Bord Bia Presentation on Bull Beef Production

Bull Beef Production
in Ireland:
Market Perspective
February 2015
Joe Burke
Growing the success of Irish food & horticulture
AIDAN COTTER
Growing
the success
CHIEF
EXECUTIVE
BORD BIA
of Irish28food
& horticulture
JANUARY
2009
Irish beef
Beef
Irish
An expanding
portfolio
of high-end
82
retail customers
retail
and foodservice
across
Europe
businesses
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
Thousand Head
1,000
800
Mature Bulls
600
400
Young Bulls
Steers
200
0
2014: 188,000 young bulls slaughtered (vs. peak of 207,000 in 2012)
Growing the success of Irish food & horticulture
Seasonality of Young Bull Production
20,000
Weekly Young Bull & Steer Slaughterings - 2014
18,000
16,000
14,000
12,000
10,000
Ireland/Steers
8,000
6,000
4,000
Ireland/Young Bulls
2,000
0
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
Number of Cattle - Head
Distribution of prime male cattle in Ireland by age at slaughter (months) - 2014
100,000
80,000
60,000
40,000
20,000
0
Age Range (Months)
Growing the success of Irish food & horticulture
Significance of Carcase Weight
• 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
Growing the success of Irish food & horticulture
Carcase Comparison
Carcases:
Steer 360kg R= 3+
Y Bull 440kg U+ 2=
Ribeye:
3.4kg
4.5kg
Growing the success of Irish food & horticulture
Striploin:
7.0kg
9.2kg
Fillet:
2.9kg
4.0kg
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
Bull Beef Production
in Ireland:
Market Perspective
February 2015
Joe Burke
Growing the success of Irish food & horticulture
AIDAN COTTER
Growing
the success
CHIEF
EXECUTIVE
BORD BIA
of Irish28food
& horticulture
JANUARY
2009