Dairy News 28 April 2015

More robotic milkers for pioneer farmer. PAGE 14 FARM SAFETY

MENTAL WELLNESS Keep stress at bay PAGE 13

Stats make grim reading PAGE 41

APRIL 28, 2015 ISSUE 333 // www.dairynews.co.nz

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More robotic milkers for pioneer farmer. PAGE 14

MENTAL WELLNESS Keep stress at bay PAGE 13

FARM SAFETY

Stats make grim reading PAGE 41

APRIL 28, 2015 ISSUE 333 // www.dairynews.co.nz

NOT ALL DOOM AND GLOOM Despite the low payout, Matamata farmer Rex Butterworth’s milk production is up 19% and cost of production has dropped below $3/kgMS. PAGE 6

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DAIRY NEWS APRIL 28, 2015

NEWS // 3

Brace yourself for hike in Overseer N loss ANDREW SWALLOW

IRRIGATED DAIRY farms can

Mint Edition breeder. PG.09

Team effort behind cheesemaking.

PG.10

Gypsy day rethink. PG.26

NEWS �����������������������������������������������������3-20 OPINION ���������������������������������������������22-23 AGRIBUSINESS ���������������������������� 24-25 MANAGEMENT ������������������������������26-30 ANIMAL HEALTH ��������������������������� 31-35 MACHINERY & PRODUCTS ��������������������������������������36-39

❱❱ Version 6.2 released last week. ❱❱ Major changes to irrigation module. ❱❱ Higher N loss calculation likely for most irrigators. ❱❱ Several other bugs sorted.

positive spin on the changes.

“Yes, there’s going to be some short-term pain but moving to a more transparent and realistic irrigation module will eventually deliver better results for all irrigators,” he says.

The ability to model specific irrigation practices will dramatically improve N loss predictions, he believes.

“So while you may see some upwards movement immediately, more realistic modelling will reward irrigators who modernise and improve irrigation practice.”

Environment Canterbury’s director of science, Ken Taylor, says he’s heard the new version could increase calculated losses 25%, if not more.

“It’s our understanding, from preliminary tests, that when you’re on heavier soil the absolute change is probably not particularly great but on lighter soils it could be very significant.”

The new version is going to require changes to many regulatory thresholds.

“We need to change these plans to reflect a more appropriate way of

Irrigated dairy farms are bracing for higher N loss figures under the new version of Overseer.

using Overseer. We wouldn’t expect there to be changes of this magnitude again in future but there will be more changes.”

If already written policies aren’t adapted the new figures could mean what was a permitted activity under an old Overseer calculation is now discretionary and requires a consent, or a discretionary activity could be tipped into the prohibited range.

“We have to avoid these consequences because they’re not what’s intended.”

Under Canterbury’s Land and Water Regional Plan all farms should have calculated their nitrogen losses from 2009-2013 to establish a “baseline”. Taylor says all these will have to be redone, though ECan may be able to find an adjustment figure which would save farmers or their consul-

tants crunching the numbers again.

However, Bruce Murphy, a largescale South Canterbury dairy farmer with pivot and border-dyke irrigation, told Dairy News “it would be in every farmer’s best interests to do the numbers himself too”.

Federated Farmers Dairy North Otago chair Lyndon Strang says the likely higher loss figures are a concern, especially from a regulatory point of view.

“The actual nutrients out haven’t changed and what people want is accuracy so if this is more accurate we have no choice but to accept it.”

The question is whether Otago Regional Council will adjust the nutrient loss limits already set in Plan Change 6A which have to be met by 2020, given “Overseer 6” is specified in the plan.

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expect nitrogen loss figures to leap when they run the latest version of Overseer.

However regulators and the nutrient budgeting model’s parent body, Overseer Ltd, say nobody should be disadvantaged by the changes.

Overseer 6.2 went live last week including a major upgrade of the irrigation input fields. Overseer general manager Caroline Read told Dairy News the upgrade will see N loss figures for most irrigated dairy farms rise compared to previous Overseer calculations.

The level of increase will depend on irrigation system and management method, says Read. Farms with better soil moisture monitoring, application infrastructure and adaptive management will likely find their leaching losses, as calculated by Overseer 6.2, rise less than those with less accurate watering systems and prescriptive management of irrigation.

Read says she can’t give figures on how much the new model may hike losses for the same farm compared to Overseer 6.1, but the key point is that more detailed data input will improve users’ ability to model their systems and identify ways to reduce losses.

“It’s going to be a challenge to collect that information but it will really help you understand how the way you run your irrigation affects losses.”

Irrigation New Zealand chief executive Andrew Curtis also puts a

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DAIRY NEWS APRIL 28, 2015

4 // DAIRYNZ FARMERS FORUM

Resilient can thrive on milk price volatility PAM TIPA pamelat@ruralnews.co.nz

MILK PRICE vola-

tility can have a silver lining, says Dave McCall, DairyNZ’s general manager R&D. Volatility favours the resilient, he told the DairyNZ Farmers Forum in Kerikeri, Northland.

You gain advantage if you come out of a downturn more quickly and more efficiently than competitors, But his message carried several warnings. As an industry we have become “a bit complacent” about expecting up cycles to follow down cycles.

“While I don’t want to preach doom and gloom – because the mid-term fundamentals in our industry are very strong and increasing – there are supply issues which haven’t been there in other cycles making this a different cycle,” he said.

We jumped out of the last down cycle, after the global financial crisis (GFC), more quickly than the rest of the world, he said. The opportunity in volatility comes when we

can climb out of downturns faster and better than our competitors, to “progressively take the high ground as an industry and cement out competitiveness”.

We did that in the last down cycle but this down cycle is potentially different.

“We had the GFC and that took a lot of liquidity out of countries like the US and Europe. Farmers there were going broke.

Quite a number of farmers went broke in the US. That compounded to make investors very nervous about investing in dairying in the US. Farmers couldn’t even get liquidity so more farmers went broke so they went into a downward cycle.

“It took a long time to claw their way out of that cycle. On top of that they had some droughts. They had ethanol taking up corn because corn prices were much higher in the US.” But he says the US and Europe are winding out of their problems. Europe is having quotas taken off and countries like Ireland, Germany and Netherlands are ready to put more supply into the markets

we are chasing. In the US, farm pools have margin protection insurance so they are not even getting the price signals yet.

“This time we are in a situation in which we don’t have our major competitors with a credit crisis on their hands,” he says. “I think we will have to be prepared for a bit more supply coming at us through this downturn before things correct.”

For the future we will be farming with more and more volatility in our milk prices, he said. Volatil-

DairyNZ’s David McCall addresses farmers.

Northland farmers at the DairyNZ Farmers Forum.

ity in milk price has been more pronounced in the last seven-eight years. We need to make our farm practices resilient to those milk prices so volatility can be our friend.

“If this next down cycle knocks out a few more European and US farmers and ours remain resilient then their investor confidence will take a whack

while ours remains high.

“Therefore through the next up cycle our good times remain for longer.

The key thing is we’ve got to maximise our good times.

“Volatility can be a good thing for our industry, looking for the silver lining out of the challenge.

Volatility favours the resilient; what we’ve got to do

is make ourselves the most resilient farming industry on the planet and I think we are a long way to doing that.”

Key to that is keeping our costs lower than our major competing suppliers in the US and EU and making sure we make a profit.

“As an industry if we don’t continue to make a

profit each and every year no matter how small then we will have this investment crisis, this liquidity crisis visited on us. That would bring us down.

“It is a salutary reminder to us about the efficiency of our production and how we’ve got to hold on to that to survive and thrive when the next upturn comes.”

GOOD TIMES BAD FOR QUESTIONS A CHALLENGE for DairyNZ is to engage farmers during the good times – it’s easier in difficult times, says David McCall.

During the good times the industry good organisations get pilloried for questioning farmer capital investment that might have questionable long term returns and lock in fixed costs.

Or they get pilloried for messages about maintaining high efficiency and keeping onfarm costs low.

“We get pilloried for questioning when we see farmers chasing the last kilogram of

milk solid during an up price, when if they did the sums they would find they got less profit than if they didn’t chase them.

“We’ve got to come out of this downturn and remember those messages for the next upturn because that is what will make us even better again in the downturn and make us resilient.”

From 1998-99 to 2013-2014 the dairy industry increased its profit per hectare by $1200 and DairyNZ has an aim to increase this by $50 per hectare each year, he said.

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DAIRYNZ FARMERS FORUM // 5

Farmers not such bad blokes after all PAM TIPA pamelat@ruralnews.co.nz

DAIRY FARMERS are more popular than they probably realise, says Andrew Fraser, DairyNZ brand manager.

Farmers see negative headlines about dairying and assume they reflect public sentiment. But the latest DairyNZ survey, held in November, of 1500 non-farming people showed two thirds were either “very positive” or “somewhat positive” in their impressions of dairying.

This was probably higher than most dairy farmers would expect. “We are doing all right, we are travelling pretty well,” Fraser told the DairyNZ Farmers Forum in Kerikeri. The result was good considering the survey followed an elec-

tion in which the Greens campaigned on despite all the headlines. “People don’t believe everything they read.” water quality.

Fraser said there had also been The result was similar to previous surveys but an interesting change positive headlines about farming, but farmers tended to be was a 10% increase in “sensitised” to the negthe “very positive” and ative ones. a 10% decrease in the DairyNZ also dug a “somewhat”, although bit deeper and asked the overall two-thirds people ‘What’s imporpositive result remained tant to you?’ (Particiabout the same as in prepants were asked to rate vious surveys.

10 attributes from first “It will be interesting to third.) “As you could to see if that trend conguess, ‘protect the envitinues,” said Fraser. ronment’ was the big DairyNZ also asked Andrew Fraser one,” Fraser said. “This those surveyed what they thought about other industries. is a value really important to New ZeaTourism is the poster child, it can do landers and so it is very important to us no wrong. Beef and lamb is up there, but to perform here.”

The second most popular attribute dairy came in third, not too far behind

was ‘world leading’. The public like us to do well, such as the All Blacks or being the world’s largest dairy exporter, Fraser said. “That’s a good story and that resonates with them.”

A surprise survey finding was that ‘be relatable and genuine’ was rated third.

“That’s saying that people like the idea of the farmer as the backbone of the country – good, solid salt-of-the-earth, they contribute to the economy, great to have a beer with down at the pub, they would probably change your tyre on the side of the road, involved with the community. That idea of the dairy farmer they value a lot. Even though they might not be very connected to the farmer these days, it is still important to them.”

General responses ranged across a wide spectrum, from the ‘dirty dairying’

accusation to ‘I understand they have been working hard on this’ or ‘dairy farmers in my experience are aware of environmental values’.

“So some of those messages are getting through,” said Fraser. “This is where dairy farmers have talked to people in the community. You guys are the best advocates to sell your story. It is coming through in our research; they remember that and that affects perception.”

Survey respondents had a very positive perception of dairy farmers, Fraser said. His favourite quote was, “If my child wanted to be a dairy farmer, I would be more than happy to encourage them. I think they would have to be intelligent, hard-working and tenacious to succeed.”

China-led story is over THE CHINA-LED story about growth in dairy demand is likely over, says Hayley Moynihan, Rabobank’s dairy research director for NZ and Asia.

Chinese imports could be down 50% this year than last. There may be “regulatory shenanigans” and “we will find out the true value of partnerships with Chinese buyers”, warned Moynihan in her presentation to the Farmers Forum in Kerikeri.

In China the situation changed “dramatically” from product shortage in late 2013 to reports this year of product being dumped. Processors there are not necessarily

collecting milk from smallholder farmers who do not have contracts.

There is plenty of domestic milk and import stocks.

“This was quite a change in 18 months; it illustrates the extreme of how that changed. That adjustment is still happening in China.

We still think there will be growth in consumption but nowhere near the levels seen in the past.

“The market is maturing and the new investment in farms in China is coming on line which is improving the quality and the availability of raw milk in China.”

High raw milk prices, flagging international prices and a grow-

ing industry could play out in a number of scenarios in China. Fall milk prices could push smaller Chinese farmers out, as could processors holding volume levels. Or the Government may subsidise to keep farmers in rural areas. Imports may go to a lower level. Some combination of the four options is likely.

“We think one major scenario will be significantly less imports into China into 2015 [than during] 2014,” Moynihan said. “We expect to see exports down by about 50% versus last year. So people who are expecting a very sharp increase in pricing because China is going to come back into the market – we

don’t think so.”

China’s consumption will grow long term but it will not be the primary and almost sole driver of trade growth as seen in the last 4-5 years. Growth will be broader based in regions like South East Asia, North Africa and other African regions.

Moynihan earlier said supply is often discussed but consumption less so. Dairy consumption did play out as expected in 2014. High milk prices were passed on to consumers at the same time as economic growth slowed. Globally consumption grew 0.6% as compared to 1.82.4% in the past decade or two.

Chinese dairy imports could be down 50% this year.

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DAIRY NEWS APRIL 28, 2015

6 // NEWS

Cow shelters help return on capital despite low payout SUDESH KISSUN sudesh@ruralnews.co.nz

LAST YEAR’S drought

and this season’s low milk payout haven’t changed anything on Rex Butterworth’s dairy farm in Waikato.

Like every other season, Butterworth monitors every dollar spent on the farm and there is no cutting back on essential farm inputs.

This season the Matamata farmer will be producing 19% more milk than last season, which finished 32% ahead of the earlier season; his cost of production has dropped to $2.93/kgMS this season compared to $3.11/kgMS last season.

Butterworth is tired of the doom and gloom enveloping the dairy

industry; the payout and weather are beyond his control but farm management practices aren’t, he points out.

Three years ago Butterworth invested in Herd Homes shelters.

The $1 million investment includes two 250cow shelters; the second shelter was completed 18 months ago.

He says the Herd Homes shelters have helped lift production strongly two consecutive seasons. While there are 8% more cows this season, good cow condition from the previous season lifted milk yield.

“We have carried better cow condition through from last season, so our start point cow condition was better; we managed to maintain that and improve on it,” he told Dairy News.

A good feed regime is the key to keeping cows in condition; the Herd Homes shelters allow him to efficiently feed his cows. Each cow eats a tonne of maize and PKE, with grass silage also fed regularly.

Butterworth says without the shelters he would have been struggling, like some other farmers.

“That’s why we built them in the first place – to try to get some consistency into our business and it has done that. We’ve seen a marked improvement in cow condition.

Previously we have been gaining and losing cow condition; now there’s a net gain all the way.

I expect production to increase further in cow condition alone.”

Completing his second season with two Herd

Homes shelters, Butterworth says he’s “learning the system better and better”.

The farm has a 100ha milking platform, running 480 cows. Milk production is expected to top 242,000kgMS this season.

He plans to milk the late calvers through late May, taking advantage of good grass growth.

Butterworth supplies Fonterra and sees the low milk payout of $4.70/kgMS as a worry.

“It means we have to monitor everything very carefully.

“Before we spend any money on feed or make any capital expenditure, we run it through our budget first, to make sure it won’t create an issue further down the track.

But we have been doing that every year.

