dairy news 10 february 2015

CHECKMATE CHECKPOINTChampion bull’s reign overPAGE 23

RATE RAGEFarmers demand

fair system PAGE 14

GDT delivers pleasant surprise for farmers. PAGE 3

FEBRUARY 10, 2015 ISSUE 328 // www.dairynews.co.nz

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WHERE’S OUR CHINA PLAN?“The Danes and Irish overtook us and we moved from 3rd to 5th place in infant formula exports to China.” - Chris Claridge, Carrickmore Nutrition. PAGE 4

DAI RY NEWS FEBRUARY 10, 2015

NEWS // 3

NEWS��3-19

OPINION�� 20-21

AGRIBUSINESS��22-25

MANAGEMENT��26-30

ANIMAL HEALTH�� 31-34

FENCING & FARM BUILDINGS ��35-37

MACHINERY & PRODUCTS��38-42

Heifer raising tips. PG.16

Diet helps cows keep cool. PG.34

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Pleasant surprise in GDT jump

THE GLOBAL Dairy Trade price jump of 9.4% last week was at the top end or bigger than pre-dictions by economists and part of a continued upward swing.

A price lift was expected on the back of Fonter-ra’s warnings of 3.3% lower production than last season. But the 19.2% surge in whole milk powder to US$2874/t had banks lifting or holding their forecasts.

ASB rural economist Nathan Penny says the overall GDT result was at the top end of their expectations. The bank is holding its $4.70/kgMS forecast at present. “We need prices to kick on a bit further but at this stage it is well on track for that and it takes away a lot of the downside risk. We would have had to revise down if things didn’t

pick up soon. That possibility is off the table for now.”

In the long run over the next 10 years they see prices stabilis-ing at about $7/kgMS but ASB’s forecast for 2015-16 is $6/kgMS. “We are also more confident of that. This season will still be tough for farmers: milk price is going to be low and production in some areas will be down where it is dry. They will have to manage through this season but they can be a little more confident of prospects for next season.”

Penny says prices were strong where it matters. “The price of key product, WMP, surged 19.2%. In addition, SMP (the second key product after WMP) rose 6.7%.

“Elsewhere it was more mixed. Butter prices continued their resurgence, rising 6.1% to be up over 50% since November 2014. Meanwhile, AMF continues to give back some of its recent gains, falling 5.4% overnight on top of the 5% fall in the last auction. In addition, there was a fall for cheddar, a rise for casein and BMP was effectively flat.

“Looking by contract, the strength in WMP was across all contracts. Specifically, the increases ranged from about 15% to 22% or $380 to $520 per MT across the five contracts on offer with compa-rable prices.”

ANZ senior economist Michael Gordon says the direction is not surprising given that Fonterra has given clear warnings that drought will reduce milk production in the first half of the year.

“But the price increase has come on faster than we were anticipating and we will be look-ing to revise our forecast for this season. It is still going to be on the low side but we are looking at

[about] $5/kgMS rather than $4.80/kgMS (ANZ’s former forecast).

“It is still well below what we’ve experienced in recent years but there’s at least some mild relief coming in the form of high prices.”

Whole milk powder was where Fonterra was signalling the drop in production most strongly.

“There were some variable results; some of the fat products had some big drops. It is not… a blan-ket increase in demand. It signals some concerns about supply for some products, particularly whole milk powder which is where New Zealand is the dominant player.”

ANZ has lifted its forecast from $4.35 to $4.50 to $4.70/kgMS.

PAM TIPApamelat@ruralnews�co�nz

THE FULL GDT results were: ■ AMF index down 5.4%, average price

US$4067/MT

■ Butter index up 6.1%, average price US$3783/MT

■ BMP index down 0.4%, average price US$2436/MT. Cheddar index down 11.1%, average price US$2636/MT

■ LAC not offered

■ RenCas index up 7.7%, average price US$8776/MT

■ SMP index up 6.7%, average price US$2598/MT. SWP index not available, average price not available

■ WMP index up 19.2%, average price US$2874/MT.

ROSIER PICTURE

@dairy_news facebook.com/dairynews

Whole milk powder prices jumped 19% in last week’s GDT auction.


4 // NEWS

THE HEAD office of Carrickmore Nutrition is indistinguishable from the other houses in Pateke Way, Parapap-aumu, on the Kapiti Coast.

From the main office room, the view is over a small wetland and the nature reserve of Kapiti Island looms in the background. You can hear the waves hitting the nearby beach. Only three people – Chris Claridge, his wife and another employee – work here. He lives in the world of the virtual office where others who support his operation are far from the head office.

His family already has an interest in the health industry: his father is a med-ical doctor and his sister has worked in the food safety area at MPI. He has a sci-

ence degree but until the Christchurch earthquake he ran an advertising agency in that city.

“At that time in Christchurch it was a bit difficult so the logic was to find a product or a service that didn’t require a domestic market. It was also logical to find something scalable, that was in demand and where New Zealand had a competitive advantage and something I had some knowledge of. At the start we looked at adult formulas and noticed a lot of the products on the shelves were made offshore which seemed a bit stupid. At that time there was a frenzy of Chinese people in New Zealand buying infant formula and shipping it back to China.”

With a background in brand devel-opment and management Claridge and his family decided to target the infant formula market. He assembled a vir-tual product development team using digital media techniques and in paral-lel worked with three canning plants in Auckland.

In 2012 the first batch of 7500 cans was launched into the Chinese market at the Shanghai ‘Mother and Baby Show’.

His company’s sales have grown rap-idly and last year it exported 750,000 cans of infant formula to China.

His operation is small and so are sales of New Zealand branded infant to China – in total about 10 million cans

are sent to China each year.Though the firm hasn’t millions to

spend on promotion, Claridge uses his advertising skills to do smart and enter-taining in-store promotions.

On his visits to China he packs his ukulele and sings and gets local people to join in.

“We have below- and above-the-line marketing and I travel throughout China meeting retailers. Above-the-line is media spending including television advertising. I made a commercial being shown on Chinese TV in my living room at home. We are in 3500 stores in China so we travel and meet our sub-distribu-tors and retailers and run training pro-grammes and seminars. So far I have

run about 30 seminars and visited 150 stores.”

Although he buys some of his raw material from Fonterra (he also buys some from Synlait) Claridge does not see Fonterra as a competitor. He says they seemed to have struggled to get their own brand into China and he doesn’t see them as a threat.

In the meantime Carrickmore con-tinues to increase its exports to China – another example of a small, smart company developing a profitable niche in the world’s most competitive high profile food market.

On Twitter follow Chris and his Chi-nese adventures @claridgechris

– Peter Burke

Head office with a difference

Stop flying blind in China

A NEW Zealand exporter of infant formula to China says there is no overall integrated ‘New Zealand Inc’ plan for that country.

Chris Claridge, man-aging director of Car-rickmore Nutrition, says New Zealand govern-ment departments and all exporters, including Fon-terra, need to work more cooperatively. Without this, individual companies will get picked off to their detriment and the detri-ment of the whole coun-try.

Claridge says New Zea-land could well learn from the way the Europeans operate in the Chinese market.

“Look at the Danish. They go in with strong business links, a strong industry and they work co-

operatively. They ‘gang tackle’ China whereas New Zealand’s strategy is complicated by Fon-terra’s position. Fonterra being the dominate player doesn’t engage collabor-atively. You understand why, because people on the periphery are small, but Fonterra operates its own agenda. Its activi-ties are separate from the New Zealand government in China. So the result is there is no articulation between Fonterra and the New Zealand govern-ment in China. There is no China plan.”

Claridge says each gov-ernment agency involved – NZTE, MPI and MFAT – seems to have a China plan but they are not inte-grated. The situation is improving, he says, but the absence of Fonterra from the equation remains an issue.

“So in Shanghai for

instance you have virtu-ally zero communication between Fonterra and the New Zealand government. You can argue that this is fine, that there shouldn’t be any because Fonterra is a corporate operation and they shouldn’t work with the government. But the concept of NZ Inc doesn’t in fact operate because not

everyone is sitting down together and talking.” It seems they talk only when they absolutely have to.

The biggest problem for New Zealand in China is the Europeans, Claridge says. Following the bot-ulism incident in which Fonterra and the govern-ment didn’t fully miti-gate the public relations

problem, consumers and distributors started substi-tuting European product for New Zealand product.

“New Zealand lost market share. The Danes and Irish overtook us and we moved from third to fifth place in infant for-mula exports to China. It was obvious this was going to be a problem because

of the botulism scare and our competitors in the Chinese market saw an opportunity to take advantage of the nega-tive publicity about New Zealand branded prod-ucts. It was basically a two pronged attack: a regu-latory environment with the Chinese registering infant formula production facilities in New Zealand, which constrained pro-duction; then an attack by our competitors out of Europe who were able to compete with us on cost – in some cases 30% cheaper than us.”

Claridge says the Chi-nese market is difficult to operate in because of com-plex rules, cultural issues and the sheer competitive nature of country.

Despite the machi-nations of the Chinese market, he believes there is a strong future for small niche companies such as

his. He notes that in New Zealand the Chinese are buying canning plants as part of a strategy of achieving vertical integra-tion and their own supply chain. He says he’s amazed at the lack of knowledge in New Zealand about the dairy industry and the international trends and forces that affect it. He acknowledges Fonterra operates cleverly in the market and employs smart people. He says the forces Fonterra is exposed to at a global level are phenom-enal.

Despite this praise, he regards Fonterra as “the best truck drivers in the world” – still largely a commodity based pro-ducer adding little in value add, concentrating on commodities and ingre-dients but not ventur-ing much into high value products as do Tatua and Westland Dairy.

PETER [email protected]

Chris Claridge wants all New Zealand exporters to work together in China.

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NEWS // 5

FONTERRA HAS has reduced its milk volume forecast for the 2014-15 season to 1532 million kgMS, reflecting the impact of dry weather on production in recent weeks.

The new forecast is 3.3% lower than the 1584 million kgMS col-lected last season.

The previous milk volume forecast, made in December last

year, was 1584 million kgMS.Group director cooperative

affairs Miles Hurrell says daily milk production was now 6.1% lower than at the same time last season, as farmers appear to be using more traditional practices to manage their farm businesses with the low payout forecast.

“In the first half of the season, excellent pasture conditions

resulted in milk volumes being higher than the previous season. The situation has changed signif-icantly over this month.

“In some regions where pas-ture quality has declined mark-edly since mid-January, we are seeing some farmers drying off cows early. There also appears to be a reduction in feed supple-ments, as the economics do not

support their widespread use this season.”

Fonterra has confirmed it can meet all current sales commit-ments.

However, in light of the reduced milk volume forecast it is planning to reduce the quantity of product offered on the Global-DairyTrade auction platform and via direct sales channels

Dairy production dips as drought bites

Co-op pitches low

THREE MORE dairy companies – Miraka, Open Country and West-land – are reporting milk flows dip-ping as dry weather starts to affect grass growth and production, despite reasonable rain in many places in the past week.

Fonterra last month cut its milk volume forecast for the 2014-15 season by 3.3% to 1532 million kgMS.

Miraka chief executive Richard Wyeth says for the first part of the season until December they were consistently tracking above last year, but now production in their milk catchment in the greater Taupo region is starting to dip.

“We were ahead going into December, but the deficit from Jan-uary onwards will mean we will be down on our total production for the year,” he says.

Wyeth says they are holding to their original payout estimate – the Fonterra price plus ten cents – making the projected payout $4.80. But he concedes this is under pres-sure given the market prices they have seen.

“We have seen some lift in whole milk powder prices but this has been reasonably small and the signals from the market are that it’s going to be some time before China comes back – three-four months, and there are other chal-lenges. It will take a bit longer to drag ourselves out of the position we’re now in.”

Wyeth says the farm gate milk price will more likely be down than up especially as most dairy com-

panies have already sold half their product.

Open Country is also reporting a slight drop in milk flow for the same reasons as other companies.

Chairman Laurie Margrain says while the season in Waikato,

Taranaki and Manawatu has been good, the milk flow is “tapering off ” – a pity when farmers are facing a lower payout and need every litre out of their cows to offset difficul-ties ahead.

He says Open Country is fore-casting an end-of-season farmgate milk price of $4.40-$4.80, but he hints it will be nearer the bottom than the top of this range.

They are watching every GTD auction and the New Zealand

dollar, all of which influence the price.

Upheaval in the international dairy market is due a combination of factors and they are watching, he says.

“There has been a significant increase in world milk production, some buildup of stocks in Asia, and the Russian factor. This has coin-cided with climatic conditions in the northern hemisphere and low grain prices in the USA. It would be a big call to attribute the cur-rent market pricing situation to any one of those factors – it’s a combi-nation.”

While the CAP on milk produc-tion will be lifted in the European Community on April 1, Margrain doesn’t expect this to unleash a ‘tidal wave’ of milk onto the inter-national market.

He says some production will inevitably hit the market and it may well be in countries to which New Zealand exports.


Richard Wyeth, Miraka

“We were ahead going into December, but the deficit from January onwards will mean we will be down on our total production for the year.”

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FOR THE second year in a row the West Coast is drying out, causing a drop in the milk flow to Westland Milk Products.

Chief executive Rod Quin says though they got rain recently the two day average supply is 6% behind last year. On a season-to-date basis they are ahead – by 3%. Quin says he expects by season end production for 2014-15 will just be slightly ahead of the previous season.

“Southern Westland is in much better shape than the northern part. While it might rain along the coast a lot of our suppliers are in the Grey Valley in the foothills of the South-ern Alps and they often don’t get the same rainfall as those on the coast. In fact many have installed irrigation systems to deal with dry weather.”

