The country's largest meat processor has welcomed Government plans to invest in a national animal traceability and identification scheme, saying its international customers were becoming impatient waiting for one.
However, Federated Farmers has questioned its value, saying it loaded costs on to farmers "for no tangible price benefit".
PPCS chief executive Keith Cooper said the return for farmers was ensuring ongoing market access, conforming to consumer trends and being proactive.
In last week's budget, the Government announced a $10.1 million grant to set up the national animal traceability and identification scheme (Nait), plus another $13.2 million over five years in operating costs, which Mr Cooper said equated to 35% of the scheme's forecast operating costs.
Initially, the scheme will apply to cattle and deer, allowing each animal to be monitored from birth to a consumer's plate.
Eventually, it was expected to also include New Zealand's 39 million sheep, consistent with the United Kingdom which will soon extend its scheme to include sheep.
Federated Farmers president Charlie Pedersen said the lobby group had been sceptical about Nait, saying if it "was so good, processing companies could make it compulsory by making it a condition of supply - which they haven't".
He also questioned its ability to accurately follow meat to market once an animal has been slaughtered.
Mr Cooper described Mr Pedersen's reaction as "kneejerk" and "negative", saying it took no account of the national good or the food safety concerns of markets.
"Large international customers within the European market in particular were becoming impatient with the livestock industry, which they feel is dragging its heels in comparison to other food industries in terms of identification and traceability."
He said a New Zealand-wide scheme would help safeguard our reputation should an animal disease outbreak occur.
Food exporters faced stiff competition, especially in the key North American and European markets.
"We need to be in a position to offer not only best quality, but to adapt to overall demand patterns to retain market share.
"This relates to the key elements of market access, biosecurity management and on-farm system development which largely underpin Nait's existence."
