web analytics

Dairy prices still going down

Written By: - Date published: 8:51 am, May 8th, 2014 - 51 comments
Categories: Economy - Tags: , , ,

Yesterday the global dairy trade auction was held. This is the market place that tends to drive the internationally traded price of dairy products. Prices are still going down as they have since Feburary. The rate of decrease was less than previous drops. Only 1.1% rather than the colossal drop on April 1st. Hopefully this means that the prices are starting to stabilize at a new level.

GlobalDairyPriceIndex-2014-05-08-b

 

GlobalDairyPriceIndex-2014-05-07-a

But what does this all mean for the NZ economy? Well what better source than our Reserve Bank governor; Graeme Wheeler. Yesterday he gave a fascinating speech to DairyNZ in Hamilton entitled “The significance of dairy to the New Zealand economy“.

The essence of which to me was that the international dairy trade of whole milk powder to China saved our arse (and probably the arse of the National party)  during the latter part of the global financial crisis.

But that for NZ to carry on solely depending upon growth in it is risky. Other big milk producers like the US are seeing the value of our trade to China and will/are gearing up to take a large piece of that action. The Chinese government itself is trying to  improve the quality and production of milk and derived products. It is interesting to see that dairy farmers themselves are increasingly cautious about further value growth – as expressed in their investment decisions.

I’ll probably write more on this over the next week. But here are some more graphs to entice readers to have a look at the speech.

Dairy exports in $NZ

Dairy exports in $NZ

Export market shares (average annual percentage for given year)

Export market shares (average annual percentage for given year)

Share of primary exports to China (annual total)

Share of primary exports to China (annual total) “China is our largest export market for every agricultural commodity except beef (where it is our second largest market behind the United States). It purchases a third of New Zealand’s dairy exports “

Chinese imports of dairy products

Chinese imports of dairy products “A second risk is that a strong competitor enters the Chinese market and threatens our market share. New Zealand supplied over 70 percent of China’s dairy imports in 2013”

Dairy debt (June years)

Dairy debt (June years) “Dairy debt almost trebled over the past decade, and currently stands at $32 billion. It is concentrated among a small proportion of highly leveraged farms with around half of the dairy debt being held by only 10 percent of dairy farmers. Strong export earnings saw the sector’s debt to income ratio improve between 2010 and 2012, although for the decade as a whole this ratio tracked steadily upward”

Value of farm sales and credit growth

Value of farm sales and credit growth “Dairy farmers are therefore generally taking a cautious approach in the knowledge that the current high prices can turn around quickly. This is encouraging to see given the vulnerability of the sector and its already high debt load.”

&&&

51 comments on “Dairy prices still going down ”

  1. philj 1

    xox
    Pity we have to sell our principles/ethics/soul to survive economically. The late Sir Paul Callahan said that Dairy farming was never go going to give Kiwis a rising standard of living

    • RedLogix 1.1

      Or as a less erudite but equally smart mate of mine once pointed out; there are roughly 4.2m dairy cows in NZ, for a population of almost the same – and your average Maasai tribal leader would probably be very worried if his ratio of cattle/people had dropped that low.

    • dave 1.2

      the standard should post sir paul callhams presentation from the 2011 labour party congress its an eye opener

  2. Ennui 2

    Fantastic information, it really makes for interesting reading. Well done LPRENT, what was the main source?

    The really interesting thing for me are the geo-political implications. Things like the TPP. China India and Russia recently signed an agreement to become an Asia trading block in raw resources like oil, the clearances to be in gold. The US and Europe are clearly out of alignment with this, it signifies the transition of the existing economic hegemony to the emerging super powers. The US dollar may no longer have primacy in international trade transactions.

    What has gone under the radar in the media here is Obamas announcement of the “Asia Pacific axis” strategy. It signifies the end of the “war on terror”, and introduces the militarisation of the Pacific region by US forces to contain Chinese regional and eventual world hegemony.

    What does this mean to NZ? To early to tell but one thing is certain: it will affect our trade relations with one of the parties. We cant afford to lose China, the rest of the world we cant afford to lose either. We are caught between a rock and a hard place.

    • lprent 2.1

      …what was the main source?

      The two links in the post and a brief mention of the two upcoming events in the NBR on tuesday.

      • lprent 2.1.1

        Duh! I wrote that as I was heading to work.

        The first two graphs are from auction site. The remainder are in Wheelers speech that I linked to.

        • greywarbler 2.1.1.1

          Also it could have been accessed from the comment that I put in Open Mike yesterday, which perhaps nobody except Colonial Viper read, as there was an appointment for guying Judith Collins which most people here attended. I perservered however with some factual stuff about the economy now and forward-looking as below.

