Early Bird I Wednesday August 14th 2024

New Zealand’s gene technology laws are set for a major overhaul, rural services giant feels pinch as farmers tighten belts, and Raglan farmer elected to lead Shearing Sports NZ.  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! New Zealand’s gene technology laws are set for a major overhaul The New Zealand government has announced plans to lift the country's nearly 30-year ban on genetically engineered or modified organisms outside the lab. Science Minister Judith Collins confirmed that legislation to end the ban and establish a dedicated regulator will be introduced this year. This move fulfils commitments made in both the ACT Party and NZ First coalition agreements. The new law will be modelled closely on Australia's Gene Technology Act 2000, adopting a "hybrid approach" to regulation with applications assessed under a risk framework. A key feature of the legislation will be the creation of a regulator to manage risks associated with gene technology. This regulator will have the authority to exempt specific gene technologies from regulations if they pose minimal risk or cannot be distinguished from outcomes achievable through conventional breeding techniques. To support the Ministry of Business, Innovation and Employment, a technical advisory group comprising 12 scientists and researchers will be established. This group will provide guidance on gene technology regulation procedures and technical matters. Additionally, a Māori focus group and an industry focus group will offer specific advice in their respective areas. Collins emphasised the potential benefits of modernising gene technology laws, including improvements in health outcomes, adaptation to climate change, economic gains, and overall quality of life for New Zealanders. She noted that in 2020, New Zealand's biotech sector, which includes gene technology, generated $2.7 billion in revenue. The government aims to have the law passed and the regulator operational by the end of 2025. The new legislation is expected to allow greater use of gene editing while maintaining strong protections for human health and the environment. This significant shift in policy marks a departure from previous governments' approaches and aligns New Zealand with global best practices in gene technology regulation. And for more on GE check out the special report in the 2024 Spring Dairy Exporter magazine and episodes 26 27 and 28 of the Dairy Exporter Podcast. Farmers welcome genetic technology policy shift In response to the government's announcement, Federated Farmers have expressed their approval, viewing this as a positive step forward for the country's agricultural sector. President Wayne Langford emphasised the organisation's ongoing efforts to initiate a national conversation about gene editing and similar technologies. He pointed out that New Zealand's last comprehensive review of these technologies occurred in the early 2000s, despite rapid advancements in genetic science and our growing awareness of global challenges such as climate change and biodiversity loss. The government's decision aligns with one of Federated Farmers' key policy priorities leading up to the 2023 General Election - supporting better use of technologies to restore farmer confidence. Langford highlighted the agricultural community's constant search for innovative methods to improve production, increase profits, and reduce environmental impacts. Federated Farmers see significant opportunities in using these technologies to address pressing issues. These include reducing greenhouse gas emissions, enhancing drought resilience, and increasing farm productivity. Langford also mentioned potential benefits in conservation efforts, such as controlling invasive species that threaten native ecosystems, as well as advancements in healthcare. However, Langford acknowledged the need for careful consideration of potential risks and trade-offs, including the reaction of international consumers to such changes. Federated Farmers plans to actively participate in the Select Committee process to ensure any legislation is fit for purpose and adequately addresses possible risks. Rural services giant feels pinch as farmers tighten belts PGG Wrightson has reported a significant 82 percent drop in its full-year profit. The company attributes this steep decline to the economic downturn and weak commodity prices affecting its farmer clients. Garry Moore, PGW's chair, acknowledged the direct link between the company's performance and the wellbeing of its customers. He noted that farmers and growers have faced difficult conditions over the past year, which has directly impacted PGW's results. Despite increasing its market share, PGW has been affected by farmers and growers cutting back on discretionary spending. The sheep farming sector has been particularly hard hit, experiencing soft export demand and weaker commodity pricing. The rural real estate market has also been unusually quiet. The company saw profitability decline across all its business divisions. The main Retail and Water division reported a 7 percent drop in earnings compared to the previous year. The agency division's earnings fell by 23 percent due to slower livestock and real estate sales, although wool prices remained stable. Geopolitical tensions and a slower-than-expected recovery in the key Chinese export market continue to dampen commodity price expectations. While easing inflation and potential interest rate cuts may help lift demand in the future, the broader uncertainty has led PGW to refrain from making any specific earnings forecast. Market challenges trigger leadership change at Comvita Meanwhile Leading mānuka honey exporter Comvita has announced a significant leadership overhaul as it grapples with declining revenues in China and Asia. The company, listed on the New Zealand Exchange, is resetting its strategy to address current market conditions. David Banfield will step down as chief executive and managing director at the end of the month, transitioning to a strategic advisory role. Brett Hewlett, currently the board chairman, will take on the position of acting CEO. Bridget Coates, who joined Comvita in 2021, will assume the role of board chair. The restructuring comes in response to Comvita's challenging financial results. The company reported a net loss of $16.8 million for the 2024 financial year, a stark contrast to the $13.1 million profit recorded in 2023. This downturn is largely attributed to weakening market conditions in China, with ripple effects felt across Asia. Raglan farmer elected to lead Shearing Sports NZ Shearing Sports New Zealand has elected a new chairman following the retirement of former shearing champion Sir David Fagan. Warren Parker, a Raglan farmer and shearing contractor, has been chosen to lead the organisation. Parker brings extensive experience to the role, having served as chairman of the organisation's North Island committee for the past decade and as a northern delegate to Shearing Sports New Zealand for over 20 years. His election took place at the annual meeting held in Te Kūiti, where he emerged as the successful candidate among three nominees. The new chairman's background differs significantly from his predecessor. While Fagan was renowned for his competitive shearing career, winning over 640 titles including world, Golden Shears, and New Zealand Shears championships, Parker describes himself as "just an average shearer" who never entered competitions. Parker's journey in the shearing industry began when he left school. After spending more than a decade working abroad in the UK, US, and Australia, he returned to Raglan. There, he was approached to help organise the local shearing competition, the Western Shears, which included the New Zealand lamb shearing championships. Despite the eventual end of the Western Shears competition in 2013 due to declining sheep numbers and shearers in Waikato, Parker remained active in the sport at both North Island and national levels. His contributions include involvement in organising the 2017 Golden Shears World Shearing and Woolhandling Championships in Invercargill and operating the North Island electronic scoring system. Parker's leadership experience extends beyond shearing sports. He has served as chairman of Raglan Junior Rugby and the Waitetuna School Board of Trustees. See omnystudio.com/listener for privacy information.