Top Performing Farms Thrive Despite 27% Increase in Operating Costs
The cost of running a New Zealand farm is now 27% higher than it was before Covid, putting sustained pressure on profitability acrfoss the sector, according to new ANZ research.
"Developing countries are becoming more affluent which creates significant demand for agricultural products. With that demand comes tougher competition for our producers, He says.
"Ultimately the winners will be those with the most efficient and innovative businesses."
ANZ Customers Bach Brewing and Lewis Road Creamery will showcase their products at the ANZ Courtyard and explain how production efficiency, product innovation and quality have helped them carve out a successful niche in competitive markets.
"In New Zealand agribusiness there's a fundamental shift from 'participation' to 'performance'," Hiddleston says.
"We've been doing a lot of work helping farmers lift the bar of productivity and business governance, and making agri-businesses attractive and accessible to capital if that is critical to their growth.
"Through our networks and sponsorships such as Dairy Business of the Year, we've identified top performing dairy businesses. And through our partnership with Ministry for Primary Industries and our own research we've showcased them and their strategies for success to the industry.
"We've seen that those who responded most effectively to current commodity prices plan for profit every year and are willing to make significant changes to achieve it. They take firm action to ensure costs reflect incomes.
"They're more willing to consider options to protect profit, such as locking in milk prices and interest rates to protect future earnings."
Events such as Fieldays are a great platform to share ideas and insights that will benefit other producers, the agri sector and – ultimately - the economy of New Zealand.
ANZ's Fieldays activities include:
ANZ's Agri Economist Con Williams will provide insights from his latest Global Economic Outlook report covering the international commodity market, in particular diary, meat and horticultural crops. He'll also discuss interest rates and the rural property market.
As a major sponsor of the 2016 New Zealand Olympic Team, ANZ will bring Rob Waddell, Chef de Mission for the New Zealand Olympic Games Team, to Fieldays. Rob will share his inspiring story and unique insights into planning for success ahead of the world's foremost sporting event. He'll also provide insights into how being 'game ready' can apply to your business.
ANZ customers Bach Brewing and Lewis Road Creamery will share their inspiring Kiwi success stories. They'll showcase their products and talk about how production efficiency, product innovation and quality have helped them carve out a successful niche in competitive markets.
Banking specialists will be on hand at the ANZ Building to discuss ANZ's Farm Start- up Package, our Pasture and Performance Loan, general and rural banking needs, UDC asset finance, investments, KiwiSaver, Insurance and more.
Visitors to the ANZ Building on the Village Green will be welcomed in from the cold with a cuppa and a scone with jam and cream.
For convenience, four ANZ ATM Carts will rove the Fieldays site enabling people to withdraw cash. The ANZ ATM container units will be located on sites F81 and in the rural Living Area near D Street for quick withdrawals, deposits and other banking needs. People can also visit the ANZ Mystery Creek Branch which is located next to the Village Green.