          At 22 Open Mike 7/5
          Links to Graeme Wheeler address
          also
          usa dairy competition
          also
          our sixth successive drop in milk price
          and link on
          Invermay closure
          also
          fodder for drought

          and at 16, and 16.1, comments on Kauri bonds and the World Bank
          and how trading in our currency is increasing demand and keeping the price of our currency up,
          and how that is also upwardly affected by the leveraged purchase of NZ dairy prices as referred to in the Reserve Bank governor’s address.

          Followed by a comment from Colonial Viper at 16.1.1 from 8 May at 12.15 am (working in the middle of the night) –
          We’re the obedient well trained pet of international financiers and money managers, lucky us.
          BTW the big aussie banks b[u]y Kauris using the massively excess funds they suck out of Kiwi workers through their usury and high bank fees.

          • lprent 2.1.1.1.1

            Could have been. I literally don’t remember where I first read some of the stuff that I see. About half of my brain these days seems to be used on how to Google something I remember as being correct.

            Too many programming languages and libraries, and a wee touch of politics and history.

            But it was an interesting speech

    • Colonial Viper 2.2

      It signifies the end of the “war on terror”, and introduces the militarisation of the Pacific region by US forces to contain Chinese regional and eventual world hegemony

      Hmmmm I usually expect better and less ethnocentric analysis from you, Ennui. Of course, I agree with you that NZ has to walk a fine line in the coming years, but some of your assumptions are well off IMO.

      Firstly, the US “war on terror” has been going on continuously for over 10 years, and I believe it will keep going on, perpetually. Neither Obama nor his officials will undercut the perfect rationale for their ongoing implementation of the security and surveillance state, for massive military budgets, the stripping back of every US citizens rights and civil liberties, and of course the occasional drone strike/mini-war. Therefore, your statement that we have reached the end of the (very politically useful to the power elite) “war on terror” is, I believe, poorly founded.

      Secondly – “containment” is a geopolitical and military strategy developed during the Cold War, and was the positioning of the world’s richest, greatest military and economic power against the military moves of a single powerful enemy – the Soviet Union.

      It is also a strategy which is utterly unsuitable for use against China. The Chinese economy now matches the US one in spending power, and a block of India/Russia/China/Brazil as powerful developing countries economically outmatches the struggling US. Note that US power is more and more having to rely on military and security state tactics; the degradation of the position of the USD as the reserve currency of choice over the next few years will worsen this effect.

      More to the point, US corporations today absolutely rely on China as both a market and a factory.

      Do you think that the US will therefore be willing to fight proxy wars against China as was done during the Cold War against the USSR (Afghanistan), or in North Korea and Vietnam against the Communist Chinese? Not only is China a major nuclear power but China has successfully surfaced one of its attack subs in the middle of a US carrier group, and has also demonstrated it’s ability to kill satellites in orbit. Does the US really want to go there, or to encourage it’s east asian proxy Japan to go there?

      And finally, comment needs to be made on the assumption that China has any interest in an expansionist global “hegemony.” China as always wants to be the major regional Asian power, and it wants strong trade ties around the world – same as throughout the last 1000 years, incidentally. But building a global empire under its effective control? It think you may have mistaken China for another country. Speaking of “world hegemony” please remind me which nation currently operates or controls over 700 military bases around the world, uses mercernaries in many foreign lands and foreign wars, actively ensures that its corporates are dominant in every global market, and has mass surveillance capabilities which reach into the communications infrastructure in every country?

      • Ennui 2.2.1

        CV, fast answer, I will send some links later, its a case of joining dots.
        On the “ethnocentric analysis”, well off the mark. There is none intended or given.
        Some answers:

        Firstly, the US “war on terror” has been going on continuously for over 10 years, and I believe it will keep going on, perpetually When Osama is dead, and you are forced to pull out of Afghanistan because you cant win (like Vietnam), and public opinion is moving against the “war”, as the military industrial complex you need a “new enemy”. The “war on terror” has played its part but in the mind of the public it is running down so what better than budgets against a “new” threat. This has been planned for and is well documented.

        Do you think that the US will therefore be willing to fight proxy wars against China…as a matter of fact I don’t BUT I think the US (read corporate / financial / military industrial complex) has no option than to resist further Chinese economic growth and power. In short they are “owned” and the US$ is no longer looking invincible. By contrast the Chinese are aware of the money owed them by the USA, they don’t want it to go west. It is the most unhealthy Catch 22 situation you can imagine.

        “the assumption that China has any interest in an expansionist global “hegemony.” Empires are pretty much always money centric, exploitative. The average Yank probably has no imperial ambitions, nor I suspect does the average Chinese. The logic of “empire” however pays no attention to the ambitions of the citizen. Its a balance sheet exercise, and Chinese balance sheets are constructed the same way as US balance sheets.

      • Tracey 2.2.2

        george bush one and two missed the opportunities the cold war gave… the war on terror fills that gap nicely.

        i agree with you, it wont be over anytime soon.

        bin laden apparently said that 9/11 was about making americans unsure in their own land as his people felt from america in theirs. he never needed to do more than that day to achieve it.

    • Draco T Bastard 2.3

      We cant afford to lose China, the rest of the world we cant afford to lose either.

      I really do wish people would stop spreading such tripe.

      We have the resources necessary to support ourselves. Trade does very little for us.

      • Lanthanide 2.3.1

        Depending on the quality of life you want to live, yes.

        • Draco T Bastard 2.3.1.1

          We can maintain near equivalency.

          • Lanthanide 2.3.1.1.1

            Yes, with our cutting-edge $2B CPU fabs with state of the art technology and expertise.

            Oh wait, no, we can’t build those fabs, we don’t have the needed expertise. I guess we’ll just have to trade for high technology that we can’t build ourselves, or otherwise accept a lower quality of life.

            Kiss all your iPods, smartphones, PS4’s and XBones goodbye.

            • Draco T Bastard 2.3.1.1.1.1

              You know, back a few years the US couldn’t build them either. Neither could Taiwan, nor China nor Korea.

              We can build the capability.

              • Lanthanide

                It took decades of standing on the shoulders of giants in order to get the semiconductor industry up to where it is now.

                The other thing about “lets stop trading with everyone else” means it’s very hard to actually attract the necessary expertise to the country.

                • Colonial Viper

                  Oh fuck it Lanth (and DTB), in 20 years no one is going to give a shit about the new Samsung Galaxy S25 if they have a working but ancient Nokia 1100, because trying to get enough unadulterated uncontaminated food for your family into your household is going to take up most of your week, not worrying about the latest 0.2NM process dodeca-core CPU chipset.

                  The other thing about “lets stop trading with everyone else” means it’s very hard to actually attract the necessary expertise to the country.

                  It takes the availability of a massive energy surplus to employ large numbers of highly specialised professionals. That energy surplus is going away. The queues of unemployed university graduates is only going to grow.

                  • Draco T Bastard

                    because trying to get enough unadulterated uncontaminated food for your family into your household is going to take up most of your week,

                    That may be true in some places in the world, it won’t be true of NZ.

                    It takes the availability of a massive energy surplus to employ large numbers of highly specialised professionals.

                    Which NZ will have – if our government gets smart and builds numerous wind farms, helps get solar on every house and builds the infrastructure so that we can make them here.

                    The real hit that NZ will take from the decrease in fossil fuel availability will be in international trade and we’re not doing anything about it.

                    The queues of unemployed university graduates is only going to grow.

                    /facepalm

                    Contradict yourself much?

                    BTW, we had universities long before we had fossil fuels. We’ll have them long after.

                    • Colonial Viper

                      BTW, we had universities long before we had fossil fuels. We’ll have them long after.

                      Sure, but we’ll have universities for the 4% as was the case in Newton’s day, not for the 40%.

                      Which NZ will have – if our government gets smart and builds numerous wind farms, helps get solar on every house and builds the infrastructure so that we can make them here.

                      To use an aphorism from the Archdruid’s blog – I agree that all this could happen in theory, but it won’t, not even in 3 terms of Labour/Green government (which by the way is the last chance this country has to get truly ready for permanent energy depletion).

                    • Draco T Bastard

                      Sure, but we’ll have universities for the 4% as was the case in Newton’s day, not for the 40%.

                      Nope, for the 100%. We’ll need well trained and educated people to do the necessary R&D. Back when we were pre-industrial most people didn’t work anywhere near as hard as people think. The reality is that we work harder today than at any other time in history. IMO, as we get the rich off of our backs, become more self-sufficient and international trade decreases we’ll actually work less while having more.

                      I agree that all this could happen in theory, but it won’t, not even in 3 terms of Labour/Green government

                      If, after three terms of Labour/Greens we still haven’t got them then even National is going to have to admit that we need them.

                • Draco T Bastard

                  It took decades of standing on the shoulders of giants in order to get the semiconductor industry up to where it is now.

                  Ah, no it didn’t. It took decades of government funding the necessary research. Research, BTW, that we don’t have to do because it’s already done.

                  The other thing about “lets stop trading with everyone else” means it’s very hard to actually attract the necessary expertise to the country.

                  1.) I didn’t say anything about stopping trade
                  2.) We already have necessary expertise and so don’t need to attract any more.

                  • MaxFletcher

                    “Ah, no it didn’t. It took decades of government funding the necessary research. ”

                    Yes Draco, that’s decades of standing on the shoulders of giants.

                    • Draco T Bastard

                      Nope. It was just people doing research that anybody in NZ could do just as well – if the government had bothered to support them. No giants involved.

                  • Phil

                    You’ve been pushing this line for many years, but it’s full of holes.

                    Firstly, you’re ignoring the very real, and very large, fixed costs of all the infrastructure and PME required for NZ to build/manufacture its own everything. International trade is of enormous benefit to New Zealand because we can and do obtain goods and services that otherwise would be, per unit, far too costly to produce ourselves. Then there is also the opportunity cost of the start-up investment – what would we have to stop doing to begin making our own cars and computers? We are, after all, only 4-ish million people

                    Secondly, I get the feeling that you’re mixing up the impacts of absolute and comparative advantages of trade, and then creating an extreme conclusion you think an economist would argue; we shouldn’t do anything because someone else can do the same thing more cheaply. That’s an incorrect interpretation of economics and a demonstrably false conclusion.

                    I acknowledge there are some very real global concerns about market power and monopoly, and the impact these have on trade outcomes and ‘fairness’. But, by and large, these are issues that can/could be much more efficiently solved through regulation and competition law than what you’re proposing.

      • Ennui 2.3.2

        So Draco, do you remember what happened the last time we “lost” a market? Don’t you remember the restraints on trade and the panic that set in when UK joined the EEC and we lost free access to their markets?

        I suppose we could have become totally self sufficient then but we didn’t. And we never will unless forced to because we do not have a natural resource base to support even a fraction of what we think we require. Yes we can grow lots and lots of food, but metallurgy…different issue, not much in the way of ores here. Chemicals…no sources of all sorts. Technology, yes we are good at it but we cannot cover all bases, and hey, it uses raw materials like rare earth elements that we can only get by trade.

        As the oil goes west the whole world will change, and we will change with it. Until then as a national entity we will trade, and if we lose access to a third of the worlds market in one hit we will suffer. In the light of that is the statement about “we cannot afford to lose China” invalid?

        • Colonial Viper 2.3.2.1

          Yes we can grow lots and lots of food, but metallurgy…different issue, not much in the way of ores here. Chemicals…no sources of all sorts. Technology, yes we are good at it but we cannot cover all bases, and hey, it uses raw materials like rare earth elements that we can only get by trade.

          You didn’t need much palladium or germanium to live a good life in 1960.

          The answer is the ‘appropriate technology’ movement of the 1970’s where it was recognised that a very decent living standard could be achieved using the technological basis of the 1950’s and 1960s augmented by the odd bit of robust modern technology.

          But lets get serious – the starting point for self sufficiency is an import substitution programme (as Sutch would have termed it) – and it is not about making our own quad core CPUs and MRI machines, it is about making our own shoes, clothes, furniture, glassware, toasters, trains and a million other daily items that this country used to be able to manufacture, and mostly using its own local resources.

          As for chemicals stock. NZ has coal. What more chemical stock do you want than that.

          • Draco T Bastard 2.3.2.1.1

            and it is not about making our own quad core CPUs and MRI machines,

            But considering that we can do so even without oil we may as well.

        • Draco T Bastard 2.3.2.2

          So Draco, do you remember what happened the last time we “lost” a market?

          Yeah, actually, I do. IMO, it’s part of what drove Muldoon’s Think Big as he tried to make NZ capable of getting over such a shock because the only way to ensure that such a shock doesn’t cause such havoc again is to be more independent.

          And we never will unless forced to because we do not have a natural resource base to support even a fraction of what we think we require.

          And that’s where you’re actually wrong. We actually do have those resources available – we just have to smart about using and recycling them.

          Mineral Commodity Report 17 – Rare Earths and Related Elements

          and if we lose access to a third of the worlds market in one hit we will suffer.

          Don’t think I mentioned doing that either and even in losing China we’d still have the rest of the world to trade with. To me it’s more a question of working to become self-sufficient so that we don’t need to trade to maintain our living standard.

          • Colonial Viper 2.3.2.2.1

            It also means a ground-up reassessment by society what we actually mean by a “good standard of living.”

            We have accepted for too long the US corporate consumerist definition: the cars, TVs, fridge freezers, etc that your household has.

