OSPRI has apologised to farmers and its shareholders after major flaws were found in a technology upgrade project.

An independent review of its Information Systems Strategic Programme (ISSP) identified issues with the technology project that was meant to integrate its animal disease management and traceability systems.

The review identified problems in every aspect of the programme, including the way it was governed and the suitability of the technology itself.

Chair Dr Paul Reynolds said OSPRI had let itself and its stakeholders down.

“The OSPRI board and management apologise to farmers and partner organisations that the improvements promised have not been delivered in a timely manner.”

Reynolds stressed that this issue did not impact OSPRI’s current disease management and animal tracing systems.

“There is no risk to the assurances needed for export purposes and our shareholders can be assured that with their continued participation, our warning systems are as good as any in the world.”

Early progress on developing the new platform went well, but Reynolds said delays and cost concerns raised the alarm.

“The board was asking questions and receiving assurances and it put in independent reviewers to check on progress and to ask the question, ‘Is it reasonable for us to assume that this platform is going to be delivered on time or within the new timeframe, and is going to be successful?’

“And we received those assurances. However, delays continued and our former chief executive was increasingly uncomfortable and in the end the board decided that we would pause the program.”

Reynolds said the independent review made it clear that the project would not deliver what was required.

“Most importantly, and catastrophically, [the review found] issues with the complexity of the technology, platforms and architecture. It became increasingly apparent that what ultimately was going to be built was just going to be ruinously expensive to run. 

“So we had issues about the complexity of the platform, issues in the program, about its timely delivery. But even if all that was swept away, we came to the understanding that the costs of running it would be ridiculously high.”

In a joint statement, shareholders Beef + Lamb NZ, Deer Industry NZ and DairyNZ said they were incredibly disappointed with OSPRI’s performance.

“We are working with the OSPRI board and recently appointed chief executive to take urgent steps to get this project back on track. Shareholders have added representatives to the OSPRI board’s ISSP sub-committee to ensure additional expertise is available to recommend the way forward.”

The OSPRI shareholders, in consultation with the Ministry for Primary Industries (MPI), have also initiated an independent review of the OSPRI governance framework.

“The review has made a number of recommendations for strengthening OSPRI’s governance and shareholder oversight. The shareholders are discussing the governance recommendations with OSPRI and OSPRI’s other funder, MPI, and have committed to all involved that changes will be made promptly over the next few months.”

Reynolds said he acknowledged the criticism.

“I think that in hindsight, the business case could have been clearer, more robust, more fulsome. I think the level of clarity around what was needed was probably not there.”

OSPRI is now working to fix key programme management foundations, is simplifying the new platform’s architecture and prioritising the replacement of the NAIT system, Reynolds said. 

“OSPRI is confident that the measures implemented in response to the review will enable us to deliver a NAIT replacement system that meets the needs of New Zealand’s primary sector.”

There will be a significant impairment to the value of the current MyOSPRI asset, but the figure is yet to be confirmed.

Chief executive Sam McIvor said as well as the independent review, he is taking a “deep dive” into the technology in the business.

“We’ve pulled in some expertise to do that and I guess that will give us the clear path on whether we fix what’s been built, or is it an alternative route, for example, of starting again. We’re deep into that process at the moment.”

McIvor stressed that the development of the new NAIT system user interface, created in collaboration with farmers, has progressed well and will be used.

In Focus Podcast | A new strategy for advocacy

AGMARDT and KPMG have released a report that offers a new way of organising our advocacy networks. Common Ground assesses the positives and negatives of the advocacy groups we have now and sets out a strategy that could improve the collaboration and messaging emanating from the farming world. AGMARDT general manager Lee-Ann Marsh joins Bryan to discuss the report.

One of reporter Neal Wallace’s first visits on his Meeting the Market journey was to McDonald’s headquarters in Chicago.

The company sells 1.5 million Big Macs an hour in the United States and one would figure that safety and surety of supply would be top of its checklist when procuring meat.

But its global supply chain director told Neal that emissions intensity and animal welfare are the work-ons for NZ producers.

For many here in Aotearoa, the first reaction to that news is bemused horror. Surely an industrial barn in Illinois or Brazil doesn’t hold a candle to the lush green pastures of Waikato or Southland?

Surely McDonald’s must simply not know very much about our farm systems and we’re being tarred with a brush that was never meant for us?

It’s a theory that satisfies the notion we have about our place in the food-producing world.

But it’s also one that won’t help us remain the supplier of choice to the biggest processors.

Some people have asked us if we corrected these corporate monsters, telling them the truth about how food is grown here.

Well, we would have if they needed telling, but they didn’t because the data doesn’t lie.

Delving deeper into Neal’s story, we find McDonald’s global supply chain director isn’t a Chicago suit, he’s an Australian beef farmer who has a deep understanding of downunder farming systems.

