Analysis

Catch crops after winter forage grazing a win-win for farmers, environment

Hardy catch crops such as oats are showing major promise for mopping up excess nitrogen after winter grazing and could create a win-win for farmers in terms of their environmental footprint and profitability. Dr Peter Carey, a Lincoln Agritech Field Researcher, is leading a three-year Ministry for Primary Industries (MPI) Sustainable Farming Fund (SFF) research programme, in conjunction with Plant and Food Research, to apply the use of catch crops more widely in winter forage rotations. Dr Carey, who completed a PhD at Lincoln University on the use of catch crops, found that they can reduce nitrate leaching by as much as 40%. This study looks to extend his research and apply it directly to commercial farms in Canterbury and Southland. The project aims to adapt their use to the different soils and climatic conditions of each region. “Catch crop strategies are becoming more important, with the new Action for Healthy Waterways regulations coming into effect in winter, 2021,” Dr Carey said. “These will prevent farmers from leaving paddocks bare for more than a month after winter forage grazing. Fortunately, the research is showing that catch crop strategies can be a profitable avenue. “Nitrate leaching, and nitrogen loss generally, is particularly problematic in winter as non-lactating dairy cows eat large quantities of feed over a fairly short period of time to build up their body conditioning. “Then they deposit large volumes of urine onto bare soil at a time when plant growth is minimal. “Usually, catch crops are sown in autumn between the harvesting of the previous summer crop and a new crop in spring to conserve soil nutrients over the winter but in winter forage rotations, they need to be sown at the end of the grazing period, which is often mid-winter when soil and climate conditions are at […]

Milking the Planet

How Big Dairy is heating up the planet and hollowing rural communities IATP’s latest report, Milking the Planet: How Big Dairy is heating up the planet and hollowing rural communities, reveals that the total combined greenhouse gas (GHG) emissions of the world’s largest 13 dairy corporations rose by 11% in just two years (2015-2017). As the global dairy industry expands and scales up into new territories, dairying is disintegrating into larger operations controlled by a handful of big dairy processors. Simultaneously, Big Dairy’s GHG emissions are increasing, and indebtedness, farm loss and bankruptcies in rural communities are on the rise. The COVID-19 crisis has compounded the dairy crisis, further revealing the fragility of the concentrated system built by corporations. “The biggest dairy companies in the world have the same combined greenhouse gas emissions as the UK, the sixth biggest economy in the world, according to a new report,” wrote the Guardian’s Damian Carrington in the June 15 coverage of our report. “More than 90% of the corporate dairy industries’ emissions are produced by the cows themselves, mostly in the form of methane.” The corporations’ increase of 32.3 million tonnes of GHGs in 2017 equated to the pollution stemming from 6.9 million passenger cars driven in one year (13.6 billion litres or 3.6 billion gallons of gasoline). The combined 2017 emissions exceeded the emissions of carbon majors BHP and ConocoPhillips, two of the top 20 fossil fuel emitters. Increased market concentration through mergers and acquisitions has contributed to the emissions rise. The French dairy corporation Le Groupe Lactalis, for example, increased its emissions by 30%. The corporations’ combined milk intake went up by 8%. Despite the climate crisis, zero of the 13 processors have explicitly committed to a clear and absolute reduction of emissions from their dairy supply chain. These are […]

Primary industries drive Covid recovery

Primary sector exports are on track to grow by $1.7 billion on last year helping underpin NZ’s Covid-19 recovery, says Agriculture Minister Damien O’Connor. “Overseas consumers are now more than ever looking for healthy, New Zealand-made food. We’ve seen that with the sustained demand for fresh fruit, particularly in Europe and North America and the strong demand for red meat in China,” Damien O’Connor said. “Our farmers and growers are in a strong position to help us reboot our economy. Along with the sector, the Government is focused on creating more demand, pursuing greater market opportunities to generate higher export returns and growing rural communities with new jobs. “In lieu of the June 2020 edition of the Situation and Outlook for Primary Industries (SOPI), the Ministry for Primary Industries today released the Economic Update for the Primary Industries, showing for the year-to-date primary industries export revenue is tracking 4.5 per cent ($1.7 billion) higher than the previous year. Dairy exports were particularly strong since the start of March, up $512 million (12 per cent) compared to the same time last year. Chinese meat imports surged in the second half of 2019. The animal protein shortage, due to the African swine fever outbreak in China, should help support prices and demand over the next year. There was a strong start to the season for apple and kiwifruit exporters with revenue up $274 million (18 per cent) on last year since the start of March. Fisheries Minister Stuart Nash said the Chinese market for rock lobster was significantly affected by Covid-19, but is now showing signs of recovery as seafood markets begin to reopen. “New Zealand kaimoana enjoys an excellent reputation around the world, built on the hard work of generations of fishing operators. The almost $2 billion in export revenue it brings into […]

