Cost of starting border irrigation

Press, Volume CXI, Issue 32678, 6 August 1971, Page 12

Cost of starting border irrigation

What does it cost the practical farmer to develop land for border-dyke irrigation? Mr J. N. McFadden, who farms a 648-acre property in the Carew district of Mid-Canterbury about seven miles north-west of Hinds, gave some figures to. Labour Party members of Parliament who visited his property in the course of a tour of the district last week as guests of Mid-Canterbury Federated Farmers.

Mr McFadden, who has nearly 300 acres under automatic border-dyke irrigation, puts costs directly involved in land preparation for irrigation head race and sill and dam construction, bordering, shifting of fences and water races and installation of culverts at $43 per acre at present costs. On top of this, he says that it costs him another $24 per acre for cultivation, fertiliser and seeds to get to the stage of having sown a pasture on the area, and this includes $6 for grass-grub control with lindane. . Referring to the costs associated with irrigation development, Mr McFadden says that his figures would be pretty close to those that would be faced by any fanner going into a similar type of irrigation project. Some areas, he says, would be easier to develop than others due to their topography, but the variation probably would be no more than $5 to $lO per acre. His own country he describes as being in the category of not difficult to develop. With a brother, Mr McFadden took up 837 acres in the district in 1960. The country is Lismore stony silt loam, typical of much of Mid-Canterbury and the area in irrigation schemes in the district. The average rainfall is about 28 inches. Before the McFaddens came on the scene the property had been farmed extensively as a grazing unit carrying fine-wool sheep. At the time they took over it was carrying 1200 ewes and replacements. There was no cash cropping and no irrigation water had been used. During the first five years of the new ownership, the main emphasis was on pasture renewal with the country being sown to perennial ryegrass and white clover pastures in association with the use of DDT superphosphate. Irrigation was introduced in 1962 on a 44-acre block and by 1964-65 160 acres had been fully developed for automatic irrigation at a cost of $31.75 per acre for expenses pertaining strictly to the irrigation development By that time stock numbers had been increased to 2300 ewes and 600 hoggets and 50 to 60 acres of

wheat were being sown. Since that time Mr J. N. McFadden has been farming the porperty, reduced in area to 648 acres, on his own. Stock numbers were then reduced to 1950 ewes and replacements and the area in wheat to 30 to 40 acres. In 1968, another 22 acres were prepared for irrigation out of income, but, thereafter, with wool prices declining and costs at the same time mounting, money no longer was available out of income for this purpose and Mr McFadden acknowledges that since he has taken advantage of the liberal lending policy of the State Advances Corporation for development purposes to continue his programme. The development plan that he put up to the corporation in 1969 involved a further 227 acres and he is hopeful that by the end of the 1972 season the preparation of a total of slightly more than 400 acres for watering will have been achieved on the property. Now the area borderdyked is 291 acres. For the last 131 acres prepared for irrigation, Mr McFadden says that the direct costs involved in the operation have been equivalent to $41.30 per acre. This has included 54 acres completed in May this year and now sown in peas. The cost here has been $43 per acre compared with slightly more than $4O for the other 77 acres. Since 1964-65, development costs have gone up about a third and Mr McFadden says that costs are still rising. Because of the steep rise in costs, he says that he will have to borrow still further to complete the project or receive a substantial lift in income to cover it. His mortgage indebtedness is now about 35 per cent of the capital value of the property and he also makes some use of seasonal finance from his bank and stock firm. The outcome of this further development has been that with 165 acres of borders in grass and 42 acres in crops in the 1970-71 season, he carried 2000 ewes, 500 hoggets, 100 other sheep and 80 head of beef cattle and also grew 76 acres of wheat, 43 acres of barley, 53 acres of peas; and saved 16

