MEAT & Livestock Australia will launch a one-off marketing campaign in coming days designed to sell more beef and lamb on the domestic market in the pre-Christmas period, last week’s MLA annual general meeting in Bendigo was told.
“Following three years of herd and flock rebuild, through much of 2023 the threat of drier conditions has seen restocker demand ease, and an increase of livestock on the market putting real downward pressure on prices,” managing director Jason Strong told stakeholders.
“We acknowledge the challenging conditions being experienced by many producers, and continue to focus our activities on investments and activities that drive meaningful outcomes for the industry,” he said.
“But we’re also looking at what’s possible for us to do in the short-term, that can support the current challenges.”
“In response to current market conditions, next week MLA is launching an exciting beef and lamb ad designed to drive domestic Australian consumption, and lean into the momentum of the increased supply, and some of the price adjustments we’ve seen at retail in the run up to Christmas,” Mr Strong said.
“This ad campaign will have a bit of fun and humour to it, to encourage shoppers to purchase more beef and lamb before Christmas.”
“MLA does not predict prices, but we do know that weather and external global dynamics will continue to be key influences on market improvement,” Mr Strong said.
“But the fundamental strength of our industry remains: widespread rain across multiple regions has the ability to lift livestock prices, although we know that follow-up rain is required to sustain them.”
“Most importantly, it will lift confidence in the market, which is one of our biggest challenges at the moment.”
Mr Strong said the industry had some huge market dynamics shifts ahead, with the United States cattle herd moving into a rebuild phase next year. A reduction in global beef supply would provide support for higher demand for beef, and therefore, higher demand for cattle, he said.
“Finished-weight cattle prices should find support in 2024, due to the higher demand for beef and the impact of the reduction in US domestic supply.”
- Voting results from today’s AGM resolutions will be posted shortly
- More stories tomorrow from today’s AGM and Industry Update, and question sessions in Bendigo