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A UK supermarket has moved one step closer to the looming protein shortage while farmer groups around the world are all singing the same song - improve the prices before it's too late.
The upshot of all this is that supermarkets have been taking a bigger share than in previous times. Consumers have still been paying plenty for beef and lamb but a "reasonable" share of that money has just NOT been making it back to the producers - in this case the farmer.
Because of this, farming sheep and beef (and pigs for that matter) is no longer economic in countries such as the UK, NZ and at times, Australia.
So, as the farmer groups have been asking: "Where is the beef and lamb of tomorrow going to come from?"
Most RecentMost Recommended Comments (4)
at 13:54 on January 29th, 2008
jdkk, I like this story. It's good stuff. What impact is this having on farmers in NZ, the UK and Australia?
at 18:05 on January 29th, 2008
What a good reason for farmers to diversify into more environmentally friendly produce.
Go veg!!!
at 19:37 on January 29th, 2008
This story should be a wakeup call for people who shop price rather than quality. Farmers in Canada are struggling with onerous regulations that will put them out of the beef business. We could switch to an all vegetarian diet, but that will bring with it it's own set of problems, especially with the fuel industry sucking up vast amounts of food crops. Thanks for presenting this, it's relevant and timely.
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jdkkat 02:26 on February 6th, 2008
Well so far it's not having much impact on farmers in New Zealand at all because we are getting only a pittance for our lamb and beef (the supermarkets in the UK, especially have us over a barrel) and many farmers can't even break even.
Our sheep and beef numbers are falling, in fact the sheep numbers in my region are falling dramatically as farmers either convert their farms to dairying, do dairy grazing or sell out altogether.
At present land in the finishing areas (where lambs and beef can be grown out to good weights) has gone up a lot in value - probably about twice the value of only 1 to 2 years ago. The upshot is that some sheep and beef farmers are sitting on land of huge value... but they have no money to survive on. Many farmers in my area have had to re-finance twice in the past year so things are getting desperate.
It seems to me that farmers right around the world are getting done like a dog's dinner... I don't know that it's the consumer that is to blame. I'm inclined to think that the only winners have been the huge supermarket chains.
Have found an interesting article on chicken. Sounds like the same thing is about to happen to them. Will post it tomorrow.