Govt and Bank of New Zealand Invest Additional $8 Million in AgriZeroNZ

Agriculture Minister Todd McClay emphasized the critical role of agriculture in the New Zealand economy, highlighting the need for effective and affordable emission reduction solutions for the nation's top-tier farmers.

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The Government of New Zealand, in partnership with the Bank of New Zealand (BNZ), is injecting an additional $8 million into AgriZeroNZ to enhance the country's efforts in reducing agricultural emissions.

Agriculture Minister Todd McClay emphasized the critical role of agriculture in the New Zealand economy, highlighting the need for effective and affordable emission reduction solutions for the nation's top-tier farmers.

"The AgriZeroNZ public-private joint venture is fast-tracking the development, commercialization, and adoption of practical tools and solutions to help our farmers meet international emission reduction commitments," McClay stated. "We are delighted to welcome BNZ as a new shareholder in AgriZeroNZ."

Other shareholders in AgriZeroNZ include The a2 Milk Company, ANZ, ASB, ANZCO, Fonterra, Rabobank, Ravensdown, Silver Fern Farms, and Synlait, alongside the Crown. This latest funding boost raises the total investment in AgriZeroNZ to $191 million over the first four years, with the Crown contributing 50% of this amount.

"The joint venture demonstrates a growing commitment to equipping farmers with emission reduction tools sooner," McClay noted. "New Zealand farmers are the world's most efficient producers. It is counterproductive to shift jobs and production overseas to countries with less efficient carbon practices while trying to meet global food demands."

To further support the agricultural sector, the Government has allocated an additional $400 million in Budget 2024 for emission reduction projects. This includes continued funding for AgriZeroNZ to match industry contributions and an extra $50.5 million for the New Zealand Agricultural Greenhouse Gas Research Centre (NZAGRC) over the next five years.

These investments aim to advance the development of low-emission animal breeds, create methane and nitrous oxide inhibitors, and foster global research collaborations to benefit New Zealand's farming systems. An additional $52.5 million is dedicated to early R&D through the Centre for Climate Action, focusing on genetic research, methanogen vaccine development, early life intervention studies, on-farm emissions measurement tools, and effluent and feed management research.

"These investments will sharpen our competitive edge and boost export value," McClay said. "Our economic security hinges on New Zealand's food and fibre sector, which generated $54.6 billion this year. Innovative emission reduction technology is essential for maintaining production and revitalizing our economy."