Abstract.
This paper explains one way in which New Zealand’s free-market reforms have adversely affected its environment. Liberalisation of New Zealand’s economy has radically changed the determinants of agricultural export success, largely due to the elimination of subsidies to domestic producers, and of tariffs on imports. In this exposed agricultural milieu, the dairy industry has thrived; cow numbers have increased by over 50%, with commensurate increases in herd and farm sizes. With this rapid expansion has come increasing pollution of New Zealand’s waterways. New Zealand’s Resource Management Act 1991 is potentially capable of controlling these adverse effects; however, its implementation was slow and piecemeal throughout the 1990s. So, at the same time as production and pollution from dairy farming expanded, the efficacy of environmental policy was limited. The resulting implementation gap has put at risk the ‘clean and green’ image that is an important component of New Zealand’s agricultural export success.
Similar content being viewed by others
References
M Altieri A. Rojas (1999) ArticleTitle‘Ecological impacts of Chile’s neoliberal policies, with special emphasis on agroecosystems’ Environment. Development and Sustainability. 1 55–72 Occurrence Handle10.1023/A:1010063724280
S. Anderson S Turner Lewis G. (1997) ArticleTitle‘Enterococci in the New Zealand environment: Implications for water quality monitoring’ Water Science and Technology. 35 325–331 Occurrence Handle10.1016/S0273-1223(97)00280-1 Occurrence Handle1:CAS:528:DyaK2sXmt1Kkurg%3D
L. Awanyo (2001) ArticleTitle‘Labor, ecology, and a failed agenda of market incentives: The political ecology of agrarian reforms in Ghana Annals of the Association of American Geographers’. 91 92–121 Occurrence Handle10.1111/0004-5608.00235
Barnett J. (2001a). Dairying and the environment. Dairyfarming Annual 53
Barnett, J. (2001b). Dairy farmers take action on clean waterways. Southland Times, 1 September
M Bell P. Lowe (2000) ArticleTitle‘Regulated freedoms: The market and the state, agriculture and the environment’ Journal of Rural Studies. 16 285–294 Occurrence Handle10.1016/S0743-0167(99)00062-5
Bjork G. (1999). The Way it Worked and Why it Won’t: Structural Change and the Slowdown of U.S. Economic Growth, Westport, Praeger
S Borghesi A. Vercelli (2003) ArticleTitle‘Sustainable globalisation’ Ecological Economics. 44 77–89 Occurrence Handle10.1016/S0921-8009(02)00222-7
E. Bryld (2003) ArticleTitle‘Potentials, problems, and policy implications for urban agriculture in developing countries’ Agriculture and Human Values. 20 79–86 Occurrence Handle10.1023/A:1022464607153
T. Buhrs (1997) ‘Environmental policy’ R. Miller (Eds) New Zealand Politics in Transition. Oxford University Press Auckland
T Buhrs R. Bartlett (1993) ‘Environmental Policy in New Zealand: The Politics of Clean and Green?’ Oxford University Press Auckland.
M Cameron C. Trenouth (1999) ‘Are Desired Environmental Outcome Being Achieved at Least Cost?.’ A Case Study of Farm Dairy Effluent Management, New Zealand Ministry for Environment Wellington.
Canterbury Regional Council: (1997). Regional environment report 1995–96. Report 9710, Christchurch, Canterbury Regional Council
S Cassells A. Meister (2001) ArticleTitle‘Costs and trade impacts of environmental regulations: Effluent control and the New Zealand dairy sector’ The Australian Journal of Agricultural and Resource Economics. 45 257–274 Occurrence Handle10.1111/1467-8489.00142
M. Chossudovsky (1998) ‘The Globalisation of Poverty’ Zed Books London and New York.
P. Cloke (1996) ArticleTitle‘Looking through European eyes? A re-evaluation of agricultural deregulation in New Zealand’ Sociologia Ruralis. 36 307–330
C Cocklin G. Blunden (1998) ArticleTitle‘Sustainability, water resources and regulation’ Geoforum. 29 51–68 Occurrence Handle10.1016/S0016-7185(97)00017-1
C Cocklin J. Dibden (2002) ArticleTitle‘Taking stock: Farmer’s reflections on the deregulation of Australian dairying’ Australian Geographer. 33 29–42 Occurrence Handle10.1080/00049180220124999
P Colgate J. Stroombergen (1993) ‘A Promise to Pay: New Zealand’s Overseas Debt and Country Risk’ New Zealand Institute of Economic Research Wellington.
