Eroding share of milk worries Fonterra shareholders
Fonterra shareholders are concerned with a further decline in the co-op’s share of milk collected in New Zealand.
THE 25th ANNIVERSARY of 2014 New Zealand Dairy Industry Awards winners will go down in history.
Ruth Hone of the Central Plateau was the first female to win the dairy trainee title and Charlie and Jody McCaig, named 2014 New Zealand Sharemilker/Equity Farmers of the Year, were from Taranaki where the idea of the awards was born.
At Auckland's Sky City Hotel on Friday, the other top award went to Nick Bertram who became the 2014 New Zealand Farm Manager of the Year.
The competition celebrated the 25th milestone with an Anniversary Ball following the awards presentations. It is the longest-running dairy farming competition and has its roots in Taranaki, where the contest idea was born in the 1970s before the first national competition was held in 1990.
"It's hugely special and sentimental that this year's winners are from Taranaki," national convenor Chris Keeping says. "It's also fabulous to have our first female winner in the trainee contest, which does prove girls can do anything."
All winners exemplify the trends evident from this year's awards, including the use of the industry's career pathway to progress, the adoption of smart technology on farms and the talent being attracted to the dairy industry.
Sharemilker/Equity Farmer head Judge Leo van den Beuken, a Canterbury farmer, says people are now better at progressing along the career pathway that has always been available in the industry.
"For 10 of the 11 farms we visited farm ownership is not a dream, it's a reality. Most of the sharemilkers plan to move into equity farming as the vehicle they will use to get to full ownership and most plan to achieve that goal in five to 10 years. They showed us the evidence to back up their goals. They plan to have a substantial share in their farm and they are going to increase that share or sell out of their share to buy a farm of their own."
Charlie and Jody McCaig have been in the dairy industry less than five years and have amassed an impressive record in that time, winning the region's farm manager title in 2011.
"I judged them three years ago and then a big thing for them was to save $10,000 a year. They said they would be herd owners in 10 years and they have achieved that goal in just three years."
Van den Beuken says the high milksolids payout had assisted. "But people can see the vehicle and the pathway."
Dairy trainee head judge and Taranaki farmer Paul Davidson says the trainees had been exposed to what is possible during this past week's study tour, which introduced them to successful farmers.
"The study tour has opened their eyes to opportunities in the industry, the career pathway, and how fast they can achieve goals. Many have since revised their own goals."
Farm manager judge and DairyNZ regional leader Phil Irvine says the use of smart phone and other technology on farm was assisting in day-to-day tasks. "On one farm all staff had smart phones so they could access certain things, like rosters and milking procedures. They were also using snapchat to capture things like a leak on a water line."
Irvine says another farm was applying effluent, with solids removed, through irrigators. "By using GPS technology they were able to cut the switch so the irrigator stops applying as the pivot moves over a water lane or sensitive area. It's clever stuff."
The New Zealand Dairy Industry Awards are supported by national sponsors Westpac, DairyNZ, Ecolab, Federated Farmers, Fonterra, Honda Motorcycles NZ, LIC, Meridian Energy, Ravensdown, RD1 and Triplejump, along with industry partner Primary ITO.
Charlie and Jody McCaig are 21% sharemilking 500 cows on a unique property owned by the oil and gas industry and leased by the Taranaki Rugby Union. The couple are aged 31 and 34 years and will be 50% sharemilking in the coming season. They won $55,500 in prizes.
Van den Beuken says public perceptions and health and safety are top priorities on the farm. "The farm attracts a lot of outside interest because of its location by the sea, cultural significance due to early land wars and oil and gas infrastructure."
The Kupe gas field comes ashore on the farm. "Charlie and Jody have to be on top of their game at all times. It's a very high profile farm and they don't know who's going to be looking at what they are doing."
He says the couple's strengths are in their attention to detail, high standards, team work and communication. They also have strong relationships with their staff, encouraging their progression and involving their families.
Waiau equity farm managers Kevin and Sara O'Neill placed second in the contest, winning $18,000 in prizes.
"Kevin had dreamt of becoming an All Black, but realised that farming was the future for them. They are goal orientated and very focused and you can't begrudge them for their two years' experience in the industry as they were operating at the highest level."
Duncan and Kim Fraser have lifted the performance of the Feilding farm they 22% sharemilk in a short space of time to make it a high performing farm. The couple placed third, winning $15,400 in prizes.
When judges left the Featherston farm being contract milked by 2014 New Zealand Farm Manager of the Year, Nick Bertram, they were buzzing. "He has really picked up a below average performing farm and made the most of the resources available to him," Mr Irvine says. "He is doing the basics well and has a good handle on finances and how his farm decisions were affecting the farm owners finances."
