Federated Farmers

The Rambull

The bi-monthly newsletter from Federated Farmers Meat & Fibre industry group

Chairman's commentary

BRUCE WILLS - CHAIRPERSON FEDERATED FARMERS MEAT & FIBRE

In my last column I stated that our fate, as sheep and beef farmers, lies in our own hands. I am heartened by the many positive comments I have received from farmers on this issue.

Most in the industry recognise that the current structure is not delivering anything like an adequate return. Our industry is losing out to more competitive land use options and change is most definitely required. Our industry will continue to bleed until profitability is restored.

We produce world class lamb and wool and we have global scale in the trade of both. We are seeing some of the highest in market prices ever being paid for our lamb and we are told our wool is some of the best on the planet. The problem is not with the quality of our lamb or our wool, the problem is how we sell it.

Economics 101 tells us that if you have a great product, then sell it in an organised, disciplined manner and build a growing and prosperous business. Alternatively you can have a great product and allow every man and his dog to compete against one another to sell as much as they can and what do you get? You get fragmented, undisciplined, weak selling.

Here are a few of excerpts from the recently released KPMG Agribusiness Report:

"The meat industry is positioned at the top of MAF's ‘slippery slope' scenario with little collective will to change its long term course".
"The meat industry is broken and needs to be fixed".
"Reform of the New Zealand meat industry could lead to an entity capable of emulating the global growth of a Fonterra or a JBS Swift".

I would suggest the same applies to wool.

We should need no reminding that we are not just spectators here, we are the people who produce the meat and receive only about one third of the retail price for our efforts. We are also the same people who produce the wool and receive just one twentieth of the final retail price. To put that into perspective, one twentieth is about the same amount the credit card companies make when the ‘zip-zap' is used to purchase the finished product!

Where this industry goes now is very much in your hands, our ‘selling' behaviour either perpetuates the status quo (and who wants that) or it can drive the reform this industry needs.

Let's use our position wisely.

At the upcoming Meat & Fibre Conference, to be held in Invercargill from Wednesday, 23 to Thursday, 24 June, the keynote speaker will be Professor Caroline Saunders from Lincoln University. Professor Saunders will be speaking on ‘Sheep and beef farming 2020: what will it look like?' and will provide vital food for thought for those farmers who are focusing on the future of Meat & Fibre. I look forward to seeing many of you there.

Bruce Wills
Chairperson
Federated Farmers Meat & Fibre
Mobile: 027 234 1516
Phone: 06 834 9704
Email: bwills@fedfarm.org.nz

Meat & Fibre conference

WEDNESDAY, 24 TO THURSDAY, 25 JUNE 2010

This important event is to be held at the Ascot Park Hotel in Invercargill as part of the 2010 Federated Farmers One Event. The Meat & Fibre conference will commence at 11.00am on Wednesday, 23 June and continue through the day, with a drinks function and dinner in the evening. The conference will continue on Thursday, 24June with a closed session, for Meat & Fibre delegates and observers only, from 8.00am until 10.00am.

The plenary day will take up the remainder of the programme on Thursday, finishing with the ‘Cream of the Crop Awards' that evening. The last day of the One Event is Friday, 25 June which will include the Federated Farmers National Council meeting and lunch with the Prime Minister, the Hon John Key.

We have again been able to provide attendees at the Meat & Fibre conference with very high calibre speakers. This year our speakers are Chief Executive Officer of Silver Fern Farms, Keith Cooper, who will be speaking on "2013: how we achieved T150" and

Professor Caroline Saunders of Lincoln University who will be speaking on "Sheep & Beef Farming 2020: what will it look like?"

Also on the agenda will be any remits/discussion items that have been put forward and the election of the Meat & Fibre executive committee, but there will be plenty of time to discuss issues with fellow farmers.

The agenda for the Meat & Fibre conference, the plenary day and the rest of the One Event will be available on the Federated Farmers website shortly.

The registration form for the Meat & Fibre conference and other One Event functions are available by clicking here and are due back ASAP. Remits and/or discussion items for consideration by the Meat & Fibre Council are within five days of your provincial AGM. Nomination forms for the Federated Farmers Meat & Fibre chairperson, the Federated Farmers Meat & Fibre vice-chairperson and the three Federated Farmers Meat & Fibre executive members have been sent out and are due on Thursday, 3 June.

We look forward to seeing as many members as possible at this event. If you have any questions about the Federated Farmers One Event, please contact Events and Leadership General Manager, Kimberley Wadsworth, by clicking here or by calling 0800 327 646. If you have any questions around the Meat & Fibre conference, please contact Meat & Fibre policy advisor, David Burt, by clicking here or by calling 0800 327 646.

2010 drought

Another summer, which unfortunately means, another drought. The 2010 drought has already resulted in medium-scale adverse events being declared in Northland, Waikato/Hauraki/Coromandel, Bay of Plenty, Taranaki, South Canterbury and Otago provinces. In addition, the conditions in southern Hawke's Bay, Wairarapa, Manawatu, North Canterbury and Marlborough are under close watch.

