Rural News 12 April 2022

NEWS

MACHINERY & PRODUCTS

AGRIBUSINESS

SFF profits handsomely on strong meat prices. PAGE 7

When two is better than one.

Wool campaign hitting targets PAGE 15

PAGE 26

TO ALL FARMERS, FOR ALL FARMERS APRIL 12, 2022: ISSUE 748

www.ruralnews.co.nz

Adapt or die!

“We have to get over ourselves. If our consumers are asking us to verify our carbon FARMERS ARE being warned that they balance, then we should be doing it.”

He warns that elevated prices attract need to adapt to consumer-led change or competitors into the market and that’s risk going out of business.

Silver Fern Farms chair Rob Hewett told where things like non-animal protein Rural News that the Covid pandemic has become more of a threat.

Hewett says SFF’s long-term strategy, afforded affluent consumers around the world time to look at their consumption revealed last August, is to get closer to the consumer and deliver value back inside the habits.

“They’ve been making decisions that they farmgate.

“We have a plan, it’s working and you want to consume products that are better can see it in the numbers [SFF’s recent 2021 for themselves and the planet.” result] and we just need farmers to come He believes NZ’s primary proalong on the journey. The ones that do duce is benefitting from what will reap the benefits.” he calls a ‘Covid premium’.

Hewett says people have to either get “However, despite current on the bus or get off. strong farmgate prices, the “It’s really as simple as that.” paradox is that farmer confiHewett believes that, on the dence is low, due to the extent pre-condition that farmers and pace of change they are can respond favourably confronted with. I get it – to consumer demands, change is not easy.” the future for NZ agriHowever, he believes culture is outstandfarmers need to accept ing. and adapt to the con“We’ve got a sumer-led changes sweet spot and we coming or risk should look to take becoming irrelevant. the advantage out “The simple fact of it.” is that if we don’t SFF’s reports change, we are a record profit for not relevant,” says SFF chair Rob Hewett.

2021 – see page 7 Hewett.

DAVID ANDERSON

CALM BEFORE THE STORM! Nuku and Bart Hadfield – owners of Mangaroa Station about 60km northwest of Wairoa – like many other farmers on the East Coast are facing a massive clean-up after flooding hit the region in late March. The Hadfields won the Ahuwhenua Trophy for the top Māori sheep and beef farm in 2015. Their farm is typical hill country, situated in the Ruakituri Valley, where they run just over 12,000 stock units. They have been on the farm for over 20 years and have never experienced anything like this before, with one farm in the district reporting more than a metre of rain during the storm. As a result of this latest storm, the Hadfields have at least 300 slips on their farm, tracks are cut and blocked and the only way to see the extent of the damage is by horse.

– More on East Coast damage pages 4-5. Photo credit: John Cowpland, Alphapix.

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RURAL NEWS // APRIL 12, 2022

NEWS 3 ISSUE 748

www.ruralnews.co.nz

NEWS ��������������������������������������1-12 AGRIBUSINESS ���������������� 13-15 HOUND, EDNA ����������������������� 16 CONTACTS ������������������������������ 16 OPINION �����������������������������16-19 MANAGEMENT ��������������� 20-21 ANIMAL HEALTH ������������22-23 MACHINERY AND PRODUCTS ���������������������� 24-26

How fast it has changed: A composite photo of Westwood Farm hoggets - same mob on the same road - shows flooding in September 2021 and dust in March 2022.

SUPPLIED

In unfamiliar territory!

RURAL TRADER ��������������26-27 NIGEL MALTHUS

HEAD OFFICE Top Floor, 29 Northcroft Street, Takapuna, Auckland 0622 Phone: 09-307 0399 Fax: 09-307 0122 POSTAL ADDRESS PO Box 331100, Takapuna, Auckland 0740 Published by: Rural News Group Printed by: Inkwise NZ Ltd CONTACTS Editorial: editor@ruralnews.co.nz Advertising material: davef@ruralnews.co.nz Rural News online: www.ruralnews.co.nz Subscriptions: subsrndn@ruralnews.co.nz

SOUTHLAND’S NORMALLY wet climate is counting against it as the region struggles under what is thought to be its worst drought in 80 years.

Coupled with Covid-induced staff shortages in freezing works and agricultural contractors, it is shaping up to be the perfect storm, says Southland Rural Support Trust chair Cathie Cotter.

“The ability for farmers to manage the current dry conditions is being seriously hampered by staff shortages created by community Covid-19 in both the rural servicing industry and the processing companies,” she told Rural News.

“Pasture growth and covers are well below average levels and many farmers are already digging into their winter feed supplies to keep stock fed while we wait for the rain.”

On March 31, the Government declared the drought a medium-scale adverse event, which unlocks up to $100,000 in support, but farmers say it won’t be enough.

Cotter told Rural News that one of Southland’s problems is that it has always considered itself “summer safe”

in that it always gets reliable rainfall right through summer, and that is a big draw card for farming in the province.

“But this year the rain hasn’t come.

I think we’re down about 300mm on our average summer rainfall,” she says.

Pastures have retained a semblance of green but nothing has grown.

“Our winter crops are way down on their yield, our swede bulbs need a really good drink and what is really concerning too at this time of year is that winter’s chasing us,” Cotter adds.

She says that the situation has been compounded by the borders being closed by the Covid pandemic, so agricultural contractors haven’t had the usual seasonal influx of experienced workers from the likes of Ireland.

“I know some farmers have no supplements, and no baleage, just because by the time they got to their place in the queue to get their feed done, they either had to put stock in that paddock or the quality of that feed was diminished.”

SRST and others are holding a series of meeting throughout the region to offer support and advice.

Cotter says it’s a problem for younger farmers who may have had no experience of dry weather farming.

“They need that information. So, there’s lots of technical information coming out through DairyNZ, Beef+Lamb and those industry groups to our farmers in an effort to support them.”

Federated Farmers Southland Meat & Wool Chair Dean Rabbidge says farmers are heading into winter without feed.

“On our own farm, we would probably be about 1,500kg of dry matter per hectare behind where we normally are at this time of year,” he told Rural News.

“We’re in April now. So, we’ve only effectively got one more good month of growing to make up that deficit – which is looking very unlikely due to a number of reasons.”

Rabbidge says the pressure of Covid on processing works means farmers can’t get prime stock off farm and it is becoming increasingly difficult to get store stock off farm as well.

“People have got a lot more stock on farm that don’t need to be, and with low feed it is putting real pressure and anxiety on the rural community.”

On his own farm, near Wyndham, Rabbidge has recorded just 3mm of rain in March, following three dry

months with probably about 25% of normal rain.

“We haven’t made supplements because we normally have enough feed grown pasture to push forward, but we just don’t have that option this year,” he adds.

“In any other year, Southland would be fine if the works were processing at capacity. That’s probably the biggest killer for us at the moment.”

Anita Erskine, who farms sheep and beef at Papatotara, in the far southwest of the province with her brothers Quinton and Eric on their Westwood Farm, says the effects if the drought will be long-lasting.

“The rams are about to go out, with the ewes in lighter condition than normal, so there is a high chance that next year’s lambing percentage will be back, and this will affect the number of lambs to sell,” she told Rural News.

“Beef and dairy cows will be lighter going into winter, and you do not usually put condition on stock in Southland in winter. Therefore, the cows may be lighter when they calve, which could affect next year’s in-calf rate.

“The flow-on effect of this drought will not only be felt this year but for the next few years.”

RURAL NEWS // APRIL 12, 2022

4 NEWS

The East Coast’s meltdown In late March the soil just seemed to melt off the steep hillsides as unbelievably heavy rain poured down on the North Island’s East Coast in what’s been described as one of the biggest storms to hit the region since cyclone Bola in 1988. Peter Burke reports.

“WORSE THAN Bola!”

That’s how one farmer on the North Island’s

East Coast described the recent storm and flooding event. It has caused

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Bart Hadfield clearing a slip on the road to Mangaroa Station, about 60km northwest of Wairoa, following last month’s flooding. PHOTO: SUPPLIED

the south of the region to Tokomaru Bay in the north.

Last week the rain stopped and the sun came out, enabling farmers and local authorities to fully assess the extent of the damage. This is still being hampered by impassable tracks.

The main damage to farms is hillside slips which have destroyed tracks and fences and wrecked thousands of hectares of pasture – especially in the steep hill country. Some horticultural crops have also been damaged especially squash and sweet corn.

Peter Andrew, a director of the Gisborne farm consultancy AgFirst, has been visiting clients right along the coast. He says in the north the worst hit area is around Tokomaru Bay, with a bit of flowdown effect south into Tolaga Bay. He says the storm appears to have hit

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to secure their boundaries then start patching damaged fences. He says it’s probably too early to make permanent repairs to fences because the ground is still wet and unstable. But even if the ground is stable, getting someone to repair or replace fences is a challenge.

“We’ve had these events before and there is a need for people to think long and hard about why we put in fences,” Andrew explains. “It may be better to have fewer fences and put them on more stable ground so we avoid the problem of having to be always repairing them.”

He says heavy machinery such as diggers are at a premium and even getting these to farms has been a problem given the state of some roads. He says the local council is setting times when heavy vehicles can use roads,

thus allowing time for ongoing repairs.

In regard to slips, Andrew points out that while it is hard to reseed the slope where the soil has slipped, the material at the bottom is often quite fertile and it’s relatively easy to get grass to grow in these places.

