Alliance Group’s decision to fully close its meat processing plant in Timaru has been attributed to land use change by Federated Farmers, who claim that farms are being converted into carbon forests at alarming rates. However, the New Zealand Forest Owners Association argues that the area of production forestry in the country has actually decreased over the past 20 years.
Statistics from Te Uru RÄkau – New Zealand Forest Service show that the total forestry area in the country had grown from 1,176,614ha in 1990 to 1,827,339ha in 2003 but has since decreased. Agricultural and horticultural land use data from Statistics NZ also reveals changes in land use patterns, with sheep farming decreasing nationally while dairy farming has increased.
Forest Owners Association’s acting chief executive, Brendan Gould, emphasizes that forestry is not solely responsible for the decline in sheep farming or the closure of regional meat works, pointing out that afforestation rates have declined as landowners prioritize pastoral farming. He stresses the need for integrated land use approaches that allow farming and forestry to co-exist.
On the other hand, Beef + Lamb New Zealand’s chairperson, Kate Acland, highlights the significant conversion of sheep and beef farmland into forestry since 2017, affecting the capacity of the sector. She attributes this trend to the impact of the Emissions Trading Scheme (ETS) on land-use change, with a notable increase in sheep and beef farms being sold to forestry.
Despite the ongoing debate, both industry groups agree on the need for landowners to have the autonomy to make decisions about their land use. The closure of the Smithfield meatworks serves as a stark reminder of the challenges faced by the primary industry sector in New Zealand, with pressures such as reduced export demand and increased compliance costs adding to the strain.
