Scotland’s red meat industry delivered record economic returns in 2024, but shrinking livestock numbers are casting doubt over its long-term future.
The latest Red Meat Industry Profile from Quality Meat Scotland (QMS) shows total farming and processing output for cattle, sheep and pigs reached over £2.7 billion in 2024, up 2% on the previous year. When wider economic impacts are included, the sector contributed £3.5bn in output and £1.05bn in Gross Value Added (GVA).
However, the report warns that falling livestock numbers pose a serious risk to the sector’s future and to Scotland’s wider rural economy. Beef cow numbers dropped 3.6% year-on-year and are down nearly 15% over the past decade. Calf registrations dipped by 0.8%, though the rate of decline appears to be slowing.
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The national ewe flock shrank for the third year running, falling by 2.3% in June 2024. Yet sheepmeat availability rose by 8.8% due to increased imports and steady home demand.
The pig sector saw stronger performance, with total UK pigmeat supply up 4% and Scottish abattoir production also rising by 4%.
Turnover from primary red meat processing climbed for a fifth straight year, reaching £1.14bn showing a 5% increase. But the number of workers in processing fell due to restructuring and efficiency improvements. For the first time, workers from outside the EU and EEA outnumbered those from within, highlighting shifting labour dynamics.
Despite strong market prices for beef and lamb, profitability remains under pressure from high input costs, labour shortages and interest rates, factors that continue to reduce herd and flock sizes.
Iain Macdonald QMS market intelligence manager, who authored the report, said: "While the sector’s ability to generate record economic output in 2024 is encouraging, the continued contraction of Scotland’s livestock herds highlights the urgent need for action.”
The sheep sector was hit by high lamb mortality this spring due to poor weather, while confidence in pig farming has improved since the financial crisis of 2021/22.
To address these challenges, QMS and the Scottish Red Meat Industry Resilience Group are pushing their Meating Our Potential campaign, calling for co-ordinated action across the supply chain to halt herd decline and seize new market opportunities.
Macdonald added: "Without intervention, the UK’s reliance on beef and lamb imports will only grow, potentially from countries with lower standards, at a time when geopolitical instability and climate change make food security more important than ever.
"It’s vital that Scotland’s specialist sheep and pig sectors retain the confidence to keep investing in high-quality production that underpins rural livelihoods and supports healthy, balanced diets.”
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