The 2023 Election results are in. What does this mean for our Farmers?

The 2023 New Zealand election has come and gone, and with it, a significant shift in the country's political landscape. The National Party has emerged victorious, taking the reins of government from the Labour Party. In addition, the ACT Party has also gained a stronger voice. For New Zealand's farmers, this change in leadership could bring a host of new policies and initiatives. Let’s take a closer look into the potential impact on the agricultural sector, and what our farmers can expect in the coming years.

What does this change of government mean for our Farmers?

Reduced Regulatory Burden: Since 2017 more than 20 new or amended regulations that directly affect our agricultural sector have been introduced. National is likely to reduce this regulatory burden on farmers. Expect streamlined compliance processes and minimised red tape, making it easier for farmers to operate their businesses.

Support for Innovation: The National Party is expected to support initiatives that encourage innovation in farming practices. This could include increased funding for research and development, access to modern farming technologies, and promoting environmentally friendly practices.

Trade Agreements and Exports: National may actively pursue trade agreements to open up new markets for New Zealand agricultural products, ensuring more opportunities for farmers to expand their international reach.

Environmental Policies: While being business-friendly, National is also conscious of the importance of environmental sustainability. Expect policies that incentivise sustainable and eco-friendly farming practices to protect the environment while allowing farming activities to thrive, with a focus on more realistic targets for our farmers to achieve.

Water Management: National may address water management issues, striving to strike a balance between water resource conservation and the needs of agriculture.

Infrastructure Development: Adequate infrastructure is vital for the agricultural sector, especially in rural areas. This could mean investing in improving road networks, enhancing internet connectivity, and other essential infrastructure to support farmers.

Support for Diversification: National is likely to encourage diversification of farming practices, reducing dependence on traditional methods and products. This may involve incentives for exploring alternative crops or livestock and promoting regenerative agriculture.

Reduced Government Intervention: The ACT Party's core ideology includes reducing government involvement in various sectors, including agriculture. Farmers can expect less bureaucratic oversight.

Lower Taxes: ACT advocates for lower taxes, which could provide financial relief to farmers as business owners. Reduced tax burdens may free up resources for investment in their farms.

Free-Market Approach: ACT's emphasis on free-market principles could lead to greater competition in the agricultural sector, potentially benefiting farmers through market forces driving efficiency and innovation.

Potential Challenges Ahead for Farmers

Environmental Expectations: Striking a balance between farming needs and environmental sustainability remains a challenge. Farmers must adopt more sustainable and eco-friendly practices to meet evolving expectations.

Climate Change Initiatives: New Zealand's commitment to addressing climate change may impact farming practices. Farmers should be ready to engage in discussions and potentially make adjustments to their operations.

Market Volatility: International market fluctuations can affect New Zealand's agricultural exports. Staying informed about global economic and political developments is crucial for farmers to anticipate shifts in demand for their products.

Technological Advancements: Embracing technology and innovation is essential for the sector's growth. Farmers should stay updated on new tools and practices to remain competitive.

Conclusions

The 2023 New Zealand election has witnessed a change in government with the National Party assuming leadership. This shift signifies a potential focus on business-friendly policies and support for the agricultural sector. Reduced regulatory burdens, support for innovation, and a commitment to expanding international markets are among the benefits that farmers can anticipate.

The relationship between the National and ACT Parties and New Zealand's farmers is poised to continue, but the specific impacts on the agricultural sector will unfold in the coming years. At this point, our best bet is to stay engaged, stay innovating, and do what we can to support our farmers, and New Zealand.