SURVEY OF NEW ZEALAND FARMER INTENTIONS AND OPINIONS, OCTOBER-DECEMBER, by J.G. Pryde P.J. McCartin RESEARCH REPORT NO. 136 March 1983 ISSN 0069-3790 1982 CONTENTS Page ACKNOWLEDGEMENT I. BACKGROUND 11. INDEX O F T A B L E S 111. CONCLUSIONS IV. TABLES O F R E S U L T S V. APPENDICES A. QUESTIONNAIRE B. SAMPLE S T A T I S T I C S ACKNOWLEDGEMENT The authors recognise the special contribution from the large number of farmers throughout New Zealand who responded to the questionnaire. In addition thanks are due to some progressive major companies and organisations whose foresight and financial contributions enabled this exercise to be undertaken. They include: Dalgety New Zealand Limited New Zealand Insurance Company Limited Ivon Watkins-Dow Limited Rural Radio of Radio New Zealand Waitaki New Zealand Refrigerating Company Limited East Coast Fertiliser Company Limited Blue Wing Honda Limited Indebtedness is acknowledged to the Government Statistician and his staff for drawing the sample of farmer respondents. Special thanks are owed to Janice Glen for her careful and systematic preparation of the first draft of this report, to the staff of the Computer Centre of Lincoln College, and to many others who helped from time to time . I. 1.1 BACKGROUND INTRODUCTION This is the fifth major survey of New Zealand Farmer Intentions and Opinions undertaken. The others relate to 1977, 1978, 1979 and 1981. All were aimed at providing agricultural policy makers and those in the agri-business sector in New Zealand with better data on which they could formulate policies and plans. The surveys have continued in response to demands from various quarters although at no time has any claim been made that the results are completely conclusive. Obviously factors such as the unscheduled occurrence of drought's and the non-response from a section of the sample have an effect on the validity of the final results. The survey not only attempted to 'sound out' farmers on their development plans, etc. but endeavoured to pursue enquiries relating to financial matters raised in the 1978 and 1981 surveys and also a special survey in which J.G. Pryde was involved in 1980'. The questions were included in the 1982 survey in the hope that some important data on farmer indebtedness, etc. could be secured to fill in gaps in our information on the capital and debt structure of New Zealand farms. 1.2 THE SAMPLE A stratified randomsample of just over 3,000 dairy, sheep-beef and arable farmers was drawn by the Department of Statistics from an up-to-date list of farmers classified according to the New Zealand Standard Industrial Classification. The sample was stratified by farm type within Official Statistical areas. Farms below 20 hectares were eliminated and the total sample represented about seven percent of the estimated 45,000 full-time farmers in New Zealand. 1.3 RESPONSE RATE Just over 1,800 farmers (or about 60 per cent) responded to the mail l. A R e v i e w o f the R u r a l C r e d i t S y s t e m i n New Z e a l a n d 1964 t o 1979, J . G . P r y d e a n d S . K . M a r t i n , R e s e a r c h R e p o r t N o . 114, A . E . R . U . , Lincoln College. questionnaire (a copy of which is included as Appendix A to this report) and, of these 1,616 satisfactorily completed the questionnaire as at the closing date, 10 January 1983. The questionnaires were dispatched in early October 1982. A reminder was sent to non-respondents in November. 1.4 ACCURACY Again, responses were well spread throughout the 13 Provincial Land Districts. No follow-up surveys of non-respondents were undertaken. Statistics on the sample are given in Appendix B to this Report. 11. INDEX OF TABLES Page Table 1. 1A Dairy Farmers' Production Expected Number o f Cows i n M i l k p e r Herd - By P r o v i n c i a l Land D i s t r i c t 1B Expected M i l k f a t p e r Cow - By P r o v i n c i a l Land D i s t r i c t 2. 2A Sheep and Beef F a r m e r s ' P r o d u c t i o n E s t i m a t e d B r e e d i n g Ewe Numbers - By P r o v i n c i a l 30 Land D i s t r i c t 2B E s t i m a t e d B r e e d i n g Ewe Hogget Numbers - By P r o v i n c i a l Land D i s t r i c t 2C E s t i m a t e o f Ewe Hoggets Mated 31 - By P r o v i n c i a l 32 Land D i s t r i c t A t t i t u d e s t o w a r d s F a t Lamb - P r o d u c t i o n ~ oicyl - By P r o v i n c i a l Land D i s t r i c t 33 F a c t o r s R e l e v a n t t o F a t Lamb P r o d u c t i o n P o l i c y - By P r o v i n c i a l Land D i s t r i c t 34 A c t u a l F a t Lamb P r o d u c t i o n Trend o v e r t h e l a s t 10 Years - 35 By P r o v i n c i a l Land D i s t r i c t E s t i m a t e d Beef B r e e d i n g Cows i n Herd - By P r o v i n c i a l Land D i s t r i c t E s t i m a t e d Beef B r e e d i n g H e i f e r s i n Herd P r o v i n c i a l Land D i s t r i c t 3. I n t e n d e d E r e c t i o n o f New F e n c i n g 3A - By P r o v i n c i a l Land D i s t r i c t 3B - By Farm Type - By ' Page Table 4. The Most Important F a c t o r s L i m i t i n g Expansion o f Farm Output 4A The Three Most Important F a c t o r s L i m i t i n g Expans i o n o f Output 4B - The Three Most Important F a c t o r s L i m i t i n g Expansion of Output - By Age o f Farmer 4C - By Farm Type 4D - 5. By P r o v i n c i a l Land D i s t r i c t The Most E f f e c t i v e Expansion I n c e n t i v e 5A - By P r o v i n c i a l Land D i s t r i c t 5B - By Farm Type 5C - By Age o f Farmer 6. 