Editorial: Punching Above Our Weight
OPINION: With 10,500 dairy farms, New Zealand continues to punch above its weight around the world.
Provisions to manage Fonterra’s dominant position in New Zealand’s dairy markets will not expire at the end of May.
Parliament has passed a law change so that the efficiency and contestability provisions of the Dairy Industry Restructuring Act 2001 (DIRA) will be retained.
Minister of Agriculture Damien O’Connor says the Government will now undertake a comprehensive review of the DIRA and consult fully with the dairy sector.
O’Connor says the review will consider key issues facing the dairy industry, including, for example, environmental impact, land use, Fonterra’s obligation to collect milk, and how to achieve the best outcomes for farmers, consumers and the New Zealand economy.
Details on timing, delivery and definitive scope will be considered by Cabinet in the coming weeks.
“It was not in the interest of farmers, dairy processors, consumers, or the wider New Zealand economy to let these key DIRA provisions expire in the South Island and tinkering with the Act would not answer some of the bigger questions facing the industry.
“By rolling over the Act and committing ourselves to a wide-ranging review we are taking a considered and strategic approach to the changing needs of the dairy industry.’’
A report from the Commerce Commission, published in 2016, found that competition was not yet sufficient to warrant the removal of the DIRA provisions. This Government is satisfied that it is appropriate to retain the existing provisions while the review is conducted.
“Officials are currently working on the terms of reference for the review, and I intend to share these with the New Zealand public and the dairy industry in the first half of this year,” says O’Connor.
The DIRA was passed in 2001 to manage Fonterra’s dominant position in dairy markets, until sufficient competition emerged. Its automatic expiry provisions were triggered in 2015, when other dairy processors collected more than 20% of milksolids in the South Island.
A Palmerston North shearer has been sentenced to six months' community detention and 12 months' supervision after being found to have physically abused three lambs while shearing them.
Power Farming has launched a joint venture in Southland.
Food rescue charity Meet the Need has released its 2025/26 Impact Report, revealing a record year of growth alongside a stark warning: demand for food support across New Zealand is rising faster than supply can keep up.
As we move into the second half of 2026, the Tractor and Machinery Association (TAMA) reports that Year-to-Date figures ending June 30 saw new tractor deliveries hitting 1,386 units or 10.7% ahead of the same period in 2025.
The avocado sector is entering the new season with a larger crop and positive market opportunities.
New Zealand growers have always adapted to changing conditions, but one challenge is steadily gaining ground across the horticulture sector: resistance.
OPINION: The Irish dairy sector is facing a new dilemma - maintaining year-round fresh milk supplies.
OPINION: Could beef cows play an increasingly important role in improving profitability and resilience on hill country farms?