Fishing companies may work together

Fishing companies may work together

[15 August/ Business Day] Although Sanford and Sealord were reported to be in talks aimed at consolidating their fishing operations, Sanford CEO, Volker Kuntzsch said that they were not contemplating a merger and that the companies had only discussed combined quotas on certain vessels. Sealord said that it was engaging...
Challenge thrown down at farm launch

Challenge thrown down at farm launch

[19 August/ NZ Farmer] Similar to its latest demonstration farm in Cambridge, Lincoln University has established a training farm (for finishing lambs, raising beef cattle and to demonstrate how to produce arable crops) 10 kilometres north of Bulls in Manawatu to be run in partnership with local iwi Ngati Apa....
Dairy Goat Co-op ready to expand

Dairy Goat Co-op ready to expand

[14 August/ NZ Farmer] The Dairy Goat Co-operative started commissioning its new $70 million spray dryer and it plans to start using it later in August. Dairy Goat Co-operative CEO, Tony Giles attributed the co-op’s growth to $150 million of revenue to its demand driven, market-led strategy. He emphasised the...
WorkSafe slams forestry industry over deaths

WorkSafe slams forestry industry over deaths

[14 August/ Business Day] In a submission made to the Independent Forestry Safety Review, the workplace health and safety regulator, WorkSafe, stated that the structure of the forestry industry meant that no one was responsible for workers’ safety, putting the greatest burden for safety on workers rather than the asset...
Pipfruit sector’s future ‘very bright’

Pipfruit sector’s future ‘very bright’

[15 August/ Otago Daily Times] Pipfruit New Zealand CEO, Alan Pollard highlighted that good returns are expected in the industry this year, following a record season last year (550,000 tonnes in total production, 320.000 tonnes for export with $500 million in export returns). At a two day Pipfruit New Zealand...
KPMG’s Agribusiness Agenda 2014 Volume 1 – Facilitating Growth in an Uncertain World

KPMG’s Agribusiness Agenda 2014 Volume 1 – Facilitating Growth in an Uncertain World

This year we bring you a fresh new format that distils the thoughts and ideas of our nation’s agribusiness leaders from a series of roundtables across the country.
Latest entries

Farm sales up despite winter lull

[19 August/ Business Day: NZ Farmer] Real Estate Institute figures indicate 1,923 farms were sold (up 25 percent) over the year to July, with national sales up by almost 17 percent in three months to July with 512 sales, although they dropped 5.9 percent when compared to three months to June. The median price per...

Dairy conversions, urban sprawl drive down numbers of sheep

[13 August/ NZ Herald] Beef + Lamb New Zealand said dry conditions in the northern North Island and changes in land use in the South Island has resulted in sheep numbers falling by 3.2 percent over the 2013-14 season, with the total flock having declined to 29.8 million in the year to June 30, 2014...

New demo farm for Lincoln in Waikato

[14 August/ Radio New Zealand Rural] A 200 hectare Waikato dairy farm on the banks of the Waikato River, owned by St Peter’s School in Cambridge has formed a partnership with Lincoln University to provide a demonstration farm, similar to Lincoln University’s research and demonstration dairy farm in Canterbury. Lincoln University vice-chancellor, Andrew West said...

A bumper crop, but a bad year for farmers

[17 August/ The Washington Post] World’s largest farming machinery manufacturer, John Deere reported a 15 percent decline profits to US dollars 850 million for its fiscal third quarter. US farm profits are expected to decline by almost 27 percent in 2014, with crop sales anticipated to decline by over 12 percent. According to the US...

Aussies embrace ‘no frills’ stores

[14 August/ The National Business Review] A Queensland University of Technology study indicates that Australian consumers have embraced European style supermarkets that sell only private label goods, led by the German supermarket chain Aldi, with over 300 Australian stores. Queensland University of Technology consumer expert, Gary Mortimer said that Aldi has identified an untapped segment...

Banana investors bet on a bidding war for Chiquita

[14 August/ NZ Herald] Carolina based Chiquita Brands International’s stocks rose over 30 percent this week on news of a surprise $13 per share joint takeover bid from Brazilian orange juice processor, Cutrale Group and financial conglomerate, Safra Group. MKM Partners said that a deal may require as much as $16 per share. Accepting the...

Nufarm growth seeds set to sprout

[13 August/ The Australian] Agricultural chemicals and seed company, Nufarm managing director, Doug Rathbone said that in light of improving local market conditions and the results of the company’s wholesale restructuring, the company’s outlook for 2015 looks to be positive. He said that although conditions have been tough over the last 12 months, the past...

Promising report on Horizon rivers

[14 August/ Rural News Group] A Landcare Research sediment report, commissioned by Horizons in 2013, which aimed to assess the impact of the Sustainable Land Use Initiative on sediment levels in the region’s rivers has been delivered to Horizons Regional councillors. Horizons Environmental Manager-Land, Grant Cooper, said they needed to ensure they were making an...

Land sector on toxic sites priority list

[14 August/ Radio New Zealand Rural] The Government is spending an additional $2.4 million on cleaning up the Kopeopeo Canal near Whakatane, increasing the total funding for addressing Government’s targeted top 10 priority list of contaminated toxic sites in New Zealand to $4.7 million. The Kopeopeo canal was polluted in the 1950s to late 1980s...

PGG Wrightson returns to profit but outlook clouded by dairy slump

[12 August/ NZ Herald] PGG Wrightson declared a profit of $42.3 million in the year ended June 30, up from a loss of $306.5 million the previous year due to a $321 million charge taken to write off goodwill from its 2005 merger. The Rural services division made the biggest contribution to the total earnings...

Producer prices fall as dairy declines

[19 August/ NZ Herald] Statistics New Zealand said that New Zealand producers’ output prices declined 0.5 percent in the three months ended 30 June, while input prices declined 1 percent. Dairy produce prices have experienced a decline this year, due to increased production, which has led to an inventory surplus in China and falling demand...

Rebuffed calf rearers rule out Fonterra legal action

[18 August/ NZ Farmer] Taranaki farmers dumped from the Fonterra International Live Stock Venture said they will not pursue legal action, with Waverley calf rearer, Chris Carrick saying that they were given assurances that they would be involved in the venture for a minimum of three years. Mr Carrick said that he cannot afford to...

Commission questions Fonterra payouts

[16 August/ Otago Daily Times] A Commerce Commission draft report has indicated that the decision by Fonterra to drop last season’s forecast payout to 55 cents below the calculation stated in the milk price manual was inconsistent with incentives for the dairy giant to operate efficiently. The final report scheduled to be published on September...

Move over cow milk as alternatives make inroads

[15 August/ Business Day: NZ Farmer] In 2013, Sanitarium reported a 12 percent increase in the growth of milk alternatives such as rice, soy, oat and coconut milk in New Zealand, while almond milk experienced a 143 percent increase. Fonterra Brands CEO, Peter McClure said that sales of cow milk and cream over the past...

Fonterra in Australian research deal

[14 August/ Radio New Zealand Rural] Fonterra Co-operative Group chief technology officer, Jeremy Hill said that its agreement with Australia’s Commonwealth Scientific and Industrial Research Organisation (CSIRO) would complement, rather than compete with its work with New Zealand research providers. Dr Hill mentioned CSIRO’s breadth of science and technology capabilities in agriculture and food, and...

Labour levy to hit rural irrigators

[18 August/ NZ Farmers Weekly] Irrigation New Zealand CEO, Andrew Curtis said the Labour Party’s user pays levy (for large scale rural users) on fresh water for rural users appears unlikely to receive support by irrigators, unless it drops environmental investments and focuses on irrigation infrastructure. Labour Party primary industry spokesman, Damien O’Connor said the...

Wool levy spending specifics outlined

[13 August/ Otago Daily Times] A proposal outlining how a proposed wool levy would be spent has indicated that $2.7 million would be allocated to education targeted at stimulating demand for wool. Up to another $500,000 has been allocated for innovation, including co-ordination, communication and extension of the investment in wool research and development and...

Small forestry contractors leaving industry

[18 August/ Radio New Zealand Rural] The Forest Industry Contractors Association estimates that almost 50 operators have left the industry due to the decline in the log export trade driven by a drop in demand from New Zealand’s main market, China. Forest Industry Contractors Association CEO, John Stulen highlighted that smaller scale and short term...

Price of cereal grain buoyant

[17 August/ NZ Farmer] Although planting of milling wheat levels are expected to be similar to that of last harvest, the latest arable industry marketing initiative grower survey (a survey of grower intentions) indicates that the predicted area of feed barley for the 2015 harvest has increased by 18 percent. Areas of milling and feed...

PSA disease grips Kerikeri orchards

[19 August/ Radio New Zealand Rural] Although Northland growers have managed to confine the PSA disease to a few orchards, Fruitgrowers Federation’s Rick Curtis said that the PSA disease has infiltrated onto Kerikeri orchards. He said the wet and warm conditions have resulted in an increased spread of the bacteria, with approximately 30 positives detected...

Meadow Mushrooms’ expansion continues

[15 August/ NZ Farmer] The second stage of Meadow Mushrooms’ $120 million expansion project in Hornby commenced this week, with the $12 million extension of the Christchurch farm expected to provide 60 jobs and increase production by 37,000 kilograms of white mushrooms per week. Meadow Mushrooms’ CEO, John Barnes said that approximately $60 million had...

Carb concerns marr potatoes’ image

[14 August/ Radio New Zealand Rural] Potatoes New Zealand CEO, Champak Mehta said that new marketing initiatives are attempting to reverse falling potato consumption, due the belief in the under 40 age group in Western nations that potatoes are bad for you. Mr Mehta said that it is the total interaction between the proteins and...

Pengzin may not survive – Bill English

[12 August/ Business Day] Finance Minister, Bill English expressed his doubts about the longevity of Shanghai Pengxin, saying that corporate farming entities do not survive in the long run. Shanghai Pengxin is awaiting Overseas Investment Office approval to purchase the 13,800 hectare Lochinver Station. Mr English highlighted that farming was a low return on asset...

Alliance bid to close rural health gaps

[11 August/ Radio New Zealand Rural] A collection of 20 health related and rural organisations and some district councils making up the Rural Health Alliance, released its strategy for healthy rural communities, with chairperson, Jo Scott-Jones highlighting its aim of achieving equality of outcomes for people living in rural communities. Dr Scott-Jones mentioned improving mental...