Some horticultural crops, especially processed vegetables, have suffered and some crops completely ruined.

Andrew has seen a large crop of sweetcorn that, while still standing, has passed its maturity date and will be lost. He says vegetable production is touch-and-go but maize may be okay.

He says the kiwifruit harvest should be all right but warns the challenge for apple orchardists is simply getting on the wet boggy land – especially with tractors and other machines used in the harvesting operation.

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the coastal areas around these towns, but inland there have been slips both on farms and forestry blocks.

“But in the south and west of Wairoa it gets quite nasty and many farms have been nailed really badly by the rains.

A lot of the damage is on the lower class and less productive and very steep land, which is prone to slips,” Andrew told Rural News.

With tracks damaged, farmers have been unable to get out to the back on any form of motorised transport. The horse and the helicopter are the only other options.

Andrew says one positive thing is that until now there has been plenty of feed for stock, ironically due to summer rain, and overall stock are in good condition.

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RURAL NEWS // APRIL 12, 2022

NEWS 5

In the eye of the storm!

PETER BURKE peterb@ruralnews.co.nz

TYPICAL OF the farms damaged in the storm in the south of the East Coast is Mangaroa Station, owned by Nuku and Bart Hadfield – winners in 2015 of the Ahuwhenua Trophy for the top Māori sheep and beef farm.

Their farm is typical hill country, situated in the Ruakituri Valley, about 60km northwest of Wairoa, where they run just over 12,000 stock units.

The Hadfields have been on the farm for over 20 years and have never experienced anything like this before.

Nuku says people who were in their valley when cyclone Bola struck have told her this storm has caused more damage to their farms than Bola. She says one farm in the district received more than a metre of rain during the storm, which goes a long way to explaining the extent of the damage.

As a result of this latest storm, their property is challenging them in a way it’s never done before. There are at least 300 slips on the farm, tracks are cut and blocked and the only way to see the extent of the damage is by horse – and that’s what Nuku

and Bart and some of their whānau have been doing this week. They still don’t know what their stock losses might be and this won’t be possible until they can get them into yards and do the tallies.

“We are not sure how badly damaged our fences are, but from a distance we can see some hanging in the air,” Nuku told Rural News. “We are also not certain if mobs have been mixed and we accept that some sheep will have to be hunted down from the tops of the farm.”

Hadfield says initially the road into their farm was blocked, but husband Bart and friend managed to clear it enough so they could get into Wairoa.

They hope to get a digger on the property soon, but with so much damage in the region there is a waiting list to get a digger.

“We are still in the assessing stage, because when you get to a slip you often find there is another one,” she adds.

“You often find you can’t take stock a certain way because a culvert been blown out, so we’re still trying to sort things out and make plans.”

Nuku Hadfield says she’s aware boundary fences have been broken on some properties and

WET, WET, WET!

A big slip out the back of Mangaroa Station that took out the fence, which was noticed on the Thursday after the storm. It did have 24 sheep on it, but these were all shifted to safety. Photo: Supplied

stock mixed, which creates all sorts of problems. She says some have had helicopter pilots drop them high up on their farms so they can open some gates and free up some paddocks to let stock out. While they don’t get cell phone coverage at Mangaroa Station, their land-line has

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not been affected and for the most part internet coverage has remained.

Hadfield says to some degree the damage in the Wairoa district has not received the same media profile as the damage further north, which she acknowledges is also very bad. The other issues that concerns her is the large

number of Māori farms in the region and how they may be affected.

In the meantime, the Hadfields – like many other farmers on the East Coast – are facing the unenviable task of getting their farms back up and running in some sort of order before winter sets in.

AS OF last week, some East Coast farming families are completely isolated with roads impassable.

The only way in or out is by helicopter. To help these people, Federated Farmers has appointed a coordinator to collect donations and get food and other urgent supplies to these people.

Feds Gisborne/Wairoa president Toby Williams farms at Whangara, about 30km north of Gisborne. His farm is next to Whangara farms, one of the largest Māori farms on the East Coast.

He told Rural News that this storm event was not as big as cyclone Bola back in 1988. However, some farmers Williams has spoken to say the damage on their properties was greater this time than when Bola struck more than 30 years ago.

Where he lives at Whangara, they received about 450mm of rain, which caused about 40 slips that damaged fences and took out farm tracks. Further north at Tokomaru Bay, there was over 700mm of rain which did the same.

But Williams says the heaviest rainfall was inland from Wairoa, where at one location, 1.2 metres of rain was recorded, which is unheard of. He says in that area, farmers have been using helicopters to get to mobs of ewes that are due to go to the ram. Williams says the best many can do right now is to secure their boundary fences and put out as many rams as they can and hope for the best. “One of the lessons we farmers took from Bola was the need to stabilise our hill country, and to that end, hundreds of thousands of poplar and willow poles were planted and this helped prevent some of the slips,” he told Rural News.

Williams says Feds is working closely with other agencies to see what help farmers may need. They are planning to do a survey to get a clearer picture of the damage and share this information with the Rural Support Trust.

He says now that they’re in ‘recovery mode’ they want to help all those in need.

“We are going to make a special point of checking on Māori farms that make up a very large proportion of the farms in the region, both in terms of numbers and scale,” he adds. “We also want to see what we can do for lifestyle farmers because we believe they will have some big challenges dealing with the aftermath of the storm.”

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RURAL NEWS // APRIL 12, 2022

NEWS 7

Silver Fern Farms profits handsomely on strong meat prices DAVID ANDERSON

“Elevated prices attract competitors into the market and that’s where things like non-animal protein become more of a threat.”

davida@ruralnews.co.nz

STRONG FARMGATE prices for red meat have also flowed through to better returns for processor and exporter Silver Fern Farms (SFF).

The country’s largest meat company has just announced its full year results for the 2021 year, which show a significant lift in profits for both its farmer co-op SFF Co-operative and parent company SFF Ltd – a 50/50 joint venture with Chinese-based Shanghai Maling.

SFF Co-operative reported an after tax profit of $51.5m for the year ended 31 Dec 2021 – up from $26.2m in 2020; while SFF Ltd’s net profit for 2021 was $103.8m – up from $65.4m in 2020.

SFF Co-operative chair Rob Hewett told Rural News that despite the many challenges posed to the business during the year – not the least of which was dealing with Covid disruptions – it has continued to transform its business and profit from this.

“We’ve had two years of rubbish – in terms of the environment we have had to operate in – things like Covid, inventory bills, supply chain and drought

SFF chair Rob Hewett says despite all the challenges it experienced last year, the meat company recorded a record profit while farmers received record prices.

in the North Island. It has been a bloody shambles, to be frank,” he says.

“The fact that the team has been able to pull together and deliver such a result, speaks to not only how the company has performed but strong demand for the product offshore.”

Hewett says despite all the challenges experienced last year, SFF recorded a record profit and farmers received record prices. He believes the NZ agriculture sector is in a ‘sweet spot’ at the moment but warns that it can’t afford to get complacent.

“Elevated prices attract competitors into

the market and that’s where things like nonanimal protein become more of a threat,” he warns. “If we don’t react to consumer demand, we won’t stay relevant.”

Hewett says while it’s important SFF continues to pass any value in the market at the moment through to farmer suppliers, the company is equally focused on converting its favourable financial position into longer-term confidence for its farmers.

“We’ll do this by continuing to invest directly in the business and developing more market-led premiums,” he says.

“The work we are doing to reduce the environmental impact of our processing operations is just one of the ways we’re making sure we do the right thing by our customers and the wider community, who increasingly want to know that their red meat is sustainably produced,” he adds.

“While we still have some way to go yet, we’re confident that the direction we are travelling in will translate into higher returns for what we produce and a more positive outlook on the sector for our farmer suppliers.”

Meanwhile, SFF chief

executive Simon Limmer says strong global protein prices are currently masking the complexities of running the business.

“Demand and pricing for red meat across our key markets has been at historically strong levels but like all exporters we have been challenged in our ability to operate at optimal levels and navigate supply challenges into market,” he explains.

“Our 2021 results can be put down to the efforts of our staff who have continued fronting to work under challenging conditions and I’m incredibly grateful for all our site and logistics staff in particular.”

Limmer adds that SFF’s Plate to Pasture strategy remains unchanged, and that sustainability is becoming a core focus embedded into the company.

“While we are still early in this journey, we are accelerating Silver Fern Farms’

transition to a naturepositive red meat brand, that incentivises low emissions and regenerative farming practices.”

Limmer says that

@rural_news facebook.com/ruralnews

RESULTS AT A GLANCE FOR 2021: SFF LTD ● Net profit after tax $103.8m (2020: $65.4m) ● Revenue $2,749.6m ($2,490.1m) ● Total Livestock Premium Payments in 2021 $6.9m ($5.2m). ● Earnings before interest, tax, depreciation and amortisation (EBITDA) including share of associate earnings $179.7m ($125.7m) ● A 100% imputed dividend declared in relation to FY2021 $46.7m ($26.2m) SFF CO-OPERATIVE ● Net profit after tax $51.5m ($31.6m) ● Dividend to be received based on FY2021 $23.4m ($13.1m) ● No debt. Cash and short-term deposits of $23.4m ● Total Shareholder Equity of $369.0m ($327.4m) ● Co-operative declares dividend and patronage Reward for shareholders totalling $18.4m ($8m) ● 100% imputed dividend of 12.9 cents per share payable to all ordinary and rebate shareholders ● A 100% imputed patronage reward of 12.1 cents per share is payable on qualifying shares to supplying shareholders based on supply during 2021.

