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

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).

Winning back farmer trust

One year into her role as Beef + Lamb New Zealand chair, Kate Acland is continuing to work hard and win back farmer trust.

Tough times on farm

Beef + Lamb New Zealand chair Kate Acland says while farmers are quite positive about the new Government, the economic situation on farm is "pretty brutal".

Featured

TV series to combat food waste

Rural banker Rabobank is partnering with Food Rescue Kitchen on a new TV series which airs this weekend that aims to shine a light on the real and growing issues of food waste, food poverty and social isolation in New Zealand.

Celebrating success

The Director General of MPI, Ray Smith says it's important for his department to celebrate the success of a whole range of groups and people around the country.

Biosecurity award for M. bovis work

A small company which mobilised veterinarians around the country to deal with Mycoplasma bovis was one of the winners in this year's Biosecurity Awards, held at Parliament.

Cyclone's devastating legacy

One of the country's top Māori sheep and beef farms is facing a five-year battle to get back to where it was before Cyclone Gabrielle struck just over 14 months ago.

National

Machinery & Products

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.

AGTEK and ARGO part ways

After 12 years of representing the Landini and McCormick brands in New Zealand, Bay of Plenty-based AGTEK and the brands’…

100 years of Farmall Tractors

Returning after an enforced break, the Wheat and Wheels Rally will take place on the Lauriston -Barhill Road, North-East of…

» Latest Print Issues Online

The Hound

Cut with care

OPINION: The new government has clearly signalled big cuts across the public service.

Bubble burst!

OPINION: Your canine crusader is not surprised by the recent news that New Zealand plant-based ‘fake meat’ business is in…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter