Early Bird I Friday 10th May 2024

Farmers urged to knuckle down despite a new season milk price forecast, New Zealand joins the race for a “holy grail” methane vaccine and Hewett steps down from Silver Fern Farms board. Welcome to Proud Country's Early Bird - The top things you need to know that impact rural New Zealand delivered to you by 5am, because who doesn’t need better chat beyond the weather! 1. Farmers urged to knuckle down despite a new season milk price forecast An opening milk price of $8.40 per kilogram of milk solids (kg/MS) for New Zealand's 2024/25 dairy season is being predicted by Rabobank, reflecting challenges and opportunities in the global dairy market. Despite expectations of modest milk production growth in key export regions, factors such as low profitability and weather-related issues have influenced market dynamics. According to Rabobank's Q2 Global Dairy Quarterly report the past year's low profitability has resulted in a reduction in dairy herds in regions like the US and South America. Additionally, weather conditions, including reduced rainfall in New Zealand and excessive rainfall in Europe, have impacted milk output. Rabobank anticipates that subdued global milk supply growth will support continued recovery in the dairy market and improvements in milk prices for producers worldwide.  However, the bank warns that this recovery may face challenges due to mixed signals in global demand and ongoing consumer purchasing power constraints. With an anticipated milk price of $8.40 kg/MS for the upcoming season, Rabobank expects profitability at a national level but acknowledges that local dairy producers may continue to face budgetary pressures. 2. New Zealand joins the race for a “holy grail” methane vaccine AgriZeroNZ is intensifying efforts to develop a methane vaccine by investing in U.S. ag-biotech startup ArkeaBio. The joint venture has injected $9.9 million into ArkeaBio to accelerate the development of a methane vaccine for ruminant animals, starting with cattle. Wayne McNee, CEO of AgriZeroNZ, says it’s important to back two vaccine projects to enhance the likelihood of delivering this highly anticipated solution. A methane vaccine for ruminant animals is globally recognized as the 'holy grail' for achieving methane reduction at scale and low cost. It could be a game-changer for curbing agricultural emissions in New Zealand and globally without compromising farm profitability, especially given its suitability for grass-fed animals and pastoral farming practices where vaccination is common for animal health, ArkeaBio, based in Boston and led by Kiwi expat Colin South, recently secured millions in venture financing to advance the development, expansion, and market path of their methane vaccine.  Colin South emphasized the significance of a vaccine as a cost-effective means to achieve widespread enteric methane reduction in cattle globally. South says this single solution, adopted on a large scale, has the potential to alter the trajectory of global warming and demonstrate a pathway toward achieving major climate mitigation goals, McNee emphasizes that a methane vaccine is a critical component of AgriZeroNZ's goal to reduce agricultural emissions by 30% by 2030, aligning with New Zealand's climate objectives and international trade commitments. 3. LIC upgrades will offer significant time savings for farmers LIC has introduced enhanced functionality into its MINDA® software, facilitating collaboration with additional industry partners to streamline farmers' compliance tasks and save them valuable time. According to LIC Chief Information Officer Dhaya Sivakumar, these upgrades will offer significant time savings for farmers and that farmers often face frustration when required to provide the same information to multiple industry players, despite the growing need for high-quality farm data. A recent DairyNZ survey revealed that New Zealand farmers spend approximately one hour each day on administrative tasks like paperwork and reporting.  Fonterra farmers will soon have the option to populate their Farm Dairy Records with animal information from MINDA, while Open Country suppliers can do the same in their Farm Environmental Plan. This integration will reduce the need for manual data entry. LIC's collaboration with OSPRI brings Animal Status Declarations (ASD) into MINDA, allowing farmers to complete necessary administrative tasks for animal movements within the same platform. Looking ahead, farmers will soon be able to streamline stock movements and reconciliations in New Zealand farm reporting software, Trev, directly from MINDA. This collaboration aims to simplify farmers' lives by reducing data entry and ensuring accuracy across platforms. 4. Fieldays sit for a cutting-edge event Fieldays is rapidly approaching, with just over six weeks until the annual event kicks off at Mystery Creek from June 12 to 15 with tickets for this year's event  on sale, and preparations are in full swing. Peter Nation, the chief executive of the New Zealand National Fieldays Society, says that the site is already buzzing with activity as contractors work diligently to prepare for the event. Fieldays attendees can anticipate an impressive lineup of around 1000 exhibitors showcasing farm machinery, cutting-edge technology, artisan food products, and new vehicles hitting the market. A notable addition to this year's event is the Rural Advocacy Hub, which aims to bring together various rural organizations advocating for farmers and championing their interests under one roof.  Other specialized hubs at Fieldays include the Digital Futures Hub, Forestry Hub, Sustainability Hub, Careers and Education Hub, Hauora Taiwhenua Health and Wellbeing Hub, and Innovation Hub. Visitors exploring the innovation, sustainability, and careers and education hubs can use the Fieldays app to activate a special trail layer, making it easier to identify exhibitors showcasing innovation, sustainability initiatives, and career and education pathways. The Fieldays app, serves as a convenient pocket guide to the event, featuring a complete list of exhibitors and a map to navigate the event grounds. For more info and tickets, visit fieldays.co.nz. 5. Hewett steps down from Silver Fern Farms board Rob Hewett has concluded his 16-year tenure as a director of Silver Fern Farms, retiring from the board at the recent annual general meeting. A farmer from South Otago, Hewett served with a wealth of experience, alongside three chairs, 25 directors, and four chief executives during his tenure.  His successor, Anna Nelson, a farmer from Aria, Waikato, will take over the role, while Hewett will continue as an appointed director to aid in the transition following the appointment of new CEO Dan Boulton, who succeeded Simon Limmer. Over the years, Hewett witnessed the ups and downs of business, including Silver Fern Farms' revival from financial crisis through recapitalization by Shanghai Maling, the closure of eight plants and businesses, and a significant revenue increase. The company also underwent rebranding and launched its market-led "plate to pasture" strategy. In an emotional farewell at the meeting, Hewett expressed gratitude to fellow board members, staff, farmers, and family for their support throughout his governance career, describing the experience as fulfilling and revealing that he wouldn't change a thing if given the chance to start over. The annual meeting also saw the election of two new board members, Adrian Ball from Waikato and Gabrielle Thompson from Mid Canterbury, among four candidates vying for the positions.See omnystudio.com/listener for privacy information.