Record Deer Industry Exports

12-Mar-2001

Record year-end export results published by the Game Industry Board this week reflect strong market conditions and the result of long term company and industry programmes.

Game Industry Board Chairman, Clive Jermy announced that total deer industry export earnings for the year to December 2000 reached a record level of $238.1 million, up 24% on the previous year. For the Board’s first quarter, to December 2000, export earnings reached $89.7 million, up 30% compared to the same period last year.

Contributing to this overall increase, venison export earnings rose 19% to $169 million for the year to December despite slightly lower export volumes. Venison exports were 21% higher over the 3 month period to December than the same period in 1999. Velvet export earnings were up 60% for the year, reaching $41 million and in the first quarter were up 126% compared to the previous year.

Strong venison export results are also reflected in farmgate returns. "At approximately $7.20, the average schedule is at a record level for this time of year and is up almost 30% compared to last year. This reflects the strong market for venison, and also the extended period of demand beyond the traditional game season." said MJ Loza, Game Industry Board CEO.

While BSE in Europe has increased demand for alternative proteins including venison, the Game Industry Board discounts the issue as a short term phenomenon. "It is not realistic to expect to build a sustainable long term market based purely on the short term misfortune of other industries" said Mr Loza.

"The real relevance of the current food scares in Europe is not the short term move to alternative proteins. The important long term impact is that consumers are more aware of what they eat. We see an increased demand for safe, assured, healthy and high quality food, produced sustainably. This is where the real long term opportunity lies for New Zealand and for New Zealand venison."

The Game Industry Board reports that venison production has stepped up in recent months to meet increased demand – kill levels were up 7% in the 3 months to December and increased more rapidly in January. However, despite these increases, production remains lower than last year on a 12 month basis and the market remains under-supplied relative to strong demand.

A positive trend in these venison production figures is the increasing proportion of stags being sent to slaughter. "This has the dual benefit of assisting with venison supply and at the same time balancing future velvet supply." said Mr Loza. "Given the soft Korean economy and the velvet industry’s reliance on Korea for an estimated 90% of its production, managing future supply is critical".

For further information please contact:

Mr MJ Loza, Chief Executive Officer

New Zealand Game Industry Board

Ph DDI (04) 381 6012

Mobile (021) 99 33 89

Mr Clive Jermy, Chairman

New Zealand Game Industry Board

Ph (03) 465 1022