August 7, 2023
New Zealand sees 12% drop in red meat exports in June
New Zealand's red meat exports declined 12% in value in June compared to last year as global markets remained volatile.
Red meat exports reached $935 million in June.
Compared to last June, the value of overall exports decreased by 21% to China to $302 million, 41% to Japan to $41 million and 23% to the United Kingdom to $34 million.
However, there were significant increases in overall exports to Taiwan, Canada and the United States.
Exports to the US were driven by beef, up 60% by volume to 21,673 tonnes and 43% by value to $200 million, the highest monthly value since March 2015.
Sirma Karapeeva, chief executive of the Meat Industry Association, said that the improved US results indicated an easing of the drought in the country, resulting in a reduction in domestic beef production and tightening supply.
"We are also now seeing the benefits of (New Zealand's) free trade agreement with the UK, which came into force on May 31," Karapeeva said. "Overall, beef exports to the UK were worth $3.3 million in June. Previously, beef exports would have likely been under one of the quotas with a tariff rate of 20%, so we have already seen tariff savings of around $650,000 in the first month of the FTA."
Total beef exports were up 12% on June 2022 to 52,773 tonnes but the value was down 3% to $477 million. Beef exports to most of the major North Asian markets were down in June compared to last year, reflecting the pattern of recent months.
China was down 26% to $158 million, Japan down 48% to $23 million and South Korea down 70% to $8 million. This compares to historically very high exports to Japan and South Korea in June 2022, although the value of exports is still below most recent June months.
Taiwan saw a 35% increase to $21 million and Canada a 247% increase to $18 million from a very low level of exports last June.
Total red meat exports for the year's second quarter were worth $3.0 billion, down 5% from last year's second quarter.
- NZ Herald
