Newsletter for the week ending 11th February

 

Positive Outlook for Beef

 

Meat and Livestock Australia has released a very positive outlook for beef prices in Australia for the next twelve months.

Prices are expected to hold at or near last years’ record prices and total exports are predicted to exceed the record levels set in 1977 during a period of very depressed prices.

A major factor in Australia’s ability to increase total production and exports is the growth in the feedlot industry over the last 20 years with about one third of our total production now being lot fed.

In 2004 beef exports to Japan soared by 41% to a record 393, 500 tonnes representing 91% of all Japanese beef exports (previously 50%).  Australian beef now accounts for about 50% of all beef consumed in Japan.

Exports to Korea also rose by 50% with chilled exports up by 89% and Australia now supplying 95% of all chilled beef to that market.

The MLA has forecast continued growth of exports to Japan and Korea of 9% and 23% respectively in 2005, but from 2006, exports are likely to recede in the face of renewed US competition.

The main cloud overhanging the short to medium term outlook is the timing and extent of the      re-entry of US beef to the North Asian markets of Japan and Korea.

 

Beef Consumption Up

 

Australian consumers have lifted spending on beef by 50% or $2 billion since 2000 which is quite astounding.  In that period per capita consumption is up by 10% to 38.4kg.  This increase is attributed to better quality and presentation of beef, successful marketing and promotion, more positive attitudes to eating meat and an overall lift in consumer spending.

 

Live Exports Down

 

A consequence of the demand for beef from North Asia is that live exports are well down due to strong prices and large numbers of northern bred cattle being diverted from live export to South East Asian continents to the South for fattening.

Live cattle shipments last year fell by 18% to 635,000 head compared to the peak of 972,000 in 2002.  The increased availability of cheap meat from India and South America has also affected this market.

 

All of the above is very positive for the upcoming bull-selling season.  While most Autumn sales are in southern Australia the first sale on our calendar is the Rockhampton all breeds sale on 15th February which includes 32 Limousin bulls.

 

150,000 Registrations

 

This week we registered the 150,000th Limousin registration since the breed was introduced to Australia in 1973 which is quite a milestone.

The 150,000th calf is Groverly Zurich registered by Limousin enthusiasts John and Lesley Groves of Gympie, Qld.

 

 

 

 

This year is “A”

 

The year letter for calves born in 2005 is “A”. 

Inventory forms listing all chargeable females for each herd have been sent this week.

Once you return these lists with any additions and deletions together with payment, we will issue the 2005 L1 Registration forms for your herd.

 

Birubi Busy

 

Birubi Limousin Stud have been both active and successful in recent shows in NSW.

At the Bungendore Show they took out All-Breeds supreme Exhibit with Birubi Mr Vegemite Y323 and the All-Breeds pair of bulls with  Mr Vegemite Y323 and Mr Vegemite Y324.

At Crookwell they won the All-Breeds Replacement Heifer with a Kensal Vegemite Kid daughter and reserve Heavyweight vealer with a ¾ Limousin ¼ Angus heifer.

In the stud section, Birubi took out the All-Breeds champion with Birubi Valentines Rose and then All-Breeds Supreme Exhibit with the same cow.

To top a very successful day Birubi won the All-Breeds mixed sex pair and the All-Breeds breeders group.

No doubt, these cattle will also be shown at Sydney Royal.

 

Top Sale

 

G.W. Warden and Sons had a very good sale of 116 mainly second cross Limousin steer calves on the Auctions PLUS electronic selling system this morning.  The 285kg calves aged seven to eight months made 240-cents/ kg or $685 on farm.  I expect they went to a lot feeder who will finish them for one of our large supermarket chains who once said they could only handle a maximum 25% Limousin content!

 

Yours in Limousin

 

Alex McDonald.