Also, Westland soils are free draining, not holding moisture as do soils in other regions. While it is nowhere near a drought, he expects the lower payout may see some

farmers reduce stock numbers and cut the use of supplements.

The good news for West Coast farmers is the payout. Westland’s Rod Quin is forecasting $5.00-$5.50. He attributes this is partly to the recent improved GTD prices and the lower New Zealand dollar and to the way Westland has

configured its business.“We are not big whole milk

powder producers. We tend to be more into skim milk powder, butter and nutritionals and proteins, which for most of the season have provided better returns than WMP. We were punished heavily last year for not being WMP producers but

the tables have turned somewhat this season.”

While $5.00 will not make every farmer happy, Quin says, it is still better than from other dairy companies. Westland has installed a new drier for next season, to give the company a more flexible product mix.


6 // NEWS

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Waiting for co-op to say sorryFEDERATED FARMERS dairy chairman Andrew Hoggard says as shareholder of Fonterra he’s heard “didley squat” about the US cheese licence saga.

He’s also unimpressed by Fonterra’s “lack of con-trition”.

Speaking as a shareholder of Fonterra and not in his capacity as a Fed Farmers board member, Hoggard says he and other farmers are disappointed and not amused at the “mistake”.

“Dairy farmers are facing all sorts of challenges right now including the drought and prospect of a low payout,” he told Dairy News.

“This is not what they want to hear. In the big scheme of things the loss is not big and won’t materi-ally impact badly on farmers. But it’s a morale deflater, one of those things you don’t want to hear. You want to hear the co-op is making smart decisions and that everyone is on their game; you don’t want to see dumb little things like this happening.”

Hoggard says people in Fonterra are being paid some “serious money” to get these things right.

“Fonterra [might] have flicked an email out to shareholders saying ‘sorry we stuffed up; this is bad, forgive us and it won’t happen again’ but I haven’t seen anything and that doesn’t impress me.”

Hoggard says Fonterra’s mistake could result from recent restructuring. – Peter Burke

No longer the wet coast

Rod Quin.



NEWS // 7

Tb outbreak under controlAUTHORITIES ARE working to control a bovine tuberculosis (TB) outbreak in Mangakino.

Several herds run as part of the same business have been affected.

NAIT and LIC data has allowed OSPRI’s TBfree vets to trace stock moved off the infected properties and these animals will be TB tested to avoid the dis-ease spreading.

All neighbours of the infected herds have been told the disease is con-tained and there is negli-gible risk of it spreading ‘over the fence’.

Bovine TB is spread through close contact between animals. The dis-ease is not transmitted by gumboots or vehicle tyres.

TBfree Waikato com-mittee chair John Bubb says having bovine TB in a herd can be stressful emo-tionally and financially.

“Farmers need support in this difficult time. There

are various avenues avail-able to farmers with a TB-infected herd, including their local TBfree commit-tee member, who is likely to have experienced the effects of the disease first-hand, Rural Support Trust and TBfree staff.

“The farmer needs the support of their neigh-bours and local com-munity. There remains an unfortunate stigma attached to herd TB infections. This can be addressed by keeping neighbours informed of the situation.”

As the number of infected herds has dropped from about 1700 in the mid-1990s to 51 today, the awareness of bovine TB in New Zealand has declined.

“Educating farmers about the risk of TB is vital towards keeping infected herd numbers under con-trol. Nearly 10 million hectares of New Zealand

is known to contain TB-infected wild animals, with possums being the main source of the disease in these areas,” says Bubb.

Stock movement-related infections can spread the disease. This can be kept in check by ensuring farmers play their part in controlling

the disease. “You must make wise

stock purchasing deci-sions and ensure all ani-mals are accompanied by a correctly filled out Animal Status Declaration form before they are allowed onto your farm. All animal movements, including farm to farm movements,

must be recorded in the NAIT system to ensure lifetime traceability.

The infected herds are currently subject to a restricted place notice, meaning they cannot be shifted off farm unless going straight to slaughter or issued with an official permit to move.

Tb free Waikato chairman John Bubb.

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8 // NEWS

Ryan O’Sullivan’s winter crops are struggling.

Hoping drought is a single season hitDESPITE DYING winter feed crops and increas-ingly crisp pasture, losses due to the central South Island drought could still be ring-fenced to this season, says a dairy farmer representative in the hard

hit region.However, if steady rain

doesn’t arrive soon the damage will spill into 2015-16 and even beyond.

“If we get real rain before the end of Febru-ary we should be able to salvage milk production and while the winter feed crops won’t be what they

ANDREW SWALLOWcould have been, they’ll be okay,” Federated Farmers Dairy South Canterbury chairman Ryan O’Sullivan told Dairy News.

“Milk production will be down and feed costs will be up, but it will not be a disaster.”

That best case sce-nario would see his 2014-15 output 10% below budget but with irrigation gone and cows already on 16-hour milking, that could climb to 25-30% if the drought doesn’t break soon.

Meanwhile, a loom-ing shortage of winter feed could see cows go into 2015-16 in poor condition, affecting production and in-calf rates, which in turn would impact in 2016-17. “I don’t know where the winter feed will come from. You can’t buy it if it’s not for sale.”

Palm kernel is avail-able, apparently without limit, and at 20-23c/kgDM it’s one of the few feeds that isn’t loss making at the current payout fore-cast, but there’s a limit to how much can be used, he adds. “You need some fresh material to go with it: grass, silage or baleage and that’s in great shortage.”

O’Sullivan’s quick to point out that while their farm is in one of worst hit areas, as an established business of seven years they should be able to “push through”, but new entrants, whether share farming or in other busi-ness structures, will be under huge stress due to the pincer of payout and

drought. “They’ve not had that payout from last year to help see them through.”

Cashflow forecasts through to next Christ-mas show the losses will really start to stack up in the winter and spring, especially if there’s no better payout forecast for 2015/16, he adds.

“If it’s $4.70/kgMS then the $2.80/kgMS or so advance isn’t going to cover anything more than farm working expenses. If this [GDT] recovery firms and builds, and the forecast’s $6 with a $4 advance, that’s going to be a lot better to survive on.”

O’Sullivan says he’s been fortunate to get 250 heifer calves which are normally grazed on their supporting land around the 340ha, 1250-cow plat-form, away to irrigated grazing in Central Otago. Another 90 are still at home, grazing lucerne on riverflats usually con-served as baleage. “There’s not enough to make it worth baling.”

Feed for the calves sent away is certain, thanks to Clutha River water, whereas their home farm’s extraction from the Ten-gawai River, which is man-aged as part of the Opuha scheme, was stopped at new year. The farm’s 360,000m3 pond kept the grass growing through January but now it’s all but empty. “There’s about 600mm left in it… We’re keeping that as emergency stock water. Stock water’s OK at the moment but the Tengawai is critically low.”

SEVEN-MONTH DRYIT HAS turned dry in many regions in the past couple of months but at least most of the North Island enjoyed a good spring.

In Southland and South Otago the spring was persistently cold and wet causing below par pas-ture growth and hampering attempts to silage any surplus that was available.

It was a similarly cool spring along the central South Island’s east but with little rain in the persistent sou’westers. Soil moisture deficits soon became severe on non-irrigated farms and by December irrigation restrictions were spread-ing, with only the Alpine schemes, such as the Waitaki-fed Morven-Glenavy and North Otago, or Mid Canterbury’s Rangitata diversion race, unaffected.

MetService records for Timaru Airport show just how sustained the dry in that area has been, with 145mm of rain July-Jan inclusive. That’s just 43% of the total of 335mm for the monthly aver-ages of those seven months.

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NEWS // 9

Hoping drought is a single season hit

Drained; O’Sullivan’s on-farm pond provided 28 days of irrigation but is now all but empty.

RAIN SOUTH of Timaru and into North Otago last week brought relief from the drought but how long it lasts remained to be seen, O’Sullivan’s North Otago counterpart in Feds, Lyndon Strang, told Dairy News.

“By the colour of the river I’d say it’s just very rapid run-off,” he said of the Kakanui River which supplies his farm’s irrigation. “We might get six or seven days’ out of it then we’ll be all but shut down again.”

However, for most dairy farms in North Otago that wasn’t likely because they’re supplied by the Alpine-fed Waitaki, as are most of those in South Canterbury south of Timaru, he pointed out.

More of a worry for those farms, as for all in the drought affected area, is winter feed, much of it grown on surrounding dryland, he says.

“The irrigated winter feed crops are great but they are few and far between. A lot of the winter-ing here is done on the dryland and those crops are looking very sad to say the least.”

Supplement supplies are also down, contrac-tors reporting 50% less made than last year “or worse,” says Strang.

“If you don’t have good winter feed crops you’re going to have to make up the feed with something and you need to be planning that now.”

With little or no cashflow likely come July, and possibly nothing available, buying now could be a good option. He also echoes Dairy NZ’s advice to consider drying off cows at BCS 5.0.

RESPITE REACHES NORTH OTAGO

The drought high-lights central South Can-terbury’s big problem, he says. “The Orari, Opihi and Pareora catchments are some of the most water-short catchments in the whole of Canter-bury… It is not inconceiv-able that Timaru could run out of water in three weeks. That’s a major New Zealand town without water. It would be unprec-edented.”

Canterbury’s Water Management Strategy rec-ognises the problem, yet opposition to the most practical solution – bring-ing water over Burkes Pass to supplement the Opihi and possibly Pareora catchments – remains considerable.

“The Opihi’s going to run dry but only 20 min-utes drive to the north there’s 250,000L/sec pouring out to sea [in

the Rangitata River]. The Godley, Cass and Macau-ley Rivers that feed Lake Tekapo would be no dif-ferent.”

With climate change predictions of increas-ingly frequent drought in the South Island’s east but more rain on the Southern Alps, accessing such sup-plies isn’t so much to grow the region’s economy as to protect what’s already there, he adds.

“The Egyptians would have done it thousands of years ago. Low reliabil-ity irrigation is destruc-tive for farming systems and wealth because farm-ers lack the confidence to invest.”

In their own case the drought has seen three employees who left through “natural attrition” this season not replaced, and plans to buy a new tractor and build another

house shelved.While O’Sullivan’s

take from the Tengawai has been off since New Year, those “downstream of the dam” in the Opuha scheme have been get-ting 50% of their supply so have managed to keep the

grass green, if not growing to its potential, he says.

However, the current prediction is the lake will run out February 20 at which point releases from the dam will be matched to inflows, and unless there’s rain, the Opihi, which sup-

plies irrigation water to those downstream and delivers much of Timaru’s domestic and industrial water, will run dry. Flows in the Pareora, which sup-plements Timaru’s supply, are little better.


10 // NEWS

Graeme Wheeler, Reserve Bank governor

Volatility poses risks

TWO PARTICIPANTS in the Agri-Women’s Devel-opment Trust’s (AWDT) new pilot scheme say it has given them a greater sense of empowerment and more confidence to run their dairy farms.

Hawke’s Bay dairy farmer Zoe Kuriger and Arohena dairy farmer Cathy Prendergast were among the first on the Pathways Programme, run in two modules, the first last November.

This is run by Dairy Women’s Network and AWDT, funded by DairyNZ and MPI. It was designed specifi-cally for women in dairying.

Kuriger, who with her husband won the 2014 Hawke’s Bay/Wairarapa Sharemilker of the Year and six merit awards, says it was professional development she could do as an individual.

“The awards judges [noted] I was very involved in the business and that my husband and I shared respon-sibility well.

“Many courses available in the dairy industry, espe-cially leadership, are couples-oriented; I found it an empowering and valuable experience to be able to do Pathways on my own… [with] an amazing group of women with many different life experiences. The power of the group enhanced a well thought-out pro-gramme which evolved, building on ideas covered allowing us to enhance our skills.

“Taking time for myself to do something was great; a lot of rural women find this hard to do.”

Prendergast agreed and says she got more out of Pathways by having already done AWDT’s ‘First Steps’ programme.

“It was the perfect precursor to Pathways, because First Steps made you look at where you were at in life and how you got there. Pathways challenges you to look outside yourself and objectively think about how others might see you, which I found enlightening.”

Setting dairying women on the right path

THE ECONOMY is per-forming well but faces challenges arising from the Chinese economy, says Reserve Bank governor Graeme Wheeler.

Volatility in dairy, oil and house prices and the exchange rate also pose a risk to the econ-omy, he told the Canter-

bury Employers Chamber of Commerce in Christ-church.

“The main risks and uncertainties relate to the Chinese economy, and four key prices – dairy prices, oil prices, house prices and the exchange rate.”

But he doesn’t expect

the drop in dairy prices this year to greatly affect farmers’ balance sheets. An expected $6 billion drop in dairy farmers’ incomes is likely to be cushioned as farmers nor-mally smooth spending through swings in income.

And many farmers had used last year’s record

payout to bolster farm bal-ance sheets, he says.

But if prices do not recover as expected, spending could slow more sharply in 2016; a fur-ther risk to farm incomes stems from dry weather in several dairy regions.

Oil prices have fallen 58% since the end of June 2014. If they remain about US$50/barrel, household disposable income would gain by about $600pa/household. But if the main driver of the fall in oil prices is weakening global demand, New Zealand’s export incomes can expect to continue to be weak.

The bank will moni-tor the impact of lower fuel prices on downstream prices in the economy, and how much they might reduce households’ expec-tations of inflation.

Wheeler says that while the New Zealand dollar has eased recently on a TWI basis it remains unjustified in respect of current economic condi-

tions, particularly export prices, and unsustainable given long-term economic fundamentals. “We expect to see a further significant depreciation.”

Annual CPI inflation is expected to be below the bank’s target band and could become negative for some of 2015 as direct and indirect impacts of falling oil prices feed through the economy. The bank then expects inflation to move back towards the middle of the 1-3% target band, albeit more gradually than anticipated.

The bank expects to keep the OCR on hold for some time; interest rate adjustments, up or down, will depend on economic data.

“Some commentators suggest that a cut in inter-est rates would be appro-priate at this stage. With a sizeable positive supply side shock, such as a major fall in the price of oil, a cut in interest rates can be appropriate.”

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12 // NEWS

Awards to help career prospects

KING COUNTRY farmer Andrea Hanna has been appointed national judging coordinator for the Ballance Farm Environment Awards (BFEA).

Hanna, a keen supporter of the awards programme for 15 years, grazes dairy heifers and breeds rams; she started in her new role last week.

“Farmers learn from farmers, so the awards are an excellent vehicle for spreading knowledge on sustain-ability,” she says.

She was first a judge for the Waikato BFEA in 2000 after she and husband Brian won the region’s Supreme Award in 1999. At the time they were farming a 520ha sheep and beef farm at Mahoenui, south of Piopio.

In 2004 she was appointed BFEA judging coordina-tor for Waikato. She is also secretary of the New Zea-land Farm Environment (NZFE) Trust, which runs the BFEA.

NZFE chairman Simon Saunders says the knowl-edge and experience Hanna got in her role with the Waikato BFEA will serve her well.

“She’s got excellent communication skills, and her understanding of BFEA judging will ensure our judging coordinators get the best training and support avail-able.”

Saunders says NZFE Trust is doing more to help its judging teams do it well.

“The key reason most farmers enter this competi-tion is to get quality feedback from the judges. Andrea and her team will make sure they get that.”

Originally from Canterbury, Andrea and Brian farmed in Northland before buying the Mahoenui farm in 1988. They sold that farm in 2008 and moved to a smaller block at Rangitoto, near Te Kuiti, where they breed rams and graze dairy heifers. Hanna says they run “a simple system” so they can get off-farm for other commitments: Brian is mayor of the Waitomo District.

With ten regions now in the annual competition, the job of national judging coordinator has grown more complex.

“The aim is for good communication between the regions to help the regional judging coordinators do their best.”

Saunders says Hanna’s involvement with the BFEA has helped her build a strong network.

“One challenge will be ensuring the judging teams can provide entrants with the latest information on what it takes to achieve best farming practice in an era where environmental regulations are ever-changing.”

Saunders says Hanna will build on outstanding work by previous national judging coordinator Jamie Strang, “who put a huge amount of time and effort into lifting the quality of BFEA judging.”

Grazier takes up awards challenge

Andrea Hanna

@dairy_newsfacebook.com/dairynews

JUDGING IS underway for the 2015 New Zealand Dairy Industry Awards.

For 260 entrants in 11 regions con-testing the New Zealand Dairy Trainee of the Year competition, judging began last week; New Zealand Sharemilker/Equity Farmer of the Year and New Zea-land Farm Manager of the Year regional competitions judging begins next week.

“It’s a busy time for the awards organ-isers and a critical time for the entrants,

as the results of the regional competi-tions can affect the career prospects of the entrants,” says national convener Chris Keeping.

“Essentially if they do well – or are seen to do well – their career in the dairy industry can be put on fast-for-ward. Farm owners and employers will seek them out and create opportunities for them.”

She says much of this depends on

what the entrants present to the judges about their business and career. The judges spend two hours on the farms of entrants in both the New Zealand Share-milker/Equity Farmer of the Year and New Zealand Farm Manager of the Year competitions.

“We recommend entrants plan what they will do during the two hours to high-light their skills and what they are doing onfarm and why. It’s also a good idea to

make sure they have no distractions.“Many entrants find the judging pro-

cess one of the most rewarding aspects of entering the awards, because the prepa-ration some do helps to identify busi-ness opportunities and solidify goals. The judges also give them a free busi-ness appraisal.”

Keeping says judging of entrants in the New Zealand Dairy Trainee of the Year contest is split into two areas, with

a practical section and interview com-ponent.

Most regions held entrant informa-tion events last month to advise entrants what to expect and how to prepare for the judges visits.

Central Plateau will announce its regional winners on March 2; the South-land Otago region is the last to name its winners on March 28. www.dairyindustryawards.co.nz


NEWS // 13

Plan feed for cows carefullyCAREFULLY CON-SIDER feed planning decisions to keep cows in milk while maintaining their condition, advises DairyNZ.

In some regions dry conditions are now affect-ing milking, says general manager extension, Craig McBeth, and farmers are at ‘crunch points’ – having to make calls on feed plan-ning and milking fre-quency.

“Some farmers have moved to once a day milk-ing or milking every 16 hours as a way of man-aging their way through very dry conditions in most parts of the country despite the recent rainfall.

“In the last couple of weeks we’ve seen pas-tures go from green to brown quickly with lim-ited post grazing regrowth. Soil moisture levels are well below average for this time of year and we’re now seeing that reflected in crisp pastures.”

Parts of Taranaki and Southland have had sub-stantial rain, but other areas need a good soaking and follow-up rain to get soil moisture levels up to support grass growth.

“That’s why we’re keen to help farmers make good decisions as they manage their way through these dry conditions. With a low milk price, these judge-ment calls become more complex as you delicately balance the profitability of keeping cows milking and using supplementary feed.

“Farmers need to con-sider that drying off all their cows too soon is also an expensive decision.

“Generally, for the North Island, we know that in dry summers March 20 is the date by which we need substan-tial rain before drying off all cows to secure pasture and cow condition targets for the next season.”

He says it is good to keep some cows milking until that date to maintain milk income at a reason-able level and to have the option of having cows in milk should grass growth accelerate after good rain-fall.

Options include a

combination of selective culling, possibly milking once a day or every 16 hours and buying in or using their own supplementary feed.

McBeth says this still makes economic sense as there is some reasonably priced feed (less than 30

cents/kgDM delivered on farm) available for farm-ers to buy in to keep cows milking profitably.

“This latest rain will give crops like maize and turnips an extra growth boost so we’re advising keeping on growing crops too, rather than feeding it early to cows. This will maximise the benefit of the rain we’ve had. And where substantial rain has fallen, say greater than 50mm, then it is worth applying nitrogen fertil-iser.”

McBeth says making the calculations for feed planning is always an indi-vidual call. Farmers facing the driest conditions in Canterbury, North Otago and Wairarapa are in a more advanced and chal-lenging situation.

Much more rain is needed to get soil mois-ture levels back to normal. “Farmers have to make the calculations and judge-ment calls now about how much grass growth we can expect in the next two to three weeks.

“They will need to make their own individ-ual decisions about how to balance feed supply and feed demand. Factors to weigh up include costs and how many cows to keep milking and how often. With a bit of moisture around, they will also need to keep an eye on spore counts to manage the risk of facial eczema.”

Craig McBeth

DairyNZ advice and guidance on feed plan-ning and summer man-agement is available on www.dairynz.co.nz and at DairyNZ discus-

sion groups taking place ar0und the country.

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NEWS // 15 DAI RY NEWS FEBRUARY 10, 2015

14 // NEWS

Unbalanced rate burden must goFARMERS ARE reiterating their call for councils to end property value-based rating.

Federated Farmers local government spokes-

person Katie Milne says setting rates based on the value of a property is a crude and simplistic tool which is unsustainable.

Milne says a new Local

Government New Zealand (LGNZ) discussion paper shows local body rates must go.

“Farmers find them-selves paying for services

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Katie Milne, Federated Farmers

they don’t or can’t use. In effect, the current rating system means farmers are subsidising people who live in towns.

“Local government in many cases is suffer-ing a decline in its popu-lation from which to draw rates. This problem then gets passed to farmers who find rates a spiralling proportion of their farm costs.”

The discussion paper suggests ways to address current and likely future funding shortfalls among councils.

The paper details the findings of LGNZ’s major funding review, which last year examined issues facing local fund-ing, and considers alterna-tive funding for increasing community demand on services and infrastructure – and incentives to drive economic growth.

LGNZ president Lawrence Yule says the findings, and the demands of central government policy makers, should prompt a fresh look at how local government is funded for the benefit of communities. Revenue now falls short of spending.

“Councils [account for] 10.5% cent of all public expenditure, yet they raise only 8.3% of all public rev-enue,” says Yule.

The World Bank, referring to this “vertical fiscal gap”, says a growing number of councils face financial challenges at a time when demand for infrastructure and services is greater than ever.

“Local government is an important contributor to economic growth but

the right incentives and resources must be in place to drive this growth,” Yule says.

To help solves this, LGNZ proposes councils partner with central gov-ernment, with the govern-ment considering costs and benefits of decisions for local communities and co-funding costs where policy proposals have sig-nificant national and local benefit.

Milne says the discus-sion paper is timely in its pointing to more equita-ble and efficient rating sys-tems.

“We like the attention given to expanding the existing revenue system, such as in user charges.

“This is clearly a fairer and more flexible way of at least part funding local government activities.

“There should also be a look at institutions which are rates exempt, yet which use council ser-vices.”

“Local bodies need to get a more robust way of deciding their rating and spending.

The long term plan pro-cess for councils helps, but is not the full answer.”

Milne says there needs to be a close look at how central government imposes new rate burdens on local government.

“It’s the easiest thing in the world for a govern-ment to keep taxes down by shoving the cost down the chain to local coun-cils. But… then they need to help by paying for it out of income tax and GST income.”

@dairy_news

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Ireland is looking at share farming to encourage young people into the industry.

Irish take a leaf from NZ bookIRELAND AIMS to build a share farming dairy career pathway simi-lar to New Zealand’s when 30 years of milk quotas ends in April.

“We would like to develop a career pathway for young trained individu-als who choose a career in dairy farm-ing,” Thomas Curran, farm structures specialist with national agricultural research body Teagasc told Dairy News.

“[Share farming] is a system that has the potential for these young people to build up business in a tax efficient manner while rewarding their technical efficiency and exper-tise. In the absence of milk quota shackles it will become possible for this to happen.

“We also have an ageing popu-lation of established dairy farmers who are looking to become involved in a collaborative arrangement such as dairy share farming, especially in situations where they do not have an identified successor to take over the farm.”

Initial attempts to establish a formal share farming system in Ire-land in the 1970s didn’t take off because few farms had the scale to make share farming viable, says

Curran. Then the European Union’s imposition of milk quota in 1984 effectively made dairy share farming illegal as non-quota holders, such as sharemilkers, were prohibited from supplying processors.

“In those early days you could not get milk quota unless you were born into a dairy farm or leased or pur-chased land with milk quota attached. It became a bidding war with only the well-off larger farmers in a position to secure additional milk quota.”

However, share farming templates for cropping, or “tillage” as the Irish call it, and drystock were developed in the 1990s with the cropping model in particular proving popular as a way to secure land longer-term.

Teagasc has now developed a dairy share farm template for use after April 1.

“We began work by basing the doc-ument on our own tillage document since the concept is exactly the same: two businesses independent of each other and operating on one farm,” says Curran.

“What we are striving to develop in Teagasc is a suite of collabora-tive arrangements that farmers can choose from to suit their own per-sonal farming circumstances. Dairy share farming is the new addition to that.”

The dairy template was developed with a steering committee represent-ing a wide range of stakeholders and the support of the Irish Farm Manag-ers Association. It will be available on www.teagasc.ie from April 1.

Speaking at the launch of the tem-plate, Ireland’s agriculture minister Tom Hayes sang the praises of share farming.

“There are many benefits to share farming arrangements on dairy farms, not least that they afford an oppor-tunity for young well educated farm-ers, particularly those who do not have access to land, to gain valuable employment and experience.

“They can also provide a viable option for dairy farmers who wish to step back a bit from the day to day physical work on the farm, but want to retain a strong interest in the manage-ment of the enterprise.

“Share farming is an obvious vehi-cle for addressing land access issues and for encouraging young people who might otherwise be constrained by land availability to bring their energy, enthusiasm and vitality to the dairy sector.”

Curran says as for any other col-laborative business arrangement, a written agreement will be critical to the success of dairy share farming.

“The guideline document will ensure that the essential elements are covered in any agreement. The tem-plate ensures that the land, facilities and production rights are detailed…. The split in farm receipts and input costs is documented as well as the ownership of animals. Procedures for dealing with conflict and dissolu-tion are outlined as well as other rel-evant items.”

ANDREW SWALLOW

NEW ZEALAND INSIGHTCurran says he visited New Zealand on a study trip in 2007 and many of the farms visited were share farmed.

“We have always looked with interest on the impact share farming has had on the New Zealand dairy industry.”

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A study has found most heifers underweigh at 22 months old.

Heifer raising tips for graziersFIVE NEW focus farms will give graziers knowl-edge and resources to help grow heifers better, and strengthen their relation-ship with dairy farmer cli-ents.

An LIC study of 105,000

animals showed 73% were 5% underweight at 22 months old. The Heifer Grazing Project focus farms help to address that statistic and seek to improve the national six-week in-calf rate. The proj-

ect is led by DairyNZ with dairy farmers, graziers, grazing companies, vets, Beef + Lamb and LIC.

DairyNZ’s Sarah Dirks says the grazier’s role cannot be underestimated. “Heifers below target live-weight will have a lower six-week in-calf rate, a higher not in-calf rate and lower milk production.”

She cites a paper pub-lished at last year’s Aus-tralasian Dairy Science Symposium.

“Heifers that achieved 90% mature liveweight at calving could produce an extra 2-2.5kgMS/kg of liveweight over an aver-age life of five lactations, compared to being behind target.

“So, for a 50kg improve-ment to achieve target weight, that would trans-late to 100-125kgMS over five seasons.”

