New Zealand’s Alliance Group has posted a net profit before tax of NZ$24.6m (€11.9m) on revenue of NZ$2.1bn (€1bn) for the year ending 30 September 2025.
This is a reversal of the previous year when the company posted a loss of NZ$120.8m (€58.6m) on a revenue of NZ$1.8bn (€900m) and it means that the business will enter the new era as part of the Dawn Meats group from a profitable base.
This is scheduled to take effect from 5 December, at which point the Alliance Co-op will be controlled by Dawn which will have 65% stake in the new joint venture.
Back to basics
A return to profit for this financial year had been well flagged and was reflected in the amendment of the Dawn investment in the business from NZ$250m (€121.4m) to NZ$270m (€131.1m). Alliance chair Mark Wynne explained that the turnaround was achieved by “a full business reset” in which a “ruthless back to basics strategy” was adopted.
He added that “operational improvements have lifted yields across all species through better plant performance”. This included the closure and sale of the historic Smithfield factory in south Canterbury.
The chairman also highlighted their work to “reduce our reliance on sheep meat by strengthening our beef capabilities [and] diversified our market mix”. This was alluding to two years of falling sheep meat prices in China being offset by strong performance in the US, EU and UK where market share for New Zealand beef has been increasing. Performance from its beef business is expected to improve further with the Dawn Meats partnership.
This was suggested by Niall Browne when he spoke to the Irish Farmers Journal after the shareholder vote in favour of the Dawn deal last month. He said: “They are way ahead of us in Europe with automation” in relation to sheep meat but that “we will be able to help them with their beef processing.”
China concern
China is New Zealand’s biggest sheepmeat export market, taking 166,205 tonnes in the year to the end of September 2025. This is 45% of all New Zealand sheepmeat exports and more than twice as much as the EU, the second largest destination for New Zealand sheep meat exports. While price has been an issue for Alliance in this market, it is the future for New Zealand beef in China that will be the main concern, not just for Alliance but all beef exporters.
This is as a result of the decision of China’s Ministry of Commerce to review beef imports from a number of countries, including New Zealand, in a safeguard investigation in December 2024. This was triggered by representations from industry groups to the Chinese government on the negative impact of beef imports on the domestic industry.
Minor player to largest importer
As Figure 2 shows, the volume of beef imports by China has exploded in recent years and it now imports twice as much beef as the next largest importer, the USA. The investigation had been scheduled to conclude in August this year but this deadline has just been extended until late January 2026.
At this point, it is widely expected that beef imports will become subject to a tariff free quota with anything supplied above the quota subject to a tariff. Quotas could be either on a country-by-country basis, based on historic trade or alternatively an overall import quota with access to all comers on a first-come, first-served basis until it was all used. After that point, tariffs would be applied.
Indirect impact on Ireland
None of this is of immediate direct relevance for Irish beef producers or processors as Irish beef exports to China are currently suspended since the last atypical BSE incident. Of course, anything that is a potential barrier for other major exporting countries has the potential to indirectly impact negatively on Irish beef if it causes other countries to redirect more of their exports to the UK or European Union.
While the risk of tariffs will be a concern for New Zealand beef processors in general, Alliance will be better placed than most to deal with it due to their link up with Dawn. The deal puts them in a unique position among New Zealand processors to avail of Dawn’s customer network in the UK and EU. The timing is also in their favour as Irish, British and EU beef production has fallen this year and this is expected to continue into 2026.
Dawn Meats JV with Alliance begins on 5 December.Final full-year Alliance accounts show return to profit, NZ$24.6m (€11.9m).Co-op credits to “back to basics” business approach.China expected to introduce quota for beef imports.Dawn can open doors for Alliance beef exports to UK and EU.
New Zealand’s Alliance Group has posted a net profit before tax of NZ$24.6m (€11.9m) on revenue of NZ$2.1bn (€1bn) for the year ending 30 September 2025.
This is a reversal of the previous year when the company posted a loss of NZ$120.8m (€58.6m) on a revenue of NZ$1.8bn (€900m) and it means that the business will enter the new era as part of the Dawn Meats group from a profitable base.
This is scheduled to take effect from 5 December, at which point the Alliance Co-op will be controlled by Dawn which will have 65% stake in the new joint venture.
Back to basics
A return to profit for this financial year had been well flagged and was reflected in the amendment of the Dawn investment in the business from NZ$250m (€121.4m) to NZ$270m (€131.1m). Alliance chair Mark Wynne explained that the turnaround was achieved by “a full business reset” in which a “ruthless back to basics strategy” was adopted.
He added that “operational improvements have lifted yields across all species through better plant performance”. This included the closure and sale of the historic Smithfield factory in south Canterbury.
The chairman also highlighted their work to “reduce our reliance on sheep meat by strengthening our beef capabilities [and] diversified our market mix”. This was alluding to two years of falling sheep meat prices in China being offset by strong performance in the US, EU and UK where market share for New Zealand beef has been increasing. Performance from its beef business is expected to improve further with the Dawn Meats partnership.
This was suggested by Niall Browne when he spoke to the Irish Farmers Journal after the shareholder vote in favour of the Dawn deal last month. He said: “They are way ahead of us in Europe with automation” in relation to sheep meat but that “we will be able to help them with their beef processing.”
China concern
China is New Zealand’s biggest sheepmeat export market, taking 166,205 tonnes in the year to the end of September 2025. This is 45% of all New Zealand sheepmeat exports and more than twice as much as the EU, the second largest destination for New Zealand sheep meat exports. While price has been an issue for Alliance in this market, it is the future for New Zealand beef in China that will be the main concern, not just for Alliance but all beef exporters.
This is as a result of the decision of China’s Ministry of Commerce to review beef imports from a number of countries, including New Zealand, in a safeguard investigation in December 2024. This was triggered by representations from industry groups to the Chinese government on the negative impact of beef imports on the domestic industry.
Minor player to largest importer
As Figure 2 shows, the volume of beef imports by China has exploded in recent years and it now imports twice as much beef as the next largest importer, the USA. The investigation had been scheduled to conclude in August this year but this deadline has just been extended until late January 2026.
At this point, it is widely expected that beef imports will become subject to a tariff free quota with anything supplied above the quota subject to a tariff. Quotas could be either on a country-by-country basis, based on historic trade or alternatively an overall import quota with access to all comers on a first-come, first-served basis until it was all used. After that point, tariffs would be applied.
Indirect impact on Ireland
None of this is of immediate direct relevance for Irish beef producers or processors as Irish beef exports to China are currently suspended since the last atypical BSE incident. Of course, anything that is a potential barrier for other major exporting countries has the potential to indirectly impact negatively on Irish beef if it causes other countries to redirect more of their exports to the UK or European Union.
While the risk of tariffs will be a concern for New Zealand beef processors in general, Alliance will be better placed than most to deal with it due to their link up with Dawn. The deal puts them in a unique position among New Zealand processors to avail of Dawn’s customer network in the UK and EU. The timing is also in their favour as Irish, British and EU beef production has fallen this year and this is expected to continue into 2026.
Dawn Meats JV with Alliance begins on 5 December.Final full-year Alliance accounts show return to profit, NZ$24.6m (€11.9m).Co-op credits to “back to basics” business approach.China expected to introduce quota for beef imports.Dawn can open doors for Alliance beef exports to UK and EU. 
SHARING OPTIONS