Dairy News 29 November 2016

No payrise for Fonterra directors. PAGE 6 SET IN CONCRETE 50-year guarantee for pond PAGE 24

NOVEMBER 29, 2016 ISSUE 369 // www.dairynews.co.nz

MILKING GOATS

More challenging than cows PAGE 22

HIGH AND DRY

Kaikoura farmers still dumping milk as damaged roads hold up tankers. PAGE 3&4

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DAIRY NEWS NOVEMBER 29, 2016

NEWS // 3

Quake recovery snag PETER BURKE peterb@ruralnews.co.nz

SOME ACTIONS by Civil Defence (CD) staff in

Teachers take the bus. PG.07

Leg up for cows. PG.18

Claas of its own. PG.27

NEWS ����������������������������������������������������� 3-10 OPINION �����������������������������������������������12-13 AGRIBUSINESS ������������������������������ 14-15 MANAGEMENT �������������������������������� 16-17 ANIMAL HEALTH ����������������������������������18 GOATS ������������������������������������������������� 19-23 MACHINERY & PRODUCTS ���������������������������������������24-27

the quake-hit Kaikoura region are stressing farmers, says Federated Farmers spokeswoman on adverse events, Katie Milne.

She says farmers on the inland road to Kaikoura are frustrated by some decisions and actions of CD staff. While the permit system has merit, the strict and inflexible way it’s being applied shows CD people lack understanding of farmers’ needs.

For example, a farmer who lives on the road but whose farm’s location is before the danger area was not allowed to go home.

People trying to get their businesses back to normal are often unreasonably prevented from doing this, Milne says.

Feds has people on the ground in the area trying to find out the plight and needs of farmers.

But Milne says the state of the inland road is causing big problems.

“Farmers urgently need the road open so those with munted cowsheds can get their cows out. They want them gone and they have places for them to go, which is good, but [holdups by CD people] are frustrating, showing how vulnerable rural people are.

“At present farmers have no idea when they can get their stock out. Some have got stock onto other nearby farms. There are also big milkings taking place as cows from farmers with damaged

Food donations received by Federated Farmers for quake-stricken rural dwellers in Kaikoura.

dairy sheds are milked on farms with cowsheds up and running. There is also stress on cows having to walk longer to be milked.”

Milne reports problems getting food to farmers, and fuel rationing is affecting rural people. For example, food intended for farmers was unloaded in Kaikoura instead of being sent to rural destinations. And fuel rationing is discouraging rural people from driving to Kaikoura on the off-chance food or supplies would be available.

“We had a big food parcel sent from Invercargill by farmers and locals; they banded together to

Minister sympathises THE ACTING Minister of Civil Defence, Gerry

Brownlee, expressed his sympathy for farmers who need road access to look after their livestock and rebuild their farming businesses.

He says during such a large-scale emergency outside help often must be brought in, to help local authorities and communities deal with the event.

Brownlee said how important it is in this situation for local needs and concerns to be listened to and understood. “I’ll look closely at how well this was done when we review the response to the Kaikoura earthquake,” he says.

Brownlee says officials are trying to manage getting people and goods in and out on a fragile roading network.

organise 34 pallets of food and supplies for farmers. We finally managed to get this flown to the right people but it took longer than necessary.

“While we seem to be able to get things onto a convoy or boat, they get off-loaded and people pick it up and cart it into Kaikoura and it doesn’t get to the right people.”

Milne says rural people now seem to have basic necessities, but town people don’t seem to see the rural dwellers’ needs. For example, there is a perception that country people can kill a sheep to feed dogs.

“But they don’t appreciate that some rural people still haven’t got freezers working so the dog tucker would go off quickly. And don’t forget, not every farmer has sheep.”

The immediate issue for farmers is restoring their infrastructure, which for some will take many months. When the after-shocks stop, hill country farmers can start repairing fences and rounding up straying stock.

Farm tracks and stock water systems are high on the agenda, as are family homes, many of them destroyed; some people are living in temporary accommodation.

DAIRY NEWS NOVEMBER 29, 2016

4 // NEWS

Team effort restores quake-hit rotary NIGEL MALTHUS

WAIAU DAIRY farmer Graeme

Farm manager Mark Williamson shows how far the rotary platform jumped on Graeme Coats’ farm.

Coats is full of praise for the engineers who got his rotary milking shed working again within two days of the November 14 7.8-magnitude quake which has disrupted the South Island’s upper east coast.

Coats’ farm runs about 930 cows at Emu Plains, on the north side of the Waiau River, not far from the epicentre of the first of the series of quakes.

With power off and the 60-bail rotary platform flung off its rollers, farm manager Mark Williamson had to drive the herd about 9km to milk them at a neighbouring farm before dawn on the first morning after the midnight quake.

But by Wednesday the shed was

back running, despite earlier fear that it would take a week. “It’s a real success story, what you would call a team approach to problem solving.”

The quick repair was a joint effort by a far-flung crew: the Greymouth engineering firm Dispatch and Garlick, which built the platform, and the heavy-lifting experience of Ashburton’s Mid-Canterbury Building Removals, all coordinated by Rakaia Engineering.

Coats had called for help from Dispatch and Garlick early on the first morning but their arrival was delayed because Lewis Pass was closed and they had to back-track and drive the long way, through Arthurs Pass.

Michael McMillan, a director of Dispatch and Garlick, says damage was “more than twice as bad” as was first described to them.

“We had to cut off and replace the bottom of every single roller stand.

As soon as the guys found that out we started manufacturing them [at the Greymouth factory] and had them finished at 11 o’clock that night, Monday night.”

On Tuesday they returned with the replacement roller stands and by Wednesday the rotary platform – its estimated 40-tonne bulk realigned on the new stands with the expertise of the Ashburton building relocater – was back in full operation.

Coats says his staff had meanwhile kept the herd milked on Tuesday night once power was back on even though the rotary platform was unusable. They milked them in groups of four and five standing at the entry/ exit gates of the platform – an 18-hour overnight marathon.

Faultlines left cow sheds munted Shattered roads in rural Kaikoura.

PRIMARY INDUSTRIES Minister Nathan

Guy says the devastation in the South Island from the Kaikoura earthquakes was worse than he initially thought.

After flying over the area he says there is widespread devastation down the coast and inland and an estimated 100,000 landslips. Extrapolating that number of landslips through rural New Zealand, “it is massive”, he says.

He has seen faultlines through farms and cow sheds just “munted”.

“The devastation down there is bigger than I thought it would be. It will take a long period of time

to help rebuild these rural communities,” he says.

They have announced a rural support package of $5 million – they know that won’t cover everything that’s needed.

“A real focus will be on those non insurable items on farm, we will fund the

Rural Support Trust, we will fund some coordinators,” he says.

“I am very keen to see if we can get agricultural students from Lincoln and Massey and Taratahi over the summer months to work with the adverse events team from Feder-

ated Farmers who provide that coordination.

The initial focus was on human welfare, making sure farmers and families were looking after one another and their communities, animal welfare and restoring water supplies. – Pam Tipa

DAIRY NEWS NOVEMBER 29, 2016

NEWS // 5

Rosy glow in co-op’s forecast PAM TIPA pamelat@ruralnews.co.nz

FONTERRA’S $6/ KGMS forecast is good

news considering the tough couple of years endured by its farmers, says chairman John Wilson.

Global dairy prices are now returning to some sort of sustainable level, Wilson told Dairy News.

The market has come back into balance and supply is constrained,.

“In New Zealand and Australia supply is well down and in Europe as well, but the milk price is still increasing in the US,” he says.

“On balance, supply and demand are coming back to some sort of balance.

“Being able to forecast

Fonterra chairman John Wilson.

$6/kgMS and, importantly, keeping cash flowing to our farmers – another 50c or so [dividend] depending on milk supply on December 20 – will be a fillip for the summer.

“It has been tough for our farmers and we

have focused on using the strength of the co-op to get money flowing.”

The forecast is good news for farmers and their communities.

“For the board and management over the last couple of years, with

PRODUCTION STAYS DOWN PRODUCTION HAS been well down during a challenging spring, says John Wilson.

“From the end of September we flatlined, which is unusual… and there’s been significantly less milk.

“We have normally been processing, at peak, 87-90 million L/day litres in the last couple of years. This year we are just on 80m L. [Doing that every day for] 30-60 days means a lot less milk.

“Our current forecast is about 7% down for the year. We are currently 5.5-6% down in the year to date. So we are significantly down because

of what has happened over the last four-five weeks.

“The big question is, as we didn’t peak as high what will that mean for the balance of the season? Of course, much depends on what the weather patterns are in New Zealand through summer and autumn.

“Also, milk production is well down in Australia, and it’s down month by month in Europe.

“NZ has been impacted by weather but also farmers are using a lot less supplements here. That is happening in other [dairy] regions around the world as well.”

all this volatility, it has been a challenge forecasting,” Wilson says. “That has frustrated us because it makes it hard for our farmers.

“We have been doing everything we can to get our forecasting right and using the strength of the co-op.”

