Blake Holgate has some big questions for which he hopes to find some answers.
Rabobank’s newly appointed head of sustainable business development says near the top of the list is defining exactly what sustainability means in the context of New Zealand farming.
Defining the much maligned word is central to the future of NZ agriculture, and Holgate is confident that meeting such a standard, once it is defined, is achievable.
“I think we need a clear distinction of what it looks like, of what it is we’re trying to deliver and achieve,” Holgate said.
“We need to find a pathway to achieve that. How can it be done, then measure and report on that so we can show we are achieving it?”
He says sustainability means different things to different people, which means farmers have to satisfy differing expectations.
Issues such as water quality are important to the NZ public, but to consumers in our export markets, the priority tends to be food safety and animal welfare.
“That is the challenge being a major food exporter, having multiple masters that we must satisfy,” he said.
The same challenge exists defining and substantiating claims about regenerative agriculture.
“Are we talking about an outcome-based approach where we are regenerating the environment with farming?” he asked.
“In lots of ways farmers are there, or thereabouts, at the moment because we are improving the environment through the way we farm.”
Holgate’s appointment is very much a back-to-the future role.
Eight years ago, he was employed by Rabobank in a sustainability role having previously completed a thesis for the bank in 2013 on the impact of National Policy Statement on freshwater, which was being introduced by the National-led government.
The thesis was a requirement of his MBA course at the University of Otago, after which he was offered a job with Rabobank.
That role expanded several years later to include analysing animal protein markets.
With growing environmental and compliance issues facing the sector, Holgate says the bank sees a need for a specialist role helping clients address the impact of environmental rules and regulations.
His role covers three areas: helping clients get the right information, products and services to meet the regulatory environment; help Rabobank understand the impact of environmental regulation; and to provide commentary and make submissions, where applicable, on environmental policies.
Holgate stresses he will be working for Rabobank staff and clients not the primary sector.
“My role will allow managers to understand and discuss with their clients the risk environment of regulation and what it means to the farm, long-term investment and planning,” he said.
His work will enable bank managers and farmers to put plans in place to address these issues, to help clients link with local experts and advisers and to also connect into the bank’s international network.
“If we’re actually having this conversation with clients, it will put the potential business risks front of mind for them and allow us to better tailor solutions,” he said.
Given most NZ farms were family-owned without the resources to employ specialists to deal with the host of new rules and regulations, Holgate says it can become overwhelming and create uncertainty and concern.
“This isn’t a one-size-fits-all business,” he said.
“It depends where you are, what you are farming and your philosophy.”
The key for farmers to address these issues and fulfil pending obligations such as farm environment plans (FEPs), is to digest and collect relevant data and then present it in a useful form that meets the required regulatory standards.
“We need to make the process easy and streamlined for clients,” he said.
“This area is not about a lack of information, there is almost too much, but it is clear we need succinct communications about where and how we gather and present it.”
With the Government still forming freshwater and climate change policies, Holgate says what is exactly required from farmers is unknown.
Rabobank chief executive Todd Charteris says the market for sustainable finance, specifically used for activities that will benefit the environment or society, is growing.
“Blake will play a lead role in identifying new opportunities for the bank and our clients in this area,” Charteris said.
Born and raised on a South Otago sheep and beef farm, Holgate attended Dunedin’s John McGlashan College.
After high school, he studied law at the University of Otago and worked at the Dunedin law firm Anderson Lloyd in the area of resource management dealing with clients as diverse as mining companies, property developers and environmental groups.
Reflecting his career choice after four years, he decided to return to study, completing an MBA.
A requirement of the course was to complete a thesis, so he wrote to banks seeking support to study the rising impact of environmental regulation.
Rabobank agreed, launching Holgate’s career with the rural lender.
