Developments

Farm animal welfare moves up the corporate agenda

Leading global measure of how companies perform on farm animal welfare shows that ‘big business’ is getting the message: animal cruelty is bad for business. Launched in February The Business Benchmark on Farm Animal Welfare (BBFAW) Report, now in its sixth year, demonstrates again that farm animal welfare is moving up the corporate agenda; with more companies responding to growing consumer and investor demand for better treatment of animals in their supply chains. The message is clear: cruel treatment of farm animals is not just ethically unacceptable it is also bad for business. The BBFAW report, in collaboration with World Animal Protection, Compassion in Farming and investment firm Coller Capital, is the globally recognised investor framework for assessing the quality of companies’ practices, processes and performance on farm animal welfare. In 2017, a record 110 companies sought a BBFAW ranking; up from 99 in 2016. The companies include global food brands such as McDonalds, Pizza Hut, Starbucks and New Zealand multinational – Fonterra Cooperative Group Limited. This latest Report shows that many of the 110 global food companies are increasingly integrating farm animal welfare into their management and reporting processes: 47% of these companies now have explicit board or senior management oversight of farm animal welfare, a clear indication of how seriously they regard it; 72% have published formal improvement objectives for farm animal welfare; 87 companies (79%) have made commitments on the crucial issue of avoiding close confinement in one or more of the major markets in which they operate. The most common corporate commitments relate to the elimination of cages for laying hens and the elimination of sow stalls for mother pigs. “Smart businesses know that consumers and investors will no longer tolerate cruelty to farm animals” says Ben Pearson, Senior Campaign Manager at World Animal Protection New […]

TB-free progress means fewer tests for some farmers

New Zealand’s TBfree programme is demonstrating progress with the reduction of testing requirements for cattle and deer herds in a few areas of the North Island from 1 March 2018. The TBfree programme manages cattle and deer TB testing through Disease Control Areas (DCAs) throughout New Zealand that focus on areas of varying risk of livestock TB infection from the main wildlife vector of disease, possums. TBfree’s strategy combines targeted possum control, TB testing and stock movement controls to helps control the spread of bovine TB beyond these boundaries. DCA changes show the progress of TB control towards the ultimate eradication of bovine tuberculosis from New Zealand’s cattle and deer herds. So far OSPRI’s TBfree programme has eradicated TB from 1.83 million hectares – with 7.9m hectares of Vector Risk Area left to be eradicated. Each year, DCA boundaries and the TB testing regime within them are assessed and adjusted according to progress in the TBfree programme. From 1 March, reductions to DCAs affect 317,000 hectares and 1029 herds, resulting in more than 31,000 fewer TB tests for cattle and deer herds. The changes are relatively small after the large reductions in 2017, when 2.3 million hectares and 7400 herds were affected. Michelle Edge, Chief Executive of OSPRI, which manages the TBfree programme, says that as TB management in each area proves successful, disease control areas are reviewed based on detailed scientific analysis and data modelling. Accordingly, where TB eradication targets have been met, testing requirements are reduced. “The progress of the TBfree programme is a credit to farmers, the industry and Government organisations that invest in the TBfree programme and in the ultimate goal of making New Zealand TB-free.”

