NZ red meat exports up 6% as global supply tightens

MIA chief executive Sirma Karapeeva says this has resulted in a lift in export prices and that the sector performed strongly again during May, with overall exports worth $1.15 billion, a 6% increase year-on-year.

"While the volume of exports for both sheepmeat and beef was down compared to last May, there was an increase in export value, due to high per kg values. This reflects the red meat sector's continued shift from volume to value, in line with out ambition to move further up the value chain," she says.

Karapeeva says the US was the largest market for the month with exports worth $327 million, down 5% but compared to very high exports in May 2024. And she says exports to China continued to recover, up 6% to $240 million; the UK rose 44% to $89 million and Canada by 174% to $88 million, including record volumes and value for beef.

This trend is evident in the report from the MIA which shows that overall volumes of sheepmeat exported dropped 11% compared to May 2024. However, the value increased 18% to $451 million.

Sheepmeat volumes to China dropped 17% to 12,974 tonnes but the value increased by 9% to $93 million.

There was a similar situation with beef export volumes. These were down 10% to 47,789 tonnes but the value rose by 6% to $531 million, with the average export value increasing to $11.10/kg from $9.43/kg last May.

Karapeeva says Canada was a standout growth market for beef, with exports of 5727 tonnes worth $65 million, an increase of 170% and 235% respectively from last May.

She says the red meat sector continues to be a strong driver of economic growth for NZ, particularly considering this very good performance is off a lower base than other sectors, such as dairy.

"We're hearing from red meat processors that margins remain tight. That means that farmers are receiving the lion's share of returns, which is great news for rural communities," she says.