MPI Opens $3m Greenhouse Gas Research Funding Round
The Ministry for Primary Industries (MPI) has announced has opened applications for the 2026/27 funding round of the Greenhouse Gas Inventory Research (GHGIR) fund.
The Dairy Industry Restructuring Act (DIRA) appears to be preventing Fonterra from effectively managing some aspects of its farmers’ environmental performance, says a discussion document from MPI.
DIRA may also be no longer fit for purpose, in that it provides access to regulated milk for large dairy processors “for whom it may no longer be necessary”.
However, DIRA remains relevant and effective at achieving its core objective of managing Fonterra’s dominance, and was unlikely to be encouraging inefficient industry growth or preventing Fonterra from pursuing a value-add strategy.
MPI says those were its preliminary findings after consulting industry stakeholders in the first stage of a major review of DIRA launched in May.
Agriculture Minister Damien O’Connor released the document at a ceremony on a dairy farm at Outram, Otago, to mark the start of wider public consultation.
O’Connor said our biggest and most important export sector must be fit for the future.
“It’s timely to take a strategic view of the challenges and opportunities facing the nearly $17 billion dairy sector.”
“A productive and sustainable dairy sector that grows value and protects the natural resources it depends upon is vital to our economic prosperity and the wellbeing of all New Zealanders.”
O’Connor said DIRA, which led to the setting up of Fonterra in 2001, regulates the co-op’s dominance in the market to protect the long-term interests of all farmers, consumers and the wider economy.
“The dairy industry was built on the back of the DIRA legislation and it is a significant driver of the industry’s performance.
“The review is looking at open entry and exit obligations, the farmgate milk price settings, contestability for farmers’ milk, the risks and costs for the sector, and the incentives or disincentives for dairy to move to sustainable, higher-value production and processing.
“We need everyone with an interest in the success of the dairy sector to take part in a frank appraisal of the issues.”
Public submissions are invited until February 8, 2019, after which potential legislative changes will be drawn up to go to Parliament.
The document says key legislative areas are open entry requirements, access to regulated milk for dairy processors, the base milk price calculation and the DIRA review and expiry provisions.
DairyNZ says Waikato farmers need certainty on Plan Change 1, but they say that certainty must be matched with practical, workable rules and a clear transition that doesn't get ahead of the new resource management system currently under review.
While the Government has moved quickly to make commercial hauliers' lot easier during the current fuel crisis, they appear to be stuck in the creep box when it comes to the agricultural industry.
Waikato farmers have been told that the Government’s new planning system legislation and the region’s Plan Change 1 (PC1) “won’t mesh together very well”.
Farmer owned co-operative Ravensdown has signed a two-year naming rights sponsorship of the Canterbury A&P Show.
OPINION: Confidence in the wool sector is rebounding as prices hit levels not seen in more than 15 years.
More than 300 growers, exporters, researchers, service providers and industry leaders will descend on Queenstown later this month for EXPO 2026, the annual conference for New Zealand’s apple and pear sector.
OPINION: No one messes around with Winston Peters, more so in a general election year.
OPINION: Staying on Federated Farmers, this week's annual general meeting in Auckland is shaping up to be an interesting one.