New Zealand dairy is in the strongest position it has been for a long time, but farmers are approaching the good times with discipline, says Paul Kane, National Dairy and Live Export Coordinator for Carrfields Livestock.

Kane says payout tracking near the $10 mark and the Fonterra capital payment have given farmers breathing room, with cow prices averaging about $800 a head more than the last couple of seasons.

“Farm-related costs, they’re still high and especially the fuel, the freight, and the fertiliser,” he says.

“Farmers are still watching every decision pretty closely.”

Cautious confidence is how he puts it.

“There’s definitely relief out there, and the margins are looking a lot better for them than they have for the last few seasons, but most farmers have been through the ups and downs.

“They know that a good payout doesn’t mean that you take your eye off the ball.”

Kane says that confidence is reflected in the growing dairy conversions in Canterbury, with arable farmers looking for better returns and existing dairy farmers expanding into neighbouring blocks or runoffs. Infrastructure has to come first, he says, and with clear planning, stock sourcing can follow.

“You don’t want cows arriving before the farm’s ready for them.”

Settlement season is at its peak, with the Gypsy Day pressure point at the end of May and into June.

“Everything has to line up at once.

“Imagine if you’re selling a house and the stress that that causes you, now multiply that by hundreds and all happening over a space of a few days.”

Early May settlements covered mainly young stock contracts, Kane says, representing about 30% of total contracts.

Final tallies can shift depending on whether cows meet contract conditions at settlement, including pregnancy testing, condition scores, and general health. A sound cow is healthy, productive, and fit for the job she has been sold for, Kane says.

“No lameness, and most importantly, a healthy udder.

“No three-titters, no high cell counts, no disease issues: eczema, BVD, or Johne’s.”

For farmers planning conversions or navigating settlement season, the Carrfields team works across the full process, from stock sourcing to settlement logistics.

“Start planning early, don’t leave things to chance.

“Focus on the details, have realistic timing, and get sound advice.”

This is brought to you in partnership with Carrfields Livestock. To learn more about buying, selling or managing livestock, or to connect with a local livestock specialist, visit carrfieldslivestock.co.nz

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