In the news this week (3)

People are key to the success of Riddet Institute’s Agri-Food Strategy wrote Jon Morgan in a Dominion Post opinion piece early on last week. “The prize is too great to abandon,” he said.

So, focus is now shifting to the week-long chief executives’ Primary Sector Boot Camp at Stanford University in California later this month, which will be attended by over 20 chief executives including meat industry leaders Keith Cooper of Silver Fern Farms and Mark Clarkson of ANZCO Foods, alongside Minister of Primary Industries David Carter. On the table for discussion will be the Agri-Food Strategy.

Agmardt is principal sponsor of the private sector-led chief executive forum designed to unlock the global potential of New Zealand’s primary sector. At the time of the sponsorship announcement at the end of April, Jeff Grant chairman of the Agmardt board of trustees said he regarded the boot camp as an ideal fit under the grant body’s new strategic priorities.

“A key outcome of the boot camp is to explore and drive in-market collaboration within New Zealand’s primary sector, which is strongly aligned with Agmardt’s new strategy to fund activities that enable New Zealand agribusiness to identify and explore potential opportunities within the global marketplace.”

Grant said the willingness by senior industry leaders to be involved in the camp to discuss and explore strategies for greater collaboration and alignment across a wide range of primary industries, “is extremely encouraging.”

Other supporters of the Primary Sector Boot Camp, which will comprise leaders from the dairy, beef, sheep, seafood, viticulture and horticulture sectors, include the Ministry of Science and Innovation, the Ministry for Primary Industries and NZ Trade and Enterprise.

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Other news appearing over the week included:

Protein sources of the future –A new New Zealand/Dutch study has outlined the coming challenges to meeting future demand for protein. In a review published this week in the journal Trends in Food Science and Technology, Dr Mike Boland from the Riddet Institute and his colleagues at the Wageningen University in the Netherlands have drawn on a range of research sources to peer into the future of the world’s food supply. They say, as demand is outstripping supply of meat, mankind will “need to get creative” with its protein sources, considering competition between humans and pet food industries, noting that rabbits and other novel animal species, “should not be discounted as having an important part to play in future animal protein production systems,” and speculate that there may be ways to derive dietary protein from food waste from biofuel crop leftovers. Whatever happens, consumer acceptance will be key, say the authors.

New NZTE chairman – Interesting to note that former Fonterra chief executive, Andrew Ferrier, has been named as the new chairman of the New Zealand Trade & Enterprise (NZTE) board. Replacing Jon Mayson, he will commence his three year term on 1 November. Announcing the appointment, Economic Development Minister Steven Joyce says that Ferrier will bring “strong governance and strategic capability to the NZTE board”. Ferrier is a director of Orion Health Ltd and CANZ Capital Ltd. He was appointed to the University of Auckland Council in March 2012. Prior to his work with Fonterra, he was involved with the global sugar industry. Born in Canada, he has been a New Zealand citizen since 2008.

A new Code of Welfare for Meat Chickens came into effect on 26 July, setting out the minimum standards and best practice guidelines for the poultry industry. The new Code replaces the Code of Welfare for Broiler Chickens that was released in 2003. The new Code has a broader scope and includes chickens that have access to the outdoors, says the National Animal Welfare Advisory Council (NAWAC). “Another key change is that farmers will have to take the environment of the chicken into account when deciding how many chickens to keep in a designated area,” NAWAC chair John Hellström says. “Farmers will also be required to stay within the minimum standards for stocking density, but they will now have to also consider things like litter quality, lighting, air quality and temperature when deciding how to house their chickens.” Find out more here.

NZUS Council sponsors MPs visit to Washington – Two MPs Peseta Sam Lotu-Liga and Hon Shane Jones, co-chairs of the New Zealand US Parliamentary Friendship Group, recently returned from a successful NZUS Council sponsored visit to Washington DC. The visit – particularly timely given the stage of the Trans Pacific Partnership negotiations – raised NZ’s profile and also gave the MPS the chance to gain valuable insights about US negotiating interests. In a full programme over a four-day visit, the MPs met with members of the Friends of NZ Congressional Caucus and a range of Congressional representatives and had meetings with senior officials in the State Department, Treasury and US Trade Representative’s office. They were also guests of honour at a well-attended lunch hosted by the US NZ Council. Other guests included Congressional staff, senior US company executives and Council members and supporters. The NZ US Council met the costs of the MPs domestic travel in the US and related on-the-ground costs. Arrangements in Washington were made by the New Zealand Embassy.

