Beef prices climb as supply contracts in key markets
With production volumes contracting in most major beef-producing regions, global cattle prices have continued to rise across recent months.
While dairy faces another tough year, Rabobank foresees a generally strong year ahead for most other agricultural sectors.
While dairy faces another tough year, Rabobank foresees a generally strong year ahead for most other agricultural sectors.
Rabobank general manager of Food & Agribusiness Research Tim Hunt says solid demand in key offshore markets, recent progress in export development and generally tight global supply is likely to bring another good year for New Zealand producers of beef, wool and horticultural products.
"While beef prices have lost some ground in recent months, they remain well above multi-year average levels, and are expected to receive support from a generally tight global market," he says, commenting on the banks Agribusiness Outlook 2016.
"Wool producers will face headwinds from cheap synthetic fibres, but see support from declining production in New Zealand and Australia."
Hunt says the wine industry was looking set for a better year in 2016, with improved climatic conditions likely to underpin an increase in production, average prices holding up well and good momentum for New Zealand product sales in the US and Chinese market.
"The trend in consumer preferences is positive for New Zealand wine, as we see a shift towards higher-priced wine and lighter styles," he says.
According to ASB, Fonterra's plan to sell it's Anchor and Mainlands brands could inject $4.5 billion in additional spending into the economy.
New Zealand’s trade with the European Union has jumped $2 billion since a free trade deal entered into force in May last year.
The climate of uncertainty and market fragmentation that currently characterises the global economy suggests that many of the European agricultural machinery manufacturers will be looking for new markets.
Dignitaries from all walks of life – the governor general, politicians past and present, Maoridom- including the Maori Queen, church leaders, the primary sector and family and friends packed Our Lady of Kapiti’s Catholic church in Paraparaumu on Thursday October 23 to pay tribute to former prime Minister, Jim Bolger who died last week.
Agriculture and Forestry Minister, Todd McClay is encouraging farmers, growers, and foresters not to take unnecessary risks, asking that they heed weather warnings today.
With nearly two million underutilised dairy calves born annually and the beef price outlook strong, New Zealand’s opportunity to build a scalable dairy-beef system is now.
OPINION: Voting is underway for Fonterra’s divestment proposal, with shareholders deciding whether or not sell its consumer brands business.
OPINION: Politicians and Wellington bureaucrats should take a leaf out of the book of Canterbury District Police Commander Superintendent Tony Hill.