Increasing demand for Greek fruit and veg amid Covid-19

Spain and Italy experience low harvest due to unfavourable weather conditions Tridge, a global sourcing and market intelligence hub for food buyers and suppliers, has reported the latest market trends affecting the food and agriculture sector. This week the biggest news relates to the increasing demand for Greek produce. Greek fruit and vegetable exporters are experiencing prolific sales as the demand for healthier produce has increased due to the impacts of the Covid-19 outbreak. Since, Greece’s measures against the pandemic have been effective, Greek products are seen as safer in comparison to other produce producing countries. Low harvest seasons in Italy and Spain due to a combination of unfavourable weather conditions and labour shortages have also contributed to the rise in demand for Greek produce. Border closures in Spain and Italy have delayed seasonal workers returning to farms – an issue that has rippled across most of Europe. Hoshik Shin, founder and CEO at Tridge said: “The effects of Covid-19 have been felt around the world, and many buyers are seeking alternative suppliers to meet the consumer demand for safer and healthier products. Aside from the impacts of the pandemic, weather conditions can also significantly impact a harvest season, meaning that buyers need more options when sourcing suppliers. Using an online trading platform such as Tridge can open up more choices for both buyers and suppliers, which is especially important when trying to find quality products and good prices”.

Govt backing horticulture to succeed

The Government is backing a new $27 million project aimed at boosting sustainable horticulture production and New Zealand’s COVID-19 recovery efforts, says Agriculture Minister Damien O’Connor. “Our horticulture sector has long been one of New Zealand’s export star performers, contributing around $6 billion a year to our economy. During and post lockdown they’ve become a lifeline for a number of redeployed workers from industries such as tourism, forestry and hospitality,” he said. “Our growers and producers will play a critical role in our economic recovery. The Government knows this which is why in Budget 2020 we committed $38.5 million to help the sector seize further opportunities for future growth. This adds to that investment. Mr O’Connor said A Lighter Touch is a collaboration between government and industry. The aim is to create new growing methods and crop protection measures that reduce chemical use, and spur greater production. “Our high-value overseas consumers want to know the story behind their food. They want greater assurances that the food and fibre they buy is produced in a sustainable way – and they’re willing to pay a premium for it. “We have a great story to tell because our growers are among the most efficient and sustainable in the world. There is an opportunity for New Zealand to become the world’s preferred supplier of plant-based food products. This project will help us seize that opportunity, create more demand, generate higher export returns, and grow rural communities with new jobs.” Horticulture New Zealand Chief Executive Mike Chapman said the importance of biological methods and increasing production was reflected in the investment from the different sectors. “Our growers want to take greater care of the environment but there are only a few viable options for pest and disease control currently. “This is why this project is […]

Turbulence in the meat industry detrimental to consumer confidence

Following the news (June 3rd) that Brazilian labor prosecutors have filed a petition with a local court demanding the closure of a JBS SA pork plant due to the outbreak of novel Coronavirus, a decision that is still pending according to news reports. Carmen Bryan, Consumer Analyst at GlobalData, a leading data and analytics company, offers her commentary on how this could impact consumer confidence: “The challenges JBS are currently facing from Covid-19 are shared across the entire meat sector worldwide; meat processing plants are quickly being labelled as hotspots for the virus and, should this continue, it could deter many consumers from purchasing such products. Confusion around how the virus is spread and where it came from reinforces what we are already seeing as cautionary behavior from some consumers, and may lead them to opt for alternative meat offerings. “It’s worth noting that, as of week 10 of GlobalData’s weekly Covid-19 tracker survey, published on June 3rd, 73% of Brazilian consumers are concerned about the safety of product packaging* – and such concerns will also translate to production further down in the supply chain, particularly as people demand more transparency from brands and operators. Across different sectors, Covid-19 has highlighted the importance of adapting operations to guarantee people and product safety in the face of the crisis – something that the meat industry continues to strive to achieve.”

Difficult road ahead

We are currently in the eye of the Covid-19 storm. In New Zealand life is returning to normal as lockdown conditions ease much faster than was originally deemed feasible. While the end of the disruption is very welcome, the real economic damage this pandemic is causing is only beginning to become evident. In other parts of the world the health impact of the disease has been far more severe than here, and the economies of virtually every country in the world have been significantly impacted by this disease. New Zealand’s exports are highly dependent on economic conditions in the markets in which we sell our produce. Although the whole world is affected, diversification of markets is nonetheless valuable. People have to eat, and our increased exposure to developing markets is a blessing in the current situation as food demand in these economies may prove more resilient than the developed economies where a large portion of the food spend is more discretionary. Global dairy commodity prices have held up exceptionally well so far, but a further weakening in pricing is anticipated, which will put downward pressure on the farmgate milk price. Meat export prices have generally softened despite global supply disruption, with the more expensive, restaurant-oriented cuts unsurprisingly suffering the most. The horticulture and arable sectors have done an outstanding job, as the level 4 lockdown coincided with the harvest of fruit and grain. Kiwifruit is benefiting from global consumers focusing on healthy products, while the fortunes of wine producers vary depending on their typical sales channel. Land sales remain subdued, although the recently released freshwater policy may spur some more sales activity. There has also been a lift in firms looking to invest in the primary sector now that returns from many other sectors are subdued. This has the potential […]

