Māori agribusiness is a key component of MPI's strategic goals. Our Strategy 2030 commits to supporting the primary sectors, including Māori, to maximise the benefits from the sustainable use of their primary sector assets. Supporting the growth of the Māori economy will also support the growth of New Zealand's economy. Māori economic development and regional development are inseparable.
MPI's Māori Agribusiness: Pathway to Increased Productivity programme aims to partner with Māori to overcome some of the unique challenges you face when developing your primary sector assets. The programme has a specific focus on Māori primary sector assets (agriculture, horticulture, forestry, or seafood) that are in collective ownership.
An essential component of the programme is developing and sustaining mutually beneficial relationships between Māori and MPI. So, when you're ready to achieve your aspirations for your primary sector assets – from production, through processing, to exporting, MPI can work in partnership with you to identify tailored support to help you to make this happen.
MPI has worked with a number of Māori land owners across the country to bring together smaller land blocks to build economic scale, enabling Māori landowners to make informed decisions across Aotearoa. Based on our relationships with these land owners, MPI has identified 6 common steps that can help Māori improve the performance of their land.
We have developed a pamphlet and video that illustrates these steps.
[This video is narrated off-screen, while the concepts are illustrated in real-time on a white drawing board.]
Narrator: Whatungarongaro te tangata toitū te whenua - As man disappears from sight, the land remains.
It's important for Māori that the land is retained throughout generations -- that's Whakapapa; that the important relationship Māori have with the land is recognised -- that's Whanaungatanga; and that Māori can act as guardians of the land's natural and physical resources -- that's Kaitiakitanga.
Māori will want these values observed when dealing with the estimated ten point six billion dollars in primary sector assets that Māori hold.
MPI partners with Māori to grow and protect these assets. This helps to further grow the New Zealand economy.
MPI has worked with a number of Māori land owners to help them achieve their aspirations on their terms, bringing together smaller land blocks to build economic scale for the benefit of their mokopuna.
So how does this happen?
For Whaea Tui, and most Māori for that matter, land or whenua is taonga tuku iho -- a treasure that has been passed down through generations.
Whaea Tui remembers stories of a time when her whānau farmed and lived off their land. Over time whānau has ceased to control the use of their land. Now she wonders what could happen if the land in her area came together. Could this build the assets of the whānau, so that they can manage their land themselves, make decisions on its use and provide for the benefit of her mokopuna?
Whaea Tui is determined and driven, which is a great start! But what's got her stumped is figuring out all the different pieces of the puzzle.
This is where MPI can help, with staff on the ground across the country working with Māori who have asked the exact same question as Whaea Tui.
From these interactions MPI has identified six key steps that have resulted in Māori successfully bringing together smaller land blocks, and are on hand to help Whaea Tui explore her options.
Step 1: Establish a project group ("1000 cups of tea")
Firstly Whaea Tui needs to go out and talk to people on the surrounding land blocks. Typically they'll be whānau leaders, trustees of land owning groups or key influencers in the groups. Many call this the thousand cups of tea stage.
She'll need to sit with the group and discuss what opportunities might be available. These considerations will be everything from discussing the current state of the land to how to best govern that land. If Whaea Tui needs help getting the right people involved, or figuring out the ins-and-outs of what needs to be considered, she can give MPI a call. When some or all of the group are ready, they can move forward.
Step 2: Strategic Planning
Back around the table, the next step for Whaea Tui and the Whānau Leaders Group is to develop a Plan. This fleshes out the aspirations and objectives of the Group and all parties they represent.
Development of the Plan would identify what the Group wants to achieve. Goals like developing the land and establishing a good business, creating education and employment opportunities for whānau, controlling the development of their land, or simply wanting to leave something behind for the next generation.
While MPI can help with strategic planning and bringing this process together, figuring out their aspirations is what Whaea Tui and the Whānau Leaders Group need to flesh out on their own.
