It never rains - but then it pours

Irony was on the minds of those attending a drought meeting in Ranfurly yesterday as persistent rain fell on previously-parched farmland nearby.

About 50 people attended the meeting, organised by the Otago Adverse Events Trust.

Four key speakers gave advice and information about how to deal with drought - from what Government assistance was available to accounting methods.

Ministry of Agriculture and Forestry South Island policy manager Trish Burborough acknowledged the experience of those who attended the meeting, while offering assistance.

"Most of you have been in this situation before, and we are probably not going to tell you anything that you don't already know, but this is now classed as a medium-level drought and we are running out of options to deal with it," she said.

Mrs Burborough, of Dunedin, said Ranfurly had received almost its least amount of rainfall since records began.

"We [Maf] don't turn up to a one-in-five-year drought because that's almost business as usual," she said.

Alexandra accountant George Collier advised farmers to communicate with banks and plan ahead for likely decreases in cash flow.

Mr Collier said typically in times of drought, farmers did not experience a drop in taxable income until 18 months or two years following the actual event.

"What you often get in years of drought is additional stock sales, and sometimes you can end up with more cash in the bank.

"In the years following, however, you have less stock to sell, less production, and are having to replace supplements.

"Typically, two years after a drought the overdraft tends to peak," he said.

Mr Collier said Government schemes such as Working for Families could be available to some farmers in years following drought when income was low.

"Certainly, some farmers have done that within Central Otago," he said.

The meeting was also an opportunity for farmers to understand how rural support trusts worked, and who to turn to within communities when times were tough.

Following the two-hour meeting, a social hour was held during which those present were able to discuss points raised, and compare notes about the circumstances in different rural areas of Central Otago.

On April 20, the Government extended its drought relief assistance programme to cover areas of Otago and Southland, including the Central Otago district.

The declaration of a medium-level drought triggered an assistance package, which included farm management advice, welfare support, and funding for rural support trusts.

It followed a request from the Otago Adverse Support Trust, seeking similar assistance to farmers affected by drought in the upper North Island.