Over two months, at the end of 2013, Dirks met with 100 farmers, graziers, and rural professionals to explore the dairy farmer/grazier relationship. This showed a need for exam-

ples of graziers doing well, which led to the focus farms.

“A standout reason farmers gave for heifers not being raised as well as they could was the gap in rela-tionships between parties,” says Dirks.

“Specific answers included not having an agreed contract and having different expectations, like who was responsible for supplying extra feed.”

Dirks says the pur-pose of the focus farms – in Northland, King Coun-try, North Otago and Manawatu – is two-fold.

“We want to provide farmers growing heifers with better information and allow them to share their experiences with others; until now there has been a knowledge gap.

“The other goal is to strengthen relationships between graziers and dairy farmers. Are expectations being met from both sides, and if not, why not? These focus farms will help us… address some of these questions.”

■ Farmers with well-grown heifers use mini-mum age and minimum weight targets for weaning calves off milk.

■ Heifers should be transitioned to an all-grass diet for a couple of weeks or meal should be sent with the stock to prevent reduced growth when relocating heifers to grazing.

■ Be clear with expectations. Communicate what the expected weights are for the end of the grazing term.

■ Weighing is the only objective way to as-sess that heifers are growing well and on target.

■ Animal health plans should be specific to the farm the heifer is being grazed on. Parasite pressure and mineral deficiencies are unique to each farm.

TIPS FOR FARMERS

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18 // NEWS

New farms must meet industry standards on sustainability, says DairyNZ.

Getting it right from the startARE YOU thinking about converting more land to dairying?

DairyNZ has released a new online environmen-tal ‘how to’ guide to ensure

any new farm meets indus-try standards.

‘The online guide, Responsible dairy conver-sions’ outlines environ-mental responsibilities

during the conversion, to conform the standards of Sustainable Dairying: Water Accord.

“It is important to get the conversion pro-cess right from the start. Detailed planning will pay off,” says DairyNZ’s envi-ronment manager Mike Scarsbrook.

“I recommend a three-step planning process: take advice, talk to your regional council and talk to your prospective dairy company. These actions will stand you in good stead.

“Planning and imple-menting a dairy con-version is a massive undertaking and the deci-sions at the beginning will underpin performance. Responsible environmen-tal stewardship includes an effluent system that complies with regula-tions… and waterways need to be fenced off from cows.”

Every dairy company can assess new conver-sions, and requirements to be met before milk supply commences. A company assessor will visit the farm to do a pre-supply check.

And an environmen-tal management plan is needed to meet require-ments.

Under the industry’s Water Accord, new dairy farms must adopt good practice at the outset to protect waterways, comply with regional plan rules and hold necessary resource consents.

The online conversions guide covers:

■ The importance of responsible dairying for the industry

■ Regional regulatory requirements

■ Information which may affect the conversion and the suitability of land for dairy use

■ Incorporating respon-sible dairying consider-ations into conversion plans

■ A template and list of actions for managing a conversion to achieve industry best practice. A Southland case study

in the guide gives insights on the process and on key areas such as effluent and nutrient management, waterways and water use.

www.dairynz.co.nz/con-versions

NORTHLAND FARMERS are offered free body condition scoring (BCS) of their cows by DairyNZ certified BCS assessors. The national scheme is in its third year.

“Farmers, researchers and advisers agree that get-ting cows in the right condition at calving is critical for milk production and reproductive performance – two key drivers of farm profitability,” says DairyNZ devel-oper productivity, Sally Peel.

“Yet every year we see large numbers of cows calv-ing at below target condition and so achieving below potential production and profitability.”

Hence DairyNZ’s BCS initiative to help farmers achieve their cow condition targets by calving. “We have trained advisers in body condition scoring and feed planning to support farmers one-on-one and to develop plans to address below target cows,” says Peel.

DairyNZ offers three free BCS consultations. Advis-ers will work with farmers to identify cows unlikely to reach BCS 5.0 by calving without some intervention and find workable solutions to get these cows back on track.

“It means farmers can experience the process of BCS assessment and understand the benefits of get-ting cows to BCS targets. By using a certified assessor they get an assessment accurate and consistent with New Zealand standards.

Free cow checkups


NEWS // 19

Social media helps out Powerlines energise conversionsTHE RAISING of six heavy power cables across the Waikato River last week was a milestone in lines com-pany Unison’s work to energise 30 new dairy farms in the Taupo region.

The firm is working with Wairakei Pastoral Ltd and Landcorp to supply what will be, when complete, one of the largest contiguous dairy units in the southern hemisphere.

Chief executive Ken Sutherland says the river cross-ing was a critical part of the overall project.

“Our crews are building the electrical network and substation to support the additional load these new farms will create.”

Wairakei Pastoral chief executive Chris Parkinson says he is pleased with progress.

“This is a long-term project for us, and we are pleased to have Unison on board and carrying out the vital work required to enable the development.”

Once complete, there will be about 40,000 cows across 25,700ha of land.

Parkinson says the conversions would bring 300-350 jobs into the Central Plateau.

Landcorp, which will farm the land, and Wairakei Pastoral, are keeping watch on the land use change.

“Environmental stewardship drives what we do. The new farms will exceed environmental standards.”

When the electricity network is complete, farm con-nections will continue.

MANY FARMERS are using social media – notably Twitter – to share information on how best to manage the dry spell.

Federated Farmers Dairy chair-man Andrew Hoggard says he’s been on Twitter for two years, the tweets giving him ideas on how to deal with the season.

“I might go and talk to an agronomist about an idea and see whether that would apply to my farm and ask about the pros and cons of it. I find social media useful for seeing what other farmers are doing and asking questions now and again. It also prompts a joke and a laugh with other farmers.”

Hoggard says social media has prompted people to think about

what they are doing and shared ideas are useful.

Farmers are handling the dry spell well, he says. Contrary to what people are saying in the media there is little whingeing and moan-ing by farmers. They are just get-ting stuck in and doing what they can in the circumstances. But the lower predicted payout is worry-ing some dairy farmers.

In Manawatu where Hoggard farms the dry spell has come early, but in the last week the rain has eased the problem.

“We’ve had 30-40mm and it will help. It has greened everything up and if we can get more rain in the next couple of weeks it will help.

“The real worry [is the timing]. Usually at the end of January we are ok and February is the dry month when the grass burns away. This can drag on into March and be chal-

lenging. “If the dry from the

end of January were to continue through Feb-ruary and March things would be pretty bleak. The risk is that this could still happen with the hot dry windy weather coming back. I remem-ber about two years in the middle of February when it went ridiculously hot and blew quite a bit and the grass just disappeared in front of your face.”

But Hoggard says farmers are coping better than they used to.

“Farmers are more resilient; prac-tice makes perfect,” he jokes.

A neighbour who has col-lected rainfall data for

“donkey’s years” says he believes the cur-

rent weather pat-tern resembles

that of the dry

1970s. He’s whether to change his farm-

ing system or wait and see if the weather pattern returns to the wetter 1980s.


Goal setting workshops to add valueDAIRY WOMEN’S Net-work and DairyNZ are running free goal setting workshops – ‘Know where you are heading’ in nine towns during February and March.

The dairy module will suit all levels of dairying, and is open to DWN mem-bers and non-members, men and women.

DWN and DairyNZ developed the work-shop using material from DairyNZ’s ‘Mark and Mea-sure’ seminars.

“We aim to build farmer confidence and clarify goals, and to convey the essentials of planning, goal setting and workable action plans,” says DWN Takaka regional convenor Tyler Langford, workshop co-pre-senter.

“Attendees will get take-home tools for setting meaningful goals in their personal and professional lives.”

DairyNZ business devel-oper and workshop facili-tator Lynaire Ryan says the

meetings will be network-ing opportunities with like-minded people.

“This module has been planned to provide tools and processes for setting meaningful goals and action plans to achieve business and personal dreams, but also allows time for attend-ees to work on their own plans and embed the pro-cess to add value to their businesses and balance to their lives, so it’s a very practical session,” she says.

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■ Wairarapa – Tuesday, February 17

■ Te Aroha – Wednesday, March 4

■ Rotorua – Thursday, March 5

■ Dannevirke – Tuesday, March 24

■ Feilding – Monday, March 30

■ Orari – Tuesday, February 10

■ Nelson – Friday, February 20

■ Takaka – Thursday, March 12

■ Winton – Friday, March 13

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EDITORIAL

20 // OPINION

Milking itA TARANAKI farmer is resorting to humourous advertisements in the local paper to locate missing cows; it’s working for him.

Inglewood farmer Colin Boyd, whose cows went mysteriously missing, reck-ons he’s cracked the case after placing a funny ad in the Taranaki Daily News.

On Saturday he ran an ad saying several “beautiful cows” randomly disap-peared from his Surrey Rd farm last year.

‘Lovely cow no. 657’ is home thanks to an ad offering farm animals as a reward. But ‘Hot Lips’ is still missing. Boyd had been told who took the cows and how and when they did it: the information has been passed onto police, he says.

Irish heat detectionAN IRISH dairy farmer has noticed his cows on heat like to loiter in a footbath between milking and returning to their cubicles (see www.cowsignals.com). Could this be worth investigation and trialling under New Zealand sys-tems? Simply put in a foot-bath at the exit from the shed and draft off those that stay to cool their claws rather than dashing down to the paddock in hope of a fresh break of grass. It may help weed out those odd cows that get missed by more conventional heat detection methods.

Hasn’t he got work to do?A KANSAS cattle rancher posted a YouTube video showing how he used a camera drone, a feed truck and a herd of cattle to cre-ate a ‘cow art’ smiley face.

Derek Klingenberg, famous for the video of his trombone rendition of Lorde’s song Royal to serenade his cows, used his feed truck to move the cows around a field until they formed the shape of a smiley face, a feat that took several minutes.

Klingenberg had to double back at one point when the cows forming one of the eyes finished their snack and started to disperse.

Why co-op’s US rego lapsedA WRITER to a newspa-per has come up with the most plausible reason why Fonterra failed to renew its cheese licences in the US.

He is suspicious that the same person who failed to enter shotput-ter Valarie Adams in the London Olympics in 2012 is now employed in the trade licensing division of Fonterra.

After all, how on earth could the co-op forget to renew its licence?

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THE QUESTIONS raised by New Zealand infant formula exporter Chris Claridge should ring alarm bells for dairy farmers.

Everyone seems ‘gung ho’ about China being a market on our doorstep and effectively there for the taking. But Claridge points out this is not necessarily so; he insists our lack of a ‘NZ Inc’ China plan underlines an overall lack of leadership in our primary sector. And if there was a leader, would everyone play ball? Experience suggests not.

Government departments – notably MPI – were asleep on the job when the China market started to grow and only in the last year or so have they begun to put the necessary resources into that market.

Further alarming is Claridge’s view that though each depart-ment directly involved in China – NZTE, MFAT and MPI – may have a China plan, a high level strategic goal is notably absent. This looks like the old ‘she’ll be right’ ‘number eight wire’ approach Kiwis once promoted, and it must be seen for the nonsense it is.

Equally worrying, if Claridge is right, is that Fonterra seems to want to do its own thing and not come under an ‘umbrella’ plan. Understandably the co-op has specific interests it must pursue, but hold on – it occupies a privileged position by dint of govern-ment legislation; this makes it responsible not only to sharehold-ers, but also to New Zealand taxpayers and the nation generally.

Fonterra does a great job for the New Zealand economy, but some of its recent antics have been distinctly ‘un-New Zealand’ like. Its media statements on the inquiry into the botulism scan-dal and its recent failure to renew cheese licences in the US have appeared with little sign of remorse. ‘Sorry’ has no place in the Fonterra dictionary.

In the global dairy market, especially China, New Zealand is not bullet-proof and the Europeans are ready to pounce. The Danes go in with strong business links, a strong industry and they work co-operatively; they ‘gang tackle’ China.

A lack of cohesion among New Zealand dairy players, large and small, could spell doom for our products in China. So the China strategy should not be driven by one company alone; we need a NZ Inc approach.

We need a China plan

GOT SOMETHING ON YOUR MIND?

POST TO: LETTER TO THE EDITOR PO BOX 331100, TAKAPUNA, AUCKLAND 0740 OR EMAIL: [email protected]

GOT SOMETHING on your mind about the latest issues affecting our dairy industry? Put your pen to paper or your fingers to your

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and address. Note: Letters may be edited.


OPINION // 21

No one is moaning or whingeing

AS USUAL in summer, some regions are drying out – some are get-ting extremely dry. The media is running hot with drought stories, from ‘experts’ on social media and in print.

Here’s my rebuttal of some of these experts’ harping about farmers “moaning and whingeing”.

Firstly, I won’t deny that when it gets dry your average farmer starts hoping for rain. But moan-ing and whingeing? Come on!

I’ve been quoted by media about this: here is how it works. A journal-ist calls me with a bunch of questions which I answer honestly. So I am not run-ning after the media and badgering them with complaints about the weather. It’s the other way around.

Trust me, when things are dry on farms the last thing I want is to talk to news media. I know these journalists will be waiting to pounce on a ‘moan’ or a ‘whinge’ so they can say “Listen, the farmers are moaning again”. So I try to underplay the severity of the dry, with that in mind.

Then they drag out their old favourite “Now we’re going to have to fork out millions in drought assis-tance to farmers”.

I’ve been farming for 18 years with never one cent in drought relief; nei-ther have I met anyone my age who’s been paid any-thing. Perhaps some old-timers could have got relief in the 1970s or 1960s. The only ones to get help are those stuck for money to buy groceries – those effec-tively going under. They will get the equivalent of the dole. But those you can count on two hands.

Another form of help is delaying tax payments. Not skipping them, just delaying. But only if you’re really deep in it. Few farm-ers apply for this.

