Record-breaking $161,000 bull worth every cent, owner says

The buyer of a record-breaking bull says it's delivering strong returns nearly a year after a landmark purchase.

By Penny Miles of RNZ

Last June Wairarapa farmer Keith Higgins paid $161,000 for an Angus bull from a renowned Gisborne stud.

Ahead of this season's autumn bull sales Higgins told RNZ, despite the eye watering price tag, his top sire was worth every cent.

He's satisfied with the purchase which set the national price record.

"Everything's gone extremely well," Higgins said.

"He's parked in the paddock here, he's had a great season with his females."

Higgins bought Tangihau U418 at auction during the East Coast Angus bull week - which generated $8.6 million, up nearly $3.7m on the year before.

During the auction he outbid the competition, with plans to take the bull home to his Oregon Angus farm near Masterton for its breeding and artificial insemination programme.

So how could he tell it was the right match?

"It depends how you can get that bull to blend in with your programme," Higgins said.

"For us this bull was exactly the style with what we breed with now in our females, but he's an an outcross, he's a different bloodline.

"That was the big attraction, not just his quality and type."

This sales season Higgins won't be getting his chequebook out after downsizing from 570 hectares to a smaller 60 hectare property.

"I'll be having a pretty quiet season this year," he said.

"I don't really require a big high-priced bull because I've sold all my cows. I'm just looking for a couple of yearling bulls. I'm taking all my calves with me to my smaller block."

"There's a lot of confidence in the sheep and beef industry and it's fantastic to see it," he said.

"There's plenty of great feeling and I hope it continues for a few years yet because we need it."

PGG Wrightson auctioneer Neville Clark said he remembers the excitement of the auction day.

"That's all you really want. You want to buy a bull and two months later, five or six months later say 'I bought the bull I wanted and I'm happy.' That's the perfect result."

Last year's sales attracted big crowds, full clearances and staggering prices.

Auctions are now kicking off with sales around the country through until late next month.

"You look at what's happening around the world with beef cow numbers," Clark said.

"We've got the three biggest countries in the world going into a herd rebuild - America, Australia and Brazil. So the situation for our beef looks exceptional."

Clark said there's growing interest in online bidding, but most farmers prefer to attend an auction in person.

But if that doesn't suit, they can arrange an inspection ahead of the sales day.