Archive for the ‘Consumer demand’ Category

Steady progress with Primary Growth projects

June 14, 2017

It is eight years since the Primary Growth Partnership programme was announced by the then recently elected National Government. At the end of 2016 there were 20 projects under way and just two completed, but 30th June sees the completion of FarmIQ, the largest of the red meat sector programmes. This seems to be an appropriate point to evaluate the success of PGP, in particular the six meat and two wool programmes which have been allocated total Crown and industry funding of $342 million. (more…)

Fairton closure unfortunate but inevitable

May 18, 2017

Silver Fern Farms decision to close its Fairton plant did not have much to do with Shanghai Maling’s investment, but was only a matter of time. Even the workforce had apparently come to accept the inevitable after seeing lamb numbers through the plant decline sharply from more than 1 million in 2010 to less than 500,000 last season and 325,000 in the latest six months. (more…)

British agricultural report sees NZ as model for the future

May 16, 2017

A recently published report entitled The Future is Another Country by British consulting firm, Ferguson Cardo, attempts to describe a positive picture of post Brexit Britain, using the example of New Zealand in the 1980s as proof of what is possible. The authors base their hypothesis on certain key events, including the removal of subsidies, dismantling the producer boards’ funding model and compulsory acquisition rights, and a refocus away from the UK towards Asia. (more…)

Red Meat Story about more than brand image

February 22, 2017

There has been a great deal of progress towards the development of the New Zealand Red Meat Story, but most of it has been happening under the radar. That is all about to change. B+LNZ is holding a workshop on 1st and 2nd March at which a wide group of industry participants – farmers, government, processors and exporters – will gather to start formulating the detail of the story, assisted by a strong line-up of guest speakers with international experience in brand development. (more…)

Meat exporters and farmers must get used to change

November 22, 2016

As if Brexit wasn’t a big enough shock, the US presidential election has really set the cat amongst the pigeons. Commentators of all nationalities and political inclinations have literally no idea how a Trump presidency will affect the world order, from trade agreements and global interest rates to immigration or deportation, let alone internal security issues and relationships with other nations. (more…)

Alliance in good shape

November 12, 2016

Alliance has produced a solid result for the year ended 30 September with a pre-tax profit of $10.1 million compared with $7.9 million for the previous year achieved on 9% lower revenue of $1.366 billion. Of greater significance to farmers is the decision to distribute $9.8 million to shareholders, while the company’s equity position has improved from 58% of assets to 72%. Debt reduced from $129 million to $41 million with no seasonal debt at year end. (more…)

Differences between Australian and NZ meat industries

October 27, 2016

Information obtained from Sydney based consultancy agInfo shows a very high degree of procurement competition for domestic market supply, especially for beef; this situation has been driven by a tightening of livestock supply combined with aggressive pursuit of retail market share by Woolworths. (more…)

It isn’t all the meat companies’ fault

October 26, 2016

I’m not a frustrated farmer who has to worry about the prospects for the new season or put up with receiving less money than expected for my stock, but for the sake of sanity and balance I believe it to be necessary to examine the factors affecting market returns. After a very relaxing holiday blessed by good food, wine and weather, I returned to find the north had been hit by almost incessant rain, meaning a late spring, and the meat industry beset by rumours of procurement wars combined with dire livestock predictions. (more…)

Trade access landscape increasingly crowded

August 17, 2016

At the same time as the TPP is struggling to get across the finish line before the next American President takes over early next year, there are several signs of access to the USA freeing up for some of New Zealand’s competitors.

 

The announcement of greatest significance concerns access for Brazilian beef after 17 years of negotiations which will be permitted to begin in September. (more…)

Clear vision for red meat sector in sight at last

August 17, 2016

After many years of relatively low levels of expenditure on market development and promotion, the red meat industry faces a major challenge in deciding how best to create the desired image to appeal to the world’s affluent consumers. Currently expenditure is divided between generic promotion, funded by farmer levies, and brand advertising by the meat exporters, with a small amount of joint funding in some of the less mature markets. (more…)