Editorial: Dairy Discussed at the Oxford Farming Conference

Higher yielding cows should mean a lower carbon footprint per litre of milk produced, affirming the importance of an efficient and progressive dairy sector. This was revealed by Israeli dairy specialist, Yehuda Sprecher at the Oxford Farming Conference earlier this month.

Cornell University Department of Animal Science found that that the total CO2 equivalent emission per kilo of milk produced in Israel is 80 per cent of the emissions produced by cows in Western Europe and 40 per cent of the emissions of New Zealand cows. It is hoped that this message will relieve concern among environmentalists about the sustainability of farming.

In his talk delivered to the conference at Oxford University, Mr Sprecher also predicted that dairying prospect look better longer term.

The importance of growing opportunities in manure for composting; solar power, genetics, cooperative structures and agro tourism were all predicted by Mr Sprecher to be key elements in the industry's future. Mr Sprecher referred to compost as the new 'black gold' adding that many farmers could receive their pension through installing solar energy systems.

The complex nature of milk as a perishable product was discussed by John Luxton, Chair of Dairy New Zealand. He said that only five to seven per cent of dairy products are traded internationally for reasons relating to the physical properties of milk.

Issues of industry protection and regulation were also explored from a New Zealand perspective by Mr Luxton, the former Minister of Agriculture in New Zealand.

The history of deregulation was discussed. The New Zealand Dairy Board controlled the milk industry through a monopoly until 2001 when it became part of processing giant Fonterra as deregulation occured. Since then competition law has tried to impact on Fonterra who process around 89 per cent of New Zealand's milk.

Mr Luxton has recently observed a wide range of approaches in dairying. Pasture systems are still common but farms are now exploring housed enterprises. He added that flexibility was the key for success amongst the volatile global prices which he said were discussed in depth at the International Dairy Federation Conference last year.

Despite rising production costs, Mr Luxton concluded that New Zealand dairying was in a good position to move forward as political influences have been reduced in the dairy industry. However, he stated the importance of politicians in environmental diplomacy and developing trade access.