00:00:01
Speaker 1: Thunderstruck! Thunderstruck!
00:00:06
Speaker 2: Yeah, yeah, yeah, Thunderstruck! David Stevens is a dear father at Netherdale, just out of Balfour. He's been a long-time correspondent on Hakanui Radio as such, going back into the early 90s of Jamie Mackay, and we thought, well, it's about time he had his own intro music. So about a year ago, David, you got Thunderstruck as your lead-in. So firstly, good afternoon.
00:00:29
Speaker 1: Good afternoon, Andy. Yep, that revved you up a bit, didn't it?
00:00:33
Speaker 2: How's everything been? Certain areas of Northern Southland have been wetter than others, I understand.
00:00:38
Speaker 1: Oh, yes. It's been a shocker, actually. I mean, last week's been great. A bit of growth and a bit of warmth. But, no, it's been pretty challenging for those that have been lambing and calving. And underfoot, it's just a shocker, actually. And I understand when you go further south, It's even worse. So, you know, when you see ewes and lambs that are black, it's not a good sign at all and pretty challenging. But, you know, we've had some good days the last bit overcast today. But, you know, good days and temperatures are rising just looking at the forecast. Looks as though we're up around that close to 20 most days. That's a big improvement, and things will come right.
00:01:25
Speaker 2: From a deer farming perspective, what's the big issues at the moment?
00:01:31
Speaker 1: Well, obviously, we're about to get into velveting. It's a wee bit later down here. This season just hasn't been warm enough, really. I think just talking to deer farmers, you know, the velvet's a wee bit later. But in some ways, that's not a bad thing. Often those earlier heads don't have the weight in them, so it's... better to get the buttons off a wee bit later and get that growth with a bit more weight. So that won't do any harm. And just on the velvet side of it, Southland Deer Farmers Branch ran a workshop at PGG Wrightson's in Vicargill on velvet grading, and quite a number of people arrived. And Tony Cochran, he's the head man for velvet and Wrightson's, he was there. And John Fogarty, John buys quite a bit of velvet himself. And so it was very good, actually. It really explained the new gradings at the right time of the year, too. So people understood before they started cutting. So whereas last year, we had a bit of a problem with that issue. But, you know, the same old questions were asked. You know, what prices are going to be for this season? And... The talk is around about that $ 100, but I did a bit of a workout and looked back, Andy, at what $ 100 means. And when you look back, I went back 19, 20 years, back to I think it was 1997, and we were getting much the same, probably more than that actually. It was a wee bit of a lift in 1997. But even at $ 100 back then, you've got to be getting an average of $ 160 now. to be in business. And what's changed is the buyers now, or the processors in market, don't want those big heavy heads. And, well, they'll discount those big heavy heads. They will take them. But, you know, that opportunity to keep lifting your velvet weights every year, we've lost that. And when I look back to what we had here in 97, between 97 and 2023, We lifted our velvet weights on the herd here by 72%. Now, that kept us in business, and I would suggest that a lot of farmers were exactly doing exactly the same thing. So if you're unable to actually, you know, sell those big... Well, you get a discount on those big heads, you're in a situation where, in the future, you don't have that ability. So, you know, I really... I think that... the price has got to be around that $ 160 at least for average. So that means you're top end, really you're looking at $ 200.
00:04:17
Speaker 2: Now, Velvet's had its issues over the previous couple of seasons, David. Is there genuine fear for the industry if these prices don't improve?
00:04:27
Speaker 1: I think so. I think what we're looking at, Andy, is people on class land that's sort of class 1 to 4 will have to have a serious look at... whether they continue velveting and then whether they swing towards the venison side more so. I know a lot of it as commodities, you look at supply and demand in 1997, I think, the figure was around about that 500 tonne to shift. We actually in the last couple of years certainly went over 1,000 and even slightly higher than that. But I think this season we're going to be looking at sort of around that 800, 900 tonne. And I think that that's probably going to be a sweet spot as far as going into the market. So really, I think that people will be looking at that and saying, well, hang on, we should be getting a hell of a lot more than what we are at the moment. And if we don't, we'll look at other options. And there is other options out there.