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while supply chain challenges don’t show any sign of abating soon, SFF is confident about the outlook.

SFF operates 14 processing facilities throughout NZ, employing 6,000 staff.

Key markets include New Zealand, China, North America, the United Kingdom and Europe, Asia, and the Middle East.

RURAL NEWS // APRIL 12, 2022

8 NEWS

NZ poultry jealousy guards disease-free status NIGEL MALTHUS

THE CURRENT bird flu outbreak in Britain is a reminder of why it

is important for New Zealand to maintain its biosecurity standards, says the local poultry industry.

The UK is

experiencing its largest ever outbreak of bird flu (avian influenza H5N1) and measures to prevent the virus from spreading include keeping birds

inside.

Under their disease containment rules, producers had a 16-week grace period under which they could continue

to call their eggs “free range” despite the birds being kept inside.

However, that has now expired and they can only be marketed

Michael Brooks says the NZ poultry industry is strongly supportive of really strong biosecurity rules on potential imports of raw products.

as “barn eggs”. Free range eggs have now disappeared from British supermarket shelves.

New Zealand is unique in the world in not having any of the big three poultry diseases

Rural News in 2018 that he was concerned at proposals to allow it in – says imports haven’t happened because meeting the required standards would be a lot of effort and cost

Imports of raw chicken or raw eggs are prohibited.

Raw turkey and duck are allowed under strict rules.

– avian influenza, Newcastle Disease and Infectious Bursal Disease (IBD, aka Gumboro), says Poultry Industry Association (PIANZ) executive director Michael Brooks.

To keep it that way, imports of raw chicken or raw eggs are prohibited. Raw turkey and duck are allowed under strict rules but Brooks – who told

for what is a very small market.

“I said if they can meet those rules we have no reason to be concerned but I’ll be surprised if they can meet the rules – and that seems to be what’s happened.”

Brooks wears three hats, as the executive director of the PIANZ, which represents poultry meat producers,

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RURAL NEWS // APRIL 12, 2022

NEWS 9 TREES PLEASES CHOOKS

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John Greene believes his hens are much happier than those kept on pasture.

N

biosecurity rules on potential imports of raw products,” Brooks adds.

“No other country in the world has freedom from those three diseases. So, we argue very strongly that if people say there should be imports of raw chicken or eggs, we say only if it can be shown that they’re coming from countries or farms overseas where there is guaranteed freedom.”

He says that is extremely hard to do when you farm in a country where it’s all around.

“Plus, who knows what those those diseases could do to our native fauna? New Zealand began as a rather unique country in that all our native fauna is avian.”

because they have no low horizontal branches that might encourage the hens to roost in the trees.

Chicks are brought in at one-day-old. Once they have become accustomed to using their indoor layer boxes at about 18 weeks, they are given complete freedom to wander in and out, and forage outdoors to find what they can.

However, they are only fed in their sheds. Feed is never spread outdoors because that would attract wild birds such as sparrows and create a salmonella risk, says Greene.

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the Egg Producers Federation, and also the NZ Feed Manufacturers Association, which covers manufacturers of a whole range of stock feeds, not just poultry.

He says there was an outbreak of IBD about three years ago on a farm in Otago but it was eradicated from that one site and not found anywhere else.

“To this day we don’t know how – we have a suggestion that a mislabelled vaccine may have been the issue, we don’t know. But whatever, it’s gone.”

The industry tests every farm annually for IBD in a self-funded programme, without government support.

“There’s always threats and that is the part of reason why we have always been strongly supportive of really strong

Greene believes his birds are much happier than those kept on pasture.

“Anything that flies over here, they perceive as a predator. So, if we get a low-flying aircraft or the Westpac helicopter or something go over, they get a terrible fright,” he explains.

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RURAL NEWS // APRIL 12, 2022

10 NEWS

Shutdown hits milk prices!

SUDESH KISSUN sudeshk@ruralnews.co.nz

HAVOC WREAKED in parts of China by Covid is being blamed for the latest drop in whole milk powder (WMP) prices.

Major disruptions to Chinese supply chains following the lockdown in Shanghai is leading to local dairy production being redirected away from fresh milk into less perishable powders.

Chinese authorities last week extended a lockdown in Shanghai to cover all of the financial centre’s 26 million people – a major test of China’s zero-tolerance strategy to eliminate the coronavirus.

ASB economist Nat

latest GDT result highKeall says this means the lights the drop in WMP Chinese WMP market is prices, but it seems now well supplied. buyers don’t expect the But he points out that glut to last. the current dynamic in “The contract curve China isn’t likely to be is looking unexciting permanent, which is a positive for NZ dairy pro- over the near term – ducers.

Dairy prices in last week’s Global Dairy Trade (GDT) ● Anhydrous m ilk fat: down 2.5% to fell, with the price US$6,908/MT index down 1%. ● Butter: down 0.6% to US$6 However, WMP ,891/MT ● Butterm prices dropped ilk powder: up 6.3% to US$4,461/ 1.5% to US$4,532/ MT metric tonne.

Cheddar: up 2.7% to US$6,472/MT Skim milk ● Skim m ilk powder: up 1% to US powder rose 1% $4,599/MT ● Whole to US$4,599/MT, milk powder: down 1.5% to US$4,532/MT cheddar rose 2.7% and butter dipped 0.6%.

Keall says the

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Major disruptions to Chinese supply chains following the lockdown in Shanghai is leading to local dairy production being redirected away from fresh milk into less perishable powders. Inset: ASB economist Nat Keall.

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albeit at a still healthy US$4,400/MT – but there’s a sharp kink at contract number 5, which suggests prices still have quite a bit of momentum and there’s an eagerness to secure supply once the near term WMP glut subsides,” he told Rural News.

Looking further ahead, Keall says that Chinese economic growth is set to slow over the course of the year, but dairy’s status as a staple food means demand isn’t all that elastic.

He says dairy demand is a global story: buying activity from South East Asia and the Middle East

is also acting as a support.

At the same time, global dairy production is still looking very weak.

Keall says the latest production data in both the US and Australia is poor – down 6.1% and 0.3% year-on-year respectively.

Things aren’t that flash in NZ either, with drought conditions stretching into the spring now.

“To sum up all of those threads: don’t expect recent reticence for NZ product from Chinese buyers to last,” Keall

ASB economist Nat Keall.

explains. “While demand is set to ease a bit over the year, that tight supply picture should keep prices well supported.”

He says ASB is retaining its lofty milk prices forecast for this season ($9.50/kgMS) and also next season ($9.20/ kgMS).

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RURAL NEWS // APRIL 12, 2022

NEWS 11

Digital FEP project aims to simplify admin for farmers LEO ARGENT

AGRICULTURE MINISTER Damien O’Connor says if a new research project is successful, farmers and growers will be able to collate and share environmental compliance data digitally.

TANZ (Trust Alliance New Zealand) is exploring and designing a proofof-concept digital Farm Environment Plan (dFEP) solution to move away from the current paperbased approach.

“This will enable New Zealand farmers to collate and share farm information required for environmental regulation quickly and effectively,” O’Connor claims. “A key objective for us is to deliver integrated farm planning to reduce duplication and cost for farmers and growers as they meet environmental goals. This research will help take us there.”

TANZ is a non-profit data sharing framework and recently formed a Primary Industry Consortium connecting participants and providers across the entire primary sector value chain. As a member of TANZ, Federated Farmers New Zealand will assist in outreach to farmers for this project.

The Government is backing the research through the Ministry for Primary Industries’ (MPI) Sustainable Food and Fibre Futures (SFF Futures) fund. The research aims to fasttrack the delivery of a digital solution for farm environment plans, with

SFF Futures contributing $493,500 to the $823,500 TANZ led project.

Within the next year, the dFEP project aims to have completed study across New Zealand to find ways to improve data sharing and streamline the process for farmers and growers. The goal is to reduce costs and improve information retention, while allowing farmers to comply with environmental regulations – such as land use, water quality and emissions management by 2025.

The project will also be working with a range of other parties such as industry partners and regulators including MPI, the Ministry for the Environment, regional councils and AgriTech NZ. “TANZ will draw on their findings to develop a more efficient way for data interoperability that keeps farmers and growers in control of their information,” O’Connor adds.

“One of the goals of this project is education and awareness among farmers and growers so they understand the benefits of this new way of data management and permissioned data sharing.”

He says that highvalue consumers overseas increasingly want to know that the products they’re purchasing are both good for them and for the environment.

“The easier we can make compliance for farmers the better outcomes there will be for our environment.”

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RURAL NEWS // APRIL 12, 2022

12 NEWS

Rubber to hit the road after on-farm gas talkfest DAVID ANDERSON davida@ruralnews.co.nz

WITH THE He Waka Eke Noa (HWEN)

farmer consultations on agricultural emissions pricing now over, the real work begins.

HWEN director Kelly

Forster claims that the ag sector partnership is considering all suggestions put in front of it by farmers,

but is constrained by the Government’s requirements and timeframe.

The Government

FMG MEMBER DIRECTOR NOMINATIONS ARE OPEN. FMG MEMBERS Like many Kiwi farmers and growers, FMG’s legacy goes back a long way. We’ve been around for over a century through rural New Zealand’s highs and lows, and we’re in it for the long-haul.