acres of perennial ryegrass, 18 acres of Tama ryegrass and 25 acres of lucerne for seed, as well as growing 80 acres of turnips and 46 acres of greenfeed oats and saving 6000 bales of hay and straw. In the present year there will be 2000 ewes, 600 hoggets, 100 other sheep, and 100 cattle, and 77 acres in wheat, 46 acres in barley, 54 acres ip partridge peas and 20 acres in linseed, and it is expected that 30 acres will be saved for perennial ryegrass seed and possibly also depending on the season, some white clover seed will be taken and also 45 acres harvested for hay. Still in the throes of de-

velopment, Mr McFadden describes production fi- * gures, including stock per- ’ formance, as no more than ! “good average.” > However, he is hopeful, ; with 400 acres in borders, ■ and provided it is possible I to exercise a firm control of grass grub, that he will be ; able to achieve at least a 40 to 50 per cent increase on present stock figures in the foreseeable future. The future intention is to reduce the area under crop to, say, a minimum of about 60 to 80 acres, and while holding sheep numbers at about the present level, to increase cattle numbers to about 200 or more. He notes that one of the key factors as far as increased production from pastoral farming is concerned, is control of grass grub. At the moment, he says that they are actually losing ground in this respect. Lindane, he says, has been a useful weapon since the abolition of the use of D.D.T., but its use has been at a considerable cost to the farmer—it now costs $5.95 per acre for materials only. But without treatment with lindane pastures in the locality could be reduced to a very low leyel of production in three years, he said. His whole farm has been treated with lindane in the last three years. In his irrigation-develop-ment programme; he says that he has sought to introduce irrigation at the beginning of the development phase rather than at the stage of going into permanent pasture. The rotation, has been to go out of lea into turnips or chou moellier for winter feed and then to go to wheat on areas cleaned up early and into barley on later areas, with a ton of lime then being applied before the areas are prepared again for partridge peas prior to being finally sown down to pasture. If. extra feed is required, a bushel of oats is sown with the lime application to provide a brief bite of green feed in the autumn. It therefore has been Mr McFadden’s aim to take advantage of water to help grow winter-feed crops, and this year where an area has been border-dyked before sowing in partridge peas, the aim is to take advantage of water to grow peas to offset some of the $43

per acre development charge. “Why spend $4O per acre at the end of a rotation when you could be doing with water at the beginning?” he says. Mr McFadden believes that irrigation development needs to be carried out on fairly large areas and as quickly as possible depending on the availability of money and manpower. His thinking is that a substantial lift in income should be achieved as quickly as possible. Otherwise, he says, “inflation is likely to catch up with you.” He has used the Ministry of Works to do the borderdyking and head-raca construction on his property at about $2O to $25 per acre. He is happy with this phase of the work. He says that the Ministry staff have a good understanding of his requirements and know their job.

He recognises that such a development programme as he is undertaking can lead to more labour requirements and costs inherent, in, say, building accom-

tnodation for extra labour. He so far has worked the property with the aid of a young man doing his practical work before going to Lincoln College. Work such as heading, topdressing, fence cutting and ditch cleaning has been done by contract.

Where farm equipment has been used in the development programme, he places importance on having a tractor of adequate power.

An important aspect of such a development programme, he says, is that irrigation development should proceed as near as possible to the source of water or turn-out into the property. This obviates water loss.

To make maximum use of contour or the fall of the land and also nfeximum use of water, he says that the farmer has to be prepared to relocate fences and water races. Ideally, lie says that a farmer would like to start off with a. block clear of fences and buildings to make this job easier. In practice, how-

ever, he has been involved in quite a lot of work shifting fences and relocating water races.

Mr McFadden acknowledges that it is one thing to do development and another to obtain extra stock to take advantage of development when it is done, and he says, if irrigation development is to proceed, it is necessary to ensure that adequate finance is available at reasonable interest rates not only for the development but also for the purchase of capital stock, as to boost New Zealand’s export income emphasis will continue to have ■to be placed on livestock farming.

On Mr McFadden's Harwood property some 1200 of the threequarterbred ewe flock have gone to Corriedale rams this season and 800 to Down rams. He buys in good beef calves or yearling Friesians and carries them for 12 to 18 months until they reach killable weights and are sold in the autumn or winter at 18 months to two years of age.