Synlait opens research and development centre in Palmerston North

In the picture:Palmerston North Mayor, Grant Smith, cutting the ribbon to open Synlait Palmerston North. Massey University Vice Chancellor, Prof Jan Thomas, stands to his right and Roger Schwarzenbach, Synlait’s GM of Technical and Innovation, is opposite. Synlait Palmerston North has been officially opened by Massey University’s Vice Chancellor and the Mayor of Palmerston North. “We’re very excited to be opening Synlait Palmerston North today, which is home to our new Research and Development Centre,” says John Penno, Managing Director and CEO. “We have some major opportunities in front of us. With the strong team and partnerships we’ve got in place to lead liquid innovation within our business, we won’t miss a beat,” he says. The Vice Chancellor of Massey University, Professor Jan Thomas, opened the facility and highlighted the important new relationship between Synlait and the university. “The establishment of Synlait’s new Research and Development Centre at Massey’s Manawatū campus is an excellent example of industry and the university collaborating closely to achieve real, tangible outcomes,” says Professor Thomas. “Strategic partnerships like these are vital if we are to start and grow new industries, create new jobs, and to remain competitive in the global marketplace. Massey University is New Zealand’s premier provider of food research and education, and at the forefront of pioneering such partnerships with the food industry.” she says. The Mayor for Palmerston North and Accelerate 25 Lead Team member, Grant Smith, thanked Synlait for choosing Food HQ and Palmerston North City for their investment. “It’s fantastic to now see commercial companies such as Synlait organically using the value of Food HQ and Massey University. Assisting companies with R+D and commercialising their products is one of Food HQ’s key roles,” says Mr Smith. “The City of Palmerston North is part of Accelerate 25, a regional economic development […]

Farm machinery sales back to 2014 levels

Sales of tractors in 2017 increased markedly, just topping the previous highest recorded levels of 2014, says NZ Tractor and Machinery Association (TAMA) General Manager, Ron Gall. Mr Gall said the association recognised that some farmers in both islands were currently experiencing hardship with the very hot and dry conditions. The challenging drought conditions may affect sales in the coming months but it was hoped changing weather would provide some relief. Mr Gall said in 2017, a total of 4079 tractors were sold. This is up 13% on 2016, up 14% on 2015 and even slightly up on the boom dairy year of 2014, which had 4062 sales. Sales were particularly strong in the dairy areas of Waikato, Taranaki, Manawatu, Canterbury and Southland and in the horticulture, viticulture and arable areas of Northland, Hawkes Bay, Nelson and Marlborough. Otago, home to dairy and horticulture and viticulture, experienced particularly impressive growth, with a 28% increase on 2016. The biggest increase on last year’s sales was Taranaki with 214 sales in 2017 compared to 158 in 2016, representing a 35% boost. Combined, the areas of North, Mid and South Canterbury had a 22% increase on 2016. Mr Gall said the increased sales reflected the improved dairy forecast payout along with steady growth in horticulture and viticulture. According to TAMA’s biennual industry value and employment survey, the total number of people employed in the tractor and farm machinery sales and servicing sector had also increased. There has been a 14% increase since 2015 – from 2492 to 2846 roles. Nearly 40% of those employed earned salaries of more than $75,000. Of respondents to the survey, 57% said they had difficulties hiring staff and 19% had hired migrants. “The machinery/technology sector offers innovative and well-paid jobs with a strong career pathway, including senior roles in […]

Emerging aliens threaten New Zealand’s environment

New Zealand’s environment and primary industries are under threat from pests we don’t even know about yet. That’s the message from Professor Philip Hulme of the Bio-Protection Research Centre, based at Lincoln University. Professor Hulme was part of a large international collaboration of scientists that analysed 46,000 recorded sightings of invasive animal and plant species around the world. Their research* showed that one in every four new pest incursions were from species that had never before been recorded as being invasive. “We looked at patterns over the last five centuries to see whether there was any evidence of a slowdown in the number of new pests and weeds emerging around the world, but there wasn’t,” said Prof Hulme. “Just as many new pests are emerging now as in previous centuries. “If we look at the pests and weeds already in New Zealand, most have come from Europe, Australia or North America, our traditional trade partners and sources of immigration. However, Asia is now becoming more important to both trade and immigration, and this is where many new pests and weeds appear to be coming from.” Prof Hulme says we may be entering a new era for biosecurity as we face an increasing wave of unknown emerging pest species. “We need to make sure our biosecurity system is sufficiently flexible and well-resourced to deal with unexpected incursions by species we probably will know nothing about,” says Professor Hulme. “The responsibility rests with all of us: government, industry, the public, and every tourist who crosses our borders,” says Prof Hulme. “We all need to be vigilant, understand the risks and all act in a way that minimises the chances of any new pest or disease making its way to our shores.” *Seebens, H., Blackburn TM, Dyer EE, Genovesi P, Hulme PE et […]

