Irrigation Fund’s first project great news for Hawke’s Bay

This week’s announcement of the first project as part of the Irrigation Acceleration Fund (IAF) is great news for the Hawke’s Bay region.

The go-ahead for the project delivers on the Government’s promise to lift economic growth through efficient use of water storage.

The Government and the Hawke’s Bay Regional Council will jointly fund a $3.3 million feasibility study of the Ruataniwha Water Storage Project.

This project, with its storage dam on the Makaroro River, has the potential to provide security of supply for Hawke’s Bay farmers, improve flows in summer and enhance recreational opportunities.

It stands to unlock enormous productive potential in the region, with the amount of irrigable land likely to increase from 6000ha to around 22,000ha.

I always say that one of our greatest competitive advantages is water. It’s our “liquid gold”. But we haven’t done a good enough job of storing, allocating and utilising this wonderful resource.

Smart irrigation infrastructure development is key to building an innovative competitive and sustainable rural sector.

This announcement is a big step in the right direction.

Wrapping up 2011

2011 has been an eventful and challenging year. The Canterbury earthquakes and more recently the Nelson floods have highlighted a real sense of community pulling together to get through the hard times. As I’ve said before, in the worst times we see the best of New Zealanders – something we should all be proud of.

Farmers have also faced hard times but the sun god’s are shining at the moment. Excellent spring weather has meant a great start to the season for most sheep, beef and dairy farmers with plenty of feed about. This has helped put us on track for record primary exports this year, something all New Zealanders will benefit from.

When I became Agriculture Minister in 2008 my goal was to work with farmers to boost profitability. We’re well on the way with that, and I’m pleased to see renewed confidence across the primary sector.

November’s election result was a strong vote of confidence in a National-led Government. It showed that nearly every second voter backed the Government’s focus on less debt, more jobs and stable economic management.

The focus on building the country’s economy is behind the Government’s decision to bring the primary industries together in a primary sector ‘super Ministry’. The Ministry for Primary Industries – incorporating agriculture, biosecurity, forestry, fishing and aquaculture – makes sense.

I’m delighted to be appointed New Zealand’s first Minister for Primary Industries. I also welcome my colleague Nathan Guy as Associate Minister.

Looking ahead, my focus in 2012 will continue to be water and biosecurity.

Water is one of New Zealand’s greatest competitive advantages, but we are not making the most of it. Developing water storage and irrigation has huge potential to unlock economic growth.

I will also continue to work closely with industry to ensure our biosecurity system works more efficiently.

2012 is going to be another busy year. I wish you all the very best for the festive season.

Irrigation infrastructure investment steps up the pace

The future for New Zealand’s irrigation infrastructure has strengthened with the Irrigation Acceleration Fund now open for business.

Announced as part of Budget 2011, the Irrigation Acceleration Fund provides $35 million over five years to support the development of proposals to the ‘investment ready’ prospectus ready stage.

The development of smart irrigation infrastructure will boost economic development and also contribute to the sustainable growth of our primary sectors.

NZIER research shows the fund could support 340,000ha of new irrigation which could boost exports by $1.4 billion a year by 2018, rising to $4 billion a year by 2026. But this is not about irrigation at all costs.

One of our greatest competitive advantages is water. It’s our “liquid gold”. But to date we have not done a good enough job of storing, allocating and utilising this wonderful resource.

The Irrigation Acceleration Fund provides an opportunity to develop new water infrastructure proposals that promote efficient water use and good environmental management.

Irrigation good practice is essential if we are to protect our vital water resource for tomorrow.

Canterbury Earthquake: One year on...

One year on from the Canterbury earthquakes and few of us can forget the shattering images and the enormous grief suffered by so many people over that time.

As a Christchurch MP, this has been particularly close to home.

In the face of the two major earthquakes and thousands of aftershocks, the province has come a long way since 4 September 2010. There is a lot to do before life is back to normal for many Cantabrians, but real progress is being made.

I was in Auckland when the September quake struck but I got back to Canterbury within hours.  In our rural areas of Selwyn and Banks Peninsula, it was shocking to see historic homes destroyed, grain silos tipped over and milking platforms severely damaged.

But there was more to come in February when so many lives were shattered by the severe quake that struck Christchurch City.

The Government remains totally committed to rebuilding Christchurch and its surrounds.  A year ago I said that the quake showed us that in the worst of times, you see the best of New Zealanders.  The generosity of people pitching in to help has been amazing.

This has been the toughest year for many people, but good progress is being made.

I want to assure you that the Government will continue to support the Christchurch rebuild in every way possible.

A draft Recovery Strategy just released for public consultation sets out a proposed direction and priorities for the recovery of greater Christchurch. I encourage you to have your say on the future of our region by commenting on the Strategy at www.cera.govt.nz.

Sustainability an investment, not a cost

The rising global appetite for sustainable business practices is presenting New Zealand with opportunities that we could only have dreamed of a few years ago.

A recent visit to Italy and the UK showed me that our efforts to capitalise on this are certainly being rewarded.

A key reason for my visit to Italy was to lead the New Zealand delegation to the inaugural Ministerial Meeting of the Global Research Alliance in Rome. 36 member countries have now joined this New Zealand-led initiative to produce more food while reducing global gas emissions.

The Alliance is another example of New Zealand’s reputation for smart thinking and decisive action leading the way.

