MyFarm investor enjoying new challenge
MyFarm investors Nigel and Jenny Fraser are taking their involvement in their dairy equity partnership to a whole new level.
The North Canterbury farmers have sold all their breeding ewes and are now grazing 400 dairy heifers for one of their dairy investment properties.
The Frasers are one of a small number of MyFarm investors who graze heifers for their investment farm, but Nigel says MyFarm have embraced their willingness to take a more active role in their 1600-cow Rakaia dairy operation.
Nigel says he enjoys the fact he has a vested interest in maximising the production potential of the young dairy stock, even though it is something of a challenge on their 513ha dryland, coastal North Canterbury farm.
Without the security of irrigation, Nigel and Jenny are growing turnips as a summer feed crop for the yearling heifers and growing rape and baleage for wintering calves. Nuts are used as a back-up in times of feed shortages.
The Frasers’s willingness to take a more active role in their dairy operations reflects the couples’ disillusionment with the sheep and beef industry.
Over recent years Nigel had become increasingly frustrated with the lack of structure in the meat industry and began looking to invest in an industry that offered better returns than sheep farming and had clear management structures.
Dairying was the obvious choice and after exploring their investment options, including going it alone with sheep and beef farmer friends, the couple elected to invest through MyFarm.
They bought their first share in a dairy farm in 2007 and have since sold out of this Southland property and invested in another two farms, also through MyFarm,
Nigel has taken an active role in the governance of all the farms they have had shares in, and for him this has been a particularly rewarding aspect of being in an equity partnership.
He says he has met a number of people from different walks of life and has learnt a lot from his fellow investors.
But similarly he has been able to contribute with his management skills and knowledge of farming
“It is very rewarding being able to contribute but I have also picked up a lot from my fellow directors and managers.
“Dairy farmers demand a lot more from their businesses than sheep and beef farmers.”
Financially the Frasers feel their investments are in good hands.
While it is early days for the two most recent acquisitions, Nigel says once the farms are up and running they generate sound returns.
Safety is paramount, he says and adds that they feel very confident buying into a land-based industry.
Click here to read about Nigel in the September issue of Country-Wide magazine.