D. Collins R Kearns R. Le Heron (2001) ArticleTitle‘Water pressure: irrigation, governance and land use intensification in Maungatapere, New Zealand’ Journal of Rural Studies. 17 29–39 Occurrence Handle10.1016/S0743-0167(00)00038-3
Dairying and Environment Committee: (1995). Dairying and the Environment: Managing Dairy Farm Effluent, Palmerston North, Dairy Research Institute
P. Dalziel (2002) ArticleTitle‘New Zealand’s economic reforms: an assessment’ Review of Political Economy. 14 31–46 Occurrence Handle10.1080/09538250120102750
P Dalziel R. Lattimore (1999) ‘The New Zealand Macroeconomy: A Briefing on the Reforms’ Oxford University Press Auckland
S. Das (1998) ‘Civil Service Reform and Structural Adjustment’ Oxford University Press New Delhi and New York
S Dietz W.N. Adger (2003) ArticleTitle‘Economic growth, biodiversity loss and conservation effort’ Journal Of Environmental Management 68 23–35 Occurrence Handle12767860
S Dovers W. Gullett (1999) ‘Policy choice for sustainability: marketization, law and institutions’ K. Bosselmann B. Richardson (Eds) ‘Environmental Justice and Market Mechanisms.’ Kluwer Law International London 110–128
A. Escobar (1995) ‘Encountering Development: The Making and Unmaking of the Third World’ Princeton University Press Princeton, NJ.
J. Evans A. Grimes B Wilkinson D. Teece (1996) ArticleTitle‘Economic reform in New Zealand 1984–95: the pursuit of efficiency’ Journal of Economic Literature. 34 1856–1902
Federated Farmers: (2001). Life After Subsidies: The New Zealand Farming Experience – 15 Years Late, Wellington, Federated Farmers of New Zealand
Fish and Game New Zealand, 2001: Dirty Dairying Condemned by Fish and Game New Zealand, Press Release March 27
S George F. Sabelli (1994) ‘Faith and Credit: The World Bank’s Secular Empire’ Westview Press Boulder, CA.
Gill, M. (2002). Milk price cut on way?. Waikato Times, 2 September
G Grossman A. Krueger (1995) ArticleTitle‘Economic growth and the environment’ Quarterly Journal of Economics. 110 353–377
C. Hanson (2002) ‘Nitrate concentrations in Canterbury groundwater – a review of existing data’, Report No. RO2/17’ Environment Canterbury Christchurch.
R Harris B. Daldy (1994) ‘Labour Market Adjustment’ Aldershot, Avebury New Zealand.
T. Hazeldine (1998) ‘Taking New Zealand Seriously: The Economics of Decency’ Harper Collins Publishers Auckland.
D. Henderson (1996) ‘Economic Reform: New Zealand in an International Perspective’ New Zealand Business Roundtable Wellington
P. Intal (1999) ‘Economic Policies, Structural Adjustment and the Environment: A Review of Literature and a Framework for Analysis and Model Buildingh for IMAPE-Philippines’ IMAPE Project Manila
M Jaforullah J. Whiteman (1999) ArticleTitle‘Scale efficiency in the New Zealand dairy industry: A non-parametric approach’ The Australian Journal of Agricultural and Resource Economics. 43 523–541 Occurrence Handle10.1111/1467-8489.00093
Jagger, H. (1999). Resource management implications of the expanding South Island dairy industry. RM Update 3
James, M. (2002). Dairy industry and markets – a New Zealand perspective. Paper Presented to the Teagasc National Dairy Conference 2002, Killarney, November, http://www.teagasc.ie
J. Kelsey (1995) ‘The New Zealand Experiment: A World Model for Structural Adjustment?’ Auckland University Press Auckland
J Kessler M. Van Dorp (1998) ArticleTitle‘Structural adjustment and the environment: The need for an analytical methodology’ Ecological Economics. 27 267–281 Occurrence Handle10.1016/S0921-8009(97)00184-5
C Klein Particlede S. Ledgard (2001) ArticleTitle‘An analysis of environmental and economic implications of nil and restricted grazing systems designed to reduce nitrate leaching from New Zealand dairy farms. I. Nitrogen Losses’ New Zealand Journal of Agricultural Research. 44 201–215
S. Ledgard E Thom P. Singleton (1996) ‘Environmental Impacts of Dairy Systems’ AgResearch Ruakura Hamilton.
S. Ledgard J Crush J. Penno (1998) ArticleTitle‘Environmental impacts of different nitrogen inputs on dairy farms and implications for the Resource Management Act of New Zealand’ Environmental Pollution. 102 515–519 Occurrence Handle10.1016/S0269-7491(98)80077-8 Occurrence Handle1:CAS:528:DyaK1MXjvVemtg%3D%3D
R. Le Heron (1991) ArticleTitle‘New Zealand Agriculture and changes in the agriculture – finance relation during the 1980s’ Environment and Planning A 23 1653–1670
R Le Heron E. Pawson (Eds) (1996) ‘Changing Places: New Zealand in the Nineties’ Longman Paul Auckland.
J Lekakis C. Pantzios (1999) ArticleTitle‘Agricultural liberalization and the environment in Southern Europe: the role of the supply side’ Applied Economics Letters. 6 453–458 Occurrence Handle10.1080/135048599352989
C. Leys (1996) ‘The Rise and Fall of Development Theory’ James Currey Oxford
LIC (Livestock Improvement Corporation): (2002). Dairy Statistics 2001/02, Hamilton, LIC
MAF (Ministry of Agriculture and Forestry): (1997). Impacts of Dairy Conversion in the Taupo District, Wellington, MAF
MAF (Ministry of Agriculture and Forestry): (2002a). New Zealand Agriculture 10 year Statistics Tables, Wellington, MAF
MAF (Ministry of Agriculture and Forestry): (2002b). Situation and Outlook for New Zealand Agriculture and Forestry: Update May 2002, Wellington, MAF
MAF (Ministry of Agriculture and Forestry): (2002c). Dairy Monitoring Report<>,<> July 2002, Hamilton, MAF Policy
L. Meijer (1996) ‘From Subsidies to Diversity: New Zealand’s Experience of Agricultural Reform’ Ministry of Agriculture and Forestry Wellington.
P. Memon (1993) ‘Keeping New Zealand Green: Recent Environmental Reforms’ University of Otago Press Dunedin
P. Memon (2000) ‘Freshwater management policies in New Zealand’ P. Memon H. Perkins (Eds) ‘Environmental Planning in New Zealand.’ Dunmore Press Palmerston North
A. Meredith (1999) ‘Dairying and the environment issues in Canterbury’ M. Boardman (Eds) Proceedings of the Dairying and the Environment: Committee Research Meeting Ruakura Research Hamilton
MfE (Ministry for the Environment): 1997). The State of New Zealand’s Environment 1997, Wellington, The Ministry for Environment
MfE (Ministry for the Environment): 2001a). Valuing New Zealand’s Clean Green Image, Wellington, The Ministry for Environment
MfE (Ministry for the Environment): 2001b). Resource Management Act: Annual Surveys of Local Authorities 1999/2000, Wellington, The Ministry for Environment
P. Mosley J Harrigan J. Toye (1991) ‘Aid and Power: The World Bank and Policy-based Lending, Volume 1’ Routledge London and New York.
NIWA (National Institute of Water and Atmospheric Research): 2001). Aniwaniwa. 17
M O’Brien C. Wilkes (1993) ‘The Tragedy of the Market: A Social Experiment in New Zealand’ Dunmore Press Palmerston North
OECD (Organisation for Economic Co-operation and Development): (1996). Macroeconomic Policies and Structural Reform, Paris and Washington, OECD
OECD (Organisation for Economic Co-operation and Development): (1998). The Environmental Effects of Reforming Agricultural Policies, Paris and Washington, OECD
OECD (Organisation for Economic Co-operation and Development): (2002). OECD Environmental Data Compendium 2002, Paris and Washington, OECD
J Opschoor S. Jongma (1996) ArticleTitle‘Structural adjustment, adjustment policies and sustainability’ Environment and Development Economics 1 183–202
J. Owusu (1998) ArticleTitle‘Current convenience, desperate deforestation: Ghana’s adjustment program and the forestry sector’ Professional Geographer. 50 418–436 Occurrence Handle10.1111/0033-0124.00130
Parminter I. (1999). Farm dairy effluent treatment in the Waikato region. RM Update 3
Prestwood, S. (2001). Down stream from the dairy boom. The Dominion, 18 August
R. Prizzia (2002) ArticleTitle‘The impact of development and privatization on environmental protection: an international perspective’ Environment, Development and Sustainability 4 315–331
J. Quiggin (1998) ArticleTitle‘Social democracy and market reform in Australia and New Zealand’ Oxford Review of Economic Policy 14 76–95 Occurrence Handle10.1093/oxrep/14.1.76
J Quinn M. Stroud (2002) ArticleTitle‘Water quality and sediment and nutrient export from New Zealand hill-land catchments of contrasting land use’ New Zealand Journal of Marine and Freshwater Research. 36 409–429 Occurrence Handle1:CAS:528:DC%2BD38Xmt1Grur8%3D
S. Rainbow (1993) ‘Green Politics’ Oxford University Press Auckland.
D. Reed (1996a) ‘An instrument of global economic policy’ D. Reed (Eds) ‘Structural Adjustment, the Environment and Sustainable Development’ Earthscan London
D. Reed (Eds) (1996) ‘Structural Adjustment, the Environment and Sustainable Development’ Earthscan London
D. Reed (1996c) ‘Conclusions: short-term environmental impacts of structural adjustment programs’ D. Reed (Eds) ‘Structural Adjustment, the Environment, and Sustainable Development’ Earthscan London
D. Reed (1996d) ‘Introduction to Part Two’ D. Reed (Eds) ‘Structural Adjustment, the Environment, and Sustainable Development’ Earthscan London
S. Rees G Rodley F. Stilwell (Eds) (1993) ‘Beyond the Market: Alternatives to Economic Rationalism’ Pluto Press Leichhardt.
