Tuesday, 02 October 2018 07:55

Meats bullish outlook

Written by  Peter Burke
Beef + Lamb chairman Andrew Morrison. Beef + Lamb chairman Andrew Morrison.

Despite the unknowns of Brexit and the US-China trade war, New Zealand’s sheep and beef farmers are pretty bullish about the future.

Research by Beef + Lamb NZ shows that 70% of beef farmers and 64% of sheep farmers are positive about their industry.

BLNZ chair Andrew Morrison says the confidence comes with strong prices and a favourable $NZ. He cautions that traditionally August is the time when prices are high.

“While we’re fortunate to be enjoying high prices for our beef, lamb, and mutton at the moment,” Morrison told Rural News. “We need to be mindful that these aren’t guaranteed longer term, even though there are solid indicators that global demand for NZ’s sheepmeat and beef will remain strong.” 

He says the implications of drought in Australia, France and Ireland also need to be taken into account, as do global trade issues. 

“The other issue on their radar is the rise of alternative proteins. You can have all your good production systems back home and tick all the boxes such as greenhouse gas emissions and water. But if you get trade protectionism, it shuts you out of those key markets and that can stymie us at the last hurdle.” 

Morrison says BLNZ, as an organisation, has been proactive in dealing with trade issues, e.g. its strategy ‘refresh’ that set specific priorities in trade and other areas of the business. Demand for grass-fed lamb is strong and it is moving into the high end of the market. 

But although lamb is now doing well, no guarantees come with any market. And while sheep and beef farmers are bullish about the future they are watching for challenging headwinds.

“The sheep and beef sector is well positioned to respond to these challenges,” Morrison says. 

“We have the Taste Pure Nature country-of-origin brand which will promote NZ’s premium grass-fed red meat overseas. 

“We’re partnering with central and local government to develop better regulations that work for farmers and the environment, and we’re helping farmers to improve their environmental performance.”

More like this

McIvor moving to OSPRI

Beef + Lamb New Zealand chief executive for the past eight years, Sam McIvor is heading for new pastures at Ospri, which runs NZ’s integrated animal disease management and traceability service.

RMA amendments 'will be a relief to farmers'

The Government’s announcement that a Bill to amend the Resource Management Act (RMA) could be introduced in Parliament next month will be a relief to farmers, says Beef + Lamb New Zealand (B+LNZ).

Featured

McIvor moving to OSPRI

Beef + Lamb New Zealand chief executive for the past eight years, Sam McIvor is heading for new pastures at Ospri, which runs NZ’s integrated animal disease management and traceability service.

Off the radar

A year on and the problems created by Cyclones Hale and Gabrielle has largely dropped off the radar of media and politicians.

National

Well said at the shed

Less Wellington bureucracy and more local, on-farm common sense was the focus of recent meetings held in South Canterbury as…

Wool campaign making strides

A group set up to boost education and promotion of wool says it has made positive strides during the first…

Machinery & Products

Factory clocks up 60 years

There can't be many heavy metal fans who haven’t heard of Basildon, situated about 40km east of London and originally…

PM opens new Power Farming facility

Morrinsville based Power Farming Group has launched a flagship New Zealand facility in partnership with global construction manufacturer JCB Construction.

» Latest Print Issues Online

The Hound

Wrong, again!

OPINION: This old mutt well remembers the wailing, whining and gnashing of teeth by former West Coast MP and Labour…

Reality check

OPINION: Your canine crusader gets a little fed up with the some in media, union hacks, opposition politicians and hard-core…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter