Gisborne Large Hill Country
Model Description
This model represents an estimated 230 farms, of which 40% are Maori owned. They are located from the top of the East Coast through to inland Wairoa, with contours ranging from steep erosion-prone hill country to easy rolling, high producing
These farms are predominantly greater than 800 ha in size, have traditional breeding livestock policies, a low level of debt servicing, and are conservatively run, often by a committee of management. The majority of farms represented by this model (80%) have absentee owners and managers are employed, with two other permanent employees plus casual labour.
This model was changed for the 1999/2000 and 2000/01 years due to a change of survey sample. The new model is marginally smaller, and has a higher stocking rate and cattle to sheep ratio than the model used prior to this change. Thus, direct comparison of gross financial indices between the 1998/99 year and later years should be treated with caution, although it is valid to make these comparisons on a per stock unit and per hectare basis.
Table 1: The Model in Summary 1999/2000| Effective area: | 1,474 ha | |||
| Closing stock wintered: | ||||
| Breeding ewes | 5,169 hd | Breeding cows | 396 | hd |
| Replacement ewe hoggets | 1,701 lid | R 1 yr cattle | 376 |
hd |
| Other sheep | 269 hd | R2yr cattle | 241 |
hd |
| Total stock units wintered | 11,990 su | Other cattle | 24 |
hd |
Table 2: Key Parameters |
|||
| 1998/99 | 1999/2000 | 2000/01f | |
| Area (he effective) | 1,514 | 1,474 | 1,474 |
| Closing sheep stock units | 6,699 | 6,593 | 6,606 |
| -tiosing cattle stock units | 4,472 | 5,397 | 5482 |
| Closing total stock units | 11,171 | 11,990 | 12,088 |
| Opering stocking rate (su/ha) | 73 | 7,9 | 8.1 |
| lambing % | 98 | 103 | 109 |
| Average lamb price ($/hd) | 36.07 | 43,26 | 40,85 |
| Average wool price ($/kg) | 2.42 | 2.34 | 2.36 |
| Total wool produced (kg) | 34,203 | 30,735 | 30,209 |
| Wool (kg/su) | 5.03 | 4.7 | 4.6 |
| Average R2yr steer ($/hd) | 396 | 716 | 791 |
| Average 30-month bull ($/hd) | n/a | 868 | 928 |
| Average cull cow ($/head) | 390 | 558 | 555 |
| Gross farm revenue ($) | 365,723 | 459,526 | 518,410 |
| Cash farm surplus ($) | 56.780 | 105,269 | 153,140 |
| Net trading profit ($) | 38,896 | 119,619 | 143,198 |
Key Points
- The wool price, at $2.34/kg, continues its downward trend and farmers are losing confidence in this product.
- The La Nina season produced higher than normal summer rainfall, resulting in very favourable pasture growth rates throughout the region.
- Cattle prices have risen throughout the 1999/2000 year. This has increased cattle revenue considerably on the model farm, which has 44% of total stock units in cattle.
- Better than anticipated trading during 1999/2000 resulted in an improved financial position in the model farm's current account.
- There is a general air of optimism amongst farmers as they enter the 2000/01 year. They are well positioned financially and physically through pasture levels and stock weights.
Physical Factors
The La Nina weather pattern ensured regular summer rainfall throughout the East Coast, Gisborne and Wairoa districts. This resulted in pasture growth rates above the stock demand, and an accumulation in the quantity of grass on farms during summer and autumn.
Pasture covers entering the 1999 winter had above average feed covers. Soil temperatures were warm during winter with favourable pasture growth. There were no significant storm events that caused lamb losses or erosion damage. Pasture levels at the end of winter were below optimum and there is now increasing use of nitrogen by farmers to correct this situation. Covers at lambing were 1,100 kgDM/ha, and beef units started the 1999 winter with 2,100 kgDM/ha.
Inland farms did not have good grass growth in spring due to dry conditions and this resulted in stock sales occurring earlier than planned.
Good rainfall patterns favoured clover growth, resulting in high levels of clover in pastures over the year.
As the season progressed, inferior pasture quality became a problem. Pasture growth of up to 65 kgDM/ha/day surpassed demand of 35 kgDM/ha/day, and this resulted in an accumulation of seed head and dead leaf, with very low energy levels. Correction of this situation is now a major management objective.
As farmers enter the winter of 2000 they have a very satisfactory pasture cover of over 2,300 kgDM/ha on their beef units and 1,500 kgDM/ha on their sheep country.
The bad facial eczema season of 1999 had a significant flow-on effect on production during the 1999/2000 year. The worst impacts were reduced in-lamb results and disease-affected sheep. Sheep deaths increased once the stress of reproduction, lactation and overwintering impacted. Cattle were not affected to the same degree, with young friesian cattle (generally in bull beef units) being most affected.
Despite the facial eczema effect, lambing percentage increased from the drought-affected 98% in 1998/99 to 103% in 1999/2000. Farmers are forecasting a lambing percentage of 109% for 2000/01 due to ewes being in better condition, introduction of higher fecundity sheep breeds such as the finn, and use of fertility products such as Androvax. Farmers anticipate 17% lambing from the hoggets wintered to lamb in the spring of 2000. This is up from 11% in the previous year.
Lamb growth rates struggled during the year due to poor quality grass, worm parasitism and mycotoxins. Haemonchus (Barbers Pole) was a big problem, causing weight loss and death in lambs. This is an annual problem which appears to be getting worse.
Fly strike was once again a problem encouraged by the warm, wet conditions over summer. The new, long-acting products reduced sheep deaths and weight loss, especially on these big farms, which often have severe fly strike problems.
There is little farmer enthusiasm for wool at present. Weights are forecast to decrease by 0.1 kg to 4.6 kg/su for the year 2000/01 as farmers increase emphasis on lamb production.
Calving in 1998/99 was 85%, increasing to 88% in 1999/2000. It is forecast to increase by 1% to 89% in 2000/01. Rising 2-year heifer calving remains static each year, with a 34% calving rate anticipated. Breeding cows are 55 kg liveweight heavier than their entry into the last two winters.
The growth rates of young cattle struggled at times during the summer and autumn, despite a high pasture allowance of quality grass. High endophyte levels on the grass and Ostertagia parasitism are the suspected cause.
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