New Zealand farmers have done the tough part.
Our pasture-based farming system is acknowledged as efficient, having the world’s lowest carbon footprint. Our animal welfare systems are considered world class and we no longer engage in deforestation.
These are some patriotic, baseless claims. This is what global politicians, food processors and retailers say.
But what they acknowledge and what they can quantify are two different factors.
As we say, farmers have done the tough part; they now need to show that data to those who need to know.
Having crossed the first hurdle, our customers want continuous improvement.
The quest for data to prove that sustainability is being acted on is coming from multiple directions: politicians, financiers and companies who have publicly announced carbon-zero targets, non-government organisations who want faster action in climate change, and consumers.
Rules and regulations require regular reporting on meeting sustainability targets but companies are also being judged by pressure groups and their consumers on progress or lack of it.
There are benefits to farmers from meeting these requirements.
That accumulation of information will give farmers greater insight into multiple aspects of their business, but there will also be another significant benefit.
Food companies and retailers today talk about having a partnership with farmers and their processors rather than basic commercial relationship.
They certainly want quality and functionality, but as they meet reporting requirements demanded by governments, boards and consumers they will need buy-in from throughout the supply chain.
They also need confidence and trust that the data being provided is accurate and in a form that is comparable and relevant.
The world is moving fast. We have a ticket to play in the major leagues and we cannot let this slip through our fingers, exposing us to lower-paying, uncertain, price-driven customers.
But we need a process that doesn’t require the filing of duplicated data.
OSPRI, dairy and meat companies, StatsNZ, regional councils and the Ministry for Primary Industries all require data, much of which overlaps.
It must be a priority for those parties to get together and find a way that farmers can collate that relevant data in a way that is useful for all parties.
As we report this week, global agricultural trade is slowing as countries become more nationalistic and protectionist.
There has also been a deluge of rules and regulations imposed by governments such as the European Union, often under the guise of environmental protection but which some say will be at the expense of food security.
One proposal that has earned the wrath of exporters such as NZ is the EU’s deforestation policy, a blanket requirement for producers of products such as beef to prove it did result in deforestation.
Record agricultural subsidies of nearly NZ$1.4 trillion were paid by 54 wealthy and emerging countries each year between 2020 and 2022, but the trend is to start linking payment with environment outcomes.
These two factors are likely to result in lower domestic food production in places like the EU, but the demand for food is not going to slow.
NZ is ideally placed to full that void, but it will require some changes in the way we supply. We will need to quantify just how efficient and sustainable we are at producing food.
