increase font size
The country's biggest farmer is pulling out of dairy and moving into sheep milking.
In a move that illustrates the current parlous state of the dairy industry, the country's biggest farmer is pulling out of dairy and moving into sheep milking.
As part of its shift away from dairying, Landcorp's arrangement to develop further dairy farms in the Central North Island for a private investor, Wairakei Pastoral, is being reviewed.
The state-owned farmer's strategy will be revealed in the coming weeks, chief executive Steven Carden told Rural News.
"What this is going to show – in general terms – is to slow down the amount of dairy development we are looking to do nationally. We have finished the dairy development work in Canterbury and we may do a small amount of dairy development work in a couple of discreet areas – only where the economic and environmental hurdles can be overcome," he says.
Carden hints that the four Wairakei Pastoral dairy farms coming on line may not go ahead in quite the way originally envisaged.
The move away from dairying – a strategy which Carden says is supported by the Government – is aimed at improving cash flow and reducing exposure to the very highs and very lows of the global milk price. He says this exposure puts real pressure on Landcorp's bottom line and is not conducive to long term investment.
"We want to get away from that."
Sheep milking is one of several new initiatives and Landcorp wants to position itself as a producer of high-earning, value-added products. Its new sheep milking operation, near Taupo, has attracted both local and international attention.
"We like the environmental footprint for sheep milking," Carden told Rural News.
"What we particularly like is that we are developing a product which first of all tastes great.
"It's got some pretty amazing nutritional characteristics and it's being really carefully developed and marketed in a way that's going to position it as a true, premium brand," he says.
"Secondly, what we like about it is there is a lot of IP that is being developed in building the farm systems – particularly driving the yields that are required and to produce at the scale that we need to meet the demand."
Carden says if he could build businesses that had those two characteristics each time – the demand side and the supply side – that would make Landcorp a very, long-term, sustainable profitable company.
State farmer Pāmu (Landcorp) has announced it will pay a $10 million special dividend to the Crown off the back of a strong outlook for the business and a capital repayment of $9.5 million following Fonterra's consumer business sale.
The Government has appointed three new members to the board of state farmer Landcorp Farming Ltd, trading as Pāmu.
The Government’s directive for state farmer Landcorp Farming (trading as Pamu) to lifts its performance is yielding results.
The vineyards at Pyramid Farm in Marlborough’s Avon Valley have never been run of the mill, with plantings that follow the natural contours of the land, 250 metres above sea level.
To mark International Day of Education on January 24, 2025, state farmer Pāmu (Landcorp) announced the commencement of its Apprenticeship Scheme, designed to equip the next generation of farmers with the skills, knowledge, and experience needed for a thriving career in agriculture.
Celebrating 50 years in the rural landscape of Central Canterbury and beyond, Ashburton-based Carrfields, has been the exemplar for all aspects of modern agriculture via its extensive range of services including supply, growing, agronomic advice and marketing.
For Taupiri dairy farmers Logan and Sian Dawson, their involvement in the NZ Dairy Industry Awards has been a key catalyst in the growth of their business - the experience helping shape how they approach the farm ownership pathway they are pursuing today.
West Otago dairy farmer Luke Kane has been awarded the 2026 Rabobank Dr John Morris Business Development Prize.
OPINION: As the general election approaches, political parties are churning out policies in the hope of attracting more votes.
An LIC bull, Tronnoco AR Sadio-ET S3F, bred by Tony and Keri O'Connor of Tronnoco Farming Co Ltd near Timaru, has won the 2026 Mahoe Trophy.
With forecasters advising El Niño conditions will develop through winter and strengthen into spring and summer, Ballance Agri-Nutrients is encouraging farmers and growers to think ahead about nutrient planning and be prepared to work around challenging weather conditions.
OPINION: The same mainstream media muppets that brought you Jacindamania in 2017 have been flat out pimping for the Opportunities…
OPINION: Your old mate reckons the atrocious way farmers in the UK are treated by their lords and masters in…
