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Losing money

Written By: - Date published: 7:32 am, December 2nd, 2014 - 26 comments
Categories: Economy, exports, farming, trade - Tags: , ,

I am always intrigued by the kind of upbeat bullshit that we get out of our cowed public services these days. For instance the press release on the provisional Overseas Trade Index for the September 2014 quarter

The merchandise (goods) terms of trade fell 4.4 percent in the September 2014 quarter, due to export prices falling more than import prices, Statistics New Zealand said today.

The price of exported goods fell 4.5 percent, led by dairy and forestry products. Excluding dairy, the fall in export prices was about 0.9 percent. High meat prices partly offset the fall in dairy prices.

Huh? Talk about a false equivalence. Looking at the June 2014 Goods and Services spreadsheet, milk powder butter and cheese accounted for 23.3% of our exports by FOB value. Meat and edible offal was 8.3%. Logs and wood 5.9%. So a relatively small rise in beef prices is worth mentioning against a pretty massive fall in dairy prices which account for about a quarter of our exports?

But I guess that allows room for the government to get those nice headlines. Like James Weir in the Herald. “Beef boom partly offsets dairy dive“. Spinning under a National government we get good news first, bad news later. It starts like this…

Diving dairy prices have pulled New Zealand’s terms of trade off a 40-year high, statistics released today show.

But export beef prices hitting their highest levels in 12 years helped limit the impact.

Again, a peanut contribution from rising beef prices is somehow equivalent to a frigging disaster of a fall in dairy – exactly what National’s spin doctors ordered.

What is failed to be mentioned is that we are now heading for a record low in terms of trade. Looking over the last decade we see that we have had a very good first part of the year and a bad second half. THis year it will be an excellent first half and a catastrophic second half. Exactly as I anticipated last year. Next year it will just be catastrophic all year.

Essentially the dairy boom that National has been riding has dissipated in increased production world wide and a glut of inventory both offshore and here.

Terms of Trade 2004-2014

As for the “40 year high”… does anyone think that the Herald will be trumpeting the 40 year low. Look at the trade balance over the last 40 years and at the end of that graph. That really doesn’t look good for next year does it?

Terms of Trade 1974-2014

And it gets worse when you start looking through the details. For instance the Overseas Merchandise Trade for October.  That shows that while our income has now flattened (and is likely to fall), our demand for imports has kept increasing.

Merchandise trade values for October months

Fortunately there is always Brian Fallow in the Herald with his understated “Terms of trade picked to fall further“. He seldom repeats press releases so he starts with the picture of reality..

Falling dairy prices have begun to undermine one of the foundations of the economic upswing, rising national income from the most favourable terms of trade for more than 40 years.

The terms of trade fell 4.4 per cent in the September quarter as a 4.5 per cent drop in export prices swamped the benefit from a 0.1 per cent fall in import prices.

It was the first decline in the terms of trade – a measure of the quantity of imports which can be funded by a fixed quantity of exports – since December 2012. It took the terms of trade back to its level a year ago, though that was a 40-year high then.

Economists see the latest decline as just the beginning, however.

Four-fifths of the September quarter’s fall in export prices is explained by an 11 per cent drop in dairy prices.

But less than a third of the slump recorded by Fonterra’s global dairy auctions since February has flowed through to the terms of trade data so far. The terms of trade data use the contract prices agreed before goods are shipped in or out of the country.

Then he gets on to the few minor bits of bright news. But at the end points out the short term view to next year.

Bank of New Zealand economist Craig Ebert said most forecasters including the Reserve Bank had long forecast a decline of around 10 per cent in the terms of trade by 2015.

“This still looks to be in the ballpark, even with the surprisingly big hit from dairy prices we’ve since come to know about.”

Surprising? That has been bloody obvious for years as being highly likely to happen. Given a really big market, good prices and a competitive international market – what did they think would happen? It invariably goes from good times to glut very very fast. As soon as it does, people start dumping their inventory for whatever they can get. Prices plummet like a rock.

If you want to get really depressed about the economy then look at Jamie Gray writing on the Fonterra dairy payout “Payout below $5 a kg picked

Tomorrow will see the last GlobalDairyTrade auction before Fonterra releases its revised farmgate milk price forecast for 2014/15, and indications are that product prices will remain flat at best, say economists.

Fonterra’s board is set to meet early next week and bank economists expect the co-operative dairy giant to revise its current $5.30 per kg of milksolids forecast for 2014/15 to sub $5 levels.

Prices have fallen by close to 50 per cent since February, driven mostly by excess supply.

The payout peaked at $8.50/kg last season. Now we are looking at something like $4.85/kg for the coming season. Ouch.

This is why the National party policy of favouring rentiers, extractive industries and commodity sales in NZ is and will be a long-term economic failure for the bulk of the population (ie people who don’t contribute anonymously to National’s donations).

