Dairy News 23 June 2015

ELEPHANT ON THE BEETWasher and chipperPAGE 49

TEXT AND AVOID FINEEffluent monitoring PAGE 34-35

Dollar drop outweighs milk price fall. PAGE 3

JUNE 23, 2015 ISSUE 337 // www.dairynews.co.nz

TPPTIME TO TEAR UP TPP?Long running Trade Pacific Partnership negotiations face uncertain times. PAGE 4

ChallengingProfitable Production

It has never been more important to have qualified technical advice to ensure every kg of DM is efficiently and profitably converted into milk production.

REMOVE THE GUESS WORK CALL US TODAY

0800 800 380www.nrm.co.nz

DAI RY NEWS JUNE 23, 2015

NEWS // 3

MILK PRICES were down again in international markets last week but the New Zealand dollar’s drop means prices are up in our money.

The fall on GlobalDairyTrade (GDT) was the smallest since values started sliding again in March with the overall index down 1.3% and whole milk powder (WMP) back just 0.1%.

The average price across all commodities was US$2409/t with WMP at US$2327/t, still 4% above its December nadir of US$2229/t. Drought fears induced a rally to US$3272/t in February but it’s been downhill ever since.

“It was another weak one: we’re sort of getting used to it,” commented BNZ senior economist Doug Steel after last week’s auction.

However, since the previous auction, on June 2, the NZ$ had fallen about twice as much as the 1.3% fall in GDT hence prices in local terms are up about as much as they were down in US$, he added.

“But we really need higher international prices to achieve our forecast and Fonterra’s milk price forecast before the season is done,” he warned.

BNZ’s current prediction is for a NZ$5.70/kgMS payout for 2015-16, compared to Fonterra’s $5.25/kgMS milk price forecast. Given the volatility in the market there’s not really a lot of difference in those forecasts, he says.

“It’s almost within the margin of error.... The question is when will prices recover and will it be far enough to get the payout into the $5’s?”

If current prices and exchange rates persist, the payout would be “even lower than 2014-15’s $4.40,” he added, but such a scenario would almost cer-tainly see the Kiwi fall “further and faster”, sup-porting prices in NZ$ terms.

While Steel didn’t mention it, weaker currency would likely mean prices of imported inputs such as fuel, fertiliser and PKE would rise but the gains in domestic milk prices should outweigh that downside.

Steel says the continued weakness in dairy markets is due to questions over stocks in China

and strong domestic production in that market. “Demand from China is still not as strong as people thought it would be and therefore [Chi-na’s] impact on the market’s not as strong.”

Russia’s continued trade ban with the US and EU is another key factor. “Last year when they announced it [in August] they said it would be for one year. Now the debate is whether they will lift the ban.”

Meanwhile EU and US supply growth, while slowing, isn’t responding to low milk prices as fast as it might because mar-kets for feed grains are extremely weak.

The response to the end of quotas in the EU in April also still remains to be seen.

“It’s not so much a ques-tion of whether Ireland and the other efficient produc-ers are growing, as how do the less efficient nations respond. Will their gov-ernments support them or let the war of attri-tion begin?”

ANZ’s Con Williams also noted the NZ dollar’s positive influence on domestic milk values but flagged a concerningly flat WMP price spread.

“Across the last two auctions there’s been a bit of softening in those fourth quarter prices, par-ticularly for milk powder. That suggests China’s import demand is not about to erupt anytime soon which is a concern for prices in 2015-16.”

ANZ’s forecast for the season is still $5-5.25/kgMS but if current

prices and exchange rates remained it would be $4.20/

kgMS, he notes. “We still see the gain as achievable.”

Weaker currency plays “quite a part” in that view,

as does a potential drop in New Zealand’s production

due to lower cow num-bers following high

cull rates and

fewer conversions. Weather, notably El Nino, could also have an impact.

However, Williams doesn’t believe Russia will reopen its borders to EU and US product, so increased competition in other markets will remain. “The drive in Russia is towards self-suf-ficiency. That’s quite a structural change in the market.”

NEWS��3-19

OPINION�� 20-21

AGRIBUSINESS��22-25

MANAGEMENT��26-29

ANIMAL HEALTH��30-32

EFFLUENT & WATER MANAGEMENT��33-44

MACHINERY & PRODUCTS�� 45-50

Versatile muck spreader. PG.37

Centrus rotary platform a winner. PG.45

Text alert before calving. PG.26

Date WMP in US$ US:NZ$ rate* WMP in NZ $

December 3, 2013 $5035 0.817 $6163

June 17, 2014 $3658 0.868 $4214

December 2, 2014 $2229 0.787 $2832

June 16, 2015 $2327 0.698 $3334

Currency cushion

* As recorded by Reserve Bank

Dollar drop outweighs milk price nosediveANDREW SWALLOW

Con Williams

Want precooling that works?Get the best result for your site, farm and budget.

DTS Precooling Advice and Solutions

We work with you to:

Assess the options: water chilling, ice bank, glycol

Address all the factors: site, herd size, flow rate, water source, power reliability

Invest only where needed

Provide ongoing service and support.

2009TTSM

01

How are you tracking?Let’s talk. 0800 500 387www.tru-test .com/dairy


4 // NEWS

Trade talks on a knife edgeEITHER PRESIDENT Barack Obama gets legislation through US Congress for the Trans Pacific Partnership (TPP) to proceed or the trade agreement is all but finished, says NZ International Business Forum executive director Ste-phen Jacobi.

He remains hopeful Obama will suc-ceed, because failure will have major consequences for his presidency and the US geopolitical situation.

“I think some clever people in the US are going to pull this rabbit out of a hat. If they don’t we are looking into a very dark place for TPP,” Jacobi told Dairy News.

Trade Minister Tim Groser also told Dairy News the window of opportunity for bringing the TPP together politically is slowly closing.

Developments last week mean Obama now has a one-month exten-sion, until end of July, to get the TPA (Trade Protection Authority)/TAA (Trade Adjustment Assistance) legisla-tion through, which would enable TPP negotiations to proceed.

Jacobi says even if that passes there is now no chance of TPP being con-cluded before the end of the year, push-ing eventual ratification – if we ever get that far – well into 2016 and the US pres-idential campaign.

If the legislation fails it will be a major repudiation for Obama and a sig-nificant setback in his relations with the Congress, Jacobi says. Republicans will say he’s a lame duck president.

Obama has every reason to want to get this through as do a number of Republicans and Democrats. TAA, an existing programme of aid to workers displaced by trade deals, is favoured by the Democrats but needs reauthorisa-tion.

“It defies logic that the Democrats have voted against it for political rea-sons. There are lots of reasons why TPP should come together but it is not

the first time the US has dropped a very large ball on international trade.” The Americans under a Republican admin-istration walked away from the WTO Doha deal and it never got back on the rails.

Jacobi says if Obama fails, other economies won’t want to play ball with the US on the TPP, which has been on the table for five-six years. “The outlook would be too uncertain for everybody to risk wasting further time on things that may never be delivered. At some point you have to bring these things to a con-clusion.

“Can it be resurrected in the next couple of years? Well maybe, but the world moves on. The fundamentals on why TPP would be a good idea remain. Those will look to be resolved in differ-ent ways,” Jacobi says.

“It is more likely concentration will be on the RCEP Regional Comprehen-sive Economic Partnership (RCEP); there’s negotiation underway in Asia, where America is not involved, among 16 economies including China, Japan and India. I think a lot more focus will be put on that.”

China might put forward other proposals. “We know China wants to show its leadership in the area; they might see some mileage in a new initiative that wouldn’t involve the US. Doing nothing is not an option because we still need better rules and a better environment for trade and investment and we need access to some of those markets.”

Jacobi says either TPP moves towards a conclusion or there will be “something else”. “That has impli-cations not just for us but for the US leadership. In economic matters and geopolitical issues it is much bigger than it might appear.”

Groser says hopefully sufficient con-gressional support will emerge to allow this package to move forward. “But if that doesn’t happen, we also need to be realistic that it could be some time before TPP can be progressed.”

The Government has also been

clear it will only sign up to a high qual-ity TPP that delivers overall benefits for New Zealand. “It’s not after a deal at any cost.”

Groser says NZ’s key priorities in the TPP process remain securing market access outcomes that provide commer-cially meaningful access for NZ export-ers, including dairy.

“That said, dairy remains one of the most sensitive issues in the TPP nego-tiations. While good progress has been made, further work is required to ensure the end result is acceptable to NZ and aligns with the objectives Leaders have set for TPP.”

Groser says the US administration has been arguing that US legislators should support the legislation so the US leads the development of regional trade rules. The implication is a failure could indirectly strengthen China’s position geopolitically.

“China is obviously a key player in other processes such as the RCEP nego-tiations. But NZ sees the issues in more complementary terms: TPP and RCEP can be complementary stepping stones to the vision of a free trade area of the Asia Pacific, which is estimated to pro-duce larger economic benefits than either process on their own, and China and the US can both help to achieve that

longer-term outcome.” Groser says NZ is already strongly

positioned in the region with FTAs in place with Australia, China, ASEAN members, separately with Singapore, Brunei, Thailand and Malaysia, Chile, Hong Kong and an economic cooper-ation agreement with Chinese Taipei.

“We are also working to bring the Korea FTA into force, and are currently participating in the RCEP (Regional Cooperation Economic Partner-ship) FTA negotiations. RCEP gathers together a different set of participants, who in some cases are and will increas-

ingly be significant economic powers, including China, Japan, Korea and India as well as all of ASEAN.

“RCEP markets take 60% of NZ’s goods exports, with a combined GDP of US$23 trillion and three billion pop-ulation.

“We are seeking to improve and/or establish our access to these mar-kets. We are also exploring ways to deepen NZ’s engagement with Pacific Alliance countries. All of these pro-cesses are distinct from our partici-pation in TPP, and provide significant opportunities for NZ exporters.”

A BIG trade deal like the Trans Pacific Partnership, involving a number of countries, could en-able us to get access to markets with our dairy products which would otherwise struggle to get a deal with.

Kimberly Crewther, Dairy Companies Association of NZ executive director, says the significance of TPP for dairy is the opportunity to markedly improve dairy market access in the region.

“The negotiation includes Japan and Canada, both of

which maintain trade-prohibitive import tariff levels (200-300%) on many core dairy products. Market access into the US and Mexican markets is also limited currently.

“There is a very thin market for globally traded dairy prod-ucts. Trade liberalisation will also mean greater liquidity and lessened volatility.”

Trade expert Stephen Jacobi says our farmers in particular need access to some of those markets because, for instance, we don’t have a free trade agree-

ment (FTA) with Japan and Japan has now concluded an FTA with Australia.

“Japan has been reluctant to conclude a bilateral FTA with New Zealand in the past. Australia has more to offer Japan in terms of access to resources etc and we present the Japanese with a number of problems, particularly in the dairy area, that they would rather not deal with.

“We were looking to get those sorted out through a TPP situ-ation with a bigger deal on the table and more people involved.”

BIG DEAL BETTER FOR DAIRY

PAM [email protected]

Stephen Jacobi

CONTACT... Leon 021 440 575 Natasha 021 440 444

[email protected]

INCREASE PRODUCTION, REDUCE ANIMAL HEALTH COST, GET OFF WATER EXCLUSION

FARM-CHLORTM Farm Water Chlorination Systems CHECK-UPTM Mastitis Diagnostic ToolFarm Water Testing and Solutions


NEWS // 5

Co-op trying to reconnect at shed level

FONTERRA’S TOP farmer contact in Waikato, Paul Grave, says he hopes he can improve the com-munication between the co-op and local farmers and other regional stake-holders.

Grave is Fonterra’s newly appointed coopera-tive affairs manager in the

region. He says Fonterra pre-

viously took a central-ist approach, but is now devolving more respon-sibility to a regional level to improve rela-tions with farmer suppli-ers and others in direct contact with the co-op – local authorities, iwi, river authorities and DairyNZ.

Going regional is intended to make sure Fonterra is “integrated”

PETER [email protected]

into local rural commu-nities.

“The very nature of New Zealand makes it hard for a one-size-fits-all approach, that’s why we have gone regional.

“There are a lot of dif-ferent factors out there: my [counterpart] in Can-terbury will be experienc-ing different things from what you see in Waikato. For example, he’s got a lot of larger scale conversions with irrigation, with their own set of issues, whereas here we have a lot of envi-

ronmental issues such as the Waikato River – a big issue.”

Grave is concerned to connect with farm-ers during these tough times and explain to them what’s going on and why

and make sure they under-stand the problems.

“We have run a series of small shed meetings for up to 30 farmers – talking to them informally about some of the issues instead of having a big meeting in

a hall with a couple of hun-dred people where it’s very hard to answer questions.

“The farmers can front up in their gum-boots to a shed and have a chat, which is a lot less intimidating. Farmers go

away feeling a lot better informed about what’s going on.”

Grave says a lot of information is sent to Fon-terra farmers, and he sees an informal chat in a dairy shed as better for them.TRANSPARENCY RULES

ON GDT

PAUL GRAVE took up his present role after six years running Fonterra’s GDT platform. He’d also had sales roles in the US.

He says the GDT is not a complex system; it is a means of balancing supply and demand in a transparent way without which it would be difficult to assess what was happening in the market.

Grave says anyone who thinks that because Fonterra has lots of specialist staff it should be able to accurately set the farmgate milk price one year out needs to understand the market complexities.

“To get it right it means you have under-stood what the US/NZ dollar is going to do, what the Euro and US dollar is going to do, what Putin is going to do in Russia and what the supply in Europe is going to do.

“Then it [requires] knowing what the supply in the US is going to do and by definition you need to know what the grain price is and what the milk price is going to be in those places.

“Also you need to know what the supply in New Zealand is going to be and… a whole lot of other geopolitical factors… to come to that final decision in 15 months,” he says.

Grave says the best Fonterra can do is arrive at an estimate and it’s not possible to get it right given the huge number of unknown factors – not to mention the volatile nature of the world dairy market.

Fonterra’s new cooperative affairs manager in Waikato Paul Grave.

Available from your local dairy merchant.Manufactured by:

or phone 03-389 9500 for details of your local merchant

NZS 4604

Licence 2509

Superheat Ltd www.superheat.co.nz

QUALITY DAIRY HOT WATER CYLINDERSSuperheat mains

pressure domestic

cylinders now

available

Put some bling into your dairy shed. Order your dairy cylinder with a stainless steel case.

From 180 litres to 1500 litresSuperheat Popular Sizes (measurements in mm)

STANDARD RANGE AVAILABLE WITH COPPER BARREL, GALVANISED OR STAINLESS CASE180 ltr 610 dia x 1330 high 3kW200 ltr 600 dia x 1295 high 3kW225 ltr 610 dia x 1550 high 3kW270 ltr 610 dia x 1750 high 3kW270 ltr 710 dia x 1350 high 3kW270 ltr 810 dia x 1050 high 3kW300 ltr 710 dia x 1330 high 3kW350 ltr 710 dia x 1660 high 2 x 3kW350 ltr 810 dia x 1400 high 2 x 3kW400 ltr 710 dia x 1820 high 2 x 3kW450 ltr 710 dia x 2010 high 2 x 3kW450 ltr 810 dia x 1600 high 2 x 3kW

500 ltr 915 dia x 1400 high 2 x 3kW600 ltr 810 da x 1900 high 3 x 3kW600 ltr 915 dia x 1500 high 3 x 3kW700 ltr 810 dia x 2200 high 3 x 3kW700 ltr 915 dia x 1700 high 3 x 3kW800 ltr 915 dia x 1900 high 3 x 3kW800 ltr 1160 dia x 1400 high 3 x 3kW1000 ltr 915 dia x 2400 high 3 x 3kW1000 ltr 1160 dia x 1650 high 3 x 3kWSUPERHEAT STAINLESS SIZES WITH PLASTIC CASE600 ltr 920 dia x 1650 high 3 x 3kW1000 ltr 1170 dia x 1640 high 3 x 5kW1200 ltr 1170 dia x 1865 high 3 x 5kW1500 ltr 1170 dia x 2180 high 3 x 5kW

NEW SIZES AVAILABLENow with stainless steel inner barrel and stainless outer case

350 ltr 710 dia x 1670 2 x3 kW400 ltr 710 dia x 1860 2 x 3kW450 ltr 710 dia x 2010 2 x 3kW500 ltr 810 dia x 1690 2 x 3kW600 ltr 810 dia x 2100 3 x 3kW700 ltr 810 dia x 2370 3 x 3kW

Special sizes available on request. Superheat cylinders include elements,

thermostats, valve pack, vacuum break and sight tube.

Call 0800 324 455 / www.acragri.co.nz24 Months Interest Free, $0 Deposit

Milk ChillingSolutions to meet your needs and budget

Existing System Modification

Design & Build

Off the Shelf Units

Add-ons & Upgrades

Hot Water Systems

24 7 Service & Repair

All in One Unit!

In Shed FeedingIncrease Your Bottom Line

Top Quality USA & European Componentry

Payment Options to Suit Your Cash Flow

24 7 Service & Repair

Supplied by

on genetics, added value add and the value chain. For example, we are working with NZ Light Leathers, Merino NZ and other industry partners. More recently Landcorp has focused on how it can partner with iwi and Maori authorities.”

Houpapa says in dairying Landcorp is looking hard at how it farms – milk production and its environmental footprint. Its commitments with business partners in dairying will roll through over time.

Houpapa is regarded as a highly influential and respected business person and leader with a great understanding of agribusiness.

“The experience I bring as a Maori and a mainstream farmer is [combines knowing] who we are and where we are going – as Landcorp and as a New Zealand

agribusiness. We have the ability to capitalise to positively leverage Maori farming into the mainstream. Landcorp is a great vehicle to help facilitate that.”

Meanwhile former Invercargill MP and farmer Eric Roy has been appointed to Landcorp board.

Roy spent ten years in Southland as an electorate and list MP for the National Party. He retired from Parliament last year.

He has long been involved in the primary sector and now farms two properties in Te Anau and leases a holding in the Hokonui Hills.


6 // NEWS

Don’t forget to enrolGYPSY DAY is over and now is the time for dairy farming families to register with a medical practice in their new district.

June brings the start of a new dairy season and with it the movement of sharemilkers into and around their new region. However, registering with a new GP is often overlooked when families move into a new area, says WellSouth Primary Health Network GP advisor Dr Keith Abbott.

He says registering is an important part of the move, so health services can be accessed quickly when they are needed. It also means those needing health care will benefit from a subsidised consultation.

The process is simple: fill in an enrolment form with a local medical practice, and give consent for the new practice to source the individual’s health records from their old practice. That way the notes will be there the next time a family member needs to make an appoint-ment.

And if you aren’t registered with any medical prac-tice, now’s a good time to enroll: doctor’s visits are subsidised for enrolled patients, so routine visits are cheaper and certain PHO programmes may even be free.

Doctor visits are free for children under six in Otago and Southland if they registered.

“Medical practices aren’t only there for when you’re unwell; regular checkups and screening are a positive way to monitor and manage health, particularly if you are in a stressful job, smoke or don’t follow a healthy lifestyle,” Abbott says.

Traci Houpapa

Houpapa confirmed as Landcorp chair

MAORI BUSINESS leader Traci Houpapa has been appointed chair of Landcorp Farming. She has acted in the position since May last year.

Houpapa is also the chair of the Federation

of Maori Authorities (FOMA), a collective with an asset base of $8 billion in primary industries, energy, tourism and other commercial interests.

She is also chair of the Te Uranga B2 Incorporation with major farming interests – dairying and sheep and beef – in the central

North Island, and she is a director of other companies – Maori and pakeha. Houpapa was in 2012 named one of the ten most influential women in New Zealand agribusiness.

She told Dairy News her Landcorp appointment confirms that the direction of the state-owned business

was supported by the shareholder – the Government.

She says chairing Landcorp is exciting, with the implementation of its new strategy focus on the core business and a diversification which includes sheep milking.

“We are seeing a different face of Landcorp

– a more focused and strategic face. Our board and team are focused on how we can transform NZ farming.

“Landcorp’s focus is predominantly on how we do business and drilling down to make sure we do the fundamentals right. Then we can look at doing innovative work


@dairy_newsfacebook.com/dairynews

THERE IS ALWAYS AN

MASTITIS WHEN TREATINGTO THE RULE EXCEPTION

VIR

-066

9_D

N

Shaping the future of animal healthRestricted Veterinary Medicine. Available only under Veterinary Authorisation.ACVM No 10884

Extended

treatment options

and simple milk

and meat

withholding

periods

When it comes to treating mastitis during lactation, PENCLOX® 1200 HIGH POTENCY MILKING COW is breaking more than just the rules, it’s quite possibly changing the game.

With the powerful dual combination of penicillin and cloxacillin in one syringe, New Zealand farmers are telling us we have reduced the need to have a number of different products on farm during the lactation as PENCLOX® 1200 HIGH POTENCY MILKING COW covers most cases.

Together with awesome cure rates, an extensive array of treatment options and simple milk and meat withholding periods, it’s plain to see why PENCLOX® 1200 HIGH POTENCY MILKING COW has become the exception to the rule.

Ask your vet about PENCLOX® 1200 HIGH POTENCY MILKING COW today. It may be an easy decision to change.

WHY USE ANYTHING ELSE?

Available in a carton of 21 syringes or as a large herd pack containing 60 syringes.

Your vet knows the science and benefits behind PENCLOX® 1200 HIGH POTENCY MILKING COW and how it can add value to your farming operation. We entrust PENCLOX® 1200 HIGH POTENCY MILKING COW to your veterinarian - your animal health expert.

PENCLOX™

1200 HIGH POTENCY MILKING COW


NEWS // 7


THE TREASURY is ruling out an early end to low dairy prices.

Speaking to parliament’s finance and expenditure select committee last week, the secretary for the Trea-sury, Gabriel Makhlouf, predicted dairy prices would stay lower for longer. This conflicts with a forecast a few days ago by MPI that the farmgate milk price for the year to May 2016 would be $5.62/kgMS; Fonterra is forecasting a milk price of $5.25/kgMS.

Makhlouf told the committee that dairy prices have fallen at each of the five Global Dairy Trade auctions since the treasury’s forecasts were finalised for the Budget Economic and Fiscal Update. He says Fonterra has twice revised downwards its farmgate milk price for the season just finished.

“While we anticipated continuing weakness in dairy prices in our forecasts, there is now a greater risk that prices could take longer to pick up, with the recovery starting later this year or in early 2016, rather than in the second half of this year as anticipated.”

Makhlouf says while this may not affect production levels and economic activity, it would lower the terms of trade and slow growth in the total dollar value of goods and services.

The current low dairy prices have been offset to some degree by shifts in the exchange rate, Makhlouf points out. The NZ$ has depreciated against the US$, largely reflecting the improving outlook for the US economy and in expectation that interest rates will soon rise there, and monetary policy ease in NZ.

Dairy price rise pushed outDrought-hit southerners

find banks supportive

FEDERATED FARMERS President William Rolleston says the situation of some dairy farmers in drought affected areas of the South Island is becoming desperate.

He told Dairy News he’s had reports of dairy heifers or cows being returned early and unannounced from dairy grazers who simply didn’t have the feed on their farms to continue feeding the animals. Inquiries by Dairy News suggest this sort of incident is isolated, but is occurring on some farms in the worst hit areas.

Rolleston says this situation puts more pressure on dairy farmers already suffering from the low payout.

“What’s different about this drought compared with the

drought three years ago is that the dairy payout then was good and farmers had the flexibility to buy in supplementary feed. But now farmers are asking ‘shall we cull those cows earlier, reduce the

size of our herd, retrench, batten down the hatches and sit tight for a couple of years?’ And that is the appropriate response.”

Rolleston says Feds still has an active drought committee and is

monitoring the situation along with the added problems of a lower dairy payout. It is watching closely the issues farmers are likely to face in the coming months and what support they will need to deal with stress and their overall mental health.

“And we are talking to banks and making sure they understand the cyclical nature of farming: that dairy farmers get a payout of

$8.50 one year and all the banks love them, then next year they get $4.40. We don’t want the banks to turn around and desert them. To be fair we are not seeing any signs of that, in fact quite the opposite.”

But Rolleston says the public and the NGOs need to understand that while farmers are very keen to do their bit for the environment, when times are tough they can’t make as much progress as when times are better.

“There needs to be some understanding of that as well. The rate of progress on environmental matters is likely to slow over the next couple of years. That’s the nature of life because farmers can’t do things when they can’t pay for them.”


“We don’t want the banks to turn around and desert them. To be fair we are not seeing any signs of that, in fact quite the opposite.”


William Rolleston

An eye-opening discovery

We are pleased to announce the release of an Economic Impacts

report on ‘Queen of Calves’ by Business Economic Research

Limited (BERL) - from a seven year longitudinal study by Massey

University at their high-performing Number 4 Dairy Farm.

BERL found the cows raised on Queen of Calves produced,

on average, 30 kilograms more milk solids per lactation for their

first five lactations. The comparative cows not only produced

less milk, their survival rate was significantly lower than the

Queen of Calves cows.

BERL formed the view that the primary reasons for the increased

milk production and survival of the treated group correlates with

the rapid, early, lean growth that occurred in the cows that were

raised on Queen of Calves.

Three key points:

$900 more milk in the first five lactations*

Higher survivability

Potential to reduce footprint by 13%

Visit www.heiferdevelopment.co.nz for more information

* Based on a $6 payout


8 // NEWS

CHICORY AND its con-tribution to a $37,000 reduction in feed costs was a highlight in a tough year with the payout drop

for the P3 Hauraki Focus Farm at Ngatea.

Sixty-six people turned out to a field day last Wednesday at the farm managed by Michael and Megan Webster, equity partners with parents

Chicory trims costs, expels black beetle

Megan and Michael Webster.


Richard and Gillian Web-ster. The field day was one of about three held a year which can attract up to 80 people.

Webster Farms is in its second of three years as the focus farm for the P3 Trust, formed by nine farmers to increase farm profitability and sustain-ability across the plains for the benefit of the com-munity.

P3 stands for ‘Produc-tive and Profitable Plains’ and it has several projects run in conjunction with DairyNZ.

A focus at the Web-ster Farm is testing grasses and feed crops which grow well in the clay soils. The previous Focus Farm – Angus and Karen MacInnes’s property at Waitakaruru – had a focus on mating, DairyNZ con-sulting officer Fiona Wade told Dairy News. (The field day was one of Wade’s last duties before she moves on to sharemilking.)

The Webster farm saved $37,000 in feed costs in the financial year to May 31, 2015. This was attributed to chicory pro-viding good yields over the summer period (150t) and also replacing maize with PKE: 116t more PKE was brought in than the previous year, but 250t of maize was taken out of the system.

Another calculation showed that had the milk price stayed elevated – at about $6.50/kgMS – the farm would have been $100/ha more profitable than the previous season, partly attributable to the use of chicory.

Chicory has been par-ticularly successful as an interim crop before resow-ing pastures and this was backed up by other farm-ers at the field day who were also using the crop. It requires less handling than maize and the tap-root serves well in dry conditions.

“The chicory has been a major success both as a summer feed and in get-ting our new grass pro-gramme heading along in the right direction,” says Michael. “The pas-ture has had a good strike and we’ve also done 50ha of undersowing this year;

that is all taking shape and looking good.

“We have a far better understanding of feed budgeting and are far more pro-active then reac-tive. At the moment we have a rolling feed budget update and do a weekly update. We are forever trying to find little scenar-ios and gains we can make.

“We have a much greater understanding of our business – of where we are and where we’re head-ing.”

Megan says having to record a lot of information for the Focus Farm project gave them greater ability to make decisions than if they had been flying blind. “There are ups and downs but we get there in the end,” she says. The suc-cess graph is not always a straight curve up.

Milk production tar-gets were not reached as it was hard to justify extra expenditure in this payout climate to chase produc-tion compared to the pre-vious year. “Now we are being tested pretty hard as probably everyone in the room is,” Michael said.

Another farmer said after using chicory for three-four years there had been a marked increased in the persistence of new grass after the chicory because it got rid of a lot of black beetle larvae. “We have new grass that is four years old that is still good; going from grass to grass after three or four years we get pretty disap-pointed.”

With the switch to chicory and more PKE, Michael said he was not sitting on a tractor so much, and the PKE was utilised better than maize.

He said they don’t plan to put in more chicory as they think they have it “bang on”. He said he also thought they had “nailed” residuals and the staff also knew exactly what they were doing with residuals.

The focus for the next 12 months was getting the basics right, doing things better and work-ing as a team. “Rather than doing things averagely, like everyone in this room we aspire to be in the top quartiles. That really drives us,” Michael said.

INDEPENDENT IMPORTER - DIRECT TO FARM

0800 MOLASSESNZ WIDE DISTRIBUTION - We have most of NZ covered

Marsden Point

Mt Maunganui

Palmerston North

NelsonReefton

Christchurch

Timaru

Winton

Jo Scharvi Southland - South Otago 029 201 7361

Darrell Stratton Manawatu - Taranaki 021 859 911

Tim White Canterbury

- North Otago 021 863 345

Jamie Stephens Waikato - BOP 021 838 261

We deliver direct to farm from 8 depots nationwide

www.wintonstockfeed.co.nzFEED IMPORTERS

www.wintonstockfeed.co.nzFEED IMPORTERS 0800 665 277 37

or 03 326 6089


10 // NEWS

Opposition suggests pay out for co-op boss

SPIN AND corporate drivel are not the way to connect with dairy farm-ers who are going through

tough times.That’s the message

from Labour primary industries spokesman Damien O’Connor. He was responding to news that Fonterra may shed upwards of 1500 jobs in

a restructure, and to the financial problems facing dairy farmers because of the low pay-out and more hard times ahead.

O’Connor says many farmers are concerned about the performance


of Fonterra, its problems, and some of the decisions taken by its chief executive Theo Spierings.

“I suggest Theo volun-tarily cut his salary in half as an acknowledgement of his commitment to get Fonterra into a better place.

“The company can’t afford to have farmers who want to leave and… staff who will have to leave.

“The feedback I am getting from across the industry is that there is a growing level of frustra-tion about Fonterra. Farm-ers are taking a big cut and that’s why I’m asking Theo to share their challenge to get through this. It’s not tokenism, but a genuine commitment to acknowl-edge the pressure they are all under.”

O’Connor says it’s important the chief exec-utive of Fonterra has his management team and staff behind him and that he has the support

of farmers. But the staff, though loyal, must be very unsettled.

He says for Fonterra to work through this chal-lenging time will require absolute commitment from all staff, which he cannot see given the cloud of redundancy over them.

“Farmers can accept the fluctuating payouts if they have faith in the com-pany doing the right thing. This is a very complex company that has a huge challenge.

“If Fonterra can’t explain that in clear terms to their farmer owners and suppliers then they are in trouble and I think that is where we are at. The com-munication with farmer suppliers seems to be a consistent issue.”

O’Connor says he’s an absolute supporter of Fon-terra and says his com-ments are intended to support farmers and to encourage Fonterra to suc-ceed.

NO LINK TO MILK PRICE

DAIRY NEWS sought comment from Fonterra about Damien O’Connor’s request for Theo Spiering to take a 50% cut in his salary. We got a written response attributed to managing direc-tor people, culture and strategy, Maury Leyland.

She says to ensure Fonterra remains competi-tive in the market, its pay bands are based on industry standards obtained from independent remuneration consultants.

“Fonterra’s pay bands have never been linked to the milk price. However, short and long term incentive plans can be linked to the cooperative’s financial performance.

“We recognise that we have not met our farmer shareholders’ or investors’ expectations and that we need to significantly step up our performance. That is why Fonterra is undertak-ing a business review to identify areas where we can accelerate our strategy and improve performance.”

‘FLATTER’ MOOD AT FIELDAYS

DAMIEN O’CONNOR spent four days at Na-tional Fieldays, finding the mood “flatter” than in previous years.

He says while he knew of a couple of people who bought big ticket items, he felt most dairy farmers had battened down the hatches and weren’t spending.

It’s not only dairy farmers who are affected by the low payout, he says. Sheep and beef farmers who graze dairy stock are also caught in the downturn. And city folk are also vul-nerable. “People in cities need to appreciate the situation because Auckland has a false economy with its house prices. That has them deluded about the economy and where it’s going.

Damien O’Connor

Prices, availability and specifications are subject to change. Models shown with optional accessories. Offer available 21 May to 31 July 2015. *Different models and optional extras may result in different savings amounts. 4.99%, first payment at 12 Months, 3 annual payments. **4.99% annual percentage rate is available to GST registered purchasers over a 3 year term. Offer available to approved applicants of Yamaha Motor Finance New Zealand. Fees and charges apply. Offer available through participating dealers between 21 May and 31 July 2015 or while stocks last.

- Three-position On-Command® 4WD system.- Ultramatic® drive system with all-wheel engine braking.

- Class-leading power-to-weight ratio.- Marine-grade electronics.- Electronic Power Steering.

Contact your local authorised Yamaha dealer for more information and book a test drive today. www.yamaha-motor.co.nz

YA

M61

24B

R

2015 YFM 550

NOW $11,999

WAS $13,299 EXCL GST

EXCL GST

2015 YXM 700 EPSWAS $20,260 EXCL

GST

NOW $19,499 EXCL

GST

MASSIVE savings across the entire AG100/200, utility ATV and ROV range.

Know your cows better than you know your children.

Problem. It’s cold, wet and dark and you’ve got a whole bunch of newborn calves. How do you know whose calf is whose with any certainty?

Further problem. When you’re seeking genetic gain in your herd, how can you maximise it when there is even the slightest uncertainty in the breeding worth of your replacements?

The solution would seem simple. If you know the genetic make-up of the cows in your herd then it would be a simple matter to match calves to dams. But like all things simple, sometimes it’s easier said than done.

At LIC, our business is about improving the genetics of the national herd and figuring out how to verify parentage is an issue that’s very much part of that business.

In 2009 we developed our G3 DNA parentage verification programme. Today that programme allows over a thousand farmers to match calves to dams with extremely high accuracy.

So records are more accurate, the right calves are kept year on year, and maximum genetic gain is achieved.

Improvement all round.


12 // NEWS

THE MAIN message in calf rearing is to keep

things simple, do those things well and pay atten-tion to detail, says Wendy Morgan, Seales Winslow nutrition and quality assur-ance manager.


Simplicity key to calf rearing

Morgan is presenting 15 Dairy Womens Network (DWN) Successful Calf Rearing workshops around the country; she has already held three in the South Island and kicked off the North Island workshops in Ngatea last Tuesday.

Morgan told Dairy News another key message is that what you do with the first calf should also be done with the last calf, even though there is stress and many jobs to be done. “Make sure you are finish-ing all your calves as con-sistently as possible,” she says.

Morgan told the 40 people who attended the workshop at Ngatea she is excited about calf rear-ing especially focussing on small changes to see what can be improved in a farm situation without spend-ing more money. She is keen to advise small dif-ferences and changes that would improve the calving experiences. It was good to get feedback from the audi-ence who could share their own experiences.

She said she advises on best practice but seminar attendees should not feel pressure to follow all her advice if it doesn’t suit their infrastructure, etc.

“We are talking about best practice; we are not saying you must do every-thing we say here.” That could make it too stressful and would not lead to suc-cessful calf rearing. Anyone with issues should feel free to ask people at the work-shops, in the industry or even their neighbours for help.

However, one reason attention was needed in calf rearing is because insufficient animals were entering herds at the ideal body weight: they should enter the herd at two years at about 90% of their mature body weight – for Holstein Friesians about 500kg. A number were coming at about 400kg which was about 75% of mature liveweight.

It is important to plan and make sure every-one onfarm knows what is going on, if you can’t be there someone else may have to take over, she told

the group. Morgan told Dairy News

they had had good atten-dances at the Success-ful Calf Rearing events so far. “We’ve been told they don’t normally get people turning up in Reefton and Havelock but we’ve had 20-25 people turning up to those,” she says. The workshops were held last year and people said they enjoyed them so she thinks word of mouth is getting around.

“People turn up to the Dairy Womens Network events because they know they are interactive. They tend to be people who want to help each other and give feedback. And it’s a safe place to ask questions: nobody would say ‘that’s a stupid question’. It’s a sup-portive group and that’s why we get a lot of num-bers.”

Men have attended every workshop. Some people assume men can’t come to DWN events but they are welcome. One man came because his wife couldn’t, husbands and wives turn up together, or sometimes farm workers or owners – all sorts of differ-ent people.

Morgan, who lives in Morrinsville, has four Calf Rearing events this week starting in Kaitaia. The workshops continue in the north and south islands until July 22 – see www.dwn.co.nz/events.

The sessions include preparing a calf rearing plan, setting up calf hous-ing and evaluating feed options. The seminar is designed for first-time rear-ers and the experienced.

Morgan has been working in animal nutrition for 13 years; she studied animal science at Nottingham University, an honours project looking at how different feeds for cows alter milk composition. She came to New Zealand seven years ago, initially working for NRM, and has been with Seales Winslow for two and a half years. She says agriculture does not get much focus or support in the UK. But in New Zealand there are huge opportunities.

Wendy Morgan, Seales Winslow makes a point at the workshop last week.

When it comes to treating mastitis during lactation, PENCLOX® 1200 HIGH POTENCY MILKING COW is breaking more than just the rules, it’s quite possibly changing the game.

With the powerful dual combination of penicillin and cloxacillin in one syringe, awesome cure rates based on New Zealand trial work4, the flexibility to treat for longer and simple milk and meat withholding periods, it’s plain to see the benefits of PENCLOX® 1200 HIGH POTENCY MILKING COW.

Ask your vet about PENCLOX® 1200 HIGH POTENCY MILKING COW today. It can be an easy decision to change.

Your vet knows the science and benefits behind PENCLOX™ 1200 High Potency Milking Cow and how it can add value to your farming operation. We entrust PENCLOX™ 1200 High Potency Milking Cow to your veterinarian - your animal health expert.

1. New Zealand DCV Formulary, 2008. 2. S McDougall, DG Arthur, MA Bryan, JJ Vermunt & AM Weir (2007): Clinical and bacteriological response to treatment of clinical mastitis with one of three intramammary antibiotics, NZVJ, 55:4, 161- 170. 3. M. Bryan, pers. comm. 4. Data on file: Trial #55265. 5. Salmon et al, 1998 MIC90 as established from isolates from NZ and Denmark dairy heifers.

CHANCE TO BEATTHE BEST POSSIBLE

MASTITISPenicillin & Cloxacillin combination,• HighlyeffectiveagainstStrep.uberis1,• SuperiorefficacyagainstStaph.aureus2,3,4,• Twofirst-choiceantimicrobialsforgram-

positivemastitispathogens5,

Extended therapy,• Improvescurerates,• Customisedmastitistreatmentplansbased

onfarmhistoryandlocalconditions,• Veterinarianscanprovideflexiblemastitis

treatmentoptions,

Treatment simplicity,• Efficaciouswithsametreatment

intervalandmilkwithholdwhenmilkingOADorTAD-oneintramammaryfortheentirelactation,

1+1=2

Larger font size,• Improvedcompliancethrough

easytoreadtext,AA

Patented formulation,• Uniqueproduct–Worldfirstmade

inNewZealand,• SupportingNewZealandbased

mastitisresearch,

Treatment flexibility,• Flexibleandpracticaluseatallstages

oflactation,• UniqueregisteredlabelclaimsforOAD

andTADmilking,

VIR_

0586

_DN

PENCLOX™

1200 HIGH POTENCY MILKING COW

Shaping the future of animal healthRestricted Veterinary Medicine. Available only under Veterinary Authorisation.ACVM No 10884

high quality without the high price tagmike visser, waikato DAIRY FARMER

SIMPLE. profitable.

sustainable.

0800 PIONEER (746 633)www.PIONEER.co.nzPioneer® brand products are provided subject to the terms and conditions of purchase, which are part of the labelling and purchase documents. ®, TM, SM, Trademarks and service marks of Pioneer Hi-Bred International, Inc.

PIONEER® BRAND

MAIZE SILAGE


14 // NEWS

This is an authenticated statement from DEREK aubrey, dmj farming ltd,

te pirita, canterbury.

Bloat controlReduced ketosisImproved cow conditionAsk your vet

Rumenox is a registered trademark of GVL. Registered pursuant to the ACVM Act 1997, A10896. See foodsafety.govt.nz for registration conditions. Phone 0800 485 123 (0800 GVL 123) glenmarkvet.com

gGLENMARK VETERINARY LIMITED

MPI predicting modest recovery in milk price

THE MINISTRY for Primary Industries annual ‘Situation and Outlook Report for Primary Industries’ (SOPI) forecasts the farmgate milk price for the 2015-16 season to be $5.62/kgMS – slightly higher than Fonterra’s $5.25.

This reflects a modest

recovery in international prices and an assumed 5.4% depreciation of the NZ$ against the US$, MPI says. The milk price is projected to average $6.70/kgMS in 2017-19 due to a rebalancing of global supply and demand and continued gradual depreciation of the NZ$ vs the US$.

But MPI says these price projections are subject to several

uncertainties and risks worldwide including the political situation in Russia and milk production in other countries.

MPI remains overall optimistic about the long term future of the dairy industry. It says the value of dairy exports will drop by 22% in 2015 to just $14.1 billion and says four years will pass before the exports recover to over

$18b, their level last year. MPI director of

sector policy Jarred Mair says while dairy accounts for 40% of New Zealand’s primary exports, the country is not overly dependent on dairy because it has a very strong mix of other primary products. Though the Chinese market is challenging, South East Asian markets are surging and new opportunities are


seen in Africa.“Where there

are big impacts in a global sense we will be exposed because we are predominantly an export nation. We are in a transition period, moving from a commodity base to higher value products – ingredients or consumer products. That is probably the biggest trend we have seen in the last two years and it will continue for the next two-three years.”

SOPI is by and large a statistical document with a range of predictions about each of the primary sector groups. It notes that China now takes 21% percent of our dairy products – way ahead of the mere 8% taken by the USA. It also notes that WMP at 40.2% remains the major dairy commodity exported, followed by butter, AMF and cream products at 15.8% and SMP, buttermilk powder and infant foods

at 13% . Interestingly, it notes

that China is the biggest market for WMP, SMP and butter and AMF products. The USA is still our largest market for casein products and Japan is NZ’s largest cheese market.

MPI says in the short term, dairy prices are likely to remain low due to weak demand from China and Russia. It says the consumption of dairy products in China and many other Asian countries remains well below global averages. But it notes that increasing incomes, growing urbanisation, relaxation of the one child policy and a growing acceptance of dairy as part of the Chinese diet will contribute to a predicted 30% increase in consumption by 2024.

MPI says Chinese dairy production is also expected to increase, but more slowly than demand.

