Federated Farmers is considering options for how to reform the $6 billion red meat industry.
The federation says some in the industry are pushing to bring the two biggest meat companies together by merging the Silver Fern Farms and Alliance coperatives.
Meat and Fibre chairperson Jeanette Maxwell says the options include a tradeable processing-rights system, which is similar in concept to the quota-management system in the fishing industry.
Ms Maxwell says the federation is interested in adopting a successful Uruguayan model that allows meat companies to align themselves to specific international markets with similar trade philosophies.
An options paper will be released in the New Year.