We need productive export jobs using our most sustainable resource – our people.

26 comments on “Losing money”

  1. hoom 1

    Rockstar Economy

  2. Macro 2

    Excellent analysis LPrent. Way better than what any can read in NBR or the daily rags. What anyone with any sense has been saying for the past 6 years or more is about to come to pass. The consequences are not going to be good for anyone. Hopefully the people will finally awaken to the fact that they have been lied to consistently by those who govern them. But just what the outcome will be in the long term is anyones guess. I live in hope for a just government. But who knows.

    • lprent 2.1

      I was a bit constrained by blog post length. I think that I have another couple of posts on related topics.

      But as you say, pretty damn obvious where an repeated over expansion into a commodity based extractive economy would lead to – yet again.

      • Colonial Rawshark 2.1.1

        And as massive dairy returns fail, the underlying massive dairy debt persists…

  3. Poission 3

    The terms of trade data use the contract prices agreed before goods are shipped in or out of the country.

    The hedged price also constrains imports,in the q3 data oil and petroleum prices increased by 2.7 %.

  4. tricledrown 4

    Lprent Beef prices are steady have gone off peak prices already!

    • lprent 4.1

      I didn’t even bother looking at them as they always yoyo, and in the terms of the effect on the overall economy the change in price is a pittance.

  5. adam 5

    There was a time when the last place for outright spin was missing or at least obvious in the press – the business pages. It was the place we’re those running the country knew they’d better not tell porkies, or the whole system might be put in trouble.

    Come 2014, and even that part of the press is now in spin mode. I know many people in the middle of NZ politics think the left whinge – a lot, and are prone to hyperbole. But, sorry folks, in the sphere of economics it’s simple – you’re being lied to. It is worse than you think, and having a positive attitude, just won’t cut it.

    If an economic conservative like lprent, is pointing out this fiscal decline in stark terms, I’d be worried middle NZ – maybe some of the so called hyperbole wasn’t so rampantly off the mark in the first place.

    • linda 7.1

      we are in the housing bubble ,society is loaded with debt and it will be game over sooner or later there is going to be a lot of tears I fear. since 2008 I paid down all my debt and got rid of the credit cards .2008 was a wake up call but and sadly this John key government has not learned its lesson national has mortgaged the future by favouring speculation over production it will all come to a sad end and right fast.

  6. Saarbo 9

    The media seem to get most of their information from the banks who are feeding them their version of things (Westpac and ASB bullish while Rabo/ANZ more pessimistic). This time of the year is when 80% to 90% of the dairy farms are sold and consequently banks are competing very hard for farmers debt, to the point that we have seen huge price increases in the sale prices of dairy farms in the Waikato http://www.stuff.co.nz/business/farming/dairy/63472936/waikato-farm-sales-at-record-highs .

    The main problem is that Dairy farmers are driven by what they think that they can afford when purchasing a farm, not by the economics of the investment. The banks are encouraging the high prices but ultimately it is the farmers that are paying these absurd prices.

    The big question for New Zealand is whether the current downturn is cyclical or structural. Most banks are claiming that it is cyclical despite new milk powder capacity destined for the Chinese market being built by Dairy farmers of America in Nevada and Kansas, Glanbia Ingredient’s in Ireland, Arla Foods in Denmark, Sodiaal in France and Freisland Campina in Holland. Many of these Dairy Manufacturers have joined forces with Chinese dairy companies because they don’t want to be too reliant on New Zealand supply.

    But I think the biggest threat to NZ’s place at the bottom of the cost curve is the new Mega dairies in the US. http://www.stuff.co.nz/business/farming/dairy/63591509/us-mega-dairies-a-threat . This is what could turn the current downturn from cyclical to structural (and if that’s the case then this could be economically devastating). In Mondays “The NZ farmers Weekly” on pg 15 (Pay walled online) is an article quoting ANZ’s Ross Verry

    …total NZ dairy farm costs including a capital charge were about $6.70-$7.50 /Kg ms against the Mega Dairies $7.40 – $8.20…

    So when a capital charge is included, the US Mega Dairies are very close to New Zealand because although the US operational costs are higher, when we add in Capital costs (our over inflated cost of our dairy farms combined with our over leveraged farms ) NZ has no cost advantage over the US farms. This is potentially a major problem that must require a political solution. Currently the only farmers who are purchasing these over inflated farms are large multi farm owners. These farmers actually have a vested interest in overpaying for farms as it actually increases their equity on the 10 other farms that they own and the Banks equity is protected in a similar way. Buts its actually nothing more than a Ponzi scheme that will unravel if this payout stays under $6.00 for more than 2 years. Ross Verry reckons that the average breakeven on a NZ dairy farm is $6.80 (when you include capital costs)…which surprised me but if this payout stays subdued we could see what we saw in 2008/09 but much worse.

