Bakers prefer butter, helping prices soar
Consumers around the world are willing to pay more for products containing dairy and this is driving demand for butter and cream, says Fonterra.
Regional New Zealand is punching above its weight in the relationship with its biggest trading partner, China.
Fonterra’s chief operating officer global operations, Rob Spurway, says increasing Chinese appetite for NZ dairy is helping drive our region’s economies and now 11% of all dairy in China comes from Fonterra farmers.
In a message to mark the Chinese Year of the Pig last week, Spurway noted that last year NZ exports to China were worth at least $16.6 billion, and $3.8b of that was generated by Fonterra in rural and regional NZ.
In total, about 25% of Fonterra’s exports go to China and are consumed by about 150 million people.
“We’re not just talking about milk powder either,” says Spurway.
Fonterra mozzarella tops at least 500 million pizzas and NZ cream goes into 500 million tea macchiatos every year. “A little bit of NZ is ending up on shelves and tables across China and in return that product is helping put food on Kiwi tables,” he adds.
China export earnings help generate income for forklift drivers in Darfield, Maungaturoto tanker operators, cheesemakers in Stirling and processors at the co-op’s plant in Te Awamutu, Spurway says.
“The benefits of our relationship with China flow into communities as our employees and farmers support businesses, schools and other local organisations across the country.”
Waikato is among Fonterra’s biggest regions for China exports, totalling $1.2b in cream, cheese and milk powder -- about $2500 per person in the region.
Of Fonterra’s 30 NZ sites, Clandeboye in Canterbury was the top producer, exporting about $566m of products to China, Southland’s Edendale exported nearly $560m and Whareroa, Taranaki exported $437m.
Chinese consumer demand has a year-long positive effect, says Spurway.
“I’m fortunate my job has taken me to China a fair number of times and my sense of pride is as strong as ever when I see our products on shelves, in bakeries and in beverages.
“It’s special knowing that a little bit of regional and rural NZ has found its way into the lives of people in Shanghai, Beijing and Dongguan.”
The Good Carbon Farm has partnered with Tolaga Bay Heritage Charitable Trust to deliver its first project in Tairāwhiti Gisborne.
Education union NZEI Te Riu Roa says that while educators will support the Government’s investment in learning support, they’re likely to be disappointed that it has been paid for by defunding expert teachers.
The Government says it is sharpening its focus and support for the food and fibre industry in Budget 2025.
A European Union regulation ensuring that the products its citizens consume do not contribute to deforestation or forest degradation worldwide threatens $200m of New Zealand beef and leather exports.
A long-acting, controlled- release capsule designed to protect ewes from internal parasites during the lambing period is back on the market following a comprehensive reassessment.
Healthcare appears to be the big winner in this year's budget as agriculture and environment miss out.
OPINION: Last week's announcement of Prime Minister’s new Science and Technology Advisory Council hasn’t gone down too well in the…
OPINION: At its recent annual general meeting, Federated Farmers’ Auckland province called for New Zealand to withdraw from the Paris…