MIAG confident about meat industry future

MIAG confident about meat industry future

By Trudi Baird

28 May 2007 -- "The opportunity to fix our industry has never being better." This is the take home message from Meat Industry Action Group chairman Mark Crawford following a meeting with MIAG, the Meat Industry Reform Group and the board of PPCS, in Dunedin on Friday.

Mr Crawford described the discussions as "constructive."

PPCS recently announced its Euroquality contracts to suppliers in a bid to make procurement better reflect actual market demands.

"We agree in principle with the concept of these contracts," Mr Crawford said. "Procurement must be driven by market demands and not be supply driven as it has been up until now and there has to be an end to both third party involvement and secret deals on volume supply. There also needs to be increased transparency."

PPCS has taken some steps towards meeting these objectives and should be congratulated for making the first move but both Meat Industry Groups would like the contracts to go further.

MIAG together with the South Canterbury-based MIRG are working closely to bring increased cooperation between PPCS and Alliance on marketing and procurement issues.

"We want to see the core values of the co-operatives restored so trust can be rebuilt and form the building blocks to a brighter future," Mr Crawford said.

Farmer suppliers to Alliance are eagerly awaiting the announcement of its procurement agreement.

Both Industry Groups expect Alliance to at least match what PPCS has offered its suppliers, but, according to Mr Crawford, "this is an opportunity for Alliance to really move forward and break new ground. We want to see them get rid of the secret deals on volume supply, put an end to third party traders and bring transparency and fairness to their procurement."

"This is an exciting time for our industry and we need to make sure everyone, especially farmers, are kept well informed," Mr Crawford said.

ENDS

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