    • lprent 9.1

      Most banks are claiming that it is cyclical despite new milk powder capacity…

      That was what struck me as well. I know of major expansions of milk production and milk powder capacity in quite a few countries including China, the US, Denmark and others because of the high prices (the current ‘low’ prices are historically high as well).

      But the banks have been consistently running that “its almost bottomed out” line since prices started dropping early in the year. You have to ask how deeply their fingers are into those farms, and are they trying to retain their asset values up to get their money out.

      • Saarbo 9.1.1

        Exactly right. Most rural bankers own dairy farms, I know a dozen rural bankers and every single one of them owns a dairy farm or an interest in one. These people have serious conformation bias issues, they also have short memories…people forget quickly how serious 2008/2009 was. In 2008/09 payout was $5.20…and this caused immense pain, imagine what a sub $5 payout will do.

    • Colonial Rawshark 9.2

      Buts its actually nothing more than a Ponzi scheme that will unravel if this payout stays under $6.00 for more than 2 years. Ross Verry reckons that the average breakeven on a NZ dairy farm is $6.80 (when you include capital costs)…which surprised me but if this payout stays subdued we could see what we saw in 2008/09 but much worse.

      The majority of dairy debt is owned by the most indebted bottom 20% of farms. There will be definite winners and losers in our local industry if the market stays this low.

      • Saarbo 9.2.1

        Yep, I think it was the Reserve Bank Governer who said something like 10% of farmers have 50% of the dairy debt.

    • Jimmy 9.3

      Hi, I know this is an older post, but Im interested in your point about the new mega dairies in the US being a threat to NZ dairy.
      Specifically if you think the mega dairies who must bring in grains as feed for cows, can compete with a grass/pasture only based NZ system (not talking about PKE and other NZ bought in supplements).
      Because at the end of the day the profit is made by having the cheapest feed available.
      I see the American corn harvest for them last season was spectacular and the cheaper corn available for american cows has increased their production.
      But if they suffer a drought next corn harvest, or just return to more normal feed prices, how do you think a NZ grass based system would fare?

  7. miravox 10

    Groser is spinning low monthly trade figures as ‘noise’ not ‘data’

    http://www.stuff.co.nz/business/industries/63767102/monthly-trade-figures-irrelevant

  8. nadis 11

    try $4.25 not $4.85

  9. nadis 12

    $4.85 is based on a 20% recovery of WMP plus a sub 75 cent USD

  10. nadis 13

    A few other bits I’d add. Some of the trade graphs are reflective of the currency – with a 10% drop in currency (so far) you’ll see a reduction in the import value and an increase in the export value which will whipsaw some of those graphs in a more favourable direction.

    The dairy industry’s real problem is that Fonterra is an engineering and logistics company and hasn’t got a clue on how to add serious innovative value to milk. Fonterra is very, very good at building a newer, more productive shiny building that can produce Whole Milk Powder 2% cheaper than the last factory they built, but when it comes to being a Nestle, an Danone or a biotech company they are worse than useless. Nothing wrong with betting large on milk – after all we are the most efficient in the world at producing it – but we have never been able to do what every other developed country does, shift the value from commodity to value add.

    Its also easy to overestimate the size of Dairy in our economy. I have seen it described as either 3% or 8% of GDP but never more than that.

    I’d also urge people not to crow about the coming pain for some dairy farmers – the ones that struggle will likely be young, with a young family, and living on an income in the good years of less than 60k. These are the ones that will disproportionately suffer from overwork, depression, mental illness, marital break-up and suicide. So a little less triumphalism from some would be civilised.

    Alongside Lprents good review, you should read Graham Wheelers speech from May here:
    http://www.rbnz.govt.nz/research_and_publications/speeches/2014/5721595.html

    • Saarbo 13.1

      Agree. Regarding the impact of the lower price on farming, in our farming area farm workers have already been made redundant so this will be definately hitting the workers hard in the short term, but Labour still needs to push hard to ensure that the Labour Dept. are checking that farmers are sticking to the rules.

      To be fair, Fonterra’s “Turn the Wheel” strategy of slowly adding more higher value products makes sense, its easy to talk about building “brands” but incredibly hard and expensive to actually do it.

  11. millsy 14

    It will only get worse — wait till the Chinese, Russians and Mongolians start producing dairy products way cheaper than we can, railing it all into Europe.

    Why do you think the Chinese are pouring big money into our agricultural industry?

    Climate change will no doubt open up the likes of Siberia to pastoral farming, by which time Chinese and Russian producers would be able to apply New Zealand farming techniques to an area which is several times larger than our country (with a lot less restrictive labour and environmental laws).

    In 20 years, we could be buttering our bread with Chinese made butter.

