Meat industry faces challenges positively

This season is more of a challenge for the meat industry than last, although suppliers are still reasonably comfortable in spite of the lower lamb price which has now dipped below the $100 mark.

Demographics alter consumer demand patterns

Demographic changes will present challenges for the red meat sector in spite of apparently unstoppable world population growth. Several speakers at the Red Meat Sector Conference made reference to the possible effects of these changes over the next 40 years, some of which will be positive, like the growth of the Indian and Chinese middle class, and others negative.

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Red Meat Sector Working Together

This week’s joint red meat sector conference in Rotorua was the first time ever farmers and processors have met at their own conference to listen and contribute to discussions on the future of their industry. On the face of it, the conference was a great success – well attended, stimulating presentations, constructive networking.

Quick wins important for sector strategy

It’s more than a month now since the release of the meat sector strategy, so I thought it was time to assess if any progress has been made since then.

Superb analysis, now hard work begins

The Red Meat Sector Strategy released at the Beehive last week is an impressive document, producing an objective assessment of the problems and opportunities that face the sector, as well as pointing the ways forward for the next five to fifteen years. At the end of that period, assuming everything has happened as recommended (it won’t or can’t!), the industry will have grown by $3.4 billion or more than 50% by 2025.

Some simple ways to improve the meat industry

Much is said and written about the cost to the farmer and industry as a whole of overcapacity, while many commentators see fundamental changes to the selling, processing and procurement structure as the only way to solve the problem. There are many suggestions ranging from single desk selling to company mergers to consumer led breeding and marketing of ‘designer’ products.

Current season better than last

After what all processors termed a challenging season last year, the mood this season is decidedly more buoyant after a solid first four months when dry weather throughout the country produced good stock flows. Regular rain since early February in the main farming regions has slowed things down a bit, but the onset of autumn and the dairy cow cull will ensure reasonably consistent livestock availability without any likelihood of a seasonal peak.

Silver Fern Farms putting money where its mouth is

For obvious reasons, I had some questions about SFF chairman Eion Garden’s comment on SFF’s proposal for PGP funding to invest $60 million in developing new strategies ‘that will grow the industry’ (Farmers Weekly 21 June). For a start, where on earth would SFF find $60 million and how would they invest twice that amount?

Meat Sector Strategy Nearly Underway

Meat & Wool NZ (the name change to Beef & Lamb NZ takes effect 1 July) and the MIA are moving quickly to begin the sector strategy development process which was somewhat derailed firstly by the collapse of the single industry good organisation proposal and secondly by the restructuring of MWNZ as a result of the referendum. Although neither party has yet formally agreed the terms of reference, the appointment of a facilitator and formation of a governance group are expected soon.