6A P a s t u r e Renovation P e r c e n t a g e o f Farm Regarded a s P l o u g h a b l e By P r o v i n c i a l Land D i s t r i c t 6B - 6C P a s t u r e Improvement Programme C a r r i e d Out By Farm Type - By P r o v i n c i a l Land D i s t r i c t 6D - 6E Area of P a s t u r e Improvement By Farm Type - by P r o v i n c i a l Land D i s t r i c t 6F - 6G Method Used i n P a s t u r e Improvement Programme By Farm Type By P r o v i n c i a l Land D i s t r i c t 6H - By Farm Type - Table 61 R e s u l t s o f P a s t u r e Improvement Undertaken - By P r o v i n c i a l Land D i s t r i c t 6J - 6K Main Type o f Scrub and Brushweed By Farm Type - By P r o v i n c i a l Land D i s t r i c t 6L - 6M Area o f Scrub and Brushweed By Farm Type - By P r o v i n c i a l - By P r o v i n c i a l Land D i s t r i c t 6N - By Farm Type 60 Scrub and Brushweed C l e a r e d 6P . 6Q Land D i s t r i c t 53 - 53 By Farm Type Method o f C l e a r i n g Used - By P r o v i n c i a l Land -District - By Farm Type 6s Success o f C l e a r i n g 6T - 7. 7A - 55 By P r o v i n c i a l Land D i s t r i c t 55 By Farm Type Fertiliser Method Used t o Apply F e r t i l i s e r - By P r o v i n c i a l Land D i s t r i c t 56 - 56 By Farm Type View o f Paying E x t r a f o r a More C o n c e n t r a t e d Fertiliser - - 57 By P r o v i n c i a l Land D i s t r i c t 57 By Farm Type View of Paying E x t r a f o r a B e t t e r P h y s i c a l Q u a l i t y Fertiliser - - 58 By P r o v i n c i a l Land D i s t r i c t By Farm Type View of Paying E x t r a f o r B e t t e r R a t i o s of N.P.K. 58 - By P r o v i n c i a l Land D i s t r i c t 59 - 59 By Farm Type Page Table View o f Paying E x t r a f o r S u p e r i o r Chemical Q u a l i t y - By P r o v i n c i a l Land D i s t r i c t 60 - By Farm Type 60 Which F e r t i l i s e r W i l l Become More Widely Used - By P r o v i n c i a l Land D i s t r i c t 61 - 61 By Farm Type Source of Advice - - 62 By P r o v i n c i a l Land D i s t r i c t 63 By Farm Type Importance o f P h y s i c a l and Handling P r o p e r t i e s - By P r o v i n c i a l Land D i s t r i c t 64 - 64 By Farm Type Importance o f Cost p e r Tonne - By P r o v i n c i a l Land D i s t r i c t 65 - 65 By Farm Type Importance of Guaranteed S o l u b i l i t y - By P r o v i n c i a l Land D i s t r i c t 66 - 66 By Farm Type Importance o f High C o n c e n t r a t i o n - By P r o v i n c i a l Land D i s t r i c t 67 - 67 By Farm Type Importance of t h e Cost p e r kg. o f S o l u b l e N u t r i e n t s - By P r o v i n c i a l Land D i s t r i c t 68 By Farm Type 68 Importance o f Every Granule C o n t a i n i n g t h e C o r r e c t Proportion of Nutrient - - By P r o v i n c i a l Land D i s t r i c t By Farm Type 69 69 S a t i s f a c t i o n w i t h t h e Cost of F e r t i l i s e r C u r r e n t l y Used - - By P r o v i n c i a l Land D i s t r i c t By Farm Type 70 71 Table Page 7CC Satisfaction with the Percentage of Available Phosphorus in Fertiliser Currently Used - By Provincial Land District 7DD - 7EE Satisfaction with the Physical Quality of By Farm Type Fertiliser Currently Used - By Provincial Land District 7FF - By Farm Type 7GG Satisfaction with the Concentration per Tonne Weight of Fertiliser Currently Used - By Provincial Land District 7HH - 711 Satisfaction with the Quality of Service Provided By Farm Type by Suppliers - 7JJ 8. 88 - By Provincial Land District By Farm Type Insurance Person Involved with Farm Paperwork and Insurance Matters 8B - - Overall Source of Advice on Fire and General Insurances Overall 8C Opinion of Insurance Companies Offering an Office Service Only 8D - Overall Reasons for Changing Insurance Companies within the last three years 9. 9A - Overall Radio How Often Respondents Listen to 'Rural Report' By Provincial Land District 9B - By Farm Type 9C - By Age of Farmer - Table 9D Page How Often Other Members o f Household L i s t e n t o 'Rural ~ e p o r t '- By P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age of Farmer - How O f t e n Respondent L i s t e n s t o 'Farm News' By P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age o f Farmer How O f t e n Respondent L i s t e n s t o 'Farm N e w s ' t h e n switches t o f R u r a l R e p o r t ' - By P r o v i n c i a l Land District 88 - By Farm Type 89 By Age o f Farmer 89 How O f t e n Respondent L i s t e n s t o 'Farm News' Before 7 O'clock - By P r o v i n c i a l Land D i s t r i c t 90 - By Farm Type 91 - By Age of Farmer 91 How O f t e n Respondent L i s t e n s t o 'Minute w i t h eat' - By P r o v i n c i a l Land D i s t r i c t 92 - By Farm Type 93 - By Age o f Farmer 93 How O f t e n Respondent L i s t e n s t o ' L a n d l i n e ' - By 94 P r o v i n c i a l Land D i s t r i c t - By Farm Type By Age of Farmer Opinion on Continuance o f Radio Programmes P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age of Farmer - By 96 Page Table 10. 