Tuesday, 07 February 2023 11:55

Uncertainty prevails

Written by  Peter Burke
DairyNZ chair Jim van der Poel. DairyNZ chair Jim van der Poel.

DairyNZ chair Jim van der Poel says uncertainty in the dairy industry is causing farmers to think twice before investing big time in the sector.

He says while the banks are offering money to invest in the sector, farmers are taking quite a cautious approach.

He says this is because of several things such as the shortage of labour, government legislation and the milk price coming down.

“As a result, there is a real reluctance among farmers to borrow that extra money,” he says.

Van der Poel says that is a reflection of things at the moment, with confidence is quite low and people are worried about what the future may hold.

He says costs have gone up, the last two GDTs haven’t been positive and there is still a labour shortage. He says in the last three years farmers have had to work harder than they would have liked.

“It would appear that they are taking stock, sitting back for a while and seeing how things play out including what actions the Chris Hipkins government might take in the coming months,” he says.

More like this

Owl Farm marks 10 years as NZ’s first demonstration dairy farm

In 2015, the signing of a joint venture between St Peter's School, Cambridge, and Lincoln University saw the start of an exciting new chapter for Owl Farm as the first demonstration dairy farm in the North Island. Ten years on, the joint venture is still going strong.

Featured

Farewell Jim

In a few hundred words it's impossible to adequately describe the outstanding contribution that James Brendan Bolger made to New Zealand since he first entered politics in 1972.

National

Machinery & Products

» Latest Print Issues Online

Milking It

Fonterra vote

OPINION: Voting is underway for Fonterra’s divestment proposal, with shareholders deciding whether or not sell its consumer brands business.

Follow the police beat

OPINION: Politicians and Wellington bureaucrats should take a leaf out of the book of Canterbury District Police Commander Superintendent Tony Hill.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter