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ISSN 1176-0753
DEER INDUSTRY NEWS
Issue 66 • June/July 2014 • Official magazine of Deer Industry New Zealand and the NZDFA
Grass roots – green shoots conference report: p4
Alsointhisissue:
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Mount Hutt Station field day
Hitting targets at Downlands
Profile: Sally Stevens
Safeguarding biosecurity
Deer research to remain at Invermay
Rokland: A multi-generation business
Issue No 63 • April/May 2014
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deer industry conference
Grass roots and green shoots in Methven
❚ by Phil Stewart, Deer Industry News Editor
If the level of support from industry partners for the 39th deer industry conference is any indication, then the
future is looking positive indeed.
There was excellent support from our Platinum Sponsors
(see box) and more than 20 trade exhibitors packed into
the available space at the Mount Hutt Memorial Hall and
Heritage Centre in Methven.
Once again the conference was ably organised by
Destination Conference Management Services in
collaboration with Tony Pearse and Amy Wills of DINZ and
support from local hosts, the Canterbury Branch of NZDFA.
The development of the next generation of deer industry
leaders continued with a dedicated workshop and full
conference session. If there was any need to prove that
the next generation was taking ownership of the industry’s
future, then this was it. And with thirteen-year-old Mark
Gardyne confidently talking attendees through the
application of new technologies to farm management came
a reminder that the next generation get going pretty young
these days.
Session sponsors
There was also good discussion about new models for
succession planning and farm business ownership that had
all generations sitting up and listening (see editorial for
more on this).
The sense of renewal and optimism also flowed through the
value chain to end consumers, with plenty of good news
about new products, new consumers and new markets.
Professor David Hughes gave a unique and entertaining
perspective on markets new and old, shattering a few myths
along the way.
As always, delegates were well served with up-to-theminute briefings from the venison, velvet and co-products
sectors, including an interesting presentation from
Professor Fuhe Yang, Executive Chair of the Chinese Deer
Farmers’ Association on the place of deer products in
Chinese culture.
Advance parties, research projects, a presentation from New
Zealand’s biggest deer farmer, Landcorp, the Swanndri®
story and much more rounded out another high-quality
conference.
In a first for the conference, a collaboration with Rural
TV ensured that conference proceedings and interviews
were live streamed on the internet with plenty of exposure
through social media and YouTube.
Firstlight Foods, OSPRI, Peel Forest Estate, Gallagher
Group, FMG, Alliance Group, Mountain River Venison, Zee
Tags, Rabobank, Lincoln University Telford Farm Training
Institute, Silver Fern Farms, Stanfield European Deer Stud,
Ballance Agrinutrients and Leader Products.
Silver lining to conference
Delegates had to wait until the end of the last day of the deer industry conference to hear the news
they’d been waiting for – the spring chilled venison schedule is getting a modest lift. It’s well short
of the ideal $10–$12 floated at the earlier Next Generation session, but the $7.55–$8.55 band
announced by Silver Fern Farms was welcomed by farmers.
National Deer Manager, Silver Fern Farms, Malcolm Gourlie, said farmers who entered a contract
this spring would be able to lock in a minimum price similar to last year’s fixed contract prices. This
season, however, there was the potential to earn up to 50c/kg above this, if market conditions and
the exchange rate allow.
Firstlight Foods also confirmed that its 2014 base price for year-round supply was more than 50c/
kg higher than 2013.
NZDFA Chair, Kris Orange said this was news that many farmers wanted to hear. “These are
benchmarks around which other exporters are likely to cluster.”
He said the consensus of farmers at the conference was that the farm gate venison price needed to
be $2/kg more than lamb to make venison farming competitive. At present the margin in favour of
venison is only a matter of cents per kilo, the lowest it has been in many years.
“While the contract prices on offer don’t promise what we want, they are a step in the right
direction and a signal of market confidence that farmers having been looking for.”
DINZ Chief Executive, Dan Coup, told farmers that there was a pretty consistent view among
marketers that traditional European markets were improving and that we have probably seen the
bottom of the price curve. The supply pipeline is now empty and no stocks are overhanging the
market.
“No-one is predicting where the market will peak this season. That depends on competitors and the
exchange rate, but contracts are now on the table that enable farmers to budget,” he said.
Platinum Sponsors
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Deer Industry News
editorial
Charting a pathway for the next generation
Who’s going to run your farm when you retire? Will it be a family member? A non-family member? Or will you just sell
up? If you sell up, do you need all your cash out at once? What will you do with it to get a return? Will it be safe?
All these questions are getting harder to answer. One thing
we do know is that farm succession has never been more
topical and this year’s conference again highlighted this.
Succession to me means bringing the next generation into
some level of farm ownership, giving them some skin in the
game. It’s about creating, not cutting the pie, and building a
legacy.
Succession is a global problem. For every seven farmers
in the United States over 75 there is only one under 25. In
Australia the average age of farmers is now 56. In Europe
only seven percent of farmers are under age 35, and we all
know the story in New Zealand!
Why is this the case? The Next Generation workshop last
spring identified plenty of young, keen guys and girls
itching for a chance to get into farming deer, so how come
we are so poor at bringing them through?
Certainly it is difficult to get on the farm ownership ladder,
but it always has been. Land prices are increasing, the
scale of farms is increasing, turnovers are going up and
operations are becoming more complex. The traditional
strategies of buying the neighbour’s place to achieve
succession is being squeezed by competing land uses.
Often the amount of borrowing required to pull this off
hamstrings the business’s future growth for a long time,
sucking any spare cash into debt repayment. Banks do well,
but is it really the right move for you?
Contents
Editorial:.............................................................................................................................. 3
Deer industry conference 2014:
Bullets, not cannonballs .............................................................................................. 4
Advance Parties ........................................................................................................... 6
Next Generation workshop .......................................................................................... 7
Three generations at conference ................................................................................. 8
David Hughes on future trends in food marketing ..................................................... 9
Deer a fixture on Landcorp landscape .......................................................................10
Welcome function and Matuschka Award ................................................................11
Science and innovation session .................................................................................12
Velvet sector overview ...............................................................................................13
Chinese deer industry seeks collaboration ................................................................15
The meat of the issue .................................................................................................16
Equity partnerships keeping Gardynes flying high ...................................................18
The swannie story ......................................................................................................19
“Grass roots and gumboots” Awards Dinner .............................................................20
NZDFA 39th Annual General Meeting .......................................................................23
Mount Hutt Station field day .....................................................................................25
On farm:
Autumn key to finishing targets at Downlands.........................................................27
Profile: Sally Stevens ..................................................................................................30
Deer farmers safeguard New Zealand’s biosecurity ..................................................32
Embryo transfers boost breeding programme ..........................................................34
Research:
Deer research to remain at Invermay.........................................................................33
Industry news:
A multi-generation business .....................................................................................33
Winter is coming, with velvet ....................................................................................35
Issue No 66 • June/July 2014
If we are going to get succession
back on track then we need to
start thinking outside the square.
Why not consider a partnership
approach, where the business
has a better chance to grow
from a sustainable base? Equity
partnerships are one method and
now fairly common, but there are
also many variations of leasing and
lease-to-buy type arrangements in
action, where sustainable growth
is being achieved. Yes it’s not as
straightforward as buying the
Richard Copland.
neighbour’s, and there is a degree
of risk involved, but the payback
can be substantial. You may not achieve the end goal in one
step, but it’s a foot in the door, and a chance to be part of a
vibrant business with scale that’s going places.
To me, these opportunities apply equally, whether you
are starting out and on the way up in deer farming, or
coming to the end of your career and looking for a staged
exit. Selling down your share in the farm while retaining a
steady income, plus the chance to share in further capital
growth, could be an attractive proposition, particularly
with fresh blood and enthusiasm in the driver’s seat. Don’t
underestimate the impact giving someone “skin in the
game” can have on profitability.
Let’s take the opportunity. Within the deer industry
we’re well connected and organised. We have a base of
passionate, innovative farmers. We’re profitable with
plenty of upside to come. Why can’t we lead the way on
farm succession for the dry stock industries? Why can’t
we think differently and create the win/wins using a more
collaborative approach?
There is an answer. At first it may not be apparent, but if we
keep talking and working at it, individual solutions can be
found. It just needs to be approached with an open mind.
We are here to help. Rabobank has farm succession
planning specialists who can facilitate these discussions
with your own family and professional networks, and we
also run an extensive farm ownership options programme,
matching the next generation with opportunities within
and outside our client base. For further information, drop
into your local branch, or feel free to contact Rabobank on
0800 22 44 35 or at www.rabobank.co.nz
Richard Copland, Rabobank
Deer Industry News is published by Deer Industry New Zealand six times a year in February, April,
June, August, October and December. It is circulated to all known deer farmers, processors, exporters
and others with an interest in the deer industry. The opinions expressed in Deer Industry News do
not necessarily reflect the views of Deer Industry New Zealand or the NZ Deer Farmers’ Association.
Circulation enquiries: Deer Industry New Zealand,
PO Box 10-702, Wellington, Ph 04 471 6114, Fax 04 472 5549, Email [email protected]
Editorial and advertising enquiries: Words & Pictures, PO Box 27-221, Wellington,
Ph 04 384 4688, Fax 04 384 4667, Email [email protected]
Cover: “Mirror image” by Angela Blair won both the 2014 Bayer New Zealand Photographic Award
and the People’s Choice Award.
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deer industry conference
Bullets, not cannonballs
❚❚ by Phil Stewart, Deer Industry News Editor
Deer Industry New Zealand Chair, Andy Macfarlane, is fond of colourful metaphors and he didn’t disappoint in the
opening address of the 2014 Deer Industry Conference. Following the Chair’s address, DINZ CEO, Dan Coup, fleshed
out the vision with further detail on how the industry can lift its game.
Drawing on the writing of management guru, Jim Collins,
Andy Macfarlane challenged guests to think about the
drivers of success and failure for the deer industry.
Achieving the strategic objective of profitably growing
and marketing the world’s best red meat involved the
overlap of three elements: a passion for what you’re doing,
understanding what drives the economic engine and
understanding what we can be best at (eg, reducing costs
per kg of meat produced).
Macfarlane said having
the right people was a
key to success – in DINZ
and DFA, on farms,
at processors and in
markets.
Andy Macfarlane: Some farmers
outside the early adopter group lack
the confidence to match their farming
skills.
Not one to varnish the
truth, he presented a
few “brutal facts” about
the current state of the
industry. No step in the
value chain escaped
unscathed. Problems
included:
• the loss of our premium over lamb
• over-reliance on the “game season” premium
• failure to differentiate farmed venison from wild game
at consumer level
• failure to commit to long-term supply arrangements at
farm level
• failure of processor/marketers to adequately
communicate their value chain vision to suppliers
• inadequate genetic gains for venison production
• sluggish improvement in on-farm productivity.
There would be no quick wins, but by bringing together the
key elements for success – especially discipline – patience
would be rewarded. As momentum for positive change
built up, so did the “flywheel effect” – success building on
success. The alternative, where disappointing results would
be followed by directionless reactions, led to a “doom loop”
or downward spiral.
Turning again to the advice of Jim Collins, Macfarlane
said change needed to be based on hard evidence and
analysis with decisions made from the head, not the heart.
He said that without a clear goal, the small incremental
improvements on farm or at processing would lead
nowhere. He also advised “productive paranoia”, whereby
the industry, like a canny old hind, keeps its nose to the
wind for threats. Paradoxically, risks were greatest when
things were going well, while opportunities were greater
and the risks least when times were tough.
Macfarlane characterised the path to success for the
industry as a “20-mile march”, initiated in Wanaka at the
2012 conference. The objectives set there for an on-farm
profitability boost of $2.37 and had been subsequently
enhanced by an additional in-market gain of $2.50/kg
venison, some of which would be realised by the marketer/
exporters.
Extending the military metaphor, he advised the industry
to “fire bullets, not cannonballs”. In other words, don’t
waste ammo on “big bang” solutions that may or may
not work. Bullets (new innovations) didn’t cost so much
so more could be fired, recalibrated or dismissed. Those
that hit their mark would transform to game-changing
“cannonballs”. Examples of bullets fired by the industry
so far included the Deer Progeny Test, DEERSelect, the
Cervena® extension project, the China access project and
development of RepairX.
He said that while deer farmers included many early
adopters, but many farmers outside the early adopter group
lack the confidence to match their farming skills.
“With the help of the Primary Growth Partnership, we hope
to turn those bullets into cannonballs.”
Macfarlane called for increased discipline from throughout
the industry if objectives were to be achieved. A lot of
people and groups were acting as individuals but the
Passion to Profit programme (P2P) would bring these
elements together in a more coordinated way.
DINZ CEO, Dan Coup, said the responsibility for executing
the P2P strategy does not just lie with farmers, but across
the entire value chain.
He encouraged “above the line” behaviour and qualities
such as taking ownership and accountability while sticking
to the plan. “Below the line” behaviours to be discouraged
included making excuses for one’s own performance,
procrastination and “wandering off route”.
The farming and processing industries had a great track
record for innovation and applying new technology such
as EID, progeny testing and use of Farmax, Macfarlane
said. This uptake should be motivated by the desire to turn
unrealised potential into profit, not just a fear of being left
behind.
4
Executing the plan
He said the five companies involved with the Cervena
extension programme were strongly committed to its
success and were looking to take the product to market
under a single brand. That said, it was not yet a done deal.
If it does proceed, the brand is likely to be launched into
a couple of smaller European markets and perhaps into
China. In the latter case this could be just a single city, but
these were often larger than a small European country in
terms of population so the gains could be significant even
at that level.
The brand would be backed by firm tangible quality
standards as well as intangibles such as ethical production
Deer Industry News
deer industry conference
systems with high
environmental and
welfare standards.
Coup said the
technology to
supply top-end
product to these
markets was with
us – the challenge
was to put that
technology into
the hands of
the majority of
farmers in a way
Dan Coup: P2P strategy should be owned
that was simple
right through the value chain.
and practical.
Presenting a
somewhat involved diagram to show the elements of P2P
(Figure 1), he pointed to a simple breakdown at the centre
of it: genetics, animal health and feeding, the three strands
that would help farmers grow profitability by delivering the
products that customers wanted, when they wanted them.
He said there had been various strategies used to apply
science and technology advances at farm level and success
had been good in places. These included Focus Farms,
websites and general media channels. More success would
be had through better targeted activities including Advance
Parties, “wholesaling” information through vets and
advisers, and tailored solutions for individual farms.
Figure 1: The P2P model. The pink arrows represent the greater uptake of
the three core strands of science – genetics, animal health and feeding
– through the use of Advance Parties and other technology transfer
strategies. The “Other” strand includes areas such as animal welfare and
environment.
Coup said the P2P application to the Primary Growth
Partnership proposal was past its first hurdle. While Primary
Growth Partnership funding would turbocharge the P2P
programme, work was going ahead in some limited areas,
using existing resources. He reminded delegates that DINZ
was also carrying out plenty of “business as usual” activity,
much of which was aimed at defending the industry’s
existing position and managing risk.
continued on page 6
Issue No 66 • June/July 2014
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deer industry conference
Advance Parties:
“Fanatical discipline and productive paranoia”
❚❚ by Joanna Grigg, Deer Industry News writer
There is plenty going on within the Advance Party groups. This DINZ initiative has almost clocked up its first year
and has 80 farmers involved. Together the farmers own 118,000 hectares, of which 24,000ha are deer fenced.
The idea is for farmer members to choose a topic or issue
that is important to their deer profitability and then work
together as a group to bring about improvements. The groups
have access to technical advice, administration support from
DINZ and, by the nature of their membership, the collective
brain power of other farmers. There are eight groups up and
running, with management over 154,000 stock units.
Speaking about the concept at the DINZ conference, Mandy
Bell, member of an Otago Advance Party, said that Advance
Parties are about the business turn-around phase for farmers.
“It is about fanatical discipline and productive paranoia.”
Grant Charteris, member of the Hawke’s Bay group, said that,
to be involved, farmers have to be prepared to gather data.
“Not screeds of data but figures on an area that interests you.
For this you don’t need to own the flashest set of three-way
scales.”
His Hawke’s Bay group topics have included managing the
feed pinch and producing velvet within a venison system.
