Waipā District Council chief executive Steph O’Sullivan and mayor Mike Pettit
Stronger sheep and dairy prices, community support and improving market outlooks are helping restore confidence across flood‑hit farming communities, reports senior writer Mary Anne Gill.
Listening to details of the New Zealand-India Free Trade Deal from third left, Waikato chamber chief executive Don Good, his Excellency Dr Madan Mohan Sethi – Indian Consul General, David Hallett, Waipā District Council chief executive Steph O’Sullivan and mayor Mike Pettit, Fieldays chief executive Richard Lindroos and Vangelis Vitalis, Ministry of Foreign Affairs and Trade chief negotiator. Photo: Mary Anne Gill
Improving farmgate prices and the prospect of new export opportunities through a proposed New Zealand-India Free Trade Agreement are giving Waipā farmers renewed confidence after several difficult years, Agriculture minister Todd McClay says.
Speaking to Good Local Media during a recent briefing with Waikato business and farming leaders, McClay said better sheep and dairy returns, combined with access to growing overseas markets, were beginning to lift confidence across rural communities.
“For the first time in a long time, farmers are starting to see the numbers stack up again,” he said.
“They’re paying down debt, investing back into their farms, and thinking about increasing production.”
That improving outlook, however, has come as parts of the district deal with the aftermath of recent flooding, particularly around Te Awamutu and neighbouring areas of Ōtorohanga. While not all farms were affected, McClay acknowledged the weather had delivered another challenge for those already under pressure.
“I absolutely feel for farmers dealing with yet another extreme weather event,” he said, describing farming as one of the most resilient – but also most isolated – professions in the country.
“Farming can be very lonely, even though rural communities are incredibly strong. When it’s wet, when you’re worried about your animals, and you’re dealing with damage day after day, you can feel very alone.”
For many Waipā farmers, the flooding has come on top of several already difficult years marked by low commodity prices, rising compliance costs and uncertainty about land use.
McClay said the government’s focus on resilience goes beyond farm balance sheets to the wellbeing of farming families and rural communities themselves. In last year’s Budget, $4 million was set aside specifically to support community‑led resilience initiatives – programmes designed by farmers, for farmers.
“This isn’t about business resilience – a lot of that already happens,” he said.
“It’s about the resilience of individuals, families and communities.”
Initiatives range from organised activities like “surfing for farmers” to informal gatherings such as “blokes on gateposts”, encouraging farmers to connect, step away from the farm and talk openly.
“If you live in town, you can pop out and see your mates or go for a meal. That’s not always easy in rural New Zealand,” McClay said.
Trade, forestry and agriculture minister Todd McClay talks about the benefits farmers will get from the New Zealand-India Free Trade Agreement. Photo: Mary Anne Gill
“When rural communities are strong, the people in them do well – and when rural New Zealand does well, all of New Zealand does well.”
McClay said rebuilding trust with farmers has also meant reducing unnecessary regulatory costs. He pointed to reforms removing rules that “added cost but didn’t deliver environmental outcomes”, and changes to stop large‑scale full‑farm conversions to forestry.
“That law was backdated, and it’s working,” he said.
“Forward orders for pine seedlings have virtually disappeared. What we’re seeing now is legacy planting from years ago, not new conversions.”
Todd McClay the minister of Trade & Investment, with at left Vangelis Vitalis, Vangelis Vitalis, Ministry of Foreign Affairs and Trade chief negotiator and his Excellency Dr Madan Mohan Sethi, Indian Consul General to New Zealand. Photo: Mary Anne Gill
While recovery from flooding is immediate and physical, McClay said long‑term resilience depends on confidence there will be markets for what farmers produce. That is where improved prices and access to new export markets become critical.
“Our job as a government is to reduce costs and open up markets,” he said.
He said the proposed India–New Zealand Free Trade Agreement could help.
“Lower tariffs mean better prices and that means better returns at the farmgate,” McClay said.
McClay acknowledged the recent floods had been “exceptional” and said agencies were continuing to work through issues around waterways, forestry slash and catchment‑based rules to reduce future risk.
But he remained optimistic.
“Farmers are resilient – they always have been,” he said.
“If we get the rules and the markets right, rural New Zealand will continue to lead this country forward.”
Waipā District Council chief executive Steph O’Sullivan and mayor Mike Pettit at the NZ Indian Free Trade Agreement meeting. Photo: Mary Anne Gill