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While Steve will be stepping down from the Board after five years of service, Sarah is seeking re-election. This means there are two Director positions, with one being contested by a current Director.

We’re here for the good of the country.

HWEN says a full report on the feedback received will be made public alongside the recommended system.

has already legislated that there will be a price on emissions from the agricultural sector from 2025.

“We have to recommend a credible emissions pricing system by the end of May, or the Government will include agriculture in the New Zealand Emissions Trading Scheme (ETS),” Forster explains.

She says that there were some clear themes coming through from the farmer consultation.

“There is a large amount of concern about the potential impact of any levy on the financial viability of farming. No decision has been made on how much the levy will be, but we hear that farmers want a voice in price setting and revenue recycling decisions.”

Farmers were asked to consider two options during the consultation – a farm-level levy or a processor-level hybrid levy – as alternatives to the ‘backstop’ of agriculture being put in

the ETS. “Farmers told us they want a system that recognises the steps they are already taking and provides them with practical tools to reduce emissions, rather than simply imposing a price,” Forster says.

She claims there was a clear preference from farmers for a farmlevel option because it gives farmers control over managing their emissions profile and provides incentives for any mitigation action they take on-farm.

However, she concedes there are real concerns about aspects of farm levy option, including equity and availability of mitigation options, administrative costs and farmer readiness to implement the system by 2025.

Forster says there was general support for HWEN’s desire for recognising carbon sequestration on-farm, particularly the range of on-farm vegetation

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recognised. Many farmers also asked for older forests (pre-2008) to be better recognised as well as soil carbon to be included.

She says there was also general support for the ‘split-gas’ approach, which recognises the different impact on global warming of methane and carbon dioxide.

Forster says the HWEN partners are now focused on reflecting the sector’s feedback in the design of a proposed system that is due to be recommended to the Government by the end of May. She says more than 7,000 people have expressed their views in some way and all feedback will be considered.

“A full report on the feedback received will be made public alongside the recommended system.”

The Government will consider the HWEN recommendations and is expected to make a final decision in December on the pricing system for agricultural emissions.

RURAL NEWS // APRIL 12, 2022

AGRIBUSINESS 13

Synlait on the comeback trail SUDESH KISSUN sudeshk@ruralnews.co.nz

MILK PROCESSOR Synlait is on the comeback trail after 18 months of turmoil.

The listed milk company – 51% owned by China-based Bright Dairy – last week reported a net profit of $27.9 million for six months ending January 31, 2022. This was a whopping 338% more than the same period last year, which admittedly was a disastrous result for the company.

Revenue rose 19% to a record $790m, net debt was slashed by 19% to $390m and inventories 29% down on the same period last year.

Synlait farmers are forecast to receive a record milk price of $9.60/ kgMS this season.

The milk processor’s ingredients business was the star performer: sales revenue reached $423m compared to $275m the previous year. However, nutritional business was impacted by key customer a2 Milk’s rebalancing of inventory levels.

Synlait is a different business to what it was 18 months ago with a

Jarden senior analyst Adrian Allbon says while it is a strong result from Synlait, some key risks remain.

new chairman, new chief executive and 15% reduction in the workforce.

Jarden senior analyst Adrian Allbon describes it as a “strong execution result” from Synlait.

Allbon points to the flagged selldown of excess inventories generating strong cashflows and debt reduction as the highlights.

He told Rural News it was also pleasing to see improved ingredients performance, which has been partly

offset by ongoing issues in the diversification streams of consumer foods and beverages.

But Allbon says some key risks remain for Synlait, like key customer and shareholder a2 Milk’s demand recovery, commodity price volatility, execution of diversification and further debt reduction.

Synlait chairman John Penno claims ‘significant steps’ were taken to reset and rebuild the company.

“While we cannot relax just yet, our plan to return Synlait to robust profitability is on track,” he says.

Penno, who co-founded the business in 2010, says the company’s cost structure review and the organisational reset is complete.

“Most cost saving benefits were realised in operations and are reflected in improved gross profitability,” he says. “We are on track to achieve the $7 million in savings the organisational reset promised, with $5.2 million realised in half year 2022.”

The business reset has been hard on Synlait employees.

“We are very aware of how challenging and stressful this process was on our staff, particularly those whose roles were disestablished,” Penno concedes. “Our decisions were not made lightly, and I thank the entire team for their professionalism, understanding and commitment to Synlait throughout the process.”

Penno believes the 19% reduction in debt is the half year’s biggest achievement.

“This will provide shareholders

with comfort that our recovery plan is on-track.”

He says work will continue in the second half of the year with an ongoing focus on rebalancing inventory levels through improved sales performance, while working to minimise the impact of shipping delays that have been facing all exporting companies.

“We will also continue focusing on our operational costs and capital expenditure.”

New chief executive Grant Watson says the result validates that momentum is building.

“We are six months into a two year recovery plan. Our team is driving the plan forward with pace.

He thanked Synlait’s staff and its farmer suppliers for their efforts.

AT A GLANCE ● ● ●

●

●

Revenue – up 19% to $790 million Net profit – up 338% to $27.9m Adjusted net profit – up 128% to $14.5m Capital expenditure – down 37% to $46m Net debt – down 19% to $391m

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RURAL NEWS // APRIL 12, 2022

14 AGRIBUSINESS

Meat Board hails a century of success and promises more to come LEO ARGENT

AFTER 100 years in existence, the New Zealand Meat Board (NZMB) now oversees $2.3 billion of red meat exports yearly to the markets in the European Union, UK and USA. Chairman Andrew Morrison told the recently-held annual meeting that its effective quota management role continues to underpin the sector’s success.

“NZMB now manages two new quotas following the withdrawal of the UK from the EU, UK Sheepmeat and Goatmeat, and UK High Quality Beef,” he explained.

Morrison, who hosted the online meeting on March 15 alongside chief executive Sam McIvor, said NZMB’s duties will now expand with it taking on responsibility for the administration of transitional Free Trade Agreement quotas between the UK and New Zealand.

“The UK and EU proceeded with their plan to split the quota between the two markets. Negotiations around

NZ Meat Board chief executive Sam McIvor told its recent annual meeting that the organisation’s balance sheet remains strong.

quota splits are ongoing,” he explained.

“However, we anticipate that a nominally greater share than originally proposed will be allocated to the EU to reflect the market access outcomes of the New Zealand-UK FTA.” Morrison added that it was critically important that quota administration

is kept in New Zealand to maintain the quality of our quota and give certainty to companies in export planning.

He says NZMB is also responsible for $82.2m of farmer reserves – with $61m in a contingency fund including $2.7m for quota market contingencies

and the remaining $21m in general reserves.

“This provides crucial funding to assist in a crisis to re-open export markets… and deliver funding for industry-good activities such as genetics,” Morrison says.

McIvor spoke about the board’s performance in the face of disruption caused by Covid.

“We pivoted quickly to work remotely and benefited from an intensive programme of staff support, resourcing and resilience tools.”

He says the organisation also carried out a review of its operating costs to ensure the fees are sufficient to meet the delivery requirements and a statutory audit of NZMB’s quota management by the Ministry for Primary Industries and it complied with the Meat Board Act. A surplus of $5.8m from reserves and quota management and $6.1m surplus from reserves management was reported at the AGM. Quota management activities recorded a deficit of $331,000, with quota

management reserves drawn down as the NZMB worked through Brexit issues. McIvor says the board’s balance sheet remains strong with net assets of $82.2 million.

Meanwhile, the meeting recommended investing up to $1 million a year in the Informing New Zealand Beef (INZB) genetics programme, which aims to increase the uptake and use of genetics in the beef industry.

This would see the NZMB joining MPI and Beef + Lamb New Zealand (B+LNZ) in supporting the sevenyear Sustainable Food & Fibre Futures (SFFF) partnership, which aims to boost meat sector profits by $460m over the next 25 years.

The NZMB says it is currently working through feedback from farmers on the proposal.

The meeting also agreed to lift the annual pool for director fees from $144,200 to $147,500. @rural_news facebook.com/ruralnews

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RURAL NEWS // APRIL 12, 2022

AGRIBUSINESS 15

Wool campaign hitting targets DAVID ANDERSON davida@ruralnews.co.nz

PROGRESS IS being made – albeit slowly – on building greater awareness of wool throughout New Zealand and beyond.

That’s the claim of the Campaign for Wool NZ’s (CWNZ) in its recently released 2021 annual report.

CWNZ chair Tom O’Sullivan says the trust has had a busy year and gone from “strength-tostrength”.

“We’ve had a busy year building on our strategy and focusing on our top four priorities: communication and education, digital advancement, insight development and strengthening partnerships.”

O’Sullivan says

CWNZ’s strategy was only released in September 2021, with a number of activities to be launched over the year ahead.

“With only three months of activity, we’ve made some fantastic progress,” he says. “We are now looking ahead and working on our long term strategy.”

CWNZ was launched in 2011 by the Prince of Wales. It is a global initiative to highlight wool as an eco-friendly, comfortable, fashionable and more durable option than more disposable fibre alternatives.

CWNZ says its core purpose is to promote and educate the world about the benefits of wool.

O’Sullivan explains that it has a two-pronged approach: Firstly, with

driven insights about how wool is perceived and used in key international markets.

“This is gaining traction in NZ and bodes well for us to launch our global strategy.”