Bertram, aged 27, is contract milking 260 cows for David and Lorraine Osborne at Featherston. He won $30,500 in prizes.
"Nick had also developed his own feed budgeting spread sheet to help with his decision-making and nitrogen and supplement inputs to ensure pasture targets were met."
It was a tight contest for the top three places, with Ngatea contract milker Simon Player placing second and winning $9000 in prizes. "Both Nick and Simon are really good all-rounders and they have also built strong relationships with their farm owners which may provide future opportunities for them," Irvine says.
Third place-getter, Oxford farm manager Phillip Colombus, has become a leader in staff training for Ngai Tahu's growing dairy farming business. "Phillip is training staff through a number of good initiatives and then they progress on to other farms."
Colombus won $8000 in prizes.
"He had access to great technology and was applying it really well."
The 2014 New Zealand Dairy Trainee of the Year, Ruth Hone, is excited about the dairy industry and the career pathway that it has, Mr Davidson says.
Hone, aged 24 years, won $18,400 in prizes and is in her third season in the industry, working on a 250-cow farm for Michelle and Ross Davison near Taupo. She completed her first marathon in last weekend's 50th Rotorua marathon.
"We think she will be a great ambassador for dairy trainees and the industry, and she can clearly see there is a pathway for her in the industry. She had a positive and bubbly vibe about her."
Winton farm assistant Josh Lavender placed second in the trainee contest, winning $3500. "Josh has been a standout his whole life and has very strong goal setting. He is going to succeed in whatever he does."
Both Hone and Lavender hold Bachelor degrees.
Galatea farm assistant Cameron Luxton placed third in the trainee contest, winning $2000 in prizes. "He had completed a building apprenticeship but was really excited about the opportunities our industry has compared to building."
Full Results:
2014 New Zealand Sharemilker/Equity Farmer of the Year
Winner – Charlie & Jody McCaig, Taranaki
Runner-up – Kevin & Sara O'Neill, Canterbury/North Otago
Third – Duncan & Kim Fraser, Manawatu
DairyNZ Human Resources Award – Charlie & Jody McCaig
Ecolab Farm Dairy Hygiene Award – Chris & Carla Staples, West Coast/Top of the South
Federated Farmers of NZ Leadership Award – Donald & Kirsten Watson, Central Plateau
Fonterra Interview Award – Charlie & Jody McCaig
Honda Farm Safety and Health Award – Charlie & Jody McCaig
LIC Recording and Productivity Award – Duncan & Kim Fraser
Meridian Energy Farm Environment Award – Charlie & Jody McCaig
Ravensdown Pasture Performance Award – Donald & Kirsten Watson
Triplejump Risk Management Award – Duncan & Kim Fraser
Westpac Business Performance Award – Charlie & Jody McCaig
2014 New Zealand Farm Manager of the Year
Winner – Nick Bertram, Hawkes Bay/Wairarapa
Runner-up – Simon Player, Auckland/Hauraki
Third – Phillip Colombus, Canterbury/North Otago
DairyNZ Interview Award – Sam Ebbett, Manawatu
Fonterra Best Practice Award – Phillip Colombus
Meridian Energy Leadership Award – Jared Crawford, Southland/Otago
PrimaryITO Human Resource Management Award – Phillip Colombus
RD1 Farm Management Award – Nick Bertram
Westpac Financial Planning & Management Award – Nick Bertram
2014 New Zealand Dairy Trainee of the Year
Winner – Ruth Hone, Central Plateau
Runner-up – Josh Lavender, Southland/Otago
Third – Cameron Luxton, Bay of Plenty
DairyNZ Practical Skills Award – Matthew Snedden, Northland.
Visit www.dairyindustryawards.co.nz for more information on the award winners.
Fonterra’s board has been reduced to nine - comprising six farmer-elected and three appointed directors.
Five hunting-related shootings this year is prompting a call to review firearm safety training for licencing.
The horticulture sector is a big winner from recent free trade deals sealed with the Gulf states, says Associate Agriculture Minister Nicola Grigg.
Fonterra shareholders are concerned with a further decline in the co-op’s share of milk collected in New Zealand.
A governance group has been formed, following extensive sector consultation, to implement the recommendations from the Industry Working Group's (IWG) final report and is said to be forming a 'road map' for improving New Zealand's animal genetic gain system.
Free workshops focused on managing risk in sharefarming got underway last week.
OPINION: Fonterra may have sold its dairy farms in China but the appetite for collaboration with the country remains strong.
OPINION: The Listener's latest piece on winter grazing among Southland dairy farmers leaves much to be desired.