Wednesday, 01 July 2020 11:46

Overwhelming support for continuing seed levy

Written by  Staff Reporters
Levies are collected from the following Commons: Nui, Moata, Manawa, Tama, Ruanui, Huia and Pawera, as well as uncertified ryegrass, red and white clover. Levies are collected from the following Commons: Nui, Moata, Manawa, Tama, Ruanui, Huia and Pawera, as well as uncertified ryegrass, red and white clover.

The Non-Proprietary and Uncertified Herbage Seeds Levy order will continue for another six years.

Growers overwhelmingly supported the levy.

"In fact, from 82% in favour at the last levy vote in 2014, support shown during the vote last November had risen to 91%," says Federated Farmers Herbage Seedgrowers Subsection chairperson, Hugh Wigley.

Agriculture Minister Damien O’Connor and the rest of Cabinet have approved continuation of the levy, and it will be gazetted this week.

"Grasses and clovers are vital to our sector but contracts for growing from proprietary seed are not always available and are more expensive. This levy safeguards supply of non-proprietary and uncertified seeds and provides different options to our farmers," says Wigley.

The Commodity Levies (Non-proprietary and Uncertified Seeds) Order, known as the Commons, was first mandated in 1997 when the responsibility for maintaining these cultivars was transferred to industry from Government.

Levies are collected from the following Commons: Nui, Moata, Manawa, Tama, Ruanui, Huia and Pawera, as well as uncertified ryegrass, red and white clover.

For the Commons to continue to be publicly available, live nucleus and pre-nucleus seed of each of the Commons must be maintained to make breeders and basic seed available to growers.

It costs an estimated $180,000 for Grasslanz Technology to ensure this base material is available to growers.

About 15 to 20% of this material comes from the commercial sale of breeders and basic seed, while the remainder comes from the levy.

The levy is collected on behalf of Federated Farmers by all seed testing stations on the first purity and germination test. It is set at a fixed per kg cost on the projected harvest of each of the Commons and the estimated kg price received by the grower. The maximum levy rate is 5%, although it is typically around 1.5 to 2%.

More like this

That's quick!

OPINION: The Hound hears the supposed new collegial working arrangement between Fed Farmers, Beef+Lamb NZ and DairyNZ is off to a rather rocky start.

No thanks!

OPINION: A mate of this old mutt's almost choked on his dog tucker when he came across the musings of former NZ First MP and newly elected Otago Feds chair Mark Patterson.

Coping with the aftermath

Every fence running at right angles to the river and some running parallel, have some degree of damage, says Mid Canterbury farmer and Fed Farmers national board member Chris Allen.

National

Same old story!

NZ International Business Forum executive director Stephen Jacobi says the present FTA negotiations with the UK is depressing, with the…

Mayor slams Shaw's SNA claim

Grey District's mayor is unhappy at the lack of response from government ministers about concerns from West Coast leaders and…

Vets may choose Oz over NZ

Border restrictions are putting a roadblock in the way of getting more veterinarians to New Zealand and some are even…

Machinery & Products

One-pass cultivator moves 70% less soil

According to Kverneland distributor, Power Farming, the KultiStrip system will bring opportunities to farm environmentally, while improving yields and profitability.

Claas buys into bots

German harvesting specialist and tractor manufacturer Claas has acquired a minority shareholding in Dutch start-up company AgXeed, the developer of…

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Thanks - not!

OPINION: Your canine crusader reckons one of the few things you can guarantee in farming - a bit like rates…

Careful

OPINION: A mate of the Hound's reckons the PM needs to be a bit careful about who or what she…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter