Message sent to Craig Foss MP:
Quote:
Craig
Have not received a reply from you to my e-mails, bit disappointing, however you guys appear to be polling so well at the moment I am sure that you feel that you are bullet proof. Check the questions that you are asking in your polling to see if you are really getting the right responses, you may receive a surprise. Anyway, I thought that I would drop you a note just to keep you up to speed.
Firstly, I know that you guys are hoping like mad that the ETS debacle will slowly sink down into the background and as such you can ‘move forward’ (standard speak for getting as far away from it as possible) from there. Sorry to disappoint you, but it is just as much in front of mind as ever before, in fact the people I speak with are only now just beginning to appreciate the stupidity of it. So, for less than 10% of our exports to the EU (they were cunning, they increased their own ETS allowances by 40% before they implemented it, thus little effect, I told you they would tilt the playing field in their favour, why you guys didn’t do something like that totally amazes me) you have placed shackles on the entire productive sector when 90% of our main trading partners will not have any ETS for at least the next couple of years, clever move.
So, a quick update on some of the effects of this. A shop in Akld has turned off its heating as the costs are becoming too high, they are in the tourist market and are finding it tough. Cold shop, fewer sales, leads to only one thing eventually, the shop will close down and its suppliers will lose another outlet, perfect timing for the RWC.
In addition, I see that Arandee in Akld has decided to close up shop and move to Singapore, smart move on their part, not that good for NZ though, technology leaving the country along with good minds and employment opportunities.
Let’s take a positive look at this though. The big speculative banks, Al Gore and other such institutions, are having a field day with carbon trading, what a gravy train. Traders are being paid $260,000 p.a. to shuffle paperwork around, heaven alone knows what the companies themselves are making in order to be able to pay them this money, regardless of that, it is as inflationary as anything, absolutely nothing produced but a cost/profit associated with it. Better than a war as nobody gets shot at!! (remember that Al Gore has bought himself another mansion that he will need to heat and illuminate, doing his bit for himself is Al!) As it has always been, just follow the money trail.
Still we will have saved the planet, won’t we? You are really, really sure about that aren’t you Nick and John?
Farmers in our side of the business have been hit again with low prices, so we have to push this further down the line to our workers. Prices for pruning have dropped 10% to 15%, assuming of course that the vineyard owner is still going to prune their vines. Some vineyards do not have supply contracts at all and I know of one case where they will only be pruning 20% of the vineyard, only 15 ha. So, the amount of money coming from the primary sector is going to drop, couple this with the de-leveraging effect of the money multiplier, let’s be conservative and say 5.5:1 (the US use 7:1) you can see that there are going to be some fun and games in your area and other farming electorates in the next few months as the flow on effects are felt. I think that in their case you will be looking at $46,500, which comes to $257,000 ($327,600) for the community. I wonder how many others there are in a similar situation, what will be the total de-leveraging amount that will come from all of them?
Take this through to the sheep and beef farmers and you are going to have exactly the same thing occurring. With these farmers being hit by $10,000 each by 2015, this means that there will $55,000 ($70,000) less going into the local community. I wonder how many such farmers there are in the Waipukurau area, 20, 30 or 40? If 40 that would mean $2,200,000 ($2,800,000) less being spent in the area, but hey the big speculative banks need to get paid and they really do not care about Waipuk, (does the NZ govt?). Work that through and you will see that the only people who will be able to farm in NZ will be foreign govt sponsored overseas corporations which I believe that JK is not all that keen on. It has the potential to make local farming communities die, the small NZ towns that people from overseas come to visit and enjoy, the extra income which helps the people to make ends meet.
I get a strong feeling that you guys in national don’t really care about them, they are not townies and besides they do not have the weight of votes that you need to stay in power do they. The fact that they bring in 65% of NZ’s income appears lost on you.
Enjoy the conference, you will notice that the charges have increased from last year, ETS fees you know.
Trevor