October 30, 2017 | Author: Anonymous | Category: N/A
meat science, plant pathology and sheep research will be filled. Recruiting in late 2013 and currently provides commun&n...
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DECEMBER 2015
SUSTAINABILITY IRELAND AT THE AGRI-FOOD FOREFRONT
INTERVIEW: FBD GROUP CEO FIONA MULDOON
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www.irishfarmersmonthly.com DECEMBER 2015
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CONTENTS
www.irishfarmersmonthly.com
DECEMBER 2015
SUSTAINABILITY IRELAND AT THE AGRI-FOOD FOREFRONT
Was there a better way? The agricultural year ends with an unseemly controversy in the Irish Farmers’ Association (IFA). The argument as to whether IFA general secretary Pat Smith’s salary and conditions were too generous, or should have been in the public realm, is important. What is even more important, however, is whether the elected IFA leadership, representing 85,000 Irish farmers, is in control of the organisation and fully understands the responsibility it has for properly managing and spending the monies given to it by those members. The entire episode was brought into the public view by former IFA deputy president, Derek Deane. There has been criticism of Derek Deane for the manner in which he pursued his agenda in the media. The overwhelming majority of the IFA’s executive council had agreed on a strategy that would have kept the issues firmly out of the public eye while, presumably, delivering a better-governed and more accountable structure in the IFA, including an objective means of setting salary levels for staff. Whether that could have been achieved without the public purging we have witnessed is a question that will never be answered. The resignation of Eddie Downey from the IFA presidency is not surprising, given the revelations about lack of proper governance in the organisation. Con Lucey’s belated appointment to clear up the sorry mess must come as a relief to most people. He is a man who is properly held in the highest regard by everyone who knows him. How ironic that it was Con Lucey who highlighted many of the matters of concern in the first place. There is a belief that he was disregarded. In his letter of resignation as chairman of the IFA’s audit committee in August 2014, Con warned the IFA president and his senior officers about the extreme need to act on certain governance issues as well as remuneration policy. Nothing tangible was done for 16 months, apart from the establishment of a remuneration committee that had yet to meet and looked far from independent. Now Con Lucey is back in the Farm Centre to clear up the mess and at least attempt to restore credibility to an organisation badly damaged by recent revelations. It has to be hoped that he can achieve success in this regard. Even if there is a complete change of culture within the IFA, it will take some time to restore faith in the organisation, if it can be done at all. The past 60 years have shown the great need for a strong, unified and well resourced farmer representative organisation. While IFA continues to work well as an effective lobbying body, it has clearly lost its way in terms of internal management and control. This is not a failing that can be remedied in a few weeks. Yet the IFA now finds itself thrown into a presidential election at a time of flux and reorganisation. The next president, along with a fresh face in the chief secretarial role, will find that changing a deeply ingrained culture of secrecy and spin is not an easy task. Matt O’Keeffe Editor
INTERVIEW: FBD GROUP CEO FIONA MULDOON
4 8 10 12
Up Front News Business News Cover story
FBD CEO, Fiona Muldoon, speaks to IFM
14 Farmview
A timely warning on the global economy
16 Farmer to Farmer
Sean Lennon on his career with New Holland
59 Management Hints
This month’s hints from Matt Ryan
64 Machinery
The latest machinery news from Noel Dunne
73 74 76 79 80 82
ICMSA Farm Safety Rural Life Competition Motor The Very End
SUSTAINABILITY FOCUS > 20
Interview: Aidan Cotter, Bord Bia
24
Farm sustainability case studies
28
World first for ABP
19
32
Beef and dairy production in focus
34
Ireland’s stake in climate change challenge
40
A practical approach to climate change
44
Ian Johnson’s international agenda
46
Re-appraising agri-food education
52
Interview: Michael Cantwell, Enterprise Ireland
55
In pictures: sustainability conference
57
Note from the Minister for Agriculture
Editor: Matt O’Keeffe In-house Editor: Kennas Fitzsimons Sheep Editor: Gerry Murphy Tillage Editor: Jim O’Mahony Machinery: Noel Dunne Motoring: Bernard Potter Contributor: Bernie Commins Design: Barry Sheehan Production: Ciaran Brougham Martin Whelan Michael Ryan Niall O’Brien Advertising Manager: John Sheehan Senior Advertising Manager: Anna Douglas Advertising Manager: Brian Murphy Accounts: Tricia Murtagh Administration & Subscriptions: Sue Nolan Chief Executive: Rebecca Markey Printing: W&G Baird Publishers: IFP Media Subscription: €40 per annum Irish Farmers Monthly, 31 Deansgrange Road, Blackrock, Co. Dublin. Tel: +353 1 289 3305 • Fax: +353 1 289 6406 e-mail:
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EDITORIAL
DECEMBER 2015
Was there a better way? The agricultural year ends with an unseemly controversy in the Irish Farmers’ Association (IFA). The argument as to whether IFA general secretary Pat Smith’s salary and conditions were too generous, or should have been in the public realm, is important. What is even more important, however, is whether the elected IFA leadership, representing 85,000 Irish farmers, is in control of the organisation and fully understands the responsibility it has for properly managing and spending the monies given to it by those members. The entire episode was brought into the public view by former IFA deputy president, Derek Deane. There has been criticism of Derek Deane for the manner in which he pursued his agenda in the media. The overwhelming majority of the IFA’s executive council had agreed on a strategy that would have kept the issues firmly out of the public eye while, presumably, delivering a better-governed and more accountable structure in the IFA, including an objective means of setting salary levels for staff. Whether that could have been achieved without the public purging we have witnessed is a question that will never be answered. The resignation of Eddie Downey from the IFA presidency is not surprising, given the revelations about lack of proper governance in the organisation. Con Lucey’s belated appointment to clear up the sorry mess must come as a relief to most people. He is a man who is properly held in the highest regard by everyone who knows him. How ironic that it was Con Lucey who highlighted many of the matters of concern in the first place. There is a belief that he was disregarded. In his letter of resignation as chairman of the IFA’s audit committee in August 2014, Con warned the IFA president and his senior officers about the extreme need to act on certain governance issues as well as remuneration policy. Nothing tangible was done for 16 months, apart from the establishment of a remuneration committee that had yet to meet and looked far from independent. Now Con Lucey is back in the Farm Centre to clear up the mess and at least attempt to restore credibility to an organisation badly damaged by recent revelations. It has to be hoped that he can achieve success in this regard. Even if there is a complete change of culture within the IFA, it will take some time to restore faith in the organisation, if it can be done at all. The past 60 years have shown the great need for a strong, unified and well resourced farmer representative organisation. While IFA continues to work well as an effective lobbying body, it has clearly lost its way in terms of internal management and control. This is not a failing that can be remedied in a few weeks. Yet the IFA now finds itself thrown into a presidential election at a time of flux and reorganisation. The next president, along with a fresh face in the chief secretarial role, will find that changing a deeply ingrained culture of secrecy and spin is not an easy task. Matt O’Keeffe Editor
CONTENTS
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4
UPFRONT
DECEMBER 2015
Irish turn out in large numbers at Agritechnica Almost 7,000 Irish farmers, contractors and machinery dealers visited Agritechnica this year, an increase of at least 10 per cent on 2013. The five-day event had over 2,800 stands spread across 27 halls. That’s a lot to see and take in. Agritechnica’s first show at Hanover was 30 years ago. It has now grown into the biggest biennial agricultural machinery event in the world. This year saw a new layout, with tractor manufacturers taking up positions in all four corners of the venue, and the addition of a new hall dedicated solely to AGCO products meant that it was much easier to move from one tractor manufacturer to another. It would be advisable to start planning for Agritechnica 2017 right away!
Goldcrop grower awards Last month, Goldcrop presented its Quality Seed Grower Awards. The company is Ireland’s largest cereal seed assembler and distributor, with 170 seed growers located around the country. Individual category awards are presented for spring barley, winter barley, oats and wheat crops. This year’s overall winners were Brendan and Sheila O’Gorman, who farm 170 acres at Bridgetown, between the villages of Castletownroche and Killavullen, in Cork. The
Bill Callanan promoted to chief inspector Congratulations to Bill Callanan, who was promoted last month to chief inspector (CI) with the Department of Agriculture, Food and the Marine. The role advises on the practice of agriculture and on science and technology related to the agri-food sector. The CI leads the policy and operational activities across a number of areas within the Department, including crops, horticulture, feeding stuffs, pesticides, research, livestock breeding and nitrates. Bill, who is a longstanding member of the Agricultural Science Association (ASA), serving on two occasions on council, is well respected inside and outside the Department. We wish him well in his new role!
limestone land in the Blackwater valley is clearly well suited to grain growing. The winning ‘Tower’ winter barley crop on the O’Gorman farm yielded 4.86 tonnes/acre – that’s a whopping 12 tonnes/hectare! It was harvested at a moisture content of 19.2 per cent and busheled at 66.4kph. Certified seed has been grown continuously on the farm for the past 40 years, firstly by Ned O’Gorman and latterly by his son, Brendan, and wife, Sheila.
Out of touch Interesting piece in the Farming Independent last month on the role – or relevance – of the National Dairy Council (NDC). The dairy promotion agency was established 41 years ago by the Minister for Agriculture as a semi-state body. Its mandate was simple: to maintain and grow the consumption of milk and dairy products. The bottom line is that the NDC has done a magnificent job in raising awareness of the nutritional value of dairy products. The support from the EU enabled the organisation to fund a programme of activity to increase and maintain dairy consumption of milk, cheese and butter. The work they are doing at school level is very worthwhile, working with dairy nutritionists and school programmes throughout the country. The term ‘skimming’ used in the Farming Indo opinion piece last month simply does not apply to the NDC. While farmer levies, and how they are spent, are very relevant and topical at the moment, the levy payment to the NDC is good value for money.
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6
UPFRONT
DECEMBER 2015
Teagasc achieves key goals PR change at the ASA Congratulations to Gemma Smyth, who takes over the Agricultural Science Association (ASA) PR account. Gemma has extensive experience, having worked as an account director for FTI Consulting. She has advised on, and delivered strategic communications for, some of Ireland’s leading organisations and brands over the past 15 years. She set up her own communications business in late 2013 and currently provides communications support to organisations in a number of sectors, including food and drinks, not-for-profit and a range of SMEs, including start-ups. Gemma also offers PR training workshops for small businesses wishing to manage their own communications activity. She takes over from Michael Miley, who was the public face of the ASA for the past 20 years, having served as ASA president and on the ASA council. Michael’s relationship with the media is exceptional, and his work on the commercial side of the organisation enabled the ASA to grow its conference, training and membership. He was awarded the ASA Distinguished Service Award in 2014. ‘Miley’ will continue to work with his PR company, PSG-plus, and manage his client portfolio of MSD, Volac Feeds and the Whelehan Group. The ASA has been one of the beacons of light over the past decade, with membership levels at 1,600. This year, its annual conference attracted over 900 delegates. Gemma Smyth will work closely with new ASA president, Neil Keane, Vice President Mary Delaney and general manager, Rhoda Bermingham, in developing a strategy for the future.
Speaking at the launch of Teagasc’s annual report, director Gerry Boyle said that global developments are increasingly influencing farmgate prices, with large fluctuations now becoming one of the biggest challenges for farmers and the agricultural sector. The report is an impressive document, with total transparency! 2014 was a good year for most farmers, with average farm income increasing by 6 per cent to €26,974, as measured by the Teagasc National Farm Survey. The report is very comprehensive, setting out what was achieved during 2014 out of a budget of €162.93m. Teagasc continued to invest in its facilities, as well as managing to sell a number of properties and re-invest the profits back into the organisation. Education is very much part of its brief and it invested €2.5m in a new teaching and learning facility at the Teagasc College of Amenity Horticulture, National Botanic Gardens. Last year also saw over 2,000 young learners enrol in agricultural college. Teagasc received 1,500 applications for the green cert in 2014, which was three times higher than in previous years. The loss of over 500 staff over the past seven years has reduced the workforce to 1,100. A lifting of the ban on recruitment was welcomed by Teagasc chairman, Dr Noel Cawley. He confirmed that Teagasc will recruit for new posts and replace staff who have retired. The organisation will immediately fill strategic posts in advisory, education, research and operations. Twentytwo front-line advisers will be recruited, bringing the total number of advisers to 234. Key vacancies in animal bioscience, dairy nutrition, soil drainage, dairy science, meat science, plant pathology and sheep research will be filled. Recruiting key staff will ultimately benefit farmers and agribusiness, as well as helping Teagasc to suport the expansion targets set out in FoodWise 2025.
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8
NEWS
DECEMBER 2015
National awards for Corlismore Hereford herd The McKiernan family’s Corlismore Hereford herd was a major winner at the Irish Hereford National Calf Show in the GVM Show Arena, Tullamore, in November. The Corlismore, Co Cavan, herd claimed the supreme male and female champion awards at the national event. Corlismorepoll 1 Lad 794 (pictured, with Gary McKiernan) was named Supreme Male Champion, while Corlismorepoll 1 Sydney 793 was named Junior and Supreme Female Champion. Photo: Irish Hereford Breed Society.
Noel Dunne,
Dacia is a driving force in Ireland
IFM machinery correspondent.
Noel Dunne joins IFM Noel Dunne has taken up the position of machinery correspondent with Irish Farmers Monthly. He also joins the IFP Media advertising team as an advertising manager. Noel brings over 30 years of unrivalled experience to his new roles with IFM. This appointment allows IFM to expand its machinery section and deliver an even better service to our readers and clients. In his first contribution to IFM, Noel reports from Hanover on the latest machinery developments at Agritechnica, as well as the winning Fendt 1050 Vario tractor in the Tractor Of The Year (TOTY) 2016 awards. IFM is the Irish representative on the European Jury for the TOTY awards.
Since the launch of the Dacia brand in Ireland in 2013, more than 7,750 vehicles have been registered. Dacia currently commands 12th place in the car market in Ireland, ahead of well-established brands such as Peugeot, Mercedes and Mazda. Since 2013, more than 4,300 Dusters have been registered in Ireland, while there have been almost 3,000 registrations of the Sandero, a compact supermini. The Logan MCV, with the biggest boot in its class, and Duster Commercial, are also selling well since launch, according to Dacia. In September and October, the Duster was the best-selling car in its segment,
and the second best-selling car in the Irish market overall. In just over 10 years since the brand’s revival, Dacia has won more than 3,500,000 customers in Europe and the Mediterranean basin and is continuing to grow its market share in Ireland. Patrick Magee, operations manager for Renault Group in Ireland, said: “We are delighted with how the brand has been welcomed into Ireland and, in less than three short years, is now commanding market share above well established brands. It is Ireland's fastest growing car brand and is also the country’s first choice 'smart buy' car brand.”
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9
DECEMBER 2015
Judge Seamus O’Mahony, DairyGold; David Howard, ruminant technical sales, Devenish; Jack Hogan, ruminant nutritionist, Devenish; and judge Denis Finnegan.
Professor Mike Van Amburgh.
Innovation award for Mag12 World-renowned scientist Mag12, a highly soluble source of magnesium, won the innovation award at the National Dairy Show in Ireland in October. Mag12 is a natural source of minerals with unique solubility of 99 per cent in the rumen, compared to alternative magnesium sources typically showing solubility of 7-23 per cent, according to Devenish Nutrition. “The judges at the annual National Dairy Show at Millstreet, Co Cork, felt that Mag12 was a worthy winner of the award as it has proven benefits in butterfat and protein increases in dairy cows; Mag12 was putting money in farmers’ pockets with improved milk solids and was practical to use in existing feeds without adding cost, significant at a time when milk price is so low,” Devenish Nutrition said. Mag12 is suitable for both conventional and organic farming systems.
Rural crime prevention A former member of the Gardaí has been appointed rural crime prevention executive by the Irish Farmers Association (IFA) to support the development of IFA crime prevention policy, and the roll-out of the Gardaí's Theft Stop initiative. Colin Connolly, a native of Co Kildare, has more than 11 years’ experience in crime investigation and crime prevention techniques and his appointment is a 'very clear demonstration of the IFA’s commitment to tackling the issue of rural crime', the organisation said.
for Volac conference
Professor Mike Van Amburgh from Cornell University, New York, is the keynote speaker at the Volac heifer rearing conference which takes place in the Park Hotel, Charleville, Cork, on Thursday, December 10. Prof Van Amburgh is one of the world’s leading experts on calf nutrition. His groundbreaking research has shown that calves who perform to their full potential in the first 12 weeks of life have higher milk yield and a longer milking life. The conference will also get the personal stories of two of Europe’s leading heifer rearers. Shane Fitzgerald, from Ballynoe, Co Cork, who won the 2015 Volac heifer rearing competition, will outline his programme for rearing high-performing heifers from birth to calving at 24 months. Danish dairy farmer Torben Kragh is travelling from West Jutland and will tell the story of his 550-cow herd with average yields of 13,000 litres on three-times-perday milking. The conference, which runs from 9am to 4pm, also features speakers from Teagasc, England and Scotland.
A book for Christmas Ninety-three-year-old Jack Sherwood has written an engrossing account of his farming experiences. The book spans seven decades of farming and rural life both in Kilkenny and Mullinahone, where Jack farmed at different times. In ‘A Life Devoted to Farming’, Jack reminisces on walking livestock from fairs, buying and selling land and the various farm enterprises he ran during his long and eventful farming life. The enduring theme in Jack’s book is a love of life and especially farming. It’s a great read and is available at Stonehouse Books in Kilkenny and other bookshops around the country.
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10
BUSINESS NEWS
DECEMBER 2015
Glanbia opens new €15m UHT milk facility
Dawn Meats wins European business award Dawn Meats has been named as a national champion for Ireland in the
Glanbia Consumer Foods Ireland has opened its new stateof-the-art UHT (ultra-heat-treated) milk processing facility in Lough Egish, Co Monaghan. With processing capacity for up to 100m litres of milk per annum, a range of longlife, liquid milk and cream products, suitable for export to global markets including Europe, the Middle East, Africa and Asia, will be produced under Glanbia market leading brand, Avonmore. Value-added milk and cream will also be produced at the facility in the near future. The new development has created 40 new jobs at Lough Egish, 21 of which have already been filled, representing a total investment of €15m by Glanbia, with support from the Department of Jobs through Enterprise Ireland. The new
European Business Awards sponsored by RSM. Pictured are HE Dominick Chilcott, British Ambassador to Ireland; Richard Clinton, group commercial director, Dawn Meats; and Adrian Tripp, CEO, European Business Awards.
