RISING ENERGY prices are putting financial pressure on the meat processing industry, according to the chair of Meat Industry Association, Nathan Guy.
He says the meat industry is an energy intensive processing business and its operations rely on it to run the various components within the industry such as refrigeration and the killing chains.
Guy says the problems the sector is facing concern declining domestic gas supplies and the increased cost of gas, plus the rising cost of electricity.
He says that electricity prices have increased substantially, driven by higher transmission and distribution charges and having to deal with aging infrastructure. He says there is always pressure on our hydro generation system because of droughts and that leads to a degree of uncertainty.
“On the positive side, the Government has repealed the ban on oil and gas exploration which is fantastic to try and discover new reserves to bridge the gap, while renewables play a larger part in energy generation,” he told Rural News
“However, there is political uncertainty with the Labour Party threatening to reinstate the ban, which doesn’t create any level of energy certainty,” he says.
Guy says what needs to happen is a government-driven national energy
strategy. He says this can’t come soon enough and has been in the pipeline for a while now. He says what high energy users such as the meat
industry need is regulatory certainty.
“Also looming fast is the potential need for climate reporting obligations for any changes in emissions pricing
through the ETS, so there are couple of grey clouds there,” he says.
Guy acknowledges the role that EECA (the Energy Efficiency and
Conservation Authority) has played in setting up a five-step approach to help reduce emissions and also their help with energy audits. He says in due course there will be an opportunity for biogas but this will require capital, and to convert the waste stream into renewable energy requires scale.
Meanwhile Guy says besides energy, meat companies, like most Kiwi companies, are dealing with rising costs domestically and internationally. Wages have gone up significantly, although he says that isn’t necessarily a bad thing, but it is a reality.
“Local council rates that have gone sky high in places, and then you have got insurance costs that have also risen,” says Guy.
“On the international front there are offshore freight constraints to get to some markets efficiently, as we have seen play out with the Suez Canal in recent times. And on top of that we have all the geopolitical headwinds, including the 15% tariff into the US and the overall rise of protectionism globally,” he says.
In all these situations it’s the meat companies who take all the risk, says Guy. But he also notes that NZ is being somewhat shielded from the effects of many of the problems because current demand for our meat is outstripping supply.
Open letter to Alliance Shareholders
Dear fellow Alliance Group Limited (AGL) shareholders (4300 of us)
Please consider this letter and the alternative finance proposal below, which should be read in full.
We, as a group of shareholders, would like to table the proposal outlined herein. Our wish is to retain AGL as a 100% NZ farmer owned co-operative. Our goal is to recapitalise the business to ensure the capital structure going forward is fit for purpose and successful at all levels, thereby maximising returns to its NZ farmer shareholders/suppliers.
There are several factors that lead us to believe that a farmer driven recapitalisation of AGL will be successful including:
• The financial state of the farmer shareholders has improved dramatically since earlier recapitalisation proposals were first raised.
• We have been informed that significant initiatives have been undertaken by AGL in “right sizing” the business. It has now returned to profit.
• There is a strong desire from farmers to retain AGL’s proud legacy and history as 100% farmer owned co-operative.
The “offer” on the table from Dawn Meats, placing a value of $250m (this includes $40m loyalty carrot for continued future suppliers) for 65% of AGL, appears to significantly undervalue the business, wiping out circa $150m of shareholder equity (based on equity at the last balance date). This raises the question: Is a credible shareholder recapitalisation plan a better option than the proposed sale to Dawn Meats, both from a shareholders and community point of view?
We have not received the Information Memorandum that has informed and supports the Dawn Meats proposal. We have modelled “Best of Industry” advice in terms of performance which suggests the following profitability numbers are credibly attainable by AGL:
Season NPBT Tax @ 28% NPAT
25/26 $85m $24m $61m
26/27 $100m $28m $72m
27/28 $112m $31m $81m
28/29 $160m $45m $115m
29/30 $212m $59m $153m
We accept that AGL needs to be recapitalised. We believe the following scenario can work with your support. Within the limits of the information currently available to us as shareholders we propose the following steps as a plan to put before the Banking syndicate currently supporting AGL.
• *Leaves a prospective surplus of $55m over the two financial periods (26/27) for capital expenditure (as required).
• We have assumed a return to profit in the current financial period. The above figures are based on the information we have available at this time and may be subject to change.
To enable the “Retention” process, a Product Disclosure Statement (PDS) needs to be live in the market. Making a “capital injection” in the current season provides the time needed to undertake the issuance of a PDS.
Retaining full ownership of AGL by farmer shareholders is critical as:
• Alliance has taken significant steps to right size its business for the present and the future.
• AGL is the last surviving 100% farmer shareholder owned red meat co-operative in NZ.
• Alliance was set up in 1948 as farmers felt, at the time, the foreign owned companies were not giving them a fair deal. Do we to run the risk of “going back there”?
• As Fonterra has proven, under a renewed strategy and focus on the core business, exciting opportunities can be created to benefit NZ farmer shareholders. Clearly, any recapitalisation of the company will require a review of current strategy and management.
Our decision to promote this alternative plan to recapitalise AGL is because we genuinely believe that 100% farmer ownership serves all farmers and their communities to best advantage in the long run. AGL has had its problems in the past, but it has remained resilient and stayed true to its founding principles, and we wish to retain that: “As a co-operative, we partner with our farmers to produce the world’s finest red meat. We exist to create prosperity for our farmers by taking the results of their expertise and hard work to deliver healthy, natural food products to consumers all over the world.”
Alliance is $2 billion of farmer generated revenue funding our businesses, our communities and our way of life. It helps fund our roads, our schools, our towns and our sports clubs. Alliance is us. Recently it’s had its challenges but we can now revitalise the business, see it prosper and grow to pass on to our next generation of farmers. Let’s keep it 100% farmer owned so our sons and daughters can share in the legacy of what we and our founding shareholders have created.
Next steps: 1. Vote against the Dawn Meats proposal.
2. Embrace the alternative capital model proposed in this letter.
We understand farmers are worried that the banks will take control of AGL if the Dawn Meats offer is not accepted. They have not had a credible alternative offer to consider until now. A strong message with a commitment of financial support is crucial to enable our proposal to succeed. Banks have been strong partners throughout AGL’s history and with a renewed commitment from farmers, there is no reason this cannot continue.
We as a group do not support a “no vote” without a financial commitment as tabled above.
We have all got our hands up to help do everything we can to ensure AGL returns to be a strong performer in the industry and remains in farmer ownership. Final thought…before we dismantle a fence on our farms, we give thought as to why it was put there. There was a reason.
Bremworth is being sold to the world’s largest flooring company.
Under the deal, Mohawk, which also owns carpet manufacturer Godfrey Hirst NZ Limited, will pay between $1.05 to $1.15/share subject to market conditions and business performance.
This includes a capital return of between 30c and 40c/share – between $21 million and $28m.
Bremworth says the sale price is 135% to Bremworth’s share price prior to commencement of the strategic review announced in February 2025 and 85% to its most recent closing price prior to the announcement of the deal.
Bremworth released a scheme implementation agreement it had signed with Floorscape Limited, a wholly owned subsidiary of Mohawk Industries.
The deal is conditional on several matters, including shareholder approval, High Court approval, New Zealand Commerce Commission clearance, Australian Competition and Consumer Commission approval, and the Independent Advisor concluding that the scheme price is within or above its valuation range.
Bremworth’s board is urging shareholders to accept the deal.
Chair Rob Hewett says the agreement delivers a favourable outcome for shareholders while also creating long-term strategic benefits for New Zealand manufacturing, wool growers and regional communities.
He says it follows a comprehensive strategic review and extensive engagement with potential buyers.
“Our focus throughout has been on securing the best possible outcome for
shareholders.
“This agreement reflects the strength of Bremworth’s brand and its future potential. It is a positive outcome for shareholders who have stood by the company through some very challenging years. The offer provides certainty of value at a meaningful premium.
“Looking beyond shareholder returns, the acquisition by Mohawk, a business with significant revenues, strong balance sheet and operations in more than 170 countries, represents a significant vote of confidence in New
Zealand manufacturing. Importantly, this transaction also offers strategic benefits for New Zealand.”
Bremworth’s wool and premium carpet products will be positioned within Mohawk’s global distribution networks, providing greater export reach and showcasing New Zealand’s natural fibre story on the world stage.
With access to Mohawk’s capital and scale, Bremworth will be better able to compete in New Zealand and Australia with competitively priced imported carpets and provide opportunities for growth in global
BUSINESS REVAMP
LISTED COMPANY Bremworth underwent a board and management revamp earlier this year.
Unhappy shareholders forced the departure of directors and executives. They were unhappy with the performance of the business, claiming that Bremworth had not delivered the revenue, margins and profits expected by shareholders from the wool-only strategy adopted five years ago.
Rob Hewett, who took over as chair, has been leading a restructure of the business.
markets (North America and Europe) that have been challenging to compete in as a smaller competitor.
“In this way, a sale to Mohawk should strengthen demand for New Zealand strong wool, supporting farmgate returns and regional economies. With Bremworth on a surer financial footing, this should also accelerate our innovation pipeline in both wool-based and synthetic flooring solutions,” says Hewett.
Craig Woolford, chief executive officer of Bremworth, says the transaction will provide the operational backing needed to build capability and deliver more for customers and retail partners.
“With Mohawk’s resources behind us, we can sharpen our focus on customer service, expand our retail footprint in Australasia and give New Zealand-made carpets a stronger presence in the global marketplace. This is about creating certainty and new opportunities for everyone connected with Bremworth.”
Bremworth chair Rob Hewett says the deal will create long-term strategic benefits for NZ manufacturing, wool growers and regional communities.
Do-or-die vote for meat co-op
THE FUTURE of the Alliance Group is “pretty dark” if the proposed Dawn Meats deal does not go through, says board chair Mark Wynne.
Wynne, alongside chief executive Willie Wiese and other board members and executives, are now conducting a series of meetings with farmer shareholders, outlining the proposed deal ahead of a crucial vote on October 20.
Shareholders are being asked to approve a deal which would see Alliance lose its 100% co-operative status by selling a 65% stake to Ireland’s Dawn meats for $250 million. That would allow Alliance to pay off a $188 million debt to its bankers by mid-December, a deadline that has already been extended from the end of September.
Wynne spoke to Rural News following the meeting in Invercargill last week, the third meeting on the first day of the roadshow, where he and Wiese outlined details of the proposal to about 50 attendees. While many appeared undecided, some made it clear they would not support the proposal, and the pair faced some sharp questioning.
However, Wynne said he was excited about the dialogue.
“That’s the purpose of the meeting, to explore and understand exactly what’s on offer. What are the risks? What are the alternatives?
“But we really have no viable alternatives to meet the bank repayment requirements in the deadline that’s available to us.”
The proposed deal would see Dawn take a controlling stake in a new joint venture company, although Alliance would maintain control over certain strategic and operational matters.
The current nine-member Alliance board would reduce to five under the constitution of a new Alliance Investment Co-operative – made up of three farmer-elected directors and up to two independents.
