Tag Archives: MPI

MPI backs awards for Māori farming excellence

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New Zealand’s top Māori sheep and beef farmers are being sought in this year’s Ahuwhenua Trophy BNZ Māori Excellence in Farming Award.

The competition was launched by the Minister of Māori Affairs, Hon Dr Pita Sharples, at the Federation of Māori Authorities (FoMA) conference in Taupo last weekend.

The Ministry for Primary Industries (MPI) has announced it has increased its sponsorship involvement from bronze to gold in a deal including $46,000 cash, which Ben Dalton, deputy director general Māori primary sector partnerships, says builds on a long-standing involvement with the competition.

“MPI is committed to working with Māori to enable the sustainable growth of their primary sector assets and this competition fits well with our objectives,” he explains.

“Māori agribusiness has a significant part to play in lifting the primary sector contribution to New Zealand’s economy. By increasing Māori primary sector productivity, we increase the wealth of New Zealand as a whole.”

MPI joins other gold sponsors Te Puni Kōkiri, the Māori Trustee and Beef + Lamb NZ Ltd, together with platinum supporter BNZ and a number of other sponsors.

In a study of Māori freehold land resources – Māori Agribusiness in NZ: A study of the Maori Freehold Land Resource – MPI identified 600,000 hectares of under-performing and 600,000 hectares of under-utilised entities. There were 300,000 hectares (20 percent) of āori freehold land that were well-performing entities.

“So there is a huge opportunity to grow Māori agribusiness entities that are underperforming and supporting the Ahuwhenua Trophy shows what can be done. Even if they are at the top of the game, competitors benefit from high-level peer reviews of their farms and this opens up opportunities to further improve their performance.”

Partnering with Māori to optimise the sustainable use of their primary sector assets will contribute to the Māori economic base. “This base can then be used to self-fund Māori aspirations, whether these are social, cultural or economic,” says Dalton.

“Of the $36.9 billion Māori asset base, a significant $10.6 billion is invested in agriculture, forestry and fishing industries. So harnessing the growth potential of those assets is important.”

The 2013 Ahuwhenua Trophy competition is open to Māori farming properties, either owned individually, or managed by Māori Trusts and Incorporations in New Zealand. The trophy winner will be announced in 7 June 2013. Each year, it alternates between sheep and beef farmers and dairy farmers. The 2013 competition is for Māori sheep and beef farmers.

Further information and entry forms for the 2013 Ahuwhenua Trophy can be found here.

High level of interest in Maori agribusiness funding round

There has also been a high level of interest from groups seeking to promote sustainable resource use in Māori agribusiness, says MPI.

A special Māori agribusiness round in MPI’s Sustainable Farming Fund (SFF), which provides co-funding for small to medium-scale applied research and extension projects, offered about $1 million of co-investment funding in August. It received 47 applications, of which 14 have been approved, subject to contracts being negotiated. MPI aims to have funding contractually committed before the end of December 2012 (with most to be spent in the first year but possibly spread over three years).

“MPI is committed to working with all of our stakeholders, including Māori agribusiness, to ensure that funds like the SFF deliver tangible results to the primary sector”, says MPI’s deputy director-general for resource management and programmes Scott Gallacher.

Meanwhile, the main 2013 annual SFF round opened in late August with up to $8 million of co-investment funding on offer for projects that will encourage sustainable resource use in the primary sectors. Applications closed recently and applicants will be notified by the end of February 2013, with contracts in place so work can commence from July 1, 2013.

Read more about the Ahuwhenua Trophy in the newsletter or at the website.

 

Meat export revenue down in June quarter, says MPI

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Lamb leads a drop in export meat revenue for the June 2012 quarter, according to the latest figures from the Ministry for Primary Industries (MPI).

The Ministry’s Primary Industries: Production and Trade report for the June 2012 quarter, says that this is mostly because of lower export prices from weaker international demand and a build up in meat stocks in New Zealand, particularly for lamb, which fell by 25.6 percent against the same period a year earlier. Venison also  recorded a fall of 15.1 percent for the quarter and beef and veal -2.9 percent. In total,  meat export revenue for the quarter, was down 14.4 percent to $1.6 billion. Lamb production, however, was up 5.9 percent in the year ended June 2012, with slaughter numbers up 2.4 percent and carcase weights up 2.5 percent on the previous year, says MPI.

“This reflects increased numbers of lambs born in late winter and early spring 2011 and a record average carcase weight of 18.48kg.”

Beef production fell by 1.8 percent in the quarter due to lower slaughter numbers, particularly for cows and heifers, reflecting lower beef cattle inventories at the end of the 2011 season and retentions for an expanding national dairy milking herd.