O’Sullivan believes that once consumers understand the benefits of wool, choosing it will become a lifelong and conscious decision.

“Wool is arguably the most sustainable, renewable, incredible super fibre on the planet,” he adds. “The trick is to talk to the right people in the right way to create a groundswell of demand.”

In 2021, CWNZ had an annual budget of $583,000, which is funded

by New Zealand wool growers.

CFWNZ chair Tom O’Sullivan.

consumers, by increasing global demand for NZ wool at a premium in both NZ and globally; secondly with industry, by helping to lift wool prices to create and maintain commercial viability and sustainability.

“CWNZ is dedicated to influencing conscientious consumers

all over the globe to buy sustainably grown New Zealand grown wool products.”

O’Sullivan says the trust concentrated first on building awareness of wool in NZ. “We have been working closely with our partners to build our assets and create data-

@rural_news

ON TOP OF THE WORLD! NZ MADE wool carpet will be gracing the floors of a new $1.1 billion New York skyscraper.

Kiwi carpet company Bremworth has secured a US export contract to supply one of New York’s tallest skyscrapers with its wool flooring product.

The new contract will see Bremworth supply over 3,000sqm of wool carpet for the 93 storey, super-tall skyscraper – one of the company’s largest ever installations of its natural fibre product in the US. Bremworth chief executive Greg Smith says the contract is a significant endorsement for the New Zealand wool industry.

“The landmark Brooklyn Tower will have 550 residential apartments with multi-million-dollar entry points and will stand over 100 metres taller than the next tallest building in this borough of New York,” he explains.

“The selection of our wool carpet for this project is a testament to the quality of both New Zealand wool as well as Bremworth’s manufacturing capability.”

Smith says their New Zealand-made carpets command a price premium in the US market.

“The use of Bremworth products in high profile installations such as the Brooklyn Tower provides us with a unique marketing opportunity to grow our presence and exports of New Zealand wool in this lucrative market.”

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RURAL NEWS // APRIL 12, 2022

16 OPINION EDITORIAL

EDNA

Better together!

IT APPEARS the gloves have well and truly come off between rural ginger lobby Groundswell and the establishment ag-sector bodies.

To be fair, the mere existence and growth of the Groundswell movement shows there has been – and for some time – a growing vacuum in the rural advocacy space between the establishment and grassroots farming.

Farmers have been increasingly unhappy with the leadership (or lack thereof) by their industry-good bodies, especially in the perceived lack of pushback from them to the current Government’s growing list of regulations it wants to impose on the agriculture sector.

Both DairyNZ and Beef+Lamb NZ – and to a much lesser extent, Federated Farmers – have argued that it is ‘better to be at the table’ than not there at all. However, many farmers would contend that all their leadership has done is serve them up on the menu when ‘at the table’.

There is some merit in both arguments.

However, what cannot be disputed is that Groundswell has grown from nothing into a powerful lobby in just 18 months. This was clearly evidenced by the huge turnout of people up and down the country at last year’s ‘Howl of a Protest’.

Recent bickering between Groundswell and current sector representatives is unhelpful and only helps with the Government’s ‘divide and rule’ strategy for the rural sector.

Both sides need to pull their heads in and realise that the rural sector fighting amongst itself does us no favours.

The current ag sector leadership really does need to look at the way it has ‘represented’ farmers over recent years. It needs to seriously ask why such dissent and unhappiness is rife in the rural hinterland and who are they serving – their farmer levypayers or their own political fortunes.

Meanwhile, Groundswell must look at how it can realistically achieve for the sector.

Constantly bad mouthing farm sector leaders and throwing stones at everything they do may garner good headlines, but it does nothing for sector unity.

Robust debate and disagreement is good, but this should be all done behind closed doors. What the sector needs now is a united, strong voice arguing for the betterment of NZ agriculture. Not division and infighting, which only leads to all farmers losing.

We are better together.

RURALNEWS TO ALL FARMERS, FOR ALL FARMERS

HEAD OFFICE POSTAL ADDRESS: PO Box 331100, Takapuna, Auckland 0740 Phone 09-307 0399 PUBLISHER: Brian Hight ......................................... Ph 09 307 0399 GENERAL MANAGER: Adam Fricker ....................................... Ph 021-842 226 CONSULTING EDITOR: David Anderson .................................. Ph 09 307 0399 davida@ruralnews.co.nz

“That’s not new! – cows have been doing that for years!”

Want to share your opinion or gossip with the Hound?

Send your emails to: hound@ruralnews.co.nz

THE HOUND Gloves off?

Unbelievable!

Sound familiar?

Who?

Your old mate reckons a nasty war looks to be brewing in NZ farming politics. For the past 18 months or so, the Groundswell lobby group has been stirring up farmers around the country over freshwater reforms, greenhouse gas taxes and a myriad of other issues troubling the rural sector. It has also taken regular pot shots at the establishment lobbies such as Beef+Lamb and DairyNZ, accusing them (probably quite fairly) of cuddling up to the Government and selling out the sector time and time again. All of this tension has now come to a head with the end of the recent farmer ‘consultation’ meetings held by HWEN (basically BLNZ and DairyNZ in drag).

Groundswell has accused DairyNZ of shutting down options; DairyNZ accused Groundswell of spreading misinformation and being offensive.

Pass the popcorn, this could get interesting!

The Hound notes that the New Zealand Taxpayers’ Union recently revealed how the Department of Internal Affairs (DIA) has spent over $2 million on furniture in just 18 months. According to the Taxpayers’ Union, DIA spent $1,935,674 million on furniture for its offices in the 18 months to the end of 2021. The major expenses included workstations (desks), chairs, and ‘collaboration furniture’ for shared spaces. Also, $111,714 was spent on furniture for use in employees’ homes – with 248 employees getting office chairs to use at home, at an average cost of $431 each.

Of course, the DIA are the same clowns who have come up with the disastrous and undemocratic Three Waters reforms. It is these same mandarins – sitting on their fancy, taxpayer-funded chairs – who are dreaming up ways to help Nanaia Mahuta steal the water assets from local communities all around NZ. Nice for some!

Your canine crusader recently came across a report about several issues and problems farmers face in reducing agricultural greenhouse gas emissions. According to said report, “Environmental measures for agriculture should not be a simplistic debate that centres on the need to cull the national herd”. “Government should fund technology and measures to reduce livestock emissions… with this funding ringfenced for direct spending on emissions reduction technology.” One might assume that this report was a summation of the recent He Waka Eke Noa consultation meetings. But no, it actually came from a recent Irish agriculture select committee hearing into reducing farming emissions. The hearing was told that the lack of a dedicated fund will leave Irish farmers with unachievable emission targets and costs to meet. Sound familiar?

This old mutt understands a farmer had an ‘interesting’ experience when recently chosen by MBIE for a ‘site visit’ to audit their employment records. The ‘lucky’ farmer informed MBIE – three times by email – that under the Covid red settings the farm was closed to all visitors and attached relevant information from the Government’s own websites, which advised minimal contact and Zoom meetings if possible.

After much to-ing and fro-ing, MBIE finally agreed to conduct the investigation by phone. The bureaucrat conducting the audit was told that all farm staff had Federated Farmers’ contracts. He then asked, “Who is Federated Farmers?” The farmer was then told to email said contracts to MBIE, but with each of these at over 100 pages, and rural internet flaky at the best of times, they were finally advised to post the agreements to Wellington.

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Rural News is published by Rural News Group Ltd. All editorial copy and photographs are subject to copyright and may not be reproduced without prior written permission of the publisher. Opinions or comments expressed within this publication are not necessarily those of staff, management or directors of Rural News Group Ltd.

RURAL NEWS // APRIL 12, 2022

OPINION 17

No simple answer to soil C SOIL CARBON is not included in either New Zealand’s Emissions Trading Scheme (ETS) or the proposed He Waka Eke Noa (HWEN) programme.

This decision is based on the scientific research that has been and is being done on New Zealand soils. Farmers who see the soil carbon rewards being offered in other countries are understandably frustrated that they aren’t been rewarded in the same way.

The environment overseas is, however, very different. Not just in terms of natural factors like rainfall and temperature and management factors like farm systems, but also in policies, politics and economics.

In 2015, the French Government launched the ‘4 per 1,000’ initiative at the COP21 Paris climate summit.

The initiative aimed to boost carbon storage in agricultural soils by 0.4% each year “to help mitigate climate change and increase food security”.

The Australian Government has included soil carbon in its plan to be net zero by 2050, with soils playing an important role.

Last month, the United States Department of Agriculture (USDA) announced an investment of US$1 billion in pilot projects that would reduce primary sector greenhouse gas (GHG) emissions or capture and store carbon in the soil.

The goal is to cut the farm sector’s greenhouse gas emissions in half by 2030 with the overall aim for the US to be net-zero by 2050.

In all these cases, the process of increasing carbon in the soil requires a change in land management practices to change the balance between carbon in and carbon out. Preventing overgrazing and cultivation, rotational cropping (i.e. stopping monocultural cropping), better water management practices and composting are components. In some countries the

COMMENT

Jacqueline Rowarth concept has been dubbed ‘regenerative’ because of the extra carbon being added to the soil to increase organic matter.

In France, scientists have shown that the ability to increase and hold soil carbon depends on the age and stage of the soil – that cropping soils probably can increase carbon, but that soil under pasture was already ‘saturated’ and the goal should be preservation.

