Latest / Best of Business / Jamie Mackay: The Country host on the potential impact of Trump's increased tariffs on NZ

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Jamie Mackay: The Country host on the potential impact of Trump's increased tariffs on NZ · Best of Business

• 0:09
  Speaker 1: You're listening to a podcast from news Talk zed Be
• 0:12
  Speaker 1: Follow this and our wide range of podcasts now on iHeartRadio.
• 0:16
  Speaker 2: Jamie MacKaye, host of the Countries with Me Right Now, Hey, Jamie.
• 0:19
  Speaker 1: Can I hear that You've got to ask Stuart Nash
• 0:21
  Speaker 1: the most important question? When is the announcing his candidacy?
• 0:25
  Speaker 2: Well, I feel like Stuart su is doing such a
• 0:28
  Speaker 2: fantastic job of kind of teasing us along with this
• 0:31
  Speaker 2: and just really kind of, you know, sprooking New Zealand first.
• 0:34
  Speaker 2: I'm almost I don't really want to come to an end.
• 0:36
  Speaker 1: Do you. Well. I just think him and Shane Jones
• 0:40
  Speaker 1: would be fun, as I said to you a couple
• 0:42
  Speaker 1: of weeks ago, as a one two punch combination.
• 0:44
  Speaker 2: I'm going to take a bet with you in all seriousness,
• 0:46
  Speaker 2: it's not going to happen.
• 0:48
  Speaker 1: Yeah, I'll take a bet with you, Heather, you think
• 0:50
  Speaker 1: it's going to happen. I think he'll stand for New
• 0:53
  Speaker 1: Zealand first. Yeah.
• 0:54
  Speaker 2: I think he won't stand for New Zealand first because
• 0:56
  Speaker 2: he's too much of a threat to Winston and Shane
• 0:58
  Speaker 2: because he's actually quite good.
• 0:59
  Speaker 1: What's your theory, Well, Winston will eventually die, although We've
• 1:04
  Speaker 1: been saying that for twenty years. Shane's the heir apparent.
• 1:08
  Speaker 1: But yeah, I don't know. Maybe he may be a
• 1:11
  Speaker 1: threat to Shane, He's not a threat to Winston at
• 1:13
  Speaker 1: the stage. So I just think he's a colorful character
• 1:17
  Speaker 1: for a former labor cabinet minister. He's very centrist, talks
• 1:20
  Speaker 1: a lot of common sense. I'd like to see him back.
• 1:23
  Speaker 1: And the other thing about him here that he's got
• 1:25
  Speaker 1: a very good background and commercial forestrand with carbon farming
• 1:28
  Speaker 1: and all the debates were having about climate change and
• 1:31
  Speaker 1: all that sort of stuff. Having someone around a cabinet
• 1:34
  Speaker 1: table who knows something about that would be an advantage.
• 1:38
  Speaker 2: Okay, now tell me what I'd totally agree with you
• 1:40
  Speaker 2: on that. Tell me what you think about Alliance Group
• 1:42
  Speaker 2: and what's going on here.
• 1:44
  Speaker 1: Well, it's been Alliance Group's been in a lot of
• 1:48
  Speaker 1: trouble recently. Poor management's probably part of its downfall, but
• 1:53
  Speaker 1: the long awaited deal to recapitalize the debt late and
• 1:56
  Speaker 1: Alliance Group appears to be nearing. There was a story
• 1:59
  Speaker 1: in the Irish Times over the weekend that Dawn meets
• 2:03
  Speaker 1: a large Irish meat company's going to stump up two
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  Speaker 1: hundred and seventy million dollars for a seventy I repeat
• 2:09
  Speaker 1: that seventy percent steak in Alliance, which up till now
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  Speaker 1: or is currently the country's only fully farmer owned red
• 2:17
  Speaker 1: meat cooperative. It's the equivalent I guess of Fonterra. Now
• 2:22
  Speaker 1: Dawn Meats a slightly larger company in turnover and volume
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  Speaker 1: than the Alliance Group, but would certainly add some I
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  Speaker 1: guess off to it. But they've just got to get
• 2:31
  Speaker 1: this past the shareholders. And what's the use of being
• 2:34
  Speaker 1: a cooperative if you've only got a thirty percent steak
• 2:38
  Speaker 1: in the company. Remember the other big former cooperative and
• 2:42
  Speaker 1: it is still a cooperative, is Silverfern Farms, which has
• 2:45
  Speaker 1: done a fifty to fifty joint venture with Shanghai Mailing.
