It's The Margins That Matter
OPINION: It appears to be difficult for people who haven’t tried to run a business to understand the difference between assets and cash.
This applies within each region and across all the regions.
“The only constant is the pockets of the country that are actually getting through the summer quite well, but others are suffering through the dry,” he told Dairy News.
“And even within territories, isolated heavy downpours can completely bypass some areas that need it as well.”
Reports from Southland, which enjoyed a good spring, show some regions and areas have had good rainfall.
“But other regions are very dry and in a dire situation; that trend has been around the country,” says Reid.
“Taranaki and lower North Island, where drought was declared before Christmas – parts of those regions have had rainfall and others haven’t and they have had to rely on imported feed to get the cows through this January period.”
‘Variable’ would be the best description of pasture in Waikato and Bay of Plenty as well.
“With the variable spring conditions it has been quite wet in some areas through spring and that impacted on supplementary feed reserves; and it has turned dry earlier so farmers have broken into those reserves earlier than expected. They are having to rely on palm kernel to get them through.”
Northland was looking dry but good rain has fallen over the past couple of weeks. It is probably a typical summer period for Northland but overall the region is looking alright.
Canterbury, with its access to irrigation, is having a pretty typical season.
The West Coast also shows a variable pattern -- a drought declaration followed by heavy rain.
“It is whether you are fortunate enough to be in the area which gets the rain or not. But in general West Coast is looking down the barrel of an unusually dry summer.”
Overall effects will depend on how prepared farmers are for getting through the adverse weather – whether too dry or too wet.
“The lessons out of this are if you plan for the worst and have an action plan you are prepared to implement, and you know what triggers are required to implement that plan then you would be better off than just sort of winging it and hoping for the best.
“That is a test of farming, and the risk of farming – being dependent on weather.”
