Deer farmers’ confidence has been damaged by market uncertainty.
While there are positive indications from export markets, which support glimmers of optimism in the industry, processors are still proceeding with caution regarding spring contracts.
Last week, the New Zealand stag farm gate price was $5.57/kg, about $3/kg below the five-year average. The market is $5.65/kg below this time in 2018, when the farm gate operated at $11.20/kg.
Unfortunately, Deer Industry NZ (DINZ) are not expecting a big turnaround for prices this September, when the market normally peaks for the traditional game season. Indications from processors suggest this season’s market peak will not be much different to year-ago levels.
Last year, the North Island farm gate peaked at $6.20/kg in September, while the South Island price tapped out at $6.65/kg in October. Limited volume contracts offered more to suppliers but were only slightly above $7/kg. For reference, the NZ five-year average peak for the spring market is $9.70/kg.