Low supply and high prices of other premium meats had also helped add value to venison.
But Coup said with prices for chilled venison up 10-15% this year customers were sounding warnings of price resistance among chefs in Europe and the United States.
The European game meat season was now in full swing but many historical buyers of NZ venison would not be buying it this season because of the high price, he said.
Prices were being driven in part by a reduction in supply from NZ and other sources.
“Marketers observe that the European market is finely balanced between supply and demand with a reduced supply currently balanced by higher prices.”
The NZ deer kill to August 31 was 300,000, down 8% on the previous 12 months while venison production was down 6% to its lowest level in 20 years.
“With strong demand and reduced supply, marketers have obtained price increases for middle cuts and manufacturing items in the main European markets,” Coup said.
All premium red meats in Europe – game, beef and lamb – were expensive with roe deer venison, which normally sold at a premium over red deer venison, also high.
Coup said marketers had succeeded in creating demand in new markets such as the US, NZ retail and Scandinavia to add to summer sales in Europe.
That meant there was more choice about when and where they sold their venison.
“While the European game season remains vitally important to NZ other markets provide a more stable return because they are not as affected by competition from venison from other suppliers,” Coup said.
NZ was experiencing very strong demand for manufacturing venison in the US where exotic meats were fashionable.
“For this reason as well as the reduced overall supply sales to Germany are down 51% in the last year, compared with the United States, which are up 126%.”
The average published schedule price for a prime venison carcase was $9.82/kg, up 17c on the last price peak of $9.65 on October 25, 2008, when the Euro and US dollar were much stronger, relative to the Kiwi dollar, than they were today.
Coup said the favourable prices were encouraging deer farmers to keep more young hinds to build their breeding herds.
“With continued retention we don’t expect to see a major change in NZ venison production volumes in the next 12 months so that bodes well for stable pricing into next season.
“We will have to wait and see if the strong demand conditions hold up as well,” he said.
