Archive for the ‘Free trade’ Category

Meat exports sold to more than 100 countries

May 30, 2017

New Zealand’s meat exporters come in for a lot of criticism, either for selling too cheaply or for not adding value, and certainly because they can’t (or don’t) pay farmers enough for their livestock. This final criticism is presumably a direct result of the first two – the prosecution’s case argues if they sold product at a higher price or added more value, they would automatically be able to pay more for livestock. (more…)

British agricultural report sees NZ as model for the future

May 16, 2017

A recently published report entitled The Future is Another Country by British consulting firm, Ferguson Cardo, attempts to describe a positive picture of post Brexit Britain, using the example of New Zealand in the 1980s as proof of what is possible. The authors base their hypothesis on certain key events, including the removal of subsidies, dismantling the producer boards’ funding model and compulsory acquisition rights, and a refocus away from the UK towards Asia. (more…)

UK farming looks doomed

May 13, 2017

Two contrasting publications have each given a pretty damning picture of the state of farming and food production in pre-Brexit UK; and despite the conclusions of the Ferguson Cardo report into the future of British agriculture, it is hard to see how this situation will change for the better without a huge amount of pain on the way. But equally it is almost impossible to imagine a continuation of the status quo within the EU, where in 2015 70% of UK farm income came from direct and environmental subsidies. (more…)

Good trade news for red meat – let’s hope it happens quickly

March 30, 2017

The visit by Chinese Premier Li Kequiang has been very positive in several ways for New Zealand’s trade agreements, except for those people who are anti free trade or closer engagement with China (Winston Peters?). After the excitement about the announcement in April last year during the John Key led trade mission, progress on chilled red meat access to China and an upgraded FTA appeared to have gone onto the back burner, until now. (more…)

Trump encourages trade winds to blow cold

February 9, 2017

It hasn’t taken long for the hawkish new US President to throw several cats among the trade pigeons or doves if you prefer. He has wasted no time in signing an executive order to withdraw from the TPP over which 12 countries had slaved for seven years, but now the participant that probably caused the most delay has acted to ensure it won’t happen at all. (more…)

Meat exporters and farmers must get used to change

November 22, 2016

As if Brexit wasn’t a big enough shock, the US presidential election has really set the cat amongst the pigeons. Commentators of all nationalities and political inclinations have literally no idea how a Trump presidency will affect the world order, from trade agreements and global interest rates to immigration or deportation, let alone internal security issues and relationships with other nations. (more…)

Alliance in good shape

November 12, 2016

Alliance has produced a solid result for the year ended 30 September with a pre-tax profit of $10.1 million compared with $7.9 million for the previous year achieved on 9% lower revenue of $1.366 billion. Of greater significance to farmers is the decision to distribute $9.8 million to shareholders, while the company’s equity position has improved from 58% of assets to 72%. Debt reduced from $129 million to $41 million with no seasonal debt at year end. (more…)

Trade benefits need selling to New Zealanders

October 11, 2016

Just when we thought New Zealand was about to enjoy the benefits of several new agreements, not least TPP, the world appears to be growing more and more averse to signing up to trade deals. There is a distinct trend towards self-reliance and protectionism among countries that have up to now been champions of the benefits of free trade, most obviously sizable blocs of voters in the United States, EU and Great Britain exercising their democratic right to protest. (more…)