ARE YOU BREACHING EMPLOYMENT LAW?

Rex Butterworth says he should have built Herd Homes shelters 10 years ago.

“So, I guess in many ways we haven’t changed anything in that respect because that’s what we do anyhow.”

With milk payout down, Butterworth has cut back spending on “luxury items”. “But we are not cutting back on essentials; if we do take anything out of the system, we’ve got to make sure it doesn’t have a negative impact down the path.”

Recently Butterworth was offered 100 tonnes of good quality maize from a nearby farm at a very good price. He engaged farm analysis consultants Red Sky to go through his farm numbers and advise whether the maize pur-

REX BUTTERWORTH, a Fonterra supplier, says the co-op has serious work to do to turn around its fortunes.

He attended a recent farmer shareholder meeting where director Ian Farrelly spoke about the halfyear results.

Butterworth says he didn’t “learn anything that I wasn’t aware of”.

“Except for the fact that it doesn’t look like there is any rainbow on the horizon at this stage.”

Everybody at the meeting was unhappy with the interim results;

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Butterworth says there is much to achieve with the two Herd Homes shelters.

“I wish I had done this much earlier – 10 years ago. With the shelters, we are still doing the same… we haven’t taken anything out of the system but our milk production is higher and our returns are climbing.”

Cows spend most of their days in the shelters and most of their nights outside; there is no overgrazing of pastures.

“Last year I noticed how quickly pasture recovered after the drought, this year’s pastures are better and have come back stronger.”

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chase was advisable.

He bought the maize and has stored it for use in winter. “It means security for next season and I won’t be any worse off by doing it – taking advantage of cheap quality feed and put it in the bank so to speak.”

Red Sky also reported that his return on capital (ROC) with one Herd Homes shelter three seasons ago was 5.9%; last year with the record payout and two Herd Homes shelters the farm achieved a 10% ROC. This season Butterworth is on track for a 4.6% ROC despite the low payout; most farmers will be in the 2% to -2% range.

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this was made clear to Farrelly.

Butterworth says the good thing is that Farrelly didn’t make any excuses.

“The bad thing is that they did not come up with any plan to fix it.”

He says farmers have a lot of money invested in Fonterra shares and need to start seeing a better return, otherwise they could switch to other processors.

“I guess if this pattern carries on and our fortunes can’t be reversed or don’t start reversing, then you would be a fool not to look at your options.”

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Prosperity comes from productivity.

Productivity comes from improvement.

Now let’s talk about where improvement comes from.

In 1814 there were two cows and one bull, brought into New Zealand by Samuel Marsden. Today the dairy industry has 4.9 million cows and processes 1.83 billion kilograms of milk solids per year.

ELE-01656-RN

In early days, if you were milking more than three or four cows, you were a full-time farmer. Today, two people can milk 800 to 1,000 cows in a couple of hours.

Between 1979 and 2014, milk solid production increased by 1.3 billion kilograms.

60% of those gains came from genetic improvement.

Once, farmers knew their individual cow’s quirks, characteristics and names. Today, farmers have the smallest details of every one of their hundreds if not thousands of cows at their fingertips.

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Improvement. It’s in our nature.

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DAIRY NEWS APRIL 28, 2015

8 // NEWS

Breeders proving it can be done

Yvonne and Steven Dennis

SOUTHLAND FARMERS Yvonne and Steven

Dennis are LIC Sire Proving Scheme farmers of the year.

They milk 780 cows and have always used LIC products; they have been

part of LIC’s sire proving scheme for 10 years.

Steven Dennis says the award is a result of a team effort of their farm staff, led by manager Barry Andrew. He thanked LIC farm solutions manager

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Meagan Colling for nominating them and LIC staff for their passion.

“We were blown away by the enthusiasm of LIC staff; everyone is passionate about their division,” he told Dairy News. “It’s nice to see people so motivated.”

LIC bull acquisition manager (Jersey and short gestation) Malcolm Ellis says the Dennis’s are successful, driven, passionate and have a real interest in herd improvement and recording.

“They have outstanding record keeping and

attention to detail. With six weeks HF over the cows and KX over the yearlings, they regularly rear 25% replacements and select down to milk in the order of 22%.”

Ellis says the 50 year old sire proving scheme is the real gold. “Outstanding in its design, the scheme is also outstanding in its participation,” says Ellis.

Last year LIC sire proved 220 bulls in 273 herds; this year that number of herds will go over 300 to prove 250 bulls.

Workshop to promote team culture A FOCUS on people to create a positive, productive workplace culture will benefit everyone, says the Dairy Women’s Network, promoting human resources training it will offer next month.

It comprises free workshops titled ‘The drive behind your team’, to be presented by DWN project manager Lynda Clark, Whangarei regional co-convenor Cara Pinny, North Island convenor Alison Ferris, South Island convenor Rebecca Miller and Veronica Briggs of DairyNZ. “Working in the field of farm-focused human resources, I can say most farmers appreciate that people are their greatest asset,” says Clark.

“We have a young workforce, with 44% of farm assistants aged 24 years or younger. Young people have different influences in their lives. They want a positive, productive workplace culture and a good work environment today – not in 20 years.

“The workshops will [help] attendees to review their farm team culture and look at ways to get the best for them and their team. A positive team culture and good morale make a big difference to productivity.”

The workshops will also cover what “decent” employers and employees look like and how they behave, and creating a win-win situation for employer and employee. And they will explore various roster options and hear from someone using a five-two.

There will be plenty of take-home tools and tips.” www.dwn.co.nz

TIME AND PLACE

0800 665 277 37 or 03 326 6089

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Buller May 5

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Ashburton May 13

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Bay of Plenty May 13

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Taupo May 14

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South Canterbury May 20

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Whangarei May 20

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Invercargill June 16

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Otago June 17

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north King Country July 22.

DAIRY NEWS APRIL 28, 2015

LIC BREEDERS DAY // 9

Luck of the straw produces top bull SUDESH KISSUN sudeshk@ruralnews.co.nz

WAIKATO SHAREMILKER Barry Old

doesn’t consider himself a bull breeder. So, when his champion bull Mint Edition was inducted into LIC’s hall of fame this month, the Tatuanui 50/50 sharemilker felt it was surreal.

Mint Edition, bred by Old and his wife Linda at their Fairmont Stud, became the 53rd member of LIC’s hall of fame. The induction was held during the LIC Breeders Day. Mint Edition had been on LIC’s premier sires list

MINT EDITION ■■

Fairmont Mint Edition spent his first days at the Fairmont stud, Morrinsville.

■■

Mint Edition was the very first bull Barry and Linda sold to LIC

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Although he is no longer with us his current BW of 217 would still see him sit in the upper reaches of the RAS List

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Mint Edition’s superiority made him an obvious choice as a sire of sons.

■■

Across the industry no less than 112 sons have been sampled.

for four consecutive seasons, adding about 155,000 inseminations per season.

He had a total of 800,000 inseminations to his credit and 71,000 herd tested daughters, scattered

around the globe.

Old says he was chuffed to be told three months ago about Mint Edition’s induction. “It’s something unreal, a chance of a lifetime,” he told Dairy News.

The Olds milk 280 cows; the farm is owned by a trust and milk is sold to independent processor Tatua.

He says his interest lies in his commercial herd; bull breeding is a parttime occupation.

“I am sharemilking for milk production, not for rearing cows or breeding.

I sort-of try to put different bulls against different cows that I think might work.

“I don’t go for legs and feet; I go for mainly for protein, good udders and high BW. As a sharemilker that’s where my money comes from.”

Barry and Linda Old with a portrait of Mint Edition.

Mint Edition was born in 2005 and carries an impressive pedigree.

He was sired by Top Deck KO Pierre, a bull favourite among many dairy farmers in New Zealand. His dam, Fairmont VP Mindy, is the daughter of well-known Valden Curious Paladium.

LIC’s Simon Worth says the hall of fame is a special recognition for bulls “that have a profound impact on the profitability of dairy farming in New Zealand and the national economy”.

The criteria for entering the hall of fame are

very demanding and the merits of potential candidates are carefully assessed.

Old is proud to have bred a champion bull with the help of LIC. There’s no secret to breeding top bulls, he says. “It’s either luck of the draw or luck of the straw.”

Top LIC breeders celebrated TOP BULL breeders met this month to celebrate their contribution to New Zealand’s dairy industry.

Breeders from all over the country were invited to LIC’s annual Breeders’ Day in Hamilton on April 14 after supplying a bull calf to the cooperative which went on to form part of its 2014 elite artificial breeding teams, Premier Sires.

LIC chairman and Nelson dairy farmer Murray King says the event recognises the co-op’s partnership with farmers who have bred a bull good enough to sire future generations of dairy cows.

“As a farmer, I stand in awe of what

LiC Jersey team daughter proven breeders.

you have achieved. You are not only successful dairy farmers, but you also have the distinction of belonging to a unique

group of farmers who breed bulls good enough to bear the Premier Sires title.

“LIC is immensely proud of our part-

nership with you, and the value it delivers – not just this year, but for years to come -- on the average Kiwi dairy farm, to the industry as a whole, and to the NZ economy. You can all take pride in knowing that your excellence in farming and animal breeding is making an enduring difference.”

The co-op’s Premier Sires bull teams are responsible for about three out of four dairy cows in NZ. Since its Sire Proving Scheme was introduced 54 years ago, LIC has proven just over 10,000 bulls for widespread use on farms nationwide, with each year’s intake of bulls better than the year before, King said.

Prior to that, an analysis of sires in 1939 found that only 28% improved production, 33% maintained production and 39% lowered it.

“Back in the 1950s the evolving science of artificial breeding raised eyebrows, but any concern turned to delight when bull daughters started to deliver better production than their dams.

“There are many things LIC does which embody what it means to be a co-operative – to work closely with and for our farmers – and there’s no better example than sire proving and the Premier Sires team of bulls.”

• Story page 8

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DAIRY NEWS APRIL 28, 2015

10 // NEWS

Team effort behind cheesemaker’s win PAM TIPA pamelat@ruralnews.co.nz

“RIGHT PLACE, right time” is how

Bob Rosevear describes the success of his Mahoe Farmhouse Cheese operation.

The pasture to cheese-platter operation in the Bay of Islands this year won the Champion of Champions title at the New Zealand Cheese Awards with its Very Old Edam. Mahoe and that particular cheese are no newcomers to awards.

But this time Mahoe’s operation topped 25 tonnes which tipped it over from the artisan category to compete and win against the big players.

The same cheese won artisan category the three previous years and Bob’s

son Jacob won the Champion Cheesemaker Award in 2012 and 2013. Mature Gouda won the Dutch style category in 2013.

Three of Rosevear’s four sons – Jacob, Jesse (another cheesemaker) and Tim (a farmer) – help him run the operation at Oromahoe, south of Kerikeri. Another son was also involved until a severely debilitating medical mishap four years ago.

Rosevear says the secret to his success is “his boys”. “And the rest of the eight staff who run it – it is not any one person really.”

But Rosevear told Dairy News, that Mahoe had been a success since it kicked off in 1986. A Wellingtonian, Rosevear bought the land with wife Anna and other family in the 1970s.

The couple initially had an orchard then

were dairy farming.

Cheesemaking started when they bought some plant off a Dutch cheesemaker and built the factory. They had been buying this cheesemaker’s product and “it seemed the natural thing to investigate”. The then Rural Bank, to Rosevear’s surprise, approved the loan 100%, initially estimated at just $20,000, but somehow start-up costs ballooned out to $220,000 – at a time when interest rates rocketed to 23%.

But Rosevear says he never worried – he knew he had a winner. “With our first lot of cheese we had an open factory and all the locals came. I knew it was going to be successful. It was beautiful cheese and the reaction was great.”

They now ship a broad range of cheese all around mainly the North Island plus sell from the farm shop and

Jacob Rosevear, twice winner of the Cheesemaker of the Year award.

at Bay of Islands farmer markets. Rosevear reckons most top Auckland restaurants stock their Very Old Edam and Blue Cheese.

They have Dutch style cheese such as Gouda or Edam and specialise in very old varieties. They also make Feta style, Halloumi style, handmade Mozerella bocconcini balls, quark, washed rind cheeses, Swiss-French style cheeses and yoghurt.

All milk for the cheese comes off the farm from their herd of 58 mainly Frie-

sians. Key farm practices include not sending the bobby calves away and feeding stock well. Even in good production years they are not tempted to buy in more stock, and in dryer times, such as this year, there’s still plenty of feed available with such a low stocking rate.

The operation is seven days a week – the onfarm shop now closes on Sundays but there are still cows to be milked and cheese to make. It’s demanding but a big plus is “complete independence”, says Rosevear.

In search of the full Monty A COW that just needed

a home has led to Mahoe progressively taking their full herd across from Friesian to European breeds Montebeliarde and Normande.

They have one Montbeliarde in the milking herd

Bob Rosevear with Charlotte, a rising two year old – she is 75% Montbeliarde and daughter of the original family.

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this year. ‘Monty’ was a cow they got about three years ago. She was a house cow that had just calved and needed a home. She looks like a full Montebeliarde but is half.

“We got her by luck but for two or three years she

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has been our best cow. It doesn’t matter if there is semi-drought up here, she is not a fussy eater.

“She has a very low somatic cell count and she always produces best in the herd – 40 plus litres every day.

“We thought ‘what’s this kind of cow… Montbeliarde?’ We looked her up and found she is a French Swiss cow. Jesse was making French Swiss style cheese and wanted to go further that way.

“We also found another breed Normande.

Montbeliarde and Normande after Friesians in Europe are second and third in dairy production.

But also they are on the dairy beef side.

“Normande, in particular, are easy calving and are reputed to have unsurpassed marbled beef.

“We have mainly Friesian but also some Jersey and Kiwi Jersey mix; it was easy calving with the Jersey but you can’t do anything with the surplus calves.

“No one wants them and most farmers would put them on the bobby wagon but we refused to do that; we want to give them a chance in life. So when we came across these other breeds, which

were perfect for French Swiss style cheese and had sort-after beef calves, it was a no-brainer.”

They have started breeding and next year all 22 replacements will be either half Montebeliarde or half Normande.

They now have a part Normande bull and a Montebeliarde bull, the latter bred from Monty and full Montebeliarde semen.

They have an embryonic transfer coming on this year which is full Normande; he or she will be a pedigree bull or heifer so it will start multiplying from there.

They are “fascinated with the new breed”.

Mahoe make Dutch style Gouda, Greek style and French style and they will start to take on slightly different flavours with the new milk.

Interest is being shown in the calves including for the marbled beef. “We hope to be a forerunner, we are not the first into it, but we are among the first and there’s a lot of interest.

“Some people have already taken some of the surplus bull calves this year and want to get more next year.” – Pam Tipa @dairy_news facebook.com/dairynews

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DAIRY NEWS APRIL 28, 2015

NEWS // 13

Wellness needs to be higher on the agenda – coach THE RURAL sector needs to focus

more on mental wellness and look at developing simple self-diagnostic tools, says a South Island professional development coach, Loshni Manikam.