Offals seem to have had a healthy year with quarterly revenue increasing for ‘other meat’ of 8.5 percent and a year-on-year increase of 10.7 percent, to end June 2012.

Another significant highlight is that China became the number one market for frozen bone-in lamb cuts in the six months to end June, with the European Union now taking second spot, according to MPI. “However, average export prices of lamb sold to China re about half that received in the EU,” the report concedes.

All but one industry grouping experienced a decline in export revenues, the report says. Overall, primary sector revenue for the June quarter was down 5.8 percent, compared with the final quarter in 2011, to $8.8 million. However,  during the year ending June 2012 there was a production-driven revenue increase of 1.3 percent to just over $32 billion, due to favourable climatic conditions, MPI says.

Climate conditions for pasture growth for the year ended June 2012 were the best since 2002, MPI notes, with 51.4 days of soil moisture deficit compared to the 20-year average of 61.6  – resulting in record carcase weights for lambs, heifers and cows and record milk solids per cow.

The full report Primary Industries: Production and Trade is available for download at the MPI website (search under Publications).

 

 

 

 

Latest PGP round opens

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The Ministry for Primary Industries is calling for applications for its co-investment fund, the Primary Growth Partnership (PGP).

The PGP is a government-industry initiative launched in September 2009 to invest in significant programmes of research and innovation that will boost the economic growth and sustainability of New Zealand’s primary, forestry and food sectors. It has so far committed nearly $600 million of multi-year funding.

PGP Application Round Eight has just opened, and applications must be received by midday, Tuesday 16 October 2012.

Six applications were received for Round Seven, held in April 2012. Of these, three have been approved by the PGP Investment Advisory Panel to develop and present a business plan (two of them after providing further information); one applicant group has been asked to provide a revised proposal and two were declined.

PGP manager Joseph Montgomery says with several projects from previous rounds already in the pipeline, it is possible that Round Eight could be the last for some time as the PGP fund is close to being fully allocated. “We recognise that the lead times for developing projects can be quite long, so we believe it is fair to signal that the PGP fund is nearing full allocation for the immediate future.”

The Investment Advisory Panel will advise Round Eight applicants of results in mid-December 2012.

Meat inspection no longer exclusively provided by AsureQuality

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Last Tuesday, AFFCO’s Imlay plant in Whanganui was the first to be allowed to introduce meat inspection by its own employees. Till then this function has been performed exclusively by government employed meat inspectors, originally employed by MAF, subsequently by the state-owned-enterprise AsureQuality, writes Allan Barber.

The proposal to allow meat companies to have a hand in meat inspection finally saw light of day about two years ago, although the companies have been dissatisfied with the government monopoly for many years. I can remember the issue raising its head in the early 1990s when the meat inspectors went on strike because of pay and conditions.

AFFCO, for whom I worked at the time, had its production disrupted by a group of employees on its plants, employed by a different employer on different terms from its own workforce and belonging to a different union, the Public Service Association (PSA). Not surprisingly, AFFCO was unhappy at this state of affairs.

But 20 years later, after negotiations and discussions with MAF, then the Ministry for Primary Industries (MPI) and a trial at Imlay, overseas regulatory authorities (notably USDA and EU) have approved the equivalence of the proposed inspection procedure.

There will still be at least two AsureQuality food safety assessors monitoring each shift and final oversight of the product remains the responsibility of the MPI Verification vets on the plant. The most significant difference will be in the total number of employees, because on all plants there have been up to 12 meat inspectors and supervisors across a two shift operation.

In future, meat workers on the chain will be responsible for their own inspection, supervised by official inspectors who must be trained to the same level and subject to the same performance checks as AsureQuality’s inspectors. There will be considerable savings from the new system which the PSA argues will place an undue emphasis on production at the expense of food safety.

MPI released the proposed Post Mortem Inspection regulations for cattle, sheep and goats and asked for submissions by 13 July this year. The response, from what I assume was the PSA, raised several concerns about the risks to New Zealand’s reputation for safe food which the current inspection model had guaranteed for more than three decades. MPI’s replies to the objections indicated its satisfaction with the proposed process which overseas authorities had already approved.

In its submission, the PSA also stated its willingness to discuss opportunities for more flexibility and productivity gains. This all sounds constructive, until one realises the meat companies have been trying for at least 20 years to do just that without success.

A further four meat plants – Alliance Smithfield, Silver Fern Farms Pareora, Riverlands Blenheim and AFFCO Manawatu – will adopt the new company meat inspection procedure by the end of January 2013. At this point, a review will be conducted before approval for a rollout across the industry over the next two seasons.

Kelvan Smith, AsureQuality’s group manager operations, says that the SOE accepts what is happening is inevitable, but wants to make sure it has a clear understanding of the industry’s timetable for the change. His main concern is to manage the impact on employees of what is likely to be a 50 percent reduction in staff numbers by the end of the process.

It is possible that not all meat processors will want to change from the present system, especially if they have a good working relationship with the meat inspectors working at their plants. However, cost pressures make this unlikely, if the new arrangements work well. The PSA and its affected members will be keeping their fingers crossed.

 

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.

 

Building Export Markets, government releases progress report

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The Government has today unveiled its first Business Growth Agenda Progress report on actions to boost New Zealand exports. It is a timely appearance as the Primary Sector Boot Camp reaches its halfway point in the US.

Launched by Finance Minister Bill English and Economic Development Minister Steven Joyce, the Building Export Markets report from the Ministry of Business, Innovation and Employment (MBIE) confirms the Government’s target to increase the contribution of exports to the economy from 30 percent to 40 percent of GDP by 2025.

English says this a challenging target and achieving it will require a concerted effort by New Zealand over many years. It will also require the continued development of new and expanding export markets.

“It is only through exporting that New Zealand, with a small domestic market, can deliver the growth and productivity required to enhance the wealth of our country and create more and higher paying jobs,” he says.

“Committing to this ambitious goal means the Government will stay focused on supporting firms to grow their exports.”

Steven Joyce says the report highlights the significant shift in economic power from the West to the East that is expected to happen over the next 20 years.

Building Export Markets is the first of six progress reports on the government’s Business Growth Agenda. Others will address innovation,skills, capital markets, infrastructure and resources. The reports lay out the work programme government agencies are implementing. Each has an informal portfolio group of ministers specifically grouped around the work streams, to drive the Business Growth Agenda forward and focus on what matters to business and companies.

Government intends to see three additional cross-cutting themes to be reflected across the Business Growth Agenda workstreams. These are: Maori Economic Development, Greening Growth; and Regulation. Better telling the ‘New Zealand Story’ is another Government priority and work is already underway with key stakeholders on “developing a compelling and consistent narrative about our country’s special qualities that work for a range of exporters and sectors,” according to the Ministers.

Actions contained in the Building Exports report include improving access to international markets, making it easier to trade from new Zealand, helping businesses internationalise, increasing value from tourism and high-tech manufacturing, growing international education and strengthening high-value manufacturing (including food and beverage manufacturing) and services exports.

“This first report is important, as it lays out the challenge for achieving growth – which is about being much more closely linked into the rest of the world and taking advantage of our opportunities,” says Joyce.

“While the world is going through tough times, the growth in Asian incomes will occur over the next 20 year. So there will be job growth, New Zealand’s challenge is to ensure it occurs in New Zealand, not in Australia, or somewhere else.”

The report shows that beef, lamb and wool accounted for 13 percent of New Zealand’s total $47.7 billion goods exports in 2011.

The Building Export Markets report is available here.

Carter in US for boot camp

Because of its size and importance, New Zealand’s primary sector, which currently accounts for 55 percent of exports is “critical” to achieving the government’s desired growth, the report says, so the outcome of this week’s Primary Sector Boot Camp at Stanford University will also be critical.

Minister of Primary Industries, David Carter, is part of the nine-strong Export Markets ministerial group, which also includes Prime Minister John Key, Steven Joyce, Murray McCully and Tim Groser.  Carter is travelling in the United States this week to attend the Boot Camp and also to talk with US agriculture sector political leaders and officials.

“This is an excellent opportunity for the leaders of some of our most forward-thinking primary sector companies to collaborate on formulating a plan to leverage New Zealand’s competitive advantage globally,” Carter said before he left.

“It’s not often that we can get a powerful group like this representing over 80 percent of New Zealand primary sector exports around the table, and I am confident of a positive outcome.”

About 20 leaders from New Zealand’s dairy, meat, seafood, wine and horticulture industries are among those attending the week-long camp alongside top government representatives from MPI and NZ Trade and Enterprise. The group will be hearing from first class speakers to inspire and motivate their thinking. The event has been supported with a $100,000 grant from AGMARDT.

Among the range of agricultural organisations the Minister is meeting with separately to discuss common New Zealand–US primary industry interests are the Tri-Lamb Group and US Cattlemen’s Association.

“These meetings further strengthen the New Zealand-US bilateral relationship and give our two countries the opportunity to canvass a range of issues in the primary industries policy area.  It is an opportunity to highlight the excellent collaborative work we already have with the US though the Global Research Alliance on agricultural greenhouse gases,” says the Minister.

“I particularly look forward to discussions on the mutual benefits that will be realised through the Trans-Pacific Partnership free trade agreement currently under negotiation.

“The TPP is important to New Zealand’s trade future and this visit will provide the opportunity to take political level readings on its progress.”

Input sought on animal welfare proposals

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Meat exporters, processors and producers have an opportunity to give their input, alongside other interested parties, to the Government’s proposed changes to New Zealand’s animal welfare system.

Primary Industries Minister David Carter says the proposals set a strategic direction for animal welfare and improve the way the current Animal Welfare Act 1999 operates.

“Animal welfare matters. It matters because how we treat animals says something important about us as a society. It also matters for New Zealand’s reputation because our trading partners and international consumers rightly expect us to maintain high standards of animal welfare.”

The proposed national strategy, the first of its kind, will canvass the views of stakeholders with animal welfare interests, identify the strengths and weaknesses of the current system and set a vision for New Zealand’s animal welfare system into the future, the Minister says.

“The proposed changes to the Animal Welfare Act will clarify the way it operates and make it easier to enforce.”

Radical change is not proposed, as the suggested values, outcomes and approaches are already implicit in the system, neither is it seeking to lift standards, the Ministry for Primary Industries’ discussion paper says. A key proposal is that codes of welfare, which currently set the standards for animal welfare, are replaced with a combination of regulations and guidelines. Regulations will be directly enforceable in law. Guidelines will provide information and advice but will have no legal effect.

Delivering the strategy will require action from the meat industry in terms of implementing industry schemes to improve welfare; recognising and building stockmanship skills, educating members about best practice and meeting standards, measuring animal welfare performance and engaging with the public and consumers. It also encourages continuing collaboration in setting standards, co-investing in research, contingency planning and the existing joint Government/industry initiative to improve animal welfare compliance.Many of these actions are already in place.

The closing date for submissions is 28 September 2012. Read more about how to make a submission and to read the discussion paper.

Have your say on proposed NAIT rules

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Comments are invited on the new proposed regulations governing the National Identification and Tracing (NAIT) scheme in a discussion paper issued for public consultation by the Ministry for Primary Industries.

The proposed regulations are for infringement offences and for establishing a panel to consider applications for access to the NAIT information system.

The discussion paper sets out 12 proposed infringement offences.It also sets out six proposed regulations for establishing the access panel that will consider applications to access data held in the NAIT information system.

Submissions must be received by 5pm on Wednesday 5 September 2012.

To review the discussion paper and for details of how to make a submission click here.

Lever for high standard food production

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It’s happened at last. New Zealand’s new National Animal Identification and Tracing (NAIT) scheme has gone live, which is  welcome news for beef exporters, adding another level of traceability to their product lines

The new National Animal Identification and Tracing (NAIT) Act, which came into effect on 1 July, sets out the legal framework for the collection of information on livestock, their location and movement history throughout their lifetime. It also outlines the governance arrangement and powers for the NAIT organisation.

The scheme is mandatory for cattle from 1 July 2012 and for deer on 1 March 2013 and, according to MPI director general Wayne McNee, forms part of New Zealand’s world-class biosecurity system.

“In the event of a disease outbreak, NAIT and Farms Online will help give assurance to our export markets that New Zealand has identified and contained all of the affected animals.”

Under the NAIT scheme, cattle and deer are tagged with an electronic NAIT-approved RFID ear tag and the NAIT database stores information about each animal’s individual RFID number, its location and the contact details of the person in charge of the animal.

Announcing the news, Primary Industries Minister David Carter said: “NAIT is an important partnership between industry and the Crown which began eight years ago in recognition of the growing need for better animal identification and tracing systems.”

The Minister is delighted that over 30,000 producers and their properties are already registered on the database, which he says is a significant step in protecting New Zealand’s farmers in the international marketplace.

“Lifetime animal traceability is an asset that New Zealand can leverage as part of its international reputation for producing food to the highest standards. It is also an opportunity for farmers to increase productivity by identifying superior animals.”

MIA chief executive Tim Ritchie reiterated the MIA’s support for NAIT: “We see NAIT as an essential tool to minimise and manage risk and impact in the event of a biosecurity incursion and, also, to provide customers and regulatory authorities in our export markets with increased confidence and surety of the integrity of New Zealand’s meat and meat products,” he said.

This article appeared in Food NZ magazine (August/September 2012).