Tuesday, 05 October 2021 07:55

Covid impacts

Written by  Staff Reporters
Beef and veal export receipts are forecast to decline by 7% to $3.9 billion. Beef and veal export receipts are forecast to decline by 7% to $3.9 billion.

Global uncertainty caused by Covid and related disruption to supply chains, as well as a global shortage of labour, are cited as contributing factors to a forecast drop in NZ red meat export returns.

That's the crux of Beef+Lamb NZ's (B+LNZ) new season outlook report, which was published last week.

Chief economist Andrew Burtt says receipts from red meat exports will be about $8 billion, slightly down on 2020-21.

While lamb export receipts are forecast to increase by 2.2% to $3.6 billion on 2020-21, beef and veal export receipts are forecast to decline by 7% to $3.9 billion, driven by a decline in production and the adverse impact of the high NZ dollar on export values.

However, Burtt says the overall outlook is positive, with the fundamentals in key markets seen as solid. He says there is strong demand and tight supply, meaning prices in export markets are forecast to lift for both sheepmeat and beef.

On farm, the lamb crop this season is expected to be 22.8 million - up point 9% on last year, reflecting an increase in ewe and hogget lambing percentages. On the beef side, export production is forecast to be down by 5%. 

According to the report, farmer confidence is mixed. While on-farm profitability is positive, resilience is being tested by the volatility of adverse weather events and the extent of environmental regulation.

More like this

Superior genetics deliver benefits

Dairy farmers are being encouraged to consider using genetically superior beef bulls across their herds this spring to help create greater value along the value chain.

The Landing - sequestering on site

Covid-19 has slowed some carbon emission initiatives at The Landing in Northland, but reforestation is continuing at pace, with more than 10,000 native trees planted in the past year alone.

More support needed for rural communities

The Hauora Taiwhenua Rural Health Network is welcoming a government announcement to widen the prescription criteria for the Covid-19 antiviral medication Paxlovid.

FMD high alert!

Beef+Lamb NZ is gearing up to keep farmers informed about the potential risk of foot and mouth disease (FMD).

National

Machinery & Products

New disc cultivator launched

Väderstad has introduced a new disc cultivator – the Carrier XT 425-625 – featuring rotating disc axles, that optimizes results…

JD unlocks its digital system

As a long-term advocate of digital technology, John Deere has taken the route of mass data capture, rather than concentrating…

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Fruitful change?

OPINION: Your canine crusader notes that meat company Silver Fern Farms has undergone quite a refresh over the last few…

All for show?

OPINION: The Hound notes that Fonterra is cashing in on the curent government's largesse with taxpayer money.

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter