So have I read this right
...............he'll think about MAYBE doing something, if someone who's already said they're not going to do any thing, actual does something or the person who'll loose out, doesn't say he'll put it right................?????

LOL...........I think 'he's covered his bases' politically and is now hoping-preying this will just blow over......

Chris_J
Many thanks for your kind comments again. Welcome back to our site.
You accuse me of a lack of integrity.
I look forward to your evidence.
It's easy to accuse people of things.
I have been working on this story with many other people for 6 weeks.
We did not put anything online until it had been verified and documented.
What would you have rather I did?
Decide not to publish it?
Also the article above is based on a public media statement by Fonterra.
Should we ignore it and not include Fonterra's side of the story.

cheers
Bernard

1. Jurors & judges determine the fate of law breakers: So it should be the case for the Crafar Farms... Imagine Fonterra as a parent, most parents have rules, boundaries & guidelines that we endeavour to teach our children. When a child grows up and breaks the law - the authorities step in. It is not Fonterras place to determine the fate of Crafar Farms. 2. It's not like MAF were doing a big drug bust, they've done no wrong in notifying the Crafars of their intending visit. 3. Mr Crafar, whilst watching you on the news, I really felt sorry for you, but after reading the comments on interest.co.nz, I wondered if they were tears of "This time I'm really in the sh..!

Well done BH; a necessary piece of journalism. Crafar is not typical of NZ farmers in terms of animal care, but some of his attitudes are; he seems to consider that farming "is the backbone of the economy" and that this mantra gives him (ie all farmers) the right to dictate nearly everything in NZ. Anyone who dares criticise a farmer is labelled as a parasite on the farmer's earnings.. or worse...

Carl Smith

If the messenger wants to keep his head and neck connected (I'm thinking Blackadder/Baldrick here!), then don't take sides when delivering the message.

Whether or not Mr Crafar deserves being defended or not, isn't the point. The point is that Bernard has not taken a fair and unbiased standpoint.

Bernard seems to be grandstanding against businesses carrying large amounts of debt rather than having concern for the animal welfare issues that he has raised.

Matters should have been dealt with through the appropriate avenues not hyped up so that Interest .co.nz could get better ratings.

I AGREE ENTIRELY WITH CHRIS J. THANK YOU CHRIS.
WHY ARE YOU SO DETERIMEND TO STOP MILK COLLECTION FROM CRAFARMS BERNARD? IT WOULD BE ALOT MORE PEOPLE THAN JUST ALAN CRAFAR THAT WOULD BE AFFECTED BY THIS.
YOU'VE HAD ENOUGH OUT OF THIS STORY NOW HAVN'T YOU?

Indeed, Nate R.

MAF will be under the blow-torch for this one.

Have a look at this article Chris J....here's your man back in '07 looking like a reformed alcoholic proclaiming he's found Jesus...

http://www.farmersweekly.co.nz/article/7234.html

Chris_J I'm not sure why you think BH is grandstanding, I don't think he is trying to tar all farmers with the brush, he certainly isn't interested in making the crafarms collapse, what benefit would that be to him.
And don't you think that bringing the story to light is about animal welfare, I'm sure that if it was any other farmer BH would have dived in, sorry I'm backing him on this.

Rob,

If you bothered to read any of the other threads, you'd see the theme is DEBT.

Crafar was held up as the poster boy of the 'new way' of dairy farming just a few years ago....massive over-leveraging, milk prices rising, etc.

His mis-management of his farms since then and the overall instability that the dairy industry now has due to the massive debt issues affects all of us- we rely on dairying as our primary export earner so can we really afford to have cowboys like Crafar threatening that?

Shouldn't a journo worth his salt follow a financial story like this up?

I dunno......jeez, it's just common sense ain't it?

Hmmmm attacking the messenger, not the message. The oldest trick in the book. Classic strawman tactics. One wonders what nasty little secrets those defending the indefensible have.
Keep the blowtorch on them Bernard, good and hot.