“By 2024, consumption in China is estimated to reach 63m tonnes of dairy products compared with production of only 48m tonnes. This estimated 15m tonne deficit is well above the 11m tonne import requirement in 2014,” says the report.

MPI says overall, milk solids production in NZ for the year ended May 31, 2015 is expected to increase by 1.8% to 1.86 billion kg due to a 3.4% increase in cow numbers and stimulated by record milk prices during the2013-14 season.

But it notes that per-cow production is down 1.6%.

MPI forecasts that milksolids production in this new season will fall as lower prices lead to cutbacks in supplementary feeding, but annual growth of 2-3% is expected to resume thereafter.


MPI is predicting this season’s price to reach $5.62/kgMS.

A New Zealand first from Milford

NZ’s first depot-to-farm priority delivery service

DELIVERY

For advice and delivery 0800 99 77 33 milfordproducts.co.nz

New Zealand’s best range of culvert piping


NEWS // 15

A wonder or a worry?THE DOWNTURN in dairy prices is affecting con-fidence in the sector.

In the KPMG Agribusi-ness Agenda, the head of global agribusiness for the organisation, Ian Proud-foot, says the extent of the downturn in milk returns for the 2014-15 season was not expected and has sharp-ened the focus on the prog-ress the dairy industry has made in adding value to milk produced in New Zea-land.

He says with more pro-cessors for farmers to supply, the increasing com-petition for milk is raising questions about the future structure of the industry and the necessary regula-tory framework.

Proudfoot touches on the issue of the changing nature of the dairy industry with more processors entering the market that can offer attrac-tive packages to supply them as opposed to Fonterra

“Many scenarios were sug-gested, but few had Fonterra retaining more than 70% of total supply, and most had 15-20 companies picking up milk within the next 10 years. As a result, overcapacity in dairy processing was raised as a real risk to the indus-try for the first time, particu-larly given expectations that demand for liquid products will outpace powders into the future.”

He also expresses con-cerns about the abil-ity of NZ milk to retain a reputation premium in

the market. He says the involvement of Fonterra in a number of milk pools around the world, and greater involvement of international traders in the NZ pool, is a risk.

“People noted the experience of the Austra-lian wheat sector that lost its reputation premium as traders became more involved in the industry and began selling Austra-lian wheat as ‘Grade 1 wheat any origin.’ This would be a real concern if the same happened to New Zealand milk.”

Proudfoot says it is rec-ognised that the regulatory environment that requires Fonterra to be all things to all people presents practi-cal and strategic challenges to the co-operative, and will have to change if their market share reduces. He says the biggest challenge for the industry is how it can more effectively add value to our growing milk supply.

It was noted that the primary focus of the dairy industry over the last 10 years has been production growth. He says even with the value add investments made, this means the pro-portion of product being converted into specific value add product is now lower than 10 years ago.

“It is wrong to assume, however, that the remain-der of our dairy produc-tion is being turned into basic commodity products.

We have some of the most sophisticated dairy ingredi-ent processing capability in the world, and our ingredi-ent and foodservice solu-tions are globally sought. Over the last decade, the dairy sector has made a huge investment in pro-cessing assets to handle the growth in milk produc-tion, with most of this going into drying technologies,”

he saysAs well as a strong focus

on the dairy industry, the KPMG report notes that biosecurity, food safety and the need to get more young people into the agribusiness sector are key issues in the minds of business leaders.

SOPI also notes that the need for high speed broadband into rural NZ is a high priority, now ranked

2nd equal.Proudfoot states that

people expect NZ agricul-tural businesses to deliver value from 21st century markets, yet we’re provid-ing them with only 20th century communication services.

“Fast connectivity in rural areas not only sup-ports economic growth. It enhances healthcare

The KPMG Agribusiness Agenda 2015 says the dairy industry is changing with more processors providing stiff competition to Fonterra.

This is an authenticated statement from DEREK aubrey, dmj farming ltd,

te pirita, canterbury.

Bloat controlReduced ketosisImproved cow conditionAsk your vet

Rumenox is a registered trademark of GVL. Registered pursuant to the ACVM Act 1997, A10896. See foodsafety.govt.nz for registration conditions. Phone 0800 485 123 (0800 GVL 123) glenmarkvet.com

gGLENMARK VETERINARY LIMITED

✓ Time to cool milk significantly reduced✓ Improve milk quality due to quicker cool down✓ Reduce power costs✓ Suitable for existing or new installations✓ Pay-back in first year depending on vat design

and refrigeration plant condition

HOW? Replacement of the traditional (and old technology) Thermostatic Expansion Valves (TEV’s) with Carel Electronic Expansion Valves (EEV’s) provides outstanding superheat control of your refrigeration plant. This in turn maximises the cooling in the milk vat. By also installing Carel FCP Condenser Fan Speed Controls you can further maximise the plant potential.

Ask your Refrigeration Technician or contact Eurotec for more information. Phone us on 0800 111 990

Head Office: Auckland: Tel. 09-579 1990Wellington: Tel. 04-499 3591 | Christchurch: 03-366 0017

Email: [email protected] | Web: www.eurotec.co.nz

Faster Milk Cooling At A Lower Power Cost

OUT WITH THE OLD

IN WITH THE NEW✓

delivery, overcomes isolation and enables the unemployed to develop skills and become pro-ductive. In my view it was not sur-prising the issue rose up the priority ranking in this year’s survey,” he says.


16 // NEWS

Penny Webster, Auckland Council.

Awards now open to Auckland farmersFARMERS IN the Auck-land region can now enter the Ballance Farm Envi-ronment Awards.

The awards facilita-tor, the New Zealand Farm

Environment (NZFE) Trust in partnership with Auckland Council will bring the contest to Auck-land and farmers can enter the 2016 event.

NZFE chair Simon Saunders says Auckland, as New Zealand’s big-gest urban market, “is also home to a large and diverse agricultural region with

dairying, sheep and beef farming, forestry, market gardening and horticul-ture”.

“We look forward to working with Auckland Council to showcase what farmers in the region are achieving in environmen-tal and economic sustain-ability.”

Auckland councillor Penny Webster, a former president of Auckland Fed-erated Auckland, says the contest will be great for the region.

“Auckland’s large rural constituency on the north-ern and southern sides of the city is an important part of the regional econ-omy. Anything we can do to help farmers improve their environmental sus-tainability is good for the region.”

Webster says the com-petition is also a good way for farmers to show urban Auckland that they take their environmental responsibilities seriously.

Auckland region’s northern boundary spans from South Head across to just south of Mangawhai, and out to Great Bar-rier Island. Its southern boundary encompasses Waiuku and Pukekohe and reaches across to the Firth of Thames.

Eleven regions are now

involved in the awards, Saunders says. The NZFE Trust is planning to ensure every farmer in NZ has the opportunity to enter the competition.

“Having Auckland on board is a huge step towards being able to offer a complete national scheme.”

Open to all farming and horticultural types, the awards promote sus-tainable land management by showcasing the work of people farming in ways environmentally, econom-ically and socially sustain-able.

All Auckland farmers, including orchardists, veg-etable growers and viticul-turists, are eligible to enter.

Entrants receive advice from competition judges on how to improve the sus-tainability of their busi-nesses.

Information sharing is a key aspect of the competi-tion. “Farmers in the Auck-land region will be able to share knowledge and expe-riences with farmers from the other regions involved in the Awards,” Saunders says.

Entries open on August 1. Entry forms are avail-able on the New Zealand Farm Environment Trust website:www.bfea.org.nz

BAY OF Plenty farmers will see a new face at DairyNZ discussion groups, with the arrival of consulting offi-cer Julian Reti-Kaukau.

He is one of four DairyNZ officers in the Bay of Plenty and will cover eastern Bay of Plenty including Whakatane and Opotiki.

In discussion group activity and events, consulting officers help farmers share knowledge and take infor-mation generated by DairyNZ R&D to farmers.

Reti-Kaukau says he is “looking forward to work-ing with farmers as they face their own challenges and opportunities”.

Reti-Kaukau has farmed around the country in var-ious ways.

“I had a good farmer as a role model who told me the best thing I could do, if I didn’t want to go to uni-versity straight away, was to farm different soil types nationwide. So that’s what I did.”

Reti-Kaukau has farmed in Kaitaia, Thames, Puke-hohe, Palmerston North and King Country over the past eight years and before coming to DairyNZ was an agriculture tutor.

New face in BoP team

WWW.SUZUKI.CO.NZ

SZM

0165 Off ers available until 31 July 2015 or while stocks last. Only available at Fieldays or participating Suzuki dealers. Prices are recommended retail excluding GST, savings shown include GST. Off er not available in conjunction with any other promotions.

DR200SE

TrojanFARMBIKE

$4,695 EXCLGST $596

SAVE($5,399.25 INCL. GST)

TF125

MudbugFARMBIKE

$2,995 EXCLGST $551


LT-A400F

KingQuad 4004X4 AUTO

$9,995 EXCLGST $1,001


LT-A500XP

KingQuad 5004X4 AUTO POWERSTEER

$12,995 EXCLGST $1,051


I joined the industry as a young motorcycle mechanic in 1984, about the

time when Suzuki invented the farm Quad, right here in Wanganui, where

we still serve the rural community from today. While others come and go,

we’ve been through thick and thin with farmers and we’re here to stay.

Suzukis are honest, reliable, built for the job and always well priced –

especially with our 2015 Tried and Trusted Fieldays deals.

Simon MeadeGeneral Manager of Motorcycle / ATV Marketing

SUZUKI NEW ZEALAND

especially with our 2015 Tried and Trusted Fieldays deals.

Simon MeadeGeneral Manager of Motorcycle / ATV Marketing

If you’re thinking farm automation, there’s one company thinking the same.

There are 4.9 million cows in New Zealand. That’s a lot. It’s a lot when you’re milking them. And it’s a heck of a lot when you’re trying to increase their productivity and profitability.

Which is where we come in.

At LIC, we started over a hundred years ago, improving the genetics of the national herd. But just as farmers are doing things that they never imagined

ten or twenty years ago, so are we.

In the early 1990s, we developed MINDA® that’s now the standard for over 90% of dairy farmers.

In 2003, we established the Protrack™

automated drafting system that helps farmers work smarter, faster and better. And this year we joined up with DAL, leaders in the technology of in-line milk monitoring systems.

Now we are LIC Automation. A company devoted to developing industry-leading, end-to-end automation systems for the dairy industry.

If you’re thinking farm automation, there’s one company thinking the same.

LIC Automation.


18 // WORLD

Record farm production buoys producersAUSTRALIAN FARM produc-tion is expected to top A$53 billion this year.

Latest figures from the Australian Bureau of Agricultural and Resource Economics and Science show the total value of farm exports in 2015-16 as A$41.8b.

“That’s money in the bank for the Australian farming and agribusiness sector at a time when it couldn’t be more important,” says Minister for Agriculture Barnaby Joyce.

Farm production value directly supports the livelihoods of Aus-tralian farmers and regional com-munities and makes a powerful contribution to the national econ-omy and the way of life of all Aus-tralians, he says.

“The Australian Government understands the importance of the contribution of agriculture to the national economy year in, year out.

“That is why this government has prioritised the opening of new export markets, reduced barriers

to trade, prioritised investment in R&D and productivity and reduced the burden of red tape on producers by A$24m.

The Abbott Government has made free trade agreements with China, Japan and Korea and opened six new live export markets in the last two years.

Joyce says expanding overseas market opportunities for Australian farmers is essential to the nation’s

bottom line. “Australian farmers are trading in a competitive market and many factors affect the prices they receive.”

The National Farmers’ Federa-tion (NFF) sees the record earnings not as a one-off, but as an emerging trend significant to the Australian economy.

The NFF says it is working to maximise Australia’s potential as an agricultural exporter, with the implementation of True Aussie – a premium brand for quality, safe and reliable food products, which will form a unified mechanism to strengthen Australia’s position in export markets.

About 80% of Australian agricul-tural produce is exported, and agri-culture is forecast to remain a strong contributor to export earnings in 2015-16 despite a slight decline in value to A$41.8b. Exports will be reduced as a result of improving sea-sonal conditions driving up domestic demand for livestock as producers seek to restock, it says.

Barnaby Joyce

Food labelling plan pleases Oz farmers

AUSTRALIAN DAIRY company Lion last month opened its specialty cheese making facility in Tasmania.

Lion says The Heritage is the largest specialty cheese plant in the southern hemisphere. $150m has been spent on its upgrade.

The plant is now among the world’s most technologically advanced for making specialty cheese. The work has improved the site’s capacity, capability, environmental impact and safety, the company says.

Lion chief executive Stuart Irvine says specialty cheese will be a key value driver for its business.

“This growing category is important to our customers. Lion is proud to be the clear

category leader, with a powerful portfolio of brands that Australians know and love – South Cape, Tasmanian Heritage, Mersey Valley and King Island.

“We have room to increase specialty cheese consumption and maximise the impact of our portfolio, and our strategy is focused on unlocking this opportunity. Lion’s investment in The Heritage is integral to this, as we work to optimise the performance of our supply chain and achieve competitive efficiency and scale.

“The expanded site will also help us grow capacity and capability to innovate in specialty cheese, ultimately driving higher margin sales that deliver sustainable returns to Lion and through the whole supply chain.”

A$150m upgrade for Tassie cheesemaker

AUSTRALIAN FARM-ERS are welcoming the Federal Government’s moves to improve country of origin labelling on food.

The Australian Gov-ernment has completed a two-month industry con-sultation process; con-sumers now have the chance to make submis-sions.

National Farmers Fed-eration president Brent Finlay says public con-cern over country of origin labelling has resulted in numerous inquiries, reports and proposals in recent years.

“Finally the Govern-ment has listened to farm-ers and consumers on the need to improve the domestic labelling require-ments,” he says.

The Government has come up with a series of options that could be used on food and bever-age labels with the aim of clearly communicat-ing that the product was made, grown or manufac-tured in Australia or how much of the ingredients in the product are locally grown.

Finlay says it’s not as easy as it sounds but we must have a system that improves consumers’ understanding of where their food comes from so they can make informed decisions.

“From a farm business perspective, labelling laws must be practical to imple-ment, not impose unrea-sonable costs and must not lead to adverse trade implications,” says Finlay.

“Any improved label-ling arrangements must remember that Australia is a net food exporter and must have a system that is equitable and does not compromise our export markets.

“We must also remem-ber that almost all Austra-lian agricultural produce is exported and while this announcement is wel-comed for the domestic market we also need to develop a national brand for Australia’s agricultural exports.

“Australian farmers want consumers to have clarity and make informed choices on the products on the shelves and the NFF will continue work-ing with the Government on the arrangements to ensure they are equita-

ble, clear and continue to provide Australian farm-ers with improved market access.”

Minister for Agricul-ture Barnaby Joyce said the work to improve coun-try of origin food labelling was to make sure Austra-lians had clear and con-cise information about the food they buy.

“Many consum-ers and food producers feel strongly about the need for clearer country of origin labelling,” says Joyce.

“It’s important that people can make informed choices about the food they buy at their local supermarket. We want Australians to have confi-dence in knowing where their food is coming from.

“Australians have asked for simpler food labelling and the Government has listened; now is the chance for people to have their say on simpler and more log-ical ways to present the information.”

Brent Finlay

When you’re serious about

SHELTER!

100% clearspan, up to 35m wide

Excellent natural light conditions

Even temperatures

Engineer certified, high wind and snow ratings

Robust TuffSpan covers for maximum lifespan

Heavy grade galvanised steel framing

Free 0508 SHELTER (743 583) Email [email protected] www.simpleshelter.co.nz

We come to you!Contact us NOW for your free information pack

Better feed utilisation saves you money

More milk through better cow wellbeingFaster growing, healthier calves


WORLD // 19

Egypt JV to broaden Arla’s reachEUROPEAN DAIRY co-op Arla Foods and the Egyptian milk processor Juhayna are to form a joint venture to sell Arla prod-ucts there.

Juhayna Food Indus-tries is Egypt’s leading processor of UHT-milk, yoghurt and juice. But it has limited production of butter, cheese and cream, in which Arla has special-ised in the Middle East and Africa.

“It is a good match for

both parties,” says Arla’s senior vice president of the Middle East & Africa, Rasmus Malmbak Kjeld-sen.

“Juhayna has a nation-wide distribution network, and we are not competing within the same product categories. Together we now get a broader product portfolio, which strength-ens the business of both parties.”

Juhayna owns 51% of the new company; Arla

owns 49% and will manage the business. The aim is to start local production in Egypt.

“We have built our entire business in the Middle East through coop-eration with local part-ners,” says Kjeldsen. “Arla excels at making joint ven-tures succeed, and that is

a business model we will use to establish ourselves in other African markets as well.”

The new company is expected to start with 40-50 employees and to have about 100 within the next year or two.

Egypt (pop. 90m) has a growing economy and

the purchasing power of consumers is increasing. Consumption of homemade dairy products is falling as people prefer commercially processed and packaged retail products.

Egypt has a limited number of supermarket chains, but countless small

one-person shops whose stock must be delivered to the door. Juhayna has developed a distribution net covering the entire country.

“Our products will now be able to reach all corners of Egypt. Today our busi-ness is merely scraping the surface, but [soon] we

will be able to drastically expand our distribution to reach millions of new con-sumers,” says Kjeldsen.

The new company, to be named ArJu Food Industries, will start sales in October 2015. Arla expects its revenue in Egypt to exceed $144 mil-lion in 2020.

Nestle digs deeper in ChinaTHE WORLD’S largest dairy company, Nestle is spending $23 million to boost its ice cream business in China.

The company has opened a new production line in Tianjin to produce its popular Nestle 8Cubes brand, and is increasing its cold storage capacity in Guang-zhou.

Nestle 8Cubes, available only in China, is a bite-size snack of individual ice cream cubes with a crunchy chocolate and sesame seed coating.

“This investment will enhance our ability to meet increasing consumer demand for our products,” says Ouyang Kai, vice president of Nestle Greater China region’s ice cream business unit.

“It also underlines our confidence in the long-term dynamics of the China market.”

Nestle has two ice cream factories in China, which produce Nestle brand products as well as the local brand 5Rams.

The 5Rams brand is known for its range of ice cream cones, which include flavours such as purple yam, lychee, and melon, as well as a selection of ice cream sticks in flavours including red bean, green bean and chestnut.

Nestle says it is looking to a long-term sustainable ice cream business in China.

“In the vibrant Chinese market, to expand produc-tion capacity and increase investment demonstrates our Chinese ice cream market confidence and deter-mination, and helps us meet growing Nestle consumer needs.

“We constantly strive to meet consumers’ desire for ice cream products of high quality, innovation and safety,” the company says.

Nestle plant in Tianjin, China.

www.lely.co.nz innovators in agriculture

EVOLVE.

REMOVE THE STRESS WITH A LELY CALM AUTOMATIC CALF FEEDER!The Lely Calm automatic calf feeder supplies the correct portion and concentration of feed at the right temperature, at the right time, 24/7.

• Continual optimisation of growth & development.• Economic benefits including labour saving &

lower milk costs.• Warm milk - just like drinking from Mum!• Feeds up to 240 calves.• Automatic cleaning cycle.• IN STOCK NOW and ready to install.Grow tomorrows high performing cow's today!

Call us today on 07 850 4050 or visit www.lely.com and let Lely do the hard work instead of you!

Look forward to this calving season!


RUMINATING

MILKING IT...

20 // OPINION

EDITORIAL

One rule – yeah rightIS THIS another example of the urban/rural divide in New Zealand?

Police in South Auck-land are letting unlicensed young Maori drivers off the hook if they catch them driving illegally: instead of fining them they are referring them for training.

Yet farmers caught riding quads without helmets are copping hefty fines. One Blenheim cou-ple were fined $20,000.

What’s happened to ‘one rule for all’?

What now for freebies?ARE DAIRY farmers responsible for providing breakfast to needy children? We don’t think so.

With the milk payout falling and little sign of a bounce-back in the near future, many farmers are struggling to break even. Yet, Fonterra is forking out nearly $20 million for milk for schools.

The management review of Fonterra should be widened to include freebies Fonterra is giving the community; these

might be a good public relations exercise but in these tough times every dollar should be returned to farmer shareholders, not thrown at a need the Government must take responsibility for.

Keeping abreast of researchLIKE IT or not, it’s another marketing coup for Lewis Road Creamery.

The owner of the hugely popular chocolate milk is making head-lines again. In a bid to raise money for breast cancer research, Lewis Road has emblazoned its blue top 1.5L organic homogenised milk with a red label reading ‘Breast Milk: the cow’s milk that funds the cure’.

For every labelled bottle sold (RRP $6.09) Lewis Road will donate 20 cents to Breast Can-cer Cure, the research foundation that originally pitched the idea to the dairy company.

The labelling move is slated by breastfeed-ing advocates but Lewis Road Creamery says it did not intend to mislead customers.

Consumers think it’s a brilliant marketing ploy.

Going gaga SHE WEARS skin and meat every day, is known as Lady Gaga and is the top performer among her peers.

A cow named Lady Gaga has taken home the top prize from the German Holstein Show in Oldenburg, making her the closest thing to a ‘Miss Germany’ in the bovine world.

Gaga beat about 200 competitors from all over Germany and Luxem-bourg to take the coveted ribbon and be known as Grand Champion for two years.

THEY SAY good things take time.However, the time taken by Trans Pacific Partnership (TPP)

negotiators is testing the patience of stakeholders; doubt is set-ting in among the 12 countries involved.