One aspect has been Farm Source which “I am very, very pleased with,” says Wilson. “These things take a couple of years to get going but the support we have been able to provide our farmers in the regions… using our collective strength to give our farmers more buying power has been a critical part of it.”

The co-op has used its strength to get working capital out of the business and direct it to farmers, all the while staying on strategy. “That’s the other

important thing; in times of difficulty it is critical you stay on strategy. That is putting us in good shape right now.”

The focus has been long term while getting the short term decisions right.

“It is going to take some time clearly. We expect ongoing volatility and the difficulty in the last couple of years onfarm for our farmers will take a while to recover from.

“Our farmers have done a superb job bringing our costs down but that comes with its own difficulty and stress on farmers.

“Debt levels have come up slightly because working capital has been required, so overdrafts have been extended. Farmers will focus in the shortmedium term on paying that debt down and getting their businesses in better shape.

“Moving into summer with stronger cashflows will make a big difference onfarm.”

Our farmers are good business people, Wilson says.

“We expect ongoing volatility; we will keep our farmers as informed as we can… [but our forecast was made] in early November, so it’s a long way to the end of the year.

“For us as farmers we need to be mindful of our own businesses as the

volatility we have experienced over the last fourfive years is not going to change. We have to settle our own businesses to be able to deal with that.

“Fonterra will con-

tinue to drive… as much volume as possible into higher value products. But most of our exposure as farmers is to global dairy prices and global foreign exchange rates.”

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DAIRY NEWS NOVEMBER 29, 2016

6 // NEWS

No payrise for Fonterra directors SUDESH KISSUN sudeshk@ruralnews.co.nz

FONTERRA DIRECTORS and

shareholder councillors will go without a pay rise for a third straight year.

Though the director remunerations committee has signalled a pay rise is

on the cards next year, it recommends director and councillor fees remain unchanged for 2016-17.

Chairman John Wilson gets $405,000 annual fees, directors get $165,000 and board committee chairmen are entitled to an extra $31,000. Fonterra Shareholders Council chairman Duncan Coull

gets $90,000, his deputy $55,550 and councillors $30,000 each.

Fonterra shareholders will vote on the proposal at the co-op’s annual meeting at Darfield next week (Dec 8).

The remunerations committee has six shareholders and is chaired by Waikato farmer

David Gasquoine; the committee met in August to review board and councillor fees.

According to Fonterra’s notice of meeting, the committee reviewed the market trends for director fees and the workload expectations for Fonterra directors; and it discussed relativities between

different roles, the nature of the company and the challenging conditions now facing shareholders.

“The committee believes it is important to set realistic fee levels, having particular regard to the broader market and the workload requirements, to ensure skilled directors are

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attracted and retained on the board.

“The committee notes that the directors’ remuneration was not increased in 2014 and 2015, appropriate given the challenging economic conditions experienced by shareholders. Given the lengthy duration of the challenging conditions, it is again appropriate for remuneration levels to remain unchanged in the current year.”

But the committee notes that to attract and retain the best director candidates, and to align with the market, increases in remuneration will be required in the coming years.

On Shareholder Council fees, the committee foreshadowed a review of council wards with a view to reducing

the number of wards and councillors.

“The committee recognises that if the number of Shareholders Council wards is reduced there may be an impact on councillors’ workload and expectations that may need to be addressed by the committee in 2017 when assessing appropriate remuneration levels.”

The annual meeting will also ratify the appointment of three independent directors -sitting directors Simon Israel and David Jackson and new appointee Scott St John.

St John is a director of Fisher and Paykel Healthcare and the incoming chancellor of the University of Auckland. @dairy_news facebook.com/dairynews

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FONTERRA IS reiterating its call for farmers to feed cows no more than 3kg of palm kernel expeller (PKE) per day.

The co-op is trying to curb consumption of PKE by cows; feed trials show PKE affects milk fat composition.

Writing to farmer shareholders last week, Fonterra regional heads said the co-op’s voluntary PKE guideline of 3kg of PKE/cow/day (or less) has remained in place for the 2016-17 season.

“Our research also suggests that various individual farming factors, such as the farming system, breed type and time of year, can impact the effect PKE has on milk,” the letter says.

In late 2015 Fonterra gave a voluntary guideline for PKE feed after seeing a rise in PKE use on New Zealand farms.

“We were interested in the impact high levels of PKE use could have on milk fat composition, and the consequent manufacturing issues that may prevent the co-op from meeting its customer specifications.

“Over the past year Fonterra has continued with feed trials to better understand the potential impact on milk fat composition over a full season. Our feed trials confirm that increased use of PKE feed can cause changes in milk fat composition, specifically the fatty acid profile.

These changes can make it difficult to manufacture some products to our customers’ specifications.”

DAIRY NEWS NOVEMBER 29, 2016

NEWS // 7

Teachers’ day out opened eyes to agri PETER BURKE peterb@ruralnews.co.nz

IT HELPS make a difference for us,

say secondary school teachers from the greater Wellington region who

recently looked first-hand at career opportunities in the agri sector for young people.

The tour was organised by DairyNZ and Rural News Group, drawing high praise from the teachers for a resourceful, well organised day providing lots of

The group at Massey’s Riverside Research Farm.

Sarah Bowler from DairyNZ speaks to teachers on the bus.

information to take back to students.

This is the fourth year of the tour, this time taken by 30 careers advisors and teachers of science, geography, IT, chemistry and economics from Wellington, Hutt Valley, Wairarapa, Manawatu and Horowhenua.

This year the trip was in Wairarapa, visiting Massey University’s Riverside Research Farm where they were shown a trial rearing lambs on lucerne.

Professor Paul Kenyon, head of Massey’s Institute of Veterinary, Animal and Biomedical Sciences, outlined the nature of Massey’s agricultural courses and the career paths these could lead to.

Dr Rene Corner-Thomas, a young

lecturer in the institute, outlined her career progression. She was one of eight young graduates who spoke. The teachers said this was a highlight of the trip – hearing the range of career opportunities and seeing the passion and obvious success of young people in careers in the agri sector.

The group also visited Taratahi Agricultural Training Centre and Urlar Wines, near Masterton.

Providing commentary about the wider agri sector and career opportunities was Massey chancellor Chris Kelly and agribusiness consultant Lynette Wharfe.

Susan Stokes, from DairyNZ, says the trip was highly successful and feed-

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back from teachers excellent. All agreed it will be run again next year, almost certainly in south Wairarapa. Teachers have already asked to take part, Stokes says.

Co-organiser Peter Burke, of Rural News Group, noted the teachers’ interest in a special publication by the company carrying stories on agriculture and horticulture and the career opportunities available.

He says by getting teachers out into the field to see opportunities first-hand clearly motivates them to steer students into agri-related careers.

ANZ Bank, Zespri, DairyNZ, Massey University, Taratahi and Rural News Group sponsored the day.

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DAIRY NEWS NOVEMBER 29, 2016

8 // NEWS

Three chase two Fonterra board seats THREE CANDIDATES

are vying for two Fonterra board seats this year: sitting director Michael Spaans, Donna Smit, Bay of Plenty and Stuart Nattrass, Canterbury. Voting ends at 10.30am on December 6.

Here are their brief profiles: Donna Smit The Fonterra inde-

Donna Smit

pendent selection panel notes that Smit has indepth dairy farming expe-

rience. She has built and owns seven dairy farms in Edgecumbe and Oamaru with around 3500 cows (Corona Farms Ltd).

She lives on one of the farms and shows she has strong financial expertise and understands the value drivers of milk price and profit.

A chartered accountant by training, Smit han-

dles financials for all the family businesses; she was company administrator at EastPack Ltd for 24 years, a kiwifruit co-op now the largest postharvest operator in the industry, processing at least 25% of the national kiwifruit crop. She helped manage through the Psa crisis in the kiwifruit industry.

The panel says Smit

shows she understands capital and share structures, and “demonstrated a good understanding of the international risks and opportunities for Fonterra”.

“While Donna has not run a business as chief executive, the panel felt her close working relationship with the chief executive and board while at

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EastPack was relevant to her understanding of how businesses operate. She had a broad financial, legal and IT role there.”

Michael Spaans The panel noted Spaans has in-depth dairy farming experience and expertise and he understands the value drivers of milk price/ profit.

A self-employed dairy farmer for 30 years, he lives on a 500 cow farm in Te Aroha; family business also includes farming interests in Canterbury, Chile and Missouri.

Spaans is co-chair of the Fonterra Farming Group (international farming in China, Chile, NZ). He understands global dairy trade.

He has been a Fonterra director for the last three years and sits on the milk price panel. He is currently the chairman of Dairy NZ, where he has been a director for eight years. He served on the Shareholders Council for eight years and the board of Manuka SA, a Chilean farming venture, for six years. He is a director of ASB Bank and has been chairman of Waikato Innovation Park Ltd. The committee says Spaans shows he understands the value of the consumer business globally to Fonterra and value creation for the co-op.

Stuart Nattrass Nattrass opted for selfnomination.

He says having served as a Fonterra director between 2003 and 2009, he appreciates the time, effort and commitment required in the role.