World price slump put lamb back on Kiwi menus – the NZ Herald reported over the weekend on the news that prices for Kiwi consumers are down too and they are responding enthusiastically. Read more… 

Finally, with the London Olympics in full swing this week, it seems only right to congratulate all of the Kiwi athletes, but particularly B+LNZ Inc’s bronze medal award-winning Iron Maidens Rebecca Scown and Juliette Haigh for their  success in the women’s pairs (rowing) and Alison Shanks (cyclist) for her tremendous efforts in the team event. All the best now to Sarah Walker (BMX) for her event yet to come on the world sports stage. Go Team NZ!!


 

 

 

 

 

Call to arms for agri-food

A proposal for a new Agri-Food Board is centre of a comprehensive new strategy aimed at tripling the value of exports for the agri-food sector to about $60 billion.

The Riddet Institute, a national centre of research excellence focusing on food, digestive physiology and nutrition, issued a ‘Call to Arms’ yesterday through the launch of its independent report on the future of New Zealand’s agri-food sector. The report calls for a joint approach from industry and government to drive the activities needed to treble the value of exports in the sector by 2025, as suggested in the Government’s Economic Growth Agenda in 2009.

The report contains options on how sector leaders can work together and why the agri-food industry should lead the strategy implementation work.

It was commissioned by the Riddet Institute and developed by an independent ‘thought leadership’ team led by Dr Kevin Marshall, former chief executive of the Dairy Research Institute, and prepared in response to a call by industry senior executives, who challenged the Institute in 2010 at its annual summit to develop a strategy for science and education-led economic advancement of the New Zealand food industry.

Dr Marshall said: “Our strategies are neither new nor unique, but, in the past, implementation by industry has failed. Crucially, we have provided a pathway and a proposed mechanism for action that will work. There is urgency now because New Zealand faces a mediocre economic future if we don’t drive the major recommendations in this report to fruition.

“Agri-food leaders need to know what to do, how to do it and how to develop the resources they need to do it effectively.”

Welcomed by the Minister

Minister for Primary Industries David Carter welcomed the report, which he said was a vital contribution.

“The Strategy Report highlights that if we are to achieve the standard of living we aspire to by 2025, we must treble the real value of our food exports to about $60 billion,” the Minister said, adding that to achieve a target of real compound growth rate of seven percent over the next 13 years, New Zealand needs to close a gap of current progress of around three percent.

“While the agri-food sectors have been successful, we need to grow faster. To realise growth, we need to collaborate, be innovative, build on our strengths and continue to earn our reputation for safe, high quality food, produced in a sustainable manner.”

New Zealand is lucky to have repositioned itself away from traditional markets, which are currently facing problems, towards Asia. “In the past financial year, exports to China have jumped by nearly 40 percent,” he said.

The Strategy

The task at hand “will not be achieved with business as usual,” Marshall explained.

He outlined the four transformational strategies proposed in the report are to:

  • Selectively and profitably increase the quantities and sales of the current range of agri-food products.
  • Profitably produce and market, new, innovative, high value food and beverage products.
  • Develop value chains that enhance the integrity, value and delivery of New Zealand products and increase profits to producers, processors and exporters, and
  • Become world leaders in sustainability and product integrity.

Four ‘enablers’ back the strategies. These include the development of transformational industry and Government leadership, strong consumer-driven export marketing of branded and consumer and ingredient product, increasing the capability and skills of the agri-food industry and supporting industries and increasing the amount and effectiveness of investment in innovation, research, development and extension supporting the agri-food industry.

He said the think-tank determined that current food industry strategies have not been achieved as they “depended too much on government taking the lead” and that the “captains of industry have not stepped up to take the leadership role.”

For that reason, the most important proposal is to establish an Agri-Food Board “to be the focal point for sector leaders to work together and for industry to lead the work with Government, overcoming barriers to implementation.”

Elements of the strategy link in with thoughts in KPMG’s Agribusiness Agenda for 2012, ‘People Unlocking the Future’ ably presented at the launch Ben van Delden. It also reinforces what the meat industry is already doing with the Red Meat Sector Strategy, B+LNZ Ltd chairman Mike Petersen said.

Strategic echoes include opening access to markets, together with the sector becoming more consumer-driven and collaborative. Discussion also worked its way around the need to attract, develop and retain new graduates and workers for the agri-food sector, the need to develop leadership within the industry and for behaviour and attitude change.

Over 120 attended the launch in Wellington that was attended by the Minister, agri-food industry leaders and senior government officials. Also speaking was NZ Merino’s John Brackenridge. The report will be on the agenda at the forthcoming Primary Industry Chief Executives’ Boot Camp in August at Stanford University, California.

Meat industry leaders, including Keith Cooper of Silver Fern Farms, Sir Graeme Harrison of ANZCO Foods, Sam Robinson of AgResearch, were amongst those who had contributed to the report.

The report is well worth a read to see where the sector’s going. Download a pdf copy of A Call to Arms: A Contribution to New Zealand Agri-Food Strategy or ask for a hard copy by emailing [email protected].