Tuesday, 30 October 2018 08:55

Still deciding M. bovis levy split

Written by  Pam Tipa
How DairyNZ and BLNZ will split 32% (about $278m) of the M. bovis eradication programme is still being discussed. How DairyNZ and BLNZ will split 32% (about $278m) of the M. bovis eradication programme is still being discussed.

Beef + Lamb NZ and DairyNZ are working through the cost-sharing process for the industry share of eradicating Mycoplasma bovis, says BLNZ general manager policy and advocacy Dave Harrison.

“To come up with a fair approach we have been making use of an independent panel,” he told Dairy News in a joint statement from both industry-good bodies.

“We have had initial advice and are providing feedback. Once the process has finalised, a recommendation will go to our respective boards and be shared with farmers.

“Given this is a sensitive and important process, we can’t comment on the specifics until it has been agreed and approved by our respective boards.”

The cost of the eradication programme is reckoned at $886 million over 10 years. MPI says $16m of that is loss of production and will be borne by farmers, while $870m is the cost of the response, including compensation. 

The Government will pay 68% of that and the two levying bodies, DairyNZ and BLNZ, will pay 32% (about $278m).

But exactly how it will be split between them remains under discussion. Earlier this year dairy industry sources said an 80/20 split between dairy farmers and beef farmers would be fair. However, beef farmers were pushing for a 90/10 split, pointing out that dairy farms are at the centre of the outbreak.

More like this

Featured

AgriSIMA 2026 Paris machinery show cancelled

With the current situation in the European farm machinery market being described as difficult at best, it’s perhaps no surprise that the upcoming AgriSIMA 2026 agricultural machinery exhibition, scheduled for February 2026 at Paris-Nord Villepinte, has been cancelled.

NZ tractor sales show signs of recovery – TAMA

As we move into the 2025/26 growing season, the Tractor and Machinery Association (TAMA) reports that the third quarter results for the year to date is showing that the stagnated tractor market of the last 18 months is showing signs of recovery.

National

Machinery & Products

New pick-up for Reiter R10 merger

Building on experience gained during 10 years of making mergers/ windrowers, Austrian company Reiter has announced the secondgeneration pick-up on…

Krone EasyCut B1250 fold

In 2024, German manufacturer Krone introduced the F400 Fold, a 4m wide disc front mower, featuring end modules that hinge…

» Latest Print Issues Online

Milking It

Microplastics problem

OPINION: Microplastics are turning up just about everywhere in the global food supply, including in fish, cups of tea, and…

Job cuts

OPINION: At a time when dairy prices are at record highs, no one was expecting the world's second largest dairy…

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter