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Tributes for retiring ‘Jim the farmer’
DOING WHAT is right, not what is easy, has been the hallmark of Jim van der Poel’s leadership of, and advocacy for, the dairy industry, attendees at the DairyNZ annual general meeting heard last week.
The AGM, held in Christchurch, was van der Poel’s last as chairman of the board, and featured a tribute from former board member, Dairy Holdings chief executive Colin Glass.
“I can think of no other that has given more to the service of, not just DairyNZ, but this industry, than anyone else in New Zealand,” said Glass.
Van der Poel is stepping down after a dairy industry governance career going back a quarter-century through the old Dairy Board, the DairyNZ predecessor Dexcel, and Fonterra.
“Jim made the comment tonight and it’s a comment that I have heard I don’t know how many times sitting around that board table, is that it is for us as governors to do not just what is right, but we must not do what is easy.”
Glass, who himself served six years on the DairyNZ board, said that van der Poel’s contribution in terms of the sheer hours of homework and collaboration and reaching out was second to none.
“But for me what I witnessed firsthand was effectively the reset that the dairy industry has had in
New Zealand.”
Glass said that when he joined van der Poel on the DairyNZ board a Labour-Greens coalition government was in power.
“At that time dairy was frowned upon in Wellington. In fact, nearly everywhere we went we were apologising or feeling like we were needing to apologise for being dairy farmers.
“But Jim, through wearing out shoe leather - I don’t know how many layers of shoe leather that must have been worn out - but through reaching out to all sides of the house in Wellington he effectively got dairy and particularly DairyNZ back where it mattered.
“And I saw firsthand the number of issues that came up over that
next period of time that, if it wasn’t for the efforts and energy of Jim, we would have found ourselves in significantly worse situations than where we got to in the end.”
Glass said van der Poel had earned unbelievably strong support from farmers due to his empathy with farmers and understanding of farmers and farming systems.
Sitting around the DairyNZ board table absolutely drummed home that farmers learn from farmers, he said.
“Jim’s contribution to dairy started with Jim’s contribution as a farmer. And he to me, will always be Jim the farmer.”
Glass described van der Poel and his wife Sue as “a couple that have an unbelievable knowledge of
farming systems and unbelievable knowledge of what it means to drive a successful farming business”.
A video tribute was played which included messages from Sir Dryden Spring, Dame Jacinda Ardern and Barbara Kuriger.
Van der Poel said it had been an extreme honour to have served “the most important industry in New Zealand”.
“Having farmers’ support for 25 years, that’s not because we always did what farmers wanted us to do, or we always did what was popular.
“What we always tried to do was what was right.”
Farmers would generally respect that even if they did not necessarily agree, he said.
“It’s important not to be influenced by the last two or three people you’ve talked to. And it’s important that you’re not influenced by the people who shout the loudest.”
Meanwhile, the AGM also heard the result of the vote for two farmerelected vacancies on the board, for which there were three candidates.
Sitting member, Tirau farmer and agronomist Jacqueline Rowarth, was re-elected and Federated Farmers Dairy Chair, Richard McIntyre, from Levin, will newly join the board.
Chair-elect and Matamata farmer Tracy Brown will be confirmed as chair following a formal board process within two weeks.
Global digital platform for Claas. PG.12
Returns from maize silage. PG.10
NIGEL MALTHUS
Retiring DairyNZ chair Jim van der Poel and chair-elect Tracy Brown at the AGM last week.
Spierings’ chequered stint at Fonterra
NOT TOO many dairy
industry leaders were keen to publicly comment on the sudden passing of former Fonterra chief executive Theo Spierings.
This is understandable, given that the Spierings era at the dairy co-operative isn’t remembered fondly by many Fonterra farmer shareholders. As the saying goes, “If you don’t have something nice to say, don’t say anything at all”.
The 60-year-old Dutch dairy executive’s sevenyear stint at Fonterra had everything: a false botulism scare involving its whey protein concentrate that led to a global recall of infant formula and other milk products; two consecutive years of sub-$5/kgMS payouts; an ambitious plan to establish global milk pools that failed to deliver shareholder returns; the launch of Fonterra Milk for Schools scheme; not to mention criticism of his exorbitant pay packet.
Spierings’ multi-million-dollar salary pack-
age, which had climbed to $8.3m in the 2016/17 financial year, just prior to his 2018 departure, raised eyebrows at a time when farmer shareholders were struggling to stay afloat and the co-op was losing money and laying off workers. In the end, Spierings quietly left New Zealand and went on to establish The Purpose Factory – a Dutchbased foundation and consultancy focused on global sustainable development goals and business transformation and innovation.
A statement from that company says Spierings died unexpectedly on Saturday, October 19 in the Netherlands after a brief illness. His legacy, and the impact he had on those he worked with and who knew him, will be remembered fondly, the statement says.
Former Federated Farmers dairy chair and Ashburton farmer Willy Leferink says that it’s sad to see a man pass away at his age.
“My condolences to his family. In another time he would have probably been the right man for Fonterra,” Leferink
told Dairy News “He’ll be remembered for spending a lot of money on policies that in hindsight may not have been the best ones at the time. Luck was not on his side when the EU ditched milk quotas
and opened the production taps which made the world awash with milk products. He also had to deal with some massive contamination issues, which caused him probably sleepless nights.”
Current Feds dairy
chair Richard McIntyre says he was also saddened by Spierings’ passing.
“He was at the helm of Fonterra during a difficult period of change and low milk prices,” McIntyre told Dairy News
“He contributed a huge amount to the dairy sector internationally.”
The Purpose Factory statement notes that Spierings had more than 30 years’ experience in the dairy industry, including as acting CEO of the Dutch Royal Friesland Foods dairy co-operative, chair of the Global Dairy Platform and CEO of Fonterra.
Fonterra didn’t have much to say on Spierings’ passing either.
“We’re saddened to learn that Theo Spierings has passed away. Our thoughts are with his family at this difficult time,” a spokesman told Dairy News
One former director was more forthright, telling Dairy News that he would rather not comment, before adding “he was an incompetent CEO in my opinion and his errors of judgement cost farmers billions”.