A number of deadlines have come and gone; even the so-called ‘end game’ has been with us quite a while. Yet an agree-ment still seems far, far away.

The recent move by the US House of Representatives to deny President Obama the power to fast-track negotiations has deliv-ered a blow to the faltering TPP talks.

Even the New Zealand Government, once optimistic about TPP despite the passing deadlines, is in doubt.

Back in 2011 TPP leaders committed themselves to conclud-ing a “high quality, ambitious and comprehensive” agreement. It’s now not clear whether the TPP will live up to this vision.

Most commentators agree that a number of issues continue to hamper the conclusion of the negotiation. One of them is dairy, among the most highly protected product groups globally. For example, Japan and Canada have import tariffs on dairy prod-ucts exceeding 200%.

The US is also reluctant to open its borders to dairy products from NZ. TPP outcomes must be ambitious, comprehensive and commercially meaningful for dairy and other products; anything less will be unacceptable to NZ dairy farmers.

Free trade agreements are complicated; all countries need to give a little in order to achieve the greater good. But substance must shape the negotiating agenda.

TPP will be completed once negotiators have developed con-sensus positions to put to ministers. Right now this seems far, far away. With the US turning its attention to presidential elec-tion primaries, a two-year delay seems inevitable.

The lack of progress means some TPP economies have already departed from consensus on the main issues.

Australia and Japan, for example, concluded a bilateral FTA that sets a low benchmark for liberalisation and the US and Japan may well have agreed – though we don’t know for sure – that some tariffs will remain.

New Zealanders negotiate trade agreements because we seek advantage as a trading nation. Our domestic market is small and our access to local capital is limited, so we need to look exter-nally for growth and development.

And international markets have not always been kind to NZ. We learned here a generation ago that protection is the worst enemy of innovation and competitiveness. That same penny is beginning to drop in Canada, the US and Japan. Yet their politi-cians are unwilling to play ball, leaving TPP’s future up in the air.

TPP’s future up in the air

Head Office: Top Floor,29 Northcroft St, Takapuna,Auckland 0622 Phone 09-307 0399. Fax 09-307 0122

Publisher: Brian Hight ...................... Ph 09-307 0399 Editor: Sudesh Kissun ................ Ph 09-913 9627 Sub Editor: Neil Keating .................... Ph 09-913 9628 Machinery Editor: Mark Daniel ...................... Ph 07-824 1190 Reporters: Peter Burke ....................... Ph 06-362 6319 Pamela Tipa...................... Ph 09-913 9630 Andrew Swallow ............ Ph 021-745 183 Tony Hopkinson ............. Ph 07-579 1010 Subscriptions: Julie Beech ...................... Ph 09-307 0399 Production: Dave Ferguson ............... Ph 09-913 9633 Becky Williams ................ Ph 09-913 9634 Website Producer: Emily Gordon .................. Ph 09-913 9621

Dairy News is published by Rural News Group Limited. All editorial copy and photographs are subject to copyright and may not be reproduced without prior written permission of the publisher. Opinions or comments expressed within this publication are not necessarily those of the staff, management or directors of Rural News Group Limited.

ABC audited circulation 27,822 as at 31.03.2015 ISSN 1175-463X

Postal Address: PO Box 331100, Takapuna, Auckland 0740 Published by: Rural News Group Printed by: PMP Print Contacts: Editorial: [email protected] Advertising material: [email protected] Rural News on-line: www.ruralnews.co.nz Subscriptions: [email protected]

NATIONAL SALES MANAGER:

Ted Darley ........................... Ph 07-854 6292, 021-832 505

[email protected]

AUCKLAND:

Stephen Pollard ................... Ph 09 913 9637, 021 963 166

[email protected]

WELLINGTON:

Ron Mackay ........................ Ph 04-234 6239, 021-453 914

[email protected]

SOUTH ISLAND:

Kaye Sutherland ..............Ph 03-337 3828, 021-221 1994

[email protected]


OPINION // 21

FONTERRA HAS announced a best-guess payout forecast of $5.25/kgMS for 2015-16.

The bigger surprise was the final payout for 2014-15 of $4.40/kgMS, down another 10 cents.

Let’s look at what that could mean for your farm business for the next 12-18 months.

If you have not yet run a cashflow budget for the next 12 months, now is the time. If you do not know where to start, or what prices to use, call your banker and ask him/her to help you.

The sooner you take stock of reality, the better you can make accurate decisions. Banks can be more accommodating if a plan is in place, monitored and adhered to.

Zero-budgeting is a good way to create a budget. This takes time, but it drives better cost-control. Zero-budgeting means you go through each category in the budget, line-by-line, and cost out what the major items will be. These should be the ‘must-have’ items, not the ‘nice to have’ items.

Setting the budget is the starting point. Monitoring against actuals helps guide you as the season pro-gresses, meaning timely decisions can be made (use of financial packages like Figured or Cash Manager can make this easier).

Given the current payout and likely low prices for 6-12 months, an obvious question cen-tres on what can be done to reduce costs. There are no silver bullets, but care-ful consideration of costs is a must.

Areas to target vary from farm to farm; each farm has its own areas where the best efficiency gains can be made. Generally, the biggest cost items should get the most attention, such as feed – 32% of farm working expense (FEW) – which has doubled in the past 10 years from $0.80/kgMS to $1.60/kgMS.

At 11% of FEW, fertil-iser can also reduce costs. If soil pH is above 5.8, no

lime is needed. If Olsen P levels are >30-35, phos-phate can be withheld for two years with little to no effect on pasture produc-tion. And K and S leach, so reductions here should be done carefully, backed up by plenty of good soil test data.

Wages are also a big part of FWE (19%), and this may or may not be able to be reduced. Perhaps the relief milker will be used less this year?

Repairs and mainte-nance account for 10% of FEW and can be deferred to other years. But this is merely delaying what is normally sound invest-ment, and it should be done with care.

Animal health also needs to be looked at, even though this is lower at typi-cally 7% of FWE. In animal health expenses, large dif-ferences exist between farms. Zero-budget this area to cut out the extras. Ask yourself, did I farm effectively before using this product?

One of the biggest uncertainties we’re now dealing with are signifi-cant swings in dairy payout within seasons. Plans made in June can be totally out of alignment with reality six months later, which is exactly what we saw last season.

This highlights the need to monitor budgets and adjust accordingly but it also shows that your farm system needs to be robust enough to handle large changes in payout.

Does your farm system and financial position allow you ride through two tight years and one good year?

I recommend you stick with the farm system that works for your personal and your farm’s physical strengths (ie. as opposed to alternating between sys-tems, according to the cur-rent or forecast payout).

Run your farm through the comparative stocking rate tool to see where your farm sits; see if you are under- or over-stocked for the amount of total feed running in the system.

There is a healthy ten-sion between production per cow and per hectare that needs to be found.

DARREN SUTTON

Plan to regain the driving seat, regardless of payout

To maximise profitabil-ity, your farm should be in the range of 75-80kg live-weight/tonne of feed sup-plied.

Check out DairyNZ’s calculator on their website.

Finally, don’t ignore

the facts, and don’t pro-crastinate. Seek help from people around you – friends, neighbours and rural professionals.

Get to a DairyNZ Tight Times field day to pick up tips that you can apply to

your farm.A plan in place and

closely monitored should put you back in the driv-ing seat of your business, regardless of payout.• Darren Sutton is an LIC FarmWise consultant. Darren Sutton

250,000,000 to 1

THE ODDS OF BEING HIT BY A FALLING COCONUT:

Restricted Veterinary Medicine. Available only under Veterinary Authorisation.

THAT’S STILL BETTER ODDS THAN US RUNNING OUT OF COPPERGUARD®

A bold statement and one that we firmly stand behind. Ever since COPPERGUARD® was introduced to the New Zealand market we have become the most reliable source of injectable copper for New Zealand’s farmers and vets.

With COPPERGUARD® you can treat copper deficiency on your farm with confidence, knowing that COPPERGUARD® is made in New Zealand for New Zealand conditions and is an easy to inject formulation which won’t block the injector gun.

Best of all, you’ll always know that there will be stock available when you need it.

Your vet knows the science and benefits behind COPPERGUARD® and how it can add value to your farming operation. We entrust COPPERGUARD® to your veterinarian - your animal health expert.

VIR_0

351_

DN_2

8x5

COPPERGUARD®


22 // AGRIBUSINESS

Volatility new norm for farmingRECENT EVENTS confirm that unexpected change and volatility have become the norm for farming. They highlight the need for farming businesses to get better at measuring the impact of new scenarios for proactive risk management and

enhanced business resilience.

While this requires more detailed planning, the benefit is increased agility to respond to the unexpected in a positive way.

Current fluctuations in dairy prices are a prime example. After

record returns last season, prices have now slumped well below the cost of production. This contrasts with the positive forecasts and sentiment about prospects for dairy returns that have dominated industry and media forums

in the last few years. Understandably, many are struggling to integrate this new trading environment into their budgets and strategic plans.

No matter how well businesses have done their homework, few will have anticipated the extent of change being

experienced. It seems we are in a phase where the randomness of factors influencing markets demands a rethink of traditional forecasting techniques.

Success in this relies on a mix of planning for the future, learning from the past while striking a balance between ‘controlling the controllables’ and letting go those things beyond immediate control.

To be effective, budgets must be based on credible assumptions for business performance and market trends. To accommodate volatility these now need to be calculated on product price and cost ranges rather absolute estimates. This enables quick assessment of the impact of change through budgets that measure ‘sensitivities’ rather than ‘certainties’.

Until now farming businesses have been relatively one-dimensional in their focus on product prices as a determinant of profit. This risks incomplete assessment of business outlook compared to budgeting that places more emphasis on trading margins. Awareness of cost structures against the impact of changing product prices on profit is increasingly important.

Another component of effective forecasting is the ability to learn from history. This applies to everything from climate trends to physical and financial performance. Obviously technology can make a significant contribution here, however I have seen many situations where people have had simple but effective manual recording systems for what’s happened on farm.

This enables identification of similarities between emerging scenarios and past events. Such information can contribute to a pragmatic ‘been there, done that’ philosophy in the face of challenging situations. It reminds farmers that while the circumstances confronting their business may be unexpected, they are often not too different

from many of the things overcome in the past. Recognising this increases confidence and self-belief to overcome adversity.

The final ingredient is commitment to ‘controlling the controllables’. This means focusing on areas of influence rather than getting caught up in issues beyond the operation’s direct control.

An option slowly being adopted by New Zealand operators is the ability to fix trading margins. This involves having certainty about key contributors to cost structures and product prices. An example of this is the recently introduced option to secure guaranteed milk prices for a portion of supply as offered by Fonterra over the last couple of years. Interestingly this is reported to have been undersubscribed.

Taking opportunities to fix revenue complemented by proactive management of fixed interest rates and contract rates for feed inputs is likely to be ‘business as usual’ for farming in future.

This more comprehensive approach to forecasting will enable a more agile and timely response to ‘left-field’ events. We can no longer rely on extended lead times that enable anticipation of negative trends. It’s now a matter of defining what these might be and designing response strategies that can be implemented at short notice.

When this is combined with a ‘no surprises’ culture built on high-quality banking relationships, best practice staffing strategies and credible professional advice this strategy can significantly strengthen the business.

Yes, farming is becoming more complex. The big payback from these systems is development of farming operations that can move quickly to capture opportunity that would not exist without change.• Kerry Ryan is a Tauranga agribusiness consultant. Contact him at www.kerryryan.co.nz

Registered pursuant to the ACVM Act 1997, No. A10777See www.foodsafety.govt.nz for registration conditions.

Phoenix Pharm Distributors Ltd PO Box 31-363, Milford, Auckland, New Zealand

Telephone: 09 476 7391 Email: [email protected]

Ask your Veterinarian – Restricted Veterinary Medicine

A vaccine against calf scours … with SIGNIFICANT cost advantages!Rotagal vaccine is an effective aid in the prevention of calf scours caused by bovine rotavirus and coronavirus, and E.coli.

Benefits for the farmer• Cost competitive• Two convenient pack sizes

– 90 ml (30 doses) and 450 ml (150 economy dose pack)• Subcutaneous or intramuscular administration with minimal

site reaction issues• Only one shot for previously vaccinated cows• Distributed by Phoenix Pharm Distributors Ltd, an independent

wholly New Zealand owned and operated company• Quality product – proven to work in New Zealand• FREE administration gun

FREE ADMINISTRATION

GUN

culture and plans a dairy proposition soon. They visited to look at how New Zealand does dairying and our levels of expertise.

Vietnam has a lot of dairy technology and expertise so there are opportunities in consult-ing, farm management, services and breeding pro-grammes and milking systems – the whole spec-trum, says Martin.

The average GDP in Vietnam is about US$2000 so people don’t go to the supermarket and buy three 1kg blocks of cheese each week.

“But certainly in food service there are a lot of fantastic resorts and hotels for the tourist trade that provide great oppor-

tunities for New Zealand companies to export our value added products up there,” says Martin.

“Over time, as Viet-namese consumers and consumers right across the Asia region increase their protein intake there are opportunities for other types of products – yoghurts, cheddars and other protein rich dairy based products.

“At New Zealand Trade and Enterprise (NZTE) we try to find where the pock-ets of growth are for NZ companies that intend to export to that part of the world.

“If they are persis-tent and keen to look at a longer term strategy then markets like Philippines,

Vietnam and Indone-sia, and to a lesser extent Myanmar, are great for New Zealand type prod-ucts.”

Although not as famil-iar with other Asian coun-tries as he is with Vietnam, Martin says he knows the Philippines is keen to increase its own produc-tion but faces the same challenges as Vietnam with the climate and does not have as much access to good farm quality land as other places.

“The same formula applies: we produce the best dairy in the world, we have the best systems, milk production, milk quality and food safety and our products are perceived as being premium.

“So in the short term there are lots of export opportunities for New Zealand products in those markets. Longer term we will see more of this trend – our expertise moving from just shipping our product in containers to shipping our intellectual property and our exper-tise. We are world leaders in this area.

“We have free trade agreements with ASEAN nations so we get really favourable import duties and it is good way to facilitate trade between countries because these countries know they can’t do it all themselves.

“So for the most part they are supportive in helping us to introduce


24 // AGRIBUSINESS

Vietnam offers big opportunities – trade commissioner

VIETNAM OFFERS big opportunities for smaller New Zealand dairy compa-nies, says New Zealand’s trade commissioner and consul general in Vietnam, Tony Martin.

The opportunities lie in both actual dairy prod-ucts or in products, ser-vices and expertise to help Vietnam develop its own dairy industry, Martin told Dairy News.

Vietnam has plenty of arable land and has his-torically grown products like rice, coffee and tropi-cal fruits. But with 90 mil-lion population, growing wealth and changing diets, people want more protein.

“Dairy is a big part of that. Vietnam imports about 70% of its dairy; there is no way they can produce enough to sat-

isfy 90 million people’s demand, so it is a big export market for New Zealand milk powder which is great,” says Martin.

“Longer term, Vietnam wants to push its own pro-duction of dairy just to keep up with the demand. But even though they cur-rently import 70% of their dairy, in 15 years they will probably still need to import that proportion.

“But they need to invest in growing their own dairy production at the same time, so we have a multitude of companies that have fantastic exper-tise and capability in the areas Vietnam is looking for.”

They need help in establishing good breed-ing programmes for dairy cattle, develop-ing good milking systems and establishing integrity through supply chains to

manage food safety. “At all these types of

things New Zealand is world class. There are great opportunities for New Zealand companies to partner with businesses in Vietnam and in other countries in similar situ-ations around the world,” Martin says.

Vietnam’s dairy sector is dominated by three big players, one local player and two international companies. The remain-ing 25-30% of supply is small-time farmers with two-three cattle. To grow the overall size of the market, investors are coming in to challenge the bigger players, Martin says.

A delegation came to National Fieldays repre-senting a big Vietnamese conglomerate with inter-ests in commercial and residential property but it wants to invest in agri-


Vinamilk, Vietnam’s biggest dairy company has a 17% stake in Miraka Dairy, Taupo.

PORTABLE MILKING MACHINESSuitable for dairy farmers, lifestylers, and calf rearers• Cow/goat or sheep• Petrol or electric• Single or double units• Kitsets or portable

set up• 12 month warranty

TEST BUCKETS• 304 stainless steel• 25 ltr or 30 ltre• Hygienic, easy to clean• Bottom handle for easy

lifting/balance• Robust clear view lids• Polycarbonate options

available• 12 month warranty

Phone 09 283 3425 • Mob 021 519 507email: [email protected] www.milkingsolutions.co.nz

These can be used by dairy farmers who want to milk early calving cows without having to start up your milking plant. If you are calf rearing or need to

milk just one or two cows then this is an ideal set up

$2295Incl. GST/Delivery

to main freight depot

$199Incl. GST/Delivery

FROM


AGRIBUSINESS // 25

Vietnam offers big opportunities – trade commissioner

FOREIGN DOESN’T MEAN TOO HARD

NEW RESEARCH just completed by Tony Mar-tin shows many New Zealand firms could be missing good export opportunities in emerging markets.

As a masters student, Martin has just completed a thesis with Massey University on how small businesses select their export markets and find partners to do business with. He focused on the food and beverage sector because of its importance to the NZ economy.

He says there is a trend for smaller NZ com-panies to select markets they are familiar with rather than consider broader options.

“There’s a level of comfort or familiarity about countries we know more about and are more culturally aligned with, such as Australia, the UK, the US, Singapore and Hong Kong,” Martin told Dairy News.

“They are much more front-of-mind for a lot of our smaller and medium sized companies than, say, Asia, South America or the Middle East.

“The point of the research was to see if that is influencing the way small companies start their internationalisation process. The research told me that when the companies want to ac-tively go out and develop international markets they normally will follow the path of those more familiar countries, so they go to Australia, UK, US and so on.

“But if they get an inquiry or an order for a product from a country they don’t know much about, one they are less familiar with, then sometimes that can be a catalyst to become interested in that country. But it is very rare for them to proactively go out to these less famil-iar countries.”

Some companies are unaware of the op-tions which would help break down some perceived notions about these less familiar countries. “So when a country has language, or cultural or historical differences, it doesn’t nec-essarily mean it is more difficult to do business in than a country we are more familiar with.”

NZTE has offices in these countries and people who speak the languages. “We have people who understand the culture and can help to facilitate entry into these markets. The attractive thing about many of these emerg-ing markets, or markets we are less familiar with, is they are growing rapidly and they want products we produce.

“The point of this research is not to open the floodgates and say ‘everyone should be com-ing to Vietnam’ or ‘everyone should be going to Indonesia’. It is about [indicating to] companies where the opportunities lie and with NZ Trade and Enterprise we follow where the companies want to go and that works well.”

But there is a need to better inform NZ com-panies about opportunities in markets they are less familiar with.

our companies to busi-nesses in Vietnam and other countries across that region.

“It is not a quick get in, get the job done and get out [scene]. Like many markets in that part of the world it is very rela-tionship driven and you have to spend the time to understand the market and get to know the people. It’s not a transac-tion, it is a relationship.”

Vinamilk is the biggest

dairy company in Viet-nam, it has about a 50% market share of consumer product sold in Vietnam and is a famous brand in Vietnam. It has been very successful in expand-ing distribution and pro-duction capabilities. It has about a 17% share in the Maori dairy company Miraka.

“Vinamilk is very smart, has a good connec-tion with New Zealand and it is a huge advantage for

them to have that invest-ment. It gets them much closer to our industry.

“This is part of the trend that will continue. It makes it interesting and a bit challenging for us because on the one hand we want to increase the growth of our high end, good quality prod-uct exports out of New

Zealand. When it gets to market, in some cases it will be on the supermarket shelves competing with other companies we are dealing with on a domes-tic basis who are trying to increase their own pro-duction. We are mindful of this.

“But pointing in the right direction is that over-

all demand is increasing significantly, so we have to look at both sides of the equation in devel-oping trade with Vietnam.”

New Zealand Trade Commissioner in Vietnam, Tony Martin.

SUPERIOR KOREAN QUALITY

0800 432 336

www.kiotitractors.co.nz

BUY NOW, PAY NEXT YEAR

PX1002 (100HP)

PX9020 (90HP)

0% interest on finance until Feb 2016. Terms & conditions apply. Minimum of 10% deposit required (or your trade). Total GST to be paid in month 3. Consult your Power Farming dealer for specific terms & conditions. Loaders come with 4 in 1 bucket. Loaders pictured may vary from those supplied. † Conditions apply. Valid While Stocks Last

+ G

ST$49,995KIOTI PX TRACTORS FROM

INCLUDING LOADER -S/L WITH 4 IN 1 BUCKET

4 YEAR, 2000 HOUR • Power Train Warranty

• 32x32 transmission with creep & hi lo• Multi wet disc clutch/powershuttle• Auto 4WD

Drive a brand new, Kioti PX tractor off a Power Farming dealer’s yard today and make no repayments – and pay no interest whatsoever – till February 2016.


26 // MANAGEMENT

The sensor is attached to the cow’s tail and alerts the farmer an hour before calving.

Text alert sent before calvingWHEN IRISH farmer Niall Austin lost a cow and calf during an unex-pected difficult calving, he decided to act.

Believing the deaths

could have been prevented if he had been there to help, Austin began looking for a solution. He wanted to avoid using an invasive device, believing instead

that tail movement could help anticipate calving.

Four years of prod-uct development later, Moocall was launched commercially in Ireland in January 2015. The sensor is said to have won many design awards.