No doubt he can also read statistics and data, which show the emissions efficiency of meat and dairy from producers in the US, European Union and even South America is improving far faster than it is here.

McDonald’s serves 70 million meals globally every day. It’s not the most premium of products but the company is probably better placed than most when it comes to knowing the global consumer.

The good news is that McDonald’s is working on ways to reward farmers who improve their sustainability profile.

As big industrial producers make progress on improving the sustainability of their beef and dairy systems, which centre on feedlots and barns, the pasture-based practitioners need to find their own improvements.

Advocating for that continual improvement isn’t naive, nor is it woke – whatever that means these days.

So while some readers may think news stories that feature New Zealand’s customers urging further improvements in sustainability is a sign that we’re not backing NZ farming, we think it’s a key component of what makes Team Ag such a world beater.

Talk to any farmer who has had the opportunity to visit export markets and see how they operate – they’ll tell you it only spurred them to focus on the sustainability, traceability and brand story that accompanies what they actually put on the boat.

You can love who you are now and also strive to improve in the future, that’s how the world works.

It’s called meeting the market.

You can inspire your colleagues to be the best that they can be.

That’s called teamwork, and we’re on your team.

In Focus Podcast | Meeting the market in the US and EU

Roving reporter Neal Wallace calls in from Brussels to share insights on the first week of his Meeting the Market tour. He’s been in the United States where some of our biggest customers are, including Mars and McDonald’s. Neal says they love NZ food but there are a couple of things we need to improve if we’re to remain as a supplier of first-choice.

Silver Fern Farms has partnered with Wellington-based Lynker Analytics to form a new company, Prism Earth, to help farmers better understand and capitalise on their natural vegetation and biodiversity.

Managing director of Prism Earth Matt Lythe told the Farmers Weekly In Focus podcast the company will help primary producers face up to critical challenges such as developing diversified revenue streams, adjusting to changing climatic conditions, meeting emissions targets and responding to changing buyer behaviour.

“Prism delivers an integrated set of capabilities that allow us to document in some detail landscapes, catchment scale or farm scale, in order to really look at that land use problem – what’s the best and highest value use of land? 

“It also does carbon and biodiversity mapping, climate risk analysis and farm-scale land use simulation to help farmers understand, budget for and adapt to climate and biodiversity challenges and opportunities,” Lythe said.

The technology will underpin SFF’s zero carbon red meat programmes and it has been approved by Toitū EnviroCare, the leading certifier in New Zealand.

And it will be available to any farmer, not just SFF suppliers.

“We’re ambitious for New Zealand and while we found a really great alignment of values with Silver Fern, their nature-positive goals, we are very much about trying to share this knowledge and information widely.”

Alongside artificial intelligence (AI), Prism also uses sensor data, geospatial analytics and visualisation software to deliver its services.

Lythe said Prism will not only support primary producers to realise the potential from their on-farm vegetation and biodiversity, but also help them to prepare for the impacts of climate change and increasing trade and market requirements.

“Future climate has the potential to drive major shifts in land use. These impacts won’t be distributed equally, and the level of adaptation needed will depend on location, land use and exposure of the farm,” Lythe said. 

“As previously suitable climatic conditions change, it is likely that pasture yields will shift and summer water demands will increase. Nitrate leaching could also be more variable, erosion rates can increase, and increasing heat stress could affect animal welfare and milk production from dairy cows.   

“We’re also seeing growing global requirements on a range of sustainability measures, through which trusted and verifiable data will play a key role in supporting farmers to navigate market access and realise the opportunities available,” he said.

Prism will work extensively with catchment groups to model science-based, long-term land use adaptation in economic, environmental, social and cultural terms.  This work will begin at Arai Te Uru Awa, a 23,000 hectare hill country catchment 10km southwest of Gisborne.

Forget importing fossil fuels to meet our growing electricity needs – farmers have all the power they need right now, Mike Casey says.

The cherry farmer is chief executive of Rewiring Aotearoa, a group formed to help electrify New Zealand.

Casey installed a solar power system on his orchard and has been replacing the farm equipment with electric options where he can.

He told the Farmers Weekly In Focus podcast it was simply a sound business decision.

“The system generates about 150 megawatt hours, which at the average wholesale rate over the past five years, means it will generate $22,000 for the farm. The panels cost me just over $100,000 to install. So they’ve got a five-year complete capital payback period, which I think is super exciting.”

He said going solar is not just good for the business, but also the community and the country.

“That’s a really exciting narrative for farmers. Not only can we make money and make a different revenue stream and potentially just become more resilient business people, but we also have a new opportunity to lower the price of electricity and the price of energy for everyone in New Zealand, which is something that I think is something that we should be embracing and figuring out how to achieve as a sector.”

However, there are some infrastructure challenges that need to be addressed for this to happen.

