China Launches Probe into Beef Imports Amid Domestic Industry Struggles

China has initiated a probe into beef imports to determine if the surge in shipments from overseas has adversely affected the domestic industry, according to the Ministry of Commerce.

The investigation, requested by domestic industry associations, is expected to conclude within eight months but may be extended under special circumstances.

As the world’s largest beef buyer, any safeguard measures taken by China could impact major exporters such as Brazil, Argentina, and Australia. Following the announcement, shares of Brazil’s leading meat packers, including JBS SA, Marfrig Global Foods SA, and Minerva SA, experienced declines.

The surge in imports between 2019 and mid-2024 has significantly impacted the domestic industry, with groups representing the animal husbandry sector from several top-producing regions highlighting the challenges. China’s beef producers are facing substantial losses as local prices have plummeted to multi-year lows due to oversupply and sluggish consumption.

In October, Brazil imposed new tariffs on various products from China and other Asian nations, including increased duties on fibre optics and cables, as well as iron and steel products. The news led to a drop in shares of JBS by as much as 2.9% in Sao Paulo, while Marfrig tumbled 7.5% and Minerva fell 3.1%. China remains the largest market for Brazilian and Argentine beef and the fourth-largest for the US.

Original story by Irish Independent

 

 

 

Smithfield Traders Back New Market Plan

The City of London and Smithfield traders have agreed on a plan to move the market to a new location “within the M25” when the site closes.

The agreement comes after concerns that the historic Smithfield meat market and Billingsgate fish market would shut after the City of London Corporation voted to withdraw support for them.

The trader and City authorities have now agreed to find a “New Smithfield” market.

On Monday the Corporation and the Smithfield Market Tenants’ Association (SMTA) issued a joint statement pledging to create a new facility allowing the meat traders “to expand and modernise our businesses, as well as support the meat traders of the future”.

The statement said “the creation of a ‘New Smithfield’ will also ensure that the meat which passes through the current market site will continue to serve London and the South East”.

It said: “The timing of the construction of the new facility dovetails with the SMTA’s move from Smithfield in 2028/9, and there will therefore be minimal disruption to our supply chains during the transition period.

“For our part, the City Corporation will continue to work proactively with the SMTA to support a smooth transition.”

Tony Grew | BBC News

AIMS Criticises FSA Chair’s Stance on Meat Inspection Charges

The Association of Independent Meat Suppliers (AIMS) has strongly opposed recent comments made by Professor Susan Jebb, Chair of the Food Standards Agency (FSA), regarding the UK’s meat inspection charging system.

AIMS argues that Professor Jebb’s characterisation of the existing discount system as a “subsidy” is both misleading and harmful to the UK meat industry.

During last week’s FSA Board meeting, Professor Jebb suggested that the discount system for meat inspection charges effectively subsidises the UK meat sector. However, Dr Jason Aldiss, Head of External Affairs at AIMS, dismissed this claim, stating: “It is our view that Professor Jebb’s portrayal of the discount system as a subsidy demonstrates a profound misunderstanding of the regulatory framework.”

Meat Industry Costs and Trade Barriers

Dr Aldiss explained that the current discounts are essential to offset what he described as “excessively bureaucratic and duplicative” charges that impose “exorbitant costs” on meat businesses. “The current FSA charges to the UK meat sector are among the highest in the world and, in effect, act as a state-sponsored trade barrier. This places domestic producers at a significant disadvantage in international markets,” he added.

AIMS is advocating for a switch to a headage-based charging system, which would align with global standards. Dr Aldiss believes this alternative would provide a fairer and more transparent way of calculating inspection costs, better reflecting the scale of operations and supporting competitiveness and sustainability within the UK meat industry.

Meat Inspections and Food Safety

Professor Jebb’s assertion that meat inspections are a “vital consumer protective function” has also been challenged. Dr Aldiss pointed to the European Food Safety Authority (EFSA), which has questioned the effectiveness of traditional meat inspection methods. According to EFSA, some current practices may fail to detect modern biological hazards and could even compromise food safety. “This raises critical questions about the allocation of resources and the necessity of current inspection protocols,” said Dr Aldiss.

Economic Impact on Small and Medium-Sized Enterprises

AIMS also rebuffed claims that meat inspection fees constitute only a minor cost to slaughterhouses. While these charges may seem small in relation to total turnover, Dr Aldiss emphasised their significant impact on net margins, particularly for small and medium-sized enterprises. “The financial burden of these fees threatens the viability of numerous businesses, undermining the broader agricultural economy,” he stated.

Call for Public Funding of Meat Inspections

AIMS further argued that if meat inspections are truly essential for public health, they should be publicly funded rather than financed through charges imposed on the industry. “If meat inspections are deemed a vital consumer protection measure — a position increasingly at odds with the evidence — it stands to reason that their funding should come from public taxation. This would ensure public health objectives are achieved without compromising the economic stability of the meat sector,” Dr Aldiss concluded.

The debate over meat inspection charges highlights ongoing tensions between regulatory authorities and industry stakeholders. AIMS is calling for urgent reforms to create a fairer, more sustainable system for UK meat producers, ensuring competitiveness in global markets while maintaining food safety standards.

Millers of Speyside Abattoir to Focus Solely on Beef Slaughtering Amid Rising Costs

The Millers of Speyside abattoir in Grantown will transition to solely a beef slaughtering facility starting next year. Managing director Sandy Milne cited labour shortages and rising operational costs as the primary reasons for this shift, making it necessary to streamline the business.

As part of this change, the abattoir will no longer offer private kill services for pork and lamb. However, arrangements have been made for pig private slaughter at Brechin abattoir when required. Milne explained that the business is outsourcing the supply of lamb and pork for their retail butchery customers and will focus exclusively on beef slaughtering from the start of the year.

Milne emphasized that the shortage of experienced labour and increasing running costs necessitated this decision. While private kill services for pork and lamb will be discontinued, the abattoir will continue to provide private kill facilities for cattle.

Original story by Keith Findlay | The Press and Journal

 

 

Irish Pig Trade & Prices Update: Upward Trend Continues

Prices

Deadweight pig prices in Ireland are on an upward trajectory in response to relatively tight supplies for slaughter. Prices have increased steadily week on week from a low of 190c/kg in mid February 2024. The average price paid for grade E pig prices in Ireland for the w/e 24th November was €2.03/kg excluding Vat. The current Irish price is 5c/kg lower than the corresponding week last year.

Throughput

While throughput has improved in the last quarter demand continues to run ahead of supplies. Total throughput YTD is 2,950,613 which is marginally behind the corresponding period in 2023.

The latest available data from the CSO shows that Irish exports of primary pigmeat products were valued at €243 million, 2% higher than the corresponding period in 2023.

A recovery in pig supplies for processing and a slight improvement in carcase weights have contributed to a similar 2% increase in export volumes during H1.

Within the H1 exports, there were notable increases in the value of trade to the UK (+16% to €71 million), and EU markets (+25% to €59 million). Meanwhile, there were declines in the value of Irish pigmeat exports to Asian markets (-15% to €77 million) and Oceania (-37% to €16 million.).

Bord Bia

 

Irish Sheep Trade & Prices Update

Quotes

Base quotes from the major processors have improved slightly this week with €8.20/kg – €8.50/kg for well finished lambs (+QA bonus) on offer.  With well fleshed lambs in demand, some major processors have also increased paid carcass weight limits, with all main plants paying for a 23-5kg carcass.

Relatively tight lamb supplies combined with some stability in demand from the domestic and export markets have contributed to this firming of the trade all year. Tighter lamb supplies are also a feature in other key lamb producing regions of Europe and the UK with the latest Eurostat figures indicating a contraction in breeding flock numbers in many regions.

The Irish ewe flock contracted by 3.7 per cent in the December 2023 census versus December 2022 levels. This decline in the ewe flock of 107,000 head is one factor contributing to the tightness in supplies currently.

Prices

Reported deadweight price for week ending the 8th of December increased by 26c/kg to €8.14/kg, reflective of the continuing improvement recorded in quoted prices from the major lamb processors. In the corresponding week in 2023 the reported deadweight price was €6.42/kg. The deadweight trade has also improved across the UK regions.

Reported spring lamb prices in mainland GB were the equivalent of €8.36/kg  last week (+9c/kg) while in Northern Ireland there was a notable improvement in the trade to be €8.02/kg (+16c/kg).

Relatively tight supplies of lamb for slaughter in Northern Ireland combined with competition from the live export trade to both mainland GB and ROI contributed to this firming in the trade.

Southern Hemisphere prices remain well below European prices however they have improved significantly over the last few weeks, narrowing the price differential with the EU. With a lead time on product shipments this recent improvement in deadweight prices should impact their competitiveness on EU markets in the medium to  longer term.

Prices this week took a jump and are at €5.52/kg and €4.47/kg for Australia and New Zealand , Australia’s price taking another jump by 17c/kg while New Zealand sees a slow down reducing of 5c/kg after a period of mostly week on week increases for the past 15 weeks.

Throughput

There was a decrease in the total sheep kill in DAFM approved plants last week to 41,265 head, compared to 59,714 the same week in 2023.

Tighter supplies has been a feature of the 2024 lamb season to date with a smaller lamb crop, a difficult lambing and changeable grass growing conditions all impacting lamb availability for processing. Total TYD slaughter is down 9% on 2023 to total 2,318,846 head.

Bord Bia

Irish Cattle Trade & Prices Update

Throughput

There were 39,614 cattle processed in DAFM approved plants last week, a slight increase of 45head from the previous week.

Prime cattle throughput YTD is currently on par with the same period last year at 1,245,998 head although a notable tightening in prime cattle availability is expected as we move into the final quarter of the year. A contraction in cattle numbers on the ground and a lively export trade have contributed to this outlook with numbers expected to remain tight for much of 2025.

Average carcase weights also continue to trend below previous years with the combination of a challenging grass growing season and a growing dairy influence on the prime cattle kill playing a role in the decline. The downward trend in average carcase weights is expected to continue in the short to medium term with calf registrations to suckler cows continuing to decline, while the number of beef sired calves produced from the dairy herd continues to increase.

Prices

There was a lift in the steady base quotes at Irish meat plants this week in response to tighter supplies and an expected increase in retail and foodservice demand for the Christmas period. In general, producers were offered a base price of €5.45/kg for steers with reports of up to €5.50/kg available.

Starting quotes for heifers are in the region of €5.50/kg this week with similar room for negotiation being reported. The trade for young bulls was also described as steady, with prices of between €5.70/kg and €5.90/kg on-offer for R grading animals under 24 months of age.

The cow trade remains relatively steady, with well-fleshed O+ grading suckler cows being offered prices of €5.10-5.20/kg, while prices for O grading dairy cows generally range from €5.00-5.05/kg. A significant proportion of the cow kill have achieved a conformation score of P in recent months and the prices available for these animals vary significantly based on grade, weight and quality.

For the week ending 8th of December 2024, the average price paid by Irish beef processors for R3 increased slightly by 2c/kg to be at €5.47/kg. This remained 63c/kg ahead the corresponding week in 2023 when the R3 steer price was €4.83/kg. Note that reported prices exclude VAT but include all bonus payments such as in-spec bonus, breed-based producer groups etc.

EU and UK prices

Across the EU, the average reported price for R3 grading young bulls was €5.62/kg (excluding VAT) for the week ending 8th December, 2024. This is 67c higher than Week 49 of2023 whenprices averaged €4.95/kg for this category.

In the UK, tighter cattle supplies and firm demand have meant deadweight beef prices have continued to firm. This week the average UK R3 steer price increased by 3c/kg to €6.52/kg.

Bord Bia

A year in review: the Australian cattle market

Key points:

  • Stability has returned to the cattle market, reflecting the balancing act between supply and demand.
  • Market confidence has continued to trend upward despite the weather conditions in Victoria and SA.
  • Slaughter has been very consistent and remains the highlight of the year.

After a turbulent 2023, the cattle market got back on its feet during 2024. The beef herd has now reached maturity, leading to more beef in domestic and international markets. 2024 has been marked by three key themes:

  1. Stability
  2. Confidence
  3. Stronger supply.

Stability

Without a doubt, the cattle market has stabilised – reflecting the balancing act between supply and demand which are influenced by weather, overall confidence and increased female slaughter, among many other factors.

Prices over the last 12 months have lifted by 20–39%, indicating the recovery of the market from the challenging conditions in 2023. The current prices are now tracking 1–20% below the 10-year average and reflect the substantial recovery the cattle market has shown over a short period of time.

Over the last year, Australia experienced two different seasonal conditions split across the south and the north. The seasonal conditions in pastoral regions in SA and western Victoria drove increased turn-off. As a result, NSW and Queensland producers benefited from this turn-off due to their favourable seasonal conditions.

See also: A year in review: the Australian sheep and lamb market

Confidence

Market confidence has certainly shifted from last year – many would say last year was the first time in a long time that producers made a decision based on a forecast rather than actual weather events. This confidence influenced buying behaviour; however, despite poor conditions in Victoria and SA, prices remained strong due to demand from NSW and Queensland producers.

All eyes have been on the global market, particularly the United States, which has recorded the lowest cattle herd in about 70 years. This has driven high cattle prices and thus increased the volume exported.

Stronger supply

Supply has remained steady over the past 12 months, with weekly slaughter capacity averaging 130,000 head a week according to the National Livestock Reporting Service (NLRS). The second half of the year averaged slightly higher at 140,000 head a week. Slaughter in 2024 is tracking just above the 10-year average and is around 16% above the 5-year average.

Processing capacity has increased by around 20% over the past four years, indicating the impact of the Pacific Australian Labour Mobility (PALM) scheme and other labour schemes which have significantly grown processing capacity.

Attribute to Emily Tan, MLA Market Information Analyst

Another Arrest in Food Crime Probe

NFCU officers, together with Dyfed-Powys Police, attended a farm in Wales on Wednesday 4 December 2024 and arrested one man.  

The arrest is linked to five earlier arrests made in London, in connection with seizures of suspected illegal meat on Monday 25 November 2024.

The man was interviewed by NFCU officers and has been released under investigation.

See also: Five Arrested in Food Crime Probe

“Officers from the National Food Crime Unit, working with Dyfed-Powys Police, arrested a 52 year old man from West Wales on suspicion of conspiracy to supply unfit meat, as part of an investigation into alleged illegal and unsafe meat.

Smokies are a food safety issue as they aren’t produced under hygienic conditions, and they are illegal because the meat still has its skin on and lacks traceability. We are advising people to steer clear of sheep meat produced in this way as it may be a health risk, and to contact their local Trading Standards or us if they suspect smokies are being produced or sold.

If we find any unsafe food on the market, we will take action to protect the public. If you suspect food crime, report it to Food Crime Confidential always available on food.gov.uk or by phoning 0800 028 1180.”

Neil Castle, Deputy Head of the FSA’s NFCU

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