Two of those directors would then sit on the five-member board of a new Alliance Group Ltd joint venture, alongside three Dawn Meats appointees.
Wynne said an independent investment bank and corporate advisory business, Northington Partners, had assessed the path the board had taken to find a solution to its problems and found it “robust and comprehensive”.
“There’s only one credible offer to meet the banks’ requirements and timeline.”
He said the proposed partnership provided compelling value with significant strategic benefits to the shareholders beyond just paying off the debt. It would open new avenues for collaboration and growth though Dawn’s established expertise, especially in beef processing, and its established relationships with British and European markets.
Wynne said that a yes vote needed to meet a high threshold. Farmers representing at least 50% of all shares on issue needed to cast a vote, and 75% of the votes cast must vote yes.
Asked from the floor what a “no” vote would look like, he emphasised that whatever the result the board and management would do the very best they could with the cards they
are dealt.
“But what will happen is that we will be called back in to negotiation with the banking syndicate, who will still make it very clear that the $200 million is due on the 19th of December.
“In that scenario, it is unlikely they will give us working capital facilities next year.”
Wynne said that the shareholders might then commit to come up with the cash as soon as possible, but he believed that would not happen.
‘WE MUST SAVE OUR CO-OP’
THE ALLIANCE Group’s return to profitability and farmers’ rosier financial position means the co-operative can be saved without the sale to Dawn Meats, says a group of Southland shareholders campaigning for a ‘no’ vote.
The group has gone public with a counterproposal launched with a full-page advertisement in Rural News and fliers which they are handing out to farmers attending each of the roadshow meetings.
Spokesman Dave Pinckney spoke at the Invercargill meeting, warning that “when the co-operative is gone, it’s gone”.
Pinckney emphasised his confidence in the current board and management to keep Alliance
More likely, the board would be forced to call in the receivers, or the banks would appoint an administrator.
At that point the banks would care only for the $188 million they were owed, while Dawn would say that because the farmers had voted no, then the company was not worth $250 million.
“And so, the probable outcome would be the administrators sell 100% of Alliance to Dawn for a lower price than we’ve got on the table for 65%.”
running if the shareholders reject the Dawn proposal.
“I repeat, I back these guys, with your support, to get a [banking] facility.
“We are talking to credible financial institutions of a scale to deal with this issue. You must take me on trust on that - we are talking to credible financial institutions as we speak.”
The group argues that Alliance has already turned the corner operationally, with EBITDA of $86 million in the financial year just ended, and farmers now in a better position to commit to a ‘modest’ capital call.
They propose a three-year debt repayment plan with a cash injection from shareholders of $5 per stock unit in the first year and retention of $2 per lamb equivalent thereafter, combined with staged
Some attendees at last week’s farmer meeting asked why a Dawn representative wasn’t available for questioning, but Wynne said the chance to engage directly with Dawn Meats’ chief executive Niall Brown would come in a webinar after the roadshow. The roadshow will head to the top of the Alliance catchment in Hawke’s Bay before concluding in Central Otago on October 14. The vote will be conducted at a Special General Meeting in Invercargill on October 20.
repayment from projected profits and sell down of non-essential assets.
Alliance chief executive Willie Wiese said the board and management would do whatever they could to get best value for the shareholders but warned that if the Dawn meats proposal is rejected and they still haven’t found a solution by November, they would have to decide whether it would be reckless to continue trading or not.
“If the farmers vote ‘no’ and are happy to live with the risk of whatever the outcome is, that’s your choice, because it’s your business.”
The Southland farmers who have put their names to the proposal include former Beef+Lamb chairman Andrew Morrison, alongside Pinckney, James Anderson, Michael Wilkins, and Mark Gunton.
Southland farmers Michael Wilkins (left) and Dave Pinckney were at the Alliance roadshow meeting in Invercargill to promote their counter-proposal.
NIGEL MALTHUS
Strong farmer support to quit Paris Accord
SUDESH KISSUN
A SURVEY of 2000 farmers shows 94% of respondents believe that remaining in the Paris Agreement for climate change is not in the country’s best interest.
The survey was jointly carried out by Groundswell NZ, NZ Farming, and the Methane Science Accord.
Groundswell co-founder Bryce McKenzie, who is leading a public campaign for NZ to withdraw from the Paris Agreement, told Rural News that he wasn’t surprised by the results.
“As one person said to me, he couldn’t understand what the other 6% were thinking about,” says McKenzie.
“It sends a message that farmers are not happy with all of the adverse effects like trees and methane mitigation
that is a direct result of the Paris Agreement.”
McKenzie wasn’t giving much away about their ‘Quit Paris’ campaign, saying that “we’ll see what happens leading up to the general elections.”
The ACT Party is calling for changes to the Paris Agreement. This puts ACT on the middle ground, with the National Party, Beef + Lamb NZ, DairyNZ and Federated Farmers ruling out leaving Paris. NZ First is yet to announce its position on the Paris Agreement. NZ signed the accord in 2016 and it sets Nationally Determined Contributions (NDCs) for reducing greenhouse gas emissions.
The survey also found that 87% of farmers believe their businesses will be negatively or very negatively impacted over the next decade if current climate policy settings
persist and 80% believe agriculture is carrying an unfair share of emissions reduction.
On whether NZ should continue commitment to net zero emissions by 2050, 95% of respondents said no. Only 3% said yes while 2% were unsure.
66% of respondents favour investing in practical environmental work, while only 2% support investment in methane reduction technologies and 79% said reducing methane from livestock was “not at all important,” while 71% stated they would not adopt methane mitigation measures, even if tools or technologies were readily available.
Helen Mandeno, Methane Science Accord, says the survey shows that farmers are calling for a shift from ideology-driven targets towards grounded, practical environmental action that aligns with
LOCAL COUNCILS ON NOTICE
THE GOVERNMENT has issued a stern warning to regional councils and unitary authorities to toe the line in respect upcoming changes to Resource Management Act (RMA).
In a letter to the chairs and chief executives of local authorities, RMA Reform Minister Chris Bishop, Agriculture Minister Todd McClay and Environment Minister Penny Simmonds say they are concerned at some of the reports they are hearing about what councils are still doing in respect of resource consents.
They say the message they are getting is that many resource consent processes
are still unduly complex, characterised by excessive information requests and conditions that impose unnecessary cost and administrative burden on applicants.
They say this shouldn’t be happening because the Government has many times outlined its intentions to replace the RMA and create a simplified system and this should be considered now.
In the letter, they say that there is a clear expectation of local authorities who oversee the use of land, water, and discharges to seek opportunities to streamline consenting processes and reduce onerous requirements wherever possible.
rural values and realities.
“This survey shows farmers understand that poverty is the only way to comply with the Paris Agreement and
that methane mitigation technology only gets in the way of using our land to efficiently turn water, air, and sunshine into protein.
Glenview Romneys
Bred for high performance and ‘cast iron’ constitution
GROWTH RATE & SURVIVAL
Over the last 20 years ewes (including 2ths) have scanned between 185% and 210% despite droughts.
Over the same period weaning weights (adj. 100 days) have exceeded 36kg from a lambing % consistently above 150%.
• All sheep DNA and SIL recorded.
• Ram hoggets have been eye muscle scanned since 1996. IMF scanned since 2023.
• Ewe hoggets have been mated (to Romney sires) for over 20 years.
• Breeding programme puts an emphasis on worm resilience - lambs drenched only once prior to autumn. FE tolerance introduced more recently.
• Scored for dags and feet shape. Sires DNA rated for footrot and cold tolerance.
• We are ‘hands on’ breeders with a focus on detail and quality.
• We take an uncompromising approach - sheep must constantly measure up.
We deliberately challenge our Romneys by farming them on unfertilised native hill country in order to provide the maximum selection pressure and expose ‘soft’ sheep. We aim to breed superior Romneys that produce the most from the
Groundswell is pressing on with its campaign to quit the Paris climate change deal.
New welfare rules for pig farming
PIG FARMERS are cautiously welcoming new animal welfare standards announced by the Government last week.
They say while the new standards – which follow five years of consultation with the indus-
try and public – bring clarity, they also present major practical challenges and significant costs.
NZPork chief executive Brent Kleiss says the Government’s proposals substantially increase the requirements on farmers to meet animal welfare standards, while also ensuring the New Zea-
land pork sector remains viable.
“Farmers have faced five years of uncertainty waiting for a decision on pig welfare standards,” he told Rural News.
“These proposals bring clarity, but also major practical challenges and significant costs. The 10-year transition period
provides farmers with time to adapt, but it will still require considerable investment and change.”
The Government’s proposed reforms include reductions in the use of farrowing crates and mating stalls, alongside increased space allowances for pigs.
Currently sows can
be confined in farrowing crates for a maximum of seven days before farrowing and up to four weeks post-farrowing. The proposed regulation allows confinement of sows for a maximum of three days pre-farrowing, and four days post-farrowing.
Minimum spacing requirements for grower pigs will increase by 13.3%.
requirements without disrupting domestic pork supply or putting undue pressure on pig farmers.”
Hoggard says the decision follows five years of consultation with industry, key stakeholders, veterinarians and the public.
“We’ve listened to and considered a broad range of perspectives. I’d like to thank all those that have provided their perspectives and expert advice to ensure our approach is scientifically robust and economically viable.
Associate Minister of Agriculture (Animal Welfare) Andrew Hoggard believes the proposed new requirements will be amongst the highest in the world and demonstrate the importance New Zealanders place on animal welfare.
“Because these are substantial changes, the Government will give farmers sufficient time to prepare for them, with the requirements coming into effect on 19 December 2035.
“This approach provides the sector with a realistic timeframe to make changes to their practices and farms adapting to the new
“The proposed amended regulations aim to ensure New Zealand retains its reputation for high animal welfare outcomes, while making sure we keep a viable pig farming industry in New Zealand, and Kiwis have access to locally grown pork.
“We’ve worked hard to minimise the costs for farmers. Nevertheless, many of these changes will require significant financial investment, infrastructure modification, and changes to practices on farm.”
CERTAINTY FOR FARMERS
NZPORK CHIEF executive Brent Kleiss says it recognises the Government has had a difficult job balancing science, practicalities and costs.
“While we welcome much of the framework, we need to see the full code before farmers can start making changes on farm.
“It has been five long years of limbo and uncertainty, and over that time, it’s likely we have lost farmers from the industry who couldn’t wait any longer. We’re pleased the Bill takes steps to put an end to this.”
Kleiss says maintaining a viable domestic pork sector in New Zealand is critical.
“Our farmers are committed to raising healthy animals and providing Kiwi families with an affordable, highquality protein. New Zealand must ensure a level playing field against the flood of imported pork, much of which is produced using practices that are already illegal here.”
He says while the Bill provides some certainty for farmers, it is not the final step.
“We are still awaiting the full code of welfare for pigs, which will allow farmers to properly assess the scale of changes in their entirety. In the meantime, we will continue to work constructively with Government and officials on the detail of the proposals to achieve the best outcomes for both pigs and farmers.”
