Access to reliable industry information is vital for informed decision-making, and the Red Meat Industry Services (RMIS) is committed to improving data availability and accessibility to support the growth and competitiveness of the sector.
By Maile Matsimela, Digital Editor at African Farming
The Red Meat Industry Services (RMIS) bi-annual report offers a comprehensive overview of the current state of South Africa’s red meat industry, including key developments in domestic and international markets, price trends, production and trade dynamics, and emerging challenges and opportunities across the value chain.
Here is a summary of the highlights:
The South African red meat industry demonstrates remarkable tenacity in July 2025, weathering a storm of challenges whilst positioning itself for future growth. Despite persistent foot-and-mouth disease (FMD) outbreaks threatening export markets, the sector has achieved record-breaking export volumes and shows promising signs of recovery after years of hardship.
Export Success Story Unfolds Despite Obstacles
South Africa’s beef export performance reached unprecedented heights in 2024, with total exports climbing to 39 700 tonnes. The Middle East emerged as the cornerstone market, with the United Arab Emirates, Jordan, Kuwait, and neighbouring Mozambique collectively accounting for 66% of all beef exports.
The sheep meat export sector equally impressed, recording an extraordinary 84.6% growth in 2024 to reach 11 400 tonnes. Fresh lamb carcasses commanded premium prices between US$8.78 and US$10.82 per kilogram when exported to Middle Eastern markets, demonstrating the quality and desirability of South African lamb. “The Middle East markets have become increasingly important for our red meat exports,” industry analysts note, with the UAE, Kuwait, Qatar, Jordan, and Iran representing the primary destinations for South African sheep meat.
Production Landscape Faces Mixed Fortunes
Beef production forecasts reveal a challenging outlook for 2025, with expectations of a 20 000-tonne decline to 764 000 tonnes. However, domestic consumption patterns suggest this reduction will still generate a substantial 36 000-tonne production surplus, highlighting the industry’s capacity to meet both local and international demand.
Conversely, sheep meat supply demonstrates positive momentum, with projections indicating a 15 400-tonne increase in 2025. This growth occurs against a backdrop of declining domestic consumption, dropping 3.6% as economic pressures and protein competition reshape consumer preferences.
Also read: RMIS’s role in the red meat value chain
Price Movements Reflect Market Dynamics
The pricing landscape tells a tale of gradual recovery and market adaptation. A2 beef prices experienced a modest 1.02% year-on-year increase in the first quarter of 2025, reaching R56.29 per kilogram. Weaner prices, meanwhile, decreased slightly by 0.8% to R41.63 per kilogram, reflecting the lingering effects of elevated feed costs throughout 2024.
Sheep meat pricing demonstrated more robust growth, with A-grade sheep prices surging 17.74% from the previous year to R84.35 per kilogram. Store lamb prices similarly increased by 8.7% to R41.63 per kilogram, though feed cost pressures tempered what could have been even stronger growth.
Consumer lamb prices at retail level reflected these market pressures, with lamb bulk chops reaching R174.44 per kilogram – a 10.4% increase year-on-year – whilst lamb rib chops climbed 8.9% to R198.79 per kilogram.
Foot and Mouth Disease Casts Long Shadow
The spectre of Foot and Mouth Disease continues to haunt the industry’s progress, with persistent outbreaks across KwaZulu-Natal, Eastern Cape, Gauteng, North West, and Mpumalanga provinces. These outbreaks have prompted China to impose import bans on South African beef since May 2025, forcing producers to redirect their surplus to alternative markets.
The financial impact of FMD management has been substantial, with R72 million spent on vaccine imports from Botswana in 2025 alone. New outbreaks linked to infected game reserves and communal cattle systems underscore the complexity of disease control in South Africa’s diverse agricultural landscape.
Despite these challenges, Limpopo Province demonstrated successful outbreak management, with movement restrictions lifted following effective disease control measures.
Also read: FMD operations centre open
Feed Costs Provide Welcome Relief
The 2024/25 agricultural season brought much-needed respite to producers struggling with elevated feed costs. Improved maize and soybean production helped drive yellow maize prices down from R4 217 per tonne in 2024 to more manageable levels by mid-2025.
This reduction in feed costs comes at a crucial time for both beef and sheep operations, where profitability margins had been squeezed by the dual pressures of high input costs and volatile market conditions.
Government Investment in Veterinary Services
Recognition of the critical importance of disease control has prompted increased government investment in veterinary services across provinces. Limpopo’s allocation for veterinary services reached R221 million in the 2022/23 financial year, representing impressive 41.1% annual growth since 2019/20.
Similar increases across Free State, North West, Eastern Cape, and Gauteng provinces demonstrate a coordinated approach to strengthening disease management capabilities. The ongoing implementation of the South African Veterinary Strategy for 2016 to 2026 continues to guide sector development.
Global Competition Challenges Persist
South African red meat producers face formidable competition from established exporters including Australia, Brazil, Argentina, and the United States. These competitors benefit from superior disease control systems, advanced traceability mechanisms, and established relationships with premium global markets.
The quality differential remains apparent in pricing, with South African products often unable to command the premium prices achieved by Australian lamb and beef in international markets. This gap highlights the urgent need for improved quality assurance systems and disease management protocols.
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Future Opportunities and Strategic Direction
Despite current challenges, the industry’s future holds considerable promise. Strengthened partnerships in Middle Eastern markets provide a solid foundation for growth, whilst improved disease management and enhanced traceability systems offer pathways to premium market access.
The reduction in feed costs creates opportunities for margin recovery, particularly when combined with continued export market development. Industry experts emphasise the importance of value-addition strategies, including the export of premium cuts and innovative ready-to-eat products that align with evolving consumer trends.
Public-private collaboration emerges as a critical success factor, particularly in vaccine production and traceability system development. Such partnerships could accelerate the industry’s ability to meet international standards and regain access to restricted markets.
Weather Patterns Shape Production Outlook
The industry must adapt to forecasted below-average rainfall patterns for 2025 whilst maximising the benefits of currently healthier grazing conditions. This weather variability underscores the importance of sustainable production practices and strategic planning.
Late rains in the 2024/25 season improved grazing conditions significantly, providing natural feed resources that complement the declining commercial feed costs. This combination offers producers a window of opportunity to rebuild profitability after challenging years.
Read the full report here.