However, on social media former Fonterra executives had good words for Spierings.
One recalled that he turned up in 2011 and questioned why Fonterra didn’t have a sustainability report, at a time when
DAIRYNZ LEVY TO INCREASE?
RETIRING CHAIR Jim van der Poel
has used his final AGM to announce the intention to increase the DairyNZ farmer levy for the first time in the industry-good body’s 17-year history.
only a handful of NZ companies were producing such reports.
“He, just quietly, appointed many women to senior roles within Fonterra. He brought in training on how to draw on your personal story to be an effective storyteller and leader. He talked to you with energy and passion, expectation and belief. You sought to rise to the occasion.”
Another credited Spierings for the Fonterra Milk for Schools programme.
“He provided many of us with the privilege to be part of the development, launch and success of Fonterra Milk for Schools. He deeply cared for children’s nutrition and enabling another way for Fonterra farmers to contribute to their communities and the health of our future.”
A former member of his executive team noted that he was a good man “who I was proud to work for”.
“He brought much to a young and complex Fonterra. His legacy is much more than is publicly remembered. I will miss him.”
“However, to continue to deliver to farmers, and to balance the books, we have previously drawn down on cash reserves. This of course, is unsus-
Staff numbers have been trimmed and van der Poel praised the DairyNZ team for doing a great job of adding value and reorganising to be fit for purpose.
tainable into the future. This means DairyNZ must look to lift the farm levy for the first time in 17 years, he said. The levy has stood at 3.6 cents/ kgMS since DairyNZ’s establishment.
Van der Poel said DairyNZ would consult with farmers before any decision is made, and that was likely to happen early next year.
“This is not an easy decision, but we have to find more funding for essential science and research in the face of rising costs, and to ensure financial sustainability to position the sector well for the future.”
The decision would be separate to the six-yearly levy vote which gives farmers the opportunity to reaffirm or otherwise their continuing support for the DairyNZ levy, which is next due at the end of 2026.
SUDESH KISSUN
Fonterra’s former chief executive Theo Spierings (left) and former chairman the late John Wilson on a dairy farm in a photograph taken in 2011.
‘Quite a journey’
effect earlier this month.
FORMER SYNLAIT chief executive Grant Watson says the past two years have been quite the journey.
Watson, who stepped down last week, says now feels like the right time to leave the company following a turbulent period at its helm.
“It’s been quite the journey, I have to say, over the last two-andthree quarter years, but I’m really proud of the reset we’ve taken the business,” he told Dairy News. “So, for me, it certainly feels like the right time to leave.”
Watson’s decision follows a disappointing financial result which saw a 61% profit loss and a 221% drop in operating cashflow.
Those followed a difficult year for Synlait, one in which many farmers issued cessation notices.
However, Watson says he’s confident that “the business has really good momentum”.
“Financially, 2025 should be a really good year for Synlait, and for me personally, it’s time to decompress, time to spend some time with my family,” he says.
Despite the turbulence of the past few years, Watson says there have been some successes, among them the recapitalisation plan which took
The plan saw Bright Dairy of China increase its shareholding in Synlait from 39% to 65%, while a2 Milk Company’s stake remains at 19%.
“Between the shareholder loan from Bright Dairy and the equity from Bright Dairy and a2, injecting $350 million of new capital into the business when you’re sitting on a market capitalisation of $70 million is a real achievement,” Watson says.
He adds that another significant milestone in his time as chief executive was the strategy reset which he says enabled the company to diversify growth. “We’ve now commercialised the plantbased product in the North Island. We’ve also launched the highly profitable foodservice cream in the South Island.”
Coming off a tumultuous financial year, Watson says Synlait will need to continue its newfound momentum.
“Off the back of the reset, we’ve been through the foundations of the business,” he says. “We’ve paid down debt, we need to keep going.”
He says that in terms of lifting production, demand, and cost, the company has experienced good momentum. “That needs to continue to increase profitability.”
Finally, Watson says it will be important for the company to retain its
MILK VAT manufacturer DTS is selling its dairy automation business to MilktechNZ.
Effective from this week, MilktechNZ takes over ownership of MilkHub and will be providing support for the installation and service of Manual and Auto-Drafter, in-line milk sensors, in-bail identification and Herd-Man software and app.
Hamilton-based MilktechNZ is known for its CR-1 electronic cup removers, and for creating simple, clever dairy technology for today’s farmers worldwide.
DTS chief executive Gavin Thwaites says he has full confidence in the capabilities of MilktechNZ.
“With over 80 years of combined expertise in dairy technology and automation, their leadership team is exceptionally equipped to support and further evolve the dairy automation business ensuring it meets the demands of customers,” says Thwaites.
MilktechNZ chief executive and founder Gustavo Garza says his company is excited about the acquisition of MilkHub into the MilktechNZ portfolio.
suppliers.
“Obviously, we’ve had a lot of cease notices that were put into the company and we’ve put a programme in place to withdraw those cease notices and that’s been received really well, but it’s about making sure that that milk supply
moving forward is shored up and gives the company the certainty it needs,” he says.
Watson will be replaced temporarily by Dairyworks chief executive Tim Carter, who has been appointed acting CEO of the company from 21 October.
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JESSICA MARSHALL
Former Synlait chief executive Grant Watson.
State farmer opens pathway to ownership for more Kiwis
IN A landmark move, the state-owned farmer Pāmu (Landcorp) is making
four of its 44 dairy farms available for people wishing to take up various contracts including herdowning, share milking, variable order share milking and contract milking.
This is the first time that any of its farms have been made available in this way and is seen as a move to drive ‘shareholder value’, meaning a better return to the Government who owns the conglomerate.
The move is expected to free up capital for the state-owned enterprise and to put performance at the forefront of its
decision-making.
Two of the farms are located near Taupo in what is known as the Broadlands hub, one in Canterbury and another near Greymouth on the
or direct to the
West Coast of the South Island. Pāmu says the farms range in size from 400 to 1000 cows.
Pāmu chief operating officer Will Burrett says in the past they had the mechanism to develop people internally, within the context of their own internal management systems.
But they lacked the ability to hold onto them as they matured and wanted to take the next step – to gain some form of equity.
