What Would Synlait Be Worth to Fonterra or a2 Milk?
Speculation of a possible joint move by Fonterra and a2 Milk to buy Synlait raises a much bigger strategic question, says agribusiness expert Dr Nic Lees.
Contractors are working at pace to convert 53% of Lincoln University's Ashley Dene farm into a world-leading dairy research farm, in time for milking in late July.
The Ashley Dene Research and Development Station, 15km west of the Lincoln campus, has been largely a dryland research farm for 100 years but is now being converted, paid for by $850,000 of sponsorship money.
The goal is farm systems research to improve the profitability, environmental and welfare performance of dairy and livestock farming systems.
Lincoln University Farms director Dr Teresa Moore referred to their "great pleasure" in engaging with the supporters of this dairy conversion "and what it means to New Zealand".
"They wanted to get in behind Lincoln University and enable us to undertake the valuable environmental research needed to ensure everyone's longevity in farming. They saw great merit in our objectives for this farm, and wanted to [help]... make it worthwhile and effective. We have an impressive group of supporters... to make this R&D dairy farm a success."
Moore says NZ must solve pressing environmental problems in dairy farming, and Lincoln needed a new venue for that research in addition to its two existing dairy farms.
About 190ha of the Ashley Dene's total 355ha is assigned to the dairy operation. A split calving model is planned, with 450 cows to be calved this spring and 75-80 cows calved in the autumn, starting in 2017. The plant includes a 54-bail rotary Waikato Milking Systems platform and equipment, and Afimilk Technology for automation. As befits a teaching and research facility, the milking shed has conference and study areas. Two farmhouses will be built, and the farm is expected to employ four fulltime workers.
With the decision to go ahead made only last year, Moore said it had been an intense time getting the project underway.
A feature of the farm will be a large stand-off pad, which Moore describes as the cows' "lounge." Unique to the southern hemisphere, if not the world, the pad is being built over sloping, sealed catchment channels from which effluent leaching through the surface can be captured and analysed on its way to the effluent ponds.
With each channel fenced at the surface to confine groups of cows to specific areas, the structure will be used to test the suitability of various surfaces.
A large concrete feed pad is similarly divided into fenced bays to allow controlled feeding of different types of fodder.
Moore says a major focus will be monitoring the movement of nitrates through the system. About six lysimeter (nitrate measurement) sites are being installed around the paddocks.
Announcing the sponsorship agreements, professor of dairy production Grant Edwards said Lincoln greatly valued the industry support which has helped to develop it.
"In particular we are grateful to Opus International Consultants who will supply engineering expertise and project management support, Waikato Milking Systems who will supply and install advanced milking systems in the dairy shed, Claas Harvest Centre which will supply farm equipment and advice on equipment needs, and PGG Wrightson Seeds and Genetic Technologies, who will offer expert advice and supply seed."
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