Dairy sector profit still on the table, but margin gap tightens
DairyNZ’s latest Econ Tracker update shows most farms will still finish the season in a positive position, although the gap has narrowed compared with early season expectations.
Global methane does need to reduce and the dairy sector will do its fair share to reduce emissions alongside all sectors, says DairyNZ chief executive Tim Mackle.
However, he wants farmers to know the pledge doesn't mean dairy farming emissions need to reduce by 30%, and wants the Government to acknowledge this.
"New Zealand dairy is already the world's most emissions-efficient dairy milk producer, and dairy farmers are continuing their work on-farm to reduce emissions," says Mackle.
"Methane is derived from the energy, agriculture and waste sectors, and the pledge focuses on reducing methane from fossil fuels. New Zealand already has a robust 2030 methane target for agriculture in the Zero Carbon Act. The dairy sector and agritech companies have a lot of work underway to achieve it," says Mackle.
Climate Change Minister James Shaw last week announced at the UN climate change conference, COP26, that New Zealand is signing the global pledge led by the European Union and the United States.
