New Zealand beef needs to break out of the low-margin and volatile commodity sector and into the premium market, says First Light managing director Gerard Hickey.
The Hastings company has been exporting the "Rolls Royce of steak" - New Zealand grass-fed Wagyu - to the United States for five years and strong demand means more Wagyu farmers are needed to join the producer group.
He said globally there is a growing consumer demand for grass-fed beef and in the United States over the past 10 years demand has increased 25 to 30 per cent annually.
Most other New Zealand beef exports to the United States and blended with fatty offcuts from feedlot cattle to produce ground beef for hamburger patties.
Mr Hickey said New Zealand beef was missing out on the trend for high-margin food with health properties and provenance.