00:05:31
Speaker 2: Regarding Velvet, is it realistic to deviate into other markets apart from the status quo?
00:05:37
Speaker 1: Yes, yeah, no, they've moved into, there's a market going into Vietnam now. So, you know, it's quite a, it's a new market. It's one that we've got access into now. So, you know, there is opportunity there. So it'll be interesting to see just what sort of, pricing goes into that market. It's new, so it'll be interesting just to see what happens there. But no, the traditional markets are South Korea and China. The Chinese buy most of the velvet, and quite a considerable amount of that actually is processed and goes back into South Korea. So yes, it'll be interesting to see what comes out of the season. And when you look at it like that, those figures, I mean, if If you look at $ 100 now, I mean, if you continue at that sort of average for another 10 years, it's only going to be a purchasing value of about $ 60.
00:06:37
Speaker 2: Regarding the venison schedule, whenever I speak to yourself or Peter Allen, it's always a topic of hot conversation. What are we hearing at the moment? Like $ 12, is that on the table?
00:06:47
Speaker 1: Yes, yep, no, I understand that. I see published at the moment around about that $ 11. 50 average. But contracts, I'd imagine, around about that $ 12. And I think it'll go fairly, you know, reasonably strong right through into the autumn. It's just that supply is not there and, you know, that volume. So it'll certainly be, it'll hold up. And unless it's something unusual, you wouldn't know in the world these days. But yeah, no, I think Andy, $ 12 is there certainly. And hopefully going into the autumn, it's sitting up around close to 11. It would certainly help things. I think the other thing too that's happened over the last season or two is there's been a huge number of mixed-age velveting stags go through the system. So obviously I don't know whether that'll happen. Well, it'll depend a bit, I suppose, on just what I've been talking about, the price of velvet per kilogram. And if it's not... feasible for people, you know, business-wise to continue. They certainly will be going through the works.
00:07:57
Speaker 2: Now, David, a couple of things you want to comment on here regarding communication, but especially with fertiliser going on with helicopters at the moment due to ground conditions, a couple of issues.
00:08:08
Speaker 1: Yeah, no, just observation, Andy. You know, with this season being so wet, a lot of people are putting furt on with the choppers at the moment. Just observation. You know, there's been the odd complaint about choppers going over the top of properties, swinging across over the top of properties when there's a velvet herd in underneath them. And you'll obviously realise that that's pretty low. And also lammy mobs. And I think there's got to be some responsibility taken here. Some of the helicopter pilots need to look at themselves a bit, or companies, because you can do a couple of rounds of the property prior to doing that, and, you know, there's been the odd complaints, so I just thought I'd put it out there, you know, a bit of responsibility there, thinking of your neighbour, and, you know, it's not hard to do, so I just thought I'd mention that.
00:09:06
Speaker 2: It's an interesting one, given we haven't had this situation for October, where bulkies can't get into the paddocks, I suppose, so it's almost a case of the unknown for a lot of people in that instance.
00:09:17
Speaker 1: That's right, yep. No, it's... No, it's something to think about because, you know, you don't want broken legs or broken velvet heads or, you know, using lambs all mixed up or whatever. So it's just something to consider and think of others. So I just thought I'd put it out there. I've seen the... I've actually had first-hand experience. I know where we're going with this. So it's all very well letting people know that you're going to be doing it. It's a case of actually, you know.
00:09:49
Speaker 1: Making sure you don't swing across other properties. And in some cases it's impossible to do, but in most cases, you can actually avoid it.
00:10:02
Speaker 2: David Stevens, always appreciate your time on the muster.
00:10:06
Speaker 1: Thanks, Andy.
00:10:10
Speaker 2: David Stevens, a well-respected voice in the New Zealand deer industry, been doing it for over 40 years now. This is the muster on Hokanui. Up next from Balfour, we are travelling back down here to Gore and catching up with Sam Grant of Craig's Investment Partners.