While in Rome I also led the New Zealand delegation to the 37th meeting of the Food and Agriculture Organisation (FAO).

A visit to Milan gave me the opportunity to visit some modern highly-mechanised fashion mills that are turning out absolute world quality products utilising New Zealand merino.

These visits reinforced that New Zealand exporters have to be at the high-value, top-quality end of production if we are to continue to sell to some of the best in the world.

Before heading home I spent some time in Wales where I met with Prince Charles. We discussed New Zealand’s commitment to the campaign for wool, the Global Research Alliance and sustainability.

All of these meetings reaffirmed for me that New Zealand’s sustainable credentials are continuing to open doors for us.

Global sign-off on GHG research efforts

I have just had the privilege of representing New Zealand at the first Global Research Alliance Ministerial Summit in Rome. My colleague, International Climate Change Negotiations Minister, Tim Groser chaired the inaugural meeting.

More than 30 countries have now officially signed up to the Alliance which is a global effort, initiated by New Zealand, to research ways of producing more food while reducing greenhouse gas emissions.

It's exciting that the work of the Alliance’s Research Groups has already led to a better understanding of agricultural mitigation research efforts in member countries, and to an increase in international co-operation.

During the Ministerial Summit I announced the establishment of a $25 million competitive international fund by the New Zealand Government, to support research on mitigating greenhouse gas emissions from pastoral farming.

We know there is no silver bullet for reducing emissions from livestock. Only by partnering with others around the world can we make the scientific breakthroughs that we need.

Travel to Italy and the UK

I have spent a lot of time in airports over the past two days.

The journey from Christchurch to Rome is a long one but representing New Zealand at the inaugural Global Research Alliance Ministerial Summit is a real privilege.

While in Rome I will also lead the New Zealand delegation to the 37th meeting of the Food and Agriculture Organisation (FAO) where I will deliver New Zealand’s Ministerial Statement and participate in the election of the new Director-General of the FAO.

These are both significant agricultural ministerial meetings, particularly with New Zealand’s leadership role in the Global Research Alliance, and they enable our views on food security and climate change to be heard at an international level.

I will also travel to Milan and London for a range of trade promotion and economic development events focused on green growth, health tech and primary sector exports.

Before heading home I will visit Wales to meet with HRH The Prince of Wales and undertake a number of rural engagements.

This trip provides an opportunity to reinforce our long-standing relationship with Europe, and particularly the UK while promoting the New Zealand brand. I will be sure to update you with any progress and developments made as a result of my trip.

2011 Fieldays helps break barriers to productivity

As the 43rd New Zealand National Agricultural Fieldays drew to a close, it was obvious that the biggest event on our farming calendar had once again been a huge success.

The four-day rural showcase was a triumph for the organisers, with huge numbers going through the gates of Mystery Creek.

The theme of this year’s Fieldays was ‘Breaking Barriers to Productivity’. This is all about coming up with solutions to obstacles that stifle productivity in the primary sector.

This was evident on many of the stands with organisers reporting new products and smart ideas driving record sales for some. It will be interesting to see the final sales results when they come through.

The 2011 Fieldays has been a great opportunity to show how good our primary producers and manufacturers really are. Our farmers and growers are among the world’s most innovative and efficient, our commodity prices are at record levels, and our agribusinesses are on top of their game.

If you wanted to see the engine room of our economy running at full steam, a trip to Fieldays this year would have given you a first-hand look.

Budget 2011 - Building our future

Budget 2011 builds a stronger platform for growth, sets a credible path to Budget surplus and helps lift national savings. It boosts investment in health, education, and infrastructure including irrigation, while also helping to rebuild Christchurch.

It is a responsible and balanced budget for the times. It takes steps to ensure the Government returns to Budget surplus by 2014/15, so we can start repaying debt and contributing to higher national savings.

We have taken decisions to better target spending to those most in need. This will ensure that schemes like Working for Families, KiwiSaver and interest-free student loans remain affordable and sustainable into the future.

As already announced Budget 2011 invests in a fresh water policy package.

This includes an Irrigation Acceleration Fund of $35 million supporting development of irrigation infrastructure proposals.

The Government will also consider in a future Budget investing up to $400 million of equity in water infrastructure schemes.

The package features a Fresh Start for Fresh Water Clean Up Fund to help councils with historic pollution problems – including reprioritised funding of $15 million over two years, and a total clean-up programme commitment of $264.8 million.

You can find out more about Budget 2011 by visiting the Beehive website.

Helping to clean up Hawkes Bay



The saying ‘many hands make light work’ is being put into practice in Hawkes Bay. Around 48 people, many of whom are currently on benefits, will help to clean up parts of the flood damaged region.

Approximately 120 farms in the Wairoa, Hastings, and Central Hawkes Bay have been affected by the heavy rainfall and flooding and urgently need some extra hands to help with the clean up effort.

Having seen the slips and flooding damage first-hand, I understand the scale of the problem for many of these farmers.

I am pleased that we have been able to offer further assistance to those farmers most affected. Myself and Social Development Minister Paula Bennett have approved up to $500,000 which will fund up to 48 jobseekers for 12 weeks work. This is part of Enhanced Taskforce Green which has been activated in response to the severe flooding.

Work can begin within two weeks, much of which will focus on clearing debris from fences and making repairs, as well as removing silt from properties.