Environment and agriculture can both benefit from trade agreement

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTTP) trade agreement has the potential to transform the agricultural sector and at the same time benefit the environment, agribusiness expert Dr Nic Lees of Lincoln University says. However, he added, the public needed to be convinced of that. The CPTTP is the re-negotiated Trans Pacific Partnership after the USA withdrew, and is a free trade agreement between Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam. Negotiations have concluded between the countries but it is yet to be ratified by New Zealand. The TTP had met some public and political opposition. The CPTTP could change the sector from relying on low cost commodities to a focus on high value exports intimately connected to a pristine environment, Dr Lees said. “Where New Zealand producers are exporting high value branded products we see an associated increase in concern for the environment. These producers know that they need to meet consumers demand for products to be produced ethically and sustainably.” He said tariffs on New Zealand beef exports to Japan will drop from 38.5% to 9%, saving the industry $25 million. “This reduction in tariffs will give New Zealand and Australia a competitive advantage over the USA beef in the high value Japanese market. “It will encourage New Zealand beef farmers to target high value beef cuts in the Japanese market rather than export commodity hamburger beef to the USA,” Dr Lees added. Tariffs on kiwifruit exports to Japan, the largest importer of New Zealand kiwifruit, will be eliminated. Tariffs on wine exports to New Zealand’s fourth largest market Canada will also be removed. Overall the CPTPP could provide approximately $222m of tariff savings each year. However, he said, the public need to be convinced of these benefits. “There is […]

Lincoln part of Australian horticultural innovation

Lincoln University is extending its expertise offshore as part of a unique Australian programme cultivating its next horticultural industry leaders. Its Faculty of Agribusiness and Commerce is involved in teaching the Masterclass in Horticultural Business course at the University of Tasmania. Lincoln’s role is led by Professor Alison Bailey and includes collaborating with the world’s top agricultural university, despite mostly staying put in New Zealand. Professor Bailey made the trip to Australia to be part of the course’s first year in 2017 and envisages more Lincoln staff making the journey this year. “It’s an exciting development to be part of,” she said. The course is the first of its kind in Australia for the horticulture industry and is specifically designed for upcoming leaders in the industry. It is being developed in Tasmania in partnership with international leaders in horticulture – Horticulture Innovation Australia, Wageningen Academy (part of Wageningen University, ranked number one globally in Agriculture) and Lincoln University. Professor Alison Bailey said Modules which Lincoln experts contribute to include horticultural management, financial management, horticultural marketing, global trends and international business, innovation and entrepreneurship, and business development and strategy. The course is offered through flexible online delivery, with three face to face intensives, or workshops, and students are tasked with developing a strategic plan for their own company. Students go online to listen to pre-recorded mini lectures of between 8-15 minutes duration. The lectures are supported by guided reading material, online mini-quizzes, and assignments to be completed by the student usually offline and then sent in electronically The course reflects Lincoln University’s focus on collaborating with other institutions.

Riot Foods success defies doubters

In 2013 when Ryan Kamins took a brown paper bag with his home-made Paleo cereal to the local health food shop to see if it would sell, he had little idea that it was the beginning of a business that is forecast to sell over $2 million in product this year. Along with Art Green, Ryan Kamins has successfully established Riot Foods, a new generation food business, now in its 5th year. They have an unshakeable commitment to producing wholefoods that are free from harmful ingredients and making wholefoods accessible to mainstream consumers. Under the Riot Foods umbrella sits CleanPaleo, Poppy + Olive and WholeFoods Manufacturing. The flagship brand, CleanPaleo, has a range of 20 products, including breakfast blends, protein powders, biltong and bread, with more products set to launch in 2018 (most of which have been requested by their major retail partners). It’s a premium brand, characterised by products that are free from gluten, grains, dairy, preservatives and additives and is the leading Paleo brand in New Zealand. CleanPaleo is stocked Nationwide in Countdown as well as over 50 other independent stores. It is also selling to Australia, with 10 new stores coming on board every month, and Amazon U.S.A., who recently awarded CleanPaleo Manuka crunch breakfast blend their Amazon Choice award. Earlier this year Riot Foods purchased Poppy and Olive, a niche range of nut butters- which features Smooth Almond, Crunchy Almond, Cashew Almond and Chocolate Hazelnut. All the products are made using only wholefood ingredients and are high in protein and free from processed sugar and are of course gluten free, vegan and paleo approved! At purchase, the business was selling less than $2,500 per month of product. 9 months later, and after a re-brand, Poppy + Olive is now selling more than 6x that, with negotiations […]

