NZ expects a decline in red meat exports

According to Beef + Lamb New Zealand’s (B+LNZ) New Season Outlook 2020–21, the challenging environment is predicted to cause a decline in both sheepmeat and beef export receipts in 2020–21. The Outlook forecasts lamb export receipts to decline by almost 15% and sheepmeat co-products to decline by around 8% compared to the 2019–20 season. Beef and veal export revenue is forecast to decline by 9% on 2019–20. The uncertainty in the export market will be reflected in farm-gate prices and subsequent farm profitability says B+LNZ’s Chief Economist Andrew Burtt. "Much of the predicted profit decline is a result of COVID-19, the drought of 2020 impacting production and increasing competitiveness in key beef export markets. This Outlook sets the scene for a challenging year. Farmers will tightly control expenditure and focus on what can be optimised behind the farm gate to make the most of the season and be best placed for the next. China’s demand for meat protein continues to be fuelled ...