Canterbury/Marlborough Hill Country
Model Description
This model represents hill country farms in Marlborough, Canterbury foothills and Banks Peninsula. Most of them breed replacements, finish 50% of their sheep stock, and run breeding cows. Up to 30% of the area can be cultivated, and occasionally some irrigation and cropping is undertaken. The farms produce corriedale or crossbred wool, with some growing fine wool. There have been major changes to the make-up of this model. This makes it difficult to compare with the 1998/99 model.
Table 1: The Model in Summary 1999/2000
| Effective area: | 1,003 ha | ||
| Stock wintered: | |||
| Breeding ewes | 3,264 hd | Breeding cows | 116 hd |
| Replacement ewe hoggets | 804 hd | R1yr cattle | 101 hd |
| Other sheep | 348 hd | R2yr cattle | 18 hd |
| 5,331 su | Other cattle | 12 hd |
Table 2: Key Parameters |
|||
| 1998/99 | 1999/2000 | 2000/01f | |
| Area (ha effective) | 890 | 1,003 | 1,003 |
| Closing sheep stock units | 3,221 | 4,301 | 4,454 |
| Closing cattle stock units | 1,133 | 1,333 | 1,446 |
| Closing total stock units | 3,810 | 5,634 | 5,900 |
| Stocking rate (su/ha) | 4.3 | 5.31 | 5.62 |
| Lambing % | 106 | 115 | 117 |
| Average lamb price ($/hd) | 33.00 | 41,92 | 40,35 |
| Average wool price ($/kg) | 3.35 | 2.61 | 2.90 |
| Total wool produced (kg) | 12,928 | 21,103 | 21,566 |
| Wool (kg/su) | 4.5 | 7 5.17 | 5.01 |
| Average R2yr steer ($/hd) | 550 | 682 | 750 |
| Average cull cow ($/hd) | 350 | 510 | 510 |
| Gross farm revenue ($) | 137,560 | 247,646 | 268,165 |
| Cash farm surplus ($) | 43,247 | 59,996 | 68,749 |
| Net trading profit ($) | 44,545 | 62,971 | 67,360 |
Key Points
- 1999/2000 has been an exceptional year for the farms represented by this model, with good pasture growth conditions and rising prices for both store and finished stock.
- Stock numbers have recovered from the 1996/97 drought.
- Budgets for 2000/01 show further improvement in cash position. This reflects a consolidated position with stock numbers and expectation of continuing favourable prices.
- Feed supplies are favourable, with significant amounts of hay and silage in store.
- Fertiliser spending is up 20% on a per hectare basis.
Physical Factors
Mild winter conditions assisted the recovery from a dry summer. Higher winter pasture growth rates provided good feed supplies for the late winter/early spring feeding of ewes and cows.
A dry spring ensured good lamb survival. The net result was a better lambing percentage than scanning results would have initially indicated.
By October there had not been any significant spring rains and farmers were concerned about another drought. A spring drought is particularly severe for farms in this model as it reduces lamb and cattle sales for that season and has a significant impact on breeding stock liveweight (and therefore pregnancy rates) for the following year. By early December almost every region had good rain. With fewer days of dry northwesterly wind, the rainfall was even more effective. Generally, adequate rains continued over the summer to maintain finishing feed on most properties.
To take advantage of the favourable summer growth, many farmers who normally sell store lambs or lighter prime lambs held on to stock to achieve greater weights. This worked well, with a reasonably stable prime lamb schedule. Store market prices stayed at $1.20-$1.30/kg liveweight over the period. Typically, prime schedules take a significant drop after Christmas and this also affects the store market. Last season, which was drier, the store price dropped below $0.90/kg liveweight. Favourable summer conditions resulted in ewes being mated in very good order. As hoggets had very good live weights and were crossbred, they have also been mated. This helps to offset poor wool returns. Crossbreeding has begun on many properties.
Wool weights also improved in 1999/2000, but are dependent on when shearing takes place. Although wool prices have shown a small lift over 1998/99, many farmers are despondent about the future of mid-micron wool and are looking to increase net income through extra lamb production.
Weaner cattle and deer sales were strong in the autumn of 2000 due to a lift in the beef market, good feed supplies, and good returns received from yearling deer.
Concerns over the impact of an abortion storm on financial viability, associated with outbreaks of abortion in many areas, had prompted farmers to consider campylobacter, toxoplasmosis and salmonella vaccination. Due to reduced stress on stock, the risk of an outbreak diminished.
Reduced fertiliser prices, coupled with a favourable season, led to an increased amount of fertiliser being applied on both flat and hill country.
Stock numbers are recovering following the droughts, with the model increasing by 220 sheep and 83 cattle during the 1999/2000 year. Most of the increase related to a lift in ewe and cow breeding stock. Additional ewe hoggets (86) have been retained to improve the quality of the breeding stock. Farmers plan for a small increase in sheep numbers again in the 2000/01 financial year.
Cattle numbers are also projected to rise slightly in the 2000/01 year through an average increase of 11 breeding cows.
Stock numbers have lifted and are projected to lift slightly more through 2000/01, but farmers are focusing on attempting to lift meat production per head (sheep and cattle) to improve profitability.
Good feed supplies, helped by new successful silage and balage making techniques, ensured stock numbers did not drop as dramatically during the recent drought compared to droughts in the 1980s.
| © MAF 2000 |  |
|
| MAFnet Help | Important Disclaimer |
Contact for Enquiries
Farm Monitoring Programme Manager
Monitoring and Evaluation
MAF Policy
PO Box 2526
Wellington
NEW ZEALAND
Phone: +64 4 894 0623
Fax: +64 4 894 0741
Contact this person