Tricel acquires Finol Oils Ltd Finol Oils Ltd has announced that it has been acquired by Tricel Group. Finol’s current staff and management will remain in place, and its strong focus on customer requirements and service will continue to be its priority, according to Finol. It is expected that this change will help to improve Finol’s services and enable the company to grow into the future. Tricel is a global provider of high-performance solutions for the water, environmental, construction and materials industries. Tricel, like Finol, is an Irish-owned company with over 40 years’ experience and an ethos of delivering innovative, quality solutions. Tricel has over 300 employees, with head offices based in Killarney, Co Kerry, and manufacturing locations in five countries enabling it to offer products to over 50 countries worldwide. Tricel Group acquired Finol Oils Ltd on September 30, 2015. The synergy of both companies with similar values and commitments means that customers can be assured that they are Finol’s first priority, the company said.
facility has a number of innovative technological features including dual processing, which means that raw milk can be processed using direct or indirect heat, resulting in a fresher UHT product and a unique double homogenisation system for the production of cream. These technological innovations have led to the development of a pipeline of high-end, premium products which deliver enhanced culinary performance to global food customers. Commenting on the official opening, Henry Corbally, chairman of Glanbia Group, said: “The opening of this facility is further evidence of our support for the liquid milk business in Ireland. This new bestin-class facility will play a key role in our strategy to further develop an international business for Irish liquid milk and cream products and will ensure that our relationship with our farmer suppliers continues to deliver significant benefits and opportunities to them.”
www.irishfarmersmonthly.com
DECEMBER 2015
Sheep health expert highlights impact of sheep lameness Treating lame sheep is a major labour drain in sheep farming as well as severely damaging flock performance and income, a meeting of Kerry vets and sheep farmers has been told. The meeting in the Malton Hotel, Killarney, organised by the Kerry Veterinary Clinical Society in conjunction with MSD Animal Health, was addressed by leading British sheep health specialist Dr Fiona Lovatt, who said Kerry sheep farmers could be losing over €2,000 per year due to lameness. She said that foot rot, caused by the bacterium Dichelobacter nodosus, is a major cause of lameness and it is not uncommon for up to 20 per cent of a flock to be affected at any one time. “Where foot rot affects one in 10 sheep and it is not treated, the income loss could be up to €20/head for every animal in the flock through lower fertility, poor performance and deaths of lambs and ewes. That’s a loss of
Pictured at the meeting on lameness in sheep, organised by Kerry Veterinary Clinical Society in conjunction with MSD Animal Health, were: Dr Fiona Lovatt, sheep health specialist; Sharon Magnier, veterinary adviser with MSD Animal Health; Tralee vet Eugene McGrath, chairman, Kerry Veterinary Clinical Society; Listowel vet Susan Quilter, treasurer, Kerry Veterinary Clinical Society; and Killarney vet Hazel Mullins, secretary, Kerry Veterinary Clinical Society. €2,000 in a flock of 100 ewes,” said Dr Lovatt. She outlined a five-point plan which farmers should use to control foot rot, including infection avoidance, prompt treatment of lame sheep, isolation of lame sheep, culling
chronic cases that do not respond to treatment, and vaccination of the entire flock where lameness is over 2 per cent. Farmers should consult their vet about the most appropriate vaccination strategy for their farm.
Farm machinery shows
Early 2016 looks
set to be a busy period for machinery enthusiasts around the country.
Next month will see the return of a number of popular machinery shows around the country. The Q8 Oils Spring Farm Machinery Show is back at the Green Glens Arena, Millstreet, Cork, from 12pm till 10pm on January 20-21, 2016. This will be the event’s ninth year. This will be followed by the annual Farm Machinery Show at the Ecclesville Centre in Fintona, Co Tyrone, on January 26-28, 2016. The Q8 Oils Cavan Farm Machinery show will take place on February 3-4, 2016, at the Cavan Equestrian Centre. Then, on February 17-18, 2016, the Q8 Oils Spring Farm and Construction Show takes place at the brand new Eikon Arena at Balmoral Park in Lisburn, Co Antrim. This show incorporates a large construction element, as well as farm machinery. The expectation is that many of the machinery brands will use these shows to introduce new products for the 2016 Irish farm machinery market. More details to follow in the January issue of IFM.
11
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12
COVER STORY
DECEMBER 2015
A PATH TO PROFITABILITY
Fiona Muldoon readily acknowledges that this is her biggest career challenge to date. As an accountant, Fiona worked initially with Touche Rosse and then with Chase Bank. The new FBD boss moved on to insurer Excel, working with international client companies including those in the pharmaceutical sector, oil companies and hotel groups. Management of the Irish office, and a stint as a finance director in Excel’s Bermuda base, was followed by a return to Dublin in 2010, where she joined the Central Bank as director of credit institutions and insurance supervision in the Financial Regulator’s office. By her own admission, there was an altruistic motivation to this career change: “I thought I could make a worthwhile contribution to the recovery of the economy.”
Hit the ground running After three years at the Regulator, Fiona returned to the private sector, this time as finance director at insurance group FBD. Last October, the former Central Bank executive was appointed as group chief executive of the troubled insurance company. She has hit the ground
Fiona Muldoon brings a wealth of experience to her new job as group chief executive of FBD, as she explains to Matt O’Keeffe
running with asset sales, a capital-raising exercise and redundancies being instigated in response to a pre-tax loss of €96m by FBD for the first half trading period in 2015. The agri-based insurer has also tackled a growing problem with its pension fund by closing off a defined benefit scheme.
A business perspective Fiona understatedly describes the past few months as “a busy period”. Her broad experiences in both the private and public sectors will surely serve her well. Fiona emphasises the differences: “A North American public company environment, which is what I was used to before the Central Bank, is one where you operate under considerable time and performance pressures. People are highly remunerated, with bonuses and so on, for delivering results. Incentivisation of staff is standard, and ‘hire and fire’ is common if things do not work out. In contrast, there is a standardisation of payment in the public sector, regardless of effort. My experience in the Irish public sector is of people expecting to have a career for life. In many
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DECEMBER 2015
In terms of leadership style, Fiona shaped her career in the public company environment. “My leadership style is best described as collegiate, and committed around issues like accountability. If I say I’m going to do something then it gets done. The same is expected from everyone around me. That attitude needs to permeate through the entire organisation. People need to understand what they are responsible for and be empowered around delivering on those responsibilities. I would describe myself as driven and committed. My hope is that these traits will be beneficial to FBD.”
overlaps and inefficiencies. In addition, FBD will improve its technological competency so that we need fewer people to do the same job as we drive more through automation of our policies and claims administration. That strategy should deliver benefits over the next couple of years.” What customers of FBD, and indeed other insurers, will not want to hear is that premiums are set to rise considerably. Claims around motor, public and employers’ liability are all rising. As Fiona puts it: “Unless, and until, we are taking in more in premiums than we are paying out in claims, premiums will have to increase. We have already put through significant increases in motor liability, well in excess of 20 per cent. The multiperil accounts, including farm and small business insurance, have seen, and will see, more modest increases.”
Delivering service profitably
Long-term outlook
Fiona describes FBD as a “wonderful organisation” from the perspective of its relationship with its customers. It prides itself on knowing its customers and on delivering a high level of service to them. “Sometimes, there needs to be greater recognition that customer loyalty is fully reciprocated by FBD. The cost of service is not always counted fully. To return to profitability, we are gong to have to get much better at delivering the service in a way that is still profitable and sustainable.” FBD, as the new chief executive emphasises, is a conservative organisation. “That has been positive in terms of not taking on huge risk outside of its competence. However, we need to get better at change and innovation. There is a need to modernise and find newer, more efficient ways of working. That will be an aspect of our return to profitability.” While customers should not see any deterioration in service, Fiona does agree that they will see change in how that service is provided. “I have committed to an open mind, examining all aspects of our operations. We need to see whether our 32 branches are delivering to customers as expected and as required. Farmers are more inclined to conduct business online than previously. Without jumping to conclusions, we will look at everything, including branch rationalisation, if or where necessary.”
What are the long-term prospects for FBD? “We will concentrate on organic growth built around a very strong brand and footprint, especially in rural Ireland. There is a need to build and reinforce our presence in urban areas. FBD has a viable consumer book with the largest home insurance book in the country, outside of the banks where there is a tie-in to mortgages. The motor book is being remediated and our consumer strategy will concentrate on small businesses and farm accounts rather than larger, higher-risk areas of insurance.” While FBD’s capital base has been reinforced with a €70m investment by the Canadian Fairfax Group, this opens up the prospect of a dilution of ownership of FBD in the future. The convertible bond from Fairfax allows it to take up a 19 per cent stake in FBD after three years. That’s not necessarily a bad thing, as Fiona points out: “The bond only converts if we regain our margins. So that would be good news in itself for all shareholders. In those circumstances, it is highly likely that Fairfax would convert its bond to FBD shares. While existing shareholdings would be diluted, they would be sharing in a bigger and more profitable company. Having a strategic partner of the quality of Fairfax backing us, with their experience in the insurance field across the globe, is clearly positive.” The new CEO at FBD is adamant that there will not be a dividend paid by FBD Holdings until it can be covered by profits. “It will probably be the fourth quarter of 2016 before we see profits so that means no dividend payout is likely until 2018.” Fiona’s commitment to returning FBD to profitability is clear. So, too, is her ability to achieve that goal.
respects, when I joined the Central Bank there was not even a feedback around performance.”
Leadership style
Recovery strategy The strategy to return FBD to profitability includes staff reductions of at least 10 per cent through voluntary redundancy. “We will then consider whether employee numbers can be reduced further through eliminating
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FARMVIEW
DECEMBER 2015
A TIMELY WARNING
At a time of worldwide economic uncertainty, there is good reason to be afraid, writes economic commentator, Paddy Manning Fear is the natural state of man but governments have, since the recession of the 1930s, done everything to convince us that there is nothing to fear. Recessions will be dealt with by printing more money, endlessly devaluing currency while inflating the next boom and bust. Banking is every government’s special friend. Mama Gubermint is here with its Central Bank, regulatory arms and assurance scams so that bank shareholders and depositors need feel no fear for their money. Just as government cannot create wealth, neither can government anywhere absolve us from the usefulness of fear. The fuel-air bomb (you’ve heard of fuel-air bombs? The ones that go boom – then...) which was Anglo Irish Bank was made by government antipathy to fear. Lack of fear allowed Anglo not to grow but to explode, at an average of 36 per cent per annum, between 1998 and 2007. Instead of being terrified that their bank was growing at the rate of a mushroom on steroids, the shareholders trusted the meaningless mantra: “Regulated
by the Central Bank of Ireland”. The government attempt to eliminate fear cost the shareholders all their money and Irish people a ransom.
The Chinese credit bubble Governments are correct in seeing prudence as a brake but prudence can also be advantageous when likened to that of the careful driver who will arrive five minutes late but will arrive every time. China has been driving its economy like a 19-year-old boy at the wheel of a Maserati and the crash may be very painful. China has lifted vast millions out of poverty and into a productive economy selling goods to the West. This has also enriched us: we are buying goods much cheaper, affording far more and better-quality goods. But on the back of its success, China has built a tower of debt. In 2000, market credit in China stood at $1 trillion. Last year, the figure was $25 trillion. That 2,500 per cent growth in 14 years was achieved with state-owned banks
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DECEMBER 2015
that operate as credit pumps, with no market discipline, just the imperative to grow lending. Think Anglo Mushroom on a galactic, rather than parish, scale. Think fear. Just as Anglo financed huge investments that would never turn into real-world sales of houses, so too has this Chinese credit bubble. There are over 70 million unsold luxury apartments standing idle. Not content with apartments with no residents, China built airports with no flights, road complexes with no cars and shopping malls with no customers or shops to match. These are not ghost estates: this is a ghost country 50 times larger than Ireland.
Cementing over the cracks The cement industry has kept in lock-step with this madness, marching towards doom. We are told by China cheerleaders how, while America used 4.4 gigatons (gigatonne = billion tonnes) of cement in the 20th century, China used 6.5 gigatonnes in the past three years. How much of that cement has been poured into projects that have value, have real-life customers or meet a need for which people will pay? Or that factories pumping out more than a century’s worth of cement in three years can survive the downturn? All of this unstable house of cards is built on credit. As demand falls, state and local governments, coal mines, steel plants, cement factories will all be caught in the bind of low demand and high repayments. In fact, the comparison to a kid speeding in a Maserati is in itself invidious. A Maserati is built for speed; without any real and free market, the Chinese economy is built to crash. This is a command economy with a credit bubble. In Ireland, when houses were not being bought the house of cards collapsed. The Chinese government believes it can command the bubble not to burst, so Beijing has bailed out, bought off and subsidised the boom over and over again, even sending thousands of police to arrest sellers when share prices fell. The house of cards was built higher, longer and the crash will be far worse. Can Chinese oneparty rule survive a catastrophic crash?
The contagion effect As the Chinese economy slows down, the effects are already being felt on industrial commodities. Australia is the most heavily dependent on China, with almost onethird of Australian exports going to the ‘Middle Kingdom’. But nobody is immune. China has been responsible for onethird of all economic growth in the world since 2008. Germany, the fourth-largest economy measured by gross
domestic product (GDP), is suffering a double punch. Deutsche Bank, Germany’s largest finance firm, is recording profits that are a mere 0.04 per cent of assets, with a derivatives exposure estimated at €55 trillion, which is 15 times the German GDP. Taking whopping fines for regulatory breaches, and with its co-chief executives making a rapid exit, Deutsche is now starting to look very fragile. Neither Germany nor the Eurozone can afford a Deutsche Bank collapse, though economic commentators are openly talking of such a disaster.
Another car crash The second punch is the Volkswagen affair. The world’s second-largest car manufacturer was already facing difficulties as revenue and profits fell and US sales disappeared. On April 25, chairman Ferdinand Piëch, he of the founding Porsche family, was forced out when he tried to fire VW’s CEO, Martin Winterkorn, because of the slump. Just four months later, on September 18, the US Environmental Protection Agency accused VW of using a ‘defeat device’, a piece of software in their diesel cars that detects emission testing, and lowers emissions to US Clean Air Act levels, while allowing cars to pump out nitrogen oxide at 40 times the legal level during normal driving. Winterkorn resigned in disgrace but the effects of what is criminal fraud go far deeper for the carmaker. Initially, the ‘defeat device’ software was only believed to be on half a million US diesel vehincles, but it quickly emerged that this was a worldwide problem with 11 million cars involved. The cost in remediation and reputation for a carmaker already struggling is incalculable. It well may mean the end of the company as it is currently constituted.
Planning for the long run If the dragons facing the Chinese and German economies were not enough, the US, in the worst and slowest recovery from any recession, is facing rapidly falling exports and, for its heavily borrowed native oil producers, lower than economic prices. There is little to be hopeful about and much to reasonably fear. Farmers should not let politicians with no skin in the game blind them to potential serious risks of a major slowdown. Expanding milk production has left many dairy farmers with more borrowing than might be bearable, with prices falling and recession likely. The wise course of action is to cut borrowing before, not during, a recession. In a world of growing wealth and less poverty, being around for the long run to supply high-quality food is a sensible option.
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FARMER TO FARMER
NEW HOLLAND’S GLOBE TROTTER Are you interested in a career that takes you right around the globe? That’s what Sean Lennon got when he took up a job with farm machinery manufacturer, New Holland, 11 years ago, he tells Matt O’Keeffe
DECEMBER 2015
Originally from a dairy and sheep farm near Baltinglass in Wicklow, Sean, at the age of 18, moved to the UK to study for a degree in agricultural engineering. Just a week after finishing the four-year course, he started with New Holland. In the classic New Holland career progression, Sean started out as a field technician, working in the Asia-Pacific region for the company. He spent a lot of time in China, India and Japan servicing New Holland machinery. After eight years of servicing and aftersales roles with customers and dealers, the Wicklow native moved into a product marketing role. That necessitated a move to Switzerland, where New Holland’s head office for the Asia/Pacific region is located. That, in turn, meant more travel, encompassing his original pathways through Asia as well as Russia. Work on future product strategy saw Sean move into a support role for New Holland dealers selling product for the company.
A strong Irish connection Sean’s original career option was greatly influenced by the fact that New Holland’s Basildon manufacturing plant is only a few miles away from the university campus where he studied. The company is closely associated with the college, to the extent of regularly providing lecturing programmes for courses. In addition, the college has supplied many Irish personnel to work with New Holland over the years. That fact is reflected in the nationality profile of New Holland’s workforce, which is littered with Irish employees. Sean puts the close association between New Holland and Irish people down to the Irish willingness to work and interest in travel, which are well catered for in the international company. The sociable nature of the Irish personality is also an advantage in customer relations. One might imagine that language would be a potential barrier to career advancement in a company with bases across the globe. “Not so,” says Sean. “While New Holland is recognised as an Italian-owned and managed company, with its Fiat heritage, the reality is that the international language within the company is English. We primarily communicate through English with our dealers and importers.”
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DECEMBER 2015
Career encouragement
A broad remit
As time moves on it can’t be easy to accommodate changing personal circumstances with the demands of a job that requires great flexibility. Sean acknowledges that, with a wife and two young children, it is more difficult to be engaged in constant travel. “There has to be an understanding between us. When I am at home at weekends, for instance, I devote a great deal of time to family. It wouldn’t work without a very understanding spouse, which I have.” There are no strict processes or rules governing career advancement in New Holland. Hard work and experience have helped Sean climb the ladder. “Good bosses are also essential, and I have been lucky in that regard. They have encouraged my progress.”
Of course, Sean’s experiences with New Holland have not been exclusively devoted to tractors. The company manufactures a wide range of farm machinery and he devotes a considerable amount of time to promoting these across the world. “A few weeks ago I was in the US, where New Holland is very much identified with hay-making equipment, as well as tractors. We have a strong market position there for windrowers, balers and mowers, with the tractor sold as a secondary product to ‘hay-tool’ machines. In Europe, New Holland’s combine harvester brand is very strong. The wide product range gives us access to markets where we can offer customers a range of options. That strategy is very important to our dealers, who need a broad spread of equipment to service their customers. When one or another farm enterprise is doing well the dealer has the ability to sell product into that segment.”
