At a recent fact-finding meeting held in New Zealand, producers, farmers and suppliers from the UK, France and New Zealand agreed that China’s increased interest in expensive cuts of lamb was likely to have a significant impact on global supplies.
“New Zealand now has open access to the China market and it is creating a lot of opportunities for them, which they are naturally excited about. There is a huge demand for sheepmeat there and it is not just the cheaper cuts as may traditionally have been the case,” Nick Allen, director of the UK’s red meat levy board Eblex, said after the meeting.
He said more demand from the Far East would influence the global supply of lamb “as New Zealand looks to take advantage of that market”, which is something the UK cannot do yet. However, he said a shift in New Zealand’s focus could reduce the amount of New Zealand lamb entering the UK.
He added: “With a 1.4bn population, it doesn’t need a huge percentage to have rising disposable income to see that the potential demand for higher value cuts is significant and this will impact on supply.”
Meanwhile, chairman of Beef + Lamb New Zealand Mike Petersen said the three major sheepmeat producing countries at the meeting agreed price volatility was not good. He said: “Sheepmeat supplies from the northern and southern hemispheres are complementary and vital to ensure that lamb is available on supermarket shelves in European markets throughout the year.”
Chief executive of the National Sheep Association (NSA) Phil Stoker commented that the three countries should work together to improve the global sheep meat sector. He said: “Building closer relationships gives us the chance to complement and learn from each other, recognising that we are all part of a global farming community that can add value and improve efficiency by working together.”
Further discussions will be held at the Global Sheep Meat Forum in Brussels later this year.