  12. Saarbo 15

    Wow, read this article. Certainly no “brand” value in NZ 100% Pure anymore in China. Particularly the LAST paragraph.

    http://www.reuters.com/article/2014/12/02/china-dairy-europe-idUSL3N0T90QG20141202

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    SciBlogsBy Robert McLachlan
    1 week ago
  • Cloaking hate speech and fake news in the right to free expression.
    It should be obvious by now but let’s be clear: The same folk who regularly traffic in disinformation, misinformation and “fake news” are also those who most strongly claim that their freedom of expression rights are being violated when moves are made to curb hate speech (as opposed to protected ...
    KiwipoliticoBy Pablo
    1 week ago
  • The Physics (and Economics, and Politics) of Wheelchairs on Planes
    Michael Schulson When Shane Burcaw flies on an airplane, he brings along a customized gel cushion, a car seat, and about 10 pieces of memory foam. The whole arsenal costs around $1,000, but for Burcaw it’s a necessity. The 27-year-old author and speaker — who, alongside his fiancée, Hannah ...
    SciBlogsBy Guest Author
    1 week ago
  • To Advance Civil Rights, Oppose Transgender Extremism
    We are very pleased to publish this submission is from Lucinda Stoan. She is a social justice activist, mother, and educator, based in Washington State in the  US.   This detailed and comprehensive source-linked overview of trans issues and what is at stake will be useful for many people, especially in ...
    RedlineBy Daphna
    1 week ago
  • Faafoi should be fired
    Newshub last night reported that Broadcasting Minister Kris Faafoi had apparently promised to help out a mate with an immigration issue. While its normal for people to approach MPs for assistance in this area, when you're a Minister, the rules are different: as the Cabinet Manual says, Ministers must "at ...
    No Right TurnBy Idiot/Savant
    1 week ago
  • Adrian Orr – The Reserve Bank’s Revolutionary Governor?
    New Zealand's Underarm Banker: It bears recalling that the “independence” of the Reserve Bank Governor was for decades held up by neoliberal capitalists as the most compelling justification for passing the Reserve Bank Act. Interesting, is it not, how the ruling class’s support for the Bank’s independence lasted no longer than ...
    1 week ago
  • Driving Us Up The Poll.
    Rubbish In, Rubbish Out: Put all this together, and it’s difficult to avoid the conclusion that anyone who responds positively to a pollster’s request to “answer a few questions” is just ever-so-slightly weird. Desperately lonely? Some sort of psephological train-spotter? Political party member primed to skew the poll for or against ...
    1 week ago
  • Jordan Williams, Colin Craig podcast series announced
    “Free at last, Free at last, Thank God almighty we are free at last.” ― Martin Luther King Jr. A long and bitter court feud between former Conservative Party leader Colin Craig and Jordan Williams has been settled, with an apology and compensation from Williams. On Tuesday, Craig sent out ...
    The PaepaeBy Peter Aranyi
    1 week ago
  • How plant-based meat is stretching New Zealand’s cultural and legal boundaries
    Samuel Becher, Victoria University of Wellington and Jessica C Lai, Victoria University of Wellington Earlier this year, the New Zealand-based pizza chain Hell Pizza offered a limited-edition “Burger Pizza”. Its customers weren’t told that the “meat” was plant-based. Some customers complained to the Commerce Commission, which enforces consumer law in ...
    SciBlogsBy Guest Author
    1 week ago
  • Scientific integrity requires critical investigation – not blind acceptance
    Some people seem to want to close down any critical discussion of the current research into the relationship between water fluoride and child IQ. They appear to argue that claims made by researchers should not be open to critical review and that the claims be accepted without proper consideration ...
    1 week ago
  • Climate Change: The shameful reality
    The government has been congratulating itself over the passage of the Zero Carbon Act, which sets out long-term emissions targets. Meanwhile, Climate Action Tracker has the shameful reality: those targets are insufficient:While New Zealand is showing leadership by having passed the world’s second-ever Zero Carbon Act in November 2019, under ...
    No Right TurnBy Idiot/Savant
    1 week ago
  • More secrecy
    The government introduced a Racing Industry Bill today. As an urban who horse racing as pointless-to-cruel, and gambling as a tax on stupidity and/or hope, this isn't normally a bill which would interest me in the slightest, beyond grumpiness at more government money for a dying industry. But there is ...
    No Right TurnBy Idiot/Savant
    1 week ago
  • Unlikely online bully, Liam Hehir
    Check. Check. One, two, three, four. Is this thing ON? Hello readers, I logged in last night (yeah, it’s been a while) to mark THE END of the landmark legal case, Jordan Williams v Colin Craig, which (gulp) reached The Supreme Court, in which New Zealand’s most-defamed man was suing the politician he ...
    The PaepaeBy Peter Aranyi
    1 week ago
  • The Birth Of Israel: Wrong At The Right Time.
    Before The Birth: Israel’s most fervent supporters set their clocks ticking in Biblical times. They cite the kingdoms of David and Solomon as proof that, in the words of the Exodus movie’s theme-song: “This land is mine.” The majority of Israel’s backers, however, start their clocks in 1933 – the year Adolf ...
    1 week ago
  • Hard News: Public Address Word of the Year 2019: Korero phase
    In an unreliable, strange and confusing world, Public Address is proud to present a measure of comfort and stability by annually asking everyone what words or phrases sum up the year that's been – and then giving some of them consumer goods as prizes for being clever or simply lucky.Well, ...
    2 weeks ago
  • Generalist to specialist
    Both my parents are pretty handy – and they seem to have the right tools for most jobs in the garage and they know how to fix practically anything. A similar story could be told about their generation’s experience in the workforce – being a generalist was not unusual and ...
    SciBlogsBy Guest Author
    2 weeks ago
  • A “coincidence”
    When it was revealed that NZ First had tried to enrich itself from public office via the Provoncial Growth Fund, the Prime Minister assured us that everything was OK as Shane Jones, the Minister responsible for the fund, had recused himself. Except it seems that that recusal came very late ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Member’s Day
