Monthly Archives: August 2012

Frozen beef leads rise in export value for meat

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Frozen New Zealand beef led an increase in export value for meat and edible offal in July 2012, compared with July 2011, according to Statistics New Zealand (SNZ).

The latest figures show export value for meat and edible offal grew by $25 million (6.9 percent) during the period led by frozen beef, which increased by $22 million. Exports of beef to the US increased by $19 million, leading a $35 million (11 percent) growth in overall exports to that market. This corresponded to a $19 million fall in the value of beef exports to Indonesia.

Meat and edible offal is still trending upwards in value since its recent low point of February 2012, but is still 11 percent lower than its record high point in July 2011, according to SNZ.

Overall, the value of exported goods rose $296 million (eight percent) in July 2012 to $4 billion, compared with July 2011. This was led by a rise in the value of milk powder exports, says SNZ.

Imports rose $383 Million (11 percent) to $4 billion, with all three broad economic categories – capital, intermediate and consumption goods – rising in value.

The trade balance for July 2012 was a small surplus of $15 million (0.4 percent of exports). This compares with a surplus of $103 million (2.8 percent) of exports in July 2011.

Seasonally adjusted exports fell 0.4 percent and imports fell 1.5 percent compared with June 2012. Most major export commodities fell, offset by milk powder, butter and cheese, which rose 20 percent, reports SNZ.

Trading with Russia

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Exporters trading with Russia will be focusing on Vladivostok as trade talks take place there next week.

A delegation of business people is participating in the Asia-Pacific Economic Co-operation (APEC) Chief Executive Summit and related meetings in Vladivostock, Russia, during the week of 3 September, according to the NZ International Business Forum (NZIBF).

“The Vladivostock meeting takes place as Russia takes up its long-awaited and welcome entry into the World Trade Organisation (WTO) and as further progress is made to build the foundations for future growth in the Asia-Pacific region,” says NZIBF executive director Stephen Jacobi.

“New Zealand has a major stake in the future economic success of the Economic APEC region which takes over 70 percent of our exports. Negotiations now underway amongst eleven APEC economies to complete the Trans-Pacific Partnership (TPP) are aimed at eliminating trade barriers, reducing the cost and complexity of doing business and providing a pathway to a future Free Trade Area of the Asia Pacific (FTAAP). New Zealand is also negotiating a free trade agreement with the Customs Union of Russia, Belarus and Kazakhstan.”

Russia’s 2012 chairmanship in APEC is promoting the domestic economy’s organic integration into the system of economic ties in the Asia Pacific Region (APR) in the interests of modernisation- and innovation-driven economic development, primarily in Siberia and the Russian Far East.

The fourth and final meeting this year of the APEC Business Advisory Council (ABAC) will take place in Vladivostock 3-6 September. ABAC members will present their views and recommendations directly to APEC Economic Leaders, including Prime Minister John Key, on 8 September. They will be joined at the APEC CEO Summit 7-8 September by several New Zealand chief executives.

This year’s Summit – under the theme Addressing Challenges. Expanding Possibilities. – will explore how business can contribute to future prosperity in the region through trade liberalisation, safe food and water supply, infrastructure development, the fostering of innovation and new transportation routes.

In the year ending December 2011, Russia was 14th on the list of New Zealand’s top trading partners. The country imported $44 million (fob) worth of New Zealand sheepmeat and about $11 million worth of frozen New Zealand beef.

Channelling innovation

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The Government released the second of its six progress reports –  Building Innovation – under its Business Growth Agenda this week. The move has been welcomed by the Meat Industry Association (MIA).

Building innovation is central to building a more competitive and productive economy, said Prime Minister John Key at a business breakfast launch for the report earlier this week, adding that it gives a clear picture of the more than 50 policy initiatives the Government has underway to improve innovation, competition and the commercialisation of smart ideas and research into new products.

It calls for a doubling of the amount businesses spend on research and development, from 0.54 percent of GDP to more than one percent of GDP.

MIA chief executive Tim Ritchie has welcomed the report, saying that the meat industry is “all for anything that helps in that area.” Industry is very interested in innovation and already has a number of initiatives in place, he says.