Pig farmers have 10 years to prepare for the new animal welfare standards.
Record final milk price for Miraka suppliers
FARMERS SUPPLYING milk to Taupo-based processor Miraka are getting a 2024-25 season base milk price of $10.16/kgMS.
The plant’s new owner Open Country Dairy says a final ‘wash-up’ payment for the last season of 41c/ kgMS will be paid to Miraka suppliers this month. On top of the base milk price, Open Country says it will also pay an average of $0.17/kgMS Te Ara Miraka payments under a farming excellence programme implemented by the previous Māori owners.
Miraka’s base milk price for last season – a record – matches that paid by Fonterra and listed processor Synlait. Fonterra also announced a fullyear dividend of 57c/share.
In a surprise move, Open Country, the country’s second largest milk processor, bought Miraka last month.
Media reports suggested Miraka was in financial strife and heading for potential liquidation when Open Country stepped in.
Open Country chief executive Mark de Lautour says it’s been a great start to the season across the Waikato and Central North Island regions.
De Lautour says it is fantastic to see plenty of milk flowing into the Miraka plant at the Mokai site.
“We’ve already taken the opportunity to work with Central Transport Limited to optimise milk deliveries across the tanker fleet.”
In a message to Miraka suppliers, he acknowledged the recent change in ownership of Miraka.
“I trust this has not caused you undue concern and that you feel confident about the future with your milk processor.
“As you are now aware, it has been a difficult and turbulent period for Miraka. However, following our
investment and support for the recent advance payment, we are pleased to confirm the final base milk price for the 2024/25 season is $10.16/kgMS.”
De Lautour says they are planning a supplier meeting with Miraka suppliers this month to provide an update on markets and share more about what Open Country Dairy is working on across its sites nationwide.
“As we start to properly understand
the challenges faced by Miraka, we are formulating options to ensure the Mokai site thrives into the future.”
Announcing the sale last month, Miraka chair Bruce Scott said there is a lot for Miraka to be proud of over the past 15 years, having grown to become New Zealand’s second largest Māoriowned exporter.
“However, there are significant challenges that come with being
a stand-alone regional processor operating in a global market.
“Under Open Country Dairy’s ownership, our Miraka whānau will be part of a strong NZ-owned network serving the global dairy market.
“Miraka will continue to [use] its current name and brand in the market, and will work closely with our suppliers, kaimahi, customers, key stakeholders and local community to ensure a smooth transition and longterm benefits for our community.”
Open Country now operates five sites across the country and will add a sixth one once the Mataura Valley Milk sale is finalised. The company paid $125m to a2 Milk Company and its Chinese joint venture partner for the Mataura Valley plant.
Founded in 2010, Miraka became operational with its first batch of milk powder exports in August 2011 and has grown its production to around 300 million litres of milk per year.
Open Country Dairy chief executive Mark de Lautour.
Non-tariff barriers cut into
PETER BURKE
peterb@ruralnews.co.nz
WOULDN’T IT be great if the meat industry could get its hands on the $1.5 billion dollars it’s missing out on because of non-tariff trade barriers (NTBs)?
The chair of the Meat Industry Association (MIA), Nathan Guy, says that is how much these are costing the sector annually. But he adds that he is not delusional and doesn’t expect the $1.5 billion to suddenly appear in meat processing companies’ bank accounts.
To put this figure in perspective, New Zealand is currently trying to get 194 NTBs removed, and these are costing us somewhere in the order of $10 billion a year.
NTBs are defined as any obstacle to international trade that is not an import or export duty and may take the form of import quotas, subsidies, customs delays, technical barriers, or other systems preventing or impeding trade. Local red tape is another way of describing these, which are generally ‘technical’ in nature can also be applied even if two countries have an existing free trade agreement.
Recently Beef+Lamb NZ and MIA released a report on all the tariffs the sector is facing
including the NTBs.
Currently, the sector pays about $600 million in ordinary tariffs, and it should be noted that this figure includes the cost of the new 15% tariffs put on NZ meat exports by the Trump administration.
The report says that despite a strong network of FTAs, the impact of NTBs is significant and it singles out those that focus on behind the farm-gate production.
It says many of these are overly prescriptive, administratively complicated, and often don’t meet the World Trade Organisations (WTO) principle of proportionality. The
report states that as an export-driven industry, it’s essential for NZ to have a robust, multilateral rules-based system and that this is not an option.
The 43-page report notes that NTBs vary from market to market, which requires companies to be vigilant in understanding and meeting specific requirements. It notes the example that while innovative technologies can improve productivity without compromising hygiene practices, it often takes time for international standards to be updated to recognise these. It also singles out several
others including inconsistent halal and technical requirements, burdensome and unnecessary certification and inefficient import checks.
Besides the NTBs imposed by governments, the report states that NTBs can come from
MARKET ACCESS
THE ISSUE of tariffs and trade barriers affects the entire primary sector to varying degrees. Besides NTBs there are things known as nontariff measures (NTMs) which have particular impacts on the horticulture sector in the areas of sanitary and phytosanitary. They also affect that sector in such ways as processing delays, import quotas and import licensing arrangements.
These also apply to the meat industry, with the reporting noting that while some NTMs are legitimate and science based, others
private companies and non-governmental organisations which may be importing NZ meat. While it says some of the standards are
are convoluted, arbitrary and not science based.
Recently Guy Roper, the chair of Dairy Companies Association of NZ (DCANZ), which represents dairy processing companies, spoke about the importance of having good access to overseas markets and says it’s a key priority for his organisation.
He says they are also looking hard at non-tariff trade barriers (NTBs) because they may dilute the value of an original FTA by instituting ‘technical’ local laws that may
voluntary, the reality is that noncompliance may mean exclusion from that market.
In essence, NTBs are a big concern for NZ
make it difficult for exporters. He says a recent example of this was Canada, which failed to honour legitimate access by our dairy companies gained through the CPTTP to its market. Only after losing several legal battles did Canada finally relent.
“We need to keep a close watch on these and really understand how many and what NTBs exist in their various forms. So far, we have identified 35 of these and are actively working hard with MFAT to bring these to an end,” he says.
The meat industry is missing out on $1.5 billion because of nontariff trade barriers.
Meat Industry Association chair Nathan Guy.
meat sector profits
US TARIFF WAR
AN INSIGHTFUL perspective on the trade issues comes from Sir Lockwood Smith – former Agriculture and Trade Minister, Speaker of the House of Representatives and NZ High Commissioner to the UK, and still working in the world trade space.
He says that present Trade Minister Todd McClay and Foreign Minister Winston Peters are handling the situation with the US in a reasonably sensible way.
He says it’s not an easy issue to deal with and certainly not in NZ’s interests, especially when we are facing a 15% tariff while Australia has got away with a 10% arrangement.
Smith says NZ and other countries are right to be aggrieved by the Trump administration’s actions of imposing blanket tariffs as a means of dealing with an imbalance of trade with other countries. But he says it’s important to look at the reasons for this action.
“What appears to have angered Trump and his team so much are what’s called anti-competitive market distortions,” he told Rural News.
“This is about a government providing financial support and incentives or subsidies to its manufacturers or farmers, which enables them to produce goods cheaply, and giving their exporters what is seen as an unfair competitive advantage. China has been a major player in this regard,” he says
Smith says research has shown that such actions behind the border can have up to three times greater negative impact on economic wellbeing and wealth creation than tariffs themselves. He says the crazy thing about some of these behind the border market distortions are that they can damage the economies of both parties.
He says there is now an attempt to persuade the USA to focus more on dealing with the distortions that have damaged US interests over the years rather than just using blanket tariffs.
“Whether that initiative will be successful, who knows,” he says.
Smith says MFAT is spot on by having a significant focus on NTBs and he wonders whether NZ should work closely with the USA to deal with these anti-competitive market distortions as means of returning to a more rulesbased trade regime.
Finally, he points out that since the Uruguay trade round in the mid 1990s, trade liberalisation has not been as great as it could have, and he puts this down to the NTBs.
Recently Beef+Lamb NZ and MIA released a report on all the tariffs the sector is facing including the NTBs.
and MFAT and MPI have special dedicated teams working on reducing the number of these insidious barriers to trade.
Guy admits some of the NTBs are extremely difficult and says the immediate focus is on what he describes as the “low hanging fruit”.
“But we are now seeing a rise in protectionism which started when covid broke
out and is continuing,” he says.
On the positive side, he notes the impacts of the FTAs with the EU, the UK and the Gulf states which will continue to deliver positive outcomes for the red meat sector. But
there is a final warning in this report where it states that if NZ were to withdraw from the Paris agreement, the preferential access gained by these FTAs could be put at risk.
DCANZ chair Guy Roper.
Methane milestone on the agenda at global congress
FARMING LEADER and former MP Owen Jennings will represent New Zealand at the II Congreso Mundial de Ganadería Sostenible (II World Congress on Sustainable Livestock) in Spain next month.
“Much of the science relating to ruminant methane emissions is plain wrong.”
The Congress will bring together farmers, scientists, policymakers, and industry leaders from across the globe to discuss how livestock farming can balance profitability with environmental stewardship and community well-being.
While the programme will feature world-renowned scientists such as Dr.
Will Happer (Princeton University) and Dr. Frank Mitloehner (University of California, Davis), Jennings’ contribution is distinctive. He will present a farmer’s perspective as a former farmer and founding member of the Methane Science Accord.
“International forums often lean heavily on theory and technical science,” says Jennings.
“Much of the science relating to ruminant methane emissions is plain wrong. I will be pointing to IPCC claims that have been found to be outdated and erroneous. Curtailing methane is distracting, expensive and unnecessary. Farmers need to be central in shaping sustainable livestock policies.”
Methane Science Accord chair, Global Farmer Roundtable representative and North Otago farmer Jane Smith says that Jennings’ perspective is expected to resonate
strongly.
“As farmers, we know naturally pasture-raised, free-range protein production is our strength. However, our sector is pushing for a costly matrix of chemical feed additives, boluses, and methane vaccines that risk both our naturally pasture-raised
status and animal welfare codes – all in the name of preventing warming from methane that not even remotely possible to quantify.
“Expensive, intensive farming is not our competitive advantage.
“We will be seeking a global alliance of livestock producers to amend the Paris Accord much further than the inadequate Article 2.1.b by pushing for the removal of all biogenic methane reduction targets. This may well include rice growers in the future, which would be a powerful mandate indeed”.
Smith and Jennings say they would be delighted if the coalition Government, Meat Industry Association, Beef + Lamb NZ, DairyNZ and Federated Farmers join them in this campaign, but will continue to forge on with or without their support, as time is of the essence.
“We won’t be delayed by outcries
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of this affecting our trade. It is time to move on. Global food security, robust science and the protection of our naturally-raised protein systems outplay this, especially if we push for a global alliance.
“Livestock producers around the world need a much bolder position than going cap-in-hand asking for a split-gas approach. Food-producing stable biogenic methane emissions need to be acquitted or natural pasture-raised farming will be a thing of the past”.
