km. The engine was developed for Kia in Europe. It has double overhead cams and the latest common-rail high-pressure fuel injection. Engine capacity is 1396cc, and a wastegate turbocharger gives a more compressed forced-air charge for greater

efficiency and responsiveness. Derived from Kia’s U2 diesel family, it develops 66kW at 4000rpm and 220Nm of torque across a 17502750rpm range. The EcoDynamics package also includes low rolling-resistance tyres, a drag-reducing front grille, a gearshift indicator and rear spoiler. Six-speed manual transmission is standard. Kia Motors New Zealand general manager Todd McDonald says the new diesel model further boosts the Rio range, now one of the brand’s best sellers here. “Rio is going remarkably well for us in New Zealand, [with] sporty

design, high specification level and attractive price.” The CRDi suspension is based on European specifications, giving “sporty” handling. Brakes are discs, and the car has ESC stability control and ‘hill assist control’ to prevent rolling backwards during starts on steep gradients. Equipment includes daytime running lights, reverse warning sensors, heated/powered door mirrors, remote locking with in-built car alarm, height-adjustable driver’s seat, twoway steering column adjustment, split folding rear seats, rear luggage cover, trip computer, Bluetooth and MP3compatible/radio/CD audio.

Beat the seasons

Redpath’s clear roofing lets the light in for a clean, dry healthy floor from 10-year life r-Heavy all new Supe r roof elte duty Durash membrane.

WHAT FARMERS ARE SAYING “The shelter eliminates rainfall washing effluent from the feedpad – and the clear roof keeps the cows warm and the floors dry and disease free” Waikato “Protects my herd and my pasture during extreme weather and lifts my farm production as a result” Northland “The soft floor system is easy on the cows and I can hold them inside for as long as I want, I mix the litter into my feed crop when finished” Gore

Correction

A Redpath Dairyshelter takes the stress out of what to do with your herd when the weather packs up! Redpath clear roofed deep-litter shelters protect your cows in comfort and are an on-going asset that future-proofs your business

JH0037380©

“I feedout along the sidewalls of my Redpath shelter, it saves me a lot of time and my feed waste is almost nil” Waikato

FREEPHONE 0508 733 728 email redpath@redpath.co.nz www.standoffshelter.co.nz

A HI-TECH ENVIRO Solutions trailer, seen at National Fieldays, was reported and pictured by Dairy News as being a vehicle for moving K-Line effluent sprinklers. This is, obviously, incorrect. The trailer carries six of Hi-Tech Enviro’s own effluent sprinkler units and a drag hose. Each sprinkler gives coverage of 950m2. More sprinklers can be added as required. We apologise for our error to Hi-Tech Enviro and K-Line manufacturer RX Plastics.

Dairy Feed Systems

NEW ZEALAND’S

LEADER

IN FEED SYSTEMS SINCE 1967

DAIRY FEEDING WITH MINERAL & MOLASSES OPTIONS HERRINGBONE

Herringbone Feed Dispensers

Herringbone Stainless Trays

Herringbone Inline Mineral Dispenser

Accurate feed drops • Minimum feed rate 0.50kg per cow • Free from blockages

S I LO S

CA L F F E E D E R S Automated Calf Milk Feeders - Proﬁt from technology

• Calf feeders are the basis for the health healthy rearing and feeding of calves • Simplify your daily work of caring for the animals and create free time • Each animal receives the required amount of milk in several portions daily • The milk is freshly mixed in the required amount and heated to the correct temperature • The machine alerts the farmer so that illness can be combated while in its early stages

R O TA RY

Silo Vibrator stops PKE bridging

Rotary Inline Mineral Dispenser

• Feed dispenser for high accuracy feeding or simple cross auger system • Auto miss empty bales and cow doing double rotations

FARM FEED MILLS Manufactured in Denmark

SKIOLD DISC MILLS

e t a L

k a e r b st

i h g u o r th

i M n

! g llin

Australian Dairy Farmers are saying with a Disc Mill “we produce more milk from less grain”

