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Dairy tester ready to milk spread of "fat tax".

Rural News
Dairy tester ready to milk spread of "fat tax".

Is this growing trend in Europe to impose "a fat tax" a future threat to NZ agriculture, especialy for our dairy and meat sectors? NZ has a high obesity rate and diet data and analysis especially for our young will be important in combating this disease.

All governments world wide are under pressure to fund their health budgets, and products that are linked to health issues are vunerable to taxes to pay for the percieved problems caused. While the sheep industry has made huge progress in changing it's product from fat lamb to prime lamb ,and fat levels in these carcasses have reduced significantly over the years, any extra tax on this product will erode it's new found profits.

And with many processing companies not discounting prime or T grades for lamb, there is no incentive for farmers to change their management to address this issue. The "Glammies" competitions does highlight excellence in yield and taste but only economic pressure will bring long lasting change by breeders.

Deer farmers should look at this evolving situation as an opportunity to promote its lean unmarbled product to an even greater degree and have the science to back up this threat. And while many will say this threat is unlikely, one only has to look at the evolution of the NAIT eartags in NZ livestock, that have been created by European bureaucrats to know this threat could be real.

The growing support in Europe for a "fat tax" to counter obesity could bring a windfall to dairy testing group National Milk Records if it reaches the UK, spurring demand for checks to the fat make-up of milk. National Milk Records has already won a contract from Marks & Spencer to check milk supplied to the food-to-clothing retailer for its levels of saturated fats, deemed particularly poor for health, as opposed to unsaturated fats.

The basis of this test is then used to determine payments to farmers, who have traditionally just been paid according to overall proportions of fat, and protein, in milk. "Where Marks & Spencer leaders, other often follow. It could well set a trend," Andy Warne, the NMR managing director, told Agrimoney.com.

And there is the potential for the test, of which NMR is the only UK supplier in dairy, to become mandatory, if the trend towards "fat taxes" introduced in Denmark and Hungary take root elsewhere. Denmark in October unveiled a tax of DKK16 per kilogramme of saturated fat on products with a content of the product of more than 2.3%, a level seen as catching butter, cheese, meat and vegetable oils.

However, early results in Hungary – which has the world's eighth highest obesity rate, according to the OECD - of a fat tax on fizzy drinks, high-sugar confectionery and chocolate and some salty snacks and sauces have proved disappointing. In the UK, Prime Minister David Cameron said in October that a fat tax "is something that we should look at"."I am worried about the costs to the health service, [and] the fact that some people are going to have shorter lives than their parents."

At NMR, chairman Philip Kirkham said that a fat tax "could be replicated in the UK", adding that the group's fat breakdown checks "will be essential for the UK dairy industry to manage this transition". Dairy farmers can manage the levels of fat in their cows' milk through controlling diet, with an increased content of rapeseed oil and linseed oil, and lower corn levels, seen as promoting saturated fat content.

 

 


 

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6 Comments

Please God, deliver me from politicians, because they are swine.

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But Mark : They know best , they're just saving us from ourselves ...... we do horrible things , such as execise free will and purchase things that are not deemed to be good for us .. .. dairy products , red meat , lotto tickets , un-folated bread , incandescent light-bulbs , white four with gluten , beer  , peanuts , eggs ....

......Nanny State will make it all better .......

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Never tempt the Man Tribeless....that's one wish you don't want granted.

Now say a coupla hail Mary's and ask God to deliver them from you instead.

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Please God, give us our daily dosh, save us from Kyoto and deliver us from Carbon Tax scheme.. amen

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The dairy industry absolutely needs to prepare for the likes of fat taxes.  I predict that in 50 years time, the fact that in 2011 it's considered acceptable business practice for food manufacturers to lace their products with added fat, salt & sugar, to encourage humans to eat more of it, will seem incomprehensible.

In the past, we didn't know what caused cholera, plague etc.  When we figured it out we, amongst other things, mandated sanitation standards.  Now we can't build a house without a functioning sewage system - and no one of us would even conceive of doing so.  We don't think of it as 'nanny state' - just what sensible, civilised people do.  It's no hardship for us to be compelled to install a toilet with a connection to a public system (or a septic tank or whatever).

Currently, we have a growing epidemic of diabetes and heart disease.  Those who work in health know what causes this - it's living modern, western, sedentary life styles.  Too much energy dense foods combined with inactive lives.  Humans are designed/evolved to store fat against the famine around the corner - except we don't have famines in the west any more. 

The dairy & meat industry could think of lowering fat levels, as a way of getting ahead of the game.  Don't wait for regulation to do it to you.  Do it yourself in preparation for the switch in public opinion that will eventually occur, and before the regulators get near the issue.

 

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The NZ Dairy Industry already pays out on fat and protein, thats what the ms is in $/kg of ms, ie milk solids...When the butterfat constituent dropped in price years ago when there were butter mountains and protein was a better earner, the new system of paying was formulated. As for lamb and beef I certainly do get penalised for killing overly fat animals. NZ Farmers have been breeding for trimmer and leaner animals for years now.

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