New product development The development of new products is quite complex, Sean explains. “The development of the T7.315, for example, started back in 2011 with interviews with customers. We recognised the need for a new model at the top of our T7 tractor range. For a range of tractor applications, the T8, although equipped with the necessary power, did not have the right dimension. Customers pointed out their need for a multi-purpose tractor suitable for a range of applications. A tractor that is good for roadwork, but also with the performance that is expected of a 300hp tractor in the field. We did a lot of work defining the specification requirements, which is the main part of my job at the moment. Then, working with the engineering team, as well as manufacturing and purchasing, we put together a tractor profile that encompasses the best of our assets, including the Fiat Powertrain engine technology and our in-house continuously variable transmission (CVT) with the AutoCommand transmission.” The T7.315 is being manufactured on a dedicated new manufacturing line at New Holland’s factory in Basildon, UK. This is in some contrast to many other tractor manufacturers who have exited the UK as a manufacturing centre. When Sean started his career in Basildon over a decade ago, it was a different place. “It was very much an industrial plant, manufacturing engines and other components. Now it is a modern tractor assembly plant, full of motivated and passionate people with a strong brand identity.”
A belief in precision As a person totally immersed in the world of agricultural machinery, Sean is in a good position to ponder on the most important tractor developments in recent years. “For me, the precision aspect of tractors is a hugely positive development. New Holland’s IntelliSteer or AutoGuidance is an example. Most customers are seeing the value of this technology, especially in row cropping and mixed farming. It is fast becoming standard equipment on our tractors now. Stage 2 of this technology will be data collection. This includes yield information on our combines, which is standard, and now we can collect data on crop inputs, fuel use and the operational characteristics of the machines. This data flow allows the farmer to really sharpen his operation in terms of efficiency.” Collaboration between farm machinery manufacturers is benefitting farmers. Mixed fleet operators can get their different machines to ‘talk’ to each other via compatible electronic communications systems. “This is something that is central to our ‘Precision Land Management’ strategy. Our machines are open and connected so that the end user can get the full benefit of the available technology. It is in all of our interests to ensure that farmers have full access to the latest technology across all of their equipment.”
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SUSTAINABILITY FOCUS
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SUSTAINABILITY FOCUS
DECEMBER 2015
SUSTAININGPROGRESS A new report from Bord Bia outlines the scale of Ireland’s sustainability achievements in the three years since the launch of the Origin Green programme. Oonagh O’Mahony hears from Aidan Cotter, CEO of Bord Bia, about the progress to date and what it requires to be a world leader in sustainability Ireland’s food and drink exports have been enjoying a period of unparalleled growth. Between 2009 and 2014, the value of Irish food and drink exports grew by 45 per cent, reaching a record high of €10.5 billion in 2014. With the world’s population predicted to grow to over nine billion by 2050, and an expanding middle class demanding more protein-based foods, Ireland is presented with a major opportunity to expand its exports. Food Harvest 2020, the industry-led strategy to grow Irish exports to €12 billion by 2020 was updated in 2015, with the launch of a new roadmap, Food Wise 2025, which aims to increase exports to €19 billion over the next decade. Origin Green, the world’s first nationwide sustainability programme for the food and drinks industry, was launched by Bord Bia in 2012. At the launch of the Sustainability Report 2015 at Bord Bia’s Global Sustainability Forum in November, Aidan Cotter, CEO of Bord Bia, spoke about the progress to date and what it requires to be a world leader. The case for a programme like Origin Green is incontestable, Aidan says, given the challenges the world faces in terms of feeding a growing population while, at the same time, managing the earth’s resources. “Sustainability is a sine qua non. It is just not an option to proceed without it,” he explains. “Greater levels of demand from a growing population represent a significant opportunity for Irish food and drink producers. However, we must remain cognisant of our responsibility to expand in a manner that will not lead to the long-term degradation of our
natural resources. To simultaneously mitigate the onset of climate change through the reduction of greenhouse gas emissions, remains one of the great challenges of the modern era and one in which everyone must play their part.” Its commitment to striking this balance is what led Bord Bia to introduce Origin Green, in order to provide a structure for Irish farmers and food and drink manufacturers to demonstrate their dedication to, and progress in, the area of sustainability.
BECOMING A LEADER An overarching ambition of Origin Green is to make Ireland a leader of sustainability in the food and drinks industry. But what does it mean to be a leader? Aidan explains: “When we launched Origin Green three-and-a-half years ago, we set out four conditions that, if fulfilled, we felt could position Ireland as a world leader. The first of those was that we would bring everyone on the journey, that every farmer and every food business would sign up to the sustainability agenda by 2016. The second condition was that we would measure everything that matters, recognising that sustainability is a very broad area. It’s economic, it’s social and it’s environmental. The third condition was that everything we measured would have to be to an internationally-recognised standard, achieved by international accreditation or by using independent verification. The final condition was that this was not just a journey of measurement, although you can’t manage
S
DAWN FARMS IS NOW A ZERO ZERO WASTE TO TO LANDFILL COMPANY
RELATIVE ENERGYUSAGE USAGE ENERGY HAS BEEN CUTBYBY30% 30% CUT
RELATIVE CARBON CARBON EMISSIONS EMISSIONS HAVE BEEN CUT BY 20% CUT BY 20%
RELATIVE WATER WATERUSAGE USAGE HAS BEEN CUT CUTBYBY30% 30%
ENOUGHENERGY ENERGY SAVED ENOUGH SAVED TO TO POWER20,000 20,000 IRISH HOMES POWER IRISH HOMES FOR A WHOLE YEAR FOR A WHOLE YEAR
ENOUGH WATER SAVED ENOUGH WATERSIZED SAVED TO FILL 56 OLYMPIC TO FILLSWIMMING 56 OLYMPIC SIZED POOLS
SWIMMING POOLS
Dawn Farms is a founding member of Origin Green. Origin Green is an Irish government Dawn Farms is a Bia founding member Origin initiative by Bord - The Irish Food of Board, Green. Origin Green is an Irish government which provides verified commitment to initiative by Bord Bia -the The Irish Foodchain. Board, sustainability all along food supply
which provides verified commitment to sustainabilitywww.dawnfarms.ie all along the food supply chain.
2015/16
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SUSTAINABILITY FOCUS what you don’t measure, but rather, it would be a journey of continuous improvement. We were, in effect, setting out to establish the first national sustainability programme in the world.”
MEASURING SUCCESS To date, over 470 food and drink manufacturers, accounting for almost 95 per cent of Ireland’s food and drink exports, have registered with Origin Green. The programme has a target to have 100 per cent of producers voluntarily signed up by the end of 2016. Meanwhile, at farm level, more than 55,000 Irish farms have joined the programme, accounting for 90 per cent of Ireland’s beef production and half of its milk output. In terms of measuring sustainability, Origin Green has established baselines from which improvements can be measured. At industry level, this progress is outlined in company sustainability plans with target deadlines of three to five years. The success of companies in achieving their targets is independently assessed and verified by the SGS group, which, in 2015, was named as an industry leader for the second year running in the prestigious Dow Jones Sustainability Indices World and Europe. Meanwhile, the Sustainability Report 2015 sets out new goals for Origin Green. “The four conditions that I mentioned have been sufficient to start us on our journey and to set us on track to becoming a world leader, but to remain there and take us to the next stage of our journey, and guide our future work, we need to establish a new set of priorities.”
PROGRESS ON FARM Among the headline figures to date for Origin Green are the 90,000 carbon assessments that have been conducted across 45,000 beef and almost 9,000 dairy farms. Delivery on this ambition is made possible by utilising Bord Bia’s Quality Assurance schemes, which, since 2011, have begun to incorporate carbon footprint measurement. This is being conducted on a national scale, routinely on an 18-month cycle. “No other country anywhere is carbon footprinting its farms on a routine basis, and within a process of measurement, feedback and continuous improvement. Farms are also measured on their performance around water conservation and biodiversity, as well as on animal health and welfare and on food safety.” In 2013, Bord Bia introduced the Sustainable Dairy Assurance Scheme, which it describes as the first national dairy scheme of its type anywhere in the world – a robust and internationally-accredited programme that not only sets out the requirements for best practice in Irish dairy farms
DECEMBER 2015
but provides a means of measuring and improving the performance of every participating farmer. “We are halfway through the first audit cycle of dairy farms and by next year we will have 100 per cent of milk production covered. We are rolling this out among all of the other enterprises as well and we are confident that all will be covered by the programme – pigs, poultry, sheep, grain and horticulture – by next year.”
PROCESSING PROGRESS Bord Bia realised that setting one template for all companies would not deliver the best outcomes. With that in mind, it introduced the Origin Green Sustainability Charter, under which member companies develop their own sustainability plans, setting out clear, measurable and time-bound targets under three target areas: raw material sourcing; manufacturing processes; and social sustainability. As part of the programme, food and drink manufacturers have committed to over 800 sustainability targets. The targets provide for reductions of €12m and €17m in energy and water usage respectively by 2017, and seek to reduce general waste generation by 14,000 tonnes. It is impressive, given the scale of expansion envisaged over this period.
THE FUTURE OF SUSTAINABILITY Aidan explains that Origin Green has set out five new priorities to maintain Ireland’s commitment to ongoing improvement in sustainability. “One is lowering our environmental footprint, where we will prioritise emissions, biodiversity and water quality. The second is about enhancing our impact on society, with a singular focus on health and wellbeing, which we regard as the biggest single, long-term driver of change in food markets today. And, with attention now focusing on obesity, or ‘diabesity’, it is essential that the food industry is seen to be part of the solution, and not perceived as part of the problem. “The third area is to close the sustainability loop at home and extend the programme beyond the farm and factory to retail and foodservice and create a showcase for sustainability in which everyone can be involved. “The fourth area is defined by our recognition that, in the context of the scale of improvements that will be required, collaboration and innovation will be critical to continued progress. The fifth area is about sharing the story of Origin Green with others who may wish to embark on a similar journey. We also want to explore how we can translate the business-to-business initiative we launched three-and-a-half years ago into one that has a much wider reach, and make it relevant to consumers’ lives.”
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SUSTAINABILITY FOCUS
DECEMBER 2015
ORIGIN GREEN FARM CASE STUDIES A key focus of the roll-out of Origin Green at farm level is providing participating farmers with feedback and advice that can help reduce their carbon footprint while also boosting the farm’s financial performance, as typically there is a close correlation between the two. The four farmers in the following case studies demonstrate how sustainability may be integrated into on-farm practices
William Morrow, Co Donegal Bord Bia Sustainable Beef Producer Winner, 2014: Dairy Calf to Beef William Morrow runs a dairy calf-to-beef enterprise on 60 hectares in Raphoe, Co Donegal, purchasing approximately 300 dairy-bred calves from February to April and bringing them to slaughter off grass at 16 to 20 months of age. Joining the Angus Producer Group Scheme three years ago, William purchases predominantly Angus bull and heifer calves, although for the past two years Hereford calves have also been purchased. The calves are purchased over a six-week period from midFebruary through to April. Excellent stock management and health controls have led to little or no mortality on the farm. Generally, no meal is fed once calves go to grass, as grassland management is a major strength on the farm. Paddocks are divided evenly and grazed in rotation. Maintaining P and K level soils at Index 3 and 4 is also vital to growing high-quality grass. Calves are housed from mid-October to November on silage and 1.5kg meals. Year-and-a-half steers and heifers are supplemented at grass from August and slaughtered from September to November. Steers average 255kg carcase weight and heifers 230kg at 18-19 months of age. A focus on stock management, health controls and strong grassland management ensures that the carbon footprint on the farm is a third lower than the average for this production system.
CO2 emissions per kg liveweight: down 6.2kg
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Pat Murray, Co Wexford Bord Bia Sustainable Beef Producer Winner, 2014: Weanling/Store to Beef Pat Murray runs an 89-hectare mixed beef and tillage farm in Pallas, Gorey, Co Wexford. The tillage enterprise totals 49 hectares, with barley, maize silage and fodder beet the main crops grown. Pat buys in 200 cattle per year, which are well-bred continental weanlings or yearlings. Cattle finished are top quality, with over 60 per cent on average grading U, 30 per cent R and the remainder grading E. Average carcase weight for steers is 420kg at 25 months, with heifers 370kg at 22 months. Pat prefers high-quality cattle due to their potential for a high kill-out and performance on a high-energy grass or finishing diet. Pat prefers to buy direct from the same suckler farms each year. A local farmer supplies the majority of stock from his spring- and autumncalving herds. Animals settle quickly, with little setback in performance, while autumn and spring calving suits finishing out of the shed or off grass. Furthermore, the background breeding, health status and previous veterinary treatments are known. Some cattle are finished with supplementation at grass in June/July, and the rest indoors over the winter. Pat was previously in dairying and has a keen focus on grassland, soil nutrients and making use of slurry. Performance at grass is aided by rotational grazing. Soil fertility is monitored closely and a reseeding programme, incorporating high clover content, is in place. Good use is made of slurry with paddocks low in P and K in particular targeted with slurry. Slurry is applied to a percentage of paddocks late in the year to help develop a good cover of grass for the following spring. The level of animal performance, combined with excellent utilisation of grass and stock management, ensures an efficient production system. This is reflected in the fact that the carbon footprint of the beef enterprise is almost 30 per cent lower than the average for this production system.
Tim Joyce, Co Galway Bord Bia Sustainable Beef Producer Winner, 2014: Suckler to Weanling/Store Tim Joyce and his father, Jackie, run a 48-suckler herd on approximately 39 hectares of land. The aim is to expand this to 60 cows. A breeding focus on calf quality and an ability to produce milk are key on this farm. The selection criteria for the replacement stock is based upon purchasing calvers with a calf already at foot, as this allows Tim to already have a good idea of the quality of the calf and the milk yield from the calver. Breeding is 100 per cent AI.The health of all animals on the farm is a priority for Tim, so, as each new animal is brought into the farm, it is quarantined for over six weeks and screened for disease. The herd also regularly receives various vaccinations and checks to maintain their health. The aim is that heifers calve down at two years. Calving difficulties are avoided by correct sire selection, having animals in fit condition and by only feeding hay in the last four weeks of gestation. Calves suckle twice daily while housed, at 6pm and 6am. They are then either given access to grazing or the creep areas. The farm has an average weaning rate of 0.96 calves per cow. Regular weighing of calves is a key tool used to monitor performance. Weanling bulls average 440kg, with heifers coming in at 420kg at eight to nine months with a focus on producing U+/E grade weanlings for the Italian market. As expected, given the focus on delivering high weaning rates, consistently good growth levels and high health status, the carbon footprint on the farm is 30 per cent lower than the average for the production system.
CO2 emissions per kg liveweight: down 8.7kg
CO2 emissions per kg liveweight: down 9.3kg
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DECEMBER 2015
Jonathan Greene, Co Kildare Bord Bia Sustainable Beef Producer Winner, 2014: Suckler to Beef Jonathan Greene’s 53-hectare suckler to beef enterprise is run alongside a tillage enterprise operated in partnership with his father, Nassau. Straw is used to bed cows and progeny in the 90-cow springcalving suckler herd and, as such, helps to maintain organic matter, soil fertility and crop yields in tillage ground while home-grown cereals are used to finish male progeny as bulls and supplement the suckler herd. The herd has achieved a calving interval of less than 365 days and 0.99 calves, or more, produced per cow in the past three years. A key contributing factor to good breeding performance is zero tolerance for under-performing animals. Breeding in recent years is with Salers and Charolais stock bulls. Male progeny are slaughtered as bulls, while all female progeny are bred as the farm partakes in Dawn Meats’ once-calved heifer scheme. Replacement heifers are bred to calve at 24 months of age. Male progeny from mature cows are weaned in September with a focus on getting calves transferred onto a high plane of nutrition to avoid a store period and achieve an adequate fat cover (2+ or greater) for finishing under 16 months of age. The finishing diet includes home-grown feeds as much as possible. Future plans in the herd include a breeding strategy that focuses on easy calving to help reduce labour requirements around calving time. Other plans to combine the tillage and suckler enterprises to greater effect include sowing catch crops that will prevent nitrogen leaching, but also extend the grazing season for heifer weanlings or in-calf heifers. This strong performance is reflected in the carbon footprint for the enterprise, which is 25 per cent lower than the average for this production system.
CO2 emissions per kg liveweight: down 9.9kg
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SUSTAINABILITY FOCUS
DECEMBER 2015
In 2015, ABP Ireland set a record when it became the first company in the world to achieve quadruple Carbon Trust certification. ABP’s group sustainability and environmental manager, John Durkan, tells Oonagh O’Mahony there is nothing to lose and everything to gain from a strong sustainability commitment
A WORLD FIRST FOR ABP As one of Europe’s largest meat processors, ABP Food Group is committed to the continued growth of its business. The company has identified sustainability as a key driver of that growth and, as well as being a leader in the food industry, ABP is also striving to be a leader in sustainability. The company was a founding member of Ireland’s nationwide sustainability initiative, Origin Green, and in 2015 became the first company in the world to achieve quadruple Carbon Trust certification. “It is very important for ABP and is an integral part of the way we undertake our business, and has been for the past 10 years,” John Durkan says. “We see it as something that is essential to our business both internally and externally. Externally, we communicate it to our retail partners. Those retailers have similar sustainability objectives and we feel that it is important that we work hand in glove with our customers to help them achieve their goals through some of the initiatives that we undertake in our business.”
