Business

Fonterra to recognise high performing farms

In line with key themes emerging from its new strategy, Fonterra today announced details of its new approach to sustainability on farm. The Co-operative Difference will make it easier for farmers to know what is expected today and in the future, as well as recognise those farmers who are taking steps to produce high quality milk in a more sustainable way. The farmer-owned Co-operative has signalled its new strategy will put sustainability at the heart of everything it does, empower the Co-op to maximise its New Zealand heritage and uniqueness, and help it to remain a globally competitive New Zealand co-operative. Co-operative Affairs Managing Director Mike Cronin says, “Sustainability for our Co-op is about more than the environment. It’s about looking after our people, caring for animals, adapting to changing customer and consumer expectations, and respecting the communities and land where we live and work. “We are proud of the global reputation Fonterra farmers have for producing high quality milk. Farmers have made tremendous progress on farm to date and The Co-operative Difference will help us take that good work to the next level so we can continue to create goodness for generations to come.” The Co-operative Difference will support the Co-op’s emerging strategy direction by: recognising farmers who go beyond the minimum requirements to supply high-quality milk, care for their animals, protect the environment, support their people and community, and engage in their Co-operative; helping other farmers follow suit by making existing on-farm requirements easier to understand and by providing tailored, industry-leading support services to those who want to improve;providing more information and advance notice to farmers about our future aspirations so they can plan and progress towards our shared ambitions; streamlining reporting and auditing to save farmers’ time and energy, and help the Co-op protect its market position, […]

Partnership farm trials show GHG possibilities

An 18-month long project to understand how changes on farm to reduce greenhouse gas emissions may impact a farms profitability and productivity has come to fruition, with the results for the Owl demonstration farm in Cambridge released today by DairyNZ. “Our aim was to model and apply practical measures to see how we can adapt New Zealand’s highly efficient pastoral farm systems to meet New Zealand’s climate change goals,” says DairyNZ chief executive Tim Mackle. “The outcome of this project is important to helping us understand the impact of making improvements or changes to how a farm operates in order to reduce emissions and nitrogen leaching.” Twelve farms across New Zealand took part in the Partnership Farm Project, modelling 44 different farm systems. The Owl Farm results are the first of a series that will be launched over the coming weeks. The farmers who took part in this project are now looking closely at the changes that have been recommended to them to decide whether they implement these on their farm. “One clear message from the work is that every farm is different and there isn’t a ‘one-size-fits-all’ package of changes that every farmer can use,” says Dr Mackle. “But they can learn from these case studies to compare against their own farm and see what might be possible.” “The other clear message is to measure, or estimate, biological greenhouse gas emissions – to know your numbers – as that is the first step to knowing how to manage them.” On Owl farm, one of the modelled farm management changes involved reducing feed use and lowering the stocking rate. This is expected to result in a 21 percent increase in profitability alongside a 14 percent reduction in nitrogen leaching and 13 percent reduction in greenhouse gas emissions. Mitigations modelled on […]

Dairy plays a key role in latest economic success

The dairy sector is thrilled to see that its significant contribution to the New Zealand economy is affirmed in the latest Situation and Outlook for Primary Industries 2019 report. “It is great to see this acknowledgement of the huge part that the dairy sector plays in the economy,” DairyNZ chief executive Dr Tim Mackle says. The Ministry for Primary Industries March 2019 report says dairy export revenue is forecast to rise 5.5 percent to $17.6 billion for the year ending June 2019, up from 13.3 billion in 2016, 14.6 billion in 2017 and 16.7 billion in 2018. Increased milksolids production translated into higher export volumes; and a reversal of declines in key dairy commodity prices at the end of 2018 continued into 2019. Total dairy exports for the six months ended December 2018 grew 3.8 percent to $8.7 billion compared to the previous year. There continues to be strong international demand for dairy, including from China. Dairy exports to China, as our largest trading partner, are up 16.6 percent to $3.2 billion for the six months ended December 2018 compared to the previous year. “For New Zealand’s dairy farmers, the strong production, a recovery of export commodity prices, and a weaker NZD should help ease downward pressure on farm level profitability for the current season. We have accordingly adjusted our all company average farm gate milksolids payout forecast for the 2018/19 season upwards to $6.41 (including dividend),” the MPI report says. Dr Mackle says the dairy sector contributes to national and regional economic development, supports New Zealanders’ wellbeing and employs more than 46,000 workers nationwide. The latest dairy achievements align with the dairy sector’s strategy, Dairy Tomorrow, which has an aspiration to improve the lives of New Zealanders with every drop of milk, Dr Mackle says. “The continuing success of […]