“When you think about our national grid at the moment, it’s kind of like a national braided river, where everything flows from one thing and it’s split up over and over again until it reaches your farm. And now what we’re essentially doing is saying to that braided river, hey, we can push water upstream. It doesn’t really work. And so there needs to be a bunch of regulation and market design changes to not only allow, but actively encourage, the customers of New Zealand to become part of the infrastructure.”

Rewiring Aotearoa is running a survey at the moment in an effort to get an inventory of the machinery that’s on farm in New Zealand.

But Casey said focusing on barriers to electrification, such as the scarcity of options for large tractors and harvesters, misses the point.

“I wouldn’t be too caught up on the fact that we don’t have a 200 horsepower electric tractor yet. Focus on the technology that is available. The next time you come to making a machine purchase, you’ll be interested to see what new electric production is available. It doesn’t make much sense to buy a machine where the energy essentially comes from Saudi Arabia, when it could actually come from energy that you’ve generated yourself.”

It has been several decades in the making, but New Zealand is finally getting an update to its rules around genetic modification.

Legislation will be introduced by the end of the year and, if passed, will end the ban on using gene technologies outside of the laboratory.

The law will be based on Australia’s Gene Technology Act 2000.

NZ has been working under the Hazardous Substances and New Organisms Act 1996 when it comes to regulating genetic technologies.

The legislation has had a couple of amendments over time, but it essentially still treats genetic editing the same as genetic modification.

Interestingly, Australia’s regulations are still more stringent than those in the United Kingdom, United States and those proposed in the European Union.

The biotechnology sector has welcomed the move, saying it will help us develop the tools needed to combat climate change and stay competitive in the global market.

Our expertise in plant and fruit development would suggest we’re well placed to capitalise on being able to use these new tools.

Many believe that having the ability to field-trial genetically edited organisms will accelerate work on finding crops, fruit and animals that can better withstand the changing climate.

Biocontrols would also be more easily found to combat the new range of pests that will come with a changing climate.

But the swift advance of these technologies means public understanding of them is murky.

A recent report from the Australian Office of the Gene Technology Regulator shows support for using gene technology has dropped in the past decade.

Tools like CRISPR, which is a far cry from the frankenfood GM opponents warned of in the past, are still being debated by the scientific community, with some seeing unintended consequences elsewhere in society.

Public understanding of these different techniques is poor and there needs to be good communication of what is being allowed and why, both here at home and in our export markets.

In a world where transparency in the supply chain is becoming a cost of entry into many markets, we need to be sure that the high-end consumers we aspire to feed know what they’re eating and are comfortable doing so.

Our food is known for being produced in a natural, sustainable environment and damaging that reputation, whether that damage is based on fact or fiction, would be a terrible outcome.

As always, the key to all of this will be to have clear rules and strict oversight. 

The new legislation is being developed with input from a technical advisory group, Māori and industry.

When it is published, the public will get to submit on it at the Select Committee stage.

A dedicated regulator to oversee new applications to use gene technologies here will determine the risks involved in any new innovation.

But what we need to remember is that a risk for us is different from a risk in other countries.

We don’t want to be low-cost, low-quality food producers who don’t have to worry too much about the provenance story that accompanies goods to market.

We want the world to know NZ food is good for the body, the land and the conscience.

Gene technologies could well help us achieve that, but we need to be sure that’s the likely outcome before embarking on the journey.

In Focus Podcast: Full Show | 16 August

Two South Island farmers have launched an online platform, Landify, which helps young farmers looking to get into farm ownership find investors and sellers. Co-founder Sarah How tells Bryan that while the sector has talked about the problem of succession for years there has been relatively few tools developed to deal with the problem. Landify is a place where succession conversations can begin and How hopes it will not only help more people get on the property ladder, but also attract more people to the sector in general as it provides a visible career pathway to farm ownership.

Federated Farmers is celebrating regulatory changes that exempt those who supply drinking water to fewer than 25 people from costly and time-consuming administration. Its local government spokesperson Sandra Faulkner says the changes are a win for common sense. She says the process of registering, testing and reporting on their water supply would have added significant cost, risk and hassle for absolutely no gain. 

Skyrocketing power prices are hitting farmers and processors hard. Senior reporter Richard Rennie says it looks like a challenge that will be here for some time as there’s no obvious fix on the horizon. Meat and dairy processors, orchardists and irrigators are all grappling with the problem and many are looking for efficiencies and ways to trim costs in other areas.

Tired of reading about the problems faced by young farmers looking to get into farm ownership, Sarah How decided to do something about it.

The Mid Canterbury arable farmer teamed up with friend Tara Dwyer to launch Landify – an online space that brings together farmers looking to sell, investors and those hoping to buy a farm of their own.

