Red meat sector's 'wait and see' approach in the US
The red meat sector is adopting the New Zealand Government’s ‘wait and see’ approach as it braces for the second Donald Trump presidency in the US.
In the last two weeks I’ve had the good fortune to catch up with hundreds of farmers nationwide as they’ve turned out to see what Beef + Lamb New Zealand is planning in the next six year levy cycle.
While each region has its own issues and climatic challenges, common themes have consistently been raised in discussions. Overwhelmingly farmers have said they want an organisation to represent their interests, but importantly one that provides them with clear demonstrable value.
One area of common interest is the market access work. Farmers seem united in the need for BLNZ to be working on their behalf alongside the Government, to ensure the best trade arrangements are landed for farmers and ultimately that all tariffs are eliminated. Last year this work saved $161 million that would otherwise have gone on tariffs if free trade agreements like those with China and Taiwan had not been in place.
There is a lot of interest in the potential for our sector through Trans Pacific Partnership and we fully support the Government’s insistence that we must strike a high quality deal. Some farmers have voiced disquiet at the possibility the deal could weaken NZ’s sovereignty, but there was widespread acknowledgment that NZ producers must remain competitive and be a part of the deal if it is to progress
Another common theme has also been in the headlines – health and safety. Farmers are genuinely perplexed about the application of the Health and Safety Reform Bill currently before Parliament and are looking to their farmer organisations for support and to argue for sensible and workable regulations. Federated Farmers has been doing great work in this area, and very deliberately BLNZ has teamed up with them to add weight to the farmer voice.
There is no argument about the need to reduce accidents on farms. However the people best placed to work out how, are farmers who understand the work environment and are responsible for owning and implementing the practice and culture change.
While it was pleasing to see dairy, sheep and beef farms not being required to appoint a health and safety representative in the amendment released last week, there is still work for us to do on the use of quads and finding workable regulations.
With Federated Farmers we have consistently pointed out to officials that a quad passenger is safer with an experienced rider who knows the farm and its hazards than riding a quad of their own – especially if they lack riding experience.
Sheep and beef farmers have been pleased at BLNZ having a stronger voice on their behalf on environmental compliance issues. In this the organisation has beefed up its resources to meet needs in the last 18 months. Along with policy work we’re running more land and environment planning workshops to support farmers get plans for their farms in place that help them meet environmental regulations.
There’s been good discussion about BLNZ’s role in market development. The farmer views expressed range from full support for farmer-funded promotion activity through to no role for farmer investment and a view to leave it to the meat companies. Given the failure to land a jointly funded marketing entity with the meat companies in June 2015, we have started a review of the $5.5m promotional investment. Our commitment to farmers is to come back to them and have a full and frank discussion about the options after the sheepmeat and beef levy referendum has been concluded.
• James Parson is the chair of Beef + Lamb NZ.
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