“Those six years were a time when capital structure was the main topic of discussion. In the many meetings I participated in, I believe my understanding and empathy with the cooperative was always demonstrated. I gained a thorough comprehension of the unique framework Fonterra operates under through the work I was

Michael Spaans

involved with for the development of GDT. “This helped establish an international price for milk and more importantly a transparent price for Fonterra farmers’ milk.

“I have governance experience in food safety, farming, importing, plumbing, finance, e-commerce, irrigation, farm services, mining, tourism and horticulture.

“A career in international finance meant I was a student of the world and its affairs at the time (mid 1980s) when capital markets and goods and services markets were starting to be liberated.

“Globalisation and free trade in particular is trending in the right direction, but I feel it is under threat.

Stuart Nattrass

“Governance is judgement exercised in an environment of trust. Good judgement is preceded by experience, which I have in abundance.

I can’t claim I have always exercised good judgement.

I can claim that on the occasions I haven’t, I have always faced my responsibilities.”

Nattrass says for Fonterra to achieve its full potential the owners must take personal responsibility for appointing the directors.

“I am pleased to stand as a farmer-nominated candidate as it gives you an opportunity to express your own choice.”

DAIRY NEWS NOVEMBER 29, 2016

NEWS // 9

Quake claims flowing in Land slips at Kaikoura are much severe than the Darfield quake, say FMG.

THE COUNTRY’S main

farm insurer FMG is encouraging farmers who have suffered quake damage to telephone for advice on making claims.

FMG chief executive Chris Black visited North Canterbury and the South Island east coast to see firsthand the nature and scale of the damage.

Most importantly, he says, farmers must get roofs over their heads, organise food and start milking cows if they are dairy farmers.

He has seen some damaged farm plant that is repairable and some that needs replacing. In Waiau he saw a dairy shed completely wrecked.

Several months or more may elapse before the damage is sorted and things return to normal, Black says.

The effects of this quake are different from those caused by the Darfield quake in 2010.

Fonterra’s ‘Double 11’ sales bonanza FONTERRA PRODUCTS fetched

“The land slips are much more severe than at Darfield and access is a much bigger problem than in Canterbury.

Some staff are going up from Christchurch and some from Blenheim to meet clients.

“We already have hundreds of claims. We realise people are under stress and for some it was a terrifying

AUT

experience.”

People are helping each other and pulling together as people do in rural communities, he says. In the case of the farmer whose dairy shed was ruined, his 1000 cows are being milked on other farms in the district.

“We are working with Federated Farmers and

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SPR

Rural Support Trust, seeing a coming together of those groups which happens at a time like this. We can’t do everything ourselves but we can connect people with those who can help.”

Black expects FMG to cover damage to houses, sheds and stock water systems, and business interruption.

interactive online ‘shopping towns’.

This helped build momentum as the shopping day approached.”

Fonterra product buyer numbers were up 56% on last year; the purchasing rate was up 3800% on the daily average.

Sales of Anchor UHT milk were particularly successful: 2 million litres sold. Milk powder pouches also sold well: 270,000 pouches.

Global consumer and foodservice chief Jacqueline Chow says the popularity of Double 11 underscores the growth of e-commerce in China.

“E-commerce is an opportunity we are working hard to capitalise upon, so this year’s growth figures are pleasing.”

Alibaba turned over $24.6b on its Tmall and Taobao platforms and at the day’s peak Alibaba was processing 175,000 orders every second.

Fonterra went online in China in 2012 with its Anlene Tmall site. This is the co-op’s fourth year in Double 11.

$12.5 million on China’s Double 11 sales day, the world’s largest one-day online shopping event.

In 24 hours of trading, sales of Anchor, Anmum and Anlene brands were up 44% on last year.

Double 11, coinciding with China’s ‘Single’s Day’ holiday, was launched in 2009, quickly ballooning into the biggest day on the global retail calendar.

According to data from Syntun, China’s 16 largest e-commerce merchants together sold a record $36.3 billion this year.

E-commerce director for Fonterra Greater China, Xiao Lu, says the scale and competitiveness of Double 11 requires a strategically innovative approach.

“More than 100,000 merchants participated this year, so competition is fierce,” says Xiao. “We put a lot of energy into a smart strategy to engage consumers well.

“Our warm-up campaigns included live-stream broadcasts and

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10 // NEWS

Wet spring woes PETER BURKE peterb@ruralnews.co.nz

ALMOST CONSTANT

Andrew Reid, DairyNZ.

rain will have long term implications for dairy farmers in the North Island, says DairyNZ’s general manager of extension, Andrew Reid.

He says the wet spring has caused a range of problems which will affect the amount of pasture that can be grown and harvested as silage.

Early-season grass is still growing but because the ground has been so wet the cows have trampled the feed, making utili-

sation poor.

Most dairy farms north of Cook Strait have been affected by the wet spring, Reid says.

“It also meant that because the ground was so wet, contractors had difficulties getting tractors on.

So harvesting silage and sowing crops, especially

maize, has been delayed two-four weeks and that will have a carry-on effect into the season with later planting dates and less time for crops to respond – a significant issue at this time.”

Reid says in Northland the ground temperature is about two degrees lower than normal, so grass growth has been slower than normal for the time of year.

Two things might ease pressure on some farms, he says. Some dairy farmers have lowered their stocking rate, reducing feed demand from the levels of one year ago.

And there is the prospect of a higher farmgate milk price, now set by Fonterra at $6/kgMS. “The encouraging thing at this time of year is pasture is growing and every windy day is a day of dry

and sun to increase the sugar levels in the grass which has been a big problem.”

The late season in the North Island puts a question-mark over whether farmers will be able to harvest sufficient silage to see them through the year. DairyNZ has noticed more farmers are diligent in accurately measuring their pasture quantities by taking time to do farm walks and paying attention to feed budgets.

Some farmers last season skipped herd tests, but Reid is not aware of it happening this season.

He advises farmers applying nitrogen to take care about quantities. The idea of ‘pasture first’, as promoted by DairyNZ, requires farmers to be more diligent in farm management.

HELPING KAIKOURA DAIRYNZ’S ANDREW Reid says the group is working with Federated Farmers to help dairy farmers affected by the earthquake in North Canterbury.

DairyNZ offers technical knowledge and advice, but the immediate need is finding out exactly what help farmers need. Working with other agencies is helping DairyNZ get in touch with farmers and assess their needs.

“Our team on the ground there is relatively small and the road closures have been a big bugbear,” he says. “When the roads open we will get people on the road to provide meaningful advice, not just see how things are going.”

Road closures have prevented dairy farmers from getting their milk out of Kaikoura for processing.

At least one dairy shed has been destroyed, but the farmer is having his cows milked on a neighbouring farm, not missing too many milkings.

“Water supply is the issue now – having water to wash down sheds and feed stock.

The power came on relatively soon and the problem is not so much pumps but waterlines damaged by the earthquake.”

But Reid says farmers whose pumps and waterlines are damaged face a doublewhammy.

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DAIRY NEWS NOVEMBER 29, 2016

12 // OPINION RUMINATING

EDITORIAL

Dad’s urban army

MILKING IT...

Going it with friends

FONTERRA SHAREHOLDERS are facing an interesting choice in the board elections.

Former director Stuart Nattrass has vetoed the independent selection process to stand as a self-nominated candidate after securing the nomination of at least 35 shareholders.

His group of nominators are interesting -- they include a former Federated Farmers chairman, a former Feds dairy chairman and a former Fonterra board member.

A well-known corporate farmer from Bay of Plenty and others are also on the list.

‘Misleading’ ad draws complaint

DAIRYNZ HAS laid a complaint over a Greenpeace advertisement that says industrial dairy farming and massive irrigation schemes are polluting waterways.

DNZ says the 60-second ad, which has run on television and social media for a month, is factually incorrect and misleading.

The Advertising Standards Authority says it has received the complaint and will assess it.

A Greenpeace spokesperson says she is interested to know what DairyNZ thinks is incorrect.

Quaking with indignation

REMEMBER THOSE three cows stranded on a hill by the Kaikoura earthquake?

The farmer rescued them promptly but People for the Ethical Treatment of Animals (Peta) Australia says the cows should be allowed to retire.

“New Zealand residents and people all around the world urged authorities to rescue the cows stranded after the earthquake, but now they are back on solid ground their safety is shaky at best,” said Ashley Fruno, associate director of campaigns at Peta Australia.

“Cows used for their milk are forcibly impregnated, have their babies torn from them at only a few days old and often suffer from mastitis, lameness and other painful ailments.

“Peta calls on the farmer to allow these animals to live out the rest of their lives in peace at a sanctuary, instead of being torn into pieces.”

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ISSN 1175-463X

Milked for a reaction

STILL ON Peta, people in London were last week disgusted to be told they had been drinking ‘dog’s milk’ during a new animal rights campaign.

Peta hosted a focus group, taking to the streets to offer people free samples of a ‘new’ milk.

After asking them how it tasted and what they thought of it, they let on it was from a dog, getting horrified reactions such as spitting and swearing.

The reactions were videoed then put online, aimed at discouraging people from drinking cow’s milk.

