Sheep down - Chairman of Federated Farmers Meat & Fibre, Bruce Wills says he is concerned for the long-term health of the sheep meat industry after an announcement from Meat & Wool Economic Service today. The service is predicting 9.3 million less lambs and ewes will be processed for exports next year. The industry has been in decline for some time but this is the largest decline in sheep numbers year-to-year in New Zealand's history. Mr Wills says the drop can be attributed to two reasons: individual farms have reduced capital stock due to drought; and land uses are changing for financial reasons to cropping and dairying. Mr Wills says the silver lining in the announcement is that meat prices will go up as the industry struggles to meet demand for export markets in the coming years. Unfortunately some farmers will be unable to capitalise on this opportunity as they will first need to recover from drought and rebuild stock numbers.

Outlook positive - A report out by the Ministry of Agriculture and Forestry this week shows solid growth for the primary sector over the next five years is expected despite the tougher immediate economic outlook both internationally and locally. Long suffering meat and fibre producers will be relieved that world demand looks likely to improve farm-gate prices. While producers are looking at a lift in returns, increasing production costs such as fuel and fertiliser will squeeze profit. The report says world dairy prices have eased from recent record highs but the growth in demand should remain strong. Read full report here.

Positive pricing - Maize grower chairman Colin McKinnon said growers should be looking to achieve similar levels to last year for the coming season. Growers discussed at the Federated Farmers Maize growers annual general meeting in Hamilton yesterday prices of $500 per tonne for maize grain and 32 cents a kilo for standing silage. Mr McKinnon said indications were that there will be insufficient maize to meet market requirements for the 2008/2009 season.

Dear deer - Federated Farmers congratulates the Department of Conservation on taking a step in the right direction for the deer industry and restoring their property rights. Donald Aubrey Federated Farmers spokesperson on Pest Animal Management, says the New Deer Farming Notice released today, and to take effect from 5 September 2008, recognises that 90 percent of deer farms are of low risk and no longer need to be authorised by DoC. This will allow the majority of deer farmers to continue business as usual without the involvement of the DoC bureaucracy that was previously required.

Water matters - The government has developed a proposed National Environmental Standard (NES) on ecological flows in rivers and streams, water levels in lakes, wetlands and aquifers. The standard will set interim flows and levels where none are already set in a regional plan and it will specify the technical methods to be used for evaluating ecological flows and water levels. The NES will potentially affect anyone who has consent to take surface water or groundwater, or anyone who applies for a consent. The proposal is out for consultation now and Federated Farmers will be seeking comment from members shortly. For more information, contact Lionel Hume lhume@fedfarm.org.nz.

Endosulfan inline - The Federation submitted this week on ERMA's review of the insecticide endosulfan. There have been a couple of high profile cases of endosulfan being found to be contaminating beef exports, resulting in the suspension of those exports at a cost of millions of dollars to agriculture and the wider economy. The Federation requested that the rules for endosulfan's use in New Zealand be aligned with those rules in Australia, where it is banned from use on fodder crops. Spokesman for plant pest management Phil York says any product that carries such a great risk to the export industry must be carefully regulated and it makes sense for endosulfan to come into line with the practice of other trading partners.

Third party - Federated Farmers submitted this week on the Ministry of Transport's proposal for a compulsory third party vehicle insurance regime to be instituted in New Zealand. The Federation was supportive of the idea but asked for exemptions for vehicles used off-road.

In the news - See what sort of splash Federated Farmers has been making in the news this week.

Numbers count - Federation staff and leaders from the national board, Manawatu-Rangitikei, Wanganui and Tararua met in Palmerston North on Thursday to discuss the regional council's One Plan. The Horizons' One Plan has the potential to set a precedent throughout New Zealand with new principles and new policies. Farmers are concerned how the plan will affect production in the future. The regional council has made it very clear to Federated Farmers that it is a key stakeholder and without cooperation from farmers the plan will not work. President of Manawatu-Rangitikei Gordon McKellar says farmers are looking for a win/win solution but the council needs to balance environmental enhancement with economics. Mr McKellar is just one of the local presidents who have spent hours reading One Plan documentation. He said any farmer in the region that was not a member of Federated Farmers needed to carefully consider their position. He said individual farmers were easy to ignore but a group has sway.

