Rt Hon Winston Peters
New Zealand First Leader
Member of Parliament for Northland
16 JUNE 2016

Dairy Auction And Drought “the Winter of Our Discontent”

The sharp 4.5 per cent fall in auction prices for Whole Milk Powder, has New Zealand First calling for the government to act with drought starting to grip parts of the country.

“Fonterra’s 2016/17 forecast is immediately under pressure, which at $4.25 per kilogram of milk solids (kg/MS), is below a farmer’s breakeven,” says New Zealand First Leader and Northland MP Rt Hon Winston Peters.

“Farmers told us yesterday at Fieldays, that a National Party they traditionally supported is pro-urban and incapable of acting in the interests of Kiwi farmers.

“Look at the Dairy Industry Restructuring Act. Instead of triggering ‘sunset clauses’ with Fonterra’s South Island market share meeting the Act’s 80 per cent threshold, National wants to revise it lower to 75 per cent in both islands. That only benefits the foreign processors.

“But it isn’t just dairying because drystock farmers in North Canterbury are in a bad way with an elongated drought. We can also add Hawke’s Bay in its driest winter on record, while Gisborne and Wairarapa aren’t far behind in terms of falling soil moisture levels.

“New Zealand First backs water storage with tax breaks for farmers to install smart water efficient irrigation and farm environmental works.

“New Zealand First is the only party looking to help farmers in trouble with the Receiverships (Agricultural Debt Mediation) Amendment Bill. We also want to reform the Reserve Bank Act to create a dollar that favours exporters and not importers.

“New Zealand First wants Closer Commonwealth Economic Relations, especially if the UK votes for Brexit next week, and to bring Russia back in from the diplomatic and trade cold.

“National is refusing New Zealand First’s help to fundamentally reform of the RMA in order to reduce costs and red-tape. National it seems has caved into its Maori Party mates,” Mr Peters said.

Visit New Zealand First at Fieldays 2016 Site BLED60 in the Bledisloe Building.

ENDS

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