Responsible Dairy Programme

In June 2026, the Government announced a major investment to support a more productive, sustainable primary sector, including dairy. The programme, known as Responsible Dairy, will be led by DairyNZ, on behalf of the sector.

Responsible Dairy is funded at $45.85 million over seven years. Of that, $18.34 million comes from the Ministry for Primary Industries’ Primary Sector Growth Fund, up to $19.73 million from the existing DairyNZ levy, and the balance from partner cash and in-kind contributions.

Responsible Dairy brings together leading farmers and dairy and technology partners to test and demonstrate next-generation farm systems, transformative dairy conversion options, and stacked technologies on commercial farms.

This co-investment will help speed up innovation, lift adoption, and deliver productivity and environmental gains faster across the sector. It is designed to get transformative technologies into use years earlier, helping keep New Zealand dairy globally competitive.

Why we need the Responsible Dairy Programme

Since about 2015, dairy productivity has plateaued. Responsible Dairy will help build resilience and value by giving farmers practical ways to lift productivity, efficiency and sustainability on their own farms, while continuing to improve environmental outcomes across the sector.

Dairy farmers have already made major gains. They have invested in environmental improvements, infrastructure, planting, effluent management, genetics and more resilient farm systems. That progress creates a strong base for the next phase of change, but standing still is not an option.

Our global competitors are moving quickly. They are innovating and adapting fast, and New Zealand dairy must keep pace.

To protect value and stay competitive, the sector needs to grow in ways that strengthen environmental outcomes and social licence, while building the provenance and sustainability attributes customers pay a premium for in New Zealand milk.

Future value growth will look different from the past. The biggest opportunities will come from dairy systems backed by modern infrastructure, better environmental management, improved genetics and emerging technologies.

Responsible Dairy supports that shift by giving farmers more options, along with practical tools and information to improve efficiency, productivity and environmental outcomes.

What farmers can expect from Responsible Dairy

Like the current DairyNZ strategy, Responsible Dairy will use science-led innovation, coordinated action and practical tools to strengthen the resilience and economic performance of the dairy sector.

In its first two years, the programme will focus on building strong foundations for a resilient dairy sector, including:

A national network of 35 to 40 partner farms showcasing low-footprint, high-productivity farm systems and transformative conversion options.
Work in two catchments to test and demonstrate integrated farm system and nature-based solutions, with options that can be applied elsewhere.
Testing of new and near-market technologies and farm management options to improve productivity and environmental outcomes, using advanced modelling and research.
A credible national blueprint to help guide partner investment and planning.
Transferable evidence, tools and decision frameworks at farm and catchment scale.

The outcomes Responsible Dairy will deliver

By 2050, the programme is expected to deliver:

20% growth in milksolids from existing farms and land use change.
A 20% reduction in nitrogen leaching per hectare, along with a 60% increase in riparian planting and a 50% increase in protected wetland areas.
A 13% increase in sector profitability.

How the programme is organised

Pillar 1: Demonstration and Activation

Partner farms: Demonstrating opportunities for productivity and environmental gains through co-design with farmers.

Transformative conversions: Demonstrating transformative dairy conversion pathways with partners.

Catchment action: Demonstrating opportunities for integrating farm systems and nature-based solutions to enhance farm and catchment outcomes.

Tools and resources: Developing and delivering an integrated toolbox to support on-farm adoption.

Activating sector change: Activating farmer change through building sector and advisor capabilities.

Pillar 2: New solutions

Next generation farm systems: Quantifying and demonstrating next-gen on-farm practices that improve productivity while reducing footprint.

Emerging technologies: Evaluating emerging technologies that improve freshwater and productivity outcomes in pastoral dairy systems.

Pillar 3: Opportunities and impact

Identifying opportunities: Mapping opportunities for responsible dairy expansion, and how future growth can enhance sector competitiveness, deliver equitable outcomes for farmers, and contribute to household and national wellbeing.

Impact: Quantifying, forecasting, and demonstrating environmental and productivity progress.

Communicating progress: Communicating progress towards programme outcomes.

How the programme is funded

The programme is funded at $45.85 million over seven years. Of that, $18.34 million comes from the Ministry for Primary Industries’ Primary Sector Growth Fund, up to $19.73 million from the existing DairyNZ levy, and the balance from partner cash and in-kind contributions.

This co-investment will help speed up innovation, lift adoption, and deliver productivity and environmental gains faster across the sector. It is designed to get transformative technologies into use years earlier, helping keep New Zealand dairy globally competitive.

The partners involved

Responsible Dairy is backed by a coalition of co-funding partners across science, farming, finance, technology, fertiliser, and government including: DairyNZ, MPI, dairy companies, Craigmore Sustainables, Dairy Holdings, Pāmu, the Fertiliser Association of New Zealand, Rabobank, Halter, and Gallagher.