Carpet maker rolls out more optimistic future
Damage caused by Cyclone Gabrielle to Bremworth's Napier plant resulted in severe capacity constraints for the carpet maker and a poor half-year performance.
Meanwhile, a new Government directive to prefer the use of woollen fibres in its buildings has the potential to transform the rural sector, according to Bremworth.
However, chief executive Greg Smith says the move could also open the door to cheap imports from the United Kingdom.
He says the coalition announcement, where government agencies will be required to select woollen fibres over synthetic alternatives in their buildings, is significant. But Smith warns that it also has the potential to benefit sheep farmers overseas at the expense of their New Zealand counterparts.
He believes greater clarity is needed to understand whether the intent of the decision is to support New Zealand’s rural economy, reduce the use of plastic materials in construction or both.
Smith claims the move has the potential to double the price of wool farmed in New Zealand but a question remains as to where a government-specified product would fit within free trade agreements with other countries.
He says that while New Zealand wool is generally considered to be suitable for carpet production by international manufacturers, the new policy may see volumes of cheaper imported options become available here. Smith adds that if government procurement policies allowed for imported wool fibre building products to access the New Zealand market, there would be few benefits for New Zealand other than a reduction in the use of plastic.
“It would be soul-destroying for farmers in the sector to see one imported product replaced with another in the construction of publicly-owned buildings,” Smith says. “What we need right now is greater clarity around the parameters of this policy and recognition of the inherent tax benefits to the economy when we support local,” he says.
The country’s 4200 commercial fruit and vegetable growers will vote from May 14 on a new HortNZ levy.
Meat processor Alliance Group is asking farmer shareholders to inject more capital in order to remain a 100% co-operative.
A vet is calling for all animals to be vaccinated against a new strain of leptospirosis (lepto) discovered on New Zealand dairy farms in recent years.
Dairy
Rural banker Rabobank is partnering with Food Rescue Kitchen on a new TV series which airs this weekend that aims to shine a light on the real and growing issues of food waste, food poverty and social isolation in New Zealand.
Telco infrastructure provider Chorus says that it believes all Kiwis – particularly those in the rural areas – need access to high-speed, reliable broadband.
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