He said the target is the low-hanging fruit – the easy first
changes.
Simon Wright (left) and Grant Charteris are part of the 80 member
Advance Party movement. These groups meet on-farm and tackle
profitability issues in their 154,000 stock units of deer. Already
improvements are being seen in setting and meeting targets and in
knowledge on weighing and condition scoring. Photo: Joanna Grigg
“Members have a time line to get things done and the whole
model is quite infectious as the information flows back.”
Advance Party update
Simon Wright, Chair of the Southland Advance Party group,
said farmers advising farmers is a powerful tool when done
with respect and co-operation. His group’s focus has been on
the tools that are available to lift profitability and how they
can be used. Already members have noted a big difference
in stocking rate of hinds at calving within the group and how
over-stocking can influence fawn weight, he said.
The Hawke’s Bay Advance Party group has eight
members and has met three times, including a field day.
Opportunities identified were developing a long-term
direction for an operation that has two distinct properties,
finding the right balance between velvet and venison, ways
to improve feed quantity and quality, culling dams of poor
fawns and sourcing top velvet genetics.
“Look at your system; some can produce the same total fawn
weight with fewer hinds.”
The Central Canterbury group has ten members including
a Landcorp farm, and has had four meetings. One of the
field days helped the farmer set targets for velvet weights
and post-weaning calf growth and the group suggested
ways to achieve them.
Paddy Boyd, Mackenzie Advance Party, said some of the
farmers in his group are typically not seen at conferences or
field days. Often the partner is heavily involved with the farm
decisions.
“I’m pleased to say they are willing participants though.”
A recent field day on hind body condition scoring showed
deficiencies in people’s skill in identifying light and heavy
animals. Initially only two members had scales; now they are
all looking at scales, he said.
Bullets, not cannonballs: continued from page 5
In the Q+A session that followed, Glenn Tyrrell (DINZ
Board) explained that there is still much to be gained from
getting chilled production on board to Europe by late
October/early November, as sales and prices dropped
considerably in the New Year. He added that shippers’
preference for a “slow steam” to Europe to save on fuel costs
was eating into the shelf life of chilled product at the end of
the trip.
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The South Canterbury group has 11 members and has had
four meetings. A recent field day helped the farmer identify
three ways to improve profitability. These were better
growth rates on pasture, having a gold standard animal
health plan and finding a good source of weaners to buy in.
The seven-member Mackenzie group met most recently at
Haldon Station. The day focused on condition scoring and
weighing and, as a result, several farmers were going out to
buy scales.
The Southland group has 11 members and had had two
farm visits to date. The Otago group has had the initial
meeting to get buy-in from farmers. Ten have signed up and
the first on-farm visit is coming up. The Otago large farms
Advance Party group has had one meeting to date. The
Central Regions group has 13 members are meetings are
underway.
Deer Industry News
deer industry conference
Workshop a great chance to learn
❚❚ by Joanna Grigg, Deer Industry News writer
Thirty-one of the younger attendees at the Deer Industry Conference had a chance to learn more about deer
farming and markets in a special workshop session.
Next Generation workshop
from zero to
350grams/head/
day.
The group was a mix of those working on deer farms and
sons and daughters of deer farmers. One participant had
been nominated by his father to attend while another
had been told about the event as a follow-up to the Next
Generation field day held in 2013 in Queenstown.
“The biggest
opportunity is
here.”
During the two-hour workshop the group was divided into
teams to answer quiz questions on feeding, velvet, breeder–
finisher relationships, animal health and reproduction.
“The aim is to reveal the knowledge gaps so DINZ can
deliver programmes to help,” said Nicky Hyslop, workshop
facilitator.
Dave Lawrence, veterinarian and deer farmer
(standing), told workshop participants that a
quarantine drench is vital to administer before
moving deer between farms.
Photo: Joanna Grigg
The 31 attendees at the Next Generation workshop, held at Methven in May.
Photo: Joanna Grigg
The result was an informative and relaxed learning session
that was a big hit with participants. Nikita Haitana, a
shepherd and trained vet nurse from Ohakune, said that
the technical side was all new to her and she really enjoyed
learning about it.
Maggie Bray, Warkworth, took time out from school to
attend and said the interaction between people was great.
Kris Orange, NZDFA Executive Committee Chair, said
the workshop ran at the same time as the AGM and was
designed for those not so interested in politics but who
were starting to make the day-to-day decisions on farm.
“We need to put focus on the sons and daughters of pioneer
deer farmers.”
An impressive “brains trust” team was on hand to guide
discussion and share valuable deer management tips. This
included scientist Geoff Asher, veterinarian Dave Lawrence,
deer farmers Paddy Boyd and Ross Stevens, velvet buyer
Tony Cochrane and Telford tutor Tony Chittock. Firstlight
Foods sponsored the session and company representatives
Gus Irving and Peter Keeling were on hand to talk about
market place relationships.
Geoff Asher explained how feeding during the first three
months of a calf’s life is key to reaching puberty. “If the herd
gets a better start it is easier to scan 98 percent pregnant.”
There was lively debate about the best time to wean. Asher
said research shows calf growth rate over autumn can vary
Ross Stevens said
weight at 1 June is
a good indicator
of winter
performance. He
challenged the
group to aim for
winter growth in
their deer.
“Up to 12kg of
liveweight gain in
calves is possible
over winter,” he
said.
The DeerFEED app was recommended by Nicky Hyslop as
an excellent tool for feed budgeting.
(www.deerfarming.co.nz and www.deerfeed.co.nz).
Ideas shared amongst the group included ways to reduce
stag liveweight loss during the rut by offering several water
sources or removing dominant stags that keep others away
from water. Other feeding tips included removing the tailend lighter calves about three weeks post-weaning and
running them separately. They are better able to grow if
away from the more dominant animals.
Information gaps were revealed around compliance, for
example that Animal Status Declaration forms must be kept
for a year.
The young group came up with novel ways to form
successful breeder–
finisher relationships,
including using a dating
service-style website.
Peter Keeling, Firstlight
Foods, said a good supply
agreement should cover
weaning dates and be
renewed every year.
“A good start is when
there is plenty of detail
in a formal agreement,
backed up by a visit to
each other’s farms.”
Gus Irving, Firstlight
Foods, said there are
cases where finishers
are prepared to invest in
Tony Cochrane, PGG Wrightson, shares
his knowledge on velvet.
Photo: Joanna Grigg
continued on page 8
Issue No 66 • June/July 2014
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deer industry conference
Next Generation: continued from page 7
genetics and feeding to get a good product from breeders.
For example, during the North Island drought, a finisher
paid for supplementary feed for two weeks on the breeder’s
property, so the stock arrived in good condition.
Veterinarian Dave Lawrence said the quarantine drench
during stock movement between properties is vital. Ideally
it is given at the breeder’s property.
“Also make sure you have an agreement over who owns the
dead one.”
The group were reminded that velvet is a food product.
Discussion, led by Tony Cochrane, PGG Wrightson, focused
on strategies to maximise price and harvest of velvet.
Next Generation panel questioned on
price influence
Whether venison prices are good enough to keep deer on
farms was debated by young farmers at the Deer Industry
Conference.
A panel of six deer farmers, selected from the Next
Generation workshop group, were questioned from the
floor about what the industry needed to do to keep deer
farming attractive to new investors. The conclusion was that
a better venison price was needed to stop the slow erosion
of deer numbers, with several in the panel already replacing
some hinds with dairy grazers to help with cash flow.
information.
The Deer Information Hub was deemed a great initiative
that had been widely used by younger deer farmers.
(See http://www.deernz.org/productivity-improvement).
There was a request for a list of deer farmers and experts
so that people could access their advice. It was suggested
that younger people be more involved with NZDFA and
initiatives like Advance Parties. Kiri Rupert, Geraldine deer
farmer, said a concern for her is sourcing good advice and
help on deer management and health. “Vets are getting on
in age so who am I going to call?”
Grant Charteris challenged the panel to give NZDFA a go
and get involved.
“The aging industry is used as an excuse; give NZDFA
your fresh ideas so we can foster innovation and social
networking.”
The session was sponsored by Firstlight Foods. Gus Irvine,
Firstlight Venison Producer Group Manager, used his
introduction to announce the inaugural Firstlight Foods
Scholarships to Lincoln University. They are for year two
and three students studying agribusiness, or students from
a deer farming background studying agribusiness.
“More details will be announced soon,” he said.
North Canterbury farmer Sam Zino put a figure on it,
saying $10/kg was what he was looking for. Canterbury deer
farmer Angela Blair agreed, saying the schedule needed to
be in double figures to be sustainable. “Ten to twelve dollars
a kilo would make us stay in.”
That said, the panel were also keen to carry on farming
deer because it was enjoyable and they saw venison as a
premium food product, well positioned to earn top dollar.
The lively 30 minutes of discussion was compered by Tony
Glynn and broadcast via Rural TV through YouTube. See
youtube.com/ruraltvnz. Other topics included succession,
the place of equity partnerships in pathways to ownership
and how younger deer farmers could find good technical
From left: Abby Shaw, Great Southern Deer Farms, Geraldine, Kiri Rupert,
deer farmer, Geraldine, and Jeremy Elliott, Wilkins Farming Company,
Gore, during the Next Generation panel discussion.
Three generations attend conference
It has been twenty years since Frank Taylor has attended a
Deer Industry Conference and he found the three days very
worthwhile.
“I’m going home to double my deer numbers. It is a good
time for young people to get into the industry, as breeding
stock are not too expensive and the generations before have
done a lot of hard work on breeding good stock and building
knowledge on feeding.”
The conference updated his knowledge on the venison and
velvet markets and has helped with his planning, he said.
Frank Taylor (left) and daughter Tania Taylor, deer farmers from Ohakune, at the farm tour of Mt Hutt Station on 22 May. Frank’s grand-daughter Nikita
Haitana (inset, seen at the Next Generation workshop) also made the trip to Methven for the Deer Industry Conference, making it three generations of the
Taylor family in attendance. Photo: Joanna Grigg
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Deer Industry News
deer industry conference
Turning potential into profit: Future trends in food marketing
Professor David Hughes, Emeritus Professor of Food Marketing at Imperial College London, was the keynote
speaker at this year’s Deer Industry Conference in Methven. He spoke with student journalist Krysia Krawczyk
about what the industry can do to increase its profitability.
For a start, Hughes said, it’s no longer enough for meat
producers to stick bits of carcass on a plastic tray and leave
consumers to “work it out”.
Instead, producers need to be much more consumer
focused.
“Put it in a form that meets people’s lifestyle requirements
and gives them convenience, or else you will be out
competed by fast-moving consumer goods companies that
will do exactly that.”
Four-fifths of global meat consumption is now in the white
meat industries of pork, poultry, fish and seafood – and
the success of chicken within that market comes from the
fact that it is moulded into products that meet the needs of
consumers, Hughes said.
Producers could learn a lot from companies such as
Nestlé, Cadbury and Kraft in terms of their consumer
understanding and awareness, he added.
“But those companies have a soft underbelly, which is
that their products are highly processed, whereas we have
products that are natural and are increasingly in vogue.
Big food is under attack around the world and venison isn’t
produced by big food corporations.”
Cervena® has many strong points in its favour in a market
where consumers want clean, green products and the
assurance that food producers’ values are consistent with
their own. It is grass fed, has a natural wild aura about it,
and it stands out as a special-occasion meat.
Yet meat companies are too often flying blind, never
understanding what the shopper really wants, Hughes
warned.
“In many cases meat companies have no idea who buys
their product. They just produce and produce and throw it
out the other side and hope that it disappears.”
In stores, meat is sorted and presented by species, but that
thinking is “last generation stuff”, he said.
Meals are no longer chosen by protein origin. Consumers
do not want beef or lamb for dinner; they are more likely to
want Indian or particular flavours. People choose the meal
first, and only then choose which ingredients are needed to
make it.
Hughes said the deer industry needs to make the cook’s
job easier. Meat should be marketed in a form that is cook
friendly and labelled as a product that cooks want – usually
products that affirm their cooking and make them feel like
chefs.
In an age of so much consumer choice, the industry needed
to do more to convince shoppers of the good reasons to put
venison in their trolleys.
Hughes said the “wow” factor of venison, together with its
“hugely compelling product story”, had already made it a
perfect choice for special occasions.
Western and Roman Catholic-dominated countries had low
to no population growth and aging populations that equate
to reduced food intake, but venison was well placed in
that market. Although those over 60 eat less meat, they are
prepared to pay more for better quality when they do buy it.
Increasingly, the industry winners will be those producers
who can present their products as problem-solvers in the
modern-day urban tussle: “the four to six o’clock chore of
popping into the supermarket right when everybody else is
doing exactly the same”.
Hughes said producers can expect a bumpy ride in the next
few years, but for those who can adapt to change “the future
is looking good”
Fine line between success and failure
Nine out of ten food products fail within two years. Success
or failure can hinge on the following key factors, according
to David Hughes:
• The product is just the same as an existing product.
• A failure to deliver the promised benefit.
• Persistence in marketing is essential.
• First to the market has a lasting advantage.
• The major players are the most successful.
• Failure to get non-users to try the product.
• Multi-channel launch approach boosts success rate
(e.g. food service, retail and online).
• Blockbuster success is the exception and not the rule.
In the same way that meat is displayed by species origin,
cuts of meat are marketed by anatomical origin.
“There is a product from New Zealand sold in United
Kingdom to this day, and it is sold as ‘half shoulder, knuckle
on’,” Hughes said. “Anyone under the age of 40 recoils in
horror when they see it because it looks like the aftermath
of some appalling axe murder, and they would never, ever
buy it.”
David Hughes: Older
people eat less meat
but are prepared to
pay for quality.
Compare that to chicken, though, where shoppers can find
less threatening options such as nuggets, and timesaving
meal choices.
Issue No 66 • June/July 2014
9
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deer industry conference
Deer a fixture on Landcorp landscape
❚❚ by Phil Stewart, Deer Industry News Editor
Deer might provide only a modest 7.5 percent of Landcorp’s revenue in 2014, but in dollar terms – about $16.3
million – that is still a significant return for a sector that generates income from some of the company’s most
challenging land.
Graeme Mulligan, General Manager Farm Operations with
Landcorp, reassured the Deer Industry Conference that
deer farming will remain an important part of its long-term
plans. That is good news indeed for industry confidence
from New Zealand’s largest deer farmer.
The runaway train that is dairy is making its impact on
Landcorp’s future as much if not more than in the rest
of the country. This year dairying will return about $97.5
million to Landcorp (46 percent of revenue) but by 2018
this is projected to rise to about $205 million – nearly 60
percent of farm revenue. This figure is likely to have been
boosted by the sharemilking partnership entered into with
Crafar Farms purchaser, Shanghai Pengxin (returning $33
million this year) and major conversions from forestry to
dairying at the Wairakei Estate in the Central North Island
(26,000 ha). (Mulligan said the dairy business could become
challenging if the payout dropped below about $6.50/kg
milksolids.)
Despite the growth in dairying, deer will hold its own in
Landcorp’s operation. Although the growth in dairying will
squeeze deer’s share of revenue down to just over 6 percent
by 2018, revenue from deer is projected to rise to more than
$21 million, more than twice the expected earnings from
wool. Mulligan took his audience through the company’s
facts and figures and they are impressive by any measure
(see box).
Landcorp by the numbers
Number of farms
137 (26 in deer)
Total land area
-(owned, leased, managed)
376,000 ha
Total stock units
1.73 million
Dairy cattle
67,300
Dairy cows
53,400
Milk solids
12,780 tonnes
Sheep
561,700
Ewes
395,600
Sheep meat
8,340 tonnes
Wool
2,730 tonnes
Beef cattle
82,100
Beef cows
39,300
Beef
7,300 tonnes
Deer
109,800
Hinds
59,900
Southland 54% of total
West Coast 24% of total
Central North Island,Waikato/BOP 22% of total
Venison
2,290 tonnes
Store liveweight
45 tonnes
Velvet
10.7 tonnes
10
Graeme Mulligan: Deer farming is part of Landcorp’s long-term plans.