RESOURCE MANAGEMENT The path to sustainability started in 2008 for ABP when it began collecting data on the waste it generated, its carbon footprint and water footprint. John explains that this data collection also looked at all of ABP’s sites to see which ones better managed its outputs and resources. “We collated the data, looking at the techniques each company has, across the whole organisation, but particularly in Ireland to see how we can learn from each other and improve resource efficiency.” As a consequence of this data collection, ABP introduced a number of sustainability programmes across its business, addressing waste, water and carbon emissions. “There is a
programme in ABP called ‘Doing more with less’ and it is a resource efficiency programme. It has delivered substantial savings in resource usage,” explains John. Results include: a 19 per cent reduction in carbon emissions, which equates to 6,377 tonnes of CO2; a 21 per cent reduction in water, which is a saving of 196,471m3 of water; and an energy saving of just over 9 per cent, which is 3,972 mega watts of electricity. Meanwhile, in 2014, ABP Ireland has also achieved a zero-waste-to-landfill status across its six Irish facilities, with ABP UK following suit in 2015. John describes this as a significant achievement for the global exporter. “We saved 100,000 tonnes of waste going to landfill over the past two to four years. When it came to waste, we did a series of waste audits within the organisation. We identified the sources of waste and looked at techniques and technology and training to reduce the amount of waste that we were generating. We looked at the materials that we were generating as waste and looked at how to segregate those and add value to them.” John says success in this area required ABP to look at its waste in a totally different light. “By segregating the waste we could go to the market and sell some materials for recycling. For example, we baled our cardboard and it went to paper mills, in the same way we had clean plastic and baled that for people who wanted to recycle it. It made us look at the materials and our waste and we took a major step to say we didn’t want to landfill material anymore because it isn’t good for the environment.” Through its efforts, ABP has reduced waste generation by 82 per cent. “This shows that the initiatives we have adopted are delivering results,” John says.
“We’re improving the environment, while also getting the best from our farm.”
David Johnson, Co. Wicklow.
For David Johnson, it’s a no-brainer. As part of Origin Green, he has joined the many Irish farmers who are recognising that improved sustainability practices are good for business too. A world leading national sustainability programme, Origin Green’s system of measuring and feedback helps to identify steps to increased efficiency – changes which both benefit the environment and result in more cost-effective ways of working for our farmers. Join us. Make sustainability part of your plan and see business grow too.
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SUSTAINABILITY FOCUS EVERY DROP COUNTS Water has been another important target for the food company. John explains that it is essential for the business to ensure it uses the best quality, pristine waters in its food processes and, while there is an abundance of rainfall in Ireland, that does not outweigh the costs to businesses of extracting, heating and treating its water. “If we run out of water we can’t continue to operate, so we have put a huge focus on water and how we can save it,” explains John. He says ABP has introduced a water sustainability programme throughout its operation called ‘Watching every drop’. “It’s very simple and we communicate that to our stakeholders, which includes employees, through breakfast meetings and management meetings. We have costs related to water in our business, we extract it and we heat it and treat it for our processes and we know exactly what the cost of that water is. That’s good for business. It is also good to communicate that to our employees, to explain the reasons we are trying to save water. It’s good for environment and it’s good for business economically because it saves us resources.” At its site in Cahir, ABP has reduced water use by 50 per cent while, at the same time, increasing production by 30 per cent. “That has been a phenomenal result for us. We did that in two ways, firstly through a capital investment in new technologies and techniques, new equipment, buildings and structures, and cleaning systems. For example, we have better floors, better insulation, we have better methods for washing that include selecting the right nozzles, temperatures and water pressure. We also looked at the ways we use our water, establishing key performance indicators for water use so our operators understand the numbers that we are talking about. The second biggest improvement is operator/stakeholder engagement. “We can put a value on the water for employees and that gives them a better understanding of the impact savings have and helps them to focus on the goals.” ABP’s Cahir facility has also achieved recognition from the European
DECEMBER 2015
Water Stewardship board, recently attaining the gold standard.
CARBON CONTROL Carbon footprinting is another important target for ABP. “We have a number of initiatives across our sites looking at reduction, energy efficiency and fossil fuel reduction.” John says that, as time goes on and new technologies come to fruition, this will support its goals for carbon reductions across the business. To date, ABP has achieved carbon neutrality at one of its sites in the UK. “It generates its own electricity from a carbon-neutral source. So it has scope-1 and scope-2 carbon neutrality. That is unique in the business because nobody else has that at this stage.” ABP also has a supply chain programme that takes cognisance of the carbon emissions at farm level. This is one of the commitments it has made under the Origin Green sustainability charter, which includes raw material sourcing as one of its pillars for sustainability. Bord Bia and the Origin Green programme further support ABP’s mission for sustainable raw material sourcing through its carbon footprint assessments of beef farms as part of its Quality Assurance scheme. “That is unique in the world for farmers. It uses a carbon calculator where auditors go and, as well as assessing for beef Quality Assurance, they also assess them for carbon footprint of each of the animals that is going to slaughter. And they demonstrate to the farmers the efficiency of their farm through the footprinting.”
A JOURNEY John is proud of the achievements of ABP to date; however, he is quick to add that the company has more ambitious targets for the future. “This is a journey, we are nowhere near the end of it. We have targets for 2020 of 50 per cent water reduction, electricity reduction in the order of 30 per cent, carbon footprint reduction of 40 per cent. They are significant targets and we are moving along in that journey, based on the figures to date.”
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SUSTAINABILITY FOCUS Kevin Tuck, managing director, Alltech European Bioscience Centre.
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DECEMBER 2015
SUSTAINABLE DAIRY AND BEEF PRODUCTION
By producing more milk while lowering carbon emissions, Ireland can become a leader in sustainable dairy and beef production, while generating profits along the way, as Alltech’s Kevin Tuck explains in an interview with Irish Farmers Monthly
Ireland’s commitment to significantly increasing its milk and beef production over the next five years seems to contradict the parallel goal of reducing its greenhouse gas emissions. “The key to achieving both of these targets simultaneously is to improve the production efficiency, and thereby the profitability, of every dairy and beef farm in the country,” says Kevin Tuck, managing director at the Alltech European Bioscience Centre. “Reductions in greenhouse gas emissions are a consequence of animals using their feed intake more efficiently and, as a result, producing less waste,” Kevin says. “It is important to understand that all feed ingredients – grazed grass included – have a global warming potential (GWP) value set by the Carbon Trust.” Kevin says that converting more nutrients into milk means less loss to the environment. “As feed efficiency increases, there is a corresponding reduction in total methane production by an animal.” The dairy and beef animal produces its milk and beef through the process of fermentation. “This is where the animal’s rumen digests its feed intake and where the vast majority of methane and other greenhouse gasses are produced,” Kevin says. “Today, we have a tool called the ‘in vitro fermentation model’ (IFM), a unique monitoring technology developed by Alltech, whereby we can use the laboratory-based artificial rumen model to measure both digestibility and production capability of any given feed diet and, at the same time, measure potential gas production,” he says. “This allows us to make adaptations to the proposed feed for more precisely defined potential methane emissions while maximising digestion and nutritive value. “Significant levels of improvement in production efficiency
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DECEMBER 2015 can be achieved by changing the feed formulation and including Alltech feed additive technology such as Yea-Sacc and Optigen, which have been shown to lower the GWP of the diet by up to 20 per cent.” Kevin says all areas of greenhouse gas emissions are controlled by the Carbon Trust, which has predetermined the GWP values for every feed ingredient. The Carbon Trust also controls the issuing of licences to auditing companies that wish to carry out CO2 audits on any farm unit. “One such company, called E-CO2, has recently been acquired by Alltech to give independent accreditation to all of our technologies, results and claims,” says Kevin. Alltech E-CO2 has produced a simple What If? tool. This tool produces a list of current key indicators for a farm, including CO2 produced per litre of milk or kilo of beef, and the profitability of its system. “The tool allows each of those parameters that make up the total CO2 to be changed and demonstrate the consequence of that change in terms of profitability and CO2.”
Recent environmental assessment work conducted by Alltech on 58 dairy units across Europe has shown just how much farm efficiency improvements can boost profitability, while also reducing the carbon footprint of the enterprise at the same time. In the study, which was carried out utilising Alltech E-CO2 environmental tools, various herd efficiency improvements delivered, on average, an extra €238 per cow per year, yet there was a significant drop in the level of CO2 emitted. Alltech’s local technical advisers can assess farm operations and offer alternative, more efficient dietary formulations and demonstrate, in advance of any farmer’s commitment, the level of improved profitability and CO2 reduction that will be achieved by implementing the recommendations. Kevin says the results clearly illustrate that improved farm efficiency and profitability would give Ireland a lower carbon footprint. “This will allow Ireland, through its unique Bord Bia Origin Green platform, to stand over its claim to be the world leader in sustainable dairy and beef production.”
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SUSTAINABILITY FOCUS
DECEMBER 2015
Director general of the Institute of International and European Affairs, Tom Arnold, speaking at the PowerShift energy summit held in the Mansion House, Dublin, last September.
Leaders from 195 countries meeting in Paris in December at the climate change summit have the awesome task of reaching a deal on lowering greenhouse gas (GHG) emissions and, thus, protecting the future life prospects of humanity, writes Tom Arnold, director general of the Institute of International and European Affairs
IRELAND’S STAKE IN THE CLIMATE CHANGE CHALLENGE The stakes could not be higher. This year, for the first time on record, the global average temperature will be 1º Celsius above the pre-industrial level – already half-way to the internationally agreed target of a 2º limit. Rising sea levels will put the lives and livelihoods of hundreds of millions of people, in low-lying cities and coastal regions, at risk. More frequent, extreme weather events could impact significantly on food production in a number of key regions and undermine plans to achieve global food and nutrition security. The World Bank estimates that, by 2030, an additional 100 million people could be forced into the ranks of the extreme poor.
IRELAND’S ROLE Ireland may be less vulnerable to the near-term impacts of climate change compared to other regions such as sub-Saharan Africa. In light of this, and given that Ireland’s overall contribution to global warming in absolute terms is small, the question is sometimes asked as to why Ireland should act to combat global warming. The answer to that
question is twofold: as relatively privileged global citizens, we have a moral responsibility; and as people looking to the future of our children, we also have a self-interest in contributing to effective global action. A key aspect of the climate change debate relates to justice: the poorest countries that have contributed least to climate change are the ones most affected by it. Over centuries, Ireland has shown its solidarity with the poorest and most vulnerable in the world through its missionaries and, more recently, through government development aid policies and the work of non-governmental organisations (NGOs). Climate change is the latest and most dramatic case where this solidarity is needed.
60 PER CENT MORE FOOD NEEDED The massive migration flows from Africa and the Middle East to Europe in recent months provide a graphic example where self-interest comes into play. While this migration is most immediately related to conflict and breakdown of political order, climate change is contributing to drought
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SUSTAINABILITY FOCUS
DECEMBER 2015
Director general of the Institute of International and European Affairs, Tom Arnold; Mary Robinson, president of the Mary Robinson Foundation – Climate Justice; Ban Ki-moon, 8th SecretaryGeneral of the United Nations; and Minister for Foreign Affairs and Trade, Charlie Flanagan. in countries like Syria. The risk is that, if climate change worsens in the coming decades, these same regions could become increasingly incapable of supporting human life. Climate change is also linked to the other great issue facing humanity: how can the world increase sustainable food production to meet the needs of a growing and wealthier population? World population is expected to increase from the current 7.3 billion to 9.7 billion by 2050. Food production will need to increase by some 60 per cent on a shrinking resource base of land and water, with the impact of climate change making this food production challenge even greater.
issue, government departments and state agencies, farm organisations, the wider agri-food sector and environmental and development NGOs. The project has involved a speakers programme with leading national and international experts and a series of workshops, aimed at promoting informed discussion and a shared analysis between the main players. The aim is to identify smart, ambitious and pragmatic solutions for Irish agriculture, with a view to increasing the competitiveness of the sector while reducing its environmental footprint. The project will also explore how Ireland can establish a leadership position internationally in climate-smart and sustainable food.
THE IRISH DILEMMA
THE KEY ISSUES
Ireland has a particular stake in this wider global debate about food production and climate change. There is a clear government policy, supported by the agri-food sector, to expand food output in the wake of the abolition of the EU milk quotas. At the same time, Ireland is required to meet stringent targets for its national emissions, arising from decisions already taken at EU level, and future targets for 2030 as yet undefined. The policy dilemma is sharpened because the agricultural sector already accounts for nearly one-third of overall Irish GHG emissions. The expansion plans for milk production will result in more emissions at a time when national emissions must be reduced. It was to address this dilemma that the Institute of International and European Affairs (IIEA) and the Royal Dublin Society (RDS) established a Leadership Forum for Climate Smart Agriculture (CSA). The forum has brought together the main actors with a stake in this
The overall objective of the project is to produce a topquality final report, which will be relevant to policy makers at Irish, European and international level. We are still some way off reaching conclusions and recommendations, but already a number of key interlinked issues have been identified which the final report will need to consider. These include: the likely effort required from the agri-food sector, in light of expansion plans set out in FoodWise 2025 and the need to meet Ireland’s (as yet undefined) EU 2030 target; the trade-offs between likely increased emissions from dairying and other agricultural sectors, while taking account of the increased possibilities of carbon sequestration from forestry and other land use; and the contribution Ireland can make to developing climate smart agriculture internationally, through its technology and expertise, and through promoting climate-smart agriculture in its development aid programme. All of these issues
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SUSTAINABILITY FOCUS
production. Bord Bia’s Origin Green scheme and the high-quality Teagasc research on sustainable food systems should be further developed. Other promising areas need further exploration, such as how to optimise Ireland’s finite land resources between various activities (beef farming, dairy farming, tillage and forestry), so as to maximise farmer income and reduce emissions. The challenge for Government is to develop a credible national policy on climate change that balances the interests of the sector with the need to make a real contribution to solving the greatest global problem of the 21st century.
are complex. A number will involve detailed and difficult negotiations at EU level. For example, the European Commission will publish proposals during 2016 on how member states should share the burden of reducing emissions in the period to 2030. Our negotiators will argue that Ireland’s high level of emissions from agriculture and the limited mitigation possibilities in the sector, along with the need to balance EU food security and climate change objectives, should be taken into account in that burden-sharing decision.
A BALANCING ACT
SEIDEMER DLO !TSEB ERA
As negotiations on these issues unfold over the next couple of years, some of the imperatives faced by the agriculture sector are already fairly clear. Farmers need to improve production efficiency, which can economise on input use and contribute to more energy and carbon-efficient
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Tom Arnold is director general of the Institute of International and European Affairs (IIEA) and interim coordinator of the Scaling Up Nutrition movement
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SUSTAINABILITY FOCUS Professor John Fitzgerald of Trinity College Dublin (TCD) and formerly of the Economic and Social Research Institute (ESRI), spoke at the annual Irish Co-operative Organisation Society (ICOS) conference in November. While he emphasised that his views were strictly personal, the former researcher certainly gave a balanced and insightful analysis of the issues involved in climate change, writes Matt O’Keeffe
A PRACTICAL APPROACH After outlining the challenges pertaining to climate change, Prof Fitzgerald posed a number of useful and critical questions. There are ethical issues involved, he said, and made suggestions as to why the world should care more about climate change. He also stressed the need for collective global actions if any worthwhile results are to accrue for humanity and the environment. Addressing the subject from an Irish, as well as an EU perspective, Prof Fitzgerald outlined how the Irish economy's expanding services industry has alleviated our carbon contribution somewhat, but said that more needs to be done. He also recognised that any solutions needed to be practical, in a European context, as well as an Irish one. Actions that would damage the EU's competitiveness are not practical and a degree of certainty on actions is needed to ensure that investment in the European economy is not stymied. The former ESRI researcher did not shy away from the specific problem of agriculture in relation to its contribution to the production of greenhouse gases (GHGs). Addressing the practicalities of what can actually be done
DECEMBER 2015
TACKLING
CLIMATE CHANGE
to make a real and lasting difference, Prof Fitzgerald was critical of the EU action model as being too complex to be replicated on a global basis. There is also the problem that some countries, including the economic giants of the US and China, are moving at their own pace – if at all.
WHO PAYS? There will be costs attached, no matter what actions are taken. As to who should ultimately pay for those costs, this is not clearly defined in international policy. At least, as Prof Fitzgerald points out, actions are being planned and agreed. The fact that those actions will not be enough to stop further rises in global temperature levels is because proposals that are agreeable to most countries are not stringent enough to combat climate change effectively enough to stop the Earth's temperature increasing by at least another two degrees in this century. All of this, of course, assumes that the scientists' computer-generated climate change modelling turns out to be accurate. Prof Fitzgerald is critical of those who attempt to disguise the fact that climate change action will be costly. He acknowledges that, while there should be
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SUSTAINABILITY FOCUS considerable benefits to future generations, the payback in the immediate future is limited. His exploration of this cost/ benefit sum leads John to the conclusion that transparency is a better option than attempting to disguise the costs with claims of benefits, in terms of more jobs from new industries or bigger and shorter-term climate benefits than are either practical or likely. As an economist, Prof Fitzgerald wrestles with the concept of whether carbon emissions should be measured according to production or consumption. He has outlined the need to change production practices in order to use less carbon – a concept close to the heart of Irish agricultural policy makers. Changing consumer behaviour, he conceded, may be more of a problem. An obvious incidence of consumer behaviour inadvertently increasing carbon emissions is the move towards higher animal-based protein diets in the Far East. Allocating emissions to the consumption of goods and services provides an alternative perspective on emission drivers.
POLICY OPTIONS Prof Fitzgerald outlined the various policy options that would or could bring about behavioural change, ultimately limiting GHG emissions. Making carbon more expensive would get the necessary messages across, he says. The question is how high the price would need to go in order to cause carbon use to reduce sufficiently? There is then the possible collateral damage to economies being unable to compete because of that pricing, as well as the possible hardship to individuals and families being unable to afford their desired standard of living. Ultimately, Prof Fitzgerald concedes, scientific advancement and the development of new technologies will be needed to find an adequate and complete solution to the damage caused by carbon emissions. These, in turn, should become more affordable – at least theoretically – and available, because of the relatively higher cost of heavily taxed carbon.
THEORY VERSUS PRACTICE As an economist, Prof Fitzgerald recognises the difference between theoretical and practical, workable solutions. In theory, a flat, global tax across all GHG emissions, including methane, would eventually reduce meat and milk protein
DECEMBER 2015
consumption, for instance. Those production models that have the lowest carbon inputs, should, in theory, benefit. However, the professor discounts the likelihood of such an approach gaining widespread support and compliance. An alternative is for the EU to 'go-it-alone' in introducing a Union-wide GHG tax. While that approach might reduce emissions from European agriculture and possibly decimate the industry in terms of competitiveness and sustainability, the result would likely be a shift in animal production to other parts of the globe with little or no net benefit to the environment or the aim of lowering overall carbon use. In fairness, Prof Fitzgerald is not prescriptive. He admits that there are no clearcut solutions or answers. Certainly, it is impractical to hope that China or India will lower their dietary or economic ambitions. Neither is there much chance of Western economies willingly reducing their standards of living.