The Instagram effect

How social media is changing the food and beverage plant Starbucks recently sold a limited edition unicorn frappuccino for five days. Companies wouldn’t expect such a short timespan to have a significant impact on their customers, but the brightly colored beverage had more than 1.3 billion impressions on Twitter and 150,000 posts were tagged with #unicornfrappuccino on Instagram. Here, Darcy Simonis, ABB’s food and beverage industry network leader, looks at how the impact of social media is changing the priorities of food and beverage managers. Anyone who uses social media will know how prevalent pictures of food are. With 178 million photos tagged with #food on Instagram and research showing that a third of millennials regularly post pictures of their food on social media, food and beverage companies are waking up to the idea that the aesthetic of their food counts. Taco Bell’s chief innovation officer Liz Matthews says that now, when considering a new menu item, the food development team considers how the item will look in photos. With trends such as freakshakes — milkshakes with obscene amounts of cakes and cookies on the top — spreading across many restaurants, the more Instagram-friendly the item, the better it is for the promotion of the company. This change in the food and beverage industry is not only having an impact in cafes and restaurants, but also in the factory. More and more food and beverage manufacturers are now considering the social media aesthetic of their products. While they may not be mass producing rainbow bagels to sell at supermarkets, manufacturers may now be reconsidering the visual appeal of their products, including the packaging products are sold in, to promote more images on social media. As manufacturers start to reconsider their approach to the appearance of their products, they will expect […]

Agricultural pests a symptom, not a problem

Farmers should stop treating agricultural pests as a problem, and instead realise they are a symptom of an unsustainable farming method, says a visiting expert in regenerative agriculture. Dr Jonathan Lundgren, founder of Ecdysis Foundation and Blue Dasher Farm, was in New Zealand for an international workshop on conservation biological control of invertebrate pests, hosted by the Bio-Protection Research Centre, at Lincoln University. He told workshop participants that healthy ecosystems did not have the pest problems that were present in monoculture agriculture. “If you have a pest problem in your field, that’s your field telling you that something is out of whack. If all you are doing is reacting to a pest problem, then you are never going to get ahead – you’ve got to solve the underlying problem, not just the symptoms.” The underlying problem was lack of biodiversity, Dr Lundgren said. “The way we approach our food production is way too simplified.” Instead, he said regenerative agriculture not only solved pest problems, but was also more profitable. Regenerative agriculture goes beyond sustainable agriculture, by trying to regenerate degraded land and ecosystems, rather than simply sustaining what is left. Farmers who follow regenerative methods use few if any pesticides, don’t till the land, practise crop and stock rotation that mimic natural processes, and encourage biodiversity. Dr Lundgren said one study of the insect communities in cow dung found more diverse and more populous insect communities in the cow dung from regenerative farms – including more predators of pest species (mostly flies). It also found that that the dung from cattle farms using common avermectin pesticides to control parasites had twice as many maggots as were found in the dung from regenerative cattle farms. In another study researchers found conventional corn farms using pesticides had more than 10 times the […]