Step 3: Feasibility study
Once the plan reflects the group's aspirations for their land, it's time to put the land to the test. A feasibility study will determine the best use of the land, and provide enough information for the group to discuss the next best steps forward. It also helps to make the proposed options more real if the group visits the land and gets to visualise in person what is being discussed.
MPI knows some great farm consultants who can help kick off this feasibility study, and MPI can also put Whaea Tui in touch with Māori who've taken the same journey and are more than happy to share their knowledge. It's worth a mention that after all this advice and consideration, Whaea Tui and the group may decide not to go ahead.
Step 4: Get owners on board
If Whaea Tui and the group want to continue with one or more of the options, the next step is to explain the opportunity to the wider group, and it's likely you'll be drinking more tea.
It can be challenging to get others to understand the benefits of building economic scale, and still be comfortable with the risks that are involved. This is where MPI can help Whaea Tui to explain the benefits and risks, and bring into the loop Māori who have taken the same journey to share their experiences.
Step 5: Governance Structure Set-up
So Whaea Tui's got everyone to agree to move forward with an option for their land. Great! Believe it or not that's a lot of the hard work done and dusted. The next step is to put the right people into the right positions to make sure this venture runs as smoothly and successfully as possible.
Here is a great opportunity to position whānau alongside the knowledge holders in key positions, so they can learn the tricks of the trade as the venture progresses. What's most important here is adopting a governance structure that ensures all parties retain ownership to the whenua that is important to them. This is where MPI can put Whaea Tui in touch with experts who can make sure this happens.
Step 6: Operational Set-up
Once Whaea Tui has her ducks in a row, the rest will fall out of the planning. Whatever option the group has decided to go with will now require set-up and infrastructure, whether it be in:
- mānuka plantations
- sheep and beef farming
- wheat and barley cropping
- timber harvesting, or
- dairy farming.
MPI has networks right across the primary industries who will be able to help Whaea Tui every step of the way.
So there it is, 6 key steps that MPI can help you with, to bring smaller land blocks together and build economic scale, for the benefit of your mokopuna:
1. Establish a project group
2. Strategic planning
3. Completing a feasibility study
4. Getting owners on board
5. Setting-up a governance structure
6. Setting-up operations
If you want to explore what options might be possible for your whenua, on your terms, don't hesitate to get in touch.
[Logo: Ministry for Primary Industries. www.mpi.govt.nz]
Since October 2014, MPI has been supporting projects focused on sustainably increasing the productivity of Māori-owned primary sector assets. The Ministry for Primary Industries Agribusiness Programme is dedicated to partnering with Māori to sustainably increase the productivity of their primary sector assets such as agriculture, horticulture, forestry, or seafood that are in collective ownership. It has a specific focus on tangible on-the-ground projects that will lead to increasing their productivity.
MPI commissioned 2 reports on Māori agribusiness and released them in December 2014. One report – from PwC – confirms the economic benefits of helping Māori land owners increase the productivity of their primary sector assets sustainably. The other report – from Kinnect Group – evaluates how well MPI is doing this.
Kinnect Group evaluated how well MPI supports Māori asset owners to maximise the productivity of their primary sector assets. They found that, through strong relationships and partnerships, MPI effectively supported Māori to access the knowledge and skills they needed to improve productivity.
PwC's report refines the economic model developed in a 2013 report on growing the productive base of Māori land. It provides good evidence of the national economic benefits of raising the productivity of Māori freehold land.
A tool has been developed, which may help more Māori agribusinesses compare investment decisions. The Social Return on Investment (SROI) evaluation tool is a way to compare the potential benefits of different land uses from an economic, environmental, and a social and cultural perspective.
MPI supported the development of this tool for the Aohanga Incorporation through the Sustainable Farming Fund. It was developed by Aohanga and AgResearch and released in March 2015. Watch the video to find out more.
Transcript - show/hide
Narrator: The Ministry for Primary Industries is focused on growing and protecting New Zealand. As part of this we work together with Maori to help substantially grow their primary sector assets.
[Video footage of cows, a tractor, and a dairy farm.]
Narrator: In 2012 a special round of MPI's Sustainable Farming Fund was held for Maori agribusiness.
[Rewi Tipene, Chairman of Aohanga Incorporation is seen presenting to a room full of people in a class or workshop setting.]
Narrator: As part of this Aohanga Incorporation and AgResearch developed the Social Return on Investment evaluation tool, which enables Maori to compare the potential benefits of different land uses from an economic, environmental, social, and cultural perspective.
[Video footage of cows in paddocks and timber harvesting.]
Mavis Mullins, Project Manager, Aohanga Incorporation: The Social Return on Investment tool was really attractive to me because I had done some work with Ngā Whenua Rāhui with geospatial mapping. And having that visual tool to help you determine boundaries or land use or stuff like that, it felt to me that it was going to be something quite pivotal for Maori.
[Oscar Montes de Oca (AgResearch) is seen presenting to the workshop attendees in a computer training room. The SROI tool is on their displays. He gestures toward a data table and chart projected onto a whiteboard.]
Oscar: The tool itself is a spreadsheet basically that brings together information about the performance of different land-based alternatives.
Bill Kaye-Blake, PricewaterhouseCoopers: What a group can do is decide what's important to them. How important are cultural things? How important are social things, like the number of jobs that are created. And then this tool says for a given land use here's the number of jobs you might create, or here's the amount of profit you might have. Here are the environmental impacts. And then it puts it all together and summarises it.
Oscar: We've been working with Aohanga for quite a number of years and they have already gone into the path of deciding that they want to diversify, that they want to contemplate or they want to evaluate different options. So we just came together just to say, well probably this is a way in which we can put a model together for you to be able to have those discussions.
[We see the attendees in the computer training room.]
Mavis: And we knew that SROI was quite a normal tool in other sectors, but we'd never come across it, so there was a lot of development.
Hoani Ponga, AgResearch: My role in developing this tool was to play a conduit role between the funder, which was MPI, the incorporation Aohanga, research partner, and AgResearch, and some of our other research collaborators that we brought on board.
Mavis: MPI have been a good partner with this project and of course MPI his is quite new to the environment, really, so it was a different learning curve, I guess, for everybody. It's been really good, and the networks that we've built have been extremely valuable.
Hoani: I found the experience really really rewarding. To have our funder beside us and making sure that we're developing a story alongside of what we try to aim to do. [People sit down in the workshop. The words 'Sustainable Farming Fund' appears onscreen. We then see the same people sitting in the computer training room.] It was really really good to connect up with different groups within MPI, including the SFF team and the Maori primary partnerships team.
Oscar: Anybody who's contemplating future development on land initiatives can potentially use this tool and process. It's more relevant for Maori I think because of the broad range of goals that they have to take into account.
Mavis: The primary sector isn't just down on the farm. You know the primary sector has risen through the ranks, if you like. The clever people now really want to know how do we do this better? [We see Bill presenting to a small group of the attendees sitting around a conference table.] How do we ensure that we're meeting those cultural aspirations of our people but still really amping up the commercial?
Hoani: For me personally it was gratifying to bring something different to Aotearoa, to pioneer a framework that was used overseas and to use a Maori incorporation to do that.
Mavis: The biggest challenge that we face in the primary sector is probably ourselves actually. There's huge opportunities if we can consider smarter ways to collaborate, to work together, to leverage off each other. And we've got some great examples of that already. And of course Miraka stands as an amazing example, but there's a lot of other smaller collaborations happening all over the motu, and I think that will grow.
[We see various shots from the workshop, conference room, and training room.]
Narrator: MPI is committed to undertaking activities that specifically foster opportunities for Maori agribusiness. If you want to explore what options might be possible for your whenua on your terms, don't hesitate to get in touch.
[The Ministry for Primary Industries logo and web address are shown. www.mpi.govt.nz]
For more information about the tool or to explore opportunities to develop something similar for your organisation