“We have an ageing population of owner-operators on farm in New Zealand and we know that many of them are looking at ways to step back,” How told the Farmers Weekly In Focus podcast.

“At the same time, we know that our communities are full of really engaged, really capable young people who want to have a crack, but whether they’re from farming backgrounds or not, these guys are in no position to front up with meaningful amounts of capital to compete in the open market.”

Landify provides the platform where stakeholders on both sides of the transaction can discuss ways to make it work, whether it be through equity partnerships, leasing agreements or by finding other investors.

“We think that many of these arrangements are under-explored, because how do families explore them in a really safe and discreet way that meets their needs before making any major decisions? 

“We see Landify being New Zealand’s first modern, open access yet discrete way for people to explore a range of farming partnership possibilities.”

The site was launched this month and interest has been strong, with thousands of people watching the launch video and exploring the site.

Vendors can post listings there as a way to kick off a conversation with interested buyers.

How said there are many young, eager people willing to take on the challenge of farming but often that first hurdle is too high.

“It’s my generation that’s going to be the ones who are given the responsibility to stand up to all of the sustainability challenges that our industry is facing, and I don’t just mean environmental sustainability; I always talk about financial sustainability and social sustainability.

“What we’ve seen in New Zealand’s history is that where our farmers have had their own autonomy and their opportunity to innovate behind the farm gate and find solutions to the latest market challenges, that’s where we come to the fore and this is why New Zealand farmers are among the best in the world. 

“We want to make sure that we’re future-proofing our ownership models to allow for the next generation to have that autonomy and that ability to craft the future for themselves.”

Those interested in being involved should visit landify.co.nz

A leading proponent of regenerative agriculture says those questioning its worth and seeking a prescriptive set of rules are missing the point.

Quorum Sense chair Becks Smith says regenerative agriculture is a mindset rather than a recipe that needs to be closely followed.

She said New Zealand farmers traditionally oppose being regulated in a way that ignores their own situation and regen is no different.

“Maybe stipulating a set of rules that has no context, that doesn’t apply across different areas within the sector, different regions, different farming contexts, makes no sense. So I think, firstly, this isn’t about a set of rules.”

Quorum Sense is a farmer network for those practising regenerative agriculture and Smith said it is a positive, nurturing platform where farmers share their insights and experiences with others.

“There’s a set of forum values and rules for engagement and you do have to be actively involved in regenerative agriculture and be a farmer. 

“So it’s really about a team of farmers actually supporting each other and driving that practice change. It’s about farmers learning and growing together and harnessing this opportunity.”

Another claim that comes up in conversation is that New Zealand is a regenerative farming nation already, but Smith is not so sure.

“If you are saying that we are already regenerative in nature, I would challenge that. Could we become more regenerative? Could we put ourselves further ahead of the pack as a sector, as a nation? And actually, why fight it then? How about we just embrace the term?”

Regen is a set of principles built around soil health and Smith said different farmers take different approaches depending on the farm business and environment.

“Better soil health will drive better outcomes for our sector. So I think the first thing we have to think of is there’s principles that drive soil health. But it’s not just about the principles, it’s also the mindset and the community and how we wrap around those.”

Quorum Sense is touring a feature documentary film, Six Inches of Soil, which follows three young British farmers through their first year of regenerative farming.

It has been shown at nearly 50 cinemas so far including the Beehive Theatrette, where a number of MPs attended.

“Coming from a British context, it’s a lot more relatable than a lot of the traditional regenerative agriculture films we see come out of the United States. 

“I think the British farming system can be seen by New Zealanders as more relatable. And what you do see is all of the trials and tribulations. You see the challenges they face and that really highlights the support required to wrap around people who are willing to push the boundaries and make these changes.”

On the latest episode of the Rural Leaders Ideas That Grow podcast, host Bryan Gibson speaks with dairy farmer and Nuffield scholar Rachel Baker about her trip through Indonesia, France, Denmark, Chile, Brazil, the US and many other countries as part of Nuffield’s Global Focus Programme.

Halfway through the 2024 Scholarship Programme, Baker gives us a unique perspective from inside Nuffield. They discuss how those farming systems differ from our own and what the key things are that could be applied back home. 

Born and raised on a farm, when the vet turned portfolio manager and farm consultant is not gathering global insight or working with dairy farmers, Rachel and her husband manage about 500 dairy heifers on their farm in Central Hawke’s Bay.

Listen to the episode, or read the transcript below.

Bryan Gibson, Farmers Weekly Managing Editor: Welcome to Ideas That Grow, a podcast from Rural Leaders. I’m your host, Bryan Gibson, the Managing Editor of Farmers Weekly. We’ve got a very special guest today, a current Nuffield Scholar, Rachel Baker. G’day, Rachel, how are you?

Rachel Baker, 2024 Nuffield Scholar: Yeah, good. Thanks, Bryan. Thanks for having me.