CRC launches new food grade bio-degreaser

CRC Industries has introduced a new NSF A1-rated CRC Food Grade Bio Degreaser which expands its leading CRC Greenlight Food Safe Program range. The degreaser is an extra heavy-duty cleaner formulated to penetrate and dissolve tough grease, oil and contaminants for easy removal – safely. CRC Industries Australia Managing Director, Shona Fitzgerald, said the product had been scientifically formulated for use in food processing applications. Biodegradable, non-toxic, non-hazardous, non-flammable, pH balanced and water soluble; the degreaser’s advanced formula is powerful but non-abrasive, non-corrosive and solvent-free. The product can be used confidently on all metals and alloys and will not damage bright metals including aluminium and brass. It is safe for use on fibreglass, glass, plastics, rubber, painted surfaces and laminates. It is also gentle on the environment with all ingredients readily decomposable. “This product has been specially formulated to penetrate and dissolve tough grease, oil and contaminants for easy removal – with a focus on personal and environmental safety,” Mrs Fitzgerald said. “These properties make it ideal for use in many applications especially where there are regulations or restrictions in place concerning the types of products that can be safely used or allowed. “It can be used to quickly and effectively clean mechanical equipment motors, tools, benches, walls, floors, filters, grills, drills, grinders, rollers, dies, moulds (injection, plastic, steel, aluminium), chains, conveyers, wire rope, robotics, hoists and more.” CRC Food Grade Bio Degreaser is available in 5L and 20L bulk containers as well as a 750mL trigger pack. “The launch our new CRC Food Grade Bio Degreaser is an important milestone for CRC as we remain focussed on adding customer value through extensive research and development, anticipating demand and delivering the right solutions in an ever-changing market, whilst adhering to the strictest protocols for food safety,’’ Mrs Fitzgerald said.

New water removal technology increases food waste biogas CHP performance

If New Zealand’s food industry is to fulfil its potential to develop anaerobic digestion (AD) plants fuelled with food waste, then it is critical that these plants optimise every part of the AD process in order to maximise economic and environmental returns. The majority of food waste AD plants produce electricity (with or without using the heat generated) using combined heat and power (CHP) generation units. When using CHP to create energy from the biogas produced by AD, one area which is often overlooked is ensuring that any water present in the raw biogas is removed; if water enters a CHP engine it can decrease its efficiency, resulting in reduced biogas yields and engine damage. The new Biogas Dehumidification System (BDS) from HRS Heat Exchangers removes water from biogas, protecting CHP engines from corrosion and cavitation. It also comes with a heat recovery section as standard, increasing an AD plant’s overall energy efficiency. Increased profits The importance of optimising your AD plant cannot be underestimated. While many of today’s food waste plant operators invest time and money in performance-enhancing additives and systems, removing water present in the raw biogas can be a lower priority. But with CHP engines being one of the most expensive pieces of equipment to replace on an AD plant, this is a false economy. Additionally, an inefficient CHP engine will result in lower electrical output and higher capex, and therefore reduced profits – a 1 MW digester operating at even 80 per cent capacity could be losing around $19,000 each month in lost electricity sales. The BDS reduces biogas temperatures from around 40ºC to approximately 5-7ºC, condensing more than 90 per cent of the water volume. It works via a chiller system which supplies a coolant that is transferred to heat exchangers. Biogas flows on the […]