The device is to go on sale in New Zealand and Australia via au.moocall.com and through local dis-tributors.

Non-invasive sensors connected to the cow’s tail detect when birth-ing is imminent, sending an SMS text message alert directly to two mobile phones. Moocall mea-sures over 600 data points per second to determine the onset of calving, then sends the alert.

To date, Moocall has sold devices to 2500 farms in 16 countries and about 10,000 calves have been born using it.

After receiving the first text message the farmer will have on average an hour’s notice before the cow calves. Easy calv-ings may result in shorter notice periods and diffi-cult calvings could gener-ate a text two-three hours

before; a second reminder text is sent one hour after the first text.

The calving sensor has an embedded smart m2m sim that can work over dif-ferent networks, even on remote farms.

Austin says there can be black spots on some parts of a rural farm. “Our calving sensor can pick the strongest network to help ensure a text is delivered at the right time,” he says.

How many Moocall devices does a farmer need?

Austin says one device is adequate for a farm with up to 50 head. “Farmers know their stock and if they manage the placement of their device well, they can capture as many as six-seven calvings per week with just one device.

“Bigger farms may require more than one unit. Pedigree breed-ers may also benefit from more than one unit.

“Farmers are less likely to require notifications when the bulk of their herd is calving, as the herd tends to be more closely supervised at this time.”

Moocall devices are particularly valuable to farmers in the following circumstances:

■ Early or late calvers (stragglers) ■ Heifers ■ Nighttime calving ■ Pedigree breeds where vet assistance is

often required ■ Farmers with other jobs which keep them

away from the farm ■ Where there is distance between the farm-

house and the herd or calving sheds.

CALLING FOR HELP

Niall Austin.

®Sprinter and Priority Partnership are registered trademarks of Nufarm Ltd.

For more information phone 0800 683 276or visit us at nufarm.co.nz

This high-strength 2,4-D liquid amine broadleaf herbicide has a unique, high-tech dual salt formulation that enables faster translocation of active into the weed. And it’s safer on clover than traditional 2,4-D ester formulations. So what are you waiting for, sprint into your nearest rural stockist.

BE FIRSTOUT OF THE BLOCKSWITH BROADLEAF WEED CONTROL

IN ESTABLISHED PASTURE

Sprinter® 700DS uses the power of dual salt technology to clean up broadleaf weeds in established or permanent pasture.

BT3509


MANAGEMENT // 27

THINK AGAIN about the benefits to be gained from farm environmental planning, says consultant Charlotte Glass.

Glass, who this week will lead Ravensdown’s ‘getting started with farm environmental planning’ workshop at the South Island Dairy Event (SIDE), says many regional councils have chosen to use farm environmental plans (FEPs) to ensure farmers meet environmental obligations.

“FEPs are increasingly becoming mandatory condi-tions for resource consent for particular land uses or prac-tices,” Glass says.

“But if you take time, plan ahead and understand the FEP process, you will see opportunities to optimise your business. Look at it as a successful way to manage environ-mental risk and future-proof your farm. You can add real value now and in future.”

Glass comments that, for example, GST and National Animal Identification and Tracing, originally thought to be a hindrance, have turned out to be beneficial planning tools.

“When GST returns were first required, it seemed like there would be no benefit, but in fact it helped farm-ers focus on budget and variance reporting and for many, provided the necessary prompt to focus more regularly on the financial side of the business.”

The SIDE takes place at Lincoln University from June 22 to 24. Ravensdown’s workshop, presented by Glass and Ravensdown farm environmental consultant Anna McLachlan, will walk farmers through the nutrient man-agement and irrigation sections of DairyNZ’s Sustainable Milk Plan (SMP).

The SMP, now being developed, is designed to be a nationwide standard template that meets the require-ments of regional councils and milk companies. It is the same as a FEP.

The FEP process is new territory for the industry and only a few professionals have the knowledge and training required to produce plans. Regional councils are also at dif-ferent stages in deciding how to monitor environmental obligations. “It’s a complex picture, so it will take time to develop and refine,” Glass says.

There’s no quick fix for the highly invasive tutsan.Tutsan control dilemma

A STUDY by AgResearch of highly invasive tutsan (Hypericum androsae-mum), has found there is no quick fix for controlling and eradicating the weed.

Fertiliser co-op Ravens-down sponsored the study.

Found throughout New Zealand, Tutsan is unpal-atable to livestock but can be harmful if ingested. Like St John’s Wort it contains hypericin, which causes photosensitisation and extreme skin sensitivity (hyperaesthesia) in cattle.

In the past tutsan has been held in check by tutsan rust (melampsora hyperi-corum), but in the central North Island the plant is showing resistance to rust and spreading rapidly in hill country.

“The biggest problem with controlling tutsan at the moment is that the most effective herbicides are toxic to clover, which

is counter-productive in the type of country where this weed is an issue,” says George Kerse, Ravensdown business manager agro-chemicals.

“In the absence of other solutions such as biological control, some farms might have to use chemical con-trols and sacrifice clover growth, though the fact that there is no damage to grass lessens the impact,” he says. It can take 6-12 months for clover to re-establish after spraying.

Products that con-tain triclopyr and picloram appear to be the best avail-able option at present, but these still require repeat treatments. Ravensdown’s Eliminate Brushkiller con-tains both ingredients.

Biological control options are still being explored by the Tutsan Action Group, founded in 2011 and supported by the

Potential benefits in compliance framework

Sustainable Farming Fund. Tutsan Action Group chair-man Graham Wheeler says progress on biological con-trols is promising, but still a way off.

“Most important is that farmers need to deal with the weed as soon as it appears,” he says. “Tutsan isn’t only a problem on poor land and if outbreaks are

not dealt with [promptly] the weed will spread.”

The study says it is important to control iso-lated plants and to re-plant bare sites with more desir-able, competitive species. Improving fertility can help prevent seedling growth and this must be supported with the application of fer-tiliser, oversowing with

desirable species and stock grazing.

“There is no silver bullet available now which can solve the tutsan problem,” George says. “While we will continue to hope for a breakthrough biological treatment, at present chem-ical control supported by sound management prac-tices is the only option.”

ON FARM SUPPORT

SERVICE

YOUR FORMULA FOR QUALITY MILK

QUALITY PARTNERSHIPS

FIL TEAM WORK Attention to detail, preventative techniques and team work is how we work at FIL.

Our Area Managers are 100% dedicated to helping farmers produce quality milk

We’re well trained and experienced when it comes to dairy hygiene and healthy udders - and want to be part of your team.

+ We’re all about empowering your team

We believe it’s really important to arm your staff with best practice solutions for optimal dairy hygiene and animal health.

Here are some things we can help out with:

Managing on farm costs with tailored teat spray and hygiene systems

Checking your equipment and application

Empowering your staff by training them on chemical safety, mixing and dilution rates, application of teat sprays and farm dairy wash procedures

Trouble-shooting hygiene or mastitis issues

Team work, hands-on knowledge, quality milk. It’s a pretty simple formula.

RIGHT PRODUCTADVICE

To speak to your local FIL Area Manager, please call 0508 434 569 or visit www.fil.co.nz


MANAGEMENT // 29

Feed data to grow profit from supplements

TWO UNIVERSITY graduates are on an expenses-paid trip to Holland to study herd management via scholarships from CRV Ambreed.

Nicole Steele, Massey University, and Peter West, Lincoln University, will visit the company’s head office in Arnhem to learn about the AI industry and CRV’s herd management work.

Steele graduated MSc (animal science) last year but she won her scholarship in 2012. She says she is looking forward to learning more about dairy systems in Hol-land and will use the knowledge in PhD studies next year.

“I want to gain more knowledge of the challenges faced by dairy farmers globally, the level of farmer par-ticipation in herd improvement schemes and CRV’s work in disease control and prevention using genet-ics and breeding.

“Ultimately I want to help New Zealand farmers be competitive with the rest of the world. This trip will help me to get a greater appreciation of the dairy indus-try across the world, which I haven’t been able to get from my university studies alone.”

West, BSc (Hons), graduated in 2012 and is now a project analyst at Farm Source, a Fonterra subsidiary.

“New Zealand’s dairy industry is coming under greater pressure globally. This trip will provide a chance to learn more about the dairy industry over-seas and bring those learnings back to New Zealand,” says West.

CRV Ambreed offers two scholarships each year to an undergraduate science student from Massey and Lincoln universities. Now in its fifth year, the scheme has paid out $150,000.

Scholarships take graduates to Holland

FEED SUPPLIER GrainCorp Feeds has teamed with indepen-dent research and techni-cal specialist Dairy Club to help GrainCorp dairy farmer customers using supplementary feed to achieve maximum profit.

The farmers will have access to Dairy Club’s online milk prediction tool Tracker which mea-sures milk production and shows how they can achieve maximum gain.

Dairy Club research shows that about $200,000 of efficiency and productivity gains for the average farm can be achieved using Tracker, which is the equivalent to adding over $1.50/kgMS to the milk price.

“We feel it is more important than ever to focus on how we can help farmers achieve prof-itable milk production,” said GrainCorp Feeds gen-eral manager Daniel Cal-cinai. “We will work with customers to identify the potential on their farms

and work on cost effective options for productivity, health and fertility for the short, medium and longer term”

GrainCorp Feeds’ terri-tory managers will be able to use Tracker to show farmers what’s happening on their farm, where the gaps are, and then make recommendations for feeding, including when to feed, what to feed, and what that means to them financially.

Dairy Club’s James Hague says the types of feeds used are critical to achieving better feed con-version efficiency from the whole diet.

“In the end, Tracker helps farmers plan and measure feed conversion efficiency and the margins they are making. They’ll see their progress week-by-week which will allow them to make changes quickly to maximise their production.”

Calcinai says it is essen-tial that the investment farmers make into supple-

mentary feed achieves a good return, otherwise it is just a cost.

“This is why we are investing in tools and sys-tems that give our cus-tomers the option of increasing support to achieve profitable results,” he said.

Colin Templeton (left) and

Kim Johnstone (centre) of

GrainCorp Feeds, and Ken Winter

(right) of Dairy Club at

National Fieldays.

HEALTHY UDDERS

To get your hand’s on FIL’s specialist teat spray, call 0508 434 569 to get in touch with your local FIL Area Manager

YOUR FORMULA FOR QUALITY MILK

FIL IodoshIeLd ActIve

IodIne based teat spray to control mastItIs

manuka honey to help nourIsh cracked, and chapped teats

23g/l IodIne and 55% mIxed emollIents

SERVICETEAT CARE


30 // ANIMAL HEALTH

Teats help calves growth from day oneCALVES THAT suckle on Peach Teats have higher growth rates than those which don’t, accord-ing to trials commissioned by its maker Skellerup.

Calf rearing expert Dr Bas Schouten was in charge of the project – small-scale observa-tion trials on spring- and autumn born calves, the

company reports. Schouten measured

liveweight gain and growth rates in the first seven days, and compared other key calf performance indicators including speed of drinking, curdling, rate of metabolism and lactose absorption.

Dairy farmer and Peach Teat founder Robert

McIntyre says the consis-tency of results for Peach Teats are familiar to hun-dreds of rearers who have used them for 20 years. “They’re the gold stan-dard for discerning rear-ers… and this is why,” McIntyre says.

For optimising calf development from day one with a view to rear-

ing better, longer lasting heifers with less genetic wastage, good teats are essential.

“A calf that struggles to get started on a teat never catches up. Think of how much has been invested in getting that calf on the ground in the first place, and the expectation of her future productivity;

no wonder using the right teats is a priority.”

If farmers aren’t feed-ing these calves prop-erly, they’re wasting time and money already spent on producing the calves, and compromising their growth, development and performance.

McIntyre says Peach Teats were used in a recent Swedish study, in which calves were fed specifically for high daily growth rates and achieved up to 1kg liveweight per day.

Peach Teat is designed to simulate natural feed-ing, squirting milk into the calf ’s mouth as during real milk let down, delivering a full mouthful with less effort.

This season Skellerup will donate 10c to the IHC for every Peach Teat sold during June.

The company’s national manager Perry Davis says rearers like the teats because they’re effective, easy to clean and fit virtually any feeder, and they are ideal for sick or weak calves. “With non-valve teats, milk is often pushed back into the feeder and weak calves can

struggle to get a proper drink.” But Peach Teats have two valves: a primary flap valve at the back of the teat, which closes when the calf suckles to ensure milk is squirted out the end of the teat; and a secondary valve, which uses trans-verse slits at the nipple end of the teat to minimise leaking.

This means the calf does not have to work hard getting milk from the feeder.

Davis says the bene-fits of Peach Teats can be quantified via a few simple questions: how many calves do I plan to have in each pen? how many people do I have available for the job of looking after those calves?

“If you have two staff raising 500 calves, for example, it’s unlikely those staff will get around the calves more than once a day, so they need to know the calves are all drinking well.

“And how experienced are the workers? How much time will they have for cleaning and hygiene?”Tel. 0800 475 355

Dr Bas Schouten

Suckling on Peach Teats help calves growth, according to new trials.

NOW READ IT ONLINEREADING THE PAPER ONLINE HAS NEVER BEEN EASIER

■ BREAKING NEWS

■ MACHINERY REVIEWS

■ MARKETS & TRENDS

■ MANAGEMENT STORIES

■ COMPETITIONS

■ AND MUCH MORE...

All the latest stories and more at www.dairynews.co.nz

Any farmer who’s seen an outbreak in their district will tell you the fi nancial,

personal and emotional consequences are huge. But when you have NAIT in

place, you can contain the disease and its devastating e� ects swiftly. When

everyone in the supply chain uses the NAIT system e� ectively, everyone

benefi ts and your community can thrive. To play your part, tag and register

your animals with NAIT. To learn more, visit nait.co.nz

OP

SJ0

48

9

An OSPRI programme

John, Dairy farmer, Waikato

“ We have the tools toprotect our industry.

Get on board with NAIT

for everyone’s sake.”


FEED/ANIMAL HEALTH // 31

Farm System 1 & 2 (Low) 3 (Medium) 4 & 5 (High)

% feed imported

Low input, grass or 4-14% for dry cows

10-20% for dry cows & to extend lactation

More than 20% imported feed

Effective area (ha) 131.2 146.8 153.1Peak cows milked 334 413 474Stocking rate (cows/ha) 2.5 2.8 3.1Kg milksolids sold 115,093 156,397 195,442Milksolids per ha 877 1,065 1,277Milksolids per cow 345 379 412Dairy grass farm revenue ($/kgMS) 8.34 8.29 8.27Dairy operating expenses ($/kgMS) 4.95 5.13 5.29Dairy operating profit ($/kgMS) 3.39 3.16 2.98Operating profit ($/ha) 2,905 3,363 3,797Total return on assets (%) 9.0% 9.5% 11.1%Total return on equity (%) 12.1% 12.6% 15.7%Growing in equity (%) 8.9% 9.7% 13.6%Closing term liabilities ($/kgMS) 21.90 19.63 18.69Debt to asset (5) 42.0% 43.1% 41.4%

Farm System 1 & 2 (Low) 3 (Medium) 4 & 5 (High)Operating profit ($/ha) 1,848 2,062 2,274Total return on assets % 7.0 7.0 7.7Total return on equity1 % 7.8 8.5 9.8Growth in equity1

% 8.0 8.2 10.0Closing term liability/kg milksolids 19.23 18.60 18.54

Higher input systems can make moneyLAST MONTH saw the release of the 2013-14 DairyNZ Economic Survey, which contains a wealth of data on the aver-age physical and financial performance of 301 ran-domly selected owner-

operator herds during the 2013-14 season.

It shows that high input farms (system 4 and 5) milked more cows and produced more milk than low input (system 1 and 2) farms. Even though

they had slightly higher expenses and a lower dairy operating profit per kgMS, high input farms had a higher operating profit per hectare because they pro-duced more milk. They also had a greater total

return on assets, lower closing term liabilities per kgMS and the lowest debt to asset ratio (Table 1) when compared to low and medium input sys-tems.

While it is interesting to look at a single season’s data, long term average performance is even more fascinating. An analysis of the past nine seasons shows that on average, high input systems made more money and had the highest growth in equity and the lowest closing term liability. (Table 2)

Intensification is not wrecking the profitabil-ity of New Zealand dairy systems. The most prof-itable farm system is not necessarily the one with the lowest inputs or the lowest cost per kgMS.

There are huge varia-tions in the profitability of all dairy farm systems. Every farmer must find the optimum balance between controlling costs and maximising milk pro-duction in their system. Whether you have chosen to operate a low, medium or high input make sure you do it well. • Ian Williams is a Pioneer forage specialist. Contact him at [email protected]

Table 2: Average Profitability of Owner-Operator Production systems from 2005-06 to 2013-14. Growth in equity and return on equity figures are from 2006-7 to 2013-14.

Table 1: Owner-operators Production Systems 2013-14 season.

Dairy Equipment Co Ltd

EFFICIENT &AFFORDABLE

0800 888 [email protected]

Reduce teat spray usage! AND FOR THE

HERRINGBONE...Better than a manual teat sprayer and no labour unit. Two nozzles deliver highly accurate bursts of teat spray.

• Labour saving device

• Highly accurate

• Low teat spray usage

The original Teatwand 400 remains in the product range.

• Reliable and durable

• Optimal droplet size

• The better alternative

Distributor for:


32 // ANIMAL HEALTH

BCS app launched at Fieldays

BODY CONDITION score (BCS) is to be included as a new trait in breeding worth (BW) from February 2016, says DairyNZ.

Breeding worth provides farmers with an eco-nomic measure of genetic merit (profit per five tonne of dry matter) and is calculated for all dairy cattle. During a national breeding objective review in 2012, BCS (particularly late lactation BCS) was identified as an important trait with economic value to farmers.

NZ Animal Evaluation Ltd (NZAEL), a subsidiary of DairyNZ, estimates the economic value of BCS to be $106 per BCS score. It was also determined that rates of genetic gain in BW would be enhanced by the inclusion of the BCS breeding trait. This view is sup-ported by national and international review.

NZAEL manager Dr Jeremy Bryant says the eco-nomic value of BCS comes from two components.

“The first and main component is the increased value of a cow with good condition milking well into late lactation, rather than drying her off early because she is too thin.

“The second component is the reduced cost of a cow maintaining condition, as compared to a cow that loses condition in the spring, and as a result requires more feed through autumn or winter when it is more expensive.”

Bryant says both these components are based on the value of increased BCS in late lactation rather than early in lactation.

A TOOL allowing farmers to body condition score cows on a smartphone was launched by DairyNZ.

The app gives farm-ers the opportunity to use DairyNZ’s ‘Body Condi-tion Scoring Made Easy’

field guide. DairyNZ animal hus-

bandry specialist Andrea Henry says condition scor-ing cows is such an impor-tant job, DairyNZ wanted to make it as easy as pos-sible.

DairyNZ looked at other apps in the mar-ketplace and decided that none had everything farmers were saying they wanted, she says. So it cre-ated its own.

“The whole idea of the app is to help farmers get better and more consis-tent at scoring their ani-mals,” says Henry. “Using this app, when you are scoring animals you will be more accurate. And you are more likely to do it often because it’s easier.”

DairyNZ’s ‘Body Con-dition Scoring Made Easy’ field guide has been built into the app so users can compare the field guide’s pictures to the cows in front of them.

She says feedback from farmers showed how important it was to be able to compare a visual guide to the real cows in the pad-dock.

“What farmer has the field guide with them 24/7? But they do have their smartphones with them – it’s very rare these days for people to be away from their phone. You’ve liter-ally got the information at your fingertips.”

The app enables a farmer to follow a cow’s progress through the

season and to graph the progress of the entire herd. The app can flag cows and enter their iden-tification numbers into the phone.

“Let’s say you drive past a cow and see it is lame or you see three cows in heat. That’s fine but can you remember which cows they are? Now you can act immediately.”

The entire herd can be identified on the app with their individual IDs. The information gathered by the app on any particu-lar cow can then easily be emailed on.

DairyNZ brand mar-keting manager Andrew Fraser says the body con-dition score app follows DairyNZ’s other app, its farm dairy effluent calcu-lator, but he’s expecting the BCS app to be more popular. “The dairy efflu-ent calculator is some-thing you do every once in a while; this new one is going to be used all the time.”

The development of more on-farm apps is inevitable, and a pasture assessment app will prob-ably be the next one to be made available after the body condition score app, he says.

New BW trait

DairyNZ launched the BCS app at the Fieldays.

Straw or hay only fills up the rumen with little nutritional value and provides no real

benefit for the calf’s development.

FiberStart® is the only scientifically proven forage fibre that develops the rumen producing a healthier better performing calf.

There is no comparison between FiberStart® and straw or hay as the fibre source in the calf shed.

Feed FiberStart® and get:

www.fiber-fresh.com

Get it right from the start

vs

1301

© IC

ON

/ F

IB

3 Bigger, stronger, heavier rumens3 Grass ready calves in 7 weeks3 No weaning check3 Proven, better performance (2.4%)

Feed fibre first...feed Fiber Fresh


EFFLUENT & WATER MANAGEMENT // 33

Effluent app aids nutrient loadings, application ratesGOOD EFFLUENT management requires having a well-designed system and processes for workers to ensure the effluent collected is applied to pasture in the right quantity at the right time, says DairyNZ.

Get it right and your farm will save fertiliser, improve soil condition, prevent animal health issues and comply with council rules or resource consent.