Farmers in any drought affected areas are urged to be proactive and take the steps necessary for them to be best placed to deal with the effects of drought. Information and links to organisations such as the Rural Support Trusts, MAF, Meat & Wool New Zealand, the National Climate Centre (NIWA) and DairyNZ can also be found on the Federated Farmers website, by clicking here.

The Federation maintains two registers to help farmers in need, the feed available list and the feed needed list. To register on one of the lists, or for more information, you can call our 0800 DROUGHT (376 844) hotline. The feed available list is a service for farmers with feed available for donation or sale, to register their details so farmers in need of feed can contact them. The list can be accessed by clicking here. While we are grateful to farmers for using our feed available list, we would like to remind all those using it that it is important that feed suppliers contact the 0800 DROUGHT line when you no longer have feed available. This action will ensure the accuracy and integrity of the register. The feed needed list is a service for farmers who need feed. The list can be accessed by clicking here.

Industry news

RELOCATION OF MEAT & WOOL NEW ZEALAND, MEAT INDUSTRY ASSOCIATION AND DEER INDUSTRY NEW ZEALAND

These organisations are now in the same office building as the Federated Farmers Wellington Office, 154 Featherston Street. Meat & Wool New Zealand (MWNZ) are on the fourth floor and the Meat Industry Association and the Deer Industry New Zealand share the fifth floor. Federated Farmers is on the sixth floor. We look forward to the close relationship that this new physical proximity will bring.

On the subject of MWNZ, we congratulate Kirsten Bryant, Federated Farmers Ruapehu Meat & Fibre chairperson, on her recent election to the MWNZ Board and would also like to recognise the contributions made by Tony Gray, Federated Farmers Meat & Fibre executive member and outgoing Federated Farmers Manawatu/Rangitikei Meat & Fibre chairperson.

KPMG SECTOR REPORT

The consulting firm KPMG has recently released a survey report Agribusiness Agenda, which identifies what the authors see as the key opportunities and challenges for the sector. The report may be found by clicking here. If you wish to obtain a hard copy of the report, please contact Meat & Fibre policy advisor, David Burt by clicking here.

NAIT

With the decision by Government to accept the NAIT business case, the NAIT project is to proceed. While some information can be found on the NAIT website by clicking here, we are keenly aware that many members are looking to obtain the information that they need to make business decisions in this area sooner rather than later. One key business decision is the purchase of NAIT compliant RFID tags. The Federation is in the process of surveying rural supply companies and others who are selling RFID tags to obtain price and related information. When this survey is complete we will make the information available to members.

ETS COSTS

As a result of our efforts in this area the Prime Minister, the Hon John Key, has gone on record to state that the cost to farmers around agricultural emissions is substantially less than it was initially going to be. The Prime Minister's own figures suggest that the cost of agricultural methane and nitrous oxide emissions for the average farmer will be around $3000 per year by 2030, compared to the $30,000 it would have been under the Labour Government. This decrease, likely to save farmers thousands of dollars a year, is a result of strong and effective advocacy by the Federation.

RURAL PLASTICS WASTE

This is a persistent and growing problem for the farmers and growers of New Zealand. The Agrecovery Rural Recycling programme was established to provide a long term recycling solution for on-farm waste issues, with the ability to dispose of the millions of plastic agrichemical containers currently used in New Zealand each year. Up until Agrecovery started, the common practice was to burn or bury these containers and neither of these solutions is considered environmentally friendly. Agrecovery gives every farmer and grower the ability to dispose of containers, and now silage wrap, in a more responsible way. Federated Farmers is a proud member of the Agrecovery Foundation. The autumn Agrecovery newsletter can be downloaded by clicking here.

Agrecovery will also shortly be holding collections for unwanted or expired agrichemicals in regions throughout New Zealand. Throughout June and July, Agrecovery will be collecting agrichemicals in the Otago/Southland region from Monday, 28 to Wednesday, 30 June and in the Greater Wellington/Manawatu region from Tuesday, 13to Thursday, 15 July. Booking your chemicals for disposal is easy, simply contact Agrecovery on 0800 247 326 or you can click here to book disposal online. Bookings are required by Friday, 14 June for Otago/Southland and by Thursday, 1 July for Greater Wellington/Manawatu. Further information is available on the Agrecovery website by clicking here.

Notices

CHAINSAW SAFETY WEEK

Chainsaw Safety week, a joint venture between STIHL and ACC, is on this week. The initiative is run through the STIHL dealer network and the key element is that you are able to buy a set of safety gear, which includes chaps, hearing protection and eye protection, at a reduced price. Normally protecting yourself would cost up to $230 but during the Chainsaw Safety week you can get it all for $145. You don't even need to buy or own a STIHL chainsaw to take part, but you do have to own or buy a domestic chainsaw. See your local STIHL dealer for details.

GYPSY DAY

Gypsy day is coming, so make sure you give the Federated Farmers team a call on 0800 327 646 to update your details.

