Fertiliser company Ballance Agri-Nutrients has been granted $9.75 million to invest in a research programme to find a way to transform fertilizer use and reduce the amount of nitrate run-off on dairy farms.

The funding comes from the Ministry of Agriculture and Forestry’s Primary Growth Partnership, a joint initiative to boost economic growth through research and innovation, and which has already spent a total of $493 million in the process.

The news would have delighted shareholders at the company’s Annual General Meeting in Hawke’s Bay held later in the day.

Ballance Chief Executive Larry Bilodeau says the farmer-owned cooperative  will match the funding dollar for dollar, and will launch a $32 million programme for the company to increase the productive capacity of the primary sector, while minimising the environmental impact.

Mr Bilodeau says that up to sixty per cent of New Zealand’s primary production depends on the continues use of fertiliser, and because of the intensification of our farming systems, the environmental pressure is building.

So by reducing reliance on traditional fertilisers and targeting nutrient losses, the company hopes to safeguard the country’s pastoral future.

Mr Bilodeau says that this is one of the most significant investments in sustainable farming  research in recent years and it will deliver long term returns for New Zealand.