Alliance Group expects world meat markets to remain strong next year, with lamb prices expected to stay at "$100 plus".
Speaking in Oamaru during the company's annual shareholder/supplier meetings, chief executive Grant Cuff said it was expected 2012 prices to shareholders would remain high for lamb, sheep, cattle and deer. Indicative pricing was that lamb would remain at $100 plus and sheep at $85 plus, with cattle prices down slightly.
Sheep and beef numbers were stable worldwide, consumption of meat was increasing and there were growing sales in Asia.
In an outlook for next year, Cuff said yield quality contract payments were being increased and simplified, yield grading for cattle was targeted for May at the Mataura plant and there was an increased emphasis on store stock options.
Yield grading trials were planned for deer at Makarewa. Alliance was spending $13 million upgrading beef facilities at Mataura, significantly increasing cattle processing capacity.