The distribution of the deer herds among Landcorp’s farms
approximately reflects the rest of the industry, although
the North Island herds are almost exclusively in the Central
Plateau, Waikato and Bay of Plenty. There are no Landcorp
deer in Northland and the 1,700-deer operation on the East
Coast is at risk.
Mulligan said the major growth phase for Landcorp’s deer
operation was from 2002–2005, when 19,000 ha was deer
fenced. A further 3,500 ha has been fenced since then but
there are no further development plans for now.
He said the company is taking a 30-year view with deer
farming and has long-term confidence in the industry.
Deer were suited to much of Landcorp’s property, especially
that over 2000 feet above sea level in places such as the
Te Anau basin.
He noted that scaling up herd sizes was not without risk,
and they learned some valuable lessons about maintaining
fawning percentages during this phase. While drought was a
risk for all livestock, the deer were more resilient than most
in the face of storms, he added.
Deer also complemented sheep production, with the
early kill for the chilled trade freeing up resources for
lamb finishing. “We will stay in deer but we’ll constantly
refine what we do. No livestock business is mature until
all the genetic potential had been tapped, all management
improvements adopted, all science explored and all markets
developed.” In the case of deer, Landcorp clearly sees plenty
of upside.
On the perception of “those Landcorp bastards” securing
a premium for volumes, Mulligan said that was largely
irrelevant today. Some 82 percent of lamb, 40 percent of
beef and 35 percent of venison was sold at a fixed price,
he noted.
Deer Industry News
deer industry conference
Welcome function and Matuschka Award
❚❚ by Phil Stewart, Deer Industry News Editor
Murray and Barbara Matuschka don’t get to every presentation of the award that bears their name, but they did
come to Methven and Murray soon had the audience in stitches with a string of salty anecdotes and shaggy dog
stories in the preamble to the award.
The award was
launched in 1996
and is given to the
grassroots deer
farmers who don’t
seek the limelight
but support their
colleagues in the
industry as the
unsung heroes at
branch level. Tony
Pearse said the
nominees were
Chris Petersen, 2014 Matuschka Award winner. typically humble
and actively
shunned the attention – in fact this year’s winner, like most
recent winners, wasn’t aware he was nominated. The judges
for 2014 were Philip Irwin (last year’s winner), Tony Pearse,
Bob Swann and Murray Matuschka.
Murray said any one of this year’s nominees would be a
worthy winner, but the man singled out was an outstanding
one: Chris Petersen.
As Chair of the Fiordland DFA Branch for 13 years Chris set
up the Branch 2-year-old velvet competition, a fundraising
scheme buying and selling weaners, grazing them on
members’ farms. Tony Pearse said that Branch meetings,
while not necessarily regular, were always entertaining.
Chris was an effective representative of the Branch and was
never shy about sharing his experiences and the occasional
mishap. “He has a strong sense of community and enjoyed
Farmers quick to stump up
for memorial
Murray Matuschka: A string of one-liners had the audience in stitches.
immensely the company of farmers attending the events he
inspired.”
The award came as a surprise to Chris but he was delighted
to receive it. “I used to be pretty shy and quiet but once I
got the Chairman’s job and started talking I just couldn’t
stop,” he said.
Welcome menu
The Grass Roots – Green Shoots welcome function was
sponsored by Mountain River Venison and Alliance Group.
As always, the versatility and tastiness of venison were
shown off to good effect, with this year’s menu including
venison sweetbread po’ boy, venison cheeks, venison
noodle salad and roasted venison loin, followed by
pistachio nut vacherin.
long before deer farmers at the conference put their hands
in their pockets. Graham Carr ($1000), Paddy Boyd ($1000),
NZDFA ($500) and the Waikato Branch of NZDFA ($500)
soon made up the difference.
Plans to erect a memorial and roll of honour for the
men who lost their lives in the development of New
Zealand’s foundation herds and deer industry took a
big step forward at the Methven conference.
Instigator Clive Jermy announced that, subject to final
discussion, space had been made available for a stone
memorial and brass plaque by Robert Duncan, owner of
the Wings and Wheels Museum at Wanaka. The memorial
would be in a garden area in front of the museum, with a
roll of honour inside.
The memorial is expected to cost up to $5000. Clive Jermy
and Sir Tim Wallis had each pledged $1000 and it wasn’t
Clive Jermy announcing plans for the memorial.
Issue No 66 • June/July 2014
11
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deer industry conference
Science and innovation
❚❚ by Phil Stewart, Deer Industry News Editor
Deer Progeny Test
Geoff Asher, Senior Scientist, Innovative Farm Systems at
AgResearch Invermay, brought delegates up to speed on the
three-year Deer Progeny Test (DPT) programme and other
activities around genetics.
He said New Zealand deer farmers were fortunate to have a
high calibre of stud breeders who drive genetic progress in
the industry. “You need to have confidence that the top-tier
stud breeders are supplying you with good genetics.”
He explained DEERSelect is a tool that’s available on an
ongoing basis for farmers to check the genetic merit of
various sires and then make informed decision before
investing in genetics for their own farms. He said the
sire rankings for various traits and the between-herd
connectedness eliminated environmental effects and
reflected true genetic worth. The breeding values (BVs) were
updated at least quarterly and were always available online.
Unlike DEERSelect, the DPT has a finite life. The third of
three crops of progeny is now on the ground and following
slaughter later this year there will be a rich trove of
information, with a valid dataset for full genetic analysis
over more than 1000 progeny across more than 30 sires.
It was important to remember the DPT was carried out on
commercial farms (Haldon Station, Whiterock Station and
Invermay) and it was a big commitment by them to allow
400 AIs per farm per year.
The primary aims of the DPT were:
• encourage and improve sire linkage between herds
• platform to evaluate BVs across breeds (reds/wapiti)
• evaluate new traits for optimisation of selection goals
• proved a starting point for evaluation of maternal traits
• establish a well-phenotyped population for future
genomic tools.
Asher said the DPT had already boosted the linkages
between red deer herds. Linkages between wapiti herds was
not so advanced but that was still expected to improve.
More than 60 carcass traits had been recorded so far,
including prime muscle distribution and venison quality
sensory traits. Co-product traits had also been recorded,
along with levels of resistance or resilience to parasites,
temperament and maternal traits. Asher noted that
recording of parasite resistance traits using the CarLA
(carbohydrate larval antigen) test was showing great
promise.
“This time next year I hope to stand before you with some
quite staggering information [from the DPT],” Asher said.
He said DEERLink was a science–industry collaboration
designed to maintain the cross-herd linkages that had
been established under the DPT, after that project was
completed. He said linkages had originally been set up
under the former sire reference scheme, but this fell apart
after the scheme finished. DEERLink was designed to help
prevent this happening again. He noted that Invermay will
be continuing with a down-sized DTP after the main project
wraps up. “It’s about the industry taking responsibility for
maintaining the linkages. This will free up the scientists to
start looking at other things.”
Hind body condition score, lactation and
drought
This research, led by David Stevens, was reported in the
February 2014 Deer Industry News, page 21, which is
available at www.deernz.org/publications
Asher said that as a spinoff from this study, the effects
of weaner liveweight on later calving success will be
investigated. He noted that it is not difficult to bring hind
body condition score up from 2.5 to a more acceptable 3.5.
Parasite update: Triple combo drench
the best option
Dave Lawrence brought delegates up to speed on research
and recommendations for effective parasite control and
measures to delay the onset of resistance.
He repeated the warning that macrocyclic lactone (ML, or
mectins) pour-on drenches should not be used on deer.
Every farm investigated so far using slaughter trials has
shown resistance of gastrointestinal parasites to MLs,
something that has been accelerated by under dosing. A
trial done last year on a farm identified with ML resistance
three years ago indicated a deterioration in the resistance
status.
Drench options remain limited. Other than the longstanding white (benzimidazoles, or BZs), levamisole (clear,
or yellow drenches) and ML drench families, the only “new”
drenches have been monopantel (Zolvix) and derquantel
plus abamectin (Startect). Neither has given satisfactory
results in deer, Lawrence said.
In the BZ drench family, only oral drenches are registered
for deer (for example, Oxfen C or Bomatak). Despite what
one may expect, there are no records of BZ trials in deer
for the registered products, but recent industry trials with
BZs against adult Ostertagia-type parasites showed fairly
abysmal efficacy, ranging from 38–69 percent.
Lawrence said a trial with the BZ Oxfendazole at the label
dose rate gave just 54 percent efficacy. Tripling the dose
raised efficacy to 87 percent, still below the acceptable level
of 95 percent. He said if these were used, the triple dose was
recommended, as the label rate is clearly under dosing. He
noted the withholding period for this is 91 days.
He said levamisoles had previously been written off for
use in deer since they proved ineffective against lungworm
in the 1980s. Recent trials showed they had some effect
against Ostertagia-type parasites although still well below
acceptable efficacy rates. Increasing the dose didn’t appear
to improve efficacy and carries a risk of toxicity to deer.
Despite this, Lawrence said levamisoles appear to have a
synergistic effect when used in a combination drench.
As previously noted, ML resistance is now widespread
continued on page 14
12
Deer Industry News
deer industry conference
Velvet sector overview
❚❚ by Phil Stewart, Deer Industry News Editor
DINZ Velvet Marketing Services Manager, Rhys Griffiths, showed plenty of evidence that patience and perseverance
is starting to pay off in our new and emerging Asian markets – but as a small player on a very large pitch we need
to be alert to both opportunities and risks.
The conference theme of “grass roots” was represented
by the Korean and traditional Chinese medicine (TCM)
markets, while the “green shoots” were the opportunities in
the fast-growing healthy foods sector.
Looking at the price volatility up until around five years ago,
Griffiths said the cause was our history of being price takers,
selling undifferentiated product into wholesale markets
which didn’t value the New Zealand origin. He cautioned
that growth must be managed carefully or the volatility that
has receded in the past five years could return.
A reduction in global velvet production coupled with
the rise and consumption of velvet in healthy foods has
stabilised things for now. New Zealand velvet’s market
values of healthiness, naturalness and quality are also
starting to have an effect. Griffiths noted that weighted
average prices had risen 5–10 percent each year for the past
two years.
He said the grading guidelines had been changed to better
suit market demands and match like for like. Genetic
progress had led to heavier weights but a flattened top, with
subsequent loss of the valued “jelly tip”. (Colin Stevenson
commented that growers had been helping matters by
cutting earlier than previously. Although weights were less,
the amount of jelly tip in the nicely bulbed tops was more
than compensating.)
The media splash last year about the use of IGF-1 (a
component of velvet) in a sublingual spray by golfer
Vijay Singh and American Footballer Ray Lewis had,
paradoxically, created a marketing buzz around New
Zealand velvet, which was distanced from the “shady”
supplements company that had created the spray. Exports
to the United States nearly doubled (off a low base, it has to
be said) to $700,000.
Things were looking up for New Zealand in Taiwan. The 17
percent tariff on venison was to be dropped to zero with
immediate effect; the 25 percent tariff on processed velvet
would reduce to zero over four years; and the restrictive
quota on frozen velvet would end in 12 years.
Griffiths noted that recent market research had shown
different market segments (older women, younger men
and so on) had different needs from an ideal health
supplement, although a common requirement for all was
that it boosted the immune system and was available in a
convenient ready-to-use form. This appeared to fit nicely
with the direction of the industry over the past five years.
He extended thanks to Clachanburn, Raincliff Station
and Peel Forest Estate for helping host a delegation of
Taiwanese deer farmers to New Zealand, building the good
relationships between New Zealand and Taiwan during the
important free trade ratification period.
Rhys Griffiths: Growth must be managed carefully if we’re to avoid a
return to volatility.
In Korea, the proportion of New Zealand velvet used for
Oriental medicine (OM) had fallen from 85 to 50 percent
over the past decade or so. The OM sector was under
pressure from government health care programmes which
appeared to favour western medicines, along with greater
regulation, affecting all traditional ingredients including
velvet. DINZ was working closely with the Association of
Korean Oriental Medicine and also with Omniherb, a fastgrowing company focusing on modern sales channels to
connect with the OM sector. Omniherb proudly uses only
New Zealand velvet, which they sell at a premium over their
competitors, and report an increase in sales over the past
year. Griffiths said the healthy food sector in Korea was on
the rise, with some reports that it could be growing faster
than the OM sector is declining. This was good news for
New Zealand velvet producers, as was the revival of the
Korea–New Zealand free trade agreement negotiations and
an improved Korean economy.
The growth in consumption of luxury products was
continuing in China, where large-scale velvet processing
facilities were being built – a mixed blessing for our
producers. Griffiths said there was a risk of a market bubble
developing in the wholesale market, so loyalty throughout
the value chain is imperative going forward; between New
Zealand producers and processor/exporters, and exporters
and importers in Korea and China to ensure their markets
were secure.
continued on page 14
Issue No 66 • June/July 2014
13
deer industry conference
Science session: continued from page 13
among deer parasites. Of the three modes of delivery for
MLs, injection gives the best results and pour ons the worst,
with oral drenches in the middle.
Lawrence repeated his recommendation that the most
effective drench regime on farms with resistance is a
combination of an injectable moxidectin (Cydectin
Injection) with an oxfendazole–levamisole combination oral
drench (Scanda) given at double the dose rate. (An ideal
oral combination for deer would include a triple dose of BZ
and single dose of levamisole, he said.)
He said best practice for parasite management should
include:
• quarantine drenching
• managing refugia
– do not drench weaners onto clean pasture
– avoid drenching adults
– avoid finisher blocks
– integrate deer and other livestock classes
• do not use long-acting products
• use a triple combination, not a single active drench.
In conclusion he said on farm experience is supporting
his drench recommendations for deer. Farmer feedback
following a change from a pour-on to an oral combination
drench saw growth rates lift from 250g/day to 400g/day.
Another client changing to a triple combination drench had
noticed they were now getting animals away for slaughter
heavier and earlier. Further feedback indicated reduced
losses, especially from yersiniosis and Johne’s disease.
In search of Johne’s disease resistance
Professor Frank Griffin, University of Otago, updated
delegates on work to identify deer that are genetically
susceptible or resistant/resilient to Johne’s disease.
As has been widely reported, the big breakthrough in
identifying resistant (R) and susceptible (S) sires came
several years ago at Peel Forest Estate, where detailed
pedigree records could be used to identify both types.
Subsequent work using 52 progeny of six sires bred over
three years has shown that 81 percent of progeny of R sires
inherited the resistance, while 88 percent of the progeny of
S sires also turned out to be susceptible to disease (although
this latter figure may be an overestimate, Griffin cautioned).
This (uncannily) high level of heritability is likely to be a
reflection of the genetic purity and genomic diversity of the
contributing sires.
Retrospective analysis of more than 3,000 animals at Peel
Forest had shown an incremental increase in overall herd
resistance to Johne’s disease, especially since 2010.
A useful marker of resistance or susceptibility was
quantitative PCR analysis of faecal shedding in R and S
animals deliberately infected with disease. Both groups,
especially the R animals, shed large quantities of disease
organism shortly soon after they were infected, before
shedding dropped back down. Shedding by the R animals
remained low thereafter, but after several months the S
animals began shedding large numbers of the organisms.
Griffin explained that groups of genes had been identified
in R and S animals that had either an upregulatory or
downregulatory response to disease challenge (i.e., the
genes were regulating either an increased or decreased
output of receptors or regulatory elements by cells in
response to a pathogen). They targeted macrophage cells,
which indicate an inflammatory response, and T-cells – an
indicator of immune system activity. What they found was
that in S animals there was pronounced upregulation of
inflammatory markers and downregulation of immune
markers in response to disease challenge.
“We now have a group of eight to ten genes that measure
macrophage function and are upregulated in S animals. We
believe we have a molecular signature for susceptibility –
abnormal inflammatory responses.”
When looking at immune (T) cells, the researchers found
an opposite effect: the important immune genes were
upregulated in R animals and downregulated in S animals.
“That makes perfect sense in biology,” Griffin said.
“Susceptible animals get it wrong on the inflammatory side
and resistant animals get it right on the immune side.”
He said there was now enough information about R and S
animals in the database to target these important genes and
put up an identikit profile that will reflect resistance and
susceptibility mathematically for an individual animal. “The
approach is not to look for individual genes, but to look for
pathways of immunity.”
Griffin said that the next step would be the development of
a test – hopefully within a year. It would initially be applied
to animals of a known genotype to confirm the integrity and
relevance of the key gene markers. At this stage further
progeny from another four R and four S stags are to be
tested to repeat and test these genetic marker assays. He
gratefully acknowledges the financial support for the
project from NZDFA and the Callaghan Innovation Fund
and the gifting of semen from Peel Forest Estate foundation
sires.
Velvet session: continued from page 13
He said gaining market access is frustrating, but work
continued to ensure an improved situation for the New
Zealand deer industry. There have been recent wins,
particularly around meat plant listings in China. He
explained China was in the middle of putting a system
of food safety protections in place as the world sought to
capitalise on the growing opportunities in that country.
DINZ is working with a leading New Zealand nutraceutical
company on registering a healthy functional food product
with a focus on New Zealand velvet. A healthy functional
food registration is the “gold standard” and a space that
14
we need to be operating in. Achieving this is a significant
exercise, however, requiring time and patience. Griffiths
said there was still plenty of work to do to clear regulatory
pathways generally, as the process in China can appear
quite complex.
Colin Stevenson commented that gaining market access in
China is difficult. “It took us three years just to find the right
government department!” He said Ministry for Primary
Industries staff in China were doing a great job but were
overworked, with the number of agricultural attachés
recently lifted from one to four.
Deer Industry News
deer industry conference
Chinese deer industry seeks collaboration
❚❚ by Phil Stewart, Deer Industry News Editor
Much of the chatter at the 2014 conference was about the market opportunities for velvet, venison and
co-products in China. Special guest Professor Fuhe Yang, Executive Chair of the Chinese Deer Farmers’ Association,
provided a fascinating insight into the vast and complex world of deer and their products in that country and
made a strong call for closer scientific collaboration between our industries. He was supported by Dr Chunyi-Li,
formerly of AgResearch and well known in New Zealand for his work on velvet.
Starting with an overview of deer in China, Yang said
there are nine deer genuses and 16 species distributed
throughout the country. Domesticated species include sika,
wapiti, reindeer, sambar, white-lipped deer, roe deer and
musk deer.
Velvet was the main product, with wapiti and sika the
favoured species. Sika account for three-quarters of all
farmed deer and wapiti about 20 percent. Yang said sika
velvet attracts a premium, currently attracting nearly 3500
renminbi ($NZ663) per kilogram, about double the price of
wapiti velvet.
(In answer to a question from the floor about whether
the velvetting stags in China were eventually consumed
as venison, Yang replied that by the time they ended their
productive life the meat was too old and tough.)
The local Jilin breed of Sika deer has been farmed for about
400 years but there are also several other varieties farmed.
Wapiti are farmed mainly in the northwest and northeast
and their velvet is famous for its size, tenderness and plump
tip. As with sika, several types are farmed.
“He sees plenty of upside for closer
cooperation between the New Zealand
and Chinese deer industries and is
particularly excited about the potential for
co-products”
Yang said deer research in China covered nutrition, use
of artificial breeding to better utilise sires, and disease
research. He said modern equipment and methods were
used to carry out composition and efficacy analysis for
velvet, venison and co-products.
The first recorded use of deer velvet was by the Yan
Emperor Shen Nong Shi, some 5,500 years ago and it has
featured in Chinese medicine ever since. The founder of
traditional Chinese medicine (TCM) as it is known today
was Li Shizhen, a herbalist and acupuncturist who lived in
the 16th century and compiled the Compendium of Materia
Medica. This text, with 1,892 entries, lists all plants, animals
and minerals with medicinal qualities and is still regarded
as the most complete reference for TCM.
Yang said TCM valued velvet for enhancing bodily activities,
enriching the blood, accelerating wound healing and
uterus development, fighting fatigue, improving sleep and
boosting immunity. Hard antler, deer fetuses, bone, tails,
sinew, blood and so on also had value in TCM.
Issue No 66 • June/July 2014
Professorm Fuhe Yang: Keen to see closer scientific collaboration
between China and New Zealand.
Yang said a lot of value is placed on authenticity and the
environment in which something is grown. That said,
he sees plenty of upside for closer cooperation between
the New Zealand and Chinese deer industries and is
particularly excited about the potential for co-products –
including items we may not give a second thought, such as
the hoof.
The Chinese deer industry has its own problems, including
rising costs, disease challenges and primitive processing
methods. Lack of market regulation is also an issue as
it is difficult to prevent fake products being sold and
undermining the integrity of the genuine article. And there
was uncertainty about which government agencies had
responsibility for the industry.
Yang is keen to undertake collaborative research with New
Zealanders to better understand the pharmacological
mechanisms involved with deer velvet and other
co-products, the chemical composition of the bioactive
compounds and improved extraction methods for these.
He’s also keen to subject TCM prescriptions to scientific
evaluation and use hard evidence to challenge traditional
prejudices against imported product.
Other areas for joint research included the discovery of
genes controlling useful traits, breed improvement, a study
of deer rumen micro-organisms, new sources of deer feed
and disease prevention.
Yang said international competition could be destructive,
but cooperation could lead to a win: win and he floated the
idea of an international deer research centre, with one of its
early objectives to provide scientific backing for the
importing of New Zealand deer products into China.
15
deer industry conference
The meat of the issue
❚❚ by Phil Stewart, Deer Industry News Editor
Representatives from four venison processor/exporters gave presentations on their recent market activities,
followed by a Q+A session from the audience.
Alliance Group: Picking friends and
potential of the “fifth quarter”
Silver Fern Farms: Riding brand
New Zealand
John Rabbitt, Marketing Manager, Alliance Group, was
joined by the company’s Venison Marketing Manager, Terry
O’Connell. Rabbitt described Alliance’s strategic direction
for venison in terms of “old friends, new friends and special
friends”. He said despite inherent weaknesses in the venison
business – the short premium season and competition from
European product – Alliance was keen to realise the true
value of the product.
Sharon Angus, Group Marketing Manager, Silver Fern
Farms, said the resource available for marketing specific
products overseas was limited, but there was much to
be gained from leveraging off “Brand New Zealand”. She
said this tapped emotive values including sustainability
and ethics – but this alone wasn’t enough to demand
a premium. These values are now a given and are a
requirement for any kind of market access, never mind a
premium.
Alliance Group Marketing Manager, John
Rabbitt.
“Old friends” were
established clients
such as Metro and
Davigel in Europe
or Marks & Spencer
or J Sainsbury in the
United Kingdom.
Rabbitt said venison
was an extension of
their existing product
range and it could
leverage off their
in-market assets
used to market other
products such as
lamb.
China was very much a “new friend” and Alliance had been
active there for 15–20 years. Having export licences for
China was crucial and the company had accreditation in
that market for two of its plants. He said they were working
with in-market partner Grand Farms and would focus
initially on lower-cost products as well as the potentially
valuable “fifth quarter” – bone, blood and other soft offal.
The fifth quarter could potentially add up to 10 percent to
the return from an animal. The plan was to gradually move
up the value chain for venison products in the medium to
long term.
India was another potential new friend and Rabbitt saw
good potential in working through Quality New Zealand, a
marketing channel established in India by cricketers Daniel
Vettori, Brendan McCullum and Stephen Fleming. “Cricket
is a religion over there,” he said.
Working through sports stars like these in
cricketing-mad India could open doors.
16
“Special friends”
were the high-value
consumers to be
found in many
markets and were
the target of the
“premiumisation”
strategy (see Deer
Industry News, April/
May 2014, page 3).
Cervena venison is
among an elite group
of Silver Fern Farms
“hero” products.
Segmenting the market to target high value customers
hadn’t been done well to date, but was necessary for
premium venison.
Looking at social trends, Angus said younger Chinese
consumers have leapfrogged the television-watching
generation and have gone “straight to digital”. Connecting
with these consumers will need to be done through the
“right social media”.
She said the back-to-nature movement fitted well with the
brand values of New Zealand venison, which picked up on
emotive nuances such as the “high” in high country. “It’s
not just about taste. They have to have an experience and
a connection, and we have to have food integrity.” Terms
such as “rare distinction” and “enticingly lean” helped
differentiate the products.
Silver Fern Farms has launched a Premier Services Award in
New Zealand, targeting top chefs and 23 percent of the 73
entries involved venison, Angus reported. Cervena venison
was among a range of hero products, which included others
such as Silver Fern Farms Angus, Hereford and Silere Alpine
Origin Merino.
Retail venison business had been growing 30–50 percent a
year, she said. “We’ve also grown the price per kilo to more
than $40. This suits older demographics who prefer smaller
portions.”
Silver Fern Farms had also successfully placed venison in
the gourmet version of the “My Food Bag” packages, which
include recipes and fresh ingredients for several meals
to be cooked at home. The product is delivered to 6,000
consumers in Auckland.
Deer Industry News
deer industry conference
“To get started you must get the farmed venison in people’s
mouths. It’s the experience they value.”
Mountain River Venison:
Filling valuable niches
John Sadler, Manager at Mountain River Venison, said
the company was a niche marketer, with strengths in the
US, Scandinavian and Asian markets. Only 13 percent of
Mountain River’s exports go to Germany, whereas nearly
one-third is destined for the United States.
Sadler said heritage meat specialist D’Artagnan in the
United States was the company’s biggest customer in that
country, targeting the fine dining sector. About half of the
US sales were frozen and this product was mainly supplied
through Prairie Harvest for areas that were further from
ports of entry and where it was logistically difficult to
provide chilled venison.
Venison consumption in Sweden is year-round, making it
another promising market. Sadler said delivery of chilled
product there had been slow and difficult. However a switch
to air freight through Emirates, although more expensive,
provided much greater flexibility. He said exports of venison
to Norway attracted a crippling tariff of $13/kg, but many
Norwegians were happy to nip across the border to large
shopping centres on the Swedish side to pick up their
supplies at a much lower cost.
Sales into China so far had been limited, but with venison
retailing for as much as $155/kg in Beijing, there were signs
it could have potential there. Sadler said deer were valued
mainly for their velvet and co-products in China and not
well known for their meat. Developing demand for venison
would take commitment and patience. Deer had an almost
spiritual status in China and were associated with good
health.
information to suppliers, now cover five key areas of each
carcass: middles, leg, shoulder, tail and (where applicable)
the pizzle. While noting that this could be information
overload for some, he said the sheets give suppliers the
tools to make good decisions and reveal the influence of
genetics on venison production.
Looking at the matrix
that comprises Firstlight’s
venison business, Keeling
said a feature was threeyear agreements with both
suppliers and customers.
Other key elements in
the business included
development of markets
and new products, the
“fifth quarter”, use of
benchmarking, feedback
Peter Keeling, Firstlight foods.
to suppliers via the
value sheets, genetic
improvement, the exchange rate and the influence of
the next generation of deer farmers. He said developing
premium chilled markets was based on year-round supply.
“This isn’t completely even but was can’t just keep doing it
over three months.”
The company had been mainly involved in the UK and
European markets but was also expanding into Canada and
the Middle East.
During a Q+A session after the four company presentations,
discussion turned, predictably, to the unsustainably low
venison schedule. Graham Carr, for example, said it was
concerning that prices were still depressed even though
volumes were down.
John Sadler
said developing
a venison
market in China
would take
commitment
and patience,
but the animals
were associated
with good
health there.
Graham Carr asks a question from the floor.
Sadler said Mountain River Venison had now been in
business for 20 years. He acknowledged the support of
Doug and Mary Hood and the long-term commitment of
Ian Stewart and staff. “Our customer relationships are also
long term and enduring.”
Firstlight Venison: Commitment to both
suppliers and customers
Peter Keeling, Supply Chain Manager with Firstlight
Venison, said the company’s aspirational vision was “to be
the most profitable and sustainable pastoral farming system
in New Zealand”.
He said the 50 percent farmer shareholding comprised
breeders, breeder/finishers and specialist finishers.
The company’s value sheets, which supply detailed
Issue No 66 • June/July 2014
Professor David Hughes said that one unhelpful trend in
New Zealand was for farmers to rush out and bid up the
price of land whenever product returns improved. “You
can’t have it both ways. You need to commit resources to
R&D and product development.”
Commenting on the potential of the Chinese market for
venison, Hughes said China had a complex and
sophisticated food heritage and we would need help to
understand it. The traditional treatment for meat in China
is to slice it thinly, fry quickly and cover with a sauce.
Venison may or may not be treated that way in niche
markets in China. John Sadler noted that chefs using
venison in China had been seen wringing the blood out of
the meat. “It still seemed to taste OK,” he said.
17
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deer industry conference
Equity partnerships keeping Gardynes flying high
❚ by Phil Stewart, Deer Industry News Editor
The $15,000 yellow drone crouching on the stage distracted a few of the deer farmers among the audience, but
the real interest in the presentation from the Gardyne family was not so much the whizz-bang technology but
rather their stellar business success using equity partnerships as a foundation for growth.
Neil and Philippa Gardyne, with their 13-year-old son,
Mark, discussed “agricultural resilience” on the basis of
their past 15 years’ experience in farming.
The Gardynes moved to Southland from Auckland in the
late 1990s after managing a construction business. The
family members have applied a fresh set of eyes to the
opportunities and risks of agriculture and soon found
success in their new environment.
Philippa Gardyne explained that their values-based
business philosophy is built around the vision of “your best
life”. They believe good succession is based on preparing
the people first, with assets the secondary focus. Philippa
said they favour a decision-making process that favours
good choices that should answer the following questions
satisfactorily.
• Isthissupportingourfamilyvalues?
• Isthiskeepinglifesimple?
• Isthisinconveniencinganyone?
• Isthisagoodchoice?
She said their second main value is teaching a culture
of ownership, not entitlement – within the family and
across the business. Profit was the engine room of the
business and it allowed them the freedom to innovate while
achieving a work–life balance.
Describing the family business today, Neil Gardyne said
they farm 6,500 stock units on 466 ha of fertile soils with a
moderate 820mm rainfall, half an hour north of Gore. They
run sheep (65 percent of income), bull beef (15 percent) and
cropping (20 percent). The cropping is useful for mopping
up surplus potassium and nitrogen.
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Mark, Neil
and Philippa
Gardyne with
the drone that
has attracted
so much
attention to
their innovative
business.
The all-terminal operation buys in between 2,000–4,000
store lambs a year and pumps out 489kg of meat (lamb,
sheep and beef) per hectare. This is actually down from a
peak of 550kg, but they’ve eased it back to take some of the
pressure off the business and processors.
The financial performance of this business would make any
farmer green with envy. It is driven primarily by an average
kill date of just 93 days from birth to slaughter, a measure
that Neil said is more important than lambing percentage.
In the past seven years the business paid off $1.35 million of
debt and invested $350,000 in plant. The EBIT per hectare is
an enviable $1,188, return on capital 6.8 percent and capital
gain 13 percent.
Neil said they started out in 1999 as 22 percent equity
partners in an 1,800 stock unit farm. “We realised that if we
were going to make it we needed to innovate.”
They bought good quality sheep genetics from another
business that was converting to dairy and were told as an
afterthought that a ram had been out “for some time”. The
protracted lambing – it lasted about six months – caused
great amusement amongst their new neighbours but the
Gardynes had the last laugh, getting all their lambs away
by the end of November averaging $70 a lamb, well above
the meat processor’s prediction for the season. Shifting to
buying store lambs they bought the $20 lambs, not the $40
lambs they’d been encouraged to, and realised $92 per lamb
in April/May. With this great start they managed to repay
their mortgage and move up to a 50 percent partnership,
before they ended it after eight years in a position to treble
the size of their business.
Seven years on they have just bought another 310 hectares
(in addition to the 466 ha block).
Neil said he learned from the construction business that
things work a lot better when others have skin in the game,
and they realised that equity partnerships were the way to
get ahead. He also worked to improve the performance of
18
Deer Industry News
deer industry conference
contractors such as fencers and shearers by having a frank
conversation about expectations before the work started
with the offer of a 10 percent bonus to complete the jobs
as expected. That marked a big turnaround in attitude and
performance by contractors. “It halved my workload and
no-one has claimed the 10 percent so far.”
