turkish livestock and red meat market

TURKEYLIVESTOCK & RED MEAT MARKET

STATISTICS & INCENTIVES

byÖMER ERDEM

NOVEMBER 2012

TURKEYLIVESTOCK & RED MEAT

MARKET

STATISTICS

OMER ERDEM - NOVEMBER 2012TURKEY LIVESTOCK & RED MEAT MARKET REPORT

MARKET SUMMARY 2011

Meat production per animal (kg) in 2011

Cattle Buffaloes Sheep Goats

Number of animals 12.386.337 97.632 25.031.565 7.277.953

Number of slaughtered 2.571.765 7.255 5.479.546 1.254.092

Meat production (tons) 644.906 1.615 107.076 23.318

Slaughter ratio (%) 21% 7% 22% 17%

Meat production per animal (kg) 251 223 20 19

The livestock in Turkey is categorized in four segments; cattle, buffaloes, sheep and goats.


RED MEAT PRODUCTION MONTHLY2010-2011

0

20.000

40.000

60.000

80.000

100.000

120.000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

TO

NS

RED MEAT PRODUCTION (CATTLE)

2010 2011

0

100

200

300

400

500

600

700

800


TO

NS

RED MEAT PRODUCTION (BUFFALO)

2010 2011

0

5.000

10.000

15.000

20.000

25.000

30.000

35.000

40.000


TO

NS

RED MEAT PRODUCTION (SHEEP)

2010 2011

0

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000


TO

NS

RED MEAT PRODUCTION (GOAT)

2010 2011

At Eid ul-adha, the production triples.


ANIMAL FIGURES 1991-2011CATTLE

0

2.000.000

4.000.000

6.000.000

8.000.000

10.000.000

12.000.000

Nu

mb

er

of

an

imals

CATTLE NUMBERS & DISTRIBUTION 1991-2011

Cattle(Domestic)

Cattle(Cross-breed)

Cattle(Culture)

Percentage of domestic cattle declined from 55% to 20% in 20 years where culture cattle increased from 10% to 40%.


ANIMAL FIGURES 1991-2011SHEEP

0

5.000.000

10.000.000

15.000.000

20.000.000

25.000.000

30.000.000

35.000.000

40.000.000

Nu

mb

er

of

an

imals

SHEEP NUMBERS & DISTRIBUTION 1991-2011

Sheep(Merino)

Sheep(Domestic)


ANIMAL FIGURES 1991-2011GOATS

0

2.000.000

4.000.000

6.000.000

8.000.000

10.000.000

Nu

mb

er

of

an

imals

GOAT NUMBERS & DISTRIBUTION 1991-2011

AngoraGoats

OrdinaryGoats


ANIMAL FIGURES 1991-2011BUFFALOES

0

50.000

100.000

150.000

200.000

250.000

300.000

350.000

Nu

mb

er

of

an

imals

BUFFALO NUMBERS & DISTRIBUTION 1991-2011


RED MEAT PRODUCTION 1991-2011OVINE

-10.000

10.000

30.000

50.000

70.000

90.000

110.000

130.000

150.000

0

1.000.000

2.000.000

3.000.000

4.000.000

5.000.000

6.000.000

7.000.000

8.000.000

Me

at p

rod

uct

ion

(to

ns)

Nu

mb

er

of

slau

ghte

red

an

imal

s

OVINE (SHEEP&GOAT) MEAT PRODUCTION

Sheep Goat Sheep meat Goat meat


RED MEAT PRODUCTION 1991-2011BOVINE

0

100.000

200.000

300.000

400.000

500.000

600.000

700.000

0

500.000

1.000.000

1.500.000

2.000.000

2.500.000

Me

at p

rod

uct

ion

(to

ns)

Nu

mb

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slau

ghte

red

an

imal

s

BOVINE (CATTLE&BUFFALO) MEAT PRODUCTION

Cattle Buffalo Cattle meat Buffalo meat


ANIMAL PRICES 2010-2011

Price (USD) Changes

Livestock* 2010 2011 (%)

Sheep

Sheep (Merino) $303 $343 13,1%

Sheep (Domestic) $300 $324 8,0%

Lambs (Merino) $222 $237 6,6%

Lambs (Domestic) $208 $222 7,0%

Ordinary goats

Ordinary goats $256 $282 9,9%

Kid of ordinary goats $163 $182 11,5%

Angora goats

Angora goats $202 $236 17,1%

Kid of angora goats $132 $160 21,7%

Price (USD) Changes

Livestock* 2010 2011 (%)

Cattle

Cattle (Culture) $2.594 $2.763 6,5%

Cattle (Cross-Breed) $2.061 $2.169 5,3%

Cattle (Domestic) $1.506 $1.545 2,6%

Calves (Culture) $1.292 $1.353 4,8%

Calves (Cross-Breed) $1.067 $1.111 4,1%

Calves (Domestic) $764 $1.006 31,6%

Buffaloes

Buffaloes $1.660 $1.769 6,6%

Buffalo calves $800 $890 11,2%

Animal prices increased on USD basis although Turkish Lira/USD parity increased 11% which means TL prices increased more.