CHANGING LIFESTYLES AND MINDSETS Taking a wider view, Prof Fitzgerald believes that much can be done if new approaches are taken to the way we all live. The promotion of public transport would reduce car use. The haphazard planning that still allows houses to be built virtually anywhere must be addressed, he says. A move to more dense, urban housing developments would deliver all kinds of efficiencies. Within each of these propositions there is further room for improvement, in terms of higher standards for insulation, for instance, along with the promotion of alternative heating solutions that reduce carbon use. We have already seen that the Building Energy Rating (BER) initiative brought about significant and positive actions by house owners. More fuel-efficient and/or electric cars would also bring tangible benefits. In the medium term, Prof Fitzgerald sees technology progressing – with the necessary funding mechanisms for research and development – to deliver real solutions that can arrest climate change through alternative energies and/or greatly improving carbon-use efficiencies. If the cost ratio changes between carbon and alternatives then the necessary technologies will develop more quickly. Ultimately, changing mindsets will be of huge importance if we are to move away from a carbon-based economy.
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DECEMBER 2015 Ian Johnson, pictured with his wife, Ethna Caffrey.
Ian Johnson, keynote speaker at the United Nations Conference on Climate Change in Paris, has had a diverse career working for different organisations around the globe, writes Matt O'Keeffe
AN INTERNATIONAL AGENDA “I started as an economist with the World Bank,” says English-born Ian, who is married to Meath-woman, Ethna Caffrey. “Two key issues then influenced my career direction; high oil prices caused a rethink of economic strategy at the same time as environmental issues were a growing cause for concern internationally. The challenge of sustainable development was becoming a priority. That led to me becoming United Nations vice-president for sustainable development with responsibility for the energy sector, environment and agriculture and rural development. I also became chairman of the UN’s agricultural research organisation, the Consultative Group on International Agricultural Research. That job meant that I had a deep involvement in agriculture and rural development for a considerable period.”
SIMPLE QUESTIONS, COMPLEX ANSWERS Have those issues become more important with the passage of time? “Absolutely. I’m currently working with the UN on a report for the Paris conference on climate change which attempts to answer very simple questions to which there are a set of very complex answers: how much land do we have on Earth; how do we use it; what are the pressures on it over the next half-century; and how will we have to manage our land over that period?” In answering, Ian outlines the facts: “We have some 17 billion hectares of land around the globe. That’s about two hectares for every human being on the planet. The figure
will decline to under two hectares per capita over the next 25 years or so. That’s just the quantity of land. A bigger issue is that the quality of the land available for use is declining precipitously. We have to restore our land quality. Essentially, that will need a Marshall Plan in the coming years which will restore degraded land and make sense of the demands that will be placed on it in the years ahead.”
POSSIBLE SOLUTIONS Big ideas to rectify big problems are one thing, but to what extent are there solutions to the challenges of feeding the population of the world? “There are many solutions,” Ian says. “I think that the biggest impediment at this time is likely to be the political will to actually make a difference. We have to convince policy makers of the need to act. We can live off the land, depleting it for a finite period, as is happening, especially in parts of Africa. But it is a fixed stock. What we had a thousand years ago is the same as we will have a thousand years from now, not necessarily in quality, but in quantity. “It seems to me that we have a duty to respect that land and make the best possible use of it. The reality is that there are growing pressures being placed on land and we can’t say that all of those demands can be met at the same time. That includes urbanisation, which takes up 2 per cent of all land today, rising to 5 per cent by the middle of the century. Some think it could be as high as 10 per cent by 2050. That’s some of our best land covered in
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SUSTAINABILITY FOCUS concrete. Food demand is going to double, partly driven by population growth and partly by changing diets, mostly within the developing world. There are additional demands including land for recreation, for wildlife and a range of other purposes. We will need to be much more strategic and treat land as a precious commodity, which we do not currently do in many countries of the world.”
A BALANCING ACT Finding a compatible balance between increased agricultural production, as Ireland aspires to, and negating the kinds of challenges brought on by increasing greenhouse gas (GHG) emissions, is not going to be easy, Ian agrees. “There is as much carbon tied up in our soils as there is in the atmosphere. That means that land management will inevitably play an important role. The real issue is that our land will have to be managed in a multi-functional way that meets a range of demands upon it. That includes carbon sequestration, food production and recreation, or a combination of all those demands. So land will have a multi-functional role in ways that must be developed in the decades ahead. That inevitably puts huge pressures on land management. What we have to make sure is that farmers and landowners get revenue, not only from food production, but also from the other services that their land provides for humanity. “We have to be pragmatic and come up with the options that are the best fit for individual countries. Food demands cannot be ignored. Neither can we ignore the needs of farmers to make a living from the land. There may come a time when a tonne of carbon is so valuable that the farmer will become a carbon farmer as well as, or instead of, a food farmer. Farmers may increasingly become productive landscape managers, managing to produce food as well as farming or storing carbon. They will manage recreational lands as well
DECEMBER 2015
as wetlands. Farm income may well be derived from a range of sources. As of now, we are not prepared for that kind of land management.”
UNDERPRICED MEAT The demand for Western-style diets is increasing in developing countries. “This is a major challenge for the world. India has gone from being a vegetarian society to doubling its meat demand every five years. That’s placing enormous pressure on land because it takes seven tonnes of grain to produce one tonne of meat. It is often portrayed as a moral debate between the vegan and the non-vegan. The real issue is that the correct price is not being set for our livestock. The water and carbon impacts of livestock are not embedded in the price of meat. It is underpriced. What we will see in the next 50 years is the price going up and people managing their intakes of meat protein more sensibly.” If the world could agree on a carbon tax there would be a huge change in attitudes and practices, Ian insists. “Some food product prices would increase and the ability to manage land in a carbon-friendly manner would be profitable. There would be major changes in fuel and energy substitution, with renewables becoming more economically viable. “Because there is as little value placed on water as on carbon in many countries, that will increasingly become a critical issue, too.” Being realistic, Ian does not foresee governments fully agreeing in the near future on how to best manage the planet. “There is, however, an inevitability to this, because there is a fixed stock of land and a fixed level of resilience in our environment to cope with the pressures being placed on it. If we can get ahead of the game, the costs will be far lower than waiting until the planet is on the edge of a precipice.”
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A comprehensive re-evaluation of our agricultural and food education system is needed to ensure that the next generation of farmers, agriculturalists, and others engaged in the food chain, are provided with the capacities and knowledge needed for the development of multi-functional agriculture, writes Liam Downey, former head of Teagasc
RE-APPRAISING AGRI-FOOD EDUCATION AND TRAINING Such a re-evaluation can deliver an agriculture that is both competitive in international markets and successful in addressing increasingly pressing concerns regarding food quality, environmental issues and the economic viability of rural communities. National strategy to expand agricultural production following the abolition of milk quotas, while also responding to changing market demands and environmental needs, provides the agri-food sector with a major challenge.
REQUIREMENTS FOR MULTI-FUNCTIONAL AGRICULTURE The performance criteria for a successful multi-functional agriculture include the need to be profitable at farm level, produce market-required products, meet animal health welfare needs, be environmentally sustainable, be resilient to climate change and be energy efficient. These criteria will be the co-determinants of future success in global food production, meaning they are the foundation blocks upon which future education and training need to be developed at all levels in the food chain. A novel feature of this approach is its recognition of the need for a single,
unified agri-food knowledge system, and the central role that education and training systems must play in achieving this key national objective. The relative up-take of wellestablished best practices that can significantly improve performance at farm level, for example, financial planning/ analysis, recording of milk yields, improvement of soil fertility and pasture management, and quality control in silage production, continues to be poor. Lack of take-up of current best practice frequently limits capacity to progress and improve, and is a major impediment to the concept of ‘getting better’. The question of technological absorptive capacity, or resistance thereto, is therefore an issue of major strategic concern.
THE LEARNING PROCESS Educational policy development needs to be underpinned by a deep understanding of the reasons why apparently obvious means of improvement are resisted. Can we benefit from a better understanding of how the learning process works? In this context, four insights from the cognitive and behavioural sciences may be useful. Social
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SUSTAINABILITY FOCUS capability often means that major change can be socially difficult and disruptive. Established culture, including deeply ingrained institutions and organisational structures, can limit responsiveness to new opportunities. The learning paradox relates to the close association between education, skills level and success. A relatively poor level of existing knowledge in key new areas will constrain the capacity to progress. This can only be addressed through an all-round improvement in basic understanding. Benchmarking of existing knowledge and comparison with educational provisions that successfully improve knowledge levels elsewhere are required. The ability to network will be essential. The new knowledge needed to drive innovation will largely come from external sources, and sustainable improvement in the performance of Irish food production will depend largely on improved access to, and use of, this knowledge.
DECEMBER 2015
Acquiring external knowledge also requires that the knowledge be codified and contextualised before it can be fully understood. This is a fundamental step in knowledge transfer and a key part of the wider educational framework. It is often only when new, increasingly specialised knowledge is incorporated into formal systems development that its benefits can be effectively communicated as acquired knowledge. This requires optimisation of the links within and between the agencies involved in knowledge generation, extension services and educational provision.
EDUCATION AND TRAINING FOR FARMERS Education and training programmes must equip prospective farmers with technical understanding, business management skills and the ability to realise new opportunities. The over-arching strategic goal should be to get farmers to ‘think food’. Provision of an appropriate balance of farming, food and environmental knowledge will be a key to their future success. In an era where information is readily available, developing the capacity to source, evaluate and apply relevant knowledge will be a critically important skill. Participants in Teagasc programmes vary considerably in the scale and intensity of their farming interest, their level of programme participation, existing knowledge and learning abilities. Key issues include identifying the minimum core level of knowledge, skills and competency required, and the additional skills needed to upgrade and equip progressive farmers with the capacity to improve and further develop their enterprise, as well as clarifying how these requirements can best be provided for.
FUTURE DIRECTIONS It is vital for educators to recognise the limitations of the conventional ‘nutritional model’ of education, in which learners are fed information and tested on recall of it. Any re-appraisal of third-level education must consider new approaches, including a robust critique of current teaching methods. It must take account of diverse learning styles and abilities. There must be a clear identification of appropriate entry levels of knowledge and competency for each learner category. It must be recognised that provision of information does not equate to knowledge acquisition. Self-sufficiency and critical thinking is needed in the sourcing and evaluation of information and there must be acknowledgement of the importance of social learning to ensure graduate capacity for collective learning and mutual collaboration.
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SUSTAINABILITY FOCUS VALUE-ADDED MINDSET In establishing a new strategic direction for Irish agriculture, education programmes need to foster and promote a deeper understanding of the inherent production system benefits and marketing advantages to be gained from the enhancement of product quality, systematic improvement of animal health and welfare, sustainable use and
DECEMBER 2015
protection of natural resources. In meeting increasingly diverse challenges in food production, agri-food education needs to be understood as an ongoing process of professional development. This requires that education programmes place much greater emphasis on the capacity for critical thinking and ‘self-learning’ and that careful consideration is given to the provision of career-long educational opportunities in all agri-food sectors through continuous professional development.
RE-INVIGORATING ADVISORY SERVICES Farm advisory services are a significant component of the organisational landscape within agri-food and are increasingly seen as being at least as important as technological developments within the agricultural knowledge and information system. In supporting a significant re-orientation of the agri-food sector, careful consideration needs to be given to the role that a reinvigorated extension service can play, and to the consequential educational and training needs of advisory staff.
BENCHMARKING The further development and upgrading of education and training in the rapidly changing agri-food sector requires a critical evaluation and comparison with educational responses and developments elsewhere. Such an undertaking would greatly benefit from the engagement of a global perspective. With its strong record of positive engagement of the review of national science policy, its long-established standing committee on agriculture and its proven record of interest in agri-food education, the OECD can play a highly credible role in such an exercise. The OECD has recently published a draft framework for Analysing Policies to Improve Agricultural Productivity Growth Sustainably. This initiative will, among other things, focus on ‘capacity building’ and specifically take into consideration the development of ‘education and skills policy’. Is OECD engagement in a benchmarking exercise on the future direction of Irish education and training for farmers and agriculturalists feasible? Such an exercise would position Irish agriculture in the vanguard of agri-food policy development.
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Since becoming Director of the Food Division at Enterprise Ireland, Michael Cantwell has first-hand experience of the challenges faced by the Irish agrifood industry; he discusses these challenges, recent industry developments and the importance of foreign direct investment, with Shauna Rahman
CHALLENGING TIMES
DRIVING ENTERPRISE HOME
At present, the biggest, ongoing challenge in the Irish food industry is adapting to a post-quota dairy sector. As food companies are still transitioning to a post-quota Ireland, farmers are continuing to invest heavily into their dairy farms to meet increased milk volume. Milk volumes in this first year after the abolition have already exceeded expectations, as has the significant increase in indirect and direct employment. By 2020, it is anticipated that milk demand will have increased by 50 per cent, but price volatility and the progressive increase in milk supply, are still areas of concern for farmers. “Prior to the abolition of the milk quota, significant on-farm investment and strategies were put in place to ensure Irish dairy farmers could cope with the future increase in milk supply,” says Michael. “The dairy sector is a key contributor to the Irish economy, and this forward planning is a vote of confidence for both the Irish food and farming sectors as a whole. Dairy exports were valued at approximately €3.06bn – 29.14 per cent of total Irish food exports in 2014. “This year has been an exciting one as the food industry continues to grow (15 per cent year on year in 2014/2015) and we are on target to reach the expected 50 per cent
increase in milk volumes by 2020. Farmers will need the continued support of government and state agencies going forward.” Enterprise Ireland’s role in this, is to continue to support the processing sector within the food industry, in cooperation with Bord Bia and Teagasc, and the Department of Agriculture, Food and the Marine (DAFM).
HIGH ACHIEVERS Enterprise Ireland has increased its involvement in, interaction with and impact on, the Irish food industry in the past two years, and over the past 18 months, and has invested approximately €200m across the different food sectors. One such investment involved the new Irish biscuit company, East Coast Bakehouse, located in Dundalk. A €15m investment into a new, large-scale, commercial biscuit manufacturing facility, with up to 100 jobs being created, was announced in June, 2015. One of the most significant investments this year took place in March, when approximately €180m was invested into Glanbia Ingredients Ireland’s Belview site in Kilkenny – the largest investment in a single greenfield site to date. “Times have changed,” Michael says. “It is not just in the area
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DECEMBER 2015 of capacity increase, which companies are looking to invest in.” Key areas, which the organisation is encouraging food companies to focus on, include: innovation, R&D, Lean practice implementation and developing their market competitiveness. Enterprise Ireland has over 170 food companies, including Dairygold and Glanbia, now using Lean manufacturing techniques, while also investing in the area of capabilities, whether it is innovation, leadership or management capabilities. Companies are being advised to take advantage of opportunities to scale and increase their international presence. Investing in technology and online infrastructure is essential today, but investing within the organisation, creating leadership roles and anticipating management needs are also important. “Companies need to build capability throughout the entire value chain and sustain competitive advantage through investment in people, innovation, and product and process development,” Michael says. “This year, we also had the largest foreign direct investment (FDI) in the region of €100m by the Kerry Group in Naas, Co Kildare, which created almost 1,000 jobs. Having their European R&D headquarters
Importance of the food sector in Ireland: u 7.2% of Ireland’s economy-wide gross
value added (GVA) u 12.3% of Ireland’s total exports u 8.8% of total employment (DAFM, 2014) u Sustaining 230,000 direct and indirect jobs in rural
communities u Export growth rate +4% to c.€10.5bn in 2014 u 40% to UK u 31% to continental EU markets u 29% to international markets (Bord Bia)
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SUSTAINABILITY FOCUS
located in Ireland lends to the Irish food industry’s growing reputation as a prime location for global food companies.”
WHY INVEST IN IRELAND? As an organisation, Enterprise Ireland has very ambitious targets for FDI. Their staff ratio has increased both locally and internationally and last year the organisation succeeded in attracting six significant investments from a mix of old and new companies from overseas. The multinational food companies in Ireland contribute a marked amount towards both the economy and employment, so Michael says Enterprise Ireland’s aim is to continue to be ambitious and grow FDI and attract key international food companies. “The pet food, ingredients, whiskey, dairy and consumer foods sectors are drawing in more and more FDI, so, we need to focus on presenting the competitive advantages of doing business in Ireland, to new investors. Our package of incentives includes our leading sustainability programmes, eg. Origin Green, our healthy environment, our temperate climate, our advanced infrastructure and the availability of raw materials.” Most importantly, companies are most impressed by the calibre and talent of prospective Irish employees. The food research and scientific developments in institutions like Teagasc, UCD, UL and UCC, to name a few, are major attractions for global companies to Ireland. A new initiative for Enterprise Ireland is the development of a meat technology centre, a project which Michael says is receiving excellent industry feedback. “As the dairy processing technology centre initiative was so well-received
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we are confident that the meat technology centre, which is in an advanced stage, will also be a success.” There has also been a major increase in the amount of Irish high-potential, internationally food-focused start-ups in the last year. Michael says there was on average only two to three per annum a few years ago but today, it is 10pa and he expects this to increase again next year. “We are always up against huge competition, so securing investment is challenging, but we are confident in continued future success.”
SUSTAINING A BETTER FUTURE The food industry is extremely important to Enterprise Ireland. According to Michael, the organisation’s client annual exports are valued at €18m, with food exports making up 55 per cent of this. “If we are not successful in food, then we are not successful in our organisation. Food surpasses any other industry in Ireland. The industry spends more and sees more returns in the economy than any other industry. Collaboration between all the agencies and cooperating on initiatives like Food Wise 2025, is important for the future success of more than 600 food companies here. Meeting the growing trends of sustainability, traceability, nutrition, obesity and health and wellness is also essential and we need to develop and deliver products that meet these trends which will, in turn, drive company growth. “We need our companies to be environmentally aware, sustainably aware and we will invest accordingly in these areas. The future is bright for the indigenous food sector and I look forward to continuing to help it thrive.”
