Tuesday, 04 October 2016 13:55

New meat strategy positive – MIA

Written by  Pam Tipa
Beef+Lamb NZ chair James Parsons. Beef+Lamb NZ chair James Parsons.

Beef+Lamb NZ’s new red meat marketing strategy results from a step-up in collaboration by the wider red meat sector, says Meat Industry Association chief executive Tim Ritchie.

And the new approach is not without valuable precedent. The refocused strategy, with BLNZ directing promotional efforts to new markets, is similar to decades ago when North American and Japanese markets were targeted after Britain joined the European Union (then known as the Common Market), Ritchie says.

“It has been timely to re-evaluate what is appropriate for today’s environment – to see where is there market failure or a need for collective activity,” Ritchie told Rural News.

“The companies are well integrated into the mature markets, [so now] it is logical to have some sort of re-orientation of BLNZ resources into emerging markets, where it is important to lay foundations for the future.

“This is just as the BLNZ legacy organisations – the Meat Board and [similar] – did in North America and Japan decades ago.

“When Britain joined the [European Economic] Community there was a lot of activity in North America and Japan.”

Now it is logical to work together on marketing in the new markets “with that NZ story which underpins the value we can extract from a market,” Ritchie says.

“We must sell ourselves, the nature of our farming systems and our processes as all being part of our value proposition. It is entirely logical to do this on a whole-sector basis because there is a common message there – it is almost pre-competitive.”

BLNZ chairman James Parsons says development of a red meat sector ‘story’, capturing the culture, values and integrity long associated with NZ sheep and beef farmers, is the angle they aim to exploit, to differentiate NZ from its competitors in the international marketplace.

The story will build on NZ’s farming systems using free-range, grass-fed livestock farmed to the highest standards of animal welfare and authenticated through a national quality assurance (QA) programme. This will be developed through the Red Meat Profit Partnership (RMPP).

Ritchie says the story makes sense and will talk about NZ in the emerging markets seen as important to us in the future.

“The existing mature markets will still be important too. We need to always capitalise on all opportunities and have good competitive tension between all markets. The more people we have competing to get our product, the more we can charge. That competitive tension -- the new markets versus the mature markets -- that’s important.

“The red meat sector story will be used by the meat companies in the mature markets as well. They will be able to integrate that into their marketing. It is collateral – it will be like a toolbox of stuff they can lift out and blend into their own story, talking about all the benefits of the grass, the water… all those positive things.”

The new initiatives are not unilateral; they will involve “both sides of the farmgate working together and looking at what is necessary for the future, [identifying] where there is market failure, and activity not being tackled. That would be for the long term benefit of NZ and the industry -- “in these new emerging markets”.

“It has been very timely to re-evaluate where the BLNZ market resource is focused and reorient this towards emerging markets. [Our aim is] to work closely with the meat companies – the people doing the selling, that is sensible -- and providing the collateral the companies can also integrate into their own marketing in the mature markets.

“This is positive: both sides working together, not taking a competitive position. It is in the long term interests of farmers, meat processors and meat marketers that we grow the industry and make it more profitable.

“We’ve had dis-investment over the last decade or so with the growth in dairy, so we’ve got to do everything we can to lift profitability and ensure there is a good future for all participants in the sector.”

More like this

Red meat's China push

The red meat sector is launching a new campaign to lure Chinese consumers to New Zealand grass-fed beef and lamb.

Featured

Better animal genetic gain system

A governance group has been formed, following extensive sector consultation, to implement the recommendations from the Industry Working Group's (IWG) final report and is said to be forming a 'road map' for improving New Zealand's animal genetic gain system.

SIDE 2025's new schedule, venue

Annual farmer gathering, the South Island Dairy Event (SIDE), is set to make history as it heads to Timaru for the first time.

Taranaki piggery goes solar

Installing 400 solar panels at their Taranaki piggery and cropping operation will have significant environmental, financial and animal welfare benefits for the Stanley family.

Editorial: Keep FTAs coming

OPINION: The dairy industry will  be a major beneficiary of a new free trade deal between NZ and the Gulf Co-operation Council (GCC).

National

Food charity to hold online auction

Meat the Need, New Zealand’s dedicated charity delivering locally sourced protein meals to food-insecure communities, is launching an online National…

Machinery & Products

An ideal solution for larger farms

Designed specifically for large farms that want to drill with maximum flexibility, efficiency and power, the new Lemken Solitair ST…

Landpower increases its offering

Landpower and the Claas Harvest Centre network will launch the Claas Scorpion and Torion material handling solutions to the market…

» Latest Print Issues Online

The Hound

Leaky waka

OPINION: Was the ASB Economic Weekly throwing shade on Reserve Bank governor Adrian Orr when reporting on his speech in…

Know-it-alls

OPINION: A reader recently had a shot at the various armchair critics that she judged to be more than a…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter