Week in Review
[19th May 2022]
Even before the budget announcement, this week is a big news week in New Zealand and Internationally, so our week in review is a little longer than usual.
This week we see Dairy dominating headlines again after a fifth consecutive drop in the Global Dairy Trade (GDT) auction, falling 2.9%. The sequential drops are reportedly being driven by a decrease in Chinese demand flowing from ongoing lockdowns and exacerbated by logistic challenges and container shortages particularly around the Shanghai Port. These have resulted in downward revisions for next seasons opening milk price, with ANZ forecasting $8.50/kgMS, down from $9.30. However, Fonterra Co-operative group have launched the myNZMP platform, a B2B global e-commerce website for their ingredients business as a complementary service to GDT events.
Another strong domestic theme is pesticide and herbicide sprays, with Apiculture New Zealand calling for a re-assessment of glyphosate, and 400 submissions calling for more information and better monitoring of glyphosate residue on foods. In the same week, New Zealand’s apple industry has announced its intentions to be spray free by 2050.
Internationally, the alternative protein market is still experiencing challenges as Beyond Meat and Oatly shares drop over 50% this year. Despite this, Meati Foods in Colorado U.S. is launching the first alternative protein steak in the country this week made from at least 95% mycelium.
The disruptions to global food trade also continue, with export restrictions now affecting 17% of the worlds food by calories traded, and an anticipated wheat export ban in India expected to substantially increase this.
Week in Review Stories
- Beyond Meat shares drop as jerky costs drive $100.5M loss
- Meati launches its first alternative protein steak
- New Zealand apple industry aims to be 'spray-free' by 2050
- Bee industry calls for reassessment of glyphosate
- How much glyphosate is on your food? Who knows
- New season milk price forecast up in the air
- Prices drop for fifth consecutive time in GDT auction
- Co-op rolls out e-commerce site
- China lockdowns hit dairy demand
Opportunity of the Week
Just launched by our friends @AgriWomensDevelopmentTrust, ‘Know your Mindset. Do what Matters’ is a short, practical training programme on managing multiple pressures, calmly and clearly.
Designed specifically for rural people, it’s about learning to press pause under stress, focus on what matters most and take positive action in your life.
If you’re looking for the tools, skills and connections to navigate change, register at https://www.awdt.org.nz/programmes/know-your-mindset-do-what-matters/
Researchers from the University of Florida have grown the world’s first plants from moon soil. Though the plants were ultimately stunted after the six-day mark, scientists are ecstatic with the implications drawn from the study and mark it as a step closer to cultivating plants on the Moon and Mars. The findings will also be used to investigate how plants may overcome challenging conditions here on earth.
Tags: International, Research & Development
Trade & Export Spotlight
New Zealand challenges Canada dairy tariffs [12 May, Stuff]
In response to Canada’s implementation of dairy tariff rate quotas (which places a limit on the quantity of tariff-free dairy products allowed into the country), the New Zealand government has submitted a consultation request under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (a free trade agreement between NZ, Canada, and ten other countries). NZ trade Minister Damien O’Conner estimates an NZD$68 million loss over the next two years because of the quotas.
Tags: Trade & Exports, Policy & Regulation
NZ grower sending apples to Russia defends trade as ‘humanitarian’ [18 May, Newsroom]
New Zealand’s largest organic apple growing company Bostock has admitted to exporting apples to Russia despite their invasion of Ukraine. Bostock’s communication manager Catherine Wedd stated the company is “appalled by the… behaviour of the Putin regime” but “backs the supply of humanitarian food shipments to Russia and Ukraine”. While it is not illegal to export food products to Russia, the decision faces some scrutiny from other growers.
Tags: Trade & Exports, International
New Zealand farmers have received a new incentive to behave in environmentally friendly ways as the Bank of New Zealand (BNZ) announces the country's first sustainability-linked loan. Though climate change mitigation is compulsory, the loans come with farm-specific sustainability goals. Farms that can meet their sustainability targets receive interest cost savings.
Tags: Farmers & Producers, Farming Systems, Environment & Emissions
Wheat yields boosted and protein content increased by up to 25%: study [13 May, Food Navigator]
Researchers from the United Kingdom and Australia have discovered a gene variant of wheat that can produce more spikelets and increase protein content by 15-25%. So far, the additional spikelets have not yet resulted in increased wheat yields. However, researcher Dr Boden believes the discovered protein increase could hugely benefit society as wheat accounts for nearly 20% of protein consumed worldwide.
Tags: Research & Development, International
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