Alliance records another big annual loss, new chapter begins for dairy-beef genetic research, and global shearing championship series could head to Canterbury.

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Alliance records another big annual loss

Alliance Group has announced a $95.8 million loss after tax in its annual result ending 30 September 2024, up from last year's $70.1 million loss. Total revenue was $1.8 billion, slightly down from $2 billion the year before.

The result includes $48.2 million in one-time costs relating to organisational changes, including the Timaru Smithfield meat works closure. This means Alliance's underlying trading loss reaches $47.6 million after tax.

Critical market changes have emerged, with Alliance noting its Chinese market activities declined by 50% during the trading year. 

The announcement also details recent market improvements, with cattle returns now trading above their 5-year average. Alliance says early indications show that markets may be moving away from recent low trading ranges, indicating a turning moment in international meat markets.

Board Chairman Mark Wynne says they aim to return to profit in the current trading year, while aiming to reduce costs while maintaining market attention.

Alliance’s annual meeting in being held in Gore on the 18th of December.

 

Rural Co-op returns $92M to farmers through market challenge

Meanwhile Farmlands has maintained strong support for its farmer customers despite recording a $14.3 million net loss for 2024. The co-operative achieved $2.5 billion in turnover while giving back $92 million to farmers and growers through rebates.

Farmlands Co-operative Board Chair Rob Hewett says early recognition of market challenges allowed quick strategic changes. 

The announced loss includes a one-time tax adjustment of $12.3 million. Without this accounting change, the co-operative would have recorded a $2 million loss, maintaining relative stability through challenging market conditions.

Farmers and growers received $44.1 million through rural supplies rebates alone. Farmlands Chief Executive Officer Tanya Houghton says this represents an additional $6.9 million given back to farmers compared to last year, achieved through better pricing and enhanced trading arrangements.

The co-operative's cash management shows improvement, moving from negative $5.1 million to reach $22 million. Houghton notes this achievement stems from carefully managed operational changes and enhanced trading arrangements.

Chair Rob Hewett maintains these results demonstrate the co-operative's underlying strength, highlighting its ability to support farmers and growers through challenging market conditions while maintaining significant rebates.

 

New chapter begins for dairy-beef genetic research

Dairy and beef integration is reaching new heights as more join a landmark genetic testing initiative. The national Dairy Beef Progeny Test now includes five new host operations across three regions, marking a major advancement in identifying optimal beef genetics for dairy herds.

The expanded research now involves two Dairy Trust Taranaki operations, two Massey University farms, and a commercial dairy farm at Five Forks near Oamaru. This wider reach allows testing across different farm environments and management methods.

Beef + Lamb New Zealand Genetics’ Strategy and Operations Manager Jim Inglis says the programme now includes various cow types, creating a more accurate picture of what works on New Zealand dairy farms, which will give dairy owners better information when making breeding decisions.

The testing program examines sixteen bulls representing five cattle varieties. These include Angus, Charolais, Hereford, Murray Grey, and Simmental breeds. It tracks animal growth, detailed recording of mating dates, calving information, and comprehensive growth measurements.

Dairy owners interested in joining the testing initiative can learn more through the Beef + Lamb New Zealand Genetics website, where current trial information and genetic details are readily available.

 

Global shearing championship series could head to Canterbury.

Big thinking could see international shearing champions competing in a global series culminating in Christchurch. The ambitious move would link competitions across Australia, Britain, North America, and Europe, with Canterbury hosting the grand finale.

Minister for Rural Communities Mark Patterson who is backing the idea likens the concept's potential to modern darts competitions. What started as a social activity turned into a major international event with huge viewership, he says, and shearing could follow a similar rise.

Canterbury A&P Association Chairperson Sir David Carter also backs the initiative, highlighting shearing's role in connecting urban and rural communities. 

The recent Canterbury Corriedale Championships demonstrated the event's potential, with Te Kūiti's Jack Fagan claiming the open men's machine shearing title. Fagan mastered challenging conditions to deliver both speed and quality in the final.

Rising talent Laura Bradley made her mark by winning both the women's event and open mixed senior competition. Bradley says that while women might handle fewer sheep, they often achieve higher quality outcomes.

The initiative, developed by The Southern Series with backing from rural leaders, aims to elevate competitive shearing onto the world stage. The plan would expand the existing Canterbury championships into an international showcase.

The Corriedale Championships currently form part of the national circuit, which includes six major shows across New Zealand before concluding at Masterton's Golden Shears each March.

 

Major NAIT breach leads to court fine

The Timaru District Court has handed down a significant fine in a NAIT case, with a South Canterbury farmer receiving more than $16,000 in total penalties.

The Ministry for Primary Industries brought the case following repeated animal movement breaches across several months. The court heard details about two main incidents involving unregistered cattle movements to meat handling facilities.

Court documents revealed earlier Ministry attention to compliance matters. These included educational outreach, multiple formal notices, and direct communication about unregistered animal movements dating back to 2020.

While acknowledging management challenges, Judge Campbell Savage maintained the importance of maintaining proper animal movement records. 

 

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