Aussie Beef Processing June 2025 Update: Mutton Prices Surge

Australia – 6 June 2025. The Aussie beef processing June 2025 update highlights strong cattle throughput and soaring mutton prices. According to Meat & Livestock Australia (MLA), the sector is showing resilience despite seasonal pressures and ongoing supply challenges.

Cattle Market Overview

Cattle yardings rose 8,345 head, bringing the total to 72,045 for the week ending 6 June. This increase reflects stronger movement of processor cows, restocker heifers, and feeder steers. In addition, the Heavy Steer Indicator improved slightly, climbing 6¢ to 361¢/kg liveweight (lwt).

Queensland and New South Wales both reported steady volumes, with Victoria recording a notable 408¢/kg lwt. Meanwhile, restocker heifers eased by 11¢ to 319¢/kg lwt, showing mixed demand trends.

Mutton Market Highlights

In contrast to cattle, mutton values rose sharply. Prices hit their highest levels since 2022, supported by strong global and domestic demand. Tighter sheep supplies added momentum, pushing the mutton trade higher week on week.

Slaughter Volumes

Beef processing reached one of its strongest levels this year. National cattle slaughter totalled 152,530 head, maintaining robust output. Despite a shorter week due to public holidays, volumes remained firm and were 10% higher than the same week in 2024.

Sheep and lamb slaughter also increased. Lamb numbers climbed to 461,658 head, while sheep throughput reached 177,918, bringing the combined total to 639,576 head. Although only slightly lower than the week before, this remains a solid level for winter.

Outlook

Overall, the Aussie beef processing June 2025 update reveals a dynamic red meat sector. Beef supplies are steady, while mutton prices are soaring on tighter availability. Looking ahead, processor capacity and seasonal conditions will play a major role in shaping both cattle and sheep markets through the rest of winter.

Original source: MLA

AHDB Hosts Largest Ever Red Meat Trade Mission – June 2025

The UK red meat trade mission reached a new milestone in June 2025. The Agriculture and Horticulture Development Board (AHDB) welcomed 28 international buyers to the largest inward trade mission it has ever organised. Delegates came from the Americas, Africa, Asia, and the Middle East.

Promoting British Red Meat

AHDB designed the four-day event to showcase the quality, safety, and sustainability of British beef, lamb, and pork. Delegates visited farms and processing sites in the West Country. These visits gave them direct insight into the UK’s high production standards and traceability systems.

In addition, buyers attended live demonstrations and product tastings. They also met UK exporters to explore trade opportunities. The mission concluded with a gala dinner in London, which encouraged further dialogue on future trade.

Strategic Impact on UK Meat Exports

This mission supports the UK’s growing presence in global meat markets. In 2024, red meat exports reached £1.77 billion. Strong beef shipments to Europe and rising demand in Asia and the Middle East drove this growth.

AHDB’s initiative reinforces the UK’s commitment to expanding agricultural exports. It also highlights the country’s ability to meet international demand for premium red meat.

Global Beef Market Faces Uncertainty Amid Production Declines and Trade Disruptions

The global beef industry is navigating a period of significant uncertainty, with Rabobank forecasting a 2% contraction in global beef production for the remainder of 2025. This downturn is attributed to herd reductions in major producing countries, marking the first global supply decline since the COVID-19 pandemic.

In the first half of 2025, cattle markets have experienced upward trends, particularly in Europe, where prices have surged due to tightening supplies. However, the market faces additional challenges from geopolitical factors, including the reintroduction of tariffs and trade policy shifts under the current U.S. administration, leading to increased volatility in global beef trade.

Amid these challenges, Australia stands out as a positive exception. Favourable seasonal conditions have bolstered cattle numbers, resulting in near-record beef production. This positions Australia advantageously in export markets, especially as other major producers experience declines. Rabobank anticipates that Australian cattle prices will remain relatively stable throughout 2025, supported by strong global demand.

Conversely, South American producers are increasingly focusing on exports to meet rising global demand, potentially at the expense of their domestic markets. In the United States, the beef industry is entering a rebuilding phase, with expectations of higher prices across all cattle and beef markets. This necessitates strategic adjustments by producers and processors to manage elevated costs and limited availability.