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1
Bord Bia, in association with the Sustainable Agriculture Initiative Platform (SAIP) and the World Wildlife Fund (WWF), recently organised a Global Sustainability Forum in the Convention Centre, Dublin. Approximately 400 delegates, including 120 from overseas, attended the event which heard how Ireland is aiming to be a world leader in sustainability
STRIVING TO BE A SUSTAINABILITY LEADER 3
2 1 Simon Coveney, Minister for Agriculture, Food and the Marine. 2 Aidan Cotter, chief executive Bord Bia. 3 Jason Clay, executive director, The Markets Institute, WWF-US. 4 Jim O’Toole, director of Bord Bia’s meat and livestock division; Simon Coveney, Minister for Agriculture, Food and the Marine; and Aidan Cotter, chief executive Bord Bia.
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5 Keith Kenny, vice president of sustainability, McDonald’s Corporation.
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DECEMBER 2015 Sustainability is defined as being able to meet the needs of the present without compromising the ability of future generations to meet their own needs. It should underpin everything we do across all sectors, to ensure the long-term growth of our economy, protection of our environment and good quality of life for all our citizens. As Minister for Agriculture I believe that agriculture has a major part to play in achieving these goals, and Ireland is well placed to be a world leader in sustainable farming practices, food production and research, as we have a number of natural advantages. Situated on the northwest periphery of Europe, the continued availability of permanent grassland is a defining element of Ireland’s agri-food industry and enables two of the country’s biggest outputs – meat and dairy – to be produced on natural, grass-fed diets. Our rolling 10-year strategy process, renewed every five years – the latest Food Wise 2025 – has been outstandingly successful at engaging the whole sector in the development of a common vision for sustainable food production. Ireland is among the top five performing Member States in the EU in terms of its carbon footprint for the livestock sector, and research from Cranfield University in the UK illustrates that Ireland has one of the lowest water-stress measurements in the world. Nevertheless, globally and at EU level, we are still faced with reconciling the twin challenges of sustainable food production, in the light of rising global demand, while protecting our natural resources. Encouragingly, research has shown that better environmental practices on farm can also deliver better economic performance – the two are intrinsically linked. It is the policy of my Department, working with all stakeholders, to exploit such cost effective measures at farm level to optimise productivity and sustainability, and this has been one of the key objectives in designing the new CAP measures in Ireland and also a central component in our climate change strategy. The new Irish RDP for the period 2014-2020 will be a key support in enhancing the sustainability and competitiveness of the agri-food sector, with a number of measures designed and targeted to deliver on the themes of technology, efficiency and sustainability. The main elements are: • The €1.4 bn Green Low-Carbon Agri-Environment Scheme (GLAS), a significant organic scheme worth €44m, and other targeted environmental measures valued at €70m;
Simon Coveney TD, Minister for Agriculture, Food and the Marine
SUSTAINABILITY AND IRISH AGRICULTURE • The €350m beef data and genomics scheme which
is directly targeted at climate emissions of 30k beef farmers; • The roll-out of the carbon navigator to approximately 36,000 farms through the knowledge transfer and Beef Data and Genomics programmes; • And a number of other measures including support for the professional development of professional agricultural advisers. Therefore, as Minister for Agriculture, I don’t believe Ireland is complacent about the challenge of sustainability and climate change, but continues to seek more efficiency throughout the food production system. Furthermore, the Origin Green project, developed by Bord Bia and Teagasc, is a world-leader in its concept of requiring a sustainability audit including carbon foot-printing, the production of Irish agri-food from the farm, through processing, and on to the retail shelves. The sustainability of Irish agriculture has been steadily improving in recent years, through improving production efficiencies such as: better usage of fertilisers, grassland management, improved breeding and better fertility, and my Department will continue to work with state and industry stakeholders to exploit these efficiencies even further thus underpinning the sustainability of Irish agriculture.
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DECEMBER 2015
Messages: • Review your 2015 management achievements now; • Farmers who do not plan are greatly surprised when • • • • • • •
they realise their finances are in a bad condition at year end; Farmers must decrease costs and increase output per cow; Examine cow condition again now; Take steps to identify lameness; The milking machine is the most important machine – service it now; Good silage pit management is necessary; Feed dry cow minerals from December 20 – 40 days before expected calving dates; Make an inventory of your grazing facilities now.
Matt Ryan Review 2015 now The year hasn’t been as bad as we expected in January. • Milk price decrease was 8-9c/L; • Weather, generally, was very good and costs did not increase significantly. At the beginning of 2015, it was predicted that milk price would decrease by 10-12c/L. My early profit monitors show decreases ranging from 8.2c/L to 8.6c/L. Co-op efforts, no doubt, have helped, and percentage fluoride (F) and phosphorus (P) levels in milk have been higher this year, mainly due to spring/early summer grassland management. To review the year, perform the profit monitor or some similar financial analysis, examine your data (calving, fertility, economic breeding index [EBI], milk recording, etc.) on the Irish Cattle Breeding Federation (ICBF) website and analyse your grass yield data on Agrinet. Ask your adviser or discussion group to critique your performance against a high standard of benchmarks. You will then be in a good position to make your plans for 2016.
No plan: failure a complete surprise? It has been remarked that the nicest thing about not planning is that failure comes as a complete surprise. How true that is in dairy farming. Let’s do something about it! The plan must mainly revolve around reducing costs; let us address some of the major ones. The target meal feeding level is 0.07kg/L or 0.9kg per kg milk solid (MS) of milk produce. This is for a stocking rate of
2.5-2.8 cows/ha. Greater than this means you are wasting money, if it was a normal grass growth year. Why? • Possibly calving too early, for the grass supply, or having a scattered calving pattern; • Feeding a lot of meal in April, because you started grazing too late in spring and are short of grass on the second rotation; • Feeding 1-2kg per cow per day all summer, probably to get the cows into the parlour (you could easily buy a backing gate for this cost). Or because you think it improves fertility, in which case you are misinformed, because it doesn’t; • Feeding 3-4kg per cow per day in autumn because you haven’t built up grass and have been forced to house early; • This also affects your days at grass, a loss of €2.80 per cow per day; • Another component of meal cost is price – cheap products, like soya hull, when fed with grass, can do the business; • Therefore, the target costs for 2016 should be €85-95 per cow. Fertiliser costs must not be reduced: • Be absolutely sure you know and apply the correct amount of fertiliser; consult pages 52-53 of the Moorepark Open Day booklet; • I estimate that maintenance nitrogen (N), P and potassium (K) will be €390-430/ha; but savings can be made by using 10:10:20 instead of other combinations and using urea for most of the year instead of CAN; • Lime, which is almost totally forgotten about by farmers, will have an annual cost of €12/ha (0.5 tonnes); • The ratio of meal to fertiliser spending, either per cow or for total farm, should be 40:60. This is important. Veterinary costs must be considered and, based on farmer experience, we should manage on €55-65 per cow. Itemise your 2015 costs to see where you lost ground. Artificial insemination (AI) and breeding charges should be €30-35 per cow. Contractor costs will vary, depending on the work offloaded. But the cost of contractor plus machinery running costs plus machinery depreciation should be €160-200 per cow. Too many farmers have machinery for show because they haven’t time to use it.
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MANAGEMENT HINTS Milk recording and parlour costs should be €20-30 per cow. Milk recording for expanding herds may be discontinued for one to two years. Car, electricity and phone costs should be somewhere between €50-60 per cow. Labour costs should be critically managed so that one man, without being overwhelmed, cares for 130-170 cows. Borrowed money per cow should be €1,000-2,500 so that interest payments are kept below €120/cow.
Gross output per cow must be raised The national replacement rate is 24 per cent (target: 18 per cent), which is costing €70-80 per cow in each herd. This may be due to: • Cows not going in calf for various reasons; • Very poor animal health preventative care; • Cow deaths greater than a 3 per cent target; • Poorly reared, either too small or too fat, replacements. Our herds are too young at 3.3 lactations (national average). First calvers only yield 72 per cent of their mature age level. Improving the fat percentage and protein percentage by 0.1 per cent each increases profit per litre by 0.22c and 0.44c, respectively, which is worth driving for. • You can breed improvements into the herd by choosing high percentage F and P AI bulls or by cross breeding; • The more grass you feed in the diet, the higher constituents will be; therefore, more days at grass and grass quality (over 80 per cent dry matter digestibility [DMD]) are vital; • Milking cows on in the autumn/winter with 80-90 per cent grass in diet while not compromising body condition score (BCS); • But, more importantly, for non-expanding herds they should sell off the lowest 10 per cent of cows for percentage F and P. The same should happen for milk yield. Farmers should aim to produce nearly 72-75 per cent of the cows’ yield during the six summer months (AprilSeptember): • Every extra 454L per cow produced during this period is worth 1.04c/L over all the milk produced; • The reasons for this loss include having a low peak milk yield in May, having too many late calving cows, poor grassland management, feeding stemmy grass, and periodically running short of grass, particularly after silage cutting.
DECEMBER 2015
Too many farmers are planning on expansion, which is a big mistake when they could increase farm profit substantially by improving on the efficiencies listed above. More cows for bad-to-moderate farmers will lead to more capital costs, more borrowings, more headaches and, probably, less profit. So prove to yourself in 2016 what you are capable of.
Cash in on December price? It’s difficult to know if this is good advice, but consider the costs versus the benefits. With the need for cash income a very high priority for most farmers this year, it may be worthwhile to milk on until December 20. • The response will be 0.7-1.0L (23-33c) per kg of meal (cost 25c); • Cows milking 8L, with percentage F and P over 9 per cent, will just about pay their way; • Milk price will be 33-37c/L, making it just about worthwhile; • Selectively choose cows for this purpose, namely later calvers, low somatic cell count (SCC) cows and cows with good BCS. Because silage has good feeding value and low protein levels this year, 2-3kg of a high-energy, 16 per cent protein ration should be fed. Very thin, high SCC cows and February calvers should be dried off immediately. Follow the recommended drying-off procedures in last month’s Hints. Reduce the risk of mastitis problems after drying off: • Be very hygiene conscious during the 21 days post-drying off, as it is a high-risk time; • Clean cubicle beds daily; • Clean passages twice daily; • Use a head rail to ensure the backs of cubicles are clean and dry; • As bugs need moisture to grow, keep cubicle beds dry by using sawdust, paper, lime or chopped straw.
Examine cow condition again now From what I have seen, BCS this autumn has been good but you need to keep cows’ BCS under constant review. In-calf heifers and weanlings need the same visual attention. As we are now 60 to 70 days to the start of calving, it is vital to carefully examine cow body condition so that you don’t have too many thin or fat cows at calving. It is essential to get the most out of our assets and the cow is the most important asset a dairy farmer owns. Such an examination now verifies the quality of your silage
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DECEMBER 2015
and feeding programme and, if not up to scratch, you can now do something about it, which you must! Thin cows need your attention. Why? • They will calve down thin; • They will milk less, over 450L for every 1 BCS below target and have lower constituents; • They will be thinner at bulling time and, consequently, 1720 per cent more of them will not go in calf; • Separate out and feed 1-3kg meal per day – this is a must-do job. Fat cows are a liability. Why? • This could be a big problem next spring as silage quality is very good; • A fat cow has a body score of 3.5 or more; • They will get fatter from now to calving; • They may suffer more calving problems; • At, or after, calving, they will suffer from more health problems, such as milk fever (cost = €300/case), tetany (cost = €600/clinical case), ketosis (cost = €190/clinical case) and acidosis (cost = €270/case); • Feed intakes post-calving will be reduced by 2kgDM/day, resulting in milk yield being reduced by 450L or more, and also lower fat and protein percentage; • Fertility will be poorer because cows will lose too much weight between calving and bulling – 0.5 BCS loss results in submission rates being reduced by up to 49 per cent and six-week pregnancy rates being reduced by up to 20 per cent; • You will be wasting valuable (very expensive) food on them; • What must you do? You must separate them from other cows, restrict their feed to 5-6kg dry matter per day (2030kg of 20 per cent DM of fresh silage daily) plus 1-2kg DM straw. But cows must have nearly 2ft of feeding face each.
Avoid lameness at all costs Lameness adds huge financial losses to a farm business: • Digital lameness – €106 per case; • Interdigital lameness – €98 per case; • Sole ulcers – €144 per case. These are the direct cost of lameness, but the cost of thin cows not milking to potential, not going back in calf and wasting feed are not included. Therefore, lameness must be prevented and controlled. What are the causes of lameness? Treatment of lame cows
is a waste of money if a preventative care programme doesn’t exist on your farm. The causes must be rectified immediately – a really important maintenance task for this winter/spring. Run scrapers often to keep passageways clean and have one cubicle for every cow. Good ventilation entails having a one-square-foot inlet per cow and a two-square-foot outlet per cow all the time, and not just opening doors when you think the atmosphere in the cubicle house is stuffy. Go and check this sooner rather than later as it a major problem on farms. Routine hoof paring must be part of the prevention plan: • Experiments have shown that not all cows that had sole ulcers were lame and that first calving heifers were likely to be severely affected by lameness; • It is suggested that farmers should use an expert – the Farm Relief Service (FRS) – for this purpose during December;
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MANAGEMENT HINTS
• It will help to reduce the number of expensive ‘fire brigade’ calls and ensure low culling rates due to lameness. Mortellaro has become more common recently. It is a virus condition around the feet, resulting in the foot being badly swollen (not hot) between the claws with a bad smell. An Alamycin spray every day for a few days will clear it up, using the following procedure: wash, dry, spray and dry. In more severe cases, footbath of lincomycin, tetracyline, or Opti-Cide3 will cure the problem, but do not overuse antibiotics and alternate these products to prevent resistance developing. An ordinary footbath (4L formalin or 4-5kg bluestone or zinc sulphate in 200L of water) on three consecutive days, morning and evening, every month, is recommended where lameness is an ongoing problem. Walk through all cattle/cow pens twice per week to identify animals with tender feet or who are off colour. Remember: if an animal is lame in the two back feet, she won’t show obvious symptoms, except being stiff. This enables you to act in time, which is the biggest problem with farmers during winter.
Manage the silage pit Silage pit management greatly influences the ‘freshness’ of silage being fed daily: • Remember that air rots silage, so you must manage the pit face to minimise air penetration; • Use a shear grab or saw to cut down or remove silage from the face, so that air penetration is minimised. This is particularly important if the pH is poor; • Only disturb small areas of the pit at each feeding; • Do not leave layers of tossed silage exposed to the air; • Prevent water running down the face of the silage pit by rolling back the polythene; • But weigh down this polythene tightly on top and at sides; • Too many farmers pull down the polythene over the face of the pit. This is wrong, as it causes the glass-house effect, which results in quicker rotting and fungal growth; • Nothing could be worse for silage intake, resulting in silage intakes being reduced by 1-3kgDM. Moorepark research has shown the following: • Cows spend six hours per day eating silage;
DECEMBER 2015
• Cows have three feeding activity peaks, namely sunrise, • • •
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feed placement and feed push-up; Cows will generally only spend 10 minutes queuing for silage and then get ‘fed up’ waiting; Severe wind and rain on exposed feeding areas reduces silage intakes by 4kgDM per head per day; Cows housed in groups of 24 eat 1-2.6kgDM per head per day more silage than those in groups of eight, because they eat faster and more frequently but spend less time eating; Cows spend longer feeding during the day.
The implications of the research may be worth heeding, and remember thousands of euros are lost annually on poor silage pit management. Beware of the risks when feeding mouldy silage: • It can cause abortion in pregnant cows, therefore do not feed them with it; • It will cause serious chest problems for some farmers, therefore always wear a facial mask.
Your milking machine requires service Your milking machine works on average 1,200+ hours per year (53 full days per year). Your car does half that work, and how many times is it serviced? The consequences of not servicing your milking machine annually (it should be done twice per year) are very serious: • Slower milking; • Huge increase in clinical mastitis; • Huge increase in SCC levels; • More cull cows; • Reduced milk yield (6-10 per cent). The months of December and January are the ideal time to service your milking machine. Many farmers could do this job themselves, depending on how complicated the machine is, and save some money. But you must not attempt to do it, if you do not know how. You must get a full written report from the technician. I have to stress the importance of this because it is not being done as regularly as it should be. The technician should be Irish Milk Quality Co-operative Society (IMQCS) registered. Act on his report; otherwise, it is like a person who is very ill going to the doctor and not going to hospital if he advises that. Most milking machines have one or two major faults.
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DECEMBER 2015
40 days before calving: dry cow minerals Farmers starting to calve cows from February 1 will need to start feeding dry cow minerals from December 20 (40 days before calving). It will cost €2.50-3.00 per cow for the season. Late calving cows don’t need minerals for another six to eight weeks (save money). Dry cow minerals are necessary to prevent: • Retained placenta (cost = €400/case), due to selenium, vitamin E or iodine deficiency; • Calf deaths (cost = €450+/calf), due to copper/iodine deficiency; • Milk fever (cost = €300/case) due to too much calcium; • Urine drinking due to sodium (salt) deficiency; • Reduced appetite due to several minerals and vitamins; • Poor thrive due to several minerals and vitamins. Feed 100g of pre-calving mineral per cow. Follow the supplier’s instruction on the quantity to feed. Spread half in the morning and half in the evening on top of the silage. Make sure your mineral mix meets your deficiency requirements on the farm. Most silages are deficient in iodine, copper, sodium, selenium, cobalt, phosphorous and magnesium. More recently, the major elements, particularly phosphorous, are deficient in silage. A silage analysis can identify your problem minerals.
Do you need to improve grazing facilities? • • • • • • •
Not enough roadways? Paddocks too long and narrow? Mucky roadways? Mucky gaps? Not enough entrances to paddocks? Poorly maintained roadways? No water in paddocks – water troughs very poorly sited?
• Big silage fields with no water trough in the middle? • Fences poorly maintained? • Paddocks too small because of extra cows? Without having these facilities optimised (near perfect), farmers will not be able to optimise grass utilisation in February, March, April or autumn. • The return on money spent on these facilities will be 1520 per cent; • Go out to your paddocks today and make a list of what you need to do; • The FRS can do most of your maintenance work. Get a 25-inch map of your farm. Work out, with your adviser or mapping specialist, where to put a roadway, the number of paddocks you need, two or more entrances to paddock, etc. Poor road surfaces slow down movement of cows to and from paddocks. Time your cows’ movement and compare with that of your neighbour, or even their movement through various sections of the roadway. To get the most from silage fields, cow walks 1-2m wide should be strategically placed through big silage fields. As silage fields must be grazed early and late in the year, cow walks are essential. In any farm business where the key person has insufficient personal ability, which is not offset with top advice or a very good property or a very low debt or a very capable spouse, or a combination of these, then what you have is a family business that is heading for failure.
