MPI gives assurance on compensation

MPI’s director of response, Geoff Gwyn, says it has not yet received all farmers’ claims for compensation for the culling of about 22,000 cattle on infected properties (IPs), as announced last month.

“However, we are aware some farmers are nervous about compensation time-frames and I assure them we are running as fast and efficient a process as possible,” he told Rural News.

“We have, of course, been dealing with compensation claims throughout this response, and both MPI and the industry have learnt a lot that will make the process more efficient.”

About 4800 animals were culled from early-identified herds before culling was suspended over the summer.

In its most recent update, MPI says animals have now been culled on eight properties. MPI is staging the cull to suit individual farmers, such as allowing them to finish milking. Culling prevents M.bovis spreading from farms and MPI believes eradication is still a realistic goal.

Gwyn says MPI will consider making part-payments to farmers of IPs who are required to cull their entire herd.

“We are pulling out all stops to process existing claims and are nearly half way through these by value of the claims. We are significantly increasing staffing in our compensation team to do this, and to ensure we can work at pace when the claims for the 22,000 culled animals start coming through.

“We understand that while there was some relief at the direction to depopulate IPs, some farmers will inevitably worry about how long the compensation process could take. 

And yes, it can be a complex and time-consuming process because we are talking about public money. However, we are doing everything we can to help farmers get back on their feet as soon as possible, while taking every step necessary to fairly administrate the compensation scheme.”

As part of this, industry partners have already funded staff to help affected farmers complete their claim forms. Trained, independent advisors supporting farmers in completing their applications is an important part of expediting the process, Gwyn says.

“That’s why we’re also asking industry to augment their resources so they can guide farmers through the compensation process and ensure they provide all the information we require.”

MPI is offering professional rural and farming advisors specific training. It also has a support network, including specialised recovery planners, to help farmers get their businesses back up and running as soon as they can.

MPI has so far received 85 M.bovis-related claims totalling just under $6 million. It has paid out $2.5m, and $1.5m more is expected to be paid within the next fortnight, bringing the total to just over $4m. 

Meanwhile, MPI has confirmed another two farms in the South Island as infected. Both are dairy farms -- one in the Ashburton district and the other in Canterbury. Both are connected via animal movements to other known infected properties.

The confirmations bring the number of currently infected properties to 32, with 52 now under restricted place notices.

Meanwhile, Gwyn says the disease is not affecting only dairy herds, although MPI is not working on detection in non-dairy herds similar to the national milk testing now nearing completion.

He says MPI surveyed some feedlots at the end of last year and extensively tested animals arriving at meat works. Some of the herds under controls have been beef.

“We feel that the national testing to date gives us the information we need to understand its prevalence across New Zealand, bearing in mind that we still obviously have an active tracing programme in play.”

Farms under some form of regulatory control now number about 125, taking into account restricted places and those under notice of direction. 

“We trace from those and we test those,” Gwyn says. “Some of those will be beef herds, some will be dairy herds and some will be mixed. Some will be rearing or calf-raising and some will be grazing.”