In run-out cropping soils (the dustbowl of America) where organic matter is very low (e.g.

10 tonnes per hectare to 30cm) bringing in animals, irrigation and fertiliser can result in relatively rapid increase in soil carbon. In rangeland, increased rotation length (reduced number of animals) can be effective.

In one high profile case (Brown’s Ranch) the ‘ever evolving grazing strategy allows most of our pastures a recovery period of over 360 days’.

In Australia, concerns are already being raised about feasibility of achieving goals. Research released by the New South Wales government suggested that soils in the state will release more carbon than they take up as conditions become warmer and drier, becoming a source of carbon rather than the desired sink. The problem is that drought affects plant growth (the source of soil carbon) before it affects soil organisms (which release carbon from soil organic matter during the decomposition process).

In New Zealand, where soils hold approximately double the amount of carbon to 30cm than in other countries, building it up and maintaining that

increase is a challenge – just as has been indicated in France.

Measuring a change is even more difficult.

Additionality remains the key for rewards, as it is in trees – what extra above the base line has been achieved?

Will it stay there? And

what was or is the baseline – the amount of carbon to 30cm and the bulk density? Both are required to gauge additional sequestration.

Further, areas with increasing drought will lose soil carbon, implying a liability to the landowner if some

sort of contract had been implemented.

Other uncontrollable environmental losses include erosion, which is particularly common during heavy rain. The variability of soil carbon across a farm and within a paddock is also a factor.

Establishing a credible

base line is a significant cost in sampling and to measure a significant change might take years.

Until soil scientists can be confident that the drivers to increase and maintain soil carbon can be managed, they will not be recommending bringing soil carbon into

any scheme.

• Dr Jacqueline Rowarth, Adjunct Professor Lincoln University, is a farmerelected director of DairyNZ and Ravensdown. The analysis and conclusions above are her own. jsrowarth@gmail.com @rural_news facebook.com/ruralnews

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RURAL NEWS // APRIL 12, 2022

18 OPINION

Science battles against the multi-headed hydra DOUG EDMEADES

I HAVE been searching for a word which accurately describes my feelings about regenerative agriculture (RA).

The best match I have come up with is the word ‘contempt’ – meaning that something

is worthless and beneath consideration. Why should this be? What is it about RA that so irks me?

What do other scientists think?

Karl Popper, the most famous science philosopher of the 20th century, set the bar very high when he formulated

his theory of falsification.

By this test, if a statement cannot be falsified it cannot be science.

Expressed differently, if a statement cannot be falsified it lies beyond the reach of science and is therefore not worthy of scientific investigation.

And therein lies the

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Soil scientist Doug Edmeades describes regen ag as a manyheaded hydra.

problem with RA. Dr Charles Merfield from Lincoln University spells it out: “Fundamentally RA (and organic agriculture) is a values system and the only way to decide which value system is preferred is through debate/political processes. At its highest level, RA is beyond the reach of scientific method.”

Landcare Research’s Dr Gwen Grelet says that we need to build “a scientific understanding” of RA. Her long diatribe on RA is entitled “Research pathways to build sciencebased evidence and national narratives”.

It sounds like she has already made up her mind regarding the many claims made for RA and from her perspective all that is required is to run around and cherry pick some supporting science.

I first saw this approach being adopted in the now infamous Maxicrop case. After a 12-month-long hearing,

the High Court in Wellington in the mid1980s ruled, after hearing evidence from 20 scientists, that the product did not and could not work.

Initially the proprietors claimed that it worked because of the nutrients it contained. It was shown that the amounts of nutrients in the product were trivial. Next, they claimed that it worked because it contained organic matter, which activated the soil organisms. It was shown the amount of organic matter in Maxicrop was trivial relative to the amounts already in the soil-plant system.

Undeterred, a new mechanism was advanced. It contained a plant growth hormone, cytokinin. Unfortunately, the concentration was such that about 90,000 litres per hectare would be required for it to work in the field.

As each claim failed the science test, a new claim was advanced. The product was above the reach of science therefore could be considered ‘beneath (further scientific) consideration’.

I saw this same sequence of events play out in the organic farming fraternity. It was claimed that organic food is healthier than food produced by conventional

farming. There have now been three major reviews of the international literature and there is no evidence to support this claim. Similarly, it has been shown that organic manures are no better than conventional fertilisers, in terms of maintaining soil productivity and quality.

Therefore, organic farming is no better or worse than conventional farming in terms of their environmental foot print.

It does not seem to matter how much science is ‘thrown’ at organic farming, it will still persist. The myth is above and beyond the reach of science! Is it any wonder that scientists hold organic farming in contempt?

We see the same pattern emerging with RA. They are against the use of chemical fertiliser, preferring to use alternatives: liquid seaweed and fish hydrolysates. Around 800 trials have been conducted worldwide on these products – they do not work.

RA proponents favour the use of the AlbrechtKinsey system of soil testing as a basis for making fertiliser advice. It does not work! They place faith in growing multiple pasture species coupled with lax grazing. Current science tells us this is

an agronomic nonsense.

They claim that farmers will be better off despite the evidence that shows this it is not as profitable as conventional farming.

Evidence is now emerging that RA stock are no different from conventionally raised stock in terms of meat quality. And to claim that RA will reduce climate change by mopping up CO2 into the soil is neither practical or, indeed, possible.

RA is a many-headed hydra – as soon as one head is lopped off by science another grows in its place. Because it is faith-based there is no experiment nor any number of experiments that can be done which would falsify RA. Applying Popper’s test, RA is not science and is therefore not worthy of science investigation. It is no surprise that many scientists feel irked, as I am, by this new imposter.

This feeling is greatly exacerbated by the fact that the MPI has given the Quorum Trust $1.85m to promote RA to New Zealand farmers! This at a time when genuine agricultural research is starving for funds.

• Dr Doug Edmeades spent 20 years as a soil scientist at Ruakura before leaving institutional science in 1997 and establishing his own science consulting business.

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OPINION 19

UK FTA a boon for NZ meat ANDREW MORRISON

THE RECENT New Zealand-United Kingdom free trade agreement (FTA) represents the cumulation of over five years of hard work by the New Zealand Government – supported

by Beef + Lamb New Zealand (B+LNZ) and the Meat Industry Association (MIA).

It will deliver outcomes that will directly improve the profitability of New Zealand’s sheep and beef sector.

The red meat sector’s trade strategy seeks to ensure New Zealand red meat products have comprehensive access to the widest number of markets possible.

Underpinned by FTAs, commercial relationships across diverse markets allow exporters to seek the best returns by targeting different markets for different products at the most opportune time.

This strategic approach sees the sector export to over 100 different markets worldwide. Once the UK-New Zealand FTA comes into force, approximately 65% of the sector’s trade will be

nce ust on ess he ad me,

Dr Doug Edmeades

k

Beef+Lamb NZ chair Andrew Morrison

strategically grow their beef exports to the UK. UK consumers are discerning but willing to pay premiums for highquality products with high animal welfare and sustainability credentials.

Demonstrating New Zealand’s credentials for robust regulatory

oversight and high standards, including in respect of farming practices, was crucial for these FTA negotiations.

During the FTA negotiations, B+LNZ and the MIA built relationships with British trade negotiators and industry representatives

by taking them on-farm and to processing plants in order to showcase the sector and demonstrate first-hand the work our beef and sheep farmers are doing on sustainability and animal welfare.

Concerns are likely to be raised about our

standards during the UK’s FTA ratification process and we will be working to combat this mis-information to support the safe passage of the FTA through their parliament.

• Andrew Morrison, chairman of Beef + Lamb New Zealand

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covered by FTAs with a further 25% covered by a preferential bilateral arrangement.

The importance of market diversification and a network of FTAs to complement those trading relationships has been underlined by the Covid-19 crisis as exporters have been able to redirect product to markets with the highest returns.

In 2021, despite widespread shipping and market disruption, the value of New Zealand’s red meat exports topped NZ$10 billion for the first time.

The New Zealand-UK FTA represents another key link in this market access strategy. As a longstanding trade partner, the UK is already an important market for New Zealand red meat products. It is our second largest sheepmeat market and has significant potential as a beef market.

Since the 1970s, however, New Zealand’s access has been constrained by quotas, particularly in respect of beef. The FTA delivers will allow companies to build relationships with customers and

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RURAL NEWS // APRIL 12, 2022

20 MANAGEMENT

Should hoggets go to the ram or not?

DESPITE THE potential advantages of mating hoggets nationally, only about one third of these young ewes are put to the ram each year.

However, before doing this, farmers must set out some guidelines for deciding whether to put their hoggets to the ram and how to produce any extra lambs without sacrificing a ewe’s lifetime production.

Managed correctly, hogget mating has the potential to enhance the productivity and profitability of the future ewe flock. But the opposite is also true.

Not all farmers will be able to breed from their hoggets and for those that do, it should be a flexible policy based on feed availability.

Farmers should only consider mating

hoggets when: ● The main flock is performing well (i.e. over 120% lambing) and you expect better returns from lambing hoggets than from putting more feed and

●

labour into the mixedage ewes.

You are confident that you will be able to feed lambing hoggets well throughout pregnancy and lactation to wean good lambs. Ensure

KEY CONSIDERATIONS ●

●

●

●

Feeding is critical – you cannot overfeed pregnant hoggets.

Select the correct sires. Genetics – not feeding – is the greatest determinant of lamb birthweight.