1 0A Meat I n d u s t r y Option a s a Payout Method f o r Meat - By P r o v i n c i a l Land D i s t r i c t 1 OC - 10D Opinion o f a " S i n g l e S e l l e r " Marketing System 10B By Age o f Farmer By S i z e o f Farm - By P r o v i n c i a l Land D i s t r i c t I OE - By Age of Farmer l OF - By S i z e o f Farm L a s t V i s i t t o a Meat P r o c e s s i n g P l a n t 100 - By P r o v i n c i a l Land D i s t r i c t 1 OH - By Age of Farmer 103 101 - By S i z e o f Farm 103 1OJ Option t o Suggested Improvements i n t h e System o f Lamb Marketing - By P r o v i n c i a l Land D i s t r i c t 104 - By Age o f Farmer 105 - By S i z e o f Farm 105 Opinion of a Minimum P r i c e f o r Sellling Lamb Overseas - By P r o v i n c i a l Land D i s t r i c t 106 - By Age o f Farmer 107 - By S i z e o f Farm 107 Opinion o f R e s t r i c t i o n s on Farmers t o S e l l Through T r a d i t i o n a l E x p o r t e r s - By P r o v i n c i a l Land D i s t r i c t - 108 By Age o f Farmer :- By S i z e o f Farm 11. 1 1A Farmer Opinion Assessment o f E f f e c t i v e n e s s of Farmer Co-operative O r g a n i s a t i o n s C o n t r o l l e d by Farmer D i r e c t o r s P r o v i n c i a l Land D i s t r i c t - By 110 Table Page 11B - By Farm Type 111 11C - By Age o f Farmer 111 11D Expected R a t e o f I n f l a t i o n i n 1982-83 S e a s o n - By P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age o f Farmer Opinion o f t h e 12 month Wage, P r i c e and R e n t Freeze - By P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age o f Farmer Prediction Farming - o f S h o r t Term E f f e c t o f t h e F r e e z e on By P r o v i n c i a l Land D i s t r i c t - By Farm Type - By Age o f Farmer P r e d i c t i o n o f Long Term E f f e c t o f t h e F r e e z e on Farming - By P r o v i n c i a l Land D i s t r i c t 1 IN - By Farm Type 110 - By Age o f Farmer 1 IP R e s p o n d e n t ' s P r e f e r e n c e o f Two Given O p t i o n s on Land I n v e s t m e n t - By P r o v i n c i a l Land D i s t r i c t 11Q - By Farm Type I 1R - By Age o f Farmer 12. 12A C a p i t a l S t r u c t u r e and I n v e s t m e n t Values o f A s s e t s a s a t 30 J u n e 1982 - By P r o v i n c i a l Land D i s t r i c t 12B - 12C D i s t r i b u t i o n o f L i a b i l i t i e s a s a t End o f 1981-82 By Farm Type Season - By S o u r c e Page Table New Loans During the 1981-82 Production Season - By Source Main Reasons for Additional Medium and Long Term Borrowing in 1980-81 - Overall Ability to Borrow all the Money Required During the 1981-82 Season - Overall Average Amount which Respondent was Unable to Borrow Reasons Given for Declining Funds Did Respondent Either Not Borrow But Believe He Could Have or Borrowed But Could Have Borrowed More Why Respondent Did Not Borrow More Finance During 198 1-82 111. CONCLUSIONS The major c o n c l u s i o n s drawn from r e s p o n s e s t o t h e 1982 Survey a r e a s follows:- 1. D a i r y Farmers (a) Number o f cows i n m i l k . -- Whereas t h e a v e r a g e number o f cows i n m i l k a t December 1981 was 142 i t was e x p e c t e d t h a t a t December 1982 t h i s would be 149, an i n c r e a s e o f 4.9 p e r c e n t . E a s t C o a s t , Nelson, Westland and Southland i n d i c a t e d s u b s t a n t i a l i n c r e a s e s i n t h e i r h e r d numbers. (b) ( T a b l e 1A) Average annual m i l k f a t p e r cow. Respondents e s t i m a t e d t h e average m i l k f a t produced p e r cow t o be 151 k i l o g r a m s f o r t h e 1981-82 s e a s o n , and e x p e c t e d t h i s f i g u r e t o r i s e t o 155 k i l o g r a m s f o r t h e 1982-83 s e a s o n , a n - i n c r e a s e of 2.6 p e r c e n t . ( T a b l e 1B). 2. Sheep and Beef Farmers (a) Number of b r e e d i n g ewes ( e x c l u d i n g ewe h o g g e t s ) . A t mid-1981 r e s p o n d e n t s had an a v e r a g e of , 1947 b r e e d i n g ewes and a t mid-1982 t h e a v e r a g e number had i n c r e a s e d by 4 . 