Stress-triggered depression has been a growing problem in rural New Zealand for 10-20 years. Department of Corrections research for the coroner’s court found that between 2008 and 2011 the number of rural suicides had tripled, averaging 25 a year – a rate 50% higher than the national average.

Manikam told a meeting of the Northland branch of the New Zealand Institute of Primary Industry Management in Whangarei on April 16 that things could get worse over the next year.

She says the growing pressure of dry summers, increasing environmental compliance requirements, employment and health and safety issues, and falling prices for New Zealand’s export products are making farming more and more stressful.

“When you’re carrying around so much stress all the time, something has to give.

Farming has changed in the last 50 years from a very physical enterprise into one where owners, managers, sharemilkers and contractors need to be on the ball about what is happening in their business to succeed, she says. “We are not designed to live with that level of stress. We’re like a balloon: you can’t keep blowing it up or it will pop.”

While farming has changed, the community and mindset around it is slow to catch up, says Manikam.

People in the rural community are largely not fully aware of the physical and mental impacts of prolonged excessive stress. As a result, mental wellness is not rated as strongly as it should be.

That changed seven years ago,

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Professional development coach, Loshni Manikam

likely to isolate themselves from friends and family, focusing more effort on their problems which are often difficult, if not impossible, to control. “Negative thoughts tend to feed on themselves.”

Sufferers were also likely to not want to do things they previously enjoyed, feel guilty for things they had no control over, forget things or have difficulty making decisions or constantly worry about little things.

Manikam says changes in sleep patterns, moodiness, headaches and exhaustion were also common.”

Family members and friends could be likely to spot a sufferer before that person comes forward and it is important that signs aren’t discounted if things go on too long.

“Most experts in the field agree that if anybody is having rapid mood swings or has been down for any period longer than two weeks then something should be done but every situation is different so it depends.

You wouldn’t want to see someone unhappy or at risk so it makes sense to do something as soon as you can.”

Family members who have spotted anybody expressing thoughts of ending their life, giving away possessions or displaying feelings of hopelessness should look for help as soon as they possibly can she says. “Call the Suicide Crisis Helpline or the Rural Support Trust; they will be able to help you find a way to approach the problem or put you in contact with people who can help.”

Family members and friends need to be careful when approaching the topic: too blunt an approach can lead to a sufferer withdrawing further from others. “The last thing we want to do is to take another person out of their support network.”

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partly due to former All Black John Kirwan publicly saying he had struggled with depression, and partly due to the rural community losing 23-25 people to suicide a year for three years – many more than from quad and tractor crashes combined.

“Now it’s not so much ‘is there a problem?’ or ‘should we do something about it?’ It is more ‘how do we deal with it?’ “ Over 10 organisations have worked on the issue including Farmers Mutual Group, Rural Women, Federated Farmers and Worksafe.

“The awareness is out there in the rural sector but it’s hard to know when [we will reach] a tipping point at which stress-related issues are normalised and everybody knows the symptoms and how to treat them without having any stigma attached.”

Work by a group of concerned Southland rural advocates (The Elephant In The Room – TATE) reasoned that one way to do that was by approaching farmers who had previously had depression, had successfully worked through it and were prepared to talk about their experiences publicly.

“All the research shows that the best way to reach farmers is through their peers. It would be great if farmers of every region who have had stress-related issues including depression could tell their story in local newspapers to help remove the stigma.”

Farmers have a culture of being self-reliant and that culture combined with the belief that they should grit their teeth and ‘get on with the farmwork’ even in the face of growing stress are among the biggest hurdles to combating depression in the rural sector, Manikam says.

Those suffering were

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DAIRY NEWS APRIL 28, 2015

14 // NEWS

Visionary farmers go all out with robotic milkers Aad and Wilma van Leeuwen are buying more robotic milkers.

THE OPERATOR of the world’s largest robotic farm under one roof is expanding.

South Canterbury farmer Aad van Leeuwen is installing 24 Lely Astronaut A4 milking robots for

a 1500-cow farm over the next six months.

The Van Leeuwen Dairy Group will install its 24 Lely robots in three barns of 500 cows each; the first delivery of eight will be installed in June 2015, the

second eight in July and the remainder in October.

A Lely statement says Van Leeuwen Dairy successfully introduced large scale robotic dairying to New Zealand in 2009 with 16 Lely A3 robots. “Aad

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and Wilma van Leeuwen’s choice of Lely comes from their experience in managing large herds through the Lely concept,” the company says.

Van Leeuwen has robots from the world’s top two robotic milking machine manufacturers – Lely and DeLaval.

Van Leeuwen last year began milking at the world’s largest robotic installation under one roof: the 1500-cow farm uses 24 DeLaval Voluntary Milking System (VMS) robots.

In the Lely media release, Aad van Leeuwen explains that his company chose Lely again because of its previous experience with 16 Lely Astronaut A3 milking robots and the level of after-sales service and farm management provided. Milking performance, installation and commissioning, and continuing support were key criteria.

“Our staff are used to the simplicity of the herd management system, and rely on the robots to do the job for us.

The cows know the system and in my opinion the Lely Astronaut robotic milking system ensures the best result from the cows.

Happy cows and a good return on investment help us reach our goals.”

Lely says robotic milk-

ing is a revolutionary step in dairy technology that can increase production while reducing stress on animals and people.

“One of the innovative features farmers describe as pivotal in their choice of the Lely Astronaut A4 system is the cow walkthrough design called the ‘I-flow concept’,” the company says. “The cow walks straight in and out of the unit without making turns. This makes it easier for the cow, which shortens the learning curve and increases the throughput.”

The Lely Astronaut A4 system from the cow’s perspective is completely voluntary, with the cow having 24 hour access to feed, water, milking and rest, therefore removing cow stress. The reduction of stress is due to minimal human interference.

The free cow traffic allows for cows to flow according to their needs and the hierarchy rules in the herd promote natural cow behaviour.

In turn, farmers face a much lighter workload and can choose when they want to be in the shed.

“Not only does the Astronaut A4 automate milking, it automatically cleans out the milk lines and the robots three times a day, and automatically washes the vat after the milk is removed,” Lely says.

Wider issue with Overseer FEDERATED FARMERS Dairy national chair-

man Andrew Hoggard says the upgrade highlights a wider problem with regulators writing Overseer into regional plans, regardless of whether a farm is irrigated or not.

“They run the model which comes up with numbers and then these numbers are written into the plans. Then you get a new version of Overseer and those numbers are no longer relevant.”

Hoggard also points out that while the numbers Overseer produces may change, nothing has changed on the ground. “It doesn’t suddenly mean there’s more nitrogen going into the water.”

In light of the regulatory use of Overseer he believes the model’s parent body needs to be more forceful in issuing guidelines and warnings about its use by regulators.

“They need to be made aware these numbers will change.”

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DAIRY NEWS APRIL 28, 2015

16 // NEWS

Farms facing cashflow squeeze – DairyNZ DAIRYNZ SAYS cashflows on

dairy farms will be tight this winter and spring, a backdrop to its second series of ‘Tactics for Tight Times’ help events for farmers.

The intention is to give farmers a “wake-up call” to assess their situation given the low forecasts.

DairyNZ chief executive Tim Mackle says 2015-16 may still turn out to be a breakeven year for most farmers but tight cashflows could result in increased term debt in the sector and less spending in the regions.

“Farmers are used to having seasonal cashflow that drops into the red but then pops back into the black at some stage during the summer,” he says.

“However, our forecasts indicate that many farmers won’t be in credit for the entire 12 months of next season unless they reduce costs, their income is higher than predicted or some of their overdraft is put into their term debt.

“We will be helping farmers to understand how low their own cashflows might go for the 201516 season, and how long they might stay there. We’ve analysed what it’s like for the average farmer in every dairying region and plotted that on a graph. It’s not looking pretty.”

Mackle says while the long term prospects for the Tim Mackle industry are still positive, farmers have to compete in a global exporting business where NZ’s market share could be eroded by other competitors.

“We’re in a strong position as an industry because we have scale and strength as a competitive producer and exporter of high quality dairy products. There’s still grow-

ing demand for our product and the supply-demand equation will eventually improve. But the landscape internationally is also changing with EU quotas coming off and the US steadily gearing up to produce more milk, potentially for export.

“My message to farmers is that resilience is needed so that farmers can cope effectively with the trough in milk prices after the record payment we had in 201314. If you haven’t already worked through the numbers, it’s time to think about setting yourself up to manage through another breakeven season in 2015-16 and look at what will make your business resilient in the longer term if lower prices stay low for longer,” he says.

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MEETINGS IN Waikato

in May will offer farmers a say on Waikato Regional Council’s ‘Healthy Rivers Plan for Change’, which could affect their future.

The plan change – likely to come into force next year – will set policies and rules for water quality, and look at ways to better manage nutrients and sediment losses.

This will affect all dairy farmers in the Waikato and Waipa catchments.

The chair of the Waikato Farmer Engagement Group, Angela Fullerton, says the meetings are aimed at precluding ‘surprises’ for farmers, and at helping them onto the ‘front foot’ of any changes.

“It’s imperative that farmers get up to speed with environmental issues that will affect the way they farm. The seven meetings will allow farmers to engage in the process and ensure their voices are heard.

“We will present a lot of new information.

Farmers may express their concerns and get their questions answered.

There’s no point in complaining later once the rules are in and you don’t like them….”

The meetings will be led by representatives

FARMER MEETINGS ■■

Reporoa, Broadlands Hall, May 5

■■

Te Awamutu, Te Awamutu Club, May 6

■■

Tokoroa, South Waikato Sports and Events Centre, May 7

■■

Cambridge, Don Rowlands Centre, May 13

■■

Otorohanga, Otorohanga Club, May 19

Meetings run from 11am to 2pm and lunch will be provided.

of the Waikato Farmer Engagement Group, set up

by DairyNZ to help farmers get involved with the Healthy Rivers process. It aims to get farmers’ views heard and the impacts of proposals understood.

Farmer leaders and DairyNZ staff will speak about the state of freshwater in the catchments and how water quality will be measured and monitored.

The council will say how it is proposing to divide catchments into five freshwater management units: upper Waikato (Huka Falls to above Karapiro), middle Waikato (Karapiro to Ngaruawahia), lower Waikato (Ngaruawahia to Port Waikato), Waipa River catchment and a category known as shallow lakes.

“The Government’s National Policy Statement for Freshwater Management requires every regional council to set

water quality and quantity limits for every water body in their region by December 2025. The Healthy Rivers Plan Change will place controls on nitrogen, phosphorus, sediment and bacteria and these controls will affect how farmers can farm,” says Fullerton.

“Once Waikato farmers have made their views clear to us as a farmer engagement group we will be passing those views on to the collaborative stakeholder group through our industry reps. One of the reps, George Moss, will attend the farmers’ meetings.”

The regional council is expected to release its draft options for water policy in the region about October. The Healthy Rivers Plan for Change will be formally notified for public submissions in April 2016.

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CRV AMBREED has announced 13 proven sires after a rigorous four-year selection process. They are included in the company’s latest bull catalogue.

The company says the bulls are sought by dairy farmers in New Zealand and overseas for their production and performance traits.

“The elite bull calves selected for CRV Ambreed’s breeding programme ultimately make sure dairy farmers’ future herds are more productive and more profitable. That means they have to demonstrate they can pass on to cows improvement traits that are the key to productivity and profitability.

“Every year CRV Ambreed sire analysts… visit herds around the country to find NZ’s best farmers and the best cows

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DAIRY NEWS APRIL 28, 2015

18 // NEWS

Hub proposal heads to the tape TIME IS running out for southern dairy farmers to pledge their support for the proposed Southern Dairy Hub, say the promoters.

To date almost 300 farmers have pledged at least $710,000; the hub is hoping to raise $2 million.

Southern Dairy

Development Trust (SDDT) chair Matthew Richards says the hub is an opportunity for southern dairy farmers to have an innovative research facility specifically to find solutions to regional issues.

Richards says pledges are coming in but if there

is insufficient southern dairy farmer support received by the deadline of April 30, the opportunity will be lost.

“We’ve been asking farmers to pledge a financial contribution to the hub, as our industry partners are prepared to invest $10 million and want local

farmers to demonstrate they back the hub by also taking a stake in it.

“The best way we can all do that is by putting our money where our mouth is, but it’s more important that we show our partners – DairyNZ and AgResearch – that overwhelming numbers of southern dairy

farmers support the hub proposal and will get behind it. Ultimately that is what our partners want to see.”

Richards says the trust can work with individual farmers and develop different payment options to suit circumstances. “It’s a no-brainer to me as we

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Winners are eligible to use the NZ Food Awards ‘Quality Mark’ signalling their products as “best of the best”.

Award categories are open to food and beverage manufacturers, primary food producers, food service providers and ingredient suppliers.

Massey University vice-chancellor Steve Maharey says the awards celebrate initiatives in New Zealand food and beverage manufacturing in nutrition, enterprise and food safety.

“The NZ Food Awards is a great opportunity for the companies and people contributing to the success of New Zealand’s food industry. It’s a chance to showcase innovation and excellence in an industry that makes up New Zealand’s largest export earner.”

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DAIRY NEWS APRIL 28, 2015

NEWS // 19

Ignore Europe’s value at your peril PETER BURKE peterb@ruralnews.co.nz

NEW ZEALAND has had its head in the sand over the potential of the European dairy industry, according to KPMG’s international head of agri, Ian Proudfoot.

He says the removal of quota regimes on EU farmers from April 1 is a highly disruptive event for the global premium food markets New Zealand supplies. New Zealand has had a very laissez faire approach to this issue over the years,

he says.

“I have heard many comments about limited expectation of production growth and most of any increase being consumed within the European ‘domestic’ market. While these views may prove correct over time, they will only describe the average outcomes for the European industry.

“We miss opportunities and overlook risks by allowing our focus to be on the average outcome.

We need to recognise that our production

Fonterra’s new Farm Source hub opens in Southland.

Farmers warming to service hubs

in New Zealand is not average, we produce a tiny percentage of the total food produced globally and our product is sold in the main to premium, high value markets.”

Proudfoot says the Europeans have invested large sums in market capability and increasing production capacity.

He says using the term ‘average’ is naïve.

“We don’t play in an average market, we play in specific parts of the market. We are only a relatively small player in the total global picture and therefore the niches we play in are the same niches that the increases in production out of Europe are going to be sent to. We could end up finding ourselves challenged in our key markets far faster than we believed would happen.”

Proudfoot says a huge market will be unlocked in Asia, with India likely to be a big mover. He also notes that there are big plays in Africa which he says

the Europeans are much more across than New Zealand. Proudfoot says more niches will open up but he says there will be strong competition from Europe.

“There are probably four countries most likely to realise potential quickly – Ireland, Denmark, Netherlands and France. Ireland has an unusually small farm structure and unusually long tenure on farms.

In Ireland the one thing they won’t do is sell out to their neighbours because that is seen as admission of defeat.

So consolidation of

farms will take time, [as will getting] up to New Zealand’s level of productivity, but it is conceivable this could be done.

“The Dutch and Danish have much more intensive farm systems so for them to increase production is just a matter of how much feed they put into the animals, so it’s quite easy for them to scale up quite quickly.”

