MIE wants director seats on Beef + Lamb

Meat Industry Excellence is seeking to replace the two processor representative positions on the board of Beef + Lamb New Zealand with its own directors.

The board has eight directors; farmers elect six to represent three electorates in the North Island and three in the South Island, while two directors were appointed on the recommendation of the Meat Industry Association to represent meat processors and exporters.

MIE chairman Dave McGaveston said the best efforts of Beef + Lamb were ‘‘not working'' and it was time the organisation had a makeover.

Replacing the processor representation initially with directors from MIE was one of two remits MIE was putting forward to Beef + Lamb's annual meeting this year.

The other was seeking Beef + Lamb to endorse and fund all professional costs incurred by MIE to continue developing and implementing the savings and opportunities identified in its Pathways to Long Term Sustainability report, Mr McGaveston said.

In 2014, farmers backed a remit from MIE seeking Beef + Lamb cash to back MIE's quest for industry reform.

MIE believed Beef Lamb had done a good job behind the farm gate, but it was time the organisation ‘‘stepped outside their comfort zone'' and swung its support behind MIE's approach to resolve issues beyond the farm gate, Tapawera farmer Mr McGaveston said.

MIE relies on farmer support.

Ongoing woes in the dairy industry potentially had serious spillover effects for the red meat sector, he said.

‘‘The red meat strategy report identified that over 50% of farmers lack the wherewithal to adequately reinvest in their business,'' Mr McGaveston said.

‘‘The traditional balance sheet problems have been papered over by the rise in land values with banks, at least to date, happy to refinance. That rise has been underpinned by the previous profitability of dairying.

‘‘There is no doubt the red meat sector is on a knife edge and there is no doubt the problems are both imminent and urgent,'' he said.

 

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