Tuesday, 21 June 2016 09:55

It's not all that bad — MPI

Written by  Peter Burke
Jarred Mair, MPI's director of sector policy. Jarred Mair, MPI's director of sector policy.

The author of the MPI Situation and Outlook report says that while some of it could be construed as less than satisfactory, the primary industries overall have a "phenomenal opportunity".

Jarred Mair, MPI's director of sector policy, sees truly exciting opportunities in areas where New Zealand has not yet been -- notably high-value, processed products in which NZ will have a competitive advantage.

He believes the opportunities for NZ products in the hospitality sector are "phenomenal".

Mair says while it's tempting to look at dairy exports with nostalgia for the 2014 record result, it's important to realise that was an exception.

"Now we are [anticipating] a return to those levels through this forecast period, which at 34% is a pretty big gain over four years. Much of this will be value rather than volume, which is exciting."

Mair says horticulture has been a standout sector for the last three years.

"It shows the power of NZ primary industry, in the sense that it's diversified; so though we have had problems with one sector, another has stepped up."

Another strength emerging is farmers' growing ability to better manage adverse events, helped by technology.

"The strength of NZ's primary sector is that, having been in a market-led economy for so long, we know how to adapt and respond to challenges at the macro level," Mair says.

"A great example: the slowdown in China in dairy; we were able to quickly redistribute that product around the world and still sell it. Yes, there was a drop in price, but we were able to sell it."

More like this

MPI defends cost of new biosecurity lab

The head of the Ministry for Primary Industries (MPI) biosecurity operation, Stuart Anderson, has defended the cost and the need for a Plant Healht and Environment Laboratory (PHEL) being built in Auckland.

Bikinis in cowshed

OPINION: An animal activist organisation is calling for an investigation into the use of dairy cows in sexuallly explicit content posted on social media and adult entertainment subscription site OnlyFans.

Featured

AgriSIMA 2026 Paris machinery show cancelled

With the current situation in the European farm machinery market being described as difficult at best, it’s perhaps no surprise that the upcoming AgriSIMA 2026 agricultural machinery exhibition, scheduled for February 2026 at Paris-Nord Villepinte, has been cancelled.

NZ tractor sales show signs of recovery – TAMA

As we move into the 2025/26 growing season, the Tractor and Machinery Association (TAMA) reports that the third quarter results for the year to date is showing that the stagnated tractor market of the last 18 months is showing signs of recovery.

National

Machinery & Products

» Latest Print Issues Online

The Hound

Picking winners?

OPINION: Every time politicians come up with an investment scheme where they're going to have a crack at 'picking winners'…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter