NZ Kiwifruit Growers Set for Higher Returns Despite Risks
Despite the ongoing bad news on the geopolitical front, New Zealand kiwifruit growers may be in for a good payout.
That's the sentiment coming from the major primary industry sectors.
Despite weather woes in some parts of the country, grass is growing, prices remain strong and farmer sentiment is rising.
The rosy picture is painted right across the primary industry - red meat, dairy, kiwifruit, horticulture and even wool.
For dairy farmers, a $9.50/kgMS milk price is firming every Global Dairy Trade auction.
Dairy farmers are over the moon with the state of play. Some farmers in the Waikato are still making silage, and many are expected to continue milking way past their traditional drying off mark.
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In the red meat sector, Federated Farmers meat and wool industry chair Richard Dawkins describes the sector finding itself in "a very rare set of circumstances".
They are seeing strong returns across sheep, beef and even wool - a welcome change.
"Combined with easing interest rates, good feed conditions and a more supportive policy environment, it's a very rare set of circumstances for the sector to be operating in," he adds.
Across horticulture, the mood is also buoyant.
Kiwifruit yields are reaching record levels and forecast prices are expected to top last season in most categories.
The apple sector is reporting excellent quality, early pack-outs are tracking well and there's a real sense of optimism across the industry.
Marked by exceptional fruit quality and high pack-out rates, this season is a welcome return to form for apple growers after several challenging years that included Covid-19 disruptions and extreme weather events.
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This season is a welcome return to form for apple growers. |
The wool sector is also moving out of the doldrums as the world wakes up to the disadvantages of carpets derived from petrochemicals, creating opportunities for New Zealand strong wool.
Strong wool prices are up 130% since 2022.
The positive sentiment right across the primary sector augurs well for New Zealand.
As primary export receipts rise, returns will trickle back not only to the farmgate but local communities.
That's a win-win for everyone.
