increase font size
The closure of Alliance's Smithfield plant at Timaru will prove yet another blow for the heartland.
OPINION: Rural New Zealand has been taking some very big hits of late. The latest of these, the closure of Alliance’s Smithfield plant at Timaru, is yet another blow for the heartland – the engine room of the economy.
Farmers are struggling with the effects of adverse weather, terrible prices for lamb and having to sell their products in an unstable global market.
For the workers at Smithfield it is a bitter blow. They are highly skilled people who have played a huge part in the local and national economy. There are also the other people who have support roles around the processing plant who will now have the unenviable task of finding work and maybe having to leave the district.
While many may see the closure of the 139-year-old Smithfield plant as a surprise, the fact is that this has been a storm coming and the fact that it’s taken so long to happen is itself a surprise. Alliance rightly points to the age of the plant and need for investment to upgrade it. Another major factor is declining stock numbers, so the economics of an upgrade don’t cut the mustard. Unfortunately, Smithfield is the area where the declining stock has had a significant impact, says Alliance.
But there are other things in play as well.
Land use change – for the worse – has seen pine trees planted on good sheep country, with the result that the national ewe flock continues to drop. That is not the fault of Alliance, rather questionable economic policies which encourage the planting thousands of hectares of land in pines. For what good reason, many ask. Carbon farming, they say.
The other factor at play with Smithfield is urban encroachment and there are rumours in Timaru that a developer is interested in the site for retail or other business options.
There is talk that the coolstores at the site may be kept as they are believed to be in reasonable condition. Little is for certain now.
What is certain is that there could be more closures like Smithfield if stock numbers continue to decline and newer plants with greater capacity and are better designed to better meet the needs of overseas consumers take over from the older plants.
OPINION: The case of four Canterbury high country stations facing costly and complex consent hearing processes highlights the dilemma facing the farming sector as the country transitions into a replacement for the Resource Management Act (RMA).
OPINION: Farmers are rightly urging the Government to relax the rules around KiwiSaver and allow young farmers to use their savings towards purchasing either a house, cows or a farm.
OPINION: Over the past 25 years growing wine, Jonathan Hamlet has seen "a massive evolution" in the care taken in vineyards.
OPINION: Foreign policy is a real strength of Winston Peter and this is recognised by Ministry for Foreign Affairs and Trade (MFAT) officials who, so the story goes, wanted him in his present role because of his experience in that field.
OPINION: People have criticised Christopher Luxon for the time he’s taken to appoint a new chief science advisor.
The CEO of Apples and Pears NZ, Karen Morrish, says the strategic focus of her organisation is to improve grower returns.
A significant breakthrough in understanding facial eczema (FE) in livestock brings New Zealand closer to reducing the disease’s devastating impact on farmers, animals, and rural communities.
Farmer co-operative LIC has closed its satellite-backed pasture measurement platform – Space.
OPINION: The case of four Canterbury high country stations facing costly and complex consent hearing processes highlights the dilemma facing the farming sector as the country transitions into a replacement for the Resource Management Act (RMA).
The 2024-25 season apple harvest has “well and truly exceeded expectations”, says Apples and Pears NZ chief executive Karen Morrish.
Through collaborative efforts with exhibitors, visitors, and industry partners, Fieldays says it is reaffirming its commitment to environmental responsibility with new initiatives for 2025.
OPINION: The Greens aren’t serious people when it comes to the economy, so let’s not spend too much on their…
OPINION: PM Chris Luxon is getting pinged lately for rolling out the old 'we're still a new government' line when…
