May Meat Market Update
As we begin the journey into the colder months, it looks as though the trend at the moment is for the slaughter numbers to decline with the MLA January estimate to be approximately 7.1 million head for 2017, this is only a projected slight decline of 1% on year to date; however, on the other side of the fence, the increase in carcass weights continues with a 2% increase on the national average.
And so to the markets and overall export figures have continued to trend slightly lower than 2016 levels, with most market reported as soft or bearish. Japan is bucking the trend at present with an increase of 23% whilst the U.S. has dropped by 27%, with South Korea also dropping 21%. The current trend in exports right now will have a very minor effect on domestic consumption as prices remain quite solid for now. Domestic beef consumption per capita is hovering around 25kg/p.a. which is up on 2016 levels but is likely to stay around this level until prices are more market friendly.
In foodservice, most operators reported average Easter weekend trading off-set by short weeks which continue into the first weekend of May. And so, to this month’s specials. We have managed to source a good supply of Grain Fed Beef Cube Rolls (#28485). These are 100-day Grain Fed and ready to cut into steaks. Supply of these in the past few months has been fairly patchy, so it’s a great opportunity to take advantage of now. At $23.49/kg, these will be popular and it would be wise to strike now.
For details on these and other great beef specials, check out our May specials here.
With the current block of three short weeks in a row, the pressure of Lamb demand has been eased momentarily, however easing of prices from the sale yards have not converted into a downward shift as yet. This is mainly due to the onset of colder weather in the southern states and the likelihood that producers will retain numbers until weight gain is evident. Exports too, have slowed slightly and this will hopefully allow for some short lived reprieve of available product on the domestic market.
To help things along, we have managed to source a limited supply of Lamb Leg (#29151) on special at $10.99/kg. We also have very limited stock of Lamb Hindquarter Shank (#25038) at $7.49/kg. As the weather is cooling, it would be a wise move to get these now to store up for Winter.
There’s still a massive shift in the market demand away from some items such as pork ribs, resulting in a highly competitive market. This has also been due to the influx of pre-cooked ribs from overseas driving the price of raw frozen ribs to their lowest levels for some time. In turn, this has placed some other items under pressure with roasting cuts being the exception.
Never the less, for our monthly special, we have a limited quantity of Boneless Pork Collar Butt sourced locally from Schulz’s (#20367) at $6.95/kg. These are extremely versatile and can be prepared a number of ways from Pulled Pork or even sliced into steaks and barbequed. Great value again here and worth it to try a box today!
For all of the other specials for May, why not contact your MOCO representative today or our friendly Customer Service team on 07 3375 2000 to meat up your menu!