“Individual members are involved with a number of Primary Growth Partnership projects, while the industry has also invested in Ovine Automation Ltd, a consortium of nine MIA member companies and the government that is looking at bringing a step change in sheep processing through the use of automation.”

This all adds to innovations individual meat companies are working on in their own workplaces, like Silver Fern Farms’ robotics projects, Ritchie explains.

New Advanced Technology Institute

Meat exporters will also benefit in the future from the new Advanced Technology Institute (ATI) that was announced this week will be named after the late Sir Paul Callaghan. It is to receive $166 million over the next four years and is one of the initiatives to grow business research and development further.

The Institute will be a one-stop shop that will help high-tech firms become more competitive by better connecting them with innovation and business development expertise within the institute, around the country and internationally, Steven Joyce, science and innovation minister says.

‘It will focus on industries with significant growth potential such as food and beverage manufacturing, agri-technologies, digital technologies, health technologies and therapeutics manufacturing and high-value wood products.

“The ATI will take over some business development functions that are currently within the Ministry of Business, Innovation and Employment. This will include the administration of some business research and development grants,” Joyce says.

A seven member establishment board has been tasked with having the ATI up and running by the end of the year. Chaired by Sue Suckling, who led the set up of AsureQuality NZ and NZQA, other board members include Industrial Research Ltd (IRL) director and former New Zealand Game Industry Board and Cervena Ltd chairman Richard Janes and Dr Michele Allan, who has leadership experience across many facets of the Australian food industry. They join IRL chair Michael Ludbrook, entrepreneur Neville Jordan, Auckland Transport director Paul Lockey and Plant and Food Research chair Michael Ahie.

Strong support in business community

Business NZ says that there is strong support in the business community for the Government’s systematic approach to building innovation. The ATI is a centrepiece of the innovation policy, says BNZ chief executive Phil O’Reilly.

“But there are many other initiatives including expanded TechNZ funding, better, government procurement policies, National Science challenges, more funding for the Performance-Based Research Fund, refinement of trademark and patents law, more investment in engineering at tertiary institutes, encouragement for multi-nationals to conduct research in NZ and others.

“It is up to business to innovate and grow and take up the Government’s invitation to keep the lines of communication open and provide feedback on how we are travelling towards a high-tech future.”

Try lamb, says joint promotional group

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A joint promotional push is getting United States consumers to try lamb.

Project partners involved with the Tri-Lamb Group, which has a goal to get more Americans eating lamb, are meeting with two Beef + Lamb New Zealand (B+LNZ Ltd) farmer directors.

Central South Island director, Anne Munro and Southern South Island director, Leon Black are in Idaho, representing New Zealand sheep farmers alongside their fellow Tri- Lamb Group representatives from Australia and the United States.

B+LNZ Ltd chief executive Dr Scott Champion says the collaborative promotion by the three sheep producing nations is built around the understanding that the profitability and sustainability of the lamb market in the US is important for farmers in all three countries.

“If more Americans are eating lamb, then each country stands to gain from the opportunities that increased consumption will provide.

“The programme includes online food and nutrition blogs that share lamb recipes and podcasts showing how to build simple and healthy lamb meals for the family. They’re tracking a lot of interest.

“This week the Group reviewed last year’s programme and considered continuing support for the initiative, called ‘Making Lamb Famous in the United States’.”

For the year ended 30 June, the United States was New Zealand’s third largest sheepmeat market by value (NZ$256 million), behind the United Kingdom (NZ$534 million) and Germany ($NZ275 million) and ahead of China (NZ$247 million).

View Lean on Lamb online food blog.

 

I’ll just print me a steak …

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Traditional meat exporters will need to consider future protein competition coming from outside the box in the future, as new technology is attracting innovation funding around the world.

One such piece of research, by a US company called Modern Meadow, has this week gained between US$250,000-300,000 for a tissue engineering project. Modern Meadow is said to be developing a fundamentally new approach to meat and leather production, “which is based on the latest advances in tissue engineering and causes no harm to animals.”

