Pāmu launches equity partnership at Mahiwi Farm
State farmer Pāmu (Landcorp) has announced a new equity partnership in an effort to support pathways to farm ownership for livestock farm operators.
OPINION: The Government is sending a clear signal to state-owned farming giant, Pamu (Landcorp) that things must change.
Like all other SOE’s, Pamu’s success and financial performance must be as profitable and efficient as comparable businesses not owned by the state. In other words, Pamu must do better and be in the top tier when it comes to performance by a diversified farming group.
The recent announcement that Pamu made a half-year net profit of $3m, compared to $15m the previous year, didn’t go down well with the new Government, which is already signalling cuts to civil servant numbers in Wellington.
SOE Minister Paul Goldsmith isn’t satisfied with Pamu’s performance, and for its part, Pamu is listening: the management and board say they look forward to receiving the letter of expectations from Goldsmith.
While the coalition Government has no agreement to sell Pamu, history shows that the thought has crossed National’s mind. In September 2017, on the eve of the general election, National announced that it would sell Pamu if re-elected. It is believed the announcement came as a surprise to many at the time, including Pamu’s board.
So, should Pamu not perform to expectations, National could have another look to offload the company that manages 360,000ha, which includes 83 companyowned farms and 27 leaseholds. There will be no shortage of buyers.
Pamu is a successful business and a large employer with 630 permanent staff and another 300 casuals during seasonal peaks. Over any 12 months, it farms 1.3 million sheep, deer and cattle.
To its credit, Pamu has performed well with net profit after tax of $33m last financial year, compared to $22m the year before.
However, the new Government wants Pamu to lift its game and deliver even better returns. Cabinet will soon sign off on a new chair for the Pamu board.
The ball with then be in Pamu’s court.
According to the most recent Rabobank Rural Confidence Survey, farmer confidence has inched higher, reaching its second highest reading in the last decade.
From 1 October, new livestock movement restrictions will be introduced in parts of Central Otago dealing with infected possums spreading bovine TB to livestock.
Phoebe Scherer, a technical manager from the Bay of Plenty, has won the 2025 Young Grower of the Year national title.
The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards, providing the opportunity to honour both rising talent and industry stalwarts.
Award-winning boutique cheese company, Cranky Goat Ltd has gone into voluntary liquidation.
As an independent review of the National Pest Management Plan for TB finds the goal of complete eradication by 2055 is still valide, feedback is being sought on how to finish the job.
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