1 00:00:00,880 --> 00:00:02,280 Speaker 1: So hes some good news for you. It looks like 2 00:00:02,320 --> 00:00:05,800 Speaker 1: our red meat industry might have survived despite Trump's tariffs. 3 00:00:05,840 --> 00:00:06,320 Speaker 2: For now. 4 00:00:07,320 --> 00:00:09,680 Speaker 1: In New Zealand's red meat exports jumped way for this 5 00:00:10,039 --> 00:00:13,280 Speaker 1: twenty nine percent in September to seven hundred and thirteen million. 6 00:00:13,600 --> 00:00:16,360 Speaker 1: Overall exports for the third quarter hit two point twenty 7 00:00:16,440 --> 00:00:19,480 Speaker 1: seven billion. That's up twenty percent on last year. Nathan 8 00:00:19,520 --> 00:00:21,919 Speaker 1: guy is the Meat Industry Associations share and joins me. Now, 9 00:00:22,000 --> 00:00:22,880 Speaker 1: good morning to here, Nathan. 10 00:00:23,440 --> 00:00:24,160 Speaker 2: Yes, good morning. 11 00:00:24,280 --> 00:00:26,040 Speaker 1: This is looking pretty good for the full year figures, 12 00:00:26,079 --> 00:00:26,360 Speaker 1: isn't it. 13 00:00:27,280 --> 00:00:31,440 Speaker 2: Oh, it's fantastic. Yes, it's been a couple of lean 14 00:00:31,520 --> 00:00:34,880 Speaker 2: years for our farmers when we look back and they're 15 00:00:34,920 --> 00:00:38,200 Speaker 2: really celebrating returns at the moment, and so are our processes. 16 00:00:38,840 --> 00:00:41,600 Speaker 2: So there's a lot of optimism right across the primary sect. 17 00:00:41,600 --> 00:00:44,519 Speaker 2: They're particularly in the red meat sector. So fighting times 18 00:00:44,560 --> 00:00:44,919 Speaker 2: all right. 19 00:00:45,000 --> 00:00:48,239 Speaker 1: So we with these figures are surprised you given all 20 00:00:48,280 --> 00:00:51,040 Speaker 1: the negative factors that have been influencing. 21 00:00:52,040 --> 00:00:55,440 Speaker 2: Well, there's always geopolitical issues and headwinds that exporters have 22 00:00:55,520 --> 00:00:58,760 Speaker 2: to face in the US. It's been interesting times, hasn't it. 23 00:00:58,800 --> 00:01:02,280 Speaker 2: Because we've seen the Tara ten percent, and everyone thought 24 00:01:02,320 --> 00:01:05,440 Speaker 2: that was sort of doomsday. And then fifteen percent, we 25 00:01:05,520 --> 00:01:08,080 Speaker 2: also thought, oh gosh, that's going to be really problematic 26 00:01:08,120 --> 00:01:12,120 Speaker 2: for our exporters. The reality is the demand's been really strong, 27 00:01:13,000 --> 00:01:15,200 Speaker 2: and yes there's been a few arm wrestles at the 28 00:01:15,240 --> 00:01:18,720 Speaker 2: border right here with customers who want to force the 29 00:01:18,760 --> 00:01:22,400 Speaker 2: fifteen percent back on our processes here and returns for 30 00:01:22,520 --> 00:01:25,920 Speaker 2: our processes. Quite often they play a high volume game 31 00:01:25,959 --> 00:01:28,080 Speaker 2: and if they can get high returns, then they win. 32 00:01:28,240 --> 00:01:33,360 Speaker 2: But at times it's quite lean returns, so they're excited 33 00:01:33,560 --> 00:01:37,720 Speaker 2: that they're actually winning at the moment. That's because Ken, 34 00:01:37,840 --> 00:01:40,679 Speaker 2: I'm just going to say sorry, that's because the demand 35 00:01:40,840 --> 00:01:43,720 Speaker 2: is particularly strong. They've had a couple of very bad 36 00:01:43,800 --> 00:01:47,240 Speaker 2: droughts in the US and they're heard rebuild is going 37 00:01:47,280 --> 00:01:49,680 Speaker 2: to still take a few years to actually flow through. 