This Congress comes at a pivotal time, with debate intensifying both within New Zealand and worldwide about the diminutive role methane plays in climate change. Another significant event will be when Happer tours New Zealand in early December. The II World Congress on Sustainable Livestock take place in Extremadura, Spain, from 12–15 November 2025.
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Owen Jennings
Rural health training hubs to help retain workforce
LEO ARGENT
AS THE first of a new series of interprofessional rural training hubs opened in South Taranaki late September, Rural Health Network has celebrated the move as a “key pathway to encourage the growth and retention of health professionals in rural areas”.
Rural Health Network CEO Dr Grant Davidson said the launch, announced by Minister for Rural Health Matt Doocey and Minister for Rural Communities Mark Patterson, was the culmination of many people’s hard work.
“It is pleasing to see this Government further backing the health of rural communities by establishing these networks of learning.
“Having Health NZ funding a programme lead to drive the networking and providing pastoral support to the diverse student cohort
is vital. International and New Zealand research shows that if you train rural people in rural settings, they are six times more likely to return to work in those rural areas.”
The first hub in South Taranaki will build on and involve students in existing programmes such as the fifth-year medical students from the University of Auckland’s year-long Rural Medical Immersion Programme, nursing trainees from the Western Institute of Technology at Taranaki, along with midwifery, allied health and other health trainees that can study remotely.
Initially, four hubs will be set up, one in each Health NZ region (Northern, Midland, Central and South Island) and each with a dedicated programme lead working alongside local partners to provide a supportive learning environment.
Doocey said that the South Taranaki hub will be designed with input from
the local community involving the rural hospital in Hāwera, general practices, iwi providers, and other private primary care providers in the region.
“It will help coordinate placements, training pathways and pastoral support,
making it easier for doctors, nurses, midwives, and allied health staff to live, work, and train here, ultimately delivering more care closer to home.
“These hubs aim to attract and retain our frontline workforce in rural areas by creating stronger links between local services, universities, and training providers. To bring healthcare closer to home, we need to bring education closer to home.
“I’m looking forward to meeting with people in Hāwera and hearing firsthand about their experiences with healthcare in their community. It’s important we understand both the challenges and the opportunities so we can work together to improve access and outcomes in the rural setting.”
Davidson added that the successful growth of this and other Rural Training Hubs will be Tertiary Education Organisations adapting their training programmes to be delivered remotely using tele-learning, reinforced by
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on-job training in real rural workplaces supervised by experienced rural health workers.
“This is a mind-shift for many institutes running legacy classroombased training programmes, but the future is to provide cost-effective, family-supported learning for rural students who should not be required to leave home for extended periods to gain their qualifications.
“Furthermore, experienced rural health professionals will be involved in training the next generation and be encouraged to stay working in their rural jobs because of the impact this work will have.
“We are keen to support the hubs, trainees, and health workers providing the training. Structured correctly, this could see a vital pipeline of rural health workers to oversee the health of rural communities into the future.”
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Rural Health Network
CEO Dr Grant Davidson.
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EDITORIAL
A new era for two co-ops
FARMER SHAREHOLDERS of two of New Zealand’s largest co-operatives have an important decision to make this month and what they decide could change the landscape of the dairy and meat sectors in New Zealand.
For Fonterra farmers, the equation is simple – vote yes to divest the co-op’s consumer and related businesses and get a capital return of $2/share – a whopping $3.2 billion.
The vote, to take place at an online special general meeting on October 20, needs 50.1% support to pass. By all accounts, a yes vote is a shoe-in.
However, for meat co-op Alliance things are not as straightforward.
A $250m investment by Irish company Dawn Meats requires 75% support from voting farmer shareholders. With an alternative proposal doing the rounds, where shareholders will be asked to inject capital into the ailing meat processor to maintain its co-op status, a 75% yes vote for the Dawn Meats proposal could be too big a hill to climb.
Alliance bosses are delivering a stark warning to shareholders in meetings: vote yes to the Dawn Meats proposal or the company risks insolvency due to its level of debt.
They have also tabled before shareholders an independent advisory report by Northington Partners that assessed the midpoint of Dawn Meats’ investment at $1.18/ share – a 93% uplift on the midpoint share value for current Alliance versus Alliance post-investment.
Alliance must pay off a $188 million debt to its bankers by mid-December, a deadline that has already been extended from the end of September.
A no vote at the October 20th special general meeting would send management back to the banks to negotiate a new deal.
However, if the banks don’t agree, Alliance won’t have any working capital facilities next year. That could even signal the beginning of the end for a proud farmer-owned co-operative formed in 1980. Let’s hope it doesn’t come to that.
Over the next few weeks, shareholders of both co-ops – Fonterra and Alliance – will be thinking long and hard before casting their votes.
Whatever they decide will herald a new era for their respective co-operatives.
RURALNEWS
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IS THE ECan regional council run by earnest, handwringing Greta Thunberg wannabees these days? This old mutt doesn’t know how else to explain the juvenile declaration by ECan of a “nitrate emergency” – a political stunt rightly decried by Federated Farmers and others. The pointless, virtue-signaling ‘declaration’ reminds the Hound of the now defunct group of equally earnest teenage ‘eco-worriers’ School Strike 4 Climate that declared daily climate emergencies for a few months before declaring itself ‘racist’ and promptly cancelling itself! ECan councilors are unlikely to have the same good grace and will keep their snouts firmly in the trough. So good on Central Plains Water Limited for taking out a full-page ad in The Press to correct the record and outline the massive economic contribution water schemes make to the economy.
ECan circus
THE HOUND wonders, is there some variety of idiot juice in the water in Canterbury? It seems so. Proof is the bizarre declaration by ECan that there is a “nitrate emergency” in the region. So why haven’t the police, the health department, the army and even experts from the White House been called to deal with it? Because no one, not even the latter, could believe such a ridiculous claim. This half-baked attack on the dairy industry is pure scaremongering and a good reason why the Government should think seriously about abolishing regional councils. If councils waste time and money financing an electoral stunt, do they have the right to collect money from ratepayers? No, they should go. And per the prophetic words of Gilbert and Sullivan, ‘they never will be missed’.
EDITOR-AT-LARGE: Peter Burke ...........................Ph 021 224 2184 peterb@ruralnews.co.nz
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Deadwood
A MATE of yours truly recently met someone at a BBQ who works at a big consulting firm who spent a good 20 minutes trying to explain his role at the firm. Not because it was complex, but because he was trying to convince himself it existed. “I facilitate stakeholder alignment across cross-functional workstreams,” he said. Then laughed, because even he didn’t know what that meant. He’s not alone. As broke as NZ now is, corporates and government departments are still overrun with such people. They attend meetings about meetings. They create PowerPoints that no one reads, which get shared in emails no one opens, which generate tasks that don’t need doing. The pandemic lockdowns pulled back the curtain, just for a moment. Some people’s entire roles evaporated when they couldn’t physically attend meetings.
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Quid prod quo?
AGEING LEFTY Chris Trotter reckons that the decision to delay recognition of Palestinian statehood is more than just a fit of pique by Foreign Minister Winston Peters. The Washington faction within the Ministry of Foreign Affairs and Trade has maintained its strength for more than 40 years, he argues. Its argument has always been that “when push comes to shove there are only the Americans”. In the eyes of this faction, the trick is to keep NZ in the front row of whatever game Washington is playing. Peters may have learned to play the Washington faction’s game better than most foreign ministers, but he didn’t invent it. In the wake of the Palestine decision, Trotter says it is likely that Peters will push for a gesture of appreciation from the US – “the lowering of that 15% tariff on exports to the original 10 %, perhaps?”
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bank’s heard we’re expecting a big payout and is looking forward to us popping in.”
The good old days of ‘handshake deals’
CATCHY PHRASES or statements often have a way of sticking with you. Here’s one I heard many years back: “Change is the only constant in life.”
While some people genuinely seem to enjoy change, I know others that are rather vocal in expressing their disdain at the very mention of the word! But change is inevitable. Like it or not, our bodies will change, just for starters. You just don’t notice it as quickly in your more youthful years.
Earlier generations lived through change that moved at a snail’s pace, compared to what we live with today. Yep, like it or
not, our world has hugely changed and continues to.
I acknowledge some of it is good and beneficial, but there’s plenty that’s not.
In the rural community I was raised in, we never locked our vehicles, or our house.
Our fuel was not kept under lock and key.
I don’t recommend you do that today in our “changed-for-thebetter” world! I have no memories of any of our neighbours being burgled, or ever having stuff stolen from them. So… where are you at with this stuff today that gets called ‘progress’? Progress? Yeah, right!
With my Dad, as with previous generations, business was often settled with a handshake. It meant much more back then than signatures and ‘contracts’ seem to mean today.
I was told a story very recently, which
really impressed me. I like to be as accurate as possible with stories from yesteryear, so I followed it up and spoke with one of the people involved. A property purchase was finalised and then settled with a handshake. The seller was an elderly lady; she was a genuine ‘Old Timer’ he told me.
Two or three days later, someone came to her and offered her more money for her property than the handshake deal agreed on. But she was very adamant, it was already sold. She knew what a handshake meant, he said. That old-school honour, respect and trust, sealed with a handshake,
stood the test.
I like that, it’s my kind of story. And it’s a story that needs to be retold.
We have great Aussie friends, mates they call us, who we have known for decades. They lived in the Northern Territory for many years. They were actually living up in Darwin when Cyclone Tracy wrecked the place, Christmas Eve of ’74.
They knew a wealthy ‘cattle baron’ from a huge cattle station up there. They told us he did all his business with a handshake. Yep, multi-millions of dollars went through those handshakes. And no bigbucks lawyers were ever
needed in an attempt to unravel the ‘contracts’.
So for sure many changes have been good and beneficial. There have been advances and breakthroughs, and no doubt there will continue to be. Our farming sector is truly a world leader now in many such areas and should be supported in that.
But as I have illustrated above, we have also lost our way somewhat when it comes to our principles and values. As a culture, the number of people we can truly trust now has shrunk considerably over just a few decades. Sadly, that’s the truth!
And survey after survey consistently show our politicians to be among the least trusted in our nation. Think about that for a moment.
Any people who allow the least trusted among them to write the rules around free speech, and then police them, then indeed, dumb and silent as sheep to the slaughter, they will be led. And yes, the One I trust the most has never let me down! Keep well and God bless.
To contact Colin: farmerschaplain@ ruralnews.co.nz
@rural_news
FARMER’S CHAPLAIN Colin Miller
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Putting Maori ‘lost land’ back into production
PETER BURKE
peterb@ruralnews.co.nz
OPPORTUNITIES
FOR Māori are there for the taking if they scale up their operations and work more closely together.
This is the message from Dr Charlotte Severne, the Māori Trustee and chief executive of Te Tumu Paeroa which acts as trustee to administer Māori freehold land and other assets on behalf of the beneficial owners.
Severne says Māori need to realise the benefits that await them if they change.
A report by the Ministry for Primary Industries (MPI) earlier this year stated that Māori own at least 2.4 million hectares of land or about 10% of NZ total land area. While the Māori agri-economy is growing rapidly and is already a significant economic powerhouse for the NZ economy, there is still untapped potential.
MPI points out that
236,000ha of Māori land are classed as vacant but says, given the right conditions, this land has the potential to be brought into production. It noted that an extra $4 billion in agricultural production could be generated and nearly 10,000 more jobs created by utilising the vacant land and improving productivity on existing land.
But Severne says solutions already exist to bring the so called ‘lost land’ into production.
“There are provisions under the Te Ture Whenua Māori Act to do this. But Māori need to work together for that to occur. We tend to work in isolation and while we have the odd partner here and there, you get a situation where there is separate governance and management structure. These can suck up all the potential returns to the many owners,” she says.
Severne says multiple ownership of land is not an impediment for different trusts and entities to work
collaboratively and says there are many examples of this already. She says it’s possible to transact business under almost any structure that sits under Te Ture Whenua Māori.
She says the problem is people personalities and lack of leadership.
“Leadership it isn’t about being friends, it’s about leading out. If we keep isolating ourselves from scale, we are just going to be a few average sheep and dairy farms and an orchard here and there,” she says.
Severne says Māori have also got to get young people involved in their businesses at a much earlier stage. She says they are chomping at the bit to get involved and should be allowed to do this. She says at the same time, Māori need be more ‘out there’ and celebrate and talk more about their successes in the agri sector.
Next year, Māori horticulture will be in the spotlight with the prestigious Ahuwhenua Trophy.
Severne says her people are already heavily involved and expanding their operations in this in this sector. It’s estimated that Māori entities produce 10% of all kiwifruit exported and Severne says they are also big in apples and other crops.
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WOOLS OF NZ INKS CHINA DEAL
WOOLS OF New Zealand has signed a partnership agreement with a leading Chinese manufacturer as the company looks to further grow demand in China and globally.
Wools of New Zealand chief executive John McWhirter said the signing ceremony with Anmao, along with renewed ties with two other companies (Saibosi and Yangxin Ruixin), prior to the 36th Nanjing Wool Market conference, was an important opportunity to strengthen customer relationships and promote the New Zealand brand.
“China is a very important trading partner and already purchases 40 to 50% of New Zealand strong wool, used to manufacture carpets, rugs, bedding and many other products sold in China and internationally.
“Chinese manufacturers want to ensure they have a reliable source
of high quality raw natural supply, and our customers want to work in partnership with a company that is owned by New Zealand sheep farmers.
“Through partnership with Chinese manufacturers who supply some of the big retail brands in the US and Europe, we can access the rest of the world and promote the New Zealand wool brand.”
The conference on Thursday 18 September was attended by NZ Consul-General to Shanghai, Ardi Barnard, NZTE regional director Chris Metcalfe, Consul Timothy Vaughan-Sanders, Chad Tustin, the Ministry for Primary Industries’ (MPI) Interim Deputy Director General, China, and Mike Stephens, MPI Special Advisory Industry Growth.
Minister for Rural Communities and Associate Minister of Agriculture Mark Patterson also met with representatives from Saibosi, Yangxin Ruixin and Anmao to go through a display of their products.
Meanwhile, Wools of New Zealand was represented by the head of the China market Gloria Qi and national wool sales manager Mark Greenlaw.
John McWhirter says with 1.4 billion people and steadily rising incomes, there are significant opportunities in the Chinese market to grow sales of New Zealand wool products, with Wools NZ currently working with manufacturers to expand demand for wool rugs.
“New Zealand strong wool is highly regarded because it is whiter and brighter, of consistent high quality and has a finer micron than wools from other countries, providing more scope for use of colour and a luxurious, comfortable feel for flooring.
“They [rugs] are going into homes that have not traditionally had the product, connecting the natural wool product back to the New Zealand story and back to the farm. That is increasing demand.”
LEO ARGENT
Dr Charlotte Severne.
More NZ funding for ‘holy grail’ methane vaccine
A US-BASED company developing a vaccine to reduce methane emissions in cattle has received another capital injection from New Zealand’s agriculture sector.
ArkeaBio is considered one of the leaders in the global race to develop a methane vaccine for livestock and it’s offering could benefit New Zealand’s pasture-based farmers.
AgriZeroNZ, a joint venture between the NZ government and agribusinesses, has followed up its initial investment of $10 million last year with a $6m injection last month.
AgriZeroNZ chief executive Wayne McNee says its follow-on investment recognises ArkeaBio’s progress and the
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immense potential.
“A vaccine has the potential to reduce agricultural emissions at scale by providing a low cost, high-impact solution for a range of farming systems,” says McNee.
“As an export-reliant country, New Zealand farms need to stay ahead of the curve and step up to the challenge of meeting the global demand for
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climate action.
“We’re pleased to continue backing ArkeaBio as part of our efforts to provide Kiwi farmers with a toolkit of options to reduce emissions and retain access to highvalue markets.”
Since AgriZeroNZ’s initial in 2024, ArkeaBio has made significant sci-
entific progress, says McNee.
The company has been working with researchers at Texas A&M University, with trials showing ArkeaBio’s vaccine successfully reduces methane emissions from cattle. The vaccine works by stimulating a cow’s immune system to produce natural antibodies that neutralise methaneproducing microbes in the rumen (a part of the stomach).
Newly appointed chief executive Frank Wooten says the team has advanced to a second-generation vaccine formulation, focusing on increasing commercial viability and animal productivity.
“With our vaccine
advancing toward realworld deployment, we’re focused on delivering measurable emissions reductions, as well as tangible value to farmers and producers worldwide.”
Wooten says the company is aiming to produce a vaccine that’s effective for 6 months or more and is on track to achieve its target methane reduction of 20%.
He says the new funding from AgriZeroNZ will allow ArkeaBio to continue refining its vaccine and carry out further animal trials, including its first in New Zealand.
“We’re prioritising making our vaccine available to New Zealand farmers and are hoping to launch the first product in 2028,” he says.
During visits to New Zealand, ArkeaBio has met with ministers and a range of AgriZeroNZ’s investors, including the Ministry for Primary Industries, to discuss its path to market.
“New Zealand’s special combination of public-private collaboration, and track record of agricultural innovation make it an ideal place for us to launch,” says Wooten.
“Trialling our vaccine in New Zealand is an exciting next step to prove its effectiveness and safety in the pastoral farming conditions. We’re excited to have AgriZeroNZ’s support to bring this solution to farmers.”
KIWIFRUIT STAR SHINES AGAIN
peterb@ruralnews.co.nz
IT’S BEEN a fantastic season so far.
That’s the message from Colin Bond, chief executive of New Zealand Kiwifruit Growers Inc (NZKGI) – the organisation that represents the nation’s kiwifruit growers.
He says all the Red kiwifruit has been sold into the market and most of the Gold and Green has been shipped. Bond says the feedback from the market has been extremely positive around fruit quality this year and they are very excited about
what the rest of the season holds.
He says it will be close to record payouts for some of the smaller kiwifruit product groups such as organic and still very strong for Sun Gold, although not quite a record, and returns for green growers will be better after a few difficult years
“However, there are certainly headwinds,” he told Rural News
“In China for example we are seeing a slight drop in consumer confidence and similarly in Japan. But a big positive is the fact that kiwifruit has a diversified market portfolio and an example of this is that Europe is going extremely
well,” he says.
Bond says on balance the sector looks to a strong season, notwithstanding the few headwinds. He says there is no such thing as perfect season but all the messages they are hearing out of Zespri are positive.
He says this is the time of the year when kiwifruit orchardists start thinking about late frosts and setting themselves up for a good 2026 crop.
Bond says winter pruning has now been done for most of crops and Red growers will be thinking about bud break.
PETER BURKE
Wayne McNee, AgriZeroNZ chief executive.
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Energy crisis puts heat on tomato growers
producer, they have to pay ETS costs associated with the energy they use.
TOMATO GROWERS are facing a challenge like never before over the rising cost of energy and the uncertainty of supply.
Tomato growers rely on various forms of power to heat their glasshouses and Dr Barry O’Neil, the chair of Tomatoes NZ which represents growers, says energy costs make up a third of their total cost of production. He says as well as paying for the actual power, being a
“We’ve been on a journey to decarbonise out of coal and moves to renewables, but it takes time and capital and it’s very difficult for some of our growers to pivot into renewables,” O’Neil told Hort News.
“We have got the immediate urgency of the gas prices as a result of the gas fields starting to fail, so gas prices with some growers may have a contract of say $10 per gigajoule, but this would
be going to $30 dollars a gigajoule – three times increase in gas prices,”
he says.
Changing to different energy sources requires
a change in boiler type, says O’Neil. He says the capital cost of doing this
HELP INDUSTRY DECARBONISE
BARRY O’NEIL says the energy crisis is a hugely challenging issue for tomato growers. Changing locations is challenging with a modern glasshouse costs $3 million a hectare.
He says should growers move to another region, they face labour challenges – especially in say the central North Island. He says the situation there is quite different to Pukekohe which is closer to a bigger city and has
large pool of labour.
“One of the biggest arguments with successive governments has been with the ETS charges we have to pay. In our view, the tax we pay should be recirculated back to the industry to assist us to decarbonise and move to more renewable forms of energy. This has been an ongoing conversation with the previous and this government,” he says.
O’Neil says some of the smaller
growers are currently using recycled oil, but others have stopped their heating or are heating less, which means they are producing less. This shortfall in production he says will see the price of tomatoes in winter increase.
Some of the larger growers are cutting back production while others are moving away from growing tomatoes and planting cucumbers which require less energy.
is out of the reach of many smaller growers. He says in terms of options, the industry is at a bit of a crossroads as to what the options are for the future.
“Geothermal is obviously an attractive heating option, but the cost of relocating from your current location to say the central plateau, and then to drill or access an existing geothermal bore requires a huge investment. You’d have to build new glasshouses in the process of any move as well. Then there is
While the price of electricity is high, there are other problems with this power source, according to O’Neil.
“Often the transmission power lines in some locations are simply not big enough to take the energy to heat large glasshouses,” he says.
The options with renewable energy such as biomass – mainly wood chips – is an option if it’s available and reasonably close to a glasshouse operation, in order
cost of getting product to market,” he says.
Given this uncertainty, there is the further risk to the industry and NZ consumers relying on imports of tomatoes from places such as Australia which don’t face the same energy challenges that NZ faces. For example, tomatoes are grown outdoors in places such as Queensland and of course the cost of production is lower. At present, tomato imports from Australia are suspended due to an outbreak of brown rugose fruit virus.
to be cost effective. As O’Neil points out, you don’t want to be trucking it hundreds of kilometres to your operation. Recently tomato growers met in Pukekohe to discuss the problems they are facing. O’Neil says the various energy suppliers made ‘pitches’ to the group but he says there is no immediate standout solution and he reiterates that the industry is at a challenging crossroads.
Peter Burke peterb@ruralnews.co.nz
Rising energy costs and limited gas supply are impacting tomato growers.
