The Big Meat Debate

Sheep and beef farmers versus meat companies - what's new?

It seems that one group is always blaming the other for the collective woes of their industry but they never get together and reach a solution.

Farmers argue meat companies don't pay enough, meat companies say they do, if farmers will keep to the contract arrangements made at the start of the season. Farmers say there are too many variables for them to take these medium term decisions, particularly with the oscillating value of the New Zealand dollar and price movements internationally. They're also aware there may well be a better offer’s around the corner. Meat companies say either farmers shoulder those risks or the business does, and that effects the health of the company (doubly important if it's a cooperative), and what they're able to get out to the market with at the start of the season.

Will they ever get together and agree on a way forward?

There have been plenty of attempts in the past and a lot of abject failures, but that shouldn't stop them trying. They only need look at the example of the wool industry to see the grim reality of what will befall them if they don't put past differences aside and put all their energy into constructing a profitable future - for everyone.