A media standout this year is, “Perhaps some regions aren’t suitable for dairy farming”. But wait – arable, sheep and beef farmers are affected

as badly by the dry as are dairy farmers. Frankly, I laugh at the idea that just because farming condi-tions aren’t perfect, you’d better not attempt some-thing. Which country has the highest average per cow production in the world? Israel. In which country is the world’s largest dairy farm? Saudi Arabia. Both places might be just a tad drier than South Canterbury.

My first farming job was in northern British Columbia, at the start of the Alaska Highway. If you think milking cows on dry soil is hard, try it in 2m of snow, at -30oC.

In my travels in Alaska I passed several dairy farms on the outskirts of Anchor-age. The rest of the world, by and large, milks cows in conditions far less ideal than in New Zealand. They just do it differently, so as to overcome the weather challenges. We need to do the same – find solutions that work in differing cli-mates.

But, “why don’t farmers invest in more water stor-age?” Wow, why didn’t we think of that? “Buy some tanks to store the water during winter. Right, I’ll go look on Trade Me for a 660,000,000L tank. Per-haps they’ll do free deliv-ery.

Farmers are keen create more water storage; if we could jump in a digger and do it, most of us would.

Finally there’s the old complaint about farmers stealing water and sucking the rivers dry. Every farmer who takes water will do so by consent. They will have applied to the regional council for that consent, the issue of which is gov-erned by environmental flows required in the rivers, and thus determined by remaining water for irriga-tion, urban drinking, stock drinking or industrial use.

My regional council levies rates on those who extract water: they must pay 70% of the council’s costs in monitoring the water flows and the science behind it. If someone takes more water than they are allowed to, they will likely end up in the environment court and cop a hefty fine.

ANDREW HOGGARD I question how drought

declarations are misin-terpreted when it’s just a case of stating the obvious. The benefits to farmers are next to none. I could do without all the nega-

tive comments we’re hear-ing these days. It’s not the farming I’ve known for 18 years.• Andrew Hoggard is Feder-ated Farmers Dairy chair-man.

Federated Farmers Dairy chairman Andrew Hoggard.

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22 // AGRIBUSINESS

EU quota impacts unknownIN JUST under two months’ time, the world’s largest milk producer will see one of its biggest regulatory changes in three decades.

As an aggregate, the European Union produces around 150 billion litres of milk per year, and commands almost a third of global dairy exports (in liquid milk equivalent terms).

Since 1984, milk production has been contained by a quota system that was designed to rein in the ballooning cost of the Common Agricultural Policy (CAP).

From the end of March this year, quotas will disappear, with much spec-ulation around the impact on European milk production, and consequently global dairy markets.

In the decades following its forma-tion, the then-European Economic Community (EEC – now European Union – EU) had an entrenched price support framework based around inter-vention buying, combined with export subsidies as a means of disposing of the surplus product.

The problem was that in managing the internal market so well, the EEC fostered rapid growth in milk deliveries, which by the late 1970s and early 1980s grew beyond what the framework (and budget) was designed to handle.

Like most market support mecha-nisms, the quota system is a complex beast.

However, broadly speaking, member states of the EU are each assigned a ‘reference volume’ based on milk fat content, which is then broken down to quota volumes for individual producers.

The quota year runs from April to March of the following year.

If milk deliveries in a member state exceed national quota, those farmers who have overrun are liable for a puni-tive levy (the superlevy).

In addition to milk deliveries to processors, a much smaller scale set of quota is allocated for milk sales direct from farms.

After an initial four year period, the quota system was renewed, with refer-ence volumes reduced by 2% in 1988 and 1% in 1989.

The system saw few changes in the 1990s (mainly formalisation quota

transfers between producers within a member state) and modest increases to quota volumes were granted in the early 2000s.

By 2006, political support had waned as the CAP more broadly was adjusted towards better market orien-tation, and plans were being developed to remove the quota system.

The CAP ‘Health Check’ in 2009 confirmed the end of quotas in 2015, laying out an annual increase in vol-umes of 2% in 2008/09, followed by 1% annually between 2009/10 and 2013/14 to provide a ‘soft landing’.

The final year (2014/15) holds quotas at the 2013/14 level.

The European Commission main-

tains that the considerable expansion of recent years suggests there will be no ‘explosion’ in production after March 31.

This is supported by the deteriora-tion of farmgate margins over the past few months (the result of a period of global dairy oversupply, exacerbated by the Russian import ban) which will make immediate expansion less appeal-ing, and more difficult to finance.

Strong milk production growth over the last 12 months suggests many farmers will also be dealing with a par-ticularly heavy superlevy burden this season.

With milk prices deteriorating, the penalty of €28/100 kg will possi-bly exceed revenue (around €30/100kg or A$5.90/kg MS and falling) for some over-quota milk, leaving no income for

that milk after the fine is paid.The significant influence of volatile

market and seasonal conditions will continue to drive the year-to-year ebbs and flows of milk output.

Nevertheless, member states with aggressive post-quota expansion inten-tions (such as Germany, the Nether-lands, Ireland and Denmark) are likely to see significant medium term growth – with patterns of plant investment to date weighted towards milk powders.

Much work attempting to quan-tify the net impact on market balance associated with the removal of quotas has been done, but in essence, nobody knows for certain.

There remains an ongoing push to ‘manage’ the market in the absence of quotas – with plenty of political support amongst the European Parliament and sections of the farming community.

What does appear guaranteed is that the tension between those advocating a protectionist approach and those seek-ing to give market forces more influence will remain a feature of European poli-tics.• John Droppert is Industry Analyst with Dairy Australia.

JOHN DROPPERT

John Droppert

From the end of March this year, quotas will disappear, with much speculation around the impact on European milk production, and consequently global dairy markets.

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AGRIBUSINESS // 23

Howies Checkpoint

Champion bull heads up the rampLIC’S CHAMPION bull Howies Checkpoint 508077 is heading to the works after delivering his last semen.

The premature end to the bull’s stint at LIC fol-lows two incidents within 12 months, according to a farmer advisory posted on LIC’s website by chief executive Wayne McNee.

McNee says the deci-sion to no longer collect from Checkpoint follows a recent incident which resulted in the bull being deemed too dangerous for staff to handle.

“This was the second incident with Checkpoint in the last 12 months, so in accordance with LIC policy, he will be culled. We have a responsibility to our staff and we take these

matters seriously.“Health and safety of all

is paramount at LIC, above anything else and regard-less of the bull’s ranking.”

Limited frozen supply will remain available through its genetics busi-ness Alpha Nominated.

Checkpoint has made his mark on the LIC Premier Sires team since his debut in the 2011-12 season with a record 318 BW. His 866,480 inseminations make him one of only eight bulls to exceed 800,000 lifetime inseminations in the history of AB, and the only KiwiCross.

In his first full season as a Premier Sire (2012-13), he achieved 309,392 inseminations, also a record for the breed.

By comparison, Scotts Northsea, the only KiwiCross on LIC’s bull Hall of Fame, achieved 787,000 lifetime insemi-nations.

Checkpoint has 93,000

daughters in the national herd; 5500 are milked on farms in New Zealand (RAS list 17/01/15).

His genetics have also been exported worldwide, says McNee.

“Checkpoint’s contri-bution to the industry will continue, with 23 sons in the pipeline as future sires for national herd and as more of his daughters start milking.”

Lincoln builds ties with YiliFOOD SAFETY, raising productivity and the envi-ronment characterise a partnership between Lincoln University and the Chinese processor Yili. The two signed a memorandum of understanding last year.

Lincoln recently hosted senior management from Yili and its New Zealand subsidiary Oceania Dairy for talks headed by Yili’s Dr Xiaopeng Huang, deputy direc-tor of the firm’s innovation centre, and Shane Lodge, quality and compliance manager of Oceania Dairy.

Value chains were high on the list of topics, as were presentations on Lincoln University’s ‘paddock to plate’ research.

“Discussions with key departments in Lincoln were encouraging, [showing we are] in tune regarding pre-ferred outcomes from the MOU,” says Lincoln Uni-versity business development manager, Dr Samuel Yu.

Raising productivity and reducing environmental impact via precision agri-technologies and onfarm best practice, and enhancing brand value via food safety and new high-nutrition products were of particular inter-est, Yu says.

“These topics are in the hearts and minds of con-sumers when they purchase foods, not just in China or New Zealand, but all over the world. It’s good to know that both organisations have the same core objec-tives….

“We’re pleased to be working with a world leading food manufacturer such as Yili, and we see it as recog-nition of Lincoln University’s global relevance.”

Lincoln University’s Jeremy Baker (left) and Professor Hong Di with Yili’s Xiaopeng Huang.

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AGRIBUSINESS // 25

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Don’t walk away from potential profit

THE CHINA Australia Free Trade Agreement was delivered in 2014. What does 2015 hold for the Aus-tralian dairy industry?

The China FTA is not the pot of gold, but the opportunity for our exporters to continue apace their innovation path, developing new higher value, sought after dairy products.

The Chinese still do not fully trust their local supply and they want Aus-tralian product.

The scale of their market however is beyond our imagination.

The great hope is that product innovation, being a reliable supplier and fairer access to markets will reduce (not eliminate) our exposure to market volatility.

So, how do we work together to ensure our industry has the ability to capture the benefits of product, market and farm innovation to produce more milk for this and other rapidly developing dairy markets?

I could be provocative and suggest that proces-sors embraced farmer rep-resentation when it came to lobbying for a meaning-ful China FTA for dairy, because they could see something tangible that would make them more profitable with little addi-tional effort.

However, the shoe seems to be on the other foot when we start talk-ing about production tech-nologies – including high energy GM ryegrass, and animal health technolo-gies - which might make milk production more effi-cient and profitable.

They, and some indus-try organisations, are stepping away from such technologies rather than working with us to design a strategy to build social capital among our con-sumers and communities to ensure we have access to new tools.

Access to new tools and technologies requires effort on behalf of pro-cessors, farmers and our organisations.

It is times like these we need to remind people in leadership roles where ‘their’ money is coming from.

If they are good at mar-keting and have estab-lished strong customer relationships they should be able to manage any technological produc-tion challenges within the market.

If we are going to be denied access to new tools, where will our milk production growth come from?

There are several pro-duction technologies on the horizon.

It is in our interests to look at the science, to look at the evidence and to take a new look at how these innovations might be applied to Australian dairy production systems to service this increased demand for dairy.

We must be wary of the stereotyped responses and scaremongering, whether it is about animal welfare or market acceptance of production techniques.

Production technolo-gies can be adapted in pos-itive and innovative ways with comprehensive sup-port to generate the best possible outcome for indi-vidual farmers and for the industry.

All we need is the will to succeed.

Without this, there will be no new milk and others will dictate what we can and cannot do.

We must have a dia-logue with our custom-ers and communities to ensure we have access to these technologies.

We said in 2014, through the process of writing three Free Trade Agreements, that the Aus-tralian dairy industry is “open for business”.

We saw overwhelming interest in the Australian Dairy Farm Investment Forum hosted by Dairy Australia.

We cannot truly, hand on heart, say we are open for business if we are shut-ting down access to sci-ence and innovation, new tools and technologies in our dairy production sys-tems.

We cannot say “we want your money” while on the other hand saying “we won’t allow produc-tion science, technology and innovation”.

If we shut down access to farm side innovation, in a very short time, global companies will ignore us and Australia will become

TYRAN JONES

known as the country where it is too hard to do

business - we will have no access to new technolo-gies, regardless of whether they become common place in the rest of the world’s dairy regions.

Those in industry lead-ership positions must take up the cause of long term competitive, profitable milk production.

They must advocate on

behalf of farmers, engage in a meaningful way with customers and the com-munity; to develop rela-tionships and trust that the rigour behind our pro-duction, regulatory and food safety systems are impeccable.

Every single dairy farmer must also take up this challenge. Without

this, the alternative will be a continuation of the stag-nation we have seen over the last decade and a grad-ual erosion of Australian dairy’s global competitive-ness.

The China FTA, along with other trade agree-ments complete and in-the-pipeline provide tangible prospects, but the

onus is on the industry to truly ‘open the door’ to ensure we embrace the full opportunity.• Tyran Jones is a director of Australian Dairy Farmers (ADF) and the Australian Dairy Industry Council (ADIC).He is the former president of the United Dairyfarmers of Victoria (UDV).

Tyran Jones

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26 // MANAGEMENT

How to survive in tight timesIN RESPONSE to the low milk price, DairyNZ is pulling together research, data and lessons learned in similar sea-sons to help farmers prepare for the 2015-16 season.

The ‘Tactics for Tight Times’ cam-paign includes field days offering ways to survive and thrive in a low payout season.

DairyNZ’s Carolyn Bushell says managing in a low milk price year is nothing new; some farmers do it better than others.

Some farmers operate low-cost farm systems and make a profit with a $5/kgMS farmgate milk price. There are lessons from their management that we can all learn from, Bushell says.

“Over the next few months, DairyNZ is… allowing farmers to share what works for them and options to remain profitable. We want all farmers to build strength into their businesses, rather than maintaining status quo in the hope of a milk price lift next season.”

DairyNZ analysis shows the indus-try is just within the long-term bounds of trends for average dairy company total payouts. If your farm can’t sur-vive those, look closely at the whole

farm operation and make changes.First steps - understand your posi-

tionA focus on cost-effective production

will maximise profitability in all sea-sons, even when the milk price forecast trends down. The first step is to get clar-ity on the business’s financial position.

