Positive news around the corner?
Could there finally be positive news for the red meat sector after a period of challenging economic conditions?
Sheep and beef farmers on the North Island east coast are getting nervous about the lack of rain, according to Gisborne-based AgFirst consultant Peter Andrew.
The region has had little rain for a long time, the last big fall being just before Christmas, he told Rural News.
“We had a very dry November/December, but most farmers had reasonably good pasture length when they came into this dry patch. Things were in good order stockwise and in pasture length, but farmers are all getting nervous now.”
The lack of significant rain and a lot of days with temperatures in the 20’s hasn’t helped, he says. Interestingly, there hasn’t been a lot of wind, but the heat has been tough on clovers.
Positive for the region has been the good beef schedule. Farmers feared prices would drop and were “proactive” in their beef sales, but with the schedule holding morale is higher.
“Even though it is getting dry, farmers are realistic and positive about the great returns in beef. On the East Coast we run at almost 50% cattle ratios and strong beef prices have put a smile on farmers’ faces.”
Lamb sales are also starting to pick up after what Andrew describes as a “normal” December. The dry, hot weather has forestalled major animal health issues.
“It’s just that we’re running out of clover. We’re getting back to a good old Gisborne summer; this would be about normal for us at this time the year.”
On the west coast, in Taranaki, dairy farmers are having a better than average season.
Stephen Hopkinson of Taranaki Vets, Hawera, says this is despite the fact the region is now starting to dry out. Rain fell on Boxing Day and pasture growth rates are good including clover.
“Animal health has been good all the way through and cow condition is also good. Pasture growth in October wasn’t too flash, but November and December have been really good.”
Hopkinson says maize crops went in late and any grass silage cut now will probably have a lot of seed in it. He says while the amount of silage produced in the region will be down on last year, which was “exceptional”, this season will still be a good one.
Virtual fencing and herding systems supplier, Halter is welcoming a decision by the Victorian Government to allow farmers in the state to use the technology.
DairyNZ’s latest Econ Tracker update shows most farms will still finish the season in a positive position, although the gap has narrowed compared with early season expectations.
New Zealand’s national lamb crop for the 2025–26 season is estimated at 19.66 million head, a lift of one percent (or 188,000 more lambs) on last season, according to Beef + Lamb New Zealand’s (B+LNZ) latest Lamb Crop report.
Farmers appear to be cautiously welcoming the Government’s plan to reform local government, according to Ag First chief executive, James Allen.
The Fonterra divestment capital return should provide “a tailwind to GDP growth” next year, according to a new ANZ NZ report, but it’s not “manna from heaven” for the economy.
Fonterra's Eltham site in Taranaki is stepping up its global impact with an upgrade to its processed cheese production lines, boosting capacity to meet growing international demand.

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