Overall, the global beef market is contending with a complex array of factors, including supply constraints, trade disruptions, and shifting production dynamics. Stakeholders across the industry will need to adapt to these evolving conditions to maintain stability and meet global demand.

Information sourced and adapted from Rabobank and Agriland.ie.

Surrey Farmers Face Mounting Challenges as Local Abattoirs Close

SURREY, ENGLAND – June 4, 2025 – Farmers in Surrey are grappling with a growing crisis as local abattoirs continue to close, forcing them to seek increasingly distant options for processing their livestock, according to a BBC report. The closures are raising significant concerns about the resilience of the local food supply chain and the future of traditional farming practices.

James Windridge, who heads farming operations at the Hampton Estate in Seale near Farnham, highlighted the immediate impact, revealing his struggle to find a suitable local alternative after his usual abattoir ceased operations four months ago. This sentiment is echoed by the owner of one of the few remaining small abattoirs in south-east England, who expressed serious apprehensions about the industry’s future viability.

A spokesperson for the Department for Environment, Food and Rural Affairs (Defra) acknowledged the crucial role that small abattoirs play in maintaining a robust and resilient food supply chain. Despite this recognition, industry figures are calling for more tangible support.

Luke Smith, who operates Down Land Traditional Meats, emphasised the urgent need for increased financial assistance from the government to ensure the survival of these vital slaughterhouses. The government has stated its commitment to collaborating with the meat processing sector and noted its ongoing investment of £5 billion into farming. However, for many local farmers, the immediate challenge remains the accessibility of local processing facilities as the number of available abattoirs continues to dwindle.

UK Achieves “Negligible” BSE Risk Status, Boosting Farm Sector and Trade

UNITED KINGDOM – June 2, 2025 – The United Kingdom’s international risk status for Bovine Spongiform Encephalopathy (BSE) has been officially downgraded to “negligible” by the World Organisation for Animal Health (WOAH). This pivotal change is expected to deliver a substantial boost to the UK’s food and farm sector, opening up significant new trade opportunities globally.

According to Gov.uk, this improved risk status for British beef and bovine products means more countries are likely to open their markets to UK exports. Furthermore, the abattoir and meat processing industry stands to benefit from reduced operational burdens and considerable financial savings due to subsequent adjustments in control measures.

The UK’s success in achieving this negligible risk rating is a testament to its exceptionally high standards in biosecurity and the rigorous controls that have been diligently implemented over several decades. Farming Minister Zeichner highlighted the positive impact on trade and animal health, while UK Chief Veterinary Officer Christine Middlemiss underscored the robust food safety systems in place. Natasha Smith, Deputy Director of Food Policy at the Food Standards Agency, also reinforced the commitment to maintaining these high standards.

The British Meat Processors Association (BMPA) has already noted the potential financial upside of this downgrade. For instance, the ability to recover mesenteric fat, previously restricted due to BSE concerns, could alone generate approximately £10 million per year for the industry. This downgrading marks a significant milestone, reinforcing confidence in British beef and paving the way for expanded international trade.

China Imposes Nationwide Ban on Brazilian Poultry Over Avian Influenza, Reuters Reports

BEIJING – May 30, 2025 – China has issued a comprehensive ban on all imports of poultry and related products from Brazil, citing an avian influenza outbreak, according to Reuters. This broad prohibition comes two weeks after Beijing initially suspended import applications from individual Brazilian poultry farms.

The General Administration of Customs of China, in a notice dated May 29, declared that all direct and indirect Brazilian poultry imports are now prohibited. Any such products brought or mailed into the country will be returned or destroyed. Furthermore, all animal and plant waste from incoming ships originating from Brazil must undergo treatment under customs supervision and cannot be discarded without explicit authorisation.

The drastic measure follows Brazil’s confirmation on May 16 of a bird flu outbreak on a commercial poultry farm located in Montenegro, in its southernmost state of Rio Grande do Sul. This single confirmed outbreak triggered a wave of international trade bans against the world’s largest poultry exporter and China’s primary chicken meat supplier.