Have a budget and projected cash-flow, and update it regularly. If you don’t have one, talk to your accountant and/or bank manager, but be closely involved in its development. It is important to understand and ‘own’ your budget.Take control and communicate your plan

1. Get clarity on your financial posi-tion

■ What is your starting point? ■ Calculate your break-even milk

price - start with total income and subtract farm working expenses, debt servicing, drawings, tax and capital expenditure.2. Create a plan - focus on what you

can control ■ Assess your options. Step through

expenses systematically and ques-tion every item. Will it give you a return? If not, can it wait? Spend a dollar to make $1.50, not the other way around. Will cutting costs have

negative consequences next season?

■ Focus on cost-effec-tiveness, rather than just cost reduction, and keep the basics of good man-agement in mind.

■ Do you use benchmark-ing tools? Talk to DairyBase or your accoun-tant. Reports showing past physi-cal or financial data helps identify past trends and where opportuni-ties may exist.

■ Focus on principles of low cost of production, regardless of farm system or input level.

■ Maximise the amount of feed eaten from the dairy platform.

■ Closely match the herd’s feed demand to pasture growth, through feed budgeting and monitoring.

■ Ensure any purchased feed is eco-

nomically assessed and aids good pasture management3. Implement the plan and update it

regularly ■ Identify those who can help you

succeed in achieving your goals and utilise that support.

■ Communicate the plan well with employees and advisory team (banker, accountant, farm consul-tant, rural suppliers).

■ Continuously monitor results and make necessary adjustments.

TIGHT TIMES TACTICS❱❱ Assess the current state

of your business. What is your starting point?

❱❱ Understand your options and create a plan.

❱❱ Execute the plan well; keep the basics of good

management in mind.

❱❱ Identify those who can help you succeed and use that support.

❱❱ Communicate with partners, staff, bankers, accountants and other rural professionals.

Carolyn Bushell


MANAGEMENT // 27

Australian farmer Brett Dixon.

Higher yields through drip irrigationIN 2006, Australian dairy farmer Brett Dixon was faced with reduced irri-gation allocations for the permanent water right he owned and high costs for the temporary water he had to buy to irrigate his 650ha farm.

He had also noticed nearby tomato farms were no longer irrigating by flooding water down furrows, but were using buried drip irrigation sys-tems.

One had rotated tomato crops out of a drip irrigation paddock and sowed lucerne. “We were impressed with the results he achieved using drip irri-gation to grow lucerne,” Dixon says.

Hence Dixon decided to install 20ha of sub-surface drip irrigation on his farm in northern Victoria, in late 2007. He added another 20ha of drip irrigation in 2012 and now permanently grows fodder on this 40ha.

He grew lucerne for the first six years on the origi-nal 20ha, and maize silage after that. The second 20ha block was sown with maize for the first year and is now growing lucerne.

As well as greater yield and water use efficiency, there are other benefits.

“The whole system is automatically controlled,” says Dixon. “I set a pro-gram on the irrigation controller and the pump starts, and it changes

blocks over after the allo-cated time.

“The controller also automatically injects fertil-iser into the water during the irrigation, so these nutrients go directly to the root zone.”

The drip irrigation pipes, or ‘drip lines’, used on the Dixon farm are the same as those used in many other crops.

Polyethylene pipe, 22mm in diameter on the Dixon farm, are inserted underground at a depth of 25cm. Inside the pipe, every 50cm, there is an emitter which regulates the outward flow of water, in this case to 1L/hr.

The system is designed to deliver the peak water requirement – the amount of water the crop will con-sume per day at peak growing and evaporation periods. The Dixon system can apply 12mm of irriga-tion water per day.

Dixon decided to install a Netafim sub-surface drip irrigation system. Neta-fim pioneered the develop-ment of drip irrigation in Israel in the 1960s.

For Dixon, there are three main positives. “The sub-surface drip system has allowed me to achieve higher yields and reduce my water use.

“It also requires less labour to operate. On a busy dairy farm needing lots of feed, and with the cost of water increasing,

these factors have made the decision to install drip irrigation pay off.”

The system delivers peak water requirement to the farm.

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28 // MANAGEMENT

Fertiliser firm helps in rules ‘navigation’BALLANCE AGRI-NUTRIENTS has formed a team to help farmers deal with councils in sorting their compliance with environmental regulations and in apply-ing for consents.

The team will provide a direct link between farmers and regional councils, the company says.

Team manager Alastair Taylor com-ments that, for example, the Sustainable Dairying Water Accord is ‘pressuring’ farm-ers to manage nutrients on their land.

“Farmers need to navigate through regulations on effluent management, nutrient use and environmental perfor-mance. Our new team will provide a direct link between farmers and regional coun-cils to take the hassle out of environmen-tal compliance.

“Regional councils are monitoring farms using the Overseer nutrient man-agement model, which is jointly owned by the fertiliser industry, AgResearch and the Ministry for Primary Industries….

“Throughout New Zealand there is myriad of environmental regulations, by region and within regions. Our specialist team, with local experience and knowl-edge, helps farmers comply with their local land and water plans.”

The Ballance business extension ser-vices team provides nutrient budgets for resource consents, compliance and sale and purchase agreements.

It started in Canterbury and now is also working in the Horizons, Otago and Southland regions.

“In addition to our knowledge of Over-seer and modelling farm systems, we also work with the Ballance science and sales teams to give farmers science-related advice,” Taylor says.

The team recently offered all Bal-lance dairy customers in Canterbury help in obtaining their nitrogen baseline, required under the regional land and water plan. [email protected]

Waterways planting theme of field dayPLANTING WATER-WAYS will be the focus of a field day this week, run by DairyNZ, Tatua and Waikato Regional Coun-cil at a Tatua Milk farm in Tatuanui.

All dairy farms must have stock excluded from waterways by May 31, 2017 and a planting plan for stream banks by 2020.

DairyNZ water qual-ity scientist Tom Stephens says the field day is to help farmers get value for money from their planting

and make the most of the environmental benefits.

“It’s important to choose plants suited to the farm’s climate and soil, and plant them at the right time of the year,” says Ste-phens.

“We’ll be looking at plant options and which are most suitable for Waikato soils and climates, as well as the best time of the year to plant and different techniques.”

At the field day, farmers

will see what has worked well on the Tatua farm, as well as problems they may encounter and how to fix them.

The council will speak about funding options and how to keep costs down.

DairyNZ and Waikato Regional Council recently released a guide to suc-cessfully planting water-ways in the Waikato region – ‘Getting riparian plant-

ing right in Waikato’. It will be available at the field day and can be down-loaded or ordered from dairynz.co.nz/waterways.

The guide helps farm-ers get started with the top five species to plant beside Waikato waterways, as well as a planting calendar and a table of plants to suit Waikato conditions, out-lining the benefits and tol-erances of each plant.

EVENT DETAILS❱❱ Friday February 13 ❱❱ 3321 State Highway 26, Tatuanui ❱❱ Tatua supply no. 14 ❱❱ 10am to 1pm ❱❱ Lunch provided

Regional councils impose strict conditions on effluent management.

All dairy farms must have stock excluded from waterways by May 31, 2017.

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MANAGEMENT // 29

IN BRIEF

STINKBUGS RULED OUTNEW TREATMENT rules for imported vehicles and machinery from the US will help keep the brown marmorated stinkbug out of New Zealand, says the Ministry for Primary Industries.

All new and used cars, trucks, machinery, boats and parts from the US must be heat treated or fumigated with methyl bromide before being shipped to New Zealand.

“In the past, we did not require mandatory treatment prior to shipping from the United States. Instead new vehicles were assessed on arrival by quarantine officers and only those considered high risk were treated on arrival,” says Paul Hallett, MPI biosecurity and environment manager.

Use every drop to stave off droughtIRRIGATING FARM-ERS are being urged to optimise every drop of water.

Irrigation New Zea-land warns the irrigation season may shut down six weeks earlier than usual in some regions, threaten-ing the viability of crops and winter feed supply for stock. Earlier forecasts that Lake Opuha in South Canterbury may sustain irrigation until the end of February are now being revisited.

“The sustained dry conditions have reduced flows in the catchment and increased pressure on our storage prompting us to review the forecast for the lake. River flows and irrigation will suffer when we run out of stor-age,” says Opuha Water Ltd chief executive Tony McCormick.

Elsewhere in Canter-bury and Otago, water restrictions are biting and many farmers say they need to shut down irriga-tion four-six weeks early given the dry conditions. This will affect their abil-ity to maintain winter feed crops, sow new pastures and ensure stock are in top condition going into the colder, harsher months.

IrrigationNZ project manager Paul Reese says irrigators should ensure their equipment is operat-ing at its optimal level so whatever water is pumped is applied effectively. Irri-gators also need to be aware of what is happen-ing with their water supply and prepare ahead of fur-ther water restrictions to ensure domestic and stock

water is still available and that crops can be man-aged with restricted water supply.

“Scheduling is key, par-ticularly now irrigators are limited in the water they have through seasonal volumes and with water meters in place, so know your soils and how much water your crop uses and apply irrigation accord-ingly. Groundwater users in particular need to think about their annual volume and where they are at.

“Ensure your irrigator is working as it should to guarantee you’re getting the best from the water you apply. Checking pres-sure and sprinklers regu-larly is essential.

“If you’re running out of water re-nozzling might help stretch it out for longer or alternatively if you operate a number of irrigation systems think about shutting off the less efficient ones, long lat-erals in pivot corners for example. That way you can continue to operate more efficient irrigators such as pivots and linear moves for longer,” says Reese.

IrrigationNZ has a checklist of options for irrigators to assist them make the right choices. The options may not be available to all farmers as they depend on the equip-ment and setup of each irrigation system and how farmers react will also depend on their particu-lar water restrictions and land use.

“From surface water river takes there may be a rationing regime in place that reduces the

water take as certain trig-ger flows are reached. For example 100L/s to 75L/s when the first threshold hits then from 75L/s to 50L/s with the next. From an irrigation scheme the

roster may change from full flow to reduced flow so your system then has to match it or it could be that the scheme provides full flow but on reduced hours or fewer days.”

Irrigators could be forced to shut early if the rains don’t come.


30 // MANAGEMENT

Stay on the ballTHE COUNTRYSIDE is drying markedly in Waikato, though some areas that got recent rain are holding on.

This may mean the third dry summer in a row for many areas, and this, with the poor payout, is putting pressure on some farmers.

It is too early in the

summer to overreact, but plans must be made to ensure the farm is proac-tive, not reactive.

Because the econom-ics are not as good as last season it is not worth supplementing poorer-producing cows and keep-ing cull animals onfarm. These animals must be identified by herd testing and pregnancy testing to enable a culling guide to be drawn up and imple-

mented when conditions dictate. It will also allow animals to be booked in early to meatworks to avoid lengthy holdups.

Consider also chang-ing milking frequency to either 16-hour or once a day, best done while the farm still has feed.

Some animals may also be dried off if need be, though condition score should not be a limit-ing factor on farms at the

JAMES THOMAS

moment.Once you have ‘tidied’

the herd, turn your atten-tion to a summer/autumn feed budget, primarily to assess the volume of sup-plement required. Feed-ing level of the cows will change on a weekly basis if pasture allocation starts to deplete.

Most important is to keep the cows milking until conditions improve. Every summer has a dry spell – maybe we are get-ting this one out of the way early!

Crucially now, keep updating the financial and feed budgets so there are no surprises on the cash-flow side of the business.

Attend discussion

groups and field days. Most importantly, keep talking to friends, family and neighbours, and don’t think that this is your problem alone.

The rural support line is available for farmers under stress. Things will improve; it’s a question of when, not if.

Lastly, make sure that you get off the farm at some point. Even in times of belt-tightening go to a movie, on a picnic, or take to a cycle or walking track.

Getting off farm can help put everything into perspective and give you something to look for-ward to.• James Thomas, is a Farm-Wise consultant.

WHAT TO DO

■ Make a plan that is updated weekly

■ Consider some early culling

■ Ensure that there will be supplement avail-able for when the rain does come

■ Monitor feed reserves and cow CS

■ Look at changing milking frequency

■ Talk to people

■ Have some time off farm

Don’t fly solo in the face of drought

DON’T STRUGGLE solo through the dry; put your hand up for help.

So says Rural Support Trust, reminding rural dwellers of the many organizations ready to help farmers get through this testing season.

Soil moisture levels are now lower than during the 2013-14 dry. The low soil moisture is knocking pasture vitality, though supplementary feed remains plentiful following a good spring.

Farmers are reported to be coping, says Rural Support Trust Neil Bateup.

But the dry soil conditions are exacerbated by lower than usual river flows due to lower than aver-age winter rainfall. Some consented irrigation take restrictions have taken effect, particularly in the Waihou-Piako catchments, and these could widen if rain stays away.

Auckland Council, Waikato Regional Council, DairyNZ, Beef + Lamb NZ, Ministry for Primary Industries, Waikato Rural Support Trust and Fed-erated Farmers met last month to discuss the situ-ation.

Feds says farmers are managing, but those with little drought experience are finding it tough.

Bateup says its early days and hopefully it won’t turn out as bad as last year.

The officials are to meet again within a fortnight to review the situation.Tel. 0800 787 254

James Thomas

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ANIMAL HEALTH // 31

Secret behind most productive cow in the world is outGOOD ANIMAL care is behind the world’s most productive cow, DeLa-val quotes the cow’s owner as saying.

For seventeen years, Vega, a cow on the island of Öland, Sweden milked 25kg every day – 156 tonnes of milk, 500% more than the average lifetime yield of a dairy cow in even high-producing countries.

And the farm has another cow, Docka, that has milked 70 tonnes, calved six times and shows no signs of stopping, DeLaval says.

“There is no secret to what we have done – animal health and wel-fare,” says Kerstin Persson, owner of the Arbelunda Sörgård farm.

“They need a nice life, and when

they do, then we do too.”This farm is taking a holistic

view of calf and cow care, ensuring a healthy and happy cow all her life.

