BRUCE WILLS - CHAIRPERSON FEDERATED FARMERS MEAT & FIBRE

"It is in your hands."

How often have we heard this? The Hon David Carter says it, farming leaders regularly talk about it and even the Hon John Key mentions it.

They are all correct.

We meat and fibre farmers regularly bemoan the state of our industry, we regularly lament our poor returns and we call for rationalisation in both our meat and wool sectors. I know many of us are becoming increasingly frustrated at the lack of progress.

Farmers drive the meat and wool industries. We are the suppliers of meat, we are the suppliers of wool and we are the shareholders in the co-operatives. Both our industries are characterised by a plethora of processors and marketers and are generally ‘weak sellers'. We are the ones that suffer and we perpetuate this suffering by continuing to supply everyone who offers to take our meat and/or wool.

But how can we make change happen?

Sure we can continue to demand that our meat industry leaders get their act together. We can always write another strategic plan or set up another task force, but we need to remind ourselves that there is something very simple, very commercial and very influential that we can do right now.

A large, strong, farmer owned co-operative would have the size and clout to not only achieve considerable cost advantages, but would also be able to ‘eyeball' the very large foreign supermarkets from a position of strength. This structure would give farmers ownership and influence beyond the farm gate. Profits would come back to suppliers.

All you have to do is make a choice, a considered and careful choice about who you supply your livestock to and who you supply your wool to. Don't be afraid to change. We all know change is needed in our industry, but we have to understand that this is a long term business, a business that most of us wish to pass on to our children. However, to do this it needs to be profitable. We know we grow wonderful products that the world wants. There is nothing wrong with our meat or wool, but there is something very wrong with the way we sell it.

Who you supply does make a difference. Commitment of supply also makes a difference. While established personal relationships are important, the long-term term profitability of our industry is more important. If you want to do something to get this industry back on its own four feet then remember, you have the power to do it. "It is in your hands."

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

MONDAY, 22 AND TUESDAY, 23 FEBRUARY 2010

The Federated Farmers Meat & Fibre executive met in Wellington on Monday, 22 and Tuesday, 23 February 2010.

KEY POINTS

The lack of profitability in the meat and wool industries continues to be the number one problem for many sheep and beef farmers. While any solution must be commercially driven, the need for consolidation in both these sectors is seen as being the first step in returning the industry to a profit level that will make the industry sustainable for farmers.

Federated Farmers Meat & Fibre continues to work very hard with other stakeholders to restore profitability to the sector.

MEAT & WOOL NEW ZEALAND

A very useful discussion was held with Meat & Wool New Zealand (MWNZ) chairperson, Mike Petersen, and MWNZ Chief Executive Officer, Dr. Scott Champion, about the meat and wool industries and about the organisational changes that were driven by the 2009 Commodity Levies Act referendum vote.

The group discussed ways in which the productive relationship between our two organisations could be further developed to benefit farmers.

Separately, Rob Davison and Con Williams of the MWNZ Economic Service provided us with an analysis of some of the issues around ‘farmer share'. The executive is looking at the feasibility of developing this as a complement T150.

ANIMAL HEALTH BOARD

Animal Health Board (AHB) Chairman, John Dalziell, and Chief Executive, William McCook, provided an update to the executive about the current strategy development process. As has been stated previously, Federated Farmers Meat & Fibre remains committed to the eradication of bovine Tb and fully supports the AHB's efforts in this area.

NAIT

NAIT Chairman, Ian Corney, spoke on the progress towards the establishment of NAIT as an operational body, following Cabinet's acceptance of the second business case.

While Federated Farmers is on record as having a number of concerns around the need for NAIT, we will now focus on ensuring the benefits to farmers do not exceed the cost of compliance. As information on NAIT becomes available we will pass it on to you. In the interim, if you have questions about how the practical aspects of NAIT will work, contact either your local Meat & Fibre chairperson or policy advisor, David Burt. Contact details can be found at the bottom of this newsletter.

