28 | RURAL PEOPLE » Dunsmore Gardens Staying viable and profitable is key The financial landscape for kumara growers has been volatile. Kumara Beds Karen Phelps Doug Nilsson of Dunsmore Gardens in Dargaville is navigating the complex landscape of modern farming. With 200 hectares under management and 70 hectares dedicated to kumara production, his operation is a testament to the challenges and opportunities facing the industry today. “Every year it’s about trying to stay viable and profitable,” says Doug highlighting the constant pressure to innovate in the face of rising costs. “The kumara industry, known for its labour-intensive processes, is feeling the squeeze from multiple directions. Minimum wage increases, soaring diesel prices, and escalating fertilizer costs are all taking their toll on farmers’ bottom lines.” The financial landscape for kumara growers has been volatile. “In 2022, what I was getting paid for a net bin of kumaras was 60% of what I was getting in 2002. But in 2024 I’m getting 30% more than in 2002,” explains Doug pointing out that these figures don’t account for the enormous rise in production costs over the same period. “Our biggest concern as growers is not being able to budget if we don’t know the return by the time the produce gets to market. This unpredictability makes it difficult for farmers to plan and invest in their operations confidently.” Labour costs, in particular, have become a major concern. “Labour used to be around 40% of the cost of growing, and I think that’s more like 55-60% now,” Doug estimates. “The labour-intensive nature of kumara farming, from hand-selecting seeds to manual harvesting, makes it particularly vulnerable to these cost increases.” To combat these challenges, Dunsmore Gardens is turning to technology and innovation. GPS-controlled tractors have increased efficiency and accuracy, allowing jobs to be completed quicker and with less labour. The farm is also experimenting with new machinery and Doug has built a custom harvester to pull plants out of the beds, aiming for consistency and reduced ground disturbance. The industry is also trialling a kumara planting machine, which could revolutionise one of the most labour-intensive aspects of production. Environmental considerations add another layer of complexity. However, he emphasises that farm owners are proactive about environmental issues, recognising that land stewardship is crucial for long-term sustainability and eventual retirement plans.“Keeping up with changing regulations regarding environmental plans and fresh water usage is a challenge,” says Doug. “It’s continually evolving.” Despite these challenges, there are reasons for optimism. Weather conditions have been favourable for planting kumara beds this season and returns are up from previous seasons. “Most growers are reasonably buoyant, and a lot of beds have gone in this season, so if the weather plays ball, we should have a good supply of kumara.”He says good engagement with packhouses and customers helps Doug to keep on top of trends so he can produce what the market wants. He grows all the main commercial varieties are grown: Owairaka Red, Beauregard, Toka Toka and Purple Dawn. Doug also points out that the New Zealand market for kumara is unique because of the growing conditions giving it a real point of difference. Doug’s product is supplied to Kaipara Kumara, which Dunsmore Gardens is a shareholder of. Diversification is another strategy Dunsmore Gardens employs to remain viable. In the off- season, the farm fattens 2,000-2,500 lambs and grows crops like maize for silage. Doug says this approach helps manage cash flow and maintain soil health. Teamplayers make for better results Our Teamproudly supports Dunsmore Gardens Dargaville | p. 09 439 8385 www.myaccountants.co.nz Joanna Ewenson CA | Joanne Biddles CA | David Cutts CA
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