Citrus awards celebrate sweet success
OVER 140 growers, industry leaders and guests from across the country gathered in Gisborne last month to attend the inaugural Citrus New Zealand Awards dinner celebrating excellence in the sector.
James Torrie received the Emerging Leader Award for his leadership potential, initiative and fresh thinking, while 73 Citrus was honoured with the Innovation Award for their creative and forward-thinking approach to citrus production.
Phil Evans was acknowledged with the Excellence in Orchard Sustainability and Practice Award, while John MacPherson was celebrated for his decades of leadership and service, earning the Industry
Champion title and becoming only the fourth person to receive Life Membership.
Speaking to Hort News, 73 Citrus general manager James Crow said that the award for the company’s vitamin C fortified sparkling citrus drink range served to highlight how the event was putting a spotlight on exciting opportunities in the citrus industry.
“For many of us, we’re completely engrossed in our day-to-day business, keeping the lights on, supporting our communities, that we don’t have a lot of marketing budget. We don’t have a lot of time and maybe the skill to focus on getting our product out there further than word of mouth.
“Having this support from the awards allows us to do things like have
a press release sent out to media that we maybe wouldn’t be able to contact and make conversations about what’s going on in an industry like citrus… there’s innovation still in what you can grow on a tree. You can have fresh whole foods inside innovative products and still enjoy them.”
Citrus New Zealand
executive manager Jo Pentreath said that with an estimated 27,600 tonnes of citrus produced annually by over 300 growers, the board felt that it was important to recognise and celebrate the ‘dedication, skills and knowledge of our growers’, and the Awards provided the perfect way to acknowledge their contribution to the sector.
Guests included National MP Dana Kirkpatrick, Gisborne
Rehette Stoltz and Horticulture New Zealand
Chair Bernardine Guilleux who joined industry leaders and growers in congratulating the winners and celebrating the citrus sectors achievements.
The event followed a full-day orchard workshop on 2D trellising, spatial motion and spray optimisation, as
well as the organisation’s annual general meeting which confirmed the appointments of Hugh Ritchie as an independent chairperson and Murray Kendrew as a grower director.
Citrus New Zealand interim chair Tam Jex-Blake said the board appointments underscored the organisation’s
When black spot threatens...
commitment to strong governance and growerfocused leadership.
“The evening was also about recognising the people and businesses driving citrus forward. It was inspiring to see growers, industry partners and supporters come together in Gisborne to applaud the incredible achievements of our industry peers.”
Crow explained that in wider food and beverage award ceremonies, judging panels can have difficulty focusing amidst the broader range.
“Sometimes it’s a good idea, like they’ve done here, to zero in a little bit more on what’s happening within a corner of the industry, like horticulture or manufacturing.
Mayor
Leo Argent
Citrus NZ Industry Champion John MacPherson (centre) flanked by Tam Jex-Blake interim chair Citrus NZ and HortNZ chair Bernadine Guilleux.
River pours his heart and soul into amenity role
THE HEART wants what the heart wants –and River Foster knew that he wanted to be working outdoors, not in cardiology.
So, he gave up his intended career path to becoming a cardiac physiologist, diverting to become an amenity horticulture apprentice instead.
“This is where I belong in this part of my life,” the 28-year-old Cantabrian says. “I have a degree in Human Anatomy and Physiology. I worked at Ōtautahi Hospital as a phlebotomist and then a cardiac technician. They were looking to nurture me for the role of cardiac physiologist – but it just didn’t fulfil me.”
River’s parents, he said, were initially unsure
of his career change but now applaud the move as they can now see how happy he is.
“At high school, you’re guided towards a career because you are good at some subjects and hate others – but all you want to do is hang out with your mates,” he admits.
“My parents saw in me a book-smart kind of personality. And they said, ‘Let’s make him shoot for the stars, let’s encourage him to study to perhaps be a doctor one day’.
“After my first year when I didn’t get into medicine, I wanted to change, to do an outdoor pursuit but I was convinced to continue. It was a big move for me to realise that all this time and money that I’d spent
studying health sciences was not actually where I where my future lies.”
River went traveling for a much-needed study break – including a stint chalet hosting in the French Alps, as it would allow him to indulge in his passion of skiing and snowboarding. The trip was extended due to covid, and when he came home 18 months later, River was looking for roles that would allow him to continue to be outdoors.
A taster of various Primary ITO apprenticeships including a six-week placement at the Botanic Gardens in Christchurch, piqued his interest. He moved to Pōneke Wellington and took on an apprenticeship at Wellington City
Council. It was expected to be three years, but this high-achieving student finished it in two.
“Then I was looking for something to do. I really like just switching things up, and saw the Young Amenity Horticulturist comp come up,” River explains. “I wanted to use the competition as an excuse to improve myself professionally, but perhaps personally as well.”
He won the Young Amenity Horticulturist of the Year and will now compete in the prestigious Young Horticulturist of the Year, a competition involving six horticultural sectors, in Auckland next month.
He hopes all those years perfecting studying
POPEYE’S DIET CATCHING ON
Peter Burke peterb@ruralnews.co.nz
SPINACH IS NZ’s favorite leafy green, according to the Department of Statistics.
It says Kiwis are munching their way through hundreds of thousands of bags every week. Spinach sales now represent a third of the total leafy green market.
Spinach growers, LeaderBrand, says it is not surprised as spinach sales have grown nearly 8% in the last year, the equivalent of almost
700,000 bags.
It says Kiwis are looking for healthy alternatives they can easily incorporate into their busy schedules and spinach hits the mark. It says spinach is a soft and delicate leaf and one of the easiest leafy greens you can add to every meal throughout the day.
Kylie Faulkner from LeaderBrand says spinach can be included into everything from a smoothie in the morning, adding some leaves to a sandwich or throwing handfuls into your curry, the options are endless. She says as the weather gets warmer,
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Young Amenity Horticulturist of the Year, River Foster.
techniques will pay off.
“You put in a lot of mahi when you’re at university, it’s ways of learning that I’ve spent years working really hard at perfecting for me.”
On reflection River is happy he decided on the career change.
“Being outside, solving
the supply of spinach is going to become more consistent.
“We are always at the mercy of Mother Nature, particularly through the winter months. Spinach doesn’t love lots of rain, which results in less supply. As we move into spring, things are starting to heat up and crop cycles will get shorter in the warmer weather with longer daylight hours,” she says.
According to Faulkner, the average spinach cycle in winter is about 60 days, but during the warmer periods that cuts down to about 25 days from seed to harvest. She says LeaderBrand
problems with my hands, learning about botany is fascinating. There’s a lot of bleed over from human physiology and anatomy into cell biology. This apprenticeship has changed how I see the world.”
When he is not working, River is often
still studying – he is learning Japanese and French – and if he cannot be outdoors taking part in hiking and ocean swims, he enjoys foreign cinema and cooking. It would be hard to believe, but this active relaxer also finds time for chilling at the beach.
grows spinach both outside and indoors to ensure a consistent supply.
“Spinach gives you a huge opportunity to increase your
vegetable intake as it’s so versatile. It also provides you with vital nutrients that are important for your health,” she says.
Spinach is New Zealand’s favorite leafy green.
CASE IH UNVEILS OPTUM FOR CTF PRACTICES
CASE IH HAS unveiled a new 3-metre centre set-up for the the Optum tractor range, designed to meet the needs of growers operating under Controlled Traffic Farming (CTF) practices.
The factory-supported set-up allows the Optum tractor range, available up to 340hp, to seamlessly integrate into fixed tramline systems, helping reduce soil compaction, improve water infiltration, and enhance long-term productivity with full factory warranty support.
Reflecting Case IH’s ongoing commitment to delivering practical, high-performance solutions for broadacre and horticulture operations,
Seamus McCarthy, Case IH medium tractor product manager for ANZ, said the set-up was introduced in response to strong demand from growers looking to align their machinery with CTF practices.
“We’ve seen a real shift in the market toward precision farming systems, particularly in cereals and horticulture.
“The set-up will be fully covered by warranty, and allows customers to operate the Optum range with peace of mind and without compromising on power or technology. The Optum range, now with the 3-metre centre option, offers a smart solution for growers who need to travel between bed spacings with accuracy and consistency,” Seamus said.
Game changer for tomato harvesting
HARVESTING RIPE field-grown tomatoes is all about timing: Too early, there is too much green fruit; too late, there is too much damage.
Italian manufacturer MTS Sandei has developed what they are calling a game-changing machine that can harvest up to 110t of tomatoes an hour.
Grown for processing, outdoor tomatoes have become a big crop in Italy, with increasing numbers of growers and contractors looking for higher capacity harvesters to work quicker, optimise fuel consumption and reduce labour costs.
Powered by a Volvo Stage V engine offering 340hp, the THR1000 was first previewed at last November’s Italian Eima show in Bologna. The company’s new tomato harvesting flagship lifts two rows at a time, with the patented technique increasing capacity to around 110t/hr.
Twelve point two metres long, 4.2 metres wide and tipping the scales at 20 tonnes, the machine needs the wider operating width to help it deal with the increased crop volumes.
The first versions of the machine are currently operating in the paddock, offering significant capacity
increases
Mark Daniel markd@ruralnews.co.nz
Optum’s new 3-metre centre set-up.
over the existing THR850S, which offers 90 tonnes per hour capacity.
Credited with inventing the first self-propelled tomato harvester in 1967, the MTS company took over the Sandei trademark in 2008 from well known harvester manufacturer FMC.
MTS Sandei’s machine that can harvest up to 110t of tomatoes an hour.
Mark Daniel markd@ruralnews.co.nz
Uni research says rainfall fickle, drought risk rising
NEW RESEARCH could help farmers prepare for a future where summer rainfall is increasingly unpredictable and where drought risk is rising, no matter what.
The study led by University of Waikato researchers Hamish Lewis and Dr Luke Harrington reveals a sobering truth: the driest years of today could become the average years of tomorrow.
Funded through the Endeavour Fund’s Smart Ideas programme, Lewis and Harrington used a range of climate models to explore how uncertain rainfall projections interact with rising temperatures to shape future drought risk.
The research comes on the back of other recent findings by the pair along with colleagues from Earth Sciences New Zealand in which they found heatwaves that currently hit once a decade could potentially strike every other summer.
Rather than relying on a single
forecast, they examined two plausible futures: one where summertime rainfall increases, and one where it decreases.
This pattern holds across regions from Waikato to Southland despite local climate differences.
“In a wetter future, droughts are not too much worse. The temperaturedriven drying of the land when the world heats up because of extra greenhouse gases is offset by the extra rain,” postdoctoral research fellow Lewis explains.
“But when the world heats up and you also have less rainfall, drought events can worsen significantly. The average year in the future would resemble the driest summers we see in today’s climate.”
NEW PRODUCT
He says this pattern holds across regions from Waikato to Southland despite local climate differences.
“It’s impressive how consistent the signals of change are across the country. This isn’t a case where regions like Southland are off the hook. You can’t simply sell your farm in one area and relocate elsewhere expecting to escape the impact. The risks increase everywhere.”