Set monthly liveweight targets for hoggets that are to be mated.

Monitor liveweights and compare actuals to targets.

●

●

●

Ensure appropriate animal health plans are in place.

Legume-based forages are an option to optimise post-lambing growth rates in both lambs and hoggets.

Consider early weaning to give the hogget more time to recover before being mating as a two-tooth.

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●

hoggets can still achieve target weights at two-tooth mating.

This means they need to gain around 20kg – or 135 g/day throughout pregnancy. Given the conceptus (the placenta, foetus and fluids) weighs 10kg, a hogget should weigh a minimum of 60kg the day before she lambs and 50kg the day after.

Hoggets are up to target weight at mating (e.g. a minimum of 40kg or 65% of mature weight. This 65 per cent is the individual benchmark, not the mob average. Weigh

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two-tooth performance.

The heavier the ewe lamb at mating, the less pressure on winter feed resources to reach post lambing target weights.

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Benefits ● Higher ‘return on feed consumed’. More lambs are produced from the same number of sheep. ● Greater culling power. ● Faster generation turnover so an opportunity for slightly faster genetic progress – this needs to be weighed up against selection of proven ewes to breed from, and the liveweight of replacements kept from hoggets. Genetics are not the sole driver of lifetime performance. ● Uses excess spring feed. ● Better fed hoggets (as a result of a decision to mate) can boost lifetime performance.

Risks/costs ● A mated and lambing hogget needs around 100kg of extra dry matter over a one-year period compared with an unmated hogget. ● More labour is required. ● In-lamb hoggets reduce management options for coping with feed shortages. ● Higher hogget death rates.

Source: https://beeflambnz.com/knowledge-hub

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RURAL NEWS // APRIL 12, 2022

MANAGEMENT 21

Winter feed budget preparation key to good stock management into winter with long pasture covers and tag need to address the issue of quality before spring.

Fraser recommends using whatever class of stock is available to clean up areas where quality is important going to spring, rather than tackling the whole farm.

This, for example, could be where twin-bearing

A feed budget allows decisions to be made early so that feed is allocated to priority stock to ensure animals are fed to meet their requirements.

ewes are set-stocked for lambing.

With potential processing delays, lambs should be maintained and if they’re not up to weight, he advises farmers consider buying in supplement to increase growth rates and achieve target weights.

To work out the cost effectiveness of

a supplement, Fraser suggests using the cost of grain as the benchmark, as this is a high-quality feed with high utilisation.

“It is never efficient to take weight off an animal.

It takes three times the amount of energy to put on a kilogram of liveweight on an animal than what you’re saving by taking weight off.”

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early, feed to be allocated to priority stock and ensure animals are fed to meet their requirements, not management requirements.

A feed budget is simply allocating

you make decisions,” Fraser adds.

The information required to put together a feed budget includes stock classes and numbers, stock weights and production status

“It is never efficient to take weight off an animal. It takes three times the amount of energy to put on a kilogram of liveweight on an animal than what you’re saving by taking weight off.” potential feed supply to meet animal demand.

This plan could cover a whole farm for one year, part of a farm for a short period or even just one paddock for one stock class for a day.

“It’s not an exact science but it will help

(maintenance or growth), feed available which includes pasture covers (sward sticks will help measure covers and help calibrate the eye) and supplementary feed (grain, hay nitrogen).

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Fraser recommends working through each class of stock to calculate their requirements and total feed demand. It is important to include feed utilisation, which will vary depending on the quality of the feed and climate.

He says it is important to note that baleage is not 100% drymatter, and suggests a good estimate is 50% drymatter.

A spreadsheet, available through B+LNZ extension managers, will allow users to run different scenarios and test different management strategies.

Fraser says winter is the easiest time to do a feed budget as growth rates don’t vary much through the colder months.

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LATE AUTUMN is an ideal time to do a feed budget to help meet livestock performance targets and set up pastures for spring.

Farm Systems scientist Tom Fraser says doing a feed budget helps drive farm profitability and reduce farmer stress levels.

In a recent Beef+Lamb NZ webinar, Fraser explained how a feed budget will identify deficits and surpluses and highlight any red flags so actions can be taken early.

“Doing something is better than waiting for disaster to happen and every time you do a feed budget you will get better at it,” he says Farmers in different parts of the country are going into winter with different challenges.

Many regions have had a wet summer so feed quality could be an issue.

However, other areas – such as Southland and the West Coast – are very dry and facing feed deficits.

Meanwhile, everyone is affected by Omicronrelated supply-chain disruptions.

All these challenges build a strong case for putting together a feed budget going into winter.

Fraser says a feed budget will allow decisions to be made

RURAL NEWS // APRIL 12, 2022

22 ANIMAL HEALTH

New manager for Wormwise EXPERIENCED RURAL vet Ginny Dodunski has been appointed manager for the Wormwise programme.

The programme is a partnership between Beef+Lamb New Zealand (B+LNZ), the Ministry for Primary Industries (MPI), Agcarm, the New Zealand Veterinary Association (NZVA) and other stakeholders. It works to provide farmers with the latest knowledge and techniques to manage worms effectively and sustainably and minimise drench resistance

issues. It also aims to lift productivity and the welfare of livestock.

Dan Brier, B+LNZ general manager farming excellence, says the need for a programme manager was identified through the Wormwise strategy and action plan.

This was undertaken with stakeholder and farmer interviews, surveys and workshops during 2021.

“Ginny is very highly regarded, well known and liked in industry and by her farming clients,” he says.

“She has been involved in a number of parasite and farm systems research projects in the past as well as

The will include ensuring the programme’s activity across the industry is linked up across researchers,

“I have been a huge advocate of Wormwise since it was conceived and have been a facilitator for the programme since it was launched.” farmer extension through programmes like the Red Meat Profit Partnership (RMPP) Action Network and has a reputation for getting jobs done.”

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industry, government, vets, drench companies and farmers.

“Priorities for the next 12 months will include building on the action plan across our four key areas: education and engagement, incentivising farmer practice change, product stewardship and building data and testing,” Brier explains.

“A key part of the next six months will be getting across all the parties and people involved in parasite management in New Zealand to ensure everyone is working toward helping farmers become more sustainable and profitable.”

Dodunski joined Totally Vets (formerly Manawatu Vet Services) in 1998. Apart from a year working in Taranaki and another year in Australia, she has worked for them ever since – almost exclusively with farm livestock. She has worked from the Taumarunui clinic since 2014.

“I have been a huge advocate of Wormwise since it was conceived and have been a facilitator for the programme since it was launched,” Dodunski says.

“When the need for a programme manager was identified, I thought ‘that is 100 per cent me’.

“Wormwise is so important because there is much to be gained from management that improves productivity but also reduces the impact of parasitism.”

Dodunski says many people have the impression that the programme is all about mitigating drench resistance, but she says it is so much more.

“It’s about improving productivity and sustainability and using all the tools in the toolbox, rather than just drenching.”

Dodunski sees raising the profile of Wormwise across the rural sector as an important focus.

“I would like to see it become a lot more visible, so that the principles become part of people’s day-to-day management thinking. It would be good to get to the point where farmers, who are trying to decide management of a certain group of sheep, will be thinking: ‘What would Wormwise advise – how does it fit’? It’s about

Experienced vet Ginny Dodunski has been appointed as the new manager for the Wormwise programme.

keeping that lens over what you are doing on farm.

“Ultimately, everyone is going to need to have an integrated farm plan around what to do with things like water and greenhouse gases and part of that could easily include sustainable worm management. But it’s got to be practical, meaningful and fit the farm system.”

She believe that, at present, the good advice and awareness building is mainly coming through vets.

“The programme already has printed and downloadable material but I would also like to look at new and different ways to deliver the messages, including ramping up social media and working with other

rural suppliers to make information about the programme more widely available.”

Brier adds that says farmers can expect to see a continuation of the current Wormwise extension programme through B+LNZ Farmer Councils.

“There will be a renewed communications and engagement plan and a real focus on helping farmers understand how other farmers are managing in the face of anthelmintic resistance on their farms.”

He says a key first step is defining, in partnership with others, how bad the parasite resistance problem in New Zealand actually is.

Dodunski will take up her new role at the beginning of May.

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RURAL NEWS // APRIL 12, 2022

ANIMAL HEALTH 23

Staggeringly exciting research may save sheep farmers big money LIVESTOCK RESEARCHERS around the world can now remotely detect ryegrass staggers in sheep using on-animal sensors.

This follows research findings from an international team – including researchers from Lincoln University and CQ University in Central Queensland.

Results from the study means that, in the future, farmers will be able to act quickly and move sheep to new pastures when they begin to display the signs of (grass) staggers – potentially improving their bottom line by $100 per hectare.

Grass stagger is caused by the consumption of plants such as phalaris and ryegrass – common in both Australia and New Zealand – that are infected with toxic strains of endophyte. It can be fatal if animals have experienced prolonged exposure to toxic pasture.

Toxic strains of endophytes can also be present in tall fescue, which is a common forage in the eastern and Midwestern United States.

The research team was led by Professor Derek Bailey from New Mexico State University, who also holds an Adjunct position at CQUniversity and works closely with CQU’s Rockhamptonbased Precision Livestock Management group led

machine learning and real-time monitoring of sheep behaviour with accelerometers and

GPS has potential to detect when endophyte toxin levels affect their well-being (ryegrass

staggers) and the animals should be moved to a different pasture,” Bailey concludes.