Speaker 1: Thunderstruck! Thunderstruck!
00:00:06
Speaker 2: Yeah, yeah, yeah, Thunderstruck! David Stevens is a dear father at Netherdale, just out of Balfour. He's been a long-time correspondent on Hakanui Radio as such, going back into the early 90s of Jamie Mackay, and we thought, well, it's about time he had his own intro music. So about a year ago, David, you got Thunderstruck as your lead-in. So firstly, good afternoon.
00:00:29
Speaker 1: Good afternoon, Andy. Yep, that revved you up a bit, didn't it?
00:00:33
Speaker 2: How's everything been? Certain areas of Northern Southland have been wetter than others, I understand.
00:00:38
Speaker 1: Oh, yes. It's been a shocker, actually. I mean, last week's been great. A bit of growth and a bit of warmth. But, no, it's been pretty challenging for those that have been lambing and calving. And underfoot, it's just a shocker, actually. And I understand when you go further south, It's even worse. So, you know, when you see ewes and lambs that are black, it's not a good sign at all and pretty challenging. But, you know, we've had some good days the last bit overcast today. But, you know, good days and temperatures are rising just looking at the forecast. Looks as though we're up around that close to 20 most days. That's a big improvement, and things will come right.
00:01:25
Speaker 2: From a deer farming perspective, what's the big issues at the moment?
00:01:31
Speaker 1: Well, obviously, we're about to get into velveting. It's a wee bit later down here. This season just hasn't been warm enough, really. I think just talking to deer farmers, you know, the velvet's a wee bit later. But in some ways, that's not a bad thing. Often those earlier heads don't have the weight in them, so it's... better to get the buttons off a wee bit later and get that growth with a bit more weight. So that won't do any harm. And just on the velvet side of it, Southland Deer Farmers Branch ran a workshop at PGG Wrightson's in Vicargill on velvet grading, and quite a number of people arrived. And Tony Cochran, he's the head man for velvet and Wrightson's, he was there. And John Fogarty, John buys quite a bit of velvet himself. And so it was very good, actually. It really explained the new gradings at the right time of the year, too. So people understood before they started cutting. So whereas last year, we had a bit of a problem with that issue. But, you know, the same old questions were asked. You know, what prices are going to be for this season? And... The talk is around about that $ 100, but I did a bit of a workout and looked back, Andy, at what $ 100 means. And when you look back, I went back 19, 20 years, back to I think it was 1997, and we were getting much the same, probably more than that actually. It was a wee bit of a lift in 1997. But even at $ 100 back then, you've got to be getting an average of $ 160 now. to be in business. And what's changed is the buyers now, or the processors in market, don't want those big heavy heads. And, well, they'll discount those big heavy heads. They will take them. But, you know, that opportunity to keep lifting your velvet weights every year, we've lost that. And when I look back to what we had here in 97, between 97 and 2023, We lifted our velvet weights on the herd here by 72%. Now, that kept us in business, and I would suggest that a lot of farmers were exactly doing exactly the same thing. So if you're unable to actually, you know, sell those big... Well, you get a discount on those big heads, you're in a situation where, in the future, you don't have that ability. So, you know, I really... I think that... the price has got to be around that $ 160 at least for average. So that means you're top end, really you're looking at $ 200.
00:04:17
Speaker 2: Now, Velvet's had its issues over the previous couple of seasons, David. Is there genuine fear for the industry if these prices don't improve?
00:04:27
Speaker 1: I think so. I think what we're looking at, Andy, is people on class land that's sort of class 1 to 4 will have to have a serious look at... whether they continue velveting and then whether they swing towards the venison side more so. I know a lot of it as commodities, you look at supply and demand in 1997, I think, the figure was around about that 500 tonne to shift. We actually in the last couple of years certainly went over 1,000 and even slightly higher than that. But I think this season we're going to be looking at sort of around that 800, 900 tonne. And I think that that's probably going to be a sweet spot as far as going into the market. So really, I think that people will be looking at that and saying, well, hang on, we should be getting a hell of a lot more than what we are at the moment. And if we don't, we'll look at other options. And there is other options out there.
