Australia: Cattle shortage pushes offal, hide prices up

Published 2021년 7월 5일

Tridge summary

The global cattle shortage, coupled with pandemic-driven demand, has led to a significant increase in offal market prices. Beef co-product prices, such as tongue, lips, cheek, and tails, are all higher than both the previous month and year. Sheep hearts have also seen a price increase. Hides are experiencing a dramatic price rise, with some categories up to 8,100% year-on-year. The automotive and upholstery sector is a major contributor to this demand. However, there are signs that demand for hides may be easing as customers resist further price hikes. The offal prices are largely due to reduced supply, with slaughter numbers down in Australia, Argentina, and Brazil, as well as seasonal factors. The pharmaceutical industry is also bidding for limited stocks, and there has been a trend for certain products to stay on the domestic market.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

THE global shortage of cattle is making itself felt in the offal market, combining with ongoing ramped-up demand on the back of the pandemic to push prices significantly higher that year-ago levels. Most beef co-product prices are higher than month-ago and year-ago levels, with tongue, lips, cheek and tails leading the charge, while sheep hearts have been in strong demand. Hides, too, continue on a sharp upward rise. In some categories, the increase year-on-year is now as much a 8100 per cent, with the hide price lifting from 25 cents a piece to $20.50. The latest Meat & Livestock Australia co-product report shows heavy Victorian hides are now making as much as $49 each. Tick-free heavy hides from Queensland are selling for $27.50 a piece and heavy NSW hides $37, both up by more than 1000 per cent on this time last year. All hides are now of commercial value, a long way from the zero returns some categories were showing only a year ago. Co-product market consultant Dennis King ...

Source: Farm Online National