Get innovations out of queues and into farmers' hands
Makers and retailers of animal health and crop thriving products are backing the Government’s plan to step up approval processes for new offerings.
Westpac head David McLean says New Zealand is not capturing enough of the value chain with its dairy exports.
McLean told Dairy News that Fonterra, other dairy companies and New Zealand generally, must invest more in this area of innovation.
A lot of innovation is by small businesses with new ideas, he says, for example the recent initiative in milking sheep. A large percentage of the world population consumes sheep milk products and if New Zealanders can innovate, this industry could grow.
“Access to capital and research funding is very important. The trouble with all these start-up ventures is their very high risk. If they have good reach or are working with an in-market customer, that can be taken into account. We are keen on innovation and supporting it so we’ll be as flexible as we can.”
Meanwhile McLean says he’s optimistic that the payout for next season will be above $6/kgMS. His only caveat on that is the possibility of lower milk volumes because of the dry weather.
“But we’re optimistic about the long term demographic trends in Asia where more people want protein in their diet. There are other clouds on the horizon such as sanctions on Russia and milk quotas in Europe coming off. There are offsetting factors so… it is worth watching carefully. We don’t see a rebound to the high payout of the previous season but we do see a solid outlook for the future.”
Speaking before last week’s fall in GDT prices, McLean says while his bank is no more an expert than anyone else, the fact that the GDT auction price has risen by 30% above its November low is encouraging. This could signal that the inventory problems of the past are starting to play out, he says.
“From a farming point of view some other conditions are very good. The cost of borrowing is about as low as in living memory so that is a big contributor to farm profitability.”
McLean says as long as dairy prices hold up there will be more dairy conversions, but factors such as the availability of appropriate land and water will be limiting.
At some time the natural limit of dairy expansion will be reached.
Managing director of Woolover Ltd, David Brown, has put a lot of effort into verifying what seems intuitive, that keeping newborn stock's core temperature stable pays dividends by helping them realise their full genetic potential.
Within the next 10 years, New Zealand agriculture will need to manage its largest-ever intergenerational transfer of wealth, conservatively valued at $150 billion in farming assets.
Boutique Waikato cheese producer Meyer Cheese is investing in a new $3.5 million facility, designed to boost capacity and enhance the company's sustainability credentials.
OPINION: The Government's decision to rule out changes to Fringe Benefit Tax (FBT) that would cost every farmer thousands of dollars annually, is sensible.
Compensation assistance for farmers impacted by Mycoplama bovis is being wound up.
Selecting the reverse gear quicker than a lovestruck boyfriend who has met the in-laws for the first time, the Coalition Government has confirmed that the proposal to amend Fringe Benefit Tax (FBT) charged against farm utes has been canned.
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