Four things contribute, she says. “She had a beautiful calfhood.

“She was young and well devel-oped as a first calver. She was treated and cared for from the moment of birth.

“All her feeding over the transi-tion periods from pregnancy to deliv-ery and into lactation were excellent, every time.

“She was able to get pregnant quite rapidly after calving. And in order to calf quickly she needed to be fertile and healthy; she had no severe dis-

eases such as mastitis and no lame-ness.”

“Farms like this are important for the future of the industry,” says DeLa-val dairy development director, Char-lotte Hallén Sandgren.

“We are committed to sustainable food production, so extending the lifetime of a cow is important. It lets you do more with less and improves animal welfare….

“There’s no point getting your cows older if you don’t take care of them. If you don’t meet their needs then you will have problems getting them older anyway. But if you treat them well, they will have a happier lifetime and produce more.”

$18,600 EXTRA PER YEAR

DELAVAL CALCULATES that 100 cows will earn an extra $18,600 per year if an extra lactation cycle is added to every cow.

The calculation is based on lower costs due to fewer heifers being raised and higher milk yield from elderly cows. Other studies show that if only the best heifers are bred then the genetic improvement increases these numbers even further.

And the farmer’s life gets better with happy, healthy cows. “It means we can plan a trip to the cinema without having to worry

about a cow that is sick because we simply make sure they’re all healthy. We win on several fronts,” says Kerstin Persson, owner of Arbelunda Sörgård farm.

Cows on Arbelunda Sorgard farm in Sweden.

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ANIMAL HEALTH // 33

Move early against facial eczema

The first sign of FE is a

drop in milk production.

FACIAL ECZEMA (FE) is a disease which causes lowered production and sometimes death from liver damage, says DairyNZ.

Fungal spores produced by the fungus Pithomyces chartarum growing on pasture produce a toxin which when ingested by cattle damage the liver and bile ducts.

The damaged liver cannot rid the body of wastes and a breakdown product of chlorophyll builds up in the body causing sensitivity to sunlight, which in turn causes inflammation of the skin.

The first sign of FE is a drop in milk production occurring soon after the intake of toxic spores (subclinical FE). Cows are restless at milking time, seek shade and lick their udder. Another drop in production occurs when physical symptoms (clinical FE) become obvious. Exposed unpigmented or thin skin thickens and peels. Watch white areas, teats, inside the hind legs, and the udder and udder support area.

Not all animals affected with FE show physical symptoms although liver damage has occurred. Milk production of animals with subclinical FE can be depressed by up to 50%. It is estimated for every three in 100 cows showing clinical FE, about 70% of the herd may have

subclinical FE.Badly damaged liver

tissue will not regenerate. Chronic wasting and/or death may occur at the time of damage or months later when the animal is under stress e.g. calving.

The fungus produces spores when grass minimum temperatures are above 12°C for two or three nights and humidity is high (usually January to May). The fungus grows on soft litter at the base of the pasture so hard grazing during danger periods increases the risk of spore intake as does topping which increases the build up of soft litter.

To prevent FE, start control early. Ideally start zinc treatment two to three weeks before the spore growth danger period for maximum protection.

Administer zinc as a drench or in water/feed supplies, or use zinc bullets as a standby; spray pasture with fungicide. Map high and low risk areas of the farm through spore counting and check prevention regimes where young stock are being grazed.

FE spores love fresh new grass. Beware of conditions where rain produces fresh growth after a dry period, followed by another period of dry where the grass again dries (burns up).

Cows showing clinical signs of FE can recover if prompt action is taken:

Dry off affected cows

■■ Use■a■starter■drench■to■boost■metabolic■function

■■ Use■vitamin■B12■supplementation■■ Seek■veterinary■advice■regarding■additional■

pain■relief■treatment.■■ Practical■indicators■of■recovery■include■live-

weight■gain■and■improvement■in■body■condi-tion■score■(BCS).■Be■aware■that■animals■can■take■up■to■12■months■to■fully■recover.

■■ Animals■with■a■previous■history■of■clinical■FE■have■a■lower■chance■of■recovery■than■previ-ously■unaffected■animals.

■■ When■deciding■to■cull■cows,■act■early■before■body■condition■score■and■the■severity■of■the■condition■cause■unnecessary■distress■and■suffering.■

■■ If■sending■cows■for■processing■farmers■need■to■be■aware■that■animals■will■not■be■accepted■if■emaciated■or■with■severe■skin■damage■(sores,■weeping■wounds■etc).

TREATING VERY SICK COWS

now, to reduce pressure on the liver

Put zinc cream on white areas of the coat and the udder (if affected)

Move affected stock into dense shade. Indoors is best (hay-barn, calf-rearing and implement sheds) but make sure there is a good water

supply and supplementary feed available for cows

Feed cows at night, so they are not exposed to sunlight and stop hard grazing so cows do not graze down into dead matter where the spores that cause FE live

Feeding maize and/or silage can help, but cows

will still tend to graze if they are kept on pasture

Make sure the diet is balanced, with good levels of energy and protein.

0004 OPS Benefits Selwny Dairy (280x187)_FAem.indd 1 3/02/15 4:54 pm


34 // ANIMAL HEALTH

Diet helps cows keep their coolCHOOSING THE right supplementary feed can help turn down the heat in cows’ digestive sys-tems, helping counter heat stress, says animal nutri-

tion company SealesWin-slow.

Science extension offi-cer Sarah Morgan points out that feed digestion generates heat in a cow,

Cows tend to protect themselves against heat stress by eating less.

but that feeds requiring less energy to digest will also result in less heat gen-erated and more comfort-able cows as the average daytime temperatures stay high.

“Fibre produces more heat in the rumen than other carbohydrate feed sources,” she says.

“Feeds that have high oil content also require more energy to digest and reduce the efficiency of nutrient metabolism.

“Low fibre feed sources usually result in less heat from digestion than feeds that are higher in fibre.”

Morgan says cows tend to protect themselves against heat stress by eating less to avoid tem-perature increases during digestion, but this often comes at the cost of milk production. “The com-bined effects of higher temperatures and humid-ity can put a strain on the herd, and this is particu-larly so for high producing dairy cows. These higher producing cows generate more heat during diges-tion than lower produc-ing cows.

“The main reason for the drop in milk produc-tion in these conditions is that the cows eat less to avoid further tempera-ture rises during digestion; so minimising any envi-ronmental effects on dry matter intake is critical to

maintaining productivity in times of heat stress.”

Ready access to shade and plenty of cool, clean, fresh water is the number one thing way to support a herd in keeping tempera-tures down.

Morgan recommends increasing the energy den-sity of the diet to help compensate for reduced dry matter intake, and pro-viding a good source of protein to help stimulate hunger and avoid temper-ature increases will help maintain production in herds still being milked. “Fat, such as a coated or bypass fat, is a good way to increase energy density in the diet and compen-sate for the difficulties of achieving target intakes through pasture alone.

“The quantity of qual-ity protein over warmer summer months also becomes important, par-ticularly as pasture qual-ity drops.

“Protein in the diet not only supports milk pro-duction and milk protein content, but also plays a hand in stimulating intakes or hunger.”

She says the best protein sources at this time of year are feeds higher in bypass protein or rumen undegradable dietary protein, which passes through the rumen and digests in the lower intestine.

HEAT STRESS – WHAT YOU MUST KNOW

■ Heat stress occurs when the cow’s ability to cool down is impaired by heat.

■ Humidity further impacts this by affecting the cow’s ability to cool down by sweating and panting.

■ Signs of heat stress in lactating cows include reduced feed intakes, lethargic behaviour and lower milk production.

■ Provision of shade and a good supply of cool, clean, fresh water can support the herd to keep temperatures down.

■ Heat production increases following a meal: this is a result of the heat energy from fermentation and heat of nutrient metabolism.

■ Different feed types result in differing levels of heat from digestion: increas-ing energy density by incorporating more fat in the diet and decreasing heat from digestion with the right protein can help to maintain feed intake milk production.

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FENCING & FARM BUILDINGS // 35

So you think you need a bigger dairy?DAIRY INFRASTRUC-TURE can have a major impact on milking effi-ciency and the comfort of cows and milkers.

Upgrading an existing dairy or installing a new dairy are big, often costly projects, says DairyNZ.

A decision to change the dairy should be based on a genuine need for improved infrastructure. It should be financially viable and support the achievement of the farm’s goals.

Generally a change in the milk harvesting system cannot be assessed in iso-lation from the rest of the farm business. A major upgrade or a new dairy is not ‘just a shed’ but has

implications for the whole farm system.

The motivation for a big change may include: the current system is working well but is too small to cope with goals, i.e. milking more cows, employing more or less labour; or the current system may not be work-ing well, i.e. the milker is idle or flat-out, the dairy is too cramped, or it takes too long to milk. In this case possibly the extra capacity/efficiency of a new set-up could help pay for the upgrade.

Sometimes the moti-vation for change may be a combination of both, e.g. milking may be taking too long and extra income

may be needed to cover increasing expenses.

Other reasons for seek-ing changes include:

■ A desire to improve the working environment to get benefits such as reduced OSH risks

■ Improved attitudes to the milking job and farming in general

■ More time to spend on management tasks or being able to attract and keep high calibre staff to take over the day-to-day tasks.Be clear about motives

for change and keep a focus on the farm goals. If the primary goal is to increase disposable income there may be other ways to achieve this with-

out a big building project.Not all of a farmer’s

goals will be financially motivated but every deci-sion made on the farm has a financial implication. The implications of build-ing a new dairy need to be analysed from many dif-ferent angles so the risks of financial failure are kept to a minimum and finan-cial targets are reached.

Some common general considerations are:

■ Will the change be an upgrade or a whole new dairy?

■ Will more cows be required to pay for a new dairy?If extra cows are

required, what will the impact be on the herd, feed, management, labour, infrastructure and debt?

Take into account all costs when doing bud-gets and plans. These can hugely affect the finan-cial viability of a project, e.g. will the existing infra-structure meet require-ments of an expanded herd (effluent, fencing, laneways and water)?

Infrastructure checklistChecking that all nec-

essary elements are included before seeking quotes will restrict those quotes to one only. Send-ing a single set of plans to all contractors ensures they are all quoting on the same job, allowing mean-ingful comparisons of all quotes.

The New Zealand Food Safety Authority (NZFSA) and your milk company have strict rules for dairy infrastructure relating to milk quality and milk col-

lection. Don’t start build-ing or renovating before you consult your milk company.

The ‘Infrastructure Checklist’ document is a spreadsheet for making changes to milking infra-structure.

Use it as a guide during the design stage. It lists each item; use ticks and crosses to indicate those items that are okay and those needing fixing or upgrading.

@dairy_newsfacebook.com/dairynews

Summer HerdHomes® shelters users throughout New Zealand continue to talk to us about the benefits they get throughout the summer. These include increased feed intake, reduced wastage, improved animal health, better cow condition and less stress on both staff and animals all leading to better production through summer. Talk to us and see whether we can also help your business.

NZ Patent Numbers: 521150, 544190, 550635, 545042. Further patents pending. International Patent Numbers: 2003267874, 03748807.9. Further patents pending

seasons ... Take control of the

Flexibility Lactation can be extended, giving greater production and profits

Simple Every farmer agrees that their farm is simpler to manage and run with a HerdHomes® shelter on it

Improved calving Calving with shelter means greater survival rate and less stress for staff

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

See the new and improved design. More loafing space, increased effluent storage and a stronger roof. Ask the farmer why they picked HerdHomes® shelters and see for yourself how it is working out. Make your own mind up.

Contact us about an on farm visit in your area 0800 HERDHOMES (0800 437 346)


36 // FENCING & FARM BUILDINGS

Cow houses designed to suit animals, not humansA GUIDE to cow house design “suits the needs of the dairy system and is an aid to farm profitability,” says its publisher, Aztech Building.

Sales manager Simon Clare says the company’s designs suit animals and the demands of milk pro-duction rather than human or construction prefer-ences.

He says in a typical North Island dairy farming scenario, farmers want the ability to stand their cows off in a hybrid scenario, rather than the intensive 365 day/year model.

“It’s intended to

improve the pasture based farming system, using the cow-in-the-paddock model, but in the wet months standing the cows off.

“However, farmers are finding benefits [during hot weather, from hous-ing’s] lower temperatures and shade reducing cow heat stress…, which is a costly inhibitor to profit-ability, estimated at up to 2L of milk/day/cow during summer.”

Clare says the com-pany works to optimise the design and ventilation of each structure to make conditions more consistent and comfortable for the cows, so they can convert that feed into milk more effectively.

Its clients have many different reasons for want-ing dairy housing, and a one-size-fits-all solution does not necessarily maxi-

mise a farmer’s return on investment.

“At the start of the pro-cess we ask what the farmer is hoping to achieve,” he says.

“He may want to reduce land costs, increase stand-off ability, get more out of cows by taking them out of the heat…. Taking the stormwater component out of the effluent by using the roof to divert it is a massive benefit.”

The company consulted such industry experts as Dr Sue Macky, clinical vet-

erinarian, dairy cow nutri-tionist and principal dairy consultant at Dairy Produc-tion Systems.

Clare says Macky referred to a lot of mis-

guided perceptions about needing to keep cows warm, when in fact a cow’s optimum ambient temper-ature is below 15oC.

“Something cold to

a human is not cold to a cow,” Clare says.

“The ideal cow environ-ment should be unpleas-antly cold to a human. The critical thing is air move-

ment, so in all areas we try to maintain the optimum 2.5-5m3 second.”Tel. 0800 298 324www.aztechbuildings.co.nz

Staff-friendly workplace tops design criteriaWORK AREAS for the milking routine must protect milk quality, be safe, easy to clean and efficient to work in, says DairyNZ.

