High prices to remain

Press, 18 July 1979, Page 23

High prices to remain

NZPA London World-wide prices for beef are expected to be high for at least another two years, says the British Meat and Livestock Commission (M.L.C.). An international survey had shown that beef production would probably remain at this year’s depressed levels until 1981. No significant increase in output — and therefore no lowering of prices — can be expected until 1982. said the commission. World beef production

last year fell 2 per cent and a further 3 "per cent drop is expected in the current season. In the United States, the most important producers, output was 4 per cent down last year and is expected to slip another 7 per cent this year to its lowest level since 1973. The downturn in American production allowed New Zealand exporters to gain a better share of the American market in the first half of this year. But beef prices in the United States have now levelled

off, although still higher than last year. New Zealand’s own production has fallen by up to 15 per cent, mainly because of herd rebuilding. Australian production is also down by between 14 and 15 per cent. The European Economic Community countries, which have the highest beef prices, have huge surpluses and production is expected to increase marginally, according to the M.L.C. The Soviet Union is also expected to boost output, it said.