Fonterra to explore opportunities in complementary nutrition

(Left) Judith Swales, head of Fonterra’s Global Consumer and Foodservice business. Fonterra has taken a stake in Motif Ingredients, a US-based food ingredients company that develops and commercialises bio-engineered animal and food ingredients. Fonterra joins Ginkgo Bioworks, Breakthrough Energy Ventures, Louis Dreyfus Companies and Viking Global Investors. Judith Swales, head of Fonterra’s Global Consumer and Foodservice business, says the move is part of the Co-operative’s commitment to its farmer-owners to stay at the forefront of innovation to understand and meet the changing preferences of consumers. While the terms will not be disclosed, Fonterra’s investment represents a minority stake in the business. “Farmers expect their Co-op to get the most value from every drop of their milk and also keep an eye on tomorrow to futureproof their Co-op for generations to come. “Dairy nutrition will always be at our core, but we also want to explore how we can capture more value from new types of nutrition. “The complementary nutrition category – where plant, insect, algae and fermentation-produced nutrition co-exist alongside animal proteins, including cows’ milk – is fast evolving. It’s not a case of either/or, but both,” says Judith. “If we fast forward 30 years, there’ll be two billion more mouths to feed and there simply won’t be enough food to go around just using today’s methods. A combination of traditional and complementary nutrition sources will be required to meet the world’s increasing need for food, especially protein. “Consumers around the world will continue to want natural, grass fed dairy as a premium source of nutrition. At the same time, we recognise that no two consumers are the same. As diets and preferences continue to evolve, we want to be there, providing people with choices. “Our stake in Motif will help us be part of this emerging next-generation fermentation-produced nutrition […]

WorkSafe joins Young Farmer of the Year Competition

WorkSafe New Zealand has today announced a partnership with the FMG Young Farmer of the Year competition. WorkSafe Chief Executive Nicole Rosie says the partnership will connect New Zealand’s future farming leaders with health and safety in an engaging setting, build rapport with rural communities and help create generational change. “We want to help those farmers just starting out to understand health and safety is about caring for themselves and their people. Good health and safety practices are at the heart of every successful farm business.” For the Young Farmer of the Year, WorkSafe will run individual health and safety challenges at each of the seven Regional Finals as well as a single event at the Grand Final, created collaboratively between Young Farmers’ representatives and local WorkSafe staff. The first Regional Final is being held in Milton tomorrow. As part of the support, WorkSafe will also be running challenges in the AgriKidsNZ and Junior Young Farmer of the Year sections. New Zealand Young Farmers Chief Executive Lynda Coppersmith says the partnership with WorkSafe is the perfect fit. “Our organisation has a strong focus on health and safety. We want young farmers to become old farmers, that’s what makes this partnership a perfect fit and we’re hopeful it will help efforts to improve health and safety on farms and in agri-businesses.” WorkSafe joins other sponsors including Ravensdown, New Holland, Honda, Stihl, FMG, Massey University, AGMARDT, Lincoln University, Betacraft and Meridian.

Failure to fix problems results in severe injuries

A Gore farm machinery company’s lack of effective repairs to a tractor has resulted in a substantial fine and reparations to an injured farm worker. “Vehicle service industries must ensure diligent workmanship, systems and practices in the work that they do to prevent injuries to users,” says WorkSafe Head of Specialist Interventions, Simon Humphries. His comments follow the sentencing today in the Gore District Court of farm machinery business Agricentre South Limited after brakes on a tractor serviced and supplied by the business failed and ran over a worker. The brakes on the second hand tractor were not working when it was first purchased by Agricentre South in 2015. Some diagnostic work and repairs had been completed when the tractor was delivered to a property for a trial in April 2016. The farm owner identified further issues with the tractor, including its brakes and Agricentre South attempted to fix the issue on-farm. Five days into the trial, the brakes failed, and the tractor ran over a worker leaving her with fractured vertebra, fractures to her arm and injuries to both legs. The farm owner who was driving the tractor escaped the incident unharmed. WorkSafe’s investigation found that Agricentre South had failed to ensure the tractor’s repair history was communicated between staff, failed to ensure the tractor had fully operational brakes, and that wires for the warning lights were reconnected and working after repairing the brakes. “The vehicle service industry, including the servicing of farm machinery, needs exceptional diligence to ensure the safety of the end users of vehicles and plant. Working brakes are the difference between life and death – on the road and in the workplace” Mr Humphries concluded. Notes: A fine of $239,063 was imposed Reparations of $103,459 had already been awarded to the victim in April 2018 […]

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