1 p e r c e n t t o 2026 b r e e d i n g ewes. Northland i n d i c a t e d t h e h i g h e s t i n c r e a s e a t 10.8 p e r c e n t and Westland a d e c r e a s e of 6.8 p e r c e n t . (b)' ( T a b l e 2A) Number of ewe h o g g e t s . On a v e r a g e , r e s p o n d e n t s had 625 ewe h o g g e t s i n t h e i r sheep f l o c k s a t 30 June 1981 and an e s t i m a t e d 605 a t 30 June 1982, a d e c r e a s e of 3.2 percent. South Auckland, Nelson and S o u t h l a n d i n d i c a t e d t h e l a r g e s t d e c r e a s e s i n numbers, w h i l e Northland showed a s u b s t a n t i a l i n c r e a s e of 21.3 p e r c e n t . ( T a b l e 2B) (c) Number of ewe hoggets mated. In the autumn of 1981 respondents put an average of 88 ewe hoggets to the ram; the corresponding number for the autumn of 1982 was 98; an increase of 11.4 percent. There were very substantial changes according to Provincial Land District, the highest being Northland with an estimated 85.1 percent increase, and Southland with a 40 percent increase. Westland and Canterbury expected substantial decreases (45.6 and 41.9 percent). (Table 2C). (d) The attitude of respondents to fat lamb production over the past ten years. The majority of respondents intended to increase production (67.5 percent). Figures varied somewhat according to provinces; for example 93.3 percent of East Coast respondents intended to increase production. Taranaki and Nelson had even intentions of maintaining production at 42.9 percent, while 21.4 percent of Westland respondents intended to decrease production. (e) (Table 2D). Factors relevant to fat lamb production over the past ten years. 'Pride in your livestock', 'rising on-farm costs', 'desire for a greater income' and 'changes in the price of lamb' were rated as the most important factors by respondents. The introduction of a guaranteed price for lamb, changes in killing and freezing charges and changes in wool prices were classified as the next most important group of factors. The least important - factors relevant to lamb production over the decade were 'changes in labour availability', 'the farmer nearing retirement' and 'the introduction of irrigation'. (£1 (Table 2E). Actual fat lamb production trends over the last ten years. The over-all trend was for increased production (68.7 percent), with a quarter of respondents merely maintaining production and only 7 percent declaring they had decreased lamb production over the period. (g) (Table 2F). Number of beef breeding cows/heifers (936 valid observations). Respondents had at 30 June 1981 an average of 65 beef breeding cows/ heifers; the corresponding number at 30 June 1982 was 59 - a decrease of 9.2 percent. Apart from Southland where respondents indicated no change in numbers, all Provincial Land Districts showed a decrease, with Central Auckland, Nelson and Westland showing estimates of substantial decreases in cow numbers. (Table 26). (h) Number of beef breeding heifers. At 30 June 1981 respondents had an average of 15 beef breeding heifers in their cattle herds; at 30 June 1982 the average number was 14, a decrease of 6.7 percent. A large number of Marlborough and Nelson respondents (43.7 and 42.7 percent) estimated decreasing heifer numbers. 3. Fencing Respondents erected an average of 869 metres of new fencing in the 1981-82 season and intended to decrease this to 792 metres during the 1982-83 season, a fall of 8.9 percent. Central Auckland and Marlborough showed intentions of very substantial decreases, as also did cropping farmers. 4. (Tables 3A, 3B). Factors Limiting an Expansion of Farm Output The chief limiting factors chosen by respondents were the cost of finance (12.3 percent of all responses), inadequate profits from expanded output ( 1 1.4 percent), the cost of additional farm inputs (10.2 percent), and income tax levels (8.8 percent). The next two highest ranking factors were the productive limitations of the type of land farmed (7.9 percent) and the size of the farm (7. 1 percent). The importance of the limiting factors varied somewhat according to the Provincial Land District, farm type and age of farmer. 4. (Tables 4B-4D). The Most Effective Expansion Incentive The most important production expansion incentive by far, in the view of respondents would be the reduction in inflation rate (singled out by 45.7 percent of respondents). The second would be the reduction in income tax (18.6 percent), and thirdly, increased subsidy to reduce the cost of fertiliser (15.3 percent). Just over 3 percent of respondents suggested higher supplementary minimum prices and 5.3 percent mentioned a reduction in the cost of farm credit. Between the main farm types there were some differences in response patterns. For example whereas 32 percent of mainly cropping farmer respondents and 29 percent of dairy farmers mentioned the need for a reduction in income tax, only 14 percent of sheepbeef farmers cited this as an effective expansion incentive. Also, respondents in the 35 years and under age group considered a reduction in income tax as a less important incentive than did older farmer respondents. (Table 5A - 5C). 6. Pasture Renovation (a) Percentage of farm regarded as ploughable. On average 21.5 percent of respondents regarded under 25% of their farm as ploughable, 13.3 percent as 25-50%, 21.3 percent as 50-75% and 43.9 percent as 75-100% ploughable. Relevance of farm type was quite significant in the determination of these classifications. (Tables 6A, 6B). (b) Indications of whether respondents have undertaken a pasture improvement programme. On average 71.6 percent of respondents are carrying out a pasture improvement programme. (Table 6C, 6D). (c) Area of pasture improved last and this season. On average respondents improved 15.0 hectares in the 1981-82 season and indicated they plan to improve 14.2 hectares in the 1982-83 season. (Table 6E, 6F). (d) Method used in pasture improvement programme. The main method used in pasture improvement on average was mechanical cultivation, at 42.5 percent; 29.1 percent of respondents used more than one method, while 12.9 percent used broadcast seed. 