The key to all this to understand soil water deficit – essential to prevent ponding and run-off and to avoid applying effluent to saturated soils.

Soil water deficit is

the amount of water, or effluent, which can be applied to the soil before it reaches field capacity (the amount of water held in the soil after excess water has drained away).

If effluent is added at field capacity it will likely result in ponding, runoff or leaching.

According to DairyNZ, the average dairy cow produces about $25 worth of nutrients annually as farm dairy effluent (FDE) – from a 400 cow dairy herd about $10,000 of nutrients annually.

If these FDE nutrients are used effectively the fertiliser bill can be much reduced.

The DairyNZ farm dairy effluent spreading calculator (an app) allows farmers to easily calculate nutrient loadings and application rates for dairy effluent based on a number of customisable inputs.

This means farmers can manage the application of their effluent nutrients with greater precision.

There are two calculators in this app: a quick calculator for spray irrigation systems such as travelling irrigators and sprinklers, and an advanced calculator for slurry tankers and muck spreaders. It is also available as an Excel

spreadsheet if you prefer to use your computer.

WHEN DECIDING whether to install or upgrade a farm dairy effluent system it’s important to ask the right questions, gather information and take professional advice.

You want the system to work well for many milking sea-sons so consider the following:

■ Find the right person for the job

■ Establish your system re-quirements

■ Make sure future plans are

taken into account.Most crucial is how land-

scape and climate affect effluent management. The main factors in the success of effluent application are:

■ Soil drainage characteristics ■ Landscape contour ■ Rainfall and soil moisture

deficits.Management practices

need to be matched to soil and landscape risk to prevent loss of effluent into the surrounding

environment.New Zealand soils are clas-

sified in high and low soil risk categories for farm dairy efflu-ent application.

New technology allows for the development of tools and programs to help with effluent, water, and nutrient manage-ment decisions on farm.

Many expensive regional council fines can be avoided if a fail-safe device is installed on an irrigator.

ASK THE RIGHT QUESTIONS ON SOIL, LANDSCAPE

The effluent app allows farmers to calculate

nutrient loadings.

If you have a spare 46 seconds, watch this effluent pond time-lapse video. It will revolutionise the way you see effluent management.

To see it, go to www.slurrybugs.co.nz

And while you’re there, check out the Brown’s pond. With Slurry Bugs, the Browns are actually preventing pond crust and sludge from even starting.

Call 0800 4 SLURRYBUGS (0800 4 758779) to learn more.

The video that’s changing effluent management.

them money of fertiliser.Developed by agricul-

tural scientist and entre-preneur Bridgit Hawkins, chief executive of ReGen, the app enables farmers to know the exact status of their farm before they turn on their effluent irri-gator. It equips them to manage effluent, nitro-gen and water using data collected from their farm and analysed by a software package. The information comes to them daily.

Farmers using the system buy, in effect, a weather station that mea-sures rainfall, soil mois-ture, temperature, wind speed and direction. These devices are con-nected to a telemetry device that automatically sends this data into the cloud every 15 minutes via the cellphone network and from there ReGen analy-ses that information and sends the results back to the farmer.

“What we do is ask ‘what is the capacity of your soil? what are your consent conditions?’ Then we say ‘for you today it

is appropriate to irrigate effluent’.

“Having done the cal-

culations with our soft-ware we can send a text to the farmer saying, for

example, ‘today you can irrigate 4ms’. And if he fol-lows that recommenda-tion he can be sure he will not risk breaching condi-tions on leaching run-off and is following best prac-tice.”

Hawkins says of the 150 customers they have so far, most are early adopters and innovators – people who understand the value of information.

Many are Southland farmers, whose driv-ers are the clear com-pliance requirements of the regional council. The

ReGen system enables those farmers to meet those requirements.

“It’s hard for farm-ers to meet some of these requirements. Our system takes out the fear factor – the worry about inadver-tently making a mistake and getting fined for it. They are unsure about all the things that need to be managed.

“When you have staff or multiple farms you can’t be everywhere all the time, so it’s ideal to have a system working in the background and providing sound advice every single day and then being able to monitor what happens.”

Hawkins says histori-cally a lot of farmers have relied on their intuition and observation to make decisions, but that is not the only way. Having a tool


34 // EFFLUENT & WATER MANAGEMENT

Text arrives on time so farmers can avoid a fine

AN APP which sends out a daily text message

to dairy farmers can com-pletely eliminate the risk of them receiving a hefty fine for spreading too much effluent on their farms but can also save


BRIDGIT HAWKINS grew up on a sheep and beef farm at Reporoa and later graduated in ag science from Massey University.

Much of her career was in science commercialisation, working for AgResearch, SpectraNet and the Danish Technology Institute.

She was able to found ReGen when sensing technology, telemetry, the internet, broadband and cell-

phone networks improved. These technologies enabled this app to become a reality.

“This technology was enabling decision support to be done in a dif-ferent way for farmers.

ReGen grew out of saying ‘we could do this and that, and farmers could make better decisions if they had access to real time information.”

FROM REPOROA TO THE CLOUD

ReGen chief executive Bridgit Hawkins.

“When you have staff or multiple farms you can’t be everywhere all the time, so it’s ideal to have a system working in the background and providing sound advice every single day and then being able to monitor what happens.”

*(Based on 25% deposit. Standard lending criteria applies).

Call to discuss how this

great deal can work for you!

Interest* over 36 months!

0% Take this tanker home with

*

www.nevadanz.co.nz 0800 464 393

Nevada Effluent Tankers Accurate Application. Anywhere, Anytime.

“ I have not needed to apply any Potash or Superphosphate since I started using

my Nevada Tanker five years ago. ”

Taranaki Farmer

Our New Irrigator and Booms have to be seen in action to be believed and are covered by NZ Patent No. 578084

Pluck’s TravelingEffluent Irrigators:r Meet even the toughest New Zealand Effluent

Enviro Standards

r Have the Most Even Rain Cover over wetted width in New Zealand by far

r Have a Rain Rate of 5mm or less across total wetted width, not just the centre area. (please see in the independently proved graph)

Applied Depth – No Overlap

543210

–20 –16 –12 –8 –4 0 4 8 12 16 20Distance (m)

Depth0–5mm

Test 1 Test 2 Test 3

��••••••••••••••••••••••••••••••��

just 5 mm applied depth!

What this means for you:r No more strips left in your paddockr No more doughnuts eitherr No more ponding left after each runr No more Enviroment police calling in

0800 PLUCKS0 8 0 0 7 5 8 2 5 7

For more information call us at Plucks

www.plucks.co.nz • [email protected] South Road, Rakaia 7710 • Mid Canterbury

working overnight in the background analysing data as ReGen does is another option.

“While we are a soft-ware business, our focus is that it must work for the farmer. So all our devel-opments -- not just the effluent and nitrogen products, but also our irri-gation programme – have started with the farmer. We’ve asked them what their challenges are and about the environment they work in and how they take in information, when and how.

“Then we’ve worked back from there. Rather than starting with the technology and saying ‘we can do all these great things’, we have asked ‘what do you need as a farmer to manage better?”

The system is self-mon-itoring and can check sen-sors and detect and deal

with problems before the farmer even knows about them.

Subscribers to the ReGen ser-vice are farmers who realise the value

of good data driving pro-ductivity and profitabil-ity; they don’t necessarily have to be very tech savvy, Hawkins says.

“We have some users who are not overly compe-tent on their computer but what we deliver is simple

– through a phone; it’s not a high tech product. There is a tremendous amount of technology underneath it, but how the user inter-faces with it is simple: all you have to do is turn on your phone and you have access to the informa-tion.”

The cost varies to buy into the service: the initial cost of the weather station is $4000-$7000, a sub-scription to the effluent and fertiliser systems is around $1900 and the irri-gation system is charged on a per hectare basis. As



Text arrives on time so farmers can avoid a fine

ReGen has already secured 150 customers.

THE REGEN app also allows the user to maximise the use of fertiliser.

Bridgit Hawkins gives a typical example of a farmer planning to spread urea, for which the app has a standard price.

The farmer can select an applica-tion rate of, say, 75kg/ha. “He then presses the ‘calculate’ button and, based on his soil condition and the proposed fertiliser application rate, the app comes up with the likely response rate he’s going to get.”

The app can then work out the value of putting on fertiliser to grow grass as opposed to the cost of buy-ing in supplementary feed.

“We are trying to enable farmers to know when nitrogen is a good cheap source of feed and how to use it sustainably. It’s not fertiliser advice, it’s giving them the tool to make an informed decision and maybe look at some alternatives.”

While the app is popular with

dairy farmers, it is also a valuable tool for horticulturalists, especially for, say, frost monitoring. And it has wider uses in precision agriculture.

“In the broader sense it asks ‘how can we make the right inputs at the right time?’ Some of the solutions we are starting to scope up are building a growth model for particu-lar crops.

When you know what is driving the stage of growth of a crop such as maize, because you are measur-ing air temperature and soil tem-perature and rainfall you can make some timely decisions.

“When a crop like maize gets to a certain stage that’s the time you want to be applying fertiliser as op-posed to having it set on a calendar basis because every year is different.

“We are enabling efficient use of a resource to get a better outcome for the farmer and a better environ-ment,” she says.

ALSO GOOD AS A FERT APP

well as the daily text, sub-scribers receive a monthly report so they can analyse their data.

Expensive? “If a farmer was to get a fine for wrongly spraying efflu-

ent on their property that could easily be $5000 or $10,000,” Hawkins says.

“Then there’s the sav-ings for using effluent effi-ciently and the same for irrigation. In the case of

the latter, by putting the right amount of water on a farmer can grow more grass and reduce N leach-ing.”

@dairy_news

facebook.com/dairynews

Effective effluent dispersal for enhanced sustainability

Our slow-absorbing sewage treatment tanks and irrigation systems help improve soil, reduce pollutants, and decrease the costs involved in running your farm.

To find out more contact your local merchant or visit rxplastics.co.nz

EUROFLO® SLOTTED PIPE

Engineered Tough

Strong and robustSubsoil drainage of surface and water tableResists a wide range of chemicals from very acidic to very alkaline

» Allows filling in of open drains without loss of drainage for surrounding ground. Potential for drainage of ground to be improved because of increased flow along the smooth bore of the pipe.

• Eliminate stock losses in open drains

• Eliminate costs of ongoing clearing and maintenance

• Assist compliance with your environmental responsibilities for protecting waterways

» Quick and easy to lay, especially when compared to coil drain.

» Available in large diameters - up to 630mm

» Light and safe to handle

BENEFITS

» Ideal replacement for old large diameter clay pipes

» Suits all standard PVC Bends, Y’s, Tees, etc

» Use economical Euroflo Go-In System to tee into larger diameter pipes

» Improves performance of drains and creates more available pasture at the same time.

» Instead of having to fence drains to prevent fouling of waterways, effluent run-off is filtered through the soil cover

» Eliminates erosion of drain banks

» Improves health and safety environment on farms

» Try our EzyAs priority delivery service

Phone 0800 99 77 33 for your local stockist



Euro submersible pumps now lasting longerDELAVAL SAYS it has updated its line of submersible pumps, making them more robust and long-lasting.

Submersible pumps are taken for granted until the day they break down, the company says.

“Submersible pumps are the for-gotten heroes of many farms, pumping away water from silage tanks, pumping urine or in manure sewage tanks, pump-ing sewage water or excess liquids in the milking parlour.”

DeLaval offers a stainless steel pump that suits areas of high acidity such as pressed water from silage or urine drain-age. The pumps are lighter than the rest of the DeLaval line, making them easier to move.

All the company’s pumps are mobile, easy to install and easy to operate. The cast-iron pumps have their motor in an oil-bath ensuring that the pump can work in tough environments without overheating.

The cast-iron pumps can also deal with thicker water and are often used in

slurry pits and similarly difficult condi-tions. “They work efficiently and effec-tively, doing an extremely important job, night and day for years and years,” says Eva Ramvall, head of farm supplies at DeLaval.

“It’s critical to be able to remove sewage water, urine or liquid-rich manure on a farm, so everything can function smoothly. It’s not a glamorous product in that sense but it is an impor-tant one, which is why we emphasise the need for robust and hard-working pumps. ”

DeLaval’s newly updated line of sub-mersible pumps is intended to improve on the pumps it has sold for many years.

“Our pumps should go unnoticed. They should just work and work and work,” says Ramvall. “Nobody wants a pump breaking down. All our pumps are easily moved but we don’t want farm-ers having to move them unnecessarily so we make sure they are reliable and do the job well.”www.delaval.co.nz

Making better use of farm nutrientsLIC IS joining forces with Precision Farming Ltd, supplier of GIS-based systems that manage the application of farm nutrients to optimise pas-ture growth including fertiliser and effluent.

Precision will share its nutrient management functionality for inte-gration with the co-op’s Minda farm management system used by 90% of dairy farmers.

LIC chief executive Wayne McNee says it would provide enhanced infor-mation for farmers about their pas-ture and feed availability.

“With a predominantly grass-based industry we recognise pasture management and feed optimisation is important.

“Seamless integration of farm information like fertiliser, effluent, water and irrigation will comple-ment our existing pasture manage-ment tools in Minda.”

Precision Farming’s system records spreading and nutrient activity on 4500 farms, based on data generated by 720 of the country’s

estimated 800 commercial fertiliser spreading trucks.

Precision Farming also markets fertiliser monitoring GPS equipment direct to farmers, for use on self-spreading equipment and for GPS guidance and control of tractors, sprayers and harvesters.

Brendon Cane, managing direc-tor of Precision Farming, says the partnership will make it easier, faster and more profitable for more farm-

ers to use integrated farm manage-ment information to support better decisions.

As a contractor himself, he appre-ciates the benefits of reducing the time and cost, and often the guess-work, in improving pasture per-formance as part of overall farm profitability. “With the current eco-nomic environment, finding any inefficiencies in operating expenses is more important than ever.”

Brendon Cane (Precision Farming), left, and Wayne McNee (LIC) signing the agreement at National Fieldays.

Call 0800 804 458 to find your local dealer. Or visit our website, www.giltrapag.co.nz

BETTERCLEANERFASTER

Our durable Spreader fills fast, and its manoeuvrability means you can drop nutrients where they’re needed, laying the foundation for the next stage of growth, so you can make every minute count.



Twin spools of delivery pipes.

Tramspread contractor unit at the National Fieldays.

Single-operator spreader gets job done, gets going

TOPLINK MACHINERY exhibited at National Fieldays the Tramspread con-tractor unit, a self-contained system that enables one-man operation and the abil-ity to arrive on farm, set up quickly and spread effluent, then pack up and move to the next job.

Built around a tandem-axle box section trailer, the unit comprises a 900L priming/holding tank initially primed via a vacuum pump driven by a small Honda engine.

The main pumping unit, a Bauer SX2000, has 150mm inlet and twin 125mm delivery outlets, and offers a typical output of 120-130m3/hour depending on material consistency and terrain. This unit is driven by a reconditioned John Deere engine typ-ically sourced from a combine breaker in the UK.

At the front of the unit cradles carry the twin spool of delivery pipe, each with a capacity of 1000m of 100-125mm pipe or 600m of 150mm. Con-nection is then onwards to a tractor

linkage mounted dribble bar assembly in the paddock.

For one man operation an optional remote-control system for the pumping station is offered.

Once the field work is completed, a 170m3 compressor system takes care of blowing out the lines, before the move to the next job.www.toplink.co.nz

MARK [email protected]

SPREAD FAR AND WIDE

❱❱ Tramspread machinery was founded 30 years ago in Stow-market, Suffolk by Terry Baker. It has three divisions:

❱❱ Sales – pumps, slurry tankers, irrigators

❱❱ Storage – above ground tanks, and bag tanks from Denmark and Holland

❱❱ Contracting – four umbilical teams spreading 250,000m3 over 5000ha in UK in 7 months.

0800 433 [email protected]

That’s why we use High Density Polyethylene (HDPE). It out performs all other geomembranes! Plus, when installed with our superior sealing technology, it is guaranteed to last!

Our meticulous level of testing can’t be achieved with other geomembranes.

Talk to I.S. Dam Lining today – you can depend on us for worry free performance, reliability and expertise.

www.isdamlining.co.nz

Serious about building a dam that doesn’t leak?So are we !

• Extremely cost effective

• 20 year HDPE product warranty

• Outstanding chemical and heat resistance

• Excellent UV resistance

• Our installations meet strict regulations and come with a quality workmanship warranty

TANK8440

0800 PLUCKS0 8 0 0 7 5 8 2 5 7 Main South Road

Rakaia 7710 Mid Canterbury

[email protected]

V Only 1.1kW driving a 1.0 M Ø blade

V Two year warranty on the new type of motor and planetary gear box

V New to the world of agriculture – the latest in five-lip sealed bearings

V No greasing required – ever!

V All bearings and seals above the water line

V Huge 1.0 M Ø blade, moving 44,000 litres per minute

V Good range of sizes for any pond type whether lined or earth, clay or concrete—big or small

New from Plucks Engineering One of our latest model Pond Stirrers

Best of all, the price is still the same!

Before

After

Phone now to find a stockist and installer in your area.



Free environment plan on offerDAIRY FARMERS in the Waipa River catch-ment are being offered free consultancy to develop environmental plans as part of a project to improve the health of the Waikato River.

The joint effort by DairyNZ and the Waikato River Authority is intended to improve nutri-ent and sediment loads in the Waipa catchment and encourage more efficient water use.

The Sustainable Milk Plan (SMP) project will be in stages, beginning in spring in the Mangaotama, Mangopiko and Kani-whaniwha catchments. It is supported by Waikato Regional Council, Waipa District Council, Feder-ated Famers, local iwi, milk supply companies, the fertiliser industry and the New Zealand Institute of Primary Industry Man-agement.

DairyNZ is managing the project, under which a free environmental plan will be handed to farmers

to help them assess their businesses for environ-mental risks and opportu-nities and help them plan for the future.

The plan outlines spe-cific achievable activi-ties agreed with farmers, developed by DairyNZ consultants who then sup-port the farmers in imple-menting the plan.

DairyNZ spokesman Adrian Brocksopp says a similar project in the Upper Waikato catchment saw 640 farmers develop sustainable milk plans.

“Our Upper Waikato project was… a good exam-ple of farmers caring for water. It was a finalist in the Ministry for Envi-ronment and Depart-ment of Conservation’s Green Ribbon Awards. Farmer involvement in the project wasn’t com-pulsory but those in the upper Waikato realised that taking part paid divi-dends for their own farms, the river and for the wider catchment.

“It’s all about good

practice and becoming more efficient in the use of resources which can bring environmental benefits and save money by making operations more efficient.

“They also know that having a sustainable milk plan will give them a head start in coping with chang-ing regulations.”

Project manager Nicola McHaffie says SMPs are not to tell farmers what to do, but to help them iden-tify risks and find practical solutions.

“We’ve created a model that supports farmers to make changes through advice and customised plans. We talk to them about their farm… to set out a plan farmers can see will work for their farms and for the local environ-ment.”

The project is demon-strating to policy makers and the wider community that farmers are commit-ted to sustainable dairying and improved water qual-ity, says McHaffie.

More fundingANOTHER $6 million is available for clean-up proj-ects in Waikato.

The Waikato River Authority last week opened its fifth funding round for river clean-up projects, invit-ing applications online via its website (below). Appli-cations will close August 14.

As part of the funding process the authority has also reviewed and published its ‘Funding Strategy 2015’, also available online.

Authority co-chairs John Luxton and Tukoroirangi Morgan say funding priorities include the Waipa and lower Waikato River catchment, wetland restoration and projects to improve water quality.

“Our funding strategy is relatively unchanged from the previous year,” says Luxton. “We know many proj-ects require multi-year planning and delivery, so we know we must be consistent in our approach to signal what is important. This will ultimately give the best outcome long-term for the river,”

This year’s funding strategy statement also sets out the river authority’s fencing standards for funded res-toration planting. It includes sheep and cattle and elec-tric and standard fencing.

Where project money is spent on land improvement a covenant may be required. This is more likely when project funding exceeds $100,000.

To date the river authority has given $22 million to 141 projects over four funding rounds from 2011. www.waikatoriver.org.nz

Farmers in Waipa River catchment are being offered free consultancy.

GBOur reputation is spreading

THE SMART DECISION IN DAIRY HOT WATER

www.longveld.com0800 566 483

DAIRY HOT WATER

Thankfully some smart decisions are easy. Like the Longveld Dairy Hot Water system for your dairy shed.Hot water when you need it 24/7 and immediate guaranteed power savings of up to 45%, using a monitored gas supply. Find out more about gas, the smart decision in dairy hot water systems.FIRED BY BOSCH TECHNOLOGY.

*The calculation is based on known available data for a base installation and represents average hot water consumption for a 4-500 herd-size farm. Both electricity and gas rates have a 3% annual increase to represent potential shifts in CPI.

King

St13

047_

DNEW

S_A

WANT TO HEAT 600 LITRES OF WATER TO 85°

IN UNDER AN HOUR?

LIKE TO SAVE $38,000* IN 10

YEARS?

WANT GUARANTEED IMMEDIATE ENERGY

SAVINGS OF UP TO 45%?

GAS,



Croppers offered better planCANTERBURY CROPPING farmers now have access to a Farm Environment Plan (FEP) template developed especially for their farm system .

The Template for Arable Enterprises has been developed by FAR and approved by Environment Canterbury as meeting all the requirements of Schedule 7 of their proposed Land and Water Regional Plan. This means cropping farmers now have access to an FEP which recognises the intricacies of their enterprise. It is hoped the template will be acceptable or easily adaptable for other regions.