The video ends with a message from Peta opposing the consumption of cow’s milk.

It said, “Dog’s milk, cat’s milk, rat’s milk, cow’s milk.

We’re the only animal to drink another species’ milk.

Isn’t it all a bit gross?”

But it turns out Peta didn’t give the test subjects dog’s milk, but rather soya milk.

CIVIL DEFENCE, or ‘Emergency Management’ as it prefers to be called, must put its staff and volunteers through a rural awareness course.

The sad fact of life during the Kaikoura earthquake has been CD’s lack of understanding of the needs of rural people.

We may feel for urban people whose homes have been destroyed and jobs put on hold. But do urban people, especially those in CD, truly understand the plight of farmers? Many of them have also lost their homes, and lack basic necessities, but they carry the added responsibility of caring for stock -- cows, sheep, cattle, deer or man’s best friend, the farm dog.

CD people don’t get this, and understandably farmers in North Canterbury have been beside themselves with anger and frustration at the inflexible, bureaucratic approach of some wellmeaning volunteers dealing with farmers at a local level.

Yes, safety is important, but some behaviour of the civil defence people beggars belief. Understandably, care is essential on the inland route to Kaikoura, but serious questions arise about the management of this road issue.

Even the Acting Minister of Civil Defence, Gerry Brownlee, has asked questions about the workings of the CD response and so he should.

Farmers may be forgiven for feeling they have been dealt a bad hand by CD. Its role rightly includes restoring calm, but in this case CD people have added to farmers’ woes by being impractical and non-pragmatic. The CD approach has seemed to many rural people to be, “If it’s not in the CD manual we don’t do it”.

Sorry, but that’s daft!

CD may easily observe damage to buildings in Wellington, and rule that workers stay away. It requires a bit more thinking, a lighter touch -- and, to be fair, training -- for CD to appreciate the plight of a dairy farmer whose rotary milking platform has been jolted off its rollers.

Consider the plight of a farmer plagued by landslips, destroyed fences and stock going bush, and without tracks for stock mustering and no digger access for track repair. For him then to be told by dad’s army that he can’t go home -- for what seem spurious reasons -- is the final straw.

The Kaikoura quake highlights again the enduring gap between town and country, especially at the level of officialdom.

Brownlee had better ring some changes.

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DAIRY NEWS NOVEMBER 29, 2016

OPINION // 13

Keeping production up THE LAST few months

have been challenging for many dairy farmers, especially in the North Island and on the West Coast where wet weather has hit milk production and made farming difficult.

While some farms are ahead of last season’s production, North Island production is lagging that of the same time last year for a number of reasons.

In response to two years of low milk prices, many farmers have cut cow numbers, slashed fertiliser use and reduced their supplementary feed input.

A lot of cows were calved too light last spring and then underfed prior to mating, resulting in low in-calf rates and a greater calving spread. Poorer mating performance last year has resulted in an even greater calving spread this season. Some vets are reporting up to 25% more CIDRs being used to get cows cycling.

Fewer cows in calf early results in less milk.

Recent rises in the GDT index have prompted many farmers to ask, “How can I at least achieve last year’s production, given that I am already behind?” Here are some key things to consider to keep cows in milk for as long as possible: Maintain pasture quality. There is no substitute for high quality pasture.

By November, ryegrass has entered its reproductive phase and maintaining quality is much more difficult. Regular pasture walks will enable you to identify and manage surpluses better.

Options for reducing pasture surpluses include taking an area out for a crop, topping, or making pasture silage. While topping to waste can be useful in maintaining pasture quality, it is wasteful and costly. Cropping is an excellent way of switching feed from a surplus period

when it isn’t needed into one when it is needed.

Heat-loving greenfeed crops such as maize and forage sorghum x sudan can be successfully established right up to Christmas in most regions.

Good quality grass silage will be critical to keep cows milking to their full potential through the summer months.

There is some great information about how to make high quality grass silage on Pioneer’s website. The link is: http:// www.pioneer.co.nz/inoculants/product-information/ how-to-make-quality-pasture-cereal-and-lucernesilage-guide/pasture-silage/ Keep pastures growing. DairyNZ recommends a summer grazing rotation of 30 days as the average time it takes for a ryegrass plant to grow three leaves (3 leaves x 10 days per leaf). Extend your round by feeding a crop or supplement or applying 30-50kg of nitrogen just after the longest day.

Avoid overgrazing pastures. You are far better to utilise your feed pad or a summer sacrifice paddock and feed supplements than hammer the whole farm if the weather gets dry and feed is short.

Feed supplements at lower rates, earlier. Many farmers add supplements into the system too late simply because a feed shortage is upon them before they see it coming.

This is where regular pasture monitoring is critical.

If you see average pasture cover level starting to fall, and there is no rain in sight, you may want to start feeding supplements.

Check out our websites www.ruralnews.co.nz www.dairynews.co.nz

You are aiming to achieve three things. Firstly, protect your pastures from overgrazing. Grass silage and maize silage are great at doing this as they will always result in cows leaving some pasture behind.

Secondly, keep as many cows in milk as possible until the autumn rains come. Thirdly, protect

cow condition – meaning you won’t have to dry cows off too early.

Feeding a little supplement early also has the added benefit of allowing cows time to adjust to the new feed as well as giving you, the farmer, the flexibility to be able to shut the feed off if the weather changes and the cows can

go back to eating grass only.

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DAIRY NEWS NOVEMBER 29, 2016

14 // AGRIBUSINESS

Exports still facing tariffs in China MORE THAN 75% of New Zealand’s dairy exports to China are still subject to tariffs the industry thought would by now be cut.

The NZ China free trade agreement (FTA) was to eliminate all import tariffs on all dairy products in 2024. But under present transition arrangements less than 25% of the products enter China at lower tariffs.

Dairy Companies Association of NZ (DCANZ) chairman Malcolm Bailey says the rapid expansion of Chinese consumer demand for dairy products was not anticipated when the deal was made.

Bailey hopes negotiations announced last week towards an FTA upgrade will help exporters.

“DCANZ’s priority is for more comprehensive coverage of trade during the tran-

sition to full tariff elimination from dairy products in 2024, in recognition of strong Chinese import demand,” says Bailey.

“Extending the coverage of tariff preferences will reduce tariff related costs for Chinese consumers. It will also ensure that NZ exporters do not end up at a tariff disadvantage to Australian exporters as we transition towards tariff elimination.”

Bailey points out that the Australia China FTA does not have the same quantity limits on tariff preferences for butter and skim milk powder. NZ exported NZ$2.77 billion of dairy products to China in 2015.

Fonterra chairman John Wilson says the upgrade of the FTA will allow a strengthening of the dairy relationship between NZ and China.

“The leadership of both countries rec-

ognises the value of improving the FTA. We [will keep building] our business in China and the FTA will remain the key to that growth.”

Fonterra has operated in China for 40 years and now has farms, and sells ingredient products, foodservice and consumer brands including Anchor, Anlene and Anmum.

The co-op’s investments include a partnership with Beingmate, a leading Chinese infant and child food manufacturer.

It has completed two farming hubs and is working on a third in partnership with Abbott. It employs 1500 people in China.

Prime Minister John Key announced at APEC the upgrading of the China NZ FTA. This followed a meeting of Trade Minister Todd McClay and Chinese Commerce Minister Gao Hucheng.

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cer, global consumer and foodservice, Jacqueline Chow.

The Trusted Goodness quality seal is appearing on Anchor 1L and 2L bottles in New Zealand.

The co-op hopes to have the seal on its four major global brands – Anchor, Anmum, Anlene and NZMP – by Christmas.

Chow told Dairy News that market research during the last two years in six key markets showed consumers are prepared to pay a premium for high quality, safe and healthy food from trusted sources.

“Consumers want to know more about where their food comes from and that it is produced by businesses using sustainable and ethical practices.

Consumers are actively seeking products they can trust... that come with these benefits.”

Fonterra farmers have in the last five years spent $1 billion on fencing 97% of farm waterways and reducing leaching, and $8 million on researching

Jacqueline Chow

emissions-reducing technology.

Chow says the quality seal’s credibility is enhanced by NZ’s onfarm work and grass-feeding advantage, and the co-op’s push for traceability, food safety and quality.

The seal will appear on Fonterra-branded products sold in the US, China and Malaysia in the next few months and on most Fonterra products in the next few years.

“Our purpose is to be the world’s most trusted source of dairy nutrition.

Trusted Goodness will help to tell our NZ quality story and [gain] more value for our farmer shareholders,” Chow says.

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AGRIBUSINESS // 15

Residuals under control add to bottom line DairyNZ feed and farm systems developer Elodi Ganghe.

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dairy feed to offset the wet spring conditions that have retarded milk production, says Ballance Agri-Nutrients.

“The lack of guts in the grass, coupled with growing dairy confidence, has ramped up demand for feed to build production as herds enter peak milk production,” says the co-op’s chief executive Mark Wynne.

He says the lift in demand has helped grow sales at the co-op’s animal nutrition subsidiary SealesWinslow to double the level of this time last year; a calf feed surge led the way.