          • Chooky 2.3.2.2.2

            E, CV and DTB…..interesting discussion for all us chooks…and thanks for all the references….very interesting

            ….on balance I agree with DTB…lets go as self sufficient as possible

            …although i dont trust USA corporates /corruption /expansionism/imperialism….nor do i trust China re imperialism/expansionism/corruption and invasion by population…having travelled through Tibet and knowing how this country has been invaded, economically exploited and culturally trashed and the Tibetan population swamped by newcomers

            ….a much increased population in New Zealand by new immigrants is not going to do much for the average new Zealander’s standard of living imo…in fact competition for resources will get worse eg housing, education , health and race relations….however it will line the pockets and increase corruption of the Nact wealthy corporate oligarchy

            ….agree also that we have to redefine what we mean by a “good standard of living”….and this will mean going back to a more egalitarian and frugal society

          • Phil 2.3.2.2.3

            We actually do have those resources available – we just have to smart about using and recycling them…. To me it’s more a question of working to become self-sufficient so that we don’t need to trade to maintain our living standard.

            You and I use much more water, energy, and other resources, to grow veges in our own backyard, than the large-scale ‘corporate’ growers do.

            Am I self sufficient? Yes.
            Is this a good use of my limited time and resources? No.

            • Chooky 2.3.2.2.3.1

              @ Phil…..oh so if they can grow more cheaply … using less water, energy, and other resources eg labour exploitation/paying a pittance ….eg. in China ie using “large -scale ‘corporate’ growers”…..then it has to be better and New Zealand should import !!!!?….no one believes this!!!! ( sprays ? herbicides?animal welfare ? soils? contamination? exploitation of labour)

              ….not to mention alienation from your own means of production and food and quality of life

              ….i doubt very much in any case that corporate growers are more economical with water, energy and resources than the backyard grower….much more likely to be wasteful and exploitative of those resources in pursuit of capital gains

              You ask: “Is this a good use of my limited time and resources? No.”

              Question:…well what else would you be doing I wonder.?….making more money?….not necessarily QUALITY of life…which is the whole point trying to be as self sufficient as possible

            • Draco T Bastard 2.3.2.2.3.2

              False equivalence.

              A society isn’t a single individual and can do everything that is required to provide it with its desired living standard because of the individuals within in that specialise.

              That said, over-specialisation by the individuals within society is a bad thing as people lose connection with what’s happening around them and thus make bad decision regarding the direction of society.

              • Chooky

                “thus make bad decision regarding the direction of society”….and the environment.

  3. Ad 3

    Can anyone alert Rod Oram to respond to this?

    Needs concentrated debate ESP re productivity, risk to Fonterra, added value, etc.

  4. Bearded Git 4

    As I posted yesterday interest.co.nz says dairy prices are down 27.5% since the beginning of the year in $NZ terms. The high dollar, still going up, is stuffing exports.

    • Ennui 4.1

      What I would really like to know is how much export receipts for dairy are, and by corollary what profits are retained in NZ and what capital outflow this causes. i have long suspected that NZ is losing the war to keep profits local, that the concept of a farmers owned dairy sector is long defunct on the basis of farm debt to international capital (banks).

      • Tracey 4.1.1

        can you explain to mean what if any implication can be drawn from our heavy reliance on dairy but it only amounting to about 8% of gdp, as part of all agriculture?

      • lprent 4.1.2

        That would be my bet as well. I rather suspect that a rather smallish fraction of that money earned actually circulates in the local economy for any length of time.

        Wheelers speech notes has some striking material about the level of indebtedness of dairy farmers.

        • Ennui 4.1.2.1

          Yes and I suspect that the TPP is one play to lock this in and force NZ to allow ownership of farms outright to reside outside of the farmers. Really though if somebody owes you eniough they become a wage slave to interest rates so you dont have to invest a lot of capital nor own deeds to land…….

  5. Saarbo 5

    Recently I was at a Rabobank presentation where they highlighted that NZ’s cost to produce Dairy Products is fast catching up to US/Europe, one of the reasons for this is we are feeding our cows more expensive supplementary feeds but the main reason was:…Interest Cost…, because our farmers are now so debted up buying neighbours farms etc. Farming debt is over $50b and Dairy’s share is above $31b I think. What this means is the biggest beneficiary of our dairy proceeds are the Aussie (and a Dutch) banks.

  6. Huginn 6

    For all it’s faults, Fonterra is a NZ owned producer co-op – it’s returns generally going back to NZ farmers. French food giant Danone is beginning to challenge that model.

    (Reuters) – France’s Danone SA (DANO.PA) will buy milk formula processing and packing factories in New Zealand to replace supply lost by terminating contracts with the Fonterra dairy cooperative (FSF.NZ) following a food safety scare last year.

    The world’s largest yoghurt maker is suing Fonterra whose report of contamination prompted client Danone to recall products, including its Karicare and Dumex milk formula brands. Fonterra later said the scare was a false alarm.