The news was announced by the US-based Thiel Foundation, set up by one of the founders of PayPal Peter Thiel. It was one of three new grants, awarded through its Breakout Labs programme. This is a revolutionary revolving fund to promote innovation in science and technology. The two other grants went to medical and therapeutic innovations.

According to Breakout, Modern Meadow co-founders Gabor and Andras Forgas respectively invented and helped to commercialise bio-printing, a technology that builds tissues and organ structures based on the computer-controlled delivery of cells in three dimensions. The two previously co-founded Oganovo,a a San Diego-based regenerative medicine company which applies bio-printing to a range of medical applications including drug discovery, drug testing and ultimately transplant tissues. They plan to use the Breakout Labs funding to apply the latest advances in tissue engineering beyond medicine to produce novel consumer biomaterials, including an edible cultured meat prototype that can provide a humane and sustainable source of animal protein to consumers around the world.

“Breakout Labs is a much-needed source of funding and support for emerging technologies like ours,” says Andras Forgacs. “Investors across the board have become more risk-averse and yet early funding is critical to enable truly innovative ideas.”

Modern Meadow, based in Missouri, is combining regenerative medicine with 3D printing to imagine an economic and compassionate solution to a global problem, says Lindy Fisbhurne, Breakout Labs’ executive director. “We hope our support will help propel them through the early stage of their development so they can turn their inspired vision to reality.”

Launched in November 2011, Breakout Labs provides teams of researchers in early-stage companies with the means to pursue their most radical goals in science and technology. To date, the fund has awarded a total of nine grants, of up to $350,000 each. Breakout Labs accepts and funds proposals on a rolling basis.

Although very early days as yet, the concept supported by the fund could bring printing your own steak for the barbie nearer to reality, but just don’t expect it in the near future.

The Modern Meadow innovation is not alone in attempting to solve the world’s future protein needs. New Zealand’s Riddet Institute is also working on the joint PROTEOS project with its counterpart Wageningen University in The Netherlands, “formulating novel solutions that involve extending and using more effectively future animal-based protein sources, transforming the protein supply chain” – essentially growing meat in the laboratory. Project plans involving staff from both organisations will be finalised this year.

 

 

 

New protein science team in Christchurch

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Industrial Research Ltd is setting up a new protein science team, led by Andrew Muscroft-Taylor, that will be based at the University of Canterbury’s Biomolecular Interaction Centre in Christchurch and will be assisted with PhD and masters students from the university. In addition, IRL’s unit in Christchurch will also include a Manufacturing Innovation Group that will be assisting companies solve their problems with engineering.

A Stuff article ‘Science team formed to help firms‘ includes an interesting case-study about IRL’s work with gelatine factory Gelita NZ, which makes the product from cow-hide at it’s Woolston plant, which was badly hit during the Christchurch earthquakes. After rebuilding the factory, Gelita/IRL are now turning their attention to reducing gelatine odour which would help it target the pharmaceutical industry with gelatine capsules, which require a higher quality of gelatine. Read more …

New science adviser for MPI

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Dr Ian Ferguson MNZM has been appointed to the newly created position of Departmental Science Adviser for the Ministry of Primary Industries (MPI) and will take up his part-time role from mid-September.

Announcing the appointment, MPI deputy director of policy Paul Stocks said that it is an exceptionally important role for the Ministry. “I am confident that Dr Ferguson will provide strong science leadership to ensure that MPI is well connected across government and with the science community and will continue to provide high quality scientific advice.”

The role focuses on the key areas of quality assurance of science inputs into regulatory decision making; strategic direction for science investment; and ensuring MPI is able to effectively deal with emerging risks and opportunities.

Dr Ferguson is well known in the science community, both nationally and internationally. He has been the chief scientist of crown research institute Plant and Food Research (and formerly HortResearch) since 2003. He has a science background in plant and fruit physiology, postharvest and horticultural science, biochemistry and biotechnology. He has also been a member of the New Zealand government funding and review panels and bodies, including being on the Marsden Council and the Rutherford Discovery Fellowship panel.

