bull beef production in ireland: market perspective · growing the success of irish food &...

Growing the success of Irish food & horticulture

AIDAN COTTER

CHIEF EXECUTIVE

BORD BIA

28 JANUARY 2009

Growing the success of Irish food & horticulture

February 2015 Joe Burke

Bull Beef Production

in Ireland:

Market Perspective

Growing the success of Irish food & horticulture

Irish Beef An expanding

portfolio of high-end

retail and foodservice

businesses

Irish beef

82 retail customers

across Europe

Feedback from customers that Irish steer beef has a point of difference.

In general, young bull beef is seen as more of a commodity

Growing the success of Irish food & horticulture

Male Cattle Slaughterings: 2004-2014

2014: 188,000 young bulls slaughtered (vs. peak of 207,000 in 2012)

0

200

400

600

800

1,000

Tho

usa

nd

He

ad

Mature Bulls

Young Bulls

Steers

Growing the success of Irish food & horticulture

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

Ireland/Steers

Ireland/Young Bulls

Seasonality of Young Bull Production

Weekly Young Bull & Steer Slaughterings - 2014

Growing the success of Irish food & horticulture

Market Issues Surrounding Young Bulls

1. UK Market

Ireland is the main import supplier (70%)

Customer preference for steer / heifer beef

In Britain, young bulls (<16 mo.s) priced 15p/kg below steers

2. Continental EU Markets

Irish exporters have developed customers for bull beef

However, these outlets are highly price-competitive

Widespread availability of cheaper bull beef

Growing the success of Irish food & horticulture

Age at Slaughter

Distribution of prime male cattle in Ireland by age at slaughter (months) - 2014

0

20,000

40,000

60,000

80,000

100,000

Nu

mb

er

of

Cat

tle

- H

ead

Age Range (Months)

Growing the success of Irish food & horticulture

• More of an issue with young bulls

than steers, on account of their

higher growth rates and kill-out %

• Principally impacts on the saleability

of the hindquarter steak cuts:

striploin, ribeye and fillet

• More difficult to meet a desired

portion size or price-point

• Heavier cuts likely be down-graded

to use as a roasting joint for catering

Significance of Carcase Weight

Growing the success of Irish food & horticulture

Carcase Comparison

Carcases:

Steer 360kg R= 3+

Y Bull 440kg U+ 2=

Ribeye:

3.4kg

4.5kg

Striploin:

7.0kg

9.2kg

Fillet:

2.9kg

4.0kg

Growing the success of Irish food & horticulture

R=3+ Steer: 360kg carcase

Growing the success of Irish food & horticulture

U+2= Young Bull: 440kg carcase

Growing the success of Irish food & horticulture

Issues Surrounding Young Bulls for Producers

• <16 mo.s meets UK customer requirements

• >16 mo.s demands coordinated production

• Reliant on fewer, more price-sensitive customers

• Impact of carcase weight on size of steak cuts

• Also essential to achieve desired fat cover and

manage animals correctly pre-slaughter

Growing the success of Irish food & horticulture

AIDAN COTTER

CHIEF EXECUTIVE

BORD BIA

28 JANUARY 2009

Growing the success of Irish food & horticulture

February 2015 Joe Burke

Bull Beef Production

in Ireland:

Market Perspective