A people friendly environment will improve morale, work effi-ciency and staff retention.

If the bulk milk tank is located inside, consider the ease of access for the tanker driver.

If possible, design the milk room for easy removal of a wall so the bulk milk tank can be replaced as the herd grows. \Large roller doors, window walls, sliding doors

clad with lightweight polycarbon-ate can all be removed if the need arises.

Site the plant room to minimise noise in the milking area; consider putting the vacuum pump outside the main building to reduce noise. This room should be lockable, fitted with all necessary safety fittings and a fire extinguisher kept nearby; ven-tilate it well for efficient vacuum pump cooling.

Consider building an office in the dairy: increased automation and quality assurance mean more

information is collected, analysed and requires storage.

Some dairy designs include a tea room, access to a phone, wash room, toilet, shower, change room and childcare; these facilities are especially important in larger dair-ies with multiple employees.

Access to these facilities should be possible without walking through the milking area; use an external door.

Single operator dairies should be equipped to alert another person to injury or emergency.

Aztech Building says its structure design suits animals.

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38 // MACHINERY & PRODUCTS

AUSTRALIAN FARMERS Roger and Amanda Heath knew they would need to buy new machinery when they recently bought the family dairy farm from Roger’s parents Peter and Janice.

Roger and Amanda, with their six children, milk 300 Jerseys and some Illawarras on 260ha with a 22ha run-off leased block for the heifers, at Bookaar near Camperdown, western Victoria.

It is a fourth generation dairy, started by Heath’s great, great grandmother on 40ha and he has been there for 21 years, leaving school at 15 to come home to do the milking and do his farm apprenticeship

on the place.“We previously had

a New Holland TS100 tractor which is still going strong on the farm after 10,000 hours. It was the main tractor and will now be kept for feeding out, raking and baling”, explained Mr Heath.

In April last year they bought a New Holland T5.105 with an MX front-end loader through the Swayn & McCabe dealership at Colac.

“The 112hp is the ideal size for us. We chose this New Holland model because it is a basic tractor and because of the reliability that we got from the old tractor.

“It had to be easy to use; we have one full-time operator, Tyson Osborne, and he is the main operator of the machine.

It runs well with great visibility, it’s hard to fault. The hydraulics are very quick.”

The recently-released T5.105 has a 3.4L 4-cyl engine which is Tier 4A emission compliant and utilises New Holland’s cooled exhaust gas recirculation system and a diesel particulate filter.

The common rail system for diesel engines was first introduced to farming by New Holland in 2003, and they claim the benefits in comparison with conventional engines include reduced engine noise, better combustion, higher engine power density and lower emissions.

The tractor runs a 12x12 transmission with electro-hydraulic power shuttle which makes operating

a front-end loader much easier.

The hydraulics have an open-centre system with tandem gear pumps providing a combined total flow of 99L/min. Remote levers are within easy reach on the ergonomic CommandArc console.

“This is the first tractor we have had with a front loader, and we should have had one 20 years ago”, says Heath. “It’s amazing how many extra jobs you can find for the loader; it saves time and is very convenient.”

They feed pellets in the bail to the cows in their 20 a-side swingover herringbone shed and meal to the yearlings and calves. “Filling the pellet feeders is easy with the loader; the Quick Hitch

takes about a minute to drop the forks and put on the bucket.

“It’s halved the time in changing over to the bucket. Mechanically it is a simple quick fix.”

Heath is passionate about his cows, with a big interest in the stud side through their Wanstead Jersey stud, started by his great grandparents. “I just love the cows, always have.” He has been a classifier with the Jersey

Association for 11 years, and gets to see lots of the country.

They’ve had a very ordinary season for hay. “We made all our own silage of 600 bales; we usually do 1000, and have been buying in hay. We normally work on 1000 bales of silage and 1000 of hay. The rain shut off in early August; we always usually get a spring.”

They need to milk 300 cows for debt

replacement. They run a self-replacing herd and will bring 100 new cows into the shed this year. They would like to sit at 300 cows comfortably but will need to increase numbers in the next few years, probably up to 340.

As part of their upgrading program automatic cluster removers and stall gates are on the list, as will be a new feed system.

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MACHINERY & PRODUCTS // 39

CENTRAL DISTRICTS Field Days organisers say their event is shaping up the “tastiest yet” with new exhibitors and attractions.

For foodies, the Taste of Central Districts will serve the region’s wines and foods – Pheasant Creek and Rua-hine wines, Basecamp venison salamis, Koast Limon-cello, Gladstone Vineyard and Southern Grain Spirits.

Southern Grain drinks will include Duckshooter Port and aged whisky.

Food zones will sell whitebait fritters, gourmet burgers, hotdogs, hot donuts, etc. Supporting local business and talent, these food zones will be astir for the three days.

The food innovation and research experts FoodHQ will be on site offering visitors chats with their experts about the science being done in New Zealand. FoodHQ is world-notable for agri-food science and innovation along the food value chain - from idea generation to products on the shelf.

The FoodHQ campus being developed in Palm-erston North will offer global customers ‘one-door access’ to the best in New Zealand food innovation. The collaborative approach creates a faster, easier way for food companies to work with the FoodHQ family.

Mark Ward, programme director at FoodHQ, says: “We’ll be talking to people about our vision and what we’re doing to help grow New Zealand’s agrifood sector. They’ll get to hear from food science experts and get to taste some enjoyable, innovative treats.”

Central Districts Field Days will be held at Manfeild Park, Feilding, from March 12-14.

Food delights to spice up field days

Ploughman eyes podiumWAIKATO FARMER John Guy began compet-itive ploughing “many moons ago” as a member of the Young Farmers Club.

He has competed in several New Zealand finals, not yet making the winner’s podium. He qual-ified for the 2015 final at the Manawatu Ploughing Association held in Octo-

ber 2014. The New Zea-land finals will be held at Palmerston, East Otago, on April 18-19.

His ploughing recently has been helped by the generosity of New Holland Agriculture and their Mor-rinsville branch manager Craig Berkers. They have lent Guy the latest New Holland TT4.75 tractor for all his competitive plough-ing including the New Zea-land finals.

Berkers says they have

TONY HOPKINSONdone business with Guy for a long time and saw this as a way to support Guy and ploughing and to publicise the tractor.

John Guy with the

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About 100 tractors and machinery will be on display.

Farmland marketers doing the rounds at last year’s event.

New field days site ideally placed to welcome new visitorsMORE EXHIBITORS and visitors are expected at this year’s South Island Agricultural field days (SIAFD), March 25-27, on a new site in Kirwee.

SIAFD bought the 40ha site after it outgrew its previous leased site near Lincoln University, after 32 years; the field days have been held near Christchurch every second year since 1951.

Committee chairman Alastair Robinson says while there is still a lot to do, the event has a good

committee, and they are confident everything will get done on time.

The new rectangle block at Kirwee is a better shape than the former site in Lincoln and should be easier for exhibitors to work with; entry into the event will also be easier and more logical. The pre-vious site was a triangle, and exhibitors in the far corners were sometimes overlooked.

SIAFD usually attracts about 25,000 visitors over the three days, although

the committee is hoping the larger site and new location will result in even more coming through.

“We have registered 450 exhibitors, which is over 150 more than our previous event. We’re hopeful that we’ll have more people through the gate than previously,” Robinson says.

“There’s been posi-tive feedback from exhibi-tors and they’re looking forward to the new site. They’re happy with the layout.”

A half-circle centre-pivot irrigator will operate at the front of the site. It

is now running to ensure a good crop of grass for har-vest equipment demon-

strations.Think Water Leeston,

a family-owned water ser-vices business, has made a commitment to supply, install and maintain the irrigator for 20 years and will be present at the event.

Committee member Daniel Schat says crops for demonstrations have been drilled and sites allocated.

“We have more room and the shape is a lot more conducive to filling up the space. The half-circle centre-pivot irrigator is

located at the front, close to the big demonstrating exhibitors,” he says.

The increase in exhib-itor numbers this year shows the community is continuing to support the field days and wants to be a part of it, he says. “It’s only a $15 entry fee so it’s very minimal.”

About 100 pieces of machinery, including trac-tors, headers, mowers and seed drills, are demon-strated.Tel. 03 423 [email protected].

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A RURAL recycling scheme will now include on-farm collection of large drums.

The new Agrecovery service offers free collection of empty containers 61-1000L from 14 participating brand owners of agrichemical and dairy products (Agrisource, Adama, Bayer, BioAg, Donaghys, Etec Crop Solutions, FIL, Farmguard, Orion Crop Protection, Post-Harvest Solutions, Ravensdown, Synergy, Syngenta and Yara). More brands are expected to join.

“A solution for larger packaging is a natural next step for Agrecovery,” says Adrienne Wilcock, who rep-resents DairyNZ on the Agrecovery Foundation.

“Large scale farmers, spray contractors and dairy farmers especially should take note that their large drums and IBC’s can now be collected for free.”

Agrecovery currently recycles the containers of 60 firms – 1 million kg of plastic since launching in 2007.

“It’s a good way for farmers to divert more waste from farm dumps or burning pits, especially in areas where burning is banned, like Canterbury and South-land,” Willcock says.

“As a dairy farmer myself, I’ll be supporting the brands that offer this solution with Agrecovery.”

Dairy hygiene firm GEA FIL drums can now be recy-cled via Agrecovery.

In addition to free on-property collection of large drums, smaller FIL containers (60L and under) can be taken to any of the 70 Agrecovery collection sites. They must be empty, triple rinsed and free from dirt and res-idue inside and out. Tel. 0800 247 326 www.agrecovery.co.nz

Large drums rolled away for recycling

“A solution for larger packaging is a natural next step for Agrecovery.”

Dairy hygiene company GEA FIL has joined the scheme.

Jaguar XE

2014’s most beautiful carTHE JAGUAR XE has been named ‘Most Beauti-ful Car of 2014’ at Festival Automobile International in Paris.

The Jaguar XE was first shown at the Paris Motor Show in October 2014 and will arrive in New Zealand

in the second half of 2015.The award is decided

by a public vote, with 100,000 votes cast in 59 countries. Beating com-petition from the Mazda MX-5, Mercedes C-Class Estate and Fiat 500X, the Jaguar XE won with 28% of

the votes.This is the XE’s second

French award since the Paris Motor Show in Octo-ber 2014, where it was named ‘Best Production Car’ by Auto Plus magazine and the listeners of French radio station, RTL.

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JUST RELEASED in New Zealand, the 2015 Kia Rio has newly styled alloy wheels and changes to the front and rear, says the maker.

The Rio is the most popular Kia model world-wide.

The revised front bumper and Tiger Nose

grille incorporate ‘wing-lets’ into the fog lamp recesses, while at the rear a new shape bumper is “more contoured and ele-gant”.

All Rio models now have alloy wheels – base models previously had steel rims and wheel covers – with 15-inch

Sun shines on plastic recyclerFARM RECYCLING company Plas-back says its collection rates for used silage wrap are climbing steadily.

Plasback manager Chris Hartshorne says the company is on track to collect 2000 tonnes in the year ending June 2015.

Some regions have seen particularly strong growth, he says.

“In Southland/Otago, Taranaki, Bay of Plenty, Hawkes Bay and Nelson/Blenheim we have already collected more in the first half of this year than in the whole of last year. Waikato and Can-terbury are also tracking well up on last year.”

The $40 fee to col-lect each bin liner full of waste silage wrap is no higher than when the service started in 2006, he says.

“The more farmers we have on board, the cheaper and more efficient the service we can provide. With more people in the scheme, our collectors can stop at more farms on each pickup run and they can make their runs more

frequently.“We are building two new

balers to process the wrap more quickly. Collection can slow during summer when the contractors who col-

lect the liners are tied up with hay and silage making, so we urge our custom-ers to have a bit of patience.”

Plasback also collects 200L Ecolab and Agpro plastic drums and collection rates of these for 2014-2015 are also well

up on last year. The service has recov-ered 1483 large drums during the first six-month period compared to a total of 1688 during the full 2013-2014 year.Tel. 0508 338 [email protected]

alloys for the LX manual petrol model, 16-inch alloys for the LX petrol auto and LX diesel, and 17-inch alloys for the EX Rio.

Daytime running lights are standard on all Rio models and two new colours, Urban Blue and Digital Yellow, complete the exterior upgrade.

The car maker says inside, changes to the dashboard include chrome trim around the air vents and changes to the centre console, incorporating simplified controls to make the audio system more user friendly.

“Supervision cluster instrumentation is now adopted for the Rio range, providing the driver with better information.

“The Kia Rio contin-ues to be one of the best equipped small cars in New Zealand, with reverse warning sensors, in-cabin headlamp adjustment,

air-conditioning, remote locking with in-built car alarm, a height-adjustable driver’s seat, telescopic steering wheel, split fold-ing rear seats, rear luggage cover, auto light con-trol, cruise control and audio controls on a leather wrapped steering wheel, Bluetooth hands-free and an MP3-compatible/radio/CD audio system with USB and AUX ports all included as part of the standard package.”

The EX model also features LED daytime running and rear com-bination lamps, climate air conditioning with an auto de-fog system, elec-tric folding door mir-rors (incorporating LED indicators), rain sensing wipers, smart cornering lights and automatic pro-jection-type headlights. A proximity key with push-button engine start is added to the EX model for the 2015 year.

Popular small car gets facelift

David James – One of Plasback’s new silage wrap balers has been completed (rear) and the other is under construction.

Container scrap – Plasback says collection rates of 20 litre drums from farms, such as these from the Agpro’s corporate customers, are well up on last year.

Kia Rio

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dairy news 10 february 2015

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