Agsafe Weekly Rural Report
Finance:. NZ dollar firmed over the week but remains a very weak currency. The Brent Crude has moved above $US90 over the week and is $US94.11 this morning up from last week
Wool: This weeks wool auction saw a lift in the crossbred wool prices and a slight easing in the finer wools.
Beef, Sheep & Venison schedules: The meat schedules remain steady to slightly firmer across all categories. The international demand for red meat is very strong pushing the local prices higher. There are grumbles about the price of mince!!!.
Dairy Prices. The g/DT lifted 2.3% with SMP up 7.6% and WMP up 3% to $US3591/tn. The Pulse Auction had indicated a reasonable increase which flowed through. The lift should put some confidence back into a stronger Farm Gate Milk Price!!.
The cost of supplements for the season is still an unknown. The purchase of maize & grass silage must include the increased cost of fertiliser and fuel and the shipping costs of PKE have also increased. Grain costs will also increase with higher fuel and fertiliser costs. The benefits of the supplements must be carefully analysed to ensure the feeding is profitable.
Quote: “It had long since come to my attention that people of accomplishment rarely sat back and let things happen to them. They went out and happened to things.”
Need Help. If at any time you just want to talk & need someone to talk to, just call - Male Support Services (Waikato) 0800-677-289, or Rural Support Trust 0800-787-245. Crisis TXT – HELP (4357). A shared problem can be a problem solved!!
Jims Rant
The election promises are coming thick and fast and the pollsters are in full swing along with the left-wing media. We hear the right of center seeking sound fiscal management and the left to the very left wanting to tax us all more and they seem to be having a competition to see who can dream up the most ridiculous tax to impose on us. I would have thought that a party seeking power would be looking at ways to reduce the taxation burden on everyone offering a long-term process on how they could earn enough from off-shore royalties and other government imposed levies on things like oil, gas and mining to have us all living a life free from taxation with a minimalist government. A dream that no politician wants to aspire to. I was intrigued during the week when the Labour Party ruled out any additional taxes other than their Capital Gains Tax (CGT) if they were to create a coalition, thus limiting any coalition negotiations with the Maori Party, The Greens and the Opportunities Party as they all have some wacky taxation ideas. The Opportunities Party are keen to tax all residential and commercial landowners 1.75% of the land value annualyl so you would pay $1,750 per $100,000 of land value in taxation annually and on rural land 0.5% being $5,000 per $1,000,000 of land value. The proposal is nuts as any landlord would immediately require the tenants to pay the increase in taxation so their profits are not reduced and farmers cannot afford more costs when operating just above breakeven. It is amazing how the public, 8% of them, have decided that it is a good idea to tax landowners more and have house rentals increased for the most vulnerable. And with regard to Labour’s CGT, I feel I must again restate my understanding of CGT. They are all promoting the CGT which is only an inflation tax as true capital gain is over and above inflation. If all houses increase in value by 10% over a fixed common period there is no gain in capital, you have only maintained your capital against the inflationary movements. Please understand this and challenge all the politicians you can as they don’t seem to understand what they are talking about, I know that Chris Luxon understands it, but allows the left to get away with the rhetoric. We have about 80 days before the election and it is important that we all understand what we are wanting and while no party is perfect, you need to understand the underlying aspirations of each and challenge the stupidity of others at meetings or when they arrive on your doorstep to berate you about their greatness. In spite of their rhetoric the coalition has not done enough to get rid of the Maorification of our country, it has failed to dump Net Zero, and the RMA reforms have not been clearly set out or implemented, but the fiscal management has created a clearer path to economic recovery after a disastrous 6-years of reckless spending.
Some of the other policies of the looney left by the Opportunities Party, & 8% of the population like them!!:
A $370-a-week Citizen’s Income for almost every adult.
Replacing most existing benefits with that payment. Eventually replacing NZ Super with the Citizen’s Income plus a top-up, with wealthier retirees potentially receiving less later.
Compulsory KiwiSaver, eventually requiring 6% from employees and 6% from employers.
New income-tax rates of 28%, 34% and 39%.
Citizens’ assemblies influencing major political decisions.
Greater Treaty-based devolution and autonomy in health and justice.
More te reo Māori teaching and compulsory New Zealand and Treaty history throughout education.
Reversing parts of the present Government’s Treaty and foreshore-and-seabed program.
Greater climate intervention, environmental regulation and public investment.
The problem is that Opportunity’s flagship economic package is already being rejected and their other policies are nuts!!.
Enjoy the Political BS over the next 2-months and challenge the promotors of the idiotic ideologies of some!!