WEDNESDAY, 23 TO FRIDAY, 25 JUNE 2010

This event, which incorporates the Federated Farmers Meat & Fibre conference, will be held from Wednesday, 23 to Friday, 25 June 2010 in Invercargill. Speakers are currently being confirmed and as usual an exciting agenda is being developed. Members will find attendance at this event well worth their while.

Further information will be sent out as it becomes available. If you wish to be kept informed about the Meat & Fibre conference, please contact David Burt.

WOOL INDUSTRY TASKFORCE

The taskforce has now presented its report to the Minister of Agriculture. The report's recommendations were endorsed by a meeting of stakeholders, which included Federated Farmers Meat & Fibre chairperson, Bruce Wills, and Federated Farmers vice-president, Donald Aubrey, who agreed that a single industry voice was the first step in restoring profitability to the beleaguered sector.

The report focused on three key areas and recommended:

1. Raising demand

• That a group skilled in international marketing be resourced to identify new market directions, products, consumers and routes to market.
• That the sector works with Government to identify and address ways of closing any workforce skills gaps.
• That investment in researching the environmental and other impacts of strong wool production be considered.
• That voluntary control on activities likely to undermine the sector in the minds of consumers be considered.

2. Industry fragmentation

• That the views of the sector should be a represented by a single industry voice.
• That there should be transparency around the dispersing of residual wool-grower funds that were held by the Wool Board.

3. Research and development

• That the on-going needs for investment in on-farm research and training are identified.
• The Wool Research Consortium should resubmit an application for funding to the Foundation for Research, Science and Technology (FRST).

A copy of the full report may be found by clicking here.

As an outcome of our meeting with MWNZ, Federated Farmers and MWNZ have issued a joint media release that supports the wool industry rescue efforts. This media release may be viewed by clicking here.

MEAT & WOOL NEW ZEALAND 2010 AGM

The 2010 Meat & Wool New Zealand AGM will be held on Wednesday, 24 March in Te Kuiti.

GOT A GREAT IDEA?

AGMARDT is now allocating their group grants for agribusiness innovation projects. Funding will be awarded for the development or commercialisation of an idea, or to get a project to a stage where it will attract further funding. Grants in this area can be up to $120,000 and eligible groups include farmers/growers, farm consultants, vets and research or technology providers. Grants up to $20,000 are also available for pre-trial or demonstration purposes. Project inquiries for the next funding round must be submitted by Tuesday, 30 March 2010. For more information, please contact Stephen Macaulay by calling 04 499 6173.

RURAL STAFF MANAGEMENT WORKSHOPS

Employers, now is the time to get control of the policies and systems you need for effective staff management. Learn from others what works and what doesn't and tap into industry best practice and resources through Agriculture ITO's Rural Staff Management workshops. There are four one-day workshops available, and enrolment is $400 for all four or $125 per workshop. Contact your local advisor on 0800 691 111 for more information.

INTERESTED IN LIFTING YOUR PRODUCTION MANAGEMENT SKILLS?

Open Polytechnic's National Certificate in Agriculture: Production Management is for people working in agricultural production. 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.

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. 

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. 

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.

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.

Federated Farmers of New Zealand
PO Box 715
Wellington 6140
Tel:  04 473 7269
Fax: 04 473 1081
www.fedfarm.org.nz

Staff contact

David Burt
Tel:  0800 327 646
Fax: 04 473 1081

Chairperson
Bruce Wills
Tel/Fax:  06 834 9704
Mobile:   027 234 1516

Vice-chairperson
Jeanette Maxwell
Tel:         03 302 8860
Fax:        03 302 8849
Mobile:   027 357 4464

Executive member
Hamish Cave
Tel:         06 863 9861
Fax:        06 863 9500
Mobile:   027 687 1141

Executive member
Tony Gray
Tel/Fax:  06 328 4575

Executive member
Dugald McLean
Tel/Fax:  03 313 5442

A full list of the Federated Farmers Meat & Fibre team can be found by clicking here.