H. Rodda R. Wilcock U Shankar B. Thorrold (1999) The effects of intensive dairy farming on stream water quality in New Zealand. In: Impact of Land-use Change on Nutrient Loads from Diffuse Sources, Proceedings of the IUGG 99 Symposium HS3. July 1999. IAHS Publication no. 257 Birmingham.
C. Rudd (1997) ‘The welfare state’ R. Miller (Eds) ‘New Zealand Politics in Transition.’ Oxford University Press Auckland
Rutherford, C. (2002). Clean and green New Zealand or dirty dairying?’ Dexcelink 3
SAPRIN (Structural Adjustment Participatory Review International Network): 2002). The Policy Roots of Economic Crisis and Poverty, Washington, SAPRIN
Silverston B., Bollard A, Lattimore R. (ed.) (1996). A Study of Economic Reform: The Case of New Zealand, Amsterdam, North Holland
D. Slater (2002) ‘Trajectories of development theory: capitalism, socialism, and beyond’ R. Johnston P. Taylor M. Watts (Eds) ‘Geographies of Global Change.’ Remapping the World Oxford Blackwell
J. Spangenberg (2003) ArticleTitle‘The environmental Kuznets curve: A methodological artefact?’ Population And Environment. 23 175–191 Occurrence Handle10.1023/A:1012827703885
K Stanley K. Jones (1992) ArticleTitle‘Cattle and sheep farms as reservoirs of Campylobacter’ Journal of Applied Microbiology. 94 104–113 Occurrence Handle10.1046/j.1365-2672.94.s1.12.x
Statistics New Zealand: (1999). Income Trends, Wellington, Statistics New Zealand
C. Stringer (2000) ArticleTitle‘New Zealand’s agro-food trade to Korea’ World Development. 28 425–442 Occurrence Handle10.1016/S0305-750X(99)00141-2
C. Tisdell (2001) ArticleTitle‘Globalisation and sustainability: environmental Kuznets curve and the WTO’ Ecological Economics. 39 185–196 Occurrence Handle10.1016/S0921-8009(01)00234-8
R. Wilcock G. McBride J Nagels G. Northcott (1995) ArticleTitle‘Water quality in a polluted lowland stream with chronically depressed dissolved oxygen: causes and effects’ New Zealand Journal of Marine and Freshwater Research. 29 277–289 Occurrence Handle1:CAS:528:DyaK28Xjt1Kiuw%3D%3D
R. Wilcock J. Nagels G. McBride K. Collier B Wilson B. Huser (1998) ArticleTitle‘Characteristsics of lowland streams using a single-station diurnal curve analysis model with continuous monitoring data for dissolved oxygen and temperature’ New Zealand Journal of Marine and Freshwater Research. 32 67–79 Occurrence Handle1:CAS:528:DyaK1cXjt1ymtr8%3D
R. Wilcock J. Nagels H. Rodda M. O’Connor B Thorrold J. Barnett (1999) ArticleTitle‘Water quality of a lowland stream in a New Zealand dairy farming catchment’ New Zealand Journal of Marine and Freshwater Research. 33 683–696 Occurrence Handle1:CAS:528:DC%2BD3cXpt1Wrsg%3D%3D
Williams J. (1997). Workshop objectives The Royal Society of New Zealand (ed.) Environmental Implications of Socio-economic and Structural change in New Zealand. The Royal Society of New Zealand, Wellington.
World Bank: (2001). Adjustment From Within: Lessons from the Structural Adjustment Participatory Review Initiative, Washington, The World Bank
Author information
Authors and Affiliations
Corresponding author
Additional information
Readers should send their comments on this paper to: BhaskarNath@aol.com within 3 months of publication of this issue.
Rights and permissions
About this article
Cite this article
Barnett, J., Pauling, J. The Environmental Effects of New Zealand’s Free-Market Reforms. Environ Dev Sustain 7, 271–289 (2005). https://doi.org/10.1007/s10668-005-7316-0
Received:
Accepted:
Issue Date:
DOI: https://doi.org/10.1007/s10668-005-7316-0