The other problem for New Zealand is its lack of any strong dairy brands, Proudfoot says. Some people hold up brands such as Anchor and Anlene as

Ian Proudfoot

‘blockbuster’ brands, but they are known in a handful of markets at best. New Zealand is not recognised globally as the home of dairy products as are France and the Netherlands. In fact, New Zealand has few high profile internationally recognised brands, he says.

“The All Blacks are a strong brand internationally, so is Air New Zealand, but we don’t have many primary sector brands that are globally recognised. Villa Maria may be heading in that direction but our best brand is Zespri.” @dairy_news facebook.com/dairynews

HUGE SKILLS GAP ON IRISH FARMS THE LIFTING of the CAP in Ireland is not seen as the panacea for the future by all farmers there.

An Irish website reports that one of the country’s biggest dairy farmers is not joining the celebrations.

Tom Browne, who milks 850 cows in County Cork, urges caution among dairy farmers, saying he does not believe

predictions that demand will match rocketing supply.

He says the end of milk quotas presents an opportunity for young ambitious farmers with the right land but he’s nervous about such optimism. He says there is a risk of underestimating what the rest of Europe is going to do and he believes milk production across Europe is going to soar.

“We have been told the end of milk quotas will create thousands of Irish jobs, but at farm level it is a very different story.

Nobody has trained in farming in the last five years, so there is a huge skills gap.

“There are way too many coops. We have 20 management teams when we ought to have two – and farmers are paying for that.”

ABOUT 9000 Fonterra farmers have so far bought

goods and services via the co-op’s new Farm Source rewards scheme, earning $3 million in reward dollars.

Farm Source stores director Jason Minkhorst says fuel and electricity are among their purchases.

There are now three South Island stores – Methven and Culverden in Canterbury and new this month at Otautau in Southland.

The first North Island hub will open in Marton in the next few months.

Minkhorst says Farm Source supports farmers, offering them a convenient home base to use in town.

“We already have a network of rural retail stores we’re building on and expanding so farmers can access more support…. Before Otautau farmers needed to drive to Invercargill for supplies… or wait for the team to visit them.”

Otautau’s Farm Source store manager David Sinclair says the team there includes sales assistants, a technical sales representative and an area manager “who have a good understanding of the regional conditions, council regulations and what’s important to our farmers here”.

The store sells rural supplies and offers access to exclusive deals and facilities like meeting rooms, free wifi or drop-in space to make a coffee and relax.

Minkhorst says the roll-out of the Farm Source stores will happen over time. “We know things are tough… right now so are only making necessary improvements to our existing stores.”

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DAIRY NEWS APRIL 28, 2015

20 // WORLD

Oz dairy co-op to vote on TAF-style plan AUSTRALIA’S LARGEST dairy

Murray Goulburn is offering share units to investors.

co-op is set to embrace Fonterra’s TAF-style capital structure.

Murray Goulburn’s 2500 farmer shareholders will vote at a special meeting on May 8 on a proposal to offer TAF-like share units to investors.

However, unlike TAF – where the manufacturing and dividend-paying side of Fonterra in theory benefits from a low milk price because it means a lower input cost – MG says says the new capital structure would and value creation strategy and at the an improved farmgate milk price will be a milestone, its creation show- same time retain 100% supplier coning the enduring strength of MG and trol of MG. remain its primary goal.

“We will use the capital raised to The MG vote comes after 12 its long history of higher farmgate invest in world leading manufacturmonths of consultation and discus- returns for suppliers.

“Together with our 2500 suppliers ing and supply chain capabilities to sion with farmer shareholders.

MG chairman Philip Tracy says we have worked tirelessly to develop a improve efficiencies and increase the co-op has arrived at a historic capital structure that strikes the right market reach in key growth categobalance between suppli- ries including consumer cheese, dairy moment. “At stake is our ers and external inves- beverages and nutritional powders. ambition for MG to be a “These initiatives will underpin tors to maximise returns. world-class dairy foods “Central to the struc- higher returns to suppliers over business for generations,” ture is a profit sharing the longer term as we capitalise on he says. mechanism which gov- growing demand for value-added MG says the recomerns the relationship dairy food products in Australia mended capital strucbetween FMP and the div- and Asia.” ture will ensure suppliers Another feature of the recomidends and distributions retain 100% control while paid to investors. This mended structure is that MG shares raising capital for growth. Philip Tracy mechanism retains FMP will have a market value for the first MG is seeking A$500 milas the primary measure time. lion to support its growth Another round of supplier meetand value creation strategy to deliver of success of MG and aligns the intersustainably higher milk payout and ests of external investors and suppli- ings discussing the capital structure earnings via higher value-add prod- ers through increased dividends as will be held in late April and early May prior to the meeting. If approved, all ucts, improved operating efficiencies the FMP increases.

“If approved by MG shareholders, elements of the new capital strucand more innovation.

The company proposes to raise the new capital structure will give MG ture are expected to be implemented most of its new capital in an initial the opportunity to pursue its growth by July 2015. public offering (IPO) of a unit trust which will be listed on the ASX. Unitholders will have an economic expoEXPANSION PLAN sure to Murray Goulburn’s business but will not have voting rights in the MURRAY GOULBURN plans to use A$500 million raised from co-op or its operations. The IPO will the IPO for: include a Friends of MG offer of units, ■■ Nutritional powders - increases capacity and enables proproviding priority allocation of units duction of infant/baby formulas that are more complex and to existing and former suppliers, MG attract higher margins A$260m–300m investment employees and local residents in ■■ Dairy beverages - reduces UHT operating costs and inMG’s dairy regions. creases volume output and production flexibility to meet The remainder of the capital would expected international demand A$165m–190m be raised through offers of shares ■■ Cheese - reduces operating costs and increases producto MG suppliers called the supplier tion output and innovation capability in consumer and food share offer and supplier priority offer. service cheese applications A$125m–145m.

MG managing director Gary Helou

Tasmania farmers have reduced their power bills.

Power audit saves big bucks in Tassie TASMANIAN DAIRY farmers are said to be saving money on power bills thanks

to energy efficiency assessments on their farms.

Between December 2012 and February 2015, DairyTas did 200 dairy shed energy audits (about 50% of Tasmanian dairy sheds) as part of a national Dairy Australia project funded by the Department of Industry and Science energy efficiency information grants scheme.

Some farms are said to have saved thousands of dollars, and A$1 million more savings are possible, says Dairy Australia.

The audits were done by tradesmen with practical knowledge of dairy sheds. They reviewed 12 months of billing data, visited sheds typically during milking and followed up with specific recommendations.

Chris Whish Wilson, an independent refrigeration mechanic who did 120 of the audits said most savings could be achieved with regular and targeted maintenance.

“We saw some big differences between sheds: in some thousands of dollars could be saved quickly with little capital outlay, and others running efficiently could still save money by switching to time-of-use contracts or by removing unnecessary extra meters which have an annual charge.

“Some sheds had efficiency and billing savings, and if farmers implemented all the recommendations made, savings would average $3,000 - $5,000 per farm, totaling $1 million across 200 sheds.”

Energy efficiency savings alone saved each audited farm an average of A$1080 per annum.

While Tasmanian electricity is largely sourced from renewable hydro energy with no greenhouse gas emissions, the focus on dairy shed energy efficiency nationally could hold down carbon dioxide emissions from coal fired power stations.

Tasmanian project manager, Rachel Brown from DairyTas, believes there have been other benefits.

“We now have some of the best energy use benchmarking data in the country thanks to the results from 200 shed assessments. There were huge variations between sheds in all aspects: the average annual dairy shed bill was A$21,131 but one shed was costing A$72,046 a year in electricity. Dairy farmers pay an average of A$10.40 in electricity for every 1000L milk out of shed and the most inefficient shed pay nearly three times that - A$27.87.”

Dairy farmers pay A23 cents/kWhr for electricity – with the cheapest power being A17 cents/kWhr and the most expensive power A28 cents/kWhr. The audit project focused only on dairy shed use as irrigation is typically the biggest part of the power bill for irrigated farms, depending on the season.

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DAIRY NEWS APRIL 28, 2015

22 // OPINION RUMINATING

EDITORIAL

Not all doom and gloom

MILKING IT...

Million-dollar views

FONTERRA’S DECISION to scale back the rebranding of RD1 stores into the new Farm Source hubs will be welcomed by cash-strapped farmer shareholders.

Will the co-op also scale back on its flashy new headquarters under construction in Auckland’s Viaduct area?

While Fonterra will be leasing the HQ, surely workers moving into offices with million dollar views while farmer bank balances languish in the red won’t go down well with cockies.

Dubious handouts

STILL ON Fonterra, the co-op is reportedly spending $20 million a year on its much-heralded Milk for Schools scheme. Should farmers still be forking out money to feed children when the payout has hit rock bottom? After all, it’s the Government’s and parents’ responsibility to ensure kids are fed properly.

100 billion not out

A STUDY of genetically modified feed at the University of California-Davis calculated the number of food animals raised on GM feed since 2000, then looked at animal production and health statistics – both of which have improved during that time.

The researchers aren’t saying GM feed has been responsible for those improvements, but they are saying, if GMO’s were unhealthy, as often claimed by anti-GE zealots, animal health and production would have declined. Can 100 billion animals be wrong?

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Cashflow tight?

ISSN 1175-463X

THE FALL of former Top Gear big mouth Jeremy Clarkson has been well publicised, but his two co-hosts have been noticeably silent about their future with the BBC. According to classicdriver.com the blameless Top Gear hosts James May and Richard Hammond are “rapidly cashing in assets” including numerous motorbikes and a heavily modified Land Rover Defender with a 230hp V8 engine, nicknamed ‘Bigfoot’. Impending unemployment and poverty obviously don’t suit these pampered stars.

WHILE THE talk rolls on about the reduced forecast payout, the vast majority of farmers are getting on with it.

Dairy farmers are astute businessmen; there are many variables in farming that they can’t control – the weather, the currency, the payout forecast – so they remain focused on the things they can control.

Our cover story is about Matamata farmer Rex Butterworth, milking 480 cows. His farm will produce 19% more milk this season than last, which itself had finished 32% ahead of the previous season. Cost of production has dropped to $2.93/kgMS this season compared to $3.11/kgMS last season.

For farmers like Butterworth the dairy industry is not pervaded by doom and gloom; he has seen milk payout down before and his emphases remain – now as before – sound farm management, keeping cows in good condition and budgeting smartly.

Another positive story in the dairy industry is about the operator of the world’s largest robotic installation under one roof, Aad van Leeuwen, South Canterbury. He is expanding, installing 24 Lely Astronaut A4 milking robots on a 1500-cow farm over the next six months. Van Leeuwen’s decision is a strong vote of confidence in the dairy industry.

Certainly some seasons are more challenging than others: 2014-15 and 2015-16 could be two of them. But as demonstrated by most dairy farmers, the business of farming requires that you take a long term view.

Some farmers may face cashflow challenges; best they talk to their bank sooner rather than later to devise plans to manage their business through the short and longer term.

Notwithstanding the recent large falls in GDT auction prices, and the gabbing of the doom merchants, the milk price outlook for this season and the medium term remains very good.

And farmers like Rex Butterworth know good times will return. On his farm he has pulled back on ‘luxury spending’ but not on spending essential to his regime of good basic farm management; cutting spending in ways that could harm his milk production down the track wouldn’t be smart. Watch costs closely and cut the cloth accordingly, he would say.

Farmers typically go deeper into the red during the peak producing months September, October and November because they are still getting an advance payout on their milk -- not the final price -- at a time when costs are ramping up.

The next six months will be tough but farmers have been there and done that before.

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DAIRY NEWS APRIL 28, 2015

OPINION // 23

Best farmers get biggest subsidies I ENJOYED Deborah’s letter (Dairy News, April 14), and I agree with her main point – that the Dutch way (including cow barns and lots of supplementary feeds) does not suit the New Zea-

land way.

I am reminded of a comment made to me some time ago, as clear in my mind as if it happened yesterday, because it seemed to be so incredible.

I was in the audi-

Time to see beyond debate WITH INTEREST I read the article by Deborah Rhodes in Dairy News April 14, reacting to your report on the presentation of the Dutchman Aalt Dijkhuizen.

He stated that in the next 40 years farmers will need to produce as much food as has been produced in the last 8000 years. Farmers will need to learn to do more with less. He also stated that the triangle government-sciencefarmer in Holland is world class.

Deborah and Wayne McNee, chief executive of LIC (whom Deborah quoted) are both too hung-up about a Dutchman telling New Zealand farmers about the Dutch way. Please don’t throw out the baby with the bathwater. All that was stated was: we will have to produce more from less – more production from fewer cows on perhaps less land while freezing our environmental footprint.

Deborah and many New Zealand farmers need to see beyond the debates about cow barns – yes or no. If you can produce 50-100% more milk off land by bringing crops (grass or something else) to cows indoors, and if you have cows that can consume 8000kgDM/year vs current NZ cows’ 5000kgDM/year, and if these cows can turn 70% of the 8000kgDM into milk vs the current NZ cow only turning 50% of 5000kgDM into milk, you have to be onto a winner.

But for this we will need farmers with a new set of skills.

Henk Smit RD3 Cambridge

IN BRIEF LIC appointment LIC HAS appointed Paul Whiston chief executive of its new subsidiary business LIC Automation, effective June 3.

From June 1, LIC Automation (50 staff) will oversee all the co-op’s automation and sensor technology systems, and their development. This follows LIC’s acquisition of milk sensor technology firm Dairy Automation Ltd (DAL) in February 2014, and a decision to merge it with the co-op’s automation business, Protrack.

Whiston, from Rotorua, previously led sales and marketing at Paymark Ltd, the bank-owned payment network operator, where he had been acting chief executive.

Before that he worked in London as general manager international for Simpl, a New Zealand information technology company.

LIC chief executive Wayne McNee says Whiston brings a strong leadership background to the role, and extensive experience in senior roles for information technology organisations operating in international markets.

“Paul’s leadership skills, knowledge and experience will be vital to the success of the new LIC Automation entity as we plan to grow the business, deliver more integrated technology and meet increasing demand from farmers.”

ence at a British Grassland Society Conference, in England. We had just listened to an excellent presentation about dairy farming in Holland, by an eminent Dutchman.

He showed large, sleek Holstein Friesian cows being fed on diets mainly of concentrates and conserved

forages, with limited grazing in summer, living mainly in luxurious cow-barns and producing huge amounts of milk per cow, milked in spotless parlours.

I was impressed, and turned to my neighbour, who I did not know, and commented “That was very impressive”.

He said “Yes, it was.”

But after a moment’s thought he added “The Dutch are the best dairy farmers in Europe and that is why they get the largest subsidies.”

I was taken aback, and explained that dairy farmers in NZ received no subsidies, and processed and

exported 95% of all milk produced, but could grow and graze pastures year-round.

We agreed that the methods used in Holland were unlikely to be profitable in NZ, and the methods used in NZ were unlikely to be possible in Holland.

Obviously we must be open-minded

and at least listen to dairying experts from everywhere. But before acting on their advice we must evaluate all information carefully.

Advice that is good for one set of farming conditions (physical and financial) may be disastrous for another.

Colin Holmes Palmerston North

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DAIRY NEWS APRIL 28, 2015

24 // AGRIBUSINESS

Trusted supplements firm marks centenary SUDESH KISSUN sudeshk@ruralnews.co.nz

FAMILY OWNERSHIP business

structure and a clear customer focus have steered animal nutrition company Nutritech International Ltd to its 100th birthday.

The New Zealand-owned business which sells in excess of 380 products and blends, plus more than 2000 customised formulations for specific farmers celebrated the milestone this month.

Managing director Tony Manning says longevity in the market reflects the trust secured among famers.

“We have been here so long, our products and quality have stood the test of time and have added value to farming businesses – that’s a great feeling,” he told Dairy News.

The business was founded by a Danish chemist in 1915, with the name Danish Mineral Research Company.

Three years later it was bought by the McNeill family, who retained the ownership for three generations and in 1985 its

PETER NIELSEN ‘SORELY MISSED’ NUTRITECH’S 100TH birthday celebration has been tinged with sadness over the death of shareholder Pete Nielsen.

Nutritech managing director Tony Manning says Pete was an integral member of the company, board and team; he formerly served as North Island sales manager and Business Manager for the Hauraki Plains. “He will be sorely missed, never forgotten and always a part of us.”

name was changed to Nutritech International Ltd. In 2010 the McNeills sold the business to the management. Manning is the managing director and served as general manager before the management takeover.

Nutritech remains “a truly family-owned business,” Manning says.

“Having all the shareholders as employees and contractors is quite exciting”.

The company started as a supplier of mineral mixes mostly to sheep and beef farmers across New Zealand; today 70% of its products are sold to dairy farmers.

“As the dairy industry evolved our

focus became predominantly dairy based. It requires a scientific approach that adds value to this developing sector. However we continue to supply time tested free-access DanMix minerals for sheep and beef farms. The company also sells their long trusted mineral premixes for horse, rabbit, sheep, deer, goat, poultry and pigs.” A large proportion of your business is also with silage inoculants through contractors and also maize seed.

Nutritech, for 94 years sold its products directly to farmers, a strategy that provided its own challenges.

“That was essentially in direct oppo-

Nutritech managing director Tony Manning.

sition to our rural resellers and vets. We have worked hard to change this strategy and now work closely with our rural retailer and vet partners to provide solutions to our farmer customers.

Manning admits Nutritech “needed to change” In previous years “we were not customer-focused, we were product-focused. The customer has to be at the centre of everything we do; only this will see us deliver on our positioning statement – as the ‘leaders in animal nutrition’.”

It has been fun evolving the business, he says.

“When we took over we worked in quite a small warehouse in Mount Wellington Auckland and Tuam St in Christchurch; our current building

in Auckland is two-and-a-half times the size of that and we are now starting to question capacity here and our Rolleston facility is twice the size of our previous facility we were prior to the earthquake” Nutritech is continuing to upgrade; new machinery will go online later this month.

Manning says Nutritech must continue to add value and provide nutritional solutions to farming businesses.

“If we can’t, you don’t survive.”

“We are an animal nutrition company; we don’t make feed, we don’t sell feed, we produce ingredients that go into the feed. Our customers are the ones who make the feed and we support them in the field.”

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DAIRY NEWS APRIL 28, 2015

AGRIBUSINESS // 25

Resilience wins on the family farm I’VE ALWAYS thought it a privilege that I work so closely with family owned farming businesses. These operations never fail to impress me with their vision, resilience and ability to win in challenging times.

This current dairy downturn presents another opportunity for farming couples and family businesses to find a way prosper despite what may lie ahead. While farm performance, cost control and profitability will be important, success will start with fostering and protecting quality teamwork and relationships. This is what will build stamina for a sustainable future.

So what are the ingredients for resilience that will keep these farming operations adaptable and agile?

Their strength usually starts with the commitment of a dedicated farming couple.

Those with a clear view of what they want to achieve and the values they want to operate are the engine room of an effective farm enterprise.

This aspect of any enterprise won’t manage itself. It will depend on having the right disciplines and protocols in place. So the first priority must be to ensure the balance between personal and business roles is protected.

Learning how to separate these enables both dimensions to flourish. Effective couples and family staff realise they are more than their work so they establish clear boundaries to protect everyone’s work/life balance. A structured approach to time management enables them concentrate on the business operation without diluting the time available for personal, family and recreational endeavours. Most importantly they manage the tension between ‘getting it right’ and ‘getting it done’.

High-performance farming families avoid the trap of life becoming one continuous business event. They eliminate

talents. It’s important to drive growth in the right direction with the right structures rather than just let it happen.

Clarity about goals and capabilities is essential to define what represents real opportunity and is a key resource for any business.

Finally, top couples the negative impact of random business conversations. Instead they make time to plan and prepare so that business focused discussions are more productive. Essentially, they understand and agree when to be a family and when to be business colleagues.

A second factor is clarity regarding their relative strengths. They learn to view their differences as their strengths and allocate roles according to their training and natural talents. They know who will be most effective at managing relationships and therefore better equipped for roles such as people management, negotiation and networking. They recognise others may have strengths in dealing with detail, ensuring quality control which makes them more capable at forecasting, planning and analysis.

Allowing each family team member to realise their potential creates synergy that yields significant advantage.

These operations thrive because everyone delivers 100% rather than adopting a ‘50-50’ mentality. The ability to stand back and let the other get on with the job keeps things simple and time effective.

The family business structure is enhanced by prudent selection of business growth pathways. Sustainable growth depends on choosing strategies that capitalise on the strengths of the key stakeholders rather than exposing their weaknesses. Sadly, I’ve seen a few situations where unplanned growth has taken a business into areas that require mindsets and skills that were not consistent with the owners’ natural

in leadership develop their capacity to mentor and grow the next generation’s ability to collaborate. A cohesive multi-generation operation means broader business capability, enhanced opportunity for delegation and positive working relationships that enable business

longevity for future generations.

I’m impressed by the many farming visionaries I work with who are focused on growing prospects for themselves and for generations ahead. This long-term drive extends beyond just the next generation and is genuine evidence

Working in partnership:

of dedication to leaving a legacy.

Well-thought-out alignment of personal, business and succession strategies shared with the wider family can create a seriously resilient, satisfying and secure future. That’s hardly surprising in an industry that understands

what it is like to ‘reap what you sow’. It’s also fundamental to a solid foundation that will ensure farming operations learn and thrive in adversity rather than just getting through.

• Kerry Ryan is a Tauranga agribusiness consultant available at www. kerryryan.co.nz

DAIRY NEWS APRIL 28, 2015

26 // MANAGEMENT

Should farm gypsies rethink before taking the next step?

‘Gypsy day’ is entrenched in dairy farming culture but discussion has started within the industry about whether there are less disruptive ways to move farms.

FOR MANY in the dairy industry June 1 means one thing – time to move.

As the new season starts, thousands of sharemilkers pack their cows into stock trucks and move equipment and families to new farms. It is a familiar sight which sums up the traditional path of progression in New Zealand’s dairy industry.

Recently, more awareness of the disruption the move can have on families, small rural communities and schools, has led to discussion in the industry about whether there is another way.

to have the expectation of gypsy day bringing that to an end. If things are going great then focus on the things that will make it go better. Don’t stop the whole thing because there is this industry expectation that it’s gypsy day, it’s time to move.”

Paine says farmers will never get away from the physical reality of having to move stock and equipment on the day itself, but he suggests phasing a family’s move to better suit children and the communities they move into. More could be made of the weeks

“Moving one’s belongings, stock and equipment out while someone else moves in is not simple.” – Chris Withy DairyNZ strategy and investment leader, people and business, Mark Paine says discussion stemmed from a workshop two years ago when people from different sectors of the industry looked at improving the reputation and experience of working in dairying. Getting away from the traditional gypsy day was one of the issues explored.

“When we dug into it, there was agreement that it is incredibly disruptive for rural communities and schools.

Secondly it has a fairly negative impact in terms of stock movement for locals.”

Disruptive to relationships?

He also asks if change every June 1 causes unnecessary uncertainty in farming relationships. “[How can we] get the balance right between progression, which is a good thing, and continuity in the industry making sure that people stay long enough to stick with the farm system, understand the particular farm they are on and have it humming, which is a three year plus experience.

“When effective employment relationships are operating you don’t want

before the new season, once cows have been dried off.

There can even be opportunities to move families during January. DairyNZ Southland/South Otago regional leader Richard Kyte says it is possible for people to move to new farms throughout the year. “There’s a school of thought that January is a better time because it allows more time to adjust to a new farm and for training, instead of new staff being thrust into the new season and calving when it’s all go.

“You’re still not going to get away from stock on the road and the physical aspect. From a farming systems perspective you can’t be moving any other time. But it’s at a higher level we’re talking, it’s about families.”

Communities count DairyNZ Taranaki regional leader Katrina Knowles says it’s hard to get away from gypsy day because dairy farming is so season focused and it’s the way things are geared up.

She says farming communities can contribute to the successful shift of a sharemilker or employees by offering

Thousands of sharemilkers will be on the move with their stock and equipment on June 1.

help and making people feel welcome.

“If communities provided some sort of orientation pack, for example telling new people where the doctors and sports clubs are, it would be hugely beneficial. Farming is cooperative by nature and people will work together to help each other out.”

Knowles says she has heard of farmers offering sharemilkers or employees help, for example looking after children for a couple of days during the moving process or providing a meal.

Arrangements can be made to start the shift early by moving equipment that is not being used, but agreement needs to be gained first.

She says there are pitfalls in moving to a farm early and the key is not to interrupt the business of either farm.

Planning to shift farms starts way back in November as a sharemilker needs to keep production up, ensure there is

plenty of feed for the new sharemilker and make sure the stock are in good condition to travel.

Communication and planning are key Chris Withy, who with wife Charleen milks 440 cows on a 140ha farm in Benmore, Southland, says moving at any other time than June 1 would be great in an ideal world, but is hard to manage.

He says gypsy day requires communication and planning.

“To move earlier you have to sit down with the farm owners who you probably don’t know too well and see if it’s okay. If it is, you still have to actually put it in place.

“Moving one’s belongings, stock and equipment out while someone else moves in is not simple.”

Everyone agrees on the need for good communication and Paine says it is important to set out clear under-

standings from the beginning.

“You’ve got to set clear expectations in a contract so there are no surprises. It’s not like this could ever be a centrally planned thing in the industry.

This is more a negotiation between the parties and providing options, Says Withy, “It must take into account more of the family and community impact – what works for everyone.”

Paine says the industry is now discussing options to better support progression and support communities during times of significant change like gypsy day.

“While June 1 will always be with us, good planning up to this date and effective communication surrounding the move is crucial to minimising stress and disruption to families and communities.”

• This article was originally published in Inside Dairy April 2015

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DAIRY NEWS APRIL 28, 2015

MANAGEMENT // 27

Self-contained farm takes top prize A SELF-CONTAINED

sheep and dairy farm has won the 2015 Southland Ballance Farm Environment Awards (BFEA) supreme winner award.

Robert and Anna Kempthorne, Te Anau, run Mavora Farms Ltd, a selfcontained dairy and sheep operation spread over 613ha.

In partnership with Robert’s parents Bruce and Linda, the Kempthornes converted the family drystock farm and a neighbouring property in 2007, creating the first dairy farm in the district.

The dairy operation now milks 550 cows on 235ha of mainly river-terrace contour, the crossbred herd producing 231,000kgMS last year.

The balance of the farm winters 3300 stock units, including 1550 Romney ewes. It also runs Jersey bulls reared for sale or lease.

At a BFEA ceremony on April 16 the Kempthornes also received the PGG Wrightson Land and Life Award, the LIC Dairy Farm Award, Ballance Agri-Nutrients Soil Management Award and the WaterForce Integrated Management Award.

BFEA judges described the Kempthornes as “worthy entrants farming in a challenging environment” and commended their “willingness to challenge and improve on industry best practice”.

The Kempthornes use the strengths of their property and are mindful of their environment in management decisions, the judges said.

“They are focused on planning and monitoring and run a simple lowinput system achieving good results.”

Robert and Anna manage the business with

the help of Rodney Jefferis and Brad Houghton. Bruce Kempthorne is semiretired but still involved.

Contour on the nondairying area is rolling to steep, and the hill-country is a mix of developed land and native tussock and matagouri. Poplar poles are used to stabilise some hills, and woodlots have been planted to complement tree lanes planted by Bruce and Linda.

An extensive new gravity-fed water system has been created by tapping into spring water high up the farm. This has allowed 12 ponds to become sediment traps and the perimeters of these ponds have been fenced and planted.

The farm achieves excellent production: cows produce over 95% of their body weight in milksolids, and have a six week in-calf rate of 81%.

Livestock classes are carefully considered to fit the climate, soil and topography, judges said.

The Kempthornes also demonstrate an exceptional awareness and understanding of the strengths and limitations of the farm’s soil types.

A Lincoln graduate and 2003 winner of the Young Farmer of the Year contest, Robert’s previous work experience includes rural banking and agribusiness consultancy. After graduating with a degree in applied science (agriculture) from Massey University, Anna worked as a consulting officer for Livestock Improvement and DairyNZ. She still works part-time for DairyNZ. Judges said Robert and Anna have formed a cohesive partnership and their “individual but complementary skills aid the decision-making process”.

They are dedicated to staff support and development,

and to continued family custodianship.

The Kempthornes, who have two young children, have a number of community and industry commitments. Robert is a trustee for the Southland Dairy

Development Trust and Anna is a director of the DairyNZ subsidiary New Zealand Animal Evaluation Limited.

A BFEA field day will be held on Mavora Farms on Thursday May 7.

Robert and Anna Kempthorne

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DAIRY NEWS APRIL 28, 2015

28 // MANAGEMENT

Green drought still in play a safe budget. Use average growth rates; if they end up better you will save supplements for another deficit THE DROUGHT has gradually in the new season. broken across most parts of Waikato Revise financial budgets With the low payout you need to but many farmers are still in the grips of a ‘green’ drought, with large revise your financial budget. What differences in rainfall and average overdraft or term loan facilities do you need? Start talking – if you have pasture covers.

What’s important now is to ensure not already – to your bank now about the best options this drought to bridge any has minimal “The effects of drought shortfalls and impact your accountant on future and tight cashflows can seasons. make life very stressful also about what tax options are Maintain for everyone.” available. your feed Monitor cow budget Keep revising your feed budget. condition Most observed herds’ body With some rainfall you will start to get accurate pasture walk data to compare condition scores (BCS) have a wide to your estimated growth rates and range – 3.0-5.0 is common. By April this will tell you whether you can keep 10, all R3s at 4.0 BCS and MA cows at 3.5 BCS will need to be dried off as milking.

Make sure you have the they have only 100 days until calving, supplements ring-fenced for winter, assuming a July 20 PSC date.

Your feed budget must include the i.e. not used for autumn milk extra feed required for the BCS to be production.

We may get some compensatory gained, otherwise you risk pulling pasture growth rates similar to the production from next season into past two autumn and winters, but to this season. budget on 50kg/ha/day in June is not Check your replacements DARREN SUTTON

How is your grazier off for feed? Are your animals being fed to the level they need to be gaining 0.7kg/day? Spore counts are high in many areas, so make sure your grazier is accounting for this.

Re-grassing Pastures in general have come through pretty well compared to the past two droughts, but some undersowing will still be needed. If you have anything less than 70% ground cover, you will need to under-sow with a permanent ryegrass.

If you are planning a crop in the next 12 months, just sow with an annual or Italian rye.

Sowing rates are fine at Darren Sutton, LIC. 10 kgs for diploids, and 15 grass faster by applying 30-35kgN/ha, kgs for tetraploid for most pastures observed. If you have 50% rather than waiting for the mineralised N in the soil to be used up first. open ground, go at 15-20 kgs/ha.

Sustain can be added into any Shogun is a good option (sow at 12-15 kgs/ha) for paddocks that are fertiliser mix applied now.

Review your phosphate (P), two-three years away from a crop. potassium (K) and sulphur (S) input Apply fertiliser and nitrogen (N) If you have not applied any N yet, needs. If you have Olsen P levels now is the time. You will grow more above 35, then you can get away with

only having applied 20kg of P in spring 2014. The same with K levels: if they are 8-10+ (MAF units) and you have put on 40-50kg of K in the spring, you could reduce or eliminate K inputs this autumn.

If your soil tests are not above optimum levels, be careful in reducing inputs without sound, professional, advice.

Are you okay?

The effects of the drought and tight cashflows can make life very stressful for everyone.

Don’t ignore the facts. Seek help from people around you – friends, neighbours and rural professionals.

A simple phone call or meeting with your bank and accountant or farm consultant can alleviate the stress levels by clarifying what your position is, not just what you assume it is.

You can only manage what you can measure.

• Darren Sutton is a LIC FarmWise consultant.

DAIRY NEWS APRIL 28, 2015

MANAGEMENT // 29

Fert co-op scoffs at humic substances FERTILISER CO-OP

Ballance says applying humic substances, with or without nitrogen fertiliser, delivers no advantages in the New Zealand context.

It says spending money on commercial preparations of humates for agricultural soil and plant health is like investing in the latest anti-wrinkle cream: the results probably won’t live up to expectations.

Independent research commissioned by Ballance Agri-Nutrients, which looked at the response of ryegrass to humic and fulvic acids, has discovered this, the co-op says.

Science manager Aaron Stafford says the most recent work has confirmed the co-operative’s position that applying humic substances, with or without nitrogen fertiliser, does no good in NZ soils.

“No doubt humates play an important role in soil moisture storage and nutrient retention and a lot of overseas work suggests adding more organic matter to soils might make a useful difference.

“However NZ has soils rich in organic matter because of our largely pastoral agriculture systems and our climate. The relative lack of cultivation means organic matter decomposes relatively slowly, so it accumulates in the soil.

“To a depth of 10cm a typical NZ pastoral soil can easily contain 5-10% organic matter. That’s equivalent to approximately 50-100 t/ha organic matter , of which 75% is in the form of humus. With such high organic matter content, there is already a lot of humic and fulvic acid released into the soil each year through organic matter turnover. Because of this, Ballance has always held the view that humates and humic and fulvic acids are unlikely to provide much benefit to New Zealand farmers.

The Ballance research supports this thinking, says the co-op. This trial work involved perennial ryegrass and was done in pot trials so that the outcome was not influenced by other variables.

The soil used had an organic matter content of 8.5%, typical of a New Zealand agricultural soil. The pots were placed in simulated summer growing conditions.

The soil surface was sprayed with liquid urea at two rates, 20kg N/ha and 40kg N/ha, with and without humic and fulvic acids at different concentrations. The effect of the treatments was determined by measuring the shoot dry weight of the ryegrass over several cuts.

“As you’d expect, the ryegrass responded well to

the nitrogen application, but there was no significant additional response to the humic or fulvic acid, regardless of the rate of

application.”

Stafford says Ballance is all for supporting moves to improve soil and plant health and agricul-

tural productivity. “But it is important that farmers know the dollar that goes in will come back in the returns they expect.”

Aaron Stafford, Ballance

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DAIRY NEWS APRIL 28, 2015

30 // MANAGEMENT

Tricks for surviving tough times ASHTON YOUNG

■■

TOUGH ECONOMIC times don’t

last, farmers who are happy to re-use one-use gloves do.

In defiance of the crap payout, here are some outlandish ways to ensure your pockets stay relatively full this season. So read on, be of good cheer and don’t throw away this newspaper when you can use it as a fire starter, a fly swat or even wall insulation. Happy savings.

■■ Don’t squander money on extravagances such as electricity. Keep those lights off, even in the dark. You can save thousands of dollars on electricity bills by using night vision goggles, which can be bought cheaply at any military surplus store. Your livestock

■■

■■

won’t mind.

Cook creatively, especially if you have more days in the week than grocery money. Concoct visionary meals such as ‘refrigerator soup’ – a hodgepodge of anything you can find in the back of the fridge or freezer that doesn’t yet have anything growing on it. Be daring. The dogs will enjoy your leftovers, perhaps even your firstovers.

Sell all your worldly possessions on Trade Me; it’s amazing what people will buy. They’ll devour your van with no engine, your engine with no van and all your mateless socks.

Now that you’ve cleared out all the clutter, do your grocery shopping at wholesale stores no smaller than Eden Park. Not only will you be able

Ashton Young on his family farm in Mangatawhiri.

to get sacks of rice, drums of shampoo and vats of instant coffee, you’ll also get a great workout from dodg-

■■

go nuts over that kind of thing.

The heavier your car is, the more gas you burn driving around. So

“Schedule time each week for the people important in your life.”

■■

ing the forklifts. Worst-case scenario: you’ll get to sell it all on Trade Me. Effluent compliance regulations coming soon will cost you an arm and a leg. Bugger that. Bag the crap, and sell it as wet fertiliser at the top of your driveway; those horsey folk

empty it of non-essential weight such as airbags, windows, traction control and family members. This also applies to farm vehicles. Biff the seat from the four-wheeler, the headlights (you’ve got your nightvision goggles remember) and all

surplus bits of plastic.

If that all seems too outlandish, remembering this one important point will help get you through: look after yourself. Be aware of when you are burning out, and act to relieve yourself of the strain. Schedule time each week for the people important in your life, and aim to get at least two milkings out of those gloves.

• Ashton Young works on his dad’s dairy farm in Mangatawhiri, South Auckland and is interested in writing blogs. Email ashtonyoung33@gmail.com.

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DAIRY NEWS APRIL 28, 2015

FEED/ANIMAL HEALTH // 31

Laboratory testing of maize silage EACH YEAR, from

about this time until the end of June, I am often asked to help interpret the results of maize silage feed analyses. It is always an interesting experience, as what I am being asked to comment on is an analysis of the material that arrived at the laboratory. This doesn’t always reflect what is actually in the maize silage stack or bunker. Let me explain.

Sampling It is easy to grab a handful of maize silage from a stack, but getting a sample that accurately represents the material in the whole stack is much more difficult.

The best way to get an accurate sample is by using a corer once the stack is open. Take about nine samples from the stack face – three from the lower third, three from the middle and three from the top third. Combine all the samples in a plastic bag, squeeze it to remove as much air as possible and seal it. Send the sample to the laboratory as soon as possible.

The longer the sample is in transit at ambient temperature and exposed to air, the more the quality of the silage drops. Delivering the sample to the laboratory yourself is the best option.

Alternatively use an overnight courier but make sure you avoid the sample being in transit over the weekend.

Interpreting the results Once you have the results of your silage analysis, the next challenge is to work out exactly what they mean. Let’s go through the key results of a maize silage test. pH: this is a measure of the acidity of the sample.

Ideally maize silage should have a pH of 3.7-4.2. The lower the pH the better, as it is the silage acids that preserve the quality of your maize silage.

Drymatter (DM): ideally the sample should be 30-38% drymatter, however I have seen some very good quality maize silage that is over 40% drymatter. Dry maize silage can result from either a very dry plant or a high grain-

part of our team in New Zealand. Jakob has 28 years experience in silage making; he even built and ran a laboratory mainly testing maize and grass silage samples.

Feel free to contact us

to-stover ratio. Last year, as a result of the drought, the DM was high because the plant was dry. Three seasons ago the DM was also high but this was because the silage was full of grain.

Neutral detergent fibre (NDF): this is a measure of the fibre content and indicates how much the cow can eat.

The higher the NDF the lower the cow’s intake and vice versa. The more stover the higher the NDF and the more grain the lower the NDF. Ideally maize silage should have NDF of 35–50%.

Starch: the more grain in the sample, the higher the starch content. Aim for a starch percentage over 30%.

Crude protein: maize is a low protein feed with crude protein normally around 6-9%.

Digestibility: the higher the digestibility the more metabolisable energy (ME) is available to the cow. Starch is very digestible therefore more starch means higher digestibility and in turn more ME. Ash: this is a measure of the mineral content of the maize silage. It usually indicates how much dirt is on the crop. The lower this figure the better.

Metabolisible energy (ME): many people don’t realise that ME is calculated, not measured. The number is based on a formula driven by digestibility. The average maize silage has energy content of 10.8 MJME/kgDM. If you would like help interpreting your maize silage analysis or on how you can improve next year’s maize silage, the team at Pioneer® brand products are happy to assist. We are fortunate to have a very experienced silage scientist, Dr Jakob Kleinmans, as

by emailing iwilliams@ genetic.co.nz or jkleinmans@genetic. co.nz or by calling 0800 PIONEER (746 633).

• Ian Williams is Pioneer forage specialist. Email him at iwilliams@genetic.co.nz

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DAIRY NEWS APRIL 28, 2015

32 // ANIMAL HEALTH/PASTURE Winner of best firstyear pasture, Robert Garshaw (right) with Dr David Hume, AgResearch.

BCS new trait in breeding worth BODY

CONDITION score (BCS) is to be included as a new trait in breeding worth (BW) from February 2016.

DairyNZ says during the national breeding objective review BCS (specifically late lactation BCS) was identified as an important trait to farmers.

Since then NZAEL, a subsidiary of DairyNZ, has estimated the economic value of BCS as $106.60

per BCS and the rate of improvement in BW could be enhanced via the inclusion of BCS. The economic value of BCS comes from two main components. Firstly, the reduced costs from a cow maintaining or losing less condition, as opposed to a cow that loses lots of condition in spring and then has to replenish that condition in autumn or winter when feed is more expen-

sive. Secondly, the value of a wellconditioned cow milking well into late lactation, rather than drying her off early for poor condition.

These result in an economic value of $106.60 per BCS. The BCS breeding value is calculated using records collected on two-year-old heifers. These records are collected in early lactation, mostly from CRV and LIC progeny test herds.

Raw scores are converted into a day 60 lactation equivalent, and then enter the AE model.

As a result of a recent review (see below) a ‘breed neutral’ adjustment will be implemented into the calculation for this breeding value. This adjustment will come into effect in June 2015.

As for the impact on BW, most bulls will have a shift in BW of +/10 BW units.

OSPJ0452

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An OSPRI programme

led to Waiuku farmer Robert Garshaw winning the firstyear pasture category of DairyNZ’s Pasture Renewal Persistence competition.

Garshaw (29) manages pasture renewal on his family’s farm. The paddock was initially part of a neighbouring farm bought in 2009 and found to be severely underperforming.

The 1.5ha silt loam paddock is only 5m above sea level.

It had very poor drainage, pugging was a constant problem and tractors would leave ruts in winter and spring. “In winter it was almost impassable on foot,” says Garshaw.

The pasture contained little desirable grass, summer production was minimal and weed levels were high.

Because it was close to a shed, in spring it was mainly used for calf rearing.

The paddock was humped and hollowed in spring 2013 and then was in maize over the 2013-14 summer before being sown by Garshaw in late April with Bealey NEA2, Kotare and Tuscan Clover.

The first two grazings were with young stock before being grazed with the farm’s herd of 440 Jerseys for the first time in late August. It was then stocked with 48-60 calves for a month with a 16-day rotation with the herd from then on.

Judges in the Waikato and Bay of Plenty competition, run by the DairyNZ-led Pasture Renewal Leadership Group, said the pasture had very high and even clover content with a well-established proven tetraploid.

Garshaw took an interest in pasture management two years ago, bought a seed drill and saw great results early on.

He says this inspired him to keep going and he has continued to improve the farm’s pastures. But there is no silver bullet, he says.

A key for him is to achieve a very high clover population which he ensures by sowing clover seed separately so as not to sow too deep, or to suffer competition in the drill rows.

DairyNZ developer Sally Peel says this year’s entrants included a mix of dairy platforms, dairy support and grazier blocks from across the region and were of a high standard.

Te Aroha farmer James Booker won the category for best pasture of more than three years old.

AgResearch senior scientist Dr David Hume said the success of Robert’s and James’ pastures was established by good grazing management, careful pre-sowing preparation and correct choice of endophyte.

Each winner received $1500 of pasture renewal products and hosted a field day, giving an overview of the paddock and discussing the forage value index, endophyte viability when sowing in dry conditions and the value of pasture renewal.

•This article first appeared in Inside Dairy April 2015

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DAIRY NEWS APRIL 28, 2015

34 // ANIMAL HEALTH

Drying off: making it count NATIONAL AVERAGE somatic cell

count (SCC) levels have been dropping recently and are on track to reach a bulk milk SCC of 150,000 cells/ml by 2016.

With this in mind there are seven approaches to dry-cow fine tuning that will enable a farmer to extract maximum value from time and money, says DairyNZ senior scientist Jane Lacy-Hulburt.

1. Choose the right approach for your herd Antibiotic dry cow treatment (DCT) and internal teat sealants (ITS) are effective tools – DCT for treating infections in high SCC cows, and DCT or ITS for preventing new infections in low SCC cows.

Take time with your vet in your milk quality review to look at mastitis treatment records, SCC history and the mastitis risk of your wintering/calving system.

For information and recommendations on drying off and deciding your dry cow management strategy, visit dairynz.co.nz/dryingoff.

2. Know the bacteria Knowledge of the bacteria responsible for clinical cases in spring, or high

SCC cows in autumn, is invaluable for more cost-effective decisions about dry cow treatments. Discuss with your vet the right cows to sample and refer to DairyNZ’s Healthy Udder guide for sampling procedures.

3. Re-visit your treatment plan In recent years, many farmers have successfully trialled combination treatments (where a cow received both DCT and ITS). With a lower milk price, farmers may be re-thinking this approach. Support your investment with other preventative measures – see tips 5, 6 and 7.

4. Consider which DCT products for high SCC cows Talk to your vet about cost-effective solutions for older, higher SCC cows.

The difference in cure rates between different product brands is marginal.

Cows with a high SCC don’t necessarily need the more expensive treatment.

5. Support your investment decisions using trained staff Train your team to administer DCT and ITS with correct hygiene technique.

