The Premium Debate: Subscribers react as costs spiral for farmers

The dairy industry, alongside beef and lamb, had posted solid results in the last year with the Farmgate forecast sitting at about $9 per kgMS, but this was being offset by spiralling costs. Photo / NZME

OPINION

"The hurt is coming."

That's one farming leader's prediction as the sector is hit by escalating costs that have eroded bottom lines, while another says: ''We are running to standstill''.

One fertiliser had skyrocketed to $1800 per tonne compared to $799 per tonne two years ago, while freight, labour, feed, farm supplies, freight, regulatory requirements, equipment and machinery had all increased.

The dairy industry, alongside beef and lamb, had posted solid results in the last year with the Farmgate forecast sitting at about $9 per kgMS, but this was being offset by spiralling costs.

Read the full story: Farmers brace as costs spiral, one fertiliser up 125 per cent, feed an extra $30,000 a year

Have your say by going to bayofplentytimes.co.nz or dailypost.co.nz and becoming a Premium subscriber.

The price of fertiliser has gone up because of a number of reasons and [has] absolutely nothing to do with the present government. Fertiliser has always been a bone of contention for farmers and a large cost.
- Robert M

In reply to Robert M:
Suggest you google 'non-tradeable inflation rate', which is a good proxy for cost increases resultant from government policies and domestic conditions. The last time I looked it was around 8 per cent.
- Greg M

In reply to Robert M:
The cost of living did not help farmers. Tax off petrol and road user charges reduced, but burning 2000 litres of diesel a day on harvesting equipment and tractors, no help at all. Add the GHG charges, yes we already pay some via our industry, and then shutting local gas production for homegrown nitrogen. Yep, it all sounds like Russia's fault.
- Garry R

It is an absolute disgrace how this Labour government have treated our farmers. Perhaps in the upcoming election, many of the rural women who voted Labour may like to reflect on how that has worked out for them and their husbands?
- Justin L

In reply to Justin L:
I certainly hope so, but there were many male farmers who thought they were giving more power to Labour by increasing the vote so that the Greens would be weakened. Some hope, as we all now know.
- Janet H

Scrap the ETS now, would remove costs throughout the economy, reduce inflation, help our exports and hopefully prevent us from starving.
Destroying Kiwi farmers and families over climate change when New Zealand is responsible for a fraction of 1 per cent of global emissions, and the major polluters like China are increasing their emissions, is both delusional and irresponsible.
- Jonathan S

In reply to Jonathan S:
Exactly. Virtue signaling of the highest order. The powers that be believe their own hype about the so called climate emergency. It's nothing of the sort.
- Mark C

Of course, the government will probably just add more costs.
Mind you, compared to a UK or EU farmer, ours still have a lot less imposition to deal with.
Stubble burning in the EU was outlawed in 1990 and application of nitrogen within 50 metres of any ditch, stream, watercourse or river was made illegal at the same time.
Also, there is vastly more public access to farmland and forestry land in both the UK and Europe than there is here.
- Marcus A

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