“Sharemilking is really the pathway of equity growth into farm ownership, so for us to be able to offer that to our people is a natural evolution in our pathways of opportunity that we need to be providing,” he told Dairy News
Burrett says those taking up one of the options will not be able to end up buying the farm, but in future this may change, depending on the expectations of the shareholder – the Government.
He says at this stage Pāmu is offering a vehicle of equity growth for people to build their equity and buy either properties or other interests.
“So at the moment it will be growing equity within an operational framework, not a land ownership framework within Pāmu,” he says.
The contracts any people sign with respect to sharemilking or other
forms of contracting will be the same as offered in the private sector, says Burrett. He says such contracts are well known and tried and true.
He adds that those taking up such contracts will have access to courses and other benefits offered to other Pāmu staff, and in future, such courses may change to meet the new needs of these people.
According to Burrett, Pāmu doesn’t have a problem retaining staff but acknowledges that in the past they have lost very good operators who have gone onto the next step of contract milking because they couldn’t offer them that opportunity.
He says one of the factors behind this latest move is driving high performance across the company.
“The reality is that when people have skin in the game, as for example a sharemilker does, they tend to lift the bar because there is an incentive to do so,” he says.
Burrett says when the bar is lifted, it’s like an incoming tide where all boats rise.
When a farmer looks over the fence and sees their neighbour performing well, that often incentivises them to lift their game. He says the hope is this may happen within Pāmu.
Pamu chief operating officer Will Burrett says some very good operators left to become contract milkers because they couldn’t offer them that opportunity.
Sage advice from alumni
ALWAYS
BE on the lookout for new job opportunities and get outside your comfort zone.
These were the words of advice from Massey Alumni graduate Abby Scott to graduates at this year’s gala dinner.
She was the guest speaker at the annual prize giving for the top students in Massey University’s School of Agriculture and Environment – a sell-out event attended by more than 200 people that included students, academics and primary industry leaders
Since graduating from Massey, Scott worked at DairyNZ but is now working for Rabobank in Masterton. She grew up on a dairy farm in
the Wairarapa and while studying at Massey had an open mind on what direction her career would take. She says what she found was that her degree gave her a huge menu of options to choose from in terms of a career path.
“The degree gave me the technical knowledge and the confidence in the industry. I enjoyed seeing the research trials and getting out on the farms,” she says Scott says since leaving Massey, she hasn’t stopped learning and says a big part of that is how to work with people. She says people don’t care what you know until they know that you care about them. She says developing good relationships is key – as is networking and building a wide range of contacts who share
“The degree gave me the technical knowledge and the confidence in the industry. I enjoyed seeing the research trials and getting out on the farms.”
similar goals and sense of purpose.
“In terms of a career look for and take opportunities as they arise,” she says.
Scott says for the farm consultant, change is a part of the business and says nowadays with farming becoming more
complex, the consultant needs to keep up with the play to serve their clients properly.
For young people still at secondary school and
thinking about a career, Scott says a degree in agriculture in whatever form is something they should look at seriously because of the huge range
of exciting career options it opens.
The winner of the top prize at the graduation was Yeun An, who probably also won the prize for the greatest distance travelled to attend – travelling from a sheep station in Tasmania to receive the prestigious William Gearish Memorial Award, presented to her by Professor Nicola Shadbolt
Auckland born An was two years into a chemical engineering degree at Auckland University when she worked on a dairy farm during the summer break.
“I suddenly got hooked and realised that agriculture was from me, so changed my study path and came to Massey,” she says.
Two years into her degree at Massey she got offered a role as a shep-
herd on sheep station in Tasmania and completed her final degree year by distance. She’s also worked on a cattle station and after receiving her prize, is flying back to her job in Tasmania.
Another Aucklander, Katya de Silva, won the top prize for excellence in agriculture. A city girl who loves the outdoors, says while at school she picked up on the fact that people had a poor understanding of the primary sector and what farmers do.
“People don’t realise the challenges that farmers face navigating issues such as climate change and environment,” she says.
In the coming year she’ll be working to Te Tumu Paeroa, the Māori trustee, as a whenua services co-ordinator.
Abby Scott
$500k for chair
FONTERRA’S CHAIR will be paid nearly $500,000 if shareholders approve a proposal by the directors’ remuneration committee.
The DRC recommends a $14,000 fee hike for Peter McBride, taking his annual fee to $498,000 –making him one of the highest paid board chairs in the country. Board members are also in line for a $5,500 increase, taking their annual fee to $202,000.
The DRC confirmed that small incremental annual increases in fees continued to be its preferred approach, rather than having periods of no increase followed by large uplifts. Six years ago, the chair was paid $420,000 and board members $175,000. Fonterra shareholders will vote on the proposal at its annual meeting on November 14 in New Plymouth.
Musical chairs
DAIRYNZ’S DIRECTOR elections has seen scientist Jacqueline Rowarth re-elected for another three-year term. Does this mean the experienced agribusiness director and academic will get her deputy chair role back?
In June it was announced that DairyNZ chair Jim van der Poel and Rowarth would step down in October. Matamata farmer Tracy Brown, a farmerelected director since 2019, was named chair-elect.
However, Rowarth was surprised by the number of farmers expressing their regret that she won’t be continuing in the role and changed her mind a month later.
The DairyNZ board meets soon to ratify the appointment of chair-elect Tracy Brown.
Brighter future
THE ABRUPT departure of Synlait chief executive Grant Watson could be a sign that Chinese company Bright Dairy, the new majority owner of the listed company, is taking charge.
Watson was a key figure involved in negotiations that led to the troubled milk processor securing a lifeline. But with Bright now in control - lifting its stake from 39% to almost 65% - they get a free hand in deciding how the company is run.
Does Watson’s departure also mean that the days of nonBright directors on the board are numbered?
It’s clear that Synlait needs to be run differently to ensure a brighter future. Early indications are that Bright Dairy is thinking the same.
Feed from farmers
THE COUNTRY’S dairy farmers will now also have a hand in providing free lunch for schools.
The Government’s new school lunch programme unveiled last week will cost $3 a lunch (down from $8) and save $130 million.