SPLITTING SILAGE WRAP

Federated Farmers would like to know if any members have had problems with their silage wrap splitting and getting holes in it. We have had reports of this happening and one affected farmer has commented that it almost looks as if it has been burnt. The holes start off as tiny little splits, kind of what a bird would do with its claws, then progress quickly into large burn like holes. If you are having any problems please contact 0800 327 646 and let us know.

STEAM TRAIN EXCURSION

On Saturday, 29 May Mainline Steam will be operating a steam hauled excursion from Auckland to Whangarei and back. If you think this excursion may be passing areas of your land and may affect your stock, please click here to get more information.

Training and education

TAKE YOUR BUSINESS TO THE NEXT LEVEL

Develop your business, financial and people management skills and systems with industry-funded training through Agriculture ITO. Gain nationally recognised level 4 and 5 qualifications with excellent resources and class-based or correspondence tuition. For more information, call your local Agriculture ITO adviser on 0800 691 111.

THINKING OF TAKING UP TERTIARY STUDY BUT FEELING NERVOUS?

Open Polytechnic's Tertiary Study Skills Certificate provides a good start and you will even get a mentor to help keep you on track and a voucher which can be used to enrol in any Level 5 degree or diploma course. For more information, click here or call 0508 650 200. Remember, Federated Farmers members get a 20 percent discount. Click here to download an enrolment form.

Member benefits

WIN A FREE HOME WITH VERSATILE!

Versatile is giving away one 4-bedroom, 208m² Windsor home valued at over $200,000. Enter online at www.versatile.co.nz, or at your local Versatile dealer. Just answer one simple question and complete the entry form and you'll be in to win! Entries close midnight Sunday, 30 May 2010. Terms & conditions apply. This offer is for the home only and does not include land. One entry per person only please and entrants must be over 18 years of age. For full details visit www.versatile.co.nz.

COVER RIGHT FROM PURCHASE

Cover right from purchase is a must for stud animals to ensure you're not out of pocket if a loss occurs between the sale and the farm. To find out more, download an application from by clicking here.

FULFILL ALL YOUR STORAGE NEEDS

Who can supply you a building to suit your storage needs? Totalspan supply a range of rural, commercial, lifestyle and residential buildings. For more information call 0800 868 257 or visit the Totalspan website by clicking here.

WINESONLINE OFFER

This week Winesonline is proud to offer Federated Farmers members Trinity Hill's renowned 2008 Pinot Noir for only $13.95 per bottle and its 2008 Chardonnay Viognier for only $8.95 per bottle. Stock is limited so take advantage of these great prices today at www.winesonline.co.nz.

MORE MEMBER BENEFITS AND OFFERS

To view special discounts exclusive to Federated Farmers members, please call 0800 327 646 or click here to log onto our members only area.

Our shop

BEN & MARK, BOYS OF THE HIGH COUNTRY

Christine Fernyhough's true story of two boys who live on one of New Zealand's largest high-country stations, with stunning photographs by John Bougen is now available for sale on the Federated Farmers website. Federated Farmers have this wonderful book for the special price of $30 for members (non-members $36.99). Ben & Mark, Boys of the High Country is destined to become a New Zealand classic and would make a beautiful gift. We have a limited number so get online, by clicking here, and order yours today.

THE ROAD TO CASTLE HILL: A HIGH COUNTRY LOVE STORY

Christine Fernyhough's first High Country tale is now available on the Federated Farmers website. Warm and humorous, this inspirational book tells the story of a woman bold enough to do what many urbanites dream of: embark on an entirely new life and throw herself into a considerable challenge. Federated Farmers have it for the great price of $38.50 for members (non-members $45.50). Beautifully illustrated, The Road to Castle Hill is also a celebration of New Zealand's high-country way of life. We have a limited number so get online, by clicking here and order yours today.

CONTRACTS, AGREEMENTS AND LEASES

These include land, stock, contractor, sales and purchase, agreement to grow, log books, access pads, Over Dimension Certificates and employment. Remember, it's a legal requirement to have an employment contract for EVERY employee so if you don't have a current employment agreement, then order one now. Contracts, agreements and leases are available in both electronic and hard copy formats for your convenience. To purchase, call 0800 FARMING or click here.

Recruitment

CANTERBURY FIELD OFFICER VACANCY

Federated Farmers is currently seeking a Field Officer to manage the Canterbury region. In this 12-month contract role you will be selling membership to prospective members and be the key liaison point with farmers, current members and our local provincial executive. To be successful in this role you will need superb communication and organisation skills with the ability to build and sustain long term business relationships. You will have a solid understanding of the business of farming and be results orientated with a strong and proven sales record. A qualification in Agribusiness or equivalent practical experience would be of an advantage. To find out more about this opportunity and for a job description please click here. Application close 5pm Friday, 28 May 2010.

Contacts

Federated Farmers Meat & Fibre

Please remember that if you have any issues or queries you would like to discuss, please feel free to contact Federated Farmers on 0800 FARMING (327 646) or contact your local Federated Farmers Meat & Fibre representative or one of the executive team as listed below.