August 8, 2007

 

Dairy boom draws climate concerns in New Zealand

 

 

The good run of New Zealand dairy sector has drawn flak from politicians as the industry's output rise is allegedly creating environmental problems.

 

Jeanette Fitzsimons, co-leader of the national Green Party said the industry was being "subsidised" to meet increased demand from processors at the expense of both the environment and the country's tax payers, and should be charged for its impacts.

 

The denigration follows as dairy producers are pressured to ensure that both their supply and production methods are sustainable, with the possibility of being penalised if they are found to harm the environment.

 

Fitzsimons said the free use of publicly owned and scarce water as a major example of the benefits the industry is currently receiving.

 

She said water is not "privately owned and farmers and other commercial users are using it for their own ends."

 

She also said that increased land use is an area for worry. Fitzsimons pointed out farmers are not charged for any biodiversity losses, landscape and shelter. She added the land is used as a dumping ground for methane and nitrous oxide while other sectors are picking up the costs of a changing climate. 

 

Fitzsimons believes that the industry should face greater responsibility over the environmental impacts of its operations through the use of financial penalties to encourage more environmentally sound practices.

 

However, the sector has rebuffed the Fitzsimons' claim, stating milk production is well ahead in terms of emissions.

 

Frank Brenmuhl of Federated Farmers of New Zealand pointed to recent findings by Lincoln University that found that greenhouse gas emissions were 34 percent lower in New Zealand than the UK.

 

Commenting last week on the findings, he said that New Zealand's increased levels of dairy production were therefore benefiting the issue of climate change, stating the country's milk and meat production use less energy than anywhere else.

 

The comments come as the value of diary commodity prices rose by 7.8 percent in July over the previous month, according to ANZ Bank's World Commodity Price Index report.