Australia

Australian beef industry must adjust for succeding in Asian markets - analyst

Beef

China is increasing demand for grain-fed beef but multiple challenges lay ahead for exporters.

Posted on Aug 23 ,11:08

Australian beef industry must adjust for succeding in Asian markets - analyst

Australia has the potential to increase its grain-fed beef exports in the Asian markets, especially China, by 65% to 2030, according to Angus Gidley-Baird, senior animal protein analyst at Rabobank, but industry must adjust to tackle multiple challenges and risks that lays ahead.
"Maximising the chances of succeeding in these markets will require adjustments to the Australian beef system. Producers, backgrounders, feedlots, and processors will all need to be aligned", he said.
Producers and backgrounders will need to produce more consistent volumes and animals with qualities that will perform in feedlot systems. Feedlots will need to better manage feed grain supplies and to encourage crop farmers to focus on feed grain production, and processors will need to incentivize the production of meats with qualities that meet the market specifications, explained the analyst.
If these conditions are to be met, the export volumes can reach 500,000 tonnes according to the bank's projection. At this time, China is the world's largest importer of beef. According to Meat and Livestock Australia (MLA), in the 2018-19 financial year beef exports reached A$9.49 billion (US$6.41 billion), a 19% increase on last financial year and A$446 million (US$298 million) higher than the previous record set in 2014-15.
There was prominent growth across all of Australia’s major beef export markets:
- Japan: $2.31 billion, up 9% year-on-year
- US: $1.94 billion, up 13%
- China: $1.75 billion, up 74%
- South Korea: $ 1.50 billion, up 28%.
At the same time, cattle on feed inventory set another record, at 1,147,400 head. Cattle on feed were sustained over 1.1 million head for the entire year.

 NEWSLETTER - Stay informed with the latest news!

Comments





Similar articles

GERMANY

Vion strengthens demand-driven chain concept Good Farming Balance for the future

Ever since Vion introduced Good Farming Star in 2010, the company has been at the forefront of bu...


Read more Read more
DENMARK

Danish Crown becomes co-owner of promising climate technology

It may sound strange that a burning gas torch at a slurry tank can reduce the climate footprint o...


Read more Read more
GERMANY

Germany: Poultry meat and eggs are produced sustainably and are important for a balanced diet

The recommended amount of meat consumed does not correspond in any way to the national consumptio...


Read more Read more
Websolutions by Angular Software and SpiderClass