Tension between traditional deer stud owners and Deer Improvement Ltd (DIL) boiled over last week with several studs issuing trespass notices to the industry newcomer.
DIL believes the trespass notices, in relation to annual stud sales, aim to stifle competition in respect to artificial insemination (AI) services offered by DIL to commercial farmers.
The course of action taken by the deer studs has prompted a warning of caution by industry leaders who say restricting the flow of genetics will stifle the growth and progress of the New Zealand deer industry.
Productivity gains in the industry over the past 30 years have largely been the result of genetic improvements and it was not good timing for the industry to stifle those gains, says New Zealand Deer Farmers' Association chairman Bill Taylor.
"The genetic improvement and productivity gains made by the New Zealand deer industry over the past 30 years have come about largely through dedication, vision and sheer hard work by all those involved in the stud sector. I find it disappointing that a small number of studs have taken such steps, which I assume they believe will help protect their businesses," Taylor said.
DIL had put an option before farmers and Taylor said commercial farmers would support what best improved their own individual returns.
The future of the stud sector was in the same hands as those who had shown the vision and dedication of the past and if those same people concentrated on producing the goods for farmers everyone would have a business, Taylor said.
DIL director Peter Gatley confirmed that trespass notices had been received last week from five studs - Stanfield's Bushey Park (Otago), Black Forest (Otago), Tower Farms (Waikato), Windermere Red Deer (Hamilton) and Pampas Heights (Rotorua).
Gatley said he was surprised the studs had taken the action and he was unclear as to their reasoning, assuming the competition from DIL's AI service had them rattled.
He said while the action would not have a significant impact on DIL's business, he believed it was an unnecessary course of action that could potentially impact the wider industry.
DIL was "somewhat perplexed" that after four years the unprecedented move was made by five studs in the same week, but it would not stop DIL developing relationships with other stud owners and commercial farmers.
"We think it is most unfriendly and this slam-the-door approach will not do the studs or the industry any good long-term. In perspective of genetic diversity DIL believes the healthiest environment in any industry is to have a healthy flow of genetics and it is in the best interest of the industry and its growth to have a genetically healthy population," Gatley said.
The New Zealand Farmers Weekly made contact with the five studs concerned in order to gain their reasons for the trespass notices but most were unwilling to comment.
Clive Jermy of Stanfield's Bushey Park said he believed DIL had been well versed with a number of studs explaining the case "quite eloquently".
Speaking for Pampas Heights Bryce Heard said it was a matter for the studs and he had a very definite "no comment" on the matter.
Joe Crowley of Tower Farms said there was two sides to the story but declined to elaborate.
DIL was launched four years ago by dairy industry genetics leader LIC and has rapidly established itself as the number one supplier of venison genetics.Tensions with the traditional studs were further heightened by the company's recent move to add velvet and trophy genetics to its range.
Of more concern to Alastair Porter of Remarkables Park was the restriction of the flow of genetics.
"The trespass issue is simply unfortunate. In my view the major issue is restricting the flow of genetics," Porter said.
Porter was referring to the restrictive on-sale clause many studs were now including as a condition in their sale catalogues.This states no animals, embryos or semen sold by that stud or their germplasm, any subsequent progeny or germplasm including semen, be supplied to any third party without the permission of that stud.
"That is the real concern when it comes to the flow of genetics. Competition and exchange of ideas always promote rapid progress and what's good for an industry has to be good for an efficient competitor in the industry, especially so with genetic improvement," Porter said.
Porter acknowledged DIL had raised the level of competition but Remarkables Park was not interested in trying to oppose it, instead looking to take advantage.
"We aggressively moved to AI. Deer Improvement invested millions of dollars into technology, systems and purchase of livestock at a time when the deer industry was going backwards."
-The New Zealand Farmers Weekly