The template was developed by Diana Mathers, FAR’s research manager for farm systems, who says that because most crop-ping farmers also graze livestock throughout the year the process wasn’t straightforward.

“There isn’t any such thing as a

‘typical’ arable farm. They may be growing any combination of cere-als, herbage or vegetable seeds, or maize. They may be making hay or silage, and grazing sheep, cattle or deer – or not.

“And whatever they do grow or graze is likely to change from year to year, and even within a year, depending on markets and weather patterns. This required devising a template that would meet prescrip-tive regulatory requirements, but be flexible enough to accommo-date the ever changing rotations of a cropping farm.

“We wanted our FEP to be as short and easy to fill in as possible, and we have finished up with an interactive template that can be downloaded and filled in on a computer or, for those who prefer it, printed off and filled in by hand.”

The template is approved by Environment Canterbury’s Farm

Environment Plan assessment panel, whose chief executive, Bill Bayfield, says they are impressed by its quality and by the detailed guid-ance notes produced to go with it.

FAR chief executive Nick Pyke says a farm environment plan spe-cifically designed for arable farms is important as it recognises their unique requirements.

“Arable farms are many and varied and can contain several management blocks. This template allows farmers to clearly identify any risks associated with manage-ment practices such as irrigation, nutrient and effluent use, and other potential problem areas such as silage or offal pits. We have also included a farm biosecurity sec-tion, which is not a requirement, but which many farmers may wish to consider.

“We have asked some of our growers to ‘test drive’ it, to ensure it is practical and easy to use, and their feedback has been positive. Also we plan to run workshops in the next few months to introduce growers to the template and help answer any questions on filling it out.”

The template is available on the FAR and Environment Canterbury websites.

Nick Pyke

Perceptions, reality must alignGOOD MANAGEMENT practices for water quality in Canterbury are detailed in a new document pub-lished last month.

The contributors are the primary industries, Environment Canterbury, AgResearch, Plant and Food Research and Land-care Research.

The document is a key part of the Matrix of Good Management (MGM) proj-ect for Canterbury.

Federated Farmers’ environment spokesper-son Ian Mackenzie, one of the MGM group, says public concern about water quality and environmen-tal stewardship is prompt-ing farmers to show they

are getting land, plant and nutrient management right.

Central to this is “good management practice”, published in the MGM summary – “the first of its kind,” Mackenzie says. “This document goes beyond a list of practices good for water quality; it outlines good management practices that all farmers, regardless of sector, are expected to achieve.

“As a first step to get all farmers up to a high stan-dard of environmental awareness, we needed to agree as a sector what good management practice looks like. We have to involve farmers in that process to

help us define it in practi-cal terms.

“We are now well on the way to getting industry-wide agreement on what ‘good’ looks like in farming that protects water qual-ity.”

Mackenzie says the practices published list the outcomes farmers any-where in NZ could reason-ably be expected to achieve.

“The summary arises from 18 months of discus-sions at farmer workshops and with individual farm-ers, rural professionals and industry representatives. We’ve tested this with dif-ferent groups including leading farmers to make sure it’s practical and do-

able. We want to get con-sistency in everyone’s approach to this topic.

“It’s tough for farmers if they keep getting mixed or confused messages from different bodies.

“We hope this docu-ment will give farmers cer-tainty on what they need to concentrate on to lift envi-ronmental performance. The public can also see the kind of responsible farming practices needed to protect water quality,” he says.

Industry, government and community leaders have approved the prac-tices. They include:

Locate and manage farm tracks, gateways, water troughs, self-feed-

ing areas, stock camps, wal-lows and other sources of run-off to minimise risks to water quality.

Manage the amount and timing of fertiliser inputs, taking account of all sources of nutrients, to match plant requirements and minimise risk of losses.

“The details on how exactly the good man-agement practices will be used and reflected in coun-cil plans and policies are still being worked out with everyone. Their success-ful uptake will need to be underpinned by industry extension programmes for farmers and supported by farm environment plans,” Mackenzie says.

Ian Mackenzie, Federated Farmers

Dairy effluent

solutions!

ADCAM750 Travelling Irrigator• Low application – maximise nutrient uptake• Rugged construction – built to last• Unique boom design – even spread pattern• Quick release nozzles – simple to clean

The Irrigator everyone wants!

FOR MORE INFORMATION CALL 0800 686 334

Numedic Ltd, 70 Riri Street, Rotorua, New Zealand P: +64 7 347 9974 F: +64 7 347 9975

E: [email protected] W: www.numedic.co.nz

EFFLUENT HAS become a big topic over the last few years, with major pressure being put on farmers by their regional authorities to clean up their act.

While there has been major investment in effluent ponds and storage tanks, what are the mechanics of getting ‘harvested’ effluent out onto paddocks to unlock its full potential?

There is a common misconception that to pump effluent over any reasonable distance from a storage area you will need a pump with high flow rates and high pressure.

Anyone who has sweetened the missus up by creating a water feature in the garden will know that the flow over the waterfall needs lots of water to create the

desired effect – it’s advisable to use larger diameter hose.

The physics of the matter is quite simply friction. When pumping with a 150mm delivery hose, the pressure drop resulting from frictional losses will be only about 25% of that in a system using a 100mm hose.

Looking at a typical 100mm set-up with a flow rate of 150m3/hr pumped over 1000m, the likely pressure drop is about 12.6 bar, and the effluent will travel at 4.5m/sec.

Upsizing to 150mm hose with a corresponding set-up will see a system pressure drop of only 4.8 bar, and the effluent travels in the pipe at a speed of 3.04m/sec.

So it stands to reason that if you can reduce your overall system requirements for very high pressures by fitting bigger diameter hoses, there is huge potential saving fuel for the pumping tractor and

a corresponding reduction in wear and tear on the pump and the pipeline, while delivering the required volumes of effluent during the working day.

We can look at the mechanics in more detail by comparing four typical set-ups, all trying to deliver 170m3/hr:

■ System 1600m of 150mm supply

hose; pressure loss 1.52 bar 400m of 125mm drag hose; pressure loss 2.41 bar

Total pressure required 3.93 bar ■ System 2

600m of 150mm supply hose; pressure loss 1.52 bar 400m of 100mm drag hose; pressure loss 6.34 bar

Total pressure required 7.86 bar ■ System 3

600m of 125mm supply hose; pressure loss 3.62 bar 400m of 100mm drag hose; pressure loss 6.34 bar

Total pressure required 9.96 bar

■ System 41000m of 100mm supply

hose; pressure loss 15.86 barTotal pressure required 15.86

barNote that in examples 1 and 2

the output requirement of 170m3/hr was achieved with a tractor running at 1450 engine rpm, and the pressure requirement in example 4 is not achievable even with the best products in the marketplace.

So while it’s sensible to do some homework and find the best pump and spreader system for your particular operation, don’t overlook the need for a pipe that can deliver the volumes with low pressure drops.

A 150mm pipe might show a reduced effluent speed in the pipe, but that pipe has a 50% greater carrying capacity and is the easy way to get high daily delivery rates and reduced fuel/power costs.



The larger the delivery hose, the better.

Pipeline friction effects overcome by diameterMARK [email protected]

Call 0800 804 458 to find your local dealer. Or visit our website, www.giltrapag.co.nz

TIME WON’T STAND STILL EITHER

Our Pond Stirrer combines ruggedness and ingenuity to keep your pond moving. It’s engineered to incorporate solid matter from your effluent pond with minimum fuss, so you can make every minute count.



Water storage project step closer to fruitionIRRIGATION NZ has welcome progress on the Wairarapa Water Storage project.

However, INZ chief executive Andrew Curtis says the momentum must be maintained and outstand-ing issue resolved within 18 months.

“It is encouraging that the Wair-arapa Water Storage project has moved to the next stage with two possible sites selected for water stor-age,” says Curtis.

“To maintain this momentum it is important that any outstand-ing issues are worked through in the next 18 months before the consent-ing stage. This will avoid lengthy and costly processes at that point which can jeopardise the project.”

Over the last four years the Wair-arapa Water Storage Project leaders have engaged with the community so all stakeholders are taken into con-sideration.

In addition to this, there is col-laborative work being done, through the Ruamahanga Whaitua zone com-mittee, on freshwater management in the catchment.

Both of these, plus clear national policy guid-ance on water, should result in an optimal out-come for all, including sensible nutrient limits to protect local rivers, says Curtis.

“The potential for the Wairarapa is huge. Intro-ducing a reliable water supply is a big economic driver – as has been dem-onstrated in other regions like Mid-Canterbury which is thriving and has very low unemployment – and there are many com-munities in the Wairarapa in great need of similar wealth and job creation.

“This can be done by further agri-cultural growth and diversification. There are already the beginnings of a significant viticulture and horti-culture sector in the Wairarapa and with reliable water, production can be extended to vegetables and seeds.

“The government has just allo-

cated new money to the Irrigation Acceleration Fund and it is being put to good use funding important community infrastructure projects like this one, which will bring much needed, long term and sustainable growth to this large and important region on the outskirts of New Zea-land’s capital,” he says.

Andrew Curtis

THE DAIRY effluent ‘warrant of fitness’ (WoF) is a voluntary programme assessing your effluent system.

It helps farmers understand how to keep a system fit for purpose and capable of being compliant 365 days a year.

A dairy efflu-ent ‘WOF’ looks at your farm’s effluent

consent or permitted rules: are all require-ments being met?

It views the nutrient budget and checks nitrogen loadings, and runs the dairy efflu-ent storage calculator to estimate if there is enough storage for the farm effluent system.

Checks are done over the storage facility for signs of

possible risk areas; all catchment areas, particularly stand-offs, feedpads and underpasses, are also inspected.

The application depth and rate of the irrigation system are also looked at and it identifies the hazards and notes general health and safety re-quirements.

GOT YOUR EFFLUENT WOF?

Pond owner first in charge of safetySAFETY AROUND effluent ponds is essential.

In general the Health and Safety in Employment Act (1992) rules bear on ponds’ operation rather than their design and construction, so they affect the pond owner more than the designer or builder.

The following safety features are rec-ommended for all ponds regardless of size or type of lining:

Fencing - All ponds should be fenced with netting to keep stock and children out of the pond.

Escape ladders - All ponds should have

at least one permanently placed ladder or alternative escape means.

Anchor points - Pontoons should have anchor points to improve stability.

Hazards must be signed and people – farm staff, contractors and visitors – told about the dangers.

Safety is also a key during pond con-struction; supervising engineers have some health and safety responsibility for construction workers during construction.

Preventing injury by accidentally falling into the pond is the main concern under the Act.

Installation and repairs of Centre Pivots, RotoRainers, Electrical, Pumps, Effluent, Mainline, and more

10 Robinson Street, AshburtonP: 03 307 9049. E: [email protected] visit www.rainer.co.nz

IF ANYONE CAN MAKE IT RAIN, RAINER CAN

Pluck’s ADR 500 Effluent Screening Plant

0800 PLUCKS0 8 0 0 7 5 8 2 5 7

Call us now to find a distributor and installer in your area

www.plucks.co.nz [email protected]

Main South Road, Rakaia 7710, Mid Canterbury

COVERED BY N.Z. PATENTAPPLICATION No. 591985

Pluck’s, or your installer of choice,

can adapt the ADR 500 and twin pond effluent system to work with

your current effluent set up, keeping your upgrade costs down. No need

to rebuild what’s already on your farm

r All plant and pumps very low kW starting with 0.4kW

r Self cleaning screen

r Self cleaning ponds

r Effluent is clean enough to be pumped into a pivot system if required

r Screens out everything bigger than 1 mm



Get an accredited contractor

DESIGNING A new effluent system?Then do it once and do it right with an

accredited system design company.Accredited companies have been

assessed for their competency and skills in: ■ Regulation and legislation ■ Soils and climate considerations ■ Effluent block allocation ■ Estimating pond storage volume ■ Integrated management systems ■ Hydraulic design of irrigation systems.

To find a local accredited company, visit: www.effluentaccreditation.co.nz

Non-chemical filter lifts water qualityIRON CONTAMINATION in dairy farm water supplies causes turbidity problems that lead to water restric-tions, says Waikato milking technol-ogy company Longveld.

Corrosion and system blockages cause further downstream issues, and water unpalatable to stock lowers milk production.

Longveld in 2014 launched a new type of non-chemical iron filter designed to address these problems and to help lift milk production. The filtration units have flow rates of 12,000 to 200,000L per day.

Called Iron Out, the unit comes with a money-back guarantee to remove iron from water. It provides milking equipment washout water that doesn’t negatively impact milk quality, the company says.

Longveld sales manager John Martin says the Iron Out is easy to use and costs little to maintain. “It will continuously process water 24/365 without expensive chemical dosing or con-stant maintenance.”

It uses a float-ing polymer filter media said to be superior to sand or chem-ical filters. It requires little maintenance, no scalping and the filter media lasts 15 years with an occasional top-up.

Features of the system include high reli-ability; no chemicals; continuous removal of iron, dissolved gases and suspended solids; adapts to changing iron loadings; and auto-matically backwashes.

Automatic backwashing is trig-gered by an increase in resistance through the floating polymer filter media as the iron and other contam-inants are being removed. So the system self-adjusts to changing iron loads in the feed water to give stable, repetitive results.

Iron Out is designed for the non-chemical removal of high levels of dis-solved iron (up to 50mg/L or 50ppm), dissolved gases and suspended parti-cles.

The company says it also knows about switching to gas in dairy sheds. “Using a Bosch commercial boiler, the Longveld dairy hot water system is saving farmers thousands on their energy costs and supplying 85oC water whenever it is needed. Once iron contami-nation

is addressed, gas water heating is a natural follow-on.”

Martin says gas hot water is proven to save up to half the cost of electric water heating. And 55oC on-demand tap supply “comes into its own for cleaning up after vet visits or for mixing calf feed”.

“You don’t need to turn your cylin-der on to get a bucketful of hot water. It also removes the hazard of taking 85oC water straight out of the cylin-der and hauling it around the shed in buckets.”

Waitoa farmer Carl Steiner has installed Iron Out and the compa-ny’s dairy hot water system.

Says Steiner, “We quickly saw the economics of it. Once we had pro-cessed all the information and anal-

ysed the nuts and bolts of it all, it was a no-brainer.”

Tel. 0800 566 483 www.ironout.

co.nz

Iron Out tank.

• Dairy Effluent Ponds

• Irrigation Dams

• Canal Liners

• Frost Protection

• Dry Beds & Weeping Walls

• Underpass Encapsulation

P 0800 454 646 F 0800 454 640 E [email protected] W www.containment.co.nz

Cost Effective performance in water & waste applications When reliability matters

Yes, it’s true, even our non-chopper Ferrari Effluent Pumps have a macerating plate to reduce solids with other awesome features including 2 year warranty!*

OUR PUMPS HAVE TEETH!

*SEE OUR TERMS AND CONDITIONS

0800 426 296IRRIMAX LTDwww.irrimax.co.nz

FREE Elcos tractor

protection panel with each Ferrari Pump sold before

10 July!



Effluent pond level tester meets council, industry standardsA NEW means of moni-toring change in the level of effluent ponds is now available to Southland farmers.

The system, used in Waikato and Canterbury, is accurate to 0.8mm says the supplier, Opus Rural Services.

The Opus Pond Drop Test (OPDT) system was developed by engineer Dr Marc Dresser, a rural con-sultant with the company. Dresser designed, built and tested the OPDT with engineer colleague Andy Johnson (CPEng). Dresser

now builds the equipment and trains national oper-ators.

“The test provides clear, industry accepted results that indicate with scientific precision whether a pond is leaking and by how much,” Opus says.

“It does this using a 48 hour test calibrated on site in specific test liquid and data logs pond infor-mation every ten sec-onds, taking into account rainfall, evaporation and atmospheric pressure change. Such precision

testing helps ensure dairy effluent systems are com-pliant and efficient, while offering farmers accurate information to help make informed decisions as to pond replacements or repairs.”

The OPDT can be used on all liners, pond types and with many liquids, providing results in line with or above regional council requirements and industry standards.

The test is approved by Waikato Regional Council, Environment Canter- bury, dairy companies

and DairyNZ.Opus last month met

with 30 people from local council and dairy indus-try agencies to mark the launch of OPDT in South-land. Dresser told the group the OPDT is “des-perately needed technol-ogy” because regional councils are demanding proof of pond integrity.

The OPDT is calibrated on site in specific test liquid; results are logged in every 10 seconds. Results take into account rainfall,

evaporation and atmo-spheric pressure change.

There are some prereq-uisites for OPDT to work. The pond must be at least 75% full. Dresser says this ensures most of the wetted area of pond seal-ing surface is tested. There should be no crusting in the pond and there is a wind limit.

Waikato Regional Council says evidence pro-vided by the OPDT satis-fies its requirements and “is accepted as an appro-

priate test for assessing effluent pond sealing”.

Environment Can-terbury says it has been impressed. “We are sat-isfied that the OPDT sat-isfies the requirement

for Canterbury Regional Council in that it provides an acceptable effective standard for monitoring pond level change.”


The OPDT is already in use in Waikato and Canterbury.

OPDT system designer Dr Marc Dresser.

Separators and Filtration Solutions

• 2 way, 3 way, 4 way, End of Line & Takeoff Hydrants

• Sized for 75mm, 90mm & 110mm effluent pipe

• 80 BSP threaded option for PVC pipe

Hydrants & Camlocks

• Double brackets are standard

• High quality Bauer clamps

• Wide range of agricultural grade camlocks

FOR MORE INFORMATION CALL 0800 686 334

Numedic Ltd, 70 Riri Street, Rotorua, New Zealand P: +64 7 347 9974 F: +64 7 347 9975

E: [email protected] W: www.numedic.co.nz



Protect wet pasture, keep waterways clean

SO-CALLED SACRI-FICE paddocks are a last resort option for protect-ing wet pasture from the effects of stock trampling in winter.

Far better is to use a dedicated, specially built pad to feed out supple-ments or to prevent stock from wandering all over the farm and damaging pasture along the way.

However, the use of sac-rifice paddocks is better

BALA TIKKISETTYthan no winter stock man-agement at all to protect pasture. So there are rec-ommended ways to min-imise the bad effects of using sacrifice paddocks – if they have to be used.

Before detailing those practices it’s worth recap-ping on why winter stock management to protect pasture is so important.

Winter grazing can markedly affect late winter and early spring feed supply from pasture, damage soil health and undermine the health of waterways.

With soil health, every effort must be made to keep soils in good physi-cal and biological health as they are the farm’s most valuable resource.

Moist and wet soils are less able to support the weight of grazing stock than dry soils and are sus-ceptible to compaction and pugging. Treading on moist soils can lead to compaction and grazing on wet soils can lead to pug-ging damage. The resulting damage to pastures influ-ences their current and future use.

Compaction and pug-ging influence the supply of air, water and nutrients to the roots, which signifi-cantly affects pasture pro-ductivity. It also creates the potential for sediment and nutrients to affect the health of waterways and groundwater.

Research data indicates that spring pasture pro-duction may be reduced by about 10% for every 10% of the paddock pugged.

As I’ve indicated, tread-ing damage and compac-tion can be minimised by confining stock to stand-off pads or feed pads at times of greatest risk. That’s the best bet for min-imising pasture and general environmental damage.

For those who cannot do this, selecting a sacri-fice paddock on which to stand off stock from other pasture or to feed out is the last resort option.

Usually a paddock with rundown pasture is selected. Ideally, there should be enough shel-ter available that stock can be continuously housed in these paddocks without undue stress.

As part of ‘on-off ’ graz-

ing, stock are moved between normal pasture and the sacrifice paddock. If used in this way for more than a few days, the sac-rifice paddock will likely be severely damaged and require a full pasture reno-vation.

Aside from that severe damage, other disadvan-tages of sacrifice paddock use include damage leading to improper drainage, more runoff and a higher risk of sediment, effluent and nutrients getting in water-ways and groundwater.

There’s also an increased risk of masti-tis and lameness in muddy conditions, and animals may not get their full daily feed requirements.

A further risk is that soil potassium levels can get too high, as a result of potassium being excreted in stock urine, which can predispose calving cows to metabolic problems.

Some of these risks can be lessened by a range of techniques.

Don’t spread feed in the same area all the time. Use different spots around the paddock.

Drag a set of light har-rows around the paddock occasionally to help break up excreta. This ensures good exposure to sunlight that will kill pathogens and parasites that could other-wise build up in the pad-dock.

Avoid use of sacrifice paddocks closer to water-ways, property boundaries and significant ecological features such as wetlands, caves and geothermal fea-tures.

Direct any runoff in the paddock on to flat ground with rank grass.

When use of a sacrifice paddock finishes, re-sowing should be done after a light cultivation. With any renovation it is important not to leave it too long before the first grazing. A simple way to check when pasture is ready is to grab some grass between thumb and forefinger and gently pull upwards. If roots come up, wait a bit longer. • Bala Tikkisetty is a sustain-able agriculture advisor at Waikato Regional Council. Contact him on 0800 800 401 or [email protected]

Avoid use of sacrifice paddocks close to waterways.

4604

114 Maces Rd – Christchurch 8062 – New ZealandP: (03) 384 1360 – F: (03) 384 5903 – E: [email protected]

www.petercocks.co.nz – www.facebook.com/petercocksltd

ENQUIRE NOW AT YOUR LOCAL RURAL SUPPLIER

OR PLUMBING MERCHANT

DAIRY HOT WATER

CYLINDERS

Silver Bullet dairy hot water cylinders by Peter Cocks 2010 Ltd are

manufactured to meet all dairy requirements and industry standards.

