Changing export markets give confidence in industry’s future

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.

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Trump encourages trade winds to blow cold

It hasn’t taken long for the hawkish new US President to throw several cats among the trade pigeons or doves if you prefer. He has wasted no time in signing an executive order to withdraw from the TPP over which 12 countries had slaved for seven years, but now the participant that probably caused the most delay has acted to ensure it won’t happen at all.

South America set to dominate beef trade

Rabobank’s quarterly report on the global beef market maintains South American beef producers, particularly Brazil, will be the major influence on the beef trade in 2016.

Quota allocations suggest change in balance of industry power

The release of the 2016 quota allocation which Alan Williams analysed in detail (Farmers Weekly 11^th January) show some considerable shifts in tonnage entitlements between the major meat exporters. The quota is allocated as a percentage of the total allowable quota for shipment to the EU for sheepmeat and USA for beef during a calendar year; in the last two years New Zealand has only filled around 75% of the EU quota and 90% and 98% of the USA beef quota.

NZ and Australia likely to trigger beef quota

For the first time since 2004 New Zealand and Australian beef exporters look almost certain to run out of US beef quota before the end of the year. High kills in both countries have seen an excess of beef being processed, well ahead of the normal annual production trend.