Passion2Profit (P2P) is not the only new Primary Growth Partnership (PGP) programme approved today and to make headway into the future for the New Zealand meat industry.
P2P (posted earlier), a partnership between Government and the venison industry, aims to develop new markets for chilled venison and to help deer farmers to become more productive and profitable.
The other, ‘Targeting New Wealth with High Health’ sees a collaboration between Alliance Group and Headwaters New Zealand, matched with funds from Government. It looks to reach existing and emerging markets with a new class of premium lamb products with improved health qualities – including lower levels of saturated fat and higher levels of polyunsaturated fat and healthy omega-3 oils.
This is a seven year $25 million programme, with half the funding contributed by MPI.
The two programmes have had their business cases approved by MPI’s director-general Martyn Dunne, which means contract negotiations can now begin so the programmes can formally start.
“These are both exciting new programmes that will allow our deer and lamb industries to leverage increasing consumer demand for premium food products,” says Guy.
“Passion2Profit will open up a world of possibilities and enables New Zealand venison producers to supply premium chilled venison to domestic and overseas markets, in particular Europe.
“Traditionally, New Zealand has relied on European market demand for mostly frozen venison products. This demand has been seasonal and places pressure on our venison industry.”
Passion2Profit aims to deliver economic benefits of $56 million per year in additional industry revenue by the end of the programme.
“‘Targeting New Wealth with High Health’ is also set to deliver significant economic benefits, raising the value and profitability of New Zealand’s lamb products.
“A collaboration with Alliance Group and Headwaters New Zealand, the programme aims to develop new production, processing and marketing techniques that could be extended to other industries, allowing them to leverage access to new markets.
“It’s pleasing to see that the PGP is helping extend scientific research and innovation through to commercial-scale production.
“It’s also great to see the red meat sector investing in its future through increased collaboration within the sector and improved productivity and profitability. This sector is vital to New Zealand’s economy as a whole.
“These programmes are prime examples of what the PGP is designed to achieve – industry and Government working together to boost value, productivity and innovation across the primary industries,” says Guy.
“This major investment into R&D will be a big step towards achieving the Government’s goal of doubling the value of primary sector exports by 2025,” he says.