    Danone, through local subsidiary Nutricia, has agreed to take over Gardians’ drying plant and Sutton Group’s blending and packing plant, enabling Danone to maintain and increase infant formula exports to China where demand is particularly high.

    http://uk.reuters.com/article/2014/05/01/uk-danone-newzealand-mergers-idUKKBN0DH2AK20140501

  7. Philj 7

    xox
    Factor in the environmental cost of dairy degradation which is ignored, and the economic risk of the dependancy to NZ Inc, and you have a market boom and bust where e con o mists are no all no nothings. I lol

  8. Sacha 8

    The biggest cost of allowing amateurish clowns like Judith Collins to represent NZ in China will be to our reputation for quality and integrity. If other nations can do a better job of reassuring China they are reliable trading partners with genuine food quality systems and sound national governance then they’ll displace us.

Recent Comments

Recent Posts

  • Govt purchases enough Pfizer vaccines for whole country
    The Government has guaranteed that every New Zealander will have access to the Pfizer/BioNTech vaccine, after securing an additional 8.5 million doses, Prime Minister Jacinda Ardern announced today. “The Government has signed an advance purchase agreement for 8.5 million additional doses, enough to vaccinate 4.25 million people. The vaccines are ...
    BeehiveBy beehive.govt.nz
    27 mins ago
  • Celebrating Women in our COVID response – International Women’s Day 2021
    “This International Women’s Day I acknowledge the women who have been crucial in our COVID-19 recovery – our scientists, healthcare professionals, and essential workers – and everyone who is working every day to help women and girls achieve their potential in Aotearoa New Zealand,” says Minister for Women Jan Tinetti ...
    BeehiveBy beehive.govt.nz
    4 hours ago
  • $950k funding boost for World Conference on Women and Sport
    An additional $950,000 investment has been made to support New Zealand’s hosting of the 8th World Conference of the International Working Group on Women in Sport (IWG) in Auckland in 2022. The funding comes from the $265 million Sport Recovery Package and is for Women in Sport Aotearoa, Ngā Wāhine ...
    BeehiveBy beehive.govt.nz
    6 hours ago
  • Celebrating Children’s Day / Te Rā o Ngā Tamariki
    Today marks Children’s Day / Te Rā o Ngā Tamariki and the Minister for Children, Kelvin Davis is asking all New Zealanders to think about their responsibility to support the lives of the tamariki in their communities and to make this a special day for celebrating them. Children’s Day / ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Initial Mental Health and Wellbeing Commission report shows progress
    Health Minister Andrew Little welcomes the Initial Mental Health and Wellbeing Commission’s assessment that transformation of New Zealand’s approach to mental health and addiction is underway. “This is an important step in the Government’s work to provide better and equitable mental health and wellbeing outcomes for all people in New ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Over $300m returned to COVID-hit travellers
    The Government’s Consumer Travel Reimbursement Scheme has helped return over $352 million of refunds and credits to New Zealanders who had overseas travel cancelled due to COVID-19, Consumer Affairs Minister David Clark says. “Working with the travel sector, we are helping New Zealanders retrieve the money owed to them by ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Hundreds more schools join free lunches programme
    An additional 88,000 students in 322 schools and kura across the country have started the school year with a regular lunch on the menu, thanks to the Government’s Ka Ora, Ka Ako Healthy School Lunches programme. They join 42,000 students already receiving weekday lunches under the scheme, which launched last ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Govt’s balanced economic approach reflected in Crown accounts
    New Zealand’s economic recovery has again been reflected in the Government’s books, which are in better shape than expected. The Crown accounts for the seven months to the end of January 2021 were better than forecast in the Half Year Economic and Fiscal Update (HYEFU). The operating balance before gains ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Over half of border workforce receive first vaccinations
    More than half of New Zealand’s estimated 12,000 border workforce have now received their first vaccinations, as a third batch of vaccines arrive in the country, COVID-19 Response Minister Chris Hipkins says. As of midnight Tuesday, a total of 9,431 people had received their first doses. More than 70 percent ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Boost in funding to deliver jobs while restoring Central Otago’s lakes and waterways
    The Government is significantly increasing its investment in restoring Central Otago’s waterways while at the same time delivering jobs to the region hard-hit by the economic impact of Covid-19, says Land Information Minister, Damien O’Connor.   Mr O’Connor says two new community projects under the Jobs for Nature funding programme will ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Next stage of COVID-19 support for business and workers
    The Government has confirmed details of COVID-19 support for business and workers following the increased alert levels due to a resurgence of the virus over the weekend. Following two new community cases of COVID-19, Auckland moved to Alert Level 3 and the rest of New Zealand moved to Alert Level ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Govt committed to hosting Rugby World Cup
    The Government remains committed to hosting the Women’s Rugby World Cup in New Zealand in 2022 should a decision be made by World Rugby this weekend to postpone this year’s tournament. World Rugby is recommending the event be postponed until next year due to COVID-19, with a final decision to ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Support Available for Communities affected by COVID-19
    Community and social service support providers have again swung into action to help people and families affected by the current COVID-19 alert levels. “The Government recognises that in many instances social service, community, iwi and Whānau Ora organisations are best placed to provide vital support to the communities impacted by ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Govt announces review into PHARMAC
    The Government is following through on an election promise to conduct an independent review into PHARMAC, Prime Minister Jacinda Ardern and Health Minister Andrew Little announced today. The Review will focus on two areas: How well PHARMAC performs against its current objectives and whether and how its performance against these ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Impressive response to DOC scholarship programme
    Some of the country’s most forward-thinking early-career conservationists are among recipients of a new scholarship aimed at supporting a new generation of biodiversity champions, Conservation Minister Kiri Allan says. The Department of Conservation (DOC) has awarded one-year postgraduate research scholarships of $15,000 to ten Masters students in the natural ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Speech to ANZLF Virtual Indigenous Business Trade and Connections Event
    I acknowledge our whānau overseas, joining us from Te Whenua Moemoeā, and I wish to pay respects to their elders past, present, and emerging. Thank you for the opportunity to speak with you all today. I am very pleased to be part of the conversation on Indigenous business, and part ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Main benefits to increase in line with wages
    Social Development and Employment Minister Carmel Sepuloni announced today that main benefits will increase by 3.1 percent on 1 April, in line with the rise in the average wage. The Government announced changes to the annual adjustment of main benefits in Budget 2019, indexing main benefit increases to the average ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Deed of Settlement signed with Ngāti Maru (Taranaki)
    A Deed of Settlement has been signed between Ngāti Maru and the Crown settling the iwi’s historical Treaty of Waitangi claims, Minister for Treaty of Waitangi Negotiations Andrew Little announced today. The Ngāti Maru rohe is centred on the inland Waitara River valley, east to the Whanganui River and its ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Support in place for people connected to Auckland COVID-19 cases
    With a suite of Government income support packages available, Minister for Social Development and Employment Carmel Sepuloni is encouraging people, and businesses, connected to the recent Auckland COVID-19 cases to check the Work and Income website if they’ve been impacted by the need to self-isolate. “If you are required to ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Statement on passing of former PNG PM Sir Michael Somare
    Prime Minister Jacinda Ardern has expressed her condolences at the passing of long-serving former Prime Minister of Papua New Guinea, Grand Chief Sir Michael Somare. “Our thoughts are with Lady Veronica Somare and family, Prime Minister James Marape and the people of Papua New Guinea during this time of great ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Speech to the National Māori Housing Conference 2021
    E te tī, e te tā  Tēnei te mihi maioha ki a koutou  Ki te whenua e takoto nei  Ki te rangi e tū iho nei  Ki a tātou e tau nei  Tēnā tātou.  It’s great to be with you today, along with some of the ministerial housing team; Hon Peeni Henare, the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Drone project to aid protection of Māui dolphin
    The Government is backing a new project to use drone technology to transform our understanding and protection of the Māui dolphin, Aotearoa’s most endangered dolphin.    “The project is just one part of the Government’s plan to save the Māui dolphin. We are committed to protecting this treasure,” Oceans and Fisheries ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New water regulator board announced as major Government reform moves forward
    Major water reform has taken a step closer with the appointment of the inaugural board of the Taumata Arowai water services regulator, Hon Nanaia Mahuta says. Former Director General of Health and respected public health specialist Dame Karen Poutasi will chair the inaugural board of Crown agency Taumata Arowai. “Dame ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • North Auckland gets public transport upgrade
    The newly completed Hibiscus Coast Bus Station will help people make better transport choices to help ease congestion and benefit the environment, Transport Minister Michael Wood and Auckland Mayor Phil Goff said today. Michael Wood and Phil Goff officially opened the Hibiscus Coast Bus Station which sits just off the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Supporting work to protect Northland reserve
    New funding announced by Conservation Minister Kiri Allan today will provide work and help protect the unique values of Northland’s Te Ārai Nature Reserve for future generations. Te Ārai is culturally important to Te Aupōuri as the last resting place of the spirits before they depart to Te Rerenga Wairua. ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Critical step to new housing deal for Pacific communities
      Today the Government has taken a key step to support Pacific people to becoming Community Housing providers, says the Minister for Pacific Peoples, Aupito William Sio. “This will be great news for Pacific communities with the decision to provide Pacific Financial Capability Grant funding and a tender process to ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Consultation opens on proposed Bay of Islands marine mammal sanctuary