• 2:49
  Speaker 1: It's rescued it from the debtor's court in a lot
• 2:52
  Speaker 1: of ways. But even now we're hearing that Silver Fern
• 2:55
  Speaker 1: mit Silverfern Farms might have some some profitability issues as well.
• 3:00
  Speaker 1: So look, the red meat's a tough industry. The red
• 3:03
  Speaker 1: meat industry here, there's a tough industry at the moment
• 3:05
  Speaker 1: because while farmers are getting record prices, it doesn't follow
• 3:09
  Speaker 1: through for the process. There's less and less stock due
• 3:12
  Speaker 1: to land use change, carbon farming, you name it, whatever's happening,
• 3:16
  Speaker 1: and they're having to compete and their margins are being cut.
• 3:19
  Speaker 1: So watch this space. I think we're going to get
• 3:21
  Speaker 1: an announcement on Tuesday about the recapitalization of the Alliance Group.
• 3:25
  Speaker 2: Interesting, okay, Jamie Listener, were starting to get some kind
• 3:28
  Speaker 2: of an idea of what the Trump tariff's the impact
• 3:30
  Speaker 2: it's going to have on our agriculture sectors and the
• 3:33
  Speaker 2: culture sector, you know, the experts that we're sending into
• 3:35
  Speaker 2: the US.
• 3:36
  Speaker 1: Well, that was announced last Friday. Obviously some people have
• 3:39
  Speaker 1: been doing some number crunching. I better credit Neil Wallace
• 3:43
  Speaker 1: from New Zealand Farmers Weekly, who's done some sums on
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  Speaker 1: this one. The fifteen percent tariffs going to cost the
• 3:48
  Speaker 1: red meat sector and estimated three hundred million dollars wins
• 3:55
  Speaker 1: the other big loser one hundred and twelve million. We
• 3:58
  Speaker 1: don't know. Dairy hasn't quite figured it out yet how
• 4:01
  Speaker 1: much it's going to cost dairy. But dairy is not
• 4:03
  Speaker 1: as dependent on the US as red meat and win aer. Look,
• 4:08
  Speaker 1: we sent a lot of stuff to the US last year.
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  Speaker 1: Two point two billion of meat, one point two billion
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  Speaker 1: a dairy, seven hundred and ninety million of wine. They
• 4:19
  Speaker 1: took forty six percent of our beef, eighteen percent of
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  Speaker 1: our lamb. And the thing is, you know, we've gone
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  Speaker 1: from ten to fifteen. The Aussies have stayed at ten,
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  Speaker 1: as has Argentina. I think it's Argentina and that just
• 4:35
  Speaker 1: makes them more competitive getting their meat into the US.
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  Speaker 1: But they need, they desperately need our grinding beef to
• 4:42
  Speaker 1: eat to produce the hamburgers. They eat three each per
• 4:45
  Speaker 1: week while they're fat.
• 4:49
  Speaker 2: Hush but true, Jamie, thank you very much, Jamie mckaie,
• 4:52
  Speaker 2: host of the Country. Three hamburgers a week? Heck, I reckon.
• 4:59
  Speaker 2: I'd be lucky to eat three hamburgers in the space
• 5:01
  Speaker 2: of three months. That wow. Anyway, Yeah, as Jovis is
• 5:06
  Speaker 2: no wonder the fat For more news
• 5:08
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• 5:11
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