INDEPENDENT NEWS

Bay Farmers Want Meat Industry Competition

Published: Tue 5 Jun 2001 03:47 PM
Hawke's Bay Farmers Want Competition In The Meat Industry
Hawkes Bay Federated Farmers are concerned at the potential lack of competition at the farm gate for livestock.
Provincial President, Robert Anderson, reported concerns raised at the Provinces recent Annual General Meeting. "Farmers attending the meeting felt that if PPCS were allowed to take control of Richmond competition would be severely lessened. For instance PPCS would control about 75% of the venison industry in both island."
"PPCS is already a major player in the South Island sheep meat industry as is Richmond in the North Island. Hawkes Bay members feel that if PPCS were allowed to take control of Richmond, it could have a major detrimental impact on sheep/lamb prices in the North Island" said Mr Anderson.
"Currently PPCS compete in the North Island especially against Richmond in the bottom half of the Island for lamb at the shoulders of the season. Although stock numbers crossing the Strait are not large, the market establishes a solid floor price and has a domino impact on prices up to Hastings, Taihape and Wanganui. With increasing flows across the Strait this year, this competition is increasing not decreasing."
"We urge the Commerce Commission to consider the effect of PPCS's proposal on competition in the meat industry. "
ENDS

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