Senior lecturer in climate change Harrington makes it clear that it is “inherently uncertain” which way the future weather could go, hence the two storylines chosen.
And it will mean that farmers have a choice.
“They can take a gamble, hope that we have wetter summers in the future, in which case the additional rain will offset the warming-induced risks of more extreme drought.
“Or they can take a pragmatic approach to risk management, and
plan for the equally plausible outcome where rainfall does decline in the summer and drought risks increase substantially across the country.”
As Harrington notes, adaptation strategies will vary depending on the farm, but the most effective responses are likely to come from those working on the land day to day.
“Whether it’s planning ahead for supplementary feed during dry spells, improving water storage capacity, or exploring alternative land uses, farmers and growers are best placed to make informed decisions, especially when equipped with clear, practical data.”
Samuel Whitelock
Plant Science Graduate, Lincoln University.
Hamish Lewis and Dr Luke Harrington used a range of climate models to explore future drought risk.
Thriving on the fruits of labour
IF THERE was a silver lining in the tragedy that was Cyclone Gabrielle, for New Zealand Young Grower of the Year, Grace Fulford, it was the tremendous sense of community and seeing first-hand what good leadership looks like.
Grace was working for T&G (Turners & Growers) Global in her home region when the cyclone ravaged Hawke’s Bay in 2023 – and it was a steep, but powerful, learning curve for the quality and compliance manager.
“One of my biggest takeaways from the cyclone is the leadership within T&G – essentially the people that made sure we all held together and set us towards where we needed to be,” the 28-year-old says.
“We were severely impacted and it really changed the way we worked. But we also had a sense of community. Everyone was helping out their neighbours, and our number one priority was making sure everyone was safe – let alone losing orchards and land and all of the destruction.”
Growing up in a four-generation family of horticulturists – including her father Colin and three older siblings – Grace had already seen the stressful
side of the business and it was partly the deterrent that resulted in her seeking out the totally different career path of engineering.
“Initially, I didn’t want to get into horticulture, mainly because I’d spend time with my dad and he would be stressed about the weather, the growing season, what was going on in the orchard. You don’t intend it, but that stuff comes home with you.”
However, part-way through university, she realised that the family’s history was also running through her veins.
“When you get our family together,
it’s pretty hard to stop us from talking about growing,” she says.
So, Grace returned home to work on her family’s Omahuri Orchard in Hastings nine years ago and has since thrown herself into the industry.
Four years ago she left the family business to start with T&G as a packhouse shift manager. Three years ago she became quality and compliance manager and is currently working in T&G’s Apples business.
Grace is also part of the Hawke’s Bay Women in Horticulture group – established to bring women in the sector together – and says there are so
OPPORTUNITIES GALORE
ONE THING Grace Fulford doesn’t underestimate is the opportunities, growth – and confidence – she has had by taking part in the 2024 regional and national Young Grower of the Year competitions and is excited by what lies ahead.
“I don’t want to sideline myself or just say I’ll go down one specific path. I’ve changed my mindset in the past 12 months – when opportunities come up, I’ll just say yes, I’ll make it work. Previously, I probably would have shied away from them.”
She is now eagerly looking forward to taking part in the 2025 Young Horticulturist of the Year competition – even if it does mean time away from her electrician husband Jack Campbell, and their two Border Collies.
Grace will now compete in the prestigious Young Horticulturist of the Year, a competition involving six horticultural sectors, in Auckland in November.
Meet Sam’s twin brother, Bill.
many opportunities in the horticultural industry.
“I could literally go anywhere that interests me and no two seasons or even two days are the same, which is quite exciting,” Grace says.
“The change our industry has made in the past 10 years alone has been huge – the automation and technology that we have available to us now is potentially something that wasn’t thought about 10 years ago. So, it’s quite exciting to think about where we could be in the next 10 years.
“It’s very different to how my grandfather and his dad grew and packed fruit back in their time. My nana graded cherries, and they used to just pour them all onto a big table and pull out the bad ones. With the apples, there were no colour sorters, no defects sorters. It was all packed by hand, apples were individually wrapped before they were put into boxes.”
She recalls as a child taking copious amounts of fresh fruit, from almost on her doorstep, and trading it with her school mates for almost anything else.
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Young Grower of the Year, Grace Fulford.
28 ANIMAL HEALTH
TB plan review to focus on possum hot spots
NEW ZEALAND is closer to eradicating bovine TB than ever before, but possums remain a threat, says Beef + Lamb New Zealand.
The TB Plan Review outlines the next steps, and farmers are encouraged to have their say. B+LNZ recently hosted a webinar to explain the proposal.
With just 15 infected herds remaining, around 0.01% of the national total, the country is on the verge of livestock freedom from TB. This is down from 1500 affected farms in the mid 1990s.
But as long as the disease persists in possums, reinfection remains a
real risk. The review proposes a stronger focus on possum hot spots to achieve TB freedom in both livestock and possums by 2040.
“This is a critical moment for the sector,” says Will Halliday, senior manager technical policy at Beef + Lamb New Zealand.
“We’ve made huge progress, but we need to finish the job properly and that means tackling the disease where it still hides. While we are now down to a few cases, we are also conscious that this can have a major impact on farmers in an affected region.”
The TB Plan is
reviewed every 10 years under the Biosecurity Act. This year, an independent Plan Governance Group including Beef + Lamb New Zealand, DairyNZ, Deer Industry New Zealand and the Ministry for Primary Industries has proposed amendments to the plan, now open for consultation.
To help farmers understand the proposal, Beef + Lamb New Zealand hosted a wellattended webinar.
OSPRI, which delivers the TBfree programme, is also running in-person meetings across the country.
“These sessions are a great opportunity for
Heiniger capital equipment, is trusted by New Zealand farmers, contractors and shearers to get the job done safely and efficiently.
Because we care about your safetywhile working.
farmers to ask questions and make informed decisions,” says Halliday.
“It’s important that everyone understands what’s being proposed and how it affects their business.”
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Industry
Beef + Lamb New Zealand is also encouraging farmers to think about the growing impact of forestry. With more farms being sold to forestry, there is concern about increased pest pressure, especially possums, which thrive in unmanaged forest blocks and could carry TB. The question is whether forestry should also contribute to the cost of TB control.
“Large scale forestry brings risk,” Halliday says. “We think it’s time to ask whether they should be part of the solution too. Farmers shouldn’t carry the burden alone.”
Farmers fund the TBfree programme through levies, and their input is vital. The consultation runs through October.
To learn more and make a submission, visit www. tbplanreview.co.nz.
BEEF + LAMB New Zealand (B+LNZ) is calling on farmers from all regions to take part in the final season of the Sheep Poo Study aiming to build a clearer picture of how facial eczema (FE) affects farms across New Zealand.
B+LNZ principal scientist Dr Cara Brosnahan says farmer involvement is crucial.
“We’re closer than ever to understanding where FE is occurring in New Zealand. With farmer input, we can find the tools that really work, and your farm could help complete the puzzle.”
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Now entering its third and final year, the Sheep Poo Study is part of the wider Eliminating Facial Eczema Impacts programme. Over the past two seasons, the study has revealed that FE spores aren’t just a North Island problem as they’ve consistently been found as far south as Otago.
“FE risk isn’t just seasonal or regional,” says Brosnahan.
“We’ve seen spore activity stretch into May and June, and it’s not confined by geography. We’ve had reports of clinical FE in every region from Northland to the West Coast of the South Island.”
The study has also revealed early signs that elevation, pasture height, and even your neighbour’s spore counts influence FE risk. Researchers are looking to confirm these relationships in the study’s final season.
Participation is free and simple. Farmers collect sheep poo samples every two weeks from October to May, with B+LNZ providing kits and covering postage. Farmers will receive results to better understand their FE risk, a $40 subsidy on faecal egg counts tested by Awanui Veterinary and the chance to be one of 25 farms selected for monthly FEC and larval culture testing from October to May.
Brosnahan says the final season is critical.
“We need more farmers to take part, especially if they’ve never had FE detected on their farm before; those results help build our understanding of this devastating disease.”
By joining, farmers will not only protect their own flocks but also contribute to a national solution for a disease that costs the sector over $330 million each year. Registration is
LEO ARGENT
The review proposes a stronger focus on possum hot spots to achieve TB freedom in both livestock and possums by 2040.
Evo Shearing Plant
New Fastrac 6000 Series unveiled
MARK DANIEL markd@ruralnews.co.nz
JCB HAS released details of its new Fastrac 6000 Series, filling the gap between the current 4000 Series (160240 horsepower) and the 8000 Series (330+ horsepower).
Two models, the 6260 and 6300, offer peak outputs of 284 and 335hp respectively, with the numerals on the hood indicating PTO output of 260 and 300hp. Power is provided by a 6.7litre FPT six-cylinder diesel engine – a move away from AgcoPower – tuned to deliver peak power at 1850rpm, with a torque curve that rises as speed drops to 1400rpm – delivering 1274 and 1400Nm.
The change of engine appears to be driven by a new chassis concept, featuring a cast front section supporting the engine, front axle and optional front linkage and PTO, with a steel-fabricated structure carrying the cab, transmission, rear axle and lift linkage, hydraulics and PTO.
The front casting is sculpted to allow the tightest possible front axle steer angle and is pre-prepared to make it easy to fit front loader
brackets, while also keeping the engine installation as narrow as possible for the best view from the cab to the front wheels and beyond.
The engine is mated to a wellproven ZF Eccom 3.1 stepless transmission, which offers automated, on-the-move auto shifting via four ranges that provide 100% mechanical drive efficiency at key field and transport speeds. Travel speeds range from 0 to 66kph, managed by JCB’s Smart Transmission Control system. Forty kph is achieved at only 1275rpm.
Self-levelling suspension at both axles offers high levels of driver comfort, alongside achieving maximum traction with less ballast, by shifting implement weight forwards, closer to the Fastrac’s 50:50 unladen weight distribution, and by keeping the tractor’s tires firmly engaged with the soil. In addition, when using deckmounted implements, the hydropneumatic system enables the tractor to “squat” as it reverses beneath a parked sprayer or spreader.
At the business end, rear lift capacity is 11 tonnes, with standard hydraulic flow up to 205l/min, with the option of a twin-pump layout
offering up to 410l/min. Equipment includes up to six rear and two front mounted remote valves, with single or twin power beyond layouts. Changes to the remote couplings sees a new valve, with lever-operated push-out, pull-in couplings.
The PTO system offers 4 speeds with interchangeable shafts and incorporating a soft-engagement system. Up front, the 1000rpm PTO features a new drop box design with reversable shaft with 6 or 21 splines, alongside a five-tonne capacity, double acting front linkage.
New front and rear steering axles, developed jointly with Dana, offer 38in or 34in rims, shod with factory-fitted 600mm, 610mm or 710mm wide tyre equipment. Both axles are approved for dual-wheel fitments for added traction, flotation and side-slope stability. JCB’s well-established four-wheel steering system has hydraulic rather than mechanical locking for smoother transitions between two-wheel and four-wheel steer, proportional to forward speed.
Alongside using the same suspension setup as the Fastrac 4000, the 6000 Series also features the same
cab frame and furniture with a slight rework, particularly to the roofline to accommodate a new 360-degree lighting package and integrated GPS receivers.
New optional features include a fully integrated, single-line, tyre inflation management system
providing quick access to optimal field and road pressures and a satellite guidance installation comprising two receivers for quicker and more precise line acquisition, more accurate tracking over an undulating field surface and enabling Twin Steer ultra-precision guidance that steers both axles.
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Technician’s hat-trick earns place in the record books
MARK DANIEL markd@ruralnews.co.nz
ESTABLISHED IN
2021, the John Deere Technician of the Year Awards champion the important contribution parts and service technicians make to the Australian and New Zealand agriculture, construction and forestry industries.
For the 2025 event, the build-up saw 88 nominees, being whittled down to 27 finalists and over 100 testing hours to win one of the six titles available in Parts and Service-related specialisation.
Whangārei, Northland field service technician,
Bryce Dickson has cemented his place in John Deere’s history, becoming the first ever person to win an award for the thiard time at the annual gala dinner recently held in Brisbane.
Taking the trophy in the New Zealand Agriculture & Turf Service Technician Award category, Bryce said he was thrilled and surprised to win again at the fifth annual awards program.
“Every time it’s a different experience,” Dickson said. “It’s really mind blowing and exciting, and I love it. It’s a great competition to be involved in.”
It’s a significant achievement for someone
whose high school career advisor said he wouldn’t succeed as a mechanic.
Bryce ignored that advice and worked in the automotive industry before transitioning to ag machinery during the global financial crisis.
While wishing he had started in the agriculture industry straight from school, his commitment to continuous learning, keeping up with the latest technologies, and his contact with customers is what makes him stand out as an excellent technician.
“Getting out in the field and working on machines, interacting with customers, is much better than being stuck
in a workshop,” he said. “We’ve now got integrated displays and autonomy is coming soon. It’s awesome to
see and learn about and I really love it when new tech arrives. It’s just learning about it that keeps you interested and focused.”
JD Australia and New Zealand managing director Luke Chandler said the annual awards program was an important recognition of technicians’ skills and their vital contribution in the industries they serve.
“Once again, Bryce has shown exceptional technical knowledge, customer focus and ability to solve problems under pressure,” Chandler said.
“He’s keeping our customers moving every
day and it’s fantastic to see his talent and hard work acknowledged.
“To reach the finals is a huge achievement and speaks volumes about the capability and commitment of each participant. Their professionalism and problem-solving ability ensure farmers, contractors and businesses can achieve more with their equipment,” he said.
JD Australia and New Zealand customer support business manager Marko Koelln said this year’s winners and finalists reflect the diversity of people entering and excelling in
technical careers.
“Our finalists come from a wide range of backgrounds, with many starting their careers in different industries before finding their calling as technicians,” Koelln said. “What unites them all is a passion for learning, a drive to deliver great service, and a genuine connection to the customers and communities they support. That’s what makes these awards so important. They shine a light on the people who keep our customers running.”
From left, Stephanie Gersekowski, director aftermarket & customer support, John Deere; Bryce Dickson and John Pervan, director, product support, Brandt ANZ.
Machinery sales turning a corner?
MARK DANIEL markd@ruralnews.co.nz
LIKE MANY manufacturers around the world, European agricultural machinery and tractor manufacturers are currently operating in a difficult market environment. But they are heading to the world’s largest agricultural machinery event in Hanover next month with a degree of cautious optimism.
Looking back on the past six months, the effects of the downturn that began across the board in 2023 are still visible. While manufacturers producing in Germany still had to record a 28% decline in sales in 2024, this decline melted away to around 10% from January to June 2025, with all product segments affected by the market decline.
The agricultural machinery industry plays a key role in productivity and growth.
Dr Tobias Ehrhard, managing director of the VDMA Agricultural Machinery Association, says that although order intake rose noticeably in most product segments during the first half of 2025, the sales situation remains unsatisfactory.
“An upturn has been expected for some time, but it is not really materialising at the moment,” he says.
Interestingly, technology used in the milk production chain is currently performing particularly well, with milking, cooling, and feeding equipment showing above-average performance in the market. In most other segments, business continues to stagnate.
With machinery fleets aging, manufacturers are expecting demand to rise again in the medium term, but until then, one unpredictable factor of uncertainty remains –the US government’s
tariff policy. The import tariffs are a major burden for European agricultural machinery and tractor manufacturers, given the industry is one of the top exporters to the US.
In July, the Trump administration imposed a 15% import tariff on imported goods, further exacerbated by an increased tariff on steel and aluminum products that was introduced on August 18. Since then, the steel and aluminum content of a machine has been subject to a 50% tariff.
In real terms, this means that the previous flat-rate 15% rule has effectively been abolished. Currently, the steel and aluminum content of all machines must be recorded and customs duties paid accordingly. The basis for assessment is the purchase price of raw materials, creating a huge bureaucratic and cost factor, but also, an unprecedented distortion of competition.
In addition, compared to other branches of mechanical engineering, the agricultural machinery industry is particularly hard hit by this protective measure. Typically, the increased tariff rate in mechanical engineering affects an average of 30% of EU export volume, but in agricultural machinery it is 70% on average.
The agricultural machinery industry plays a key role in productivity and growth in global agriculture, with machines, equipment, and associated software systems “Made in Europe” used in more than 130 markets around the world.
In November, the focus at Agritechnica Hanover will be on technologies that combine power, efficiency, and sustainability. Linked to this are digitisation, automation, and automation. Minimising CO2 emissions from the operation of agricultural machinery and tractors is another goal for agricultural machinery manufacturers, who continue to develop
climate-friendly alternatives to diesel fuel.
That said, combustion engines will remain indispensable for powerful tractors and harvesters for the foreseeable future, so manufacturers are looking for incentives
to make synthetic or biogenic fuels, such as HVO, attractive for use in agricultural machinery.
VDMA Agricultural Machinery comprises around 220 manufacturers of innovative agricultural machinery, tractors, and software systems. With
150,000 employees in Europe, around 40,000 of whom are based in Germany alone, the agricultural machinery industry is one of the leading sectors in mechanical and plant engineering.
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Smart connectivity elevates new generation of balers
MARK DANIEL markd@ruralnews.co.nz
JOHN DEERE has released details of its next generation of fixed and variable chamber round balers, offering advanced automation for increased productivity,
along with user-friendly features, including new endless belts that ensure reliable net feeding, particularly in sticky conditions, and an optional integral bale weighing system.
The new generation models are equipped
with advanced ISOBUS capabilities, providing machine integration into the John Deere Operations Center allowing farmers to monitor bale quality on the move.
The system tracks each bale’s size, drop
location and moisture levels, documenting this data in the JD Ops Center, allowing the farmer to access information such as bales per paddock and drymatter maps, alongside storing all invoicingrelevant information as they leave the paddock.
An optional moisture monitoring feature displays average moisture content per bale in real time, alerting the operator if the content deviates from the predefined setting.
The wrappingequipped models, the C442R, C452R and C462R, designed for silage, feature an optional built-in bale weighing system, based around advanced strain gauges on each of the four
transport table rollers, allowing on-the-go measurement of individual bale weights. A wrapping arm speed of 40rpm, ensures the wrapper element matches the baler’s productivity, keeping downtime to a minimum.
The new V452M and V462M variable chamber models offer a 10% increase in driveline power intake via an upgraded 540rpm PTO input clutch, said to boost overall productivity by up to 8% in demanding conditions.
New endless belts, with a more aggressive surface finish, helps ensure a reliable net feed, particularly in sticky or wet crop conditions, while overall belt life has been proven
to last 10-fold, when compared to belts with conventional lacers or joiners.
All new round baler models feature hydraulically actuated knife engagement, enabling the engagement or retraction from the operator seat, while also ensuring greater knife engagement force to ensure the crop is cut consistently and uniformly.
Maintenance is made easier with simple access points, long greasing intervals, and a chain auto-lube system. The G5e touchscreen provides intuitive operation, and baler automation allows for hands-free unloading, enhancing overall ease of use. The ISOBUS
AUX-N control system
enables operators to enable multifunction joystick buttons, allowing control of the main baler functions via the CommandPRO lever. John Deere Australia and New Zealand small ag & turf marketing manager, Erin Wagstaff, says by delivering farmers a smarter, more connected baling experience, combining automation, precision, and operator-focused design, “we are ensuring they can get the most out of every paddock and every bale, with a powerful impact on productivity, sustainability and the farmer’s bottom line”. New-generation balers are available to order now, with deliveries expected in early 2026.
The new balers deliver farmers a smarter and more connected baling experience.
Baler with no name wins gold
today.
INNOVATION AWARDS at international agricultural events are always on the wishlist of manufacturers.
Harvesting equipment and tractor manufacturer Claas appears to have pulled off a first, not by taking a gold Agritechnica Innovation Award, but for its next generation concept of a large square baler, that until 9th November won’t have its name released.
Described as being capable of baling up to 70 tonnes per hour, the completely new, innovative concept will place the machine above that of the current Claas Quadrant range we know
The machine, with bale dimensions of 120cm wide by 90cm high and a transportable length of 2.45 metres, is said to combine high throughputs with consistently high bale densities. In practice, this new concept achieves up to 70 t/h throughput when baling straw, maintaining constant bale densities of 210 kg/ m³, climbing to 235 kg/ m³ at peak performance, delivering bales of up to 500kg.
Among other features, these functions are achieved with the main gearbox integrated into the frame with a straight-line power flow. The driveline operates with two longitudinal flywheels, each operating
at 1650 rpm and weighing 202kg, which store considerable inertia to ensure uniform compaction. Power delivery is handled solely through efficient, lowloss, and wear-resistant enclosed gearboxes, in addition to two power belts. Sensors in the intake rotor or feed rake gear, continuously monitor gear loads and automatically adjust assistance systems, including an AI-assisted plunger density control and bale length regulation.
On start-up, the flywheels are switched on in succession, followed by the plunger and then the rotor, reducing start up loadings compared to previous solutions. In
the event of overloading, the flywheels are rapidly de-coupled via an electrohydraulically activated multi-plate clutch, separating them from the main driveline.
The plunger is also actively braked in this process, removing the need for shear bolts and cam clutches. Since the entire drive train consists of power bands and enclosed gearboxes, maintenance tasks are significantly reduced.
Besides the PTO input shaft, the only other shaft drive leading is to the knotter mechanism.
Further innovations include a new mechanically driven single-row binder for the pre-chamber and a newly designed double-
& LICE
loop knotter system. The latter generates two loop knots per tying operation, merging the benefits of McCormick and
Deering knotters while avoiding their individual drawbacks. The layout is said to ensure secure, dependable knots with
minimal twine tension, with the additional benefit of not leaving twine remnants in the paddock.
A large square baler from Claas, yet to be named, has taken out a gold Agritechnica Innovation Award.
MARK DANIEL
markd@ruralnews.co.nz
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