Issues and Trends
Stability and economies of scale are strengths of these farms. They are big enough to support education costs and resilient enough to cope with climatic and financial fluctuations. The farmers are generally innovative and progressive.
Animal health costs are a continuing cause of concern. Farmers are questioning the use of some products and are thinking about how much risk they can accept. Part of this issue is the time taken to administer vaccines and drenches. These properties are large and managing the workload in the absence of casual labour is a significant problem.
A more effective vaccine for Salmonella brandenburg has been developed. However, there are concerns over the availability of the vaccine and the consequences for animal and human health.
More effective use of anthelmintics with the use of egg counting is growing strongly. Farmers are purchasing their own egg counting kits and are managing the process very well. This resulted in cost and labour savings as well as more efficient use of drugs. Recent work on cattle egg counting will produce similar efficiencies in cattle anthelmintic use. It has already helped identify drench resistance problems in cattle.
Canterbury Meat Packers, Phoenix, and Five Star Beef continue to improve their profile in the area. These companies give more options for the sale of stock and especially beef.
Pasture renewal is increasing and there is renewed interest in tussock development. Farmers are looking closely at varieties of grasses and clovers to sow. High performance varieties appear to be being replaced by "hardier" ryegrass types. The use of contractors for cultivation is increasing.
Fertiliser use in general is increasing, especially as farmers see the advantages of well-fertilised paddocks. Nitrogen fertiliser use, particularly on brassica crops, has increased. Lime application and the use of liquid fertiliser are also increasing.
Repairs and maintenance is in a catch-up phase after being below maintenance for some years.
Capital expenditure on plant and vehicles is insufficient to maintain plant and vehicle standards. Capital expenditure has been about half of depreciation levels.
Attracting good permanent staff is an issue receiving attention. Good employees are valued and some managers are attracting good salary packages. There is a problem getting casual staff for peak work periods, such as weaning and early summer.
Staff unavailability is not the only impact of rural depopulation. School closures, with consequent lengthening of bus routes, are of concern to parents and children. There is also concern about the quality of school buses.
Farmers are concerned about the provision of health services, and particularly access to general practitioners.
Forestry continues to underpin land prices. There is concern in some areas about the ingress of forestry companies. In the eastern Southland area district meetings are being held to discuss the impact on farming and rural communities.
Farms have been selling for $200-$240/su. American and Japanese forestry companies are paying up to $2,500/ha for land to be planted in Eucalyptus. Land suitable for pine is being sold for about $1,000/ha.
This class of property is able to plan for family succession and is attractive to younger family members. Recent stamp duty changes have lowered farm business restructuring costs and facilitated family succession planning.
Management to keep Tb at low levels continues to exercise the minds of these farmers. It is an important issue on this land class and farmers are generally very supportive of the proposed Animal Health Board strategy for 2001.
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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
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