increase font size
MPI's deputy director-general of agriculture and investment services, Karen Adair.
The new Farm Debt Mediation Scheme will soon be open for business.
From next week, the Ministry for Primary Industries (MPI) will be able to consider applications from mediation organisations wanting to take part in this scheme which will begin operating on 1 July 2020.
Karen Adair, MPI's deputy director-general of agriculture and investment services says it has already heard from leading mediation organisations that are interested in participating.
“If an organisation is approved, they will then make sure their mediators are trained for the new scheme," says
The Farm Debt Mediation Act became law on 13 December 2019 and brings a new approach to farm debt mediation.
Adair says the scheme will help provide a way forward when a farm business comes under financial stress.
"It will ensure a fair mediation process takes place with an independent, neutral mediator and all the key people around the table."
In particular, the new Farm Debt Mediation Scheme is designed to address any power imbalance between stressed farm businesses and their creditors. Creditors will be required to offer mediation to farmers before they can take action on a debt default.
"This provides the best chance that everyone involved can reach agreement on a good way forward. This may be a way to turn things around or, in some cases, to wind down the business," says Adair.
There are two key dates – the first is being ready to approve mediation organisations to take part in the Farm Debt Mediation Scheme from 1 February, and the other is being open for business for farmers and creditors on 1 July.
"We don't want to completely re-invent the wheel for farm debt mediation, and the processes we are designing will be familiar for current mediators. We will require mediators to have farm business and rural sector knowledge, and we want good regional coverage.”
Two organisations, the Arbitrators' and Mediators' Institute of New Zealand and the Resolution Institute, have advised MPI they are intending to apply to be approved mediation organisations under the new legislation.
They are jointly developing a day-long seminar in mid-February to train existing mediators.
One feature of the Farm Debt Mediation Scheme will be that, if a farmer prefers, mediation can be based on tikanga Māori (protocols).
"This could help get better engagement and outcomes. This is timely, too: the need to provide for mediation according to tikanga was highlighted by the Family Justice Review report in May 2019. We are working with mediators who are experienced and knowledgeable in tikanga to set this up,” says Adair.
The recent East Coast Farming Expo, held over two days at Wairoa, offered an insight into the current state of agriculture on the east of the North Island, at a time when the locals are remembering the second anniversary of Cyclone Gabrielle.
OPINION: At last, a serious effort to better connect farmers and scientists.
An initiative by the Ministry for Primary Industries (MPI) to connect farmers with scientists is taking off judging by the response at recent regional field days.
Scientists from the Ministry for Primary Industries (MPI) are part of an international team working to develop a low-cost diagnostic tool that could significantly improve food crop production in developing countries.
Horticulture Minister Nicola Grigg says she takes her hat off to all NZ growers for the hard yards they have put in over the last few years which have resulted in horticulture exports expected to reach the milestone of $8 billion this year.
Recent rain has offered respite for some from the ongoing drought.
New Zealand's TBfree programme has made great progress in reducing the impact of the disease on livestock herds, but there’s still a long way to go, according to Beef+Lamb NZ.
With much of the North Island experiencing drought this summer and climate change projected to bring drier and hotter conditions, securing New Zealand’s freshwater resilience is vital, according to state-owned GNS Science.
OPINION: Otago farmer and NZ First MP Mark Patterson is humble about the role that he’s played in mandating government agencies to use wool wherever possible in new and refurbished buildings.
For Wonky Box co-founder Angus Simms, the decision to open the service to those in rural areas is a personal one.
The golden age of orcharding in West Auckland was recently celebrated at the launch of a book which tells the story of its rise, then retreat in the face of industry change and urban expansion.
OPINION: The appendage swinging contest between the US and China continues, with China hitting back with a new rate of…
OPINION: The irony of President Trump’s tariff obsession is that the worst damage may be done to his own people.