Seasonal greetings This is a really special time where you should relax with your family and enjoy the fruits of your achievement. Leave your worries aside until next year. • To all my readers, may I wish you a very happy Christmas!
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MACHINERY
DECEMBER 2015
AGRITECHNICA REVS UP MACHINERY MARKET
AGRITECHNICA2015 AGRITECHNICA 2015
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Around 450,000 farming and machinery enthusiasts from all around the world travelled to Hanover in Germany for the annual Agritechnica international machinery trade fair in November. Irish Farmers Monthly was among the machine-loving masses and captured some of the highlights of this year’s event The new Claas Axion 870, complete with front mounted 3600 FC disco mower and rear mounted mowers; part of the extensive Claas grassland range on view at the show.
Kubota had a full line-up of machinery on display, including tractors, balers and even fertiliser spreaders.
Attracting a lot of attention at the show was this new design concept from Zetor by Pininfarina – designers to Ferrari!
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DECEMBER 2015
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1. JCB’s new 435S wheeled loader with 4. The Lemken Rubin 9, four-metre compact disc harrow. its new updated interior based on the Fastrac 4000 series. It now has better 5. Sulky won gold at Agritechnica for its all-round visibility and comfort. advanced fertilisation technologies programme called ‘Connected 2. Amazone had a large display of Nutrient Management’. newly developed pneumatic seed drills on display, along with the conventional seed drill to cover large 6. John Deere’s new R series loaders, specifically designed to suit the 6R and small operators. and 6M tractor range. 3. Berthoud had an extensive range of sprayers on display from small utility 7. The McHale Proglide mower combo unit. sprayers to this self-propelled model.
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MACHINERY
DECEMBER 2015
FTMTA CONFERENCE REPORT
The Farm Tractor and Machinery Trade Association (FTMTA) national conference for 2015 was held at the Heritage Hotel, Killenard, on Friday, November 20. FTMTA is the representative body for the Irish farm machinery industry and includes distributors, manufacturers and retail dealers within its membership
FTMTA president Donal Fitzpatrick, JH Fitzpatrick Ltd; Rosarie Crowley, Kuhn Centre; and Conor Breen, Breen’s Farm Machinery. Photos: Alf Harvey/HRPhoto.ie. The mission statement of the long-established association is “to promote the highest standards of professionalism in the farm machinery industry”, and that theme was carried through in the conference title of ‘Driving Your Business Forward’. An impressive panel of speakers addressed topics of practical relevance in the management of a farm machinery business, which has become a far more complex undertaking in recent years. According to FTMTA chief executive, Gary Ryan, the aim of the association was to deliver a conference that would make a positive impact in the daily business of all those attending, as well as providing a valuable networking day for the membership, and that was certainly achieved. The presentation of the FTMTA Gold Award for 2015 to Mrs Eileen Traynor (formerly of T Traynor & Sons Ltd, Clonmel) took place during the conference dinner. The FTMTA Gold Award is made by the association to a person who is considered by the executive council to have given outstanding or long service to the association or the agricultural machinery industry in general. This
William Judge, AGCO, guest speaker; FTMTA president Donal Fitzpatrick, JH Fitzpatrick Ltd; and FTMTA CEO Gary Ryan. year’s Gold Award marked Eileen’s contribution to the association as the first female member of the FTMTA executive council and also recognised her contribution to the overall industry in the many years she has been at the forefront of her family business. Well-known economist Jim Power made some interesting points in his presentation on the overall economic outlook, with a specific focus on the agricultural outlook and how that might manifest itself in the farm machinery sector. Given the predominantly family-business nature of the farm machinery sector, the presentation by Kieran McCarthy of accounting firm Hughes Blake, in relation to sustainability and viability in family businesses, with a particular emphasis on transition and succession, was of huge interest to the audience. Kieran published his first book, Family Business – A Survival Guide, in 2014. The book has been very well received and primes the owners of family businesses to meet the unique challenges arising when family members work together. An interesting perspective on the management of a retail business was given by Peter Kealy, former MD of BWG Foods, which runs
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MACHINERY the Spar and Mace franchises Ireland, who is now a consultant to the retail sector. It was clear that the intention was to suggest that farm machinery dealerships might focus more on the pure retail aspect of their operation. At previous FTMTA conferences, the international manufacturer slot has been very popular and this year was no different, with a very well received presentation by Edenderry native William Judge of AGCO, who has recently been appointed to the role of sales manager for the Massey Ferguson brand in the UK and Ireland. The development of the new Bachelor of Science in Agricultural Mechanisation at IT Tralee this year has been a very important step for the sector, and the association has worked closely with Dr Brendan O’Donnell of IT Tralee to bring this about. Brendan is head of department at the School of Science, Engineering, Technology and Mathematics within the college and addressed the conference in relation to the new programme and what it is hoped it will deliver. Solicitor James Staines of Kennedys, who is well known in agri circles, spoke on the responsibilities and obligations of farm machinery businesses in the sale and supply of farm machinery. Other issues of importance to the association were also addressed, with short presentations on a customer relationship management (CRM) tool specifically for the machinery sector, which FTMTA has been working on in recent months. There was also a presentation addressing the positive impact of a good human resource management strategy for a business. A panel of Irish Farmers Journal commodity experts, led by IFJ editor and chief executive of the Agricultural Trust, Justin McCarthy, gave their views on the outlook for agricultural markets.
DECEMBER 2015
Turning straw into pellets Agritechnica was the launching pad for Krone’s Premos 5000, a machine designed to turn straw into pellets, on the move. The Premos claims an output of around 5,000kg/hr, making it three times faster than static machines that are currently available for pelleting. Straw is gathered up by a 2.35m pickup and is conveyed by rollers through a pressing system at pressures of up to 2,000 bar. Pellets are then transferred to a five-tonne hopper. In straw with low
moisture content, it is possible to add water or molasses to gel the straw. When the Premos goes into full production it will be fitted with a dampening system to maintain the correct levels of moisture. Krone sees this machine’s market potential being in three areas: heating; animal bedding; and germ-free animal feed production. Ahead of an official launch in 2017, Krone plans to test the machine in hay and lucerne next season.
Pöttinger impresses with new baler model The Pöttinger 125F master baler will be available as a fixed chamber baler, variable round baler and in combination with bale wrapper, each as a master or pro version. The new 'Liftup' technology enables a natural flow of crop, so that the forage enters the bale chamber tangentially (at an ideal angle). The result is a high-intake capacity that translates into high baling performance, with very low disintegration losses. In addition, the bale chamber is fed more uniformly across the whole width. On the one hand, this reduces any left/right steering correction needed to produce well-shaped bales. On the other hand, the bale always starts formation in any situation. The Flexcut 32 short chop system on the Impress has up to 32 twinblade reversible knives and an individual knife protection system: 36mm theoretical chopped length across the entire width. The shorter chop length enables higher compression of the crop and, thus, higher bale density with all harvest material (silage, hay, straw). The Impress features a swing-out chopping system with the easy move pull-out knife bank.
Talk To Us Today About Financing Your Farm Machinery
07662 34900 www.bankofireland.com/finance Finance Finance Lending Lending criteria criteria and and terms terms and and conditions conditions apply. apply. Finance Finance is is generally generally provided provided by by way way of of a a fixed fixed rate rate unregulated unregulated business business hire purchase agreement or a fixed rate business lease agreement. The credit provider is Bank of Ireland hire purchase agreement or a fixed rate business lease agreement. The credit provider is Bank of Ireland Finance Finance which which is is a registered trading name of Bank of Ireland. a registered trading name of Bank of Ireland.
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MACHINERY
The winners of the 2016 Tractor of the Year (TOTY) awards have been announced, with the Fendt 1050 Vario taking top honours
DECEMBER 2015
TRACTOR YEAR2016 OFTHE
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Tractor of the Year: Fendt 1050 Vario With 500 horsepower, the Fendt 1050 Vario is the world’s most powerful conventional tractor. The proven continuous transmission Vario works with the innovative VarioDrive traction system. Using two independent hydraulic motors, one for the front axle and one for the rear, the engine torque may be freely distributed on both axles, making the driving experience very similar to the most sophisticated cars.
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DECEMBER 2015
Best of Specialised 2016: Same Frutteto S90.3 ActiveDrive This is a tractor with an innovative front axle suspension system with independent wheels. This solution, normally seen on higher horsepower tractors, has been brought by Same to its specialised tractors for orchard and vineyard work. The geometry of the system maximises traction, manouverability, safety and drive comfort.
Golden Tractor for the Design 2016: Valtra N174V A modern, dynamic, compact and cool look for the winner of the design award.
Best Utility 2016: Massey Ferguson 5713SL The jury had no doubt about the unique exhaust after-treatment system, named ‘all in one’, that allows it to meet the Tier 4 Final regulation. Both the SCR and DOC systems are now fitted in one cylinder. Thanks to its small dimension, the cylinder can be easily fitted under the steps without taking room under the bonnet, without compromising shape or visibility.
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ICMSA
JOHN COMER
DECEMBER 2015
We need dairy policy but all we get is a daydream I write these lines just days before our annual general meeting, to be held on November 27 at the South Court Hotel in Limerick. You do not have to be any kind of clairvoyant to predict what the main items for discussion at the AGM are likely to be. The first nine months of the post-quota era have proved to be distinctly underwhelming in terms of milk price – certainly the milk price paid to farmers. The milk price paid by consumers didn’t fall by so much as a cent, leaving the corporate retailers to ‘vacuum up’ the paltry margin that the dairy farmers were receiving in the first place. Both Minister Coveney and Commissioner Hogan can expect some hard questions on why this has been allowed to happen and – more interestingly – why it has been allowed to happen repeatedly for years now. When international dairy prices go up the corporations keep their margins; when they fall, they actually increase their margins. In the meantime, the milk suppliers on whom the whole multi-billion euro edifice is constructed either work for prolonged periods for no income, by producing below-cost, or go out of business. That such a farce came into existence cannot be a matter of surprise; that is what happens when a massively powerful cartel is allowed the kind of massively unfettered power that the EU’s corporate retailers have been allowed to develop. The much more intriguing question is why the Commission and, to a much lesser extent, the other EU institutions allowed it to happen and to continue. There are some signs that, very tentatively and nervously, the Commission has decided to take its courage into its hands and begin the long unwinding of the absolute dominance that the retailers have been allowed accrue. The Irish Creamery Milk Suppliers Association (ICMSA) has for years highlighted what it considers the almost laughable injustice perpetrated against primary food producers by the tolerance given the retail corporations and the indulgence shown to what I consider their abuse of the EU’s farmers. Whenever our protests reached a pitch that demanded a response, we were pointed at the Common Agricultural Policy (CAP) and told that this was our ‘shush money’. Accepting this, it was implied, in some sense ‘bought’ our silence. The tragedy is that some of us seemed to accept that premise. I never did. I’d much prefer to receive a fair percentage of the final retail price and let the EU keep its basic payment (average €9,000-odd). In a situation where a 2L carton of milk is
Spanish milk suppliers protest in Santiago as part of the November 12 EMB day of protest at EU milk prices.
selling in the shops for €2.50, how is it possible that I am receiving approximately 27.5 cents per litre? Here’s what I’ll be proposing to both Minister Coveney and Commissioner Hogan: give farmers half – just half! – of what the consumer pays at the till for our milk, and you can keep your basic payment. The present system is laughably described as a farmers’ subsidy. It’s no such thing. The people being subsidised under the present system are the retail corporations: the EU permits them to underpay the co-ops and farmers and then ‘buys off’ legitimate farmer protests with a small and dwindling payment from the EU’s coffers. One day, and I hope I’m around for it, the present EU system of indirect subsidy of some of the richest corporations on the planet will become the stuff of stand-up comic performances. At that stage, the joke will be on the bureaucrats who allowed it to happen. For now, unfortunately, the joke is on the EU’s fast-decreasing family farms. The joke is on us, and it’s a joke that was never funny. On November 12, the organisations throughout the EU that comprise the European Milk Board (EMB) launched a co-ordinated day of protest that utilised the media and street protests. The day of protest was hugely successful and attention is now focused on the completely unsustainable position of the Commission in relation to the wreckage being inflicted on the EU’s family dairy farmers. That policy – if it could be so described – amounts to a crossing of fingers, a closing of eyes, and a little wish upon a star for a drought in a significant producing region so that milk prices can recover. That’s not a policy; that’s a daydream. We need a policy that recognises the economic and strategic necessity of the EU’s indigenous dairy production. We want it. We deserve it. And we won’t stop working till we get it.
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FARM SAFETY
DECEMBER 2015
A normal day on the O’Donoghue family farm in Mitchelstown, Co Cork, could have ended in tragedy after a serious bull attack in 2013. But the quick thinking and bravery of two young brothers saved their father’s life and the frightening incident has helped them to be more safety conscious around livestock, writes Bernie Commins
Bull attack leads to enhanced farm safety A National Bravery Award was recently presented to John O’Donoghue, who saved his father’s life in 2013. Aged just 15 at the time, John and his younger brother, Eugene, witnessed their father Joe being attacked and gored by an enraged bull on the family farm. John wrestled with the bull while Eugene was able to drive the jeep down the field to where the incident was unfolding. The family’s team effort saved Joe that day, and prevented John from sustaining potentially serious injury. Instinct and adrenalin kicked in to spur John into helping his father, in the face of great danger to himself. “I think it was just pure adrenalin. I didn’t realise what I was doing, it was only afterwards that I thought, what the hell was I doing?” he tells Irish Farmers Monthly. John says the bull had never shown any signs of aggression prior to the day of the attack. But it took 10 days after the incident for the animal to relax before he could be removed from the field, such was the extent of his aggression. “We had bought this bull the winter beforehand and we would have had him in the shed, feeding him. He was quiet out, we would have been going up to him, rubbing him on the head and scratching his neck. Then, he just turned one day,” says John.
Pictured at Farmleigh House in the Phoenix Park for the Comhairle na Mire Gaile National Bravery Awards 2015 was John O’Donoghue from Cork, who received a silver medal, with his dad, Joe (right), and Ceann Comhairle, Sean Barrett (left).
The attack Joe was herding heifers and the bull from one paddock to another, John recalls, but the bull was not interested in moving that day. Initial efforts by Joe to hunt him out of the field were useless. “Dad decided to follow the bull again and I decided to drive the jeep into the field to cut off the space that he had,” said John. “When I drove the jeep in and parked it beside the gap, I looked in the wing mirror and I remember seeing the bull kneeling on top of my father. When I ran down the field to my father, the bull was kneeling up on top of his shoulders, goring him in the chest area. “I just grabbed the bull by the nose ring and around his neck, and my father managed to stick his finger inside the bull’s eyelid. That kind of restricted the bull, he held back a bit after that. My father managed to get out from underneath him and we were holding him. My father told me to go back and get into the jeep, and then he made a run for it.” When he was in the jeep, John looked back for his father. He saw the bull toss Joe up into the air like a ‘rag doll’, with a ‘flick of his head’, he recalls. “After my father hit the ground, the bull was up on top of
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DECEMBER 2015
him again, goring him. So, I went out, again, I caught the bull around the neck, my father was able to get up, but I could see that he was in pain. He got into the jeep as I was holding the bull. My brother Eugene had opened the back door of the jeep. I was about five or six feet away so I just ran head first into the jeep and the bull followed me and started attacking the back of the jeep.”Joe, who has been farming for more than 35 years, says that he had never experienced such aggression in an animal. “I have been dealing with cattle since I was 15 years of age and I never saw, or came across, anything as serious as that. And I don’t want to see it again,” he says. Joe was very shook up after the attack which left him with a broken coccyx, requiring him to stay in bed for about 10 days.
Safety first Unsurprisingly, the incident has left its mark on the family in a number of ways. The lessons of surviving such a perilous situation are certainly not lost on them and, now, they approach livestock in a more safety-conscious way, according to John. “I would definitely be way more wary around livestock and bulls now,” says John. “Before, I would have been comfortable enough with them but now, I won’t take chances. I would definitely have a stick with me the whole time now. If an animal was acting strange, like if a bull was walking around the field, I wouldn’t be going after him. “We were comfortable with that bull, but in our own situation, the bull just turned on us. So, an animal can just change its instinct in a few seconds and we just have to be wary of them the whole time. My father, Joe, agrees that it has made him more cautious too. “Now, when we are dealing with cattle we are a bit more cautious. But look, it all happened so quick on the day, you couldn’t have been prepared for it. You can’t be careful enough though.” Joe has since erected signage around the farm, to create awareness of the presence of bulls. In addition, the bulls have chains attached to the nose ring at all times, says Joe’s wife, Mary. “That definitely slows them down,” she says. “The lads would always have hay pikes with them too, and they would leave them at the entrance to a lot of paddocks, as a precaution. And there is never a pipe too far away either,” she says. Both Mary and Joe are extremely proud of John and Eugene’s actions and courage on the day, and of John’s bravery award, which is one of several similar
accolades he has received. “I am proud and thankful to John and to Eugene. It all came together for us on the day and we were lucky to get out of it,” says Joe. But Mary is conscious that a lot of things also worked in their favour that day. “I don’t want to glorify what John did, I am very, very thankful, but I would hate people to feel like they should do the same. People react in many different ways and they shouldn’t feel guilty if they don’t do as John did,” she says. “Life is very sweet and even to be attacked by a bull, it makes you fearful and takes away that ease of living that you would have had before, it definitely makes you afraid,” says Mary. “Everybody take chances – everybody. But in a split second a family can be wiped out, one person can be wiped out, which can destroy families, all for the sake of not being cautious, or vigilant or careful.”
