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COLIN KING MP for Kaikoura

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Thursday, August 02. 2012

Improvements in productivity need to be commended

There have been rumblings from the opposition regarding the state of New Zealand’s meat industry. The idea that plant closures represent a declining industry is completely misleading.
To make my point I’ll use Canterbury Meat Packers (CMP) in Riverlands, Marlborough as an example. This year they have processed 58,000 thousand head of cattle which is 15 per cent more than ever previously processed; the previous best was 53,000 head of cattle. Plant closures are not a sign of a declining industry; rather they are a sign of better plant utilisation and improved productivity within both the work force and industry in general.

The majority of meat processed through Marlborough’s CMP plant is exported to the USA for hamburgers. This is an arrangement set up via the WTO allowing us an export quota of 214 thousand tonnes of manufacturing beef, all of which is sold at a premium price for the New Zealand farmer.

To compete with the rest of the world in producing red meat protein the NZ meat industry needs to continue to look to research and development for ways of improving productivity in the processing area. This will ultimately result in more use of robotics and automation along with the creation of new products such as neutraceuticals.

These are the simple realities of an industry evolving and changing to meet the demands of a 21st century international marketplace. Another change that is causing a stir is the move away from AsureQuality meat inspectors and following international best practice; the use of company meat inspectors.

All we have to do is stop and consider who has the most at risk during the inspection process, the meat inspector or the person employed by a company whose success is dependent on doing good business. I think we will see robust inspection from within meat companies. The changes will bring the industry in line with inspection procedures in other food processing industries such as fish and poultry and we must remember that it’s up to the companies as to whether or not they adopt this change.

Government meat inspectors will continue to oversee food safety at meat plants, the company inspections are only for non-health related checks on carcasses. The future is all about gaining greater efficiencies and processing is now showing better returns to farmers than having grass on the ground. As the meat industry becomes ever more efficient and innovative more plants may close, but rather than this being a sign of a declining industry as claimed by the opposition, it is in fact a sign that the industry is taking on the rest of the world and winning.

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In the National-led Government, MP for Kaikoura Colin King is Deputy-Chairperson, Primary Production Committee and a Member of the Education and Science Committee. This website is funded by the Parliamentary Service and authorised by Colin King MP, Forum Building, Market Street, Blenheim




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