Shake-up to drenching industry will impact Hawke's Bay farmers

Farmers Ben (front) and Nick Dawson are concerned about a big player pulling out of the drenching industry. Also pictured is dog Chuck. Photo / Paul Taylor

Hawke's Bay sheep and cattle farmers will be impacted when a big player in the drenching industry closes down its New Zealand plant later this year.

A farmer near Napier says it will mean less competition in the market and may result in less effective products being available to farmers, including to address worms in sheep and lambs.

A giant within the drenching industry, German-owned Boehringer Ingelheim is set to stop production at its Auckland site at the end of August where it manufactures drenching products to suit farmers across the country.

Drenching helps protect sheep and cattle from parasites like worms and other illnesses, and involves administering health products to livestock generally orally or even by injection.

Some of its major brands will continue to be made and sold within the country by contracting partners, but the move will result in a big shake-up to the industry and plenty of brands becoming unavailable.

Veterinary Services Hawke's Bay general manager Brendan James said the large company was number one in New Zealand for drenching products.

He said most farmers would associate their products with sheep farming, but they were also a big manufacturer of health products for cattle. They also make health products for pets and other animals.

"It will have an impact on farmers," he said.

"Particularly for sheep farmers, we are losing quite a big selection of their range."

He said vets had been working hard to make sure there were alternative products available for local farmers from other manufacturers, and they were "pretty confident" there would not be any supply disruptions in Hawke's Bay.

"The main difference is that there will be similar products with different names."

He said he was not sure how much the move would affect pricing changes for farmers, but costs in general had been increasing over the past 12 months.

Farmers Nick (front) and Ben Dawson on their farm near Napier. They use a lot of Boehringer Ingelheim products. Photo / Paul Taylor

Farmer Nick Dawson, who operates a dairy and sheep farm about 40 minutes out of Napier, said they used a lot of Boehringer Ingelheim products.

"It is one big player out of the market which means there is less competition. That is our biggest concern, who will fill that void."

He said manufacturers like Boehringer Ingelheim employed scientists to make products such as those used to tackle worms, which can become resistant to drenching products and formulas.

"It is tough because the worms are getting sneakier and sneakier and the scientists have to be on top of their game."

He said it did raise a concern around whether other manufacturers and their scientists would be able to effectively keep on top of worm issues.

He said they drench lambs probably once a month on the farm, as they are highly susceptible to worms.

Boehringer Ingelheim made the announcement last year that it was planning to stop manufacturing at its East Tamaki plant.

Boehringer Ingelheim head of business NZ Paul Fitzpatrick said the decision to close the plant was a "long-term strategic" choice.

He said it was important to note their major brands would continue to be made in NZ by partner contractors and be available to farmers.

"We are discontinuing a few of our brands but we will continue to manufacture our biggest brands across sheep and cattle."