Kate Acland: Beef + Lamb NZ Chair on the conversion of farmland to forestry slowing down

Strong returns for sheep and beef farmers could be helping slow the rush to convert farmland into forestry. 

A new Beef + Lamb NZ report shows 30 thousand hectares of farmland was sold for forestry last year – less than half the 2021/22 peak. 

Chair Kate Acland says it's pleasing to see only 1,300 hectares converted in the first three months of this year. 

But she told Mike Hosking that number will probably rise as foreign investment offers flow in. 

She says we have to think about what we want the country to look like in 50 years. 

LISTEN ABOVE 

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:00):
New data this morning on the great debate over the
land conversion to forestry. Overall, the trend is slowing. Last
year though another thirty thousand hectares was converted from the
old beef and lamb to the forestry. Kate Eckland is
the beef and lamb chair, of course, and it's back
whether there's Kate.

Speaker 2 (00:12):
Morning to you morning.

Speaker 1 (00:14):
Wait slowing? Are we seeing a trend or we don't know?

Speaker 2 (00:18):
Oh? Look, I mean it's great that there has been
a reduction, but these figures are still really concerning because
these are whole farms that are going into trees, not
just pockets of trees in the right places. So we
don't know that. I think it shows it's really important
that we keep an eye on this.

Speaker 1 (00:33):
And so in the demand question though, is that fewer
people wanting to do it or are the rules working?

Speaker 2 (00:40):
I think the rules have definitely had an impact. I've
taken a bit of the confidence out. But you know,
another thirty thousand hectares is a really significant area.

Speaker 1 (00:49):
Yes it is, But what do you do as a
farmer and you want to sell your farm in the
person with the most money wants to plant trees.

Speaker 2 (00:55):
Now, look You're absolutely right. And I think the other
thing that is helping slow this trend is actually the
fact that sheef and beef farming is going through some
really strong times at the moment, and you know, we
know that our most productive chef and beef farmers are
actually outperforming carbon farming, and so that's you know, we're
really focusing.

Speaker 1 (01:13):
That was my next question, because there's a libertarian why
don't you let the market do the talking in the
market at the moment if you're not in the beef
and sheep Given the numbers we had just yesterday from
the red meat people, I mean, you know that should
solve your problem, shouldn't it.

Speaker 2 (01:25):
Look that's absolutely the goal. But remember what's driving a
lot of this planting is not the forestry market. It's
the ets market. And prior to twenty eighteen, before the
cap came off, the etes, we were only getting about
seven thousand hectares planted a year, and to be frank
that was probably seven thousand heaptaes. That made sense on
the land that was getting planted on. But we're seeing
really good, productive, flat and rolling hell country going into

(01:49):
trees just driven by that carbon price.

Speaker 1 (01:51):
Yeah, what's you and looking at the numbers. So you've
got one hundred and thirty thousand ish hectare since twenty
seventeen foreign owned companies versus you're eighty five thousand in
the CA. What's your bigger concern, the foreign or the carbon.

Speaker 2 (02:04):
Look, it's the carbon that's the concern. Who owns it
is sort of largely irrelevant, But you know, it is
a concern that you've got these foreign companies in here
and sort of parking their carbon issues on New Zealand soils,
and you've got to think about what do we want
our landscapes in our country to look like in another
fifty years because those carbon forests will still be there

(02:25):
and they're not native. You know, it's largely pine trees
that's going in hearts and minds.

Speaker 1 (02:29):
Do you reckon you're winning the debate or not.

Speaker 2 (02:32):
Look, I think we're bringing a lot of attention to
the debate. You know, it's not about being anti forestry. Actually,
forestry is a really important sector for New Zealand's larger
primary sector. You know, this is purely about those whole
carbon forests.

Speaker 1 (02:46):
Yeah, first quarter of this year, so Jen feb March,
only thirteen hundred hectares. That a good sign for somebody
like you. It's not many, no, no, that is.

Speaker 2 (02:54):
A good sign. And twenty five we were only about
fifteen thousand hectares are but we are expecting as those
sales come through the Overseas Investment Office that number will
jump up. And you know we're expecting the same again
for the current year. But you know, as we said
at the start, we do need to keep an eye
on this.

Speaker 1 (03:13):
Yeah, always a pleasure, Kate, appreciate it. Kate Aklan, who's
the beef and Lamb New Zealand.

Speaker 2 (03:18):
Here for more from the Mic Asking Breakfast. Listen live
to news talks it'd be from six am weekdays, or
follow the podcast on iHeartRadio.