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Home / The Country

Listen: Profitable season 'three-peat' for NZ agriculture

The Country
31 Jan, 2019 02:45 AMQuick Read

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Rabobank's GM Country Banking, Hayley Gourley. Photo / Supplied

Rabobank's GM Country Banking, Hayley Gourley. Photo / Supplied

The New Zealand agricultural sector is poised for a third consecutive year of broad-based profitability, according Rabobank's 2019 Agribusiness Outlook report.

"Three in a row is quite unprecedented," said Rabobank's GM Country Banking, Hayley Gourley.

Gourley told The Country's Jamie Mackay the report illustrated, "an extraordinary run of consistently good conditions, both economic and climatic that New Zealand agriculture is enjoying."

Favourable production conditions and strong commodity pricing were likely to continue throughout 2019 and these factors, combined with an anticipated weakening of the New Zealand dollar, would set up a further profitable year for farmers across New Zealand's major agricultural sectors.

Listen to Hayley Gourley's review of the Rabobank Agribusiness Outlook 2019, below:

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However, while the report's primary forecast was for a positive 2019, it cautioned that downside risks – particularly those relating to New Zealand's major off-shore markets – were mounting and had the potential to de-rail the industry from its unusually long winning streak.

Overall though, the report looked positive for 2019, and most sectors had enjoyed a period of "good cash flow," said Gourley.

"We really are the lucky country."

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