New Zealand primary exporters urged to stay nimble
Be ready to be nimble. That's the message to New Zealand primary exporters from international trade expert, company director and farmer Mike Petersen.
SCOTT CHAMPION, chief executive of Beef + Lamb NZ (BLNZ), says the financial crisis in the US has led to a demand for New Zealand ground beef.
Speaking at last week’s annual BLNZ and Massey University science day at Feilding, Champion said tough financial times in the US have prompted some people to ‘trade down’ their eating habits. Instead of ordering their customary steak at their favourite restaurant, they often opt for ‘mid market’ or fast food in which New Zealand lean beef is used extensively.
“Many people, me included, often think ground beef is a lower value product and – in a dollar value sense – it is, compared with high-end table cuts. However, New Zealand lean ground beef is sought after to produce the perfect hamburger,” Champion explained.
“They take lean beef from New Zealand or Australia and blend it with a fattier American feedlot beef to produce the perfect hamburger patty. So we are an essential part of that international supply chain, because not only are we supplying it to the US, but to Asia as well.”
In overall beef sales to Asia, Champion says it’s a bit of a mixture. For example, Taiwan takes a reasonable amount of processing beef. However, each market is different and he notes China is taking more ground beef as the fast food market there develops.
Champion believes with the growth of the wealthier, middle class in China, demand will increase for the high-end cuts.
“There is a growth for western food services in China, especially from the larger international hotel chains. The idea that the west is eating more eastern food, and vice versa, is a reality.
“My eating style has changed compared to when I was kid. I eat a lot more Asian food; at the same time as we are seeing the presentation of more western food in Asia as well.”
Champion says beef has a lot going for it as a protein because globally it’s a product that’s ‘well understood’.
“Beef might be used in ground forms, cuts, styles or whatever. But it is pretty well understood – compared with sheepmeat where there is a whole consumer education process required in new markets about what you do with sheep.
“Beef, on the other hand, is comparatively well understood. But one challenge facing beef is that whatever production system we use, it is more expensive to produce than the more intensive meats such as chicken and pork.”
He says with the expansion of the dairy industry more beef is now available and it’s a case of maximizing the returns on that meat.
Recent rain has offered respite for some from the ongoing drought.
New Zealand's TBfree programme has made great progress in reducing the impact of the disease on livestock herds, but there’s still a long way to go, according to Beef+Lamb NZ.
With much of the North Island experiencing drought this summer and climate change projected to bring drier and hotter conditions, securing New Zealand’s freshwater resilience is vital, according to state-owned GNS Science.
OPINION: Otago farmer and NZ First MP Mark Patterson is humble about the role that he’s played in mandating government agencies to use wool wherever possible in new and refurbished buildings.
For Wonky Box co-founder Angus Simms, the decision to open the service to those in rural areas is a personal one.
The golden age of orcharding in West Auckland was recently celebrated at the launch of a book which tells the story of its rise, then retreat in the face of industry change and urban expansion.
OPINION: The appendage swinging contest between the US and China continues, with China hitting back with a new rate of…
OPINION: The irony of President Trump’s tariff obsession is that the worst damage may be done to his own people.