New Zealand Red meat exports slump due to weaker Chinese demand

New Zealand exported $2.58 billion worth of red meat products in the first quarter of the year, down 5% from the first quarter of 2023 and the lowest value for the quarter since 2018, according to an analysis by the Meat Industry Association (MIA).

The weaker Chinese market was partly offset by good demand from North America and there are signs of some recovery in the United Kingdom and Japan.

However, MIA chief executive Sirma Karapeeva says China remains challenging, with exports down 27% to $796 million.

Most other top markets remained steady or increased. Exports to the US were up by 11% to $658 million, the UK by 44% to $126 million, Japan by 26% to $117 million, and the Netherlands steady at $114 million. However, exports to Korea dropped 30% to $46 million for the quarter, and exports to Germany dropped by 185 to $62 million.

Sheepmeat export volumes were up 3% to 119,244 tonnes, and beef by 2% to 129,375 tonnes. However, the value of sheepmeat was down 5% to $1.04 billion. Beef remained unchanged at $1.08 billion.

“Although chilled sheepmeat volumes are still below pre-pandemic levels, it is encouraging to see some recovery, while chilled beef exports have largely recovered,” notes Karapeeva.

“The high-value chilled meat offering is largely because of innovation and research and development in processing and packaging, which is providing a longer product shelf life.

“While this is still a small volume compared to frozen exports, it reflects the work New Zealand processors and exporters are doing to create value add products and to meet changing market demands.”