Dairy Insights with Fonterra: Debra Kells

Michelle Watt talks to Debra Kells, Farm Source’s Regional Head for the Upper North Island, about record attendance for Fonterra at Fieldays, On-Farm Solutions for farmers, and what's next for the new season.

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Episode Transcript

Speaker 1 (00:00):
It's time to talk to the team at Fonterra and
today we're joined by Debra Cow's Farm Sources regional head
for the Upper North Island.

Speaker 2 (00:06):
Welcome Deborah, thanks for having me, Michelle.

Speaker 1 (00:10):
I was at Field Days this year and there was
a real sense of positivity in the rural sector. What
were you hearing from farmers on the ground.

Speaker 2 (00:17):
Yeah, it was an amazing few days up there. It was.
We had over six thousand farmers and their families come
through our tent this year, which is an absolute record
for us. So there was a really great buzz in
the tent, lots of energy and I had a lot
of positive feedback coming from our farmers shareholders. So I'd
probably say the optimistically cautious. So following our capital return

(00:41):
from the sale of Mainland Group, they're probably just thinking
about the majority of that going towards paying down debt,
making their balance sheet a bit more resilient, and some
of them were investing though in equipment at Field Days,
so it was great to have lots of chats about
farmers exploring tech options that ultimately helped them with relieving
labor on farm and treeing them up to concentrate in

(01:03):
other areas, which was really neat to hear. But of
course there's a little bit around on farm cough still increasing,
so a bit of cautiousness about the future around there,
and of course with the global situation extremely volatile, so
even though that's happening, it's also great though to think
that what a great success to see dairy thriving despite

(01:24):
that and the demand for high quality nutrition. So it
was a really positive atmosphere.

Speaker 1 (01:28):
Oh, it was fantastic just being around that positive atmosphere
at field days. I came back feeling like my cart
had been felled, even though it was a busy few days.
Totally agree, certainly it is a great time for farmers,
and I understand is more funding on the table from
customers for the sustainability initiatives. Can you tell me more
about these initiatives, Dearra.

Speaker 2 (01:48):
Sure thing. So we recently shared the details of our
twenty twenty six twenty seven customer funded on farm solutions
with our farmers. So through our separate agreements with our
customers like Mars and their Sleigh, that means there's four
thousand funding slots available this year on a first come,
first served basis for our farmers, So that's down to

(02:10):
about up to two thousand per farm and reimbursement funding
for eligible tools and services, or up to three thousand
per farm outcome based funding for a genetic game pilot program.
And that last one though, it is capped at two
hundred farms.

Speaker 1 (02:26):
And this will help farmers make some meaningful changes on farm,
won't it, Deborah?

Speaker 2 (02:31):
Yeah, I really think it will. And I guess some
of the solutions that we're looking at this season really
are looking and focusing on on farm efficiency and that's
through technologies that might support animal performance and some of
those other things that I touched on before on farm planting,
and of course the pilot program to look at the
increase in speed of genetic gain within their herd so

(02:54):
they start applying. Your farmers can actually start applying from
that from next month, so we encourage them, look, just
reach out to your local farm source team and we'll
happily go through those options with them. And of course
we are still looking at ways to expand access to
those on farm solutions throughout the season, so we'll just
keep farmers up to date as they progress. But I
guess also on the other side, always asking look if

(03:16):
farmers have some great input into what they think would
be meaningful for their business in terms of some of
those on farm solutions, we're also really open to hearing that.

Speaker 1 (03:25):
And priorities for your team this season. I'm sure there's many.

Speaker 2 (03:29):
There are lots of things to focus on, but lots
of really great stuff as well. So we're really excited
about going into a new season and there's no reason
to believe it won't be another good one, which is awesome.
So still a lot of volatility in the market, however,
so I think in terms of where the co op
plays in that the security, stability and support we're offering
is really important through those times, and we've always done

(03:51):
that extremely well. We're also pleased to have achieved great
results for cult farmers in recent years, and we've made
a number of investments to make that offering as competitors
as we can. We've had milk volumes that have been
tracking really well, and that means the cop focuses really
hard on how we make the most value out of
every part of that milk, and I guess, really importantly
as well, will continue to focus on supporting our next

(04:14):
gen into dairy. So we've made some good progress and
identifying and celebrating and working with our future farmer owners
and that'll continue to be a real priority for us.
And that's a right across the co op commitment and
from our senior management team board and locally within region
where we ensure there's a strong connection and that they
are getting everything they need from the co op. And

(04:36):
so I've done things like made sure we've tailored support
for young farmers and their farm ownership journey, so making
sure that we're supporting them with their particularly unique needs
and where they are at in their journey and timing
and working with partners as well to get lots of
support to them as they start off and their farming businesses.
And we've also recently had some fantastic progress through our

(04:58):
dairy Pilot program which has been in partnership with Growing
Future Farmers. First Intake is now underway. It we've had
seven farmer trainers hosting seven students across Wakato and they
have plenty providing them with awesome on farm experience, mentorship
and industry insights. So feedback has been really positive and
I want to make a plug for applications which are

(05:20):
opening soon for twenty twenty seven. We'd love to have
more farmers as our farmer trainers and what an awesome
way to give back to the industry and see those
young people grow.

Speaker 1 (05:30):
Oh, it's amazing Fonterra giving such good opportunities to the use.
And that's the future of farming as well. I mean
even at field days at Primary Industry Awards which I
was at this week, the future of farmers is in
good hands.

Speaker 2 (05:41):
Sure is. It's great to serve, isn't it.

Speaker 1 (05:44):
And just going back a farmers wanted to know more
about the sustainability dairying side of things. Do they just
go to their farm source.

Speaker 2 (05:52):
Yes, to reach out to their local farm source team,
so that might be their cropsive business partner or it
might actually also be their sustainable daring advisor. But just
reach straight out to the team and they'll make sure
you've got all the information you need.

Speaker 1 (06:04):
Thank you so much for your time today, dear Brett.

Speaker 2 (06:06):
Absolutely, thanks so much. Michelle