Never compromise.

Professor Derek Bailey from New Mexico State University led the research team looking into ryegrass staggers in sheep.

by Prof Mark Trotter.

The pair also worked with researchers from Lincoln University in monitoring the behaviours of sheep grazing perennial ryegrass using accelerometers and GPS devices.

“Visual monitoring or periodic testing for staggers is time consuming and labour intensive, especially when sheep are kept in large groups or in extensively grazed pastures,” Trotter explains. “However, on-animal sensors can remotely monitor and detect changes in animal behaviour, so that when certain behaviours are exhibited they can determine if an animal

is ill.” He adds that the emergence of smart-tags for real-time monitoring of livestock may allow farmers to respond more rapidly when animals become ill.

“Previous economic modelling has suggested that the value to the sheep industry of being alerted to staggers and then being able to quickly manage it would be worth over $100 per hectare in additional income.”

The research findings, recently published in the journal Smart Agricultural Technology, show that animals grazing the infected pasture moved more slowly than sheep in the endophyte-free control pasture.

Machine learning analysis of accelerometer data showed that the activity of sheep that suffered staggers was increased in the morning and midday towards the end of the trial.

The study was conducted at Lincoln, where sheep fitted with collars containing accelerometers and GPS tracking devices were grazed on ryegrass for 17 days in autumn.

Bailey says the GPS devices tracked animals at 3-minute intervals and the accelerometers recorded movements at 12 times per second.

“Although more research is needed, the combination of

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Synthetic Nitrogen Fertiliser Limit What farmers need to do To help protect and improve our waterways, a limit now applies to the amount of synthetic nitrogen fertiliser applied to pastoral land. This was introduced as part of the Essential Freshwater package.

Carefully managed, fertiliser is a useful farming tool. However, it can contribute to nutrient loss into soil and waterways, impacting water quality and in-stream life.

All farmers

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• The amount of synthetic nitrogen fertiliser you apply to pastoral land cannot exceed 190 kilograms of nitrogen per hectare per year

For more information, visit ecan.govt.nz/synthetic-nitrogen-cap or contact us on 0800 324 636.

Dairy farmers • Report your synthetic nitrogen fertiliser use to Environment Canterbury annually • Submit your first report by 31 July 2022 we’ll be in touch soon about how to do this

RURAL NEWS // APRIL 12, 2022

24 MACHINERY & PRODUCTS

Dump trailers offer many uses MARK DANIEL markd@ruralnews.co.nz

AFTER RECENTLY adding the German-built range of Fliegl trailers to its extensive portfolio, Power Farming New Zealand anticipates high levels of interest in the TMK Dump Trailer Range.

“We envisage these high-quality trailers becoming a frequently-used machine on the farm given their versatility,” says Power Farming’s Fliegl specialist John Chapman. He says that the trailers are ideal for carting maize, grass and cereal crops during harvest.

“In the off-season, they have the ability to handle soil and gravel, which will ensure they don’t stay in the shed for too long,” Chapman adds.

“Our intention is to offer a range of the TKM dump trailers between 8 and 29 tonnes, in 2 or 3 axle configurations.

We’re also exploring specialised trailers for potato harvest and a range of highwear-resistant steel-bodied trailers for rock and stonework.”

Looking at the trailers in more detail, stability on uneven ground is achieved by combining a wide-gauge chassis with a suspension assembly, which uses a dual system where axles are positioned above the parabolic springs. This results in a range of movement of up to 30cm for ground compensation.

Meanwhile, the Jumbo Gigante Plus System can also impart a further 20cm lower centre of gravity over Fliegl’s other impressive suspension systems.

Fabricated from complete hollow steel sections, unlike competitors more common welded U-section profiles, the fully-galvanized frame ensures

The Fliegl TMK Dump Trailer Range are said to be ideal for carting maize, grass and cereal crops during harvest.

maximum strength and torsion resistance.

The chassis also features a gimbalmounted tipping cylinder with a limitswitch. While in the case of higher specification models, heavy-duty tilt bearings are mounted directly onto the chassis frame.

The TMK Dump Truck range boasts a heavy-duty cross bridge and floor frame (5mm thick) for torsion resistance and optimum tilting performance. It has reinforcement sections pressed from single steel and

sidewalls pressed from 4mm single sheets for maximum strength.

Standard equipment includes a tipping angle of up to 55 degrees, mudguards, LED lights, an underride guard and a 400mm x 230mm grain chute. Other features include a 500mm, deep-galvanised body extension, inspection window and ladder, a swiveling tow eye as well as a choice of mechanical or hydraulic parking jack.

The TMK190 FOX dump trailer is built to appeal to farmers and

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contractors wanting a quality unit at a competitive price. Its compact trough design allows better maneuverability around the farm, despite its 27m³ capacity.

The Titan Tandem Suspension Assembly uses central pendulum storage of the springs providing exceptional stability.

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suspension and heavier build of the frame, axles and suspension. Supplied with the Jumbo Gigant Parabolic suspension assembly, the PROFI uses a pendulum axle with the springs mounted in the centre of the unit to provide excellent stability.

Because it is 20cm lower than other Fliegl suspension systems, the TMK269 PROFI – with a 35m³ capacity (with extensions)— compact shape and short frame makes it ideal for hill country operations. www.powerfarming.co.nz

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RURAL NEWS // APRIL 12, 2022

MACHINERY & PRODUCTS 25

Nozzle control aiming to hit the right spot MARK DANIEL markd@ruralnews.co.nz

PRECISION AGRICULTURE specialist Ag Leader has added the RightSpot spraying system to its range.

Part of Ag Leader’s DirectCommand precision planting, spreading and spraying technology, RightSpot controls up to 144 nozzles individually and is said to give more consistent and accurate coverage over a range of operating speeds.

It is suitable for retro attachment to a wide range of self-propelled and trailed sprayers.

resulting in reduced coverage and efficacy.

Conversely, any increase in speed will result in a smaller droplet size, increasing the risk of chemical drift onto adjacent crops.

RightSpot, controls flow rate and pressure independently, meaning operators can speed up or slow down without sacrificing the droplet size or coverage. The system can also shut off each nozzle automatically, allowing the operator to follow the most efficient path of travel rather than tracing around obstacles.

Additionally, automatic

“Adding nozzle-by-nozzle control to their existing sprayer can deliver immediate agronomic and financial benefits.”

Ag Leader Asia Pacific sales manager, Doug Amos, says with increasing input costs and tightening environmental regulations, producers need to look at ways of increasing the efficacy, accuracy and productivity of their spraying operations.

“Adding nozzleby-nozzle control to their existing sprayer can deliver immediate agronomic and financial benefits by minimising under- or over-application and the potential for spray drift,” he adds.

RightSpot utilises pulse width modulation technology to maintain a consistent, userdefined boom pressure and application rate, regardless of operating speed. This compares with a traditional sprayer that regulates the application rate by increasing or decreasing boom pressure as the ground speed of the sprayer changes: This means any reduction in speed, such as when travelling over rough conditions or around obstacles, will produce a larger droplet size,

turn compensation adjusts the application rate on the inner and outer portions of the boom to ensure a consistent rate is applied right across the boom during turning.

Amos also points out that the system can be retrofitted to any make or size of sprayer.

“Twenty years ago, farmers could only make changes to the entire boom, while 10 years ago they could control the operation of each section, but today they can control individual nozzles,” he says.

The manufacturer suggests RightSpot is a cost-effective method of upgrading a late-model, self-propelled or trailed sprayer into a state-ofthe-art precision sprayer.

The system is controlled using Ag Leader’s universal InCommand 1200 terminal, which also controls the company’s steering/guidance systems, precision planting and spreading solutions.

The system will be available via the Ag Leader dealer network throughout Australasia from this spring onwards.

The RightSpot system up to 144 nozzles individually and is said to give more consistent and accurate coverage over a range of operating speeds.

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RURAL NEWS // APRIL 12, 2022

26 MACHINERY & PRODUCTS / RURAL TRADER

When two is better than one!

MARK DANIEL markd@ruralnews.co.nz

GERMAN MACHINERY companies Krone and Lemken are probably better known for their grassland and cultivation

products.

However, the pair recently revealed a new collaborative concept they have been exploring.

The Combined Powers project centres around a 230hp diesel-electric

autonomous tractor that sees electricity, produced by the drive unit, transferred to the wheels, PTO and hydraulic systems.

The machine is said to have been developed

German machinery manufacturers Krone and Lemken recently revealed a new collaborative concept they have been exploring centring around a 230hp diesel-electric autonomous tractor.

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to address the increasing problem of finding skilled labour. Both companies believe it will also free farmers from spending extended hours in the paddock undertaking harvest, cultivation and planting.

Tested in secret during 2021, no doubt helped by the ongoing Covid pandemic creating

lockdowns and removing “prying” eyes, the concept was tested with a wide range of implements – including ploughs, cultivators and drills, as well as mowers tedders and swathers.

In practise, what were tractor drivers will now become machine operators – controlling the unit from a mobile

device. This will involve transmitting jobs and receiving completed job reports via a communications module and Agri-Router – an already established data exchange hub.

In the paddock, sensors mounted on the drive unit will monitor the immediate surroundings and the implement –

with the former being controlled by the latter.

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RURAL NEWS // APRIL 12, 2022

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