Week in Review
[16th June 2022]
This morning chapter one of the ‘KPMG Agribusiness Agenda 2022: Growth from resolve and resilience’ was released to the public.
This year’s Agenda tells us a story of an industry that is muddled; both opportunity-packed and risk burdened by high highs and almost as low lows. It also tells us of an industry where each leader is busy fighting through the fatigue we wrote about in our 2021 Agenda to show the resolve and resilience necessary to identify and catch opportunities flying at them from various directions.
In domestic stories, Rural Contractors New Zealand launched a new reward and recognition programme, sponsored by the Ministry for Primary Industries to develop individuals in the operation of agriculture machinery.
Hon Dr David Clark, Minister for Commerce and Consumer Affairs reports conversations are being held with retailer Night ’n Day on further expansion into the NZ market, as well as further conversations with Costco regarding expansion into Wellington and Christchurch. Fonterra Co-operative Group share price continues to fluctuate and last week peaked at NZD$3.09/share – the highest in the last three months.
In international news we gain insight into the 2022-2023 wheat outlook from the World Agriculture Supply and Demand Estimates (WASDE) report - Indian wheat exports are down 2 million tonnes for the month of May due to Indian Government restrictions. Brown-Forman, manufacturer of Jack Daniels, together with Coca-Cola, revealed their plan to launch a new ready-to-drink (RTD) alcoholic beverage, ’The Jack and Coke RTD cocktail’.
Week in Review Stories
- Aiming for future rural contractors
- Coca-Cola partners with Brown-Forman to launch Jack Daniel's RTD cocktail
- …prompting Clark to keep pressure on grocery sector
- Forecast Indian wheat exports cut by 2Mt: WASDE
- Fonterra shares bounce around
- Food, fibre exports soaring
- Aquaculture potential in Southland
Opportunity of the Week
Our Fieldnotes audience has early access to registrations for the second Food & Fibre Insights course co-delivered by KPMG and the University of Waikato.
Designed to provide leading-edge knowledge while remaining flexible to suit full-time professionals, the course provides the opportunity to explore six key topics from biotechnology and value-chains to water, oceans and the future of food. The course has leading guest presenters from across New Zealand and the world, while being co-facilitated by KPMG’s Ian Proudfoot and senior agribusiness lecturers at the University of Waikato.
“The course quickly became the highlight of my week” - Course #1 Participant
KPMG Agribusiness Agenda 2022: Growth from resolve and resilience [16 June, KPMG]
KPMG’s Global Head of Agribusiness, Ian Proudfoot shares his perspective on the Agenda’s insights – “The sector is doing a remarkable job to keep trading, keep growing and keep delivering record returns to the New Zealand economy when such returns are so desperately needed. However, the assortment of issues organisations and leaders must balance to create and capture value is increasing. For some in the sector, tension and frustration are boiling over, but the focus must be on what is controllable to catch the many opportunities inherent in the crises and challenges we face”.
Tags: KPMG Agribusiness Agenda
Tesco plant-based food advert banned as 'misleading' [9 June, MSN]
The UK’s Advertising Standard’s Authority (ASA) has ruled that an advertisement for a Tesco veggie burger should be removed. The ASA ruled that the claims made in the advertisement regarding the environmental impact of the burger could not be substantiated by the retailer.
Tags: Plant-based, Environment Claims
Wound repair research set to boost NZ sustainable wool exports [12 June, Rural News]
Technological advancements over the past few years now gives NZ wool farmers an alternative revenue stream through the sale of keratin products (made from extracting keratin protein from wool). Natalie Harrison, managing director of a keratin supplement business ‘Kiri10’ based in Canterbury, reports that NZ is currently in an opportunistic position to secure a significant portion of the USD$50 billion cosmeceutical industry. NZ keratin is currently used in over 50 markets with uses ranging from wound repair to an ingredient in shampoo.
Tags: Research and Development, Wool, Cosmeceutical industry
McCain launches regenerative agriculture project in South Africa [10 June, AgFunder]
The world’s largest producer of frozen potatoes products, McCain, announces the launch of its second “Farm of the Future", based in South Africa. As part of McCain’s plan to reduce its carbon emissions, these farms are designed with regenerative agriculture practices in mind, such as armouring soils. The farm will be used to grow 125 hectares of potatoes each year.
Tags: Regenerative Agriculture, Africa
15,000 sheep drown in the Red Sea after ship crammed with livestock sinks in Sudan port [14 June, Daily Mail Australia]
Fifteen thousand sheep have drowned in a Sudan port following the sinking of livestock vessel named ‘Badr 1’. The livestock loss is estimated at USD$3.7 million, and environmental impacts are anticipated due to the animal corpses. No humans died in the incident.
Tags: Live Export