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March 10, 2009
The Chairman of
AgResearch and the
Chancellor of Lincoln
University today announced that the Crown Research Institute
and the University support, in principle, the merger of the two
organisations to create a substantially enhanced Lincoln
University with a specific and deep focus on land utilisation
and associated environmental and social integrity throughout New
Zealand.
AgResearch and Lincoln University will now embark on a combined
consultative process before concluding whether to recommend to
Cabinet a full merger. The proposal is to create a world-class,
land-based University supporting research, education and
extension that is focused on New Zealand’s vital primary
industries.
“This would create an internationally outstanding entity, which
would rank in the world’s top five of its type,” said Tom
Lambie, Chancellor of Lincoln University.
“New Zealand needs to lift its rate of productivity growth and
the obvious place to start is with the land-based industries.
Through the creation of a world-class, internationally ranked,
21st century land-based University, the performance of New
Zealand’s land-based industries will be enhanced substantially,”
said Mr Lambie.
AgResearch Chairman Sam Robinson says when AgResearch was formed
it brought together animal sciences from the Ministry of
Agriculture and plant sciences from the DSIR which allowed, for
the first time, the development of a coherent scientific view of
how a farm operates.
“This merger will go that one vital step further and translate
all that knowledge and technology that our scientists produce
into coherent education and training for immediate industry
benefit along the entire value chain. AgResearch has more
scientists than any other government-owned research organisation
in New Zealand and merging with Lincoln University will provide
a more stable base for New Zealand’s most important research and
development, and enhance teaching activity,” said Mr Robinson.
Background Information – AgResearch and Lincoln University
AgResearch
· A Government owned Crown
Research Institute charged with operating on a commercial
basis.
· More scientists than any other New Zealand research
institute and has many world-leading scientists.
· 640 Full Time research staff out of about 1,000 Full Time
staff.
· AgResearch has four campuses with science teams spread
across them: Hamilton (Ruakura), Palmerston North
(Grasslands and the Hopkirk Research Institute),
Christchurch (Lincoln) and Dunedin (Invermay).
· Amongst the world’s leading agricultural research
institutes and creates world class innovations.
· Produces by far the greatest amount of pastoral-related
science and technology in New Zealand.
· Key research and development, pastoral farming and
associated food and textiles sciences, have strong overlap
with the core focus area of Lincoln University.
AgResearch:
Earnings after tax $3
million 2007/08 year
Total Assets
$246 million
Total Liabilities $53 million
Equity
$194 million ·
Research Funding $150 million per annum
· 15 research farms throughout NZ
Chief Executive Dr Andrew West
AgResearch Board
(Appointed by shareholding Ministers)
Chairman Sam Robinson
7 Directors
Lincoln University
· New Zealand’s only
specialised University.
· Government funded.
· Educates a large part of the human capital needed to lead
the landbased sector along the entire value chain.
· Research and teaching directly associated with the
land-based industries constitute the majority of Lincoln
University’s total activities.
· Founded in 1878 and is oldest School of Agriculture in the
southern hemisphere.
· 219 Full Time academic staff out of total 610 staff.
· 3,323 students (2,577 equivalent Full Time students).
· International students from over 60 countries.
· Lincoln University is recognised for its applied and
interdisciplinary approach to teaching and research in
agriculture, the physical and biological sciences, commerce,
the environment and their social dimensions – all of which
are strategically aligned with the major areas of expertise
and focus for AgResearch.
· Courses from pre-degree certificates to PhDs.
· Situated at Lincoln, about 22 kilometres from
Christchurch.
Lincoln University:
Total Assets $239 million
Total Liabilities $27 million
Equity $212 million
· Research Funding $17 million per annum
· The highest level of external research income per staff
member of all NZ universities (excluding the medical
schools).
· Lincoln University owns and operates several farms, and
has additional land holdings.
Lincoln University Council (18 members)
Chairman Tom Lambie
Vice Chancellor Professor Roger Field
4 appointed by Tertiary Education Minister
1 Academic Board representative
1 Academic Staff representative
1 General Staff representative
2 Student representatives
1 Employers’ representative
1 Workers’ representative
1 Te Runanga o Ngai Tahu representative
Appointed by the Council:
Currently 4
Merger Profile for the new
Lincoln University
- A vision to become one of
the top five universities of its type in the world.
- The southern hemisphere’s
first truly world-class, land-based University, supporting
research, education and extension, devoted to the country’s
most vital industries.
- A well-resourced,
internationally high-profile, research-intensive, specialist
University that substantially enhances the performance of
New Zealand’s land-based industries along their entire value
chains.
- Potential to deliver $1
billion annual benefit to New Zealand.
Examples of merger advantages:
- Unprecedented critical
mass and concentration of expertise in areas essential
to the nation’s economic and environmental future.
- New opportunities to
do wider range of research – from ‘blue skies’ to highly
applied.
- Better integrated
research effort resulting in new products and solutions.
- New research will
increase the pastoral sector’s productivity (high value,
safe pastoral sector goods) while protecting New
Zealand’s environment.
- Re-establish emphasis
on extending knowledge and technologies to New Zealand
farmers.
- Effectively and
efficiently combining education and research in a way
the two individual organisations cannot.
- Increased revenue
through synergies between teaching and contract R & D.
- Greatly raise the
profile of the sophistication and range of land-based
industries as a career.
- Higher brand
recognition internationally.
- Enhanced ability to
recruit top quality staff and students, both
domestically and internationally.
- Producing more
relevantly-educated graduates for the land-based
industries.
- New, specifically
designed education courses for land-based professionals
and extension activities to benefit Maori land
incorporations and other holdings.
- The merged
organisation will be better able to obtain funding
internationally.
- Greater funding
stability and security of revenue.
- Enhanced career
opportunities and diversity for staff.
- Much stronger “voice
for the land-based industries” will lead to greater
impact with policy makers, end-users, media and
stakeholders.
- Other advanced
economies have already undertaken such mergers (e.g.
Denmark, Scotland, England, the Netherlands, Canada and
Norway). Examples of top international land-based
universities are
Cornell (US), Royal Veterinary and Agricultural
University (Denmark), and Wageningen UR (The
Netherlands).
Financial Profile of the new
University
· Combined revenue
about $230 million initially
· Combined assets about $485 million
· Likely additional revenue about $50 million a year
· Cost savings about $2.5 million annually
· Merger cost about $2.5 million.
The new University will become
increasingly profitable and add substantial value to the New
Zealand economy – far in excess of what the two organisations
have the capability to do independently.
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