Rural Supplies

Western Sahara refugees urge PM Jacinda Ardern to step in over phosphate trade

[12 September/Stuff] Refugees made a direct plea to the Prime Minister about the long running standoff in Western Sahara. Jacinda Ardern was one of the few Westerners to have visited their camps. Representatives of the refugees visiting Wellington are arguing for New Zealand fertiliser co-operatives to cease purchasing minerals from the region. Phosphate taken from...

Skellerup makes record profit

[16 August/Radio NZ] Skellerup, a rubber-goods maker, has reported a record profit largely due to strong sales growth in New Zealand and other parts of the world. Its net profit increased 23 percent to $27.3 million. The industrial division’s underlying profit rose 21 percent. The agri division further achieved a record profit growth of 15...

PGG Wrightson net profit down, performance strong

[15 August/The Country] PGG Wrightson posted full-year operating EBITDA of $70.2 million, which was an increase on last year’s figure of $64.5 million. Net profit after tax of $18.9 million was down on last year’s $46.3 million. PGG Wrightson Deputy Chairman, Trevor Burt, said the significant increase in EBITDA was pleasing. The company declared a...

Co-op directors getting harder to find: Farmlands chairman

[9 August/NZ Herald] Farmlands Chairman, Lachie Johnstone, said attracting directors for cooperatives was becoming harder. Three seats were up for election as two long serving directors stood down and Silver Fern Farms Chairman, Rob Hewett, seeks another term. Joe Ferraby and David Jensen are standing down. Nominations close on 13 September, and candidates need to...

PGG Wrightson to sell seeds division for $421m

[6 August/Stuff] PGG Wrightson Limited has agreed to sell its seed division to DLF Seeds for $421 million. The deal was subject to shareholder and Overseas Investment Office approval. PGG Wrightson said the sale amount exceeded the book value of the net assets of the division. The deal followed a review of the company. It...

Ballance boosts balance sheet

[30 July/Farmers Weekly] Ballance Agri-Nutrients will keep a portion of its earnings to boost its balance sheet following three years of rebate payments that pushed it to a bottom line loss. Chief Executive, Mark Wynne, reported a gross trading profit of $71.3 million, up from $56.8 million a year ago. The co-op will keep the...

Farmlands Co-operative wins KPMG Global Customer Experience Excellence (CEE) Award

[13 July/Farmlands] Farmlands was named as the New Zealand winner of KPMG’s Global Customer Experience Excellence Award. It was one of 14 winners worldwide, and joined an elite group of iconic brands that included Singapore Airlines, Emirates and Apple. Farmlands Chief Executive, Peter Reidie, said the accolade was a vote of confidence in the power...

Tractor sales could reach a record high

[9 July/The Country] New Zealand Tractor and Machinery Association President, John Tulloch, said sales of tractors were up more than 25 percent on this time last year. He added sales were back near 2014 levels, and there was also increased spending within the lifestyle, viticulture and horticulture markets. He noted it was rare to see...

Global seed group confirms PGG Wrightson interest

[5 July/NBR] Barenbrug Group confirmed its interest in PGG Wrightson’s seed unit. PGG Wrightson had hired First NZ Capital and Credit Suisse Australia to help with a strategic review. This can be seen as a move to invite offers from buyers for part or all of the company. Barenbrug is an innovative market leader with...

Hundreds of Hawke’s Bay farmers in line for Ravensdown rebate

[18 April/Hawkes Bay Today] Over 500 farmers around Hawke’s Bay were given an indication of how much they can expect to receiving from Ravensdown. They announced an early interim rebate of $17.50 cash per tonne of eligible fertiliser payable to farmer shareholders across the country. Ravensdown Chairman, John Henderson, said it demonstrated the co-operative’s strong...

Farmers facing toxic swede harvest

[16 April/NZ Herald] Farmers in Southland and Otago have found themselves growing crops of potentially toxic swede, following a human error by PGG Wrightson, a seed wholesaler, which meant more than 500 farmers were inadvertently growing the same variety of swedes that were linked to the deaths of hundreds of dairy cows in 2014. Farmers...

Shareholders approve simplified share structure for dairy genetics company

[15 March/NZ Farmer] After receiving approval from its shareholders, Livestock Improvement Corporation (LIC) will go forward with its proposal to simplify its share structure. The proposal combines the existing two share classes together into a single class to remove potential conflicts between co-operative and investment shareholders. Of the attendees, 87.69 percent of co-operative and 83.39...