    Today is a Member's Day, and probably the last one of the year. After the marathon of the End of Life Choice Act, most of the bills up for debate today are uncontentious. First up is the second reading of Chlöe Swarbrick's Election Access Fund Bill. This will be followed ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Worse than I thought
    The Foreign Affairs, Defence and Trade Committee has reported back on the government's odious and tyrannical control orders bill. As expected, the fraudulent select committee process has made no significant changes (partly because they couldn't agree, but mostly because it was a stitch-up from the start, with no intention of ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • The cannabis bill and the referendum
    Yesterday, the government released its draft Cannabis Legalisation and Control Bill, which will be put to a non-binding referendum at the next election. I'm not a drug policy expert, but Russell Brown is, and he thinks its pretty good. And pretty obviously, it will be a massive improvement on the ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Hard News: The Cannabis Legalisation and Control Bill: pretty good so far
    As you're probably aware, the draft bill outlining the proposed legal cannabis regime to be put to a referendum late next year was published yesterday, and has already attracted a flurry of comment. It's notable that a good deal of the comment is about proposals that aren't actually new.A minimum ...
    2 weeks ago
  • Climate Change: Alignment
    One of the big problems in New Zealand climate change policy is the government working at cross-purposes with itself. It wants to reduce fossil fuel use, but encourages oil and gas exploration. It wants to reduce transport emissions, but then builds enormous new roads. The problem could be avoided if ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • How climate change will affect food production and security
    Climate Explained is a collaboration between The Conversation, Stuff and the New Zealand Science Media Centre to answer your questions about climate change. If you have a question you’d like an expert to answer, please send it to climate.change@stuff.co.nz According to the United Nations, food shortages are a threat ...
    SciBlogsBy Guest Author
    2 weeks ago
  • More bad faith
    Last year, the government announced it was ending offshore oil exploration by no longer issuing new permits. The idea was that the industry would then die off as permits expired. Except almost immediately the government revealed its bad faith, by saying they would extend permits and alter conditions to keep ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Banning foreign money from our elections
    The government has said it will ban foreign donations to political parties and candidates, and will be introducing legislation to be passed under all-stages urgency this afternoon. While I agree with the goal, I don't see a particular case for urgency, unless the government is concerned about a flood of ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Reforming the Education Acts
    The government introduced the Education and Training Bill to Parliament yesterday. Its a massive bill, which replaces both existing Education Acts, as well as various other bits of legislation (including some which are still proceeding through the House). I'll leave the serious analysis to teachers and people who actually know ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Bite-sized learning
    Amelia SharmanThere’s no one-size-fits-all when it comes to micro-credentials, those bits of bite-sized learning that can help workers stay on top of technological change.  What’s a micro-credential? While definitions vary, micro-credentials can be understood as short courses that allow people to learn new skills or have an existing competency recognised. ...
    SciBlogsBy Guest Author
    2 weeks ago
  • “Not The Labour Party We Once Knew.”
    All Smiles Now: Claire Szabo is taking up her presidential role after serving as the CEO of Habitat For Humanity. Which is absolutely perfect! After KiwiBuild was so comprehensively mismanaged by Phil Twyford, the party has not only elected a new president from a thoroughly respectable not-for-profit, but one who ...
    2 weeks ago
  • Marxist versus liberal methodology on transgender ideology/identity politics
    While much of the NZ left has transitioned to postmodern and identity politics in relation to transgender ideology, there are some very good articles about that deploy Marxist methodology in relation to this subject.  The one below is from the British marxist group Counterfire and appeared on their site here ...
    RedlineBy Admin
    2 weeks ago
  • Book review: The Farm by Joanne Ramos
    by Daphna Whitmore At Golden Oaks, a luxurious country retreat in the Hudson Valley, pregnant women have the best care money can buy. From the organic food, personalised exercise programmes, private yoga instruction and daily massages Golden Oaks looks like a country lodge for the upper class. Set some time ...
    RedlineBy Daphna
    2 weeks ago
  • Loosening the purse strings
    When Labour was running for election in 2017, it felt it needed to demonstrate "fiscal responsibility" and signed itself up to masochistic "budget responsibility rules". It was a fool's errand: the sorts of voters who demand fiscal responsibility are also the sorts of voters who believe that labour can never ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • Climate Change: How to get there
    Writing in Stuff, Joel MacManus looks at what we need to do to meet the Zero Carbon Act's targets. The core of it:1. Convert 85 per cent of vehicles on the road to electric. 2. Eliminate fossil fuels from all industrial heating up to 300 degrees Celsius. 3. Double our ...
    No Right TurnBy Idiot/Savant
    2 weeks ago
  • anti-vaxxers in a measles epidemic: so many ways to be untruthful
    “Anti-vaxers are a pro-death movement,” those comments from Dr Helen Petousis-Harris speaking about six more Measles related deaths in Samoa over the past twenty-four hours. “Anti-vaxers are a pro-death movement,” those comments from Dr Helen Petousis-Harris speaking about six more Measles related deaths in Samoa ...
    SciBlogsBy Alison Campbell
    2 weeks ago

