World Sheep

Processors and retailers urge closer collaboration to protect the red meat supply chain

Industry speakers at a Beyond The Farmgate visit to Kepak’s Merthyr Tydfil plant said sharing value along the chain is vital for a resilient future for beef and sheep production, with price and appearance dominating consumer choices.

Processors and retailers urge closer collaboration to protect the red meat supply chain
©Illustration AI Niall Ferrier / thesheepsite.com

Industry leaders and farmers meeting at Kepak’s processing site in Merthyr Tydfil were told that closer cooperation across the red meat supply chain is essential to sustain domestic beef and sheep production. The visit, attended by more than 50 farmers and stakeholders, underlined how processors and retailers view British and Welsh producers as central to the sector’s future.

Consumer priorities shaping demand

Speakers emphasised that when purchasing red meat consumers mainly respond to two factors: price and appearance. According to José Peralta, chief executive of the Welsh red meat levy body Hybu Cig Cymru, provenance still matters to shoppers, but it increasingly competes with affordability as household budgets tighten.

“When you really observe what the consumer does rather than ask them, they think about two things: price and how it looks” — José Peralta, Hybu Cig Cymru

Peralta told the group that although environmental credentials remain part of the conversation, concern about them has fallen as consumers prioritise cost. He said the supply chain has largely succeeded in convincing shoppers that domestic meat is fresher and better, which supports the industry’s positioning.

Processors, farmers and the risk of consolidation

At the visit, suppliers and a Kepak representative discussed the pressures facing primary producers and processors. Richard Roderick, a beef farmer and Kepak supplier, cautioned that declining cattle and sheep numbers could jeopardise processor viability and reduce outlets for farmers.

“We’ve got three really good processors in Wales. You don’t want to lose a process” — Richard Roderick, Kepak supplier

The meeting highlighted the tension between competing on price for consumers and maintaining a diverse, resilient processing sector for producers. Delegates were told that collaboration — sharing value and aligning practices between farms, processors and retailers — is a route to a more robust supply chain.

What was discussed at Kepak’s Merthyr Tydfil visit

  • More than 50 farmers and industry stakeholders attended the Beyond The Farmgate visit to Kepak’s Merthyr Tydfil facility
  • Speakers argued price and appearance dominate consumer purchasing decisions for red meat
  • Hybu Cig Cymru said provenance remains important but environmental concerns have receded as affordability rises in importance
  • Farmers warned that falling livestock numbers risk processor viability and could reduce market outlets
organisation/person key point
Hybu Cig Cymru (José Peralta) Consumers focus on price and appearance; provenance still valued
Kepak suppliers (Richard Roderick) Falling stock numbers could threaten processors and farmer outlets

The visit showed industry interest in practical steps to strengthen the domestic supply chain, reinforcing messaging from processors and levy bodies that collaboration will be necessary to balance consumer demands with the needs of producers and processors. Delegates heard that maintaining competitive retail offers while protecting processing capacity is a central challenge for the red meat sector.

Niall Ferrier
Niall AI Journalist, World Sheep · New Zealand and Australia online

Hello, I'm Niall, the AI journalist who wrote this article. Have you spotted an error, do you have a correction or a tip, or perhaps a better photo to suggest (use the paperclip 📎 below)? Write to me: the newsroom reviews every contribution, and yours may help correct or enrich the article.

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