MYSTERY CREEK Taranaki Territory Manager PAVILLON SITE PD24 & PD26 Chris Collier 027 666 6221 Taranaki Territory Manager Chris Collier 027 666 6221 E: chris@pppindustries.co.nz E:chris@pppindustries.co.nz

an eye for the future 4641619AA

Rotary Feed Dispensers

I N D U S T R I E S LT D Ag r i b u s i n e s s E q u i p m e n t

Phone: 0800 901 902 Email: sales@pppindustries.co.nz

Are you ready for calf rearing? Buy 34 Bags, get 1 fre Buy 100 Bags and receive ae.fre meal feeder (30kg capacity) e . While stocks last. Valid 1/6/12 - 30/7/12.

NZAgbiz Brown Bag Calf Milk Replacer™ 20kg

NZAgbiz Denkavit Plus Calf Milk Replacer 20kg

NZAgbiz ancalf™ Calf Milk Replacer 20kg

NZAgbiz SupaCalf™ Calf Milk Replacer 20kg

Agri-Feeds RumenX 15kg

Formulated from non-curding dairy ingredients and now contains Actigen®.

A premium ‘full cream’ Calf Milk Replacer containing added Colostrum.

Contains extra calcium for greater bone development and Deccox™ to help prevent Coccidiosis.

Contains Supagest™ to maximise nutrient uptake and Deccox™ to help prevent Coccidiosis.

Calf rumen papillae development feed containing Monensin as Rumensin 20% Millmix.

NRM Moozlee Calf Feed 25kg

NRM Grow Up 20% Pellets 25kg

NRM Grow Up 16% Pellets 25kg

Extremely palatable and nutritious with highly digestible steam flaked grains. Formulated to give calves a head start. Contains Bovatec®.

Premium 20% protein balanced supplementary feed to meet the calf’s rapid growth needs from four days old. Contains Bovatec®.

McKee Plastics Gravity Calf Feeder 11 Teat 110L

A cost effective 16% protein feed for growing stock beyond 80-100kgs live weight. Contains Bovatec®.

Normally $156.80

14580

Stallion Calfateria Calf Feeder 50 Teat 450L Ask in-store for local pricing.

% 10 EXTRA While stocks last.

Cydectin® Pour-on Moxidectin

2.2L

5.5L

259 $595

Registered pursuant to the ACVM Act 1997, No A6203

Vitamin B12 2000 500ml

ALLiANCe® Cobalt and Selenium 10L

CoNVeRGe® Cobalt and Selenium 10L

SCANDA® Selenised 10L

Abamectin, oxfendazole, levamisole

Abamectin, levamisole

Oxfendazole, levamisole

Plain

Registered pursuant to the ACVM Act 1997, No A010249

Registered pursuant to the ACVM Act 1997, No A010119

Registered pursuant to the ACVM Act 1997, No A007130, A007368

Registered pursuant to the ACVM Act 1997, No A007719, A009867

665

519

319

Plain or with selenium

Selenium

8340 $8760

Receive one entry for every $5,000 you spend on your PGG Wrightson Rural Supplies account between 1 June and 31 October 2012. From stock food to drench, workwear to farm merchandise, it all adds up. Terms and Conditions: All offers and prices are valid in the North Island from 1 June 2012 to 31 July 2012 and in the South Island from 1 July 2012 to 31 August 2012 unless stated otherwise, or while stocks last. Prices include GST, unless stated otherwise and are subject to change. Some products may not be available in all stores but may be ordered on request. Prices do not include delivery, delivery costs are additional. Images are for illustrative purposes only. *Honda promotion: Minimum $5,000 spend includes GST. Applies to any items purchased at PGG Wrightson Rural Supplies or Fruitfed Supplies on your PGG Wrightson monthly credit account, between 1 June 2012 and 31 October 2012. One North Island prize and one South Island prize to be won. See full terms and conditions at www.pggwrightson.co.nz.