ANIMAL PRODUCT PRICES 2010-2011Price (USD/kg) Changes

Animal products* 2010 2011 (%)

Meat

Sheep's meat $12,62 $12,19 -3,4%

Goat's meat $12,21 $11,30 -7,5%

Cattle's meat $12,27 $11,10 -9,5%

Buffalo's meat $11,10 $10,06 -9,4%

Milk

Sheep's milk $0,86 $0,84 -3,1%

Goat's milk $0,91 $0,87 -3,9%

Cow's milk $0,61 $0,48 -21,4%

Buffalo's milk $1,19 $1,06 -11,3%

Hide (USD/number)

Sheep's hide $3,30 $3,80 15,2%

Goat's hide $3,17 $3,14 -1,1%

Cattle's hide $22,19 $19,70 -11,2%

Buffalo's hide $14,27 $18,28 28,1%

Wool $1,63 $1,53 -6,0%

Hair $1,25 $1,19 -4,6%

Mohair $4,19 $4,43 5,6%

Meat prices seem to decrease in 2011 however Turkish Lira/USD parity increased by 11% which means that TL prices of meat increased in year 2011 but less than USD.


MARKET

SUPPORTS&

INCENTIVES


INVESTMENT SUPPORTS & INCENTIVES

• IPARD PROGRAM

• LOAN SUPPORT (REDUCED INTEREST RATE)

• INDUSTRIAL SUPPORTS

• CITY BASED SUPPORTS

• OTHER SUPPORTS

– GOVERNMENT INCENTIVES

– ORGANIZED INDUSTRIAL ZONES

– LAND ALLOTMENT INCENTIVES


IPARD PROGRAM• IPARD (Instrument for Pre-Accession Assistance Rural

Development (IPARD) Programme)

• Granted in 42 cities (out of 81 cities total)

• Industries supported

– Milk production & processing

– Meat production & processing (including poultry)

– Fruit & vegetable production & processing

– Fishery

• Supported expenses & investments

– Construction

– Machine & equipment investment

– Procurement of services (such as consultancy, etc.)


IPARD PROGRAMRED MEAT PRODUCTION & PROCESSING

Red meat production is supported in above cities and up to 1.000.000 EuroRed meat processing support budget can vary according to the investment


LOAN SUPPORT

LOAN SUBJECTS

LOAN INTERESTREDUCTION RATE (%)

UPPER LIMITOF THE LOAN

INVESTMENTPERIOD

OPERATIONALPERIOD

DAIRY CATTLE BREEDING

UP TO 140.000 USD 100% 50%

$11.300.000140.000 - 1.700.000 USD 75% 50%

1.700.000 - 11.300.000 USD 50% 25%

COMMON ANIMAL PRODUCTION

UP TO 28.000 USD 50% 50%$280.000

28.000 - 280.000 USD 25% 25%

BREEDINGBEEF CATTLE 100% 100%

$4.250.000HEIFER 100% 100%

BOVINEBREEDING 50% 25%

$1.700.000FATTENING 50% 50%

OVINEBREEDING 100% 100% $2.800.000

FATTENING 100% 50% $850.000


INDUSTRIAL SUPPORTS

• These supports include;

– agricultural products processing, storage and packaging (primary processing of plant, animal and fishery products, except hard covered nuts)

• In this context below are supported;

– new investment facilities,

– capacity increase or renovation of facilities,

– completion of partly realized investments


CITY BASED SUPPORTS• These supports can vary according to;

– City & region

– Type of investment (livestock, fish, etc)

– Quantity & capacity of investment

• These supports include;

– Investment financing

– Customs tax exemption

– Tax reduction

– VAT exemption

– Land allotment for production facilities

– Support for workers’ insurance payments


OTHER SUPPORTS

• GOVERNMENT INCENTIVES

– Annual support payments are done to livestock

breeders per headcount (cattle, sheep, etc.)

• ORGANIZED INDUSTRIAL ZONES

– Various tax exemptions (depending on the zone)

• LAND ALLOTMENT INCENTIVES

– Free land allocation (percentage depends on city)


MARKET

SUGGESTIONS

&

ROAD MAP


SUGGESTED CITY

SUGGESTED CITY FOR RED MEAT PRODUCTION IS KONYA


KONYA - ADVANTAGES

• LARGEST CITY (41.011km2)

• LARGEST AGRICULTURAL LAND (22.480km2)

• FIRST RANKS IN;

– AGRICULTURAL PRODUCTION: WHEAT, BARLEY, SUGAR BEETS, CARROTS, APPLES, BEANS, ETC

– ANIMAL PRODUCTION: MEAT, MILK, EGGS, POULTRY

• CLIMATE AND SOIL TYPE

– SUITABLE FOR AGRICULTURE AND ORGANIC FARMING

• LARGE CATTLE & SHEEP GRAZING LANDS (7.600km2)

– ALSO SUITABLE FOR FODDER PRODUCTION

• TURKEY’S LARGEST "ANIMAL SPECIALIZED ORGANIZED INDUSTRIAL ZONE” PRESENT IN THE PROVINCE

• LOTS OF INCENTIVES & SUPPORTS INCLUDING IPARD

OMER S. [email protected]@HOTMAIL.COM+90 – 532 – 2822120

CONTACT

mailto:[email protected]

mailto:[email protected]

turkish livestock and red meat market

Documents

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