PGG Wrightson ‘open to options’ amid strategic review

 [15 March/The Country] PGG Wrightson was open to options after hiring First NZ Capital to complete a strategic review of the business. It has been rumoured in the Australian Financial Review that the merchant bankers were getting non-disclosure documents signed by interested parties ahead of a planned auction of the company, which is controlled by...

NZ unlikely to buy disputed phosphate

[5 March/Radio NZ] A controversial cargo of phosphate that was seized in South Africa went back on the market, however New Zealand’s two biggest fertiliser companies said they were unlikely to purchase it. The ship was carrying 50,000 tonnes of phosphate rock bound for New Zealand last May when it was stopped at Port Elizabeth...

LIC rules out another cost shock from reforms

[8 March/NZ Herald] LIC shareholders were assured they were not in for another cost shock from two years of work on a new share structure proposal. LIC had farmer investment shares listed on the NZAX and had a market capitalisation of $66 million. Farmers were surprised when they found out $20.7 million had been spent...

Strong first half from PGG Wrightson

[28 February/Otago Daily Times] PGG Wrightson had posted its best first-half EBITDA result in a decade, and PGW Chairman, Alan Lai, said that he expected the strength to continue, forecasting operating EBITDA to exceed 2017’s result and be in the $65 to $70 million range. An interim dividend of 1.75c per share was announced to...

Error has farmers growing crop linked to cow deaths

[23 February/The Country] Many farmers in the Southland and Otago regions were sold the wrong seed, and had accidentally grown crops linked to the death of hundreds of dairy cows in 2014. PGG Wrightson Seeds General Manager New Zealand, David Green, said they noticed the bulb colour was white as opposed to yellow, which prompted...

Share reform to cut conflicts

[19 February/The NZ Farmers Weekly] According to an independent report, simplifying the Livestock Improvement Corporation ownership structure into an ordinary share system should guard against potential conflicts in the dual share structure. Currently, some owners have voting power but not the full economic interest in the company whereas other owners have the greater economic interest,...

Morrinsville, Waikato-based tractor and machinery sales company Power Farming Group powers ahead with overseas expansion

[19 February/The Country] Power Farming Group Director, Brett Maber, said that a policy of returning 100 percent profits into the business is what empowered the group to achieve overseas expansion and annual revenue of $400 million. Power Farming Group is an independent tractor and machinery sales company which started in 1948 as Maber Motors. They...

FMG board revamp

[18 August/Rural News] Rural mutual-insurer, FMG, has elected three experienced rural sector leaders to its board at its annual meeting in Hanmer Springs. Shareholders elected Geoff Copstick (the former CFO of Gallagher Group and current Director of that company), Murray Taggart (Chair of Alliance Group) and Steve Allen (Chair of Tatua Dairy Co-operative) to the...

Weather hits PGW’s profit results

[9 August/ NZ Herald] PGG Wrightson Chairman Alan Lai said the company’s full-year profit was very positive. PGG Wrightson announced operating earnings before interest, tax, depreciation and amortisation of $64.5 million for the year to June, down $5.7 million on last year’s figure. After-tax net profit was $46.3 million, up from $43.8 million the previous...

Ravensdown changes way it does business and ups farmer rebate

[7 August/ Stuff] Ravensdown reported a $51 million profit before tax and lifted the rebate paid to shareholders, due to help from farmers investing in smart fertiliser products. Although the figure is less than last year’s $62 million, the company is paying a total annual rebate of $45 per tonne, compared to last year’s $41...

Ballance returns up as farmers buy more ‘smart’ products

[28 July/ Stuff] Ballance Agri-Nutrients’ gross trading result increased from $22 million to $56.8m in the last financial year, allowing a $54m farmer shareholder return. The fertiliser company’s revenue dropped 4 percent to $805 million, and sales volume saw a 1 percent decreased; however, Chief Executive Mark Wynne said Ballance improved its performance due to...

Ravensdown wants farmers to make smarter fertiliser decisions

[22 June/ Radio NZ] Fertiliser co-operative Ravensdown plans to sell less fertiliser if it ensures better environmental outcomes for streams and rivers. General Manager for Customer Relationships Bryan Inch said people want to create a better environmental management and nutrient space, causing Ravensdown to consider smarter farming going forward, meaning potentially less fertiliser sales. Ravensdown...