Improving flexibility in food and beverage packaging

The iTRAK 5730 small-frame intelligent track system can improve throughput in multi- product applications Food and beverage manufacturers are constantly under pressure to package a wider variety of products in more types of packaging without compromising productivity. Now they can answer these trends while increasing throughput using the new iTRAK 5730 small-frame intelligent track system from Rockwell Automation. The system uses independent cart technology to support smart, flexible and efficient machines. Independent cart technology offers many benefits over traditional gear, chain and belt conveyors, including unlimited machine flexibility, better traceability and increased uptime. By using magnetic propulsion, the individually controlled carts can quickly start and stop with high precision, which reduces machine wear and is highly energy efficient. The technology also quickly manages changeovers using pre-configured move profiles that can be implemented with the push of a button from an HMI. The iTRAK 5730 system has the smallest footprint within Rockwell Automation’s independent cart portfolio. It has a 50 mm minimum pitch that makes it ideal for primary packaging applications, such as flow wrapping, end load cartoning, and form-fill-and-seal pouching. The system also easily integrates into a manufacturer’s architecture, providing analytics that help optimize energy use, monitor parts wear and reduce downtime. The iTRAK 5730 system extends the flexibility and productivity benefits of iTRAK to meet the growing demand for customised food and beverage products. The technology is truly scalable. Your system can have as little as a 50 mm pitch in a small, standalone machine, or be as large as 100 meters and part of a large, complex line. In addition to delivering a smarter form of motion control, the iTRAK 5730 also offers integrated safety. Features such as safe torque off, Safe Stop 1, a SIL 3, PLe safety rating and the ability to create safety zones help […]

Dairy farmers say ‘yes’ to milksolids levy

Levy paying dairy farmers have voted to continue the sector’s milksolids levy. The one in six-year milksolids levy vote closed on May 30, with provisional results showing 57 percent of the 11,747 levy paying dairy farmers voted – and of those who voted, 69 percent voted ‘yes’ to continuing the levy. Weighting the vote by milksolids production shows even greater representation and support for the levy, with this year’s votes equating to a 67 percent farmer vote and 74 percent voting ‘yes’. DairyNZ, the industry good body for dairy farmers, is funded by the milksolids levy. Chair Jim van der Poel said the vote provides DairyNZ with confidence as it heads into the future. “New Zealand’s dairy sector is progressive and our farmers have illustrated a clear mandate that they want an industry good organisation which represents and supports them to continue as a successful sector,” said Mr van der Poel. “The milksolids levy underpins a wide range of industry good work, including the sector strategy Dairy Tomorrow, and we are pleased this year’s levy vote will enable DairyNZ to continue that work on behalf of dairy farmers.” The milksolids levy vote was a simple ‘yes’ or ‘no’ vote for each levy paying farm owner, sharemilker or leaseholder. “Final results will be available once the total milksolids produced for the 2019/20 season is known in late June. However, we don’t expect any significant change.” A clear indication of farmer support is required for DairyNZ to make a new levy application to the Minister for Primary Industries to approve the ongoing levy for the next six years. “I’d like to thank every dairy farmer who voted. Having a farmer mandate gives us a stronger voice when important decisions are underway, where sector feedback can result in significant change.” Mr van der […]

Essential changes made to freshwater regulations, but issues remain

Sector feedback has resulted in significant change to the Government’s Essential Freshwater package but there is still a sting in the tail, says DairyNZ chief executive Dr Tim Mackle. “Over the last eight months DairyNZ has advocated for an evidence-based and pragmatic approach to freshwater regulation. We are pleased to see Government has listened and made significant changes to some of the more controversial elements of their original proposal,” said Dr Mackle. “Like all New Zealanders, dairy farmers share ambitions for healthy waterways and have invested a lot of time and money for over a decade in improved management systems, upgrading effluent systems, riparian planting and fencing streams to exclude cattle. “Looking at where the policy has landed, it appears that the Government have taken a better approach in terms of scientific rigour and practicality for farmers on the ground.” Dr Mackle said although farmers will have a generation to implement the changes needed, the regulatory settings they see today will influence their confidence to invest for the future. “The Government have parked the dissolved inorganic nitrogen (DIN) measure and removed the impractical and expensive requirement for farmers to move existing fences to meet new stock exclusion guidelines. These two issues were of great concern for farmers so this will provide reassurance.” Dr Mackle said it is pleasing the Government listened to DairyNZ’s guidance on using the nitrate toxicity measure, which will achieve the environmental outcomes with less economic and social disruption. “While we agree that nitrate toxicity is the right measure, we disagree with the standard which has been set. DairyNZ advocated for 3.8 as a significant progression on the old NPS and double the existing standard.” Dr Mackle says the proposed 95% protection standard will severely affect […]

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