Rob, if the issue is debt that's fine talk about the debt. But this wasn't about debt at all.
Anyone who followed and read the story could see that It was about making a public noise. Now we should ask if the Dairy industry is so precarious as you seem to think, then how will making a public airing of an animal welfare subject assist that case. Indeed Hickey asked Fonterra exactly that question.
Almost smacks of green mail. Very fine line to tread when you raise an issue in this manner.
I'm not suggesting the issue doesn't need talking about but attacking it in this way won't win friends nor readers. a continuation of poor judgment in my view.

Margo. I have followed this blog as I do others and as it is a public blog I am like you entitled to put my pennies worth in a post.
BH, like any blog does need exposure to bring in the readers. so don't be so naive and BH doesn't necessarily have a following of "intelligent bloggers" as you beleive. I have seen some brain dead blogging on here and frankly sycophantic following of any one( including BH), is what cults are made of. Argument and debate are what we should be about and if we don't all agree then that's healthy. We sent the other Nag of to New York and anyone else who thinks like her and wants to shut us all down should follow her trail.

Yep my heart really bleeds for Crafar. What with his companies 9 convictions over several years for polluting and despoiling the land, for pumping E.coli into the streams and rivers on his farms, for making those waterways which NZ children used to swim in biological dead zones. The guys and out and out hero don't you know. Its just a temporary tough patch in his life after all (poor little lamb) and all entrepeneurs end up destroying the environment don't they?
Hell no worries, we will just get the taxpayer to come and pay for the clean up of all the waterways he's ruined, won't we?

Anyone who believes that Bernard has pursued an animal welfare issue because it is related to the issue of debt is completely misleading themselves.

There is no reason to follow this story from a financial standpoint except to bring discredit to Mr Crafar and any related parties.

Bernard Hickey is pursuing Mr Crafar will all the religious fervour of a Spanish Inquisitor.

His treatment of Allan Hubbard of late is along the same vein.

Bernard's anti-debt, anti-property mantra and fervent plugging of the doomsday end of capitalism commentators (via his top 10) demonstrates that he has no empathy with the real business world and that only business ability that this loony has is to drum up controversy on a website.

Since 30% house price falls has lost traction and 15% falls seems silly too, Hickey's had to dream up new ways of making his way onto mainstream media - it's only a shame that they haven't yet realised he is a clown with no credibility.

I agree with Chris_J.

I think the Crafar family have been unfairly persecuted. There are two sides to every story and as a dairy farmer myself I don't think that all the media coverage to date has been accurate and fairly reported. The video footage shown on TV was certainly unacceptable, animal cruelty is unacceptable and I do not condone starvation or mistreatment of animals but calf rearing even for the best farmer can be difficult. The best dairy farmer will have calves that get sick and need to be put down. The Crafars' systems have obviously failed to adapt with the expansion of their business and the quality of their ground staff (as seen on TV) is appalling. BH lacks common sense, it seems disproportionate to shut down a dairy farm, destroy a business and destroy a family because of mis-management. The position of absentee owner is very difficult - alot of trust is placed in those who run the farm on your behalf. This sort of media reporting is very controversial and I can't help but think BH is looking to gain some profile/personal advantage. Its not honourable to kick someone in the guts when they are already at an all time low. The Crafars aren't bad people with bad intentions and they don't deserve to be portrayed as some sort of farming villains. They have however failed to effectively control their massive business, but they can be proud of a lifetime of exceptionally hard work and achievement while their critics no doubt perservere with mediocrity.