Despite requests from the Brazilian government to limit any embargo to poultry products solely from the affected city, China’s announcement indicates it has opted for a nationwide ban. While China, Japan, Saudi Arabia, and the United Arab Emirates are key destinations for Brazilian chicken exports, the latter three countries have only imposed statewide bans. The European Union and South Korea have also enacted bans on Brazilian chicken.

Brazil’s poultry industry is a global powerhouse, having exported approximately $10 billion worth of chicken meat in 2024, accounting for roughly 35% of the global trade. This nationwide ban from China, a crucial market, is expected to inflict significant economic pain not only on Brazilian farmers but also on major importers.

Cranswick Launches Major Animal Welfare Review Following Abuse Allegations at Supplier Farm

HESSLE, UK – [May 28, 2025] – Cranswick, one of the UK’s largest pork and poultry producers, has announced a comprehensive, independent review of its animal welfare policies and livestock operations across the UK. The move comes in response to severe animal abuse allegations at Northmoor Farm in Lincolnshire, a pig farm that supplied the company.

The review was prompted by undercover footage released by the Animal Justice Project (AJP), which purportedly showed distressing scenes at the Lincolnshire farm. Allegations include the illegal killing of piglets under 10kg by blunt force trauma – a method commonly known as “piglet thumping,” which was outlawed in 2022 – alongside claims of pigs being beaten with metal bars and left to suffer in squalid conditions.

Following the public exposure of the footage, Cranswick swiftly suspended its arrangements with Northmoor Farm and confirmed it would not sell any pigs sourced from the facility. Major UK retailers, including Asda, Morrisons, Sainsbury’s, and Tesco, also suspended Northmoor Farm as a supplier.

This significant welfare review comes as Cranswick reported robust financial results for the year ending March 29, 2025, with revenues climbing 6.8% to £2.72 billion and pre-tax profits increasing by 14.6% to £181.6 million. Despite the positive financial performance, the scandal underscores the ongoing scrutiny of animal welfare practices within the food production sector.

Original source: BBC News

Argentina Moves Closer to Beef Offal Export Deal with China

Argentina is poised to strike a significant new trade agreement with China, aimed at expanding exports of beef offal – a move that could help revitalise its pressured meat industry and reshape international supply dynamics.

According to reports, talks between Argentine and Chinese officials are in their final stages, with a Chinese delegation expected to visit Argentina on 8 June to complete technical assessments and finalise the agreement.

China Remains a Key Market – Despite a Dip

China remains Argentina’s largest export destination for beef, but recent data shows a notable slowdown. Exports to China accounted for 56.4% of total shipments in Q1 2025, down from 68% in 2024. Volume-wise, the drop is stark: 203,000 tonnes in early 2024 compared to just 137,000 tonnes for the same period in 2025.

This decline has been attributed to:

• Low prices offered by Chinese buyers in early 2025 due to high domestic stocks

• A stronger Argentine peso, making exports less competitive

• Ongoing logistical and economic pressures in Argentina’s beef sector

Opportunity in Offal

The proposed agreement focuses specifically on beef offal, a product category in high demand across Asia for its versatility and value. If secured, the deal would open a new channel for Argentine meat processors, many of whom are grappling with rising input costs and falling margins.

For China, it’s a strategic move to diversify agricultural imports amid ongoing trade tensions with the United States. In 2024, China imported a record 2.87 million metric tonnes of beef, and Argentina, Brazil, and Australia remain key players in that supply chain.

While the deal brings opportunity, Argentina’s meat industry continues to call for domestic support. Producers are lobbying for a reduction in export taxes and increased incentives to maintain global competitiveness, particularly for value-added products like offal.

Original source: Reuters

Meat and Poultry price inflation continues in May

The AIMS Fresh Meat and Poultry Monthly inflation report published today (Wednesday 28^th May) shows that across the 4 species covered; beef, lamb, pork and chicken, that overall prices have nudged ahead by 0.9% for the month 30^th April to 27^th May. This is against the BRC’s latest fresh food inflation figure of 1.8%.