Damage control - The Cheviot area has been hit hard this week by storms and a meeting was called by the Cheviot branch of Federated Farmers last night to assess damage to farm properties. The meeting included representation from the Mayor of Hurunui, Gary Jackson, staff from the district council, the North Canterbury Rural Support Trust and MAF. Farmers will report back to the Hurunui District Council with lists of damages by Monday and action will be decided from there. Chris Sundstrum North Canterbury president is meeting with Clayton Cosgrove the MP for Waimakariri today to inform him of damages and ask for government assistance in form of Taskforce Green to help with clean up. The Omihi Branch is holding a meeting on Wednesday 13 August at the Greta Valley Tavern to assess damage in that area. Contact Dugald McLean 03 314 5836 for more information.

Otago branches out - As the Flash arrives in your inbox, Federation members in Otago are attending a function with prominent Dunedin businesses and local government politicians. The function follows an afternoon session aimed at refreshing and updating provincial branch representatives on the vital role they play in the organisation. Attendees heard from MAF and a rural support trust coordinator about expectations in an adverse event. Neal Wallace, from the Otago Daily Times shared his thoughts on farming and the media. Members also discussed the financial future of the province and have been debating options for investing funds after the sale of provincial property, Harvest Court.

Pig deal - Stratford District Council has entirely dismissed a submission from Federated Farmers on a "Keeping of Animals Bylaw". Policy advisor Nicola Ekdahl says she is disappointed the council hasn't taken into consideration the practicalities of implementing this bylaw. She says farmers will be surprised at how strict rules are for keeping pigs. There is no appeals process and the bylaw can not be reviewed until 2013.

Consent to burn - President of North Canterbury Federated Farmers, Chris Sundstrum, and policy advisor Sonia Voldseth provided evidence to Environment Canterbury at a hearing on Wednesday on Variations 11 and 12 to the Proposed Natural Resources Regional Plan. These variations to the plan would restrict burning in the outer zones of Rangiora and Kaiapoi. These areas include several farms. If the rules were to go through as proposed it would mean that any outdoor burning would require resource consent from the months of May to September. Federated Farmers position is that some material does need to be burned during that time, that farmers are responsible and therefore the resource consent process is expensive and unnecessary.

Southland meat debate - Professor Keith Woodford from Lincoln University spoke at two Federated Farmers meetings in Winton and Gore last week. His address on challenges and strategies for sheep meat processing and marketing stimulated discussion with farmers concerned about their future. Professor Woodford said farmers needed to have a pure co-operative to keep the other companies honest. The debate on the Silver Fern Farms deal with PGG Wrightson stormed on after the meeting.

Meetings for misconduct - When calling a meeting to manage a misconduct investigation, employers are required to meet criteria. When calling for the meeting make sure you put it in writing. Letters will be required to contain:

• The time date and venue of the meeting
• The allegations of misconduct in specific detail
• The right of the employee to arrange representation
• The worst possible outcome of the meeting
• The opportunity and the right of the employee to respond to all allegations

In addition employers must allow the employee accused of misconduct sufficient time to arrange representation or the meeting will be found to be ‘unfair'.

For advice on any another subject call 0800-327-646

Competition

A night away on Accor - Federated Farmers and Accor Hotels are giving members a chance to win a night at the Yacht Club Hotel in Picton. More >>

Special discounts

Members, check out howCheck out the new specials from Canon and Swanndri that are now available. For more information call 0800-327-646 or read more online >>

Contracts, agreements and books

Members can purchase Federated Farmers contracts and agreements at a discounted rate. To order click on the link below:

Employment products

Other products and agreements: including: lease; contractor; sales and purchase; agreement to grow; log books; access pads; and Over Dimension Certificates:

Books for sale: Ghosts in the Valley by Richard Steele  and Farming and Subsidies: Debunking the Myths by Brian Chamberlin.

Veterinary Medicines - Federated Farmers is involved with overseeing the implementation of the Agricultural Compounds and Veterinary Medicines Act 1997. The ACVM Group is holding only one workshop for interested parties, which will be held in Auckland in October. For more information, contact Ann Thompson email: athompson@fedfarm.org.nz.

Employment seminars - Sign up for a Federated Farmers Employment Seminar in October or November. The cost is $65 for members and $165 for non-members. Call 0800-327-646 to register.

Rural Butchers meet - This will be held in Dunedin on Saturday 13 September at the Accor Mercure Hotel. Highlights of the conference will include a trip to the Inox Stirling Meat Equipment Centre and Saturday night dinner with fellow rural butchers. To book your accommodation, contact Eva Johnston; email ejohnston@fedfarm.org.nz or phone 0800-327-646. See the agenda here: See agenda here.

Quote of the week - Farming looks mighty easy when your plough is a pencil and you're a thousand miles from the corn field. - Dwight David Eisenhower