Professor Sir Peter Gluckman, the Prime Minister’s chief science adviser says the role is critical for government if New Zealand is to maximise the benefits of evidence-based policy.

The role is for a three year term and is part-time. Dr Ferguson will continue in a science role with Plant and Food Research.

 

Sheep scanning recognised as revolutionary tool

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A revolutionary tool for reproductive management of sheep in New Zealand, which has contributed to the country’s improved meat production over the past two decades, has been recognised in the inaugural Sheep Industry Awards, alongside the top flocks and sires for genetic merit.

About 200 people attended an event in Invercargill earlier this month to celebrate sheep farming excellence and to witness the presentation of nine awards covering genetics, production and business innovation. Results of the genetics-related awards were calculated based on breeders’ performance in SIL-ACE (Advanced Central Evaluation) – the large-scale, across flock and breed genetic evaluation of more than 280 ram breeding flocks.

The Silver Fern Farms award for sheep industry innovation went to Rowan Farmer, who was responsible for introducing and promoting sheep pregnancy and eye-muscle scanning technology to New Zealand.

Farmer set up Stockscan in 1991. The primary aim was to scan sheep for eye muscle area, but Farmer’s experience with quarantined sheep at Invermay gave him an insight into the management benefits of pregnancy scanning. Since then, the practice has expanded to include the identification of twins and triplets. Scanning has revolutionised the reproductive management of sheep throughout New Zealand.

In addition, the country’s top performing breeders of meat yielding sheep were honoured. Joseph and Judy Barker’s terminal sire flock ‘The Burn’ Texel stud in Mid-Canterbury rated highest for genetic merit across the SIL-ACE evaluation, The dual purpose (ewe breed) flock rated highest for genetic merit was ‘MNCC’, Edward Dinger’s Coopworth stud in the Waikato. The same flock also won the Alliance High Performance Flock award.

B+LNZ geneticist Mark Young says the process of identifying the top-performing flocks involved analysing the top 25-50 percent of rams for each specified set of traits, before then adjusting the results to account for variatons in flock size.

“This exercise also identified highly-rated sires that were making a big impact in industry. The B+LNZ Super Sires are rated in the top 10 percent for genetic merit in indexes of merit across key traits. They are also rams which have been used a lot, so have the most progeny,” says Young.

The B+LNZ Ltd Award for an individual or business making a significant contribution to the New Zealand sheep industry went to Dr Jock Allison ONZM. Two of the highlights of his career, from the sheep industry viewpoint, have been his work with the Booroola Merino which led to the discovery of a major gene fecundity gene and for importing the East Friesian sheep to this country.

The idea to hold an awards ceremony was initiated by B+LNZ Farmer Council Member and ram breeder Russell Welsh. Welsh says the dairy industry’s track record of celebrating success promoted him to suggest the awards ceremony. “It highlights best practice and,by default, that lifts all farmers.

B+LNZ Ltd chairman Mike Petersen says it is great to see farmers driving an initiative which celebrates the sheep industry, while also highlight the immense value of SIL’s database to the sector.

Other award winners on the night were:

  • AgITO Business Farm Trainer of the Year –Smedley Station and Cadet Training Farm.
  • Dual Purpose plus Worm FEC Flock (Index: Reproduction + lamb Growth + Adult Size + Wool + Parasite Resistance) – Nithdale Romney flock, owned by A Tripp of Gore.
  • Dual Purpose plus Facial Eczema Flock (Index: Reproduction + lamb Growth + Adult Size + Wool + FE Tolerance) – ARDG Romney Flock, R & G Alexander of Tirau.
  • Beef + Lamb New Zealand Super Sires – in addition, top sires were also picked out in six categories: terminal; dual purpose*; dual purpose high performance*; dual purpose plus meat yield*; dual purpose plus worm FED; and dual purpose plus facial ezcema tolerance. A Coopworth Ram owned by Steve Wyn-Harris of Waipukerau won three of those spots (marked *), really making it the Super Sire.

For more information see www.beeflambnz.com.