New Zealand's biggest rural lender says there are signs the meat industry is heading for a revival.
The ANZ is basing that on a survey of almost 800 farmers.
It found most of the sheep and beef farmers who took part in its Privately Owned Business Barometer Survey were planning to increase investment in their farms to lift production and take advantage of the rising world demand for protein.
The ANZ's commercial and agri head, Graham Turley, says it shows the red meat sector is confident that conditions are right to regain some of the momentum lost over the years and strengthen its role in the economy.
"When we look at the dairy industry, we've seen over the last 10 to 15 years a lot of investment on farm. That's ended up increased profitability, increased productivity and a huge market," he says.
"During the same period we've seen limited investment in the red meat sector, so, what's encouraging about this is we've now seen a big trend that's come through this report that farmers want to invest on farm, invest in greater productivity, through genetics, through farm structures, through new pastures.
"That gives us a lot of confidence that we think the red meat sector certainly has a future. The investment is going to definitely flow through into increased profitability, productivity, sustainability and a stronger red meat sector."