I think its all about the debt. Farm debt up only 320 mill in August, lower than average without growth in debt there is no way farmers can pay interest.
Crafars are running an empire that I would never attempt, I dont think I could do it.
When Fonterra has a strategy to grow milk production at %2.5 pa ,compounding, then they must be expecting a lot of sheep farms on marginal land to be converted to dairy. These farms are bigger than the traditional dairy unit and come with the problems off effluent etc often like Crafars farms on light ash country.
The problem is growth the country wants to grow and manufacturing cannot compete with China. Tourism has probably peaked. This left farming as the golden goose and the politicians milked it. The consequences could have and should have been seen long ago. Farm growth had to be built on debt and debt needs servicing costs are cut, shortcuts taken. The only way a farmer can pay off debt is buy selling capital it has been this way for some time. The high land values caused by lax bank lending has added fuel to the fire.
Farm debt is out of control,it cannot be paid back without asset sales and at present demand for farms is very weak, there is no easy way out, we will see more Crafar type scenarios. I believe the Elephant in the room is Fonterra they massed over 11 billion in debt while making record payments they let farmers assume unrealistic future milk payouts ,they paid out move for milk than the market was paying. They distorted the market for land just as their share price went up every year,they must bear ultimate responsibility. They pushed for more production to satisfy Lichfield and then continued to give poor market signals.
The Fonterra directors should be held responsible. They have huge shareholding PeterR stated 20 million shares between them and interests in 1 billion $ of NZ land, not counting their offshore investments.
If you look at farm debt figures they are frightening 10 billion 2000 50+ now the top third of indebted dairy farms have debts of $8000 a cow. some new conversions have debts over $ 40 a kg milk solids40

Jo T-

It is a shame that Allan Crafar didn't pay any attention when he was first prosecuted for negligence in 2006.

His actions since then seem plain arrogant, to be honest. He has treated central north island rivers like a sewer.

I'm going to post this link of Crafar again in '07 vowing to clean up his act, as you obviously haven't read it already.

2 years- nothing learned... many more prosecutions from MAF.....whatever achievements the Crafars gained have been over-shadowed by their failings.

I have to say it's disappointing to hear another armer supporting the Crafars actions... it makes me worried that environmental standards are treated like a joke by the industry. I will re-iterate that these events do not go un-noticed by the world. I for one, will oppose any individual who threatens our economic base by being too lazy to care.

The reasons behind Allan Crafar being at an all-time low are from his own makings.

It is true there are a few supporters of Allan Crafar and is farming methods, but it is heartening to know the vast majority of respondents oppose the type of farming you advocate Jo, and are pleased that at least one journo had the guts to bring the issue to light.

Mouse - are you a Fonterra shareholder?

It is not surprising that this video has come to light. Bernard said that he has been working on this story for 6 weeks. Is that when the video was given to him or was it after he started working on it that he received it. Did he or anyone associated with him request it or was it sent to him unsolicited? Many farmers in the dairy industry have been expecting the animal welfare groups to target bobby calves this season, after the Mike King story on pigs. As that hadn't come to light until this, there are some questions regarding this story.

Time will tell who and what the truth is behind this story. I keep asking myself why was this story broken on this blog and not via the print media or tv. Mmmm...... it gets curiouser and curiouser..........

Chris J ; Well said . Beanard Hickey is a horrible little man.

Margo says

Mandy says Beanard Hickey is a horrible little man

I think you have this wrong on both counts it is Mr Crafar who is a horrible little man and the name is Bernard not Beanard.

LOL, mucho hilarity.

If Fonterra does not collect the milk what happens to it? He can either milk the cows and dump the milk which will have serious environmental consequences or he can not milk the cows which will have serious animal welfare consequences.

Fonterra are not going to suddenly one day stop picking up milk - that would have effects worse that the core problem. In my opinion (and I am guessing a little), Fonterra would take the approach and make it very clear, they won't be picking up your milk next season. This will provide sufficient time for the farm to be sold, come under new management, sell the herd and convert to beef etc.

If the issue is so bad that action is required middle of the season, perhaps a better option would be if there was a court ordered change of management (Fonterra or Federated Farmers could bring in there own staff "“ I'm sure all the good farmers out there are appalled by this farmers actions and want to put a stop to it).

Clearly large volumes of milk is difficult to dispose of, it is an environmental risk. Years ago when I was back on the farm there was a tanker driver strike, I remember farmers having to dilute milk so it could be spread on pasture, huge pits being dug, etc. It wasn't very good, fortunately the strike was short. But I do remember our calves getting a few days of pretty good feeds "“ more than we can say for the starving calves in the pictures.

