Beef industry in good order

IT WAS interesting to read the last financial year’s beef and lamb  production figures. 

The beef industry is in terrific order with 9.6 million head processed (up 8%) while beef production was also up 8.6% to a record 2.985 million tonnes.

MLA senior market information analyst Emiliano Diaz said the figures highlight the strength of the industry and went on to say “favourable seasonal conditions over recent years expanded the national herd and supported elevated cattle availability, driving historically high processing volumes across the country”

 While the record result was primarily driven by strong supply conditions, the industry achieved it against the back-drop of increasingly challenging trading conditions toward the end of the financial year.

Demand for Australian red meat remained resilient overall, highlighting the sector’s ability to adapt and compete in a more volatile global environment.”

The record financial year was topped off with a very strong June quarter which reached a record breaking 780,620 tonnes.

It would appear that our overseas markets are prepared to pay the higher prices that we have seen in this calendar year which is great news going forward.

The lamb industry is in a different place with lower numbers across the board. Lamb slaughter totalled 22.07 million head which is 15.3% lower year-on-year but with heavier carcass weights production was only down 11.2% to 554,658 tonnes but still the fourth largest lamb production year on record. 

The June quarter was down 21.5% year-on-year to 5.286 million head and production fell 15.7% while the average carcass weight reached a record 26.7 kg for the quarter.

Looking forward in the lamb industry, there will be some interesting times as the very good season in the South East of Australia will mean more new seasons lambs and will that mean an over supply or will it just mean the prices will adjust a little.

 There is no doubt that many of the big lamb processors have only being killing half to three quarters of their capacity and one wonders whether that is because of smaller numbers or the fact that our overseas clients don’t like the price.

The next few months will tell us the story.

Lamb quality mixed

There was a small yarding of 835 lambs (131 less) at Powranna on Tuesday with a highlight being a very heavy pen that made $410/head. 

The quality was very mixed and this saw an easier market with the other heavy pens making $266 to $282, trade $216 to $278, light trade $162 to $214 and light $120 to $188.

 Restockers bought light trade lambs for $146 to $188/head. There were 296 mutton with most being light and medium sheep. Medium weights made $150 to $170 and restockers bought light sheep for $40 to $68/head.

There was another small yarding of trade and grown cattle with over half being cows and store cattle. 

With few trade cattle, local butchers were keen on all yearlings and also had to push into the grown steers. 

Yearling steers made 492c and heifers 480c to 500c while the seconds made 416c to 432c. The good quality grown steers and bullocks made 450c to 482c/kg. 

There were 30 cows penned and all met a firm market with heavy beef cows making 384c to 400c, leaner 350c to 362c and very lean 250c to 300c/kg liveweight.