Hon David Carter
Minister of Agriculture
10am, Tuesday 22 February 2011

Speech

Agricultural Greenhouse Gas Research Centre conference opening, Massey University, Palmerston North

Good morning.

Thank you, for the opportunity to attend the inaugural conference of the New Zealand Agricultural Greenhouse Gas Research Centre – it’s an important milestone.

We are all aware that the world is facing many challenges - balancing economic aspirations alongside environmental stewardship is one challenge, food security is another.

Increasingly, consumers the world over expect food to be produced to the highest standards of quality and safety as well as expecting producers to take into account the environmental impact of farming systems.

Meeting this challenge demands collaboration between both the agriculture sector and the research community. By increasing our understanding of how ruminant-based farm systems work, we will be working towards the goal of simultaneously increasing production and reducing its environmental impact.

This conference is about further advancing the innovative thinking needed to find durable solutions to this challenge.

The Agricultural Greenhouse Gas Research Centre indicates its focus is greenhouse gases, but the reality is, it’s so much more. Research out of the Centre will benefit and support the entire agriculture sector and in turn, the New Zealand economy.

It is my firm belief that the Centre will make an invaluable contribution to the future success of our agriculture sector. It will also further enhance New Zealand’s international reputation as a leader not only as an efficient and sustainable agricultural producer, but importantly, as a country prepared to do more than its fair share to find agriculture’s solution to greenhouse gas emissions.

This Government acknowledges, and in fact values, the potential contribution that our home-grown research and innovation community can make to our economic prosperity, and also to solving global environmental challenges and growing food security issues.

It’s astounding to think that the world’s population is expected to increase from six billion to nine billion within a generation.

This ever growing, and increasingly prosperous, world population will increase the demand for New Zealand produce.

It will be a challenge indeed to produce more food while limiting greenhouse gas emissions and maintaining the environmental integrity that our discerning customers are coming to expect.

New Zealand is strengthening its position as a producer of premium products. More and more, our produce will be targeted at the world’s upper and middle classes – those who can afford, and who demand, high quality food and beverage backed by integrity and a good reputation.

We are no longer a low cost mass producer. Commanding higher prices means we must take seriously our customers’ concerns about the environmental impact of our food production systems, and this obviously includes the issue of climate change.

Farmers have done well to increase productivity at a faster rate over the past couple of decades than the rest of the economy. However, the research that helped fuel that productivity gain is now showing its age – it’s 20 to 30 years old.

Further productivity gains need to be kick started with a fresh shot of scientific and technological discoveries.

That’s why this Government established the Primary Growth Partnership innovation fund.

In just 17 months since this project was launched, a combined total of $475 million has been committed to eight projects over the next seven years. The Government’s contribution is $218 million and my thanks to the industries that have come to the party with the rest.

This is the biggest investment in research and innovation in New Zealand’s primary sectors in decades; possibly ever. It is a partnership that will produce real economic benefits.

We now have a diverse range of projects underway including the meat, fibre, dairy, forestry, wild fish, aquaculture, and the arable sectors.

In addition, the Primary Growth Partnership is also supporting the emissions research being undertaken, at the Agricultural Greenhouse Gas Research Centre, by way of a $50 million dollar contribution over 10 years.

As of today, apart from reducing stock numbers, there are few options to significantly reduce agricultural emissions. It is therefore critical that we develop access to technology that helps farmers reduce agricultural greenhouse gas emissions without compromising productivity as soon as possible.

I expect to see the Centre at the forefront of finding and promoting these technologies. It will be absolutely essential if New Zealand is to maintain its agricultural competitive advantage.

The other big initiative of which I am immensely proud is the establishment of the Global Research Alliance – an initiative the Government launched, to ensure there is greater international attention and effort directed towards increasing food production while limiting greenhouse gas emissions.

New Zealand proposed its creation and made $45 million available up front, for its work.

This research effort on agricultural greenhouse gases is a wonderful demonstration of the value of international collaboration in meeting the environmental challenges that every country is facing.

The Agricultural Greenhouse Gas Research Centre has a critical role to play in the Alliance. It leads New Zealand’s science input into the initiative, including co-leading the Livestock Research Group with the Netherlands.

We have been delighted with the success of the Alliance to date and I am very pleased that its membership continues to grow. There are now 31 countries involved, including the newest member, Thailand, which joined last month.

This Government is demonstrating a genuine desire to invest heavily in research, innovation and international alliances.

Our high standards of sustainability and environmental integrity deliver New Zealand a good international reputation which is a huge asset in negotiating international trade.

The one final challenge that closely links to the challenges I have outlined today, is New Zealand’s approach to water management.

Water delivers to New Zealand one of our greatest competitive advantages.

Used wisely, water is capable of delivering substantial economic gains to the primary sector, and therefore the New Zealand economy.

Currently New Zealand irrigates 600,000 hectares, but the potential is so much greater.

We have identified 347,000 ha that can be relatively easily irrigated, 270,000ha in my home patch of Canterbury.

Climate change will only put additional pressure on water supplies in the future.

This Government wants to ensure our water resources are managed wisely and this includes better allocation, improved water quality and more efficient distribution.

Of course, there are a number of other stakeholders in the community that want to be involved in managing our water. Local government, iwi, electricity generators, and recreational users all have a say, too.

This is why the challenge of best managing New Zealand’s freshwater resources was put to the Land and Water Forum – a group of 60 groups who have talked through issues and potential solutions over the past year.

Our approach to water management will be thorough and responsible, and must also enhance our international reputation by demonstrating our commitment to sustainability.

The world and the environment in which we live is changing rapidly and bringing a raft of new challenges and opportunities – challenges that science can help us solve, and opportunities that with innovative thinking, we can capitalise on.

Science has helped us in the past and is the answer to working through these new challenges.

I wish you well in this, your inaugural conference. I am certain that the discussions you have today will stimulate new ideas and propel you towards exciting new and enduring collaborations, developments, and opportunities.

Thank you.

ENDS

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