Posts Tagged ‘ANZCO’

Agility and innovation essential for meat exporters

May 24, 2020

The days of bemoaning our meat exporters’ lack of flexibility when everything was exported as frozen carcases are now a distant memory. Even the days of growing the profitable chilled lamb business without upsetting the EU authorities are receding into the distant past, as meat marketers cope with the complexities of marketing to previously time poor, technologically sophisticated consumers around the world now living in lockdown without ready access to restaurants.

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Differing responses to wage subsidy scheme

May 6, 2020

The country’s meat processors have followed two distinctly different paths in response to the government’s wage subsidy scheme which is available to all businesses for 12 weeks, providing they can substantiate a 30% drop in revenue during the period. Silver Fern Farms, Alliance, ANZCO, Taylor Preston and Blue Sky Meats have all claimed the subsidy to varying extents, whereas AFFCO, Greenlea and Wilson Hellaby have decided it is not justified or necessary, at least partly on ethical grounds. (more…)

Overseas markets holding up

April 30, 2020

In a recent conversation, Alliance CEO David Surveyor described world red meat markets by comparing them to traffic lights. Contrary to the evidence earlier in the year, when buyers stopped buying because of Chinese New Year closely followed by the Covid-19 shutdown, China has emerged as the brightest light with the traffic lights firmly set on green. The composition of Chinese orders has changed since the virus outbreak with retail and online sales growing considerably, while there are signs of hot pot outlets starting to reopen. (more…)

Brexit impact to drag on and on

September 20, 2019

Any hopes Brexit would be sorted this year are receding further into the distance with every new twist and there’s a strong chance the situation will have changed again by the time you read this. For obvious reasons I won’t make firm predictions about the likely outcome, because it’s impossible to predict which of several will eventuate, but it is possible to assess the long and short term risk factors for New Zealand exporters who must get on regardless with securing orders and satisfying customers. (more…)

Meat company results only average for 2017 – will 2018 be any better?

June 11, 2018

ANZCO’s lacklustre result for 2017, posted last month, concludes the financial reporting for last year by the three major processors which publish their results. ANZCO’s pre-tax profit was $1.8 million which compares disappointingly with Alliance Group’s $16.7 million profit and Silver Fern Farms Cooperative’s 15 month profit of $7.8 million. (more…)

South Island farmers still being short-changed

May 21, 2018

When it comes to being paid for their livestock, South Island farmers appear to be earning considerably less for some species than their North Island counterparts. Trying to unpick the reasons for the differential is complicated by a number of factors, like traditional meat company secrecy, schedule price as distinct from premiums paid for volume supply, cooperative pool payments and loyalty rewards, shorter seasons, cartage, labour agreements and relative plant efficiencies. (more…)

Changing export markets give confidence in industry’s future

February 18, 2018

The global market for New Zealand’s meat exports and exporters is undergoing quite a rapid change, judging by movements in the industry’s latest quota entitlements and market destinations. The differences between exporters and markets over a ten and five year period provide an interesting snapshot of the relative position of the meat companies and the impact of changing market dynamics. (more…)

Meat company choice clearer than it’s ever been

December 9, 2017

November used to be the month when we could get a comprehensive idea of the financial state of the meat industry because annual results were published in quick succession by three of the major processors: Alliance, Silver Fern Farms and AFFCO. When AFFCO was absorbed as a wholly owned subsidiary of Talley’s, there were still the two cooperatives to provide a comparison, but now SFF’s balance date is 31st December. So we must now wait until March to find out about ANZCO and SFF. This means Alliance’s result is the only one which can give a factual record of the traditional meat year, while it is still reasonably fresh in the mind. (more…)

EU – Japan trade deal ups the ante

July 13, 2017

The FTA announced just before the G20 meeting in Hamburg is touted to bring substantial benefits to EU agricultural producers. It will put EU exporters on a level playing field with countries like Australia which already have an agreement, but notably it will put New Zealand at an even greater disadvantage until our trade negotiators can achieve a similar outcome. (more…)

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…)