    Conservation Minister Kiri Allan is encouraging New Zealanders to have their say on a proposed marine mammal sanctuary to address the rapid decline of bottlenose dolphins in Te Pēwhairangi, the Bay of Islands. The proposal, developed jointly with Ngā Hapū o te Pēwhairangi, would protect all marine mammals of the ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Three District Court Judges appointed
    Attorney-General David Parker today announced the appointment of three new District Court Judges.    Two of the appointees will take up their roles on 1 April, replacing sitting Judges who have reached retirement age.     Kirsten Lummis, lawyer of Auckland has been appointed as a District Court Judge with jury jurisdiction to ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government announces list of life-shortening conditions guaranteeing early KiwiSaver access
    Government announces list of life-shortening conditions guaranteeing early KiwiSaver access The Government changed the KiwiSaver rules in 2019 so people with life-shortening congenital conditions can withdraw their savings early The four conditions guaranteed early access are – down syndrome, cerebral palsy, Huntington’s disease and fetal alcohol spectrum disorder An alternative ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Reserve Bank to take account of housing in decision making
    The Reserve Bank is now required to consider the impact on housing when making monetary and financial policy decisions, Grant Robertson announced today. Changes have been made to the Bank’s Monetary Policy Committee’s remit requiring it to take into account government policy relating to more sustainable house prices, while working ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Investment to reduce cochlear implant waitlist
    The Labour Government will invest $6 million for 70 additional adult cochlear implants this year to significantly reduce the historical waitlist, Health Minister Andrew Little says. “Cochlear implants are life changing for kiwis who suffer from severe hearing loss. As well as improving an individual’s hearing, they open doors to ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Māori wards Bill passes third reading
    The Local Electoral (Māori Wards and Māori Constituencies) Amendment Bill passed its third reading today and will become law, Minister of Local Government Hon Nanaia Mahuta says. “This is a significant step forward for Māori representation in local government. We know how important it is to have diversity around ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government delivers 1,000 more transitional housing places
    The Government has added 1,000 more transitional housing places as promised under the Aotearoa New Zealand Homelessness Action Plan (HAP), launched one year ago. Minister of Housing Megan Woods says the milestone supports the Government’s priority to ensure every New Zealander has warm, dry, secure housing. “Transitional housing provides people ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Second batch of Pfizer/BioNTech doses arrives safely – as the first vaccinations take place in the...
    A second batch of Pfizer/BioNTech vaccines arrived safely yesterday at Auckland International Airport, COVID-19 Response Minister Chris Hipkins says. “This shipment contained about 76,000 doses, and follows our first shipment of 60,000 doses that arrived last week. We expect further shipments of vaccine over the coming weeks,” Chris Hipkins said. ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • $18 million for creative spaces to make arts more accessible
    The Minister for Arts, Culture and Heritage Carmel Sepuloni has today announced $18 million to support creative spaces. Creative spaces are places in the community where people with mental health needs, disabled people, and those looking for social connection, are welcomed and supported to practice and participate in the arts ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Moriori Claims Settlement Bill passes first reading
    Treaty of Waitangi Negotiations Minister Andrew Little today welcomed Moriori to Parliament to witness the first reading of the Moriori Claims Settlement Bill. “This bill is the culmination of years of dedication and hard work from all the parties involved. “I am delighted to reach this significant milestone today,” Andrew ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Government action reduces child poverty
    22,400 fewer children experiencing material hardship 45,400 fewer children in low income households on after-housing costs measure After-housing costs target achieved a year ahead of schedule Government action has seen child poverty reduce against all nine official measures compared to the baseline year, Prime Minister and Minister for Child Poverty ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Entries open for the 2021 Prime Minister’s Education Excellence Awards
    It’s time to recognise the outstanding work early learning services, kōhanga reo, schools and kura do to support children and young people to succeed, Minister of Education Chris Hipkins says. The 2021 Prime Minister’s Education Excellence Awards are now open through until April 16. “The past year has reminded us ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Jobs for Nature benefits three projects
    Three new Jobs for Nature projects will help nature thrive in the Bay of Plenty and keep local people in work says Conservation Minister Kiri Allan. “Up to 30 people will be employed in the projects, which are aimed at boosting local conservation efforts, enhancing some of the region’s most ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Improvements to the Holidays Act on the way
    The Government has accepted all of the Holidays Act Taskforce’s recommended changes, which will provide certainty to employers and help employees receive their leave entitlements, Workplace Relations and Safety Minister Michael Wood announced today. Michael Wood said the Government established the Holidays Act Taskforce to help address challenges with the ...
    BeehiveBy beehive.govt.nz
    2 weeks ago