'Undersowing' ranked next at 10.6 percent and lastly, chemical treatment (4.9 percent). varied somewhat according to farm type. (Table 6G, 6H). Figures (e) Results of pasture improvement undertaken. Overall 70.6 percent of respondents rated the results of their pasture improvement programme as being 'good', while 24.5 percent rated them as 'excellent'. Only 4.6 percent were 'poor', and 0.2 percent 'disastrous'. (Tables 61, 65). (f) Type of scrub and brushweed on farm. A total of 45.3 percent of respondents stated they had no scrub or brushweed, while 35.6 percent described it as 'scattered'; 5.7 percent stated they had 'solid blocks' of scrub and brushweed, while 13.4 percent had incidence of 'scattered' and 'solid block' infestation. (g) (Tables 6K, 6~). Area of scrub and brushweed. On a national basis the largest area was 5.3 hectares of 'other scrub'. The next was 4.2 hectares of scrubweed, 2.8 hectares of gorse, 0.9 hectares of blackberry and 0.4 of broom. The Nelson province showed an above-average area of 24.3 hectares of 'other scrub'. Marlborough recorded the highest incidence of scrubweed; Westland the highest percentage of gorse infestation; East Coast and Westland the highest percentage of blackberry and Marlborough the highest incidence of broom. (h) (Tables 6M, 6 ~ ) . Scrub and brushweed cleared in 1981-82, and intending to clear 1982-83. Respondents indicated they cleared 4.5 hectares on average in the 1981-82 season, and intended to clear 3.1 hectares in the 1982-83 season of around one-third. a decline Reductions in planned scrub and brushweed clearance were especially high in Taranaki and Marlborough. (i) - (Tables 60, 6P). Method of clearing used. While 43.5 percent of respondents said they had no scrub to clear, 17.7 percent used chemicals, 14.1 percent mechanical means and 12.2 percent used both; 3.9 percent used 'other' methods and 8.6 percent did not clear any scrub at all. Between Provincial Land Districts and main farm types there were significant differences in methods used to clear scrub and brushweed. (j) (Tables 64, 6R). Success of clearing. Overall, 40.9 percent of respondents said their clearing was successful, w h i l e o n l y 1 . 1 p e r c e n t s a i d i t w a s n ' t and 2.7 p e r c e n t s a i d t h e y ' d i d n ' t know'; 4 4 . 7 : > z r c m t hz2 no s c r u b t o c l e a r and 10.6 p e r c e n t s a i d t h e y d i d n o t c l e a r any s c r u b a t a l l . able 6S, 6 T ) . 7. Fertiliser (a) Method u s u a l l y used t o a p p l y f e r t i l i s e r . The most common method used by f a r was s u r f a c e ground s p r e a d i n g a t 62.9 p e r c e n t . The n e x t was by f i x e d wing a i r c r a f t a t 32.2 p e r c e n t , w i t h t h e o t h e r methods b e a r i n g l i t t l e s i g n i f i c a n c e . ( H e l i c o p t e r 1.5%, d r i l l i n g 3% and s i d e d r e s s i n g 0 . 4 % ) . ( T a b l e s 7A, 7 ~ ) . (b) Respondents' view of paying e x t r a f o r a more c o n c e n t r a t e d f e r t i l i s e r . F i g u r e s show t h a t 58.2 p e r c e n t of r e s p o n d e n t s were p r e p a r e d t o pay e x t r a , w h i l e 29.7 p e r c e n t were n o t , and 12.1 p e r c e n t s a i d t h e y d i d n ' t know w h e t h e r t h e y would be p r e p a r e d t o pay e x t r a . (c) ( ~ a b l e s7C, 7 ~ ) . Respondents' view o f paying e x t r a f o r a b e t t e r p h y s i c a l q u a l i t y fertiliser. O v e r a l l 40.9 p e r c e n t were p r e p a r e d t o pay e x t r a , w h i l e 35.7 p e r c e n t were n o t , and 23.5 p e r c e n t s a i d t h e y d i d n ' t know. (d) (Tables 7E, 7F). Respondents' view o f p a y i n g e x t r a f o r b e t t e r r a t i o s of N . P . K . Many r e s p o n d e n t s were p r e p a r e d t o pay e x t r a , on a v e r a g e (42.4 p e r c e n t ) , wfiile 33.9 p e r c e n t were n o t and 23.7 p e r c e n t d i d n o t know. ( T a b l e s 7G, 7H). (e) Respondents' view o f paying e x t r a f o r s u p e r i o r chemical q u a l i t y . Once a g a i n , many r e s p o n d e n t s were p r e p a r e d t o pay e x t r a , on a v e r a g e ( 5 1 . 