“Every kilo at peak translates into 200L of milk for the year,” says Wynne. “We’ve seen a massive boost in calf feed sales to help develop rumen and get calves up to weight and onto grass; and there has been high demand for bulk dairy products to get cows to peak weight and in good condition for mating.”

Wynne says the industry’s optimism has resulted in farmers using 3-5kg of bulk dairy feed/head/day, up from 1.5-2.5kg last year.

“Feed demand is always a good barometer of how the sector is doing and this is a sure sign confidence is returning.”

SealesWinslow last year upsized its plant and increased the amount of raw materials and full time staff at its mills in Morrinsville, Ashburton and Whanganui.

used to control excess, and the same strategy could be used post-grazing to achieve targets.

Ultimately, if there weren’t enough animals available to eat the grass, best to remove excess for conserving as silage.

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ship between St Peters School Cambridge and Lincoln University, strives to demonstrate best practice in dairy farming and to encourage young people into the industry.

A recent open day reviewed the unit’s performance to date, giving a picture that reflected much of the central North Island’s weather – rain, rain and more rain.

The seasonal plan showed the enterprise had planned to cope with the worst while hoping for the best, but expectations went unmet because of the weather.

Since June the rainfall had totalled 620mm, versus 460mm in the same period last year; this amounted to 70% of the annual total. September and October records showed only 14 days without some precipitation.

Production was down about 5% on the same period last year, mainly because of the weather and the resulting inability to utilise high quality spring growth. This problem was compounded by the farm’s lack of infrastructure to feed maize silage, and the sodden

cow respectively.

Ganghe said good management resulted in quantifiable benefits if remedial action was taken to restore quality as the season progressed. If grass was getting ahead of cows pregrazing, mowing could be

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ground conditions not allowing PKE to be fed in the paddock.

The ability to deliver quality pasture to the herd while practising good feed management was discussed in detail by Elodi Ganghe, feed and farm systems developer, Dairy NZ. She suggested that the difference in profit between ‘poor’ and ‘best’ pasture management could be as much as $300/ha.

Ganghe said the key to getting it right was the state of residual cover post grazing, which markedly affects pasture composition, the quality of future grazing and ultimately milk production.

She recommended targeting residual cover of 15001600kgDM/ha, to control the development of reproductive tillers and seed head emergence which could affect future pasture quality.

Looking at trials at Scott’s Farm, Hamilton, and WTARS, Taranaki, which compared the recommended residual cover with one of 1800-2000kgDM/ha, also offered interesting findings. There was little difference in spring, but as the season progressed there was a marked drop in perennial ryegrass content and an increase in dead material.

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DAIRY NEWS NOVEMBER 29, 2016

16 // MANAGEMENT

Nothing magical in healthy h SUDESH KISSUN sudeshk@ruralnews.co.nz

WAIKATO FARMER

Rex Butterworth follows a simple philosophy: keeping his cows happy and healthy.

“They pay you back ten-fold, it’s really a no-brainer,” says Butterworth.

A top-performing dairy farm, Butterworth’s figures speak for themselves. In the 2014-

15 season, Rex and his wife Sharon milked 480 cows at peak, versus Waikato’s average of 459 and its top10% average of 479.

Milksolids per cow on the Butterworth farm were 492kgMS, versus Waikato’s average of 394 and Waikato’s top-10% average of 444. Milksolids per milking hectare were 2237kgMS, versus only 1317 for Waikato and 1645 for the region’s top 10% of farmers.

Total revenue for the

Butterworths was just over $1 million versus $831,000 for Waikato and $977,000 average for the top 10%.

It’s not surprising Butterworth scooped the Waikato title in the Dairy Business of the Year competition; he also finished runner-up in the national competition.

Hosting about 120 farmers and stakeholders at a field day on his farm in Winton, Butterworth says he doesn’t do anything

PEOPLE POWER Waikato farmer Rex Butterworth.

BUTTERWORTHS ONLY employ people they respect and like.

They want employees to share their vision and successes.

Farm managers Vernon Madeley and Barbara Fell are long-time employees.

“Their contribution has been outstanding and we couldn’t be happier with their efforts,” says Butterworth.

“They should be – and have every right to be – proud of what they have helped us achieve.”

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special on his 113ha property (106ha eff).

“All we do is feed cows and grow grass; please don’t go away from here thinking anything special happens on this farm.”

But Butterworth refers to one major decision that was a turning point for his farm: in 2012 he erected two Herd Homes, each holding 250 cows. He made this decision after

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DAIRY NEWS NOVEMBER 29, 2016

MANAGEMENT // 17

y happy cows dry environment.

“The clear roof allows sunlight through, killing light sensitive bacteria and drying the floor.

Maintaining a dry floor plays a big part in Herd Home management.”

Butterworth says the Herd Homes mean lactation length is not as heavily influenced by cow condition, pasture cover

The investment in Herd Homes in 2012 has paid off for the Butterworths.

or weather.

Animal welfare remains a high priority for the Butterworth.

“With the Herd Homes we focus on prevention, not cure and maintenance and not repair.”

He is intent on the basics – pasture management, making high ME supplements, fully grown young stock, cow condition and the transition of cows from pre- to post-calving.

“Get those things right and the rest is easy.”

Cows are fed pasture, maize silage, grass silage and PKE; all supplements are fed in the Herd Homes.

All house effluent is exported off-farm to the maize ground and silage paddocks at the run-off farm.

“Growing a high yielding, high ME maize

crop is essential to our system. The difference in cost between a 22tDM and 26tDM crop is minimal

been as environmentally aware as he is now. Like many he once saw effluent as a problem and costly

“All we do is feed cows and grow grass; please don’t go away from here thinking anything special happens on this farm.” but the economic gain/loss is huge.”

Environment is also a key point but Butterworth admits he has not always

to get rid off; today it’s a valuable resource.

He says as an operator of an intensive dairy farm with the potential to be

a major polluter, he had to demonstrate that he could operate responsibly.

The Herd Homes help make the farm more environmentally sustainable.

“The farm has a far lower environmental footprint than most conventionally run dairy farms and is well below the industry average; this proves more profit need not mean more pollution.”

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Butterworth also noted that their water consumption rose by nearly 50% during the hottest time of the day.

He says the warm, dry environment in winter led to mastitis at calving time halving from 10% of newly calved cows to 5%.

“We put this down to the cows being stood off in a less stressful, cleaner,

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DAIRY NEWS NOVEMBER 29, 2016

18 // ANIMAL HEALTH

Cows must put their best feet forward MARK DANIEL markd@ruralnews.co.nz

A RACE car with the

best engine is never going to win unless the tyres allow it to get power to the ground, and dairy cows should be looked at in a similar light, says ‘The Hoofman’ – Johan Buys.

For a cow to be productive, fertile and able to walk 3km daily from paddock to shed she has to be right on her ‘pins’, he points out.

Buys’ mission is to help dairy and beef farmers understand the need for the weight bearing capacity of hooves to be maximised by animals’ good posture; this promotes their mobility, alleviates pain and helps them realise their full production potential.

Buys says research

by Dairy NZ shows cows with ‘poor’ feet can pass up $385 worth of annual

production and fertility.

And he says farmers must start looking at cows as high performance ‘individuals’, rather than as a herds, then intervene early to prevent or eliminate ongoing problems. This might be as simple as watching for asymmetrical toes, which indicate a cow is favouring one side of the hoof against the other; this can be easily rectified and costs less than administering antibiotics.

Buys says this season he has seen lameness as high as 25% in herds.

And he refers to evidence suggesting that a preseason spike in facial eczema has led to metabolic problems, compounded by increased pathogens in persistent wet weather, hindering animals fighting infections and so contributing to lameness.

Important in The Hoofman’s treatment

regime is a Dutch Wopa cattle crush supplied by Veehoof, Ashburton. It weighs about 1.5 tonnes and can deal with all animals including the largest bulls.

The Wopa SA0051 unit is towable, and carries its own hydraulic system aimed at making hoof treatment stress-free for the operator and the animal.

Once set up it needs only an electric power feed from the shed.

Cattle enter via a feeder race onto a flat rubber floor in the body of the crush. As they move forward, a laser device detects the head passing through the bail and it locks automatically. For ease of use the operator can activate functions from the rear of the feeder race, ensuring safe operation and avoiding getting his toes crushed.

Once the animal is safely secured the floor is

raised on four hydraulics jacks to bring the animal to a comfortable working height for the operator, and its legs are lifted by a hydraulic hook system which works around the knee joint rather than the more typical ankle area.

Buys says he can do routine or remedial treatment on 12-13 cows per hour. He always treats all four feet for balance and to prevent cows favouring a ‘good’ leg.

“The Hoofman’ Johan Buys.

Treatment is by high speed power tools initially, then handtools are used to relieve pressure and drain infected areas. If intervention is necessary, wood blocks are fitted to the alternate claw to take aid recovery and take pressure off the heel.

Because bovine feet

grow at about 1mm per week, and because an animal needs 3-4mm sole depth for healthy feet, 15mm thick, Dutch oak foot blocks are bonded to claws with epoxy glue, allowing around four-five weeks before they wear down, and allowing the hoof to heal.

