How farmers make spring count
OPINION: Spring is a critical season for farmers – a time when the right decisions can set the tone for productivity and profitability throughout the year.
FARM SOURCE/RD1 managing director Jason Minkhorst admits you wouldn’t plan to rebrand and reposition Fonterra’s RD1 stores to Farm Source when you have a $5/kgMS payout.
“Would you plan to do this when you have a $5 payout? Of course you wouldn’t,” he told the Dairy Women’s Network annual meeting. “But of course five months ago when we designed this it was $8/kgMS. And that’s when we made the decision to go with it.”
But in other ways he says it was perfect timing because of the special deals and Farm Source rewards it offers farmers.
“We’re not doing this all overnight; be assured we know what it means with the current payout. But a lot of this would have happened with the store refresh anyway.”
The first RD1 store to switch to Farm Source was in Methven last month and the next will be Edgecumbe, Minkhorst told Rural News.
Farm Source is much more than just a rebranding of RD1, he says. “It’s a way to describe all its relationships with the farmer under that one brand.
“When you think about Fonterra – NZ’s biggest company – where do you go to visit it? You can’t go to the factory due to biosecurity reasons and health and safety so we don’t have a strong connection – there’s no place to go and visit.
Ninety-five percent of Fonterra farmers live within 15km of an RD1 store so it’s a perfect place to create these hubs.”
Minkhorst says within two weeks of the Methven Farm Source opening the local irrigation trust held its board meeting there and a farmer’s son came to have a job interview there. “With the poor wifi they came to benefit from our better wifi and hopefully they have the job.” Dairy Women’s Network will host its regional meeting there on November 3.
“It will be available for farming businesses when they want training, farm board meetings; it is your place to use. We are there to help farmers get things done… save them time, save them money; it’s pretty simple.”
According to the latest Federated Farmers banking survey, farmers are more satisfied with their bank and less under pressure, however, the sector is well short of confidence levels seen last decade.
Farmer confidence has taken a slight dip according to the final Rabobank rural confidence survey for the year.
Former Agriculture Minister and Otaki farmer Nathan Guy has been appointed New Zealand’s Special Agricultural Trade Envoy (SATE).
Alliance Group has commissioned a new heat pump system at its Mataura processing plant in Southland.
Fonterra has slashed another 50c off its milk price forecast as global milk flows shows no sign of easing.
Meat processors are hopeful that the additional 15% tariff on lamb exports to the US will also come off.

OPINION: The release of the Natural Environment Bill and Planning Bill to replace the Resource Management Act is a red-letter day…
OPINION: Federated Farmers has launched a new campaign, swapping ‘The Twelve Days of Christmas’ for ‘The Twelve Pests of Christmas’ to…