Archive for the ‘Investment’ Category

Changing export markets give confidence in industry’s future

February 18, 2018

The global market for New Zealand’s meat exports and exporters is undergoing quite a rapid change, judging by movements in the industry’s latest quota entitlements and market destinations. The differences between exporters and markets over a ten and five year period provide an interesting snapshot of the relative position of the meat companies and the impact of changing market dynamics. (more…)

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My tips for 2018

February 18, 2018

It’s the time of year for making predictions, some of which may turn out to be close to the mark, but most, like horse racing tips or economists’ forecasts, will end up looking slightly silly, if anybody takes the trouble to remember what they were. The luxury of writing a column is the ability to speculate without being held to account for any inaccuracies. (more…)

ANZCO is now 100% Japanese owned

December 21, 2017

One of Japan’s two largest meat processing and marketing companies, Itoham Yonekyu Holdings, has received OIO consent to increase its shareholding in ANZCO Foods from 65% to 100%. It will acquire the shares currently held by ANZCO’s management (18.24%) and Japanese food company Nissui (16.76%) as a carefully planned transition which will see founder and chairman, Sir Graeme Harrison, retire at the company’s AGM in March. (more…)

Meat company choice clearer than it’s ever been

December 9, 2017

November used to be the month when we could get a comprehensive idea of the financial state of the meat industry because annual results were published in quick succession by three of the major processors: Alliance, Silver Fern Farms and AFFCO. When AFFCO was absorbed as a wholly owned subsidiary of Talley’s, there were still the two cooperatives to provide a comparison, but now SFF’s balance date is 31st December. So we must now wait until March to find out about ANZCO and SFF. This means Alliance’s result is the only one which can give a factual record of the traditional meat year, while it is still reasonably fresh in the mind. (more…)

Essential to keep close watch on alternative products

November 23, 2017

This is the year when plant based alternatives to dairy and meat have suddenly started to pose a more serious threat to the traditional animal based products on which New Zealand farmers, and our economy as a whole, depend. There is no danger these alternatives will suddenly take over the world, leaving dairy and sheep and beef farmers wondering what to do with their stranded assets. But, to prevent being taken unpleasantly by surprise, it will be necessary for the dairy and red meat sectors to keep a close watch on these competitors and track their progress with global consumers. (more…)

CPTPP to the rescue

November 23, 2017

This is truly the age of acronyms – TPP morphed into TPP11 which has now added a couple of initials while actually shrinking in scope from its original intent. But unlikely as it has seemed at several points along its tortuous journey, the mother of all trade deals, or maybe now the stepmother, is still alive in spite of Trump’s and Trudeau’s unsubtle efforts to hijack it. (more…)

Brexit problems proliferate while negotiators procrastinate

October 27, 2017

An Agri Brigade piece in the latest Private Eye, that marvellous example of good old-fashioned investigative journalism, made me acutely aware of the law of unintended consequences that inevitably applies to trade agreements. With less than 18 months until Brexit, UK negotiators don’t appear to have made any tangible progress towards a workable agreement with their EU counterparts. (more…)

Overseas land ownership not just a New Zealand concern

October 27, 2017

On a recent trip to Australia I read an article about overseas land holdings on that side of the Tasman which illustrates

the dramatic growth in Chinese investment in Australian agricultural land. In contrast to the rather sketchy and out of date statistics available in New Zealand, the Foreign Ownership of Agricultural Land Register provides very specific figures at 30th June this year. (more…)

Australia gets closer to objective carcase measurement

July 26, 2017

In March I wrote about Meat and Livestock Australia’s (MLA) plan to seek A$150 million from the Australian government to assist with the introduction of Dual Energy X-ray Absorptiometry (DEXA) objective carcase measurement (OCM) technology to all Australian meat plants. At that time neither the Australian Meat Industry Council (AMIC) nor the Australian Meat Processor Corporation (AMPC) were completely persuaded of the logic of committing the industry to such a large investment without further analysis and a robust business case. (more…)

Auckland must face reality to host America’s Cup

July 20, 2017

Emirates Team New Zealand has earned this country the right to host the next America’s Cup, currently scheduled to take place in 2021, and Auckland is clearly the front runner to be the host city. But to listen to Mayor Phil Goff, it seems his great enthusiasm for the winning team on their return after winning the Cup in Bermuda may disappear unless everybody other than Auckland contributes to the hosting costs. (more…)