Dairy policy makes progress

The dairy sector has made strong progress in recent years, strengthening its record of managing environmental and animal welfare impacts. As these gains bed in, the sector is reinforcing its licence to operate – and its ability to grow responsibly, within environmental limits.

These improvements sit alongside a suite of new planning regulations which could set the scene for a new phase: sustainable growth that benefits farmers and New Zealand, and aligns with the government’s broader growth agenda.

By combining DairyNZ investment in practical mitigations with science-backed solutions, the sector is building resilience and preparing for carefully managed growth.

Gene technology

The Health Select Committee has reported back on the Gene Technology Bill, recommending some changes to improve transparency, engagement and technical expertise. While this is positive, several of DairyNZ’s key concerns remain unresolved.

DairyNZ supports the gene technology reform and the Bill’s goal of making it easier to safely use and test gene tech in New Zealand. The organisation will continue working with government and industry partners to ensure the framework protects farmers, markets and trade while enabling responsible innovation.

With a four-year review ahead, further opportunities will ensure farmers and the primary sector can safely benefit from gene technology.

Methane targets

In October, the government confirmed a revised 2050 biogenic methane reduction target of 14-24% below 2017 levels, down from 24-47%. This reflects the independent methane review and the “no additional warming” approach. DairyNZ welcomed the announcement, noting the target is now better aligned with science and practical farm realities.

Farmers also have certainty that a farm-level tax on methane emissions will not be introduced. While emissions are already down about 4 % since 2017, reaching the upper end of the target will require continued innovation.

Research and on-farm tools, including Emissions4Pasture trials and improved pasture and feeding systems, are helping farmers reduce emissions while maintaining productivity. The revised target gives farmers clearer guidance to plan and implement practical solutions with DairyNZ support.

Resource Management Act reform

DairyNZ worked closely with farmers and sector partners to provide feedback on two Bills proposed to replace the Resource Management Act (RMA).

The RMA impacts nearly every aspect of farm operations, so farmers need a system that provides certainty to invest in future solutions.

We welcome plans to reduce complexity and costs, with greater emphasis on using permitted activities and farm plans to manage farming operations. We know farmers would rather invest in riparian planting and other on-farm mitigations than on unnecessary consents. We also support moves to recognise the important non‑regulatory work done by catchment groups and communities.

However, we have concerns about proposals for hard environmental limits, particularly for water quality. We prefer an outcomes‑based approach over a fixed numerical limit, and we are closely reviewing the potential introduction of market tools and user charges as the legislation progresses.

Read more about the proposed changes and Dairy NZ views at dairynz.co.nz/rm-reform

Looking ahead

These updates show the sector building on its strengths and adapting to new regulations in practical, science-backed ways.

To keep up to date with the latest policy developments, research and guidance to support sustainable and productive farm systems, and for more information on DairyNZ’s policy and advocacy work, visit dairynz.co.nz/policy-and-advocacy