38 00:01:50,280 --> 00:01:53,600 Speaker 2: So we're very fortunate that we produce high quality red meat. 39 00:01:54,160 --> 00:01:58,480 Speaker 2: Consumers love what we do. There's a very strong hamburger 40 00:01:58,520 --> 00:02:03,080 Speaker 2: market up there, tree burgers per head per week they consume, 41 00:02:03,640 --> 00:02:05,640 Speaker 2: so it's a bit like a staple for us here 42 00:02:05,640 --> 00:02:09,760 Speaker 2: in n Z. And then certainly we're filling that market 43 00:02:09,840 --> 00:02:12,680 Speaker 2: for US consumers, and we also do high value products 44 00:02:12,680 --> 00:02:14,840 Speaker 2: on the both sides of the US as well. 45 00:02:15,400 --> 00:02:18,960 Speaker 1: So the the big positives here are the EU up 46 00:02:19,040 --> 00:02:22,720 Speaker 1: fifty percent and China up twenty seven percent, and bizarrely, 47 00:02:23,360 --> 00:02:27,960 Speaker 1: North America beef exports are down. So what's happening with 48 00:02:28,000 --> 00:02:28,919 Speaker 1: the United States. 49 00:02:30,400 --> 00:02:32,359 Speaker 2: Well, I think we've gone through a period with a 50 00:02:32,480 --> 00:02:36,080 Speaker 2: fifteen percent tariff where export has just sat and waited 51 00:02:36,080 --> 00:02:37,960 Speaker 2: for a while and wondered what would happen, And then 52 00:02:38,000 --> 00:02:40,560 Speaker 2: they realized that there's still huge demand up there in 53 00:02:40,600 --> 00:02:44,720 Speaker 2: the US. So that's why the volume numbers have come 54 00:02:44,800 --> 00:02:48,200 Speaker 2: back a little bit. But the value still is incredibly high. 55 00:02:48,560 --> 00:02:51,760 Speaker 2: And exports always go where the money is. That's their job, 56 00:02:52,040 --> 00:02:56,200 Speaker 2: and they can, you know, almost been on a dime, 57 00:02:56,280 --> 00:03:00,079 Speaker 2: not quite, but they realize that there's money to be 58 00:03:00,160 --> 00:03:02,440 Speaker 2: made in the US. It's great that age is coming 59 00:03:02,480 --> 00:03:05,000 Speaker 2: back on stream. China looks like it's having a few 60 00:03:05,040 --> 00:03:09,760 Speaker 2: green shoots. Your economies are starting to move, so overall, 61 00:03:10,639 --> 00:03:13,160 Speaker 2: very good times for our processes and that's flying through 62 00:03:13,160 --> 00:03:14,120 Speaker 2: to farmers as well. 63 00:03:14,320 --> 00:03:18,280 Speaker 1: So how sustainable is this? Will it continue or will 64 00:03:18,320 --> 00:03:19,399 Speaker 1: finally the tariff's splint. 65 00:03:21,680 --> 00:03:28,120 Speaker 2: Well, demand's still looking good. Whether things change in time, 66 00:03:28,280 --> 00:03:30,160 Speaker 2: I think it's going to take a few years for 67 00:03:30,240 --> 00:03:33,160 Speaker 2: them to rebuild their herd in the US. There is 68 00:03:33,200 --> 00:03:36,440 Speaker 2: some pressure there always has been from South American countries, 69 00:03:37,200 --> 00:03:41,000 Speaker 2: and we follow the geopolitical stuff very closely. We saw 70 00:03:41,040 --> 00:03:44,520 Speaker 2: that President she and President Trump had a reasonable meeting 71 00:03:44,640 --> 00:03:47,440 Speaker 2: last week. It's quite a bit of Brazilian brief that's 72 00:03:47,480 --> 00:03:50,760 Speaker 2: not going into the US, that's going into China, so 73 00:03:50,800 --> 00:03:53,960 Speaker 2: there's all sorts of things at play. We're very pleased 74 00:03:54,000 --> 00:03:56,320 Speaker 2: at Prime Minister Luxe and how to face to face 75 00:03:56,400 --> 00:04:01,120 Speaker 2: meeting with President Trump that's in a while coming, and 76 00:04:01,160 --> 00:04:04,720 Speaker 2: it sounded as it was extremely successful. So we tip 77 00:04:04,760 --> 00:04:07,080 Speaker 2: our hat to the Prime Minister and Todd McLay and 78 00:04:07,080 --> 00:04:08,720 Speaker 2: the work that they're doing in the trade space. 79 00:04:09,240 --> 00:04:11,480 Speaker 1: And I tip my hat to the farmers, Nathan, who 80 00:04:11,600 --> 00:04:14,240 Speaker 1: are doing great jobs. And you know, if America grows 81 00:04:14,280 --> 00:04:17,280 Speaker 1: and EU and China carries on, this is only good days. 82 00:04:17,279 --> 00:04:18,480 Speaker 1: And I thank you so much for your time. That 83 00:04:18,560 --> 00:04:22,560 Speaker 1: is Nathan Guy for more fam Early Edition with Ryan Bridge. 84 00:04:22,640 --> 00:04:26,080 Speaker 2: Listen live to News Talks. It'd be from five am weekdays, 85 00:04:26,360 --> 00:04:28,400 Speaker 2: or follow the podcast on iHeartRadio.