“In the BRC food inflation figures published yesterday (Tuesday 27^th May) CEO Helen Dickinson noted that “red meat eaters may have noticed their steak got a little more expensive as wholesale beef prices increased”” said Tony Goodger, Head of Communications at AIMS.

“With two bank holidays during our reporting period coupled with prolonged periods of warm weather our analysis of beef steak and lean mince shows an average of +3.71% for the month whilst with the Easter beef roasting joint promotions now passed, these dropped back by 4p/kg (-0.27%)” Tony continued.

“However, whist BRC have noted fresh food inflation increasing to 2.4% year on year in May, the four species covered in AIMS’ report have risen collectively by 11.32% (+£1.54kg)”.

“Beef and Lamb have shown the biggest rises with increased demand from an ever-growing customer base both in the domestic and global markets, while pork and chicken have seen increased input costs from feed, energy, labour, insurance and the ongoing need to improve site biosecurity”, said Tony.

“I fully expect the upward year on year trend to continue especially as the impact of the changes to the minimum wage and national insurance really begin to kick in. That said, there are still some great value and versatile lines available such as pork fillet and mince and British chicken drumsticks and legs”.

Beef: Steaks Sizzle, Roasts Retreat

The early summer heat and double bank holidays drove a surge in BBQ favourites:

• Beef Fillet Steak rose by +4.92% month-on-month

• Lean Mince jumped +4.07%

• Meanwhile, Roasting Joints fell slightly (-0.27%) as Easter promotions faded

Year-on-Year Inflation: Up Over 11%

Looking at the bigger picture, AIMS reported a +11.32% increase year-on-year across the four key species – equivalent to +£1.54/kg. Beef and lamb led the charge, fuelled by growing domestic and export demand.

Pork and chicken also edged upward, driven by ongoing challenges:

• Rising feed, labour, energy, and insurance costs

• Continued investment in biosecurity measures

• Knock-on effects of minimum wage and National Insurance increases

Still Some Value to Be Found

Despite the inflation, there are still some strong value options in the market. AIMS highlights:

• Pork fillet and mince – versatile, lean, and cost-effective

• British chicken drumsticks and legs – offering quality and affordability

 

Support Urged for Last Remaining Small Abattoir in Sussex

Downland Traditional Meats Limited, based in Henfield, West Sussex, welcomed Andrew Griffith MP recently as the Arundel and South Downs representative visited the region’s last remaining small abattoir to discuss the growing challenges facing the sector.

Griffith met with owner Luke Smith – a farmer who manages 2,000 acres, 70 native breed cattle and 700 breeding ewes – to better understand what is needed to keep vital infrastructure like this alive in the UK’s food supply chain.

Following the recent closures of Tottingworth in East Sussex and Turners in Farnborough, Downland is now the sole small abattoir left operating in the South East. With farmers now travelling significantly further for slaughter and processing services, Downland has been forced to dramatically increase its throughput, putting further strain on already limited resources.

Mounting Operational Pressures

Running a small abattoir has become increasingly difficult, and Downland is no exception. Key challenges include:

• Rising veterinary and inspection costs, with steep increases in fees for official vets and meat hygiene inspectors

• Environmental compliance pressures, with changes to waste removal rules from the Environment Agency at the start of the year

• Lack of skilled labour, making staffing difficult and expensive

• Short-term lease, preventing access to finance or loans needed to upgrade ageing equipment

• Collapse of secondary by-product markets, such as hides and sheepskin, removing a valuable income stream

These headwinds are compounding financial strain at a time when demand for local, traceable, and sustainable meat is rising. Small abattoirs like Downland play a unique role in supporting native and rare breeds, many of which are not accepted by large-scale processors.

Call for Action

During the visit, Griffith expressed his concern for the future of the industry:

“I am grateful to Luke Smith for taking the time to show me around his Downland Traditional Meat facility. There is a real crisis here for local farmers trying to supply local, sustainable, British meat and are dependent on parts of the supply chain that aren’t making money and are not able to get the sort of investment that they need to stay up with modern standards.

The government must continue the Smaller Abattoir Fund, which was set up by the last government, and ensure it is fair and accessible.”

Original source: Sussex World