6 p e r c e n t ) , w h i l e 23.1 p e r c e n t were n o t and 25.2 p e r c e n t d i d n o t know. ( T a b l e s 71, 7 5 ) . (£1 Respondents' view o f which f e r t i l i s e r w i l l become more w i d e l y used i n t h e i r f u t u r e farming e n t e r p r i s e . C o n c e n t r a t e d N.P.K.S. was r a t e d a s becoming t h e most w i d e l y u s e d f e r t i l i s e r (44.2 p e r c e n t ) , w i t h s i n g l e super-based p r o d u c t s n e x t w i t h 27.0 p e r c e n t . L i q u i d f e r t i l i s e r s were t h i r d a t 14.3 p e r c e n t and t r i p l e super-phosphate close behind at 13.3 percent. bottom of the scale at 1.1 'Suspensions' were at the percent. There was some important variation between Provincial Land Districts and farm types. (~ables7K, 7~). Respondents' most recent source of advice when applying fertiliser (g) to pasture. A total of 35 percent of respondents said they did not seek any advice at all while 28.6 percent used a Ministry of Agriculture and Fisheries advisor and 10.2 percent a fertiliser company representative; 9.1 percent sought advice from a soil testing firm and 7.6 percent from a private consultant. Figures varied somewhat according to Provincial Land District and farm type. (h) (Tables 7M, 7N). Respondents' view on importance of physical and handling properties. Over half of respondents (50.9 percent) regarded this as being 'important', . 33.4 percent as 'very important', 12.6 percent as 'neutral', and 3.1 percent as having 'no importance'. (i) (Tables 70, 7P). Respondents' view on importance of cost per tonne. The majority of respondents (69.3 percent) regarded the cost per tonne as being 'very important', and 24.4 percent as 'important'. Only 4.6 percent were 'neutral' and 1.7 percent regarded it as having 'no importance'. (j) (Tables 74, 7R). Respondents' view on importance of guaranteed solubility. This was rated as being 'very important' by 40.4 percent and as 'importantt by 46.5 percent, 11.4 percent of respondents remained 'neutral' and 1.7 percent regarded it as 'not important'. (k) (Tables 7S, 7T). Respondents' view on importance of high concentration. This was rated as 'importantf by 37.9 percent of respondents' and 'neutral' by 30.6 percent; 24.0 percent regarded it as being 'very important', while 7.5 percent thought it had 'no importance' at all. (1) (Tables 7U, 7 V ) . Respondents' view on importance of the cost per kg. of soluble nutrients. This was also rated as 'very important'by the largest pe.rcentage of respondents (49.0) and 'important' by 33.1 percent; 15.3 percent remained 'neutral' and 2.5 percent thought it as being of 'no importance'. 7W, 7x). (Tables (m) ~ e s p o n d e n t s 'view on importance o f e v e r y g r a n u l e c o n t a i n i n g t h e c o r r e c t proportion of nutrient. On a v e r a g e 34.0 p e r c e n t r a t e d t h i s a s ' i m p o r t a n t ' , w h i l e 27.6 p e r c e n t remained ' n e u t r a l ' ; 23.9 p e r c e n t thought i t ' v e r y i m p o r t a n t ' , and 14.5 p e r c e n t viewed i t a s having 'no i m p o r t a n c e ' . (n) ( T a b l e s 7Y, 7 2 ) . Respondents' r a t i n g o f s a t i s f a c t i o n w i t h t h e c o s t of f e r t i l i s e r c u r r e n t l y used. Respondents were mainly d i s s a t i s f i e d ( 4 6 . 1 p e r c e n t ) and v e r y d i s s a t - , i s f i e d (22.8 p e r c e n t ) . (0) ( T a b l e s 7AA, 7BB). Respondents' r a t i n g o f s a t i s f a c t i o n w i t h t h e p e r c e n t a g e of a v a i l a b l e phosphorus i n f e r t i l i s e r c u r r e n t l y u s e d . About h a l f ( 5 0 . 1 p e r c e n t ) s a i d t h e y were ' s a t i s f i e d ' , remained ' n e u t r a l ' , w h i l e 20.5 p e r c e n t and 15.2 p e r c e n t c l a i m e d t o be d i s s a t i s f i e d . (Tables 7CC, 7DD). (p) Respondents' r a t i n g o f s a t i s f a c t i o n w i t h t h e p h y s i c a l q u a l i t y o f f e r t i l i s e r c u r r e n t l y used. The m a j o r i t y o f r e s p o n d e n t s ( 5 9 . 3 p e r c e n t ) r a t e d themselves a s b e i n g ' s a t i s f i e d ' w h i l e 19.2 p e r c e n t remained ' n e u t r a l ' . (q) ( T a b l e s 7EE, 7FF). Respondents ' r a t i n g o f s a t i s f a c t i o n w i t h t h e c o n c e n t r a t i o n p e r t o n n e weight of f e r t i l i s e r c u r r e n t l y u s e d . Nearly h a l f t h e r e s p o n d e n t s (47.2 p e r c e n t ) s a i d t h e y were e i t h e r ' v e r y s a t i s f i e d ' o r ' s a t i s f i e d ' and 22.4 p e r c e n t remained ' n e u t r a l ' ; s a i d t h e y were ' d i s s a t i s f i e d ' . (r) 18.7 p e r c e n t ( T a b l e s 7GG, ~ H H ) . Repondents' r a t i n g o f s a t i s f a c t i o n w i t h t h e q u a l i t y of s e r v i c e p r o v i d e d by s u p p l i e r s o f f e r t i l i s e r c u r r e n t l y u s e d . A m a j o r i t y o f r e s p o n d e n t s (54.4 p e r c e n t ) were ' s a t i s f i e d ' w i t h t h e s e r v i c e , w h i l e 29.6 p e r c e n t were ' v e r y s a t i s f i e d ' . ( T a b l e s 711, 755). 