  • Record export highs picked for primary sector
    Sustained high growth in primary industry exports looks set to continue over the next two years with strong prices predicted for farmers, fishers, growers and rural communities. Minister of Agriculture and Minister of State for Trade and Export Growth Damien O’Connor today released the latest Situation and Outlook report for ...
    BeehiveBy beehive.govt.nz
    11 hours ago
  • New partnership to boost screen sector job opportunities
    Auckland’s growing screen sector is the catalyst for a new partnership between the Ministry of Social Development and Auckland’s economic development agency Auckland Tourism, Events and Economic Development (ATEED). The launch today at FilmFX in Henderson, is to celebrate the partnership which looks to capitalise on the social and economic development opportunities ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • A minute’s silence for Whakaari White Island victims
    A minute’s silence will be observed at 2.11pm on Monday 16 December in honour of the victims of the Whakaari White Island eruption, Prime Minister Jacinda Ardern has confirmed. “Wherever you are in New Zealand, or around the world, this is a moment we can stand alongside those who have ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • NZ to help fund fight against measles in the Pacific region
    Foreign Minister Winston Peters has announced New Zealand will contribute NZ$1 million of funding towards the joint United Nations Fund for Children (UNICEF) and World Health Organisation (WHO) Pacific Regional Action Plan for Measles.   “Prevention through vaccination is the most effective way of avoiding illness and a costly health emergency. ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • New Zealand remembers Sir Peter Snell
    New Zealand is today remembering one of our true sporting heroes, triple Olympic gold medal winner Sir Peter Snell. “He was a legend, here and around the world,” Prime Minister Jacinda Ardern said. “Our thoughts are with Sir Peter’s wife Miki and their family.” “Sir Peter is recognised as New ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • PM congratulates Boris Johnson on election victory
    Prime Minister Jacinda Ardern has congratulated United Kingdom Prime Minister Boris Johnson on his election victory.  “New Zealand and the United Kingdom are close friends and despite our distance we are strongly connected by our history and people,” Jacinda Ardern said.  “I look forward to continuing to work with Prime ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Building a platform for the future of rail
    The Government has released its long term vision for a sustainable 21st Century rail network that gets our cities moving, connects our regions and gets more freight off the roads.   Deputy Prime Minister and State Owned Enterprises Minister Winston Peters said the Government is committed to rebuilding New Zealand’s ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Prime Minister statement Whakaari White Island recovery operation
    I want to start by acknowledging the families who have experienced such grief and such loss since the extraordinary tragedy on Monday. Today was all about reuniting them with their loved ones. We've just come from the airport where many of them were gathered and in amongst what you can ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • New Zealand medical specialists to provide further support to Samoa
    Foreign Minister Winston Peters today announced further support for Samoa’s longer term needs as it continues to respond to a devastating measles epidemic. “Samoa’s health system has experienced massive strain in the wake of the measles epidemic. The volume of patients needing care during this outbreak, and the number of ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Discounted electric-bikes offered to public sector workers
    Discounted electric bikes will be offered up to public sector staff across the country as part of the Government’s work to reduce transport emissions and support healthier transport options.  Associate Minister of Transport Julie Anne Genter officially launched the new initiative at Wellington Hospital today.  “The Government has negotiated bulk-purchase ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Australia and New Zealand confirm joint bid for FIFA Women’s World Cup
    The Australian and New Zealand Governments today launch an historic joint bid to bring the FIFA Women’s World Cup to the Southern Hemisphere for the first time. Australian Minister for Youth and Sport, Richard Colbeck and New Zealand Minister for Sport and Recreation Grant Robertson will announce the bold campaign, ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Blackwater gold mine gets PGF boost
    The Provincial Growth Fund (PGF) has approved a $15 million loan to help re-establish a gold mining operation at Blackwater Gold Mine, near Reefton, Rural Communities Minister and local MP Damien O’Connor announced at an event on the West Coast today. “This is great news for the Coast that could ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Papakāinga model inspires whānau well-being
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    BeehiveBy beehive.govt.nz
    2 days ago
  • Government provides more funding for major community wetland restoration project
    Restoration efforts for a significant wetland in the Hawke’s Bay are getting more support announced Associate Minister for the Environment Eugenie Sage. “Wetlands are vital to healthy landscapes and ecosystems. They function as nature’s ‘kidneys’, filtering and protecting water quality, acting as nature’s sponges after rain and are home to ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Housing First to help Nelson Tasman homeless
