Friday, May 3, 2024

Warning to prevent low feed cover disputes

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Disputes arise every year between sharemilkers and farm owners, but decent planning and communication will usually prevent any problems, says Sam Ebbett.
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Sharemilkers and contract milkers should have a conversation now with their farm owner to head off any potential disputes over low feed covers, Federated Farmers warns. 

National sharefarmer chair Sam Ebbett says extremely dry conditions in many parts of the country have left pasture cover levels low this autumn. 

That will make it very challenging to achieve the end-of-season covers agreed to in most sharemilking and contract milking agreements, he says.  

“Normally a sharemilking and contract milking agreement will include what cover is to be on-farm when you start on June 1, and what the cover should be at the end of the contract on May 31 too. 

“That generally sits somewhere between 2200 and 2400 kg DM/ha average cover.” 

Contracts also state how much supplement in either bulk silage, silage bales, or hay are on-farm when you start and finish the contract, he says. 

Ebbett, who’s also Federated Farmers Taranaki dairy chair, says some people will be really struggling to achieve the agreed-on average feed cover and supplement levels.    

“There’s potential for disputes this year after the dry we’ve had, and that’s probably through no fault of their own either. 

“Many farmers in affected regions are looking at average cover levels of more like 1800 right now.

“It’s not poor management or anything, but just purely a result of challenging weather conditions.

Another complicating factor is that contracts usually include a condition score the cows have to be left in on May 31 as well, he adds. 

Ebbett says most sharemilkers, contract milkers and farm owners will have already taken proactive measures by starting the conversation a few months ago.  

“Ideally, the two parties will be reviewing the farm plan regularly through the season, adjusting it based on what’s happening with things like growth conditions.” 

For those who haven’t yet, now’s the time to come together and agree on a plan to avoid any last-minute surprises for either party, he says. 

“We’re getting late into the season, so you definitely need to have that talk right now. 

“What needs to happen is for both the farm owner and sharefarmer to sit down and work out a plan together as a team for how the farm is going to be managed through to the end of the season.”

Ebbett says the two parties need to focus on what’s best for the farm and the animals. 

“This is about the two farmers being realistic about the problem and making sure the farm’s being run as efficiently as possible, which takes collaboration.

“Work together to mutually agree on what each side can reasonably do with the cards they’ve been dealt.”

Disputes arise every year, but decent planning and communication will usually prevent any problems, Ebbett says. 

“In a normal season where you have your autumn rains and everything’s tickety-boo, it should be easy to meet your target cover levels.  

“But you’d hope in a situation where there’s been a weather-related event, like drought or flood, that everyone is sensible and doing the best they can.” 

Ebbett encourages sharefarmers and contract milkers to finish the season well. 

“Regardless of whether you’re moving to a new farm or not, take a total-farm approach to the feed situation instead of an approach that only considers your own personal business side of the operation. 

“That’ll have far better flow-on results for everyone involved. 

“Help give the next sharefarmer coming on the best start you can. What goes around comes around.” 

Ebbett says Federated Farmers agreements include a clear process for dispute resolution, outlining how parties should bring disputes, how disputes are managed, and the timeframes that need to be adhered to. 

Members also have access to free employment and legal advice through the Federated Farmers 0800 line.

“I strongly encourage anyone who needs some advice to pick up the phone and make use of that free service you get as a member,” Ebbett says. 

Federated Farmers, New Zealand’s leading independent rural advocacy organisation, has established a news and insights partnership with AgriHQ, the country’s leading rural publisher, to give the farmers of New Zealand a more informed, united and stronger voice. Feds news and commentary appears each week in its own section of the Farmers Weekly print edition and online.

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