Around 90 farmers from across Hawke’s Bay came together at Glensheil recently for a Farming for Profit field day focused on global market trends, making smart business decisions, and practical ways to run farms more profitably.
With a mix of market information, financial planning and a detailed farm case study, the day reinforced the importance of understanding off-farm influences while continuing to sharpen on‑farm systems to remain resilient and profitable in an increasingly volatile environment.
Ali Forbes, B+LNZ’s local Extension Manager, says the day reinforced that while farmers cannot control global events, understanding market drivers and focusing on sound business fundamentals can help build resilience.
Global markets and what they mean on-farm
Jen Corkran, Senior Animal Protein Analyst at RaboResearch, set the scene with an overview on global protein markets and the geopolitical forces shaping farm input costs and export returns.
A key theme was the growing influence of global politics on energy, freight and fertiliser markets. Rising tensions in the Middle East, particularly around the Strait of Hormuz, present a risk to shipping and fertiliser supply chains, with potential flow-on effects for fuel and nitrogen prices in New Zealand. B+LNZ encourages farmers to keep in contact with their suppliers. Read more information and advice on the Iran conflict here and have input into B+LNZ’s response here.
Corkran highlighted that despite this uncertainty, the fundamentals for New Zealand red meat remain positive. Beef prices are being underpinned by historically low US cattle numbers, with the United States now the largest destination for New Zealand beef by both volume and value. Demand for lean manufacturing beef continues to support strong schedules.
For sheep meat, market diversification is playing a crucial role. While China remains important, stronger demand from the EU, UK and US has helped lift average export values, even as export volumes have declined. The overall outlook for sheep and beef was described as cautiously optimistic, with volatility expected to come more from global events and input costs than from demand.
For more, view B+LNZ’s Mid-Season Outlook.
Market strength brings opportunity and risk
Discussion also focused on the impact of strong store and saleyard prices. While positive for sellers, elevated stock prices increase risk for trading and finishing businesses, making discipline and margin awareness more important than ever.
Farmers were encouraged to remain conscious of their exposure to input cost volatility and to stress-test decisions where possible, particularly around fertiliser, fuel and freight.
Tax planning as a business tool
Farm accounting specialist Campbell Brenton-Rule delivered a practical and engaging session on tax planning, with clear advice: tax is a sign of profitability, not something to fear but good planning matters.
Rather than chasing single silver-bullet solutions, Campbell emphasised the value of stacking small wins through early planning and good systems. Topics covered included making full use of available deductions, managing repairs and maintenance timing, livestock valuation options, income spreading, and understanding the difference between profit and cashflow.
The session reinforced the importance of working with accountants before balance date, budgeting for tax payments, and avoiding common traps that can lead to unexpected bills or cashflow pressure.
A flexible trading system in action: Glensheil case study
Rowan Sandford and Sam Tod, who are in an equity partnership leasing Glensheil Farm, offered a detailed look at a fully flexible trading business operating under a long-term lease.
Starting with a ‘blank canvas’, the focus has been on infrastructure development and pasture improvement to support a high-performing trading system. Significant investment has gone into water, subdivision, fencing and soil fertility, enabled by a 10-year lease that allowed development to be justified and shared between owner and lessees.
The business runs no capital breeding stock, instead adjusting trading numbers to suit feed supply and market conditions. This flexibility has been critical in managing risk and capturing opportunity, particularly during periods of tight supply and strong prices.
Strong relationships with the landowner, clear communication, and a disciplined, unemotional approach to opportunity assessment were highlighted as central to making the leasing model work.
Staying ahead of on-farm challenges
Practical management topics rounded out the day, including porina monitoring and control. With variable flight patterns and chemical options narrowing, the key message was the importance of early monitoring, correct identification of larvae size, and timely action to protect pasture production.
Farm assurance was also discussed, with a reminder that programmes like New Zealand Farm Assurance Programme (NZFAP) and NZFAP Plus are increasingly important in demonstrating credibility to global markets. Farmers were encouraged that much of the required information is already collected on farm, and that certification can help position businesses for future market access, regulatory change and sustainability-linked opportunities.
Acknowledgments and upcoming events
B+LNZ thanks all speakers, hosts and attendees for contributing to a valuable and thought-provoking event.
For upcoming B+LNZ events across the country, visit www.beeflambnz.com/events.