1 00:00:00,160 --> 00:00:02,680 Speaker 1: The old farm conversion debates back as we get the 2 00:00:02,720 --> 00:00:04,560 Speaker 1: latest numbers around stock. So the number of sheep has 3 00:00:04,600 --> 00:00:06,760 Speaker 1: dropped twenty one percent over the past decade. We're down 4 00:00:06,800 --> 00:00:08,840 Speaker 1: to twenty three and a bit million of them. Dairy 5 00:00:08,880 --> 00:00:11,680 Speaker 1: cattle numbers are down thirteen percent, Beef cattles holding steady. 6 00:00:11,720 --> 00:00:13,720 Speaker 1: Now these figures come out the same day, of course, 7 00:00:14,040 --> 00:00:15,960 Speaker 1: as we hear another couple of Hawks Bay farms have 8 00:00:15,960 --> 00:00:19,280 Speaker 1: been flicked offshore for forestry conversion. The Associate AGD Minister 9 00:00:19,640 --> 00:00:21,840 Speaker 1: is Andrew Hoggart, of course, is whether it's Andrew morning to. 10 00:00:21,840 --> 00:00:23,200 Speaker 2: You, Good morning Mike. 11 00:00:23,320 --> 00:00:25,400 Speaker 1: Do you take a side on conversion? Where are you 12 00:00:25,440 --> 00:00:25,840 Speaker 1: at with it? 13 00:00:27,600 --> 00:00:31,680 Speaker 2: Well, obviously the government's got legislation coming forward that will 14 00:00:31,800 --> 00:00:37,080 Speaker 2: do a moratorium on these full farm forestry conversions and 15 00:00:37,120 --> 00:00:40,080 Speaker 2: then allow our cat for the sort of lower class 16 00:00:40,159 --> 00:00:44,080 Speaker 2: land of how much can be done. So look, personally, 17 00:00:44,159 --> 00:00:46,680 Speaker 2: I do think it's a concern where you have these 18 00:00:47,040 --> 00:00:50,360 Speaker 2: complete whole farm conversions. I prefer to see a mosaic. 19 00:00:51,200 --> 00:00:54,160 Speaker 2: You should be able to have good quality land doing 20 00:00:54,200 --> 00:00:57,000 Speaker 2: stock or crops, and yes, some of the poorer quality 21 00:00:57,080 --> 00:01:00,000 Speaker 2: land put it in forestry. That's as a farmer, that's 22 00:01:00,040 --> 00:01:01,080 Speaker 2: inensible way to do it. 23 00:01:01,200 --> 00:01:03,480 Speaker 1: And given the numbers we're getting from export at the moment, 24 00:01:03,600 --> 00:01:06,400 Speaker 1: is the drop twofold question? Is the drop and stock 25 00:01:06,880 --> 00:01:11,480 Speaker 1: purely conversion related? And if this drop and stock, it 26 00:01:11,520 --> 00:01:14,440 Speaker 1: doesn't matter how it's dropped. Are we worried that we're 27 00:01:14,480 --> 00:01:16,320 Speaker 1: not doing enough when we can get good money for 28 00:01:16,400 --> 00:01:16,960 Speaker 1: what we make? 29 00:01:18,120 --> 00:01:21,080 Speaker 2: Well, we're still you know, primary production across the country 30 00:01:21,120 --> 00:01:23,479 Speaker 2: is still earning, is projected to earn more and more. 31 00:01:24,480 --> 00:01:26,479 Speaker 2: You look at horticulture that's going up. So I mean 32 00:01:26,520 --> 00:01:28,800 Speaker 2: some of the drop and dairy is because of people 33 00:01:28,840 --> 00:01:32,760 Speaker 2: switching to kiwi fruit and apples. You know, that's how 34 00:01:32,840 --> 00:01:36,000 Speaker 2: New Zealand farming has succeeded over the years of having 35 00:01:36,000 --> 00:01:40,280 Speaker 2: that land use change going to where the better value is. So, 36 00:01:40,840 --> 00:01:43,360 Speaker 2: you know, we're still good personally. I think there's also 37 00:01:43,400 --> 00:01:47,080 Speaker 2: a cost element to this, with RIMA and all the 38 00:01:47,120 --> 00:01:49,880 Speaker 2: other rules and regulations that kind of hold farmers back. 39 00:01:50,040 --> 00:01:52,400 Speaker 2: And you know, I visited a farm where the guy 40 00:01:52,520 --> 00:01:55,200 Speaker 2: had all these wetland rules in place on him and 41 00:01:55,680 --> 00:01:57,840 Speaker 2: all this fencing requirements he had to do, and in 42 00:01:57,840 --> 00:02:00,120 Speaker 2: the end it was just listened to bloody heart, just 43 00:02:00,160 --> 00:02:02,480 Speaker 2: put it all in the forestry so there's an element 44 00:02:02,520 --> 00:02:04,200 Speaker 2: of the work we're doing around rm A that I 45 00:02:04,200 --> 00:02:07,680 Speaker 2: hope will provide a bit more common sense and sensibility 46 00:02:07,760 --> 00:02:12,200 Speaker 2: going forward to farmers to make smart decisions on their 47 00:02:12,200 --> 00:02:14,280 Speaker 2: farm and not just give up in plant trees. 48 00:02:14,560 --> 00:02:16,080 Speaker 1: While I've got you, you're going to be on the 49 00:02:16,120 --> 00:02:18,440 Speaker 1: Fontira consumer sale. 50 00:02:19,560 --> 00:02:24,200 Speaker 2: Well as a Fonterra shot I do. I think, you know, 51 00:02:24,240 --> 00:02:27,240 Speaker 2: I'm waiting to see the you know, the full detail 52 00:02:27,320 --> 00:02:33,640 Speaker 2: of it, but historically we haven't made a great deal 53 00:02:33,680 --> 00:02:37,839 Speaker 2: of return from these consumer products, and you know, it's 54 00:02:37,840 --> 00:02:41,080 Speaker 2: been a good return and obviously we're attached to these brands, 55 00:02:42,360 --> 00:02:46,040 Speaker 2: but actually it's this consumer business or the business to 56 00:02:46,120 --> 00:02:50,640 Speaker 2: business side of it that's actually earning the real returns. 57 00:02:50,880 --> 00:02:52,720 Speaker 2: And so you know, I want to see my money 58 00:02:52,720 --> 00:02:55,679 Speaker 2: invested where it's going to generate the most return. 59 00:02:55,680 --> 00:02:57,560 Speaker 1: Good and so I appreciate it pretty much. Andrew Hoggard, 60 00:02:57,600 --> 00:03:01,440 Speaker 1: the Associate Agriculture. For more from The Mic Asking Breakfast, 61 00:03:01,600 --> 00:03:04,920 Speaker 1: listen live to News Talk Set B from six am weekdays, 62 00:03:05,160 --> 00:03:07,200 Speaker 1: or follow the podcast on iHeartRadio.