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New research suggests the ag sector can unlock a $2.9 billion increase in profitability, not by farmers and growing more, but by making their farming systems simpler.
The ANZ research says a 5% lift in farm revenue, combined with a 5% reduction in costs, could unlock an estimated $2.9 billion increase in profitability across the dairy, red meat, kiwifruit, arable and pipfruit sectors.
Gains on farm could come from better use of information, more efficient inputs, targeted automation, and practical applications of agritech and AI can help businesses reduce friction, improve decision-making and strengthen resilience.
It's a big number, but it is built on small, achievable gains.
Better timing, less waste, clearer information, fewer repeated problems - those are the kinds of improvements that compound over time, says the bank.
Mid Canterbury Federated Farmers arable chair, Bevan Lill, said Beef + Lamb NZ data indicated that for the last six years, the average arable return on investment was about 0.8% while inflation ran about 4% - so the average arable farm was going backwards at about 3% a year.
Seed and grain companies share the concerns of arable farmers about the viability of their sector, says Seed and Grain New Zealand chief executive Dr Sarah Clark.
A warning for New Zealand seed and grain companies – be prepared for an exodus of farmers from the arable sector.
OPINION: It appears to be difficult for people who haven’t tried to run a business to understand the difference between assets and cash.
The arable sector losing good people and land is a major concern for the 2026 Arable Farmers of the Year, Mid Canterbury seed growers John and Mel McCaw.
Mid Canterbury Federated Farmers arable chair, Bevan Lill, said Beef + Lamb NZ data indicated that for the last six years, the average arable return on investment was about 0.8% while inflation ran about 4% - so the average arable farm was going backwards at about 3% a year.
Seed and grain companies share the concerns of arable farmers about the viability of their sector, says Seed and Grain New Zealand chief executive Dr Sarah Clark.
The New Zealand Institute of Forestry (NZIF) says unnecessary changes to New Zealand’s Emissions Trading Scheme (NZ ETS) will seriously erode investor confidence and result in significant reductions in forest planting rates.
For the first time in a quarter of a century, Federated Farmers has something positive to say about the Labour Party’s climate change policy leading into a general election.
A warning for New Zealand seed and grain companies – be prepared for an exodus of farmers from the arable sector.
Now in its fourth year, the 2026 Fencing Industry Awards, formed part of the proceedings of the FCANZ Conference, held in Nelson during August.
OPINION: It seems Canterbury processor Synlait is still in the doldrums.
OPINION: Get offside with New Zealand First leader Winston Peters at your own peril.