ChrisJ - "Bernard Hickey is pursuing Mr Crafar will all the religious fervour of a Spanish Inquisitor."

No-one expects the Spanish Inquistion! Surprise is it's chief weapon. Surprise and fear....

http://www.youtube.com/watch?v=uprjmoSMJ-o

Best way to deal with unwanted vistors to a farm is to park your tractor behind their vehicle then go about your business. My dad did this to a couple of jerhovas witnesses for a couple of hours after they ignored the "Authorised Vistors Only" sign. They ended up walking back to town.

There was nothing stopping interest.co.nz from phoning Crafar and arranging a meeting.

@ Woody. You are spot on. Fonterra's business model has been based on increasing production of low-value commodities at all costs. This is driven by their desire to increase their capital base and the utilisation of their fixed cost factories. The model they created for the NZ dairy industry was debt fueled capital gains over long term environmentally and financially sustainable income returns.
Lets be very clear, the key driver for forming Fonterra was to create a value-add driven global business and move away from low-value commodities. Everyone agreed that increaseing the production of low-value commodities was a sun-set industry for NZ, given the increasing competition from lower-cost producers such as Sth America and our land/environmental constraints. However, after 8 years Fonterra has failed to deliver on this promise. Between 90-95% of Fonterra payout still comes from commodities.
As an example, during the spike in dairy commodities in 2008, the returns on WMP were significantly higher than the other products. To anyone who understands supply-demand dynamics would be aware that this price difference would self-correct as suppliers increased production of WMP and demand moved dropped off or moved to substitutes. Indeed, Fonterra's own supply chain team warned of a steep drop in WMP. Fonterra's response was to divert production to significantly increase its WMP volumes. And then at the same time it decided to introduce the on-line auction system. Auctions in a falling market, especially one where there is excess supply over demand will drive the prices down faster and further than they would normally fall. And worst still is the fact that the auction was being used as a pricing guage for all diary products.
This is just one example where in practice, Fonterra's focus and business model has failed. It is not too late for Fonterra to up its game and to focus on high-end, environmentally-friendly ingredients and consumer products. It certainly has the scientists and technical knowledge to do so. However, it will need to act quickly as the in the past 12 months we have seen some interesting consolidation and investment moves in the global dairy sceen, particularly from Asian investors and into countries such as Brazil.

re the "terrible" Spanish Inquisition.

Did you know it put to death less people in 600 years than the French Revolution managed in 2 weeks!!!! It wasnt actually as bad as people make out.

I am a small block farmer and as such am utterly appalled at the behaviour and attitude of Allan Crafar's farming practices. To see him weeping "crocodile tears" on the Close Up Programme the other night was unbelievable. This man should not be allowed to be responsible for any stock handling. His farm workers should also face prosecution for their appalling behaviour. I cannot understand how the "authorities" i.e. MAF let these people away with such terrible cruelty.
Will someone please do something to stop this barbaric practice????

I and my family will be boycotting Fonterra products. It won't make a blind bit of difference but I feel better taking a stand on a personal level.

Be careful what you wish for. Chinese owning dairy farms in NZ. I have seen chinese dairy farms when I lived there and trust me, they chase the almightly $ more stringently than kiwi farmers do. And as for their animal welfare standards - you just don't want to know. They are also some of the shrewdest business people around and won't touch an unprofitable business with a barge pole, so don't be so sure that they are still interested in the Carfar farms. I heard that they are looking at Graeme Hart's farms, and the mill that could be turned in to a processing facility. Now I am sure if we had our previous Prime Minister in power, the government would simply have bought all the Crafar farms and turned them in to Parks. :-)
NZ farm land is way overpriced for the return. For too long some farmers have been farming for capital gains and this has given rise to the crazy lending by banks to farming businesses that are simply unsustainable. The result of this has lead to a number of farmer suicides - but gosh let's not go there!

@ Mouse.....

Good one Mouse! There seems to be some real scholars on here.... but in the most simpelist way & with least ridicule to others you have made the most sense.