BG: Now, where are you calling in from? Where’s home for you?

A Nuffield Scholar with a background in many industries
RB: Home for me is Central Hawke’s Bay, tucked up near the Ruahine Ranges. My husband and I graze just under 500 dairy heifers. I guess in my day job, I’m portfolio manager for pit fruit for my farm investments. And also with a dairy background, I do some consulting with dairy farmers.

BG: Quite a range of farming industries involved there.

RB: Yeah, life isn’t a straight line. It’s a wiggly line. There are a few stories behind those changes. But I’ve been fortunate. I’ve got a foot in agriculture, and I guess a foot in horticulture as well. So, it keeps me busy and keeps life interesting.

BG: Was that always going to be the path for you? Did you grow up on a farm or was it something you found?

RB: I grew up on a small farm, but my mother was from a large sheep and farming family here in Hawke’s Bay. So, I’ve always been involved in farming, but I actually did a veterinary degree. So, I worked as a veterinarian for a short period of time and then morphed into dairy consulting. Then my husband and I took an opportunity to go share milking. So that’s how we entered the dairy sector and had some really good experiences there and actually sold our cows and bought a dry stock farm. That’s how we ended up grazing dairy heifers. 

The transition to horticulture really came about through dairy connections within my farm investments. Because I live in Hawke’s Bay, I said yes to an opportunity to oversee some of those early apple developments. That was seven years ago and still involved, yeah, still learning and enjoying it along the way with the dairy.

BG: Attracting more investment into food production sectors is pretty vital. So, you’ve got a big job.

RB: It is a good story because it’s bringing capital into the agriculture and horticultural sector, largely from New Zealanders, which is a really positive story. So, yeah, I’m really pleased to be involved in managing their investments.

Halfway through a Nuffield Scholarship
BG: Now, you’re smack bang in the middle, I guess, of your Nuffield Scholarship Programme. How’s it going for a start, and what subject area are you looking at?

RB: Yes, I am part way through my scholarship at the moment. I’m interested in looking at New Zealand’s global proposition in terms of being a food exporter. In terms of Nuffield itself, the programme really is comprised of three parts. The third part is that research project and doing individual research, which I’m yet to do.

The Nuffield Contemporary Scholars Conference (CSC)
The first part is a conference where all the scholars from that year from around the globe meet together in a country, which changes every year. It’s a conference looking at global issues as well as the host country itself. We were fortunate that Brazil was the host country for 2024. 

We went to Brazil in March and had our global scholars conference there. The second part to Nuffield is a global focus programme, and I’ve just come back in early July from that, which is a small group travelling together through five countries in five and a half weeks looking at food production.

The Nuffield Global Focus Programme (GFC)
BG: Can you tell us more about the Global Focus Programme?

RB: There are a number of different Global Focus Programmes based on different times of the year to try and give an opportunity to fit within your own farming and work calendar, and also different countries as well. The countries our group visited were: Indonesia, France, Denmark. 

We also went to California and to Chile. The group was made up of 12. They were a good representation of countries as well. We had six Australians, two from Ireland, a Brazilian, a Chilean, and a Zimbabwean. We all travelled together through that time, and obviously got to know each other really well, as well as looking at the challenges and opportunities in all of those countries.

BG: First up, I mean, having that range of people from diverse farming-related backgrounds must be really cool to just talk while you’re travelling and understand how other people think about things.

RB: It was a really diverse group not only in terms of the countries but also what sectors people were involved in. We had a tulip grower from Tasmania through to a pig farmer from Zimbabwe. Also, people involved in international fertiliser and the food trade. We had a really nice cross-section, good conversations, and learning together as a group. 

That farmer, peer-to-peer learning, you just can’t beat it. When you’re on the road together for that time, you get to know each other well. You learn a lot from each other as well as, obviously, who you’re meeting day to day.

First stop Indonesia (GFC).
BG: Tell us a little about Indonesia. We forget that it’s one of the most populous countries on Earth. It’s not that far away, but when you think of it, you think of some beaches and things like that. But what food production facilities or operations did you take a look at?

RB: Indonesia was our first country, and it was fascinating. A huge population, well over 200 million. So compared to New Zealand, you couldn’t get a better contrast to start. We were hosted by an Australian who had set up cattle feedlots there over 30 years ago. 

We’re really fortunate that we got good insights into a lot of different food sectors as well. We did see cattle feedlots, imported cattle from Australia being finished there in Indonesia, through to spice and pepper processing. 

We went out on fishing boats with some local fishermen, right through to seeing pineapple plantations being harvested by hand in 40-plus degc heat and 90 % humidity. So, we got a really good range of scale, but also some real subsistence farming as well – from a single man climbing up trees and harvesting palm sugar and making a living out of that. 

BG: And where did you head next? Scandinavia?

