The value of New Zealand’s red meat sector exports reached $693 million during October, a 27 per cent increase year-on-year, according to an analysis by the Meat Industry Association (MIA). Sheepmeat was a standout performer with the value increasing by 25 per cent to $309m. The major sheepmeat markets by value were China, up 25 per cent to $131m, the United States, up 54 per cent to $46m, and the Netherlands, up 94 per cent to $29m. Sirma Karapeeva, chief executive of MIA, said a mixture of supply constraints and good demand in key markets had contributed to the high sheepmeat prices. These factors included Brexit-related issues and Australia rebuilding its sheep flock. “The average Free on Board* (FOB) value for sheepmeat exports for the quarter was $12.52/kg,” said Ms Karapeeva. “This was a record level and the first time that the average monthly FOB value has been above $12/kg. “Value growth in our key global markets was across the board, with beef up 28 per cent to $231m and co-products increasing by 30 per cent to $153m.”
Overall, the value of China’s imports of New Zealand red meat was up 34 per cent to $262m, the United States by 47 per cent to $138m, Japan by 29 per cent to $31m and the Netherlands by 76 per cent to $30m. UK sheepmeat exports to the EU have been affected by Brexit, said Ms Karapeeva. “Most of the United Kingdom’s sheepmeat exports - around 90 per cent - normally go to the 27 European Union countries but its exports to that market are down 24 per cent so far this year.”