Read The Times Australia

Daily Bulletin

NZ’s dairy industry faces an uncertain future – its fate now lies in its ability to adapt

  • Written by: Milena Bojovic, PhD Candidate, Macquarie University
NZ’s dairy industry faces an uncertain future – its fate now lies in its ability to adapt

New Zealand’s dairy sector faces an uncertain future due to several challenges, including water pollution, high emissions, animal welfare concerns and market volatility.

All of these issues are building tensions and changing public perceptions of dairy farming.

In my new research, I argue the time has come for the dairy sector to adopt a “just transition” framework to achieve a fair and more sustainable food future and to navigate the disruptions from alternative protein industries.

The concept of a just transition is typically applied to the energy sector in shifting from fossil fuels to renewable energy sources.

But a growing body of research and advocacy is calling for the same principles to be applied to food systems, especially for shifting away from intensive animal agriculture.

Aotearoa New Zealand’s dairy sector is an exemplary case study for examining the possibilities of a just transition because it is so interconnected in the global production and trade of dairy, with 95% of domestic milk production exported as whole-milk powder to more than 130 countries.

Environmental and economic challenges

New Zealand’s dairy sector faces significant threats. This includes environmental challenges such as alarming levels of nitrate pollution in waterways caused by intensive agriculture.

The sector is also a major source of emissions of biogenic methane from the burps of almost six million cows in the national dairy herd.

Debates about how to account for these emissions have gone on for many years in New Zealand. But last month, the coalition government passed legislation to keep agriculture out of the Emissions Trading Scheme.

This means livestock farmers, agricultural processors, fertiliser importers and manufacturers won’t have to pay for on-farm emissions. Instead, the government intends to implement a pricing system outside the Emissions Trading Scheme by 2030. To meet emissions targets, it relies on the development of technologies such as methane inhibitors.

A cheese board with soem bread and a cheese made from cashews
The development of plant-based and fermentation proteins poses another threat to the dairy sector. Getty Images

In addition to environmental challenges, global growth and domestic initiatives in the development of alternative dairy products are changing the future of milk production and consumption.

New Zealand dairy giant Fonterra is pursuing the growth of alternative dairy with significant investments in a partnership with Dutch multinational corporation Royal-DSM. This supports precision fermentation start-up Vivici, which already has market-ready products such as whey protein powder and protein water.

Fonterra’s annual report states it anticipates a rise in customer preference towards dairy alternatives (plant-based or precision-fermentation dairy) due to climate-related concerns. The company says these shifting preferences could pose significant business risks for future dairy production if sustainability expectations cannot be met.

Pathways to a just transition for dairy

What happens when one the pillars of the economy becomes a major contributor to environmental degradation and undermines its own sustainability? Nitrate pollution and methane emissions threaten the quality of the land and waterways the dairy sector depends on.

In my recent study which draws on interviews with people across New Zealand’s dairy sector, three key transition pathways are identified, which address future challenges and opportunities.

  • Deintensification: reducing the number of dairy cows per farm.

  • Diversification: introducing a broader range of farming practices, landuse options and market opportunities.

  • Dairy alternatives: government and industry support to help farmers participate in emerging plant-based and precision-fermentation industries.

While the pathways are not mutually exclusive, they highlight the socioeconomic and environmental implications of rural change which require active participation and engagement between the farming community and policy makers.

The Ministry of Business, Innovation and Employment recently published a guide to just transitions. It maps out general principles such as social justice and job security.

But the guide is light on advice for agricultural transitions. My work puts forward recommendations to shape future policy for a more just and sustainable dairy future. This includes issues such as navigating intensification pressures, supporting the development of alternative proteins and fundamentally supporting farmer agency in the transition process.

For the dairy transition to be fair and sustainable, we need buy-in from leadership and support from government, the dairy sector and the emerging alternative dairy industry to help primary producers and rural communities. This needs to be specific to different regions and farming methods.

The future of New Zealand’s dairy industry depends on its ability to adapt. Climate adaptation demands balancing social license, sustainable practices and disruptions from novel protein technologies.

Authors: Milena Bojovic, PhD Candidate, Macquarie University

Read more https://theconversation.com/nzs-dairy-industry-faces-an-uncertain-future-its-fate-now-lies-in-its-ability-to-adapt-245148

Business News

How Immigration Lawyers Can Help

Introduction Visa decisions can shape employment, family life, study plans, travel, and future residence. A small omission can lead to delay, added expense, or refusal. Immigration lawyers assess l...

Daily Bulletin - avatar Daily Bulletin

How Industrial Drying Equipment Supports Efficient Processing

Many industrial processes require moisture to be removed from compressed air, products or process materials before they move to the next stage. Excess moisture can affect equipment performance, produc...

Daily Bulletin - avatar Daily Bulletin

Practical Ways a Whiteboard Can Improve Workplace Communication

Effective communication helps teams stay organised, share ideas and keep track of important information. While digital tools are now common in many workplaces, a whiteboard continues to provide a simp...

Daily Bulletin - avatar Daily Bulletin

Designing Eco-Friendly Custom Water Bottles for Your Next Event

The Evolution of Sustainable Event Merchandise Event planning has undergone a massive transformation over the last decade. Gone are the days when organizers could hand out cheap, single use plastic...

Daily Bulletin - avatar Daily Bulletin

Why Choosing a Professional Florist Melbourne Makes Flower Delivery Impactful

Flowers have a great power to speak when humans cannot express their feelings with right words. Flowers are the best gifts when you are celebrating a birthday or welcoming a newborn child into your fa...

Daily Bulletin - avatar Daily Bulletin

The Business Case for Choosing Australian Fabricators Over Imported Alternatives

For a long time, you might have defaulted to overseas suppliers when sourcing fabricated metal components for a project. The unit price was lower on paper, and the maths seemed straightforward. That...

Daily Bulletin - avatar Daily Bulletin

Australian organisations are relying on business continuity plans built for a far more predictable world

Tariff escalations, supply chain fragility, geopolitical events, and the ongoing threat of cyber disruption have reshaped the risk environment facing Australian organisations. The problem is that ma...

Daily Bulletin - avatar Daily Bulletin

How to Rent a Car for Uber in Melbourne: What Every New Driver Needs to Know

Starting out as an Uber driver in Melbourne is not as complicated as it sounds but getting the vehicle right is where most new drivers get stuck. Uber has strict requirements around vehicle age, condi...

Daily Bulletin - avatar Daily Bulletin

When Should You Speak to a Lawyer About a Legal Issue?

Legal issues can begin with a simple question, then become harder to manage once formal steps are involved. Many people wait until a matter feels urgent before seeking guidance, even though earlier ...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Why Accurate Measurements Matter When Ordering Flatpack Cabinets

Ordering flatpack cabinets can make a renovation or storage project more manageable, but the proce...

How Long Does Interstate Freight Take in Australia?

If you have ever arranged for stock, equipment or materials to travel from one Australian state to a...

How AEC Firms Can Scale Faster Without Sacrificing Project Quality

Growth presents a fundamental dilemma for architecture, engineering, and construction firms: expan...

What Makes an Aesthetic Clinic Worth Going Back To?

Trying an aesthetic clinic for the first time can feel like a bit of a gamble. You can read review...

Elevate Your Morning Routine with Cafe-Style Coffee at Home with the Right Coffee Machine

There's something magical about that first sip of coffee in the morning. It’s more than just a bev...

Top Garment Steamers for Busy Professionals in Australia

The gap between garment steamers built for a quick touch-up and ones built to keep pace with a wor...

Correct Sleeping Posture to Minimize Back Strain

Most people don’t pay much attention to how they sleep until they start waking up with a stiff bac...

Why Product Longevity Matters for Sustainable Australian Buildings

Sustainability in building design is often associated with recycled materials, renewable resources a...

NDIS Support Coordination Explained: What Does a Support Coordinator Actually Do?

NDIS support coordination explained means understanding how a professional can help participants n...