00:05:31
Speaker 2: Regarding Velvet, is it realistic to deviate into other markets apart from the status quo?
00:05:37
Speaker 1: Yes, yeah, no, they've moved into, there's a market going into Vietnam now. So, you know, it's quite a, it's a new market. It's one that we've got access into now. So, you know, there is opportunity there. So it'll be interesting to see just what sort of, pricing goes into that market. It's new, so it'll be interesting just to see what happens there. But no, the traditional markets are South Korea and China. The Chinese buy most of the velvet, and quite a considerable amount of that actually is processed and goes back into South Korea. So yes, it'll be interesting to see what comes out of the season. And when you look at it like that, those figures, I mean, if If you look at $ 100 now, I mean, if you continue at that sort of average for another 10 years, it's only going to be a purchasing value of about $ 60.
00:06:37
Speaker 2: Regarding the venison schedule, whenever I speak to yourself or Peter Allen, it's always a topic of hot conversation. What are we hearing at the moment? Like $ 12, is that on the table?
00:06:47
Speaker 1: Yes, yep, no, I understand that. I see published at the moment around about that $ 11. 50 average. But contracts, I'd imagine, around about that $ 12. And I think it'll go fairly, you know, reasonably strong right through into the autumn. It's just that supply is not there and, you know, that volume. So it'll certainly be, it'll hold up. And unless it's something unusual, you wouldn't know in the world these days. But yeah, no, I think Andy, $ 12 is there certainly. And hopefully going into the autumn, it's sitting up around close to 11. It would certainly help things. I think the other thing too that's happened over the last season or two is there's been a huge number of mixed-age velveting stags go through the system. So obviously I don't know whether that'll happen. Well, it'll depend a bit, I suppose, on just what I've been talking about, the price of velvet per kilogram. And if it's not... feasible for people, you know, business-wise to continue. They certainly will be going through the works.
00:07:57
Speaker 2: Now, David, a couple of things you want to comment on here regarding communication, but especially with fertiliser going on with helicopters at the moment due to ground conditions, a couple of issues.
00:08:08
Speaker 1: Yeah, no, just observation, Andy. You know, with this season being so wet, a lot of people are putting furt on with the choppers at the moment. Just observation. You know, there's been the odd complaint about choppers going over the top of properties, swinging across over the top of properties when there's a velvet herd in underneath them. And you'll obviously realise that that's pretty low. And also lammy mobs. And I think there's got to be some responsibility taken here. Some of the helicopter pilots need to look at themselves a bit, or companies, because you can do a couple of rounds of the property prior to doing that, and, you know, there's been the odd complaints, so I just thought I'd put it out there, you know, a bit of responsibility there, thinking of your neighbour, and, you know, it's not hard to do, so I just thought I'd mention that.
00:09:06
Speaker 2: It's an interesting one, given we haven't had this situation for October, where bulkies can't get into the paddocks, I suppose, so it's almost a case of the unknown for a lot of people in that instance.
00:09:17
Speaker 1: That's right, yep. No, it's... No, it's something to think about because, you know, you don't want broken legs or broken velvet heads or, you know, using lambs all mixed up or whatever. So it's just something to consider and think of others. So I just thought I'd put it out there. I've seen the... I've actually had first-hand experience. I know where we're going with this. So it's all very well letting people know that you're going to be doing it. It's a case of actually, you know.
00:09:49
Speaker 1: Making sure you don't swing across other properties. And in some cases it's impossible to do, but in most cases, you can actually avoid it.
00:10:02
Speaker 2: David Stevens, always appreciate your time on the muster.
00:10:06
Speaker 1: Thanks, Andy.
00:10:10
Speaker 2: David Stevens, a well-respected voice in the New Zealand deer industry, been doing it for over 40 years now. This is the muster on Hokanui. Up next from Balfour, we are travelling back down here to Gore and catching up with Sam Grant of Craig's Investment Partners.
