Beef OptimismTuesday, Aug 8, 2000
Beef rearers are in a very optimistic mood and many market indicators show there is good reason to be
hopeful for improved returns from this next season.
A number of reports in the past week or two show a bit of repositioning is occurring in the supply market
with extra beef being produced out of South America while some confusion still remains with
the role European beef will make on world markets.
The welcome influence of the WTO reviews may be starting to show there is an opportunity for equity
of treatment in a few controlled markets for beef exporters.
However the major influence on NZ farm gate beef prices remains the exchange rate. It seems that some
sort of confrontation must arise between the actions of the reserve bank and the wish of the government
to maintain a growing economy with low cost imports.
Should beef producers trust the “dairy farmers daughter” to set a sensible balance as she
goes about her business of “giving the workers a turn”.