Will Foley: Farmers can steer destiny

Will Foley

Hawke's Bay sheep farmers were really in need of a good season of production and prices for the coming year.

The easterly rain we received was unfortunate timing and we have heard of some significant losses among most of the September lambing flocks.

The lamb price really was stuck in the doldrums last season, although it has fired a late shot for old-season lambs during this month of October.

Unfortunately, this has been too little too late for most breeding farmers.

There has been much talk about blaming the meat industry for poor prices and the need for change.

The Silver Fern Farm deal is definitely a change to that particular company, but it will no doubt have effect on the rest of the industry.

First, it will be great to see a company with a strong presence in Hawke's Bay, either as a large employer or with a large supply base, continue to operate in a strong manner.

There has been much talk about the financial state of the company in preceding years and a collapse would have had the potential to be damaging to our local economy.

Farmer shareholders will get to decide on the outcome of the Chinese investment and we will know that outcome shortly.

Going forward, assuming the Chinese investment is successful, I believe we will have a healthy, competitive industry.

One in which there will be plenty of choice for farmers, who can align their values with their meat company's. Differences between ownership as in farmer owned or private. Locally owned or foreign owned. And differences in strategy.

As long as that competition is maintained, farmers are in complete control of their own industry and can vote with their feet each time they supply their stock, although preferably a commitment for the season to their preferred company.

Here's hoping whatever the outcome, lamb prices continue to improve as they have done in the last few months and restore breeding farmers' bottom lines.

-Will Foley is the Hawke's Bay provincial president of Federated Farmers.

-Business and civic leaders, organisers, experts in their field and interest groups can contribute opinions. The views expressed here are the writer's personal opinion, and not the newspaper's. Email: editor@hbtoday.co.nz