The Gardynes have taken a generous approach to those
wanting to get into farm ownership and are now using
Rise of the drones
Thirteen-year-old Mark Gardyne had farmers
captivated with his description of the place of new
technology in the business, much of it enabled
through the aerial perspective of a drone.
equity partnerships to bring aboard young people they’ve
identified with a future in farming. “We’re happy with a
smaller percentage of a bigger pie. We bought a $5 million
business seven years ago and it’s probably worth about $11
million now.”
They’ve just started one new equity partnership and hope
to begin a new one in two years.
The drone’s current capacity is 30 minutes of flight at
100km/hour, but flight times are expected to increase to
90 minutes as the technology develops. The current range
using manual control is about 3km and most missions are
completed in less than 15 minutes.
Neil Gardyne said regulation of the use of drones will be
eventually needed but in the meantime they’re careful
to respect neighbours’ privacy when missions take the
machine over their property.
The quad copter drone they use is supplied by Raglanbased Aeronavics (it’s wise to use a local company so
there is technical backup) and up to 40 applications for
the machine have been identified so far. They’re working
with AbacusBio and Beef + Lamb New Zealand on further
applications.
Tasks include monitoring and counting stock, monitoring
waterways and weed infestations, drain mapping, finding
electric fence faults (usually a very time-consuming
job), keeping track of dry matter cover changes and even
mustering. It’s estimated the improved monitoring and time
savings through using the drone could increase productivity
by $35,000 this year but with a potential productivity gain of
up to $200,000 further ahead.
The swannie story
Keynote speaker Mark Nevin, Chief Executive of Swanndri®, gave delegates a taste of the colourful history of the
company, now just past its 100th year.
He said it was started in 1913 by a Taranaki tailor, William
Broome, who saw a need for a resilient, warm and
waterproof outer garment for outdoor workers enduring
incessant rain. One downside of such a durable item was
that owners became attached to them for decades – no
replacements needed.
had the tongue-in-cheek tagline “We have to make a good
garment. Most of our customers have guns.”
“This is seen as a provincial brand, but there is only two
degrees of separation in New Zealand, so it’s pretty easy to
reach both town and country,” Nevin said.
Mark Nevin
in full flight
auctioning
Swanndri
memorabilia and
his special twotone shirt for
the Child Cancer
Foundation
during the
Awards Dinner
at the Deer
Industry
Conference.
An attempt in the mid-2000s to connect the brand with
urban consumers through a partnership with designer
Karen Walker failed to take off. However a new partnership
with the Barkers chain of clothing stores has given Swanndri
a good foothold in the cityscape and they’re about to enter
their second winter in this market with products such as a
$600 Harris Tweed jacket and a “Thousand Acre” jacket.
In a story reminiscent of the challenges faced by deer
products, Nevin said the company has had to segment its
product range and ensure all gaps were filled.
Brand personality was important, and there was plenty
in evidence in the material on display at the “Swannies
and gumboots” award dinner later that night. One poster
Issue No 66 • June/July 2014
19
xoxoxoxoxoxo
deer industry conference
“Grass roots and gumboots” awards dinner
❚❚ by Phil Stewart, Deer Industry News Editor
There was a down home feel to the 2014 deer industry awards dinner with many accepting the invitation to don
Swanndris and gumboots for the event. Some took the invitation a little further, with swannie-themed undies and
ties in evidence.
Entertainment came courtesy of Rural TV hosts Tony
Glynne and Tim Black, who put on a rustic version of a chat
show, complete with country singer Jody Direen and a red
chair. (Silver Fern Farms’ Rusty Andrews, was the willing
victim.) Jody provided the music and more entertainment
came later when Swanndri CEO Mark Nevin auctioned off
the company’s posters and memorabilia in the hall to raise
funds for the Child Cancer Foundation. Nevin was generous
enough to donate his special two-toned Swanndri which
raised more than $500 for the cause. In all, $1,760 was
raised.
Silver Fern Farms support
The Grass Roots and Gumboots chat show raised plenty of laughs.
Proceedings were kicked off by Rob Hewett, Chairman of
Silver Fern Farms, who sponsored the evening and were
also Platinum Sponsors for the conference. Looking at
market prospects in Europe, he said there was probably
a strong correlation between the high unemployment in
Spain, Portugal and Poland, and the price of venison.
Minister for Primary Industries a guest
“We need to get out of that feral space and the commodity
cycle,” he said. “As soon as we migrate our output into
products that customers actually want, then the volatility
we’re seeing will evaporate.” He noted that beef and
sheepmeat were suffering from the same ups and downs at
present.
“When it comes down to it, the most important person to
you is the one on the other side of the world who you want
to pay a premium for your product.”
Primary Industries Minister, Hon. Nathan Guy, missed the
opportunity to meet deer farmers in Wellington last year
when he got caught up sorting out a meat certification issue
for exports to China, but he was there in Methven to present
the Deer Industry Award.
Guy said he had farmed fallow and red deer in the past,
but gave it away when he got into politics. Commenting on
the Government’s Export Double target, which would see
exports reach $64 billion by 2025, he said this would create
50,000 new full time equivalent positions, half of which
would need tertiary qualifications.
Primary Growth Partnerships (PGP) worth $700 million
were up and running and these were expected to generate
Swanky in Swannies
Rounding up the DINZ crew for a team photo at the
“Swannies and gumboots” awards dinner was like trying
to recapture a bunch of skittish fallow deer that had got
through the boundary into a bush block. But here
they are no worse for wear and not a bad yarding
as it turned out.
Absent: John Tacon (stuck on a truck); Innes Moffat
(exported live to Europe; it’s hoped he’ll return intact);
Catharine Sayer (in fawning paddock).
From left: Pam MacLeman (reliable mixed age
hind, highly valued for settling scatty weaners);
Rhys Griffiths (velvetter, yield getting better every
year, chronic fence pacer); Sharon McIntyre
(often seen staring at tags, only associates with
stags that have excellent BVs); Dan Coup (new
boss stag, hopped over boundary from next door
farm last year and executed his own “coup”);
Tony Pearse (prone to injury but as long as the
vets keep patching him up he’ll keep delivering);
Amy Wills (another exciting new bloodline, great
future as an elite female); Lindsay Fung (backup
stag, always delivers the goods).
20
Deer Industry News
deer industry conference
up to $7 billion a year to New Zealand’s gross domestic
product every year from 2025. He acknowledged the
Passion to Profit PGP proposal was now at its second stage
and “progressing well”. He said it was pleasing to see five
companies involved as partners. One aspect of P2P was
to deliver greater quantities of chilled venison to markets
during the northern autumn, while a separate development
would see venison introduced as a premium branded
product consumed year-round in markets outside Europe.
He said
despite last
year’s severe
drought, New
Zealand’s
problem was
not so much
water shortage
but a lack of
water storage,
citing an NZEI
report that
Swannies and gumboots were the order of the night
calculated a $4
billion boost to
agricultural production if the area irrigated grew by 425,000
hectares. He said water storage projects had environmental
benefits by taking the pressure off groundwater and
allowing increased summer river flows.
Maintaining the overall structure and confidence of the red
meat sector was important. Sector reform was “not a simple
fix”.
“I don’t want to see New Zealand turned into one big dairy
farm,” he said. Having all the players in the red meat sector
around the table with the government was a key benefit of
the $64 million red meat PGP, which was hoped to generate
an additional $880 million farm revenue each year by 2025.
Environmental protection
was the flipside of this. The
Land and Water Forum has
directed regional councils and
communities to set standards
for water quality and quantity,
but hundreds of millions were
nonetheless being invested in
cleaning up waterways.
Country singer, Jody Direen,
provided the perfect
entertainment for the grass
roots theme.
One of the council’s first targets would be a code of practice
around aerial-assisted recreational shooting and hazing.
The council would also advise the Minister of Conservation
on hunting issues, provide information and safety advice,
and conduct game animal research.
In conclusion he said animal welfare is vital to $20 billion
of exports and the Animal Welfare Act is currently under
review. “The Act isn’t broken but it needs strengthening. As
it stands our codes of welfare have no teeth.”
Deer Industry Award
Sponsored by NZX Agri and Porter Holdings, the award was
announced this year by judges John Somerville and former
DINZ CEO, Mark O’Connor. (Don Bennett was also on the
panel.)
Somerville said all three nominees were all outstanding
candidates.
“This year’s winner is an example of selfless service and
contribution to the deer industry. He’s been involved in the
industry since the late 1970s and has spent 41 years on the
same property, managing it for 33 years.”
The winner’s long list of achievements included
contributions to the DeerQA programme, working
on evaluation of Tb blood testing, early work on deer
recording and tagging, development of velvet antler
grading standards, a Cervena Ambassador, serving on the
National Velvet Standards Body, chairing regional Tb Free
committees, serving on an Animal Health Board–DFA Tb
working group, membership of the DEERSelect steering
committee and the Productivity Leadership Group,
involvement in the Deer Progeny Test programme, hosting
numerous field days and international visitors and recently
being elected to the Selection and Appointments Panel.
It was a mark of the humility of this year’s winner, Paddy
Boyd, that most of the audience had cottoned on to his
identity during the citation, well before he had. He was
genuinely moved by the award and received a prolonged
standing ovation.
Deer Industry Award
winner, Paddy Boyd,
(right) with wife
Barbara and Primary
Industries Minister,
Nathan Guy.
Guy said the new Game
Animal Council had just been
established to give hunters
of deer, tahr, chamois and
pigs an active voice in their
management. The importance
of recreational and economic
hunting would be acknowledged.
continued on page 22
Talk to us about identifying
your farm’s soil needs
www.ballance.co.nz • 0800 222 090
Issue No 66 • June/July 2014
21
deer industry conference
Awards night: continued from page 21
Mark O’Connor said that as well as the sheer quantity of
the work he’d done, Paddy was being acknowledged for
the quality of his contribution, his skills and generosity.
He had helped establish an emerging industry with robust
standards, helped come up with practical, effective ways to
fight Tb and protect the welfare of stags during velvetting
and, more recently, contributed in the quest to improve
deer farming productivity.
2nd place and winner of $150: Wayne & Maggie Williams
with “It’s hard to live in a place like this, but someone has to
do it”
“You’ve made a real difference to our industry and you’ve
done so with great humility. You do the right things for the
right reasons.”
Mark paid a special tribute to the Klisser family (owners
of Haldon Station) for their support of Paddy in all he had
done, and to Barbara Boyd for her support.
“It’s pretty easy to do what you love and I love this industry,”
Paddy said.
Bayer New Zealand Deer Industry Photo
Awards 2014
Once again we received a great bunch of entries this year,
with 44 individual photographs entered by 13 different
photographers. Most of this year’s entrants were new to the
competition and did themselves proud.
The Judges this year were Phil Stewart (Deer Industry News)
and Amy Wills (DINZ). They commented that they were
delighted to see some really imaginative photos, many to a
very high technical standard. Many entrants made a good
effort to show deer off in a stunning environment and also
nice interactions with people – as last year’s winner did.
And there were plenty of quirky photos too, showing off the
special nature of deer and the people who farm them.
3rd place and winner of $100: Tony Cochrane with “It’s tag
number 5861 Dad”
It’s a judging cliché but nonetheless true – this year was a
difficult call because of the uniformly high standards of so
many photos. In the end, that special ‘X’ factor separated
out the winners.
And this year for the first time in the history of the
competition, the judges and the “people” agreed on the
winner, who scooped first place and the people’s choice
award.
First place and
winner of $500
cash plus a
framed print of
her entry, and
People’s Choice
Award with
a wine pack
prize:
Angela Blair
with “Mirror
image”
Second place in the People’s Choice award, and receiving a
stag scarf, was Glenys Travers with “You’re starting to piss
me off”
Highly commended and receiving stag scarves or vouchers
were:
Duncan Humm with “Autumn morning chasing grain
trolley”
Angela McIntyre with “Snuggles with mum”
Tony Roberts with “Look Right!” (see back cover)
It was a terrific haul of entries this year and our only regret
is that there are not more prizes to give out. Our special
thanks the Bayer who chose to support our competition for
a second year. We hope to publish more of the entries in
later editions of Deer Industry News.
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NZDFA 39th Annual General Meeting, 20 May
❚❚ by Phil Stewart, Deer Industry News Editor
The AGM moved back to the start of the conference programme this year and ran concurrently with the Next
Generation workshop.
Following the opening formalities, NZDFA Executive
Committee (EC) Chair, Kris Orange, read his report. This,
and the rest of the 2013/14 annual report can be seen online
at www.deernz.org.publications.
In seconding the motion to accept the Chair’s report, Clive
Jermy acknowledged the changing environment and new
challenges for the industry. He reminded the Association
that it was important to keep deer farmers in front of DINZ,
noting the success of the initiatives to run Next Generation
workshops and encourage training to upskill those wanting
to work in the industry. Jermy also said that DFA support for
the Passion to Profit (P2P) project was vital to its success.
Producer Manager, Tony Pearse, reported a flat year
financially. Although the NZDFA had recorded a $4,000
surplus against a budgeted deficit of $8,000, the savings
were windfalls (for example, the lack of a postal ballot and
the move to an electronic annual report). Income from
subscriptions was down on budget and the Association has
stuck to the same budget for 2014/15.
Opinion on the wisdom of raising the subscription was
divided and it will stay the same for now at $97.67 including
GST. A suggestion that owners of larger herds could pay
a bigger DFA subscription than smallholders was not
supported.
One member commented that non-DFA farmers assume
that because they receive Deer Industry News, they must be
members, but this is not correct.
EC Chair, Kris Orange, said the Association was managing
within its tight budget, but that it was restricted in what it
could do.
slaughter policy and market opportunities and reports back
with responses to the NZDFA within six months. This would
include:
• optimum killing times
• weight ranges
• price differential between hinds and stags
• method of payment
• customer choice.”
Moved: Leith Chick, Seconded: Jeffrey Pearse
Rationale
Optimum killing times: The “spring rush” results in many
deer being killed in lean condition and, depending on breed
and gender, 24–40% below their potential. An extra 15–25kg
on the kill sheet would do wonders for the economics of
the breeding hind. Deer do not reach their potential until
January–February. The P2P programme will not alter this.
A larger, better conditioned carcass would also be more
economical to process.
Weight ranges: These have barely changed in 30 years, yet
deer have got bigger. Should the new prime be 60–80 or 90kg?
Cattle and sheep schedules reward weight.
Gender differential: Hinds produce a higher percentage of
prime cuts than stags and remain more tender. Yet they are
discounted, supposedly because they don’t have a pizzle,
although their tails are heavier and worth more. Hinds
should be at least on par with stags.
Method of payment: Most of our processors are cash
strapped. Apart from the chilled spring trade, stock has to
be held. Do we need to “owner’s account” our venison so
processors are not forced to dump it for cash flow?
Customer choice: We have listened to the “customer wants
this” mantra for many years now. It seems our customers
want the whole nine yards from us but will buy anything
that’s cheaper first. The deer industry is shrinking and
will continue to do so. To survive we must optimise every
carcass. Is it time to find new customers who will purchase a
premium animal that has reached its potential?
NZDFA Executive Committee from left: Kris Orange (Chair), John
Somerville, Grant Charteris and David Morgan.
Remits
1.
Waipa Branch
Current slaughter policy and potential opportunities
“That the DFA, in conjunction with DINZ and the venison
processors/exporters, investigates all aspects of the current
This remit prompted a lengthy discussion. Key points to
emerge were:
• This may indicate the need for a single desk model such
as that used by the kiwifruit industry.
• It seems wasteful to put a 10-month red x wapiti cross to
slaughter with a 60kg carcass when it would yield 90kg
12 months later.
• The traditional meat industry model involves trying the
kneecap the opposition. We need all marketers on the
same page and working for the benefit of the producer.
• The contract is between the meat company and their
supplier – DINZ cannot force the companies’ hands,
and likewise NZDFA cannot force DINZ’s hand.
• The Deer Progeny Test is providing answers on
continued on page 24
Issue No 66 • June/July 2014
23
deer industry conference
AGM: continued from page 23
optimum killing times, weight ranges and price
differentials between hinds and stags.
• The objectives of this remit are reflected in the
Cervena® extension strategy, e.g. lengthening the
chilled season and allowing higher carcass weights (up
to 80kg).
The motion was put and CARRIED.
