Primary sector research funding a positive step for agriculture

Federated Farmers welcomes today’s research funding announcement made by the Hon David Carter, Minister of Agriculture. As a part of the Primary Growth Partnership project tender concept, the funding is a step in the right direction, but more is needed if New Zealand wants to safeguard the future of primary production.

“For Government and industry groups to inject extra money into new research initiatives is definitely a positive. We always welcome new investment in the primary sector because it helps to ‘future-proof’ New Zealand,” says Don Nicolson, Federated Farmers President.

“Federated Farmers is most interested in the business plan that New Zealand Merino has put forward. This plan intends to generate $868 million added value for the fine wool industry by 2019.

“To me this looks like a huge goal, especially given the current state of the meat and wool industries. But I commend them for showing such ambition, this is exactly what’s essential if we want to lift profitability within the sector.

“If New Zealand is to fully realise our opportunities, New Zealand needs to start taking risks. We need to be developing solutions to problems, rather than repeating them as we have done in the past.

“I think that the merino wool project, if successful, will provide assistance towards a recovery for sheep farmers and will provide fine wool breeders with a valuable opportunity. Of course they are only a small segment of the meat and wool sector, but any progress is highly encouraged.

“The Primary Growth Partnership aims to boost the primary sectors in New Zealand. Federated Farmers fully supports this and we’ve submitted that Government commit three percent of Gross Domestic Product to research and development by 2029.

“Through investing in research, we’re playing into New Zealand’s competitive advantage and we will be able to develop new industries that will help New Zealand get ahead in the international arena. If we want to assist our completive advantage, a good start will be the creation of new ideas.

“But if we don’t significantly invest in research and development, we’re going to be caught and passed by other countries.

“I look forward to seeing more growth in primary sector research and congratulate the Government on taking the Primary Growth Partnership forward,” Mr Nicolson concluded.