The Government had been working with local businesses, including Fonterra, to “transform” the school lunch programme, in a bid to save money.
Associate Education Minister David Seymour says the Government had “embraced commercial expertise, used government buying power, and generated supply chain efficiencies to realise over $130m of annual cost savings”.
Fonterra is already partnering with Sanitarium and the Ministry of Social Development means to provide breakfast as part of the KickStart Breakfast. Since 2009, the programme has served more than 70 million breakfasts and run in over 1400 schools nationwide.
EDITORIAL
Common sense prevails
FINALLY THERE’S clarity for farmers around freshwater management regulations. This coalition Government was voted in by farmers in part to either stop or repeal a raft of unworkable regulations imposed by the previous Labour government. But legislative changes haven’t been coming fast enough for many farmers.
For months now, regional councils have been facing a dilemma, whether to continue notifying freshwater plans in their respective districts as required by law under the National Policy Statement for Freshwater Management 2020 (the NPS-FM) or wait for the current Government to repeal the law.
Farmers accused some councils of stubbornly ploughing ahead with plans to implement expensive, excessive and impractical new rules for farmers. If councils pass these new rules, they will effectively lock in unobtainable freshwater bottom lines and NPS-FM requirements.
Federated Farmers says that would result in Labour’s NPS-FM being here to stay, despite the Labour government being voted out.
If that happens, all the new Government’s efforts to make freshwater regulations more practical, affordable or workable will make absolutely no difference behind the farm gate.
Federated Farmers has been incredibly vocal in calling for the Government to stop councils notifying these new rules.
Last week the Government finally acted. It’s moving an amendment to the Resource Management Act Amendment Bill, currently before Parliament, which will restrict councils’ ability to notify freshwater plans before the gazettal of the replacement NPS-FM. Farmers are hailing the Government’s move as a win for both them and common sense. The move could have come sooner. However, farmers up and down the country will be breathing a deep sigh of relief –better late than never.
SOUTH ISLAND SALES REPRESENTATIVE: Kaye Sutherland Ph 021-221 1994 kayes@ruralnews.co.nz
Standing up for rural people
Primary production select committee chair and ACT MP Mark Cameron recently contributed to the Resource Management (Freshwater and Other Matters) Amendment Bill — Second Reading in Parliament. Here are excerpts from his speech:
I DON’T enjoy conflation in this House, although I’ve just heard a fair amount of it. I’ve heard language like “barriers to exploitation”, as if somehow this Government is hell bent on destroying the environment. What we are trying to do is speak to pragmatism, and I just want to touch on previous remarks by the former Minister for the Environment, David Parker, who did speak to a perceived animus that rural New Zealand had for that gentleman. I don’t believe that is the case. I think the perceived animus was from farmers who were disgruntled by lawmaking that didn’t understand causality – cause and effect – and some of the hyperbolic statements from the member (Green MP) Steve Abel just now insert a sort of rationale, you might say, that we’re hell bent on destroying the environment. What an absolute nonsense. We live in the environment.
The member spoke about significant natural areas, and I want to delve into that. I want to delve into intensive
winter grazing. I want to delve into the national policy statement (NPS) for 2020 and what that looks like, and stock exclusion rules. And I’ll start in reverse order, if I may, about some of the remarks pertaining to not caring about animals; animals being knee deep – or hock deep, as we would call udder deep – in mud in intensive winter grazing. That is a reality.
Regarding the stock exclusion and intensive winter grazing legislation framework that we have proposed in this, that affords farmers a reality to feed their livestock to mitigate concerns about animal welfare. Feeding caloric value is what it’s called. So, we can introduce enough calories to our animals daily, because that part of the world doesn’t grow at that time of the year.
The NPS, when we are talking about freshwater, remarks about te mana o te wai – now, if I can frame that for this House: when you’re a farmer, when you’re a rural person, when you live in rural New Zealand, you hear all the time a hierar-
I don’t need to have evangelical sermons from said member lecturing me on how to plough a field. I do it daily. Why on earth would farmers in rural New Zealand want to see their sediment wash down a waterway?
chy of obligations, what it means in rural New Zealand. And it’s predicated on, in descending order, a set of “thou shall not”, if you might like, principled on spiritual, then cultural, then economic. Legislators in this House come into my backyard and say, “You can’t do that.” That is a nonsense. The mauri or the lifeforce of the water – former Minister Parker mentioned that somehow it wasn’t being exercised by councils. Councils can’t even interpret this themselves. They’re saying to us that they don’t understand, and it quite literally could mean changing a water course to alleviate, in
some of the submissions we heard, said flooding is changing the mauri or the lifeforce of the water. And yet that member over there and others say that te mana o te wai is not a problem, with the adherence to the hierarchy of obligations. Well, I’d wager anyone that it absolutely is.
Stock exclusion rules and intensive winter grazing was canvassed ad nauseam in the select committee. And I just want to commend all my committee. They work collegially, they work hard, we debate the issues, and I think we represented New Zealand in our capacity well. But I make a couple of observations. I am a farmer. That is a practical reality of feeding animals in a part of the world that has lim-
ited growth at that time of the year. It is a nonsense that the members opposite would assert –former Minister Parker referenced this before –sedimentation loss. We as cow cockies, wool growers, farmers, everyday people, talk about the top four inches. That is gold to us. I don’t need to have evangelical sermons from said member lecturing me on how to plough a field. I do it daily. Why on earth would farmers in rural New Zealand want to see their sediment wash down a waterway?
To Minister Parker and other members that criticise and critique, I would say that is a nonsense. We don’t do that. That’s the kind of asset we’ve spent an inordinate amount of money on
a mortgage trying to preserve. It is a practice, and we do everything, to try and alleviate that: riparian planting, buffer zones, minimum areas that we would not otherwise, you might say, harvest for winter grazing purposes, or certainly cultivate.
Now, you try and reconcile that when you’re a rural New Zealander, when now the council has veiled the entire property, which you own a mortgage over, and said factually the way you farm is going to have to change because it is deemed a significant natural area.
That’s why we changed the legislation. We are economically depressed. I am tired, as a rural New Zealander, having been beaten up by people that do not understand my life, that farm-
ing people are not being listened to.
There have been assertions made that we must do more to care for the environment, whether it’s significant natural areas, whether it’s issues to do with intensive winter grazing, whether it’s to do with freshwater and the NPS for freshwater. All the above are the kinds of things that we as farmers, wool growers, cow cockies, we live with every day. We don’t need to have it lectured to us by this place. We live with it. That is our backyard. We own a mortgage that protects it, and we do damnably well to try and create tomorrow being a little bit better than today. This legislation affords that. It creates the environment that somehow will get a little bit more economic security, you might say, with all the difficulties that are being thrown against rural New Zealanders. Some of it is climate, some of it is market driven, some of it is silly lawmaking, both current and former, all of which we must reconcile and debate.
I will not apologise to this House and anyone in it for standing up for rural people and an outcome that creates a slightly better tomorrow than today.
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ACT MP Mark Cameron says that as a rural New Zealander, he’s tired of having been beaten up by people that do not understand his life.
Understanding marginal return from growing maize silage
MUCH HAS been discussed in recent seasons about the rising costs of production on dairy farms, and rightfully so.
Although we’ve seen input costs flatten out over the past six months, prices have risen by 24% since early 2021. This has led to all areas of farm businesses being scrutinised to ensure they still deliver a positive return in this higher-cost environment, including growing maize on-farm.
It’s also important to balance rising costs with changes in milk price, which has increased by similar levels over the same period. So, while cost control remains critical, we also need to remain focused on the margin generated from any expense incurred within the business. So, in the context of growing maize on-farm, what are the critical elements to ensure a positive margin is achieved?
1. Input Costs
Growing costs, including seed, cultivation, spraying, fertiliser, labour, and machinery are important. At Pioneer, we review these annually and publish them in our catalogue and on our website. However, we encourage farmers to calculate their own costs based on their local conditions.
For the 2024/25 season, per hectare growing and harvesting costs were calculated at $4,035
to $5,250 for high and typical fertility environments, respectively. High fertility environments including paddocks with a history of effluent application, may not require any additional fertiliser hence the lower growing costs.
When determining the real cost of growing maize on farm farmers must also consider the opportunity cost of pasture forgone and any saved costs e.g. not harvesting surplus pasture. By dedicating paddocks to maize silage, farmers forgo the ability to harvest maybe 6-8 t DM/ha of pasture during that period. So, the net cost to cost to grow maize on farm is often between 20-30c per kgDM, which is still favourable relative to imported feed options.
2. Yield Potential
Maize’s yield potential is one of its biggest advantages. Every additional tonne of dry matter harvested can reduce the overall feed cost by approximately 1c per kg DM. Recently, I listened to a colleague, Dr Rowland Tsimba, present
that maize has the potential to yield as much as 40t DM/ha. While this may raise eyebrows, the key factors that drive yield potential are what farmers should focus on.
These are:
■ Select the right hybrid and plant at the optimum density to ensure the crop intercepts the most radiation and achieves the highest possible yield.
■ Establish a healthy, vigorous maize stand by applying good tillage practices that optimise soil-to-seed contact.
■ Plant in soil temperatures above 10°C and avoid planting in very wet conditions.
■ Conduct soil tests to determine nutrient status and identify which nutrients may limit yield.
■ Synchronise nutrient applications to match
• Ideal for Cattle Troughs
• High Flow
• Side/Bottom Mount
• Detach to Clean
the plant’s requirements, e.g., side dressing nitrogen at critical growth stages.
■ Monitor the crop to minimise the impact of weeds and pests that can inhibit plant health and yield.
3. Minimising Wastage In well-managed systems, silage wastage may be as low as 10%, but poor feed management can push wastage rates as high as 50%. When wastage is high, the effective cost of maize silage increases significantly,
eroding the potential economic advantage.
For example, a 5% increase in feed wastage can add 1–2c per kg DM to the total cost of feed. Therefore, reducing wastage through proper storage, handling, and feeding systems is essential for maximising the marginal return from maize. Key management practices that help minimise wastage include:
■ Harvesting within the optimum dry matter range (30–38%).
■ Compacting, covering
and sealing the stack: Proper compaction during stacking and covering with tyres touching enhances the ensiling process.
■ Using proven inoculants can increase drymatter recovery during fermentation and feeding out.
■ Effective feed-out practices: Remove only as much feed as needed each day, keep the stack face free of loose material and ideally feed on a feed pad.
4. Response to Supplementary Feed
The economic return from feeding maize silage depends largely on how effectively cows convert the extra feed into milk or body condition gain. The milk response, measured in grams of milk solids (MS) per kg DM fed, varies depending on a number of factors including wastage, substitution, feed quality, timing of feeding and cow health.
Research shows that milk responses to supplementary feed typically range from 0 to >100g MS per kg DM. We know that under ideal conditions the response to maize silage can be even higher. Feeding maize silage to achieve the highest milk response possible is critical to achieving a positive margin. Key factors that improve milk response include:
■ Increasing days in
milk by maintaining a high proportion of peak-milking cows into late lactation and/ or supporting earlier calving.
■ Using extra feed to support a higher stocking rate
■ Meeting body condition score targets can deliver an immediate and carry over milk response because of improved reproductive performance and a faster calving rate.
■ Preventing under or overgrazing of pasture can lead to increased production and utilisation.
5. Bringing It All Together
Even in this higher cost environment, when done well, growing maize silage on-farm is still an effective way to reduce the cost of supplementary feed. Beyond cost, factors like yield, feed wastage and milk response should all be considered when assessing whether growing maize on farm is right.
Top operators achieve high maize yields, minimise waste and efficiently convert the additional feed supply into milk to maximise profit margin (Table 1).
*Whole farm margin assumes maize grown on 10% of the farm area.
• Wade Bell is Genetic Technologies farm systems manager. Contact him at wbell@genetic.co.nz
• Compact/Robust
• Up to 50mm Inlet
• Flows up to 600L/min
• For Storage Tanks
• Easy Access to Valve
• Inlets Upto 50mm
• Avoids Starting & Stopping of Pump When Tank is Filling
Table 1: Marginal returns from growing maize silage on a high fertility paddock and managing the feed well.