Handling bulls Bulls are responsible for 50 per cent of livestockrelated deaths on Irish farms. They must be treated with caution at all times. Here are some tips from the Health and Safety Authority (HSA) for dealing with bulls: u People handling bulls should be aged between 18 and 65 years, fit and agile; u All bulls should be ringed in the nose when 10 months old and the ring should be examined regularly; u From an early age, the bull should learn to associate the presence of people with pleasant things, such as feeding, grooming and exercise; u Avoid grazing a bull in a field where there is a right of way or where members of the public may have access; u Aggressive bulls should not be allowed to run with the herd; u Turning and running from the bull invites being chased; u If there is no refuge point to escape to, then stepping sideways out of his best vision will confuse him as to where you have gone.
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RURAL LIFE
DECEMBER 2015
Michael Dillon’s deep imprint on Irish farming Founder member of the Guild of Agricultural Journalists and winner of the first all-Ireland agricultural journalism award, Larry Sheedy, reflects on his famous friend and colleague, the late Michael Dillon How could one modest man have carved such deep and lasting footprints into the story of Irish farming? That thought was running through my mind as I waited to attend the recent 2015 Michael Dillon Memorial Lecture, an event organised biennially by the Guild of Agricultural Journalists, and supported by Kerry Group, to pay tribute to one of its founder members.
were made, but to give a feel for the barren nature of the ground that Michael Dillon began to plough in the late 1940s. And I would question whether there was a demand from farmers for new information. Certainly, most of them were inclined to carry on as they were without the burden of technical information. What had worked for their fathers was okay for them – even if it hadn’t worked very well.
The right man
Agricultural information revolution
Michael was in the right place at the right time and, boy, was he the right man. The first decades of the 20th century were marked by an information famine in Irish farming. There were occasional radio talks in the 1930s, which were discontinued. The Farmers’ Gazette, published in the 1940s as a purely commercial product, carried out-ofdate and inaccurate reports of the livestock fairs. I should mention Agricultural Ireland, which was published by ICOS, but there the list seemed to end. The agricultural advisory service provided some lectures, often with scarce resources and limited support among the farming community. I mention all of this, not to be critical of the efforts that
Then, along came Macra na Feirme, which developed an enthusiasm for relevant information. It would be followed by the Farmers Journal and, a few years later, by the Agricultural Institute, now Teagasc, which brought a whole new level of relevance to the information that was available. It was about 1948 when Radio Éireann decided to get involved and a producer was asked to find someone who would come in and talk to farmers on air. It was stipulated that he should have agricultural qualifications and live near Dublin. The latter was probably to ensure that there wouldn’t be a question of travel expenses. Luckily, they found Michael Dillon. He was working
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Paddy O’Keeffe, Michael Dillon, Larry Sheedy and John Hayhurst, pictured at the 21st anniversary celebrations of the Guild of Agricultural Journalists in the Incorporated Law Society, October 1982.
as a farm manager in Co Kildare and was glad to give broadcasting a try as a sideline, presenting the fortnightly Talk for Farmers. Forty years later, he was still broadcasting and writing. In the intervening years there had been a revolution in the free flow of relevant information to farmers. Michael was recruited to the team that set up the Farmers Journal – but in the wrong role. He was designated advertising manager, which didn’t suit him at all. He resigned, eventually, but continued to write as a freelance contributor. It’s interesting to note that he was machinery correspondent at a time when farm mechanisation was making huge inroads into the nature of farming. But he discovered his real strength when he began to report on livestock prices.
Voice of Irish farming I well remember when Michael would arrive in my office in the early 1950s. The briefcase he carried with him was actually a doctor’s bag and contained just a couple of hefty sandwiches and a flask of tea. He would be on his way from the Dublin Cattle Market, where he became a notable presence every Wednesday for decades. He would also have done his homework with a network of trusted sources at the local fairs and eventually the growing number of marts. Anyone who couldn’t be trusted to supply honest information was strictly off the list. All of this would go into his lengthy market reports, which would play a vital and trusted role in the livestock trade. Radio Éireann responded to his skill as a broadcaster and introduced a new programme called Field and Farmhouse. Tailor-made for Michael, it became very popular. It consisted of short pieces about developments in farming. I was recruited to his team and became a regular contributor. Radio Éireann’s Francis McManus, highly regarded and still acknowledged by the annual Francis McManus Short Story Competition, took on the production. He was determined to polish Field and Farmhouse and our weekly recordings in the ancient studios in Henry Street grew into sessions on how to write and present effectively for radio.
Agri TV Meantime, the revolution progressed. Jim Norton presented his column in the Independent and agricultural correspondents were appointed by other papers. Then, along came television in 1961 and it took farming very seriously. Presenter Paddy Jennings was followed by Justin Keating, who brought information to a new level with Telefís Feirme, which included supervised viewing groups of young farmers. Joe Murray followed Justin, while Michael Miley and Jimmy Brett became well known for the sharpness of their evening programmes. A number of farming magazines, most notably Irish Farmers Monthly, came on the scene. Through it all, Michael Dillon developed a career that peaked when he took livestock prices onto television in Mart and Market. He became an iconic figure acknowledged for his understanding of what was needed and his friendly, natural style. In farmhouses everywhere, everything stopped for Michael’s broadcasts.
A man of many parts Michael was also a puzzling figure. Reared on the Connemara side of Galway city, he was a fluent Irish speaker and was totally at home in his persona as a genuine countryman. But Dublin also had claim to him through his mother, who was a Plunket from Rathgar and sister of Joseph Mary Plunket, a signatory of the 1916 Proclamation. I have good cause to remember that, if the night went on long enough and the craic was right, Michael would take off his hat, close his eyes and entertain his friends with sean nós renditions of the songs of Zozimus, the Dublin street singer. I said he was a modest man and, indeed, he was. At an advanced stage of his career he was interviewed by an American journalist who said something like: “I believe you are Ireland’s outstanding celebrity in terms of writing and broadcasting on the subject of agriculture.” Michael selfeffacingly replied: “Well, you could say I do a good bit of scratchin’ and spoutin’ but that’s about the size of it.” He was a freelance with no organisation and no staff, working for the Farmers Journal, the Irish Times, radio and television, and was in the public eye for over 40 years until his retirement. I once asked his wife Norah what he might have been if it hadn’t been for agriculture. She said: “Oh, an actor. He loved good theatre and he could have played any role.”
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RURAL LIFE Don’t forget to follow the Irish Farmers Monthly twitter feed @farmersmonthly
Who’s saying what on Twitter? A snapshot of our favourite tweets over the past few weeks Denzil Lacey @DenzilLacey Brace yourself #StormBarney #Barney is on the way #weather @metoffice @MetEireann European Commission @EU_Commission À 12h, nous honorerons les victimes de l’attaque de #Paris avec 1 minute de silence #NousSommesUnis #SilenceforParis Stuart Kirwan @KirwanStuart Weather warning “orange” time to bring your cows indoors Herdwick Shepherd @herdyshepherd1 Being hairy suddenly seems like a good idea. Keeping warm. Wild Deer Ireland @wilddeerireland Have you ever seen a deer swimming? Deer are exceptional swimmers like these Connemara stags @JoLangb @Irishwildlife Truly Irish @trulyirishcf @FarmersMonthly Percy the Truly Irish pig says you should always close farm gates!!! #farmsafety Garda Info @gardainfo Operation Thor focus on Crime Prevention. Use an alarm even when you are in the house thatsfarming.com @thatsfarming Rentokil Sees 34% Increase in Rodent Call Outs in Last Quarter of 2015. Read More Here: http://www.thatsfarming.com/ news/rentokil-increase …
DECEMBER 2015
Prizes galore This month we are giving away copies of How To Be A Perfect Farm Wife, Pulling the Strings and Henry Shefflin: The Autobiography. To be in with a chance to win a copy of one of these books, answer the questions below. Send your answers to: Competitions, Irish Farmers Monthly, 31 Deansgrange Road, Blackrock, Co Dublin. Answers must arrive by December 16.
How To Be A Perfect Farm Wife By Lorna Sixsmith
How can you get your farmer away for a holiday? How can you feed eight contractors with 10 minutes’ notice? How can you get along with your mother-in-law (especially if she is an Irish mammy)? These questions, and many others, are answered in a new book by farmer’s wife and writer, Lorna Sixsmith. Lorna knows what it’s like to have the village appraise your signature dish, how to stay calm during the dreaded ‘testing’, how to interpret ‘farm speak’, and what to do to keep the hens happy. More importantly, she knows how to cheat in order to give the impression you are a PERFECT farm wife. This book is packed with history, advice, recipes, hints and tips (and quizzes along the way to see how you measure up). The best advice is always to keep a sense of humour, and Lorna’s shines through in her writing. This is a perfect read for all farm wives and girlfriends – and husbands and boyfriends – and country lovers everywhere. How many minutes’ notice does Lorna require to feed eight contractors?
The Autobiography By Henry Shefflin
The long-awaited autobiography of the legendary hurler, Henry Shefflin, is now in the shops. In an era when Kilkenny established itself as the dominant force in hurling, one man stood out from a
remarkable group of players: Henry Shefflin. Now widely regarded as the greatest hurler of all time, Shefflin has more All-Stars, Hurler of the Year awards and All-Ireland medals than any other hurler. But beneath the surface image of calm efficiency and effortless genius, his hurling life has included its share of bitter disappointments, agonising injuries and intense rivalries. Now, in what will be an essential read, Shefflin tells his own story. Who is widely regarded as the greatest hurler of all time?
Pulling the Strings By Peter Stringer
When Peter Stringer played youth rugby, he was so small that people told his parents he shouldn’t be allowed on the pitch. Fortunately for Munster and for Ireland, they paid no attention. Over 200 provincial caps and 98 international caps later, Stringer is a legend. Since making his Munster debut in 1998, his lightning-quick passing, sniping breaks and brave defending have electrified fans – never more so than when he deceived the entire Biarritz team at a scrum to sneak in for the try that brought Munster its first Heineken Cup in 2006. In Ireland’s breakthrough season of 2009, his man-of-the-match performance at Murrayfield helped overturn a late deficit en route to the Six Nations Grand Slam. Now, for the first time, Peter Stringer tells his own story – a story of overcoming the odds, and a story every Irish rugby fan will want to read. In what year did Munster win its first Heineken Cup?
LAST MONTH’S BOOK WINNERS Aideen Burke, Whitegate, Co Clare; Norma Macken, Cork; Betty Roche, Enniscorthy, Co Wexford; Jane Dodd, Athboy, Co Meath; Martin Murphy, Nenagh, Co Tipperary; Mary Blackburn, Enniscorthy, Co Wexford; Elizabeth Harrington, Co Cork; Cathal O’Connor, Cork; Lisa O’Reilly, Ringaskiddy, Co Cork; Eileen O’Sullivan, Blackrock, Cork; Maeve Dooley, Newcastle, Co Limerick; Michael Shanahan, Bandon, Co Cork.
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COMPETITION
DECEMBER 2015
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building element of the property, with the elegant proportions of Dublin’s most famous architectural style, high ceilings, and original coving and cornicing. Rediscover Dublin with Trinity City Hotel and enjoy a midweek getaway in the capital! To find out more about Trinity City Hotel, please visit www.trinitycityhotel.com Find us on Facebook at www.facebook.com/trinitycityhotel Follow us on Twitter @trinity_city Last month’s winner: Ann Meagher, Freshford, Co Kilkenny
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To be in with a chance of winning this prize, simply text IFM1 and the answer hidden in the red boxes, along with your name and address to 57003 or reply by post to Crossword Competition, Irish Farmers Monthly, 31 Deansgrange Road, Blackrock, Co. Dublin. Entries must arrive by Monday, December 16.
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NOVEMBER 2015 ANSWERS ACROSS: 1. Nixon. 4. Tuscany. 7. Clean. 8. Break. 9. Sloe. 10. Jones. 13. Vienna. 16. Arigna. 19. Deuce. 22. Shia. 23. Ferns. 24. Sieve. 25. Branson. 26. Kenny. DOWN: 2. Igloo. 3. O’Casey. 4. Tulla. 5. Siberia. 6. Naas. 10. Japan. 11. SNP. 12. Eagle. 14. Bit. 15. Onassis. 17. Seoige. 18. Vixen. 20. Coven. 21. Deer.
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ACROSS: Which New York thoroughfare is synonymous with the advertising industry? (7,6) Where is UCD’s main campus? What is ranked 8 on the Beaufort Scale? In which city was John F Kennedy assassinated? Surname of brothers Fidel and Raúl. Nepalese ethnic group famous for their mountaineering skills. Which cartoon character was played by Robin Williams in his first major film? The shoreline of which sea is the lowest land on Earth? The ________ is the HQ of the US Department of Defense. What is the popular name for the scapula? (8,5)
DOWN: 1. This Dublin suburb has a triangle. 2. This tower became the world’s tallest construction on its completion in 1889. 3. Which animal lends its name to a spy who establishes a cover long before beginning espionage? 4. In which kind of horse race are the horses obliged to carry lead weights? 5. Which river flows through Ennis? 6. What used to appear on a five-pence piece? 11. A sudden rush of panic-stricken animals or people. 13. Who became Taoiseach on February 11, 1992? 15. The distance from the centre to the circumference of a circle. 17. Adjective often applied to the gates of Heaven. 19. Cork’s evening newspaper. 21. Which river flows through Thomastown and Bennettsbridge?
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MOTORING
DECEMBER 2015
Tempting times for 2016 car buyers Bernard Potter highlights just some of the new models that you can see in forecourts around the country in January. With the motor industry anticipating new car sales in the region of 150,000 in 2016, dealers are offering a wide range of new models to tempt car buyers
WILD THING
The Wildtrak is the star among Ford’s new Ranger models. The improved diesel line-up features 130PS and 160PS variants of Ford’s latest 2.2L TDCi engine. Both six-speed manual and automatic transmissions are available, and customers can select four-wheel drive and twowheel drive variants. Wildtrak models feature four-wheel drive as standard.
TOP 10
Mercedes Benz has 10 new model introductions scheduled for 2016. The first few months will see six new Mercedes Benz models arrive, including a new E-Class saloon which, along with the C-Class range, accounts for the lion’s share of total Mercedes sales here. Arriving towards mid-year will be an upstyled CLA, a new C-Class Cabriolet and a new CLC Coupé, followed in the second six months by an all-new E-Class Estate.
HIGH HOPES FOR HR-V
The newest addition to the Honda range is the HR-V, a new compact SUV. The HR-V is available for 2016 from €255 per month, with classleading equipment including alloy wheels, climate control, Bluetooth, cruise control, automatic lights and city-brake active system.
OPTIMISTIC FOR OPTIMA
The all new Optima arrives in Irish showrooms later this month, going on sale in January. The 1.7D engine has been retained but, according to Kia, power increases from 136PS to 141PS. Optima comes in three trim levels: EX, Platinum and GSE, all powered with the 1.7D power unit. The entry-level EX model starts at €27,950.
RIGHT PARTNER?
Gowan Distributors Limited, Peugeot importers in Ireland, launched the Peugeot van scrappage scheme at this year’s National Ploughing Championships in September. Under the scrappage scheme, customers with vans dating pre-2007 are offered a minimum €3,000 scrappage off the newly launched Peugeot Partner van, a minimum €3,500 off the load-lugging Expert van or a minimum €4,000 scrappage off the Peugeot Boxer.
FLAG-FLYING 4X4
The Octavia RS 4x4 is available with the 2.0L TDI 184bhp, which Škoda says is the engine chosen by virtually all its Octavia RS customers in Ireland, and this is twinned with a six-speed DSG transmission. Prices are €39,395 for the Liftback and €40,395 for the Combi (Estate) model.
Bernard Potter edits Irish Motor Management, the official magazine of the Society of the Irish Motor Industry.
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VERY END
DECEMBER 2015
The Bluebell witch hunt No one could have foreseen, a month ago, the utter turmoil into which the Irish Farmers’ Association (IFA) has been thrown. The organisation has imploded, with ongoing recrimination, ferocious criticism from its members and a complete disillusionment with the structures and competence of the organisation. It also now faces a presidential election that will centre on a blame game of who knew what and when, and who got paid how much and why. So many people are tainted, rightly or wrongly, by revelations that have become a great source of public comment, that it will be very difficult to regain credibility with the membership. Yet, the extraordinary membership loyalty to the IFA that has always been a feature of that body will surely help with the healing process. The upcoming IFA presidential election will ensure that the public gaze will remain firmly focused on the IFA for the next couple of months for all of the wrong reasons. It will also mean that the IFA will be distracted from looking after its members’ best interests. The levels of acrimony in IFA elections have usually been within the bounds of what might be deemed acceptable in the normal cut and thrust of electioneering. That may not be the case this time out. It is probable that the damage already done to the IFA, by its own inaction on critical issues, will be compounded by public slagging matches between candidates and their followers. The truth is not always simple. Much of what has been revealed in recent times – and the revelations are not over yet – is historical, built up over a long period. The present leadership, or what’s left of it, is guilty only of not rectifying the ills, or at least not acting more urgently when the governance issues were highlighted by Con Lucey over 16 months ago. The irony of his return to sort out the mess is supreme. Unfortunately, the witch hunt will go on for some time yet. Demands will be made for everyone and anyone to reveal their remuneration. The often valid policy of discretion in these matters will be severely tested. It will not stop within the higher echelons of the current leadership and executive management of the IFA. More transparency will be demanded as to how all monies collected by the IFA are spent. There will also be questions asked as to where some of the monies come from and whether this has given rise to over-familiar relationships, whether that is with
beef factories that collect levies on behalf of the IFA or with the FBD Trust or the Journal Trust, whose publication has always had close historical links with the IFA. Salaries, bonuses and expenses in all farm-related bodies will be scrutinised and criticised, including dairy co-op/Plc boards and management. While the IFA faces into a potentially prolonged and acrimonious law suit over Pat Smith’s severance package, there is also the urgent need to fill the vacancy created at the top of the organisation’s executive management. An internal appointment is possible, though unlikely for reasons that may become apparent over time. The IFA will be reluctant to bring in a complete outsider, even if that might be the sensible decision. There are potential candidates outside the IFA structure, though still within the Farm Centre, who might relish the opportunity to reconstruct the organisation into a better governed and more transparent body. He or she will have a difficult role given the level of disillusionment within the membership.
Pictured are Tim O’Leary, IFA deputy president; Bryan Barry, IFA acting general secretary; and Con Lucey, former IFA chief economist. Mr Lucey has agreed to conduct a thorough review of the structures in the association around corporate governance and related matters, including issues around remuneration.
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