Milking the dairy industry for all it can produce

Graham Fraser, chairman of Dairy 21, tells Christopher Niesche what the group is all about and its aims

What is Dairy 21?

The name indicates dairying in the 21st century. D21 is a pan-industry body that aims to boost dairy farmers' on-farm productivity by 4 per cent each year. Within that productivity target, D21 sees the opportunity to increase milk production by 3 per cent per annum, as a result of increasing international demand.

Members are: Dexcel [Dairy Farmers on-farm research organisation.], AgResearch, Livestock Improvement Corporation, Fonterra, Westland Milk Products and DCANZ [Dairy Companies Association of NZ].

Where does D21 get its funding?

D21 is a voluntary organisation that has no direct funding of its own. Members have covered their own expenses up to this point.

What is the aim of D21?

The aim is to give leadership and direction to the research and other efforts that go into on-farm productivity. Our proposition is that progress will be facilitated by identifying the important objectives for the industry and then deliberately deploying resources against those objectives. D21 is outcome focused and operates to improve dairy farmers' net income.

By presenting a united industry position, and a coherent strategy for increased productivity and growth, D21 hopes to be able to attract more Government funds into pastoral research.

What are your research aims? Over the next 10 years:

* To see 50 per cent more feed grown and consumed per hectare. * Improvement of conversion through the cow from 60kg of milk solids per tonne of drymatter consumed to 80kg per ton.

* To see at least 50 per cent of farmers achieving at least 90 per cent of their currently known potential production.

These targets are to be achieved within the constraints of environmental sustainability, animal welfare and biosecurity.

In the year or so since D21 was formed what has been achieved?

We have refreshed and adopted a strategic framework that outlines the above targets in some detail; approached Government at the ministerial level and are working with Government officials on extra resources; appointed coordinators who are responsible for creating the platforms of work that are needed and are currently working on those platforms.

What is the long-term outlook for dairying?

It is my personal opinion, based on my time as agricultural trade envoy and on the NZ Dairy board, that prospects for dairying in this country are sound. Demand for our produce is increasing internationally and supply is likely to come under some constraints as trade reform occurs, albeit at glacial speed.

One outcome of the Doha round of the WTO will be the elimination of export subsidies by 2013.

This will constrain the EU's ability to export, and they are a major supplier to many of the markets that we are interested in. Our ability to take advantage of this opportunity will depend on continuing to improve productivity.

But as Charlie Brown said: "be careful of making predictions, particularly about the future."