Buys says the crush, which cost about $80,000, has been used for two years to treat 24,000 animals, trouble-free.

Typical cost to the farmer is about $30 per beast for preventative care and $80 per animal for remedial work. www.thehoofman.co.nz

Warm, wet and worrying for FE WITH

NIWA’S outlook to December signalling warm, wet conditions in the North Island, facial eczema (FE) warnings are again being heard.

Plan to manage the threat of FE, advisers are saying.

Above average temperatures and rainfall are ideal conditions for the FE-causing fungus to thrive.

Spore production occurs when soil temperatures exceed 12oC for three consecutive nights and soil moisture is favourable or the air is humid.

“Prevention is the best approach and starting early with zinc supplementation is a good tactic to get the best protection,” says SealesWinslow science extension officer, Natalie Hughes.

“It takes time to build up protective levels of zinc in animals, so dosing should start two-three weeks before you would expect spore counts to rise. Supplementation could be needed in early December.”

Zinc can be sprayed on pasture, dispensed in water, given in boluses or mixed into feed. Long-term use can lead to copper deficiencies in the herd’s diet, which also leads to lost production.

“This can be overcome by using a product like SealesWinslow ZincMax+ which contains organic copper, plus peppermint flavouring to offset the bitter taste of zinc which can often make cows reluctant to drink the dosed water.”

Good pasture management can also help guard against rising spore counts. Matching the rotation to feed supply will help ensure optimum grass growth. When grass becomes too long, dead matter can accumulate at the base of the sward which will increase FE risk.

FE is reckoned to cost New Zealand about $200 million annually as affected stock suffer liver and skin damage, reduced fertility, an lower milk and meat production.

WHAT TO LOOK FOR ❱❱ The first sign of FE in cows is a drop in milk production soon after the intake of spores ❱❱ Cows are restless at milking time, seek shade and lick their udders ❱❱ Another drop in production occurs when physical symptoms become obvious ❱❱ Check unpigmented or thin skin which thickens and peels because of sun sensitivity

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DAIRY NEWS NOVEMBER 29, 2016

GOATS // 19

Production cap keeps dairy goat co-op ahead SUDESH KISSUN sudeshk@ruralnews.co.nz

DAIRY GOAT

Cooperative, Hamilton, the world’s largest maker of goat infant formula, is happy to follow a marketled philosophy.

The co-op caps its supplier numbers and milk supply based on

current and predicted sales growth; sales dictate milk supply growth.

DGC chief executive Tony Giles told Dairy News that supplier numbers rose by 25 in the last three years; the co-op now has 73 supplying shareholders, mostly in Waikato and some in Taranaki and Northland.

DGC IN NUMBERS ❱❱ Milk payout consistent about $18/kgMS ❱❱ $178 million turnover in 2015-16 ❱❱ 45 million litres of milk processed this season ❱❱ World’s biggest maker of goat infant formula.

“We continue to operate our market-led philosophy; the 25 new shareholders in the last three years have joined due to current and [predicted] sales growth.

We now have a waiting list,” Giles says.

DGC developed the world’s first goat milk-based nutritional products for infants in 1988. Last year it earned $178 million selling goat infant formula in 25 countries – chiefly Taiwan, Thailand and South Korea, and other sizeable markets including China.

Giles says while Asia remains the major export destination, DGC is also now looking at Europe.

“Opening new markets for goat formula is challenging because it is a new product concept for consumers and health care professionals.”

The dairy goat industry in New Zealand is flourishing, with other processors either set up or eyeing processing sites.

Giles believes it’s important the industry be demand-led, not production-led. “This is the philosophy we follow. If processors do a good job of developing products, brands and markets, then attracting milk should not be an issue.”

To supply DGC, farmers must buy milk supply rights, and

production is capped for each supplier.

Tankers collect the milk on alternate days and deliver it to DGC’s Hamilton plant for spray drying and processing into finished canned products. The plant has two dryers and facilities for can making, blending and canning.

Food safety and milk quality are paramount, Giles says. DGC has rigorous quality standards and rules on feed and onfarm practices.

“The NZ brand is important, particularly in the Asian region, less so in regions such as Europe.

Regardless of that, it is important that no product or brand relies on

Dairy Goat Co-op chief executive Tony Giles.

the NZ ‘brand’ alone.”

The farmer-owned co-op is run by a seven-

member board of five farmer-elected directors and two independents.

“We’ve future proofed our farm with this dairy.”

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DAIRY NEWS NOVEMBER 29, 2016

20 // GOATS

Placid animals help spread business risk SUDESH KISSUN sudeshk@ruralnews.co.nz

HAURAKI DAIRY farmers Michael and Megan Webster looked at diversifying their business three years ago in a bid to spread the risk.

Megan Webster says the placid nature of goats make them easy to handle.

Around the same time Hamilton-based Dairy Goat Cooperative (DGC) were looking for more suppliers. So, the Websters started researching goats; the 217ha (effective) dairy farm which the Websters manage in an equity partnership with Michael’s

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parents Richard and Gillian, is fertile and flat, presenting the prospect of an ideal cut and carry operation.

They talked to other goat farmers, nutritionists and of course, their bank.

Megan told Dairy News that while a dairy goat operation looked a great investment on paper, there were a lot of unknowns.

Despite this, the Websters took the plunge into dairy goat farming early this year; with goats due to arrive on the farm at the end of May, they turned to Simple Shelters, which guaranteed and delivered the house on time.

Megan says initially a portable milking machine was borrowed to milk the goats; an 80-bail second-hand internal rotary machine was installed in the latter half of July. The farm now runs 409 goats, of which 387 are milked twice a day; each producing around 3 litres of milk daily.

Michael and Megan are no average dairy farmers; twice runner-up in the Waikato dairy awards competition, they have also had a successful twoyear stint as the focus farm for DairyNZ’s P3 project in Hauraki. But there are huge differences between bovine and goat dairy operations, she says.

Megan says the experience of milking goats for the past four months has been a pleasant one; as a woman, she prefers smaller animals.

“Being a female, you

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Goats are fed freshly cut pasture everyday indoors.

don’t feel at a disadvantage when dealing with a smaller animal; having said that the cows are lovely as well. But it definitely hurts more to be kicked by a cow when compared to a goat.”

Megan says the placid nature of goats make them easier to handle. But they can also be quite fickle.

“If they are sick they can go down pretty fast; if they are ill you have deal with it quickly; with cows you probably get more time to deal with an animal health issue.”

The goats are fed a mix of fresh grass, silage and concentrate in the shed.

Pugging of soils is almost a non-issue with goats; grass is cut and delivered to the Simple Shelter shed; on the nearby dairy farm the recent wet weather has caused pugging issues on the heavy marine clay soil.

Milk from the goat farm is picked every two days by DGC tankers.

Megan says the support from DGC and other farmer shareholders has been fantastic.

“Fonterra has 10,500 suppliers; DGC has only 73 suppliers and everyone is quite close; other suppliers are great and really helpful.”

The Websters are planning to build a kidding facility as part of plans to expand their goat dairy operation; if their success in the bovine industry as is anything to go by, this is just the start for Megan and Michael.

DAIRY NEWS NOVEMBER 29, 2016

GOATS // 21

Swiss beauties live up to their name

Fast versatile goat handler ideal for feet trimming, ear tagging and all handling requirements

• Manual & air operated • No adjustment needed for different sized animals • Stock held in a comfortable position with full access to underside of animal • No heavy lifting required • Easy on back • Safe and efficient

THERE IS a definite

Swiss connection on Rene and Verena Burri’s dairy goat farm at Te Aroha, Waikato.

Their 700 goats milked twice daily are Saanen, a highly productive Swiss domestic breed.

Rene, from Switzerland and Verena, Germany, in equity partnership with Schuler Brothers Ltd, two years ago bought the property (42ha including leased land), previously part of a cow dairy farm.

They named it Swiss Belle after the 700 Swiss beauties they have milked since June 2015.

The farm supplies milk to Dairy Goat Co-op, Hamilton. It employs two full-time staff, Rene and Mitchell Van Dam. Burri, who grew up on a dairy, beef and pig farm in Switzerland, spent four years in New Zealand on dairy farms; managing a farm for a year then sharemilking for three years at Te Poi. When the Burris looked at options for farm ownership dairy goats caught their attention.

“We are always open to challenges and goats always keep you challenged,” he told Dairy News. “You need to keep a close eye on the goats; they are highly sensitive.”

GOAT HANDLER

Rene and Verena Burri with farm worker Mitchell Van Dam (right).

Before moving onto Swiss Belle Farm, the Burris’ helped a neighbouring farmer set up a large goat farm.

The goats are kept indoors and fed freshly cut grass, silage and dried distillers grain (DDG) from Oilseed Products NZ. Milking takes about 1.5 hours. For their milking platform, they opted for a 44-aside Supa4 herringbone from Waikato Milking Systems. A rotary platform was ruled out as too costly.

“We wanted to have something simple,” says Burri.

WMS goat milking system specialist Gary Feeney says the Supa4 standard installation process ensures the plant’s integrity.

Its features include a 100mm milk pipe draining into a receiver at one end of the pit; the milk pumping system ensures fast and uninterrupted milking and

the simple design makes for fast milking.

The milking plant was

installed by Paeroa Farm Services, who also do the annual services.

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DAIRY NEWS NOVEMBER 29, 2016

22 // GOATS

Unique sheds make job easier THE SCHULER

Goats fed freshly cut grass.

Brothers Ltd (SBL) dairy goat farm in Te Aroha has a unique milking shed.

Two 40-a-side Waikato Milking System Loopline herringbones, each with its own pit, makes the

milking platform one of a handful in New Zealand.

The herringbones were part of SBL’s cow farm; it lay unused for 15 years until the dairy goat farm was set up three years ago.

With 500 cows milked year-round on the dairy farm, Kevin Schuler says the business owners looked at diversifying.

Then an opportunity arose to supply Dairy Goat Co-op, Hamilton.

The goats are also fed silage and dried distillers grain (DDG) from Oilseed Products.

Schuler says dairy goats are more of a challenge to manage than cows.

“Goats can be fickle; if you change something quickly they will throw their toys out of the cot.”

Schuler says WMS herringbones make milking goats easier for him and farm manager Rudolph Van Zuydam.

“Goats can be fickle; if you change something quickly they will throw their toys out of the cot.”

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The farm milks 1400 goats twice daily, each goat yielding about 4L/ day.

“Goats now are a big part of our operation, cashflow and revenue,” says Schuler. “We were 100% reliant on the cow cheque, but two years later we are only 25% reliant on it.”

Schuler says running the goat and cow operations side by side has its challenges; pasture management is critical.

Fresh grass is supplied to both lots of animals.

The unique twin-pit herringbone shed makes milking easy.

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Two persons milk the 1400 goats daily, each milking taking about two and a half hours.

One advantage of the herringbone is that 45-50 goats can be lined up on each side at a time, depending on the goats’ size.

Goats milk quickly: the first group’s finish coincides with cups-on for the next group.

“Milking takes up a big chunk of your day; the efficient herringbone system means you don’t get too fatigued.”

DAIRY NEWS NOVEMBER 29, 2016

GOATS // 23

Switching to goats present calf rearer a new challenge AFTER REARING calves for 25 years Peter Clarkin was looking for a new challenge.

So two years ago he started researching goats, viable for his 55ha property at Temple View, outside Hamilton.

“I didn’t know much about rearing goats then,” Clarkin told Dairy News.

For the next two years Clarkin reared goats, mostly Saanen and Nubian breeds. Two months ago he started milking 1,000 goats on the farm with a new 72-bail internal rotary from GEA New Zealand.

The goats are housed 24/7 and fed freshly cut grass and silage. Dried distillers grain (DDG) pellets are fed during milking.

“Goats love the DDG pellets; they get 900 grams daily – 450g each

milking.”

As Clarkin is milking first kidders on a new farm conversion, milk production is low, but, he expects production to reach on average up to 6L/day, as the goats mature.

Clarkin, a regular visitor to the US, visited housing barns for cattle.

The shelter on his farm at Temple View has a high roof, designed for high airflow in summer.

Clarkin first saw the GEA NZ rotary at the Fieldays. Grant Coburn, GEA’s area manager, took Clarkin to other farms with his firm’s rotaries.

He opted for a rotary with headlocks and no traditional bails; the advantage of this system is the goat is held in place feeding, making the animal a lot calmer during the entire milking process.

It’s running smoothly now, milking’s short and efficient, in the beginning however this was a challenge. Clarkin recalls the first milking started at 6pm and it took four hours to milk his goats. This has now reduced considerably to two hours even milking 1,000 goats.

“Staff are fully trained and settling into the new parlour,” he says.

Clarkin supplies milk to NZ Nutrition Milk Company, opting for this independent supplier over the Dairy Goat Co-op.

While milk payout is below the $18/kgMS paid by DGC, Clarkin says he didn’t have to buy shares to supply NZ Nutrition. @dairy_news facebook.com/dairynews

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Peter Clarkin on his farm near Hamilton.

DAIRY NEWS NOVEMBER 29, 2016

24 // MACHINERY & PRODUCTS

Concrete for 50 years peace of mind MARK DANIEL markd@ruralnews.co.nz

Reinforced pre-cast concrete panels form the wall of the effluent pond.

John van Heuven says concrete was the way to go.

AS THE milk price nuzzles $6/kgMS,

dairy farmers with financial clout can again turn to dealing with effluent and some equipment makers can cease holding their breath.

One dairy farmer who has the effluent problem under control is John van Heuven, who with his wife Maria milks 500 cows on 165ha at Johmar Farms on the outskirts of Matamata.

Having decided to increase cow numbers and install a 54-bail rotary for 2015, van Heuven decided to upgrade effluent storage, which had capacity for 1.5 milkings and needed closer attention.

As an AI technician he had travelled the greater Waikato region extensively, and had seen many new systems commissioned, allowing him to weigh pros and cons, and prompting him to “make sure they do it right and do it once”.

Concrete was the way to go, he decided, going with Presco Group, Hawera, which offered a complete package of concept, survey, installation and commissioning.

First port of call was a review of capacity needs, using the dairy effluent storage calculator (DESC) to compute requirements considering the number of cows, soil type, terrain and rainfall.

Then came a full geo-tech survey and design, including sign-off by the company’s engineer, thus by-passing a building consent; effluent storage is deemed a permitted activity for a dairy farmer.

Presco Group’s ProSump system uses reinforced, pre-cast concrete panels, in this case 26 items 3m tall and holding about 1.1 million L. It has a metal base with integral drainage to remove groundwater, and panels with a butt joint which uses a novel three-way seal system to hold liquids securely; the panels are supported by external cast concrete buttresses.

Internally a sloping floor falls to the centre of the tank, creating a vortex during agitation to keep solids in suspension, and increasing overall capacity.

Concrete is specified to 40Mpa strength and mixed using reduced water content to minimise shrinkage and cracking.

After 15 months of operation, and using a pontoon-based pump and agitator supplied by Reid and Harrison, the system is exceeding expectations and is faultless in operation.

Set up with lines feeding travelling irrigators, it can irrigate 56ha. The system is manual but the switchgear can accommodate upgrading to automation.

Van Heuven says he is “sure we made

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the right choice”.

“It’s a little more expensive than other construction methods, but using concrete gives us a build-and-forget advantage guaranteed for 50 years – great for peace of mind.

“Also I know that if we have problems with sediment we can go and get

a digger to clean out the tank, which can’t be done with liner based systems.

“Compared to our old 1.5 milkings capacity, which was fraught with risk, we now can deal with up to 10 days of effluent, and more importantly utilise it fully on the farm.” www.presco.co.nz

The benefits of gypsum in soil treatment are well known, but its value goes well beyond this: • Helps mitigate the flow of nitrates and phosphorus in New Zealand waterways • Can be used to address the issue of sodium from applied effluent • Reduces surface run-off and drainage loss, reduces preferential flow of water run-off in soil • Can be applied by a number of different means to target risk zones • Assists with addressing high soil potassium levels for more about Natural Gypsum and soil stabilisation visit www.gypsum.co.nz Rates vary per farm and soil type. Applications can last for up to three years and can be used as a base layer in standoff (loafing) pads.

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DAIRY NEWS NOVEMBER 29, 2016

MACHINERY & PRODUCTS // 25

Kiwi platform wins energy savings award THE FIRST 84-bail

composite Waikato Milking Systems rotary platform built in the US has won an energy efficiency award.

Cow Pleasant Dairy, owned by Tom and Katrien De Vos, Isabella County, Michigan, was named Large Business of the Year by Consumers Energy, the electricity and natural gas utility in Michigan.

Originally from Belgium, the De Vos family set out to innovate in developing their 3450 cow dairy; notably they chose to install the WMS rotary.

Tom De Vos said “we liked the concept

of a composite platform which is extraordinarily strong yet light, easy to keep clean and energy efficient”.

The set-up has the maker’s SmartECR, SmartPuls, SmartLink and SmartWash systems, and electronic milk meters, auto sorting and herd management technology.

The dairy also has a direct-load milk cooling system which cools milk from 95oC to 36oC before it goes to a trailer parked outside the parlor; this removes the need for a bulk milk tank. When full, the trailer is taken to the processor and an empty

trailer takes its place.

De Vos says the system is efficient system, has minimal risk of bacteria, preserves the quality of the milk and cuts water use.

These and other features including fans

which cool the cows and LED lighting led to the company being named the Large Business of the Year with energy rebates worth more than $US117,000. www. waikatomilkingsystems. co.nz

BUILT TOUGH.

Lelys Discovery Collector.

Moving muck like magic MARK DANIEL markd@ruralnews.co.nz

DAIRY AUTOMATION specialist Lely has devel-

oped a version of its Discovery robot to remove manure from solid floors, unlike the original which could only push muck through floor slats.

The Discovery Collector contains a vacuum pump to ‘hoover’ up manure after first softening it with a front mounted water nozzle, then using a following spray to wet the floor to prevent it becoming slippery.

On board, two water bladders of 70L capacity are filled from a docking station at the end of a cycle, and in a neat piece of design, the bladder containing the manure expands as the water tanks empty.

After a run, manure is emptied from the machine at a designated dump site.

The Collector navigates independently using inbuilt sensors, following an easily programmed, predetermined path at pre-determined times.

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DAIRY NEWS NOVEMBER 29, 2016

26 // MACHINERY & PRODUCTS

Kubota’s M5 hotly pursuing M7 MARK DANIEL markd@ruralnews.co.nz

HOT ON the heels of the M7 series launch Kubota has announced its new M5 series to spearhead an

attack in the important 100hp sector.

Whether it will replace or complement the popular M8540 or M9540 tractors is not known, but the 95hp M5091 and 113hp M5111 machines are sure to

attract a lot of interest.

Rural News is told that a 4-cylinder, common rail V3800 series engine will meet stage 4 emission regulations with a combination of SCR, EGR, DPF and DOC technologies all

neatly hidden under the hood.

For the European market, the machines have 36 forward and 36 reverse speeds, six synchronised speeds on the main lever, three ranges and a high/ Kubota M7 series.

GLOBAL AMBITIONS OVER THE last four years Kubota Corporation has shown it aspires to being a global player in farm tractors and machinery, seen in its move into higher powered tractors, its French factory, the M7 tractor series and its buy-up

of implement maker Kverneland.

The company says it has spent €1 billion in agriculture in that time, €50m of this swallowed up in the M7001 series, and a similar amount in

the factory, which can make about 3000 tractors annually.

In 2015, Kubota’s European operation generated €1.5bn versus €0.5bn in 2014, contributing to total group turnover of €11.5bn.

Clamp gone without fuss

low splitter. Clutchless forward/reverse shifting is by an electro-hydraulic shuttle.

The large cab has a glass panel with shade to offer improved upwards visibility, a new loader

ANYONE WHO has had to roll back a silage clamp sheet

on a cold, wet, windy morning will know it’s not pleasant – lifting tyres half full of water and handling the smelly sheet. And it’s labour intensive.

So a new idea from Austrian manufacturer Wasserbauer looks to be the stuff of dreams for busy livestock farmers: the Wicky patented silage clamp cover remover.

It consists of mini-track type units placed on the top of the clamp, and when activated this effectively ‘winds’ the sheet around itself to uncover the clamp. It allows the clamp to be opened for access and just as easily closed to reduce secondary fermentation and bird contamination.

Suitable for clamps 5-9m wide, the track units are said to be easily assembled and set up.

Only the outer units need to be driven; the inner units act simply as supports when the sheet is rolled up.

Units are powered by batteries recharged from a nearby station; remote control is effected from a fob-style device.

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with easy removal, and the maker’s new KSR (Kubota shockless ride) shock absorbing system to improve the ride on rough ground and reduce wear and tear over the machine’s life.

Three point linkage is said to lift 4.1 tonnes, hydraulic output is 80L/ min and the selectable PTO offers 540 or 540E speeds.

Deliveries are expected late in 2017.

Tyres not all black, round HANDS UP who’s walked into their tyre dealer to ask “what’s the best price on tyres for my ute?”

Of course, the question should be “what’s the best tyres for my ute considering the work I do?”

The humble ute has become a dual-purpose vehicle: farm duty during the week, family wagon for the weekend.

But on weekends, the $75,000 truck might be pulling a $70,000 boat, with the whole family on board – and the dog – yet running on tyres bought at a knockdown price and not truly up to the job.

So says Simon Billington, manager at Exclusive Tyre Distributors, which imports, amongst other brands, Coopers Tyres, whose band of loyal followers like the tyres’ extended life, guaranteed to 80,000km.

The US market, using 200 million tyres a year, is heavily regulated by the Dept of Transportation which tests tyres for a UTQG rating which covers tread wear, traction and temperature.

A higher tread wear number indicates the tyre should last longer; for example the Coopers CS5 has a rating of 780, meaning it should last 7.8 times longer than the testers’ control tyre.

The traction rating displays a tyre’s ability to stop in the wet (ratings from AA = best to C = worst), and the temperature grading looks at resistance to heat generation, the likely cause of blowouts or delamination (A = best, C = worst).

Billington suggests key questions for intending tyre buyers to ask their dealers.

Discuss what you need from your tyres: are you always on sealed roads, or is off-road part of daily life?

Look at a range of tyres: are they 5-rib or 4-rib design?

The former is generally a tyre for highway and all-terrain use, while the 4-rib is for off-road use.

Look at the ‘paddle gaps’– the gaps between the tread blocks, and the ‘land to sea’ ratio. Regular tread blocks and narrow deep grooves are highway tyres, angle blocks with deep, wider channels are better for dispersal of mud.

Get the dealer to show comparable brands, because tyres theoretically same size might have up to 15% less tread width – the all-important contact patch with the road.

Finally, look at the tyre’s tread depth from new: some brands start life with 8mm of tread, but premium brands are likely to have 15mm of depth.– Mark Daniel

DAIRY NEWS NOVEMBER 29, 2016

MACHINERY & PRODUCTS // 27

A Claas of its own Claas’ Variant 400 series round baler.

MARK DANIEL markd@ruralnews.co.nz

CLAAS HAS unveiled its twomodel Variant 400 series round balers, due for release in New Zealand and Australia in 2017.

Improvements to the intake, crop flow, wrapping and maintenance systems are said to make the machines more powerful, reliable and easier to use when harvesting all kinds of crops.

The Variant 485 produces 0.91.8m diameter bales, and the Variant 470 produces 0.9-1.55m bales, both in widths of 1.2m and optionally either Roto-Feed or Roto-Cut, non-chopping or chopping configurations.

A new star rotor structure turns through 360 degrees instead of the current 180 degrees. In the Roto-Cut version this equates to the 14 knives achieving 6000 cuts per minute, and ensures material is even across the width of the bale chamber, helping to create uniformly shaped bales –

Wash-down nozzle wins award ideal when baling narrow, uneven swathes.

A dual roller crop press, already in use on Jaguar harvesters and Quadrant balers, is now also available for the pick-up, and can be adjusted for varying crops without the need for tools. It ensures a more uniform and faster crop flow, allowing higher operating speeds.

The Pro specification includes an extra-large (2.35m) pick-up width with hydro-pneumatic suspension, a moveable cutting

floor which automatically drops if there is a risk of blockage, and oscillating castor guide wheels that fold and reduce transport width.

The 400 series has edge-toedge net wrapping as standard and modifications to the intake chute where a plate assists net or twine into the chamber to promote instant start for the tying process. When net is being used, a new spiral roller ensures netting stretches from one corner of the bale to the other, and an optional

wider 1.3m netting trough can also help lay netting over the edges of the bale, creating a rounded edge.

Further improvements include a reinforced front frame for low-wear belt guidance, a wide lubricating brush that coats all chains with oil, and a redesigned tailgate pivot which allows bale discharge in no more than six seconds. www.claasharvestcentre.co.nz @dairy_news facebook.com/dairynews

A YARD wash-down hose nozzle that cuts water use

by 30% has won a 2016 Best Award.

The Ag Oxijet nozzle draws air into the flow, allowing water velocity but saving on actual volume consumed. Flow rate is 170L/minute.

The nozzle body is made of aluminium alloy, more robust than commonly used plastic nozzles, the maker says.

A replaceable bumper with an ergonomic grip ensures easy use in all weather.

The nozzle is best used with a 3.5-7.5kW pump; it has a 40mm connector. www.felton.co.nz

SPECIAL REPORTS TRACTORS & MACHINERY Quality machinery is essential for the efficient operation of any dairy farm and this issue of Dairy News will take a special look at the latest in Tractor and Machinery technology.

To be in this special report contact your advertising representative now to promote your products and/or service to all NZ dairy farmers and sharemilkers.

Contact your closest Sales Representative

National Sales Manager Ted Darley ............ Ph 07-854-6292 Auckland Stephen Pollard .... Ph 09-913 9637 Wellington Ron Mackay ......... Ph 04-234 6239 Christchurch Kaye Sutherland ... Ph 03-337 3828

FEATURE: BOOKING DEADLINE: MATERIAL REQUIRED:

13 December

30 November 6 December

As a side dress to boost crop growth SustaiN’s the perfect fit.

Nitrogen uptake is essential for crop growth – and a well-timed side dress of nitrogen will have a big impact on your yield. But when rainfall can’t be relied on, the risk of nitrogen loss is high.

SustaiN is a nitrogen fertiliser that’s proven to reduce nitrogen loss through volatilisation by up to half. Powered by Agrotain nitrogen stabiliser, SustaiN is backed by New Zealand trials and 20 years of international testing. It’s a smart, efficient side dress that’ll protect your investment and give you your best shot at success.

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Dress your crops for success this season. Talk to your Ballance Nutrient Specialist, your local merchant, or our customer services team on 0800 222 090.

AGROTAIN® is a registered trademark of Koch Agronomic Services.