8. Insurance (a) Person involved in respondents' general farm paperwork and insurance matters . Overall the results show that the husband is the most involved with both the general farm paperwork and insurance matters. (b) (Table 8A). How often respondent would seek advice on fire and general insurances from various sources. Nearly half of the respondents (48.4 percent) would always seek advice from their wife or husband, while 43.2 percent would always make the decision themselves. (c) (Table 8B). Opinion of insurance companies offering an office service only, with no visits to the farm. Just over half of all respondents were opposed to an office service only, 26.8 percent held a favourable opinion and 21.3 percent held no opinion. (Table 8C). (d) Reasons for changing insurance companies within the last three years. .'Dissatisfaction with the previous company' was the main reason given for changing companies, with 'price' as the second and 'requirement of mortgage or finance' as the third. (Table 8D). . 9. Radio (a) Frequency with which respondents listen to various radio programmes. On average, results showed that respondents listen to farming programmes quite infrequently. The programme most listened to was 'Farm News' at 7 o'clock (26.5 percent of respondents listened to this five days a week), then 'Rural Report' (13.3 percent of respondents listened to this five days a week). Many respondents commented on the inconvenient times of these programmes (e.g. during milking in the mornings). (b) (Tables 9~-9U). Respondents' opinion on how important it is that Radio New Zealand continue to offer programmes about farming on both the National Programme and Commercial Stations. A total of 45.1 percent though it 'very important' that farming programmes continue. Another 29.5 percent thought it 'impor.tant, 20.0 percent remained 'neutral' and 5.3 percent thought it had 'no importance'. showed above average signs of 'no importance' and Westland (13.6 percent). - Two provinces Central Auckland (21.4 percent) (Tables 9V-9X). 10. Meat Industry (a) Respondents' option as a payout method for meat. A majority indicated they favoured full schedule payout at slaughter (70.7 percent on average), and 29.3 percent favoured an interim payment (say 90% at slaughter and a later payout of the residual). (Tables IOA-IOC). Opinion of a "single seller" marketing system for meat (similar to (b) the present system operated by the Dairy Board). Overall, most respondents were 'favourable' towards this 'single seller' system for meat (59.4 percent). while 19.4 percent had 'no opinion'. Some were 'opposed' (21.1 percent), Of those who said they were opposed a classification by ~rovincialLand District showed that the largest percentage were in the Hawkes ~af~rovincialLand District (47.3 percent). Respondents from the largest farms were the most opposed to the suggested system. (Tables IOD-IOF). Respondents' last visit to a meat processing plant and inspection (c) of all the facilities. Within the last five years 27.9 percent of respondents had visited a plant, while 22.5 percent stated they never had; 20.1 percent had undertaken such a visit more than ten years ago, and 17.8 percent within the last year. These figures varied somewhat from the averages according to Provincial Land Districts. (Tables IOG-101). Respondents' option to suggested improvements in the system of lamb (d) marketing that has operated over the last five years. . On average, 35.4 percent of respondents wanted one selling organisation for all markets; 23.6 percent wanted one for particular markets and multiple sellers for traditional markets, while 22 percent had no opinion; 10.1 percent wanted multiple sellers for all markets and 9.0 percent opted for the continuation of the system operative over the last five years. Results varied somewhat according to the Provincial Land District of the farmer respondents. (Tables 10J- 10~). (e) Opinion on the imposition of a minimum price below which lamb could not be sold to .overseas importers. Respondents were generally favourable towards this (49.0 percent on average), 29.5 percent had 'no opinion' and 21.5 percent were 'opposed'. By size of farm, respondents from the largest enterprises were the greatest supporters (60%). (f) (Tables 10M-100). Opinion of the suggestion that there be restrictions on the rights of farmers to sell through traditional exporters. Respondents were generally opposed to this suggestion (43.5 percent on average), 38.7 percent had 'no opinion', while 17.8 percent favoured it. (Tables IOP- ]OR). 11. Farmer Opinion on Various Issues (a) Assessment of the rate of effectiveness over the last two years of farmer co-operative organisations controlled by farmer directors. Many respondents rated their performance as 'effective' (43.9 percent on average) and 27.7 percent as 'so-so', while 14.8 percent thought the effectiveness of farmer co-operative directors be rated as 'very effective'; 6.2 percent of respondents gave them a rating of 'ineffective' or 'very ineffective'. Dairy farmer respondents accorded the directors a higher rating than did sheep-beef or cropping farmers. (Tables IIA-IIC). 