USDA Market - News New Zealand Meat Tuesday, Feb 25, 2003
Beef: U.S. imported manufacturing beef market continues to disappoint, with cow once again taking biggest hit; down 2c to a 4 month low of 90c/lb. The effect in Asia may be more immediate because those markets already strengthening, mainly due to lower Australian production. Cheap South American beef could displace NZ product if price differential becomes too high. Fundamentals in place for a resurgence in beef's fortunes but a rise in U.S. consumption is vital for this to happen.
Lamb: With Easter trade in full swing, most lamb markets remain good. This season, high NZ production levels are coinciding with peak Easter demand period, and should mean lower product availability after Easter, a time when demand does tend to fall off. Strong lift in pelt prices took values back up to levels last seen 18 months ago in US$ terms. This could not compensate for rising Kiwi$, up 3% against Sterling and 1% against Euro and US$.