Early Bird Rural News with Richard Baddiley

Early Bird I Thursday March 6th 2025


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Butter hits record high at Global Dairy Trade auction, Pāmu Farms is sticking with Synlait, and horticulture sector challenges gender leadership gaps.

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!

 

Butter hits record high at Global Dairy Trade auction

Butter has reached its highest price point since the Global Dairy Trade auction platform launched in 2009, continuing its remarkable climb with a 2.7% increase. The record-breaking price translates to approximately $13.50 per kilogram at wholesale.

The latest auction revealed a complex landscape of dairy product pricing, with various commodities showing mixed performance. Whole milk powder experienced a 2.2% decline, while skim milk powder showed a modest 0.6% increase.

Cheese categories demonstrated varied results, with cheddar rising 1.1% and mozzarella making an impressive 7.9% jump. Lactose emerged as the standout performer, leaping 14.0% to become the most significant price increase of the auction.

Dairy market analysts suggest the sustained high prices for butter could signal broader trends in global dairy consumption and production, potentially indicating shifts in international agricultural markets.

 

Pāmu Farms is sticking with Synlait

State-owned Pāmu Farms has committed to continuing its milk supply to Synlait, signaling confidence in the dairy processor's recent strategic changes. Operating 44 dairy farms nationwide, Pāmu has seen its dairy operations drive more than 60% of its revenue, with the company now projecting a substantially improved financial outlook.

The decision comes after Synlait implemented significant retention strategies, including targeted financial incentives to prevent farmers from withdrawing their milk supply. These efforts appear to be paying off, with Pāmu choosing to maintain its commitment despite earlier uncertainties.

Chief Executive Mark Leslie highlighted the importance of carefully evaluating processor incentive schemes, emphasizing the need to capture benefits beyond standard milk pricing. The company's financial projections have brightened, with full-year operating profit now expected to reach up to 51 million, a significant improvement from previous forecasts.

The dairy sector continues to show dynamism, with Pāmu also exploring innovative arrangements like sharemilking across farms in Taupo, Canterbury, and the West Coast. This approach demonstrates the company's ongoing commitment to agricultural innovation and flexibility.

Other agricultural players have similarly reassessed their positions, with Theland Purata Farm Group recently reversing earlier withdrawal notices after observing positive changes in Synlait's strategic direction.

 

NZ Merino addresses shearing practices after Peta footage

New Zealand Merino (NZM) has uncovered breaches of its ZQ and Responsible Wool Standard following an investigation into controversial shearing footage released by People for the Ethical Treatment of Animals (Peta). The video, originally filmed in 2023, sparked significant concerns about animal treatment in wool production.

Chief Executive Angus Street emphasized that while Peta claimed the footage was from ZQ programme properties, much of it was wrongly attributed. However, a third-party audit by Control Union did identify breaches at two properties, primarily related to staff training, supervision, and animal handling standards.

The investigation triggered immediate industry response, including 52 spot inspections and additional criteria for wool producers. Of the 35 corrective actions issued, most involved documentation and record-keeping issues. Both identified properties have cooperated fully, developing action plans to prevent future breaches.

The Ministry for Primary Industries (MPI) is simultaneously conducting its own investigation, with Director of Compliance Glen Burrell confirming ongoing discussions with multiple parties about the alleged mistreatment.

Street stressed the company's commitment to maintaining the ZQ programme's reputation as the world's first ethical wool production standard, while acknowledging the need for continuous improvement in animal welfare practices.

 

Brothers scoop top prize at Taranaki Dairy Industry Awards

Brothers Ryan and Scott Anderson have been crowned the 2025 Taranaki Share Farmers of the Year, bringing home $8,000 and six merit awards at the annual industry celebration on Tuesday night.. The siblings, who sharemilk across three properties in Opunake totalling 470 hectares and 1,215 cows, impressed judges with their innovative approach to dairy farming.

Growing up on a farm, the brothers emphasize a low-cost system focused on profitability over pure production. Ryan, a qualified builder, and Scott, who holds an AgCommerce degree, leverage their different strengths to manage their farming business efficiently. They've navigated challenges like doubled interest rates by working strategically and maintaining excellent dairy practices.

Alongside their sister Kate, the Andersons prioritize family and work-life balance while pursuing ambitious farming goals. Their vision includes expanding their sharemilking business and ultimately achieving land ownership.

Martin Keegan was named Dairy Manager of the Year, Saffron Astwood claimed the Dairy Trainee of the Year title, and Matthew O’Connell won the Dairy NZ People and Culture Award.

Ryan and Scott Anderson will showcase their farming approach at a field day in Opunake on March 23.

 

Horticulture sector challenges gender leadership gaps

As International Women's Day approaches, New Zealand's horticultural sector is confronting a significant gender leadership gap. Despite women comprising nearly half of the workforce, they occupy just 20 percent of leadership positions, highlighting a critical challenge for the industry.

Project Manager for Women in Horticulture (WiH) Stephanie Wrathall is championing change, emphasizing the urgent need to break down systemic barriers. This year's International Women's Day theme of 'Accelerate Action' underscores the push for greater gender equality in the sector.

Recent research from the Food and Fibre Centre of Vocational Excellence reveals approximately 15,200 rural women connected to the food and fibre sector are not working full-time. The study highlights significant barriers, including challenges with flexible training, work scheduling around family commitments, and rural transportation limitations.

WiH advocates for fundamental workplace transformations, arguing that women can significantly enhance success across nurseries, orchards, and export businesses. The organization calls for more flexible training and employment opportunities that accommodate women's multiple roles.

The economic stakes are substantial. Horticulture contributes $4.19 billion to New Zealand's economy, yet persistent gender pay gaps remain. The Salvation Army's State of the Nation 2025 report shows an 8.2% overall gender pay gap, with Pacific and Māori women experiencing the most significant disparities.



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