    Nelson has today seen the launch of Housing First Nelson Tasman. Today’s launch marks the expansion of the Government’s homelessness programme, Housing First, to the top of the South Island. “Housing First is a proven programme that puts people who are experiencing homelessness and multiple, high and complex needs into ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • New funding to support Environment Centres working for sustainable local solutions
    New Government funding announced today will help communities make a difference in tackling environmental issues Associate Minister for the Environment Eugenie Sage announced in Hawkes Bay today. The Ministry for the Environment’s Community Environment Fund is dedicating $243,101 to growing the capacity and capability of the Environment Hubs Aotearoa’s (EHA) ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government takes bite out of loan sharks
    The days of vulnerable consumers falling victim to loan sharks, truck shops and other predatory lenders are numbered, following the Credit Contracts Legislation Amendment Bill passing its third reading tonight. “Too many Kiwis are being given loans that are unaffordable and unsuitable, trapping them in debt and leaving their families ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • New Zealand safer as Terrorism Suppression (Control Orders Bill) becomes law
    A Bill that prevents terrorism and supports the de-radicalisation of New Zealanders returning from overseas has passed its third reading, Justice Minister Andrew Little says. The Terrorism Suppression (Control Orders) Bill is a carefully targeted response to manage the risk posed by a small number of New Zealanders who have ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Foreign Minister and Pacific Peoples Minister to visit Samoa
    Foreign Affairs Minister Winston Peters and Minister for Pacific Peoples Aupito William Sio will travel to Samoa on Friday, where New Zealand medical teams are helping Samoa respond to an outbreak of measles. “New Zealand has been working closely with the Government of Samoa and offering our assistance from the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • New Pastoral Care Code will support tertiary students in 2020
    The Government has changed the law to improve student safety and welfare in university halls of residence and other student accommodation. The Education (Pastoral Care) Amendment Bill passed its third reading this afternoon and details of an interim Code of Practice setting out the Government’s expectations of tertiary providers have also been released. ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • New infrastructure funding tool to build housing developments faster
    A new tool to help councils fund and finance infrastructure could mean some housing developments happen a decade earlier than currently planned, Urban Development Minister Phil Twyford said today. “This new tool, developed by the Government in partnership with industry and high-growth councils, will allow councils to access private debt ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Vision to unite the primary sector launched today
    Agriculture Minister Damien O’Connor has welcomed the release of a bold new vision for the country’s vital food and fibre sector. “I’m delighted that New Zealand’s major farmer and grower organisations are today supporting the Primary Sector Council’s vision – Fit for a Better World,” he said. “The international consumers ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • NZ congratulates PNG and Autonomous Bougainville Government on referendum
    Foreign Minister Winston Peters has congratulated the Government of Papua New Guinea and the Autonomous Bougainville Government for completing a well-conducted referendum on the future political status of Bougainville. “New Zealand supported the referendum process by providing technical advice through the New Zealand Electoral Commission and leading a Regional Police ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Next steps for Upper North Island logistics
    In light of Cabinet’s position that freight operations on prime land in downtown Auckland are no longer viable, the Government will now embark on a short work programme to enable decision-making in the first half of next year, Associate Transport Minister Shane Jones says. Minister Jones is today releasing the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Surgical mesh restorative justice report received
    Associate Health Minister Julie Anne Genter has received the report back from a surgical mesh restorative justice process undertaken by Victoria University. The process heard stories, either in person or online submission, from more than 600 people affected by surgical mesh. “The report made for heart-breaking and confronting reading,” says ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • The Water Services Regulator Bill – Taumata Arowai a milestone for drinking water safety
    The Water Services Regulator Bill – Taumata Arowai , introduced to Parliament today, is a milestone for drinking water safety in New Zealand and will help improve environmental outcomes for urban waterways, rivers and lakes.  “This is a breakthrough for New Zealanders in terms of providing safe drinking water throughout ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Speech to new direction for criminal justice reform announcement
    Kia ora koutouE ngā mana, e ngā reo, e ngā matā wakaTēnā koutou katoaHaere ngā, moe maiKoutou ma ngā Rangatira Ko Anaru ahauKo au te Minita mo ngā TureHe Honore tino nui kei roto I ahau No reira tena koutou katoa Today, we are releasing two reports that are the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • New direction for criminal justice reform
    The Government is looking to turn around the long-term challenges of criminal justice by taking a new approach to break the cycle of offending to ensure there are fewer victims of crime. Justice Minister Andrew Little released two reports today, Turuki! Turuki! from Te Uepū Hāpai I te Ora, and ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • New law sets up $300m Venture Capital Fund
    New Zealand firms expanding beyond the start-up phase are set for more support after today’s passage of the Venture Capital Fund Bill, Associate Finance Minister David Parker said. The Bill, which establishes a $300 million Venture Capital Fund, puts in place a key initiative of the Wellbeing Budget’s economic package. ...
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    4 days ago
  • New Zealand’s National Statement to COP25
    E ngā mana, e ngā reo, e ngā iwi, e ngā rau rangatira mā. Tēnā koutou, tēnā koutou, tēnā koutou katoa. Señora Presidenta, Excellencies, Delegates. International action A common thread that runs through the Paris Agreement is the commitment we have made to each other to do what we can to ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • $12 billion in extra infrastructure investment
    The Government is lifting capital investment to the highest level in more than 20 years as it takes the next step to future-proof New Zealand. Finance Minister Grant Robertson has announced $12 billion of new investment, with $8 billion for specific capital projects and $4 billion to be added to ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Strong economy, careful spending gives $12bn of surpluses
    The Government is forecast to run $12 billion worth of surpluses across the four years to 2023/24 as the economy continues to grow. The surpluses will help fund day-to-day capital requirements each year. These include fixing leaky hospitals, building new classrooms to cover population growth and take pressure off class ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Priorities for 2020 Wellbeing Budget outlined
    Budget 2020 will continue the Coalition Government’s focus on tackling the long-term challenges facing New Zealand while also investing to future-proof the economy. When the Government took office in 2017 it was left with crumbling infrastructure, severe underinvestment in public services, degraded rivers and lakes, a housing crisis and rising ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Minister welcomes data-rich coastline mapping tool
    The Minister responsible for the Marine and Coastal Area (Takutai Moana) Act 2011 (te Takutai Moana Act 2011), Andrew Little has welcomed the launch of an online geospatial tool that provides data-rich, dynamic coastline maps that will significantly boost research and evidence-gathering under the Act. Te Kete Kōrero a Te ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Chief Victims Advisor reappointed for a further two years
    The Chief Victims Advisor to Government Dr Kim McGregor, QSO, has been reappointed in her role for a further two years. Dr McGregor has held the role since it was established in November 2015. She provides independent advice to government on how to improve the criminal justice system for victims. ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • New Zealand tsunami monitoring and detection system to be established
    Foreign Affairs Minister Winston Peters and Civil Defence Minister Peeni Henare have today announced the deployment of a network of DART (Deep-ocean Assessment and Reporting of Tsunami) buoys. “New Zealand and the Pacific region are particularly vulnerable to natural disasters. It is vital we have adequate warning systems in place,” ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • DART Buoys Announcement
    DART Buoys Announcement Aotea Wharf, 9.30am 11 December 2019   Acknowledgements Acknowledgements to Minister for Civil Defence Hon Peeni Henare also here today. White Island It is with regret that this event shadows the tragic natural disaster two days ago. The volcanic eruptions on White Island have claimed 5 lives, ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Final steps for racing industry reform
    Racing Minister Winston Peters has welcomed the first reading of the Racing Industry Bill in parliament today. This is the second of two Bills that have been introduced this year to revitalise New Zealand’s racing industry. “Our domestic racing industry has been in serious decline.  The Government is committed to ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Funding to promote New Zealand Sign Language initiatives
    Minister for Disability Issues, Carmel Sepuloni, is pleased to announce that $291,321 is to be awarded to national and local community initiatives to maintain and promote the use of New Zealand Sign Language (NZSL). “New Zealand is one of the few countries  in the world where Sign Language is an ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • How New Zealand defines and recognises veterans
    Minister for Veterans Ron Mark has announced today the Coalition Government’s initial response to work completed by the independent statutory body, the Veterans’ Advisory Board. “When Professor Ron Paterson completed his review of the Veterans’ Support Act in 2018, he made a number of recommendations, including one which I referred ...
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    5 days ago