In well-managed systems, silage wastage may be as low as 10%, but poor feed management can push wastage rates as high as 50%.
AI helps detect lameness early
DAIRY FARMERS can boost their reproduction success this mating season by prioritising hoof health and early lameness detection to keep cows in top condition and make the most of a promising forecast payout, according to agritech company Herd-i.
The company says it will be taking this message to dairy farmers during its on-farm demo days in Southland this week.
With a positive payout forecast, Herd-i area sales manager Bernard Anselmi says there’s an opportunity to get ahead of herd health and maximise reproductive performance this season.
The company refers
to DairyNZ’s InCalf Book which states that, “lameness may stop [a dairy cow] from getting in calf because she stops eating and loses weight and won’t show a good heat.”
This is often because lame cows experience more stress and have reduced mobility, making it harder for them to show signs of oestrus and successfully mate.
Anselmi says Herd-i assists with early lameness detection which helps farmers stay on top of health issues, keeping cows productive and reducing costly setbacks.
“In a strong payout season, every healthy cow means more milk in the vat and more profit.
mance and milk production.”
“For farmers looking to make the most of the payout, every empty cow is a missed opportunity.
The key is to spot lameness early and take action before it hits fertility.
“Early detection means early treatment, which can significantly reduce the long-term impacts of lameness on both reproductive perfor-
Herd-i is a leader in AI-powered technology that helps improve herd health and performance. Herd-i Locomotion uses an EID reader to identify each cow as she exits the shed. A small camera then tracks her movement, streaming the video to a cloud-based server where machine learning analyses her gait and assigns a lameness score based on DairyNZ’s industry-standard scale. Results are displayed on a straightforward dashboard, allowing farmers to set alerts, track trends, and act quickly.
A 2023 DairyNZ study found, on average, farmers only identified 27%
of lame animals in their herd. This highlights the need for technology like Herd-i to identify lame cows.
Herd-i is encouraging farmers to work closely with their vets to build a robust lameness management plan and respond to any issues quickly. A proactive plan that includes regular monitoring and early treatment will not only help maintain herd productivity but also reduce treatment costs in the long run.
“While preventative measures like good nutrition and maintaining races and yards are essential, having an effective early detection system in place is the best way to stay on top of lameness,”
Data connection made easier
NEW HOLLAND and Case IH are introducing new advancements in their precision technology stack to make farming easier and more efficient for customers.
FieldOps and Connectivity
Included have become part of duo’s technology offering that is designed to help customers have a seamless experience across New Holland and Case IH’s digital and connected platforms.
Now live and available for download in the App Store and Google Play, FieldOps is a farm management tool, said to help farmers expand their productivity from anywhere at any time, by taking their farm operations data and details and bringing them into one platform that is easy to use, understand and connect.
Built for users at every skill level,
crop specialty, region and size of operation; by using a mobile connection or Wi-Fi, Australasian farmers will be able to monitor every machine, remotely view in-cab displays to offer better feedback to their operators and
see layers of agronomic data, in one place, allowing more to be done with fewer clicks.
Customers can download the new mobile app to view their connected machines, while existing MyPLM
Connect and AFS Connect users can safely transition to FieldOps, knowing their data will already be there when they log in.
To make data management easier, FieldOps has over 40 API connections available globally, allowing for integration with third-party digital platforms. Customers can choose how they own their data, deciding to import it all into FieldOps or to export the FieldOps data to another platform. This removes the need for unnecessary data re-entry, making the overall digital experience easier across an entire farming operation.
“Connectivity Included” is a new feature that grants customers limitless connectivity with no recurring subscription fees, on qualifying machines built on or after October 1, 2024. This offering provides data and
says Anselmi.
“Traditional methods like hoof checks and visual observation are useful, but it’s easy to miss subtle signs, especially when you’re busy or short-staffed.
“By using advanced technology like Herdi, farmers can easily and accurately identify lameness early and treat it long before it affects fertility and production.”
To show how Herdi’s system works on-farm, the Herd-i team will be hosting two free demo days in Southland on 29th and 30th October.
For more details on the farm demo days, visit the Herd-i website - herd-i. com.
remote support to farmers without managing or renewing a subscription. Said to be a completely new approach to connectivity that makes data accessible by simply making it a baseline feature on the selected models, it can expand the reach and utility of connected features. Customers with existing machines and capable telematics modems can purchase
Connectivity Included functionality for a one-time fee via their local New Holland or Case IH dealer.
Jeremy Duniam, head of Precision Technology at CNH ANZ, says “We are offering our customers a tool that adds significant value and ease of use. Through the engagement of many Australian and New Zealand customers we had the opportunity to shape this platform via the extensive beta testing completed”. – Mark Daniel
Bernard Anselmi area sales manager Herd-i.
FieldOps helps farmers lift productivity from anywhere at any time.
Digital platform linking Claas offerings from around the world
A NEW digital platform by Claas, that went live in over 30 countries on October 1st, provides a direct link to all digital solutions in the Claas product world, while also connecting farm employees, managers, machines and dealerships.
From the tractor, harvester and implement, the system incorporates machine management to farm management, in the cab, via a mobile device or in the farm office.
Claas Connect provides visibility of machine location and progress, allowing workflows and machine performance to
be analysed and improved in a purposeful manner. Additionally, communication via the app and CEMIS 1200 makes farm machine data available on the go, to help simplify fieldwork for farm managers and employees.
Since the start of 2024, around 200 beta customers in five countries have been testing the system, enabling valuable practical experiences to be incorporated into the standard version.
The new Claas Connect combines digital solutions for machine management, farm management and Claas Service in one user interface with one Claas ID. That Claas ID is issued on registration and can be
assigned different roles in different organisations.
Claas claims to have over 25 years of expertise in digital solutions for machines, with milestones including yield mapping on the Lexion and the Agrocom, Telematics and 365Farm-
Net software solutions.
Drawing on that experience and discussions with customers, Claas Connect offers a user-friendly, cloud-based system, with access to all Claas digital solutions and services.
