Good times all round for agriculture

A good spring and summer means improved quality and quantity for grapes with crops also ahead of schedule. Photo/Warren Buckland

Big smiles are spreading across the region, thanks to harvests of high quality and quantity.

Pipfruit New Zealand chief executive Alan Pollard said plenty of premium-grade fruit had been produced.

"Quality is superb, with great colour, which translates into us holding our good premium prices in the markets," he said.

"We predicted a slight reduction in volume from last year ... and we are estimating a bit over 17 million cartons, compared with 18 million last year.

"But even though it's in an off-year for volume, it is higher than we have experienced in the past, so volumes are still pretty strong."

This year's crop ripened 7-10 days earlier than normal and overseas demand saw it shipped straightaway, leading to some "challenges around the port".

Anecdotal reports said prices were at least at the same level as last year and maybe a little more. "We are one of the few countries that has had good-sized fruit available, which has helped, but the quality has been fantastic too."

There was good confidence in the industry.

"There is a lot of investment in the industry. The nursery guys say they are sold out for the next three or four years," Mr Pollard said.

Federated Farmers Hawke's Bay president Will Foley said above-average prices for beef and sheep, combined with recent wet-but-warm weather, had set up farmers for "a pretty good year".

Last year's drought still cast a shadow on many and restocking was proving a challenge for some.

"Everyone is fighting for the fewer stock around, which drives prices up. People are probably a bit wary of paying high prices with the financial effects of the drought still lingering."

The strong dairy sector was having a good effect on grazing prices and meat prices were above the 10-year-average, "especially export prices".

"The prices we are getting overseas are at quite record levels but, unfortunately, the high dollar is probably taking the cream off that."

Farmer confidence had "definitely climbed out of the doldrums of last year's drought".

"So long as the weather stays like this, confidence will continue to rise."

The local wine industry is full of rosy reports, says Hawke's Bay Winegrowers Association executive officer James Medina.

"We had a good spring and summer, and the crops were ahead of schedule," he said.

The prolonged wet weather earlier this month was well forecast, allowing wineries to plan around it.

Volume and quality were very good and, after the lower yield in 2012, the two subsequent harvests had lifted wineries' confidence to expand sales.

"It's a balance, you can't over-promise and under-deliver," Mr Medina said.

Hawke's Bay Vegetable Growers Association chairman Scott Lawson said good rainfall early in the season combined with extended dry periods at harvest time meant it was a very good growing year.

"Export prices have been okay for most crops but with a bit of pressure from the high dollar."

He said growers had "the usual optimism" and were continuing to invest.