The livestock carriers in New Zealand are experiencing increased financial pressure due to rising fuel costs, driver shortages, and restrictions in space. Processors are filling trucks with shared loads of stock from different producers to keep them happy. This means that transporters can't load full loads at farms which increases the turnaround time, increasing farm visits and kilometers covered.
These problems combined have caused one of the largest carriers that have been in business for more than 100 years to close its doors last week. Insiders are expecting there will be more to follow. This will eventually put further upward pressure on meat prices. Transport companies are in consultation with the meat industry to raise their tariffs and negotiate better payment terms which is around 90 days currently.