On the practical front, users can register at any
time, even before purchasing a Claas machine. They can create their desired machine in the Claas product configurator and request an offer and a demonstration. All Claas machines and implements are added to Claas Connect
on delivery, including all relevant data, documentation and licences, while users also get instant access to the Parts Shop, the dealership details and maintenance and service topics such as the Lubricant Advisor.
Users can add nondigital machines and implements to Claas Connect, with data from the third-party machines transferred to Claas Connect via DataConnect and ISO-XML task management.
Claas Connect is fully customisable by using different licences, so users can configure it to suit their needs, with a free 5-year Machine Connect licence as standard. This displays service,
maintenance and error messages and indicates the machine’s software status. In addition, it provides in-depth insights into machine deployment based on operating-time analyses, machine comparisons, daily reports and campaign reports as well as displaying tank fill levels, operating hours and machine settings (e.g. engine droop, chop length and concave gap). Further licences include Comprehensive Farm Management and Precision Farming functions that can be added to Claas Connect by purchasing Farm Connect, Field Connect and Fleet Connect licences – all offered with a 30-day free period.
MILK SUSTAINABILITY CENTRE LAUNCHED
THE RECENTLY announced Milk Sustainability Centre – a collaboration between global giant John Deere and milking and feed specialists De Laval – is said to deliver dairy farmers a new tool to enhance efficiency and sustainability, while also rising to the challenges of changing regulations that affect their businesses.
Available for customer registration, the Milk Sustainability Centre is described as an innovative digital
ecosystem that integrates agronomic and animal performance into one unified platform. Dairy farmers can use the system to monitor nutrient use efficiency (NUE) and carbon dioxide equivalent (CO2e) across their farm, herd and paddocks, while also collecting animal and agronomic data to help manage nutrient utilisation effectively, while at the same time reducing the chore of manual data input.
While helping to increase productivity, the system will also enable users to address the needs of dairy processors, retailers, and consumers more broadly. In future, users will be able to benchmark the data and use recommendations to make real-time changes that provide for an increase in productivity and a reduction in CO2 emissions.
Developed and powered by Dutch company Dairy Data Warehouse BV
(DDW), who have around 11 years of experience in providing ‘data solutions for sustainable dairy farming’, the Centre will help integrate machinery, milking equipment, and herd management software solutions into one platform.
The cloud-based platform integrates agronomic data from the John Deere Operations Centre and animal data from the DeLaval system, allowing third part consultants, nutrition-
ists and agronomists to provide wide ranging recommendations to the farmer.
Lars Bergmann, DeLaval, explains: “Currently, dairy farming involves using multiple unconnected software solutions, so the Milk Sustainability Centre brings these together to deliver a tool where farmers can save money and improve their sustainability efforts. www.milksustainabilitycenter.com
MARK DANIEL markd@ruralnews.co.nz
Claas Connect has been launched in 30 countries.
Embrace good technology
JUST LIKE our rural communities, technology solutions need to rely on each other too.
Whether it’s sharing equipment, helping with tough jobs or being part of a cooperative, rural communities are pretty well versed at relying on their communities, through thick and thin. Oftentimes people within the community have specific equipment or skills that go deeper than the majority; sharing those skills creates a domino effect where the sum of all individual parts create the intangible effect of community. This interdependence is a hallmark of rural life, where everyone plays a crucial role in the wellbeing of the whole.
Interestingly, this model of mutual reliance has a striking parallel in the world of technology. Just as our rural communities are stronger together, so too is technology when interconnected.
New Zealand’s rural communities are renowned for their collaborative spirit. According to Statistics New Zealand, about 14% of Kiwis live in rural areas, where cooperation isn’t just beneficial it’s necessary. The obvious example of our co-ops illustrate how pooling resources leads to greater efficiency and resilience. During the 2020 lockdowns, rural communities banded together to ensure everyone had access to essential supplies, showcasing the power of unity in over-
coming challenges. The same can be said of extreme weather events when properties and whole communities have been cut off and face huge clean ups. When it comes to
technology, of all shapes of sizes in the modern age, many products and services excel within their specific niches. These “inch wide, mile deep” solutions offer expert functionality in areas like
data analytics, herd management, pasture management or nutrient application reporting.
However, when these technologies operate in isolation, their impact is inherently limited. A standalone weather forecasting app, for instance, provides valuable information but doesn’t offer insights into how weather patterns might affect farm yields or the supply chain unless paired with other relevant, specific data.
Increasingly these days, with the advancement and normalisation of cloud based software, these technologies are designed to be connected with others and share data, provide additional context and deliver more powerful and relevant outcomes for farmers to make decisions on.
Essentially when integrated, their collective power multiplies. Take, for example, the Internet of Things (IoT) devices used in smart farming. Sensors that monitor soil moisture, weather conditions, and crop health can feed data into a central system that uses machine learning algorithms to optimise irrigation and fertilisation.
According to a report by AgResearch, such interconnected systems can increase farm productivity by up to 20%, a significant boost for New Zealand’s vital agricultural sector.
For New Zealand’s small and medium-sized enterprises (SMEs), which make up 97% of all businesses according to the Ministry of Business Innovation and Employment (MBIE), such inte-
grated solutions can level the playing field against larger competitors.
Just as our rural communities demonstrate the strength found in unity, so does technology. Whether on the farms of rural New Zealand or the offices of cuttingedge tech companies, we are stronger together. So, when you are looking to solve problems or improve efficiency through technology on your farm, always ask yourself what else could the product add value to, where does one plus one equal three. Good technology connects our worlds in a simple way, creating a platform many inches wide and a mile deep. Don’t settle for anything less.
• Chloe Walker is the chief operating officer at Precision Farming
Take the next step in efficiency…
…with the Lely Astronaut milking robot!
Reduced physical strain and fewer staff issues are some of the main benefits we’ve heard from many of our customers about their robotic milking system. Additionally, the individual cow data from the Lely Horizon system helps farmers with decision making and overall farm management. Are you looking for more efficiency on your farm? Are you looking for a better-quality family time and less strain on your body? Scan the QR code to learn more, and feel free to inquire about an obligation-free visit to a robotic milking farm near you.
