Johannesburg – Red meat prices are expected to rise as high as 15% by December, according to projections by FNB.
Paul Makube, agricultural economist, said the increasing trend is due to the tightening supply of livestock. This is as a result of the drought last year, forcing farmers to “liquidate” their cattle herds, he explained. As farmers await rainfall, they are expecting to rebuild their herds.
“If the numbers increase then the production cycles will increase,” he said. Red meat slaughtering has been substantially higher this year compared to the past three years as a result of the drought. According to FNB, the cumulative sheep slaughter number is currently 111% higher than in 2015.