Refer to DairyNZ’s Healthy Udder for step-by-step instructions and ask your vet to provide a training session. Poor

Take time with your vet in your milk quality review to look at mastitis treatment records and SCC history. Inset: Jane Lacy-Hulbert.

technique is not worth the risk of dead cows.

6. Teat spray springers before calving Teat spraying springers two-three times a week reduces the risk of new mastitis cases at calving. This simple

technique benefits protected and unprotected animals. Where practical, it may provide a low-cost approach for extending the benefit of some dry cow products.

7. Milk cows soon after calving Bringing cows that have just calved

into milk within 12 hours greatly reduces the level of clinical mastitis.

Although tested on heifers, this solution should work well for mature animals also.

• This article was first published in Inside Dairy April 2015

DAIRY NEWS APRIL 28, 2015

ANIMAL HEALTH // 35

Live yeast brings cow rumen to life ADDING ACTIVE

live yeast Vistacell can improve rumen function in grazing cows, says supplier AB Vista.

Pointing to a farmscale study using a herd of 300 robot-milked cows in Waikato, AB Vista says it can improve dry matter digestibility by 30%, lift average daily milk yields by 2.1L/cow and increase cow liveweight (LW) by up to 20kg in just five weeks.

The Waikato herd contained a mix of autumn and spring calvers, with all cows also having access to a mixed ration of grass silage, maize silage, straw and concentrates, plus an extra 3-6kg/day of concentrates fed during milking depending on yield.

“This is the first time we’ve had access to individual cow data on such a large scale, and the results are relevant to any herd where grazing accounts

for a significant portion of the daily feed intake,” says Dr Nicola Walker, AB Vista’s ruminant product development manager.

“When supplemented with additional feeding, grazed grass is now known to pose a significant risk of inducing low rumen pH and sub-acute ruminal acidosis (SARA), both of which can significantly compromise fibre digestion and feed conversion efficiency.”

The impact of the yeast was confirmed when removed after an initial five week period. Milk yields dropped 1-2L/cow over the following two weeks, with cows losing an average of 5-10kg LW as they attempted to maintain production by drawing on body reserves.

“Manure sieving results taken throughout the trial highlighted the huge impact on fibre digestion,” adds Walker. “Dry matter

digestibility increased 30% following addition of Vistacell to the ration, with a similar reduction when it was removed.

“That represents a lot

of extra nutrients that can go into producing milk or rebuilding body reserves, and would otherwise be lost in the manure.”

AB Vista is a global sup-

Nicola Walker, AB Vista, ruminant product development manager.

plier of micro-ingredients for the animal feed industry. www.abvista.com @dairy_news facebook.com/dairynews

THE NEW INNOVATION IN DRY COW THERAPY.

Breeding interest in tropical herds building COULD GLOBAL warming incite greater interest in

tropical dairy breeds in New Zealand? CRV Ambreed says it is ready.

The company has recently widened the vision of its tropical dairy genetics scheme, sparking the interest of a handful of Northland farmers.

The genetics of Sahiwal and Gyr – breeds once common only in parts of Central America, South America, Asia and Africa – have been introduced by CRV Ambreed to its breeding programme to meet a growing overseas demand for heat tolerance and tick resilience, combined with benefits of NZ’s grazing genetics.

A number of NZ farmers dealing with sub-tropical environmental conditions have since started using the crossbred option to build heat and parasite resistance in their herds.

Sahiwal, a popular high merit dairy breed in Central America, South America, Asia and Africa, sires small, fast-growing calves that typically have good temperaments, easy calving, heat and drought tolerance, and parasite resistance. Gyr, a common dairy breed in Brazil, displays similar traits to the Sahiwal.

CRV Ambreed genetic strategist Phil Beatson says while tropical breeds tend to have lower milk production than the temperate dairy breeds like Friesian and Jersey, their key strength is heat and parasite tolerance.

Crossed with the temperate breeds, the crossbred cattle have higher milk production than the straight tropical cattle, Beatson says. As the proportion of tropical makeup decreases, it is expected that milk production will increase. For example, 25% tropical cows will have higher production than 50% tropical cows.

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DAIRY NEWS APRIL 28, 2015

36 // MACHINERY & PRODUCTS

Beet harvester set to turn heads MARK DANIEL markd@ruralnews.co.nz

WHILE MAIZE maintains its stranglehold as the supplementary crop of the North Island, there’s no doubt that fodder beet is increasing in importance in the lower South Island.

Industry estimates suggest that areas planted have increased from about 10,000ha in 2010 to a best estimate of around 45,000ha in 2015.

The crop appears to go from strength to strength, no doubt helped by the need for a seedbed not that much finer than one for maize, a resistance to diseases associated with brassicas and high dry matter yields per hectare.

Obviously as the areas planted get larger, the machines needed to harvest them get bigger too. One such machine, fresh off the wharf, was the Grimme Rexor 620 which packs a lot of superlatives into its spec sheet.

Length 13.3m, height 6.4m, weight empty 26.5 tonnes, loaded 48.5 tonnes, and a fuel tank of 1300L. Probably better known for its equipment in the world of potatoes, Grimme has nevertheless had an involvement with beet harvesters since 2003.

The Rexor 620 is a twin axle bunker style machine with a six row harvesting system and a bunker capacity of around 22 tonnes. Given that its fully loaded weight is approaching 50 tonnes, it has a unique dog-leg wheel layout that during harvesting enables the wheels follow separate tracks across the full width of the machine to minimise soil damage; tight turns are taken care of via an articulated joint in the centre of the machine.

Power is generated by a straight Mercedes engine developing 490hp in an engine rev range of 1150-1600 rpm to produce efficient fuel consumption figures.

At the heart of the machine, the

harvesting elements, sees a topping unit up front, clearing 6 rows with spacing 45-50cm, with in-line delivery. Following on the scalping unit uses a parallel guidance system to remove the crowns of the beet with minimum wastage. Next stage is the Oppel lifting wheels, working in pairs and individually hydraulically driven which ‘pluck’ the roots from the ground, rather than rely on a more typical digging share. This lifting wheel design ensures less stones and dirt being lifted, as the crop is presented to the cleaning segment of the machine.

Traditionally the transition from harvesting to cleaning on self- propelled harvesters can be a bottleneck, and this is addressed on the Rexor by a 90cm wide web that is hydraulically driven, and thereby offers about 20cm more clearance between the table and the chassis because there are no driveshafts.

Second stage cleaning is via three

Grimme Rexor 620.

rotary turbines, which have steplessly variable speed and hydraulic guide bar adjustment to ensure a clean sample is delivered to the bunker in all types of conditions.

From the cleaning turbines crop is delivered to the 33m3 (22 tonne) capacity bunker by a ring elevator, before being unloaded by a combination of moving floor and 1800mm wide unloading elevator.

As one would expect of a machine of this size, tyres are extremely important, and the unit is shod with 1050-50 R32 rears and 800-70 R38 fronts, the latter used to ensure maximum clearance in the harvesting section in difficult conditions.

Hydraulics are taken care of by a closed circuit load sensing system

with split circuits to ensure a plentiful supply to all areas at all times.

The driver is cosseted in a cabin provided by Claas, with autosteering, touch screen control and three cameras to ensure the machine performs at its optimum for long harvest days.

As for the age-old question “what’ll she do mister”… depending on conditions and the ability of the support crew to get the crop away from the harvester, 1-2ha/hour. So taking into account a wet yield of around 120 tonnes/ha (22-25 tonnes DM) you could end up with a large pile at the end of the day. www.landpower.co.nz @dairy_news facebook.com/dairynews

Take control of the seasons ... efficiency  Feed Increases of up to 40% have been gained meaning lower cost wintering, greater weight gain or an increase in production

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Autumn / Winter HerdHomes® shelters users throughout New Zealand continue to talk to us about the benefits they get throughout the autumn and winter. It allows for users to manage pasture residuals and round lengths with ease.

Drying off is based on calving date as all stock are wintered at home where putting on a condition score is simple

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DAIRY NEWS APRIL 28, 2015

MACHINERY & PRODUCTS // 37

Legacy well worth a closer look MARK DANIEL markd@ruralnews.co.nz

WHILE SUBARU has

never hit the top of the tree in the race for market share, it has over the years developed a loyal following in New Zealand, not least among those who saw the benefits the brand’s all-wheel drive (AWD) offered over its mainstream rivals.

The Subaru Legacy, first launched in 1989, soon gathered accolades with is first World Rally Championship win in the 1993 Rally of New Zealand in the hands of Colin McRae, and followed this up with the WRC 1995 and 1996 titles. The Legacy then gained recognition in the consumer market by being named NZ Car of the Year in 2000.

Flying under the radar when compared to other, mostly Australian-made large sedans, the Legacy might have been described as the ‘plain Jane’ with a poor dress sense, but the new models for 2015 – the 2.5i Sport and the 3.6 RS – will make the boys, and girls, take a longer look.

They say first impressions count, and while the new Legacy is not radical, its raked windscreen and a roof-line reminiscent of a coupe gives the car a clean, fresh look. The rear end is unremarkable but neat and tidy, and the 3.6L flat six-engine car gets

twin chrome exhaust pipes and a bold RS moniker that will appeal to the NZ buyer who likes to show a vehicle’s intent.

Jumping into the 2975 litre cabin lands you in a seat – fabric in the 4-cylinder model or high quality hide in the 6-cyl – that shows its rally pedigree, with deep lateral bolsters that give great support if you decide to throw it into the corners. The combination of good lumbar support and a longer seat squab, supplemented by a steering column that features plenty of rake and height, means even the oddest-shaped souls should be able to find a good driving position.

Rear seat jockeys won’t be disappointed either: there’s plenty of legroom and seats more supportive and comfortable than anything else in this class. And while talking about space, what about the boot?

While it’s not in the Jay-Lo class, there’s 493 litres that should easily take a couple of sets of golf clubs or a kid’s stroller if you’ve got ankle-biters in tow.

Controls fall easily to hand, and the new model has its electronic park brake at the centre column rather than, as in the old model, secreted under the steering column.

The dials are clear, bright and easy to understand, and are supplemented by an Infotainment screen in the

centre console. This writer’s only observation was the dozen or so different buttons mounted on the steering wheel which proved a little difficult to master on a two hour drive through North Canterbury. Well… RTFM (Read The Flipping Manual!)

So how does it go?

Turn the key on the 2.5 or hit the start button on the 3.6 RS and both run smoothly and sweetly, giving no indication of their boxer layout. The 2.5L performs as expected with its 175hp (129Kw) and 235 Nm of torque, but the big boxer certainly lifts its skirt and gets a move on, as you would expect with its 256hp (191 Kw) and 350Nm. Engine noise that may have been a little harsh in previous models is very subdued, no doubt helped by liquid filled engines mounts that remove stray vibrations, acoustic glass in the windscreen and foam filled frame members that reduce noise in general.

The new Subaru Legacy has a clean, fresh look.

Selecting drive brings into play the Lineartronic CVT transmission which doesn’t suffer from the ‘rubber band’ effect associated with this type of drive system: it’s common to hear, with some CVT vehicles, that “the engines revs are increasing, but we don’t seem to be accelerating at the same ratio”.

Subaru engineers have overcome this using clever software to programme in six change points to mimic the feel of a conventional gearbox. In use, the main shift lever can be nudged fore or aft to make shifts or there is the choice of upshift/downshift paddles on the front of the steering wheel. They appear to have done a good job, having largely eliminated the increased fuel consumption associated with permanent 4WD vehicles: fuel figures

are 7.3L/100km (city/ highway) for the 4-cyl, and 9.9L/100km for the big six.

This brings them into line with comparable models that only offer 2WD. The 4WD system has a torque split of 60:40 rear/ front and active torque vectoring that in practice applies braking effect to the inside wheel in a turn to reduce understeer.

This means you keep the gas pedal planted in a turn and let the system sort things out. All will be fine until the tyres hit their limit for grip, which is usually accompanied by an audible warning.

Feel during cornering is transmitted via the electric power steering system – perhaps too little feedback for some drivers.

As for feel through fast turns, everything seems reasonably neutral, an effect enhanced by a 43% increase in body shell

rigidity, achieved by the use of high grade steel.

The standard inclusions would put many other car manufacturers to shame. Both models have eyesight driver assist (indicates drift between lanes), blind spot detection and adaptive cruise control which can hold set distances by adjusting speed and ultimately bring the car to a stop if the traffic queue comes to a halt.

And there are other high end additions such as dusk sensing headlights, rain sensing wipers and reversing camera.

The 3.6 RS takes that spec a notch further with standard features over and above the 2.5 which include electric sunroof, folding and heated mirrors, wiper de-icers, foot pedals, sat-nav, a larger 7 inch touch screen and leather upholstery that would put many high end

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In summary, Subaru’s push into the large sedan market will move up a notch with the 2015 Legacy. It will appeal to the traditional Subaru buyer who will be impressed by its high end specification, and to the buyer of the large Australian-made sedan with the blue oval. It may also go on the watchlists of rural dwellers who use utes onfarm during the week, but can’t convince their missus that it’s just a sedan with a load platform for a weekend trip.

Whoever the potential customer, they will take notice when they see RRPs of $39,990 and $49,990 for the 4-cyl and 6-cyl models respectively. This writer suspects the paying public will make the 3.6 RS the people’s choice, with its many extra features for not a lot more moolah.

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DAIRY NEWS APRIL 28, 2015

38 // MACHINERY & PRODUCTS

Changing face of farm transport racks and accessories to of desert to the east of Los have a place on the farm, extend the range of tasks particularly in the winter Angeles. these machines could What the sales teams in when it could travel carry out. over wet ground and do the US and the designers In 1988 the quad much less damage than a in Japan probably didn’t conventional farm tractor. consolidated its position, realise was that the basicthe makers of threeWith this discovery the spec trike they produced manufacturers were quick wheelers voluntarily became the catalyst for ceasing an industry production due segment that As the quad became the to increasing grew and ‘Swiss army knife’ onfarm concerns over the grew, evolving rising number of into a sector it was inevitable that what serious injuries whose was initially crafted as a technology recreational vehicle would and fatalities these types of today rivals be asked to do too much. machines seemed the car to be causing. industry in But four-wheelers sophistication. Honda had to add a fourth wheel, and also had a major flaw in so began the birth of the that market to itself for that they required, and ‘quad’. many years, with Yamaha The industry ballooned, still do require, a lot of taking until 1979 to launch operator input. While it and new names such as the YT 125, Kawasaki in appears you can throw a Polaris Industries and 1981 with the KTL 200, Artic Cat eventually joined leg over, hit the throttle and Suzuki bringing up the fray with the ‘big four’. and go, a problem arises the rear with the ALT 125 in cornering, where body Over the years the chase in 1982. weight needs to be shifted seemed to be for larger About then it dawned left to right or front to rear engine capacities, better on farmers that this to help change direction. suspension and better style of vehicle might

MARK DANIEL markd@ruralnews.co.nz

YOU MAY be old enough to remember the movie: the year 1971, and Sean Connery aka James Bond is chased by security guards on red three-wheel motorbikes with huge knobbly tyres.