Bright farming is yours by choice
CHLOE WALKER
Chloe Walker
New Pottinger Novacat comes with automated curve control
TRIPLE ‘BUTTERFLY’ or dual mower combinations have become increasingly popular, offering increased output and better utilisation of tractors that keep gaining horsepower.
Working in straight runs and sufficient overlap between the front and rear mowing units, missed crop is not usually a problem, but during turns and depending on the length of the combination, strips can often be missed, leaving what is often described as a Mohican finish.
Seeking to deliver optimum tracking on turns, reduce losses and offer precision without time-consuming
adjustments, Pottinger has launched new automatic curved side shifting on the Novacat F 3100 mower.
This side shift system on the front mower guarantees a perfect overlap with the rear mower and ensures the tractor drives along a clear track free of forage when cornering and working on steep ground. The curved arc
of movement means that the entire working width of the cutter bars can be used at all times, offering maximum productivity, unlike competitive solu-
tions that use straightline side shift solutions, which can still leave several centimetres of crop remaining uncut. In operation, should
the tractor drift sideways when cornering or on steep terrain, the rear tyre of the tractor does not run over uncut grass because the
mower shifts towards the inner radius of the curve, ensuring that no forage is left uncut, as the front mower overlaps perfectly with the rear unit.
The system works via its ability to detect the changing degrees of overlap between the front mower and the tractor or rear mower(s) and respond automatically. Automatic mode allows the operator to concentrate on their surroundings and driving the tractor, with the added advantage of fewer turning manoeuvres to “tidy up”, meaning there is less damage to the sward and the ground.
An optional ISOBUS automation package controls the side shift of the mower automatically, depending on the turning angle of the tractor or the inclination of the slope to the left or right. This means that the driver’s workload is significantly reduced because no intervention is required.
TOUGHER PLOUGH POINTS FROM KUHN
FRENCH MANUFACTURER Kuhn has announced that its mid-range Olympic plough points have been redesigned to offer a 30% increase in the service life from their wearing metal.
The company says that the second-generation Olympic point is now fitted as standard on all Kuhn
ploughs, from the smallest Master 113 through to the largest Challenger range.
The redesign sees increased thickness at the top of the point to extend its lifespan, alongside a bevelled shape to improve soil penetration, while an accentuated design is said to even wear and reduce tractor
power consumption.
The central section is also protected from extended wear to shield the bolts, in turn making changing points easier.
A company source said the points now offer a much-improved longevity-to-price ratio, with an increased lifespan of 30%, while the recom-
mended retail price increases by less than 10%.
The company also confirmed that the new optional Durakarb point increases point longevity by four times over the new Olympic points. These feature tungsten carbide inserts to improve impact resistance and a patented brazing and
heat treatment process. The working surface of the point is 100% carbide, using brazed insert technology rather than adding the carbide on the working face. This is said to reduce the risk of loss during work and helps to increase protection and longevity.
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Products to keep brassica seeds safe
remains small, the more at risk it is to attack from both insects and fungal disease.
FORAGE BRASSICA
crops provide an excellent source of energy and protein for grazing livestock at critical times of the year when the quantity and quality of pasture on offer is limiting livestock production.
A high yielding crop doesn’t just magically appear, good planning and management are critical to the outcome, particularly in the lead up to sowing and in the early stages of crop development.
One very important area for farmers to address is pest management. The first four to six weeks after sowing is a critical period in the life of a new crop, as seedlings emerge and develop their physical makeup. The longer a plant
The loss of plants early can have a major impact on crop yield. The application of seed treatment agents onto seed helps mitigate against these risks, providing a low-cost early crop protection solution, helping ensure the crop is on its way to reaching its full genetic potential.
PGG Wrightson Seeds Ltd offers two different seed treatment options on brassica products supplied through its forage seed brands, PGG Wrightson Seeds and Agricom. The company has applied Ultrastrike and Gaucho to brassica seed for over 25 years, with both products market leaders in the seed treatment space. Of the two treatments, Ultrastrike is
very much the premium product with its inclusion of systemic insecticide, two contact fungicides and molybdenum in the formulation, making it a more comprehensive offering than the insecticide-based Gaucho treatment.
The application of sys-
temic insecticide in Ultrastrike provides protection against both biting and sucking insects, including Springtails, Aphids, Nysius and Argentine Stem Weevil. The active ingredient is released into the soil profile at germination. As the seedling develops it is taken up by
the young plant roots and is translocated throughout the plant providing protection against the target insects for up to six weeks. The fungicide active-ingredients are also released into the soil profile at germination, creating a barrier around the root zone, blocking
infection from the soilborne fungal pathogens; pythium, fusarium and rhizoctonia that cause ‘Damping Off’ disease in seedlings. The addition of molybdenum in the Ultrastrike treatment provides a startup supply of nutrient, that is available for fast uptake by the germinating seedling.
A field trial undertaken by PGG Wrightson Seeds Ltd in Canterbury highlighted how important seed treatment is in safeguarding seedlings through the plant establishment period. The scientific trial compared the plant establishment and subsequent crop yield of Ultrastrike treated kale seed and untreated kale seed.
An invasion of Springtails in the first three to four weeks after sowing cleaned out a large percentage of seedlings in
the untreated plots, while the Ultrastrike treated plots established very well.
When the crop yield was measured six months later, the untreated seed plots averaged 8,100 kg DM/ha and the Ultrastrike treated plots averaged 15,900 kg DM/ha. The seed treatment provided a net financial return of over $1,500/ha. Forage brassica crops play an important role in pastoral farming systems. Mitigating risks during early crop development is crucial to the success of these crops.
Investing in seed treatment products such as Ultrastrike is an important step in the process.
• Tim Redfern is sales manager at Branded Products, PGG Wrightson Seeds Ltd
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Introducing
The Lanerotr R1, designed with input from dairy professionals, clears laneway edges efficiently, improving drainage and reducing herd lameness. Built tough in Hawke’s Bay, it operates at 1.5 km/h, clearing up to 5 km per day with a quick 5-minute setup. The R1 easily mounts to any tractor with a standard Eurohitch and requires a 50L/m hydraulic flow. Its durable, all-welded construction and American hydraulic motor, with built-in protection, ensure long-lasting performance.