2. NZDFA Branch Chairs
Venison profitability, immediate concerns and initiatives
“That the NZDFA requests that DINZ, as a matter of
urgency, works with the venison processing and marketing
companies, in addition to the new P2P marketing
development, and takes active steps to quantify the progress
made in addressing the current crisis of unsustainably low
venison production returns and its impact on producer
confidence. We ask that the progress be reported to the
NZDFA on a formal three-monthly basis.”
Rationale
NZDFA endorses the P2P and its on-farm and in-market
approaches. We support and acknowledge as a constructive
initiative the work that DINZ and the five venison
processors/exporters have invested in developing (in
principle at this point) a joint market positioning for a
Cervena brand in new markets.
However as deer farmers, in our current reality relative to
profitability, we are concerned that the importance and
immediate urgency of addressing the current low returns for
venison is not fully engaged with by meat companies and
DINZ.
NZDFA believes a collaborative approach to marketing is a
positive step and asks that the group continue to work on
this and investigate further opportunities to extend to further
new markets and in adding value to the whole carcass.
As this develops, however, we believe that a strong
acknowledgement of the risks of current low returns to all
industry participants is now critical. There must be a resolve
that recognises this as an immediate priority requiring
further urgent attention and regular direct communication,
vital to arrest the risk of further decline in deer numbers, but
more critically in deer farming participants.
Moved: Richard Currie, Otago Seconded: Mike Henriksen,
Canterbury
Endorsed by the North Island and South Island Branch
chairmen’s meetings, 8 and 9 May 2014
Discussion on this remit was brief. The main concern from
the floor was that the industry will have lost too many
farmers by the time market conditions improve.
The motion was put and CARRIED.
Testing Areas (annual basis). In some areas, in spite of Tb
disease and infected animals in deer herds never being
diagnosed, farmers continue to pay all of the initial skin
test herd costs. Because of the assumed “risk” and Tb Free
New Zealand’s definition of these zones, they do not qualify
for the industry-based herd test recovery programme in
alternate years that has been established since 1999. A large
number of these herds too, because of their current trading
policy or farming circumstance, cannot meet the criteria for
the three-year closed herds exemption from annual testing.
While this remit recognises the importance of the current
Tb Free New Zealand programme, the Branch believes that
a significant cost burden for the greater good is being borne
by a diminishing number of deer farmers and it is high time
that a fair and equitable funding model be developed for all
deer farmers, similar to that used for the beef and dairy cattle
sectors.
Moved: Richard Lawson, Hawke’s Bay
Seconded: Grant Charteris, Hawke’s Bay
There was not great support for this remit from the floor.
Stuart Hutchings, Group Manager, Programme Design and
Farm Operations at OSPRI, said the Tb Free New Zealand
policy was to align special testing areas with vector risk
areas, in support of the Tb eradication strategy. “Special
testing areas remain within vector risk areas, so there is still
a risk associated with those. Once Tb has been eradicated in
those areas they will then move to a biennial and eventually
triennial testing programme.” He said there was a risk of
complacency within vector risk areas and that testing policies
needed to stay as they are.
John Somerville (Executive Committee) said the industry
had been dealing with Tb very efficiently and moving to a
generalised levy could be expensive for deer farmers.
The motion was put and LOST on a show of hands.
4. Canterbury Branch AGM remit
Venison killing charges
“NZDFA seeks clarification from exporters of the meat
inspection process charges and endeavours to negotiate a
meaningful reduction.”
Moved: Clive Jermy, Seconded: Warwick Wright
The motion was put and CARRIED.
5. Late remit
Cervena ownership and marketing
“That the NZDFA requests that DINZ seeks a review into the
ownership structure of the Cervena appellation/brand. That
as part of this review, DINZ engages with producers to seek
their views as to the future ownership structure of Cervena®
and its place in the market.”
Late remits
Moved: Corey Busch, Seconded: Mike Henriksen
3.
Rationale
Hawke’s Bay, AGM 14 May 2014
Investigation of an equitable Tb testing funding model.
“That the NZDFA investigates the revoking of the user pays
process for Tb testing and be funded by levies similar to the
cattle industry.”
Discussion
Currently a significant number of deer farmers are compelled
to whole-herd test annually, related to their inclusion
within Tb risk zones as Movement Control Areas or Special
24
While we endorse the P2P project and its in-market
approaches, we are concerned for the future of the Cervena
brand. Cervena is the brand to drive differentiation in the
market place and create the opportunity to break away from
the game meat market. This in turn should create a more
even year-round demand allowing for a flatter schedule,
which we believe would go some way toward resolving the
issue of animals being sent for slaughter before they have
continued on page 25
Deer Industry News
deer industry conference
Mount Hutt Station field day
❚❚ by Phil Stewart, Deer Industry News Editor
About 120 people braved a bitterly cold wind to attend a field day at the historic Mount Hutt Station and
hosted by the Hood family. MC for the day was former All Black Richard Loe, host of popular radio farming show,
On the Field.
The station’s farming history began in the 1850s and has
incorporated an eclectic range of livestock over the years:
sheep, beef and dairy cattle, pigs and draft horses. Today,
deer dominate.
the Rakaia reds that originated in Stoke Park, England.
The current herd comprises 2,500 mixed age hinds wintered
in calf, 1,100 R1 hinds, 1,100 R1 stags, 500 R2 stags and
1,500 R3 and mixed age stags. The Hoods also run a small
The 2,940 hectare station has 1,800 effective hectares, of
which 1,600 hectares is deer fenced. About 740 hectares of
this is in paddocks, with a further 860 hectares in oversown
hill blocks. The altitude ranges from 450 metres up to 1,900,
with most of the fenced area below 800 metres.
The Hood brothers, Keith and Doug, bought the then 8,000
hectare Mount Hutt Station in 1978. It was then running
7,000 sheep and more than 500 cattle, but the Hoods started
introducing deer that year with the purchase of 36 hinds
from Erewhon Station. The herd was then built up based on
Yearling hinds and spikers at Mount Hutt Station.
continued on page 26
AGM: continued from page 24
reached their true potential. We should never allow our
products to be commodity traded or repackaged; this could
be achieved if producers took ownership of the brand and
marketing.
It was noted by Cervena trustee Mark Hawkins that changes
around Cervena are being driven by licensees, rather than
the trustees (appointed by NZDFA). The trust is owned
50:50 by venison producers and the licensees. The trust was
established as a temporary measure to shepherd Cervena
through to independent ownership, but still remains in
place 15 years later. James Guild said the rights of licensees
shouldn’t be undermined, but it was time for farmers to take
control of Cervena. Glenn Tyrrell, formerly of Silver Fern
Farms, said the current joint initiative by five licensees to
extend Cervena into Europe under a common brand could
be derailed if the ownership of the appellation and licensee
rights were under threat.
The motion was put and CARRIED on a show of hands.
DINZ Board candidates
General business
OSPRI
William McCook, OSPRI Chief Executive, said the merger
of NAIT and the Animal Health Board in July 2013 had not
affected funding. There had been no rationalisation of
frontline staff, although some people had been moved to
co-locate. Nationwide there were now only 72 infected herds
(including just three deer herds, all in the South Island) and
the deployment of resources was changing to match the
distribution of disease. He reminded farmers that NAIT tags
need to be not only purchased and used but also registered.
“We’re seeing a lot of tags coming into the system that haven’t
been registered.”
Stuart Hutchings said that as of this month about 800,000 of
the 2.5 million hectares targeted for Tb eradication over 10
years will already have been cleared of the disease. “That’s
positive for New Zealand and positive for farmers.” He said
NAIT compliance was good for stock being sent to slaughter
or saleyards, but there was plenty of room for improvement
in recording farm-to-farm movements.
Tim Aitken, Grant Cochrane and Clive Jermy, the three
candidates for a single producer-nominated seat on the
DINZ Board, gave short presentations to the meeting. They
will meet with the Selection and Appointments Panel (SAP)
on 18 June and a decision made then. The full SAP comprises
the four-man Executive Committee of NZDFA plus elected
members David Stevens (Chair), Donald Whyte, Paddy Boyd
and Andy Jarden. David Stevens reminded members that
they were entitled to lobby the SAP regarding the choice of
candidate. He extended special thanks to Mark Hawkins, who
had served on the SAP for about 10 years before stepping
down this year.
Meat Industry reform
Issue No 66 • June/July 2014
Jeffery Pearse aired concerns about the structure of the meat
industry, which was showing no sign of changing. He said
the deer industry needed a more formal relationship with
the Meat Industry Excellence (MIE) Group, which is the main
driver of reform.
David Morgan (Executive Committee) said the sheep
industry had been shrinking by 23,000 head a day, while the
deer industry was down 38 percent from its peak and beef
was down 20 percent. John Somerville said representatives
of the MIE Group had been invited to meet with the NZDFA
EC and while they were enthusiastic it was of concern that
they knew very little about the venison industry. Their main
focus was an amalgamation between Alliance Group and
Silver Fern Farms.
25
deer industry conference
Mount Hutt Field day: continued from page 25
herd of Père Davids on behalf of the Fletcher family. It had
crashed to just 12 animals with only one stag but has since
rebuilt to around 60 animals including one white hind –
perhaps the only one of its kind anywhere.
In all there are about 13,270 deer stock units and 1,300 beef
cattle stock units.
There are just four full time staff: Keith Hood and his son
Bruce, plus two single men, with casuals as required.
About 400 yearling hinds are retained each year, and about
400 spikers make it into the velvetting mob. Sire stags are
bred on the property. Bruce Hood said people have urged
them to run a sire stag sale “but there just isn’t time”.
Surplus hinds are sold in calf as breeding stock or dry to the
works.
About 8 tonnes of velvet is harvested annually and per-stag
yields have been increasing. Bruce said the key to each stag
is not what weight they cut per se, but how much they earn.
He said it can be challenging to find time to scrutinise the
records for each stag. “The information is all there. It’s a
matter of knowing how to capture and use it.”
Balancing the velvet production is a focus on efficient hind
and meat production. DNA testing and hind recording has
been introduced and regular weighing is expected to follow
– although time constraints will make that a challenge
(there are more than 20 break shifts a day required in
winter).
About 100 hectares of winter crops are grown each year.
Irrigation of up to 50 hectares is being considered on the
lower country, with continued subdivision further up the
hill, to 6–8 hectare paddocks.
Dairying is part of the station’s history and it was once
home to the largest herd in the South Island. Dairy farms
are lapping at the boundaries and the Hoods haven’t ruled
out conversion on part of the farm, although it’s not in their
immediate plans.
The Rakaia red breeding base has long since been modified
with the introduction of both European and English
genetics. The Hoods are keen to develop a hardy, moderatesized hind in the herd.
Only the yearlings are scanned. Most are mated – run with
the spikers – and they’ve been achieving great results with
around a 90 percent conception rate this year. Overall
fawning percentage (to the stag) is 85–88 percent.
Sponsors
The well-attended field day was supported by Mountain
River Processors, Silver Fern Farms, New Zealand Light
Leathers, Philip Wareing Contractors, PGG Wrightson,
Fogarty Deer and Livestock, Drummond and Etheridge
and Allan Agricultural Consulting.
Bruce Hood talking to attendees during one of the stops.
There is about 100 hectares of winter crop and about 100
hectares of pasture being regrassed each year. Crops include
swedes, kale and oats. About 90–100 tonnes of grain is fed,
mainly to the stags and weaners. Fodder beet has also been
tried with qualified success. Bruce said to be really worth
while it needs to yield at least 20 tonnes/hectare. Weaners
had done okay on it, but they only put up with it for so long,
eventually preferring flowering kale over the beet.
He said they have tried a lot of pasture varieties with
Sampson the best of the ryegrasses and some Timothy and
dogstail added for variety. Chicory hadn’t performed all that
well, but plaintain had been useful.
Field day visitors huddle for warmth in the lee of the buses.
26
Deer Industry News
on farm
Autumn key to finishing targets at Downlands
❚❚ by Mike Bradstock, Deer Industry News writer
Downlands is another Focus Farm success story. The results were plain to see in the statistics presented at the
final field day on 16 April: more, heavier, earlier and more profitably.
It all comes from keeping the main emphasis on finishing
earlier through well-timed feeding, maximum use of fodder
crops, strategic use of supplemental feed, a pasture renewal
programme and a simple but effective animal health plan.
Diversification is provided by dairy grazing, which has
proven an excellent complement to the deer. Together with
a partnership business model that aims at strengthening
relationships with suppliers and buyers, this is proving
a great formula for profitability and success. The results
are clear, with a large increase in farm surplus over the
past three years from $115,000 to an anticipated target of
$157,000 in 2013/14 – and all this has been achieved while
the venison schedule has been falling.
Kris Orange reported a
significant increase in
farm surplus, despite a
falling schedule.
Changes made during the Focus Farm programme at
Downlands include pasture renewal, improved drainage
and stock water supply, which now mean they can more
readily move the dairy heifers around to groom the pastures
for deer. Another change is increased use of winter forage
crops. Dairy grazing is now more confidently integrated
into the whole operation and they feel the farm is getting
closer to realising its full potential. The team feel they’re
getting pasture renewal right but still have lessons to learn
with choosing varieties and pasture mixes. They have
doubled the total area of improved pastures on the farm
from 20 to 40 percent. At the same time they’re reducing
the percentage of browntop pastures through a renewal
programme over several years that enables volunteer
browntop to be continuously sprayed out. Winter and
spring liveweight gains have already been lifted significantly
at Downlands but there is scope to lift autumn liveweight
gains further.
One important change is that they’re getting their weaners
earlier – both from their own breeding property at Dunback
and from Hamish Orbell at Clayton Station. “When we
started seven years ago we were receiving weaners in May,
but we have slowly ratcheted that back so now we get
them by the first or second week of March. It makes a big
difference to realising the potential in those animals,” Kris
Orange said.
As an example, a mob of 330 weaners (average 56kg) arrived
from Clayton a month earlier. “We ran a sample through the
shed on Monday and they averaged 62kg – that’s a couple
of hundred of grams a day so it’s up on last year’s 150 a
day. We’ve managed to avoid growth checks by minimising
stress and focusing on feeding. The paddocks were in
good nick when they arrived and we’ve been giving them
supplementary grain.”
The 250 ha property last year wintered 1,650 weaners. They
focus on maximal weight gain during autumn. Then, over
winter, they make continued weight gains using forage and
supplements. As spring approaches they elevate the growth
rate as early as possible, feeding grain on the shoulders if
necessary. “This means you finish early and don’t have to
worry about having enough feed in summer. In summer
the feed mainly goes to other stock classes, plus the lower
pressure means you can spell paddocks to improve autumn
covers in preparation for the next crop of weaners.”
Although deer are notorious for tailing off after about 10
weeks on beet, the Downlands team have had better results
with improved utilisation over a longer period (see sidebar).
Kris points out how in late August the deer’s biological
clock starts thinking it’s time to start growing more, “but we
haven’t any grass yet as it’s so cold. However, we’re finding
that by having extra fodder beet and keeping them on that
a bit longer we can get more of a buffer of grass ahead.
Then we can start the top mob on grass earlier and use
supplemental grain as well.”
Although the field day was very wet (like the previous 10
days) Downlands had had a pretty good growing season.
Although they were running short of grass at the end of
February, everything had picked up pretty well since, said
farm manager and equity partner Dave France. “The Focus
Farm programme has really made us think more about
getting things set up for this crucial time of year.”
Pasture renewal
During the farm tour Kris pointed out a succession of
paddocks that had been dramatically improved since the
first field day almost three years ago. In most cases they had
recently been mole drained again (last done 40–50 years
ago) and some tile drained, to counteract long-term soil
compaction. Most were ploughed and put into a mixture of
oats and annual ryegrass, then harvested for baleage. “This
will be sprayed out again and put into a permanent pasture.
The idea is to get a couple of sprays to blow out the brown
top, which is very persistent. Otherwise the land can easily
revert back to brown top if the soil is badly pugged or if it is
left too long and the annual runs out.”