Space-age, not quite, but Honda Japan’s answer to a request from the Honda USA sales team for an offroad vehicle.

In fact it had all happened a year earlier, in 1970, when the ATC 90 was born and offered to the US public at US$595.

The bike was crude to say the least: an 87cc engine, a rigid rear axle and suspension effect made possible only by those huge balloon tyres. But it allowed the Yanks to let off steam in the vast tracts

The good guys wear black.

In 1970, Honda offered the ATC 90 to the US public for US$595.

Hence the large seat found on quads – not for passengers and definitely not for grandchildren.

As the quad became the ‘Swiss army knife’ onfarm it was inevitable that what was initially crafted as a recreational vehicle would be asked to do too much.

As the loads on the quads’ racks increased, someone at Kawasaki saw the need for a proper load platform, and the Mule (multi-use light equipment) was born

an amazing choice. The rise in sales of side-by-side vehicles over the last five years has been dramatic, with all manufacturers in the game. Their rise in popularity has probably been at the expense of the traditional ‘quad’.

It’s important to choose the best vehicle for the job. Consider safety as legislation becomes more prevalent, the number of people to be carried, and the load or task.

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in 1988, followed by the Yamaha Pro-Hauler in 1989.

Over the ensuing years production rocketed, driven by recreational sales in the US, and sales to agriculture also becoming more important. In the 2003 season sales in the US alone hit the 1,000,000 mark.

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DAIRY NEWS APRIL 28, 2015

MACHINERY & PRODUCTS // 39

Does it pay to go green?

MARK DANIEL markd@ruralnews.co.nz

UNTIL RECENTLY

alternative energy was a niche market, normally talked about by people who had goatee beards and wore sandals with white socks. How times change.

The facial fungus is gone and the shoes are now designer; renewable energy has hit the main stream, and is now a topic talked over many dinner tables. The endless rise in the cost of energy now makes the topic a firm consideration if you are building new, or indeed, renovating an older prop-

erty. With this interest there has been a raft of new businesses formed to harness the energy saving properties of wind, rain and sunshine, and with such installations, major financial savings Looking at sunshine in particular, and the early days of solar panels, we saw large, bulky glass

Steel roofing system with a wide valley profile.

panels that were clamped to north facing roofs after they had passed the rigours of the local planning department. They ‘looked’ different, and in many cases only got planning consent if they were hidden in roofing valleys where they as likely as not performed poorly.

Solar panels also suffered a reputation of poor reliability, were easily damaged under the feet of a tradesman, or by an errant cricket ball hit for a six!

Calder Stewart Roofing Limited has come up with a solution that addresses many of the problems with a product called Solar –Rib Featuring a steel roofing system with a modern wide valley pro-

Solar power helps farms keep energy costs down.

file, it would not look out of place on any modern design. If renewable energy is not your thing right now, no problem, it’s good roofing material. But if you do want to go down the RE route it lends itself to be used with photo-voltaic (PV) laminates, either from new or as an upgrade in the future.

PV laminates supplied by Calder Stewart are manufactured by Marcegaglia in Italy, who

claim to be market leaders in this technology with 50 factories worldwide.

The laminate panels are only 5mm thick and less noticeable than conventional glass solar units, and as such should fit in well where planning regulations require low impact on the surrounding environment.

The product comes with a 25 year warranty, and has the potential to generate 1kW of electricity

for each 20m2 of laminate installed, so an average sized house has the potential to deliver 3-5kW of power. Other points to consider are laminates need a much shallower roof angle to generate the same power as conventional systems, they are resistant to rain, hail, snow and a tradesman size 11 safety boot. www.roofer.co.nz @dairy_news facebook.com/dairynews

The new Indian Chief Dark Horse.

DEPENDABILITY

TH KAWASAKI STREBNILGIT Y

UTILITIES

STA SAFETY

New Indian black ‘from end to end’ INDIAN MOTORCYCLE, America’s

first motorcycle company, is adding an “understated” new machine to its line-up — the Indian Chief Dark Horse.

On sale here in June, the Indian Chief Dark Horse is a cruiser “understated with only a flash of chrome and a healthy dose of matt black paint, to create one of the most confident silhouettes on the market,” the company says.

“By all but eliminating chrome from the motorcycle and swapping to cast wheels, the Dark Horse conveys an aggressive pose, and being the lightest in the series, is the quickest model in the Chief family.”

Striking an ideal balance of attitude and features, the Indian Chief Dark Horse delivers the style, quality and power expected from an Indian Motorcycle, and.

The company says the Dark Horse conveys a bold attitude that demands attention.

Blacked-out from end to end, the Dark Horse is powered by the maker’s Thunder Stroke 111 engine and has the same chassis and suspension as the Indian Chief Classic.

It has ABS brakes, keyless ignition and electronic cruise control.

“Built to be an aggressive solo ride, the Dark Horse has been stripped down, doing away with the analogue fuel gauge and auxiliary driving lights of Chief Classic. A passenger seat plus either passenger foot-pegs or floor boards are available.

“The Indian Chief Dark Horse is an ideal motorcycle for those seeking to customise their rides,” the maker says. And riders can add components to “black out their ride even more,” with ape hanger handlebars, high flow air cleaners, fender struts, slip-on exhaust with black heat shields and exhaust tips, and black fender trim.

Price: from $26,995 www.indianmotorcycle.co.nz

MULE 600 2X4 RRP $11,995 $10,430*+GST

MULE 610 4X4 RRP $13,450 $11,696*+GST

MULE 610 XC 4X4 (Bigfoot) RRP $14,995 $13,039*+GST

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*Limited time. While current stock lasts.

FARM UTILITY VEHICLES

www.kawasaki.co.nz 0800-4 KAWASAKI (0800-5292 7292)

DAIRY NEWS APRIL 28, 2015

40 // FARM BIKES & ATVS

Diesel UTVs safer, more convenient

Rugby star to front UTV ads RUGBY STAR Todd Blackadder has been

MARK DANIEL markd@ruralnews.co.nz

TAINUI GROUP Holdings manages the commercial assets of the Waikato-Tainui people. With a diverse portfolio that includes the likes of hotels in Hamilton and Auckland airport, to an involvement in healthcare, its vision extends out to 50 years.

Its locations in the central North Island range from northeast Hamilton to Taupo. With livestock of 1000 dairy cows, 1100 beef cattle including 300 purebred Hereford cows, and 3000 sheep, this large operation needs to move many staff efficiently.

Following a review of farm transport needs in early 2014 the company decided to switch from quads to side-by-side UTVs powered by diesel engines. This change was driven by the overriding need for safety, and for vehicles better suited to the typ-

Tainui Group Holdings farm staff with their UTVs.

ical farm tasks – moving people, dogs and general fetching and carrying.

They retain one quad style machine for spraying in a forestry block.

Ian Mathieson, rural operations manager, says the change to sideby-sides brought several pluses – a substantial ROPS frame that gave protection in a rollover situation, better weather protection, seatbelts and no need for safety helmets.

The operation runs five units

that seat three people, and one dualseat version that accommodates six people, used for an increasing number of ‘show and tell’ events on the properties.

Each vehicle is specially modified for the company with the addition of high level snorkel air intakes, particularly for the farms in the Taupo area where pumice based tracks are prevalent and dusty; purpose built dog / stock boxes; and windscreens.

Each has a lighting kit that includes a flashing beacon used whenever the vehicles are mobile, and an upgrade to give the tyres a more aggressive tread pattern.

Mathieson says the vehicles “have proven very popular with the staff who work long hours, and in inclement conditions. They give me peace of mind that the staff are a lot safer, and not having to store petrol on farm is a huge benefit.”

named the first official ambassador for CFMoto New Zealand side-by-side vehicles.

The 14-time captain of the All Blacks, also a Crusaders coach, says, “A friend of mine introduced me to the brand some time ago and I was instantly impressed, so when the opportunity came up I jumped on it.”

CFMoto NZ general manager Dale Schmidtchen says Blackadder is the ideal ambassador for the range.

“We’re only a young company in New Zealand but we are expanding aggressively because our vehicles are suited to the market and built tough for farmers.

“Our off-road vehicles can match the quality and build of other manufacturers and the prices of our UTVs are on par with other manufacturers’ quads.”

The deal will see Blackadder front CFMoto’s aggressive promotional campaigns from April.

“Expect to see a lot more of us this year… at field days across the country starting with Mystery Creek in June and we’ll be working with our counterparts in Australia and China.”

WHEN YOU WANT A NO NONSENSE WORKER – NOT A SHOW PONY The Suzuki Farm Worker 4X4 is just that, a worker.

For much the same price as a quad or UTV* you get a proper farm vehicle with protection from the elements and practical, no-nonsense features you’ll use every day.

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Built tough for New Zealand conditions the Farm Worker 4X4 has a rock-solid 1.3 litre engine and selectable 4WD to give you the grunt you need round the backblocks – and you can put up to half a tonne in the back. Let’s see another UTV do that.

With 4 versatile models from just $12,990 including GST there’s a Farm Worker 4X4 to help you get the job done.

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*The Farm Worker 4X4 is a practical alternative to Quads and UTVs. It cannot be registered for use on NZ roads. Offer valid 1 April to 31 May 2015, or while stocks last. Prices and savings include GST. Optional towbar, bullbars and Maxxis tyres shown. Ask your Suzuki dealer for more details.

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DAIRY NEWS APRIL 28, 2015

FARM BIKES & ATVS // 41

Don’t become one of the statistics MARK DANIEL markd@ruralnews.co.nz

BETWEEN 2009 and 2014 there were 241 workplace fatalities in New Zealand.

Sadly, farming was a major contributor -- 96 deaths (39.8%) during this period, nearly one third (26) involving quads.

WorkSafe has farming

in its sights, some say unfairly, some say about time.

The statistics for farming make grim reading and it is alarming to see that the four wheel workhorse plays a disproportionate part in the total. This may be brought about by the gung-ho way farmers treat these vehicles during their working days: e.g. “I need to pop down to the bottom

paddock, or up onto the hill” so it’s cock the leg over, hit the gas, and get on with it.

Unfortunately, while quads create easy convenience they demand a degree of rider input born of experience, or rider training for beginners. No surprise that incidents occur at both ends of these spectrums – older riders suffering from

Quad Bike Competency Checklist

YES

NO

Suitable clothing and footwear Helmet Understanding the controls Knowing where the kill switch is located Understanding the effect of throttle, gears and brakes Shifting bodyweight for terrain and cornering Understand effects of terrain on safety

complacency and newer riders from lack of experience. The Kiwi ‘she’ll be right’ attitude kicks in a lot of the time and unfortunately doesn’t always come off.

So, what must we do to bring these numbers down? Chiefly, ensure the machine – two wheeler, quad or a side-by-side – is the right one for the job and the property. What do we want to do with it?

Move around the farm and check stock? Check stock and take a few bales to sheep up on a hill? Tow a 1.5 tonne bin of PKE out to dairy cows?

Each of these tasks needs a different type of machine, so do some homework, talk to others with similar needs, discuss

Ensure your machine is the right one for the job and property.

their solutions and speak to dealers and manufacturers.

At the start of the season (perhaps timely because gypsy day isn’t far off) take the time to audit the abilities of your staff and yourself to use these vehicles – particularly quads. You might need to organise basic or refresher training to make sure everyone is up to speed. If so, be sure it contains all the key basics to ensure you and the team arrive

back at base safely.

While the points made in the checklist (left) are aimed at users of quads, it is not unreasonable to apply them to any form of farm transport, even to the point of wearing a helmet while driving a side-by-side vehicle. We all set out thinking “it’s not going to happen to me”, but accidents can happen in the blink of an eye – turning too quickly to head off an errant ewe or entertaining a stray

thought about visiting a bank manager later in the day.

Make sure you think about the journey before you set off from the farmyard, to increase the likelihood of getting back safely. Planning helps you reach the right result, and if all else fails remember the maxim “jumping out of an aeroplane for the first time without a parachute will probably result in not needing it a second time.”

Understand the max load capacity and changing centre of gravity Obey farm rules for speed, obstacles and no-go areas Knowing what the vehicle can’t be used for

GRUNT STABILITY

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CLIC WHEEL Systems quotes farmers John and Deborah McIntyre, of Nuhaka, Hawke’s Bay, as saying that anyone who feels strongly about the safe use of quads should be fitting dual wheels.

Safety helmets are of limited use in keeping farm quad riders safe, says McIntyre. “My analogy is that a helmet is the ambulance at the bottom of the cliff – really only helping to prevent head injuries – whereas dual wheels stop you from going over the cliff.

“I get frustrated seeing news media

asking for ways to make quads safer when there is something that does.

“My father and I farm on a sheep and beef farm on hill country in northern Hawke’s Bay and we have duals on both our quads. We feel almost naked when we go around the farm without them fitted.

“Dual wheels [cost more] but that is nothing compared to the cost of losing a life or getting a broken back. We had the Department of Labour up for a visit and the inspector was very impressed.”

Tel. 07 347 2292

YOU CAN HAVE EVERYTHING

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FARM UTILITY VEHICLES

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DAIRY NEWS APRIL 28, 2015

42 // FARM BIKES & ATVS

Time to service check vehicles MARK DANIEL markd@ruralnews.co.nz

WITH THE annual ‘big move’ of Gypsy

Day not too far away, it might be timely to give your farm transport a once over for the new season.

Your two wheelers, quads or sideby-sides will benefit from attention to

ensure they don’t let you down at the most crucial times.

For this guide we use a Kawasaki 4010 Mule, kindly loaned by Phil’s Motorcycle Centre, Matamata, and the help of their technician Daniel Houghton who guided us through the service requirements.

The same basic rules can be applied to any farm vehicles.

Get the machine cleaned off, to see what needs servicing and to show any leaks or corrosion.

Check steering to ensure everything is tight and jack up the front and rear; also check CV boots for cuts or splits.

Remove any twine or wire and check suspension joints for play.

Check the handbrake to ensure it works: adjust for about seven clicks to fully on; check electrical system and lights. The charging circuit – aim for output of 13-14.5V.

Check the handbrake to ensure it works.

It may be time to give your farm transport a once over for the new season.

Remove main enginer air cleaner and clear dust with an air line or gentle tapping.

Drain the engine oil and remove the filter. Depending on workload most vehicles of this type benefit from engine oil changes at four month or 150 hour intervals. Consider changing front and rear differential oils annually.

Remove main engine air cleaner, remove dust with an air line or gentle tapping – replace annually. Some vehicles have separate air cleaner systems for CVT units – remove, wash in soapy water, dry and replace.

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Experience tells us there’s a difference between a marketing claim and making a claim.

When you’re signing your insurance policies, chances are at some stage you’ll need to make a claim. Which is not the time you want to be finding out that you’re not covered for what you thought.

Our claim history backs this up, as do thousands of satisfied customers. There really is no substitute for experience.

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Over a century of experience has told us that marketing claims are one thing, and insurance claims are another. So we focus on the important things like making sure that when it comes to insurance claim time, there’s no surprises and you get what you signed up for.

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