Nuffield GFC – France
RB: So, from Indonesia, we headed to France. We spent our time in Normandy, in the north. And again, we got some good insight into French farming. France is just a wonderful food culture. They really celebrate food and they’re really proud of what they produce. A lot of it is artisan. It’s got provenance associated with it. And so, we got a real feel for that. 

French farming is in a challenging place at the moment. They feel they’re under threat from imported food products coming in at a cheaper cost to what they can produce. That’s a challenging time for them. But by the same token, there are a lot of strong cooperatives in France. We got a good insight into some cooperative models, which, of course, having a number of strong cooperatives in New Zealand was really interesting.

BG: Yeah, what you were saying about the narrative that goes along with French food, it is so strong. A lot of people think this is something we could try to emulate here. I guess, put some real culture around our food production. I mean, is that something you see as worthwhile?

RB: As a New Zealand food producer, I think we produce high-quality food. It’s safe food from a food security viewpoint. So, any opportunity I had, I was looking for New Zealand produce in the countries we were visiting. There’s quite a buzz when you actually find New Zealand produce in a store or a supermarket when you’re travelling. So, I think from that regard, the food that I saw, the quality that was in front of the consumer was largely very good. 

As food producers, we need to be high quality. There’s a lot of challenge coming to us or at us from countries with lower costs of production. I think quality is paramount and I think we should be proud of that. The provenance of New Zealand, it came up-time and time again. New Zealand was mentioned a lot – that it’s a beautiful country and we produce lovely food. So, we should leverage off that.

BG: Yeah. Now, where did it head next?

Nuffield GFC – Denmark.
RB: Next, we went to Denmark. So, it was an interesting time actually being there because not long after we left Denmark, they announced that agriculture would have an emissions tax from 2030. It was great timing for us. I think while I was away, New Zealand pushed pause on agriculture entering the Emissions Trading Scheme. So, the timing to be there in Denmark when they were deciding, they’d made the commitment they were going to go. It was just the uncertainty for farmers around what it actually looked like. 

I found Denmark very similar to New Zealand in many ways. So, that was quite a good insight. They have very high wages, and a high tax rate in Denmark, but obviously they have a very strong education, health, and welfare system as well. In terms of trying to make a profit, it was a challenge for Danish farmers at this time.

BG: I’ve read a little about the plan that Denmark has to introduce that emissions levy. I know the agreement was nutted out by the government with stakeholders, and that includes some industry groups from the farming sector, so they did get to help mould it. On the ground there, were there farmers you spoke to? How were they feeling about it? Uncertain, I guess?

RB: I think they just wanted to have some certainty. There’s a great quote that uncertainty is the cancer of business. I think they just wanted to be certain about what the plan and the future looked like for them. 

I think from a Danish farmer’s perspective, they do get good support, and they’ve got some excellent programmes in place around, say, a green accelerator programme. This is where they can get up to 70% rebate on any investment in technology that’s going to advance them towards sustainability and a green future. 

It was clear that even though they were going to be entering an emissions tax, there was no doubt they wanted to maintain their food production and their productivity. In terms of entering the scheme was – it was not to reduce the amount of food that they were going to produce. It was just that they were going to produce it in a more environmentally sustainable way. From that perspective, I think that they felt there was support available to them to make the transition, and that’s quite refreshing.

BG: That’s really interesting. When I think about incentives for more sustainable production, you often think of planting and retiring land and that sort of thing. But having subsidies for technology, which is a completely different proposition, seems a bit more enticing to both sides of the equation.

RB: I think they’re looking at multiple solutions. They’re going to pump billions into retiring some peat lands in Denmark to help with their emissions transition. I also think biodiversity came up a lot in most of the countries we visited. And again, that’s a real opportunity for New Zealand, because if you look at the land area that we have in native forest and also in farmed land, what area has actually been retired or riparian planted? 

We really need to map that and leverage off that because I believe it’s going to be a global food currency – biodiversity in the future. So, we have it and we’re making really good progress. I think we need to leverage that to our advantage.

GFC – United States
BG: Now, California, a big state, is a food basket in many ways for the United States. That must have been fun.

RB: Yeah, it was really interesting. It’s the fifth largest economy in the world, if it was to be treated as though it was a country. So, we spent time in California, in Fresno, up through to Sacramento. 

It was very hot. We had a heatwave while we were there, which was uncomfortable for most of us. But the big story there is water and really getting a good insight into the water challenges they’ve got in California. With less ice melt out of the Sierra Nevada Mountains, more rain, more precipitation, more growing cities, all demanding more water. 

California – the water scarcity challenge
Their sources of water are surface with allocation rights for deep-water, groundwater takes. They’ve got real challenges around a six-inch rainfall in Fresno County. Maybe they get 50% of their allocated volume from surface water. They’re needing to take groundwater as well. So, there are big recharging programmes in place. One farm we went to had spent $15 million USD on a recharge system, which may only be used every three or four years. 

