Way forward all about change

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The future of the sheep industry starts with farmers but ends with processors.

The solution is a complex matrix of changing behaviour, greater industry co-operation and commitment, new technology, more consumer focus and Government help.

• Does sheep farming have a future?

For a start, sheep farmers need to shed the victim mentality and realise they control the industry's future and that they can only command premium prices for their products once they add value.

That value will come from producing the type of products wanted by consumers, when they want it, which may not be aligned to the pasture-growth curve, which governs farm management now.

Processors need to be more innovative, develop new higher-valued branded products for new markets, invest more in new technology, co-operate to address the problem of excess processing capacity and - importantly - change their behaviour in markets.

There is ample evidence that in the clamber to make a sale, the 19 meat exporters to Europe were responsible for the decrease in prices paid by supermarkets.

The appalling state of the crossbred wool industry must be fixed to once again make sheep a true dual-income animal, but many feel this is the sector's last chance to cement a future.

The rewards are great - double the price of wool and farm incomes would be much healthier.

Agriculture Minister David Carter revealed in the Otago Daily Times last week he was prepared to help the industry, and it is an offer that must be grabbed and used to aggregate meat companies and reduce the large number of exporters operating in Europe.

It is in the country's economic interests this happens, and any legislative move must prevent new players starting up to replace those that close.

Farmers need to end the practice of playing companies off for a few extra dollars, instead aggregating supply to a meat and a wool company that acts in the sector's best interests.