11. SHANE ARDERN (National—Taranaki - King Country) Link to this
to the Minister of Agriculture
What recent reports has the Government seen on the meat sector?
Hon DAVID CARTER (Minister of Agriculture) Link to this
Last week I had the pleasure of launching Meat: The Future, a comprehensive meat sector study published by the Ministry of Agriculture and Forestry. This study lays out the challenges and opportunities confronting our $4.6 billion a year meat sector, and maps out the potential shape the sector may take into the future. The report will play a key role in developing a shared vision for New Zealand’s meat sector.
The Government has welcomed the report and the various challenges that it presents. We have made it clear that industry players and farmers need to work together to improve the sector, and that doing nothing is not an option. Very simply, we see this report as a call to action that cannot be ignored. As such, following the launch I convened a meeting of industry leaders to look at ways of progressing reform and to address the issues that currently hinder this important sector.
Hon Jim AndertonIn the recent Ministry of Agriculture and Forestry report on opportunities and challenges for the New Zealand sheep meat and beef sector over the next 10 to 15 years, was the top priority, after “overall farm profitability”, investment in research and development; if so, how was that helped by cutting the $2 billion public and private sector Fast Forward fund and replacing it with a puny $70 million annually appropriated primary production fund?
Research and development was certainly recognised in the meat sector report as absolutely critical, and at the meeting I had later with industry leaders they congratulated this Government on its vision in promoting the primary growth partnership—an initiative that is substantially bigger than the previous Government’s Fast Forward fund.
Change in the meat industry will last only if it is driven from within the sector. It is not the Government’s job to tell the sector what to do. I have very strongly urged industry players and farmers to work together to deliver the higher returns to the sector, and, as I have already said, the status quo is not acceptable. I am now working closely with major players in the sector to discover and establish exactly how the Government can constructively facilitate this change.
Hon Damien O’Connor Link to this
Following the release of the report, does the Government intend to honour the $200 million suspensory loan promised for meat industry reform by the leader of the National Party, John Key, and supported by his finance spokesman, Bill English, in February of last year before the election; or was that just another promise that they had no intention of ever keeping?
I thank that member for his question and take this opportunity to welcome Labour’s fresh blood back to the House. Under no circumstances did this party ever promise a $2 million suspensory loan to the meat sector. However, we are prepared to entertain proposals that are put to us that constructively move the sector forward.
Hon Damien O’Connor Link to this
I seek leave to table a report from the Southland Times dated 15 February 2008, where John Key quickly told Mr English—
Mr SPEAKERIs this a press report from the Southland Times that the member is seeking to table? From when?
Leave is sought to table a Southland Times press report from 15 February 2008. Is there any objection? There is objection.
Has the Minister seen in the Ministry of Agriculture and Forestry report the finding that the No. 1 issue for meat farmers is farm profitability; if so, how is farm profitability helped by the total exposure to overseas-owned banks of $44,000 million, and will he support a select committee inquiry into bank profits in order to hold the banks to account for refusing to lower their interest rates on that debt by anywhere near as much as the official cash rate has dropped?