Then further up, closer to the Delta, the Government’s proposing putting in a $25 billion USD pipeline to pump water through to Los Angeles and San Francisco. So, you’ve got real contention around water rights and water use and what priorities should be in place.

So, it was really good for us to see that. But also, you do wonder what areas may not be in horticulture in California in the future. So, there’s some real challenges there for them around not only the infrastructure, but just the allocation of water as well.

BG: Yeah, the last few years, they’ve been focusing on some pretty thirsty crops there, haven’t they?

RB: They have. I guess also the challenge is they’ve had real success growing almonds and selling almonds. But again, they’re almost running the risk of commoditising their own value product by planting more and more hectares. So, it’ll be interesting to see how that plays out.

Nuffield GFC – Chile.
BG: And further down the Coast of Americas, Chile, it always amazes me that place. I’ve not been there, but it’s so long and thin.

RB: It is the longest and thinnest country in the world. Narrow, I think, in diameter than New Zealand, from border to border. So, that was our last country. We left the 40-plus degC heat in California and went into the single-digit temperatures in Chile, which was a bit of a shock for us all. But hey, what a great country. 

We had some really good insight into Chile and, I guess, in policy to start with. Also, looking at Chile as a country that is open to foreign investment. We saw examples of that in Chile. But again, similar challenges, less ice melt, more precipitation, lack of infrastructure, investment, a slow consenting process. 

On-farm storage of water was not really progressing very quickly at all. It’s a low-wage economy. We went to an avocado plantation on very steep country that in New Zealand would be sheep and beef or planted in forestry. Their staff were harvesting with football boots, with sprigs, because it’s so steep. So, they were harvesting avocados by hand. Just to see that on that steep country was quite mind-blowing. They’re a real powerhouse of cherry production and apple production too. 

I’m involved in the apple industry with the work that I do, so it was really interesting. Just the scale of some of their operations was really significant. One thing I found interesting was that levy-funded R&D didn’t appear to exist in Chile. That’s a real challenge for them in terms of keeping pace with, say, countries like New Zealand. We could fund more, of course, but we have a real focus on research and development and advancement of varieties, et cetera. So, I felt we certainly had a competitive advantage there.

What’s next on the Nuffield Scholarship Programme?
BG: So, you’re back in Aotearoa, and you’ve got a lot to digest from all that, I guess. Next up for you in the Nuffield Programme is putting pen to paper?

RB: Yeah, that third part of the Nuffield Scholarship is individual travel. So, I’m starting to develop my travel and research plans. I plan to spend some more time away looking, as I said before, that value proposition for New Zealand into the future. So, visiting countries that maybe operate in the same markets as us or maybe they’re customers of ours, and really drilling deeper into that.

BG: Sounds really exciting. Thanks for that, Rachel. All the best for the rest of your Nuffield journey.

The 2025 Nuffield New Zealand Farming Scholarship applications close 18 August.
RB: Thank you. And for those that are thinking about applying for Nuffield, I’d really encourage them to really think strongly about applying because from my perspective, this is filling that global piece I really wanted to develop, being involved in food production. This really is unparalleled. It’s an amazing opportunity. For those people that are thinking about it, put that imposter syndrome to the side and put your best foot forward because it really is an amazing opportunity.

BG: Thanks for listening to Ideas That Grow, a Rural Leaders podcast presented in Association with Farmers Weekly. For more information on Rural Leaders, the Nuffield New Zealand Farming Scholarship, the Kellogg Rural Leadership Programme, and the Value Chain Innovation Programme, please visit ruralleaders.co.nz

The first eight months of Kelvin Wickham’s time at the helm of Ballance have been a bit trickier than he would have liked.

International fertiliser prices were high and even as they fell, the co-operative had a fair bit of inventory to get thorough.

“Just like all our farmers and growers out there, we would see the higher interest rates. We had to take that into account and manage our debt levels down, carrying the inventory through. 

“So that took a bit more time than I expected. And I’m really pleased to see we’ve come through our financial year in a strong position. The balance sheet’s in a good place, we’ve paid down some debt. And most importantly, we cleared a lot of that high-priced inventory. And you’ve seen that reflected now – being able to pass on those lower prices.”

The highs and lows of international commodity prices are nothing new to Wickham, though.

At Fonterra he held a number of roles that included working in international markets and here at home with its farmer-shareholders.

“I really enjoyed that aspect of bringing the goodness of New Zealand dairy to the world.”

During that time Wickham was based in Singapore, Germany and China, and his last role was working in Amsterdam across a wide region of the Americas, the Middle East, Europe, Africa, Japan and Korea.

“I was out there in the world trying to do my best for New Zealand farmers, but at the same time you’re still connected really strongly to New Zealand. 