4 (b) The rate of inflation. The average of the rates of internal inflation predicted by respondents for the next twelve months was 13.5 percent. The "twelve months' in question would in most cases be the last quarter of 1982 and the first three quarters of 1983. (c) (Tables I ID-] IF). The twelve month wage, price and rent freeze imposed by the Government on 22nd June 1982. The majority of respondents' reaction to this was 'favourable' (86.5 percent on average); 8.7 percent were 'opposedf and 4.8 percent expressed 'no opinion'. (d) (Tables I1G-111). The effect of the freeze on the financial position of farming in the short term (within the next year). Many respondents a s s e s s e d t h a t i t w i l l ' s t r e n g t h e n i t ' ( 6 3 . 6 p e r c e n t on a v e r a g e ) , 7.4 p e r c e n t t h a t i t w i l l 'weaken i t 1 , and 29.0 p e r c e n t t h a t i t w i l l do ' n e i t h e r ' . (e) ( T a b l e s 11J-1 1 ~ ) . The e f f e c t o f t h e f r e e z e on t h e f i n a n c i a l p o s i t i o n o f f a r m i n g i n t h e l o n g e r term ( w i t h i n t h e n e x t f i v e t o t e n y e a r s ) . 29.8 p e r c e n t , on a v e r a g e , o f r e s p o n d e n t s a s s e s s e d t h a t i t w i l l ' s t r e n g t h e n i t 1 , 21.9 p e r c e n t t h a t i t w i l l 'weaken i t ' and 48.3 p e r c e n t t h a t i t w i l l do ' n e i t h e r ' . (f) ( T a b l e s 1 IM-110). P r e f e r e n c e f o r t h e o p t i o n o f a h i g h r e t u r n on i n v e s t m e n t i n l a n d and a low c a p i t a l g a i n upon s a l e OR a low r e t u r n on i n v e s t m e n t i n l a n d and a h i g h c a p i t a l g a i n upon s a l e . The m a j o r i t y of r e s p o n d e n t s p r e f e r r e d a high r e t u r n and low c a p i t a l g a i n (86.2 p e r c e n t ) , w h i l e t h e r e m a i n i n g 13.8 p e r c e n t p r e f e r r e d a low r e t u r n and h i g h c a p i t a l g a i n . ( T a b l e s I IP-I IR). 12. C a p i t a l S t r u c t u r e and Investment (a) Values of a s s e t s o f r e s p o n d e n t s a s a t 3 0 t h June 1982. The average v a l u e t h a t r e s p o n d e n t s p l a c e d on t h e i r farmland was $466,055, ' o t h e r farm a s s e t s ' $102,066 and ' o f f - f a r m ' a s s e t s $30,514. ( T a b l e s 12A, 12B). (b) D i s t r i b u t i o n of l i a b i l i t i e s a s a t end o f 1981-82 s e a s o n . An a n a l y s i s of t h e s e , based on t h e number of v a l i d o b s e r v a t i o n s s t a t e d , - i s s e t o u t i n Table 12C. (c) ( T a b l e 12C). New l o a n s o b t a i n e d d u r i n g t h e 1981-82 p r o d u c t i o n s e a s o n . During t h e 1981-82 p r o d u c t i o n s e a s o n , o f t h e new l o a n s d e c l a r e d by respondent farmers, t h e over-all a v e r a g e was $36,130. Some o f t h e h i g h e s t l o a n s were from T r u s t e e Savings Banks ($93,421 a v e r a g e ) and T r u s t Companies ($70,223 a v e r a g e ) a t i n t e r e s t r a t e s around 15 p e r c e n t , m o s t l y f o r a medium term. (d) able 1 2 ~ ) . Main r e a s o n s f o r a d d i t i o n a l medium and long term borrowing i n 1980-8 1 . The main r e a s o n f o r a d d i t i o n a l medium and long t e r m borrowing i n 1980-81 was f o r t h e f i n a n c i n g of farm development. ( T a b l e 12E). (e) Ability to borrow money required during the 1981-82 season. Only 8.3 percent of respondents stated they were unable to secure the finance they were seeking. (Table 12F). (£1 Average amount which respondent was unable to borrow. An analysis of this, based on the number of valid observations stated, is set out in Table 12G. (Table 12G). (g) Reasons given for declining funds. Reasons given for being unable to secure finance included 'no funds available' (6 percent) and 'Income not sufficient' (3 percent). (h) able 12H). During the 1981-82 season did respondent either: Not borrow but believe he could have obtained finance if required OR borrowed finance but believed that if required could have borrowed more. The majority of respondents (67 percent), answered 'Yes' to this question. (i) (Table 121). Why respondent did not borrow more finance during 1981-82. The main reason given was 'didn't want to increase indebtedness' by 40 percent of respondents. 13. Personal (a) Age of respondent. (Table 125): - The average age of respondents was 44.2 years. (b) sex^ of respondent. This was predominantly male (95.8 percent). (c ) (Tables D1, D2). Education (Tables El, ~ 2 ) . . About half of respondents had reached secondary school level; 18.8 percent of these had obtained school certificate and 9.0 percent University Entrance. (d) (~ablesF], F2). Tertiary Education. Most respondents had no tertiary education; a large percentage of t h o s e who d i d , r e c e i v e d i t a t e i t h e r L i n c o l n C o l l e g e o r Massey U n i v e r s i t y . T h e r e was a c l e a r c o r r e l a t i o n between t h e i n c r e a s i n g age o f t h e respondent and d e c r e a s i n g l i k e l i h o o d of h a v i n g r e c e i v e d t e r t i a r y e d u c a t i o n . (Tables G I-G 1 0 ) . (e) Overseas t r a v e l t o o b s e r v e f a r m i n g . A t o t a l o f 39.1 p e r c e n t o f r e s p o n d e n t s had a t some time t r a v e l l e d abroad t o o b s e r v e farming i n o t h e r c o u n t r i e s . ( T a b l e s H1, H2).