Drought may cost the country $2bn - English
Finance Minister Bill English says New Zealand's drought could cut $2 billion from the national economy, twice the figure estimated last week.
17
March, 2013
The
extended dry spell has led to the entire North Island being
officially declared as affected by drought, forced dairy farmers to
dry off herds earlier than usual and cut milk production.
Mr
English told Televison New Zealand's programme Q+A the
drought could knock 30% off New Zealand's growth rate in a year.
He
said the Government will be getting advice from the Treasury in the
run up to the Budget on 16 May.
But
Mr English said the latest advice is that somewhere between $1
billion and $2 billion will be cut from the national income, and as
every week goes by, the prospect of it being the higher figure grows.
Rain falls but may not give much respite
Rain
is spreading parts of the country after months of drought but is not
expected to last more than a couple of days.
On
Sunday, Northland, Auckland, Waikato, western Taupo and Taranaki had
spells of rain, while light showers fell in Wanganui and Manawatu and
a smattering in Wairarapa and Wellington.
By
mid-morning the heaviest rain had been 15mm at Kerikeri in Northland.
In
the south, the Nelson region and Westland were also getting some
rain. The West Coast, normally one of the wettest parts of the
country, last week became the first region in the South Island to
request to be officially declared in drought.
MetService
forecaster Brooke Lockhart said the rain would last until Monday and
in some regions until early Tuesday, but dry weather is forecast to
return after that.
Milk price rise predicted
A
rural economist and Federated Farmers say New Zealanders could soon
be paying more for milk and other dairy products as a result of
drought.
ANZ
rural economist Con Williams said milk prices may rise by up to 20%
meaning a two-litre container of milk selling for $3 would cost
$3.60.
Mr
Williams said overseas buyers are speculating New Zealand will have a
shortage of milk as a result of the drought and have been prepared to
pay a premium for milk powder at the last three dairy auctions.
Lincoln
University agribusiness specialist Professor Keith Woodford said
Fonterra had forecast dairy production would be 1% higher than last
season but now expects it will announce a drop in production.
Federated
Farmers president Bruce Wills said the lack of milk supply will
inevitably lead to a rise in prices for consumers.
Farmers' incomes dropping
North
Island dairy farmers say they are losing tens of thousands of dollars
as the drought forces them to dry off herds months earlier than
usual.
In
Wairarapa, sheep, beef and dairy farmers say they are having to
significantly reduce livestock numbers.
Castlepoint
farmer Anders Crofoot said he had to sell 400 head of cattle early
for $200 less than expected per animal leaving him $80,000 out of
pocket.
Some
farmers say streams on their properties have dried up for the first
time in 50 years.
Tararua
sharemilker Neil Filer expects to dry off his cows 80 to 90 days
earlier than normal unless there is significant rain by Wednesday,
meaning he could lose $500,000 at the two farms he runs.
Federated
Farmers Tararua branch chairman Gray Beagley said he is in the
process of drying off his cows and expects to lose about $140,000 in
income due to reduced milk production.
Wellington is normally a fairly damp place with plenty of water. To see the impact of the drought on the Hutt River see these and other photos. Thanks to Frank McSkasy
2013
– The Year of The Big Dry
15
March, 2013
NZ,
Wellington, 13 March 2013 - In 2011, it was the Year of the Big
Chill, as snow blanketed the entire country.
Two
years later, as climate change impacts globally, New Zealand is no
longer immune to extreme weather patters. In the Hutt Valley, just
north of Wellington, the Hutt River’s levels are significantly
lower than seen in a long time.
The
following photos were taken on the Hutt River, from Avalon to Totara
Park …
Hutt
River, adjacent to the Moonshine Bridge, looking north. The river
level normally swirls around bridge pillars in the foreground. The
pool in the foreground is usually part of the river flow,
Stagnant
pools, covered by green slime-algae, where only a few months ago the
river flowed,
The
grass was so brown and dry, it reminded me of Australia, where “The
Sunburnt Country” is a literal description,
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