“When you come back and talk to farmers and growers at some of the shed meetings you have, you get real direct feedback. I’ve always enjoyed that part. New Zealand’s in your heart while you’re out there doing your best in the world.”

Being so close to the consumers buying NZ dairy emphasised the importance of our brand story, Wickham said.

“I think that helps you get a perspective on why it’s important, why we’ve really got to protect New Zealand from biosecurity incursions, protect the brand reputation and ensure that we actually deliver on the promise of high environmental standards. 

“When they see our product on the shelves, they read about New Zealand, when they see the logos and the brands that we have out there across the food and fibre sector, it comes with an inherent stamp of quality. We do have to be conscious of that and make sure that we deliver on that promise. 

“More and more it’s not about what you say – they’re looking under the covers, they’re checking, they’re looking on the internet to see if you are delivering that.”

Ballance has a massive role to play in ensuring that story rings true, he said.

“We sell plant food and without wanting to be too punny you need to get the balance right in terms of how much you put in and using it correctly.”

And with increasing regulation of the amount of fertiliser farmers can apply, Ballance is now much more than a retailer – it’s an adviser and data manager as well.

The right products must be there for farmers, of course, but Ballance’s strategy isn’t just selling as much of it as possible.

“It’s more about helping add value to the farmer and grower. We have to make sure we’re relevant to our customer-shareholders, farmer-growers. That starts with doing the basics right – making sure you have the fertiliser available when they want it, in the right format. 

“But more and more it’s about precision. We’re actually comfortable with people using less if they’re using it well and they get better yields from it.”

Efficiency and yield are the focus of one of the co-operative’s big research and development projects. A $25 million partnership with the Ministry for Primary Industries is looking at farming practices and waterways can be better protected through more efficient nitrogen and fertiliser use.

While many farmers and growers are doing it tough right now, Wickham is confident about food production’s future, if we approach it right.

“I feel it’s really going to have to be a value play. We’re going to have to help our farmers and growers produce quality food to chase premium markets and premium segments in those markets. That’s either through brand presence or the top class ingredients inside or the wonderful products we’ve found on the chef’s table. 

“Our part in that story is top quality nutrients. It’s never a straight line and all the sectors have their moments. We have a heavy reliance on China and the US, the two big key markets and they have their ups and downs. That will continue. 

“Obviously there’s a lot more life coming through in the dairy sector at the moment. Sheep and beef will follow.

“No one’s going to select New Zealand products because it’s some right that we have. We have to support across the value chain and fight hard in those markets day in, day out.”

In Focus Podcast | Genetic tech drives new vegetable seed varieties

Bryan talks with JD Roussouw, head of vegetables research and development at Bayer Crop Science, in his only NZ interview, about how new genetic technologies are transforming seed production and how our strict regulations may hamper our ability to compete. 

New Zealand seed growers may lose market advantage to other producers if it fails to evolve the regulatory framework that governs emerging genetic technologies, Bayer’s global head of vegetable research and development says.

JD Rossouw, in his only interview while visiting growers in NZ recently, told the Farmers Weekly In Focus podcast that gene editing was driving the development of new varieties that are more climate resilient and grower friendly, and meet consumer demands.

“The space of genetic improvement and plant breeding probably had more changes and opportunities for new technologies the last five to seven years than what you’ve see in the previous 15 years,” he said. 

“So the pace of innovation across the industry and across the public and private sectors is ramping up in a significant way, which means we’re able to implement more technologies to really get better products to growers, and that’s the main focus. 

“The upside to it is the opportunity for growers to experience crops and products that are more profitable, more sustainable or environmentally friendly, and also helping them navigate climate change and extreme weather conditions as they ramp up around the world.”

Rossouw said some new varieties – seedless fruit, for example – use gene editing techniques, which means growers in other nations might gain a market advantage over NZ growers who are currently not allowed to grow them.

“Every country is different. The New Zealand market for us is very small, but it’s really, really important, especially the fact that it’s an export market, and it’s highly valuable from a grower profitability perspective. 

“So for those reasons, the New Zealand market will always be attractive for us at Bayer, even if it’s a small part of our global business.

“I think that New Zealand needs to be proactive and try to figure out how to unlock the opportunities to bring R&D innovation to growers.”

Rossouw said NZ growers are eager to incorporate the innovative crops out there into their own businesses.

“What I’ve learnt is that New Zealand farmers are very innovative and they really embrace new technologies, specifically if it opens up the opportunities for them to be more profitable, more environmentally responsible.”

In Focus Podcast | Genetic technologies drive new vegetable seed varieties

Bryan talks with Bayer’s global head of research and development JD Roussouw, in his only NZ interview, about how new genetic technologies are transforming seed production and how our strict regulations may hamper our ability to compete.