The dairy sector will get major funding support through the Primary Growth Partnership (PGP), with the creation of a $170m research programme.
DairyNZ and Fonterra will put up 29 and $47m respectively to the seven year scheme, which aims to boost on-farm productivity and dairy research.
DairyNZ CEO Tim Mackle says now the money is there, the hard work starts.
“The challenge is to be able to spend it as well. While we absolutely want the outcomes, we need to be able to invest the money wisely to get absolute best value out of it.
"Sometimes you need to be able to build capability. A part of this programme is to build some infrastructure back in there so we can get some good results for farmers.”
Dr Mackle says the industry has a big job ahead of it delivering for farmers and the Government.
“It’s a very significant day and it’s a big commitment from the Government but also for farmers themselves because they’re putting a lot of money into this. Particularly through Fonterra and DairyNZ.
"That means we’re committed to being able to drive the industry forward, work through the sustainability issues that we’ve got, which is a big part of this programme.”
Agriculture Minister David Carter says the programme’s benefits will reach every corner of the dairy sector.
“What the DairyNZ/Fonterra programme looks at is boosting on-farm productivity. It’s doing a lot of research off-farm around new food products, but the project is large and all-encompassing of the dairy industry."
Federated Farmers has joined the welcome chorus as well.
President Don Nicolson says the Feds will act as a watchdog on both the dairy and meat programmes to see they act in the interests of all farmers.
“Our role is obviously as an independent scrutiniser. We have got to understand how these packages have been formulated.
"I’m told there are more applications to the PGP coming in from other companies. So the Government at least is putting up what it said it would put up through the PGP, and it looks like first up best dressed at the moment anyway.”
