Maori Land - some of the options

 

Many people charged with the stewardship of Maori land have to rely on the advice from professionals.  There are few tools available to analyse the advice being given.

This site aims to change that and provide some basic tools that can be used to "test" possible scenarios  before going to the expense of commissioning detailed reports.   

 

The 2008 Fonterra payment of $7.30 per kg of milk solids (with higher next year) has sent many scrambling to get into dairy farming. 

However, with costs of undertaking conversions  at an all time high, interest rates climbing and cows virtually unobtainable (selling at up to $2,500 each), the farm purchase figures do not stack up. (Click here.)

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The issue of the sustainable use of Maori land for the benefit of its owners has exercised the minds of many for over 100 years. 

The major constraints of the past have been a lack of capital and historical leasing arrangements that take many years to unscramble.

While a significant tract of un-developed Maori land is "marginal", there are still significant areas that could be developed for pastoral farming.

Climate change and the Government's proposed response to it presents both threats and opportunities for Maori land owners.

If the proposals are deemed to be consistent with Te Ture Whenua Maori Act, the option of so-called "carbon farming" can be considered provided the land does not have pre-1990 exotic forest on it. If such a forest does exist, their is a considerable liability if non-forest options are considered in the future.  Assuming a carbon credit price of $15 per tonne (the market price overseas has been three times this!), the de-forestation cost is estimated now at around $15,000 per hectare.

Check out the impact, click here.