Made from heavy gauge, swaged copper this increases resistance

to corrosion and provides long life durability of the cylinder.

2010 Ltd

– 180L-1000L capacity available

– Fast custom made service

– Premium quality swaged Copper

– Manufactured to NZ

standard 4604

– Minimum of 50MM foam insulation

resulting in lower power usage

– Heat pump/solar ready

– Heat transfer/coolant

systems compatible

– Digital thermostats available

– Stainless steel casing available.Key features include:

FREE UPGRADE TO STAINLESS STEEL

CASING FOR JUNE/JULY 2015. Save up to

$1000FIELDAYS SPECIAL


MACHINERY & PRODUCTS // 45

Turning ideas into cutting edge design

WAIKATO MILKING Systems (WMS) is the story of the Kiwi busi-ness that turns ideas into cutting edge design and technology, and delivers its products to dairy producers throughout the world.

Their efforts were recognised at Fiel-days 2015 with the Premier Award for International Innovation won by their Centrus 84 rotary platform.

Taking over four years to develop, test and bring to the market, the Cen-trus 84 is aimed at operations that milk several thousand cows daily, operating on a 24/7 basis

The platform is made as a multi-lay-ered laminate using composite materi-als that include Kevlar, making it 85% lighter than a typical construction and up to eight times stronger than con-

crete. This construction means reduced maintenance on the running gear beneath and major savings in power consumption, as the platform requires only three 2.2kW drive units.

The overall construction is 14, six bail segments for easy shipment to the construction site, with each unit being self-contained, and incorporating the mounting system needed to attach to the steel ‘I’ beam. When the units are

bonded together with a high strength adhesive the deck connects directly to the ‘I’ beam without the need for any steel substructure. The composite nature of the platform makes it imper-vious to urine or dairy shed chemicals, so it is guaranteed a long working life.

The individual bails are of heavy duty construction in generous dimensions that suit typically larger framed north-ern hemisphere cows. Underfoot, spe-

cially formulated mats give comfort for the cows and make for a quieter milking environment.

Rotational speed is controlled by a Schneider variable rate system directing the three motors that transmit power via drive rollers in contact with both sides of the ‘I’ beam. WMS’s pivot roll-ers keep perfect alignment between the platform and the ‘I’ beam: 100% contact area maximises performance and mini-

mises wear and tear. Summing up the company’s win,

Dave Cassells, executive manager inter-national sales and events, said “I’ve been in the business for 40 years, and I’ve seen rotary milking systems evolve from the old steel ones to what we have now.

“Your gut tells you the Centrus 84 is a unique idea. In a nutshell it’s moved the bar higher, its cutting edge technology.”

MARK [email protected] WMS TALE OF SUCCESS

■ Hamilton based

■ 120 employees

■ Five divisions: head office, rotary, stain-less, composite technologies and WMS United States

■ Exports to 30 countries including China, US, UK and Russia.

Dave Cassells, WMS with the award.

Winter HerdHomes® shelters users throughout New Zealand enjoy control over their winter grazing without the damage associated with wintering on farm. Feed costs are down due to far higher utilisation and lower maintenance requirements plus calving is in a warm dry environment.

Make the decision, build a HerdHomes® shelter and take control of your winter.

NZ Patent Numbers: 521150, 544190, 550635, 545042. Further patents pending. International Patent Numbers: 2003267874, 03748807.9. Further patents pending

Available (and Spring, Summer & Autumn also …) Winter Grazing

Flexibility Lactation can be extended, giving greater production and profits

Simple Every farmer whose built agrees, a HerdHomes® shelter gives more control, makes decision making simpler and increases staff satisfaction.

Improved calving Calving with shelter means greater survival rate and less stress for staff

Feed efficiency Increases of up to 40% have been gained meaning lower cost wintering, greater weight gain or an increase in production

See the new and improved design. More loafing space, increased effluent storage and a stronger roof. Ask farmers why they picked HerdHomes® shelters and see for yourself how it is working out. Make your own mind up.

Contact us about an on farm visit in your area

0800 HERDHOMES (0800 437 346)


46 // MACHINERY & PRODUCTS

Danny Hall receives his award from Te Radar.

Standout innovators carry away prizes

AS USUAL the Fieldays Innovations area drew large crowds, showcasing the that special breed of New Zealander who comes across problems, thinks out a solution and builds it, then has the courage to

let it be poked and prod-ded by the public. The fol-lowing stood out:

Ag Oxi-Jet from Felton: winner Tru-Test Grass-roots innovation Award.

This wash-down nozzle introduces air into the water flow as it passes through a venturi in the body of the nozzle, so increasing the volume of


water. This saves up to 40% of the water needed for effective wash-down.

Made of anodised alu-minium, the nozzle has a sturdy feel and should endure the rigours of the milking shed and collect-ing yard.

Fence Step, Bechler Steel: winner Tru-Test Grassroots Merit Award.

This unit uses a galvan-ised steel step and clamp-ing system that can easily be fixed to round or square posts in areas where people need to get over

fences without getting caught up in or damaging the fence.

Simple yet effective, it could replace wooden stiles which are high-maintenance.

Fence Detective, Danz

Zappz: winner Vodafone Innovation Technical Award.

Using existing mobile phone technology, designer Danny Hall from Dargaville has developed an app that when held

20cm from an electric fence line shows whether it is live or not.

Simple: green for safe/switched off, red for

danger/switched on. Available for Android

and soon to be released for Apple phones from $39.95.

Siegried Bechler-Bechler Steel.

Michael Joynt-Felton Industries.

“Help keep our milk clean this season! Beat the threat of thermodurics with Silclear Fittings and Tubing. It’s guaranteed not to perish – you won’t be disappointed.”

Genuine product ex UK Call Free: 0800 92 92 98

Reasons to choose Silclear...HYGIENICSilclear does not crack, erode or perish. or become porous, and does not support bacterial growth. Silclear is a totally different material to conventional rubber. It is not degraded by light, air, dairy cleaning chemicals, or milk-stone remover. Silclear meets all EC and international hygiene standards. The smooth internal and external surfaces are easy to clean and sterilise, helping to reduce your Thermodurics.

QUALITY SILICONE FOR LONG LIFESilclear blend and process specially formulated high grade medical silicones optimised for maximum strength, tear resistance and optical clarity. Different formulations are used for different Silclear products, which means that each product has the best possible material properties for the job. Careful control of all manufacturing parameters, and good production practices ensure that all Silclear products are of the highest quality. The visual clarity enables monitoring of milk and vacuum lines for cleanliness and milking equipment maintenance.

FLEXIBLE AND STRONGSilclear is flexible, easy to install and does not become stiff or brittle, even below freezing to minus -70˚C! it is not deteriorated by UV light, ozone or temperatures up to 170˚C. As Silclear tubing is lighter than conventional rubber tube, pull on the cluster is lessened, reducing slippage, and improveming teat contact. The proven durability means that Silclear will give you a host of benefits at a lower overall cost.

Silclear tubing after 54 months use

Rubber tubing after 12 months use

ORDER NOW FOR NEW

SEASON

ORDERS AND ENQUIRIES

0800 542 542 www.regiscoatings.co.nz

Cretex™ TR

TROWEL GRADE EPOXY FILLER

Cretex™ SL

SELF LEVELLING EPOXY RESIN

Epotread™ SL250 EPOXY SCREED FOR ERODED FLOORS

Non Toxic, Solvent Free High strength, Rapid cure Chemical Resistant Extremely hard in 6 hours

Non Toxic, Solvent Free Chemical Resistant Self smoothing, easy to spread Covers eroded & pitted floors

Incredible adhesion Rapid cure Chemical resistant Extremely hard in 6 hours

REGIS C O A T I N G S

FLOOR REPAIRS MADE SIMPLE

DOLOMITENZ’s finest BioGro certified Mg fertiliser

For a delivered price call... 0800 436 566



FOUR DAYS in Waikato during winter with the usual mix of rain, wind and the odd glimpse of sunshine, fla-vour free food from who knows where, and around 125,000 people: you’ve got it – Fieldays 2015.

With changes such as filling in the lake to make more site space, and moving the tractor pull down next to the river, on the eastern boundary, there was a new look to the central area.

The Innovations Awards area pulled in the crowds and unearthed some Kiwi ingenuity so simple that it was clever, while at the other end of the spectrum some of the hi-tech gadgets launched was cutting edge and world beat-ing.

What’s for sure is that agriculture has come a long way from the good old bugger leaning on the gate and knowing four whistles for his best dog. Today’s modern farmer will probably be using an i-Pad to control a drone that moni-tors and herds his sheep, and using apps on his phone to control electric fences and irrigation pumps. And he will milk cows that wear transponders around their necks to detect oestrus and control drafting gates.

It’s a brave new world; thankfully there’s still Waikato Draught.


Farming’s brave new world

Over 125,000 people attended the 2015 National Fieldays.

Ed Harrison, director Fuel Storage Systems Ltd.

Safer storage tanks for AdBlueWITH THE increasing use of AdBlue as an additive to diesel powered vehicles to reduce exhaust emissions and with more storage needed, Sebco Fuel Storage Systems launched a new range of storage tanks at National Fieldays.

“Contractors and trucking firms and smaller operators were using 20L and 200L containers with an overriding concern for contamination,” said Sebco director Ed Harrison.

All modern tractor and higher powered truck engines are now believed to be using AdBlue as an additive to reduce emissions, including John Deere which recently

changed its engine configurations. Fonterra’s tanker fleet is believed to be using it.

To avoid confusion Sebco has chosen a colour scheme for the AdBlue tanks that is a reverse of the colours of the diesel tanks: a blue container with a grey lid signals AdBlue.

“Major damage can be caused to truck and tractor engines if AdBlue accidently enters the diesel system.”

All AdBlue dispensing stations have electric pumps, either mains operated or with 12V rechargeable batteries and have electronic fuel level indicators with optional measuring and reporting options.

The pumps are designed to pump Ad-

TONY HOPKINSONBlue which has different resins and consistency from diesel and pumps slower for the reduced volumes.

The AdBlue dispensing stations come in three

sizes; 1300L, 2300L and 4750L, priced from $6300 to $16000 excluding GST.Tel 027 308 2800www.sebco.co.nz


40,000 cows say they prefer a Redpath clear roof shelter … if cow’s could talk

NAn effective and affordable on-farm shelter system

NMultiple flooring options, or build over existing pads

NDesigned for Feedpads, Standoffshelters or Winteringbarns

N40,000 cows already enjoy a Redpath shelter for improved feed control, better pasture quality and protection from poor weather

Built on-site

for less than

$500 per cow!*BUY DIRECTor through Farmlands/CRT!

For Your Free Info PackFree Ph 0508 733 728www.redpath.co.nzEmail: [email protected]

BEAT THE SEASONS!

* + GST. Conditions apply.



Kronos 500 on display at the Fieldays.

Harrows with power

AFTER THREE years evaluating the Moreni brand’s suitability for the New Zealand market, Ag–Attachments launched it at National Fieldays.

Hailing from Brescia in Italy’s north-east – the home of power harrows – Moreni is a fourth-generation company that was founded around 90 years ago. Specialising in soil engaging equipment, they appear to be using steel in all the right places.

The Kronos 500 folding unit on dis-play has a heavy duty headstock which attaches to the front and rear of the transmission trays, and looks capable of taking up to the 350hp limit that might be attached to the front. Drive is split from the central gearbox to lateral units that transmit power down into the beds.

A feature of the harrow is the closer spacing of the rotors: the 5m machine on

display was carrying 22 rotors, compared to the more typical 20 items on compet-itor machines. This results in finer tilth and needs lower horsepower per metre.

The other interesting point is the rotors are timed on their shafts to ensure good overlap, and results in the area where the harrows meet at the centre being worked out fully, rather than the more typical set-up of a ripper tine fitted to scratch out the unworked area.

The shafts through the transmission tray are a one-piece forged unit that sup-ports the bearing assembly on the upper section and the blade holder below. The shaft assembly is easily removed for any bearing replacement, but this is probably a rare occurrence as the units have twin double labyrinth seals to stop soil ingress and keep stones away from the tray.

Ag-Attachments managing director Geoff Shuker commented, “We wanted a power harrow that could last the test, and the Moreni showed us it can. www.agattachments.co.nz


New in tractor, machinery roleTHE TRACTOR and Machinery Association (TAMA) has a new pres-ident: Mark Hamilton-Manns, of John Deere, took the reins from the president of six years, Ian Massicks of Kubota NZ, after his six years in the role.

TAMA represents the interests of importers and manufacturers of trac-tors and machinery, keep-ing an eye on legislation and safety, and trying to ensure edicts originating Parliament are workable when they reach farms. It also strives to ensure that modern agricultural

machinery, sourced from many countries, meets required NZ standards, and it provides members with historical data on sales by area and machine type.

Asked how Fiel-days was panning out for

TAMA members, Massicks commented, “I arrived at Fieldays with a little apprehension, but have found little negativity, and indeed there was some business being done,” despite the market for tractors to the end of June

being down around 20%. Massicks said, “while

that’s disappointing, it comes off the back of 2014 which was a very big year for sales, and one could argue that 2015 is just coming back to a little nor-mality.”


Outgoing TAMA president Ian Massicks (left) hands over the reins to Mark Hamilton-Manns.

Galloway International Ltd

Registered Site(s):

36 Cryers Road, East Tamaki, Auckland, 2013, New Zealand

Design and manufacture of large, rotational moulded Polyethylene products

Scope of Registration:

24 Feb 2018

08 May 2015

C34614


Registered Site(s):




24 Feb 2018

08 May 2015

C32748


Registered Site(s):




24 Feb 2018

08 May 2015

C34613

0800 370 007

WWW.AQUATANKS.CO.NZ

We are the highest certified polyethylene water tank manufacturer in New Zealand. Our aim is simple – to provide quality products and service to satisfied customers.

Visit our showroom: 36 Cryers Rd, East Tamaki

Patented and fully ribbed and domed for strength and rigidity

Highest certified polyethylene rotational tank manufacturer.

Two risers for multiple inlets and overflows

Can be buried up to 700mm

Free delivery of our large tanks* *conditions apply

“Don’t get caught

with your down”tanks

Terms and condtions Competition closes 30 June 2015. Winner announced on Facebook w/c 13 July 2015. For full terms and conditions, go to www.hustlerequipment.co.nz/terms-and-conditions

Go to www.facebook.com/hustlerfarming for your chance to win!

win the

gearof your

dreams!

I myHustler

Photo ComPetition

show us how much you love your hustler gear by sending us your best photo, video or story of you and your machine. Make it funny, make it interesting and make it shareable! win $5K

worth of

gear

It’s super easy!



Mighty Elephant beet washer and chipper

WITH A history dating back to 1990, and a back-ground based on serving the sugar beet industry in the UK and Ireland via a supply partnership with Armer Salmon (AS), Cross Engineering had to make a major change of direction when the only sugar beet factory in Ireland closed and AS was forced into liq-uidation.

Fortuitously, the growth in anaerobic digesters gave the com-pany an avenue to produce beet cleaning equipment as the crop became impor-tant in this area, not least because the gas produc-tion could be started after 15 days, compared to maize which took around 55 days to ferment.

With the massive rise in the plantings of fodder beet in New Zealand, it made sense to look at sup-plying machinery for the sector, and the Elephant looks like it might fit the bill nicely.

Mounted on a semi-trailer chassis, and moved by a tractor cab unit, it is easily moved from job to job, and being fully self-contained is easy to set it up, carry out the work, pack up and move to the next job.

Power comes from a 120hp JCB Dieselmax engine that delivers the necessary get-up-and-go to the hydraulic systems that are the heart of the unit.

‘Dirty’ beet is loaded into the hopper at the front of the machine where a cyclone effect removes stones and any large particles of dirt. Debris is transferred by an elevator into a trailer for eventual removal.

Beet then moves into the wash cycle which ensures the crop is clean and safe for cattle and presents an acceptable sample for anaerobic digester plants. The wash has a recycling system that removes dirt from the water to ensure minimum amounts are used for each job.

From the cleaning area, washed beet is trans-ported by elevator to the discharge point where the choice is either to dis-charge into a trailer for onward transportation or direct into a stack.

There is also an option at the end of the discharge elevator to engage a chop-per unit to cut up the beet. This is swung into work hydraulically and uses a rotary drum to slice the beet, with a degree of chop influenced by a hydrauli-cally adjusted re-cutting

frame. The chopped mate-rial can then be fed direct to cattle, or as is becom-ing more common, ensiled normally with citrus pulp or forage maize.

With outputs around 100 tonnes per hour for

washing only, or 80 tonnes when chopping, the Ele-phant will make a large pile of cleaned beet by the end of the working day, and no doubt increase the popularity of this crop.www.crossagrieng.ie


A chopper unit cuts up the beet.

With an increase in fodder beet plantings in New Zealand, an Elephant fodder machine makes sense.

A NEW APPROACHTO ENGINES

PO

W04

51B

At the heart of any Deutz-Fahr tractor is its engine. It’s therefore reassuring to know that Deutz is one of the largest independent manufacturers of diesel engines in the world. Our modern high torque, low emission and fuel-efficient engines are supplied to many of the world’s leading automotive companies and are performing tirelessly in every corner of the globe. To join the record number of farmers benefiting from the power and efficiency of a Deutz engine, contact your Deutz-Fahr dealer today.

0800 801 888 | deutzfahr.co.nz



Genesis points to the futureTHE AUSTRALIAN motoring press, known to take themselves a bit seri-ously, have been quite dis-missive of Hyundai’s large, rear wheel drive, six cylin-der sedan, the Genesis.

They practically invented that segment, they said, and the Korean upstarts were dreamin’ if they thought they could match the mighty Falco-dores. To be fair, Australia makes a damn good large sedan these days, but the Bruces have never man-

aged to screw one together as tightly as the Hyundai Genesis.

An ambitious project for Hyundai, and by their own admission, a brand build that “demonstrates where the brand is going”, the Genesis is up there with Lexus in refinement and build quality. The Dairy News Ford Falcon XR6 is a smooth enough car, but the Genesis is on another level.

It is big, at 5m long, and heavy at just over two tonnes, but the 3.8L, direct injection V6 copes easily, its power and torque of

232kW and 397Nm push-ing the car to 100km/h in 6.5 seconds, the eight speed automatic qui-etly swapping cogs in the background beneath all the sound proofing.

Noise suppression is impressive, an area Hyun-dai has put a lot of effort into. Double glazing helps, but the engineers spent many hours tuning the suspension on Australian roads to ensure the ride was smooth and quiet, aware that noise is a big part of people’s percep-tion of ride quality.

The comfort and

luxury on the inside also impresses, with only the odd hard plastic surface to remind you what you’re

driving. Standard equip-ment levels put German luxury brands to shame; there is no options list

for the Genesis because Hyundai NZ has already ticked every option box available. Panoramic sun-roof, auto-levelling head-lights, 17-speaker Lexicon sound system – you name it, it’s got it.

The active safety fea-tures like heads-up dis-play, lane-change assist and blind-spot detection are worthy of special men-tion, being effective and non-intrusive. In fact, all the on-board equipment is well-laid out and effortless to use, not something you can say about all luxury cars which have delegated many basic functions to a computer interface con-trolled by a mouse.

Most people who saw the car thought it looked fantastic, and it does. It’s a head turner, and you just know the envious onlook-ers don’t realise they’re ogling a Hyundai. The usual game with Korean cars is to look for hints of other brands they’ve copied. The Genesis design truly stands on its own merits.

Did we feel we’d taken

a huge step down when we had to return the Gene-sis and slide back into the XR6? In respect of luxury, refinement and specifica-tion, yes.

Dynamically though, the Falcon feels sharper and better sorted through a series of fast corners. Chalk one up to the Bruces then.

Actually, chalk two up to the Bruces, because as a value proposition, forty-something grand for an XR6 seems a better deal than $99,990 for a Hyun-dai. Or is it? You’ll pay $30,000 on top of that for an equivalent European car, then you’ll have to tick a few expensive option boxes to match the Gene-sis for kit.

Overcome the brand snobbery that afflicts the luxury car buyer and the Genesis looks like a good buy. Convincing custom-ers that the badge is worth it won’t be easy, but that’s what we said when Hyun-dai launched the Santa Fe at prices up to $80,000 and there are plenty of them on the road now.

ADAM FRICKER

Hyundai Genesis

In these tight times, squeezing more out of less is the name of the game! Read Industrial has produced

Saving you on average* more than $1000 P.A* Based on an average producing Canterbury Dairy farm.

COOL MILK, COOLER PROFITS

03 313 8606 [email protected]

E A S YC U TD I S C M O W E R S

KRONE EasyCut disc mowers have proven exceptionally well around the world. Delivering perfect results, these mowers feature genuine and exemplary KRONE innovations including:

• SafeCut disc protection system - prevents damage to the spur gears and neighbouring discs

• Quick-change blades

• Fully welded cutterbar

• DuoGrip centre-of gravity suspension

0800 88 55 624www.tulloch.co.nz DEALERS NATIONWIDE

For Accelerated Rumen Development in Calves

Agritrade_DairyNews_2015_June_rumenX.indd 1 15/06/15 12:22 pm

Dairy News 23 June 2015

Documents

Transcript of Dairy News 23 June 2015