Cyclone-ravaged orchardists facing balance sheet woes
Many companies are financially mortally wounded by the effects of Cyclone Gabrielle and may have to sell up because of their high debt levels.
He says a recent report by MPI shows that, with the exception of viticulture, the hort sector is either flat or reducing. O'Neil believes this is due to the terrible growing conditions that have plagued the sector for the past two years. He told Hort News this was not just Cyclone Gabrielle, but a succession of other adverse events.
"This is certainly a blip on earlier growth projections, but in my view horticulture will rise and continue to rise from this and will continue to grow," he adds. "The present situation has impacted over the entire horticulture sector and been devastating for some, but horticulture will be able to get through this."
O'Neil says growers, where they can, will make changes to their production systems. But he adds for those who grow on flood plains and are dependent on protection systems such as stopbanks, the hope is that these will be designed to deal with the sort of events that are being experienced.
O'Neil says more growers are having covers over their crop and finding ways to make drains cope better with floodwaters.
He believes they are becoming more resilient from extreme weather events.
"But I know that a number of growers are angry and I can understand that... if I was in their situation, I would be angry as well," he adds.
"I think this anger is about going through the grief cycle where they find themselves faced with a problem not of their making. A situation where the flood protection systems that were put in place to protect their businesses have failed and they can't see a way forward. Understandably, they are angry about that."
O'Neils says, despite all this, sooner or later people have got to get themselves out of that position and find a way forward. He reckons part of this will be finding ways to support these people who have lost their businesses and a life's work.
He told Hort News that HortNZ is doing everything it can do to help and support affected growers through this. O'Neil says the wellbeing of growers is the number one priority and a lot of effort is going into supporting growers from a number of organisations - such as the Hawke's Bay Fruitgrowers Association, the Horticulture Charitable Trust and the Rural Support Network.
"A lot of activities are underway and more will be needed and will continue to be needed to support the wellbeing of growers and farmers throughout the recovery."
