Mars to help farmers reduce emissions
One of Fonterra’s global customers, Mars is launching an ambitious sustainable dairy plan to work with dairy farmers and cut emissions by 50%.
Fonterra's decision to drop its 2011-12 forecast payout by 15c/kgMS demonstrates the trade exposed nature of our primary industries, says Federated Farmers Dairy chairman Willy Leferink.
With the current global economic outlook, this may not be the only revision for the 2011/12 season, he says.
"I don't think there are many farmers who were not expecting a downwards revision. We had indications from the globalDairyTrade auction that prices have been drifting south.
"Most economic forecasters also expect commodity prices will ease over 2012. It's fair to say the international picture is more than a little choppy, especially with China revising its Gross Domestic Product forecast downwards.
"This is the reality New Zealand's primary exporters have to deal with. We're completely trade exposed and it's a fact of life for us. Times can be good, but we also know from the 2008-9 season, they can be pretty hard too.
"Farming returns can sometimes resemble an oscillograph. This is why corporate investors looking for predictable returns tend to find farming difficult."
Leferink says while the primary industries are generally growing, overall sector debt levels aren't.
Many farmers have heeded our advice to run conservative budgets focused on reducing debt, he says.
"That said, we're increasingly anxious over how the Kiwi dollar is defying gravity. While soft commodities are correcting our dollar ought to be doing the same but isn't.
"While good growing conditions have helped us put in a blinder of a season, a high dollar could well skim the cream."
One of Fonterra’s global customers, Mars is launching an ambitious sustainable dairy plan to work with dairy farmers and cut emissions by 50%.
Beef + Lamb New Zealand chief executive for the past eight years, Sam McIvor is heading for new pastures at Ospri, which runs NZ’s integrated animal disease management and traceability service.
The world's largest wool scouring facility, WoolWorks Awatoto plant in Napier, is back operating at full capacity.
A year on and the problems created by Cyclones Hale and Gabrielle has largely dropped off the radar of media and politicians.
Feeling forgotten and in a fragile space financially and mentally.
Horticulture NZ chief executive Nadine Tunley will step down in August.