Pasture quality is another issue and Focus Farms facilitator
Nicky Hyslop reminded farmers of the importance of
having hard facts about the quality of their feed. “This is a
key driver of liveweight gains and profitability. In terms of
continued on page 28
Issue No 66 • June/July 2014
27
on farm
Downlands: continued from page 27
megajoules of metabolisable energy per kg of dry matter
(DM), there’s a wide range, from 8.5–10.5 for baleage while
good new grass is around 11.7 – that’s a huge difference
every time those animals take a mouthful. There is a
wide variation in protein content too. All this is essential
information for target feed intakes and feed budgeting.”
However, a turnip crop intended as an autumn feed bank
for the dairy stock was a casualty of too much rain on a flat
site. “At least the brown top is just about finished in that
field now and we’ll probably put oats into it next. It’s been
a relatively good autumn so the turnips didn’t matter but if
we’d had a dry season it’d have been different.”
Beet beats kale
Veterinarian Noel Beatson took the opportunity to remind
farmers about tooth wear with fodder beet: “It is important
not to feed it to the stock you want to keep, or you will have
problems later.”
As well as growing winter feed on the lower-lying, stony
ground they have increased the area with plantings on the
heavier soils of the terrace and even heavier soils on the
rolling hills. Kris pointed out several vigorous and leafy
fodder beet paddocks, 33 ha in all, that are budgeted to
produce 20 tonnes/ha. “Some of that land was growing
hardly anything. Now all of a sudden we’ve got another
effective 50 hectares achieved in a couple of years. This is
much better than leasing land off a neighbour or buying
more land.”
Kale is eclipsed by fodder beet, which has much higher
yields.
“Putting more
fodder crops
on the heavier
soils also
means we
are no longer
so reliant
on the more
free-draining
soil where
leaching will
be worse.”
Nicky
presented
two fodder
costing
scenarios
that involved
Kale is eclipsed by beet as a fodder crop.
feeding
baleage or
straw or both as supplements with a crop of beet (1.6 ha) or
kale (3.3 ha) to generate a total of 50t DM. Both cost 12c/kg
DM but the kale option carried a $5,883 opportunity cost as
it required more land. This drove the effective DM cost from
a kale/baleage/straw option up by 50 percent, to 18c/kg.
Nicky also pointed out that beets do better than kale on
drier land: “They need 60mm of moisture, and that can
include moisture already in the soil when sown. That will
get them through most summers when kale can be hit
after making a good start. And beets don’t get brassica
pests.” Other advantages included longer grazeability and
holding its quality as late as October, by which time kale has
become woody and is flowering. However, there were issues
including the need to transition slowly from other feed,
even more so than with brassicas.
In one beet paddock, a very high strike rate of almost 100
percent was achieved with Falga. This was considerably
higher than the 70 percent usual with other varieties and
meant the field needed extra fertiliser. And ironically, the
beet field that received the least attention was doing best of
all, Kris said.
28
Kill profile
They have moved their average kill date forward to 10
January, a great improvement considering that last year they
still had 800 weaners to finish in the first week of March.
“This improvement has had huge implications for setting
up better for autumn and freeing up feed sooner to realise
other opportunities.”
Breeding programme
Kris explained a divergence from the usual breeding
programme at Downlands this year: “We normally have
an AI programme to breed stag power for Dunback, but
instead this year we bought some pretty clever stags to cut
back on cost and make things simpler.” They bought three
stags from Deer Improvement and one from Peel Forest that
all had a BV of at least 20. Two of them were put out here for
the 100-hind nucleus herd while the other went to Dunback
for the R2s. Progeny from these will feed into the sire stag
group.
Dairy grazing
Downlands also runs 250 R1 dairy grazers from end of
November to May and then continues to graze the 250 R2
dairy grazers from May to May. It fits in well with deer, and
the earlier the deer are finished, the better it works. “The
Dairy grazing fits in well with deer at Downlands.
idea is to keep driving the average kill date forward so we
can get in calves in early summer to get another bite of the
cherry as far as income goes. We’re constantly pushing to
get more into the chilled market and doing a reasonable job
of it but could probably still do better,” Dave said.
Nicky complimented Kris and Dave for showing the way to
profitability with deer in competition with sheep, beef and
dairy: “If you’re doing a really good job of finishing weaners
Deer Industry News
on farm
they will financially outcompete other livestock finishing
enterprises. But it’s not necessarily about one versus the
other and that’s where Downlands sits now. Dairy and
venison is a good mix – they don’t compete and they work
well together.
SWOT analysis: Three years on
Visitors discussed the SWOT analysis done nearly three
years ago at the first field day. All the issues identified then
had been addressed or were being dealt with. Further issues
included:
• building processor–breeder relationships
• using more Eastern genetics to maximise weaner
growth
• better use of EID to record growth
• lifting weaner liveweight gains with more specialist
and herb pastures and forage crops
• making more silage for buffer in good seasons
• fencing off waterways.
Weaknesses remained, over which they have no control,
such as vulnerability to venison schedule swings (though
this is partly offset by dairy grazing). The lack of velvet and
consequent reliance on venison could be seen as a strength
as much as a weakness.
Economic analysis
An economic analysis showed that stock units had
remained constant, but productivity was up (total
production and production per hectare). “Expenditure is
up a little but not out of hand. They have stepped up their
development costs but are making sure they see the results
as they go, and this is helping the bottom line,” Nicky said.
Shorter breaks key to better
performance on beet?
Sixty days is pretty much the recognised limit for feeding
fodder beet to deer – but at Downlands last winter they
continued to make good liveweight gains well beyond this
time. Kris has a hunch that this pleasing outcome may be
result from feeding small, more frequent breaks.
It’s only a theory at this stage but two winters ago they
changed from weekly shifts when it was very wet in late
August, because they were wasting so much. “The animals
did better on shorter breaks so last year we started doing
daily or two-daily shifts, just a couple of paces at a time.
Another false spring meant everything just stopped growing
for three weeks so we had to hold the deer on the beet. To
our surprise they did fine – ate it all up and kept on growing
well.
“With fodder beet, the deer eat leaf in preference to bulb
because it’s more nutritious. They tend to eat all the leaves
off all the bulbs first. I think with short breaks all the leaf
is quickly gone and then they’re forced to eat more of the
bulb. This should give them a better, more balanced diet –
and give us better utilisation of the whole plant.”
Shifting breaks on fodder beet is a hell of a lot easier than
on kale, Kris added.
Coming Events
There has been a 97 percent lift in EBIT over four years
and there is still more potential. Nicky explained how
Downlands could achieve 250g/d growth rates in autumn,
100 in winter (not overly ambitious), and 300 in spring.
Summer is not so important because most of the stock are
gone. As an example of productivity gains, Nicky said it
should be possible to lift average post weaning growth rates
by a further 60g/d, “which is not stunning in itself but you
have two options this way: you can leave the carcass weight
around 51–53kg and kill earlier, or you can use the extra
time to put more weight on”. She gave an example where
the kill date remained the same but there was 9kg more
liveweight per head. On this farm it equated to $93,600
more income or $380/ha. “We don’t have control over the
schedule but can control productivity. On this farm it’s
about productivity, feed quality and animal health.”
Nicky also demonstrated the DeerFEED app for
determining feed requirements in terms of kg DM/day
required for specific aims. It was noted that you don’t
have to be within cellphone coverage for this app to work,
because it is stand-alone (see www.deerfeed.co.nz).
Kris Orange and Hamish Orbell led a discussion on
breeder–finisher relationships in which they stressed the
need for maximum engagement between parties to ensure
outcomes that worked for both. There was also a
presentation from Terry O’Connell (Alliance Group),
followed by the customary barbecue and refreshments.
Issue No 66 • June/July 2014
Date
Event
Location
23 June 2014
Rotorua & BOP Combined
SGM
SGM & AGM. Monday 23
June, 6.30pm, at 1125 Arawa
Street, Rotorua. (BOPRC
office)
Contact John Paterson
on 027 249 6114 or email
[email protected]
24 June 2014
Central Regions field day
Where: Andrew and Pam
Peters, Pukenaua Road,
Taihape.
When: Tuesday 24
June at 10am.
Contact: Pania
Flint at
[email protected]
28 June 2014
Central Regions branch
dinner
Where: Western House
Function Centre.
When:
Saturday 28 June at
6pm.
Contact: Craig Hocken
on 06 328 7702
4 July 2014
Tower Farms 24th annual
hind sale
When: 1.00pm
28 August 2014
South Canterbury Focus Farm
event
Where: Mount Peel
Station.
When: Thursday
28 August 2014, starting
at 12.30pm.
Contact: Nicky
Hyslop, 027 474 4149
25 November 2014
South Canterbury Focus Farm
event
Where: Clayton Station
(final field day for Clayton
Station).
When: Tuesday
25 November 2014 at
12.30pm.
Further event
details to follow closer to
the time.
29
on farm
Profile: Sally Stevens
Maths background useful in deer business
❚ by Mike Bradstock, Deer Industry News writer
Sally Stevens never imagined she’d ever be a farmer, let alone a partner in one of the most innovative and
successful deer farming operations around.
Sally was raised in a country town, Geraldine, but didn’t
come from a farming background. She and Ross dated for
a while at school but then went their separate ways until
they met up again in the 1990s. Meanwhile Sally had done
a degree in maths and been a secondary school teacher,
working in both New Zealand and the United Kingdom for
some years. By that time Ross had a mixed cropping, sheep
and beef farm near Geraldine.
“Once we were together on the farm I decided that since
I was there I might as well live the life, so I learned to ride
a horse and got Ross back into horses as well. We did a lot
of cutting, a kind of cowboy horse sport. This led us to an
interest in quarter horses, which have been a big passion for
us both ever since. It got us off the farm at the weekends so
we worked hard during the week but with busy weeks and
weekends it wasn’t a restful lifestyle. It wasn’t until later,
when we got into the Focus Farm programme (and Ross
got a jet boat) that we changed track and started spending
pretty much all our time on the land (or water!).
“I had no farming experience and learned stock work
entirely from Ross, who’s a really good stockman, Andy
Macfarlane our farm adviser, and later Nicky Hyslop during
the Focus Farm programme. Along with the learning I have
progressively become fully involved in the farm and in the
decision making.
more division of roles over winter – for example Ross will
generally be feeding out while I’m shifting the breaks.”
From Coleridge Downs their next move, in 1998, was to
their present location at Whiterock Station, then a sheep
and beef operation, which they managed for four years
while it was on the market. Ross and Sally could see its
potential as a deer farm, but the price was beyond them.
Enter Bob and Mary Sierra, an American couple with whom
they clicked.
“Bob wasn’t a farmer; he’s a property developer, but he
would never go into anything that wasn’t going to work
financially. He said he would be interested in buying
Whiterock, but only if we stayed on to run it. In 2002 we
came to an arrangement – the Sierras bought the land and
we entered into shared ownership of the business that
farms it.”
Development was funded out of a combination of set-up
capital and ongoing income and the deer fencing was
carried out in stages while gradually they phased out the
sheep.
ns Far
ilki Ltd min
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“Ross always had a hankering to farm in the hills and
after selling the farm we moved to Coleridge Downs for
a while and this was the introduction to deer for us both.
Right from the outset we both loved working with them
and found that we were a good team. We still do pretty
much all the shed and stockyard work together but there’s
superior
red deer
Venison
& Antlers
For any enquiries contact
Mike Wilkins
027 249 9317
Email. [email protected]
Pauline Pattullo
027 249 9309
Email. [email protected]
or contact your local specialist Deer Livestock Agent
w w w. w ilk insfar ming.co.n z
30
Sally and Ross Stevens
Deer Industry News
on farm
“Like most women on farms I do end up doing the office
work – accounts, budgets and so on. I fit this around
the farm work, which comes first, and have developed
spreadsheets for a range of purposes. I’m regularly plugging
in figures to test ‘what if’ scenarios and we work closely
to a budget, which is a living document and subject to
constant revision and updating as circumstances change.
It’s particularly important to be professional like this when
you’re in a partnership so you know exactly where you are
financially at any time.”
make that break. Generally we found the financials agreed
with our gut feelings.”
Making the decisions involves, above all, “a lot of talking
about things”, Sally says. “After a lot of discussion, Ross and
I decided we really wanted to concentrate on deer and to
see if we could finish our own stock as well.”
Sally has some concerns about the future of deer farming:
“A lot of young people are afraid of deer, which is pretty
ironic when deer are the ultimate prey animal and we’re
supposed to be the top of the food chain. There is a definite
shortage of young people wanting to work with deer; a lot
of young shepherds just aren’t interested, and the industry
needs to do something about that.”
Five years later, as the Focus Farm programme
demonstrated, Whiterock’s greatest achievement has been
to show the way towards combining breeding and finishing
on a hill country property. But Sally is rather modest about
this achievement: “Weaners are not hard to winter and this
is much more the natural environment for them than it is
for sheep.
“With the deer, we make it happen by targeting autumn
growth and recognising that hybrids can put on significant
winter growth, so we target that too. Now we can send
animals with a 60kg carcass weight to the works as early
as September if required, so we are definitely targeting the
chilled market, clearing stock well before Christmas and not
doing any autumn finishing.”
Sally’s background in maths and statistics has still come
in handy. “It started when Ross said it would be great to
have a spreadsheet to predict our kill profile.” This task has
become much easier with modern EID equipment and she
manages the spring weighing and drafting on her own, as
Ross is very busy with the spring agricultural programme at
the time. As well as drafting off early animals that are ready
for the works, she develops weight profiles of all groups
to predict what will be ready at two-week intervals and
advise the stock agent of numbers in advance. “I’ve been
doing this for a number of years now and have become
pretty accurate with these predictions. It’s very satisfying
for us both. Frankly, if you don’t use your EID capability
like this, you’re not making the most of a system that you
have to have anyway. We’ve always tagged and weighed
monitor groups of 30 fawns per gender/breed type. This
gives us a good representative sample from which to draw
conclusions about each mob, from weaning to slaughter.
The Focus Farm experience really taught us the value of
monitoring and we’ve advocated it since.”
There have been a lot of other lessons along the way. “Like
last autumn we were worried by the low growth rates in
the dry and then the terrible June/July snow, which was
the coldest we’d ever known. We thought we couldn’t reach
our targets in time, but after the thaw the rest of the winter
was quite mild. We got good growth so that by spring things
were almost back to normal. Knowing things like this gives
you greater confidence.
“The Focus Farm also forced us to sit down once a month
with Nicky [Hyslop] to evaluate and really focus on the
business. When we wanted to get rid of the last sheep Nicky
ran a Farmax® analysis and it gave us the confidence to
Issue No 66 • June/July 2014
Sally reckons deer have “probably been the salvation of
Whiterock and made it the success story it is”. Although
she and Ross are disappointed with venison prices at
present, the farm is still profitable because “the deer fit the
environment and we can finish our weaners, not just sell
them as stores. But you still do need to get everything right
– reproductive performance, animal health and feeding. We
have a diverse range of crops to be sure of it.”
Succession isn’t an issue for Ross and Sally, as they don’t
have children. “But we are very conscious of the future for
both ourselves and the land. Like all farmers we hope to
pass on the land in better condition than we found it. We
have a shared vision to farm sustainably and take soil tests
before applying fertiliser so we know what’s required.”
Sally is forthright in her opinions and frequently speaks
up at Focus Farm events meetings. A pet issue with her
is the use of palm kernel expeller (PKE) in the industry.
“Ross and I won’t use it on principle and we’d like to see
the whole industry close ranks on this one. It’s not only
about protecting rain forests and the orang-utans but also
the biosecurity risk, which is understated. If we’re trying
to promote an image of sustainability and environmental
responsibility it makes no sense to use PKE just to squeeze a
few more cents of profit. It’s just a matter of time before this
will become an issue with our overseas buyers.”
Sally has made the transition to being a farmer and is more
than comfortable with it. Doing more teaching is not on the
radar – and anyway, the nearest school is too far. “But I still
do some maths tuition in the neighbourhood and have even
been known to do a bit of tutoring over the phone to
nephews and nieces as far afield as Auckland and even
Australia…”
DINZ Board appointments
Colin Stevenson, who represents the velvet and co-product
sector, has been re-elected to his position on the Deer
Industry New Zealand Board. The unsuccessful candidates
were Tony Cochrane and Barry Cuttance. DINZ reports that
there was a high voter turnout and support shown for each
candidate, indicating that each is held in high regard by
their peers in the sector.
Venison processor/exporter representative on the DINZ
Board, Danny Hailes, has been reapppointed to the Board
unopposed.
Announcement of the outcome of the Selection and
Appointments Panel deliberations to select a producer
representative was too late for our publishing deadline but
the results will be available on www.deernz.org and to
NZDFA members through Stagline-online.
31
on farm
Deer farmers safeguard New Zealand’s biosecurity
❚❚ by Dr Stu Hutchings, Group Manager, Programme Design and Farm Operations, OSPRI New Zealand
Strong start with NAIT
Deer farmers have made a strong start with NAIT. Since
deer joined the scheme on 1 March 2013, more than 2,000
deer farmers have registered with NAIT as a person in
charge of animals (PICA). This is almost the same number
as there are deer herds registered with TBfree New Zealand.
At an industry level, many deer farmers have capitalised
on the use of RFID tags for productivity gains and on-farm
management, turning a mandatory requirement to
their advantage. Once you have tagged your animals it
is important to register the tags in the NAIT database.
Registration links each tag to an individual animal, so it can
be traced throughout its lifetime. This is vital for biosecurity
and disease management purposes, such as tracing the
origin of TB infection in a herd. No tag registration means
no lifetime traceability.
Attending the deer industry conference recently was a
great opportunity to talk to farmers and listen to their
feedback about the NAIT and TBfree New Zealand schemes.
We understand that loss of NAIT tags during transit to
processing plants and the $13 Impractical-to-Tag levy
being charged for animals that the farmer believes to have
been tagged is a concern for deer farmers. At the industry’s
request, NAIT is investigating the possibility of allowing
an exemption for a small number of untagged deer. This
request must be balanced with the need to maintain high
quality data for the Ministry for Primary Industries and
stakeholders.
NAIT has worked with the deer industry previously to
enable bulk funding of the NAIT levy instead of paying on
a per tag basis and a tagging exemption for fallow deer and
trophy stags. An annual head count of these animals must
still be recorded in your NAIT account.
NAIT records show that 605,000 deer have moved since
March 2013, with more than 423,000 of these to slaughter.
Two percent of deer arriving at processing plants are
without a NAIT tag, less than half the percentage of
untagged cattle at slaughter.
For optimal tag retention and farmer safety, we recommend
that deer are tagged within the first six months of life, with
the tag placed close to the head. Animals that are tagged
as adults just before being moved to slaughter are more
difficult to manage and likely to lose tags in transit due to
irritation. For any questions about NAIT visit
www.nait.co.nz or call 0800 624 843.
Protect your herd against TB infection
As a person in charge of deer, you are responsible for
preparing your herd for a bovine tuberculosis (TB) test. The
frequency of deer testing will depend on TB risk of the area
that you farm in. If you are in a Movement Control Area,
your animals will be tested annually and require a premovement test within 60 days of shifting stock off farm. To
find out the TB testing requirements in your area, visit
www.tbfree.co.nz/dcamap
TBfree New Zealand understands that some deer farmers
can struggle with the need to set up safe testing facilities for
their animals. When you have your deer tested, they must
be adequately restrained, so the tester can safely inject the
tuberculin into the middle of the neck. Your testing facilities
need to be well ventilated, with no dangerous protrusions,
such as hinges, nails and bolts.
It is important not to become complacent about TB because
it is still out there and a herd infection is a financially and
emotionally crippling experience. Infected wild animals
– the main cause of herd TB infections – have been found
across nearly 40 per cent of New Zealand, known as Vector
Risk Areas.
Once TB has been eradicated from these TB risk areas, then
farmers will have their testing requirements reduced.
Deer farmers appear to continue
to be in favour of the user pays
model for TB testing. Unlike cattle,
the deer industry’s decision not to
have a centrally funded TB testing
scheme enables herd owners to be
responsible for organising the TB
testing of their eligible deer. However,
TB testing of deer can only be carried
out by someone with current deer
TB testing accreditation. About 70
farmers are currently using the closed
herd TB test policy.
Contact TBfree New Zealand on 0800
482 4636 for an application form and
to find out what requirements must
be met to enter the policy. These
requirements have been set out by
DINZ and TBfree New Zealand.
Dr Stu Hutchings.
32
Deer Industry News
research
Deer research to remain at Invermay
The deer research effort will remain intact at the Invermay campus as AgResearch commences the design phase of
the $100 million reorganisation around four science and innovation hubs in Hamilton, Palmerston North, Lincoln
and Invermay.
Of significance to the deer industry among AgResearch’s
plans are:
• retaining Invermay and Ballantrae hill country farms
for sheep, beef and deer research
• retaining existing farm systems deer researchers at
Invermay
• strengthening the deer team at Invermay with the
recruitment of an additional scientist
• retaining the 900-strong deer herd at Invermay.
that the plan is now finalised, giving certainty to the staff
who will be affected, and DINZ was satisfied that the final
changes to Future Footprint were significant and a good
outcome for both Invermay and the deer industry.
Geoff Asher, Senior Scientist, Innovative Farm Systems,
says the announcement is great news for the deer team.
“There will still be specialist input into deer projects from
people all around the country, but the core team stays at
Invermay.”
Bell said that DINZ was also supportive of the final detail
announced by AgResearch, which struck a good balance
between central co-location of shared science resources
and regional locations for farm systems scientists.
He said the new scientist position is part of the succession
planning for when he eventually retires, noting that the new
scientist will come with their own specialist skills to add
value to project outputs.
Invermay campus, Otago
The Invermay campus and hill country farm will focus on
environmental and farm systems research relevant to the
Otago/Southland region including dairy, sheep, beef and
deer farm systems research. The University of Otago has
confirmed it will be co-locating between five and 10 of
its Otago genomics staff and sequencing equipment with
AgResearch at the Invermay campus. Both organisations are
also exploring further opportunities to share infrastructure
on a temporary or permanent basis.
DINZ has welcomed AgResearch’s announcements, made
late last month, finalising the shape of its “Future Footprint”
restructuring.
DINZ Deputy Chair, Jerry Bell, said that it is important
“While we accepted the strategic rationale for Future
Footprint, we have been concerned throughout that such
strategic change can be disruptive and can contribute to a
loss of important people. In that context, it’s great to draw a
line under the process.”
“AgResearch gave a commitment from day one to the
provision of on-farm deer research and we are very pleased
that they have chosen to retain the Invermay farm for
this purpose. It is a wonderful facility and will of course
be handily located for the deer farm systems team that
AgResearch has announced will be strengthened and
retained at Invermay.”
Along with other southern farmers, many deer farmers had
expressed concerns about the Future Footprint strategy
and the potential for loss of capability and connection
between researchers and local farmers. Bell said that DINZ
was aware of these concerns but had preferred one-on-one
discussions with AgResearch rather than public debate.
“We have had a good engagement and effective discussions
with AgResearch throughout its consultation. I hope other
deer farmers will agree that the final outcome addresses
many of their concerns about deer capability and
connection with the southern deer farming heartland.
“We wish AgResearch and its staff well in the process to
implement Future Footprint now it has been finalised”.
A multi-generation business
❚❚ by Gerard Hall, Deer Industry News writer
A 40-year involvement with the deer industry is set to continue now the third generation of the Lee Family has
joined the business.
The family involvement in the New Zealand deer industry
started when Michael Lee’s father, Charlie, came to
Christchurch in the early 1970s. His arrival in the country
coincided with deer farming beginning to bloom and he set
up Gamma Natural Products.
Keen to be involved, Michael ventured to New Zealand 10
years later to help in his father’s business. A decade on he
set up his own company, Rokland Corporation Ltd, which,
for the past 20 years, has bought only the highest-quality
velvet for processing at its Christchurch factory.
Now, Michael’s daughter, Susan, is following in her
grandfather’s footsteps.
For the past three years, Susan worked as an office
administrator. Initially, it was only meant to be a temporary
job. However, her love of the deer industry has prompted
a bigger role, including meeting deer farmers and learning
the intricacies of velvet processing.
“Susan is very interested and wants to know more about
what her grandfather and I have been working for during
the past 40 years, so she can carry on with the business,”
Michael Lee says.
continued on page 34
Issue No 66 • June/July 2014
33
on farm
Embryo transfers boost breeding programme
Scanning on 15 May has revealed an excellent 82 percent conception rate among just over 100 recipient hinds at
Landcorp’s Stuart Farm, Te Anau. This is Focus Genetics’s first embryo transfer (ET) programme for deer.
Focus Genetics red deer programme manager Richard Lee
explains that out of 2,000 hinds, 13 superior animals were
selected as donors. These were injected every 12 hours over
three days to induce super ovulation, immediately before
artificial insemination.
The 13 hinds produced 127 transferable embryos between
them. Of these, 102 embryos were transferred to recipients
and the other 25 frozen.
Focus Genetics used semen from its own top sires as well
as from Deer Improvement Ltd to ensure the best available
stags were being used.
The company’s red deer breeding programme is run on
Stuart Farm and farm manager Luke Wright is buoyed by
the early success of the ET programme.
“ET is new for us and is going to help us drive production
for farmers all around New Zealand. We aim to have these
superior stag genetics available for the industry in future
years.”
Focus Genetics’s red deer maternal traits breeding
programme focuses on venison quality.
“This is a real point of difference because we are producing
animals with high growth rates,” Wright says. “The ET
programme will help us improve carcass weights and
shorten the time it takes to deliver them.”
the first to CT scan deer to identify superior genetics – a
major point of difference for Focus Genetics.
“Computed tomography (CT) scanning gives us the ability
to analyse meat-to-bone distribution in live animals and
identify key traits without having to slaughter them,” Wright
says.
International embryo transfer expert Mike Bringans
travelled from Canada to help Focus Genetics carry out the
operations at Stuart Farm.
“For the past year I have been doing deer embryo work in
China, Spain, United States, Canada and Mexico. To get
more than 10 good-quality embryos per donor exceeded
our expectations.
“ET is the most powerful tool to advance genetics as long
as the best females have been identified correctly. With
venison traits being selected, a significant genetic jump can
be achieved.”
Luke Wright says good on-farm management is essential for
success. “We are putting a lot of work into these hinds,
making sure they are well fed and managed to ensure they
each put a fawn on the ground.”
He says traits for growth, early fawning, medium hind size
and higher yields of major primal cuts are favoured. “Velvet
production is not a major focus.”’
Wright adds that there is significant economic advantage in
producing fast-growing animals with a better meat-to-bone
ratio.
Stuart Farm’s deer operation includes a 600-hind red stud
herd and a commercial herd of 3,800 red hinds.
As well as the embryo transfer programme, Stuart Farm was
Richard Lee performing an embryo transfer on an anaesthetised hind.
Michael Lee: continued from page 33
The Lee family – Michael, his wife Julie and Susan – were
guests of the New Zealand Elk and Wapiti Society at its
annual awards function earlier this year.
Delighted with the quality of velvet on show at the Wanaka
event, Lee believes events such as these provide a chance
for those in the industry to better and interact.
“Giving and taking information helps everyone know
what the market is like at the moment, where future
opportunities exist. We all gain a better understanding of
how everyone is doing.”
Rokland’s major markets are Korea and China. Its main
product type is processed whole deer velvet, but it also
exports some frozen deer velvet.
Lee says the natural way deer are raised in New Zealand is
one of the industry’s key advantages.
“I know the farmers here try their best and spend a lot
34
of time to raise healthy deer, so they can produce good,
healthy deer velvet. Our clients are attracted to New
Zealand velvet by the farmers’ skills and how well they grow
their velvet. This is why the clients believe New Zealand
velvet is the best in the world.”
Lee says it is important velvet producers maintain closer
connections to the market.
“Even if buyers are not directly purchasing velvet from the
producers, everyone (producers, processors and overseas
buyers) needs to know what is happening in the market.”
The high quality of this season’s velvet is similar to last
season, Lee says, but he is happy that the Super A non
traditional grade (SANT) was introduced this season,
because it makes the grading easier with product like that.
Referring to a prize-winning three-year-old stick at the
Elk/Wapiti competition (which Lee said is “very, very good
Deer Industry News
industry news
Winter is coming, with velvet
❚❚ by Alison Spencer, Deer Industry News writer
Winter is coming, but not as in Game of Thrones. It’s
a new and innovative health bar, incorporating New
Zealand velvet along with gold kiwifruit, blackcurrants
and manuka honey.
The Winter Health Bar is the brainchild of Takapau deer
farmer and Functional Dried Foods (NZ) Ltd director, Carl
Lynch, and has been launched in New Zealand.
The deer industry entrepreneur began working on an
idea that came to him in 2008 to create a product that
incorporated good New Zealand ingredients, was durable,
easy to store, could be used as an emergency food source,
aided sports recovery “and tasted great”, he says.
With Brian Wilkinson, an associate professor in Massey
University’s Institute of Food, Nutrition and Human Health
he worked on the initial blend of ingredients that was a
“good healthy mix of products” including gold kiwifruit,
blackcurrant and manuka honey. The gluten, nut and
egg-free Winter Health Bar evolved through product
development, with the introduction of a dairy-based
protein powder and now with the choice of New Zealand
deer velvet or an antioxidant mixed into the bar. The team
also trialled the inclusion of venison in an early version
of the bar but testing showed it did not appeal to Kiwi
consumers.
“We wanted to use a great blend of New Zealand ingredients
in a simple, nutritious product that could be eaten in one or
two mouthfuls.”
The ideas gelled into a fruit leather: “But we found those
can be tough so we’ve aimed to make it as delicious, soft
and tasty as we could,” says Lynch, adding that eating one
leaves a pleasant aftertaste.
Lynch is protective of his intellectual property. The process
is no longer patented as it was initially, but he says he has
developed more undeclared IP on the production process
since the first application to give the product an edge.
New Zealand trademarks “Nutritionally Beneficious” and
“Winter” have been successfully registered and Palmerston
North-based marketing company Jumprope has been
working on the branding and packaging.
The powdered deer velvet is sourced from Gevir in Takapau.
Deer velvet adds something different to the flavour profile,
he believes, but for the industry he hopes it will draw in new
New Zealand consumers to try other velvet products, such
as capsules. As a potential export product, the traditional
markets of Korea and China are of interest, he says.
“There is the opportunity of the flavour profile being widely
accepted here in New Zealand and leading to the creation
of new export markets.”
A new manufacturing facility, incorporating the quietest
and most efficient machinery he could find, has been
established on the Lynch property to enable high quality
production and to have product ready for winter.
“While small, this still has the capability of producing
around a million units annually at full production,” he says,
adding that there is potential to upgrade as needed.
The set-up cost for Lynch has been “heartache, late hours,
long weekends and working a day job as well as running
the deer,” he says. However, he’s given up the day job and
is now working full-time in the business, with occasional
contract work on the side.
The bars will appeal to a wide range of markets,
including sports performance, emergency food supply,
undernourishment, or dieting Lynch believes.
Eight tasty bars about the size of a
large postage stamp are included
in each velvet-added Winter Senior
8-pillow-box pack, which retails
for $5.80. There are also non-velvet
versions for youngsters at $5.20 and
an original three-pack at $7.50. All
prices exclude freight.
quality”) he emphasises the financial
rewards that quality offers. “For sticks like
that, the clients will purchase it happily at
a high price.”
Though he has confidence in the
industry’s future and New Zealand velvet
enjoys a growing reputation amongst
his customers, Lee is concerned about
the implications of changing land use, –
particularly the growth in dairying – for
the quantities of velvet available in future
years.
“With increasing market demand and the
decreasing quantity of velvet available, the
price could remain strong like it has been
throughout this season.”
Issue No 66 • June/July 2014
While Functional Dried Foods is
aspiring to export eventually, Winter
bars are being launched initially on
the New Zealand market, to validate
the approach taken to date, via an
online sales channel – www.
winterbar.co.nz – advertising on
Facebook and other social media.
Michael Lee and his daughter Susan.
35
“Look right!” by Tony Roberts.
Highly commended entry in the
Bayer New Zealand Deer Industry
Photo Awards 2014.

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60th annual juried fine art show

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Terrence M Loomis (Dr) - Institute for Governance and Policy Studies

Newsletter, Clayton Station - Nov 2014