A higher than expected deer kill this season could mean
processors next year have just half the number of deer they
had two years ago.
Deer Industry New Zealand chairman John Scurr said last week
farmers were taking advantage of high venison prices,
addressing tight cash flow and dry weather in some parts of
the country to sell animals.
"It has all added to a kill at a higher level than
anticipated or what we want it to be."
Venison prices have remained high for much of the season and
were still at $8.18 a kg for premium grades last week.
The deer kill has grown from 450,000 to 500,000 several years
ago to more than 700,000 in recent years but looks like
dipping back next year.
Mr Scurr said it was too early to release numbers, but the
trend was there and would have funding implications for the
grower's body, Deer Industry New Zealand (DINZ), which got a
levy on animals killed.
There was no evidence the high kill was harming markets in
which DINZ, processors and importers had invested heavily in
promotion.
Mr Scurr told farmers at the Deer Industry Environment Awards
in South Otago that markets wanted New Zealand venison and on
a recent visit to Europe he was delighted to see racks sell
for 29 a kg ($NZ71.50) compared with similar cuts of Austrian
game venison which retailed for 9 a kg.
This showed the promotion had worked in positioning farmed
venison as a niche product, he said.
"It is sitting right up there."
The higher kill comes as DINZ has also been trying to give
farmers the confidence to grow the industry.
Mr Scurr said he could not blame deer farmers for taking
advantage of high prices, but said it could delay the build
up of the herd.
Meanwhile, Mr Scurr said farmers had lost the immediate
opportunity to take ownership of the velvet industry by
rejecting the structure of the Velconz co-operative.
Instead, two commercial companies - PGG Wrightson and Tasman
Velvet Processors - have established a new company, the New
Zealand Velvet Marketing Company (NZVM), to market velvet
throughout the world.
One of two farmer directors on NZVM, Grant Cochrane, said PGG
Wrightson and Tasman were committed to farmer shareholding in
the new entity.
A supplier's council of 10 had been formed which would
eventually elect the two farmer directors.
Mr Cochrane said NZVM had handled more velvet than budgeted
for in its first year and buyers had reacted favourably.
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