Focus on New Zealand brands needed in face of trade uncertainty

Uncertainty over Brexit means New Zealand needs to urgently focus on developing brands and differentiating our agricultural exports. However, the recently announced TPP agreement – which is to be signed on 1 March – offers potential for enhancing our markets. Senior lecturer in Agribusiness Management, Dr Nic Lees, said New Zealand produces some of the best fruit, wine, meat, seafood and dairy products in the world but around 70 per cent reaches the consumer with no identification that is sourced from here. “Sudden changes such as Brexit remind us that relying on undifferentiated commodity exports leaves us vulnerable to sudden changes in government policies,” Dr Lees said. “When consumers demand a branded product, it is difficult for governments to shut it out of the market.” Forty-four years ago, Britain joined the European Common Market. At the time Britain took approximately 90 per cent of our butter, 75 per cent of our cheese and about 80 per cent of our lamb exports. Britain had to adopt the European “common agricultural policy” which imposed tariffs and quotas on non-European agricultural imports This meant New Zealand was effectively shut out of our largest agricultural export market. At the time, most of these products were being exported as commodities, frozen lamb carcasses and blocks of cheese. The only branded product was Anchor butter. For the next thirty years the New Zealand economy suffered as we searched for new markets and attempted to develop alternative industries. China has replaced Britain as our largest market. However, 70-80 per cent of our food exports are still sold as commodity products. “We need to develop differentiated and branded products that consumers demand,” he said. “We can learn a lesson from Anchor butter, as it is a brand that is still strong in the British market.” However, he said, […]

Dairy robotics success story attracts Australasian investors

The latest investment offering for inspection industry disruptor Invert Robotics has closed after attracting considerable interest from a number of high net worth and institutional investors from across Australia and New Zealand. Invert Robotics provides non-destructive inspection services using state of the art mobile climbing robots. Their climbing robots enable precise and accurate remote inspection of non-ferromagnetic surfaces such as stainless steel, carbon fibre, aluminium and glass. Patented robots are installed with high definition cameras and sensor technology to allow for equipment to be assessed for maintenance and for preventative analysis on a remote basis. Inspectors are fed real-time video during the inspection that allows for immediate and highly accurate analysis. The device is already being used by the major Australian and New Zealand dairy companies and co-operatives such as Fonterra, Synlait and Murray Goldburn, as well as a number of global food and beverage brands. It is also attracting interest across other sectors and throughout the food and beverage manufacturing industry in Europe and Asia such as FrieslandCampina and Heineken. The Company has also captured the attention of those working in the lucrative aviation inspection market and is poised to make a European partnership announcement soon regarding its successful development of further advanced robot technology. Invert Robotics is also looking at potential opportunities in the chemical industry, in addition to further work with energy, oil and gas companies. Following an almost million dollar crowdfunding campaign through the Sydney-based platform Equitise, a further NZ$6.4 million has now been raised from a limited sophisticated private investor round. Shareholders now include the former CEO of Macquarie Group Ltd, Allan Moss, and Inception Fiduciary Pty Ltd. These investments add to the considerable funding received from government and private venture capital sources soon after the company was founded by its now Chief Technical Officer, […]

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